VANCOUVER, British Columbia, May 30, 2022 (GLOBE NEWSWIRE) — BIGG Digital Assets Inc. (“BIGG” or the “Company”)(CSE: BIGG; OTCQX: BBKCF; WKN: A2PS9W), owner of Netcoins (Netcoins.ca) (“Netcoins”), the online cryptocurrency brokerage that makes it easy for Canadians to buy, sell, and understand cryptocurrency, and Blockchain Intelligence Group (blockchaingroup.io) (“BIG”), a leading developer of blockchain technology search, risk-scoring and data analytics solutions, is pleased to report Q1 2022 financial results. All figures are in Canadian Dollars (CAD) unless otherwise stated.
Q1 2022 Highlights:
- Gross operating revenue of $2.5M, with $1.97M for Netcoins (down 41% YoY) and $0.53M for Blockchain Intelligence Group (up 76% YoY)
- Netcoins Q1 revenue of $1.97M is down 29% Quarter-over-Quarter (QoQ), versus 37.7% industry average decline1, outperforming the broader market
- Customer accounts grew 24% in Q1 (QoQ) to 148k, and Quarterly Active Users grew 24% YoY
- Customer fiat deposits exceeded $74M in the quarter.
- Gross trading margins exceeded 1.4% in Q1
- BIG’s Q1 revenue representing 76% growth versus Q1 2020, with gross margins of 81%
- TerraZero generated $0.27M revenue in Q1 2022, with BIGG’s proportionate earnings equivalent to $0.08M
- 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, valued at approximately $22M
- Netcoins currently has customer Assets Under Custody of approximately $58M
- Netcoins registered users now exceeds 162,000
- Blockchain Intelligence Group’s compliance suite (QLUE and BitRank) now supports 11 blockchains, including 372,000+ ERC-20 based tokens, and has risk scored 3.5+ billion addresses across 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, available at www.sedar.com.
All financial information in this press release is prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board.
BIGG CEO, Mark Binns, commented:
“Q1 2022 showed continued growth in revenue and expansion for Blockchain Intelligence Group, setting a new quarterly revenue high exceeding $500k for the first time, highlighting that our ongoing marketing program is working well. Netcoins, despite a pullback in trading volumes and revenue, exceeded industry norms for the quarter, and we believe we gained market share in Canada. Coinbase, for comparative purposes, saw a 58%2 decline in retail trading volume in Q1 vs Q4. Our customer base grew by 24% in Q1, and as volume and volatility returns to the market, we are very well positioned to take advantage.
In Q1, Netcoins also expanded coin offerings on the platform to 16 and subsequently added 15 more coins in Q2 bringing our total to 31. For the majority of Q1, Netcoins was only offering 11 coins while awaiting regulatory updates. With 31 coins now offered, and a larger customer base, Netcoins continues to develop and mature as a business.
In 2022, Blockchain Intelligence Group has already expanded coverage to 11 blockchains including 372k+ ERC-20 tokens, with further blockchain expansion planned.
In Q1, BIGG also invested in TerraZero acquiring a ~30% ownership position, and TerraZero began generating revenue and serving brands such as Miller Lite. We expect TerraZero to continue to purchase, lease, mortgage and rent Metaverse property and service a quickly growing international brand base with virtual buildings, wearables and experiences.
Finally, despite a depressed crypto market thus far in 2022, BIGG continues to develop its primary businesses and invest in new emerging businesses and opportunities. We look forward to sharing further updates on our progress in the near future.”
1 Coingecko Q1 2022 Cryptocurrency Report
2 Coinbase Q1 ‘22 Shareholder Letter
On behalf of the Board
About BIGG Digital Assets Inc.
BIGG Digital Assets Inc. (BIGG) believes the future of crypto is a safe, 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 power compliance and intelligence for the crypto future. Banks and crypto companies depend on our technology to monitor risk from crypto transactions. Investigators and law enforcement quickly identify and track illicit activity. Blockchain Intelligence Group is trusted globally by banks, crypto companies, law enforcement, fintechs, regtechs and governments.
Netcoins develops brokerage and exchange software to make the purchase and sale of cryptocurrency easily accessible to the mass consumer and investor with a focus on compliance and safety. Netcoins utilizes BitRank Verified® software at the heart of its platform and facilitates crypto trading via a self-serve 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 agnostic vision is to develop, acquire, and finance the Metaverse’s most promising companies, entrepreneurs, and developers. TerraZero also owns digital real estate and provides offices and services to those interested in the Metaverse. BIGG owns ~30% of TerraZero.
Certain statements in this release are forward-looking statements, which include completion of the search technology software and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording 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 upon which they are based will occur. 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 will not occur. These assumptions, risks and uncertainties include, among other things, the state of the economy in general and capital markets in particular, and other factors, many of which are beyond the control of BIGG. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Undue reliance should not be placed on the forward-looking information because BIGG can give no assurance that they will prove to be correct. Important factors that could cause actual results to differ materially from BIGG’s expectations include, consumer sentiment towards BIGG’s products and Blockchain technology generally, technology failures, competition, and failure of counterparties to perform their contractual obligations.
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. Additionally, BIGG undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above.
The CSE does not accept responsibility for the adequacy or accuracy of the content of this Press Release.