Mr. Fraser Matthews reports

BIGG DIGITAL ASSETS INC. REPORTS Q1 2026 ASSETS INC. FINANCIAL RESULTS

Bigg Digital Assets Inc. has released its unaudited interim financial results for the three months ended March 31, 2026.

First quarter 2026 financial highlights:

• Revenue of $2.0-million, a decrease of 51 per cent year over year (2025: $4.1-million), driven primarily by a sharp contraction in Netcoins' digital currency trading activity as cryptocurrency markets entered a sustained downturn; bitcoin declined 22.6 per cent during the quarter, falling below $64,000 (U.S.) for the first time since September, 2024, while ethereum fell approximately 35 per cent;
• Net loss of $3.5-million (2025: $3.6-million), relatively flat with the prior year despite the 51-per-cent revenue decline, reflecting the company's continued cost discipline; general and administrative expenses decreased approximately 30 per cent year over year to $4.0-million (2025: $5.6-million), with wages falling 23 per cent, research and development falling 84 per cent, and advertising falling 38 per cent;
• Customer assets under custody were approximately $125.2-million at March 31, 2026 (Dec. 31, 2025: $168.2-million; March 31, 2025: $169.2-million), composed primarily of digital currencies held in fully segregated accounts; the approximately $43-million decline from year-end (26 per cent) reflects broad-based cryptocurrency price depreciation during Q1 2026 rather than a reduction in customer holdings or platform activity;
• Cash and cash equivalents of $5.8-million (Dec. 31, 2025: $6.2-million), including $5.1-million held in short-term GICs; no debt or borrowings outstanding as at March 31, 2026, or as at the date of this release;
• Total cash and cryptocurrency holdings of approximately $11.0-million (Dec. 31, 2025: $15.3-million), comprising cash and cash equivalents of $5.8-million and digital currency investments of $10,347; the decline from year-end reflects the strategic monetization of 6.97 bitcoin exchanged for cash proceeds of $731,603 during the quarter, combined with lower cryptocurrency prices on the remaining nominal balance;
• Free working capital of approximately $3.7-million (Dec. 31, 2025: $4.0-million).

Segment results

Netcoins -- crypto trading platform:

• Netcoins revenues were $1,564,818 (2025: $3,380,577), including $10,793 (2025: $12,726) in staking fees. Transactional revenues declined 54 per cent year over year as cryptocurrency markets transitioned into a sustained downturn bearish momentum from late 2025, and collided with global geopolitical instability and a hawkish shift in U.S. monetary policy expectations, resulting in materially lower digital asset prices, reduced retail trading volumes and compressed fee rates. Staking revenue was broadly stable year over year as customer participation in staking services was maintained despite the weaker market backdrop.
• The fee rate was 0.72 per cent (Q1 2025: 1.01 per cent; fourth quarter 2025: 0.90 per cent). Reduced investor sentiment drove a significant contraction in retail trading volumes. There was a pronounced shift in mix toward higher-volume institutional and corporate activity transacted at tighter spreads, alongside lower retail market activity and a more competitive pricing environment. Institutional and corporate trade value represented approximately 72 per cent of gross trade volume (Q1 2025: 45 per cent) at a fee rate of 0.89 per cent (Q1 2025: 0.62 per cent) while retail customer trade value was 28 per cent (Q1 2025: 55 per cent) at a fee rate of 0.30 per cent (Q1 2025: 1.32 per cent). The blended fee rate varies with client mix, crypto asset price volatility and the timing of large institutional orders.
• Customer assets under custody were approximately $125.2-million at March 31, 2026 (Dec. 31, 2025: $168.2-million), comprising cash of $10-million (Dec. 31, 2025: $10.9-million) and digital assets of $115.2-million (Dec. 31, 2025: $157.3-million). The decline reflects cryptocurrency price depreciation during Q1 2026 rather than a reduction in customer holdings.
• A Canadian Investment Regulatory Organization application was submitted on May 28, 2026. Netcoins operates under a two-year exemptive relief extension from the B.C. Securities Commission through September, 2027, and is actively advancing to full investment dealer status.

Blockchain Intelligence Group -- blockchain analytics and forensics:

• BIG revenues were $442,768 (2025: $588,565), down 25 per cent year over year, comprising $372,340 (2025: $481,035) in subscription and product sales and $70,428 (2025: $107,530) in service revenue. The decline reflects softer subscription renewal activity and reduced service engagements versus a stronger prior-year period.
• Gross margin improved to 89 per cent (2025: 87 per cent), reflecting the largely fixed-cost nature of BIG's software delivery model and continued discipline in managing direct costs.
• R&D of $117,264 (2025 $257,205) was focused on sustaining core platform functionality across BIG's suite: BitRank Verified, QLUE, NFT Explorer, Address Watch and Entity Explorer.

TerraZero -- immersive Metaverse experiences

• TerraZero revenues of nil (2025: $118,768) as the company continues to evaluate strategic alternatives for the Intraverse platform, including potential partnerships, Internet protocol monetization and other alternatives.
• R&D declined to $88,161 (2025: $1,010,599), reflecting the significant scaling back of TerraZero development activities.

Fraser Matthews, chief executive officer, commented: "Q1 2026 was a genuinely tough quarter for Canadian crypto. Bitcoin fell over 22 per cent, ethereum dropped 35 per cent and retail trading volumes contracted sharply. The combination of a macro-driven crypto winter and a more demanding regulatory environment compressed both our topline and our fee rate at Netcoins to degrees we haven't seen since the 2023 bear market.

"Despite revenues declining 51 per cent, our net loss held broadly flat at $3.5-million versus $3.6-million in Q1 2025. That result reflects meaningful work on the cost side. We reduced G&A by 30 per cent, wages by 23 per cent, and R&D by 84 per cent while maintaining our core capabilities at Netcoins and BIG. Managing through market cycles without sacrificing the platform or the team is a discipline we take seriously.

"Netcoins is SOC 2 Type 2 certified, operating under a two-year regulatory extension from the BCSC, and just submitted our CIRO investment dealer application on May 28, 2026. The CIRO application is a material milestone the next formal step in Netcoins' regulatory evolution. We believe that being a compliant, registered platform will be a meaningful competitive advantage as the Canadian crypto regulatory framework matures.

"BIG delivered an 89-per-cent gross margin on $443,000 in revenues in Q1. The revenue decline reflects softer subscription renewal activity, but the business model remains sound -- high-margin, recurring and operating in a segment (blockchain forensics and AML compliance) that continues to grow globally as regulators tighten oversight of crypto activity.

"On TerraZero: The restructuring is under way, R&D spend has been reduced from $1.0-million in Q1 2025 to $88,000 in Q1 2026, and we are working toward a strategic path forward in 2026.

"Looking ahead: Bitcoin has recovered from its Q1 lows. Our core business and regulatory foundation is strong, and we are managing capital carefully. The crypto market cycle is not over, and Bigg is built to be here for it."

Selected financial and operating information should be read in conjunction with Bigg's unaudited condensed consolidated interim financial statements and related management's discussion and analysis for the three months ended March 31, 2026, available on SEDAR+. All financial information in this press release is prepared in accordance with international financial reporting accounting standards as issued by the International Accounting Standards Board.

About Bigg Digital Assets Inc.

Bigg Digital owns, operates and invests in crypto businesses that support a compliant and safe digital asset ecosystem. Bigg's portfolio includes:

• Netcoins -- a regulated Canadian and American crypto trading platform;
• Blockchain Intelligence Group -- blockchain analytics and forensics solutions;
• TerraZero Technologies -- immersive media, Metaverse and Web3 development.

Bigg believes the future of crypto is secure, compliant and trusted.

Netcoins is a crypto trading platform providing secure, regulated access to a growing range of digital assets. With a commitment to transparency and compliance, Netcoins serves both retail and institutional investors, offering a trusted way to buy, sell, stake and custody crypto in Canada.

Blockchain Intelligence Group provides digital asset forensics and blockchain analytics solutions supporting AML, investigations and risk management for cryptocurrency activity.

TerraZero is an immersive media and Web3 development company focused on creating next-generation virtual experiences for brands. Through its Intraverse platform, TerraZero offers immersive experience creation, advertising, data analytics and digital events.

We seek Safe Harbor.