Mr. Jon Cohen reports

PROPHECY DEFI PROVIDES UPDATE ON ANNUAL FILINGS

Prophecy Defi Inc. is providing an update on the status of the cease trade order imposed on May 6, 2026, by the Ontario Securities Commission under National Policy 11-207, following the company's failure to file its audited annual financial statements for the year ended Dec. 31, 2025, its management's discussion and analysis of financial statements for the year ended Dec. 31, 2025, and related filings. Under National Instrument 51-102, the required annual filings were required to be made by April 30, 2026.

The company is pleased to announce that it has filed the required annual filings, and they can be accessed under the company's profile at SEDAR+. The company further acknowledges that the interim financial statements for the interim period ended March 31, 2026, management's discussion and analysis, and related chief executive officer and chief financial officer certificates due to have been filed on June 1, 2026, are to be filed prior to the CTO revocation process.

The company confirms that it will continue to satisfy the provisions of the alternative information guidelines under NP 12-203 by issuing biweekly default status reports in the form of news releases for so long as it remains delayed in filing the interim required documents.

About Prophecy Defi Inc.

Prophecy Defi is a publicly traded investment company whose primary objective is to invest its funds for the purpose of generating returns from capital appreciation and income. It plans to accomplish these goals by bringing together technology start-ups in the blockchain and decentralized finance sectors to finance innovation, elevate industry research and create new business opportunities in a coherent ecosystem.

We seek Safe Harbor.