Mr. Warren Sergeant reports

FINEQIA ISSUES BITCOIN YIELD ETP VIA DEFI; YIELD COMPOUNDS INVESTORS' BTC HOLDINGS

Fineqia International Inc. has launched the Fineqia Bitcoin Yield Exchange Traded Product (ETP) (ticker: YBTC; ISIN: LI 144493 18 2 1), a listed product that enables investors to garner additional bitcoin while holding it. YBTC targets an annual yield of 6 per cent via decentralized finance (defi) activities on the blockchain.

YBTC automatically converts this yield into bitcoin (BTC), increasing an investor's BTC holdings without requiring any additional capital. Listed on the Vienna Stock Exchange (Wiener Borse), it is the first regulated, exchange-traded instrument in the world to provide BTC yield from defi protocols. The product is available for institutional and retail investors.

"With YBTC, we've transformed bitcoin from a store of value into a yield-generating digital asset," said Bundeep Singh Rangar, chief executive officer of Fineqia. "It allows investors to earn more bitcoin while they hold it, combining long-term conviction with compounding returns, all inside a regulated wrapper."

YBTC arrives at a time of increasing investor interest in crypto products. As per CoinShares' Digital Asset Funds Report, bitcoin exchange-traded products (ETPs) now account for more than $150-billion in global assets under management. Most of these products, however, offer only passive exposure and are devoid of any yield.

YBTC is the first physically backed, fully regulated product to offer meaningful yield on bitcoin -- without capping upside or compromising exposure. While some structured products generate yield through options-based overlays, they typically limit price appreciation, leading to underperformance relative to holding BTC outright.

In contrast, YBTC allows investors to retain full bitcoin exposure while earning additional BTC through carefully managed defi-based yield activities. It offers a rare combination of daily liquidity, transparent pricing and sustainable yield -- all within a listed, compliant investment vehicle.

There is increasing demand for innovative products that go beyond simply corresponding to BTC's price. Nearly nine out of 10 institutional investors plan to increase allocations to ETPs and spot crypto assets in 2025, as per an EY report.

The ETP is issued by Fineqia AG, the company's Liechtenstein-based subsidiary. It is advised by Psalion Operations Ltd., a blockchain-focused investment firm with deep expertise in defi yield. The product offers in-kind investment, allowing bitcoin holders to transfer their holdings to the ETP without incurring costs.

YBTC joins Fineqia's expanding portfolio of yield-oriented crypto investment vehicles, including the Fineqia FTSE Cardano Enhanced Yield ETN (ticker: YADA; ISIN: LI 140864 81 0 6). Together, these offerings reflect the company's vision to deliver secure, transparent and innovative access to digital assets through regulated market infrastructure.

Defi refers to income generation activities such as borrowing, lending, trading and liquidity provisioning, conducted on blockchain networks. Transactions are managed via digital contracts stored on a blockchain, called smart contracts, that automatically execute when predetermined conditions are met. They provide greater transparency, efficiency and accessibility compared with traditional financial systems.

The defi sector is growing significantly with the total value locked (TVL) in defi protocols surpassing $182-billion in December, 2024, according to DeFi Llama.

Market research firm Statista projects global defi market revenue could reach $542-billion in 2025, driven by rising adoption and innovation.

About Fineqia International Inc.

Publicly listed in Canada with quoted symbols on the Nasdaq Stock Market and the Frankfurt Stock Exchange, Fineqia provides investors with institutional grade exposure to opportunities from blockchain-based decentralized finance. Its European subsidiary is an issuer of crypto-asset-backed ETPs, such as the Fineqia FTSE Cardano Enhanced Yield ETN (ticker: YADA; ISIN: LI 140864 81 0 6). Fineqia has investments in businesses tokenizing real-world assets (RWAs), dApps, defi and blockchain protocols.

Fineqia AG is a wholly owned subsidiary of Fineqia International, set up to pursue business on the European continent. Fineqia AG, based in Liechtenstein, received approval of its base prospectus by the country's financial market authority (FMA) to ETPs collateralized by digital assets. Its base prospectus complies with the European Union's passport directive and enables its ETPs to be distributed across the EU's single market.

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