Mr. Akshay Sood reports

DYNAMITE BLOCKCHAIN PROVIDES CORPORATE UPDATES

Dynamite Blockchain Corp. has provided the following comprehensive corporate update.

Overview

Dynamite has established itself as a pioneer in the utility-driven digital asset space with continued execution on its strategy to build the first public-market gateway for investors seeking exposure to high-utility tokens by acquiring scarce digital assets with high upside potential and integrating them into its proprietary blockchain ecosystem. The company proudly summarizes its latest developments highlighting the substantial rise in assets and its blockchain ecosystem progress. The company also provides further details on its corporate developments, which aim at increasing long-term value, awareness and synergies, all intended to deliver explosive growth for its shareholders.

Performance

The company's Q2 2025 financial filings and subsequent disclosures have demonstrated significant asset growth driven by shrewd token acquisitions and asset appreciation. As of the most recent reporting periods, the company's balance sheet reflects a robust increase in high-utility digital asset holdings that have delivered significant value accretion.

The company's Q2 financial statements, for the period ended July 31, 2025, marked an exponential quarterly increase in total assets to $14.31-million. The increase was driven by strategic acquisitions and digital asset gains. The company's balance sheet strengthened significantly as shareholder equity swung from a deficit to positive $10.82-million. The positive results are not only a testament to the company's evolved blockchain ecosystem strategy but have added credibility to the strategy of acquiring utility-driven digital assets. Based on the continued strong performance in its underlying digital asset holdings, the company expects another strong quarter in Q3. The performance highlights the company's disciplined approach to asset management, delivering tangible returns for shareholders even during the recent corrections in the digital asset market.

Blockchain ecosystem developments

Dynamite remains committed to its vertically integrated blockchain ecosystem strategy, focusing on assets that provide functional value and integration opportunities. Current efforts encompass:

• Token acquisition and integration: prioritizing tokens with real-world utility, such as those enabling AI-driven (artificial intelligence) settlements or device activations, to foster ecosystem synergies;
• Holdings division expansion: building a portfolio of strategic stakes in promising tokens to capitalize on operational milestones and network growth;
• Ecosystem synergies: designed to enhance token utilities within a proprietary framework, including revenue-focused integrations and partnerships.

The company has made progress for the integrations of its acquired tokens (Kasya, mPWR and MOT) through technical and business planning. The objective is linking acquired tokens to applications that have the potential to generate revenue. The company has continued to do this for all its holdings and has also been refining processes for treasury, ecosystem planning and acquisitions.

This interconnected flywheel model -- where products and services enhance token utility -- supports increased activity, revenue and asset value over time.

Web3 wallet developments

Dynamite is advancing the development of the company's Web3-enabled digital wallet, planned for release in Q1 of next year. Utilizing the technology from the company's Kaspa Secure Technologies acquisition, this wallet -- set for rebranding from its IMME origins -- is expected to form a central element in the company's products and services divisions.

The platform will build on established features, such as:

• A reliable non-custodial mobile wallet for Android and iOS;
• Decentralized identity (DID) systems with biometric security and key management;
• Comprehensive KYC/AML (know-your-client/anti-money-laundering) tools, screening and reporting;
• Compatibility with blockchains, including Kaspa, ethereum, Solana, Binance Smart Chain, Tron and Continuum Network.

This foundation provides Dynamite with a solid starting point for a secure, feature-rich wallet in the Kaspa space and the wider Web3 market.

A key differentiator at launch will be Dynamite's integrated Web3 identity layer, allowing users to securely store and manage personal identification documents directly inside the wallet, including:

• Government-issued identifications such as driver licences and passports;
• Biometric-backed decentralized identity profiles;
• Deepfake-resistant onboarding powered by liveness detection;
• AI-driven identification validation across more than 170 countries.

The identity system uses biometric gating for all wallet actions -- including sending crypto, logging in or recovering profiles -- meaning users never need to memorize or store seed phrases. Private keys are generated at log-in, used only during the signature process and destroyed immediately upon logout.

The wallet is designed to be a flagship product that converts Dynamite's technology acquisition into a commercial, user-ready, revenue-generating platform that tightly aligns with the company's mission to build a utility-driven blockchain ecosystem.

Digital asset holdings developments:

• Kasya -- AI voice engine for payments, FX (foreign exchange) and defi (decentralized finance): Kasya's team is developing its AI voice platform, advancing presmart-contract mappings, automated FX and payments, and cross-app controls. This could enable future compatibility with the company's wallet.
• MOT -- attention, engagement and gamified Web3 experiences: MOT is refining token features, yield mechanisms and integrations to enhance user involvement and rewards.
• mPWR -- mobile-first tokenized operating system and hardware ecosystem: mPWR is progressing its OS (operating system) and hardware, focusing on token utilities, payments and security features, all managed independently.
• Kaspa: Kaspa's network is progressing through community contributions, improving scalability and connectivity. Notable updates include multichain EVM (ethereum virtual machine) bridge launch, smart-contract infrastructure, network growth, and consensus and protocol evolution.

Through these initiatives, Dynamite is building toward a fully interconnected ecosystem in which each component reinforces and amplifies the others. Key pillars include:

• AI-driven voice interfaces (Kasya): seamlessly enabling users to interact with Kaspa blockchain applications, through intuitive voice commands; Kasya acts as the natural bridge between user intent and on-chain execution;
• Mobile hardware and OS-level infrastructure (mPWR): providing secure, optimized mobile environments that facilitate smooth, high-performance interactions, including potential support for Dynamite's suite of products while enhancing device-level security and user experience;
• Gamified engagement and rewards models (MOT): driving user retention, participation and loyalty through immersive gamification, incentivized behaviours and tokenized reward systems that encourage continued ecosystem engagement;
• Dynamite's Web3 identity and wallet platform (products): enabling users to securely manage their digital identity, assets and credentials while ensuring interoperability and compliance.

By designing these elements to operate in a co-ordinated, mutually reinforcing manner, Dynamite is creating an ecosystem where value compounds across multiple layers. This integrated architecture is expected to:

• Enhance token utility: Each product interaction increases the functional demand for Dynamite's native tokens, driving adoption and network effects.
• Accelerate user adoption: A seamless, multiproduct experience lowers friction for users entering the ecosystem, increasing engagement and retention.
• Capture long-term value: As each product moves into commercialization, the combined network effect and interconnectivity of services are expected to strengthen Dynamite's market position and create sustained value across its holdings.

Other corporate initiatives

Dynamite enters the next quarter with continued operational momentum and a strengthened strategic foundation. Integration work across the holdings, products and services divisions remains on track, with several ecosystem activation initiatives under way.

The company expects the introduction of Kaspa smart contracts, combined with the commercialization of key token ecosystems such as Kasya, mPWR and MOT, to present meaningful opportunities for utility expansion and long-term NAV (net asset value) enhancement.

Dynamite has initiated a marketing and communications program under a December, 2025, agreement with Spark Newswire Inc. (Suite 800, 885 West Georgia St., Vancouver, B.C., V6C 3H1, Canada; steve@sparknewswire.com; 604-999-7361). The program is anticipated to start this week and last for a period of three months, in consideration for which the company has paid a fee of $200,000. This includes content distribution through targeted financial media and digital channels, strategic advice, and workshops to strengthen the company's messaging and investor engagement. Spark Newswire does not hold any interest in the company.

The company believes that this marketing partnership will significantly enhance shareholder awareness, increase visibility across digital and traditional channels, and help articulate the full value of its evolving ecosystem.

Outlook: preparing for explosive growth

As it moves forward, Dynamite maintains strong operational progress and a solid strategic base. Advances in integrations, Kaspa smart contracts and token ecosystems are expected to offer opportunities for expansion and value enhancement. The company's asset growth and synergies position Dynamite well for continuing achievements, which through increased awareness and marketing programs should translate into explosive growth for the company's shareholders. Investors are invited to consult SEDAR+ filings for further details.

About Dynamite Blockchain Corp.

Dynamite Blockchain is a blockchain technology and infrastructure company focused on building shareholder value through its blockchain ecosystem strategy, which comprises three primary divisions: holdings, products and services. The holdings division is the foundation, which focuses on acquiring utility-driven tokens that combine scarcity with real-world adoption and monetization. The products and services divisions are intended to drive utility into the digital assets in the holdings division by the development and acquisition of products and services that will be compatible with the digital assets in the company's holdings division. Working in strategic harmony, the vertically integrated blockchain ecosystem not only offers shareholders ownership in rare and unique digital assets but also provides them with a unique investment vehicle that has utility generation built into its business model.

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