VANCOUVER, British Columbia, May 30, 2022 (GLOBE NEWSWIRE) — BIGG Digital Assets Inc. (“BIGG” or the “Company”) (CSE: BIGG; OTCQX: BBKCF; WKN: A2PS9W)Owners of netcoins (Netcoins.approx) (“Netcoins”), the online cryptocurrency brokerage that makes it easier for Canadians to buy, sell and understand cryptocurrencies, and Blockchain Intelligence Group (blockchaingroup.io) (“BIG”), a leading developer of blockchain technology search, risk assessment and data analytics solutions, is pleased to report financial results for the first quarter of 2022. All figures are in Canadian dollars (CAD) unless otherwise noted.
Highlights of Q1 2022:
- Gross Operating Revenue of $2.5M, including $1.97M for Netcoins (down 41% YoY) and $0.53M for Blockchain Intelligence Group (up 76% YoY)
- Netcoins Q1 revenue of $1.97 million is down 29% quarter-on-quarter (QoQ) compared to a 37.7% decline for the industry average1outperforming the broader market
- Customer accounts grew 24% to 148,000 in the first quarter (QoQ) and quarterly active users grew 24% year over year
- Customer fiat deposits exceeded $74 million in the quarter.
- Gross trading margins exceeded 1.4% in the first quarter
- BIG Q1 revenue represents 76% growth over Q1 2020, with gross margin of 81%
- TerraZero generated revenue of $0.27 million for the first quarter of 2022, with BIGG’s prorated profit equal to $0.08 million
- As of March 31, 2022, BIGG’s cash and crypto holdings were ~$51.1 million
- The company has no debt
- BIGG currently owns 575 Bitcoin worth approximately $22 million
- Netcoins currently has approximately $58 million in client assets under custody
- Netcoin’s registered users now exceed 162,000
- Blockchain Intelligence Group’s compliance suite (QLUE and BitRank) now supports 11 blockchains, including more than 372,000 ERC-20-based tokens, and has risk-assessed over 3.5 billion addresses on these chains
Selected financial and operating information should be read in conjunction with BIGG’s Audited Consolidated Financial Statements and related Management’s Discussion and Analysis for the three months ended March 31, 2022 which are available at www.sedar.com.
All financial information in this press release has been prepared in accordance with International Financial Reporting Standards issued by the International Accounting Standards Board.
Mark Binns, CEO of BIGG, commented:
“Q1 2022 demonstrated continued revenue growth and expansion for Blockchain Intelligence Group, setting a new quarterly revenue high of over $500,000 for the first time, underscoring our ongoing marketing program is performing well. Despite a decline in trading volume and revenue, Netcoins exceeded industry norms for the quarter and we believe we gained market share in Canada. Coinbase saw 58% for comparison purposes2 Decrease in retail volume in Q1 vs. Q4. Our customer base grew 24% in the first quarter and with volume and volatility returning to the market we are very well positioned to take advantage of that.
Netcoins also expanded the coin offering on the platform to 16 in Q1 and then added 15 more coins in Q2, bringing our total to 31. For most of Q1, Netcoins only offered 11 coins while awaiting regulatory updates. With 31 coins on offer and a larger customer base, Netcoins continues to evolve and mature as a business.
In 2022, Blockchain Intelligence Group has already expanded coverage to 11 blockchains, including over 372,000 ERC-20 tokens, with further blockchain expansion planned.
During the first quarter, BIGG also invested in TerraZero, acquiring a ~30% ownership position, and TerraZero began generating revenue and servicing brands such as Miller Lite. We expect TerraZero to continue to buy, lease, mortgage and rent properties from Metaverse and serve a rapidly growing international brand base with virtual buildings, wearables and experiences.
Finally, despite a soft crypto market so far in 2022, BIGG continues to develop its core businesses and invest in emerging businesses and opportunities. We look forward to sharing more updates on our progress in the near future.”
1 Coingecko Q1 2022 cryptocurrency report
2 Coinbase Q1 ’22 Letter to Shareholders
On behalf of the Board of Directors
About BIGG Digital Assets Inc.
BIGG Digital Assets Inc. (BIGG) believes that the future of crypto is a secure, compliant and regulated environment. BIGG invests in products and companies to support this vision. BIGG has three portfolio companies: Netcoins (netcoins.ca), Blockchain Intelligence Group (blockchaingroup.io) and TerraZero (terrazero.com).
Blockchain Intelligence Group builds technology to enable compliance and intelligence for the crypto future. Banks and crypto companies rely on our technology to monitor the risk of crypto transactions. Investigators and law enforcement quickly identify and track illegal activity. The Blockchain Intelligence Group is trusted by banks, crypto companies, law enforcement agencies, fintechs, regtechs and governments worldwide.
netcoins develops brokerage and exchange software to make buying and selling cryptocurrencies easily accessible for the mass consumer and investor with a focus on compliance and security. Netcoins uses BitRank Verified® Software at the heart of its platform and facilitates crypto trading through a self-service crypto brokerage portal at Netcoins.app.
TerraZero is a vertically integrated Metaverse development group and leading Web 3.0 technology company specializing in the Metaverse space. The company’s Metaverse-independent vision is to develop, acquire, and fund the Metaverse’s most promising companies, entrepreneurs, and developers. TerraZero also owns digital properties and offers offices and services to those interested in the Metaverse. BIGG owns ~30% of TerraZero.
For more information and to sign up for the BIGG mailing list, please visit our website at https://www.biggdigitalassets.com. Or visit SEDAR at www.sedar.com.
Certain statements in this press release are forward-looking statements, including the completion of the search technology software and other matters. Forward-looking statements consist of statements that are not purely historical, including statements about beliefs, plans, expectations or intentions regarding the future. Such information is generally identifiable by the use of forward-looking language such as “may,” “expect,” “estimate,” “anticipate,” “intend,” “believe,” and “continue,” or the negative thereof, or similar variations. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations on which they are based will materialize. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, estimates, forecasts, projections and other forward-looking statements may not materialize. These assumptions, risks and uncertainties include, among other things, general economic conditions and the condition of the capital markets in particular, as well as other factors, many of which are beyond BIGG’s control. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Undue reliance should not be placed on forward-looking information, as BIGG cannot guarantee that it will prove to be accurate. Important factors that could cause actual results to differ materially from BIGG’s expectations include consumer sentiment toward BIGG’s products and blockchain technology generally, technology failures, competition and failure by counterparties to meet their contractual obligations to comply
The forward-looking statements contained in this press release are made as of the date of this press release. Except as required by law, BIGG disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Furthermore, BIGG undertakes no obligation to comment on the expectations or statements of any third party with respect to the matters discussed above.
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