Tokens.com Announces Q1 2021 Financial Results

Tokens.com Corp. (NEO: COIN) (FSE: 76M) (“Tokens.com” or the “Company”) is one of the largest publicly traded Proof-of-Stake technology companies by operating assets and market capitalization. Tokens.com focuses on Staking digital assets used to power the booming Decentralized Finance (DeFi) and Non-Fungible Token (NFT) sectors. The Company today announces its financial results for its first quarter ended March 31, 2021 (“Q1 2021”). All amounts in this news release are unaudited and, unless otherwise indicated, are in US dollars.

“In the first quarter of 2021, the capital we deployed into Staking technology produced an annualized return of 12.8%. Those returns were paid to us in digital assets that continued to appreciate, resulting in a return on our capital deployed in Staking in excess of 50% annualized,” said Andrew Kiguel, CEO of Tokens.com.

“In addition to the Staking revenues, the digital assets we use as tools to Stake appreciated by over 150%. Our model benefits from two forms of value creation: the revenue created from our operational Staking plus the appreciation of our digital assets used as tools for Staking. We perform transaction validation for blockchains that underpin the DeFi and NFT markets globally. It’s an incredibly asset-light, scalable model with an exciting global market opportunity that is still in the early stages.”

An investor call hosted by CEO Andrew Kiguel has been scheduled to discuss the Company’s Q1 2021 financial results starting at 11:00 am ET on Monday, May 17, 2021.

Date: Monday, May 17, 2021

Time: 11:00 a.m. ET

Dial-In: 1 (888) 465-5079

Passcode: 7298 172#

Q1 2021 Highlights:

• Closed CAD$25 million subscription receipt financing (the “Offering”) in connection with the closing of its go-public transaction co-lead by Stifel GMP and Canaccord
• Earned staking rewards equivalent to an annualized gross yield of 12.8%
• Digital assets owned by the Company and used for Staking appreciated by 151.9%
• Comprehensive income of USD$2,712,513
• Equivalent to USD$0.036 or CAD$0.044 comprehensive income per share subsequent to the Offering and share split that took effect prior to go-public transaction

Selected Q1 2021 Financial Information

• As at March 31, 2021 - Cash and cash held in escrow of USD$19,336,805
• As at March 31, 2021 – Net working capital of USD$2,563,348

Q1 2021 Overview

Q1 2021 was a busy time for management at Tokens.com as the Company put in place all the requirements for the closing of our reverse take-over of COIN Hodl Inc. and the public listing of the Company’s common shares on the NEO Exchange in Canada. The Company is pleased to share that it was successful in those endeavors subsequent to the end of the quarter and are now trading in Canada under the symbol COIN (specific vendor symbology). Additionally, the Company is also listed on the Frankfurt Stock Exchange under the ticker 76M and is in the process of pursuing a quotation on the OTCQB in the United States.

For Q1, the Company is pleased to see that its Staking operations resulted in it earning an annualized gross digital asset compensation of 12.8%. In addition, its revenue generating digital assets also appreciated in value by 151.9% during Q1, resulting in positive comprehensive income of USD$2.7 million.

The Company also notes that the proceeds from the CAD$25 million Offering have been deployed into its Staking operations and are earning revenue. The benefit of this deployment was not reflected in the first quarter, as the proceeds of the Offering were required to be held in escrow until the closing of the reverse takeover transaction, which occurred subsequent to the end of the quarter.

About Tokens.com

Tokens.com Corp. is one of the largest publicly traded Proof-of-Stake technology companies by operating assets and market capitalization. The Company uses its digital assets as tools to perform Staking, the process required to complete transactions on numerous blockchains such as Eth 2.0 and Polkadot. The Company is compensated for its Staking service with additional digital assets, which can be redeployed into further Staking, thus earning the Company additional compensation. Tokens.com targets gross compensation for its work of over 10% annualized and is currently averaging 13% annualized.

As Tokens.com acquires more digital assets, its ability to earn Staking rewards increases. In addition, the revenue generating digital assets Tokens.com uses for Staking have the ability to appreciate, providing additional potential income for the Company. Tokens.com focuses its activities on digital assets used to power the growing Decentralized Finance (DeFi) and Non-Fungible Token (NFT) sectors.

Tokens.com provides a new and environmentally friendly alternative to crypto-mining.

The Company’s common shares are listed under the symbol “COIN” on the NEO Exchange and as “76M” on the Frankfurt Stock Exchange.

Further information can be found on the Company’s website: Tokens.com.

Keep up-to-date on Tokens.com developments and join our online communities at Twitter, LinkedIn, and YouTube.

Neither NEO Exchange nor its Regulation Services Provider (as that term is defined in policies of the NEO Exchange) accepts responsibility for the adequacy or accuracy of this news release.

FORWARD-LOOKING STATEMENT DISCLAIMER

Certain statements in this news release have been derived from third party sources and have not been independently verified by the Company. In addition, this news release contains forward-looking statements and forward-looking information (together, "forward-looking statements") within the meaning of applicable securities laws. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as "plans", "expects', "estimates", "intends", "anticipates", "believes" or variations of such words, or statements that certain actions, events or results "may", "could", "would", "might", "will be taken", "occur" or "be achieved". Forward-looking statements in this news release include statements regarding the Company's proposed quotation on the OTCQB, as well as management's determination of the equivalent annualized yields of staking rewards earned in Q1. Forward looking statements involve risks, uncertainties and other factors, that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements, including that: the Company's common shares may not be approved for quotation on the OTCQB; the Company's yields from Staking may not continue at the levels expected, and actual yields for the fiscal year may be less than the annualized returns contemplated in this release based on Q1 results; competition or other factors may diminish expected returns; market adoption of blockchain may be slower than expected; the Company may be unable to raise financing needed to continue its business on terms expected or at all; the Company's business is subject to cybersecurity risks; and regulatory changes may impact the Company's ability to conduct its business as currently conducted, as well as other factors beyond the Company's control, and those risk factors included under the heading "Risk Factors" in the Company's filing statement dated April 22, 2021, which is available under the Company's profile at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing these forward-looking statements are reasonable based upon the information currently available to management as of the date of this release, actual results and developments may differ materially from those contemplated by these statements. Readers are therefore cautioned not to place undue reliance on these statements, which only apply as of the date of this release. The forward-looking statements in this news release are made only as of the date of this release and the Company does not undertake any obligation to update any forward-looking statements, except as required by applicable securities laws.

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