Mr. Akshay Sood reports

DYNAMITE BLOCKCHAIN OUTLINES UTILITY TOKEN STRATEGY AND PROVIDES COMPREHENSIVE OPERATIONAL UPDATE

Dynamite Blockchain Corp. has provided a comprehensive operational update, highlighting the strategic evolution of the company's blockchain ecosystem to include the acquisition of utility-based digital assets while continuing to build out the blockchain ecosystem.

Strategic evolution of the blockchain ecosystem

Leveraging the ecosystem

For the past year, Dynamite has been focused on building its dynamic blockchain ecosystem to serve as both a technological and strategic differentiator from its competitors. This effort has not just been about acquiring and developing technologies to launch blockchain products; it has been about strategically constructing a vertically integrated infrastructure that could meaningfully enhance the value, utility and adoption of high-utility digital assets. Through this development, Dynamite has now identified and implemented a framework that enables the company to serve as an active conduit for utility tokens, embedding them directly into products, services and infrastructure that will drive continuous real-world engagement and monetization.

In the company's view, its evolution to acquire and hold utility tokens positions Dynamite not merely as a holder of digital assets but as a leveraged system whereby the integration of the utility tokens into its blockchain ecosystem creates an additional multiplier effect for their utility and therefore their value. By integrating digital assets such as Kaspa ($KAS) and the Masters of Trivia ($MOT) into its blockchain ecosystem, Dynamite intends to accelerate adoption of those underlying digital assets while creating new revenue pathways for the company linked to token activity. In doing so, the company intends to establish as a self-reinforcing system that will support value creation across all layers of its blockchain ecosystem while adding fundamental utility and therefore value to all integrated digital assets. Dynamite's evolved blockchain ecosystem is defined by three strategic pillars: (1) digital asset holdings, which currently include $KAS and $MOT; (2) digital asset products, which currently includes the development of wallet technologies and green mining infrastructure; and (3) digital asset services, which the company is developing to encompass transaction application programming interfaces (APIs), staking software development kits (SDKs), and business-to-consumer (B2C) payment tools designed to expand token use cases and user participation.

Strategic rationale

Dynamite Blockchain's evolved strategy is rooted in the conviction that the next generation of digital asset investing will be driven not by speculation, but by utility -- assets with real-world function, user adoption and integrated monetization. The company believes the timing and structure of this strategy are compelling for the following reasons:

• Differentiation: Dynamite has committed to utility-focused digital assets such as Kaspa and MOT. These tokens are not merely stores of value, but engines of activity within ecosystems.
• Scarcity: Both $KAS and $MOT mirror bitcoin's scarcity model -- no inflation and no central issuance.
• Utility: Unlike bitcoin, which is primarily held passively, $KAS is used for mining rewards and transaction settlement and $MOT powers rewards and loyalty in an active trivia platform with over 100,000 monthly users.
• Integrated monetization: Dynamite is developing wallet products, software-as-a-service (SaaS) APIs, debit cards and renewable miners around its digital asset holdings -- functionality that the company hopes will turn each token into a recurring revenue generator.
• Unique value: All of these components enable Dynamite to not only hold utility-based digital assets but leverage them within its blockchain ecosystem to accelerate their utility and value, which very few public companies can replicate.

Public company proxy strategy

Investors are increasingly seeking exposure to crypto through traditional equity markets -- especially through NAV-linked (net asset value) public vehicles such as MicroStrategy, Defi Technologies and now Dynamite.

Dynamite follows a rigorous, research-driven methodology when acquiring digital assets. This framework is intended to ensure that every asset Dynamite adds to its treasury has the potential to appreciate, generate yield and integrate into Dynamite's blockchain ecosystem through products (such as wallets, cards and miners) or services (such as SaaS and staking).

The company believes that, by not just building a token treasury, but rather constructing an entire blockchain ecosystem, utilizing modern technology, generating cash flows and following a disciplined acquisition engine, Dynamite will be able to differentiate itself, which it believes should warrant a higher multiple to NAV than its public-company crypto proxy peers.

Blockchain ecosystem developments

Digital asset holdings

$KAS serves as the foundational cornerstone of Dynamite's digital asset treasury, anchoring the company's strategic focus on high-utility, fixed-supply assets. Building on this foundation, Dynamite is now selectively expanding its holdings to include additional digital assets that meet the rigorous standards of its proprietary selection framework. This initiative is not merely about diversification -- it is about embedding each treasury-held token into Dynamite's broader blockchain ecosystem to actively enhance their utility, adoption and long-term value. The company's asset selection framework emphasizes real-world demand, deterministic emission schedules, verifiable network activity and native monetization -- with the intention of ensuring that every token acquired can contribute meaningfully to both ecosystem growth and shareholder value. Dynamite currently holds two core digital asset holdings:

• Kaspa ($KAS): A fair-launched, proof-of-work Layer 1 blockchain with a fixed supply, DAG-based (directed acyclic graph) scalability and robust mining community. $KAS is the foundational asset of Dynamite's ecosystem and is actively mined and utilized across its infrastructure.
• Masters of Trivia ($MOT): A Solana-based utility token powering a revenue-generating trivia platform with over 100,000 monthly active users. $MOT is used for rewards, loyalty and in-app commerce and is integrated directly into the growing user base of the Masters of Trivia platform.

Digital asset products

Core software and hardware assets that enhance the use case and integration of treasury tokens across consumer and enterprise ecosystems. Examples include:

• Dynamite wallet: The flagship non-custodial mobile wallet acquired through Kaspa Secure, IMME is undergoing a rebrand to serve as the premier enterprise-grade, non-custodial digital asset wallet with native Kaspa Layer 1 integration, compliance features and biometric authentication.
• Renewable Kaspa miner: A modular, mining unit under development designed to use solar and wind energy to mine Kaspa in off-grid environments, this product exemplifies Dynamite's commitment to green infrastructure and on-chain sustainability.
• Dynamite debit card: This is a crypto debit card (in early development) that will allow $KAS and other digital assets to be spent seamlessly across fiat rails.

Digital asset services

Dynamite plans to build and launch revenue-generating services that help vertically integrate its entire blockchain ecosystem. These include:

• Transaction APIs and compliance SDKs -- tools that will allow third parties to integrate compliance, authentication and transaction processing into their apps using Dynamite's back-end stack;
• Staking and wallet SDKs -- as the token portfolio expands, Dynamite plans to introduce staking tools and SDKs to support token utility across dApps (decentralized apps) and wallets.

Operational updates

Digital asset holdings -- $MOT acquisition

Since closing its recent acquisition of $MOT tokens on July 14, 2025, the company now holds 5.5 million $MOT tokens. Following this acquisition, the $MOT token has demonstrated strong upward momentum, reflecting increasing market confidence in the underlying Masters of Trivia platform and its rapidly growing user base. The company's $MOT holdings represent a strategic position in a high-utility, revenue-linked digital asset, which is now integrated into Dynamite's treasury. This exposure aligns with the company's broader strategy of acquiring select utility tokens that offer both scarcity and real-world adoption. Additional updates on integration and cross-ecosystem initiatives involving MOT will follow in the coming weeks.

Digital asset products -- Kaspa Secure Technologies Inc. acquisition

Since acquiring Kaspa Secure in May, 2025, the company has made progress operationalizing and integrating Kaspa Secure's newly acquired digital wallet technology into the company's broader blockchain ecosystem.

At the heart of this integration is the IMME wallet, a mobile-first, non-custodial wallet application. Since acquiring Kaspa Secure, the company has initiated a focused technical road map to rebrand, refactor and relaunch the IMME wallet as the first enterprise-grade, Kaspa-native digital wallet. This transformation is intended to be not only cosmetic but also strategic -- bringing Kaspa's Layer 1 protocol directly into the wallet's core functionality. The company has made the following progress toward product developmental and technical integration of the wallet:

• Kaspa Layer 1 integration: Dynamite's technical team is currently finalizing the integration of native Kaspa support within the wallet, allowing for seamless $KAS token transactions, wallet recovery, address management and real-time balance monitoring -- all while leveraging the unique speed and scalability of Kaspa's blockDAG architecture.
• Rebranding strategy: The company is actively exploring a full rebrand of the IMME wallet to reflect its Kaspa-native positioning. The new branding will align with Kaspa's decentralized ethos while emphasizing IMME's advanced compliance and security features.
• Expanded feature set: The revamped Dynamite wallet will retain IMME's market-leading identity and compliance stack -- such as biometric log-in, zero-knowledge-proof verification and real-time transaction risk screening -- offering both consumers and enterprises a best-in-class crypto experience.
• Infrastructure enhancements: Back-end upgrades are under way to ensure scalability as user adoption increases. Dynamite is optimizing the admin dashboard and business portal to onboard enterprises that want to operate within the Kaspa ecosystem using the wallet's APIs and biometric SSO (single sign-on) tools.
• Target launch and timeline: The company anticipates completing rebranding and development milestones by Q3 2025, with a public launch of the Kaspa wallet targeted for Q4 2025. This timing coincides with the company's anticipation of broader momentum in the digital asset markets and will hopefully position the Dynamite wallet to become the go-to application for Kaspa and other digital asset storage, utility and compliance.

Digital asset products -- wallet revenue model updates

The intended Dynamite wallet launch will serve as a catalyst to Dynamite's blockchain ecosystem monetization plan. The company hopes to begin generating revenue through multiple monetization channels embedded in the wallet's architecture, which include:

• B2C transaction fees -- nominal fees on crypto transactions, fiat swaps and defi (decentralized finance) interactions, including dynamic pricing for Kaspa-based activity;
• B2B (business-to-business) SaaS revenue -- subscription-based licensing for enterprise customers using the wallet's identity, know-your-client (KYC) and real-time-risk APIs;
• SSO authentication services -- monetization of IMME's biometric log-in plug-in for businesses seeking frictionless, privacy-preserving user onboarding;
• Compliance as a service -- premium enterprise-grade tools such as automated suspicious activity reporting (SAR) generation, continuous anti-money-laundering (AML) screening and region-specific onboarding rules.

These streams are being designed to generate recurring revenue across both consumer and institutional segments, with IMME's technology stack uniquely positioned to serve the growing need for secure and compliant interaction with Layer 1 networks such as Kaspa.

Digital asset mining operations

Dynamite holds a 20-per-cent stake in Kaspa Mining Ltd. (KML), the operator of 25 high-performance Bitmain KS5 Pro Kaspa mining units that exclusively mine Kaspa. The company also owns five IceRiver Kaspa mining units. The mining host for the company's and KML's miners is currently undergoing renovations at its site, which has affected the uptime of all miners that operate from the site. The company expects the miners to be back to running at full capacity by the beginning of Q3.

The company previously acquired Redwater Acquisition Corp (RAC), which transaction structure has undergone several extensions due to the vendors' continuing failure to fulfill key postclosing obligations. At this time, the company no longer believes such obligations will be fulfilled and has written RAC off its books completely, as reflected in the company's financial statements for the year ended Jan. 31, 2025. Per the terms of the agreement with RAC, the company intends to commence the process of formally unwinding the transaction in its entirety and pursue any damages that resulted from pursuing the transaction. This includes, but is not limited to, the return of the initial tranche of shares issued to the vendors of RAC. Further updates will be provided as the situation progresses.

Digital asset products -- crypto green tech

Dynamite is making progress on pioneering sustainable, decentralized mining infrastructure. Utilizing its exclusive crypto green tech licence, the company is actively developing a modular, off-grid Kaspa miner designed to operate independently using solar and wind energy sources. This initiative reflects Dynamite's broader commitment to enabling environmentally conscious blockchain solutions. The company is working on the following key developments:

• Research and concept validation: The company has completed comprehensive feasibility studies, evaluating power source viability, system interoperability and remote deployment conditions.
• Product design and engineering: Core technical specifications have been finalized, including the modular casing architecture, thermal management systems, integrated battery storage and hardware compatibility optimized for Kaspa mining.
• Prototype assembly: Work is under way on a first-generation prototype that incorporates renewable energy inputs, both passive and active cooling technologies, and durable enclosures suitable for off-grid environments.
• Firmware development: Proprietary firmware is currently being developed to maximize operational efficiency and uptime, with key features including:
  • Intelligent energy optimization algorithms;
  • Seamless integration of mining hardware with power systems and thermal controls;
  • Auto-restart protocols and fault-tolerant mechanisms for uninterrupted performance;
  • A cloud-enabled dashboard for real-time monitoring, analytics and diagnostics through Web and mobile platforms.

About Dynamite Blockchain Corp.

Dynamite Blockchain is a blockchain technology infrastructure company focused on building a diversified blockchain ecosystem focused on Kaspa. The company operates Kaspa mining assets, develops Kaspa-enabled products and services such as the IMME wallet, and selectively acquires high-utility digital assets that enhance shareholder value through diversification.

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