Mr. Jon Cohen reports

PROPHECY DEFI ANNOUNCES CEASE TRADE ORDER

The Ontario Securities Commission has issued a failure-to-file cease trade order against Prophecy DeFi Inc., which orders that general trading, whether direct or indirect, of the securities of the company cease under Multilateral Instrument 11-103 (Failure-to-File Cease Trade Orders in Multiple Jurisdictions). A copy of the CTO has been posted to the OSC website.

The CTO was issued as a result of the company's failure to file its audited consolidated financial statements for the year ended Dec. 31, 2025, annual management's discussion and analysis for the same period, and management certifications of annual filings before the April 30, 2026, filing deadline. The failure to file the required filings by the filing deadline was mainly due to the complexities of the recent conversion of debentures, which required extra time for the auditor.

The company continues to work diligently to complete the filing of the required filings and does not expect an interruption of the operations of the company during the CTO. The company anticipates that it will complete the required filings on or before May 15, 2026. Revocation of the CTO is expected to occur within a few days after the required filings are made.

About Prophecy DeFi Inc.

Prophecy DeFi is a publicly traded investment company whose primary objective is to invest its funds for the purpose of generating returns from capital appreciation and income. It plans to accomplish these goals by bringing together technology start-ups in the blockchain and decentralized finance sectors to finance innovation, elevate industry research and create new business opportunities in a coherent ecosystem.

We seek Safe Harbor.