# EDGAR Filing Document

**Accession Number:** 0002100457
**File Stem:** 0001753926-26-000899
**Filing Date:** 2026-5
**Character Count:** 4824646
**Document Hash:** 126988acf63a4dd52a673666ea1668db
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001753926-26-000899.hdr.sgml**: 20260515

**ACCESSION NUMBER**: 0001753926-26-000899

**CONFORMED SUBMISSION TYPE**: 40FR12B

**PUBLIC DOCUMENT COUNT**: 146

**FILED AS OF DATE**: 20260515

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Bitzero Holdings Inc.
- **CENTRAL INDEX KEY:** 0002100457

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** A6
- **FISCAL YEAR END:** 0930

**FILING VALUES:**
- **FORM TYPE:** 40FR12B
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-43300
- **FILM NUMBER:** 26989858

**BUSINESS ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** 1100 ONE BENTALL CENTRE
- **STREET 2:** 505 BURRARD STREET, SUITE 1100
- **CITY:** VANCOUVER
- **PROVINCE COUNTRY:** A1
- **ZIP:** V7X 1M5
- **BUSINESS PHONE:** 44 (777) 303-0394

**MAIL ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** 1100 ONE BENTALL CENTRE
- **STREET 2:** 505 BURRARD STREET, SUITE 1100
- **CITY:** VANCOUVER
- **PROVINCE COUNTRY:** A1
- **ZIP:** V7X 1M5

**UNITED STATES** <br> **SECURITIES AND EXCHANGE COMMISSION** <br> **Washington, D.C. 20549** 

**FORM 40-F**

☒ Registration statement pursuant to Section 12 of the Securities Exchange Act of 1934 <br> or <br> ☐ Annual report pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934

For the fiscal year ended ______________ Commission File Number ______________

**Bitzero Holdings Inc.** <br> (Exact name of Registrant as specified in its charter)

---

| | | |
|:---|:---|:---|
| **Ontario, Canada** | **6199** | **N/A** |
| (Province or other jurisdiction of | (Primary Standard Industrial Classification | (I.R.S. Employer |
| incorporation or organization) | Code Number) | Identification Number) |

---

**1100 One Bentall Centre** 

**505 Burrard Street, Suite 1100**<br> **Vancouver, British Columbia** <br> **44 (777) 303-0394** <br> (Address and telephone number of Registrant's principal executive offices)

**COGENCY GLOBAL INC.**

**122 East 42nd Street, 18th Floor**

**New York, NY 10168**

**1-800-221-0102**<br> (Name, address (including zip code) and telephone number (including<br> area code) of agent for service in the United States)

Securities registered or to be registered pursuant to Section 12(b) of the Act:

---

| | |
|:---|:---|
| <u>Title of each class</u> | <u>Name of each exchange on which registered</u> |
| **Common Shares, no par value** | **NASDAQ Capital Market** |

---

Securities registered pursuant to Section 12(g) of the Act: **None**

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act: **None** 

For annual reports, indicate by check mark the information filed with this Form:

☐ Annual information form ☐ Audited annual financial statements

Indicate the number of outstanding shares of each of the registrant's classes of capital or common stock as of the close of the period covered by the annual report: **N/A** 

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90 days. ☐ Yes ☒ No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). ☐ Yes ☐ No

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 12b-2 of the Exchange Act.

☒ Emerging growth company

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards† provided pursuant to Section 13(a) of the Exchange Act. ☐

† The
 term "new or revised financial accounting standard" refers to any update issued by the Financial Accounting Standards
 Board to its Accounting Standards Codification after April 5, 2012.

**EXPLANATORY NOTE**

Bitzero Holdings Inc. (the "Company", the "Registrant") is a Canadian public issuer eligible to file its registration statement pursuant to Section 12 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), on Form 40-F pursuant to the multi-jurisdictional disclosure system of the Exchange Act. The Company is a "foreign private issuer" as defined in Rule 3b-4 under the Exchange Act. Equity securities of the Company are accordingly exempt from Sections 14(a), 14(b), 14(c), 14(f) and 16 of the Exchange Act pursuant to Rule 3a12-3.

**FORWARD LOOKING STATEMENTS** 

This Registration Statement and the Exhibits incorporated by reference into this Registration Statement of the Registrant contain forward-looking statements that reflect our management's expectations with respect to future events, our financial performance and business prospects. All statements other than statements of historical facts, contained in documents incorporated by reference in this Registration Statement that address activities, events or developments that management of the Company expect or anticipate will or may occur in the future are forward-looking statements. Although the Registrant has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended.

Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "proposed" "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "likely", "might", "will" or "will be taken", "occur" or "be achieved", but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Registrant to be materially different from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; delay or failure to receive board, shareholder or regulatory approvals; and the results of continued development, marketing and sales as well as those factors discussed under the heading "Risk Factors" in the Registrant's Annual Information Form, included as Exhibit 99.81 to this Registration Statement.

There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Although the management and of officers of the Registrant believe that the expectations reflected in such forward-looking statements are based upon reasonable assumptions and have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Registrant's forward-looking statements contained in the Exhibits incorporated by reference into this Registration Statement are made as of the respective dates set forth in such Exhibits. In preparing this Registration Statement, the Registrant has not updated such forward-looking statements to reflect any change in circumstances or in management's beliefs, expectations or opinions that may have occurred prior to the date hereof. Nor does the Registrant assume any obligation to update such forward-looking statements in the future. Consequently, all of the forward-looking statements made in documents incorporated by reference in this Registration Statement are qualified by these cautionary statements and other cautionary statements or factors contained herein and therein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. Accordingly, for the reasons set forth above, the forward-looking statements in the Exhibits incorporated by reference into this Registration Statement should not be unduly relied upon.

**DIFFERENCES IN UNITED STATES AND CANADIAN REPORTING PRACTICES**

The Registrant is permitted, under a multijurisdictional disclosure system adopted by the United States, to prepare this report in accordance with Canadian disclosure requirements, which are different from those of the United States. The Registrant currently prepares its financial statements, which are filed with this report on Form 40-F in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board, and the audit is subject to Canadian auditing and auditor independence standards.

**PRINCIPAL DOCUMENTS** 

In accordance with General Instruction B.(1) of Form 40-F, the Registrant hereby incorporates by reference Exhibits 99.1 through 99.100, inclusive, as set forth in the Exhibit Index attached hereto.

In accordance with General Instruction D.(9) of Form 40-F, the Registrant has filed the written consent of certain experts named in the foregoing Exhibits 99.99 and 99.100, as set forth in the Exhibit Index attached hereto.

**TAX MATTERS**

Purchasing, holding, or disposing of securities of the Registrant may have tax consequences under the laws of the United States and Canada that are not described in this registration statement on Form 40-F.

**DESCRIPTION OF COMMON SHARES** 

The required disclosure is included in the Annual Information Form included as Exhibit 99.80.

**OFF-BALANCE SHEET ARRANGEMENTS**

The Registrant does not have any off-balance sheet arrangements.

**CURRENCY** 

Unless otherwise indicated, all dollar amounts in this Registration Statement on Form 40-F are in United States dollars.

**CONTRACTUAL OBLIGATIONS**

The following table lists, as of September 30, 2025, information with respect to the Registrant's known contractual obligations (in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Payments due by period** | **Payments due by period** | **Payments due by period** | **Payments due by period** | **Payments due by period** |
| <br> **Contractual Obligations** | <br>**Total** | **Less than**<br>**1 year** | <br>**1-3 years** | <br>**3-5 years** | **More than**<br>**5 years** |
| Long-Term Debt Obligations | $17510 | $2100 | $15410 | $— | $— |
| Capital (Finance) Lease Obligations | $— | $— | $— | $— | $— |
| Operating Lease Obligations | $— | $— | $— | $— | $— |
| Purchase Obligations | $— | $— | $— | $— | $— |
| Other Long-Term Liabilities Reflected on Balance Sheet | $3841 | $1800 | $2041 | $— | $— |
| **Total** | $21351 | $3900 | $17451 | $— | $— |

---

**NASDAQ CORPORATE GOVERNANCE**

A foreign private issuer that follows home country practices in lieu of certain provisions of the listing rules of the Nasdaq Stock Market LLC (the "Nasdaq Stock Market Rules") must disclose the ways in which its corporate governance practices differ from those followed by domestic companies. As required by Nasdaq Rule 5615(a)(3), the Registrant will disclose on its website, https://bitzero.com/, as of the listing date, each requirement of the Nasdaq Stock Market Rules that it does not follow and describe the home country practice followed in lieu of such requirements.

**UNDERTAKING** 

The Registrant undertakes to make available, in person or by telephone, representatives to respond to inquiries made by the Commission staff, and to furnish promptly, when requested to do so by the Commission staff, information relating to the securities registered pursuant to Form 40-F or transactions in said securities.

**CONSENT TO SERVICE OF PROCESS** 

The Registrant has concurrently filed a Form F-X in connection with the class of securities to which this Registration Statement relates.

Any change to the name or address of the Registrant's agent for service shall be communicated promptly to the Commission by amendment to the Form F-X referencing the file number of the Registrant.

**SIGNATURES** 

Pursuant to the requirements of the Exchange Act, the Registrant certifies that it meets all of the requirements for filing on Form 40-F and has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | |
|:---|:---|
|  | **BITZERO HOLDINGS INC.** |
| By: | /s/ Mohammed Bakhashwain |
|  | Name: Mohammed Bakhashwain |
|  | Title: Chief Executive Officer |

---

Date: May 15, 2026

**EXHIBIT INDEX** 

The following documents are being filed with the Commission as Exhibits to this Registration Statement:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**<u>Exhibit</u>** | **<u>Description</u>** |
| &nbsp;&nbsp;[99.1](g085467_ex99-1.htm) | [News Release dated October 4, 2024](g085467_ex99-1.htm) |
| &nbsp;&nbsp;[99.2](g085467_ex99-2.htm) | [Material Change Report dated October 8, 2024](g085467_ex99-2.htm) |
| &nbsp;&nbsp;[99.3](g085467_ex99-3.htm) | [News Release dated November 19, 2024](g085467_ex99-3.htm) |
| &nbsp;&nbsp;[99.4](g085467_ex99-4.htm) | [Arrangement Agreement dated November 18, 2024](g085467_ex99-4.htm) |
| &nbsp;&nbsp;[99.5](g085467_ex99-5.htm) | [Interim Order dated November 22, 2024](g085467_ex99-5.htm) |
| &nbsp;&nbsp;[99.6](g085467_ex99-6.htm) | [Management Information Circular dated November 25, 2025](g085467_ex99-6.htm) |
| &nbsp;&nbsp;[99.7](g085467_ex99-7.htm) | [Final order for Proposed Arrangement dated December 12, 2024](g085467_ex99-7.htm) |
| &nbsp;&nbsp;[99.8](g085467_ex99-8.htm) | [News Release dated December 13, 2024](g085467_ex99-8.htm) |
| &nbsp;&nbsp;[99.9](g085467_ex99-9.htm) | [Notice of Change in Corporate Structure dated December 18, 2024](g085467_ex99-9.htm) |
| &nbsp;&nbsp;[99.10](g085467_ex99-10.htm) | [News Release dated December 18, 2024](g085467_ex99-10.htm) |
| &nbsp;&nbsp;[99.11](g085467_ex99-11.htm) | [Material Change Report dated December 18, 2024](g085467_ex99-11.htm) |
| &nbsp;&nbsp;[99.12](g085467_ex99-12.htm) | [Audited Consolidated Financial Statements for the years ended October 31, 2024 and October 31, 2023](g085467_ex99-12.htm) |
| &nbsp;&nbsp;[99.13](g085467_ex99-13.htm) | [Management Discussion and Analysis for the year ended October 31, 2024 and 2023](g085467_ex99-13.htm) |
| &nbsp;&nbsp;[99.14](g085467_ex99-14.htm) | [Certification of annual filings CEO dated February 27, 2025](g085467_ex99-14.htm) |
| &nbsp;&nbsp;[99.15](g085467_ex99-15.htm) | [Certification of annual filings CFO dated February 27, 2025](g085467_ex99-15.htm) |
| &nbsp;&nbsp;[99.16](g085467_ex99-16.htm) | [News Release dated April 2, 2025](g085467_ex99-16.htm) |
| &nbsp;&nbsp;[99.17](g085467_ex99-17.htm) | [Unaudited Condensed Interim Consolidated Financial Statements for the periods ended January 31, 2025 and January 31, 2024](g085467_ex99-17.htm) |
| &nbsp;&nbsp;[99.18](g085467_ex99-18.htm) | [Management Discussion and Analysis for the periods ended January 31, 2025, and 2024](g085467_ex99-18.htm) |
| &nbsp;&nbsp;[99.19](g085467_ex99-19.htm) | [Certification of Interim filings CFO dated April 4, 2025](g085467_ex99-19.htm) |
| &nbsp;&nbsp;[99.20](g085467_ex99-20.htm) | [Certification of Interim filings CEO dated April 4, 2025](g085467_ex99-20.htm) |
| &nbsp;&nbsp;[99.21](g085467_ex99-21.htm) | [Unaudited Condensed Interim Consolidated Financial Statements for the periods ended April 30, 2025 and April 30, 2024](g085467_ex99-21.htm) |
| &nbsp;&nbsp;[99.22](g085467_ex99-22.htm) | [Management Discussion and Analysis for the periods ended April 30, 2025 and 2024](g085467_ex99-22.htm) |
| &nbsp;&nbsp;[99.23](g085467_ex99-23.htm) | [Certification of Interim filings CFO dated May 20, 2025](g085467_ex99-23.htm) |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;[99.24](g085467_ex99-24.htm) | [Certification of Interim filings CEO dated May 20, 2025](g085467_ex99-24.htm) |
| &nbsp;&nbsp;[99.25](g085467_ex99-25.htm) | [Notice of the meeting and record date dated June 23, 2025](g085467_ex99-25.htm) |
| &nbsp;&nbsp;[99.26](g085467_ex99-26.htm) | [News Release dated June 27, 2025](g085467_ex99-26.htm) |
| &nbsp;&nbsp;[99.27](g085467_ex99-27.htm) | [Notice of the Meeting and Record date (amended) dated July 16, 2025](g085467_ex99-27.htm) |
| &nbsp;&nbsp;[99.28](g085467_ex99-28.htm) | [News Release dated July 24, 2025](g085467_ex99-28.htm) |
| &nbsp;&nbsp;[99.29](g085467_ex99-29.htm) | [Material Change Report dated July 29, 2025](g085467_ex99-29.htm) |
| &nbsp;&nbsp;[99.30](g085467_ex99-30.htm) | [Management Information Circular dated August 5, 2025](g085467_ex99-30.htm) |
| &nbsp;&nbsp;[99.31](g085467_ex99-31.htm) | [Form of Proxy for Special Meeting to be held on August 25, 2025](g085467_ex99-31.htm) |
| &nbsp;&nbsp;[99.32](g085467_ex99-32.htm) | [Notice of Meeting to be held on August 25, 2025 dated August 5, 2025](g085467_ex99-32.htm) |
| &nbsp;&nbsp;[99.33](g085467_ex99-33.htm) | [News Release dated August 27, 2025](g085467_ex99-33.htm) |
| &nbsp;&nbsp;[99.34](g085467_ex99-34.htm) | [Unaudited Condensed Interim Consolidated Financial Statements for the periods ended July 31, 2025 and July 31, 2024](g085467_ex99-34.htm) |
| &nbsp;&nbsp;[99.35](g085467_ex99-35.htm) | [Management Discussion and Analysis for the periods ended July 31, 2025 and 2024](g085467_ex99-35.htm) |
| &nbsp;&nbsp;[99.36](g085467_ex99-36.htm) | [Certification of Interim filings CFO dated September 12, 2025](g085467_ex99-36.htm) |
| &nbsp;&nbsp;[99.37](g085467_ex99-37.htm) | [Certification of Interim filings CEO dated September 12, 2025](g085467_ex99-37.htm) |
| &nbsp;&nbsp;[99.38](g085467_ex99-38.htm) | [Unaudited Condensed Interim Consolidated Financial Statements for the periods ended July 31, 2025 and July 31, 2024 (amended)](g085467_ex99-38.htm) |
| &nbsp;&nbsp;[99.39](g085467_ex99-39.htm) | [Certification of Refiled Interim filings CFO dated October 23, 2025](g085467_ex99-39.htm) |
| &nbsp;&nbsp;[99.40](g085467_ex99-40.htm) | [Certification of Refiled Interim filings CEO dated October 23, 2025](g085467_ex99-40.htm) |
| &nbsp;&nbsp;[99.41](g085467_ex99-41.htm) | [Management Discussion and Analysis for the periods ended July 31, 2025 and 2024](g085467_ex99-41.htm) |
| &nbsp;&nbsp;[99.42](g085467_ex99-42.htm) | [News Release dated November 17, 2025](g085467_ex99-42.htm) |
| &nbsp;&nbsp;[99.43](g085467_ex99-43.htm) | [News Release dated November 19, 2025](g085467_ex99-43.htm) |
| &nbsp;&nbsp;[99.44](g085467_ex99-44.htm) | [Filing Statement dated November 19, 2025](g085467_ex99-44.htm) |
| &nbsp;&nbsp;[99.45](g085467_ex99-45.htm) | [Pre-Emptive Rights Agreement dated May 16, 2022](g085467_ex99-45.htm) |
| &nbsp;&nbsp;[99.46](g085467_ex99-46.htm) | [Luxor Technology Corporation Services Agreement dated May 26, 2022](g085467_ex99-46.htm) |
| &nbsp;&nbsp;[99.47](g085467_ex99-47.htm) | [Lease Agreement between Exanorth AS and Sowrer AS dated April 13, 2024](g085467_ex99-47.htm) |
| &nbsp;&nbsp;[99.48](g085467_ex99-48.htm) | [Sales and Purchase Agreement between Far Holdings Bermuda Ltd. and Bitzero Blockchain Inc. dated October 30, 2025](g085467_ex99-48.htm) |
| &nbsp;&nbsp;[99.49](g085467_ex99-49.htm) | [Contract for Supply of Electrical Power and Balance Services dated November 11, 2021](g085467_ex99-49.htm) |
| &nbsp;&nbsp;[99.50](g085467_ex99-50.htm) | [Loan and Guaranty Agreement dated June 27, 2025](g085467_ex99-50.htm) |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;[99.51](g085467_ex99-51.htm) | [Investor Rights Agreement dated May 16, 2022](g085467_ex99-51.htm) |
| &nbsp;&nbsp;[99.52](g085467_ex99-52.htm) | [Joinder, Delayed Draw Advance and Second Amendment to Loan and Guaranty Agreement dated October 20, 2025](g085467_ex99-52.htm) |
| &nbsp;&nbsp;[99.53](g085467_ex99-53.htm) | [Settlement Agreement between Exakraft AS and Exanorth AS dated June 17, 2024](g085467_ex99-53.htm) |
| &nbsp;&nbsp;[99.54](g085467_ex99-54.htm) | [Memorandum of Limited Option Agreement dated December 29, 2022](g085467_ex99-54.htm) |
| &nbsp;&nbsp;[99.55](g085467_ex99-55.htm) | [Luxor Firmware Developer Fee Addendum Agreement (redacted) dated February 29, 2024](g085467_ex99-55.htm) |
| &nbsp;&nbsp;[99.56](g085467_ex99-56.htm) | [Convertible Subordinated Promissory Note dated October 30, 2025](g085467_ex99-56.htm) |
| &nbsp;&nbsp;[99.57](g085467_ex99-57.htm) | [Lease Agreement between Exanorth AS and Sowrer AS dated April 13, 2024](g085467_ex99-57.htm) |
| &nbsp;&nbsp;[99.58](g085467_ex99-58.htm) | [Asset Purchase Agreement between Phoenix World Electronics Trading LLC and Bitzero Blockchain Inc. dated February 2, 2022](g085467_ex99-58.htm) |
| &nbsp;&nbsp;[99.59](g085467_ex99-59.htm) | [Escrow Agreement dated November 19, 2025](g085467_ex99-59.htm) |
| &nbsp;&nbsp;[99.60](g085467_ex99-60.htm) | [Lease Agreement with Option to Buy dated September 16, 2022](g085467_ex99-60.htm) |
| &nbsp;&nbsp;[99.61](g085467_ex99-61.htm) | [Proposed Transaction between WBM Capital Corp. and BitZero Blockchain Inc. dated August 21, 2025](g085467_ex99-61.htm) |
| &nbsp;&nbsp;[99.62](g085467_ex99-62.htm) | [Right of First Refusal Agreement dated December 29, 2022](g085467_ex99-62.htm) |
| &nbsp;&nbsp;[99.63](g085467_ex99-63.htm) | [Certificate of Amalgamation dated November 19, 2025](g085467_ex99-63.htm) |
| &nbsp;&nbsp;[99.64](g085467_ex99-64.htm) | [News Release dated November 23, 2025](g085467_ex99-64.htm) |
| &nbsp;&nbsp;[99.65](g085467_ex99-65.htm) | [News Release dated November 25, 2025](g085467_ex99-65.htm) |
| &nbsp;&nbsp;[99.66](g085467_ex99-66.htm) | [Notice of Change in Corporate Structure dated December 1, 2025](g085467_ex99-66.htm) |
| &nbsp;&nbsp;[99.67](g085467_ex99-67.htm) | [Material Change Report dated December 1, 2025](g085467_ex99-67.htm) |
| &nbsp;&nbsp;[99.68](g085467_ex99-68.htm) | [Articles dated October 20, 2025](g085467_ex99-68.htm) |
| &nbsp;&nbsp;[99.69](g085467_ex99-69.htm) | [News Release dated December 2, 2025](g085467_ex99-69.htm) |
| &nbsp;&nbsp;[99.70](g085467_ex99-70.htm) | [News Release dated December 9, 2025](g085467_ex99-70.htm) |
| &nbsp;&nbsp;[99.71](g085467_ex99-71.htm) | [News Release dated December 12, 2025](g085467_ex99-71.htm) |
| &nbsp;&nbsp;[99.72](g085467_ex99-72.htm) | [Material Change Report dated December 22, 2025](g085467_ex99-72.htm) |
| &nbsp;&nbsp;[99.73](g085467_ex99-73.htm) | [News Release dated January 13, 2026](g085467_ex99-73.htm) |
| &nbsp;&nbsp;[99.74](g085467_ex99-74.htm) | [News Release dated January 19, 2026](g085467_ex99-74.htm) |
| &nbsp;&nbsp;[99.75](g085467_ex99-75.htm) | [News Release dated January 27, 2026](g085467_ex99-75.htm) |
| &nbsp;&nbsp;[99.76](g085467_ex99-76.htm) | [Audited Consolidated Financial Statements for the years ended September 30, 2025 and September 30, 2024](g085467_ex99-76.htm) |

---

---

| | |
|:---|:---|
| [99.77](g085467_ex99-77.htm) | [Management's Discussion and Analysis for the year ended September 30, 2025](g085467_ex99-77.htm) |
| [99.78](g085467_ex99-78.htm) | [Certification of Annual Filings CEO dated January 28, 2026](g085467_ex99-78.htm) |
| [99.79](g085467_ex99-79.htm) | [Certification of Annual Filings CFO dated January 28, 2026](g085467_ex99-79.htm) |
| [99.80](g085467_ex99-80.htm) | [Annual Information Form dated February 2, 2026](g085467_ex99-80.htm) |
| [99.81](g085467_ex99-81.htm) | [Certification of Annual Filings in connection with the filed AIF CFO dated February 2, 2026](g085467_ex99-81.htm) |
| [99.82](g085467_ex99-82.htm) | [Certification of Annual Filings in connection with the filed AIF CEO dated February 2, 2026](g085467_ex99-82.htm) |
| [99.83](g085467_ex99-83.htm) | [News Release dated February 10, 2026](g085467_ex99-83.htm) |
| [99.84](g085467_ex99-84.htm) | [Material Change report dated February 19, 2026](g085467_ex99-84.htm) |
| [99.85](g085467_ex99-85.htm) | [Unaudited Condensed Interim Consolidated Financial Statements for the periods ended December 31, 2025 and December 31, 2024](g085467_ex99-85.htm) |
| [99.86](g085467_ex99-86.htm) | [Management's Discussion and Analysis for the period ended December 31, 2025](g085467_ex99-86.htm) |
| [99.87](g085467_ex99-87.htm) | [Certification of Interim Filings CEO dated February 27, 2026](g085467_ex99-87.htm) |
| [99.88](g085467_ex99-88.htm) | [Certification of Interim Filings CFO dated February 27, 2026](g085467_ex99-88.htm) |
| [99.89](g085467_ex99-89.htm) | [Audited Consolidated Financial Statements for the years ended October 31, 2025 and October 31, 2024](g085467_ex99-89.htm) |
| [99.90](g085467_ex99-90.htm) | [Management's Discussion and Analysis for the period ended October 31, 2025](g085467_ex99-90.htm) |
| [99.91](g085467_ex99-91.htm) | [Certification of Annual Filings CFO dated March 6, 2026](g085467_ex99-91.htm) |
| [99.92](g085467_ex99-92.htm) | [Certification of Annual Filings CEO dated March 6, 2026](g085467_ex99-92.htm) |
| [99.93](g085467_ex99-93.htm) | [Purchase and Sale Agreement dated July 18, 2022](g085467_ex99-93.htm) |
| [99.94](g085467_ex99-94.htm) | [Data Services Agreement dated December 15, 2021](g085467_ex99-94.htm) |
| [99.95](g085467_ex99-95.htm) | [News Release dated April 24, 2026](g085467_ex99-95.htm) |
| [99.96](g085467_ex99-96.htm) | [News Release dated May 5, 2026](g085467_ex99-96.htm) |
| [99.97](g085467_ex99-97.htm) | [News Release dated May 7, 2026](g085467_ex99-97.htm) |
| [99.98](g085467_ex99-98.htm) | [Compensation Recovery Policy dated May 12, 2026](g085467_ex99-98.htm) |
| [99.99](g085467_ex99-99.htm) | [Consent of MNP LLP](g085467_ex99-99.htm) |
| [99.100](g085467_ex99-100.htm) | [Consent of SRCO Professional Corporation](g085467_ex99-100.htm) |

---

## Exhibit 99.1

**Exhibit 99.1**

**WBM CAPITAL ANNOUNCES RESULTS OF ITS SPECIAL MEETING OF SHAREHOLDERS AND COMPLETES SHARE CONSOLIDATION**

**October 4, 2024 – Vancouver, British Columbia –** WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.) ("**WBM**" or the "**Company**") is pleased to announce that it has received the approval of disinterested shareholders on the sole item of business presented at its special meeting of shareholders held on October 1, 2024 (the "**Meeting**"), being a consolidation of the Company's issued and outstanding common shares (the "**Shares**") on the basis of 6,000,000 pre-consolidation common shares to one post-consolidation common share (the "**Consolidation**").

The results of the vote on the Consolidation resolution are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;<u>Resolution</u> | &nbsp;&nbsp;<u>Votes For</u> | &nbsp;&nbsp;<u>% of Votes For</u> | &nbsp;&nbsp;<u>Votes Against</u> | &nbsp;&nbsp;<u>% of Votes Against</u> |
| &nbsp;&nbsp;Consolidation | &nbsp;&nbsp;804103 | &nbsp;&nbsp;92.94% | &nbsp;&nbsp;61132 | &nbsp;&nbsp;7.07% |

---

The Consolidation will become effective on or around October 4, 2024 (the "**Effective Date**").

No fractional shares will be issued as a result of the Consolidation. Shareholders who would otherwise hold a fractional interest in a common share following the Consolidation (i.e. those who hold less than 6,000,000 pre-consolidation shares) are entitled to receive C$0.005 in cash (the "**Cash Consideration**") for each pre-consolidation common share held. A letter of transmittal with respect to the Consolidation was mailed to all registered shareholders in connection with the Meeting. WBM encourages its registered shareholders who hold their common shares via physical share certificate(s) to complete and return the letter of transmittal, along with their respective physical share certificates, to the Company's transfer agent, Odyssey Trust Company, at the address set out in the letter of transmittal. Shareholders of the Company who hold their common shares through book-entry or DRS statement(s) do not need to complete a letter of transmittal to receive their respective Cash Consideration.

Following the Consolidation, the Company will have one common share issued and outstanding.

Further details of the Consolidation are contained in the Company's information circular dated as of September 10, 2024 prepared for the Meeting, and is available under the Corporation's profile on SEDAR+ at <u>www.sedarplus.ca</u> and mailed to the Shareholders.

The Consolidation constitutes a "business combination" within the meaning of *Multilateral Instrument 61- 101 - Protection of Minority Security Holders in Special Transactions* ("**MI 61-101**"). Further disclosure related to MI 61-101 as it relates to the Consolidation is contained in the Company's information circular dated as of September 10, 2024.

**About WBM Capital**

WBM is a reporting issuer in the Provinces of British Columbia, Alberta and Ontario.

Carlo Rigillo

Chief Executive Officer

e: carlo.rigillo@gmail.com

t: 647-400-4794

**Cautionary Statements**

*This news release may contain forward-looking statements which reflect the Company's current expectations regarding future events. The forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan, "estimate", "expect", "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. Forward-looking statements and information involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements and information and accordingly, readers should not place undue reliance on such statements and information. The Company's ongoing quarterly filings should be consulted for additional information on risks and uncertainties relating to these forward-looking statements. Investors should not place undue reliance on any forward-looking statements. Management assumes no obligation to update or alter any forward-looking statements whether as a result of new information, further events or otherwise, except as required by applicable law.*

## Exhibit 99.2

**Exhibit 99.2**

**WBM CAPITAL CORP.**

**MATERIAL CHANGE REPORT**

**FORM 51-102F3**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.** **Name and Address of Company:** 

WBM Capital Corp. (the "**Company**") <br> 1900 – 1040 West Georgia Street, <br> Vancouver, BC V6E 4H3

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Date of Material Change:** 

October 4, 2024

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.** **News Release:** 

October 4, 2024, a news release reporting the material change was filed on SEDAR+ at <u>www.sedarplus.ca</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Summary of Material Change:** 

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares (the "**Shares**") on the basis of 6,000,000 pre-consolidation common shares to one post-consolidation common share (the "**Consolidation**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Full Description of Material Change:** 

On October 4, 2024, the Company announced that it received the approval of disinterested shareholders on the sole item of business presented at its special meeting of shareholders held on October 1, 2024 (the "**Meeting**"), being the Consolidation, and that the Consolidation would become effective on or around October 4, 2024.

The Consolidation became effective on October 4, 2024.

No fractional shares were issued as a result of the Consolidation. Shareholders who would otherwise hold a fractional interest in a common share following the Consolidation (i.e. those who held less than 6,000,000 pre-consolidation shares) are entitled to receive C$0.005 in cash (the "**Cash Consideration**") for each pre-consolidation common share held. A letter of transmittal with respect to the Consolidation was mailed to all registered shareholders in connection with the Meeting. The Company encourages its registered shareholders who hold their common shares via physical share certificate(s) to, if they have not done so already, complete and return the letter of transmittal, along with their respective physical share certificates, to the Company's transfer agent, Odyssey Trust Company, at the address set out in the letter of transmittal. Shareholders of the Company who hold their common shares through book-entry or DRS statement(s) do not need to complete a letter of transmittal to receive their respective Cash Consideration.

As a result of the Consolidation, the Company has one common share issued and outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.** **Reliance on subsection 7.1(2) of National Instrument 51-102:** 

Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Omitted Information:** 

No significant facts otherwise required to be disclosed in this report have been omitted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Executive Officer:** 

For further information, please contact: <br>Carlo Rigillo

Chief Executive Officer

+1 (647) 400-4794

<u>carlo.rigillo@gmail.com</u>

**Date of Report:** 

October 8, 2024

## Exhibit 99.3

**Exhibit 99.3**

**WBM CAPITAL CORP. ANNOUNCES ARRANGEMENT AGREEMENT**

**November 19, 2024 – Vancouver, British Columbia –** WBM Capital Corp. ("**WBM**" or the "**Company**") is pleased to announce that it has entered into an arrangement agreement (the "**Arrangement Agreement**") on November 18, 2024 with its wholly-owned subsidiaries, 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. (each a "**Subsidiary**"; collectively, the "**Subsidiaries**") pursuant to which the parties intend to complete a court approved statutory plan of arrangement under the *Business Corporations Act* (British Columbia) (the "**Plan of Arrangement**").

Pursuant to the proposed Plan of Arrangement, WBM will spin-out the common shares it currently holds in the Subsidiaries to its shareholder, with the result that each Subsidiary will be owned directly by the shareholder of WBM.

Completion of the transactions contemplated by the Arrangement Agreement, including the consummation of the Plan of Arrangement will, among other things, require the unanimous written consent of the sole shareholder of WBM and the approval of the Supreme Court of British Columbia.

Full details of the Plan of Arrangement will be included in the management information circular of WBM, which is expected to be distributed to the WBM shareholder in November 2024. A copy of the Arrangement Agreement and the information circular will be made available on the SEDAR+ profile of WBM at <u>www.sedarplus.ca</u>.

**About WBM Capital**

WBM is a reporting issuer in the Provinces of British Columbia, Alberta and Ontario. It has no current business other than evaluating and pursuing opportunities to develop or transact with a high quality operating business.

**For Further Information, please contact:**

Carlo Rigillo

Chief Executive Officer

e: <u>carlo.rigillo@gmail.com</u>

t: 647-400-4794

**Cautionary Statements**

This news release contains "forward-looking information" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as "may", "will", "expect", "likely", "should", "would", "plan", "anticipate", "intend", "potential", "proposed", "estimate", "believe" or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen, or by discussions of strategy. The forward-looking information contained in this press release includes, without limitation, information relating to the proposed Plan of Arrangement and the Company's future plans, including acquiring or building an operating business. Forward-looking information is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including management's perceptions of historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate in the circumstances. Any such forward-looking information is based on information currently available to WBM and is based on assumptions and analyses made in light of WBM's experience and perception of historical trends and current conditions. While the Company considers these assumptions to be reasonable based on information currently available to management, there is no assurance that such expectations will prove to be correct. Readers are cautioned that actual results may vary from the forward-looking information, and undue reliance should not be placed on such forward-looking information.

By their nature, forward-looking information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. A variety of factors, including known and unknown risks, many of which are beyond our control, could cause actual results to differ materially from the forward-looking information in this news release. Additional risk factors can also be found in WBM's financial statements and management's discussion and analysis, which are available under WBM's profile on SEDAR+ at <u>www.sedarplus.ca</u>.

Unless otherwise indicated, the forward-looking statements in this news release are based on the Company's expectations at the date of this news release. Readers are cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking information. WBM undertakes no obligation to update or revise such forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise, except as required by applicable law.

## Exhibit 99.4

**Exhibit 99.4**

**ARRANGEMENT AGREEMENT**

**THIS AGREEMENT** made as of the 18<sup>th</sup> day of November, 2024,<br>

**AMONG:**

**WBM CAPITAL CORP.**, a company continued under the laws of the Province of British Columbia

("**WBM**")

**AND:**

**1507651 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**651**")

**AND:**

**1507652 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**652**")

**AND:**

**1507653 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**653**")

**AND:**

**1507655 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**655**")

**AND:**

**1510450 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**450**")

**AND:**

**1510441 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**441**")

**AND:**

**1510435 B.C. LTD.,** a company incorporated under the laws of the Province of British Columbia

("**435**")

**WHEREAS** the Parties wish to effect a reorganization transaction by way of a statutory plan of arrangement under the provisions of the *Business Corporations Act* (British Columbia) on the terms and conditions set out in this Agreement and the Plan of Arrangement annexed hereto as Exhibit A.

**NOW THEREFORE THIS AGREEMENT WITNESSES** that, in consideration of the premises and the covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by each of the Parties to the other Parties, the Parties covenant and agree as follows:

**ARTICLE 1**

**INTERPRETATION**

**1.1**  **<u>Definitions</u>** 

In this Agreement the following terms have the following meanings, respectively:

"**435**" means 1510435 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**435 Common Shares**" means the common shares in the authorized share structure of 435;

"**441**" means 1510441 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**441 Common Shares**" means the common shares in the authorized share structure of 441;

"**450**" means 1510450 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**450 Common Shares**" means the common shares in the authorized share structure of 450;

"**651**" means 1507651 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**651 Common Shares**" means the common shares in the authorized share structure of 651;

"**652**" means 1507652 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**652 Common Shares**" means the common shares in the authorized share structure of 652;

"**653**" means 1507653 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**653 Common Shares**" means the common shares in the authorized share structure of 653;

"**655**" means 1507655 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**655 Common Shares**" means the common shares in the authorized share structure of 655;

"**Agreement**" means this arrangement agreement entered into among the Parties as first referenced above, including Exhibit A hereto and all amendments made hereto;

"**Arrangement**" means an arrangement under the provisions of Section 288 of the BCBCA, on the terms and conditions set forth in the Plan of Arrangement as amended or varied from time to time in accordance with the terms of this Agreement or the Plan of Arrangement or made at the direction of the Court in the Final Order;

"**Arrangement Filings**" means, if any, the records and information provided to the Registrar under Subsection 292(a) of the BCBCA, together with a copy of the entered Final Order;

"**Arrangement Resolution**" means the special resolution of WBM Shareholders to be considered, and if deemed advisable, authorized and approved;

"**Authority**" means any: (i) multinational, federal, provincial, state, municipal, local or foreign governmental or public department, court, or commission, domestic or foreign; (ii) subdivision or authority of any of the foregoing; or (iii) quasi-governmental or self-regulatory organization exercising any regulatory, expropriation or taxing authority under or for the account of its members or any of the above;

"**BCBCA**" means the *Business Corporations Act* (British Columbia);

"**Business Day**" means a day which is not a Saturday, Sunday or a day when commercial banks are not open for in person business in Vancouver, British Columbia;

"**Circular**" means the management information circular of WBM containing among other things, disclosure in respect of the Arrangement and information in respect of the WBM Subsidiaries following completion of the Arrangement, together with all appendices, distributed by WBM to the WBM Shareholders and filed with such Authorities in Canada as are required by Section 2.5(a)(ii) of this Agreement, or otherwise as required by applicable Law;

"**Court**" means the Supreme Court of British Columbia;

"**Dissent Right**" has the meaning attributed to that term in the Plan of Arrangement;

"**Effective Date**" means the first Business Day after the date upon which the Parties have confirmed in writing (such confirmation not to be unreasonably withheld or delayed) that all conditions to the completion of the Plan of Arrangement have been satisfied or waived in accordance with Article 5 of the Arrangement Agreement and all documents and instruments required under the Arrangement Agreement, the Plan of Arrangement and the Final Order have been delivered;

"**Effective Time**" means 12:01 a.m., on the Effective Date;

"**Encumbrance**" means any encumbrance, lien, charge, hypothec, pledge, mortgage, title retention agreement, security interest of any nature, prior claim, adverse claim, exception, reservation, restrictive covenant, agreement, easement, lease, licence, right of occupation, option, right of use, right of first refusal, right of pre-emption, privilege or any matter capable of registration against title or any contract to create any of the foregoing;

"**Final Order**" means the order made after application to the Court pursuant to Section 291 of the BCBCA approving the Plan of Arrangement as such order may be amended by the Court (with the consent of the Parties, acting reasonably) at any time prior to the Effective Date or, if appealed, then, unless such appeal is withdrawn or denied, as affirmed or as amended (with the consent of the Parties, acting reasonably) on appeal;

"**Interim Order**" means the order made after application to the Court pursuant to Section 291 of the BCBCA, as such order may be amended, supplemented or varied by the Court (with the consent of the Parties, acting reasonably);

"**Laws**" means all laws, by-laws, statutes, rules, regulations, principles of law, orders, ordinances, protocols, codes, guidelines, policies, notices, directions and judgments or other requirements and the terms and conditions of any grant of approval, permission, authority or license of any Authority, to the extent each of the foregoing have the force of law, and the term "applicable" with respect to such laws and in a context that refers to one or more Parties, means such laws as are applicable to such Party or its business, undertaking, property or securities and emanate from a Person having jurisdiction over the Party or Parties or its or their business, undertaking, property or securities;

"**Outside Date**" means January 31, 2025.

"**Parties**" means, collectively, WBM and each of the WBM Subsidiaries, and "Party" means any one of them;

"**Plan of Arrangement**" means the plan of arrangement set out as Exhibit A hereto as the same may be amended from time to time in accordance with the terms thereof and hereof;

"**Registrar**" means the Registrar of Companies for the Province of British Columbia duly appointed under the BCBCA;

"**Representative**" means any director, officer, employee, agent, advisor, consultant or any other representative of any Party;

"**Section 3(a)(10) Exemption**" has the meaning ascribed thereto in Section 2.7;

"**Securities Act**" means the *Securities Act* (British Columbia);

"**Securities Legislation**" means the Securities Act and the equivalent law in the other applicable provinces and territories of Canada, and the published policies, instruments, rules, judgments, orders and decisions of any Authority administering those statutes;

"**Tax Act**" means the *Income Tax Act* (Canada); and

"**U.S. Securities Act**" means the United States Securities Act of 1933.

"**WBM**" means WBM Capital Corp., a company continued under the laws of the Province of British Columbia;

"**WBM Common Shares**" means the common shares in the authorized share structure of WBM;

"**WBM Shareholders**" means the holders of WBM Common Shares;

"**WBM Subsidiaries**" means collectively, 651, 652, 653, 655, 450, 441 and 435.

**1.2**  **<u>Exhibits</u>** 

Exhibit A - Plan of Arrangement

**1.3**  **<u>Construction</u>** 

In this Agreement, unless otherwise expressly stated or the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) references to "herein", "hereby", "hereunder", "hereof'
and similar expressions are references to this Agreement and not to any particular Article, Section, Subsection or Exhibit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) references to an "Article", "Section", "Subsection" or "Exhibit"
are references to an Article, Section, Subsection or Exhibit of or to this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) words importing the singular shall include the plural and *vice versa*, words importing gender
shall include the masculine, feminine and neuter genders, and references to a "person" or "persons" shall
include individuals, corporations, partnerships, associations, trusts, bodies politic and other entities, all as may be applicable
in the context;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the use of headings is for convenience of reference only and shall not affect the construction
or interpretation hereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the word "including", when following any general term or statement, is not to be construed
as limiting the general term or statement to the specific items or matters set forth or to similar items or matters, but rather
as referring to all other items or matters that could reasonably fall within the broadest possible scope of the general term or
statement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) unless otherwise stated, all accounting terms used in this Agreement shall have the meanings attributable
thereto under International Financial Reporting Standards and all determinations of an accounting nature shall be made in a manner
consistent with International Financial Reporting Standards; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) a reference to a statute or code includes every rule and regulation made pursuant thereto, all
amendments to the statute or code or to any such regulation in force from time to time, and any statute, code or regulation which
supplements or supersedes such statute, code, rule or regulation.

**1.4**  **<u>Currency</u>** 

Except where otherwise specified, all references to currency herein are to lawful money of Canada and "$" refers to Canadian dollars.

**1.5**  **<u>Date for Any Action; Computation of Time</u>** 

If any date on which any action is required to be taken hereunder by any of the Parties is not a Business Day, then such action will be required to be taken on the next succeeding day which is a Business Day. A period of time is to be computed as beginning on the day following the event that began the period and ending, if the last day of the period is (i) a Business Day, then at 4:30 pm (Vancouver time) on the last day of the period; and (ii) is not a Business Day, then at 4:30 pm (Vancouver time) on the next Business Day.

**ARTICLE 2**

**THE ARRANGEMENT**

**2.1**  **<u>Arrangement</u>** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) WBM and the WBM Subsidiaries agree to effect the Arrangement pursuant to the provisions of section
288 of the BCBCA on the terms and subject to the conditions contained in this Agreement and on the terms set forth in the Plan
of Arrangement (as amended or varied from time to time).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Arrangement shall become effective on the Effective Date and the steps to be carried out pursuant
to the Plan of Arrangement will become effective commencing at the Effective Time immediately after one another in the sequence
set out therein or as otherwise specified in the Plan of Arrangement.

**2.2**  **<u>Commitment to Effect Arrangement</u>** 

Subject to the satisfaction of the terms and conditions contained in this Agreement, WBM and the WBM Subsidiaries shall each use their commercially reasonable efforts to do all things reasonably required to cause the Arrangement to become effective as soon as reasonably practicable and to cause the transactions contemplated by the Plan of Arrangement and this Agreement to be completed in accordance with their terms, including by making the Arrangement Filings at the appropriate time and in the appropriate order.

**2.3**  **<u>Implementation Steps</u>** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) WBM covenants and agrees that, subject to the terms of
this Agreement, it will promptly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) make an application for a hearing before the Court pursuant to Section 291 of the BCBCA, seeking
the Interim Order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) proceed with such application and diligently pursue obtaining the Interim Order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) as the sole holder of the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares,
450 Common Shares, 441 Common Shares and 435 Common Shares approve the Arrangement by consent resolutions of each WBM Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) take all actions that are reasonably necessary or desirable to obtain the approval of the Arrangement
by the WBM Shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) subject to obtaining such approvals as are required by the Interim Order, make an application to
the Court pursuant to Section 291 of the BCBCA for the Final Order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) proceed with such application and diligently pursue obtaining the Final Order; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) subject to: (i) obtaining the Final Order; and (ii) the satisfaction or waiver (subject to applicable
Laws) of each of the conditions set forth in Article 5 (excluding conditions that by their terms cannot be satisfied until the
Effective Date, but subject to the satisfaction, or when permitted, waiver of those conditions as of the Effective Date), as soon
as reasonably practicable thereafter, take all steps necessary or desirable to give effect to the Arrangement, including filing
any applicable Arrangement Filings with the Registrar by such times and in such order as is necessary to effect the Plan of Arrangement
in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The WBM Subsidiaries covenant and agree that, subject to the terms of this Agreement, each shall promptly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) cooperate and assist WBM in seeking the Interim Order and the Final Order; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) subject to: (i) obtaining the Final Order; and (ii) the satisfaction or waiver (subject to applicable
Laws) of each of the conditions set forth in Article 5 (excluding conditions that by their terms cannot be satisfied until the
Effective Date, but subject to the satisfaction, or when permitted, waiver of those conditions as of the Effective Date), as soon
as reasonably practicable thereafter, take all steps and actions necessary or desirable to give effect to the Arrangement.

**2.4**  **<u>Interim Order</u>** 

The application referred to in Section 2.3(a)(i) shall, unless WBM and the WBM Subsidiaries agree otherwise, include a request that the Interim Order provide, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) that the securities of WBM for which holders shall be entitled to vote on the Arrangement Resolution shall be the WBM Common
Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) that in all other respects, the terms, conditions and restrictions of WBM's constating documents shall apply with respect
to the approval of the Arrangement Resolution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) for the notice requirements with respect to the presentation of the application to the Court for the Final Order; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) for such other matters as WBM or any of the WBM Subsidiaries may reasonably require.

**2.5**  **<u>Information Circular</u>** 

As promptly as practical following the execution of this Agreement and in compliance with the Interim Order and applicable Laws:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) WBM shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) prepare the Circular together with any other documents required by the BCBCA or any other applicable
Laws in connection with the approval of the Arrangement Resolution by the WBM Shareholders; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) subject to the Interim Order, cause the Circular to be: (A) sent to the WBM Shareholders in compliance
with the BCBCA and WBM's articles; and (B) filed with one or more Authorities as required by the Interim Order and applicable
Laws, including on SEDAR+ for the benefit of the public and the Canadian securities regulatory authorities, pursuant to and in
accordance with the Interim Order and applicable Securities Legislation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The WBM Subsidiaries shall cooperate in the preparation, filing and mailing of the Circular.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) WBM and the WBM Subsidiaries shall cooperate with each other in the preparation, filing and dissemination
of any: (i) required supplement or amendment to the Circular or such other document, as the case may be; and (ii) related news
release or other document necessary or desirable in connection therewith.

**2.6**  **<u>Withholding Taxes</u>** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) WBM and the WBM Subsidiaries, as the case
may be, will be entitled to deduct and withhold from any consideration otherwise payable to any WBM Shareholder under the Plan
of Arrangement (including any payment to WBM Shareholders exercising Dissent Rights) such amounts as WBM or the WBM Subsidiaries
are permitted or required to deduct and withhold with respect to such payment under the Tax Act and the rules and regulations promulgated
thereunder, or any provision of any provincial, state, local or foreign tax Law as counsel may advise is permitted or required
to be so deducted and withheld by WBM or the WBM Subsidiaries, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the purposes of such deduction and
withholding: (i) all withheld amounts shall be treated as having been paid to the person in respect of which such deduction and
withholding was made on account of the obligation to make payment to such person hereunder; and (ii) such deducted or withheld
amounts shall be remitted to the appropriate Authority in the time and manner permitted or required by the applicable Law by or
on behalf of WBM or the WBM Subsidiaries, as the case may be.

**2.7**  **<u>U.S. Securities Law Matters</u>** 

The Parties agree that the Arrangement will be carried out with the intention that all securities of WBM and the WBM Subsidiaries to be issued pursuant to the Arrangement will be issued and exchanged in accordance with the Plan of Arrangement in reliance on the exemption from the registration requirements of the U.S. Securities Act provided by Section 3(a)(10) thereof (the "**Section 3(a)(10) Exemption**"). In order to ensure the availability of the Section 3(a)(10) Exemption, the Parties agree that the Arrangement will be carried out on the following basis:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Arrangement will be subject to the approval of the Court;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Court will be advised as to the intention of the Parties to rely on the Section 3(a)(10) Exemption
based on the Court's approval of the Arrangement prior to the hearing of the Court required to approve the Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Court will be invited to satisfy itself and find, prior to approving the Arrangement, that
the Arrangement is fair and reasonable, both procedurally and substantively, to the security holders of WBM;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Parties will ensure that each securityholder of WBM entitled to receive securities pursuant
to the Arrangement will be given adequate notice advising such securityholder of WBM of his or her right to attend the hearing
of the Court and provide each with sufficient information necessary for him or her to exercise that right;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Interim Order will specify that each securityholder of WBM will have the right to appear before
the Court so long as they enter an appearance within a reasonable time; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Final Order shall include statements substantially to the following effect:

"The terms and conditions of the Plan of Arrangement are procedurally and substantially fair to the securityholders of WBM and are hereby approved by the Court, This Order will serve as a basis of a claim to an exemption, pursuant to Section 3(a)(10) of the United States Securities Act of 1933, as amended, from the registration requirements otherwise imposed by that act, regarding the issuance of securities pursuant to the Plan of Arrangement".

**ARTICLE 3** 

**REPRESENTATIONS AND WARRANTIES**

**3.1**  **<u>Mutual Representations and Warranties of WBM and the WBM Subsidiaries</u>** 

WBM and each of the WBM Subsidiaries represents and warrants to each other Party as follows and acknowledges that the other Parties are relying upon such representations and warranties in connection with the matters contemplated by this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) it is a corporation duly incorporated and validly subsisting under the laws of its jurisdiction
of existence, and has full capacity and authority to enter into this Agreement and to perform its covenants and obligations hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) neither the execution and delivery of this Agreement nor the performance of any of its covenants
and obligations hereunder will constitute a material default under, or be in any material contravention or breach of: (i) any provision
of its constating or governing corporate documents, (ii) any judgment, decree, order, law, statute, rule or regulation applicable
to it or (iii) any agreement or instrument to which it is a party or by which it is bound;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) subject to Court proceedings related to the Interim Order and the Final Order, there are no actions,
suits, proceedings or investigations commenced, contemplated or threatened against or affecting it, at law or in equity, before
or by any Authority nor are there any existing facts or conditions which may reasonably be expected to form a proper basis for
any actions, suits, proceedings or investigations, which, in any case, would prevent or hinder the consummation of the transactions
contemplated by this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) no dissolution, winding up, bankruptcy, liquidation or similar proceeding has been commenced or
is pending or proposed in respect of it; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) subject to receipt of the WBM Shareholders' approval of the Arrangement and receipt of the
Final Order, it has taken all corporate actions necessary to authorize the execution and delivery of this Agreement and this Agreement
has been duly executed and delivered by it.

**3.2**  **<u>Representations and Warranties of WBM</u>** 

WBM represents and warrants to, and in favour of, each of the WBM Subsidiaries as follows, and acknowledges that the WBM Subsidiaries are relying on such representations and warranties in connection with the matters contemplated in this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the authorized share structure of WBM
consists of: an unlimited number of WBM Common Shares, of which one WBM Common Share is issued and outstanding as of the date of
this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) at the date hereof, no Person holds any
securities convertible into WBM Common Shares or has any agreement, warrant, option or other right capable of becoming an agreement,
warrant or option for the purchase or other acquisition of any issued or unissued WBM Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) WBM owns all of the issued and outstanding
securities of the WBM Subsidiaries beneficially and of record and upon completion of the Arrangement, the WBM Shareholders shall
have good and marketable title (subject to applicable law) to such securities (as they exist immediately following closing of the
Arrangement), free and clear of all Encumbrances.

**3.3**  **<u>Representations and Warranties of WBM Subsidiaries</u>** 

Each of the WBM Subsidiaries represents and warrants to and in favour of WBM as follows, and acknowledges that WBM is relying on such representations and warranties in connection with the matters contemplated in this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the authorized share structure of 651 consists of an unlimited number of 651 Common Shares, of
which one 651 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the authorized share structure of 652 consists of an unlimited number of 652 Common Shares, of
which one 652 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the authorized share structure of 653 consists of an unlimited number of 653 Common Shares, of
which one 653 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the authorized share structure of 655 consists of an unlimited number of 655 Common Shares, of
which one 655 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the authorized share structure of 450 consists of an unlimited number of 450 Common Shares, of
which one 450 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the authorized share structure of 441 consists of an unlimited number of 441 Common Shares, of
which one 441 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the authorized share structure of 435 consists of an unlimited number of 435 Common Shares, of
which one 435 Common Share is issued and outstanding as of the date of this Agreement as fully-paid and non-assessable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) at the date hereof, no person holds any securities convertible into 651 Common Shares, 652 Common
Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares or any other securities
in respect of the WBM Subsidiaries, or has any agreement, warrant, option or any other right capable of becoming an agreement,
warrant or option for the purchase or other acquisition of any unissued 651 Common Shares, 652 Common Shares, 653 Common Shares,
655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares.

**3.4**  **<u>Survival of Representations and Warranties</u>** 

The representations and warranties of each of the Parties contained herein will not survive the completion of this Arrangement and will expire and be terminated on the earlier of: (i) the termination of this Agreement in accordance with its terms; and (ii) the Effective Time.

**ARTICLE 4<br> COVENANTS**

**4.1**  **<u>Covenants Regarding the Arrangement</u>** 

From the date hereof until the Effective Date, WBM and each of the WBM Subsidiaries will use their respective commercially reasonable efforts to satisfy (or cause the satisfaction of) the conditions precedent to their respective obligations hereunder and to take, or cause to be taken, all other action and to do, or cause to be done, all other things necessary, proper or advisable under applicable Laws to complete the Arrangement, including using commercially reasonable efforts:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to cause the Plan of Arrangement to become effective on or before December 31, 2024;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to perform all such acts and things, and execute and deliver all such agreements, notices and other
documents and instruments as may reasonably be required to facilitate the carrying out of the intent and purpose of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to cause each of the condition's precedent set forth in Article 5, which are within its control,
to be satisfied on or prior to December 31, 2024;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to obtain all necessary waivers, consents and approvals required to be obtained by it from other
parties to loan agreements, leases and other contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) to obtain all necessary consents, assignments, waivers and amendments to or terminations of any
instruments and take such measures as may be appropriate to fulfill its obligations hereunder and to carry out the transactions
contemplated hereby; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) to effect all necessary registrations and filings and submissions of information requested by Authorities
required to be effected by it in connection with the Arrangement.

**4.2**  **<u>Indemnification</u>** 

Each Party covenants and agrees to indemnify and save harmless each other from and against any and all liabilities, claims, demands, losses, costs, damages and expenses to which any such Party or any of its Representatives may be subject or may suffer, in any way caused by, or arising, directly or indirectly, from or in consequence of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any misrepresentation or alleged misrepresentation in any information included in the Circular
that is provided by the other Party for the purpose of inclusion in the Circular;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any order made, or any inquiry, investigation or proceeding pursuant to any Securities Legislation,
or by any Authority, based on any misrepresentation or any alleged misrepresentation in any information provided by the other Party
for the purpose of inclusion in the Circular; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the failure of any representation or warranty made by such Party in this Agreement to be true or
the failure of such Party to comply with any covenant applicable to it in this Agreement.

**4.3**  **<u>Covenants of WBM</u>** 

WBM hereby covenants and agrees with each of the WBM Subsidiaries that it will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) until the earlier of: (i) the Effective Date; and (ii) the termination of this Agreement, not perform
any act or enter into any transaction which interferes or is inconsistent with the completion of the Plan of Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) apply to the Court for the Interim Order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) prepare, as soon as practicable, the Circular and any amendments or supplements thereto as required
by, and in compliance with, the Interim Order, and applicable Laws, and, subject to receipt of the Interim Order, obtain approval
of the Arrangement Resolution from the WBM Shareholders for and as otherwise required by applicable Laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) in a timely and expeditious manner, file the Circular in all jurisdictions where the same is required
to be filed by it and mail the same to WBM Shareholders, all pursuant to and in accordance with the Interim Order and applicable
Laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) ensure that the information set forth in the Circular relating to WBM and the WBM Subsidiaries,
and their respective businesses and properties and the effect of the Plan of Arrangement thereon will be true, correct and complete
in all material respects and will not contain any untrue statement of any material fact or omit to state any material fact required
to be stated therein or necessary in order to make the statements therein not misleading in light of the circumstances in which
they are made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) not, without limiting the generality of any of the foregoing covenants, until the Effective Date,
except as required to effect the Plan of Arrangement or with the consent of the WBM Subsidiaries:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) issue any additional WBM Common Shares or other securities of WBM except in connection with the
Plan of Arrangement or transactions required in order to effect the Plan of Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) issue or enter into any agreement or agreements to issue or grant options, warrants or other rights
to purchase or otherwise acquire any WBM Common Shares or other securities of WBM; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) alter or amend its constating documents as the same exist at the date of this Agreement except
as specifically provided for hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) prior to the Effective Date, make application to the applicable regulatory authorities for such
orders under applicable Laws as may be necessary or desirable in connection with the Plan of Arrangement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) perform the obligations required to be performed by it under this Agreement (including the Plan
of Arrangement) and do all such other acts and things as may be necessary or desirable and are within its power and control in
order to carry out and give effect to the Arrangement, including using commercially reasonable efforts to obtain:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the approval of the Arrangement Resolution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Interim Order and, subject to the obtaining of all required consents, orders, rulings and approvals
(including required approval of the Arrangement Resolution by the WBM Shareholders), the Final Order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such other consents, orders, rulings or approvals and assurances as are necessary or desirable
for the implementation of the Plan of Arrangement, including those referred to in Article 5; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) satisfaction of the conditions precedent referred to in Article 5.

**4.4**  **<u>Covenants of WBM Subsidiaries</u>** 

Each WBM Subsidiary hereby covenants and agrees with WBM that it will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) until the earlier of (i) Effective Date; and (ii) the termination of this Agreement, not perform
any act or enter into any transaction which interferes or is inconsistent with the completion of the Plan of Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) cooperate with and support WBM in its application for the Interim Order and preparation of the
Circular;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) not, without limiting the generality of any of the foregoing covenants, until the Effective Date,
except as required to effect the Plan of Arrangement or with the consent of WBM:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) issue any additional securities other than in connection with the Plan of Arrangement or transactions
required in order to effect the Plan of Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) issue or enter into any agreement or agreements to issue or grant options, warrants or other rights
to purchase or otherwise acquire any securities; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) alter or amend its constating documents as the same exist at the date of this Agreement except
as specifically provided for hereunder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) perform the obligations required to be performed by it under the Plan of Arrangement and do all
such other acts and things as may be necessary or desirable and are within its power and control in order to carry out and give
effect to the Plan of Arrangement, including using commercially reasonable efforts to obtain:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such consents, orders, rulings or approvals and assurances as are necessary or desirable for the
implementation of the Plan of Arrangement, including those referred to in Article 5; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) satisfaction of the conditions precedent referred to in Article 5.

**4.5**  **<u>Interim Order</u>** 

As soon as practicable after the date hereof, WBM shall apply to the Court for the Interim Order.

**4.6**  **<u>Final Order</u>** 

If the Interim Order and all securityholder approvals required in respect of the Plan of Arrangement are obtained, WBM shall promptly thereafter take the necessary steps to submit the Plan of Arrangement and the final Circular to the Court and apply for the Final Order in such fashion as the Court may direct, and as soon as practicable following receipt of the Final Order, and subject to the satisfaction or waiver of the other conditions provided for in Article 5 hereof, the Parties shall complete the Plan of Arrangement on the Effective Date in accordance with the terms thereof and pursuant to the Final Order.

**ARTICLE 5<br> CONDITIONS**

**5.1**  **<u>Mutual Conditions Precedent</u>** 

The respective obligations of the Parties to complete the transactions contemplated by this Agreement and otherwise to give effect to the Plan of Arrangement shall be subject to the satisfaction, or mutual waiver in writing, of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Interim Order shall have been granted in form and substance satisfactory to WBM and each of
the WBM Subsidiaries, acting reasonably, and such order shall not have been set aside or modified in a manner unacceptable to any
of the Parties, acting reasonably, on appeal or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Arrangement Resolution shall have been approved by the required number of votes cast by WBM
Shareholders in accordance with the Interim Order and, subject to the Interim Order, the constating documents of WBM, applicable
Laws and the requirements of any applicable regulatory authorities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Arrangement and this Agreement, with or without amendment, shall have been approved by the
shareholders of each of the WBM Subsidiaries to the extent required by, and in accordance with applicable Laws and the constating
documents of each of the WBM Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Final Order shall have been obtained in form and substance satisfactory to all Parties, each
acting reasonably;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Arrangement Filings, if any, shall be in a form and substance satisfactory to WBM and the WBM
Subsidiaries (each acting reasonably);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) all material consents, orders, rulings, approvals and assurances, including regulatory and judicial
approvals and orders, required for the completion of the transactions provided for in this Agreement and the Plan of Arrangement
shall have been obtained or received from the Authorities having jurisdiction in the circumstances, each in a form acceptable to
WBM and the WBM Subsidiaries (each acting reasonably);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) no action shall have been instituted and be continuing on the Effective Date for an injunction
to restrain, a declaratory judgment in respect of, or damages on account of, or relating to, the Plan of Arrangement and there
shall not be in force any order or decree restraining or enjoining the consummation of the transactions contemplated by this Agreement
and no cease trading or similar order with respect to any securities of any of the Parties shall have been issued and remain outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) none of the consents, orders, rulings, approvals or assurances required for the implementation
of the Plan of Arrangement shall contain terms or conditions or require undertakings or security deemed unsatisfactory or unacceptable
by any of the Parties, acting reasonably;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no Laws, regulation or policy shall have been proposed, enacted, promulgated or applied which interferes
or is inconsistent with the completion of the Plan of Arrangement, including any material change to the income tax Laws of Canada,
which would have a material adverse effect upon WBM Shareholders if the Plan of Arrangement is completed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) no material fact or circumstance, including the fair market value of the shares or units of the
WBM Subsidiaries, shall have changed in a manner which would have a material adverse effect upon WBM or the WBM Shareholders if
the Plan of Arrangement is completed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the issuance of the securities under the Plan of Arrangement shall be exempt from registration
under the U.S. Securities Act pursuant to the Section 3(a)(10) Exemption;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) this Agreement shall not have been terminated under Article 6; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) no more than 5% of WBM Shareholders, in the aggregate, shall have exercised their Dissent Rights.

**5.2**  **<u>Additional Conditions to Obligations of Each Party</u>** 

The obligation of each Party to complete the transactions contemplated by this Agreement is further subject to the condition, which may be waived by such Party without prejudice to its right to rely on any other condition in its favour, that the covenants of the other Party to be performed on or before the Effective Date pursuant to the terms of this Agreement shall have been duly performed by it and that the representations and warranties of the other Party shall be true and correct in all material respects as at the Effective Date (except for representations and warranties made as of the specified date, the accuracy of which shall be determined as at that specified date), with the same effect as if such representations and warranties had been made at, and as of, such time and each such Party shall receive a certificate, dated the Effective Date, of a senior officer of each other Party confirming the same.

**5.3**  **<u>Merger of Conditions</u>** 

The conditions set out in Article 5 shall be conclusively deemed to have been satisfied, waived or released on the Arrangement becoming effective.

**ARTICLE 6** 

**AMENDMENT AND TERMINATION**

**6.1**  **<u>Amendment and Waiver</u>** 

This Agreement may, at any time and from time to time before and after the approval of the Arrangement Resolution, but not later than the Effective Date, be amended by the written agreement of the Parties without, subject to applicable Laws, further notice to or authorization on the part of their respective shareholders. Without limiting the generality of the foregoing, any such amendment may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) waive compliance with or modify any of the covenants contained herein or waive or modify performance
of any of the obligations of the Parties or satisfaction of any of the conditions precedent set forth in Article 5 of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) waive any inaccuracies or modify any representation contained herein or in any document to be delivered
pursuant hereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) change the time for performance of any of the obligations, covenants or other acts of the Parties;
or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) make such alterations in this Agreement as the Parties may consider necessary or desirable in connection
with the Interim Order or otherwise.

**6.2**  **<u>Termination</u>** <br>

The parties agree that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if any condition contained in Article 5 is not satisfied at or before the Outside Date to the satisfaction
of each Party, then such Party may, by notice to the other Parties hereto terminate this Agreement and the obligations of the Parties
hereunder (except as otherwise herein provided) but without detracting from the rights of such Party arising from any breach by
any other Party but for which the condition would have been satisfied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) this Agreement may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) be terminated by the mutual agreement of the Parties hereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) be terminated by any Party hereto if there shall be passed any Law that makes consummation of the
transactions contemplated by this Agreement illegal or otherwise prohibited;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) be terminated by any Party if the approval of the WBM Shareholders shall not have been obtained
by reason of the failure to obtain the required vote on the Arrangement Resolutions,

in each case, at any time prior to the earlier of: (i) the Effective Date; and (ii) the Outside Date, by written notice to all other parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) if the Effective Date does not occur on or prior to the Outside Date, then this Agreement shall
automatically terminate without any further action of the parties hereto; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) if this Agreement is terminated in accordance with the foregoing provisions of this Section 6.2,
no party shall have any further liability to perform its obligations hereunder except as specifically contemplated hereby.

**ARTICLE 7<br> NOTICES**

**7.1**  **<u>Notices</u>** 

All notices which may or are required to be given pursuant to any provision of this Agreement are to be given or made in writing and served personally or by registered mail:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in the case of WBM:

WBM Capital Corp.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the case of 651:

1507651 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in the case of 652:

1507652 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) in the case of 653:

1507653 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) in the case of 655:

1507655 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) in the case of 450:

1510450 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) in the case of 441:

1510441 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) in the case of 435:

1510455 B.C. Ltd.

Suite 1900 – 1040 West Georgia Street

Vancouver, British Columbia V6E 4H3

Attention: Fraser Hartley

or such other address as the Parties may, from time to time, advise to the other Parties hereto by notice in writing. The date or time of receipt of any such notice will be deemed to be the date of delivery.

**ARTICLE 8<br> GENERAL**

**8.1**  **<u>Severability</u>** 

If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule, Law, or public policy, all other conditions and provisions of this Agreement will nevertheless remain in full force and effect so long as the economic or legal substance of the transactions contemplated by this Agreement is not affected in any manner materially adverse to any Party. Upon any determination that any term or other provision is invalid, illegal or incapable of being enforced, the Parties will negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in an acceptable manner to the end that the transactions contemplated by this Agreement are fulfilled to the fullest extent possible.

**8.2**  **<u>Enurement</u>** 

This Agreement will be binding upon and enure to the benefit of the Parties and their respective successors and permitted assigns from time to time.

**8.3**  **<u>Assignment</u>** 

This Agreement may not be assigned by any Party without the prior written consent of each of the other Parties.

**8.4**  **<u>Governing Law</u>** 

This Agreement will be governed by and construed in accordance with the laws of the Province of British Columbia and the federal laws of Canada applicable therein.

Each Party agrees that any action or proceeding arising out of or relating to this Agreement may be instituted in the courts of British Columbia, waives any objection which it may have now or later to the venue of that action or proceeding, irrevocably submits to the exclusive jurisdiction of those courts in that action or proceeding and agrees to be bound by any judgement of those courts.

**8.5**  **<u>Time of Essence</u>** 

Time is of the essence in respect of this Agreement.

**8.6**  **<u>Entire Agreement</u>** 

This Agreement, the Plan of Arrangement and the other agreements contemplated hereby and thereby constitute the entire agreement between the Parties pertaining to the subject matter hereof. There are no warranties, conditions, or representations (including any that may be implied by statute) and there are no agreements in connection with such subject matter, except as specifically set forth or referred to in this Agreement or as otherwise set out in writing and delivered at the completion of the Arrangement. No reliance is placed on any warranty, representation, opinion, advice or assertion of fact made by any Party or its directors, officers, employees or agents, to any other Party or its directors, officers, employees or agents, except to the extent that the same has been reduced to writing and included as a term of this Agreement. Accordingly, there will be no liability, either in tort or in contract, assessed in relation to any such warranty, representation, opinion, advice or assertion of fact, except to the extent aforesaid.

**8.7**  **<u>Expenses</u>** 

The Parties agree that each Party shall bear their own expenses in connection with the transactions contemplated hereby including, without limitation, all legal fees, accounting fees, financial advisory fees, regulatory filing fees, all disbursements of advisors and printing and mailing costs.

**8.8**  **<u>Further Assurances</u>** 

Each of the Parties hereto will promptly do, make, execute or deliver, or cause to be done, made, executed or delivered, all such further acts, documents and things as the other Party hereto may reasonably require from time to time for the purpose of giving effect to this Agreement and will use reasonable efforts and take all such steps as may reasonably be within its power to implement to their full extent the provisions of this Agreement.

**8.9**  **<u>Language</u>** 

The Parties to this Agreement confirm their express wish that this Agreement and all documents and agreements directly or indirectly relating thereto be drawn up in the English language.

**8.10**  **<u>Counterparts</u>** 

This Agreement may be executed in any number of counterparts, each of which will be deemed to be original and all of which taken together will be deemed to constitute one and the same instrument.

*[Remainder of Page Intentionally Left Blank]*

IN WITNESS WHEREOF the Parties hereto have executed this Agreement as of the date first written above.

---

| | | | |
|:---|:---|:---|:---|
| **WBM CAPITAL CORP.** | **WBM CAPITAL CORP.** | **1507655 B.C. LTD.** | **1507655 B.C. LTD.** |
| By: | *(Signed) "Carlo Rigillo"* | By: | *(Signed) "Carlo Rigillo"* |
|  | **Carlo Rigillo** |  | **Carlo Rigillo** |
|  | Chief Executive Officer and Director |  | Chief Executive Officer and Director |
| **1507651 B.C. LTD.** | **1507651 B.C. LTD.** | **1510450 B.C. LTD.** | **1510450 B.C. LTD.** |
|  | |  | |
| By: | *(Signed) "Carlo Rigillo"* | By: | *(Signed) "Carlo Rigillo"* |
|  | **Carlo Rigillo** |  | **Carlo Rigillo** |
|  | Chief Executive Officer and Director |  | Chief Executive Officer and Director |
| **1507652 B.C. LTD.** | **1507652 B.C. LTD.** | **1510441 B.C. LTD.** | **1510441 B.C. LTD.** |
|  | |  | |
| By: | *(Signed) "Carlo Rigillo"* | By: | *(Signed) "Carlo Rigillo"* |
|  | **Carlo Rigillo** |  | **Carlo Rigillo** |
|  | Chief Executive Officer and Director |  | Chief Executive Officer and Director |

---

---

| | | | |
|:---|:---|:---|:---|
| **1507653 B.C. LTD.** | **1507653 B.C. LTD.** | **1510435 B.C. LTD.** | **1510435 B.C. LTD.** |
| By: | *(Signed) "Carlo Rigillo"* | By: | *(Signed) "Carlo Rigillo"* |
|  | **Carlo Rigillo** |  | **Carlo Rigillo** |
|  | Chief Executive Officer and Director |  | Chief Executive Officer and Director |

---

## Exhibit 99.5

**Exhibit 99.5**

![](img001_v2.jpg)

No. S ☐ 248035 <br> Vancouver Registry

In the Supreme Court of British Columbia

MATTER F SECTION 288 OF THE BUSINESS CORPORATIONS ACT, <br> S.B.C. 2002, CHAPTER 57, AS AMENDED<br>

**AND**

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD., <br> 1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**ORDER MADE AFTER APPLICATION (INTERIM ORDER)**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BEFORE

ON THE APPLICATION of the Petitioner, WBM Capital Corp. (the **"Company")** coming on for hearing on November 22, 2024, without notice, for an Interim Order pursuant to section 291 of the *Business Corporations Act,* S.B.C. 2002, c. 57, as amended (the **"BCBCA")** in connection with a proposed arrangement (the **"Arrangement")** between the Company, 1507651 B.C. Ltd. **("651"),** 1507652 B.C. Ltd. **("652"),** 1507653 B.C. Ltd. **("653"),** 1507655 B.C. Ltd. **("655")** 1510450 B.C. Ltd. **("450"),** 1510441 B.C. Ltd. **("441")** and 1510435 B.C. Ltd. **("435")** to be effected on the terms and subject to the conditions set out in a plan of arrangement (the **"Plan of Arrangement");**

AND ON HEARING Laura C. Morrison, counsel for the Petitioner, and upon reading the Petition to the Court herein and the Affidavit #1 of Carlo Rigillo sworn on November 18, 2024 (the **"Supporting Affidavit");**

AND UPON BEING ADVISED that it is the intention of the parties to rely upon Section 3(a)(10) of the *United States Securities Act of 1933,* as amended (the **"U.S. Securities Act")** as a basis for an exemption from the registration requirements thereof with respect to the issuance and exchange of securities under the proposed Plan of Arrangement based on the Court's approval of the Arrangement and determination that the Arrangement is substantively and procedurally fair and reasonable to those who will receive securities in the exchange;

**THIS COURT ORDERS THAT:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Petitioner may seek the approval by written consent of an arrangement resolution from Triforce
Ventures, SA **("Triforce"),** the sole shareholder of the Company, (the **"Resolution")** authorizing,
approving and adopting, with or without amendment, an arrangement (the **"Arrangement")** and the plan of arrangement
implementing the Arrangement (the **"Plan of Arrangement")** substantially in the form attached as Schedule "D"
to Exhibit 11811 of the Supporting Affidavit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Any requirement to give notice of or conduct a shareholder meeting under the BCBCA or applicable
securities law is hereby waived.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The Petitioner is authorized to make, in the manner contemplated
by and subject to the Arrangement Agreement among the Company, 651, 652, 653, 655, 450, 441, 435 dated November 18, 2024 (the **"Arrangement Agreement''),** such amendments, _revisions or supplements to the Arrangement Agreement, Arrangement or
Plan of Arrangement, as it may determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Subject to the terms of the Arrangement Agreement, unless the directors of the Petitioner by resolution
determine to abandon the Arrangement, upon the approval of the Resolution by Triforce, the Petitioner may apply to this Court for
a Final Order pursuant to section 291(4)(a) of the BCBCA approving the Arrangement, including the terms and conditions thereof
and the issuances, exchanges and/or adjustments of securities contemplated therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The hearing of the Petition for the Final Order (the **"Petition")** is set down
for hearing before the presiding Judge in Chambers at the courthouse at 800 Smithe Street, Vancouver, British Columbia, on December
12, 2024 at 9:45 a.m., or at such date and time as this Court may direct.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. The form of Notice of Petition attached to this Order as Schedule "A" is hereby approved
as the form of notice of these proceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. The shareholders of the Company or any other interested party seeking to appear and make submissions
at the hearing of the application for the Final Order shall file and deliver a Response to Petition (a **"Response")** in the form prescribed by the Supreme Court Civil Rules, together with a copy of all affidavits or other materials upon which they
intend to rely, to the Petitioner's solicitors at:

Edwards, Kenny and Bray LLP <br> 1900 - 1040 West Georgia Street <br> Vancouver, BC V6E 4H3 <br> Attention: Laura C. Morrison

by or before 4:00 p.m. (Vancouver time) on December 9, 2024, or as the Court may otherwise direct.

. 8. The only persons entitled to notice of any further proceedings herein, including any hearing to sanction and approve the Arrangement, and to appear and be heard thereon, shall be the solicitors for the Petitioner and persons who have delivered a Response in accordance with this Interim Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. The
 Notice of Petition, this Interim Order, the Management Information Circular, and the
 Arrangement Agreement, will be sent to the shareholders of the Company by email transmission
 within one business day of the granting of this Interim Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. Sending
 the Notice of Petition and this Interim Order in accordance with paragraph 9 shall constitute
 good and sufficient service of this proceeding and no other form of service need be made
 and no other material need be served in respect of these proceedings. In particular,
 service of the Petition herein and the accompanying Affidavit and additional Affidavits
 as may be filed is dispensed with.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. If
 the hearing of the Petition is adjourned, only those persons who have filed and delivered
 a Response in accordance with this Order need to be served by email with notice of the
 adjourned date and any filed materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. The
 Petitioner shall be entitled, at any time, to apply to vary this Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. The
 Petitioner shall have liberty to apply for such further orders as may be appropriate.

THE FOLLOWING PARTIES APPROVE THE FORM OF THIS ORDER AND CONSENT TO EACH OF THE ORDERS, IF **ANY,** THAT ARE INDICATED ABOVE AS BEING BY CONSENT:

---

| |
|:---|
| ![](img002_v2.jpg) |
| Signature of Lawyer for WBM Capital Corp. <br> Laura C. Morrison |

---

---

| |
|:---|
| By the <u>Court.</u> |
| ![](img003_v2.jpg) |
| Registrar |

---

![](img004_v2.jpg)

SCHEDULE A TO **INTERIM ORDER**

**FORM OF NOTICE OF PETITION**

No. SE 248035

Vancouver Registry

In the Supreme Court of British Columbia

IN THE MATTER OF SECTION 288 OF THE BUSINESS CORPORATIONS ACT,

S.B.C. 2002, CHAPTER 57, AS AMENDED

AND

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD., <br> 1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD.AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**NOTICE OF PETITION**

---

| | |
|:---|:---|
| To: | The holders (the **"Company Shareholders")** of outstanding common shares of WBM Capital Corp. (the **"Company")** |

---

NOTICE IS HEREBY GIVEN that a Petition to the Court has been filed by the Petitioner in the Supreme Court of British Columbia (the **"Court")** for approval of a plan of arrangement (the **"Arrangement")** pursuant to the *Business Corporations Act,* S.B.C. 2002, c.57, as amended (the **"BCBCA").**

AND NOTICE IS FURTHER GIVEN that by an Interim Order Made After Application pronounced by Associate Judge______________ on November 22, 2024 the Court has given directions for approval of the Arrangement by way of unanimous written consent to an arrangement resolution (the **"Resolution")** by Triforce Ventures, SA, as the sole shareholder of the Company.

AND NOTICE IS FURTHER GIVEN that if the Resolution is approved by the Company Shareholders, the Petitioner intends to apply to the Court for a final order approving the Arrangement and for a determination that the terms of the Arrangement are procedurally and substantively fair and reasonable (the **"Final Order"),** which application shall be made before the presiding Judge in Chambers at the Courthouse, 800 Smithe Street, Vancouver, British Columbia on December 12, 2024 at 9:45 am (Vancouver time), or as soon thereafter as counsel may be heard or at such other date and time as the Court may direct (the "Final **Application").**

NOTICE IS FURTHER GIVEN that the Court has been advised that, if granted, the Final Order approving the Arrangement and the declaration that the Arrangement is substantively and procedurally fair and reasonable to the Company Shareholders will serve as a basis of a claim for the exemption from the registration requirements of the *United States Securities Act of 1933,* as amended, set forth in Section 3(a)(10) thereof with respect to the issuance and exchange of such securities under the proposed Arrangement.

IF YOU WISH TO BE HEARD, any person affected by the Final Order sought may appear (either in person or by counsel) and make submissions at the Final Application, but only if such person has filed with the Court at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, a Response to Petition **("Response")** in the form prescribed by the *Supreme Court Civil Rules,* and delivered a copy of the filed Response, together with all affidavits and other material upon which such person intends to rely at the hearing of the Final Application, including an outline of such person's proposed submission, to the Petitioner at its address for delivery set out below by or before 4:00 p.m. (Vancouver time) on December 9, 2024:

The Petitioner's address for delivery is:

Edwards, Kenny and Bray LLP <br> 1900 - 1040 West Georgia Street

Vancouver, BC V6E 4H3

Attention: Laura C. Morrison

IF YOU WISH TO BE NOTIFIED OF ANY ADJOURNMENT OF THE FINAL APPLICATION, YOU MUST GIVE NOTICE OF YOUR INTENTION by filing and delivering the form of "Response" as aforesaid. You may obtain a form of "Response" at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, V6Z 2E1.

AT THE HEARING OF THE FINAL APPLICATION, the Court may approve the Arrangement as presented, or may approve it subject to such terms and conditions as the Court deems fit.

IF YOU DO NOT FILE A RESPONSE and attend, either in person or by counsel, at the time of such hearing, the Court may approve the Arrangement, as presented, or may approve it subject to such terms and conditions as the Court shall deem fit, all without any further notice to you. If the Arrangement is approved, it will significantly affect the rights of the Company Shareholders.

A copy of the said Petition and other documents in the proceeding will be furnished to any Company Shareholders upon request in writing addressed to the solicitors of the Petitioner at the address for delivery set out above.

Estimated time required: 10 minutes

This matter is not within the jurisdiction of an Associate Judge.

Date: November 22, 2024

  <br> Signature of lawyer for WBM Capital Corp. <br> Laura C. Morrison

No. SE 248035

Vancouver Registry

In the Supreme Court of British Columbia

IN THE MATTER OF SECTION 288 OF THE BUSINESS CORPORATIONS ACT,

S.B.C. 2002, CHAPTER 57, AS AMENDED

AND

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD.,

1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**ORDER MADE AFTER APPLICATION**

[42271.002]

Laura C. Morrison

Edwards, Kenny & Bray LLP

Barristers and Solicitors

1900 - 1040 West Georgia Street

Vancouver, BC V6E 4H3

Tel: 604.689.1811

Fax: 604.689.5177

[LCM]

Agents: Dye & Durham

## Exhibit 99.6

**Exhibit 99.6**

**MANAGEMENT INFORMATION CIRCULAR**

**OF**

**WBM Capital Corp.**

with respect to a proposed

**PLAN OF ARRANGEMENT**

**November 25, 2024**

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| **THE ARRANGEMENT** | **3** |
| **OTHER APPROVALS** | **10** |
| **ARRANGEMENT AGREEMENT** | **11** |
| **SHAREHOLDERS' RIGHTS OF DISSENT TO THE ARRANGEMENT** | **14** |
| **CANADIAN FEDERAL INCOME TAX CONSIDERATIONS** | **17** |
| **APPROVAL OF THE SPINOUT ENTITIES' ROLLING STOCK OPTION PLANS** | **22** |
| **INFORMATION ABOUT THE COMPANY** | **23** |
| **ADDITIONAL INFORMATION** | **23** |
| **INFORMATION CONCERNING THE SPINOUT ENTITIES** | **23** |
| **SCHEDULE "A" ARRANGEMENT RESOLUTION** | **25** |
| **SCHEDULE "B" PLAN OF ARRANGEMENT** | **27** |
| **SCHEDULE "C" COURT DOCUMENTS** | **35** |
| **SCHEDULE "D" BCBCA Provisions S. 237 – 247** | **36** |
| **SCHEDULE "E" INFORMATION CONCERNING WBM** | **46** |
| **SCHEDULE "F" WBM AUDITED FINANCIAL STATEMENTS** | **51** |
| **SCHEDULE "G" INFORMATION CONCERNING THE SPINOUT ENTITIES** | **52** |

---

**WBM CAPITAL CORP.** 

**("WBM" or the "Company")**

**INFORMATION CIRCULAR** 

As at November 25, 2024

**THE ARRANGEMENT**

Terms used herein but not otherwise defined shall have the meaning ascribed to such term in the arrangement agreement dated November 18, 2024 (the "**Arrangement Agreement**") between the Company and 1507651 B.C. Ltd. ("**651**")**,** 1507652 B.C. Ltd. ("**652**"), 1507653 B.C. Ltd. ("**653**"), 1507655 B.C. Ltd. ("**655**"), 1510450 B.C. Ltd. ("**450**"), 1510441 B.C. Ltd. ("**441**") and 1510435 B.C. Ltd. ("**435**" and together with 651, 652 653, 655, 450 and 441 the "**Spinout Entities**").

Shareholders of WBM ("**Shareholders**") are being asked to consider and, if determined advisable, to pass, the Arrangement Resolution to approve the Arrangement under the *Business Corporations Act* (British Columbia) ("**BCBCA**") pursuant to the terms of the Arrangement Agreement and the Plan of Arrangement. The Arrangement, the Plan of Arrangement and the terms of the Arrangement Agreement are summarized below.

This summary does not purport to be complete and is qualified in its entirety by reference to the Arrangement Agreement, which has been filed by WBM under its profile on SEDAR+ at <u>www.sedarplus.ca</u>, and the Plan of Arrangement, which is attached to this Circular as Schedule "B".

In order to become effective, the Arrangement Resolution must be approved by unanimous consent of the Shareholders. A copy of the Arrangement Resolution is set out in Schedule "A" of this Circular. If the Arrangement is approved and the Final Order approving the Arrangement is issued by the Court and the other applicable conditions to the completion of the Arrangement are satisfied or waived, the Arrangement will take effect commencing at the Effective Time (which will be at 12:01 a.m. PST) on the Effective Date (which is expected to be on or around December 31, 2024).

**Reasons for the Arrangement**

The Board believes the Plan of Arrangement is in the best interests of WBM for the following reasons:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Plan of Arrangement is anticipated to result in
separate and well-focused entities, each of which will provide a platform for transactions that the directors wish to target;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of the entities resulting from the Plan of Arrangement
will be better able to pursue its own specific business strategies without being subject to financial or other constraints of
the businesses of the other Spinout Entities, providing new and existing shareholders with optionality as to investment strategy
and risk profile;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each entity resulting from the Plan of Arrangement will
be better able to focus on a specific industry and geographic location, allowing such entities to be more readily understood by
investors and better positioned to raise capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Plan of Arrangement will result in separate non-listed
reporting issuers, which is anticipated to benefit the Shareholders as a result of each of the entities:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) being better able to align management and employee incentives
with the interests of shareholders; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) having the ability to effect acquisitions by way of public
(although not listed) share issuances; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Following the Plan of Arrangement, each Spinout Entity will be a "reporting
issuer" in the provinces of British Columbia and Alberta, and accordingly, the Shareholders will continue to benefit from
public company oversight from the securities commissions and the higher continuous disclosure, governance and financial statement
requirements applicable to public companies.

In the course of its deliberations, the Board also identified and considered a variety of risks and potentially negative factors, including, but not limited to the risks set out under "*The Arrangement – Arrangement Risk Factors*".

The foregoing discussion summarizes the material information and factors considered by the Board in their consideration of the Plan of Arrangement. The Board collectively reached its unanimous decision with respect to the Plan of Arrangement in light of the factors described above and other factors that each member of the Board felt were appropriate. In view of the wide variety of factors and the quality and amount of information considered, the Board did not find it useful or practicable to, and did not make specific assessments of, quantify, rank or otherwise assign relative weights to, the specific factors considered in reaching its determination. Individual members of the Board may have given different weight to different factors.

**Principal Steps of the Arrangement**

Commencing at the Effective Time, each of the events set out below shall occur and shall be deemed to occur in the following sequence or as otherwise provided below or herein, without any further act or formality:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each WBM Common Share in respect of which a registered
Shareholder has exercised Dissent Rights and for which the registered Shareholder is ultimately entitled to be paid fair value
(each a "**Dissent Share**") shall be repurchased by WBM for cancellation in consideration for a debt-claim against
WBM to be paid the fair value of such Dissent Share in accordance with the Plan of Arrangement and such Dissent Share shall thereupon
be cancelled;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) WBM shall distribute to each Shareholder:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the number of 651 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the number of 652 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the number of 653 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the number of 655 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the number of 450 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the number of 441 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the number of 435 Common Shares equal to the product of
the number of WBM Common Shares held and the Conversion Factor;

(collectively, the "**Share Distribution**"), and in connection with the Share Distribution:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the name of each Shareholder shall be added to the central securities register
for the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435
Common Shares received pursuant to the Share Distribution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) an amount equal to the fair market value of 651 Common Shares, 652 Common
Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares as distributed on the
Share Distribution shall be removed from the capital in respect of the WBM Common Shares; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Initial Common Shares (as defined below) held by WBM shall be cancelled
without any payment therefor, and WBM shall be removed from the register of holders of the 651 Common Shares, 652 Common Shares,
653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares.

The "**Initial Common Shares**" means the one common share outstanding in the capital of each of the Spinout Entities issued to WBM on incorporation.

The foregoing matters will be deemed to occur on the Effective Date, notwithstanding that certain of the procedures related thereto are not being completed until after the Effective Date.

The Board may, in its absolute discretion, determine whether or not to proceed with the Arrangement without further approval, ratification or confirmation by the Shareholders.

**No Fractional Shares**

No fractional 651 Common Shares, 652 Common Shares, 653 Common Shares , 655 Common Shares, 450 Common Shares, 441 Common Shares or 435 Common Shares shall be distributed by WBM to a Shareholder on the Share Distribution. If WBM would otherwise be required to distribute to a Shareholder an aggregate number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares or 435 Common Shares, as applicable, that is not a round number, then the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares or 435 Common Shares distributable to that Shareholder shall be rounded down to the next lesser whole number (the "**Round Down Provision**") and that Shareholder shall not receive any compensation in respect thereof.

Notwithstanding the foregoing, if the Round Down Provision would otherwise result in the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares or 435 Common Shares, as applicable, distributable to a particular Shareholder being rounded down from one to nil, then the Round Down Provision shall not apply and WBM shall distribute one 651 Common Share, one 652 Common Share, one 653 Common Share, one 655 Common Share, one 450 Common Share, one 441 Common Share or one 435 Common Share, as applicable, to that Shareholder.

**Effect of the Arrangement**

Upon completion of the Plan of Arrangement, Shareholders will continue to hold shares of WBM in the same number and proportion as prior to the Plan of Arrangement. Shareholders will receive securities in the Spinout Entities in proportion to their shareholdings in WBM by way of the Share Distribution, pursuant to which Shareholders will receive one 651 Common Share, one 652 Common Share, one 653 Common Share and one 655 Common Share held as at the Arrangement Record Date. The following shares currently held by WBM will be cancelled: one 651 Common Share, one 652 Common Share, one 653 Common Share, one 655 Common Share, one 450 Common Share, one 441 Common Share and one 435 Common Share.

It is expected that, following the completion of the Arrangement, the issued capital of each of 651, 652, 653, 655, 450, 441 and 435 will be one 651 Common Share, one 652 Common Share, one 653 Common Share, one 655 Common Share, one 450 Common Share, one 441 Common Share and one 435 Common Share respectively.

Upon completion of the Plan of Arrangement, each of the Spinout Entities will be a reporting issuer in the province of British Columbia and Alberta.

**Amendments to the Plan of Arrangement**

The Company reserves the right to amend, modify or supplement (or do all of the foregoing) the Plan of Arrangement from time to time and at any time prior to the Effective Date provided that any such amendment, modification and/or supplement must be contained in a written document that is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) filed with the Court and, if made following the approval
of the Arrangement Resolution, approved by the Court; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) communicated to Shareholders in the manner required
by the Court (if so required).

Any amendment, modification or supplement to the Plan of Arrangement which is approved by the Court shall be effective only:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if it is consented to by WBM; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if required by the Court or applicable law, it is consented
to by the Shareholders.

Any amendment, modification or supplement to the Plan of Arrangement may be made following the Effective Date unilaterally by the Company, provided that it concerns a matter which, in the reasonable opinion of the Company, is of an administrative nature required to better give effect to the implementation of the Plan of Arrangement and is not adverse to the financial or economic interest of any holder of Common Shares.

**Recommendation of the Board**

The Board of Directors of WBM (the "**Board**") has reviewed the terms and conditions of the proposed Arrangement and has concluded that the Arrangement is fair and reasonable to the Shareholders and in the best interests of the Company.

In arriving at this conclusion, the Board considered, among other matters:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the financial condition, business and operations of WBM, on both a historical
and prospective basis, and information in respect of each of the Spinout Entities on a pro forma basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the procedures by which the Arrangement is to be approved, including the
requirement for approval of the Arrangement by the Court after a hearing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the availability of rights of dissent to registered Shareholders with respect to the Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the assets to be held by each of WBM and the Spinout Entities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Canadian tax treatment of Shareholders under the Arrangement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Shareholders will own securities of eight reporting issuers.

The Board did not assign a relative weight to each specific factor and each director may have given different weights to different factors. Based on its review of all the factors, the Board considers the Arrangement to be advantageous to WBM and fair and reasonable to the Shareholders. The Board also identified disadvantages associated with the Arrangement including the fact that there will be the additional costs associated with running eight public companies and there is no assurance that the proposed Arrangement will result in positive benefits to Shareholders. See "*The Arrangement – Arrangement Risk Factors*".

**Arrangement Risk Factors**

**WBM and the Spinout Entities should each be considered as highly speculative investments and the transactions contemplated herein should be considered of a high-risk nature. Shareholders should carefully consider all of the information disclosed in this Circular prior to voting on the Arrangement Resolution.**

*Proposed Plan of Arrangement not approved*

Completion of the Plan of Arrangement is subject to the approval of the Court and the receipt of all necessary Shareholder approvals and third-party consents. There can be no certainty, nor can there be any assurance, that these conditions will be satisfied or, if satisfied, when they will be satisfied.

The Court may refuse to approve the Plan of Arrangement if WBM fails to meet the statutory or common law tests required to approve the Plan of Arrangement.

*The Arrangement Agreement may be terminated in certain circumstances*

WBM and the Spinout Entities may terminate the Arrangement Agreement and the Plan of Arrangement in certain circumstances. Accordingly, there can be no certainty that the Arrangement Agreement will not be terminated before the completion of the Plan of Arrangement.

*There is no market for the WBM Common Shares or the securities distributed pursuant to the Share Distribution*

There is currently no market through which the Common Shares, and if the Plan of Arrangement is completed, there will be no market through which any of the securities distributed pursuant to the Share Distribution, may be sold, and holders may not be able to resell such securities. This will affect the pricing of the Common Shares, and if the Plan of Arrangement is completed, the securities distributed pursuant to the Share Distribution, in the secondary market, the transparency and availability of trading prices, the liquidity of the securities, and the extent of issuer regulation. There can be no guarantee that these securities will be listed on a stock exchange or that an active and liquid market for the securities will develop.

*Stage of development*

Upon completion of the Arrangement, it is anticipated that none of the Spinout Entities will own any material assets or conduct any active business, other than the identification and evaluation of acquisition opportunities to permit each Spinout Entity to acquire a business or assets in order to conduct commercial operations. Each Spinout Entity was only recently incorporated and has no history of earnings and will not have the potential to generate earnings or pay dividends or other distribution until at least after such time in the future as it acquires, directly or indirectly, assets or a business, if at all.

As a result of the foregoing, there can be no assurance that any of the Spinout Entities will be able to identify and evaluate acquisition opportunities, or that it will have adequate funds or be able to raise the necessary funds to complete any such acquisition once identified. Even if a business is identified, there can be no assurance that a Spinout Entity will be able to successfully complete the transaction. A holder of Spinout Entity securities must be prepared to rely solely upon the ability, expertise, judgment, discretion, integrity and good faith of the management of each entity in all aspects of the development and implementation of the business activities of each entity.

*No history of earnings or dividends*

The Spinout Entities have no history of earnings, and there is no assurance that they will generate earnings, operate profitably or provide a return on investment in the future. The Spinout Entities have no plans to pay dividends for the foreseeable future.

*Subsequent acquisitions*

Subsequent acquisitions completed by WBM or a Spinout Entity may be financed in whole or in part by the issuance of additional securities of such entity and this may result in dilution to the Shareholder, which dilution may be significant and which may also result in a change of control of such entity.

In the event that WBM or a Spinout Entity completes an acquisition of a foreign business or assets, securityholders may find it difficult or impossible to effect service or notice to commence legal proceedings upon any management resident outside of Canada or upon the foreign business and may find it difficult or impossible to enforce judgments obtained in Canadian courts against such persons

*Increased costs and compliance risks as a result of the Spinout Entities being reporting issuers*

Legal, accounting and other expenses associated with reporting issuer reporting requirements have increased significantly over time. Each of the Spinout Entities anticipates that general and administrative costs associated with regulatory compliance will continue to increase with new rules implemented by the Canadian Securities Administrators in the future. These rules and regulations may significantly increase each of the Spinout Entities' legal and financial compliance costs and make some activities more time-consuming and costly. There can be no assurance that any of the Spinout Entities will continue to effectively meet all of the requirements of these rules and regulations. Ongoing compliance requirements will also make it more difficult and more expensive for each of the Spinout Entities to obtain director and officer liability insurance, and a Spinout Entity may be required to accept reduced policy limits and coverage or incur substantially higher costs to obtain the same or similar coverage in the future. As a result, it may be more difficult for a Spinout Entity to attract and retain qualified individuals to serve on its board of directors or as executive officers.

*Conflicts of interest*

Certain directors or officers of WBM and the Spinout Entities are, and may continue to be, involved in acquiring assets through their direct and indirect participation in corporations, partnerships or joint ventures which are potential competitors of WBM or the Spinout Entities. Situations may arise in connection with potential acquisitions or investments where the other interests of these directors and officers may conflict with the interests of WBM or a Spinout Entity. The directors of the Spinout Entities are required by law, however, to act honestly and in good faith with a view to the best interests of WBM or a Spinout Entity, as applicable, and to disclose any personal interest which they may have in any material transaction which is proposed to be entered into with WBM or a Spinout Entity and to abstain from voting as a director or trustee, as applicable, for the approval of any such transaction.

*Dependency on a small number of management personnel*

WBM and each of the Spinout Entities are dependent on a very small number of key personnel, the loss of any of whom could have an adverse effect on WBM or a Spinout Entity and their business operations. WBM and each of the Spinout Entities may also need to retain qualified technical and sales personnel, depending on the nature of any future business they carry on.

The directors and officers of WBM and the Spinout Entities will only devote a portion of their time to the business and affairs of such entities and some of them are or will be engaged in other projects or businesses such that conflicts of interest may arise from time to time.

*Financing risks*

WBM and the Spinout Entities have extremely limited financial resources and there is no assurance that additional funding will be available to them to identify and evaluate potential business transactions, to fulfill their obligations under any applicable agreements or to meet their ongoing reporting requirements. There can be no assurance that WBM or the Spinout Entities will be able to obtain adequate financing in the future or that the terms of such financing will be favourable. Failure to obtain such additional financing could result in the inability to acquire a business or assets or to continue operations. The lack of funds has been identified by the auditors of WBM as a concern with respect to the ability of WBM to continue its operations. If future financing is obtained by way of equity security issuance, such issuance could be dilutive to the current securityholders.

*Effects of the Arrangement on Shareholders' Rights*

As a result of the Arrangement, Shareholders will continue to be shareholders of WBM and will also be shareholders of the Spinout Entities. Shareholders of WBM and the Spinout Entities will have the same rights accorded to them as shareholders of each respective entity, as both WBM and the Spinout Entities are governed by the BCBCA.

**Procedure for Receipt of the Spinout Entities' Common Shares**

The following information is a summary only.

As soon as practicable following the Effective Date, the Spinout Entities will issue the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares as applicable, to be issued to each Shareholder under the Arrangement. Such shares will be issued as uncertificated shares, as such term is defined under Section 107 of the BCBCA. The shares issued will have no par value.

Holding shares issued in uncertificated form is a system that will allow registered Shareholders to hold their 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, in "book-entry" form without having a physical share certificate issued as evidence of ownership. Instead, 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, will be held in the name of registered Shareholders and registered in the Spinout Entities' central securities register, which will be maintained by each company. Registered Shareholders may request a certificate evidencing their shares at any time by contacting the appropriate company. There is no fee in connection with such issuance.

WBM has established the date of the Record Date, being November 18, 2024 (or such other date as the Board may determine), for the purpose of determining the Shareholders entitled to receive 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, under the Arrangement (the "**Distribution Record Date**"). The date for the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, to be distributed to Shareholders pursuant to the Arrangement will be as soon as practicable following the Effective Date.

**Effective Date of the Arrangement**

The Arrangement will become effective on the Effective Date if: (1) the Arrangement Resolution is approved by the unanimous consent of the Shareholders, (2) the Final Order of the Court is obtained approving the Arrangement; (3) every requirement of the BCBCA relating to the Arrangement has been complied with; and (4) all other conditions under the Plan of Arrangement are met or waived, as summarized in "*Arrangement Agreement – Conditions to the Arrangement Becoming Effective*".

The full particulars of the Arrangement are contained in the Plan of Arrangement appended as Schedule "B" to this Circular. See also "*Arrangement Agreement*" below.

Notwithstanding receipt of the above approvals, WBM may abandon the Arrangement without further approval from the Shareholders.

**OTHER APPROVALS**

**Shareholder Approval of the Arrangement**

The Arrangement Resolution must be approved, with or without variation, by unanimous consent resolution of the Shareholders.

**Court Approval of the Arrangement**

Under the BCBCA, WBM is required to obtain the approval of the Court for the Arrangement. On November 22, 2024, WBM obtained an Interim Order. A copy of the Interim Order and the Notice of Petition for Final Order are appended as Schedule "C", respectively, to this Circular. As set out in the Notice of Petition for Final Order, the Court hearing in respect of the Final Order is scheduled to take place at 9:45 a.m. (Vancouver time) on December 12, 2024 or as soon thereafter as the Court may direct or counsel for WBM may be heard, at the Courthouse, 800 Smithe Street, Vancouver, British Columbia, subject to the approval of the Arrangement Resolution by the Shareholders.

**Shareholders who wish to participate in or be represented at the Court hearing should consult with their legal advisors as to the necessary requirements.**

At the Court hearing, any Shareholders who wish to participate or to be represented or to present evidence or argument may do so, subject to the rules of the Court. Although the authority of the Court is very broad under the BCBCA, the Court will consider, among other things, the procedural and substantive fairness and reasonableness of the terms and conditions of the Arrangement and the rights and interests of every person affected. The Court may approve the Arrangement as proposed or as amended in any manner as the Court may direct. The Court's approval is required for the Arrangement to become effective. In addition, it is a condition of the Arrangement that the Court will have determined, prior to approving the Final Order that the terms and conditions of the issuance of securities comprising the Arrangement are procedurally and substantively fair to the Shareholders.

Under the terms of the Interim Order, each Shareholder will receive proper notice that they will have the right to appear and make representations at the application for the Final Order. Any person desiring to appear at the hearing to be held by the Court to approve the Arrangement pursuant to the Notice of Petition for Final Order is required to file with the Court and serve upon WBM, at the address set out below, prior to 4:00 p.m. (Vancouver time) on December 9, 2024, a notice of his or her intention to appear ("**Appearance Notice**"), including his or her address for service, together with any evidence or materials which are to be presented to the Court. The Appearance Notice and supporting materials must be delivered to the following address:

Edwards, Kenny and Bray LLP

1900-1040 W. Georgia St

Vancouver, BC V6E 4H3

Attention: Laura C. Morrison

**Regulatory Approvals**

If the Arrangement Resolution is approved unanimously by consent resolution of the Shareholders, final regulatory approval must be obtained for all the transactions contemplated by the Arrangement before the Arrangement may proceed.

WBM is a reporting issuer in the provinces of British Columbia, Ontario and Alberta. Upon completion of the Arrangement, each of the Spinout Entities will be a reporting issuer in the provinces of British Columbia and Alberta.

Shareholders should be aware that certain of the foregoing approvals have not yet been received from the regulatory authorities referred to above. There is no assurance that such approvals will be obtained.

**ARRANGEMENT AGREEMENT**

The Arrangement will be carried out pursuant to the provisions of the BCBCA and will be effected in accordance with the Arrangement Agreement, the Interim Order and the Final Order. The steps of the Arrangement, as set out in the Arrangement Agreement, are summarized under "*The Arrangement – Principal Steps of the Arrangement*" herein.

The general description of the Arrangement Agreement which follows is qualified in its entirety by reference to the full text of the Arrangement Agreement, a copy of which is available for review by Shareholders, at the head office of WBM during normal business hours prior to the approval of the Arrangement Resolution having been obtained and is also available under WBM's profile on SEDAR+ at <u>www.sedarplus.ca</u>.

**General**

On November 18, 2024, WBM and the Spinout Entities entered into the Arrangement Agreement which includes the Plan of Arrangement. The Plan of Arrangement is reproduced as Schedule "B" to this Circular. Pursuant to the Arrangement Agreement, WBM and the Spinout Entities agree to effect the Arrangement pursuant to the provisions of Section 291 of the BCBCA on the terms and subject to the conditions contained in the Arrangement Agreement.

In the Arrangement Agreement, WBM and the Spinout Entities each provide representations and warranties to one another regarding certain customary commercial matters, including corporate, legal and other matters, relating to their respective affairs.

Under the Arrangement Agreement, if the approval of the Shareholders of the Arrangement Resolution as set forth in the Interim Order is obtained by WBM, as soon as reasonably practicable thereafter, WBM will take the necessary steps to submit the Arrangement to the Court and apply for the Final Order.

**Conditions to the Arrangement Becoming Effective**

The respective obligations of WBM and the Spinout Entities to complete the transactions contemplated by the Arrangement Agreement are subject to the satisfaction, on or before the Effective Date, of a number of conditions precedent, certain of which may only be waived in accordance with the Arrangement Agreement.

The mutual conditions precedent, among others, are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Interim Order shall have been granted in form and substance satisfactory
to WBM and each of the WBM Subsidiaries, acting reasonably, and such order shall not have been set aside or modified in a manner
unacceptable to any of the Parties, acting reasonably, on appeal or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Arrangement Resolution shall have been approved by the required number
of votes cast by WBM Shareholders in accordance with the Interim Order and, subject to the Interim Order, the constating documents
of WBM, applicable Laws and the requirements of any applicable regulatory authorities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Arrangement and this Agreement, with or without amendment, shall have
been approved by the shareholders of each of the WBM Subsidiaries to the extent required by, and in accordance with applicable
Laws and the constating documents of each of the WBM Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Final Order shall have been obtained in form and substance satisfactory
to all Parties, each acting reasonably;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Arrangement Filings, if any, shall be in a form and substance satisfactory
to WBM and the WBM Subsidiaries (each acting reasonably);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) all material consents, orders, rulings, approvals and assurances, including
regulatory and judicial approvals and orders, required for the completion of the transactions provided for in this Agreement and
the Plan of Arrangement shall have been obtained or received from the Authorities having jurisdiction in the circumstances, each
in a form acceptable to WBM and the WBM Subsidiaries (each acting reasonably);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) no action shall have been instituted and be continuing on the Effective
Date for an injunction to restrain, a declaratory judgment in respect of, or damages on account of, or relating to, the Plan of
Arrangement and there shall not be in force any order or decree restraining or enjoining the consummation of the transactions contemplated
by this Agreement and no cease trading or similar order with respect to any securities of any of the Parties shall have been issued
and remain outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) none of the consents, orders, rulings, approvals or assurances required
for the implementation of the Plan of Arrangement shall contain terms or conditions or require undertakings or security deemed
unsatisfactory or unacceptable by any of the Parties, acting reasonably;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no Laws, regulation or policy shall have been proposed, enacted, promulgated
or applied which interferes or is inconsistent with the completion of the Plan of Arrangement, including any material change to
the income tax Laws of Canada, which would have a material adverse effect upon WBM Shareholders if the Plan of Arrangement is completed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) no material fact or circumstance, including the fair market value of the
shares or units of the WBM Subsidiaries, shall have changed in a manner which would have a material adverse effect upon WBM or
the WBM Shareholders if the Plan of Arrangement is completed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the issuance of the securities under the Plan of Arrangement shall be exempt
from registration under the U.S. Securities Act pursuant to the Section 3(a)(10) Exemption;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) the Arrangement Agreement shall not have been terminated under Article
6 of the Arrangement Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) no more than 5% of WBM Shareholders, in the aggregate, shall have exercised
their Dissent Rights.

The obligations of each of WBM and the Spinout Entity to complete the Arrangement are subject to the further condition that the covenants of each other party shall have been duly performed.

**Amendment**

Subject to any restrictions under the BCBCA or in the Final Order, the Arrangement Agreement (including the schedules appended thereto) may, at any time, but not later than the Effective Date, be amended by written agreement of the parties thereto without, subject to applicable law, further notice to, or authorization on the part of, the Shareholders. Without limiting the generality of the foregoing, any such amendment may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) change the time for performance of any of the obligations or acts of the parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) waive any inaccuracies or modify any representation contained in the Arrangement
Agreement or in any document to be delivered pursuant to the Arrangement Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) waive compliance with or modify any of the covenants contained in the Arrangement
Agreement or waive or modify performance of any of the obligations of the parties; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) make such alterations in the Arrangement Agreement (including the Plan of
Arrangement) as the parties may consider necessary or desirable in connection with the Interim Order or the Final Order.

Notwithstanding the foregoing, certain terms of the Arrangement and the Arrangement Agreement, including required Court, regulatory and Shareholder approval shall not be amended in any material respect without obtaining any required approval of the Shareholder in the same manner as required for the approval of the Arrangement or as may be ordered by the Court.

**Termination**

The Arrangement Agreement may, at any time before or after the approval of the Arrangement Resolution but prior to the Effective Date, be unilaterally terminated by WBM without further notice to, or action on the part of, the Shareholders for whatever reason WBM may consider appropriate. This Agreement will terminate without any further action by the parties if the Effective Date has not occurred on or before January 31, 2025 or such later date as WBM may determine.

Upon the termination the Arrangement Agreement pursuant to its terms, no party shall have any liability or further obligation to any other party.

**SHAREHOLDERS' RIGHTS OF DISSENT TO THE ARRANGEMENT**

Any registered Shareholder is entitled to be paid the fair value of such holder's Common Shares in accordance with Section 238 of the BCBCA if such holder dissents to the Arrangement and the Arrangement becomes effective.

In accordance with Section 5.3 of the Plan of Arrangement, in addition to any other restrictions in the BCBCA, none of the Shareholders who consent in favour of the Arrangement Resolution shall be entitled to exercise Dissent Rights.

A registered Shareholder is not entitled to dissent with respect to such holder's Common Shares if such holder votes any of their Common Shares in favour of the Arrangement Resolution.

A brief summary of the provisions of Sections 237 to 247 of the BCBCA is set out below. Such summary is not a comprehensive statement of the procedures to be followed by a Dissenting Shareholder who seeks payment of the fair value of its Common Shares and is qualified in its entirety by reference to the full text of Sections 237 to 247 of the BCBCA (which is attached to this Circular as Schedule "D") as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order.

**The statutory provisions dealing with the right of dissent are technical and complex. Any Dissenting Shareholders should seek independent legal advice, as failure to comply strictly with the provisions of Sections 237 to 247 of the BCBCA, as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order, may result in the loss of all Dissent Rights.**

The Interim Order expressly provides registered Shareholders with the right to dissent with respect to the Arrangement Resolution. Each Dissenting Shareholder is entitled to be paid the fair value (determined as of the close of business on the day before the Effective Date) of all, but not less than all, of the holder's Common Shares, provided that the holder duly dissents to the Arrangement Resolution and the Arrangement becomes effective.

In many cases, Common Shares beneficially owned by a holder are registered either (a) in the name of an intermediary that the non-registered Shareholder deals with in respect of such shares, such as, among others, banks, trust companies, securities brokers, trustees and other similar entities, or (b) in the name of a depository, such as CDS & Co., of which the intermediary is a participant. Accordingly, a non-registered Shareholder will not be entitled to exercise his, her or its rights of dissent directly (unless the Common Shares are reregistered in the non-registered Shareholder's name).

With respect to Common Shares in connection to the Arrangement, pursuant to the Interim Order, a registered Shareholder as of the Distribution Record Date, other than an affiliate of WBM, may exercise rights of dissent under Sections 237 to 247 of the BCBCA, as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order; provided that, notwithstanding section 242(2) of the BCBCA, the written objection to the Arrangement Resolution must be sent to WBM c/o Edwards, Kenny and Bray LLP, Suite 1040, 1900 West Georgia Street, Vancouver, British Columbia, Canada V6E 4H3, Attention: Jordan Gin, by no later than 4:00 p.m. (PST) on December 9, 2024.

To exercise Dissent Rights, a Shareholder must dissent with respect to all Common Shares of which it is the registered and beneficial owner. A registered Shareholder who wishes to dissent must deliver written notice of dissent (a "**Notice of Dissent**") to WBM and such Notice of Dissent must strictly comply with the requirements of Section 242 of the BCBCA. **Any failure by a Shareholder to fully comply with the provisions of the BCBCA, as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order, may result in the loss of that holder's Dissent Rights.** Non-registered Shareholders who wish to exercise Dissent Rights must cause each registered Shareholder holding their Common Shares to deliver the Notice of Dissent, or, alternatively, make arrangements to become a registered Shareholder.

To exercise Dissent Rights, a registered Shareholder must prepare a separate Notice of Dissent for himself, herself or itself, if dissenting on his, her or its own behalf, and for each other non-registered Shareholders who beneficially owns Common Shares registered in the Shareholder's name and on whose behalf the Shareholder is dissenting; and must dissent with respect to all of the Common Shares registered in his, her or its name or if dissenting on behalf of a nonregistered Shareholder, with respect to all of the Common Shares registered in his, her or its name and beneficially owned by the non-registered Shareholder on whose behalf the Shareholder is dissenting.

The Notice of Dissent must set out the number of Common Shares in respect of which the Dissent Rights are being exercised (the "**Notice Shares**") and: (a) if such Common Shares constitute all of the Common Shares of which the Shareholder is the registered and beneficial owner and the Shareholder owns no other Common Shares beneficially, a statement to that effect; (b) if such Common Shares constitute all of the Common Shares of which the Shareholder is both the registered and beneficial owner, but the Shareholder owns additional Common Shares beneficially, a statement to that effect and the names of the registered Shareholders, the number of Common Shares held by each such registered Shareholder and a statement that written notices of dissent are being or have been sent with respect to such other Common Shares; or (c) if the Dissent Rights are being exercised by a registered Shareholder who is not the beneficial owner of such Common Shares, a statement to that effect and the name of the non-registered Shareholder and a statement that the registered Shareholder is dissenting with respect to all Common Shares of the non-registered Shareholder registered in such registered holder's name.

If the Arrangement Resolution is approved by Shareholders, and WBM notifies a registered holder of Notice Shares of WBM's intention to act upon the Arrangement Resolution pursuant to Section 243 of the BCBCA, then in order to exercise Dissent Rights, such Shareholder must, within one month after WBM gives such notice, send to WBM a written notice that such holder requires the purchase of all of the Notice Shares in respect of which such holder has given Notice of Dissent. Such written notice must be accompanied by the certificate or certificates or DRS Statement representing those Notice Shares (including a written statement prepared in accordance with section 244(1)(c) of the BCBCA if the dissent is being exercised by the Shareholder on behalf of a non-registered Shareholder), whereupon, subject to the provisions of the BCBCA relating to the termination of Dissent Rights, the Shareholder becomes a Dissenting Shareholder, and is bound to sell and WBM is bound to purchase those Common Shares. Such Dissenting Shareholder may not vote, or exercise or assert any rights of a Shareholder in respect of such Notice Shares, other than the rights set forth in Sections 237 to 247 of the BCBCA, as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order.

If a Dissenting Shareholder is ultimately entitled to be paid for their Dissent Shares, then such Dissenting Shareholder may enter into an agreement with WBM for the fair value of such Dissent Shares. If such Dissenting Shareholder does not reach an agreement with WBM, then such Dissenting Shareholder, or WBM, may apply to the Court, and the Court may determine the payout value of the Dissent Shares and make consequential orders and give directions as the Court considers appropriate. There is no obligation on WBM to make an application to the Court. The Dissenting Shareholder will be entitled to receive the fair value that the Common Shares had as of the close of business on the day before the Effective Date. After a determination of the fair value of the Dissent Shares, WBM must then promptly pay that amount to the Dissenting Shareholder.

In no case will WBM, the Spinout Entities or any other person be required to recognize Dissenting Shareholders as Shareholders after the Effective Time, and the names of such Dissenting Shareholders will be deleted from the central securities register as Shareholders at the Effective Time.

In no circumstances will WBM, the Spinout Entities, or any other person be required to recognize a person as a Dissenting Shareholder: (a) unless such person is the holder of the Common Shares in respect of which Dissent Rights are purported to be exercised immediately prior to the Effective Time; (b) if such person has voted or instructed a proxy holder to vote such Notice Shares in favour of the Arrangement Resolution; or (c) unless such person has strictly complied with the procedures for exercising Dissent Rights set out in Division 2 of Part 8 of the BCBCA, as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order and does not withdraw such Notice of Dissent prior to the Effective Time.

Dissent Rights with respect to Notice Shares will terminate and cease to apply to the Dissenting Shareholder if, before full payment is made for the Notice Shares, the Arrangement in respect of which the Notice of Dissent was sent is abandoned or by its terms will not proceed, a court permanently enjoins or sets aside the corporate action approved by the Arrangement Resolution, or the Dissenting Shareholder withdraws the Notice of Dissent with WBM's written consent. If any of these events occur, WBM must return the share certificate(s) or DRS Statement representing the Common Shares to the Dissenting Shareholder, the Dissenting Shareholder regains the ability to vote and exercise its rights as a Shareholder and the Dissenting Shareholder must return any money paid to the Dissenting Shareholder in respect of the Notice Shares.

The discussion above is only a summary of the Dissent Rights, which are technical and complex. A Shareholder who intends to exercise Dissent Rights must strictly adhere to the procedures established in sections 237 to 247 of the BCBCA, as modified and supplemented by the Plan of Arrangement, the Interim Order and the Final Order, and failure to do so may result in the loss of all Dissent Rights.

Persons who have their Common Shares registered in the name of an intermediary, or in some other name, who wish to exercise Dissent Rights should be aware that only the registered owner of such Common Shares is entitled to dissent.

If you dissent, then there can be no assurance that the amount you receive as fair value for your Common Shares will be more than or equal to the consideration under the Arrangement.

**Each Shareholder wishing to avail himself, herself or itself of the Dissent Rights should carefully consider and comply with the provisions of the Interim Order and sections 237 to 247 of the BCBCA, which are attached to this Circular as Schedules "C" and "D", respectively, and seek his, her or its own legal advice.**

**CANADIAN FEDERAL INCOME TAX CONSIDERATIONS**

**The tax consequences of the Arrangement may vary depending upon the particular circumstances of each Shareholder and other factors. Accordingly, Shareholders are urged to consult their own tax advisors to determine the particular tax consequences to them of the Arrangement.**

The following is a summary of the principal Canadian federal income tax considerations under the Tax Act relating to the Arrangement applicable to a beneficial owner of Common Shares who, for the purposes of the Tax Act: (i) holds Common Shares, and will hold 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, acquired on the Arrangement, as capital property; (ii) deals at arm's length with WBM and the Spinout Entities; and (iii) is not "affiliated" with WBM or the Spinout Entities for the purposes of the Tax Act (a "**Holder**").

Common Shares and 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares as applicable, will generally be considered to be capital property to a Holder unless such securities are held by the Holder in the course of carrying on a business of buying and selling securities, or were acquired in one or more transactions considered to be an adventure or concern in the nature of trade.

This summary is based upon the current provisions of the Tax Act and the Company's understanding of the current administrative practices and assessing policies of the Canada Revenue Agency (the "**CRA**"). This summary also takes into account all specific proposals to amend the Tax Act (the "**Proposed Amendments**") announced by or on behalf of the Minister of Finance (Canada) prior to the date hereof and assumes that all Proposed Amendments will be enacted in the form proposed. There can be no assurance that the Proposed Amendments will be enacted in the form proposed or at all.

Except for the Proposed Amendments, this summary does not take into account or anticipate any changes in law, whether by legislative, governmental or judicial action or decision, nor does it take into account other federal or any provincial, territorial or foreign income tax considerations, which may differ from the Canadian federal income tax considerations discussed below. An advance income tax ruling will not be sought from the CRA in respect of the Arrangement.

**This summary is not applicable to a Holder: (i) that is a "financial institution" as defined in the Tax Act for the purposes of the "mark-to-market property" rules contained in the Tax Act; (ii) that is a "specified financial institution" or "restricted financial institution" as defined in the Tax Act (iii) an interest in which is, or whose Common Shares are, a "tax shelter investment" as defined in the Tax Act; (iv) to who has made a "functional currency" reporting election under section 261 of the Tax Act apply; or (v) that has entered, or will enter, into a "derivative forward agreement", as defined in the Tax Act, with respect to the Common Shares or 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares. Such Holders should consult their own tax advisors.**

**THIS SUMMARY IS OF A GENERAL NATURE ONLY AND IS NOT, AND IS NOT INTENDED TO BE, NOR SHOULD IT BE CONSTRUED TO BE, LEGAL OR TAX ADVICE TO ANY PARTICULAR HOLDER AND NO REPRESENTATIONS WITH RESPECT TO THE TAX CONSEQUENCES TO ANY PARTICULAR HOLDER ARE MADE. THIS SUMMARY IS NOT EXHAUSTIVE OF ALL CANADIAN FEDERAL INCOME TAX CONSIDERATIONS. ACCORDINGLY, HOLDERS SHOULD CONSULT THEIR OWN TAX ADVISORS HAVING REGARD TO THEIR OWN PARTICULAR CIRCUMSTANCES.**

**Holders Resident in Canada**

The following portion of this summary applies to a Holder who, at all relevant times is or is deemed to be resident in Canada for purposes of the Tax Act (a "**Resident Holder**").

Certain Resident Holders whose Common Shares or 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, might not otherwise be capital property may, in certain circumstances, be entitled to make an irrevocable election under subsection 39(4) of the Tax Act to have such shares, and every other "Canadian security" as defined in the Tax Act owned by such Holder in the taxation year in which the election is made and in all subsequent taxation years, deemed to be capital property. **Any Resident Holder contemplating making a subsection 39(4) election should consult their tax advisor for advice as to whether the election is available or advisable in their particular circumstances.**

**Deemed Dividend**

It is in the intention of WBM that the aggregate fair market value of the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares to be distributed by WBM is not expected to exceed the "paid-up capital", as defined in the Tax Act, of the Common Shares immediately before Effective Date. Accordingly, Resident Holders are not expected to be deemed to receive a dividend with respect to the distribution of the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares. Rather, such distribution will reduce a Resident Holder's adjusted cost base of its Common Shares by the fair market value of the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares distributed (determined at the time of distribution). The paid-up capital of such Common Shares will also be reduced by such amount.

In the event that the fair market value of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares (determined at the time of distribution) exceeds the paid-up capital of the Common Shares, the Resident Holders will be deemed to receive a dividend on such Common Shares equal to the amount of such excess.

**Dividends on Common Shares and the Spinout Entities' Common Shares**

A Resident Holder who is an individual and who is deemed to receive a dividend on its Common Shares or who receives a dividend paid on its the Spinout Entities' Common Shares will be required to include in income such dividend, and will be subject to the gross-up and dividend tax credit rules applicable to taxable dividends received from taxable Canadian corporations, including the enhanced gross-up and dividend tax credit applicable to any dividends designated by WBM or the Spinout Entities, as the case may be, as "eligible dividends", as defined in the Tax Act.

A Resident Holder that is a corporation will be required to include in income any dividend received or deemed to be received on its Common Shares or paid on its the Spinout Entities' Common Shares, and generally will be entitled to deduct an equivalent amount in computing its taxable income. A "private corporation" as defined in the Tax Act or a "subject corporation" as defined in the Tax Act may be liable under Part IV of the Tax Act to pay a refundable tax on any dividend that it receives or is deemed to receive on its Common Shares or the Spinout Entities' Common Shares to the extent that the dividend is deductible in computing the corporation's taxable income.

**Disposition of the Spinout Entities' Common Shares**

A Resident Holder that disposes or is deemed to dispose of a Spinout Entity's Common Share in a taxation year will realize a capital gain (or a capital loss) equal to the amount by which the proceeds of disposition of the share exceed (or are less than) the aggregate of the adjusted cost base to the Resident Holder of such share, determined immediately before the disposition, and any reasonable costs of disposition. The Resident Holder will be required to include any resulting taxable capital gain in income or be entitled to deduct any resulting allowable capital loss, in accordance with the usual rules applicable to capital gains and capital losses. See "*Holders Resident in Canada — Taxation of Capital Gains and Capital Losses*".

**Taxation of Capital Gains and Capital Losses**

Generally, a Resident Holder will be required to include in computing its income for a taxation year a portion of the amount of any capital gain (a "**taxable capital gain**") realized by it in that year. A Resident Holder will generally be required to deduct a portion of the amount of any capital loss (an "**allowable capital loss**") realized in a taxation year from taxable capital gains realized by the Resident Holder in that year. Allowable capital losses in excess of taxable capital gains for a taxation year may be carried back to any of the three preceding taxation years or carried forward to any subsequent taxation year and deducted against net taxable capital gains realized in such years, subject to the detailed rules contained in the Tax Act.

A capital loss realized on the disposition of a Spinout Entity's Common Share by a Resident Holder that is a corporation may, to the extent and under the circumstances specified by the Tax Act, be reduced by the amount of dividends received or deemed to have been received by the corporation on such shares (or on a share for which such share is substituted or exchanged). Similar rules may apply where shares are owned by a partnership or trust of which a corporation, trust or partnership is a member or beneficiary. **Resident Holders to whom these rules may be relevant should consult their own advisors.**

**Alternative Minimum Tax on Resident Holders who are Individuals**

A capital gain realized, or a dividend received, by a Resident Holder who is an individual (including certain trusts and estates) may give rise to liability for alternative minimum tax under the Tax Act.

**Additional Refundable Tax on Canadian-Controlled Private Corporations**

A Resident Holder that is a "Canadian-controlled private corporation" as defined in the Tax Act may be required to pay an additional refundable tax on certain investment income, including certain amounts in respect of net taxable capital gains, dividends or deemed dividends and interest.

**Eligibility for Investment**

The Spinout Entities' Common Shares, if issued on the date hereof, would be qualified investments under the Tax Act and the regulations thereunder for trusts governed by registered retirement savings plans, registered retirement income funds, registered education savings plans, registered disability savings plans and tax-free savings accounts (collectively, "**Registered Plans**") and deferred profit sharing plans ("**DPSPs**"), (all as defined in the Tax Act), provided that the Spinout Entities' Common Shares are listed on a "designated stock exchange" as defined in the Tax Act or the applicable Spinout Entity is a "public corporation", as defined in the Tax Act. Persons who intend to hold their Spinout Entities' Common Shares in a Registered Plan or DPSP should consult with their own tax advisors regarding the tax consequences in their particular circumstances.

Notwithstanding that the Spinout Entities' Common Shares may be a qualified investment for a Registered Plan, if a Spinout Entity's Common Shares are a "prohibited investment" within the meaning of the Tax Act for the Registered Plan, the annuitant, holder or subscriber, as the case may be (the "Controlling Individual"), of the Registered Plan, will be subject to a penalty tax under the Tax Act. The Spinout Entities' Common Shares generally will not be a prohibited investment for a Registered Plan provided the Controlling Individual of the Registered Plan: (i) deals at arm's length with the Spinout Entities for the purposes of the Tax Act; and (ii) does not have a "significant interest" (as defined in the Tax Act for purposes of the prohibited investment rules) in the Spinout Entities. The Spinout Entities' Common Shares will not be a prohibited investment if such shares are "excluded property" (as defined in the Tax Act for purposes of the prohibited investment rules) for the Registered Plan. Persons who intend to hold the Spinout Entities' Common Shares in a Registered Plan should consult their own tax advisors in regard to the application of these rules in their particular circumstances.

**Dissenting Resident Holders**

A Resident Holder who dissents in respect of the Arrangement (a "**Resident Dissenter**") and who is entitled to receive payment from WBM equal to the fair value of the Resident Dissenter's Common Shares will be considered to have disposed of the Common Shares for proceeds of disposition equal to the amount received by the Resident Dissenter, less the amount of any interest awarded by a court, as the case may be. A Resident Dissenter generally will be deemed to have received a dividend equal to the amount by which such proceeds exceed the paid-up capital of such shares, and such deemed dividend will reduce the proceeds of disposition for purposes of computing any capital gain (or a capital loss) on the disposition of such Common Shares. The tax treatment accorded to any deemed dividend is discussed above under the heading, "*Holders Resident in Canada – Dividends on Common Shares and the Spinout Entities' Common Shares*".

A Resident Dissenter will also realize a capital gain (or a capital loss) to the extent that the proceeds of disposition of such Common Shares, as reduced by the amount of any deemed dividend as discussed above, exceed (or are less than) the adjusted cost base of such shares immediately before the disposition and any reasonable costs of disposition. The tax treatment of capital gains and capital losses (including the potential reduction of a capital loss due to the receipt of a deemed dividend) is discussed above under the heading, "*Holders Resident in Canada – Taxation of Capital Gains and Capital Losses*".

Interest awarded by a court to a Resident Dissenter will be included in the Resident Dissenter's income for a particular taxation year to the extent the amount is received or receivable in that year, depending upon the method regularly followed by the Resident Dissenter in computing income. Where the Resident Dissenter is a corporation, partnership or, subject to certain exceptions, a trust, the Resident Dissenter must include in income for a taxation year the amount of interest that accrues to it before the end of the taxation year, or becomes receivable or is received before the end of the year (to the extent not included in income for a preceding taxation year). **Resident Dissenters who are contemplating exercising their dissent rights should consult their own tax advisors.**

**Holders Not Resident in Canada**

The following portion of the summary applies to a Holder who, for the purposes of the Tax Act: (i) at all relevant times is not and is not deemed to be resident in Canada; and (ii) does not and will not use or hold, and is not and will not be deemed to use or hold, Common Shares or the Spinout Entities' Common Shares in connection with carrying on a business in Canada (a "**Non-Resident Holder**"). This portion of the summary is not applicable to a Non-Resident Holder that is: (i) an insurer carrying on an insurance business in Canada and elsewhere; (ii) a "financial institution" as defined in the Tax Act; or (iii) an "authorized foreign bank" as defined in the Tax Act.

**Dividends on Common Shares and the Spinout Entities' Common Shares**

Dividends paid or credited, or deemed to be paid or credited, on Common Shares or the Spinout Entities' Common Shares to a Non-Resident Holder generally will be subject to Canadian withholding tax at a rate of 25% of the gross amount of the dividend, unless the rate is reduced under the provisions of an applicable income tax convention. WBM or the Spinout Entities, as the case may be, may be required to withhold the required amount of withholding tax from the dividend, and to remit it to the CRA for the account of the Non-Resident Holder.

**Disposition of Spinout Entities' Common Shares**

A Non-Resident Holder that disposes or is deemed to dispose of a Spinout Entity's Common Share in a taxation year will realize a capital gain (or a capital loss) equal to the amount by which the proceeds of disposition of the share exceed (or are less than) the aggregate of the adjusted cost base to the Non-Resident Holder of such share, determined immediately before the disposition, and any reasonable costs of disposition.

Such gain will not be subject to tax in Canada, unless the Spinout Entity's Common Shares are "taxable Canadian property" to the Non-Resident Holder. The Spinout Entities' Common Shares will be taxable Canadian property to a Non-Resident Holder if, at any time in the 60 month period preceding the disposition, 25% or more of the issued shares of any class of the capital stock of the applicable Spinout Entity were owned by any combination of (a) the Non-Resident Holder, (b) persons with whom the Non-Resident Holder did not deal at arm's length and (c) partnerships in which persons referred to in (a) or (b) holds a membership interest (directly or indirectly through one or more partnerships), and more than 50% of the fair market value of the Spinout Entities' Common Shares was derived from, directly or indirectly, any combination of (i) real or immovable property situated in Canada, (ii) Canadian resource property, (iii) timber resource property, and (iv) options in respect or, or interest in, the property described in (i) to (iii). If the Spinout Entities' Common Shares constitute taxable Canadian property, a capital gain arising on the disposition of such shares may be exempt from tax in Canada under the terms of a tax treaty between Canada and the country of residence of the Non-Resident Holder. **Such holders should consult their tax advisors about their particular circumstances.**

**Dissenting Non-Resident Holders**

A Non-Resident Holder who dissents in respect of the Arrangement (a "**Non-Resident Dissenter**") will be entitled to receive a payment from WBM equal to the fair value of such Non-Resident Dissenter's Common Shares and will be considered to have disposed of such shares for proceeds of disposition equal to the amount received by the Non-Resident Dissenter, less the amount of any interest awarded by a court (if applicable). A Non-Resident Dissenter generally will be deemed to have received a dividend equal to the amount by which such proceeds exceed the paid-up capital of such shares and such deemed dividend will reduce the proceeds of disposition for purposes of computing any capital gain (or capital loss) on the disposition of such Common Shares. The deemed dividend will be subject to Canadian withholding tax as described above under "*Holders Not Resident in Canada – The Spinout Entities' Common Shares – Deemed Dividend*".

A Non-Resident Dissenter will also realize a capital gain to the extent that the proceeds of disposition for such shares, as reduced by the amount of any deemed dividend as discussed above, exceed the adjusted cost base of such Common Shares immediately before the disposition and any reasonable costs of disposition. A Non-Resident Dissenter generally will not be subject to income tax under the Tax Act in respect of any such capital gain provided such shares do not constitute taxable Canadian property of the Non-Resident Dissenter, as described above under "*Holders Not Resident in Canada – Disposition of the Spinout Entities' Common Shares*".

Any interest paid to a Non-Resident Dissenter upon the exercise of dissent rights will not be subject to Canadian withholding tax.

**Canadian Securities Laws and Resale of Securities**

The following is a brief summary of the securities law considerations applicable to the transactions contemplated herein.

**Each Shareholder is urged to consult such holder's professional advisors to determine the Canadian conditions and restrictions applicable to trades in the Spinout Entities' Common Shares.**

WBM is a "reporting issuer" in the provinces of British Columbia, Ontario and Alberta.

The issuance of the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares pursuant to the Arrangement will constitute a distribution of securities, which is exempt from the prospectus requirements of Canadian securities legislation. The 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares issued to Shareholders may be resold in each of the provinces and territories of Canada provided the holder is not a 'control person' as defined in the applicable securities laws in each the provinces and territories of Canada, no unusual effort is made to prepare the market or create a demand for those securities and no extraordinary commission or consideration is paid in respect of that sale.

**APPROVAL OF THE SPINOUT ENTITIES' ROLLING STOCK OPTION PLANS**

The boards of directors of each of the Spinout Entities have approved a rolling stock option plan. The Shareholders will be asked to pass a resolution by unanimously consent to the adoption of the option plans of each of the Spinout Entities.

Under each of the Spinout Entities' option plans, the respective board of directors may, from time to time, grant stock options to purchase 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable to certain directors, officers, employees and consultants of each of the Spinout Entities, as applicable, and of their respective subsidiaries and affiliates. The maximum number of common shares issuable under each option plan and all other security-based compensation arrangements of each of the Spinout Entities is ten (10%) percent of the issued and outstanding number of common shares from time to time. Pursuant to the terms of each option plan, the maximum length of any stock option shall be 10 years from the date the stock option is granted.

The Shareholders will be asked to pass a unanimous consent resolution adopting the option plans of each of the Spinout Entities as follows:

"**BE IT RESOLVED THAT**: the stock option plans of each of 651, 652, 653, 655, 450, 441 and 435 be and are hereby ratified, confirmed and approved with such additional provisions and amendments, as the directors of 651, 652, 653, 655, 450, 441 and 435, as applicable, may deem necessary or advisable."

**INFORMATION ABOUT THE COMPANY**

The Company is a BC corporation under the BC *Business Corporations Act*. The Common Shares of the Company were previously listed for trading on the Canadian Securities Exchange ("**CSE**") under the symbol TIDL and the Company operated under the corporate name Tiidal Gaming Group Corp. Previously, the Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem. The Company completed the sale of the assets of Lazarus Esports Inc. to TGS Esports Inc. on November 7, 2022 and the sale of its Sportsflare division to Entain Holdings (UK) Limited on June 9, 2023. The Lazarus and Sportsflare sales represented a divestiture of the Company's principal business assets. On December 15, 2023, the Company completed a substantial issuer bid to repurchase and cancel 83,256,650 Common Shares (representing approximately 95% of the Company's then issued and outstanding Common Shares) for aggregate proceeds to tendering shareholders of $10,198,940. Following completion of the substantial issuer bid, the Company voluntarily delisted trading its Common Shares on the CSE. On July 10, 2024, the Company changed its corporate name from Tiidal Gaming Group Corp. to WBM Capital Corp. Recently, on October 4, 2024, the Company effected a share consolidation on the basis of one post consolidation share for every 6,000,000 pre-consolidation shares. No fractional shares were issued and as such, the shareholders who would otherwise hold a fractional interest in a common share following the consolidation (i.e. those who hold less than 6,000,000 pre-consolidation shares) were entitled to receive C$0.005 in cash for each pre-consolidation common share held. Following the consolidation, the Company only has one common share issued and outstanding.

On October 21, 2024, the Company incorporated four out of the seven Spinout Entities and then on November 6, 2024, the Company incorporated three additional Spinout Entities. In connection with the incorporations, the Company subscribed for one common share at a subscription price of $0.01 in each Spinout Entity. In addition, the Company loaned $7,000 to each Spinout Entity to provide it with working capital.

Presently, the Company has no significant assets or operations, other than its investments in the Spinout Entities, and intends to pursue potential acquisitions or other investment opportunities. It has not presently identified any potential acquisitions or investment opportunities.

The Company's head office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

**ADDITIONAL INFORMATION**

Additional information relating to the Company may be found in Schedule "E" and on SEDAR+ at <u>www.sedarplus.ca</u> or by contacting the Company at its head office, 1900-1040 West Georgia Street, Vancouver, BC V6E 4H3.

**INFORMATION CONCERNING THE SPINOUT ENTITIES**

Information about the Spinout Entities is attached to this Circular as Schedule "G".

**DIRECTORS' APPROVAL**

The contents of this Information Circular have been approved by the Board.

Dated this 25<sup>th</sup> day of November, 2024.

---

| |
|:---|
| By Order of the Board of Directors of **WBM Capital Corp.** |
| */s/ "Carlo Rigillo"* |
| Carlo Rigillo |
| CEO |

---

**SCHEDULE "A"**

**ARRANGEMENT RESOLUTION**

The sole Shareholder of the Company has been asked to consider and, if deemed advisable, to approve, with or without amendment the following resolution (the "**Arrangement Resolution**").

**BE IT RESOLVED AS A UNANIMOUS RESOLUTION OF THE WBM CAPITAL CORP. SHAREHOLDERS THAT:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The arrangement (the "**Arrangement** ")
under Division 5 of Part 9 of the *Business Corporations Act (British Columbia)* (the "**BCBCA**") involving
WBM Capital Corp., a corporation continued under the laws of British Columbia ()"**WBM** "), its shareholders and
1507651 B.C. Ltd., a corporation existing under the laws of British Columbia ()"**651** "), 1507652 B.C. Ltd., a
corporation existing under the laws of British Columbia ()"**652** "), 1507653 B.C. Ltd., a corporation existing
under the laws of British Columbia ()"**653**), 1507655 B.C. Ltd., a corporation existing under the laws of British Columbia
(" **655** "), 1510450 B.C. Ltd., a corporation existing under the laws of British Columbia ()"**450** "),
1510441 B.C. Ltd., a corporation existing under the laws of British Columbia ()"**441** "), and 1510435 B.C. Ltd.,
a corporation existing under the laws of British Columbia ()"**435** "and together with 651, 652, 653, 655, 450 and
441 the "**Spinout Entities**") all as more particularly described and set forth in the management information
circular (the "**Circular**") of WBM dated November 25, 2024 (as the Arrangement may be, or may have been, modified
or amended in accordance with its terms), is hereby authorized, approved and adopted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The plan of arrangement (the "**Plan of Arrangement** "),
implementing the Arrangement, the full text of which is appended to the Circular (as the Plan of Arrangement may be, or may have
been, modified or amended in accordance with its terms), is hereby authorized, approved and adopted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The arrangement agreement (the "**Arrangement Agreement**") between WBM and the Spinout Entities dated November 18, 2024 and all the transactions contemplated therein,
the actions of the directors of WBM in approving the Arrangement and the actions of the directors and officers of WBM in executing
and delivering the Arrangement Agreement and any amendments thereto are hereby ratified and approved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Notwithstanding that this resolution has been passed
(and the Arrangement approved) by the shareholders of WBM or that the Arrangement has been approved by the Supreme Court of British
Columbia, the directors of WBM are hereby authorized and empowered, without further notice to, or approval of, the shareholders
of WBM:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) to amend the Arrangement Agreement or the Plan of Arrangement to the extent permitted by the Arrangement Agreement or the Plan of Arrangement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) subject to the terms of the Arrangement Agreement, not to proceed with the Arrangement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Any one director or officer of WBM is hereby authorized
and directed, for and on behalf and in the name of WBM, to execute and deliver, whether under the corporate seal of WBM or otherwise,
all such deeds, instruments, assurances, agreements, forms, waivers, notices, certificates, confirmations and other documents
and to do or cause to be done all such other acts and things as in the opinion of such director or officer may be necessary, desirable
or useful for the purpose of giving effect to these resolutions, the Arrangement Agreement and the completion of the Plan of Arrangement
in accordance with the terms of the Arrangement Agreement, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) all actions required to be taken by or on behalf of WBM, and all necessary filings and obtaining the necessary approvals, consents and acceptances of appropriate regulatory authorities; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) the signing of the certificates, consents and other documents or declarations required under the Arrangement Agreement or otherwise to be entered into by WBM;

such determination to be conclusively evidenced by the execution and delivery of such document, agreement or instrument or the doing of any such act or thing.

**SCHEDULE "B"**

**PLAN OF ARRANGEMENT**

**UNDER SECTION 288 OF THE *BUSINESS CORPORATIONS ACT***

 **(BRITISH COLUMBIA)**

**ARTICLE 1**

**DEFINITIONS AND INTERPRETATION**

&nbsp;&nbsp;&nbsp;&nbsp;**1.1**  **<u>Definitions</u>** 

In this Plan of Arrangement, unless there is something in the subject matter or context inconsistent therewith, the following terms shall have the respective meanings set forth below:

"**435**" means 1510435 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**435 Common Shares**" means the common shares in the authorized share structure of 435;

"**441**" means 1510441 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**441 Common Shares**" means the common shares in the authorized share structure of 441;

"**450**" means 1510450 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**450 Common Shares**" means the common shares in the authorized share structure of 450;

"**651**" means 1507651 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**651 Common Shares**" means the common shares in the authorized share structure of 651;

"**652**" means 1507652 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**652 Common Shares**" means the common shares in the authorized share structure of 652;

"**653**" means 1507653 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**653 Common Shares**" means the common shares in the authorized share structure of 653;

"**655**" means 1507655 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

"**655 Common Shares**" means the common shares in the authorized share structure of 655;

"**Arrangement Agreement**" means the agreement dated November 18, 2024 between WBM and the WBM Subsidiaries to which this Plan of Arrangement is attached as Exhibit A, as it may be supplemented or amended from time to time;

"**Arrangement Resolution**" means the special resolution of WBM Shareholders to be considered, and if deemed advisable, passed by the WBM Shareholders;

"**BCBCA**" means the *Business Corporations Act* (British Columbia);

"**Business Day**" means a day which is not a Saturday, Sunday, or a day when commercial banks are not open for in person business in Vancouver, British Columbia;

"**Circular**" means the management information circular of WBM containing among other things, disclosure in respect of the Arrangement and prospectus level disclosure in respect of the WBM Subsidiaries following completion of the Arrangement, together with all appendices, distributed by WBM to the WBM Shareholders and filed with such Authorities in Canada as are required by Section 2.5(a)(ii) of the Arrangement Agreement, or otherwise as required by applicable Law;

"**Consideration**" means the consideration payable by WBM pursuant to Section 3.1 of this Plan of Arrangement to a person who is, immediately before the Effective Time, a WBM Shareholder;

"**Conversion Factor**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) in respect of 651, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) in respect of 652, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) in respect of 653, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) in respect of 655, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) in respect of 450, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) in respect of 441, 1.00; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) in respect of 435, 1.00.

"**Court**" means the Supreme Court of British Columbia;

"**Dissent Procedures**" has the meaning attributed to that term in Section 4.2 of this Plan of Arrangement;

"**Dissent Right**" has the meaning attributed to that term in Section 4.1 of this Plan of Arrangement;

"**Dissent Share**" has the meaning attributed to that term in Subsection 3.1(a) of this Plan of Arrangement;

"**Effective Date**" means the first Business Day after the date upon which the Parties have confirmed in writing (such confirmation not to be unreasonably withheld or delayed) that all conditions to the completion of the Plan of Arrangement have been satisfied or waived in accordance with Article 5 of the Arrangement Agreement and all documents and instruments required under the Arrangement Agreement, the Plan of Arrangement and the Final Order have been delivered;

"**Effective Time**" means 12:01 a.m. on the Effective Date;

"**Final Order**" means the order made after application to the Court pursuant to section 291 of the BCBCA approving the Plan of Arrangement as such order may be amended by the Court (with the consent of the Parties, acting reasonably) at any time prior to the Effective Date or, if appealed, then, unless such appeal is withdrawn or denied, as affirmed or as amended (with the consent of the Parties, acting reasonably) on appeal;

"**Initial Common Shares**" means the one common share outstanding in the capital of each of 651, 652, 653, 655, 450, 441 and 435 issued to WBM on incorporation;

"**Interim Order**" means the order made after application to the Court pursuant to section 291 of the BCBCA, as such order may be amended, supplemented or varied by the Court (with the consent of the Parties, acting reasonably);

"**Parties**" means WBM and each of the WBM Subsidiaries and "**Party**" means any one of them;

"**Plan of Arrangement**", "**hereof**", "**herein**", "**hereunder**" and similar expressions mean this plan of arrangement and any amendments, variations or supplements hereto made in accordance with the terms hereof and the terms of the Arrangement Agreement or made at the direction of the Court in the Final Order;

"**Round Down Provision**" has the meaning attributed to that term in of Section 3.2 of this Plan of Arrangement;

"**Share Distribution**" has the meaning attributed to that term in Subsection 3.1 of this Plan of Arrangement; and

"**Tax Act**" means the *Income Tax Act* (Canada) and the regulations promulgated thereunder, as amended from time to time;

"**WBM**" means WBM Capital Corp., a company continued under the laws of the Province of British Columbia;

"**WBM Common Shares**" means the common shares in the authorized share structure of WBM;

"**WBM Shareholders**" means the holders of WBM Common Shares;

"**WBM Subsidiaries**" means collectively, 651, 652, 653, 655, 450, 441 and 435.

&nbsp;&nbsp;&nbsp;&nbsp;**1.2**  **<u>Number, Gender and Persons</u>** 

In this Plan of Arrangement, unless the context otherwise requires, words importing the singular include the plural and *vice versa*, words importing the use of either gender include both genders and neuter and the word person and words importing persons include a natural person, firm, trust, partnership, association, corporation, joint venture or government (including any governmental agency, political subdivision or instrumentality thereof) and any other entity or group of persons of any kind or nature whatsoever.

&nbsp;&nbsp;&nbsp;&nbsp;**1.3**  **<u>Interpretation Not Affected by Headings</u>** 

The division of this Plan of Arrangement into articles, sections, paragraphs and subparagraphs and the insertion of headings herein are for convenience of reference only and shall not affect the construction or interpretation of this Plan of Arrangement. The terms "**this Plan of Arrangement**", "**hereof**", "**herein**", "**hereto**", "**hereunder**" and similar expressions refer to this Plan of Arrangement and not to any particular article, section or other portion hereof and include any instrument supplementary or ancillary hereto.

&nbsp;&nbsp;&nbsp;&nbsp;**1.4**  **<u>Date for Any Action</u>** 

If the date on which any action is required to be taken hereunder is not a Business Day, the action shall be required to be taken on the next day that is a Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;**1.5**  **<u>Time</u>** 

Time shall be of the essence in every matter or action contemplated hereunder. All times expressed herein are local time in Vancouver, British Columbia unless otherwise stipulated herein.

&nbsp;&nbsp;&nbsp;&nbsp;**1.6**  **<u>Currency</u>** 

Unless otherwise stated, a reference herein to an amount of money means the amount expressed in lawful money of Canada

&nbsp;&nbsp;&nbsp;&nbsp;**1.7**  **<u>Statutory References</u>** 

Any reference in this Plan of Arrangement to a statute includes all regulations and rules made thereunder, all amendments to such statute, rule or regulation in force from time to time and any statute, rule or regulation that supplements or supersedes such statute or regulation.

&nbsp;&nbsp;&nbsp;&nbsp;**1.8**  **<u>Governing Law</u>** 

This Plan of Arrangement, including its validity, interpretation and effect, shall be governed by the laws of the Province of British Columbia and the laws of Canada applicable therein.

**ARTICLE 2** 

**ARRANGEMENT AGREEMENT AND EFFECT OF ARRANGEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;**2.1**  **<u>Arrangement Agreement</u>** 

The Plan of Arrangement is made pursuant to, and is subject to the provisions of, the Arrangement Agreement, except that the sequence of steps comprising the Arrangement shall occur in the order set forth herein unless otherwise indicated.

&nbsp;&nbsp;&nbsp;&nbsp;**2.2**  **<u>Effect of Plan of Arrangement</u>** 

The Plan of Arrangement will, effective at the Effective Time, become effective and be binding on WBM, each of the WBM Subsidiaries, and the WBM Shareholders without any further act or formality required on the part of any person except as expressly provided herein. If there is any inconsistency or conflict between the provisions of this Plan of Arrangement and the provisions of the Arrangement Agreement, the provisions of this Plan of Arrangement shall govern.

**ARTICLE 3**

**ARRANGEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;**3.1**  **<u>Arrangement</u>** 

Commencing at the Effective Time the following transactions will occur and be deemed to occur in the following sequence without further act or formality:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each WBM Common Share in respect of which a registered
WBM Shareholder has exercised Dissent Rights and for which the registered WBM Shareholder is ultimately entitled to be paid fair
value (each a "**Dissent Share**") shall be repurchased by WBM for cancellation in consideration for a debt-claim
against WBM to be paid the fair value of such WBM Share in accordance with Article 5 of this Plan of Arrangement and such Dissent
Share shall thereupon be cancelled; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) WBM shall distribute to each WBM Shareholder:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the number of 651 Common Shares equal to the product
of the number of WBM Common Shares held and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the number of 652 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the number of 653 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the number of 655 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the number of 450 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the number of 441 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the number of 435 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

(collectively, the "**Share Distribution**"), and in connection with the Share Distribution:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the name of each WBM Shareholder shall be added to the central securities
register for the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares
and 435 Common Shares received pursuant to the Share Distribution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) an amount equal to the fair market value of 651 Common Shares, 652 Common
Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares as distributed on the
Share Distribution shall be removed from the capital in respect of the WBM Common Shares; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Initial Common Shares held by WBM shall be cancelled without any payment therefor, and WBM
shall be removed from the register of holders of the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares,
450 Common Shares, 441 Common Shares and 435 Common Shares.

&nbsp;&nbsp;&nbsp;&nbsp;**3.2**  **<u>No Fractional Shares</u>** 

No fractional 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares shall be distributed by WBM to a WBM Shareholder on the Share Distribution. If WBM would otherwise be required to distribute to a WBM Shareholder an aggregate number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, that is not a round number, then the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares distributable to that WBM Shareholder shall be rounded down to the next lesser whole number (the "**Round Down Provision**") and that WBM Shareholder shall not receive any compensation in respect thereof. Notwithstanding the foregoing, if the Round Down Provision would otherwise result in the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, distributable to a particular WBM Shareholder being rounded down from one to nil, then the Round Down Provision shall not apply and WBM shall distribute one 651 Common Share, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, to that WBM Shareholder.

&nbsp;&nbsp;&nbsp;&nbsp;**3.3**  **<u>Extinction of Rights</u>** 

Any instrument or certificate which immediately prior to the Effective Time represented outstanding WBM Common Shares that were exchanged pursuant to Section 3.1 or an affidavit of loss and bond or other indemnity shall, on or prior to the sixth (6th) anniversary of the Effective Date, cease to represent a claim or interest of any kind or nature against WBM. On such date, the aggregate 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, to which the former WBM Shareholder referred to in the preceding sentence was ultimately entitled shall be deemed to have been surrendered for no consideration to WBM and shall be returned to WBM. None of WBM or the WBM Subsidiaries shall be liable to any person in respect of any amount for 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares delivered to a public official pursuant to any applicable abandoned property, escheat or similar law.

&nbsp;&nbsp;&nbsp;&nbsp;**3.4**  **<u>Withholding</u>** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) WBM and the WBM Subsidiaries, as the case may be, will be entitled to deduct
and withhold from any Consideration otherwise payable to any WBM Shareholder under this Plan of Arrangement (including any payment
to WBM Shareholders exercising Dissent Rights) such amounts as WBM or the WBM Subsidiaries are permitted or required to deduct
and withhold with respect to such payment under the Tax Act and the rules and regulations promulgated thereunder, or any provision
of any provincial, state, local or foreign tax Law as counsel may advise is permitted or required to be so deducted and withheld
by WBM or the WBM Subsidiaries, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the purposes of such deduction and withholding: (i) all withheld amounts
shall be treated as having been paid to the person in respect of which such deduction and withholding was made on account of the
obligation to make payment to such person hereunder; and (ii) such deducted or withheld amounts shall be remitted to the appropriate
Authority in the time and manner permitted or required by the applicable Law by or on behalf of WBM or the WBM Subsidiaries, as
the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;**3.5**  **<u>Post-Effective Date Procedures</u>** 

Following receipt of the Final Order and prior to the Effective Date, 651, 652, 653, 655, 450, 441 and 435 will forward to WBM and WBM Shareholders as of the Effective Date at WBM's registered office or, in respect of the WBM Shareholders, the address specified in the register of WBM Shareholders or email provided to 651, 652, 653, 655, 450, 441 and 435, copies of certificates representing the number of 651 Common Shares, 652 Common Shares, 653 Common Shares and 655 Common Shares to be delivered to WBM or such WBM Shareholder under the Arrangement, unless WBM or the WBM Shareholders request original certificates representing the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares to be delivered to WBM or such WBM Shareholder under the Arrangement, then, 651, 652, 653, 655, 450, 441 and 435 will deliver by registered mail (postage prepaid) or hand delivery to WBM and WBM Shareholders as of the Effective Date at WBM's registered office or, in respect of the WBM Shareholders, the address specified in the register of WBM Shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.6**  **<u>Deemed Fully Paid and Non-Assessable Shares</u>** 

All 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares issued pursuant hereto shall be deemed to be validly issued and outstanding as fully paid and non-assessable shares for all purposes of the BCBCA.

**ARTICLE 4**

**DISSENT RIGHTS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.1**  **<u>Dissent Rights</u>** 

Subject to section 246 of the BCBCA and the terms, conditions, and restrictions set out in Article 4 of the Plan of Arrangement, there is hereby granted to each registered WBM Shareholder the right (the "**Dissent Right**"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to dissent from the Arrangement Resolution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) on the valid exercise of the Dissent Right in accordance with the Dissent
Procedures, to be paid the fair market value of the registered WBM Shareholder's WBM Common Shares by WBM.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.2**  **<u>Dissent Procedures</u>** 

A registered WBM Shareholder who wishes to exercise the registered WBM Shareholder's Dissent Right must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) do so in respect of all WBM Shares registered in the name of the registered
WBM Shareholder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) comply with sections 242 and 244 of the BCBCA, as modified below; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) deliver a written notice of dissent to the office of WBM at 1900 –
1040 West Georgia Street, Vancouver, BC V6E 4H3 Attn: Jordan Gin, at least two Business Days before the day of the Arrangement
Resolution is approved by WBM Shareholders,

(the "**Dissent Procedures**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.3**  **<u>Failure to Comply with Dissent Procedures</u>** 

Each registered WBM Shareholder who fails to exercise the registered WBM Shareholder's Dissent Right strictly in accordance with the Dissent Procedures will be deemed for all purposes to have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) failed to exercise the Dissent Right validly, and consequently to have waived the Dissent Right;
and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) thereby ceased to be entitled to be paid the fair market value of the registered WBM Shareholder's
WBM Common Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.4**  **<u>Waiver of Dissent Right</u>** 

Each registered WBM Shareholder who waives or is deemed to waive the registered WBM Shareholder's Dissent Right or is otherwise for any reason ultimately not entitled to be paid the fair market value of the WBM Common Shares registered in the name of the registered WBM Shareholder by WBM pursuant to the Dissent Right, shall be deemed to have participated in the Arrangement.

**ARTICLE 5**

**AMENDMENTS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1**  **<u>Amendments</u>** 

The Parties reserve the right to amend, modify and/or supplement this Plan of Arrangement from time to time at any time prior to the Effective Time provided that any such amendment, modification or supplement must be contained in a written document that is filed with the Court and, if made following the approval of the Arrangement Resolution, approved by the Court.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2**  **<u>Effectiveness of Amendments Made Prior to the Approval of the Arrangement Resolution</u>** 

Any amendment, modification or supplement to this Plan of Arrangement may be proposed by any of the Parties at any time prior to the approval of the Arrangement Resolution shall become part of this Plan of Arrangement for all purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.3**  **<u>Effectiveness of Amendments Made Following the Approval of the Arrangement Resolution</u>** 

Any amendment, modification or supplement to this Plan of Arrangement may be proposed by any of the Parties after the approval of the Arrangement Resolution but prior to the Effective Time and any such amendment, modification or supplement which is approved by the Court shall be effective and shall become part of the Plan of Arrangement for all purposes.

**SCHEDULE "C"**

**COURT DOCUMENTS**

---

| | |
|:---|:---|
| ![](img005_v2.jpg) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No. S ☐ 248035 <br> Vancouver Registry<br>In the Supreme Court of British Columbia<br>MATTER F SECTION 288 OF THE BUSINESS CORPORATIONS ACT,<br> S.B.C. 2002, CHAPTER 57, AS AMENDED |

---

**AND**

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD.,

1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**ORDER MADE AFTER APPLICATION (INTERIM ORDER)**)) <br> BEFORE) ASSOCIATE JUDGE fb.lLRw i4t) 22/NOV/2024 ))

ON THE APPLICATION of the Petitioner, WBM Capital Corp. (the **"Company")** coming on for hearing on November 22, 2024, without notice, for an Interim Order pursuant to section 291 of the *Business Corporations Act,* S.B.C. 2002, c. 57, as amended (the **"BCBCA")** in connection with a proposed arrangement (the **"Arrangement")** between the Company, 1507651 B.C. Ltd. **("651"),** 1507652 B.C. Ltd. **("652"),** 1507653 B.C. Ltd. **("653"),** 1507655 B.C. Ltd. **("655")** 1510450 B.C. Ltd. **("450"),** 1510441 B.C. Ltd. **("441")** and 1510435 B.C. Ltd. **("435")** to be effected on the terms and subject to the conditions set out in a plan of arrangement (the **"Plan of Arrangement");**

AND ON HEARING Laura C. Morrison, counsel for the Petitioner, and upon reading the Petition to the Court herein and the Affidavit #1 of Carlo Rigillo sworn on November 18, 2024 (the **"Supporting Affidavit");**

AND UPON BEING ADVISED that it is the intention of the parties to rely upon Section 3(a)(10) of the *United States Securities Act of 1933,* as amended (the **"U.S. Securities Act")** as a basis for an exemption from the registration requirements thereof with respect to the issuance and exchange of securities under the proposed Plan of Arrangement based on the Court's approval of the Arrangement and determination that the Arrangement is substantively and procedurally fair and reasonable to those who will receive securities in the exchange;

**THIS COURT ORDERS THAT:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Petitioner may seek the approval by written consent of an arrangement resolution from Triforce
Ventures, SA **("Triforce"),** the sole shareholder of the Company, (the **"Resolution")** authorizing,
approving and adopting, with or without amendment, an arrangement (the **"Arrangement")** and the plan of arrangement
implementing the Arrangement (the **"Plan of Arrangement")** substantially in the form attached as Schedule "D"
to Exhibit 11811 of the Supporting Affidavit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Any requirement to give notice of or conduct a shareholder meeting under the BCBCA or applicable
securities law is hereby waived.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The Petitioner is authorized to make, in the manner contemplated
by and subject to the Arrangement Agreement among the Company, 651, 652, 653, 655, 450, 441, 435 dated November 18, 2024 (the **"Arrangement Agreement''),** such amendments, _revisions or supplements to the Arrangement Agreement, Arrangement or
Plan of Arrangement, as it may determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Subject to the terms of the Arrangement Agreement, unless the directors of the Petitioner by
resolution determine to abandon the Arrangement, upon the approval of the Resolution by Triforce, the Petitioner may apply to this
Court for a Final Order pursuant to section 291(4)(a) of the BCBCA approving the Arrangement, including the terms and conditions
thereof and the issuances, exchanges and/or adjustments of securities contemplated therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The hearing of the Petition for the Final Order (the **"Petition")** is set down
for hearing before the presiding Judge in Chambers at the courthouse at 800 Smithe Street, Vancouver, British Columbia, on December
12, 2024 at 9:45 a.m., or at such date and time as this Court may direct.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. The form of Notice of Petition attached to this Order as Schedule "A" is hereby approved
as the form of notice of these proceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. The shareholders of the Company or any other interested party seeking to appear and make submissions
at the hearing of the application for the Final Order shall file and deliver a Response to Petition (a **"Response")** in the form prescribed by the Supreme Court Civil Rules, together with a copy of all affidavits or other materials upon which they
intend to rely, to the Petitioner's solicitors at:

Edwards, Kenny and Bray LLP

1900 - 1040 West Georgia Street

Vancouver, BC V6E 4H3

Attention: Laura C. Morrison

by or before 4:00 p.m. (Vancouver time) on December 9, 2024, or as the Court may otherwise direct.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. The only persons entitled to notice of any further proceedings herein, including any hearing
to sanction and approve the Arrangement, and to appear and be heard thereon, shall be the solicitors for the Petitioner and persons
who have delivered a Response in accordance with this Interim Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. The Notice of Petition, this Interim Order, the Management Information Circular, and the Arrangement
Agreement, will be sent to the shareholders of the Company by email transmission within one business day of the granting of this
Interim Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. Sending the Notice of Petition and this Interim Order in accordance with paragraph 9 shall constitute
good and sufficient service of this proceeding and no other form of service need be made and no other material need be served in
respect of these proceedings. In particular, service of the Petition herein and the accompanying Affidavit and additional Affidavits
as may be filed is dispensed with.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. If the hearing of the Petition is adjourned, only those persons who have filed and delivered
a Response in accordance with this Order need to be served by email with notice of the adjourned date and any filed materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. The Petitioner shall be entitled, at any time, to apply to vary this Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. The Petitioner shall have liberty to apply for such further orders as may be appropriate.

THE FOLLOWING PARTIES APPROVE THE FORM OF THIS ORDER AND CONSENT TO EACH OF THE ORDERS, IF **ANY,** THAT ARE INDICATED ABOVE AS BEING BY CONSENT:

---

| |
|:---|
| ![](img002_v2.jpg) |
| Signature of Lawyer for WBM Capital Corp.<br> Laura C. Morrison |

---

---

| |
|:---|
| By the <u>Court</u>. |
| ![](img003_v2.jpg) |
| Registrar |

---

![](img004_v2.jpg)

No. S248035

Vancouver Registry

In the Supreme Court of British Columbia

IN THE MATTER OF SECTION 288 OF THE BUSINESS CORPORATIONS ACT,

S.B.C. 2002, CHAPTER 57, AS AMENDED

AND

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD., 1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**NOTICE OF PETITION**

To: The holders (the **"Company Shareholders"**) of outstanding common shares of WBM Capital Corp. (the "Company")

NOTICE IS HEREBY GIVEN that a Petition to the Court has been filed by the Petitioner in the Supreme Court of British Columbia (the **"Court"**) for approval of a plan of arrangement (the **"Arrangement"**) pursuant to the *Business Corporations Act,* S.B.C. 2002, c.57, as amended (the **"BCBCA"**).

AND NOTICE IS FURTHER GIVEN that by an Interim Order Made After Application pronounced by Associate Judge Bilawich on November 22, 2024 the Court has given directions for approval of the Arrangement by way of unanimous written consent to an arrangement resolution (the **"Resolution"**) by Triforce Ventures, SA, as the sole shareholder of the Company.

AND NOTICE IS FURTHER GIVEN that if the Resolution is approved by the Company Shareholders, the Petitioner intends to apply to the Court for a final order approving the Arrangement and for a determination that the terms of the Arrangement are procedurally and substantively fair and reasonable (the **"Final Order"**), which application shall be made before the presiding Judge in Chambers at the Courthouse, 800 Smithe Street, Vancouver, British Columbia on December 12, 2024 at 9:45 am (Vancouver time), or as soon thereafter as counsel may be heard or at such other date and time as the Court may direct (the **"Final Application"**).

NOTICE IS FURTHER GIVEN that the Court has been advised that, if granted, the Final Order approving the Arrangement and the declaration that the Arrangement is substantively and procedurally fair and reasonable to the Company Shareholders will serve as a basis of a claim for the exemption from the registration requirements of the *United States Securities Act of 1933,* as amended, set forth in Section 3(a)(10) thereof with respect to the issuance and exchange of such securities under the proposed Arrangement.

IF YOU WISH TO BE HEARD, any person affected by the Final Order sought may appear (either in person or by counsel) and make submissions at the Final Application, but only if such person has filed with the Court at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, a Response to Petition **("Response")** in the form prescribed by the *Supreme Court Civil Rules,* and delivered a copy of the filed Response, together with all affidavits and other material upon which such person intends to rely at the hearing of the Final Application, including an outline of such person's proposed submission, to the Petitioner at its address for delivery set out below by or before 4:00 p.m. (Vancouver time) on December 9, 2024:

The Petitioner's address for delivery is:

Edwards, Kenny and Bray LLP

1900 – 1040 West Georgia Street

Vancouver, BC V6E 4H3

Attention: Laura C. Morrison

IF YOU WISH TO BE NOTIFIED OF ANY ADJOURNMENT OF THE FINAL APPLICATION, YOU MUST GIVE NOTICE OF YOUR INTENTION by filing and delivering the form of "Response" as aforesaid. You may obtain a form of "Response" at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, V6Z 2E1.

AT THE HEARING OF THE FINAL APPLICATION, the Court may approve the Arrangement as presented, or may approve it subject to such terms and conditions as the Court deems fit.

IF YOU DO NOT FILE A RESPONSE and attend, either in person or by counsel, at the time of such hearing, the Court may approve the Arrangement, as presented, or may approve it subject to such terms and conditions as the Court shall deem fit, all without any further notice to you. If the Arrangement is approved, it will significantly affect the rights of the Company Shareholders.

A copy of the said Petition and other documents in the proceeding will be furnished to any Company Shareholders upon request in writing addressed to the solicitors of the Petitioner at the address for delivery set out above.

Estimated time required: 10 minutes

This matter is not within the jurisdiction of an Associate Judge.

Date: November 22, 2024

---

| |
|:---|
| ![](img006_v2.jpg) |
| Signature of lawyer for WBM Capital Corp. |

---

Laura C. Morrison

SCHEDULE A TO **INTERIM ORDER**

**FORM OF NOTICE OF PETITION**

No. SE 248035

Vancouver Registry

In the Supreme Court of British Columbia

IN THE MATTER OF SECTION 288 OF THE BUSINESS CORPORATIONS ACT,

S.B.C. 2002, CHAPTER 57, AS AMENDED

AND

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD.,

1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD.AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**NOTICE OF PETITION**

---

| | |
|:---|:---|
| To: | The holders (the **"Company Shareholders")** of outstanding common shares of WBM Capital Corp. (the **"Company")** |

---

NOTICE IS HEREBY GIVEN that a Petition to the Court has been filed by the Petitioner in the Supreme Court of British Columbia (the **"Court")** for approval of a plan of arrangement (the **"Arrangement")** pursuant to the *Business Corporations Act,* S.B.C. 2002, c.57, as amended (the **"BCBCA").**

AND NOTICE IS FURTHER GIVEN that by an Interim Order Made After Application pronounced by Associate Judge___________ on November 22, 2024 the Court has given directions for approval of the Arrangement by way of unanimous written consent to an arrangement resolution (the **"Resolution")** by Triforce Ventures, SA, as the sole shareholder of the Company.

AND NOTICE IS FURTHER GIVEN that if the Resolution is approved by the Company Shareholders, the Petitioner intends to apply to the Court for a final order approving the Arrangement and for a determination that the terms of the Arrangement are procedurally and substantively fair and reasonable (the **"Final Order"),** which application shall be made before the presiding Judge in Chambers at the Courthouse, 800 Smithe Street, Vancouver, British Columbia on December 12, 2024 at 9:45 am (Vancouver time), or as soon thereafter as counsel may be heard or at such other date and time as the Court may direct (the "Final **Application").**

NOTICE IS FURTHER GIVEN that the Court has been advised that, if granted, the Final Order approving the Arrangement and the declaration that the Arrangement is substantively and procedurally fair and reasonable to the Company Shareholders will serve as a basis of a claim for the exemption from the registration requirements of the *United States Securities Act of 1933,* as amended, set forth in Section 3(a)(10) thereof with respect to the issuance and exchange of such securities under the proposed Arrangement.

IF YOU WISH TO BE HEARD, any person affected by the Final Order sought may appear (either in person or by counsel) and make submissions at the Final Application, but only if such person has filed with the Court at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, a Response to Petition **("Response")** in the form prescribed by the *Supreme Court Civil Rules,* and delivered a copy of the filed Response, together with all affidavits and other material upon which such person intends to rely at the hearing of the Final Application, including an outline of such person's proposed submission, to the Petitioner at its address for delivery set out below by or before 4:00 p.m. (Vancouver time) on December 9, 2024:

The Petitioner's address for delivery is:

Edwards, Kenny and Bray LLP

1900 - 1040 West Georgia Street

Vancouver, BC V6E 4H3

Attention: Laura C. Morrison

IF YOU WISH TO BE NOTIFIED OF ANY ADJOURNMENT OF THE FINAL APPLICATION, YOU MUST GIVE NOTICE OF YOUR INTENTION by filing and delivering the form of "Response" as aforesaid. You may obtain a form of "Response" at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, V6Z 2E1.

AT THE HEARING OF THE FINAL APPLICATION, the Court may approve the Arrangement as presented, or may approve it subject to such terms and conditions as the Court deems fit.

IF YOU DO NOT FILE A RESPONSE and attend, either in person or by counsel, at the time of such hearing, the Court may approve the Arrangement, as presented, or may approve it subject to such terms and conditions as the Court shall deem fit, all without any further notice to you. If the Arrangement is approved, it will significantly affect the rights of the Company Shareholders.

A copy of the said Petition and other documents in the proceeding will be furnished to any Company Shareholders upon request in writing addressed to the solicitors of the Petitioner at the address for delivery set out above.

Estimated time required: 10 minutes

This matter is not within the jurisdiction of an Associate Judge. Date:

November 22, 2024

Signature of lawyer for WBM Capital Corp.

Laura C. Morrison

No. SE 248035

Vancouver Registry

In the Supreme Court of British Columbia

IN THE MATTER OF SECTION 288 OF THE BUSINESS CORPORATIONS ACT,

S.B.C. 2002, CHAPTER 57, AS AMENDED

AND

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD.,

1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**ORDER MADE AFTER APPLICATION**

[42271.002]

Laura C. Morrison

Edwards, Kenny & Bray LLP

Barristers and Solicitors

1900 - 1040 West Georgia Street

Vancouver, BC V6E 4H3

Tel: 604.689.1811

Fax: 604.689.5177

[LCM]

Agents: Dye & Durham

No. S248035

Vancouver Registry

In the Supreme Court of British Columbia

IN THE MATTER OF SECTION 288 OF THE BUSINESS CORPORATIONS ACT,

S.B.C. 2002, CHAPTER 57, AS AMENDED

AND

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD.,

1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

AND

WBM CAPITAL CORP.

PETITIONER

**NOTICE OF PETITION**

To: The holders (the **"Company Shareholders"**) of outstanding common shares of WBM Capital Corp. (the "Company")

NOTICE IS HEREBY GIVEN that a Petition to the Court has been filed by the Petitioner in the Supreme Court of British Columbia (the **"Court"**) for approval of a plan of arrangement (the **"Arrangement"**) pursuant to the *Business Corporations Act,* S.B.C. 2002, c.57, as amended (the **"BCBCA"**).

AND NOTICE IS FURTHER GIVEN that by an Interim Order Made After Application pronounced by Associate Judge Bilawich on November 22, 2024 the Court has given directions for approval of the Arrangement by way of unanimous written consent to an arrangement resolution (the **"Resolution"**) by Triforce Ventures, SA, as the sole shareholder of the Company.

AND NOTICE IS FURTHER GIVEN that if the Resolution is approved by the Company Shareholders, the Petitioner intends to apply to the Court for a final order approving the Arrangement and for a determination that the terms of the Arrangement are procedurally and substantively fair and reasonable (the **"Final Order"**), which application shall be made before the presiding Judge in Chambers at the Courthouse, 800 Smithe Street, Vancouver, British Columbia on December 12, 2024 at 9:45 am (Vancouver time), or as soon thereafter as counsel may be heard or at such other date and time as the Court may direct (the **"Final Application"**).

NOTICE IS FURTHER GIVEN that the Court has been advised that, if granted, the Final Order approving the Arrangement and the declaration that the Arrangement is substantively and procedurally fair and reasonable to the Company Shareholders will serve as a basis of a claim for the exemption from the registration requirements of the *United States Securities Act of 1933,* as amended, set forth in Section 3(a)(10) thereof with respect to the issuance and exchange of such securities under the proposed Arrangement.

IF YOU WISH TO BE HEARD, any person affected by the Final Order sought may appear (either in person or by counsel) and make submissions at the Final Application, but only if such person has filed with the Court at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, a Response to Petition **("Response")** in the form prescribed by the *Supreme Court Civil Rules,* and delivered a copy of the filed Response, together with all affidavits and other material upon which such person intends to rely at the hearing of the Final Application, including an outline of such person's proposed submission, to the Petitioner at its address for delivery set out below by or before 4:00 p.m. (Vancouver time) on December 9, 2024:

The Petitioner's address for delivery is:

Edwards, Kenny and Bray LLP

1900 – 1040 West Georgia Street

Vancouver, BC V6E 4H3

Attention: Laura C. Morrison

IF YOU WISH TO BE NOTIFIED OF ANY ADJOURNMENT OF THE FINAL APPLICATION, YOU MUST GIVE NOTICE OF YOUR INTENTION by filing and delivering the form of "Response" as aforesaid. You may obtain a form of "Response" at the Court Registry, 800 Smithe Street, Vancouver, British Columbia, V6Z 2E1.

AT THE HEARING OF THE FINAL APPLICATION, the Court may approve the Arrangement as presented, or may approve it subject to such terms and conditions as the Court deems fit.

IF YOU DO NOT FILE A RESPONSE and attend, either in person or by counsel, at the time of such hearing, the Court may approve the Arrangement, as presented, or may approve it subject to such terms and conditions as the Court shall deem fit, all without any further notice to you. If the Arrangement is approved, it will significantly affect the rights of the Company Shareholders.

A copy of the said Petition and other documents in the proceeding will be furnished to any Company Shareholders upon request in writing addressed to the solicitors of the Petitioner at the address for delivery set out above.

Estimated time required: 10 minutes

This matter is not within the jurisdiction of an Associate Judge.

Date: November 22, 2024

---

| |
|:---|
| ![](img006_v2.jpg) |
| Signature of lawyer for WBM Capital Corp. |

---

Laura C. Morrison

**SCHEDULE "D"**

**BCBCA Provisions**

S. 237 – 247

**S 237 Definitions and application**

**237** (1)In this Division:

**"dissenter"** means a shareholder who, being entitled to do so, sends written notice of dissent when and as required by section 242;

**"notice shares"** means, in relation to a notice of dissent, the shares in respect of which dissent is being exercised under the notice of dissent;

**"payout value"** means,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in the case of a dissent in respect of a resolution, the fair value that the notice shares had immediately before the passing of the resolution,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the case of a dissent in respect of an arrangement approved by a court order made under section 291 (2) (c) that permits dissent, the fair value that the notice shares had immediately before the passing of the resolution adopting the arrangement,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in the case of a dissent in respect of a matter approved or authorized by any other court order that permits dissent, the fair value that the notice shares had at the time specified by the court order, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) in the case of a dissent in respect of a community contribution company, the value of the notice shares set out in the regulations,

excluding any appreciation or depreciation in anticipation of the corporate action approved or authorized by the resolution or court order unless exclusion would be inequitable.

(2)This Division applies to any right of dissent exercisable by a shareholder except to the extent that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the court orders otherwise, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the case of a right of dissent authorized by a resolution referred to in section 238 (1) (g), the court orders otherwise or the resolution provides otherwise.

**S 238 Right to dissent**

**238** (1)A shareholder of a company, whether or not the shareholder's shares carry the right to vote, is entitled to dissent as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) under section 260, in respect of a resolution to alter the articles

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to alter restrictions on the powers of the company or on the business the company is permitted to carry on,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) without limiting subparagraph (i), in the case of a community contribution company, to alter any of the company's community purposes within the meaning of section 51.91, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) without limiting subparagraph (i), in the case of a benefit company, to alter the company's benefit provision;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) under section 272, in respect of a resolution to adopt an amalgamation agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) under section 287, in respect of a resolution to approve an amalgamation under Division 4 of Part 9;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) in respect of a resolution to approve an arrangement, the terms of which arrangement permit dissent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) under section 301 (5), in respect of a resolution to authorize or ratify the sale, lease or other disposition of all or substantially all of the company's undertaking;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) under section 309, in respect of a resolution to authorize the continuation of the company into a jurisdiction other than British Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) in respect of any other resolution, if dissent is authorized by the resolution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) in respect of any court order that permits dissent.

(1.1)A shareholder of a company, whether or not the shareholder's shares carry the right to vote, is entitled to dissent under section 51.995 (5) in respect of a resolution to alter its notice of articles to include or to delete the benefit statement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) A shareholder wishing to dissent must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) prepare a separate notice of dissent under section 242 for

(i)the shareholder, if the shareholder is dissenting on the shareholder's own behalf, and

(ii)each other person who beneficially owns shares registered in the shareholder's name and on whose behalf the shareholder is dissenting,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) identify in each notice of dissent, in accordance with section 242 (4), the person on whose behalf dissent is being exercised in that notice of dissent, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) dissent with respect to all of the shares, registered in the shareholder's name, of which the person identified under paragraph (b) of this subsection is the beneficial owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Without limiting subsection (2), a person who wishes to have dissent exercised with respect to shares of which the person is the beneficial owner must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) dissent with respect to all of the shares, if any, of which the person is both the registered owner and the beneficial owner, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) cause each shareholder who is a registered owner of any other shares of which the person is the beneficial owner to dissent with respect to all of those shares.

**S 239 Waiver of right to dissent**

**239** (1)A shareholder may not waive generally a right to dissent but may, in writing, waive the right to dissent with respect to a particular corporate action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) A shareholder wishing to waive a right of dissent with respect to a particular corporate action must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) provide to the company a separate waiver for

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the shareholder, if the shareholder is providing a waiver on the shareholder's own behalf, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) each other person who beneficially owns shares registered in the shareholder's name and on whose behalf the shareholder is providing a waiver, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) identify in each waiver the person on whose behalf the waiver is made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) If a shareholder waives a right of dissent with respect to a particular corporate action and indicates in the waiver that the right to dissent is being waived on the shareholder's own behalf, the shareholder's right to dissent with respect to the particular corporate action terminates in respect of the shares of which the shareholder is both the registered owner and the beneficial owner, and this Division ceases to apply to

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the shareholder in respect of the shares of which the shareholder is both the registered owner and the beneficial owner, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any other shareholders, who are registered owners of shares beneficially owned by the first mentioned shareholder, in respect of the shares that are beneficially owned by the first mentioned shareholder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) If a shareholder waives a right of dissent with respect to a particular corporate action and indicates in the waiver that the right to dissent is being waived on behalf of a specified person who beneficially owns shares registered in the name of the shareholder, the right of shareholders who are registered owners of shares beneficially owned by that specified person to dissent on behalf of that specified person with respect to the particular corporate action terminates and this Division ceases to apply to those shareholders in respect of the shares that are beneficially owned by that specified person.

**S 240 Notice of resolution**

**240** (1)If a resolution in respect of which a shareholder is entitled to dissent is to be considered at a meeting of shareholders, the company must, at least the prescribed number of days before the date of the proposed meeting, send to each of its shareholders, whether or not their shares carry the right to vote,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a copy of the proposed resolution, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a notice of the meeting that specifies the date of the meeting, and contains a statement advising of the right to send a notice of dissent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) If a resolution in respect of which a shareholder is entitled to dissent is to be passed as a consent resolution of shareholders or as a resolution of directors and the earliest date on which that resolution can be passed is specified in the resolution or in the statement referred to in paragraph (b), the company may, at least 21 days before that specified date, send to each of its shareholders, whether or not their shares carry the right to vote,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a copy of the proposed resolution, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a statement advising of the right to send a notice of dissent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) If a resolution in respect of which a shareholder is entitled to dissent was or is to be passed as a resolution of shareholders without the company complying with subsection

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) or (2), or was or is to be passed as a directors' resolution without the company complying with subsection (2), the company must, before or within 14 days after the passing of the resolution, send to each of its shareholders who has not, on behalf of every person who beneficially owns shares registered in the name of the shareholder, consented to the resolution or voted in favour of the resolution, whether or not their shares carry the right to vote,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a copy of the resolution,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a statement advising of the right to send a notice of dissent, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) if the resolution has passed, notification of that fact and the date on which it was passed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Nothing in subsection (1), (2) or (3) gives a shareholder a right to vote in a meeting at which, or on a resolution on which, the shareholder would not otherwise be entitled to vote.

**S 241 Notice of court orders**

**241** If a court order provides for a right of dissent, the company must, not later than 14 days after the date on which the company receives a copy of the entered order, send to each shareholder who is entitled to exercise that right of dissent

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a copy of the entered order, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a statement advising of the right to send a notice of dissent.

**S 242 Notice of dissent**

**242** (1)A shareholder intending to dissent in respect of a resolution referred to in section 238 (1) (a), (b), (c), (d), (e) or (f) or (1.1) must,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if the company has complied with section 240 (1) or (2), send written notice of dissent to the company at least 2 days before the date on which the resolution is to be passed or can be passed, as the case may be,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if the company has complied with section 240 (3), send written notice of dissent to the company not more than 14 days after receiving the records referred to in that section, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) if the company has not complied with section 240 (1), (2) or (3), send written notice of dissent to the company not more than 14 days after the later of

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the date on which the shareholder learns that the resolution was passed, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the date on which the shareholder learns that the shareholder is entitled to dissent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) A shareholder intending to dissent in respect of a resolution referred to in section 238 (1) (g) must send written notice of dissent to the company

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) on or before the date specified by the resolution or in the statement referred to in section 240 (2) (b) or (3) (b) as the last date by which notice of dissent must be sent, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if the resolution or statement does not specify a date, in accordance with subsection (1) of this section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) A shareholder intending to dissent under section 238 (1) (h) in respect of a court order that permits dissent must send written notice of dissent to the company

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) within the number of days, specified by the court order, after the shareholder receives the records referred to in section 241, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if the court order does not specify the number of days referred to in paragraph (a) of this subsection, within 14 days after the shareholder receives the records referred to in section 241.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) A notice of dissent sent under this section must set out the number, and the class and series, if applicable, of the notice shares, and must set out whichever of the following is applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if the notice shares constitute all of the shares of which the shareholder is both the registered owner and beneficial owner and the shareholder owns no other shares of the company as beneficial owner, a statement to that effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if the notice shares constitute all of the shares of which the shareholder is both the registered owner and beneficial owner but the shareholder owns other shares of the company as beneficial owner, a statement to that effect and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the names of the registered owners of those other shares,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the number, and the class and series, if applicable, of those other shares that are held by each of those registered owners, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a statement that notices of dissent are being, or have been, sent in respect of all of those other shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) if dissent is being exercised by the shareholder on behalf of a beneficial owner who is not the dissenting shareholder, a statement to that effect and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the name and address of the beneficial owner, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a statement that the shareholder is dissenting in relation to all of the shares beneficially owned by the beneficial owner that are registered in the shareholder's name.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) The right of a shareholder to dissent on behalf of a beneficial owner of shares, including the shareholder, terminates and this Division ceases to apply to the shareholder in respect of that beneficial owner if subsections (1) to (4) of this section, as those subsections pertain to that beneficial owner, are not complied with.

**S 243 Notice of intention to proceed**

**243** (1)A company that receives a notice of dissent under section 242 from a dissenter must,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if the company intends to act on the authority of the resolution or court order in respect of which the notice of dissent was sent, send a notice to the dissenter promptly after the later of

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the date on which the company forms the intention to proceed, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the date on which the notice of dissent was received, or

(b)if the company has acted on the authority of that resolution or court order, promptly send a notice to the dissenter.

(2)A notice sent under subsection (1) (a) or (b) of this section must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) be dated not earlier than the date on which the notice is sent,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) state that the company intends to act, or has acted, as the case may be, on the authority of the resolution or court order, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) advise the dissenter of the manner in which dissent is to be completed under section 244.

**S 244 Completion of dissent**

**244** (1)A dissenter who receives a notice under section 243 must, if the dissenter wishes to proceed with the dissent, send to the company or its transfer agent for the notice shares, within one month after the date of the notice,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a written statement that the dissenter requires the company to purchase all of the notice shares,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the certificates, if any, representing the notice shares, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) if section 242 (4) (c) applies, a written statement that complies with subsection (2) of this section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The written statement referred to in subsection (1) (c) must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) be signed by the beneficial owner on whose behalf dissent is being exercised, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) set out whether or not the beneficial owner is the beneficial owner of other shares of the company and, if so, set out

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the names of the registered owners of those other shares,

(ii)the number, and the class and series, if applicable, of those other shares that are held by each of those registered owners, and

(iii)that dissent is being exercised in respect of all of those other shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) After the dissenter has complied with subsection (1),

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the dissenter is deemed to have sold to the company the notice shares, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the company is deemed to have purchased those shares, and must comply with section 245, whether or not it is authorized to do so by, and despite any restriction in, its memorandum or articles.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Unless the court orders otherwise, if the dissenter fails to comply with subsection (1) of this section in relation to notice shares, the right of the dissenter to dissent with respect to those notice shares terminates and this Division, other than section 247, ceases to apply to the dissenter with respect to those notice shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) Unless the court orders otherwise, if a person on whose behalf dissent is being exercised in relation to a particular corporate action fails to ensure that every shareholder who is a registered owner of any of the shares beneficially owned by that person complies with subsection (1) of this section, the right of shareholders who are registered owners of shares beneficially owned by that person to dissent on behalf of that person with respect to that corporate action terminates and this Division, other than section 247, ceases to apply to those shareholders in respect of the shares that are beneficially owned by that person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) A dissenter who has complied with subsection (1) of this section may not vote, or exercise or assert any rights of a shareholder, in respect of the notice shares, other than under this Division.

**S 245 Payment for notice shares**

**245** (1)A company and a dissenter who has complied with section 244 (1) may agree on the amount of the payout value of the notice shares and, in that event, the company must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) promptly pay that amount to the dissenter, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if subsection (5) of this section applies, promptly send a notice to the dissenter that the company is unable lawfully to pay dissenters for their shares.

(2)A dissenter who has not entered into an agreement with the company under subsection (1) or the company may apply to the court and the court may

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) determine the payout value of the notice shares of those dissenters who have not entered into an agreement with the company under subsection (1), or order that the payout value of those notice shares be established by arbitration or by reference to the registrar, or a referee, of the court,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) join in the application each dissenter, other than a dissenter who has entered into an agreement with the company under subsection (1), who has complied with section 244 (1), and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) make consequential orders and give directions it considers appropriate.

(3)Promptly after a determination of the payout value for notice shares has been made under subsection (2) (a) of this section, the company must

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) pay to each dissenter who has complied with section 244 (1) in relation to those notice shares, other than a dissenter who has entered into an agreement with the company under subsection (1) of this section, the payout value applicable to that dissenter's notice shares, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if subsection (5) applies, promptly send a notice to the dissenter that the company is unable lawfully to pay dissenters for their shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) If a dissenter receives a notice under subsection (1) (b) or (3) (b),

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the dissenter may, within 30 days after receipt, withdraw the dissenter's notice of dissent, in which case the company is deemed to consent to the withdrawal and this Division, other than section 247, ceases to apply to the dissenter with respect to the notice shares, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if the dissenter does not withdraw the notice of dissent in accordance with paragraph (a) of this subsection, the dissenter retains a status as a claimant against the company, to be paid as soon as the company is lawfully able to do so or, in a liquidation, to be ranked subordinate to the rights of creditors of the company but in priority to its shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) A company must not make a payment to a dissenter under this section if there are reasonable grounds for believing that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the company is insolvent, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the payment would render the company insolvent.

**S 246 Loss of right to dissent**

**246** The right of a dissenter to dissent with respect to notice shares terminates and this Division, other than section 247, ceases to apply to the dissenter with respect to those notice shares, if, before payment is made to the dissenter of the full amount of money to which the dissenter is entitled under section 245 in relation to those notice shares, any of the following events occur:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the corporate action approved or authorized, or to be approved or authorized, by the resolution or court order in respect of which the notice of dissent was sent is abandoned;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the resolution in respect of which the notice of dissent was sent does not pass;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the resolution in respect of which the notice of dissent was sent is revoked before the corporate action approved or authorized by that resolution is taken;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the notice of dissent was sent in respect of a resolution adopting an amalgamation agreement and the amalgamation is abandoned or, by the terms of the agreement, will not proceed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the arrangement in respect of which the notice of dissent was sent is abandoned or by its terms will not proceed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) a court permanently enjoins or sets aside the corporate action approved or authorized by the resolution or court order in respect of which the notice of dissent was sent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) with respect to the notice shares, the dissenter consents to, or votes in favour of, the resolution in respect of which the notice of dissent was sent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the notice of dissent is withdrawn with the written consent of the company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the court determines that the dissenter is not entitled to dissent under this Division or that the dissenter is not entitled to dissent with respect to the notice shares under this Division.

**S 247Shareholders entitled to return of shares and rights**

**247** If, under section 244 (4) or (5), 245 (4) (a) or 246, this Division, other than this section, ceases to apply to a dissenter with respect to notice shares,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the company must return to the dissenter each of the applicable share certificates, if any, sent under section 244 (1) (b) or, if those share certificates are unavailable, replacements for those share certificates,

(b)the dissenter regains any ability lost under section 244 (6) to vote, or exercise or assert any rights of a shareholder, in respect of the notice shares, and

(c)the dissenter must return any money that the company paid to the dissenter in respect of the notice shares under, or in purported compliance with, this Division.

**SCHEDULE "E"**

**INFORMATION CONCERNING WBM**

***The following information is provided by WBM Capital Corp. ("WBM" or the "Company") and is reflective of the current business, financial and share capital position of WBM and includes certain information reflecting the status of WBM following the completion of the Arrangement. The following information should be read in conjunction with the disclosure provided in the management information circular to which this schedule is attached (the "Circular"). Unless otherwise indicated, all currency amounts are stated in Canadian dollars.***

**SUMMARY DESCRIPTION OF BUSINESS**

The Company is a BC corporation under the BC *Business Corporations Act*. The Common Shares of the Company were previously listed for trading on the Canadian Securities Exchange (CSE) under the symbol TIDL and the Company operated under the corporate name Tiidal Gaming Group Corp. Previously, the Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem. The Company completed the sale of the assets of Lazarus Esports Inc. to TGS Esports Inc. on November 7, 2022 and the sale of its Sportsflare division to Entain Holdings (UK) Limited on June 9, 2023. The Lazarus and Sportsflare sales represented a divestiture of the Company's principal business assets. On December 15, 2023, the Company completed a substantial issuer bid to repurchase and cancel 83,256,650 Common Shares (representing approximately 95% of the Company's then issued and outstanding Common Shares) for aggregate proceeds to tendering shareholders of $10,198,940. Following completion of the substantial issuer bid, the Company voluntarily delisted trading its Common Shares on the CSE. On July 10, 2024, the Company changed its corporate name from Tiidal Gaming Group Corp. to WBM Capital Corp. Recently, on October 4, 2024, the Company effected a share consolidation on the basis of one post consolidation share for every 6,000,000 pre-consolidation shares. No fractional shares were issued and as such, the shareholders who would otherwise hold a fractional interest in a common share following the consolidation (i.e. those who hold less than 6,000,000 pre-consolidation shares) were entitled to receive C$0.005 in cash for each pre-consolidation common share held. Following the consolidation, the Company only has one common share issued and outstanding.

On October 21, 2024, the Company incorporated four out of the seven Spinout Entities and then on November 6, 2024, the Company incorporated three additional Spinout Entities. In connection with the incorporations, the Company subscribed for one common share at a subscription price of $0.01 in each Spinout Entity. In addition, the Company loaned $7,000 to each Spinout Entity to provide it with working capital.

Presently, the Company has no significant assets or operations, other than its investments in the Spinout Entities, and intends to pursue potential acquisitions or other investment opportunities. It has not presently identified any potential acquisitions or investment opportunities.

The Company's head office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

**RECENT DEVELOPMENTS**

None, other than the Consolidation and the proposed Arrangement.

**BUSINESS OBJECTIVES**

The Company is currently managing its investment portfolio and is investigating and evaluating business opportunities to either acquire or in which to participate.

**DOCUMENTS INCORPORATED BY REFERENCE**

Information has been incorporated by reference in the Circular from documents filed with the various securities commissions or similar regulatory authorities in British Columbia, Ontario and Alberta. Copies of the documents incorporated herein by reference may be obtained on request without charge from WBM at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3 (telephone: 604-689-1811), and are also available electronically under WBM's profile on SEDAR+ at <u>www.sedarplus.ca</u>. WBM's filings through SEDAR+ are not incorporated by reference in the Circular, except as specifically set out herein.

The following documents filed by WBM with the securities commission or similar authorities in British Columbia, Ontario and Alberta are specifically incorporated by reference in, and form an integral part of, the Circular:

● WBM's audited financial statements for the financial year ended October 31, 2023, together with the auditor's report thereon;

● WBM's management's discussion and analysis of financial condition and results of operations for the year ended October 31, 2023;

● WBM's interim financial statements for the nine-month period ended July 31, 2024;

● WBM's interim management's discussion and analysis of financial condition and results of operations for the nine-month period ended July 31, 2024; and

● WBM's management information circular dated March 7, 2024 (the "**AGM Circular**") made in connection with the Company's AGM containing the required annual disclosures required under NI 52-110 and NI 58-101.

● WBM's material change report dated February 23, 2024 and October 8, 2024.

**Any statement contained in a document incorporated or deemed to be incorporated by reference herein shall be deemed to be modified or superseded for the purposes of the Circular to the extent that statement contained in the Circular or in any subsequently filed document that also is or is deemed to be incorporated by reference herein modifies or superseded such statement. Any statement so modified or superseded shall not constitute a part of the Circular, except as so modified or superseded. The modifying or superseding statement need not state that it has been modified or superseded a prior statement or include any other information set forth in the document that is modifies or supersedes. Making such a modifying or superseding statement shall not be deemed to be an admission or any purposes that the modified or superseded statement, when made, constituted a misrepresentation, untrue statement or a material fact, nor an omission to state a material fact that is required to be stated or necessary to make a statement no misleading in light of the circumstances in which it is made.**

**AUTHORIZED AND ISSUED SHARE CAPITAL**

As of the Record Date, November 18, 2024, the Company only has one issued and outstanding common share.

**SELECTED FINANCIAL INFORMATION**

The following information is taken from and should be read in conjunction with WBM's interim financial statements for the nine-month period ended July 31, 2024 and audited financial statements for the financial year ended October 31, 2024, and related notes thereto available under WBM's profile on SEDAR+. WBM's financial statements were prepared on the basis of IFRS and are expressed in Canadian dollars.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp; **Item**  | &nbsp;&nbsp; **For the Nine-Month period ended July 31, 2024 (Unaudited)** | &nbsp;&nbsp; **For the financial year ended October 31, 2024 (Audited)** |
| &nbsp;&nbsp;Revenue | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Total Operating Expenses | &nbsp;&nbsp;$(512401) | &nbsp;&nbsp;$(1541997) |
| &nbsp;&nbsp;Net Income (Loss) | &nbsp;&nbsp;$(436775) | &nbsp;&nbsp;$8936416 |
| &nbsp;&nbsp;Earnings (Loss) Per Share | &nbsp;&nbsp;$(0.02) | &nbsp;&nbsp;$0.10 |

---

**MANAGEMENT'S DISCUSSION & ANALYSIS**

The MD&A of the financial condition and results of operations of WBM for the nine-month period ended July 31, 2024 is incorporated by reference in this Circular and can be found under WBM's profile on SEDAR+, and should be read in conjunction with WBM's interim financial statements for the nine-month period ended July 31, 2024.

The MD&A of the financial condition and results of operations of WBM for the financial year ended October 31, 2023 is incorporated by reference in this Circular and can be found under WBM's profile on SEDAR+, and should be read in conjunction with WBM's audited financial statements for the financial year ended October 31, 2024.

**CAPITALIZATION**

Other than described below under "Prior Sales", there have not been any material changes in the share and loan capital of WBM since the date of WBM's most recently filed July 31, 2024 financial statements.

**PRIOR SALES**

On October 2, 3 and 16, 2019, the Company issued 380,000, 400,000, and 3,220,000 common shares respectively at $0.025 per common share for gross proceeds of $100,000.

On October 16, 2019, the Company issued 26,933,562 common shares at $0.02 per common share in exchange for debt of $528,671.

On June 2, 2020, the Company issued 443,742 common shares for cash consideration of $125,000.

On November 9, 2021, upon completion of a business combination, the Company completed the following transactions:

The Company converted subscription receipts that were previously issued for gross proceeds of $3,422,166 into units consisting of an aggregate of 6,844,331 common shares and 3,422,165 share purchase warrants. Subscription receipts with a fair value of $309,604 that were previously issued for financing charges in lieu of cash were converted into units which consisted of an aggregate of 346,890 common shares and 173,444 share purchase warrants. Each unit consisted of one common share and one-half of a share purchase warrant. Each full warrant allowed the holder to purchase an additional common share at an exercise price of $0.75 per common share and expired on November 9, 2023.

The Company issued 687,607 common shares and 343,800 share purchase warrants with an exercise price of $0.75 which expired on November 9, 2023, upon the conversion of outstanding convertible notes with a fair value of $270,961 into units consisting of one common share and one-half of a share purchase warrant. Each full warrant allowed the holder to purchase an additional common share at an exercise price of $0.75 and expired on November 9, 2023.

The Company issued an aggregate of 4,203,540 common shares pursuant to the RSUs issued and vested upon completion of the business combination. These common shares had an aggregate fair value of $4,203,540.

The Company issued 200,000 common shares to settle $100,000 in accounts payable. The estimated fair value of the common shares issued was $97,668.

On January 10, 2022, the Company issued 127,380 common shares pursuant to the exercise of certain options.

On January 12, 2022, the Company issued 63,690 common shares pursuant to the exercise of certain options.

On January 31, 2022, the Company issued 112,136 common shares with a fair value of $30,277 to settle $56,068 in debt. The Company recognized a gain of $25,791 on the debt settlement.

On June 1, 2022, the Company issued an aggregate of 500,000 common shares of the Company from the exercise of warrants of the Company with an exercise price of $0.16 per warrant.

On June 7, 2022, the Company issued an aggregate of 125,000 common shares from the exercise of warrants of the Company with an exercise price of $0.16 per warrant for gross proceeds of $20,000.

On July 7, 2022, the Company issued an aggregate of 612,373 common shares from the exercise of warrants of the Company with an exercise price of $0.16 per warrant. $64,080 was received in cash and $33,900 was paid through the settlement of accounts payable.

On September 20, 2022, the Company closed the second tranche of a non-brokered private placement offering of units consisting of 5,619,051 units at a price of $0.10 per unit for aggregate gross proceeds of $561,905.10. Each unit was comprised of one common share and one common share purchase warrant exercisable at $0.15 per common share for a period of 36 months from the date of issuance.

On October 12, 2022, the Company closed the second tranche of a non-brokered private placement offering of units consisting of 1,331,550 units at a price of $0.10 per unit for aggregate gross proceeds of $695,060.10. Each unit was comprised of one common share and one common share purchase warrant exercisable at $0.15 per common share for a period of 36 months from the date of issuance.

On November 29, 2022, the Company closed a non-brokered private placement offering of units consisting of 2,961,907 units at a price of $0.10 per unit for aggregate gross proceeds of $296,190.70. Each unit was comprised of one common share and one common share purchase warrant exercisable at $0.15 per common share for a period of 36 months from the date of issuance.

On June 9, 2023, the Company issued 2,000,000 to the Company's Chief Executive Officer pursuant to the vesting of restricted share units held by the Company's Chief Executive Officer. The Company also issued 1,910,700 common shares to Tiidal Gaming NZ Limited in satisfaction of certain earn out entitlements achieved pursuant to an asset purchase agreement dated December 14, 2020, as amended September 24, 2021.

On February 16, 2024, the Company issued 800,000 common shares at a deemed price of $0.05 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company.

On July 10, 2024, the Company closed a non-brokered private placement financing of 6,000,000 common shares at a price of $0.005 per share for gross proceeds of $30,000.

On October 4, 2024, the Company effected a share consolidation on the basis of one post consolidation share for every 6,000,000 pre-consolidation shares. No fractional shares were issued and as such, the shareholders who would otherwise hold a fractional interest in a common share following the consolidation (i.e. those who hold less than 6,000,000 pre-consolidation shares) were entitled to receive C$0.005 in cash for each pre-consolidation common share held. Following the consolidation, the Company only has one common share issued and outstanding.

**TRADING PRICE AND VOLUME**

There is no published market for the Common Shares.

**EXECUTIVE COMPENSATION**

See "*Executive Compensation*" section in the AGM Circular.

**INTEREST OF EXPERTS**

MNP LLP, Chartered Professional Accountants, is the auditor of WBM and is independent of WBM within the meaning of the Code of Professional Conduct of the Chartered Professional Accountants of British Columbia.

**SCHEDULE "F"**

**WBM AUDITED FINANCIAL STATEMENTS AND MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE**

**FINANCIAL YEAR ENDED OCTOBER 31, 2023**

**TIIDAL GAMING GROUP CORP.**

**(FORMERLY GTA FINANCECORP INC.)**

**CONSOLIDATED FINANCIAL STATEMENTS** 

**FOR THE YEARS ENDED OCTOBER 31, 2023, AND 2022**

**(EXPRESSED IN CANADIAN DOLLARS)**

---

| | |
|:---|:---|
| Independent Auditor's Report | ![](img007_v2.jpg) |

---

To the Shareholders of Tiidal Gaming Group Corp.:

Opinion

We have audited the consolidated financial statements of Tiidal Gaming Group Corp. and its subsidiaries (the "Company"), which comprise the consolidated statements of financial position as at October 31, 2023 and October 31, 2022, and the consolidated statements of net income (loss) and other comprehensive income (loss), shareholders' equity (deficiency) and cash flows for the years then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies.

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at October 31, 2023 and October 31, 2022, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with International Financial Reporting Standards.

Basis for Opinion

We conducted our audits in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audits of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material Uncertainty Related to Going Concern

We draw attention to Note 2 in the consolidated financial statements, which indicates that the Company incurred a loss from continuing operations during the year ended October 31, 2023 and, as of that date, had an accumulated deficit. As stated in Note 2, these events or conditions, along with other matters as set forth in Note 2, indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Except for the matter described in the Material Uncertainty Related to Going Concern section, we have determined that there are no other key audit matters to communicate in our report.

MNP LLP

50 Burnhamthorpe Road West, Suite 900, Mississauga ON, L5B 3C2 T: 416.626.6000 F: 416.626.8650

Other Information

Management is responsible for the other information. The other information comprises Management's Discussion and Analysis.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audits of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audits or otherwise appears to be materially misstated. We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed on this other information, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with International Financial Reporting Standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

● Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2*<br> *T: 416.626.6000 F: 416.626.8650 MNP.ca*  | ![](img008_v2.jpg) |

---

● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

● Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

● Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audits and significant audit findings, including any significant deficiencies in internal control that we identify during our audits.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partner on the audit resulting in this independent auditor's report is Blair Michael Mabee.

---

| | |
|:---|:---|
|  | ![](img009_v2.jpg) |
| Mississauga, Ontario | Chartered Professional Accountants |

---

February 8, 2024 Licensed Public Accountants

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2*<br> *T: 416.626.6000 F: 416.626.8650 MNP.ca*  | ![](img008_v2.jpg) |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)** 

Consolidated Statements of Financial Position

As at October 31, 2023 and October 31, 2022

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **October 31,**<br> **2023** | **October 31,**<br> **2022** |
| &nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $79265 | $16223 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | 6, 15 | 436936 | 302229 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  | 11667 | 37238 |
| &nbsp;&nbsp;&nbsp;&nbsp;Short-term investments | 5 | 10600000 |  |
|  |  | 11127868 | 355690 |
| &nbsp;&nbsp;Equipment | 8 |  | 15338 |
| &nbsp;&nbsp;Right-of-use-assets | 9 |  | 152113 |
| &nbsp;&nbsp;Intangible assets | 10 |  | 1573222 |
| &nbsp;&nbsp;**Total assets** |  | $11127868 | $2096363 |
| &nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | 11 | $219760 | $984740 |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease liabilities |  |  | 47546 |
|  |  | 219760 | 1032286 |
| &nbsp;&nbsp;Lease liability |  |  | 95664 |
| &nbsp;&nbsp;Government loan payable | 13 | 39250 | 35044 |
| &nbsp;&nbsp;**Total liabilities** |  | 259010 | 1162994 |
| &nbsp;&nbsp;**Shareholders' equity** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital | 14 | 13572500 | 12790672 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves | 14 | 4166666 | 3454882 |
| &nbsp;&nbsp;&nbsp;&nbsp;Shares to be issued | 14 |  | 667880 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  | (5419) | (178760) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | (6864889) | (15801305) |
| &nbsp;&nbsp;**Total shareholders' equity** |  | 10868858 | 933369 |
| &nbsp;&nbsp;**Total liabilities and shareholders' equity** |  | $11127868 | $2096363 |

---

Nature of Operations and Going Concern (Note 1, 2)

Discontinued Operations (Note 22)

Subsequent Events (Note 24)

**Approved and Authorized by the Board on February 8, 2024:**

*"Carlo Rigillo"________________________________* Director *<u>"Fraser Hartley"</u>*________________________ Director

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)** 

Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss)

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended October 31,** | **Years ended October 31,** | **Years ended October 31,** |
| | **Note** | **2023** | **2022** |
| &nbsp;&nbsp;**Operating expenses** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 15, 16 | $742978 | $1166580 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  | 25797 | 133826 |
| &nbsp;&nbsp;&nbsp;&nbsp;Consulting |  | 18115 | 182708 |
| &nbsp;&nbsp;&nbsp;&nbsp;Management fees | 15 | 175933 | 177200 |
| &nbsp;&nbsp;&nbsp;&nbsp;Bad debt (recovery) | 6 | (725) | 9619 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment | 8 | 362 | 5572 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | 14, 15 | 578725 | 2268154 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization |  | 812 | 3610 |
| &nbsp;&nbsp;Total operating expenses |  | 1541997 | 3947269 |
| &nbsp;&nbsp;**Loss before other items** |  | (1541997) | (3947269) |
| &nbsp;&nbsp;**Other items** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt |  |  | 28123 |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange gain |  | 28783 | 4135 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income from government assistance |  |  | 32942 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on write-off of accounts payable |  |  | 16632 |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of property and equipment |  |  | (6972) |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of equipment |  | (2087) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income | 5 | 219294 | 1010 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance charges (recovery) |  | (9367) | (13297) |
| &nbsp;&nbsp;&nbsp;&nbsp;Listing expense | 7b |  | (1278386) |
| &nbsp;&nbsp;**Net loss from continuing operations** |  | $**(1305374)** | $(5163064) |
| &nbsp;&nbsp;**Net income from discontinued operations** | 22 | **10241790** | (2255882) |
| &nbsp;&nbsp;**Net income (loss)** |  | **8936416** | (7418964) |
| &nbsp;&nbsp;**Other comprehensive income** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustment |  | **173341** | (249919) |
| &nbsp;&nbsp;**Comprehensive income (loss) for the year** |  | **9109757** | (7668883) |
| Weighted average number of common shares outstanding | 17 | **84693987** | 72799126 |
| Basic and diluted earning (loss) per share from continuing operations | 17 | $**(0.02)** | $(0.07) |
| Basic and diluted earning (loss) per share from discontinued operations | 17 | $**0.12** | $(0.03) |
| Basic and diluted earning (loss) per share | 17 | $**0.10** | $(0.10) |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCE CORP INC.)** 

Consolidated Statements of Cash Flows

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| **Operating activities**  |  |  |
| &nbsp;&nbsp;Net loss from continuing operations | $**(1305374)** | $(5163064) |
| &nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment | **362** | 55572 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible asset | **812** | 3610 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash listing expense | **—** | 1228025 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | **578725** | 2268154 |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of equipment | **—** | 6972 |
| &nbsp;&nbsp;&nbsp;&nbsp;Government assistance income | **—** | (32924) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accretion expense | **4206** | 9248 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt | **—** | (28123) |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of accounts payable | **—** | (16632) |
| &nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange | **44576** | (167) |
| &nbsp;&nbsp;Changes in non-cash working capital items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | **(186637)** | (205808) |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **18442** | (13922) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **(280106)** | (266622) |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | **—** | (6765) |
| &nbsp;&nbsp;**Net cash used in operating activities** | **(1124994)** | (2212464) |
| &nbsp;&nbsp;**Net cash used in discontinued operations** | **(1607311)** | (1724030) |
| &nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;Cash acquired from acquisition of GTA Financecorp | **—** | 9434 |
| &nbsp;&nbsp;Purchase of short-term investment | **(10600000)** |  |
| &nbsp;&nbsp;Proceeds from sale of subsidiary | **11871686** |  |
| &nbsp;&nbsp;Loss on disposal of property and equipment | **2087** |  |
| &nbsp;&nbsp;Acquisition of property and equipment | **—** | (2632) |
| &nbsp;&nbsp;**Net cash from investing activities** | **1273773** | 6802 |
| &nbsp;&nbsp;**Net cash used in investing activities in discontinued operations** | **(6960)** | (16106) |
| &nbsp;&nbsp; <br> **Financing activities**  |  |  |
| &nbsp;&nbsp;Cash released from escrow on completion of RTO | **—** | 3257408 |
| &nbsp;&nbsp;Repurchase of Tiidal common shares | **—** | (30000) |
| &nbsp;&nbsp;Share issuance costs | **(49184)** | (36213) |
| &nbsp;&nbsp;Proceeds from share issuance | **202960** | 897443 |
| &nbsp;&nbsp;Proceeds from share issuance costs reimbursement | **—** | 11376 |
| &nbsp;&nbsp;Proceeds from issuance of promissory notes | **—** | (38000) |
| &nbsp;&nbsp;**Net cash provided by financing activities** | **153776** | 4062014 |
| &nbsp;&nbsp;**Net cash provided by (used in) financing activities in discontinued operations** | **1373215** | (87075) |
| &nbsp;&nbsp;Effect of foreign exchange on cash | **1543** | (35841) |
| &nbsp;&nbsp;**Net change in cash** | **63042** | (6700) |
| &nbsp;&nbsp;**Cash, beginning of year** | **16223** | 22923 |
| &nbsp;&nbsp;**Cash, end of year** | $**79265** | $16223 |

---

**Supplemental Disclosures with Respect to Cash Flows (Note 18)**

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)** 

Consolidated Statement of Shareholders' Equity (Deficiency)

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Note** | **Number of**<br> **Shares** | **Share Capital**<br> **$** | **Shares to be**<br> **Issued**<br> **$** | **Reserves**<br> **$** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Accumulated**<br> **Other Comprehensive**<br> **Loss**<br> **$** | **Accumulated**<br> **Deficit**<br> **$** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Shareholders'**<br> **Equity**<br> **$** |
| &nbsp;&nbsp;**Balance, October 31, 2021** |  | **56368831** | **6078510** | **767878** | **2129832** | **71159** | **(8382341)** | **665038** |
| &nbsp;&nbsp;Shares issued for GTA RTO | 14 | 3279996 | 1257466 |  | 3421 | **—** |  | 1260887 |
| &nbsp;&nbsp;Share issuance costs | 14 | 346886 | (505881) |  | 25691 | **—** |  | (480190) |
| &nbsp;&nbsp;Share-based payments | 14 |  |  |  | 2268154 | **—** |  | 2268154 |
| &nbsp;&nbsp;Stock options exercised | 14 | 191070 | 68785 |  | (38214) | **—** |  | 30571 |
| &nbsp;&nbsp;Shares issued for debt settlement | 14 | 312136 | 181817 |  |  | **—** |  | 181817 |
| &nbsp;&nbsp;Shares issued for warrants exercised | 14 | 1237373 | 420707 |  | (222727) | **—** |  | 197980 |
| &nbsp;&nbsp;Repurchase of Tiidal shares | 14 | (191070) | (30000) |  |  |  |  | (30000) |
| &nbsp;&nbsp;Shares issued on exercise or RSU | 14 | 4203540 | 1649967 | (99998) | (1549969) |  |  |  |
| &nbsp;&nbsp;Shares issued for convertible debt | 14 | 687607 | 271195 |  |  |  |  | 271195 |
| &nbsp;&nbsp;Shares issued for cash | 14 | 13794932 | 3398106 |  | 838694 |  |  | 4236800 |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | (249919) |  | (249919) |
| &nbsp;&nbsp;Net loss |  |  |  |  |  |  | (7418964) | (7418964) |
| &nbsp;&nbsp;**Balance, October 31, 2022** |  | **80231301** | **12790672** | **667880** | **3454882** | **(178760)** | **(15801305)** | **933369** |
| &nbsp;&nbsp;**Balance, October 31, 2022** |  | **80231301** | **12790672** | **667880** | **3454882** | **(178760)** | **(15801305)** | **933369** |
| &nbsp;&nbsp;Share-based payments | 14 |  |  |  | 578725 |  |  | 578725 |
| &nbsp;&nbsp;Shares issued for cash | 14 | 2961907 | 296191 |  |  |  |  | 296191 |
| &nbsp;&nbsp;RSU grant to CEO | 14, 15 | 2500000 | 200000 |  | (200000) |  |  |  |
| &nbsp;&nbsp;Sportsflare Milestone shares | 14 | 1910700 | 334821 | (334821) |  |  |  |  |
| &nbsp;&nbsp;Share issuance costs | 14 |  | (49184) |  |  |  |  | (49184) |
| &nbsp;&nbsp;Reclassify Revenue Milestone shares | 14 |  |  | (333059) | 333059 |  |  |  |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | 173341 |  | 173341 |
| &nbsp;&nbsp;Net income |  |  |  |  |  |  | 8936416 | 8936416 |
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **87603908** | **13572500** | **—** | **4166666** | **(5419)** | **(6864889)** | **10868858** |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

1. Nature of Operations

Tiidal Gaming Group Corp. (formerly GTA Financecorp Inc.) (the "Company" or "Tiidal Corp.") was incorporated pursuant to the provisions of the Business Corporations Act (Ontario) on August 9, 2006. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 365 Bay Street, Suite 800, Toronto, Ontario M5H 2V1. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink.

On November 9, 2021, the Company completed a transaction that resulted in a reverse takeover ("GTA RTO") of the Company by the shareholders of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) ("Tiidal Inc."). See Note 7c. The Company changed its name to "Tiidal Gaming Group Corp." and effect a consolidation of the common shares on the basis of 11.2678 pre-consolidation common shares into one new post-consolidation common shares. Tiidal Inc., was incorporated under the Business Corporations Act of Ontario on October 22, 2018. Tiidal Inc. amalgamated with 2852773 Ontario Inc. ("GTA Subco") prior to completion of the GTA RTO transaction on November 9, 2021.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "**Offer**") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

2. Going Concern

These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

The Company's accumulated deficit was $6,864,889 at October 31, 2023 (October 31, 2022 – $15,801,305) and its cash flow used in operations was $1,124,994 (October 31, 2022 - $2,212,464). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company assessed the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. The Company will continue to be dependent on external equity financing to fund its activities. Management reviews its capital management approach on an ongoing basis and believe this approach is reasonable.

3. Basis of Presentation

**Statement of Compliance**

These consolidated financial statements, including comparatives, have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Financial Reporting Standards ("IFRS") as issued by the International Financial Reporting Interpretations Committee ("IFRIC").

The consolidated financial statements were approved and authorized for issuance by the Board of Directors of the Company on February 8, 2024.

**Basis of Presentation**

The consolidated financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group, except for the Space Esports and Tiidal NZ subsidiaries, which have the U.S. dollar and New Zealand dollar as its functional currency, respectively.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

3. Basis of Presentation (continued)

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction Incorporated** | &nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting Method** |
| &nbsp;&nbsp; Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.)  | &nbsp;&nbsp; Canada  | &nbsp;&nbsp; Canadian dollars | &nbsp;&nbsp; Consolidation |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Consolidation until June 8, 2023 |

---

4. Significant Accounting Policies

**Revenue recognition**

The Company determines revenue recognition through the following steps: a) identification of the contract with a customer; b) identification of the performance obligations in the contract; c) determination of the transaction price; d) allocation of the transaction price for the performance obligations in the contract; and e) recognition of revenue when the Company satisfies a performance obligation.

The Company's revenue is comprised of esports winnings by players under contract with the Company, sponsorships, betting solutions revenue, and other revenue.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Revenue recognition (continued)**

The Company earns esports prize winnings revenue from various esports tournaments and competitions that the Company's teams enter into. Prize winnings revenue is recognized at a point in time at the completion of each competition or league season. No revenue was recognized if there were significant uncertainties regarding the amount or recovery of the consideration due, the costs incurred or to be incurred could not be measured reliably, or there was continuing management involvement with the services.

The Company earns revenue from Software-as-a-Service ("SaaS") agreements with customers in the betting industry, on a subscription basis. Upon receiving payment from the customer, the Company will have the contractual obligation to provide the access to its proprietary intellectual property ("IP") over the course of the period stipulated in the agreement and the customer will have the ability to use the Company's IP for the stipulated period.

As performance obligations are satisfied over time, revenue is recognized using a method of transfer that depicts the Company's performance or using the "as-invoiced" practical expedient, when applicable and ends only when the period in the agreement ends. The Company recognizes revenue from SaaS subscriptions ratably over the term of the subscription.

The Company earns sponsorship revenue by endorsing products. Sponsorship revenue is recognized over time as the performance obligations per the contract of the Company are satisfied and the services are provided to the customer. Payments received in excess of the revenue recognized on a contract are recorded as deferred revenue. Amounts are billed as defined by individual contracts. Billings rendered in advance of performance under contracts are recorded as deferred revenue. Some agreements contain revenue sharing terms whereby the Company is entitled to a percentage of revenue earned by the customer. This revenue is calculated and recognized on a monthly basis.

<u>Gross versus net revenue</u>

Third party arrangements are evaluated to determine whether the Company acts as the principal or agent under the specific terms of each arrangement. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis; revenue and expenses are recognized in their respective financial statement line items. Conversely, if the Company acts as the agent, revenues are reported on a net basis; revenues are presented net of any expenses.

Determination of principal or agent classification is based on an evaluation of whether the nature of the Company's promise is a performance obligation to provide specific goods or services to the customer (principal), or simply arrange for those goods and services to be provided to the customer by a third party (agent). The most significant factors to consider include whether the Company controls the good or service immediately before it is transferred to the customer, is primarily responsible for fulfilling the promise to provide the specified good or service, has inventory risk before transferring the specified good or service, and has discretion in establishing prices for the specified good or service.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

<u>Gross versus net revenue (continued)</u>

The Company evaluates whether it is acting as principal or agent. The Company reports prize winnings revenue on a gross basis as the Company controls the participation of players under contract in tournaments and leagues. Recording revenue on a gross basis is evidenced by the Company's ability having a level of discretion in establishing pricing.

**Cost of sales**

Cost of sales consists of the share of tournament or league prize winnings paid to the players and coaches as per the contracts between the Company and the players and coaches. Cost of sales also includes sales commission paid on sponsorship revenue.

**Foreign currency**

The consolidated financial statements are presented in Canadian dollars. The functional currency of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.), Lazarus Esports Inc. and Tiidal Gaming Canada Inc., is the Canadian dollar. The functional currency of Space Esports Inc. is the United States dollar, and the functional currency of Tiidal NZ is the New Zealand dollar.

Assets and liabilities of subsidiaries having a functional currency other than the Canadian dollar are translated at the rate of exchange at the reporting period date. Revenues and expenses are translated at average rates for the period, unless exchange rates fluctuated significantly during the period, in which case the exchange rates at the dates of the transaction are used. The resulting foreign currency translation adjustments are recognized in the accumulated other comprehensive income (loss) included in the consolidated statements of changes in shareholders' equity. Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the date of the transactions. At the end of each reporting period, foreign currency denominated monetary assets and liabilities are translated to the functional currency using the prevailing rate of exchange at the reporting period date. Gains and losses on translation of monetary items are recognized in the consolidated statement of net income (loss) and comprehensive income (loss).

Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive income (loss) in the translation reserve.

**Share Capital**

The proceeds from the exercise of stock options, warrants and escrow shares are recorded as share capital in the amount for which the option, warrant or escrow share enabled the holder to purchase a share in the Company.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued) Share Capital (continued)

Depending on the terms and condition of each financing agreement, the warrants are exercisable into additional common shares prior to expiry at a price stipulated by the agreement. Warrants that are part of units are accounted for using the residual method, following an allocation of the unit price to the fair value of the common shares that were concurrently issued. Warrants that are issued as payment for an agency fee or other transaction costs are accounted for as share-based payments.

Commissions paid to agents and other share issue costs are charged directly to share capital.

**Share-based payments**

Equity-settled share-based payments to employees are measured at the fair value of the instruments at the grant date and recognized in expense over the vesting periods. Equity-settled share-based payments to non-employees are measured at the fair value of goods or services received or the fair value of the equity instruments issued if it is determined that the fair value of the goods or services received cannot be reliably measured. Non-employee share-based payments are recognized in expense at the date the goods or services are received. The corresponding amount is recorded to reserves. Upon the exercise of stock options, consideration received on the exercise is allocated to share capital and the related amount previously recognized for the issuance of the option remains in reserves.

The fair value of options is determined using the Black-Scholes Option Pricing Model on the date of the grant, based on certain assumptions.

The fair value of equity settled RSUs is measured at the grant date based on the fair value of the Company's common shares on that date, each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest.

All RSUs are recognized in the consolidated statements of net loss and comprehensive loss as an expense over the vesting period with a corresponding increase in equity reserves in the consolidated statement of financial position.

**Income taxes and deferred income taxes**

Income tax comprises current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the income tax is also recognized directly in equity or other comprehensive income.

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted at the end of the reporting period, and any adjustment to tax payable in respect of previous years. Current tax assets and current tax liabilities are only offset if a legally enforceable right exists to offset the amounts and the Company intends to settle on a net basis, or to realize the asset and settle the liability simultaneously.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Income taxes and deferred income taxes (continued)**

Deferred tax is recognized in respect of all qualifying temporary differences arising between the tax basis of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined on a non-discounted basis using tax rates and laws that have been enacted or substantively enacted at the end of the reporting period and are expected to apply when the deferred tax asset or liability is settled. Deferred tax assets are recognized to the extent that it is probable that the assets can be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered.

**Trade receivables**

Trade receivables, net of allowances, are stated at the amount the Company expects to collect. Trade receivables are recognized initially at fair value less expected credit losses based on management's review of year end receivables, and do not bear any interest. A provision for expected credit losses is generally made when there is objective evidence that the Company will not be able to collect the amounts due according to original payment terms or when there are indications of collection issues related to specific customers. The amount of the impairment loss on a financial asset measured at amortized cost is the difference between the asset's carrying amount and the present value of estimated future cash flows discounted at the asset's original effective interest rate. Losses are recognized in profit or loss and are applied against trade receivables through a loss allowance account.

**Equipment**

Equipment is recorded at cost less accumulated depreciation and impairment losses. The Company provides for depreciation using the following methods at rates designed to depreciate the cost of the equipment over the period of expected useful life. A half year of depreciation is recorded in the year of acquisition. No depreciation is recorded in the year of disposal. The estimated useful lives of assets are reviewed by management and adjusted if necessary. The annual depreciation rates and methods are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;Asset | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Rate |
| &nbsp;&nbsp;Computer equipment | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;55% &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Declining balance |
| &nbsp;&nbsp;Furniture and equipment | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20% &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Declining balance |

---

Depreciation methods, useful lives and residual values are reviewed annually and adjusted, if required. These assets are subject to impairment testing as described below.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Intangible assets**

Intangible assets with finite lives that are acquired separately are measured on initial recognition at cost, which comprises its purchase price plus any directly attributable costs of preparing the asset for its intended use. Following initial recognition, such intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses.

Intangible assets are amortized using the straight-line method over their estimated useful lives. A half year of amortization is recorded in the year of acquisition. The estimated useful life of intellectual property is ten years. Amortization expense is included in the consolidated statements of net income (loss) and comprehensive income (loss).

The useful lives of the intangible assets are reviewed annually, with the effect of any change in estimate being accounted for on a prospective basis. These assets are subject to impairment testing as described below.

**Impairment testing of intangible assets and equipment**

For purposes of assessing impairment under IFRS, assets are grouped at the lowest levels for which there are largely independent cash inflows (cash-generating unit). The Company had cash generating units. All long-lived assets and finite life intangible assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.

An impairment loss is recognized for the amount by which the assets or cash-generating unit's carrying amount exceeds its recoverable a mount, which is the higher of fair value less costs to sell or value-in-use. To determine the value-in-use, management estimates expected future cash flows from the cash-generating unit and determines a suitable pre-tax discount rate in order to calculate the present value of those cash flows. Discount factors have been determined for the cash-generating unit and reflect its risk profile as assessed by management.

Impairment losses for the cash-generating unit reduce first the carrying amount of any goodwill allocated to that cash-generating unit, with any remaining impairment loss charged pro rata to the other assets in the cash-generating unit. In allocating an impairment loss, the Company does not reduce the carrying amount of an asset below the highest of its fair value less costs of disposal or its value in use and zero. With the exception of goodwill, all assets are subsequently reassessed for indications that an impairment loss previously recognized may no longer exist. An impairment charge is reversed if the assets' recoverable amount exceeds its carrying amount only to the extent of the new carrying amount does not exceed the carrying value of the asset had it not originally been impaired.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Financial instruments**

The Company classifies its financial instruments in the following categories: at fair value through profit and loss ("FVTPL"), at fair value through other comprehensive income (loss) ("FVTOCI") or at amortized cost. The Company determines the classification of financial assets at initial recognition. The classification of debt instruments is driven by the Company's business model for managing the financial assets and their contractual cash flow characteristics. Equity instruments that are held for trading are classified as FVTPL. For other equity instruments, on the day of acquisition, the Company can make an irrevocable election (on an instrument-by-instrument basis) to designate them as at FVTOCI. Financial liabilities are measured at amortized cost, unless they are required to be measured at FVTPL (such as instruments held for trading or derivatives) or if the Company has opted to measure them at FVTPL.

The Company's financial assets and liabilities are classified as follows:

---

| | |
|:---|:---|
| **Asset or liability** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Classification** |
| Cash | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FVTPL |
| Short-term investments | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FVTPL |
| Trade and other receivables | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortized cost |
| Accounts payable and other liabilities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortized cost |
| Government loan payable | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortized cost |

---

**Financial assets**

*Recognition and initial measurement*

The Company recognizes financial assets when it becomes party to the contractual provisions of the instrument. Financial assets are measured initially at their fair value plus, in the case of financial assets not subsequently measured at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Transaction costs attributable to the acquisition of financial assets subsequently measured at fair value through profit or loss are expensed in profit or loss when incurred.

Financial assets are classified as follows:

● Amortized cost - Assets that are held for collection of contractual cash flows where those cash flows are solely payments of principal and interest are measured at amortized cost. Interest revenue is calculated using the effective interest method and gains or losses arising from impairment, foreign exchange and derecognition are recognized in profit or loss. Financial assets measured at amortized cost are comprised of trade and other receivables.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**4.** **Significant Accounting Policies (continued)** **Financial instruments (continued) ** **  ***Financial assets (continued)*** 

Financial assets are classified as follows: (continued)

● Fair value through other comprehensive income - Assets that are held for collection of contractual cash flows and for selling the financial assets, and for which the contractual cash flows are solely payments of principal and interest, are measured at fair value through other comprehensive income. Interest income calculated using the effective interest method and gains or losses arising from impairment and foreign exchange are recognized in profit or loss. All other changes in the carrying amount of the financial assets are recognized in other comprehensive income. Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified to profit or loss. The Company does not hold any financial assets measured at fair value through other comprehensive income.

● Mandatorily at fair value through profit or loss - Assets that do not meet the criteria to be measured at amortized cost, or fair value through other comprehensive income, are measured at fair value through profit or loss. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. Financial assets measured at fair value through profit or loss consists of cash and short-term investments.

● Designated at fair value through profit or loss – On initial recognition, The Company may irrevocably designate a financial asset to be measured at fair value through profit or loss in order to eliminate or significantly reduce an accounting mismatch that would otherwise arise from measuring assets or liabilities, or recognizing the gains and losses on them, on different bases. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. The Company does not hold any financial assets designated to be measured at fair value through profit or loss.

The Company measures all equity investments at fair value. Changes in fair value are recorded in profit or loss.

Business model assessment

The Company assesses the objective of its business model for holding a financial asset at a level of aggregation which best reflects the way the business is managed, and information is provided to management. Information considered in this assessment includes stated policies and objectives.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**4.** **Significant Accounting Policies (continued)** 

**Financial instruments (continued)**

 ****

***Financial assets (continued)***

Contractual cash flow assessment

The cash flows of financial assets are assessed as to whether they are solely payments of principal and interest on the basis of their contractual terms. For this purpose, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money, the credit risk associated with the principal amount outstanding, and other basic lending risks and costs. In performing this assessment, the Company considers factors that would alter the timing and amount of cash flows such as prepayment and extension features, terms that might limit the Company's claim to cash flows, and any features that modify consideration for the time value of money.

*Impairment*

The Company recognizes a provision for the expected credit losses associated with its financial assets, other than financial assets measured at fair value through profit or loss. Expected credit losses are measured to reflect a probability-weighted amount, the time value of money, and reasonable and supportable information regarding past events, current conditions and forecasts of future economic conditions. The Company applies the simplified approach for trade receivables. Using the simplified possible default events over the assets' contractual lifetime.

The Company assesses whether a financial asset is credit-impaired at the reporting date. Regular indicators that a financial instrument is credit-impaired include significant financial difficulties as evidenced through borrowing patterns or observed balances in other accounts and breaches of borrowing contracts such as default events or breaches of borrowing covenants. For financial assets assessed as credit-impaired at the reporting date, the Company continues to recognize a loss allowance equal to lifetime expected credit losses.

For financial assets measured at amortized cost, loss allowances for expected credit losses are presented in the consolidated statements of financial position as a deduction from the gross carrying amount of the financial asset.

Financial assets are written off when the Company has no reasonable expectations of recovering all or any portion thereof.

*Derecognition of financial assets*

The Company derecognizes a financial asset when its contractual rights to the cash flows from the financial asset expire.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Financial liabilities**

*Recognition and initial measurement*

The Company recognizes a financial liability when it becomes party to the contractual provisions of the instrument. At initial recognition, the Company measures financial liabilities at their fair value plus transaction costs that are directly attributable to their issuance, with the exception of financial liabilities subsequently measured at fair value through profit or loss for which transaction costs are immediately recorded in profit or loss.

Where an instrument contains both a liability and equity component, these components are recognized separately based on the substance of the instrument, with the liability component measured initially at fair value and the equity component assigned the residual amount.

*Classification and subsequent measurement*

Subsequent to initial recognition, all financial liabilities are measured at amortized cost using the effective interest rate method. Interest, gains and losses relating to a financial liability are recognized in profit or loss.

*Derecognition of financial liabilities*

The Company derecognizes a financial liability only when its contractual obligations are discharged, cancelled or expire.

**Loss per share**

Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares for the assumed exercise of stock options and warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and that the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

***Financial liabilities (continued)***

**Income (loss) per share (continued)**

For the years ended October 31, 2023, and 2022, potentially dilutive common shares issuable upon the exercise of conversion option related to warrants and options were not included in the computation of income (loss) per share because their effect was anti-dilutive.

**Leases**

The Company adopted IFRS 16, *Leases* ("IFRS 16") as of October 22, 2018, which replaced IAS 17, *Leases*. IFRS 16 provides a comprehensive model for the identification of lease arrangements and their treatment in the financial statements of both lessees and lessors. IFRS 16 specifies how leases will be recognized, measured, presented and disclosed and it provides a single lessee model, requiring lessees to recognize right-of-use assets and lease liabilities for all major leases.

The Company assesses at the inception of contract, whether it contains a lease. A contract is classified as a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

The Company recognizes a right-of-use asset and lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises of the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any indirect costs incurred.

The right-to-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-to-use asset or the end of the lease term. The estimated useful lives of right-to-use assets are determined using the same criteria as those for property and equipment. In addition, the right-of-use asset is periodically reduced by impairment losses and adjusted for certain remeasurements of the lease liability, if any.

The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be determined, the Company's incremental borrowing rate. The lease liability is subsequently increased by the interest cost on the lease liability and decreased by lease payments made. It is remeasured when there is a change in future lease payment arising from a change in an index or rate, or changes in assessment of whether a purchase or extension option is reasonably certain to be exercised or a termination option is reasonably certain not to be exercised.

<u>Short-term leases and leases of low-value assets</u>

The Company has elected not to recognize right-of-use assets and lease liabilities for short-term leases that have a term of 12 months or less and leases of low-value assets. The Company recognizes the lease payments associated with these leases as an expense on a straight-line basis over the lease term.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Discontinued operations/disposal group held for sale**

Discontinued operations are reported when a component of the Company, representing a separate major line of business or area of operations with clearly distinguishable cash flows, has been disposed of or is held for sale. Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria to be classified as held for sale, if earlier. In accordance with IFRS 5, "Non-current Assets Held for Sale and Discontinued Operations" ("IFRS 5"), discontinued operations are reported as a separate element of net income or loss on the consolidated statements of net income (loss) and comprehensive income (loss) for both the current and comparative periods. When a disposal group is classified as held for sale, assets and liabilities are aggregated and presented as separate line items, respectively, on the consolidated statement of financial position. Comparative periods are not restated on the consolidated statement of financial position. Assets held for sale are not depreciated and are measured at the lower of carrying value and fair value less costs to sell.

**New accounting pronouncements issued but not yet effective**

Certain new standards, interpretations and amendments to existing standards have been issued by the IASB that are mandatory for future accounting periods. Some updates that are not applicable or are not consequential to the Company may have been excluded. The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective. The Company has determined that there are no new standards that are relevant to the Company.

**Critical Accounting Estimates and Judgments**

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates, judgments and assumptions that affect the application of policies and reported amounts of assets and liabilities, and income and expenses.

These estimates are based on management's best knowledge of current events and actions the Company may undertake in the future. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognized in the period in which the estimates are revised.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Use of critical accounting estimates and assumptions

**Estimated useful lives of equipment and intangible assets**

Estimates of the useful lives of property and equipment and intangible assets are based on the period over which the assets are expected to be available for use. The estimated useful lives are reviewed annually and are updated if expectations differ from previous estimates due to physical wear and tear, technical or commercial obsolescence, and legal or other limits on the use of the relevant assets. In addition, the estimation of the useful lives of the relevant assets may be based on internal technical evaluation and experience with similar assets. It is possible, however, that future results of operations could be materially affected by changes in the estimates brought about by changes in the factors mentioned above. The amounts and timing of recorded expenses for any period would be affected by changes in these factors and circumstances. A reduction in the estimated useful lives of the property and equipment would increase the recorded expenses and decrease the non-current assets.

**Income taxes**

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors. The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities. Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such difference will affect the tax provisions in the period in which such determination is made.

**Right of-use-asset and lease liability**

The right-of-use asset and lease liability is measured by discounting the future lease payments at an incremental borrowing rate. The incremental borrowing rate is an estimated rate the Company would have to pay to borrow over a similar term and with similar security, the funds necessary to obtain an asset of a similar value to the right-of-use asset in a similar economic environment. The Company also estimated there is a 90% probability that it will use its lease renewal term option.

**Share-based payments**

The fair value of share-based payments is calculated using the Black-Scholes option pricing model. The main assumptions used in the model include the estimated fair value of the common shares, estimated life of the option, the expected volatility of the Company's share price (using historical volatility of similar publicly traded companies as a reference), the expected dividends, the expected forfeiture rate, and the risk-free rate of interest. The resulting value calculated is not necessarily the value that the holder of the option could receive in an arm's-length transaction given that there is no market for the options, and they are not transferable.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Listing expense**

The listing expense has been calculated using an estimated common share value of Tiidal Inc. of $0.3834 as at November 9, 2021. The fair value of the common shares was estimated based on the price of $0.50 per unit in the subscription receipt financing in connection with the GTA RTO and estimating the value of the warrants issued from the subscription receipt financing to have a fair value of $0.1166 per one-half warrant using the Black-Scholes option pricing model. The options were valued using the following assumptions: estimated volatility of 150%, risk free interest rate of 0.47%, expected life of 2 years, exercise price ranging from $0.75, and share price of $0.3834.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Judgments

**Indicators of impairment and testing of equipment and intangible assets**

Management applies significant judgment in its assessment and evaluation of asset or cash generating units at each reporting date to determine whether there are any indications of impairment. The Company considers both internal and external sources of information when making the assessment of whether there are indications of impairment for the Company's equipment and intangible assets.

External sources of information considered are changes in the Company's economic, legal, and regulatory environment, which it does not control, but affect the recoverability of its assets. Internal sources of information the Company considers include the manner in which equipment and intangible assets are being used or are expected to be used and indications of economic performance of the assets. Changes in any of the assumptions or estimates used in determining the fair values could impact the impairment analysis.

**Revenue recognition**

The revenue standard sets out a five-step model for the recognition of revenue when control of goods is transferred to, or a service is performed for, the customer. The five steps are to identify the contract(s) with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to each performance obligation and recognize revenue as each performance obligation is satisfied. Management exercises judgment when taking into consideration the relevant facts and circumstances when applying each step of the model to contracts with customers.

**Recognition of revenue on a gross versus net basis**

The Company follows the guidance provided in IFRS 15, Revenue from Contracts with Customers, for determining whether the Company is the principal or an agent in arrangements with customers that involve another party that contributes to providing a specified service to a customer. In these instances, the Company determines whether it has promised to provide the specified service itself (as principal) or to arrange for the specified service to be provided by another party (as an agent). This determination depends on the facts and circumstances of each arrangement and, in some instances, involves significant judgment.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Assessment of going concern**

These consolidated financial statements have been prepared on a basis which assumes the Company will continue to operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. In assessing whether this assumption is appropriate, management considers all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period.

This assessment is based upon planned actions that may or may not occur for a number of reasons including the Company's own resources and external market conditions.

5. Short-term Investments

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs mature on December 10, 2023. For the year ended October 31, 2023, the Company recorded interest receivable of $217,024 (October 31, 2022 – $nil).

6. Trade and Other Receivables

Trade and other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2023** | **October 31,**<br> **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade receivables | $— | $58054 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 4446 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected credit losses |  | (9619) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST receivable | 215466 | 251242 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest receivable (Note 5) | 217024 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advances to an officer (Note 15) |  | 2552 |
|  | $436936 | $302229 |

---

During the year ended October 31, 2023, the Company recorded a recovery of bad debt expense of $725 (October 31, 2022 - $9,619) on trade receivables and recorded a provision for expected credit losses.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;7. Acquisitions

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Subscription Receipt Financing** 

An agreement entered in on July 12, 2021, between the Company, Tiidal Inc., and GTA Subco for the proposed GTA RTO (Notes 1, 7b) was subject to the completion of the following by Tiidal Inc.:

● A best-efforts private placement of up to 11,500,000 Tiidal Inc. subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of up to $5,500,000.

● On July 13, 2021, Tiidal Inc. closed a non-brokered financing of 3,576,361 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,788,181 and a brokered financing of 2,971,000 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,485,500. Tiidal Inc. will split its common shares on the basis of one pre-share split Tiidal Inc. common share for 1.2738 post-share split Tiidal Inc. common share. Each subscription receipt will, upon satisfaction of the escrow release conditions, be automatically converted into one unit of the Company, with each unit being comprised of one post-share split common share and one-half of one post-share split warrant.

● Each warrant will entitle the holder to purchase one post-share split common share for a period of 24 months following the conversion date at a price of $0.75.

● On July 13, 2021, $3,257,408 was transferred to TSX Trust Company to be released upon the satisfaction of escrow conditions, including the GTA RTO transaction (Note 7b).

● Tiidal Inc. issued 346,890 subscription receipts to the agents in connection with the financing and issued 457,970 compensation stock options to the agents upon satisfaction of the escrow conditions. Each compensation stock option will be exercisable for one post-share split common share or one Resulting Issuer Share (subject to any necessary adjustments), as applicable, $0.50 for a period of 24 months following the satisfaction of the escrow release conditions.

● As at October 31, 2021, $136,159 in finance fees and $28,600 in HST were paid directly from the gross proceeds to agents in the private placement and $173,445 in financing charges were paid through 346,890 subscriptions in lieu of cash. During the year ended October 31, 2023, the Company paid $nil (2022 - $14,134) in finance fees.

● Tiidal Inc. granted 457,970 compensation stock options which are exercisable within two-and-a-half years from the date of grant at an exercise price of $0.50 per share. The options were valued on the date of issue using the Black-Scholes option pricing model with the following assumptions: dividend yield 0%, discount rate of 0.47%, expected volatility of 150% and an expected life of 2.5 years. The value attributed to these options was $171,439.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

7. Acquisitions (continued)

**b)** **GTA Financecorp Inc. Reverse Takeover** 

● On October 7, 2021, Tiidal Inc. closed the second tranche of a non-brokered financing of 296,970 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $148,485. The subscription receipts have the same terms and escrow conditions as the first tranche which closed on July 13, 2021, as noted above. $148,485 in gross proceeds from the second tranche of the subscription financing were transferred to TSX Trust to be released upon the satisfaction of escrow release conditions. In connection with the subscription receipt financing, a finder's fee was paid through the issuance of 346,890 shares for an aggregate fair value of $173,445 and paid an aggregate of $321,868 in cash.

● The automatic conversion of all issued and outstanding Tiidal Inc. convertible notes into new Tiidal Inc. common shares and Tiidal Inc. warrants (on a post-Tiidal Inc. share split basis) pursuant to the terms set out on the convertible note certificates; and

● The automatic vesting of all issued and outstanding Tiidal Inc. RSUs into new Tiidal Inc. common shares pursuant to the terms set out in their respective RSU agreements.

The GTA RTO was completed pursuant to the terms of a business combination agreement dated July 12, 2021 (the "Definitive Agreement"), among the Company, Tiidal Inc., and GTA Subco.

On November 9, 2021, the GTA RTO transaction closed in which 95.43% of the shares of the combined entity of the Company are held by the former shareholders of Tiidal Inc. The subscription receipts and convertible notes converted into common shares and warrants of Tiidal Inc. which were then exchanged for common shares and warrants of the Company. As a result, the former shareholders of Tiidal Inc. acquired control of the Company, thereby constituting a reverse takeover of the Company. This is considered a purchase of the Company's net assets by the shareholders of Tiidal Inc.The GTA RTO is accounted for in accordance with guidance provided in IFRS 2 Share-Based Payments ("IFRS 2") and IFRS 3 Business Combinations ("IFRS 3").

For accounting purposes, the acquisition is considered to be outside the scope of IFRS 3 since Tiidal Corp., prior to the acquisition did not constitute a business. The GTA RTO is accounted for in accordance with IFRS 2 whereby Tiidal Inc. is deemed to have issued common shares and stock options in exchange for net assets of Tiidal Corp. (GTA) together with its listing status at the fair value of the consideration received by Tiidal Inc. The accounting transaction resulted in the following:

● The consolidated financial statements of the combined entities are issued under the legal parent, Tiidal Corp., but are considered a continuation of the financial statements of the legal subsidiary, Tiidal Inc.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

7. Acquisitions (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **GTA Financecorp Inc. Reverse Takeover (continued)** 

● Since Tiidal Inc. is deemed to be the acquirer for accounting purposes, its assets and liabilities are included in the consolidated financial statements at their historical carrying values.

Since the share and share-based consideration allocated to the former shareholders of Tiidal Corp. on closing the GTA RTO is considered within the scope of IFRS 2, and the Company cannot identify specifically some or all of the goods or service received in return for the allocation of the common shares and stock options, the value in excess of the net identifiable assets or liabilities of Tiidal Corp. acquired on closing was expensed in the consolidated statement of net loss and comprehensive loss as listing expense.

The listing expense in the amount of $1,278,386 is comprised of the fair value of the common shares and stock options of the Company retained by former shareholders of Tiidal Corp. (GTA), as well as other direct expenses of the GTA RTO.

A breakdown of the listing expense is as follows:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Consideration** | **Number** | **Total** |
| &nbsp;&nbsp;Fair value of shares retained by former GTA Finance Corp. shareholders | 3279996 | $1257466 |
| &nbsp;&nbsp;Fair value of stock options assumed | 247431 | 3421 |
| &nbsp;&nbsp;Prior cash advanced from the Company and Tiidal Inc. |  | (99000) |
| &nbsp;&nbsp;**Total consideration** |  | $**1161887** |
| &nbsp;&nbsp;**Fair value of net working capital deficiency assumed:** |  |  |
| &nbsp;&nbsp;Cash |  | $(9434) |
| &nbsp;&nbsp;Accounts payable and accrued liabilities |  | 48263 |
| &nbsp;&nbsp;**Net working capital deficiency** |  | $**38829** |
| &nbsp;&nbsp;Transaction costs related to GTA RTO |  | 77670 |
| &nbsp;&nbsp;**Listing expense** |  | $**1278386** |

---

In addition, the Company incurred $199,386 in legal expenses for the RTO that were expensed during the year ended October 31, 2021.

In accordance with IFRS 2, the fair value of the share issuance was determined to be 0.3834 (post-split), based on the estimated fair value at the acquisition date. The fair value of 247,431 GTA stock options assumed was determined to be $0.01 per share using the Black-Scholes option pricing model with the following assumptions: estimated volatility of 150%, risk free interest rate of 0.38% to 0.68%, expected life of 0.15 years to 3.73 years, exercise price ranging from $0.28 to $33.80, and share price of $0.02.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;7. Acquisitions (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **GTA Financecorp Inc. Reverse Takeover (continued)** 

Pursuant to the GTA RTO, the following occurred:

● The Company completed a consolidation of its common shares immediately prior to the completion of the amalgamation (as defined below), of its then issued and outstanding 36,958,499 common shares on the basis of one new Company common share for every 11.2678 existing Tiidal Corp. (GTA) common shares.

● The Company's subsidiary, GTA Subco, amalgamated with Tiidal Inc., and changed its name to Tiidal Gaming Holdings Inc.

● The Company acquired all of the issued and outstanding common shares of Tiidal Inc. from the former shareholders of Tiidal Inc. in exchange for an aggregate of 68,460,125 of the Company's common shares. The Company then changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp.

Immediately prior to the amalgamation, Tiidal Inc.'s shares underwent a 1:1.2738 share split and all outstanding Tiidal Inc. restricted share units ("RSUs") automatically vested. Upon effect of the split, authorized capital remains unchanged. These financial statements give retroactive effect to such stock split named above and all share and per share amounts have been adjusted accordingly, unless otherwise noted.

&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Equipment** 

---

| | | | |
|:---|:---|:---|:---|
| | **Computer equipment** | **Furniture and equipment** | **Total** |
| &nbsp;&nbsp;**Cost** |  |  |  |
| &nbsp;&nbsp;Opening, October 31, 2021 | $47903 | $10105 | $58008 |
| &nbsp;&nbsp;Additions | 16767 | 1971 | 18738 |
| &nbsp;&nbsp;Write-off | (3750) | (3222) | (6972) |
| &nbsp;&nbsp;Foreign exchange adjustment | 2913 | 488 | 3401 |
| &nbsp;&nbsp;**Ending, October 31, 2022** | $**63833** | $**9342** | $**73175** |
| &nbsp;&nbsp;Write-off | (2632) |  | (2632) |
| &nbsp;&nbsp;Assets held for sale (note 22) | (61201) | (9342) | (70543) |
| &nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | **—** | $**—** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Equipment (continued)** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Accumulated depreciation** | | | |
| &nbsp;&nbsp;Opening, October 31, 2021 | $39569 | $3034 | $42603 |
| &nbsp;&nbsp;Depreciation | 14239 | 995 | 15234 |
| &nbsp;&nbsp;**Ending, October 31, 2022** | **53808** | **4029** | **57837** |
| &nbsp;&nbsp;Depreciation | 354 |  | 354 |
| &nbsp;&nbsp;Foreign exchange | 8 |  | 8 |
| &nbsp;&nbsp;Write-off | (545) |  | (545) |
| &nbsp;&nbsp;Assets held for sale (note 22) | (53625) | (4029) | (57654) |
| &nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;**Net book value** |  |  |  |
| &nbsp;&nbsp;**October 31, 2022** | $**10025** | $**5313** | $**15338** |
| &nbsp;&nbsp;**October 31, 2023** | $**—** | $**—** | $**—** |

---

&nbsp;&nbsp;&nbsp;&nbsp;**9.** **Right-of-use assets/Lease liability** 

On September 22, 2021, the Company's subsidiary Tiidal NZ, entered into a twenty-four-month lease agreement for new office space in Wellington, New Zealand commencing October 1, 2021. Under the lease, the Company is required to pay an annual rent of $70,867 NZD plus applicable GST monthly. The lease agreement includes an extension option for an additional twenty-four months. At the commencement date of the lease, the lease liability was measured at the present value of the lease payments that were not paid at that date (including the extension option of twenty-four months). The lease payments are discounted using an interest rate of 12%, which is the Company's estimated incremental borrowing rate in Canada.

Tiidal NZ also entered into several twelve-month lease-to-own agreements for office equipment commencing during the year ended October 31, 2023. Under these leases, the Company is required to pay an aggregate amount of $32,111 NZD plus applicable GST.

At the commencement date of these leases, the lease liability was measured at the present value of the lease payments that were not paid at that date. The lease payments are discounted using an interest rate of 12%, which is the Company's estimated incremental borrowing rate. The right-of-use asset and lease liability were derecognized upon the loss of control of Tiidal NZ when sold to Entain on June 9, 2023.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**9.** **Right-of-use assets/Lease liability (continued)** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Right-of-use asset** | **Office Space** | **Office Equipment** | **Total** |
| &nbsp;&nbsp;Opening, October 31, 2021 | $223986 | $— | $223986 |
| &nbsp;&nbsp;Additions |  | 29994 | 29994 |
| &nbsp;&nbsp;Depreciation | (40822) | (3487) | (44309) |
| &nbsp;&nbsp;Foreign exchange adjustment | (24173) | (3887) | (28060) |
| &nbsp;&nbsp;Disposition and adjustments | (29498) |  | (29498) |
| &nbsp;&nbsp;**Ending October 31, 2022** | **129493** | **22620** | **152113** |
| &nbsp;&nbsp;Asset held for sale (note 22) | (129493) | (22620) | (152113) |
| &nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;**Lease liability** | **Office Space** | **Office Equipment** | **Total** |
| &nbsp;&nbsp;Opening, October 31, 2021 | $228752 | $— | $228752 |
| &nbsp;&nbsp;Additions |  | 29994 | 29994 |
| &nbsp;&nbsp;Accretion | 17339 | 1755 | 19094 |
| &nbsp;&nbsp;Payments | (62280) | (24891) | (87171) |
| &nbsp;&nbsp;Foreign exchange adjustment | (16780) | (1181) | (17961) |
| &nbsp;&nbsp;Adjustment | (29498) |  | (29498) |
| &nbsp;&nbsp;**Ending, October 31, 2022** | $**137533** | $**5677** | $**143210** |
| &nbsp;&nbsp;Liabilities associated with assets held for sale (note 22) | (137533) | (5677) | (143210) |
| &nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;**Current** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;**Non-current** | $**—** | $**—** | $**—** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**10.** **Intangible Assets** 

---

| | | |
|:---|:---|:---|
| | **Sportsflare intellectual property and related assets** | **Total** |
| &nbsp;&nbsp;**Cost** | | |
| &nbsp;&nbsp;Ending balance October 31, 2021 | $2207433 | $2207433 |
| &nbsp;&nbsp;Foreign exchange adjustment | (241099) | (241099) |
| &nbsp;&nbsp;**Ending balance October 31, 2022** | $**1966334** | $**1966334** |
| &nbsp;&nbsp;Reclassified to asset held for sale (note 22) | (1966334) | (1966334) |
| &nbsp;&nbsp;**Ending balance October 31, 2023** | $**—** | $**—** |
| &nbsp;&nbsp;**Accumulated amortization** |  |  |
| &nbsp;&nbsp;Ending balance October 31, 2021 | $190238 | $190238 |
| &nbsp;&nbsp;Amortization | 202874 | 202874 |
| &nbsp;&nbsp;**Ending balance October 31, 2022** | $**393112** | $**393112** |
| &nbsp;&nbsp;Reclassified to assets held for sale (note 22) | $(393112) | $(393112) |
| &nbsp;&nbsp;Ending balance October 31, 2023 |  |  |
| &nbsp;&nbsp;**Net book value October 31, 2022** | $**1573222** | $**1573222** |
| &nbsp;&nbsp;**Net book value October 31, 2023** | $**—** | $**—** |

---

&nbsp;&nbsp;&nbsp;&nbsp;**11.** **Accounts Payable and Other Liabilities** 

---

| | | |
|:---|:---|:---|
| | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable (Note 15) | $126551 | $420049 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued liabilities | 93209 | 345598 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payroll liabilities |  | 208915 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST payable |  | 10178 |
|  | $219760 | $984740 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**12.** **Convertible Notes** 

On March 31, 2021, the Company closed an unsecured convertible notes financing for gross proceeds of $280,250. The convertible notes bear interest at 7% per annum and are automatically converted into securities of Tiidal Inc. upon the completion of an equity financing in connection to a reverse takeover transaction or initial public offering and the completion of any release conditions connected to such financing. The notes will be converted into the same securities sold and issued with said equity financing at a conversion price equal to 85% of the price per the equity financing. The convertible notes mature one year from the date of issuance. The price of the equity financing was fixed at $0.50 per unit prior to the closing of the convertible notes, and as result, there was no derivative liability associated with the convertible notes.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;12. Convertible Notes (continued)

On November 9, 2021, the GTA RTO transaction was completed, resulting in the automatic conversion of the convertible notes into 687,607 shares and 343,800 warrants of Tiidal Inc.

A continuity of the Company's convertible notes is as follows:

---

| | |
|:---|:---|
| | **Total** |
| **Balance, October 31, 2021** | $**266734** |
| Accretion | 796 |
| Conversion | (267530) |
| **Balance, October 31, 2022 and October 31, 2023** | $**—** |

---

&nbsp;&nbsp;&nbsp;&nbsp;13. Government Loan Payable

In May 2020, Tiidal Inc. entered into a Canada Emergency Business Account ("CEBA") loan with the Government of Canada which provided $40,000 in interest free loans to Tiidal Inc. until December 31, 2022. The CEBA loan terms included if the Government of Canada is repaid by December 31, 2022, 25%, being $10,000 of the CEBA loan will be forgiven. If the CEBA loan balance is not paid prior to December 31, 2022, the remaining balance would be converted to a three-year term loan at 5% annual interest, paid monthly. The full balance must be repaid no later than December 31, 2025.

In January 2021, Tiidal Inc. received an additional $20,000 interest free CEBA loan from the Government of Canada. The CEBA loan terms included if the Government of Canada is repaid by December 31, 2022, 50%, being $10,000, will be forgiven.

If the balance is not paid prior to December 31, 2022, the remaining balance will be converted to a three-year term loan at 5% annual interest, paid monthly. The full balance must be repaid no later than December 31, 2025. The Government of Canada has announced that the December 31, 2022, forgiveness repayment date has been extended by one year to December 31, 2023, for eligible CEBA loan holders in good standing. The CEBA loan terms were also amended such that the CEBA loans are interest free until December 31, 2023, and any remaining balance would bear interest at 5% per annum starting on January 1, 2024.

As at October 31, 2023, the Company has an outstanding CEBA loan balance of $39,250 (October 31, 2022 - $35,044) and recognized $nil (2022 - $32,924) in income from government assistance. For the year ended October 31, 2023, the Company has recognized $4,206 of interest accretion (October 31, 2022 - $3,453).

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 31, 2023, the Company had 87,603,908 shares outstanding.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid to be completed no earlier than December 7, 2023 (note 24).

**Stock Split**

In connection with the GTA RTO, Tiidal Inc. consolidated its shares on the basis of 1.2738 new Tiidal Inc. shares for every old Tiidal Inc. share, subject to adjustment in accordance with the terms of the Definitive Agreement (Note 7c). All references to shares and per share amounts have been retrospectively restated to reflect the stock split, unless otherwise indicated.

&nbsp;&nbsp;&nbsp;&nbsp;a) Issued

The Company issued common shares as described below for the year ended October 31, 2023:

On December 1, 2022, the Company closed a non-brokered private placement financing of 2,029,600 units at a price of $0.10 per unit for gross proceeds of $202,960. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $0.15 per common share for a period of 36 months following the closing date. The Company issued 932,307 common shares to settle $93,231 in accounts payable.

On June 9, 2023, the Company issued 1,910,700 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone (see Note 7a) per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 2,500,000 restricted share units to the Company's CEO, which immediately vested into 2,500,000 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued (continued)** 

The Company issued common shares as described below for the year ended October 31, 2022:

On November 9, 2021, upon completion of the GTA RTO, the Company had the following transactions:

● The Company converted subscription receipts (see Note 7a) that were previously issued for gross proceeds of $3,422,166 into units consisting of an aggregate of 6,844,331 common shares and 3,422,165 share purchase warrants. Subscription receipts with a fair value of $309,604 that were previously issued for financing charges in lieu of cash were converted into units which consisted of an aggregate of 346,890 common shares and 173,444 share purchase warrants. Each unit consists of one common share and one-half of a share purchase warrant. Each full warrant allows the holder to purchase an additional common share at an exercise price of $0.75 and expires on November 9, 2023.

● The Company recorded $2,756,918 to share capital and $838,694 to reserves.

● The Company incurred $136,158 in financing charges paid directly from the gross proceeds.

● The Company issued 687,607 common shares and 343,800 share purchase warrants with an exercise price of $0.75 expiring on November 9, 2023, upon the conversion of outstanding convertible notes with a fair value of $270,961 into units consisting of one common share and one-half of a share purchase warrant. Each full warrant allows the holder to purchase an additional common share at an exercise price of $0.75 and expires on November 9, 2023.

● The Company paid $30,000 to a shareholder dissenting to the GTA RTO transaction to cancel 191,070 common shares held by the dissenting shareholder.

● The Company issued an aggregate of 4,203,540 common shares pursuant to the RSUs issued and vested upon completion of the GTA RTO. These common shares have an aggregate fair value of $4,203,540.

● The Company issued 200,000 common shares to settle $100,000 in accounts payable. The estimated fair value of the common shares issued was $97,668. The gain on settlement of $2,332 was recognized in the consolidated statement of net income (loss) and comprehensive income (loss).

On January 7, 2022, an aggregate of 191,070 stock options of the Company with an exercise price of $0.16 per warrant were exercised in exchange for the settlement of $30,571 in accounts payable.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued (continued)** 

On January 31, 2022, the Company issued 112,136 common shares with a fair value of $30,277 to settle $56,068 in debt. The Company recognized a gain of $25,791 on the debt settlement.

On June 1, 2022, the Company issued an aggregate of 500,000 common shares of the Company from the exercise of warrants of the Company with an exercise price of $0.16 per warrant. $51,750 was received in cash and $28,250 was paid through the settlement of accounts payable.

On June 7, 2022, the Company issued an aggregate of 125,000 common shares from the exercise of warrants of the Company with an exercise price of $0.16 per warrant for gross proceeds of $20,000.

On July 7, 2022, the Company issued an aggregate of 612,373 common shares from the exercise of warrants of the Company with an exercise price of $0.16 per warrant. $64,080 was received in cash and $33,900 was paid through the settlement of accounts payable.

On September 20, 2022, the Company closed a non-brokered private placement and issued an aggregate of 5,619,061 commons shares at $0.10 per share for gross proceeds of $561,905.

On October 11, 2022, the Company closed a non-brokered private placement and issued an aggregate of 1,311,550 common shares at $0.10 per share for gross proceeds of $133,155.

For the year ended October 31, 2022, the Company incurred $495,177 in share issuance costs consisting of legal, financing, and other fees for the subscription receipt financing and conversion to common shares and warrants.

&nbsp;&nbsp;&nbsp;&nbsp;b) Stock options

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange. Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares. Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the year ended October 31, 2023, the following activity occurred:

● On February 5, 2023, 125,000 options granted that had been granted to employees of Lazarus were cancelled.

● On June 9, 2023, 1,522,500 unvested revenue milestone options granted to employees of Tiidal NZ were forfeited in accordance with the sale of Tiidal NZ to Entain that closed.

For the year ended October 31, 2022, the following activity occurred:

● On November 9, 2021, the Company granted an aggregate of 955,350 stock options to certain officers and employees of the Company. The stock options can be exercised at $0.39 per stock option and expire November 9, 2026. These stock options vest evenly over the next 24 months. At closing of the GTA RTO on November 9, 2021, the Company had an aggregate of 247,431 stock options outstanding. 532 out of these stock options expired on November 9, 2021. The remaining stock options have an expiry date ranging from August 30, 2022, to June 8, 2025.

● On November 17, 2021, the Company granted an aggregate of 1,500,000 stock options to certain officers and employees of the Company. The stock options can be exercised at $0.50 per stock option and expire on November 17, 2026. The vesting terms of these stock options are as follows:

○ 277,000 of total stock options vest in twelve monthly instalments.

○ 1,223,000 of total stock options vest one-third on November 17, 2022, and the remaining stock options shall vest in twenty-four monthly instalments thereafter.

● On January 4, 2022, the Company granted an aggregate of 4,400,000 stock options to certain officers, directors, employees, and consultants of the Company. The stock options can be exercised at $0.30 per stock option.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

○ 500,000 of the total stock options expire on November 17, 2026. One-third of the stock options shall vest on November 17, 2022, and the remaining stock options shall vest in twenty-four monthly instalments thereafter.

○ 1,000,000 of the total stock options expire on November 17, 2026. The stock options shall vest in twelve equal monthly instalments.

○ 1,500,000 stock options expire on January 4, 2027. One-half of the stock options shall vest on January 4, 2022 ("Grant Date"). The remaining half of the stock options shall vest equally on the first, second, and third anniversary of the Grant Date.

○ 1,400,000 of total stock options expire on January 4, 202. The stock options shall vest in twenty-five equal monthly instalments beginning on January 4, 2022.

● On March 1, 2022, the Company granted an aggregate of 185,000 stock options to certain employees of the Company. The stock options can be exercised at $0.30 per stock option and expire on March 1, 2027. 125,000 options vest evenly over three years from the grant date and 60,000 options vest as follows:

○ Ten percent (10%) of the stock options shall vest upon the Company generating an aggregate of $1,000,000 in total revenue between November 1, 2021 and the expiry date ("earning period")

○ Fifteen percent (15%) of the stock options shall vest upon the Company generating an aggregate of $2,500,000 in total revenue during the earning period

○ Twenty-five percent (25%) of the stock options shall vest upon the Company generating $5,000,000 in total revenue during the earning period and

○ Fifty percent (50%) of the stock options shall vest upon the Company generating an aggregate of $10,000,000 in total revenue during the earning period.

The estimate made for determining the vesting schedule of these stock options is based on the October 31, 2022, total revenue extrapolated for one full year and a 15% growth rate per year.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

● On October 1, 2022, the Company granted an aggregate of 1,600,000 stock options to certain employees of the Company, which are exercisable within four years from the date of grant at an exercise price of $0.10 per stock option. The options vest in 24 equal monthly instalments. The options were valued on the date of issue using the Black-Scholes option pricing model with the following assumptions: dividend yield 0%, discount rate 3.39%, expected volatility of 150% and an expected life of four years. The value attributed to these stock options was $117,591.

For the years ended October 31, 2023, and 2022, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
| | **Number** | **Weighted Average<br> Exercise Price** |
| Outstanding, October 31, 2021 | 5234720 | $0.19 |
| Granted | 8887778 | $0.30 |
| Exercised | (191070) | 0.16) |
| Expired | (1952) | 29.70) |
| Forfeited | (105000) | 0.29) |
| **Outstanding, October 31, 2022** | **13824476** | $**0.26** |
| Expired | (1463919) | 0.33) |
| Forfeited | (7108787) | 0.27) |
| **Outstanding, October 31, 2023** | **5251771** | $**0.22** |

---

At October 31, 2023, the following stock options were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each stock option held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number Outstanding** | **Exercise Price** | **Expiry Date** | **Number<br> Exercisable** |
| 457971 | $0.50 | November 9, 2023 | 457971 |
| 636900 | $0.39 | November 9, 2026 | 636900 |
| 1950000 | $0.30 | January 4, 2027 | 1500000 |
| 636900 | $0.16 | April 1, 2029 | 636900 |
| 1470000 | $0.10 | December 31, 2023 | 1470000 |
| 100000 | $0.10 | October 1, 2026 | 100000 |
| **5251771** |  |  | **4801771** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

As at October 31, 2023, the weighted average life of stock options outstanding was 2.31 years (October 31, 2022 – 4.62 years).

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the consolidated statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the year ended October 31, 2023, $387,225 (October 31, 2022 - $2,268,154) was recorded as share-based payments for stock options and $nil (October 31, 2022 - $12,966) was recorded as deferred financing charges relating to compensation options, which was reclassified to share issuance costs on November 9, 2021, upon the completion of the GTA RTO (Note 7b) and related subscription receipt financing (Note 7a).

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

The fair value of the stock options granted was determined using the Black-Scholes option pricing model with the assumptions:

---

| | | |
|:---|:---|:---|
|  | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share price | n/a | $0.085 - $0.25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exercise price | n/a | $0.10 - $0.50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected volatility | n/a | 150% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Expected weighted average stock option life  | n/a | 4.00 – 5.00 years |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected dividend yield | n/a |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected forfeiture rate | n/a |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Risk-free interest rate | n/a | 1.26% - 3.39% |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the years ended October 31, 2023 and 2022, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
| | **Number** | **Weighted Average Exercise Price** |
| Outstanding, October 31, 2021 | 3598483 | $0.16 |
| Granted | 10953010 | $0.33 |
| Exercised | (1237373) | $0.16 |
| **Outstanding, October 31, 2022** | **13314120** | $**0.33** |
| Granted | 2961907 | $0.15 |
| Expired | (2361110) | $0.16 |
| Cancelled | (50000) | $0.15 |
| **Outstanding, October 31, 2023** | **13864917** | $**0.32** |

---

At October 31, 2023, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number Outstanding** | **Exercise Price** | **Expiry Date** | **Number Exercisable** |
| 3939409 | $0.75 | November 9, 2023 | 3939409 |
| 5597051 | $0.15 | September 20, 2025 | 5597051 |
| 1366550 | $0.15 | October 12, 2025 | 1366550 |
| 2961907 | $0.15 | November 30, 2025 | 2961907 |
| **13864917** |  |  | **13864917** |

---

As at October 31, 2023, the weighted average life of warrants outstanding was 1.41 years (October 31, 2022 – 0.82 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the consolidated statements of loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves. For the year ended October 31, 2023, $nil (October 31, 2022 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**d)** **Restricted Share Units ("RSU")** 

On November 9, 2021, the remaining 764,280 RSUs vested of the original 1,273,000 RSUs granted on November 23, 2020. The Company issued an additional 3,184,500 RSUs with a fair value of $1,249,975. An aggregate of 4,203,540 of all RSUs were exercised upon the completion of the GTA RTO. See Note 7b. As at October 31, 2023, there were no RSUs issued and outstanding (October 31, 2022 – nil).

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 2,500,000 at $0.08 per restricted share units to the Company's CEO, which immediately vested into 2,500,000 common shares of the Company. See Note 14a and Note 15.

&nbsp;&nbsp;&nbsp;&nbsp;15. Related Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the years ended October 31, 2023, and 2022, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **Year ended October 31, 2023** | **Year ended October 31, 2022** |
| &nbsp;&nbsp;Management and director fees and salaries | $175933 | $167200 |
| &nbsp;&nbsp;Salaries included in general and administrative expenses in the Statements of Net Income (Loss) and Comprehensive Income (Loss) | 374593 | 603509 |
| &nbsp;&nbsp;Share-based payments | 204052 | 1641737 |
| &nbsp;&nbsp;Restricted share units | 200000 |  |
|  | $**954579** | $**2412446** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date.

For the years ended October 31, 2023, and 2022, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at October 31, 2023, included in trade and other receivables is $nil (October 31, 2022 - $2,552) owing to the Company from an officer of the Company.

As at October 31, 2023, included in accounts payable and other liabilities is $1,018 (October 31, 2022 – $101,717) in amounts payable to directors and officers of the Company. The amount is unsecured, non-interest bearing and due on demand.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;16. General and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | |
|:---|:---|:---|
| | **October** <br> **31, 2023**  | **October** <br> **31, 2022**  |
| &nbsp;&nbsp;Office and miscellaneous | $54188 | $178728 |
| &nbsp;&nbsp;Salaries and benefits | 291174 | 521822 |
| &nbsp;&nbsp;Professional fees | 355627 | 455302 |
| &nbsp;&nbsp;Insurance and bank | 41989 | 10728 |
|  | $**742978** | $**1166580** |

---

&nbsp;&nbsp;&nbsp;&nbsp;17. Income (Loss) Per Share

The calculation of basic and diluted loss per share was based on the following data:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Weighted average number of shares – basic:** | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;Issued common shares as at beginning of the period | 80231301 | 56368831 |
| &nbsp;&nbsp;Effect of common shares during the period | 4462686 | 16430295 |
|  | 84693987 | 72799126 |
| &nbsp;&nbsp;**Net income (loss) from continued operations** | $(1305374) | $(5163064) |
| &nbsp;&nbsp;**Net income (loss) from discontinued operations** | $10241790 | $(2255882) |
| &nbsp;&nbsp;**Net income (loss) for the year** | $8936416 | $(7418946) |
| &nbsp;&nbsp;**Net income (loss) per share – basic and diluted from continued operations** | $**(0.02)** | $**(0.07)** |
| &nbsp;&nbsp;**Net income (loss) per share – basic and diluted from discontinued operations** | $**0.12** | $**(0.03)** |
| &nbsp;&nbsp;**Net income (loss) per share basic and diluted** | $**0.10** | $**(0.10)** |

---

The basic income (loss) per share is computed by dividing the net income (loss) by the weighted average number of common shares outstanding during the period. The diluted income (loss) per share reflects the potential dilution of common share equivalents, such as stock options and share purchase warrants, in the weighted average number of common shares outstanding during the period, if dilutive. There were no dilutive stock options or share purchase warrants during the year ended October 31, 2023.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;18. Supplemental Disclosures with Respect to Cash Flows

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Cash paid for interest | $— | $— |
| &nbsp;&nbsp;Fair value of shares issued for debt |  | 181817 |
| &nbsp;&nbsp;Fair value of shares issued for convertible notes |  | 271195 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**19.** **Segmented Reporting** 

Segmented information by operating segment is as follows for the years ended October 31, 2023, and 2022:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;2023 | **Digital Entertainment** | **Betting Solutions** | **Total** |
| &nbsp;&nbsp;Revenues | $2 | $120565 | $120567 |
| &nbsp;&nbsp;Comprehensive income (loss) | (10614) | 10252404 | 10241790 |
| &nbsp;&nbsp;Non-current Assets |  |  |  |
| &nbsp;&nbsp;Total Assets |  |  |  |
| &nbsp;&nbsp;Total Liabilities |  |  |  |
| &nbsp;&nbsp;2022 | **Digital Entertainment** | **Betting Solutions** | **Total** |
| &nbsp;&nbsp;Revenues | $297209 | $60650 | $357859 |
| &nbsp;&nbsp;Comprehensive income (loss) | (313189) | (1942693) | (2255882) |
| &nbsp;&nbsp;Non-current Assets | 34932 | 1705741 | 1740673 |
| &nbsp;&nbsp;Total Assets | 358646 | 1737717 | 2096363 |
| &nbsp;&nbsp;Total Liabilities | (684756) | (478238) | (1162994) |

---

&nbsp;&nbsp;&nbsp;&nbsp;20. Capital Management

The Company considers its capital structure to consist of shareholders' equity, and government loan payable. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at October 31, 2023.

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;20. Capital management (continued)

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed. Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the year ended October 31, 2023.

21. Financial Instruments and Risk Management

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, trade and other receivables, short-term investments, accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, and short-terms investments are recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash and short-term investment are held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

The Company applies the simplified approach to provide for expected credit losses as prescribed by IFRS 9, which permits the use of lifetime expected loss provision for all trade receivables. The loss allowance is based on the Company's historical collection and loss experience and incorporates forward-looking factors, where appropriate. At October 31, 2023, the Company had recorded an expected credit loss of $nil (October 31, 2022 - $9,619).

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

21. Financial Instruments and Risk Management - continued

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2023** | **October 31,**<br> **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $219760 | $984740 |
|  | $**219760** | $**984740** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk primarily arises from financial instruments denominated in US dollars that are held in entities with a Canadian dollar functional currency. Conversely for the Tiidal NZ subsidiary who has a NZ dollar functional currency, currency risk primarily arises from financial instruments denominated in Canadian dollars that are held in Tiidal NZ.

The Company is exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and other liabilities that are denominated in US dollars. Therefore, a 10% appreciation or depreciation of the U.S. dollar against the Canadian dollar would have resulted in an approximate $3,000 (October 31, 2022 - $3,000) respectively, in net income (loss).

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2023 and 2022 to interest rate risk through its financial instruments.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

22. Discontinued Operations

On December 1, 2022, the Company discontinued the operations and disposed of the remaining assets of Lazarus Esports Inc. ("Lazarus Esports"). As a result, Lazarus Esports was classified as discontinued operations in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5").

Consolidated statements of income (loss) and comprehensive income (loss) from discontinued operations of Lazarus Esports for the years ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
| **Lazarus Esports** | **October 31, 2023** | October 31, 2022 |
|  | **$** | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of goods sold |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Gross Profit** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Player fees |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Player management |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest/accretion |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss |  |  |
| &nbsp;&nbsp;Total expenses |  |  |
| &nbsp;&nbsp;**Net loss from discontinued operations** |  |  |

---

Cash flows from discontinued operations of Lazarus for the years ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
| **Lazarus Esports** | **October 31, 2023** | October 31, 2022 |
|  | **$** | $ |
| &nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;Income (loss) from discontinued operations |  |  |
| &nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;Accounts receivable |  |  |
| &nbsp;&nbsp;Prepaid expenses |  |  |
| &nbsp;&nbsp;Trade and other payables |  |  |
| &nbsp;&nbsp;Total cash used by discontinued operations |  |  |
| &nbsp;&nbsp;**Change in net cash used in discontinued operations** |  |  |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

22. Discontinued Operations (continued)

On March 13, 2023, the Company announced that it and its wholly owned subsidiary, Tiidal Inc., have entered into a share sale and purchase agreement with Entain Holdings (UK) Limited ("Entain"), pursuant to which Tiidal Inc. will sell all of the shares of the Company's operating subsidiary, Tiidal NZ, to Entain ("Tiidal NZ Sale"). Tiidal Inc. agreed to sell all of the issued and outstanding shares of Tiidal NZ to Entain for gross proceeds of $13,250,000 in cash ("Purchase Price"), subject to standard transaction adjustments. Pursuant to the Tiidal NZ Sale, the Purchase Price will be retained by Tiidal in a holding account for 180 days (the "Holding Period"). During the Holding Period, Tiidal may access the funds to satisfy any working capital adjustment or claims brought by Entain and may access up to 20% of the funds to pay reasonable costs related to the Tiidal NZ Sale. The sale of Tiidal NZ closed on June 9, 2023.

The Company classified the operations as held for sale in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5") for the year ended October 31, 2023, and 2022.

Consolidated statements of income (loss) and comprehensive income (loss) from discontinued operations for the years ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
| **Tiidal NZ** | **October 31, 2023** | October 31, 2022 |
|  | **$** | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of goods sold |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Gross Profit** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Travel |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consulting |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss |  |  |
| &nbsp;&nbsp;Total expenses |  |  |
| &nbsp;&nbsp;Net loss before gain on sale and foreign currency translation adjustment |  |  |
| &nbsp;&nbsp;Gain on sale of Tiidal NZ |  |  |
| &nbsp;&nbsp;Foreign currency translation adjustment |  |  |
| &nbsp;&nbsp;**Net income (loss) from discontinued operations** |  |  |

---

Cash flows from discontinued operations for the year ended October 31, 2023, and 2022 are comprised of the following:

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

22. Discontinued Operations (continued)

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Tiidal NZ** | **October 31, 2023** | October 31, 2022 |
|  | **$** | $ |
| &nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;Income (loss) from discontinued operations |  |  |
| &nbsp;&nbsp;Depreciation |  |  |
| &nbsp;&nbsp;Amortization on intangibles |  |  |
| &nbsp;&nbsp;Accretion expense |  |  |
| &nbsp;&nbsp;Foreign exchange |  |  |
| &nbsp;&nbsp;Cash for deferred revenue |  |  |
| &nbsp;&nbsp;Gain on sale |  |  |
| &nbsp;&nbsp;Foreign currency translation |  |  |
| &nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;Accounts receivable |  |  |
| &nbsp;&nbsp;Prepaid expenses |  |  |
| &nbsp;&nbsp;Trade and other payables |  |  |
| &nbsp;&nbsp;**Change in net cash used in discontinued operations** |  |  |
| &nbsp;&nbsp;**Cash flow used in investing activities** |  |  |
| &nbsp;&nbsp;Acquisition of property and equipment |  |  |
| &nbsp;&nbsp;**Cash flow used in investing activities from discontinued operations** |  |  |
| &nbsp;&nbsp;**Cash flow provided by financing activities** |  |  |
| &nbsp;&nbsp;Lease payments |  |  |
| &nbsp;&nbsp;Cash from interco transactions |  |  |
| &nbsp;&nbsp;Proceeds from loan payable |  |  |
| &nbsp;&nbsp;**Net cash provided by financing activities in discontinued operations** |  |  |

---

A reconciliation of the gain on the sale of Tiidal NZ to Entain is as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross proceeds | $13250000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Working capital adjustments | (1002518) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange loss | (60357) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds received | $12187125 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: net carrying value of Tiidal NZ assets held for sale as at | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: net carrying value of Tiidal NZ assets held for sale as at |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;June 8, 2023 | (215662) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: final working capital adjustment | (118797) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: legal fees | (196542) |
| &nbsp;&nbsp;**Gain on sale of Tiidal NZ** | $**11656124** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

23. Income taxes

The reconciliation of the combined Canadian federal and provincial statutory income tax rate of 26.5% (2022 – 26.5%) to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Net loss from continuing operations | $(1305374) | $(5163064) |
| &nbsp;&nbsp;Expected income tax (recovery) expense | (345920) | (1368212) |
| &nbsp;&nbsp;Effect of RTO transaction |  | (1365570) |
| &nbsp;&nbsp;Share-based payments and other non-deductible expenses | 153800 | 660300 |
| &nbsp;&nbsp;Listing expense |  | 325430 |
| &nbsp;&nbsp;Share issuance cost booked directly to equity | (13030) | (187220) |
| &nbsp;&nbsp;Tiidal NZ sale | 1573000 |  |
| &nbsp;&nbsp;Difference in tax rates |  | (28060) |
| &nbsp;&nbsp;Change in tax benefits not recognized | (1367850) | 1963332 |
| &nbsp;&nbsp;Total income tax (recovery) | $— | $— |

---

The following table summarizes the components of deferred tax:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Deferred tax assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating tax losses carried forward | $5500 | $6610 |
|  | 5500 | 6610 |
| &nbsp;&nbsp;Deferred tax liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CEBA loan | $(5500) | $(6610) |
|  | (5500) | (6610) |
| &nbsp;&nbsp;Net deferred tax liability | $— | $— |

---

Deferred tax assets and liabilities have been offset where they relate to income tax levied by the same taxation authority and the Company has the legal right to offset.

Unrecognized deferred tax assets

Deferred taxes are provided as a result of temporary differences that arise due to the differences between the income tax values and the carrying amount of assets and liabilities. Deferred tax assts have not been recognized in respect of the following deductible temporary differences:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Equipment | $121270 | $116190 |
| &nbsp;&nbsp;Intangible assets | 627140 | 594660 |
| &nbsp;&nbsp;Share issuance costs | 668060 | 400650 |
| &nbsp;&nbsp;Operating tax losses carried forward | 6831270 | 5889536 |
| &nbsp;&nbsp;Operating tax losses carried forward - USA | 32390 | 15882 |
|  | $8280130 | $7056918 |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

23. Income Taxes - continued

The Canadian operating tax loss carry forwards expire as noted in the table below. The remaining deductible temporary differences may be carried forward indefinitely. Deferred tax assets have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom.

The Company's Canadian operating tax losses expire as follows:

---

| | |
|:---|:---|
| 2027 | $180 |
| 2028 | 58930 |
| 2029 | 86330 |
| 2030 | 76060 |
| 2031 | 260600 |
| 2032 | 623530 |
| 2033 | 838410 |
| 2034 | 753650 |
| 2035 | 636460 |
| 2036 | 584450 |
| 2037 | 395630 |
| 2038 | 424980 |
| 2039 | 317860 |
| 2040 | 88720 |
| 2041 | 88810 |
| 2042 | 853560 |
| 2043 | 743110 |
|  | $6831270 |

---

**24.** **Subsequent Events** 

On November 2, 2023, the Company announced that, further to its previously communicated release on October 30, 2023, it has launched its substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation all of its issued and outstanding common shares, being 87,603,908 for aggregate cash consideration of up to $10,731,479 or $0.1225 per share.

On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 83,256,650 common shares of the Company at a price of $0.1225 per share pursuant to it substantial issuer bid. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding number of shares.

On December 15, 2023, the Company announced cancellation of 1,570,000 options of the Company that had an exercise price of $0.10 per Share for consideration of $0.0225 per in-the-money-option, representing the difference between the exercise price of the in-the-money options and the purchase price under the offer for aggregate consideration equal to approximately $35,325.

**TIIDAL GAMING GROUP CORP.**

**(FORMERLY GTA FINANCECORP INC.)**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the years ended October 31, 2023, and 2022**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for Tiidal Gaming Group Corp. (formerly GTA Financecorp Inc.) (the "Company" or "Tiidal"). This MD&A should be read in conjunction with the Company's audited consolidated financial statements and notes for the years ended October 31, 2023, and 2022.

The Company's audited consolidated financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC") and are reported in Canadian dollars unless otherwise noted.

Tiidal is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on February 8, 2024.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at October 31, 2023:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp; **Name of subsidiary**<br>| &nbsp;&nbsp; **Jurisdiction** <br> **Incorporated**  | &nbsp;&nbsp; **Functional Currency**<br>| &nbsp;&nbsp; **Accounting Method**<br>|
| &nbsp;&nbsp; Tiidal Gaming Holdings Inc. <br> (formerly Tiidal Gaming Group Inc.)  | &nbsp;&nbsp; Canada<br>| &nbsp;&nbsp; Canadian dollars<br>| &nbsp;&nbsp; Consolidation<br>|
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;USA | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;GTA GW Mergeco Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp; Tiidal Gaming NZ Limited<br>| &nbsp;&nbsp; New Zealand<br>| &nbsp;&nbsp; New Zealand dollars<br>| &nbsp;&nbsp; Consolidation until June 8, 2023  |

---

Tiidal Gaming Group Corp. (formerly GTA Financecorp Inc.) (the "Company" or "Tiidal Corp.") was incorporated pursuant to the provisions of the Business Corporations Act (Ontario) on August 9, 2006. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 365 Bay Street, Suite 800, Toronto, Ontario M5H 2V1. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink.

On November 9, 2021, the Company completed a transaction that resulted in a reverse takeover ("GTA RTO") of the Company by the shareholders of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) ("Tiidal Inc."). See Note 7c. The Company changed its name to "Tiidal Gaming Group Corp." and effect a consolidation of the common shares on the basis of 11.2678 pre-consolidation common shares into one new post-consolidation common shares. Tiidal Inc., was incorporated under the Business Corporations Act of Ontario on October 22, 2018. Tiidal Inc. amalgamated with 2852773 Ontario Inc. ("GTA Subco") prior to completion of the GTA RTO transaction on November 9, 2021.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

On November 2, 2023, the Company announced that, further to its previously communicated release on October 30, 2023, it has launched its substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation all of its issued and outstanding common shares, being 87,603,908 for aggregate cash consideration of up to $10,731,479 or $0.1225 per share.

On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 83,256,650 common shares of the Company at a price of $0.1225 per share pursuant to it substantial issuer bid. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding number of shares.

**Overall Performance**

<u>Going Public and Financing Transactions</u>

The Company completed the process of going public through the completion of the GTA RTO on November 17, 2021.

On July 12, 2021, the Company officially entered into the Definitive Agreement and on November 9, 2021, the GTA RTO transaction closed. The resulting issuer's shares trade on the Canadian Securities Exchange under the symbol "TIDL".

The Company increased its cash position in connection with going public through an RTO. On July 13, 2021, the Company closed a non-brokered financing of 3,576,364 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,788,181 and a brokered financing of 2,971,000 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,485,500. As part of the GTA RTO, Tiidal split its common shares on the basis of one pre-share split Tiidal common share for 1.2738 post-share split Tiidal common share. Each subscription receipt was, upon satisfaction of the escrow release conditions, automatically converted into one unit of Tiidal, with each unit being comprised of one post-share split common share and one-half of one post-share split warrant. Each warrant will entitle the holder to purchase one post-share split common share for a period of 24 months following the conversion date at a price of $0.75.

On July 13, 2021, $3,257,408 from the subscription receipt financing was transferred to TSX Trust Company to be released upon the satisfaction of escrow conditions, including the GTA RTO transaction.

On October 7, 2021, the Company closed a second tranche of a non-brokered financing of 296,970 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $148,485. The subscription receipts have the same terms and escrow conditions as the first tranche which closed on July 13, 2021, as noted above. $148,485 in gross proceeds from the second tranche of the subscription financing were transferred to TSX Trust.

On November 9, 2021, upon satisfaction of the escrow release conditions, the proceeds from the subscription receipts were transferred to the Company's unrestricted bank account.

The Company issued 346,890 subscription receipts to the agents in connection with the financing and issued 457,970 compensation options to the agents upon satisfaction of the escrow conditions. Each compensation option will be exercisable for one post-share split common share or one Resulting Issuer Share (subject to any necessary adjustments), as applicable, $0.50 for a period of 24 months following the satisfaction of the escrow release conditions.

As at October 31, 2021, $136,159 in finance fees and $28,600 in HST were paid directly from the gross proceeds to agents in the private placement and $173,445 in financing charges were paid through 346,890 subscriptions in lieu of cash.

For the year ended October 31, 2022, the Company recognized the remaining $12,966 in financing charges for the 457,970 compensation stock options issued during the year ended October 31, 2021. The Company recognized an aggregate of $481,043 from deferred financing charges upon completion of the GTA RTO and paid an additional aggregate of $14,134 in share issuance costs.

On September 20, 2022, the Company closed a non-brokered financing of 5,619,051 units for gross proceeds of $561,905. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $0.15 per common share for a period of 36 months following the closing date. Insiders participated in the round in the following manner:

On October 11, 2022, the Company closed a non-brokered private placement and issued an aggregate of 1,331,550 common shares at $0.10 per share for gross proceeds of $133,155.

On December 1, 2022, the Company closed a non-brokered private placement financing of 2,029,600 units at a price of $0.10 per unit for gross proceeds of $202,960. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $0.15 per common share for a period of 36 months following the closing date. The Company issued 932,307 common shares to settle $93,231 in accounts payable.

On June 9, 2023, the Company issued 1,910,700 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 2,500,000 restricted share units to the Company's CEO, which immediately vested into 2,500,000 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange approvals. There can be no assurances that any such options will be implemented by the Company.

<u>Net and Comprehensive Loss</u>

The Company's net income for the year ended October 31, 2023, was $8,936,416 (October 31, 2022, net loss - $7,418,964).

The Company's comprehensive income for the year ended October 31, 2023, was $9,109,757 (October 31, 2022, net loss - $7,668,883).

The increase in income year over year was due mainly to the closure of the Lazarus subsidiary and the sale of the Sportsflare subsidiary.

**Going Concern**

These audited consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $6,864,889 at October 31, 2023 (October 31, 2022 – $15,801,305). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Revenues | $— | $— |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 1541997 | 3947269 |
| &nbsp;&nbsp;Net income (loss) | 8936416 | (7418964) |
| &nbsp;&nbsp;Comprehensive income (loss) | 9109757 | (7668883) |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | 0.10 | (0.10) |
| &nbsp;&nbsp;Total assets | 11127868 | 2096363 |
| &nbsp;&nbsp;Total liabilities | 259010 | 1162994 |

---

**Results of Operations for the year ended October 31, 2023, and 2022**

*Expenses*

The Company's operating expenses for the year ended October 31, 2023, were $1,541,997, compared to $3,947,269 for the year ended October 31, 2022.

General and administrative expenses decreased to $742,978 for the year ended October 31, 2023, from $1,166,580 in the year ended October 31, 2022. These costs consist primarily of salaries and office expenses incurred by corporate and legal costs related to the sale of Sportsflare.

Share based payments costs decreased to $578,725 for the year ended October 31, 2023, from $2,268,154 in the year ended October 31, 2022. The decrease in share-based payments as a result of stock options issued in the prior year and automatic vesting of RSUs upon completion of the GTA RTO, and the granting of new stock options to employees during 2022.

*General and administrative expenses*

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office and miscellaneous | $54188 | $178728 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and benefits | 291174 | 521822 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 355627 | 455302 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insurance and bank | 41989 | 10728 |
|  | $742978 | $1166580 |

---

For the year ended October 31, 2023, the Company's general and administrative expenses decreased by $423,602. The largest component of that decrease relates to reduction in staff related to administration and consulting. Office and miscellaneous expenses decreased by $124,540 for the year ended October 31, 2023. This was mainly the due to reduced travel. Professional fees decreased by $99,675 for the year ended October 31, 2023, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **October 31,**<br> **2023** | **July 31,**<br> **2023** | **April 30,**<br> **2023** | **January 31,**<br> **2023** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (220056) | 11045537 | (952171) | (936894) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | $0.00 | $0.13 | 0.01) | 0.01) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 84693987 | 85713748 | 83193208 | 82216755 |
|  | **October 31,**<br> **2022** | **July 31,**<br> **2022** | **April 30,**<br> **2022** | **January 31,**<br> **2022** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net loss | (1308489) | (1085175) | (1180865) | (3884785) |
| &nbsp;&nbsp;Loss per share - basic and diluted | 0.01) | 0.02) | (0.01) | (0.05) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 72799126 | 72605792 | 72043327 | 71783735 |

---

**Liquidity and Capital Resources**

As at October 31, 2023, the Company had working capital of $10,908,108 (October 31, 2022 – working capital deficiency of ($676,596), consisting primarily of cash, trade and other receivables, and prepaid expenses and deposits, offset by accounts payable and lease liability. Working capital increased due to the Company selling its Sportsflare division and holding that cash in short term investments.

**Cash Flows**

A summary of cash flows for the year ended October 31, 2023, and 2022 is as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **2023** | **2022** | **Change** |
| &nbsp;&nbsp;Operating activities | $(1124994) | (2212464) | 1087470 |
| &nbsp;&nbsp;Discontinued operations | (241056) | (1827211) | 1586155 |
| &nbsp;&nbsp;Investing activities | 1273773 | 6802 | 1266971 |
| &nbsp;&nbsp;Financing activities | 153776 | 4062014 | (3908238) |
| &nbsp;&nbsp;Effect on FX on cash | 1543 | (35841) | 37384 |
| &nbsp;&nbsp;Change in cash | $63042 | (6700) | 69742 |

---

*Operating Activities*

For the year ended October 31, 2023, operating activities used $1,124,994 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses.

*Investing Activities*

For the year ended October 31, 2023, investing activities consisted of the purchase of short-term investments.

*Financing Activities*

For the year ended October 31, 2023, financing activities consisted of share issuances less share issuance costs.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at October 31, 2023 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the year ended October 31, 2023, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **Year ended**<br> **October 31, 2023** | **Year ended**<br> **October 31, 2022** |
| Management and director fees | $175933 | $167200 |
| Salaries | 374593 | 603509 |
| Share-based payments | 204052 | 1641737 |
| Restricted share units | 200000 |  |
|  | $**954579** | $**2412446** |

---

For the year ended October 31, 2023, the Company incurred $240,000 (October 31, 2022 - $190,000) in salaries to Thomas Hearne, CEO and Director.

**Due to/from Related Parties**

As at October 31, 2023, included in accounts payable and other liabilities is $1,018 (October 31, 2022 – $101,717) in amounts payable to directors and officers of the Company.

**Proposed Transactions**

As at the date of this MD&A, the Company has no proposed transactions.

**Commitments**

As at October 31, 2023, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, restricted cash, trade and other receivables, accounts payable and other liabilities, subscription liability, promissory notes payable, and convertible notes approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at October 31, 2023 and 2022, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $219760 | $984740 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability (current) |  | 47546 |
|  | $**219760** | $**1032286** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities that are denominated in US dollars.

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2023 and October 31, 2022 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at October 31, 2023:

---

| | | |
|:---|:---|:---|
| | **October 31, 2023** | **February 8, 2024** |
| Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 80231301 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subscription receipts financing |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;December 1, 2022 | 2961907 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vesting of RSUs | 2500000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Milestone shares | 1910700 |  |
| Outstanding common shares of the Resulting Issuer | 87603908 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares repurchased via Share Issuer Bid |  | (83256650) |
| Outstanding common shares | 87603908 | 4347258 |
| Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent shares |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 13864917 | 13864917 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock options | 5251771 | 3681771 |
| Fully diluted total | 106788297 | 109750204 |

---

As at October 31, 2023, the following stock options were outstanding, entitling the holders thereof the right to purchase one common share for each option held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number Outstanding** | **Exercise Price** | **Expiry Date** | **Number Exercisable** |
| 457971 | $0.50 | November 9, 2023 | 457971 |
| 636900 | $0.39 | November 9, 2026 | 636900 |
| 1950000 | $0.30 | January 4, 2027 | 1500000 |
| 636900 | $0.16 | April 1, 2029 | 636900 |
| 1470000 | $0.10 | December 31, 2023 | 1470000 |
| 100000 | $0.10 | October 1, 2026 | 100000 |
| 5251771 |  |  | 4801771 |

---

As at the date of this report, the following stock options were outstanding, entitling the holders thereof the right to purchase one common share for each option held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number Outstanding** | **Exercise Price** | **Expiry Date** | **Number Exercisable** |
| 457971 | $0.50 | November 9, 2023 | 457971 |
| 636900 | $0.39 | November 9, 2026 | 636900 |
| 1950000 | $0.30 | January 4, 2027 | 1500000 |
| 636900 | $0.16 | April 1, 2029 | 636900 |
| 3681771 |  |  | 3231771 |

---

At October 31, 2023 the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | **Expiry Date** | **Number Vested** |
| 3939409 | $0.75 | Nov 9, 2023 | 3939409 |
| 5597051 | $0.15 | Sept 20, 2025 | 5597051 |
| 1366550 | $0.15 | Oct 12, 2025 | 1366550 |
| 2961907 | $0.15 | Nov 30, 2025 | 2961907 |
| 13864917 |  |  | 13864917 |

---

**Subsequent Events**

On November 2, 2023, the Company announced that, further to its previously communicated release on October 30, 2023, it has launched its substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation all of its issued and outstanding common shares, being 87,603,908 for aggregate cash consideration of up to $10,731,479 or $0.1225 per share.

On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 83,256,650 common shares of the Company at a price of $0.1225 per share pursuant to it substantial issuer bid. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding number of shares.

On December 15, 2023, the Company announced cancellation of 1,570,000 options of the Company that had an exercise price of $0.10 per Share for consideration of $0.0225 per in-the-money-option, representing the difference between the exercise price of the in-the-money options and the purchase price under the offer for aggregate consideration equal to approximately $35,325.

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The Company is relatively new with limited operating history and operates in the emerging industry of Esports. The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Dependence on Industry and Player Popularity**

The esports industry is in the early stages of its development. Although the esports industry has experienced rapid growth, consumer preferences may shift and there is no assurance that this growth will continue in the future. The Company's has taken steps to diversify its business and mitigate these risks to an extent and continues to seek out new opportunities in the esports and gaming industries. However, due to the rapidly evolving nature of technology and online gaming, the esports industry may experience volatile and declining popularity as new options for online gaming and esports become available, or consumer preferences shift to other forms of entertainment, and as a consequence, the Company's business and results of operations may be materially negatively affected. The Company's financial results may also depend on the popularity of the players, influencers and other on-screen talent that will provide services to the Company. Such individuals can impact online viewership and television ratings, which in turn could affect the long-term value of the media rights and sponsorship opportunities available to the Company. There can be no assurance that the Company's players, influencers and other on-screen talent will develop or maintain continued popularity.

**Competition and Changes in Technology**

The Company must compete with other esports organizations, in varying respects and degrees. For example, the Company will be in competition with other esports teams streamers, and other forms of digital entertainment as well as established and start-up B2B data companies. As a result of the large number of options available and global nature of the online gaming industry, the Company faces strong competition for esports competitors and fans. Given the nature of esports, there can be no assurance that the Company will be able to compete effectively, including with companies that may have greater resources than the Company has and as a consequence, the Company's business and results of operations may be materially, negatively affected.

Current and potential competitors have established or may establish cooperative relationships amongst themselves or with third parties to compete more effectively. Existing and potential competitors may also develop enhancements to, or future generations of, competitive products and services that will have better performance features than the Company's products and services. As a result of the early stage of the industry in which the Company operates, it expects to face additional competition from new entrants. To remain competitive, the Company will require a continued high level of investment in research and development, marketing, sales and client support. The Company may not have sufficient resources to maintain research and development, marketing, sales and client support efforts on a competitive basis which could materially and adversely affect the business, financial condition and results of operations of the Company.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**The online gaming industry is heavily regulated**

While the Company does not presently require licenses for its technology offerings in the betting sector based on current operations as a business-to-business data offering that does not directly interact with end-customers, the regulation around betting is evolving rapidly and that may change in the future. The Company and its officers, directors, major shareholders, key employees and business partners will generally be subject to the laws and regulations relating to online gaming of the jurisdictions in which the Company may conduct business, as well as the general laws and regulations that apply to all e-commerce businesses, such as those related to privacy and personal information, tax and consumer protection. These laws and regulations vary from one jurisdiction to another and future legislative and regulatory action, court decisions or other governmental action, which may be affected by, among other things, political pressures, attitudes and climates, as well as personal biases, may have a material impact on the Company's operations and financial results.

In particular, some jurisdictions have introduced regulations attempting to restrict or prohibit online gaming, while others have taken the position that online gaming should be licensed and regulated and have adopted or are in the process of considering legislation to enable that to happen. Even where a jurisdiction purports to license and regulate online gaming, the licensing and regulatory regimes can vary considerably in terms of their business-friendliness and at times may be intended to provide incumbent operators with advantages over new licensees. As such, some "liberalized" regulatory regimes are considerably more commercially attractive than others.

Regulatory regimes imposed upon gaming providers vary by jurisdiction. Typically, however, most regulatory regimes include the following elements:

● a requirement for gaming license applicants to make detailed and extensive disclosures as to their beneficial ownership, their source of funds, the probity and integrity of certain persons associated with the applicant, the applicant's management competence and structure and business plans, the applicant's proposed geographical territories of operation and the applicant's ability to operate a gaming business in a socially responsible manner in compliance with regulation;

● Interviews and assessments by the relevant gaming authority intended to inform a regulatory determination of the suitability of applicants for gaming licenses;

● Ongoing reporting and disclosure obligations, both on a periodic and ad hoc basis in response to material issues affecting the business;

● The testing and certification of software and systems, generally designed to confirm such things as the fairness of the gaming products offered by the business, their genuine randomness and ability accurately to generate settlement instructions and recover from outages;

● The need to account for applicable gaming duties and other taxes and levies, such as fees or contributions to bodies that organize the sports on which bets are offered, as well as contributions to the prevention and treatment of problem gaming; and

● Social responsibility obligations.

Any gaming license may be revoked, suspended or conditioned at any time, and the industry has recently experienced significantly more enforcement actions, particularly in Great Britain, where the Gambling Commission has issued fines against numerous operators for regulatory failings. The loss of a gaming license in one jurisdiction could trigger the loss of a gaming license or affect the Company's eligibility for such a license in another jurisdiction, and any of such losses, or potential for such loss, could cause the Company to cease offering some or all of its product offerings in the impacted jurisdictions. The Company may be unable to obtain or maintain all necessary registrations, licenses, permits or approvals, and could incur fines or experience delays related to the licensing process, which could adversely affect its operations. The determination of suitability process may be expensive and time-consuming. The Company's delay or failure to obtain gaming licenses in any jurisdiction may prevent it from distributing its product offerings, increasing its customer base and/or generating revenues in that jurisdiction. A gaming regulatory body may refuse to issue or renew a gaming license if the Company, or one of its directors, officers, employees, major shareholders or business partners: (i) are considered to be a detriment to the integrity or lawful conduct or management of gaming, (ii) no longer meet a licensing or registration requirement, (iii) have breached or are in breach of a condition of licensure or registration or an operational agreement with a regulatory authority, (iv) have made a material misrepresentation, omission or misstatement in an application for licensure or registration or in reply to an inquiry by a person conducting an audit, investigation or inspection for a gaming regulatory authority, (v) have been refused a similar gaming license in another jurisdiction, (vi) have held a similar gaming license in that province, state or another jurisdiction which has been suspended, revoked or cancelled, or (vii) has been convicted of an offence, inside or outside of a particular jurisdiction that calls into question the honesty or integrity of the Company or any of its directors, officers, employees or associates.

**Cybersecurity risks**

The Company's operations involve the storage and transmission of customer data, including personally identifiable information, and security incidents could result in unauthorized access to, the loss of, or unauthorized disclosure of such information. To mitigate cybersecurity risks, the Company has built a technical team headed by Christopher Herrmann, which has designed and maintains the Company's technology platform from a security perspective. The Company does not currently have cybersecurity insurance. Although the Company has security systems in place and what it deems sufficient security around its system to prevent unauthorized access, it must ensure that it continually enhances security and fraud protection within its platform, and if the Company is unable to do so it may become subject to liability for privacy breaches or consequences that result from any unanticipated incident. As a result of advances in computer capabilities, new discoveries in the field of cryptography or other developments, a compromise or breach of the Company's security precautions may occur. The techniques used to obtain unauthorized, improper or illegal access to the Company's systems, data or customers' data and to sabotage its system are constantly evolving and may be difficult to detect quickly. An information breach in the Company's system and loss of confidential information such as credit card numbers and related information, or interruption in the operation of the Company's applications, could have a longer and more significant impact on the Company's business operations than any hardware failure. A compromise in the Company's security system could severely harm its business by the loss of its customers' confidence in it and thus the loss of their business. The Company may be required to spend significant funds and other resources to protect against the threat of security breaches or to alleviate problems caused by these breaches. However, protection may not be available at a reasonable price, or at all. Any failure to adequately comply with necessary protective measures could result in fees, penalties and/or litigation. Concerns regarding the security of e-commerce and the privacy of customers may also inhibit the growth of the Internet as a means of conducting commercial transactions, which may result in a reduction in revenues and increase operating expenses preventing the Company from achieving profitability.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The British Columbia Business Corporations Act ("BCBCA") provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

**SCHEDULE "G"**

**INFORMATION CONCERNING THE SPINOUT ENTITIES**

***The following information provided by 1507651 B.C. Ltd. ("651"), 1507652 B.C. Ltd. ("652"), 1507653 B.C. Ltd. ("653"), 1507655 B.C. Ltd. ("655"), 1510450 B.C. Ltd. ("450"), 1510441 B.C. Ltd. ("441") and 1510435 B.C. Ltd. ("435" and together with 651, 652, 653, 55, 450 and 441 the "Spinout Entities"), is presented on a post-Arrangement basis and is reflective of the proposed business, financial and share capital position of each of the Spinout Entities. Unless otherwise indicated, all currency amounts are stated in Canadian dollars.***

Terms used herein but not otherwise defined shall have the meaning ascribed to such term in the arrangement agreement dated November 18, 2024 (the "**Arrangement Agreement**") among WBM Capital Corp. ("**WBM**") and the Spinout Entities.

**NAME AND INCORPORATION**

651 was incorporated under the BCBCA on October 21, 2024. 651 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 651's articles or other constating documents since its incorporation.

651's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

652 was incorporated under the BCBCA on October 21, 2024. 652 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 652's articles or other constating documents since its incorporation.

652's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

653 was incorporated under the BCBCA on October 21, 2024. 653 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 653's articles or other constating documents since its incorporation.

653's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

655 was incorporated under the BCBCA on October 21, 2024. 655 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 655's articles or other constating documents since its incorporation.

655's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

450 was incorporated under the BCBCA on November 6, 2024. 450 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 450's articles or other constating documents since its incorporation.

450's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

441 was incorporated under the BCBCA on November 6, 2024. 441 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 441's articles or other constating documents since its incorporation.

441's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

435 was incorporated under the BCBCA on November 6, 2024. 435 is currently a wholly-owned subsidiary of WBM. No material amendments have been made to 435's articles or other constating documents since its incorporation.

435's registered and records office, head and principal business address are all located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

**GENERAL DESCRIPTION OF THE BUSINESS**

After completion of the Arrangement, the Spinout Entities will be separate unlisted entities. The Spinout Entities currently have no material assets (other than the cash proceeds of the share subscriptions and shareholder loans made by WBM) and do not conduct any active business. Upon completion of the Plan of Arrangement, the Spinout Entities will not have any operations and will not conduct any active business, other than the identification and evaluation of acquisition opportunities to permit the Spinout Entities to acquire a business or assets in order to conduct commercial operations. This will likely involve the raising of additional funds in order to carry on its business and to finance an acquisition. The Spinout Entities may use cash, bank financing, the issuance of treasury shares, public debt or equity financing or a combination thereof in order to finance its business and an acquisition.

The Spinout Entities have not selected a business sector or industry in which to pursue an acquisition as of the date hereof. The Spinout Entities will consider acquisitions of businesses operated or located both inside and outside of Canada. The Spinout Entities were only recently incorporated and have no history of earnings.

The success of each of the Spinout Entities is largely dependent upon factors beyond such entity's control. See "*Risk Factors"*.

**INTERCORPORATE RELATIONSHIPS**

The Spinout Entities currently have no subsidiaries.

**GENERAL DEVELOPMENT OF THE BUSINESS – THREE YEAR HISTORY**

651, 652, 653 and 655 were incorporated on October 21, 2024 and have had no business operations to date. On October 21, 2024, each of 651, 652, 653 and 655 received a shareholder loan from WBM in the amount of $7,000.00.

450, 441 and 435 were incorporated on November 6, 2024 and have had no business operations to date. On November 6, 2024, each of 450, 441 an d435 received a shareholder loan from WBM in the amount of $7,000.00.

**SIGNIFICANT ACQUISITIONS AND DISPOSITIONS**

The Spinout Entities have not completed a financial year. The future operating results and financial position of the Spinout Entities cannot be predicted.

**TRENDS**

Management is not aware of any trend, commitment, event or uncertainty that is both presently known to management and reasonably expected to have a material effect on the Spinout Entities business, financial condition or results of operations as at the date of the Circular, except as otherwise disclosed herein or except in the ordinary course of business.

**SELECTED UNAUDITED PRO-FORMA FINANCIAL INFORMATION OF EACH OF THE SPINOUT ENTITIES**

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**SPINOUT ENTITIES** | **As at November 25, 2024** |
| &nbsp;&nbsp;Current assets | $7000.00 |
| &nbsp;&nbsp;Total assets | $7000.00 |
| &nbsp;&nbsp;Total liabilities | $7000.00 |
| &nbsp;&nbsp;Shareholders' equity | $0.01 |

---

**DESCRIPTION OF THE SPINCO COMMON SHARES**

The authorized capital of the Spinout Entities consists of an unlimited number of common shares. On completion of the Arrangement, it is anticipated that there will be one common share ("**Spinout Common Shares**") outstanding, in each of the Spinout Entities.

**Dividend Policy**

The Spinout Entities have not paid dividends since incorporation. The Spinout Entities currently intend to retain all available funds, if any, for use in its business and does not anticipate paying any dividends for the foreseeable future.

**Voting and Other Rights**

Holders of Spinout Common Shares are entitled to one vote per share at all meetings of shareholders of the Spinout Entities, to receive dividends as and when declared by the directors and to receive a pro rata share of the assets of the Spinout Entities available for distribution to holders of Spinout Common Shares in the event of liquidation, dissolution or winding up of the Spinout Entities. All rank *pari passu*, each with the other, as to all benefits which might accrue to the holders of common shares of each Spinout Entity.

**CAPITALIZATION**

None of the Spinout Entities has completed a financial year. Other than the cash proceeds received for the subscription of shares and a $7,000 shareholder loan to each Spinout Entity by WBM, there have not been any material changes in the capital of the Spinout Entities since the dates of incorporation.

**OPTIONS AND OTHER RIGHTS TO PURCHASE SHARES**

The board of directors of each of the Spinout Entities (the "**Spinout Boards**") has adopted a stock option plan (the "**Spinout Entity Plan**"). The purpose of each of the Spinout Entity Plans is to allow each Spinout Entity to grant awards to directors, officers, employees and consultants, as additional compensation, and as an opportunity to participate in the success of each of the Spinout Entities. The granting of such awards is intended to align the interests of such persons with that of the shareholders.

As at the date hereof, no stock options have been granted under the Spinout Entity Plans or otherwise since incorporation.

The full text of the Spinout Entity Plans are available for viewing at the office of each of the Spinout Entities at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3.

**PRIOR SALES**

Other than the one common share issued by each of the Spinout Entities to WBM on incorporation, the Spinout Entities have not issued any common shares.

**ESCROWED SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL RESTRICTION ON TRANSFER**

None of the Spinout Common Shares are currently held in escrow or subject to a contractual restriction on transfer and upon completion of the Arrangement and no Spinout Common Shares will be held in escrow on completion of the Arrangement.

**RESALE RESTRICTIONS**

See "*Canadian Securities Laws and Resale of Securities*" in the Circular.

There is currently no market through which any of the Spinout Common Shares may be sold and, unless the Spinout Common Shares are listed on a stock exchange, shareholders may not be able to resell the Spinout Common Shares.

**PRINCIPAL SECURITYHOLDERS**

As at the date of this Circular, to the knowledge of Spinout Entities' directors and executive officers, the only persons who, or corporations or other entities which, will beneficially own, or control or direct, directly or indirectly, Spinout Common Shares carrying 10% or more of the voting rights attaching to all issued and outstanding Spinout Common Shares, following completion of the Plan of Arrangement, are:

---

| | | |
|:---|:---|:---|
| **Person** | **Number of Common Shares beneficially owned, directly or indirectly**  | **Percentage of the voting rights attached to the Common Shares**<br>|
| Triforce Ventures, SA  | 1 common share in each of the Spinout Entities | 100%<br>|

---

**DIRECTORS AND OFFICERS**

The following table sets forth certain information with respect to each proposed director and executive officer of the Spinout Entities, each of whom is a director of WBM.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp; **Name, Jurisdiction of Residence and Position(s)<sup>1</sup>** | &nbsp;&nbsp; **Principal Occupation<sup>1</sup>** | &nbsp;&nbsp; **Percentage of Spinout Common Shares Issued and Outstanding Immediately following the completion of the Arrangement** |
| &nbsp;&nbsp; **Carlo Rigillo** *Chief Executive Officer and Director*<br>Ontario, Canada  | &nbsp;&nbsp; Chartered Professional Accountant<br>&nbsp;&nbsp; NIL<br>| &nbsp;&nbsp; N/A<br>|
| &nbsp;&nbsp; **Fraser Hartley** <br> *Director*<br>British Columbia, Canada  | &nbsp;&nbsp; Lawyer at Edwards, Kenny and Bray LLP<br>&nbsp;&nbsp; NIL<br>| &nbsp;&nbsp; N/A<br>|
| &nbsp;&nbsp; **Dennis Beker** <br> *Director*<br>Ontario, Canada  | &nbsp;&nbsp; Lawyer at Founders LLP<br>&nbsp;&nbsp; NIL<br>| &nbsp;&nbsp; N/A<br>|

---

Upon the completion of the Arrangement, none of the directors and executive officers of the Spinout Entities are expected to beneficially own, directly or indirectly, or exercise control or direction over any Spinout Common Shares.

The principal occupations of each of the proposed directors and executive officers of the Spinout Entities within the past five years are disclosed in the brief biographies set forth below.

**Carlo Rigillo – Chief Executive Officer and Director**

Mr. Rigillo is a Chartered Professional accountant and has over two decades of financial experience including four years as Director of Finance and then Interim Financial Officer at Beretta Farms Inc. Mr. Rigillo was the Chief Financial Officer of 3 Sixty Risk Solutions Ltd., Odd Burger Corporation and most recently The Well Told Company Inc. and Powerstone Metals Corp. Mr. Rigillo has a wealth of experience in consumer health, consumer products and the manufacturing sectors and has experience developing risk management frameworks and business processes at the strategic, operational and technical levels within organizations at an international and national level. Mr. Rigillo holds a Bachelor of Commerce from the University of Toronto and is a Chartered Professional Accountant.

<sup>1</sup> The information as to residence and principal occupation, not being within the knowledge of WBM or the Spinout Entities, has been furnished by the respective director and officer individually.

<sup>2</sup> The information as to as to securities beneficially owned or over which a director or officer exercises control or direction, not being within the knowledge of WBM or the Spinout Entities, has been furnished by the respective directors and officers individually based on shareholdings in WBM as of the date of the Circular.

**Fraser Hartley –Director**

Mr. Hartley is a lawyer and partner at the law firm Edwards, Kenny and Bray LLP, practicing in the areas of finance and corporate transactions. Mr. Hartley has an LLP from the University of British Columbia.

**Dennis Beker –Director**

Mr. Beker is a Toronto based corporate, securities and mergers and acquisitions lawyer, and is currently a partner at the law firm Founders LLP. Mr. Beker completed his JD from Western University.

**Corporate Cease Trade Orders, Bankruptcies, Penalties or Sanctions or Individual Bankruptcies**

To the knowledge of the Spinout Entities, other than as outlined below, no director or executive officer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) is, as at the date of the Circular, or has been, within ten years before
the date of the Circular, a director, chief executive officer or chief financial officer of any company (including each Spinout
Entity) that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. was the subject, while the director was acting in that capacity as a director,
chief executive officer or chief financial officer of such company, of a cease trade or similar order or an order that denied the
relevant company access to any exemption under securities legislation, that was in effect for a period of more than 30 consecutive
days; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. was subject to a cease trade or similar order or an order that denied the
relevant company access to any exemption under securities legislation, that was in effect for a period of more than 30 consecutive
days, that was issued after the director ceased to be a director, chief executive officer or chief financial officer but which
resulted from an event that occurred while the director was acting in the capacity as director, chief executive officer or chief
financial officer of such company; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) is, as at the date of the Circular, or has been within 10 years before
the date of the Circular, a director or executive officer of any company (including the Spinout Entities) that, while that person
was acting in that capacity, or within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal
under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise
with creditors or had a receiver, receiver manager or trustee appointed to hold its assets; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) has, within the ten years before the date of the Circular, become bankrupt,
made a proposal under any legislation relating to bankruptcy or insolvency, or become subject to or instituted any proceedings,
arrangement or compromise with creditors, or had a receiver, receiver manager or trustee appointed to hold the assets of the director.

To the knowledge of the Spinout Entities, no director or executive officer has been subject to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any penalties or sanctions imposed by a court relating to securities legislation
or by a securities regulatory authority or has entered into a settlement agreement with a securities regulatory authority; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any penalties or sanctions imposed by a court or regulatory body that would
likely be considered important to a reasonable securityholder in deciding whether to vote for a proposed director.

**Indebtedness of Directors, Executive officers and Senior officers**

There is and has been no indebtedness of any director, executive officer or senior officer or associate of any of them, to or guaranteed or supported by the Spinout Entities during the period from incorporation.

**STATEMENT OF EXECUTIVE COMPENSATION**

**Compensation Discussion and Analysis**

The Spinout Entities have not yet developed a compensation program. Each of the Spinout Entities, anticipates that it will adopt a compensation program that reflects its stage of development, the main elements of which are expected to be comprised of base salary, option-based awards and annual cash incentives, which elements are similar to those paid by WBM.

**Summary Compensation**

Each of the Spinout Boards will conduct compensation reviews with regard to the compensation of directors and the Chief Executive Officer of the Spinout Entities once a year. In making its compensation recommendations, each of the Spinout Boards will take into account the types and amount of compensation paid to directors and Chief Executive Officers of comparable Canadian companies. Since incorporation, each Spinout Entity has not paid any compensation to officers or to directors and does not anticipate doing so following completion of the Plan of Arrangement.

Each of the Spinout Boards have adopted a Spinout Entity Plan. The Spinout Entity Plans will allow for the granting of incentive stock options to its officers, employees and directors. The purpose of granting such options would be to assist a Spinout Entity in compensating, attracting, retaining and motivating its directors, officers, employees and consultants of the Spinout Entity and to closely align the personal interests of such persons to that of the shareholders of the Spinout Entity.

**Option-Based Awards**

The purpose of the Spinout Entity Plans is to allow each Spinout Entity to grant options to directors, officers, employees and consultants, as additional compensation, and as an opportunity to participate in the success of the Spinout Entity. The granting of such options is intended to align the interests of such persons with that of the shareholders. The Spinout Entity Plans, once implemented, will be used to provide awards which will be awarded based on the recommendations of the directors of each Spinout Entity, taking into account the level of responsibility of such person, as well as his or her past impact on or contribution to, and/or his or her ability in future to have an impact on or to contribute to the longer-term operating performance of each Spinout Entity. In determining the number of awards to be granted, each of the Spinout Boards will take into account the number of awards, if any, previously granted, and the exercise price of any outstanding awards to closely align the interests of such person with the interests of shareholders. Each of the Spinout Boards will determine the vesting provisions of all award grants.

**Incentive Plan Awards**

None of the Spinout Entities have granted any option-based or share-based awards to date to any person.

**Pension Plan Benefits**

None of the Spinout Entities have a pension plan that provides for payments or benefits to any person at, following, or in connection with retirement.

**Termination of Employment, Change in Responsibilities and Employment Contracts**

None of the Spinout Entities have employment contracts between it and its Named Executive Officers. Further, they have no contracts, agreements, plans or arrangements that provide for payments to a Named Executive Officer following or in connection with any termination (whether voluntary, involuntary or constructive), resignation, retirement, a change of control of each of the Spinout Entities, or a change in responsibilities of a Named Executive officer following a change of control. Each Spinout Entity will consider entering into contracts with its Named Executive Officers following completion of the Arrangement.

**Defined Benefit or Actuarial Plan Disclosure**

The Spinout Entities have no defined benefit or actuarial plans.

**Director Compensation**

None of the Spinout Entities currently have any arrangements, standard or otherwise, pursuant to which directors are compensated by the Spinout Entities for their services in their capacity as directors, or for committee participation, involvement in special assignments or for services as a consultant or expert since its incorporation and up to and including the date of the Circular.

**AUDIT COMMITTEE AND CORPORATE GOVERNANCE**

**Audit Committee**

Each Spinout Entity will appoint an audit committee (the "**Spinout Entity Audit Committee**") following the completion of the Arrangement. Each member of the Spinout Entity Audit Committee to be appointed will have adequate education and experience that is relevant to their performance as an audit committee member and, in particular, the requisite education and experience that have provided the member with the ability to read and understand a set of financial statements that present a breadth and level of complexity of accounting issues that are generally comparable to the breadth and complexity of the issues that can reasonably be expected to be raised by the respective Spinout Entities' financial statements.

It is intended that the Spinout Entity Audit Committees will establish practices of approving audit and non-audit services provided by the external auditor. Each Spinout Entity Audit Committee intends to delegate to its Chair the authority, to be exercised between regularly scheduled meetings of the Spinout Entity Audit Committee, to pre-approve audit and non-audit services provided by the independent auditor. All such preapprovals would be reported by the Chair at the meeting of the Spinout Entity Audit Committee next following the pre-approval.

The charter to be adopted by the Spinout Entity Audit Committee is expected to be substantially similar to that of WBM's Audit Committee charter.

**Corporate Governance**

**Board of Directors**

The board of directors of each of the Spinout Entities will be comprised of three directors, of which two will be independent within the meaning of "independent" of NI 58-101. The initial board of directors, following the completion of the Arrangement will be comprised of the WBM Directors.

Certain of the Spinout Entities directors are directors of other reporting issuers (or the equivalent) in Canada or foreign jurisdictions, as set out below.

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Name of Director** | &nbsp;&nbsp;**Name of Reporting Issuer** |
| Carlo Rigillo | &nbsp;&nbsp;&nbsp;Powerstone Metals Corp. |
| Carlo Rigillo | &nbsp;&nbsp;&nbsp;WBM Capital Corp. |
| Fraser Hartley | &nbsp;&nbsp;&nbsp;WBM Capital Corp. |
| Fraser Hartley | &nbsp;&nbsp;&nbsp;Powerstone Metals Corp. |
| Fraser Hartley | &nbsp;&nbsp;&nbsp;Buzz Capital 2 Inc. |
| Dennis Baker | &nbsp;&nbsp;&nbsp;WBM Capital Corp. |
| Dennis Baker | &nbsp;&nbsp;&nbsp;Buzz Capital 2 Inc. |
| Dennis Baker | &nbsp;&nbsp;&nbsp;Aardvark 2 Capital Corp. |

---

**Orientation and Continuing Education**

Each new director is briefed in respect of the nature of each Spinout Entities' business, its corporate strategy, and current issues within the Spinout Entity. New directors are also required to meet with management of each Spinout Entity to discuss and better understand each Spinout Entities' business and are given the opportunity to meet with counsel of each Spinout Entity to discuss their legal obligations as directors of the Spinout Entities.

**Ethical Business Conduct**

The Spinout Boards have found that the fiduciary duties placed on individual directors by the Spinout Entities' governing corporate legislation and the common law have been sufficient to ensure that it operates independently of management and in the best interests of each Spinout Entity.

**Nomination of Directors**

Directors are responsible for identifying qualified individuals to become new members of the Spinout Boards and recommending new director nominees for the next annual meeting of shareholders for each Spinout Entity. New nominees must have a track record in general business management, special expertise in an area of strategic interest to each respective Spinout Entity, the ability to devote the time required, show support for each Spinout Entities' mission and strategic objectives, and a willingness to serve.

**Compensation**

Each of the Spinout Boards will conduct compensation reviews with regard to the compensation of directors and the Chief Executive Officer of each Spinout Entity once a year. In making its compensation recommendations, the Spinout Boards will consider the types and amount of compensation paid to directors and Chief Executive Officers of comparable Canadian companies. Since incorporation, each Spinout Entity has not paid any compensation to its officers or to directors and does not anticipate doing so following completion of the Plan of Arrangement.

**Other Board Committees**

Other than the Audit Committee of each Spinout Entity, it is not anticipated that the Spinout Entities will have any additional board committees immediately following the completion of the Arrangement. The Spinout Boards may, however, establish additional committees after the completion of the Arrangement, depending on the needs of each Spinout Entity.

**Assessments**

Each of the Spinout Boards has no formal process in place to assess the effectiveness of each Spinout Board, its committees and individual members. However, through the regular interaction between members of the Spinout Boards, each of the Spinout Boards satisfies itself that the Spinout Boards, their committees and individual members are performing effectively.

**RISK FACTORS**

In addition to the other information contained in the Circular, the following factors should be considered carefully when considering risk related each Spinout Entities' proposed business.

**Nature of the Securities and No Assurance of any Listing**

None of the Spinout Entities' Common Shares are listed on any stock exchange and there is no assurance that any of the Spinout Entities' Common Shares will be listed. Even if a listing is obtained, the holding of each of the Spinout Entities' Common Shares will involve a high degree of risk and should be undertaken only by investors whose financial resources are sufficient to enable them to assume such risks and who have no need for immediate liquidity in their investment. Each of the Spinout Entities' Common Shares should not be held by persons who cannot afford the possibility of the loss of their entire investment. Furthermore, an investment in securities of any of the Spinout Entities should not constitute a major portion of an investor's portfolio.

**Possible Non-Completion of Arrangement**

There is no assurance that the Arrangement will receive regulatory, court or shareholder approval or will complete. If the Arrangement does not complete, each Spinout Entity will remain a private company. If the Arrangement is completed, Spinout Entities' shareholders (which will consist of shareholders who receive Spinout Common Shares) will be subject to the risk factors described below.

**Limited Operating History**

651, 652, 653 and 655 were incorporated on October 21, 2024 and have had no business operations or operating revenues to date.

450, 441 and 435 were incorporated on November 6, 2024 and have had no business operations to date.

**Dependence on Management**

Each Spinout Entity will be very dependent upon the personal efforts and commitment of its directors and officers. If one or more of the Spinout Entities' proposed executive officers become unavailable for any reason, a severe disruption to the business and operations of the Spinout Entities could result, and each Spinout Entity may not be able to replace them readily, if at all. As each Spinout Entities' business activity grows, each Spinout Entity will require additional key financial and administrative personnel as well as additional operations staff. There can be no assurance that each Spinout Entity will be successful in attracting, training and retaining qualified personnel as competition for persons with these skill sets increase. If any Spinout Entity is not successful in attracting, training and retaining qualified personnel, the efficiency of its operations could be impaired, which could have an adverse impact on the Spinout Entities' future cash flows, earnings, results of operations and financial condition.

**The Spinout Entities' operations are subject to human error**

Despite efforts to attract and retain qualified personnel, as well as the retention of qualified consultants, to manage each Spinout Entities' interests, and even when those efforts are successful, people are fallible and human error could result in significant uninsured losses to any Spinout Entity. These could include significant tax liabilities in connection with any tax planning effort for each Spinout Entity might undertake and legal claims for errors or mistakes by Spinout Entity personnel.

**Conflicts of Interest**

Certain directors and officers of each Spinout Entity are, and may continue to be, involved in similar industries to each Spinout Entity through their direct and indirect participation in corporations, partnerships or joint ventures which are potential competitors of the Spinout Entities including possibly WBM. Situations may arise in connection with potential acquisitions in investments where the other interests of these directors and officers may conflict with the interests of the Spinout Entities. Directors and officers of each Spinout Entity with conflicts of interest will be subject to the procedures set out in applicable corporate and securities legislation, regulation, rules and policies.

**No History of Earnings**

Each Spinout Entity has no history of earnings or of a return on investment, and there is no assurance that any investment, property or business that any Spinout Entity may acquire or undertake will generate earnings, operate profitably or provide a return on investment in the future. Each Spinout Entity has no plans to pay dividends for some time in the future. The future dividend policy of the Spinout Entities will be determined by each Spinout Board.

**Dilution**

Issuances of additional securities including, but not limited to, its common stock or some form of convertible debentures, will result in a substantial dilution of the equity interests of any persons who may become Spinout Entity shareholders as a result of or subsequent to the Arrangement.

**Market for securities**

There is currently no market through which the any of the Spinout Common Shares may be sold, and each of the Spinout Entities' shareholders may not be able to resell the Spinout Common Shares acquired under the Plan of Arrangement. There can be no assurance that an active trading market will develop for the Spinout Entities' Common Shares following the completion of the Plan of Arrangement.

**Dividend Policy**

No dividends on the Spinout Entities' Common Shares have been paid by the Spinout Entities to date. The Spinout Entities anticipate that they will retain all earnings and other cash resources for the foreseeable future for the operation and development of its business. Each Spinout Entity does not intend to declare or pay any cash dividends in the foreseeable future. Payment of any future dividends will be at the discretion of each of the Spinout Board's after considering many factors, including the Spinout Entities operating results, financial condition and current and anticipated cash needs.

**PROMOTER**

No person or company is or has been since each of the Spinout Entities' dates of incorporation, a promoter of the Spinout Entities.

**LEGAL PROCEEDINGS**

None of the Spinout Entities is a party to any material legal proceedings nor are they aware of any such proceedings known to be contemplated.

**INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS**

No director, executive officer or greater than 10% shareholder of each Spinout Entity and no associate or affiliate of the foregoing persons has or had any material interest, direct or indirect, in any transaction since incorporation or in any proposed transaction which in either such case has materially affected or will materially affect the Spinout Entities save as described herein.

**AUDITORS**

It is intended that the Auditor for each Spinout Entity be MNP LLP, Chartered Professional Accountants.

**SHARE REGISTER**

Each of the Spinout Entities' Common Shares will be held in the name of registered shareholders and registered in each of the Spinout Entities' central securities registers, which will be maintained by each Spinout Entity. Registered shareholders may request a certificate evidencing their shares at any time by contacting the individual Spinout Entity.

**MATERIAL CONTRACTS**

The only agreement or contract that each Spinout Entity has entered into since its incorporation or will enter into as part of the Arrangement which may be reasonably regarded as being material is the Arrangement Agreement dated November 18, 2024 among the Spinout Entities and WBM.

A copy of the Arrangement Agreement may be inspected at any time prior to the approval of the Arrangement Resolution during normal business hours at the Spinout Entities' offices located at Suite 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3 and under WBM's profile on the SEDAR+ website at <u>www.sedarplus.ca</u>.

**INTEREST OF EXPERTS**

MNP LLP, Chartered Professional Accountants, is the auditor of WBM and it is intended that they be the auditor for each Spinout Entity. MNP LLP is independent of the Spinout Entities within the meaning of the Code of Professional Conduct of the Chartered Professional Accountants of British Columbia.

## Exhibit 99.7

**Exhibit 99.7**

![](img010_v2.jpg)

**AND**

IN THE MATTER OF A PROPOSED ARRANGEMENT INVOLVING

WBM CAPITAL CORP., 1507651 B.C. LTD., 1507652 B.C. LTD., 1507653 B.C. LTD.,

1507655 B.C. LTD., 1510450 B.C. LTD., 1510441 B.C. LTD. AND 1510435 B.C. LTD.

**AND**

WBM CAPITAL CORP.

PETITIONER

**ORDER MADE AFTER APPLICATION (FINAL ORDER)**

---

| | | |
|:---|:---|:---|
| BEFORE | ![](img010a_v2.jpg) | 1210Ec,2024 |

---

ON THE APPLICATION of the Petitioner, WBM Capital Corp. (the **"Company"),** coming on for hearing in person at 800 Smithe Street, Vancouver, British Columbia on December 12, 2024 pursuant to sections 288 through 297 of the *Business Corporations Act,* SBC 2002, c. 57, as amended (the ***<sup>11</sup>BCA");***

AND UPON HEARING Laura C. Morrison, counsel for the Petitioner;

AND UPON READING the Interim Order made by Associate Judge Bilawich on November 22, 2024, Affidavit #1 of Carlo Rigillo filed on November 20, 2024, Affidavit #1 of Kyla Domingo filed on December 10, 2024 and Affidavit #1 of Fraser Hartley filed on December 10, 2024, respectively;

AND UPON IT APPEARING that notice of the time and place of the hearing of this application was given to the shareholders of the Company;

AND UPON the requisite approvals of the shareholders of the company having been obtained in accordance with the Interim Order;

AND UPON CONSIDERING the procedural and substantive fairness to the parties affected thereby of the terms and conditions of the Arrangement in this proceeding and of the transactions contemplated by the Arrangement as set out in the plan of arrangement (the **"Plan of Arrangement"),** a copy of which is attached hereto as **Schedule "A",** and the rights and interests of the persons affected thereby;

AND UPON BEING INFORMED that it is the intention of the parties to rely on Section 3(a)(10) of the *United States Securities Act of 1933,* as amended (the **"U.S. Securities Act")** and that the declaration of the procedural and substantive fairness of, and the approval of, the Arrangement contemplated in the Plan of Arrangement by this Court will serve as the basis for an exemption from the registration requirements of the U.S. Securities Act pursuant to Section 3(a)(10) thereof, for the issuance and exchange of securities in connection with the Arrangement;

AND UPON the terms of the Interim Order in this proceeding pronounced November 22, 2024, having been complied with and the requisite approval of the Company Shareholders having been obtained in accordance with the terms of the Interim Order;

**THIS COURT ORDERS THAT:**

1. Pursuant to sections 288 and 291 of the BCA, the arrangement (the **"Arrangement")** among the Company and 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441
B.C. Ltd.
and 1510435 B.C. Ltd. (collectively the **"Spinout Entities")** as set out in the Plan of Arrangement attached hereto
as **Schedule "A"** is hereby approved;

2. The terms and the conditions of the Arrangement set out in the Plan of Arrangement
are procedurally and substantively fair and reasonable to all persons exchanging, and to be issued, securities, claims and interests
as called for in the proposed Arrangement.

3. On the Arrangement taking effect it will be binding on the Company, the
Spinout Entities, and their respective securityholders.

4. The Company shall be at liberty to seek the direction of this Court as
to the implementation of this Order or to apply for such further order or orders as may be appropriate.

THE FOLLOWING PARTIES APPROVE THE FORM OF THIS ORDER AND CONSENT TO EACH OF THE ORDERS, IF ANY, THAT ARE INDICATED ABOVE AS BEING BY CONSENT

---

| | |
|:---|:---|
| ![](img002_v2.jpg) |  |
| Signature of Lawyer for WBM Capital Corp. |  |
| Laura C. Morrison |  |
|  | **By the court.** |
|  | ![](img011_v2.jpg) |
|  | **Registrar** |
|  | ![](img012_v2.jpg) |

---

**SCHEDULE A TO FINAL ORDER**

**PLAN. OF ARRANGEMENT**

**PLAN OF ARRANGEMENT**

**UNDER SECTION 288 OF THE *BUSINESS CORPORATIONS ACT* (BRITISH COLUMBIA)**

**ARTICLE 1**

**DEFINITIONS AND INTERPRETATION**

1.1 <u>Definitions</u> 

In this Plan of Arrangement, unless there is something in the subject matter or context inconsistent therewith, the following terms shall have the respective meanings set forth below:

**"435"** means 1510435 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

**"435 Common Shares"** means the common shares in the authorized share structure of 435;

**"441"** means 1510441 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

**"441 Common Shares"** means the common shares in the authorized share structure of 441;

**"450''** means 1510450 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

***"450* Common Shares''** means the common shares in the authorized share structure of 450;

**"651"** means 1507651 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

**"651Common Shares"** means the common shares in the authorized share structure of 651;

**"652"** means 1507652 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

**"652 Common Shares"** means the common shares in the authorized share structure of 652;

**"653"** means 1507653 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

**"653 Common Shares"** means the common shares in the authorized share structure of 653;

**"655"** means 1507655 B.C. Ltd., a company incorporated under the laws of the Province of British Columbia;

**"655 Common Shares''** means the common shares in the authorized share structure of 655;

**"Arrangement Agreement"** means the agreement dated November 18, 2024 between WBM and the WBM Subsidiaries to which this Plan of Arrangement is attached as Exhibit A, as it may be supplemented or amended from time to time;

**"Arrangement Resolution"** means the special resolution of WBM Shareholders to be considered, and if deemed advisable, passed by the WBM Shareholders;

**"BCBCA"** means the *Business Corporations Act* (British Columbia);

**"Business Day"** means a day which is not a Saturday, Sunday, or a day when commercial banks are not open for in person business in Vancouver, British Columbia;

**"Crcular"** means the management information circular of WBM containing among other things, disclosure in respect of the Arrangement and prospectus level disclosure in respect of the WBM Subsidiaries following completion of the Arrangement, together with all appendices, distributed by WBM to the WBM Shareholders and filed with such Authorities in Canada as are required by Section 2.S(a)(ii) of the Arrangement Agreement, or otherwise as required by applicable Law;

**"Consideration"** means the consideration payable by WBM pursuant to Section 3.1 of this Plan of Arrangement to a person who is, immediately before the Effective Time, **a WBM** Shareholder;

**"Conversion Factor''** means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) in respect of 651, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) in respect of 652, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) in respect of 653, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) in respect of 655, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) in respect of 450, 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) in respect of 441, 1.00; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) in respect of 435, 1.00.

**"Court"** means the Supreme Court of British Columbia;

**"Dissent Procedures"** has the meaning attributed to that term in Section 4.2 of this Plan of Arrangement;

**"Dissent Right''** has the meaning attributed to that term in Section 4.1 of this Plan of Arrangement;

**"Dissent Share"** has the meaning attributed to that term in Subsection 3.l(a) of this Plan of Arrangement;

**"Effective Date"** means the first Business Day after the date upon which the Parties have confirmed in writing (such confirmation not to be unreasonably withheld or delayed) that all conditions to the completion of the Plan of Arrangement have been satisfied or waived in accordance with Article 5 of the Arrangement Agreement and all documents and instruments required under the Arrangement Agreement, the Plan of Arrangement and the Final Order have been delivered;

**"Effective Time"** means 12:01a.m. on the Effective Date;

**"Final Order"** means the order made after application to the Court pursuant to section 291 of the BCBCA approving the Plan of Arrangement as such order may be amended by the Court (with the consent of the Parties, acting reasonably) at any time prior to the Effective Date or, if appealed, then, unless such appeal is withdrawn or denied, as affirmed or as amended (with the consent of the Parties, acting reasonably) on appeal;

**"Initial Common Shares"** means the one common share outstanding in the capital of each of 651, 652, 653, 655, 450, 441and 435 issued to WBM on incorporation;

**"Interim Order"** means the order made after application to the Court pursuant to section 291 of the BCBCA, as such order may be amended, supplemented or varied by the Court (with the consent of the Parties, acting reasonably);

**"Parties"** means WBM and each of the WBM Subsidiaries and **"Party''** means any one of them;

**"Plan of Arrangement'', "hereof', "herein", "hereunder"** and similar expressions mean this plan of arrangement and any amendments, variations or supplements hereto made in accordance with the terms hereof and the terms of the Arrangement Agreement or made at the direction of the Court in the Final Order;

**"Round Down Provision"** has the meaning attributed to that term in of Section 3.2 of this Plan of Arrangement;

**"Share Distribution"** has the meaning attributed to that term in Subsection 3.1 of this Plan of Arrangement; and

**"Tax Atr"** means the *Income Tax Act* (Canada) and the regulations promulgated thereunder, as amended from time to time;

**"WBM"** means WBM Capital Corp., a company continued under the laws of the Province of British Columbia;

**"WBM Common Shares"** means the common shares in the authorized share structure of WBM;

**"WBM Shareholders"** means the holders of WBM Common Shares;

**"WBM Subsidiaries"** means collectively, 651,652,653,655,450,441and 435.

1.2 <u>Number, Gender and Persons</u> 

In this Plan of Arrangement, unless the context otherwise requires, words importing the singular include the plural and *vice versa,* words importing the use of either gender include both genders and neuter and the word person and words importing persons include a natural person, firm, trust, partnership, association, corporation, joint venture or government (induding any governmental agency, political subdivision or instrumentality thereof) and any other entity or group of persons of any kind or nature whatsoever.

1.3 <u>Interpretation Not Affected by Headings</u> 

The division of this Plan of Arrangement into articles, sections, paragraphs and subparagraphs and the insertion of headings herein are for convenience of reference only and shall not affect the construction or interpretation of this Plan of Arrangement. The terms **"this Plan of Arrangement", "hereof', "herein", "hereto", "hereunder"** and similar expressions refer to this Plan of Arrangement and not to any particular article, section or other portion hereof and include any instrument supplementary or ancillary hereto.

1.4 <u>Date for Any Action</u> 

If the date on which any action is required to be taken hereunder is not a Business Day, the action shall be required to be taken on the next day that is a Business Day.

LS <u>Time</u>

Time shall be of the essence in every matter or action contemplated hereunder. All times expressed herein are local time in Vancouver, British Columbia unless otherwise stipulated herein.

---

| | |
|:---|:---|
| **L6** | **<u>Currency</u>** |

---

Unless otherwise stated, a reference herein to an amount of money means the amount expressed in lawful money of Canada

**1.7**  **<u>Statutory</u>**  **<u>References</u>** 

Any reference in this Plan of Arrangement to a statute includes all regulations and rules made thereunder, all amendments to such statute, rule or regulation in force from time to time and any statute, rule or regulation that supplements or supersedes such statute or regulation.

1.8 <u>Governing Law</u> 

This Plan of Arrangement, including its validity, interpretation and effect, shall be governed by the laws of the Province of British Columbia and the laws of Canada applicable therein.

**ARTICLE2**

**ARRANGEMENT AGREEMENT AND EFFECT OF ARRANGEMENT**

2.1 <u>Arrangement Agreement</u> 

The Plan of Arrangement is made pursuant to, and is subject to the provisions of, the Arrangement Agreement, except that the sequence of steps comprising the Arrangement shall occur in the order set forth herein unless otherwise indicated.

2.2 <u>Effect of Plan of Arrangement</u> 

The Plan of Arrangement will, effective at the Effective Time, become effective and be binding on WBM, each of the WBM Subsidiaries, and the WBM Shareholders without any further act or formality required on the part of any person except as expressly provided herein. If there is any inconsistency or conflict between the provisions of this Plan of Arrangement and the provisions of the Arrangement Agreement, the provisions of this Plan of Arrangement shall govern.

**ARTICLE3**

**ARRANGEMENT**

3.1 <u>Arrangement</u> 

Commencing at the Effective Time the following transactions will occur and be deemed to occur in the following sequence without further act or formality:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each WBM Common Share in respect of which a
registered WBM Shareholder has exercised Dissent Rights and for which the registered WBM Shareholder is ultimately entitled to
be paid fair value (each **a "Dissent Share")** shall be repurchased **by** **WBM** for cancellation in consideration for a debt-claim against
WBM to be **paid** the fair value of such WBM Share in accordance with Article 5 of this Plan of Arrangement and such Dissent
Share shall thereupon be cancelled; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) WBM shall distribute to each WBM Shareholder:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the number of 651 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the number of 652 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the number of 653 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the number of 655 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the number of 450 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the number of 441Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the number of 435 Common Shares equal to the product of the number of WBM Common Shares held
and the Conversion Factor;

(collectively, the **"Share Distribution"),** and in connection with the Share Distribution:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the name of each WBM Shareholder shall be added to the central securities
register for the 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares
and 435 Common Shares received pursuant to the Share Distribution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) an amount equal to the fair market value of 651 Common Shares, 652 Common Shares, 653 Common Shares,
655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares as distributed on the Share Distribution shall be
removed from the capital in respect of the WBM Common Shares; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Initial Common Shares held by WBM shall be cancelled without any payment therefor, and WBM shall
be removed from the register of holders of the 651Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common
Shares, 441 Common Shares and 435 Common Shares.

3.2 <u>No Fractional Shares</u> 

No fractional 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares shall be distributed by WBM to a WBM Shareholder on the Share Distribution. If WBM would otherwise be required to distribute to a WBM Shareholder an aggregate number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441Common Shares and 435 Common Shares, as applicable, that is not a round number, then the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares distributable to that WBM Shareholder shall be rounded down to the next lesser whole number (the **"Round Down Provision")** and that WBM Shareholder shall not receive any compensation in respect thereof. No☐ithstanding the foregoing, if the Round Down Provision would otherwise result in the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, distributable to a particular WBM Shareholder being rounded down from one to nil, then the Round Down Provision shall not apply and WBM shall distribute one 651Common Share, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441Common Shares and 435 Common Shares, as applicable, to that WBM Shareholder.

3.3 <u>Extinction of Rights</u> 

Any instrument or certificate which immediately prior to the Effective Time represented outstanding WBM Common Shares that were exchanged pursuant to Section 3.1 or an affidavit of loss and bond or other indemnity shall, on or prior to the sixth (6th) anniversary of the Effective Date, cease to represent a claim or interest of any kind or nature against **WBM.** On such date, the aggregate 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares, as applicable, to which the former WBM Shareholder referred to in the preceding sentence was ultimately entitled shall be deemed to have been surrendered for no consideration to WBM and shall be returned to WBM. None of WBM or the WBM Subsidiaries shall be liable to any person in respect of any amount for 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares delivered to a public official pursuant to any applicable abandoned property, escheat or similar law.

3.4 <u>Withholding</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(a)** **WBM** and the WBM Subsidiaries, as the case may be, will be entitled to deduct and withhold from any Consideration otherwise payable
to any WBM Shareholder under this Plan of Arrangement (including any payment to WBM Shareholders exercising Dissent Rights) such
amounts **as WBM** or the WBM Subsidiaries are permitted or
required to deduct and withhold with respect to such payment under the Tax Act and the rules and regulations promulgated thereunder,
or any provision of any provincial, state, local or foreign tax Law as counsel may advise is permitted or required to be so deducted
and withheld by WBM or the WBM Subsidiaries, as the case maybe.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the purposes of such deduction and withholding: (i) all withheld amounts
shall be treated as having been paid to the person in respect of which such deduction and withholding was made on account of the
obligation to make payment to such person hereunder; and (ii) such deducted or withheld amounts shall be remitted to the appropriate
Authority in the time and manner permitted or required by the applicable Law by or on behalf of WBM or the WBM Subsidiaries, as
the case may be.

3.5 <u>Post-Effective Date Procedures</u> 

Following receipt of the Final Order and prior to the Effective Date, 651, 652, 653, 655, 450, 441 and 435 will forward to WBM and WBM Shareholders as of the Effective Date at WBM's registered office or, in respect of the WBM Shareholders, the address specified in the register of WBM Shareholders or email provided to 651, 652, 653, 655, 450, 441 and 435, copies of certificates representing the number of 651 Common Shares, 652 Common Shares, 653 Common Shares and 655 Common Shares to be delivered to WBM or such WBM Shareholder under the Arrangement, unless WBM or the WBM Shareholders request original certificates representing the number of 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares to be delivered to WBM or such WBM Shareholder under the Arrangement, then, 651, 652, 653, 655, 450, 441 and 435 will deliver by registered mail (postage prepaid) or hand delivery to WBM and WBM Shareholders as of the Effective Date at WBM's registered office or, in respect of the WBM Shareholders, the address specified in the register of WBM Shareholders.

3.6 <u>Deemed Fully Paid and Non-Assessable Shares</u> 

All 651 Common Shares, 652 Common Shares, 653 Common Shares, 655 Common Shares, 450 Common Shares, 441 Common Shares and 435 Common Shares issued pursuant hereto shall be deemed to be validly issued and outstanding as fully paid and non-assessable shares for all purposes of the **BCBCA.**

**ARTICLE4**

**DISSENT RIGHTS**

4.1 <u>Dissent Rights</u> 

Subject to section 246 of the BCBCA and the terms, conditions, and restrictions set out in Article 4 of the Plan of Arrangement, there is hereby granted to each registered WBM Shareholder the right (the **"Dissent Right''):**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to dissent from the Arrangement Resolution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) on the valid exercise of the Dissent Right in accordance with the Dissent
Procedures, to be paid the fair market value of the registered WBM Shareholder's WBM Common Shares by WBM.

4.2 <u>Dissent Procedures</u> 

A registered WBM Shareholder who wishes to exercise the registered WBM Shareholder's Dissent Right must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) do so in respect of all WBM Shares registered in the name of the registered
WBM Shareholder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) comply with sections 242 and 244 of the BCBCA, as modified below; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) deliver a written notice of dissent to the office of WBM at 1900-1040 West
Georgia Street, Vancouver, BC V6E 4H3 Attn: Jordan Gin, at least two Business Days before the day of the Arrangement Resolution
is approved by WBM Shareholders,

(the **"Dissent Procedures").**

4.3 <u>Failure to Comply with Dissent Procedures</u> 

Each registered WBM Shareholder who fails to exercise the registered WBM Shareholder's Dissent Right strictly in accordance with the Dissent Procedures will be deemed for all purposes to have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) failed to exercise the Dissent Right validly, and consequently to have waived the Dissent Right;
and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) thereby ceased to be entitled to be paid the fair market value of the registered WBM Shareholder's
WBM Common Shares.

**4.4**  **<u>Waiver</u>** <u>of Dissent **Right**</u> 

Each registered WBM Shareholder who waives or is deemed to waive the registered WBM Shareholder's Dissent Right or is otherwise for any reason ultimately not entitled to be paid the fair market value of the WBM Common Shares registered in the name of the registered WBM Shareholder by WBM pursuant to the Dissent Right, shall be deemed to have participated in the Arrangement.

**ARTICLES**

**AMENDMENTS**

5.1 <u>Amendments</u> 

The Parties reserve the right to amend, modify and/or supplement this Plan of Arrangement from time to time at any time prior to the Effective Time provided that any such amendment, modification or supplement must be contained in a written document that is filed with the Court and, if made following the approval of the Arrangement Resolution, approved by the Court.

5.2 <u>Effectiveness of Amendments Made Prior to the Approval of the Arrangement Resolution</u> 

Any amendment, modification or supplement to this Plan of Arrangement may be proposed by any of the Parties at any time prior to the approval of the Arrangement Resolution shall become part of this Plan of Arrangement for all purposes.

5.3 <u>Effectiveness of Amendments Made Following the Approval of the Arrangement Resolution</u> 

Any amendment, modification or supplement to this Plan of Arrangement may be proposed by any of the Parties after the approval of the Arrangement Resolution but prior to the Effective Time and any such amendment, modification or supplement which is approved by the Court shall be effective and shall become part of the Plan of Arrangement for all purposes.

## Exhibit 99.8

**Exhibit 99.8**

**WBM CAPITAL CORP. RECEIVES FINAL COURT ORDER**

**December 13, 2024 – Vancouver, British Columbia –** WBM Capital Corp. ("**WBM**" or the "**Company**") and its wholly-owned subsidiaries, 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. (each a "**Spinout Entity**"; and collectively, the "**Spinout Entities**") are pleased to announce that the spin-out of the Spinout Entities by way of plan of arrangement under the *Business Corporations Act* (British Columbia) (the "**Arrangement**") has been approved by the Supreme Court of British Columbia.

The Arrangement was approved by the unanimous written consent of the sole shareholder of the Company on December 4, 2024 and the Company obtained the final order approving the Arrangement from the Supreme Court of British Columbia on December 12, 2024.

The Arrangement is currently expected to close and become effective on or about December 18, 2024. Upon the closing, each of the Spinout Entities will be owned by the sole shareholder of WBM and each will be reporting issuers under applicable securities legislation.

For further information, please refer to the management information circular of WBM dated November 25, 2024, which is available on the SEDAR+ profile of WBM at <u>www.sedarplus.ca</u>, which more fully sets forth the terms of the Arrangement, including each of the transactions under the Arrangement.

**About WBM Capital**

WBM is a reporting issuer in the Provinces of British Columbia, Alberta and Ontario. It has no current business other than evaluating and pursuing opportunities to develop or transact with a high quality operating business.

**For Further Information, please contact:**

Carlo Rigillo

Chief Executive Officer

e: carlo.rigillo@gmail.com

t: 647-400-4794

**Cautionary Statements**

This news release contains "forward-looking information" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as "may", "will", "expect", "likely", "should", "would", "plan", "anticipate", "intend", "potential", "proposed", "estimate", "believe" or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen, or by discussions of strategy. The forward-looking information contained in this press release includes, without limitation, information relating to the proposed Plan of Arrangement and the Company's future plans, including acquiring or building an operating business. Forward-looking information is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including management's perceptions of historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate in the circumstances. Any such forward-looking information is based on information currently available to WBM and is based on assumptions and analyses made in light of WBM's experience and perception of historical trends and current conditions. While the Company considers these assumptions to be reasonable based on information currently available to management, there is no assurance that such expectations will prove to be correct. Readers are cautioned that actual results may vary from the forward-looking information, and undue reliance should not be placed on such forward-looking information.

By their nature, forward-looking information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. A variety of factors, including known and unknown risks, many of which are beyond our control, could cause actual results to differ materially from the forward-looking information in this news release. Additional risk factors can also be found in WBM's financial statements and management's discussion and analysis, which are available under WBM's profile on SEDAR+ at www.sedarplus.ca.

Unless otherwise indicated, the forward-looking statements in this news release are based on the Company's expectations at the date of this news release. Readers are cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking information. WBM undertakes no obligation to update or revise such forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise, except as required by applicable law.

## Exhibit 99.9

**Exhibit 99.9**

**Notice of Change in Corporate Structure**

**Pursuant to Section 4.9 of National Instrument 51-102**

---

| | |
|:---|:---|
| **ITEM 1** | **Names of the Parties to the Transaction:** |

---

WBM Capital Corp. ("**WBM**" or the "**Company**"), 1507651 B.C. Ltd. ("**651**"), 1507652 B.C. Ltd. ("**652**"), 1507653 B.C. Ltd. ("**653**"), 1507655 B.C. Ltd. ("**655**"), 1510450 B.C. Ltd. ("**450**"), 1510441 B.C. Ltd. ("**441**"), and 1510435 B.C. Ltd. ("**435**") (collectively, the "**Parties**").

---

| | |
|:---|:---|
| **ITEM 2** | **Description of the Transaction** |

---

Pursuant to the terms and conditions set out in an arrangement agreement dated November 18, 2024 between the Parties (the "**Arrangement Agreement**"), the Parties completed a court approved statutory plan of arrangement (the "**Arrangement**") under the Business Corporations Act (British Columbia). As a result of the Arrangement, 651, 652, 653, 655, 450, 441 and 435 became reporting issuers in British Columbia and Alberta.

Pursuant to the terms of the Arrangement, WBM distributed to its shareholders as of December 18, 2024, one common share of each of 651, 652, 653, 655, 450, 441 and 435 for every common share the shareholder held in the capital of WBM. There was no change in the shareholders' holdings in WBM as a result of the Arrangement.

---

| | |
|:---|:---|
| **ITEM 3** | **Effective Date of the Transaction** |

---

December 18, 2024

---

| | |
|:---|:---|
| **ITEM 4** | **Names of each Party, if any, that ceased to be a Reporting Issuer subsequent to the Transaction and of each Continuing Entity** |

---

No party ceased to be a reporting issuer following completion of the Arrangement. As a result of the Arrangement, 651, 652, 653, 655, 450, 441 and 435 became reporting issuers in British Columbia and Alberta.

WBM continues to be a reporting issuer in British Columbia, Ontario and Alberta.

---

| | |
|:---|:---|
| **ITEM 5** | **Date of the Reporting Issuer's First Financial Year- End Subsequent to the Transaction** |

---

The first financial year-end of each of 651, 652, 653, 655, 450, 441 and 435 subsequent to the completion of the Arrangement is October 31, 2025.

---

| | |
|:---|:---|
| **ITEM 6** | **The Periods, including the comparative periods, if any, of the interim and annual financial statements required to be filed for the reporting issuer's first financial year subsequent to the transaction** |

---

Financial statements for 651, 652, 653, 655, 450, 441 and 435:

Annual financial statements to be filed for the first financial year after becoming a reporting issuer will be for the period ended October 31, 2025.

Interim financial statements to be filed for the interim periods in the first financial period after becoming a reporting issuer will be for the three-month period ended January 31, 2024, the six-month interim period ended April 30, 2025 and the nine-month interim period ended July 31, 2025.

---

| | |
|:---|:---|
| **ITEM 7** | **Documents Which Were Filed Under National Instrument 51-102 that Describe the Transaction and Where Those Documents Can Be Found in Electronic Format** |

---

Further details of the Arrangement are described in WBM's management information circular dated November 25, 2024, a copy of which is available under WBM's profile on SEDAR+ (www.sedarplus.ca)

---

| | |
|:---|:---|
| **Item 8** | **Date of Report** |

---

December 18, 2024

## Exhibit 99.10

**Exhibit 99.10**

**WBM CAPITAL CORP. COMPLETES PLAN OF ARRANGEMENT**

**December 18, 2024 – Vancouver, British Columbia –** WBM Capital Corp. ("**WBM**" or the "**Company**") is pleased to announce that the Company completed its previously announced plan of arrangement under the *Business Corporations Act* (British Columbia) (the "**Arrangement**").

As a result of the Arrangement, the sole shareholder of WBM, Triforce Ventures SA ("**Triforce**"), now holds common shares in the following former subsidiaries of WBM, 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. (each a "**Spinout Entity**"; and collectively, the "**Spinout Entities**"). Triforce will continue to hold its interest in WBM. Each of the Spinout Entities is now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

Triforce acquired the above-noted common securities for investment purposes. Triforce may in the future take such actions in respect of its holdings in the Spinout Entities as it may deem appropriate in light of the circumstances then existing, including the purchase of additional securities of any of the Spinout Entities through open market purchases or privately negotiated transactions or the sale of all or a portion of Triforce's holdings in the open market or in privately negotiated transactions to one or more purchasers, subject in each case to applicable securities law.

This news release is issued pursuant to National Instrument 62-103 – *The Early Warning System and Related Take-Over Bid and Insider Reporting Issues*, which also requires reports to be filed with the applicable securities commissions or similar regulatory authorities in Canada, which reports will contain additional information with respect to the foregoing matters (the "**Early Warning Reports**"). Copies of the Early Warning Reports may be obtained by contacting the applicable Spinout Entity, and will also be filed on SEDAR+ profile under the applicable Spinout Entity's profile at <u>www.sedarplus.ca</u>.

For further information, please refer to the management information circular of WBM dated November 25, 2024, which is available on the SEDAR+ profile of WBM at <u>www.sedarplus.ca</u>, which more fully sets forth the terms of the Arrangement, including each of the transactions under the Arrangement.

**About WBM Capital**

WBM is a reporting issuer in the Provinces of British Columbia, Alberta and Ontario. It has no current business other than evaluating and pursuing opportunities to develop or transact with a high quality operating business.

**For Further Information, please contact:**

Carlo Rigillo

Chief Executive Officer

e: carlo.rigillo@gmail.com

t: 647-400-4794

**Cautionary Statements**

This news release contains "forward-looking information" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as "may", "will", "expect", "likely", "should", "would", "plan", "anticipate", "intend", "potential", "proposed", "estimate", "believe" or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen, or by discussions of strategy. The forward-looking information contained in this press release includes, without limitation, information relating to the filing of the Early Warning Reports and the Company's future plans, including acquiring or building an operating business. Forward-looking information is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including management's perceptions of historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate in the circumstances. Any such forward-looking information is based on information currently available to WBM and is based on assumptions and analyses made in light of WBM's experience and perception of historical trends and current conditions. While the Company considers these assumptions to be reasonable based on information currently available to management, there is no assurance that such expectations will prove to be correct. Readers are cautioned that actual results may vary from the forward-looking information, and undue reliance should not be placed on such forward-looking information.

By their nature, forward-looking information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. A variety of factors, including known and unknown risks, many of which are beyond our control, could cause actual results to differ materially from the forward-looking information in this news release. Additional risk factors can also be found in WBM's financial statements and management's discussion and analysis, which are available under WBM's profile on SEDAR+ at www.sedarplus.ca.

Unless otherwise indicated, the forward-looking statements in this news release are based on the Company's expectations at the date of this news release. Readers are cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking information. WBM undertakes no obligation to update or revise such forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise, except as required by applicable law.

## Exhibit 99.11

**Exhibit 99.11**

**WBM CAPITAL CORP.**

**MATERIAL CHANGE REPORT**

**FORM 51-102F3**

**1.** **Name and Address of Company:** 

WBM Capital Corp. (the "**Company**")

1900 – 1040 West Georgia Street,

Vancouver, BC V6E 4H3

**2.** **Date of Material Change:** 

December 18, 2024

**3.** **News Release:** 

December 18, 2024, a news release reporting the material change was filed on SEDAR+ at <u>www.sedarplus.ca</u>.

**4.** **Summary of Material Change:** 

On December 18, 2024, the Company completed a plan of arrangement under the Business Corporations Act (British Columbia) (the "**Arrangement**").

**5.** **Full Description of Material Change:** 

On November 18, 2024, the Company entered into an arrangement agreement (the "**Arrangement Agreement**") with its wholly-owned subsidiaries, 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. (each a "**Subsidiary**"; collectively, the "**Subsidiaries**") pursuant to which the parties intended to complete a court approved statutory plan of arrangement under the *Business Corporations Act* (British Columbia) (the "**Plan of Arrangement**").

Completion of the transactions contemplated by the Arrangement Agreement required the unanimous written consent of the sole shareholder of the Company and the approval of the Supreme Court of British Columbia. The Arrangement was approved by the unanimous written consent of the sole shareholder of the Company on December 4, 2024, and the Company obtained the final order approving the Arrangement from the Supreme Court of British Columbia on December 12, 2024.

The board of directors of WBM and the Subsidiaries set the effective date of the Arrangement as of December 18, 2024.

As a result of the Arrangement, The Company exchanged the common shares it held in the capital of the Subsidiaries with its sole shareholder, Triforce Ventures, SA ("**Triforce**"), with the result that each Subsidiary is now wholly owned directly by Triforce.

Triforce has acquired the above-noted common securities for investment purposes. It may in the future take such actions in respect of its holdings in the Subsidiaries as Triforce may deem appropriate in light of the circumstances then existing, including the purchase of additional securities of any of the Subsidiaries through open market purchases or privately negotiated transactions or the sale of all or a portion of Triforce's holdings in the open market or in privately negotiated transactions to one or more purchasers, subject in each case to applicable securities law.

**6.** **Reliance on subsection 7.1(2) of National Instrument 51-102:** 

Not applicable.

**7.** **Omitted Information:** 

No significant facts otherwise required to be disclosed in this report have been omitted.

**8.** **Executive Officer:** 

For further information, please contact:

Carlo Rigillo

Chief Executive Officer

+1 (647) 400-4794

<u>carlo.rigillo@gmail.com</u>

**Date of Report:**

December 18, 2024

## Exhibit 99.12

**Exhibit 99.12**

**WBM CAPITAL CORP.**

**(FORMERLY TIIDAL GAMING GROUP CORP.)**

**CONSOLIDATED FINANCIAL STATEMENTS**

**FOR THE YEARS ENDED OCTOBER 31, 2024, AND 2023**

**(EXPRESSED IN CANADIAN DOLLARS)**

---

| | |
|:---|:---|
| Independent Auditor's Report | ![](img001_v4.jpg) |

---

To the Shareholders of WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.):

Opinion

We have audited the consolidated financial statements of WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.) and its subsidiaries (the "Company"), which comprise the consolidated statements of financial position as at October 31, 2024 and October 31, 2023, and the consolidated statements of net (loss) income and comprehensive (loss) income, changes in shareholders' equity, and cash flows for the years then ended, and notes to the consolidated financial statements, including a summary of material accounting policies.

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at October 31, 2024 and October 31, 2023, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with IFRS® Accounting Standards.

Basis for Opinion

We conducted our audits in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audits of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material Uncertainty Related to Going Concern

We draw attention to Note 2 in the consolidated financial statements, which indicates that the Company incurred negative cash flows form operations during the year ended October 31, 2024 and, as of that date, had an accumulated deficit. As stated in Note 2, these events or conditions, along with other matters as set forth in Note 2, indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Other Information

Management is responsible for the other information. The other information comprises Management's Discussion and Analysis.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audits of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audits or otherwise appears to be materially misstated. We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed on this other information, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

MNP LLP 50 Burnhamthorpe Road West, Suite 900, Mississauga ON, L5B 3C2 T: 416.626.6000 F: 416.626.8650

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS® Accounting Standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

● Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

● Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

● Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2 <br> T: 416.626.6000 F: 416.626.8650 MNP.ca* | ![](img002_v4.jpg) |

---

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audits and significant audit findings, including any significant deficiencies in internal control that we identify during our audits.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

The engagement partner on the audit resulting in this independent auditor's report is Blair Michael Mabee.

---

| | |
|:---|:---|
|  | ![](img003_v4.jpg) |
| Mississauga, Ontario | Chartered Professional Accountants |
| February 27, 2025 | Licensed Public Accountants |

---

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2 <br> T: 416.626.6000 F: 416.626.8650 MNP.ca* | ![](img002_v4.jpg) |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Consolidated Statements of Financial Position

As at October 31, 2024 and October 31, 2023

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **October 31,**<br> **2024** | **October 31,**<br> **2023** |
| &nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**35287** | $79265 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 | **37604** | 436936 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  | **46477** | 11667 |
| &nbsp;&nbsp;&nbsp;&nbsp;Short-term investments | 5 | **-** | 10600000 |
| &nbsp;&nbsp;**Total assets** |  | $**119368** | $11127868 |
| &nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | 9 | $**60048** | $219760 |
|  |  | **60048** | 219760 |
| &nbsp;&nbsp;Government loan payable | 7 | **-** | 39250 |
| &nbsp;&nbsp;**Total liabilities** |  | **60048** | 259010 |
| &nbsp;&nbsp;**Shareholders' equity** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital | 8 | **733786** | 13572500 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves | 8 | **6851379** | 4166666 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  | **-** | (5419) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7525845)** | (6864889) |
| &nbsp;&nbsp;**Total shareholders' equity** |  | **59320** | 10868858 |
| &nbsp;&nbsp;**Total liabilities and shareholders' equity**  |  | $**119368** | $11127868 |

---

Nature of Operations (Note 1)

Going Concern (Note 2)

Discontinued Operations (Note 13)

Subsequent Events (Note 15)

**Approved and Authorized by the Board on February 27, 2025:**

<u>*"Carlo Rigillo"*</u> Director <u>*"Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Consolidated Statements of Net (Loss) Income and Comprehensive (Loss) Income

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note**  | **2024** | **2023** |
| &nbsp;&nbsp;**Operating expenses** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 10 | $**242956** | $742978 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  | **2172** | 25797 |
| &nbsp;&nbsp;&nbsp;&nbsp;Consulting |  | **-** | 18115 |
| &nbsp;&nbsp;&nbsp;&nbsp;Management fees | 9 | **335775** | 175933 |
| &nbsp;&nbsp;&nbsp;&nbsp;Bad debt (recovery) |  | **-** | (725) |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment |  | **-** | 362 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | 8 | **20000** | 578725 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization |  | **-** | 812 |
| &nbsp;&nbsp;Total operating expenses |  | **600903** | 1541997 |
| &nbsp;&nbsp;**Loss before other items** |  | **(600903)** | (1541997) |
| &nbsp;&nbsp;**Other items** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt | 8 | **21265** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  | **(4782)** | 28783 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits |  | **(134790)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of equipment |  | **-** | (2087) |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income | 5 | **60028** | 219294 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **(1774)** | (9367) |
| &nbsp;&nbsp;**Net (loss) from continuing operations** |  | **(660956)** | (1305374) |
| &nbsp;&nbsp;**Net income from discontinued operations** |  | **-** | 10241790 |
| &nbsp;&nbsp;**Net (loss) income** |  | **(660956)** | 8936416 |
| &nbsp;&nbsp;**Other comprehensive income** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustment |  | **5419** | 173341 |
| &nbsp;&nbsp;**Comprehensive (loss) income for the year** |  | $**(655537)** | $9109757 |
| &nbsp;&nbsp;Weighted average number of common shares outstanding |  | **3** | 14 |
| &nbsp;&nbsp;Basic and diluted (loss) income per share from continuing operations |  | $**(238606)** | $(92481) |
| &nbsp;&nbsp;Basic and diluted (loss) income per share from discontinued operations |  | $**(0.00)** | $725597 |
| &nbsp;&nbsp;Basic and diluted (loss) income per share |  | $**(238606**) | $633116 |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Consolidated Statements of Cash Flows

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;**Operating activities** |  |  |
| &nbsp;&nbsp;Net (loss) from continuing operations | $**(660956)** | $(1305374) |
| &nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment | **-** | 362 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible asset | **-** | 812 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt | **(21265)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | **20000** | 578725 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accretion expense | **750** | 4206 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits | **134790** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange | **5383** | 44576 |
| &nbsp;&nbsp;Changes in non-cash working capital items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | **(14780)** | (186637) |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **(34810)** | 18442 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **(117736)** | (280106) |
| &nbsp;&nbsp;**Net cash used in operating activities** | **(688624)** | (1124994) |
| &nbsp;&nbsp;**Net cash used in discontinued operations** | **-** | (1607311) |
| &nbsp;&nbsp;**Investing activities**  |  |  |
| &nbsp;&nbsp;Proceeds from sale (purchase) of short-term investment | **10600000** | (10600000) |
| &nbsp;&nbsp;Interest received | **279322** |  |
| &nbsp;&nbsp;Proceeds from sale of subsidiary | **-** | 11871686 |
| &nbsp;&nbsp;Loss on disposal of property and equipment | **-** | 2087 |
| &nbsp;&nbsp;**Net cash provided by investing activities** | **10879322** | 1273773 |
| &nbsp;&nbsp;**Net cash used in investing activities in discontinued operations** | **-** | (6960) |
| &nbsp;&nbsp;**Financing activities** |  |  |
| &nbsp;&nbsp;Share issuer buy-back (Note 1) | **(10198940)** |  |
| &nbsp;&nbsp;Proceeds from share issuance (Note 8) | **30000** | 202960 |
| &nbsp;&nbsp;Share issuance costs | **-** | (49184) |
| &nbsp;&nbsp;Share repurchase (Note 8) | **(25736)** |  |
| &nbsp;&nbsp;Repayment of government loan (Note 7) | **(40000)** | - |
| &nbsp;&nbsp;**Net cash (used in) provided by financing activities** | **(10234676)** | 153776 |
| &nbsp;&nbsp;**Net cash provided by financing activities in discontinued operations** | **-** | 1373215 |
| &nbsp;&nbsp;Effect of foreign exchange on cash | **-** | 1543 |
| &nbsp;&nbsp;**Net change in cash** | **(43978)** | 63042 |
| &nbsp;&nbsp;**Cash, beginning of year** | **79265** | 16223 |
| &nbsp;&nbsp;**Cash, end of year** | $**35287** | $79265 |

---

---

| | | |
|:---|:---|:---|
| **Supplemental cash flow information:** | | |
| Interest received | $**279322** | $- |
| Debt settled through issuance of common shares | $**40000** | $- |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY GTA TIIDAL GAMING GROUP CORP.)**

Consolidated Statement of Shareholders' Equity

For the years ended October 31, 2024 and 2023

(Expressed in Canadian Dollars)

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Note** | **Number of**<br> **Shares**  | **Share Capital**<br> **$** | **Shares to be**<br> **Issued**<br> **$** | **Reserves**<br> **$** | **Accumulated**<br> **Other Comprehensive**<br> **Loss**<br> **$** | **Accumulated**<br> **Deficit**<br> **$** | **Total Shareholders'**<br> **Equity**<br> **$** |
| &nbsp;&nbsp;**Balance, October 31, 2022** |  | **13** | **12790672** | **667880** | **3454882** | **(178760)** | **(15801305)** | **933369** |
| &nbsp;&nbsp;Share-based payments | 8 |  |  |  | 578725 | **-** |  | 578725 |
| &nbsp;&nbsp;Shares issued for cash | 8 |  | 296191 |  |  | **-** |  | 296191 |
| &nbsp;&nbsp;RSU grant to CEO | 8 |  | 200000 |  | (200000) | **-** |  |  |
| &nbsp;&nbsp;Sportsflare Milestone shares | 8 |  | 334821 | (334821) |  | **-** |  |  |
| &nbsp;&nbsp;Share issuance costs | 8 |  | (49184) |  |  | **-** |  | (49184) |
| &nbsp;&nbsp;Expiry of contingent share milestone | 8 |  |  | (333059) | 333059 |  |  |  |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | 173341 |  | 173341 |
| &nbsp;&nbsp;Net income for the year |  | - | - | - | - | - | 8936416 | 8936416 |
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **15** | **13572500** | **-** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;**Balance, October 31, 2023**  |  | **15** | **13572500** | **-** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;Share issuer buy-back | 8 | (14) | (12898978) |  | 2700038 |  |  | (10198940) |
| &nbsp;&nbsp;Share-based payments | 8 |  |  |  | 20000 |  |  | 20000 |
| &nbsp;&nbsp;Shares issued for cash | 8 | 1 | 30000 |  |  |  |  | 30000 |
| &nbsp;&nbsp;Share option cancellation | 8 |  |  |  | (35325) |  |  | (35325) |
| &nbsp;&nbsp;Share issued for debt settlement | 8 |  | 56000 |  |  |  |  | 56000 |
| &nbsp;&nbsp;Share repurchase | 8 | (1) | (25736) |  |  |  |  | (25736) |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | 5419 |  | 5419 |
| &nbsp;&nbsp;Net loss for the year |  | - | - | - | - | - | (660956) | (666692) |
| &nbsp;&nbsp;**Balance, October 31, 2024** |  | **1** | **733786** | **-** | **6851379** | **-** | **(7525845)** | **59320** |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**1.** **Nature of Operations** 

WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations. The Corporation is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "**Offer**") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Going Concern** 

These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

The Company's accumulated deficit was $7,525,845 at October 31, 2024 (October 31, 2023 – $6,864,889) and its cash flow used in operations was $688,624 (October 31, 2023 – $1,124,994). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The Board of Directors of the Company assessed the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. The Company will continue to be dependent on external equity financing to fund its activities. Management reviews its capital management approach on an ongoing basis and believes this approach is reasonable.

**3.** **Basis of Presentation <br>Statement of Compliance** 

These consolidated financial statements, including comparatives, have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") and IFRIC® Interpretations of the IFRS Interpretations Committee.

The consolidated financial statements were approved and authorized for issuance by the Board of Directors of the Company on February 27, 2025.

**Basis of Presentation**

The consolidated financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group, except for the Space Esports and Tiidal NZ subsidiaries, which have the U.S. dollar and New Zealand dollar as its functional currency.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**3.** **Basis of Presentation (continued) <br>Basis of Consolidation** 

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction Incorporated** | &nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting Method / Date of Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada  | &nbsp;&nbsp;Canadian dollars  | &nbsp;&nbsp;Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507652 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507653 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507655 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |

---

**4.** **Material accounting policies <br>Revenue recognition** 

The Company determines revenue recognition through the following steps: a) identification of the contract with a customer; b) identification of the performance obligations in the contract; c) determination of the transaction price; d) allocation of the transaction price for the performance obligations in the contract; and e) recognition of revenue when the Company satisfies a performance obligation.

The Company's revenue is comprised of esports winnings by players under contract with the Company, sponsorships, betting solutions revenue, and other revenue.

The Company earns esports prize winnings revenue from various esports tournaments and competitions that the Company's teams enter into. Prize winnings revenue is recognized at a point in time at the completion of each competition or league season. No revenue was recognized if there were significant uncertainties regarding the amount or recovery of the consideration due, the costs incurred or to be incurred could not be measured reliably, or there was continuing management involvement with the services.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material
accounting policies (continued)

**Revenue recognition (continued)**

The Company earns revenue from Software-as-a-Service ("SaaS") agreements with customers in the betting industry, on a subscription basis. Upon receiving payment from the customer, the Company will have the contractual obligation to provide the access to its proprietary intellectual property ("IP") over the course of the period stipulated in the agreement and the customer will have the ability to use the Company's IP for the stipulated period.

As performance obligations are satisfied over time, revenue is recognized using a method of transfer that depicts the Company's performance or using the "as-invoiced" practical expedient, when applicable and ends only when the period in the agreement ends. The Company recognizes revenue from SaaS subscriptions ratably over the term of the subscription.

The Company earns sponsorship revenue by endorsing products. Sponsorship revenue is recognized over time as the performance obligations per the contract of the Company are satisfied and the services are provided to the customer. Payments received in excess of the revenue recognized on a contract are recorded as deferred revenue. Amounts are billed as defined by individual contracts. Billings rendered in advance of performance under contracts are recorded as deferred revenue. Some agreements contain revenue sharing terms whereby the Company is entitled to a percentage of revenue earned by the customer. This revenue is calculated and recognized on a monthly basis.

<u>Gross versus net revenue</u>

Third party arrangements are evaluated to determine whether the Company acts as the principal or agent under the specific terms of each arrangement. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis; revenue and expenses are recognized in their respective financial statement line items. Conversely, if the Company acts as the agent, revenues are reported on a net basis; revenues are presented net of any expenses.

Determination of principal or agent classification is based on an evaluation of whether the nature of the Company's promise is a performance obligation to provide specific goods or services to the customer (principal), or simply arrange for those goods and services to be provided to the customer by a third party (agent). The most significant factors to consider include whether the Company controls the good or service immediately before it is transferred to the customer, is primarily responsible for fulfilling the promise to provide the specified good or service, has inventory risk before transferring the specified good or service, and has discretion in establishing prices for the specified good or service.

The Company evaluates whether it is acting as principal or agent. The Company reports prize winnings revenue on a gross basis as the Company controls the participation of players under contract in tournaments and leagues. Recording revenue on a gross basis is evidenced by the Company's ability having a level of discretion in establishing pricing.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material
accounting policies (continued) <br>
Cost of sales

Cost of sales consists of the share of tournament or league prize winnings paid to the players and coaches as per the contracts between the Company and the players and coaches. Cost of sales also includes sales commission paid on sponsorship revenue.

**Foreign currency**

The consolidated financial statements are presented in Canadian dollars. The functional currency of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.), Lazarus Esports Inc. and Tiidal Gaming Canada Inc., is the Canadian dollar. The functional currency of Space Esports Inc. is the United States dollar, and the functional currency of Tiidal NZ is the New Zealand dollar.

Assets and liabilities of subsidiaries having a functional currency other than the Canadian dollar are translated to the presentation currency, Canadian dollars, at the rate of exchange at the reporting period date. Revenues and expenses are translated at average rates for the period, unless exchange rates fluctuated significantly during the period, in which case the exchange rates at the dates of the transaction are used. The resulting foreign currency translation adjustments are recognized in the accumulated other comprehensive (loss) income included in the consolidated statements of changes in shareholders' equity. Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the date of the transactions. At the end of each reporting period, foreign currency denominated monetary assets and liabilities are translated to the functional currency using the prevailing rate of exchange at the reporting period date. Gains and losses on translation of monetary items are recognized in the consolidated statement of net (loss) income and comprehensive (loss) income.

Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive (loss) income in the translation reserve.

**Share Capital**

The proceeds from the exercise of stock options, warrants and escrow shares are recorded as share capital in the amount for which the option, warrant or escrow share enabled the holder to purchase a share in the Company.

Depending on the terms and condition of each financing agreement, the warrants are exercisable into additional common shares prior to expiry at a price stipulated by the agreement. Warrants that are part of units are accounted for using the residual method, following an allocation of the unit price to the fair value of the common shares that were concurrently issued. Warrants that are issued as payment for an agency fee or other transaction costs are accounted for as share-based payments.

Commissions paid to agents and other share issue costs are charged directly to share capital.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material
accounting policies (continued) <br>
Share-based payments

Equity-settled share-based payments to employees are measured at the fair value of the instruments at the grant date and recognized in expense over the vesting periods. Equity-settled share-based payments to non-employees are measured at the fair value of goods or services received or the fair value of the equity instruments issued if it is determined that the fair value of the goods or services received cannot be reliably measured. Non-employee share-based payments are recognized in expense at the date the goods or services are received. The corresponding amount is recorded to reserves. Upon the exercise of stock options, consideration received on the exercise is allocated to share capital and the related amount previously recognized for the issuance of the option remains in reserves.

The fair value of options is determined using the Black-Scholes Option Pricing Model on the date of the grant, based on certain assumptions.

The fair value of equity settled RSUs is measured at the grant date based on the fair value of the Company's common shares on that date, each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest.

All RSUs are recognized in the consolidated statements of net loss and comprehensive loss as an expense over the vesting period with a corresponding increase in equity reserves in the consolidated statement of financial position.

**Income taxes and deferred income taxes**

Income tax comprises current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the income tax is also recognized directly in equity or other comprehensive income.

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted at the end of the reporting period, and any adjustment to tax payable in respect of previous years. Current tax assets and current tax liabilities are only offset if a legally enforceable right exists to offset the amounts and the Company intends to settle on a net basis, or to realize the asset and settle the liability simultaneously.

Deferred tax is recognized in respect of all qualifying temporary differences arising between the tax basis of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined on a non-discounted basis using tax rates and laws that have been enacted or substantively enacted at the end of the reporting period and are expected to apply when the deferred tax asset or liability is settled. Deferred tax assets are recognized to the extent that it is probable that the assets can be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material
accounting policies (continued)

**Income taxes and deferred income taxes (continued)**

Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered.

**Trade receivables**

Trade receivables, net of allowances, are stated at the amount the Company expects to collect. Trade receivables are recognized initially at fair value less expected credit losses based on management's review of year end receivables, and do not bear any interest. A provision for expected credit losses is generally made when there is objective evidence that the Company will not be able to collect the amounts due according to original payment terms or when there are indications of collection issues related to specific customers. The amount of the impairment loss on a financial asset measured at amortized cost is the difference between the asset's carrying amount and the present value of estimated future cash flows discounted at the asset's original effective interest rate. Losses are recognized in profit or loss and are applied against trade receivables through a loss allowance account.

**Financial instruments**

The Company classifies its financial instruments in the following categories: at fair value through profit and loss ("FVTPL"), at fair value through other comprehensive (loss) income ("FVTOCI") or at amortized cost. The Company determines the classification of financial assets at initial recognition. The classification of debt instruments is driven by the Company's business model for managing the financial assets and their contractual cash flow characteristics. Equity instruments that are held for trading are classified as FVTPL. For other equity instruments, on the day of acquisition, the Company can make an irrevocable election (on an instrument-by-instrument basis) to designate them as at FVTOCI. Financial liabilities are measured at amortized cost, unless they are required to be measured at FVTPL (such as instruments held for trading or derivatives) or if the Company has opted to measure them at FVTPL.

The Company's financial assets and liabilities are classified as follows:

---

| | |
|:---|:---|
| **Asset or liability** | **Classification** |
| Cash | FVTPL |
| Short-term investments | FVTPL |
| Trade and other receivables | Amortized cost |
| Accounts payable and other liabilities | Amortized cost |
| Government loan payable | Amortized cost |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

***Financial assets***

*Recognition and initial measurement*

The Company recognizes financial assets when it becomes party to the contractual provisions of the instrument. Financial assets are measured initially at their fair value plus, in the case of financial assets not subsequently measured at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Transaction costs attributable to the acquisition of financial assets subsequently measured at fair value through profit or loss are expensed in profit or loss when incurred.

Financial assets are classified as follows:

● Amortized cost - Assets that are held for collection of contractual cash flows where those cash flows are solely payments of principal and interest are measured at amortized cost. Interest revenue is calculated using the effective interest method and gains or losses arising from impairment, foreign exchange and derecognition are recognized in profit or loss. Financial assets measured at amortized cost are comprised of trade and other receivables.

● Fair value through other comprehensive income - Assets that are held for collection of contractual cash flows and for selling the financial assets, and for which the contractual cash flows are solely payments of principal and interest, are measured at fair value through other comprehensive income. Interest income calculated using the effective interest method and gains or losses arising from impairment and foreign exchange are recognized in profit or loss. All other changes in the carrying amount of the financial assets are recognized in other comprehensive income. Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified to profit or loss. The Company does not hold any financial assets measured at fair value through other comprehensive income.

● Mandatorily at fair value through profit or loss - Assets that do not meet the criteria to be measured at amortized cost, or fair value through other comprehensive income, are measured at fair value through profit or loss. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. Financial assets measured at fair value through profit or loss consists of cash and short-term investments.

● Designated at fair value through profit or loss – On initial recognition, The Company may irrevocably designate a financial asset to be measured at fair value through profit or loss in order to eliminate or significantly reduce an accounting mismatch that would otherwise arise from measuring assets or liabilities, or recognizing the gains and losses on them, on different bases. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. The Company does not hold any financial assets designated to be measured at fair value through profit or loss.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

***Financial assets (continued)***

The Company measures all equity investments at fair value. Changes in fair value are recorded in profit or loss.

Business model assessment

The Company assesses the objective of its business model for holding a financial asset at a level of aggregation which best reflects the way the business is managed, and information is provided to management. Information considered in this assessment includes stated policies and objectives.

Contractual cash flow assessment

The cash flows of financial assets are assessed as to whether they are solely payments of principal and interest on the basis of their contractual terms. For this purpose, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money, the credit risk associated with the principal amount outstanding, and other basic lending risks and costs. In performing this assessment, the Company considers factors that would alter the timing and amount of cash flows such as prepayment and extension features, terms that might limit the Company's claim to cash flows, and any features that modify consideration for the time value of money.

*Impairment*

The Company recognizes a provision for the expected credit losses associated with its financial assets, other than financial assets measured at fair value through profit or loss. Expected credit losses are measured to reflect a probability-weighted amount, the time value of money, and reasonable and supportable information regarding past events, current conditions and forecasts of future economic conditions. The Company applies the simplified approach for trade receivables. Using the simplified possible default events over the assets' contractual lifetime.

The Company assesses whether a financial asset is credit-impaired at the reporting date. Regular indicators that a financial instrument is credit-impaired include significant financial difficulties as evidenced through borrowing patterns or observed balances in other accounts and breaches of borrowing contracts such as default events or breaches of borrowing covenants. For financial assets assessed as credit-impaired at the reporting date, the Company continues to recognize a loss allowance equal to lifetime expected credit losses.

For financial assets measured at amortized cost, loss allowances for expected credit losses are presented in the consolidated statements of financial position as a deduction from the gross carrying amount of the financial asset.

Financial assets are written off when the Company has no reasonable expectations of recovering all or any portion thereof.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

 

***Financial assets (continued)***

*Derecognition of financial assets*

The Company derecognizes a financial asset when its contractual rights to the cash flows from the financial asset expire.

**Financial liabilities**

*Recognition and initial measurement*

The Company recognizes a financial liability when it becomes party to the contractual provisions of the instrument. At initial recognition, the Company measures financial liabilities at their fair value plus transaction costs that are directly attributable to their issuance, with the exception of financial liabilities subsequently measured at fair value through profit or loss for which transaction costs are immediately recorded in profit or loss.

Where an instrument contains both a liability and equity component, these components are recognized separately based on the substance of the instrument, with the liability component measured initially at fair value and the equity component assigned the residual amount.

*Classification and subsequent measurement*

Subsequent to initial recognition, all financial liabilities are measured at amortized cost using the effective interest rate method. Interest, gains and losses relating to a financial liability are recognized in profit or loss.

*Derecognition of financial liabilities*

The Company derecognizes a financial liability only when its contractual obligations are discharged, cancelled or expire.

**Loss per share**

Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares for the assumed exercise of stock options, warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material
accounting policies (continued)

**Income (loss) per share (continued)**

For the years ended October 31, 2024, and 2023, potentially dilutive common shares issuable upon the exercise of conversion option related to warrants and options were not included in the computation of (loss) income per share because their effect was anti-dilutive.

**Discontinued operations/disposal group held for sale**

Discontinued operations are reported when a component of the Company, representing a separate major line of business or area of operations with clearly distinguishable cash flows, has been disposed of or is held for sale. Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria to be classified as held for sale, if earlier. In accordance with IFRS 5, "Non-current Assets Held for Sale and Discontinued Operations" ("IFRS 5"), discontinued operations are reported as a separate element of net income or loss on the consolidated statements of net (loss) income and comprehensive (loss) income for both the current and comparative periods. When a disposal group is classified as held for sale, assets and liabilities are aggregated and presented as separate line items, respectively, on the consolidated statement of financial position. Comparative periods are not restated on the consolidated statement of financial position. Assets held for sale are not depreciated and are measured at the lower of carrying value and fair value less costs to sell.

**New accounting pronouncements issued but not yet effective**

Certain new standards, interpretations and amendments to existing standards have been issued by the IASB that are mandatory for future accounting periods. Some updates that are not applicable or are not consequential to the Company may have been excluded. The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective. The Company has determined that there are no new standards that are relevant to the Company.

**Critical Accounting Estimates and Judgments**

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates, judgments and assumptions that affect the application of policies and reported amounts of assets and liabilities, and income and expenses.

These estimates are based on management's best knowledge of current events and actions the Company may undertake in the future. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognized in the period in which the estimates are revised.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies (continued)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Use
 of critical accounting estimates and assumptions

**Income taxes**

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors. The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities. Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such difference will affect the tax provisions in the period in which such determination is made.

**Share-based payments**

The fair value of share-based payments is calculated using the Black-Scholes option pricing model. The main assumptions used in the model include the estimated fair value of the common shares, estimated life of the option, the expected volatility of the Company's share price (using historical volatility of similar publicly traded companies as a reference), the expected dividends, the expected forfeiture rate, and the risk-free rate of interest. The resulting value calculated is not necessarily the value that the holder of the option could receive in an arm's-length transaction given that there is no market for the options, and they are not transferable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Judgments

**Revenue recognition**

The revenue standard sets out a five-step model for the recognition of revenue when control of goods is transferred to, or a service is performed for, the customer. The five steps are to identify the contract(s) with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to each performance obligation and recognize revenue as each performance obligation is satisfied. Management exercises judgment when taking into consideration the relevant facts and circumstances when applying each step of the model to contracts with customers.

**Recognition of revenue on a gross versus net basis**

The Company follows the guidance provided in IFRS 15, Revenue from Contracts with Customers, for determining whether the Company is the principal or an agent in arrangements with customers that involve another party that contributes to providing a specified service to a customer. In these instances, the Company determines whether it has promised to provide the specified service itself (as principal) or to arrange for the specified service to be provided by another party (as an agent). This determination depends on the facts and circumstances of each arrangement and, in some instances, involves significant judgment.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies (continued)** 

**Assessment of going concern**

These consolidated financial statements have been prepared on a basis which assumes the Company will continue to operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. In assessing whether this assumption is appropriate, management considers all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period. This assessment is based upon planned actions that may or may not occur for a number of reasons including the Company's own resources and external market conditions.

&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Short-term Investments** 

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. For the years ended October 31, 2024, the Company recorded interest receivable of $nil (October 31, 2023 – $217,024). For the year ended October 31, 2024, the Company recorded interest income of $60,028 (October 31, 2023 - $219,294).

&nbsp;&nbsp;&nbsp;&nbsp;**6.** **Other Receivables** 

Trade and other receivables consist of the following:

---

| | | |
|:---|:---|:---|
|  | **October 31,**<br> **2024** | **October 31,**<br> **2023** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivables | $**-** | $4446 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST receivable | **37604** | 215466 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest receivable (Note 5) | **-** | 217024 |
|  | $**37604** | $436936 |

---

During the year ended October 31, 2024, the Company recorded a recovery of bad debt expense of $nil (October 31, 2023 - $725) on trade receivables and recorded a provision for expected credit losses.

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Government Loan Payable** 

In May 2020, Tiidal Inc. entered into a Canada Emergency Business Account ("CEBA") loan with the Government of Canada which provided $40,000 in interest free loans to Tiidal Inc. until December 31, 2022. In January 2021, Tiidal Inc. received an additional $20,000 interest free CEBA loan from the Government of Canada. The Government of Canada has announced that the December 31, 2022, forgiveness repayment date has been extended by one year to December 31, 2023, for eligible CEBA loan holders in good standing. The CEBA loan terms were also amended such that the CEBA loans are interest free until December 31, 2023, and any remaining balance would bear interest at 5% per annum starting on January 1, 2024.

As at October 31, 2024, the Company has repaid its CEBA loan balance (October 31, 2023 - $39,250) and recognized $nil (2023 - $nil) in income from government assistance. For the year ended October 31, 2024, the Company has recognized $750 of interest accretion (October 31, 2023 - $4,206).

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**8.** **Share Capital** 

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. The share consolidation is reflected retrospectively in these consolidated financial statements. As at October 31, 2024, the Company had 1 common shares outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 13.88 common shares of the Company at a price of $735,000 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued** 

On July 10, 2024, the Company closed a non-brokered private placement financing of 1 common shares at a deemed price of $30,000 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

The Company issued common shares as described below for the year ended October 31, 2023:

On December 1, 2022, the Company closed a non-brokered private placement financing of 0.32 units at a price of $600,000 per unit for gross proceeds of $202,960. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $900,000 per common share for a period of 36 months following the closing date. The Company issued 0.16 common shares to settle $93,231 in accounts payable.

On June 9, 2023, the Company issued 0.32 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

8. Share
Capital (continued)

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options** 

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the year ended October 31, 2024, the following activity occurred:

● On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

For the year ended October 31, 2023, the following activity occurred:

● On February 5, 2023, 0.02 options granted to employees of Lazarus were effectively cancelled on the date the operations ceased.

● On June 9, 2023, 0.25 unvested revenue milestone options granted to employees of Tiidal NZ were forfeited in accordance with the sale of Tiidal NZ to Entain that closed.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

8. Share
Capital (continued)

For the year ended October 31, 2024, and year ended October 31, 2023, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Weighted Average Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2022 | &nbsp;&nbsp;2.30 | &nbsp;&nbsp;$1560000 |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;(0.24) | &nbsp;&nbsp;($1980000) |
| &nbsp;&nbsp;Forfeited | &nbsp;&nbsp;(1.18) | &nbsp;&nbsp;($1680000) |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | &nbsp;&nbsp;**0.88** | &nbsp;&nbsp;**$1320000** |
| &nbsp;&nbsp;Cancelled | &nbsp;&nbsp;**(0.88)** | &nbsp;&nbsp;**($1320000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** |

---

At October 31, 2024, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the year ended October 31, 2024, $20,000 (October 31, 2023 - $378,725) was recorded as share-based payments for stock options.

Stock options are granted with an exercise price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the year ended October 31, 2024, and year ended October 31, 2023, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Weighted Average Exercise Price** |
| &nbsp;&nbsp;**Outstanding, October 31, 2022** | &nbsp;&nbsp;**2.22** | &nbsp;&nbsp;**$1980000** |
| &nbsp;&nbsp;Granted | &nbsp;&nbsp;**0.49** | &nbsp;&nbsp;**$900000** |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;**(0.39)** | &nbsp;&nbsp;**($960000)** |
| &nbsp;&nbsp;Cancelled | &nbsp;&nbsp;**(0.01)** | &nbsp;&nbsp;**($900000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | &nbsp;&nbsp;**2.31** | &nbsp;&nbsp;**$1920000** |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;**(0.66)** | &nbsp;&nbsp;**($4500000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024** | &nbsp;&nbsp;**1.65** | &nbsp;&nbsp;**$900000** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Share Capital (continued)** 

At October 31, 2024, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Number Outstanding** | &nbsp;&nbsp;**Exercise Price** | &nbsp;&nbsp;**Expiry Date** | &nbsp;&nbsp;**Number Exercisable** |
| &nbsp;&nbsp;0.93 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;September 20, 2025 | &nbsp;&nbsp;0.93 |
| &nbsp;&nbsp;0.23 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;October 12, 2025 | &nbsp;&nbsp;0.23 |
| &nbsp;&nbsp;0.49 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;November 30, 2025 | &nbsp;&nbsp;0.49 |
| &nbsp;&nbsp;**1.65** |  |  | &nbsp;&nbsp;**1.65** |

---

As at October 31, 2024, the weighted average life of warrants outstanding was 0.95 years (October 31, 2023 – 1.41 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the consolidated statements of net (loss) income and comprehensive (loss) income over the vesting period of the warrants, with a corresponding increase to reserves. For the year ended October 31, 2024, $nil (October 31, 2023 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**d)** **Restricted Share Units ("RSU")** 

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 at $480,000 per restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;**9.** **Related Party Transactions** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**9.** **Related Party Transactions (continued)** 

For the year ended October 31, 2024, and 2023, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp;**Year ended**<br> **October 31,**<br> **2024** | &nbsp;&nbsp;**Year ended**<br> **October 31,**<br> **2023** |
| &nbsp;&nbsp;Management and director fees and salaries | $**226500** | $175933 |
| &nbsp;&nbsp;Salaries included in general and administrative expenses | **-** | 374593 |
| &nbsp;&nbsp;Share-based payments | **-** | 204052 |
| &nbsp;&nbsp;Restricted share units | **-** | 200000 |
| &nbsp;&nbsp;Payments made under the share buy back | **3498245** | - |
|  | $**3724745** | $**954579** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the years ended October 31, 2024, and 2023, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at October 31, 2024, included in accounts payable and other liabilities is $nil (October 31, 2023 – $1,018) in amounts payable to directors and officers of the Company. The amount is unsecured, non-interest bearing and due on demand.

&nbsp;&nbsp;&nbsp;&nbsp;**10.** **General and Administrative Expenses** 

General and administrative expenses consisted of the following:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | October 31, <br>2023 |
| &nbsp;&nbsp;Office and miscellaneous | $**36231** | $54188 |
| &nbsp;&nbsp;Salaries and benefits | **-** | 291174 |
| &nbsp;&nbsp;Professional fees | **205557** | 355627 |
| &nbsp;&nbsp;Insurance and bank | **1168** | 41989 |
|  | $**242956** | $742978 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**11.** **Capital Management** 

The Company considers its capital structure to consist of shareholders' equity, and government loan payable. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at October 31, 2024.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**11.** **Capital Management (continued)** 

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the year ended October 31, 2024.

**12.** **Financial Instruments and Risk Management** 

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, other receivables, short-term investments, accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, and short-terms investments are recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash and short-term investment are held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

12. Financial
Instruments and Risk Management (continued)

The Company applies the simplified approach to provide for expected credit losses as prescribed by IFRS 9, which permits the use of lifetime expected loss provision for all trade receivables. The loss allowance is based on the Company's historical collection and loss experience and incorporates forward-looking factors, where appropriate. At October 31, 2024, the Company had recorded an expected credit loss of $nil (October 31, 2023 - $nil).

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | **October 31,**<br> **2023** |
| Accounts payable and other liabilities | $60048 | $219760 |
|  | $**60048** | $**219760** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk primarily arises from financial instruments denominated in US dollars that are held in entities with a Canadian dollar functional currency. Conversely for the Tiidal NZ subsidiary who has a NZ dollar functional currency, currency risk primarily arises from financial instruments denominated in Canadian dollars that are held in Tiidal NZ.

The Company is no longer exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and other liabilities that are denominated in US dollars.

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2024 and 2023 to interest rate risk through its financial instruments.

13. Discontinued
Operations

On December 1, 2022, the Company discontinued the operations and disposed of the remaining assets of Lazarus Esports Inc. ("Lazarus Esports"). As a result, Lazarus Esports was classified as discontinued operations in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5"). Consolidated statements of loss and comprehensive loss from discontinued operations of Lazarus Esports for the year ended October 31, 2024, and 2023 are comprised of the following:

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

13. Discontinued
Operations (continued)

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Lazarus Esports** | **October 31, 2024** | October 31, 2023 |
|  | **$** | $ |
| &nbsp;&nbsp;**Total revenue** |  |  |
| &nbsp;&nbsp;Cost of goods sold |  |  |
| &nbsp;&nbsp;**Gross Profit** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss |  |  |
| &nbsp;&nbsp;Total expenses |  |  |
| &nbsp;&nbsp;**Net loss from discontinued operations** |  |  |

---

Cash flows from discontinued operations of Lazarus for the year ended October 31, 2024, and 2023 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Lazarus Esports** | **October 31, 2024** | October 31, 2023 |
|  | **$** | $ |
| &nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;Loss from discontinued operations |  |  |
| &nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;Accounts receivable |  |  |
| &nbsp;&nbsp;Prepaid expenses |  |  |
| &nbsp;&nbsp;Trade and other payables |  |  |
| &nbsp;&nbsp;Total cash used by discontinued operations |  |  |
| &nbsp;&nbsp;**Change in net cash used in discontinued operations** |  |  |

---

**Tiidal New Zealand**

On March 13, 2023, the Company announced that it and its wholly owned subsidiary, Tiidal Inc., have entered into a share sale and purchase agreement with Entain Holdings (UK) Limited ("Entain"), pursuant to which Tiidal Inc. will sell all of the shares of the Company's operating subsidiary, Tiidal NZ, to Entain ("Tiidal NZ Sale"). Tiidal Inc. agreed to sell all of the issued and outstanding shares of Tiidal NZ to Entain for gross proceeds of $13,250,000 in cash ("Purchase Price"), subject to standard transaction adjustments. Pursuant to the Tiidal NZ Sale, the Purchase Price will be retained by Tiidal in a holding account for 180 days (the "Holding Period"). During the Holding Period, Tiidal may access the funds to satisfy any working capital adjustment or claims brought by Entain and may access up to 20% of the funds to pay reasonable costs related to the Tiidal NZ Sale. The sale of Tiidal NZ closed on June 9, 2023.

The Company classified the operations as held for sale in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5") for the year ended October 31, 2024, and 2023. Consolidated statements of loss and comprehensive loss from discontinued operations for the year ended October 31, 2024, and 2023 are comprised of the following:

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

13. Discontinued
Operations (continued)

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Tiidal NZ** | **October 31, 2024** | October 31, 2023 |
|  | **$** | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of goods sold |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Gross Profit** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Travel |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss |  |  |
| &nbsp;&nbsp;Total expenses |  |  |
| &nbsp;&nbsp;Net loss before gain on sale and foreign currency translation adjustment |  |  |
| &nbsp;&nbsp;Gain on sale of Tiidal NZ |  |  |
| &nbsp;&nbsp;Foreign currency translation adjustment |  |  |
| &nbsp;&nbsp;**Net income (loss) from discontinued operations** |  |  |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**13.** **Discontinued Operations (continued)** 

Cash flows from discontinued operations for the years ended October 31, 2024, and 2023 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Tiidal NZ** | **October 31, 2024** | October 31, 2023 |
|  | **$** | $ |
| &nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;Income (loss) from discontinued operations |  |  |
| &nbsp;&nbsp;Depreciation |  |  |
| &nbsp;&nbsp;Amortization on intangibles |  |  |
| &nbsp;&nbsp;Accretion expense |  |  |
| &nbsp;&nbsp;Foreign exchange |  |  |
| &nbsp;&nbsp;Cash for deferred revenue |  |  |
| &nbsp;&nbsp;Gain on sale |  |  |
| &nbsp;&nbsp;Foreign currency translation |  |  |
| &nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;Accounts receivable |  |  |
| &nbsp;&nbsp;Prepaid expenses |  |  |
| &nbsp;&nbsp;Trade and other payables |  |  |
| &nbsp;&nbsp;**Change in net cash used in discontinued operations** |  |  |
| &nbsp;&nbsp;**Cash flow used in investing activities from discontinued operations** |  |  |
| &nbsp;&nbsp;Lease payments – lease liability |  |  |
| &nbsp;&nbsp;Lease payments – interest |  |  |
| &nbsp;&nbsp;Proceeds from loan payable |  |  |
| &nbsp;&nbsp;**Net cash provided by financing activities in discontinued operations** |  |  |

---

A reconciliation of the gain on the sale of Tiidal NZ to Entain is as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross proceeds | $13250000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Working capital adjustments | (1002518) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange loss | (60357) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds received | $12187125 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: net carrying value of Tiidal NZ assets held for sale as at |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;June 8, 2023 | (215662) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: final working capital adjustment | (118797) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: legal fees | (196542) |
| &nbsp;&nbsp;**Gain on sale of Tiidal NZ** | $**11656124** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

14. Income
taxes

The reconciliation of the combined Canadian federal and provincial statutory income tax rate of 26.5% (2023 – 26.5%) to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Net loss from continuing operations | $(660956) | $(1305374) |
| &nbsp;&nbsp;Expected income tax (recovery) expense | (175150) | (345920) |
| &nbsp;&nbsp;Share-based payments and other non-deductible expenses | 5300 | 153800 |
| &nbsp;&nbsp;Share issuance cost booked directly to equity |  | (13030) |
| &nbsp;&nbsp;Tiidal NZ sale |  | 1573000 |
| &nbsp;&nbsp;Change in tax benefits not recognized | 169850 | (1367850) |
| &nbsp;&nbsp;Total income tax (recovery) | $- | $- |

---

The following table summarizes the components of deferred tax:

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Deferred tax assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating tax losses carried forward | $- | $5500 |
|  | - | 5500 |
| Deferred tax liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CEBA loan | $- | $(5500) |
|  | - | (5500) |
| &nbsp;&nbsp;Net deferred tax liability | $- | $- |

---

Deferred tax assets and liabilities have been offset where they relate to income tax levied by the same taxation authority and the Company has the legal right to offset.

Unrecognized deferred tax assets

Deferred taxes are provided as a result of temporary differences that arise due to the differences between the income tax values and the carrying amount of assets and liabilities. Deferred tax assts have not been recognized in respect of the following deductible temporary differences:

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Equipment | $121270 | $121270 |
| &nbsp;&nbsp;Intangible assets | 627140 | 627140 |
| &nbsp;&nbsp;Share issuance costs | 439140 | 668060 |
| &nbsp;&nbsp;Operating tax losses carried forward | 4449240 | 6831270 |
| &nbsp;&nbsp;Operating tax losses carried forward - USA | - | 32390 |
|  | $5636790 | $8280130 |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

14. Income
Taxes – (continued)

The Canadian operating tax loss carry forwards expire as noted in the table below. The remaining deductible temporary differences may be carried forward indefinitely. Deferred tax assets have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom.

The Company's Canadian operating tax losses expire as follows:

---

| | |
|:---|:---|
| 2040 | $250110 |
| 2041 | 620270 |
| 2042 | 1961410 |
| 2043 | 752920 |
| 2044 | 864530 |
|  | $4449240 |

---

15. Subsequent
Events

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd, 1510441 B.C. Ltd and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA ("Triforce"), now holds common shares in the following former subsidiaries; 1507651 B.C Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

## Exhibit 99.13

**Exhibit 99.13**

**WBM CAPITAL CORP.**

**(FORMERLY TIIDAL GAMING GROUP CORP.)**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the years ended October 31, 2024, and 2023**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's audited consolidated financial statements and notes for the years ended October 31, 2024, and 2023.

The Company's audited consolidated financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC") and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on February 27, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at October 31, 2024:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp; **Name of subsidiary** | &nbsp;&nbsp; **Jurisdiction <br> Incorporated** | &nbsp;&nbsp; **Functional Currency** | &nbsp;&nbsp; **Accounting**<br> **Method/Date of <br> Disposal** |
| &nbsp;&nbsp; Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp; Canada | &nbsp;&nbsp; Canadian dollars | &nbsp;&nbsp; Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507652 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507653 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507655 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |

---

WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations. The Corporation is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

**Overall Performance**

<u>Financing Transactions</u>

On June 9, 2023, the Company issued 0.32 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 1common shares at a deemed price of $30,000 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss for the year ended October 31, 2024, was $660,956 (October 31, 2023, net income - $8,936,416). The increase in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets.

The Company's comprehensive loss for the year ended October 31, 2024, was $655,537 (October 31, 2023, net income - $9,109,757). The increase in loss year over year was due mainly to the closure of the Lazarus subsidiary and the sale of the Sportsflare subsidiary. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,525,845 at October 31, 2024 (October 31, 2023 – $6,864,889). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | (238606) | (92481) |
| &nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the years ended October 31, 2024, and 2023**

*Expenses*

The Company's operating expenses for the year ended October 31, 2024, were $600,903, compared to $1,541,997 for the year ended October 31, 2023. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

General and administrative expenses decreased to $242,956 for the year ended October 31, 2024, from $742,978 in the year ended October 31, 2023. These costs consist primarily of salaries and office expenses incurred by corporate and legal costs related to the sale of Sportsflare.

Management fees increased to $335,775 for the year ended October 31, 2024, from $175,933 in the year ended October 31, 2023. These costs pertain to salaries for officers and directors.

Share based payments costs decreased to $20,000 for the year ended October 31, 2024, from $578,725 in the year ended October 31, 2023. The decrease in share-based payments as a result of all remaining stock options being cancelled subsequent to year end.

*General and administrative expenses*

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office and miscellaneous | $36231 | $54188 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and benefits |  | 291174 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 205557 | 355627 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insurance and bank | 1168 | 41989 |
|  | $242956 | $742978 |

---

For the year ended October 31, 2024, the Company's general and administrative expenses decreased by $500,022. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $150,070 for the year ended October 31, 2024, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **October 31, <br> 2024** | **July 31, <br> 2024** | **April 30,**<br> **2024** | **January 31, <br> 2024** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (227102) | (84494) | (282503) | (66857) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | 141399) | 77793) | 338663) | 9516) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 2 | 1 | 1 | 7 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Oct 31,**<br> **2023** | **July 31,**<br> **2023** | **April 30,**<br> **2023** | **January 31, <br> 2022** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (220056) | 11045537 | (952171) | (936894) |
| &nbsp;&nbsp;Income (loss) per share - basic and diluted | 15589) | $773192 | 68672) | 63372) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 14 | 14 | 14 | 14 |

---

**Liquidity and Capital Resources**

As at October 31, 2024, the Company had working capital of $59,320 (October 31, 2023 – $10,908,108), consisting primarily of cash, trade and other receivables, and prepaid expenses and deposits, offset by accounts payable and lease liability. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023.

**Cash Flows**

A summary of cash flows for October 31, 2024, and 2023 is as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **2024** | **2023** | **Change** |
| &nbsp;&nbsp;Operating activities | $(688624) | (1124994) | 456370 |
| &nbsp;&nbsp;Discontinued operations |  | (241056) | 241056 |
| &nbsp;&nbsp;Investing activities | 10879322 | 1273773 | 9605549 |
| &nbsp;&nbsp;Financing activities | (10234676) | 153776 | (10080900) |
| &nbsp;&nbsp;Effect on FX on cash |  | 1543 | 1543 |
| &nbsp;&nbsp;Change in cash | $(43978) | 63042 | (107020) |

---

*Operating Activities*

For the year ended October 31, 2024, cash flows used in operating activities of $688,624 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses as well as the share issuer bid payment that was made during the period ended.

*Investing Activities*

For the year ended October 31, 2024, investing activities consisted of the purchase and redemption of short-term investments.

*Financing Activities*

For the year ended October 31, 2024, financing activities consisted of the share purchase buy back that was completed on December 15, 2023, the share repurchase of pre-consolidation shares of $25,736 and the government loan repayment of $40,000.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at October 31, 2024 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the year ended October 31, 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br> **October 31, 2024** | **Year ended**<br> **October 31, 2023** |
| &nbsp;&nbsp;Management and director fees | $226500 | $175933 |
| &nbsp;&nbsp;Salaries |  | 374593 |
| &nbsp;&nbsp;Share-based payments |  | 204052 |
| &nbsp;&nbsp;Payments made under the share buy back | 3498245 | 200000 |
|  | $**3724745** | $**954579** |

---

For the years ended October 31, 2024, and 2023, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at October 31, 2024, included in accounts payable and other liabilities is $nil (October 31, 2023 – $1,018) in amounts payable to directors and officers of the Company.

**Proposed Transactions**

As at the date of this MD&A, the Company has no proposed transactions.

**Commitments**

As at October 31, 2024, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, restricted cash, trade and other receivables, accounts payable and other liabilities, subscription liability, promissory notes payable, and convertible notes approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at October 31, 2024 and 2023, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | **October 31,**<br> **2023** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $60048 | $219760 |
|  | $**60048** | $**219760** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities that are denominated in US dollars.

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2024 and October 31, 2023 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at October 31, 2024:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | **February 26,**<br> **2025** |
| Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 15 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares repurchased via Share Issuer Bid | (14) |  |
| Outstanding common shares | 1 |  |
| Shares issued for debt |  |  |
| Shares issued for cash | 1 |  |
| Share repurchase | (1) |  |
| Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 2 |  |
| Fully diluted total | 3 | 3 |

---

As at October 31, 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average <br> Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2022 | 2.30 | $1560000 |
| &nbsp;&nbsp;Expired | (0.24) | 1980000) |
| &nbsp;&nbsp;Forfeited | (1.18) | 1680000) |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | **0.88** | $**1320000** |
| &nbsp;&nbsp;Cancelled | **(0.88)** | **1320000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024** | **—** | **—** |

---

At October 31, 2024, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At October 31, 2024 the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | **Expiry Date** | **Number Vested** |
| 0.93 | $900000 | Sept 20, 2025 | 0.93 |
| 0.23 | $900000 | Oct 12, 2025 | 0.23 |
| 0.49 | $900000 | Nov 30, 2025 | 0.49 |
| 1.65 |  |  | 1.65 |

---

**Subsequent Events**

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd, 1510441 B.C. Ltd and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA ("Triforce"), now holds common shares in the following former subsidiaries; 1507651 B.C Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The Company is relatively new with limited operating history and operates in the emerging industry of Esports. The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The British Columbia Business Corporations Act ("BCBCA") provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

## Exhibit 99.14

**Exhibit 99.14**

**Form 52-109FV1**

**Certification of Annual Filings**

**Venture Issuer Basic Certificate**

I, **Carlo Rigillo, Chief Executive Officer** of **WBM Capital Corp.** (the "**Issuer**"), certify the following:

1.  ***Review:*** I have reviewed the AIF, if any, annual financial
statements and annual MD&A, including, for greater certainty, all documents and information that are incorporated by reference
in the AIF (together, the "**Annual Filings**") of the Issuer for the financial year ended **October 31, 2024.** 

2.  ***No misrepresentations:*** Based on my knowledge, having exercised
reasonable diligence, the Annual Filings do not contain any untrue statement of a material fact or omit to state a material fact
required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was
made, with respect to the period covered by the Annual Filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised
reasonable diligence, the annual financial statements together with the other financial information included in the Annual Filings
fairly present in all material respects the financial condition, results of operations and cash flows of the Issuer, as of the
date of and for the period presented in the Annual Filings.

Date: **February 27, 2025**

---

| |
|:---|
| *"Carlo Rigillo"* |
| **Carlo Rigillo** |
| *Chief Executive Officer* |

---

&nbsp;&nbsp; **<u>NOTE TO READER</u>**<br>In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of<br>i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and<br>ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.<br>The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.<br>

## Exhibit 99.15

**Exhibit 99.15**

**Form 52-109FV1**

**Certification of Annual Filings**

**Venture Issuer Basic Certificate**

I, **Carlo Rigillo, Chief Financial Officer** of **WBM Capital Corp.** (the "**Issuer**"), certify the following:

1.  ***Review:*** I have reviewed the AIF, if any, annual financial
statements and annual MD&A, including, for greater certainty, all documents and information that are incorporated by reference
in the AIF (together, the "**Annual Filings**") of the Issuer for the financial year ended **October 31, 2024.** 

2.  ***No misrepresentations:*** Based on my knowledge, having exercised
reasonable diligence, the Annual Filings do not contain any untrue statement of a material fact or omit to state a material fact
required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was
made, with respect to the period covered by the Annual Filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised
reasonable diligence, the annual financial statements together with the other financial information included in the Annual Filings
fairly present in all material respects the financial condition, results of operations and cash flows of the Issuer, as of the
date of and for the period presented in the Annual Filings.

Date: **February 27, 2025**

---

| |
|:---|
| *"Carlo Rigillo"* |
| **Carlo Rigillo** |
| *Chief Financial Officer* |

---

&nbsp;&nbsp; **<u>NOTE TO READER</u>**<br>In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of<br>i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and<br>ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.<br>The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.<br>

## Exhibit 99.16

**Exhibit 99.16**

**WBM Capital Corp. Announces Proposed Reverse Takeover of Wappier Inc.**

Vancouver, British Columbia--(Newsfile Corp. - April 2, 2025) - WBM Capital Corp. (the "**Company**" or "**WBM**") is pleased to announce that it has entered into a definitive business combination agreement with Wappier Inc. ("**Wappier**") dated April 2, 2025 pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "**Resulting Issuer**") and listing of the Resulting Issuer on the Canadian Securities Exchange (the "**Proposed Transaction**").

Completion of the Proposed Transaction remains subject to a number of conditions, including the receipt of all required corporate, shareholder, regulatory and other approvals. A comprehensive news release will be issued by WBM and Wappier setting out the terms of the Proposed Transaction, which shall include information about Wappier upon closing of the Proposed Transaction and the proposed financing of Wappier to be carried out in connection with the Proposed Transaction, including details of repayment of debt obligations.

In today's artificial intelligence ("**AI**") driven landscape, proprietary data serves as the cornerstone for competitive advantage and superior consumer insights. Wappier leverages its exclusive access to proprietary data, processing billions of unique data points daily through advanced Large Quantitative Models ("**LQMs**"). These LQMs construct sophisticated digital twins for each customer's consumer base, enabling real-time predictive insights and precise, dynamic influencing of consumer behaviors at unparalleled scale and accuracy.

Central to Wappier's advanced capabilities is its agentic architecture, specifically designed for optimal revenue optimization and comprehensive customer lifecycle management. This AI-driven architecture autonomously identifies revenue-enhancing opportunities and proactively orchestrates highly personalized, consumer-centric interactions across the entire customer journey. By continuously refining these interactions, Wappier maximizes consumer engagement, retention, and lifetime value, thus setting the standard for next-generation AI-powered marketing technology.

Furthermore, Wappier is in advanced stages of completing the acquisition of a prominent European entity with a substantial customer base in the wireless carrier industry (the "**Acquisition**"). This strategic move is intended to significantly expand Wappier's proprietary data resources and customer base, providing access to extensive consumer datasets unique to the wireless communications sector.

The integration of this European entity will enrich Wappier's LQMs, enhancing the accuracy and effectiveness of the company's AI-driven predictive and prescriptive analytics. Leveraging this new proprietary data, Wappier aims to further refine consumer digital twins, enabling even more precise real-time predictions and personalized consumer interactions.

Through the Acquisition, that is envisioned to close concurrently with the Proposed Transaction, Wappier expects to solidify its leadership position in AI-powered consumer analytics and drive continued growth in mobile revenue optimization across Europe and globally.

**About Wappier Inc.**

Wappier is a leading provider of AI-powered business optimization solutions, transforming unstructured consumer data into digital consumer twins using Large Quantitative Models. Its proprietary platform increases consumer monetization, reduces churn, and maximize customer lifetime value. Wappier's core offerings include Global and Promotional Pricing Optimization, dynamic Next Best Action recommendations, and multidimensional Customer Loyalty Programs for lobal mobile publishers and wireless carriers. For more information, visit <u>www.wappier.com</u>.

**About WBM Capital Corp.**

WBM is a British Columbia corporation that is a reporting issuer under the securities laws of British Columbia, Alberta and Ontario. WBM has no material assets and does not conduct any operations or active business, other than the identification and evaluation of acquisition opportunities to permit the company to acquire a business or assets in order to conduct commercial operations.

For additional information, please contact:

WBM Capital Corp.

Carlo Rigillo

Chief Executive Officer

T: 647-400-4794

E: <u>carlo.rigillo@gmail.com</u>

**Cautionary Statements**

As noted above, completion of the Proposed Transaction is subject to a number of conditions. There can be no assurance that the Proposed Transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the management information circular and listing statement of the Company, Wappier and the Resulting Issuer, as applicable, to be prepared in connection with the Proposed Transaction, any information released or received with respect to the Proposed Transaction may not be accurate or complete and should not be relied upon.

**Forward-Looking Information and Statements**

This news release contains "forward-looking information" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information.

Generally, such forward-looking information or forward-looking statements can be identified by the use of forward looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved". The forward-looking information and forward-looking statements contained herein include, but are not limited to, statements regarding: the Company's ability to complete the Proposed Transaction; and the closing date of the Proposed Transaction.

Forward-looking information in this news release are based on certain assumptions and expected future events, namely: the Company's ability to continue as a going concern; the Company's ability to continue to develop revenue generating applications; continued approval of the Company's activities by the relevant governmental and/or regulatory authorities; and the continued growth of the Company.

These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including but not limited to: the potential inability of the Company to continue as a going concern; risks associated with potential governmental and/or regulatory action with respect to the Company's operations; and the Company's inability to complete the Proposed Transaction.

Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.

Forward-looking statements contained in this news release are expressly qualified by this cautionary statement and reflect the Company's expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.

Not for distribution to United States newswire services or for release publication, distribution, or dissemination directly, or indirectly, in whole or in part, in or into the United States.

To view the source version of this press release, please visit

<u>https://www.newsfilecorp.com/release/247017</u>

## Exhibit 99.17

**Exhibit 99.17**

WBM CAPITAL CORP.

(FORMERLY TIIDAL GAMING GROUP CORP.)

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

FOR THE THREE MONTHS ENDED JANUARY 31, 2025, AND 2024

(EXPRESSED IN CANADIAN DOLLARS)

(UNAUDITED)

**NOTICE OF NO AUDITOR REVIEW OF**

**CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS**

The accompanying unaudited condensed consolidated interim financial statements of WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) have been prepared by management in accordance with International Financial Reporting Standards ("IFRS"). These condensed consolidated interim financial statements, which are the responsibility of management, are unaudited and have not been reviewed by the Company's auditors. The Company's Audit Committee and Board of Directors have reviewed and approved these condensed consolidated interim financial statements. In accordance with the disclosure requirements of National Instruments 51-102 released by the Canadian Securities Administrators, the Company's independent auditors have not performed a review of these condensed consolidated interim financial statements.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statements of Financial Position

As at January 31, 2025 and October 31, 2024

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **January 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**20094** | $35287 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 | **37604** | 37604 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  |  | 46477 |
| &nbsp;&nbsp;**Total assets** |  | $**57698** | $119368 |
| &nbsp;&nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable and other liabilities | 9 | $**34985** | $60048 |
| &nbsp;&nbsp;**Total liabilities** |  | **34985** | 60048 |
| &nbsp;&nbsp;**Shareholders' equity** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital  | 8 | **733786** | 733786 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves | 8 | **6851379** | 6851379 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7562452)** | (7525845) |
| &nbsp;&nbsp;**Total shareholders' equity** |  | **22713** | 59320 |
| &nbsp;&nbsp;**Total liabilities and shareholders' equity** |  | $**57698** | $119368 |

---

Nature of Operations (Note 1)

Going Concern (Note 2)

Subsequent event (Note 12)

**Approved and Authorized by the Board on April 4<sup>th</sup> , 2025:**

<u>*"Carlo Rigillo"*</u> Director <u>*"Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statements of Net Loss and Comprehensive Loss

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **2025** | **2024** |
| &nbsp;&nbsp;**Operating expenses** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 10 | $**35984** | $105571 |
| &nbsp;&nbsp;&nbsp;&nbsp;Management fees | 9 |  | 21667 |
| &nbsp;&nbsp;Total operating expenses |  | **35984** | 127238 |
| &nbsp;&nbsp;**Loss before other items** |  | **(35984)** | (127238) |
| &nbsp;&nbsp;**Other items** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  |  | 1104 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income | 5 |  | 60028 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **623** | (751) |
| &nbsp;&nbsp;**Net loss and Comprehensive loss for the period** |  | $**(36607)** | $(66857) |
| &nbsp;&nbsp;Weighted average number of common shares outstanding |  | **1** | 7 |
| &nbsp;&nbsp;Basic and diluted loss per share |  | $**(18304)** | $(9516) |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statements of Cash Flows

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| | **2025** | **2024** |
| &nbsp;&nbsp;**Operating activities** |  |  |
| &nbsp;&nbsp;Net loss from operations | $**(36607)** | $(66857) |
| &nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accretion expense |  | 751 |
| &nbsp;&nbsp;Changes in non-cash working capital items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables |  | 183239 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **46477** | (32515) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **(25063)** | 26431 |
| &nbsp;&nbsp;**Net** **cash (used in) provided by operating activities** | **(15193)** | 111049 |
| &nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;Purchase of short-term investment |  | 10600000 |
| &nbsp;&nbsp;**Net** **cash from investing activities** |  | 10600000 |
| &nbsp;&nbsp;**Financing** **activities** |  |  |
| &nbsp;&nbsp;Share issuer buy-back (Note I) |  | (I 0,198,940) |
| &nbsp;&nbsp;Option cancellation payment |  | (35325) |
| &nbsp;&nbsp;Repayment of government loan |  | (40000) |
| &nbsp;&nbsp;**Net** **cash provided by financing activities** |  | (10274265) |
| &nbsp;&nbsp;Effect of foreign exchange on cash |  | (1) |
| &nbsp;&nbsp;**Net** **change in cash** | **(15193)** | 436783 |
| &nbsp;&nbsp;**Cash, beginning of period** | **35287** | 79265 |
| &nbsp;&nbsp;**Cash, end of period** | $**20094** | $516048 |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statement of Shareholders' Equity

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Note** | **Number of Shares** | **Share Capital** <br> $| **Reserves** <br> $| **Accumulated Other Comprehensive Loss** <br> $| **Accumulated Deficit** <br> $| **Total Shareholders' Equity** <br> $|
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **15** | **13572500** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;Shares issuer buy-back | 8 | (14) | (12898978) | 2700038 |  |  | (10198940) |
| &nbsp;&nbsp;Share option cancellation | 8 |  |  | (35525) |  |  | (35525) |
| &nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (66857) | (66857) |
| &nbsp;&nbsp;**Balance, January 31, 2024** |  | **1** | **673522** | **6831379** | **(5419)** | **(6931746)** | **567736** |
| &nbsp;&nbsp;**Balance, October 31, 2024** |  | 1 | **733786** | **6851379** |  | **(7525845)** | **59320** |
| &nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (36607) | (36607) |
| &nbsp;&nbsp;**Balance, January 31, 2025** |  | **1** | **733786** | **6851379** | - | **(7562452)** | **22713** |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**1.** **Nature of Operations** 

WBM Capital Corp. (fonnerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 1900 - 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Corporation is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the **"Offer")** to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

&nbsp;&nbsp;&nbsp;&nbsp;2. Going
Concern

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Going Concern (continued)** 

The Company's accumulated deficit was $7,562,452 at January 31, 2025 (October 31, 2024 - $7,525,845) and its cash flow used in operations was $15,193 (October 31, 2024 - $688,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

These condensed consolidated interim financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities **in** other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Basis of Presentation <br>Statement of Compliance** 

These condensed consolidated interim financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") applicable to the preparation of the condensed consolidated interim financial statements, including International Accounting Standards ("IAS") 34, Interim Financial Reporting, as issued by the International Accounting Standards Board ("TASB") and interpretations of the International Financial Reporting Interpretations Committee ("IFRC").

The condensed consolidated interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on April 4, 2025.

**Basis of Presentation**

The condensed consolidated interim financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group.

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The condensed consolidated interim financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Basis of Presentation (continued)** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary**  | &nbsp;&nbsp;**Jurisdiction Incorporated** | &nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting** <br> **Method/Date of Disposal**  |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies** 

**Foreign currency**

The condensed consolidated interim financial statements are presented **in** Canadian dollars. Assets and liabilities of subsidiaries having a functional currency other than the Canadian dollar are translated to the presentation currency, Canadian dollars, at the rate of exchange at the reporting period date. Revenues and expenses are translated at average rates for the period, unless exchange rates fluctuated significantly during the period, in which case the exchange rates at the dates of the transaction are used. The resulting foreign currency translation adjustments are recognized in the accumulated other comprehensive (loss) income included in the consolidated statements of changes in shareholders' equity. Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the date of the transactions. At the end of each reporting period, foreign currency denominated monetary assets and liabilities are translated to the functional currency using the prevailing rate of exchange at the reporting period date. Gains and losses on translation of monetary items are recognized in the consolidated statement of net (loss) income and comprehensive (loss) income.

Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive (loss) income in the translation reserve.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;4. Material
accounting policies (continued)

**Share Capital**

The proceeds from the exercise of stock options, warrants and escrow shares are recorded as share capital in the amount for which the option, warrant or escrow share enabled the holder to purchase a share in the Company.

Depending on the terms and condition of each financing agreement, the warrants are exercisable into additional common shares prior to expiry at a price stipulated by the agreement. Warrants that are part of units are accounted for using the residual method, following an allocation of the unit price to the fair value of the common shares that were concurrently issued. Warrants that are issued as payment for an agency fee or other transaction costs are accounted for as share-based payments.

Commissions paid to agents and other share issue costs are charged directly to share capital.

**Share-based payments**

Equity-settled share-based payments to employees are measured at the fair value of the instruments at the grant date and recognized **in** expense over the vesting periods. Equity-settled share-based payments to non-employees are measured at the fair value of goods or services received or the fair value of the equity instruments issued if it is determined that the fair value of the goods or services received cannot be reliably measured. Non-employee share-based payments are recognized in expense at the date the goods or services are received. The corresponding amount is recorded to reserves. Upon the exercise of stock options, consideration received on the exercise is allocated to share capital and the related amount previously recognized for the issuance of the option remains in reserves.

The fair value of options is determined using the Black-Scholes Option Pricing Model on the date of the grant, based on certain assumptions.

The fair value of equity settled RSUs is measured at the grant date based on the fair value of the Company's common shares on that date, each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest.

All RSUs are recognized in the consolidated statements of net loss and comprehensive loss as an expense over the vesting period with a corresponding increase in equity reserves in the consolidated statement of financial position.

**Income taxes and deferred income taxes**

Income tax comprises current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the income tax is also recognized directly in equity or other comprehensive income.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;4. Material
accounting policies (continued)

**Income taxes and deferred income taxes (continued)**

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted at the end of the reporting period, and any adjustment to tax payable in respect of previous years. Current tax assets and current tax liabilities are only offset if a legally enforceable right exists to offset the amounts and the Company intends to settle on a net basis, or to realize the asset and settle the liability simultaneously.

Deferred tax is recognized in respect of all qualifying temporary differences arising between the tax basis of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined on a non-discounted basis using tax rates and laws that have been enacted or substantively enacted at the end of the reporting period and are expected to apply when the deferred tax asset or liability is settled. Deferred tax assets are recognized to the extent that it is probable that the assets can be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered.

**Financial instruments**

The Company classifies its financial instruments in the following categories: at fair value through profit and loss ("FVTPL"), at fair value through other comprehensive (loss) income ("FVTOCI") or at amortized cost. The Company determines the classification of financial assets at initial recognition. The classification of debt instruments is driven by the Company's business model for managing the financial assets and their contractual cash flow characteristics. Equity instruments that are held for trading are classified as FVTPL. For other equity instruments, on the day of acquisition, the Company can make an irrevocable election (on an instrument-by-instrument basis) to designate them as at FVTOCI. Financial liabilities are measured at amortized cost, unless they are required to be measured at FVTPL (such as instruments held for trading or derivatives) or if the Company has opted to measure them at FVTPL.

The Company's financial assets and liabilities are classified as follows:

---

| | |
|:---|:---|
| **Asset or liability** | **Classification** |
| Cash | FVTPL |
| Short-term investments | FVTPL |
| Accounts payable and other liabilities | Amortized cost |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

***Financial assets***

*Recognition and initial measurement*

The Company recognizes financial assets when it becomes party to the contractual provisions of the instrument. Financial assets are measured initially at their fair value plus, in the case of financial assets not subsequently measured at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Transaction costs attributable to the acquisition of financial assets subsequently measured at fair value through profit or loss are expensed in profit or loss when incurred.

Financial assets are classified as follows:

● Amortized cost - Assets that are held for collection of contractual cash flows where those cash flows are solely payments of principal and interest are measured at amortized cost. Interest revenue is calculated using the effective interest method and gains or losses arising from impairment, foreign exchange and derecognition are recognized in profit or loss. Financial assets measured at amortized cost are comprised of trade and other receivables.

● Fair value through other comprehensive income - Assets that are held for collection of contractual cash flows and for selling the financial assets, and for which the contractual cash flows are solely payments of principal and interest, are measured at fair value through other comprehensive income. Interest income calculated using the effective interest method and gains or losses arising from impairment and foreign exchange are recognized in profit or loss. All other changes in the carrying amount of the financial assets are recognized in other comprehensive income . Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified to profit or loss. The Company does not hold any financial assets measured at fair value through other comprehensive income.

● Mandatorily at fair value through profit or loss - Assets that do not meet the criteria to be measured at amortized cost, or fair value through other comprehensive income, are measured at fair value through profit or loss. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. Financial assets measured at fair value through profit or loss consists of cash and short-term investments.

● Designated at fair value through profit or loss - On initial recognition, The Company may irrevocably designate a financial asset to be measured at fair value through profit or loss in order to eliminate or significantly reduce an accounting mismatch that would otherwise arise from measuring assets or liabilities, or recognizing the gains and losses on them, on different bases. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. The Company does not hold any financial assets designated to be measured at fair value through profit or loss.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

***Financial assets (continued)***

The Company measures all equity investments at fair value. Changes in fair value are recorded in profit or loss.

Business model assessment

The Company assesses the objective of its business model for holding a financial asset at a level of aggregation which best reflects the way the business is managed, and information is provided to management. Information considered in this assessment includes stated policies and objectives.

Contractual cash flow assessment

The cash flows of financial assets are assessed as to whether they are solely payments of principal and interest on the basis of their contractual terms. For this purpose, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money, the credit risk associated with the principal amount outstanding, and other basic lending risks and costs. In performing this assessment, the Company considers factors that would alter the timing and amount of cash flows such as prepayment and extension features, terms that might limit the Company's claim to cash flows, and any features that modify consideration for the time value of money.

*Impairment*

The Company recognizes a provision for the expected credit losses associated with its financial assets, other than financial assets measured at fair value through profit or loss. Expected credit losses are measured to reflect a probability-weighted amount, the time value of money, and reasonable and supportable information regarding past events, current conditions and forecasts of future economic conditions. The Company applies the simplified approach for trade receivables. Using the simplified possible default events over the assets' contractual lifetime.

The Company assesses whether a financial asset is credit-impaired at the reporting date. Regular indicators that a financial instrument is credit-impaired include significant financial difficulties as evidenced through borrowing patterns or observed balances in other accounts and breaches of borrowing contracts such as default events or breaches of borrowing covenants. For financial assets assessed as credit-impaired at the reporting date, the Company continues to recognize a loss allowance equal to lifetime expected credit losses.

For financial assets measured at amortized cost, loss allowances for expected credit losses are presented in the consolidated statements of financial position as a deduction from the gross carrying amount of the financial asset.

Financial assets are written off when the Company has no reasonable expectations of recovering all or any portion thereof.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies** (**continued)** 

**Financial instruments (continued)**

***Financial assets (continued)***

 **

*Derecognition of financial assets*

The Company derecognizes a financial asset when its contractual rights to the cash flows from the financial asset expire.

**Financial liabilities**

*Recognition and initial measurement*

The Company recognizes a financial liability when it becomes party to the contractual provisions of the instrument. At initial recognition, the Company measures financial liabilities at their fair value plus transaction costs that are directly attributable to their issuance, with the exception of financial liabilities subsequently measured at fair value through profit or loss for which transaction costs are immediately recorded in profit or loss.

Where an instrument contains both a liability and equity component, these components are recognized separately based on the substance of the instrument, with the liability component measured initially at fair value and the equity component assigned the residual amount.

*Classification and subsequent measurement*

Subsequent to initial recognition, all financial liabilities are measured at amortized cost using the effective interest rate method. Interest, gains and losses relating to a financial liability are recognized in profit or loss.

*Derecognition o.ffinancial liabilities*

The Company derecognizes a financial liability only when its contractual obligations are discharged, cancelled or expire.

**Loss per share**

Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares for the assumed exercise of stock options, warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;4. Material
accounting policies (continued)

**Income (loss) per share (continued)**

For the three months ended January 31, 2025, and 2024, potentially dilutive common shares issuable upon the exercise of conversion option related to warrants and options were not included in the computation of (loss) income per share because their effect was anti-dilutive.

**New accounting pronouncements issued but not yet effective**

Certain new standards, interpretations and amendments to existing standards have been issued by the IASB that are mandatory for future accounting periods. Some updates that are not applicable or are not consequential to the Company may have been excluded. The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective. The Company has determined that there are no new standards that are relevant to the Company.

**Critical Accounting Estimates and Judgments**

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates, judgments and assumptions that affect the application of policies and reported amounts of assets and liabilities, and income and expenses.

These estimates are based on management's best knowledge of current events and actions the Company may undertake in the future. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognized **in** the period in which the estimates are revised.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Use of critical accounting estimates and assumptions

**Income taxes**

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors. The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities. Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such difference will affect the tax provisions in the period in which such determination is made.

**Share-based payments**

The fair value of share-based payments is calculated using the Black-Scholes option pricing model. The main assumptions used in the model include the estimated fair value of the common shares, estimated life of the option, the expected volatility of the Company's share price (using historical volatility of similar publicly traded companies as a reference), the expected dividends, the expected forfeiture rate, and the risk-free rate of interest. The resulting value calculated is not necessarily the value that the holder of the option could receive in an arm's-length transaction given that there is no market for the options, and they are not transferable.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies (continued)** 

***Assessment of going concern***

These consolidated financial statements have been prepared on a basis which assumes the Company will continue to operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the nonnal course of operations. In assessing whether this assumption is appropriate, management considers all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period. This assessment is based upon planned actions that may or may not occur for a number of reasons including the Company's own resources and external market conditions.

&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Short-term Investments** 

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. For the three months ended January 31, 2025, the Company recorded interest receivable of $nil (October 31, 2024 - $nil). For the three months ended January 31, 2025, the Company recorded interest income of $nil (January 31, 2024 - $60,028).

&nbsp;&nbsp;&nbsp;&nbsp;**6.** **Other Receivables** 

Other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **January 31,**<br> **2025** | **October 31,**<br> **2024** |
| GST/HST receivable | $**37604** | $37604 |
|  | $**37604** | $37604 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Share Capital** 

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. The share consolidation is reflected retrospectively in these consolidated financial statements. As at October 31, 2024, the Company had 1 common shares outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 13.88 common shares of the Company at a price of $735,000 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Share Capital (continued)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued** 

The Company did not issue any commons shares for the three months ended January 31, 2025.

The Company did not issue any commons shares for the three months ended January 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options** 

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the three months ended January 31, 2025, the Company did not issue any options.

For the three months ended January 31, 2024, the following activity occurred:

● On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per Share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Share Capital (continued)** 

For the three months ended January 31, 2025, and 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
| | **Number** | **Weighted Average Exercise Price** |
| Outstanding, October 31, 2023 | **0.88** | $**1320000** |
| Cancelled | **(0.88)** | **1320000)** |
| **Outstanding, January 31, 2025 and 2024** |  |  |

---

At January 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the three months ended January 31, 2025, $nil (January 31, 2024 - $nil) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the three months ended January 31, 2025, and October 31, 2024, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
| | **Number** | **Weighted Average Exercise Price** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Outstanding, October 31, 2024 and January 31, 2025** | **1.65** | $**900000** |

---

At January 31, 2025, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number**<br> **Outstanding** | **Exercise Price** | **Expiry Date** | **Number**<br> **Exercisable** |
| 0.93 | $900000 | September 20, 2025 | 0.93 |
| 0.23 | $900000 | October 12, 2025 | 0.23 |
| 0.49 | $900000 | November 30, 2025 | 0.23 |
| **1.65** |  |  | **1.65** |

---

As at January 31, 2025, the weighted average life of warrants outstanding was 0.70 years (October 31, 2024 - 0.95 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Share Capital (continued)** 

For the three months ended January 31, 2025, $nil (January 31, 2024 - $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**d)** **Restricted Share Units ("RSU")** 

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 at $480,000 per restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;8. Related
Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the three months ended January 31, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **January 31,**<br> **2025** | **January 31,**<br> **2024** |
| &nbsp;&nbsp;Management and director fees and salaries | $- | $15000 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $- | $**3513245** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the three months ended January 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at January 31, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 - $nil) in amounts payable to directors and officers of the Company. The amount is unsecured, non-interest bearing and due on demand.

&nbsp;&nbsp;&nbsp;&nbsp;9. General
and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | |
|:---|:---|:---|
| | **January 31,**<br> **2025** | January 31, <br>2024 |
| &nbsp;&nbsp;Office and miscellaneous | $**16589** | $23583 |
| &nbsp;&nbsp;Professional fees | **19395** | 82057 |
|  | $**35984** | $105571 |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**10.** **Capital Management** 

The Company considers its capital structure to consist of shareholders' equity.The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at January 31, 2025.

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the three months ended January 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;**11.** **Financial Instruments and Risk Management <br>Fair values** 

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level l);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash,, short-term investments, accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, and short-terms investments are recorded at fair value using level 1 inputs.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the three months ended January 31, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;11. Financial
Instruments and Risk Management (continued) <br>
Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash and short-term investment are held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis ofliabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **January 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $34985 | $60048 |
|  | $**34985** | $60048 |

---

**Interest rate risk**

The Company does not have any significant exposure as at January 31, 2025 and 2024 to interest rate risk through its financial instruments.

&nbsp;&nbsp;&nbsp;&nbsp;**12.** **Subsequent Event** 

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange.

## Exhibit 99.18

**Exhibit 99.18**

**WBM CAPITAL CORP.**

**(FORMERLY TIIDAL GAMING GROUP CORP.)**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the three months ended January 31, 2025, and 2024**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's condensed consolidated interim financial statements and notes for the three months ended January 31, 2025, and 2024.

The Company's condensed consolidated interim financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC") and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on April 4th, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results, and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at January 31, 2025:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp; **Name of subsidiary** | &nbsp;&nbsp; **Jurisdiction <br> Incorporated** | &nbsp;&nbsp; **Functional Currency** | &nbsp;&nbsp; **Accounting <br> Method/Date of**<br> **Disposal** |
| &nbsp;&nbsp; Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp; Canada | &nbsp;&nbsp; Canadian dollars | &nbsp;&nbsp; Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Corporation is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

**Overall Performance**

<u>Financing Transactions</u>

On June 9, 2023, the Company issued 0.32 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal Gaming NZ Limited ("Tiidal NZ"), granted 0.42 restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 1common shares at a deemed price of $30,000 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss and comprehensive loss for the three months ended January 31, 2025, was $36,607 (January 31, 2024, $66,857). The decrease in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,562,452 at January 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $15,193 (October 31, 2024 – $688,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | (238606) | (92481) |
| &nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the three months ended January 31, 2025, and 2024**

*Expenses*

The Company's operating expenses for the three months ended January 31, 2025, were $35,984, compared to $127,238 for the three months ended January 31, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

General and administrative expenses decreased to $35,984 for the three months ended January 31, 2025, from $105,571 in the three months ended January 31, 2024. These costs consist primarily of filing fees and professional services incurred.

Management fees decreased to $nil for the three months ended January 31, 2025, from $21,667 in the three months ended January 31, 2024. These costs pertained to salaries for officers and directors.

*General and administrative expenses*

---

| | | |
|:---|:---|:---|
| | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office and miscellaneous | $16589 | $23583 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 19395 | 82057 |
|  | $35984 | $105571 |

---

For the three months ended January 31, 2025, the Company's general and administrative expenses decreased by $69,587. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $62,662 for the three months ended January 31, 2025, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Jan 31,**<br> **2025** | **Oct 31,**<br> **2024** | **July 31,**<br> **2024** | **April 30,**<br> **2024** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (36607) | (227102) | (84494) | (282503) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | 15190) | 141399) | 77793) | 338663) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 2 | 2 | 1 | 1 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Jan 31,**<br> **2024** | **Oct 31,**<br> **2023** | **July 31,**<br> **2023** | **April 30,**<br> **2023** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (66857) | (220056) | 11045537 | (952171) |
| &nbsp;&nbsp;Income (loss) per share - basic and diluted | 9516) | 15589) | $773192 | 68672) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 7 | 14 | 14 | 14 |

---

**Liquidity and Capital Resources**

As at January 31, 2025, the Company had working capital of $22,713 (October 31, 2024 –$59,320), consisting primarily of cash, trade and other receivables, and prepaid expenses and deposits, offset by accounts payable and lease liability. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023.

**Cash Flows**

A summary of cash flows for January 31, 2025, and 2024 is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **2024** | **2024** | **Change** |
| &nbsp;&nbsp;Operating activities | $(15193) | 111049 | (126242) |
| &nbsp;&nbsp;Investing activities |  | 10600000 | (10600000) |
| &nbsp;&nbsp;Financing activities |  | (10274265) | 10274265 |
| &nbsp;&nbsp;Effect on FX on cash |  | (1) | 1 |
| &nbsp;&nbsp;Change in cash | $(15193) | 436783 | (451976) |

---

*Operating Activities*

For the three months ended January 31, 2025, cash flows used in operating activities of $15,193 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses as well as the share issuer bid payment that was made during the period ended.

*Investing Activities*

For the three months ended January 31, 2025, investing activities consisted of nil.

*Financing Activities*

For the three months ended January 31, 2025, financing activities consisted of nil.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at January 31, 2025 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the three months ended January 31, 2025, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **January 31, 2025** | **January 31, 2024** |
| &nbsp;&nbsp;Management and director fees | $— | $15000 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $**—** | $3513245 |

---

For the three months ended January 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at January 31, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 – $nil) in amounts payable to directors and officers of the Company.

**Proposed Transactions**

As at the date of this MD&A, the Company has no proposed transactions.

**Subsequent Event**

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange.

**Commitments**

As at January 31, 2025, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, restricted cash, and other receivables, accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at January 31, 2025 and 2024, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **January 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $34985 | $60048 |
|  | $**34985** | $60048 |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities.

**Interest rate risk**

The Company does not have any significant exposure as at January 31, 2025 and October 31, 2024 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at January 31, 2025:

---

| | | |
|:---|:---|:---|
|  | **January 31,**<br> **2025** | **April 4,**<br> **2025** |
| &nbsp;&nbsp;Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 1 | 1 |
| &nbsp;&nbsp;Outstanding common shares | 1 | 1 |
| &nbsp;&nbsp;Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 2 | 2 |
| &nbsp;&nbsp;Fully diluted total | 3 | 3 |

---

As at January 31, 2025, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | **0.88** | **$1320000** |
| &nbsp;&nbsp;Cancelled | **(0.88)** | **($1320000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024 and January 31, 2025** | **—** | **—** |

---

At January 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At January 31, 2025 the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Exercise Price** | &nbsp;&nbsp;**Expiry Date** | &nbsp;&nbsp;**Number Vested** |
| &nbsp;&nbsp;0.93 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;Sept 20, 2025 | &nbsp;&nbsp;0.93 |
| &nbsp;&nbsp;0.23 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;Oct 12, 2025 | &nbsp;&nbsp;0.23 |
| &nbsp;&nbsp;0.49 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;Nov 30, 2025 | &nbsp;&nbsp;0.49 |
| &nbsp;&nbsp;1.65 |  |  | &nbsp;&nbsp;1.65 |

---

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The Company is relatively new with limited operating history and operates in the emerging industry of Esports. The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The British Columbia Business Corporations Act ("BCBCA") provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

## Exhibit 99.19

**Exhibit 99.19**

**Form 52-109FV2**

**Certification of Interim Filings**

**Venture Issuer Basic Certificate**

I, **Carlo Rigillo, Chief Financial Officer** of **WBM Capital Corp.,** certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim
MD&A (together, the "interim filings") of **WBM Capital Corp.** (the "issuer") for the interim period
ended **January 31, 2025**.

2.  ***No misrepresentations:*** Based on my knowledge,
having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state
a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under
which it was made, with respect to the period covered by the interim filings.

3.  ***Fair presentation:*** Based on my knowledge,
having exercised reasonable diligence, the interim financial report together with the other financial information included in
the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the
issuer, as of the date of and for the periods presented in the interim filings.

Date: **April 4, 2025.**

---

| |
|:---|
| */s/ Carlo Rigillo* |
| Carlo Rigillo |
| Chief Financial Officer |

---

&nbsp;&nbsp; **<u>NOTE TO READER</u>**<br>In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of<br>i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and<br>ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.<br>The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.<br>

## Exhibit 99.20

**Exhibit 99.20**

**Form 52-109FV2**

**Certification of Interim Filings**

**Venture Issuer Basic Certificate**

I, **Carlo Rigillo, Chief Executive Officer** of **WBM Capital Corp.,** certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim
MD&A (together, the "interim filings") of **WBM Capital Corp.** (the "issuer") for the interim period
ended **January 31, 2025**.

2.  ***No misrepresentations:*** Based on my knowledge,
having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state
a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under
which it was made, with respect to the period covered by the interim filings.

3.  ***Fair presentation:*** Based on my knowledge,
having exercised reasonable diligence, the interim financial report together with the other financial information included in
the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the
issuer, as of the date of and for the periods presented in the interim filings.

Date: **April 4, 2025.**

---

| |
|:---|
| */s/ Carlo Rigillo* |
| Carlo Rigillo |
| Chief Executive Officer |

---

&nbsp;&nbsp; **<u>NOTE TO READER</u>**<br>In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of<br>i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and<br>ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.<br>The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.<br>

## Exhibit 99.21

**Exhibit 99.21**

WBM CAPITAL CORP.

(FORMERLY TIIDAL GAMING GROUP CORP.)

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

FOR THE THREE AND SIX MONTHS ENDED APRIL 30, 2025, AND 2024

(EXPRESSED IN CANADIAN DOLLARS)

(UNAUDITED)

**NOTICE OF NO AUDITOR REVIEW OF**

**CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS**

The accompanying unaudited condensed consolidated interim financial statements of WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) have been prepared by management in accordance with International Financial Reporting Standards ("IFRS"). These condensed consolidated interim financial statements, which are the responsibility of management, are unaudited and have not been reviewed by the Company's auditors. The Company's Audit Committee and Board of Directors have reviewed and approved these condensed consolidated interim financial statements. In accordance with the disclosure requirements of National Instruments 51-102 released by the Canadian Securities Administrators, the Company's independent auditors have not perfonned a review of these condensed consolidated interim financial statements.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statements of Financial Position

As at April 30, 2025 and October 31, 2024

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **April 30,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**18529** | $35287 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 | **37604** | 37604 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  |  | 46477 |
| &nbsp;&nbsp;**Total assets** |  | $**56133** | $119368 |
| &nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities |  | $**38163** | $60048 |
| &nbsp;&nbsp;**Total liabilities** |  | **38163** | 60048 |
| &nbsp;&nbsp;**Shareholders' equity**  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital | 7 | **733786** | 733786 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves | 7 | **6851379** | 6851379 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7567195)** | (7525845) |
| &nbsp;&nbsp;**Total shareholders' equity** |  | **17970** | 59320 |
| &nbsp;&nbsp;**Total liabilities and shareholders' equity** |  | $**56133** | $119368 |

---

Nature of Operations (Note 1)

Going Concern (Note 2)

Qualifying transaction (Note 12)

**Approved and Authorized by the Board on May 20, 2025:**

<u>*"Carlo Rigillo"*</u> Director <u>*"Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statements of Net Loss and Comprehensive Loss

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Three months ended April 30,** | **Three months ended April 30,** | **Three months ended April 30,** | **Six months ended April 30,** | **Six months ended April 30,** |
| | **Note** | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;**Operating expenses** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 9 | $**4162** | $123635 | $**40146** | $229206 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  |  | 2172 |  | 2172 |
| &nbsp;&nbsp;&nbsp;&nbsp;Management fees | 8 |  | 180000 |  | 201667 |
| &nbsp;&nbsp;Total operating expenses |  | **4162** | 305807 | **40146** | 433045 |
| &nbsp;&nbsp;**Loss before other items** |  | **(4162)** | (305807) | **(40146)** | (433045) |
| &nbsp;&nbsp;**Other Items** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt |  |  | 37265 |  | 37265 |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  |  | (13754) |  | (12650) |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income |  |  |  |  | 60028 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **(581)** | 1 | **(1204)** | (750) |
| &nbsp;&nbsp;**Net loss from continuing operations** |  | **(4743)** | (282295) | **(41350)** | (349152) |
| &nbsp;&nbsp;**Net loss from discontinued operations** |  |  | (208) |  | (208) |
| &nbsp;&nbsp;**Net loss** |  | **(4743)** | (282503) | **(41350)** | (349360) |
| &nbsp;&nbsp;**Other comprehensive income** |  |  |  |  |  |
| &nbsp;&nbsp;Foreign currency translation adjustment |  |  | 13287 |  | 13287 |
| &nbsp;&nbsp;**Comprehensive loss for the period** |  | $**(4743)** | $(269216) | $**(41350**) | $(336073) |
| &nbsp;&nbsp;Weighted average number of common shares outstanding  |  | 1 | 1 | **1** | 4 |
| &nbsp;&nbsp;Basic and diluted loss per share from continuing operations |  | $**(4743**) | $(282295) | $**(41350**) | $(87288) |
| &nbsp;&nbsp;Basic and diluted loss per share from discontinued operations |  | $**(0.00)** | $(208) | $**(0.00**) | $(52) |
| &nbsp;&nbsp;Basic and diluted loss per share |  | $**(4743**) | $(282503) | $**(41350**) | $(87340) |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Condensed Consolidated Interim Statements of Cash Flows

For the six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| **2025** | **2025** | **2024** |
| **Operating activities** |  |  |
| &nbsp;&nbsp;<br>Net loss from operations | $**(41350)** | $(349152) |
| Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;<br>Accretion expense<br>|  | 750 |
| Changes in non-cash working capital items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;<br>Trade and other receivables<br>|  | 172775 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **46477** | 6264 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **(21885)** | 53093 |
| &nbsp;&nbsp;**Net** **cash (used in) provided by operating activities** | **(16758)** | (116270) |
| &nbsp;&nbsp;**Net** **cash used in discontinued operations** |  | (208) |
| &nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;<br>Purchase of short-term investment<br>|  | 10600000 |
| &nbsp;&nbsp;**Net** **cash from investing activities** |  | 10600000 |
| &nbsp;&nbsp;**Financing** **activities** |  |  |
| &nbsp;&nbsp;<br>Share issuer buy-back (Note 1)<br>|  | (I 0,198,940)<br>|
| &nbsp;&nbsp;Option cancellation payment |  | (35325) |
| &nbsp;&nbsp;Repayment of government loan |  | (40000) |
| &nbsp;&nbsp;**Net** **cash used in financing activities** |  | (10274265) |
| &nbsp;&nbsp;**Net** **cash provided by financing activities in discontinued operations** |  | 208 |
| &nbsp;&nbsp;Effect of foreign exchange on cash |  | 13043 |
| &nbsp;&nbsp;**Net** **change in cash** | **(16758)** | 222508 |
| &nbsp;&nbsp;**Cash, beginning of period** | **35287** | 79265 |
| &nbsp;&nbsp;**Cash, end of period** | $**18529** | $301773 |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)** 

Condensed Consolidated Interim Statement of Shareholders' Equity

For the six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Note** | **Number of Shares** | **Share Capital** <br> $| **Reserves** <br> $| **Accumulated Other Comprehensive Loss** <br> $| **Accumulated Deficit** <br> $| **Total Shareholders' Equity** <br> $|
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **15** | **13572500** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;Share issuer buy-back | 7 | (14) | (12898978) | 2700038 |  |  | (10198940) |
| &nbsp;&nbsp;Shares issued for debt settlement | 7 |  | 300000 |  |  |  | 300000 |
| &nbsp;&nbsp;Share option cancellation | 7 |  |  | (35525) |  |  | (35525) |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  | 13287 |  | 13287 |
| &nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (349360) | (349360) |
| &nbsp;&nbsp;**Balance, April 30, 2024** |  | **1** | **973522** | **6831379** | **7868** | **(7214249)** | **598520** |
| &nbsp;&nbsp;**Balance, October 31, 2024** |  | **l** | **733786** | **6851379** | **-** | **(7525845)** | **59320** |
| &nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (41350) | (41350) |
| &nbsp;&nbsp;**Balance,** **April 30, 2025** |  | **1** | **733786** | **6851379** | - | **(7567195)** | **17970** |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**1.** **Nature of Operations** 

WBM Capital Corp. (fonnerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 1900 - 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Company is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the **"Offer")** to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation ts reflected retrospectively in these condensed consolidated interim financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

&nbsp;&nbsp;&nbsp;&nbsp;2. Going
Concern

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Going Concern (continued)** 

The Company's accumulated deficit was $7,567,195 at April 30, 2025 (October 31, 2024-$7,525,845) and its cash flow used in operations was $16,758 (October 31, 2024 - $688,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

These condensed consolidated interim financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities **in** other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Basis of Presentation** 

**Statement of Compliance**

These condensed consolidated interim financial statements have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") applicable to the preparation of the condensed consolidated interim financial statements, including International Accounting Standards ("IAS 34"), Interim Financial Reporting, as issued by the International Accounting Standards Board ("IASB") and IFRC® Interpretations of the IFRS Interpretations Committee. These disclosures contained in these condensed consolidated interim financial statements do not contain all the requirements of IFRS for annual financial statements and should be read in conjunction with the annual financial statements for the year ended October 31, 2024.

The condensed consolidated interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on May 20, 2025.

**Basis of Presentation**

The condensed consolidated interim financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group.

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The condensed consolidated interim financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Basis of Presentation (continued)** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary**  | &nbsp;&nbsp;**Jurisdiction Incorporated** | &nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting** <br> **Method/Date of Disposal**  |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;(formerly Tiidal Gaming Group |  |  | &nbsp;&nbsp;Dissolved March |
| &nbsp;&nbsp;&nbsp;&nbsp;Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Material accounting policies** 

The accounting policies applied by the Company in these unaudited condensed consolidated interim financial statements are the same as those applied by the Company in the audited financial statements for the year ended October 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Short-term Investments** 

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. As at April 30, 2025, the Company recorded interest receivable of $nil (October 31, 2024 - $nil). For the six months ended April 30, 2025, the Company recorded interest income of $nil (April 30, 2024 - $60,028).

&nbsp;&nbsp;&nbsp;&nbsp;**6.** **Other Receivables** 

Other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **April 30,**<br> **2025** | **October 31,**<br> **2024** |
| GST/HST receivable | $**37604** | $37604 |
|  | $**37604** | $37604 |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;7. Share
Capital

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to l post-consolidation common shares. The share consolidation is reflected retrospectively in these condensed consolidated interim financial statements. As at October 31, 2024, the Company had l common share outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 13.88 common shares of the Company at a price of $735,000 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued** 

The Company did not issue any commons shares for the six months ended April 30, 2025.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options** 

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Share Capital (continued)** 

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the six months ended April 30, 2025, the Company did not issue any options.

For the six months ended April 30, 2024, the following activity occurred:

● On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per Share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

For the six months ended April 30, 2025, and 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | **0.88** | **$1320000** |
| &nbsp;&nbsp;Cancelled | **(0.88)** | **($1320000)** |
| &nbsp;&nbsp;**Outstanding, April 30, 2025 and 2024** |  |  |

---

At April 30, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the six months ended April 30, 2025, $nil (April 30, 2024 - $nil) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the six months ended April 30, 2025, and year ended October 31, 2024, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average**<br> **Exercise Price** |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | **2.31** | **$1920000** |
| &nbsp;&nbsp;Expired | **(0.66)** | **($1020000)** |
| &nbsp;&nbsp;Outstanding October 31, 2024 and March 31, 2025 | **l.65** | **$900000** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;7. Share
Capital (continued)

As at April 30, 2025, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number**<br> **Outstanding** | **Exercise Price** | **Expiry Date** | **Number**<br> **Exercisable** |
| 0.93 | $900000 | September 20, 2025 | 0.93 |
| 0.23 | $900000 | October 12, 2025 | 0.23 |
| 0.49 | $900000 | November 30, 2025 | 0.23 |
| **1.65** |  |  | **1.65** |

---

As at April 30, 2025, the weighted average life of warrants outstanding was 0.45 years (October 31, 2024 - 0.95 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

For the six months ended April 30, 2025, $nil (April 30, 2024 - $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**d)** **Restricted Share Units ("RSU")** 

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 at $480,000 per restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;8. Related
Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key** **management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the six months ended April 30, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **April 30, 2025** | **April 30, 2024** |
| &nbsp;&nbsp;Management and director fees and salaries | $- | $160000 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $- | $**3658245** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Related Party Transactions (continued)** 

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the six months ended April 30, 2025, and 2024, key management personnel were not paid any post-employment benefits, tennination benefits or any other long-tenn benefits.

As at April 30, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 - $nil) in amounts payable to directors and officers of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;9. General
and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended April 30,**<br> **2025** | Three months ended April 30,<br> 2024 | **Six months ended April 30,**<br> **2025** | Six months ended April 30, 2024 |
| &nbsp;&nbsp;Office and miscellaneous | $**1652** | $11853 | $**18241** | $35367 |
| &nbsp;&nbsp;Professional fees | $**2510** | $111782 | **21905** | 193839 |
|  | $**4162** | $123635 | $**40146** | $229206 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**10.** **Capital Management** 

The Company considers its capital structure to consist of shareholders' equity. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at April 30, 2025.

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**10.** **Capital Management (continued)** 

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the six months ended April 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;**11.** **Financial Instruments and Risk Management <br>Fair values** 

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, is recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis ofliabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **April 30,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $38163 | $60048 |
|  | $**38163** | $60048 |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and six months ended April 30, 2025, and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**11.** **Financial Instruments and Risk Management (continued)** 

**Interest rate risk**

The Company does not have any significant exposure as at April 30, 2025 and 2024 to interest rate risk through its financial instruments.

&nbsp;&nbsp;&nbsp;&nbsp;**12.** **Qualifying Transaction** 

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange.

## Exhibit 99.22

**Exhibit 99.22**

**WBM CAPITAL CORP.**

**(FORMERLY TIIDAL GAMING GROUP CORP.)**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the three and six months ended April 30, 2025, and 2024**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's condensed consolidated interim financial statements and notes for the three and six months ended April 30, 2025, and 2024.

The Company's condensed consolidated interim financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Interpretations Committee and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on May 20, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results, and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at April 30, 2025:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp; **Name of subsidiary** | &nbsp;&nbsp; **Jurisdiction <br> Incorporated** | &nbsp;&nbsp; **Functional Currency** | &nbsp;&nbsp; **Accounting <br> Method/Date of**<br> **Disposal** |
| &nbsp;&nbsp; Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp; Canada | &nbsp;&nbsp; Canadian dollars | &nbsp;&nbsp; Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

The Company was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) (the "BCBCA") on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations and the Company embarked on a strategic review.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, held all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

**Overall Performance**

<u>Financing Transactions</u>

On June 9, 2023, the Company issued 0.32 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal Gaming NZ Limited ("Tiidal NZ"), granted 0.42 restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange (the "CSE") approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 1 common shares at a deemed price of $30,000 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss and comprehensive loss for the six months ended April 30, 2025, was $41,350 (April 30, 2024, $336,073). The decrease in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,567,195 at April 30, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $16,758 (October 31, 2024 – $688,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | (238606) | (92481) |
| &nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the three and six months ended April 30, 2025, and 2024**

*Expenses*

The Company's operating expenses for the three months ended April 30, 2025, were $4,743, compared to $269,216 for the three months ended April 30, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

General and administrative expenses decreased to $4,162 for the three months ended April 30, 2025, from $123,635 in the three months ended April 30, 2024. These costs consist primarily of filing fees and professional services incurred.

Management fees decreased to $nil for the three months ended April 30, 2025, from $180,000 in the three months ended April 30, 2024. These costs pertained to salaries for officers and directors.

The Company's operating expenses for the six months ended April 30, 2025, were $41,350, compared to $336,073 for the six months ended April 30, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

General and administrative expenses decreased to $40,146 for the six months ended April 30, 2025, from $229,206 in the six months ended April 30, 2024. These costs consist primarily of filing fees and professional services incurred.

Management fees decreased to $nil for the six months ended April 30, 2025, from $201,667 in the six months ended April 30, 2024. These costs pertained to salaries for officers and directors.

*General and administrative expenses*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended April 30** | **Three months ended April 30** | **Six months ended April 30** | **Six months ended April 30** |
| | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;Office and miscellaneous | $1652 | $11853 | $18241 | $35367 |
| &nbsp;&nbsp;Professional fees | 2510 | 111782 | 21905 | 193839 |
|  | $4162 | $123635 | $40146 | $229206 |

---

For the three months ended April 30, 2025, the Company's general and administrative expenses decreased by $118,892. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $109,272 for the three months ended April 30, 2025, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

For the six months ended April 30, 2025, the Company's general and administrative expenses decreased by $189,060. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $171,934 for the six months ended April 30, 2025, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **April 30,**<br> **2025** | **Jan 31,**<br> **2025** | **Oct 31,**<br> **2024** | **July 31,**<br> **2024** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (4743) | (36607) | (227102) | (84494) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | 4743) | 15190) | 141399) | 77793) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 1 | 2 | 2 | 1 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **April 30,**<br> **2024** | **Jan 31,**<br> **2024** | **Oct 31,**<br> **2023** | **July 31,**<br> **2023** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (282503) | (66857) | (220056) | 11045537 |
| &nbsp;&nbsp;Income (loss) per share - basic and diluted | 338663) | 9516) | 15589) | $773192 |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 1 | 7 | 14 | 14 |

---

**Liquidity and Capital Resources**

As at April 30, 2025, the Company had working capital of $17,970 (October 31, 2024 –$59,320), consisting primarily of cash, trade and other receivables, and prepaid expenses and deposits, offset by accounts payable and lease liability. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023.

**Cash Flows**

A summary of cash flows for April 30, 2025, and 2024 is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **2025** | **2024** | **Change** |
| &nbsp;&nbsp;Operating activities | $(16758) | (116270) | 99512 |
| &nbsp;&nbsp;Investing activities |  | 10600000 | (10600000) |
| &nbsp;&nbsp;Financing activities |  | (10274265) | 10274265 |
| &nbsp;&nbsp;Effect on FX on cash |  | 13043 | (13043) |
| &nbsp;&nbsp;Change in cash | $(16758) | 222508 | 239266 |

---

*Operating Activities*

For the six months ended April 30, 2025, cash flows used in operating activities of $16,758 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses as well as the share issuer bid payment that was made during the period ended.

*Investing Activities*

For the six months ended April 30, 2025, investing activities consisted of nil.

*Financing Activities*

For the six months ended April 30, 2025, financing activities consisted of nil.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at April 30, 2025 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the six months ended April 30, 2025, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **April 30, 2025** | **April 30, 2024** |
| &nbsp;&nbsp;Management and director fees | $— | $160000 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $**—** | $3658245 |

---

For the three and six months ended April 30, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at April 30, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 – $nil) in amounts payable to directors and officers of the Company.

**Qualifying Transaction**

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the CSE.

**Commitments**

As at April 30, 2025, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at April 30, 2025 and 2024, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **April 30,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $38163 | $60048 |
|  | $**38163** | $60048 |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities.

**Interest rate risk**

The Company does not have any significant exposure as at April 30, 2025 and October 31, 2024 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at April 30, 2025:

---

| | | |
|:---|:---|:---|
|  | **April 30,**<br> **2025** | **May 20,**<br> **2025** |
| &nbsp;&nbsp;Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 1 | 1 |
| &nbsp;&nbsp;Outstanding common shares | 1 | 1 |
| &nbsp;&nbsp;Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 2 | 2 |
| &nbsp;&nbsp;Fully diluted total | 3 | 3 |

---

As at April 30, 2025, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp; **Number** | &nbsp;&nbsp;**Weighted Average Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | &nbsp;&nbsp;**0.88** | &nbsp;&nbsp;**$1320000** |
| &nbsp;&nbsp;Cancelled | &nbsp;&nbsp;**(0.88)** | &nbsp;&nbsp;**($1320000)** |
| &nbsp;&nbsp; **Outstanding, October 31, 2024 and April 30, 2025** | &nbsp;&nbsp;**—** | &nbsp;&nbsp;**—** |

---

At April 30, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At April 30, 2025, the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Exercise Price** | &nbsp;&nbsp;**Expiry Date** | &nbsp;&nbsp;**Number Vested** |
| &nbsp;&nbsp;0.93 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;Sept 20, 2025 | &nbsp;&nbsp;0.93 |
| &nbsp;&nbsp;0.23 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;Oct 12, 2025 | &nbsp;&nbsp;0.23 |
| &nbsp;&nbsp;0.49 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;Nov 30, 2025 | &nbsp;&nbsp;0.49 |
| &nbsp;&nbsp;1.65 |  |  | &nbsp;&nbsp;1.65 |

---

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The Company is relatively new with limited operating history and operates in the emerging industry of Esports. The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The BCBCA provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

## Exhibit 99.23

**Exhibit 99.23**

**Draft: February 24, 2009**

**Form 52-109FV2**

**Certification of Interim Filings <br> Venture Issuer Basic Certificate**

I, **Carlo Rigillo***,* Chief Financial Officer of WBM Capital Corp. (formerly Tiidal Gaming Group Corp.), certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together,
 the "interim filings") of WBM Capital Corp. (the "issuer") for
 the interim period ended **April 30, 2025**.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence,
 the interim filings do not contain any untrue statement of a material fact or omit to
 state a material fact required to be stated or that is necessary to make a statement
 not misleading in light of the circumstances under which it was made, with respect to
 the period covered by the interim filings.

*3.*  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the
 interim financial report together with the other financial information included in the
 interim filings fairly present in all material respects the financial condition, financial
 performance and cash flows of the issuer, as of the date of and for the periods presented
 in the interim filings.

Date: **May 20, 2025.**

*/s/ Carlo Rigillo*

**Carlo Rigillo**

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual
filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and
reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.24

**Exhibit 99.24**

**Draft: February 24, 2009**

**Form 52-109FV2**

**Certification of Interim Filings <br> Venture Issuer Basic Certificate**

I, **Carlo Rigillo***,* Chief Executive Officer of WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.), certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together,
 the "interim filings") of WBM Capital Corp. (the "issuer") for
 the interim period ended **April 30, 2025**.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence,
 the interim filings do not contain any untrue statement of a material fact or omit to
 state a material fact required to be stated or that is necessary to make a statement
 not misleading in light of the circumstances under which it was made, with respect to
 the period covered by the interim filings.

*3.*  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the
 interim financial report together with the other financial information included in the
 interim filings fairly present in all material respects the financial condition, financial
 performance and cash flows of the issuer, as of the date of and for the periods presented
 in the interim filings.

Date: **May 20, 2025..**

*/s/ Carlo Rigillo*

**Carlo Rigillo** 

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.25

**Exhibit 99.25**

WBM Capital Corp.

1900 – 1040 West Georgia Street<br> Vancouver, BC V6E 4H3

June 23, 2025

*FILED VIA SEDAR*

To All Applicable Securities Administrators

Subject: WBM Capital Corp. (the "Issuer")

**Notice of Meeting and Record Date**

Dear Sir/Madam:

We are pleased to confirm the following information with respect to the Issuer's upcoming meeting of securityholders:

---

| | |
|:---|:---|
| &nbsp;&nbsp;Meeting Type: | &nbsp;&nbsp;Special Meeting |
| &nbsp;&nbsp;Meeting Date: | &nbsp;&nbsp;August 6, 2025 |
| &nbsp;&nbsp;Record Date for Notice of Meeting: | &nbsp;&nbsp;June 27, 2025 |
| &nbsp;&nbsp;Record Date for Voting (if applicable): | &nbsp;&nbsp;June 27, 2025 |
| &nbsp;&nbsp;Beneficial Ownership Determination Date: | &nbsp;&nbsp;June 27, 2025 |
| &nbsp;&nbsp;Class of Securities Entitled to Vote: | &nbsp;&nbsp;Common Shares |
| &nbsp;&nbsp;Issuer sending proxy materials directly to NOBOs: | &nbsp;&nbsp;n/a |
| &nbsp;&nbsp;Issuer paying for delivery to OBOs: | &nbsp;&nbsp;n/a |
| &nbsp;&nbsp;Notice and Access for Beneficial Holders: | &nbsp;&nbsp;No |
| &nbsp;&nbsp;Notice and Access for Registered Holdings: | &nbsp;&nbsp;No |

---

Your truly,

**WBM Capital Corp**

## Exhibit 99.26

**Exhibit 99.26**

**WBM Capital Corp. Announces Termination of Proposed RTO Transaction**

VANCOUVER, BRITISH COLUMBIA, CANADA, June 27, 2025 – WBM Capital Corp. (the "**Company**" or "**WBM**") announces that the agreement (the "**Agreement**") between the Company and Wappier Inc. ("**Wappier**") (previously announced on April 2, 2025) in respect of a proposed transaction between the Company and Wappier has been terminated. No deposit, loan or cash advance was made by the Company to Wappier in connection with the Agreement.

The Company will continue to pursue and evaluate other businesses and assets with a view to completing its qualifying transaction and will make further announcements with respect to these efforts as soon as practically possible.

**About WBM Capital Corp.**

WBM is a British Columbia corporation that is a reporting issuer under the securities laws of British Columbia, Alberta and Ontario. WBM has no material assets and does not conduct any operations or active business, other than the identification and evaluation of acquisition opportunities to permit the company to acquire a business or assets in order to conduct commercial operations.

For additional information, please contact:

WBM Capital Corp.

Carlo Rigillo

Chief Executive Officer

T: 647-400-4794

E: <u>carlo.rigillo@gmail.com</u>

**Cautionary Note Regards Forward Looking Information**

This press release contains statements that constitute "forward-looking information" ("**forward-looking information**") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking information and are based on expectations, estimates and projections as at the date of this news release. Any statement that discusses predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information. In disclosing the forward-looking information contained in this press release, the Company has made certain assumptions. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, it can give no assurance that the expectations of any forward-looking information will prove to be correct. Known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Accordingly, readers should not place undue reliance on the forward-looking information contained in this press release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking information to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking information or otherwise.

## Exhibit 99.27

**Exhibit 99.27**

WBM Capital Corp.

1900 – 1040 West Georgia Street<br> Vancouver, BC V6E 4H3

July 16, 2025

*FILED VIA SEDAR*

To All Applicable Securities Administrators

---

| | |
|:---|:---|
| **Subject:** | **WBM Capital Corp. (the "Issuer") Amended Notice of <br> Meeting and Record Date** |

---

Dear Sir/Madam:

We are pleased to confirm the following information with respect to the Issuer's upcoming meeting of securityholders:

---

| | |
|:---|:---|
| &nbsp;&nbsp;Meeting Type: | &nbsp;&nbsp;Special Meeting |
| &nbsp;&nbsp;Meeting Date: | &nbsp;&nbsp;August 25, 2025 |
| &nbsp;&nbsp;Record Date for Notice of Meeting: | &nbsp;&nbsp;July 25, 2025 |
| &nbsp;&nbsp;Record Date for Voting (if applicable): | &nbsp;&nbsp;July 25 2025 |
| &nbsp;&nbsp;Beneficial Ownership Determination Date: | &nbsp;&nbsp;July 25, 2025 |
| &nbsp;&nbsp;Class of Securities Entitled to Vote: | &nbsp;&nbsp;Common Shares |
| &nbsp;&nbsp;Issuer sending proxy materials directly to NOBOs: | &nbsp;&nbsp;n/a |
| &nbsp;&nbsp;Issuer paying for delivery to OBOs: | &nbsp;&nbsp;n/a |
| &nbsp;&nbsp;Notice and Access for Beneficial Holders: | &nbsp;&nbsp;No |
| &nbsp;&nbsp;Notice and Access for Registered Holdings: | &nbsp;&nbsp;No |

---

Your truly,

**WBM Capital Corp**

## Exhibit 99.28

**Exhibit 99.28**

![](img013_v2.jpg)

**WBM CAPITAL CORP. ANNOUNCES**

**COMPLETION OF STOCK SPLIT**

VANCOUVER, CANADA, July 24, 2025 /EINPresswire.com/ -- WBM Capital Corp. ("WBM" or the "Company") is pleased to announce the completion of a stock split of all of its issued and outstanding common shares ("Shares") on the basis of 250,000 post-split Shares for each pre-split Share (the "Split") such that there are 250,000 Shares issued and outstanding immediately after the Split.

Immediately after completion of the Split, Triforce Ventures S.A. ("Triforce") sold an aggregate of 1 Share to an arms' length purchaser for $1.00 per Share (the "Share Transfer").

Immediately prior to the completion of the Share Transfer, Triforce held 250,000 Shares representing 100% of the issued and outstanding Shares of the Company. Following the Share Transfer, Triforce holds 249,999 Shares representing approximately 99.99% of the issued and outstanding Shares.

For more information please contact:

Carlo Rigillo

Chief Executive Officer T: 647-400-4794<br> E: carlo.rigillo@gmail.com

About WBM Capital Corp.

WBM is a British Columbia corporation that is a reporting issuer under the securities laws of British Columbia, Alberta and Ontario. WBM has no material assets and does not conduct any operations or active business, other than the identification and evaluation of acquisition opportunities to permit the Company to acquire a business or assets in order to conduct commercial operations.

Cautionary Statements

Investors are cautioned that, except as disclosed, any information released or received with respect to the stock split may not be accurate or complete and should not be relied upon.

This news release does not constitute an offer to sell, or a solicitation of an offer to buy, any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Forward-Looking Information and Statements

This news release contains statements that constitute "forward-looking information" ("forward-looking information") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking information and are based on expectations, estimates and projections as at the date of this news release. Any statement that discusses predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", scheduled", forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur to be achieved) are not statements of historical fact and may be forward-looking information.

More particularly and without limitation, this news release contains forward-looking statements concerning the Proposed Transaction. In disclosing the forward-looking information contained in this news release, the Company has made certain assumptions, including that: all applicable third-party consents and regulatory approvals for the stock split will be received; and that the stock split will be completed on mutually acceptable terms and within a customary timeframe for transactions of this nature. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, it can give no assurance that the expectations of any forward-looking information will prove to be correct. Known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: availability of financing; delay or failure to receive third party consents or regulatory approvals; and general business, economic, competitive, political and social uncertainties. Accordingly, reader should not place undue reliance on the forward-looking information contained in this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking information to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking information or otherwise.

Carlo Rigillo

WBM Capital Corp.

+1 647-400-4794

email us here

This press release can be viewed online at: https://www.einpresswire.com/article/833727912

EIN Presswire's priority is source transparency. We do not allow opaque clients, and our editors try to be careful about weeding out false and misleading content. As a user, if you see something we have missed, please do bring it to our attention. Your help is welcome. EIN Presswire, Everyone's Internet News Presswire™, tries to define some of the boundaries that are reasonable in today's world. Please see our Editorial Guidelines for more information.© 1995-2025 Newsmatics Inc. All Right Reserved.

## Exhibit 99.29

**Exhibit 99.29**

**FORM 51-102F3 <br> MATERIAL CHANGE REPORT**

---

| | |
|:---|:---|
| **Item 1** | **Name and Address of Company** |

---

WBM Capital Corp. (the "**Company**")

300-10991 Shellbridge Way

Richmond, BC, V6X 3C6

---

| | |
|:---|:---|
| **Item 2** | **Date of Material Change** |

---

July 24, 2025.

---

| | |
|:---|:---|
| **Item 3** | **News Release** |

---

A news release was issued by the Company via EIN Presswire on July 24, 2025, and filed on SEDAR+ at <u>www.sedarplus.ca</u>.

---

| | |
|:---|:---|
| **Item 4** | **Summary of Material Change** |

---

The Company completed a stock split of all of its issued and outstanding common shares ("**Shares**") on the basis of 250,000 post-split Shares for each presplit Share (the "**Split**") such that there are 250,000 Shares issued and outstanding immediately after the Split.

---

| | |
|:---|:---|
| **Item 5** | **Full Description of Material Change** |

---

**5.1** **Full Description of Material Change** 

As a result of the stock split, each shareholder of record on July 24, 2025, will receive two hundred and fifty thousand additional (250,000) common shares for every one (1) common share owned. The Company's outstanding shares will increase from 1 common share to 250,000 common shares. There will be no change to the Company's CUSIP number.

**5.2** **Disclosure for Restructuring Transactions** 

Not applicable.

---

| | |
|:---|:---|
| **Item 6** | **Reliance on Subsection 7.1(2) of National Instrument 51-102** |

---

Not applicable.

---

| | |
|:---|:---|
| **Item 7** | **Omitted Information** |

---

Not applicable.

---

| | |
|:---|:---|
| **Item 8** | **Executive Officer** |

---

For additional information with respect to this material change, the following person may be contacted:

Carlo Rigillo

Chief Executive Officer

+1 (647) 400-4794

<u>carlo.rigillo@gmail.com</u>

---

| | |
|:---|:---|
| **Item 9** | **Date of Report** |

---

July 29, 2025.

## Exhibit 99.30

**Exhibit 99.30**

**WBM CAPITAL CORP.**

**MANAGEMENT INFORMATION <br> CIRCULAR**

**SOLICITATION OF PROXIES**

This management information circular ("**Circular**") is provided in connection with the solicitation of proxies by management of WBM Capital Corp. (the "**Corporation**") for use at a special meeting (the "**Meeting**") of the holders ("**Shareholders**") of common shares in the capital of the Corporation ("**Common Shares**"). The Meeting will be held at the offices of Garfinkle Biderman LLP, which are located at 1 Adelaide Street East, Suite 801, Toronto, Ontario, M5C 2V9 and will be broadcasted via teleconference at (416) 874-8100, conference code 5640789 on August 25, 2025 at 1:00 p.m. (Toronto time), or at such other time or place to which the Meeting may be adjourned, for the purposes set forth in the notice of special meeting accompanying this Circular (the "**Notice**").

Although it is expected that the solicitation of proxies will be primarily by mail, proxies may also be solicited personally or by telephone, facsimile or other means of electronic communication.

These securityholder materials are being sent to the registered owners of Common Shares, as there are no beneficial Shareholders.

Accompanying this Circular (and filed with applicable securities regulatory authorities) is a form of proxy for use at the Meeting (a "**Proxy**"). Each Shareholder who is entitled to attend at meetings of Shareholders is encouraged to participate in the Meeting and all Shareholders are urged to vote on matters to be considered in person or by proxy.

Unless otherwise stated, the information contained in this Circular is given as of August 5, 2025. All time references in this Circular are references to Toronto time.

**APPOINTMENT AND REVOCATION OF PROXIES**

**Appointment of a Proxy**

**Those Shareholders who wish to be represented at the Meeting by proxy must complete and deliver a proper Proxy to** Garfinkle Biderman LLP ("**Garfinkle**"), by fax at 416-869-0547, or by mail or hand delivery at 1 Adelaide Street East, Suite 801, Toronto, Ontario, M5C 2V9 or by email to Grant Duthie at gduthie@garfinkle.com.

**The persons named as proxyholders in the Proxy accompanying this Circular are legal counsel to the Corporation and are representatives of the Corporation's management for the Meeting. A Shareholder who wishes to appoint some other person (who need not be a Shareholder) to attend and act for him, her or it and on his, her or its behalf at the Meeting other than the management nominee designated in the Proxy may do so by either: (i) crossing out the names of the management nominees AND legibly printing the other person's name in the blank space provided in the accompanying Proxy; or (ii) completing another valid form of proxy. In either case, the completed form of proxy must be delivered to Garfinkle, at the place and within the time specified herein for the deposit of proxies.** A Shareholder who appoints a proxy who is someone other than the management representatives named in the Proxy should notify such alternative nominee of the appointment, obtain the nominee's consent to act as proxy, and provide instructions on how the Common Shares are to be voted. The nominee should bring personal identification to the Meeting. In any case, the Proxy should be dated and executed by the Shareholder or an attorney authorized in writing, with proof of such authorization attached (where an attorney executed the Proxy).

**In order to validly appoint a proxy, proxies must be received by Garfinkle, by fax at 1-416-869-7606, or by mail or hand delivery at 1 Adelaide Street East, Suite 801, Toronto, Ontario, M5C 2V9, or by email at gduthie@garfinkle.com, at least 48 hours, excluding Saturdays, Sundays and holidays, prior to the Meeting or any adjournment or postponement thereof.** After such time, the chairman of the Meeting may accept or reject a Proxy delivered to him in his discretion but is under no obligation to accept or reject any particular late Proxy.

**Revoking a Proxy**

A Shareholder who has validly given a proxy may revoke it for any matter upon which a vote has not already been cast by the proxyholder appointed therein. In addition to revocation in any other manner permitted by law, a proxy may be revoked with an instrument in writing signed and delivered to either the registered office of the Corporation at 300-10991 Shellbridge Way, Richmond, British Columbia, V6X 3C6 or Garfinkle Biderman LLP at 1 Adelaide Street East, Suite 801, Toronto, Ontario, M5C 2V9, at any time up to and including the last business day preceding the date of the Meeting, or any postponement or adjournment thereof at which the proxy is to be used, or deposited with the chairman of such Meeting on the day of the Meeting, or any postponement or adjournment thereof. The document used to revoke a proxy must be in writing and completed and signed by the Shareholder or his or her attorney authorized in writing or, if the Shareholder is a corporation, under its corporate seal or by an officer or attorney thereof duly authorized.

Also, a Shareholder who has given a proxy may attend the Meeting in person (or where the Shareholder is a corporation, its authorized representative may attend), revoke the proxy (by indicating such intention to the chairman before the proxy is exercised) and vote in person (or withhold from voting).

**Signature on Proxies**

The Proxy must be executed by the Shareholder or his or her duly appointed attorney authorized in writing or, if the Shareholder is a corporation, by a duly authorized officer whose title must be indicated. A Proxy signed by a person acting as attorney or in some other representative capacity should indicate that person's capacity (following his or her signature) and should be accompanied by the appropriate instrument evidencing qualification and authority to act (unless such instrument has been previously filed with the Corporation).

**Voting of Proxies**

Each Shareholder may instruct his, her or its proxy how to vote his, her or its Common Shares by completing the blanks on the Proxy.

**The Common Shares represented by the enclosed Proxy will be voted or withheld from voting on any motion, by ballot or otherwise, in accordance with any indicated instructions. If a Shareholder specifies a choice with respect to any matter to be acted upon, the Common Shares will be voted accordingly. In the absence of such direction, such Common Shares will be voted FOR THE RESOLUTIONS DESCRIBED IN THE PROXY AND BELOW.** If any amendment or variation to the matters identified in the Notice is proposed at the Meeting or any adjournment or postponement thereof, or if any other matters properly come before the Meeting or any adjournment or postponement thereof, the accompanying Proxy confers discretionary authority to vote on such amendments or variations or such other matters according to the best judgment of the appointed proxyholder. As at the date of this Circular, management of the Corporation knows of no such amendments or variations or other matters to come before the Meeting.

**Advice to Beneficial Shareholders**

There are no beneficial holders of the Corporation's securities.

**INTEREST OF CERTAIN PERSONS OR COMPANIES IN MATTERS TO BE ACTED UPON**

No director or member of management of the Corporation or any associate or affiliate of the foregoing has any material interest, direct or indirect, by way of beneficial ownership of Common Shares or otherwise in the matters to be acted upon at the Meeting, except for any interest arising from the ownership of shares of the Corporation where the Shareholder will receive no extra or special benefit or advantage not shared on a pro rata basis by all holders of Common Shares.

**VOTING SECURITIES AND PRINCIPAL HOLDERS OF VOTING SECURITIES**

The Corporation is authorized to issue unlimited Common Shares without par value, of which 250,000 Common Shares will be issued and outstanding as at the record date of July 25, 2025 (the "**Record Date**"). Persons who are registered Shareholders at the close of business on the Record Date will be entitled to receive notice of and vote at the Meeting, either in person or by proxy, and will be entitled to one vote for each Common Share held.

Other than as disclosed below, as at the date of this Circular, to the knowledge of the directors and executive officers of the Corporation, and the insider reports filed with System for Electronic Disclosure by Insiders (SEDI), no person beneficially owns, controls or directs, directly or indirectly, voting securities of the Corporation carrying 10% or more of the voting rights attached any class of voting securities of the Corporation, except the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Name** | &nbsp;&nbsp;**Number of shares beneficially owned, <br> controlled or directed, directly or <br> indirectly** | &nbsp;&nbsp;**Percentage of outstanding shares** |
| &nbsp;&nbsp;Triforce Ventures, S.A. | &nbsp;&nbsp;249999 | &nbsp;&nbsp;99.99% |

---

As at the date of this Circular, the current directors and senior officers of the Corporation as a group beneficially owned, directly or indirectly nil Common Shares constituting approximately 0% of the issued and outstanding Common Shares.

**INDEBTEDNESS OF DIRECTORS AND EXECUTIVE OFFICERS**

As at the date of this Circular, there was no indebtedness outstanding of any current or former director, executive officer or employee of the Corporation or its subsidiaries which is owing to the Corporation or its subsidiaries, or, which is owing to another entity which indebtedness is the subject of a guarantee, support agreement, letter of credit or other similar arrangement or understanding provided by the Corporation or its subsidiaries, entered into in connection with a purchase of securities or otherwise.

No individual who is, or at any time during the fiscal year ending on October 31, 2024 was, a director or executive officer of the Corporation, and no associate of such persons:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. is or at any time since the beginning of the most recently completed financial
year has been, indebted to the Corporation or its subsidiaries; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. is indebted to another entity, which indebtedness is, or at any time since
the beginning of the most recently completed financial year has been, the subject of a guarantee, support agreement, letter of
credit or other similar arrangement or understanding provided by the Corporation or its subsidiaries, in relation to a securities
purchase program or other program.

**INTEREST OF INFORMED PERSONS IN MATERIAL TRANSACTIONS**

No informed person (as defined in National Instrument 51-102 – *Continuous Disclosure Obligations*) of the Corporation and no associate or affiliate of the foregoing persons has or has had any material interest, direct or indirect, in any transaction since the commencement of the Corporation's most recently completed financial year or in any proposed transaction which in either such case has materially affected or would materially affect the Corporation or its subsidiaries.

**PARTICULARS OF MATTERS TO BE ACTED UPON**

To the knowledge of the Board, the only matters to be brought before the Meeting are set forth in the accompanying Notice. These matters are described in more detail under the headings below.

1. **Replacement Resolution** 

The Replacement Resolution proposes a replacement of the articles of incorporation (the "**Articles**") and notice of articles (the "**Notice of Articles**") of the Corporation (the "**Share Capital Amendments**"), to, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) Restate the rights and restrictions of the existing class of Common Shares; and

ii) to create a new class of shares, being non-voting shares in the capital of the Corporation ("**Non-Voting Shares**"), with the terms of the Non-Voting Shares attached as Appendix "A" to the Circular.

The Share Capital Amendments will be implemented at a time to be determined by the Board at a date no later than twenty-four (24) months following the Meeting.

The Non-Voting Shares are being adopted in contemplation of a potential business combination with a private company (the "**Transaction**"). All references herein to the "**Resulting Issuer**" refer to the Corporation after completion of the Transaction.

As the Share Capital Amendments will only be implemented if the Transaction will be proceeding, the Board may determine not to implement the Share Capital Amendments after the Meeting and after receipt of necessary Shareholder and regulatory approvals, but prior to the issue of a certificate of amendment under the *Business Corporations Act* (British Columbia) (the "**BCBCA**"), without further action on the part of the Shareholders. The Board believes that the Share Capital Amendments are in the best interests of the Corporation and therefore unanimously recommends that Shareholders vote in favour of the Replacement Resolution.

The text of the proposed new Articles is set out as Exhibit "I" to Appendix "A" attached to this Circular and summarized below.

To be effective, the Replacement Resolution requires the affirmative vote of not less than two-thirds (66 2/3%) of the votes cast by Shareholders present in person or represented by proxy and entitled to vote at the Meeting and a majority of votes cast by disinterested Shareholders present in person or represented by proxy at the Meeting. In addition, the Replacement Resolution will be used to approve the Share Capital Amendments, which constitutes a "restricted security reorganization" pursuant to National Instrument 41-101 – *General Prospectus Requirements* and Ontario Securities Commission Rule 56-501 – *Restricted Shares* (the "**Restricted Share Rules**") in that the Share Capital Amendments, if implemented, will result in the Non-Voting Shares becoming "restricted securities" under the Restricted Share Rules as such shares will carry a lesser number of votes per security than the Common Shares. The Restricted Share Rules require that a restricted security reorganization receive prior majority approval of the securityholders of the Corporation in accordance with applicable law, excluding any votes attaching to securities held, directly or indirectly, by affiliates of the Corporation or control persons of the Corporation. To the knowledge of management of the Corporation, after reasonable inquiry, there are 249,999 Common Shares held by Triforce Ventures, S.A., a control person of the Corporation, that will be excluded from voting on the Replacement Resolution under the Restricted Share Rules.

The text of the Replacement Resolution to be voted on at the Meeting by the Shareholders will be substantially in the form, subject to modifications deemed appropriate by the Board in its sole discretion, set out in Appendix "A" hereto.

**Unless otherwise indicated, the persons designated as proxyholders in the accompanying form of Proxy will vote the Common Shares represented by such form of Proxy <u>FOR</u> the Replacement Resolution. If you do not specify how you want your Common Shares voted at the Meeting, the persons designated as proxyholders in the accompanying form of Proxy will cast the votes represented by your proxy at the Meeting <u>FOR</u> the Replacement Resolution.**

**The Board unanimously recommends that Shareholders vote FOR the Replacement Resolution at the Meeting.**

See below for detailed information concerning the Replacement Resolution.

**Summary of Share Terms**

The following is a summary of the rights and restrictions that will attach to the Non-Voting Shares, and the full text of such rights, privileges, restrictions, and conditions of the shares are described in Exhibit "I" to this Circular, both the summary and Exhibit "I" must be read together.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Issue of Shares*** | The Non-Voting Shares may be issued at any time or from time to time in one or more series. Before any shares of a series are issued, the board of directors shall fix the number of shares that will form such series and shall, subject to the limitations set out in the Articles, determine the designation, rights, privileges, restrictions and conditions to be attached to the Non-Voting Shares of such series, the whole subject to the filling with the executive director (as defined in the BCBCA) of Notice of Alteration. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Voting Rights*** | The holders of the Non-Voting Shares shall be entitled to receive notice of and to attend (in person or by proxy) and be heard at all general meetings of the shareholders of the Resulting Issuer (other than separate meetings of the holders of shares of any other class of shares of the Resulting Issuer or of shares of any series of shares of any such other class of shares other than Common Shares) and shall be entitled to receive all notices of meetings, information circulars and other written information from the Resulting Issuer that the holders of Common Shares are entitled to receive from the Resulting Issuer but not to vote at such general meetings, unless otherwise required by law or as referred to herein. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Dividend Rights*** | The Common Shares and the Non-Voting Shares shall rank equally with one another and subordinate to any other shares of the Resulting Issuer ranking senior to the Common Shares and the Non-Voting Shares as to such dividends as may be declared by the board of directors out of funds legally available therefor and all dividends, other than stock dividends payable in equity shares, will be declared contemporaneously and paid at the same time in the same property and in equal amounts per share on all the Common Shares and the Non-Voting Shares at the time outstanding, without preference or priority of one share over another. |

---

The board of directors may declare separate stock dividends payable in equity shares for each of the Common Shares and the Non-Voting Shares provided that: (a) such stock dividends shall be declared contemporaneously and paid at the same time and in equal numbers of additional equity shares per share on all the Common Shares and the Non-Voting Shares at the time outstanding; (b) such stock dividends shall be paid (i) in the Common Shares to the holders of Common Shares and (ii) in the Non-Voting Shares to the holders of the Non-Voting Shares.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Rights upon<br> Liquidation,<br> Dissolution or<br> Winding Up*** | In the event of the liquidation, dissolution or winding-up of the Resulting Issuer or other distribution of assets of the Resulting Issuer among its shareholders for the purpose of winding-up its affairs, all of the property and assets of the Resulting Issuer which remain after payment to the holders of any shares ranking in priority to the Common Shares and the Non-Voting Shares in respect of payment upon liquidation, dissolution or winding-up of all amounts attributed and properly payable to such holders of such other shares in the event of such liquidation, dissolution, winding-up or distribution, shall be paid or distributed equally, share for share, to the holders of the Common Shares and the Non-Voting Shares, without preference or distinction. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***No Pre-emptive Rights*** | The holders of the Non-Voting Shares are not entitled to a right of first refusal to subscribe for, purchase or receive any part of any issue of the Non-Voting Shares or bonds, debentures or other securities of the Resulting Issuer now or in the future. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Conversion*** | Subject to the Ownership Limitation (as defined herein), the holders of the Non-Voting Shares shall have conversion rights as follows (the "**Resulting Issuer Non-Voting Share Conversion Rights**"): |

---

(i) **Right to Convert**. Each Non-Voting Share shall be convertible, at
the option of the holder thereof, at any time after the date of issuance of such share at the office of the Resulting Issuer or
any transfer agent for such shares, into fully paid and non-assessable Common Shares.

(ii) **Limitation on Conversion Rights.** Notwithstanding anything to the
contrary contained in the Articles, a holder of the Non-Voting Shares shall not have the right to convert any portion of the Non-Voting
Shares into the Common Shares to the extent that, after giving effect to such conversion, the holder thereof has either (i) beneficial
ownership of, or control or direction over, directly or indirectly, or (ii) a combination of beneficial ownership of, and control
or direction over, directly or indirectly of more than 9.99% of the Resulting Issuer's issued and outstanding Common Shares
immediately after giving effect to such conversion (the "**Non-Voting Share Ownership Limitation** "). The Resulting
Issuer shall not effect any exercise of any convertible securities of the Resulting Issuer, including the Non-Voting Shares (convertible
securities of the Resulting Issuer together with the Non-Voting Shares, the "**Resulting Issuer Convertible Securities** ")
held by the holder thereof, and such holder shall not have the right to exercise any portion of its Resulting Issuer Convertible
Securities so held, to the extent that after giving effect to such issuance after exercise as set forth on the applicable notice
of exercise or subscription form, as the case may be, the holder would beneficially own in excess of the Non-Voting Share Ownership
Limitation. For purposes of the foregoing sentence, the number of the Common Shares beneficially owned by the holder shall include
the number of the Common Shares issuable upon exercise of the Resulting Issuer Convertible Securities with respect to which such
determination is being made but shall exclude the number of the Common Shares which would be issuable upon exercise of the remaining,
non-exercised portion of the Non-Voting Shares. To the extent that the Non-Voting Share Ownership Limitation applies, the determination
of whether the Resulting Issuer Convertible Securities are exercisable (in relation to other securities owned by the holder) and
of which portion of the Resulting Issuer Convertible Securities are exercisable shall be in the discretion of the Resulting Issuer,
and the submission of a notice of exercise, shall be deemed to be the holder's determination of whether the Resulting Issuer
Convertible Securities are exercisable (in relation to other securities owned by the holder) and of which portion of the Resulting
Issuer Convertible Securities are exercisable, in each case subject to the Non-Voting Share Ownership Limitation. In determining
the number of outstanding Common Shares, the Resulting Issuer may rely on the number of outstanding Common Shares as reflected
in (A) the Resulting Issuer's most recent periodic or annual report filed with the Canadian securities commissions, (B) a
more recent public announcement
by the Resulting Issuer or (C) a more recent written notice by the Resulting Issuer or the transfer agent setting forth the number
of Common Shares outstanding. Upon the written or oral request of the holder, the Resulting Issuer shall within one business day
confirm orally and in writing to the holder the number of the Common Shares then outstanding. In any case, the number of outstanding
Common Shares shall be determined after giving effect to the conversion or exercise of securities of the Resulting Issuer, including
the Resulting Issuer Convertible Securities, by the holder since the date as of which such number of outstanding Common Shares
was reported. The "**Ownership Limitation**" shall be 9.99% of the number of Common Shares outstanding immediately
after giving effect to the issuance of Common Shares issuable upon exercise of the Resulting Issuer Convertible Securities; provided
however that: (A) the holder may, in its sole discretion, subject to (B), elect that this subsection cease to apply to the holder
by sending written notice of such election to the Resulting Issuer, and (B) the holder has filed, and any stock exchange on which
the Common Shares are then listed has cleared for acceptance, personal information forms in the form prescribed by such exchange,
in respect of the Resulting Issuer and any third party that is in any manner connected with the holder and which the exchange requires
a personal information form to be submitted.

(iii) **Mechanics of Conversion.** Before any holder of the Non-Voting Shares
shall be entitled to convert the Non-Voting Shares into Common Shares, the holder thereof shall surrender the certificate or certificates
therefor, duly endorsed, at the office of the Resulting Issuer, and shall give written notice to the Resulting Issuer at its principal
corporate office, of the election to convert the same and shall state therein the name or names in which the certificate or certificates
for Common Shares are to be issued (each, a "**Non-Voting Share Conversion Notice** "). The Resulting Issuer shall
(or shall cause its transfer agent to), within two (2) business days thereafter, issue and deliver at such office to such holder,
or to the nominee or nominees of such holder, a certificate or certificates for the number of Common Shares to which such holder
shall be entitled as aforesaid. Such conversion shall be deemed to have been made immediately prior to the close of business on
the date of such surrender of the Non-Voting Shares to be converted, and the person or persons entitled to receive the Common Shares
issuable upon such conversion shall be treated for all purposes as the record holder or holders of such Common Shares as of such
date.

(iv) All Non-Voting Shares which shall have been surrendered for conversion
in accordance with the Articles shall no longer be deemed to be outstanding and all rights with respect to such shares shall immediately
cease and terminate at the time of conversion, except only the right of the holders thereof to receive the Common Shares in exchange
therefor and to receive payment in lieu of any fraction of a share otherwise issuable upon such conversion.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Adjustments for <br> Distributions*** | In the event the Resulting Issuer declares a distribution to holders of the Common Shares payable in securities of other persons, evidences of indebtedness issued by the Resulting Issuer or other persons, assets (excluding cash dividends), or options or rights, then, in each such case, the holders of the Non-Voting Shares shall be entitled to a proportionate share of any such distribution as though they were the holders of the number of the Common Shares into which their Non-Voting Shares are convertible as of the record date fixed for determining the holders of the Common Shares entitled to receive such distribution. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Recapitalizations<br> and Stock Splits*** | No fractional Common Shares shall be issued upon the conversion of any Non-Voting Shares and the number of Common Shares to be issued shall be rounded up to the nearest whole Common Share. Whether or not fractional Common Shares are issuable upon such conversion shall be determined on the basis of the total number of shares of the Non-Voting Shares the holder is at the time converting into the Common Shares and the number of the Common Shares issuable upon such aggregate conversion. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***No Fractional <br> Shares and <br> Certificates as to <br> Adjustment*** | The holders of the Non-Voting Shares will have the right to convert Non-Voting Shares into fully paid and non-assessable Common Shares at any time after issuance by submitting a duly endorsed certificate and a written notice to the Resulting Issuer or its designated transfer agent. The conversion will be subject to the Ownership Limitation, which will restrict holders of Non-Voting Shares from owning, directly or indirectly, more than 9.9% of the issued and outstanding Common Shares following the conversion. The holders of Non-Voting Shares will have the option to waive the Ownership Limitation by submitting a written notice and completing required regulatory filings. Once converted, the Non-Voting Shares will cease to exist, and all associated rights will terminate, except the right to receive the Common Shares and payment for fractional shares. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Disputes*** | Any holder of Non-Voting Shares that beneficially owns more than 5% of the issued and outstanding Non-Voting Shares may submit a written dispute as to the determination of the conversion ratio, the arithmetic calculation of the conversion ratio of the Non-Voting Shares to the Common Shares, or the Ownership Limitation by the Resulting Issuer, to the board of directors with the basis for the disputed determinations or arithmetic calculations. The Resulting Issuer shall respond to the holder within two (2) business days of receipt, or deemed receipt, of the dispute notice with a written calculation of the Ownership Limitation. If the holder and the Resulting Issuer are unable to agree upon such determination or calculation of the Ownership Limitation, within two (2) business days of such response, then the Resulting Issuer and the holder shall, within one (1) business day thereafter submit the disputed arithmetic calculation of the Ownership Limitation to the Resulting Issuer's independent, outside accountant. The Resulting Issuer, at the Resulting Issuer's expense, shall cause the accountant to perform the determinations or calculations and notify the Resulting Issuer and the holder of the results no later than two (2) business days from the time it receives the disputed determinations or calculations. Such accountant's determination or calculation, as the case may be, shall be binding upon all parties absent demonstrable error. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Conversion of Non-<br> Voting Shares Upon <br> an Offer*** | In the event that an offer is made to purchase Common Shares, and the offer is one which is required, pursuant to applicable securities legislation or the rules of a stock exchange, if any, on which the Common Shares are then listed, to be made to all or substantially all the holders of Common Shares in a province or territory of Canada to which the requirement applies, each Non-Voting Share shall become convertible at the option of the holder into Common Shares at the conversion ratio then in effect, at any time while the offer is in effect until one day after the time prescribed by applicable securities legislation for the offeror to take up and pay for such shares as are to be acquired pursuant to the offer. The conversion right in this section may only be exercised in respect of Non-Voting Shares for the purpose of depositing the resulting Common Shares under the offer, and for no other reason. In such event, the transfer agent for the Common Shares shall deposit under the offer the resulting Common Shares, on behalf of the holder. |

---

To exercise such conversion right, the holder or his or its attorney duly authorized in writing shall:

(i) give written notice to the transfer agent of the exercise of such right, and of the number of Non-Voting Shares in respect of which the right is being exercised;

(ii) deliver to the transfer agent the share certificate or certificates representing the Non-Voting Shares in respect of which the right is being exercised, if applicable; and

(iii) pay any applicable stamp tax or similar duty on or in respect of such conversion.

No share certificates representing or other evidence of the Common Shares, resulting from the conversion of the Non-Voting Shares will be delivered to the holders on whose behalf such deposit is being made. If Common Shares, resulting from the conversion and deposited pursuant to the offer, are withdrawn by the holder or are not taken up by the offeror, or the offer is abandoned, withdrawn or terminated by the offeror or the offer otherwise expires without such Common Shares being taken up and paid for, the Common Shares resulting from the conversion will be reconverted into Non-Voting Shares at the then inverse of the conversion ratio and a share certificate representing the Non-Voting Shares will be sent to the holder by the transfer agent or the Resulting Issuer. In the event that the offeror takes up and pays for the Common Shares resulting from conversion, the transfer agent shall deliver to the holders thereof the consideration paid for such shares by the offeror.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Other*** |  |
|  | Any Non-Voting Share converted shall be retired and cancelled and may not be reissued as shares of such series or any other class or series, and the Resulting Issuer may thereafter take such appropriate action (without the need for shareholder action) as may be necessary to reduce the authorized number of the Non-Voting Shares accordingly. |

---

**ADDITIONAL INFORMATION**

Additional information relating to the Corporation is available on the SEDAR+ website at <u>www.sedarplus.ca</u>.

**DIRECTOR APPROVAL**

The contents of this Circular and the sending thereof to the Shareholders of the Corporation have been approved by the Board.

August 5, 2025

*<u>(Signed)</u>* <u>"*Fraser Hartley*"</u>

Fraser Hartley <br> Director

**APPENDIX "A"**

**REPLACEMENT RESOLUTION**

**"BE IT RESOLVED AS A SPECIAL RESOLUTION THAT:**

&nbsp;&nbsp;&nbsp;&nbsp;1. the Corporation be authorized to remove the current Articles of the Corporation
in their entirety and replace them with, and adopt in substitution therefor, the new Articles of the Corporation in substantially
the form attached as Exhibit "I" to this Circular, with such additions, deletions, and amendments thereto as may be
approved by the directors of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;2. the Corporation be authorized to restate the rights and restrictions attaching
to the Common Shares in the capital of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;3. the Corporation be authorized to alter the authorized share structure of
the Corporation by creating an unlimited number of shares named "Non-Voting Shares" and to alter the authorized share
structure of the Corporation accordingly;

&nbsp;&nbsp;&nbsp;&nbsp;4. the Corporation be authorized to alter the Notice of Articles of the Corporation
accordingly, and in connection therewith, the directors of the Corporation be authorized to instruct its agent to file a Notice
of Alteration to the Notice of Articles reflecting the above changes;

&nbsp;&nbsp;&nbsp;&nbsp;5. notwithstanding the approval of the shareholders of the Corporation as
herein provided, the board of directors of the Corporation be authorized, in its sole discretion, to revoke this special resolution
before it is acted upon, without further approval of, or notice to, the shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;6. notwithstanding the approval of the shareholders of the Corporation as
herein provided, the board of directors of the Corporation be authorized, in its sole discretion (and without further approval
of, or notice to, the shareholders), to determine the date on which the Share Capital Amendments shall be implemented, provided
that such date shall not be later than twenty-four (24) months following the date of the Meeting;

&nbsp;&nbsp;&nbsp;&nbsp;7. pursuant to the *Business Corporations Act* (British Columbia), it
is a condition of these resolutions that the alteration to the Articles of the Corporation referred to in these resolutions does
not take effect until the Notice of Alteration takes effect at the office of the Registrar of Companies; and

&nbsp;&nbsp;&nbsp;&nbsp;8. any director or officer of the Corporation, signing alone, be authorized
to execute and deliver all such documents and instruments, and to do such further acts, as may be necessary to give full effect
to these resolutions or as may be required to carry out the full intent and meaning thereof."

**EXHIBIT "I"**

**NEW ARTICLES**

See attached.

**Incorporation Number<u> </u>**

**ARTICLES**

**OF**

**[RESULTING ISSUER]**

***BUSINESS CORPORATIONS ACT***

**BRITISH COLUMBIA**

**TABLE OF CONTENTS**

**PART 1**

**INTERPRETATION**

1.1 Definitions 8

1.2 Business Corporations Act and Interpretation
Act Definitions Applicable 9

**PART 2**

**SHARES AND SHARE CERTIFICATES**

2.1 Authorized Share Structure 9

2.2 Form of Share Certificate 9

2.3 Shareholder Entitled to Certificate or Acknowledgment 9

2.4 Delivery by Mail 10

2.5 Replacement of Worn Out or Defaced Certificate or Acknowledgement 10

2.6 Replacement of Lost, Destroyed or Wrongfully Taken Certificate 10

2.7 Recovery of New Share Certificate 10

2.8 Splitting Share Certificates 11

2.9 Certificate Fee 11

2.10 Recognition of Trusts 11

**PART 3**

**ISSUE OF SHARES**

3.1 Directors Authorized 11

3.2 Commissions and Discounts 11

3.3 Brokerage 11

3.4 Conditions of Issue 12

3.5 Share Purchase Warrants and Rights 12

**PART 4**

**SHARE REGISTERS**

4.1 Central Securities Register 12

4.2 Appointment of Agent 12

4.3 Closing Register 12

**PART 5**

**SHARE TRANSFERS**

5.1 Registering Transfers 13

5.2 Waivers of Requirements for Transfer 13

5.3 Form of Instrument of Transfer 13

5.4 Transferor Remains Shareholder 13

5.5 Signing of Instrument of Transfer 14

5.6 Enquiry as to Title Not Required 14

5.7 Transfer Fee 14

**PART 6**

**TRANSMISSION OF SHARES**

6.1 Legal Personal Representative Recognized on Death 14

6.2 Rights of Legal Personal Representative 15

**PART 7**

**ACQUISITION OF COMPANY'S SHARES**

7.1 Company Authorized to Purchase or Otherwise Acquire Shares 15

7.2 No Purchase, Redemption or Other Acquisition When Insolvent 15

7.3 Sale and Voting of Purchased, Redeemed or Otherwise Acquired Shares 15

**PART 8**

**BORROWING POWERS**

8.1 Borrowing Powers 15

8.2 Additional Powers 16

**PART 9**

**ALTERATIONS**

9.1 Alteration of Authorized Share Structure 16

9.2 Special Rights or Restrictions 17

9.3 No Interference with Class or Series Rights without Consent 17

9.4 Change of Name 17

9.5 Other Alterations 17

**PART 10**

**MEETINGS OF SHAREHOLDERS**

10.1 Annual General Meetings 17

10.2 Resolution Instead of Annual General Meeting 18

10.3 Calling of Meetings of Shareholders 18

10.4 Notice for Meetings of Shareholders 18

10.5 Failure to Give Notice and Waiver of Notice 18

10.6 Notice of Special Business at Meetings of Shareholders 18

10.7 Class Meetings and Series Meetings of Shareholders 19

10.8 Notice of Dissent Rights 19

10.9 Advance Notice Provisions 19

10.10 Electronic Meetings 23

**PART 11**

**PROCEEDINGS AT MEETINGS OF SHAREHOLDERS**

11.1 Special Business 23

11.2 Special Majority 23

11.3 Quorum 23

11.4 One Shareholder May Constitute Quorum 24

11.5 Persons Entitled to Attend Meeting 24

11.6 Requirement of Quorum 24

11.7 Lack of Quorum 24

11.8 Lack of Quorum at Succeeding Meeting 24

11.9 Chair 25

11.10 Selection of Alternate Chair 25

11.11 Adjournments 25

11.12 Notice of Adjourned Meeting 25

11.13 Decisions by Show of Hands or Poll 25

11.14 Declaration of Result 25

11.15 Motion Need Not be Seconded 26

11.16 Casting Vote 26

11.17 Manner of Taking Poll 26

11.18 Demand for Poll on Adjournment 26

11.19 Chair Must Resolve Dispute 26

11.20 Casting of Votes 26

11.21 No Demand for Poll on Election of Chair 26

11.22 Demand for Poll Not to Prevent Continuance of Meeting 27

11.23 Retention of Ballots and Proxies 27

**PART 12**

**VOTES OF SHAREHOLDERS**

12.1 Number of Votes by Shareholder or by Shares 27

12.2 Votes of Persons in Representative Capacity 27

12.3 Votes by Joint Holders 27

12.4 Legal Personal Representatives as Joint Shareholders 28

12.5 Representative of a Corporate Shareholder 28

12.6 Proxy Holder Need Not Be Shareholder 28

12.7 When Proxy Provisions Do Not Apply to the Company 28

12.8 Appointment of Proxy Holders 29

12.9 Alternate Proxy Holders 29

12.10 Deposit of Proxy 29

12.11 Validity of Proxy Vote 29

12.12 Form of Proxy 29

12.13 Revocation of Proxy 30

12.14 Revocation of Proxy Must Be Signed 30

12.15 Chair May Determine Validity of Proxy 31

12.16 Production of Evidence of Authority to Vote 31

**PART 13**

**DIRECTORS**

13.1 First Directors; Number of Directors 31

13.2 Change in Number of Directors 31

13.3 Directors' Acts Valid Despite Vacancy 31

13.4 Qualifications of Directors 32

13.5 Remuneration of Directors 32

13.6 Reimbursement of Expenses of Directors 32

13.7 Special Remuneration for Directors 32

13.8 Gratuity, Pension or Allowance on Retirement of Director 32

**PART 14**

**ELECTION AND REMOVAL OF DIRECTORS**

14.1 Election at Annual General Meeting 32

14.2 Consent to be a Director 33

14.3 Failure to Elect or Appoint Directors 33

14.4 Places of Retiring Directors Not Filled 33

14.5 Directors May Fill Casual Vacancies 33

14.6 Remaining Directors' Power to Act 33

14.7 Shareholders May Fill Vacancies 34

14.8 Additional Directors 34

14.9 Ceasing to be a Director 34

14.10 Removal of Director by Shareholders 34

14.11 Removal of Director by Directors 34

**PART 15**

**POWERS AND DUTIES OF DIRECTORS**

15.1 Powers of Management 39

15.2 Appointment of Attorney of Company 39

**PART 16**

**INTERESTS OF DIRECTORS AND OFFICERS**

16.1 Obligation to Account for Profits 39

16.2 Restrictions on Voting by Reason of Interest 40

16.3 Interested Director Counted in Quorum 40

16.4 Disclosure of Conflict of Interest or Property 40

16.5 Director Holding Other Office in the Company 40

16.6 No Disqualification 40

16.7 Professional Services by Director or Officer 40

16.8 Director or Officer in Other Corporations 40

**PART 17**

**PROCEEDINGS OF DIRECTORS**

17.1 Meetings of Directors 41

17.2 Voting at Meetings 41

17.3 Chair of Meetings 41

17.4 Meetings by Telephone or Other Communications Medium 41

17.5 Calling of Meetings 42

17.6 Notice of Meetings 42

17.7 When Notice Not Required 42

17.8 Meeting Valid Despite Failure to Give Notice 42

17.9 Waiver of Notice of Meetings 42

17.10 Quorum 42

17.11 Validity of Acts Where Appointment Defective 43

17.12 Consent Resolutions in Writing 43

**PART 18**

**BOARD COMMITTEES**

18.1 Appointment and Powers of Committees 43

18.2 Obligations of Committees 44

18.3 Powers of Board 44

18.4 Committee Meetings 44

**PART 19**

**OFFICERS**

19.1 Directors May Appoint Officers 44

19.2 Functions, Duties and Powers of Officers 45

19.3 Qualifications 45

19.4 Remuneration and Terms of Appointment 45

**PART 20**

**INDEMNIFICATION**

20.1 Definitions 45

20.2 Mandatory Indemnification of Directors and Officers 46

20.3 Deemed Contract 46

20.4 Permitted Indemnification 46

20.5 Non-Compliance with Business Corporations Act 46

20.6 Company May Purchase Insurance 46

**PART 21**

**DIVIDENDS**

21.1 Payment of Dividends Subject to Special Rights 46

21.2 Declaration of Dividends 47

21.3 No Notice Required 47

21.4 Record Date 47

21.5 Manner of Paying Dividend 47

21.6 Settlement of Difficulties 47

21.7 When Dividend Payable 47

21.8 Dividends to be Paid in Accordance with Number of Shares 47

21.9 Receipt by Joint Shareholders 47

21.10 Dividend Bears No Interest 48

21.11 Fractional Dividends 48

21.12 Payment of Dividends 48

21.13 Capitalization of Retained Earnings or Surplus 48

21.14 Unclaimed Dividends 48

**PART 22**

**ACCOUNTING RECORDS AND AUDITOR**

22.1 Recording of Financial Affairs 48

22.2 Inspection of Accounting Records 49

22.3 Remuneration of Auditor 49

**PART 23**

**NOTICES**

23.1 Method of Giving Notice 49

23.2 Deemed Receipt 50

23.3 Certificate of Sending 50

23.4 Notice to Joint Shareholders 50

23.5 Notice to Legal Personal Representatives and Trustees 50

23.6 Undelivered Notices 51

**PART 24**

**SEAL**

24.1 Who May Attest Seal 51

24.2 Sealing Copies 51

24.3 Mechanical Reproduction of Seal 51

**PART 25**

**PROHIBITIONS**

25.1 Definitions 52

25.2 Application 52

25.3 Consent Required for Transfer of Shares or Transfer Restricted Securities 52

**PART 26**

**FORUM SELECTION**

26.1 Forum for Adjudication of Certain Disputes 52

**PART 27**

**VOTING SHARES**

27.1 Special Rights and Restrictions 53

**PART 28**

**NON-VOTING SHARES**

28.1 Special Rights and Restrictions 60

**PART 29**

**REDEMPTION BY THE COMPANY**

29.1 Interpretation 59

29.2 Redemption by the Company 61

**Incorporation Number<u> </u>**

**ARTICLES**

**OF**

**[RESULTING ISSUER]**

**(the "Company")**

The Company will have as its Articles the following Articles.

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Full name and signature of a Director** | &nbsp;&nbsp;**Date of Signing** |
| &nbsp;&nbsp; Name:<u> </u><br>Signature:<u> </u> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <u> </u>, 2025.<br>|

---

**PART 1**

**INTERPRETATION**

1.1 Definitions

In these Articles (the "**Articles**"), unless the context otherwise requires:

(1) "**appropriate person**" has the meaning assigned in the *Securities Transfer Act*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) "**board of directors** ", "**directors** "
and "**board**" mean the directors of the Company for the time being;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) "  ***Business Corporations Act***" means the *Business Corporations Act* (British Columbia) from time to time in force and all amendments thereto and includes all regulations and
amendments thereto made pursuant to that Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) "  ***Interpretation Act***" means the *Interpretation Act* (British Columbia) from time to time in force and all amendments thereto and includes all regulations and amendments thereto
made pursuant to that Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) "**legal personal representative**" means the personal or
other legal representative of a shareholder;

(6) "**protected purchaser**" has the meaning assigned in the *Securities Transfer Act*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) "**registered address**" of a shareholder means the shareholder's
address as recorded in the central securities register;

(8) "**seal**" means the seal of the Company, if any;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(9) "  ***Securities Act***" means the *Securities Act* (British
Columbia) from time to time in force and all amendments thereto and includes all regulations and amendments thereto made pursuant
to that Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) "**securities legislation**" means statutes concerning the
regulation of securities markets and trading in securities and the regulations, rules, forms and schedules under those statutes,
all as amended from time to time, and the blanket rulings and orders, as amended from time to time, issued by the securities commissions
or similar regulatory authorities appointed under or pursuant to those statutes; and "**Canadian securities legislation** "
means the securities legislation in any province or territory of Canada and includes the *Securities Act*; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(11) "  ***Securities Transfer Act***" means the *Securities Transfer Act* (British Columbia) from time to time in force and all amendments thereto and includes all regulations and amendments
thereto made pursuant to that Act.

**1.2**  ***Business Corporations Act* and *Interpretation Act* Definitions Applicable** 

The definitions in the *Business Corporations Act* and the definitions and rules of construction in the *Interpretation Act*, with the necessary changes, so far as applicable, and unless the context requires otherwise, apply to these Articles as if they were an enactment. If there is a conflict between a definition in the *Business Corporations Act* and a definition or rule in the *Interpretation Act* relating to a term used in these Articles, the definition in the *Business Corporations Act* will prevail in relation to the use of the term in these Articles. If there is a conflict or inconsistency between these Articles and the *Business Corporations Act*, the *Business Corporations Act* will prevail.

**PART 2**

**SHARES AND SHARE CERTIFICATES**

2.1 Authorized Share Structure

The authorized share structure of the Company consists of shares of the class or classes and series, if any, described in the Notice of Articles of the Company.

2.2 Form of Share Certificate

Each share certificate issued by the Company must comply with, and be signed as required by, the *Business Corporations Act*.

2.3 Shareholder Entitled to Certificate or Acknowledgment

Unless the shares of which the shareholder is the registered owner are uncertificated shares within the meaning of the *Business Corporations Act*, each shareholder is entitled, without charge, to (a) one share certificate representing the shares of each class or series of shares registered in the shareholder's name or (b) a non-transferable written acknowledgment of the shareholder's right to obtain such a share certificate, provided that in respect of a share held jointly by several persons, the Company is not bound to issue more than one share certificate or acknowledgment and delivery of a share certificate or an acknowledgment to one of several joint shareholders or to a duly authorized agent of one of the joint shareholders will be sufficient delivery to all. If a shareholder is the registered owner of uncertificated shares, the Company must send to that holder a written notice containing the information required by the Act within a reasonable time after the issue or transfer of the shares.

2.4 Delivery by Mail

Any share certificate or non-transferable written acknowledgment of a shareholder's right to obtain a share certificate may be sent to the shareholder by mail at the shareholder's registered address and neither the Company nor any director, officer or agent of the Company (including the Company's legal counsel or transfer agent) is liable for any loss to the shareholder because the share certificate or acknowledgement is lost in the mail or stolen.

2.5 Replacement of Worn Out or Defaced Certificate or Acknowledgement

If the Company is satisfied that a share certificate or a non-transferable written acknowledgment of the shareholder's right to obtain a share certificate is worn out or defaced, it must, on production to it of the share certificate or acknowledgment, as the case may be, and on such other terms, if any, as it thinks fit:

(1) order the share certificate or acknowledgment, as the
case may be, to be cancelled; and

(2) issue a replacement share certificate or acknowledgment,
as the case may be.

2.6 Replacement of Lost, Destroyed or Wrongfully Taken Certificate

If a person entitled to a share certificate claims that the share certificate has been lost, destroyed or wrongfully taken, the Company must issue a new share certificate, if that person:

(1) so requests before the Company has notice that the share
certificate has been acquired by a protected purchaser;

(2) provides the Company with an indemnity bond sufficient
in the Company's judgement to protect the Company from any loss that the Company may suffer by issuing a new certificate;
and

(3) satisfies any other reasonable requirements imposed by
the Company.

A person entitled to a share certificate may not assert against the Company a claim for a new share certificate where a share certificate has been lost, apparently destroyed or wrongfully taken if that person fails to notify the Company of that fact within a reasonable time after that person has notice of it and the Company registers a transfer of the shares represented by the certificate before receiving a notice of the loss, apparent destruction or wrongful taking of the share certificate.

2.7 Recovery of New Share Certificate

If, after the issue of a new share certificate, a protected purchaser of the original share certificate presents the original share certificate for the registration of transfer, then in addition to any rights under any indemnity bond, the Company may recover the new share certificate from a person to whom it was issued or any person taking under that person other than a protected purchaser.

2.8 Splitting Share Certificates

If a shareholder surrenders a share certificate to the Company with a written request that the Company issue in the shareholder's name two or more share certificates, each representing a specified number of shares and in the aggregate representing the same number of shares as represented by the share certificate so surrendered, the Company must cancel the surrendered share certificate and issue replacement share certificates in accordance with that request.

2.9 Certificate Fee

There must be paid to the Company, in relation to the issue of any share certificate under Articles 2.5, 2.6 or 2.8, the amount, if any and which must not exceed the amount prescribed under the *Business Corporations Act*, determined by the directors.

2.10 Recognition of Trusts

Except as required by law or statute or these Articles, no person will be recognized by the Company as holding any share upon any trust, and the Company is not bound by or compelled in any way to recognize (even when having notice thereof) any equitable, contingent, future or partial interest in any share or fraction of a share or (except as required by law or statute or these Articles or as ordered by a court of competent jurisdiction) any other rights in respect of any share except an absolute right to the entirety thereof in the shareholder.

**PART 3**

**ISSUE OF SHARES**

3.1 Directors Authorized

Subject to the *Business Corporations Act* and the rights, if any, of the holders of issued shares of the Company, the Company may issue, allot, sell or otherwise dispose of the unissued shares, and issued shares held by the Company, at the times, to the persons, including directors, in the manner, on the terms and conditions and for the issue prices (including any premium at which shares with par value may be issued) that the directors may determine. The issue price for a share with par value must be equal to or greater than the par value of the share.

3.2 Commissions and Discounts

The Company may at any time pay a reasonable commission or allow a reasonable discount to any person in consideration of that person purchasing or agreeing to purchase shares of the Company from the Company or any other person or procuring or agreeing to procure purchasers for shares of the Company.

3.3 Brokerage

The Company may pay such brokerage fee or other consideration as may be lawful for or in connection with the sale or placement of its securities.

3.4 Conditions of Issue

Except as provided for by the *Business Corporations Act*, no share may be issued until it is fully paid. A share is fully paid when:

(1) consideration is provided to the Company for the issue
of the share by one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) past services performed for the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) money; and

(2) the value of the consideration received by the Company
equals or exceeds the issue price set for the share under Article 3.1.

3.5 Share Purchase Warrants and Rights

**PART 4<br> SHARE REGISTERS**

4.1 Central Securities Register

As required by and subject to the *Business Corporations Act*, the Company must maintain a central securities register, which may be kept in electronic form.

4.2 Appointment of Agent

The directors may, subject to the *Business Corporations Act*, appoint an agent to maintain the central securities register. The directors may also appoint one or more agents, including the agent which keeps the central securities register, as transfer agent for its shares or any class or series of its shares, as the case may be, and the same or another agent as registrar for its shares or such class or series of its shares, as the case may be. The directors may terminate such appointment of any agent at any time and may appoint another agent in its place.

If the Company has appointed a transfer agent, references in Articles 2.4, 2.5, 2.6, 2.7, 2.8, 2.9, and 5.7 to the Company include its transfer agent.

4.3 Closing Register

The Company must not at any time close its central securities register.

**PART 5**

**SHARE TRANSFERS**

5.1 Registering Transfers

The Company must register a transfer of a share of the Company if either:

(1) the Company or the transfer agent or registrar for the
class or series of share to be transferred has received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) in the case where the Company has issued a share certificate
in respect of the share to be transferred, that share certificate and a written instrument of transfer (which may be on a separate
document or endorsed on the share certificate) made by the shareholder or other appropriate person or by an agent who has actual
authority to act on behalf of that person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in the case of a share that is not represented by a share certificate (including
an uncertificated share within the meaning of the *Business Corporations Act* and including the case where the Company has
issued a non-transferable written acknowledgement of the shareholder's right to obtain a share certificate in respect of
the share to be transferred), a written instrument of transfer, made by the shareholder or other appropriate person or by an agent
who has actual authority to act on behalf of that person; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) such other evidence, if any, as the Company or the transfer agent or registrar
for the class or series of share to be transferred may require to prove the title of the transferor or the transferor's right
to transfer the share, that the written instrument of transfer is genuine and authorized and that the transfer is rightful or to
a protected purchaser; or

(2) all the preconditions for a transfer of a share under
the *Securities Transfer Act* have been met and the Company is required under the *Securities Transfer Act* to register
the transfer.

5.2 Waivers of Requirements for Transfer

The Company may waive any of the requirements set out in Article 5.1(1) and any of the preconditions referred to in Article 5.1(2).

5.3 Form of Instrument of Transfer

The instrument of transfer in respect of any share of the Company must be either in the form, if any, on the back of the Company's share certificates or in any other form that may be approved by the Company or the transfer agent for the class or series of shares to be transferred.

5.4 Transferor Remains Shareholder

Except to the extent that the *Business Corporations Act* otherwise provides, the transferor of shares is deemed to remain the holder of the shares until the name of the transferee is entered in a securities register of the Company in respect of the transfer.

5.5 Signing of Instrument of Transfer

If a shareholder or other appropriate person or an agent who has actual authority to act on behalf of that person, signs an instrument of transfer in respect of shares registered in the name of the shareholder, the signed instrument of transfer constitutes a complete and sufficient authority to the Company and its directors, officers and agents to register the number of shares specified in the instrument of transfer or specified in any other manner, or, if no number is specified but share certificates are deposited with the instrument of transfer, all the shares represented by such share certificates:

(1) in the name of the person named as transferee in that
instrument of transfer; or

(2) if no person is named as transferee in that instrument
of transfer, in the name of the person on whose behalf the instrument is deposited for the purpose of having the transfer registered.

5.6 Enquiry as to Title Not Required

Neither the Company nor any director, officer or agent of the Company is bound to inquire into the title of the person named in the instrument of transfer as transferee or, if no person is named as transferee in the instrument of transfer, of the person on whose behalf the instrument is deposited for the purpose of having the transfer registered or is liable for any claim related to registering the transfer by the shareholder or by any intermediate owner or holder of the shares, of any interest in the shares, of any share certificate representing such shares or of any written acknowledgment of a right to obtain a share certificate for such shares.

5.7 Transfer Fee

Subject to the applicable rules of any stock exchange on which the shares of the Company may be listed, there must be paid to the Company, in relation to the registration of any transfer, the amount, if any, determined by the directors.

**PART 6**

**TRANSMISSION OF SHARES**

6.1 Legal Personal Representative Recognized on Death

In the case of the death of a shareholder, the legal personal representative of the shareholder, or in the case of shares registered in the shareholder's name and the name of another person in joint tenancy, the surviving joint holder, will be the only person recognized by the Company as having any title to the shareholder's interest in the shares. Before recognizing a person as a legal personal representative of a shareholder, the directors may require the original grant of probate or letters of administration or a court certified copy of them or the original or a court certified or authenticated copy of the grant of representation, will, order or other instrument or other evidence of the death under which title to the shares or securities is claimed to vest.

6.2 Rights of Legal Personal Representative

The legal personal representative of a shareholder has the rights, privileges and obligations that attach to the shares held by the shareholder, including the right to transfer the shares in accordance with these Articles and applicable securities legislation, if appropriate evidence of appointment or incumbency within the meaning of the *Securities Transfer Act* has been deposited with the Company. This Article 6.2 does not apply in the case of the death of a shareholder with respect to shares registered in the shareholder's name and the name of another person in joint tenancy.

**PART 7**

**ACQUISITION OF COMPANY'S SHARES**

7.1 Company Authorized to Purchase or Otherwise Acquire Shares

Subject to Article 7.2, the special rights or restrictions attached to the shares of any class or series of shares, the *Business Corporations Act* and applicable securities legislation, the Company may, if authorized by the directors, purchase or otherwise acquire any of its shares at the price and upon the terms determined by the directors.

7.2 No Purchase, Redemption or Other Acquisition When Insolvent

The Company must not make a payment or provide any other consideration to purchase, redeem or otherwise acquire any of its shares if there are reasonable grounds for believing that:

(1) the Company is insolvent; or

(2) making the payment or providing the consideration would
render the Company insolvent.

7.3 Sale and Voting of Purchased, Redeemed or Otherwise Acquired
Shares

If the Company retains a share redeemed, purchased or otherwise acquired by it, the Company may sell or otherwise dispose of the share, but, while such share is held by the Company, it:

(1) is not entitled to vote the share at a meeting of its
shareholders;

(2) must not pay a dividend in respect of the share; and

(3) must not make any other distribution in respect of the
share.

**PART 8**

**BORROWING POWERS**

**8.1** **Borrowing Powers** 

The Company, if authorized by the directors, may:

(1) borrow money in the manner and amount, on the security,
from the sources and on the terms and conditions that the directors consider appropriate;

(2) issue bonds, debentures and other debt obligations either
outright or as security for any liability or obligation of the Company or any other person and at such discounts or premiums and
on such other terms as the directors consider appropriate;

(3) guarantee the repayment of money by any other person or
the performance of any obligation of any other person; and

(4) mortgage, hypothecate, charge, whether by way of specific
or floating charge, grant a security interest in, or give other security on, the whole or any part of the present and future assets
and undertaking of the Company, including property that is movable or immovable, corporeal or incorporeal.

8.2 Additional Powers

The powers conferred under this Part 8 shall be deemed to include the powers conferred on a company by Division VII of the *Act Respecting the Special Powers of Legal Persons* being chapter P-16 of the Revised Statutes of Quebec, and every statutory provision that may be substituted therefor or for any provision therein.

**PART 9**

**ALTERATIONS**

9.1 Alteration of Authorized Share Structure

Subject to Articles 9.2 and 9.3, the special rights or restrictions attached to the shares of any class or series of shares and the *Business Corporations Act*, the Company may:

(1) by ordinary resolution:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) create one or more classes or series of shares or, if
none of the shares of a class or series of shares are allotted or issued, eliminate that class or series of shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) increase, reduce or eliminate the maximum number of shares that the Company
is authorized to issue out of any class or series of shares or establish a maximum number of shares that the Company is authorized
to issue out of any class or series of shares for which no maximum is established;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if the Company is authorized to issue shares of a class of shares with par value:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) decrease the par value of those shares; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if none of the shares of that class of shares are allotted or issued, increase the par value
of those shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) change all or any of its unissued, or fully paid issued,
shares with par value into shares without par value or any of its unissued shares without par value into shares with par value;
or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) otherwise alter its shares or authorized share structure
when required or permitted to do so by the *Business Corporations Act*;

and, if applicable, alter its Notice of Articles and Articles accordingly; or

(2) by resolution of the directors:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) subdivide or consolidate all or any of its unissued, or fully paid issued, shares; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) alter the identifying name of any of its shares;

and if applicable, alter its Notice of Articles and, if applicable, its Articles accordingly.

9.2 Special Rights or Restrictions

Subject to the special rights or restrictions attached to any class or series of shares and the *Business Corporations Act*, the Company may by ordinary resolution:

(1) create special rights or restrictions for, and attach
those special rights or restrictions to, the shares of any class or series of shares, whether or not any or all of those shares
have been issued; or

(2) vary or delete any special rights or restrictions attached
to the shares of any class or series of shares, whether or not any or all of those shares have been issued;

and alter its Articles and Notice of Articles accordingly.

9.3 No Interference with Class or Series Rights without Consent

A right or special right attached to issued shares must not be prejudiced or interfered with under the *Business Corporations Act*, the Notice of Articles or these Articles unless the holders of shares of the class or series of shares to which the right or special right is attached consent by a special separate resolution of the holders of such class or series of shares.

9.4 Change of Name

The Company may by directors' resolution or ordinary resolution authorize an alteration to its Notice of Articles in order to change its name.

9.5 Other Alterations

If the *Business Corporations Act* does not specify the type of resolution and these Articles do not specify another type of resolution, the Company may by ordinary resolution alter these Articles.

**PART 10**

**MEETINGS OF SHAREHOLDERS**

10.1 Annual General Meetings

Unless an annual general meeting is deferred or waived in accordance with the *Business Corporations Act*, the Company must hold an annual general meeting at least once in each calendar year and not more than 15 months after the last annual reference date at such time and place, whether in or outside of British Columbia, as may be determined by the directors.

10.2 Resolution Instead of Annual General Meeting

If all the shareholders who are entitled to vote at an annual general meeting consent by a unanimous resolution to all of the business that is required to be transacted at that annual general meeting, the annual general meeting is deemed to have been held on the date of the unanimous resolution. The shareholders must, in any unanimous resolution passed under this Article 10.2, select as the Company's annual reference date a date that would be appropriate for the holding of the applicable annual general meeting.

10.3 Calling of Meetings of Shareholders

The directors may, at any time, call a meeting of shareholders, to be held at such time and place, whether in or outside of British Columbia, as may be determined by the directors.

10.4 Notice for Meetings of Shareholders

The Company must send notice of the date, time and location of any meeting of shareholders (including, without limitation, any notice specifying the intention to propose a resolution as an exceptional resolution, a special resolution or a special separate resolution, and any notice to consider approving an amalgamation into a foreign jurisdiction, an arrangement or the adoption of an amalgamation agreement, and any notice of a general meeting, class meeting or series meeting), in the manner provided in these Articles, or in such other manner, if any, as may be prescribed by ordinary resolution (whether previous notice of the resolution has been given or not), to each shareholder entitled to attend the meeting, to each director and to the auditor of the Company, unless these Articles otherwise provide, at least the following number of days before the meeting:

(1) if and for so long as the Company is a public company,
21 days;

(2) otherwise, 10 days.

10.5 Failure to Give Notice and Waiver of Notice

The accidental omission to send notice of any meeting of shareholders to, or the non-receipt of any notice by, any of the persons entitled to notice does not invalidate any proceedings at that meeting. Any person entitled to notice of a meeting of shareholders may, in writing or otherwise, waive that entitlement or agree to reduce the period of that notice. Attendance of a person at a meeting of shareholders is a waiver of entitlement to notice of the meeting unless that person attends the meeting for the express purpose of objecting to the transaction of any business on the grounds that the meeting is not lawfully called.

10.6 Notice of Special Business at Meetings of Shareholders

If a meeting of shareholders is to consider special business within the meaning of Article 11.1, the notice of meeting must:

(1) state the general nature of the special business; and

(2) if the special business includes considering, approving, ratifying, adopting or authorizing
 any document or the signing of or giving of effect to any document, have attached to it a copy of the document or state
that a copy of the document will be available for inspection by shareholders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) at the Company's records office, or at such other
reasonably accessible location in British Columbia as is specified in the notice; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) during statutory business hours on any one or more specified
days before the day set for the holding of the meeting.

10.7 Class Meetings and Series Meetings of Shareholders

Unless otherwise specified in these Articles, the provisions of these Articles relating to a meeting of shareholders will apply, with the necessary changes and so far as they are applicable, to a class meeting or series meeting of shareholders holding a particular class or series of shares.

10.8 Notice of Dissent Rights

The Company must send to each of its shareholders, whether or not their shares carry the right to vote, a notice of any meeting of shareholders at which a resolution entitling shareholders to dissent is to be considered specifying the date of the meeting and containing a statement advising of the right to send a notice of dissent together with a copy of the proposed resolution at least the following number of days before the meeting:

(1) if and for so long as the Company is a public company,
21 days;

(2) otherwise, 10 days.

10.9 Advance Notice Provisions

(1) *Nomination of Directors* 

Subject only to the *Business Corporations Act* and these Articles, only persons who are nominated in accordance with the procedures set out in this Article 10.9 shall be eligible for election as directors to the board of directors of the Company. Nominations of persons for election to the board may only be made at an annual meeting of shareholders, or at a special meeting of shareholders called for any purpose at which the election of directors is a matter specified in the notice of meeting, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) by or at the direction of the board or an authorized officer of the Company, including pursuant
to a notice of meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) by or at the direction or request of one or more shareholders pursuant
to a valid proposal made in accordance with the provisions of the *Business Corporations Act* or a valid requisition of shareholders
made in accordance with the provisions of the *Business Corporations Act*; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) by any person entitled to vote at such meeting (a "**Nominating Shareholder** "),
who:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) is, at the close of business on the date of giving notice provided for in this Article 10.9
and on the record date for notice of such meeting, either entered in the securities
register of the Company as a holder of one or more shares carrying the right to vote at such meeting or who beneficially owns shares
that are entitled to be voted at such meeting and provides evidence of such beneficial ownership to the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) has given timely notice in proper written form as set forth in this Article 10.9.

(2) *Exclusive Means* 

For the avoidance of doubt, this Article 10.9 shall be the exclusive means for any person to bring nominations for election to the board before any annual or special meeting of shareholders of the Company.

(3) *Timely Notice* 

In order for a nomination made by a Nominating Shareholder to be timely notice (a "**Timely Notice**"), the Nominating Shareholder's notice must be received by the corporate secretary of the Company at the principal executive offices or registered office of the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) in the case of an annual meeting of shareholders (including an annual and
special meeting), not later than 5:00 p.m. (Vancouver time) on the 30<sup>th</sup> day before the date of the meeting; provided,
however, if the first public announcement made by the Company of the date of the meeting (each such date being the "**Notice Date**") is less than 50 days before the meeting date, notice by the Nominating Shareholder may be given not later than
the close of business on the 10th day following the Notice Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in the case of a special meeting (which is not also an annual meeting)
of shareholders called for any purpose which includes the election of directors to the board, not later than the close of business
on the 15<sup>th</sup> day following the Notice Date;

provided that, in either instance, if notice-and-access (as defined in National Instrument 54-101 - *Communication with Beneficial Owners of Securities of a Reporting Issuer*) is used for delivery of proxy related materials in respect of a meeting described in Article 10.9(3)(A) or 10.9(3)(B), and the Notice Date in respect of the meeting is not less than 50 days before the date of the applicable meeting, the notice must be received not later than the close of business on the 30th day before the date of the applicable meeting.

(4) *Proper Form of Notice* 

To be in proper written form, a Nominating Shareholder's notice to the corporate secretary must comply with all the provisions of this Article 10.9 and disclose or include, as applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) as to each person whom the Nominating Shareholder proposes to nominate for
election as a director (a "**Proposed Nominee** "):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the name, age, business and residential address of the Proposed Nominee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the principal occupation/business or employment of the Proposed Nominee, both presently and
for the past five years;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the number of securities of each class of securities of the Company or any
of its subsidiaries beneficially owned, or controlled or directed, directly or indirectly, by the Proposed Nominee, as of the record
date for the meeting of shareholders (if such date shall then have been made publicly available and shall have occurred) and as
of the date of such notice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) full particulars of any relationships, agreements, arrangements or understandings
(including financial, compensation or indemnity related) between the Proposed Nominee and the Nominating Shareholder, or any affiliates
or associates of, or any person or entity acting jointly or in concert with, the Proposed Nominee or the Nominating Shareholder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any other information that would be required to be disclosed in a dissident
proxy circular or other filings required to be made in connection with the solicitation of proxies for election of directors pursuant
to the *Business Corporations Act* or applicable securities law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) a written consent of each Proposed Nominee to being named as nominee and
certifying that such Proposed Nominee is not disqualified from acting as director under the provisions of subsection 124(2) of
the *Business Corporations Act*; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) as to each Nominating Shareholder giving the notice, and
each beneficial owner, if any, on whose behalf the nomination is made:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) their name, business and residential address;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the number of securities of the Company or any of its subsidiaries beneficially
owned, or controlled or directed, directly or indirectly, by the Nominating Shareholder or any other person with whom the Nominating
Shareholder is acting jointly or in concert with respect to the Company or any of its securities, as of the record date for the
meeting of shareholders (if such date shall then have been made publicly available and shall have occurred) and as of the date
of such notice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) their interests in, or rights or obligations associated with, any agreement,
arrangement or understanding, the purpose or effect of which is to alter, directly or indirectly, the person's economic interest
in a security of the Company or the person's economic exposure to the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any relationships, agreements or arrangements, including financial, compensation
and indemnity related relationships, agreements or arrangements, between the Nominating Shareholder or any affiliates or associates
of, or any person or entity acting jointly or in concert with, the Nominating Shareholder and any Proposed Nominee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) full particulars of any proxy, contract, relationship arrangement, agreement
or understanding pursuant to which such person, or any of its affiliates or associates, or any person acting jointly or in concert
with such person, has any interests, rights or obligations relating to the voting of any securities of the Company or the nomination
of directors to the board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) a representation as to whether or not such person intends to deliver a
proxy circular and/or form of proxy to any shareholder of the Company in connection with such nomination or otherwise solicit proxies
or votes from shareholders of the Company in support of such nomination; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any other information relating to such person that would be required to
be included in a dissident proxy circular or other filings required to be made in connection with solicitations of proxies for
election of directors pursuant to the *Business Corporations Act* or as required by applicable securities law.

Reference to "**Nominating Shareholder**" in this Article 10.9(4) shall be deemed to refer to each shareholder that nominated or seeks to nominate a person for election as director in the case of a nomination proposal where more than one shareholder is involved in making the nomination proposal.

(5) *Currency of Nominee Information* 

All information to be provided in a Timely Notice pursuant to this Article 10.9 shall be provided as of the date of such notice. The Nominating Shareholder shall provide the Company with an update to such information forthwith so that it is true and correct in all material respects as of the date that is 10 business days before the date of the meeting, or any adjournment or postponement thereof.

(6) *Delivery of Information* 

Notwithstanding Part 23 of these Articles, any notice, or other document or information required to be given to the corporate secretary pursuant to this Article 10.9 may only be given by personal delivery or courier (but not by fax or email) to the corporate secretary at the address of the principal executive offices or registered office of the Company and shall be deemed to have been given and made on the date of delivery if it is a business day and the delivery was made prior to 5:00 p.m. in the city where the Company's principal executive offices are located and otherwise on the next business day.

(7) *Defective Nomination Determination* 

The chair of any meeting of shareholders of the Company shall have the power to determine whether any proposed nomination is made in accordance with the provisions of this Article 10.9, and if any proposed nomination is not in compliance with such provisions, must as soon as practicable following receipt of such nomination and prior to the meeting declare that such defective nomination shall not be considered at any meeting of shareholders.

(8) *Waiver* 

The board may, in its sole discretion, waive any requirement in this Article 10.9.

(9) *Definitions* 

For the purposes of this Article 10.9, "**public announcement**" means disclosure in a news release disseminated by the Company through a national news service in Canada, or in a document filed by the Company for public access under its profile on the System of Electronic Document Analysis and Retrieval Plus at <u>www.sedarplus.ca</u>.

10.10 Electronic Meetings

A meeting of shareholders may be held at which some, but not necessarily all, persons entitled to attend may attend by means of telephone, electronic or other communication facilities, if the directors determine to make them available. A person attending a meeting by such means is deemed to be present at the meeting.

**PART 11**

**PROCEEDINGS AT MEETINGS OF SHAREHOLDERS**

11.1 Special Business

At a meeting of shareholders, the following business is special business:

(1) at a meeting of shareholders that is not an annual general
meeting, all business is special business except business relating to the conduct of or voting at the meeting;

(2) at an annual general meeting, all business is special
business except for the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) business relating to the conduct of or voting at the meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) consideration of any financial statements of the Company presented to the
meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) consideration of any reports of the directors or auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the election or appointment of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the appointment of an auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) the setting of the remuneration of an auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) business arising out of a report of the directors not requiring the passing
of a special resolution or an exceptional resolution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any non-binding advisory vote (i) proposed by the Company, (ii) required
by the rules of any stock exchange on which securities of the Company are listed, or (iii) required by applicable Canadian securities
legislation.

11.2 Special Majority

The majority of votes required for the Company to pass a special resolution at a general meeting of shareholders is two-thirds of the votes cast on the resolution.

11.3 Quorum

Subject to the special rights or restrictions attached to the shares of any class or series of shares and to Article 11.4, a quorum for the transaction of business at a meeting of shareholders is present if at least two shareholders who, in the aggregate, hold at least 5% of the issued shares entitled to be voted at the meeting are present in person or represented by proxy, irrespective of the number of persons actually present at the meeting.

11.4 One Shareholder May Constitute Quorum

If there is only one shareholder entitled to vote at a meeting of shareholders:

(1) the quorum is one person who is, or who represents by
proxy, that shareholder, and

(2) that shareholder, present in person or by proxy, may constitute
the meeting.

11.5 Persons Entitled to Attend Meeting

In addition to those persons who are entitled to vote at a meeting of shareholders, the only other persons entitled to be present at the meeting are the directors, the officers, any lawyer for the Company, the auditor of the Company, any persons invited to be present at the meeting by the directors or by the chair of the meeting and any persons entitled or required under the *Business Corporations Act* or these Articles to be present at the meeting; but if any of those persons does attend the meeting, that person is not to be counted in the quorum and is not entitled to vote at the meeting unless that person is a shareholder or proxy holder entitled to vote at the meeting.

11.6 Requirement of Quorum

No business, other than the election of a chair of the meeting and the adjournment of the meeting, may be transacted at any meeting of shareholders unless a quorum of shareholders entitled to vote is present at the commencement of the meeting, but such quorum need not be present throughout the meeting.

11.7 Lack of Quorum

If, within one-half hour from the time set for the holding of a meeting of shareholders, a quorum is not present:

(1) in the case of a meeting requisitioned by shareholders,
the meeting is dissolved, and

(2) in the case of any other meeting of shareholders, the
meeting stands adjourned to the time and place determined by the chair or the board.

11.8 Lack of Quorum at Succeeding Meeting

If, at the meeting to which the meeting referred to in Article 11.7(2) was adjourned, a quorum is not present within one-half hour from the time set for the holding of the meeting, the person or persons present and being, or representing by proxy, one or more shareholders entitled to attend and vote at the meeting constitute a quorum.

11.9 Chair

The following individual is entitled to preside as chair at a meeting of shareholders:

(1) the chair of the board, if any; or

(2) if the chair of the board is absent or unwilling to act
as chair of the meeting, the chief executive officer, if any.

11.10 Selection of Alternate Chair

If, at any meeting of shareholders, there is no chair of the board or chief executive officer present within 15 minutes after the time set for holding the meeting, or if the chair of the board and the chief executive officer are unwilling to act as chair of the meeting, or if the chair of the board and the chief executive officer have advised the corporate secretary, if any, or any director present at the meeting, that they will not be present at the meeting, the directors present must choose one of their number to be chair of the meeting or if all of the directors present decline to take the chair or fail to so choose or if no director is present, the shareholders entitled to vote at the meeting who are present in person or by proxy may choose any person present at the meeting to chair the meeting.

11.11 Adjournments

The chair of a meeting of shareholders may, and if so directed by the meeting must, adjourn the meeting from time to time and from place to place, but no business may be transacted at any adjourned meeting other than the business left unfinished at the meeting from which the adjournment took place.

11.12 Notice of Adjourned Meeting

It is not necessary to give any notice of an adjourned meeting of shareholders or of the business to be transacted at an adjourned meeting of shareholders except that, when a meeting is adjourned for 30 days or more, notice of the adjourned meeting must be given as in the case of the original meeting.

11.13 Decisions by Show of Hands or Poll

Subject to the *Business Corporations Act*, every motion put to a vote at a meeting of shareholders will be decided on a show of hands unless a poll, before or on the declaration of the result of the vote by show of hands, is directed by the chair or demanded by any shareholder entitled to vote who is present in person or by proxy.

11.14 Declaration of Result

The chair of a meeting of shareholders must declare to the meeting the decision on every question in accordance with the result of the show of hands or the poll, as the case may be, and that decision must be entered in the minutes of the meeting. A declaration of the chair that a resolution is carried by the necessary majority or is defeated is, unless a poll is directed by the chair or demanded under Article 11.13, conclusive evidence without proof of the number or proportion of the votes recorded in favour of or against the resolution.

11.15 Motion Need Not be Seconded

No motion proposed at a meeting of shareholders need be seconded unless the chair of the meeting rules otherwise, and the chair of any meeting of shareholders is entitled to propose or second a motion.

11.16 Casting Vote

In the case of an equality of votes, the chair of a meeting of shareholders does not, either on a show of hands or on a poll, have a second or casting vote in addition to the vote or votes to which the chair may be entitled as a shareholder.

11.17 Manner of Taking Poll

Subject to Article 11.18, if a poll is duly demanded at a meeting of shareholders:

(1) the poll must be taken:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) at the meeting, or within seven days after the date of
the meeting, as the chair of the meeting directs; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in the manner, at the time and at the place that the chair
of the meeting directs;

(2) the result of the poll is deemed to be the decision of
the meeting at which the poll is demanded; and

(3) the demand for the poll may be withdrawn by the person
who demanded it.

11.18 Demand for Poll on Adjournment

A poll demanded at a meeting of shareholders on a question of adjournment must be taken immediately at the meeting.

11.19 Chair Must Resolve Dispute

In the case of any dispute as to the admission or rejection of a vote given on a poll, the chair of the meeting must determine the dispute, and his or her determination made in good faith is final and conclusive.

11.20 Casting of Votes

On a poll, a shareholder entitled to more than one vote need not cast all the votes in the same way.

11.21 No Demand for Poll on Election of Chair

No poll may be demanded in respect of the vote by which a chair of a meeting of shareholders is elected.

11.22 Demand for Poll Not to Prevent Continuance of Meeting

The demand for a poll at a meeting of shareholders does not, unless the chair of the meeting so rules, prevent the continuation of the meeting for the transaction of any business other than the question on which a poll has been demanded.

11.23 Retention of Ballots and Proxies

The Company or its agent must, for at least three months after a meeting of shareholders, keep each ballot cast on a poll and each proxy voted at the meeting, and, during that period, make them available for inspection during normal business hours by any shareholder or proxyholder entitled to vote at the meeting. At the end of such three month period, the Company or its agent may destroy such ballots and proxies.

**PART 12**

**VOTES OF SHAREHOLDERS**

12.1 Number of Votes by Shareholder or by Shares

Subject to any special rights or restrictions attached to any shares and to the restrictions imposed on joint shareholders under Article 12.3:

(1) on a vote by show of hands, every person present who is
a shareholder or proxy holder and entitled to vote on the matter has one vote; and

(2) on a poll, every shareholder entitled to vote on the matter
is entitled, in respect of each share entitled to be voted on the matter and held by that shareholder, to one vote and may exercise
that vote either in person or by proxy.

12.2 Votes of Persons in Representative Capacity

A person who is not a shareholder may vote at a meeting of shareholders, whether on a show of hands or on a poll, and may appoint a proxy holder to act at the meeting, if, before doing so, the person satisfies the chair of the meeting, or the directors, that the person is a legal personal representative or a trustee in bankruptcy for a shareholder who is entitled to vote at the meeting.

12.3 Votes by Joint Holders

If there are joint shareholders registered in respect of any share:

(1) any one of the joint shareholders may vote at any meeting
of shareholders, personally or by proxy, in respect of the share as if that joint shareholder were solely entitled to it; or

(2) if more than one of the joint shareholders is present
at any meeting of shareholders, personally or by proxy, and more than one of them votes in respect of that share, then only the
vote of the joint shareholder present whose name stands first on the central securities register in respect of the share will
be counted.

12.4 Legal Personal Representatives as Joint Shareholders

Two or more legal personal representatives of a shareholder in whose sole name any share is registered are, for the purposes of Article 12.3, deemed to be joint shareholders registered in respect of that share.

12.5 Representative of a Corporate Shareholder

If a corporation that is not a subsidiary of the Company is a shareholder, that corporation may appoint a person to act as its representative at any meeting of shareholders of the Company, and:

(1) for that purpose, the instrument appointing a representative
must be received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) at the registered office of the Company or at any other place specified,
in the notice calling the meeting, for the receipt of proxies, at least the number of business days specified in the notice for
the receipt of proxies, or if no number of days is specified, two business days before the day set for the holding of the meeting
or any adjourned or postponed meeting; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) at the meeting or any adjourned or postponed meeting, by the chair of the
meeting or adjourned or postponed meeting or by a person designated by the chair of the meeting or adjourned or postponed meeting;

(2) if a representative is appointed under this Article 12.5:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the representative is entitled to exercise in respect
of and at that meeting the same rights on behalf of the corporation that the representative represents as that corporation could
exercise if it were a shareholder who is an individual, including, without limitation, the right to appoint a proxy holder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the representative, if present at the meeting, is to be counted for the
purpose of forming a quorum and is deemed to be a shareholder present in person at the meeting.

Evidence of the appointment of any such representative may be sent to the Company or its transfer agent by written instrument, fax or any other method of transmitting legibly recorded messages.

12.6 Proxy Holder Need Not Be Shareholder

A person appointed as a proxy holder need not be a shareholder.

12.7 When Proxy Provisions Do Not Apply to the Company

If and for so long as the Company is a public company, Articles 12.8 to 12.14 apply only insofar as they are not inconsistent with any Canadian securities legislation applicable to the Company, or any rules of an exchange on which securities of the Company are listed.

12.8 Appointment of Proxy Holders

Every shareholder of the Company, including a corporation that is a shareholder but not a subsidiary of the Company, entitled to vote at a meeting of shareholders may, by proxy, appoint one or more proxy holders to attend and act at the meeting in the manner, to the extent and with the powers conferred by the proxy.

12.9 Alternate Proxy Holders

A shareholder may appoint one or more alternate proxy holders to act in the place of an absent proxy holder.

12.10 Deposit of Proxy

A proxy for a meeting of shareholders must:

(1) be received at the registered office of the Company or
at any other place specified, in the notice calling the meeting, for the receipt of proxies, at least the number of business days
specified in the notice, or if no number of days is specified, two business days before the day set for the holding of the meeting
or any adjourned meeting;

(2) unless the notice provides otherwise, be received, at
the meeting or any adjourned meeting, by the chair of the meeting or adjourned meeting or by a person designated by the chair
of the meeting or adjourned meeting; or

(3) be received in any other manner determined by the board
or the chair of the meeting.

A proxy may be sent to the Company by written instrument, fax or any other method of transmitting legibly recorded messages or by using such available internet or telephone voting services as may be approved by the directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.11 Validity of Proxy Vote

A vote given in accordance with the terms of a proxy is valid notwithstanding the death or incapacity of the shareholder giving the proxy and despite the revocation of the proxy or the revocation of the authority under which the proxy is given, unless notice in writing of that death, incapacity or revocation is received:

(1) at the registered office of the Company, at any time
up to and including the last business day before the day set for the holding of the meeting or any adjourned meeting at which
the proxy is to be used; or

(2) at the meeting or any adjourned meeting, by the chair
of the meeting or adjourned meeting, before any vote in respect of which the proxy has been given has been taken.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.12 Form of Proxy

A proxy, whether for a specified meeting or otherwise, must be either in the following form or in any other form approved by the directors or the chair of the meeting:

**[RESULTING ISSUER]**

**(the "Company")**

The undersigned, being a shareholder of the Company, hereby appoints **[name]** or, failing that person, **[name]**, as proxy holder for the undersigned to attend, act and vote for and on behalf of the undersigned at the meeting of shareholders of the Company to be held on **[month, day, year]** and at any adjournment of that meeting.

Number of shares in respect of which this proxy is given (if no number is specified, then this proxy is given in respect of all shares registered in the name of the undersigned):

---

| |
|:---|
| Signed [month, day, year] |
| [Signature of shareholder] |
| [Name of shareholder - printed] |

---

12.13 Revocation of Proxy

Subject to Article 12.14, every proxy may be revoked by an instrument in writing that is received:

(1) at the registered office of the Company at any time up
to and including the last business day before the day set for the holding of the meeting or any adjourned meeting at which the
proxy is to be used; or

(2) at the meeting or any adjourned meeting, by the chair
of the meeting or adjourned meeting, before any vote in respect of which the proxy has been given has been taken.

12.14 Revocation of Proxy Must Be Signed

An instrument referred to in Article 12.13 must be signed as follows:

(1) if the shareholder for whom the proxy holder is appointed
is an individual, the instrument must be signed by the shareholder or his or her legal personal representative or trustee in bankruptcy;

(2) if the shareholder for whom the proxy holder is appointed
is a corporation, the instrument must be signed by the corporation or by a representative appointed for the corporation under
Article 12.5.

12.15 Chair May Determine Validity of Proxy.

The chair of any meeting of shareholders may determine whether or not a proxy deposited for use at the meeting, which may not strictly comply with the requirements of this Part 12 as to form, execution, accompanying documentation, time of filing or otherwise, shall be valid for use at the meeting, and any such determination made in good faith shall be final, conclusive and binding upon the meeting.

12.16 Production of Evidence of Authority to Vote

The board or the chair of any meeting of shareholders may, but need not, at any time (including before, at or subsequent to the meeting) inquire into the authority of any person to vote at the meeting and may, but need not, demand from that person production of evidence for the purposes of determining a person's share ownership as at the relevant record date and the authority to vote.

**PART 13**

**DIRECTORS**

13.1 First Directors; Number of Directors

The first directors are the persons designated as directors of the Company in the Notice of Articles that applies to the Company when it is recognized under the Act. The number of directors, excluding additional directors appointed under Article 14.8, is set at:

(1) subject to Article 13.1(2) the number of directors that
is equal to the number of the Company's first directors;
and

(2) the greater of three and the most recently set of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of directors set by a resolution of the directors;
and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the number of directors in the office pursuant to Article
14.4. 13.2 Change in Number of Directors

If the number of directors is set under Article 13.1(2)(a):

(1) the shareholders may elect or appoint the directors needed
to fill any vacancies in the board of directors up to that number; or

(2) if the shareholders do not elect or appoint the directors
needed to fill any vacancies in the board of directors up to that number then the directors, subject to Article 14.8, may appoint
directors to fill those vacancies.

No decrease in the number of directors will shorten the term of an incumbent director.

13.3 Directors' Acts Valid Despite Vacancy

An act or proceeding of the directors is not invalid merely because fewer than the number of directors set or otherwise required under these Articles is in office.

13.4 Qualifications of Directors

A director is not required to hold a share of the Company as qualification for his or her office but must be qualified as required by the *Business Corporations Act* to become, act or continue to act as a director. For the avoidance of doubt, a person deemed by the directors, in their sole and absolute discretion, to be an "Unsuitable Person" (as defined in Article 31.1) is not qualified to be a director.

13.5 Remuneration of Directors

The directors are entitled to the remuneration for acting as directors, if any, as the directors may from time to time determine.

13.6 Reimbursement of Expenses of Directors

The Company may reimburse each director for the reasonable expenses that he or she may incur in and about the business of the Company.

13.7 Special Remuneration for Directors

If any director performs any professional or other services for the Company that in the opinion of the directors are outside the ordinary duties of, or not in his or her capacity as, a director, or if any director is otherwise specially occupied in or about the Company's business, he or she may be paid remuneration fixed by the directors, and such remuneration may be either in addition to, or in substitution for, any other remuneration that he or she may be entitled to receive.

13.8 Gratuity, Pension or Allowance on Retirement of Director

Unless otherwise determined by ordinary resolution, the directors on behalf of the Company may pay a gratuity or pension or allowance on retirement to any director who has held any salaried office or place of profit with the Company or to his or her spouse or dependants and may make contributions to any fund and pay premiums for the purchase or provision of any such gratuity, pension or allowance.

**PART 14**

**ELECTION AND REMOVAL OF DIRECTORS**

14.1 Election at Annual General Meeting

At every annual general meeting and in every unanimous resolution contemplated by Article 10.2:

(1) the shareholders entitled to vote at the annual general
meeting for the election of directors must elect, or in the unanimous resolution appoint, a board of directors consisting of the
number of directors for the time being set by the directors under these Articles; and

(2) all the directors cease to hold office immediately before
the election or appointment of directors under paragraph (1), but are eligible for re-election or re-appointment, subject to being
nominated in accordance with Article 10.9.

14.2 Consent to be a Director

No election, appointment or designation of an individual as a director is valid unless:

(1) that individual consents to be a director in the manner
provided for in the *Business Corporations Act*; or

(2) that individual is elected or appointed at a meeting at
which the individual is present and the individual does not refuse, at the meeting, to be a director.

14.3 Failure to Elect or Appoint Directors

If:

(1) the Company fails to hold an annual general meeting, and
all the shareholders who are entitled to vote at an annual general meeting fail to pass the unanimous resolution contemplated
by Article 10.2, on or before the date by which the annual general meeting is required to be held under the *Business Corporations Act*; or

(2) the shareholders fail, at the annual general meeting or
in the unanimous resolution contemplated by Article 10.2, to elect or appoint any directors;

then each director then in office continues to hold office until the earlier of:

(3) when his or her successor is elected or appointed; and

(4) when he or she otherwise ceases to hold office under the *Business Corporations Act* or these Articles.

14.4 Places of Retiring Directors Not Filled

If, at any meeting of shareholders at which there should be an election of directors, the places of any of the retiring directors are not filled by that election, those retiring directors who are not re-elected and who are asked by the newly elected directors to continue in office will, if willing to do so, continue in office to complete the number of directors for the time being set pursuant to these Articles but their term of office shall expire when new directors are elected at a meeting of shareholders convened for that purpose. If any such election or continuance of directors does not result in the election or continuance of the number of directors for the time being set pursuant to these Articles, the number of directors of the Company is deemed to be set at the number of directors actually elected or continued in office.

14.5 Directors May Fill Casual Vacancies

Any casual vacancy occurring in the board of directors may be filled by the directors.

14.6 Remaining Directors' Power to Act

The directors may act notwithstanding any vacancy in the board of directors, but if the Company has fewer directors in office than the number set pursuant to these Articles as the quorum of directors, the directors may only act for the purpose of appointing directors up to that number or of calling a meeting of shareholders for the purpose of filling any vacancies on the board of directors or, subject to the *Business Corporations Act*, for any other purpose.

14.7 Shareholders May Fill Vacancies

If the Company has no directors or fewer directors in office than the number set pursuant to these Articles as the quorum of directors, the shareholders may elect or appoint directors to fill any vacancies on the board of directors.

14.8 Additional Directors

Notwithstanding Article 13.2, prior to the first annual general meeting, or between annual general meetings or unanimous resolutions contemplated by Article 10.2, the directors may appoint one or more additional directors, but the number of additional directors appointed under this Article 14.8 must not at any time exceed one-third of the number, as applicable, of (a) the first directors who have not yet completed their first term of office, or (b) the current directors who were elected or appointed as directors other than under this Article 14.8.

Any director so appointed ceases to hold office immediately before the next election or appointment of directors under Article 14.1(1), but is eligible for re-election or re-appointment, subject to being nominated in accordance with Article 10.9.

14.9 Ceasing to be a Director

A director ceases to be a director when:

(1) the term of office of the director expires;

(2) the director dies;

(3) the director resigns as a director by notice in writing
provided to the Company or a lawyer for the Company; or

(4) the director is removed from office pursuant to Articles
14.10 or 14.11.

14.10 Removal of Director by Shareholders

The Company may remove any director before the expiration of his or her term of office by ordinary resolution. In that event, the shareholders may elect, or appoint by ordinary resolution, a director to fill the resulting vacancy. If the shareholders do not elect or appoint a director to fill the resulting vacancy contemporaneously with the removal, then the directors may appoint or the shareholders may elect, or appoint by ordinary resolution, a director to fill that vacancy.

14.11 Removal of Director by Directors

The directors may remove any director before the expiration of his or her term of office if the director is convicted of an indictable offence, if the director ceases to be qualified to act as a director of a company in accordance with the *Business Corporations Act* and does not promptly resign, or such director is deemed to be an "Unsuitable Person" (as such term is defined in Article 31.1), as determined by the removing directors in their sole discretion, and the directors may appoint a director to fill the resulting vacancy.

14.12 Nomination of Directors

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Subject only to the BCBCA, only persons who are nominated
in accordance with the following procedures shall be eligible for election as directors of the Company. Nominations of persons
for election to the board may be made at any annual meeting of shareholders, or at any special meeting of shareholders (but only
if the election of directors is a matter specified in the notice of meeting given by or at the direction of the person calling
such special meeting):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) by or at the direction of the board or an authorized officer of the Company, including pursuant to a notice of meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) by or at the direction or request of one or more shareholders pursuant to a proposal made in accordance with the provisions of the Act or a requisition of the shareholders made in accordance with the provisions of the Act; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) by any person (a "**Nominating Shareholder**") (A) who, at the close of business on the date of the giving of the notice provided for below in this §14.12 and on the record date for notice of such meeting, is entered in the securities register as a holder of one or more shares carrying the right to vote at such meeting or who beneficially owns shares that are entitled to be voted at such meeting and (B) who complies with the notice procedures set forth below in this §14.12.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) In addition to any other applicable requirements, for a nomination to be
made by a Nominating Shareholder, such person must be give

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) timely notice thereof in proper written form to the Corporate Secretary
of the Company at the principal executive offices of the Company in accordance with this §14.12; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the representation and agreement with respect to each
candidate for nomination as required by, and within the time period specified in §14.12(d).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) To be timely under §14.12(b)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a Nominating Shareholder's notice to the Corporate Secretary of the Company must be made: (i) in the case of an annual meeting of shareholders, not less than 30 nor more than 65 days prior to the date of the annual meeting of shareholders; provided, however, that in the event that the annual meeting of shareholders is called for a date that is less than 40 days after the date (the "**Notice Date**") on which the first public announcement of the date of the annual meeting was made, notice by the Nominating Shareholder may be made not later than the tenth (10th) day following the Notice Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of a special meeting (which is not also an annual meeting) of shareholders called for the purpose of electing directors (whether or not called for other purposes), not later than the fifteenth (15th) day following the day on which the first public announcement of the date of the special meeting of shareholders was made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Notwithstanding the foregoing, the board may, in its sole discretion, waive any requirement in this §14.12(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To be in proper written form, a Nominating Shareholder's
notice to the Corporate Secretary of the Company, under §14.12(b)(i) must set forth:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) as to each person whom the Nominating Shareholder proposes to nominate for election as a director (A) the name, age, business address and residence address of the person, (B) the principal occupation or employment of the person, (C) the class or series and number of shares in the capital of the Company which are controlled or which are owned beneficially or of record by the person as of the record date for the Meeting of Shareholders (if such date shall then have been made publicly available and shall have occurred) and as of the date of such notice, (D) a statement as to whether such person would be "independent" of the Company (within the meaning of sections 1.4 and 1.5 of National Instrument 52-110 – *Audit Committees* of the Canadian Securities Administrators, as such provisions may be amended from time to time) if elected as a director at such meeting and the reasons and basis for such determination and (E) any other information relating to the person that would be required to be disclosed in a dissident's proxy circular in connection with solicitations of proxies for election of directors pursuant to the Act and Applicable Securities Laws; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) as to the Nominating Shareholder giving the notice, (A) any information relating to such Nominating Shareholder that would be required to be made in a dissident's proxy circular in connection with solicitations of proxies for election of directors pursuant to the Act and Applicable Securities Laws, and (B) the class or series and number of shares in the capital of the Company which are controlled or which are owned beneficially or of record by the Nominating Shareholder as of the record date for the Meeting of Shareholders (if such date shall then have been made publicly available and shall have occurred) and as of the date of such notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) To be eligible to be a candidate for election as a director of the Company
and to be duly nominated, a candidate must be nominated in the manner prescribed in this §14.12 and the candidate for nomination,
whether nominated by the board or otherwise, must have previously delivered to the Corporate Secretary of the Company at the principal
executive offices of the Company, not less than 5 days prior to the date of the Meeting of Shareholders, a written representation
and agreement (in form provided by the Company) that such candidate for nomination, if elected as a director of the Company, will
comply with all applicable corporate governance, conflict of interest, confidentiality, share ownership, majority voting and insider
trading policies and other policies and guidelines of the Company applicable to directors and in effect during such person's
term in office as a director (and, if requested by any candidate for nomination, the Corporate Secretary of the Company shall provide
to such candidate for nomination all such policies and guidelines then in effect).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) No person shall be eligible for election as a director of the Company unless
nominated in accordance with the provisions of this §14.12; provided, however, that nothing in this §14.12 shall be deemed
to preclude discussion by a shareholder (as distinct from nominating directors) at a meeting of shareholders of any matter in respect of which it would have been entitled to submit a proposal pursuant to the provisions of the Act.
The chair of the meeting shall have the power and duty to determine whether a nomination was made in accordance with the procedures
set forth in the foregoing provisions and, if any proposed nomination is not in compliance with such foregoing provisions, to declare
that such defective nomination shall be disregarded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) For purposes of this §14.12:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "**Affiliate**", when used to indicate a relationship with a person, shall mean a person that directly, or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, such specified person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "**Applicable Securities Laws**" means the *Securities Act* (British Columbia) and the equivalent legislation in the other provinces and in the territories of Canada, as amended from time to time, the rules, regulations and forms made or promulgated under any such statute and the published national instruments, multilateral instruments, policies, bulletins and notices of the securities commissions and similar regulatory authorities of each of the applicable provinces and territories of Canada;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "**Associate**", when used to indicate a relationship with a specified person, shall mean (A) any corporation or trust of which such person owns beneficially, directly or indirectly, voting securities carrying more than 10% of the voting rights attached to all voting securities of such corporation or trust for the time being outstanding, (B) any partner of that person, (C) any trust or estate in which such person has a substantial beneficial interest or as to which such person serves as trustee or in a similar capacity, (D) a spouse of such specified person, (E) any person of either sex with whom such specified person is living in conjugal relationship outside marriage or (F) any relative of such specified person or of a person mentioned in clauses (D) or (E) of this definition if that relative has the same residence as the specified person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "**Derivatives Contract**" shall mean a contract between two parties (the "Receiving Party" and the "Counterparty") that is designed to expose the Receiving Party to economic benefits and risks that correspond substantially to the ownership by the Receiving Party of a number of shares in the capital of the Company or securities convertible into such shares specified or referenced in such contract (the number corresponding to such economic benefits and risks, the "Notional Securities"), regardless of whether obligations under such contract are required or permitted to be settled through the delivery of cash, shares in the capital of the Company or securities convertible into such shares or other property, without regard to any short position under the same or any other Derivatives Contract. For the avoidance of doubt, interests in broad-based index options, broad-based index futures and broad-based publicly traded market baskets of stocks approved for trading by the appropriate governmental authority shall not be deemed to be Derivatives Contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "**Meeting of Shareholders**" shall mean such annual shareholders meeting or special shareholders meeting, whether general or not, at which one or more persons are nominated for election to the board by a Nominating Shareholder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "**owned beneficially**" or "**owns beneficially**" means, in connection with the ownership of shares in the capital of the Company by a person, (A) any such shares as to which such person or any of such person's Affiliates or Associates owns at law or in equity, or has the right to acquire or become the owner at law or in equity, where such right is exercisable immediately or after the passage of time and whether or not on condition or the happening of any contingency or the making of any payment, upon the exercise of any conversion right, exchange right or purchase right attaching to any securities, or pursuant to any agreement, arrangement, pledge or understanding whether or not in writing; (B) any such shares as to which such person or any of such person's Affiliates or Associates has the right to vote, or the right to direct the voting, where such right is exercisable immediately or after the passage of time and whether or not on condition or the happening of any contingency or the making of any payment, pursuant to any agreement, arrangement, pledge or understanding whether or not in writing; (C) any such shares which are beneficially owned, directly or indirectly, by a Counterparty (or any of such Counterparty's Affiliates or Associates) under any Derivatives Contract (without regard to any short or similar position under the same or any other Derivatives Contract) to which such person or any of such person's Affiliates or Associates is a Receiving Party; provided, however that the number of shares that a person owns beneficially pursuant to this clause (C) in connection with a particular Derivatives Contract shall not exceed the number of Notional Securities with respect to such Derivatives Contract; provided, further, that the number of securities owned beneficially by each Counterparty (including their respective Affiliates and Associates) under a Derivatives Contract shall for purposes of this clause be deemed to include all securities that are owned beneficially, directly or indirectly, by any other Counterparty (or any of such other Counterparty's Affiliates or Associates) under any Derivatives Contract to which such first Counterparty (or any of such first Counterparty's Affiliates or Associates) is a Receiving Party and this proviso shall be applied to successive Counterparties as appropriate; and (D) any such shares which are owned beneficially within the meaning of this definition by any other person with whom such person is acting jointly or in concert with respect to the Company or any of its securities; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "**public announcement**" shall mean disclosure in a press release reported by a national news service in Canada, or in a document publicly filed by the Company or its agents under its profile on the System of Electronic Document Analysis and Retrieval at www.sedar.com.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Notwithstanding any other provision to this §14.12, notice or any
delivery given to the Corporate Secretary of the Company pursuant to this §14.12 may only be given by personal delivery, facsimile
transmission or by email (provided that the Corporate Secretary of the Company has stipulated an email address for purposes of
this notice, at such email address as stipulated from time to time), and shall be deemed to have been given
and made only at the time it is served by personal delivery, email (at the address as aforesaid) or sent by facsimile transmission
(provided that receipt of confirmation of such transmission has been received) to the Corporate Secretary at the address of the
principal executive offices of the Company; provided that if such delivery or electronic communication is made on a day which is
a not a business day or later than 5:00 p.m. (Vancouver time) on a day which is a business day, then such delivery or electronic
communication shall be deemed to have been made on the subsequent day that is a business day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) In no event shall any adjournment or postponement of a Meeting of Shareholders
or the announcement thereof commence a new time period for the giving of a Nominating Shareholder's notice as described in
§14.12(c) or the delivery of a representation and agreement as described in §14.12(e).

**PART 15**

**POWERS AND DUTIES OF DIRECTORS**

15.1 Powers of Management

The directors must, subject to the *Business Corporations Act* and these Articles, manage or supervise the management of the business and affairs of the Company and have the authority to exercise all such powers of the Company as are not, by the *Business Corporations Act* or by these Articles, required to be exercised by the shareholders of the Company.

15.2 Appointment of Attorney of Company

The directors may from time to time, by power of attorney or other instrument, under seal if so required by law, appoint any person to be the attorney of the Company for such purposes, and with such powers, authorities and discretions (not exceeding those vested in or exercisable by the directors under these Articles and excepting the power to fill vacancies in the board of directors, to remove a director, to change the membership of, or fill vacancies in, any committee of the directors, to appoint or remove officers appointed by the directors and to declare dividends) and for such period, and with such remuneration and subject to such conditions as the directors may think fit. Any such power of attorney may contain such provisions for the protection or convenience of persons dealing with such attorney as the directors think fit. Any such attorney may be authorized by the directors to sub-delegate all or any of the powers, authorities and discretions for the time being vested in him or her.

**PART 16**

**INTERESTS OF DIRECTORS AND OFFICERS**

16.1 Obligation to Account for Profits

A director or senior officer who holds a disclosable interest (as that term is used in the *Business Corporations Act*) in a contract or transaction into which the Company has entered or proposes to enter is liable to account to the Company for any profit that accrues to the director or senior officer under or as a result of the contract or transaction only if and to the extent provided in the *Business Corporations Act*.

16.2 Restrictions on Voting by Reason of Interest

A director who holds a disclosable interest in a contract or transaction into which the Company has entered or proposes to enter is not entitled to vote on any directors' resolution to approve that contract or transaction, unless all the directors have a disclosable interest in that contract or transaction, in which case any or all of those directors may vote on such resolution.

16.3 Interested Director Counted in Quorum

A director who holds a disclosable interest in a contract or transaction into which the Company has entered or proposes to enter and who is present at the meeting of directors at which the contract or transaction is considered for approval may be counted in the quorum at the meeting whether or not the director votes on any or all of the resolutions considered at the meeting.

16.4 Disclosure of Conflict of Interest or Property

A director or senior officer who holds any office or possesses any property, right or interest that could result, directly or indirectly, in the creation of a duty or interest that materially conflicts with that individual's duty or interest as a director or senior officer, must disclose the nature and extent of the conflict as required by the *Business Corporations Act*.

16.5 Director Holding Other Office in the Company

A director may hold any office or place of profit with the Company, other than the office of auditor of the Company, in addition to his or her office of director for the period and on the terms (as to remuneration or otherwise) that the directors may determine.

16.6 No Disqualification

No director or intended director is disqualified by his or her office from contracting with the Company either with regard to the holding of any office or place of profit the director holds with the Company or as vendor, purchaser or otherwise, and no contract or transaction entered into by or on behalf of the Company in which a director is in any way interested is liable to be voided for that reason.

16.7 Professional Services by Director or Officer

Subject to the *Business Corporations Act*, a director or officer, or any person in which a director or officer has an interest, may act in a professional capacity for the Company, except as auditor of the Company, and the director or officer or such person is entitled to remuneration for professional services as if that director or officer were not a director or officer.

16.8 Director or Officer in Other Corporations

A director or officer may be or become a director, officer or employee of, or otherwise interested in, any person in which the Company may be interested as a shareholder or otherwise, and, subject to the *Business Corporations Act*, the director or officer is not accountable to the Company for any remuneration or other benefits received by him or her as director, officer or employee of, or from his or her interest in, such other person.

**PART 17<br> PROCEEDINGS OF DIRECTORS**

17.1 Meetings of Directors

The directors may meet together for the conduct of business, adjourn and otherwise regulate their meetings as they think fit, and meetings of the directors held at regular intervals may be held at the place, at the time and on the notice, if any, as the directors may from time to time determine.

17.2 Voting at Meetings

Questions arising at any meeting of directors are to be decided by a majority of votes and, in the case of an equality of votes, the chair of the meeting does not have a second or casting vote.

17.3 Chair of Meetings

The following individual is entitled to preside as chair at a meeting of directors:

(1) the chair of the board, if any; or

(2) in the absence of the chair of the board, the chief executive
officer, if any, if the chief executive officer is a director; or

(3) any other director chosen by the directors if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) neither the chair of the board nor the chief executive officer, if a director,
is present at the meeting within 15 minutes after the time set for holding the meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) neither the chair of the board nor the chief executive officer, if a director,
is willing to chair the meeting; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the chair of the board and the chief executive officer,
if a director, has advised the corporate secretary, if any, or any other director, that he or she will not be present at the meeting.

17.4 Meetings by Telephone or Other Communications Medium

A director may participate in a meeting of the directors or of any committee of the directors:

(1) in person;

(2) by telephone; or

(3) other communications medium;

if all directors participating in the meeting, whether in person, or by telephone or other communications medium, are able to communicate with each other. A director who participates in a meeting in a manner contemplated by this Article 17.4 is deemed for all purposes of the *Business Corporations Act* and these Articles to be present at the meeting and to have agreed to participate in that manner.

17.5 Calling of Meetings

A director may, and the corporate secretary or an assistant corporate secretary of the Company, if any, on the request of a director must, call a meeting of the directors at any time.

17.6 Notice of Meetings

Other than for meetings held at regular intervals as determined by the directors pursuant to Article 17.1 or as provided in Article 17.7, reasonable notice of each meeting of the directors, specifying the place, day and time of that meeting must be given to each of the directors by any method set out in Article 23.1 or orally or by telephone conversation with a director.

17.7 When Notice Not Required

It is not necessary to give notice of a meeting of the directors to a director if:

(1) the meeting is to be held immediately following a meeting
of shareholders at which that director was elected or appointed, or is the meeting of the directors at which that director is
appointed; or

(2) the director has waived notice of the meeting.

17.8 Meeting Valid Despite Failure to Give Notice

The accidental omission to give notice of any meeting of directors to, or the non-receipt of any notice by, any director, does not invalidate any proceedings at that meeting.

17.9 Waiver of Notice of Meetings

Any director may send to the Company a document signed by him or her waiving notice of any past, present or future meeting or meetings of the directors and may at any time withdraw that waiver with respect to meetings held after that withdrawal. After sending a waiver with respect to all future meetings and until that waiver is withdrawn, no notice of any meeting of the directors need be given to that director, and all meetings of the directors so held are deemed not to be improperly called or constituted by reason of notice not having been given to such director.

Attendance of a director or alternate director at a meeting of the directors is a waiver of notice of the meeting, unless that director or alternate director attends the meeting for the express purpose of objecting to the transaction of any business on the grounds that the meeting is not lawfully called.

17.10 Quorum

The quorum necessary for the transaction of the business of the directors is a majority of the number of directors in office or such greater percentage of the number of directors the directors may determine from time to time.

17.11 Validity of Acts Where Appointment Defective

Subject to the *Business Corporations Act*, an act of a director or officer is not invalid merely because of an irregularity in the election or appointment or a defect in the qualification of that director or officer.

17.12 Consent Resolutions in Writing

A resolution of the directors or of any committee of the directors may be passed without a meeting:

(1) in all cases, if each of the directors entitled to vote
on the resolution consents to it in writing; or

(2) in the case of a resolution to approve a contract or transaction
in respect of which a director has disclosed that he or she has or may have a disclosable interest, if each of the other directors
who have not made such a disclosure consents in writing to the resolution.

A consent in writing under this Article 17.12 may be by any written instrument, e-mail or any other method of transmitting legibly recorded messages in which the consent of the director is evidenced, whether or not the signature of the director is included in the record. A consent in writing may be in two or more counterparts which together are deemed to constitute one consent in writing. A resolution of the directors or of any committee of the directors passed in accordance with this Article 17.12 is effective on the date stated in the consent in writing or on the latest date stated on any counterpart and is deemed to be a proceeding at a meeting of the directors or of the committee of the directors and to be as valid and effective as if it had been passed at a meeting of the directors or of the committee of the directors that satisfies all the requirements of the *Business Corporations Act* and all the requirements of these Articles relating to meetings of the directors or of a committee of the directors.

**PART 18**

**BOARD COMMITTEES**

18.1 Appointment and Powers of Committees

The directors may, by resolution:

(1) appoint one or more committees consisting of the director
or directors that they consider appropriate;

(2) delegate to a committee appointed under paragraph (1)
any of the directors' powers, except:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the power to fill vacancies in the board of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the power to remove a director or appoint additional directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the power to set the number of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the power to create a committee of directors, create or modify the terms
of reference for a committee of the directors, or change the membership of, or fill vacancies in, any committee of the directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the power to appoint or remove officers appointed by the directors; and

(3) make any delegation permitted by paragraph (2) subject
to the conditions set out in the resolution or any subsequent directors' resolution.

18.2 Obligations of Committees

Any committee appointed under Article 18.1, in the exercise of the powers delegated to it, must:

(1) conform to any rules that may from time to time be imposed
on it by the directors; and

(2) report every act or thing done in exercise of those powers
at such times as the directors may require.

18.3 Powers of Board

The directors may, at any time, with respect to a committee appointed under Article 18.1:

(1) revoke or alter the authority given to the committee,
or override a decision made by the committee, except as to acts done before such revocation, alteration or overriding;

(2) terminate the appointment of, or change the membership
of, the committee; and

(3) fill vacancies in the committee.

18.4 Committee Meetings

Subject to Article 18.2(1) and unless the directors otherwise provide in the resolution appointing the committee or in any subsequent resolution, with respect to a committee appointed under Article 18.1:

(1) the committee may meet and adjourn as it thinks proper;

(2) the committee may elect a chair of its meetings but, if
no chair of a meeting is elected, or if at a meeting the chair of the meeting is not present within 15 minutes after the time
set for holding the meeting, the directors present who are members of the committee may choose one of their number to chair the
meeting;

(3) a majority of the members of the committee constitutes
a quorum of the committee; and

(4) questions arising at any meeting of the committee are
determined by a majority of votes of the members present, and in the case of an equality of votes, the chair of the meeting does
not have a second or casting vote.

**PART 19**

**OFFICERS**

19.1 Directors May Appoint Officers

The directors may, from time to time, appoint such officers, if any, as the directors determine and the directors may, at any time, terminate any such appointment.

19.2 Functions, Duties and Powers of Officers

The directors may, for each officer:

(1) determine the functions and duties of the officer;

(2) delegate to the officer any of the powers exercisable
by the directors on such terms and conditions and with such restrictions as the directors think fit; and

(3) revoke, withdraw, alter or vary all or any of the functions,
duties and powers of the officer.

19.3 Qualifications

No officer may be appointed unless that officer is qualified in accordance with the *Business Corporations Act*. One person may hold more than one position as an officer of the Company. Any person appointed as the chair of the board or as a managing director must be a director. Any other officer need not be a director.

19.4 Remuneration and Terms of Appointment

All appointments of officers are to be made on the terms and conditions and at the remuneration (whether by way of salary, fee, commission, participation in profits or otherwise) that the directors think fit and are subject to termination at the pleasure of the directors, and an officer may in addition to such remuneration be entitled to receive, after he or she ceases to hold such office or leaves the employment of the Company, a pension or gratuity.

**PART 20**

**INDEMNIFICATION**

**20.1** **Definitions** 

In this Part 20:

(1) "**eligible penalty**" means a judgment,
penalty or fine awarded or imposed in, or an amount paid in settlement of, an eligible proceeding;

(2) "**eligible proceeding**" means a legal
proceeding or investigative action, whether current, threatened, pending or completed, in which a director or former director
or an officer or former officer of the Company (each, an "eligible party") or any of the heirs and legal personal
representatives of the eligible party, by reason of the eligible party being or having been a director or officer of the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) is or may be joined as a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) is or may be liable for or in respect of a judgment, penalty or fine in, or expenses related
to, the proceeding;

(3) "**expenses**" has the meaning set out
in the *Business Corporations Act*;

(4) "**officer**" means an officer appointed
by the board of directors.

20.2 Mandatory Indemnification of Directors and Officers

Subject to the *Business Corporations Act*, the Company must indemnify an eligible party and his or her heirs and legal personal representatives against all eligible penalties to which such person is or may be liable, and the Company must, after the final disposition of an eligible proceeding, pay the expenses actually and reasonably incurred by such person in respect of that proceeding to the fullest extent permitted by the *Business Corporations Act*.

20.3 Deemed Contract

Each director and officer is deemed to have contracted with the Company on the terms of the indemnity contained in Article 20.2.

20.4 Permitted Indemnification

Subject to any restrictions in the *Business Corporations Act*, the Company may indemnify any person, including directors, officers, employees, agents and representatives of the Company.

20.5 Non-Compliance with Business Corporations Act

The failure of a director or officer of the Company to comply with the *Business Corporations Act* or these Articles does not invalidate any indemnity to which he or she is entitled under this Part 20.

20.6 Company May Purchase Insurance

The Company may purchase and maintain insurance for the benefit of any person (or his or her heirs or legal personal representatives) who:

(1) is or was a director, officer, employee or agent of the
Company;

(2) is or was a director, officer, employee or agent of a
corporation at a time when the corporation is or was an affiliate of the Company;

(3) at the request of the Company, is or was a director, officer,
employee or agent of a corporation or of a partnership, trust, joint venture or other unincorporated entity;

(4) at the request of the Company, holds or held a position
equivalent to that of a director or officer of a partnership, trust, joint venture or other unincorporated entity;

against any liability incurred by him or her as such director, officer, employee or agent or person who holds or held such equivalent position.

**PART 21**

**DIVIDENDS**

21.1 Payment of Dividends Subject to Special Rights

The provisions of this Part 21 are subject to the rights, if any, of shareholders holding shares with special rights as to dividends.

21.2 Declaration of Dividends

Subject to the *Business Corporations Act*, the directors may from time to time declare and authorize payment of such dividends as they may consider appropriate.

21.3 No Notice Required

The directors need not give notice to any shareholder of any declaration under Article 21.2.

21.4 Record Date

The directors may set a date as the record date for the purpose of determining shareholders entitled to receive payment of a dividend. The record date must not precede the date on which the dividend is to be paid by more than two months. If no record date is set, the record date is 5 p.m. on the date on which the directors pass the resolution declaring the dividend.

21.5 Manner of Paying Dividend

A resolution declaring a dividend may direct payment of the dividend wholly or partly in money or by the distribution of specific assets or of fully paid shares or of bonds, debentures or other securities of the Company or any other corporation, or in any one or more of those ways.

21.6 Settlement of Difficulties

If any difficulty arises in regard to a distribution under Article 21.5, the directors may settle the difficulty as they deemed advisable, and, in particular, may:

(1) set the value for distribution of specific assets;

(2) determine that money in substitution for all or any part
of the specific assets to which any shareholders are entitled may be paid to any shareholders on the basis of the value so fixe
din order to adjust the rights of all parties; and

(3) vest any such specific assets in trustees for the persons
entitled to the dividend.

21.7 When Dividend Payable

Any dividend may be made payable on such date as is fixed by the directors.

21.8 Dividends to be Paid in Accordance with Number of Shares

All dividends on shares of any class or series of shares must be declared and paid according to the number of such shares held.

21.9 Receipt by Joint Shareholders

If several persons are joint shareholders of any share, any one of them may give an effective receipt for any dividend, bonus or other money payable in respect of the share.

21.10 Dividend Bears No Interest

No dividend bears interest against the Company.

21.11 Fractional Dividends

If a dividend to which a shareholder is entitled includes a fraction of the smallest monetary unit of the currency of the dividend, that fraction may be disregarded in making payment of the dividend and that payment represents full payment of the dividend.

21.12 Payment of Dividends

Any dividend or other distribution payable in money in respect of shares may be paid:

(1) by cheque, made payable to the order of the person to
whom it is sent, and mailed to the registered address of the shareholder, or in the case of joint shareholders, to the registered
address of the joint shareholder who is first named on the central securities register, or to the person and to the address the
shareholder or joint shareholders may direct in writing; or

(2) by electronic transfer, if so authorized by the shareholder.

The mailing of such cheque or the forwarding by electronic transfer will, to the extent of the sum represented by the cheque or transfer (plus the amount of the tax required by law to be deducted), discharge all liability for the dividend unless such cheque is not paid on presentation or the amount of tax so deducted is not paid to the appropriate taxing authority.

21.13 Capitalization of Retained Earnings or Surplus

Notwithstanding anything contained in these Articles, the directors may from time to time capitalize any retained earnings or surplus of the Company and may from time to time issue, as fully paid, shares or any bonds, debentures or other securities of the Company as a dividend representing the retained earnings or surplus so capitalized or any part thereof.

21.14 Unclaimed Dividends

Any dividend unclaimed after a period of three years from the date on which the same has been declared to be payable shall be forfeited and shall revert to the Company. The Company shall not be liable to any person in respect of any dividend which is forfeited to the Company or delivered to any public official pursuant to any applicable abandoned property, escheat or similar law.

**PART 22**

**ACCOUNTING RECORDS AND AUDITOR**

22.1 Recording of Financial Affairs

The directors must cause adequate accounting records to be kept to record properly the financial affairs and condition of the Company and to comply with the *Business Corporations Act*.

22.2 Inspection of Accounting Records

Unless the directors determine otherwise, or unless otherwise determined by ordinary resolution, no shareholder of the Company is entitled to inspect or obtain a copy of any accounting records of the Company.

22.3 Remuneration of Auditor

The directors may set the remuneration of the auditor of the Company.

**PART 23**

**NOTICES**

23.1 Method of Giving Notice

Unless the *Business Corporations Act* or these Articles provide otherwise, a notice, statement, report or other record required or permitted by the *Business Corporations Act* or these Articles to be sent by or to a person may be sent by any one of the following methods:

(1) mail addressed to the person at the applicable address
for that person as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) for a record mailed to a shareholder, the shareholder's registered address;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) for a record mailed to a director or officer, the prescribed address for
mailing shown for the director or officer in the records kept by the Company or the mailing address provided by the recipient for
the sending of that record or records of that class;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) in any other case, the mailing address of the intended recipient;

(2) delivery at the applicable address for that person as
follows, addressed to the person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) for a record delivered to a shareholder, the shareholder's registered address;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) for a record delivered to a director or officer, the prescribed address
for delivery shown for the director or officer in the records kept by the Company or the delivery address provided by the recipient
for the sending of that record or records of that class;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) in any other case, the delivery address of the intended recipient;

(3) unless the intended recipient is the Company or the auditor
of the Company, sending the record by fax to the fax number provided by the intended recipient for the sending of that record
or records of that class;

(4) unless the intended recipient is the auditor of the
Company, sending the record by e-mail to the e-mail address provided by the intended recipient for the sending of that record
or records of that class;

(5) physical delivery to the intended recipient;

(6) creating and providing a record posted on or made available
through a general accessible electronic source and providing written notice by any of the foregoing methods as to the availability
of such record; or

(7) as otherwise permitted by applicable securities legislation.

23.2 Deemed Receipt

A notice, statement, report or other record that is:

(1) mailed to a person by ordinary mail to the applicable
address for that person referred to in Article 23.1 is deemed to be received by the person to whom it was mailed on the day, Saturdays,
Sundays and holidays excepted, following the date of mailing;

(2) faxed to a person to the fax number provided by that person
referred to in Article 23.1 is deemed to be received by the person to whom it was faxed on the day it was faxed;

(3) e-mailed to a person to the e-mail address provided by
that person referred to in Article 23.1 is deemed to be received by the person to whom it was e-mailed on the day it was e-mailed;
and

(4) delivered in accordance with Section 23.1(6), is deemed
to be received by the person on the day such written notice is sent.

23.3 Certificate of Sending

A certificate signed by the corporate secretary, if any, or other officer of the Company or of any other corporation acting in that capacity on behalf of the Company stating that a notice, statement, report or other record was sent in accordance with Article 23.1 is conclusive evidence of that fact.

23.4 Notice to Joint Shareholders

A notice, statement, report or other record may be provided by the Company to the joint shareholders of a share by providing such record to the joint shareholder first named in the central securities register in respect of the share.

23.5 Notice to Legal Personal Representatives and Trustees

A notice, statement, report or other record may be provided by the Company to the persons entitled to a share in consequence of the death, bankruptcy or incapacity of a shareholder by:

(1) mailing the record, addressed to them:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) by name, by the title of the legal personal representative
of the deceased or incapacitated shareholder, by the title of trustee of the bankrupt shareholder or by any similar description;
and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) at the address, if any, supplied to the Company for that purpose by the
persons claiming to be so entitled; or

(2) if an address referred to in paragraph (1)(b) has not
been supplied to the Company, by giving the notice in a manner in which it might have been given if the death, bankruptcy or incapacity
had not occurred.

23.6 Undelivered Notices

If, on two consecutive occasions, a notice, statement, report or other record is sent to a shareholder pursuant to Article 23.1 and on each of those occasions any such record is returned because the shareholder cannot be located, the Company shall not be required to send any further records to the shareholder until the shareholder informs the Company in writing of his or her new address.

**PART 24**

**SEAL**

24.1 Who May Attest Seal

Except as provided in Articles 24.1(2) and 24.1(3), the Company's seal, if any, must not be impressed on any record except when that impression is attested by the signatures of:

(1) any two directors;

(2) any officer, together with any director;

(3) if the Company only has one director, that director; or

(4) any one or more directors or officers or persons as may
be determined by the directors.

24.2 Sealing Copies

For the purpose of certifying under seal a certificate of incumbency of the directors or officers of the Company or a true copy of any resolution or other document, despite Article 24.1, the impression of the seal may be attested by the signature of any director or officer or the signature of any other person as may be determined by the directors.

24.3 Mechanical Reproduction of Seal

The directors may authorize the seal to be impressed by third parties on share certificates or bonds, debentures or other securities of the Company as they may determine appropriate from time to time. To enable the seal to be impressed on any share certificates or bonds, debentures or other securities of the Company, whether in definitive or interim form, on which facsimiles of any of the signatures of the directors or officers of the Company are, in accordance with the *Business Corporations Act* or these Articles, printed or otherwise mechanically reproduced, there may be delivered to the person employed to engrave, lithograph or print such definitive or interim share certificates or bonds, debentures or other securities one or more unmounted dies reproducing the seal and such persons as are authorized under Article 24.1 to attest the Company's seal may in writing authorize such person to cause the seal to be impressed on such definitive or interim share certificates or bonds, debentures or other securities by the use of such dies. Share certificates or bonds, debentures or other securities to which the seal has been so impressed are for all purposes deemed to be under and to bear the seal impressed on them.

**PART 25**

**PROHIBITIONS**

25.1 Definitions

In this Part 25:

(1) "**security**" has the meaning assigned
in the *Securities Act*;

(2) "**transfer restricted security**" means

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a share of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) a security of the Company convertible into shares of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any other security of the Company which must be subject to restrictions
on transfer in order for the Company to satisfy the requirement for restrictions on transfer under the "**private issuer** "
exemption of Canadian securities legislation or under any other exemption from prospectus or registration requirements of Canadian
securities legislation similar in scope and purpose to the "**private issuer**" exemption.

25.2 Application

Article 25.3 does not apply to the Company if and for so long as it is a public company.

25.3 Consent Required for Transfer of Shares or Transfer Restricted
Securities

No share or other transfer restricted security may be sold, transferred or otherwise disposed of without the consent of the directors and the directors are not required to give any reason for refusing to consent to any such sale, transfer or other disposition.

**PART 26**

**FORUM SELECTION**

26.1 Forum for Adjudication of Certain Disputes

Unless the Company consents in writing to the selection of an alternative forum, the Supreme Court of the Province of British Columbia, Canada and the appellate Courts therefrom, shall, to the fullest extent permitted by law, be the sole and exclusive forum for (i) any derivative action or proceeding brought on behalf of the Company; (ii) any action or proceeding asserting a claim of breach of a fiduciary duty owed by any director, officer, or other employee of the Company to the Company; (iii) any action or proceeding asserting a claim arising pursuant to any provision of the *Business Corporations Act* or these Articles (as either may be amended from time to time); or (iv) any action or proceeding asserting a claim otherwise related to the relationships among the Company, its affiliates and their respective shareholders, directors and/or officers, but this paragraph (iv) does not include any action or proceeding related to the business carried on by the Company or such affiliates, which action or proceeding may be brought in another jurisdiction, as appropriate.

**PART 27**

**VOTING SHARES**

27.1 Special Rights and Restrictions

An unlimited number of Voting Shares, without nominal or par value, having attached thereto the special rights and restrictions as set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Issuance.** Subject to the BCBCA and the rights of the holders of issued
shares of the Company, the Company may issue, allot, sell or otherwise dispose of the unissued Voting Shares, and issued Voting
Shares, at the times, to the persons, including directors, in the manner, on the terms and conditions and for the issue prices
(including any premium at which shares with par value may be issued) that the directors may determine. The issue price for a Voting
Share with par value must be equal to or greater than the par value of the Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Voting Rights.** The holders of Voting Shares are entitled to receive
notice of and to attend all annual and special meetings of the Company. The holders of Voting Shares are entitled to vote in person
or by proxy at all meetings of the Company and at all such meetings each such holder has one vote for each Voting Share held.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Dividends**. The holders of Voting Shares are entitled to receive dividends
if, as and when declared by the board of directors out of the assets of the Company properly applicable to the payment of dividends
in such amount and payable at such time as and at such place in Canada as the board of directors may from time to time determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Liquidation, Dissolution or Winding-Up**. In the event of liquidation,
dissolution or winding up of the Company, whether voluntary or involuntary, or other distribution of assets or property of the
Company amongst holders of Voting Shares for the purpose of winding up its affairs, the holders of Voting Shares shall be entitled
to receive all property and assets of the Company properly distributable to the holders of Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **Rights to Subscribe; Pre-Emptive Rights.** Holders of Voting Shares
have no pre-emptive or preferential right to purchase any securities of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) **Conversion**. Voting Shares are not convertible into shares of any
other class or series or be subject to redemption or retraction by the Company or Company shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) **Repurchase of Voting Shares**. Subject to the provisions of the BCBA,
the Company may, if authorized by the board of directors, purchase any issued Voting Shares in circumstances at a price and on
terms determined by the directors. However, the Company may not purchase Voting Shares at any time when, immediately following
such purchase, it would be unable to pay its debts as they fall due in the ordinary course of business or making the payment or
providing the consideration would render the Company insolvent. Subject to the BCBA and applicable securities laws, including issuer
bid rules under National Instrument 62-104 – *Take-Over Bids and Issuer Bids*, the Company may, from time to time, with
the agreement of a holder, purchase all or part of the holder's Voting Shares whether or not the Company has made a similar
offer to all or any other of the holders of Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) **Recapitalizations and Stock Splits**. Subject to the BCBCA, the Company
may by special resolution:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) create one or more classes or series of shares or, if none of the shares
of a class or series of shares are allotted or issued, eliminate that class or series of shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) increase, reduce or eliminate the maximum number of shares that the Resulting
Issuer is authorized to issue out of any class or series of shares or establish a maximum number of shares that the Resulting Issuer
is authorized to issue out of any class or series of shares for which no maximum is established;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) subdivide or consolidate all or any of its unissued, or fully paid issued,
shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) if the Resulting Issuer is authorized to issue shares of a class of shares
with par value:

● decrease the par value of those shares; or

● if none of the shares of that class of shares are allotted or issued, increase the par value of those shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) change all or any of its unissued, or fully paid issued, shares with par
value into shares without par value or any of its unissued shares without par value into shares with par value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) alter the identifying name of any of its shares; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) otherwise alter its shares or authorized share structure when required or permitted to do so
by the BCBCA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) **No fractional shares and certificates as to adjustment**. No fractional
Voting Shares shall be issued upon the conversion of any Non-Voting Shares and the number of Voting Shares to be issued shall be
rounded up to the nearest whole Voting Shares. Whether or not fractional Voting Shares are issuable upon such conversion shall
be determined on the basis of the total number of shares of Non-Voting Shares the holder is at the time converting into Voting
Shares and the number of Voting Shares issuable upon such aggregate conversion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) **Other.** There are no sinking or purchase fund provisions, no provisions
permitting or restricting the issuance of additional securities or any other material restrictions, and there are no provisions
which are capable of requiring a security holder to contribute additional capital.

**NON-VOTING SHARES**

27.2 Special Rights and Restrictions

An unlimited number of Non-Voting Shares, without nominal or par value, having attached thereto the special rights and restrictions as set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Voting Rights.** The holders of the Non-Voting Shares shall be entitled
to receive notice of and to attend (in person or by proxy) and be heard at all general meetings of the shareholders of the Company
and shall be entitled to receive all notices of meetings, information circulars and other written information from the Company
that the holders of Voting Shares are entitled to receive from the Company but not to vote at such general meetings, unless otherwise
required by law or as referred to herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Dividends.** The Voting Shares and the Non-Voting Shares shall rank
equally with one another and subordinate to any other shares of the ranking senior to the Voting Shares and the Non-Voting Shares
as to such dividends as may be declared by the board of directors out of funds legally available therefor and all dividends, other
than stock dividends payable in equity shares, will be declared contemporaneously and paid at the same time in the same property
and in equal amounts per share on all the Voting Shares and the Non-Voting Shares at the time outstanding, without preference or
priority of one share over another.

The board of directors may declare separate stock dividends payable in equity shares for each of the Voting Shares and the Non-Voting Shares provided that: (a) such stock dividends shall be declared contemporaneously and paid at the same time and in equal numbers of additional equity shares per share on all the Voting Shares and the Non-Voting Shares at the time outstanding; (b) such stock dividends shall be paid (i) in the Voting Shares to the holders of Voting Shares and (ii) in the Non-Voting Shares to the holders of the Non-Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Liquidation, Dissolution or Winding-Up.** In the event of the liquidation,
dissolution or winding-up of the Company or other distribution of assets of the Company among its shareholders for the purpose
of winding-up its affairs, all of the property and assets of the Company which remain after payment to the holders of any shares
ranking in priority to the Voting Shares and Non-Voting Shares in respect of payment upon liquidation, dissolution or winding-up
of all amounts attributed and properly payable to such holders of such other shares in the event of such liquidation, dissolution,
winding-up or distribution, shall be paid or distributed equally, share for share, to the holders of the Voting Shares and the
Non-Voting Shares, without preference or distinction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **Rights to Subscribe; Pre-Emptive Rights**. The holders of Non-Voting
Shares are not entitled to a right of first refusal to subscribe for, purchase or receive any part of any issue of Non-Voting Shares,
or bonds, debentures or other securities of the Company now or in the future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **Conversion**. Subject to the Ownership Limitation set forth in this
section (f), holders of Non-Voting Shares shall have conversion rights as follows (the "**Conversion Rights** "):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **Right to Convert**. Each Non-Voting Share shall be convertible, at
the option of the holder thereof, at any time after the date of issuance of such share at the office of the Company or any transfer
agent for such shares, into fully paid and non-assessable Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **Conversion Limitations**. Notwithstanding anything to the contrary contained in the
 Articles, a holder of the Non-Voting Shares shall not have the right to convert any portion of the Non-Voting Shares into the
 Voting Shares to the extent that, after giving effect to such conversion, the holder thereof has either (i)
 beneficial ownership of, or control or direction over, directly or indirectly, or (ii) a combination of beneficial ownership
 of, and control or direction over, directly or indirectly of more than 9.99% of the Company's issued and outstanding
 Voting Shares immediately after giving effect to such conversion (the "**Non-Voting Share Ownership Limitation** "). The Company shall not effect any exercise of any convertible securities of the Company, including the
 Non-Voting Shares (convertible securities of the Company together with the Non-Voting Shares, the "**Company Convertible Securities**") held by the holder thereof, and such holder shall not have the right to exercise any
 portion of its Company Convertible Securities so held, to the extent that after giving effect to such issuance after exercise
 as set forth on the applicable notice of exercise or subscription form, as the case may be, the holder would beneficially own
 in excess of the Non-Voting Share Ownership Limitation. For purposes of the foregoing sentence, the number of the Voting
 Shares beneficially owned by the holder shall include the number of the Voting Shares issuable upon exercise of the Company
 Convertible Securities with respect to which such determination is being made but shall exclude the number of the Voting
 Shares which would be issuable upon exercise of the remaining, non-exercised portion of the Non-Voting Shares. To the extent
 that the Non-Voting Share Ownership Limitation applies, the determination of whether the Company Convertible Securities are
 exercisable (in relation to other securities owned by the holder) and of which portion of the Company Convertible Securities
 are exercisable shall be in the discretion of the Company, and the submission of a notice of exercise, shall be deemed to be
 the holder's determination of whether the Company Convertible Securities are exercisable (in relation to other
 securities owned by the holder) and of which portion of the Company Convertible Securities are exercisable, in each case
 subject to the Non-Voting Share Ownership Limitation. In determining the number of outstanding Voting Shares, the Company may
 rely on the number of outstanding Voting Shares as reflected in (A) the Company's most recent periodic or annual report
 filed with the Canadian securities commissions, (B) a more recent public announcement by the Company or (C) a more recent
 written notice by the Company or the transfer agent setting forth the number of Voting Shares outstanding. Upon the written
 or oral request of the holder, the Company shall within one business
day confirm orally and in writing to the holder the number of the Voting Shares then outstanding. In any case, the number of outstanding
Voting Shares shall be determined after giving effect to the conversion or exercise of securities of the Company, including the
Company Convertible Securities, by the holder since the date as of which such number of outstanding Voting Shares was reported.
The "**Ownership Limitation**" shall be 9.99% of the number of shares of the Voting Shares outstanding immediately
after giving effect to the issuance of Voting Shares issuable upon exercise of the Company Convertible Securities; provided however
that: (A) the holder may, in its sole discretion, subject to (B), elect that this subsection cease to apply to the holder by sending
written notice of such election to the Company, and (B) the holder has filed, and any stock exchange on which the Voting Shares
are then listed has cleared for acceptance, personal information forms in the form prescribed by such exchange, in respect of the
Company and any third party that is in any manner connected with the holder and which the exchange requires a personal information
form to be submitted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) **Mechanics of Conversion**. Before any holder of the Non-Voting Shares
shall be entitled to convert the Non-Voting Shares into Voting Shares, the holder thereof shall surrender the certificate or certificates
therefor, duly endorsed, at the office of the Company, and shall give written notice to the Company at its principal corporate
office, of the election to convert the same and shall state therein the name or names in which the certificate or certificates
for Voting Shares are to be issued (each, a "**Non-Voting Share Conversion Notice** "). The Company shall (or shall
cause its transfer agent to), within two (2) business days thereafter, issue and deliver at such office to such holder, or to the
nominee or nominees of such holder, a certificate or certificates for the number of Voting Shares to which such holder shall be
entitled as aforesaid. Such conversion shall be deemed to have been made immediately prior to the close of business on the date
of such surrender of the Non-Voting Shares to be converted, and the person or persons entitled to receive the Voting Shares issuable
upon such conversion shall be treated for all purposes as the record holder or holders of such Voting Shares as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) All Non-Voting Shares which shall have been surrendered for conversion in
accordance with the Articles shall no longer be deemed to be outstanding and all rights with respect to such shares shall immediately
cease and terminate at the time of conversion, except only the right of the holders thereof to receive the Voting Shares in exchange
therefor and to receive payment in lieu of any fraction of a share otherwise issuable upon such conversion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) **Adjustments for Distributions**. In the event the Company declares
a distribution to holders of the Voting Shares payable in securities of other persons, evidences of indebtedness issued by the
Company or other persons, assets (excluding cash dividends), or options or rights, then, in each such case, the holders of the
Non-Voting Shares shall be entitled to a proportionate share of any such distribution as though they were the holders
of the number of the Voting Shares into which their Non-Voting Shares are convertible as of the record date fixed for determining
the holders of the Voting Shares entitled to receive such distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) **Recapitalizations; Stock Splits.** No fractional Voting Shares shall
be issued upon the conversion of any Non-Voting Shares and the number of Voting Shares to be issued shall be rounded up to the
nearest whole Voting Share. Whether or not fractional Voting Shares are issuable upon such conversion shall be determined on the
basis of the total number of shares of the Non-Voting Shares the holder is at the time converting into the Voting Shares and the
number of the Voting Shares issuable upon such aggregate conversion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **No Fractional Shares and Certificate as to Adjustments.** The holders
of the Non-Voting Shares will have the right to convert Non-Voting Shares into fully paid and non-assessable Voting Shares at any
time after issuance by submitting a duly endorsed certificate and a written notice to the Company or its designated transfer agent.
The conversion will be subject to an Ownership Limitation, which will restrict holders of Non-Voting Shares from owning, directly
or indirectly, more than 9.9% of the issued and outstanding Voting Shares following the conversion. The holders of Non-Voting Shares
will have the option to waive the Ownership Limitation by submitting a written notice and completing required regulatory filings.
Once converted, the Non-Voting Shares will cease to exist, and all associated rights will terminate, except the right to receive
the Voting Shares and payment for fractional shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) **Disputes.** Any holder of Non-Voting Shares that beneficially owns
more than 5% of the issued and outstanding Non-Voting Shares may submit a written dispute as to the determination of the conversion
ratio, the arithmetic calculation of the conversion ratio of the Non-Voting Shares to the Voting Shares, or the Ownership Limitation
by the Company, to the board of directors with the basis for the disputed determinations or arithmetic calculations. The Company
shall respond to the holder within two (2) business days of receipt, or deemed receipt, of the dispute notice with a written calculation
of the Ownership Limitation. If the holder and the Company are unable to agree upon such determination or calculation of the Ownership
Limitation, within two (2) business days of such response, then the Company and the holder shall, within one (1) business day thereafter
submit the disputed arithmetic calculation of the Ownership Limitation to the Company's independent, outside accountant.
The Company, at the Company's expense, shall cause the accountant to perform the determinations or calculations and notify
the Company and the holder of the results no later than two (2) business days from the time it receives the disputed determinations
or calculations. Such accountant's determination or calculation, as the case may be, shall be binding upon all parties absent
demonstrable error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) **Conversion of Non-Voting Shares Upon an Offer.** In the event that
an offer is made to purchase Voting Shares, and the offer is one which is required, pursuant to applicable securities legislation
or the rules of a stock exchange, if any, on which the Voting Shares are then listed, to be made to all or substantially all the
holders of Voting Shares in a province or territory of Canada to which the requirement applies, each Non-Voting
Share shall become convertible at the option of the holder into Voting Shares at the conversion ratio then in effect, at any time
while the offer is in effect until one day after the time prescribed by applicable securities legislation for the offeror to take
up and pay for such shares as are to be acquired pursuant to the offer. The conversion right in this section may only be exercised
in respect of Non-Voting Shares for the purpose of depositing the resulting Voting Shares under the offer, and for no other reason.
In such event, the transfer agent for the Voting Shares shall deposit under the offer the resulting Voting Shares, on behalf of
the holder.

To exercise such conversion right, the holder or his or its attorney duly authorized in writing shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) give written notice to the transfer agent of the exercise of such right,
and of the number of Non-Voting Shares in respect of which the right is being exercised;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) deliver to the transfer agent the share certificate or certificates representing
the Non-Voting Shares in respect of which the right is being exercised, if applicable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) pay any applicable stamp tax or similar duty on or in respect of such conversion.

No share certificates representing or other evidence of the Voting Shares, resulting from the conversion of the Non-Voting Shares will be delivered to the holders on whose behalf such deposit is being made. If Voting Shares, resulting from the conversion and deposited pursuant to the offer, are withdrawn by the holder or are not taken up by the offeror, or the offer is abandoned, withdrawn or terminated by the offeror or the offer otherwise expires without such Voting Shares being taken up and paid for, the Voting Shares resulting from the conversion will be reconverted into Non-Voting Shares at the then inverse of the conversion ratio and a share certificate representing the Non-Voting Shares will be sent to the holder by the transfer agent or the Corporation. In the event that the offeror takes up and pays for the Voting Shares resulting from conversion, the transfer agent shall deliver to the holders thereof the consideration paid for such shares by the offeror.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) **Other**. Any Non-Voting Share converted shall be retired and cancelled
and may not be reissued as shares of such series or any other class or series, and the Company may thereafter take such appropriate
action (without the need for shareholder action) as may be necessary to reduce the authorized number of the Non-Voting Shares accordingly.

**PART 28**

**REDEMPTION BY THE COMPANY**

28.1 Interpretation

For the purposes of this Part 31, the following terms have the meanings specified below:

(1) "**Business**" means the business of the
Company as carried on from time to time which includes but is not limited to the research, development, and manufacture of biosynthetic
psychoactive compounds including psilocybin (its intermediates) and other molecules for the treatment of mental health disorders
and all associated testing and studies in connection with the foregoing.

(2) "**Fair Market Value**" will equal: (i)
the volume weighted average trading price ()"**VWAP**") of the Voting Shares for the five (5) Trading Day period
immediately after the date of the Redemption Notice on the Canadian Securities Exchange or other national or regional securities
exchange on which such shares are listed, or (ii) if no such quotations are available, the fair market value per share of the
Voting Shares to be redeemed as set forth in the Valuation Opinion.

(3) "**Governmental Authority**" or "**Governmental Authorities**" means any United States, Canadian or foreign, federal, provincial, state, county, regional, local or municipal
government, any agency, administration, board, bureau, commission, department, service, or other instrumentality or political
subdivision of the foregoing, and any Person with jurisdiction exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government or monetary policy (including any court or arbitration authority).

(4) "**Licenses**" means all licenses, permits,
approvals, orders, authorizations, registrations, findings of suitability, franchises, exemptions, waivers and entitlements issued
by a Governmental Authority required for, or relating to, the conduct of the Business.

(5) "**Ownership**" (and derivatives thereof)
means (i) ownership of record as evidenced in the Company's share register, (ii) "beneficial ownership" as defined
in Section 1 of the *Business Corporations Act* (British Columbia), or (iii) the power to exercise control or direction over
a security;

(6) "**Person**" means an individual, partnership,
corporation, limited liability company, trust or any other entity.

(7) "**Redemption**" has the meaning ascribed
in Section 31.2(4).

(8) "**Redemption Date**" means the date on
which the Company will redeem and pay for the Voting Shares pursuant to Section 31.2(4). The Redemption Date will be not less
than thirty (30) Trading Days following the date of the Redemption Notice unless a Governmental Authority requires that the Voting
Shares be redeemed as of an earlier date, in which case, the Redemption Date will be such earlier date and if there is an outstanding
Redemption Notice, the Company will issue an amended Redemption Notice reflecting the new Redemption Date forthwith.

(9) "**Redemption Notice**" has the meaning
ascribed thereto in Section 31.2(5).

(10) "**Redemption Price**" means the price
per Voting Share to be paid by the Company on the Redemption Date for the redemption of Voting Shares pursuant to Section 31.2(4)
and will be equal to the Fair Market Value of a Voting Share, unless otherwise required by any Governmental Authority;

(11) "**Significant Interest**" means ownership
of five percent (5%) or more of all of the issued and outstanding Voting Shares of the Company, assuming conversion of all Non-Voting
Shares and Voting Shares into Voting Shares.

(12) "**Subject Shareholder**" means a person,
a group of persons acting in concert or a group of persons who, the board of directors of the Company reasonably believes, are
acting jointly or in concert.

(13) "**Trading Day**" means a day on which
trades of the Voting Shares are executed on the Canadian Securities Exchange or any national or regional securities exchange on
which the Voting Shares are listed.

(14) "**Unsuitable Person**" means (i) any person
(including a Subject Shareholder) with a Significant Interest who a Governmental Authority granting the Licenses has determined
to be unsuitable to own Voting Shares; (ii) any person (including a Subject Shareholder) with a Significant Interest whose ownership
of Voting Shares may result in the loss, suspension or revocation (or similar action) with respect to any Licenses or in the Company
being unable to obtain any new Licenses in the normal course, including, but not limited to, as a result of such person's
failure to apply for a suitability review from or to otherwise fail to comply with the requirements of a Governmental Authority,
as determined by the board of directors of the Company, in its sole discretion, after consultation with legal counsel and if a
license application has been filed, after consultation with the applicable Governmental Authority; (iii) any person who a Governmental
Authority granting the Licenses has determined to be unsuitable to be a member of the board of directors of the Company; or (iv)
any person whose position as a member of the board of directors of the Company may result in the loss, suspension or revocation
(or similar action) with respect to any Licenses or in the Company being unable to obtain any new Licenses in the normal course,
including, but not limited to, as a result of such person's failure to apply for a suitability review from or to otherwise
fail to comply with the requirements of a Governmental Authority, as determined by the board of directors of the Company, in its
sole discretion, after consultation with legal counsel and if a license application has been filed, after consultation with the
applicable Governmental Authority.

(15) "**Valuation Opinion**" means a valuation
and fairness opinion from an investment banking firm of nationally recognized standing in Canada (qualified to perform such task
and which is disinterested in the contemplated redemption and has not in the then past two years provided services for a fee to
the Company or its affiliates) or a disinterested recognized accounting firm.

28.2 Redemption by the Company

(1) Subject to Section 31.2(3), no Subject Shareholder will
acquire or dispose of a Significant Interest, directly or indirectly, in one or more transactions, without providing 15 days'
advance written notice to the Company by mail sent to the Company's registered office to the attention of the Chief Financial
Officer.

(2) If the board of directors of the Company reasonably believes
that a Subject Shareholder may have failed to comply with the provisions of Section 31.2(1), the Company may apply to the Supreme
Court of British Columbia, or such other court of competent jurisdiction for an order directing that the Subject Shareholder disclose
the number of Shares held.

(3) The provisions of Sections 31.2(1) and 31.2(2) will not
apply to the ownership, acquisition or disposition of Voting Shares as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any transfer of Voting Shares occurring by operation of
law including, *inter alia*, the transfer of Voting Shares of the Company to a trustee in bankruptcy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an acquisition or proposed acquisition by one or more underwriters or portfolio
managers who hold Voting Shares for the purposes of distribution to the public or for the benefit of a third party provided that
such third party is in compliance with Section 31.2(1); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the conversion, exchange or exercise of securities of the Company (other
than the Voting Shares) duly issued or granted by the Company, into or for Voting Shares, in accordance with their respective terms.

(4) At the option of the Company, Voting Shares owned by an
Unsuitable Person may be redeemed by the Company (the "**Redemption**") for the Redemption Price out of funds lawfully
available on the Redemption Date. Voting Shares redeemable pursuant to this Section 31.2(4) will be redeemable at any time and
from time to time pursuant to the terms hereof.

(5) In the case of a Redemption, the Company will send a written
notice to the holder of the Voting Shares called for Redemption, which will set forth: (i) the Redemption Date, (ii) the number
of Voting Shares to be redeemed on the Redemption Date, (iii) the formula pursuant to which the Redemption Price will be determined
and the manner of payment therefor, (iv) the place where such Voting Shares (or certificate thereto or other evidence thereof,
as applicable) will be surrendered for payment, duly endorsed in blank or accompanied by proper instruments of transfer, (v) a
copy of the Valuation Opinion (if the Company is no longer listed on the Canadian Securities Exchange or another recognized securities
exchange), and (vi) any other requirement of surrender of the Voting Shares to be redeemed (the "**Redemption Notice** ").
The Redemption Notice may be conditional such that the Company need not redeem the Voting Shares owned by an Unsuitable Person
on the Redemption Date if the board of directors of the Company determines, in its sole discretion, that such Redemption is no
longer advisable or necessary on or before the Redemption Date. The Company will send a written notice confirming the amount of
the Redemption Price as soon as possible following the determination of such Redemption Price.

(6) The Company may pay the Redemption Price by using its
existing cash resources, incurring debt, issuing additional Voting Shares, issuing a promissory note in the name of the Unsuitable
Person, any other means source permitted by applicable law, or by using a combination of the foregoing sources of funding.

(7) To the extent required by applicable laws, the Company
may deduct and withhold any tax from the Redemption Price. To the extent any amounts are so withheld and are timely remitted to
the applicable Governmental Authority, such amounts shall be treated for all purposes herein as having been paid to the Person
in respect of which such deduction and withholding was made.

(8) On and after the date the Redemption Notice is delivered,
any Unsuitable Person owning Voting Shares called for Redemption will cease to have any voting rights with respect to such Voting
Shares and on and after the Redemption Date specified therein, such holder will cease to have any rights whatsoever with respect
to such Voting Shares other than the right to receive the Redemption Price, without interest, on the Redemption Date; provided,
however, that if any such Voting Shares come to be owned solely by persons other than an Unsuitable Person (such as by transfer
of such Voting Shares to a liquidating trust, subject to the approval of any applicable Governmental Authority), such persons
may exercise voting rights of such Voting Shares and the board of directors of the Company may determine, in its sole discretion,
not to redeem such Voting Shares. Following any Redemption in accordance with the terms of this Part 31, the redeemed Voting Shares
will be cancelled.

(9) All notices given by the Company to holders of Voting
Shares pursuant to this Part 31, including the Redemption Notice, will be in writing and will be deemed given when delivered by
personal service, overnight courier or first-class mail, postage prepaid, to the holder's registered address as shown on
the Company's share register.

(10) The Company's right to redeem Voting Shares pursuant
to this Part 31 will not be exclusive of any other right the Company may have or hereafter acquire under any agreement or any
provision of the Articles or Notice of Articles of the Company or otherwise with respect to the acquisition by the Company of
Voting Shares or any restrictions on holders thereof.

(11) In connection with the conduct of its Business, the Company
may require that a Subject Shareholder provide to one or more Governmental Authorities, if and when required, information and
fingerprints for a criminal background check, individual history form(s), and other information required in connection with applications
for Licenses.

(12) The board of directors of the Company shall be entitled
to waive any provision of this Part 31.

(13) In the event that any provision (or portion of a provision)
of this Part 31 or the application thereof becomes or is declared by a court of competent jurisdiction to be illegal, void or
unenforceable, the remainder of this Part 31 (including the remainder of such provision, as applicable) will continue in full
force and effect.

## Exhibit 99.31

**Exhibit 99.31**

**THIS FORM OF PROXY SOLICITED BY THE MANAGEMENT OF WBM CAPITAL CORP. FOR USE AT A SPECIAL MEETING OF SHAREHOLDERS TO BE HELD ON AUGUST 25, 2025**

**This proxy is solicited on behalf of the management of WBM Capital Corp.** (the "**Corporation**"). The undersigned shareholder(s) of the Corporation hereby appoint(s) Grant Duthie, or failing this person Nanditha Iyer, both legal counsel of the Corporation, as nominee of the undersigned, to attend and vote on behalf of the undersigned at the special meeting of shareholders of the Corporation (the "**Meeting**") to be held at the offices of Garfinkle Biderman LLP, 1 Adelaide Street East, Suite 801, Toronto, Ontario M5C 2V9 on August 25, 2025 at 1:00PM (Toronto time) and at any adjournment thereof.

The undersigned specifies that all of the common shares of the Corporation (the "**Common Shares**") owned or held by the undersigned represented by this form of proxy in respect of the resolution described below shall be voted as follows:

&nbsp;&nbsp;&nbsp;&nbsp;1. VOTED **FOR** () AGAINST () a special resolution, the full text of which is set forth in Appendix "A" to the Corporation's
management information circular dated August 5, 2025 , to authorize and approve the replacement of the articles and notice of
articles of the Corporation providing for, among other things, (i) the restatement of the rights and restrictions of the existing
class of Common Shares, and (ii) the creation of a class of non-voting shares, with the timing to be determined by the board of
directors of the Corporation at a date no later than twenty-four (24) months following the Meeting.

**If any amendments or variations to matters identified in the Notice of Meeting are proposed at the Meeting or any adjournment thereof or if any other matters properly come before the Meeting or any adjournment thereof, this proxy confers discretionary authority to vote on such amendments or variations or such other matters according to the best judgment of the person voting the proxy at the Meeting or any adjournment thereof.**

I/We authorize you to act in accordance with my/our instructions as set out above.

---

| |
|:---|
| Signature of Shareholder |
| Name of Shareholder (please print) |
| Phone Number of Shareholder |
| **DATED** _________________, 2025. |

---

**<u>Notes:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. This
 form of proxy must be dated and signed by the appointor or their attorney authorized
 in writing or, if the appointor is a body corporate, this form of proxy must be executed
 by an officer or attorney thereof duly authorized.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. **A shareholder has the right to appoint a person or company (who need not be a shareholder) to represent the shareholder at the Meeting or any adjournment thereof other than the persons designated in the enclosed form of proxy. Such right may be exercised by delivering the completed and executed proxy to the office of the Corporation's legal counsel indicated below by 1:00 PM (Toronto time) on August 21, 2025 or not less than 48 hours (excluding Saturdays, Sundays and holidays) before any adjournments as the time by which proxies to be used or acted upon at the Meeting or any adjournments thereof shall be deposited with the Corporation's legal counsel.** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. **The shares represented by this proxy will be voted, voted against or withheld from voting in accordance with the instructions of the shareholder on any ballot that may be called for and if the shareholder specifies a choice with respect to any matter to be acted upon, the shares will be voted accordingly. Where no choice is specified, this proxy will confer discretionary authority and will be VOTED FOR the resolutions referred to herein.** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Please
 date the proxy. If not dated, the proxy shall be deemed to be dated on the date on which
 it is mailed.

5. This
 proxy ceases to be valid one year from its date.

6. If
 your address as shown is incorrect, please give your correct address when returning this
 proxy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. **If you do not wish to appoint either of the persons named in this proxy, you should strike out their names and insert in the blank space provided, the name of the person you wish to act as proxyholder. Such other person need not be a shareholder of the Corporation.** 

---

| |
|:---|
| **Please return the form of proxy to:** |
| 801-1 ADELAIDE ST. EAST<br> TORONTO, ON M5C 2V9 |
| ATTENTION: GRANT DUTHIE |
| Email: <u>gduthie@garfinkle.com</u> |

---

## Exhibit 99.32

**Exhibit 99.32**

**WBM CAPITAL CORP.**

**NOTICE OF SPECIAL MEETING OF SHAREHOLDERS**

**TAKE NOTICE THAT** the special meeting (the "**Meeting**") of the holders ("**Shareholders**") of common shares (the "**Common Shares**") in the capital of WBM Capital Corp. (the "**Corporation**") will be held at the offices of Garfinkle Biderman LLP, which are located at 1 Adelaide Street East, Suite 801, Toronto, Ontario, M5C on August 25, 2025 at 1:00 p.m. (Toronto time) for the following purposes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. to
 consider and, if thought advisable, approve with or without variation, a special resolution,
 the full text of which is set forth in Appendix "A" to the Corporation's
 management information circular dated August 5, 2025 (the "**Circular** "),
 to authorize and approve the replacement of the articles and notice of articles of the
 Corporation providing for, among other things, (i) the restatement of the rights and
 restrictions of the existing class of Common Shares, and (ii) the creation of a class
 of non-voting shares (the "**Replacement Resolution** "), with the timing
 to be determined by the board of directors of the Corporation (the "**Board** ")
 at a date no later than twenty-four (24) months following the Meeting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. to
 transact such other business as may be properly brought before the Meeting or any postponement
 or adjournment thereof.

The Replacement Resolution must be approved by not less than two-thirds of the votes cast by Shareholders present in person or represented by proxy at the Meeting and a majority of the votes cast by disinterested Shareholders present in person or represented by proxy at the Meeting.

This notice of Meeting is accompanied by: (a) the Circular; and (b) a form of proxy for registered Shareholders. **The Circular accompanying this notice of Meeting is incorporated into and shall be deemed to form part of this notice of Meeting.**

The record date for the determination of Shareholders entitled to receive notice of, and to vote at, the Meeting or any adjournments or postponements thereof is July 25, 2025 (the "**Record Date**"). Shareholders whose names have been entered in the register of Shareholders at the close of business on the Record Date will be entitled to receive notice of, and to vote at, the Meeting or any adjournments or postponements thereof.

**A Shareholder may attend the Meeting in person or may be represented by proxy. Shareholders who are unable to attend the Meeting or any adjournments or postponements thereof in person are requested to complete, date, sign and return the accompanying form of proxy for use at the Meeting or any adjournments or postponements thereof.** To be effective, the enclosed form of proxy must be received by Garfinkle Biderman LLP by no later than 1:00 p.m. (Toronto Time) on August 21, 2025 or, in the case of any adjournment or postponement of the Meeting, by no later than 48 hours (excluding Saturdays, Sundays and holidays) before the time for the adjourned or postponed Meeting.

The above time limit for deposit of proxies may be waived or extended by the chairman of the Meeting at his discretion without notice.

DATED this 5<sup>th</sup> day of August, 2025.

**BY ORDER OF THE BOARD OF DIRECTORS**

*"Fraser Hartley"*

Fraser Hartley <br> Director

## Exhibit 99.33

**Exhibit 99.33**

**WBM Capital Corp. Announces Proposed Reverse Takeover By BitZero Blockchain Inc.**

*Not for distribution to United States newswire services or for release publication, distribution, or dissemination directly, or indirectly, in whole or in part, in or into the United States.*

Vancouver, British Columbia, August 27, 2025 – WBM Capital Corp. (the "**Company**" or "**WBM**") is pleased to announce that it has entered into a non-binding letter agreement dated August 21, 2025 (the "**Letter Agreement**") with BitZero Blockchain Inc. ("**BitZero**"), a private corporation existing under the laws of British Columbia. Pursuant to the Letter Agreement, the Company and BitZero propose to complete a business combination transaction that would result in a reverse takeover of WBM by the securityholders of BitZero (the "**Proposed Transaction**").

The Company has applied to list the common shares of the entity resulting from the Proposed Transaction (the "**Resulting Issuer**") on the Canadian Securities Exchange (the "**CSE**"). Listing on the CSE is subject to the satisfaction of all applicable listing requirements and conditions and the approval of the CSE.

The Proposed Transaction is anticipated to be structured as a triangular amalgamation involving WBM and a wholly-owned subsidiary of the Company to be incorporated under the *Business Corporations Act* (British Columbia), pursuant to which BitZero will amalgamate with such subsidiary. The resulting amalgamated entity will become a wholly-owned subsidiary of WBM.

Immediately prior to the closing the Proposed Transaction: (i) WBM will settle approximately $205,647.70 of debt through the issuance of common shares (the "**Finco Shares**") of a financing entity of the Company to be incorporated ("**Finco**"); (ii) holders of Finco Shares will receive common shares of the Resulting Issuer ("**Resulting Issuer Common Shares**") on a 1:1 basis; (iii) holders of BitZero common shares (the "**BitZero Shares**") will receive Resulting Issuer Common Shares on a 10:1 basis; and (iv) certain BitZero shareholders will exchange their BitZero Shares for a class of non-voting shares of the Resulting Issuer (the "**Resulting Issuer Non-Voting Shares**") instead of Resulting Issuer Common Shares. Immediately prior to closing the Proposed Transaction, Finco and a wholly-owned subsidiary of the Company will amalgamate, and the resulting amalgamated entity will be a wholly-owned subsidiary of the Company.

In connection with the Proposed Transaction, WBM will seek shareholder approval to effect the following:

(i) change its name (to such name as determined by BitZero); (ii) adopt a new omnibus equity incentive plan; (iii) create the Resulting Issuer Non-Voting Shares, which will be convertible into Resulting Issuer common shares on a one-for-one basis, subject to certain conditions; and (iv) adopt a shareholder rights plan. Upon completion of the Proposed Transaction, the board of directors and management of the Resulting Issuer will be reconstituted with nominees as determined by BitZero.

Completion of the Proposed Transaction is subject to a number of conditions, including but not limited to, CSE acceptance of the proposed listing, WBM shareholder approval, and other regulatory approvals. There can be no assurance that the Proposed Transaction will be completed as proposed or at all. Investors are cautioned that, except as disclosed in the CSE Form 2A Listing Statement to be prepared in connection with the Proposed Transaction, any information released or received with respect to the Proposed Transaction may not be accurate or complete and should not be relied upon.

**For more information please contact:**

**WBM Capital Corp.**

Carlo Rigillo

Chief Executive Officer

T: 647-400-4794

E: <u>carlo.rigillo@gmail.com</u>

**BitZero Blockchain Inc.** 

Mohammed Salah Bakhashwain

Chief Executive Officer

T: +44 745 412 4445

E: mohammed@bitzero.com

**About WBM Capital Corp.**

WBM is a British Columbia corporation that is a reporting issuer under the securities laws of British Columbia, Alberta and Ontario. WBM has no material assets and does not conduct any operations or active business, other than the identification and evaluation of acquisition opportunities to permit the Company to acquire a business or assets in order to conduct commercial operations.

**About BitZero Blockchain Inc.**

Bitzero is a Canadian cryptocurrency mining and IT infrastructure company with cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

Founded in 2021, Bitzero intends to provide investors with exposure to blockchain processing infrastructure and technology along with underlying cryptocurrency rewards and transaction fees.

**Cautionary Statements**

*Completion of the Proposed Transaction is subject to a number of conditions. There can be no assurance that the Proposed Transaction will be completed as proposed or at all.*

*Investors are cautioned that, except as disclosed in the listing statement of the Company, BitZero and the Resulting Issuer, as applicable, to be prepared in connection with the Proposed Transaction, any information released or received with respect to the Proposed Transaction may not be accurate or complete and should not be relied upon.*

*This news release does not constitute an offer to sell, or a solicitation of an offer to buy, any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "**U.S. Securities Act**") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.*

**Forward-Looking Information and Statements**

*This news release contains statements that constitute "forward-looking information" ("forward-looking information") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking information and are based on expectations, estimates and projections as at the date of this news release. Any statement that discusses predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", scheduled", forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur to be achieved) are not statements of historical fact and may be forward-looking information.*

*More particularly and without limitation, this news release contains forward-looking statements concerning the Proposed Transaction. In disclosing the forward-looking information contained in this news release, the Company has made certain assumptions, including that: all applicable third party consents and regulatory approvals for the Proposed Transaction will be received; and that the Proposed Transaction will be completed on mutually acceptable terms and within a customary timeframe for transactions of this nature. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, it can give no assurance that the expectations of any forward-looking information will prove to be correct. Known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: availability of financing; delay or failure to receive third party consents or regulatory approvals; and general business, economic, competitive, political and social uncertainties. There can be no certainty that the Proposed Transaction will be completed on the terms set out in the Letter Agreement or at all. Accordingly, reader should not place undue reliance on the forward-looking information contained in this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking information to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking information or otherwise.*

## Exhibit 99.34

**Exhibit 99.34**

WBM CAPITAL **CORP.**

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

FOR THE THREE AND NINE MONTHS ENDED JULY 31, 2025, AND 2024

(EXPRESSED IN CANADIAN DOLLARS)

(UNAUDITED)

**NOTICE OF NO AUDITOR REVIEW OF**

**CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS**

The accompanying unaudited condensed consolidated interim financial statements of WBM Capital Corp. have been prepared by management in accordance with International Financial Reporting Standards ("IFRS"). These condensed consolidated interim financial statements, which are the responsibility of management, are unaudited and have not been reviewed by the Company's auditors. The Company's Audit Committee and Board of Directors have reviewed and approved these condensed consolidated interim financial statements. In accordance with the disclosure requirements of National Instruments 51-102 released by the Canadian Securities Administrators, the Company's independent auditors have not performed a review of these condensed consolidated interim financial statements.

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Financial Position

As at July 31, 2025 and October 31, 2024

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**16825** | $35287 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 |  | 37604 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  |  | 46477 |
| &nbsp;&nbsp;**Total assets** |  | $**16825** | $119368 |
| &nbsp;&nbsp;**LIABILITIES** **AND SHAREHOLDERS' EQUITY (DEFICIT)** |  |  |  |
| &nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities |  | $**128788** | $60048 |
| &nbsp;&nbsp;**Total liabilities** |  | **128788** | 60048 |
| &nbsp;&nbsp;**Shareholders' equity (deficit)** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital | 7 | **733786** | 733786 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves | 7 | **6851379** | 6851379 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7697128)** | (7525845) |
| &nbsp;&nbsp;**Total** **shareholders' equity (deficit)** |  | **(111963)** | 59320 |
| &nbsp;&nbsp;**Total liabilities and shareholders' equity (deficit)** |  | $**16825** | $119368 |

---

Nature of Operations (Note 1)

Going Concern (Note 2)

Qualifying transaction (Note 12)

Subsequent event (Note 13)

**Approved and Authorized by the Board on September 12, 2025:**

<u>*"Carlo Rigillo"* </u> Director <u>*"Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Net Loss and Comprehensive Loss

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended July 31,** | **Three months ended July 31,** | **Nine months ended July 31,** | **Nine months ended July 31,** |
| |<br>**Note** | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 9 | $**25423** | $2406 | $**65569** | $231328 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  |  |  |  | 2380 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Management fees | 8 |  | 76234 |  | 278393 |
| &nbsp;&nbsp;&nbsp;**Loss before other items** |  | **(25423)** | (78640) | **(65569)** | (512101) |
| &nbsp;&nbsp;&nbsp;**Other Items** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br> Gain on settlement of debt |  |  |  |  | 21265 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  |  | (5419) |  | (4782) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br> Loss of input tax credits  |  | **(37604)** |  | **(37604)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tax expense |  | **(66329)** |  | **(66329)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br> Interest income  |  |  |  |  | 60028 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **(577)** | (435) | **(1781)** | (1185) |
| &nbsp;&nbsp;&nbsp;**Net** **loss and Comprehensive loss for the period** |  | $**(129933)** | $(84494) | $**(171283)** | $(436775) |
| &nbsp;&nbsp;&nbsp;Weighted average number of common shares outstanding |  | **250000** | 271534 | **250000** | 779746 |
| &nbsp;&nbsp;&nbsp;Basic and diluted loss per share |  | $**(0.52)** | $(0.31) | $**(0.69)** | $(0.56) |

---

 

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Cash Flows

For the nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;**Operating activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss from operations  | $**(171283)** | $(436775) |
| &nbsp;&nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>Accretion expense  |  | 750 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on settlement of debt |  | 16000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits | **37604** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange |  | (36) |
| &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables |  | 172775 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **46477** | (29391) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **68740** | (62157) |
| &nbsp;&nbsp;&nbsp;**Net cash used in operating activities** | **(18462)** | (338834) |
| &nbsp;&nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Purchase of short-term investment |  | 10600000 |
| &nbsp;&nbsp;&nbsp;**Net cash from investing activities** |  | 10600000 |
| &nbsp;&nbsp;&nbsp;**Financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back (Note 1) |  | (10198940) |
| &nbsp;&nbsp;&nbsp;Option cancellation payment |  | (35325) |
| &nbsp;&nbsp;&nbsp;Proceeds from share issuance |  | 30000 |
| &nbsp;&nbsp;&nbsp;Repayment of government loan |  | (40000) |
| &nbsp;&nbsp;&nbsp;**Net cash used in financing activities** |  | (10244265) |
| &nbsp;&nbsp;&nbsp;**Net change in cash** | **(18462)** | 16901 |
| &nbsp;&nbsp;&nbsp;**Cash, beginning of period** | **35287** | 79265 |
| &nbsp;&nbsp;&nbsp;**Cash, end of period** | $**16825** | $96166 |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.** 

Condensed Consolidated Interim Statement of Shareholders' Equity

For the nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | <br>**Note** | **Number** **of**<br>**Shares** | **Share Capital**<br>$ | **Reserves**<br>$ | **Accumulated Other Comprehensive Loss**<br>$ | **Accumulated Deficit**<br>$ | **Total Shareholders' Equity**<br>$|
| &nbsp;&nbsp;&nbsp;**Balance, October 31, 2024** |  | **250000** |  |  |  |  | **59320** |
| &nbsp;&nbsp;&nbsp;Net loss for the period |  |  |  |  |  |  | (171283) |
| &nbsp;&nbsp;&nbsp;**Balance, July 31, 2025** |  | **250000** |  |  |  |  | **(111963)** |
| &nbsp;&nbsp;&nbsp;**Balance, October 31, 2023** |  | **3650163** |  |  |  |  | **10868858** |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back | 7 | (3469027) |  |  |  |  | (10198940) |
| &nbsp;&nbsp;&nbsp;Shares issued for cash | 7 | 250000 |  |  |  |  | 30000 |
| &nbsp;&nbsp;&nbsp;Share option cancellation | 7 |  |  |  |  |  | (35325) |
| &nbsp;&nbsp;&nbsp;Shares issued for debt settlement | 7 | 33333 |  |  |  |  | 56000 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation |  |  |  |  |  |  | 5419 |
| &nbsp;&nbsp;&nbsp;Net loss for the period |  |  |  |  |  |  | (436775) |
| &nbsp;&nbsp;&nbsp;Balance, July 31, 2024 |  | **464469** |  |  |  |  | **289237** |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

1. Nature of Operations

WBM Capital Corp. (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July l 0, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 300 - 10991 Shellbridge Way, Vancouver, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Company is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the **"Offer")** to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to l post-consolidation common share. The share consolidation 1s reflected retrospectively in these condensed consolidated interim financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (I) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the **"Stock Split").** The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

2. Going Concern

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

2. Going Concern (continued)

The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable. The Company's accumulated deficit was $7,697,128 at July 31, 2025 (October 31, 2024-$7,525,845) and its cash flow used in operations was $18,462 (October 31, 2024 - $668,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern. These condensed consolidated interim financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the nonnal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

3. Basis of Presentation

**Statement of Compliance**

These condensed consolidated interim financial statements have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") applicable to the preparation of the condensed consolidated interim financial statements, including International Accounting Standards ("IAS 34"), Interim Financial Reporting, as issued by the International Accounting Standards Board ("IASB") and IFRC® Interpretations of the IFRS Interpretations Committee. These disclosures contained in these condensed consolidated interim financial statements do not contain all the requirements of IFRS for annual financial statements and should be read in conjunction with the annual financial statements for the year ended October 31, 2024.

The condensed consolidated interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on September 12, 2025.

**Basis of Presentation**

The condensed consolidated interim financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group.

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The condensed consolidated interim financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

3. Basis of Presentation (continued)

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary** | **Jurisdiction <br> Incorporated** | **Functional <br> Currency** | **Accounting <br> Method/Date of <br> Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | Canada | Canadian dollars | Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | United States | U.S. dollars | Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | New Zealand | New Zealand dollars | Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |

---

4. **Material accounting policies** 

The accounting policies applied by the Company in these unaudited condensed consolidated interim financial statements are the same as those applied by the Company in the audited financial statements for the year ended October 31, 2024.

5. Short-term Investments

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. As at July 31, 2025, the Company recorded interest receivable of $nil (October 31, 2024 - $nil). For the nine months ended July 31, 2025, the Company recorded interest income of $nil (July 31, 2024 - $60,028).

6. Other Receivables

Other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST receivable | $— | $37604 |
|  | $— | $37604 |

---

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

7. Share Capital <br>
Authorized

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. The share consolidation is reflected retrospectively in these condensed consolidated interim financial statements. As at October 31, 2024, the Company had 1 common share outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the **"Stock Split").** The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 3,469,027 common shares of the Company at a price of $2.94 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Issued

The Company did not issue any commons shares for the nine months ended July 31, 2025.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of$1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Stock options

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

**7.** **Share Capital (continued)** 

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the nine months ended July 31, 2025, the Company did not issue any options.

For the nine months ended July 31, 2024, the following activity occurred:

● On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per Share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

For the nine months ended July 31, 2025, and 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average <br> Exercise Price** |
| Outstanding, October 31, 2023 | **220000** | **$5.28** |
| Cancelled | **(220000)** | **($5.28)** |
| **Outstanding, July 31, 2025 and 2024** |  |  |

---

At July 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is detennined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the nine months ended July 31, 2025, $nil (July 31, 2024 - $nil) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

7. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**c) Warrants**

For the nine months ended July 31, 2025, and year ended October 31, 2024, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average Exercise Price** |
| &nbsp;&nbsp;&nbsp;**Outstanding, October 31, 2023** | **577705** | **$7.68** |
| &nbsp;&nbsp;&nbsp;Expired | **(164142)** | **($4.08)** |
| &nbsp;&nbsp;&nbsp;Outstanding October 31, 2024 and July 31, 2025 | **413563** | **$3.60** |

---

As at July 31, 2025, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number**<br> **Outstanding** | **Exercise Price** | **Expiry Date** | **Number**<br> **Exercisable** |
| 233210 | $3.60 | September 20, 2025 | 233210 |
| 56940 | $3.60 | October 12, 2025 | 56940 |
| 123413 | $3.60 | November 30, 2025 | 123413 |
| **413563** |  |  | **413563** |

---

As at July 31, 2025, the weighted average life of warrants outstanding was 0.20 years (October 31, 2024 - 0.95 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

For the nine months ended July 31, 2025, $nil (July 31, 2024 - $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Restricted Share Units ("RSU")

On June 9, 2023, the Company, in conjunction with the closing of the sale ofTiidal NZ, granted 105,000 at $1.92 per restricted share units to the Company's CEO, which immediately vested into 105,000 common shares of the Company.

8. Related Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a) Key management compensation**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

8. Related Party Transactions (continued)

For the nine months ended July 31, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **July 31, 2025** | **July 31, 2024** |
| &nbsp;&nbsp;Management and director fees and salaries | $— | $226500 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $— | $**3724745** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the nine months ended July 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at July 30, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 - $nil) in amounts payable to directors and officers of the Company.

9. General and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three<br> months <br> ended<br> July 31,<br> 2025** | Three<br> months <br> ended<br> July 31,<br> 2024 | **Nine<br> months <br> ended<br> July 31,<br> 2025** | Nine<br> months <br> ended<br> July 31,<br> 2024 |
| Office and miscellaneous | $**—** | $2406 | $**18241** | $37489 |
| Professional fees | $**25423** | $— | **47328** | 193839 |
|  | $**25423** | $2406 | $**65569** | $231328 |

---

10. Capital Management

The Company considers its capital structure to consist of shareholders' equity. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at July 31, 2025.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

10. Capital Management (continued)

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the nine months ended July 31, 2025.

11. Financial Instruments and Risk Management Fair values

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level l);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, is recorded at fair value using level I inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

11. Financial Instruments and Risk Management (continued)

The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $128788 | $60048 |
|  | $**128788** | $60048 |

---

**Interest rate risk**

The Company does not have any significant exposure as at July 31, 2025 and 2024 to interest rate risk through its financial instruments.

12. Qualifying Transaction

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result **in** the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

13. Subsequent event

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero"). Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero.

## Exhibit 99.35

**Exhibit 99.35**

**WBM CAPITAL CORP. <br> MANAGEMENT DISCUSSION & ANALYSIS**

**For the three and nine months ended July 31, 2025, and 2024<br> (Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's condensed consolidated interim financial statements and notes for the three and nine months ended July 31, 2025, and 2024.

The Company's condensed consolidated interim financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Interpretations Committee and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on September 12, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results, and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at July 31, 2025:

---

| | | | |
|:---|:---|:---|:---|
| **Name of subsidiary** | **Jurisdiction <br> Incorporated** | **Functional Currency** | **Accounting <br> Method/Date of<br> Disposal** |
| Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | Canada | Canadian dollars | Dissolved March 14/24 |
| Lazarus Esports Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| Tiidal Gaming Canada Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| Space Esports Inc. | United States | U.S. dollars | Dissolved Feb 26/24 |
| Tiidal Gaming NZ Limited | New Zealand | New Zealand dollars | Until June 8, 2023 |
| 1507651 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507652 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507653 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507655 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510450 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510435 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510441 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |

---

The Company was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) (the "BCBCA") on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 300 – 10991 Shellbridge Way, Richmond, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations and the Company embarked on a strategic review.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, held all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

**Overall Performance**

<u>Financing Transactions</u>

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange (the "CSE") approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss and comprehensive loss for the nine months ended July 31, 2025, was $171,283 (July 31, 2024, $436,775). The decrease in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,697,128 at July 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $18,462 (October 31, 2024 – $688,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| &nbsp;&nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | (238606) | (92481) |
| &nbsp;&nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the three and nine months ended July 31, 2025, and 2024**

*Expenses*

The Company's net loss for the three months ended July 31, 2025, was $129,993, compared to $84,494 for the three months ended July 31, 2024. The increase year over year is driven by accruals relating to professional fees and to adjust for payments and interest relating to HST payments owed. The Company is currently in the process of appealing with the Canadian Revenue Agency (the "CRA"). During the quarter, the Company also wrote-off its remaining input tax credit receivable.

Management fees decreased to $nil for the three months ended July 31, 2025, from $76,234 in the three months ended July 31, 2024. These costs pertained to salaries for officers and directors.

The Company's net loss for the nine months ended July 31, 2025, was $171,283, compared to $436,775 for the nine months ended July 31, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

Management fees decreased to $nil for the nine months ended July 31, 2025, from $278,393 in the nine months ended July 31, 2024. These costs pertained to salaries for officers and directors.

*General and administrative expenses*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> July 31** | **Three months ended<br> July 31** | **Nine months ended<br> July 31** | **Nine months ended<br> July 31** |
| | **2025** | **2024** | **2025** | **2024** |
| Office and miscellaneous | $— | $2406 | $18241 | $37489 |
| Professional fees | 25423 |  | 47328 | 193839 |
|  | $25423 | $2406 | $65569 | $231328 |

---

For the three months ended July 31, 2025, the Company's general and administrative expenses decreased by $2,406 compared to the three-months ended July 31, 2024. The decrease is a result of the Company not having active operations. Professional fees increased by $25,423, year-over-year as a result of audit/tax and legal related costs.

For the nine months ended July 31, 2025, the Company's general and administrative expenses decreased by $19,248. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $146,511 for the nine months ended July 31, 2025, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **July 31,<br> 2025** | **April 30,<br> 2025** | **Jan 31,<br> 2025** | **Oct 31,<br> 2024** |
| &nbsp;&nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;Net income (loss) | (129933) | (4743) | (36607) | (227102) |
| &nbsp;&nbsp;&nbsp;Income (Loss) per share - basic and diluted | 0.52) | 0.02) | 0.07) | 0.57) |
| &nbsp;&nbsp;&nbsp;Weighted average number of shares outstanding | 250000 | 250000 | 500000 | 401527 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **July 31,**<br>**2024** | **April 30,**<br>**2024** | **Jan 31,**<br>**2024** | **Oct 31,**<br>**2023** |
| &nbsp;&nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;Net income (loss) | (84494) | (282503) | (66857) | (220056) |
| &nbsp;&nbsp;&nbsp;Income (loss) per share - basic and diluted | 0.31) | 1.06) | 0.04) | 0.06) |
| &nbsp;&nbsp;&nbsp;Weighted average number of shares outstanding | 271534 | 265608 | 1756525 | 3528916 |

---

**Liquidity and Capital Resources**

As at July 31, 2025, the Company had negative working capital of $111,963 (October 31, 2024 – $59,320), consisting primarily of cash, offset by accounts payable and other liabilities. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023 and has no current operations.

**Cash Flows** 

A summary of cash flows for July 31, 2025, and 2024 is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **2025** | **2024** | **Change** |
| &nbsp;&nbsp;&nbsp;Operating activities | $(18462) | (338834) | 320372 |
| &nbsp;&nbsp;&nbsp;Investing activities |  | 10600000 | (10600000) |
| &nbsp;&nbsp;&nbsp;Financing activities |  | (10244265) | 10244265 |
| &nbsp;&nbsp;&nbsp;Change in cash | $(18462) | 16901 | (35366) |

---

*Operating Activities*

For the nine months ended July 31, 2025, cash flows used in operating activities of $18,462 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses as well as the share issuer bid payment that was made during the period ended.

*Investing Activities*

For the nine months ended July 31, 2025, investing activities consisted of nil.

*Financing Activities*

For the nine months ended July 31, 2025, financing activities consisted of nil.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at July 31, 2025 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the nine months ended July 31, 2025, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **July 31, 2025** | **July 31, 2024** |
| &nbsp;&nbsp;&nbsp;Management and director fees | $— | $226500 |
| &nbsp;&nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $**—** | $**3724745** |

---

For the three and nine months ended July 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at July 31, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 – $nil) in amounts payable to directors and officers of the Company.

**Qualifying Transaction**

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

**Subsequent event**

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero"). Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero.

**Commitments**

As at July 31, 2025, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at July 31, 2025 and 2024, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **July 31,<br> 2025** | **October 31,<br> 2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $128788 | $60048 |
|  | $**128788** | $**60048** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities.

**Interest rate risk**

The Company does not have any significant exposure as at July 31, 2025 and October 31, 2024 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at July 31, 2025:

---

| | | |
|:---|:---|:---|
| | **July 31, <br> 2025** | **September 12,<br> 2025** |
| Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 250000 | 250000 |
| Outstanding common shares | 250000 | 250000 |
| Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 413563 | 413563 |
| Fully diluted total | 663563 | 663563 |

---

As at July 31, 2025, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
| | **Number** | **Weighted Average<br> Exercise Price** |
| Outstanding, October 31, 2023 | **220000** | $**5.28** |
| Cancelled | **(22000)** | **5.28)** |
| **Outstanding, October 31, 2024 and July 31, 2025** | **—** | **—** |

---

At July 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At July 31, 2025, the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | **Expiry Date** | **Number Vested** |
| 233210 | $3.60 | Sept 20, 2025 | 233210 |
| 56940 | $3.60 | Oct 12, 2025 | 56940 |
| 123413 | $3.60 | Nov 30, 2025 | 123413 |
| 413563 |  |  | 413563 |

---

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The BCBCA provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

## Exhibit 99.36

**Exhibit 99.36**

**Form 52-109FV2<br> ***Certification of Interim Filings<br> Venture Issuer Basic Certificate***

I, **Carlo Rigillo, Chief Financial Officer** of **WBM Capital Corp.,** certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of **WBM Capital Corp.** (the "issuer") for the interim period ended **July 31, 2025**.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any
untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement
not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the interim financial report together with
the other financial information included in the interim filings fairly present in all material respects the financial condition,
financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

Date: **September 12, 2025.**

*/s/ Carlo Rigillo*

Carlo Rigillo

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual
filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and
reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.37

**Exhibit 99.37**

**Form 52-109FV2<br> ***Certification of Interim Filings<br> Venture Issuer Basic Certificate***

I, **Carlo Rigillo, Chief Executive Officer of WBM Capital Corp.,** certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of **WBM Capital Corp.** (the "issuer") for the interim period ended **July 31, 2025**.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any
untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement
not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the interim financial report together with
the other financial information included in the interim filings fairly present in all material respects the financial condition,
financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

Date: **September 12, 2025.**

*/s/ Carlo Rigillo*

Carlo Rigillo

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual
filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and
reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.38

**Exhibit 99.38**

WBM CAPITAL CORP.

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

FOR THE THREE AND NINE MONTHS ENDED JULY 31, 2025, AND 2024

(EXPRESSED IN CANADIAN DOLLARS)

(UNAUDITED)

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Financial Position <br> As at July 31, 2025 and October 31, 2024<br> (Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | **Note** | **July 31,<br> 2025** | **October 31,<br> 2024** |
| &nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**16825** | $35287 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 |  | 37604 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  |  | 46477 |
| &nbsp;&nbsp;**Total assets** |  | $**16825** | $119368 |
| &nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;**(DEFICIT)** |  |  |  |
| &nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities |  | $**128788** | $60048 |
| &nbsp;&nbsp;**Total liabilities** |  | **128788** | 60048 |
| &nbsp;&nbsp;**Shareholders'** **equity** (**deficit)** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital | 7 | **733786** | 733786 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves | 7 | **6851379** | 6851379 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7697128)** | (7525845) |
| &nbsp;&nbsp;**Total shareholders' equity (deficit)** |  | **(111963)** | 59320 |
| &nbsp;&nbsp;**Total liabilities and shareholders' equity (deficit)** |  | $**16825** | $119368 |

---

Nature of Operations (Note 1)<br> Going Concern (Note 2)<br> Qualifying transaction (Note 12) <br> Subsequent event (Note 13)

**Approved and Authorized by the Board on October 21, 2025:**

<u> *"Carlo Rigillo"*</u> Director <u>*"Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Net Loss and Comprehensive Loss <br> For the three and nine months ended July 31, 2025 and 2024<br> (Expressed in Canadian Dollars)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended July 31,** | **Three months ended July 31,** | **Nine months ended July 31,** | **Nine months ended July 31,** |
| | <br>**Note** | **2025** | **2024** | **2025** | **2024** |
| **Expenses** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 9 | $**25423** | $2406 | $**65569** | $231328 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  |  |  |  | 2380 |
| &nbsp;&nbsp;&nbsp;&nbsp;Management fees | 8 |  | 76234 |  | 278393 |
| &nbsp;&nbsp;**Loss before other items** |  | **(25423)** | (78640) | **(65569)** | (512101) |
| &nbsp;&nbsp;**Other Items** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt |  |  |  |  | 21265 |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  |  | (5419) |  | (4782) |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits |  | **(37604)** |  | **(37604)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Tax expense |  | **(66329)** |  | **(66329)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income |  |  |  |  | 60028 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **(577)** | (435) | **(1781)** | (1185) |
| &nbsp;&nbsp;**Net loss and Comprehensive loss for the period** |  | $**(129933**) | $(84494) | $**(171283**) | $(436775) |
| &nbsp;&nbsp;Weighted average number of common shares outstanding |  | **250000** | 271534 | **250000** | 779746 |
| &nbsp;&nbsp;Basic and diluted loss per share |  | $**(0.52**) | $(0.31) | $**(0.69**) | $(0.56) |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**<br> Condensed Consolidated Interim Statements of Cash Flows<br> For the nine months ended July 31, 2025 and 2024<br> (Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| | **2025** | **2024** |
| &nbsp;&nbsp;**Operating activities** |  |  |
| &nbsp;&nbsp;Net loss from operations | $**(171283)** | $(436775) |
| &nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accretion expense |  | 750 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on settlement of debt |  | 16000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits | **37604** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange |  | (36) |
| Changes in non-cash working capital items: | Changes in non-cash working capital items: | Changes in non-cash working capital items: |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables |  | 172775 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **46477** | (29391) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **68740** | (62157) |
| &nbsp;&nbsp;**Net** **cash used in operating activities** | **(18462)** | (338834) |
| &nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;Purchase of short-term investment |  | 10600000 |
| &nbsp;&nbsp;**Net** **cash from investing activities** |  | 10600000 |
| &nbsp;&nbsp;**Financing** **activities** |  |  |
| &nbsp;&nbsp;Share issuer buy-back (Note 1) |  | (10198940) |
| &nbsp;&nbsp;Option cancellation payment |  | (35325) |
| &nbsp;&nbsp;Proceeds from share issuance |  | 30000 |
| &nbsp;&nbsp;Repayment of government loan |  | (40000) |
| &nbsp;&nbsp;**Net** **cash used in financing activities** |  | (10244265) |
| &nbsp;&nbsp;**Net** **change in cash** | **(18462)** | 16901 |
| &nbsp;&nbsp;**Cash, beginning of period** | **35287** | 79265 |
| &nbsp;&nbsp;**Cash,** **end of period** | $**16825** | $96166 |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statement of Shareholders' Equity<br> For the nine months ended July 31, 2025 and 2024<br> (Expressed in Canadian Dollars)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Note** | **Number of<br> Shares** | Share Capital<br> $ | **Reserves**<br> $ | **Accumulated<br> Other<br> Comprehensive<br> Loss**<br> $ | **Accumulated<br> Deficit**<br> $ | **Total<br> Shareholders'<br> Equity**<br> $|
| &nbsp;&nbsp;&nbsp;**Balance, October 31, 2024** |  | **250000** | **733786** | **6851379** |  | **(7525845)** | **59320** |
| &nbsp;&nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (171283) | (171283) |
| &nbsp;&nbsp;&nbsp;**Balance, July 31, 2025** |  | **250000** | **733786** | **6851379** |  | **(7697128)** | **(111963)** |
| &nbsp;&nbsp;&nbsp;**Balance, October 31, 2023** |  | **3650163** | **13572500** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back | 7 | (3469027) | (12898978) | 2700038 |  |  | (10198940) |
| &nbsp;&nbsp;&nbsp;Shares issued for cash | 7 | 250000 | 30000 |  |  |  | 30000 |
| &nbsp;&nbsp;&nbsp;Share option cancellation | 7 |  |  | (35325) |  |  | (35325) |
| &nbsp;&nbsp;&nbsp;Shares issued for debt settlement | 7 | 33333 | 56000 |  |  |  | 56000 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | 5419 | 5419 |
| &nbsp;&nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (436775) | (436775) |
| &nbsp;&nbsp;&nbsp;**Balance, July 31, 2024** |  | **464469** | **759522** | **6831379** |  | **(7301664)** | **289237** |

---

 

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

1. Nature
 of Operations

WBM Capital Corp. (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 300 - 10991 Shellbridge Way, Vancouver, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Company is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the **"Offer")** to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these condensed consolidated interim financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655

B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the **"Stock** **Split").** The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

2. Going
 Concern

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

2. Going
 Concern (continued)

The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable. The Company's accumulated deficit was $7,697,128 at July 31, 2025 (October 31, 2024 - $7,525,845) and its cash flow used in operations was $18,462 (October 31, 2024 - $668,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern. These condensed consolidated interim financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

3. Basis
 of Presentation

**Statement of Compliance**

These condensed consolidated interim financial statements have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") applicable to the preparation of the condensed consolidated interim financial statements, including International Accounting Standards ("IAS 34"), Interim Financial Reporting, as issued by the International Accounting Standards Board ("IASB") and IFRC® Interpretations of the IFRS Interpretations Committee. These disclosures contained in these condensed consolidated interim financial statements do not contain all the requirements of IFRS for annual financial statements and should be read in conjunction with the annual financial statements for the year ended October 31, 2024.

The condensed consolidated interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on October 21, 2025.

**Basis of Presentation**

The condensed consolidated interim financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group.

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The condensed consolidated interim financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

3. Basis
 of Presentation (continued)

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction** <br> **Incorporated** | &nbsp;&nbsp;**Functional** <br> **Currency** | &nbsp;&nbsp;**Accounting**<br> **Method/Date of** <br> **Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

**4.** **Material accounting policies** 

The accounting policies applied by the Company in these unaudited condensed consolidated interim financial statements are the same as those applied by the Company in the audited financial statements for the year ended October 31, 2024.

5. Short-term
 Investments

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. As at July 31, 2025, the Company recorded interest receivable of $nil (October 31, 2024-$nil). For the nine months ended July 31, 2025, the Company recorded interest income of $nil (July 31, 2024 - $60,028).

6. Other
 Receivables

Other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **July 31,<br> 2025** | **October 31,<br> 2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST receivable | $- | $37604 |
|  | $- | $37604 |

---

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

7. Share
 Capital <br>
Authorized

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. The share consolidation is reflected retrospectively in these condensed consolidated interim financial statements. As at October 31, 2024, the Company had l common share outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the **"Stock Split").** The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 3,469,027 common shares of the Company at a price of $2.94 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

&nbsp;&nbsp;&nbsp;&nbsp;a) Issued

The Company did not issue any commons shares for the nine months ended July 31, 2025.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of$1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

&nbsp;&nbsp;&nbsp;&nbsp;b) Stock
 options

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

7. **Share Capital (continued)** 

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the nine months ended July 31, 2025, the Company did not issue any options.

For the nine months ended July 31, 2024, the following activity occurred:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• On
 December 15, 2023, the Company in connection with the completed substantial issuer bid
 cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per
 Share for consideration of $0.54 per In-the-Money Option, representing the difference
 between the exercise price of the In-the-Money Options and the purchase price under the
 substantial issuer bid, for aggregate consideration equal to approximately $0.14.

For the nine months ended July 31, 2025, and 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average <br> Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | **220000** | **$5.28** |
| &nbsp;&nbsp;Cancelled | **(220000)** | **($5.28)** |
| &nbsp;&nbsp;**Outstanding, July 31, 2025 and 2024** |  |  |

---

At July 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the nine months ended July 31, 2025, $nil (July 31, 2024 - $nil) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

7. Share
 Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the nine months ended July 31, 2025, and year ended October 31, 2024, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average**<br>**Exercise Price** |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | **577705** | $**7.68** |
| &nbsp;&nbsp;Expired | **(164142)** | **4.08)** |
| &nbsp;&nbsp;Outstanding October 31, 2024 and July 31, 2025 | **413563** | $**3.60** |

---

As at July 31, 2025, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number**<br>**Outstanding**<br>| **Exercise Price** | **Expiry Date** | **Number**<br> **Exercisable**<br>|
| 233210 | $3.60 | September 20, 2025 | 233210 |
| 56940 | $3.60 | October 12, 2025 | 56940 |
| 123413 | $3.60 | November 30, 2025 | 123413 |
| **413563** |  |  | **413563** |

---

As at July 31, 2025, the weighted average life of warrants outstanding was 0.20 years (October 31, 2024 - 0.95 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

For the nine months ended July 31, 2025, $nil (July 31, 2024 - $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;d) Restricted
 Share Units ("RSU")

On June 9, 2023, the Company, in conjunction with the closing of the sale ofTiidal NZ, granted 105,000 at $1.92 per restricted share units to the Company's CEO, which immediately vested into 105,000 common shares of the Company.

8. Related
 Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

8. Related
 Party Transactions (continued)

For the nine months ended July 31, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **July 31, 2025** | **July 31, 2024** |
| &nbsp;&nbsp;Management and director fees and salaries | $- | $226500 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $- | $**3724745** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the nine months ended July 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at July 30, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 - $nil) in amounts payable to directors and officers of the Company.

9. General
 and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three<br> months ended<br> July 31,<br> 2025** | Three<br> months ended<br> July 31,<br> 2024 | **Nine<br> months ended<br> July 31,<br> 2025** | Nine<br> months ended<br> July 31,<br> 2024 |
| &nbsp;&nbsp;Office and miscellaneous | $**-** | $2406 | $**18241** | $37489 |
| &nbsp;&nbsp;Professional fees | $**25423** | $— | **47328** | 193839 |
|  | $**25423** | $2406 | $**65569** | $231328 |

---

10. Capital
 Management

The Company considers its capital structure to consist of shareholders' equity. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at July 31, 2025.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;**10.** **Capital Management (continued)** 

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the nine months ended July 31, 2025.

**11.** **Financial Instruments and Risk Management <br>Fair values** 

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;• Quoted
 prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

&nbsp;&nbsp;&nbsp;&nbsp;• Inputs
 other than quoted prices included in Level 1 that are observable for the asset or liability,
 either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2);
 and

&nbsp;&nbsp;&nbsp;&nbsp;• Inputs
 for the asset or liability that are not based on observable market data (unobservable
 inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, is recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements <br> For the three and nine months ended July 31, 2025 and 2024 <br> (Expressed in Canadian Dollars)

11. Financial
 Instruments and Risk Management (continued)

The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis ofliabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br>**2025** | **October 31,**<br>**2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $128788 | $60048 |
|  | $**128788** | $60048 |

---

**Interest rate risk**

The Company does not have any significant exposure as at July 31, 2025 and 2024 to interest rate risk through its financial instruments.

12. Qualifying
 Transaction

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

13. Subsequent
 event

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero"). Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero.

## Exhibit 99.39

**Exhibit 99.39**

**FORM 52-109F2R**

**CERTIFICATION OF REFILED INTERIM FILINGS**

This certificate is being filed on the same date that WBM Capital Corp. (the "**issuer**") has refiled the interim financial statements and interim management discussion and analysis for the three and nine months ended July 31, 2025.

I, **Carlo Rigillo, Chief Financial Officer** of **WBM Capital Corp.,** certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of the
issuer for the interim period ended July 31, 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any
untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement
not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3.  ***Fair presentation:*** ed on my knowledge, having exercised reasonable diligence, the interim financial statements together with
the other financial information included in the interim filings fairly present in all material respects the financial conditions,
results of operations and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

Date: **October 23, 2025.**

*/s/ Carlo Rigillo*

Carlo Rigillo

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.40

**Exhibit 99.40**

**FORM 52-109F2R**

**CERTIFICATION OF REFILED INTERIM FILINGS**

This certificate is being filed on the same date that WBM Capital Corp. (the "**issuer**") has refiled the interim financial statements and interim management discussion and analysis for the three and nine months ended July 31, 2025.

I, **Carlo Rigillo, Chief Executive Officer** of **WBM Capital Corp.,** certify the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together,
 the "interim filings") of the issuer for the interim period ended July 31,
 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence,
 the interim filings do not contain any untrue statement of a material fact or omit to
 state a material fact required to be stated or that is necessary to make a statement
 not misleading in light of the circumstances under which it was made, with respect to
 the period covered by the interim filings.

3.  ***Fair presentation:*** ed on my knowledge, having exercised reasonable diligence, the
 interim financial statements together with the other financial information included in
 the interim filings fairly present in all material respects the financial conditions,
 results of operations and cash flows of the issuer, as of the date of and for the periods
 presented in the interim filings.

Date: **October 23, 2025.**

*/s/ Carlo Rigillo*

Carlo Rigillo

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

&nbsp;&nbsp;&nbsp;&nbsp;i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.41

**Exhibit 99.41**

**WBM CAPITAL CORP.**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the three and nine months ended July 31, 2025, and 2024**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's condensed consolidated interim financial statements and notes for the three and nine months ended July 31, 2025, and 2024.

The Company's condensed consolidated interim financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Interpretations Committee and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on October 21, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results, and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at July 31, 2025:

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;**Name of subsidiary** | <br>&nbsp;&nbsp;**Jurisdiction**<br>&nbsp;&nbsp;**Incorporated** | <br>&nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting**<br>&nbsp;&nbsp;**Method/Date of**<br>&nbsp;&nbsp;**Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

The Company was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) (the "BCBCA") on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 300 – 10991 Shellbridge Way, Richmond, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations and the Company embarked on a strategic review.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, held all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

**Overall Performance**

<u>Financing Transactions</u>

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange (the "CSE") approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss and comprehensive loss for the nine months ended July 31, 2025, was $171,283 (July 31, 2024, $436,775). The decrease in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,697,128 at July 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $18,462 (October 31, 2024 – $338,834). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| Basic and diluted comprehensive income (loss) | Basic and diluted comprehensive income (loss) | Basic and diluted comprehensive income (loss) |
| &nbsp;&nbsp;&nbsp;per share | (238606) | (92481) |
| &nbsp;&nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the three and nine months ended July 31, 2025, and 2024**

*Expenses*

The Company's net loss for the three months ended July 31, 2025, was $129,993, compared to $84,494 for the three months ended July 31, 2024. The increase year over year is driven by accruals relating to professional fees and to adjust for payments and interest relating to HST payments owed. The Company is currently in the process of appealing with the Canadian Revenue Agency (the "CRA"). During the quarter, the Company also wrote-off its remaining input tax credit receivable.

Management fees decreased to $nil for the three months ended July 31, 2025, from $76,234 in the three months ended July 31, 2024. These costs pertained to salaries for officers and directors.

The Company's net loss for the nine months ended July 31, 2025, was $171,283, compared to $436,775 for the nine months ended July 31, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

Management fees decreased to $nil for the nine months ended July 31, 2025, from $278,393 in the nine months ended July 31, 2024. These costs pertained to salaries for officers and directors.

*General and administrative expenses*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months** | **Three months** | **Nine months ended** | **Nine months ended** |
|  | **ended July 31** | **ended July 31** | **July 31** | **July 31** |
|  | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;Office and miscellaneous | $— | $2406 | $18241 | $37489 |
| &nbsp;&nbsp;Professional fees | 25423 |  | 47328 | 193839 |
|  | $25423 | $2406 | $65569 | $231328 |

---

For the three months ended July 31, 2025, the Company's general and administrative expenses decreased by $2,406 compared to the three-months ended July 31, 2024. The decrease is a result of the Company not having active operations. Professional fees increased by $25,423, year-over-year as a result of audit/tax and legal related costs.

For the nine months ended July 31, 2025, the Company's general and administrative expenses decreased by $19,248. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $146,511 for the nine months ended July 31, 2025, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **July 31,**<br> **2025** | **April 30,**<br> **2025** | **Jan 31,**<br>**2025** | **Oct 31,**<br>**2024** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (129933) | (4743) | (36607) | (227102) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | 0.52) | 0.02) | 0.07) | 0.57) |
| &nbsp;&nbsp;Weighted average number of shares outstanding  | 250000 | 250000 | 500000 | 401527 |
|  | **July 31,** | **April 30,** | **Jan 31,** | **Oct 31,** |
|  | **2024** | **2024** | **2024** | **2023** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (84494) | (282503) | (66857) | (220056) |
| &nbsp;&nbsp;Income (loss) per share - basic and diluted | 0.31) | 1.06) | 0.04) | 0.06) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 271534 | 265608 | 1756525 | 3528916 |

---

**Liquidity and Capital Resources**

As at July 31, 2025, the Company had negative working capital of $111,963 (October 31, 2024 – $59,320), consisting primarily of cash, offset by accounts payable and other liabilities. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023 and has no current operations.

**Cash Flows**

A summary of cash flows for July 31, 2025, and 2024 is as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **2025** | **2024** | **Change** |
| &nbsp;&nbsp;&nbsp;Operating activities | $(18462) | (338834) | 320372 |
| &nbsp;&nbsp;&nbsp;Investing activities |  | 10600000 | (10600000) |
| &nbsp;&nbsp;&nbsp;Financing activities |  | (10244265) | 10244265 |
| &nbsp;&nbsp;&nbsp;Change in cash | $(18462) | 16901 | (35366) |

---

*Operating Activities*

For the nine months ended July 31, 2025, cash flows used in operating activities of $18,462 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses.

*Investing Activities*

For the nine months ended July 31, 2025, investing activities consisted of nil.

*Financing Activities*

For the nine months ended July 31, 2025, financing activities consisted of nil.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at July 31, 2025 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the nine months ended July 31, 2025, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **July 31, 2025** | **July 31, 2024** |
| Management and director fees | $— | $226500 |
| Payments made under the share buy back |  | 3498245 |
|  | $— | $3724745 |

---

For the three and nine months ended July 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at July 31, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 – $nil) in amounts payable to directors and officers of the Company.

**Qualifying Transaction**

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

**Subsequent event**

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero") dated August 21, 2025. Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero.

**Commitments**

As at July 31, 2025, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments Fair values**

**Fair values** 

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash is recorded at fair value using Level 1 inputs. The fair values of accounts payable and other liabilities approximate carrying value due to their short-term nature.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $128788 | $60048 |
|  | $**128788** | $60048 |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities.

**Interest rate risk**

The Company does not have any significant exposure as at July 31, 2025 and October 31, 2024 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at July 31, 2025:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br> **2025** | **October 21,**<br> **2025** |
| Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 250000 | 250000 |
| Outstanding common shares | 250000 | 250000 |
| Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 413563 | 413563 |
| Fully diluted total | 663563 | 663563 |

---

As at July 31, 2025, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average <br> Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | **220000** | $**5.28** |
| &nbsp;&nbsp;Cancelled | **(22000)** | **5.28)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024 and July 31, 2025**  | **—** | **—** |

---

At July 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At July 31, 2025, the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | &nbsp;&nbsp;&nbsp;&nbsp;**Expiry Date** | **Number Vested** |
| 233210 | $3.60 | &nbsp;&nbsp;&nbsp;&nbsp;Sept 20, 2025 | 233210 |
| 56940 | $3.60 | &nbsp;&nbsp;&nbsp;&nbsp;Oct 12, 2025 | 56940 |
| 123413 | $3.60 | &nbsp;&nbsp;&nbsp;&nbsp;Nov 30, 2025 | 123413 |
| 413563 |  |  | 413563 |

---

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The BCBCA provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

## Exhibit 99.42

**Exhibit 99.42**

**Bitzero Blockchain Inc. and WBM Capital Corp. Announce Receipt of Conditional <br> Approval for CSE Listing**

*Not for distribution to United States newswire services or for release publication, distribution, or dissemination directly, or indirectly, in whole or in part, in or into the United States.*

Vancouver, British Columbia, November 16, 2025 – WBM Capital Corp. (the "**Company**" or "**WBM**") and Bitzero Blockchain Inc. ("**Bitzero**") are pleased to announce that they have obtained conditional approval from the Canadian Securities Exchange (the "**CSE**") for the listing of the voting shares of WBM that will result from the previously announced reverse takeover ("**RTO**") of WBM by Bitzero.

In connection with the RTO, Bitzero will amalgamate with a wholly-owned subsidiary of WBM, all of the outstanding shares of Bitzero will be exchanged for shares of WBM, and WBM will change its name to "Bitzero Holdings Inc."

Final approval from the CSE is subject to WBM and Bitzero meeting certain conditions required by the CSE, which includes completion of the RTO. Upon receipt of final approval, it is expected that Bitzero Holdings Inc. will commence trading of its voting shares on the CSE under the ticker symbol "BITZ". Further press releases will announce the closing and the date on which trading will commence.

**For more information please contact:**

**WBM Capital Corp.** 

Carlo Rigillo

Chief Executive Officer

T: 647-400-4794

E: carlo.rigillo@gmail.com

**Bitzero Blockchain Inc.** 

Mohammed Salah Bakhashwain

Chief Executive Officer

T: +44 745 412 4445

E: mohammed@bitzero.com

**About WBM Capital Corp.**

WBM is a British Columbia corporation that is a reporting issuer under the securities laws of British Columbia, Alberta and Ontario. WBM has no material assets and does not conduct any operations or active business, other than the identification and evaluation of acquisition opportunities to permit the Company to acquire a business or assets in order to conduct commercial operations.

**About Bitzero Blockchain Inc.**

**Forward-Looking Information and Statements**

*This news release contains "forward-looking information" within the meaning of applicable securities laws relating to the proposal to complete the RTO, listing on the CSE and associated transactions. Any such forward-looking statements may be identified by words such as "expects", "anticipates", "intends", "contemplates", "believes", "projects", "plans" and similar expressions. Readers are cautioned not to place undue reliance on forward-looking statements. Statements about, among other things, the expected terms of the RTO, Bitzero's strategic plans and the parties' ability to satisfy closing conditions and receive necessary approvals in order to complete the RTO and associated transactions are all forward-looking information. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management's reasonable assumptions, there can be no assurance that the RTO transaction will occur or that, if they do occur, they will be completed on the terms described above. WBM and Bitzero assume no responsibility to update or revise forward-looking information to reflect new events or circumstances or actual results unless required by applicable law.*

## Exhibit 99.43

**Exhibit 99.43**

**Bitzero Holdings Inc. (Formerly WBM Capital Corp.) Announces Closing of Reverse Takeover Transaction and Conditional Approval to List on the Canadian Securities Exchange**

**The Resulting Issuer Voting Shares are expected to commence trading on the CSE under symbol "BITZ" on or about November 24, 2025, subject to final approval by the CSE.**

Vancouver, British Columbia--(Newsfile Corp. - November 19, 2025) - Bitzero Holdings Inc. (formerly, WBM Capital Corp.) ("**Bitzero Holdings**" or the "**Company**") is pleased to announce that it has closed its previously announced reverse takeover transaction (the "**Transaction**") with Bitzero Blockchain Inc. ("**Bitzero**").

Prior to closing the Transaction, the issued and outstanding common shares of the Company were reclassified (the "**Resulting Issuer Voting Shares**"), and a new class of non-voting common shares was created (the "**Resulting Issuer Non-Voting Shares**").

As part of the Transaction:

● The Company changed its name from "WBM Capital Corp." to "Bitzero Holdings Inc." following an amalgamation with its wholly-owned subsidiary, Bitzero Holdings Inc. (the "**Naming Subco** ");

● The Company completed the acquisition of all issued and outstanding securities of Bitzero in exchange for securities of the Company, by way of a three-cornered amalgamation;

● The board of directors and management of the Company were reconstituted to consist of nominees of Bitzero;

● The Company adopted a new omnibus incentive plan and shareholder rights plan;

● The Company completed the settlement of certain indebtedness as described in the Company's listing statement dated November 19, 2025 and described below in this news release as the Debt Settlement (as defined herein).

Conditional approval has been granted by the Canadian Securities Exchange ("**CSE**") to list the Resulting Issuer Voting Shares of the Company under the ticker symbol "BITZ", subject to the satisfaction of the CSE's final listing requirements. The Company will issue a further press release announcing the anticipated trading date. The Company has filed its CSE Form 2A - Listing Statement dated November 19, 2025 (the "**Listing Statement**") on its SEDAR+ profile at <u>www.sedarplus.ca</u>.

**Transaction Details**

The Transaction was completed by way of a three-cornered amalgamation, pursuant to which 1555476 B.C. Ltd. ("**BC Subco**") a wholly-owned subsidiary of the Company amalgamated with Bitzero to form a newly amalgamated entity ("**BC Amalco**"), which became a wholly-owned subsidiary of the Company.

Holders of Bitzero's voting common shares became holders of Resulting Issuer Voting Shares on the basis of 10 Bitzero voting common shares for one Resulting Issuer Voting Share and 10 Bitzero non-voting common shares for one Resulting Issuer Non-Voting Share.

Prior to closing the Transaction, the Company and Naming Subco amalgamated pursuant to the laws of the Province of British Columbia, and the Company adopted the name of the Naming Subco. Following closing, the Company carries on the business of Bitzero under the name "Bitzero Holdings Inc.".

The Company expects the Resulting Issuer Voting Shares to commence trading on the CSE under the symbol "BITZ", on or about November 24, 2025, subject to final approval of the CSE.

**Management and Board of Directors**

Upon closing, the board of directors of the Company consists of: Mohammed Bakhashwain, Giovanni Gaudenzi, Claudia Di Iorio, and Gilles Seguin.

The executive management team includes Mohammed Bakhashwain (CEO), Igor Kostioutchenko (CFO), Giovanni Gaudenzi (Head of Finance), and Gilles Seguin (Corporate Secretary & Chairman).

**Resulting Issuer Auditor and Transfer Agent**

In connection with the closing of the Transaction, SRCO Professional Corporation, the current auditor of Bitzero, will become the Company's auditor. Odyssey Trust Company will continue as the Company's transfer agent.

**Escrowed Securities**

Certain securities are subject to escrow and contractual lock-up restrictions in accordance with applicable securities laws and the policies of the CSE. The directors, officers, and promoters of the Company, as a group, directly or indirectly beneficially own 6,332,717 Resulting Issuer Voting Shares, representing approximately 12.73% of the issued and outstanding Resulting Issuer Voting Shares on an undiluted basis. For further information regarding the capitalization of the Company, please refer to the Listing Statement.

**Early Warning Disclosure**

Triforce Ventures S.A. ("**Triforce**") has filed an Early Warning Report ("**EWR**") under National Instrument 62-103 - *The Early Warning System and Related Take-Over Bid and Insider Reporting Issues*, disclosing its holdings in the Company.

Immediately prior to the completion of the Debt Settlement (as defined herein), Triforce held 249,999 Resulting Issuer Voting Shares, representing 99.99% of the Resulting Issuer Voting Shares. Immediately prior to the closing of the Transaction, the Company completed a settlement of C$205,647.70 in debt via issuing shares of its wholly-owned subsidiary (the "**Debt Settlement**"), which were subsequently exchanged for an aggregate of 4,112,954 Resulting Issuer Voting Shares pursuant to a three-cornered amalgamation. Triforce received these Resulting Issuer Voting Shares, which constitutes a 'related party transaction' under Multilateral Instrument 61-101 *- Protection of Minority Security Holders in Special Transactions* ("**MI 61-101**"). The Company is relying on exemptions from the formal valuation and minority approval requirements of MI 61-101 available under, respectively, sections 5.5(b) and 5.7(1)(g). A material change report will be filed but was not filed 21 days prior to closing as the Company determined it was necessary to complete this transaction on an expedited basis for sound business reasons.

Following the completion of the Debt Settlement, Triforce holds 4,362,953 Resulting Issuer Voting Shares, representing approximately 99.99% of the issued and outstanding Resulting Issuer Voting Shares, prior to giving effect to the Transaction.

Following the Debt Settlement and closing of the Transaction, Triforce holds 4,362,953 Resulting Issuer Voting Shares, representing approximately 8.769% of the issued and outstanding Resulting Issuer Voting Shares on an undiluted basis, and approximately 7.23% on a fully diluted basis. As a result of the Transaction, Triforce is no longer a reporting insider of the Company.

The securities were acquired in connection with the completion of the Debt Settlement.

Triforce acquired the Resulting Issuer Voting Shares for investment purposes and may, depending on market conditions and other factors, increase or decrease its beneficial ownership or control over securities of the Company in the future, and is considering the disposition of Resulting Issuer Voting Shares which may be completed by way of private agreements or the facilities of the CSE following the listing of the Resulting Issuer Voting Shares on the CSE.

A copy of the EWR filed by Triforce is available under the Company's profile on SEDAR+ at <u>www.sedarplus.ca</u> or may be obtained by contacting Triforce at <u>rdh@canaliscapital.com</u>.

**Regulatory Statements:**

Investors are cautioned that, except as disclosed in the Listing Statement prepared in connection with the Transaction, any information released or received with respect to the Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of the Company should be considered highly speculative.

The CSE has in no way passed upon the merits of the Transaction and has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

The securities of the Company have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirement. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

**About Bitzero Holdings Inc.**

**Investor Contact:**

Mohammed Bakhashwain, CEO

Email: <u>investors@bitzero.com</u>

Tel: +44 77 7303 0394

**Forward-Looking Information**

*This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws. Forward-looking information includes, but is not limited to, statements regarding the expected timing and completion of listing on the CSE, the commencement of trading under the symbol "BITZ," the Company's business plans and objectives, the deployment of available funds, the development and operation of data centers and Bitcoin mining facilities in Norway and Finland, the anticipated use of proceeds, the composition of the board and management, and other statements regarding future events or performance.*

*Forward-looking information is based on management's reasonable assumptions, including assumptions regarding the receipt of final CSE approval on anticipated timelines, the availability and cost of hydroelectric power and mining equipment, the Company's ability to execute its business strategy, the price and network difficulty of Bitcoin, the ability to attract and retain key personnel, and the absence of material adverse changes in applicable laws or regulations.*

*Forward-looking information is subject to a variety of risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such information. These risks include, but are not limited to: the risk that final CSE approval is not obtained on the anticipated timeline or at all; risks inherent in IT infrastructure and cryptocurrency mining businesses; fluctuations in power costs, Bitcoin prices, and network difficulty; reliance on key personnel; risks related to insurance, litigation, and regulatory compliance; risks associated with the Company's limited operating history and growth management; and other risks described under "Risk Factors" in the Company's Listing Statement available on SEDAR+ at <u>www.sedarplus.ca</u>.*

*Readers are cautioned not to place undue reliance on forward-looking information. The Company undertakes no obligation to update any forward-looking statements, except as required by applicable law.*

**NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES**

To view the source version of this press release, please visit

<u>https://www.newsfilecorp.com/release/275256</u>

## Exhibit 99.44

**Exhibit 99.44**

*No securities regulatory authority has expressed an opinion about these securities, and it is an offence to claim otherwise.*

**BITZERO HOLDINGS INC.**

**CSE FORM 2A**

**LISTING STATEMENT**

**In connection with the listing of Bitzero Holdings Inc., the entity resulting from the reverse takeover of WBM Capital Corp.**

**Dated as of November 19, 2025**

**NOTICE TO READER**

**This Listing Statement is intended to provide full, true and plain disclosure about Bitzero (as defined herein), WBM (as defined herein), and the Resulting Issuer (as defined herein). It is not, and is not to be construed as, a prospectus. It has not been reviewed by a securities regulatory authority and no securities are being sold or qualified for distribution by the filing of this Listing Statement.**

**Bitzero and the Resulting Issuer's primary business is Bitcoin mining, data center development and providing hosting services. The business and the Transaction (as defined herein) have inherent risks and uncertainties including technology risks, the inability to meet regulatory requirements, the volatility in cryptocurrency markets, and cybersecurity risks. An investment in Bitzero and the Resulting Issuer's securities should be considered highly speculative due to the nature of its present stage of development and such an investment should only be made by knowledgeable and sophisticated investors who are willing to risk and can afford the loss of their entire investment and who are able to understand the unique nature and risks associated with the Resulting Issuer's proposed business. Potential investors should consult with their professional advisors to assess an investment in Bitzero or the Resulting Issuer. In evaluating Bitzero, the Resulting Issuer and its business, investors should carefully consider, in addition to other information contained in this Listing Statement, the risk factors disclosed herein. These risk factors are not a definitive list of all risk factors associated with an investment in Bitzero or the Resulting Issuer.**

**TABLE OF CONTENTS**

**1.** **GLOSSARY OF TERMS** **4** 

**2.** **SUMMARY** **17** 

**3.** **CORPORATE STRUCTURE** **22** 

3.1. Corporate Name and Head and Registered Office 22

3.2. Incorporation 22

(i) Barbadian Subsidiary 24

(ii) ND I, LLC 24

(iii) ND II, LLC 24

(iv) Exanorth 24

(v) Zetanorth 25

(vi) Bitzero Finland Oy 25

**4.** **GENERAL DEVELOPMENT OF THE BUSINESS** **25** 

4.1. General Development 25

(i) WBM 25

(ii) Bitzero & Subsidiaries 27

4.2. The Transaction 44

4.3. Shareholder Rights Plan 46

**5.** **NARRATIVE DESCRIPTION OF THE BUSINESS** **50** 

5.1. Overview: Bitzero & Principal Markets 50

5.2. Products and Services 51

(i) Bitzero's Current Data Centers & Properties 51

(ii) Bitcoin Mining Operations 53

(iii) Hosting Partnerships 55

(iv) New Data Centers 56

5.3. Employees 56

5.4. Specialized Skill and Knowledge 56

5.5. Competitive Conditions 57

5.6. Intellectual Property 60

5.7. Custody of Crypto Assets 60

5.8. ESG Policies 61

5.9 Total Funds Available and Principal Purposes 61

5.10 Stated Business Objectives and Milestones 64

**6.** **SELECTED CONSOLIDATED FINANCIAL INFORMATION** **66** 

6.1 WBM 66

6.2 Bitzero 66

---

| | | |
|:---|:---|:---|
| **7.** | **MANAGEMENT'S DISCUSSION AND ANALYSIS** | **67** |
| **8.** | **MARKET FOR SECURITIES** | **67** |
| **9.** | **CONSOLIDATED CAPITALIZATION** | **67** |
| **10.** | **OPTIONS AND OTHER RIGHTS TO PURCHASE SECURITIES** | **70** |
| **11.** | **DESCRIPTION OF THE SECURITIES** | **77** |
| **12.** | **PRINCIPAL SECURITYHOLDERS** | **86** |
| **13.** | **DIRECTORS AND OFFICERS** | **87** |
| **14.** | **EXECUTIVE COMPENSATION** | **92** |
| **15.** | **ESCROW SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL RESTRICTIONS ON TRANSFER** | **97** |
| **16.** | **INDEBTEDNESS OF DIRECTORS AND EXECUTIVE OFFICERS** | **98** |
| **17.** | **RISK FACTORS** | **98** |
| **18.** | **PROMOTERS** | **108** |
| **19.** | **LEGAL PROCEEDINGS** | **108** |
| **20.** | **INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS** | **109** |
| **21.** | **AUDITORS, TRANSFER AGENTS AND REGISTRARS** | **109** |
| **22.** | **MATERIAL CONTRACTS** | **109** |
| **23.** | **INTEREST OF EXPERTS** | **110** |
| **24.** | **OTHER MATERIAL FACTS** | **110** |
| **25.** | **FINANCIAL STATEMENTS** | **110** |
| **26.** | **CERTIFICATE OF THE RESULTING ISSUER** | **112** |
| **27.** | **CERTIFICATE OF THE PROMOTER** | **113** |
| **SCHEDULE "A" - FINANCIAL STATEMENTS OF WBM** | **SCHEDULE "A" - FINANCIAL STATEMENTS OF WBM** | **114** |
| **SCHEDULE "B" - FINANCIAL STATEMENTS OF BITZERO** | **SCHEDULE "B" - FINANCIAL STATEMENTS OF BITZERO** | **213** |
| **SCHEDULE "C" - PRO FORMA FINANCIAL STATEMENTS** | **SCHEDULE "C" - PRO FORMA FINANCIAL STATEMENTS** | **293** |
| **SCHEDULE "D" MD&A OF WBM** | **SCHEDULE "D" MD&A OF WBM** | **307** |
| **SHCEDULE "E" MD&A OF BITZERO** | **SHCEDULE "E" MD&A OF BITZERO** | **343** |
| **SCHEDULE "F" - OMNIBUS INCENTIVE PLAN** | **SCHEDULE "F" - OMNIBUS INCENTIVE PLAN** | **415** |
| **SCHEDULE 'G' - AUDIT COMMITTEE CHARTER** | **SCHEDULE 'G' - AUDIT COMMITTEE CHARTER** | **457** |
| **SCHEDULE "H" - SHAREHOLDER RIGHTS PLAN** | **SCHEDULE "H" - SHAREHOLDER RIGHTS PLAN** | **466** |

---

1. GLOSSARY OF TERMS

The following is a glossary of certain general terms used in this Listing Statement including the summary hereof. Terms and abbreviations used in the financial statements included in or appended to this Listing Statement are defined separately and the terms and abbreviations defined below are not used therein, except where otherwise indicated. Words importing the singular, where the context requires, include the plural and vice versa and words importing any gender include all genders.

"**Aadnevik Consulting Agreement**" has the meaning ascribed it under Section 4 – *General Development of the Business*;

"**Aadnevik Invest**" means Aadnevik Invest AS, organization number 921 091 834, being a company incorporated under the laws of Norway and wholly-owned by Frank Aadnevik;

"**Active Capacity**" means useable or immediately available capacity of a system, measured in MW;

"**Affiliate**" has the meaning ascribed to it in the BCBCA;

"**Arcane Servers**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Arcane**" means Arcane Green Data Services AS, org. nr. 925401749, a company incorporated under the laws of Norway;

"**ASIC**" application-specific integrated circuits;

"**Associate**" has the meaning ascribed to it in the BCBCA;

"**Barbadian Subsidiary**" means "Bitzero Inc." a wholly-owned subsidiary of Bitzero incorporated under the laws of Barbados;

"**Barbadian-Exanorth Data Services Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**BCBCA**" means the *Business Corporations Act* (British Columbia);

"**Bitcoin**" is a cryptocurrency that operates on a decentralized ledger system called a Blockchain;

"**Bitzero 2024 Financing**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Bitzero 2025 Financing**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Bitzero Board**" means the board of directors of Bitzero;

"**Bitzero Convertible Note Financing**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Bitzero Convertible Note**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Bitzero Finland**" means Bitzero Finland Oy, a wholly-owned subsidiary of Bitzero incorporated under the laws of Finland;

"**Bitzero Non-Voting Shares**" means non-voting shares in the capital of Bitzero;

"**Bitzero Options**" means options to purchase Bitzero Shares;

"**Bitzero Shares**" means the common shares in the capital of Bitzero;

"**Bitzero**" means Bitzero Blockchain Inc.;

"**Block Reward**" is the total amount of Bitcoins awarded to the miner or pool that found a given Bitcoin block, and consists of a combination of Block Subsidy and Transaction Fees;

"**Block Subsidy**" is the amount of newly minted Bitcoins in each block as fixed by the Bitcoin protocol;

"**Blockchain**" means a decentralized digital ledger that enables secure, transparent, and immutable transactions;

"**Business Day**" means a day, other than a Saturday or Sunday, on which Canadian chartered banks are open for the transaction of business in Toronto, Ontario and Vancouver, British Columbia;

"**C&W Agency Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Cashless Exercise**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Cavalier County Job Development Authority**" means the economic development agency for Cavalier County in North Dakota;

"**Chamandy Litigation**" has the meaning ascribed to it under Section 19 – *Legal Proceedings*;

"**Chamandy Loan**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Chamandy**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Closing**" means the closing of the Transaction on the Effective Date;

"**Commencement Date**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Effective Date**" means the closing date of the Transaction;

"**Effective Time**" means the time on the Effective Date that the Transaction becomes effective;

"**Energy Provider Power Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Energy Provider**" means a company providing energy solutions in the Nordics;

"**Escrowed Securities**" has the meaning ascribed to it under Section 15 – *Escrow Securities and Securities Subject to Contractual Restrictions on Transfer*;

"**Escrowed Securityholders**" means certain securityholders of the Resulting Issuer subject to the Security Escrow Agreement;

"**ESG**" means environmental, social and governance;

"**Exakraft**" means Exakraft AS, a Norwegian private limited company;

"**Exanorth Master Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Exanorth Option**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Exanorth Shares**" means common shares in the capital of Exanorth;

"**Exanorth SPA**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Exanorth**" means Exanorth AS, a Norwegian private limited company, being a wholly-owned subsidiary of Bitzero;

"**Exanorth-Arcane Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Exanorth-Arcane Settlement Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Exchange**" means the Canadian Securities Exchange;

"**FAR**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**FAR Conditions**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**FAR Convertible Note**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**FAR Transformer Sales Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**FinCo Shares**" means common shares in the capital of WBM FinCo;

"**Finland Option Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

**"Finland Preliminary Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Finland Purchase Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Finland Real Estate I**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Finland Real Estate II**" means the 95,000 square meters of land in Kokemäki, Finland;

"**Finland Real Estate III**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Finder Shares**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**First Norway Property Declaration of Transport**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**First Norway Property**" means the 43,000 square meters of land on Kjelmo Statskog in Namsskogan, Norway that is owned by Exanorth;

"**Flexibility Provider**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Flexibility Services Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Floor**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**FOFI**" has the meaning ascribed to it under "*Future-Oriented Information and Financial Outlook Information*";

"**Forward-looking information**" has the meaning ascribed to it under the subheading titled "*Cautionary Note Regarding Forward-Looking Information"*;

"**G75 Management Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Gaudenzi Employment Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Hashrate**" refers to the measure of the overall computing power that miners use to produce new digital coins on a cryptocurrency network;

"**HPC**" means high-performance computing, a technology that uses clusters of powerful processes that work in parallel to process multidimensional data sets and solve complex problems at high speeds;

"**Inactive Capacity**" means the portion of MW that are available but is not currently being utilized or is unavailable for use;

"**Incumbent Board**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**IT**" means information technology;

"**JGB First Draw Conversion Amount**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB First Draw**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB First Ratchet Issuance**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB First Warrants**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB Loan Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB Second Draw Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB Second Draw**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB Second Ratchet Issuance**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB Second Warrants**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**JGB Warrants**" means the JGB First Warrants and the JGB Second Warrants;

"**K&P Services Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**K33 Markets TCA**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**K33 Markets**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Key Bitzero Shareholders**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Kilmacloud SPA**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Klimacloud**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Letter Agreement**" has the meaning ascribed to it in Section 4.2 – *The Transaction*;

"**Listing Date**" means the first date upon which any security of the Resulting Issuer is listed by the Exchange;

"**Listing Statement**" means this Listing Statement dated November 19, 2025, together with the schedules hereto;

"**Luxor Mining Pool**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Luxor Services Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Luxor Software**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Luxor**" means Luxor Technology Corporation, a company incorporated under the laws of the State of Delaware;

"**Market Price**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Mining Pool**" means a joint group of cryptocurrency miners who combine their computational resources over a network. Individually, participants in a mining pool contribute their processing power toward the effort of finding a block. This does not include Hashrate based exchanges or Hashrate contracts;

"**MW**" means a megawatt;

"**Name Change**" the change of WBM's name to "Bitzero Holdings Inc.";

"**ND I, Limited Option Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**ND I, LLC**" means Bitzero ND I, LLC corporation formed under the laws of North Dakota, USA, being a wholly-owned subsidiary of Bitzero;

"**ND II, LLC**" means Bitzero ND II, LLC, a corporation formed under the laws of North Dakota, USA, being a wholly-owned subsidiary of Bitzero;

"**Nekoma Pyramid**" means the Stanley R. Mickelson Safeguard Complex, renamed the Nekoma Pyramid, a non-operational data center located on the North Dakota Property;

"**NEOs**" has the meaning ascribed to it under Section 14 – *Executive Compensation*;

"**NI 52-110**" means National Instrument 52-110 – *Audit Committees*;

"**NI 62-104**" means National Instrument 62-104 – *Take Over Bids and Issuer Bids*;

"**NO4**" means a northern Norway bidding area;

"**NOK**" means the Norwegian Krone;

"**North Dakota Property Ancillaries**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**North Dakota Property Purchase Agreement**" has the meaning ascribed to it under Section 5 – *Narrative Description of the Business*;

"**North Dakota Property**" means, the piece of land located on 81<sup>st</sup> Street, Nekoma, County of Cavalier, and State of North Dakota;

"**Norway Data Center**" means the data center located on the First Norway Property;

"**OBCA**" means the *Business Corporations Act* (Ontario);

"**OKAG Investment**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**OKAG Investor Rights Agreement**" has the meaning ascribed it under Section 4 – *General Development of the Business*;

"**OKAG Letter Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**OKAG Pre-Emptive Rights Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**OKAG Voting Agreement**" has the meaning ascribed it under Section 4 – *General Development of the Business*;

"**OKAG**" means Omar Kassem Alesayi Holding Group;

"**Omnibus Incentive Plan**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Original Exanorth Hosting Agreements**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Person**" means any individual, corporation, company, partnership, unincorporated association, trust, joint venture, governmental body or any other legal entity whatsoever;

"**Phoenix Asset Purchase Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Phoenix Commitment Letter**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Phoenix**" means Phoenix World Electronics LLC;

"**PSU Service Year**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Resulting Issuer Board Nominees**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Resulting Issuer Board**" means the board of directors of the Resulting Issuer;

"**Resulting Issuer Convertible Securities**" has the meaning ascribed to it under Section 11 – *Description of the Securities*;

"**Resulting Issuer DSUs**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Resulting Issuer Escrow Agent**" means Odyssey Trust Company;

"**Resulting Issuer Non-Voting Share Conversion Notice**" has the meaning ascribed to it under Section 11 – *Description of the Securities*;

"**Resulting Issuer Non-Voting Share Ownership Limitation**" has the meaning ascribed to it under Section 11 – *Description of the Securities*;

"**Resulting Issuer Non-Voting Shares Conversion Rights**" has the meaning ascribed to it under Section 11 – *Description of the Securities*;

"**Resulting Issuer Non-Voting Shares**" means the non-voting convertible securities in the capital of the Resulting Issuer;

"**Resulting Issuer Options**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Resulting Issuer PSUs**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Resulting Issuer Recapitalization**" has the meaning ascribed to it under Section 11 – *Description of the Securities*;

"**Resulting Issuer RSUs**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**Resulting Issuer Shareholders**" means holders of Resulting Issuer Shares;

"**Resulting Issuer Shares**" means collectively, Resulting Issuer Voting Shares and Resulting Issuer Non-Voting Shares;

"**Resulting Issuer Voting Share**" means a common share in the capital of the Resulting Issuer;

"**Resulting Issuer**" means WBM, following the completion of the Transaction and in the case of references to matters undertaken by a predecessor in interest to the Resulting Issuer or its subsidiaries, includes each of the predecessors in interest, unless the context otherwise requires after giving effect to the Transaction;

"**Rights Plan**" means the shareholder rights plan that was adopted on November 19, 2025, a fully copy of which is attached as Schedule "H" hereto;

"**RSU Service Year**" has the meaning ascribed to it under Section 10 – *Options and Other Rights to Purchase Securities*;

"**RSU**" means a restricted stock unit;

"**Second Exanorth Option**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Second Norway Property LTA**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Second Norway Property Option and Lease Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Second Norway Property**" means the 10-acre property in Røyrvik that Exanorth has leased;

"**Security Escrow Agreement**" means the security escrow agreement among the Resulting Issuer Escrow Agent, the Resulting Issuer, and the Escrowed Shareholders;

"**SEDAR+**" means the System for Electronic Document Analysis and Retrieval +;

"**SOFR**" means a rate equal to the secured overnight financing rate as administered by the SOFR Administrator;

"**Sowrer Equipment Lease**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Sowrer Hosting and Maintenance Services Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Sowrer Leased Area**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Sowrer LTGA**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Sowrer Option Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Sowrer**" means Sowrer AS, a Norwegian private company;

"**Sowrer-Exanorth Lease Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Sowrer-Exanorth Power Agreement**" has the meaning ascribed to it under Section 4 – *General Development of the Business*;

"**Term SOFR Administrator**" means CME Group Benchmark Administration Limited (CBA) (or a successor administrator of the Term SOFR Reference Rate selected by JGB Collateral LLC, as administrative agent and collateral agent for the lenders under the JGB Loan Agreement, in its reasonable discretion;

"**Term SOFR Reference Rate**" means the forward-looking term rate based on SOFR;

"**Term SOFR**" means the Term SOFR Reference Rate for a tenor comparable to the applicable interest period on the day (such day, the "**Periodic Term SOFR Determination Day**") that is twelve (12) U.S. Government Securities Business Days prior to the first day of such interest period, as such rate is published by the Term SOFR Administrator; provided, however, that if as of 5:00 p.m. (New York City time) on any Periodic Term SOFR Determination Day the Term SOFR Reference Rate for the applicable tenor has not been published by the Term SOFR Administrator and a date to be chosen by JGB Collateral LLC (subject to certain conditions), with respect to the Term SOFR Reference Rate has not occurred, then Term SOFR will be the Term SOFR Reference Rate for such tenor as published by the Term SOFR Administrator on the first preceding Business Day for which such Term SOFR Reference Rate for such tenor was published by the Term SOFR Administrator so long as such first preceding Business Day is not more than ten (10) Business Days prior to such Periodic Term SOFR Determination Day;

"**Total Capacity**" means the total amount of capacity available at a property or data center, as applicable, adding the Active Capacity and Inactive Capacity;

"**Total Miner Reward**" means the Block Reward and Transaction Fees combined;

"**Transaction Fees**" these are the fees paid by users of the Bitcoin network to have their transactions included in the current block. These fees are aggregated per block and typically paid out to the miner who solved the block by being combined with the Block Subsidy into one transaction output;

"**Transaction**" has the meaning ascribed to it under Section 2 – *Summary*;

"**TSXV**" means the TSX Venture Exchange;

"**USA**" means the United States of America;

"**VAT**" means value added tax;

"**Wallet**" has the meaning ascribed to it under Section 5.7 – *Custody of Crypto Assets*;

"**WBM Adjusted Common Shares**" means the common shares in the capital of WBM following the WBM Adjustment;

"**WBM Adjustment**" means the share split of the WBM Common Shares on a basis of 250,000 post-WBM Common Shares for every one (1) pre-WBM Common Share such that the number of post-WBM Common Shares is 250,000;

"**WBM Board**" means the board of directors of WBM prior to the Transaction;

"**WBM Common Shares**" means the common shares in the capital of WBM prior to the WBM Adjustment;

"**WBM FinCo Debt Settlement**" means WBM will settle certain debt owing to it via issuing WBM FinCo Shares to settle aggregate indebtedness of C$205,647.70 at a price of C$0.05 per WBM FinCo Share which shall result in the issuance of 4,112,954 WBM FinCo Shares;

"**WBM FinCo**" means 1001344965 Ontario Inc., incorporated under the OBCA and being a wholly-owned subsidiary of WBM, formed to complete the WBM FinCo Debt Settlement;

"**WBM Meeting**" means the special meeting of the holders of WBM Common Shares held on August 25, 2025;

"**WBM SubCo 1**" means 1001346623 Ontario Inc., incorporated under the OBCA and being a wholly-owned subsidiary of WBM;

"**WBM SubCo 2**" means 1555476 B.C. Ltd., incorporated under the BCBCA and a wholly-owned subsidiary of WBM;

"**WBM SubCo 3**" means Bitzero Holdings Inc., incorporated under the BCBCA and a wholly-owned subsidiary of WBM;

"**WBM Warrants**" means warrants in the capital of WBM to acquire WBM Common Shares;

"**WBM**" means WBM Capital Corp., a corporation existing under the BCBCA;

"**XBit**" means XBit GmbH, a Swiss private limited liability company; and

"**Zetanorth**" means Zetanorth AS, a wholly-owned subsidiary of Bitzero incorporated under the laws of Norway.

**Exchange Rate Information**

Unless otherwise specified, all monetary amounts are in USD, all references to "$", "US$", "U.S. Dollars" and "dollars" means USD. All references to "CAD$" and "Canadian dollars" mean Canadian dollars. All references to "NOK" mean Norwegian Krone. The exchange rates for the averages of the indicative rates during the period and at the end of period for the Canadian dollar in terms of USD and NOK as reported by the Bank of Canada were as follows for each of the years ended December 31, 2024, and 2023. Exchange rates are expressed as 1 unit of the foreign currency converted into Canadian dollars.

**NOK to CAD**

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| **Period Average** | 0.1274 | 0.1278 |

---

**USD to CAD**

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| **Period Average** | 1.3698 | 1.3497 |

---

**Cautionary Note Regarding Forward-Looking Information**

This Listing Statement contains forward-looking information (collectively, "**forward-looking information**"). Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects", "does not expect", "estimates", "intends", "anticipates", "does not anticipate", "believes" or variations of such words and phrases or states that certain actions, events or results "may" "could", "would", "might" or "will" be taken to occur or be achieved.

Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Resulting Issuer to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Although the Resulting Issuer has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that causes actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results, and future events could differ materially from those anticipated in such statements.

Without limitation, this Listing Statement contains forward-looking statements pertaining to the following:

● the Resulting Issuer's capital and organizational structure;

● the Resulting Issuer's expected working capital;

● the Resulting Issuer's intended business plans and strategies;

● the receipt of regulatory and stock exchange approvals;

● the development of the Resulting Issuer's business;

● expectations with respect to future opportunities;

● capital expenditure programs and future capital requirements;

● the Resulting Issuer's plans and funding for planned developing activities and the expected results of such activities;

● the Resulting Issuer's treatment under governmental and international regulatory regimes and intellectual property laws;

● the Resulting Issuer's future general and administrative expenses;

● the Resulting Issuer's expectations with respect to its working capital requirements and financial obligations;

● the Resulting Issuer's ability to have positive cash flow in future quarters;

● the Resulting Issuer's access to capital and overall strategy and development plans for all of the Resulting Issuer's assets; and

● expectations on how the Resulting Issuer will manage its product development risks.

With respect to forward-looking information contained in this Listing Statement, numerous assumptions have been made regarding, among other things:

● general business and economic conditions;

● current and future share prices;

● the future operational and financial activities of the Resulting Issuer generally;

● trade secrets, know-how, contractual provisions and confidentiality procedures to protect the Resulting Issuer's intellectual property rights;

● the Resulting Issuer's ability to comply with regulatory bodies governing its activities;

● current and future sources of funding for capital programs and the Resulting Issuer's ability to obtain financing on acceptable terms;

● operating costs;

● conditions in general economic and financial markets;

● ability to maintain positive cash flow;

● the impact of competition on the Resulting Issuer;

● the impact of the Transaction on the Resulting Issuer;

● political developments or market instability;

● changes in law; and

● anticipated and unanticipated costs.

Although, management of the Resulting Issuer believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. The Resulting Issuer cannot guarantee future results, level of activity, performance, or achievements. Some of the risks, and other factors, some of which are beyond the control of the Resulting Issuer, which could cause results to differ materially from those expressed in the forward-looking information in this Listing Statement include, but are not limited to:

● The Resulting Issuer may be unable to achieve or sustain profitability in the future;

● Limited Operating History;

● Growth Management;

● Information Technology Systems and Cyberattacks;

● Risks related to Insurance;

● Risks related to Industry Regulation;

● Risks related to Litigation;

● Changes in Technology;

● Market Unpredictability;

● Ability to form strategic alliances;

● Impact of system interruptions;

● Reliance on Management and Key Personnel;

● Conflicts of Interest;

● Additional Financing;

● Negative cash flow from operations

● Liquidity;

● Dilution;

● Valuation and Price Volatility of Cryptocurrencies;

● Cryptocurrency Network Difficulty and Impact of Increased Global Computing Power;

● The impact of geopolitical events on the supply and demand for cryptocurrencies is uncertain;

● Acceptance and/or widespread use of cryptocurrency is uncertain;

● The Resulting Issuer's Bitcoin may be subject to loss, theft or restriction on access;

● Risk related to technological obsolescence and difficulty in obtaining hardware;

● There are factors which may prevent the Resulting Issuer from the realization of growth targets;

● The Resulting Issuer is currently in the expansion from early development stage;

● Increased power costs may adversely affect the business;

● The Resulting Issuer does not anticipate paying cash dividends; and

● Future sales of Resulting Issuer Voting Shares by existing shareholders could reduce the market price of the Resulting Issuer Voting Shares.

This list is not exhaustive of the factors that may affect any of the forward-looking information regarding the Resulting Issuer. Forward-looking information are statements about the future and are inherently uncertain. Actual events or results could differ materially from those projects in the forward-looking information including as a result of the matters set out in this Listing Statement generally and certain economic and business factors, some of which may be beyond the control of Resulting Issuer. Some of the important risks and uncertainties that could affect forward-looking information are described in detail, as set forth in "*Section 17– Risk Factors*." Neither Bitzero or the Resulting Issuer intends, and neither assumes any obligation, to update any of the forward-looking information after the date of this Listing Statement so as to conform such statements to actual results or to actual results or to changes in the expectations of the Resulting Issuer, other than as required by applicable securities law. For all these reasons, readers should not place undue reliance on the forward-looking information contained herein, as the Resulting Issuer's actual results, performance or achievements may differ materially from any future results, performance or achievements expressed or implied by such forward-looking information if known or unknown risks, uncertainties, or other factors affect the Resulting Issuer's business, or if the Resulting Issuer's estimates or assumptions prove inaccurate. The forward-looking information contained in this Listing Statement are expressly qualified by this cautionary statement.

**Future-Oriented Information and Financial Outlook Information**

Select financial information included in this Listing Statement is unaudited. There is a material risk that the audited financial results will differ significantly from the unaudited financial information presented herein. This Listing Statement also contains future-oriented financial information and financial outlook information (collectively, "**FOFI**") including, without limitation:

● the Resulting Issuer's expected use of available funds;

● the expected costs of achieving the Resulting Issuer's business objectives, including, without limitation, the cost to enhance the cryptocurrency mining operations at the Norway Data Center, the cost of acquiring the Finland Real Estate III property, the cost of funding the Resulting Issuer's operations, the cost of capital expenditures relating to cryptocurrency mining machines, and cost projections for the 12 months following the date of this Listing Statement; and

● revenue projections for the 12 months following the date of this Listing Statement.

In addition to the same estimates, assumptions, limitations, and qualifications as set forth in the above paragraphs, the FOFI contained herein is based on the following assumptions:

● Bitcoin prices will remain at approximately US$103,500 per Bitcoin with an annual growth rate of 5%. Any material change in the price or growth of Bitcoin, which has historically been a volatile asset class, will materially impact the actual cash flow of the Resulting Issuer against these estimates.

● The Resulting Issuer will be able to generate cash from the sale of Bitcoin while incurring minimal transaction costs associated with such sales.

● Utility costs will increase from $10,885,041 in the financial year ended September 30, 2024 to $17,672,846 over the next twelve months following the date of this Listing Statement.

● that new Bitcoin mining equipment will result in greater efficiency and Hashrate production of Bitcoin;

● General and administrative costs will modestly increase on a year over year basis from $2,809,394 in the year ended September 30, 2024, to $4,360,000 over the twelve months following the date of this Listing Statement.

● No material changes to other direct expenses will be incurred, such as local salaries & wages, remote monitoring, and small equipment rental, as compared to the fiscal year ended September 30, 2024.

● Interest and amortization payments in connection with the JGB First Draw and JGB Second Draw will be approximately $5,005,000 over the twelve months following the date of this Listing Statement

● The Resulting Issuer will be able to find individuals that meet its employment objectives at rates consistent with those currently paid for similar talent in the market; and

● There will not be unforeseen administrative, remote monitoring, and small equipment rental cost increases that negatively affect the Resulting Issuer's projected cash flow presented in this Listing Statement.

In addition to the risk factors as set forth in the above paragraphs, the FOFI contained herein involves a variety of known and unknown risks, uncertainties and other factors which may cause its actual plans, intentions, activities, results, performance or achievements to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such FOFI. Forward looking statements and future oriented financial information presented in this Listing Statement may prove inaccurate. Such additional risks include, without limitation:

● service providers and consultants engaged to assist with the completion of the Resulting Issuer's business objectives may incur unexpected costs or go over budget which may result in unexpected costs for the Resulting Issuer;

● there may be difficulties in sourcing new cryptocurrency mining hardware or the prices of such hardware could fluctuate;

● the price of Bitcoin may fluctuate, as it has historically been a highly volatile asset class;

● the Resulting Issuer may experience turnover or other unexpected costs that may increase its costs to acquire sufficient talent.

FOFI contained in this Listing Statement was made as of the date of this Listing Statement and was provided for the purpose of describing the anticipated effects of the expected revenue and proceeds of the Resulting Issuer's business operations on its business objectives. The Resulting Issuer disclaims any intention or obligation to update or revise any FOFI contained in this Listing Statement, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this Listing Statement should not be used for purposes other than for which it is disclosed herein.

**Market and Industry Data**

This Listing Statement includes market and industry data that has been obtained from third party sources, including industry publications. The Resulting Issuer believes that its industry data is accurate and that its estimates and assumptions are reasonable, but there is no assurance as to the accuracy or completeness of this data. Third party sources generally state that the information contained therein has been obtained from sources believed to be reliable, but there is no assurance as to the accuracy or completeness of included information. Although the data is believed to be reliable, the Resulting Issuer has not independently verified any of the data from third party sources referred to in this Listing Statement or ascertained the underlying economic assumptions relied upon by such sources.

2. SUMMARY

The following is a summary of information relating to WBM, Bitzero, and the Resulting Issuer (following completion of the Transaction) and should be read together with more detailed information and financial data and statements contained elsewhere in this Listing Statement. Bitzero's financial statements are audited for the years ended September 30, 2024, and 2023. WBM's financial statements are audited for the years ended October 31, 2024, 2023, and 2022. All information provided in this summary and Listing Statement is current as of November 19, 2025, unless stated otherwise.

---

| | |
|:---|:---|
| **WBM** | The full corporate name of WBM is "WBM Capital Corp." The head office, principal address, registered address and records office of WBM is located at 300 – 10991 Shellbridge Way, Vancouver, British Columbia V6X 3C6. |

---

---

| | |
|:---|:---|
| **Bitzero** | Bitzero was incorporated pursuant to the provisions of the BCBCA on April 16, 2021, under the name "1300647 B.C. Ltd." Bitzero filed amendments to its Notice of Articles and Articles of Incorporation to change its name from "1300647 B.C. Ltd." to "Bitzero Blockchain Inc." effective May 14, 2021. The head and registered office is located at 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5 Canada. |

---

---

| | |
|:---|:---|
| **Resulting Issuer** | Following completion of the Transaction, the full corporate name of the Resulting Issuer is "Bitzero Holdings Inc." The head and registered office is located at 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5 Canada. |

---

---

| | |
|:---|:---|
| **Summary of the Transaction** | On August 21, 2025, Bitzero and WBM entered into the Letter Agreement which became binding on November 19, 2025 upon Bitzero delivering notice to WBM confirming its satisfaction with due diligence. The Letter Agreement provided for the acquisition by WBM of all the issued and outstanding securities of Bitzero in exchange for securities of WBM (the "**Transaction**"). |

---

Prior to the Transaction, WBM completed the WBM FinCo Debt Settlement and Bitzero completed the Bitzero 2024 Financing and the Bitzero 2025 Financing. WBM amalgamated with WBM SubCo 3, to implement the Name Change. The Transaction was completed by way of a three-cornered amalgamation, pursuant to which WBM SubCo 1 and WBM SubCo 2 of WBM amalgamated with WBM FinCo and Bitzero to form a newly amalgamated entity which became a wholly-owned subsidiary of WBM. The holders of Bitzero Shares became holders of Resulting Issuer Shares on the basis of 10 Bitzero Shares for one Resulting Issuer Voting Share held and 10 Bitzero Non-Voting Shares for one Resulting Issuer Non-Voting Share. Following the Closing, the Resulting Issuer carried on the business of Bitzero under the name "*Bitzero Holdings Inc*." See "*Section 4.2 – the Transaction.*"

---

| | |
|:---|:---|
| **Bitzero Financings** | Bitzero completed the following financings in connection with the Transaction: (i) the Bitzero 2024 Financing, which closed in tranches from September 11, 2024, to July 31, 2025, and issued 35,515,000 Bitzero Shares at a price of US$0.20 per Bitzero Share for aggregate gross proceeds of US$7,103,000; (ii) the Bitzero 2025 Financing, which closed in tranches from August 1, 2025, to October 14, 2025, and issued 4,771,750 Bitzero Shares at a price of US$0.40 per Bitzero Share for total gross proceeds of US$1,908,700, and one lead subscriber that subscribed for gross proceeds of US$1,500,000 was also issued 3,750,000 warrants, each exercisable for the purchase of one Bitzero Share at a price of US$0.40 per share for a period of 24 months; (iii) the JGB First Draw, which closed on June 27, 2025, being a secured term loan in the principal amount of US$17,510,000 (subject to a US$510,000 original issue discount) maturing June 27, 2028, with associated warrants to purchase 4% of Bitzero Shares (on a fully diluted basis) being 19,559,862 warrants, at a purchase price of US$0.01 per Bitzero Share at US$0.01 per shares for a period of five years following the completion of the Transaction; (iv) the JGB Second Draw, which closed on October 20, 2025, being a draw term loan in the principal amount of US$8,245,000 (inclusive of a US$245,000 original issue discount), with associated warrants to purchase 1% of the Resulting Issuer Shares (on a fully diluted basis) being 5,974,930 warrants, at a purchase price of US$0.01 per Bitzero Share at US$0.01 per shares for a period of five years following the completion of the Transaction; and (iv) the Bitzero Convertible Note Financing, which closed in tranches from October 6, 2025 to October 10, 2025, being the issuance of convertible notes for aggregate gross proceeds of US$1,075,000, convertible at US$0.40 per Bitzero Share, and including an aggregate of 2,687,500 warrants to purchase Bitzero Shares at a price of US$0.50 per share for a period of two years. |
| **Directors and Management** | Management of the Resulting Issuer consists of Mohammed Bakhashwain (CEO); Igor Kostioutchenko (CFO); Giovanni Gaudenzi (Head of Finance); and Gilles Seguin (Corporate Secretary & Chairman). The Resulting Issuer Board will consist of Mohammed Bakhashwain; Giovanni Gaudenzi; Claudia Di Iorio; and Gilles Seguin. See "*Section 13 – Directors and Officers*." |

---

---

| | |
|:---|:---|
| **Use of Available Funds** | The total funds available to the Resulting Issuer are anticipated to be approximately US$17,857,842 over the twelve months following the date of this Listing Statement. For further information see the tables titled "*Total Funds Available*" and "*Operating Cash Flow*" in "*Section 5.9* – *Total Funds Available and Principal *Purposes*". It is the Resulting Issuer's intention to use these funds to fund operations after the closing of the Transaction as follows:* |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Use of funds** | **Amount (US$)** |
| &nbsp;&nbsp;Costs<sup>(1)</sup> | $150000 |
| &nbsp;&nbsp;Purchase of New Miners<sup>(2)</sup> | $12000000 |
| &nbsp;&nbsp;Miner Shipping & Installation | $290000 |
| &nbsp;&nbsp;Infrastructure Costs<sup>(3)</sup> | $3111990 |
| &nbsp;&nbsp;Finland Site Final Land Plot<sup>(4)</sup> | $500000 |
| &nbsp;&nbsp;Klimacloud Acquisition<sup>(5)</sup> | $170000 |
| &nbsp;&nbsp;Investor Relations<sup>(6)</sup> | $1000000 |
| &nbsp;&nbsp;Unallocated | $635852 |
| &nbsp;&nbsp;**Total** | **$17857842** |

---

<u>Notes</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Transaction
 costs are inclusive of legal, professional and CSE listing fees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. 5,678
 new higher efficiency miners will replace current miners at the First Norway Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Pursuant
 to the FAR Transformer Sales Agreement, Bitzero will purchase transformers for the 70MW
 expansion at the Norway Data Center, payable in two tranches: i) US$428,098.50 upon signing:
 and ii) US$2,683,891.50 within five calendar days of the test and inspection report provided
 by the Equipment Manufacturer in compliance with the process described in the FAR Transformer
 Sales Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Securing
 the final plot of land at the Finland Real Estate III site which will result in a potential
 power capacity of up to 1 gigawatt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. On
 August 28, 2024, Exakraft, Exanorth, and Klimacloud entered into the Klimacloud SPA.
 Pursuant to the Klimacloud SPA, Exakraft agreed to sell Klimacloud to Exanorth for consideration
 of NOK 2,000,000 and the 1,000,000 Bitzero Shares acquired pursuant to the Exanorth-Exakraft
 Settlement Agreement. As of the date hereof, the 1,000,000 Bitzero Shares have been transferred
 to Exakraft and NOK 300,000 has been paid to Exakraft. Upon Exanorth paying the balance
 of NOK 1,700,000 (~$170,000) to Exakraft, the shares of Klimacloud will be transferred
 to Exanorth.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Comprised
 of US$250,000 payable to i2i Marketing Group, LLC, and US$750,000 that may be allocated
 to additional investor relations activities including approximately three additional
 firms at an average budget of approximately US$250,000 each.

---

| | |
|:---|:---|
| **Selected Pro Forma Consolidated Information** | The following table sets out the unaudited pro forma financial information of the Resulting Issuer as of July 31, 2025, in U.S. dollars and should be read in conjunction with the pro forma statements of the Resulting Issuer attached as Schedule "C" hereto. |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Bitzero as of**<br> **July 31, 2025**<br> **($)** | **WBM as of July 31, 2025**<br> **($)** | **Pro-Forma Adjustments ($)** | **Resulting Issuer Pro-Forma July 31, 2025 ($)** |
| Current Assets | 4089033 | 12289 | 30466979 | 34568301 |
| Total Assets | 29206650 | 12289 | 30466979 | 59685918 |
| Current<br> Liabilities | 10536307 | 94068 | 6533274 | 17163649 |
| Total<br> Liabilities | 12048090 | 94068 | 17093471 | 29235629 |
| Shareholders' Equity | 17158560 | (81779) | 13373508 | 30450289 |

---

---

| | |
|:---|:---|
| **Shareholder Approval** | WBM obtained shareholder approval via written resolution on November 18, 2025 for, among other things, the Name Change; the election of the Resulting Issuer Board; the Omnibus Incentive Plan; and adopting the Rights Plan. On August 25, 2025, WBM obtained shareholder approval of the creation of Resulting Issuer Non-Voting Shares at the WBM Meeting. |
| **Auditor** | The auditor of the Resulting Issuer is SRCO Professional Corporation, located at Park Place Corporate Centre, 15 Wertheim Court, Suite 409 Richmond Hill, ON L4B 3H7. |
| **Interests of Experts** | To the best of the Resulting Issuer's knowledge, no direct or indirect interest in the Resulting Issuer is held or will be received by any expert. Refer to "*Section 23 - Interests of Experts*" of this Listing Statement for more information. |
| **Principal Assets** | The Resulting Issuer has transitioned into an early-stage company specializing in IT energy infrastructure and high-efficiency power generation for data centers to support various activities including HPC and Blockchain mining. The Resulting Issuer currently focuses on three principal areas: (1) data center development; (2) Bitcoin mining; and (3) obtaining strategic data center hosting partnerships. The primary assets of the Resulting Issuer, consist of the First Norway Property, the Second Norway Property, the Norway Data Center, and cash and Bitcoin. Refer to "*Section 5 – Narrative Description of the Business*" of this Listing Statement for more information. |

---

---

| | |
|:---|:---|
| **Risk Factors** | Although management of the Resulting Issuer believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. The following specific factors could materially adversely affect the Resulting Issuer and should be considered when deciding whether to make an investment in the Resulting Issuer. Other risks and uncertainties that management does not presently consider to be material, or of which management are not presently aware, may become important factors that affect management's future financial condition and results of operations The occurrence of any of the risks discussed below could materially adversely affect the Resulting Issuer's business, financial condition, results of operations, cash flow or the trading price of its securities. See "*Section 17– Risk Factors*." |

---

● The Resulting Issuer may be unable to achieve or sustain profitability in the future;

● Limited Operating History;

● Growth Management;

● Information Technology Systems and Cyberattacks;

● Risks related to Insurance;

● Risks related to Industry Regulation;

● Risks related to Litigation;

● Changes in Technology;

● Market Unpredictability;

● Ability to form strategic alliances;

● Impact of system interruptions;

● Reliance on Management and Key Personnel;

● Conflicts of Interest;

● Additional Financing;

● Negative cash flow from operations

● Liquidity;

● Dilution;

● Valuation and Price Volatility of Cryptocurrencies;

● Cryptocurrency Network Difficulty and Impact of Increased Global Computing Power;

● The impact of geopolitical events on the supply and demand for cryptocurrencies is uncertain;

● Acceptance and/or widespread use of cryptocurrency is uncertain;

● The Resulting Issuer's Bitcoin may be subject to loss, theft or restriction on access;

● Risk related to technological obsolescence and difficulty in obtaining hardware;

● There are factors which may prevent the Resulting Issuer from the realization of growth targets; The Resulting Issuer is currently in the expansion from early development stage;

● Increased power costs may adversely affect the business;

● The Resulting Issuer does not anticipate paying cash dividends; and

● Future sales of Resulting Issuer Voting Shares by existing shareholders could reduce the market price of the Resulting Issuer Voting Shares.

---

| | |
|:---|:---|
| **Currency** | In this Listing Statement, references to "$" or "dollars" are to the lawful currency of the United States, unless otherwise stated. |

---

3. CORPORATE STRUCTURE

3.1. Corporate
 Name and Head and Registered Office

Following completion of the Transaction, the full corporate name of the Resulting Issuer is "Bitzero Holdings Inc." The head and registered office is located at 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5. The Resulting Issuer will be governed by the BCBCA.

3.2. Incorporation

*<u>WBM</u>*

The full corporate name of WBM is "WBM Capital Corp." (formerly, Tiidal Gaming Group Corp.) The head office, principal address, registered address and records office of WBM is located at 300 – 10991 Shellbridge Way, Vancouver, British Columbia V6X 3C6.

WBM was incorporated on August 26, 2006, pursuant to the provisions of the *Canada Business Corporations Act* and was continued to British Columbia on June 4, 2024. On June 7, 2024, WBM voluntarily delisted trading of the WBM Common Shares from the Exchange. On July 10, 2024, WBM changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp.

WBM became a reporting issuer on August 31, 2007, and is currently a reporting issuer in good standing in Alberta, British Columbia, and Ontario. WBM's principal regulator is the British Columbia Securities Commission. The Resulting Issuer will continue being a reporting issuer in these jurisdictions.

*<u>Bitzero</u>*

Bitzero was incorporated pursuant to the provisions of the BCBCA on April 16, 2021, under the name "1300647 B.C. Ltd." Bitzero filed amendments to its Notice of Articles and Articles of Incorporation to change its name from "1300647 B.C. Ltd." to "Bitzero Blockchain Inc." effective May 14, 2021. The year end of Bitzero is September 30<sup>th</sup> and this is the year end of the Resulting Issuer upon completion of the Transaction.

*<u>Intercorporate Relationships</u>*

Set forth below are the organization charts of WBM and Bitzero immediately prior to the completion of the Transaction and the Resulting Issuer following the completion of the Transaction.

![](img014_v2.jpg)

(i) <u>Barbadian Subsidiary</u> 

The Barbadian Subsidiary's full name is "Bitzero Inc.," it was incorporated under the *Companies Act of Barbados* on December 23, 2021. The Barbadian Subsidiary's registered and head office is located at the Grove, 21 Pine Road, Belleville, St. Michael BB11113, Barbados. The authorized share structure of the Barbadian Subsidiary consists of an unlimited number of common shares, of which 100 common shares were issued to Bitzero for US$100.00 on December 23, 2021.

The Barbadian Subsidiary's current director and officers are as follows:

---

| | |
|:---|:---|
| **Name** | **Position** |
| Liza Harridyal | Secretary & Director |

---

The Barbadian Subsidiary is a holding corporation incorporated to take advantage of the bilateral tax treaties between (i) Norway and Barbados and (ii) Barbados and Canada. All Bitcoin mined in the Norway Sata Centre is owned by the Barbadian Subsidiary pursuant to the Barbadian-Exanorth Data Services Agreement. See "*Section 4 – General Development of the Business – the Barbadian Subsidiary*" for further information.

(ii) <u>ND I, LLC</u> 

ND I, LLC is a limited liability company formed under the laws of the North Dakota May 16, 2022. ND I, LLC's principal address is 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5. It is the owner of the North Dakota Property.

Bitzero is the sole member of ND I, LLC. Its current governor is Mohammed Bakhashwain.

(iii) <u>ND II, LLC</u> 

ND II, LLC is a limited liability company formed under the laws of North Dakota on May 16, 2022, with a registered address at 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5. ND II, LLC is the operating entity for real estate owned by ND I, LLC.

Bitzero is the sole member of ND II, LLC. Its current governor is Mohammed Bakhashwain.

(iv) <u>Exanorth</u> 

Exanorth is a private limited liability company formed under the laws of Norway on April 4, 2018. Exanorth's registered address is Tunnsjødalsveien 178, 7892 Trones, c/o Pluss-Okonomi AS, Postboks 2583, 4678 Kristiansand S, Norway. Exanorth has an authorized share capital of NOK 10,883,100 consisting of 300 fully paid shares, each with a nominal value of NOK 36,277. Exanorth is the owner and the operator of the First Norway Property, the Norway Data Center, and the Second Norway Property.

Exanorth's current directors and officers are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Name** | &nbsp;&nbsp;**Position** |
| &nbsp;&nbsp;Mohammed Bakhashwain | &nbsp;&nbsp;Chairman of the Board |
| &nbsp;&nbsp;Frank Aadnevik | &nbsp;&nbsp;General Manager and Secretary |

---

(v) <u>Zetanorth</u> 

Zetanorth is company formed under the laws of Norway on October 23, 2024. Zetanorth's registered address is Norway, it has an authorized share capital of NOK 30,000, consisting of 1,000 fully paid shares, each with a nominal value of NOK 30.

Zetanorth's current directors and officers are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Name** | &nbsp;&nbsp;**Position** |
| &nbsp;&nbsp;Mohammed Bakhashwain | &nbsp;&nbsp;Director & Chairperson |
| &nbsp;&nbsp;Frank Aadnevik | &nbsp;&nbsp;Managing Director |
| &nbsp;&nbsp;Giovanni Gaudenzi | &nbsp;&nbsp;Managing Director |

---

(vi) <u>Bitzero Finland Oy</u> 

Bitzero Finland is a company formed under the laws of Finland. On January 23, 2025, Bitzero purchased all the issued and outstanding shares of Bitzero Finland from a third-party.

Bitzero Finland's current directors and officers are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Name** | &nbsp;&nbsp;**Position** |
| &nbsp;&nbsp;Mohammed Bakhashwain | &nbsp;&nbsp;Director and Chairman |
| &nbsp;&nbsp;Frank Aadnevik | &nbsp;&nbsp;Director |
| &nbsp;&nbsp;Giovanni Gaudenzi | &nbsp;&nbsp;Director |

---

4. GENERAL DEVELOPMENT OF THE BUSINESS

4.1. General
 Development

(i) <u>WBM</u> 

WBM does not currently have any active operations.

On September 20, 2022, WBM closed a non-brokered financing of 5,619,051 units for gross proceeds of C$561,905. Each unit is comprised of one WBM Common Share and one WBM Warrant, with each WBM Warrant entitling the holder thereof to acquire one WBM Common Share at a price of C$0.15 per WBM Common Share for a period of 36 months following the closing date.

On October 11, 2022, WBM closed a non-brokered private placement and issued an aggregate of 1,331,550 WBM Common Shares at C$0.10 per WBM Common Share for gross proceeds of C$133,155.

On June 9, 2023, WBM sold its wholly-owned subsidiary, Tiidal Gaming NZ Limited to Entain Holdings (UK) Limited for gross proceeds of C$13,250,000. In connection with closing of the transaction, WBM granted 2,500,000 restricted share units to the WBM's CEO pursuant to the terms of his employment agreement dated effective January 3, 2022 which were immediately vested into 2,500,000 WBM Common Shares in accordance with his employment agreement and issued WBM Common Shares to Entain Holdings (UK) Limited in satisfaction of the earn out entitlements achieved pursuant to the asset purchase agreement dated December 14, 2020, as amended September 24, 2021.

On December 15, 2023, WBM completed a substantial issuer bid and purchased for cancellation 83,256,650 pre-consolidation WBM Common Shares at a price of $0.1225 per pre-consolidation WBM Common Share for an aggregate purchase price of C$10,198,940. The WBM Common Shares purchased under the substantial issuer bid represented approximately 95% of the total issued and outstanding WBM Common Shares.

On February 16, 2024, WBM issued an aggregate of 800,000 WBM Common Shares at a deemed price of C$0.05 per WBM Common as full and final payment of debt in the aggregate amount of C$40,000.

On June 5, 2024, WBM completed a continuance to the Province of British Columbia under the BCBCA from the *Canada Business Corporations Act*.

On June 7, 2024, WBM completed a voluntary delisting from the Exchange.

On July 10, 2024, WBM completed a private placement and raised aggregate gross proceeds of C$30,000 and issued 6,000,000 WBM Common Shares at a price of C$0.005 per WBM Common Share. Effective the same date, Tiidal Gaming Group Corp. was renamed to WBM Capital Corp.

On October 4, 2024, WBM completed a share consolidation on the basis of 6,000,000 pre-consolidation WBM Common Shares to 1 post-consolidation WBM Common Share.

On October 21, 2024, WBM incorporated four wholly-owned subsidiaries: 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, WBM incorporated three wholly-owned subsidiaries: 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, WBM completed a plan of arrangement whereby the sole shareholder of WBM, Triforce Ventures SA, holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On April 2, 2025, WBM entered into a business combination agreement with Wappier Inc. pursuant to which WBM and Wappier Inc. were to complete a transaction which would result in the reverse takeover of WBM by Wappier Inc. On June 27, 2025, WBM and Wappier Inc. entered into a termination agreement, thereby ending the business combination agreement.

On July 24, 2025, WBM completed the WBM Adjustment by completing a share split of the WBM Common Shares on a basis of 250,000 post-WBM Common Shares for every one (1) pre-WBM Common Share such that the number of post-WBM Common Shares is 250,000.

On August 21, 2025, WBM entered into a non-binding Letter Agreement, setting out the terms of the Transaction. On November 18, 2025, the Letter Agreement became binding, pursuant to which, WBM acquired the issued and outstanding equity securities of Bitzero.

On November 18, 2025, WBM obtained shareholder approval through written consent of: a (i) the WBM Adjustment; (ii) the Name Change; (iii) the Rights Plan; and (iv) the Omnibus Incentive Plan via written resolution.

On August 25, 2025, WBM held a special meeting (the "**WBM Meeting**") whereby shareholders approved certain corporate matters, including the adoption of new articles that create a new class of shares, being the Resulting Issuer Non-Voting Shares.

On November 19, 2025, WBM completed the WBM FinCo Debt Settlement to settle aggregate indebtedness of C$205,647.70, at a price of C$0.05 per FinCo Share in satisfaction of outstanding professional service fees, which resulted in the issuance of 4,112,954 FinCo Shares. The FinCo Shares were exchanged for Resulting Issuer Voting Shares on a 1:1 basis pursuant to the Transaction.

After the WBM Meeting, WBM completed the WBM Adjustment, Name Change, and created the new class of Resulting Issuer Non-Voting Shares and adopted the Rights Plan and the Omnibus Incentive Plan.

(ii) <u>Bitzero & Subsidiaries</u> 

a) Financings

On March 11, 2022, Bitzero completed a private placement conducted in 2022 (the "**Spring 2022 Private Placement**"), pursuant to which it issued an aggregate of 111,798,813 Bitzero Shares at a price of US$0.40 per Bitzero Share for aggregate gross proceeds of US$44,719,525.20; this amount includes the 42,531,812 Bitzero Shares with a deemed value of US$0.40 per Bitzero Share for total consideration valued at US$17,012,725 that was issued to Phoenix pursuant to the Phoenix Asset Purchase Agreement. Additionally, in connection with the brokered portion of the Spring 2022 Private Placement, on March 11, 2022, Bitzero issued an additional 2,872,500 Bitzero Shares at a price of US$0.40 per Bitzero Share as consideration to certain agents that assisted with the financing.

On May 16, 2022, Bitzero added to the Spring 2022 Private Placement, pursuant to which it issued an aggregate of 8,033,750 Bitzero Shares at a price of $0.40 per Bitzero Share for aggregate gross proceeds of US$3,213,500.

From September 11, 2024, to July 31, 2025, certain private accredited investors purchased 35,515,000 Bitzero Shares at a price of US$0.20 per Bitzero Share for aggregate gross proceeds of US$7,103,000 (the "**Bitzero 2024 Financing**").

From August 1, 2025 to October 14, 2025, certain private accredited investors purchased an aggregate of 4,771,750 Bitzero Shares at a price of US$0.40 per Bitzero Share for total gross proceeds of US$1,908,700, and one lead subscriber that subscribed for gross proceeds of US$1,500,000 was also issued 3,750,000 warrants, each exercisable for the purchase of one Bitzero Share at a price of US$0.40 per share for a period of 24 months (the "**Bitzero 2025 Financing**").

From October 6, 2025 to October 10, 2025, certain private accredited investors purchased convertible notes (the "**Bitzero Convertible Notes**") for aggregate gross proceeds of US$1,075,000 (the "**Bitzero Convertible Note Financing**"). The Bitzero Convertible Notes accrue interest at 15%, compounded annually and mature 36 months from the issue date. The holder of each Bitzero Convertible Note may convert the outstanding principal and accrued interest into Bitzero Shares at a conversion price of US$0.40 per Bitzero Share at any time prior to the maturity date, and each holder receives warrants to purchase Bitzero Shares equal to the principal amount divided by the conversion price, at an exercise price of US$0.50 per Bitzero Share, exercisable for two years from the issuance date, being an aggregate of 2,687,500 warrants. Additionally, the Bitzero Convertible Notes are subordinate to senior debt and may be converted or redeemed under specific conditions, including if Bitzero completes a new share issuance raising at least US$5,000,000 (excluding conversion of the Bitzero Convertible Notes and other convertible debt), or if not repaid or converted before maturity, holders may convert the outstanding amount into Bitzero Shares at the same conversion price.

b) Employment
Matters, Consulting Agreements & Service Agreements

On July 22, 2021, Bitzero entered into a consulting agreement with a company owned by Gregory Harley Chamandy ("**Chamandy**"), through which Chamandy served as Chief Executive Officer of Bitzero. Pursuant to the consulting agreement, Chamandy was entitled to receive US$1.00 per year for Chamandy's services. The term of the agreement was 12 months and was to be automatically renewed thereafter, subject to Bitzero Board approval. On August 10, 2021, Bitzero issued 20,450,000 Bitzero Shares at a deemed price of US$0.32 per Bitzero Share pursuant to the consulting agreement with Chamandy. On February 25th, 2022, Bitzero terminated Chamandy for cause and all Bitzero Options that were granted to Chamandy were cancelled. Bitzero appointed Akbar Shamji as the replacement CEO of Bitzero effective the same date. See "*Section 19 – Legal Proceedings*" for details on the Chamandy Litigation.

On November 24, 2021, Joshua Lebovic was appointed as the Chief Financial Officer and Executive Vice President of Bitzero.

Effective January 26, 2022, Bitzero entered into a service agreement with First House AS (org. nr. 994575775) to assist it with the successful launch of the First Norway Property. Specifically, First House AS provided press release and communication services and stakeholder engagement and Bitzero provided First House AS NOK 200,000 per month (exclusive of VAT). The agreement ran for one year.

On February 1<sup>st</sup>, 2022, Bitzero entered into a consulting agreement with Jon Lee to engage Mr. Lee as a consultant to Bitzero. Mr. Lee provides consulting services to assist with custody accounts and advises on Blockchain and product development for Bitzero. In exchange for services rendered, Bitzero granted Mr. Lee 1,500,000 Bitzero Options to purchase Bitzero Shares, at a deemed price of $0.05 per Bitzero Share, vesting equally over a period of three years (500,000 Bitzero Options per year). No cash consideration is provided pursuant to the agreement and its term is 36 months from the execution date, unless terminated earlier under the provisions of the contract.

Effective May 1, 2022, Bitzero entered into a consulting agreement with Adrian Gut, pursuant to which Mr. Gut provided assistance in connection with matters relating to the sale of cryptocurrencies on Bitzero's behalf for a term of one month. In connection with the consulting agreement, Bitzero entered into a share repurchase agreement effective the same date with Adrian Gut, pursuant to which Adrian Gut transferred 5,000,000 of the 6,500,000 Bitzero Shares he owned to Bitzero in exchange for 22.07 Bitcoins.

On May 31, 2022, Bitzero entered into a consulting agreement with 1282484 B.C. Ltd. pursuant to which Jason Smart provides consulting services to Bitzero through 128484 B.C. Ltd. in areas relating to management, strategy and developing strategic relationships. As consideration for the consulting agreement, 128484 B.C. Ltd. was entitled to receive US$200,000 for services rendered. The agreement was terminated in 2024.

On August 11, 2022, Bitzero entered into an executive employment agreement with Giovanni Gaudenzi, through which Giovanni Gaudenzi is employed as Bitzero's Chief Financial Analyst (the "**Gaudenzi Employment Agreement**"). Among other responsibilities, pursuant to the Gaudenzi Employment Agreement, Giovanni assists in financial planning and strategy development, conducing financial modeling and risk assessment, and analyzing financial data and market conditions for Bitzero and its subsidiaries. Giovanni receives US$360,000 per year and was granted 3,000,000 Bitzero restricted share units. For further information, see "*Section 14 – Executive Compensation*."

On September 28, 2022, Mohammed was appointed as Bitzero's Chief Strategy Officer.

On September 30, 2022, Bitzero and Joshua Lebovic entered into a mutual resignation and release agreement, under which Joshua Lebovic resigned as an officer of Bitzero.

On September 18, 2023, Akbar Shamji resigned as CEO and Bitzero appointed Carl Agren as interim CEO who then resigned effective June 1, 2024.

On January 2, 2024, Aadnevik Invest entered into a consulting agreement with Exanorth (the "**Aadnevik Consulting Agreement**"). Pursuant to the Aadnevik Consulting Agreement, Mr. Aadnevik, through Aadnevik Invest shall be compensated for services rendered as CEO of Exanorth with a monthly fee of US$25,000, exclusive of VAT per month. Aadnevik Invest is to oversee Exanorth's business activities in Norway, focusing on regulatory compliance, handle reservation of grid capacity and procurement negotiations with suppliers, supervise regulatory compliance, including property acquisitions and licensing processes, and coordinate electrical and mechanical infrastructure development, among other responsibilities.

On February 17, 2024, Bitzero entered into a master services agreement with Native Ads Inc., a Delaware corporation based in New York. Pursuant to the master services agreement, Native Ads Inc. provides Bitzero with strategic digital media services, marketing and data analytics services, along with one or more specific work orders as set out in the agreement. The contract began in Q1 2025 with a total campaign budget of US$225,000.

On March 21, 2024, Bitzero entered into a services agreement with K&P CPAs, Professional Corporation in connection with the provision of CFO, investor relations, finance, and accounting support (the "**K&P Services Agreement**"). Pursuant to the K&P Services Agreement, Bitzero shall pay K&P CPAs, Professional Corporation C$12,750 per month as compensation, K&P CPAs, Professional Corporation is entitled to compensation if a change of control occurs, and after twelve months from the effective date, K&P CPAs, Professional Corporation may increase the monthly fee by providing sixty days prior written notice.

On December 11, 2024, Bitzero entered into a content and online marketing agreement with Maximus Strategic Consulting Inc., whereby Maximus Strategic Consulting Inc. provides services including the production, editing, and distribution of a corporate video featuring Bitzero's CEO and Chairman, as well as the dissemination of Bitzero's news releases via PinnacleDigest's weekly email newsletter. The agreement covers a four-month term from January 15, 2024 to May 15, 2025. As consideration, Bitzero paid Maximus two installments of C$75,000.

On December 11, 2024, Bitzero entered into an advisory agreement with Aldo Bernardi whereby Mr. Bernardi is to advise management of Bitzero in North America, including periodic consultation with, and advice to, management with respect to Bitzero's development of in North America. As consideration for the advisory services provided, Mr. Bernardi received 250,000 Bitzero Shares from Bitzero at a deemed price of US$0.20 per Bitzero Share. The agreement expires on December 11, 2025, and Bitzero may terminate the agreement without prior notice if Mr. Bernardi does not perform the advisory services as intended.

On February 20, 2025, Bitzero entered into an advisory agreement with Mohammed Aref Muhawesh, whereby Mr. Muhawesh is to advise management of Bitzero in North America, including periodic consultation with, and advice to, management with respect to Bitzero's development of markets in Saudi Arabia and the Gulf region. As consideration for the advisory services provided, Mr. Muhawesh received 500,000 Bitzero Shares from Bitzero at a deemed price of US$0.20 per Bitzero Share. The agreement expires on February 20, 2026, and Bitzero may terminate the advisory agreement without prior notice if Mr. Muhawesh does not perform the advisory services as intended.

c) Loan
Agreements

On August 10, 2021, Bitzero entered into a loan agreement with Life Partners Capital (Cayman) Inc., a company controlled by Chamandy, through which Bitzero borrowed the principal amount of US$1,000,000 from Life Partners Capital Cayment (Inc.), bearing no interest prior to the maturity date (the "**Chamandy Loan**"). The Chamandy Loan was due upon the earliest occurrence of the following events: (i) Bitzero receiving gross funds from investors participating in a first round of financing that was anticipated to occur in August 21, 2021, totaling US$10,000,000 or more, (ii) Bitzero having a market capitalization on a recognized public Canadian stock exchange of at least US$50,000,000, or (iii) Chamandy ceasing to be the chief executive officer and chairman of Bitzero, for reasons other than his voluntary resignation. As and from the maturity date of the Chamandy Loan, any outstanding balance of the loan bears interest at an annual rate of 15% per annum, compounded semiannually. After the maturity date, Bitzero could elect to convert the amount of the loan in whole or in part into Bitzero Shares at a price of US$0.40 per Bitzero Share.

On August 28, 2024, Exanorth entered into a settlement agreement with K33 Markets As, org. nr. 919 578 998 ("**K33 Markets**") and Arcane (the "**Exanorth-Arcane Settlement Agreement**"). Pursuant to the Exanorth-Arcane Settlement Agreement, Arcane settled outstanding debt of NOK 3 278 899,91 (inclusive of VAT) that it owed to Exanorth under the Exanorth-Arcane Agreement, in accordance with the following material terms:

● The Arcane Servers (valued at NOK 1,000,000) and Bitcoin earned by the Arcane Servers that was not transferred to Green Data Services as of the date of the Exanorth-Arcane Settlement Agreement were transferred to Exanorth;

● All of the Arcane Servers were transferred and activity under the Exanorth-Arcane Agreement from July 1, 2024, and onwards was treated as if Exanorth was the owner of the Arcane Servers and as if the Exanorth-Arcane Agreement had been terminated as of June 30, 2024;

● K33 Markets issued a credit for future trading costs to Exanorth worth NOK 1,343,165.18 by entering into the K33 Markets TCA;

● Upon execution of the Exanorth-Arcane Settlement Agreement, the Exanorth-Arcane Agreement was terminated, and the debt was settled in full and Arcane has no further payment obligations towards Exanorth under the Exanorth-Arcane Agreement.

On August 28, 2024, Exanorth entered into a trading cost credit agreement with K33 Markets (the "**K33 Markets TCA**") whereby K33 Markets issues to Exanorth a credit in the amount of NOK 1,343,165.18 for use towards trading margins on the K33 Markets trading platform, markets.k33.com. Pursuant to the K33 Markets TCA, the credit allows Exanorth to conduct trades on the K33 Markets trading platform at cost, with zero margin accruing to K33 Markets. The K33 Markets TCA is valid up until the earlier of: (i) December 31<sup>st</sup>, 2025; or (ii) the complete depletion of the credit issued.

On June 27, 2025, Bitzero and its subsidiaries entered into a secured loan and guarantee agreement (the "**JGB Loan Agreement**") with the following arm's length third parties: JGB Capital, LP, JGB Partners, LP, and Deepdale Investors, LLC, as lenders, and JGB Collateral LLC, as administrative agent and collateral agent for the lenders. Pursuant to the terms of the JGB Loan Agreement, Bitzero and its subsidiaries will receive an initial term loan in the principal amount of US$17,510,000 (subject to a US$510,000 original issue discount) (the "**JGB First Draw**"), as well as access to a delayed draw term loan facility of up to US$8,240,000 (subject to a US$240,000 original issue discount), each secured by collateral and guaranteed by Bitzero's subsidiaries, subject to lender approval. The loans mature on June 27, 2028, and principal amortization payments commence six months after closing, with adjustments if the delayed draw facility is utilized. The outstanding principal amount under the JGB Loan Agreement accrues interest at the applicable rate, which is the greater of (i) 14% per annum (the "**Floor**") and (ii) a fluctuating per annum interest rate equal to the Term SOFR, or its replacement benchmark, plus 11%. Consequently, the interest rate on the loan may fluctuate over time according to changes in the benchmark rate but will never be less than the Floor. Interest is calculated on a 360-day year and is payable monthly in arrears. Interest payments will be approximately US$315,000 per month. The JGB Loan Agreement includes financial covenants requiring minimum levels of cash and revenue, and includes fallback provisions for the benchmark rate, administrative rights to make conforming changes, and other customary representations, warranties, and covenants. The JGB Loan Agreement contains customary provisions surrounding default, including payment default, breach of covenants, material adverse change to the business, insolvency, and misrepresentation, amongst others. Upon the occurrence of an event of default under the JGB Loan Agreement, the lenders have rights to exercise remedies under the agreement, which include acceleration of all amounts owing and enforcement of security. The JGB Loan Agreement allows for a 15 day cure period for certain defaults, which may be extended by another 15 days if cure is diligently pursued.

Bitzero and its subsidiaries shall use the proceeds of the loans governed by the JGB Loan Agreement for working capital and general corporate purposes, including the purchase of additional Bitcoin miners. As consideration for entering into the JGB Loan Agreement, Bitzero issued to the lenders warrants to purchase 4% of the issued and outstanding Bitzero Shares (on a fully diluted basis), being 19,559,862 warrants, at a purchase price of US$0.01 per Bitzero Share as of June 27, 2025, subject to certain terms and conditions for a period of 5 years following the completion of the Transaction (the "**JGB First Warrants**"). Specifically, if Bitzero issues or sells any Bitzero Shares, convertible securities or Bitzero Options after June 27, 2025 (the "**JGB First Ratchet Issuance**"), then the number of Bitzero Shares issuable upon the exercise of the JGB First Warrants shall be increased such that after giving effect to the JGB Ratchet Issuance, the holder's ownership on a fully-diluted basis shall not be less than 4% of Bitzero Shares, provided such JGB Ratchet Issuance occurs at a price per share less than the fair market value on June 27, 2025 and excluding issuances under Bitzero's equity incentive plans or strategic transactions approved by its board of directors.

The loans mature on June 27, 2028, and principal amortization payments of US$350,000 per month on the JGB First Draw commence six months after closing of the JGB First Draw, with adjustments if the delayed draw facility is utilized. The outstanding principal amount under the JGB Loan Agreement accrues interest at the applicable rate, which is the greater of (i) 14% per annum (the "**Floor**") and (ii) a fluctuating per annum interest rate equal to the Term SOFR, or its replacement benchmark, plus 11%. Consequently, the interest rate on the loan may fluctuate over time according to changes in the benchmark rate but will never be less than the Floor. Interest is calculated on a 360-day year and is payable monthly in arrears. The JGB Loan Agreement includes financial covenants requiring minimum levels of cash and revenue, and includes fallback provisions for the benchmark rate, administrative rights to make conforming changes, and other customary representations, warranties, and covenants.

On October 20, 2025, Bitzero, Bitzero's subsidiaries, and WBM entered into a Joinder, Delayed Draw Advance and Second Amendment to Loan and Guaranty Agreement ("**JGB Second Draw Agreement**") with JGB Capital, LP, JGB Partners, LP, and Deepdale Investors, LLC, as lenders, and JGB Collateral LLC, as administrative agent and collateral agent for the lenders, which amended the JGB Loan Agreement.

Pursuant to the terms of the JGB Second Draw Agreement, the lenders agreed to provide a delayed draw advance in the aggregate principal amount of US$8,245,000 (inclusive of a US$245,000 original issue discount, resulting in US$8,000,000 of actual availability) (the "**JGB Second Draw**"), to be funded within two business days following the date of the JGB Second Draw Agreement, and which were deposited in escrow pending completion of the Transaction and were therefore released on the Effective Date. The delayed draw advance was subject to certain conditions precedent, including amendments to Norwegian security documents and related registrations, which have been satisfied. Monthly principal amortization payments will increase to US$515,000, commencing with the first payment date after the JGB Second Draw Agreement, which is six months following the date of the JGB Second Draw Agreement, and may be reduced proportionally in the event of conversion of any portion of the JGB Second Draw and a US$2,000,000 portion of the JGB First Draw (the "**JGB First Draw Conversion Amount**"). The JGB Second Draw Agreement also provides for voluntary conversion rights, allowing each lender, at its option, to convert the outstanding principal and accrued interest of the JGB Second Draw and the JGB First Draw Conversion Amount into Bitzero Shares at a conversion price of US$0.40 per share, subject to adjustment and beneficial ownership limitations. As consideration for entering into the JGB Loan Agreement, Bitzero issued to the lenders warrants to purchase 1% of the issued and outstanding Resulting Issuer Shares (on a fully diluted basis and as calculated as of the Effective Time), being 5,974,930 warrants, at a purchase price of US$0.01 per Bitzero Share as of October 20, 2025 for a period of five years following the completion of the Transaction, subject to certain terms and conditions (the "**JGB Second Warrants**"). If Bitzero issues or sells any Bitzero Shares or convertible securities after October 20, 2025 (the "**JGB Second Ratchet Issuance**"), then the number of Bitzero Shares issuable upon the exercise of the JGB Second Warrants shall be increased such that after giving effect to the JGB Second Ratchet Issuance, the holder's ownership on a fully-diluted basis shall not be less than 1% of the Bitzero Shares, provided such JGB Second Ratchet Issuance occurs at a price per share less than the fair market value on October 20, 2025 and excluding issuances under Bitzero's equity incentive plans or strategic transactions approved by its board of directors.

After implementing the Transaction, there are 2,553,479 JGB Warrants outstanding, each warrant entitles the holder thereof to purchase one Resulting Issuer Voting Share at a price of US$0.10 per Resulting Issuer Voting Share. Bitzero agreed to issue the JGB Warrants as an inducement to provide the credit facilities described above to Bitzero. The parties had initially proposed granting JGB a number of Bitzero Shares equal to the Bitzero Shares underlying the JGB Warrants; however, JGB determined that it was preferable for its own tax planning purposes for it to receive warrants with a nominal exercise price rather than shares. Additionally, the JGB Second Draw and the JGB First Draw Conversion Amount carry a principal amount of US$10,245,000 and may be converted into Resulting Issuer Voting Shares a conversion price of US$4.00 per Resulting Issuer Voting Share for a period of 5 years. This is equivalent to 2,561,250 Resulting Issuer Voting Shares.

d) Investor
Agreements

On April 4, 2022, as amended on May 13, 2022, Bitzero and OKAG entered into a letter of intent, in respect of an investment by OKAG or its nominee of US$11,000,000 in Bitzero for consideration of 27,500,000 Bitzero Shares at a price of US$0.40 per Bitzero Share (the "**OKAG Investment**") and the transfer by certain shareholders of Bitzero of 9,166,667 Bitzero Shares to OKAG or its nominee for nominal consideration. Simultaneously, Bitzero and OKAG entered into various agreements, as described below.

On May 16, 2022, Bitzero issued an aggregate of 27,500,000 Bitzero Shares at a price of $0.40 per Bitzero Share for aggregate gross proceeds of US$11,000,000 to OKAG, in connection with the OKAG Investment. Furthermore, each of: (i) Akbar Shamji transferred 3,055,556 Bitzero Shares to OKAG; (ii) Fairfax Capital B.V. transferred 3,055,556 Bitzero Shares to OKAG; (iii) and Mohammed Bakhashwain transferred 3,055,556 Bitzero Shares to OKAG for nominal consideration.

On May 16, 2022, OKAG, Akbar Shamji, Mohammed Bakhashwain, and MNA Alliance AG, a company controlled by Mohammed Bakhashwain (MNA Alliance AG, together with Akbar Shamji and Mohammed Bakhashwain are the "**Key Bitzero Shareholders**") entered into a letter agreement (the "**OKAG Letter Agreement**").

The OKAG Letter Agreement contains, *inter alia*, tag-along rights, restrictive covenants and other rights in the event of the dissolution of Bitzero. The tag-along right describes certain situations involving a private sale by Key Bitzero Shareholders. The restrictive covenants describe certain situations that might affect the transfer of the Bitzero Shares owned by the Key Bitzero Shareholders and the dividends on these shares for a certain period of time. Finally, the OKAG Letter Agreement contains certain provisions relating to the liquidation proceeds received by the Key Bitzero Shareholders.

On May 16, 2022, the Key Bitzero Shareholders and OKAG entered into a voting agreement (the "**OKAG Voting Agreement**") under which OKAG agrees to vote its Bitzero Shares or any shares of a successor corporation following a going public transaction, in the manner recommended by the Key Bitzero Shareholders under certain terms and conditions.

On May 16, 2022, OKAG and Bitzero entered into a pre-emptive rights agreement (the "**OKAG Pre-Emptive Rights Agreement**"), under which OKAG has certain pre-emptive rights in respect of the issuance of securities of Bitzero. Specifically, Bitzero cannot issue or agree to issue new Bitzero Shares or convertible securities exchangeable for Bitzero Shares to any person for: (i) cash, (ii) crypto mining equipment, or (iii) other assets, if such other assets are being transferred to Bitzero as in-kind consideration for Bitzero Shares and are transferred as part of a larger financing completed by Bitzero, unless Bitzero first offers OKAG or its nominee the opportunity to purchase a proportional amount of those securities. The proportion is based on OKAG's shareholdings at the time of the offer, capped at 36,666,667 Bitzero Shares for calculation purposes. These pre-emptive rights do not apply to any distributions in the following circumstances:

● A rights offering that is open to all shareholders of Bitzero including OKAG or its nominee;

● An "at-the market distribution" as such term is defined in National Instrument 44 – 102 – *Shelf Distributions*;

● A distribution of offered securities made only to OKAG, its nominee, or its affiliates; and

● Issuances upon the conversion, exchange, or exercise of convertible securities.

The OKAG Pre-Emptive Rights Agreement automatically terminates, without any further action of the parties on the date that is the later of (i) 24 months after the effective date of the OKAG Pre-Emptive Rights Agreement and (ii) the date on which OKAG or its nominees holds less than 3% of the Bitzero Shares.

On May 16, 2022, Bitzero, OKAG, Akbar Shamji, and Mohammed Bakhashwain entered into an investor rights agreement (the "**OKAG Investor Rights Agreement**"). Pursuant to the OKAG Investor Rights Agreement, and subject to certain conditions being met, OKAG may be entitled to designate one (1) nominee to serve as a director on the Bitzero Board; and one nominee entitled to receive notice of and to attend and observe meetings of the Bitzero Board and Bitzero audit committee.

e) Asset
Purchase Agreements

On February 2, 2022, as amended on February 9, 2022, Bitzero completed an arm's length transaction and entered into an asset purchase agreement (the "**Phoenix Asset Purchase Agreement**") with Phoenix. Phoenix sold cryptocurrency mining machines to Bitzero, specifically, it sold "Bitmain ASIC miners" to Bitzero. Pursuant to the terms of the Phoenix Asset Purchase Agreement, Bitzero acquired 2,939 miners with a total computing power of 288,450 terra Hash per second (TH/s) at an average price of $100/TH. As consideration, Bitzero paid Phoenix an aggregate purchase price equal to 72,377,813 Bitzero Shares, issued at US$0.40 per Bitzero Share. Pursuant to the Phoenix Commitment Letter (as described below), some of Phoenix Bitzero Shares were exchanged for Bitzero Non-Voting Shares. The Phoenix Asset Purchase Agreement provides for certain first refusal, pre-emptive and nomination rights. The right of first refusal deals with rights to acquire and sell mining machines. The pre-emptive right provides certain rights to Phoenix in the event of the issuance of securities by Bitzero in certain circumstances. Phoenix may have nomination rights on Bitzero Board in certain circumstances.

On October 30, 2024, Phoenix entered into a commitment letter with Bitzero to conduct a share exchange (the "**Phoenix Commitment Letter**"). Pursuant to the Phoenix Commitment Letter, Phoenix agreed that immediately before the consummation of the Transaction pursuant to the Letter Agreement, it shall exchange (the "**Phoenix Share Exchange**") a certain number of its Bitzero Shares for (i) Bitzero Non-Voting Shares and (ii) Resulting Issuer Non-Voting Shares. Pursuant to the Phoenix Commitment Letter, Phoenix shall complete the Phoenix Share Exchange, such that the following occur: Phoenix shall receive, in respect of its Bitzero Shares, a number of Resulting Issuer Voting Shares equal to the number of Resulting Issuer Voting Shares that Phoenix would have received under the Transaction had the Phoenix Share Exchange not occurred (the "**Phoenix Default Share Total**"), provided that the number of Resulting Issuer Voting Shares so received shall not exceed 9.99% of the issued and outstanding Resulting Issuer Voting Shares, as constituted immediately following the Transaction (the number of Resulting Issuer Voting Shares so received, the "**Phoenix Common Share Total**"); and (ii) secondly, Phoenix shall receive, in respect of its Bitzero Non-Voting Shares, a number of Resulting Issuer Non-Voting Shares equal to the difference between the Phoenix Default Share Total and the Phoenix Common Share Total. The total number of Resulting Issuer Voting Shares and Resulting Issuer Non-Voting Shares that Phoenix will hold after the Transaction is outlined in "*Section 12 – Principal Securityholders*."

On October 30, 2025, Bitzero entered into a sales and purchase agreement (the "**FAR Transformer Sales Agreement**") with FAR Holdings Bermuda Ltd. ("**FAR**"), an arm's length third party. FAR agreed to supply Bitzero with electrical equipment for data center expansion, specifically, two new 60 megavolt-ampere phase station class power transformers and thirty-one 3,600 kilovolt-ampere phase distributor transformers. Pursuant to the terms of the FAR Transformer Sales Agreement, Bitzero will acquire the equipment for an aggregate purchase price of US$5,965,980, consisting of US$3,111,990 in cash and US$2,853,990 by way of a convertible note issued to FAR (the "**FAR Convertible Note**"). Bitzero will make payments in two tranches: i) US$428,098.50 to FAR upon closing; and (ii) US$2,683,891.50 of the cash consideration to FAR within five calendar days of the test and inspection report provided by the Equipment Manufacturer in compliance with the process described in the FAR Transformer Sales Agreement. The FAR Convertible Note will also be terminated if Bitzero has fully complied with its obligations under the FAR Transformer Sales Agreement and the following conditions have been satisfied (i) JY Transformer Co. Ltd (the "**Equipment Manufacturer**") has successfully completed the inspection and testing process described in the FAR Transformer Sales Agreement for all of the equipment, (ii) a certificate by an independent international surveying company has been issued and accepted by Bitzero and (iii) the equipment has been made available for pickup at the Equipment Manufacturer's premises in accordance with the ex works delivery term (collectively, the "**FAR Conditions**") by April 22, 2026. The FAR Transformer Sales Agreement provides for delivery on an ex works basis at the manufacturer's premises, with production completed within approximately 90 days of final drawing approval. The equipment is warranted for 36 months from installation, and the Equipment Manufacturer will provide technical support and spare parts for ten years from commissioning.

On October 30, 2025, Bitzero issued the FAR Convertible Note to FAR, as partial consideration under the FAR Transformer Sales Agreement. The FAR Convertible Note was issued in the principal amount of US$2,853,990, accrues interest at 10% per annum (12% upon default), and matures 18 months from the issue date. The holder may convert the outstanding principal and accrued interest into Bitzero Shares at a conversion price of US$0.40 per share at any time prior to maturity, subject to customary conversion mechanics and anti-dilution protections. All rights granted to FAR pursuant to the FAR Convertible Note are conditional upon the FAR Conditions being satisfied, including FAR's right to convert the FAR Convertible Note into Bitzero Shares or to redeem the FAR Convertible Note, and the FAR Convertible Note shall be deemed null and void if the FAR Conditions have not been satisfied by April 22, 2026. The FAR Convertible Note is subordinate to senior debt.

f) Property
Purchases, Leases & Accompanying Agreements

&nbsp;&nbsp;&nbsp;&nbsp;(i) *<u>First Norway Property</u>* 

On May 26, 2021, as amended on June 7, 2021, and June 11, 2021, Exakraft, Exanorth, and a third-party company, XBit, entered into a master agreement (the "**Exanorth Master Agreement**"). Pursuant to the Exanorth Master Agreement, Exanorth, being the owner of and having title to the First Norway Property agreed to lease the First Norway Property to XBit, so XBit could establish a data center thereon. The material terms of the Exanorth Master Agreement are as follows:

● The Exanorth Master Agreement lease term was for a period of 9 years and was to be automatically renewed for a 5-year period unless terminated by a notice. The rent was €9,000 per month.

● XBit was granted an option to purchase 66% of Exanorth Shares, and thereby purchase the First Norway Property at a price of €20,000 per Exanorth Share, on a cash and debt free basis (the "Exanorth Option"). The Exanorth Option was for a period of 18 months, beginning on the first day of the Exanorth Master Agreement and the purchase of the First Norway Property through the purchase of 66% of Exanorth Shares was not to be completed more than 14 business days after the exercise of the Exanorth Option.

● Exakraft undertook not to pledge the Exanorth Shares without prior written consent of XBit and could not dispose the Exanorth Shares without first offering them to XBit to acquire pursuant to the Exanorth Option.

● In addition to the payment of the rent of the Exanorth Master Agreement and the Exanorth Option purchase price, XBit shall pay Exakraft an option premium of €2,500,000 for the Exanorth Option.

● In the event that XBit does not establish a data center on the First Norway Property for a period of one year or for the same period consumes less than a certain amount of electricity per month, Exanorth shall have the exclusive right to unilaterally cancel the Exanorth Master Agreement with 6 months notice and repurchase 66% of the Exanorth Shares.

● XBit retained Exakraft to render consulting services in relation to the establishment of a data center on the First Norway Property.

On June 17, 2021, XBit, Bitzero, Exanorth, and Exakraft entered into a declaration of transport, whereby the parties agreed to a transfer of XBit's position, including all rights and obligations, under the Exanorth Master Agreement to Bitzero (the "First Norway Property Declaration of Transport"). Consequently, by execution of the First Norway Property Declaration of Transport, the parties to the Exanorth Master Agreement were Bitzero, Exanorth, and Exakraft.

On August 6, 2021, an addendum to the Exanorth Master Agreement was entered into between Bitzero, Exanorth, and Exakraft. The material terms of the addendum are as follows:

● Exakraft agrees to sell the land to Bitzero through the sale of 66% of Exanorth Shares to Bitzero. The consideration for the transfer of Exanorth Shares shall be the issuance of 2,500,000 Bitzero Shares to Exakraft. Exakraft has the right to later transfer the Bitzero Shares to Frank Aadnevik and Atle Risoy.

● Bitzero shall thereafter have the obligation to pay to Exakraft a fixed sum of €1,188,000.

On October 22, 2021, Bitzero and Exakraft entered into a share purchase agreement, as amended on November 10, 2021, January 14, 2022, January 31, 2022, February 10, 2022, and March 1, 2022 (together, the "**Exanorth SPA**") through which Bitzero exercised the Exanorth Option. Pursuant to the Exanorth SPA, Bitzero exercised the Exanorth Option as set out in the Exanorth Master Agreement and purchased 66% of the Exanorth Shares held by Exakraft on October 21, 2021. As consideration, Bitzero: (i) issued 5,000,000 Bitzero Shares; and (ii) was to pay €1,188,000 (excluding VAT) by December 15, 2021 (the "**Exanorth Deferred Consideration**"). Under the Exanorth SPA, if the Exanorth Deferred Consideration was not paid by December 15, 2021, the Exanorth Deferred Consideration was to incur an interest rate in accordance with the Norwegian Interest on Late Payment Act. Additionally, pursuant to the Exanorth SPA, Bitzero was granted the ability to acquire the remaining 34% of Exanorth Shares from Exakraft (the "**Second Exanorth Option**"). The consideration for the Second Exanorth Option was:

&nbsp;&nbsp;&nbsp;&nbsp;(i) Bitzero
 was to pay €2,200,000 to Exakraft no later than February 25, 2022; and

&nbsp;&nbsp;&nbsp;&nbsp;(ii) Provided
 that €2,200,000 was paid in full to Exakraft no later than February 25, 2022, Bitzero
 was to pay to Exakraft an additional amount of US$1,900,000 for the Second Exanorth Option,
 if the Bitzero Shares being issued were trading in a public market at a total market
 value of less than US$10,000,000, measured as the average price over a period of 5 trading
 days

(collectively, the "**Second Exanorth Option Consideration**").

On June 10, 2022, in connection with the Exanorth SPA and Exanorth Master Agreement, Bitzero entered into a side letter with Exakraft. Pursuant to the side letter, Bitzero purchased the remaining Exanorth Shares from Exakraft. Bitzero and Exakraft agreed that upon Bitzero transferring €2,400,000 to Exakraft, the following payments to Exakraft were considered settled:

&nbsp;&nbsp;&nbsp;&nbsp;(i) the
Exanorth Deferred Consideration; and

&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
Second Exanorth Option Consideration.

On June 17, 2024, Exanorth entered into a settlement agreement with Exakraft (the "**Exanorth-Exakraft Settlement Agreement**") pursuant to which Exanorth settled outstanding debt of NOK 4,360,895 owing to Exakraft under the Exanorth Master Agreement. The debt related to overage fees for energy consumed. Pursuant to the Exanorth-Exakraft Settlement Agreement, the parties agreed as follows:

● Exanorth transferred 1,000,000 Bitzero Shares to Exakraft;

● Exanorth paid Exakraft NOK 878 158;

● Mr. Frank Aadnevik shall remain Chief Executive Officer of Exanorth for one (1) year from the date of the Exanorth-Exakraft Settlement Agreement; and

● Exanorth shall purchase and Exakraft shall sell 100% of the shares in Klimacloud AS (org nr 927 180 391) ()"**Klimacloud** "), a company engaged in the business of operating greenhouse land and activities related thereto, entering into a separate share purchase agreement (the "**Klimacloud SPA** "). Entering into the Klimacloud SPA is a condition of the validity of the Exanorth-Exakraft Settlement Agreement.

On August 28, 2024, Exakraft, Exanorth, and Klimacloud entered into the Klimacloud SPA. Pursuant to the Klimacloud SPA, Exakraft agreed to sell Klimacloud to Exanorth for consideration of NOK 2,000,000 and the 1,000,000 Bitzero Shares acquired pursuant to the Exanorth-Exakraft Settlement Agreement. As of the date hereof, the 1,000,000 Bitzero Shares have been transferred to Exakraft and NOK 300,000 has been paid to Exakraft. Upon Exanorth paying the balance of NOK 1,700,000 to Exakraft, the shares of Klimacloud will be transferred to Exanorth.

&nbsp;&nbsp;&nbsp;&nbsp;(ii) *<u>Second Norway Property</u>* 

On January 12, 2024, Aadnevik Invest entered into an option and lease agreement with Liv Tømmermo-Reitan, a Norwegian company that owns the Second Norway Property (the "**Second Norway Property Option and Lease Agreement**"). The material terms of the Second Norway Property Option and Lease Agreement are as follows:

● Aadnevik Invest has the right to prepare a zoning plan, technical plans, engineering and potential development in line with approve plans and applicable local guidelines or requirements to use the Second Norway Property for construction and commercial purposes;

● Aadnevik Invest has an exclusive option to rent the Second Norway Property for a period of 7 years from the date that the option to lease the Second Norway Property is exercised;

● When the option to lease the Second Norway Property is exercised, Aadnevik Invest shall make a one-time payment to Liv Tømmermo-Reitan in the amount of NOK 25,000;

● Effective from the date that the lease comes into force, the rent shall be NOK 12,000 per month, payable by Aadnevik Invest;

● Aadnevik Invest may transfer their rights and obligations to another company they own or have an interest in, with the consent of Liv Tømmermo-Reitan; and

● Tensio or an equivalent energy supplier, has the right to lay the necessary cables in the ground to ensure sufficient energy supply to the location.

On July 12, 2024, Aadnevik Invest transferred all of its interests, rights, and obligations under the Second Norway Property Option and Lease Agreement to Exanorth (the "**Second Norway Property LTA**").

&nbsp;&nbsp;&nbsp;&nbsp;(iii) *<u>North Dakota Property</u>* 

On July 18, 2022, ND I, LLC and Cavalier County Job Development Authority entered into a purchase and sale agreement (the "North Dakota Property Purchase Agreement"). Pursuant to the North Dakota Property Agreement, ND I, LLC purchased North Dakota Property from Cavalier County Job Development Authority, as well as:

● all buildings and improvements located on the North Dakota Property and all rights, interest, title to any and all fixtures thereto;

● all rights appurtenant to the North Dakota Property, including any strops and gores abutting the North Dakota Property;

● all permits, entitlements, government approvals, certificates of occupancy, license, or other form of authorization or approval issued by a government agency or authority and legally required for the construction, ownership, operation, and use of the North Dakota Property;

● any written warranty, guarantee, or other obligation from any contractor, manufacturer, or vendor to any improvements, furnishings, fixture, or equipment located at the North Dakota Property, to the extent assignable;

● all other rights, privileges, easements, licenses, appurtenances, and hereditaments relating to the North Dakota Property; and

● the plans, surveys, specifications, drawings, architectural engineering drawings, and other information relating to the construction and history of the North Dakota Property

(collectively, the "North Dakota Property Ancillaries").

As consideration for the purchase of the North Dakota Property and the North Dakota Property Ancillaries, ND I, LLC paid Cavalier County Job Development Authority a purchase price of US$250,000.

On July 18, 2022, in connection with the North Dakota Property Purchase Agreement, ND I, LLC and Cavalier County Job Development Authority entered into a limited option agreement (the "**ND I, Limited Option Agreement**"), pursuant to which ND I, LLC grants Cavalier County Job Development Authority a limited, exclusive option to purchase the North Dakota Property including the North Dakota Property Ancillaries (the "**North Dakota Property Option**"). The ND I, Limited Option Agreement provides that in the event that ND I, LLC fails to construct a 10MW data center on the North Dakota Property by July 1, 2027, Cavalier Country Job Development Authority shall have the right to purchase the North Dakota Property including the North Dakota Ancillaries from ND I, LLC. In the event that ND I, LLC constructs the data center on the North Dakota Property before July 1, 2027, the North Dakota Property Option shall automatically terminate. In the event that ND I, LLC fails to develop the North Dakota Property in the manner stipulated under the ND I, LLC Option Agreement, the term of the North Dakota Property Option shall commence on July 2, 2027, and automatically terminate on October 1, 2027.

On December 29, 2022, ND I, LLC and Cavalier County Job Development Authority entered into a memorandum of right of first refusal (the "**ND I, ROFR**") under which ND I, LLC has granted Cavalier County Job Development Authority the right of first refusal to purchase the North Dakota Property. The ND I, ROFR expires on October 31, 2027.

On September 12, 2022, ND I, LLC entered into a lease agreement with 1026 NP Avenue Master Tenant LLC, a North Dakota limited liability company. Pursuant to the lease agreement, ND I, LLC leased 2,156 square feet of a building owned by 1026 NP Avenue Master Tenant LLC and ND I, LLC was to use the premises as its office, paying annual base rent of US$42,720.00. The term of the lease was 60 months. ND I, LLC and 1026 NP Avenue Master Tenant LLC are in the process of terminating the agreement. On November 8, 2024, ND I, LLC and 1026 NP Avenue Master Tenant LLC terminated the lease agreement by entering into a settlement agreement. ND I, LLC paid 1026 NP Avenue Master Tenant LLC US$33,000 and will make an additional payment of US$42,000 by no later than January 31, 2025.

On August 1, 2024, Bitzero, ND I, LLC, entered into an agency agreement with Cushman & Wakefield U.S., Inc. (the "**C&W Agency Agreement**"). Pursuant to the C&W Agency Agreement, Cushman & Wakefield U.S. Inc., is granted the exclusive right to sell, lease or negotiate the real global real estate for the North Dakota Property. Specifically, Cushman & Wakefield U.S. Inc. will use its best efforts to obtain a satisfactory developer partner, lessee, or purchaser for the North Dakota Property on terms that are acceptable to Bitzero and ND I, LLC. The C&W Agency Agreement expires on January 31, 2025, and if during the term of the agreement, Bitzero or ND I, LLC leases or negotiates a developer partnership agreement in any interest in the North Dakota Property, they will pay Cushman & Wakefield U.S., Inc. a commission as set out in the C&W Agency Agreement.

On May 14, 2025, ACCT, Inc. filed a lawsuit in Cavalier County District Court, North Dakota (Case No. 10-2025-CV-00024) against ND I, LLC, seeking to enforce a construction lien and recover payment for asbestos removal and restoration work performed on the Nekoma Pyramid. The amount claimed by ACCT, Inc. is US$131,544.91, based on invoices dated December 5, 2022. Prior to filing the lawsuit, ACCT, Inc. issued a notice of intent to lien on December 3, 2024, recorded a construction lien on February 6, 2025, and served a notice of intent to enforce the lien on April 15, 2025. On October 29, 2025, ACCT, Inc. and ND I, LLC entered into a mutual release and settlement of claims, pursuant to which the parties settled the dispute in consideration for the payment by ND I, LLC of US$110,000 to ACCT, Inc., which amount has been paid as of the date hereof.

&nbsp;&nbsp;&nbsp;&nbsp;(iv) *<u>Finland Real Estate Agreements</u>* 

On January 23, 2025, Bitzero entered into a share purchase agreement with a third party to purchase all of the issued and outstanding shares of Bitzero Finland. As consideration, Bitzero paid €2,000 and Bitzero Finland became a wholly-owned subsidiary of Bitzero.

On February 10, 2025, Bitzero Finland entered into three agreements with the city of Kokemäki, Finland being: (i) a preliminary agreement on purchase of certain real estate (the "**Finland Preliminary Agreement**"); (ii) a real estate purchase agreement (the "**Finland Real Estate Purchase Agreement**"); and (iii) an agreement on the reservation and option to buy real estates (the "**Finland Option Agreement**", together with the Finland Preliminary Agreement and the Finland Real Estate Purchase Agreement the "**Finland Property Agreements**"). Pursuant to the Finland Property Agreements, Bitzero Finland has paid aggregate consideration of €746,200 to the city of Kokemäki, Finland, to date.

Pursuant to the Finland Preliminary Agreement, the city of Kokemäki, Finland must sell certain real estate to Bitzero Finland if certain conditions precedent are met. There are two pieces of real estate contemplated under the Finland Preliminary Agreement: (i) a building plot located in Kokemäki, Finland having a total area of 54,000m<sup>2</sup> (inclusive of the build plot and unseparated piece of land) ("**Finland Real Estate I**"); and (ii) an unseparated piece of land having a total area of 73,000m<sup>2</sup> ("**Finland Real Estate III**"). A summary of the terms pertaining to Finland Real Estate I and Finland Real Estate III are set out below:

Finland Real Estate I

● The purchase price shall be €324,000. Bitzero Finland paid a non-refundable reservation fee of 10% of the purchase price already.

● For the sale and conveyance of Finland Real Estate I to take effect, Bitzero Finland must confirm availability of an additional power capacity of at least 500MW or other additional power capacity specified by the parties at the site.

Finland Real Estate III

● The purchase price shall be €438,000. Bitzero Finland paid a non-refundable reservation fee of 10% of the purchase price already.

● For the sale and conveyance of Finland Real Estate III to take effect, Bitzero Finland must confirm availability of an additional power capacity of at least 60MW at Finland Real Estate III or the Finland Real Estate II. For clarity, the minimum aggregate power supply availability at Finland Real Estate III and Finland Real Estate II together shall then be at least 100MW.

Pursuant to the Finland Real Estate Purchase Agreement, Bitzero Finland purchased the Finland Real Estate II for aggregate consideration of €570,000. Bitzero Finland has an obligation to build pursuant to the Finland Real Estate Purchase Agreement; it must (i) procure an aggregate power supply of not less than 40MW at Finland Real Estate II; and (ii) build and install a data center on Finland Real Estate II with the aggregate installed power consumption of not less than 40MW within two years after a power supply of 40MW has become available on Finland Real Estate II. Additionally, Bitzero Finland shall not sell the or otherwise transfer the Finland Real Estate II until the building obligations described above are fulfilled.

Pursuant to the Finland Option Agreement, Bitzero Finland paid a reservation fee of €100,000 to reserve a land area of 700,000m<sup>2</sup> and was granted an option to purchase the reserved area through written notice to the city of Kokemäki, Finland. If Bitzero Finland chooses to exercise the option, it shall purchase the reserved area for €6/ m.<sup>2</sup> Once the option is exercised, Bitzero Finland must fulfil a number of obligations including but not limited to procuring an aggregate power supply of 500MW-1000MW at the reserved area and building and installing a data center with the aggregate installed power consumption of 500MW-1000MW.

g) Norway
Data Center Agreements Mining Pool Agreements

The material terms of the Luxor Services Agreement are as follows:

● The Luxor Services Agreement is for a fixed term of 36 months from the effective date (May 26, 2022) and shall automatically extend for successive 12-month periods, unless terminated by either party in accordance with its terms;

● Luxor agrees to provide maintenance and support services to Bitzero, including the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Ensuring
 that the Luxor Mining Pool is capable of receiving Hash power and includes basic upkeep
 of the Luxor Mining Pool. Any issues with the Luxor Mining Pool not receiving Hash power
 correctly will be fixed by Luxor at no cost

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Net
 new features that differentiate from the current Luxor Software will be discussed in
 separate agreements, as requested by Bitzero;

● Luxor agrees to provide the following hosting services:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Deploy
 the Luxor Software;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Use
 its reasonable endeavors to keep the Luxor Software up-to-date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Maintain
 adequate security protection of the Luxor Software; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Monitor
 the performance of the Luxor Software for reporting back to Bitzero;

● Bitzero is responsible for ensuring that it has the requisite hardware and software necessary to deploy and access the Luxor Mining Pool;

● Bitzero and Luxor agree to jointly file a provisional patent to protect the methodology used to create the pool. If the patent is accepted and granted as an industrial patent, Luxor and Bitzero are to split the benefits that accrue as a result of the ownership of the intellectual property; notably, the patent has not yet been filed;

● Luxor is to deploy and maintain the Luxor Software for the Luxor Mining Pool, provide hosting services related to the software, and ensure that the aggregate monthly downtime percentage does not exceed 2%. For clarity, "downtime percentage" is the percentage of time that the Luxor Software is not operational or productive and negatively impacts the overall mining performance and profitability;

● Bitzero agrees that it and its clients shall provide the Hashrate power that is operational to the Luxor Mining Pool (See "*Section 5.1 – Overview: Bitzero & Principal Markets – Bitcoin Mining Overview*" for a description of Hashrates);

● The following payments were made pursuant to the Luxor Services Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Bitzero
 paid Luxor for the set-up infrastructure costs totaling US$1,050,000;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Luxor
 Mining Pool fees are split by Luxor and Bitzero, whereby Luxor receives 0.20% of each
 Total Miner Reward and Bitzero will receive the remaining 99.8% of each Total Miner Reward.

On February 28, 2024, Bitzero and Luxor entered into a developer fee addendum agreement, which provides for updates to the terms of the end use license agreement that governs Bitzero's use of Luxor's software. Under the agreement, Bitzero pays Luxor a fee equal to 2.80% of the Hashrate which is taken directly from ASICs connected to the Luxor Operating System. For clarity, this means that Luxor is entitled to use 2.80% of the Hashrate generated by Bitzero. The term of the agreement is one year, and the agreement shall automatically renew thereafter unless Bitzero provides a notice of non-renewal 60 days prior to the expiration.

h) Hosting
& Management Agreements

*<u>Previous Agreements with Sowrer</u>*

On September 16, 2022, as amended on March 14, 2023, Exanorth and Sowrer entered into a hosting and maintenance services agreement, (the "**Sowrer Hosting and Maintenance Services Agreement**"). Pursuant to the Sowrer Hosting and Maintenance Services Agreement, Sowrer engaged Exanorth to host its digital asset mining equipment, and Exanorth provides the deployment, hosting and maintenance services. The Hosting and Maintenance Services Agreement was fixed for a term of 32 months, extendable to 34 months under certain conditions and is to be automatically terminated if Exanorth exercised its option to purchase the Sowrer Equipment pursuant to the Sowrer Option Agreement.

On September 16, 2022, as amended on March 14, 2023, Exanorth and Sowrer entered into a lease agreement whereby the certain equipment owned by Sowrer was leased to Exanorth for use at the Norway Data Center (the "**Sowrer Equipment Lease**"). The equipment leased by Sowrer pursuant to the Sowrer Equipment Lease includes: (i) 15 containers consisting of goldingen containers, 312 miners capacity, access control, fire alarms, and CCTV; (ii) 6 high voltage housing transformers; and (iii) 6 high voltage transformers (collectively, the "**Sowrer Equipment**"). The material terms of the Sowrer Equipment Lease were as follows:

● The Sowrer Equipment Lease was for a fixed term of 34 months.

● The rent for the Sowrer Equipment under the Sowrer Equipment Lease is US$71,170.62 per month for the first six months and US$50,489.21 per month for the remainder of the term of the Sowrer Equipment Lease.

On September 16, 2022, with an effective date of November 1, 2022, as amended on March 14, 2023, Exanorth and Sowrer entered into a call option agreement (the "**Sowrer Option Agreement**"). Under the Sowrer Option Agreement, Exanorth has an option to buy the Sowrer Equipment, by providing Sowrer with written notice. The option can be exercised during the term of the Sowrer Equipment Lease.

The Sowrer Hosting and Maintenance Services Agreement, Sowrer Equipment Lease, and Sowrer Option Agreement have been replaced by the Sowrer LTGA, as disclosed under "*New Sowrer – Exanorth Agreements*" below.

*<u>Agreements with Arcane</u>*

On June 10, 2022, Exanorth entered into a hosting agreement with Arcane (the "**Exanorth-Arcane Agreement**"), under which Exanorth arranges space and other equipment necessary to operate computers and related hardware for cloud computing at the Norway Data Center (the "**Arcane Servers**"). The Exanorth-Arcane Agreement will remain in effect until terminated. The parties may terminate the Exanorth-Arcane Agreement with 90 days written notice to the other party after the initial 12-month period. The Exanorth-Arcane Agreement is still in effect, but the Arcane Servers were taken over by Sowrer pursuant to the Sowrer LTGA; see below under "*New Sowrer-Exanorth Agreement.*"

*<u>New Sowrer – Exanorth Agreements</u>*

On April 13, 2024, Sowrer and Exanorth entered into three new agreements which replace the Sowrer Hosting and Maintenance Services Agreement, Sowrer Equipment Lease, Sowrer Option Agreement, and G75 Management Agreement (collectively, the "**Original Exanorth Hosting Agreements**").

On April 13, 2024, Sowrer and Exanorth entered into a lease transfer and governance agreement (the "**Sowrer LTGA**"). Pursuant to the Sowrer LTGA, Sowrer assumed such rights, contracts and/or assets to (i) acquire power access rights and secure connection to 17MW of the Norway Data Center (the "**Sowrer Leased Area**"); (ii) continue to own and directly operate the Sowrer Equipment in a separate area of the Norway Data Center; (iii) a 15-year lease for a 17MW plot in the Norway Data Center; (iv) continue to benefit from the Energy Provider Power Agreement; and (v) replace Arcane in the Exanorth-Arcane Agreement. As consideration for termination of the Original Exanorth Hosting Agreements and for entering into the Sowrer LTGA, Sowrer Lease, and the Sowrer Grid Agreement, Sowrer paid the following consideration to Exanorth: (i) US$1,000,000 on April 13, 2024; (ii) US$3,500,000 on April 13, 2024; and (iii) assume the recurring payments that need to be made pursuant to the Sowrer-Exanorth Lease Agreement and Sowrer-Exanorth Power Agreement. Additionally, pursuant to the Sowrer LTGA, Exanorth is entitled to exercise an option whereby, upon payment of US$16,000,000 to Sowrer, Exanorth will be entitled to the Sowrer Equipment. Following execution of the Sowrer LTGA, Sowrer was to deploy the (i) Sowrer Equipment with an initial capacity of 14MW; and (ii) Sowrer was to also host 2MW of the Arcane Servers at the Sowrer Leased Area, pursuant to the Exanorth-Arcane Agreement. As of the date of this Listing Statement, Sowrer has not paid US$3,500,000 owing under the Sowrer LTGA, consequently, Sowrer may only use 9.5MW of capacity and the remainder is under discussion.

On April 13, 2024, in connection with the Sowrer LTGA, Sowrer and Exanorth entered into a lease agreement in respect of the Sowrer Leased Area (the "**Sowrer-Exanorth Lease Agreement**"). The Sowrer-Exanorth Lease Agreement is for a fixed term of 15 years from the closing of the Sowrer LTGA and Sowrer shall pay US$120,000 in rent per year in respect of the Sowrer Leased Area. Additionally, pursuant to the Sowrer LTGA, if Exanorth wishes to sell or otherwise dispose of all or part of the First Norway Property, Sowrer has a right of first refusal to purchase the Sowrer Leased Area or parts of the First Norway Property being sold. If Sowrer transfers its right to lease to a third party or carries out a change of control, Exanorth has the right of first refusal to step in to Sowrer's position at the same terms.

On April 13, 2024, in connection with the Sowrer LTGA, Sowrer and Exanorth entered into a grid, connection, maintenance and power supply agreement (the "**Sowrer-Exanorth Power Agreement**"). Pursuant to the Sowrer-Exanorth Power Agreement, Exanorth undertakes to ensure that grid connection/capacity and power supply for 17MW are available for Sowrer at the Sowrer Leased Area at all times to ensure that Sowrer can operate the Sowrer Equipment and fulfil its obligations under the Exanorth-Arcane Agreement. For clarify, the Sowrer-Exanorth Power Agreement is not a supply of grid services and power, but rather a confirmation that Exanorth shall ensure that sufficient power is distributed to the Sowrer Leased Area. Since the total consideration was not paid under this agreement, the available capacity for Sowrer to use was adjusted to 9.5MW on a pro rata basis.

i) Grid
& Power Agreements

On January 1, 2023, Exanorth and an Energy Provider entered into two power delivery agreements (the "**Energy Provider Power Agreements**"), whereby the Energy Provider provides physical power delivery and additional services to the First Norway Property.

On February 21, 2024, Exanorth entered into a flexibility services agreement (the "**Flexibility Services Agreement**") incorporated under the laws of Sweden ("**Flexibility Provider**"). The Flexibility Services Agreement enables Exanorth to stabilize frequencies for the central grid at the First Norway Property. It provides that the Flexibility Provider is to assess the availability of the flexible capacity (MW), the value of flexible capacity (MW) and how to unlock the flexible capacity at the First Norway Property. The agreement is for a term of three years and there was a one-time payment made to the Flexibility Provider, in the amount of €500.00. Additionally, Exanorth pays the Flexibility Provider an additional monthly fee based on the number of resource types for operating the control system and the connection with the resources, for €100.00 per month.

j) Intercompany
Agreements

On December 15, 2021, the Barbadian Subsidiary entered into a data services agreement with Exanorth (the "**Barbadian-Exanorth Data Services Agreement**"), under which Exanorth provides cryptocurrency mining services and mines cryptocurrency for the Barbadian Subsidiary. As consideration, the Barbadian Subsidiary pays Exanorth a monthly service fee equal to Exanorth's costs plus an 11% margin. The term of the Barbadian-Exanorth Data Services Agreement is indefinite, but the parties may terminate the agreement within 90-day prior written notice.

k) Investor
Relations Contracts

On September 15, 2025, Bitzero entered into a consulting services agreement with Triomphe Holdings Ltd., whereby Triomphe Holdings Ltd. provides services relating to ongoing capital markets consultation, social media consultation, social sentiment reporting, social engagement reporting, dissemination of news releases, discussion forum monitoring and reporting, and corporate video dissemination. Bitzero's agreement with Triomphe Holdings Ltd. is for an initial term of 6 months, for which Bitzero paid C$120,000 as consideration. Bitzero holds a renewal option under its agreement with with Triomphe Holdings Ltd. for an additional 6 months at a price of C$75,000.

On September 30, 2025, Bitzero entered into a service agreement with Bluehand Consulting AG, located in Switzerland, whereby Bluehand Consulting AG provides various digital marketing media services to Bitzero including: branding and content creation, introduction of Bitzero to various corporate and media partners, introduction to professionals in the Bitcoin mining industry, supporting developing corporate materials for presentations and strategic partners, preparing valuation materials, sourcing acquisition and investment targes, and any other services Bitzero may reasonably request. The agreement with Bluehand Consulting AG expires on the earlier of October 1, 2026 or when the budget in the agreement has been spent. Bitzero paid Bluehand Consulting AG an initial fee of EUR250,000 for services rendered under the agreement.

On September 30, 2025, Bitzero entered into a corporate marketing and investor awareness agreement with i2i Marketing Group, LLC, whereby i2i Marketing Group, LLC provides services including content creation management, author sourcing, project management, and media distribution. The agreement establishes an initial media budget of US$250,000, with subsequent monthly campaigns managed through supplemental insertion orders. Either party may terminate the agreement with 10 days' written notice. The Resulting Issuer intends to issue a press release upon the commencement of the initial media campaign. No payments have been made yet under this agreement.

l) Other

Effective June 1, 2023, ND ZCD CTC LLC was organized under the laws of North Dakota. Bitzero advanced €50,000 to ND ZCD CTC LLC and had a 20% interest in it, upon its formation. Pursuant to a memorandum of understanding entered into on June 12, 2024, Bitzero sold its membership interest in ND ZCD CTC LLC to a third party in exchange for €50,000.

On March 25<sup>th</sup>, 2025, Bitzero entered into a letter of intent with Lista Renewable Energy Park Site, to form a new joint venture under the laws of Norway for the establishment of a data center on the Lista energy park situated in Vanse, Norway to be owned by the joint venture thereof. The joint venture is to be the asset manager of the property and the letter of intent provides that the parties would share in the profits and losses of the joint venture 50%-50%, among other terms. The parties are to negotiate and execute a mutually acceptable joint venture agreement and accessory agreements no later than August 1, 2025.

Under the letter of intent, Bitzero's percentage of ownership in the joint venture will be increased to seventy-five percent (75%) if the joint venture concludes a financing of 600-650 million NOK for the construction of a high voltage infrastructure and an amount corresponding to twenty-five percent (25%) and an amount corresponding to twenty-five percent (25%) of the value of the Lista property shall be contributed by Bitzero. Simultaneously, the Lista property shall be transferred to the joint venture as a contribution by Lista.

On March 25, 2025, the parties extended the outside date to conclude all joint venture agreements and accessory agreements to December 31, 2025.

4.2. The
 Transaction

On August 21, 2025, Bitzero and WBM entered into a non-binding Letter Agreement (the "**Letter Agreement**"), which became the definitive agreement on November 18, 2025¸ when Bitzero confirmed its satisfaction with due diligence. The Letter Agreement outlines the terms and conditions upon which WBM acquired the issued and outstanding equity securities of Bitzero. The Transaction was completed on November 19, 2025 pursuant to which the Resulting Issuer assumed the business of Bitzero. The material terms of the Letter Agreement are set out below.

**Representations, Warranties and Covenants**

The Letter Agreement contains customary representations and warranties made by each of the parties in respect of the respective assets, liabilities, financial position, business and operations of Bitzero and WBM. Both Bitzero and WBM also provided covenants in favour of each other in the Letter Agreement which govern the conduct of the operations and affairs of each respective party prior to the Transaction.

Immediately prior to Closing, WBM had the following securities outstanding including convertible securities: (i) 250,000 WBM Common Shares issued and outstanding; and (ii) 97,927 WBM Warrants, each exercisable for the purchase of one WBM Common Share at a price of C$3.60 per WBM Common Share, expiring on November 30, 2025.

**Terms of the Transaction**

The terms of the Transaction were as follows:

1. WBM
 held the WBM Meeting on August 25, 2025, whereby shareholders approved the replacement
 of the articles and notice of articles of the Corporation providing for, among other
 things, (i) the restatement of the rights and restrictions of the existing class of WBM
 Common Shares, and (ii) the creation of a class of non-voting shares that have substantially
 the same terms and conditions as the WBM Common Shares but for not entitling the holders
 thereof to vote and which are convertible, subject to certain limitations, into WBM Common
 Shares on a one-for-one basis (the "**Resulting Issuer Non-Voting Shares** ").

2. On
 July 24, 2025, WBM completed the WBM Adjustment by completing a share split of the WBM
 Common Shares on a basis of 250,000 post-WBM Common Shares for every one (1) pre-WBM
 Common Share such that the number of post-WBM Common Shares is 250,000.

3. WBM
 obtained shareholder approval immediately prior to the Effective Time of (i) the election
 of the directors of the Resulting Issuer, as selected by Bitzero; (ii) the Omnibus Incentive
 Plan; (iii) the Name Change; and (iv) the Rights Plan via written resolution.

4. Bitzero
 completed the following financings in connection with the Transaction: (i) the Bitzero
 2024 Financing, which closed in tranches from September 11, 2024, to July 31, 2025, and
 issued 35,515,000 Bitzero Shares at a price of US$0.20 per Bitzero Share for aggregate
 gross proceeds of US$7,103,000; (ii)
the Bitzero 2025 Financing, which closed in tranches from August 1, 2025, to October 14, 2025, and issued 4,771,750 Bitzero Shares
at a price of US$0.40 per Bitzero Share for total gross proceeds of US$1,908,700, and one lead subscriber that subscribed for
gross proceeds of US$1,500,000 was also issued 3,750,000 warrants, each exercisable for the purchase of one Bitzero Share at a
price of US$0.40 per share for a period of 24 months; (iii) the JGB First Draw, which closed on June 27, 2025, being a secured
term loan in the principal amount of US$17,510,000 (subject to a US$510,000 original issue discount) maturing June 27, 2028, with
associated warrants to purchase 4% of Bitzero Shares (on a fully diluted basis) being 19,559,862 warrants, at a purchase price
of US$0.01 per Bitzero Share at US$0.01 per share for a period of five years following the completion of the Transaction; (iv)
the JGB Second Draw, which closed on October 20, 2025, being a draw term loan in the principal amount of US$8,245,000 (inclusive
of a US$245,000 original issue discount), with associated warrants to purchase 1% of the Resulting Issuer Shares (on a fully diluted
basis) being 5,974,930 warrants, at a purchase price of US$0.01 per Bitzero Share at US$0.01 per shares for a period of five years
following the completion of the Transaction; and (iv) the Bitzero Convertible Note Financing, which closed in tranches from October
6, 2025 to October 10, 2025, being the issuance of convertible notes for aggregate gross proceeds of US$1,075,000, convertible
at US$0.40 per Bitzero Share, and including an aggregate of 2,687,500 warrants to purchase Bitzero Shares at a price of US$0.50
per share for a period of two years. WBM completed the WBM FinCo Debt Settlement immediately prior to the Effective Time to settle
aggregate indebtedness of C$205,647,70 at a price of C$0.05 per FinCo Share which resulted in the issuance of 4,112,954 FinCo
Shares.

5. Bitzero
 issued 1,750,000 Bitzero Shares to certain arm's length parties, in connection
 with the Transaction as a finder's fee (the "**Finder Shares** ").

6. Immediately
 prior to the Closing, (i) the WBM Board resigned and the Resulting Issuer Board consisting
 of Mohammed Bakhashwain, Giovanni Gaudenzi, Claudia Di Iorio, and Gilles Seguin was appointed,
 (ii) the Omnibus Incentive Plan was adopted in place of WBM's stock option plan,
 (iii) WBM adopted a new set of articles and creating the Resulting Issuer Non-Voting
 Shares; and (iv) WBM adopted the Rights Plan.

7. WBM
 amalgamated with WBM SubCo 3, pursuant to which WBM implemented the Name Change and adopted
 the name "Bitzero Holdings Inc."

8. The
 Transaction was completed through a business combination by way of a triangular amalgamation
 pursuant to which WBM SubCo 1 and WBM SubCo 2 amalgamated with Bitzero and WBM FinCo
 to form newly amalgamated entities which became wholly-owned subsidiaries of WBM.

9. The
 holders of FinCo Shares became holders of Resulting Issuer Shares on the basis of one
 Resulting Issuer Voting Share for each FinCo Share held.

10. The
 holders of Bitzero Shares became holders of Resulting Issuer Shares based on the following:
 (i) one Resulting Issuer Voting Share for 10 Bitzero Shares held and (ii) one Resulting
 Issuer Non-Voting Share for 10 Bitzero Non-Voting Shares held.

4.3. Shareholder
 Rights Plan

The Rights Plan received shareholder approval via written resolution on November 18, 2025. On November 19, 2025, WBM adopted the Rights Plan. The following is a description of the key terms of the Rights Plan. However, the information related to the Rights Plan below is intended as a summary only and is qualified in its entirety by the full text of the Rights Plan, in the form attached as Schedule "H" attached to this Listing Statement. Capitalized terms used but not defined in the summary below have the meanings ascribed to them in the Rights Plan. The Rights Plan will be re-approved by the shareholders of the Resulting Issuer.

Objectives

The primary objectives of the Rights Plan are to:

&nbsp;&nbsp;&nbsp;&nbsp;(i) ensure,
 to the extent possible, that all Shareholders and the Board have adequate time to consider
 and evaluate any unsolicited take-over bid;

&nbsp;&nbsp;&nbsp;&nbsp;(ii) provide
 the Board with adequate time to identify, solicit, develop, and negotiate value-enhancing
 alternatives, as considered appropriate, to any unsolicited take-over bid;

&nbsp;&nbsp;&nbsp;&nbsp;(iii) encourage
the fair treatment of Shareholders in connection with any unsolicited take-over bid; and

&nbsp;&nbsp;&nbsp;&nbsp;(iv) generally,
 assist the board of directors in enhancing shareholder value.

Effective Date

The Rights Plan is effective as of November 19, 2025.

Term

This Rights Plan must be reconfirmed by a resolution passed by a majority of the votes cast by independent shareholders who vote in respect of such reconfirmation at every third annual meeting of the Resulting Issuer. If the Rights Plan is not so reconfirmed or is not presented for reconfirmation at such annual meeting, the Rights Plan and all outstanding rights shall terminate and be void and of no further force and effect on and from the date of termination of the applicable annual meeting; provided that termination shall not occur if a Flip-in Event has occurred (as defined below) (other than a Flip-in Event which has been waived pursuant to the Rights Plan), prior to the date upon which the Rights Plan would otherwise terminate.

<u>Issue of Rights</u>

One right to purchase Resulting Issuer Voting Shares (each, a "**Right**") shall be issued on the Effective Date (being the date that the Rights Plan becomes effective, after the Transaction), in respect of each Resulting Issuer Voting Share issued or deemed at 5:00 p.m. (Toronto Time) on the Effective Date (the "**Record Time**") and one Right shall be issued in respect of each Resulting Issuer Voting Share after the Record Time and prior to the earlier of the Separation Time (as defined in the Rights Plan) and the Expiration Time (as defined in the Rights Plan). Notwithstanding the foregoing, one Right in respect of each Resulting Issuer Voting Share issued after the Record Time upon the exercise of rights pursuant to convertible or exchangeable securities outstanding at the Share Acquisition Date (as defined in the Rights Plan) may be issued after the Separation Time but before the Expiration Time.

Certificates (or other evidence of book-entry or other uncertificated ownership) representing Resulting Issuer Voting Shares, including Resulting Issuer Voting Shares issued upon the exercise, conversion or exchange of Convertible Securities (any securities issued by the Resulting Issuer, including Resulting Issuer Non-Voting Shares, rights, warrants, convertible notes and options but excluding Rights), which are issued after the Record Time, but prior to the earlier of the Separation Time and the Expiration Time, shall evidence one Right for each Resulting Issuer Voting Shares represented thereby and shall have impressed on, printed on, written on or otherwise affixed to them a specific legend.

Certificates (or other evidence of book-entry or other uncertificated ownership) representing Resulting Issuer Voting Shares that are issued and outstanding as at the Record Time shall evidence one Right for each Resulting Issuer Voting Shares evidenced thereby, notwithstanding the absence of the foregoing legend until the earlier of the Separation Time and the Expiration Time.

<u>Rights Exercise Privilege</u>

Subject to adjustment, each Right will entitle the holder thereof, after the Separation Time and prior to the Expiration Time, to purchase one Resulting Issuer Voting Share for the Exercise Price (and the Exercise Price and number of Resulting Issuer Voting Shares are subject to adjustment as set forth herein). Notwithstanding any other provision of the Rights Plan, any Rights Beneficially Owned by the Corporation or any of its Subsidiaries shall be void.

Until the Separation Time:

● the Rights shall not be exercisable, and no Right may be exercised; and

● each Shareholder will be entitled to one Right for each Resulting Issuer Voting Share held (subject to adjustment as set forth herein) and each Right will be evidenced by the certificate for the associated Resulting Issuer Voting Share registered in the name of the holder thereof (which certificate shall also be deemed to represent a Rights Certificate) and will be transferable only together with, and will be transferred by a transfer of, such associated Resulting Issuer Voting Share.

From and after the Separation Time and prior to the Expiration Time:

● the Rights shall be exercisable and may be exercised; and

● the registration and transfer of the Rights shall be separate from and independent of the Resulting Issuer Voting Shares.

In the event that if prior to the Expiration Time a Flip-in Event (as defined in the Rights Plan and described below) occurs, each Right shall constitute, effective from and after the later of its date of issue and at the close of business on the second Trading Day after the Share Acquisition Date (or such longer period as may be required to satisfy the requirements of any applicable securities laws or comparable legislation of each of the states of the United States of America and the provinces and territories of Canada and the regulations and rules thereunder), the right to purchase from the Corporation, upon exercise thereof in accordance with the terms hereof, that number of Resulting Issuer Voting Shares having an aggregate market price (based on the closing price of the Resulting Issuer Voting Shares on the 20 trading days immediately preceding the date that market price is determined) on the date of consummation or occurrence of such Flip-in Event equal to twice the Exercise Price for an amount in cash equal to the Exercise Price (such right to be appropriately adjusted in a manner analogous to the applicable adjustment provided for in Section 2.3 of the Rights Plan, without duplication, in the event that after such date of consummation or occurrence, an event of a type analogous to any of the events described in Section 2.3 of the Rights Plan shall have occurred with respect to such Resulting Issuer Voting Shares).

A "**Flip-in Event**" means a transaction or other event in or pursuant to which any Person becomes an Acquiring Person.

A person is deemed an "**Acquiring Person**" if they acquire (as a Beneficial Owner) 20% or more of the Resulting Issuer Voting Shares (or Convertible Securities, including Resulting Issuer Non-Voting Shares, rights, warrants, convertible notes, and options, but excluding the Rights) either directly, through Affiliates or Associates (as each of such terms defined in the Rights Plan), or by acting jointly or in concert with others, including as disclosed in filings under applicable securities laws. Exceptions to this definition include a "Grandfather Person," who held (as a Beneficial Owner) 20% or more of the Resulting Issuer Voting Shares as of the Record Time but will lose this status if they subsequently increase their ownership by more than 1%, except under specified circumstances.

The issue of the Rights is not initially dilutive. Upon a Flip-in Event occurring and the Rights separating from the Resulting Issuer Voting Shares, holders of Rights not exercising their Rights upon the occurrence of a Flip-in Event may suffer substantial dilution.

<u>Lock-up Agreement</u>

A bidder may enter into Lock-up Agreements with the Corporation's shareholders ("**Locked-up Persons**") whereby such shareholders agree to tender their Resulting Issuer Voting Shares to the take-over bid (the "**Subject Bid**") without a Flip-in Event (as referred to above) occurring. Any such agreement must include a provision that permits the Locked-up Person to withdraw the Resulting Issuer Voting Shares to tender to another take-over bid or to support another transaction that will provide greater consideration to the shareholder than the Subject Bid. The Lock-up Agreement may require that the consideration under the other transaction exceed the consideration under the Subject Bid by a specified amount. The specified amount may not be greater than 7%. For greater certainty, a Lock-up Agreement may contain a right of first refusal or require a period of delay to give a bidder an opportunity to match a higher price in another transaction as long as the shareholder can accept another bid or tender to another transaction.

The Rights Plan requires that any Lock-up Agreement be made available to the Corporation and the public. Under a Lock-up Agreement, no "break up" fees, "top up" fees, penalties, expense reimbursements or other amounts that exceed in aggregate the greater of (i) 2.5% of the value payable under the Subject Bid, and (ii) 50% of the amount by which the value received by a Locked-up Person under another take-over bid or transaction exceeds what such Locked-up Person would have received under the Subject Bid, may be payable by such Locked-up Person if the Locked-up Person fails to deposit or tender Resulting Issuer Voting Shares to the Subject Bid or withdraws Resulting Issuer Voting Shares previously tendered thereto in order to deposit such Resulting Issuer Voting Shares to another take-over bid or support another transaction.

Permitted Bid Requirements

The requirements for a Permitted Bid include the following:

&nbsp;&nbsp;&nbsp;&nbsp;(i) the
take-over bid must be made by way of a take-over bid circular;

&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
take-over bid must be made to all registered holders of Resulting Issuer Voting Shares;

&nbsp;&nbsp;&nbsp;&nbsp;(iii) the
 Take-over Bid shall contain, and the take up and payment for securities tendered or deposited
 thereunder shall be subject to, an irrevocable and unqualified condition that no securities
 shall be taken up or paid for pursuant to the Take-over Bid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) prior
to 11:59 p.m. on the date which is not less than one hundred and five (105) days following the date of the Take-over Bid or such
shorter minimum period as determined in accordance with Section 2.28.2 or Section 2.28.3 of NI 62-104 for which a Take-over Bid
(that is not exempt from any of the requirements of Division 5 (Bid Mechanics) of NI 62-104) must remain open for deposit of securities
thereunder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) unless,
at 11:59 p.m. on the date securities are first taken up or paid for under such Take-over Bid, more than fifty percent (50%) of
the then outstanding securities of the class (Resulting Issuer Voting Shares) that are subject to the Take-over Bid held by Independent
Shareholders shall have been tendered or deposited to the Take-over Bid and not withdrawn;

&nbsp;&nbsp;&nbsp;&nbsp;(iv) the
 Take-over Bid shall contain an irrevocable and unqualified provision that, unless the
 Take-over Bid is withdrawn, securities may be deposited pursuant to such Take-over Bid
 at any time during the period of time which applies pursuant to clause (iii) above and
 that any securities deposited pursuant to the Take-over Bid may be withdrawn at any time
 until taken up and paid for; and

&nbsp;&nbsp;&nbsp;&nbsp;(v) the
 Take-over Bid shall contain an irrevocable and unqualified provision that should the
 condition referred to in clause (iii) above be met:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 Offeror will make a public announcement of that fact; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the
 Take-over Bid will be extended for a period of not less than ten (10) days from the date
 of such public announcement;

provided, however, that a Take-over Bid that qualified as a Permitted Bid shall cease to be a Permitted Bid at any time and as soon as when such Take-over Bid ceases to meet any or all of the provisions of this definition.

The Rights Plan allows for a competing Permitted Bid (a "**Competing Permitted Bid**") to be made while a Permitted Bid is in existence. A Competing Permitted Bid must satisfy all the requirements of a Permitted Bid except that it may expire on the same date as the Permitted Bid, subject to the requirement that it be outstanding for a minimum period of 105 days.

<u>Waiver</u>

The Board, acting in good faith, may, prior to the occurrence of a Flip-in Event, waive the application of the Rights Plan to a particular Flip-in Event (an "**Exempt Acquisition**") where the take-over bid is made by a take-over bid circular to all holders of Resulting Issuer Voting Shares. Where the Board exercises the waiver power for one take-over bid, the waiver will also apply to any other take-over bid for the Corporation made by a take-over bid circular to all holders of Resulting Issuer Voting Shares prior to the expiry of any other bid for which the Rights Plan has been waived.

The Board may also waive the application of the Rights Plan if the Acquiring Person reduces its Beneficial Ownership to less than 20% of all outstanding Resulting Issuer Voting Shares.

<u>Redemption</u>

The Board, with the approval of a majority of the votes of the holders of Resulting Issuer Voting Shares (or the holders of the Rights if the Separation Time has occurred) recorded (including any votes cast by proxy) at a meeting duly called for that purpose, may redeem the Rights at $0.00001 per Right. The Rights shall also be redeemed by the Board without such approval following completion of a Permitted Bid, Competing Permitted Bid or Exempt Acquisition.

<u>Amendment</u>

The Board may amend the Rights Plan with the approval of a majority vote of the votes cast by shareholders (or the holders of Rights if the Separation Time has occurred) voting in person or by proxy at a meeting duly called for that purpose. The directors without such approval may correct clerical or typographical errors and, subject to approval as noted above at the next meeting of the shareholders (or holders of Rights, as the case may be), may make amendments to the Rights Plan to maintain its validity due to changes in applicable legislation.

<u>Exemptions for Institutional Investors</u>

Generally, investment managers (for client accounts), trust companies (acting in their capacities as trustees and administrators), statutory bodies whose business includes the management of funds, administrators or trustees of registered pension plans or funds (as well as the pension plans or funds), and Crown agents or agencies acquiring greater than 20% of the Resulting Issuer Voting Shares are exempted from triggering a Flip-in Event, provided that they are not making, or are not part of a group making, a take-over bid.

5. NARRATIVE DESCRIPTION OF THE BUSINESS

5.1. Overview:
 Bitzero & Principal Markets

The Resulting Issuer will adopt the business of Bitzero.

Bitzero is a provider of IT energy infrastructure and high-efficiency power generation for data centers to support various activities including HPC and Blockchain mining. Bitzero currently focuses on three principal areas: (1) data center development; (2) Bitcoin mining; and (3) obtaining strategic data center hosting partnerships.

*Data Center Development Overview*

Data centers are physical facilities that are used to house computer systems and associated components, IT infrastructure, critical applications, and data for applications and services. Data centers can be used for a variety of purposes and support the needs of large-scale applications, including but not limited to Bitcoin mining, cloud computing, web hosting, processing large data sets, providing the foundation for artificial intelligence, machine learning, and more. Data center designs are based on computing and networking solutions and include components such as routers, switches, firewalls, storage systems, and more.

*Bitcoin Mining Overview*

Bitcoin mining is the process by which new Bitcoins are created and transactions are verified and added to the public ledger known as the Bitcoin Blockchain. Mining is conducted by miners using hardware and software to generate a cryptographic number that is equal to or less than a number set by the Bitcoin network's algorithm.<sup>1</sup> Bitcoin self-mining refers to the process by which a miner validates Bitcoin transactions and adds them to the Blockchain ledger without relying on a trusted third party.

"Hashrate" is a measure of the computational power used in the mining process of cryptocurrencies, it indicates how many hash functions a miner can perform per second. Generally, the higher the Hashrate, the more attempts a miner can make to add new blocks to the Blockchain. Bitcoin Hashrates are generally measured through exahashes per second (E/Hs); one exahash equals 10<sup>18</sup> hashes, which means E/Hs indicates how many quintillion Hash calculations can be performed in one second.<sup>2</sup> E/Hs represent high levels of computational power associated with large-scale mining operations or data centers.<sup>3</sup>

*Hosting Partnerships Overview*

Data center hosting is a service where companies and organizations store and manage their IT infrastructure in third-party data centers, enabling them to use the same the services, features, and capabilities of a data center without building their own infrastructure. Data center hosting comes in various forms, including the following:

&nbsp;&nbsp;&nbsp;&nbsp;(1) Dedicated
 hosting: a client rents an entire server, giving them full control over its resources;

&nbsp;&nbsp;&nbsp;&nbsp;(2) Shared
 hosting: multiple clients share the same server and its resources, making it more cost-effective
 but with limited control;

&nbsp;&nbsp;&nbsp;&nbsp;(3) Virtual
 private server hosting: a server is divided into multiple servers, offering more control
 and resources than shared hosting; and

&nbsp;&nbsp;&nbsp;&nbsp;(4) Cloud
 hosting: resources are distributed across multiple servers, allowing for scalability
 and flexibility.

*Bitzero Overview*

Bitzero was created to disrupt and innovate in the Blockchain and data center spaces to move markets away from unsustainable data and mining practices. It is engaged in the development and operation of data centers and related energy infrastructure, Bitcoin self-mining, and HPC hosting. Bitzero's primary objective is to address the increasing demand for IT energy infrastructure driven by the growth of Blockchain technology and other HPC applications by leveraging advanced technology and energy-efficient solutions. By creating harmony with local authorities, investors, and customers, Bitzero aims to become a leader in Blockchain mining and HPC hosting in a sustainable fashion and set a new global standard for best practices in clean energy sourcing, heat capture, and sustainability within local communities.

5.2. Products
 and Services

(i) <u>Bitzero's Current Data Centers & Properties</u> 

a) The
 First Norway Property

<sup>1</sup> How Does Bitcoin Mining Work? A Beginner's Guide (investopedia.com)

<sup>2</sup> What is Bitcoin Hash rate and why does it matter?

<sup>3</sup> ExaHash - Explanation of terms

Additionally, through the Flexibility Services Agreement, Exanorth adjusts energy usage at the First Norway Property to stabilize the power grid. When Exanorth engages in stabilization efforts, it is compensated under the terms of the Flexibility Services Agreement while also supporting sustainability.

The First Norway Property provides Bitzero with an advantageous location for cryptocurrency mining for the following key reasons:

&nbsp;&nbsp;&nbsp;&nbsp;1. Norway
 is committed to large scale expansion of data center businesses;<sup>4</sup>

&nbsp;&nbsp;&nbsp;&nbsp;2. Low
 temperatures reduce server cooling costs, significantly lowering the dependency on excessive
 energy use;

&nbsp;&nbsp;&nbsp;&nbsp;3. Clean
 outside air limits the maintenance required to keep machines in working condition;

&nbsp;&nbsp;&nbsp;&nbsp;4. The
 First Norway Property is located next to the local power grid which supplies energy to
 the Norway Data Center. Since the grid is so close to the First Norway Property, the
 grid fee is low, and energy produced is conserved;

&nbsp;&nbsp;&nbsp;&nbsp;5. Fast
 and reliable internet connection enables dependable communications; and

&nbsp;&nbsp;&nbsp;&nbsp;6. Hydropower
 accounts for 90% of Norwegian electricity production, which is considered to be the cheapest
 source of renewable energy.<sup>5</sup>

The First Norway Property had approximately 320MW Total Capacity. 40MW of Active Capacity at the First Norway Property is being used by the Norway Data Center, and there was approximately 3200MW of Inactive Capacity that could be accessed through development and grid updates. Exanorth intends to expand Active Capacity at the First Norway Property over the coming months and has approval to support expansion of 70MW adding up to the total of 110 MW.

In August 2024, Exanorth received approval from the Norwegian Water Resources and Energy Directorate to operates as a utility, which means that Exanorth can control the First Norway Property's own electrical supply, and energy distribution and grid costs.

*Norway Data Center*

The Norway Data Center is 50,000 square meters and is located on the First Norway Property. Currently, the Norway Data Center operates as Bitzero's self-mining revenue-generating operations and is the focal point of Bitzero's operations. All the Bitcoin that is self-mined at the Norway Data Center is rewarded from the Luxor Mining Pool and owned by the Barbadian Subsidiary.

b) The
Second Norway Property

Pursuant to the Second Norway Property LTA, Aadnevik Invest transferred and assigned all rights, title, interest, and obligations it has under the Second Norway Property Option and Lease Agreement to Exanorth in 2024. Exanorth acquired the Second Norway Property Option and Lease Agreement to proactively support near-term growth and profitability objectives but has not yet finalized plans for it.

<sup>4</sup> Norwegian data centres - sustainable, digital powerhouses - regjeringen.no

<sup>5</sup> Data centres in Norway Rapid expansion and fundamental advantages \| DLA Piper

c) The
North Dakota Property

ND I, LLC acquired the North Dakota Property in July 2022 pursuant to the North Dakota Property Purchase Agreement. The North Dakota Property is over 184 acres and benefits from a diversified energy mix including wind, natural gas, and grid sources, ensuring reliability and efficiency.

The North Dakota Property has Total Capacity of approximately 200MW-300MW. Currently, there is 2.5MW of Active Capacity that is immediately available but not currently being used, and further Inactive Capacity that can be accessed once studies are conducted, facilities are built, and investments in system upgrades are made. Additionally, on the North Dakota Property, there is an 80,000-gallon diesel tank and additional liquid storage tank, which can provide large-scale back-up power supplies, enabling the North Dakota Property to operate independently of other electrical suppliers.

The Nekoma Pyramid was initially built in the late 1960s with initial commissioning occurring in 1975 during the cold war. It consequently has desirable security characteristics well suited for storing highly sensitive information.<sup>6</sup> The Nekoma Pyramid is located on the North Dakota Property and is currently non-operational.

The Nekoma Pyramid's special features and competitive advantages are summarized below:

&nbsp;&nbsp;&nbsp;&nbsp;1. Potential
 to offer customers an extremely high level of physical security due to its original design
 as a government defense installation, making it useful for clients with strict requirements
 in the areas of data protection and physical security;

&nbsp;&nbsp;&nbsp;&nbsp;2. Fully
 reinforced concrete and steel, designed to protect building contents; and

&nbsp;&nbsp;&nbsp;&nbsp;3. There
 are redundant power feeds available, which are built to work into the redundant power
 systems in datacenters and ensure that power gets delivered to all functional server
 components and acts as physical power supplies sample space for onsite generation and
 fuel storage.

ND I, LLC and Bitzero are in the process of developing the North Dakota Property and planning the use of the Nekoma Pyramid for their operations. Pursuant to the C&W Agency Agreement, the North Dakota Property may be sold or leased to a third-party, or ND I, LLC may retain the North Dakota Property for its own use.

*<u>Development Plan</u>*

The North Dakota Property is expected to be developed in phases:

&nbsp;&nbsp;&nbsp;&nbsp;1. **Phase 0:** Complete acquisition and preparation for the site, including: removing asbestos,
 technical drawings, energizing grid line, finalizing installation and appoint team. Additionally,
 costing of external requirements such as equipment orders and trenching for fiber optic
 cabling was conducted at this stage. Phase 0 completed in 2022.

&nbsp;&nbsp;&nbsp;&nbsp;2. **Phase 1:** Confirmed availability of power and infrastructure facilities on the site for
 data center development, this was completed on August 23, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;3. **Phase 2:** Build the Nekoma Pyramid design and supporting infrastructure at the North Dakota
 Property, including developing the Inactive Capacity of 200MW-300MW.

(ii) <u>Bitcoin Mining Operations</u> 

Another central component of Bitzero's business model is Bitcoin mining. Bitzero is focused on Bitcoin mining because it is the most efficient way for Bitzero to convert energy into sustainable cash flows. This method is predictable, straightforward to manage, and not excessively capital-intensive, with relatively low upfront costs. It involves directly converting energy into cash flows through capital expenditure and infrastructural projects. Currently, all of Bitzero's Bitcoin mining operations are conducted at the Norway Data Center. Bitzero and its subsidiaries do not mine any other cryptocurrency assets. Pursuant to the Barbadian-Exanorth Data Services Agreement, all Bitcoin that is self-mined at the Norway Data Center is owned by the Barbadian Subsidiary.

<sup>6</sup> Stanley R. Mickelsen Safeguard Missile Site Radar (MSR) Complex — Cold War Tourist

The process by which cryptocurrency coins or tokens are created and transactions are verified is called mining. A user or miner operates a publicly distributed mining client, which turns the user's computer into a "node" on the network that validates blocks. In order to add blocks to the Bitcoin Blockchain, a miner must map an input data set (i.e., the Blockchain plus a block of the most recent transactions and an arbitrary number called a "nonce") to a desired output data set of a predetermined length using an algorithm**.** As more miners join the network and its processing power increases, the network adjusts the complexity of the block solving equation to maintain a pace of adding a new block to the Blockchain approximately every 10 minutes. Below is further disclosure on the specific steps taken in Bitcoin mining operations, including how Bitzero currently engages in Bitcoin mining.

&nbsp;&nbsp;&nbsp;&nbsp;**1.**  **<u>Basic Infrastructure:</u>** Bitcoin miners must first secure land with allocated energy resources,
 typically measured in MW. After that, the Bitcoin mining site must be prepared for site
 construction.

At the Norway Data Center, substantiation construction took place which required building a 40MW substation to convert high-voltage grid power to low voltage. The necessary electrical cabling was installed and then contracts with the local energy grid providers were entered into to secure fixed energy prices for 5 years. All electricity and power supplied to the Norway Data Center is through the Energy Provider through the Energy Provider Power Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;**2.**  **<u>Container Setup:</u>** Bitcoin mining containers are used so that owners and investors can move
 mining rigs easily. In essence, Bitcoin mining containers are shipping containers equipped
 with the necessary components to conduct mining operations, including power supply units,
 cooling systems, security measures, and fire suppression systems. Each Bitcoin mining
 container houses several mining computers in racks, consuming approximately 1MW of power
 each. The number of mining units per container varies (typically between 200 and 312),
 depending on the equipment. The containers include racks for miners, power distribution
 units (PDUs), cooling systems to maintain optimal temperatures, and fire suppression
 systems.

Currently, there are 32 containers and 10,263 miners at the Norway Data Center. Specifications of Exanorth's containers are provided below:

● **Electricity Connection**: Each container connects to the electricity supply via a 2.5MW transformer.

● **Transformer Setup**: Each 2.5MW transformer powers two containers, supporting a total computing power consumption of about 2 to 2.1MW.

● **Energization**: After setting up the containers and transformers (collectively known as a "Mining Module"), an energization process ensures the module is ready to host mining computers.

&nbsp;&nbsp;&nbsp;&nbsp;**3.**  **<u>Mining equipment set up:</u>** There is specific equipment that is required for Bitcoin mining.
 Below is a summary of the type of mining equipment that is generally used:

● **Mining Hardware**: ASICs are commonly used for Bitcoin mining. These devices are designed specifically for the purpose of mining and are much more efficient than general-purpose hardware.

● **Mining Software**: Miners use software to connect to the Bitcoin network, manage their hardware, and coordinate the mining process.

● **Mining Pools**: Due to the high difficulty of mining, individual miners often join mining pools. A mining pool is a joint group of cryptocurrency miners who combine their computational resources over a network. Individually, participants in a mining pool contribute their processing power toward the effort of finding a block. This does not include Hashrate based exchanges or contracts.

● **Electricity and Cooling**: Mining is energy-intensive and generates a significant amount of heat. Efficient cooling systems and access to low-cost electricity are critical for profitable mining operations.

● **Operations and management (O&M):** Once the mining units are equipped with active mining computers, the facility operates continuously, earning Bitcoin rewards from the Blockchain around the clock. Remote monitoring systems oversee the operation, and on-site maintenance is only required if any units underperform or encounter issues.

In terms of equipment at the Norway Data Center, there are 10,263 miners used. Additionally, Bitzero is part of the Luxor Mining Pool, which employs the Luxor Software; See "*Section 4 – General Development of the Business*" for further details on the Luxor Software and Luxor Mining Pool.

&nbsp;&nbsp;&nbsp;&nbsp;**4.**  **<u>First Type of Revenues: Mining Rewards</u>** 

Every 10 minutes, a new block is added to the Blockchain ledger by all the mining computing power existing in the world, comprising approximately 4,500 Bitcoin transactions. Every 10 minutes, the global Bitcoin network rewards miners with 3.125 Bitcoins. This results in a total daily reward of 450 Bitcoins for all miners combined. This reward amount halves approximately every four years (once the right block height is reached). The Bitcoin reward per unit of mining equipment is predictable at the time of purchase but varies over time based on market share. For example, if there are 9 equally powerful mining units globally and Bitzero adds one more, Bitzero would receive 10% of the daily 450 Bitcoin reward. Currently, the total network computing power is over 600 exahashes per second (EH/s), while the most efficient single miner operates at approximately 0.0002 EH/s.

Bitzero focuses on self-mining at the Norway Data Center and earns revenue through the amount of Bitcoin mined. Pursuant to the Luxor Services Agreement, Luxor receives 0.20% of each Total Miner Reward and Bitzero will receive the remaining 99.8% of each Total Miner Reward. Currently, the Block Subsidy of newly minted Bitcoins in each block is 6.25 Bitcoin/block.

&nbsp;&nbsp;&nbsp;&nbsp;**5.**  **<u>Second Type of Revenues: Transaction Fees</u>** 

Transaction Fees are a crucial component of the Bitcoin network's incentive structure, ensuring that miners prioritize certain transactions and continue to maintain the network even after Block Rewards diminish over time.

Miners receive Transaction Fees as an additional incentive, supplementing the Block Reward (the newly created Bitcoins given to the miner who finds a new block). Users can attach fees to their transactions to incentivize miners to prioritize their transactions over others. Higher Transaction Fees typically result in faster confirmation times. The total Transaction Fees paid depends on the transaction size in bytes and the fee rate set by the user.

(iii) <u>Hosting Partnerships</u> 

Pursuant to the Sowrer LTGA, at the Norway Data Center, Exanorth is currently hosting 9.5MW Active Capacity for Sowrer for gross proceeds of approximately US$4.5 million up front (one-time payment) and US$120,000 annually plus maintenance costs. Pursuant to the Exanorth-Arcane Agreement (which was subsequently taken over by Sowrer through execution of the Sowrer LTGA) Sowrer operates the Arcane Servers for cloud computing at the Norway Data Center. In addition, Exanorth hosts the Sowrer Equipment for Sowrer's cryptocurrency mining business.

Bitzero intends on leasing additional excess capacity at its properties to cloud service providers, other cryptocurrency miners, artificial intelligence companies and other businesses requiring data center infrastructure. For clarity, "excess capacity" means the MW that are not being used by Bitzero or its subsidiaries directly.

(iv) <u>New Data Centers</u> 

The demand for data centers is increasing across the globe among cryptocurrency miners, cloud service providers, and artificial intelligence companies.<sup>7</sup> There has been a significant increase in governmental regulation around carbon emissions from high-energy consuming data centers, including in Norway which has become a popular destination for cryptocurrency miners.<sup>8</sup> Additionally, security concerns are of a high degree of importance since data centers handle extremely sensitive, large volumes of information.<sup>9</sup> With these considerations, identifying new data center opportunities for Bitzero's ecosystem partners to provide efficient and low-cost energy solutions is a core part of its business model. While Bitzero currently has the Norway Data Center and the non-operational Nekoma Pyramid, it also is undergoing negotiations to expand its facilities in the North American and Scandinavian regions.

5.3. Employees

As of the date hereof, Bitzero has 8 employees, inclusive of all executive officers and employees working at Bitzero subsidiaries. For the purposes of this section, "employees" means any individuals who have entered into employment contracts with Bitzero or any of its subsidiaries. The following table sets out the employees by subsidiary and department:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Entity** | &nbsp;&nbsp;**Role or Department** | &nbsp;&nbsp;**Number of Employees** |
| &nbsp;&nbsp;**Bitzero** | &nbsp;&nbsp;CEO | &nbsp;&nbsp;1 |
| &nbsp;&nbsp;**Bitzero** | &nbsp;&nbsp;Business Development, Finance, Administration, and Public Relations | &nbsp;&nbsp;2 |
| &nbsp;&nbsp;**Exanorth** | &nbsp;&nbsp;CEO | &nbsp;&nbsp;1 |
| &nbsp;&nbsp;**Exanorth** | &nbsp;&nbsp;Operations – Site & Project Managers | &nbsp;&nbsp;3 |
| &nbsp;&nbsp;**Zetanorth** | &nbsp;&nbsp;CEO | &nbsp;&nbsp;1 |

---

5.4. Specialized
 Skill and Knowledge

Frank Aadnevik has significant experience in the cryptocurrency and data center space.

<sup>7</sup> AI is poised to drive 160% increase in data center power demand \| Goldman Sachs

<sup>8</sup> Bitcoin Miners Face Pressure in Norway as New Legislation for Data Centers Implemented

<sup>9</sup> Playing defense: today's top data center security risks - Samsung Business Insights

Mr. Aadnevik has been engaged in innovative edge-, HPC- and hyper-scale data centers for the past 25 years. He has been the Executive Director, Exanorth since 2018. Additionally, he took the roles of Country Manager and CEO of Exanorth in 2021. Throughout his career, Mr. Aadnevik has been instrumental in securing key permits, high-voltage GRID connections, and fiber infrastructure, all essential for the successful deployment of energy-efficient facilities. His work supports high-demand computational environments, including cryptocurrency mining operations.

See "*Section 13 – Directors and Officers*" for further information.

5.5. Competitive
 Conditions

There are many companies that compete in the Blockchain market, offering a range of products and services. Some examples of Blockchain mining companies include:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Company** | &nbsp;&nbsp;**Headquarter Location** |
| &nbsp;&nbsp;Argo Blockchain Inc. | &nbsp;&nbsp;London, United Kingdom &nbsp;&nbsp;Argo Blockchain Inc. is a global data center business that provides a platform for cryptocurrency mining operations. It uses renewable sources of power to support Blockchain technologies. It is listed on the London Stock Exchange and NASDAQ Global Select Market.<sup>10</sup> |
| &nbsp;&nbsp;Bit Digital | &nbsp;&nbsp;New York, USA &nbsp;&nbsp;Bit Digital is a sustainability-focused infrastructure platform for digital assets and artificial intelligence. It has Bitcoin mining operations in the USA, Canada, and Iceland and powers the Ethereum Blockchain by conducting Ethereum staking.<sup>11</sup> The majority of the company's miners run on carbon-free power. |
| &nbsp;&nbsp;Bitfarms Ltd. | &nbsp;&nbsp;Ontario, Canada &nbsp;&nbsp;Bitfarms Ltd. is a cryptocurrency mining company that mines cryptocurrency and coins in Canada, the United States, Paraguay, and Argentina. It owns and operates server farms that validate transactions on the Bitcoin Blockchain and earns cryptocurrency from Block Rewards and Transaction Fees. It also undertakes hosting of third-party mining hardware.<sup>12</sup> It has 12 data centers and focuses on hydroelectricity and natural gas. |

---

<sup>10</sup> Argo Blockchain \| Bitcoin Mining & Technology Company

<sup>11</sup> Bit Digital (BTBT) \| Bitcoin Mining & AI Infrastructure Services (bit-digital.com)

<sup>12</sup> Bitfarms Ltd. (BITF.TO) Company Profile & Facts - Yahoo Finance; Company - Bitfarms Ltd. (BITF)

---

| | |
|:---|:---|
| &nbsp;&nbsp;Cipher Mining Technologies Inc. | &nbsp;&nbsp;New York, USA |
| &nbsp;&nbsp;CleanSpark, Inc. | &nbsp;&nbsp;Nevada, USA &nbsp;&nbsp;CleanSpark, Inc. owns and operates data centers that run on low-carbon power. The company operates as a Bitcoin miner in the U.S and is listed on the NASDAQ.<sup>14</sup> |
| &nbsp;&nbsp;Core Scientific, Inc. | &nbsp;&nbsp;Delaware, USA &nbsp;&nbsp;Core Scientific provides digital asset mining services in North America. It operates a scalable Bitcoin mining, Bitcoin hosting, and HPC hosting business. The company is listed on the NASDAQ. It mines digital assets for its own account and provides hosting services for other large Bitcoin miners.<sup>15</sup> |
| &nbsp;&nbsp;Greenidge Generation Holdings Inc. | &nbsp;&nbsp;New York, USA &nbsp;&nbsp;Greenridge Generation Holdings Inc. operates as an integrated cryptocurrency datacenter and power generation company. The company owns and operates cryptocurrency datacenter in New York, and it hosts and provides services to Bitcoin mining equipment owned by customers. It provides carbon-neutral mining services and has additional sites in Mississippi, North Dakota, and South Carolina. It currently trades on the NASDAQ.<sup>16</sup> |
| &nbsp;&nbsp;Gryphon Digital Mining, Inc. | &nbsp;&nbsp;Nevada, USA &nbsp;&nbsp;Gryphon Digital Mining Inc. operates a carbon-neutral Bitcoin mining company in the United States. It trades on the NASDAQ.<sup>17</sup> |

---

<sup>13</sup> Cipher Mining Technologies Inc.

<sup>14</sup> CleanSpark \| Cryptocurrency & Blockchain \| America's Bitcoin Miner

<sup>15</sup> Core Scientific - A leader in bitcoin mining and digital infrastructure for emerging high-value compute.

<sup>16</sup> Greenidge Generation Holdings Inc. (GREE) Stock Price, News, Quote & History - Yahoo Finance

<sup>17</sup> Bitcoin Mining \| ESG Driven Mining \| Gryphon Digital Mining

---

| | |
|:---|:---|
| &nbsp;&nbsp;HIVE Digital Technologies Ltd. | &nbsp;&nbsp;British Columbia, Canada |
| &nbsp;&nbsp;Riot Platforms, Inc. | &nbsp;&nbsp;Colorado, USA &nbsp;&nbsp;Riot Platforms Inc., operates a Bitcoin mining business in North America, focusing on Bitcoin Mining, Data Center Hosting, and Engineering. It also provides co-location services for institutional-scale Bitcoin mining companies. It has Bitcoin mining data center operations in Texas and Kentucky and switchgear engineering and fabrication operations in Colorado.<sup>19</sup> |

---

*Brand Positioning*

Hundreds of startups are working on a plethora of HPC and Bitcoin mining companies. The cryptocurrency market is highly competitive, consolidated, and regulated. The competitive landscape for Bitcoin mining is shaped by several key factors, including technological advancements, energy costs, regulatory and market dynamics.

Every 10 minutes, 3.125 Bitcoin are rewarded to the global mining network. Such amount halves every 4 years. Market participants compete to secure the largest share of this reward by continuously investing in capital expenditures to expand and enhance their mining operations.<sup>20</sup>

ASICs are specialized devices designed specifically for Bitcoin mining. They offer high efficiency and performance compared to general-purpose hardware like central processing units and graphics processing units. Additionally, continuous advancements in mining hardware led to increased Hash rates and energy efficiency. Market participants must regularly upgrade their equipment. Bitzero has adopted recent Application-Specific Integrated Circuits and leading technology to keep up with market competition.

Additionally, since mining is energy-intensive, regions with lower electricity costs are more attractive. Countries like Norway, Iceland, the United States and Kazakhstan have been popular due to lower costs of electricity. Although, there is a growing trend towards using renewable energy sources for mining to reduce costs and address environmental concerns. The environmental footprint of Blockchain mining operators can influence public perception and regulatory decisions and the environmental impact of Bitcoin mining has led to scrutiny and calls for more sustainable practices in general. Bitzero's renewable hydroelectric power supply at the Norway Property represents the way-forward and adds a competitive advantage to its business, by sourcing green energy to fuel the facility.

<sup>18</sup> HIVE Digital Technologies Ltd

<sup>19</sup> About \| Riot Platforms

<sup>20</sup> The Bitcoin Halving: Everything you need to know (coinbase.com)

Various jurisdictions have differing tax policies and regulatory requirements for cryptocurrency mining, impacting the profitability and feasibility of operations. Bitzero is headquartered in British Columbia, Canada. For disclosure on Canada's regulatory environment around cryptocurrency, see "*Regulatory Landscape*" below.

To mitigate the inherent variance in rewards, Blockchain miners often join mining pools where they combine their Hash power and share the rewards proportionally. A few large mining pools such as AntPool, F2Pool, and Pooling<sup>21</sup> dominate the network, making it challenging for new or smaller pools to compete.

*Trends*

Due to regulatory changes and electricity costs, there's a constant shift in the geographical distribution of mining operations. Recent trends have seen miners moving from China to North America, Central Asia, and Europe. Bitzero is well-positioned because it has developed the Norway Property and will be focussing on either expanding the North Dakota Property or selling or leasing it in the near future.

The price of Bitcoin directly affects Blockchain mining profitability. In addition, as more miners join the network, it becomes increasingly difficult to engage in Blockchain mining because the market share of each participant is reduced. Cryptocurrency also undergoes periodic halving of Block Rewards every four years, which reduces the number of new Bitcoins awarded to miners, impacting revenue and profitability.

5.6. Intellectual
 Property

Bitzero and its subsidiaries do not have any registered intellectual property rights.

5.7. Custody
 of Crypto Assets

Bitzero's crypto assets, which currently consist of Bitcoin only, are mined to one of two Trezor hardware wallets that are owned by Bitzero (the "**Wallets**"). Bitzero does not currently employ any third-party custodian services. Bitzero has adopted a Digital Asset Security Policy and Procedures guide relating to cryptocurrency topics, including key, wallet, and account generation.

The Digital Asset Security Policy and Procedures guide applies to all Bitzero employees, contractors, and consultants interacting with digital assets and wallet accessibility components. It establishes controls for digital asset security and covers wallet/key generation, access management, physical/virtual security, and incident response. The policy is applicable to all digital assets, systems, and related transaction activities owned or leased by Bitzero. The Digital Asset Security Policy and Procedures guide is governed by Mohammed Bakhashwain. It provides that no single party can access all wallet components or conduct transactions without third party oversight, including independent legal oversight by a notary or lawyer during wallet generation and storage. Additional key components are as follows:

● Hardware Wallets: Trezor hardware wallets are used for digital asset storage. Seed phrases are split and stored separately in secure locations, ensuring that no individual has unilateral access.

● PIN codes and seed phrases: these are divided among designated roles. Physical devices are stored in law firm safety deposit boxes, with access controls and monitoring in place.

<sup>21</sup> Popular Bitcoin Mining Pools Compared (btcpeers.com)

● Dual control and multi-level approval: Wallets are dual controlled, meaning that transactions and changes require the involvement of multiple authorized individuals. Any changes to wallet access or whitelisted addresses require multi-level approval, including authorization from the board of directors.

● Management review: Monthly management reviews and board are required for changes in access in rights and major transactions.

● Physical and Virtual Security: Storage locations are monitored 24/7, and access is logged and restricted. Employee background checks and mandatory digital asset security training are required for all relevant personnel.

● Incident Response: The policy defines procedures for responding to adverse events, security incidents, and wallet compromise, with annual testing and Board-reviewed updates.

● Accounting and Financial Controls: Digital assets are recognized as intangible assets under IFRS, with monthly and annual remeasurement, segregation of duties in accounting, and regular reconciliations and audit reviews.

5.8. ESG
 Policies

Bitzero is a provider of ESG focused IT energy infrastructure. It currently leverages its sustainable practices by operating the Norway Data Center completely through hydro energy.

&nbsp;&nbsp;&nbsp;&nbsp;5.9 Total
 Funds Available and Principal Purposes

The Resulting Issuer is expected to have approximately US$10,375,791 in working capital available to it following completion of the Transaction, together with approximately US$7,482,051 in projected cash flow per the table below. The total funds available to the Resulting Issuer are therefore anticipated to be approximately US$17,857,842 over the twelve months following the date of this Listing Statement. The Resulting Issuer is expected to use the funds available to it in furtherance of its stated business objectives for the 12 months following the Transaction which are summarized in the table in the Section titled "*Principal Uses of Projected Available Funds*" below. However, there may be situations where, due to changes in the Resulting Issuer's circumstances, business outlook, and/or for other reasons, that a reallocation of funds is necessary in order for the Resulting Issuer to achieve its overall business objectives. The intended use of funds may vary based upon a number of factors and such variances may be material. The Resulting Issuer's projections with respect to the funds available to it following the closing of the Transaction are based on management estimates, which are subject to a variety of known and unknown risks, uncertainties and other factors which may cause actual plans, intentions, activities, results, performance or achievements to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such projections

The Resulting Issuer currently generates revenue from its operating activities, however the Resulting Issuer has no assurances that it will generate revenue from operating activities in future periods. While management has made reasonable estimates regarding its projected operating cash flow following the Transaction, the actual amount of cash flow available to the Resulting Issuer may differ from the amount projected, or may the Resulting Issuer may have negative cash flow. As a result, the Resulting Issuer may rely on the issuance of securities or other sources of financing to generate sufficient funds to fund its working capital requirements and for corporate expenditures. See *"Forward-Looking Information", "Future-Oriented Information and Financial Outlook Information"* and "*Section 17– Risk Factors*".

The amounts shown in the table are estimates based upon the information available to management as of the date hereof.

**Total Funds Available**

---

| | |
|:---|:---|
| **Source of funds** | **Amount (US$)** |
| Estimated working capital of Bitzero<sup>(1)</sup> | $**10457570** |
| Estimated working capital of WBM<sup>(2)</sup> | **81779)** |
| Resulting Issuer Working Capital | $**10375791** |
| Net Operating Cash Flows (12 Months) <sup>(3)</sup> | $**7482051** |
| **Total** | $**17857842** |

---

<u>Notes</u>:

(1) Includes
 Bitzero's working capital (calculated as current assets less current liabilities,
 after the exclusion of non-cash-settled current liabilities) as at November 11, 2025,
 based on unaudited interim financial information prepared by Bitzero's management.

(2) Includes
 working capital (calculated as current assets less current liabilities) as at November
 11, 2025, based on unaudited internal estimates prepared by the management of WBM.

&nbsp;&nbsp;&nbsp;&nbsp;(3) See
 "Operating Cash Flows" below.

**Operating Cash Flows**

Management's forecasted operating cash flows for the period of November 1, 2025 to October 31, 2026 are as follows:

---

| | |
|:---|:---|
|  | **Amount ($)** |
| &nbsp;&nbsp;&nbsp;**Revenues** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bitcoin Mining Operations | $39272992 |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Utilities | ($17672846) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Direct Costs | ($1056000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General & Administrative Expenses | ($4360000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;JGB Loan Agreement Interest Payments<sup>(1)</sup> | ($3697095) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;JGB Loan Agreement Principal Amortization Payments<sup>(2)</sup> | ($5005000) |
| &nbsp;&nbsp;&nbsp;**Cash Flow from Operations** | **$7482051** |

---

<u>Notes</u>:

&nbsp;&nbsp;&nbsp;&nbsp;1. Pursuant
 to the JGB Loan Agreement, the outstanding interest under each of the JGB First Draw
 Conversion Amount and JGB Second Draw may be converted, at the lender's discretion,
 into Resulting Issuer Voting Shares at a price of US$4.00 per Resulting Issuer Voting
 Share.

&nbsp;&nbsp;&nbsp;&nbsp;2. Pursuant
 to the JGB Loan Agreement, the outstanding principal under each of the JGB First Draw
 Conversion Amount and JGB Second Draw may be converted, at the lender's discretion,
 into Resulting Issuer Voting Shares at a price of US$4.00 per Resulting Issuer Voting
 Share, upon the lender's election.

The following significant assumptions have been used in preparing the aforementioned cash flow estimates:

● A Bitcoin price of US$103,500 per Bitcoin with an annual growth rate of 5%. Any material change in the price or growth of Bitcoin, which has historically been a volatile asset class, will materially impact the actual cash flow of the Resulting Issuer against these estimates. See "*Section 17 - Risk Factors – Valuation and Price Volatility of Cryptocurrencies* ".

● The Resulting Issuer will be able to generate cash from the sale of mined Bitcoin with minimal costs associated with such sales.

● An increase in utility costs from $10,885,041 in the financial year ended September 30, 2024 to $17,672,846 over the next twelve months following the date of this Listing Statement (reflecting an energy cost equal to approximately 45% of revenues) and full usage of 40MW available at the First Norway Property. See "*Section 17 - Risk Factors – Increased Power Costs May Adversely Affect the Business* ".

● Efficiencies resulting from miner upgrades.

○ Bitzero currently has approximately 11,219 active miners. Of the current miners, 2,900 high efficiency miners were purchased in July, 2025 with funds from the JGB First Draw and made operational in September, 2025.

○ Immediately following the closing of the Transaction, Bitzero anticipates purchasing an additional 5,678 high efficiency miners with remaining capital from the JGB First Draw as well as the JGB Second Draw. For further details surrounding the acquisition of the miner hardware, please see the table in "*Principal Use of Available Funds*" below.

○ The Resulting Issuer anticipates that the majority of the newly purchased miners will replace current low efficiency miners and will result in 11,565 miners in operation by January 1, 2026. The Resulting Issuer anticipates a significant increase in revenue as a result of its capital investment in the new miners, with modest increase in its utility expenses, reflecting higher efficiency mining capabilities. See "*Section 17 - Risk Factors – Cryptocurrency Network Difficulty and Impact of Increased Global Computing Power*" and *"Section 17 - Risk Factors – Risk related to technological obsolescence and difficulty in obtaining hardware* ".

● A modest increase in general and administrative costs on a year over year basis from $2,809,394 in the year ended September 30, 2024, increasing to $4,360,000 over the twelve months following the date of this Listing Statement, largely driven by increased staff wages, including administrative, marketing, sales, IT and training personnel, that are required for the operations of the Resulting Issuer's business.

● No material changes to other direct expenses, including local salaries & wages, remote monitoring, and small equipment rental, as compared to the fiscal year ended September 30, 2024.

● Over the twelve months following the date of this Listing Statement, the Resulting Issuer anticipates that it will make interest payments in connection with the JGB First Draw and JGB Second Draw of approximately $3,697,095, based on an interest rate of SOFR + 11%. Amortization payments in connection with the JGB First Draw and JGB Second Draw are anticipated to result in a total of $5,005,000 payable by the Resulting Issuer, with such amortized principal payments relating to the JGB First Draw commencing in December, 2025 at $350,000, increasing to $515,000 per month from April, 2026 to reflect payments associated with the JGB Second Draw. The Resulting Issuer may, upon the election of the lender, satisfy any outstanding indebtedness under the JGB First Draw Conversion Amount and JGB Second Draw through the issue of securities.. See *"Section 4 – General Development of the Business – Bitzero and Subsidiaries – Loan Agreements"* and *"Section 17- Risk Factors – Interest Rate and Benchmark Risk pursuant to the JGB Loan Agreement* ".

**Principal Uses of Projected Available Funds**

The total funds available to the Resulting Issuer are anticipated to be approximately US$17,857,842 over the twelve months following the date of this Listing Statement per the tables above. For further information see the tables titled "*Total Funds Available*" and "*Operating Cash Flow*" above.

It is the Resulting Issuer's intention to use these funds to fund operations after the closing of the Transaction as follows:

---

| | |
|:---|:---|
| **Use of funds** | **Amount (US$)** |
| Transaction Costs<sup>(1)</sup> | $150000 |
| Purchase of New Miners<sup>(2)</sup> | $12000000 |
| Miner Shipping & Installation | $290000 |
| Infrastructure Costs<sup>(3)</sup> | $3111990 |
| Finland Site Final Land Plot<sup>(4)</sup> | $500000 |
| Klimacloud Acquisition<sup>(5)</sup> | $170000 |
| Investor Relations<sup>(6)</sup> | $1000000 |
| Unallocated | $635852 |
| **Total** | $**17857842** |

---

<u>Notes:</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Transaction
 costs are inclusive of legal, professional and CSE listing fees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. 5,678
 new higher efficiency miners will replace current miners at the First Norway Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Pursuant
 to the FAR Transformer Sales Agreement, Bitzero will purchase transformers for the 70MW
 expansion at the Norway Data Center, payable in two tranches: i) US$428,098.50 upon signing:
 and ii) US$2,683,891.50 within five calendar days of the test and inspection report provided
 by the Equipment Manufacturer in compliance with the process described in the FAR Transformer
 Sales Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Securing
 the final plot of land at the Finland Real Estate III site which will result in a potential
 power capacity of up to 1 gigawatt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. On
 August 28, 2024, Exakraft, Exanorth, and Klimacloud entered into the Klimacloud SPA.
 Pursuant to the Klimacloud SPA, Exakraft agreed to sell Klimacloud to Exanorth for consideration
 of NOK 2,000,000 and the 1,000,000 Bitzero Shares acquired pursuant to the Exanorth-Exakraft
 Settlement Agreement. As of the date hereof, the 1,000,000 Bitzero Shares have been transferred
 to Exakraft and NOK 300,000 has been paid to Exakraft. Upon Exanorth paying the balance
 of NOK 1,700,000 (~$170,000) to Exakraft, the shares of Klimacloud will be transferred
 to Exanorth.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Comprised
 of US$250,000 payable to i2i Marketing Group, LLC, and US$750,000 that may be allocated
 to additional investor relations activities including approximately three additional
 firms at an average budget of approximately US$250,000 each.

Notwithstanding the proposed uses of available funds described above, there may be circumstances where, for sound business reasons, a reallocation of funds may be necessary or prudent. It is difficult at this time to definitively project the total funds necessary to effect the planned activities of the Resulting Issuer. For these reasons, management of the Resulting Issuer considers it to be in the best interests of the Resulting Issuer and its shareholders to afford management a reasonable degree of flexibility as to how funds are applied towards the uses identified above, or for other purposes, as the need arises.

See "*Section 17- Risk Factors*" under the headings "*Additional Financing*" and "*Negative cash flow from operations"*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 Stated
 Business Objectives and Milestones

The Resulting Issuer's business will be the same as Bitzero's business, which consists of cryptocurrency mining, data center operations, and establishing strategic hosting partnerships.

**Enhancing the Norway Data Center:**

The majority of funds currently available will be allocated to expanding and enhancing Bitzero's cryptocurrency mining operations at the Norway Data Center. This includes significant investment in new, high-efficiency mining equipment to increase capacity and output. Additionally, a portion of the Resulting Issuer's funds will be dedicated to improving operational efficiencies through advanced technology and infrastructure upgrades, aimed at optimizing the Resulting Issuer's processes and reducing energy consumption. These initiatives are expected to bolster the Resulting Issuer's competitive position in the market and drive long-term growth.

A significant portion of the Resulting Issuer's available funds will be allocated toward the replacement of existing miners operating within the initial 40MW capacity at the Norway Data Center. This strategic upgrade is expected to substantially enhance mining hardware Hashrate performance and improve overall operational margins. Simultaneously, the Resulting Issuer anticipates actively advancing the groundwork for a planned 70MW expansion, which will bring the Norway Data Center's total capacity to 110MW. While considerable progress has already been made and key infrastructure components have been procured, the Resulting Issuer's working capital will be directed toward the acquisition and installation of new transformers required to support this next phase of development.

**Finland Property Acquisition:**

A portion of the funds available to the Resulting Issuer will be strategically allocated toward the acquisition of the final parcel of land required for the development of the sites located at Finland Real Estate III. This final land purchase represents a key milestone in securing the complete site footprint for the Resulting Issuer's operations in the region. Once finalized, this acquisition will grant the Resulting Issuer full ownership and development rights over the entire project site, paving the way for the next phase of infrastructure planning and construction. The fully secured site will ultimately support a total power capacity of up to 1GW, enabling the deployment of scalable, high-efficiency data infrastructure aligned with the Resulting Issuer's long-term growth strategy and commitment to sustainable energy use.

The Resulting Issuer expects to undertake the following initiatives with available funds to the Resulting Issuer with the expectation to achieve the milestones as outlined below, over approximately the next 12 months:

---

| | | |
|:---|:---|:---|
| **Milestone**  | **Cost to <br> Complete<br> (US$)** | **Target<br> Completion**<br> **Date** |
| Purchase Upgraded Miners for the Norway Data Center | $12000000 | Q4 2025 |
| Klimacloud Acquisition | $170000 | Q4 2025 |
| Arrival & Installation of New Miners | $290000 | Q1 2026 |
| Secure Final Plot of Land – Finland Real Estate III | $500000 | Q1 2026 |
| Purchase of New Transformers – 70MW Expansion | $3111990 | Q2 2026 |
|  | $**16071990** |  |

---

**6. SELECTED CONSOLIDATED FINANCIAL INFORMATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 WBM

The following table sets forth selected financial information for WBM for the years ended October 31, 2024, 2023 and 2022. Such information is derived from the financial statements of WBM and should be read in conjunction with such financial statements. All monetary references in the table below are in Canadian dollars. See Schedule "A" – *Financial Statements of WBM*.

---

| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**Year Ended <br> October 31,** <br> **2024** <br> **(Audited)** | &nbsp;&nbsp;**Year Ended <br> October 31,** <br> **2023** <br> **(Audited)** | &nbsp;&nbsp;**Year Ended <br> October 31,** <br> **2022** <br> **(Audited)** |
| &nbsp;&nbsp;**Operating Data:** |  |  |  |
| &nbsp;&nbsp;Total revenues | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Total operating expenses | &nbsp;&nbsp;600903 | &nbsp;&nbsp;1541997 | &nbsp;&nbsp;3947269 |
| &nbsp;&nbsp;Net income (loss) | &nbsp;&nbsp;(660956) | &nbsp;&nbsp;8936416 | &nbsp;&nbsp;(7418964) |
| &nbsp;&nbsp;Basic and diluted income (loss) per share | &nbsp;&nbsp;(0.00) | &nbsp;&nbsp;(0.10) | &nbsp;&nbsp;(0.10) |
| &nbsp;&nbsp;**Balance Sheet Data:** |  |  |  |
| &nbsp;&nbsp;Total assets | &nbsp;&nbsp;119368 | &nbsp;&nbsp;11127868 | &nbsp;&nbsp;2096363 |
| &nbsp;&nbsp;Total liabilities | &nbsp;&nbsp;60048 | &nbsp;&nbsp;259010 | &nbsp;&nbsp;1162994 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 Bitzero

The following table sets forth selected financial information for Bitzero for the financial years ended September 30, 2024, and 2023. Such information is derived from the financial statements of Bitzero and should be read in conjunction with such financial statements. All monetary references in the table below are in U.S. dollars. See Schedule "B" – *Financial Statements of Bitzero*.

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**Year Ended <br> September 30, 2024** <br> **(Audited)** | &nbsp;&nbsp;**Year Ended** <br> **September 30, 2023** <br> **(Audited)** |
| &nbsp;&nbsp;**Operating Data:** |  |  |
| &nbsp;&nbsp;Total revenues | &nbsp;&nbsp;22611281 | &nbsp;&nbsp;12315976 |
| &nbsp;&nbsp;Total expenses | &nbsp;&nbsp;33889930 | &nbsp;&nbsp;24526534 |
| &nbsp;&nbsp;Net income (loss) for the year | &nbsp;&nbsp;(11278649) | &nbsp;&nbsp;(12210558) |
| &nbsp;&nbsp;Basic and diluted income (loss) per share | &nbsp;&nbsp;(0.04) | &nbsp;&nbsp;(0.04) |
| &nbsp;&nbsp;**Balance Sheet Data:** |  |  |
| &nbsp;&nbsp;Total assets | &nbsp;&nbsp;29850652 | &nbsp;&nbsp;32509732 |
| &nbsp;&nbsp;Total liabilities | &nbsp;&nbsp;16025622 | &nbsp;&nbsp;9993673 |

---

**Pro Forma Financial Information**

The following table summarizes selected pro forma consolidated financial information for the Resulting Issuer as of July 31, 2025. All monetary references in the table below are in U.S. dollars. The information should be read in conjunction with the pro forma financial statements, which are attached hereto as Schedule "C" – *Pro Forma Financial Statements*.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**Bitzero as of** <br> **July 31, 2025** <br> **($)** | &nbsp;&nbsp;**WBM as of <br> July 31, 2025 <br> ($)** | &nbsp;&nbsp;**Pro-Forma** <br> **Adjustments** <br> **($)** | &nbsp;&nbsp;**Resulting Issuer** <br> **Pro-Forma July 31,** <br> **2025 ($)** |
| &nbsp;&nbsp;Current Assets | &nbsp;&nbsp;4089033 | &nbsp;&nbsp;12289 | &nbsp;&nbsp;30466979 | &nbsp;&nbsp;34568301 |
| &nbsp;&nbsp;Total Assets | &nbsp;&nbsp;29206650 | &nbsp;&nbsp;12289 | &nbsp;&nbsp;30466979 | &nbsp;&nbsp;59685918 |
| &nbsp;&nbsp;Current Liabilities | &nbsp;&nbsp;10536307 | &nbsp;&nbsp;94068 | &nbsp;&nbsp;6533274 | &nbsp;&nbsp;17163649 |
| &nbsp;&nbsp;Total Liabilities | &nbsp;&nbsp;12048090 | &nbsp;&nbsp;94068 | &nbsp;&nbsp;17093471 | &nbsp;&nbsp;29235629 |
| &nbsp;&nbsp;Shareholders' Equity | &nbsp;&nbsp;17158560 | &nbsp;&nbsp;(81779) | &nbsp;&nbsp;13373508 | &nbsp;&nbsp;30450289 |

---

**Dividends**

The future payment of dividends will be dependent upon the financial requirements of the Resulting Issuer to fund further growth, the financial condition of the Resulting Issuer and other factors which the Resulting Issuer Board may consider in the circumstances. It is not contemplated that any dividends will be paid in the immediate or foreseeable future, if at all.

**7. MANAGEMENT'S DISCUSSION AND ANALYSIS**

WBM's MD&A for the year ended October 31, 2024, 2023 and 2022, are attached to this Listing Statement as Schedule "D" *- MD&A of WBM*. Bitzero's MD&A for the years ended September 30, 2024 and 2023, are attached hereto as Schedule "E" – *MD&A of Bitzero*.

**8. MARKET FOR SECURITIES**

The Resulting Issuer Shares are currently unlisted.

**9. CONSOLIDATED CAPITALIZATION**

**Pro Forma Consolidated Capitalization**

The following table sets forth the undiluted pro forma share capitalization of the Resulting Issuer, on a consolidated basis, following the Transaction. The holders of Bitzero Shares became holders of Resulting Issuer Shares on the basis of 10 Bitzero Shares for one Resulting Issuer Voting Share held and 10 Bitzero Non-Voting Shares for one Resulting Issuer Non-Voting Share held.

---

| | | |
|:---|:---|:---|
| **Designation of Security** | **Amount Authorized or to be Authorized** | **Amount Expected to be Outstanding After Giving Effect to the Transaction** |
| Resulting Issuer Voting Shares | Unlimited | 49752913 |
| Resulting Issuer Non-Voting Shares | Unlimited | 2312243 |

---

The information should be read in conjunction with the pro forma financial statements, which are attached hereto as Schedule "C" – *Pro Forma Financial Statements*, which provide additional information.

**Fully Diluted Share Capital**

The following table summarizes the expected fully diluted share capital of the Resulting Issuer following the Closing:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Designation of Securities** | &nbsp;&nbsp;**Number of Securities** | &nbsp;&nbsp;**% of total number of Resulting Issuer Shares outstanding following completion of the Transaction** | &nbsp;&nbsp;**% of total number of Resulting Issuer Shares outstanding following completion of the Transaction** |
| &nbsp;&nbsp;**Designation of Securities** | &nbsp;&nbsp;**Number of Securities** | &nbsp;&nbsp;**Undiluted** | &nbsp;&nbsp;**Fully Diluted** |
| &nbsp;&nbsp;Resulting Issuer Voting Shares to be held by existing Bitzero Shareholders<sup>(1)</sup> | &nbsp;&nbsp;45389959 | &nbsp;&nbsp;91.23% | &nbsp;&nbsp;75.22% |
| &nbsp;&nbsp;Resulting Issuer Non-Voting Shares to be held by existing Bitzero Shareholders<sup>(2)</sup> | &nbsp;&nbsp;2312243 | &nbsp;&nbsp;100% | &nbsp;&nbsp;3.83% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares to be held by existing WBM Shareholders (inclusive of the shares issued pursuant to the WBM FinCo Debt Settlement) | &nbsp;&nbsp;4362954 | &nbsp;&nbsp;8.77% | &nbsp;&nbsp;7.23% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on exercise of the Resulting Issuer Options<sup>(3)</sup> | &nbsp;&nbsp;1018033 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;1.69% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on conversion of the Resulting Issuer RSUs<sup>(4)</sup> | &nbsp;&nbsp;425000 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;0.70% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on exercise of the JGB Warrants<sup>(5)</sup> | &nbsp;&nbsp;2553479 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;4.23% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on exercise of the warrants from the Bitzero 2025 Financing <sup>(6)</sup> | &nbsp;&nbsp;375000 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;0.62% |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on exercise of the warrants from the Bitzero Convertible Note Financing<sup>(7)</sup> | &nbsp;&nbsp;268750 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;0.45% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares Issuable on exercise of the Bitzero Convertible Notes<sup>(7)</sup> | &nbsp;&nbsp;268750 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;0.45% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares Issuable on exercise of the JGB Second Draw & JGB First Draw Conversion Amount<sup>(8)</sup> | &nbsp;&nbsp;2561250 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;4.24% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on exercise of the WBM warrants<sup>(9)</sup> | &nbsp;&nbsp;97927 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;0.16% |
| &nbsp;&nbsp;Resulting Issuer Voting Shares issuable on conversion of the FAR Note(10) | &nbsp;&nbsp;713498 | &nbsp;&nbsp;**—** | &nbsp;&nbsp;1.18% |

---

**Notes:**

1. The
Resulting Issuer Voting Shares will be listed on the CSE and each carry one vote. This number includes the Finder Shares that
were issued pursuant to the Transaction. For further information on the Resulting Issuer Voting Shares, see "*Section 11– Description of the Securities*" for further information.

2. The
Resulting Issuer Non-Voting Shares will not be listed on any exchange and no voting rights are attached to the Resulting Issuer
Non-Voting Shares, see "*Section 11 – Description of the Securities*" for further information.

3. There
will be 1,018,033 Resulting Issuer Options outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) On
May 7, 2021, various consultants and officers of Bitzero were issued 5,180,333 Bitzero Options for services rendered to Bitzero.
The Bitzero Options were exchanged for 518,033 Resulting Issuer Options which are exercisable at US$0.50 and expire on May 7,
2026. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) On
March 3, 2022, a consultant was issued 1,500,000 Bitzero Options for consulting services rendered to Bitzero. The Bitzero Options
were exchanged for 150,000 Resulting Issuer Options which are exercisable at US$4.00 and expire on March 3, 2027.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) On
April 1, 2022, a consultant was issued 200,000 Bitzero Options for consulting services rendered to Bitzero. The Bitzero Options
were exchanged for 20,000 Resulting Issuer Options which are exercisable at US$4.00 and expire on April 1, 2027.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) On
 July 12, 2022, a consultant was issued 1,700,000 Bitzero Options for consulting services
 rendered to Bitzero. The Bitzero Options were exchanged for 170,000 Resulting Issuer
 Options which are exercisable at US$4.00 and expire on July 12, 2027.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) On
 November 19, 2025, 1,600,000 Bitzero Options were issued to certain incoming directors
 of the Resulting Issuer Board. These Bitzero Options were issued to the Resulting Issuer
 Board were exchanged for 160,000 Resulting Issuer Option exercisable at US$4.00 and expire
 on November 19, 2028.

4. Of
the Resulting Issuer RSUs, 400,000 vest upon certain conditions being met including a listing in Germany, and 25,000 vest two
months following the Listing Date. All RSUs are being issued as consideration for consulting services.

5. The
JGB Warrants are exercisable for the purchase of one Resulting Issuer Voting Share at a price of US$0.10 per Resulting Issuer
Voting Share and expire 5 years from the issuance date.

6. Warrants
issued in connection with the Bitzero 2025 Financing have a 2-year expiry and are exercisable for the purchase of one Resulting
Issuer Voting share at a price of US$4.00 per Resulting Issuer Voting Share.

7. Warrants
issued in connection with the Bitzero Convertible Note Financing have a 2-year expiry and are exercisable for the purchase of
one Resulting Issuer Voting share at a price of US$5.00 per Resulting Issuer Voting Share. The Bitzero Convertible Notes accrue
interest at 15%, compounded annually and mature 36 months from the issue date. The holder of each Bitzero Convertible Note may
convert the outstanding principal and accrued interest into Bitzero Shares at a conversion price of US$0.40 per Bitzero Share
at any time prior to the maturity date. The Bitzero Convertible Notes carry a principal amount of US$1, 0750,000 and may be converted
into Resulting Issuer Voting Shares at a conversion price of US$4.00 per Resulting Issuer Voting Share at any time prior to the
maturity date.

8. The
JGB Second Draw and the JGB First Draw Conversion Amount carry a principal amount of US$10,245,000 and may be converted into Resulting
Issuer Voting Shares a conversion price of US$4.00 per Resulting Issuer Voting Share for a period of 5 years. The JGB Second Draw
Agreement also provides for voluntary conversion rights, allowing each lender, at its option, to convert the outstanding principal
and accrued interest of the JGB Second Draw and the JGB First Draw Conversion Amount into Resulting Issuer Voting Shares at a
conversion price US$4.00 per share, subject to adjustment and beneficial ownership limitations.

9. Each
WBM Warrant is exercisable for the purchase of one Resulting Issuer Voting Share at a price of C$3.60 per Resulting Issuer Voting
Share, expiring on November 30, 2025.

10. The
FAR Convertible Note was issued in the principal amount of US$2,853,990, accrues interest at 10% per annum (12% upon default),
and matures 18 months from the issue date. The holder may convert the outstanding principal and accrued interest into Resulting
Issuer Voting Shares at a conversion price of US$4.00 per share at any time prior to maturity, subject to customary conversion
mechanics and anti-dilution protections. The FAR Convertible Note is convertible into 713,498 Resulting Issuer Voting Shares at
a price of US$4.00 per share.

**10. OPTIONS AND OTHER RIGHTS TO PURCHASE SECURITIES**

The Resulting Issuer has adopted a "rolling" equity incentive plan (the "**Omnibus Incentive Plan**"), which was approved by WBM's shareholders through written resolution on November 18, 2025. The Omnibus Incentive Plan will be re-approved by the shareholders of the Resulting Issuer at a later date. The Omnibus Incentive Plan provides flexibility to the Resulting Issuer to grant equity-based incentive awards in the form of options ("**Resulting Issuer Options**"), restricted share units ("**Resulting Issuer RSUs**"), performance share units ("**Resulting Issuer PSUs**"), and deferred share units ("**Resulting Issuer DSUs**"). The purpose of the Omnibus Incentive Plan is to, among other things, provide the Resulting Issuer with a share related mechanism to attract, retain and motivate qualified directors, officers, employees and consultants of the Resulting Issuer and its subsidiaries, to reward such of those directors, officers, employees and consultants as may be granted awards under the Omnibus Incentive Plan by the Resulting Issuer Board from time to time for their contributions toward the long-term goals and success of the Resulting Issuer and to enable and encourage such directors, officers, employees and consultants to acquire Resulting Issuer Voting Shares as long-term investments and proprietary interests in the Resulting Issuer. The full text of the Omnibus Incentive Plan is attached as Schedule "F" to this Listing Statement.

**Key Terms of the Omnibus Incentive Plan**

*Shares Subject to the Plan*

The Omnibus Incentive Plan is a rolling plan which, subject to the adjustment provisions provided for therein (including a subdivision or consolidation of Resulting Issuer Voting Shares), provides that the aggregate maximum number of Resulting Issuer Voting Shares that may be issued upon the exercise or settlement of awards granted under the Omnibus Incentive Plan shall not exceed 20% of the Resulting Issuer's issued and outstanding Resulting Issuer Voting Shares and Resulting Issuer Non-Voting Shares from time to time. Under the Omnibus Incentive Plan, Resulting Issuer Voting Shares covered by awards which have been exercised, settled or terminated shall be available for subsequent grants under the Omnibus Incentive Plan and the number of awards available to grant increases as the number of issued and outstanding Resulting Issuer Voting Shares increases.

*Administration of the Plan*

The Plan Administrator (as defined in the Omnibus Incentive Plan) is determined by the Resulting Issuer Board and is initially the Resulting Issuer Board. The Omnibus Incentive Plan may in the future continue to be administered by the Resulting Issuer Board itself or delegated to a committee of the Resulting Issuer Board. The Plan Administrator determines which directors, officers, consultants and employees are eligible to receive awards under the Omnibus Incentive Plan, the time or times at which awards may be granted, the conditions under which awards may be granted or forfeited to the Resulting Issuer, the number of Resulting Issuer Voting Shares to be covered by any award, the exercise price of any award, whether restrictions or limitations are to be imposed on the Resulting Issuer Voting Shares issuable pursuant to grants of any award, and the nature of any such restrictions or limitations, any acceleration of exercisability or vesting, or waiver of termination regarding any award, based on such factors as the Plan Administrator may determine.

In addition, the Plan Administrator interprets the Omnibus Incentive Plan and may adopt guidelines and other rules and regulations relating to the Omnibus Incentive Plan and make all other determinations and take all other actions necessary or advisable for the implementation and administration of the Omnibus Incentive Plan.

*Eligibility*

All directors, officers, employees, and consultants are eligible to participate in the Omnibus Incentive Plan, subject to certain limitations outlined in Section 9.1(f) of the Omnibus Incentive Plan. The extent to which any such individual is entitled to receive a grant of an award pursuant to the Plan will be determined in the sole and absolute discretion of the Plan Administrator.

*Types of Awards*

Awards of Resulting Issuer Options, Resulting Issuer RSUs, Resulting Issuer PSUs, and Resulting Issuer DSUs may be made under the Omnibus Incentive Plan. All of the awards described below are subject to the conditions, limitations, restrictions, exercise price, vesting, settlement and forfeiture provisions determined by the Plan Administrator, in its sole discretion, subject to such limitations provided in the Omnibus Incentive Plan and will generally be evidenced by an award agreement. In addition, subject to the limitations provided in the Omnibus Incentive Plan and in accordance with applicable law, the Plan Administrator may accelerate or defer the vesting or payment of awards, cancel or modify outstanding awards, and waive any condition imposed with respect to awards or Resulting Issuer Voting Shares issued pursuant to awards.

<u>Options</u>

A Resulting Issuer Option entitles a holder thereof to purchase a prescribed number of treasury Resulting Issuer Voting Shares at an exercise price set at the time of the grant. The Plan Administrator will establish the exercise price at the time each Resulting Issuer Option is granted, which exercise price must in all cases be the greater of the closing market price of the Resulting Issuer Voting Shares on (i) the trading day prior to the date of grant and (ii) the date of grant, and as otherwise required pursuant to the policies of the any stock exchange on which the Resulting Issuer Voting Shares are listed (the "**Market Price**"), unless otherwise permitted by applicable securities laws or the policies of a stock exchange on which the Resulting Issuer Voting Shares are listed. Subject to any accelerated termination as set forth in the Plan, each Resulting Issuer Option expires on its respective expiry date, provided such expiry date does not exceed 10 years. The Plan Administrator will have the authority to determine the vesting terms applicable to grants of Resulting Issuer Options. Once a Resulting Issuer Option becomes vested, it shall remain vested and shall be exercisable until expiration or termination of the Option, unless otherwise specified by the Plan Administrator or as otherwise set forth in any written employment agreement, award agreement or other written agreement between the Resulting Issuer or a subsidiary of the Resulting Issuer and the participant. The Plan Administrator has the right to accelerate the date upon which any Resulting Issuer Option becomes exercisable. The Plan Administrator may provide at the time of granting a Resulting Issuer Option that the exercise of that Resulting Issuer Option is subject to restrictions, in addition to those specified in the Omnibus Incentive Plan, such as vesting conditions relating to the attainment of specified performance goals.

Unless otherwise specified by the Plan Administrator at the time of granting a Resulting Issuer Option and set forth in the particular award agreement, an exercise notice must be accompanied by payment of the exercise price. Subject to the policies of any stock exchange on which the Resulting Issuer Voting Shares are listed, a participant may, in lieu of exercising a Resulting Issuer Option pursuant to an exercise notice, elect to surrender such Resulting Issuer Option to the Resulting Issuer (a "**Cashless Exercise**") in consideration for an amount from the Resulting Issuer equal to (i) the Market Price of the Resulting Issuer Voting Shares issuable on the exercise of such Resulting Issuer Option (or portion thereof) as of the date such Resulting Issuer Option (or portion thereof) is exercised, less (ii) the aggregate exercise price of the Resulting Issuer Option (or portion thereof) surrendered relating to such Resulting Issuer Voting Shares (the "**In-the-Money Amount**") by written notice to the Resulting Issuer indicating the number of Resulting Issuer Options such participant wishes to exercise using the Cashless Exercise, and such other information that the Company may require. Subject to the provisions of the Omnibus Incentive Plan and the policies of any stock exchange on which the Resulting Issuer Voting Shares are listed, the Resulting Issuer will satisfy payment of the In-the-Money Amount by delivering to the participant such number of Resulting Issuer Voting Shares having a fair market value equal to the In-the-Money Amount.

<u>Restricted Share Units</u>

An RSU is a unit equivalent in value to a share credited by means of a bookkeeping entry in the books of the Resulting Issuer which entitles the holder to receive one Resulting Issuer Voting Share (or the value thereof) for each Resulting Issuer RSU after a specified vesting period. The Plan Administrator may, from time to time, subject to the provisions of the Omnibus Incentive Plan and such other terms and conditions as the Plan Administrator may prescribe, grant Resulting Issuer RSUs to any participant in respect of a bonus or similar payment in respect of services rendered by the applicable participant in a taxation year (the "**RSU Service Year**").

The number of Resulting Issuer RSUs (including fractional Resulting Issuer RSUs) granted at any particular time under the Omnibus Incentive Plan will be calculated by dividing (a) the amount of any bonus or similar payment that is to be paid in RSUs, as determined by the Plan Administrator, by (b) the greater of (i) the Market Price of a Resulting Issuer Voting Share on the date of grant and (ii) such amount as determined by the Plan Administrator in its sole discretion. The Plan Administrator shall have the authority to determine any vesting terms applicable to the grant of Resulting Issuer RSUs, provided that the terms comply with Section 409A of the U.S. Internal Revenue Code, to the extent applicable.

Upon settlement, holders will redeem each vested Resulting Issuer RSU for the following at the election of such holder but subject to the approval of the Plan Administrator: (a) one fully paid and non-assessable Resulting Issuer Voting Share in respect of each vested Resulting Issuer RSU, (b) a cash payment or (c) a combination of Resulting Issuer Voting Shares and cash. Any such cash payments made by the Resulting Issuer shall be calculated by multiplying the number of Resulting Issuer RSUs to be redeemed for cash by the Market Price per Resulting Issuer Voting Share as at the settlement date. Subject to the provisions of the Omnibus Incentive Plan and except as otherwise provided in an award agreement, no settlement date for any Resulting Issuer RSU shall occur, and no Resulting Issuer Voting Share shall be issued, or cash payment shall be made in respect of any Resulting Issuer RSU any later than the final business day of the third calendar year following the applicable RSU Service Year.

<u>Performance Share Units</u>

A Resulting Issuer PSU is a unit equivalent in value to a Resulting Issuer Voting Share credited by means of a bookkeeping entry in the books of the Resulting Issuer, which entitles the holder to receive one Resulting Issuer Voting Share (or the value thereof) for each Resulting Issuer PSU after specific performance-based vesting criteria determined by the Plan Administrator, in its sole discretion, have been satisfied. The performance goals to be achieved during any performance period, the length of any performance period, the amount of any Resulting Issuer PSUs granted, the effect of termination of a participant's service and the amount of any payment or transfer to be made pursuant to any Resulting Issuer PSU will be determined by the Plan Administrator and by the other terms and conditions of any Resulting Issuer PSU, all as set forth in the applicable award agreement. The Plan Administrator may, from time to time, subject to the provisions of the Omnibus Incentive Plan and such other terms and conditions as the Plan Administrator may prescribe, grant Resulting Issuer PSUs to any participant in respect of a bonus or similar payment in respect of services rendered by the applicable participant in a taxation year (the "**PSU Service Year**").

The Plan Administrator shall have the authority to determine any vesting terms applicable to the grant of Resulting Issuer PSUs. Upon settlement, holders will redeem each vested Resulting Issuer PSU for the following at the election of such holder but subject to the approval of the Plan Administrator: (a) one fully paid and non-assessable Resulting Issuer Voting Share in respect of each vested Resulting Issuer PSU, (b) a cash payment, or (c) a combination of Resulting Issuer Voting Shares and cash. Any such cash payments made by the Resulting Issuer to a participant shall be calculated by multiplying the number of Resulting Issuer PSUs to be redeemed for cash by the Market Price per Resulting Issuer Voting Share as at the settlement date. Subject to the provisions of the Omnibus Incentive Plan and except as otherwise provided in an award agreement, no settlement date for any Resulting Issuer PSU shall occur, and no Resulting Issuer Voting Share shall be issued, or cash payment shall be made in respect of any Resulting Issuer PSU any later than the final business day of the third calendar year following the applicable PSU Service Year.

<u>Deferred Share Units</u>

A Resulting Issuer DSU is a unit equivalent in value to a Resulting Issuer Voting Share credited by means of a bookkeeping entry in the books of the Resulting Issuer which entitles the holder to receive one Resulting Issuer Voting Share (or, at the election of the holder and subject to the approval of the Plan Administrator, the cash value thereof) for each Resulting Issuer DSU on a future date. The Resulting Issuer Board may fix from time to time a portion of the total compensation (including annual retainer) paid by the Resulting Issuer to a director in a calendar year for service on the Resulting Issuer Board that are to be payable in the form of Resulting Issuer DSUs. In addition, each director is given, subject to the provisions of the Omnibus Incentive Plan, the right to elect to receive a portion of the cash director fees owing to them in the form of Resulting Issuer DSUs.

Except as otherwise determined by the Plan Administrator or as set forth in the particular award agreement, Resulting Issuer DSUs shall vest immediately upon grant. The number of Resulting Issuer DSUs (including fractional Resulting Issuer DSUs) granted at any particular time will be calculated by dividing (a) the amount of director compensation that are to be paid in Resulting Issuer DSUs, as determined by the Plan Administrator, by (b) the Market Price of a Resulting Issuer Voting Share on the date of grant. Upon settlement, holders will redeem each vested Resulting Issuer DSU for: (a) one fully paid and non-assessable Resulting Issuer Voting Share issued from treasury in respect of each vested Resulting Issuer DSU, or (b) at the election of the holder and subject to the approval of the Plan Administrator, a cash payment on the date of settlement. Any cash payments made under the Plan by the Company to a participant in respect of Resulting Issuer DSUs to be redeemed for cash shall be calculated by multiplying the number of Resulting Issuer DSUs to be redeemed for cash by the Market Price per Resulting Issuer Voting Share as at the settlement date.

*Dividend Equivalents*

Except as otherwise determined by the Plan Administrator or as set forth in the particular award agreement, Resulting Issuer RSUs, Resulting Issuer PSUs, and Resulting Issuer DSUs shall be credited with dividend equivalents in the form of additional Resulting Issuer RSUs, Resulting Issuer PSUs, and Resulting Issuer DSUs as of each dividend payment date in respect of which normal cash dividends are paid on Resulting Issuer Voting Shares. Dividend equivalents shall vest in proportion to, and settle in the same manner as, the awards to which they relate. Such dividend equivalents shall be computed by dividing: (a) the amount obtained by multiplying the amount of the dividend declared and paid per Share by the number of Resulting Issuer RSUs, Resulting Issuer PSUs, and Resulting Issuer DSUs, as applicable, held by the participant on the record date for the payment of such dividend, by (b) the Market Price at the close of the first business day immediately following the dividend record date, with fractions computed to three decimal places.

*Black-out Periods*

In the event an award expires, at a time when a scheduled blackout is in place or an undisclosed material change or material fact in the affairs of the Resulting Issuer exists, the expiry of such award will be the date that is 10 business days after which such scheduled blackout terminates or there is no longer such undisclosed material change or material fact.

*Term*

While the Omnibus Incentive Plan does not stipulate a specific term for awards granted thereunder, as discussed below, awards may not expire beyond 10 years from its date of grant, except where shareholder approval is received or where an expiry date would have fallen within a blackout period of the Resulting Issuer. All awards must vest and settle in accordance with the provisions of the Omnibus Incentive Plan and any applicable award agreement, which award agreement may include an expiry date for a specific award.

*Termination of Employment or Services*

The following table describes the impact of certain events upon the participants under the Omnibus Incentive Plan, including termination for cause, resignation, termination without cause, disability, death or retirement, subject, in each case, to the terms of a participant's applicable employment agreement, award agreement or other written agreement:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Event** | &nbsp;&nbsp;**Provisions** |
| &nbsp;&nbsp;Termination for cause/resignation | &nbsp;&nbsp;Any Resulting Issuer Option or other award held by the participant that has not been exercised, surrendered or settled as of the Termination Date (as defined in the Omnibus Incentive Plan) shall be immediately forfeited and cancelled as of the Termination Date.  |
| &nbsp;&nbsp;Termination without Cause | &nbsp;&nbsp;A portion of any unvested Resulting Issuer Options or other awards shall be immediately forfeited and cancelled as of the Termination Date. Any vested Resulting Issuer Options may be exercised by the participant at any time during the period that terminates on the earlier of: (A) the expiry date of such Resulting Issuer Option; and (B) the date that is 90 days after the Termination Date. If a Resulting Issuer Option remains unexercised upon the earlier of (A) or (B), the Resulting Issuer Option shall be immediately forfeited and cancelled for no consideration upon the termination of such period. In the case of a vested award other than a Resulting Issuer Option, such award will be settled within 90 days after the Termination Date.<br>|
| &nbsp;&nbsp;Disability | &nbsp;&nbsp;Any award held by the participant that has not vested as of the date of such participant's Termination Date shall be immediately forfeited and cancelled as of the Termination Date. Any vested Resulting Issuer Option may be exercised by the participant at any time until the expiry date of such Resulting Issuer Option. Any vested award other than a Resulting Issuer Option will be settled within 90 days after the Termination Date.<br>|
| &nbsp;&nbsp;Death | &nbsp;&nbsp;Any award that is held by the participant that has not vested as of the date of the death of such participant shall be immediately forfeited and cancelled as of the Termination Date. Any vested Resulting Issuer Option may be exercised by the participant's beneficiary or legal representative (as applicable) at any time during the period that terminates on the earlier of: (A) the expiry date of such Resulting Issuer Option, and (B) the first anniversary of the date of the death of such participant. If an Option remains unexercised upon the earlier of (A) or (B), the Resulting Issuer Option shall be immediately forfeited and cancelled for no consideration upon the termination of such period. In the case of a vested award other than a Resulting Issuer Option, such award will be settled with the participant's beneficiary or legal representative (as applicable) within 90 days after the date of the participant's death.  |
| &nbsp;&nbsp;Retirement | &nbsp;&nbsp;Any (i) outstanding award that vests or becomes exercisable based solely on the participant remaining in the service of the Resulting Issuer or its subsidiary will become 100% vested, and (ii) outstanding award that vests based on the achievement of Performance Goals (as defined in the Omnibus Incentive Plan) that has not previously become vested shall continue to be eligible to vest based upon the actual achievement of such Performance Goals. Any vested Resulting Issuer Option may be exercised by the participant at any time during the period that terminates on the earlier of: (A) the expiry date of such Resulting Issuer Option; and (B) the third anniversary of the participant's date of retirement. If a Resulting Issuer Option remains unexercised upon the earlier of (A) or (B), the Resulting Issuer Option shall be immediately forfeited and cancelled for no consideration upon the termination of such period. In the case of a vested award other than a Resulting Issuer Option that is described in (i), such award will be settled within 90 days after the participant's retirement. In the case of a vested award other than an Option that is described in (ii), such award will be settled at the same time the award would otherwise have been settled had the participant remained in active service with the Resulting Issuer or its subsidiary. Notwithstanding the foregoing, if, following his or her retirement, the participant commences (the "**Commencement Date**") employment, consulting or acting as a director of the Resulting Issuer or any of its subsidiaries (or in an analogous capacity) or otherwise as a service provider to any person that carries on or proposes to carry on a business competitive with the Resulting Issuer or any of its subsidiaries, any Resulting Issuer Option or other award held by the participant that has not been exercised or settled as of the Commencement Date shall be immediately forfeited and cancelled as of the Commencement Date.  |

---

*Change in Control*

Unless otherwise determined by the Plan Administrator, if, as a result of a Change in Control, the Resulting Issuer Voting Shares will cease trading on the Exchange, the Resulting Issuer may terminate all of the awards, other than a Resulting Issuer Option held by a participant that is a resident of Canada for the purposes of the *Income Tax Act* (Canada), granted under the Omnibus Incentive Plan at the time of and subject to the completion of the Change in Control transaction by paying to each holder at or within a reasonable period of time following completion of such Change in Control transaction an amount for each award equal to the fair market value of the award held by such participant as determined by the Plan Administrator, acting reasonably, provided that any vested awards granted to U.S. Taxpayers (as defined in the Omnibus Incentive Plan) will be settled within 90 days of the Change in Control.

Subject to certain exceptions, a "**Change in Control**" includes (a) any transaction pursuant to which a person or group acquires more than 50% of the outstanding Resulting Issuer Voting Shares, (b) the sale of all or substantially all of the Resulting Issuer's assets, (c) the dissolution or liquidation of the Resulting Issuer, (d) the acquisition of the Resulting Issuer via consolidation, merger, exchange of securities, purchase of assets, amalgamation, statutory arrangement or otherwise, (e) individuals who comprise the Resulting Issuer Board at the last annual meeting of shareholders (the "**Incumbent Board**") cease to constitute at least a majority of the Resulting Issuer Board, unless the election, or nomination for election by the Shareholders, of any new director was approved by a vote of at least a majority of the Incumbent Board, in which case such new director shall be considered as a member of the Incumbent Board, or (f) any other event which the Resulting Issuer Board determines to constitute a change in control of the Resulting Issuer.

*Non-Transferability of Awards*

Except as permitted by the Plan Administrator and to the extent that certain rights may pass to a beneficiary or legal representative upon death of a participant, by will or as required by law, no assignment or transfer of awards, whether voluntary, involuntary, by operation of law or otherwise, vests any interest or right in such awards whatsoever in any assignee or transferee and immediately upon any assignment or transfer, or any attempt to make the same, such awards will terminate and be of no further force or effect. To the extent that certain rights to exercise any portion of an outstanding award pass to a beneficiary or legal representative upon the death of a participant, the period in which such award can be exercised by such beneficiary or legal representative shall not exceed one year from the participant's death.

*Amendments to the Plan*

The Plan Administrator may also from time to time, without notice and without approval of the holders of voting shares, amend, modify, change, suspend or terminate the Omnibus Incentive Plan or any awards granted pursuant thereto as it, in its discretion, determines appropriate, provided that (a) no such amendment, modification, change, suspension or termination of the Omnibus Incentive Plan or any award granted pursuant thereto may materially impair any rights of a participant or materially increase any obligations of a participant under the Omnibus Incentive Plan without the consent of such participant, unless the Plan Administrator determines such adjustment is required or desirable in order to comply with any applicable securities laws or stock exchange requirements, and (b) any amendment that would cause an award held by a U.S. Taxpayer to be subject to the income inclusion under Section 409A of the United States Internal Revenue Code, as amended, shall be null and void ab initio.

Notwithstanding the above, and subject to the rules of any applicable stock exchange, the approval of shareholders is required to affect any of the following amendments to the Omnibus Incentive Plan:

(1) increasing the number of Resulting Issuer Voting Shares reserved for issuance under the Plan, except pursuant to the provisions in the Omnibus Incentive Plan which permit the Plan Administrator to make equitable adjustments in the event of transactions affecting the Resulting Issuer or its capital;

(2) reducing the exercise price of a Resulting Issuer Option except pursuant to the provisions in the Omnibus Incentive Plan which permit the Plan Administrator to make equitable adjustments in the event of transactions affecting the Resulting Issuer or its capital;

(3) extending the term of a Resulting Issuer Option beyond the original expiry date (except where an expiry date would have fallen within a blackout period applicable to the participant or within 10 business days following the expiry of such a blackout period);

(4) permitting a Resulting Issuer Option award to be exercisable beyond 10 years from its date of grant (except where an expiry date would have fallen within a blackout period);

(5) changing the eligible participants; and

(6) deleting or otherwise limiting the amendments that require approval of the shareholders.

Except for the items listed above, amendments to the Omnibus Incentive Plan will not require shareholder approval. Such amendments include (but are not limited to): (a) amending the general vesting provisions of an award, (b) amending the provisions for early termination of awards in connection with a termination of employment or service, (c) adding covenants of the Resulting Issuer for the protection of the participants, (d) amendments that are desirable as a result of changes in law in any jurisdiction where a participant resides, and (e) curing or correcting any ambiguity or defect or inconsistent provision or clerical omission or mistake or manifest error.

*Anti-Hedging Policy*

Participants are restricted from purchasing financial instruments such as prepaid variable forward contracts, equity swaps, collars, or units of exchange funds that are designed to hedge or offset a decrease in market value of awards granted to them.

Upon completion of the Transaction, it is anticipated that 1,078,033 Resulting Issuer Options, 425,000 Resulting Issuer RSUs, nil Resulting Issuer PSUs, and nil Resulting Issuer DSUs will be issued and outstanding as at the Listing Date.

**11. DESCRIPTION OF THE SECURITIES**

**The Resulting Issuer**

The Resulting Issuer's authorized share capital upon completion of the Transaction is expected to consist of: (i) an unlimited number of Resulting Issuer Voting Shares of which 49,225,721 Resulting Issuer Voting Shares are issued and outstanding as of the Listing Date; and (ii) an unlimited number of Resulting Issuer Non-Voting Shares of which 2,364,435 Resulting Issuer Non-Voting Shares are issued and outstanding as of the Listing Date.

**Issue of Shares**

*<u>Resulting Issuer Voting Shares</u>*

Subject to the BCBCA and the rights of the holders of issued shares of the Resulting Issuer, the Resulting Issuer may issue, allot, sell or otherwise dispose of the unissued Resulting Issuer Voting Shares, and issued Resulting Issuer Voting Shares, at the times, to the persons, including directors, in the manner, on the terms and conditions and for the issue prices (including any premium at which shares with par value may be issued) that the directors may determine. The issue price for a Resulting Issuer Voting Share with par value must be equal to or greater than the par value of the Resulting Issuer Voting Share.

*<u>Resulting Issuer Non-Voting Shares</u>*

The Resulting Issuer Non-Voting Shares may be issued at any time or from time to time in one or more series. Before any shares of a series are issued, the Resulting Issuer Board shall fix the number of shares that will form such series and shall, subject to the limitations set out in the Articles, determine the designation, rights, privileges, restrictions and conditions to be attached to the Resulting Issuer Non-Voting Shares of such series, the whole subject to the filing with the executive director (as defined in the BCBCA) of a Notice of Alteration.

**Voting Rights**

*<u>Resulting Issuer Voting Shares</u>*

The holders of Resulting Issuer Voting Shares are entitled to receive notice of and to attend all annual and special meetings of the Resulting Issuer Shareholders. The holders of Resulting Issuer Voting Shares are entitled to vote in person or by proxy at all meetings of the Resulting Issuer Shareholders and at all such meetings each such holder has one vote for each Resulting Issuer Voting Share held.

*<u>Resulting Issuer Non-Voting Shares</u>*

The holders of the Resulting Issuer Non-Voting Shares shall be entitled to receive notice of and to attend (in person or by proxy) and be heard at all general meetings of the shareholders of the Resulting Issuer and shall be entitled to receive all notices of meetings, information circulars and other written information from the Resulting Issuer that the holders of Resulting Issuer Voting Shares are entitled to receive from the Resulting Issuer but not to vote at such general meetings, unless otherwise required by law or as referred to herein.

**Ranking**

*<u>Resulting Issuer Non-Voting Shares</u>*

The Resulting Issuer Non-Voting Shares of each series shall rank on a parity with the Resulting Issuer Non-Voting Shares of every other series with respect to dividends and return of capital in the event of the liquidation, dissolution or winding-up of the Resulting Issuer, whether voluntary or involuntary, or any other distribution of the assets of the Resulting Issuer among its shareholders for the purpose of winding up its affairs.

**Dividend Rights**

*<u>Resulting Issuer Voting Shares</u>*

The holders of Resulting Issuer Voting Shares are entitled to receive dividends if, as and when declared by the Resulting Issuer Board out of the assets of the Resulting Issuer properly applicable to the payment of dividends in such amount and payable at such time as and at such place in Canada as the Resulting Issuer Board may from time to time determine.

*<u>Resulting Issuer Non-Voting Shares</u>*

The Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares shall rank equally with one another and subordinate to any other shares of the Resulting Issuer ranking senior to the Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares as to such dividends as may be declared by the Resulting Issuer Board out of funds legally available therefor and all dividends, other than stock dividends payable in equity shares, will be declared contemporaneously and paid at the same time in the same property and in equal amounts per share on all the Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares at the time outstanding, without preference or priority of one share over another.

The Resulting Issuer Board may declare separate stock dividends payable in equity shares for each of the Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares provided that: (a) such stock dividends shall be declared contemporaneously and paid at the same time and in equal numbers of additional equity shares per share on all the Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares at the time outstanding; (b) such stock dividends shall be paid (i) in the Resulting Issuer Voting Shares to the holders of Resulting Issuer Voting Shares and (ii) in the Resulting Issuer Non-Voting Shares to the holders of the Resulting Issuer Non-Voting Shares.

**Rights upon Liquidation, Dissolution or Winding Up**

*<u>Resulting Issuer Voting Shares</u>*

In the event of liquidation, dissolution or winding up of the Resulting Issuer, whether voluntary or involuntary, or other distribution of assets or property of Resulting Issuer amongst holders of Resulting Issuer Voting Shares for the purpose of winding up its affairs, the holders of Resulting Issuer Voting Shares shall be entitled to receive all property and assets of the Resulting Issuer properly distributable to the holders of Resulting Issuer Voting Shares.

*<u>Resulting Issuer Non-Voting Shares</u>*

In the event of the liquidation, dissolution or winding-up of the Resulting Issuer or other distribution of assets of the Resulting Issuer among its shareholders for the purpose of winding-up its affairs, all of the property and assets of the Resulting Issuer which remain after payment to the holders of any shares ranking in priority to the Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares in respect of payment upon liquidation, dissolution or winding-up of all amounts attributed and properly payable to such holders of such other shares in the event of such liquidation, dissolution, winding-up or distribution, shall be paid or distributed equally, share for share, to the holders of the Resulting Issuer Voting Shares and the Resulting Issuer Non-Voting Shares, without preference or distinction.

**No Pre-emptive Rights**

*<u>Resulting Issuer Voting Shares</u>*

Holders of Resulting Issuer Voting Shares have no pre-emptive or preferential right to purchase any securities of Resulting Issuer.

*<u>Resulting Issuer Non-Voting Shares</u>*

The holders of the Resulting Issuer Non-Voting Shares are not entitled to a right of first refusal to subscribe for, purchase or receive any part of any issue of the Resulting Issuer Non-Voting Shares or bonds, debentures or other securities of the Resulting Issuer now or in the future.

**Conversion**

*<u>Resulting Issuer Voting Shares</u>*

Resulting Issuer Voting Shares are not convertible into shares of any other class or series or be subject to redemption or retraction by Resulting Issuer or Resulting Issuer Shareholders.

*<u>Resulting Issuer Non-Voting Shares</u>*

Each one (1) Resulting Issuer Non-Voting Share is convertible into one (1) Resulting Issuer Voting Share. Subject to the Ownership Limitation (as defined herein), holders of Resulting Issuer Non-Voting Shares shall have conversion rights as follows (the "**Resulting Issuer Non-Voting Share Conversion Rights**"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **Right to Convert.** Each Resulting Issuer Non-Voting Share shall be convertible, at the option
 of the holder thereof, at any time after the date of issuance of such share at the office
 of the Resulting Issuer or any transfer agent for such shares, into one fully paid and
 non-assessable Resulting Issuer Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **Limitation on Conversion Rights.** Notwithstanding anything to the contrary contained in these
 Articles, a holder of Resulting Issuer Non-Voting Shares shall not have the right to
 convert any portion of the Non-Voting Shares into Resulting Issuer Voting Shares to the
 extent that, after giving effect to such conversion, the holder thereof has either (i)
 beneficial ownership of, or control or direction over, directly or indirectly, or (ii)
 a combination of beneficial ownership of, and control or direction over, directly or
 indirectly of more than 9.9% of the Resulting Issuer's issued and outstanding Resulting
 Issuer Voting Shares immediately after giving effect to such conversion (the "**Resulting Issuer Non-Voting Share Ownership Limitation** "). The Resulting Issuer shall not
 effect any exercise of any convertible securities of the Resulting Issuer, including
 the Resulting Issuer Non-Voting Shares (convertible securities of the Resulting Issuer
 together with the Resulting Issuer Non-Voting Shares, the "**Resulting Issuer Convertible Securities**") held by the holder thereof, and such holder shall
 not have the right to exercise any portion of its Resulting Issuer Convertible Securities
 so held, to the extent that after giving effect to such issuance after exercise as set
 forth on the applicable notice of exercise or subscription form, as the case may be,
 the holder would beneficially own in excess of the Resulting Issuer Ownership Limitation.
 For purposes of the foregoing sentence, the number of Resulting Issuer Voting Shares
 beneficially owned by the holder shall include the number of Resulting Issuer Voting
 Shares issuable upon exercise of the Resulting Issuer Convertible Securities with respect
 to which such determination is being made but shall exclude the number of Resulting Issuer
 Voting Shares which would be issuable upon exercise of the remaining, non-exercised portion
 of the Resulting Issuer Non-Voting Shares. To the extent that the Resulting Issuer Non-Voting
 Share Ownership Limitation applies, the determination of whether the Resulting Issuer
 Convertible Securities are exercisable (in relation to other securities owned by the
 holder) and of which portion of the Resulting Issuer Convertible Securities are exercisable
shall be in the discretion of the Resulting Issuer, and the submission of a notice of exercise, shall be deemed to be the holder's
determination of whether the Resulting Issuer Convertible Securities are exercisable (in relation to other securities owned by
the holder) and of which portion of the Resulting Issuer Convertible Securities are exercisable, in each case subject to the Resulting
Issuer Ownership Limitation. In determining the number of outstanding Resulting Issuer Voting Shares, the Resulting Issuer may
rely on the number of outstanding Resulting Issuer Voting Shares as reflected in (A) the Resulting Issuer's most recent
periodic or annual report filed with the Canadian securities commissions, (B) a more recent public announcement by the Resulting
Issuer or (C) a more recent written notice by the Resulting Issuer or the transfer agent setting forth the number of Resulting
Issuer Voting Shares outstanding. Upon the written or oral request of the holder, the Resulting Issuer shall within one Business
Day confirm orally and in writing to the holder the number of Resulting Issuer Voting Shares then outstanding. In any case, the
number of outstanding Resulting Issuer Voting Shares shall be determined after giving effect to the conversion or exercise of
securities of the Resulting Issuer, including the Resulting Issuer Convertible Securities, by the holder since the date as of
which such number of outstanding Resulting Issuer Voting Shares was reported. The "**Ownership Limitation**" shall
be 9.99% of the number of shares of the Resulting Issuer Common Shares outstanding immediately after giving effect to the issuance
of Resulting Issuer Voting Shares issuable upon exercise of the Resulting Issuer Convertible Securities; provided however that:
(A) the holder may, in its sole discretion, subject to (B), elect that this subsection cease to apply to the holder by sending
written notice of such election to the Resulting Issuer, and (B) the holder has filed, and any stock exchange on which the Resulting
Issuer Voting Shares are then listed has cleared for acceptance, personal information forms in the form prescribed by such exchange,
in respect of the Resulting Issuer and any third party that is in any manner connected with the holder and which the exchange
requires a personal information form to be submitted.

&nbsp;&nbsp;&nbsp;&nbsp;(iii) **Mechanics of Conversion.** Before any holder of Resulting Issuer Non-Voting Shares shall be entitled to convert Resulting Issuer Non-Voting
Shares into Resulting Issuer Voting Shares, the holder thereof shall surrender the certificate or certificates therefor, duly
endorsed, at the office of the Resulting Issuer, and shall give written notice to the Resulting Issuer at its principal corporate
office, of the election to convert the same and shall state therein the name or names in which the certificate or certificates
for Resulting Issuer Voting Shares are to be issued (each, a "**Resulting Issuer Non-Voting Share Conversion Notice** ").
The Resulting Issuer shall (or shall cause its transfer agent to), within two (2) Business Days thereafter, issue and deliver
at such office to such holder, or to the nominee or nominees of such holder, a certificate or certificates for the number of Resulting
Issuer Voting Shares to which such holder shall be entitled as aforesaid. Such conversion shall be deemed to have been made immediately
prior to the close of business on the date of such surrender of the Resulting Issuer Non-Voting Shares to be converted, and the
person or persons entitled to receive the Resulting Issuer Voting Shares issuable upon such conversion shall be treated for all
purposes as the record holder or holders of such Resulting Issuer Voting Shares as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;(iv) All
Resulting Issuer Non-Voting Shares which shall have been surrendered for conversion in accordance with the Articles shall no longer
be deemed to be outstanding and all rights with respect to such shares shall immediately cease and terminate at the time of conversion,
except only the right of the holders thereof to receive Resulting Issuer Voting Shares in exchange therefor and to receive payment
in lieu of any fraction of a share otherwise issuable upon such conversion.

**Repurchases of Outstanding Resulting Issuer Voting Shares**

Under the Resulting Issuer's articles of incorporation, but subject to the provisions of the BCBA, Resulting Issuer may, if authorized by the Board, purchase any issued Resulting Issuer Voting Shares in circumstances at a price and on terms determined by the directors. However, Resulting Issuer may not purchase Resulting Issuer Voting Shares at any time when, immediately following such purchase, it would be unable to pay its debts as they fall due in the ordinary course of business or making the payment or providing the consideration would render the Resulting Issuer insolvent. Subject to the BCBA and applicable securities laws, including issuer bid rules under NI 62-104, Resulting Issuer may, from time to time, with the agreement of a holder, purchase all or part of the holder's Resulting Issuer Voting Shares whether or not Resulting Issuer has made a similar offer to all or any other of the holders of Resulting Issuer Voting Shares.

**Adjustments for Distributions**

*<u>Resulting Issuer Non-Voting Shares</u>*

In the event the Resulting Issuer declares a distribution to holders of the Resulting Issuer Voting Shares payable in securities of other persons, evidences of indebtedness issued by the Resulting Issuer or other persons, assets (excluding cash dividends), or options or rights, then, in each such case, the holders of the Resulting Issuer Non-Voting Shares shall be entitled to a proportionate share of any such distribution as though they were the holders of the number of the Resulting Issuer Voting Shares into which their Resulting Issuer Non-Voting Shares are convertible as of the record date fixed for determining the holders of the Resulting Issuer Voting Shares entitled to receive such distribution.

**Recapitalizations and Stock Splits**

*<u>Resulting Issuer Voting Shares</u>*

Subject to the BCBCA, the Resulting Issuer may by special resolution:

(i) create one or more classes or series of shares or, if none of the shares of a class or series of shares are allotted or issued, eliminate that class or series of shares;

(ii) increase, reduce or eliminate the maximum number of shares that the Resulting Issuer is authorized to issue out of any class or series of shares or establish a maximum number of shares that the Resulting Issuer is authorized to issue out of any class or series of shares for which no maximum is established;

(iii) subdivide or consolidate all or any of its unissued, or fully paid issued, shares;

(iv) if the Resulting Issuer is authorized to issue shares of a class of shares with par value:

● decrease the par value of those shares; or

● if none of the shares of that class of shares are allotted or issued, increase the par value of those shares;

(v) change all or any of its unissued, or fully paid issued, shares with par value into shares without par value or any of its unissued shares without par value into shares with par value;

(vi) alter the identifying name of any of its shares; or

(vii) otherwise alter its shares or authorized share structure when required or permitted to do so by the BCBCA.

*<u>Resulting Issuer Non-Voting Shares</u>*

If at any time or from time-to-time, the Resulting Issuer shall (i) effect a recapitalization of the Resulting Issuer Voting Shares; (ii) issue Resulting Issuer Voting Shares as a dividend or other distribution on outstanding Resulting Issuer Voting Shares; (iii) subdivide the outstanding Resulting Issuer Voting Shares into a greater number of Resulting Issuer Voting Shares; (iv) consolidate the outstanding Resulting Issuer Voting Shares into a smaller number of Resulting Issuer Voting Shares; or (v) effect any similar transaction or action (each, a "**Resulting Issuer Recapitalization**"), provision shall be made so that the holders of Resulting Issuer Non-Voting Shares shall thereafter be entitled to receive, upon conversion of Resulting Issuer Non-Voting Shares, the number of Resulting Issuer Voting Shares or other securities or property of the Resulting Issuer or otherwise, to which a holder of Resulting Issuer Voting Shares deliverable upon conversion would have been entitled on such Resulting Issuer Recapitalization. In any such case, appropriate adjustment shall be made in the application of the provisions of this with respect to the rights of the holders of Resulting Issuer Non-Voting Shares after the Resulting Issuer Recapitalization to the end that the provisions of the Articles shall be applicable after that event as nearly equivalent as may be practicable.

**No Fractional Shares and Certificates as to Adjustment**

*<u>Resulting Issuer Non-Voting Shares</u>*

No fractional Resulting Issuer Voting Shares shall be issued upon the conversion of any Resulting Issuer Non-Voting Shares and the number of Resulting Issuer Voting Shares to be issued shall be rounded up to the nearest whole Resulting Issuer Voting Share. Whether or not fractional Resulting Issuer Voting Shares are issuable upon such conversion shall be determined on the basis of the total number of shares of Resulting Issuer Non-Voting Shares the holder is at the time converting into Resulting Issuer Voting Shares and the number of Resulting Issuer Voting Shares issuable upon such aggregate conversion.

**Disputes**

*<u>Resulting Issuer Non-Voting Shares</u>*

Any holder of Resulting Issuer Non-Voting Shares that beneficially owns more than 5% of the issued and outstanding Resulting Issuer Non-Voting Shares may submit a written dispute as to the determination of the conversion ratio, the arithmetic calculation of the conversion ratio of Resulting Issuer Non-Voting Shares to Resulting Issuer Voting Shares, or the Resulting Issuer Ownership Limitation by the Resulting Issuer, to the Resulting Issuer Board with the basis for the disputed determinations or arithmetic calculations. The Resulting Issuer shall respond to the holder within two (2) business days of receipt, or deemed receipt, of the dispute notice with a written calculation of the Resulting Issuer Ownership Limitation.

**Other**

*<u>Resulting Issuer Voting Shares</u>*

There are no sinking or purchase fund provisions, no provisions permitting or restricting the issuance of additional securities or any other material restrictions, and there are no provisions which are capable of requiring a security holder to contribute additional capital.

*<u>Resulting Issuer Non-Voting Shares</u>*

Any Resulting Issuer Non-Voting Share converted shall be retired and cancelled and may not be reissued as shares of such series or any other class or series, and the Resulting Issuer may thereafter take such appropriate action (without the need for shareholder action) as may be necessary to reduce the authorized number of Resulting Issuer Non-Voting Shares accordingly.

***Prior Sales of WBM Common Shares and Bitzero Shares***

**WBM**

The following table sets forth the issuances of WBM securities within the previous 12-month period before the date of this Listing Statement:

---

| | | |
|:---|:---|:---|
| **Date Issued** | **Number & Type of WBM securities** | **Issue Price per Security** |
| November 19, 2025 | 4,112,954 WBM Finco Shares  | C$0.05 C$205,647.70<sup>(1)</sup> |

---

**Notes:**

(1) Issued
pursuant to the WBM FinCo Debt Settlement. This is equivalent to 4,112,954 Resulting Issuer Voting Shares.

**Bitzero**

The following table sets forth the issuances of Bitzero securities within the previous 12-month period before the date of this Listing Statement:

---

| | | |
|:---|:---|:---|
| **Date Issued** | **Issue Price per Security** | **Consideration** |
| Closing Date 1,600,000 Bitzero Options <sup>(1)</sup> | US$0.40 | Consulting Services |
| Closing Date 45,226,100 Bitzero Shares <sup>(2)</sup> | Nil | RSU Conversion |
| October 30, 2025 US$2,853,990 convertible debt, comprising the FAR Convertible Note<sup>(3)</sup> | US$0.40 | Equipment |
| October 20, 2025 US$10,245,000 convertible debt, comprising the JGB Second Draw and the JGB First Draw Conversion Amount<sup>(4)</sup> | US$0.40 | Cash |
| October 20, 2025 5,974,930 JGB Second Warrants<sup>(5)</sup> | N/A | JGB Second Draw Agreement |
| October 14, 2025 1,000,000 RSUs<sup>(6)</sup> | US$0.40 | Consulting Services |
| October 14, 2025 3,750,000 Bitzero Shares and 3,750,000 Bitzero warrants<sup>(7)</sup> | US$0.40 | Cash |
| October 6, 2025 to <br> October 10, 2025<br> $1,075,000 convertible debt, compromising the Bitzero Convertible Notes<sup>(8)</sup> | US$0.40 | Cash |
| October 6, 2025 to <br> October 10, 2025<br> 2,687,500 warrants issued in connection with Bitzero Convertible Notes<sup>(8)</sup> | US$0.50 | Cash |
| September 9, 2025 11,330,000 RSUs <sup>(9)</sup> | US$0.40 | Consulting Services |
| August 31, 2025 1,021,750 Bitzero Shares <sup>(10)</sup> | US$0.40 | Cash |
| July 28, 2025 63,908 Bitzero Shares <sup>(11)</sup> | US$0.20 | Settlement Shares |
| June 29, 2025 28,500,000 RSUs <sup>(12)</sup> | US$0.20 | Consulting or Employment Services |
| June 27, 2025 19,559,862 JGB First Warrants <sup>(13)</sup> | N/A | JGB Loan Agreement |
| April 1, 2025 1,983,602 Bitzero Shares <sup>(14)</sup> | US$0.05 | Option Exercise |
| February 14, 2025 22,500,000 Bitzero Shares <sup>(15)</sup>  | Nil | RSU Conversion |
| January 31, 2025, to <br> February 10, 2025<br> 28,050,000 RSUs <sup>(16)</sup> | US$0.20 | Consulting or Employment Services |
| September 6, 2024, <br> to July 3, 2025<br> 35,515,000 Bitzero Shares <sup>(17)</sup><br>| US$0.20 | Cash |
| March 4, 2025 500,000 Bitzero Shares <sup>(18)</sup> | US$0.20 | Advisory Shares |
| February 13, 2025 250,000 Bitzero Shares <sup>(19)</sup> | US$0.20 | Advisory Shares |
| October 30, 2024 3,000,000 Bitzero Shares <sup>(20)</sup> | Nil | RSU Conversion |

---

**Notes:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. As
 of the Closing Date, 1,600,000 Bitzero Options were issued to directors of the Resulting
 Issuer. This is equivalent to 160,000 Resulting Issuer Options. 100,000 Resulting Issuer
 Options were issued to Gilles Seguin and 60,000 Resulting Issuer Options were issued
 to Claudia Di Iorio.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. As
 of the Closing Date, 45,226,100 RSUs converted into Bitzero Shares. This is equivalent
 to 4,522,610 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The
 FAR Convertible Note was issued in the principal amount of US$2,853,990, accrues interest
 at 10% per annum (12% upon default), and matures 18 months from the issue date. The holder
 may convert the outstanding principal and accrued interest into Bitzero Shares at a conversion
 price of US$0.40 per share, which is equivalent to US$4.00 per Resulting Issuer Voting
 Share, at any time prior to maturity, subject to customary conversion mechanics and anti-dilution
 protections. All rights granted to FAR pursuant to the FAR Convertible Note are conditional
 upon the FAR Conditions being satisfied, including FAR's right to convert the FAR
 Convertible Note into Bitzero Shares or to redeem the FAR Convertible Note, and the FAR
 Convertible Note shall be deemed null and void if the FAR Conditions have not been satisfied
 by April 22, 2026. The FAR Convertible Note is subordinate to senior debt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The
 JGB Second Draw Agreement provides for voluntary conversion rights, allowing each lender,
 at its option, to convert the outstanding principal and accrued interest of the JGB Second
 Draw and the JGB First Draw Conversion Amount, comprising an aggregate of US$10,245,000
 in principal amount into Bitzero Shares at a conversion price US$0.40 per share, subject
 to adjustment and beneficial ownership limitations. Following the completion of the Transaction,
 the JGB Second Draw and the JGB First Draw Conversion Amount will be convertible into
 Resulting Issuer Voting Shares at a price of US$4.00 per Resulting Issuer Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Pursuant
 to the JGB Second Draw Agreement, Bitzero issued to the lenders JGB Second Warrants entitling
 the lenders to collectively purchase 1% of the issued and outstanding Resulting Issuer
 Shares (on a fully diluted basis as of the Effective Time), being 5,974,930 JGB Second
 Warrants for a period of five years following the completion of the Transaction. Each
 JGB Second Warrant entitles the holder thereof to purchase one Bitzero Share at an exercise
 price of US$0.01 per Bitzero Share. This is equivalent to 597,493 Resulting Issuer Voting
 Shares at an exercise price of US$0.10 per Resulting Issuer Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Bitzero
 issued 1,000,000 RSUs to a consultant. This is equivalent to 100,000 RSUs in the capital
 of the Resulting Issuer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. An
 arm's length party invested US$1,500,000 in Bitzero and as consideration received
 3,750,000 Bitzero Shares and 3,750,000 warrants to purchase Bitzero Shares, whereby each
 warrant entitles the holder to purchase one Bitzero Share at an exercise price of US$0.40
 per Bitzero Share for a period of 24 months. This is equivalent to 375,000 Resulting
 Issuer Voting Shares and warrants to purchase 375,000 Resulting Issuer Voting Shares
 at an exercise price of US$4.00 per Resulting Issuer Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Pursuant
 to the Bitzero Convertible Note Financing, Bitzero issued the Convertible Notes accruing
 at a 15% interest rate compounded annually and mature 36 months from the issue date with
 a total principal amount of $1,075,000. The holders of the Bitzero Convertible Notes
 may convert the outstanding principal and accrued interest of the Bitzero Convertible
 Notes at US$0.40 per share for a total of 2,687,500 Bitzero Shares. This is equivalent
 to 268,750 Resulting Issuer Voting Shares with a conversion price of US$4.00 per Resulting
 Issuer Voting Share. In connection with the Bitzero Convertible Note Financing, a total
 of 2,687,500 warrants were issued to subscribers, exercisable at
a price of $0.50 per Bitzero Share into 2,687,500 Bitzero Shares for a period of 2-years. This is equivalent 268,750 Resulting
Issuer Voting Shares at an exercise price of $5.00 per Resulting Issuer Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. Bitzero
 issued 11,330,000 RSUs to consultants. This is equivalent to 1,133,000 RSUs in the capital
 of the Resulting Issuer. All of the RSUs converted into Resulting Issuer Voting Shares
 as at the Closing Date, and form part of the number in row 2.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. Pursuant
 to the share portion of the Bitzero 2025 Financing, Bitzero issued 1,021,750 Bitzero
 Shares. This is equivalent to 102,175 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. Bitzero
 issued an arm's length party 63,908 Bitzero Shares, resolving a discrepancy in
 the subscription price for Bitzero Shares issued under a prior subscription agreement
 from 2021. This is equivalent to 6,391 Resulting Issuer Voting Shares. The original subscription
 agreement stated the price in Canadian dollars, but the intended price was in U.S. dollars,
 resulting in the subscriber receiving fewer shares than would have been issued at the
 Canadian price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. Bitzero
 issued 28,500,000 RSUs that vested immediately and converted to Bitzero Shares on July
 31, 2025. This is equivalent to 2,850,000 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. Pursuant
 to the JGB Loan Agreement, Bitzero issued to the lenders JGB First Warrants entitling
 the lenders to collectively purchase 4% of the issued and outstanding Bitzero Shares
 (on a fully diluted basis), being 19,559,862 warrants for a period of five years following
 the completion of the Transaction. Each warrant entitles the holder thereof to purchase
 one Bitzero Share at an exercise price of US$0.01 per Bitzero Share. This is equivalent
 to 1,955,986 Resulting Issuer Voting Shares at an exercise price of US$0.10 per Resulting
 Issuer Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. xBit
 was issued 1,983,602 Bitzero Options on May 7, 2021. On February 6, 2025, xBit exercised
 its Bitzero Options and the Bitzero Shares underlying the Bitzero Options were issued
 on April 1, 2025. This is equivalent to 198,360 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. 22,500,000
 RSUs were converted to Bitzero Shares, from the 28,050,000 RSUs previously issued between
 January 31, 2025, to February 10, 2025, as reflected in row 10. This is equivalent to
 2,250,000 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. Bitzero
 issued 28,050,000 RSUs to various consultants and employees. This is equivalent to 280,500
 RSUs in the capital of the Resulting Issuer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. Pursuant
 to the Bitzero 2024 Financing, Bitzero issued 35,515,000 Bitzero Shares. This is equivalent
 to 3,551,500 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. Bitzero
 issued 500,000 Bitzero Shares to Mr. Mohammad Muhawesh pursuant to an advisory services
 agreement. This is equivalent to 50,000 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. Bitzero
 issued 250,000 Bitzero Shares to Mr. Aldo Bernardi pursuant to an advisory services agreement.
 This is equivalent to 25,000 Resulting Issuer Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. Bitzero
 issued 3,000,000 Bitzero Shares pursuant to a RSU conversion. This is equivalent to 300,000
 Resulting Issuer Voting Shares.

**12. PRINCIPAL SECURITYHOLDERS**

To the knowledge of the directors and officers of the Resulting Issuer, no Person beneficially owns, directly or indirectly, or exercises control or direction over, voting securities carrying more than 10% of the voting rights attached to any class of voting securities of the Resulting Issuer.

Although, Phoenix, may become a principal securityholder (i.e., hold 10% or more of the Resulting Issuer voting securities) if it files and clears a personal information form with the Exchange. Phoenix holds 4,925,538 Resulting Issuer Voting Shares (representing 9.99% of the issued and outstanding Resulting Issuer Voting Shares) and 2,312,243 Resulting Issuer Non-Voting Shares, which are convertible on a one-for-one basis into Resulting Issuer Voting Shares, subject to certain restrictions, such that, if the entirety of the Resulting Issuer Non-Voting Shares held by Phoenix were converted into Resulting Issuer Voting Shares, Phoenix would hold an aggregate of 7,237,781 Resulting Issuer Voting Shares (representing 13.9% of the issued and outstanding Resulting Issuer Voting Shares). See "*Section 11 – Description of Securities*" for a description of the terms and conditions applicable to the Resulting Issuer Non-Voting Shares.

**Voting Trusts**

To the knowledge of the Resulting Issuer, no voting trust exists within the Resulting Issuer such that more than 10% of any class of voting securities of the Resulting Issuer are held, or are to be held, subject to any voting trust or other similar agreement.

**Associates and Affiliates**

To the knowledge of the Resulting Issuer none of the principal shareholders is an Associate or Affiliate of any other principal shareholder.

**13. DIRECTORS AND OFFICERS**

The following table lists the names, municipalities of residence of the proposed directors and officers of the Resulting Issuer, their positions and offices held with the Resulting Issuer effective on the Listing Date, their principal occupations during the past 5 years and the number of Resulting Issuer Shares of the Resulting Issuer that are beneficially owned, directly or indirectly, or over which control or direction is exercised by each.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name,** <br> **Province/State and Country of Residence**  | &nbsp;&nbsp;**Position to be held with the Resulting Issuer** | &nbsp;&nbsp;**Principal Occupation for Past Five Years** | &nbsp;&nbsp;**Number and Percentage of Resulting Issuer Shares Beneficially Owned or Controlled**  | &nbsp;&nbsp;**Number and Percentage of Resulting Issuer Options** |
| &nbsp;&nbsp; <br> Mohammed Bakhashwain <sup>(4)</sup><br>*Jeddah, Saudi Arabia* <br>| &nbsp;&nbsp;Chief Executive Officer,<br> Chief Strategy Officer & Director | &nbsp;&nbsp;*See biography below.* | &nbsp;&nbsp;3,932,717 Resulting Issuer Voting Shares<br>(9.00%) | &nbsp;&nbsp;Nil<br>|
| &nbsp;&nbsp;Igor Kostioutchenko <br> *Ontario, Canada* | &nbsp;&nbsp;Chief Financial Officer | &nbsp;&nbsp;*See biography below.* | &nbsp;&nbsp;50,000 Resulting Issuer Voting Shares<sup>(5)</sup><br>(0.10 %)<br>| &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Giovanni Gaudenzi<sup>(1)</sup> <br> *London, United Kingdom* | &nbsp;&nbsp;Head of Finance & Director | &nbsp;&nbsp;*See biography below.* | &nbsp;&nbsp;1,400,000 Resulting Issuer Voting Shares<br>(2.81%)<br>| &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Claudia Di Iorio<sup>(1)(4) (2)</sup> <br> *Quebec, Canada* | &nbsp;&nbsp;Director | &nbsp;&nbsp;*See biography below.* | &nbsp;&nbsp;Nil | &nbsp;&nbsp;60,000 Resulting Issuer Options<br>(5.89%)<br>|
| &nbsp;&nbsp;Gilles Seguin <sup>(1) (4)</sup> <br> *Quebec, Canada* | &nbsp;&nbsp;Corporate Secretary & Director <sup>(3)</sup> | &nbsp;&nbsp;*See biography below.* | &nbsp;&nbsp;100,000 Resulting Issuer Voting Shares<sup>(6)</sup><br>(0.20%)<br>| &nbsp;&nbsp;100,000 Resulting Issuer Options<br>(9.82%)<br>|

---

**Notes:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Member
 of the Audit Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Chair
 of the Audit Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Chairman
 of the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Member
 of the Compensation and Governance Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) Igor
 Kostioutchenko holds his Resulting Issuer Voting Shares through K&P Capital Corp.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) Gilles
 Seguin holds his Resulting Issuer Voting Shares through Kazco Holdings Ltd.

**Aggregate Ownership of Securities**

As of the date of this Listing Statement, the directors, officers, and promoters of the Resulting Issuer, as a group, directly or indirectly beneficially own 6,332,717<sup>1</sup> Resulting Issuer Voting Shares, representing approximately 12.73% of the issued and outstanding Resulting Issuer Voting Shares on an undiluted basis.

*<sup>1</sup>This includes an additional 850,000 Resulting Issuer Voting Shares beneficially held by the CEO of Exanorth (a Bitzero subsidiary).*

**Corporate Cease Trade Orders or Bankruptcies; Penalties or Sanctions; Personal Bankruptcies**

Other than as set out below, no proposed director or officer of the Resulting Issuer or a Shareholder holding a sufficient number of Resulting Issuer Shares of the Resulting Issuer to affect materially the control of the Resulting Issuer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) is,
 at the date of this Listing Statement, or has been, within 10 years before the date of
 this Listing Statement, a director, chief executive officer or chief financial officer
 of any company, including any personal holding company of such director, chief executive
 officer or chief financial officer that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) while
 that person was acting in that capacity, was the subject of a cease trade or similar
 order, or an order that denied the other relevant company access to any exemption under
 securities legislation, for a period of more than 30 consecutive days; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) was
 the subject of a cease trade or similar order or an order that denied the relevant company
 access to any exemption under securities legislation for a period of more than 30 consecutive
 days issued after that person ceased to be a director or executive officer and which
 resulted from an event that occurred while the person was acting in such capacity; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) is,
 at the date of this Listing Statement, or has been, within 10 years before the date of
 this Listing Statement, a director or executive officer of any company (including the
 Resulting Issuer and any personal holding company of such director or executive officer)
 that, while that person was acting in that capacity, or within a year of that person
 ceasing to act in that capacity, became bankrupt, made a proposal under any legislation
 relating to bankruptcy or insolvency or was subject to or instituted any proceedings,
 arrangement or compromise with creditors or had a receiver, receiver manager or trustee
 appointed to hold its assets.

Gilles Seguin was a director of Intema Solutions Inc. from 2011 to April 2018. On March 1, 2014, a failure-to-file cease trade order was issued due to a failure to file audited financial statements for the financial year ended December 31, 2013, and the corresponding management discussion & analysis. The cease trade order was subsequently revoked on July 16, 2020.

**Conflicts of Interest**

Conflicts of interest may arise since the directors, officers and promoters of the Resulting Issuer also hold positions as directors or officers of other companies. Some of the individuals who will be directors and officers of the Resulting Issuer have been and will continue to be engaged in the identification and evaluation of assets, businesses and companies on their own behalf and on behalf of other companies, and situations may arise where the directors and officers of the Resulting Issuer will be in direct competition with the Resulting Issuer. Conflicts, if any, will be subject to the procedures and remedies provided under the OBCA.

**Board and Management**

Brief descriptions of the biographies for all of the proposed officers and directors of the Resulting Issuer are set out below:

*Mohammed Bakhashwain - Chief Executive Officer, Chief Strategy Officer & Director (Age: 30)*

Mohammed Bakhashwain is an entrepreneur holding a Bachelor of Administration from the University of Westminster and a Master of Science in Real Estate Development and Investment from the University of Greenwich. He has significant experience in the Blockchain space and has acted as an advisor to government bodies and ultra-high net worth families in the Gulf Cooperation Council and Europe.

*Igor Kostioutchenko – Chief Financial Officer (Age: 38)*

Igor's areas of expertise center around assurance and advisory where he attends to complex areas of accounting, finance and valuations. He has a high degree of experience working organizations to address needs related to financial reporting, transaction advisory, and supporting capital raises. Mr. Kostioutchenko holds a Bachelor of Commerce from the University of Toronto's Rotman School of Management and has been a partner at K&P CPAs for the past six years.

*Giovanni Gaudenzi – Head of Finance (Age: 49)*

Giovanni Gaudenzi has over 16 years of experience in investment banking at Credit Suisse and JP Morgan. He holds a bachelor's degree of Liceo Classico at Collegio San Luigi in Bologna, Italy and a master's degree in engineering. He founded Mackenzie Associates, a boutique family office, in 2016 where he provided investment advisory, real estate, and private equity services to insurance companies, pension funds, asset managers, and other corporates. Giovanni was appointed as the Head of Finance of Bitzero in July 2022, and continues to render services to other clients through his family office.

*Gilles Seguin – Corporate Secretary & Director (Age: 65)*

Gilles Seguin is an international securities and corporate lawyer, member of the Quebec Bar (1982) and the Paris Bar (2016). He is a partner at BCF LLP, where he serves as the Vice-Chairman of the Board and the head of the Governance Committee. He has served on the board and been an officer of numerous public and non-profit companies. He is known for his deep expertise in corporate governance and international mergers and acquisitions. He is presently serving as a director of Premier Groupe Financier Signature Inc.

*Claudia Di Iorio – Director (Age: 30)*

Claudia Di Iorio is a lawyer and received her Bachelor of Law from McGill University in 2019. Claudia completed a clerkship and was a lawyer at BCF Avocats from May 2018 to May 2021; Legal Counsel for Legal Suite Canada from May 2021 to June 2022; and a lawyer at BCA Avocats from January 2023 to August 2023. Claudia has been a director on the board for Société d'assurance automobile du Québec since July 2017 and also is currently a lawyer at CD1 Legal Inc., where she maintains a broad business law practice.

**Other Reporting Issuer Experience**

The following table sets out the proposed directors, officers, and Promoters of the Resulting Issuer that are, or have within the preceding five-year period been directors of other reporting issuers:

---

| | | | |
|:---|:---|:---|:---|
| **Name of Director or <br> <u>Officer</u>** | **Reporting Issuer and Name of** <br> **<u>Trading Market(s)</u>** | **Position** | **Time of Involvement** |
| Igor Kostioutchenko | Xigem Technologies Corporation <br> (CSE) | CFO | September 2020 – Present |
| Igor Kostioutchenko | SuperBuzz Inc. <br> (TSX Venture Exchange) | CFO | May 2022 – May 2025 |
| Igor Kostioutchenko | Zero Candida Technologies Inc. <br> (TSX Venture Exchange)  | Director | May 15, 2025 – Present |
| Igor Kostioutchenko | StickIt Technologies Inc. <br> (CSE : STKT) | Director | May 16, 2025 – Present |
| Gilles Seguin | Premier Health of America (TSX <br> (TSX Venture Exchange PHA) | Director <br> Chairman | May 2021 to April 2025 |
| Gilles Seguin | Leopard Lake Mining Inc. | Director | January 2024 to March 2025 |

---

**Audit Committee**

Assuming completion of the Transaction, it is proposed that the Resulting Issuer will have an Audit Committee comprising Claudia Di Iorio (Chair), Gilles Seguin, and Giovanni Gaudenzi. Gilles Seguin and Claudia Di Iorio will be considered "independent" as that term is defined in NI 52-110. Also, all of the Audit Committee members are expected to be "financially literate" as defined in NI 52-110. The Resulting Issuer will adopt a Charter of the Audit Committee in substantially the form set out at Schedule "G". The mandate of the Audit Committee is to assist the Board in fulfilling its oversight responsibilities relating to financial accounting, reporting and internal controls for the Resulting Issuer.

The Audit Committee is responsible for: conducting reviews and discussions with management and the external auditors relating to the audit and financial reporting; assessing the integrity of internal controls and financial reporting procedures; ensuring implementation of internal controls and procedures; reviewing the quarterly and annual financial statements and management's discussion and analysis of the Resulting Issuer; selecting and monitoring the independence, performance and remuneration of the external auditors; oversight of all disclosure relating to financial information; and pre-approving any non-audit services to be provided to the Resulting Issuer by any external auditors and the fees for those services. The Audit Committee will also be responsible for reviewing and following the procedures established in the Resulting Issuer's codes, policies and guidelines as may be established from time to time.

Relevant Education and Experience

All the proposed members of the Audit Committee are able to understand and interpret information related to financial statement analysis. Each of the proposed members of the Audit Committee has a general understanding of the accounting principles used by the Resulting Issuer to prepare its financial statements and will seek clarification from the Resulting Issuer's auditors, where required. Each of the proposed members of the Audit Committee also has direct experience in understanding accounting principles for private and reporting companies.

For additional details regarding the relevant experience of each member of the Resulting Issuer's Audit Committee, see the relevant biographical experiences for each of the Resulting Issuer's directors and officers under "Section 11 – *Officers and Directors*".

*<u>Audit Committee Oversight</u>*

At no time since the commencement of WBM's most recently completed financial year was the recommendation of the Audit Committee to nominate or compensate an external auditor not adopted by the Board.

*<u>Pre-Approval Policies and Procedures</u>*

Formal policies and procedures for the engagement of non-audit services have yet to be formulated and adopted by WBM and are not currently planned for the Resulting Issuer. Subject to the requirements of NI 52-110, the engagement of non-audit services is considered by the Board and the Audit Committee, on a case-by-case basis as applicable.

*<u>External Auditor Service Fees</u>*

In the following table, "audit fees" are fees billed by WBM's and Bitzero's external auditor for services provided in auditing WBM's annual financial statements for the subject year and Bitzero's annual financial statements for the subject year, as applicable. "Audit-related fees" are fees not included in audit fees that are billed by the auditor for assurance and related services that are reasonably related to the performance of the audit review of WBM's and Bitzero's financial statements. "Tax Fees" are fees billed by the auditor for professional services rendered for tax compliance, tax advice and tax planning. "All other fees" are fees billed by the auditor for products and services not included in the foregoing categories.

The aggregate fees billed by WBM's external auditor in the last two fiscal years, by category, are as follows:

---

| | | |
|:---|:---|:---|
| **Year Ended October 31** | **Audit Fees (C$)** | **Tax Fees (C$)** |
| 2024 | $30000 Nil | $10000 Nil |
| 2023 | $55000 Nil | $10000 Nil |

---

The aggregate fees billed by Bitzero's external auditor in the last two fiscal years, by category, are as follows:

---

| | | |
|:---|:---|:---|
| **Year Ended September 30** | **Audit Fees (US$)** | **Audit Related Fees (US$)** |
| 2024 | 107750 | 3750 Nil |
| 2023 | 171750 | 3750 Nil |

---

*<u>Ethical Business Conduct</u>*

As a responsible business and corporate citizen, the Resulting Issuer is committed to conducting its affairs with integrity, honesty, fairness and professionalism

The Resulting Issuer's reputation for honesty and integrity amongst its shareholders and other stakeholders is key to the success of its business. No employee or director will be permitted to achieve results through violation of laws or regulations, or through unscrupulous dealings.

Any director with a conflict of interest or who is capable of being perceived as being in conflict of interest with respect to the Resulting Issuer will be obligated to abstain from discussion and voting by the Resulting Issuer Board or any committee of the Resulting Issuer Board on any motion to recommend or approve the relevant agreement or transaction. The Resulting Issuer Board must comply with conflict-of-interest provisions of the OBCA*.*

*<u>Nomination of Directors</u>*

Responsibility for identifying new candidates to join the Resulting Issuer Board will belong to the Resulting Issuer Board as a whole. The Resulting Issuer Board will encourage all directors to participate in the process of identifying and recruiting new candidates. It is expected that the Compensation and Governance Committee will have the responsibility of making recommendations to the Resulting Issuer Board with respect to the new nominees and for assessing directors on an on-going basis While there are no specific criteria for Resulting Issuer Board membership, it is expected that the Resulting Issuer will seek to attract and retain directors with business knowledge and a particular expertise in technology and development of other areas of specialized knowledge (such as finance) which will assist in guiding the officers of the Resulting Issuer. Gilles Seguin, Claudia Di Iorio, and Mohammed Bakhashwain are the members of the Compensation and Governance Committee.

**14. EXECUTIVE COMPENSATION**

The following information is presented in accordance with Form 51-102F6V - Statement of Executive Compensation and provides details of all proposed compensation for each proposed director and NEO of the Resulting Issuer for the first 12 months following the Effective Date.

**Compensation Discussion and Analysis**

The Resulting Issuer expects to provide a market-based blend of base salaries, bonuses and equity incentive components in the form of Resulting Issuer Awards to further align the interests of management with the interests of the Resulting Issuer's shareholders.

It is expected that the Resulting Issuer's policies on compensation for its NEOs will be intended to provide appropriate compensation for executives that is internally equitable, externally competitive and reflects individual achievements in the context of the Resulting Issuer. The overriding principles in establishing executive compensation provide that compensation should:

1. reflect fair and competitive compensation commensurate with an individual's experience and expertise in order to attract and retain highly qualified executives;

2. reflect recognition and encouragement of leadership, entrepreneurial spirit and teamwork;

3. reflect an alignment of the financial interests of the executives with the financial interest of the shareholders;

4. include options and, in certain circumstances, bonuses to reward individual performance and contribution to the achievement of corporate performance and objectives;

5. reflect a contribution to enhancement of shareholder value; and

6. provide incentive to the executives to continuously improve operations and execute on corporate strategy.

It is anticipated that the Resulting Issuer's executive compensation program will encompass three elements as follows: (i) base salary; (ii) short-term compensation incentives for management through cash bonuses; and (iii) long-term compensation incentives (primarily options) related to long-term increases in share value.

**Research and Benchmarking**

The Resulting Issuer does not intend to engage in, formal benchmarking with an independent advisory firm for the purpose of establishing the executive compensation program relative to any predetermined level or specified peer group of companies when considering the design of its program. It is anticipated that initially the Compensation and Governance Committee will make reference to internally prepared comparative analysis to peer companies provided by management to evaluate the appropriateness and competitiveness of its executive compensation program.

**Mitigation of Compensation-Related Risk**

As part of its annual review of the Resulting Issuer's compensation policies and practices, including the setting of annual corporate performance objectives, the Compensation and Governance Committee is expected to consider risks associated with such policies and practices. The Resulting Issuer Board and the Compensation and Governance Committee are expected to consider and assess, as necessary, risks relating to compensation prior to entering into or amending employment contracts with NEOs and when setting the compensation of directors. The Resulting Issuer Board and the Compensation and Governance Committee intend to establish compensation policies and practices are appropriate for its industry and stage of business and that such policies and practices do not have associated with them any risks that are reasonably likely to have a material adverse effect on the Resulting Issuer or which would encourage a NEO to take any inappropriate or excessive risks. The Compensation and Governance Committee is anticipated to continually review the Resulting Issuer's compensation policies, including its compensation-related risk profile, as necessary, to ensure its compensation policies and practices are not reasonably likely to have a material adverse effect on the Resulting Issuer or encourage a NEO to take any inappropriate or excessive risks.

**Elements of the Resulting Issuer's Executive Compensation Program**

*<u>Base Salary</u>*

Base salary represents a key component of an executive officer's compensation package as it is the first step in ensuring a competitive structure based on a number of factors, including peer group comparison.

It is anticipated that the base salary for each of the executive officers of the Resulting Issuer will be reviewed and established annually, typically during the first quarter of the fiscal year with changes to be implemented as of the beginning of each fiscal year. Base salaries are expected to be determined according to the particular executive officer's personal performance and seniority, contribution to the business of the Resulting Issuer and the size and stage of development of the Resulting Issuer. Base salaries will also be reviewed from time to time to ensure comparability with industry norms. The Resulting Issuer anticipates hiring qualified management from around the world and therefore will likely look to compensation paid by Canadian competitors.

*<u>Named Executive Officers</u>*

The Resulting Issuer's "NEOs" include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Mohammed
 Bakhashwain (CEO & Director);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Igor
 Kostioutchenko (CFO); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Giovanni
Gaudenzi (Head of Finance & Director).

**Director and Named Executive Officer Compensation, Excluding Compensation Securities**

The following table sets forth the proposed compensation to be earned by the NEOs and directors of the Resulting Issuer during the first 12 months following the Effective Date, excluding compensation securities:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name and Position** <br>| &nbsp;&nbsp;**Year** <br>| &nbsp;&nbsp;**Salary, Consulting Fee, Retainer or Commission (US$)** | &nbsp;&nbsp;**Total Compensation** <br> **(US$)**<br>|
| &nbsp;&nbsp;Mohammed Bakhashwain<br> *CEO, Chief Strategy Officer & Director*  | &nbsp;&nbsp;2025 | &nbsp;&nbsp;$450000 &nbsp;&nbsp;Nil | &nbsp;&nbsp;$450000 |
| &nbsp;&nbsp;Igor Kostioutchenko <br> *CFO*  | &nbsp;&nbsp;2025 | &nbsp;&nbsp;$107000 &nbsp;&nbsp;Nil | &nbsp;&nbsp;$107000<sup>(1)</sup> |
| &nbsp;&nbsp;Giovanni Gaudenzi <br> *Head of Finance & Director* | &nbsp;&nbsp;2025 | &nbsp;&nbsp;$360000 &nbsp;&nbsp;Nil | &nbsp;&nbsp;$360000 |
| &nbsp;&nbsp;Gilles Seguin<br> *Corporate Secretary, Chairman & Director* | &nbsp;&nbsp;2025 | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Claudia Di Iorio <br> *Director* | &nbsp;&nbsp;2025 | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |

---

**<u>Notes:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Igor
Kostioutchenko provides CFO services to Bitzero through his accounting firm, K&P CPAs, Professional Corporation. Igor's
annual salary is paid in Canadian dollars in the amount of $153,000 (converted at FX rate USD/CAD 1.43 as at December 18, 2024).

**Stock Options and Other Compensation Securities**

The Resulting Issuer may, in the discretion of the Board, grant Resulting Issuer Options and Resulting Issuer RSUs under the Omnibus Incentive Plan from time to time, to current and incoming executive officers. Please see "*Section 10* – *Options and Other Rights to Purchase Securities*" for a summary of the material terms of the Omnibus Incentive Plan. The following table sets forth all proposed compensation securities to be earned by the NEOs and directors of the Resulting Issuer, for services provided or to be provided, directly or indirectly, to the Resulting Issuer or any subsidiary thereof:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name and Position**  | &nbsp;&nbsp;**Type of compensation security**  | &nbsp;&nbsp;**Number of compensation securities, number of underlying securities and percentage of class** | &nbsp;&nbsp;**Date of issue or grant**  | &nbsp;&nbsp;**Issue, conversion or exercise price** <br> **(US$)** | &nbsp;&nbsp;**Closing price of** <br> **security or underlying security on date of grant** <br> **(US$)** | &nbsp;&nbsp;**Closing price of** <br> **security or underlying security at year end** <br> **(US$)** | &nbsp;&nbsp;**Expiry Date** |
| &nbsp;&nbsp;Mohammed Bakhashwain<br>*CEO, Chief Strategy Officer & Director*<br>| &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Igor Kostioutchenko<br>*CFO*<br>| &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Giovanni Gaudenzi<br>*Head of Finance & Director*<br>| &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Gilles Seguin<br>*Corporate Secretary, Chairman & Director*<br>| &nbsp;&nbsp;Resulting Issuer Options | &nbsp;&nbsp;100,000 Resulting Issuer Options exercisable into 100,000 Resulting Issuer Voting Shares (9.82%)<br>| &nbsp;&nbsp;November 19, 2025 | &nbsp;&nbsp;$4.00 | &nbsp;&nbsp;N/A | &nbsp;&nbsp;N/A | &nbsp;&nbsp;November 19, 2028 |
| &nbsp;&nbsp;Claudia Di Iorio<br>*Director*<br>| &nbsp;&nbsp;Resulting Issuer Options | &nbsp;&nbsp;60,000 Resulting Issuer Options exercisable into 60,000 Resulting Issuer Voting Shares (5.89%)<br>| &nbsp;&nbsp;November 19, 2025 | &nbsp;&nbsp;$4.00 | &nbsp;&nbsp;N/A | &nbsp;&nbsp;N/A | &nbsp;&nbsp;November 19, 2028 |

---

**Share-Based and Options Awards**

The Resulting Issuer has adopted an Omnibus Incentive Plan dated November 19, 2025, which provides that the aggregate number of shares that may be issued under all awards under the Omnibus Incentive Plan will be 20% of the Resulting Issuer Shares outstanding, from time to time.

**Pension Plan Benefits**

The Resulting Issuer does not have any pension plans that provide for payments or benefits to directors or NEOs at, following, or in connection with retirement, including a defined benefits plan or a defined contribution plan. The Resulting Issuer does not have a deferred compensation plan with respect to any NEO or director.

**Employment, Consulting and Management Contracts**

Except as previously disclosed in Section 4 – *General Development of the Business*, the Resulting Issuer does not have any contracts, agreements, plans or arrangements that provide for payments to an NEO at, following or in connection with any termination (whether voluntary, involuntary or constructive), resignation, retirement, a change in control of the Issuer or a change in an NEO's responsibilities.

**External Management Companies**

The Resulting Issuer has the following agreements and arrangements in place whereby an external management company employs or retains individuals who act as NEOs or directors of the Resulting Issuer:

● K&P Services Agreement, pursuant to which Igor Kostioutchenko provides CFO services to the Resulting Issuer through K&P CPA Professional Corporation; and

● Aadnevik Consulting Agreement, pursuant to which Frank Aadnevik provides CEO services to Exanorth through Aadnevik Invest.

**Termination and Change of Control Benefits**

Except as disclosed below, the Resulting Issuer has no contract, agreement, plan or arrangement that provides for payments to an NEO, at, following or in connection with any termination (whether voluntary, involuntary or constructive), resignation, retirement, a change of control of the Resulting Issuer or a change in the NEOs responsibilities.

*<u>K&P Services Agreement</u>*

The K&P Services Agreement provides that if within twelve (12) months following a "change of control" of Bitzero, the K&P Services Agreement is terminated by Bitzero, other than if K&P CPA Professional Corporation terminates the K&P Services Agreement for any reason at any time within twelve (12) months after the "change of control", then Bitzero will pay K&P a severance amount equal to twelve times the monthly fee payable pursuant to the K&P Services Agreement.

*<u>Gaudenzi Employment Agreement</u>*

The Gaudenzi Employment Agreement has the following provisions related to termination and change of control:

● If the Gaudenzi Employment Agreement is terminated for just cause (as defined in the Gaudenzi Employment Agreement), Bitzero may terminate the employment immediately, without providing additional notice, and without any obligation to offer severance benefits. Upon termination for just cause, Giovanni Gaudenzi is entitled to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. Any
 accrued and unpaid base salary and bonus earned up to the date of the termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. Any
 accrued but unpaid vacation pay earned up to the date of termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. Reimbursement
 of any pre-approved expenses incurred, but which remain unpaid up to the date of termination.

● Upon termination voluntarily by Giovanni Gaudenzi, Giovanni shall be entitled to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. Any
 accrued and unpaid base salary and bonus earned up to the date of termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. Any
 accrued but unpaid vacation pay earned up to the date of termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. Any
 other payments, benefits, or entitlement under the Employment Standards Act other than
 termination or severance pay;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. Reimbursement
 of any pre-approved expenses incurred, but which remain unpaid up to the date of termination.

● If the Gaudenzi Employment Agreement is terminated without just cause, Gaudenzi is entitled to the following:

1) 24 months base salary and bonus;

2) Any accrued and unpaid base salary and bonus earned up to the date of termination;

3) Any accrued but unpaid vacation pay earned up to the date of termination;

4) Reimbursement of any pre-approved expenses incurred, but which remain unpaid up to the date of termination.

● In the event of a change of control of Bitzero, Giovanni Gaudenzi is entitled to the following pursuant to the Gaudenzi Employment Agreement:

1) In the event of a change of control, if Gaudenzi's employment is terminated by Bitzero without cause within 12 months following the effective date of the change of control, Gaudenzi shall be entitled to a severance payment equal to, 36 months base salary and bonus, payable within 14 days of termination;

2) If the employee holds any Bitzero Options that are unvested as of the effective date of the change of control, all unvested Bitzero Options shall immediately vest upon the change of control.

15. ESCROW SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL **RESTRICTIONS ON TRANSFER**

The Resulting Issuer is classified as an "emerging issuer" under NP 46-201. An "emerging issuer" is an issuer that after its initial public offering is not an "exempt issuer" or an "established issuer" (as such terms are defined in NP 46-201). Based on the Resulting Issuer being an "emerging issuer" (as defined in NP 46-201), subject to the exceptions set out in NP 46-201, all securities held by principals (as defined in NP 46-201) of the Resulting Issuer are to be held in escrow (the "**Escrowed Securities**"). All such Escrowed Securities will be subject to a 36-month escrow period pursuant to an escrow agreement (the "**Escrow Agreement**"). Ten percent of the Escrowed Securities of each principal that is subject to the Escrow Agreement were exempt from escrow effective on the receipt of notice confirming the listing of Resulting Issuer Voting Shares on the CSE. Thereafter, the balance of such Escrowed Securities will be released over 36 months in six-month intervals in equal tranches of 15% from the date of the listing of the Resulting Issuer Voting Shares on the CSE. The Escrowed Securities will be released as follows:

---

| | |
|:---|:---|
| On the Listing Date | 1/10 of the Escrowed Securities |
| 6 months after the Listing Date | 1/6 of the remaining Escrowed Securities |
| 12 months after the Listing Date | 1/5 of the remaining Escrowed Securities |
| 18 months after the Listing Date | 1/4 of the remaining Escrowed Securities |
| 24 months after the Listing Date | 1/3 of the remaining Escrowed Securities |
| 30 months after the Listing Date | 1/2 of the remaining Escrowed Securities |
| 36 months after the Listing Date | The remaining Escrowed Securities |

---

The following lists holders of the Escrowed Securities:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name and Municipality of Residence of** <br> **Securityholder** | &nbsp;&nbsp;**Designation of Class of Security**  | &nbsp;&nbsp;**After Giving Effect to the Transaction** | &nbsp;&nbsp;**After Giving Effect to the Transaction** |
| &nbsp;&nbsp;**Name and Municipality of Residence of** <br> **Securityholder** | &nbsp;&nbsp;**Designation of Class of Security**  | &nbsp;&nbsp;**No. of Securities Held** <br> **in Escrow** | &nbsp;&nbsp;**Percentage of Class** |
| &nbsp;&nbsp;Mohammed Bakhashwain <br> *Jeddah, Saudi Arabia*  | &nbsp;&nbsp;Resulting Issuer Voting Shares  | &nbsp;&nbsp;3932717 | &nbsp;&nbsp;7.90% |
| &nbsp;&nbsp;K&P Capital Corp.<sup>(1)</sup> <br> *Ontario, Canada* | &nbsp;&nbsp;Resulting Issuer Voting Shares | &nbsp;&nbsp;50000 | &nbsp;&nbsp;0.10% |
| &nbsp;&nbsp;Giovanni Gaudenzi <br> *London, United Kingdom* | &nbsp;&nbsp;Resulting Issuer Voting Shares | &nbsp;&nbsp;1400000 | &nbsp;&nbsp;2.81% |
| &nbsp;&nbsp;Exakraft AS<sup>(2)</sup> | &nbsp;&nbsp;Resulting Issuer Voting | &nbsp;&nbsp;600000 | &nbsp;&nbsp;1.71% |
| &nbsp;&nbsp;*Oslo, Norway* | &nbsp;&nbsp;Shares |  |  |
| &nbsp;&nbsp;Josie Anne Vilchez Chirichigno<sup>(3)</sup> <br> *Oslo, Norway* | &nbsp;&nbsp;Resulting Issuer Voting Shares | &nbsp;&nbsp;250000 | &nbsp;&nbsp;0.50% |
| &nbsp;&nbsp;Claudia Di Iorio <br> *Québec, Canada* | &nbsp;&nbsp;Resulting Issuer Options | &nbsp;&nbsp;60000 | &nbsp;&nbsp;5.89% |
| &nbsp;&nbsp;Gilles Seguin <br> *Quebec, Canada* | &nbsp;&nbsp;Resulting Issuer Options | &nbsp;&nbsp;100000 | &nbsp;&nbsp;9.82% |
| &nbsp;&nbsp;Kazco Holdings Ltd.<sup>(4)</sup> <br> *Quebec, Canada* | &nbsp;&nbsp;Resulting Issuer Voting Shares | &nbsp;&nbsp;100000 | &nbsp;&nbsp;0.20% |
| &nbsp;&nbsp;Total Resulting Issuer Voting Shares Subject to Escrow | &nbsp;&nbsp;Total Resulting Issuer Voting Shares Subject to Escrow | &nbsp;&nbsp;6332717 | &nbsp;&nbsp;12.73% |
| &nbsp;&nbsp;Total Resulting Issuer Options Subject to Escrow | &nbsp;&nbsp;Total Resulting Issuer Options Subject to Escrow | &nbsp;&nbsp;160000 | &nbsp;&nbsp;15.72% |

---

**Notes:** 

&nbsp;&nbsp;&nbsp;&nbsp;(1) The
 Resulting Issuer Voting shares held by K&P Capital Corp. are beneficially owned and
 controlled by Igor Kostioutchenko.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The
 Resulting Issuer Voting Shares held by Exakraft AS are beneficially owned and controlled
 by Frank Aadnevik.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) The
 Resulting Issuer Voting Shares held by Josie Anne Vilchez are beneficially owned and
 controlled by Frank Aadnevik.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) The
 Resulting Issuer Voting Shares held by Kazco Holdings Ltd. are beneficially owned and
 controlled by Gilles Seguin.

16. INDEBTEDNESS OF DIRECTORS AND EXECUTIVE OFFICERS

None of the executive officers, directors or employees or any former executive officers, directors or employees of the Resulting Issuer or any proposed nominee for election as a director of the Resulting Issuer or any of their respective associates is or has been indebted to the Resulting Issuer or has been indebted to any other entity where that indebtedness was the subject of a guarantee, support agreement, letter of credit or other similar arrangement or understanding provided by the Resulting Issuer.

17. RISK FACTORS

An investment in our Resulting Issuer Shares should be considered speculative due to the nature of the Resulting Issuer's business and may involve a substantial risk of loss. Investors should carefully consider the following risk factors, together with all of the other information included in this Listing Statement, before deciding to purchase our Resulting Issuer Shares. Any of the matters highlighted in these risk factors could have a material adverse effect on the business of the Resulting Issuer, results of its operations and its financial condition. Such circumstances would cause the trading price of our Resulting Issuer Shares to decline, and you may lose part or all of your investment.

The Resulting Issuer believes the following risks to be the most significant for potential investors. However, these risk factors are not a definitive list of all risk factors associated with an investment in the Resulting Issuer or in connection with the Resulting Issuer's operations. Additional risks and uncertainties not presently known to the Resulting Issuer or that the Resulting Issuer currently believes are not material, may also have a material adverse effect on its business, financial condition, operating results or prospects.

An investment in securities of the Resulting Issuer should only be made by persons who can afford a significant or total loss of their investment.

**Risks Related to the Operations of the Resulting Issuer**

**The Resulting Issuer may be unable to achieve or sustain profitability in the future**

There is no assurance that the Resulting Issuer will earn profits in the future, or that profitability, if achieved, will be sustained. The Resulting Issuer expects to continue to incur significant expenses including sales and marketing expenses, product development, research and development costs and other expenses. In addition, the Resulting Issuer expects that its general and administrative costs and other expenses will increase following this Listing Statement due to the additional costs associated with being a public company. These efforts and additional expenses may be more costly than the Resulting Issuer expects, and the Resulting Issuer cannot guarantee that it will be able to increase its revenue to offset such expenses. The Resulting Issuer revenue may decline, or its revenue growth may be constrained for a number of reasons, including reduced demand for the Resulting Issuer's products and services, increased competition or failure to capitalize on growth opportunities. The Resulting Issuer will need to generate sufficient additional revenue to achieve profitability and, even if it achieves profitability, the Resulting Issuer cannot be sure that it will remain profitable for any substantial period of time. The Resulting Issuer's failure to achieve or sustain profitability could negatively impact its ability to obtain financing, pursue its business objectives, and have a material adverse effect on the value of the Resulting Issuer Shares.

**Limited Operating History**

The Resulting Issuer had a limited history of operations prior to the Transaction and consequently, the Resulting Issuer's current operations inherited from Bitzero are subject to all the business risks and uncertainties associated with any early-stage enterprise, including possible under-capitalization, cash shortages, limitations with respect to personnel, financial and other resources, and a lack of significant revenue. The limited operating history may also make it difficult for investors to evaluate the Resulting Issuer's prospects for success. There can be no assurance that the Resulting Issuer will be successful in achieving a return on shareholders' investment and the likelihood of success must be considered in light of the risks, expenses, and difficulties frequently encountered in early stages of operations.

**Growth Management**

The Resulting Issuer may be subject to growth-related risks including capacity constraints and pressure on its internal systems and controls. The ability of the Resulting Issuer to manage growth effectively will require it to continue to implement and improve its operational and financial systems and to expand, train and manage its employee base. The inability of the Resulting Issuer to deal with this growth may have a material adverse effect on the Resulting Issuer's business, financial condition, results of operations and prospects.

**Information Technology Systems and Cyberattacks**

The Resulting Issuer has entered into agreements with third parties for hardware, software, telecommunications and other information technology services in connection with its operations. The Resulting Issuer's operations depend, in part, on how well it and its suppliers protect networks, equipment, information technology systems and software against damage from a number of threats, including, but not limited to, cable cuts, damage to physical plants, natural disasters, intentional damage and destruction, fire, power loss, hacking, computer viruses, vandalism and theft. The Resulting Issuer's operations also depend on the timely maintenance, upgrade and replacement of networks, equipment, information technology systems and software, as well as pre-emptive expenses to mitigate the risks of failures. Any of these and other events could result in information system failures, delays and/or increase in capital expenses. The failure of information systems or a component of information systems could, depending on the nature of any such failure, adversely impact the Resulting Issuer's reputation and results of operations.

The Resulting Issuer has not experienced any material losses to date relating to cyberattacks or other information security breaches, but there can be no assurance that the Resulting Issuer will not incur such losses in the future. The Resulting Issuer's risk and exposure to these matters cannot be fully mitigated because of, among other things, the evolving nature of these threats. As a result, cyber security and the continued development and enhancement of controls, processes and practices designed to protect systems, computers, software, data and networks from attack, damage or unauthorized access is a priority. As cyber threats continue to evolve, the Resulting Issuer may be required to expend additional resources to continue to modify or enhance protective measures or to investigate and remediate any security vulnerabilities.

**Risks related to Insurance**

The Resulting Issuer intends to insure its operations in accordance with technology industry practice. However, such insurance may not be available, uneconomical for the Resulting Issuer, or the nature or level may be insufficient to provide adequate insurance cover. Further, the Resulting Issuer may not insure against cyber-theft or hacking attacks. The occurrence of an event that is not covered or fully covered by insurance could have a material adverse effect on the Resulting Issuer.

**Risks related to Industry Regulation**

The Resulting Issuer will be subject to a variety of laws and regulations across all jurisdictions in which it operates, including but not limited to, cryptocurrency, intellectual property, advertising, marketing, distribution, data and information security, electronic communications, competition, consumer protection, privacy laws, unfair commercial practices, taxation, and securities law compliance. These laws, regulations and legislation, along with other applicable laws and regulations, which in some cases can be enforced by private parties or government entities, are constantly evolving and can be subject to significant change. As a result, the application, interpretation, and enforcement of these laws and regulations could have a material adverse impact on the Resulting Issuer and lead to increases in costs and expenditure as well as restrict its existing operations and ability to expand.

These laws and regulations, as well as any changes to the same and any related inquiries, investigations or any other government actions, may be costly to comply with and may delay or impede new product development, result in negative publicity, increase the Resulting Issuer's operating costs, require significant management time and attention, and subject it to remedies that may harm its business including fines or demands or orders that modify, or cease certain or all existing business practices, or implement costly and burdensome compliance measures. Any such consequences could adversely affect the Resulting Issuer's business, results of operations or financial condition.

**Risks related to Litigation**

The Resulting Issuer may, from time to time, become involved in various claims, legal proceedings and complaints arising in the ordinary course of business. The Resulting Issuer cannot reasonably predict the likelihood or the outcome of these actions. Adverse outcomes in some, or all of these, claims may result in significant monetary damages or injunctive relief that could adversely affect the Resulting Issuer's ability to conduct its business. Even if the Resulting Issuer prevails in any such legal proceeding, the proceedings could be costly and time consuming and may divert the attention of management and key personnel from the Resulting Issuer's operations.

**Changes in Technology**

The Resulting Issuer's ability to compete in the markets it serves may be threatened by change, including changes in technology, changes with respect to consumer needs, competition and industry standards. The Resulting Issuer will actively seek solutions that respond (in a timely manner) to cryptocurrency developments, data center developments, high processing computing developments and other prospective client needs, however its failure to respond well to these challenges could adversely impact the Resulting Issuer's business, financial position and results of operations. New product development or modification is costly, involves significant research, development, time, and expense, and may not necessarily result in the successful commercialization of any new products.

**Market Unpredictability**

Because the cryptocurrency is in an early stage with uncertain boundaries, there is a lack of information about comparable companies available for potential investors to review in deciding whether to invest in the Resulting Issuer and, few, if any, established corporations whose business model the Resulting Issuer can follow or upon whose success the Resulting Issuer can build. Accordingly, investors will have to rely on their own estimates in deciding whether to invest in the Resulting Issuer. There can be no assurance that the Resulting Issuer's estimates are accurate or that the market size is sufficiently large for its business to grow as projected, which may negatively impact its financial results.

**Ability to form strategic alliances**

The Resulting Issuer's growth and marketing strategies are based, in part, on seeking out and forming strategic alliances and working relationships with third parties. There can be no assurance that existing strategic alliances and working relationships will not be terminated or modified in the future, nor can there be any assurance that new relationships, if any, will afford the Resulting Issuer the same flexibility under which it currently operates. If the Resulting Issuer is unsuccessful in establishing or maintaining its relationship with these third parties, the Resulting Issuer's ability to compete in the marketplace or to grow its revenue could be impaired, and operating results could suffer.

**Impact of system interruptions**

The Resulting Issuer's ability to provide reliable service largely depends on the efficient and uninterrupted operation of its intelligence platform. Any significant interruptions could harm its business and reputation and result in a loss of consumers. The Resulting Issuer's systems and operations could be exposed to damage or interruptions from fire, natural disaster, power loss, telecommunications failure, terrorism, vendor failure, unauthorized entry and computer viruses or other causes, many of which may be beyond its control. Although the Resulting Issuer will have taken steps to prevent a system failure, the measures taken may not be successful and the Resulting Issuer may experience problems other than system failures. The Resulting Issuer may also experience software defects, development delays, installation difficulties and other systems problems, which would harm its business and reputation and expose it to potential liability which may not be fully covered by business interruption insurance. The Resulting Issuer's data applications may not be sufficient to address technological advances, changing market conditions or other developments.

**Reliance on Management and Key Personnel**

The Resulting Issuer's success, including its research and development and operational success, will depend on the ability of its directors, officers and other key personnel to develop and execute on the Resulting Issuer's business strategies and manage its ongoing operations, and on the Resulting Issuer's ability to attract and retain key personnel. A risk associated with the Resulting Issuer's business is the loss of important staff members. The Resulting Issuer is currently in good standing with all high-level employees and believes that with well-managed practices it will remain in good standing. While employment agreements are customarily used as a primary method of retaining the services of key employees, these agreements cannot assure the continued services of such employees. Any loss of the services of such individuals could have a material adverse effect on the Resulting Issuer's business, operating results or financial condition.

In addition, the Resulting Issuer's future success depends on its continuing ability to attract, develop, motivate and retain highly qualified and skilled employees. Competition for qualified personnel in the Resulting Issuer's industry is significant and the Resulting Issuer may incur significant costs to attract and retain them. No assurance can be provided that the Resulting Issuer will be able to attract or retain key personnel necessary for the development and operation of its business. Investors must rely upon the ability, expertise, judgment, discretion, integrity and good faith of the management of the Resulting Issuer.

**Indebtedness**

Bitzero currently has outstanding, indebtedness that is secured by some or all of its assets. If Bitzero defaults under the terms of such secured debt, the lenders may enforce their security interests and realize on the collateral, which could include assets essential to the Bitzero's operations. This could materially adversely affect Bitzero's ability to continue its business and meet its obligations to other creditors and securityholders. The existence of secured debt may also limit Bitzero's ability to obtain additional financing, as potential lenders or investors may be subordinated to the existing secured creditors. Furthermore, secured creditors may have remedies and rights that rank in priority to those of other creditors and shareholders, which could result in little or no recovery for such other stakeholders in the event of an enforcement or insolvency proceeding.

**Interest Rate and Benchmark Risk pursuant to the JGB Loan Agreement**

The interest rate on the JGB Loan Agreement is a floating rate, based on Term SOFR (or a replacement benchmark, if necessary) plus a fixed spread. As a result, the interest rate may vary significantly over the life of the loan. An increase in market rates may cause the interest payments owed by borrowers to rise, potentially increasing the overall cost of borrowing. Should the underlying benchmark rate (Term SOFR) become unavailable or be replaced, the agent may select a substitute rate, which may differ from the original rate. These factors may affect the amount and timing of interest payments due and may materially impact investors' returns or the value of the loan securities.

**Conflicts of Interest**

There are potential conflicts of interest to which the directors and officers of the Resulting Issuer will be subject in connection with the operations of the Resulting Issuer. In particular, certain of the directors and officers of the Resulting Issuer are involved in managerial and/or director positions with other companies whose operations may, from time to time, be in direct competition with those of the Resulting Issuer. Conflicts, if any, will be subject to the procedures and remedies available under the OBCA. In the event that any such conflict of interest arises, a director or officer who has such a conflict will disclose the conflict to a meeting of the directors of the Resulting Issuer and, if the conflict involves a director, the director will abstain from voting for or against the approval of such a participation or such terms. In appropriate cases, the Resulting Issuer will establish a special committee of independent directors to review a matter in which several directors, or Management, may have a conflict. In accordance with the provisions of the OBCA, the directors and officers of the Resulting Issuer are required to act honestly in good faith, with a view to the best interests of the Resulting Issuer. In determining whether or not the Resulting Issuer will participate in a particular program and the interest therein to be acquired by it, the directors will primarily consider the potential benefits to the Resulting Issuer, the degree of risk to which the Resulting Issuer may be exposed and its financial position at that time.

**Additional Financing**

There is no guarantee that the Resulting Issuer will be able to execute on its business strategy. It is expected that the Resulting Issuer will require additional financing to make further investments or take advantage of future opportunities. The ability of the Resulting Issuer to arrange such financing in the future will depend in part upon prevailing capital market conditions, as well as upon the business success of the Resulting Issuer. The failure to raise such capital could result in the delay or indefinite postponement of current business strategy or the Resulting Issuer ceasing to carry on business. There can be no assurance that additional capital or other types of financing will be available if needed or that, if available, the terms of such financing will be favourable to the Resulting Issuer. In addition, from time to time, the Resulting Issuer may enter into transactions to acquire assets or the shares of other companies. These transactions may be financed wholly or partially with debt, which may temporarily increase the Resulting Issuer's debt levels above industry standards. Any debt financing secured in the future could involve restrictive covenants relating to capital raising activities and other financial and operational matters, which may make it more difficult for the Resulting Issuer to obtain additional capital and to pursue business opportunities, including potential acquisitions.

**Negative cash flow from operations**

Bitzero had positive operating cash flow for the financial year ended September 30, 2024 (prior to adjustment for non-cash working capital) and a negative operating cash flow for the three and nine months ended June 30, 2025. Although it is anticipated that the Resulting Issuer will have positive cash flow from operating activities in future periods, the Resulting Issuer cannot guarantee that it will have positive cash flow in the future.

**Liquidity**

The Resulting Issuer cannot predict at what prices the Resulting Issuer's Resulting Shares will trade, and there can be no assurance that an active trading market in the Resulting Issuer will develop or be sustained. Final approval of the Exchange has not yet been obtained. There is a significant liquidity risk associated with an investment in the Resulting Issuer.

**Dilution**

The Resulting Issuer may make future acquisitions or enter into financings or other transactions involving the issuance of securities. If the Resulting Issuer was to issue the Resulting Issuer Shares, existing holders of such shares may experience dilution in their holdings. Moreover, when the Resulting Issuer's intention to issue additional equity securities becomes publicly known, the market price for Resulting Issuer Shares may be adversely affected.

**Valuation and Price Volatility of Cryptocurrencies**

The profitability of the Resulting Issuer's operations will be significantly affected by changes in prices of cryptocurrencies. Cryptocurrency prices are highly volatile, can fluctuate substantially and are affected by numerous factors beyond the Resulting Issuer control, including hacking, demand, inflation and expectations with respect to the rate of inflation, global or regional political or economic events. If cryptocurrency prices should decline and remain at low market levels for a sustained period while network difficulty does not decrease proportionally, the Resulting Issuer could determine that it is not economically feasible to continue activities. Cryptocurrencies may be subject to momentum pricing, which is typically associated with growth stocks and other assets whose valuation, as determined by the investing public, accounts for anticipated future appreciation in value. Cryptocurrency market prices are determined primarily using data from various exchanges, over-the-counter markets, and derivative platforms. Momentum pricing may have resulted, and may continue to result, in speculation regarding future appreciation in the value of cryptocurrencies, inflating and making their market prices more volatile. As a result, they may be more likely to fluctuate in value due to changing investor confidence in future appreciation (or depreciation) in their market prices, which could adversely affect the value proposition of the Resulting Issuer. Volatility may have an impact on the value of the Resulting Issuer's inventory of currencies.

**Cryptocurrency Network Difficulty and Impact of Increased Global Computing Power**

Network difficulty is a measure of how difficult it is to solve the cryptographic hash that is required to validate a block of transactions and earn a cryptocurrency reward from mining. If the network difficulty increased at a significantly higher rate than the Resulting Issuer's hashrate and the price of cryptocurrency did not increase at the same rate as network difficulty, then the profitability of the Resulting Issuer's operations would be significantly affected. There can be no assurance that cryptocurrency prices will increase in proportion to the rate of increase of network difficulty as network difficulty is subject to volatility in growth.

**The impact of geopolitical events on the supply and demand for cryptocurrencies is uncertain**

Crises may motivate large-scale purchases of cryptocurrencies which could increase the price of cryptocurrencies rapidly. This may increase the likelihood of a subsequent price decrease as crisis-driven purchasing behavior wanes, adversely affecting the value of the Resulting Issuer's Bitcoin inventory. The possibility of large-scale purchases of cryptocurrencies in times of crisis may have a short-term positive impact on the prices of. As an alternative to fiat currencies that are backed by central governments, cryptocurrencies such as Bitcoin, which are relatively new, are subject to supply and demand forces based upon the desirability of an alternative, decentralized means of buying and selling goods and services, and it is unclear how such supply and demand will be impacted by geopolitical events. Nevertheless, political or economic crises may motivate large-scale acquisitions or sales of Bitcoin either globally or locally. Large-scale sales of cryptocurrencies would result in a reduction in their market prices and adversely affect the Resulting Issuer's operations and profitability.

**Acceptance and/or widespread use of cryptocurrency is uncertain**

Currently, there is relatively small use of Bitcoin and/or other cryptocurrencies in the retail and commercial marketplace in comparison to relatively large use by speculators, thus contributing to price volatility that could adversely affect the Resulting Issuer's operations, investment strategies, and profitability. As relatively new products and technologies, Bitcoin, and its other cryptocurrency counterparts have not been widely adopted as a means of payment for goods and services by major retail and commercial outlets. Conversely, a significant portion of cryptocurrency demand is generated by speculators and investors seeking to profit from the short-term or long-term holding of cryptocurrencies. The relative lack of acceptance of cryptocurrencies in the retail and commercial marketplace limits the ability of end-users to use them to pay for goods and services. A lack of expansion by cryptocurrencies into retail and commercial markets, or a contraction of such use, may result in increased volatility or a reduction in their market prices, either of which could adversely impact the Resulting Issuer's operations, investment strategies, and profitability.

**The Resulting Issuer's Bitcoin may be subject to loss, theft or restriction on access**

There is a risk that some or all of the Resulting Issuer's coins could be lost or stolen. Access to the Resulting Issuer's coins could also be restricted by cybercrime (such as a denial of service ("DDoS") attack) against a service at which the Resulting Issuer maintains a hosted online wallet. Any of these events may adversely affect the operations of the Resulting Issuer and, consequently, its investments and profitability. The loss or destruction of a private key required to access the Resulting Issuer's digital wallets may be irreversible. The Resulting Issuer's loss of access to its private keys or its experience of a data loss relating to the Resulting Issuer's digital wallets could adversely affect its investments.

Cryptocurrencies are controllable only by the possessor of both the unique public and private keys relating to the local or online digital wallet in which they are held, which wallet's public key or address is reflected in the network's public Blockchain. The Resulting Issuer will publish the public key relating to digital wallets in use when it verifies the receipt of Bitcoin transfers and disseminates such information into the network, but it will need to safeguard the private keys relating to such digital wallets. To the extent such private keys are lost, destroyed or otherwise compromised, the Resulting Issuer will be unable to access its coins and such private keys will not be capable of being restored by network. Any loss of private keys relating to wallets used to store the Resulting Issuer's Bitcoin could adversely affect its investments and profitability.

**Risk related to technological obsolescence and difficulty in obtaining hardware**

To remain competitive, the Resulting Issuer will continue to invest in hardware and equipment at the Norway Data Center required for maintaining the Resulting Issuer's mining activities. Should competitors introduce new services/software embodying new technologies, the Resulting Issuer recognizes its hardware and equipment, and its underlying technology may become obsolete and require substantial capital to replace such equipment. The increase in interest and demand for cryptocurrencies has led to a shortage of mining hardware as individuals purchase equipment for mining at home. Equipment in the Norway Data Center will require replacement from time to time. Shortages of graphics processing units may lead to unnecessary downtime as the Resulting Issuer searches for replacement equipment to ensure the Norway Data Center is running smoothly.

**There are factors which may prevent the Resulting Issuer from the realization of growth targets. The Resulting Issuer is currently in the expansion from early development stage**

The Resulting Issuer's growth strategy contemplates opening additional data centers. There is a risk that this will not be achieved on time, on budget, or at all, as it can be adversely affected by a variety of factors, including some that are discussed elsewhere in these "Risk Factors" and the following:

● Delays or failures in obtaining an appropriate location and/or space for the data centers;

● data center design errors;

● environmental pollution;

● non-performance by third party contractors;

● increases in materials or labour costs;

● construction performance falling below expected levels of output or efficiency;

● breakdown, aging or failure of equipment or processes;

● contractor or operator errors;

● operational inefficiencies;

● labour disputes, disruptions or declines in productivity;

● inability to attract sufficient numbers of qualified workers; disruption in the supply of energy and utilities; and

● major incidents and/or catastrophic events such as fires, explosions or storms.

**Increased power costs may adversely affect the business**

The Resulting Issuer expects that power-related costs will account for a significant portion of future expenses. While the Resulting Issuer has the Norway Data Center, the Resulting Issuer will continue to be reliant on third-party power providers. One of the Resulting Issuer's key competitive advantages will be the lower cost for our services that we will achieve by factors such as low operating costs. There is no guarantee that the value of the low cost power grid will remain consistent in the future. Rising energy costs may damage the Resulting Issuer's business by reducing our competitive advantages globally against other IT infrastructure facilities providers since our existing and future customers may no longer experience significant cost-savings if our energy costs are higher than those of our global competitors. As a result, rising energy costs could potentially harm the Resulting Issuer's results of operations by decreasing our standing with customers.

**Discretion as to the Use of Available Funds**

The Resulting Issuer's management will have broad discretion in how it uses the funds available to it. Management may use the available funds in ways that shareholders may not consider desirable. The results and the effectiveness of the application of the funds are uncertain. If the funds are not applied effectively, the results of the Resulting Issuer's operations may suffer. Shareholders may not agree with the manner in which management chooses to allocate and spend the available funds.

**Risks Related to the Securities**

**Market Volatility**

The Resulting Issuer cannot assure you that a market will continue to develop or exist for the Resulting Issuer Voting Shares or what the market price of the Resulting Issuer Voting Shares will be. The Resulting Issuer cannot assure that a market will continue to develop or be sustained once the Resulting Issuer Voting Shares are listed on the Exchange. If a market does not continue to develop or is not sustained, it may be difficult for investors to sell the Resulting Issuer Voting Shares at an attractive price or at all. The Resulting Issuer cannot predict the prices at which the Resulting Issuer Voting Shares will trade.

The market price for the Resulting Issuer Voting Shares may be volatile and subject to wide fluctuations in response to numerous factors, many of which are beyond the Resulting Issuer's control, including the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● actual or anticipated fluctuations in the Resulting Issuer's quarterly results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● recommendations by securities research analysts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● changes in the economic performance or market valuations of companies in the industry in which the Resulting Issuer operates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● addition or departure of the Resulting Issuer's executive officers and other key personnel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● release or expiration of lock-up or other transfer restrictions on outstanding Resulting Issuer Voting Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● sales or perceived sales of additional Resulting Issuer Voting Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● significant acquisitions or business combinations, strategic partnerships, joint ventures or capital commitments by or involving us or the Resulting Issuer's competitors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● operating and share price performance of other companies that investors deem comparable to us; fluctuations to the costs of vital production materials and services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● changes in global financial markets and global economies and general market conditions, such as interest rates and product price volatility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● operating and share price performance of other companies that investors deem comparable to the Resulting Issuer or from a lack of market comparable companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● news reports relating to trends, concerns, technological or competitive developments, regulatory changes and other related issues in the Resulting Issuer's industry or target markets; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● regulatory changes in the industry.

Financial markets have recently experienced significant price and volume fluctuations that have particularly affected the market prices of equity securities of companies and that have often been unrelated to the operating performance, underlying asset values or prospects of such companies. Accordingly, the market price of the Resulting Issuer Voting Shares may decline even if the Resulting Issuer's operating results, underlying asset values or prospects have not changed. Additionally, these factors, as well as other related factors, may cause decreases in asset values that are deemed to be other than temporary, which might result in impairment losses. There can be no assurance that continuing fluctuations in price and volume will not occur. If such increased levels of volatility and market turmoil continue, the Resulting Issuer's operations could be adversely affected, and the trading price of the Resulting Issuer Voting Shares might be materially adversely affected.

**The Resulting Issuer does not anticipate paying cash dividends**

The Resulting Issuer current policy is to retain earnings to finance the development and enhancement of its products and to otherwise reinvest in the Resulting Issuer. Therefore, the Resulting Issuer does not anticipate paying cash dividends on the Resulting Issuer Voting Shares in the foreseeable future. The Resulting Issuer's dividend policy will be reviewed from time to time by the Resulting Issuer's board in the context of its earnings, financial condition and other relevant factors. Until the time that the Resulting Issuer pays dividends, which the Resulting Issuer might never do, Resulting Issuer shareholders will not be able to receive a return on their Resulting Issuer Voting Shares unless they sell them.

**Future sales of Resulting Issuer Voting Shares by existing shareholders could reduce the market price of the Resulting Issuer Voting Shares**

Sales of a substantial number of Resulting Issuer Voting Shares in the public market could occur at any time. These sales, or the market perception that the holders of a large number of Resulting Issuer Voting Shares intend to sell Resulting Issuer Voting Shares, could reduce the market price of the Resulting Issuer Voting Shares. Additional Resulting Issuer Voting Shares may be available for sale into the public market, subject to applicable securities laws, which could reduce the market price for Resulting Issuer Voting Shares. Holders of Resulting Issuer Options will have an immediate income inclusion for tax purposes when they exercise their Resulting Issuer Options (that is, tax is not deferred until they sell the underlying Resulting Issuer Voting Shares). As a result, these holders may need to sell Resulting Issuer Voting Shares purchased on the exercise of Resulting Issuer Options in the same year that they exercise their options. This might result in a greater number of Resulting Issuer Voting Shares being sold in the public market, and fewer long-term holds of Resulting Issuer Voting Shares by the Resulting Issuer's management and employees.

**Forward Looking Statements and Future Oriented Financial Information May Prove Inaccurate**

Readers are cautioned not to place undue reliance on forward-looking statements. By their nature, forward-looking statements and FOFI involve numerous assumptions, known and unknown risks and uncertainties, of both a general and specific nature, that could cause actual results to differ materially from those suggested by the forward-looking statements and/or FOFI or contribute to the possibility that predictions, forecasts or projections will prove to be materially inaccurate.

**Financial Projections May Prove Materially Inaccurate or Incorrect**

The Resulting Issuer's financial estimates, projections and other forward-looking information incorporated into this Listing Statement were prepared by management without the benefit of reliable historical industry information or other information customarily used in preparing such estimates, projections and other forward-looking statements. Such forward-looking information is based on assumptions of future events that may or may not occur, which assumptions may not be disclosed in such documents. Investors should inquire of the Resulting Issuer and become familiar with the assumptions underlying any estimates, projections or other forward-looking statements. Projections are inherently subject to varying degrees of uncertainty and their achievability depends on the timing and probability of a complex series of future events. There is no assurance that the assumptions upon which these projections are based will be realized. Actual results may differ materially from projected results for a number of reasons including increases in operation expenses, changes or shifts in regulatory rules, undiscovered and unanticipated adverse industry and economic conditions, and unanticipated competition. Accordingly, investors should not rely on any projections to indicate the actual results the Resulting Issuer and its subsidiaries might achieve. See "Cautionary Note Regarding Forward-Looking Information" and "*Future-Oriented Information and Financial Outlook Information"*.

**18. PROMOTERS**

As of the date hereof, there are none, and for the two years immediately preceding the date hereof there has not been any, promoters of the Resulting Issuer, except for Mohammed Bakhashwain and Giovanni Gaudenzi. Mohammed Bakhashwain owns or controls, directly or indirectly, 3,932,717 Resulting Issuer Voting Shares (7.90%) and Giovanni Gaudenzi owns or controls, directly or indirectly, 1,400,000 Resulting Issuer Voting Shares (2.81%).

**19. LEGAL PROCEEDINGS**

**Legal Proceedings**

There are no legal proceedings outstanding, threatened, or pending as of the date of this Listing Statement by, or against the Resulting Issuer or to which it is party or its business or any of its assets is the subject of, nor to the knowledge of the directors or officers of the Resulting Issuer are any such legal proceedings contemplated, except as disclosed below.

**Chamandy Litigation**

Chamandy served as Chief Executive Officer of Bitzero pursuant to a consulting agreement signed between his wholly-owned company and Bitzero (See "*Section 4 – General Development of the Business – Employment Matters, Consulting Agreements & Service Agreements*").

Bitzero initiated a civil claim against Chamandy, Life Partners Capital Inc. and Life Partners Capital (Cayman) Inc. at the Superior Court of Quebec, on March 7, 2022. Bitzero seeks damages to compensate it for the negative financial consequences of Chamandy's actions during his tenure as CEO of Bitzero.

On March 23, 2022, Chamandy and Life Partners (Cayman) Inc. commenced a counter civil claim against Bitzero, Akbar Shamji, and Mohammed Salah Bakhashwain (the "**Chamandy Litigation**"). Chamandy, claims that Bitzero, under the direction of Akbar Shamji and Mohamed Salah Bakhashwain, terminated him in a manner that was oppressive and unfairly prejudicial. Chamandy seeks various orders pursuant to section 227(3) of the BCBCA, general and special, aggravated, and punitive damages for defamation. The Chamandy Litigation is ongoing and multiple depositions have taken place. At this stage, no trial date will be set for the foreseeable future.

**Shawn Riley Litigation**

On February 7, 2024, Shawn Riley filed a lawsuit in the State of North Dakota in the district court county of Cass – Eastern Central judicial district against ND II, LLC and Bitzero. Shawn Riley claims the amount of US$1,258,567 plus interest, costs, disbursements and attorney's fees for breach of an unsigned employment contract allegedly entered into between Mr. Riley and ND II, LLC. This litigation is ongoing.

**Regulatory Actions**

The Resulting Issuer is not subject to any penalties or sanctions imposed by any court or regulatory authority relating to securities legislation or by a securities regulatory authority, nor has the Resulting Issuer entered into a settlement agreement with a securities regulatory authority or been subject to any other penalties or sanctions imposed by a court or regulatory body or self-regulatory authority that are necessary to provide full, true and plain disclosure of all material facts relating to the Resulting Issuer's securities or would be likely to be considered important to a reasonable investor making an investment decision.

20. INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL **TRANSACTIONS**

Within three years prior to the date of this Listing Statement, no director, executive officer, or person or company that beneficially owns or controls or directs, directly or indirectly, more than 10% of any class or series of outstanding voting securities of the Resulting Issuer, or any known associates or Affiliates of such persons, has or has had any material interest, direct or indirect, in any transaction that has materially affected or is reasonably expected to materially affect the Resulting Issuer.

**21. AUDITORS, TRANSFER AGENTS AND REGISTRARS**

**Auditors**

The auditors of WBM prior to the Transaction, were MNP LLP, located at 50 Burnhamthorpe Rd. West, Suite 900, Mississauga, Ontario L5B 3C2, Canada.

The auditors of Bitzero prior to the Transaction were SRCO Professional Corporation, located at Park Place Corporate Centre, 15 Wertheim Court, Suite 409 Richmond Hill, ON L4B 3H7.

The auditors of the Resulting Issuer are SRCO Professional Corporation, located at Park Place Corporate Centre, 15 Wertheim Court, Suite 409 Richmond Hill, ON L4B 3H7.

**Transfer Agent and Registrar**

The transfer agent and registrar of the Resulting Issuer is Odyssey Trust Company at its principal office located at Trader's Bank Building, 702-67 Yonge Street, Toronto, Ontario M5E 1J8.

**22. MATERIAL CONTRACTS**

During the course of the two years prior to the date of the Listing Statement, the Resulting Issuer and Bitzero have entered into the following material contracts, other than contracts entered into in the ordinary course of business:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Escrow Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Exanorth-Exakraft Settlement Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) FAR Convertible Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) FAR Transformer Sales Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e) JGB Loan Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f) JGB
Second Draw Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g) Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;h) Luxor Services Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) ND I, Limited Option Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;j) ND
I, ROFR;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;k) OKAG Investor Rights Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;l) OKAG Pre-Emptive Rights Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;m) Phoenix Asset Purchase Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;n) Second Norway Property Option and Lease Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o) Sowrer LTGA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;p) Sowrer-Exanorth Lease Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;q) Sowrer-Exanorth Power Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;r) FAR
Transformer Sales Agreement.

The Resulting Issuer has confirmed that each of the above noted material contracts are posted under the Resulting Issuer's SEDAR+ profile.

23. INTEREST OF EXPERTS

No person or corporation whose profession or business gives authority to a statement made by the person or corporation and who is named as having prepared or certified a part of this Listing Statement or as having prepared or certified a report or valuation described or included in this Listing Statement holds any beneficial interest, direct or indirect, in any securities or property of the Resulting Issuer or of an Associate or Affiliate of the Resulting Issuer and no such person is expected to be elected, appointed or employed as a director, senior officer or employee of the corporation or of an Associate or Affiliate of the Resulting Issuer and no such person is a promoter of the corporation or an Associate or Affiliate of the Resulting Issuer.

Garfinkle Biderman LLP and BCF LLP were involved in preparing this Listing Statement and are independent of the Resulting Issuer.

MNP LLP, who audited the annual financial statements of WBM for the years ended October 31, 2024, 2023 and 2022 are independent of the Resulting Issuer in accordance with the Code of Professional Conduct of the Chartered Professional Accountants of Ontario.

SRCO Professional Corporation, who audited the financial statements of Bitzero for the financial year ended September 30, 2024, and September 30, 2023, are independent of Bitzero in accordance with the Code of Professional Conduct of the Chartered Professional Accountants of Ontario.

24. OTHER MATERIAL FACTS

There are no other material facts about the Resulting Issuer, or its securities which are necessary in order for this Listing Statement to contain full, true and plain disclosure of all material facts relating to the Resulting Issuer and its securities.

25. FINANCIAL STATEMENTS

*WBM*

Financial statements for the for the years ended October 31, 2024 (audited), October 31, 2023 (audited), October 31, 2022 (audited), and interim financial statements for the period ended July 31, 2025 (unaudited) for WBM, are appended to this Listing Statement as Schedule "A".

*Bitzero*

Audited statements for the years ended September 30, 2024, and 2023, and interim financial statements for the period ended June 30, 2025 for Bitzero are appended to this Listing Statement as Schedule "B".

*Resulting Issuer*

A pro forma balance sheet of the Resulting Issuer, assuming the completion of the Transaction as of July 31, 2025, is appended to this Listing Statement as Schedule "C".

26. CERTIFICATE OF THE RESULTING ISSUER

Dated: November 19, 2025

The foregoing contains full, true and plain disclosure of all material information relating to the Resulting Issuer. It contains no untrue statement of a material fact and does not omit to state a material fact that is required to be stated or that is necessary to prevent a statement that is made from being false or misleading in light of the circumstances in which it was made.

---

| | |
|:---|:---|
| */s/ Igor Kostioutchenko* | */s/ Mohammed Bakhashwain* |
| Igor Kostioutchenko<br> Chief Financial Officer | Mohammed Bakhashwain<br> Chief Executive Officer |
| */s/ Giovanni Gaudenzi* | */s/ Gilles Seguin* |
| Giovanni Gaudenzi<br> Director | Gilles Seguin<br> Director |

---

27. CERTIFICATE OF THE PROMOTER

Dated: November 19, 2025

The foregoing contains full, true and plain disclosure of all material information relating to the Resulting Issuer. It contains no untrue statement of a material fact and does not omit to state a material fact that is required to be stated or that is necessary to prevent a statement that is made from being false or misleading in light of the circumstances in which it was made.

---

| | |
|:---|:---|
| */s/ Mohammed Bakhashwain* | */s/ Giovanni Gaudzeni* |
| Mohammed Bakhashwain <br> Promoter | Giovanni Gaudzeni <br> Promoter |

---

**Schedule "A"** 

*Financial Statements of WBM*

**WBM CAPITAL CORP.**

**CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS**

**FOR THE THREE AND NINE MONTHS ENDED JULY 31, 2025, AND 2024**

**(EXPRESSED IN CANADIAN DOLLARS)**

**(UNAUDITED)**

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Financial Position

As at July 31, 2025 and October 31, 2024

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
|  | **Note** | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**16825** | $35287 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 | **—** | 37604 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  | **—** | 46477 |
| &nbsp;&nbsp;&nbsp;**Total assets** |  | $**16825** | $119368 |
| &nbsp;&nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities |  | $**128788** | $60048 |
| &nbsp;&nbsp;&nbsp;**Total liabilities** |  | **128788** | 60048 |
| &nbsp;&nbsp;&nbsp;**Shareholders' equity (deficit)** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 7 | **733786** | 733786 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reserves | 7 | **6851379** | 6851379 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7697128)** | (7525845) |
| &nbsp;&nbsp;&nbsp;**Total shareholders' equity (deficit)** |  | **(111963)** | 59320 |
| &nbsp;&nbsp;&nbsp;**Total liabilities and shareholders' equity (deficit)** |  | $**16825** | $119368 |

---

Nature of Operations (Note 1)

Going Concern (Note 2)

Qualifying transaction (Note 12)

Subsequent event (Note 13)

**Approved and Authorized by the Board on October 21, 2025:**

*<u>"Carlo Rigillo"</u>* <u> </u> Director *<u>"Fraser Hartley"</u>* <u> </u> Director

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Net Loss and Comprehensive Loss

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended July 31,** | **Three months ended July 31,** | **Nine months ended July 31,** | **Nine months ended July 31,** |
|  | <br>**Note** | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 9 | $**25423** | $2406 | $**65569** | $231328 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  | **—** |  | **—** | 2380 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Management fees | 8 | **—** | 76234 | **—** | 278393 |
| &nbsp;&nbsp;&nbsp;**Loss before other items** |  | **(25423)** | (78640) | **(65569)** | (512101) |
| &nbsp;&nbsp;&nbsp;**Other Items** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt |  | **—** |  | **—** | 21265 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  | **—** | (5419) | **—** | (4782) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits |  | **(37604)** |  | **(37604)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tax expense |  | **(66329)** |  | **(66329)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income |  | **—** |  | **—** | 60028 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **(577)** | (435) | **(1781)** | (1185) |
| &nbsp;&nbsp;&nbsp;**Net loss and Comprehensive loss for the period** |  | $**(129933)** | $(84494) | $**(171283)** | $(436775) |
| &nbsp;&nbsp;&nbsp;Weighted average number of common shares outstanding |  | **250000** | 271534 | **250000** | 779746 |
| &nbsp;&nbsp;&nbsp;Basic and diluted loss per share |  | $**(0.52)** | $(0.31) | $**(0.69)** | $(0.56) |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Condensed Consolidated Interim Statements of Cash Flows

For the nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
|  | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;**Operating activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss from operations | $**(171283)** | $**(436775)** |
| &nbsp;&nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion expense | **—** | 750 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on settlement of debt | **—** | 16000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits | **37604** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange | **—** | (36) |
| &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: | &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: | &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | **—** | 172775 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **46477** | (29391) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **68740** | (62157) |
| &nbsp;&nbsp;&nbsp;**Net cash used in operating activities** | **(18462)** | (338834) |
| &nbsp;&nbsp;&nbsp;**Investing activities**  |  |  |
| &nbsp;&nbsp;&nbsp;Purchase of short-term investment | **—** | 10600000 |
| &nbsp;&nbsp;&nbsp;**Net cash from investing activities** | **—** | 10600000 |
| &nbsp;&nbsp;&nbsp;**Financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back (Note 1) | **—** | (10198940) |
| &nbsp;&nbsp;&nbsp;Option cancellation payment | **—** | (35325) |
| &nbsp;&nbsp;&nbsp;Proceeds from share issuance | **—** | 30000 |
| &nbsp;&nbsp;&nbsp;Repayment of government loan | **—** | (40000) |
| &nbsp;&nbsp;&nbsp;**Net cash used in financing activities** | **—** | (10244265) |
| &nbsp;&nbsp;&nbsp;**Net change in cash** | **(18462)** | 16901 |
| &nbsp;&nbsp;&nbsp;**Cash, beginning of period** | **35287** | 79265 |
| &nbsp;&nbsp;&nbsp;**Cash, end of period** | $**16825** | $**96166** |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.** 

Condensed Consolidated Interim Statement of Shareholders' Equity

For the nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Note** | **Number of** **Shares** | **Share Capital** **<br> $** | **Reserves** **<br> $** | **Accumulated** **<br> Other** <br> **Comprehensive** **Loss** **<br> $** | **Accumulated** **<br> Deficit** <br> **$** | **Total** **<br> Shareholders'** <br> **Equity** <br> **$** |
| &nbsp;&nbsp;&nbsp;**Balance, October 31, 2024**  |  | **250000** | **733786** | **6851379** | **—** | **(7525845)** | **59320** |
| &nbsp;&nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (171283) | (171283) |
| &nbsp;&nbsp;&nbsp;**Balance, July 31, 2025** |  | **250000** | **733786** | **6851379** | **—** | **(7697128)** | **(111963)** |
| &nbsp;&nbsp;&nbsp;**Balance, October 31, 2023** |  | **3650163** | **13572500** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back | 7 | (3469027) | (12898978) | 2700038 | **—** |  | (10198940) |
| &nbsp;&nbsp;&nbsp;Shares issued for cash | 7 | 250000 | 30000 |  | **—** |  | 30000 |
| &nbsp;&nbsp;&nbsp;Share option cancellation | 7 |  |  | (35325) | **—** |  | (35325) |
| &nbsp;&nbsp;&nbsp;Shares issued for debt settlement | 7 | 33333 | 56000 |  | **—** |  | 56000 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation |  |  |  |  | 5419 |  | 5419 |
| &nbsp;&nbsp;&nbsp;Net loss for the period |  |  |  |  |  | (436775) | (436775) |
| &nbsp;&nbsp;&nbsp;**Balance, July 31, 2024** |  | **464469** | **759522** | **6831379** | **—** | **(7301664)** | **289237** |

---

*The accompanying notes are an integral part of these condensed consolidated interim financial statements.*

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;1. Nature of Operations

WBM Capital Corp. (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 300 – 10991 Shellbridge Way, Vancouver, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Company is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "**Offer**") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these condensed consolidated interim financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "**Stock Split**"). The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

2. Going Concern

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

2. Going Concern (continued)

The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable. The Company's accumulated deficit was $7,697,128 at July 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $18,462 (October 31, 2024 – $668,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern. These condensed consolidated interim financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

3. Basis of Presentation

**Statement of Compliance**

These condensed consolidated interim financial statements have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") applicable to the preparation of the condensed consolidated interim financial statements, including International Accounting Standards ("IAS 34"), Interim Financial Reporting, as issued by the International Accounting Standards Board ("IASB") and IFRC® Interpretations of the IFRS Interpretations Committee. These disclosures contained in these condensed consolidated interim financial statements do not contain all the requirements of IFRS for annual financial statements and should be read in conjunction with the annual financial statements for the year ended October 31, 2024.

The condensed consolidated interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on October 21, 2025.

**Basis of Presentation**

The condensed consolidated interim financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group.

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

3. Basis of Presentation (continued)

The condensed consolidated interim financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction Incorporated** | &nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting Method/Date of Disposal** |
| &nbsp;&nbsp;&nbsp;Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 14/24 |
| &nbsp;&nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |
| &nbsp;&nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Until Dec 18/24 |

---

4. Material accounting policies

The accounting policies applied by the Company in these unaudited condensed consolidated interim financial statements are the same as those applied by the Company in the audited financial statements for the year ended October 31, 2024.

5. Short-term Investments

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. As at July 31, 2025, the Company recorded interest receivable of $nil (October 31, 2024 – $nil). For the nine months ended July 31, 2025, the Company recorded interest income of $nil (July 31, 2024 - $60,028).

6. Other Receivables

Other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST receivable | $— | $37604 |
|  | $— | $37604 |

---

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

7. Share
Capital

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. The share consolidation is reflected retrospectively in these condensed consolidated interim financial statements. As at October 31, 2024, the Company had 1 common share outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "**Stock Split**"). The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 3,469,027 common shares of the Company at a price of $2.94 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

&nbsp;&nbsp;&nbsp;&nbsp;a) Issued

The Company did not issue any commons shares for the nine months ended July 31, 2025.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

&nbsp;&nbsp;&nbsp;&nbsp;b) Stock
options

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

7. Share
Capital (continued)

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the nine months ended July 31, 2025, the Company did not issue any options.

For the nine months ended July 31, 2024, the following activity occurred:

● On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per Share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

For the nine months ended July 31, 2025, and 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Weighted Average Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | &nbsp;&nbsp;**220000** | &nbsp;&nbsp;**$5.28** |
| &nbsp;&nbsp;Cancelled | &nbsp;&nbsp;**(220000)** | &nbsp;&nbsp;**($5.28)** |
| &nbsp;&nbsp;**Outstanding, July 31, 2025 and 2024** | &nbsp;&nbsp;**—** | &nbsp;&nbsp;**—** |

---

At July 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the nine months ended July 31, 2025, $nil (July 31, 2024 - $nil) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

7. Share
Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the nine months ended July 31, 2025, and year ended October 31, 2024, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Weighted Average Exercise Price** |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | &nbsp;&nbsp;**577705** | &nbsp;&nbsp;**$7.68** |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;**(164142)** | &nbsp;&nbsp;**($4.08)** |
| &nbsp;&nbsp;Outstanding October 31, 2024 and July 31, 2025 | &nbsp;&nbsp;**413563** | &nbsp;&nbsp;**$3.60** |

---

As at July 31, 2025, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Number Outstanding** | &nbsp;&nbsp;**Exercise Price** | &nbsp;&nbsp;**Expiry Date** | &nbsp;&nbsp;**Number Exercisable** |
| &nbsp;&nbsp;233210 | &nbsp;&nbsp;$3.60 | &nbsp;&nbsp;September 20, 2025 | &nbsp;&nbsp;233210 |
| &nbsp;&nbsp;56940 | &nbsp;&nbsp;$3.60 | &nbsp;&nbsp;October 12, 2025 | &nbsp;&nbsp;56940 |
| &nbsp;&nbsp;123413 | &nbsp;&nbsp;$3.60 | &nbsp;&nbsp;November 30, 2025 | &nbsp;&nbsp;123413 |
| &nbsp;&nbsp;**413563** |  |  | &nbsp;&nbsp;**413563** |

---

As at July 31, 2025, the weighted average life of warrants outstanding was 0.20 years (October 31, 2024 – 0.95 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

For the nine months ended July 31, 2025, $nil (July 31, 2024 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;d) Restricted
Share Units ("RSU")

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 105,000 at $1.92 per restricted share units to the Company's CEO, which immediately vested into 105,000 common shares of the Company.

8. Related
Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

8. Related
Party Transactions (continued)

For the nine months ended July 31, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **July 31, 2025** | **July 31, 2024** |
| &nbsp;&nbsp;Management and director fees and salaries | $— | $226500 |
| &nbsp;&nbsp;Payments made under the share buy back | **—** | 3498245 |
|  | $**—** | $**3724745** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the nine months ended July 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at July 30, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 – $nil) in amounts payable to directors and officers of the Company.

9. General and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three**<br> **months ended July 31, 2025** | Three <br>months ended <br> July 31, 2024 | **Nine**<br> **months ended July 31, 2025** | Nine <br>months ended <br> July 31, 2024 |
| &nbsp;&nbsp;Office and miscellaneous | $**—** | $2406 | $**18241** | $37489 |
| &nbsp;&nbsp;Professional fees | $**25423** | $— | **47328** | 193839 |
|  | $**25423** | $2406 | $**65569** | $231328 |

---

10. Capital
Management

The Company considers its capital structure to consist of shareholders' equity. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at July 31, 2025.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

10. Capital Management (continued)

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the nine months ended July 31, 2025.

11. Financial Instruments
 and Risk Management

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, is recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements.

**WBM CAPITAL CORP.**

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended July 31, 2025 and 2024

(Expressed in Canadian Dollars)

11. Financial
Instruments and Risk Management (continued)

The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br> **2025** | **October 31,**<br> **2024** |
| Accounts payable and other liabilities | $128788 | $60048 |
|  | $**128788** | $60048 |

---

**Interest rate risk**

The Company does not have any significant exposure as at July 31, 2025 and 2024 to interest rate risk through its financial instruments.

12. Qualifying
Transaction

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

13. Subsequent
event

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero"). Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero.

**WBM CAPITAL CORP.**

**(FORMERLY TIIDAL GAMING GROUP CORP.)**

**CONSOLIDATED FINANCIAL STATEMENTS**

**FOR THE YEARS ENDED OCTOBER 31, 2024, AND 2023**

**(EXPRESSED IN CANADIAN DOLLARS)**

---

| | |
|:---|:---|
| Independent Auditor's Report | ![](img015_v2.jpg) |

---

To the Shareholders of WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.):

Opinion

We have audited the consolidated financial statements of WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.) and its subsidiaries (the "Company"), which comprise the consolidated statements of financial position as at October 31, 2024 and October 31, 2023, and the consolidated statements of net (loss) income and comprehensive (loss) income, changes in shareholders' equity, and cash flows for the years then ended, and notes to the consolidated financial statements, including a summary of material accounting policies.

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at October 31, 2024 and October 31, 2023, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with IFRS<sup>®</sup> Accounting Standards.

Basis for Opinion

We conducted our audits in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audits of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material Uncertainty Related to Going Concern

We draw attention to Note 2 in the consolidated financial statements, which indicates that the Company incurred negative cash flows form operations during the year ended October 31, 2024 and, as of that date, had an accumulated deficit. As stated in Note 2, these events or conditions, along with other matters as set forth in Note 2, indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Other Information

Management is responsible for the other information. The other information comprises Management's Discussion and Analysis.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audits of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audits or otherwise appears to be materially misstated. We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed on this other information, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

MNP LLP <br> 50 Burnhamthorpe Road West, Suite 900, Mississauga ON, L5B 3C2 T: 416.626.6000 F: 416.626.8650

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS<sup>®</sup> Accounting Standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

● Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

● Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

● Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2 <br> T: 416.626.6000 F: 416.626.8650 MNP.ca* | ![](img016_v2.jpg) |

---

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audits and significant audit findings, including any significant deficiencies in internal control that we identify during our audits.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

The engagement partner on the audit resulting in this independent auditor's report is Blair Michael Mabee.

---

| | |
|:---|:---|
|  | ![](img017_v2.jpg) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mississauga, Ontario | Chartered Professional Accountants |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;February 27, 2025 | Licensed Public Accountants |

---

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2 <br> T: 416.626.6000 F: 416.626.8650 MNP.ca* | ![](img016_v2.jpg) |

---

---

| | | | |
|:---|:---|:---|:---|
| **WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**<br>Consolidated Statements of Financial Position <br>As at October 31, 2024 and October 31, 2023 | **WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**<br>Consolidated Statements of Financial Position <br>As at October 31, 2024 and October 31, 2023 | **WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**<br>Consolidated Statements of Financial Position <br>As at October 31, 2024 and October 31, 2023 | **WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**<br>Consolidated Statements of Financial Position <br>As at October 31, 2024 and October 31, 2023 |
| (Expressed in Canadian Dollars) |  |  |  |
|  |  | **October 31,** | **October 31,** |
|  | **Note** | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $**35287** | $79265 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 | **37604** | 436936 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  | **46477** | 11667 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Short-term investments | 5 | **-** | 10600000 |
| &nbsp;&nbsp;&nbsp;**Total assets** |  | $**119368** | $11127868 |
| &nbsp;&nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | 9 | $**60048** | $219760 |
|  |  | **60048** | 219760 |
| &nbsp;&nbsp;&nbsp;Government loan payable | 7 | **-** | 39250 |
| &nbsp;&nbsp;&nbsp;**Total liabilities** |  | **60048** | 259010 |
| &nbsp;&nbsp;&nbsp;**Shareholders' equity** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 8 | **733786** | 13572500 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reserves | 8 | **6851379** | 4166666 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  | **-** | (5419) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | **(7525845)** | (6864889) |
| &nbsp;&nbsp;&nbsp;**Total shareholders' equity** |  | **59320** | 10868858 |
| &nbsp;&nbsp;&nbsp;**Total liabilities and shareholders' equity** |  | $**119368** | $11127868 |

---

Nature of Operations (Note 1) <br> Going Concern (Note 2) <br> Discontinued Operations (Note 13) <br> Subsequent Events (Note 15)

**Approved and Authorized by the Board on February 27, 2025:**

<u>*"Carlo Rigillo"*</u> Director <u>*" Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Consolidated Statements of Net (Loss) Income and Comprehensive (Loss) Income

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
|  | **Note** | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;**Operating expenses** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 10 | $**242956** | $742978 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  | **2172** | 25797 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consulting |  | **-** | 18115 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Management fees | 9 | **335775** | 175933 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bad debt (recovery) |  | **-** | (725) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment |  | **-** | 362 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | 8 | **20000** | 578725 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization |  | **-** | 812 |
| &nbsp;&nbsp;&nbsp;Total operating expenses |  | **600903** | 1541997 |
| &nbsp;&nbsp;&nbsp;**Loss before other items** |  | **(600903)** | (1541997) |
| &nbsp;&nbsp;&nbsp; **Other items** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt | 8 | **21265** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain |  | **(4782)** | 28783 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits |  | **(134790)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of equipment |  | **-** | (2087) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income | 5 | **60028** | 219294 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | **(1774)** | (9367) |
| &nbsp;&nbsp;&nbsp;**Net (loss) from continuing operations** |  | **(660956)** | (1305374) |
| &nbsp;&nbsp;&nbsp;**Net income from discontinued operations** |  | **-** | 10241790 |
| &nbsp;&nbsp;&nbsp;**Net (loss) income** |  | **(660956)** | 8936416 |
| &nbsp;&nbsp;&nbsp;**Other comprehensive income** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustment |  | **5419** | 173341 |
| &nbsp;&nbsp;&nbsp;**Comprehensive (loss) income for the year** |  | $**(655537)** | $9109757 |
| &nbsp;&nbsp;&nbsp;Weighted average number of common shares outstanding |  | **3** | 14 |
| &nbsp;&nbsp;&nbsp;Basic and diluted (loss) income per share from continuing operations |  | $**(238606)** | $(92481) |
| &nbsp;&nbsp;&nbsp;Basic and diluted (loss) income per share from discontinued operations |  | $**(0.00)** | $725597 |
| &nbsp;&nbsp;&nbsp;Basic and diluted (loss) income per share |  | $**(238606)** | $633116 |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Consolidated Statements of Cash Flows

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;**Operating activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net (loss) from continuing operations | $**(660956)** | $(1305374) |
| &nbsp;&nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment | **-** | 362 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible asset | **-** | 812 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt | **(21265)** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | **20000** | 578725 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion expense | **750** | 4206 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits | **134790** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange | **5383** | 44576 |
| &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: | &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: | &nbsp;&nbsp;&nbsp;Changes in non-cash working capital items: |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | **(14780)** | (186637) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **(34810)** | 18442 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **(117736)** | (280106) |
| &nbsp;&nbsp;&nbsp;**Net cash used in operating activities** | **(688624)** | (1124994) |
| &nbsp;&nbsp;&nbsp;**Net cash used in discontinued operations** | **-** | (1607311) |
| &nbsp;&nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Proceeds from sale (purchase) of short-term investment | **10600000** | (10600000) |
| &nbsp;&nbsp;&nbsp;Interest received | **279322** |  |
| &nbsp;&nbsp;&nbsp;Proceeds from sale of subsidiary | **-** | 11871686 |
| &nbsp;&nbsp;&nbsp;Loss on disposal of property and equipment | **-** | 2087 |
| &nbsp;&nbsp;&nbsp;**Net cash provided by investing activities** | **10879322** | 1273773 |
| &nbsp;&nbsp;&nbsp;**Net cash used in investing activities in discontinued operations** | **-** | (6960) |
| &nbsp;&nbsp;&nbsp;**Financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back (Note 1) | **(10198940)** |  |
| &nbsp;&nbsp;&nbsp;Proceeds from share issuance (Note 8) | **30000** | 202960 |
| &nbsp;&nbsp;&nbsp;Share issuance costs | **-** | (49184) |
| &nbsp;&nbsp;&nbsp;Share repurchase (Note 8) | **(25736)** |  |
| &nbsp;&nbsp;&nbsp;Repayment of government loan (Note 7) | **(40000)** | - |
| &nbsp;&nbsp;&nbsp;**Net cash (used in) provided by financing activities** | **(10234676)** | 153776 |
| &nbsp;&nbsp;&nbsp;**Net cash provided by financing activities in discontinued operations** | **-** | 1373215 |
| &nbsp;&nbsp;&nbsp;Effect of foreign exchange on cash | **-** | 1543 |
| &nbsp;&nbsp;&nbsp;**Net change in cash** | **(43978)** | 63042 |
| &nbsp;&nbsp;&nbsp;**Cash, beginning of year** | **79265** | 16223 |
| &nbsp;&nbsp;&nbsp;**Cash, end of year** | $**35287** | $79265 |
| &nbsp;&nbsp;&nbsp;**Supplemental cash flow information:** |  |  |
| &nbsp;&nbsp;&nbsp;Interest received | $**279322** | $- |
| &nbsp;&nbsp;&nbsp;Debt settled through issuance of common shares | $**40000** | $- |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY GTA TIIDAL GAMING GROUP CORP.)**

Consolidated Statement of Shareholders' Equity

For the years ended October 31, 2024 and 2023

(Expressed in Canadian Dollars)

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Note** | **Number of<br> Shares** | **Share Capital<br> $** | **Shares to be<br> Issued<br> $** | **Reserves<br> $** | **Accumulated<br> Other<br> Comprehensive<br> Loss<br> $** | **Accumulated<br> Deficit<br> $** | **Total<br> Shareholders'<br> Equity<br> $** |
| &nbsp;&nbsp;**Balance, October 31, 2022** |  | **13** | **12790672** | **667880** | **3454882** | **(178760)** | **(15801305)** | **933369** |
| &nbsp;&nbsp;Share-based payments | 8 |  |  |  | 578725 | **-** |  | 578725 |
| &nbsp;&nbsp;Shares issued for cash | 8 |  | 296191 |  |  | **-** |  | 296191 |
| &nbsp;&nbsp;RSU grant to CEO | 8 |  | 200000 |  | (200000) | **-** |  |  |
| &nbsp;&nbsp;Sportsflare Milestone shares | 8 |  | 334821 | (334821) |  | **-** |  |  |
| &nbsp;&nbsp;Share issuance costs | 8 |  | (49184) |  |  | **-** |  | (49184) |
| &nbsp;&nbsp;Expiry of contingent share milestone | 8 |  |  | (333059) | 333059 |  |  |  |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | 173341 |  | 173341 |
| &nbsp;&nbsp;Net income for the year |  | - | - | - | - | - | 8936416 | 8936416 |
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **15** | **13572500** | **-** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **15** | **13572500** | **-** | **4166666** | **(5419)** | **(6864889)** | **10868858** |
| &nbsp;&nbsp;Share issuer buy-back | 8 | (14) | (12898978) |  | 2700038 |  |  | (10198940) |
| &nbsp;&nbsp;Share-based payments | 8 |  |  |  | 20000 |  |  | 20000 |
| &nbsp;&nbsp;Shares issued for cash | 8 | 1 | 30000 |  |  |  |  | 30000 |
| &nbsp;&nbsp;Share option cancellation | 8 |  |  |  | (35325) |  |  | (35325) |
| &nbsp;&nbsp;Share issued for debt settlement | 8 |  | 56000 |  |  |  |  | 56000 |
| &nbsp;&nbsp;Share repurchase | 8 | (1) | (25736) |  |  |  |  | (25736) |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  | 5419 |  | 5419 |
| &nbsp;&nbsp;Net loss for the year |  | - | - | - | - | - | (660956) | (666692) |
| &nbsp;&nbsp;**Balance, October 31, 2024** |  | **1** | **733786** | **-** | **6851379** | **-** | **(7525845)** | **59320** |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

1. Nature of Operations

WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations. The Corporation is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "**Offer**") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

2. Going Concern

These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

The Company's accumulated deficit was $7,525,845 at October 31, 2024 (October 31, 2023 – $6,864,889) and its cash flow used in operations was $688,624 (October 31, 2023 – $1,124,994). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The Board of Directors of the Company assessed the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. The Company will continue to be dependent on external equity financing to fund its activities. Management reviews its capital management approach on an ongoing basis and believes this approach is reasonable.

3. Basis of Presentation

**Statement of Compliance**

These consolidated financial statements, including comparatives, have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") and IFRIC® Interpretations of the IFRS Interpretations Committee.

The consolidated financial statements were approved and authorized for issuance by the Board of Directors of the Company on February 27, 2025.

**Basis of Presentation**

The consolidated financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group, except for the Space Esports and Tiidal NZ subsidiaries, which have the U.S. dollar and New Zealand dollar as its functional currency.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

3. Basis of Presentation (continued)

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction Incorporated** | &nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;**Accounting Method / Date of Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507652 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507653 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;1507655 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |

---

4. Material accounting policies

**Revenue recognition**

The Company determines revenue recognition through the following steps: a) identification of the contract with a customer; b) identification of the performance obligations in the contract; c) determination of the transaction price; d) allocation of the transaction price for the performance obligations in the contract; and e) recognition of revenue when the Company satisfies a performance obligation.

The Company's revenue is comprised of esports winnings by players under contract with the Company, sponsorships, betting solutions revenue, and other revenue.

The Company earns esports prize winnings revenue from various esports tournaments and competitions that the Company's teams enter into. Prize winnings revenue is recognized at a point in time at the completion of each competition or league season. No revenue was recognized if there were significant uncertainties regarding the amount or recovery of the consideration due, the costs incurred or to be incurred could not be measured reliably, or there was continuing management involvement with the services.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

**Revenue recognition (continued)**

The Company earns revenue from Software-as-a-Service ("SaaS") agreements with customers in the betting industry, on a subscription basis. Upon receiving payment from the customer, the Company will have the contractual obligation to provide the access to its proprietary intellectual property ("IP") over the course of the period stipulated in the agreement and the customer will have the ability to use the Company's IP for the stipulated period.

As performance obligations are satisfied over time, revenue is recognized using a method of transfer that depicts the Company's performance or using the "as-invoiced" practical expedient, when applicable and ends only when the period in the agreement ends. The Company recognizes revenue from SaaS subscriptions ratably over the term of the subscription.

The Company earns sponsorship revenue by endorsing products. Sponsorship revenue is recognized over time as the performance obligations per the contract of the Company are satisfied and the services are provided to the customer. Payments received in excess of the revenue recognized on a contract are recorded as deferred revenue. Amounts are billed as defined by individual contracts. Billings rendered in advance of performance under contracts are recorded as deferred revenue. Some agreements contain revenue sharing terms whereby the Company is entitled to a percentage of revenue earned by the customer. This revenue is calculated and recognized on a monthly basis.

<u>Gross versus net revenue</u>

Third party arrangements are evaluated to determine whether the Company acts as the principal or agent under the specific terms of each arrangement. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis; revenue and expenses are recognized in their respective financial statement line items. Conversely, if the Company acts as the agent, revenues are reported on a net basis; revenues are presented net of any expenses.

Determination of principal or agent classification is based on an evaluation of whether the nature of the Company's promise is a performance obligation to provide specific goods or services to the customer (principal), or simply arrange for those goods and services to be provided to the customer by a third party (agent). The most significant factors to consider include whether the Company controls the good or service immediately before it is transferred to the customer, is primarily responsible for fulfilling the promise to provide the specified good or service, has inventory risk before transferring the specified good or service, and has discretion in establishing prices for the specified good or service.

The Company evaluates whether it is acting as principal or agent. The Company reports prize winnings revenue on a gross basis as the Company controls the participation of players under contract in tournaments and leagues. Recording revenue on a gross basis is evidenced by the Company's ability having a level of discretion in establishing pricing.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

**Cost of sales**

Cost of sales consists of the share of tournament or league prize winnings paid to the players and coaches as per the contracts between the Company and the players and coaches. Cost of sales also includes sales commission paid on sponsorship revenue.

**Foreign currency**

The consolidated financial statements are presented in Canadian dollars. The functional currency of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.), Lazarus Esports Inc. and Tiidal Gaming Canada Inc., is the Canadian dollar. The functional currency of Space Esports Inc. is the United States dollar, and the functional currency of Tiidal NZ is the New Zealand dollar.

Assets and liabilities of subsidiaries having a functional currency other than the Canadian dollar are translated to the presentation currency, Canadian dollars, at the rate of exchange at the reporting period date. Revenues and expenses are translated at average rates for the period, unless exchange rates fluctuated significantly during the period, in which case the exchange rates at the dates of the transaction are used. The resulting foreign currency translation adjustments are recognized in the accumulated other comprehensive (loss) income included in the consolidated statements of changes in shareholders' equity. Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the date of the transactions. At the end of each reporting period, foreign currency denominated monetary assets and liabilities are translated to the functional currency using the prevailing rate of exchange at the reporting period date. Gains and losses on translation of monetary items are recognized in the consolidated statement of net (loss) income and comprehensive (loss) income.

Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive (loss) income in the translation reserve.

**Share Capital**

The proceeds from the exercise of stock options, warrants and escrow shares are recorded as share capital in the amount for which the option, warrant or escrow share enabled the holder to purchase a share in the Company.

Depending on the terms and condition of each financing agreement, the warrants are exercisable into additional common shares prior to expiry at a price stipulated by the agreement. Warrants that are part of units are accounted for using the residual method, following an allocation of the unit price to the fair value of the common shares that were concurrently issued. Warrants that are issued as payment for an agency fee or other transaction costs are accounted for as share-based payments.

Commissions paid to agents and other share issue costs are charged directly to share capital.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

**Share-based payments**

Equity-settled share-based payments to employees are measured at the fair value of the instruments at the grant date and recognized in expense over the vesting periods. Equity-settled share-based payments to non-employees are measured at the fair value of goods or services received or the fair value of the equity instruments issued if it is determined that the fair value of the goods or services received cannot be reliably measured. Non-employee share-based payments are recognized in expense at the date the goods or services are received. The corresponding amount is recorded to reserves. Upon the exercise of stock options, consideration received on the exercise is allocated to share capital and the related amount previously recognized for the issuance of the option remains in reserves.

The fair value of options is determined using the Black-Scholes Option Pricing Model on the date of the grant, based on certain assumptions.

The fair value of equity settled RSUs is measured at the grant date based on the fair value of the Company's common shares on that date, each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest.

All RSUs are recognized in the consolidated statements of net loss and comprehensive loss as an expense over the vesting period with a corresponding increase in equity reserves in the consolidated statement of financial position.

**Income taxes and deferred income taxes**

Income tax comprises current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the income tax is also recognized directly in equity or other comprehensive income.

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted at the end of the reporting period, and any adjustment to tax payable in respect of previous years. Current tax assets and current tax liabilities are only offset if a legally enforceable right exists to offset the amounts and the Company intends to settle on a net basis, or to realize the asset and settle the liability simultaneously.

Deferred tax is recognized in respect of all qualifying temporary differences arising between the tax basis of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined on a non-discounted basis using tax rates and laws that have been enacted or substantively enacted at the end of the reporting period and are expected to apply when the deferred tax asset or liability is settled. Deferred tax assets are recognized to the extent that it is probable that the assets can be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

**Income taxes and deferred income taxes (continued)**

Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered.

**Trade receivables**

Trade receivables, net of allowances, are stated at the amount the Company expects to collect. Trade receivables are recognized initially at fair value less expected credit losses based on management's review of year end receivables, and do not bear any interest. A provision for expected credit losses is generally made when there is objective evidence that the Company will not be able to collect the amounts due according to original payment terms or when there are indications of collection issues related to specific customers. The amount of the impairment loss on a financial asset measured at amortized cost is the difference between the asset's carrying amount and the present value of estimated future cash flows discounted at the asset's original effective interest rate. Losses are recognized in profit or loss and are applied against trade receivables through a loss allowance account.

**Financial instruments**

The Company classifies its financial instruments in the following categories: at fair value through profit and loss ("FVTPL"), at fair value through other comprehensive (loss) income ("FVTOCI") or at amortized cost. The Company determines the classification of financial assets at initial recognition. The classification of debt instruments is driven by the Company's business model for managing the financial assets and their contractual cash flow characteristics. Equity instruments that are held for trading are classified as FVTPL. For other equity instruments, on the day of acquisition, the Company can make an irrevocable election (on an instrument-by-instrument basis) to designate them as at FVTOCI. Financial liabilities are measured at amortized cost, unless they are required to be measured at FVTPL (such as instruments held for trading or derivatives) or if the Company has opted to measure them at FVTPL.

The Company's financial assets and liabilities are classified as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Asset or liability** | **Classification** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash | FVTPL |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Short-term investments | FVTPL |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | Amortized cost |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | Amortized cost |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Government loan payable | Amortized cost |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting
policies (continued)

**Financial instruments (continued)**

***Financial assets***

*Recognition and initial measurement*

The Company recognizes financial assets when it becomes party to the contractual provisions of the instrument. Financial assets are measured initially at their fair value plus, in the case of financial assets not subsequently measured at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Transaction costs attributable to the acquisition of financial assets subsequently measured at fair value through profit or loss are expensed in profit or loss when incurred.

Financial assets are classified as follows:

● Amortized cost - Assets that are held for collection of contractual cash flows where those cash flows are solely payments of principal and interest are measured at amortized cost. Interest revenue is calculated using the effective interest method and gains or losses arising from impairment, foreign exchange and derecognition are recognized in profit or loss. Financial assets measured at amortized cost are comprised of trade and other receivables.

● Fair value through other comprehensive income - Assets that are held for collection of contractual cash flows and for selling the financial assets, and for which the contractual cash flows are solely payments of principal and interest, are measured at fair value through other comprehensive income. Interest income calculated using the effective interest method and gains or losses arising from impairment and foreign exchange are recognized in profit or loss. All other changes in the carrying amount of the financial assets are recognized in other comprehensive income. Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified to profit or loss. The Company does not hold any financial assets measured at fair value through other comprehensive income.

● Mandatorily at fair value through profit or loss - Assets that do not meet the criteria to be measured at amortized cost, or fair value through other comprehensive income, are measured at fair value through profit or loss. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. Financial assets measured at fair value through profit or loss consists of cash and short-term investments.

● Designated at fair value through profit or loss – On initial recognition, The Company may irrevocably designate a financial asset to be measured at fair value through profit or loss in order to eliminate or significantly reduce an accounting mismatch that would otherwise arise from measuring assets or liabilities, or recognizing the gains and losses on them, on different bases. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. The Company does not hold any financial assets designated to be measured at fair value through profit or loss.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

***Financial assets (continued)***

The Company measures all equity investments at fair value. Changes in fair value are recorded in profit or loss.

Business model assessment

The Company assesses the objective of its business model for holding a financial asset at a level of aggregation which best reflects the way the business is managed, and information is provided to management. Information considered in this assessment includes stated policies and objectives.

Contractual cash flow assessment

The cash flows of financial assets are assessed as to whether they are solely payments of principal and interest on the basis of their contractual terms. For this purpose, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money, the credit risk associated with the principal amount outstanding, and other basic lending risks and costs. In performing this assessment, the Company considers factors that would alter the timing and amount of cash flows such as prepayment and extension features, terms that might limit the Company's claim to cash flows, and any features that modify consideration for the time value of money.

*Impairment*

The Company recognizes a provision for the expected credit losses associated with its financial assets, other than financial assets measured at fair value through profit or loss. Expected credit losses are measured to reflect a probability-weighted amount, the time value of money, and reasonable and supportable information regarding past events, current conditions and forecasts of future economic conditions. The Company applies the simplified approach for trade receivables. Using the simplified possible default events over the assets' contractual lifetime.

The Company assesses whether a financial asset is credit-impaired at the reporting date. Regular indicators that a financial instrument is credit-impaired include significant financial difficulties as evidenced through borrowing patterns or observed balances in other accounts and breaches of borrowing contracts such as default events or breaches of borrowing covenants. For financial assets assessed as credit-impaired at the reporting date, the Company continues to recognize a loss allowance equal to lifetime expected credit losses.

For financial assets measured at amortized cost, loss allowances for expected credit losses are presented in the consolidated statements of financial position as a deduction from the gross carrying amount of the financial asset.

Financial assets are written off when the Company has no reasonable expectations of recovering all or any portion thereof.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**4.** **Material accounting policies (continued)** 

**Financial instruments (continued)**

***Financial assets (continued)***

*Derecognition of financial assets*

The Company derecognizes a financial asset when its contractual rights to the cash flows from the financial asset expire.

**Financial liabilities**

*Recognition and initial measurement*

The Company recognizes a financial liability when it becomes party to the contractual provisions of the instrument. At initial recognition, the Company measures financial liabilities at their fair value plus transaction costs that are directly attributable to their issuance, with the exception of financial liabilities subsequently measured at fair value through profit or loss for which transaction costs are immediately recorded in profit or loss.

Where an instrument contains both a liability and equity component, these components are recognized separately based on the substance of the instrument, with the liability component measured initially at fair value and the equity component assigned the residual amount.

*Classification and subsequent measurement*

Subsequent to initial recognition, all financial liabilities are measured at amortized cost using the effective interest rate method. Interest, gains and losses relating to a financial liability are recognized in profit or loss.

*Derecognition of financial liabilities*

The Company derecognizes a financial liability only when its contractual obligations are discharged, cancelled or expire.

**Loss per share**

Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares for the assumed exercise of stock options, warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

**Income (loss) per share (continued)**

For the years ended October 31, 2024, and 2023, potentially dilutive common shares issuable upon the exercise of conversion option related to warrants and options were not included in the computation of (loss) income per share because their effect was anti-dilutive.

**Discontinued operations/disposal group held for sale**

Discontinued operations are reported when a component of the Company, representing a separate major line of business or area of operations with clearly distinguishable cash flows, has been disposed of or is held for sale. Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria to be classified as held for sale, if earlier. In accordance with IFRS 5, "Non-current Assets Held for Sale and Discontinued Operations" ("IFRS 5"), discontinued operations are reported as a separate element of net income or loss on the consolidated statements of net (loss) income and comprehensive (loss) income for both the current and comparative periods. When a disposal group is classified as held for sale, assets and liabilities are aggregated and presented as separate line items, respectively, on the consolidated statement of financial position. Comparative periods are not restated on the consolidated statement of financial position. Assets held for sale are not depreciated and are measured at the lower of carrying value and fair value less costs to sell.

**New accounting pronouncements issued but not yet effective**

Certain new standards, interpretations and amendments to existing standards have been issued by the IASB that are mandatory for future accounting periods. Some updates that are not applicable or are not consequential to the Company may have been excluded. The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective. The Company has determined that there are no new standards that are relevant to the Company.

**Critical Accounting Estimates and Judgments**

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates, judgments and assumptions that affect the application of policies and reported amounts of assets and liabilities, and income and expenses.

These estimates are based on management's best knowledge of current events and actions the Company may undertake in the future. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognized in the period in which the estimates are revised.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Use of critical accounting estimates and assumptions

**Income taxes**

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors. The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities. Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such difference will affect the tax provisions in the period in which such determination is made.

**Share-based payments**

The fair value of share-based payments is calculated using the Black-Scholes option pricing model. The main assumptions used in the model include the estimated fair value of the common shares, estimated life of the option, the expected volatility of the Company's share price (using historical volatility of similar publicly traded companies as a reference), the expected dividends, the expected forfeiture rate, and the risk-free rate of interest. The resulting value calculated is not necessarily the value that the holder of the option could receive in an arm's-length transaction given that there is no market for the options, and they are not transferable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Judgments

**Revenue recognition**

The revenue standard sets out a five-step model for the recognition of revenue when control of goods is transferred to, or a service is performed for, the customer. The five steps are to identify the contract(s) with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to each performance obligation and recognize revenue as each performance obligation is satisfied. Management exercises judgment when taking into consideration the relevant facts and circumstances when applying each step of the model to contracts with customers.

**Recognition of revenue on a gross versus net basis**

The Company follows the guidance provided in IFRS 15, Revenue from Contracts with Customers, for determining whether the Company is the principal or an agent in arrangements with customers that involve another party that contributes to providing a specified service to a customer. In these instances, the Company determines whether it has promised to provide the specified service itself (as principal) or to arrange for the specified service to be provided by another party (as an agent). This determination depends on the facts and circumstances of each arrangement and, in some instances, involves significant judgment.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

4. Material accounting policies (continued)

**Assessment of going concern**

These consolidated financial statements have been prepared on a basis which assumes the Company will continue to operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. In assessing whether this assumption is appropriate, management considers all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period. This assessment is based upon planned actions that may or may not occur for a number of reasons including the Company's own resources and external market conditions.

5. Short-term Investments

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. For the years ended October 31, 2024, the Company recorded interest receivable of $nil (October 31, 2023 – $217,024). For the year ended October 31, 2024, the Company recorded interest income of $60,028 (October 31, 2023 - $219,294).

6. Other Receivables

Trade and other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | **October 31,**<br> **2023** |
| &nbsp;&nbsp;&nbsp;Other receivables | $- | $4446 |
| &nbsp;&nbsp;&nbsp;GST/HST receivable | **37604** | 215466 |
| &nbsp;&nbsp;&nbsp;Interest receivable (Note 5) | **-** | 217024 |
|  | $**37604** | $436936 |

---

During the year ended October 31, 2024, the Company recorded a recovery of bad debt expense of $nil (October 31, 2023 - $725) on trade receivables and recorded a provision for expected credit losses.

7. Government Loan Payable

In May 2020, Tiidal Inc. entered into a Canada Emergency Business Account ("CEBA") loan with the Government of Canada which provided $40,000 in interest free loans to Tiidal Inc. until December 31, 2022. In January 2021, Tiidal Inc. received an additional $20,000 interest free CEBA loan from the Government of Canada. The Government of Canada has announced that the December 31, 2022, forgiveness repayment date has been extended by one year to December 31, 2023, for eligible CEBA loan holders in good standing. The CEBA loan terms were also amended such that the CEBA loans are interest free until December 31, 2023, and any remaining balance would bear interest at 5% per annum starting on January 1, 2024.

As at October 31, 2024, the Company has repaid its CEBA loan balance (October 31, 2023 - $39,250) and recognized $nil (2023 - $nil) in income from government assistance. For the year ended October 31, 2024, the Company has recognized $750 of interest accretion (October 31, 2023 - $4,206).

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

8. Share Capital

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. The share consolidation is reflected retrospectively in these consolidated financial statements. As at October 31, 2024, the Company had 1 common shares outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid. On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 13.88 common shares of the Company at a price of $735,000 per share pursuant to its substantial issuer bid for aggregate purchase price of $10,198,940.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Issued

On July 10, 2024, the Company closed a non-brokered private placement financing of 1 common shares at a deemed price of $30,000 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

The Company issued common shares as described below for the year ended October 31, 2023:

On December 1, 2022, the Company closed a non-brokered private placement financing of 0.32 units at a price of $600,000 per unit for gross proceeds of $202,960. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $900,000 per common share for a period of 36 months following the closing date. The Company issued 0.16 common shares to settle $93,231 in accounts payable.

On June 9, 2023, the Company issued 0.32 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

8. Share Capital (continued)

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Stock options

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the year ended October 31, 2024, the following activity occurred:

● On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

For the year ended October 31, 2023, the following activity occurred:

● On February 5, 2023, 0.02 options granted to employees of Lazarus were effectively cancelled on the date the operations ceased.

● On June 9, 2023, 0.25 unvested revenue milestone options granted to employees of Tiidal NZ were forfeited in accordance with the sale of Tiidal NZ to Entain that closed.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

8. Share Capital (continued)

For the year ended October 31, 2024, and year ended October 31, 2023, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp; **Number** | &nbsp;&nbsp;**Weighted Average <br> Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2022 | &nbsp;&nbsp;2.30 | &nbsp;&nbsp;$1560000 |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;(0.24) | &nbsp;&nbsp;($1980000) |
| &nbsp;&nbsp;Forfeited | &nbsp;&nbsp;(1.18) | &nbsp;&nbsp;($1680000) |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | &nbsp;&nbsp;**0.88** | &nbsp;&nbsp;**$1320000** |
| &nbsp;&nbsp;Cancelled | &nbsp;&nbsp;**(0.88)** | &nbsp;&nbsp;**($1320000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** |

---

At October 31, 2024, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the year ended October 31, 2024, $20,000 (October 31, 2023 - $378,725) was recorded as share-based payments for stock options.

Stock options are granted with an exercise price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Warrants

For the year ended October 31, 2024, and year ended October 31, 2023, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**Number** | &nbsp;&nbsp;**Weighted Average <br> Exercise Price** |
| &nbsp;&nbsp;**Outstanding, October 31, 2022** | &nbsp;&nbsp;**2.22** | &nbsp;&nbsp;**$1980000** |
| &nbsp;&nbsp;Granted | &nbsp;&nbsp;**0.49** | &nbsp;&nbsp;**$900000** |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;**(0.39)** | &nbsp;&nbsp;**($960000)** |
| &nbsp;&nbsp;Cancelled | &nbsp;&nbsp;**(0.01)** | &nbsp;&nbsp;**($900000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | &nbsp;&nbsp;**2.31** | &nbsp;&nbsp;**$1920000** |
| &nbsp;&nbsp;Expired | &nbsp;&nbsp;**(0.66)** | &nbsp;&nbsp;**($4500000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024** | &nbsp;&nbsp;**1.65** | &nbsp;&nbsp;**$900000** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

8. Share Capital (continued)

At October 31, 2024, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Number Outstanding** | &nbsp;&nbsp;**Exercise Price** | &nbsp;&nbsp;**Expiry Date** | &nbsp;&nbsp;**Number Exercisable** |
| &nbsp;&nbsp;0.93 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;September 20, 2025 | &nbsp;&nbsp;0.93 |
| &nbsp;&nbsp;0.23 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;October 12, 2025 | &nbsp;&nbsp;0.23 |
| &nbsp;&nbsp;0.49 | &nbsp;&nbsp;$900000 | &nbsp;&nbsp;November 30, 2025 | &nbsp;&nbsp;0.49 |
| &nbsp;&nbsp;**1.65** |  |  | &nbsp;&nbsp;**1.65** |

---

As at October 31, 2024, the weighted average life of warrants outstanding was 0.95 years (October 31, 2023 – 1.41 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the consolidated statements of net (loss) income and comprehensive (loss) income over the vesting period of the warrants, with a corresponding increase to reserves. For the year ended October 31, 2024, $nil (October 31, 2023 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Restricted Share Units ("RSU")

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 at $480,000 per restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company.

9. Related Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the year ended October 31, 2024, and 2023, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;9. Related Party Transactions (continued)

---

| | | |
|:---|:---|:---|
| | **Year ended <br> October 31,**<br> **2024** | **Year ended <br> October 31,**<br> **2023** |
| &nbsp;&nbsp;Management and director fees and salaries | $**226500** | $175933 |
| &nbsp;&nbsp;Salaries included in general and administrative expenses | **-** | 374593 |
| &nbsp;&nbsp;Share-based payments | **-** | 204052 |
| &nbsp;&nbsp;Restricted share units | **-** | 200000 |
| &nbsp;&nbsp;Payments made under the share buy back | **3498245** | - |
|  | $**3724745** | $**954579** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the years ended October 31, 2024, and 2023, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at October 31, 2024, included in accounts payable and other liabilities is $nil (October 31, 2023 – $1,018) in amounts payable to directors and officers of the Company. The amount is unsecured, non-interest bearing and due on demand.

10. General and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | October 31,<br>2023 |
| &nbsp;&nbsp;Office and miscellaneous | $**36231** | $54188 |
| &nbsp;&nbsp;Salaries and benefits | **-** | 291174 |
| &nbsp;&nbsp;Professional fees | **205557** | 355627 |
| &nbsp;&nbsp;Insurance and bank | **1168** | 41989 |
|  | $**242956** | $**742978** |

---

11. Capital Management

The Company considers its capital structure to consist of shareholders' equity, and government loan payable. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at October 31, 2024.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

&nbsp;&nbsp;&nbsp;&nbsp;11. Capital Management (continued)

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the year ended October 31, 2024.

12. Financial Instruments and Risk Management

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;• Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

&nbsp;&nbsp;&nbsp;&nbsp;• Inputs other than quoted prices included in Level 1 that are observable for the asset or liability,
either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

&nbsp;&nbsp;&nbsp;&nbsp;• Inputs for the asset or liability that are not based on observable market data (unobservable
inputs) (Level 3).

The fair values of the cash, other receivables, short-term investments, accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, and short-terms investments are recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash and short-term investment are held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

12. Financial Instruments and Risk Management (continued)

The Company applies the simplified approach to provide for expected credit losses as prescribed by IFRS 9, which permits the use of lifetime expected loss provision for all trade receivables. The loss allowance is based on the Company's historical collection and loss experience and incorporates forward-looking factors, where appropriate. At October 31, 2024, the Company had recorded an expected credit loss of $nil (October 31, 2023 - $nil).

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2024** | **October 31,**<br> **2023** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $60048 | $219760 |
|  | $**60048** | $**219760** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk primarily arises from financial instruments denominated in US dollars that are held in entities with a Canadian dollar functional currency. Conversely for the Tiidal NZ subsidiary who has a NZ dollar functional currency, currency risk primarily arises from financial instruments denominated in Canadian dollars that are held in Tiidal NZ.

The Company is no longer exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and other liabilities that are denominated in US dollars.

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2024 and 2023 to interest rate risk through its financial instruments.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

13. Discontinued Operations

On December 1, 2022, the Company discontinued the operations and disposed of the remaining assets of Lazarus Esports Inc. ("Lazarus Esports"). As a result, Lazarus Esports was classified as discontinued operations in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5"). Consolidated statements of loss and comprehensive loss from discontinued operations of Lazarus Esports for the year ended October 31, 2024, and 2023 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Lazarus Esports** | **October 31, 2024**<br> **$** | October 31, 2023<br>$ |
| &nbsp;&nbsp;**Total revenue** |  | 2 |
| &nbsp;&nbsp;Cost of goods sold |  | - |
| &nbsp;&nbsp;**Gross Profit** |  | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>Advertising<br>|  | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration |  | 8796 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | 1766 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss |  | (13) |
| &nbsp;&nbsp;Total expenses |  | 10616 |
| &nbsp;&nbsp;**Net loss from discontinued operations** |  | (10614) |

---

Cash flows from discontinued operations of Lazarus for the year ended October 31, 2024, and 2023 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Lazarus Esports** | **October 31, 2024**<br> **$** | October 31, 2023 <br>$ |
| &nbsp;&nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;&nbsp;Loss from discontinued operations |  | (10614) |
| &nbsp;&nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;&nbsp; Accounts receivable |  | 31536 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses |  | 682 |
| &nbsp;&nbsp;&nbsp;Trade and other payables |  | (56689) |
| &nbsp;&nbsp;&nbsp;Total cash used by discontinued operations |  | (35085) |
| &nbsp;&nbsp;&nbsp;**Change in net cash used in discontinued operations** |  | (35085) |

---

**Tiidal New Zealand**

On March 13, 2023, the Company announced that it and its wholly owned subsidiary, Tiidal Inc., have entered into a share sale and purchase agreement with Entain Holdings (UK) Limited ("Entain"), pursuant to which Tiidal Inc. will sell all of the shares of the Company's operating subsidiary, Tiidal NZ, to Entain ("Tiidal NZ Sale"). Tiidal Inc. agreed to sell all of the issued and outstanding shares of Tiidal NZ to Entain for gross proceeds of $13,250,000 in cash ("Purchase Price"), subject to standard transaction adjustments. Pursuant to the Tiidal NZ Sale, the Purchase Price will be retained by Tiidal in a holding account for 180 days (the "Holding Period"). During the Holding Period, Tiidal may access the funds to satisfy any working capital adjustment or claims brought by Entain and may access up to 20% of the funds to pay reasonable costs related to the Tiidal NZ Sale. The sale of Tiidal NZ closed on June 9, 2023.

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

13. Discontinued Operations (continued)

The Company classified the operations as held for sale in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5") for the year ended October 31, 2024, and 2023. Consolidated statements of loss and comprehensive loss from discontinued operations for the year ended October 31, 2024, and 2023 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Tiidal NZ** | **October 31, 2024**<br> **$** | October 31, 2023 <br>$ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** |  | 120565 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of goods sold |  | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Gross Profit** |  | 120565 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising |  | 7704 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration |  | 1284769 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization |  | 50656 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation |  | 14687 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Travel |  | 15337 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges |  | 42122 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss |  | 5696 |
| &nbsp;&nbsp;&nbsp;Total expenses |  | 1420979 |
| &nbsp;&nbsp;&nbsp;Net loss before gain on sale and foreign currency translation adjustment |  | (1300414) |
| &nbsp;&nbsp;&nbsp;Gain on sale of Tiidal NZ |  | 11656124 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustment |  | (103306) |
| &nbsp;&nbsp;&nbsp;**Net income (loss) from discontinued operations** |  | **10252404** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

**13. Discontinued Operations (continued)**

Cash flows from discontinued operations for the years ended October 31, 2024, and 2023 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Tiidal NZ** | **October 31, 2024**<br> **$** | October 31, 2023 <br>$ |
| &nbsp;&nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;&nbsp;Income (loss) from discontinued operations |  | 10252404 |
| &nbsp;&nbsp;&nbsp;Depreciation |  | 13760 |
| &nbsp;&nbsp;&nbsp;Amortization on intangibles |  | 50471 |
| &nbsp;&nbsp;&nbsp;Accretion expense |  | 32479 |
| &nbsp;&nbsp;&nbsp;Foreign exchange |  | (6682) |
| &nbsp;&nbsp;&nbsp;Cash for deferred revenue |  | 6094 |
| &nbsp;&nbsp;&nbsp;Gain on sale |  | (11656124) |
| &nbsp;&nbsp;&nbsp;Foreign currency translation |  | (103773) |
| &nbsp;&nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts receivable |  | (8513) |
| &nbsp;&nbsp;&nbsp;Prepaid expenses |  | 6857 |
| &nbsp;&nbsp;&nbsp;Trade and other payables |  | (159199) |
| &nbsp;&nbsp;&nbsp;**Change in net cash used in discontinued operations** |  | (1572226) |
| &nbsp;&nbsp;&nbsp;**Cash flow used in investing activities from discontinued operations** |  | (6960) |
| &nbsp;&nbsp;&nbsp;Lease payments – lease liability  |  | (25961) |
| &nbsp;&nbsp;&nbsp;Lease payments – interest |  | 986 |
| &nbsp;&nbsp;&nbsp;Proceeds from loan payable |  | 1398190 |
| &nbsp;&nbsp;&nbsp;**Net cash provided by financing activities in discontinued operations** |  | 1373215 |

---

A reconciliation of the gain on the sale of Tiidal NZ to Entain is as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross proceeds | $13250000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Working capital adjustments | (1002518) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange loss | (60357) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds received | $12187125 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: net carrying value of Tiidal NZ assets held for sale as at June 8, 2023 | (215662) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: final working capital adjustment | (118797) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: legal fees | (196542) |
| &nbsp;&nbsp;**Gain on sale of Tiidal NZ** | $**11656124** |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

14. Income taxes

The reconciliation of the combined Canadian federal and provincial statutory income tax rate of 26.5% (2023 – 26.5%) to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Net loss from continuing operations | $(660956) | $(1305374) |
| &nbsp;&nbsp;Expected income tax (recovery) expense | (175150) | (345920) |
| &nbsp;&nbsp;Share-based payments and other non-deductible expenses | 5300 | 153800 |
| &nbsp;&nbsp;Share issuance cost booked directly to equity |  | (13030) |
| &nbsp;&nbsp;Tiidal NZ sale |  | 1573000 |
| &nbsp;&nbsp;Change in tax benefits not recognized | 169850 | (1367850) |
| &nbsp;&nbsp;Total income tax (recovery) | $- | $- |

---

The following table summarizes the components of deferred tax:

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Deferred tax assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating tax losses carried forward | $- | $5500 |
|  | - | 5500 |
| &nbsp;&nbsp;Deferred tax liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CEBA loan | $- | $(5500) |
|  | - | (5500) |
| &nbsp;&nbsp;Net deferred tax liability | $- | $- |

---

Deferred tax assets and liabilities have been offset where they relate to income tax levied by the same taxation authority and the Company has the legal right to offset.

Unrecognized deferred tax assets

Deferred taxes are provided as a result of temporary differences that arise due to the differences between the income tax values and the carrying amount of assets and liabilities. Deferred tax assts have not been recognized in respect of the following deductible temporary differences:

---

| | | |
|:---|:---|:---|
| | **2024** | **2023** |
| &nbsp;&nbsp;Equipment | $121270 | $121270 |
| &nbsp;&nbsp;Intangible assets | 627140 | 627140 |
| &nbsp;&nbsp;Share issuance costs | 439140 | 668060 |
| &nbsp;&nbsp;Operating tax losses carried forward | 4449240 | 6831270 |
| &nbsp;&nbsp;Operating tax losses carried forward - USA | - | 32390 |
|  | $5636790 | $8280130 |

---

**WBM CAPITAL CORP. (FORMERLY TIIDAL GAMING GROUP CORP.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2024, and 2023

(Expressed in Canadian Dollars)

14. Income Taxes – (continued)

The Canadian operating tax loss carry forwards expire as noted in the table below. The remaining deductible temporary differences may be carried forward indefinitely. Deferred tax assets have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom.

The Company's Canadian operating tax losses expire as follows:

---

| | |
|:---|:---|
| 2040 | $250110 |
| 2041 | 620270 |
| 2042 | 1961410 |
| 2043 | 752920 |
| 2044 | 864530 |
|  | $4449240 |

---

15. Subsequent Events

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd, 1510441 B.C. Ltd and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA ("Triforce"), now holds common shares in the following former subsidiaries; 1507651 B.C Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

**TIIDAL GAMING GROUP CORP.**

**(FORMERLY GTA FINANCECORP INC.)**

**CONSOLIDATED FINANCIAL STATEMENTS**

**FOR THE YEARS ENDED OCTOBER 31, 2023, AND 2022**

**(EXPRESSED IN CANADIAN DOLLARS)**

---

| | |
|:---|:---|
| Independent Auditor's Report | ![](img015_v2.jpg) |

---

To the Shareholders of Tiidal Gaming Group Corp.:

Opinion

We have audited the consolidated financial statements of Tiidal Gaming Group Corp. and its subsidiaries (the "Company"), which comprise the consolidated statements of financial position as at October 31, 2023 and October 31, 2022, and the consolidated statements of net income (loss) and other comprehensive income (loss), shareholders' equity (deficiency) and cash flows for the years then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies.

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at October 31, 2023 and October 31, 2022, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with International Financial Reporting Standards.

Basis for Opinion

We conducted our audits in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audits of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material Uncertainty Related to Going Concern

We draw attention to Note 2 in the consolidated financial statements, which indicates that the Company incurred a loss from continuing operations during the year ended October 31, 2023 and, as of that date, had an accumulated deficit. As stated in Note 2, these events or conditions, along with other matters as set forth in Note 2, indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Except for the matter described in the Material Uncertainty Related to Going Concern section, we have determined that there are no other key audit matters to communicate in our report.

MNP LLP

50 Burnhamthorpe Road West, Suite 900, Mississauga ON, L5B 3C2 T: 416.626.6000 F: 416.626.8650

Other Information

Management is responsible for the other information. The other information comprises Management's Discussion and Analysis.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audits of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audits or otherwise appears to be materially misstated. We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed on this other information, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with International Financial Reporting Standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

● Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2 <br> T: 416.626.6000 F: 416.626.8650 MNP.ca* | ![](img016_v2.jpg) |

---

● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

● Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

● Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audits and significant audit findings, including any significant deficiencies in internal control that we identify during our audits.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partner on the audit resulting in this independent auditor's report is Blair Michael Mabee.

---

| | |
|:---|:---|
|  | ![](img017_v2.jpg) |
| Mississauga, Ontario | Chartered Professional Accountants |

---

February 8, 2024 Licensed Public Accountants

---

| | |
|:---|:---|
| *50 Burnhamthorpe Road West, Suite 900, Mississauga, Ontario, L5B 3C2 <br> T: 416.626.6000 F: 416.626.8650 MNP.ca* | ![](img016_v2.jpg) |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Consolidated Statements of Financial Position <br> As at October 31, 2023 and October 31, 2022 <br> (Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
| |<br>**Note** | **October 31,**<br>**2023** | **October 31,**<br>**2022** |
| &nbsp;&nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Current assets** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash |  | $79265 | $16223 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | 6, 15 | 436936 | 302229 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  | 11667 | 37238 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Short-term investments | 5 | 10600000 |  |
|  |  | 11127868 | 355690 |
| &nbsp;&nbsp;&nbsp;Equipment | 8 |  | 15338 |
| &nbsp;&nbsp;&nbsp;Right-of-use-assets | 9 |  | 152113 |
| &nbsp;&nbsp;&nbsp;Intangible assets | 10 |  | 1573222 |
| &nbsp;&nbsp;&nbsp;**Total assets** |  | $11127868 | $2096363 |
| &nbsp;&nbsp;**LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| &nbsp;&nbsp;**Current liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | 11 | $219760 | $984740 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liabilities |  |  | 47546 |
|  |  | 219760 | 1032286 |
| &nbsp;&nbsp;&nbsp;Lease liability |  |  | 95664 |
| &nbsp;&nbsp;&nbsp;Government loan payable | 13 | 39250 | 35044 |
| &nbsp;&nbsp;&nbsp;**Total liabilities** |  | 259010 | 1162994 |
| &nbsp;&nbsp;&nbsp;**Shareholders' equity** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 14 | 13572500 | 12790672 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reserves | 14 | 4166666 | 3454882 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares to be issued | 14 |  | 667880 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  | (5419) | (178760) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  | (6864889) | (15801305) |
| &nbsp;&nbsp;&nbsp;**Total shareholders' equity** |  | 10868858 | 933369 |
| &nbsp;&nbsp;&nbsp;**Total liabilities and shareholders' equity** |  | $11127868 | $2096363 |

---

Nature of Operations and Going Concern (Note 1, 2)

Discontinued Operations (Note 22)

Subsequent Events (Note 24)

**Approved and Authorized by the Board on February 8, 2024:**

<u>*"Carlo Rigillo"*</u> Director <u>*"Fraser Hartley"*</u> Director

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss)

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

---

| | | | |
|:---|:---|:---|:---|
|  | | **Years ended October 31,** | **Years ended October 31,** |
| |<br>**Note** | **2023** | **2022** |
| &nbsp;&nbsp;**Operating expenses** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 15, 16 | $742978 | $1166580 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising and promotion |  | 25797 | 133826 |
| &nbsp;&nbsp;&nbsp;&nbsp;Consulting |  | 18115 | 182708 |
| &nbsp;&nbsp;&nbsp;&nbsp;Management fees | 15 | 175933 | 177200 |
| &nbsp;&nbsp;&nbsp;&nbsp;Bad debt (recovery) | 6 | (725) | 9619 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment | 8 | 362 | 5572 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | 14, 15 | 578725 | 2268154 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization |  | 812 | 3610 |
| &nbsp;&nbsp;Total operating expenses |  | 1541997 | 3947269 |
| &nbsp;&nbsp;**Loss before other items** |  | (1541997) | (3947269) |
| &nbsp;&nbsp;**Other items** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt |  |  | 28123 |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange gain |  | 28783 | 4135 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income from government assistance |  |  | 32942 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on write-off of accounts payable |  |  | 16632 |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of property and equipment |  |  | (6972) |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of equipment |  | (2087) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income | 5 | 219294 | 1010 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance charges (recovery) |  | (9367) | (13297) |
| &nbsp;&nbsp;&nbsp;&nbsp;Listing expense | 7 b |  | (1278386) |
| &nbsp;&nbsp;**Net loss from continuing operations** |  | $**(1305374)** | $(5163064) |
| &nbsp;&nbsp;**Net income from discontinued operations** | 22 | **10241790** | (2255882) |
| &nbsp;&nbsp;**Net income (loss)** |  | **8936416** | (7418964) |
| &nbsp;&nbsp;**Other comprehensive income** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustment |  | **173341** | (249919) |
| &nbsp;&nbsp;**Comprehensive income (loss) for the year** |  | **9109757** | (7668883) |
| &nbsp;&nbsp;Weighted average number of common shares |  |  |  |
| &nbsp;&nbsp;outstanding | 17 | **84693987** | 72799126 |
| &nbsp;&nbsp;Basic and diluted earning (loss) per share from |  |  |  |
| &nbsp;&nbsp;continuing operations | 17 | $**(0.02)** | $(0.07) |
| &nbsp;&nbsp;Basic and diluted earning (loss) per share from |  |  |  |
| &nbsp;&nbsp;discontinued operations | 17 | $**0.12** | $(0.03) |
| &nbsp;&nbsp;Basic and diluted earning (loss) per share | 17 | $**0.10** | $(0.10) |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCE CORP INC.)**

Consolidated Statements of Cash Flows

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;**Operating activities**<br>|  |  |
| &nbsp;&nbsp;Net loss from continuing operations | $**(1305374)** | $(5163064) |
| &nbsp;&nbsp;Adjustments for non-cash items: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of equipment | **362** | 55572 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible asset | **812** | 3610 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash listing expense | **—** | 1228025 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | **578725** | 2268154 |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of equipment | **—** | 6972 |
| &nbsp;&nbsp;&nbsp;&nbsp;Government assistance income | **—** | (32924) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accretion expense | **4206** | 9248 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt | **—** | (28123) |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of accounts payable | **—** | (16632) |
| &nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange | **44576** | (167) |
| Changes in non-cash working capital items: | Changes in non-cash working capital items: | Changes in non-cash working capital items: |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | **(186637)** | (205808) |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits | **18442** | (13922) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | **(280106)** | (266622) |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | **—** | (6765) |
| &nbsp;&nbsp;**Net cash used in operating activities** | **(1124994)** | (2212464) |
| &nbsp;&nbsp;**Net cash used in discontinued operations** | **(1607311)** | (1724030) |
| &nbsp;&nbsp;**Investing activities** |  |  |
| &nbsp;&nbsp;Cash acquired from acquisition of GTA Financecorp | **—** | 9434 |
| &nbsp;&nbsp;Purchase of short-term investment | **(10600000)** |  |
| &nbsp;&nbsp;Proceeds from sale of subsidiary | **11871686** |  |
| &nbsp;&nbsp;Loss on disposal of property and equipment | **2087** |  |
| &nbsp;&nbsp;Acquisition of property and equipment | **—** | (2632) |
| &nbsp;&nbsp;**Net cash from investing activities** | **1273773** | 6802 |
| &nbsp;&nbsp;**Net cash used in investing activities in discontinued operations** | **(6960)** | (16106) |
| &nbsp;&nbsp;**Financing activities**<br>|  |  |
| &nbsp;&nbsp;Cash released from escrow on completion of RTO | **—** | 3257408 |
| &nbsp;&nbsp;Repurchase of Tiidal common shares | **—** | (30000) |
| &nbsp;&nbsp;Share issuance costs | **(49184)** | (36213) |
| &nbsp;&nbsp;Proceeds from share issuance | **202960** | 897443 |
| &nbsp;&nbsp;Proceeds from share issuance costs reimbursement | **—** | 11376 |
| &nbsp;&nbsp;Proceeds from issuance of promissory notes | **—** | (38000) |
| &nbsp;&nbsp;**Net cash provided by financing activities** | **153776** | 4062014 |
| &nbsp;&nbsp;**Net cash provided by (used in) financing activities in discontinued operations** | **1373215** | (87075) |
| &nbsp;&nbsp;Effect of foreign exchange on cash | **1543** | (35841) |
| &nbsp;&nbsp;**Net change in cash** | **63042** | (6700) |
| &nbsp;&nbsp;**Cash, beginning of year** | **16223** | 22923 |
| &nbsp;&nbsp;**Cash, end of year** | $**79265** | $16223 |

---

**Supplemental Disclosures with Respect to Cash Flows (Note 18)**

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Consolidated Statement of Shareholders' Equity (Deficiency)

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| |<br>**Note** | **Number of**<br>**Shares** | **Share Capital**<br>**$** | **Shares to be<br> Issued**<br>**$** | **Reserves**<br>**$** |
| &nbsp;&nbsp;**Balance, October 31, 2021** |  | **56368831)** |  |  |  |
| &nbsp;&nbsp;Shares issued for GTA RTO | 14 | 3279996 |  |  |  |
| &nbsp;&nbsp;Share issuance costs | 14 | 346886) |  |  |  |
| &nbsp;&nbsp;Share-based payments | 14 |  |  |  |  |
| &nbsp;&nbsp;Stock options exercised | 14 | 191070) |  |  |  |
| &nbsp;&nbsp;Shares issued for debt settlement | 14 | 312136 |  |  |  |
| &nbsp;&nbsp;Shares issued for warrants exercised | 14 | 1237373) |  |  |  |
| &nbsp;&nbsp;Repurchase of Tiidal shares | 14 | (191070) |  |  |  |
| &nbsp;&nbsp;Shares issued on exercise or RSU | 14 | 4203540) |  |  |  |
| &nbsp;&nbsp;Shares issued for convertible debt | 14 | 687607 |  |  |  |
| &nbsp;&nbsp;Shares issued for cash | 14 | 13794932 |  |  |  |
| &nbsp;&nbsp;Foreign currency translation |  | —) |  |  |  |
| &nbsp;&nbsp;Net loss |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, October 31, 2022** |  | **80231301** |  |  |  |
| &nbsp;&nbsp;**Balance, October 31, 2022**<br>|  | **80231301))** |  |  |  |
| &nbsp;&nbsp;Share-based payments | 14 |  |  |  |  |
| &nbsp;&nbsp;Shares issued for cash | 14 | 2961907 |  |  |  |
| &nbsp;&nbsp;RSU grant to CEO | 14, 15 | 2500000) |  |  |  |
| &nbsp;&nbsp;Sportsflare Milestone shares | 14 | 1910700) |  |  |  |
| &nbsp;&nbsp;Share issuance costs | 14 | —) |  |  |  |
| &nbsp;&nbsp;Reclassify Revenue Milestone shares | 14 | —) |  |  |  |
| &nbsp;&nbsp;Foreign currency translation |  |  |  |  |  |
| &nbsp;&nbsp;Net income |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, October 31, 2023** |  | **87603908** |  |  |  |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

1. Nature of Operations

Tiidal Gaming Group Corp. (formerly GTA Financecorp Inc.) (the "Company" or "Tiidal Corp.") was incorporated pursuant to the provisions of the Business Corporations Act (Ontario) on August 9, 2006. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 365 Bay Street, Suite 800, Toronto, Ontario M5H 2V1. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink.

On November 9, 2021, the Company completed a transaction that resulted in a reverse takeover ("GTA RTO") of the Company by the shareholders of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) ("Tiidal Inc."). See Note 7c. The Company changed its name to "Tiidal Gaming Group Corp." and effect a consolidation of the common shares on the basis of 11.2678 pre-consolidation common shares into one new post-consolidation common shares. Tiidal Inc., was incorporated under the Business Corporations Act of Ontario on October 22, 2018. Tiidal Inc. amalgamated with 2852773 Ontario Inc. ("GTA Subco") prior to completion of the GTA RTO transaction on November 9, 2021.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "**Offer**") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

2. Going Concern

These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

The Company's accumulated deficit was $6,864,889 at October 31, 2023 (October 31, 2022 – $15,801,305) and its cash flow used in operations was $1,124,994 (October 31, 2022 - $2,212,464). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company assessed the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. The Company will continue to be dependent on external equity financing to fund its activities. Management reviews its capital management approach on an ongoing basis and believe this approach is reasonable.

3. Basis of Presentation

**Statement of Compliance**

These consolidated financial statements, including comparatives, have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Financial Reporting Standards ("IFRS") as issued by the International Financial Reporting Interpretations Committee ("IFRIC").

The consolidated financial statements were approved and authorized for issuance by the Board of Directors of the Company on February 8, 2024.

**Basis of Presentation**

The consolidated financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group, except for the Space Esports and Tiidal NZ subsidiaries, which have the U.S. dollar and New Zealand dollar as its functional currency, respectively.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

3. Basis of Presentation (continued)

**Basis of Consolidation**

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction**<br>&nbsp;&nbsp;**Incorporated** | <br>&nbsp;&nbsp;**Functional Currency** | <br>&nbsp;&nbsp;**Accounting Method** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Consolidation |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Consolidation until June 8, 2023 |

---

4. Significant Accounting Policies

**Revenue recognition**

The Company determines revenue recognition through the following steps: a) identification of the contract with a customer; b) identification of the performance obligations in the contract; c) determination of the transaction price; d) allocation of the transaction price for the performance obligations in the contract; and e) recognition of revenue when the Company satisfies a performance obligation.

The Company's revenue is comprised of esports winnings by players under contract with the Company, sponsorships, betting solutions revenue, and other revenue.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Revenue recognition (continued)**

The Company earns esports prize winnings revenue from various esports tournaments and competitions that the Company's teams enter into. Prize winnings revenue is recognized at a point in time at the completion of each competition or league season. No revenue was recognized if there were significant uncertainties regarding the amount or recovery of the consideration due, the costs incurred or to be incurred could not be measured reliably, or there was continuing management involvement with the services.

The Company earns revenue from Software-as-a-Service ("SaaS") agreements with customers in the betting industry, on a subscription basis. Upon receiving payment from the customer, the Company will have the contractual obligation to provide the access to its proprietary intellectual property ("IP") over the course of the period stipulated in the agreement and the customer will have the ability to use the Company's IP for the stipulated period.

As performance obligations are satisfied over time, revenue is recognized using a method of transfer that depicts the Company's performance or using the "as-invoiced" practical expedient, when applicable and ends only when the period in the agreement ends. The Company recognizes revenue from SaaS subscriptions ratably over the term of the subscription.

The Company earns sponsorship revenue by endorsing products. Sponsorship revenue is recognized over time as the performance obligations per the contract of the Company are satisfied and the services are provided to the customer. Payments received in excess of the revenue recognized on a contract are recorded as deferred revenue. Amounts are billed as defined by individual contracts. Billings rendered in advance of performance under contracts are recorded as deferred revenue. Some agreements contain revenue sharing terms whereby the Company is entitled to a percentage of revenue earned by the customer. This revenue is calculated and recognized on a monthly basis.

<u>Gross versus net revenue</u>

Third party arrangements are evaluated to determine whether the Company acts as the principal or agent under the specific terms of each arrangement. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis; revenue and expenses are recognized in their respective financial statement line items. Conversely, if the Company acts as the agent, revenues are reported on a net basis; revenues are presented net of any expenses.

Determination of principal or agent classification is based on an evaluation of whether the nature of the Company's promise is a performance obligation to provide specific goods or services to the customer (principal), or simply arrange for those goods and services to be provided to the customer by a third party (agent). The most significant factors to consider include whether the Company controls the good or service immediately before it is transferred to the customer, is primarily responsible for fulfilling the promise to provide the specified good or service, has inventory risk before transferring the specified good or service, and has discretion in establishing prices for the specified good or service.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

<u>Gross versus net revenue (continued)</u>

The Company evaluates whether it is acting as principal or agent. The Company reports prize winnings revenue on a gross basis as the Company controls the participation of players under contract in tournaments and leagues. Recording revenue on a gross basis is evidenced by the Company's ability having a level of discretion in establishing pricing.

**Cost of sales**

Cost of sales consists of the share of tournament or league prize winnings paid to the players and coaches as per the contracts between the Company and the players and coaches. Cost of sales also includes sales commission paid on sponsorship revenue.

**Foreign currency**

The consolidated financial statements are presented in Canadian dollars. The functional currency of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.), Lazarus Esports Inc. and Tiidal Gaming Canada Inc., is the Canadian dollar. The functional currency of Space Esports Inc. is the United States dollar, and the functional currency of Tiidal NZ is the New Zealand dollar.

Assets and liabilities of subsidiaries having a functional currency other than the Canadian dollar are translated at the rate of exchange at the reporting period date. Revenues and expenses are translated at average rates for the period, unless exchange rates fluctuated significantly during the period, in which case the exchange rates at the dates of the transaction are used. The resulting foreign currency translation adjustments are recognized in the accumulated other comprehensive income (loss) included in the consolidated statements of changes in shareholders' equity. Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the date of the transactions. At the end of each reporting period, foreign currency denominated monetary assets and liabilities are translated to the functional currency using the prevailing rate of exchange at the reporting period date. Gains and losses on translation of monetary items are recognized in the consolidated statement of net income (loss) and comprehensive income (loss).

Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive income (loss) in the translation reserve.

**Share Capital**

The proceeds from the exercise of stock options, warrants and escrow shares are recorded as share capital in the amount for which the option, warrant or escrow share enabled the holder to purchase a share in the Company.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

 **Share Capital (continued)**

Depending on the terms and condition of each financing agreement, the warrants are exercisable into additional common shares prior to expiry at a price stipulated by the agreement. Warrants that are part of units are accounted for using the residual method, following an allocation of the unit price to the fair value of the common shares that were concurrently issued. Warrants that are issued as payment for an agency fee or other transaction costs are accounted for as share-based payments.

Commissions paid to agents and other share issue costs are charged directly to share capital.

**Share-based payments**

Equity-settled share-based payments to employees are measured at the fair value of the instruments at the grant date and recognized in expense over the vesting periods. Equity-settled share-based payments to non-employees are measured at the fair value of goods or services received or the fair value of the equity instruments issued if it is determined that the fair value of the goods or services received cannot be reliably measured. Non-employee share-based payments are recognized in expense at the date the goods or services are received. The corresponding amount is recorded to reserves. Upon the exercise of stock options, consideration received on the exercise is allocated to share capital and the related amount previously recognized for the issuance of the option remains in reserves.

The fair value of options is determined using the Black-Scholes Option Pricing Model on the date of the grant, based on certain assumptions.

The fair value of equity settled RSUs is measured at the grant date based on the fair value of the Company's common shares on that date, each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest.

All RSUs are recognized in the consolidated statements of net loss and comprehensive loss as an expense over the vesting period with a corresponding increase in equity reserves in the consolidated statement of financial position.

**Income taxes and deferred income taxes**

Income tax comprises current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the income tax is also recognized directly in equity or other comprehensive income.

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted at the end of the reporting period, and any adjustment to tax payable in respect of previous years. Current tax assets and current tax liabilities are only offset if a legally enforceable right exists to offset the amounts and the Company intends to settle on a net basis, or to realize the asset and settle the liability simultaneously.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Income taxes and deferred income taxes (continued)**

Deferred tax is recognized in respect of all qualifying temporary differences arising between the tax basis of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined on a non-discounted basis using tax rates and laws that have been enacted or substantively enacted at the end of the reporting period and are expected to apply when the deferred tax asset or liability is settled. Deferred tax assets are recognized to the extent that it is probable that the assets can be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered.

**Trade receivables**

Trade receivables, net of allowances, are stated at the amount the Company expects to collect. Trade receivables are recognized initially at fair value less expected credit losses based on management's review of year end receivables, and do not bear any interest. A provision for expected credit losses is generally made when there is objective evidence that the Company will not be able to collect the amounts due according to original payment terms or when there are indications of collection issues related to specific customers. The amount of the impairment loss on a financial asset measured at amortized cost is the difference between the asset's carrying amount and the present value of estimated future cash flows discounted at the asset's original effective interest rate. Losses are recognized in profit or loss and are applied against trade receivables through a loss allowance account.

**Equipment**

Equipment is recorded at cost less accumulated depreciation and impairment losses. The Company provides for depreciation using the following methods at rates designed to depreciate the cost of the equipment over the period of expected useful life. A half year of depreciation is recorded in the year of acquisition. No depreciation is recorded in the year of disposal. The estimated useful lives of assets are reviewed by management and adjusted if necessary. The annual depreciation rates and methods are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;Asset | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Rate |
| &nbsp;&nbsp;Computer equipment | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;55% &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Declining balance |
| &nbsp;&nbsp;Furniture and equipment | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20% &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Declining balance |

---

Depreciation methods, useful lives and residual values are reviewed annually and adjusted, if required. These assets are subject to impairment testing as described below.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Intangible assets**

Intangible assets with finite lives that are acquired separately are measured on initial recognition at cost, which comprises its purchase price plus any directly attributable costs of preparing the asset for its intended use. Following initial recognition, such intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses.

Intangible assets are amortized using the straight-line method over their estimated useful lives. A half year of amortization is recorded in the year of acquisition. The estimated useful life of intellectual property is ten years. Amortization expense is included in the consolidated statements of net income (loss) and comprehensive income (loss).

The useful lives of the intangible assets are reviewed annually, with the effect of any change in estimate being accounted for on a prospective basis. These assets are subject to impairment testing as described below.

**Impairment testing of intangible assets and equipment**

For purposes of assessing impairment under IFRS, assets are grouped at the lowest levels for which there are largely independent cash inflows (cash-generating unit). The Company had cash generating units. All long-lived assets and finite life intangible assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.

An impairment loss is recognized for the amount by which the assets or cash-generating unit's carrying amount exceeds its recoverable a mount, which is the higher of fair value less costs to sell or value-in-use. To determine the value-in-use, management estimates expected future cash flows from the cash-generating unit and determines a suitable pre-tax discount rate in order to calculate the present value of those cash flows. Discount factors have been determined for the cash-generating unit and reflect its risk profile as assessed by management.

Impairment losses for the cash-generating unit reduce first the carrying amount of any goodwill allocated to that cash-generating unit, with any remaining impairment loss charged pro rata to the other assets in the cash-generating unit. In allocating an impairment loss, the Company does not reduce the carrying amount of an asset below the highest of its fair value less costs of disposal or its value in use and zero. With the exception of goodwill, all assets are subsequently reassessed for indications that an impairment loss previously recognized may no longer exist. An impairment charge is reversed if the assets' recoverable amount exceeds its carrying amount only to the extent of the new carrying amount does not exceed the carrying value of the asset had it not originally been impaired.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Financial instruments**

The Company classifies its financial instruments in the following categories: at fair value through profit and loss ("FVTPL"), at fair value through other comprehensive income (loss) ("FVTOCI") or at amortized cost. The Company determines the classification of financial assets at initial recognition. The classification of debt instruments is driven by the Company's business model for managing the financial assets and their contractual cash flow characteristics. Equity instruments that are held for trading are classified as FVTPL. For other equity instruments, on the day of acquisition, the Company can make an irrevocable election (on an instrument-by-instrument basis) to designate them as at FVTOCI. Financial liabilities are measured at amortized cost, unless they are required to be measured at FVTPL (such as instruments held for trading or derivatives) or if the Company has opted to measure them at FVTPL.

The Company's financial assets and liabilities are classified as follows:

---

| | |
|:---|:---|
| **Asset or liability** | **Classification** |
| Cash | FVTPL |
| Short-term investments | FVTPL |
| Trade and other receivables | Amortized cost |
| Accounts payable and other liabilities | Amortized cost |
| Government loan payable | Amortized cost |

---

**Financial assets**

*Recognition and initial measurement*

The Company recognizes financial assets when it becomes party to the contractual provisions of the instrument. Financial assets are measured initially at their fair value plus, in the case of financial assets not subsequently measured at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Transaction costs attributable to the acquisition of financial assets subsequently measured at fair value through profit or loss are expensed in profit or loss when incurred.

Financial assets are classified as follows:

● Amortized cost - Assets that are held for collection of contractual cash flows where those cash flows are solely payments of principal and interest are measured at amortized cost. Interest revenue is calculated using the effective interest method and gains or losses arising from impairment, foreign exchange and derecognition are recognized in profit or loss. Financial assets measured at amortized cost are comprised of trade and other receivables.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**4.** **Significant Accounting Policies (continued)** 

 ****

**Financial instruments (continued)** 

***Financial assets (continued)***

 ****

Financial assets are classified as follows: (continued)

● Fair value through other comprehensive income - Assets that are held for collection of contractual cash flows and for selling the financial assets, and for which the contractual cash flows are solely payments of principal and interest, are measured at fair value through other comprehensive income. Interest income calculated using the effective interest method and gains or losses arising from impairment and foreign exchange are recognized in profit or loss. All other changes in the carrying amount of the financial assets are recognized in other comprehensive income. Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified to profit or loss. The Company does not hold any financial assets measured at fair value through other comprehensive income.

● Mandatorily at fair value through profit or loss - Assets that do not meet the criteria to be measured at amortized cost, or fair value through other comprehensive income, are measured at fair value through profit or loss. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. Financial assets measured at fair value through profit or loss consists of cash and short-term investments.

● Designated at fair value through profit or loss – On initial recognition, The Company may irrevocably designate a financial asset to be measured at fair value through profit or loss in order to eliminate or significantly reduce an accounting mismatch that would otherwise arise from measuring assets or liabilities, or recognizing the gains and losses on them, on different bases. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. The Company does not hold any financial assets designated to be measured at fair value through profit or loss.

The Company measures all equity investments at fair value. Changes in fair value are recorded in profit or loss.

Business model assessment

The Company assesses the objective of its business model for holding a financial asset at a level of aggregation which best reflects the way the business is managed, and information is provided to management. Information considered in this assessment includes stated policies and objectives.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**4.** **Significant Accounting Policies (continued)** 

**Financial instruments (continued)**

 ****

***Financial assets (continued)***

Contractual cash flow assessment

The cash flows of financial assets are assessed as to whether they are solely payments of principal and interest on the basis of their contractual terms. For this purpose, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money, the credit risk associated with the principal amount outstanding, and other basic lending risks and costs. In performing this assessment, the Company considers factors that would alter the timing and amount of cash flows such as prepayment and extension features, terms that might limit the Company's claim to cash flows, and any features that modify consideration for the time value of money.

*Impairment*

The Company recognizes a provision for the expected credit losses associated with its financial assets, other than financial assets measured at fair value through profit or loss. Expected credit losses are measured to reflect a probability-weighted amount, the time value of money, and reasonable and supportable information regarding past events, current conditions and forecasts of future economic conditions. The Company applies the simplified approach for trade receivables. Using the simplified possible default events over the assets' contractual lifetime.

The Company assesses whether a financial asset is credit-impaired at the reporting date. Regular indicators that a financial instrument is credit-impaired include significant financial difficulties as evidenced through borrowing patterns or observed balances in other accounts and breaches of borrowing contracts such as default events or breaches of borrowing covenants. For financial assets assessed as credit-impaired at the reporting date, the Company continues to recognize a loss allowance equal to lifetime expected credit losses.

For financial assets measured at amortized cost, loss allowances for expected credit losses are presented in the consolidated statements of financial position as a deduction from the gross carrying amount of the financial asset.

Financial assets are written off when the Company has no reasonable expectations of recovering all or any portion thereof.

*Derecognition of financial assets*

The Company derecognizes a financial asset when its contractual rights to the cash flows from the financial asset expire.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Financial liabilities**

*Recognition and initial measurement*

The Company recognizes a financial liability when it becomes party to the contractual provisions of the instrument. At initial recognition, the Company measures financial liabilities at their fair value plus transaction costs that are directly attributable to their issuance, with the exception of financial liabilities subsequently measured at fair value through profit or loss for which transaction costs are immediately recorded in profit or loss.

Where an instrument contains both a liability and equity component, these components are recognized separately based on the substance of the instrument, with the liability component measured initially at fair value and the equity component assigned the residual amount.

*Classification and subsequent measurement*

Subsequent to initial recognition, all financial liabilities are measured at amortized cost using the effective interest rate method. Interest, gains and losses relating to a financial liability are recognized in profit or loss.

*Derecognition of financial liabilities*

The Company derecognizes a financial liability only when its contractual obligations are discharged, cancelled or expire.

**Loss per share**

Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares for the assumed exercise of stock options and warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and that the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

***Financial liabilities (continued)***

**Income (loss) per share (continued)**

For the years ended October 31, 2023, and 2022, potentially dilutive common shares issuable upon the exercise of conversion option related to warrants and options were not included in the computation of income (loss) per share because their effect was anti-dilutive.

**Leases**

The Company adopted IFRS 16, *Leases* ("IFRS 16") as of October 22, 2018, which replaced IAS 17, *Leases*. IFRS 16 provides a comprehensive model for the identification of lease arrangements and their treatment in the financial statements of both lessees and lessors. IFRS 16 specifies how leases will be recognized, measured, presented and disclosed and it provides a single lessee model, requiring lessees to recognize right-of-use assets and lease liabilities for all major leases.

The Company assesses at the inception of contract, whether it contains a lease. A contract is classified as a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

The Company recognizes a right-of-use asset and lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises of the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any indirect costs incurred.

The right-to-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-to-use asset or the end of the lease term. The estimated useful lives of right-to-use assets are determined using the same criteria as those for property and equipment. In addition, the right-of-use asset is periodically reduced by impairment losses and adjusted for certain remeasurements of the lease liability, if any.

The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be determined, the Company's incremental borrowing rate. The lease liability is subsequently increased by the interest cost on the lease liability and decreased by lease payments made. It is remeasured when there is a change in future lease payment arising from a change in an index or rate, or changes in assessment of whether a purchase or extension option is reasonably certain to be exercised or a termination option is reasonably certain not to be exercised.

<u>Short-term leases and leases of low-value assets</u>

The Company has elected not to recognize right-of-use assets and lease liabilities for short-term leases that have a term of 12 months or less and leases of low-value assets. The Company recognizes the lease payments associated with these leases as an expense on a straight-line basis over the lease term.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Discontinued operations/disposal group held for sale**

Discontinued operations are reported when a component of the Company, representing a separate major line of business or area of operations with clearly distinguishable cash flows, has been disposed of or is held for sale. Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria to be classified as held for sale, if earlier. In accordance with IFRS 5, "Non-current Assets Held for Sale and Discontinued Operations" ("IFRS 5"), discontinued operations are reported as a separate element of net income or loss on the consolidated statements of net income (loss) and comprehensive income (loss) for both the current and comparative periods. When a disposal group is classified as held for sale, assets and liabilities are aggregated and presented as separate line items, respectively, on the consolidated statement of financial position. Comparative periods are not restated on the consolidated statement of financial position. Assets held for sale are not depreciated and are measured at the lower of carrying value and fair value less costs to sell.

**New accounting pronouncements issued but not yet effective**

Certain new standards, interpretations and amendments to existing standards have been issued by the IASB that are mandatory for future accounting periods. Some updates that are not applicable or are not consequential to the Company may have been excluded. The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective. The Company has determined that there are no new standards that are relevant to the Company.

**Critical Accounting Estimates and Judgments**

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates, judgments and assumptions that affect the application of policies and reported amounts of assets and liabilities, and income and expenses.

These estimates are based on management's best knowledge of current events and actions the Company may undertake in the future. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognized in the period in which the estimates are revised.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

&nbsp;&nbsp;&nbsp;&nbsp;(i) Use of critical accounting estimates and assumptions

**Estimated useful lives of equipment and intangible assets**

Estimates of the useful lives of property and equipment and intangible assets are based on the period over which the assets are expected to be available for use. The estimated useful lives are reviewed annually and are updated if expectations differ from previous estimates due to physical wear and tear, technical or commercial obsolescence, and legal or other limits on the use of the relevant assets. In addition, the estimation of the useful lives of the relevant assets may be based on internal technical evaluation and experience with similar assets. It is possible, however, that future results of operations could be materially affected by changes in the estimates brought about by changes in the factors mentioned above. The amounts and timing of recorded expenses for any period would be affected by changes in these factors and circumstances. A reduction in the estimated useful lives of the property and equipment would increase the recorded expenses and decrease the non-current assets.

**Income taxes**

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors. The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities. Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such difference will affect the tax provisions in the period in which such determination is made.

**Right of-use-asset and lease liability**

The right-of-use asset and lease liability is measured by discounting the future lease payments at an incremental borrowing rate. The incremental borrowing rate is an estimated rate the Company would have to pay to borrow over a similar term and with similar security, the funds necessary to obtain an asset of a similar value to the right-of-use asset in a similar economic environment. The Company also estimated there is a 90% probability that it will use its lease renewal term option.

**Share-based payments**

The fair value of share-based payments is calculated using the Black-Scholes option pricing model. The main assumptions used in the model include the estimated fair value of the common shares, estimated life of the option, the expected volatility of the Company's share price (using historical volatility of similar publicly traded companies as a reference), the expected dividends, the expected forfeiture rate, and the risk-free rate of interest. The resulting value calculated is not necessarily the value that the holder of the option could receive in an arm's-length transaction given that there is no market for the options, and they are not transferable.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Listing expense**

The listing expense has been calculated using an estimated common share value of Tiidal Inc. of $0.3834 as at November 9, 2021. The fair value of the common shares was estimated based on the price of $0.50 per unit in the subscription receipt financing in connection with the GTA RTO and estimating the value of the warrants issued from the subscription receipt financing to have a fair value of $0.1166 per one-half warrant using the Black-Scholes option pricing model. The options were valued using the following assumptions: estimated volatility of 150%, risk free interest rate of 0.47%, expected life of 2 years, exercise price ranging from $0.75, and share price of $0.3834.

&nbsp;&nbsp;&nbsp;&nbsp;(ii) Judgments

**Indicators of impairment and testing of equipment and intangible assets**

Management applies significant judgment in its assessment and evaluation of asset or cash generating units at each reporting date to determine whether there are any indications of impairment. The Company considers both internal and external sources of information when making the assessment of whether there are indications of impairment for the Company's equipment and intangible assets.

External sources of information considered are changes in the Company's economic, legal, and regulatory environment, which it does not control, but affect the recoverability of its assets. Internal sources of information the Company considers include the manner in which equipment and intangible assets are being used or are expected to be used and indications of economic performance of the assets. Changes in any of the assumptions or estimates used in determining the fair values could impact the impairment analysis.

**Revenue recognition**

The revenue standard sets out a five-step model for the recognition of revenue when control of goods is transferred to, or a service is performed for, the customer. The five steps are to identify the contract(s) with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to each performance obligation and recognize revenue as each performance obligation is satisfied. Management exercises judgment when taking into consideration the relevant facts and circumstances when applying each step of the model to contracts with customers.

**Recognition of revenue on a gross versus net basis**

The Company follows the guidance provided in IFRS 15, Revenue from Contracts with Customers, for determining whether the Company is the principal or an agent in arrangements with customers that involve another party that contributes to providing a specified service to a customer. In these instances, the Company determines whether it has promised to provide the specified service itself (as principal) or to arrange for the specified service to be provided by another party (as an agent). This determination depends on the facts and circumstances of each arrangement and, in some instances, involves significant judgment.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

4. Significant Accounting Policies (continued)

**Assessment of going concern**

These consolidated financial statements have been prepared on a basis which assumes the Company will continue to operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. In assessing whether this assumption is appropriate, management considers all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period.

This assessment is based upon planned actions that may or may not occur for a number of reasons including the Company's own resources and external market conditions.

5. Short-term Investments

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs mature on December 10, 2023. For the year ended October 31, 2023, the Company recorded interest receivable of $217,024 (October 31, 2022 – $nil).

6. Trade and Other Receivables

Trade and other receivables consist of the following:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2023** | **October 31,**<br> **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade receivables | $— | $58054 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 4446 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected credit losses |  | (9619) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST receivable | 215466 | 251242 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest receivable (Note 5) | 217024 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advances to an officer (Note 15) |  | 2552 |
|  | $436936 | $302229 |

---

During the year ended October 31, 2023, the Company recorded a recovery of bad debt expense of $725 (October 31, 2022 - $9,619) on trade receivables and recorded a provision for expected credit losses.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

7. Acquisitions

**a)** **Subscription Receipt Financing** 

An agreement entered in on July 12, 2021, between the Company, Tiidal Inc., and GTA Subco for the proposed GTA RTO (Notes 1, 7b) was subject to the completion of the following by Tiidal Inc.:

● A best-efforts private placement of up to 11,500,000 Tiidal Inc. subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of up to $5,500,000.

● On July 13, 2021, Tiidal Inc. closed a non-brokered financing of 3,576,361 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,788,181 and a brokered financing of 2,971,000 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,485,500. Tiidal Inc. will split its common shares on the basis of one pre-share split Tiidal Inc. common share for 1.2738 post-share split Tiidal Inc. common share. Each subscription receipt will, upon satisfaction of the escrow release conditions, be automatically converted into one unit of the Company, with each unit being comprised of one post-share split common share and one-half of one post-share split warrant.

● Each warrant will entitle the holder to purchase one post-share split common share for a period of 24 months following the conversion date at a price of $0.75.

● On July 13, 2021, $3,257,408 was transferred to TSX Trust Company to be released upon the satisfaction of escrow conditions, including the GTA RTO transaction (Note 7b).

● Tiidal Inc. issued 346,890 subscription receipts to the agents in connection with the financing and issued 457,970 compensation stock options to the agents upon satisfaction of the escrow conditions. Each compensation stock option will be exercisable for one post-share split common share or one Resulting Issuer Share (subject to any necessary adjustments), as applicable, $0.50 for a period of 24 months following the satisfaction of the escrow release conditions.

● As at October 31, 2021, $136,159 in finance fees and $28,600 in HST were paid directly from the gross proceeds to agents in the private placement and $173,445 in financing charges were paid through 346,890 subscriptions in lieu of cash. During the year ended October 31, 2023, the Company paid $nil (2022 - $14,134) in finance fees.

● Tiidal Inc. granted 457,970 compensation stock options which are exercisable within two-and-a-half years from the date of grant at an exercise price of $0.50 per share. The options were valued on the date of issue using the Black-Scholes option pricing model with the following assumptions: dividend yield 0%, discount rate of 0.47%, expected volatility of 150% and an expected life of 2.5 years. The value attributed to these options was $171,439.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

7. Acquisitions (continued)

**b)** **GTA Financecorp Inc. Reverse Takeover** 

● On October 7, 2021, Tiidal Inc. closed the second tranche of a non-brokered financing of 296,970 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $148,485. The subscription receipts have the same terms and escrow conditions as the first tranche which closed on July 13, 2021, as noted above. $148,485 in gross proceeds from the second tranche of the subscription financing were transferred to TSX Trust to be released upon the satisfaction of escrow release conditions. In connection with the subscription receipt financing, a finder's fee was paid through the issuance of 346,890 shares for an aggregate fair value of $173,445 and paid an aggregate of $321,868 in cash.

● The automatic conversion of all issued and outstanding Tiidal Inc. convertible notes into new Tiidal Inc. common shares and Tiidal Inc. warrants (on a post-Tiidal Inc. share split basis) pursuant to the terms set out on the convertible note certificates; and

● The automatic vesting of all issued and outstanding Tiidal Inc. RSUs into new Tiidal Inc. common shares pursuant to the terms set out in their respective RSU agreements.

The GTA RTO was completed pursuant to the terms of a business combination agreement dated July 12, 2021 (the "Definitive Agreement"), among the Company, Tiidal Inc., and GTA Subco.

On November 9, 2021, the GTA RTO transaction closed in which 95.43% of the shares of the combined entity of the Company are held by the former shareholders of Tiidal Inc. The subscription receipts and convertible notes converted into common shares and warrants of Tiidal Inc. which were then exchanged for common shares and warrants of the Company. As a result, the former shareholders of Tiidal Inc. acquired control of the Company, thereby constituting a reverse takeover of the Company. This is considered a purchase of the Company's net assets by the shareholders of Tiidal Inc.The GTA RTO is accounted for in accordance with guidance provided in IFRS 2 Share-Based Payments ("IFRS 2") and IFRS 3 Business Combinations ("IFRS 3").

For accounting purposes, the acquisition is considered to be outside the scope of IFRS 3 since Tiidal Corp., prior to the acquisition did not constitute a business. The GTA RTO is accounted for in accordance with IFRS 2 whereby Tiidal Inc. is deemed to have issued common shares and stock options in exchange for net assets of Tiidal Corp. (GTA) together with its listing status at the fair value of the consideration received by Tiidal Inc. The accounting transaction resulted in the following:

● The consolidated financial statements of the combined entities are issued under the legal parent, Tiidal Corp., but are considered a continuation of the financial statements of the legal subsidiary, Tiidal Inc.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

7. Acquisitions (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **GTA Financecorp Inc. Reverse Takeover (continued)** 

● Since Tiidal Inc. is deemed to be the acquirer for accounting purposes, its assets and liabilities are included in the consolidated financial statements at their historical carrying values.

Since the share and share-based consideration allocated to the former shareholders of Tiidal Corp. on closing the GTA RTO is considered within the scope of IFRS 2, and the Company cannot identify specifically some or all of the goods or service received in return for the allocation of the common shares and stock options, the value in excess of the net identifiable assets or liabilities of Tiidal Corp. acquired on closing was expensed in the consolidated statement of net loss and comprehensive loss as listing expense.

The listing expense in the amount of $1,278,386 is comprised of the fair value of the common shares and stock options of the Company retained by former shareholders of Tiidal Corp. (GTA), as well as other direct expenses of the GTA RTO.

A breakdown of the listing expense is as follows:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Consideration** | **Number** | **Total** |
| &nbsp;&nbsp;Fair value of shares retained by former GTA Finance |  |  |
| &nbsp;&nbsp;Corp. shareholders | 3279996 | $1257466 |
| &nbsp;&nbsp;Fair value of stock options assumed | 247431 | 3421 |
| &nbsp;&nbsp;Prior cash advanced from the Company and Tiidal Inc. |  | (99000) |
| &nbsp;&nbsp;**Total consideration** |  | $**1161887** |
| &nbsp;&nbsp;**Fair value of net working capital deficiency assumed:** |  |  |
| &nbsp;&nbsp;Cash |  | $(9434) |
| &nbsp;&nbsp;Accounts payable and accrued liabilities |  | 48263 |
| &nbsp;&nbsp;**Net working capital deficiency** |  | $**38829** |
| &nbsp;&nbsp;Transaction costs related to GTA RTO |  | 77670 |
| &nbsp;&nbsp;**Listing expense** |  | $**1278386** |

---

In addition, the Company incurred $199,386 in legal expenses for the RTO that were expensed during the year ended October 31, 2021.

In accordance with IFRS 2, the fair value of the share issuance was determined to be 0.3834 (post-split), based on the estimated fair value at the acquisition date. The fair value of 247,431 GTA stock options assumed was determined to be $0.01 per share using the Black-Scholes option pricing model with the following assumptions: estimated volatility of 150%, risk free interest rate of 0.38% to 0.68%, expected life of 0.15 years to 3.73 years, exercise price ranging from $0.28 to $33.80, and share price of $0.02.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

7. Acquisitions (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **GTA Financecorp Inc. Reverse Takeover (continued)** 

Pursuant to the GTA RTO, the following occurred:

● The Company completed a consolidation of its common shares immediately prior to the completion of the amalgamation (as defined below), of its then issued and outstanding 36,958,499 common shares on the basis of one new Company common share for every 11.2678 existing Tiidal Corp. (GTA) common shares.

● The Company's subsidiary, GTA Subco, amalgamated with Tiidal Inc., and changed its name to Tiidal Gaming Holdings Inc.

● The Company acquired all of the issued and outstanding common shares of Tiidal Inc. from the former shareholders of Tiidal Inc. in exchange for an aggregate of 68,460,125 of the Company's common shares. The Company then changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp.

Immediately prior to the amalgamation, Tiidal Inc.'s shares underwent a 1:1.2738 share split and all outstanding Tiidal Inc. restricted share units ("RSUs") automatically vested. Upon effect of the split, authorized capital remains unchanged. These financial statements give retroactive effect to such stock split named above and all share and per share amounts have been adjusted accordingly, unless otherwise noted.

**8.** **Equipment** 

---

| | | | |
|:---|:---|:---|:---|
| | **Computer <br> equipment** | **Furniture and <br> equipment** | **Total** |
| &nbsp;&nbsp;**Cost** |  |  |  |
| &nbsp;&nbsp;Opening, October 31, 2021 | $47903 | $10105 | $58008 |
| &nbsp;&nbsp;Additions | 16767 | 1971 | 18738 |
| &nbsp;&nbsp;Write-off | (3750) | (3222) | (6972) |
| &nbsp;&nbsp;Foreign exchange adjustment | 2913 | 488 | 3401 |
| &nbsp;&nbsp;**Ending, October 31, 2022** | $**63833** | $**9342** | $**73175** |
| &nbsp;&nbsp;Write-off | (2632) |  | (2632) |
| &nbsp;&nbsp;Assets held for sale (note 22) | (61201) | (9342) | (70543) |
| &nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | **—** | $**—** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**8.** **Equipment (continued)** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Accumulated depreciation** | | | |
| &nbsp;&nbsp;Opening, October 31, 2021 | $39569 | $3034 | $42603 |
| &nbsp;&nbsp;Depreciation | 14239 | 995 | 15234 |
| &nbsp;&nbsp;**Ending, October 31, 2022** | **53808** | **4029** | **57837** |
| &nbsp;&nbsp;Depreciation | 354 |  | 354 |
| &nbsp;&nbsp;Foreign exchange | 8 |  | 8 |
| &nbsp;&nbsp;Write-off | (545) |  | (545) |
| &nbsp;&nbsp;Assets held for sale (note 22) | (53625) | (4029) | (57654) |
| &nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;**Net book value** |  |  |  |
| &nbsp;&nbsp;**October 31, 2022** | $**10025** | $**5313** | $**15338** |
| &nbsp;&nbsp;**October 31, 2023** | $**—** | $**—** | $**—** |

---

**9.** **Right-of-use assets/Lease liability** 

On September 22, 2021, the Company's subsidiary Tiidal NZ, entered into a twenty-four-month lease agreement for new office space in Wellington, New Zealand commencing October 1, 2021. Under the lease, the Company is required to pay an annual rent of $70,867 NZD plus applicable GST monthly. The lease agreement includes an extension option for an additional twenty-four months. At the commencement date of the lease, the lease liability was measured at the present value of the lease payments that were not paid at that date (including the extension option of twenty-four months). The lease payments are discounted using an interest rate of 12%, which is the Company's estimated incremental borrowing rate in Canada.

Tiidal NZ also entered into several twelve-month lease-to-own agreements for office equipment commencing during the year ended October 31, 2023. Under these leases, the Company is required to pay an aggregate amount of $32,111 NZD plus applicable GST.

At the commencement date of these leases, the lease liability was measured at the present value of the lease payments that were not paid at that date. The lease payments are discounted using an interest rate of 12%, which is the Company's estimated incremental borrowing rate. The right-of-use asset and lease liability were derecognized upon the loss of control of Tiidal NZ when sold to Entain on June 9, 2023.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**9.** **Right-of-use assets/Lease liability (continued)** 

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Right-of-use asset** | <br>**Office Space** | **Office**<br>**Equipment** | <br>**Total** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening, October 31, 2021 | $223986 | $— | $223986 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Additions |  | 29994 | 29994 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | (40822) | (3487) | (44309) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange adjustment | (24173) | (3887) | (28060) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Disposition and adjustments | (29498) |  | (29498) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending October 31, 2022** | **129493** | **22620** | **152113** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Asset held for sale (note 22) | (129493) | (22620) | (152113) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | $**—** | $**—** |

---

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease liability** | <br>**Office Space** | **Office**<br>**Equipment** | <br>**Total** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening, October 31, 2021 | $228752 | $— | $228752 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Additions |  | 29994 | 29994 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion | 17339 | 1755 | 19094 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payments | (62280) | (24891) | (87171) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange adjustment | (16780) | (1181) | (17961) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustment | (29498) |  | (29498) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending, October 31, 2022** | $**137533** | $**5677** | $**143210** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Liabilities associated with |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;assets held for sale (note 22) | (137533) | (5677) | (143210) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending, October 31, 2023** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Current** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Non-current** | $**—** | $**—** | $**—** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

**10.** **Intangible Assets** 

---

| | | |
|:---|:---|:---|
| | **Sportsflare**<br>**intellectual property**<br>**and related assets** |<br>**Total** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Cost** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ending balance October 31, 2021 | $2207433 | $2207433 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange adjustment | (241099) | (241099) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending balance October 31, 2022** | $**1966334** | $**1966334** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassified to asset held for sale |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(note 22) | (1966334) | (1966334) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending balance October 31, 2023** | $**—** | $**—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Accumulated amortization** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ending balance October 31, 2021 | $190238 | $190238 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization | 202874 | 202874 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Ending balance October 31, 2022** | $**393112** | $**393112** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassified to assets held for sale |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(note 22) | $(393112) | $(393112) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ending balance October 31, 2023 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net book value October 31, 2022** | $**1573222** | $**1573222** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net book value October 31, 2023** | $**—** | $**—** |

---

**11.** **Accounts Payable and Other Liabilities** 

---

| | | |
|:---|:---|:---|
| | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable (Note 15) | $126551 | $420049 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued liabilities | 93209 | 345598 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payroll liabilities |  | 208915 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;GST/HST payable |  | 10178 |
|  | $219760 | $984740 |

---

12. Convertible Notes

On March 31, 2021, the Company closed an unsecured convertible notes financing for gross proceeds of $280,250. The convertible notes bear interest at 7% per annum and are automatically converted into securities of Tiidal Inc. upon the completion of an equity financing in connection to a reverse takeover transaction or initial public offering and the completion of any release conditions connected to such financing. The notes will be converted into the same securities sold and issued with said equity financing at a conversion price equal to 85% of the price per the equity financing. The convertible notes mature one year from the date of issuance. The price of the equity financing was fixed at $0.50 per unit prior to the closing of the convertible notes, and as result, there was no derivative liability associated with the convertible notes.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

12. Convertible Notes (continued)

On November 9, 2021, the GTA RTO transaction was completed, resulting in the automatic conversion of the convertible notes into 687,607 shares and 343,800 warrants of Tiidal Inc.

---

| | |
|:---|:---|
| A continuity of the Company's convertible notes is as follows: |  |
|  | **Total** |
| &nbsp;&nbsp;**Balance, October 31, 2021** | $**266734** |
| &nbsp;&nbsp;Accretion | 796 |
| &nbsp;&nbsp;Conversion | (267530) |
| &nbsp;&nbsp;**Balance, October 31, 2022 and October 31, 2023** | $**—** |

---

13. Government Loan Payable

In May 2020, Tiidal Inc. entered into a Canada Emergency Business Account ("CEBA") loan with the Government of Canada which provided $40,000 in interest free loans to Tiidal Inc. until December 31, 2022. The CEBA loan terms included if the Government of Canada is repaid by December 31, 2022, 25%, being $10,000 of the CEBA loan will be forgiven. If the CEBA loan balance is not paid prior to December 31, 2022, the remaining balance would be converted to a three-year term loan at 5% annual interest, paid monthly. The full balance must be repaid no later than December 31, 2025.

In January 2021, Tiidal Inc. received an additional $20,000 interest free CEBA loan from the Government of Canada. The CEBA loan terms included if the Government of Canada is repaid by December 31, 2022, 50%, being $10,000, will be forgiven.

If the balance is not paid prior to December 31, 2022, the remaining balance will be converted to a three-year term loan at 5% annual interest, paid monthly. The full balance must be repaid no later than December 31, 2025. The Government of Canada has announced that the December 31, 2022, forgiveness repayment date has been extended by one year to December 31, 2023, for eligible CEBA loan holders in good standing. The CEBA loan terms were also amended such that the CEBA loans are interest free until December 31, 2023, and any remaining balance would bear interest at 5% per annum starting on January 1, 2024.

As at October 31, 2023, the Company has an outstanding CEBA loan balance of $39,250 (October 31, 2022 - $35,044) and recognized $nil (2022 - $32,924) in income from government assistance. For the year ended October 31, 2023, the Company has recognized $4,206 of interest accretion (October 31, 2022 - $3,453).

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital

**Authorized**

The Company is authorized to issue an unlimited number of common shares.

On October 31, 2023, the Company had 87,603,908 shares outstanding.

On October 30, 2023, the Company announced a return of capital to its shareholders by way of substantial issuer bid to be completed no earlier than December 7, 2023 (note 24).

**Stock Split**

In connection with the GTA RTO, Tiidal Inc. consolidated its shares on the basis of 1.2738 new Tiidal Inc. shares for every old Tiidal Inc. share, subject to adjustment in accordance with the terms of the Definitive Agreement (Note 7c). All references to shares and per share amounts have been retrospectively restated to reflect the stock split, unless otherwise indicated.

&nbsp;&nbsp;&nbsp;&nbsp;a) Issued

The Company issued common shares as described below for the year ended October 31, 2023:

On December 1, 2022, the Company closed a non-brokered private placement financing of 2,029,600 units at a price of $0.10 per unit for gross proceeds of $202,960. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $0.15 per common share for a period of 36 months following the closing date. The Company issued 932,307 common shares to settle $93,231 in accounts payable.

On June 9, 2023, the Company issued 1,910,700 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone (see Note 7a) per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 2,500,000 restricted share units to the Company's CEO, which immediately vested into 2,500,000 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued (continued)** 

The Company issued common shares as described below for the year ended October 31, 2022:

On November 9, 2021, upon completion of the GTA RTO, the Company had the following transactions:

● The Company converted subscription receipts (see Note 7a) that were previously issued for gross proceeds of $3,422,166 into units consisting of an aggregate of 6,844,331 common shares and 3,422,165 share purchase warrants. Subscription receipts with a fair value of $309,604 that were previously issued for financing charges in lieu of cash were converted into units which consisted of an aggregate of 346,890 common shares and 173,444 share purchase warrants. Each unit consists of one common share and one-half of a share purchase warrant. Each full warrant allows the holder to purchase an additional common share at an exercise price of $0.75 and expires on November 9, 2023.

● The Company recorded $2,756,918 to share capital and $838,694 to reserves.

● The Company incurred $136,158 in financing charges paid directly from the gross proceeds.

● The Company issued 687,607 common shares and 343,800 share purchase warrants with an exercise price of $0.75 expiring on November 9, 2023, upon the conversion of outstanding convertible notes with a fair value of $270,961 into units consisting of one common share and one-half of a share purchase warrant. Each full warrant allows the holder to purchase an additional common share at an exercise price of $0.75 and expires on November 9, 2023.

● The Company paid $30,000 to a shareholder dissenting to the GTA RTO transaction to cancel 191,070 common shares held by the dissenting shareholder.

● The Company issued an aggregate of 4,203,540 common shares pursuant to the RSUs issued and vested upon completion of the GTA RTO. These common shares have an aggregate fair value of $4,203,540.

● The Company issued 200,000 common shares to settle $100,000 in accounts payable. The estimated fair value of the common shares issued was $97,668. The gain on settlement of $2,332 was recognized in the consolidated statement of net income (loss) and comprehensive income (loss).

On January 7, 2022, an aggregate of 191,070 stock options of the Company with an exercise price of $0.16 per warrant were exercised in exchange for the settlement of $30,571 in accounts payable.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Issued (continued)** 

On January 31, 2022, the Company issued 112,136 common shares with a fair value of $30,277 to settle $56,068 in debt. The Company recognized a gain of $25,791 on the debt settlement.

On June 1, 2022, the Company issued an aggregate of 500,000 common shares of the Company from the exercise of warrants of the Company with an exercise price of $0.16 per warrant. $51,750 was received in cash and $28,250 was paid through the settlement of accounts payable.

On June 7, 2022, the Company issued an aggregate of 125,000 common shares from the exercise of warrants of the Company with an exercise price of $0.16 per warrant for gross proceeds of $20,000.

On July 7, 2022, the Company issued an aggregate of 612,373 common shares from the exercise of warrants of the Company with an exercise price of $0.16 per warrant. $64,080 was received in cash and $33,900 was paid through the settlement of accounts payable.

On September 20, 2022, the Company closed a non-brokered private placement and issued an aggregate of 5,619,061 commons shares at $0.10 per share for gross proceeds of $561,905.

On October 11, 2022, the Company closed a non-brokered private placement and issued an aggregate of 1,311,550 common shares at $0.10 per share for gross proceeds of $133,155.

For the year ended October 31, 2022, the Company incurred $495,177 in share issuance costs consisting of legal, financing, and other fees for the subscription receipt financing and conversion to common shares and warrants.

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options** 

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange. Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares. Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the year ended October 31, 2023, the following activity occurred:

● On February 5, 2023, 125,000 options granted that had been granted to employees of Lazarus were cancelled.

● On June 9, 2023, 1,522,500 unvested revenue milestone options granted to employees of Tiidal NZ were forfeited in accordance with the sale of Tiidal NZ to Entain that closed.

For the year ended October 31, 2022, the following activity occurred:

● On November 9, 2021, the Company granted an aggregate of 955,350 stock options to certain officers and employees of the Company. The stock options can be exercised at $0.39 per stock option and expire November 9, 2026. These stock options vest evenly over the next 24 months. At closing of the GTA RTO on November 9, 2021, the Company had an aggregate of 247,431 stock options outstanding. 532 out of these stock options expired on November 9, 2021. The remaining stock options have an expiry date ranging from August 30, 2022, to June 8, 2025.

● On November 17, 2021, the Company granted an aggregate of 1,500,000 stock options to certain officers and employees of the Company. The stock options can be exercised at $0.50 per stock option and expire on November 17, 2026. The vesting terms of these stock options are as follows:

○ 277,000 of total stock options vest in twelve monthly instalments.

○ 1,223,000 of total stock options vest one-third on November 17, 2022, and the remaining stock options shall vest in twenty-four monthly instalments thereafter.

● On January 4, 2022, the Company granted an aggregate of 4,400,000 stock options to certain officers, directors, employees, and consultants of the Company. The stock options can be exercised at $0.30 per stock option.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

○ 500,000 of the total stock options expire on November 17, 2026. One-third of the stock options shall vest on November 17, 2022, and the remaining stock options shall vest in twenty-four monthly instalments thereafter.

○ 1,000,000 of the total stock options expire on November 17, 2026. The stock options shall vest in twelve equal monthly instalments.

○ 1,500,000 stock options expire on January 4, 2027. One-half of the stock options shall vest on January 4, 2022 ("Grant Date"). The remaining half of the stock options shall vest equally on the first, second, and third anniversary of the Grant Date.

○ 1,400,000 of total stock options expire on January 4, 202. The stock options shall vest in twenty-five equal monthly instalments beginning on January 4, 2022.

● On March 1, 2022, the Company granted an aggregate of 185,000 stock options to certain employees of the Company. The stock options can be exercised at $0.30 per stock option and expire on March 1, 2027. 125,000 options vest evenly over three years from the grant date and 60,000 options vest as follows:

○ Ten percent (10%) of the stock options shall vest upon the Company generating an aggregate of $1,000,000 in total revenue between November 1, 2021 and the expiry date ("earning period")

○ Fifteen percent (15%) of the stock options shall vest upon the Company generating an aggregate of $2,500,000 in total revenue during the earning period

○ Twenty-five percent (25%) of the stock options shall vest upon the Company generating $5,000,000 in total revenue during the earning period and

○ Fifty percent (50%) of the stock options shall vest upon the Company generating an aggregate of $10,000,000 in total revenue during the earning period.

The estimate made for determining the vesting schedule of these stock options is based on the October 31, 2022, total revenue extrapolated for one full year and a 15% growth rate per year.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

● On October 1, 2022, the Company granted an aggregate of 1,600,000 stock options to certain employees of the Company, which are exercisable within four years from the date of grant at an exercise price of $0.10 per stock option. The options vest in 24 equal monthly instalments. The options were valued on the date of issue using the Black-Scholes option pricing model with the following assumptions: dividend yield 0%, discount rate 3.39%, expected volatility of 150% and an expected life of four years. The value attributed to these stock options was $117,591.

For the years ended October 31, 2023, and 2022, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average<br> Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2021 | 5234720 | $0.19 |
| &nbsp;&nbsp;Granted | 8887778 | $0.30 |
| &nbsp;&nbsp;Exercised | (191070) | ($0.16) |
| &nbsp;&nbsp;Expired | (1952) | ($29.70) |
| &nbsp;&nbsp;Forfeited | (105000) | ($0.29) |
| &nbsp;&nbsp;**Outstanding, October 31, 2022** | **13824476** | **$0.26** |
| &nbsp;&nbsp;Expired | (1463919) | ($0.33) |
| &nbsp;&nbsp;Forfeited | (7108787) | ($0.27) |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | **5251771** | **$0.22** |

---

At October 31, 2023, the following stock options were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each stock option held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number <br> Outstanding** | **Exercise Price** | **Expiry Date** | **Number Exercisable** |
| 457971 | $0.50 | November 9, 2023 | 457971 |
| 636900 | $0.39 | November 9, 2026 | 636900 |
| 1950000 | $0.30 | January 4, 2027 | 1500000 |
| 636900 | $0.16 | April 1, 2029 | 636900 |
| 1470000 | $0.10 | December 31, 2023 | 1470000 |
| 100000 | $0.10 | October 1, 2026 | 100000 |
| **5251771** |  |  | **4801771** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Stock options (continued)** 

As at October 31, 2023, the weighted average life of stock options outstanding was 2.31 years (October 31, 2022 – 4.62 years).

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the consolidated statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the year ended October 31, 2023, $387,225 (October 31, 2022 - $2,268,154) was recorded as share-based payments for stock options and $nil (October 31, 2022 - $12,966) was recorded as deferred financing charges relating to compensation options, which was reclassified to share issuance costs on November 9, 2021, upon the completion of the GTA RTO (Note 7b) and related subscription receipt financing (Note 7a).

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

The fair value of the stock options granted was determined using the Black-Scholes option pricing model with the assumptions:

---

| | | |
|:---|:---|:---|
| | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share price | n/a | $0.085 - $0.25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exercise price | n/a | $0.10 - $0.50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected volatility | n/a | 150% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected weighted average |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;stock option life | n/a | 4.00 – 5.00 years |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected dividend yield | n/a |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expected forfeiture rate | n/a |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Risk-free interest rate | n/a | 1.26% - 3.39% |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**c)** **Warrants** 

For the years ended October 31, 2023 and 2022, the warrant activity is as follows:

---

| | | |
|:---|:---|:---|
|  | **Number** | **Weighted Average <br> Exercise Price** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Outstanding, October 31, 2021 | 3598483 | $0.16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Granted | 10953010 | $0.33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exercised | (1237373) | $0.16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Outstanding, October 31, 2022** | **13314120** | $**0.33** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Granted | 2961907 | $0.15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expired | (2361110) | $0.16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cancelled | (50000) | $0.15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Outstanding, October 31, 2023** | **13864917** | $**0.32** |

---

At October 31, 2023, the following warrants were outstanding and exercisable, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number <br> Outstanding** | **Exercise Price** | **Expiry Date** | **Number <br> Exercisable** |
| 3939409 | $0.75 | November 9, 2023 | 3939409 |
| 5597051 | $0.15 | September 20, 2025 | 5597051 |
| 1366550 | $0.15 | October 12, 2025 | 1366550 |
| 2961907 | $0.15 | November 30, 2025 | 2961907 |
| **13864917** |  |  | **13864917** |

---

As at October 31, 2023, the weighted average life of warrants outstanding was 1.41 years (October 31, 2022 – 0.82 years).

The estimated fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the consolidated statements of loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves. For the year ended October 31, 2023, $nil (October 31, 2022 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

14. Share Capital (continued)

&nbsp;&nbsp;&nbsp;&nbsp;**d)** **Restricted Share Units ("RSU")** 

On November 9, 2021, the remaining 764,280 RSUs vested of the original 1,273,000 RSUs granted on November 23, 2020. The Company issued an additional 3,184,500 RSUs with a fair value of $1,249,975. An aggregate of 4,203,540 of all RSUs were exercised upon the completion of the GTA RTO. See Note 7b. As at October 31, 2023, there were no RSUs issued and outstanding (October 31, 2022 – nil).

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 2,500,000 at $0.08 per restricted share units to the Company's CEO, which immediately vested into 2,500,000 common shares of the Company. See Note 14a and Note 15.

15. Related Party Transactions

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Key management compensation** 

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the years ended October 31, 2023, and 2022, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | **Year ended <br> October 31,**<br> **2023** | **Year ended <br> October 31,**<br> **2022** |
| &nbsp;&nbsp;Management and director fees and salaries | $175933 | $167200 |
| &nbsp;&nbsp;Salaries included in general and administrative expenses in the Statements of Net Income (Loss) and Comprehensive Income (Loss) | 374593 | 603509 |
| &nbsp;&nbsp;Share-based payments | 204052 | 1641737 |
| &nbsp;&nbsp;Restricted share units | 200000 |  |
|  | $**954579** | $**2412446** |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date.

For the years ended October 31, 2023, and 2022, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

As at October 31, 2023, included in trade and other receivables is $nil (October 31, 2022 - $2,552) owing to the Company from an officer of the Company.

As at October 31, 2023, included in accounts payable and other liabilities is $1,018 (October 31, 2022 – $101,717) in amounts payable to directors and officers of the Company. The amount is unsecured, non-interest bearing and due on demand.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

16. General and Administrative Expenses

General and administrative expenses consisted of the following:

---

| | | |
|:---|:---|:---|
| | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;Office and miscellaneous | $54188 | $178728 |
| &nbsp;&nbsp;Salaries and benefits | 291174 | 521822 |
| &nbsp;&nbsp;Professional fees | 355627 | 455302 |
| &nbsp;&nbsp;Insurance and bank | 41989 | 10728 |
|  | $**742978** | $**1166580** |

---

17. Income (Loss) Per Share

The calculation of basic and diluted loss per share was based on the following data:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Weighted average number of shares – basic:** | **October 31, 2023** | **October 31, 2022** |
| &nbsp;&nbsp;Issued common shares as at beginning of the period | 80231301 | 56368831 |
| &nbsp;&nbsp;Effect of common shares during the period | 4462686 | 16430295 |
|  | 84693987 | 72799126 |
| &nbsp;&nbsp;**Net income (loss) from continued operations** | $(1305374) | $(5163064) |
| &nbsp;&nbsp;**Net income (loss) from discontinued operations** | $10241790 | $(2255882) |
| &nbsp;&nbsp;**Net income (loss) for the year** | $8936416 | $(7418946) |
| &nbsp;&nbsp;**Net income (loss) per share – basic and diluted from continued operations** | $**(0.02)** | $**(0.07)** |
| &nbsp;&nbsp;**Net income (loss) per share – basic and diluted from discontinued operations** | $**0.12** | $**(0.03)** |
| &nbsp;&nbsp;**Net income (loss) per share basic and diluted** | $**0.10** | $**(0.10)** |

---

The basic income (loss) per share is computed by dividing the net income (loss) by the weighted average number of common shares outstanding during the period. The diluted income (loss) per share reflects the potential dilution of common share equivalents, such as stock options and share purchase warrants, in the weighted average number of common shares outstanding during the period, if dilutive. There were no dilutive stock options or share purchase warrants during the year ended October 31, 2023.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

18. Supplemental Disclosures with Respect to Cash Flows

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Cash paid for interest | $— | $— |
| &nbsp;&nbsp;Fair value of shares issued for debt |  | 181817 |
| &nbsp;&nbsp;Fair value of shares issued for convertible notes |  | 271195 |

---

**19.** **Segmented Reporting** 

Segmented information by operating segment is as follows for the years ended October 31, 2023, and 2022:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;2023 | **Digital Entertainment** | **Betting Solutions** | **Total** |
| &nbsp;&nbsp;Revenues | $2 | $120565 | $120567 |
| &nbsp;&nbsp;Comprehensive income (loss) | (10614) | 10252404 | 10241790 |
| &nbsp;&nbsp;Non-current Assets |  |  |  |
| &nbsp;&nbsp;Total Assets |  |  |  |
| &nbsp;&nbsp;Total Liabilities |  |  |  |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;2022 | **Digital** Entertainment** | **Betting Solutions** | **Total** |
| &nbsp;&nbsp;Revenues | $297209 | $60650 | $357859 |
| &nbsp;&nbsp;Comprehensive income (loss) | (313189) | (1942693) | (2255882) |
| &nbsp;&nbsp;Non-current Assets | 34932 | 1705741 | 1740673 |
| &nbsp;&nbsp;Total Assets | 358646 | 1737717 | 2096363 |
| &nbsp;&nbsp;Total Liabilities | (684756) | (478238) | (1162994) |

---

20. Capital Management

The Company considers its capital structure to consist of shareholders' equity, and government loan payable. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at October 31, 2023.

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (Note 2).

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

20. Capital management (continued)

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed. Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for the year ended October 31, 2023.

21. Financial Instruments and Risk Management Fair values

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;• Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

&nbsp;&nbsp;&nbsp;&nbsp;• Inputs other than quoted prices included in Level 1 that are observable for the asset or liability,
either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

&nbsp;&nbsp;&nbsp;&nbsp;• Inputs for the asset or liability that are not based on observable market data (unobservable
inputs) (Level 3).

The fair values of the cash, trade and other receivables, short-term investments, accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, and short-terms investments are recorded at fair value using level 1 inputs.

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash and short-term investment are held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

The Company applies the simplified approach to provide for expected credit losses as prescribed by IFRS 9, which permits the use of lifetime expected loss provision for all trade receivables. The loss allowance is based on the Company's historical collection and loss experience and incorporates forward-looking factors, where appropriate. At October 31, 2023, the Company had recorded an expected credit loss of $nil (October 31, 2022 - $9,619).

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

21. Financial Instruments and Risk Management - continued

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br> **2023** | **October 31,**<br> **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities | $219760 | $984740 |
|  | $**219760** | $**984740** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk primarily arises from financial instruments denominated in US dollars that are held in entities with a Canadian dollar functional currency. Conversely for the Tiidal NZ subsidiary who has a NZ dollar functional currency, currency risk primarily arises from financial instruments denominated in Canadian dollars that are held in Tiidal NZ.

The Company is exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and other liabilities that are denominated in US dollars. Therefore, a 10% appreciation or depreciation of the U.S. dollar against the Canadian dollar would have resulted in an approximate $3,000 (October 31, 2022 - $3,000) respectively, in net income (loss).

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2023 and 2022 to interest rate risk through its financial instruments.

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

22. Discontinued Operations

On December 1, 2022, the Company discontinued the operations and disposed of the remaining assets of Lazarus Esports Inc. ("Lazarus Esports"). As a result, Lazarus Esports was classified as discontinued operations in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5").

Consolidated statements of income (loss) and comprehensive income (loss) from discontinued operations of Lazarus Esports for the years ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
| **Lazarus Esports** | **October 31, 2023**<br> **$** | October 31, 2022 <br>$ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** | **2** | 297209 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of goods sold | **—** | 196270 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Gross Profit** | **2** | 100939 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising | **67** | 50786 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration | **8796** | 118703 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Player fees | **—** | 213514 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Player management | **—** | 32185 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest/accretion | **—** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges | **1766** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss | **(13)** | (1060) |
| &nbsp;&nbsp;Total expenses | **10616** | 414128 |
| &nbsp;&nbsp;**Net loss from discontinued operations** | **(10614)** | (313189) |

---

Cash flows from discontinued operations of Lazarus for the years ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
|  | **October 31, 2023** | October 31, 2022 |
| &nbsp;&nbsp;**Lazarus Esports** | **$** | $ |
| &nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;Income (loss) from discontinued operations |  |  |
| &nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;Accounts receivable |  |  |
| &nbsp;&nbsp;Prepaid expenses |  |  |
| &nbsp;&nbsp;Trade and other payables |  |  |
| &nbsp;&nbsp;Total cash used by discontinued operations |  |  |
| &nbsp;&nbsp;**Change in net cash used in discontinued operations** |  |  |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

22. Discontinued Operations (continued)

On March 13, 2023, the Company announced that it and its wholly owned subsidiary, Tiidal Inc., have entered into a share sale and purchase agreement with Entain Holdings (UK) Limited ("Entain"), pursuant to which Tiidal Inc. will sell all of the shares of the Company's operating subsidiary, Tiidal NZ, to Entain ("Tiidal NZ Sale"). Tiidal Inc. agreed to sell all of the issued and outstanding shares of Tiidal NZ to Entain for gross proceeds of $13,250,000 in cash ("Purchase Price"), subject to standard transaction adjustments. Pursuant to the Tiidal NZ Sale, the Purchase Price will be retained by Tiidal in a holding account for 180 days (the "Holding Period"). During the Holding Period, Tiidal may access the funds to satisfy any working capital adjustment or claims brought by Entain and may access up to 20% of the funds to pay reasonable costs related to the Tiidal NZ Sale. The sale of Tiidal NZ closed on June 9, 2023.

The Company classified the operations as held for sale in accordance with International Financial Reporting Standards relating to non-current assets held for sale and discontinued operations ("IFRS 5") for the year ended October 31, 2023, and 2022.

Consolidated statements of income (loss) and comprehensive income (loss) from discontinued operations for the years ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Tiidal NZ** | **October 31, 2023**<br> **$** | October 31, 2022 <br>$ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** | **120565** | 60650 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of goods sold | **—** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Gross Profit** | **120565** | 60650 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising | **7704** | 41672 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administration | **1284769** | 1642624 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization | **50656** | 199264 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | **14687** | 53971 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Travel | **15337** | 34641 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consulting | **—** | 4114 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance charges | **42130** | 23555 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/loss | **5696** | 3502 |
| &nbsp;&nbsp;Total expenses | **1420979** | 2003343 |
| &nbsp;&nbsp;Net loss before gain on sale and foreign currency translation adjustment | **(1300414)** | (1942693) |
| &nbsp;&nbsp;Gain on sale of Tiidal NZ | **11656124** |  |
| &nbsp;&nbsp;Foreign currency translation adjustment | **(103306)** |  |
| &nbsp;&nbsp;**Net income (loss) from discontinued operations** | **10252404** | (1942693) |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

22. Discontinued Operations (continued)

Cash flows from discontinued operations for the year ended October 31, 2023, and 2022 are comprised of the following:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Tiidal NZ** | **October 31, 2023**<br> **$** | October 31, 2022 <br>$ |
| &nbsp;&nbsp;**Cash flow provided by discontinued operations** |  |  |
| &nbsp;&nbsp;Income (loss) from discontinued operations | **10252404** | (1942693) |
| &nbsp;&nbsp;Depreciation | **13760** | 53971 |
| &nbsp;&nbsp;Amortization on intangibles | **50471** | 199264 |
| &nbsp;&nbsp;Accretion expense | **32479** | 24785 |
| &nbsp;&nbsp;Foreign exchange | **(6682)** |  |
| &nbsp;&nbsp;Cash for deferred revenue | **6094** |  |
| &nbsp;&nbsp;Gain on sale | **(11656124)** |  |
| &nbsp;&nbsp;Foreign currency translation | **(103773)** |  |
| &nbsp;&nbsp;Changes in non-cash working capital: |  |  |
| &nbsp;&nbsp;Accounts receivable | **(8513)** | (6768) |
| &nbsp;&nbsp;Prepaid expenses | **6857** | (17715) |
| &nbsp;&nbsp;Trade and other payables | **(159199)** | 185023 |
| &nbsp;&nbsp;**Change in net cash used in discontinued operations** | **(1572226)** | (1504133) |
| &nbsp;&nbsp;**Cash flow used in investing activities** |  |  |
| &nbsp;&nbsp;Acquisition of property and equipment | **(6960)** | (16106) |
| &nbsp;&nbsp;**Cash flow used in investing activities from discontinued operations** | **(6960)** | (16106) |
| &nbsp;&nbsp;**Cash flow provided by financing activities** |  |  |
| &nbsp;&nbsp;Lease payments | **(25961)** | (87075) |
| &nbsp;&nbsp;Cash from interco transactions | **986** |  |
| &nbsp;&nbsp;Proceeds from loan payable | **1398190** |  |
| &nbsp;&nbsp;**Net cash provided by financing activities in discontinued operations** | **1373215** | (87075) |

---

A reconciliation of the gain on the sale of Tiidal NZ to Entain is as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross proceeds | $13250000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Working capital adjustments | (1002518) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange loss | (60357) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds received | $12187125 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: net carrying value of Tiidal NZ assets held for sale as at June 8, 2023 | (215662) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: final working capital adjustment | (118797) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: legal fees | (196542) |
| &nbsp;&nbsp;**Gain on sale of Tiidal NZ** | $**11656124** |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

23. Income taxes

The reconciliation of the combined Canadian federal and provincial statutory income tax rate of 26.5% (2022 – 26.5%) to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Net loss from continuing operations | $(1305374) | $(5163064) |
| &nbsp;&nbsp;Expected income tax (recovery) expense | (345920) | (1368212) |
| &nbsp;&nbsp;Effect of RTO transaction |  | (1365570) |
| &nbsp;&nbsp;Share-based payments and other non-deductible expenses | 153800 | 660300 |
| &nbsp;&nbsp;Listing expense |  | 325430 |
| &nbsp;&nbsp;Share issuance cost booked directly to equity | (13030) | (187220) |
| &nbsp;&nbsp;Tiidal NZ sale | 1573000 |  |
| &nbsp;&nbsp;Difference in tax rates |  | (28060) |
| &nbsp;&nbsp;Change in tax benefits not recognized | (1367850) | 1963332 |
| &nbsp;&nbsp;Total income tax (recovery) | $— | $— |

---

The following table summarizes the components of deferred tax:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Deferred tax assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating tax losses carried forward | $5500 | $6610 |
|  | 5500 | 6610 |
| &nbsp;&nbsp;Deferred tax liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CEBA loan | $(5500) | $(6610) |
|  | (5500) | (6610) |
| &nbsp;&nbsp;Net deferred tax liability | $— | $— |

---

Deferred tax assets and liabilities have been offset where they relate to income tax levied by the same taxation authority and the Company has the legal right to offset.

Unrecognized deferred tax assets

Deferred taxes are provided as a result of temporary differences that arise due to the differences between the income tax values and the carrying amount of assets and liabilities. Deferred tax assts have not been recognized in respect of the following deductible temporary differences:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Equipment | $121270 | $116190 |
| &nbsp;&nbsp;Intangible assets | 627140 | 594660 |
| &nbsp;&nbsp;Share issuance costs | 668060 | 400650 |
| &nbsp;&nbsp;Operating tax losses carried forward | 6831270 | 5889536 |
| &nbsp;&nbsp;Operating tax losses carried forward - USA | 32390 | 15882 |
|  | $8280130 | $7056918 |

---

**TIIDAL GAMING GROUP CORP. (FORMERLY GTA FINANCECORP INC.)**

Notes to the Consolidated Financial Statements

For the years ended October 31, 2023, and 2022

(Expressed in Canadian Dollars)

23. Income Taxes - continued

The Canadian operating tax loss carry forwards expire as noted in the table below. The remaining deductible temporary differences may be carried forward indefinitely. Deferred tax assets have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom.

The Company's Canadian operating tax losses expire as follows:

---

| | |
|:---|:---|
| 2027 | $180 |
| 2028 | 58930 |
| 2029 | 86330 |
| 2030 | 76060 |
| 2031 | 260600 |
| 2032 | 623530 |
| 2033 | 838410 |
| 2034 | 753650 |
| 2035 | 636460 |
| 2036 | 584450 |
| 2037 | 395630 |
| 2038 | 424980 |
| 2039 | 317860 |
| 2040 | 88720 |
| 2041 | 88810 |
| 2042 | 853560 |
| 2043 | 743110 |
|  | $6831270 |

---

**24.** **Subsequent Events** 

On November 2, 2023, the Company announced that, further to its previously communicated release on October 30, 2023, it has launched its substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation all of its issued and outstanding common shares, being 87,603,908 for aggregate cash consideration of up to $10,731,479 or $0.1225 per share.

On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 83,256,650 common shares of the Company at a price of $0.1225 per share pursuant to it substantial issuer bid. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding number of shares.

On December 15, 2023, the Company announced cancellation of 1,570,000 options of the Company that had an exercise price of $0.10 per Share for consideration of $0.0225 per in-the-money-option, representing the difference between the exercise price of the in-the-money options and the purchase price under the offer for aggregate consideration equal to approximately $35,325.

**Schedule "B"**

*Financial Statements of Bitzero*

**BITZERO BLOCKCHAIN INC.**

Interim Condensed Consolidated Financial Statements <br> For the three and nine-month

periods ended June 30, 2025 and 2024 <br> (expressed in United States Dollars, unless otherwise stated)

---

| | |
|:---|:---|
| **Table of contents** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN** |
| For the three and nine-month periods ended June 30, 2025 and 2024 | **INC.** |
| *(Unaudited)* |  |

---

---

| | |
|:---|:---|
| Interim Condensed Consolidated Statements of Loss and Comprehensive Loss | 3 |
| Interim Condensed Consolidated Statements of Financial Position | 4 |
| Interim Condensed Consolidated Statements of Changes in Shareholder's Equity | 5 |
| Interim Condensed Consolidated Statements of Cash Flows | 6 |
| Notes to the Interim Condensed Consolidated Financial Statements | 7-29 |

---

Page **2** of **29**

---

| | |
|:---|:---|
| **Interim condensed consolidated statement of loss and** | **BITZERO** |
| **comprehensive loss** | **BLOCKCHAIN** |
| (Expressed in United States Dollars, unless otherwise noted) | **INC.** |
| For the three and nine-month periods ended June 30, 2025 and 2024 |  |
| *(Unaudited)* |  |

---

---

| | |
|:---|:---|
| | Note |
| Revenue from digital assets mined | 6 |
| Revenue from hosting and maintenance services | 6 |
| Direct costs | 7 |
| Administrative expenses | 8 |
| Marketing expenses |  |
| Finance costs | 9 |
| Operating loss before other items |  |
| Share-based expenses | 10, 17<br>|
| Foreign exchange loss (gain) |  |
| Realized gain on sale of digital currency | 11) |
| Loss (gain) on contract settlement | 18, 19) |
| Provision for contract settlement | 19 |
| Income (loss) before income taxes |  |
| Income tax |  |
| Net income (loss) |  |
| Loss (gain) on translation of foreign operations  |  |
| Revaluation losses (gains) on digital currency | 11 |
| **Total comprehensive income (loss)** |  |
| **Loss per share**<br>|  |
| &nbsp;&nbsp;&nbsp;Basic | 13) |
| &nbsp;&nbsp;&nbsp;Diluted | 13 |

---

Page **3** of **29**

---

| | |
|:---|:---|
| **Interim condensed consolidated statement of financial position**<br> (Expressed in United States Dollars, unless otherwise noted)<br> For the three and nine-month periods ended June 30, 2025 and 2024<br> *(Unaudited)* | **BITZERO<br> BLOCKCHAIN<br> INC.** |

---

---

| | | | |
|:---|:---|:---|:---|
|  |  | June 30, | September 30, |
|  |  | 2025 | 2024 |
|  | Note | *(Unaudited)* | *(Audited)* |
| **ASSETS** |  |  |  |
| &nbsp;&nbsp;&nbsp;*Non-current* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Property, plant and equipment | 15 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Construction in progress | 15 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Right-of-use assets | 16 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits, non-current portion |  |  |  |
| &nbsp;&nbsp;&nbsp;*Current* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable | 14 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | 19 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Digital currency | 11 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents |  |  |  |
| **TOTAL ASSETS** |  |  |  |
| **EQUITY AND LIABILITIES** |  |  |  |
| &nbsp;&nbsp;&nbsp;*Equity* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Share capital | 20 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Debenture reserve | 18(c) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated losses |  |  |  |
| &nbsp;&nbsp;&nbsp;*Total equity* |  |  |  |
| &nbsp;&nbsp;&nbsp;*Non-current liabilities* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, non-current portion |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease liability, non-current portion | 18(b) |  |  |
| &nbsp;&nbsp;&nbsp;*Current liabilities* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables | 18(a) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Liability to issue common shares |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Contingent consideration payable | 12 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease liability, current portion | 18(b) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Related party advances | 17 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Convertible debentures | 18(c) |  |  |
| &nbsp;&nbsp;&nbsp;*Total liabilities* |  |  |  |
| **TOTAL EQUITY AND LIABILITIES** |  |  |  |

---

---

| |
|:---|
| **APPROVED ON BEHALF OF THE BOARD** |
| *Mohammed Salah S. Bakhashwain* |

---

Page **4** of **29**

---

| | |
|:---|:---|
| **Interim condensed consolidated statement of changes in shareholder's equity** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN** |
| For the three and nine-month periods ended June 30, 2025 and 2024 | **INC.** |
| *(Unaudited)* |  |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Note | Share capital | Contributed<br>surplus | Debenture reserve |
|  |  |  | $— |  |
| Balance, at September 30, 2023 |  |  |  |  |
| Share based expenses  | 10 |  |  |  |
| Total comprehensive loss for the year |  |  |  |  |
| Balance at June 30, 2024 |  |  |  |  |
| Balance, at September 30, 2024 |  |  |  |  |
| Share based expenses | 10, 17 |  |  |  |
| Exercised stock options | 10, 20) |  |  |  |
| Exercised RSUs | 10, 20) |  |  |  |
| Issuance of advisory shares | 20 |  |  |  |
| Subscriptions | 20 |  |  |  |
| Total comprehensive loss for the year |  |  |  |  |
| Balance, at June 30, 2025 |  |  |  |  |

---

Page **5** of **29**

---

| | |
|:---|:---|
| **Interim condensed consolidated statement of cash flows** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN** |
| For the three and nine-month periods ended June 30, 2025 and 2024 | **INC.** |
| *(Unaudited)* |  |

---

---

| |
|:---|
| **CASH FROM OPERATING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Net loss for the year before tax) |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash items:* |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based expenses |
| &nbsp;&nbsp;&nbsp;&nbsp;Revaluation gains (losses) on digital currency |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of the right-of-use-asset |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation of property, plant and equipment |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on lease liabilities |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on settlement due |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on loans and other payables |
| &nbsp;&nbsp;&nbsp;&nbsp;Payment of non-cash considerations |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on contract settlement) |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for contract settlement |
| &nbsp;&nbsp;&nbsp;Operating cash flow before changes in working capital |
| &nbsp;&nbsp;&nbsp;*Adjustment for working capital:* |
| &nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable) |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable) |
| &nbsp;&nbsp;&nbsp;&nbsp;Digital currencies) |
| &nbsp;&nbsp;&nbsp;&nbsp;Settlement liability) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables) |
| &nbsp;&nbsp;&nbsp;&nbsp;Liability to issue common shares |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest payable |
| **CASH (USED IN) FROM INVESTING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Purchase of property, plant and equipment) |
| &nbsp;&nbsp;&nbsp;Proceeds on sale of digital assets |
| **CASH (USED IN) FROM FINANCING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Lease liabilities) |
| &nbsp;&nbsp;&nbsp;Issuance of common shares |
| &nbsp;&nbsp;&nbsp;Related party loans received (repaid) |
| **Net change in cash and equivalents** |
| Cash and cash equivalents, beginning of year |
| Effects of exchange rate changes on cash and cash equivalents |
| Cash and cash equivalents, end of year |
| **Supplementary information** |
| Interest paid |
| Acquisition of equipment as part of settlement |

---

Page **6** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**1.** **GENERAL INFORMATION** 

Bitzero Blockchain Inc. (the "Company" or "Bitzero"), was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 925-1000 Cathedral Place, West Georgia Street, Vancouver, British Columbia V6C 3L2 Canada.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity controlled by Bitzero Blockchain Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

**2.** **BASIS OF PREPARATION** 

(a) <u>Statement of compliance</u> 

The interim condensed consolidated financial statements of the Company have been prepared in accordance with International Accounting Standards ("IAS") 34 – Interim Financial Reporting prepared using accounting policies consistent with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations of the IFRS Interpretations Committee ("IFRIC"). These interim condensed consolidated financial statements do not include all of the information required for full annual consolidated financial statements and should be read in conjunction with the audited consolidated financial statements for the year ended September 30, 2024. These interim condensed consolidated financial statements were approved by the Board of Directors on November 16, 2025.

(b) <u>Going concern</u> 

These interim condensed consolidated financial statements have been prepared on a going concern basis, which assumes that the Company will continue in operations for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of business. The realizable values may be substantially different from their carrying values, as shown in these interim condensed consolidated financial statements. These interim condensed consolidated financial statements do not affect adjustments that would be necessary to the carrying values and classification of assets and liabilities should the Company be unable to continue as a going concern. Such adjustments could be material.

As at June 30, 2025, the Company had an accumulated deficit of $79,703,841 (2024 – $65,581,909). The Company has not yet been able to generate positive cash flows from operations. Whether and when the Company can generate sufficient cash flows to pay for its expenditures and settle its obligations as they fall due is uncertain.

To address the going concern risk, the Company continues to seek equity financing alternatives to support ongoing operations, monitor general and administrative expenses compared to budget, and optimize its operating processes.

Page **7** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**2.** **BASIS OF PREPARATION (CONT'D)** 

(c) <u>Basis of consolidation</u> 

These interim condensed consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the interim condensed consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee. Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity. The accounting policies of subsidiaries are the same as those of the Company.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;Subsidiary | &nbsp;&nbsp;Ownership at 30-Jun-25 | &nbsp;&nbsp;Ownership at 30-Sep-24 | &nbsp;&nbsp;Country of incorporation |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Bitzero ND II | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Ahold XVIII Oy | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Finland |

---

(d) <u>Presentation and functional currency</u> 

These interim condensed consolidated financial statements are presented in United States Dollars ("$"), which is the Company's functional currency. The functional currency of all subsidiaries is the United States Dollar except for Exanorth AS, whose functional currency is the Norwegian Krone ("kr").

**3.** **MATERIAL ACCOUNTING POLICY INFORMATION** 

(a) <u>New and revised IFRS Accounting Standards in issue but not yet effective</u> 

At the date of authorisation of these financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective and had not yet been adopted by the IASB:

*IFRS 18: Presentation and Disclosure in Financial Statements*

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The directors do not expect that the adoption of the Standards listed above will have a material impact on the financial statements of the Company in future periods.

Page **8** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**4.** **OPERATING SEGMENTS** 

In measuring its performance, the Company does not distinguish or group its operations on a geographical or any other basis and accordingly has a single reportable operating segment. Management has applied judgment by aggregating its operating segments into one single reportable segment for disclosure purposes. Such judgment considers the nature of the operations and an expectation of operating segments within a reportable segment with similar long-term economic characteristics.

The Company's Chief Executive Officer is the chief operating decision-maker and regularly reviews the Company's operations and performance on an aggregate basis. The Company does not have any significant customers or any significant groups of customers.

The Company presents one reportable operating segment as the entirety of the Company's non-current assets are domiciled in Norway and the entirety of the Company's revenue is generated from its operations in Norway. While non-operating liabilities and equity financing activities are primarily located in North America, this geographic distinction does not alter the conclusion that the Company has a single reportable segment.

**5.** **REVENUE** 

The Company derives its revenue from contracts with customers for the transfer of services. The provision of digital asset mining services as well as hosting services to third parties are recognized over time.

The Company's hosting revenue is exclusively derived from two customers in 2024. The reliance on these two customers for all hosting revenue creates a concentration risk. Any material change in the business relationship with these customers, including a significant reduction or loss of revenue, could have a material adverse effect on the Company's operating results and cash flows.

**6.** **DIRECT COSTS** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | | | For the 9 | For the 9 |
|  | | | | months ended | months ended |
| | For the 3<br>months ended<br>30-Jun-25 | For the 9<br>months ended<br>30-Jun-25 | For the 3<br>months ended<br>30-Jun-24 | 30-Jun-24 | 30-Jun-24 |
|  |  | $— | $— | $— | $|
| Depreciation of tangible assets |  |  |  |  | 8651991 |
| Utilities |  |  |  |  | 7997399 |
| Amortization of right-of-use assets |  |  |  |  | 777070 |
| Remote monitoring and support services |  |  |  |  | 400318 |
| Salaries and wages |  |  |  |  | 127405 |
| Small equipment rental |  |  |  |  | 317818 |
| Mining operations |  |  |  |  | 203 |
|  |  |  |  |  | 18272204 |

---

Page **9** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**7.** **ADMINISTRATIVE EXPENSES** 

---

| | | | |
|:---|:---|:---|:---|
| | For the 3<br>months ended<br>30-Jun-25 | For the 9<br>months ended<br>30-Jun-25 | For the 3<br>months ended<br>30-Jun-24 |
|  |  | $— | $— |
| Legal fees |  |  |  |
| Professional fees |  |  |  |
| Consulting fees) |  |  |  |
| Travel |  |  |  |
| Subcontracts |  |  |  |
| Insurance |  |  |  |
| Occupancy costs |  |  |  |
| Office and general |  |  |  |
| Settlements and penalties |  |  |  |

---

**8.** **FINANCE COSTS** 

---

| |
|:---|
| Interest on lease liabilities |
| Interest on settlement due |
| Interest on loans and other payables |
| Bank charges |
| Finance income |

---

**9.** **SHARE-BASED EXPENSES** 

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | For the 9 months | For the 9 months |
|  | | | ended | ended |
| | For the 9 months<br>ended | For the 3 months<br>ended | | 30-Jun-24 |
|  | $— | $— | $— | $|
| Restricted stock units issued |  |  |  | 1160853 |
| Stock options issued |  |  |  | 370894 |
|  |  |  |  | 1531747 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion.

Page **10** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**9.** **SHARE-BASED EXPENSES (CONT'D)** 

(a) <u>Restricted stock units (cont'd)</u> 

Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board. The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

---

| | | | |
|:---|:---|:---|:---|
| A continuity of RSUs is as follows: |  |  |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;RSUs<br> Granted | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;RSUs<br> Vested | Amount |
|  | # | # |  |
| September 30, 2023  | 7000000 | 9071233 |  |
| Issued | 49975200 |  |  |
| Vested |  | 25879100 |  |
| Exercised | (22379100) | (22379100) |  |
| September 30, 2024 | 34596100 | 12571233 |  |
| Issued | 56550000 |  |  |
| Vested |  | 54500000 |  |
| Exercised | (25500000) | (25500000) |  |
| June 30, 2025 | 65646100 | 41571233 |  |

---

During the period ended June 30, 2025, share-based compensation expense for the Company's RSUs was $10,200,000 (2024 - $4,531,394). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the present value of the underlying equity, discounted for lack of marketability and modelling of the restriction period, using the following weighted-average assumptions:

---

| | | | |
|:---|:---|:---|:---|
| | Jan 31, 2025 | Feb 10, 2025 | 29-Jun-25 |
| Estimated stock price at time of grant  | $0.20 | $0.20 | $0.20 |
| Number of periods to exercise, in years |  |  |  |
| Compounded risk-free rate | 2.69% | n/a | n/a |
| Dividend yield | 0.00% | 0.00% | 0.00% |
| Exercise price | $— | $— | $— |
| Volatility | 115% | 115% | 115% |
| Discount for lack of marketability | 12.17% | 0.00% | 0.00% |

---

As at June 30, 2025 a total of 41,571,233 (2024- 12,571,233) RSUs had vested.

**10.** **DIGITAL CURRENCY** 

The Company holds digital currencies, consisting of Bitcoin cryptocurrency, which are accounted for as intangible assets with an indefinite useful life in accordance with IAS 38. The digital currencies are initially recognized at cost and subsequently measured at fair value.

The Company revalues its digital currencies at the end of each reporting period based on their fair value.

Page **11** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**10.** **DIGITAL CURRENCY (CONT'D)** 

The fair value is determined using the quoted price in an active market at the reporting date. Any revaluation gain or loss arising from changes in the fair value is recognized in the consolidated statements of loss and comprehensive loss.

The table below reconciles the opening and ending balances of digital assets in USD:

---

| | |
|:---|:---|
| | Coins |
|  | # |
| Balance, as at September 30, 2023 | 3.66 |
| Cryptocurrency mined, net of pool mining fees  | 293.65 |
| Sold | (259.30) |
| Other | —) |
| Realized loss | —) |
| Revaluation gain |  |
| Balance, as at September 30, 2024 | 38.01 |
| Cryptocurrency mined, net of pool mining fees  | 199.13 |
| Sold | (204.00) |
| Other | (11.97) |
| Realized gain |  |
| Revaluation gain |  |
| Balance, as at June 30, 2025 | 21.17 |

---

In December 2024, the Company received a loan of $917,075 (BTC equivalent - 9.21). In June 2025, the Company repaid the principal amount along with interest of $336,973 totalling to $1,254,048 (BTC equivalent - 11.97).

**11.** **ACQUISITIONS** 

(a) <u>Exanorth AS</u> 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth AS, along with various rights to lease real estate property on which Exanorth AS conducted its operations, for aggregate consideration of $12,556,913. The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.1577 to 1.1761 years; and the dividend yield was set at 0%.

Call options on 66% of Exanorth AS were exercised in conjunction with a Share Purchase Agreement and its subsequent amendments dated October 22, 2021 and included transfers of common shares of the Company, deferred cash consideration, settlement of pre-existing loans, and transaction costs, totaling $8,457,415 in aggregate fair market value.

Page **12** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**11.** **ACQUISITIONS (CONT'D)** 

(a) <u>Exanorth AS (cont'd)</u> 

The remaining 34% was acquired by way of execution of a call option on the remaining 102 shares in Exanorth AS on October 29, 2021 which required the Company to pay $2,547,160 prior to February 25, 2022. Considering the short amount of time before execution of the option and the payment of consideration, no discount was applied.

As part of consideration in the acquisition of the 34%, contingent consideration, dependent on future performance of the Company in the public market, was included and presented as a liability. As the contingent consideration would only result in additional cash consideration to be paid in such an event, management concluded that the acquisition of Exanorth AS had completed.

Its fair value was determined to be $1,552,338 based on a third-party valuation report along with management's best estimate of the likelihood of occurrence of said future performance at the reporting date. The contingent consideration was subsequently revalued to $1,760,547 resulting in a gain of $139,453.

As at September 30, 2024, there has been no further change to the fair value of the contingent consideration, as there have been no changes in the underlying circumstances affecting management's previous estimate of fair value.

(b) <u>Ahold XVIII Oy</u> 

On January 23, 2025, the Company purchased 100 shares of Ahold XVIII Oy, domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

**12.** **LOSS PER SHARE** 

---

| | | |
|:---|:---|:---|
| | For the 3 months<br>ended<br>30-Jun-24 | For the 9 months<br>ended<br>30-Jun-24 |
| Basic net loss per share |  |  |
| &nbsp;&nbsp;&nbsp;Numerator |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss attributable to shareholders) | (4304691) | (7854364) |
| &nbsp;&nbsp;&nbsp;Denominator |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted-average common shares outstanding | 311582563 | 310246797 |
| Basic net loss per share attributable to shareholders) | (0.01) | (0.03) |
| Diluted net loss per share attributable to shareholders | (0.01) | (0.03) |

---

Page **13** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**13.** **INDIRECT TAXES RECOVERABLE** 

Indirect taxes recoverable consists of all accounts tracking value-added taxes payable and recoverable

---

| |
|:---|
| VAT recoverable |
| GST/HST recoverable |
| Advance tax withholding |

---

The VAT recoverable was derived from the business operations of Exanorth. The GST/HST recoverable is derived from the portion of sales taxes paid by Bitzero Blockchain Inc. that are eligible for recovery in connection with its role as a management company providing services to the Company during the periods ended June 30, 2025 and 2024.

Page **14** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise stated) | June 30, 2025 |

---

**14.** **PROPERTY, PLANT AND EQUIPMENT** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| Property, plant and equipment as at June 30, 2025 is as follows: | Property, plant and equipment as at June 30, 2025 is as follows: | Property, plant and equipment as at June 30, 2025 is as follows: | Property, plant and equipment as at June 30, 2025 is as follows: |  |  |  |  |  |
|  | Land | Buildings | Private utilities | Technology<br> infrastructure | Mining equipment | Subtotal | Construction-in-<br> progress | Total |
| **COST** |  |  |  |  |  |  |  |  |
| **Balance, September 30, 2023** |  |  |  |  |  |  |  |  |
| Additions |  |  |  |  |  |  |  |  |
| Translation adjustments and reclassifications |  |  |  |  |  |  |  |  |
| **Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| Additions |  |  |  |  |  |  |  |  |
| **Balance, June 30, 2025** |  |  |  |  |  |  |  |  |
| <br> **ACCUMULATED AMORTIZATION**  |  |  |  |  |  |  |  |  |
| **Balance, September 30, 2023** |  |  |  |  |  |  |  |  |
| Additions |  |  |  |  |  |  |  |  |
| **Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| Additions |  |  |  |  |  |  |  |  |
| **Balance, June 30, 2025** |  |  |  |  |  |  |  |  |
| <br> **ACCUMULATED IMPAIRMENT**  |  |  |  |  |  |  |  |  |
| **Balance, September 30, 2023** |  |  |  |  |  |  |  |  |
| Additions |  |  |  |  |  |  |  |  |
| **Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| Additions |  |  |  |  |  |  |  |  |
| **Balance, June 30, 2025** |  |  |  |  |  |  |  |  |
| <br> **NET BOOK VALUE**  |  |  |  |  |  |  |  |  |
| Balance, September 30, 2023 |  |  |  |  |  |  |  |  |
| Balance, September 30, 2024 |  |  |  |  |  |  |  |  |
| **Balance, June 30, 2025** |  |  |  |  |  |  |  |  |

---

---

| | |
|:---|:---|
| Note (a) | Included in the additions are miners and other assets amounting to $678,138 (2024 - $119,000) received from one of the customers as per the settlement agreement. Refer to **Note 18**. |

---

Page **15** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**15.** **RIGHT-OF-USE ASSETS** 

Exanorth AS previously held a right-of-use asset arises from a contract to lease equipment to be deployed and utilized at the data mining center. This right-of-use asset was depreciated using straight-line method from the commencement date of the lease to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term, which is 34 months. This lease was cancelled as part of the settlement agreement with the customer during the period ended June 30, 2025.

The Company's right-of-use assets also includes office leases entered into by Bitzero ND I, LLC and Bitzero ND II, LLC. These office leases are for the North Dakota office space locations which have been leased for a period of 60 months. The lease for Bitzero ND II, LLC was cancelled during the year ended September 30, 2024. The lease for Bitzero ND I LLC was cancelled during the period ended June 30, 2025.

The following tables summarize the Company's right-of-use assets:

---

| | | | |
|:---|:---|:---|:---|
| *2025*  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening <br> balance  | Additions<br> (dispositions) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Closing <br> balance  |
|  |  | $— | $|
| **COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| **ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| **NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |

---

Page **16** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**15.** **RIGHT-OF-USE ASSETS (CONT'D)** 

---

| | | | |
|:---|:---|:---|:---|
|  | Opening | Additions | Closing |
| *2024* | balance | (dispositions) | balance |
|  |  | $— | $|
| **COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 2692488 |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 289133 |
| &nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
|  |  |  | 2981621 |
| **ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 1926745 |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 118217 |
| &nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
|  |  |  | 2044962 |
| **NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 765743 |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 170916 |
| &nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
|  |  |  | 936659 |

---

**16.** **RELATED PARTY DISCLOSURES** 

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the periods ended June 30, 2025 and 2024, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | For the 3<br> months ended<br> 30-Jun-25 | For the 9<br> months ended<br> 30-Jun-25 | For the 3 <br> months ended<br> 30-Jun-24 | For the 9 <br> months ended<br> 30-Jun-24 | For the 9 <br> months ended<br> 30-Jun-24 |
|  |  | $— | $— | $— | $|
| Compensation paid to key management |  |  |  |  | 461759 |
| Share-based payments |  |  |  |  | 1531747 |
|  |  |  |  |  | 1993506 |

---

Page **17** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**16.** **RELATED PARTY DISCLOSURES (CONT'D)** 

(a) <u>Key management personnel transactions (cont'd)</u> 

As of June 30, 2025 and September 30, 2024, amounts due to related parties consisted of the following:

---

| | | | |
|:---|:---|:---|:---|
|  | | September 30, | September 30, |
| | June 30,<br>2025 | 2024 | 2024 |
|  |  | $— | $|
| Balances included in accounts payable and accrued liabilities |  |  | 93119 |
| Balances included in related party advances |  |  | 66950 |
|  |  |  | 160069 |

---

The balances are unsecured, due on demand and bear no interest.

**17.** **BORROWINGS AND PAYABLES** 

(a) <u>Accounts and other payables</u> 

---

| | | | |
|:---|:---|:---|:---|
| | June 30,<br> 2025 | September 30,<br> 2024 | September 30,<br> 2024 |
|  |  | $— | $|
| Trade payable |  |  | 6312889 |
| Accrued liabilities |  |  | 578127 |
| Wages and remittances payable |  |  | 16540 |
| Settlement amount due, current portion |  |  | 770630 |
| Settlement amount due, non-current portion |  |  | 3038387 |
|  |  |  | 10716573 |

---

The Company entered into a settlement agreement with a customer, for hosting services, relating to deposits received in advance amounting to $5.1M approximately. The deposit related to increase in megawatt supply and related services. The Company has agreed to repay $500,000 in March 2025, $561,680 in upon refund of deposits from the Company's energy provider, and the remaining amount in 27 monthly installments of $150,000 until July 2027; the impact of discounting amounting to $1,252,663 is presented in income statement as a separate line item. (refer Note 18 for other terms of settlement).

Page **18** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**17.** **BORROWINGS AND PAYABLES (CONT'D)** 

(a) <u>Accounts and other payables (cont'd)</u> 

The undiscounted payment schedule, discounted value, and segregation between current and non-current portions of the settlement amount, as at June 30, 2025, are as follows:

---

| | |
|:---|:---|
| Year | Amount |
|  | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2025 | 300000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2026 | 2361680 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2027 | 1450000 |
| Settlement value, undiscounted | 4111680 |
| Discount rate | 20% |
| Settlement value, discounted | 3188101 |
| Current portion | 1676318 |
| Non-current portion | 1511783 |

---

(b) <u>Lease liabilities</u> 

The Company has entered into several lease agreements in accordance with IFRS 16, Leases, pertaining to its right-of-use assets (**Note 15**). As of June 30, 2025, these lease agreements have been cancelled, as described in **Note 15**. A continuity of the leases as of June 30, 2025 is as follows:

---

| |
|:---|
| Opening aggregate lease liability |
| Cancellations) |
| Interest |
| Settlements) |
| Repaid during the year |
| Closing aggregate lease liability |
| Current portion |
| Non-current portion |

---

In November 2024, a loss of $4,680 was recorded on the cancellation of a lease. Additionally, in March 2025, a gain of $1,936,928 was recorded on the cancellation of a separate lease.

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually.

Page **19** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**17.** **BORROWINGS AND PAYABLES (CONT'D)** 

(c) <u>Convertible debentures (cont'd)</u> 

The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") or the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the period end.

**18.** **ACCOUNTS RECEIVABLE** 

Included in accounts receivable as at June 30, 2025 is $54,142 representing the recoverable VAT from unpaid invoices issued to a customer for cryptocurrency mining hosting services provided in fiscal 2024. In March 2025, Exanorth entered into a settlement agreement with this customer. Under this agreement, an amount of $3,064,555, corresponding to the invoiced amounts excluded VAT, was written off as a provision for settlement in fiscal 2024. As part of the terms of the settlement, Exanorth received equipment valued at $678,138 in March 2025.

The remaining balance of $831,187, relating to VAT previously charged, was recognized as a receivable at September 30, 2024, of which $54,142 continues to be outstanding as of June 30, 2025.

---

| |
|:---|
| Total outstanding invoices |
| Allocated to mining assets and VAT recoverable) |
| Loss on settlement) |
| Provision for settlement |
| Balance as at September 30, 2024 |
| Receipt of equipment) |
| Collection of VAT recoverable |
| Balance as at June 30, 2025 |

---

Page **20** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**19. EQUITY**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Authorized share capital</u> 

The Company is authorized to issue an unlimited number of common shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Issued and outstanding share capital</u> 

---

| | | |
|:---|:---|:---|
| Share issuances | Shares | Share capital |
|  | # | $|
| Balance as at September 30, 2023 | 309582563 | 76931052 |
| June 4, 2024 | 7000000 | 1160853 |
| September 6, 2024 | 1000000 | 200000 |
| September 12, 2024 | 15379100 | 3370541 |
|  | 23379100 | 4731394 |
| Balance as at September 30, 2024 | 332961663 | 81662446 |
| October 1, 2024 | 14500000 | 2900000 |
| October 2, 2024 | 3000000 | 657491 |
| October 17, 2024 | 1250000 | 250000 |
| October 21, 2024 | 3500000 | 700000 |
| November 28, 2024 | 265000 | 53000 |
| December 11, 2024 | 2750000 | 550000 |
| December 16, 2024 | 1500000 | 300000 |
| February 12, 2025 | 10000000 | 2000000 |
| February 14, 2025 | 22500000 | 4500000 |
| February 20, 2025 | 500000 | 100000 |
| April 1, 2025 | 1983602 | 794335 |
|  | 61748602 | 12804826 |
| Balance as at June 30, 2025 | 394710265 | 94467272 |

---

During the period ended June 30, 2025, the Company issued 61,748,602 new shares (2024 – 23,379,100), increasing its share capital by $12,804,826 (2024 - $4,731,394). Details regarding the share issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| Exercised RSUs | 25500000 |  |  |  | 5157491 |
| Exercised Options | 1983602 |  |  |  | 794335 |
| Advisory shares | 750000 |  |  |  | 150000 |
| Subscriptions | 33515000 |  |  |  | 6703000 |
|  | 61748602 |  |  |  | 12804826 |

---

Page **21** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**19.** **EQUITY (CONT'D)** 

(c) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

A summary of the stock options is as follows:

---

| | | | |
|:---|:---|:---|:---|
| |<br>Number | Weighted-<br>average exercise<br>price |<br>Amount |
|  | # |  | $— |
| Balance, September 30, 2023 | 31558255 |  |  |
| Granted, July 7, 2024 | 500000 |  |  |
| Cancelled | (20994320) |  |  |
| Balance, September 30, 2024 | 11063935 |  |  |
| Exercised | (1983602) |  |  |
| Balance, June 30, 2025 | 9080333 |  |  |
| Outstanding and exercisable | 8580333 |  |  |
| Vesting | Options |  |  |
| Conditions | outstanding |  |  |
|  | # |  | $— |
| Immediately | 2130333 |  |  |
| 1/3 per year from grant date | 3050000 |  |  |
| Immediately | 1700000 |  |  |
| Immediately | 1500000 |  |  |
| Immediately | 200000 |  |  |
| Subsidiary reaches revenue of EUR 4 million | 500000 |  |  |
| Outstanding, June 30, 2025 | 9080333 |  |  |
| Exercisable, June 30, 2025 | 8580333 |  |  |

---

**20.** **CONTINGENT LIABILITIES** 

In addition to the matter outlined in **Note 16(c)**, the Company is involved in the following legal proceedings.

The Company filed a lawsuit against its former CEO, for employment-related matters. The Company seeks to cancel the issuance of shares and other equity instruments in the Company. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

Page **22** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**20.** **CONTINGENT LIABILITIES (CONT'D)** 

On February 7, 2024, a lawsuit was filed in North Dakota against the Company alleging breach of an unsigned employment contract, with claims totaling $1,258,567 plus interest and costs. The Company is contesting the matter, and the outcome cannot presently be determined.

On May 14, 2025, a construction lien dispute was filed in North Dakota seeking $131,545 for work performed prior to the Company's property acquisition. The claim is being disputed, and the parties are currently engaged in settlement discussions.

Management has concluded that the outcome of these proceedings cannot be determined and no provisions have been recorded.

**21.** **FINANCIAL INSTRUMENTS** 

(a) <u>Classes and categories of financial instruments and their fair values</u> 

The following table combines information about: (i) Classes of financial instruments based on their nature and characteristics, (ii) The carrying amounts of financial instruments, (iii) Fair values of financial instruments (except financial instruments when carrying amount approximates their fair value), and (iv) Fair value hierarchy levels of financial assets and financial liabilities for which fair value was disclosed.

Fair value hierarchy levels 1 to 3 are based on the degree to which the fair value is observable: (i) Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities, (ii) Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices), and (iii) Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

*Financial assets*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | FVTPL - | | | | |
|  | | mandatorily | | FVOCI - | Amortized | Amortized |
| *2025* | Level | measured | FVOCI | designated | cost | cost |
|  |  |  | $— | $— | $— | $|
| Accounts receivable | N/A |  |  |  |  | 55783 |
| Cash and cash equivalents | N/A |  |  |  |  | 228011 |
|  |  |  |  |  |  | 283794 |
|  |  |  |  |  |  | Amortized |
| *2024* | Level |  |  |  |  | cost |
|  |  |  | $— | $— | $— | $|
| Accounts receivable | N/A |  |  |  |  | 1509325 |
| Cash and cash equivalents | N/A |  |  |  |  | 687226 |
|  |  |  |  |  |  | 2196551 |

---

Page **23** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**21.** **FINANCIAL INSTRUMENTS (CONT'D)** 

*Financial liabilities*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  | | FVTPL - | | |
|  |  | FVTPL - | mandatorily | Amortized | Amortized |
| *2025* | Level | designated | measured | cost | cost |
|  | # |  | $— | $— | $|
| Accounts and other payables | N/A |  |  |  | 6706344 |
| Settlement liability | N/A |  |  |  | 1511783 |
| Contingent consideration payable | Level 2, Note 12 |  |  |  |  |
| Related party advances | N/A |  |  |  | 148571 |
| Convertible debentures | N/A |  |  |  | 1520845 |
|  |  |  |  |  | 9887543 |
|  |  |  |  |  | Amortized |
| *2024* | Level |  |  |  | cost |
|  | # |  | $— | $— | $|
| Accounts and other payables | N/A |  |  |  | 7678186 |
| Settlement liability | N/A |  |  |  | 3038387 |
| Contingent consideration payable | Level 2, Note 12 |  |  |  |  |
| Lease liability | N/A |  |  |  | 2117539 |
| Related party advances | N/A |  |  |  | 66950 |
| Convertible debentures | N/A |  |  |  | 1364013 |
|  |  |  |  |  | 14265075 |

---

(b) <u>Transfers</u> 

There were no transfers between Level 1, 2 and 3 during the current or prior period.

(c) <u>Financial risk management</u> 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low.

*Risk management framework*

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework. The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

Page **24** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**21.** **FINANCIAL INSTRUMENTS (CONT'D)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Financial risk management (cont'd)</u>

*Liquidity risk*

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk is $12,048,090 as at June 30, 2025 (September 30, 2024 – $16,025,622), for which the Company has cash of $228,011 on hand to satisfy its liabilities (2024 – $687,226). There have been no changes to the method for managing liquidity risk.

*Credit risk*

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. No allowance for doubtful accounts was recorded in 2025 or 2024. Provisions were recognized for invoices to hosting customers considered uncollectible during 2024.

Cash and cash equivalents are held with reputable financial institutions. Counterparty exposure is monitored and considered low. Digital currencies are not financial assets and are outside expected credit loss measurement. Credit exposure is considered low as the Company extracts digital currencies from its mining pool on a daily basis. Prepaids and deposits consist of advances to vendors and refundable deposits. Counterparties are assessed and monitored, and no loss allowance has been recognized.

*Market risk*

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk*

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency. Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities.

Page **25** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**21.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(c) <u>Financial risk management (cont'd)</u> 

*Foreign currency risk (cont'd)*

The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate. The effectiveness of these hedging instruments is assessed regularly. However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

*Interest rate risk*

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk*

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk*

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk*

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held.

Page **26** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**21.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(c) <u>Financial risk management (cont'd)</u> 

*Loss of access risk (cont'd)*

To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

Management reviews recoverability regularly. As of June 30, 2025, 21.17 Bitcoin equivalent to$2,180,273 is held in private wallets (September 30, 2023 – 38.01 Bitcoin equivalent to $2,490,936).

**22.** **CAPITAL MANAGEMENT** 

The Company defines capital as its equity. The Company's objective when managing capital is: (i) to safeguard the ability to continue as a going concern so that it can continue to provide returns to shareholders and benefits to other stakeholders; and (ii) to provide an adequate return to shareholders by obtaining an appropriate amount of financing commensurate with the level of risk. The Company sets the amount of capital in proportion to the risk. The Company manages its capital structure and adjusts in light of the changes in economic conditions and the characteristic risk of underlying assets.

To maintain or adjust the capital structure, the Company may repurchase shares, return capital to shareholders, issue new shares, or sell assets to reduce debt. The Company's objective is met by retaining adequate liquidity to provide for the possibility that cash flows from assets will not be sufficient to meet operational, investing, and financing requirements. There have been no changes to the Company's capital management policies during the period ended June 30, 2025.

**23.** **SUBSEQUENT EVENTS** 

(a) <u>Direct subscriptions</u> 

During the period from August to October of 2025, the Company issued 3,021,750 common shares at $0.20 and $0.40 per share, raising a total of $808,700.

(b) <u>Share-based settlement</u> 

On July 28, 2025, the Company issued 63,907 common shares in connection to a settlement agreement with an existing shareholder at a stated price of $0.60 per share.

(c) <u>Private placements</u> 

Between August and October 2025, the Company closed brokered private placements totaling 2,937,500 units for gross proceeds of $1,175,000. Each unit comprises one convertible debenture and one common share purchase warrant. The convertible debentures bear interest at 15 percent per annum from issuance to the earlier of holder-elected conversion or three years from the date of issuance and are convertible into one common share at $0.40 per share.

Page **27** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**23.** **SUBSEQUENT EVENTS (CONT'D)** 

(c) <u>Private placements (cont'd)</u> 

Each warrant entitles the holder to acquire one common share at an exercise price of $0.50 per share for two years from the date of issuance.

Between August and October 2025, the Company closed a brokered private placement totalling 3,750,000 units for gross proceeds of $1,500,000. Each unit comprises one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of $0.40 per share for 2 years from the date of issuance.

(d) <u>Issuance of RSUs</u> 

In September and October 2025, the Company granted 12,330,000 RSUs at a stated price of $0.40 per unit, with each unit being convertible into one common share upon exercise by the holder. The RSUs vest upon completion of the reverse takeover of the Company.

(e) <u>Issuance of convertible debt</u> 

In October 2025, the Company issued convertible debentures for gross proceeds totalling $2,853,990. The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

(f) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

An additional delayed draw facility of up to $8,240,000 is available at the lenders' discretion; lenders are not obligated to fund any delayed draw, and any advance, if elected by the lenders, is subject to (i) timely delivery of a borrowing notice, (ii) the total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

In connection with the financing, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 common shares (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

Page **28** of **29**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise stated) | **BLOCKCHAIN INC.** |
|  | June 30, 2025 |

---

**23.** **SUBSEQUENT EVENTS (CONT'D)** 

(g) <u>Contingent consideration</u> 

Subsequent to the reporting date, there have been no changes to status of the settlement with a shareholder. The contingent consideration described in **Note 11** remains outstanding, the SPA has not been executed, the kr 2,000,000 ($190,335) cash payment has not been made, and the transfer of KlimaCloud shares has not occurred.

Page **29** of **29**

**BITZERO BLOCKCHAIN INC.**

Consolidated Financial Statements

For the years ended September 30, 2024 and 2023

(expressed in United States Dollars, unless otherwise stated)

---

| | |
|:---|:---|
| **Table of contents** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

---

| | |
|:---|:---|
| Independent Auditor's Report | 3-5 |
| Consolidated Statements of Loss and Comprehensive Loss | 6 |
| Consolidated Statements of Financial Position | 7 |
| Consolidated Statements of Changes in Shareholder's Equity | 8 |
| Consolidated Statements of Cash Flows | 9 |
| Notes to the Consolidated Financial Statements | 10-50 |

---

Page **2** of **50**

---

| | |
|:---|:---|
| ![](img018_v2.jpg) | <br> **SRCO Professional Corporation**<br> **Chartered Professional Accountants**<br> **Licensed Public Accountants** <br> Park Place Corporate Centre<br> 15 Wertheim Court, Suite 409 <br> Richmond Hill, ON L4B 3H7, Canada<br>Tel: 905 882 9500 & 416 671 7292 <br> Fax: 905 882 9580 <br> Email: info@srco.ca <br> www.srco.ca |

---

**INDEPENDENT AUDITOR'S REPORT**

**To the Shareholders of Bitzero Blockchain Capital Inc.**

***Opinion***

We have audited the consolidated financial statements of Bitzero Blockchain Capital Inc. and its subsidiaries (the "Company"), which comprise the consolidated statements of financial position as at September 30, 2024 and 2023, the consolidated statements of loss and comprehensive loss, changes in shareholders' equity, and cash flows for the years then ended, and notes to the consolidated financial statements, including material accounting policy information (collectively referred to as the "consolidated financial statements").

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at September 30, 2024, and 2023, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).

***Basis for Opinion***

We conducted our audits in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the *Auditor's Responsibilities for the Audit of the Consolidated Financial Statements* section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audits of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

***Material Uncertainty Related to Going Concern***

We draw attention to Note 3 to the consolidated financial statements, which indicates that the Company incurred a loss, and had a working capital deficit and an accumulated deficit. As stated in Note 3, these events or conditions, along with other matters as set forth in Note 3, indicate that material uncertainties exist that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

***Other Information***

Management is responsible for the other information. The other information comprises the information included in the Management's Discussion and Analysis but does not include the consolidated financial statements and our auditor's report thereon. Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(continues)*

Page **3** of **50**

![](img018_v2.jpg)

**Independent Auditor's Report to the Shareholders of Bitzero Blockchain Capital Inc.** *(continued)*

***Other Information*** *(continued)*

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated

We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

***Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements***

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS as issued by the IASB, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Company's financial reporting process.

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements***

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

*(continues)*

Page **4** of **50**

![](img018_v2.jpg)

**Independent Auditor's Report to the Shareholders of Bitzero Blockchain Capital Inc.** *(continued)*

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements*** *(continued)*

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

● Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

● Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

● Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

● Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial information of the entities or business units within the Company as a basis for forming an opinion on the consolidated financial statements. We are responsible for the direction, supervision and review of the audit work performed for purposes of the group audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

CHARTERED PROFESSIONAL ACCOUNTANTS

Richmond Hill, Canada November 17, 2025 Authorized to practice public accounting by the Chartered Professional Accountants of Ontario

*(continues)*

Page **5** of **50**

---

| | | |
|:---|:---|:---|
| **Consolidated statements of loss and comprehensive loss** | **Consolidated statements of loss and comprehensive loss** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** | **BLOCKCHAIN INC.** |
| *For the years ended* | September 30, 2024 and 2023 | September 30, 2024 and 2023 |

---

---

| | |
|:---|:---|
| | Note |
| Revenue from digital assets mined | 7 |
| Revenue from hosting services | 7 |
| Direct costs | 8 |
| Administrative expenses | 9 |
| Finance costs | 10 |
| Marketing expenses |  |
| Operating loss before other items |  |
| Share-based expenses | 11, 20 |
| Foreign exchange gain) |  |
| Realized loss on disposal of assets |  |
| Realized (gain) loss from sale of digital currency | 12) |
| Loss on contract settlement | 22 |
| Provision for contract settlement | 22 |
| Present value impact on discounting of settlement liability | 21(a) |
| Loss before income taxes |  |
| Income tax | 14 |
| **Net loss** |  |
| Revaluation gains on digital currency | 12) |
| Loss on translation of foreign operations |  |
| **Total comprehensive loss** |  |
| &nbsp;&nbsp;&nbsp;**Loss per share** <br> Basic  | 15) |
| &nbsp;&nbsp;&nbsp;Diluted | 15 |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **6** of **50** |

---

---

| | |
|:---|:---|
| **Consolidated statements of financial position** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
| *As at* | September 30, 2024 and 2023 |

---

---

| | |
|:---|:---|
| | Note |
| **ASSETS** |  |
| &nbsp;&nbsp;&nbsp;*Non-current* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property, plant and equipment | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction in progress | 16, 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Right-of-use assets | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits, non-current portion |  |
| &nbsp;&nbsp;&nbsp;*Current* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Digital currency | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents |  |
| **TOTAL ASSETS** |  |
| **EQUITY AND LIABILITIES** |  |
| &nbsp;&nbsp;&nbsp;*Equity* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Debenture reserve | 20(c) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated losses |  |
| &nbsp;&nbsp;&nbsp;*Total equity* |  |
| &nbsp;&nbsp;&nbsp;*Non-current liabilities* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, non-current portion | 21(a) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability, non-current portion | 21(b) |
| &nbsp;&nbsp;&nbsp;*Current liabilities* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables | 20(a), 21(a) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent consideration payable | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability, current portion | 21(b) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Related party advances | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Convertible debentures | 20(c) |
| &nbsp;&nbsp;&nbsp;*Total liabilities* |  |
| **TOTAL EQUITY AND LIABILITIES** |  |
| GOING CONCERN | 3(b) |
| CONTINGENT LIABILITIES | 24 |
| SUBSEQUENT EVENTS | 27 |

---

APPROVED ON BEHALF OF THE BOARD

*Mohammed Salah S. Bakhashwain*

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **7** of **50** |

---

---

| | | | |
|:---|:---|:---|:---|
| **Consolidated statements of changes in shareholder's equity** |  |  | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) |  | **BLOCKCHAIN INC.** | **BLOCKCHAIN INC.** |
| *For the years ended* | September 30, 2024 and 2023 | September 30, 2024 and 2023 | September 30, 2024 and 2023 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | <br>Note |<br>Share<br>capital |<br>Contributed<br>surplus |<br>Debenture<br>reserve |
|  |  |  | $— |  |
| Balance, at September 30, 2022 |  |  |  |  |
| Share based expenses | 11, 20(a) |  |  |  |
| Total comprehensive loss for the year |  |  |  |  |
| Balance at September 30, 2023 |  |  |  |  |
| Share based expenses | 11, 20(a) |  |  |  |
| Exercised RSUs | 11, 23) |  |  |  |
| Shares issued in settlement | 23 |  |  |  |
| Total comprehensive loss for the year |  |  |  |  |
| Balance, at September 30, 2024 |  |  |  |  |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **8** of **50** |

---

---

| | | | |
|:---|:---|:---|:---|
| **Consolidated statements of cash flows** |  |  | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** | **BLOCKCHAIN INC.** |
| *For the years ended* | September 30, 2024 and 2023 | September 30, 2024 and 2023 | September 30, 2024 and 2023 |

---

---

| |
|:---|
| **CASH USED IN OPERATING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Net loss for the year) |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash items:* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based expenses |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of the right-of-use-asset |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of property, plant and equipment |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on contract settlement |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for contract settlement |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Present value impact on discounting of settlement liability) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on lease |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cancellation of lease liability |
| &nbsp;&nbsp;&nbsp;Operating cash flow before changes in non-cash working capital |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash working capital:* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable) |
| &nbsp;&nbsp;&nbsp;&nbsp;Digital currencies) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent consideration payable) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Convertible debentures |
| **CASH FROM INVESTING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Purchase of property, plant and equipment) |
| &nbsp;&nbsp;&nbsp;Proceeds on sale of digital assets |
| **CASH FROM (USED IN) FINANCING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Lease liabilities) |
| &nbsp;&nbsp;&nbsp;Related party advances - repaid |
| **Net change in cash and cash equivalents** |
| Cash and cash equivalents, beginning of year |
| Effects of exchange rate changes on cash and cash equivalents |
| Cash and cash equivalents, end of year |
| **Supplementary information** |
| &nbsp;&nbsp;&nbsp;Interest paid |
| &nbsp;&nbsp;&nbsp;Non-cash settlements |
| &nbsp;&nbsp;&nbsp;Shares issued for debt settlement |
| &nbsp;&nbsp;&nbsp;Acquisition of equipment as part of settlement |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **9** of **50** |

---

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**1.** **GENERAL INFORMATION** 

Bitzero Blockchain Inc. (the "Company" or "Bitzero"), was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 925-1000 Cathedral Place, West Georgia Street, Vancouver, British Columbia V6C 3L2 Canada.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity controlled by Bitzero Blockchain Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

**2.** **ADOPTION OF NEW AND REVISED STANDARDS** 

(a) <u>New and amended IFRS Accounting Standards that are effective for the current year</u> 

Adoption of the following new and revised IFRS Accounting Standards that have been issued and were effective in the periods presented did not have a material impact on the consolidated financial statements of the Company in the current or prior period:

*Annual Improvements (2018-2020 Cycle) to IFRS 9 Financial Instruments*

*Amendments to IFRS 3 Business Combinations RE: Reference to the Conceptual Framework Amendments to IAS 16 Property, Plant and Equipment RE: Proceeds before Intended Use Amendments to IAS 37 Provisions, Contingent Liabilities and Contingent Assets RE:*

*Onerous Contracts—Cost of Fulfilling a Contract*

*Amendments to IAS 12 Deferred tax assets*

(b) <u>New and revised IFRS Accounting Standards in issue but not yet effective</u> 

At the date of authorisation of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

*IFRS 18: Presentation and Disclosure in Financial Statements*

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

Page **10** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**2.** **ADOPTION OF NEW AND REVISED STANDARDS (CONT'D)** 

(b) <u>New and revised IFRS Accounting Standards in issue but not yet effective (cont'd)</u> 

*Amendments to IAS 1 Classification of Liabilities as Current or Non-current and Non-current Liabilities with Covenants*

The amendments to IAS clarify that the classification of liabilities is based on the rights that exist at the end of the reporting period and provides further guidance pertaining to the effect covenants have on classification and related disclosures.

Application for the amendments to IAS 1 Classification of Liabilities as Current or Non-current are required for annual reporting periods beginning on or after January 1, 2024. The Company has applied this standard effective October 1, 2024.

*Amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements*

The amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements adds disclosures that enable users to assess the effects of supplier finance arrangements on liabilities and cash flows, including terms, amounts outstanding and related liquidity risk information.

Application for the amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements are required for annual reporting periods beginning on or after January 1, 2024. The Company has applied this standard effective October 1, 2024.

The directors do not expect that the adoption of the Standards listed above will have a material impact on the consolidated financial statements of the Company in future periods.

**3.** **BASIS OF PREPARATION** 

(a) <u>Statement of compliance</u> 

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS"), including as issued by the International Accounting Standards Board ("IASB"). IFRS includes both the International Financial Reporting Standards and the International Accounting Standards ("IAS"). The accounting policies set out below have been applied consistently to both years.

These consolidated financial statements, including their comparative figures, were approved and authorized for issue by the Board of Directors on November 16, 2025.

These consolidated financial statements have been prepared on an accrual basis and are based on historical cost basis except for a certain financial instrument which is measured at fair value, as explained in the accounting policy information below. In addition, these consolidated financial statements have been prepared using the accrual basis of accounting except for cash flow information.

Page **11** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**3.** **BASIS OF PREPARATION (CONT'D)** 

(b) <u>Going concern</u> 

The directors have, at the time of approving the consolidated financial statements, a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the consolidated financial statements.

As at September 30, 2024, the Company had an accumulated deficit of $65,031,486 (2023 – $53,752,837) and has a working capital deficiency of $7,705,167 (2023 – $4,597,558). The Company has not yet been able to generate positive cash flows from operations. Whether and when the Company can generate sufficient cash flows to pay for its expenditures and settle its obligations as they fall due is uncertain.

To address the going concern risk, the Company continues to seek equity financing alternatives to support ongoing operations, monitor general and administrative expenses compared to budget, and optimize its operating processes. Further details regarding subsequent equity raises are provided in **Note 27**.

(c) <u>Basis of consolidation</u> 

These consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee.

Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity.

The accounting policies of subsidiaries are the same as those of the Company.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;Subsidiary | &nbsp;&nbsp;Ownership at 30-Sep-24 | &nbsp;&nbsp;Ownership at 30-Sep-23 | &nbsp;&nbsp;Country of incorporation |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Bitzero ND II | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |

---

(d) <u>Presentation and functional currency</u> 

These consolidated financial statements are presented in United States Dollars ("$"), which is the Company's functional currency. Foreign operations are included in accordance with the policies set out in **Note 4**. The functional currency of all subsidiaries is the United States Dollar except for Exanorth, whose functional currency is the Norwegian Krone ("kr").

Page **12** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION** 

(a) <u>Revenue recognition</u> 

Revenue is recorded at an amount that reflects the consideration to which the entity expects to be entitled in exchange for transferring goods or services to a customer.

The principles in IFRS 15 are applied using the following five steps:

● Identify the contract(s) with a customer

● Identify the performance obligation in the contract

● Determine the transaction price

● Allocate the transaction price to the performance obligations in the contract

● Recognize revenue when (or as) the entity satisfies a performance obligation

The Company has concluded that the recognition and measurement of the sale of products in all contracts is consistent with the current revenue recognition practice and therefore does not expect any transitional adjustment.

The Company may participate in third-party mining pools. Rewards are determined based on the pool's payout methodology (e.g., PPS/FPPS/Proportional) by reference to the Company's contributed hash rate. Settlements are typically made periodically after network confirmation. Pool operator fees are presented gross in revenue with fees recorded in direct costs on account of the Company acting as a principal in the transaction.

Consideration for validating transactions may comprise a block reward and transaction fees. Where the pool separately identifies transaction fees and block rewards, the Company records such fees within mining revenue and presents them separately when material. Where the payout is provided as a blended amount and a reliable separation is impracticable or the cost would be excessive, the Company records the total as mining revenue and describes the basis for presentation.

The Company does not engage in non-monetary transactions where assets or services received are settled in cryptocurrencies.

*Hosting revenue*

The Company hosts and provides energized space and operating and maintenance services to third-party mining companies who locate their mining hardware at its data centers. The Company accounts for these agreements as a single performance obligation for services being delivered in a series with delivery being measured by monthly hosting fees of the mining hardware. As such, the Company recognizes revenue over the life of the contract as its series of distinct services are performed over the term of the contracts with its customers. The Company has determined that the contracts do not contain a significant financing component because the expected length of time between the transfer of services and receipt of consideration is less than one year, which are typically one month or less.

For certain contracts, the Company may also be entitled to a monthly non-cash profit-sharing fee, which is primarily based on the actual amount of Bitcoin mined by the customer's hosted mining equipment during the month. The rate of profit sharing is determined at inception of the contract with subsequent amendments, as applicable, and non-cash consideration is generally paid in Bitcoin.

Page **13** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(a) <u>Revenue recognition (cont'd)</u> 

*Hosting revenue (cont'd)*

Non-cash consideration is measured at fair value at contract inception with changes in fair value attributable to reasons other than the form of consideration (other than price of Bitcoin) measured as variable consideration (subject to the constraint on variable consideration) and recognized as hosting services are performed. This amount is recognized in revenue as services are performed.

Changes in fair value of the non-cash consideration related for reasons other than changes in form are recognized at the end of each month as the related uncertainly is resolved and amount becomes known.

*Mining revenue*

The Company recognizes revenue from the provision of transaction confirmation services for digital currency blockchains, commonly termed "digital asset mining" or "cryptocurrency mining". As consideration for these services, the Company receives digital currency from each specific blockchain in which it participates ("coins"). Revenue is measured based on the fair value of the coins received. The fair value is determined using the spot price of the coin on the date of mining, based on the daily average from CoinMarket Cap for Bitcoin. A coin is considered earned on the completion and addition of a block to the blockchain, at which time the economic benefit is received and can be reliably measured.

(b) <u>Digital assets</u> 

The Company accounts for its digital currencies on hand at the end of a reporting period, if any, under IAS 38, *Intangible Assets*, as an intangible asset with an indefinite useful life initially measured at cost, deemed to be the fair value upon receipt, and subsequently measured under the revaluation model.

Under the revaluation model, increases in the digital currencies' carrying amount is recognized in other comprehensive income and under accumulated other comprehensive income/ (loss) in equity, while decreases are recorded in the consolidated statements of income or loss and comprehensive income or loss. However, increases are recognized in profit or loss to the extent that it reverses a revaluation decrease of digital currencies previously recognized in profit or loss. There is no recycling of gains from other comprehensive income or loss in the consolidated statements of income or loss and comprehensive income or loss, except to the extent that an increase in fair value reverses a previous decrease in fair value that has been recorded in the consolidated statements of income or loss and comprehensive income or loss, that increase is recorded in the consolidated statements of income or loss and comprehensive income or loss. The fair value of digital currencies on hand at the end of the reporting period is calculated as the quantity of digital currencies on hand multiplied by the price quoted on CoinMarket Cap as at the reporting date.

Any difference between the fair value of the digital currencies recorded upon receipt from mining activities, purchases or profit-sharing arrangements and the actual realized price upon disposal are recorded as gain or loss on sale of digital currencies.

Page **14** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(b) <u>Digital assets (cont'd)</u> 

The Company has continued to classify digital currencies on hand at the end of the year as current assets as management has determined that cryptocurrency markets have sufficient liquidity to allow conversion within the Company's normal operating cycle.

(c) <u>Leases</u> 

The Company assesses whether a contract is, or contains, a lease, at inception of the contract. The Company recognises a right-of-use asset and a corresponding lease liability with respect to all lease arrangements in which it is the lessee, except for short-term leases (defined as leases with a lease term of 12 months or less) and leases of low value assets (such as tablets and personal computers, small items of office furniture and telephones).

For these leases, the Company recognises the lease payments as an operating expense on a straight-line basis over the term of the lease unless another systematic basis is more representative of the time pattern in which economic benefits from the leased assets are consumed.

The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted by using the rate implicit in the lease. If this rate cannot be readily determined, the Company uses its incremental borrowing rate.

The incremental borrowing rate depends on the term, currency and start date of the lease and is determined based on a series of inputs including: the risk-free rate based on government bond rates; a country-specific risk adjustment; a credit risk adjustment based on bond yields; and an entity-specific adjustment when the risk profile of the entity that enters into the lease is different to that of the Company and the lease does not benefit from a guarantee from the Company.

Lease payments included in the measurement of the lease liability comprise (i) Fixed lease payments (including in-substance fixed payments), less any lease incentives receivable (ii) Variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date (iii) The amount expected to be payable by the lessee under residual value guarantees (iv) The exercise price of purchase options, if the lessee is reasonably certain to exercise the options, and (vi) Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease.

The lease liability is subsequently measured by increasing the carrying amount to reflect interest on the lease liability (using the effective interest method) and by reducing the carrying amount to reflect the lease payments made.

The Company remeasures the lease liability (and makes a corresponding adjustment to the related right-of-use asset) whenever: (i) The lease term has changed or there is a significant event or change in circumstances resulting in a change in the assessment of exercise of a purchase option, in which case the lease liability is remeasured by discounting the revised lease payments using a revised discount rate (ii) The lease payments change due to changes in an index or rate or a change in expected payment under a guaranteed residual value, in which cases the lease liability is remeasured by discounting the revised lease payments using an unchanged discount rate (unless the lease payments change is due to a change in a floating interest rate, in which case a revised discount rate is used), and (iii) A lease contract is modified and the lease modification is not accounted for as a separate lease, in which case the lease liability is remeasured based on the lease term of the modified lease by discounting the revised lease payments using a revised discount rate at the effective date of the modification.

Page **15** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(c) <u>Leases (cont'd)</u> 

The Company did not make any such adjustments during the periods presented.

The right-of-use assets comprise the initial measurement of the corresponding lease liability, lease payments made at or before the commencement day, less any lease incentives received and any initial direct costs. They are subsequently measured at cost less accumulated amortization and impairment losses.

Right-of-use assets are amortized over the shorter period of lease term and useful life of the right-of-use asset. If a lease transfers ownership of the underlying asset or the cost of the right-of-use asset reflects that the Company expects to exercise a purchase option, the related right-of-use asset is amortized over the useful life of the underlying asset. The amortization starts at the commencement date of the lease.

The Company applies IAS 36 Impairment of Assets to determine whether a right-of-use asset is impaired and accounts for any identified impairment loss as described in Policy (h) below which is *Impairment of non-financial assets*.

For contracts that contain a lease component and one or more additional lease or non-lease components, the Company allocates the consideration in the contract to each lease component on the basis of the relative stand-alone price of the lease component and the aggregate stand-alone price of the non-lease components.

(d) <u>Foreign currencies</u> 

Transactions undertaken in foreign currencies are translated into US dollars at daily exchange rates prevailing when the transactions occur. Monetary assets and liabilities denominated in foreign currencies are translated at period-end exchange rates and non-monetary items are translated at historical exchange rates.

Realized and unrealized exchange gains and losses are recognized in the consolidated statements of comprehensive income or loss. The assets and liabilities of foreign operations are translated into US dollars using the period-end exchange rates. Income, expenses, and cash flows of foreign operations are translated into US dollars using average exchange rates. Exchange differences resulting from the translation of foreign operations into US dollars are recognized in other comprehensive income or loss and accumulated in equity.

(e) <u>Borrowing costs</u> 

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale. All other borrowing costs are recognised in the consolidated statement of loss and comprehensive loss in the period in which they are incurred.

No borrowing costs were capitalized for the years ended September 30, 2024 and 2023.

Page **16** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(f) <u>Taxation</u> 

The income tax expense represents the sum of current and deferred income tax expense.

*Current tax*

The tax currently payable is based on taxable profit for the year.

Taxable profit differs from net profit as reported in the consolidated statement of loss and comprehensive loss because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The Company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

A provision is recognised for those matters for which the tax determination is uncertain but it is considered probable that there will be a future outflow of funds to a tax authority. The provisions are measured at the best estimate of the amount expected to become payable.

The assessment is based on the judgement of tax professionals within the parent company supported by previous experience in respect of such activities and in certain cases based on specialist independent tax advice.

*Deferred tax*

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the consolidated financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted for using the liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilized.

Such assets and liabilities are not recognised if the temporary difference arises from the initial recognition (other than in a business combination) of other assets and liabilities in a transaction that affects neither the taxable profit nor the accounting profit. In addition, a deferred tax liability is not recognised if the temporary difference arises from the initial recognition of goodwill.

Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries and associates, and interests in joint ventures, except where the Company is able to control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future.

Deferred tax assets arising from deductible temporary differences associated with such investments and interests are only recognised to the extent that it is probable that there will be sufficient taxable profits against which to utilise the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Page **17** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(f) <u>Taxation (cont'd)</u> 

*Deferred tax (cont'd)*

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised based on tax laws and rates that have been enacted or substantively enacted at the reporting date.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis.

*Current tax and deferred tax for the year*

Current and deferred tax are recognised in the consolidated statement of loss and comprehensive loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case the current and deferred tax are also recognised in other comprehensive income or directly in equity respectively. Where current tax or deferred tax arises from the initial accounting for a business combination, the tax effect is included in the accounting for the business combination.

(g) <u>Property, plant and equipment</u> 

Property, plant and equipment is carried at cost, less accumulated depreciation and accumulated impairment, if any. Cost includes professional fees and, for qualifying assets, borrowing costs capitalised in accordance with the Company's accounting policy.

Depreciation of these assets, determined on the same basis as other property assets, commences when the assets are ready for their intended use.

Freehold land is not depreciated.

Buildings, private utilities (comprised primarily of transformers), mining equipment, and technology infrastructure are stated at cost less accumulated depreciation and accumulated impairment loss.

Depreciation is recognised so as to write off the cost or valuation of assets (other than freehold land and properties under construction) less their residual values over their useful lives, using the straight-line method, on the following bases:

---

| | |
|:---|:---|
| Buildings | 25 years |
| Private utilities | 25 years |
| Technology infrastructure | 3-5 years |
| Mining equipment | 3 years |

---

Page **18** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(g) <u>Property, plant and equipment (cont'd)</u> 

The estimated useful lives, residual values and depreciation method are reviewed at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. The gain or loss arising on the disposal or retirement of an asset is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognised in the consolidated statement of loss and comprehensive loss.

(h) <u>Impairment of non-financial assets</u> 

At each reporting date, the Company reviews the carrying amounts of its non-financial assets, including property and equipment, to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated to determine the extent of the impairment loss (if any). Where the asset does not generate cash flows that are independent from other assets, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. When a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-generating units, or otherwise they are allocated to the smallest Company of cash-generating units for which a reasonable and consistent allocation basis can be identified.

Recoverable amount is the higher of fair value less costs of disposal and value in use.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in the consolidated statement of loss and comprehensive loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease and to the extent that the impairment loss is greater than the related revaluation surplus, the excess impairment loss is recognised in the consolidated statement of loss and comprehensive loss.

Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in the consolidated statement of loss and comprehensive loss to the extent that it eliminates the impairment loss which has been recognised for the asset in prior years. Any increase in excess of this amount is treated as a revaluation increase.

Page **19** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(i) <u>Cash and cash equivalents</u> 

Cash equivalents are short-term (generally with original maturity of three months or less), highly liquid investments that are readily convertible to a known amount of cash and which are subject to an insignificant risk of changes in value. Cash equivalents are held for the purpose of meeting short-term cash commitments rather for investment or other purposes.

For the purposes of the consolidated statement of cash flows, cash and cash equivalents consist of cash and cash equivalents as defined above, net of outstanding bank overdrafts which are repayable on demand and form an integral part of the Company's cash management.

(j) <u>Goodwill</u> 

Goodwill arises on the acquisition of subsidiaries and represents the excess of the cost of an acquisition over the fair value of the Company's share of the net identifiable assets of the acquired entity at the date of acquisition. Goodwill is initially recognized at cost and subsequently measured at cost less accumulated impairment losses, if any. Goodwill is not amortized but is tested for impairment annually or more frequently if events or changes in circumstances indicate a potential impairment. Impairment losses on goodwill are recognized in the consolidated statement of loss and comprehensive loss and are not reversed in subsequent periods.

(k) <u>Business combinations</u> 

Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred, measured at acquisition-date fair value, and the amount of any non-controlling interest in the acquiree. Identifiable assets acquired and liabilities assumed are measured at their acquisition-date fair values.

Goodwill is recognized as described in the goodwill policy. If the Company's interest in the fair value of the net assets acquired exceeds the cost of the business combination, the excess is recognized as a gain on acquisition.

In accordance with IFRS 3, an acquired group qualifies as a business if it includes inputs and substantial processes capable of producing outputs. In order to determine whether an acquisition is deemed to be a business combination, the Company conducts a concentration as to whether acquiree comprises operational infrastructure, personnel, contracts and operational processes beyond single assets. Expenses such as legal, due diligence, advisory and share issuance costs are expensed as incurred and not included in the cost of the business combination.

(l) <u>Share-based expense</u> 

The Company provides benefits to employees and directors in the form of share-based expense, whereby employees render services as consideration for equity instruments. The fair value of the equity-settled share-based payments is determined at the grant date using Black-Scholes pricing model and recognized as an expense over the vesting period with a corresponding increase in equity.

The fair value is measured considering the terms and conditions upon which the equity instruments were granted. At each reporting date, the Company revises its estimates of the number of equity instruments expected to vest and adjusts the amount recognized as an expense accordingly.

Page **20** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(l) <u>Share-based expense (cont'd)</u> 

When vested options are forfeited or not exercised at the expiry date, the amount previously recognized as stock-based compensation expense is transferred to accumulated losses.

(m) <u>Other comprehensive income</u> 

Total comprehensive income (loss) comprises all components of profit or loss and other comprehensive income (loss). Other comprehensive income (loss) includes gains and losses from translating the financial statements of an entity's whose functional currency differs from the presentation currency and gains from revaluation of digital currencies.

(n) <u>Earnings or loss per share</u> 

Basic earnings or loss per share is calculated by dividing the net profit or loss attributable to equity holders of the parent by the weighted average number of ordinary shares outstanding during the period.

Diluted earnings or loss per share adjusts the figures used in the determination of basic EPS or LPS to take into account the effect of potential dilutive ordinary shares, such as share options granted to employees. The calculation of diluted EPS or LPS assumes that the proceeds from the exercise of options would be used to purchase ordinary shares at the average market price during the period.

(o) <u>Financial instruments</u> 

Financial assets and financial liabilities are recognised in the Company's consolidated statement of financial position when the Company becomes a party to the contractual provisions of the instrument. Financial assets and financial liabilities are initially measured at fair value, except for accounts receivable that do not have a significant financing component which are measured at the transaction price.

Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition.

Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through profit or loss are recognised immediately in the consolidated statement of loss and comprehensive loss.

*Financial assets*

All regular way purchases or sales of financial assets are recognised and derecognised on a trade date basis.

All recognised financial assets are measured subsequently in their entirety at either amortised cost or fair value, depending on the classification of the financial assets.

Page **21** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(o) <u>Financial instruments (cont'd)</u> 

*Classification of financial assets*

Debt instruments that meet the following conditions are measured subsequently at amortised cost: (i) The financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows and (ii) The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Debt instruments that meet the following conditions are measured subsequently at fair value through other comprehensive income (FVTOCI): (i) The financial asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling the financial assets, and (ii) The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

By default, all other financial assets are measured subsequently at fair value through profit or loss (FVTPL).

*Amortised cost and effective interest method*

The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating interest income over the relevant period.

The effective interest rate is the rate that exactly discounts estimated future cash receipts (including all fees and points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) excluding expected credit losses, through the expected life of the debt instrument, or, where appropriate, a shorter period, to the gross carrying amount of the debt instrument on initial recognition.

The amortised cost of a financial asset is the amount at which the financial asset is measured at initial recognition minus the principal repayments, plus the cumulative amortisation using the effective interest method of any difference between that initial amount and the maturity amount, adjusted for any loss allowance. The gross carrying amount of a financial asset is the amortised cost of a financial asset before adjusting for any loss allowance.

*Financial assets at FVTPL*

Financial assets that do not meet the criteria for being measured at amortised cost or FVTOCI are measured at FVTPL. The Company has not designated any debt instruments as at FVTPL.

*Impairment of financial assets*

The Company recognises a loss allowance for expected credit losses on financial assets based on a simplified approach after considering the expected cash-flow shortfall based on historical trends, forward looking information, macro-economic factors and loss matrix.

The amount of expected credit losses is updated at each reporting date to reflect changes in credit risk since initial recognition of the respective financial instrument.

Page **22** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(o) <u>Financial instruments (cont'd)</u> 

*Write-off policy*

The Company writes off a financial asset when there is information indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery, e.g. when the debtor has been placed under liquidation or has entered into bankruptcy proceedings, or in the case of accounts receivable, when the amounts are over two years past due, whichever occurs sooner.

Financial assets written off may still be subject to enforcement activities under the Company's recovery procedures, taking into account legal advice where appropriate. Any recoveries made are recognised in the consolidated statement of loss and comprehensive loss.

*Derecognition of financial assets*

The Company derecognises a financial asset only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity.

On derecognition of a financial asset measured at amortised cost, the difference between the asset's carrying amount and the sum of the consideration received and receivable is recognised in profit or loss.

*Classification as debt or equity*

Debt and equity instruments are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

*Compound instruments*

The component parts of convertible loan notes issued by the Company are classified separately as financial liabilities and equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument. A conversion option that will be settled by the exchange of a fixed amount of cash or another financial asset for a fixed number of the parent company's own equity instruments is an equity instrument.

At the date of issue, the fair value of the liability component is estimated using the prevailing market interest rate for a similar non-convertible instrument. This amount is recorded as a liability on an amortised cost basis using the effective interest method until extinguished upon conversion or at the instrument's maturity date.

The conversion option classified as equity is determined by deducting the amount of the liability component from the fair value of the compound instrument as a whole. This is recognised and included in equity, net of income tax effects, and is not subsequently remeasured. In addition, the conversion option classified as equity will remain in equity until the conversion option is exercised, in which case the balance recognised in equity will be transferred to share premium.

Where the conversion option remains unexercised at the maturity date of the convertible loan note, the balance recognised in equity will be transferred to retained earnings. No gain or loss is recognised in profit or loss upon conversion or expiration of the conversion option.

Page **23** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(o) <u>Financial instruments (cont'd)</u> 

*Compound instruments (cont'd)*

Transaction costs that relate to the issue of the convertible loan notes are allocated to the liability and equity components in proportion to the allocation of the gross proceeds. Transaction costs relating to the equity component are recognised directly in equity.

Transaction costs relating to the liability component are included in the carrying amount of the liability component and are amortised over the lives of the convertible loan notes using the effective interest method.

*Financial liabilities at FVTPL*

All financial liabilities are measured subsequently at amortised cost using the effective interest method or at FVTPL.

*Financial liabilities measured subsequently at amortised cost*

Financial liabilities that are not (i) contingent consideration of an acquirer in a business combination, (ii) held-for trading, or (iii) designated as at FVTPL, are measured subsequently at amortised cost using the effective interest method.

The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments (including all fees and points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial liability, or (where appropriate) a shorter period, to the amortised cost of a financial liability.

*Derecognition of financial liabilities*

The Company derecognises financial liabilities when, and only when, the Company's obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability derecognised and the consideration paid and payable is recognised in the consolidated statement of loss and comprehensive loss.

Page **24** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(o) <u>Financial instruments (cont'd)</u> 

*Financial instruments categorization*

The Company has classified its financial instruments as follows:

---

| | | |
|:---|:---|:---|
| <br>**Instrument** | **Classification**<br>**/ measurement** | **Fair value**<br>**hierarchy** |
| *Assets* |  |  |
| &nbsp;&nbsp;&nbsp;Accounts receivable | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | Amortized cost | N/A |
| *Liabilities* |  |  |
| &nbsp;&nbsp;&nbsp;Accounts and other payables | Amortized cost | &nbsp;&nbsp;N/A |
| &nbsp;&nbsp;&nbsp;Settlement liability | Amortized cost | &nbsp;&nbsp;N/A |
| &nbsp;&nbsp;&nbsp;Contingent consideration payable | FVTPL | &nbsp;&nbsp;Level 2 |
| &nbsp;&nbsp;&nbsp;Lease liability | Amortized cost | &nbsp;&nbsp;N/A |
| &nbsp;&nbsp;&nbsp;Related party advances | Amortized cost | &nbsp;&nbsp;N/A |
| &nbsp;&nbsp;&nbsp;Convertible debentures | Amortized cost | &nbsp;&nbsp;N/A |

---

(p) <u>Provisions</u> 

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting date, taking into account the risks and uncertainties surrounding the obligation.

Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

(q) <u>Convertible debentures</u> 

Convertible debentures are financial instruments which are accounted for separately dependent on the nature of their components: a financial liability and an equity instrument and are considered compound financial instruments. The liability component of a compound financial instrument is recognized initially at the fair value of a similar liability that does not have an equity conversion option. The equity component, which consists of the conversion feature related to the convertible debentures is recognized as the difference between the fair value of the compound financial instrument as a whole and the fair value of the liability component.

Any directly attributable transaction costs are allocated to the liability and equity components in proportion to their initial carrying amounts.

Page **25** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

(q) <u>Convertible debentures (cont'd)</u> 

Subsequent to initial recognition, the liability component of a compound financial instrument is measured at amortized cost using the effective interest rate method. The equity component of a compound financial instrument is not remeasured subsequent to initial recognition. Upon conversion, the liability component and conversion feature are reclassified to share capital.

**5.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY** 

In applying the Company's accounting policies, which are described in **Note 4**, the directors are required to make judgements (other than those involving estimations) that have a significant impact on the amounts recognised and to make estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following are the critical judgements, including those involving estimations, that the directors have made in the process of applying the Company's accounting policies and that have the most significant effect on the amounts recognised in the consolidated financial statements.

(a) <u>Income taxes</u> 

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors.

The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities.

Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such differences will affect the tax provisions in the period in which such determination is made.

(b) <u>Digital assets</u> 

There is currently no specific definitive guidance in IFRS or alternative accounting frameworks for the accounting for the mining of digital assets and subsequent measurement of the digital assets held. Management has exercised significant judgment in determining appropriate accounting treatment. Management has determined that revenues should be recognized as the fair value of digital assets received in exchange for mining services on the date that digital assets are received and subsequently measured as an intangible asset. In the event authoritative guidance is enacted by the IASB, the Company may be required to change its policies which could result in a change in the Company's financial position and earnings.

Page **26** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**5.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)** 

(c) <u>Revenues from mining of digital assets</u> 

The Company enters into contracts with mining pools and has undertaken the performance obligation of providing computing power to the mining pool in exchange for non-cash consideration in the form of digital assets. Revenue is recognized upon receipt of digital currency in exchange for its mining activities at the fair market value of the digital currency received.

Management considers the prices quoted on a digital currency exchange to be a level 2 input under IFRS 13 Fair Value Measurement. Any difference between the fair value of digital assets recorded upon receipt from mining activities and the actual realized price upon disposal are recorded as a gain or loss on disposition of digital assets.

(d) <u>Going concern</u> 

The Company has made significant judgments about the Company's ability to continue as a going concern. These judgments involve considering the Company's cash flow forecasts, financial position, market conditions, and the availability of financing. Given the volatile nature of the cryptocurrency market and the reliance on both mining and hosting revenues, management regularly assesses the Company's liquidity and capital resources to ensure it can meet its obligations as they fall due. If future cash flows were to differ significantly from those estimates, this could have a material impact on the Company's ability to continue as a going concern.

(e) <u>Valuation of right of use assets and liabilities</u> 

The valuation of right-of-use (ROU) assets and corresponding lease liabilities involves significant estimates, particularly in determining the lease term and the discount rate used to present value future lease payments. Management's judgment is required in evaluating whether options to extend or terminate leases are reasonably certain to be exercised, which affects the measurement of lease liabilities.

Additionally, in the absence of an implicit rate in the lease, the Company uses its incremental borrowing rate, which is determined based on the specific circumstances of the lease and the Company's credit risk. Changes in these estimates could significantly impact the carrying amount of ROU assets and lease liabilities.

(f) <u>Valuation of share-based expenses</u> 

The valuation of share-based expenses requires significant judgment and estimation, particularly in determining the fair value of equity instruments granted to employees and directors. The Company uses an appropriate valuation model, such as the Black-Scholes or binomial option pricing model, which requires inputs such as the expected volatility of the Company's share price, the expected life of the options, risk-free interest rates, and expected dividend yields. These inputs are subject to estimation uncertainty, and changes in any of these assumptions could have a material impact on the amount of share-based expenses recognized.

(g) <u>Impairment of non-financial assets</u> 

The Company assesses non-financial assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.

Page **27** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**5.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)** 

(g) <u>Impairment of non-financial assets (cont'd)</u> 

Determining whether an impairment has occurred requires management to estimate the recoverable amount of the assets, which is the higher of fair value less costs of disposal and value in use.

These calculations require significant judgment, particularly in estimating future cash flows, discount rates, and market conditions. Any changes in these estimates could result in material adjustments to the carrying amounts of non-financial assets.

(h) <u>Depreciation and useful lives of property, plant and equipment</u> 

Determining depreciation periods and residual values for property, plant and equipment requires judgment. Management assesses expected physical wear and tear, technical and commercial obsolescence, maintenance programmes, and industry practice. Residual values are estimated with reference to comparable secondary-market transactions and scrap values, where relevant. These estimates are reviewed at each reporting date. A change of one year in average useful life or a 5 % swing in estimated residual value is considered to have a materially affect on depreciation expense in a period under evaluation.

(i) <u>Expected credit losses and provisions</u> 

The Company estimates expected credit losses by applying professional judgement in assessing forward-looking information, including the probability of default, loss rates, and the status of customer relationships. Changes in these assumptions could materially affect the amounts recognized.

Provisions are recognized when obligations from past events are probable and can be reliably measured. The measurement of provisions requires judgement in estimating the timing and amount of future outflows and, where relevant, the selection of discount rates. Given the inherent uncertainty, actual outflows may differ from the Company's best estimate.

**6.** **OPERATING SEGMENTS** 

In measuring its performance, the Company does not distinguish or group its operations on a geographical or any other basis and accordingly has a single reportable operating segment. Management has applied judgment by aggregating its operating segments into one single reportable segment for disclosure purposes. Such judgment considers the nature of the operations and an expectation of operating segments within a reportable segment with similar long-term economic characteristics.

The Company's Chief Executive Officer is the chief operating decision-maker and regularly reviews the Company's operations and performance on an aggregate basis. The Company does not have any significant customers or any significant groups of customers.

The Company presents one reportable operating segment as the entirety of the Company's non-current assets are domiciled in Norway and the entirety of the Company's revenue is generated from its operations in Norway. While non-operating liabilities and equity financing activities are primarily located in North America, this geographic distinction does not alter the conclusion that the Company has a single reportable segment.

Page **28** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**7.** **REVENUE** 

The Company derives its revenue from contracts with customers for the transfer of services. The provision of digital asset mining services as well as hosting services to third parties are recognized over time.

The Company's hosting revenue is exclusively derived from two customers in 2024 and 2023. The reliance on these two customers for all hosting revenue creates a concentration risk. Any material change in the business relationship with these customers, including a significant reduction or loss of revenue, could have a material adverse effect on the Company's operating results and cash flows.

**8.** **DIRECT COSTS** 

---

| | | |
|:---|:---|:---|
| | 2023 | 2023 |
|  | $— | $|
| Depreciation of property, plant and equipment |  | 10775271 |
| Utilities |  | 7259429 |
| Amortization of right-of-use assets |  | 918613 |
| Remote monitoring and support services |  | 384974 |
| Salaries and wages |  | 125742 |
| Small equipment rental |  | 68880 |
| Mining operations |  |  |
|  |  | 19532909 |

---

**9.** **ADMINISTRATIVE EXPENSES** 

---

| | | |
|:---|:---|:---|
| | Note | 2023 |
|  |  | $|
| Legal fees |  | 650144 |
| Professional fees |  | 176184 |
| Consulting fees | 20 | 1874257 |
| Travel |  | 1143661 |
| Subcontracts |  | 325341 |
| Insurance |  | 91734 |
| Occupancy costs |  | 126141 |
| Office and general |  | 239171 |
| Settlements and penalties |  | 1748 |
|  |  | 4628381 |

---

Page **29** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**10.** **FINANCE COSTS** 

---

| |
|:---|
| Interest on lease liabilities |
| Interest on loans and other payables |
| Bank charges |
| Finance income |

---

**11.** **SHARE-BASED EXPENSES** 

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Note | 2024 | 2023 | 2023 |
|  |  |  | $— | $|
| Restricted stock units issued | (a) |  |  | 332360 |
| Stock options issued | 23 (c) |  |  | 384894 |
|  |  |  |  | 717254 |

---

(a) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion. Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board.

The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

Page **30** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**11.** **SHARE-BASED EXPENSES (CONT'D)** 

(a) <u>Restricted stock units (cont'd)</u> 

A continuity of RSUs is as follows:

---

| | | |
|:---|:---|:---|
| | RSUs<br>Granted | RSUs<br>Vested |
|  | # | # |
| September 30, 2022 | 7000000 | 2071233 |
| Vested |  | 7000000 |
| Excercised |  |  |
| September 30, 2023 | 7000000 | 9071233 |
| Issued | 49975200 |  |
| Vested |  | 25879100 |
| Excercised | (22379100) | (22379100) |
| September 30, 2024 | 34596100 | 12571233 |

---

During the year ended September 30, 2024, share-based compensation expense for the Company's RSUs was $4,531,394 (2023 - $Nil). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the present value of the underlying equity, with the following weighted-average assumptions:

---

| | | |
|:---|:---|:---|
| | April 30, 2024 | June 3, 2024 |
| Estimated stock price at time of grant  | $0.26 | $0.26 |
| Number of periods to exercise, in years | $5.00 | $5.00 |
| Compounded risk-free rate | 3.92% | 3.59% |
| Discount for lack of marketability | 16% | 16% |

---

As at September 30, 2024 a total of 12,571,233 (2023 – 9,071,233) RSUs had vested.

**12.** **DIGITAL CURRENCY** 

The Company holds digital currencies, consisting of Bitcoin cryptocurrency, which are accounted for as intangible assets with an indefinite useful life in accordance with IAS 38. The digital currencies are initially recognized at cost and subsequently measured at fair value.

The Company revalues its digital currencies at the end of each reporting period based on their fair value. The fair value is determined using the quoted price in an active market at the reporting date. Any revaluation gain or loss arising from changes in the fair value is recognized in the consolidated statements of loss and comprehensive loss.

Page **31** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**12.** **DIGITAL CURRENCY (CONT'D)** 

The table below reconciles the opening and ending balances of digital assets in USD:

---

| | |
|:---|:---|
| | Coins |
|  | # |
| Balance, as at September 30, 2022 | 38.92 |
| Cryptocurrency mined, net of pool mining fees | 335.00 |
| Sold | (370.26) |
| Realized gain |  |
| Revaluation gain |  |
| Balance, as at September 30, 2023 | 3.66 |
| Cryptocurrency mined, net of pool mining fees | 293.65 |
| Sold | (259.30) |
| Other | —) |
| Realized loss | —) |
| Revaluation gain |  |
| Balance, as at September 30, 2024 | 38.01 |

---

**13.** **ACQUISITION OF EXANORTH AS** 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth AS, along with various rights to lease real estate property on which Exanorth AS conducted its operations, for aggregate consideration of $12,556,913. The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.1577 to 1.1761 years; and the dividend yield was set at 0%.

Call options on 66% of Exanorth AS were exercised in conjunction with a Share Purchase Agreement and its subsequent amendments dated October 22, 2021 and included transfers of common shares of the Company, deferred cash consideration, settlement of pre-existing loans, and transaction costs, totaling $8,457,415 in aggregate fair market value.

The remaining 34% was acquired by way of execution of a call option on the remaining 102 shares in Exanorth AS on October 29, 2021 which required the Company to pay $2,547,160 prior to February 25, 2022. Considering the short amount of time before execution of the option and the payment of consideration, no discount was applied.

As part of consideration in the acquisition of the 34%, contingent consideration, dependent on future performance of the Company in the public market, was included and presented as a liability. As the contingent consideration would only result in additional cash consideration to be paid in such an event, management concluded that the acquisition of Exanorth AS had completed.

Page **32** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**13.** **ACQUISITION OF EXANORTH AS (CONT'D)** 

Its fair value was determined to be $1,552,338 based on a third-party valuation report along with management's best estimate of the likelihood of occurrence of said future performance at the reporting date. The contingent consideration was subsequently revalued to $1,760,547 resulting in a gain of $139,453.

As at September 30, 2024, there has been no further change to the fair value of the contingent consideration, as there have been no changes in the underlying circumstances affecting management's previous estimate of fair value.

**14.** **INCOME TAX** 

The Company has assessed its tax position as at September 30, 2024, and for the year then ended. Based on this assessment, the Company has determined that there is no income tax expense for the current reporting period.

The reconciliation of the Canadian statutory income tax rate to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
| | 2024 | 2023 |
| Net loss before income taxes | (11278649) | (12210558) |
| Statutory tax rate | 26.5% | 26.5% |
| Statutory income tax recovery | (2988842) | (3235798) |
| Non-deductible expenses |  |  |
| Non-taxable income |  |  |
| Tax loss carry forward | (2988842) | (3235798) |
| Non-recognition of income tax recovery on losses | 2988842 | 3235798 |
| Income tax expense |  |  |

---

The Company performs its income tax reconciliation using the effective income tax rate of the parent, which is 26.5%. The Company's operating subsidiary's effective income tax rate is 22%. A continuity of losses at the parent level is as follows:

---

| | | |
|:---|:---|:---|
| Year of losses | &nbsp;&nbsp;&nbsp;Year of expiry | Amount |
|  |  | $|
| 2021 | &nbsp;&nbsp;&nbsp;2041 | 4251671 |
| 2022 | &nbsp;&nbsp;&nbsp;2042 | 10096810 |
| 2023 | &nbsp;&nbsp;&nbsp;2043 | 3235798 |
| 2024 | &nbsp;&nbsp;&nbsp;2044 | 2988842 |
|  |  | 20573121 |

---

The operating subsidiary has tax loss carry-forwards of kr 87,657,528 {$8,342,139} (2023 – kr 79,850,154 {$7,517,077}) which do not expire so long as the entity continues to operate within the same business as determined by the government authority.

The Company recognizes a valuation allowance in the full amount of the tax loss carry forward as at September 30, 2024 and 2023.

Page **33** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**14.** **INCOME TAX (CONT'D)** 

In accordance with IAS 12, Income Taxes, the Company recognizes deferred tax assets only when it is probable that sufficient taxable profit will be available against which the deductible temporary differences and the carry-forward of unused tax credits can be utilized. As of the reporting date, the Company concluded that such criteria were not met. Due to the uncertainty regarding the realization of deferred tax assets in future periods, the Company has not recognized any deferred tax assets in the consolidated financial statements.

**15.** **LOSS PER SHARE** 

---

| |
|:---|
| Basic net loss per share |
| &nbsp;&nbsp;&nbsp;Numerator |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss attributable to shareholders) |
| &nbsp;&nbsp;&nbsp;Denominator |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average common shares outstanding |
| Basic net loss per share attributable to shareholders |
| Diluted net loss per share attributable to shareholders |

---

**16.** **CONSTRUCTION IN PROGRESS** 

Construction in progress consists of buildings, utilities and other infrastructure which is in the process of being constructed for use in continuing operations. As at and for the year ended September 30, 2024, these assets have not yet been deployed in the active business, and as such have not been amortized.

Refer to **Note 18** for these details.

**17.** **INDIRECT TAXES RECOVERABLE** 

Indirect taxes recoverable consists of all accounts tracking value-added taxes payable and recoverable

---

| |
|:---|
| VAT recoverable |
| GST/HST recoverable |
| Advance tax withholding |

---

The VAT recoverable was derived from the business operations of Exanorth. The GST/HST recoverable is derived from the portion of sales taxes paid by Bitzero Blockchain Inc. that are eligible for recovery in connection with its role as a management company providing services to the Company during the years ended September 30, 2024 and 2023.

Page **34** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**18.** **PROPERTY, PLANT AND EQUIPMENT** 

---

| |
|:---|
| **COST**<br>**Balance, September 30, 2022** |
| Additions) |
| Disposals) |
| Translation adjustments and reclassifications) |
| **Balance, September 30, 2023** |
| Additions (*Note (a)*) |
| Translation adjustments and reclassifications) |
| **Balance, September 30, 2024** |
| **ACCUMULATED AMORTIZATION** |
| **Balance, September 30, 2022** |
| Additions |
| Translation adjustments and reclassifications |
| **Balance, September 30, 2023** |
| Additions |
| **Balance, September 30, 2024** |
| **ACCUMULATED IMPAIRMENT** |
| **Balance, September 30, 2022** |
| **Balance, September 30, 2023** |
| **Balance, September 30, 2024** |
| **NET BOOK VALUE** |
| **Balance, September 30, 2022** |
| **Balance, September 30, 2023** |
| **Balance, September 30, 2024** |

---

---

| | |
|:---|:---|
| Note(a) | Included in the additions are miners and other assets amounting to $119,000 received from one of the customers as per settlement agreement. Refer to **Note 22**. |

---

Page **35** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**19.** **RIGHT-OF-USE ASSETS** 

Exanorth has a right-of-use asset that arises from a contract to lease equipment to be deployed and utilized at the data mining center. This right-of-use asset is amortized using straight-line method from the commencement date of the lease to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term, which is 34 months.

The Company's right-of-use assets also includes office leases entered into by Bitzero ND I, LLC and Bitzero ND II, LLC. These office leases are for the North Dakota office space locations which have been leased for a period of 60 months. The lease for Bitzero ND II, LLC was cancelled in during the year ended September 30, 2024.

The following tables summarize the Company's right-of-use assets:

---

| | | | |
|:---|:---|:---|:---|
|  | Opening | Additions | Closing |
| *2024* | balance | (dispositions) | balance |
|  |  | $— | $|
| **COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 2485297 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 289133 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
|  |  |  | 2774430 |
| **ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 1719554 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 118217 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
|  |  |  | 1837771 |
| **NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 765743 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 170916 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
|  |  |  | 936659 |

---

Page **36** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**19.** **RIGHT-OF-USE ASSETS (CONT'D)** 

---

| | | | |
|:---|:---|:---|:---|
|  | Opening | Additions | Closing |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*2023* | balance | (dispositions) | balance |
|  |  | $— | $|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 2485297 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 289133 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  | 262632 |
|  |  |  | 3037062 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 808152 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 60391 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  | 61280 |
|  |  |  | 929823 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  | 1677145 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  | 228742 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  | 201352 |
|  |  |  | 2107239 |

---

**20.** **RELATED PARTY DISCLOSURES** 

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the years ended September 30, 2024 and 2023, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | |
|:---|:---|:---|
| | 2023 | 2023 |
|  | $— | $|
| Total compensation paid to key management |  | 1874257 |
| Share-based payments |  | 717254 |
|  |  | 2591511 |

---

Page **37** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**20.** **RELATED PARTY DISCLOSURES (CONT'D)** 

(a) <u>Key management personnel transactions (cont'd)</u> 

As of September 30, 2024 and 2023, amounts due to related parties consisted of the following:

---

| | | |
|:---|:---|:---|
| | 2023 | 2023 |
|  | $— | $|
| Balances included in accounts and other payables |  | 68217 |
| Balances included in related party advances |  | 116950 |
| Balances included in convertible debentures |  | 1180856 |
|  |  | 1366023 |

---

The balances are unsecured, due on demand and bear no interest, unless otherwise disclosed.

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually. The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") or the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the year end.

Page **38** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**21.** **BORROWINGS AND PAYABLES** 

(a) <u>Accounts and other payables</u> 

---

| | | |
|:---|:---|:---|
| | 2023 | 2023 |
|  | $— | $|
| Trade payable |  | 3084878 |
| Accrued liabilities |  | 20944 |
| Wages and remittances payable |  | 10692 |
| Settlement amount due, current portion |  | 1181334 |
| Settlement amount due, non-current portion |  | - |
|  |  | 4297848 |

---

The Company entered into a settlement agreement with a customer, for hosting services, relating to deposits received in advance amounting to $5.1M approximately. The deposit related to increase in megawatt supply and related services. The Company has agreed to repay $500,000 in March 2025, $561,680 in upon refund of deposits from the Company's energy provider, and the remaining amount in 27 monthly installments of $150,000 until July 2027; the impact of discounting amounting to $1,252,663 is presented in income statement as a separate line item. (refer **Note 22** for other terms of settlement).

The undiscounted payment schedule, discounted value, and segregation between current and non-current portions of the settlement amount are as follows:

---

| | |
|:---|:---|
| Year | Amount |
|  | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2025 | (1250000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2026 | (2361680) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2027 | (1450000) |
| Settlement value, undiscounted | (5061680) |
| <br> Discount rate  | 20% |
| Settlement value, discounted | 3809017 |
| <br> Current portion  | 770630 |
| Non-current portion | 3038387 |

---

Page **39** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**21.** **BORROWINGS AND PAYABLES (CONT'D)** 

(b) <u>Lease liabilities</u> 

The Company has entered into several lease agreements in accordance with IFRS 16, Leases, pertaining to its right-of-use assets (**Note 19**). As of September 30, 2024, the liabilities arising from these leases were assessed as follows:

---

| |
|:---|
| Opening aggregate lease liability |
| Recognition of lease liability |
| Cancellations) |
| Interest |
| Repaid during the year |
| Closing aggregate lease liability |
| <br> Current portion <br>|
| Non-current portion |

---

The weighted average incremental rates during the year ended September 30, 2024 is 15% (2023 – 15%) per annum. During the year, the office space lease for Bitzero ND II was cancelled. The remaining leases mature in June 2025 and September 2027.

The aggregate undiscounted payment schedule for the lease liabilities are as follows:

---

| | |
|:---|:---|
| Year | Amount |
|  | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2025 | 2299669 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2026 | 67662 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2027 | 72478 |
| Gross lease liabilities | 2439809 |
| Interest on lease liabilities | 322270 |
| Net lease liabilities | 2117539 |

---

**22.** **ACCOUNTS RECEIVABLE** 

Included in accounts receivable as at September 30, 2024 is an amount of $4,149,719 representing unpaid invoices issued to two customers for cryptocurrency mining hosting services. In August 2024, Exanorth entered into a settlement agreement with one customer. Under the terms of the settlement, possession and ownership of the mining assets were transferred to Exanorth, resulting in $119,000 being reclassified from accounts receivable to mining assets and VAT recoverable. The remaining accounts receivable from this customer was recorded as a loss of $134,977.

In March 2025, Exanorth entered into a settlement with another customer. Under this agreement, an amount of $3,064,555, corresponding to the invoiced amounts excluding VAT, was written off as a provision for settlement. As part of the terms of settlement, the Company expects to receive equipment having value of $678,138.

Page **40** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**22.** **ACCOUNTS RECEIVABLE (CONT'D)** 

The remaining balance of $831,187, relating to VAT previously charged, continues to be recognized as a receivable, as the Company retains the contractual right to this amount. Management has assessed the recoverable of this amount and considers it to be collectible.

---

| | |
|:---|:---|
| | 2024 |
| Total outstanding invoiced balance (incl. VAT) | 4149719 |
| Allocated to mining assets and VAT recoverable | (119000) |
| Loss on settlement | (134977) |
| Provision for settlement | (2386417) |
| Balance receivable | 1509325 |

---

**23.** **EQUITY** 

(a) <u>Authorized share capital</u> 

The Company is authorized to issue an unlimited number of common shares, with no par values.

(b) <u>Issued and outstanding share capital</u> 

---

| | | |
|:---|:---|:---|
| Share issuances | Shares | Share capital |
|  | # | $|
| Balance as at September 30, 2022 and 2023 | 309582563 | 76931052 |
| June 4, 2024 | 7000000 | 1160853 |
| September 6, 2024 | 1000000 | 200000 |
| September 12, 2024 | 15379100 | 3370541 |
|  | 23379100 | 4731394 |
| Balance as at September 30, 2024 | 332961663 | 81662446 |

---

During the year ended September 30, 2023, there were no changes in Company's share capital. During the year ended September 30, 2024, the Company issued 23,379,100 new shares, increasing its share capital by $4,731,394. Details regarding the 2024 shares issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| Exercise of RSUs | 22379100 |  |  |  | 4531394 |
| Legal settlement | 1000000 |  |  |  | 200000 |
|  | 23379100 |  |  |  | 4731394 |

---

On September 6, 2024, the Company issued 1,000,000 shares to a shareholder in connection with the settlement of obligations related to the acquisition of Exanorth, as described in **Note 13**, under a settlement agreement signed in June 2024.

Page **41** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**23.** **EQUITY (CONT'D)** 

(b) <u>Issued and outstanding share capital (cont'd)</u> 

As part of the June 2024 settlement between Exanorth and a shareholder, the parties agreed that the shareholder will sell to Exanorth all owned shares in KlimaCloud AS ("KlimaCloud") pursuant to a share purchase agreement ("SPA") to be executed on market terms, for a total consideration of kr 2,000,000 ($190,335) in cash and the transfer of 1,000,000 shares in Bitzero. As of September 30, 2024, the SPA had not been executed, the kr 2,000,000 ($190,335) had not been paid, and the transfer of shares in KlimaCloud had not occurred.

(c) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

A summary of the stock options is as follows:

---

| | | | |
|:---|:---|:---|:---|
| |<br>Number | Weighted-<br>average exercise<br>price |<br>Amount |
|  | # |  | $— |
| Balance, September 30, 2022 | 31558255 |  |  |
| Granted |  |  |  |
| Cancelled |  |  |  |
| Balance, September 30, 2023 | 31558255 |  |  |
| Granted, July 7, 2024 | 500000 |  |  |
| Cancelled | (20994320) |  |  |
| Balance, September 30, 2024 | 11063935 |  |  |
| Exercisable | 10563935 |  |  |
| Vesting | Options |  |  |
| Conditions | outstanding |  |  |
|  | # |  | $— |
| Immediately | 4113935 |  |  |
| 1/3 per year from grant date | 3050000 |  |  |
| Immediately | 1700000 |  |  |
| Immediately | 1500000 |  |  |
| Immediately | 200000 |  |  |
| Subsidiary reaches revenue of EUR 4 million | 500000 |  |  |
| Outstanding, September 30, 2024 | 11063935 |  |  |
| Exercisable, September 30, 2024 | 10563935 |  |  |

---

During the 2024 period, 20,994,320 stock options were cancelled due to non-compliance or departure of certain option holders, or the issuance of RSUs.

Page **42** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**23.** **EQUITY (CONT'D)** 

(c) <u>Options (cont'd)</u> 

The fair value of each share-based payment transaction was estimated on the date of the grant, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | |
|:---|:---|
| | July 7, 2024<br>5-year |
| Estimated stock price at time of grant | $0.26 |
| Exercise price of the option | $0.20 |
| Number of periods to exercise, in years | 5.00 |
| Compounded risk-free rate | 3.43% |
| Expected volatility | 115% |
| Dividend yield | 0% |

---

**24.** **CONTINGENT LIABILITIES** 

In addition to the matter disclosed in **Note 20**, the Company is involved in the following legal proceedings.

On February 7, 2024, a lawsuit was filed in North Dakota against the Company alleging breach of an unsigned employment contract, with claims totaling $1,258,567 plus interest and costs. The Company is contesting the matter, and the outcome cannot presently be determined.

On May 14, 2025, a construction lien dispute was filed in North Dakota seeking $131,545 for work performed prior to the Company's property acquisition. The claim is being disputed, and the parties are currently engaged in settlement discussions.

Management has concluded that the outcome of these proceedings cannot be determined and no provisions have been recorded.

**25.** **FINANCIAL INSTRUMENTS** 

(a) <u>Classes and categories of financial instruments and their fair values</u> 

The following table combines information about: (i) Classes of financial instruments based on their nature and characteristics, (ii) The carrying amounts of financial instruments, (iii) Fair values of financial instruments, and (iv) Fair value hierarchy levels of financial assets and financial liabilities for which fair value was disclosed.

Fair value hierarchy levels 1 to 3 are based on the degree to which the fair value is observable: (i) Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities, (ii) Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices), and (iii) Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

Page **43** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**25.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(a) <u>Classes and categories of financial instruments and their fair values (cont'd)</u> 

*Financial assets*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  |  | FVTPL - | | | | |
|  |  | mandatorily | | FVOCI - | Amortized | Amortized |
| *2024* | Level | measured | FVOCI | designated | cost | cost |
|  |  |  | $— | $— | $— | $|
| Accounts receivable | N/A |  |  |  |  | 1509325 |
| Cash and cash equivalents | N/A |  |  |  |  | 687226 |
|  |  |  |  |  |  | 2196551 |
|  |  |  |  |  |  | Amortized |
| *2023* | Level |  |  |  |  | cost |
|  |  |  | $— | $— | $— | $|
| Accounts receivable | N/A |  |  |  |  | 1320301 |
| Cash and cash equivalents | N/A |  |  |  |  | 1315707 |
|  |  |  |  |  |  | 2636008 |
| *Financial liabilities* |  |  |  |  |  |  |
|  |  |  |  |  |  | Amortized |
| *2024* | Level |  |  |  |  | cost |
|  | # |  |  | $— | $— | $|
| Accounts and other payables | N/A |  |  |  |  | 7678186 |
| Settlement liability | N/A |  |  |  |  | 3038387 |
| Contingent consideration payable | Level 2, Note 13 |  |  |  |  |  |
| Lease liability | N/A |  |  |  |  | 2117539 |
| Related party advances | N/A |  |  |  |  | 66950 |
| Convertible debentures | N/A |  |  |  |  | 1364013 |
|  |  |  |  |  |  | 14265075 |

---

Page **44** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**25.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(a) <u>Classes and categories of financial instruments and their fair values (cont'd)</u> 

*Financial liabilities (cont'd)* 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  | | FVTPL - | | |
|  |  | FVTPL - | mandatorily | Amortized | Amortized |
| *2023* | Level | designated | measured | cost | cost |
|  | # |  | $— | $— | $|
| Accounts and other payables | N/A |  |  |  | 4297848 |
| Contingent consideration payable | Level 2, Note 13 |  |  |  |  |
| Lease liability | N/A |  |  |  | 2637472 |
| Related party advances | N/A |  |  |  | 116950 |
| Convertible debentures | N/A |  |  |  | 1180856 |
|  |  |  |  |  | 8233126 |

---

(b) <u>Transfers</u> 

There were no transfers between Level 1, 2 and 3 during the current or prior year.

(c) <u>Financial risk management</u> 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low.

*Risk management framework* 

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework. The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

*Liquidity risk* 

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

Page **45** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**25.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(c) <u>Financial risk management (cont'd)</u> 

*Liquidity risk (cont'd)* 

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk is $16,025,622 as at September 30, 2024 (2023 – $9,993,673), for which the Company has cash of $687,226 on hand to satisfy its liabilities (2023 – $1,315,707). There have been no changes to the method for managing liquidity risk.

*Credit risk* 

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. No allowance for doubtful accounts was recorded in 2024 or 2023. Provisions were recognized for invoices to hosting customers considered uncollectible, as described in **Note 22**.

Cash and cash equivalents are held with reputable financial institutions. Counterparty exposure is monitored and considered low. Digital currencies are not financial assets and are outside expected credit loss measurement. Credit exposure is considered low as the Company extracts digital currencies from its mining pool on a daily basis. Prepaids and deposits consist of advances to vendors and refundable deposits. Counterparties are assessed and monitored, and no loss allowance has been recognized.

*Market risk* 

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk* 

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency. Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate. The effectiveness of these hedging instruments is assessed regularly. However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

Page **46** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**25.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(c) <u>Financial risk management (cont'd)</u> 

*Interest rate risk* 

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk* 

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk* 

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk* 

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held. To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

Page **47** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**25.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(c) <u>Financial risk management (cont'd)</u> 

*Loss of access risk (cont'd)* 

Management reviews recoverability regularly. As of September 30, 2024, 38.01 Bitcoin equivalent to $2,490,936 is held in private wallets (September 30, 2023 – 3.66 Bitcoin equivalent to $90,358).

**26.** **CAPITAL MANAGEMENT** 

The Company defines capital as its equity. The Company's objective when managing capital is: (i) to safeguard the ability to continue as a going concern so that it can continue to provide returns to shareholders and benefits to other stakeholders; and (ii) to provide an adequate return to shareholders by obtaining an appropriate amount of financing commensurate with the level of risk. The Company sets the amount of capital in proportion to the risk. The Company manages its capital structure and adjusts in light of the changes in economic conditions and the characteristic risk of underlying assets.

To maintain or adjust the capital structure, the Company may repurchase shares, return capital to shareholders, issue new shares, or sell assets to reduce debt. The Company is not subject to any externally imposed capital requirements. The Company's objective is met by retaining adequate liquidity to provide for the possibility that cash flows from assets will not be sufficient to meet operational, investing, and financing requirements. There have been no changes to the Company's capital management policies during the year ended September 30, 2023 and 2024.

**27.** **SUBSEQUENT EVENTS** 

(a) <u>Direct subscriptions</u> 

Following the year end, the Company completed two capital raises, issuing a total of 36,536,750 common shares at prices of $0.20 and $0.40 per share for gross proceeds of $7,511,700.

(b) <u>Share-based settlement for services</u> 

Between December 2024 and February 2025, the Company issued 750,000 common shares to advisors in exchange for services at a stated issue price of $0.20 per share, representing an aggregate value of $150,000.

(c) <u>Other settlement</u> 

As part of a settlement entered into in March 2025 with a hosting customer, mining equipment, including data containers, transformers and miners with an estimated value of $678,138 was transferred from the customer to Exanorth.

Page **48** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**27.** **SUBSEQUENT EVENTS (CONT'D)** 

(d) <u>Share-based settlement</u> 

On July 28, 2025, the Company issued 63,907 common shares in connection to a settlement agreement with an existing shareholder at a stated price of $0.60 per share.

(e) <u>Private placements</u> 

Between August and October 2025, the Company closed brokered private placements totaling 2,637,500 units for gross proceeds of $1,075,000. Each unit comprises one convertible debenture and one common share purchase warrant. The convertible debentures bear interest at 15 percent per annum from issuance to the earlier of holder-elected conversion or three years from the date of issuance and are convertible into one common share at $0.40 per share. Each warrant entitles the holder to acquire one common share at an exercise price of $0.50 per share for two years from the date of issuance.

During October 2025, the Company closed a brokered private placement totaling 3,750,000 units for gross proceeds of $1,500,000. Each unit comprises one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of $0.40 per share for 2 years from the date of issuance.

(f) <u>Issuance of RSUs</u> 

Between January and October 2025, the Company granted 68,380,000 RSUs at stated prices of $0.20 and $0.40, with each unit being convertible into one common share upon exercise by the holder. The RSUs vest upon completion of the Company's reverse takeover, the closing date of its Finland property, or immediately.

(g) <u>Issuance of convertible debt</u> 

In October 2025, the Company issued convertible debentures for gross proceeds totalling $2,853,990. The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

(h) <u>Finland subsidiary</u> 

On January 23, 2025, the Company purchased 100 shares of Ahold XVIII Oy, domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

(i) <u>Contingent consideration</u> 

Subsequent to the reporting date, there have been no changes to status of the settlement with a shareholder. The contingent consideration described in **Note 13** remains outstanding, the SPA has not been executed, the kr 2,000,000 ($190,335) cash payment has not been made, and the transfer of KlimaCloud shares has not occurred.

Page **49** of **50**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | September 30, 2024 and 2023 |

---

**27.** **SUBSEQUENT EVENTS (CONT'D)** 

(j) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

An additional delayed draw facility of up to $8,240,000 is available at the lenders' discretion; lenders are not obligated to fund any delayed draw, and any advance, if elected by the lenders, is subject to (i) timely delivery of a borrowing notice, (ii) the total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

In connection with the financing, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 common shares (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

Page **50** of **50**

**Schedule "C"**

*Pro Forma Financial Statements*

**BitZero Holdings Inc.**

(formerly WBM Capital Corp.)

Pro Forma Consolidated Statement of Financial Position

As at July 31, 2025

(expressed in United States Dollars, unless otherwise stated)

*(Unaudited)*

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Table of Contents**

**As at July 31, 2025**

*(Unaudited)*

Pro Forma Consolidated Statement of Financial Position 3 <br>Notes to the Pro Forma Consolidated Statement of Financial Position 4

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **2** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Bitzero<br>Blockchain<br>Inc. as at<br>30-Jun-25 | <br>WBM Capital<br>Corp. as at<br>31-Jul-25 | <br>Pro forma<br>adjustments | <br>Note(s) | <br>**Pro forma**<br>**consolidated** |
| **ASSETS** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;*Non-current* |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property, plant and equipment |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction in progress |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;*Current* |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Digital currency |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents |  |  |  | 4(b) |  |
|  |  |  |  | 4(d) |  |
|  |  |  |  | 4(e) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(g) |  |
| **TOTAL ASSETS** |  |  |  |  |  |
| **EQUITY AND LIABILITIES** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;*Equity* |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital |  |  |  | 4(a)(j) |  |
|  |  |  |  | 4(b) |  |
|  |  |  |  | 4(c) |  |
|  |  |  |  | 4(c) |  |
|  |  |  |  | 4(e) |  |
|  |  |  |  | 4(i) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus |  |  |  | 4(a) |  |
|  |  |  |  | 4(c) |  |
|  |  |  |  | 4(c) |  |
|  |  |  |  | 4(c) |  |
|  |  |  |  | 4(d) |  |
|  |  |  |  | 4(e) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(g) |  |
|  |  |  |  | 4(i) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Debenture reserve |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other reserves |  |  |  | 4(a) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated losses |  |  |  | 4(a) |  |
|  |  |  |  | 4(a) |  |
|  |  |  |  | 4(c) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(f) |  |
|  |  |  |  | 4(i) |  |
|  |  |  |  | 4(k) |  |
| &nbsp;&nbsp;&nbsp;*Total equity* |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;*Non-current liabilities* |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, non-current portion |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, non-current portion |  |  |  | 4(f) |  |
| &nbsp;&nbsp;&nbsp;*Current liabilities* |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables |  |  |  | 4(j) |  |
|  |  |  |  | 4(k) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Liability to issue common shares |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent consideration payable |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest payable |  |  |  | 4(f) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, current portion |  |  |  | 4(f) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Related party advances |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Convertible debentures |  |  |  | 4(d) |  |
|  |  |  |  | 4(g) |  |
| &nbsp;&nbsp;&nbsp;*Total liabilities* |  |  |  |  |  |
| **TOTAL EQUITY AND LIABILITIES** |  |  |  |  |  |

---

---

| | |
|:---|:---|
| *The accompanying notes are an integral part of and should be read in <br> conjunction with this pro forma consolidated statement of financial position.* | Page **3** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

**1.** **BACKGROUND** 

(a) <u>General</u> 

The unaudited pro forma consolidated financial statements of <u>BitZero Holdings Inc.</u> (the "Company" or "BitZero") have been prepared by management to reflect the acquisition of <u>WBM Capital Corp.</u> ("WBM") by <u>Bitzero Blockchain Inc.</u> ("BBI", the acquirer, for accounting purposes) after giving effect to the proposed transaction (the "Transaction", **Note 3**).

Following completion of the Transaction, the resulting issuer will change its name to "BitZero Holdings Inc." and be listed on the Canadian Securities Exchange ("CSE") under the symbol "BITZ" (the "Resulting Issuer").

Although the Transaction will result in BBI becoming a wholly-owned subsidiary of WBM, it will constitute a reverse takeover for accounting purposes as the former BBI shareholders will own a substantial majority of the common shares of the Resulting Issuer and all members of the Board of Directors and Management of the Resulting Issuer will be designees of BBI.

Upon completion of the Transaction, the business of the Company will be the continuation of the business of BBI. Completion of the Proposed Transaction is subject to various conditions, including, but not limited to, receipt of approval of the CSE.

(b) <u>WBM Capital Corp.</u> 

WBM Capital Corp. (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp.

The address of the Company's head, principal, and registered office is located at 300 – 10991 Shellbridge Way, Vancouver, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

WBM has not commenced commercial operations and has no assets other than cash. Continuing operations, as intended, are dependent on its ability to secure equity financing with which it intends to identify and evaluate potential acquisitions of businesses, and once identified and evaluated, to negotiate an acquisition thereof or participation therein subject to receipt of regulatory and, if required, shareholders' approval.

On August 27, 2025, WBM announced that it had entered into a Letter of Intent with BBI to enable BBI to complete a going-public transaction in Canada.

WBM has applied to list the common shares of the entity resulting from the Transaction on the CSE. Listing on the CSE is subject to the satisfaction of all applicable listing requirements and conditions and the approval of the CSE.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **4** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

**1.** **BACKGROUND (CONT'D)** 

(c) <u>Bitzero Blockchain Inc.</u> 

BBI was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 2416 Main Street, Vancouver, British Columbia, V5T 3E2.

BBI has cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity controlled by BBI, which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

**2.** **BASIS OF PREPARATION** 

(a) <u>General</u> 

The unaudited pro forma consolidated statement of financial position has been prepared for illustration purposes only and may not be indicative of the financial results had the Transaction been in effect at the date indicated.

It is management's opinion that this pro forma consolidated statement of financial position includes all adjustments necessary for the fair presentation of the transactions described herein and are in accordance with International Financial Reporting Standards ("IFRS") applied on a basis consistent with BBI's accounting policies.

The unaudited pro forma consolidated statement of financial position has been prepared by management, and, in the opinion of management, includes all adjustments necessary for fair presentation. No adjustments have been made to reflect additional costs or cost savings that could result from the combination of the operations of WBM and BBI, as management does not anticipate any material costs or cost savings as a result of this Transaction.

This pro forma consolidated statement of financial position is not intended to reflect the financial position of the Company that would have actually resulted had the transactions been effected on the date indicated. Furthermore, the pro forma financial information is not necessarily indicative of the results of operations that may be obtained in the future.

Final amounts recorded upon consummation will differ from these pro forma amounts, including the fair value measurement of any liability-classified warrants.

(b) <u>Statement of loss and comprehensive loss</u> 

A pro forma statement of loss and comprehensive loss has not been presented. WBM had no significant operations in the most recent fiscal year or interim period, and the results of operations of the resulting issuer will be substantially those of BBI. Accordingly, management determined that presenting a pro forma statement of loss would not provide additional meaningful information beyond the historical financial statements BBI included elsewhere in this listing statement.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **5** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

**2.** **BASIS OF PREPARATION (CONT'D)** 

(c) <u>Basis of consolidation</u> 

The unaudited pro forma consolidated statement of financial position has been compiled from and include:

An unaudited pro forma consolidated statement of financial position as at July 31, 2025 combining the: (i) unaudited statement of financial position of WBM as at July 31, 2025 and (ii) the unaudited statement of financial position of BBI as at June 30, 2025; and

The unaudited pro forma consolidated statement of financial position has been prepared assuming the transaction had occurred on July 31, 2025.

(d) <u>Foreign currency translation</u> 

The functional currency of WBM prior to the Transaction is the Canadian Dollar ("CAD"). Since the functional currency of BBI is the United States Dollar ("USD"), the financial statements of WBM have been translated to United States Dollars based on rates published by the Bank of Canada as follows:

● Monetary assets and liabilities at the exchange rate of 1.3691

● Accumulated deficit at the average exchange rate of 1.40531 for the relevant period

● Equity items other than retained earnings are carried at historical rates under IAS 21

**3.** **DESCRIPTION OF THE TRANSACTION** 

The Transaction is structured as a triangular amalgamation involving WBM and a wholly owned subsidiary of WBM, 1555476 B.C. Ltd. ("Subco"), incorporated under the Business Corporations Act (British Columbia), pursuant to which BBI will amalgamate with Subco. The resulting amalgamated entity ("Amalco") will become a wholly owned subsidiary of WBM.

On November 3, 2025, BBI, WBM and Subco entered into an amalgamation agreement (the "Amalgamation Agreement") under the Business Corporations Act (British Columbia) to effect the amalgamation contemplated by the letter agreement between WBM and BBI dated August 21, 2025.

At the effective time of the amalgamation, all issued and outstanding BBI common shares will be exchanged for fully paid and non-assessable WBM common shares on the basis of ten (10) BBI common shares for one (1) WBM common share, and all issued and outstanding BBI non-voting shares will be exchanged for fully paid and non-assessable WBM non-voting shares on the basis of ten (10) BBI non-voting shares for one (1) WBM non-voting share.

Outstanding BBI options, restricted share units and warrants will cease to represent rights to acquire BBI shares and will be adjusted to provide rights to acquire WBM common shares in accordance with their terms.

Each issued and outstanding Subco share will be cancelled and replaced by one fully paid and non-assessable Amalco share, and as consideration for the issuance by WBM of WBM shares to former BBI securityholders, Amalco will issue to WBM one Amalco share for each WBM share so issued.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **6** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

**3.** **DESCRIPTION OF THE TRANSACTION (CONT'D)** 

As a result of the foregoing, upon issuance of the certificate of amalgamation the former holders of BBI common shares and non-voting shares (other than any dissenting shareholders) will be deemed to be the registered holders of the corresponding WBM securities, and BBI share certificates will cease to represent any claim upon or interest in BBI other than the right to receive the applicable WBM securities in accordance with the Amalgamation Agreement. WBM will be the sole registered and beneficial owner of all issued and outstanding shares of Amalco, which will be a wholly owned subsidiary of WBM. Dissenting shareholders, if any, will be entitled to be paid the fair value of their BBI shares in accordance with the Business Corporations Act (British Columbia).

**4.** **PRO FORMA ASSUMPTIONS AND ADJUSTMENTS** 

(a) <u>Reverse takeover and listing expense</u> 

The Transaction has been accounted for in accordance with IFRS 2, Share-based Payment. For accounting purposes, the Transaction is treated as a reverse takeover of WBM by BBI. Although WBM is the legal acquirer, the pro forma financial statements reflect BBI as the accounting acquirer because control of the combined entity will reside with the former owners of BBI. The pro forma information is therefore presented as a continuation of the financial statements of BBI.

The Transaction has been reflected in these unaudited pro forma consolidated financial statements as a continuation of BBI, together with a deemed issuance of WBM shares by BBI equal to the number of WBM shares held by WBM's pre-RTO shareholders immediately after closing. At the effective time, all issued and outstanding BBI common shares and BBI non-voting shares are exchanged for fully paid and non-assessable WBM common shares and WBM non-voting shares at an exchange ratio of ten BBI shares for one WBM share, and BBI equity awards and warrants are adjusted into rights over WBM shares; existing WBM shares remain outstanding.

The fair value of the consideration deemed transferred by BBI to acquire the identifiable net assets of WBM has been measured as the number of WBM common shares held by WBM shareholders immediately after closing multiplied by the fair value per WBM share at the acquisition date. Because there was no active market for WBM at that date and management concluded that the concurrent financing price was not representative, the per-share fair value was determined by reference to observable share-settled transactions and historical pricing for the shell, which indicated approximately C$0.05 per share; translated at the acquisition-date spot rate, this equals $0.036 per share (USD). Based on the number of WBM shares held by legacy WBM shareholders immediately after closing, the fair value of the consideration deemed transferred is $142,596. After deducting the fair value of WBM's identifiable net assets of $12,289 (as remaining indebtedness is to be settled as described in **Note 4(j)**), the excess of $142,596 has been recognized as a listing expense in profit or loss. Costs directly attributable to the issuance of new equity instruments have been recorded as a deduction from equity. All other transaction costs have been expensed in profit or loss.

For equity presentation, the consolidated share capital structure reflects that of WBM as the legal parent, while the amounts of retained earnings and other equity balances are those of BBI immediately prior to the Transaction. WBM's pre-combination accumulated deficit and other reserves do not carry forward in the consolidated balances and has been eliminated on consolidation as part of the capital reorganization. Amalco will be a wholly owned subsidiary of WBM following the amalgamation.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **7** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

 

**4.** **PRO FORMA ASSUMPTIONS AND ADJUSTMENTS (CONT'D)** 

(b) <u>Direct subscriptions</u> 

During July and August of 2025, the Company: (i) issued 2,000,000 common shares at $0.20 per common share for aggregate proceeds of $400,000; (ii) issued 1,021,750 common shares at $0.40 per common share for aggregate proceeds of $408,700; and (iii) issued 63,908 common shares at $0.60 per common shares in consideration for settlement of an obligation of $38,345.

(c) <u>Issuance of RSUs issued and converted</u> 

The Company: (i) in September of 2025, issued 11,330,000 RSUs for consulting services rendered, and (ii) in October of 2025, issued 1,000,000 RSUs for consulting services rendered. As a result, the Company recognized share-based compensation expense calculated at the fair value of the share-based payment on the date of the grant, based on the present value of the underlying equity, with the following weighted-average assumptions:

---

| | | |
|:---|:---|:---|
| | September 2025 | October 2025 |
| Estimated stock price at grant date | $0.40 | $0.40 |
| Term, in years | 0.23 | 0.13 |
| Expected volatility | 83.22% | 83.22% |
| Risk-free interest rate | 3.01% | 3.01% |
| Expected dividend yield | 0.00% | 0.00% |

---

The aggregate fair value recognized in share-based compensation expense was $4,912,199. As a result, the Company has recorded a decrease in accumulated loss and a corresponding increase to contributed surplus.

In July 2025, 28,500,000 RSUs were exercised and converted into common shares. These RSUs had previously been issued and vested with an aggregate fair value of $5,700,000. As a result, the Company has recorded a decrease of $5,700,000 to contributed surplus with a corresponding increase in share capital.

Upon execution of the Transaction, 45,226,100 RSUs, with an aggregate fair value of $11,450,804, will be converted into common shares. As a result, the Company has recorded a decrease of $11,450,804 to contributed surplus with a corresponding increase in share capital.

(d) <u>Private placement #1</u> 

During October of 2025, the Company closed on the issuance of 2,687,500 units (the "Units") for gross proceeds of $1,075,000 in a series of brokered private placements. Each Unit consists of one convertible debenture and one common share purchase warrant.

Aggregate proceeds of $1,075,000 was split between convertible debentures and contributed surplus as $646,465 and $428,535, respectively.

Each convertible debenture entitles the holder to interest at 15% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) three years after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **8** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

 

**4.** **PRO FORMA ASSUMPTIONS AND ADJUSTMENTS (CONT'D)** 

(d) <u>Private placement #1 (cont'd)</u> 

Each common share purchase warrant entitles the holder to acquire one additional share of the Company at a price of $0.50 per share for a period of 2 years. The fair market value of the warrants issued in connection with the Units was calculated using the Black-Scholes model with the following inputs, on a pre-Transaction basis:

---

| | |
|:---|:---|
| | 2025 |
| Exercise price | $0.50 |
| Term, in years | 2.0 |
| Expected volatility | 83.22% |
| Risk-free interest rate | 3.01% |
| Expected dividend yield |  |

---

As both features require the exchange of a fixed amount of cash for a fixed number of common shares and provide only for physical share settlement, they satisfy the fixed-for-fixed criterion in IAS 32; accordingly, no embedded derivative bifurcation is required under IFRS 9.

(e) <u>Private placement #2</u> 

During October of 2025, the Company closed on the issuance of 3,750,000 units (the "Units") for gross proceeds of $1,500,000 in a brokered private placement. Each Unit consists of one common share and one common share purchase warrant.

Aggregate proceeds of $1,500,000 was split between share capital and contributed surplus as $690,758 and $809,242, respectively.

Each common share purchase warrant entitles the holder to acquire one additional share of the Company at a price of $0.40 per share for a period of 2 years. The fair market value of the warrants issued in connection with the Units was calculated using the Black-Scholes model with the following inputs, on a pre-Transaction basis:

---

| | |
|:---|:---|
| | 2025 |
| Exercise price | $0.40 |
| Term, in years | 2.0 |
| Expected volatility | 83.22% |
| Risk-free interest rate | 3.01% |
| Expected dividend yield |  |

---

As both features require the exchange of a fixed amount of cash for a fixed number of common shares and provide only for physical share settlement, they satisfy the fixed-for-fixed criterion in IAS 32; accordingly, no embedded derivative bifurcation is required under IFRS 9.

(f) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **9** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

**4.** **PRO FORMA ASSUMPTIONS AND ADJUSTMENTS (CONT'D)** 

(f) <u>Senior secured loan (cont'd)</u> 

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

As part of the issuance of the first tranche, the Company has agreed to deem $2,000,000 of the proceeds convertible into common shares of the Company at $0.40 per common share on a pre-Transaction basis. In addition, on the closing of the Transaction, the Company expects approval of the second tranche, consisting of $8,245,000, which is estimated to result in net proceeds of $8,000,000. This amount will be convertible into common shares of the Company at $0.40 per common share on a pre-Transaction basis. The fair market value of the conversion feature on $10,245,000 issued in connection with the loan, expected to result in 25,612,500 common shares **(Note 5)** was calculated using the Black-Scholes model with the following inputs, on a pre-Transaction basis:

---

| | |
|:---|:---|
| | 2025 |
| Exercise price | $0.40 |
| Term, in years | 3.0 |
| Expected volatility | 83.22% |
| Risk-free interest rate | 3.01% |
| Expected dividend yield |  |

---

In connection with the financing, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 common shares (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

As a result of the first tranche, the Company has recorded proceeds of $16,190,944 in cash and cash equivalents, a corresponding amount for contributed surplus and loans payable, and interest expense of $268,900 with a corresponding interest payable. The fair market value of the warrants issued in connection with the loan was calculated using the Black-Scholes model with the following inputs, on a pre-Transaction basis:

---

| | |
|:---|:---|
| | 2025 |
| Exercise price | $0.01 |
| Term, in years | 5.0 |
| Expected volatility | 83.22% |
| Risk-free interest rate | 3.01% |
| Expected dividend yield |  |

---

The warrants are exercisable for a fixed number of shares at a fixed price, subject only to standard capital structure adjustments, and are therefore classified as equity. The grant-date fair value of the warrants of $10,008,425 has been recognized in equity with a corresponding reduction to the carrying amount of loans payable. The resulting debt discount is accreted to profit or loss as interest expense using the effective interest method over the term of the loan. Equity-classified warrants are not subsequently remeasured.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **10** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

**4.** **PRO FORMA ASSUMPTIONS AND ADJUSTMENTS (CONT'D)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Senior secured loan (cont'd)</u> 

In the pro forma consolidated statement of financial position, the senior secured loan is recorded as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | First<br>tranche | Second<br>tranche | <br>Total |
|  | $ Dr. (Cr.) | $ Dr. (Cr.) | $ Dr. (Cr.) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | 17510000 | 8245000 | 25755000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, current portion | (2932231) |  | (2932231) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, non-current portion | (6460458) | (4099739) | (10560197) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus: warrants | (7666482) | (2341943) | (10008425) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus: conversion feature | (450829) | (1803318) | (2254147) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | (1319056) | (245000) | (1564056) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated losses | 1319056 | 245000 | 1564056 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Convertible debenture</u> 

During October of 2025, the Company closed on a convertible debenture for $2,853,990. Aggregate proceeds were split between convertible debentures and contributed surplus as $2,669,746 and $184,244, respectively.

The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

Contributed surplus in connection with the convertible debenture was calculated to be $184,244 using the Black-Scholes model with the following inputs, on a pre-Transaction basis:

---

| | |
|:---|:---|
| | 2025 |
| Exercise price | $0.40 |
| Term, in years | 1.5 |
| Expected volatility | 83.22% |
| Risk-free interest rate | 3.01% |
| Expected dividend yield |  |

---

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **11** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

 

**4.** **PRO FORMA ASSUMPTIONS AND ADJUSTMENTS (CONT'D)** 

(h) <u>Stock options</u> 

During October 2025, 500,000 unvested stock options units were cancelled, as the individual's employment with the Company was terminated.

(i) <u>Transaction costs</u> 

In connection with the Transaction, the Company will: (i) issue 1,750,000 common shares as payment of commissions to finders and (ii) issue 1,600,000 options for consulting services rendered.

(j) <u>Debt settlement</u> 

As part of the transaction, WBM settled its outstanding indebtedness, consisting of accounts and other payables for common shares of WBM at $0.50 per share on a pre-Transaction basis.

(k) <u>Settlement costs</u> 

In October 2025, Bitzero ND II, LLC, a subsidiary of Bitzero, entered into a Mutual Release and Settlement of Claims to resolve a construction related dispute concern the Mickel Data Centre in Cavalier County, North Dakota. Pursuant to this agreement, Bitzero agreed to $110,000 to obtain the release of a construction lien previously filed against the property.

**5.** **PRO FORMA SHARE CAPITAL** 

The above reconciliation excludes options, warrants and RSUs unless explicitly noted to vest and be issued immediately prior to closing. All other instruments convert as disclosed in **Note 3** above.

---

| | |
|:---|:---|
| | 2025 |
|  | # |
| WBM common shares, issued and outstanding | 250000 |
| WBM common shares, issued on conversion of debt | 4112954 |
|  | 4362954 |
| Bitzero common shares, issued and outstanding | 394710265 |
| Bitzero common shares, issued during the intervening period | 37085658 |
| Restricted stock units that convert on execution of the Transaction | 45226100 |
| Pro forma Bitzero common shares on close of Transaction | 477022023 |
| Conversion ratio of WBM common shares for Bitzero common shares | 0.10 |
| WBM common shares exchanged for cancelled Bitzero common shares | 47702202 |
| Pro forma common shares of resultant issuer | 52065156 |

---

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **12** of **13** |

---

**BitZero Holdings Inc.** (formerly WBM Capital Corp.)

**Notes to the Pro Forma Consolidated Statement of Financial Position As at July 31, 2025**

*(Unaudited)*

 

**5.** **PRO FORMA SHARE CAPITAL (CONT'D)** 

A reconciliation of the total number of outstanding common shares, options, warrants, RSUs, and convertible debentures is provided below:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| |<br>RSUs |<br>Options | Convertible<br>debentures |<br>Warrants | Common<br>shares |
|  | # | # | # | # | # |
| June 30, 2025 | 65646100 | 9080333 |  |  | 394710265 |
| Direct subscriptions (4b) |  |  |  |  | 3085658 |
| Issuance of RSUs (4c) | 12330000 |  |  |  |  |
| Exercise of RSUs (4c) | (28500000) |  |  |  | 28500000 |
| Warrants from WBM |  |  |  | 979266 |  |
| Issuance of convertible debentures (4d) |  |  | 2687500 | 2687500 |  |
| Warrants from private placements (4e) |  |  |  | 3750000 | 3750000 |
| Senior secured loan (4f) |  |  | 25612500 | 25534792 |  |
| Issuance of convertible debt (4g) |  |  | 7134975 |  |  |
| Cancelled (4h) |  | (500000) |  |  |  |
| Converting on RTO (4c) | (45226100) |  |  |  | 45226100 |
| Transaction costs (4i) |  | 1600000 |  |  | 1750000 |
| Subtotal | (61396100) | 1100000 | 35434975 | 32951558 | 82311758 |
| **Pre-Transaction** | **4250000** | **10180333** | **35434975** | **32951558** | **477022023** |
| Conversion ratio | 0.1 | 0.1 | 0.1 | 0.1 | 0.1 |
| **Post-Conversion** | **425000** | **1018033** | **3543498** | **3295156** | **47702202** |
| WBM shares (4a) |  |  |  |  | 4362954 |
| **Pro Forma of Resultant Issuer** | **425000** | **1018033** | **3543498** | **3295156** | **52065156** |

---

The convertible debentures issued to the Company's former CEO have been excluded from the table above due to its status in pending litigation and the expectation that they will not be exercised.

**6.** **WORKING CAPITAL** 

Management estimates that the pro forma working capital of the Company on consummation of the Transaction will be $24,402,255 after the exclusion of non-cash-settled current liabilities. Subsequent to the pro forma balance sheet date, the Company has used part of the capital and debt raised as follows:

---

| |
|:---|
| Working capital as calculated above |
| Purchase of capital assets for which capital and debt financing was intended) |
| Legal and other professional fees in connection with acquiring the capital assets |
| Remaining working capital |

---

This use of proceeds has not been recorded in the pro forma statement of financial position since as at the date of the pro forma statement of financial position these expenditures were not under firm commitments for which the complete financial effects were objectively determinable. As such, they are presented here for informational purposes only.

---

| | |
|:---|:---|
| *Expressed in United States Dollars, unless otherwise stated* | Page **13** of **13** |

---

**Schedule "D"**

*MD&A of WBM*

**WBM CAPITAL CORP.**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the three and nine months ended July 31, 2025, and 2024**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's condensed consolidated interim financial statements and notes for the three and nine months ended July 31, 2025, and 2024.

The Company's condensed consolidated interim financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Interpretations Committee and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on October 21, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results, and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at July 31, 2025:

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;**Name of subsidiary** | <br>&nbsp;&nbsp;**Jurisdiction**<br>&nbsp;&nbsp;**Incorporated** | <br>&nbsp;&nbsp;**Functional Currency** | **Accounting**<br>**Method/Date of**<br>**Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1507652 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1507653 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1507655 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1510450 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1510435 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |
| &nbsp;&nbsp;1510441 B.C. Ltd. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Until Dec 18/24 |

---

The Company was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) (the "BCBCA") on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 300 – 10991 Shellbridge Way, Richmond, British Columbia V6X 3C6. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations and the Company embarked on a strategic review.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, held all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

**Overall Performance**

<u>Financing Transactions</u>

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange (the "CSE") approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss and comprehensive loss for the nine months ended July 31, 2025, was $171,283 (July 31, 2024, $436,775). The decrease in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,697,128 at July 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $18,462 (October 31, 2024 – $338,834). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| &nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | (238606) | (92481) |
| &nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the three and nine months ended July 31, 2025, and 2024**

*Expenses*

The Company's net loss for the three months ended July 31, 2025, was $129,993, compared to $84,494 for the three months ended July 31, 2024. The increase year over year is driven by accruals relating to professional fees and to adjust for payments and interest relating to HST payments owed. The Company is currently in the process of appealing with the Canadian Revenue Agency (the "CRA"). During the quarter, the Company also wrote-off its remaining input tax credit receivable.

Management fees decreased to $nil for the three months ended July 31, 2025, from $76,234 in the three months ended July 31, 2024. These costs pertained to salaries for officers and directors.

The Company's net loss for the nine months ended July 31, 2025, was $171,283, compared to $436,775 for the nine months ended July 31, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

Management fees decreased to $nil for the nine months ended July 31, 2025, from $278,393 in the nine months ended July 31, 2024. These costs pertained to salaries for officers and directors.

*General and administrative expenses*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended** | **Three months ended** | **Nine months ended** | **Nine months ended** |
| | **July 31** | **July 31** | **July 31** | **July 31** |
| <br>&nbsp;&nbsp; | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;Office and miscellaneous | $— | $2406 | $18241 | $37489 |
| &nbsp;&nbsp;Professional fees | 25423 |  | 47328 | 193839 |
|  | $25423 | $2406 | $65569 | $231328 |

---

For the three months ended July 31, 2025, the Company's general and administrative expenses decreased by $2,406 compared to the three-months ended July 31, 2024. The decrease is a result of the Company not having active operations. Professional fees increased by $25,423, year-over-year as a result of audit/tax and legal related costs.

For the nine months ended July 31, 2025, the Company's general and administrative expenses decreased by $19,248. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $146,511 for the nine months ended July 31, 2025, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **July 31,**<br>**2025** | **April 30,**<br>**2025** | **Jan 31,**<br>**2025** | **Oct 31,**<br>**2024** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (129933) | (4743) | (36607) | (227102) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | 0.52) | 0.02) | 0.07) | 0.57) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 250000 | 250000 | 500000 | 401527 |
|  | **July 31,** | **April 30,** | **Jan 31,** | **Oct 31,** |
|  | **2024** | **2024** | **2024** | **2023** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (84494) | (282503) | (66857) | (220056) |
| &nbsp;&nbsp;Income (loss) per share - basic and diluted | 0.31) | 1.06) | 0.04) | 0.06) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 271534 | 265608 | 1756525 | 3528916 |

---

**Liquidity and Capital Resources**

As at July 31, 2025, the Company had negative working capital of $111,963 (October 31, 2024 – $59,320), consisting primarily of cash, offset by accounts payable and other liabilities. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023 and has no current operations.

**Cash Flows**

A summary of cash flows for July 31, 2025, and 2024 is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **2025** | **2024** | **Change** |
| &nbsp;&nbsp;Operating activities | $(18462) | (338834) | 320372 |
| &nbsp;&nbsp;Investing activities |  | 10600000 | (10600000) |
| &nbsp;&nbsp;Financing activities |  | (10244265) | 10244265 |
| &nbsp;&nbsp;Change in cash | $(18462) | 16901 | (35366) |

---

*Operating Activities*

For the nine months ended July 31, 2025, cash flows used in operating activities of $18,462 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses.

*Investing Activities*

For the nine months ended July 31, 2025, investing activities consisted of nil.

*Financing Activities*

For the nine months ended July 31, 2025, financing activities consisted of nil.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at July 31, 2025 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the nine months ended July 31, 2025, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **July 31, 2025** | **July 31, 2024** |
| &nbsp;&nbsp;Management and director fees | $— | $226500 |
| &nbsp;&nbsp;Payments made under the share buy back |  | 3498245 |
|  | $**—** | $3724745 |

---

For the three and nine months ended July 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at July 31, 2025, included in accounts payable and other liabilities is $nil (October 31, 2024 – $nil) in amounts payable to directors and officers of the Company.

**Qualifying Transaction**

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

**Subsequent event**

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero") dated August 21, 2025. Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero.

**Commitments**

As at July 31, 2025, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash is recorded at fair value using Level 1 inputs. The fair values of accounts payable and other liabilities approximate carrying value due to their short-term nature.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br>**2025** | **October 31,**<br>**2024** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $128788 | $60048 |
|  | $**128788** | $60048 |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities.

**Interest rate risk**

The Company does not have any significant exposure as at July 31, 2025 and October 31, 2024 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at July 31, 2025:

---

| | | |
|:---|:---|:---|
| | **July 31,**<br>**2025** | **October 21,**<br>**2025** |
| &nbsp;&nbsp;Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 250000 | 250000 |
| &nbsp;&nbsp;Outstanding common shares | 250000 | 250000 |
| &nbsp;&nbsp;Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 413563 | 413563 |
| &nbsp;&nbsp;Fully diluted total | 663563 | 663563 |
| As at July 31, 2025, the stock option activity is as follows: | As at July 31, 2025, the stock option activity is as follows: | As at July 31, 2025, the stock option activity is as follows: |
|  |  | **Weighted Average** |
|  | **Number** | **Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2023 | **220000** | $**5.28** |
| &nbsp;&nbsp;Cancelled | **(22000)** | **5.28)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024 and July 31, 2025** | **—** | **—** |

---

At July 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At July 31, 2025, the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | **Expiry Date** | **Number Vested** |
| 233210 | $3.60 | &nbsp;&nbsp;Sept 20, 2025 | 233210 |
| 56940 | $3.60 | &nbsp;&nbsp;Oct 12, 2025 | 56940 |
| 123413 | $3.60 | &nbsp;&nbsp;Nov 30, 2025 | 123413 |
| 413563 |  |  | 413563 |

---

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The BCBCA provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

**WBM CAPITAL CORP.**

**(FORMERLY TIIDAL GAMING GROUP CORP.)**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the years ended October 31, 2024, and 2023**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's audited consolidated financial statements and notes for the years ended October 31, 2024, and 2023.

The Company's audited consolidated financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC") and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on February 27, 2025.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at October 31, 2024:

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;**Name of subsidiary** | <br>&nbsp;&nbsp;**Jurisdiction**<br>&nbsp;&nbsp;**Incorporated** | <br>&nbsp;&nbsp;**Functional Currency** | **Accounting**<br>**Method/Date of**<br>**Disposal** |
| &nbsp;&nbsp;Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Dissolved March 14/24 |
| &nbsp;&nbsp;Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Dissolved March 7/24 |
| &nbsp;&nbsp;Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Dissolved March 7/24 |
| &nbsp;&nbsp;Space Esports Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;U.S. dollars | Dissolved Feb 26/24 |
| &nbsp;&nbsp;Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | Until June 8, 2023 |
| &nbsp;&nbsp;1507651 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Consolidation |
| &nbsp;&nbsp;1507652 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Consolidation |
| &nbsp;&nbsp;1507653 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Consolidation |
| &nbsp;&nbsp;1507655 B.C. Ltd | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | Consolidation |

---

WBM Capital Corp. (formerly Tiidal Gaming Group Corp.) (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 1900 – 1040 West Georgia Street, Vancouver, British Columbia V6E 4H3. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations. The Corporation is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre consolidation common shares to 1 post-consolidation common share. The share consolidation is reflected retrospectively in these consolidated financial statements.

**Overall Performance**

<u>Financing Transactions</u>

On June 9, 2023, the Company issued 0.32 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 0.42 restricted share units to the Company's CEO, which immediately vested into 0.42 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 0.26 options of the Company that had an exercise price of $600,000 per share for consideration of $135,000 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $35,325.

On February 16, 2024, the Company issued 0.13 common shares at a deemed price of $300,000 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $420,000 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 1common shares at a deemed price of $30,000 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

<u>Net and Comprehensive Loss</u>

The Company's net loss for the year ended October 31, 2024, was $660,956 (October 31, 2023, net income - $8,936,416). The increase in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets.

The Company's comprehensive loss for the year ended October 31, 2024, was $655,537 (October 31, 2023, net income - $9,109,757). The increase in loss year over year was due mainly to the closure of the Lazarus subsidiary and the sale of the Sportsflare subsidiary. The Company has no active operations.

**Going Concern**

These condensed consolidated interim financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,525,845 at October 31, 2024 (October 31, 2023 – $6,864,889). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| &nbsp;&nbsp;Revenues |  |  |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 600903 | 1541997 |
| &nbsp;&nbsp;Net income (loss) | (660956) | 8936416 |
| &nbsp;&nbsp;Comprehensive income (loss) | (655537) | 9109757 |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | (238606) | (92481) |
| &nbsp;&nbsp;Total assets | 119368 | 11127868 |
| &nbsp;&nbsp;Total liabilities | 60048 | 259010 |

---

**Results of Operations for the years ended October 31, 2024, and 2023**

*Expenses*

The Company's operating expenses for the year ended October 31, 2024, were $600,903, compared to $1,541,997 for the year ended October 31, 2023. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

General and administrative expenses decreased to $242,956 for the year ended October 31, 2024, from $742,978 in the year ended October 31, 2023. These costs consist primarily of salaries and office expenses incurred by corporate and legal costs related to the sale of Sportsflare.

Management fees increased to $335,775 for the year ended October 31, 2024, from $175,933 in the year ended October 31, 2023. These costs pertain to salaries for officers and directors.

Share based payments costs decreased to $20,000 for the year ended October 31, 2024, from $578,725 in the year ended October 31, 2023. The decrease in share-based payments as a result of all remaining stock options being cancelled subsequent to year end.

*General and administrative expenses*

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office and miscellaneous | $36231 | $54188 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and benefits |  | 291174 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 205557 | 355627 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insurance and bank | 1168 | 41989 |
|  | $242956 | $742978 |

---

For the year ended October 31, 2024, the Company's general and administrative expenses decreased by $500,022. The largest component of that decrease relates to reduction in staff related to administration and consulting. Professional fees decreased by $150,070 for the year ended October 31, 2024, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **October**<br>**31, 2024** | **July**<br>**31, 2024** | **April 30,**<br>**2024** | **January**<br>**31, 2024** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (227102) | (84494) | (282503) | (66857) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | 141399) | 77793) | 338663) | 9516) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 2 | 1 | 1 | 7 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Oct 31,**<br>**2023** | **July 31,**<br>**2023** | **April 30,**<br>**2023** | **January**<br>**31, 2022** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (220056) | 11045537 | (952171) | (936894) |
| &nbsp;&nbsp;Income (loss) per share - basic and diluted | 15589) | $773192 | 68672) | 63372) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 14 | 14 | 14 | 14 |

---

**Liquidity and Capital Resources**

As at October 31, 2024, the Company had working capital of $59,320 (October 31, 2023 – $10,908,108), consisting primarily of cash, trade and other receivables, and prepaid expenses and deposits, offset by accounts payable and lease liability. Working capital decreased due to the Company closing on it share issuer bid that was completed on December 15, 2023.

**Cash Flows**

A summary of cash flows for October 31, 2024, and 2023 is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **2024** | **2023** | **Change** |
| &nbsp;&nbsp;Operating activities | $(688624) | (1124994) | 456370 |
| &nbsp;&nbsp;Discontinued operations |  | (241056) | 241056 |
| &nbsp;&nbsp;Investing activities | 10879322 | 1273773 | 9605549 |
| &nbsp;&nbsp;Financing activities | (10234676) | 153776 | (10080900) |
| &nbsp;&nbsp;Effect on FX on cash |  | 1543 | 1543 |
| &nbsp;&nbsp;Change in cash | $(43978) | 63042 | (107020) |

---

*Operating Activities*

For the year ended October 31, 2024, cash flows used in operating activities of $688,624 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses as well as the share issuer bid payment that was made during the period ended.

*Investing Activities*

For the year ended October 31, 2024, investing activities consisted of the purchase and redemption of short-term investments.

*Financing Activities*

For the year ended October 31, 2024, financing activities consisted of the share purchase buy back that was completed on December 15, 2023, the share repurchase of pre-consolidation shares of $25,736 and the government loan repayment of $40,000.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at October 31, 2024 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the year ended October 31, 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**October 31, 2024** | **Year ended**<br>**October 31, 2023** |
| &nbsp;&nbsp;Management and director fees | $226500 | $175933 |
| &nbsp;&nbsp;Salaries |  | 374593 |
| &nbsp;&nbsp;Share-based payments |  | 204052 |
| &nbsp;&nbsp;Payments made under the share buy back | 3498245 | 200000 |
|  | $**3724745** | $**954579** |

---

For the years ended October 31, 2024, and 2023, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**Due to/from Related Parties**

As at October 31, 2024, included in accounts payable and other liabilities is $nil (October 31, 2023 – $1,018) in amounts payable to directors and officers of the Company.

**Proposed Transactions**

As at the date of this MD&A, the Company has no proposed transactions.

**Commitments**

As at October 31, 2024, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, restricted cash, trade and other receivables, accounts payable and other liabilities, subscription liability, promissory notes payable, and convertible notes approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at October 31, 2024 and 2023, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br>**2024** | **October 31,**<br>**2023** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $60048 | $219760 |
|  | $**60048** | $**219760** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities that are denominated in US dollars.

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2024 and October 31, 2023 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at October 31, 2024:

---

| | | |
|:---|:---|:---|
| | **October 31,**<br>**2024** | **February 26,**<br>**2025** |
| Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 15 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares repurchased via Share Issuer |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bid | (14) |  |
| Outstanding common shares | 1 |  |
| Shares issued for debt |  |  |
| Shares issued for cash | 1 |  |
| Share repurchase | (1) |  |
| Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 2 |  |
| Fully diluted total | 3 | 3 |

---

As at October 31, 2024, the stock option activity is as follows:

---

| | | |
|:---|:---|:---|
|  | <br>**Number** | **Weighted Average**<br>**Exercise Price** |
| &nbsp;&nbsp;Outstanding, October 31, 2022 | 2.30 | $1560000 |
| &nbsp;&nbsp;Expired | (0.24) | 1980000) |
| &nbsp;&nbsp;Forfeited | (1.18) | 1680000) |
| &nbsp;&nbsp;**Outstanding, October 31, 2023** | **0.88** | $**1320000** |
| &nbsp;&nbsp;Cancelled | **(0.88)** | **1320000)** |
| &nbsp;&nbsp;**Outstanding, October 31, 2024** | **—** | **—** |

---

At October 31, 2024, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

At October 31, 2024 the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | **Expiry Date** | **Number Vested** |
| 0.93 | $900000 | Sept 20, 2025 | 0.93 |
| 0.23 | $900000 | Oct 12, 2025 | 0.23 |
| 0.49 | $900000 | <br>Nov 30, 2025 | 0.49 |
| 1.65 |  |  | 1.65 |

---

**Subsequent Events**

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd, 1510441 B.C. Ltd and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA ("Triforce"), now holds common shares in the following former subsidiaries; 1507651 B.C Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The Company is relatively new with limited operating history and operates in the emerging industry of Esports. The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The British Columbia Business Corporations Act ("BCBCA") provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

**TIIDAL GAMING GROUP CORP.** 

**(FORMERLY GTA FINANCECORP INC.)**

**MANAGEMENT DISCUSSION & ANALYSIS**

**For the years ended October 31, 2023, and 2022**

**(Expressed in Canadian Dollars)**

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for Tiidal Gaming Group Corp. (formerly GTA Financecorp Inc.) (the "Company" or "Tiidal"). This MD&A should be read in conjunction with the Company's audited consolidated financial statements and notes for the years ended October 31, 2023, and 2022.

The Company's audited consolidated financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC") and are reported in Canadian dollars unless otherwise noted.

Tiidal is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on February 8, 2024.

**Caution Regarding Forward Looking Statements**

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

**Business History**

The table below lists the Company's wholly owned subsidiaries as at October 31, 2023:

---

| | | | |
|:---|:---|:---|:---|
| <br>**Name of subsidiary** | &nbsp;&nbsp;**Jurisdiction**<br>&nbsp;&nbsp;**Incorporated** | &nbsp;&nbsp;<br>&nbsp;&nbsp;**Functional Currency** | &nbsp;&nbsp;<br>&nbsp;&nbsp;**Accounting Method** |
| Tiidal Gaming Holdings Inc. |  |  |  |
| (formerly Tiidal Gaming Group Inc.) | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| Lazarus Esports Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| Tiidal Gaming Canada Inc. | &nbsp;&nbsp;Canada | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| Space Esports Inc. | &nbsp;&nbsp;USA | &nbsp;&nbsp;U.S. dollars | &nbsp;&nbsp;Consolidation |
| GTA GW Mergeco Inc. | &nbsp;&nbsp;United States | &nbsp;&nbsp;Canadian dollars | &nbsp;&nbsp;Consolidation |
| Tiidal Gaming NZ Limited | &nbsp;&nbsp;New Zealand | &nbsp;&nbsp;New Zealand dollars | &nbsp;&nbsp;Consolidation until June 8, 2023 |

---

Tiidal Gaming Group Corp. (formerly GTA Financecorp Inc.) (the "Company" or "Tiidal Corp.") was incorporated pursuant to the provisions of the Business Corporations Act (Ontario) on August 9, 2006. On November 9, 2021, the Company changed its name from GTA Financecorp Inc. to Tiidal Gaming Group Corp. The address of the Company's head, principal, and registered office is located at 365 Bay Street, Suite 800, Toronto, Ontario M5H 2V1. The Company's shares were listed on the TSX Venture Exchange until February 8, 2019, at which time the shares were delisted at the request of the Company. On November 17, 2021, the Company commenced trading of its common shares on the Canadian Securities Exchange (the "CSE") under the symbol TIDL. On April 11, 2022, the Company commenced trading of its common shares on the OTCQB Venture Market ("the OTCQB") under the symbol TIIDF. On April 26, 2023, the trading of the Company's common shares was relegated from the OTCQB to OTC Pink.

On November 9, 2021, the Company completed a transaction that resulted in a reverse takeover ("GTA RTO") of the Company by the shareholders of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.) ("Tiidal Inc."). See Note 7c. The Company changed its name to "Tiidal Gaming Group Corp." and effect a consolidation of the common shares on the basis of 11.2678 pre-consolidation common shares into one new post-consolidation common shares. Tiidal Inc., was incorporated under the Business Corporations Act of Ontario on October 22, 2018. Tiidal Inc. amalgamated with 2852773 Ontario Inc. ("GTA Subco") prior to completion of the GTA RTO transaction on November 9, 2021.

The Company's principal business activities were owning and operating synergistic businesses across the esports ecosystem, including its former wholly-owned subsidiary, Tiidal Gaming NZ Limited ("Tiidal NZ"), incorporated on November 23, 2020 under the Companies Act 1993 in New Zealand and doing business as Sportsflare, which has developed a robust odds feed and advanced betting solutions for sportsbooks and online betting companies, and its subsidiary Lazarus Esports Inc. ("Lazarus Esports"), a Canadian leader and globally recognized competitive esports organization, incorporated under the Business Corporations Act of Ontario on May 19, 2019. The Company completed the sale of the assets of Lazarus Esports to TGS Esports Inc. on November 7, 2022. The financial results for Lazarus Esports are reflected in discontinued operations. On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

On November 2, 2023, the Company announced that, further to its previously communicated release on October 30, 2023, it has launched its substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation all of its issued and outstanding common shares, being 87,603,908 for aggregate cash consideration of up to $10,731,479 or $0.1225 per share.

On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 83,256,650 common shares of the Company at a price of $0.1225 per share pursuant to it substantial issuer bid. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding number of shares.

**Overall Performance**

<u>Going Public and Financing Transactions</u>

The Company completed the process of going public through the completion of the GTA RTO on November 17, 2021.

On July 12, 2021, the Company officially entered into the Definitive Agreement and on November 9, 2021, the GTA RTO transaction closed. The resulting issuer's shares trade on the Canadian Securities Exchange under the symbol "TIDL".

The Company increased its cash position in connection with going public through an RTO. On July 13, 2021, the Company closed a non-brokered financing of 3,576,364 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,788,181 and a brokered financing of 2,971,000 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $1,485,500. As part of the GTA RTO, Tiidal split its common shares on the basis of one pre-share split Tiidal common share for 1.2738 post-share split Tiidal common share. Each subscription receipt was, upon satisfaction of the escrow release conditions, automatically converted into one unit of Tiidal, with each unit being comprised of one post-share split common share and one-half of one post-share split warrant. Each warrant will entitle the holder to purchase one post-share split common share for a period of 24 months following the conversion date at a price of $0.75.

On July 13, 2021, $3,257,408 from the subscription receipt financing was transferred to TSX Trust Company to be released upon the satisfaction of escrow conditions, including the GTA RTO transaction.

On October 7, 2021, the Company closed a second tranche of a non-brokered financing of 296,970 subscription receipts at a price of $0.50 per subscription receipt for gross proceeds of $148,485. The subscription receipts have the same terms and escrow conditions as the first tranche which closed on July 13, 2021, as noted above. $148,485 in gross proceeds from the second tranche of the subscription financing were transferred to TSX Trust.

On November 9, 2021, upon satisfaction of the escrow release conditions, the proceeds from the subscription receipts were transferred to the Company's unrestricted bank account.

The Company issued 346,890 subscription receipts to the agents in connection with the financing and issued 457,970 compensation options to the agents upon satisfaction of the escrow conditions. Each compensation option will be exercisable for one post-share split common share or one Resulting Issuer Share (subject to any necessary adjustments), as applicable, $0.50 for a period of 24 months following the satisfaction of the escrow release conditions.

As at October 31, 2021, $136,159 in finance fees and $28,600 in HST were paid directly from the gross proceeds to agents in the private placement and $173,445 in financing charges were paid through 346,890 subscriptions in lieu of cash.

For the year ended October 31, 2022, the Company recognized the remaining $12,966 in financing charges for the 457,970 compensation stock options issued during the year ended October 31, 2021. The Company recognized an aggregate of $481,043 from deferred financing charges upon completion of the GTA RTO and paid an additional aggregate of $14,134 in share issuance costs.

On September 20, 2022, the Company closed a non-brokered financing of 5,619,051 units for gross proceeds of $561,905. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $0.15 per common share for a period of 36 months following the closing date. Insiders participated in the round in the following manner:

On October 11, 2022, the Company closed a non-brokered private placement and issued an aggregate of 1,331,550 common shares at $0.10 per share for gross proceeds of $133,155.

On December 1, 2022, the Company closed a non-brokered private placement financing of 2,029,600 units at a price of $0.10 per unit for gross proceeds of $202,960. Each unit is comprised of one common share and one common share purchase warrant, with each warrant being exercisable to acquire one common share of the Company at a price of $0.15 per common share for a period of 36 months following the closing date. The Company issued 932,307 common shares to settle $93,231 in accounts payable.

On June 9, 2023, the Company issued 1,910,700 common shares to the vendors of the assets of Sportsflare pursuant to the satisfaction of the Market Validation Milestone per the asset purchase agreement dated December 14, 2020, as amended September 24, 2021. $334,821 was reclassified from shares to be issued to share capital.

On June 9, 2023, the Company, in conjunction with the closing of the sale of Tiidal NZ, granted 2,500,000 restricted share units to the Company's CEO, which immediately vested into 2,500,000 common shares of the Company. $200,000 was recorded in share-based payments and in share capital.

For the year ended October 31, 2023, the Company incurred $49,184 in share issuance costs for the subscription receipt financing and conversion to common shares and warrants.

On June 9, 2023, the Company completed the sale of its Sportsflare division (Tiidal NZ) to Entain Holdings (UK) Limited ("Entain"). The financial results of Tiidal NZ are reflected in discontinued operations. As of June 9, 2023, the Company does not have any remaining active operations.

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange approvals. There can be no assurances that any such options will be implemented by the Company.

<u>Net and Comprehensive Loss</u>

The Company's net income for the year ended October 31, 2023, was $8,936,416 (October 31, 2022, net loss - $7,418,964).

The Company's comprehensive income for the year ended October 31, 2023, was $9,109,757 (October 31, 2022, net loss - $7,668,883).

The increase in income year over year was due mainly to the closure of the Lazarus subsidiary and the sale of the Sportsflare subsidiary.

**Going Concern**

These audited consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $6,864,889 at October 31, 2023 (October 31, 2022 – $15,801,305). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

**Selected Annual Information**

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;Revenues | $— | $— |
| &nbsp;&nbsp;Cost of sales |  |  |
| &nbsp;&nbsp;Expenses | 1541997 | 3947269 |
| &nbsp;&nbsp;Net income (loss) | 8936416 | (7418964) |
| &nbsp;&nbsp;Comprehensive income (loss) | 9109757 | (7668883) |
| &nbsp;&nbsp;Basic and diluted comprehensive income (loss) per share | 0.10 | (0.10) |
| &nbsp;&nbsp;Total assets | 11127868 | 2096363 |
| &nbsp;&nbsp;Total liabilities | 259010 | 1162994 |

---

**Results of Operations for the year ended October 31, 2023, and 2022**

*Expenses*

The Company's operating expenses for the year ended October 31, 2023, were $1,541,997, compared to $3,947,269 for the year ended October 31, 2022.

General and administrative expenses decreased to $742,978 for the year ended October 31, 2023, from $1,166,580 in the year ended October 31, 2022. These costs consist primarily of salaries and office expenses incurred by corporate and legal costs related to the sale of Sportsflare.

Share based payments costs decreased to $578,725 for the year ended October 31, 2023, from $2,268,154 in the year ended October 31, 2022. The decrease in share-based payments as a result of stock options issued in the prior year and automatic vesting of RSUs upon completion of the GTA RTO, and the granting of new stock options to employees during 2022.

*General and administrative expenses*

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office and miscellaneous | $54188 | $178728 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and benefits | 291174 | 521822 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 355627 | 455302 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insurance and bank | 41989 | 10728 |
|  | $742978 | $1166580 |

---

For the year ended October 31, 2023, the Company's general and administrative expenses decreased by $423,602. The largest component of that decrease relates to reduction in staff related to administration and consulting. Office and miscellaneous expenses decreased by $124,540 for the year ended October 31, 2023. This was mainly the due to reduced travel. Professional fees decreased by $99,675 for the year ended October 31, 2023, mainly due to the reduced professional expenses incurred for the business transactions and the previous year's costs related to the completion of the GTA RTO.

**Summary of Quarterly Results**

The following financial data was derived from the eight most recently completed financial quarters:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **October 31,**<br>**2023** | **July 31,**<br>**2023** | **April 30,**<br>**2023** | **January**<br>**31, 2023** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net income (loss) | (220056) | 11045537 | (952171) | (936894) |
| &nbsp;&nbsp;Income (Loss) per share - basic and diluted | $0.00 | $0.13 | 0.01) | 0.01) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 84693987 | 85713748 | 83193208 | 82216755 |
|  | **October 31,** | **July 31,** | **April 30,** | **January** |
|  | **2022** | **2022** | **2022** | **31, 2022** |
| &nbsp;&nbsp;Revenues | $— | $— | $— | $— |
| &nbsp;&nbsp;Net loss | (1308489) | (1085175) | (1180865) | (3884785) |
| &nbsp;&nbsp;Loss per share - basic and diluted | 0.01) | 0.02) | (0.01) | (0.05) |
| &nbsp;&nbsp;Weighted average number of shares outstanding | 72799126 | 72605792 | 72043327 | 71783735 |

---

**Liquidity and Capital Resources**

As at October 31, 2023, the Company had working capital of $10,908,108 (October 31, 2022 – working capital deficiency of ($676,596), consisting primarily of cash, trade and other receivables, and prepaid expenses and deposits, offset by accounts payable and lease liability. Working capital increased due to the Company selling its Sportsflare division and holding that cash in short term investments.

**Cash Flows**

A summary of cash flows for the year ended October 31, 2023, and 2022 is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **2023** | **2022** | **Change** |
| &nbsp;&nbsp;Operating activities | $(1124994) | (2212464) | 1087470 |
| &nbsp;&nbsp;Discontinued operations | (241056) | (1827211) | 1586155 |
| &nbsp;&nbsp;Investing activities | 1273773 | 6802 | 1266971 |
| &nbsp;&nbsp;Financing activities | 153776 | 4062014 | (3908238) |
| &nbsp;&nbsp;Effect on FX on cash | 1543 | (35841) | 37384 |
| &nbsp;&nbsp;Change in cash | $63042 | (6700) | 69742 |

---

*Operating Activities*

For the year ended October 31, 2023, operating activities used $1,124,994 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses.

*Investing Activities*

For the year ended October 31, 2023, investing activities consisted of the purchase of short-term investments.

*Financing Activities*

For the year ended October 31, 2023, financing activities consisted of share issuances less share issuance costs.

**Off-Balance Sheet Arrangements**

The Company did not enter into any off-balance sheet arrangements as at October 31, 2023 or as at the date of this report.

**Related Party Transactions**

Key management consists of the officers and directors who have authority and are responsible for overseeing, planning, directing and controlling the activities of the Company.

For the year ended October 31, 2023, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**October 31, 2023** | **Year ended**<br>**October 31, 2022** |
| &nbsp;&nbsp;Management and director fees | $175933 | $167200 |
| &nbsp;&nbsp;Salaries | 374593 | 603509 |
| &nbsp;&nbsp;Share-based payments | 204052 | 1641737 |
| &nbsp;&nbsp;Restricted share units | 200000 |  |
|  | $**954579** | $**2412446** |

---

For the year ended October 31, 2023, the Company incurred $240,000 (October 31, 2022 - $190,000) in salaries to Thomas Hearne, CEO and Director.

**Due to/from Related Parties**

As at October 31, 2023, included in accounts payable and other liabilities is $1,018 (October 31, 2022 – $101,717) in amounts payable to directors and officers of the Company.

**Proposed Transactions**

As at the date of this MD&A, the Company has no proposed transactions.

**Commitments**

As at October 31, 2023, and the date of this MD&A, the Company did not have any commitments.

**Accounting Standards, Amendments, and Interpretations not yet Effective**

*Accounting standards issued but not yet effective*

The Company has reviewed new and revised accounting pronouncements that have been issued but are not yet effective.

Management anticipates that all the pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have an impact on the Company's condensed consolidated interim financial statements.

**Financial and Other Instruments**

**Fair values**

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities are as follows:

Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

Inputs for the assets or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of the cash, restricted cash, trade and other receivables, accounts payable and other liabilities, subscription liability, promissory notes payable, and convertible notes approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, restricted cash and subscription liability are recorded at fair value using level 2 inputs. Cash includes demand deposits with financial institutions and cash equivalents consist of short-term, highly liquid investments purchased with original maturities of three months or less. As at October 31, 2023 and 2022, the Company did not have any cash equivalents.

**Risk Management**

**Credit risk**

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations. The Company's maximum exposure to credit risk for its trade receivables is equal to the carrying amount of those items.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

**Liquidity risk**

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements. The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in next twelve months can be summarized as follows:

---

| | | |
|:---|:---|:---|
| | **2023** | **2022** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $219760 | $984740 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability (current) |  | 47546 |
|  | $**219760** | $**1032286** |

---

**Foreign currency risk**

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk historically has arisen from accounts payables denominated in US dollars that are held in entities with a Canadian dollar functional currency.

The Company is not currently exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and accrued liabilities that are denominated in US dollars.

**Interest rate risk**

The Company does not have any significant exposure as at October 31, 2023 and October 31, 2022 to interest rate risk through its financial instruments.

**Other MD&A Requirements**

*Outstanding Share Data*

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at October 31, 2023:

---

| | | |
|:---|:---|:---|
| | **October 31, 2023** | **February 8, 2024** |
| &nbsp;&nbsp;Common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Opening balance | 80231301 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subscription receipts financing December 1, 2022 | 2961907 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vesting of RSUs | 2500000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Milestone shares | 1910700 |  |
| &nbsp;&nbsp;Outstanding common shares of the Resulting Issuer | 87603908 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares repurchased via Share Issuer |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bid |  | (83256650) |
| &nbsp;&nbsp;Outstanding common shares | 87603908 | 4347258 |
| &nbsp;&nbsp;Additional common shares reserved for potential future issue re: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent shares |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share purchase warrants | 13864917 | 13864917 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock options | 5251771 | 3681771 |
| &nbsp;&nbsp;Fully diluted total | 106788297 | 109750204 |

---

As at October 31, 2023, the following stock options were outstanding, entitling the holders thereof the right to purchase one common share for each option held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number Outstanding** | **Exercise Price** | **Expiry Date** | **Number Exercisable** |
| 457971 | $0.50 | November 9, 2023 | 457971 |
| 636900 | $0.39 | November 9, 2026 | 636900 |
| 1950000 | $0.30 | January 4, 2027 | 1500000 |
| 636900 | $0.16 | April 1, 2029 | 636900 |
| 1470000 | $0.10 | December 31, 2023 | 1470000 |
| 100000 | $0.10 | October 1, 2026 | 100000 |
| 5251771 |  |  | 4801771 |

---

As at the date of this report, the following stock options were outstanding, entitling the holders thereof the right to purchase one common share for each option held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number Outstanding** | **Exercise Price** | **Expiry Date** | **Number Exercisable** |
| 457971 | $0.50 | November 9, 2023 | 457971 |
| 636900 | $0.39 | November 9, 2026 | 636900 |
| 1950000 | $0.30 | January 4, 2027 | 1500000 |
| 636900 | $0.16 | April 1, 2029 | 636900 |
| 3681771 |  |  | 3231771 |

---

At October 31, 2023 the following warrants were outstanding, entitling the holders thereof the right to purchase one common share for each warrant held as follows:

---

| | | | |
|:---|:---|:---|:---|
| **Number** | **Exercise Price** | **Expiry Date** | **Number Vested** |
| 3939409 | $0.75 | Nov 9, 2023 | 3939409 |
| 5597051 | $0.15 | Sept 20, 2025 | 5597051 |
| 1366550 | $0.15 | Oct 12, 2025 | 1366550 |
| 2961907 | $0.15 | Nov 30, 2025 | 2961907 |
| 13864917 |  |  | 13864917 |

---

**Subsequent Events**

On November 2, 2023, the Company announced that, further to its previously communicated release on October 30, 2023, it has launched its substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation all of its issued and outstanding common shares, being 87,603,908 for aggregate cash consideration of up to $10,731,479 or $0.1225 per share.

On December 15, 2023, the Company announced that it has taken up and purchased for cancellation an aggregate of 83,256,650 common shares of the Company at a price of $0.1225 per share pursuant to it substantial issuer bid. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding number of shares.

On December 15, 2023, the Company announced cancellation of 1,570,000 options of the Company that had an exercise price of $0.10 per Share for consideration of $0.0225 per in-the-money-option, representing the difference between the exercise price of the in-the-money options and the purchase price under the offer for aggregate consideration equal to approximately $35,325.

**Risks and Uncertainties**

The Company believes that the following risks and uncertainties may materially affect its success:

**Limited Operating History**

The Company is relatively new with limited operating history and operates in the emerging industry of Esports. The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

**Substantial Capital Requirements and Liquidity**

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

**Dependence on Industry and Player Popularity**

The esports industry is in the early stages of its development. Although the esports industry has experienced rapid growth, consumer preferences may shift and there is no assurance that this growth will continue in the future. The Company's has taken steps to diversify its business and mitigate these risks to an extent and continues to seek out new opportunities in the esports and gaming industries. However, due to the rapidly evolving nature of technology and online gaming, the esports industry may experience volatile and declining popularity as new options for online gaming and esports become available, or consumer preferences shift to other forms of entertainment, and as a consequence, the Company's business and results of operations may be materially negatively affected. The Company's financial results may also depend on the popularity of the players, influencers and other on-screen talent that will provide services to the Company. Such individuals can impact online viewership and television ratings, which in turn could affect the long-term value of the media rights and sponsorship opportunities available to the Company. There can be no assurance that the Company's players, influencers and other on-screen talent will develop or maintain continued popularity.

**Competition and Changes in Technology**

The Company must compete with other esports organizations, in varying respects and degrees. For example, the Company will be in competition with other esports teams streamers, and other forms of digital entertainment as well as established and start-up B2B data companies. As a result of the large number of options available and global nature of the online gaming industry, the Company faces strong competition for esports competitors and fans. Given the nature of esports, there can be no assurance that the Company will be able to compete effectively, including with companies that may have greater resources than the Company has and as a consequence, the Company's business and results of operations may be materially, negatively affected.

Current and potential competitors have established or may establish cooperative relationships amongst themselves or with third parties to compete more effectively. Existing and potential competitors may also develop enhancements to, or future generations of, competitive products and services that will have better performance features than the Company's products and services. As a result of the early stage of the industry in which the Company operates, it expects to face additional competition from new entrants. To remain competitive, the Company will require a continued high level of investment in research and development, marketing, sales and client support. The Company may not have sufficient resources to maintain research and development, marketing, sales and client support efforts on a competitive basis which could materially and adversely affect the business, financial condition and results of operations of the Company.

**Reliance on Management and Dependence on Key Personnel**

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

**The online gaming industry is heavily regulated**

While the Company does not presently require licenses for its technology offerings in the betting sector based on current operations as a business-to-business data offering that does not directly interact with end-customers, the regulation around betting is evolving rapidly and that may change in the future. The Company and its officers, directors, major shareholders, key employees and business partners will generally be subject to the laws and regulations relating to online gaming of the jurisdictions in which the Company may conduct business, as well as the general laws and regulations that apply to all e-commerce businesses, such as those related to privacy and personal information, tax and consumer protection. These laws and regulations vary from one jurisdiction to another and future legislative and regulatory action, court decisions or other governmental action, which may be affected by, among other things, political pressures, attitudes and climates, as well as personal biases, may have a material impact on the Company's operations and financial results.

In particular, some jurisdictions have introduced regulations attempting to restrict or prohibit online gaming, while others have taken the position that online gaming should be licensed and regulated and have adopted or are in the process of considering legislation to enable that to happen. Even where a jurisdiction purports to license and regulate online gaming, the licensing and regulatory regimes can vary considerably in terms of their business-friendliness and at times may be intended to provide incumbent operators with advantages over new licensees. As such, some "liberalized" regulatory regimes are considerably more commercially attractive than others.

Regulatory regimes imposed upon gaming providers vary by jurisdiction. Typically, however, most regulatory regimes include the following elements:

● a requirement for gaming license applicants to make detailed and extensive disclosures as to their beneficial ownership, their source of funds, the probity and integrity of certain persons associated with the applicant, the applicant's management competence and structure and business plans, the applicant's proposed geographical territories of operation and the applicant's ability to operate a gaming business in a socially responsible manner in compliance with regulation;

● Interviews and assessments by the relevant gaming authority intended to inform a regulatory determination of the suitability of applicants for gaming licenses;

● Ongoing reporting and disclosure obligations, both on a periodic and ad hoc basis in response to material issues affecting the business;

● The testing and certification of software and systems, generally designed to confirm such things as the fairness of the gaming products offered by the business, their genuine randomness and ability accurately to generate settlement instructions and recover from outages;

● The need to account for applicable gaming duties and other taxes and levies, such as fees or contributions to bodies that organize the sports on which bets are offered, as well as contributions to the prevention and treatment of problem gaming; and

● Social responsibility obligations.

Any gaming license may be revoked, suspended or conditioned at any time, and the industry has recently experienced significantly more enforcement actions, particularly in Great Britain, where the Gambling Commission has issued fines against numerous operators for regulatory failings. The loss of a gaming license in one jurisdiction could trigger the loss of a gaming license or affect the Company's eligibility for such a license in another jurisdiction, and any of such losses, or potential for such loss, could cause the Company to cease offering some or all of its product offerings in the impacted jurisdictions. The Company may be unable to obtain or maintain all necessary registrations, licenses, permits or approvals, and could incur fines or experience delays related to the licensing process, which could adversely affect its operations. The determination of suitability process may be expensive and time-consuming. The Company's delay or failure to obtain gaming licenses in any jurisdiction may prevent it from distributing its product offerings, increasing its customer base and/or generating revenues in that jurisdiction. A gaming regulatory body may refuse to issue or renew a gaming license if the Company, or one of its directors, officers, employees, major shareholders or business partners: (i) are considered to be a detriment to the integrity or lawful conduct or management of gaming, (ii) no longer meet a licensing or registration requirement, (iii) have breached or are in breach of a condition of licensure or registration or an operational agreement with a regulatory authority, (iv) have made a material misrepresentation, omission or misstatement in an application for licensure or registration or in reply to an inquiry by a person conducting an audit, investigation or inspection for a gaming regulatory authority, (v) have been refused a similar gaming license in another jurisdiction, (vi) have held a similar gaming license in that province, state or another jurisdiction which has been suspended, revoked or cancelled, or (vii) has been convicted of an offence, inside or outside of a particular jurisdiction that calls into question the honesty or integrity of the Company or any of its directors, officers, employees or associates.

**Cybersecurity risks**

The Company's operations involve the storage and transmission of customer data, including personally identifiable information, and security incidents could result in unauthorized access to, the loss of, or unauthorized disclosure of such information. To mitigate cybersecurity risks, the Company has built a technical team headed by Christopher Herrmann, which has designed and maintains the Company's technology platform from a security perspective. The Company does not currently have cybersecurity insurance. Although the Company has security systems in place and what it deems sufficient security around its system to prevent unauthorized access, it must ensure that it continually enhances security and fraud protection within its platform, and if the Company is unable to do so it may become subject to liability for privacy breaches or consequences that result from any unanticipated incident. As a result of advances in computer capabilities, new discoveries in the field of cryptography or other developments, a compromise or breach of the Company's security precautions may occur. The techniques used to obtain unauthorized, improper or illegal access to the Company's systems, data or customers' data and to sabotage its system are constantly evolving and may be difficult to detect quickly. An information breach in the Company's system and loss of confidential information such as credit card numbers and related information, or interruption in the operation of the Company's applications, could have a longer and more significant impact on the Company's business operations than any hardware failure. A compromise in the Company's security system could severely harm its business by the loss of its customers' confidence in it and thus the loss of their business. The Company may be required to spend significant funds and other resources to protect against the threat of security breaches or to alleviate problems caused by these breaches. However, protection may not be available at a reasonable price, or at all. Any failure to adequately comply with necessary protective measures could result in fees, penalties and/or litigation. Concerns regarding the security of e-commerce and the privacy of customers may also inhibit the growth of the Internet as a means of conducting commercial transactions, which may result in a reduction in revenues and increase operating expenses preventing the Company from achieving profitability.

**Conflicts of Interest**

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The British Columbia Business Corporations Act ("BCBCA") provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

**Litigation**

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

**Schedule "E"**

*MD&A of Bitzero*

**BITZERO BLOCKCHAIN INC.**

Management's Discussion and Analysis

For the three and nine months ended June 30, 2025

*(expressed in United States Dollars, unless otherwise stated)*

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**1.** **MANAGEMENT'S DISCUSSION AND ANALYSIS** 

This Management's Discussion and Analysis (this "MD&A") provides a review of the results of operations, financial condition and cash flows for Bitzero Blockchain Inc. ("Bitzero" or the "Company"), on a consolidated basis, for the three and nine months ended June 30, 2025.

This document should be read in conjunction with the information contained in the Company's unaudited interim condensed consolidated financial statements and related notes for the three and nine months ended June 30, 2025 (the "Q3 Financial Statements"), which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Unless otherwise indicated, all dollar ("$") and "USD" amounts and references in this MD&A are in United States dollars.

Unless otherwise stated, in preparing this MD&A the Company has taken into account information available to it up to the date of this MD&A, November 16, 2025, being the date the Company's board of directors (the "Board") approved this MD&A and the corresponding financial statements. All quarterly information contained herein is unaudited.

This MD&A was written to comply with the requirements of National Instrument 51-102 – Continuous Disclosure Obligations. This MD&A contains information up to and including November 16, 2025.

**2.** **CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION** 

This MD&A contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to our objectives and the strategies to achieve these objectives, expected hashrate growth and fleet efficiency; anticipated expansion of capacity at the Norwegian facility; expected economies of hosting arrangements; liquidity and capital resources; the impact of the April 2025 Bitcoin halving on mining economics; and the timing and magnitude of planned equipment purchases, as well as information with respect to our beliefs, plans, expectations, anticipations, estimates and intentions. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that infer actions, events or results with terminology such as "may", "could", "would", "might", "will be taken", "occur" or "be achieved".

Forward-looking information is provided for the purposes of assisting the reader in understanding the Company and its business, operations, prospects and risks at a point in time in the context of historical and possible future developments and, therefore, the reader is cautioned that such information may not be appropriate for other purposes.

Forward-looking information is based upon numerous assumptions and is subject to a number of known and unknown risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, the risk factors that are discussed in greater detail under "Risk Factors and Uncertainties".

Although the forward-looking information contained herein is based upon what we believe are reasonable assumptions, readers are cautioned against placing undue reliance on this information since actual results may vary from the forward-looking information. Certain assumptions were made in preparing the forward-looking information concerning availability of capital resources, business performance, market conditions, and customer demand.

Page **2** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**2.** **CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION (CONT'D)** 

Consequently, all of the forward-looking information contained herein is qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation.

Forward-looking information is subject to the risks and uncertainties described under "Risk Factors and Uncertainties" in this MD&A. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained herein is provided as of the date hereof, and we do not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.

**3.** **OVERVIEW AND SIGNIFICANT EVENTS** 

(a) <u>General information</u> 

Bitzero Blockchain Inc. (the "Company" or "Bitzero"), was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 925-1000 Cathedral Place, West Georgia Street, Vancouver, British Columbia V6C 3L2 Canada.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of the bitcoin ("Bitcoin"). The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity controlled by Bitzero Blockchain Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

**<u>This interim MD&A should be read in conjunction with the Company's audited annual consolidated financial statements and accompanying annual MD&A for the most recently completed fiscal year, together with the Company's most recent Annual Information Form (AIF). These documents, and additional information relating to the Company, are available under the Company's issuer profile on SEDAR+.</u>**

(b) <u>Basis of consolidated reporting</u> 

The consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee. Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity. The accounting policies of subsidiaries are the same as those of the Company.

Page **3** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(b) <u>Basis of consolidated reporting (cont'd)</u> 

---

| | | | |
|:---|:---|:---|:---|
| <br>&nbsp;&nbsp;**Subsidiary** | &nbsp;&nbsp;**Ownership at**<br>&nbsp;&nbsp;**30-Jun-25** | &nbsp;&nbsp;**Ownership at**<br>&nbsp;&nbsp;**30-Sep-24** | &nbsp;&nbsp;**Country of**<br>&nbsp;&nbsp;**incorporation** |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. (the "Barbadian Subsidiary") | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I, LLC | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;("ND I, LLC") |  |  |  |
| &nbsp;&nbsp;Bitzero ND II, LLC | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;("ND II, LLC") |  |  |  |
| &nbsp;&nbsp;Ahold XVIII Oy | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Finland |

---

(c) <u>Description of the business</u> 

Bitzero was created to disrupt and innovate in the Blockchain and data center spaces to move markets away from unsustainable data and mining practices. It is engaged in the development and operation of data centers and related energy infrastructure, Bitcoin self-mining, and high performance computing ("HPC") hosting. Bitzero's primary objective is to address the increasing demand for IT energy infrastructure driven by the growth of Blockchain technology and other HPC applications by leveraging advanced technology and energy-efficient solutions. By creating harmony with local authorities, investors, and customers, Bitzero aims to become a leader in Blockchain mining and HPC hosting in a sustainable fashion and set a new global standard for best practices in clean energy sourcing, heat capture, and sustainability within local communities.

The Company's strategic objective is to become a leader in sustainable blockchain mining and high-performance computing hosting, leveraging advanced technology and energy-efficient solutions.

(d) <u>Products and services</u> 

The process by which cryptocurrency coins or tokens are created and transactions are verified is called mining. A user or miner operates a publicly distributed mining client, which turns the user's computer into a "node" on the network that validates blocks. In order to add blocks to the Bitcoin Blockchain, a miner must map an input data set (i.e., the Blockchain plus a block of the most recent transactions and an arbitrary number called a "nonce") to a desired output data set of a predetermined length using an algorithm. As more miners join the network and its processing power increases, the network adjusts the complexity of the block solving equation to maintain a pace of adding a new block to the Blockchain approximately every 10 minutes. Below is further disclosure on the specific steps taken in Bitcoin mining operations, including how Bitzero currently engages in Bitcoin mining.

Bitcoin miners must first secure land with allocated energy resources, typically measured in MW. After that, the Bitcoin mining site must be prepared for site construction. At the Data Center, substantiation construction took place which required building a 40MW substation to convert high-voltage grid power to low voltage. The necessary electrical cabling was installed and then contracts with the local energy grid providers were entered into to secure fixed energy prices for 5 years. On January 1, 2023, Exanorth and an energy provider entered into two power delivery agreement (the "Energy Provider Power Agreement"), whereby the energy provider provides physical power delivery and additional services to the First Norway Property. All electricity and power supplied to the Data Center is through the energy provider through the Energy Provider Power Agreement.

Page **4** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(d) <u>Products and services (cont'd)</u> 

Bitcoin mining containers are used so that owners and investors can move mining rigs easily. In essence, Bitcoin mining containers are shipping containers equipped with the necessary components to conduct mining operations, including power supply units, cooling systems, security measures, and fire suppression systems. Each Bitcoin mining container houses several mining computers in racks, consuming approximately 1MW of power each. The number of mining units per container varies (typically between 200 and 312), depending on the equipment. The containers include racks for miners, power distribution units (PDUs), cooling systems to maintain optimal temperatures, and fire suppression systems.

Miners receive transaction fees as an additional incentive, supplementing the Block Reward (the newly created Bitcoins given to the miner who finds a new block). Users can attach fees to their transactions to incentivize miners to prioritize their transactions over others. Higher Transaction Fees typically result in faster confirmation times. The total Transaction Fees paid depends on the transaction size in bytes and the fee rate set by the user.

The demand for data centers is increasing across the globe among cryptocurrency miners, cloud service providers, and artificial intelligence companies. There has been a significant increase in governmental regulation around carbon emissions from high-energy consuming data centers, including in Norway which has become a popular destination for cryptocurrency miners. Additionally, security concerns are of a high degree of importance since data centers handle extremely sensitive, large volumes of information. With these considerations, identifying new data center opportunities for Bitzero's ecosystem partners to provide efficient and low-cost energy solutions is a core part of its business model. While Bitzero currently has the Data Center and the non-operational Nekoma Pyramid, it also is undergoing negotiations to expand its facilities in the North American and Scandinavian regions.

**4.** **SUBSEQUENT EVENTS** 

(a) <u>Direct subscriptions</u> 

During the period from August to October of 2025, the Company issued 3,021,750 common shares at $0.20 and $0.40 per share, raising a total of $808,700.

(b) <u>Share-based settlement</u> 

On July 28, 2025, the Company issued 63,907 common shares in connection to a settlement agreement with an existing shareholder at a stated price of $0.60 per share.

(c) <u>Private placements</u> 

Between August and October 2025, the Company closed brokered private placements totaling 2,937,500 units for gross proceeds of $1,175,000. Each unit comprises one convertible debenture and one common share purchase warrant. The convertible debentures bear interest at 15 percent per annum from issuance to the earlier of holder-elected conversion or three years from the date of issuance and are convertible into one common share at $0.40 per share. Each warrant entitles the holder to acquire one common share at an exercise price of $0.50 per share for two years from the date of issuance.

Page **5** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**4.** **SUBSEQUENT EVENTS (CONT'D)** 

(c) <u>Private placements (cont'd)</u> 

Between August and October 2025, the Company closed a brokered private placement totaling 3,750,000 units for gross proceeds of $1,500,000. Each unit comprises one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of $0.40 per share for 2 years from the date of issuance.

(d) <u>Issuance of RSUs</u> 

In September and October 2025, the Company granted 12,330,000 RSUs at a stated price of $0.40 per unit, with each unit being convertible into one common share upon exercise by the holder. The RSUs vest upon completion of the reverse takeover of the Company.

(e) <u>Issuance of convertible debt</u> 

In October 2025, the Company issued convertible debentures for gross proceeds totalling $2,853,990. The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

(f) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

An additional delayed draw facility of up to $8,240,000 is available at the lenders' discretion; lenders are not obligated to fund any delayed draw, and any advance, if elected by the lenders, is subject to (i) timely delivery of a borrowing notice, (ii) the total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

In connection with the financing, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 common shares (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

(g) <u>Contingent consideration</u> 

Subsequent to the reporting date, there have been no changes to status of the settlement with a shareholder. The contingent consideration described in **Note 11** remains outstanding, the SPA has not been executed, the kr 2,000,000 ($190,335) cash payment has not been made, and the transfer of KlimaCloud shares has not occurred.

Page **6** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES** 

(a) <u>Presentation of financial information</u> 

Unless otherwise specified herein, financial results, including historical comparatives, contained in this MD&A are based on the Company's Annual Financial Statements, which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and the interpretations of the IFRS Interpretations Committee ("IFIRC"). Unless otherwise specified, amounts are in United States dollars and percentage changes are calculated using whole numbers.

(b) <u>Non-IFRS measures</u> 

In addition to the reported IFRS measures, industry practice is to evaluate entities giving consideration to certain non-IFRS performance measures, such as earnings before interest, taxes, depreciation and amortization ("EBITDA") or adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA").

These measures are not in accordance with IFRS and have no standardized definitions, and as such, our computations of these non-IFRS measures may not be comparable to measures by other reporting issuers. In addition, Company's method of calculating non-IFRS measures may differ from other reporting issuers, and accordingly, may not be comparable.

*Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")* 

EBITDA is used as an alternative to net income because it includes major non-cash items such as interest, taxes and amortization, which management considers non-operating in nature. A reconciliation of EBITDA to IFRS net income is presented under **Note 10** of this MD&A.

*Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("Adjusted EBITDA")* 

Adjusted EBITDA is used as an alternative to net income because it excludes major non-cash items such as amortization, stock-based compensation, current and deferred income tax expenses and other items management considers non-operating in nature. A reconciliation of adjusted EBITDA to IFRS net income is presented in **Note 10** of this MD&A.

EBITDA and Adjusted EBITDA are used by management as inputs in our internal metrics and in evaluating our ability to satisfy the Company's obligations. EBITDA and Adjusted EBITDA are used as alternatives to IFRS net income (loss) because it excludes major non-cash items (including depreciation and amortization, interest, taxes and share-based payments) and other items that management considers non-operating in nature.

Management believes that these measures are helpful to investors because they are widely recognized measures of Company's performance and provides a relevant basis of comparison to other entities. In addition to IFRS results, these measures are also used internally to measure the operating performance of the Company.

(c) <u>New and amended IFRS accounting standards that are effective for the current year</u> 

There have been no changes to the adoption of the new and revised IFRS Accounting Standards that had been issued and were effective in the period since the Company's audited annual consolidated financial statements and accompanying annual MD&A.

Page **7** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES (CONT'D)** 

(d) <u>New and revised IFRS accounting standards in issue but not yet effective</u> 

There have been no changes to the plans to adopt new and revised IFRS Accounting Standards that had been issued but are not effective in the period since the Company's audited annual consolidated financial statements and accompanying annual MD&A.

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY** 

There have been no changes to the Company's critical judgments and responses to estimation uncertainty in the period since the Company's audited annual consolidated financial statements and accompanying annual MD&A.

**7.** **SELECTED FINANCIAL INFORMATION** 

(a) <u>Quarterly information for the from the three-months ended statements of profit or loss</u> 

The following table provides selected financial information from the statement of loss and comprehensive loss of the Company for the three months ended June 30, 2025 and 2024:

---

| | |
|:---|:---|
|  | For the year<br>ended<br>30-Sep-24 |
| &nbsp;&nbsp;Revenue from digital assets mined | 15607000 |
| &nbsp;&nbsp;Revenue from hosting services | 7004281 |
| &nbsp;&nbsp;Direct costs | (24387670) |
| &nbsp;&nbsp;Operating expenses | (3382638) |
| &nbsp;&nbsp;Operating loss before other items | (5159027) |
| &nbsp;&nbsp;Other items | (8611223) |
| &nbsp;&nbsp;Total comprehensive loss | (13770250) |

---

*(i)* *Revenue from digital assets mined* 

*(ii)* *Revenue from hosting services* 

Hosting revenue declined to nil from $1.623 million in Q3 2024, as hosting arrangements were wound down and settled. During the period the Company cancelled related leases and entered into a settlement with a former hosting customer, consistent with the absence of hosting revenue this quarter.

*(iii)* *Direct costs* 

Direct costs rose 5% to $6.927 million (Q3 2024: $6.568 million), primarily due to higher utilities of $3.916 million versus $3.133 million in the prior-year quarter. Depreciation of tangible assets was broadly flat year-over-year, while amortization related to right-of-use assets trended down given lease cancellations.

Page **8** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Quarterly information for the from the three-months ended statements of profit or loss (cont'd)</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(iv)* *Operating expenses* 

Operating expenses were $1.778 million (Q3 2024: $1.263 million). The increase was driven mainly by higher finance costs of $0.639 million (Q3 2024: $0.099 million) due to interest on settlement amounts and on loans/other payables, and higher marketing of $0.102 million (Q3 2024: $0.009 million). Administrative expenses decreased to $1.037 million from $1.155 million, with legal fees of $0.589 million in the quarter.

Legal and consulting expenses were $0.589 as compared to $0.287 million in the comparative period. The increase in legal fees reflects transaction and documentation work related to the wind-down of hosting arrangements and related lease cancellations/settlements, and financing work associated with the senior secured loan executed late in the quarter. Consulting costs were broadly consistent with the prior-year quarter and reflect ongoing corporate and financing support during the period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(v)* *Other items* 

Other items were a net loss of $5.8 million (Q3 2024: $0.9 million loss). The variance was driven by $5.7 million of share-based compensation recognized on RSUs, and a foreign exchange loss of $0.181 million versus a gain in the prior-year quarter. These were partly offset by a realized gain on sale of digital currency of $0.441 million and a $1.937 million gain recorded on lease cancellation/contract settlement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Quarterly information for the from the nine-months ended statements of profit or loss</u> 

The following table provides selected financial information from the statement of loss and comprehensive loss of the Company for the nine months ended June 30, 2025 and 2024:

---

| | |
|:---|:---|
|  | For the year<br>ended<br>30-Sep-24 |
| Revenue from digital assets mined | 15607000 |
| Revenue from hosting services | 7004281 |
| Direct costs | (24387670) |
| Operating expenses | (3382638) |
| Operating loss before other items | (5159027) |
| Other items | (8611223) |
| Total comprehensive loss | (13770250) |

---

*(i)* *Revenue from digital assets mined* 

For the nine months ended June 30, 2025, revenue from digital assets mined increased to $17.442 million from $10.599 million in the prior-year period, reflecting stronger self-mining activity and output.

Page **9** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Quarterly information for the from the nine-months ended statements of profit or loss (cont'd)</u> 

*(ii)* *Revenue from hosting services* 

Hosting revenue decreased sharply to $1 thousand from $3.380 million, consistent with the settlement of historical hosting arrangements and the cancellation of related leases during the year-to-date period.

*(iii)* *Direct costs* 

Direct costs were $18.986 million (2024 YTD: $18.272 million). The year-over-year change reflects higher utilities of $9.044 million (2024 YTD: $7.997 million) and higher depreciation of tangible assets of $8.938 million (2024 YTD: $8.652 million), partly offset by lower amortization of right-of-use assets following lease cancellations.

*(iv)* *Operating expenses* 

Operating expenses increased to $4.837 million from $2.926 million. Administrative expenses rose to $3.364 million (2024 YTD: $2.413 million), including higher legal ($1.562 million) and consulting ($1.113 million) costs; marketing expenses increased to $0.565 million (2024 YTD: $0.029 million); and finance costs increased to $0.908 million (2024 YTD: $0.484 million) reflecting interest on settlement obligations and other borrowings.

Legal and consulting expenses increased to $1.562 million as compared to $0.990 million in the comparative period. The year-to-date increase primarily reflects professional services to negotiate and document the wind-down of hosting arrangements and related lease cancellations and settlements, together with legal and advisory work to structure and close the senior secured loan and related warrant and security documentation.

*(v)* *Other items* 

Other items were a net loss of $7.4 million (2024 YTD: $0.5 million loss). The variance was driven primarily by $10.2 million of share-based compensation (2024 YTD: $1.532 million) and a foreign-exchange loss of $1.588 million versus a gain in the prior period, partly offset by a $1.564 million realized gain on sale of digital currency and approximately $1.932 million of gains recognized on lease cancellation/contract settlement; the prior year also reflected a $0.272 million provision related to settlement.

(c) <u>Digital currency operations</u> 

For the three and nine months ended June 30, 2025, revenue for digital assets mined was $6.4M and $17.4M, respectively (2024 - $2.8M and $10.6M, respectively).

The change reflects 130.28 BTC mined during the 9 months ended June 30, 2025 as compared to 136.91 BTC mined during the comparative period, driven primarily by differences in average hashrate and network difficulty.

Average hashrate for the period was 1.35 EH/s (period-end installed hashrate 1.42 EH/s), compared with installed capacity of 0.42 EH/s across 32 containers and 10,263 miners.

Average realized price of 96,181 $/BTC (including transaction fees) as compared to 59,567 $/BTC in the comparative period, consistent with our policy to recognize mining revenue at the fair value of digital assets upon receipt.

Page **10** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(c) <u>Digital currency operations (con'd)</u> 

Existing rigs (installed prior to the beginning of the reporting period): approximately 91.24% of mining revenue. New rigs (placed in service during the reporting period): approximately 8.76% of mining revenue.

For the three and nine months ended June 30, 2025, direct costs were $6.9M and $19.0M, respectively (2024 - $6.6M and $18.3M, respectively). Electricity and grid services: 35.41 MWh × 43.87 $/MWh = $7,799,804 (For the comparative period: 26.63 MWh × 49.51 $/MWh = 6,727,240). Utilities increased year-over-year, reflecting higher consumption during higher-uptime periods and network conditions.

**8.** **QUARTERLY RESULTS** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | | March 31, | June 30, | September 30, | September 30, |
|  | <br>December 31,<br>2021 | 2022 | 2022 | 2022 | 2022 |
|  |  | $— |  | $— | $|
| &nbsp;&nbsp;Revenue |  |  |  |  | 2713422 |
| &nbsp;&nbsp;Net loss and comprehensive loss |  |  |  |  | 15030906 |
| &nbsp;&nbsp;Total assets |  |  |  |  | 43090648 |
| &nbsp;&nbsp;Total liabilities |  |  |  |  | 7532769 |
| &nbsp;&nbsp;Basic and diluted loss per share |  |  |  |  | 0.05 |
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | December 31, | March 31, | June 30, | September 30, | September 30, |
|  | 2022 | 2023 | 2023 | 2023 | 2023 |
|  |  | $— |  | $— | $|
| &nbsp;&nbsp;Revenue |  |  |  |  | 9408300 |
| &nbsp;&nbsp;Net loss and comprehensive loss |  |  |  |  | 2534802 |
| &nbsp;&nbsp;Total assets |  |  |  |  | 29850652 |
| &nbsp;&nbsp;Total liabilities |  |  |  |  | 9993673 |
| &nbsp;&nbsp;Basic and diluted loss per share |  |  |  |  | 0.01 |
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | December 31, | March 31, | June 30, | September 30, | September 30, |
|  |  |  |  |  | 2024 |
|  |  | $— |  | $— | $|
| &nbsp;&nbsp;Revenue |  |  |  |  | 9567912 |
| &nbsp;&nbsp;Net loss and comprehensive loss |  |  |  |  | 10177157 |
| &nbsp;&nbsp;Total assets |  |  |  |  | 29850652 |
| &nbsp;&nbsp;Total liabilities |  |  |  |  | 16025622 |
| &nbsp;&nbsp;Basic and diluted loss per share |  |  |  |  | 0.03 |

---

Page **11** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**8.** **QUARTERLY RESULTS (CONT'D)** 

---

| | | | |
|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | December 31, | March 31, | June 30, |
|  | 2024 | 2025 | 2025 |
| &nbsp;&nbsp;Revenue |  |  |  |
| &nbsp;&nbsp;Net loss and comprehensive loss |  |  |  |
| &nbsp;&nbsp;Total assets |  |  |  |
| &nbsp;&nbsp;Total liabilities |  |  |  |
| &nbsp;&nbsp;Basic and diluted loss per share |  |  |  |

---

All quarterly financial information is unaudited.

**9.** **MATERIAL TRANSACTIONS** 

(a) <u>Issued and outstanding share capital</u> 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;Share issuances | Shares | Share capital |
|  | # | $|
| &nbsp;&nbsp;Balance as at September 30, 2023 | 309582563 | 76931052 |
| &nbsp;&nbsp;June 4, 2024 | 7000000 | 1160853 |
| &nbsp;&nbsp;September 6, 2024 | 1000000 | 200000 |
| &nbsp;&nbsp;September 12, 2024 | 15379100 | 3370541 |
|  | 23379100 | 4731394 |
| &nbsp;&nbsp;Balance as at September 30, 2024 | 332961663 | 81662446 |
| &nbsp;&nbsp;October 1, 2024 | 14500000 | 2900000 |
| &nbsp;&nbsp;October 2, 2024 | 3000000 | 657491 |
| &nbsp;&nbsp;October 17, 2024 | 1250000 | 250000 |
| &nbsp;&nbsp;October 21, 2024 | 3500000 | 700000 |
| &nbsp;&nbsp;November 28, 2024 | 265000 | 53000 |
| &nbsp;&nbsp;December 11, 2024 | 2750000 | 550000 |
| &nbsp;&nbsp;December 16, 2024 | 1500000 | 300000 |
| &nbsp;&nbsp;February 12, 2025 | 10000000 | 2000000 |
| &nbsp;&nbsp;February 14, 2025 | 22500000 | 4500000 |
| &nbsp;&nbsp;February 20, 2025 | 500000 | 100000 |
| &nbsp;&nbsp;April 1, 2025 | 1983602 | 794335 |
|  | 61748602 | 12804826 |
| &nbsp;&nbsp;Balance as at June 30, 2025 | 394710265 | 94467272 |

---

During the period ended June 30, 2025, the Company issued 61,748,602 new shares (2024 – 23,379,100), increasing its share capital by $12,804,826 (2024 - $4,731,394).

Page **12** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(a) <u>Issued and outstanding share capital (cont'd)</u> 

Details regarding the share issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| &nbsp;&nbsp;Exercised RSUs | 25500000 |  |  |  | 5157491 |
| &nbsp;&nbsp;Exercised Options | 1983602 |  |  |  | 794335 |
| &nbsp;&nbsp;Advisory shares | 750000 |  |  |  | 150000 |
| &nbsp;&nbsp;Subscriptions | 33515000 |  |  |  | 6703000 |
|  | 61748602 |  |  |  | 12804826 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

A summary of the stock options is as follows:

---

| | | | |
|:---|:---|:---|:---|
| |<br>Number | Weighted-<br>average exercise<br>price |<br>Amount |
|  | # |  | $— |
| &nbsp;&nbsp;Balance, September 30, 2023 | 31558255 |  |  |
| &nbsp;&nbsp;Granted, July 7, 2024 | 500000 |  |  |
| &nbsp;&nbsp;Cancelled | (20994320) |  |  |
| &nbsp;&nbsp;Balance, September 30, 2024 | 11063935 |  |  |
| &nbsp;&nbsp;Exercised | (1983602) |  |  |
| &nbsp;&nbsp;Balance, June 30, 2025 | 9080333 |  |  |
| &nbsp;&nbsp;Outstanding and exercisable | 8580333 |  |  |
|  |  | Weighted- | Weighted- |
| &nbsp;&nbsp;Vesting | Options | average exercise | average |
| &nbsp;&nbsp;Conditions | outstanding | price | remaining life |
|  | # |  | $— |
| &nbsp;&nbsp;Immediately | 2130333 |  |  |
| &nbsp;&nbsp;1/3 per year from grant date | 3050000 |  |  |
| &nbsp;&nbsp;Immediately | 1700000 |  |  |
| &nbsp;&nbsp;Immediately | 1500000 |  |  |
| &nbsp;&nbsp;Immediately | 200000 |  |  |
| &nbsp;&nbsp;Subsidiary reaches revenue of EUR 4 million | 500000 |  |  |
| &nbsp;&nbsp;Outstanding, June 30, 2025 | 9080333 |  |  |
| &nbsp;&nbsp;Exercisable, June 30, 2025 | 8580333 |  |  |

---

Page **13** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(c) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion.

Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board. The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

A continuity of RSUs is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | RSUs<br> Granted | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;RSUs<br> Vested | Amount |
|  | #<br>| #<br>|  |
| &nbsp;&nbsp;September 30, 2023  | 7000000 | <br> 9071233 |  |
| &nbsp;&nbsp;Issued | 49975200 |  |  |
| &nbsp;&nbsp;Vested |  | 25879100 |  |
| &nbsp;&nbsp;Exercised | (22379100) | (22379100) |  |
| &nbsp;&nbsp;September 30, 2024 | 34596100 | 12571233 |  |
| &nbsp;&nbsp;Issued | 56550000 |  |  |
| &nbsp;&nbsp;Vested |  | 54500000 |  |
| &nbsp;&nbsp;Exercised | (25500000) | (25500000) |  |
| &nbsp;&nbsp;June 30, 2025 | 65646100 | 41571233 |  |

---

During the period ended June 30, 2025, share-based compensation expense for the Company's RSUs was $10,200,000 (2024 - $4,531,394). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the present value of the underlying equity, discounted for lack of marketability and modelling of the restriction period, using the following weighted-average assumptions:

---

| | | | |
|:---|:---|:---|:---|
|  | Jan 31, 2025 | Feb 10, 2025 | 29-Jun-25 |
| &nbsp;&nbsp;Estimated stock price at time of grant | $0.20 | $0.20 | $0.20 |
| &nbsp;&nbsp;Number of periods to exercise, in years |  |  |  |
| &nbsp;&nbsp;Compounded risk-free rate | 2.69% | n/a | n/a |
| &nbsp;&nbsp;Dividend yield | 0.00% | 0.00% | 0.00% |
| &nbsp;&nbsp;Exercise price | $— | $— | $— |
| &nbsp;&nbsp;Volatility | 115% | 115% | 115% |
| &nbsp;&nbsp;Discount for lack of marketability | 12.17% | 0.00% | 0.00% |

---

As at June 30, 2025 a total of 41,571,233 (2024 - 12,571,233) RSUs had vested.

For details of related party transactions, see **Note 13**.

Page **14** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(d) <u>Finland subsidiary</u> 

On January 23, 2025, the Company purchased 100 shares of Ahold XVIII Oy, domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

**10.** **RECONCILIATION OF EBITDA** 

The following table outlines the reconciliations of adjusted EBITDA and adjusted EBITDA margin to its nearest IFRS measure:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | For the three<br>months ended<br>June 30, 2025 | For the nine<br>months ended<br>June 30, 2025 | For the three<br>months ended<br>June 30, 2024 | For the nine<br>months ended<br>June 30, 2024 |
| &nbsp;&nbsp;Total comprehensive loss | (8065541) | (13818650) | (4304691) | (7680231) |
| &nbsp;&nbsp;Interest expenses | 636152 | 904674 | 100118 | 482143 |
| &nbsp;&nbsp;Finance income | (510) | (4618) | (2887) | (10960) |
| &nbsp;&nbsp;Income taxes |  |  |  |  |
| &nbsp;&nbsp;Depreciation | 2822201 | 9152514 | 3143020 | 9429061 |
| &nbsp;&nbsp;**EBITDA** | **(4607698)** | **(3766080)** | **(1064440)** | **2220013** |
| &nbsp;&nbsp;Stock-based compensation | 5700000 | 10200000 | 1346300 | 1531747 |
| &nbsp;&nbsp;Foreign exchange loss (gain) | 274771 | 1480083 | (424919) | (1476015) |
| &nbsp;&nbsp;Re-measurement of digital assets | (179923) | (2309276) |  | (1589) |
| &nbsp;&nbsp;**Adjusted EBITDA** | **1187150** | **5604727** | **(143059)** | **2274156** |
| &nbsp;&nbsp;Revenue | 6433870 | 17442980 | 4447481 | 13979124 |
| &nbsp;&nbsp;Adjusted EBITDA | 1187150 | 5604727 | (143059) | 2274156 |
| &nbsp;&nbsp;**Adjusted EBITDA margin** | **18%** | **32%** | **-3%** | **16%** |

---

**11.** **LIQUIDITY AND CAPITAL RESOURCES** 

(a) <u>Liquidity</u> 

At June 30, 2025, the Company had cash and cash equivalents of $228,011 and digital assets of $2,180,273, within current assets of $4.09 million against current liabilities of $10.54 million, resulting in a working capital deficit of approximately $6.45 million. Year to date, operating cash flows before working capital were positive, but significant working capital outflows and capital expenditures led to a net decrease in cash of $0.98 million; total liabilities were $12.05 million. In light of the going concern uncertainty disclosed, management continues to pursue equity financing and cost controls.

(b) <u>Contractual obligations</u> 

Contractual obligations comprise accounts and other payables of $6,706,344, the current portion of lease liabilities is $nil following the cancellation several leases, a non-current settlement liability of $1,511,783 with an undiscounted payment schedule as disclosed, convertible debentures of $1,520,845, related party advances of $148,571 due on demand, and contingent consideration payable of $1,760,547 related to the Exanorth acquisition. There were no off-balance sheet arrangements reported.

Page **15** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**11.** **LIQUIDITY AND CAPITAL RESOURCES (CONT'D)** 

(c) <u>Capital resources</u> 

During the nine months ended June 30, 2025, capital resources were supported primarily by equity financings: cash proceeds totaled $6,802,180 from share subscriptions and option exercises (including 33,515,000 subscribed shares at $0.20 and $99,180 from exercised options), alongside non-cash RSU and advisory share issuances; share capital increased to $94,467,272 from $81,662,446 at September 30, 2024. The Company also has an unsecured $1,000,000 convertible debenture (allocated $945,267 to liability and $54,733 to equity) that may be converted at CAD $0.40 per share after maturity; it had not been converted or repaid subsequent to period end. After quarter-end, the Company raised an additional $808,700 via the issuance of 3,021,750 common shares, and management reported no change to capital management objectives.

(d) <u>Digital currency</u> 

The Company holds Bitcoin primarily to support working capital needs. In managing liquidity risk, management targets maintaining cash and cash equivalents in excess of expected cash outflows over the next sixty days. When forecasts indicate a shortfall against this target, the Company disposes of Bitcoin to bridge the gap. Disposals are sized using weekly cash flow forecasts that consider near-term power, payroll, lease and debt-service obligations and expected customer collections; timing is aligned to settlement dates for these obligations and market trading windows that provide sufficient depth.

The Company continues to treat Bitcoin as a supplemental source of liquidity and will adjust the timing and amount of future sales in line with forecast cash needs and prevailing market conditions. Please refer to the corresponding financial statements for a continuity schedule of Bitcoin balances and disposals, and Financial Instruments and Risk Management for the Company's 60-day liquidity risk framework.

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT** 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low. The following summarizes the Company's financial instruments and associated risks.

*Risk management framework* 

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework. The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

Page **16** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Liquidity risk* 

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk, calculated as total liabilities, is $12,048,090 as at June 30, 2025 (September 30, 2024 – $16,025,622), for which the Company has cash of $228,011 on hand to satisfy its liabilities (September 30, 2024 – $687,226). There have been no changes to the method for managing liquidity risk.

*Credit risk* 

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. An allowance for doubtful accounts is established based upon factors surrounding the credit risk of specific accounts, historical trends and other information.

*Market risk* 

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk* 

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency. Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and may use derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate. The effectiveness of these hedging instruments is assessed regularly. However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

Page **17** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Interest rate risk* 

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk* 

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk* 

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk* 

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held. To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

**13.** **RELATED PARTY TRANSACTIONS** 

The Company defines related parties in accordance with the definitions in IAS 24 - Related Party Disclosures. As they pertain to the Company, related parties comprise: (i) Key management personnel as described below, and (ii) entities within the Company's reporting group as described in **Note 3(b)**.

Page **18** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**13.** **RELATED PARTY TRANSACTIONS (CONT'D)** 

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the periods ended June 30, 2025 and 2024, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | | | For the 9 | For the 9 |
|  | | | | months ended | months ended |
|  | For the 3<br>months ended<br>30-Jun-25 | For the 9<br>months ended<br>30-Jun-25 | For the 3<br>months ended<br>30-Jun-24 | 30-Jun-24 | 30-Jun-24 |
|  |  | $— | $— | $— | $|
| &nbsp;&nbsp;Compensation paid to key management |  |  |  |  | 461759 |
| &nbsp;&nbsp;Share-based payments |  |  |  |  | 1531747 |
|  |  |  |  |  | 1993506 |

---

As of June 30, 2025 and September 30, 2024, amounts due to related parties consisted of the following:

---

| | | | |
|:---|:---|:---|:---|
|  | | September 30, | September 30, |
| | June 30,<br>2025 | 2024 | 2024 |
|  |  | $— | $|
| &nbsp;&nbsp;Balances included in accounts payable and accrued liabilities |  |  | 93119 |
| &nbsp;&nbsp;Balances included in related party advances |  |  | 66950 |
|  |  |  | 160069 |

---

The balances are unsecured, due on demand and bear no interest.

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The Company seeks to cancel the issuance of shares and other equity instruments in the Company. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

(c) <u>Other employment contingencies</u> 

On February 7, 2024, a lawsuit was filed in North Dakota against the Company alleging breach of an unsigned employment contract, with claims totaling $1,258,567 plus interest and costs. The Company is contesting the matter, and the outcome cannot presently be determined.

On May 14, 2025, a construction lien dispute was filed in North Dakota seeking $131,545 for work performed prior to the Company's property acquisition. The claim is being disputed, and the parties are currently engaged in settlement discussions.

Management has concluded that the outcome of these proceedings cannot be determined and no provisions have been recorded.

Page **19** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**13.** **RELATED PARTY TRANSACTIONS (CONT'D)** 

(d) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually.

The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") or the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the period end.

**14.** **OFF-BALANCE-SHEET ARRANGEMENTS** 

As at June 30, 2025, the Company had no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company's financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

**15.** **RISK FACTORS AND UNCERTAINTIES** 

The Company's operations involve numerous risks and uncertainties, many of which are beyond its control. The risks outlined below are not exhaustive. Additional risks—currently unknown to the Company or considered immaterial by management—could materially and adversely affect the Company's business, operations, financial condition, results of operations, or share price. Investors should carefully evaluate the following risks together with the other information contained in this MD&A and the Company's financial statements before making an investment decision. A number of the Company's risks are entity specific, including concentration of operations at a single facility in Norway's NO4 region, reliance on a third party mining pool (Luxor), exposure to a limited number of hosting customers, and the potential impact of the Norwegian regulatory or grid policies on power costs and uptime.

Page **20** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(a) <u>Technology, digital asset custody & operational continuity</u> 

*(i)* *Cryptocurrency security and code vulnerabilities* 

The Company's digital asset holdings are inherently vulnerable to cybersecurity incidents, source code flaws, and network exploits. Cryptocurrencies rely on complex and constantly evolving open-source software, and despite peer review, errors in the codebase have occasionally been identified and exploited by malicious actors. While material exploits remain relatively rare, the possibility exists that undiscovered vulnerabilities could enable unauthorized transfers or the creation of counterfeit assets, potentially resulting in significant financial losses for the Company. The very nature of cryptocurrencies—as bearer assets accessible only through private keys—exacerbates this risk, as stolen or compromised assets are virtually impossible to recover.

*(ii)* *Custodial, wallet, and exchange risks* 

The Company's reliance on custodial solutions, both internal and external, presents additional risks of theft, mismanagement, or insolvency of service providers. Cryptocurrency exchanges, although a key source of liquidity, remain less regulated and more prone to fraud, hacking, and operational failures than traditional financial institutions. High-profile collapses of exchanges in recent years underscore the vulnerability of counterparties in this space.

Any exchange failure or wallet compromise could lead to unrecoverable losses of the Company's inventory, directly harming its financial condition and potentially affecting investor confidence.

*(iii)* *Systems failures and cyber incidents* 

Maintaining continuous mining and treasury operations requires resilient IT infrastructure. Risks include cyber intrusions, malware attacks, denial-of-service incidents, and failures due to fire, flood, or other disasters. The Company invests in redundancies, backup power, and ongoing upgrades to infrastructure; however, no system is infallible. Extended downtime could impair mining output, disrupt treasury functions, and materially reduce revenues. Moreover, reputational harm may arise if customers, partners, or regulators perceive inadequacies in the Company's controls.

*(iv)* *Access to economical and reliable power* 

Cryptocurrency mining is energy intensive. The Company's operations depend on reliable, large-scale, and competitively priced electricity. Any material increase in power tariffs, supply curtailments, or unfavourable regulatory actions by utilities could erode operating margins. For example, regional energy regulators such as Hydro-Québec have previously imposed moratoria and considered imposing surcharges or operational requirements on cryptomining firms. Similar actions in the future could materially impact the Company's cost base and profitability.

*(v)* *Hardware sourcing, pricing and technological obsolescence* 

The Company's competitiveness depends on the timely acquisition of state-of-the-art mining machines at reasonable cost. Global demand for mining hardware is highly cyclical, and shortages or supply chain disruptions can lead to inflated prices and delivery delays. Rapid technological advancement further compounds this risk, as newer models quickly supersede older ones, reducing efficiency and revenue potential. If the Company cannot secure updated hardware, it risks being outcompeted by better-capitalized peers.

Page **21** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(a) <u>Technology, digital asset custody & operational continuity (cont'd)</u> 

*(vi)* *Insurance limitations* 

Insurance tailored to cryptocurrency mining and custody remains nascent, with limited coverage options available at significant cost. Events such as theft, hacking, or catastrophic facility damage may fall outside standard policies or within exclusions. If uninsured or underinsured losses occur, the Company could experience material financial and operational setbacks.

*(vii)* *Permits and licenses* 

Mining and hosting operations may require governmental permits and environmental, zoning, or regulatory approvals. Inability to obtain or maintain these approvals could restrict growth or increase compliance costs. Unexpected changes in licensing regimes could also impose delays or additional capital requirements.

*(viii)* *Third-party service providers and software dependencies* 

The Company's operations rely on a wide network of third-party vendors, including software developers, cloud computing providers, and specialized contractors.

Many of these service providers operate outside of traditional regulatory frameworks, and their internal controls may not be transparent. If such third parties fail to deliver services, suffer outages, or experience breaches of their own systems, the Company may face significant disruptions to its mining, treasury, and reporting functions. Replacing or renegotiating with these providers can be costly and time-consuming, and prolonged service interruptions could materially impair financial performance.

*(ix)* *Physical facility risks and environmental hazards* 

Mining operations are highly sensitive to the physical integrity of their facilities. Fire hazards, water damage, structural weaknesses, and HVAC failures present ongoing risks to the safety and continuity of operations. Furthermore, increasing scrutiny of environmental impact, particularly regarding noise levels, heat emissions, and recycling of obsolete hardware, may expose the Company to community opposition or compliance costs. Any incident or regulatory non-compliance could result not only in financial losses but also in reputational harm, hindering the Company's ability to expand operations.

*(x)* *Data integrity and disaster recovery limitations* 

The Company's business model requires the storage and processing of vast amounts of financial and technical data. A failure in backup protocols, inadequate disaster recovery systems, or corruption of key data sets could materially impair operations and reporting accuracy. Although the Company has instituted redundancy systems and periodic testing, full resilience cannot be guaranteed. If critical data is lost or compromised, the Company could face operational delays, compliance failures, and increased risk of fraud or misrepresentation, any of which could erode investor and customer confidence.

Page **22** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics</u> 

*(i)* *Regulatory change and policy actions* 

The global regulatory environment for cryptocurrencies remains fragmented and dynamic. Some jurisdictions actively support digital asset innovation, while others impose outright bans or restrictive frameworks. The Company faces uncertainty around potential new laws in Canada and internationally that could directly impact mining, ownership, transfer, or taxation of cryptocurrencies. Regulatory shifts could also extend indirectly to the Company's shares if authorities classify them as linked to restricted activities. In the worst case, regulations could force liquidation of inventories at unfavourable prices, curtail access to exchanges, or prohibit ongoing operations.

*(ii)* *Banking and payments de-risking* 

A persistent challenge for cryptocurrency-related businesses is limited access to banking services. Many financial institutions perceive heightened compliance risks, particularly with respect to anti-money laundering and counter-terrorist financing. If the Company's banking partners reduce or withdraw services, treasury management could be impaired, increasing operational complexity and reputational risk.

*(iii)* *Exchange and trading-venue fragility* 

Digital asset markets are young and only partially regulated. Major exchanges have experienced insolvencies, hacks, and abrupt shutdowns. Smaller exchanges may lack sufficient capitalization, while larger venues are attractive targets for cyberattacks or regulatory scrutiny. Because cryptocurrency prices are determined primarily on these venues, any disruption could trigger significant volatility and impair liquidity.

*(iv)* *Adoption and utility uncertainty* 

Despite increased awareness, mainstream adoption of cryptocurrencies as a payment method remains limited. Use in retail and commercial markets is small compared with speculative trading. If adoption stalls or reverses, the result may be greater price volatility and diminished long-term value. Since cryptocurrencies have no intrinsic legal tender status, their worth depends on user and merchant acceptance. A collapse in acceptance could render them illiquid or valueless.

*(v)* *Price volatility and momentum dynamics* 

Cryptocurrency prices are highly volatile, often driven by sentiment, leverage, or speculative momentum rather than fundamentals. This amplifies the risk of sharp value swings in short periods, leading to potential mark-to-market losses on the Company's inventory. Momentum pricing creates a feedback loop that can exacerbate both rapid appreciation and sudden crashes.

*(vi)* *Network economics, reward structure and transaction fees* 

Mining economics depend on rewards issued by protocols. As block rewards halve approximately every four years, transaction fees are expected to play a larger role. If total rewards prove insufficient to incentivize miners, overall network participation could decline, reducing security and increasing susceptibility to attacks. Lower participation may also reduce block production speed, undermining confidence in the network and indirectly affecting the Company's revenues.

Page **23** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(vii)* *Network difficulty and competition* 

Bitcoin's self-adjusting difficulty mechanism means that rising global hash rates dilute per-unit rewards. As competitors with greater scale and efficiency join the network, the Company's output may decrease despite unchanged costs, potentially eroding profitability. This dynamic could render operations uneconomical if difficulty rises faster than anticipated.

*(viii)* *Supply and demand shocks, including actions by investment vehicles* 

The emergence of cryptocurrency investment vehicles, such as exchange-traded funds and trusts, concentrates significant market influence in institutional hands. Large inflows or redemptions from these vehicles can amplify volatility. Should such entities sell large holdings in a short period, digital asset prices could fall sharply, negatively affecting the Company's inventory value.

*(ix)* *Geopolitical and macroeconomic events* 

Crises such as wars, sanctions, or economic recessions may drive speculative demand for cryptocurrencies as alternative stores of value. These inflows can temporarily inflate prices but are often followed by corrections.

Conversely, geopolitical instability may reduce confidence in cryptocurrencies as viable alternatives to fiat, further complicating demand forecasts. The unpredictability of such events creates additional uncertainty in planning and risk management.

*(x)* *Forced sales to fund operations* 

The Company may need to liquidate digital assets to meet operational obligations or fund expansion, regardless of prevailing market conditions. If such sales occur during periods of depressed prices, they may crystallize losses and adversely affect cash flow and profitability.

*(xi)* *Cross-border regulatory inconsistencies* 

The Company operates in a global marketplace where digital assets frequently cross jurisdictions. Inconsistent or conflicting international rules on mining, custody, taxation, and transfer of cryptocurrencies create ongoing uncertainty. For example, assets legally mined in one country may face restrictions or penalties if transferred or sold in another. Navigating these regulatory patchworks requires significant legal resources and exposes the Company to inadvertent non-compliance risks. Future regulatory divergence may also hinder the Company's ability to scale internationally.

*(xii)* *Market manipulation and integrity concerns* 

Digital asset markets are less regulated than traditional securities exchanges, leaving them vulnerable to practices such as wash trading, spoofing, pump-and-dump schemes, and the influence of large "whale" investors. Such manipulative behaviour can distort pricing, reduce transparency, and undermine confidence in the market as a whole. If manipulation is widespread or persistent, the Company may experience unexpected valuation swings in its inventory, limiting its ability to plan operations, raise capital, or secure counterparties.

Page **24** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(xiii)* *Shifts in energy policy and carbon regulation* 

Governments worldwide are increasingly focused on sustainability and carbon reduction. Mining, as an energy-intensive activity, could be targeted with taxes, levies, or outright restrictions intended to reduce greenhouse gas emissions. Jurisdictions that once welcomed mining may pivot toward more restrictive stances as public pressure mounts. If regulators impose carbon pricing, renewable energy quotas, or limitations on power usage specific to cryptocurrency miners, the Company's cost structure and long-term viability could be materially affected.

(c) <u>Financial, corporate, legal & governance</u> 

*(i)* *Liquidity and additional financing* 

Execution of the Company's business strategy depends on raising and maintaining adequate capital. There is no guarantee that financing will be available on favourable terms—or at all—when required. Equity financings may dilute existing shareholders, while debt could impose restrictive covenants. Failure to secure necessary funding could result in scaling back or abandoning strategic initiatives and, in extreme cases, threaten the Company's ability to continue as a going concern.

*(ii)* *Key personnel* 

The Company relies heavily on its senior management team and specialized technical staff. Retaining and attracting individuals with cryptocurrency, finance, and technology expertise is highly competitive. Departure of key personnel without suitable replacements could materially disrupt strategy execution and growth.

*(iii)* *Strategy execution, acquisitions and integrations* 

As part of its strategy, the Company may pursue acquisitions, joint ventures, or partnerships. Each transaction carries risks related to due diligence, financing, cultural integration, and realization of synergies. Missteps in execution could result in financial losses or distraction from core operations.

*(iv)* *Conflicts of interest* 

Some directors and officers may hold positions in or investments in other entities engaged in cryptocurrency or technology businesses. While legal safeguards require disclosure and abstention from conflicted decisions, the perception or reality of conflicts could raise governance concerns or complicate decision-making.

*(v)* *Litigation and regulatory proceedings* 

The Company may face legal or regulatory claims in the ordinary course of business. Even if ultimately resolved favourably, such proceedings can consume management resources and generate costs. Adverse rulings may result in penalties, damages, or operational restrictions.

*(vi)* *Intellectual property claims* 

Third parties may assert that the Company's activities infringe upon their intellectual property rights. Defending such claims, regardless of merit, can be costly and disruptive. Unfavourable outcomes could affect the Company's ability to operate or diminish confidence in cryptocurrencies generally.

Page **25** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(vii)* *Dividend policy* 

The Company has not declared dividends and does not expect to do so in the foreseeable future. Future dividend decisions, if any, will depend on profitability, liquidity, and Board discretion. Shareholders should not expect income from dividends in the near term.

*(viii)* *Tax attributes and compliance risks* 

The Company has approximately $24 million of tax loss carryforwards that may offset future taxable income. Utilization depends on continued profitability and acceptance by the Canada Revenue Agency. If disallowed, future tax liabilities may increase. Furthermore, uncertainty remains regarding the treatment of cryptocurrency mining under commodity tax regimes such as GST, HST, and QST. Adverse assessments or interpretive changes could delay refunds or reduce working capital.

*(ix)* *Income and commodity tax uncertainty* 

Complex and evolving tax rules pose ongoing risks. Disputes with authorities may result in additional taxes, penalties, or interest. Even with proactive compliance, interpretations may shift, creating potential liabilities.

*(x)* *Competition and market perception* 

The Company competes with other miners and digital asset firms for resources, customers, and investor attention. Negative industry events—such as exchange failures, hacks, or regulatory crackdowns—can tarnish sentiment and reduce valuations across the sector, affecting the Company even if it is not directly implicated.

*(xi)* *Dependence on capital markets sentiment* 

As a publicly traded entity, the Company's valuation and access to capital are closely tied to investor sentiment toward the digital asset sector. Market downturns, scandals involving other blockchain companies, or broader declines in technology stocks may limit the Company's ability to issue equity or debt on acceptable terms. A sudden contraction in available financing could force the Company to curtail growth initiatives, restructure operations, or sell assets at distressed values.

*(xii)* *Internal control and financial reporting risks* 

The complexity of accounting for digital assets, coupled with evolving standards under IFRS, creates heightened risk of errors or misstatements in the Company's financial disclosures. Inadequate internal controls, resource constraints in finance teams, or reliance on manual reconciliation processes could result in delayed filings, restatements, or regulatory scrutiny. Such outcomes would undermine credibility with investors and may limit access to financing or strategic partners.

Page **26** of **27**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | June 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(xiii)* *Reputational exposure and stakeholder confidence* 

The Company operates in a sector that is often subject to intense media attention and public debate. Negative coverage—whether linked to cybersecurity incidents, environmental concerns, or unrelated events in the digital asset industry—can affect the Company's reputation even in the absence of direct involvement. Erosion of stakeholder confidence may impair the Company's ability to attract and retain employees, customers, and investors, creating a self-reinforcing cycle that hampers growth and long-term resilience.

**16.** **FILING** 

These documents have been filed electronically with the Canadian securities regulators through the System for Electronic Document Analysis and Retrieval + ("SEDAR+") and may be accessed through SEDAR+'s website at <u>www.sedarplus.ca</u>.

Page **27** of **27**

**BITZERO BLOCKCHAIN INC.**

Management's Discussion and Analysis

For the year ended September 30, 2024

*(expressed in United States Dollars, unless otherwise stated)*

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**1.** **MANAGEMENT'S DISCUSSION AND ANALYSIS** 

This Management's Discussion and Analysis (this "MD&A") provides a review of the results of operations, financial condition and cash flows for Bitzero Blockchain Inc. ("Bitzero" or the "Company"), on a consolidated basis, for year ended September 30, 2024.

This document should be read in conjunction with the information contained in the Company's audited consolidated financial statements and related notes for the year ended September 30, 2024 (the "2024 Annual Financial Statements"), which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Unless otherwise indicated, all dollar ("$") and "USD" amounts and references in this MD&A are in United States dollars.

Unless otherwise stated, in preparing this MD&A the Company has taken into account information available to it up to the date of this MD&A, November 16, 2025, being the date the Company's board of directors (the "Board") approved this MD&A and the corresponding financial statements. All quarterly information contained herein is unaudited.

This MD&A was written to comply with the requirements of National Instrument 51-102 – Continuous Disclosure Obligations. This MD&A contains information up to and including November 16, 2025.

**2.** **CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION** 

This MD&A contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to our objectives and the strategies to achieve these objectives, expected hashrate growth and fleet efficiency; anticipated expansion of capacity at the Norwegian facility; expected economies of hosting arrangements; liquidity and capital resources; the impact of the April 2025 Bitcoin halving on mining economics; and the timing and magnitude of planned equipment purchases, as well as information with respect to our beliefs, plans, expectations, anticipations, estimates and intentions. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that infer actions, events or results with terminology such as "may", "could", "would", "might", "will be taken", "occur" or "be achieved".

Forward-looking information is provided for the purposes of assisting the reader in understanding the Company and its business, operations, prospects and risks at a point in time in the context of historical and possible future developments and, therefore, the reader is cautioned that such information may not be appropriate for other purposes.

Forward-looking information is based upon numerous assumptions and is subject to a number of known and unknown risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, the risk factors that are discussed in greater detail under "Risk Factors and Uncertainties".

Although the forward-looking information contained herein is based upon what we believe are reasonable assumptions, readers are cautioned against placing undue reliance on this information since actual results may vary from the forward-looking information. Certain assumptions were made in preparing the forward-looking information concerning availability of capital resources, business performance, market conditions, and customer demand.

Page **2** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**2.** **CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION (CONT'D)** 

Forward looking information is based on the following material factors and assumptions: (i) average BTC prices and transaction fees within management's planning ranges; (ii) network difficulty consistent with recent trends; (iii) stable access to competitively priced hydroelectric power and grid availability in NO4; (iv) fleet uptime and curtailment consistent with historical performance and grid flexibility agreements; (v) the availability of mining equipment on disclosed timelines and budget; (vi) hosting customer demand and adherence to contractual terms. Actual results may differ materially due to risks and uncertainties described under "Risk Factors and Uncertainties".

Consequently, all of the forward-looking information contained herein is qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation.

Forward-looking information is subject to the risks and uncertainties described under "Risk Factors and Uncertainties" in this MD&A. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained herein is provided as of the date hereof, and we do not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.

**3.** **OVERVIEW AND SIGNIFICANT EVENTS** 

(a) <u>General information</u> 

Bitzero Blockchain Inc. (the "Company" or "Bitzero"), was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 925-1000 Cathedral Place, West Georgia Street, Vancouver, British Columbia V6C 3L2 Canada.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of the bitcoin ("Bitcoin"). The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity controlled by Bitzero Blockchain Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

(b) <u>Basis of consolidated reporting</u> 

The consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee. Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity. The accounting policies of subsidiaries are the same as those of the Company.

Page **3** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(b) <u>Basis of consolidated reporting (cont'd)</u> 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Subsidiary** | &nbsp;&nbsp;**Ownership at 30-Sep-24** | &nbsp;&nbsp;**Ownership at 30-Sep-23** | &nbsp;&nbsp;**Country of incorporation** |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. (the "Barbadian Subsidiary") | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I, LLC<br>("ND I, LLC")  | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Bitzero ND II, LLC<br>("ND II, LLC")  | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |

---

(c) <u>Description of the business</u> 

Data centers are physical facilities that are used to house computer systems and associated components, IT infrastructure, critical applications, and data for applications and services. Data centers can be used for a variety of purposes and support the needs of large-scale applications, including but not limited to Bitcoin mining, cloud computing, web hosting, processing large data sets, providing the foundation for artificial intelligence, machine learning, and more. Data center designs are based on computing and networking solutions and include components such as routers, switches, firewalls, storage systems, and more.

Bitcoin mining is the process by which new Bitcoins are created and transactions are verified and added to the public ledger known as the Bitcoin Blockchain (the "Blockchain"). Mining is conducted by miners using hardware and software to generate a cryptographic number that is equal to or less than a number set by the Bitcoin network's algorithm. Bitcoin self-mining refers to the process by which a miner validates Bitcoin transactions and adds them to the Blockchain ledger without relying on a trusted third party.

"Hashrate" is a measure of the computational power used in the mining process of cryptocurrencies, it indicates how many hash functions a miner can perform per second. Generally, the higher the Hashrate, the more attempts a miner can make to add new blocks to the Blockchain. Bitcoin Hashrates are generally measured through exahashes per second (EH/S); one exahash equals 1018 hashes, which means EH/S indicates how many quintillion hash calculations can be performed in one second. EH/S represent high levels of computational power associated with large-scale mining operations or data centers.

Data center hosting is a service where companies and organizations store and manage their IT infrastructure in third-party data centers, enabling them to use the same the services, features, and capabilities of a data center without building their own infrastructure. Data center hosting comes in various forms, including the following: (i) dedicated hosting: a client rents an entire server, giving them full control over its resources; (ii) shared hosting: multiple clients share the same server and its resources, making it more cost-effective but with limited control; (iii) virtual private server hosting: a server is divided into multiple servers, offering more control and resources than shared hosting; and (iv) cloud hosting: resources are distributed across multiple servers, allowing for scalability and flexibility.

Bitzero was created to disrupt and innovate in the Blockchain and data center spaces to move markets away from unsustainable data and mining practices. It is engaged in the development and operation of data centers and related energy infrastructure, Bitcoin self-mining, and high performance computing ("HPC") hosting.

Page **4** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(c) <u>Description of the business (cont'd)</u> 

Bitzero's primary objective is to address the increasing demand for IT energy infrastructure driven by the growth of Blockchain technology and other HPC applications by leveraging advanced technology and energy-efficient solutions. By creating harmony with local authorities, investors, and customers, Bitzero aims to become a leader in Blockchain mining and HPC hosting in a sustainable fashion and set a new global standard for best practices in clean energy sourcing, heat capture, and sustainability within local communities.

The Company's strategic objective is to become a leader in sustainable blockchain mining and high-performance computing hosting, leveraging advanced technology and energy-efficient solutions.

(d) <u>Products and services</u> 

On February 21, 2024, Exanorth entered into a flexibility services agreement (the "Flexibility Services Agreement") in connection with its First Norway Property. Through the Flexibility Services Agreement, Exanorth adjusts energy usage at the First Norway Property to stabilize the power grid. When Exanorth engages in stabilization efforts, it is compensated under the terms of the Flexibility Services Agreement while also supporting sustainability.

The First Norway Property provides Bitzero with an advantageous location for cryptocurrency mining for the following key reasons: (i) Norway is committed to large scale expansion of data center businesses; (ii) low temperatures reduce server cooling costs, significantly lowering the dependency on excessive energy use; (iii) clean outside air limits the maintenance required to keep machines in working condition; (iv) the First Norway Property is located next to the local power grid which supplies energy to the Data Center located in Norway. Since the grid is so close to the First Norway Property, the grid fee is low, and energy produced is conserved; (v) fast and reliable internet connection enables dependable communications; and (vi) hydropower accounts for 90% of Norwegian electricity production, which is considered to be the cheapest source of renewable energy.

The First Norway Property has approximately 320MW total capacity. 40MW of active capacity at the First Norway Property is being used by the Data Center in Norway, and the remaining capacity is expected to be activated through development and grid updates in two phases. Exanorth intends to expand active capacity at the First Norway Property over the coming months and has approval to support expansion of 70MW, adding up to a total of 110MW in phase 1, with a subsequent phase expected to add 210MW, bringing total active capacity to 320MW upon completion.

In August 2024, Exanorth received approval from the Norwegian Water Resources and Energy Directorate to operate as a utility, which means that Exanorth can control the First Norway Property's own electrical supply, and energy distribution and grid costs.

The Data Center is located on the First Norway Property. Currently, the Data Center operates as Bitzero's self-mining revenue-generating operations and is the focal point of Bitzero's operations.

Page **5** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(d) <u>Products and services (cont'd)</u> 

All the Bitcoin that is self-mined at the Data Center is rewarded from the Luxor Mining Pool (as defined above) and owned by the Barbadian Subsidiary.

ND I, LLC acquired a property located at 81st Street, Nekoma, County of Cavelier, and State of North Dakota (the "North Dakota Property") in July 2022 pursuant to an agreement with Cavelier County Job Development Authority dated July 18, 2022 (the "North Dakota Property Purchase Agreement"). The North Dakota Property is over 184 acres and benefits from a diversified energy mix including wind, natural gas, and grid sources, ensuring reliability and efficiency.

The North Dakota Property has total capacity of approximately 200MW-300MW. Currently, there is 2.5MW of active capacity that is immediately available but not currently being used, and further inactive capacity that can be accessed once studies are conducted, facilities are built, and investments in system upgrades are made. Additionally, on the North Dakota Property, there is an 80,000-gallon diesel tank and additional liquid storage tank, which can provide large-scale back-up power supplies, enabling the North Dakota Property to operate independently of other electrical suppliers.

The North Dakota Property houses a currently non-operational data center (the "Nekoma Pyramid"). The Nekoma Pyramid was initially built in the late 1960s with initial commissioning occurring in 1975 during the cold war. It consequently has desirable security characteristics well suited for storing highly sensitive information.

The Nekoma Pyramid's special features and competitive advantages are summarized as follows: (i) Potential to offer customers an extremely high level of physical security due to its original design as a government defense installation, making it useful for clients with strict requirements in the areas of data protection and physical security; (ii) Fully reinforced concrete and steel, designed to protect building contents; and (iii) There are redundant power feeds available, which are built to work into the redundant power systems in datacenters and ensure that power gets delivered to all functional server components and acts as physical power supplies sample space for onsite generation and fuel storage.

ND I, LLC and Bitzero are in the process of developing the North Dakota Property and planning the use of the Nekoma Pyramid for their operations. On August 1, 2024, ND I, LLC entered into an agency agreement with Cushman & Wakefield U.S., Inc. (the C&W Agency Agreement"). Pursuant to the C&W Agency Agreement, the North Dakota Property may be sold or leased to a third-party, or ND I, LLC may retain the North Dakota Property for its own use.

Another central component of Bitzero's business model is Bitcoin mining. Bitzero is focused on Bitcoin mining because it is the most efficient way for Bitzero to convert energy into sustainable cash flows. This method is predictable, straightforward to manage, and not excessively capital-intensive, with relatively low upfront costs. It involves directly converting energy into cash flows through capital expenditure and infrastructural projects. Currently, all of Bitzero's Bitcoin mining operations are conducted at the Data Center. Bitzero and its subsidiaries do not mine any other cryptocurrency assets. On December 15, 2021, the Barbadian Subsidiary entered into a data services agreement with Exanorth (the "Barbadian-Exanorth Data Services Agreement"). Pursuant to the Barbadian-Exanorth Data Services Agreement, all Bitcoin that is self-mined at the Data Center is owned by the Barbadian Subsidiary.

Page **6** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(d) <u>Products and services (cont'd)</u> 

The process by which cryptocurrency coins or tokens are created and transactions are verified is called mining. A user or miner operates a publicly distributed mining client, which turns the user's computer into a "node" on the network that validates blocks. In order to add blocks to the Bitcoin Blockchain, a miner must map an input data set (i.e., the Blockchain plus a block of the most recent transactions and an arbitrary number called a "nonce") to a desired output data set of a predetermined length using an algorithm. As more miners join the network and its processing power increases, the network adjusts the complexity of the block solving equation to maintain a pace of adding a new block to the Blockchain approximately every 10 minutes. Below is further disclosure on the specific steps taken in Bitcoin mining operations, including how Bitzero currently engages in Bitcoin mining.

Bitcoin miners must first secure land with allocated energy resources, typically measured in MW. After that, the Bitcoin mining site must be prepared for site construction. At the Data Center, substantiation construction took place which required building a 40MW substation to convert high-voltage grid power to low voltage. The necessary electrical cabling was installed and then contracts with the local energy grid providers were entered into to secure fixed energy prices for 5 years. On January 1, 2023, Exanorth and an energy provider entered into two power delivery agreement (the "Energy Provider Power Agreement"), whereby the energy provider provides physical power delivery and additional services to the First Norway Property. All electricity and power supplied to the Data Center is through the energy provider through the Energy Provider Power Agreement.

Bitcoin mining containers are used so that owners and investors can move mining rigs easily. In essence, Bitcoin mining containers are shipping containers equipped with the necessary components to conduct mining operations, including power supply units, cooling systems, security measures, and fire suppression systems. Each Bitcoin mining container houses several mining computers in racks, consuming approximately 1MW of power each. The number of mining units per container varies (typically between 200 and 312), depending on the equipment. The containers include racks for miners, power distribution units (PDUs), cooling systems to maintain optimal temperatures, and fire suppression systems.

Every 10 minutes, a new block is added to the Blockchain ledger by all the mining computing power existing in the world, comprising approximately 4,500 Bitcoin transactions. Every 10 minutes, the global Bitcoin network rewards miners with 3.125 Bitcoins. This results in a total daily reward of 450 Bitcoins for all miners combined. This reward amount halves approximately every four years (once the right block height is reached). The Bitcoin reward per unit of mining equipment is predictable at the time of purchase but varies over time based on market share. For example, if there are 9 equally powerful mining units globally and Bitzero adds one more, Bitzero would receive 10% of the daily 450 Bitcoin reward. Currently, the total network computing power is over 600 exahashes per second (EH/s), while the most efficient single miner operates at approximately 0.0002 EH/s.

Bitzero focuses on self-mining at the Data Center and earns revenue through the amount of Bitcoin mined. On May 26, 2022, Bitzero and Luxor Technology Corporation ("Luxor") entered into a services agreement (the "Luxor Services Agreement") pursuant to which Bitzero engaged Luxor to set up a mining pool (the "Luxor Mining Pool") and provide maintenance of the Luxor Mining Pool on a cloud host that Luxor and Bitzero have access to. Pursuant to the Luxor Services Agreement, Luxor also shall provide maintenance of the software underlying the Luxor Mining Pool, that has the specification of a commercially standard cryptocurrency Mining Pool (the "Luxor Software"), which is licensed by Luxor to Bitzero.

Page **7** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(d) <u>Products and services (cont'd)</u> 

The Luxor Software includes any other software intentionally delivered to Bitzero, such as updates delivered pursuant to maintenance and support services and/or hosting services provided by Luxor. The Luxor Agreement references a block reward, consistent of a combination of: (a) the amount of newly minted Bitcoins in each block as fixed by the Bitcoin protocol (the "Block Subsidy"), and (b) fees paid by users of the Bitcoin network to have their transactions included in the current block (the "Transaction Fees". These fees are aggregated per block and typically paid out to the miner who solved the block by being combined with the Block Subsidy into one transaction output (the "Block Reward"). The aggregate Block Reward paid to all miners is aggregated for calculation purposes (the "Total Miner Reward"). Pursuant to the Luxor Services Agreement, Luxor receives 0.20% of each Total Miner Reward and Bitzero will receive the remaining 99.80% of each Total Miner Reward. Currently, the Block Subsidy of newly minted Bitcoins in each block is 3.125 Bitcoin per block.

Transaction fees are a crucial component of the Bitcoin network's incentive structure, ensuring that miners prioritize certain transactions and continue to maintain the network even after Block Rewards diminish over time.

Miners receive transaction fees as an additional incentive, supplementing the Block Reward (the newly created Bitcoins given to the miner who finds a new block). Users can attach fees to their transactions to incentivize miners to prioritize their transactions over others. Higher Transaction Fees typically result in faster confirmation times. The total Transaction Fees paid depends on the transaction size in bytes and the fee rate set by the user.

The demand for data centers is increasing across the globe among cryptocurrency miners, cloud service providers, and artificial intelligence companies. There has been a significant increase in governmental regulation around carbon emissions from high-energy consuming data centers, including in Norway which has become a popular destination for cryptocurrency miners. Additionally, security concerns are of a high degree of importance since data centers handle extremely sensitive, large volumes of information. With these considerations, identifying new data center opportunities for Bitzero's ecosystem partners to provide efficient and low-cost energy solutions is a core part of its business model. While Bitzero currently has the Data Center and the non-operational Nekoma Pyramid, it also is undergoing negotiations to expand its facilities in the North American and Scandinavian regions.

(e) <u>Acquisition of options to purchase Exanorth AS</u> 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth, along with various rights to lease real estate property on which Exanorth conducted its operations, for aggregate consideration of $2,969,303.

At the time of the transaction, the Company had intended to build and operate a data center for its digital currency mining operations using the infrastructure existing at Exanorth.

The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.16 to 1.18 years; and the dividend yield was set at 0%.

Page **8** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(e) <u>Acquisition of options to purchase Exanorth AS (cont'd)</u> 

As a result, the Company recorded the investment asset on account of this transaction as at and for the year ended September 30, 2021:

---

| |
|:---|
| &nbsp;&nbsp;Purchase of call options over common shares of investee |
| &nbsp;&nbsp;Fair value adjustment on call options held for the year |
| &nbsp;&nbsp;Foreign exchange loss component pertaining to fair value adjustment for the year |

---

On October 22, 2021, Bitzero and Exakraft AS entered into a share purchase agreement, as amended on November 10, 2021, January 14, 2022, January 31, 2022, February 10, 2022, and March 1, 2022 (together, the "SPA") through which Bitzero exercised certain call options, resulting in the Company acquiring 66% of the issued and outstanding shares of Exanorth.

Aggregate consideration paid for the acquisition, along with the allocation of consideration to the fair value of net identifiable assets of Exanorth was calculated as follows:

---

| | | |
|:---|:---|:---|
|  | Note | 2022 |
|  |  | $|
| <u>Consideration transferred</u> |  |  |
| &nbsp;&nbsp;&nbsp;Exercise of call options | (i) | 3558595 |
| &nbsp;&nbsp;&nbsp;Cash consideration | (ii) | 2547160 |
| &nbsp;&nbsp;&nbsp;Common shares issued to vendor | (iii) | 2250000 |
| &nbsp;&nbsp;&nbsp;Contingent cash consideration | (iv) | 1900000 |
| &nbsp;&nbsp;&nbsp;Deferred cash consideration |  | 1382476 |
| &nbsp;&nbsp;&nbsp;Settlement of pre-existing loans |  | 1059746 |
| &nbsp;&nbsp;&nbsp;Transaction costs |  | 206598 |
| Fair value of total consideration transferred |  | 12904575 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The
 value of the call options increased from $3,291,343 as at September 30, 2021 to $3,558,595
 as a result of a foreign exchange gain, refer to **Note 14(a)**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The
 cash consideration relates to the remaining 34% of the shares in Exanorth.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) As
 part of consideration in the acquisition, the SPA included a delivery of 5,000,000 common
 shares of the Company. The common shares were valued at $2,250,000 using a combination
 of previous equity raises and a 25% discount for lack of marketability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) As
 part of consideration in the acquisition, contingent consideration was included and was
 the fair value was determined based on the management's best estimate at the reporting
 date. The contingent consideration was subsequently revalued to $1,760,547 resulting
 in a gain of $139,453. As at September 30, 2024, there has been no further remeasurement,
 as there have been no changes in the underlying circumstances affecting the Management's
 best estimate.

Page **9** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(e) <u>Acquisition of options to purchase Exanorth AS (cont'd)</u> 

---

| |
|:---|
| <u>Fair value of identifiable net assets acquired</u> |
| &nbsp;&nbsp;&nbsp;Technology infrastructure |
| &nbsp;&nbsp;&nbsp;Land |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents |
| &nbsp;&nbsp;&nbsp;Accounts payable |
| &nbsp;&nbsp;&nbsp;Due to Bitzero |
| &nbsp;&nbsp;&nbsp;Other liabilities |
| Fair value of total identifiable net assets |
| &nbsp;&nbsp;&nbsp;Goodwill |
| &nbsp;&nbsp;&nbsp;Non-controlling interest |
| Total |

---

**4.** **SUBSEQUENT EVENTS** 

(a) <u>Direct subscriptions</u> 

Following the year end, the Company completed two capital raises, issuing a total of 36,536,750 common shares at prices of $0.20 and $0.40 per share for gross proceeds of $7,511,700.

(b) <u>Share-based settlement for services</u> 

Between December 2024 and February 2025, the Company issued 750,000 common shares to advisors in exchange for services at a stated issue price of $0.20 per share, representing an aggregate value of $150,000.

(c) <u>Other settlement</u> 

As part of a settlement entered into in March 2025 with a hosting customer, mining equipment, including data containers, transformers and miners with an estimated value of $678,138 was transferred from the customer to Exanorth.

(d) <u>Share-based settlement</u> 

On July 28, 2025, the Company issued 63,907 common shares in connection to a settlement agreement with an existing shareholder at a stated price of $0.60 per share.

(e) <u>Private placements</u> 

Between August and October 2025, the Company closed brokered private placements totaling 2,937,500 units for gross proceeds of $1,175,000. Each unit comprises one convertible debenture and one common share purchase warrant. The convertible debentures bear interest at 15 percent per annum from issuance to the earlier of holder-elected conversion or three years from the date of issuance and are convertible into one common share at $0.40 per share. Each warrant entitles the holder to acquire one common share at an exercise price of $0.50 per share for two years from the date of issuance.

Page **10** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**4.** **SUBSEQUENT EVENTS (CONT'D)** 

(e) <u>Private placements (cont'd)</u> 

Between August and October 2025, the Company closed a brokered private placement totalling 3,750,000 units for gross proceeds of $1,500,000. Each unit comprises one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of $0.40 per share for 2 years from the date of issuance.

(f) <u>Issuance of RSUs</u> 

Between January and October 2025, the Company granted 68,380,000 RSUs at stated prices of $0.20 and $0.40, with each unit being convertible into one common share upon exercise by the holder. The RSUs vest upon completion of the Company's reverse takeover, the closing date of its Finland property, or immediately.

(g) <u>Finland subsidiary</u> 

On January 23, 2025, the Company purchased 100 shares of Ahold XVIII Oy, domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

(g) <u>Issuance of convertible debt</u> 

In October 2025, the Company issued convertible debentures for gross proceeds totalling $2,853,990. The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

(h) <u>Finland subsidiary</u> 

On January 23, 2025, the Company purchased 100 shares of Ahold XVIII Oy, domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

(i) <u>Contingent consideration</u> 

Subsequent to the reporting date, there have been no changes to status of the settlement with a shareholder. The contingent consideration described in **Note 13** remains outstanding, the SPA has not been executed, the kr 2,000,000 ($190,335) cash payment has not been made, and the transfer of KlimaCloud shares has not occurred.

(j) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

Page **11** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**4.** **SUBSEQUENT EVENTS (CONT'D)** 

(j) <u>Senior secured loan (cont'd)</u> 

An additional delayed draw facility of up to $8,240,000 is available at the lenders' discretion; lenders are not obligated to fund any delayed draw, and any advance, if elected by the lenders, is subject to (i) timely delivery of a borrowing notice, (ii) the total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

In connection with the financing, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 common shares (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES** 

(a) <u>Presentation of financial information</u> 

Unless otherwise specified herein, financial results, including historical comparatives, contained in this MD&A are based on the Company's Annual Financial Statements, which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and the interpretations of the IFRS Interpretations Committee ("IFIRC"). Unless otherwise specified, amounts are in thousands of United States dollars and percentage changes are calculated using whole numbers.

(b) <u>Non-IFRS measures</u> 

In addition to the reported IFRS measures, industry practice is to evaluate entities giving consideration to certain non-IFRS performance measures, such as earnings before interest, taxes, depreciation and amortization ("EBITDA") or adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA").

These measures are not in accordance with IFRS and have no standardized definitions, and as such, our computations of these non-IFRS measures may not be comparable to measures by other reporting issuers. In addition, Company's method of calculating non-IFRS measures may differ from other reporting issuers, and accordingly, may not be comparable.

A reconciliation of EBITDA and Adjusted EBITDA to IFRS net income is presented below.

*Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")*

EBITDA is used as an alternative to net income because it includes major non-cash items such as interest, taxes and amortization, which management considers non-operating in nature. A reconciliation of EBITDA to IFRS net income is presented under the section **Results from Operations** of this MD&A.

*Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("Adjusted EBITDA")*

Page **12** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES (CONT'D)** 

(b) <u>Non-IFRS measures (cont'd)</u> 

Adjusted EBITDA is used as an alternative to net income because it excludes major non-cash items such as amortization, stock-based compensation, current and deferred income tax expenses and other items management considers non-operating in nature. A reconciliation of adjusted EBITDA to IFRS net income is presented under section **Results from Operations** of this MD&A.

EBITDA and Adjusted EBITDA are used by management as inputs in our internal metrics and in evaluating our ability to satisfy the Company's obligations. EBITDA and Adjusted EBITDA are used as alternatives to IFRS net income (loss) because it excludes major non-cash items (including depreciation and amortization, interest, taxes and share-based payments) and other items that management considers non-operating in nature.

Management believes that these measures are helpful to investors because they are widely recognized measures of Company's performance and provides a relevant basis of comparison to other entities. In addition to IFRS results, these measures are also used internally to measure the operating performance of the Company.

(c) <u>New and amended IFRS accounting standards that are effective for the current year</u> 

Adoption of the following new and revised IFRS Accounting Standards that have been issued and were effective in the year did not have a material impact on the financial statements of the Company in the current period:

*Annual Improvements (2018-2020 Cycle) to IFRS 9 Financial Instruments*

*Amendments to IFRS 3 Business Combinations RE: Reference to the Conceptual Framework*

*Amendments to IAS 16 Property, Plant and Equipment RE: Proceeds before Intended Use*

*Amendments to IAS 37 Provisions, Contingent Liabilities and Contingent Assets RE:*

*Onerous Contracts—Cost of Fulfilling a Contract*

(d) <u>New and revised IFRS accounting standards in issue but not yet effective</u> 

At the date of authorisation of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

*IFRS 18: Presentation and Disclosure in Financial Statements*

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

*Amendments to IAS 1 Classification of Liabilities as Current or Non-current and Non-current Liabilities with Covenants*

The amendments to IAS clarify that the classification of liabilities is based on the rights that exist at the end of the reporting period and provides further guidance pertaining to the effect covenants have on classification and related disclosures.

Page **13** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES (CONT'D)** 

(d) <u>New and revised IFRS accounting standards in issue but not yet effective (cont'd)</u> 

Application for the amendments to IAS 1 Classification of Liabilities as Current or Non-current are required for annual reporting periods beginning on or after January 1, 2024. The Company has applied this standard effective October 1, 2024.

*Amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements*

The amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements adds disclosures that enable users to assess the effects of supplier finance arrangements on liabilities and cash flows, including terms, amounts outstanding and related liquidity risk information.

Application for the amendments to IAS 7 and IFRS 7 Supplier Finance Arrangements are required for annual reporting periods beginning on or after January 1, 2024. The Company has applied this standard effective October 1, 2024.

The directors do not expect that the adoption of the Standards listed above will have a material impact on the consolidated financial statements of the Company in future periods.

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY** 

In applying the Company's accounting policies, which are described in **Note 4**, the directors are required to make judgements (other than those involving estimations) that have a significant impact on the amounts recognised and to make estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following are the critical judgements, including those involving estimations, that the directors have made in the process of applying the Company's accounting policies and that have the most significant effect on the amounts recognised in the consolidated financial statements.

(a) <u>Income taxes</u> 

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors.

The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities.

Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such differences will affect the tax provisions in the period in which such determination is made.

Page **14** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)** 

(b) <u>Digital assets</u> 

There is currently no specific definitive guidance in IFRS or alternative accounting frameworks for the accounting for the mining of digital assets and subsequent measurement of the digital assets held. Management has exercised significant judgment in determining appropriate accounting treatment. Management has determined that revenues should be recognized as the fair value of digital assets received in exchange for mining services on the date that digital assets are received and subsequently measured as an intangible asset. In the event authoritative guidance is enacted by the IASB, the Company may be required to change its policies which could result in a change in the Company's financial position and earnings.

(c) <u>Revenues from mining of digital assets</u> 

The Company enters into contracts with mining pools and has undertaken the performance obligation of providing computing power to the mining pool in exchange for non-cash consideration in the form of digital assets. Revenue is recognized upon receipt of digital currency in exchange for its mining activities at the fair market value of the digital currency received.

Management considers the prices quoted on a digital currency exchange to be a level 2 input under IFRS 13 Fair Value Measurement. Any difference between the fair value of digital assets recorded upon receipt from mining activities and the actual realized price upon disposal are recorded as a gain or loss on disposition of digital assets.

(d) <u>Going concern</u> 

The Company has made significant judgments about the Company's ability to continue as a going concern. These judgments involve considering the Company's cash flow forecasts, financial position, market conditions, and the availability of financing. Given the volatile nature of the cryptocurrency market and the reliance on both mining and hosting revenues, management regularly assesses the Company's liquidity and capital resources to ensure it can meet its obligations as they fall due. If future cash flows were to differ significantly from those estimates, this could have a material impact on the Company's ability to continue as a going concern.

(e) <u>Valuation of right of use assets and liabilities</u> 

The valuation of right-of-use (ROU) assets and corresponding lease liabilities involves significant estimates, particularly in determining the lease term and the discount rate used to present value future lease payments.

Management's judgment is required in evaluating whether options to extend or terminate leases are reasonably certain to be exercised, which affects the measurement of lease liabilities.

Additionally, in the absence of an implicit rate in the lease, the Company uses its incremental borrowing rate, which is determined based on the specific circumstances of the lease and the Company's credit risk. Changes in these estimates could significantly impact the carrying amount of ROU assets and lease liabilities.

Page **15** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)** 

(f) <u>Valuation of share-based expenses</u> 

The valuation of share-based expenses requires significant judgment and estimation, particularly in determining the fair value of equity instruments granted to employees and directors. The Company uses an appropriate valuation model, such as the Black-Scholes or binomial option pricing model, which requires inputs such as the expected volatility of the Company's share price, the expected life of the options, risk-free interest rates, and expected dividend yields. These inputs are subject to estimation uncertainty, and changes in any of these assumptions could have a material impact on the amount of share-based expenses recognized.

(g) <u>Impairment of non-financial assets</u> 

The Company assesses non-financial assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Determining whether an impairment has occurred requires management to estimate the recoverable amount of the assets, which is the higher of fair value less costs of disposal and value in use.

These calculations require significant judgment, particularly in estimating future cash flows, discount rates, and market conditions. Any changes in these estimates could result in material adjustments to the carrying amounts of non-financial assets.

(h) <u>Depreciation and useful lives of property, plant and equipment</u> 

Determining depreciation periods and residual values for property, plant and equipment requires judgment. Management assesses expected physical wear and tear, technical and commercial obsolescence, maintenance programmes, and industry practice. Residual values are estimated with reference to comparable secondary-market transactions and scrap values, where relevant. These estimates are reviewed at each reporting date. A change of one year in average useful life or a 5 % swing in estimated residual value is considered to have a materially affect on depreciation expense in a period under evaluation.

(i) <u>Expected credit losses and provisions</u> 

The Company estimates expected credit losses by applying professional judgement in assessing forward-looking information, including the probability of default, loss rates, and the status of customer relationships. Changes in these assumptions could materially affect the amounts recognized.

Provisions are recognized when obligations from past events are probable and can be reliably measured. The measurement of provisions requires judgement in estimating the timing and amount of future outflows and, where relevant, the selection of discount rates. Given the inherent uncertainty, actual outflows may differ from the Company's best estimate.

Page **16** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION** 

(a) <u>Select annual information from the statements of profit or loss</u> 

The following table provides selected financial information from the statement of loss and comprehensive loss of the Company for the years ended September 30, 2024 and 2023:

---

| | | |
|:---|:---|:---|
|  | 2024 | 2023 |
| &nbsp;&nbsp;Revenue from digital assets mined | 15607000 | 8084211 |
| &nbsp;&nbsp;Revenue from hosting services | 7004281 | 4231765 |
| &nbsp;&nbsp;Direct costs | (24387670) | (19532909) |
| &nbsp;&nbsp;Operating expenses | (3382638) | (5132900) |
| &nbsp;&nbsp;Operating loss before other items | (5159027) | (12349833) |
| &nbsp;&nbsp;Other items | (8611223) | (1409241) |
| &nbsp;&nbsp;Total comprehensive loss | (13770250) | (13759074) |

---

*(i)* *Revenue from digital assets mined* 

For the year ended September 30, 2024, the Company generated revenue of $15.6 million from digital assets mined, compared to $8 million in the prior fiscal year, representing an increase of approximately 93% year-over-year. The increase in revenue was driven primarily by higher average Bitcoin prices during certain periods of fiscal 2024, as well as by improved operational capacity and uptime at the Company's Norwegian mining facility. The additional revenues reflect both increased scale of operations and more efficient deployment of mining equipment relative to the prior year.

Revenue from digital asset mining is recognized at the fair value of the cryptocurrency received on the date of mining. The Company's mining revenues remain inherently volatile, being influenced by network difficulty adjustments, global Bitcoin pricing, and transaction fee dynamics. While revenues nearly doubled in the current year, profitability from mining operations was constrained by the continued pressure of high energy and depreciation costs, resulting in negative gross margins.

The year-over-year increase highlights the Company's reliance on Bitcoin economics and network conditions. During fiscal 2024, network difficulty rose materially, reducing the number of Bitcoin mined per unit of hash rate, though this effect was partially offset by favorable price conditions at year-end. The Company benefitted from continuous optimization of its mining fleet, including replacement of older-generation units with more efficient application-specific integrated circuit miners, which improved energy efficiency.

Management anticipates that future mining revenues will remain directly tied to prevailing Bitcoin market prices and industry-wide network difficulty. The upcoming Bitcoin halving event, expected in 2024–2025, will reduce block rewards by 50%, potentially putting additional pressure on mining economics. This underscores the importance of ongoing efficiency gains, cost reduction strategies, and prudent capital allocation in order to sustain competitive mining operations.

*(ii)* *Revenue from hosting and maintenance services* 

Revenue from hosting and maintenance services was $7.0 million for the year ended September 30, 2024, compared to $4.2 million for the year ended September 30, 2023, an increase of approximately 66% year-over-year. Hosting revenue reflects income earned from providing third-party customers with access to the Company's infrastructure, including rack space, power supply, cooling systems, and ongoing maintenance support.

Page **17** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(ii)* *Revenue from hosting and maintenance services (cont'd)* 

The significant increase in hosting revenues was attributable to higher levels of utilization from existing and new customers, as well as improved contract terms negotiated during the year. Despite the broader volatility in the cryptocurrency sector, demand for hosting remained resilient, with certain customers preferring to outsource infrastructure requirements rather than bear the full operational and capital costs of self-mining.

Hosting and maintenance services provide stable, fiat-denominated revenues that are not directly tied to fluctuations in digital asset prices, thereby helping to mitigate volatility in the Company's overall revenue profile. This segment has become increasingly important to the Company's diversification strategy, as it offsets a portion of fixed facility operating costs and supports more consistent cash flows.

Going forward, management expects hosting and maintenance revenues to remain subject to customer demand, energy pricing, and industry consolidation. Hosting margins will continue to depend on the Company's ability to manage power costs, optimize facility utilization, and secure contracts with favorable terms. While mining remains the Company's primary revenue driver, hosting services are expected to remain an important complementary line of business that enhances the efficiency of existing infrastructure.

*(iii)* *Direct costs* 

Direct costs for the year ended September 30, 2024 were $24.4 million, compared to $19.5 million for the year ended September 30, 2023, representing an increase of approximately 25% year-over-year. Direct costs consist primarily of electricity costs, depreciation of mining equipment, labor and contractor fees, and facility operating expenses related to both mining and hosting operations.

The year-over-year increase reflects higher electricity usage and facility costs associated with expanded hosting and mining activities, together with depreciation charges arising from the Company's significant investment in mining hardware and infrastructure. While certain efficiency initiatives reduced average power consumption per unit of hash rate, overall power requirements increased as operations scaled.

The continued growth in direct costs contributed to gross losses in both fiscal 2024 and fiscal 2023, underscoring the highly energy-dependent and capital-intensive nature of the business. The Company's gross margin remains particularly sensitive to electricity prices, which represent the largest single component of direct costs. Management has implemented a cost optimization strategy that includes negotiating long-term energy supply contracts, investing in newer-generation ASIC miners, and pursuing infrastructure upgrades designed to reduce power intensity.

Management expects direct costs to remain elevated in the near term as the Company continues to operate at scale and invests in next-generation mining technology. The forthcoming Bitcoin halving event is expected to increase pressure on profitability across the industry, emphasizing the importance of securing low-cost energy and maintaining efficient facility operations. Management remains focused on identifying opportunities for further efficiency gains and leveraging hosting revenues to offset fixed operating costs.

Page **18** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(iv)* *Operating expenses* 

Operating expenses, comprising administrative expenses, marketing expenses, and finance costs, totaled $3.3 million for the year ended September 30, 2024, compared to $5.1 million in fiscal 2023, representing a decrease of approximately 35% year-over-year.

Administrative expenses decreased to $2.8 million in fiscal 2024 from $4.6 million in fiscal 2023. The reduction reflects lower professional and consulting fees following the completion of key restructuring and compliance initiatives undertaken in the prior year, as well as ongoing cost containment measures implemented by management. The decline also reflects a normalization of overhead costs after elevated expenditures incurred in fiscal 2023 to support organizational restructuring and corporate governance requirements.

Marketing expenses increased to $46 thousand in fiscal 2024 from $6 thousand in fiscal 2023. The increase was due to targeted efforts to promote the Company's hosting capabilities and position the brand within the global cryptocurrency mining ecosystem. Although still immaterial relative to total expenses, marketing costs are expected to grow gradually in line with the Company's business development activities and expansion plans.

Finance costs increased modestly to $526 thousand in fiscal 2024 compared to $499 thousand in the prior year. The increase primarily reflects interest accruals on lease liabilities, related party advances, and outstanding convertible debentures. Finance costs are expected to remain a recurring expense until the Company refinances or repays its outstanding obligations.

The overall reduction in operating expenses demonstrates management's commitment to financial discipline and efficiency, even as the Company continues to expand its revenue base. While administrative expenses are expected to remain at a lower, more sustainable level following the prior-year restructuring, finance costs will continue to reflect the Company's capital structure. Marketing expenditures are anticipated to increase incrementally as the Company seeks to build stronger customer relationships and expand hosting activities.

*(v)* *Other expenses* 

Other expenses for the year ended September 30, 2024 totaled $6.1 million, compared to a net recovery of $139 thousand in fiscal 2023, representing a substantial year-over-year variance. These items consist primarily of non-operating or non-cash charges, and therefore can vary significantly from period to period depending on share-based compensation activity, foreign exchange movements, and investment revaluations.

The largest component of other expenses in fiscal 2024 was share-based compensation, which increased sharply to $4.8 million, compared to $0.7 million in fiscal 2023. The increase was driven by the issuance of new equity-based incentive awards to officers, directors, and employees, designed to align management and staff with long-term shareholder interests and to retain key talent within the highly competitive digital asset industry. The recognition of these costs is non-cash in nature but nevertheless represents a meaningful component of the Company's reported loss for the year.

The Company recorded a foreign exchange gain of approximately $58 thousand in fiscal 2024, compared to a gain of $798 thousand in fiscal 2023. The reduced gain reflects lower volatility in exchange rate fluctuations affecting balances denominated in U.S. dollars for subsidiaries with Norwegian krone functional currency.

Page **19** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(v)* *Other expenses (cont'd)* 

Given the international nature of the Company's operations, management expects foreign exchange impacts to remain a recurring, though unpredictable, element of results.

No gains or losses were recorded on the disposal of assets in fiscal 2024, compared to a small realized loss of $538 in the prior year. Similarly, fair value adjustments on investments were immaterial at $30 thousand in fiscal 2024 versus $58 thousand in fiscal 2023. These line items reflect mark-to-market adjustments on non-core financial instruments and therefore do not form a significant part of the Company's cost structure.

Included in accounts receivable as at September 30, 2024 are unpaid invoices issued to two customers for cryptocurrency mining hosting services.

In August 2024, Exanorth entered into a settlement agreement with one customer. Under the terms of the settlement, possession and ownership of the mining assets were transferred to Exanorth, resulting in $119 thousand being reclassified from accounts receivable to mining assets and VAT recoverable. The remaining accounts receivable from this customer was recorded as a loss of $135 thousand.

In March 2025, Exanorth entered into a settlement with another customer. Under this agreement, an amount of $3 million corresponding to the invoiced amounts excluding VAT, was written off as a provision for settlement. As part of the terms of settlement, the Company expects to receive equipment having value of $678 thousand. The remaining balance of $831 thousand, relating to VAT previously charged, continues to be recognized as a receivable, as the Company retains the contractual right to this amount. Management has assessed the recoverable of this amount and considers it to be collectible.

Taken together, the significant swing in other expenses between the two fiscal years was almost entirely attributable to the increase in share-based compensation expense and settlement provisions. These expenses, while non-cash, reflects management's continued use of equity incentives as a tool to attract and retain qualified individuals. By contrast, the absence of impairment charges and minimal investment revaluations limited the variability of other categories. Management expects that share-based compensation will remain a recurring but variable expense tied to employee retention programs, while settlements losses, provisions for settlements, foreign exchange, fair value adjustments, and asset disposals will fluctuate in line with operating conditions and market factors outside of management's control.

Page **20** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position</u> 

The following table provides selected financial information from the statement of financial position of the Company for the years ended September 30, 2024 and 2023:

---

| | | |
|:---|:---|:---|
|  | 2024 | 2023 |
| &nbsp;&nbsp;Current assets | 5160556 | 3138343 |
| &nbsp;&nbsp;Non-current assets | 24690096 | 29371389 |
| &nbsp;&nbsp;Total assets | 29850652 | 32509732 |
| &nbsp;&nbsp;Current liabilities | 12865723 | 7735901 |
| &nbsp;&nbsp;Non-current liabilities | 3159899 | 2257772 |
| &nbsp;&nbsp;Equity | 13825030 | 22516059 |
| &nbsp;&nbsp;Total liabilities and equity | 29850652 | 32509732 |

---

*(i)* *Current assets* 

As at September 30, 2024, the Company's current assets totaled $5.1 million, compared to $3.1 million at September 30, 2023, representing an increase of approximately 64% year-over-year. The year-over-year growth was driven by the addition of subscriptions receivable, an increase in digital currency holdings, and higher indirect taxes recoverable, partially offset by a reduction in cash balances and trade receivables.

Digital currency holdings increased materially to $2.5 million at September 30, 2024, from only $90 thousand in the prior year. This increase reflects the accumulation of Bitcoin mined but not liquidated at the reporting date. The carrying value of digital assets is highly sensitive to market prices, as it is remeasured at fair value on each reporting date. The year-over-year growth reflects both higher levels of production from mining operations and management's decision to hold a portion of mined output as inventory, providing potential upside exposure to Bitcoin appreciation while also introducing greater volatility in reported asset values.

Accounts receivable increased to $1.5 million at year-end, up from $1.3 million in the prior year. This increase indicates improvement of amounts due from hosting customers and tighter oversight of credit exposure, partially offset by the timing of new billings during the fourth quarter despite increased activity.

Prepaids and deposits remained relatively stable at $70.8 thousand in fiscal 2024, compared with $117 thousand in fiscal 2023. These balances consist primarily of prepayments for power and facility costs, insurance, and deposits required to support data center operations.

Indirect taxes recoverable increased to $0.4 million from $0.3 million, reflecting higher VAT and sales tax credits recoverable in Norway due to the expanded level of mining and hosting activities undertaken during the year.

Finally, cash and cash equivalents declined to $0.6 million at September 30, 2024, from $1.3 million at September 30, 2023. The reduction reflects the net use of cash to fund operating losses and capital expenditures, partially offset by proceeds from financing activities, including the equity subscription arrangements noted above.

Taken together, the overall increase in current assets reflects both financing-related activity, through the recognition of subscriptions receivable, and operational growth, as evidenced by the higher balance of digital assets on hand.

Page **21** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(i)* *Current assets (cont'd)* 

While these additions enhance the reported liquidity position of the Company, the composition of current assets has shifted toward categories exposed to market volatility and collection risk, as opposed to stable cash balances. Management continues to monitor both the timely collection of subscription proceeds and the valuation of digital assets to ensure that the Company maintains sufficient liquidity to support its ongoing operations.

*(ii)* *Non-current assets* 

As at September 30, 2024, the Company's non-current assets totaled $24.6 million, compared to $29.3 million at September 30, 2023, representing a decline of approximately 16% year-over-year. The reduction was primarily attributable to depreciation and impairment of existing mining equipment and related infrastructure, partially offset by new capital investment in construction in progress.

The largest category of non-current assets remains property, plant and equipment, which declined to $17.1 million at September 30, 2024, from $24.5 million in the prior year. The reduction reflects depreciation expense recorded during the year, as the Company continues to recognize the consumption of economic benefits from its mining servers and supporting infrastructure. The decline in carrying value underscores the capital-intensive nature of the business and the relatively short useful lives of mining equipment, which are typically depreciated over three years. Despite this reduction, the assets remain essential to the Company's ongoing mining and hosting operations, and management continues to pursue replacement and upgrade programs designed to maintain competitiveness in terms of energy efficiency and hash rate capacity.

The balance of construction in progress increased significantly to $5.1 million at September 30, 2024, compared to $1.2 million in fiscal 2023. This increase reflects continued investment in expansion projects at the Company's Data Center, including infrastructure upgrades and the staged installation of newer-generation mining units. These capital expenditures represent management's ongoing commitment to positioning the Company for long-term growth, even as the industry approaches the next Bitcoin halving event. The Company anticipates that a portion of this balance will be transferred to property, plant and equipment in fiscal 2025 as assets are placed into service.

The carrying value of right-of-use assets declined sharply to $0.9 million from $2.1 million in the prior year. The reduction is the result of amortization of existing lease assets over the term of the related contracts, combined with limited new leasing activity during the year. These assets primarily relate to long-term leases of data center facilities, and the decline reflects the ongoing recognition of right-of-use depreciation rather than any reduction in operational capacity.

Taken together, the year-over-year movement in non-current assets highlights the balance between depreciation of existing assets and reinvestment in new infrastructure. The decline in property, plant and equipment illustrates the rapid pace of equipment obsolescence inherent in the cryptocurrency mining industry, while the growth in construction in progress demonstrates management's strategy of reinvesting in more efficient equipment and facility enhancements to sustain operational scale. The reduction in right-of-use assets reflects the accounting recognition of lease obligations, rather than a strategic change in approach.

Page **22** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(ii)* *Non-current assets (cont'd)* 

Management expects that non-current assets will remain a significant portion of the Company's total balance sheet and that periodic reinvestment in new mining technology and facility infrastructure will be required in order to maintain competitiveness. The shift from depreciated property toward construction in progress signals a cycle of renewal, positioning the Company for improved efficiency and capacity in future periods.

*(iii)* *Current liabilities* 

As at September 30, 2024, the Company's current liabilities totaled $12.8 million, compared to $7.7 million at September 30, 2023, representing an increase of approximately 66% year-over-year. The growth in current obligations reflects higher trade payables, larger customer deposits, the recognition of additional lease liabilities, and higher accrued interest, underscoring both the expansion of the Company's operations and the financing structure supporting them.

The most significant component of accounts and other payables was trade payables, which rose to $6.3 million at year-end, compared to $3.1 million at September 30, 2023. The increase is a result of increased hosting activity and corresponding increase in hosting costs, illustrating the Company's ability to secure larger and longer-term hosting contracts, thereby improving visibility of future revenues. The remaining increase in accounts and other payables reflects higher facility operating costs, outstanding invoices from suppliers and contractors related to mining and hosting activities, and the timing of settlement of professional and consulting fees. This rise aligns with the expansion of revenue-generating activities and the corresponding growth in direct and administrative costs.

Lease liabilities, current portion, increased sharply to $1.9 million at September 30, 2024, from $0.3 million in the prior year. The increase reflects the reclassification of lease obligations as they approach maturity within the next twelve months, consistent with the requirements of IFRS 16. These liabilities primarily relate to long-term leases for data center facilities and associated infrastructure, and their increase demonstrates the Company's continued reliance on leased capacity as part of its operational footprint.

Contingent consideration payable remained unchanged at $1.8 million compared to fiscal 2023. This balance represents obligations arising from historical acquisition activity, payable upon the satisfaction of certain performance conditions or other contingencies. Management continues to monitor these obligations closely, though no changes were recognized during the current year.

Related party advances decreased to $67 thousand at September 30, 2024, compared to $117 thousand in the prior year. These amounts represent short-term funding support from related parties, and the reduction reflects partial repayment of balances outstanding.

Finally, convertible debentures, classified as current liabilities, increased to $1.36 million at September 30, 2024 from $1.18 million at September 30, 2023. These instruments continue to accrue interest until maturity or conversion, and their classification as current reflects their contractual terms. The increase reflects the accrual of interest on those convertible debentures, consistent with the Company's financing structure, which relies in part on debt and related party funding to support working capital requirements.

Page **23** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(iii)* *Current liabilities (cont'd)* 

Overall, the year-over-year increase in current liabilities reflects the scaling of operations and the Company's reliance on both customer deposits and financing arrangements to fund working capital.

While the increase in accounts payable and accrued liabilities is a natural consequence of higher operational activity, the rise in contract deposits highlights stronger customer engagement in hosting services. Management remains focused on meeting these obligations as they fall due, with liquidity supported by current assets, including receivables, digital currency holdings, and expected financing proceeds.

*(iv)* *Non-current liabilities* 

As at September 30, 2024, the Company's non-current liabilities totaled $3.1 million, a substantial increase compared to $2.2 million as at September 30, 2023. The increase reflects the recognition of the long-term portion of the settlement liability, reclassification of lease obligations into current liabilities as they approach maturity, and the absence of new long-term debt instruments or financing arrangements being undertaken during the year.

Settlement liability, non-current portion was new significant line item in fiscal 2024, recorded at $3.0 million. This balance, disclosed in Note 22 of the financial statements, reflects the present value of the settlement liability payable that is due in more than one year.

The only non-current liability reported at September 30, 2024 was recorded at $0.1 million, compared with $2.2 million in the prior year. This decrease reflects both the passage of time on existing lease contracts and the scheduled repayments of lease obligations, which resulted in a significant portion being reclassified as current liabilities due within twelve months. The remaining balance represents lease obligations extending beyond one year for data center facilities, though the magnitude is now minimal relative to total liabilities.

The movement in non-current lease liabilities is consistent with the decline in right-of-use assets noted in the non-current assets discussion, as the amortization of leased assets is mirrored by the reduction of the associated lease liability. The reduction also underscores that the Company has not entered into significant new long-term leasing arrangements during the fiscal year, opting instead to operate within the framework of existing facility agreements.

No other non-current borrowings, convertible instruments, or related party obligations were reported as at September 30, 2024. The absence of additional long-term debt obligations suggests that the Company continues to rely primarily on current liabilities, customer deposits, and equity financing to fund its operations and capital investment program.

Overall, the increase in non-current liabilities represents a shift in the Company's revenue model, as it relies more heavily on mining revenue compared to hosting contracts. This provides the Company with more flexibility surrounding the use of its mining infrastructure and related assets. Management continues to evaluate financing alternatives but remains focused on maintaining financial flexibility while balancing the capital-intensive demands of mining operations with the stability of hosting revenues.

Page **24** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(v)* *Equity* 

As at September 30, 2024, total equity attributable to shareholders was $13.8 million, compared to $22.5 million at September 30, 2023, representing a decrease of approximately 39% year-over-year. The decline in equity primarily reflects the net loss for the year, together with an increase in accumulated other comprehensive losses, partially offset by new share issuances that increased share capital.

Share capital increased to $81.6 million at September 30, 2024, up from $76.9 million in the prior year. The increase reflects equity financing completed during fiscal 2024, including the issuance of common shares under subscription agreements, which were only partially collected as at year-end and recorded as subscriptions receivable. These transactions provided important capital inflows to support the Company's operations and investment in mining infrastructure consistent with broader industry practice among capital-intensive cryptocurrency mining companies.

The increase in share capital underscores the Company's ongoing reliance on equity markets to finance its activities, Contributed surplus rose modestly to $8.1 million from $7.8 million in the prior year. This balance reflects the cumulative impact of share-based compensation and other equity-related adjustments. The increase corresponds with the significant share-based compensation expense recognized in fiscal 2024, as new equity awards were granted to officers, directors, and employees. These awards align management incentives with long-term shareholder value creation but contribute to dilution of existing shareholders.

The debenture reserve remained unchanged at $55 thousand year-over-year, representing the residual equity component from previously issued convertible debentures.

Accumulated other comprehensive loss increased to $11 million at September 30, 2024, compared to $8.5 million in the prior year. The increase in the deficit reflects primarily unfavorable movements in the revaluation of digital currency balances and other comprehensive items recorded through equity rather than net income. This element of equity is inherently volatile, given its sensitivity to cryptocurrency price fluctuations and associated valuation adjustments.

Accumulated losses increased to $65 million as at September 30, 2024, compared with $53 million at September 30, 2023. The increase of nearly $12 million corresponds to the net loss reported for the year, which reflects ongoing operating losses, high direct costs relative to revenues, and significant share-based compensation expense. The accumulation of losses highlights the challenges of sustaining profitability in a capital-intensive industry subject to volatile digital asset pricing.

Taken together, the year-over-year movement in equity reflects the interplay of new capital inflows through share issuances, the recognition of share-based compensation, and the persistence of operating and comprehensive losses. Although equity has declined overall, the ability of the Company to raise new capital demonstrates continued investor support. Management acknowledges that further strengthening of the equity base may be required to support future expansion and to maintain a cushion against the volatility inherent in the cryptocurrency mining sector.

Page **25** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(c) <u>Digital currency operations</u> 

For the year ended September 30, 2024, revenue for digital assets mined was $15.6M (2023 - $8.0M).

The change reflects 277.77 BTC mined during the year ended September 30, 2024 as compared to 336.45 BTC mined during the comparative period, driven primarily by differences in average hashrate and network difficulty.

Average hashrate for the period was 0.63 EH/s (period-end installed hashrate 0.92 EH/s), compared with installed capacity of 0.42 EH/s across 32 containers and 10,263 miners.

Average realized price of 54,310 $/BTC (including transaction fees) as compared to 24,261 $/BTC in the comparative period, consistent with our policy to recognize mining revenue at the fair value of digital assets upon receipt.

Existing rigs (installed prior to the beginning of the reporting period): approximately 80.08% of mining revenue. New rigs (placed in service during the reporting period): approximately 19.92% of mining revenue.

For the year ended September 30, 2024, direct costs were $24.4M (2023 - $19.5M, respectively). Electricity and grid services: 26.87 MWh × 47.19 $/MWh = 13,569,639 (For the comparative period: 17.54 MWh × 49.52 $/MWh = 9,154,813). Utilities increased year-over-year, reflecting higher consumption during higher-uptime periods and network conditions.

**8.** **QUARTERLY RESULTS** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
| | December 31, <br>2021 | March 31, <br>2022 | June 30, <br>2022 | September 30, <br>2022 | September 30, <br>2022 |
|  |  | $— |  | $— | $|
| Revenue) |  |  |  |  | 2713422 |
| Net loss and comprehensive loss |  |  |  |  | 15030906 |
| Total assets |  |  |  |  | 43090648 |
| Total liabilities |  |  |  |  | 7532769 |
| Basic and diluted loss per share |  |  |  |  | 0.05 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
| | December 31, <br>2022 | March 31, <br>2023 | June 30, <br>2023 | September 30, <br>2023 | September 30, <br>2023 |
|  |  | $— | $— | $— | $|
| Revenue |  |  |  |  | 9408300 |
| Net loss and comprehensive loss |  |  |  |  | 2534802 |
| Total assets |  |  |  |  | 29850652 |
| Total liabilities |  |  |  |  | 9993673 |
| Basic and diluted loss per share |  |  |  |  | 0.01 |

---

Page **26** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**8.** **QUARTERLY RESULTS (CONT'D)** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | December 31, <br>2023 | March 31, <br>2024 | June 30, <br>2024 | September 30, <br>2024 | September 30, <br>2024 |
|  |  | $— | $— | $— | $|
| &nbsp;&nbsp;Revenue |  |  |  |  | 9567912 |
| &nbsp;&nbsp;Net loss and comprehensive loss |  |  |  |  | 10177157 |
| &nbsp;&nbsp;Total assets |  |  |  |  | 29850652 |
| &nbsp;&nbsp;Total liabilities |  |  |  |  | 16025622 |
| &nbsp;&nbsp;Basic and diluted loss per share |  |  |  |  | 0.03 |

---

All quarterly financial information is unaudited.

**9.** **MATERIAL TRANSACTIONS** 

(a) <u>Issued and outstanding share capital</u> 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;Share issuances | Shares | Share capital |
|  | # | $|
| &nbsp;&nbsp;Balance as at September 30, 2022 and 2023 | 309582563 | 76931052 |
| &nbsp;&nbsp;June 4, 2024 | 7000000 | 1160853 |
| &nbsp;&nbsp;September 6, 2024 | 1000000 | 200000 |
| &nbsp;&nbsp;September 12, 2024 | 15379100 | 3370541 |
|  | 23379100 | 4731394 |
| &nbsp;&nbsp;Balance as at September 30, 2024 | 332961663 | 81662446 |

---

During the year ended September 30, 2023, there were no changes in Company's share capital. During the year ended September 30, 2024, the Company issued 23,379,100 new shares, increasing its share capital by $4,731,394.

Details regarding the 2024 shares issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| Exercise of RSUs | 22379100 |  |  |  | 4531394 |
| Legal settlement | 1000000 |  |  |  | 200000 |
|  | 23379100 |  |  |  | 4731394 |

---

On September 6, 2024, the Company issued 1,000,000 shares to a shareholder in connection with the settlement of obligations related to the acquisition of Exanorth under a settlement agreement signed in June 2024.

As part of the June 2024 settlement between Exanorth and a shareholder, the parties agreed that the shareholder will sell to Exanorth all owned shares in KlimaCloud AS ("KlimaCloud") pursuant to a share purchase agreement ("SPA") to be executed on market terms, for a total consideration of kr 2,000,000 ($190,335) in cash and the transfer of 1,000,000 shares in Bitzero. As of September 30, 2024, the SPA had not been executed, the kr 2,000,000 ($190,335) had not been paid, and the transfer of shares in KlimaCloud had not occurred.

Page **27** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(b) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

A summary of the stock options is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | Number | Weighted-<br> average exercise <br>price | Amount |
|  | # |  | $— |
| &nbsp;&nbsp;Balance, September 30, 2022 | 31558255 |  |  |
| &nbsp;&nbsp;Granted |  |  |  |
| &nbsp;&nbsp;Cancelled |  |  |  |
| &nbsp;&nbsp;Balance, September 30, 2023 | 31558255 |  |  |
| &nbsp;&nbsp;Granted, July 7, 2024 | 500000 |  |  |
| &nbsp;&nbsp;Cancelled | (20994320) |  |  |
| &nbsp;&nbsp;Balance, September 30, 2024 | 11063935 |  |  |
| &nbsp;&nbsp;Exercisable | 10563935 |  |  |
| &nbsp;&nbsp;Vesting<br> Conditions | Options<br> outstanding |  |  |
|  | # |  | $— |
| &nbsp;&nbsp;Immediately | 4113935 |  |  |
| &nbsp;&nbsp;1/3 per year from grant date | 3050000 |  |  |
| &nbsp;&nbsp;Immediately | 1700000 |  |  |
| &nbsp;&nbsp;Immediately | 1500000 |  |  |
| &nbsp;&nbsp;Immediately | 200000 |  |  |
| &nbsp;&nbsp;Subsidiary reaches revenue of EUR 4 million | 500000 |  |  |
| &nbsp;&nbsp;Outstanding, September 30, 2024 | 11063935 |  |  |
| &nbsp;&nbsp;Exercisable, September 30, 2024 | 10563935 |  |  |

---

During the 2024 period, 20,994,320 stock options were cancelled due to non-compliance or departure of certain option holders, or the issuance of RSUs.

Page **28** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(b) <u>Options (cont'd)</u> 

The fair value of each share-based payment transaction was estimated on the date of the grant, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | |
|:---|:---|
|  | July 7, 2024 <br>5-year |
| &nbsp;&nbsp;Estimated stock price at time of grant  | $0.26 |
| &nbsp;&nbsp;Exercise price of the option | $0.20 |
| &nbsp;&nbsp;Number of periods to exercise, in years | 5.00 |
| &nbsp;&nbsp;Compounded risk-free rate | 3.43% |
| &nbsp;&nbsp;Expected volatility | 115% |
| &nbsp;&nbsp;Dividend yield | 0% |

---

(c) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion. Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board.

The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

A continuity of RSUs is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | RSUs <br>Granted | RSUs <br>Vested | Amount |
|  | # | # |  |
| &nbsp;&nbsp;September 30, 2022 | 7000000 | 2071233 |  |
| &nbsp;&nbsp;Vested |  | 7000000 |  |
| &nbsp;&nbsp;Excercised |  |  |  |
| &nbsp;&nbsp;September 30, 2023 | 7000000 | 9071233 |  |
| &nbsp;&nbsp;Issued | 49975200 |  |  |
| &nbsp;&nbsp;Vested |  | 25879100 |  |
| &nbsp;&nbsp;Excercised | (22379100) | (22379100) |  |
| &nbsp;&nbsp;September 30, 2024 | 34596100 | 12571233 |  |

---

Page **29** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(c) <u>Restricted stock units (cont'd)</u> 

During the year ended September 30, 2024, share-based compensation expense for the Company's RSUs was $4,531,394 (2023 - $Nil). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the present value of the underlying equity, with the following weighted-average assumptions:

---

| | | |
|:---|:---|:---|
|  | April 30, 2024 | June 3, 2024 |
| &nbsp;&nbsp;Estimated stock price at time of grant | $0.26 | $0.26 |
| &nbsp;&nbsp;Number of periods to exercise, in years | $5.00 | $5.00 |
| &nbsp;&nbsp;Compounded risk-free rate | 3.92% | 3.59% |
| &nbsp;&nbsp;Discount for lack of marketability | 16% | 16% |

---

As at September 30, 2024 a total of 12,571,233 (2023 – 9,071,233) RSUs had vested.

For details of related party transactions, see **Note 13**.

**10.** **RECONCILIATION OF EBITDA** 

The following table outlines the reconciliations of adjusted EBITDA and adjusted EBITA margin to its nearest IFRS measure:

---

| | | |
|:---|:---|:---|
|  | 2024 | 2023 |
| &nbsp;&nbsp;Total comprehensive loss | (13770250) | (13759074) |
| &nbsp;&nbsp;Interest expenses | 523970 | 544533 |
| &nbsp;&nbsp;Income income | (9584) | (56397) |
| &nbsp;&nbsp;Income taxes |  |  |
| &nbsp;&nbsp;Depreciation | 11602852 | 10775271 |
| &nbsp;&nbsp;**EBITDA** | **(1653012)** | **(2495667)** |
| &nbsp;&nbsp;Stock-based compensation | 4879221 | 717254 |
| &nbsp;&nbsp;Foreign exchange gain | (58633) | (798747) |
| &nbsp;&nbsp;Fair value gain on re-measurement of digital assets | (240678) | (1589) |
| &nbsp;&nbsp;**Adjusted EBITDA** | **2926898** | **(2578749)** |
| &nbsp;&nbsp;Revenue | 22611281 | 12315976 |
| &nbsp;&nbsp;Adjusted EBITDA | 2926898 | (2578749) |
| &nbsp;&nbsp;**Adjusted EBITDA margin** | **13%** | **-21%** |

---

Adjustments to EBITDA are described in detail in the notes to the financial statements.

Page **30** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**11.** **LIQUIDITY AND CAPITAL RESOURCES** 

(a) <u>Liquidity</u> 

As at September 30, 2024, the Company held cash and cash equivalents of $0.7 million, compared to $1.3 million as at September 30, 2023. In addition, the Company maintained digital assets valued at $2.5 million (September 30, 2023 – $0.1 million), which may serve as a supplemental source of liquidity depending on prevailing market conditions. The Company's working capital deficit as at year-end was $7.7 million (September 30, 2023 – $3.1 million), reflecting both increased current liabilities.

The Company's ability to generate sufficient liquidity in the near term remains dependent on (i) ongoing revenues from digital assets mined and hosting services, (ii) collections from customer contracts, and (iii) prudent cost management. While operations generated revenues of $22.6 million during the year (2023 – $12.3 million), these revenues were offset by direct costs of $24.4 million (2023 – $19.5 million), resulting in continued negative operating cash flows.

Management monitors liquidity risk by preparing regular cash flow forecasts and assessing its ability to meet obligations as they come due. The Company has historically relied upon a combination of operating cash flows, equity financings and strategic arrangements to support its capital requirements, and expects that such financing sources will continue to be necessary until operations achieve sustained profitability.

The Company's current liabilities increased to $12.9 million as at September 30, 2024, compared to $7.7 million as at September 30, 2023, largely due to higher accounts payable and contract deposits associated with hosting arrangements. These obligations are expected to be settled through a combination of customer prepayments, collections on subscriptions receivable, and ongoing financing initiatives.

There are inherent risks associated with the Company's liquidity position, including volatility in digital asset prices, reliance on stable electricity costs, and the availability of external capital.

Management believes the Company has adequate resources to fund its short-term obligations but acknowledges that future growth will require access to additional financing.

(b) <u>Contractual obligations</u> 

The Company is party to various contractual obligations, including lease liabilities, convertible debentures, and related party advances. As at September 30, 2024, total lease liabilities amounted to $2.1 million, of which $2.0 million is due within one year. In addition, convertible debentures of $0.9 million are outstanding and classified as a current liability. Interest payable on these instruments totaled $0.4 million at year-end. The Company continues to service these obligations through available cash resources and ongoing capital management efforts.

Page **31** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**11.** **LIQUIDITY AND CAPITAL RESOURCES (CONT'D)** 

(c) <u>Capital resources</u> 

The Company's capital resources primarily consist of shareholders' equity, which totaled $13.8 million at September 30, 2024, compared to $22.5 million in the prior year. The decrease was attributable to the net loss for the period and other comprehensive losses. The Company's share capital increased to $81.6 million (2023 – $77 million) as a result of equity issuances during the year, which provided important financing for operations. Management defines its capital structure as shareholders' equity, debt instruments (including convertible debentures and lease liabilities), and other financing arrangements. The Company's objective is to preserve a flexible capital structure that allows it to respond to changing economic and industry conditions, while minimizing the overall cost of capital.

As of the reporting date, the Company has no significant capital expenditure commitments beyond those disclosed in the financial statements; however, expenditures are expected to be required in future periods to maintain and expand the Company's mining and hosting infrastructure. Such commitments are anticipated to be funded through a combination of operating revenues, equity financings, and potential strategic partnerships.

Known trends that may affect the Company's capital resources include volatility in digital asset markets, regulatory developments affecting cryptocurrency mining and hosting services, and the Company's ability to access capital markets on favorable terms. Management continues to evaluate financing alternatives to ensure that sufficient resources are available to support both near-term liquidity needs and longer-term strategic growth initiatives.

(d) <u>Digital currency</u> 

The Company holds Bitcoin primarily to support working capital needs. In managing liquidity risk, management targets maintaining cash and cash equivalents in excess of expected cash outflows over the next sixty days. When forecasts indicate a shortfall against this target, the Company disposes of Bitcoin to bridge the gap. Disposals are sized using weekly cash flow forecasts that consider near-term power, payroll, lease and debt-service obligations and expected customer collections; timing is aligned to settlement dates for these obligations and market trading windows that provide sufficient depth.

The Company continues to treat Bitcoin as a supplemental source of liquidity and will adjust the timing and amount of future sales in line with forecast cash needs and prevailing market conditions. Please refer to the corresponding financial statements for a continuity schedule of Bitcoin balances and disposals, and Financial Instruments and Risk Management for the Company's 60-day liquidity risk framework.

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT** 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low. The following summarizes the Company's financial instruments and associated risks.

*Risk management framework*

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework.

Page **32** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Risk management framework (cont'd)*

The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

*Liquidity risk*

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk, calculated as total liabilities, is $16,025,622 as at September 30, 2024 (2023 – $9,993,673), for which the Company has cash of $687,226 on hand to satisfy its liabilities (2023 – $1,315,707). There have been no changes to the method for managing liquidity risk.

*Credit risk*

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. An allowance for doubtful accounts is established based upon factors surrounding the credit risk of specific accounts, historical trends and other information.

*Market risk*

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk*

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency.

Page **33** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Foreign currency risk (cont'd)*

Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate. The effectiveness of these hedging instruments is assessed regularly.

However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

*Interest rate risk*

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk*

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk*

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk*

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held.

Page **34** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Loss of access risk (cont'd)*

To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

**13.** **RELATED PARTY TRANSACTIONS** 

The Company defines related parties in accordance with the definitions in IAS 24 - Related Party Disclosures. As they pertain to the Company, related parties comprise: (i) Key management personnel as described below, and (ii) entities within the Company's reporting group as described in **Note 3(b)**.

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the years ended September 30, 2024 and 2023, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | |
|:---|:---|:---|
|  | 2023 | 2023 |
|  | $— | $|
| &nbsp;&nbsp;Total compensation paid to key management |  | 1874257 |
| &nbsp;&nbsp;Share-based payments |  | 717254 |
|  |  | 2591511 |

---

As of September 30, 2024 and 2023, amounts due to related parties consisted of the following:

---

| | | |
|:---|:---|:---|
|  | 2023 | 2023 |
|  | $— | $|
| &nbsp;&nbsp;Balances included in accounts and other payables |  | 68217 |
| &nbsp;&nbsp;Balances included in related party advances |  | 116950 |
| &nbsp;&nbsp;Balances included in convertible debentures |  | 1180856 |
|  |  | 1366023 |

---

The balances are unsecured, due on demand and bear no interest, unless otherwise disclosed.

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

Page **35** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**13.** **RELATED PARTY TRANSACTIONS (CONT'D)** 

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually.

The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") or the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the year end.

**14.** **OFF-BALANCE-SHEET ARRANGEMENTS** 

As at September 30, 2024 and 2023, the Company had no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company's financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

**15.** **RISK FACTORS AND UNCERTAINTIES** 

The Company's operations involve numerous risks and uncertainties, many of which are beyond its control. The risks outlined below are not exhaustive. Additional risks—currently unknown to the Company or considered immaterial by management—could materially and adversely affect the Company's business, operations, financial condition, results of operations, or share price. Investors should carefully evaluate the following risks together with the other information contained in this MD&A and the Company's financial statements before making an investment decision. A number of the Company's risks are entity specific, including concentration of operations at a single facility in Norway's NO4 region, reliance of a third party mining pool provider (Luxor), exposure to a limited number of hosting customers, and the potential impact of Norwegian regulatory or grid policy changes on power costs and uptime.

Page **36** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(a) <u>Technology, digital asset custody & operational continuity</u> 

*(i)* *Cryptocurrency security and code vulnerabilities* 

The Company's digital asset holdings are inherently vulnerable to cybersecurity incidents, source code flaws, and network exploits. Cryptocurrencies rely on complex and constantly evolving open-source software, and despite peer review, errors in the codebase have occasionally been identified and exploited by malicious actors. While material exploits remain relatively rare, the possibility exists that undiscovered vulnerabilities could enable unauthorized transfers or the creation of counterfeit assets, potentially resulting in significant financial losses for the Company. The very nature of cryptocurrencies—as bearer assets accessible only through private keys—exacerbates this risk, as stolen or compromised assets are virtually impossible to recover.

*(ii)* *Custodial, wallet, and exchange risks* 

The Company's reliance on custodial solutions, both internal and external, presents additional risks of theft, mismanagement, or insolvency of service providers. Cryptocurrency exchanges, although a key source of liquidity, remain less regulated and more prone to fraud, hacking, and operational failures than traditional financial institutions. High-profile collapses of exchanges in recent years underscore the vulnerability of counterparties in this space. Any exchange failure or wallet compromise could lead to unrecoverable losses of the Company's inventory, directly harming its financial condition and potentially affecting investor confidence.

*(iii)* *Systems failures and cyber incidents* 

Maintaining continuous mining and treasury operations requires resilient IT infrastructure. Risks include cyber intrusions, malware attacks, denial-of-service incidents, and failures due to fire, flood, or other disasters. The Company invests in redundancies, backup power, and ongoing upgrades to infrastructure; however, no system is infallible.

Extended downtime could impair mining output, disrupt treasury functions, and materially reduce revenues. Moreover, reputational harm may arise if customers, partners, or regulators perceive inadequacies in the Company's controls.

*(iv)* *Access to economical and reliable power* 

Cryptocurrency mining is energy intensive. The Company's operations depend on reliable, large-scale, and competitively priced electricity. Any material increase in power tariffs, supply curtailments, or unfavourable regulatory actions by utilities could erode operating margins. For example, regional energy regulators such as Hydro-Québec have previously imposed moratoria and considered imposing surcharges or operational requirements on cryptomining firms. Similar actions in the future could materially impact the Company's cost base and profitability.

*(v)* *Hardware sourcing, pricing and technological obsolescence* 

The Company's competitiveness depends on the timely acquisition of state-of-the-art mining machines at reasonable cost. Global demand for mining hardware is highly cyclical, and shortages or supply chain disruptions can lead to inflated prices and delivery delays. Rapid technological advancement further compounds this risk, as newer models quickly supersede older ones, reducing efficiency and revenue potential. If the Company cannot secure updated hardware, it risks being outcompeted by better-capitalized peers.

Page **37** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(a) <u>Technology, digital asset custody & operational continuity (cont'd)</u> 

*(vi)* *Insurance limitations* 

Insurance tailored to cryptocurrency mining and custody remains nascent, with limited coverage options available at significant cost. Events such as theft, hacking, or catastrophic facility damage may fall outside standard policies or within exclusions. If uninsured or underinsured losses occur, the Company could experience material financial and operational setbacks.

*(vii)* *Permits and licenses* 

Mining and hosting operations may require governmental permits and environmental, zoning, or regulatory approvals.

Inability to obtain or maintain these approvals could restrict growth or increase compliance costs. Unexpected changes in licensing regimes could also impose delays or additional capital requirements.

*(viii)* *Third-party service providers and software dependencies* 

The Company's operations rely on a wide network of third-party vendors, including software developers, cloud computing providers, and specialized contractors. Many of these service providers operate outside of traditional regulatory frameworks, and their internal controls may not be transparent. If such third parties fail to deliver services, suffer outages, or experience breaches of their own systems, the Company may face significant disruptions to its mining, treasury, and reporting functions. Replacing or renegotiating with these providers can be costly and time-consuming, and prolonged service interruptions could materially impair financial performance.

*(ix)* *Physical facility risks and environmental hazards* 

Mining operations are highly sensitive to the physical integrity of their facilities. Fire hazards, water damage, structural weaknesses, and HVAC failures present ongoing risks to the safety and continuity of operations. Furthermore, increasing scrutiny of environmental impact, particularly regarding noise levels, heat emissions, and recycling of obsolete hardware, may expose the Company to community opposition or compliance costs. Any incident or regulatory non-compliance could result not only in financial losses but also in reputational harm, hindering the Company's ability to expand operations.

*(x)* *Data integrity and disaster recovery limitations* 

The Company's business model requires the storage and processing of vast amounts of financial and technical data. A failure in backup protocols, inadequate disaster recovery systems, or corruption of key data sets could materially impair operations and reporting accuracy. Although the Company has instituted redundancy systems and periodic testing, full resilience cannot be guaranteed. If critical data is lost or compromised, the Company could face operational delays, compliance failures, and increased risk of fraud or misrepresentation, any of which could erode investor and customer confidence.

Page **38** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics</u> 

*(i)* *Regulatory change and policy actions* 

The global regulatory environment for cryptocurrencies remains fragmented and dynamic. Some jurisdictions actively support digital asset innovation, while others impose outright bans or restrictive frameworks. The Company faces uncertainty around potential new laws in Canada and internationally that could directly impact mining, ownership, transfer, or taxation of cryptocurrencies. Regulatory shifts could also extend indirectly to the Company's shares if authorities classify them as linked to restricted activities. In the worst case, regulations could force liquidation of inventories at unfavourable prices, curtail access to exchanges, or prohibit ongoing operations.

*(ii)* *Banking and payments de-risking* 

A persistent challenge for cryptocurrency-related businesses is limited access to banking services. Many financial institutions perceive heightened compliance risks, particularly with respect to anti-money laundering and counter-terrorist financing. If the Company's banking partners reduce or withdraw services, treasury management could be impaired, increasing operational complexity and reputational risk.

*(iii)* *Exchange and trading-venue fragility* 

Digital asset markets are young and only partially regulated. Major exchanges have experienced insolvencies, hacks, and abrupt shutdowns. Smaller exchanges may lack sufficient capitalization, while larger venues are attractive targets for cyberattacks or regulatory scrutiny. Because cryptocurrency prices are determined primarily on these venues, any disruption could trigger significant volatility and impair liquidity.

*(iv)* *Adoption and utility uncertainty* 

Despite increased awareness, mainstream adoption of cryptocurrencies as a payment method remains limited. Use in retail and commercial markets is small compared with speculative trading. If adoption stalls or reverses, the result may be greater price volatility and diminished long-term value. Since cryptocurrencies have no intrinsic legal tender status, their worth depends on user and merchant acceptance. A collapse in acceptance could render them illiquid or valueless.

*(v)* *Price volatility and momentum dynamics* 

Cryptocurrency prices are highly volatile, often driven by sentiment, leverage, or speculative momentum rather than fundamentals. This amplifies the risk of sharp value swings in short periods, leading to potential mark-to-market losses on the Company's inventory. Momentum pricing creates a feedback loop that can exacerbate both rapid appreciation and sudden crashes.

*(vi)* *Network economics, reward structure and transaction fees* 

Mining economics depend on rewards issued by protocols. As block rewards halve approximately every four years, transaction fees are expected to play a larger role. If total rewards prove insufficient to incentivize miners, overall network participation could decline, reducing security and increasing susceptibility to attacks. Lower participation may also reduce block production speed, undermining confidence in the network and indirectly affecting the Company's revenues.

Page **39** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(vii)* *Network difficulty and competition* 

Bitcoin's self-adjusting difficulty mechanism means that rising global hash rates dilute per-unit rewards. As competitors with greater scale and efficiency join the network, the Company's output may decrease despite unchanged costs, potentially eroding profitability. This dynamic could render operations uneconomical if difficulty rises faster than anticipated.

*(viii)* *Supply and demand shocks, including actions by investment vehicles* 

The emergence of cryptocurrency investment vehicles, such as exchange-traded funds and trusts, concentrates significant market influence in institutional hands.

Large inflows or redemptions from these vehicles can amplify volatility. Should such entities sell large holdings in a short period, digital asset prices could fall sharply, negatively affecting the Company's inventory value.

*(ix)* *Geopolitical and macroeconomic events* 

Crises such as wars, sanctions, or economic recessions may drive speculative demand for cryptocurrencies as alternative stores of value. These inflows can temporarily inflate prices but are often followed by corrections. Conversely, geopolitical instability may reduce confidence in cryptocurrencies as viable alternatives to fiat, further complicating demand forecasts. The unpredictability of such events creates additional uncertainty in planning and risk management.

*(x)* *Forced sales to fund operations* 

The Company may need to liquidate digital assets to meet operational obligations or fund expansion, regardless of prevailing market conditions. If such sales occur during periods of depressed prices, they may crystallize losses and adversely affect cash flow and profitability.

*(xi)* *Cross-border regulatory inconsistencies* 

The Company operates in a global marketplace where digital assets frequently cross jurisdictions. Inconsistent or conflicting international rules on mining, custody, taxation, and transfer of cryptocurrencies create ongoing uncertainty. For example, assets legally mined in one country may face restrictions or penalties if transferred or sold in another. Navigating these regulatory patchworks requires significant legal resources and exposes the Company to inadvertent non-compliance risks. Future regulatory divergence may also hinder the Company's ability to scale internationally.

*(xii)* *Market manipulation and integrity concerns* 

Digital asset markets are less regulated than traditional securities exchanges, leaving them vulnerable to practices such as wash trading, spoofing, pump-and-dump schemes, and the influence of large "whale" investors. Such manipulative behaviour can distort pricing, reduce transparency, and undermine confidence in the market as a whole. If manipulation is widespread or persistent, the Company may experience unexpected valuation swings in its inventory, limiting its ability to plan operations, raise capital, or secure counterparties.

Page **40** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(xiii)* *Shifts in energy policy and carbon regulation* 

Governments worldwide are increasingly focused on sustainability and carbon reduction. Mining, as an energy-intensive activity, could be targeted with taxes, levies, or outright restrictions intended to reduce greenhouse gas emissions. Jurisdictions that once welcomed mining may pivot toward more restrictive stances as public pressure mounts. If regulators impose carbon pricing, renewable energy quotas, or limitations on power usage specific to cryptocurrency miners, the Company's cost structure and long-term viability could be materially affected.

(c) <u>Financial, corporate, legal & governance</u> 

*(i)* *Liquidity and additional financing* 

Execution of the Company's business strategy depends on raising and maintaining adequate capital. There is no guarantee that financing will be available on favourable terms—or at all—when required. Equity financings may dilute existing shareholders, while debt could impose restrictive covenants. Failure to secure necessary funding could result in scaling back or abandoning strategic initiatives and, in extreme cases, threaten the Company's ability to continue as a going concern.

*(ii)* *Key personnel* 

The Company relies heavily on its senior management team and specialized technical staff. Retaining and attracting individuals with cryptocurrency, finance, and technology expertise is highly competitive. Departure of key personnel without suitable replacements could materially disrupt strategy execution and growth.

*(iii)* *Strategy execution, acquisitions and integrations* 

As part of its strategy, the Company may pursue acquisitions, joint ventures, or partnerships. Each transaction carries risks related to due diligence, financing, cultural integration, and realization of synergies. Missteps in execution could result in financial losses or distraction from core operations.

*(iv)* *Conflicts of interest* 

Some directors and officers may hold positions in or investments in other entities engaged in cryptocurrency or technology businesses. While legal safeguards require disclosure and abstention from conflicted decisions, the perception or reality of conflicts could raise governance concerns or complicate decision-making.

*(v)* *Litigation and regulatory proceedings* 

The Company may face legal or regulatory claims in the ordinary course of business. Even if ultimately resolved favourably, such proceedings can consume management resources and generate costs. Adverse rulings may result in penalties, damages, or operational restrictions.

Page **41** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(vi)* *Intellectual property claims* 

Third parties may assert that the Company's activities infringe upon their intellectual property rights. Defending such claims, regardless of merit, can be costly and disruptive. Unfavourable outcomes could affect the Company's ability to operate or diminish confidence in cryptocurrencies generally.

*(vii)* *Dividend policy* 

The Company has not declared dividends and does not expect to do so in the foreseeable future. Future dividend decisions, if any, will depend on profitability, liquidity, and Board discretion. Shareholders should not expect income from dividends in the near term.

*(viii)* *Tax attributes and compliance risks* 

The Company has approximately $24 million of tax loss carryforwards that may offset future taxable income. Utilization depends on continued profitability and acceptance by the Canada Revenue Agency. If disallowed, future tax liabilities may increase.

Furthermore, uncertainty remains regarding the treatment of cryptocurrency mining under commodity tax regimes such as GST, HST, and QST. Adverse assessments or interpretive changes could delay refunds or reduce working capital.

*(ix)* *Income and commodity tax uncertainty* 

Complex and evolving tax rules pose ongoing risks. Disputes with authorities may result in additional taxes, penalties, or interest. Even with proactive compliance, interpretations may shift, creating potential liabilities.

*(x)* *Competition and market perception* 

The Company competes with other miners and digital asset firms for resources, customers, and investor attention. Negative industry events—such as exchange failures, hacks, or regulatory crackdowns—can tarnish sentiment and reduce valuations across the sector, affecting the Company even if it is not directly implicated.

*(xi)* *Dependence on capital markets sentiment* 

As a publicly traded entity, the Company's valuation and access to capital are closely tied to investor sentiment toward the digital asset sector. Market downturns, scandals involving other blockchain companies, or broader declines in technology stocks may limit the Company's ability to issue equity or debt on acceptable terms. A sudden contraction in available financing could force the Company to curtail growth initiatives, restructure operations, or sell assets at distressed values.

Page **42** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(xii)* *Internal control and financial reporting risks* 

The complexity of accounting for digital assets, coupled with evolving standards under IFRS, creates heightened risk of errors or misstatements in the Company's financial disclosures. Inadequate internal controls, resource constraints in finance teams, or reliance on manual reconciliation processes could result in delayed filings, restatements, or regulatory scrutiny. Such outcomes would undermine credibility with investors and may limit access to financing or strategic partners.

*(xiii)* *Reputational exposure and stakeholder confidence* 

The Company operates in a sector that is often subject to intense media attention and public debate. Negative coverage—whether linked to cybersecurity incidents, environmental concerns, or unrelated events in the digital asset industry—can affect the Company's reputation even in the absence of direct involvement. Erosion of stakeholder confidence may impair the Company's ability to attract and retain employees, customers, and investors, creating a self-reinforcing cycle that hampers growth and long-term resilience.

**16.** **DISCLOSURE CONTORLS AND PROCEDURES/ INTERNAL CONTROL OVER FINANCING REPORTING** 

As a venture issuer, the Company has filed basic certificates under National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings ("NI 52-109").

The certifying officers do not make representations relating to the establishment and maintenance of disclosure controls and procedures ("DC&P") and internal control over financial reporting ("ICFR"), as defined in NI 52-109. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected. There has been no change in the Company's ICFR during the period that has materially affected, or is reasonably likely to materially affect, the Company's ICFR. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected.

**17.** **OUTLOOK** 

Management expects post halving mining economics to remain challenging and highly sensitive to BTC price, transaction fees and network difficulty. The Company's near term priorities are: (i) increasing energy efficiency and hashrate per MW through new miner deployments; (ii) expanding hosting revenue to improve cash flow stability; (iii) optimizing grid flexibility revenues in Norway; and (iv) maintaining disciplined capital allocation. These expectations constitute forward looking information and are based on the assumptions described under "Forward Looking Information.". See 'Cautionary Note Regarding Forward-Looking Information' for important assumptions and risk factors.

Page **43** of **44**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2024 |

---

**18.** **OUTSTANDING SHARE DATA** 

As at September 30, 2024, the Company's outstanding share data is as follows:

● Common shares outstanding: 332,961,663

● Stock options outstanding: 11,063,935

○ Weighted average exercise price: $0.16

○ Weighted average remaining life: 2.05 years

○ Options exercisable: 10,563,935

● Restricted Share Units (RSUs) outstanding: 34,596,100

○ RSUs vested: 12,571,233

● Convertible debentures outstanding: $1,364,013 principal amount.

○ Convertible at CAD $0.40 per share at the Company's option after maturity.

For a detailed breakdown of the Company's outstanding securities, including exercise prices, expiry dates, vesting conditions, and any changes subsequent to year end, please refer to Section 4 (Subsequent Events) and Section 9 (Material Transactions).

**19.** **FILING** 

These documents have been filed electronically with the Canadian securities regulators through the System for Electronic Document Analysis and Retrieval + ("SEDAR+") and may be accessed through SEDAR+'s website at <u>www.sedarplus.ca</u>.

Page **44** of **44**

**Schedule "F"**

*Omnibus Incentive Plan*

**BITZERO HOLDINGS INC.**

**OMNIBUS EQUITY INCENTIVE PLAN**

November 19, 2025

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
| **ARTICLE 1 PURPOSE** | **ARTICLE 1 PURPOSE** | **1** |
| 1.1 | Purpose | 1 |
| **ARTICLE 2 INTERPRETATION** | **ARTICLE 2 INTERPRETATION** | **1** |
| 2.1 | Definitions | 1 |
| 2.2 | Interpretation | 10 |
| **ARTICLE 3 ADMINISTRATION** | **ARTICLE 3 ADMINISTRATION** | **10** |
| 3.1 | Administration | 10 |
| 3.2 | Delegation to Committee | 11 |
| 3.3 | Determinations Binding | 12 |
| 3.4 | Eligibility | 12 |
| 3.5 | Plan Administrator Requirements | 12 |
| 3.6 | Total Shares Subject to Awards | 12 |
| 3.7 | Award Agreements | 13 |
| 3.8 | Non-transferability of Awards | 13 |
| **ARTICLE 4 OPTIONS** | **ARTICLE 4 OPTIONS** | **13** |
| 4.1 | Granting of Options | 13 |
| 4.2 | Exercise Price | 14 |
| 4.3 | Term of Options | 14 |
| 4.4 | Vesting and Exercisability | 14 |
| 4.5 | Payment of Exercise Price | 14 |
| **ARTICLE 5 RESTRICTED SHARE UNITS** | **ARTICLE 5 RESTRICTED SHARE UNITS** | **15** |
| 5.1 | Granting of RSUs | 15 |
| 5.2 | RSU Account | 16 |
| 5.3 | Vesting of RSUs | 16 |
| 5.4 | Settlement of RSUs | 16 |
| **ARTICLE 6 PERFORMANCE SHARE UNITS** | **ARTICLE 6 PERFORMANCE SHARE UNITS** | **17** |
| 6.1 | Granting of PSUs | 17 |
| 6.2 | Terms of PSUs | 17 |
| 6.3 | Performance Goals | 17 |
| 6.4 | PSU Account | 17 |
| 6.5 | Vesting of PSUs | 18 |
| 6.6 | Settlement of PSUs | 18 |
| **ARTICLE 7 DEFERRED SHARE UNITS** | **ARTICLE 7 DEFERRED SHARE UNITS** | **18** |
| 7.1 | Granting of DSUs | 18 |
| 7.2 | DSU Account | 20 |
| 7.3 | Vesting of DSUs | 20 |
| 7.4 | Settlement of DSUs | 20 |
| 7.5 | No Additional Amount or Benefit | 21 |

---

---

| | | |
|:---|:---|:---|
| **ARTICLE 8 ADDITIONAL AWARD TERMS** | **ARTICLE 8 ADDITIONAL AWARD TERMS** | **21** |
| 8.1 | Dividend Equivalents | 21 |
| 8.2 | Black-out Period | 21 |
| 8.3 | Withholding Taxes | 22 |
| 8.4 | Recoupment | 22 |
| **ARTICLE 9 TERMINATION OF EMPLOYMENT OR SERVICES** | **ARTICLE 9 TERMINATION OF EMPLOYMENT OR SERVICES** | **22** |
| 9.1 | Termination of Employee, Consultant or Director | 22 |
| 9.2 | Discretion to Permit Acceleration | 24 |
| **ARTICLE 10 EVENTS AFFECTING THE CORPORATION** | **ARTICLE 10 EVENTS AFFECTING THE CORPORATION** | **25** |
| 10.1 | General | 25 |
| 10.2 | Change in Control | 25 |
| 10.3 | Reorganization of Corporation's Capital | 26 |
| 10.4 | Other Events Affecting the Corporation | 26 |
| 10.5 | Immediate Acceleration of Awards | 27 |
| 10.6 | Issue by Corporation of Additional Shares | 27 |
| 10.7 | Fractions | 27 |
| **ARTICLE 11 U.S. TAXPAYERS** | **ARTICLE 11 U.S. TAXPAYERS** | **27** |
| 11.1 | Provisions for U.S. Taxpayers | 27 |
| 11.2 | ISOs | 27 |
| 11.3 | ISO Grants to 10% Shareholders | 28 |
| 11.4 | $100,000 Per Year Limitation for ISOs | 28 |
| 11.5 | Disqualifying Dispositions | 28 |
| 11.6 | Section 409A of the Code | 28 |
| 11.7 | Section 83(b) Election | 29 |
| 11.8 | Application of Article 11 to U.S. Taxpayers | 29 |
| **ARTICLE 12 AMENDMENT, SUSPENSION OR TERMINATION OF THE PLAN** | **ARTICLE 12 AMENDMENT, SUSPENSION OR TERMINATION OF THE PLAN** | **30** |
| 12.1 | Amendment, Suspension, or Termination of the Plan | 30 |
| 12.2 | Shareholder Approval | 30 |
| 12.3 | Permitted Amendments | 31 |
| **ARTICLE 13 MISCELLANEOUS** | **ARTICLE 13 MISCELLANEOUS** | **31** |
| 13.1 | Legal Requirement | 31 |
| 13.2 | No Other Benefit | 32 |
| 13.3 | Rights of Participant | 32 |
| 13.4 | Corporate Action | 32 |
| 13.5 | Conflict | 32 |
| 13.6 | Anti-Hedging Policy | 32 |
| 13.7 | Participant Information | 32 |
| 13.8 | Participation in the Plan | 33 |
| 13.9 | International Participants | 33 |
| 13.10 | Successors and Assigns | 33 |
| 13.11 | General Restrictions or Assignment | 33 |
| 13.12 | Severability | 33 |
| 13.13 | Notices | 33 |

---

13.14 Effective Date 34

13.15 Governing Law 34

13.16 Submission to Jurisdiction 34

**BITZERO HOLDINGS INC.**

**Omnibus Equity Incentive Plan**

**ARTICLE 1**

**PURPOSE**

**1.1** **Purpose** 

The purpose of this Plan is to provide the Corporation with a share-related mechanism to attract, retain and motivate qualified Directors, Officers, Employees and Consultants of the Corporation and its subsidiaries, to reward such of those Directors, Officers, Employees and Consultants as may be granted Awards under this Plan by the Board from time to time for their contributions toward the long-term goals and success of the Corporation and to enable and encourage such Directors, Officers, Employees and Consultants to acquire Shares as long-term investments and proprietary interests in the Corporation.

**ARTICLE 2**

**INTERPRETATION**

**2.1** **Definitions** 

When used herein, unless the context otherwise requires, the following terms have the indicated meanings, respectively:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "**Affiliate**" means any entity that
is an "affiliate" for the purposes of National Instrument 45-106 – *Prospectus Exemptions of the Canadian Securities Administrators*, as amended from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "**Award**" means any Option, Restricted
Share Unit, Performance Share Unit or Deferred Share Unit granted under this Plan which may be denominated or settled in Shares,
cash or in such other form as provided herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "**Award Agreement**" means a signed, written agreement between a Participant and
the Corporation, in the form or any one of the forms approved by the Plan Administrator, evidencing the terms and conditions on
which an Award has been granted under this Plan and which need not be identical to any other such agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "**Board**" means the board of directors of the Corporation as it may be constituted
from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "**Business Day**" means a day, other than a Saturday or Sunday,
on which the principal commercial banks in the City of Vancouver are open for commercial business during normal banking hours;

(f) "**Canadian Taxpayer**" means a Participant that is resident
of Canada for purposes of the Tax Act;

(g) "**Cash Fees**" has the meaning set forth in 7.1(a);

(h) "**Cashless Exercise**" has the meaning set forth in 4.5(b);

(i) "**Cause**" means, with respect to a particular Participant:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "cause"(or any similar term) as such term is defined in the employment or other written
agreement between the Corporation or a subsidiary of the Corporation and the Employee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the event there is no written or other applicable employment or other agreement between the
Corporation or a subsidiary of the Corporation or "cause" (or any similar term) is not defined in such agreement, "cause"
as such term is defined in the Award Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in the event neither (a) nor (b) apply, then "cause"
as such term is defined by applicable law or, if not so defined, such term shall refer to circumstances where (i) an employer
may terminate an individual's employment without notice or pay in lieu thereof or other damages, or (ii) the Corporation or any subsidiary thereof may terminate the Participant's contract without notice or without pay
in lieu thereof or other termination fee or damages;

(j) "**Change in Control**" means the occurrence of any one or
more of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any transaction at any time and by whatever means pursuant to which any Person or any group of
two (2) or more Persons acting jointly or in concert hereafter acquires the direct or indirect "beneficial ownership"
(as defined in the *Securities Act* (British Columbia)) of, or acquires the right to exercise Control or direction over, securities
of the Corporation representing more than 50% of the then issued and outstanding voting securities of the Corporation, including,
without limitation, as a result of a take-over bid, an exchange of securities, an amalgamation of the Corporation with any other
entity, an arrangement, a capital reorganization or any other business combination or reorganization;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the sale, assignment or other transfer of all or substantially all of the consolidated assets of
the Corporation to a Person other than a subsidiary of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the dissolution or liquidation of the Corporation, other than in connection with the distribution
of assets of the Corporation to one (1) or more Persons which were Affiliates of the Corporation prior to such event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the occurrence of a transaction requiring approval of the Corporation's shareholders whereby
the Corporation is acquired through consolidation, merger, exchange of securities, purchase of assets, amalgamation, statutory
arrangement or otherwise by any other Person (other than a short form amalgamation or exchange of securities with a subsidiary
of the Corporation);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) individuals who comprise the Board as of the date hereof (the "**Incumbent Board** ")
for any reason cease to constitute at least a majority of the members of the Board, unless the election, or nomination for election
by the Corporation's shareholders, of any new director was approved by a vote of at least a majority of the Incumbent Board,
and in that case such new director shall be considered as a member of the Incumbent Board; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any other event which the Board determines to constitute a change in control
of the Corporation;

provided that, notwithstanding clause (i), (ii), (iii) and (iv) above, a Change in Control shall be deemed not to have occurred if immediately following the transaction set forth in clause (i), (ii), (iii) or (iv) above: (A) the holders of securities of the Corporation that immediately prior to the consummation of such transaction represented more than 50% of the combined voting power of the then outstanding securities eligible to vote for the election of directors of the Corporation hold (x) securities of the entity resulting from such transaction (including, for greater certainty, the Person succeeding to assets of the Corporation in a transaction contemplated in clause (ii) above) (the "**Surviving Entity**") that represent more than 50% of the combined voting power of the then outstanding securities eligible to vote for the election of directors or trustees ("**voting power**") of the Surviving Entity, or (y) if applicable, securities of the entity that directly or indirectly has beneficial ownership of 100% of the securities eligible to elect directors or trustees of the Surviving Entity (the "**Parent Entity**") that represent more than 50% of the combined voting power of the then outstanding securities eligible to vote for the election of directors or trustees of the Parent Entity, and (B) no Person or group of two or more Persons, acting jointly or in concert, is the beneficial owner, directly or indirectly, of more than 50% of the voting power of the Parent Entity (or, if there is no Parent Entity, the Surviving Entity) (any such transaction which satisfies all of the criteria specified in clauses (A) and (B) above being referred to as a "**Non-Qualifying Transaction**" and, following the Non-Qualifying Transaction, references in this definition of "Change in Control" to the "Corporation" shall mean and refer to the Parent Entity (or, if there is no Parent Entity, the Surviving Entity) and, if such entity is a company or a trust, references to the "Board" shall mean and refer to the board of directors or trustees, as applicable, of such entity).

Notwithstanding the foregoing, for purposes of any Award that constitutes "deferred compensation" (within the meaning of Section 409A of the Code), the payment of which is triggered by or would be accelerated upon a Change in Control, a transaction will not be deemed a Change in Control for Awards granted to any Participant who is a U.S. Taxpayer unless the transaction qualifies as "a change in control event" within the meaning of Section 409A of the Code;

(k) "**Code**" means the United States Internal Revenue Code of 1986, as amended from
time to time. Any reference to a section of the Code shall be deemed to include a reference to any regulations promulgated thereunder;

(l) "**Committee**" has the meaning set forth in 3.2(b);

(m) "**Consultant**" means any individual or entity engaged by the Corporation or any
subsidiary of the Corporation to render consulting or advisory services (including as a director or officer of any subsidiary of
the Corporation), other than as an Employee, Officer, or Director, and whether or not compensated for such services provided, however,
that any Consultant who is in the United States or is a U.S. Person at the time such Consultant receives any offer of Award or
executes any Award Agreement must be a natural person, and must agree to provide bona fide services to that Corporation that are
not in connection with the offer or sale of securities in a capital-raising transaction, and do not directly or indirectly promote
or maintain a market for the Corporation's securities;

(n) "**Control**" means the relationship whereby a Person is considered
to be "controlled" by a Person if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) when applied to the relationship between a Person and a corporation, the beneficial ownership by
that Person, directly or indirectly, of voting securities or other interests in such corporation entitling the holder to exercise
control and direction in fact over the activities of such corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) when applied to the relationship between a Person and a partnership, limited
partnership, trust or joint venture, means the contractual right to direct the affairs of the partnership, limited partnership,
trust or joint venture; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) when applied in relation to a trust, the beneficial ownership at the relevant
time of more than 50% of the property settled under the trust, and

the words "**Controlled by**", "**Controlling**" and similar words have corresponding meanings; provided that a Person who controls a corporation, partnership, limited partnership or joint venture will be deemed to Control a corporation, partnership, limited partnership, trust or joint venture which is Controlled by such Person and so on;

(o) "**Corporation**" means Bitzero Holdings Inc., or any successor entity thereof;

(p) "**Date of Grant**" means, for any Award,
the date specified by the Plan Administrator at the time it grants the Award or if no such date is specified, the date upon which
the Award was granted;

(q) "**Deferred Share Unit**" or "**DSU**" means
a unit equivalent in value to a Share, credited by means of a bookkeeping entry in the books of the Corporation in accordance with
 ARTICLE 7 DEFERRED SHARE UNITS;

(r) "**Director**" means a director of the Corporation who is not an Employee;

(s) "**Director Fees**" means the total compensation (including
annual retainer and meeting fees, if any) paid by the Corporation to a Director in a calendar year for service on the Board;

(t) "**Disabled**" or "**Disability**" means, with respect to a particular
Participant:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "disabled" or "disability" (or any similar terms) as such terms are defined
in the employment or other written agreement between the Corporation or a subsidiary of the Corporation and the Participant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the event there is no written or other applicable
employment or other agreement between the Corporation or a subsidiary of the Corporation, or "disabled" or "disability"
(or any similar terms) are not defined in such agreement, "disabled" or "disability" as such term are
defined in the Award Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in the event neither (i) or (ii) apply, then the incapacity or inability of the Participant, by
reason of mental or physical incapacity, disability, illness or disease (as determined by a legally qualified medical practitioner
or by a court) that prevents the Participant from carrying out his or her normal and essential duties as an Employee, Officer,
Director or Consultant for a continuous period of six months or for any cumulative period of 180 days in any consecutive twelve
month period, the foregoing subject to and as determined in accordance with procedures established by the Plan Administrator for
purposes of this Plan;

(u) "**Effective Date**" means the effective date of this Plan, being November 19, 2025;

(v) "**Elected Amount**" has the meaning set forth in 7.1(a);

(w) "**Electing Person**" means a Participant who is, on the applicable
Election Date, a Director;

(x) "**Election Date**" means the date on which the Electing Person
files an Election Notice in accordance with 7.1(b);

(y) "**Election Notice**" has the meaning set forth in 7.1(b);

(z) "**Employee**" means an individual who:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) is considered an employee of the Corporation or a subsidiary of the Corporation
for purposes of source deductions under applicable tax or social welfare legislation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) works full-time or part-time. on a regular weekly basis for the Corporation or a subsidiary of
the Corporation providing services normally provided by an employee and who is subject to the same control and direction by the
Corporation or a subsidiary of the Corporation over the details and methods of work as an employee of the Corporation or such subsidiary;

(aa) "**Exchange**" means the primary exchange on which the Shares
are then listed, if applicable;

(bb) "**Exercise Notice**" means a notice in writing, signed by a
Participant and stating the Participant's intention to exercise a particular Option;

(cc) "**Exercise Price**" means the price at which an Option Share
may be purchased pursuant to the exercise of an Option;

(dd) "**Expiry Date**" means the expiry date specified in the Award
Agreement (which shall not be later than the tenth anniversary of the Date of Grant) or, if not so specified, means the tenth anniversary
of the Date of Grant;

(ee) "**In the Money Amount**" has the meaning given to it in 4.5(b);

(ff) "**Insider**" means an "insider" as defined in applicable
Securities Laws or in the rules of the Exchange;

(gg) "**Market Price**" at any date in respect of the Shares shall be the greater of
the closing market price of the Shares on (i) the trading day prior to the date of grant and (ii) the date of grant, and as otherwise
required pursuant to the policies of the Exchange, if applicable. In the event that such Shares are not listed and posted for trading
on any Exchange, the Market Price shall be (i) the issuance price per Share of the most recent financing completed by the Corporation
within the last three (3) months; or (ii) otherwise, the fair market value of such Shares as determined by the Plan Administrator
in its sole discretion and, with respect to an Award made to a U.S. Taxpayer, in accordance with Section 409A of the Code;

(hh) "**Non-Voting Share**" means a non-voting share in the capital of the Corporation;

(ii) "**Officer**" has the meaning defined in applicable Securities Laws;

(jj) "**Option**" means a right to purchase Shares under ARTICLE 4
OPTIONS of this Plan that is non-assignable and non-transferable, unless otherwise approved by the Plan Administrator;

(kk) "**Option Shares**" means Shares issuable by the Corporation
upon the exercise of outstanding Options;

(ll) "**Participant**" means a Director, Officer, Employee or Consultant
to whom an Award has been granted under this Plan;

(mm) "**Performance Goals**" means performance goals expressed in terms of attaining
a specified level of the particular criteria or the attainment of a percentage increase or decrease in the particular criteria,
and may be applied to one or more of the Corporation, a subsidiary of the Corporation, a division of the Corporation or a subsidiary
of the Corporation, or an individual, or may be applied to the performance of the Corporation or a subsidiary of the Corporation
relative to a market index, a group of other companies or a combination thereof, or on any other basis, all as determined by the
Plan Administrator in its discretion;

(nn) "**Performance Share Unit**" or "**PSU**" means a unit equivalent
in value to a Share, credited by means of a bookkeeping entry in the books of the Corporation in accordance with
ARTICLE 6 PERFORMANCE SHARE UNITS;

(oo) "**Person**" means an individual, sole proprietorship, partnership,
unincorporated association, unincorporated syndicate, unincorporated organization, trust, body corporate, and a natural person
in his or her capacity as trustee, executor, administrator or other legal representative;

(pp) "**Plan**" means this Omnibus Equity Incentive Plan, as may be amended from time
to time;

(qq) "**Plan Administrator**" means the Board, or if the administration
of this Plan has been delegated by the Board to the Committee pursuant to 3.2, the Committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rr) "**PSU Service Year**" has the meaning given to it in 6.1;

(ss) "**Restricted Share Unit**" or "**RSU**" means
a unit equivalent in value to a Share, credited by means of a bookkeeping entry in the books of the Corporation in accordance with
 ARTICLE 5 RESTRICTED SHARE UNITS;

(tt) "**Retirement**" means, unless otherwise defined in the Participant's written
or other applicable employment agreement or in the Award Agreement, the termination of the Participant's working career at
the age of 65 or such other retirement age, with consent of the Plan Administrator, if applicable, other than on account of the
Participant's termination of service by the Corporation or its subsidiary for Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uu) "**RSU Service Year**" has the meaning given to it in Section
5.1;

(vv) "**Section 409A of the Code**" or "**Section 409A**" means Section
409A of the Code and all regulations, guidance, compliance programs, and other interpretive authority issued thereunder;

(ww) "**Securities Laws**" means securities legislation, securities regulation and securities
rules, as amended, and the policies, notices, instruments and blanket orders in force from time to time that govern or are applicable
to the Corporation or to which it is subject;

(xx) "**Security Based Compensation Arrangement**" means a stock option, stock option
plan, employee stock purchase plan or any other compensation or incentive mechanism involving the issuance or potential issuance
of Shares to Directors, Officers, Employees and/or service providers of the Corporation or any subsidiary of the Corporation, including
a share purchase from treasury which is financially assisted by the Corporation by way of a loan, guarantee or otherwise;

(yy) "**Share**" means one (1) voting share in the capital of the Corporation as constituted
on the Effective Date or any voting share or voting shares issued in replacement of such voting share in compliance with Canadian
law or other applicable law, and/or one share of any additional class of voting shares in the capital of the Corporation as may
exist from time to time, or after an adjustment contemplated by ARTICLE 10, such other shares or securities
to which the holder of an Award may be entitled as a result of such adjustment;

(zz) "**subsidiary**" means an issuer that is Controlled directly
or indirectly by another issuer and includes a subsidiary of that subsidiary, or any other entity in which the Corporation has
an equity interest and is designated by the Plan Administrator, from time to time, for purposes of this Plan to be a subsidiary;

(aaa) "**Tax Act**" has the meaning set forth in 4.5(d);

(bbb) "**Termination Date**" means, subject to applicable law which cannot be waived:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the case of an Employee whose employment with the
Corporation or a subsidiary of the Corporation terminates, (i) the date designated by the Employee and the Corporation or a subsidiary
of the Corporation as the "Termination Date" (or similar term) in a written employment or other agreement between
the Employee and Corporation or a subsidiary of the Corporation, or (ii) if no such written employment or other agreement exists,
the date designated by the Corporation or a subsidiary of the Corporation, as the case may be, on which the Employee ceases to
be an employee of the Corporation or the subsidiary of the Corporation, as the case may be, provided that, in the case of termination
of employment by voluntary resignation by the Participant, such date shall not be earlier than the date notice of resignation
was given; and in any event, the "Termination Date" shall be determined without including any period of reasonable
notice that the Corporation or the subsidiary of the Corporation (as the case may be) may be required by law to provide to the
Participant or any pay in lieu of notice of termination, severance pay or other damages paid or payable to the Participant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of a Consultant whose agreement or arrangement
with the Corporation or a subsidiary of the Corporation terminates, (i) the date designated by the Corporation or the subsidiary
of the Corporation, as the "Termination Date" (or similar term) or expiry date in a written agreement between the
Consultant and Corporation or a subsidiary of the Corporation, or (ii) if no such written agreement exists, the date designated
by the Corporation or a subsidiary of the Corporation, as the case may be, on which the Consultant ceases to be a Consultant or
a service provider to the Corporation or the subsidiary of the Corporation, as the case may be, or on which the Participant's
agreement or arrangement is terminated, provided that in the case of voluntary termination by the Participant of the Participant's
consulting agreement or other written arrangement, such date shall not be earlier than the date notice of voluntary termination
was given; in any event, the "Termination Date" shall be determined without including any period of notice that the
Corporation or the subsidiary of the Corporation (as the case may be) may be required by law to provide to the Participant or
any pay in lieu of notice of termination, termination fees or other damages paid or payable to the Participant; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in the case of a Director or Officer, the date such individual
ceases to be a Director or Officer, as applicable,

in each case, unless the individual continues to be a Participant in another capacity.

Notwithstanding the foregoing, in the case of a U.S. Taxpayer, a Participant's "Termination Date" will be the date the Participant experiences a "separation from service" with the Corporation or a subsidiary of the Corporation within the meaning of Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ccc) "**U.S.**" or "**United States**" means the United
States of America, its territories and possessions, any State of the United States, and the District of Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ddd) "**U.S. Person**" shall mean a "**U.S. person**" as such term is
defined in Rule 902(k) of Regulation S under the U.S. Securities Act (the definition of which includes, but is not limited to,
(i) any natural person resident in the United States, (ii) any partnership or corporation organized or incorporated under the laws
of the United States, (iii) any partnership or corporation organized outside of the United States by a U.S. Person principally
for the purpose of investing in securities not registered under the U.S. Securities Act, unless it is organized, or incorporated,
and owned, by accredited investors who are not natural persons, estates or trusts, and (iv) any estate or trust of which any executor
or administrator or trustee is a U.S. Person);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(eee) "**U.S. Securities Act**" means the United States Securities
Act of 1933, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(fff) "**U.S. Taxpayer**" shall mean a Participant who, with respect
to an Award, is subject to taxation under the applicable U.S. tax laws.

&nbsp;&nbsp;&nbsp;&nbsp;a. **Interpretation** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. Whenever the Plan Administrator exercises discretion in the administration
of this Plan, the term "discretion" means the sole and absolute discretion of the Plan Administrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. As used herein, the terms "Article", "Section", "Subsection"
and "clause" mean and refer to the specified Article, Section, Subsection and clause of this Plan, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. Words importing the singular include the plural and vice versa and words importing
any gender include any other gender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. Unless otherwise specified, time periods within or following which any payment is to be made or
act is to be done shall be calculated by excluding the day on which the period begins, including the day on which the period ends,
and abridging the period to the immediately preceding Business Day in the event that the last day of the period is not a Business
Day. In the event an action is required to be taken or a payment is required to be made on a day which is not a Business Day such
action shall be taken or such payment shall be made by the immediately preceding Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;v. Unless otherwise specified, all references to money amounts are to Canadian
currency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vi. The headings used herein are for convenience only and are not to affect the
interpretation of this Plan.

**ARTICLE 3**

**ADMINISTRATION**

**3.1** **Administration** 

This Plan will be administered by the Plan Administrator and the Plan Administrator has sole and complete authority, in its discretion, to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) determine the individuals to whom grants under the Plan may be made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) make grants of Awards under the Plan relating to the issuance of Shares (including any combination
of Options, Restricted Share Units, Performance Share Units or Deferred Share Units) in such amounts, to such Persons and, subject
to the provisions of this Plan, on such terms and conditions as it determines including without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the time or times at which Awards may be granted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the conditions under which:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Awards may be granted to Participants; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Awards may be forfeited to the Corporation,

including any conditions relating to the attainment of specified Performance Goals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the number of Shares to be covered by any Award;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the price, if any, to be paid by a Participant in connection with the purchase
of Shares covered by any Awards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) whether restrictions or limitations are to be imposed on the Shares issuable
pursuant to grants of any Award, and the nature of such restrictions or limitations, if any; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any acceleration of exercisability or vesting, or waiver of termination regarding any Award, based
on such factors as the Plan Administrator may determine;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) establish the form or forms of Award Agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) cancel, amend, adjust or otherwise change any Award under such circumstances
as the Plan Administrator may consider appropriate in accordance with the provisions of this Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) construe and interpret this Plan and all Award Agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) adopt, amend, prescribe and rescind administrative guidelines and other rules and regulations relating
to this Plan, including rules and regulations relating to sub-plans established for the purpose of satisfying applicable foreign
laws or for qualifying for favorable tax treatment under applicable foreign laws; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) make all other determinations and take all other actions necessary or advisable for the implementation
and administration of this Plan.

**3.2** **Delegation to Committee** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The initial Plan Administrator shall be the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the extent permitted by applicable law, the Board
may, from time to time, delegate to a committee of the Board (the "**Committee**") all or any of the powers conferred
on the Plan Administrator pursuant to this Plan, including the power to sub-delegate to any member(s) of the Committee or any
specified officer(s) of the Corporation or its subsidiaries all or any of the powers delegated by the Board. In such event, the
Committee or any sub-delegate will exercise the powers delegated to it in the manner and on the terms authorized by the delegating
party. Any decision made or action taken by the Committee or any sub-delegate arising out of or in connection with the administration
or interpretation of this Plan in this context is final and conclusive and binding on the Corporation and all subsidiaries of
the Corporation, all Participants and all other Persons.

**3.3** **Determinations Binding** 

Any decision made or action taken by the Board, the Committee or any sub-delegate to whom authority has been delegated pursuant to 3.23.2 arising out of or in connection with the administration or interpretation of this Plan is final, conclusive and binding on the Corporation, the affected Participant(s), their legal and personal representatives and all other Persons.

**3.4** **Eligibility** 

All Directors, Officers, Employees and Consultants are eligible to participate in the Plan, subject to 9.1(f). Participation in the Plan is voluntary and eligibility to participate does not confer upon any Director, Officer, Employee or Consultant any right to receive any grant of an Award pursuant to the Plan. The extent to which any Director, Officer, Employee or Consultant is entitled to receive a grant of an Award pursuant to the Plan will be determined in the sole and absolute discretion of the Plan Administrator.

**3.5** **Plan Administrator Requirements** 

Any Award granted under this Plan shall be subject to the requirement that, if at any time the Plan Administrator shall determine that the listing, registration or qualification of the Shares issuable pursuant to such Award upon any securities exchange or under any Securities Laws of any jurisdiction, or the consent or approval of the Exchange, if applicable, and any securities commissions or similar securities regulatory bodies having jurisdiction over the Corporation is necessary as a condition of, or in connection with, the grant or exercise of such Award or the issuance or purchase of Shares thereunder, such Award may not be accepted or exercised, as applicable, in whole or in part unless such listing, registration, qualification, consent or approval shall have been effected or obtained on conditions acceptable to the Plan Administrator. Without limiting the generality of the foregoing, all Awards shall issued pursuant to the registration requirements of the U.S. Securities Act, or pursuant an exemption or exclusion from such registration requirements. Nothing herein shall be deemed to require the Corporation to apply for or to obtain such listing, registration, qualification, consent or approval. Participants shall, to the extent applicable, cooperate with the Corporation in complying with such legislation, rules, regulations and policies.

**3.6** **Total Shares Subject to Awards** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to adjustment as provided for in
ARTICLE 10 and any subsequent amendment to this Plan, the aggregate number of Shares reserved for issuance pursuant to Awards
granted under this Plan shall not exceed 20% of the Corporation's total issued and outstanding Shares and Non-Voting Shares
from time to time. This Plan is considered an "evergreen" plan, since the shares covered by Awards which have been
settled, exercised or terminated shall be available for subsequent grants under the Plan and the number of Awards available to
grant increases as the number of issued and outstanding Shares increases.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the extent any Awards (or portion(s) thereof) under this Plan terminate
or are cancelled for any reason prior to exercise in full, or are surrendered or settled by the Participant, any Shares subject
to such Awards (or portion(s) thereof) shall be added back to the number of Shares reserved for issuance under this Plan and will
again become available for issuance pursuant to the exercise of Awards granted under this Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any Shares issued by the Corporation through the assumption or substitution of outstanding stock
options or other equity-based awards from an acquired company shall not reduce the number of Shares available for issuance pursuant
to the exercise of Awards granted under this Plan.

**3.7** **Award Agreements** 

Each Award under this Plan will be evidenced by an Award Agreement. Each Award Agreement will be subject to the applicable provisions of this Plan and will contain such provisions as are required by this Plan and any other provisions that the Plan Administrator may direct. Any one Officer of the Corporation is authorized and empowered to execute and deliver, for and on behalf of the Corporation, an Award Agreement to a Participant granted an Award pursuant to this Plan.

**3.8** **Non-transferability of Awards** 

Except as permitted by the Plan Administrator and to the extent that certain rights may pass to a beneficiary or legal representative upon death of a Participant, by will or as required by law, no assignment or transfer of Awards, whether voluntary, involuntary, by operation of law or otherwise, vests any interest or right in such Awards whatsoever in any assignee or transferee and immediately upon any assignment or transfer, or any attempt to make the same, such Awards will terminate and be of no further force or effect. To the extent that certain rights to exercise any portion of an outstanding Award pass to a beneficiary or legal representative upon death of a Participant, the period in which such Award can be exercised by such beneficiary or legal representative shall not exceed one year from the Participant's death.

**ARTICLE 4**

**OPTIONS**

**4.1** **Granting of Options** 

The Plan Administrator may, from time to time, subject to the provisions of this Plan and such other terms and conditions as the Plan Administrator may prescribe, grant Options to any Participant. The terms and conditions of each Option grant shall be evidenced by an Award Agreement.

**4.2** **Exercise Price** 

The Plan Administrator will establish the Exercise Price at the time each Option is granted, which Exercise Price must in all cases be not less than the Market Price on the Date of Grant, unless otherwise permitted by the rules of the Exchange and applicable Securities Laws.

**4.3** **Term of Options** 

Subject to any accelerated termination as set forth in this Plan, each Option expires on its Expiry Date.

**4.4** **Vesting and Exercisability** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Plan Administrator shall have the authority to determine the vesting terms
applicable to grants of Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Once an Option becomes vested, it shall remain vested and shall be exercisable until expiration
or termination of the Option, unless otherwise specified by the Plan Administrator, or as may be otherwise set forth in any written
employment agreement, Award Agreement or other written agreement between the Corporation or a subsidiary of the Corporation and
the Participant. Each vested Option may be exercised at any time or from time to time, in whole or in part, for up to the total
number of Option Shares with respect to which it is then exercisable. The Plan Administrator has the right to accelerate the date
upon which any Option becomes exercisable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to the provisions of this Plan and any Award Agreement, Options shall be exercised by means
of a fully completed Exercise Notice delivered to the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Plan Administrator may provide at the time of granting an Option that the
exercise of that Option is subject to restrictions, in addition to those specified in this 4.4, such as
vesting conditions relating to the attainment of specified Performance Goals.

**4.5** **Payment of Exercise Price** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless otherwise specified by the Plan Administrator
at the time of granting an Option and set forth in the particular Award Agreement, the Exercise Notice must be accompanied by
payment of the Exercise Price. The Exercise Price must be fully paid by certified cheque, wire transfer, bank draft or money order
payable to the Corporation or by such other means as might be specified from time to time by the Plan Administrator, which may
include (i) through an arrangement with a broker approved by the Corporation (or through an arrangement directly with the Corporation)
whereby payment of the Exercise Price is accomplished with the proceeds of the sale of Shares deliverable upon the exercise of
the Option, (ii) through the cashless exercise process set out in (b), or (iii) such other consideration
and method of payment for the issuance of Shares to the extent permitted by Securities Laws, or any combination of the foregoing
methods of payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Unless otherwise specified by the Plan Administrator
and set forth in the particular Award Agreement, if permitted by the Plan Administrator, and subject to compliance with the policies
of the Exchange and applicable Securities Laws, if applicable, a Participant may, in lieu of exercising an Option pursuant to
an Exercise Notice, elect to surrender such Option to the Corporation (a "**Cashless Exercise**") in consideration
for an amount from the Corporation equal to (i) the Market Price of the Shares issuable on the exercise of such Option (or portion
thereof) as of the date such Option (or portion thereof) is exercised, less (ii) the aggregate Exercise Price of the Option (or
portion thereof) surrendered relating to such Shares (the "**In-the-Money Amount** "), by written notice to the
Corporation indicating the number of Options such Participant wishes to exercise using the Cashless Exercise, and such other information
that the Corporation may require. Subject to 8.3, the Corporation shall satisfy payment of the In-the-Money
Amount by delivering to the Participant such number of Shares (rounded down to the nearest whole number) having a fair market
value equal to the In-the-Money Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Shares will be issued or transferred until full payment therefor has been
received by the Corporation, or arrangements for such payment have been made to the satisfaction of the Plan Administrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If a Participant surrenders Options through a Cashless Exercise pursuant to
(b), to the extent that such Participant would be entitled to a deduction under paragraph 110(1)(d) of the *Income Tax Act* (Canada) (the "**Tax Act**") in respect of such surrender if the election described in subsection 110(1.1) of the
Tax Act were made and filed (and the other procedures described therein were undertaken) on a timely basis after such surrender,
the Corporation will cause such election to be so made and filed (and such other procedures to be so undertaken).

**ARTICLE 5**

**RESTRICTED SHARE UNITS**

**5.1** **Granting of RSUs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Plan Administrator may, from time to time, subject to the provisions of this Plan and such
other terms and conditions as the Plan Administrator may prescribe, grant RSUs to any Participant in respect of compensation, a
bonus or similar payment in respect of services rendered by the applicable Participant in a taxation year (the "**RSU Service Year** "). The terms and conditions of each RSU grant may be evidenced by an Award Agreement. Each RSU will consist of a
right to receive a Share, cash payment, or a combination thereof (as provided in 5.4(a)), upon the settlement
of such RSU.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The number of RSUs (including fractional RSUs) granted at any particular time pursuant to this
 ARTICLE 5 RESTRICTED SHARE UNITS will be calculated by dividing (i) the amount of any bonus or similar payment
that is to be paid in RSUs, as determined by the Plan Administrator, by (ii) the greater of (A) the Market Price of a Share on
the Date of Grant; and (B) such amount as determined by the Plan Administrator in its sole discretion.

**5.2** **RSU Account** 

All RSUs received by a Participant shall be credited to an account maintained for the Participant on the books of the Corporation, as of the Date of Grant.

**5.3** **Vesting of RSUs** 

The Plan Administrator shall have the authority to determine any vesting terms applicable to the grant of RSUs, provided that, with respect to a U.S. Taxpayer, the terms comply with Section 409A.

**5.4** **Settlement of RSUs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Plan Administrator shall have the sole authority to determine the settlement terms applicable
to the grant of RSUs, provided that with respect to a U.S. Taxpayer the terms comply with Section 409A to the extent it is applicable.
Subject to Section 11.6(d) below and except as otherwise provided in an Award Agreement, on the settlement date for any RSU, the
Participant shall redeem each vested RSU for the following at the election of the Participant but subject to the approval of the
Plan Administrator:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) one fully paid and non-assessable Share issued from treasury to the Participant
or as the Participant may direct,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a cash payment, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a combination of Shares and cash as contemplated by paragraphs (i) and (ii)
above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any cash payments made under this 5.4 by the Corporation to a Participant
in respect of RSUs to be redeemed for cash shall be calculated by multiplying the number of RSUs to be redeemed for cash by the
Market Price per Share as at the settlement date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Payment of cash to Participants on the redemption of vested RSUs may be made
through the Corporation's payroll in the pay period that the settlement date falls within, if applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding any other terms of this Plan but subject
to 11.6(d) below and except as otherwise provided in an Award Agreement, no settlement date for any RSU
shall occur, and no Share shall be issued or cash payment shall be made in respect of any RSU, under this 5.4
any later than the final Business Day of the third calendar year following the applicable RSU Service Year.

**ARTICLE 6**

**PERFORMANCE SHARE UNITS**

**6.1** **Granting of PSUs** 

The Plan Administrator may, from time to time, subject to the provisions of this Plan and such other terms and conditions as the Plan Administrator may prescribe, grant PSUs to any Participant in respect of compensation, a bonus or similar payment in respect of services rendered by the applicable Participant in a taxation year (the "**PSU Service Year**"). The terms and conditions of each PSU grant shall be evidenced by an Award Agreement, provided that with respect to a U.S. Taxpayer the terms comply with Section 409A to the extent it is applicable. Each PSU will consist of a right to receive a Share, cash payment, or a combination thereof (as provided in 6.6(a)), upon the achievement of such Performance Goals during such performance periods as the Plan Administrator shall establish.

**6.2** **Terms of PSUs** 

The Performance Goals to be achieved during any performance period, the length of any performance period, the amount of any PSUs granted, the effect of termination of a Participant's service and the amount of any payment or transfer to be made pursuant to any PSU will be determined by the Plan Administrator and by the other terms and conditions of any PSU, all as set forth in the applicable Award Agreement.

**6.3** **Performance Goals** 

The Plan Administrator will issue Performance Goals prior to or on the Date of Grant to which such Performance Goals pertain. The Performance Goals may be based upon the achievement of corporate, divisional or individual goals, and may be applied to performance relative to an index or comparator group, or on any other basis determined by the Plan Administrator. Following the Date of Grant, the Plan Administrator may modify the Performance Goals as necessary to align them with the Corporation's corporate objectives, subject to any limitations set forth in an Award Agreement or an employment or other agreement with a Participant. The Performance Goals may include a threshold level of performance below which no payment will be made (or no vesting will occur), levels of performance at which specified payments will be made (or specified vesting will occur), and a maximum level of performance above which no additional payment will be made (or at which full vesting will occur), all as set forth in the applicable Award Agreement.

**6.4** **PSU Account** 

All PSUs received by a Participant shall be credited to an account maintained for the Participant on the books of the Corporation, as of the Date of Grant.

**6.5** **Vesting of PSUs** 

The Plan Administrator shall have the authority to determine any vesting terms applicable to the grant of PSUs.

**6.6** **Settlement of PSUs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Plan Administrator shall have the authority to determine the settlement terms applicable to
the grant of PSUs provided that with respect to a U.S. Taxpayer the terms comply with Section 409A to the extent it is applicable.
Subject to 11.6(d) below and except as otherwise provided in an Award Agreement, on the settlement date
for any PSU, the Participant shall redeem each vested PSU for the following at the election of the Participant but subject to the
approval of the Plan Administrator:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) one fully paid and non-assessable Share issued from treasury to the Participant
or as the Participant may direct,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a cash payment, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a combination of Shares and cash as contemplated by paragraphs (i) and (ii)
above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any cash payments made under this 6.6 by the Corporation to a Participant
in respect of PSUs to be redeemed for cash shall be calculated by multiplying the number of PSUs to be redeemed for cash by the
Market Price per Share as at the settlement date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Payment of cash to Participants on the redemption of vested PSUs may be made
through the Corporation's payroll in the pay period that the settlement date falls within, if applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding any other terms of this Plan but subject to 11.6(d) below
and except as otherwise provided in an Award Agreement, no settlement date for any PSU shall occur, and no Share shall be issued
or cash payment shall be made in respect of any PSU, under this 6.6 any later than the final Business Day
of the third calendar year following the applicable PSU Service Year.

**ARTICLE 7**

**DEFERRED SHARE UNITS**

**7.1** **Granting of DSUs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Board may fix from time to time a portion of the
Director Fees that is to be payable in the form of DSUs. In addition, each Electing Person is given, subject to the conditions
stated herein, the right to elect in accordance with (b) to participate in the grant of additional DSUs
pursuant to this ARTICLE 7 DEFERRED SHARE UNITS. An Electing Person who elects to
participate in the grant of additional DSUs pursuant to this Article 7 shall receive their Elected Amount (as that term is defined
below) in the form of DSUs. The "**Elected Amount**" shall be an amount, as elected by the Director, in accordance
with applicable tax law, between 0% and 100% of any Director Fees that would otherwise be paid in cash (the "**Cash Fees** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Electing Person who elects to receive their Elected
Amount in the form of DSUs will be required to file a notice of election in the form of Schedule A hereto (the "**Election Notice**") with the Chief Financial Officer of the Corporation: (i) in the case of an existing Electing Person, by December
31<sup>st</sup> in the year prior to the year to which such election is to apply (other than for Director Fees payable for the
2025 financial year, in which case any Electing Person who is not a U.S. Taxpayer as of the date of this Plan shall file the Election
Notice by the date that is 30 days from the Effective Date with respect to compensation paid for services to be performed after
such date); and (ii) in the case of a newly appointed Electing Person who is not a U.S. Taxpayer, within 30 days of such appointment
with respect to compensation paid for services to be performed after such date. In the case of the first year in which an Electing
Person who is a U.S. Taxpayer first becomes an Electing Person under the Plan (or any plan required to be aggregated with the
Plan under Section 409A), an initial Election Notice may be filed within 30 days of such appointment only with respect to compensation
paid for services to be performed after the end of the 30-day election period. If no election is made within the foregoing time
frames, the Electing Person shall be deemed to have elected to be paid the entire amount of his or her Cash Fees in cash.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to (d), the election of an Electing Person under
(b) shall be deemed to apply to all Cash Fees paid subsequent to the filing of the Election Notice. In the case of an Electing
Person who is a U.S. Taxpayer, his or her election under (b) shall be deemed to apply to all Cash Fees that
are earned after the Election Date. An Electing Person is not required to file another Election Notice for subsequent calendar
years.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Electing Person who is not a U.S. Taxpayer is entitled
once per calendar year to terminate his or her election to receive DSUs by filing with the Chief Financial Officer of the Corporation
a termination notice in the form of Schedule B. Such termination shall be effective immediately upon receipt of such notice, provided
that the Corporation has not imposed a "black-out" on trading. Thereafter, any portion of such Electing Person's
Cash Fees payable or paid in the same calendar year and, subject to complying with (b), all subsequent
calendar years shall be paid in cash. For greater certainty, to the extent an Electing Person terminates his or her participation
in the grant of DSUs pursuant to this ARTICLE 7 DEFERRED SHARE UNITS, he or she
shall not be entitled to elect to receive the Elected Amount, or any other amount of his or her Cash Fees in DSUs again until
the calendar year following the year in which the termination notice is delivered. An election by a U.S. Taxpayer to receive the
Elected Amount in DSUs for any calendar year (or portion thereof) is irrevocable for that calendar year after the expiration of
the election period for that year and any termination of the election will not take effect until the first day of the calendar
year following the calendar year in which the termination notice in the form of Schedule C is delivered.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any DSUs granted pursuant to this ARTICLE 7 DEFERRED SHARE UNITS prior to
the delivery of a termination notice pursuant to (d) shall remain in the Plan following such termination
and will be redeemable only in accordance with the terms of the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The number of DSUs (including fractional DSUs) granted at any particular time pursuant to this
 ARTICLE 7 DEFERRED SHARE UNITS will be calculated by dividing (i) the amount of Director Fees that are to
be paid as DSUs, as determined by the Plan Administrator or Director Fees that are to be paid in DSUs (including any Elected Amount),
by (ii) the Market Price of a Share on the Date of Grant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) In addition to the foregoing, the Plan Administrator may, from time to time,
subject to the provisions of this Plan and such other terms and conditions as the Plan Administrator may prescribe, grant DSUs
to any Participant.

**7.2** **DSU Account** 

All DSUs received by a Participant (which, for greater certainty includes Electing Persons) shall be credited to an account maintained for the Participant on the books of the Corporation, as of the Date of Grant. The terms and conditions of each DSU grant shall be evidenced by an Award Agreement.

**7.3** **Vesting of DSUs** 

Except as otherwise determined by the Plan Administrator or as set forth in the particular Award Agreement, DSUs shall vest immediately upon grant.

**7.4** **Settlement of DSUs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) DSUs shall be settled on the date established in the Award Agreement; provided, however that if
there is no Award Agreement or the Award Agreement does not establish a date for the settlement of the DSUs, then, for a Participant
who is not a U.S. Taxpayer the settlement date shall be the date determined by the Participant (which date shall not be earlier
than the Termination Date), and for a Participant who is a U.S. taxpayer, the settlement date shall be the date determined by the
Participant in accordance with the Election Notice (which date shall not be earlier than the "separation from service"
(within the meaning of Section 409A)). On the settlement date for any DSU, the Participant shall redeem each vested DSU for:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) one fully paid and non-assessable Share issued from treasury to the Participant
or as the Participant may direct; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) at the election of the Participant and subject to the approval of the Plan
Administrator, a cash payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any cash payments made under this 7.4 by the Corporation to a Participant
in respect of DSUs to be redeemed for cash shall be calculated by multiplying the number of DSUs to be redeemed for cash by the
Market Price per Share as at the settlement date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Payment of cash to Participants on the redemption of
vested DSUs may be made through the Corporation's payroll or in such other manner as determined by the Corporation, if applicable.

**7.5** **No Additional Amount or Benefit** 

For greater certainty, neither a Participant to whom DSUs are granted nor any person with whom such Participant does not deal at arm's length (for purposes of the Tax Act) shall be entitled, either immediately or in the future, either absolutely or contingently, to receive or obtain any amount or benefit granted or to be granted for the purpose of reducing the impact, in whole or in part, of any reduction in the Market Price of the Shares to which the DSUs relate.

**ARTICLE 8**

**ADDITIONAL AWARD TERMS**

**8.1** **Dividend Equivalents** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless otherwise determined by the Plan Administrator or as set forth in the particular Award Agreement,
an Award of RSUs, PSUs and DSUs shall include the right for such RSUs, PSUs and DSUs be credited with dividend equivalents in the
form of additional RSUs, PSUs and DSUs, respectively, as of each dividend payment date in respect of which normal cash dividends
are paid on Shares. Such dividend equivalents shall be computed by dividing: (a) the amount obtained by multiplying the amount
of the dividend declared and paid per Share by the number of RSUs, PSUs and DSUs, as applicable, held by the Participant on the
record date for the payment of such dividend, by (b) the Market Price at the close of the first Business Day immediately following
the dividend record date, with fractions computed to three decimal places. Dividend equivalents credited to a Participant's
account shall vest in proportion to the RSUs, PSUs and DSUs to which they relate, and shall be settled in accordance with
5.4, 6.6 and 7.4 respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The foregoing does not obligate the Corporation to declare or pay dividends on Shares and nothing
in this Plan shall be interpreted as creating such an obligation.

**8.2** **Black-out Period** 

In the event that an Award expires at a time when a scheduled blackout is in place or an undisclosed material change or material fact in the affairs of the Corporation exists, the expiry of such Award will be the date that is 10 Business Days after which such scheduled blackout terminates or there is no longer such undisclosed material change or material fact.

**8.3** **Withholding Taxes** 

Notwithstanding any other terms of this Plan, the granting, vesting or settlement of each Award under this Plan is subject to the condition that if at any time the Plan Administrator determines, in its discretion, that the satisfaction of withholding tax or other withholding liabilities is necessary or desirable in respect of such grant, vesting or settlement, such action is not effective unless such withholding has been effected to the satisfaction of the Plan Administrator. In such circumstances, the Plan Administrator may require that a Participant pay to the Corporation the minimum amount as the Corporation or a subsidiary of the Corporation is obliged to withhold or remit to the relevant taxing authority in respect of the granting, vesting or settlement of the Award. Any such additional payment is due no later than the date on which such amount with respect to the Award is required to be remitted to the relevant tax authority by the Corporation or a subsidiary of the Corporation, as the case may be. Alternatively, and subject to any requirements or limitations under applicable law, the Corporation or any Affiliate may (a) withhold such amount from any remuneration or other amount payable by the Corporation or any Affiliate to the Participant, (b) require the sale, on behalf of the applicable Participant, of a number of Shares issued upon exercise, vesting, or settlement of such Award and the remittance to the Corporation of the net proceeds from such sale sufficient to satisfy such amount, or (c) enter into any other suitable arrangements for the receipt of such amount.

**8.4** **Recoupment** 

Notwithstanding any other terms of this Plan, Awards may be subject to potential cancellation, recoupment, rescission, payback or other action in accordance with the terms of any clawback, recoupment or similar policy adopted by the Corporation or the relevant subsidiary of the Corporation, or as set out in the Participant's employment agreement, Award Agreement or other written agreement, or as otherwise required by law or the rules of the Exchange, if applicable. The Plan Administrator may at any time waive the application of this Section 8.4 to any Participant or category of Participants.

**ARTICLE 9**

**TERMINATION OF EMPLOYMENT OR SERVICES**

**9.1** **Termination of Employee, Consultant or Director** 

Subject to Section 9.2, unless otherwise determined by the Plan Administrator or as set forth in an employment agreement, Award Agreement or other written agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) where a Participant's employment, consulting agreement or arrangement is terminated or the
Participant ceases to hold office or his or her position, as applicable, by reason of voluntary resignation by the Participant
or termination by the Corporation or a subsidiary of the Corporation for Cause, then any Option or other Award held by the Participant
that has not been exercised, surrendered or settled as of the Termination Date shall be immediately forfeited and cancelled as
of the Termination Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) where a Participant's employment, consulting agreement
or arrangement is terminated by the Corporation or a subsidiary of the Corporation without Cause (whether such termination occurs
with or without any or adequate reasonable notice, or with or without any or adequate compensation in lieu of such reasonable
notice) then any unvested Options or other Awards shall be immediately forfeited and cancelled as of the Termination Date. Any
vested Options may be exercised by the Participant at any time during the period that terminates on the earlier of: (A) the Expiry
Date of such Option; and (B) the date that is 90 days after the Termination Date. If an Option remains unexercised upon the earlier
of (A) or (B), the Option shall be immediately forfeited and cancelled for no consideration upon the termination of such period.
In the case of a vested Award other than an Option, such Award will be settled within 90 days after the Termination Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) where a Participant's employment, consulting agreement
or arrangement terminates on account of his or her becoming Disabled, then any Award held by the Participant that has not vested
as of the date of the Participant's Termination Date shall be immediately forfeited and cancelled as of the Termination
Date. Any vested Option may be exercised by the Participant at any time until the Expiry Date of such Option. Any vested Award
other than an Option will be settled within 90 days after the Termination Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) where a Participant's employment, consulting agreement
or arrangement is terminated by reason of the death of the Participant, then any Award that is held by the Participant that has
not vested as of the date of the death of such Participant shall immediately forfeited and cancelled as of the Termination Date.
Any vested Option may be exercised by the Participant's beneficiary or legal representative (as applicable) at any time
during the period that terminates on the earlier of: (A) the Expiry Date of such Option; and (B) the first anniversary of the
date of the death of such Participant. If an Option remains unexercised upon the earlier of (A) or (B), the Option shall be immediately
forfeited and cancelled for no consideration upon the termination of such period. In the case of a vested Award other than an
Option, such Award will be settled with the Participant's beneficiary or legal representative (as applicable) within 90
days after the date of the Participant's death;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) where a Participant's employment, consulting agreement or arrangement is terminated due to
the Participant's Retirement, then (i) any outstanding Award that vests or becomes exercisable based solely on the Participant
remaining in the service of the Corporation or its subsidiary will become 100% vested, and (ii) any outstanding Award that vests
based on the achievement of Performance Goals and that has not previously become vested shall continue to be eligible to vest based
upon the actual achievement of such Performance Goals. Any vested Option may be exercised by the Participant at any time during
the period that terminates on the earlier of: (A) the Expiry Date of such Option; and (B) the third anniversary of the Participant's
date of Retirement. If an Option remains unexercised upon the earlier of (A) or (B), the Option shall be immediately forfeited
and cancelled for no consideration upon the termination of such period. In the case of a vested Award other than an Option that
is described in (i), such Award will be settled within 90 days after the Participant's Retirement. In the case of a vested
Award other than an Option that is described in (ii), such Award will be settled at the same time the Award would otherwise have
been settled had the Participant remained in active service with the Corporation or its subsidiary.

Notwithstanding the foregoing, if, following his or her Retirement, the Participant commences (the "**Commencement Date**") employment, consulting or acting as a director of the Corporation or any of its subsidiaries (or in an analogous capacity) or otherwise as a service provider to any Person that carries on or proposes to carry on a business competitive with the Corporation or any of its subsidiaries, any Option or other Award held by the Participant that has not been exercised or settled as of the Commencement Date shall be immediately forfeited and cancelled as of the Commencement Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) a Participant's eligibility to receive further grants of Options or other
Awards under this Plan ceases as of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the date that the Corporation or a subsidiary of the
Corporation, as the case may be, provides the Participant with written notification that the Participant's employment, consulting
agreement or arrangement is terminated, notwithstanding that such date may be prior to the Termination Date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the date of the death, Disability or Retirement of the Participant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) notwithstanding (b), unless the Plan Administrator, in its discretion, otherwise
determines, at any time and from time to time, but with due regard for Section 409A, Options or other Awards are not affected by
a change of employment or consulting agreement or arrangement, or directorship within or among the Corporation or a subsidiary
of the Corporation for so long as the Participant continues to be a Director, Officer, Employee or Consultant, as applicable, of
the Corporation or a subsidiary of the Corporation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) notwithstanding any other provision of this 9.1, in the case of an Award
(other than an Option) granted to a U.S. Taxpayer that is vested or that immediately vests (in whole or in part) as a result of
a Participant's termination of service, then such Award will, subject to 11.6(d), be settled as soon
as administratively practicable following the Participant's termination of service, but in no event later than 90 days following
the Participant's termination of service. In the case of an Award (other than an Option) granted
to a U.S. Taxpayer that remains eligible to vest (in whole or in part) following a Participant's termination of service based
upon the achievement of one or more Performance Goals, such Award will be settled at the originally scheduled settlement date for
such Award.

**9.2** **Discretion to Permit Acceleration** 

Notwithstanding the provisions of 9.1, the Plan Administrator may, in its discretion, at any time prior to, or following the events contemplated in such Section, or in an employment agreement, Award Agreement or other written agreement between the Corporation or a subsidiary of the Corporation and the Participant, permit the acceleration of vesting of any or all Awards or waive termination of any or all Awards, all in the manner and on the terms as may be authorized by the Plan Administrator.

**ARTICLE 10**

**EVENTS AFFECTING THE CORPORATION**

**10.1** **General** 

The existence of any Awards does not affect in any way the right or power of the Corporation or its shareholders to make, authorize or determine any adjustment, recapitalization, reorganization or any other change in the Corporation's capital structure or its business, or any amalgamation, combination, arrangement, merger or consolidation involving the Corporation, to create or issue any bonds, debentures, Shares or other securities of the Corporation or to determine the rights and conditions attaching thereto, to effect the dissolution or liquidation of the Corporation or any sale or transfer of all or any part of its assets or business, or to effect any other corporate act or proceeding, whether of a similar character or otherwise, whether or not any such action referred to in this ARTICLE 10 would have an adverse effect on this Plan or on any Award granted hereunder.

**10.2** **Change in Control** 

Except as may be set forth in an employment agreement, Award Agreement or other written agreement between the Corporation or a subsidiary of the Corporation and the Participant and subject to this 10.2, but notwithstanding anything else in this Plan or any Award Agreement, the Plan Administrator may, without the consent of any Participant, take such steps as it deems necessary or desirable, including to cause (i) the conversion or exchange of any outstanding Awards into or for, rights or other securities of substantially equivalent value, as determined by the Plan Administrator in its discretion, in any entity participating in or resulting from a Change in Control; (ii) outstanding Awards to vest and become exercisable, realizable, or payable, or restrictions applicable to an Award to lapse, in whole or in part prior to or upon consummation of such merger or Change in Control, and, to the extent the Plan Administrator determines, terminate upon or immediately prior to the effectiveness of such merger or Change in Control; (iii) the termination of an Award in exchange for an amount of cash and/or property, if any, equal to the amount that would have been attained upon the exercise or settlement of such Award or realization of the Participant's rights as of the date of the occurrence of the transaction (and, for the avoidance of doubt, if as of the date of the occurrence of the transaction the Plan Administrator determines in good faith that no amount would have been attained upon the exercise or settlement of such Award or realization of the Participant's rights, then such Award may be terminated by the Corporation without payment); (iv) the replacement of such Award with other rights or property selected by the Board in its sole discretion where such replacement would not adversely affect the holder; or (v) any combination of the foregoing. In taking any of the actions permitted under this 10.2, the Plan Administrator will not be required to treat all Awards similarly in the transaction. Notwithstanding the foregoing, in the case of Options held by a Canadian Taxpayer, the Plan Administrator may not cause the Canadian Taxpayer to receive (pursuant to this 10.2) any property in connection with a Change in Control other than rights to acquire shares of a corporation or units of a "mutual fund trust" (as defined in the Tax Act), of the Corporation or a "qualifying person" (as defined in the Tax Act) that does not deal at arm's length (for purposes of the Tax Act) with the Corporation, as applicable, at the time such rights are issued or granted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding 10.2 and unless otherwise determined by the Plan Administrator,
if, as a result of a Change in Control, the Shares will cease trading on an Exchange, then the Corporation may terminate all of
the Awards, other than an Option held by a Canadian Taxpayer for the purposes of the Tax Act, granted under this Plan at the time
of and subject to the completion of the Change in Control transaction by paying to each holder at or within a reasonable period
of time following completion of such Change in Control transaction an amount for each Award equal to the fair market value of the
Award held by such Participant as determined by the Plan Administrator, acting reasonably, provided that any vested Awards granted
to U.S. Taxpayers will be settled within 90 days of the Change in Control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) It is intended that any actions taken under this 10.2 will comply with the
requirements of Section 409A of the Code with respect to Awards granted to U.S. Taxpayers.

**10.3** **Reorganization of Corporation's Capital** 

Should the Corporation effect a subdivision or consolidation of Shares or any similar capital reorganization or a payment of a stock dividend (other than a stock dividend that is in lieu of a cash dividend), or should any other change be made in the capitalization of the Corporation that does not constitute a Change in Control and that would warrant the amendment or replacement of any existing Awards in order to adjust the number of Shares that may be acquired on the vesting of outstanding Awards and/or the terms of any Award in order to preserve proportionately the rights and obligations of the Participants holding such Awards, the Plan Administrator will, subject to the prior approval of the Exchange, if applicable, and in compliance with applicable Securities Laws, authorize such steps to be taken as it may consider to be equitable and appropriate to that end.

**10.4** **Other Events Affecting the Corporation** 

In the event of an amalgamation, combination, arrangement, merger or other transaction or reorganization involving the Corporation and occurring by exchange of Shares, by sale or lease of assets or otherwise, that does not constitute a Change in Control and that warrants the amendment or replacement of any existing Awards in order to adjust the number and/or type of Shares that may be acquired, or by reference to which such Awards may be settled, on the vesting of outstanding Awards and/or the terms of any Award in order to preserve proportionately the rights and obligations of the Participants holding such Awards, the Plan Administrator will, subject to the prior approval of the Exchange and compliance with applicable Securities Laws, if applicable, authorize such steps to be taken as it may consider to be equitable and appropriate to that end.

**10.5** **Immediate Acceleration of Awards** 

In taking any of the steps provided in 10.3 and 10.4, the Plan Administrator will not be required to treat all Awards similarly and where the Plan Administrator determines that the steps provided in 10.3 and 10.4 would not preserve proportionately the rights, value and obligations of the Participants holding such Awards in the circumstances or otherwise determines that it is appropriate, the Plan Administrator may, but is not required to, permit the immediate vesting of any unvested Awards.

**10.6** **Issue by Corporation of Additional Shares** 

Except as expressly provided in this ARTICLE 10, neither the issue by the Corporation of shares of any class or securities convertible into or exchangeable for shares of any class, nor the conversion or exchange of such shares or securities, affects, and no adjustment by reason thereof is to be made with respect to the number of Shares that may be acquired as a result of a grant of Awards.

**10.7** **Fractions** 

No fractional Shares will be issued pursuant to an Award. Accordingly, if, as a result of any adjustment under this ARTICLE 10 or a dividend equivalent, a Participant would become entitled to a fractional Share, the Participant has the right to acquire only the adjusted number of full Shares and no payment or other adjustment will be made with respect to the fractional Shares, which shall be disregarded.

**ARTICLE 11**

**U.S. TAXPAYERS**

**11.1** **Provisions for U.S. Taxpayers** 

Options granted under this Plan to U.S. Taxpayers may be non-qualified stock options or incentive stock options qualifying under Section 422 of the Code ("**ISOs**"). Each Option shall be designated in the Award Agreement as either an ISO or a non-qualified stock option. If an Award Agreement fails to designate an Option as either an ISO or non-qualified stock option, the Option will be a non-qualified stock option. The Corporation shall not be liable to any Participant or to any other Person if it is determined that an Option intended to be an ISO does not qualify as an ISO. Non-qualified stock options will be granted to a U.S. Taxpayer only if (i) such U.S. Taxpayer performs services for the Corporation or any corporation or other entity in which the Corporation has a direct or indirect controlling interest or otherwise has a significant ownership interest, as determined under Section 409A, such that the Option will constitute an option to acquire "service recipient stock" within the meaning of Section 409A, or (ii) such option otherwise is exempt from Section 409A.

**11.2** **ISOs** 

The terms and conditions of any ISOs granted to a U.S. Taxpayer on the Date of Grant hereunder, including the eligible recipients of ISOs, shall be subject to the provisions of Section 422 of the Code, and the terms, conditions, limitations and administrative procedures established by the Plan Administrator from time to time in accordance with this Plan. At the discretion of the Plan Administrator, ISOs may only be granted to an individual who is an employee of the Corporation, or of a "parent corporation" or "subsidiary corporation" of the Corporation, as such terms are defined in Sections 424(e) and (f) of the Code.

**11.3** **ISO Grants to 10% Shareholders** 

Notwithstanding anything to the contrary in this Plan, if an ISO is granted to a person who owns shares representing more than 10% of the voting power of all classes of shares of the Corporation or of a "parent corporation" or "subsidiary corporation", as such terms are defined in Section 424(e) and (f) of the Code, on the Date of Grant, the term of the Option shall not exceed five years from the time of grant of such Option and the Exercise Price shall be at least 110% of the Market Price of the Shares subject to the Option.

**11.4** **$100,000 Per Year Limitation for ISOs** 

To the extent the aggregate Market Price as at the Date of Grant of the Shares for which ISOs are exercisable for the first time by any person during any calendar year (under all plans of the Corporation and any "parent corporation" or "subsidiary corporation", as such terms are defined in Section 424(e) and (f) of the Code) exceeds US$100,000, such excess ISOs shall be treated as non-qualified stock options.

**11.5** **Disqualifying Dispositions** 

Each person awarded an ISO under this Plan shall notify the Corporation in writing immediately after the date he or she makes a disposition or transfer of any Shares acquired pursuant to the exercise of such ISO if such disposition or transfer is made (a) within two years from the Date of Grant or (b) within one year after the date such person acquired the Shares. Such notice shall specify the date of such disposition or other transfer and the amount realized, in cash, other property, assumption of indebtedness or other consideration, by the person in such disposition or other transfer. The Corporation may, if determined by the Plan Administrator and in accordance with procedures established by it, retain possession of any Shares acquired pursuant to the exercise of an ISO as agent for the applicable person until the end of the later of the periods described in (a) or (b) above, subject to complying with any instructions from such person as to the sale of such Shares.

**11.6** **Section 409A of the Code** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Plan will be construed and interpreted to be exempt
from, or where not so exempt, to comply with Section 409A of the Code to the extent required to preserve the intended tax consequences
of this Plan. Any reference in this Plan to Section 409A of the Code shall also include any regulation promulgated thereunder
or any other formal guidance issued by the Internal Revenue Service with respect to Section 409A of the Code. Each Award shall
be construed and administered such that the Award either (A) qualifies for an exemption from the requirements of Section 409A
of the Code or (B) satisfies the requirements of Section 409A of the Code. If an Award is subject to Section 409A of the Code,
(I) distributions shall only be made in a manner and upon an event permitted under section 409A of the Code, (II) payments to
be made upon a termination of employment or service shall only be made upon a "separation from service" under Section
409A of the Code, (Ill) unless the Award specifies otherwise, each installment payment shall be treated as a separate payment
for purposes of Section 409A of the Code, and (IV) in no event shall a Participant, directly or indirectly, designate the calendar
year in which a distribution is made except in accordance with Section 409A of the Code. To the extent that an Award or payment,
or the settlement or deferral thereof, is subject to Section 409A of the Code, the Award will be granted, paid, settled or deferred
in a manner that will meet the requirements of Section 409A of the Code, such that the grant, payment, settlement or deferral
will not be subject to the additional tax or interest applicable under Section 409A of the Code. The Corporation reserves the
right to amend this Plan to the extent it reasonably determines is necessary in order to preserve the intended tax consequences
of this Plan in light of Section 409A of the Code. In no event will the Corporation or any of its subsidiaries or Affiliates be
liable for any tax, interest or penalties that may be imposed on a Participant under Section 409A of the Code or any damages for
failing to comply with Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All terms of the Plan that are undefined or ambiguous must be interpreted in
a manner that complies with Section 409A of the Code if necessary to comply with Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Plan Administrator, in its sole discretion, may permit the acceleration of the time or schedule
of payment of a U.S. Taxpayer's vested Awards in the Plan under circumstances that constitute permissible acceleration events
under Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding any provisions of the Plan to the contrary,
in the case of any "specified employee" within the meaning of Section 409A of the Code who is a U.S. Taxpayer, distributions
of non-qualified deferred compensation under Section 409A of the Code made in connection with a "separation from service"
within the meaning set forth in Section 409A of the Code may not be made prior to the date which is six months after the date
of separation from service (or, if earlier, the date of death of the U.S. Taxpayer). Any amounts subject to a delay in payment
pursuant to the preceding sentence shall be paid as soon practicable following such six-month anniversary of such separation from
service.

**11.7** **Section 83(b) Election** 

If a Participant makes an election pursuant to Section 83(b) of the Code with respect to an Award of Shares subject to vesting or other forfeiture conditions, the Participant shall be required to promptly file a copy of such election with the Corporation.

**11.8** **Application of Article 11 to U.S. Taxpayers** 

For greater certainty, the provisions of this ARTICLE 11 shall only apply to U.S. Taxpayers.

**ARTICLE 12**

**AMENDMENT, SUSPENSION OR TERMINATION OF THE PLAN**

**12.1** **Amendment, Suspension, or Termination of the Plan** 

The Plan Administrator may from time to time, without notice and without approval of the holders of voting shares of the Corporation, amend, modify, change, suspend or terminate the Plan or any Awards granted pursuant to the Plan as it, in its discretion determines appropriate, provided, however, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) no such amendment, modification, change, suspension or termination of the Plan or any Awards granted
hereunder may materially impair any rights of a Participant or materially increase any obligations of a Participant under the Plan
without the consent of the Participant, unless the Plan Administrator determines such adjustment is required or desirable in order
to comply with any applicable Securities Laws or Exchange requirements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any amendment that would cause an Award held by a U.S. Taxpayer to be subject to income inclusion
under Section 409A of the Code shall be null and void ab initio with respect to the U.S. Taxpayer unless the consent of the U.S.
Taxpayer is obtained.

**12.2** **Shareholder Approval** 

Notwithstanding 12.1 and subject to any rules of the Exchange, if applicable, approval of the holders of Shares shall be required for any amendment, modification or change that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) increases the percentage of Shares reserved for issuance under the Plan, except pursuant to the
provisions under Article 10 which permit the Plan Administrator to make equitable adjustments in the event of transactions affecting
the Corporation or its capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) reduces the exercise price of an Option Award except pursuant to the provisions in the Plan which
permit the Plan Administrator to make equitable adjustments in the event of transactions affecting the Corporation or its capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) extends the term of an Option Award beyond the original Expiry Date (except where an Expiry Date
would have fallen within a blackout period applicable to the Participant or within 10 Business Days following the expiry of such
a blackout period);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) permits an Option Award to be exercisable beyond 10 years from its Date of Grant (except where
an Expiry Date would have fallen within a blackout period of the Corporation);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) changes the eligible participants of the Plan; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) deletes or reduces the range of amendments which require approval of shareholders
under this 12.2.

**12.3** **Permitted Amendments** 

Without limiting the generality of 12.1, but subject to 12.2, the Plan Administrator may, without shareholder approval, at any time or from time to time, amend the Plan for the purposes of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) making any amendments to the general vesting provisions of each Award;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) making any amendments to the provisions set out in ARTICLE 9;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) making any amendments to add covenants of the Corporation for the protection of Participants, as
the case may be, provided that the Plan Administrator shall be of the good faith opinion that such additions will not be prejudicial
to the rights or interests of the Participants, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) making any amendments not inconsistent with the Plan as may be necessary or desirable with respect
to matters or questions which, in the good faith opinion of the Plan Administrator, having in mind the best interests of the Participants,
it may be expedient to make, including amendments that are desirable as a result of changes in law in any jurisdiction where a
Participant resides, provided that the Plan Administrator shall be of the opinion that such amendments and modifications will not
be prejudicial to the interests of the Participants and Directors; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) making such changes or corrections which, on the advice of counsel to the Corporation,
are required for the purpose of curing or correcting any ambiguity or defect or inconsistent provision or clerical omission or
mistake or manifest error, provided that the Plan Administrator shall be of the opinion that such changes or corrections will not
be prejudicial to the rights and interests of the Participants.

**ARTICLE 13**

**MISCELLANEOUS**

**13.1** **Legal Requirement** 

The Corporation is not obligated to grant any Awards, issue any Shares or other securities, make any payments or take any other action if, in the opinion of the Plan Administrator, in its sole discretion, such action would constitute a violation by a Participant or the Corporation of any provision of any applicable statutory or regulatory enactment of any government or government agency or the requirements of any Exchange upon which the Shares may then be listed, if applicable.

**13.2** **No Other Benefit** 

No amount will be paid to, or in respect of, a Participant under the Plan to compensate for a downward fluctuation in the price of a Share, nor will any other form of benefit be conferred upon, or in respect of, a Participant for such purpose.

**13.3** **Rights of Participant** 

No Participant has any claim or right to be granted an Award and the granting of any Award is not to be construed as giving a Participant a right to remain as an Employee, Consultant, Officer or Director. No Participant has any rights as a shareholder of the Corporation in respect of Shares issuable pursuant to any Award until the allotment and issuance to such Participant, or as such Participant may direct, of certificates representing such Shares.

**13.4** **Corporate Action** 

Nothing contained in this Plan or in an Award shall be construed so as to prevent the Corporation from taking corporate action which is deemed by the Corporation to be appropriate or in its best interest, whether or not such action would have an adverse effect on this Plan or any Award.

**13.5** **Conflict** 

In the event of any conflict between the provisions of this Plan and an Award Agreement, the provisions of the Award Agreement shall govern. In the event of any conflict between or among the provisions of this Plan or any Award Agreement, on the one hand, and a Participant's employment agreement with the Corporation or a subsidiary of the Corporation, as the case may be, on the other hand, the provisions of the employment agreement or other written agreement shall prevail.

**13.6** **Anti-Hedging Policy** 

By accepting an Award each Participant acknowledges that he or she is restricted from purchasing financial instruments such as prepaid variable forward contracts, equity swaps, collars, or units of exchange funds that are designed to hedge or offset a decrease in market value of Awards.

**13.7** **Participant Information** 

Each Participant shall provide the Corporation with all information (including personal information) required by the Corporation in order to administer the Plan. Each Participant acknowledges that information required by the Corporation in order to administer the Plan may be disclosed to any custodian appointed in respect of the Plan and other third parties, and may be disclosed to such persons (including persons located in jurisdictions other than the Participant's jurisdiction of residence), in connection with the administration of the Plan. Each Participant consents to such disclosure and authorizes the Corporation to make such disclosure on the Participant's behalf.

**13.8** **Participation in the Plan** 

The participation of any Participant in the Plan is entirely voluntary and not obligatory and shall not be interpreted as conferring upon such Participant any rights or privileges other than those rights and privileges expressly provided in the Plan. In particular, participation in the Plan does not constitute a condition of employment or engagement nor a commitment on the part of the Corporation to ensure the continued employment or engagement of such Participant. The Plan does not provide any guarantee against any loss which may result from fluctuations in the market value of the Shares. The Corporation does not assume responsibility for the income or other tax consequences for the Participants and Directors and they are advised to consult with their own tax advisors.

**13.9** **International Participants** 

With respect to Participants who reside or work outside Canada and the United States, the Plan Administrator may, in its sole discretion, amend, or otherwise modify, without shareholder approval, the terms of the Plan or Awards with respect to such Participants in order to conform such terms with the provisions of local law, and the Plan Administrator may, where appropriate, establish one or more sub-plans to reflect such amended or otherwise modified provisions.

**13.10** **Successors and Assigns** 

The Plan shall be binding on all successors and assigns of the Corporation and its subsidiaries.

**13.11** **General Restrictions or Assignment** 

Except as required by law, the rights of a Participant under the Plan are not capable of being assigned, transferred, alienated, sold, encumbered, pledged, mortgaged or charged and are not capable of being subject to attachment or legal process for the payment of any debts or obligations of the Participant unless otherwise approved by the Plan Administrator.

**13.12** **Severability** 

The invalidity or unenforceability of any provision of the Plan shall not affect the validity or enforceability of any other provision and any invalid or unenforceable provision shall be severed from the Plan.

**13.13** **Notices** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All written notices to be given by a Participant to the
Corporation shall be delivered personally, e-mail or mail, postage prepaid, addressed as noted on the Corporation's SEDAR+
profile: Attention: Chief Financial Officer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All notices to a Participant will be addressed to the
principal address of the Participant on file with the Corporation. Either the Corporation or the Participant may designate a different
address by written notice to the other. Such notices are deemed to be received, if delivered personally or by e-mail, on the date
of delivery, and if sent by mail, on the fifth Business Day following the date of mailing. Any notice given by either the Participant
or the Corporation is not binding on the recipient thereof until received.

**13.14** **Effective Date** 

This Plan becomes effective on a date to be determined by the Plan Administrator, subject to the approval of the shareholders of the Corporation.

**13.15** **Governing Law** 

This Plan and all matters to which reference is made herein shall be governed by and interpreted in accordance with the laws of the Province of British Columbia and the federal laws of Canada applicable therein, without any reference to conflicts of law rules.

**13.16** **Submission to Jurisdiction** 

The Corporation and each Participant irrevocably submits to the exclusive jurisdiction of the courts of competent jurisdiction in the Province of British Columbia in respect of any action or proceeding relating in any way to the Plan, including, without limitation, with respect to the grant of Awards and any issuance of Shares made in accordance with the Plan.

**SCHEDULE A**

**BITZERO HOLDINGS INC.**

**OMNIBUS EQUITY INCENTIVE PLAN (THE "PLAN")**

**ELECTION NOTICE**

All capitalized terms used herein but not otherwise defined shall have the meanings ascribed to them in the Plan.

Pursuant to the Plan, I hereby elect to participate in the grant of DSUs pursuant to Article 7 of the Plan and to receive [insert amount]% of my Cash Fees in the form of DSUs.

If I am a U.S. Taxpayer, I hereby further elect for any DSUs subject to this Election Notice to be settled on the later of (i) my "separation from service" (within the meaning of Section 409A) or (ii) <u>_____</u> .

I confirm that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) I have received and reviewed a copy of the terms of the Plan and agreed to
be bound by them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) I recognize that when DSUs credited pursuant to this election are redeemed
in accordance with the terms of the Plan, income tax and other withholdings as required will arise at that time. Upon redemption
of the DSUs, the Corporation will make all appropriate withholdings as required by law at that time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The value of DSUs is based on the value of the Shares of the Corporation and
therefore is not guaranteed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To the extent I am a U.S. taxpayer, I understand that this election is irrevocable for the calendar
year to which it applies and that any revocation or termination of this election after the expiration of the election period will
not take effect until the first day of the calendar year following the year in which I file the revocation or termination notice
with the Corporation.

The foregoing is only a brief outline of certain key provisions of the Plan. For more complete information, reference should be made to the Plan's text.

---

| | |
|:---|:---|
| Date: | |
|  | (Signature of Participant) |
|  | (Name of Participant) |

---

**SCHEDULE B**

**BITZERO HOLDINGS INC.**

**OMNIBUS EQUITY INCENTIVE PLAN (THE "PLAN")**

**ELECTION TO TERMINATE RECEIPT OF ADDITIONAL DSUs**

All capitalized terms used herein but not otherwise defined shall have the meanings ascribed to them in the Plan.

Notwithstanding my previous election in the form of Schedule A to the Plan, I hereby elect that no portion of the Cash Fees accrued after the date hereof shall be paid in DSUs in accordance with Article 7 of the Plan.

I understand that the DSUs already granted under the Plan cannot be redeemed except in accordance with the Plan.

I confirm that I have received and reviewed a copy of the terms of the Plan and agree to be bound by them.

---

| | |
|:---|:---|
| Date: | |
|  | (Signature of Participant) |
|  | (Name of Participant) |

---

---

| | |
|:---|:---|
| **Note:** | An election to terminate receipt of additional DSUs can only be made by a Participant once in a calendar year. |

---

**SCHEDULE C**

**BITZERO HOLDINGS INC.**

**OMNIBUS EQUITY INCENTIVE PLAN (THE "PLAN")**

**ELECTION TO TERMINATE RECEIPT OF ADDITIONAL DSUs**

**(U.S. TAXPAYERS)**

All capitalized terms used herein but not otherwise defined shall have the meanings ascribed to them in the Plan.

Notwithstanding my previous election in the form of Schedule A to the Plan, I hereby elect that no portion of the Cash Fees accrued after the effective date of this termination notice shall be paid in DSUs in accordance with Article 5 of the Plan.

I understand that this election to terminate receipt of additional DSUs will not take effect until the first day of the calendar year following the year in which I file this termination notice with the Corporation.

I understand that the DSUs already granted under the Plan cannot be redeemed except in accordance with the Plan.

I confirm that I have received and reviewed a copy of the terms of the Plan and agree to be bound by them.

---

| | |
|:---|:---|
| Date: | |
|  | (Signature of Participant) |
|  | (Name of Participant) |

---

---

| | |
|:---|:---|
| **Note:** | An election to terminate receipt of additional DSUs can only be made by a Participant once in a calendar year. |

---

**Schedule "G"**

*Audit Committee Charter*

**AUDIT COMMITTEE CHARTER**

This charter (the "**Charter**") sets forth the purpose, composition, responsibilities and authority of the Audit Committee (the "**Committee**") of the Board of Directors (the "**Board**") of Bitzero Blockchain Inc. ("**Bitzero**" or the "**Corporation**")**.**

**1.** **Mandate** 

The Committee shall assist the Board in its oversight role with respect to the quality and integrity of the Corporation's financial statements, financial reporting processes, and systems of internal controls and disclosure controls regarding risk management, finance, accounting and legal and regulatory compliance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) assess the effectiveness of the Corporation's risk management and compliance practices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) assess the independent auditor's performance, qualifications and independence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) assess the performance of the Corporation's via
internal or external audit function; review the periodic audits performed by the independent auditor (the "**Auditor** "),
and the Corporation's internal accounting department;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) review the Corporation's financial statements, management discussion and analysis and annual
and interim earnings press release before the Corporation publicly discloses such information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) ensure the Corporation's compliance with legal and regulatory requirements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) prepare all filings and disclosure documents required to be prepared by the Committee and/or the
Board pursuant to all applicable federal, provincial and state securities legislation and the rules and regulations of all securities
commissions having jurisdiction over the Corporation.

Despite the foregoing, it is not the duty of the Committee to plan or conduct audits, or to determine that the Corporation's financial statements are complete and accurate or in accordance with International Financial Reporting Standards ("**IFRS**") or United States Generally Accepted Accounting Principles ("**US GAAP**"), accounting standards or applicable laws and regulations. This is the responsibility of the Corporation's management, internal accounting department and independent auditors. The primary function of the Committee is oversight, and it is therefore entitled to rely on the expertise, skills and knowledge of the Corporation's management, internal accounting department, independent auditors and other external advisors and the integrity and accuracy in information provided by such persons or entities. Nothing in this Charter is intended to change or in any way limit the responsibilities and duties of the Corporation's management, internal accounting department, or independent auditors.

**2.** **Composition and Membership** 

The Committee shall be composed of not less than three members, each of whom shall be a director of the Corporation (each a "**Member**" and together the "**Members**"). At least two Members shall not be an officer or employee of the Corporation and shall satisfy the applicable independence and experience requirements of the laws governing the Corporation, the applicable stock exchanges on which the Corporation's securities are listed and applicable securities regulatory authorities.

Each Member shall be financially literate as such qualification is interpreted by the Board in its business judgment.

Members shall be appointed or reappointed at the annual meeting of the Corporation **and, in the normal course of business, will serve a minimum of three years**. Each Member shall continue to be a Member until a successor is appointed, unless the Member resigns, is removed, ceases to be a director or ceases to meet the requirements established by any applicable securities' regulatory authority, including but not limited to the OSC and the SEC. The Board may fill a vacancy that occurs in the Committee at any time.

At the annual meeting of the Corporation, the Board or, in the event of its failure to do so, the Members, shall appoint or reappoint a Member to act as the chair of the Committee (the "**Chair**"). The Chair shall not be a former Officer of the Corporation. Such Chair shall serve as a liaison between Members and senior management.

The time and place of meetings of the Committee and the procedure at such meetings shall be determined from time to time by the Chair provided that:

(a) a quorum for meetings shall be a majority of the Members, present in person
or by telephone or via video conferencing or other telecommunication device that permits all persons participating in the meeting
to speak or hear each other;

(b) the Committee shall meet at least quarterly;

(c) notice of the time and place of every meeting shall be given in writing, email
or other electronic communication to each Member at least 24 hours in advance of such meeting, unless all Members are present and
waive notice, or if those absent waive notice before a meeting;

(d) the Committee shall direct management to maintain minutes or other records
of meetings and activities of the Committee and shall ensure minutes are kept in sufficient detail to convey the substance of all
discussions held. Upon approval of the minutes by the Committee, the minutes shall be circulated to members of the Board;

(e) The Auditor shall receive notice of the meeting in the same manner as provided
in subsection 2(c) and shall be entitled to attend and be heard at each Committee meeting. In addition, the Committee may invite
to a meeting any officers or employees of the Corporation, legal counsel, advisors and other persons whose attendance it considers
necessary or desirable in order to carry out its responsibilities; and

(f) The Committee may act by unanimous written consent in lieu of a meeting.

The Committee shall report to the Board on its activities after each of its meetings. The Committee shall review and assess the adequacy of this Charter annually and, where necessary, recommend changes to the Board for its approval. The Committee shall undertake and review with the Board an annual performance evaluation of the Committee, which shall assess the performance of the Committee against the requirements of this Charter. The performance evaluation by the Committee shall be conducted in such manner as the Committee deems appropriate. The report to the Board of Directors may take the form of an oral report by the Chair or any other designated Member.

**3.** **Duties and Responsibilities** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.1** **Oversight of the Independent Auditor** 

The Committee shall :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) have the sole authority to recommend to the Board for its approval, the appointment or replacement
of the Auditor and its compensation (subject to shareholder ratification) and responsibility for the oversight of the work of the
Auditor (including resolution of disagreements between corporation management ()"**Management**") and the Auditor (the
regarding financial reporting) for the purpose of preparing or issuing an audit report or related work). The Auditor shall report
directly to the Committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) have the sole authority to pre-approve all audit services as well as non-audit services (including
the fees, terms and conditions for the performance of such services) to be performed by the independent auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) evaluate the qualifications, performance and independence of the Auditor including (i) reviewing
and evaluating the lead partner on the Auditor's engagement with the Corporation, and (ii) considering whether the Auditor's
quality controls are adequate, and the provision of permitted non-audit services is compatible with maintaining the auditor's
independence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) obtain and review a report from the Auditor at least annually regarding: the Auditor's internal
quality-control procedures; any material issues raised by the most recent internal quality-control review, or peer review, of the
firm, or by any inquiry or investigation by governmental or professional authorities within the preceding five years respecting
one or more independent audits carried out by the firm; any steps taken to address any such issues; and all relationships between
the Auditor and the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) review and discuss with Management and the Auditor prior to the annual audit the scope, planning
and staffing of the annual audit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) ensure the rotation of the lead (or coordinating) audit partner having primary responsibility for
the audit and the audit partner responsible for reviewing the audit as required by law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) review as necessary policies for the Corporation's hiring of partners, employees or former
partners and employees of the Auditor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.2** **Financial Reporting** 

The Committee shall :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) review and discuss with Management and the Auditor the annual audited financial statements prior
to the publication of earnings. Provide recommendation to the Board for final approval.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) review and discuss with Management the Corporation's annual and quarterly disclosures made
in Management's Discussion and Analysis. The Committee shall approve Annual Information Form, as required by applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) review and discuss with Management and the Auditor the Management's report
on its assessment of internal controls over financial reporting and the Auditor's attestation report on Management's
assessment, if required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) review and discuss with Management the Corporation's quarterly financial
statements prior to the publication of earnings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) review and discuss with Management and the Auditor at least annually significant
financial reporting issues and judgments made in connection with the preparation of the Corporation's financial statements,
including any significant changes in the Corporation's selection or application of accounting principles, any major issues
as to the adequacy of the Corporation's internal controls and any special steps adopted in light of material control deficiencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) review and discuss with Management and the Auditor at least annually reports
from the independent auditors on: critical accounting policies and practices to be used; significant financial reporting issues,
estimates and judgments made in connection with the preparation of the financial statements; alternative treatments of financial
information within IFRS or generally accepted accounting principles that have been discussed with Management, ramifications of
the use of such alternative disclosures and treatments, and the treatment preferred by the independent auditor; and other material
written communications between the Auditor and Management, such as any management letter or schedule of unadjusted differences.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) discuss with the Auditor at least annually any "management" or "internal
control" letters issued or proposed to be issued by the Auditor to the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) review and discuss with Management and the Auditor at least annually any significant
changes to the Corporation's accounting principles and practices suggested by the independent auditor, internal audit personnel
or Management.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) discuss with Management the Corporation's earnings press releases, including
the use of *"pro forma"* or "adjusted" non-GAAP information, as well as financial information and earnings
and revenue guidance (if any) provided to analysts and rating agencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) review and discuss with Management and the Auditor at least annually the effect
of regulatory and accounting initiatives as well as off-balance sheet structures on the Corporation's financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) review and discuss with the Chief Executive Officer and the Chief Financial
Officer at least annually the procedures undertaken in connection with the Chief Executive Officer and Chief Financial Officer
certifications for the annual filings with applicable securities regulatory authorities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) review disclosures made by the Corporation's Chief Executive Officer and Chief Financial
Officer during their certification process for the annual filing with applicable securities regulatory authorities about any significant
deficiencies in the design or operation of internal controls which could adversely affect the Corporation's ability to record,
process, summarize and report financial data or any material weaknesses in the internal controls, and any fraud involving Management
or other employees who have a significant role in the Corporation's internal controls.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) discuss with the Corporation's corporate secretary at least annually any legal matters that
may have a material impact on the financial statements, operations, assets or compliance policies and any material reports or inquiries
received by the Corporation or any of its subsidiaries from regulators or governmental agencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.3** **Oversight of Risk Management** 

The Committee shall :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) review and approve Management's risk philosophy and risk management policies annually.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) review with Management, at least annually, reports demonstrating compliance with risk management
policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) review with Management the quality and competence of Management appointed to
administer risk management policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) review reports from the Auditor at least annually relating to the adequacy of the Corporation's
risk management practices together with Management's responses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) discuss with Management at least annually the Corporation's major financial risk exposures
and the steps Management has taken to monitor and control such exposures, including the Corporation's risk assessment and
risk management policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.4** **Oversight of Regulatory Compliance** 

The Committee shall :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) establish procedures for the receipt, retention and treatment
of complaints received by the Corporation regarding accounting, internal accounting controls or auditing matters, and the confidential,
anonymous submission by employees of concerns regarding questionable accounting or auditing matters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) discuss with Management and the Auditor at least annually any correspondence with regulators or
governmental agencies and any published reports which raise material issues regarding the Corporation's financial statements
or accounting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) meet with the Corporation's regulators, according to applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) exercise such other powers and perform such other duties and responsibilities as are incidental
to the purposes, duties and responsibilities specified herein and as may from time to time be delegated to the Committee by the
Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) oversee all matters related to the Corporation's financing activities, including the review
of financial strategies, capital structure, liquidity management, and compliance with applicable regulatory requirements. Funding
for the Auditor and Retention of Other Independent Advisors

**4.** **Auditor's Compensation** 

The Corporation shall provide for appropriate funding, as determined by the Committee, for payment of compensation to the Auditor for the purpose of issuing an audit report and to any advisors retained by the Committee. The Committee shall also have the authority to retain and, at Bitzeros' expense, to set and pay the compensation for such other independent counsel and other advisors as it may from time to time deem necessary or advisable for its purposes. The Committee also has the authority to communicate directly with internal and external auditors.

**5.** **Procedures for Receipt of Complaints and Submissions Relating to Accounting Matters** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Corporation has adopted a whistleblower policy (the "**Whistleblower Policy** "),
copies of which shall be made available to directors, officers, employees, consultants and contractors of the Corporation, either
directly or by posting to the Bitzero website at <u>www.bitzero.com</u>. The Corporation shall inform employees on the Corporation's intranet, if there
is one, or via e-mail that is disseminated to all employees at least annually, about the Whistleblower Policy. Pursuant to the
Whistleblower Policy, any person with a complaint or concern regarding a financial matter (or other matter relating to the Corporation)
may submit anonymous complaints or concerns by contacting the Chair of the Compensation and Corporate Governance Committee by confidential
communication using any of the following options:

Email: governance@bitzero.com

Postal Bitzero Blockchain Inc.

address: <br> Attention: Chair of Compensation and Corporate Governance Committee (CONFIDENTIAL) 1000 Cathedral Place, 925 West Georgia Street, Vancouver (BC), V6C 3L2

These reporting channels are accessible 24 hours a day, 7 days a week.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Committee will ensure the Whistleblower Policy provides review procedures for: (a) the receipt,
retention and resolution of complaints received by the listed issuer regarding accounting, internal accounting controls, or auditing
matters; and (b) The confidential, anonymous submission by employees of concerns regarding questionable accounting or auditing
matters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon receipt of a report from the Whistleblower reporting mechanism, the Committee shall discuss
the report and take such steps as the Committee may deem appropriate. Any reports so received will be kept confidential and the
identity of employees making complaints or submissions shall only be communicated to the Committee or the Chair.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Such reports or submissions shall be reported to the Committee as frequently as the Committee deems
appropriate, but in any event no less frequently than on a quarterly basis prior to the quarterly meetings of the Committee called
to approve interim and annual financial statements of the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Committee will inform the Board of the filed complaints or concerns at regularly scheduled
meetings (unless they are unfounded or unless the materiality of the complaint requires earlier action).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Chair, or corporate secretary, shall retain a record of complaint or submission received for
a period of six years following resolution of the complaint or submission.

**6.** **Procedures for Approval of Non-Audit Services** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.1** The Corporation's external auditors shall be prohibited from performing for the Corporation
the following categories of non-audit services:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) bookkeeping or other services related to the Corporation's accounting
records or financial statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) financial information systems design and implementation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) appraisal or valuation services, fairness opinion or contributions-in-kind reports;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) actuarial services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) internal audit outsourcing services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) management functions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) human resources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) broker or dealer, investment adviser or investment banking services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) legal services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) expert services unrelated to the audit; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) any other service that the Canadian Public Accountability Board determines
is impermissible.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2** In the event that the Corporation wishes to retain the services of the Corporation's external
auditors for tax compliance, tax advice or tax planning, the Chief Financial Officer of the Corporation shall consult with the
Chair, who shall have the authority to approve or disapprove on behalf of the Committee, such non-audit services. All other non-audit
services shall be approved or disapproved by the Committee as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3** The Chief Financial Officer of the Corporation shall maintain a record of non-audit services approved
by the Chair for each fiscal year and provide a report to the Committee no less frequently than on a quarterly basis.

**7.** **Reporting** 

The Chair will report to the Board at each Board meeting on the Committee's activities since the last Board meeting. The Committee will annually review and approve the Committee's report for inclusion in the Annual Information Form. The corporate secretary will circulate the minutes of each meeting of the Committee to the members of the Board.

**8.** **Access to Information and Authority** 

The Committee will be granted unrestricted access to all information regarding Bitzero that is necessary or desirable to fulfill its duties and all directors, officers and employees will be directed to cooperate as requested by Members.

**9.** **Review of Charter** 

The Committee will annually review and assess the adequacy of this Charter and recommend any proposed changes to the Board for consideration.

Dated: November 19, 2025

Approved by: Board of Directors

**Schedule "H"**

*Shareholder Rights Plan*

**SHAREHOLDER RIGHTS PLAN AGREEMENT**

**Dated as of November 19, 2025**

**Between**

**BITZERO HOLDINGS INC.**

**and**

**ODYSSEY TRUST COMPANY**

**As Rights Agent**

ii

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
| **ARTICLE 1 INTERPRETATION** | **ARTICLE 1 INTERPRETATION** | **5** |
| 1.1 | Definitions | 5 |
| 1.2 | Currency | 18 |
| 1.3 | Headings | 18 |
| 1.4 | Calculation of Number and Percentage of Beneficial Ownership of Common Shares | 18 |
| 1.5 | Acting Jointly or in Concert | 18 |
| 1.6 | International Financial Reporting Standards | 18 |
| **ARTICLE 2 THE RIGHTS** | **ARTICLE 2 THE RIGHTS** | **19** |
| 2.1 | Issue of Rights and Legend on Common Share Certificates | 19 |
| 2.2 | Initial Exercise Price, Exercise of Rights and Detachment of Rights | 19 |
| 2.3 | Adjustments to Exercise Price; Number of Rights | 22 |
| 2.4 | Date on Which Exercise is Effective | 27 |
| 2.5 | Execution, Authentication, Delivery and Dating of Right Certificates | 27 |
| 2.6 | Registration, Transfer and Exchange | 27 |
| 2.7 | Mutilated, Destroyed, Lost and Stolen Rights Certificates | 28 |
| 2.8 | Persons Deemed Owners of Rights | 29 |
| 2.9 | Delivery and Cancellation of Certificates | 29 |
| 2.10 | Agreement of Rights Holders | 29 |
| 2.11 | Rights Certificate Holder Not Deemed a Shareholder | 30 |
| **ARTICLE 3 ADJUSTMENTS TO THE RIGHTS ON FLIP-IN EVENT** | **ARTICLE 3 ADJUSTMENTS TO THE RIGHTS ON FLIP-IN EVENT** | **30** |
| 3.1 | Flip-in Event | 30 |
| **ARTICLE 4 THE RIGHTS AGENT** | **ARTICLE 4 THE RIGHTS AGENT** | **32** |
| 4.1 | General | 32 |
| 4.2 | Merger or Amalgamation or Change of Name of Rights Agent | 33 |
| 4.3 | Duties of Rights Agent | 33 |
| 4.4 | Change of Rights Agent | 35 |
| 4.5 | Compliance with Anti-Money Laundering Legislation | 36 |
| 4.6 | Privacy Provision | 36 |
| 4.7 | Liability | 36 |
| **ARTICLE 5 MISCELLANEOUS** | **ARTICLE 5 MISCELLANEOUS** | **36** |
| 5.1 | Redemption and Waiver | 36 |
| 5.2 | Expiration | 38 |
| 5.3 | Issuance of New Rights Certificates | 38 |

---

iii

5.4 Supplements
 and Amendments 38

5.5 Fractional
 Rights and Fractional Common Shares 40

5.6 Rights
 of Action 40

5.7 Regulatory
 Approvals 41

5.8 Declaration
 as to Non-U.S. or Non-Canadian Holders 41

5.9 Notices 41

5.10 Costs
 of Enforcement 42

5.11 Successors 42

5.12 Benefits
 of this Agreement 42

5.13 Governing
 Law 42

5.14 Severability 42

5.15 Effective
 Date 43

5.16 Reconfirmation 43

5.17 Determinations
 and Actions by the Board of Directors 43

5.18 Rights
 of Board of Directors and the Corporation 43

5.19 Time
 of the Essence 43

5.20 Force
 Majeure 43

5.21 Execution
 in Counterparts 44

**<u>SHAREHOLDER RIGHTS PLAN AGREEMENT</u>**

This **SHAREHOLDER RIGHTS PLAN AGREEMENT** (the "**Agreement**") is dated as of October [●], 2025 (the "**Effective Date**").

**BETWEEN:**

**BITZERO HOLDINGS INC.,** a corporation incorporated under the laws of British Columbia

(the "**Corporation**")

**AND:**

**ODYSSEY TRUST COMPANY**, a company incorporated under the laws of Alberta

(the "**Rights Agent**")

**WHEREAS:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A. The
 Board of Directors (as defined herein), in the exercise of its fiduciary duties, has
 determined that it is advisable and in the best interests of the Corporation to adopt
 a shareholder rights plan to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) ensure,
 to the extent possible, that all Shareholders (as defined herein) of the Corporation
 and the Board of Directors have adequate time to consider and evaluate any unsolicited
 Take-over Bid (as defined herein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) provide
 the Board of Directors with adequate time to identify, solicit, develop and negotiate
 value-enhancing alternatives, as considered appropriate, to any unsolicited Take-over
 Bid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) encourage
 the fair treatment of Shareholders in connection with any unsolicited Take-over Bid;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) generally
 assist the Board of Directors in enhancing shareholder value;

B. To
 implement the Agreement, the Board of Directors has authorized and declared the issuance
 of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) one
 Right (as defined herein) effective at the Record Time (as defined herein) in respect
 of each Common Share (as defined herein) outstanding at the Record Time; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) one
 Right in respect of each Common Share issued after the Record Time and prior to the earlier
 of the Separation Time (as defined herein) and the Expiration Time (as defined herein);

C. Each
 Right entitles the Holder (as defined herein) thereof, after the Separation Time, to
 purchase securities of the Corporation pursuant to the terms and subject to the conditions
 set forth herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D. The
 Corporation wishes to appoint the Rights Agent to act on behalf of the Corporation and
 the Holders of Rights, and the Rights Agent agrees to act on behalf of the Corporation
 and the Holders of Rights in connection with the issuance, transfer, exchange and replacement
 of Rights Certificates (as defined herein), the exercise of Rights and other matters
 referred to herein; and

E. This
 Agreement is subject to approval by the Shareholders of the Corporation at the annual
 and special meeting of Shareholders of the Corporation to be held on February 24, 2025.

**NOW THEREFORE**, in consideration of the premises and the respective covenants and agreements set forth herein, and subject to such covenants and agreements, the parties hereby agree as follows:

**ARTICLE 1<br> <u>INTERPRETATION</u>**

1.1 Definitions

For purposes of this Agreement, the following terms have the meanings indicated:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **"Acquiring Person"** means any Person who is or becomes the Beneficial Owner of 20% or more
 of the outstanding Voting Shares, provided, however, that the term "Acquiring Person"
 shall not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Corporation or any Subsidiary or Affiliate of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any
 Person who becomes the Beneficial Owner of 20% or more of the outstanding Voting Shares
 as a result of one or any combination of a Share Reduction, a Permitted Bid Acquisition,
 an Exempt Acquisition or a Pro Rata Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) provided,
 however, that if a Person becomes the Beneficial Owner of 20% or more of the outstanding
 Common Shares by reason of one or any combination of the operation of a Share Reduction,
 a Permitted Bid Acquisition, an Exempt Acquisition or a Pro Rata Acquisition above and
 such Person's Beneficial Ownership of Common Shares thereafter increases by more
 than 1% of the number of Common Shares outstanding (other than pursuant to one or any
 combination of a Share Reduction, a Permitted Bid Acquisition, an Exempt Acquisition
 or a Pro Rata Acquisition), then as of the date such Person becomes the Beneficial Owner
 of such additional Common Shares, such Person shall become an "**Acquiring Person** ";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) for
 a period of ten (10) days after the Disqualification Date (as defined herein), any Person
 who becomes the Beneficial Owner of 20% or more of the outstanding Common Shares as a
 result of such Person becoming disqualified from relying on Section 1.1(f)(v) solely
 because such Person or the Beneficial Owner of such Common Shares is making or has announced
 a current intention to make a Take-over Bid, either alone or by acting jointly or in
 concert with any other Person. For the purposes of this definition, "**Disqualification Date**" means the first date of public announcement that any Person is making
 or has announced an intention to make a Take-over Bid, either alone, through such Person's
 Affiliates or Associates or by acting jointly or in concert with any other Person (which,
 for the purposes of this definition, shall include, without limitation a report asserting
 such facts filed pursuant to NI 62-103, NI 62-104, Section 13(d) of the 1934 Exchange
 Act or any other applicable securities laws, as amended from time to time and any provision
 substituted therefor);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) A
 Person (a "**Grandfathered Person**") who is the Beneficial owner of 20%
 or more of the outstanding Voting Shares determined as at the Record Time, provided however,
 that this exception shall not be, and shall cease to be, applicable to a Grandfathered
 Person in the event that such Grandfathered Person shall, after the Record Time: (1)
 cease to own 20% or more of the outstanding Voting Shares, or (2) become the Beneficial
 owner of any additional Voting Shares that increases its Beneficial ownership of Voting
 Shares by more than 1% of the number of Voting Shares outstanding as at the Record Time,
 other than through an acquisition pursuant to which a Person becomes a Beneficial owner
 of additional Voting Shares by reason of one or any combination of the operation of Paragraphs
 1.1(a)(ii)(A), (B), (C), (D) or (E); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) an
 underwriter or member of a banking or selling group that becomes the Beneficial Owner
 of 20% or more of the Common Shares in connection with a distribution of securities of
 the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **"Affiliate"** when used to indicate a relationship with a specified entity means a Person that
 directly, or indirectly through one or more controlled intermediaries, controls, or is
 controlled by, or is under common control with, such specified entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **"Agreement"** has the meaning ascribed thereto in the recitals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **"annual cash dividend"** means cash dividends paid by the Corporation in any fiscal year
 of the Corporation to the extent that such cash dividends do not exceed, in the aggregate,
 the greatest of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) 200%
 of the aggregate amount of cash dividends declared payable by the Corporation (including
 any predecessor thereto) on the Common Shares (or applicable equity securities of any
 applicable predecessor entity) in its immediately preceding fiscal year;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) 300%
 of the arithmetic mean of the aggregate amounts of the annual cash dividends declared
 payable by the Corporation (including any predecessor thereto) on the Common Shares (or
 applicable equity securities of any applicable predecessor entity) in its three immediately
 preceding fiscal years; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) 150%
 of the aggregate consolidated net income of the Corporation (including any predecessor
 thereto), before extraordinary items, for its immediately preceding fiscal year;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **"Associate"** means, when used to indicate a relationship with a specified Person, a spouse of
 that Person if that spouse is living in the same home as that Person, any Person of the
 same or opposite sex with whom that Person is living in a conjugal relationship outside
 marriage, a relative of that Person if that relative is living in the same home as that
 Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) A
 Person shall be deemed the "**Beneficial Owner**" of and to have "**Beneficial Ownership**" of, and to "**Beneficially Own** ",

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any
 securities as to which such Person or any of such Person's Affiliates or Associates
 is the owner at law or in equity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any
 securities as to which such Person or any of such Person's Affiliates or Associates
 has the right to acquire (A) upon the exercise of any Convertible Securities, or (B)
 pursuant to any agreement, arrangement or understanding, whether or not in writing, in
 either case where such right is exercisable within a period of 60 days and whether or
 not on condition or the happening of any contingency (other than (1) customary agreements
 with and between underwriters and banking group or selling group members with respect
 to a distribution to the public or pursuant to a private placement of securities, or
 (2) pursuant to a pledge of securities in the ordinary course of business); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any
 securities which are Beneficially Owned within the meaning of Sections 1.1(f)(i) and
 (ii) by any other Person with whom such Person, or any of such Person's Affiliates
 or Associates, is acting jointly or in concert;

provided, however, that a Person shall not be deemed the "Beneficial Owner" of, or to have "Beneficial Ownership" of, or to "Beneficially Own", any security:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) where
 such security has been agreed to be deposited or tendered pursuant to a Lock-up Agreement
 or is otherwise deposited to any Take-over Bid made by such Person, made by any of such
 Person's Affiliates or Associates or made by any other Person acting jointly or
 in concert with such Person, until such deposited or tendered security has been taken
 up or paid for, whichever shall first occur;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) where
 such Person, any of such Person's Affiliates or Associates or any other Person
 acting jointly or in concert with such Person holds such security provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 ordinary business of any such Person (the "**Investment Manager**") includes
 the management of investment funds for others (which others, for greater certainty, may
 include or be limited to one or more employee benefit plans or pension plans) and such
 security is held by the Investment Manager in the ordinary course of such business in
 the performance of such Investment Manager's duties for the account of any other
 Person (a "**Client**") including non-discretionary accounts held on behalf
 of a Client by a broker or dealer appropriately registered under applicable laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) such
 Person (the "**Trust Company**") is licensed to carry on the business
 of a trust company under applicable laws and, as such, acts as trustee or administrator
 or in a similar capacity in relation to the estates of deceased or incompetent Persons
 (each an "**Estate Account**") or in relation to other accounts (each
 an "**Other Account**") and holds such security in the ordinary course
 of such duties for such Estate Account or for such Other Accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) such
 Person is established by statute for purposes that include, and the ordinary business
 or activity of such Person (the "**Statutory Body**") includes, the management
 of investment funds for employee benefit plans, pension plans, insurance plans (other
 than plans administered by insurance companies) or various public bodies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) such
 Person (the "**Administrator**") is the administrator or trustee of one
 or more pension funds or plans (a "**Plan** "), or is a Plan, registered
 or qualified under the laws of the United States of America or any state thereof or the
 laws of Canada or any province or territory thereof and holds such security for the purposes
 of its activity as such; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) such
 Person (the "**Crown Agent**") is a Crown agent or agency,

provided, in any of the above cases, that the Investment Manager, the Trust Company, the Statutory Body, the Administrator, the Plan or the Crown Agent, as the case may be, is not then making a Take-over Bid, or has not then announced a current intention to make a Take-over Bid, alone or acting jointly or in concert with any other Person, other than an Offer to Acquire Common Shares or other securities (x) pursuant to a distribution by the Corporation, or (y) by means of ordinary market transactions (including prearranged trades entered into in the ordinary course of business of such Person) executed through the facilities of a stock exchange, securities quotation system or organized over-the-counter market;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) where
 such Person or any of such Person's Affiliates or Associates or any other Person
 acting jointly or in concert with such Person is (A) a Client of the same Investment
 Manager as another Person for whose account the Investment Manager holds such security,
 (B) an Estate Account or an Other Account of the same Trust Company as another Person
 on whose account the Trust Company holds such security, or (C) a Plan with the same Administrator
 as another Plan on whose account the Administrator holds such security;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) where
 such Person is (A) a Client of an Investment Manager and such security is owned at law
 or in equity by the Investment Manager, (B) an Estate Account or an Other Account of
 a Trust Company and such security is owned at law or in equity by the Trust Company,
 or (C) a Plan and such security is owned at law or in equity by the Administrator; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) where
 such Person is a registered holder of such security as a result of carrying on the business
 of, or acting as a nominee of, a securities depository;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) **"Board of Directors"** means the board of directors of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) **"Business Day"** means any day other than a Saturday, Sunday or a day on which banking
 institutions in Vancouver, British Columbia, are authorized or obligated by law to close
 or any other day that is treated as a holiday at the Corporation's principal executive
 office in Vancouver, British Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "**BCBCA** "
 means the *Business Corporations Act* (British Columbia);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) **"Canadian-U.S. Exchange Rate"** means, on any date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if
 on such date the Federal Reserve System of the United States sets a daily rate of exchange
 for the conversion of Canadian dollars into United States dollars, such rate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in
 any other case, the rate for such date for the conversion of Canadian dollars into United
 States dollars calculated in such manner as may be determined by the Board of Directors
 from time to time acting in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) **"CDS"** means CDS Clearing and Depository Services Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) **"close of business"** on any given date means the time on such date (or, if such date
 is not a Business Day, the time on the next succeeding Business Day) at which the principal
 transfer office in Vancouver, British Columbia, of the transfer agent for the Voting
 Shares (or, after the Separation Time, the principal transfer office in Vancouver, British
 Columbia of the Rights Agent) becomes closed to the public;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) **"Common Shares"** means the common shares in the capital of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) **"Competing Permitted Bid"** means a Take-over Bid that is made by means of a Take-over Bid
 circular and which also complies with the following additional provisions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) is
 made after a Permitted Bid or another Competing Permitted Bid has been made and prior
 to the expiry, termination or withdrawal of that Permitted Bid or Competing Permitted
 Bid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) satisfies
 all components of the definition of a Permitted Bid provided that it is not required
 to satisfy the requirement set out in Section 1.1(nn)(ii)(A) thereof; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) contains,
 and the take-up and payment for securities tendered or deposited thereunder are subject
 to, an irrevocable and unqualified condition that no securities shall be taken up or
 paid for pursuant to the Take-over Bid prior to 11:59 p.m. on the last day of the minimum
 initial deposit period and the mandatory ten (10) day extension period that such Take-over
 Bid must remain open for deposits of securities thereunder pursuant to NI 62-104 after
 the date of the Take-over Bid constituting the Competing Permitted Bid,

provided, however, that a Take-over Bid that qualified as a Competing Permitted Bid shall cease to be a Competing Permitted Bid as soon as such Take-over Bid ceases to meet any or all of the provisions of this definition, and any acquisition of securities made pursuant to such Takeover Bid that qualified as a Competing Permitted Bid, including any acquisition of securities made before such Take-over Bid ceased to be a Competing Permitted Bid, will not be a Permitted Bid Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) **"Constating Documents"** means the notice of articles and the articles of incorporation of
 the Corporation, as such may be amended from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) **"controlled"** a Person is "**controlled**" by another Person or two or more other
 Persons acting jointly or in concert if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in
 the case of a body corporate, securities entitled to vote in the election of directors
 of such body corporate carrying more than 50% of the votes for the election of directors
 are held, directly or indirectly, by or for the benefit of the other Person or Persons
 and the votes carried by such securities are entitled, if exercised, to elect a majority
 of the board of directors of such body corporate; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in
 the case of a Person which is not a body corporate, more than 50% of the voting or equity
 interests of such entity are held, directly or indirectly, by or for the benefit of the
 other Person or Persons:

and "**controls**", "**controlling**" and "**under common control with**" shall be interpreted accordingly;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) **"Convertible Securities"** means any securities issued by the Corporation (including rights,
 warrants, convertible notes and options but excluding the Rights) carrying any purchase,
 exercise, conversion or exchange rights, pursuant to which the holder thereof may acquire
 Voting Shares or other securities convertible into or exercisable or exchangeable for
 Voting Shares (in each case, whether such right is exercisable immediately or after a
 specified period and whether or not on conditions or the happening of any contingency
 or the making of any payment);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) **"Corporation"** has the meaning ascribed thereto in the recitals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) **"Co-Rights Agents"** has the meaning ascribed thereto in Section 4.1(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) **"Directors"** means the directors of the Corporation elected or appointed from time to time, or
 any duly constituted and empowered committee thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) **"Disposition Date"** has the meaning ascribed thereto in Section 5.1(h);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) **"Dividend Reinvestment Acquisition"** means an acquisition of Voting Shares pursuant to
 a Dividend Reinvestment Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) **"Dividend Reinvestment Plan"** means a regular dividend reinvestment or other plan of the
 Corporation made available by the Corporation to Shareholders where such plan permits
 the holder to direct that some or all of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) dividends
 of the Corporation on the Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) proceeds
 of redemption of Common Shares of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) interest
 paid on evidences of indebtedness of the Corporation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) optional
 cash payments;

be applied to the purchase of Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) **"Effective Date"** shall have the meaning ascribed thereto in the recitals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) **"Election to Exercise"** has the meaning ascribed thereto in Section 2.2(d)(ii);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) **"Exempt Acquisition"** means a Voting Share acquisition in respect of which the Directors
 have waived the application of Section 3.1 pursuant to the provisions of Section 5.1(a)
 or 5.1(h);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) "**Exercise Price**" means, as of any date, the price at which a Holder may purchase the
 securities issuable upon exercise of one whole Right which, until adjustment thereof
 in accordance with the terms hereof, shall be three times the Market Price, from time
 to time, per Common Share;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) **"Expansion Factor"** has the meaning ascribed thereto in Section 2.3(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) **"Expiration Time"** means the close of business on the date which is the earlier of (i) the
 date of termination of this Agreement pursuant to Section 5.16, and (ii) if this Agreement
 is reconfirmed pursuant to Section 5.16, the date of termination of the applicable annual
 meeting at which this Agreement is not reconfirmed in accordance with Section 5.16;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) **"Flip-in Event"** means a transaction or other event in or pursuant to which any Person
 becomes an Acquiring Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) **"Holder"** of any Rights, unless the context requires otherwise, shall mean the registered holder
 of such Rights (or, prior to the Separation Time, of the associated Common Shares);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) **"Independent Shareholders"** means Shareholders, other than:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any
 Acquiring Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any
 Offeror (other than any Person who, by virtue of Section 1.1(f)(v), is not deemed to
 Beneficially Own the Common Shares held by such Person), but excluding such Person if
 the Take-over Bid so announced or made has terminated or has expired at least six months
 before the applicable date on which the status of independence is determined;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any
 Affiliate or Associate of any Acquiring Person or Offeror;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any
 Person acting jointly or in concert with any Acquiring Person or Offeror; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any
 employee benefit plan, share option plan, deferred profit sharing plan, securities participation
 plan and any other similar plan or trust for the benefit of employees of the Corporation
 or a Subsidiary unless the beneficiaries of the plan or trust direct the manner in which
 the Common Shares are to be voted or withheld from voting or direct whether the Common
 Shares are to be tendered to a Take-over Bid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) **"Lock-Up Agreement"** means an agreement between a Person and one or more Shareholder
 (each a "**Locked-up Person**") the terms of which are publicly disclosed
 and a copy of which is made available to the public (including the Corporation) not later
 than (i) the date the Lock-up Bid (as defined below) is publicly announced or (ii) if
 the Lock-up Bid has been made prior to the date on which such agreement is entered into,
 forthwith and in any event not later than the date following the date of such agreement,
 pursuant to which each Locked-up Person agrees to deposit or tender Common Shares to
 a Take-over Bid (the "**Lock-up Bid**") to be made or made by such Person
 or any of such Person's Affiliates or Associates or any other Person referred to
 in clause (iii) of the definition of Beneficial Owner and which agreement provides:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) that
 any agreement to deposit or tender to, or to not withdraw Common Shares and/or other
 securities agreed to be deposited or tendered from, the Lock-up Bid is terminable at
 the option of the Locked-up Person in order to permit the Locked-up Person to tender
 or deposit such Shares and/or other securities agreed to be deposited or tendered to
 another Take-over Bid or support another transaction:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) where
 the price or value per Common Share (and/or other security) offered under such other
 Take-over Bid or transaction is higher than the price or value per Common Share (and/or
 other security) offered under the Lock-up Bid; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) the
 price or value per Common Share (and/or other security) offered under the other Take-over
 Bid or transaction exceeds the price or value per Common Share (and/or other security)
 offered or proposed to be offered under the Lock-up Bid by an amount that is equal to
 or greater than the lesser of (x) any amount specified in the agreement and (y) 7%; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(II) the
 number of Common Shares (and/or other securities) to be purchased under the other Take-over
 Bid or transaction exceeds the number of Common Shares (and/or other securities) offered
 to be purchased under the Lock- up Bid by an amount that is equal to or greater than
 the lesser of (x) any amount specified in the agreement and (y) 7%, as at a price or
 value per Common Share (and/or other security), as applicable, that is not less than
 the price or value per Common Share (and/or other security) offered under the Lock-up
 Bid;

and, for greater certainty, the agreement may contain a right of first refusal or require a period of delay to give such Person an opportunity to at least match a higher price or value in another Take-over Bid or transaction or other similar limitation on a Locked-up Person's right to withdraw Common Shares (and/or other securities) from the agreement, so long as the limitation does not preclude the exercise by the Locked-up Person of the right to withdraw Common Shares (and/or other securities) during the period of the other Take-over Bid or transaction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) no
 "break-up" fees, "top-up" fees, penalties, expenses or other
 amounts that exceed in the aggregate the greater of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 cash equivalent of 2.5% of the price or value payable under the Lock-up Bid to a Locked-up
 Person; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) 50%
 of the amount by which the price or value payable under another Take-over Bid or transaction
 to a Locked-up Person exceeds the price or value of the consideration that such Locked-up
 Person would have received under the Lock-up Bid;

shall be payable by a Locked-up Person pursuant to the agreement in the event a Locked-up Person fails to deposit or tender Common Shares (and/or other securities) to the Lock-up Bid or withdraw Common Shares (and/or other securities) previously tendered thereto in order to tender to another Take-over Bid or support another transaction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) **"Market Price"** per security of any securities on any date of determination means the
 average of the daily closing prices per security of the securities (determined as described
 below) on each of the 20 consecutive Trading Days through and including the Trading Day
 immediately preceding such date; provided, however, that if an event of a type analogous
 to any of the events described in Section 2.3 hereof shall have caused the closing prices
 used to determine the Market Price on any Trading Days not to be fully comparable with
 the closing price on the date of determination or, if the date of determination is not
 a Trading Day, on the immediately preceding Trading Day, each closing price so used shall
 be appropriately adjusted in a manner analogous to the applicable adjustment provided
 for in Section 2.3 hereof in order to make it fully comparable with the closing price
 on the date of determination or if the date of determination is not a Trading Day, on
 the immediately preceding Trading Day. The closing price per security of any securities
 on any date shall be:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 closing board lot sale price or, in case no such sale takes place on such date, the average
 of the closing bid and ask prices for such security as reported by the principal United
 States stock exchange (as determined by the Directors in good faith) on which the securities
 are listed or admitted to trading;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if
 for any reason none of such prices are available on such day or the securities are not
 listed or posted for trading on a United States stock exchange, the last sale price or,
 in case no such sale takes place on such date, the average of the closing bid and ask
 prices for each of such securities as reported by the principal Canadian stock exchange
 (as determined by volume of trading) on which such securities are listed or admitted
 to trading;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) if
 for any reason none of such prices are available on such day or the securities are not
 listed or admitted to trading on a United States stock exchange or a Canadian stock exchange,
 the last sale price or, in case no sale takes place on such date, the average of the
 high bid and low ask prices for each such securities in the over-the-counter market,
 as quoted by any recognized reporting system then in use; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) if
 for any reason none of such prices is available on such day or the securities are not
 listed or admitted to trading on a United States stock exchange or a Canadian stock exchange
 or quoted by any such reporting system, the average of the closing bid and ask prices
 as furnished by a recognized professional market maker making a market in the securities
 selected by the Directors in good faith;

provided, however, that if for any reason none of such prices is available on such day, the closing price per security of the securities on such date means the fair value per security of the securities on such date as determined by a recognized investment dealer or investment banker selected by the Directors in good faith. The Market Price shall be expressed in United States dollars and, if initially determined in respect of any day forming part of the 20 consecutive Trading Day period in question in Canadian dollars, such amount shall be translated into United States dollars on such date at the United States Dollar Equivalent thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **"NI 62-103**" means National Instrument 62-103 – *The Early Warning System and Related Take-Over Bid and Insider Reporting Issues* adopted by the Canadian securities
 regulatory authorities and any comparable or successor laws, instruments or rules thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) **"NI 62-104"** shall mean National Instrument 62-104 – *Take-Over Bids and Issuer Bids*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) **"Nominee"** has the meaning ascribed thereto in Section 2.2(c);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ll) **"Offer to Acquire"** includes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) an
 offer to purchase, or a solicitation of an offer to sell, Common Shares or Convertible
 Securities; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) an
 acceptance of an offer to sell Common Shares or Convertible Securities, whether or not
 such offer to sell has been solicited;

or any combination thereof, and the Person accepting an offer to sell shall be deemed to be making an Offer to Acquire to the Person that made the offer to sell;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mm) **"Offeror"** means a Person who has announced, and has not withdrawn, an intention to make or
 who has made, and has not withdrawn, a Take-over Bid, other than a Person who has completed
 a Permitted Bid, a Competing Permitted Bid or an Exempt Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nn) **"Permitted Bid"** means a Take-over Bid made by means of a Take-over Bid circular and which
 also complies with the following additional provisions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Take-over Bid shall be made to all registered holders of Voting Shares (other than the
 Voting Shares held by the Offeror);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 Take-over Bid shall contain, and the take up and payment for securities tendered or deposited
 thereunder shall be subject to, an irrevocable and unqualified condition that no securities
 shall be taken up or paid for pursuant to the Take-over Bid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) prior
 to 11:59 p.m. on the date which is not less than one hundred and five (105) days following
 the date of the Take-over Bid or such shorter minimum period as determined in accordance
 with Section 2.28.2 or Section 2.28.3 of NI 62-104 for which a Take-over Bid (that is
 not exempt from any of the requirements of Division 5 (Bid Mechanics) of NI 62-104) must
 remain open for deposit of securities thereunder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) unless,
 at 11:59 p.m. on the date securities are first taken up or paid for under such Take-over
 Bid, more than fifty percent (50%) of the then outstanding securities of the class (Voting
 Shares) that are subject to the Take-over Bid held by Independent Shareholders shall
 have been tendered or deposited to the Take-over Bid and not withdrawn;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the
 Take-over Bid shall contain an irrevocable and unqualified provision that, unless the
 Take-over Bid is withdrawn, securities may be deposited pursuant to such Take-over Bid
 at any time during the period of time which applies pursuant to Section 1.1(nn)(ii)(A)
 and that any securities deposited pursuant to the Take-over Bid may be withdrawn at any
 time until taken up and paid for; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the
 Take-over Bid shall contain an irrevocable and unqualified provision that should the
 condition referred to in Section 1.1(nn)(ii)(B) be met:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 Offeror will make a public announcement of that fact; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the
 Take-over Bid will be extended for a period of not less than ten (10) days from the date
 of such public announcement;

provided, however, that a Take-over Bid that qualified as a Permitted Bid shall cease to be a Permitted Bid at any time and as soon as when such Take-over Bid ceases to meet any or all of the provisions of this definition. For purposes of this Agreement, the term "Permitted Bid" shall include a Competing Permitted Bid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oo) **"Permitted Bid Acquisition**" means an acquisition of Voting Shares made pursuant to a Permitted
 Bid or a Competing Permitted Bid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pp) **"Person"** includes any individual, firm, partnership, association, trust, trustee, executor,
 administrator, legal personal representative, body corporate, corporation, unincorporated
 organization, syndicate, governmental entity or other entity whether or not having a
 legal personality;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qq) **"Privacy Laws"** has the meaning ascribed thereto in Section 4.6;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rr) **"Pro Rata Acquisition"** means an acquisition of Voting Shares by a Person pursuant
 to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a
 Dividend Reinvestment Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a
 Common Share distribution, Common Share split or other event in respect of securities
 of the Corporation of one or more particular classes or series pursuant to which such
 Person becomes the Beneficial Owner of Common Shares on the same pro rata basis as all
 other holders of securities of the particular class, classes or series;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the
 receipt or the exercise by the Person of only those rights to subscribe for or purchase
 Common Shares or Convertible Securities (and the conversion or exchange of such Convertible
 Securities), distributed to that Person by the Corporation in the course of a distribution
 (other than Rights) to all holders of Common Shares pursuant to a rights offering or
 pursuant to a prospectus or similar document, provided that the Person does not thereby
 acquire a greater percentage of Common Shares or Convertible Securities than the Person's
 percentage of Common Shares Beneficially Owned immediately prior to such receipt or exercise
 or prior to that distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) a
 distribution by the Corporation of Common Shares or Convertible Securities (and the conversion
 or exchange of such Convertible Securities), made pursuant to a prospectus (or similar
 document) or by way of a private placement or securities exchange take-over bid provided
 that the Person does not thereby acquire a greater percentage of such Common Shares or
 Convertible Securities so offered than the Person's percentage of Common Shares
 Beneficially Owned immediately prior to such acquisition; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) a
 distribution by the Corporation of Common Shares or Convertible Securities (and the conversion
 or exchange of such Convertible Securities), made pursuant to a securities exchange take-over
 bid circular issued by the Corporation or in a management proxy circular (or similar
 document) or by way of a private placement, in respect of a merger pursuant to which
 the Corporation acquires all or substantially all of the assets of another Person in
 exchange for Common Shares or Convertible Securities (and the conversion or exchange
 of such Convertible Securities) on terms approved by the Directors in good faith, provided
 that in the case of such acquisition transaction or private placement (i) all necessary
 share exchange approvals for such private placement have been obtained and such private
 placement complies with the terms and conditions of such approvals, and (ii) the Person
 does not thereby become the Beneficial Owner of more than 25% of the Common Shares of
 the Corporation outstanding immediately prior to the completion of such acquisition transaction
 or private placement and in making this determination, the Common Shares or Convertible
 Securities to be issued to such Person shall be deemed to be held by such Person but
 shall not be included in the aggregate number of outstanding Common Shares immediately
 prior to the completion of such acquisition transaction or private placement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ss) **"Record Time"** means 5:00 p.m. (Toronto time) on the Effective Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(tt) **"Redemption Price"** has the meaning
ascribed thereto in Section 5.1(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uu) **"Right"** means the herein described right to purchase Common Shares pursuant to the terms
 and subject to the conditions set forth in this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vv) **"Rights Agent"** has the meaning ascribed thereto in the recitals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ww) **"Rights Certificate"** means a certificates representing a Right after the Separation
 Time, which shall be substantially in the form attached hereto as Exhibit A;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) **"Rights Register"** has the meaning ascribed thereto in Section 2.6(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(yy)  ***"* Securities Act *"*** means the *Securities Act* (British Columbia), as amended,
 and the regulations and rules thereunder, and any comparable or successor laws or regulations
 thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(zz) **"Separation Time"** means the close of business on the tenth Trading Day after the earliest
 of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Share Acquisition Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 date of the commencement of or first public announcement of the intent of any Person
 (other than the Corporation or any Subsidiary of the Corporation) to make a Take-over
 Bid (other than a Permitted Bid or a Competing Permitted Bid); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the
 date upon which a Permitted Bid or Competing Permitted Bid ceases to be such;

or such later date as may be determined by the Board of Directors in its sole discretion, provided that if any Take-over Bid referred to in Section 1.1(zz)(ii) of this definition expires, is cancelled, terminated or otherwise withdrawn prior to the Separation Time, such Take-over Bid shall be deemed, for the purposes of this definition, never to have been made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aaa) **"Shareholder"** means a holder of Voting Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bbb) **"Share Acquisition Date"** means the earlier of (i) the first date of public announcement
 (which, for purposes of this definition, shall include, without limitation, a report
 filed pursuant to Section 5.2 of NI 62-104, Section 4.5 of NI 62-103 or Section 13(d)
 of the 1934 Exchange Act) by the Corporation or any other Person indicating that any
 Person has become an Acquiring Person, or (ii) the date that the Corporation first becomes
 aware of facts indicating that any Person has become an Acquiring Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ccc) **"Share Reduction"** means an acquisition or redemption by the Corporation of Voting
 Shares which, by reducing the number of Voting Shares outstanding, increases the proportionate
 number of Voting Shares Beneficially Owned by any Person to 20% or more of the Voting
 Shares then outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ddd) **"Subsidiary"** means an entity of the Corporation or of another entity that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) is
 controlled by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 Corporation or that other entity; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the
 Corporation or that other entity and by one or more entities, each of which is controlled
 by the Corporation or by that other entity; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) two
 or more entities, each of which is controlled by the Corporation or by that other entity;
 or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) is
 a Subsidiary of an entity that is the Corporation's or that other entity's Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(eee) **"Take-over Bid"** means an Offer to Acquire Voting Shares or Convertible Securities or both
 if, assuming that the Voting Shares or Convertible Securities subject to the Offer to
 Acquire are acquired and are Beneficially Owned by the Person making such Offer to Acquire,
 such Voting Shares (including Voting Shares that may be acquired upon conversion or exchange
 of Convertible Securities) together with the Voting Shares Beneficially Owned by the
 Person making the Offer to Acquire, would constitute, in the aggregate, 20% or more of
 the outstanding Voting Shares at the date of the Offer to Acquire;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(fff) **"Trading Day"**, when used with respect to any securities, means a day on which the principal
 United States stock exchange on which such securities are listed or admitted to trading
 is open for the transaction of business or, if the securities are not listed or admitted
 to trading on any United States stock exchange, a Business Day;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ggg) **"United States Dollar Equivalent"** of any amount which is expressed in Canadian dollars
 means, on any date, the United States dollar equivalent of such amount determined by
 multiplying such amount by the Canadian-U.S. Exchange Rate in effect on such date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hhh) **"Voting Shares"** shall mean, collectively, the Common Shares of the Corporation and
 any other capital shares or voting interests of the Corporation entitled to vote generally
 in the election of all directors of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) **"1933 Securities Act"** means the Securities Act of 1933 of the United States, as amended,
 and the rules and regulations thereunder as now in effect or as the same may from time
 to time be amended, re-enacted or replaced; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jjj) **"1934 Exchange Act"** means the Securities Exchange Act of 1934 of the United States,
 as amended, and the rules and regulations thereunder as now in effect or as the same
 may from time to time be amended, re-enacted or replaced.

1.2 Currency

All sums of money which are referred to in this Agreement are expressed in lawful money of the United States, unless otherwise specified.

1.3 Headings

The division of this Agreement into Articles, Sections, or other portions hereof and the insertion of headings, subheadings and a table of contents are for convenience of reference only and shall not affect the construction or interpretation of this Agreement.

1.4 Calculation
 of Number and Percentage of Beneficial Ownership of Common Shares

For purposes of this Agreement, the percentage of Common Shares Beneficially Owned by any Person shall be and be deemed to be the product (expressed as a percentage) determined by the formula:

100 x A/B

where:

A = the number of votes for the election of all Directors generally attaching to the Common Shares Beneficially Owned by such Person; and

B = the number of votes for the election of all Directors attaching to all outstanding Common Shares.

Where any Person is deemed to Beneficially Own unissued Common Shares, such Common Shares shall be deemed to be outstanding for the purpose of calculating the percentage of Common Shares Beneficially Owned by such Person.

1.5 Acting
 Jointly or in Concert

For the purposes hereof, a Person is acting jointly or in concert with every Person who, as a result of any agreement, commitment or understanding, whether formal or informal, with the first Person or any Affiliate thereof, acquires or offers to acquire Common Shares (other than customary agreements with and between underwriters and/or banking group members and/or selling group members with respect to a public offering or private placement of securities or pledges of securities in the ordinary course of business).

1.6 International
 Financial Reporting Standards

Wherever in this Agreement reference is made to International Financial Reporting Standards ("IFRS"), such reference shall be deemed to be the recommendations at the relevant time of the International Accounting Standards Board, or any successor institute, applicable on a consolidated basis (unless otherwise specifically provided herein to be applicable on an unconsolidated basis) as at the date on which a calculation is made or required to be made in accordance with IFRS. Where the character or amount of any asset or liability or item of revenue or expense is required to be determined, or any consolidation or other accounting computation is required to be made for the purpose of this Agreement or any document, such determination or calculation shall, to the extent applicable and except as otherwise specified herein or as otherwise agreed in writing by the parties, be made in accordance with IFRS.

**ARTICLE 2<br> <u>THE RIGHTS</u>**

2.1 Issue
 of Rights and Legend on Common Share Certificates

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) One
 Right shall be issued on the Effective Date in respect of each Common Share issued or
 deemed issued at the Record Time and one Right shall be issued in respect of each Common
 Share issued after the Record Time and prior to the earlier of the Separation Time and
 the Expiration Time. Notwithstanding the foregoing, one Right in respect of each Common
 Share issued after the Record Time upon the exercise of rights pursuant to convertible
 or exchangeable securities outstanding at the Share Acquisition Date may be issued after
 the Separation Time but before the Expiration Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Certificates
 (or other evidence of book-entry or other uncertificated ownership) representing Common
 Shares, including Common Shares issued upon the exercise, conversion or exchange of Convertible
 Securities, which are issued after the Record Time, but prior to the earlier of the Separation
 Time and the Expiration Time, shall evidence one Right for each Common Share represented
 thereby and shall have impressed on, printed on, written on or otherwise affixed to them
 the following legend:

*Until the Separation Time (as defined in the Agreement defined below), this certificate also evidences and entitles the holder hereof to certain Rights as set forth in the Shareholder Rights Plan Agreement dated October [●], 2025 (the "**Agreement**") between BITZERO HOLDINGS INC. (the "Corporation") and Odyssey Trust Company, the terms of which are incorporated herein and a copy of which is available on demand without charge. Under certain circumstances set out in the Agreement, such Rights may be amended, redeemed, may expire, may become null and void or may be evidenced by separate certificates and no longer evidenced by this certificate. The Corporation will mail or arrange for the mailing of a copy of the Agreement to the holder of this certificate without charge as soon as reasonably practicable after the receipt of a written request therefor.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Certificates
 (or other evidence of book-entry or other uncertificated ownership) representing Common
 Shares that are issued and outstanding as at the Record Time shall evidence one Right
 for each Common Share evidenced thereby, notwithstanding the absence of the foregoing
 legend until the earlier of the Separation Time and the Expiration Time.

2.2 Initial
 Exercise Price, Exercise of Rights and Detachment of Rights

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject
 to adjustment as provided herein, each Right will entitle the holder thereof, after the
 Separation Time and prior to the Expiration Time, to purchase one Common Share for the
 Exercise Price (and the Exercise Price and number of Common Shares are subject to adjustment
 as set forth herein). Notwithstanding any other provision of this Agreement, any Rights
 Beneficially Owned by the Corporation or any of its Subsidiaries shall be void.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Until
 the Separation Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Rights shall not be exercisable and no Right may be exercised; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) each
 Shareholder will be entitled to one Right for each Common Share held (subject to adjustment
 as set forth herein) and each Right will be evidenced by the certificate for the associated
 Common Share registered in the name of the holder thereof (which certificate shall also
 be deemed to represent a Rights Certificate) and will be transferable only together with,
 and will be transferred by a transfer of, such associated Common Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) From
 and after the Separation Time and prior to the Expiration Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Rights shall be exercisable and may be exercised; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 registration and transfer of the Rights shall be separate from and independent of the
 Common Shares.

Promptly following the Separation Time, the Corporation will prepare and the Rights Agent will mail to each holder of record of Common Shares as of the Separation Time and, in respect of each Convertible Security converted into or exchanged or exercised for Common Shares after the Separation Time and prior to the Expiration Time, promptly after such conversion, exchange or exercise to the holder so converting, exchanging or exercising (other than an Acquiring Person and, in respect of any Rights Beneficially Owned by such Acquiring Person which are not held of record by such Acquiring Person, the Holder of record of such Rights (a "**Nominee**")), at such holder's address as shown on the records of the Corporation (the Corporation hereby agreeing to furnish copies of such records to the Rights Agent for this purpose):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a
 Rights Certificate appropriately completed, representing the number of Rights held by
 such Holder at the Separation Time and having such marks of identification or designation
 and such legends, summaries or endorsements printed thereon as the Corporation may deem
 appropriate and as are not inconsistent with the provisions of this Agreement, or as
 may be required to comply with any law, rule or regulation or with any rule or regulation
 of any self-regulatory organization, stock exchange or quotation system on which the
 Rights may, from time to time, be listed or traded, or to conform to usage; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) a
 disclosure statement prepared by the Corporation describing the Rights.

For greater certainty, a Nominee shall be sent the materials provided for in (A) and (B) in respect of all Common Shares held of record by it which are not Beneficially Owned by an Acquiring Person. In order for the Corporation to determine whether any Person is holding Common Shares which are Beneficially Owned by another Person, the Corporation may require such first mentioned Person to furnish such information and documentation as the Corporation considers advisable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Rights
 may be exercised, in whole or in part, on any Business Day after the Separation Time
 and prior to the Expiration Time, by submitting to the Rights Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Rights Certificate evidencing such Rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) an
 election to exercise such Rights (an "**Election to Exercise**") substantially
 in the form attached to the Rights Certificate appropriately completed and duly executed
 by the Holder or his executors or administrators or other personal representatives or
 his or their legal attorney duly appointed by an instrument in writing in form and executed
 in a manner satisfactory to the Rights Agent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) payment
 by certified cheque, banker's draft or money order payable to or to the order of
 the Rights Agent, of a sum equal to the Exercise Price multiplied by the number of Rights
 being exercised and a sum sufficient to cover any transfer tax or charge which may be
 payable in respect of any transfer involved in the transfer or delivery of Rights Certificates
 or the issuance or delivery of certificates for Common Shares in a name other than that
 of the Holder of the Rights being exercised, such aggregate proceeds to be held by the
 Rights Agent in a segregated bank account for the benefit of the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Upon
 receipt of a Rights Certificate, together with a completed Election to Exercise appropriately
 completed and duly exercised that does not indicate that such Right is null and void
 as provided by 3.1(b), and payment as set forth in Section 2.2(d)(iii), the Rights Agent
 (unless otherwise instructed in writing by the Corporation in the event that the Corporation
 is of the good faith opinion that the Rights cannot be exercised in accordance with this
 Agreement) will thereupon promptly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) requisition
 from the transfer agent for the Common Shares, certificates representing the number of
 Common Shares to be purchased (the Corporation hereby irrevocably authorizing its transfer
 agent to comply with all such requisitions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) after
 receipt of any certificates referred to in Section 2.2(e)(i), deliver such certificates
 to or upon the order of the registered Holder of such Rights Certificate, registered
 in such name or names as may be designated by such Holder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) when
 appropriate, requisition from the Corporation a cheque equal to the amount of cash to
 be paid in lieu of issuing fractional Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) when
 appropriate, after receipt, deliver such cash referred to in Section 2.2(e)(iii) (less
 any amounts required to be withheld) by way of cheque to or to the order of the registered
 Holder of such Rights Certificate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) tender
 to the Corporation all payments received on exercise of the Rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) In
 case the Holder of any Rights shall exercise less than all the Rights evidenced by such
 Holder's Rights Certificate, a new Rights Certificate evidencing the Rights remaining
 unexercised will be issued by the Rights Agent to such Holder or to such Holder's
 duly authorized assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The
 Corporation covenants and agrees that it will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) take
 all such action as may be necessary and within its power to ensure that all Common Shares
 delivered upon exercise of Rights shall, at the time of delivery of the certificates
 for such Common Shares (subject to payment of the Exercise Price), be duly and validly
 authorized, executed, issued and delivered and fully paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) take
 all such action as may be necessary and within its power to comply with any applicable
 requirements of the 1933 Securities Act, the 1934 Exchange Act, the BCBCA, the Securities
 Act and any applicable securities laws or comparable legislation of each of the states
 of the United States of America and the provinces and territories of Canada and the regulations
 and rules thereunder and any other applicable law, rule or regulation, in connection
 with the issuance and delivery of the Rights Certificates and the issuance of any Common
 Shares upon exercise of Rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) on
 or before the issuance thereof, use reasonable efforts to cause all Common Shares issued
 upon exercise of Rights to be listed or admitted to trading upon issuance on the principal
 exchange or exchanges on which the Common Shares are then listed or admitted to trading
 at that time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) cause
 to be reserved and kept available out of its authorized and unissued Common Shares the
 number of Common Shares that, as provided in this Agreement, will from time to time be
 sufficient to permit the exercise in full of all outstanding Rights; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) pay
 when due and payable, if applicable, any and all federal, provincial and municipal transfer
 taxes and charges (not including any income or capital taxes of the Holder or exercising
 Holder or any liability of the Corporation to withhold tax) which may be payable in respect
 of the original issuance or delivery of the Rights Certificates, or certificates for
 Common Shares to be issued upon exercise of any Rights, provided that the Corporation
 shall not be required to pay any transfer tax or charge which may be payable in respect
 of any transfer involved in the transfer or delivery of Rights Certificates or the issuance
 or delivery of certificates for Common Shares in a name other than that of the Holder
 of the Rights being transferred or exercised.

2.3 Adjustments
 to Exercise Price; Number of Rights

The Exercise Price, the number and kind of securities subject to purchase upon exercise of each Right and the number of Rights outstanding are subject to adjustment from time to time as provided in this Section 2.3 and in Section 3.1(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In
 the event the Corporation shall at any time after the Record Time and prior to the Expiration
 Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) declare
 or pay a dividend on Common Shares payable in Common Shares or Convertible Securities
 other than pursuant to any Dividend Reinvestment Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) subdivide
 or change the then outstanding Common Shares into a greater number of Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) consolidate
 or change the then outstanding Common Shares into a smaller number of Common Shares;
 or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) issue
 any Common Shares, Convertible Securities or other capital share of the Corporation in
 respect of, in lieu of or in exchange for existing Common Shares except as otherwise
 provided in this Section 2.3,

the Exercise Price and the number of Rights outstanding, or, if the payment or effective date therefor shall occur after the Separation Time, the securities purchasable upon exercise of Rights, shall be adjusted as of the payment or effective date in the manner set forth below.

If the Exercise Price and number of Rights outstanding are to be adjusted:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Exercise Price in effect after such adjustment will be equal to the Exercise Price in
 effect immediately prior to such adjustment divided by the number of Common Shares (or
 other securities) (the "**Expansion Factor**") that a holder of one Common
 Share immediately prior to such dividend, subdivision, change, combination or issuance
 would hold thereafter as a result thereof; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) each
 Right held prior to such adjustment will become that number of Rights equal to the Expansion
 Factor, and the adjusted number of Rights will be deemed to be allocated among the Common
 Shares with respect to which the original Rights were associated (if they remain outstanding)
 and the shares issued in respect of such dividend, subdivision, change, combination or
 issuance, so that each such Common Share (or other securities) will have exactly one
 Right associated with it.

For greater certainty, if the securities purchasable upon exercise of Rights are to be adjusted, the securities purchasable upon exercise of each Right after such adjustment will be the number of securities that a holder of the securities purchasable upon exercise of one Right immediately prior to such dividend, subdivision, change, combination or issuance would hold thereafter as a result thereof.

If, after the Record Time and prior to the Expiration Time, the Corporation shall issue any securities other than Common Shares in a transaction of a type described in Section 2.3(a)(i) or (iv), such securities shall be treated herein as nearly equivalent to Common Shares as may be practicable and appropriate under the circumstances and the Corporation and the Rights Agent agree to amend this Agreement in order to effect such treatment. If an event occurs which would require an adjustment under both this Section 2.3 and Section 3.1(a) hereof, the adjustment provided for in this Section 2.3 shall be in addition to and shall be made prior to any adjustment required pursuant to Section 3.1(a) hereof. Adjustments pursuant to Section 2.3(a) shall be made successively, whenever an event referred to in Section 2.3(a) occurs.

In the event the Corporation shall at any time after the Record Time and prior to the Expiration Time issue any Common Shares otherwise than in a transaction referred to in this Section 2.3(a), each such Common Share so issued shall automatically have one new Right associated with it, which Right shall be evidenced by the certificate representing such associated Common Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In
 the event the Corporation shall at any time after the Record Time and prior to the Expiration
 Time fix a record date for the issuance of rights, options or warrants to all holders
 of Common Shares entitling them (for a period expiring within 45 calendar days after
 such record date) to subscribe for or purchase Common Shares ()"**equivalent common shares**") or securities convertible into or exchangeable for or carrying a right
 to purchase Common Shares or equivalent common shares at a price per Common Share or
 per equivalent common share (or, if a security convertible into or exchangeable for or
 carrying a right to purchase or subscribe for Common Shares or equivalent common shares,
 having a conversion, exchange or exercise price, including the price required to be paid
 to purchase such convertible or exchangeable security or right per share) less than 90%
 of the Market Price per Common Share on the second Trading Day immediately preceding
 such record date, the Exercise Price to be in effect after such record date shall be
 determined by multiplying the Exercise Price in effect immediately prior to such record
 date by a fraction:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 numerator of which shall be the number of Common Shares outstanding on such record date,
 plus the number of Common Shares that the aggregate offering price of the total number
 of Common Shares and/or equivalent common shares so to be offered (and/or the aggregate
 initial conversion, exchange or exercise price of the convertible or exchangeable securities
 or rights so to be offered, including the price required to be paid to purchase such
 convertible or exchangeable securities or rights) would purchase at such Market Price
 per Common Share; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 denominator of which shall be the number of Common Shares outstanding on such record
 date, plus the number of additional Common Shares and/or equivalent common shares to
 be offered for subscription or purchase (or into which the convertible or exchangeable
 securities or rights so to be offered are initially convertible, exchangeable or exercisable).

In case such subscription price may be paid by delivery of consideration, part or all of which may be in a form other than cash, the value of such consideration shall be as determined in good faith by the Board of Directors, whose determination shall be described in a statement filed with the Rights Agent and shall be binding on the Rights Agent and the Holders of Rights. Such adjustment shall be made successively whenever such a record date is fixed, and in the event that such rights, options or warrants are not so issued, or if issued, are not exercised prior to the expiration thereof, the Exercise Price shall be readjusted to the Exercise Price which would have been in effect if such record date had not been fixed, or to the Exercise Price which would be in effect based upon the number of Common Shares, equivalent common shares, or securities convertible into, or exchangeable or exercisable for Common Shares actually issued upon the exercise of such rights, options or warrants, as the case may be.

For the purposes of this Agreement, the granting of the right to purchase Common Shares (whether from treasury or otherwise) pursuant to any Dividend Reinvestment Plan or any employee benefit, share option, or similar plans shall be deemed not to constitute an issue of rights, options or warrants by the Corporation; provided, however, that, in all such cases, the right to purchase Common Shares is either (i) at a price per Common Share of not less than 90% of the current market price per Common Share (determined as provided in such plans) of the Common Shares; or (ii) limited to Directors, officers, employees or consultants of or to the Corporation or its Subsidiaries and is part of the Corporation's regular compensation practices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In
 the event the Corporation shall at any time after the Record Time and prior to the Expiration
 Time fix a record date for the making of a distribution to all holders of Common Shares
 (including any such distribution made in connection with a merger in which the Corporation
 is the continuing corporation or an amalgamation) of evidences of indebtedness or assets,
 including cash (other than a regular period cash dividend or a dividend paid in Common
 Shares, but including any dividend payable in securities other than Common Shares), or
 subscription rights, options or warrants (excluding those referred to in Section 2.3(b)),
 at a price per Common Share (including, in the case of a Convertible Security with an
 exercise or conversion price, the price required to be paid to purchase such Convertible
 Security) that is less than 90% of the Market Price per Common Share on the second Trading
 Day immediately preceding such record date, the Exercise Price in respect of the Rights
 to be in effect after such record date shall be determined by multiplying the Exercise
 Price in effect immediately prior to such record date by a fraction:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 numerator of which shall be the Market Price per Common Share on such record date, less
 the fair market value (as determined in good faith by the Board of Directors, whose determination
 shall be described in a statement filed with the Rights Agent and shall be binding on
 the Rights Agent and the Holders of Rights), on a per share basis, of the portion of
 the evidences of indebtedness, cash, assets, subscription rights, options or warrants
 so to be distributed; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 denominator of which shall be such Market Price per Common Share.

Such adjustments shall be made successively whenever such a record date is fixed, and in the event that such a distribution is not so made, the Exercise Price shall be readjusted to be the Exercise Price which would have been in effect if such record date had not been fixed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding
 anything herein to the contrary, no adjustment in the Exercise Price shall be required
 unless such adjustment would require an increase or decrease of at least one per cent
 (1%) in the Exercise Price; provided, however, that any adjustments which by reason of
 this Section 2.3(d) are not required to be made shall be carried forward and taken into
 account in any subsequent adjustment. All calculations under Section 2.3 shall be made
 to the nearest cent or to the nearest ten-thousandth of a Common Share or Right. Notwithstanding
 the first sentence of this Section 2.3(d), any adjustment required by Section 2.3 shall
 be made no later than the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) three
 years from the date of the transaction which gives rise to such adjustment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 Expiration Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) In
 the event the Corporation shall at any time after the Record Time and prior to the Expiration
 Time issue securities (other than Common Shares), or rights, options or warrants to subscribe
 for or purchase any such securities, or Convertible Securities, in a transaction referred
 to in Sections 2.3(a)(i) or 2.3(a)(iv), if the Board of Directors acting in good faith
 determines that the adjustments contemplated by Section 2.3(a), (b) and (c) in connection
 with such transaction are not applicable or will not appropriately protect the interests
 of the Holders of Rights, the Board of Directors acting in good faith may determine what
 other adjustments to the Exercise Price, number of Rights and/or securities purchasable
 upon exercise of Rights would be appropriate and, notwithstanding Section 2.3(a), (b)
 and (c) such adjustments, rather than the adjustments contemplated by Section 2.3(a),
 (b) and (c) shall be made. The Corporation and the Rights Agent shall have authority,
 with such prior approval of the holders of Common Shares or the Holders of Rights as
 may be required to amend this Agreement in accordance with Section 5.4 hereof, as appropriate
 to provide for such adjustments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Each
 Right originally issued by the Corporation subsequent to any adjustment made to the Exercise
 Price hereunder shall evidence the right to purchase, at the adjusted Exercise Price,
 the number of Common Shares purchasable from time to time hereunder upon exercise of
 a Right immediately prior to such issue, all subject to further adjustment as provided
 herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Irrespective
 of any adjustment or change in the Exercise Price or the number of Common Shares issuable
 upon the exercise of the Rights, the Rights Certificate theretofore and thereafter issued
 may continue to express the Exercise Price per Common Share and the number of Common
 Shares which were expressed in the initial Rights Certificates issued hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) In
 any case in which this Section 2.3 shall require that an adjustment in the Exercise Price
 be made effective as of a record date for a specified event, the Corporation may elect
 to defer until the occurrence of such event the issuance to the Holder of any Right exercised
 after such record date of the number of Common Shares and other securities of the Corporation,
 if any, issuable upon such exercise over and above the number of Common Shares and other
 securities of the Corporation, if any, issuable upon such exercise on the basis of the
 Exercise Price in effect prior to such adjustment; provided, however, that the Corporation
 shall deliver to such Holder an appropriate instrument evidencing such Holder's
 right to receive such additional Common Shares or other securities upon the occurrence
 of the event requiring such adjustment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Notwithstanding
 anything in this Section 2.3 to the contrary, the Corporation shall be entitled to make
 such reductions in the Exercise Price, in addition to those adjustments expressly required
 by this Section 2.3, as and to the extent that in its good faith judgment the Board of
 Directors shall determine to be advisable, in order that any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) consolidation
 or subdivision of Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) issuance
 (wholly or in part for cash) of any Common Share or Convertible Securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) stock
 dividends; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) issuance
 of rights, options or warrants referred to in this Section 2.3,

hereafter made by the Corporation to holders of its Common Shares shall not be taxable to such Shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Whenever
 an adjustment to the Exercise Price or a change in the securities purchasable upon exercise
 of the Rights is made at any time after the Separation Time pursuant to this Section
 2.3, the Corporation shall promptly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) file
 with the Rights Agent and with the transfer agent for the Common Shares a certificate
 specifying the particulars of such adjustment or change; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) give,
 or cause the Rights Agent to give, notice of the particulars of such adjustment or change
 to be given to Holders of Rights, provided that failure to file such certificate or cause
 such notice to be given in the manner set out above, or any defect therein, shall not
 affect the validity of any such adjustment or change.

2.4 Date
 on Which Exercise is Effective

Each Person in whose name any certificate for Common Shares or other securities, if applicable, is issued upon the exercise of Rights shall for all purposes be deemed to have become the holder of record of the Common Shares or other securities, if applicable, represented thereon, and such certificate shall be dated the date upon which the Rights Certificate evidencing such Rights was duly surrendered in accordance with Section 2.2(d) (together with a duly completed Election to Exercise) and payment of the Exercise Price for such Rights (and any applicable transfer taxes and other governmental charges payable by the exercising Holder hereunder) was made; provided, however, that if the date of such surrender and payment is a date upon which the Common Share transfer books of the Corporation are closed, such Person shall be deemed to have become the record holder of such shares on, and such certificate shall be dated, the next succeeding Business Day on which the Common Share transfer books of the Corporation are open.

2.5 Execution,
 Authentication, Delivery and Dating of Right Certificates

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Rights Certificates shall be executed on behalf of the Corporation by any two of its
 officers or directors, provided that at the time of such execution none of such officer
 or director, any Affiliate or Associate of such officer or director or any person with
 whom such officer or director or any such Affiliate or Associate is acting jointly or
 in concert has commenced or publicly announced an intention to commence a Take-over Bid.
 The signature of any officers or directors on the Rights Certificates may be manual or
 facsimile. Rights Certificates bearing the manual or facsimile signatures of individuals
 who were at any time the proper officers or directors of the Corporation shall bind the
 Corporation, notwithstanding that such individuals or any of them have ceased to hold
 such offices prior to the countersignature and delivery of such Rights Certificates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Promptly
 after the Corporation learns of the Separation Time, the Corporation will notify the
 Rights Agent in writing of such Separation Time and will deliver Rights Certificates
 executed by the Corporation to the Rights Agent for countersignature, and the Rights
 Agent shall countersign (manually or by facsimile signature in a manner satisfactory
 to the Corporation) and send such Rights Certificates to the Holders of the Rights pursuant
 to Section 2.2(c) hereof. No Rights Certificate shall be valid for any purpose until
 countersigned by the Rights Agent as aforesaid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each
 Rights Certificate shall be dated the date of countersignature thereof.

2.6 Registration,
 Transfer and Exchange

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) After
 the Separation Time, the Corporation will cause to be kept a register (the "**Rights Register**") in which, subject to such reasonable regulations as it may prescribe,
 the Corporation will provide for the registration and transfer of Rights. The Rights
 Agent is hereby appointed Rights Registrar for the purpose of maintaining the Rights
 Register for the Corporation and registering Rights and transfers of Rights as herein
 provided, and the Rights Agent hereby accepts such appointment. In the event that the
 Rights Agent shall cease to be the Rights Registrar, the Rights Agent will have the right
 to examine the Rights Register at all reasonable times.

After the Separation Time and prior to the Expiration Time, upon surrender for registration of transfer or exchange of any Rights Certificate, and subject to the provisions of Section 2.6(c) and the other provisions of this Agreement, the Corporation will execute, and the Rights Agent will manually countersign and deliver, in the name of the Holder or the designated transferee or transferees, as required pursuant to the Holder's instructions, one or more new Rights Certificates evidencing the same aggregate number of Rights as did the Rights Certificates so surrendered.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All
 Rights issued upon any registration of transfer or exchange of Rights Certificates shall
 be the valid obligations of the Corporation, and such Rights shall be entitled to the
 same benefits under this Agreement as the Rights surrendered upon such registration of
 transfer or exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Every
 Rights Certificate surrendered for registration of transfer or exchange shall be duly
 endorsed, or be accompanied by a written instrument of transfer in form satisfactory
 to the Corporation or the Rights Agent, as the case may be, duly executed by the Holder
 thereof or such Holder's attorney duly authorized in writing. As a condition to
 the issuance of any new Rights Certificate under this Section 2.6, the Corporation may
 require the payment of a sum sufficient to cover any tax or other governmental charge
 that may be imposed in relation thereto and any other expenses (including the reasonable
 fees and expenses of the Rights Agent) connected therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The
 Corporation shall not be required to register the transfer or exchange of any Rights
 after the Rights have been terminated pursuant to the provisions of this Agreement.

2.7 Mutilated,
 Destroyed, Lost and Stolen Rights Certificates

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If
 any mutilated Rights Certificate is surrendered to the Rights Agent prior to the Expiration
 Time, the Corporation shall execute and the Rights Agent shall countersign and deliver
 in exchange therefor a new Rights Certificate evidencing the same number of Rights as
 did the Rights Certificate so surrendered.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If
 there shall be delivered to the Corporation and the Rights Agent prior to the Expiration
 Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) evidence
 to their reasonable satisfaction of ownership of a Rights Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) evidence
 to their reasonable satisfaction of the destruction, loss or theft of any Rights Certificate;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) such
 security bond and indemnity as may be required by each of them in their sole discretion
 to save each of them and any of their agents harmless, then, in the absence of notice
 to the Corporation or the Rights Agent that such Rights Certificate has been acquired
 by a bona fide purchaser, the Corporation shall execute and upon the its request the
 Rights Agent shall countersign and deliver, in lieu of any such destroyed, lost or stolen
 Rights Certificate, a new Rights Certificate evidencing the same number of Rights as
 did the Rights Certificate so destroyed, lost or stolen.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) As
 a condition to the issuance of any new Rights Certificate under this Section 2.7, the
 Corporation may require the payment of a sum sufficient to cover any tax or other governmental
 charge that may be imposed in relation thereto and any other expenses (including the
 reasonable fees and expenses of the Rights Agent) connected therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Every
 new Rights Certificate issued pursuant to this Section 2.7 in lieu of any destroyed,
 lost or stolen Rights Certificate shall evidence a contractual obligation of the Corporation,
 whether or not the destroyed, lost or stolen Rights Certificate shall be at any time
 enforceable by anyone, and shall entitle the Holder of the Rights to all the benefits
 of this Agreement equally and proportionately with any and all other Rights duly by the
 Corporation issued hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The
 Rights Agent will place a stop transfer notation on the Rights Register with respect
 to any destroyed, lost or stolen Rights Certificate for which a replacement Rights Certificate
 is issued pursuant to this Section 2.7.

2.8 Persons
 Deemed Owners of Rights

Prior to due presentment of a Rights Certificate (or, prior to the Separation Time, the associated Common Share certificate) for registration of transfer, the Corporation, the Rights Agent and any agent of the Corporation or the Rights Agent may deem and treat the Person in whose name a Rights Certificate (or, prior to the Separation Time, the associated Common Share certificate) is registered as the absolute owner thereof and of the Rights evidenced thereby for all purposes whatsoever.

2.9 Delivery
 and Cancellation of Certificates

All Rights Certificates surrendered upon exercise or for redemption or for registration of transfer or for exchange shall, if surrendered to any Person other than the Rights Agent, be delivered to the Rights Agent and, in any case, shall be promptly cancelled by the Rights Agent. The Corporation may at any time deliver to the Rights Agent for cancellation any Rights Certificates previously countersigned and delivered hereunder which the Corporation may have acquired in any manner whatsoever, and all Rights Certificates so delivered shall be promptly cancelled by the Rights Agent. No Rights Certificate shall be countersigned in lieu of or in exchange for any Rights Certificates cancelled as provided in this Section 2.9, except as expressly permitted by this Agreement. The Rights Agent shall destroy all cancelled Rights Certificates and deliver a certificate of destruction to the Corporation on request by the Corporation.

2.10 Agreement
 of Rights Holders

Every Holder of Rights, by accepting such Rights, becomes a party to this Agreement and for greater certainty is bound by the provisions herein and consents and agrees with the Corporation and the Rights Agent and with every other Holder of Rights that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such
 Holder shall be bound by and subject to the provisions of this Agreement, as amended
 from time to time in accordance with the terms hereof, in respect of all Rights held;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) prior
 to the Separation Time, each Right will be transferable only together with, and will
 be transferred by a transfer of, the associated Common Share certificate representing
 such Right;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) after
 the Separation Time, the Rights Certificates will be transferable only on the Rights
 Register as provided herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) such
 Holder is not entitled and has waived his or her right to receive any fractional Rights
 or any fractional Common Shares upon exercise of a Right;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) subject
 to the provisions of Section 5.4, without the approval of any Holder of Rights and upon
 the sole authority of the Board of Directors acting in good faith, this Agreement may
 be supplemented or amended from time to time as provided herein; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) notwithstanding
 anything in this Agreement to the contrary, neither the Corporation nor the Rights Agent
 shall have any liability to any Holder of a Right or any other Person as a result of
 its inability to perform any of its obligations under this Agreement by reason of a preliminary
 or permanent injunction or other order, decree or ruling issued by a court of competent
 jurisdiction or by a governmental, regulatory or administrative agency or commission,
 or any statute, rule, regulation or executive order promulgated or enacted by any governmental
 authority, prohibiting or otherwise restraining performance of such obligation.

2.11 Rights
 Certificate Holder Not Deemed a Shareholder

No Holder of any Rights or Rights Certificate shall be entitled to vote, receive dividends or be deemed for any purpose whatsoever to be the holder of any Common Shares or any other securities of the Corporation which may at any time be issuable on the exercise of the Rights represented thereby, nor shall anything contained herein or in any Rights Certificate be construed or deemed to confer upon the Holder of any Right or Rights Certificate, as such, any of the rights, title, benefits or privileges of a holder of Common Shares or any other shares or securities or assets of the Corporation or any right to vote at any meeting of shareholders of the Corporation whether for the election of directors or otherwise or upon any matter submitted to holders of shares or any other securities of the Corporation at any meeting thereof, or to give or withhold consent to any action of the Corporation, or to receive notice of any meeting or other action affecting any holder of Common Shares or any other shares or securities or assets of the Corporation except as expressly provided herein, or to receive dividends, distributions or subscription rights, or otherwise, until such Rights shall have been duly exercised in accordance with the terms and provisions hereof.

**ARTICLE 3**

**<u>ADJUSTMENTS TO THE RIGHTS ON FLIP-IN EVENT</u>**

3.1 Flip-in
 Event

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject
 to Section 3.1(b) and Section 5.1, in the event that if prior to the Expiration Time
 a Flip-in Event occurs, each Right shall constitute, effective from and after the later
 of its date of issue and at the close of business on the second Trading Day after the
 Share Acquisition Date (or such longer period as may be required to satisfy the requirements
 of any applicable securities laws or comparable legislation of each of the states of
 the United States of America and the provinces and territories of Canada and the regulations
 and rules thereunder), the right to purchase from the Corporation, upon exercise thereof
 in accordance with the terms hereof, that number of Common Shares having an aggregate
 Market Price on the date of consummation or occurrence of such Flip-in Event equal to
 twice the Exercise Price for an amount in cash equal to the Exercise Price (such right
 to be appropriately adjusted in a manner analogous to the applicable adjustment provided
 for in Section 2.3, without duplication, in the event that after such date of consummation
 or occurrence, an event of a type analogous to any of the events described in Section
 2.3 shall have occurred with respect to such Common Shares).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding
 anything in this Agreement, upon the occurrence of any Flip-in Event, any Rights that
 are or were Beneficially Owned on or after the earlier of the Separation Time or the
 Share Acquisition Date by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) an
 Acquiring Person (or any Affiliate or Associate of an Acquiring Person or any Person
 acting jointly or in concert with an Acquiring Person or any Affiliate or with an Associate
 of an Acquiring Person); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a
 transferee or other successor in title, direct or indirect, of Rights held by an Acquiring
 Person (or any Affiliate or Associate of an Acquiring Person or any Person acting jointly
 or in concert with an Acquiring Person or an Affiliate or Associate of an Acquiring Person),
 whether or not for consideration, in a transfer that the Board of Directors acting in
 good faith has determined is part of a plan, arrangement, understanding or scheme of
 an Acquiring Person (or any Affiliate or Associate of an Acquiring Person or any Person
 acting jointly or in concert with an Acquiring Person or with an Affiliate or Associate
 of an Acquiring Person) that has the purpose or effect of avoiding Section 3.1(b)(i),

shall become null and void without any further action, and any Holder of such Rights (including transferees or other successors in title) shall thereafter have no right to exercise such Rights under any provision of this Agreement and further shall thereafter not have any other rights whatsoever with respect to such Rights, whether under any provision of this Agreement or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) From
 and after the Separation Time, the Corporation shall do all such acts and things as shall
 be necessary and within its power to ensure compliance with the provisions of this Section
 3.1, including all such acts and things as may be required to satisfy the requirements
 of the BCBCA, Securities Act *,* the 1933 Securities Act, the 1934 Exchange Act,
 and any applicable securities laws or comparable legislation of each of the states of
 the United States of America and the provinces and territories of Canada and the regulations
 and rules thereunder and any other applicable law, rule or regulation, in connection
 with the issue of Common Shares upon the exercise of Rights in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any
 Rights Certificate that represents Rights Beneficially Owned by a Person described in
 either Section 3.1(b)(i) or 3.1(b)(ii) or transferred to any nominee of any such Person,
 and any Rights Certificate issued upon transfer, exchange, replacement or adjustment
 of any other Rights Certificate referred to in this sentence, shall contain the following
 legend:

The Rights represented by this Rights Certificate were Beneficially Owned by a Person who was an Acquiring Person or who was an Affiliate or an Associate of an Acquiring Person (as such terms are defined in the Shareholder Rights Plan Agreement) or was acting jointly or in concert with any of them. This Rights Certificate and the Rights represented hereby are void or shall become void in the circumstances specified in Subsection 3.1(b) of the Shareholder Rights Plan Agreement.

provided, however, that the Rights Agent shall not be under any responsibility to ascertain the existence of facts that would require the imposition of such legend but shall impose such legend only if instructed to do so by the Corporation in writing or if a Holder fails to certify upon transfer or exchange in the space provided on the Rights Certificate that such Holder is not a Person described in such legend. The issuance of a Rights Certificate without the legend referred to in this Section 3.1(d) shall be of no effect on the provisions of Section 3.1(b).

**ARTICLE 4**

**<u>THE RIGHTS AGENT</u>**

4.1 General

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Corporation hereby appoints the Rights Agent to act as agent for the Corporation and
 the Holders of the Rights in accordance with the terms and conditions hereof, and the
 Rights Agent hereby accepts such appointment. The Corporation may from time to time appoint
 one or more co-rights agents ()"**Co-Rights Agents**") as it may deem necessary
 or desirable, subject to the prior written approval of the Rights Agent. In the event
 the Corporation appoints one or more Co-Rights Agents, the respective duties of the Rights
 Agent and the Co-Rights Agents shall be as the Corporation may determine, with the written
 approval of the Rights Agent and the Co-Rights Agents. The Corporation agrees to pay
 to the Rights Agent reasonable compensation for all services rendered by it hereunder
 and, from time to time, on demand of the Rights Agent, its reasonable expenses and outside
 counsel fees and other disbursements incurred in the administration and execution of
 this Agreement and the exercise and performance of its duties hereunder (including the
 reasonable fees and disbursements of any expert or advisor retained by the Rights Agent
 with the prior approval of the Corporation, not to be unreasonably withheld). The Corporation
 also agrees to indemnify the Rights Agent and its directors, officers, employees and
 agents for, and to hold them harmless against, any loss, liability, cost, claim, action,
 damage, suit or expense, incurred without gross negligence, bad faith or willful misconduct
 on the part of the Rights Agent, its officers, directors, employees and agents, for anything
 done, suffered or omitted by the Rights Agent in connection with the acceptance, execution
 and administration of this Agreement and the exercise and performance of its duties hereunder,
 including the costs and expenses of defending against any claim of liability, which right
 to indemnification will survive the termination of this Agreement or the resignation
 or removal of the Rights Agent. The Corporation will inform the Rights Agent in a reasonably
 timely manner of events which may materially affect the administration of this Agreement
 by the Rights Agent. At any time, upon request, the Corporation shall provide to the
 Rights Agent an incumbency certificate with respect to the then current directors and
 officers of the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The
 Rights Agent shall be protected and shall incur no liability for or in respect of any
 action taken, suffered or omitted by it in connection with its administration of this
 Agreement in reliance upon any certificate for Common Shares or any Rights Certificate,
 or certificate for other securities of the Corporation, instrument of assignment or transfer,
 power of attorney, endorsement, affidavit, letter, notice, direction, consent, certificate,
 opinion, statement, or other paper or document believed by it to be genuine and to be
 signed, executed and, where necessary, verified or acknowledged, by the proper Person
 or Persons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In
 the event of any disagreement arising regarding the terms of this Agreement, the Rights
 Agent shall be entitled, at its option, to refuse to comply with any and all demands
 whatsoever related to such disagreement, until the dispute is settled either by written
 agreement amongst the parties to this Agreement or by a court of competent jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding
 any other provision of this Agreement, and whether such losses or damages are foreseeable
 or unforeseeable, the Rights Agent shall not be liable under any circumstances whatsoever
 for any (i) breach by any other party of securities law or other rule of any securities
 regulatory authority, (ii) lost profits, or (iii) special, indirect, incidental, consequential,
 exemplary, aggravated or punitive losses or damages.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Other
 than liability due to its own gross negligence, bad faith or willful misconduct, any
 liability of the Rights Agent shall be limited, in the aggregate, to the amount of fees
 paid by the Company to the Rights Agent under this Agreement in the twelve (12) months
 immediately prior to the Rights Agent receiving the first notice of the claim.

4.2 Merger
 or Amalgamation or Change of Name of Rights Agent

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any
 corporation into which the Rights Agent or any successor Rights Agent may be merged or
 amalgamated or with which it may be consolidated, or any corporation resulting from any
 merger, amalgamation, statutory arrangement or consolidation to which the Rights Agent
 or any successor Rights Agent is a party, or any corporation succeeding to the shareholder
 or stockholder services business of the Rights Agent or any successor Rights Agent, will
 be the successor to the Rights Agent under this Agreement without the execution or filing
 of any paper or any further act on the part of any of the parties hereto, provided that
 such corporation would be eligible for appointment as a successor Rights Agent under
 the provisions of Section 4.4 hereof. In case at the time such successor Rights Agent

 been countersigned but not delivered, any such successor Rights Agent may adopt the countersignature
 of the predecessor Rights Agent and deliver such Rights Certificates so countersigned;
 and in case at that time, any of the Rights Certificates have not been countersigned,
 any successor Rights Agent may countersign such Rights Certificates either in the name
 of the predecessor Rights Agent or in the name of the successor Rights Agent; and in
 all such cases such Rights Certificates will have the full force provided in the Rights
 Certificates and in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If,
 at any time, the name of the Rights Agent is changed and at such time any of the Rights
 Certificates have been countersigned but not delivered, the Rights Agent may adopt the
 countersignature under its prior name and deliver Rights Certificates so countersigned;
 and if, at that time, any of the Rights Certificates have not been countersigned, the
 Rights Agent may countersign such Rights Certificates either in its prior name or in
 its changed name; and in all such cases such Rights Certificates shall have the full
 force provided in the Rights Certificates and in this Agreement.

4.3 Duties
 of Rights Agent

The Rights Agent undertakes the duties and obligations imposed by this Agreement upon the following terms and conditions, by all of which the Corporation and the Holders of Rights Certificates, by their acceptance thereof, shall be bound:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 Rights Agent may consult with and retain legal counsel and such other experts as it reasonably
 considers necessary to perform its duties hereunder, and the opinion of such counsel
 or other expert will be full and complete authorization and protection to the Rights
 Agent as to any action taken or omitted by it in good faith and in accordance with such
 opinion; the Rights Agent may also with the approval of the Corporation (which approval
 shall not be unreasonably withheld), retain and consult with such other experts or advisors
 as the Rights Agent shall consider necessary or appropriate to properly carry out the
 duties and obligations imposed under this Agreement (at the Corporation's expense)
 and the Rights Agent shall be entitled to act and rely in good faith on the advice of
 any such expert or advisor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) whenever
 in the performance of its duties under this Agreement, the Rights Agent deems it necessary
 or desirable that any fact or matter be proved or established by the Corporation prior
 to taking or suffering any action hereunder, such fact or matter (unless other evidence
 in respect thereof be herein specifically prescribed) may be deemed to be conclusively
 proved and established by a certificate signed by a person believed by the Rights Agent
 to be an officer or a director of the Corporation and delivered to the Rights Agent;
 and such certificate will be full authorization to the Rights Agent for any action taken
 or suffered in good faith by it under the provisions of this Agreement in reliance upon
 such certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the
 Rights Agent will be liable hereunder for its own gross negligence, bad faith or willful
 misconduct;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 Rights Agent will not be liable for or by reason of any of the statements of fact or
 recitals contained in this Agreement or in the certificates for Common Shares or the
 Rights Certificates (except its countersignature thereof) or be required to verify the
 same, but all such statements and recitals are and will be deemed to have been made by
 the Corporation only;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the
 Rights Agent will not be under any responsibility in respect of the validity of this
 Agreement or the execution and delivery hereof (except the due authorization, execution
 and delivery hereof by the Rights Agent) or in respect of the validity or execution of
 any certificate for a Common Share or Rights Certificate (except its countersignature
 thereof); nor will it be responsible for any breach by the Corporation of any covenant
 or condition contained in this Agreement or in any Rights Certificate; nor will it be
 responsible for any change in the exercisability of the Rights (including the Rights
 becoming void pursuant to Section 3.1(b) hereof) or any adjustment required under the
 provisions of Section 2.3 hereof or responsible for the manner, method or amount of any
 such adjustment or the ascertaining of the existence of facts that would require any
 such adjustment (except with respect to the exercise of Rights after receipt of the certificate
 contemplated by Section 2.3 hereof describing any such adjustment); nor will it by any
 act hereunder be deemed to make any representation or warranty as to the authorization
 of any Common Shares to be issued pursuant to this Agreement or any Rights or as to whether
 any Common Shares will, when issued, be duly and validly authorized, executed, issued
 and delivered and fully paid and non-assessable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the
 Corporation agrees that it will perform, execute, acknowledge and deliver or cause to
 be performed, executed, acknowledged and delivered all such further and other acts, instruments,
 notices and assurances as may reasonably be required by the Rights Agent for the carrying
 out or performing by the Rights Agent of the provisions of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the
 Rights Agent is hereby authorized and directed to accept instructions in writing with
 respect to the performance of its duties hereunder from any individual believed by the
 Rights Agent to be an officer or director of the Corporation, and to apply to such individuals
 for advice or instructions in connection with its duties, and it shall not be liable
 for any action taken or suffered by it in good faith in accordance with instructions
 of any such individual. All such instruction shall, except where circumstances make it
 impracticable or the Rights Agent otherwise agrees, be given in writing and, where not
 in writing, such instructions will be confirmed in writing as soon as is reasonably practicable
 after the giving of such instructions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the
 Rights Agent and any shareholder or stockholder, director, officer or employee of the
 Rights Agent may buy, sell or deal in Common Shares, Rights or other securities of the
 Corporation or become pecuniarily interested in any transaction in which the Corporation
 may be interested, or contract with or lend money to the Corporation or otherwise act
 as fully and freely as though it were not the Rights Agent under this Agreement and nothing
 herein shall preclude the Rights Agent from acting in any other capacity for the Corporation
 or for any other legal entity; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Rights Agent may execute and exercise any of the rights or powers hereby vested in it
 or perform any duty hereunder either itself or through its attorneys or agents, and the
 Rights Agent will not be answerable or accountable for any act, default, neglect or misconduct
 of any such attorneys or agents or for any loss to the Corporation resulting from any
 such act, default, neglect or misconduct, provided reasonable care was exercised in good
 faith in the selection and continued employment thereof.

4.4 Change
 of Rights Agent

The Rights Agent may resign and be discharged from its duties under this Agreement upon 60 days' notice (or such lesser notice as is acceptable to the Corporation) in writing mailed to the Corporation and to the transfer agent of Common Shares by registered or certified mail, and to the Holders of the Rights in accordance with Section 5.7 at the Corporation's expense. The Corporation may remove the Rights Agent upon 30 days' notice in writing, mailed to the Rights Agent and to the transfer agent of the Common Shares by registered or certified mail, and to the Holders of the Rights in accordance with Section 5.7. If the Rights Agent should resign or be removed or otherwise become incapable of acting, the Corporation will appoint a successor to the Rights Agent. If the Corporation fails to make such appointment within a period of 30 days after such removal or after it has been notified in writing of such resignation or incapacity by the resigning or incapacitated Rights Agent or by the Holder of any Rights (which Holder shall, with such notice, submit such Holder's Rights Certificate for inspection by the Corporation), then the resigning Rights Agent or the Holder of any Rights, may apply to a court of competent jurisdiction for the appointment of a new Rights Agent, at the Corporation's expense. Any successor Rights Agent, whether appointed by the Corporation or by such a court, shall be a company incorporated under the laws of the United States or a state thereof or a company incorporated under the laws of Canada or a province thereof authorized to carry on the business of a rights agent in the Province of British Columbia. After appointment, the successor Rights Agent will be vested with the same powers, rights, duties and responsibilities as if it had been originally named as Rights Agent without further act or deed; but the predecessor Rights Agent, upon payment by the Corporation to the predecessor Rights Agent of all outstanding fees and expenses, owed by the Corporation to the predecessor Rights Agent pursuant to this Agreement, shall deliver and transfer to the successor Rights Agent any property at the time held by it hereunder and execute and deliver any further assurance, conveyance, act or deed necessary for the purpose. Not later than the effective date of any such appointment, the Corporation will file notice thereof in writing with the predecessor Rights Agent and the transfer agent of the Common Shares, and mail or cause to be mailed a notice thereof in writing to the Holders of the Rights. Failure to give any notice provided for in this Section 4.4, however, or any defect therein, shall not affect the legality or validity of the resignation or removal of the Rights Agent or the appointment of the successor Rights Agent, as the case may be.

4.5 Compliance
 with Anti-Money Laundering Legislation

The Rights Agent shall retain the right not to act and shall not be liable for refusing to act if, due to a lack of information or for any other reason whatsoever, the Rights Agent reasonably determines that such an act would reasonably be expected to cause it to be in non-compliance with any applicable anti-money laundering or anti-terrorist legislation, regulation or guideline, provided that the Rights Agent promptly notifies the Corporation of such determination together with the reasons therefor in accordance with Section 5.7. Further, should the Rights Agent reasonably determine at any time that its acting under this Agreement has resulted in it being in noncompliance with any applicable anti-money laundering or antiterrorist legislation, regulation or guideline, then it shall have the right to resign on 10 days' written notice to the Corporation, provided: (i) that the Rights Agent's written notice shall describe the circumstances of such non-compliance; and (ii) that if such circumstances are rectified to the Rights Agent's satisfaction, acting reasonably, within such 10-day period, then such resignation shall not be effective.

4.6 Privacy
 Provision

The parties acknowledge that federal and/or provincial legislation that addresses the protection of individual's personal information (collectively, "**Privacy Laws**") applies to obligations and activities under this Agreement. Despite any other provision of this Agreement, neither party will take or direct any action in connection with this Agreement that would contravene, or cause the other to contravene, applicable Privacy Laws. The Corporation will, prior to transferring or causing to be transferred personal information to the Rights Agent, obtain and retain required consents of the relevant individuals to the collection, use and disclosure of their personal information, or will have determined that such consents either have previously been given upon which the parties can rely or are not required under the Privacy Laws. The Rights Agent will use commercially reasonable efforts to ensure that its services hereunder comply with Privacy Laws.

4.7 Liability

Notwithstanding any other provision of this Agreement, and whether such losses or damages are foreseeable or unforeseeable, the Rights Agent shall not be liable under any circumstances whatsoever for any (i) breach by any other party of securities law or other rule of any securities regulatory authority; (ii) lost profits; or (iii) special, indirect, incidental, consequential, exemplary, aggravated or punitive losses or damages. No provision contained in this Agreement shall require the Rights Agent to expend or risk its own funds or otherwise incur financial liability in the performance of any of its duties or in the exercise of any of its rights or powers under this Agreement. Notwithstanding any other provision of this Agreement, any liability of the Rights Agent shall be limited, in the aggregate, to the amount of fees paid by the Corporation to the Rights Agent under this Agreement in the 12 months immediately prior to the Rights Agent receiving the first notice of the claim.

**ARTICLE 5**

**<u>MISCELLANEOUS</u>**

5.1 Redemption
 and Waiver

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Directors acting in good faith may, at any time prior to the provisions of Section 3.1
 becoming effective as a result of the occurrence of a Flip-in Event, upon prior written
 notice delivered to the Rights Agent, waive the application of Section 3.1 to a particular
 Flip-in Event that would result from a Take-over Bid made by way of take-over bid circular
 to all holders of record of Common Shares (which for greater certainty shall not include
 the circumstances described in Section 5.1(h)); provided that if the Directors waive
 the application of Section 3.1 to such a Flip-in Event pursuant to this Section 5.1(a),
 the Directors shall be deemed to have waived the application of Section 3.1 to any other
 Flip-in Event occurring by reason of any Take-over Bid which is made by means of a take-over
 bid circular to all holders of record of Common Shares which is made prior to the expiry
 of any Take-over Bid (as the same may be extended from time to time) in respect of which
 a waiver is, or is deemed to have been, granted under this Section 5.1(a). If the Directors
 propose such a waiver, the Directors may extend the Separation Time to a date after but
 not more than 10 Business Days after the meeting of Shareholders called to approve such
 waiver.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject
 to the prior consent of the holders of the Common Shares or the Rights given in the manner
 set forth in Section 5.4(b) or 5.4(c), the Directors acting in good faith may, at any
 time prior to the provisions of Section 3.1 becoming effective as a result of the occurrence
 of a Flip-in Event or prior to the waiver of the application of Section 3.1 pursuant
 to the provisions of this Section 5.1, as the case may be, elect to redeem all but not
 less than all of the then outstanding Rights at a redemption price of $0.00001 per Right
 appropriately adjusted in a manner analogous to the applicable adjustment provided for
 in Section 2.3 if an event of the type analogous to any of the events described in Section
 2.3 shall have occurred (such redemption price being herein referred to as the "**Redemption Price** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Where,
 pursuant to a Permitted Bid, or a Competing Permitted Bid or an Exempt Acquisition, a
 Person acquires outstanding Common Shares, other than Common Shares Beneficially Owned
 by such Person at the date of the Permitted Bid, the Competing Permitted Bid or the Exempt
 Acquisition, then the Directors shall immediately upon the consummation of such acquisition
 (that is, on the day that such Person takes up and pays for the Common Shares under the
 applicable bid or acquisition) without further formality and without any approval under
 Section 5.4(b) or 5.4(c) be deemed to have elected to redeem the Rights at the Redemption
 Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Where
 a Take-over Bid that is not a Permitted Bid or a Competing Permitted Bid is withdrawn
 or otherwise terminated after the Separation Time has occurred and prior to the occurrence
 of a Flip-in Event, the Directors may elect to redeem all the outstanding Rights at the
 Redemption Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If
 the Directors are deemed under Section 5.1(c) to have elected, or elect under either
 of Section 5.1(b) or 5.1(d), to redeem the Rights, upon receipt of the required approval
 of Shareholders, the right to exercise the Rights will thereupon, without further action
 and without notice, terminate and the only right thereafter of the Holders of Rights
 shall be to receive the Redemption Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Within
 10 Business Days after receipt of the required approval of Shareholders in respect of
 any matter for which the Directors are deemed under Section 5.1(c) to have elected, or
 elect under Section 5.1(b) or 5.1(d) to redeem the Rights, the Corporation shall give
 notice of redemption to the Holders of the then outstanding Rights by mailing such notice
 to each such Holder at its last address as it appears upon the registry books of the
 Rights Agent or, prior to the Separation Time, on the registry books of the transfer
 agent for the Common Shares. Any notice which is mailed in the manner provided herein
 shall be deemed given, whether or not the Holder receives the notice. Each notice of
 redemption will state the method by which the payment of the Redemption Price will be
 made. If the Redemption Price payable to any Holder of Rights includes a fraction of
 a cent, such Redemption Price shall be rounded down to the nearest cent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Upon
 the Rights being redeemed pursuant to Section 5.1(d), all the provisions of this Agreement
 shall continue to apply as if the Separation Time had not occurred and Rights Certificates
 representing the number of Rights held by each holder of record of Common Shares as of
 the Separation Time had not been mailed to each such holder, and for all purposes of
 this Agreement, the Separation Time shall be deemed not to have occurred and the Rights
 shall remain attached to the outstanding Common Shares, subject to and in accordance
 with the provisions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The
 Directors may waive the application of Section 3.1 in respect of the occurrence of any
 Flip-in Event if the Directors have determined within ten Trading Days following a Share
 Acquisition Date that a Person became an Acquiring Person by inadvertence and without
 any intention to become, or knowledge that it would become, an Acquiring Person under
 this Agreement and, in the event that such a waiver is granted by the Directors, such
 Share Acquisition Date shall be deemed not to have occurred. Any such waiver pursuant
 to this Section 5.1(h) must be on the condition that such Person, within 14 days after
 the foregoing determination by the Directors or such earlier or later date as the Directors
 may determine (the "**Disposition Date** "), has reduced its Beneficial
 Ownership of Common Shares so that the Person is no longer an Acquiring Person. If the
 Person remains an Acquiring Person at the close of business on the Disposition Date,
 the Disposition Date shall be deemed to be the date of occurrence of a further Share
 Acquisition Date and Section 3.1 shall apply thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The
 Corporation shall give prompt written notice to the Rights Agent of any waiver of the
 application of Section 3.1 made by the Directors under this Section 5.1.

5.2 Expiration

No Person shall have any rights whatsoever pursuant to this Agreement or in respect of any Right after the Expiration Time, except the Rights Agent as specified in Section 4.1(a) of this Agreement.

5.3 Issuance
 of New Rights Certificates

Notwithstanding any of the provisions of this Agreement or the Rights to the contrary, the Corporation may, at its option, issue new Rights Certificates evidencing Rights in such form as may be approved by the Board of Directors to reflect any adjustment or change in the number or kind or class of securities purchasable upon exercise of Rights made in accordance with the provisions of this Agreement.

5.4 Supplements
 and Amendments

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Corporation may from time to time supplement or amend this Agreement without the approval
 of the holders of Rights or Voting Shares, to correct any clerical or typographical error
 or as required to maintain the validity or effectiveness of this Agreement as a result
 of any change in any applicable legislation, rules or regulations thereunder. Notwithstanding
 anything in this Section 5.4 to the contrary, no such supplement or amendment shall be
 made to the provisions of Article 4 except with the written concurrence of the Rights
 Agent to such supplement or amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject
 to Section 5.4(a), the Corporation may, with the prior consent of the holders of Voting
 Shares obtained as set forth below, at any time prior to the Separation Time, supplement,
 amend, vary, rescind or delete any of the provisions of this Agreement and the Rights
 (whether or not such action would materially adversely affect the interests of the Holders
 of Rights generally). Such consent shall be deemed to have been given if the action requiring
 such approval is authorized by the affirmative vote of a majority of the votes cast by
 Independent Shareholders present or represented at and entitled to be voted at a meeting
 of the holders of Voting Shares duly called and held in compliance with applicable laws
 and the Constating Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject
 to Section 5.4(a), the Corporation may, with the prior consent of the Holders of Rights,
 at any time on or after the Separation Time, supplement, amend, vary, rescind or delete
 any of the provisions of this Agreement and the Rights (whether or not such action would
 materially adversely affect the interests of the Holders of Rights generally), provided
 that no such amendment, variation or deletion shall be made to the provisions of Article
 4 except with the written concurrence of the Rights Agent thereto. Such consent shall
 be deemed to have been given if such amendment, variation or deletion is authorized by
 the affirmative votes of a majority of the votes cast by the Holders of Rights (other
 than holders of Rights whose Rights have become null and void pursuant to the provisions
 hereof) present or represented at and entitled to be voted at a meeting of the holders
 duly called and held in compliance with applicable laws and the Constating Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) For
 the purposes hereof, each outstanding Right (other than Rights which are null and void
 pursuant to the provisions hereof) shall be entitled to one vote, and the procedures
 for the calling, holding and conduct of the meeting shall be those provided for in the
 Constating Documents with respect to meetings of shareholders of the Corporation, modified
 appropriately.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any
 amendment made by the Corporation to this Agreement pursuant to Section 5.4(a), other
 than any amendment to correct any clerical or typographical error, shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if
 made before the Separation Time, be submitted to the Shareholders of the Corporation
 at the next meeting of Shareholders and the Shareholders may, by the majority referred
 to in Section 5.4(b), confirm or reject such amendment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if
 made after the Separation Time, be submitted to the Holders of Rights at a meeting to
 be called for on a date not later than immediately following the next meeting of Shareholders
 and the Holders of Rights may, by resolution passed by the majority referred to in Section
 5.4(c), confirm or reject such amendment.

Any such amendment shall be effective from the date of the resolution of the Board of Directors adopting such amendment, until it is confirmed or rejected or until it ceases to be effective (as described in the next sentence) and, where such amendment is confirmed, it continues in effect in the form so confirmed. If such amendment is rejected by the Shareholders of the Corporation or the Holders of Rights or is not submitted to the Shareholders of the Corporation or Holders of Rights as required, then such amendment shall cease to be effective from and after the termination of the meeting at which it was rejected or to which it should have been but was not submitted or from and after the date of the meeting of Holders of Rights that should have been but was not held, and no subsequent resolution of the Board Directors to amend this Agreement to substantially the same effect shall be effective until confirmed by the Shareholders or Holders of Rights as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The
 Corporation shall give notice in writing to the Rights Agent of any supplement, amendment,
 deletion, variation or rescission to or of this Agreement pursuant to this Section 5.4
 within five Business Days of the date of any such supplement, amendment, deletion, variation
 or rescission, provided that failure to give such notice, or any defect therein, shall
 not affect the validity of any such supplement, amendment, deletion, variation or rescission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Any
 supplement, amendment, deletion, variation or rescission to this Agreement shall be subject
 to the receipt of any requisite approvals or consents from any applicable regulatory
 authority including any necessary approvals of any stock exchanges on which the on which
 the Common Shares are listed for trading.

5.5 Fractional
 Rights and Fractional Common Shares

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Corporation shall not be required to issue fractions of Rights or to distribute Rights
 Certificates which evidence fractional Rights. After the Separation Time, in lieu of
 issuing fractional Rights, the Corporation shall, subject to Section 3.1(b), deliver
 Rights Certificates representing the number of Rights to which each Holder is entitled,
 rounded down to the nearest whole Right and shall not be required to deliver any certificate
 or cash in lieu thereof in respect of any fractions of Rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Share
 Certificates for Common Shares shall only be issued upon written request to the Corporation
 and the Corporation shall not be required in any circumstances to issue fractional Common
 Shares upon exercise of Rights or to distribute certificates which evidence fractional
 Common Shares. In lieu of issuing fractional Common Shares, the Corporation shall pay
 to the registered Holders of Rights Certificates, at the time such Rights are exercised
 as herein provided, an amount in cash equal to the same fraction of the Market Price
 of one Common Share. The Rights Agent shall have no obligation to make any payments in
 lieu of issuing fractions of Rights or Common Shares unless and until the Corporation
 shall have provided to the Rights Agent the amount of funds to be paid in lieu of issuing
 such fractional Rights or Common Shares, as the case may be.

5.6 Rights
 of Action

Subject to the terms of this Agreement, all rights of action in respect of this Agreement, other than rights of action vested solely in the Rights Agent, are vested in the respective Holders of the Rights. Any Holder of Rights, without the consent of the Rights Agent or of the Holder of any other Rights, may, on such Holder's own behalf and for such Holder's own benefit and the benefit of other Holders of Rights, enforce, and may institute and maintain any suit, action or proceeding against the Corporation to enforce such Holder's right to exercise such Holder's Rights, or Rights to which such Holder is entitled, in the manner provided in such Holder's Rights and in this Agreement. Without limiting the foregoing or any remedies available to the Holders of Rights, it is specifically acknowledged that the Holders of Rights would not have an adequate remedy at law for any breach of this Agreement and will be entitled to specific performance of the obligations under, and injunctive relief against actual or threatened violations of the obligations of any Person subject to, this Agreement.

5.7 Regulatory
 Approvals

Any obligation of the Corporation or action or event contemplated by this Agreement shall be subject to the receipt of any requisite approval or consent from any governmental or regulatory authority, including any necessary approvals of any stock exchange on which the Common Shares are listed for trading.

5.8 Declaration
 as to Non-U.S. or Non-Canadian Holders

If in the opinion of the Board of Directors (who may rely upon the advice of counsel) any action or event contemplated by this Agreement would require compliance by the Corporation with the securities laws or comparable legislation of a jurisdiction outside the United States or Canada, the Board of Directors acting in good faith shall take such actions as they may deem appropriate to ensure such compliance. In no event shall the Corporation or the Rights Agent be required to issue or deliver Rights or securities issuable on exercise of Rights to Persons who are citizens, residents or nationals of any jurisdiction other than the United States or Canada, in which such issue or delivery would be unlawful without registration of the relevant Persons or securities for such purposes. The Rights Agent shall be entitled to rely upon the last address as it appears on the register of the Rights or, prior to and including the Separation Time, on the register of the transfer agent for the Voting Shares to determine whether a Person is a citizen, resident or national of any jurisdiction other than the United States or Canada for the purpose of this Section 5.8.

5.9 Notices

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notices
 or demands authorized or required by this Agreement to be given or made by the Rights
 Agent or by the Holder of any Rights to or on the Corporation shall be sufficiently given
 or made if delivered or sent by registered or certified mail, postage prepaid, addressed
 (until another address is filed in writing with the Rights Agent), or sent by facsimile
 or other form of recorded electronic communication, charges prepaid and confirmed in
 writing, as follows:

BITZERO HOLDINGS INC.

1100 One Bentall Centre, 505 Burrard Street, Box 11

Vancouver, BC V7X 1M5

Attention: Mohammed Bakhashwain, Chief Executive Officer and Director

Email: <u>Mohammed@bitzero.com</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notices
 or demands authorized or required by this Agreement to be given or made by the Corporation
 or by a Holder of Rights to or on the Rights Agent shall be sufficiently given or made
 if delivered, sent by registered or certified mail, postage prepaid, addressed (until
 another address is filed in writing with the Corporation), or sent by facsimile or other
 form of recorded electronic communication, charges prepaid and confirmed in writing,
 as follows:

Odyssey Trust Company<br> 323 – 409 Granville Street

Vancouver, BC V6C 1T2

Attention: Director, Client Services

Email: <u>Clients@odysseytrust.com</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notices
 or demands authorized or required by this Agreement to be given or made by the Corporation
 or the Rights Agent to or on the Holder of Rights shall be sufficiently given or made
 if delivered or sent by registered or certified mail, postage prepaid, addressed to such
 Holder at the address of such Holder as it appears upon the Rights Register or, prior
 to the Separation Time, on the registry books of the transfer agent for the Common Shares.
 Any notice which is mailed in the manner herein provided shall be deemed given, whether
 or not the Holder receives the notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any
 notice given or made in accordance with this Section 5.9 shall be deemed to have been
 given and to have been received on the day of delivery, if so delivered, on the third
 Business Day (excluding each day during which there exists any general interruption of
 postal service due to strike, lockout or other cause) following the mailing thereof,
 if so mailed, and on the day of telegraphing, telecopying or sending of the same by other
 means of recorded electronic communication (provided such sending is during the normal
 business hours of the addressee on a Business Day and if not, on the first Business Day
 thereafter). Each of the Corporation and the Rights Agent may from time to time change
 its address for notice by notice to the other given in the manner aforesaid.

5.10 Costs
 of Enforcement

The Corporation agrees that if the Corporation or any other Person the securities of which are purchasable upon exercise of Rights fails to fulfil any of its obligations pursuant to this Agreement, then the Corporation or such Person will reimburse the Holder of any Rights for the costs and expenses (including reasonable legal fees) incurred by such Holder in actions to enforce his or her rights pursuant to any Rights or this Agreement.

5.11 Successors

All the covenants and provisions of this Agreement by or for the benefit of the Corporation or the Rights Agent shall bind and enure to the benefit of their respective successors and assigns hereunder.

5.12 Benefits
 of this Agreement

Nothing in this Agreement shall be construed to give to any Person other than the Corporation, the Rights Agent and the Holders of the Rights any legal or equitable right, remedy or claim under this Agreement; further, this Agreement shall be for the sole and exclusive benefit of the Corporation, the Rights Agent and the Holders of the Rights.

5.13 Governing
 Law

This Agreement and each Right issued hereunder shall be deemed to be a contract made under the laws of the Province of British Columbia and for all purposes shall be governed by and construed in accordance with the laws of such province applicable to contracts to be made and performed entirely within such province.

5.14 Severability

If any Section, Article, term or provision hereof or the application thereof to any circumstance or any right hereunder shall, in any jurisdiction and to any extent, be invalid or unenforceable, such Section, Article, term, provision or right shall be ineffective only as to such jurisdiction and to the extent of such invalidity or unenforceability in such jurisdiction without invalidating or rendering unenforceable or ineffective the remaining Sections, Articles, terms and provisions hereof or rights hereunder in such jurisdiction or the application of such Section, Article, term or provision or rights hereunder in any other jurisdiction or to circumstances other than those as to which it is specifically held invalid or unenforceable.

5.15 Effective
 Date

This Agreement is effective and in full force and effect in accordance with its terms from and after the Effective Date.

5.16 Reconfirmation

This Agreement must be reconfirmed by a resolution passed by a majority of the votes cast by Independent Shareholders who vote in respect of such reconfirmation at every third annual meeting of the Corporation. If the Agreement is not so reconfirmed or is not presented for reconfirmation at such annual meeting, the Agreement and all outstanding Rights shall terminate and be void and of no further force and effect on and from the date of termination of the applicable annual meeting; provided that termination shall not occur if a Flip-in Event has occurred (other than a Flip-in Event which has been waived pursuant to Section 5.1(a) or 5.1(h) hereof), prior to the date upon which this Agreement would otherwise terminate pursuant to this Section 5.16.

5.17 Determinations
 and Actions by the Board of Directors

All actions, calculations and determinations (including all omissions with respect to the foregoing) which are done or made by the Board Directors, in good faith, for the purposes of this Agreement shall not subject the Board of Directors or any Director of the Corporation to any liability to the Holders of the Rights.

5.18 Rights
 of Board of Directors and the Corporation

Without limiting the generality of the foregoing, nothing contained herein shall be construed to suggest or imply that the Board of Directors shall not be entitled to recommend that holders of Voting Shares reject or accept any Take-over Bid or take any other action (including the commencement, prosecution, defence or settlement of any litigation and the submission of additional or alternative Take-over Bids or other proposals to the holders of the Voting Shares with respect to any Take-over Bid or otherwise) that the Board of Directors believes is necessary or appropriate in the exercise of its fiduciary duties.

5.19 Time
 of the Essence

Time shall be of the essence in this Agreement.

5.20 Force
 Majeure

Neither party shall be liable to the other, or held in breach of this Agreement, if prevented, hindered, or delayed in the performance or observance of any provision contained herein by reason of act of God, riots, terrorism, acts of war, epidemics, governmental or regulatory action, earthquakes, or any other similar extreme causes in each case affecting the general population (including, but not limited to, mechanical, electronic or communication interruptions, disruptions or failures which in each case affect the general population). Performance times under this Agreement shall be extended for a period of time equivalent to the time lost because of any delay that is properly excusable under this Section, but such extension is not cumulative and shall not apply in circumstances where performance was not due at the relevant time.

5.21 Execution
 in Counterparts

This Agreement may be executed in any number of counterparts and each of such counterparts shall for all purposes be deemed to be an original and all such counterparts shall together constitute one and the same instrument.

*[The remainder of this page has been intentionally left blank]*

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written.

---

| | |
|:---|:---|
| **BITZERO HOLDINGS INC.** | **BITZERO HOLDINGS INC.** |
| Per: | |
|  | Name: Mohammed Bakhashwain |
|  | Title: Chief Executive Officer and Director |
| **ODYSSEY TRUST COMPANY** | **ODYSSEY TRUST COMPANY** |
| Per: | |
|  | Name: Arlene Agnew |
|  | Title: Director, Client Services |

---

**EXHIBIT A – FORM OF RIGHTS CERTIFICATE**

**BITZERO HOLDINGS INC.**

Certificate No. _________________ ___________________ Rights

**THE RIGHTS ARE SUBJECT TO REDEMPTION, AT THE OPTION OF THE CORPORATION, ON THE TERMS SET FORTH IN THE SHAREHOLDER RIGHTS PLAN AGREEMENT. UNDER CERTAIN CIRCUMSTANCES (SPECIFIED IN SUBSECTION 3.1(b) OF THE SHAREHOLDER RIGHTS PLAN AGREEMENT), RIGHTS BENEFICIALLY OWNED BY AN ACQUIRING PERSON OR TRANSFEREES OF AN ACQUIRING PERSON OR ITS ASSOCIATES OR AFFILIATES (AS SUCH TERMS ARE DEFINED IN THE SHAREHOLDER RIGHTS PLAN AGREEMENT) OR ANY PERSON ACTING JOINTLY OR IN CONCERT WITH ANY OF THEM, MAY BECOME VOID, WITHOUT ANY FURTHER ACTION.**

This certifies that _____________________, or registered assigns, is the registered holder of the number of Rights set forth above, each of which entitles the registered holder thereof, subject to the terms, provisions and conditions of the Shareholder Rights Plan Agreement dated October [●], 2025, as the same may be amended or supplemented from time to time (the "**Shareholder Rights Agreement**"), between Bitzero Holdings Inc., a company incorporated under the laws of the Province of British Columbia (the "**Corporation**") and Odyssey Trust Company, a company incorporated under the laws Alberta (the "**Rights Agent**") (which term shall include any successor Rights Agent under the Shareholder Rights Agreement), to purchase from the Corporation at any time after the Separation Time (as such term is defined in the Shareholder Rights Agreement) and prior to the Expiration Time (as such term is defined in the Shareholder Rights Agreement), one fully paid and non-assessable common share of the Corporation (a "**Common Share**") at the Exercise Price referred to below, upon presentation and surrender of this Rights Certificate together with the Form of Election to Exercise (in the form provided hereinafter) duly executed and submitted to the Rights Agent at its principal office in Vancouver, British Columbia.

The Exercise Price shall initially be [ \* ] per Common Share as at the Separation Time and shall be subject to adjustment in certain events as provided in the Shareholder Rights Agreement. In certain circumstances described in the Shareholder Rights Agreement, the number of Common Shares which each Right entitles the registered holder thereof to purchase shall be adjusted as provided in the Shareholder Rights Agreement.

This Rights Certificate is subject to all of the terms, provisions and conditions of the Shareholder Rights Agreement, which terms, provisions and conditions are hereby incorporated herein by reference and made a part hereof and to which Shareholder Rights Agreement reference is hereby made for a full description of the rights, limitations of rights, obligations, duties and immunities thereunder of the Rights Agent, the Corporation and the holders of the Rights. Copies of the Shareholder Rights Agreement are on file at the registered office of the Corporation and are available upon written request.

This Rights Certificate, with or without other Rights Certificates, upon surrender at any of the offices of the Rights Agent designated for such purpose, may be exchanged for another Rights Certificate or Rights Certificates of like tenor and date evidencing an aggregate number of Rights entitling the holder purchase a like aggregate number of Common Share as the Rights evidenced by the Rights Certificate or Rights Certificates surrendered. If this Rights Certificate shall be exercised in part, the registered holder shall be entitled to receive, upon surrender hereof, another Rights Certificate or Rights Certificates for the number of whole Rights not exercised.

Subject to the provisions of the Shareholder Rights Agreement, the Rights evidenced by this Rights Certificate may be, and under certain circumstances are required to be, redeemed by the Corporation at a redemption price of $0.00001 per Right, rounded town to the nearest whole cent for each holder of Rights.

No fractional Common Shares will be issued upon the exercise of any Right or Rights evidenced hereby, but in lieu thereof a payment by cheque will be made, as provided in the Shareholder Rights Agreement.

No holder of this Rights Certificate, as such, shall be entitled to vote or receive dividends or be deemed for any purpose the holder of Common Shares or of any other securities which may at any time be issuable upon the exercise hereof, nor shall anything contained in the Shareholder Rights Agreement or herein be construed to confer upon the holder hereof, any of the rights of a shareholder of the Corporation or any right to vote for the election of directors or upon any matter submitted to shareholders of the Corporation at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions affecting shareholders of the Corporation (except as provided in the Shareholder Rights Agreement), or to receive dividends, distributions or subscription rights, or otherwise, until the Rights evidenced by this Rights Certificate shall have been exercised as provided in the Shareholder Rights Agreement.

*[The remainder of this page has been intentionally left blank]*

This Rights Certificate shall not be valid or obligatory for any purpose until it shall have been countersigned by the Rights Agent.

WITNESS the facsimile signature of the proper officers of the Corporation.

Date: __________________

---

| | |
|:---|:---|
| **BITZERO HOLDINGS INC.** | **BITZERO HOLDINGS INC.** |
| Per: | |
|  | Name: Mohammed Bakhashwain |
|  | Title: Chief Executive Officer and Director |
| **ODYSSEY TRUST COMPANY** | **ODYSSEY TRUST COMPANY** |
| Per: | |
|  | Name: Arlene Agnew |
|  | Title: Director, Client Services |

---

(To be attached to each Rights Certificate)

**FORM OF ELECTION TO EXERCISE**

(To be exercised by the registered holder if such holder desires to exercise the Rights Certificate.)

TO: ODYSSEY TRUST COMPANY

AND TO: BITZERO HOLDINGS INC.

The undersigned hereby irrevocably elects to exercise ________________________ whole Rights represented by the attached Rights Certificate to purchase the Common Shares issuable upon the exercise of such Rights and requests that certificates for such Common Shares be issued in the name of:

(Name)

(Address)

(City and Province)

Social Insurance Number or other taxpayer identification number.

If such number of Rights shall not be all the Rights evidenced by this Rights Certificate, a new Rights Certificate for the balance of such Rights shall be registered in the name of and delivered to:

(Name)

(Address)

(City and Province)

Social Insurance Number or other taxpayer identification number.

Dated:   Signature:   <br> <br> (Signature must correspond to name as written upon the face of this Rights Certificate in every particular, without alteration or enlargement or any change whatsoever)

Signature Guaranteed: Signature must be guaranteed by a Schedule 1 Canadian chartered bank, a major Canadian trust company or a member of a recognized Medallion Signature Guarantee Program.

**CERTIFICATE**

(To be completed if true)

The undersigned party exercising Rights hereunder, hereby represents, for the benefit of the Corporation, the Rights Agent and all holders of Rights and Common Shares, that the Rights evidenced by this Rights Certificate are not, and, to the knowledge of the undersigned, have never been, Beneficially Owned by an Acquiring Person or an Affiliate or Associate thereof or a Person acting jointly or in concert with an Acquiring Person or an Affiliate or Associate thereof. Capitalized terms shall have the meaning ascribed thereto in the Shareholder Rights Agreement.

Dated:   Signature:   <br> <br> (Signature must correspond to name as written upon the face of this Rights Certificate in every particular, without alteration or enlargement or any change whatsoever)

Signature Guaranteed: Signature must be guaranteed by a Schedule 1 Canadian chartered bank, a major Canadian trust company or a member of a recognized Medallion Signature Guarantee Program.

**NOTICE**

In the event the certification set forth above in the Form of Election to Exercise is not completed, the Corporation will deem the Beneficial Owner of the Rights evidenced by this Rights Certificate to be an Acquiring Person or an Affiliate or Associate thereof (all capitalized terms are used as defined in the Shareholder Rights Plan Agreement) and accordingly such Rights shall be null and void.

**FORM OF ASSIGNMENT**

(To be executed by the registered holder if such holder desires to transfer the Rights Certificate.)

FOR VALUE RECEIVED ________________________hereby sells, assigns and transfers unto ____________________________________________________

(Please print name and address of transferee)

the Rights represented by this Rights Certificate, together with all right, title and interest therein, and does hereby irrevocably constitute and appoint ___________________________________, as attorney, to transfer the within Rights on the books of the Corporation, with full power of substitution.

Dated:   Signature:   <br> <br> (Signature must correspond to name as written upon the face of this Rights Certificate in every particular, without alteration or enlargement or any change whatsoever)

Signature Guaranteed: Signature must be guaranteed by a Schedule 1 Canadian chartered bank, a major Canadian trust company or a member of a recognized Medallion Signature Guarantee Program.

**CERTIFICATE**

(To be completed if true)

The undersigned hereby represents, for the benefit of the Corporation, the Rights Agent and all holders of Rights and Common Shares, that the Rights evidenced by this Rights Certificate are not, and, to the knowledge of the undersigned have never been, Beneficially Owned by an Acquiring Person or an Affiliate or Associate thereof or a Person acting jointly or in concert with an Acquiring Person or an Affiliate or Associate thereof. Capitalized terms shall have the meaning ascribed thereto in the Shareholder Rights Plan Agreement.

Dated:   Signature:   <br> <br> (Signature must correspond to name as written upon the face of this Rights Certificate in every particular, without alteration or enlargement or any change whatsoever)

Signature Guaranteed: Signature must be guaranteed by a Schedule 1 Canadian chartered bank, a major Canadian trust company or a member of a recognized Medallion Signature Guarantee Program.

## Exhibit 99.45

**Exhibit 99.45**

**PRE-EMPTIVE RIGHTS**

**AGREEMENT**

**THIS LETTER AGREEMENT** is dated, and is effective, as of the 16<sup>th</sup> day of May, 2022.

**BETWEEN:**

**OMAR KASSEM ALESAYI HOLDING GROUP COMPANY**, a corporation existing under the laws of the Kingdom of Saudi Arabia

("**OKAG**")

- and –

**BITZERO BLOCKCHAIN INC.**, a corporation existing under the laws of the Province of British Columbia

("**Bitzero**"; together with OKAG, the "**Parties**")

**WHEREAS:**

&nbsp;&nbsp;&nbsp;&nbsp;a) OKAG
 and Bitzero entered into a letter of intent dated April 4, 2022, in respect of a proposed
 investment by OKAG or its nominee of USD$11,000,000 into Bitzero in consideration for
 27,500,000 common shares in the capital of Bitzero ()"**Bitzero Shares** ")
 at a price of USD$0.40 per Bitzero Share (the "**OKAG Investment** "),
 and the transfer by certain founders of Bitzero of 9,166,667 Bitzero Shares to OKAG or
 its nominee for nominal consideration.

&nbsp;&nbsp;&nbsp;&nbsp;b) OKAG
 has requested that Bitzero provide it with certain pre-emptive rights in respect of the
 issuance of securities by Bitzero following the date hereof as a condition to completing
 the OKAG Investment, and Bitzero has agreed to provide OKAG with such additional rights,
 all in accordance with the terms of this letter agreement (this "**Agreement** ").

&nbsp;&nbsp;&nbsp;&nbsp;c) The
 terms of this Agreement are intended to and create binding obligations on the Parties.

**NOW THEREFORE**, in consideration of the covenants and agreements herein contained and other good and valuable consideration (the receipt and sufficiency of which is hereby acknowledged), the Parties hereby covenant and agree as follows:

**Pre-Emptive Rights**

1. Bitzero
 shall not issue, or agree to issue, any Bitzero Shares, or any securities that are convertible
 into or exchangeable for Bitzero Shares ()"**Convertible Securities** "),
 to any person for (i) cash consideration, (ii) crypto mining equipment, and (iii) other
 assets, if such other assets are being transferred to Bitzero as in-kind consideration
 for shares and are transferred as part of a larger financing completed by Bitzero, unless
 Bitzero first makes an offer (the "**Offer**") to issue such Bitzero Shares
 or Convertible Securities (collectively, the "**Offered Securities** ")
 to OKAG or its nominee in the same proportion as the aggregate number of Bitzero Shares
 held by OKAG or its nominee on the date of the Offer is to the aggregate number of Bitzero
 Shares outstanding on the date of the Offer, provided that, if OKAG and its nominee hold
 more than 36,666,667 Bitzero Shares on the date of the Offer, then OKAG and its nominee
 shall be deemed to hold 36,666,667 Bitzero Shares for the purposes of this Section 1.

2. 2. Bitzero
 shall deliver the Offer to OKAG or its nominee at least 15 business days prior to the
 date of issuance of the Offered Securities. The Offer shall specify the price per Offered
 Security.

3. The
 Offer shall specify a deadline by which OKAG or its nominee must deliver to Bitzero a
 written notice (the "**Response**") of its election to purchase all or
 any portion of the Offered Securities and OKAG or its nominee will be deemed to have
 declined the Offer if it does not deliver a Response by such deadline. Such deadline
 shall be no earlier than 10 business days after OKAG receives the Offer. Any Response
 delivered by OKAG or its nominee to Bitzero will be deemed to be a legally binding obligation
 of OKAG or its nominee to subscribe for and purchase the Offered Securities specified
 therein.

4. Any
 Offered Securities not taken up by OKAG or its nominee may be issued to any person within
 three months after the date of such Offer at not less than the price offered to OKAG
 or its nominee. If Bitzero proposes to issue Offered Securities after such three-month
 period, it shall again comply with the procedures set forth in this Agreement.

5. Notwithstanding
 any other provision of this Agreement, if any Offering is to be conducted on a "bought
 deal" or "overnight marketed" basis, then (a) all of the periods for
 response herein shall be reduced to being "as soon as reasonably practicable"
 by Bitzero and OKAG, each acting reasonably and in good faith, having regard to the specific
 circumstances surrounding such Offering and so as not to jeopardize Bitzero's ability
 to complete such transaction, and (b) if practicable, Bitzero may instead complete a
 private placement with OKAG on the same terms (including as to price) as the Offering.

6. This
 Agreement shall automatically terminate, without any further action of the Parties, on
 the date that is the later of (i) 24 months after the date hereof, and (ii) the date
 on which OKAG or its nominee holds less than 3% of the Bitzero Shares.

3. 7. Notwithstanding
 anything to the contrary contained herein, Sections 1 to 4 will not apply to any distributions
 of Offered Securities in the following circumstances:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. a
 rights offering that is open to all shareholders of Bitzero including OKAG or its nominee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. an
 "at-the-market distribution", as such term is defined in National Instrument
 44- 102 – *Shelf Distributions*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. a
 distribution of Offered Securities made only to OKAG ,its nominee, or its affiliates;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. issuances
 upon the conversion, exchange, or exercise of convertible securities.

**Miscellaneous**

8. Any
 notice or other communication to be given hereunder shall, in the case of notice to be
 given to OKAG, be addressed to:

OMAR KASSEM ALESAYI HOLDING GROUP COMPANY

Address: P.O. Box 3035, Jeddah 21471, Saudi Arabia

Attention: Hany Habashy and Amal Ratnayake

Email: hany@alesayi.com and a.ratnayake@alesayi.com

and, in the case of notice to be given to Bitzero, be addressed to:

Bitzero Blockchain Inc.

2416 Main Street, Suite 398

Vancouver, BC V5T 3E2, Canada

Attention: Akbar Shamji

Email: akbar@bitzero.com

or to such other address as any of the parties may designate by notice given to the others.

Each notice shall be personally delivered to the addressee or sent by electronic transmission to the addressee and a notice shall, if delivered prior to 4:30 pm on a business day (local time at the place of receipt), be deemed to be given and received on that day and, in any other case, be deemed to be given and received on the first business day following the day on which it is delivered.

9. No
 disclosure or announcement, public or otherwise, in respect of this Agreement or the
 transactions contemplated herein will be made by any Party without the prior agreement
 of the other Party as to timing, content and method; provided that the obligations herein
 will not prevent any Party from making such disclosure or announcement as its counsel
 advises is required by applicable law or the policies of any applicable stock exchange
 (the "**Exchange** "). If a Party is required by applicable law or the
 policies of the Exchange to make such disclosure or announcement, such Party will use
 commercially reasonable efforts to provide reasonable advance notice of such disclosure
 or announcement to the other Party, including the proposed text of such disclosure or
 announcement, and provide the other Party with a reasonable opportunity in advance to
 review and comment on the same, which comments shall be reasonably considered by the
 first Party.

4. 10. Any
 amounts herein referencing share prices or numbers of shares shall be subject to appropriate
 adjustments in the event of any stock splits, consolidations, reorganizations and the
 like.

11. Each
 of the Parties shall from time to time hereafter and upon any reasonable request of the
 other, execute and deliver, make or cause to be made all such further acts, deeds, assurances
 and things as may be required or necessary to carry out the intent of this Agreement.

12. If
 any term, condition or provision of this Agreement shall be determined to be invalid
 or unenforceable, it shall be deemed to be severable from the remainder of this Agreement
 which shall continue in full force and effect.

13. This
 Agreement shall be governed in all respects, including validity, interpretation and effect,
 in accordance with the laws of the Province of Ontario and the federal laws of Canada
 applicable therein and the undersigned hereby irrevocably attorn to the exclusive jurisdiction
 of the Courts of the Province of Ontario in respect of any matter arising hereunder or
 in connection herewith.

14. No
 amendment, modification, restatement or supplement of this Agreement or any provision
 of this Agreement is binding unless it is in writing and executed each Party. Any waiver
 of any terms or conditions in this Agreement must be made in writing and signed by the
 Parties. The waiver of any of the terms and conditions of this Agreement shall not be
 construed as a waiver to any subsequent breach of the same or any other terms and conditions
 hereof.

15. This
 Agreement will be binding upon, and will inure to the benefit of and be enforceable by,
 the Parties and their respective successors, permitted assigns, executors and administrators.
 No assignment of this Agreement will be permitted without the written consent of the
 other Party.

16. This
 Agreement contain the entire agreement between the Parties with respect to the subject
 matter hereof and supersede all prior agreements and understandings with respect thereto.

17. This
 Agreement may be executed in counterparts and evidenced by a facsimile or PDF email copy
 thereof and all such counterparts or facsimile or PDF counterparts shall constitute one
 document.

5. **[signature page follows]**

6. ---

| | |
|:---|:---|
| **BITZERO BLOCKCHAIN INC.** | **BITZERO BLOCKCHAIN INC.** |
|  | Authorized Signing Officer |
| **OMAR KASSEM ALESAYI HOLDING GROUP COMPANY** | **OMAR KASSEM ALESAYI HOLDING GROUP COMPANY** |
|  | Authorized Signing Officer |

---

## Exhibit 99.46

**Exhibit 99.46**

**THIS AGREEMENT is dated May 26, 2022** 

**Parties**

**(1)** Bitzero Blockchain Inc., incorporated and registered in Vancouver, BC, Canada whose registered office is Company Number: BC1300647, 2416 Main Street, Suite #398, Vancouver, BC, V5T 3E2, Canada **("Bitzero").**

**(2)** **Luxor Technology Corporation**, organized and registered in Bellevue, USA whose office is at 1100 Bellevue Way NE Suite 8A #514 Bellevue, WA 98004 **("Luxor").**

**Background**

Bitzero wishes to engage Luxor to set-up a Bitcoin Cryptocurrency Mining Pool instance, on a cloud host that Luxor and Bitzero will have access to. Luxor, or an affiliate thereof, will provide maintenance of the Software on the terms and subject to the conditions set out in this Agreement.

**Agreed terms**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Interpretation

The following definitions and rules of interpretation in this clause apply in this Agreement. All amounts referenced herein are in United States dollars unless indicated otherwise.

**1.1** <u>Definitions</u>:

**Agreement:** this Agreement including its schedule.

**Business Day:** a day other than a Saturday, Sunday or public holiday in Washington State.

**Business Hours:** 9:00am to 9:00pm Pacific Standard Time on a Business Day.

**Confidential Information:** information that is proprietary or confidential, including the terms and conditions of this Agreement.

**Control:** the ability to direct the affairs of another person, whether by virtue of the ownership of shares, contract or otherwise.

**Effective Date:** the date of this Agreement first written above, coming into effect upon execution by all parties.

**Software:** means the Software of the quantity, type and specifications of a commercially standard cryptocurrency mining pool, to be licensed by Luxor to Bitzero for Bitzero's benefit. Software includes any other software intentionally delivered to Bitzero under this Agreement (such as, for example, updates delivered pursuant to any Maintenance & Support Services and/or Hosting Services provided by Luxor hereunder).

**Mining Hardware:** the computers that utilize Application Specific Integrated Circuit (ASIC) single purpose computer chips to "mine" bitcoin by rapidly submitting cryptographic hash functions to the bitcoin blockchain in an attempt to guess the "correct" hashvalue that meets the network difficulty target for the current mining epoch (which adjusts roughly every two weeks).

**Hosting Fee:** the fee per month for Software that is operational in a given month as set out in the Schedule A.

**Cloud Service Provider:** Google's Cloud Server Hosting Service.

**Downtime Percentage:** the measured percentage of time that the Software is not contributing to the bitcoin hash rate, excluding Force Majeure and other events as set out in Clause 13.1, and failure of the Cloud Service Provider.

**Fail-Over Pool:** an alternate mining pool URL configured into the second and/or third mining pool configuration field in the user interface of each piece of Mining Hardware. The

purpose of a Fail-Over Pool is to ensure that mining rewards are not lost in the event of a mining pool Hosting Service outage. In the event of such an outage, the Mining Hardware is designed (although is not guaranteed) to detect the outage and automatically redirect Hashpower to the Fail-Over Pool URL.

**Hosting Services:** those services listed in clause 2.

**Initial Term:** a period of 36 months commencing on the Effective Date.

**Legislation:** any statute, statutory provision or subordinate legislation or any mandatory rules or guidance issued by any regulatory body having jurisdiction over the applicable party.

**Maintenance & Support Services:** the services as set out in Schedule B attached hereto which are in addition to Hosting Services and billed separately.

**Renewal Term:** each successive twelve (12) months period for which this Agreement is renewed.

**Set-up Infrastructure Costs:** The Set-up costs are the costs to deploy Software on the Cloud Service Provider. Set-up Fees include all of the set-up fees to ensure Software is properly operating as set out in the Schedule A.

**Specification:** Cloud Service Provider requirements as specified to run the Software.

**Mining Pool:** A mining pool is a joint group of cryptocurrency miners who combine their computational resources over a network. Individually, participants in a mining pool contribute their processing power toward the effort of finding a block. This does not include hashrate based exchanges, hashrate contracts etc.

**Pay Per Last "N" Shares (PPLNS):** A Mining Pool payment method that offers payment to miners as a percent of shares they contribute to the pool's total shares ("**N**"), and only pays miners bitcoin produced in coinbase rewards generated when the pool "finds" blocks.

**Full Pay Per Share (FPPS):** A Mining Pool payment method that offers payment to miners equivalent to their pro-rata share of the expected reward per block, which is calculated by adding the block subsidy per block and the estimated transaction fee reward per block, multiplied by the miner's proportional contribution of Hashpower to the total bitcoin network hashrate. Luxor estimates the transaction fee reward per block based on the average of the transaction fees of the latest 144 blocks.

**Block Subsidy:** This is the amount of newly minted bitcoins (BTC) in each block as fixed by the bitcoin protocol – currently 6.25 BTC/block.

**Transaction Fees:** These are fees paid by users of the Bitcoin network to have their transactions included in the current block. These fees are aggregated per block and typically paid out to the miner who solved the block by being combined with the Block Subsidy into one transaction output (the coinbase transaction).

**Block Reward:** This is the total amount of bitcoins awarded to the miner or pool that found a given bitcoin block, and consists of a combination of Block Subsidy and Transaction Fees.

**Coinbase Transaction:** A coinbase transaction is a special type of transaction which emits new bitcoin as a reward for the miner of a block – it has no inputs and can consist of one or more outputs, creating one or more new unspent transaction outputs ("**UTXO**").

**Technology:** Any invention, method, or confidential information, whether instantiated physically or virtually, that applies to design, production, and utilization of services and goods and organizing human activities (including but not limited to hardware, computer codebase, system or methodological design) and its attached Intellectual Property rights (including but not limited to patents, copyrights, trademarks).

**Green Provenance:** originating from or being produced by electricity generation methods classified as sustainable, as defined by their carbon emissions footprint measured in grams of carbon dioxide emitted per kilowatt hour of electricity produced.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Hosting services

**2.1** Subject to Bitzero's compliance with all terms and conditions hereof, including, without limitation, the undertakings in clause 5 and obligations in clause 6, Luxor will, during the Term: (a) deploy the Software at the Cloud Service Provider; and (b) use its reasonable endeavors to (1) keep the Software supplied with updates sufficient for the Software to operate in accordance with the Specification; (2) maintain adequate security protection of the Software; and (3) monitor the performance of the Software for reporting back to Bitzero.

**2.2** Nothing in this Agreement is intended to create any responsibility on Luxor to manage any Bitzero crypto wallets, which shall be the sole responsibility of Bitzero. For clarity, all crypto generated from the Software shall be the property of Bitzero and its customers and any crypto related to Luxor wallets shall be Luxor's sole responsibility.

**2.3** Both parties represent and warrant that no withholding or other tax is required to be withheld from the Software and/or the crypto generated by it and on that basis, both parties will not withhold any such tax.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Maintenance services

**3.1** Subject to Bitzero's compliance with all terms and conditions hereof, including, without limitation, the undertakings in clause 5, Luxor will, during the Term, use its reasonable endeavours to supply Bitzero with the Maintenance & Support Services.

**3.2** Luxor will perform the Maintenance & Support Services necessary to ensure that the Software is operating in accordance with the Specification. Luxor will update the Software as needed as part of the Maintenance & Support Services. Bitzero acknowledges and understands that the Software may not be profitable based on several factors, including the price of crypto, and the network hash rate for the blockchain in question and that in no event shall Luxor have any liability derived from or related to any lack of profitability and/or any costs related to the Software, the operation of the Mining Pool or any of the services to be provided by Luxor hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Luxor's undertakings

**4.1** Subject to Bitzero's compliance with all terms and conditions in clause 5 Luxor undertakes to provide the Hosting Services with reasonable care and skill.

**4.2.** Luxor will build and deploy for Bitzero a PPLNS mining pool. Bitzero will have full commercial rights to naming the pool for marketing, investment, or any other business or commercial purpose.

**4.3** Luxor will engineer a coinbase transaction solution that creates two separate Unspent Transaction Outputs (UTXO) from the initial coinbase transaction. One UTXO will consist of 6.25 BTC (the current Block Subsidy) and will reduce to 3.125 BTC after the next halving (estimated to occur in May 2024). The other UTXO will consist of whatever amount of BTC is left from the total Block Reward, which will equate to

the exact amount of Transaction Fees that were included in the block in question. The purpose of this separation, as Luxor understands it from Bitzero interaction and specification, is to keep newly emitted bitcoin (coming from the Block Subsidy) separate and distinct from "old" bitcoin included in the block from Transaction Fees so that Bitzero can market the newly emitted bitcoin as "green provenance," or produced using low-carbon displacement generation technology.

**4.2** Luxor is responsible for ensuring that the Bitzero Pool is capable of receiving the Hash Power (as defined below). Bitzero is responsible for having the requisite hardware and software necessary to deploy and access the Bitzero Pool. Luxor shall not be responsible or liable for any errors or failures from any malfunction of Bitzero's hardware or software. Bitzero and Luxor shall jointly test whether the Hash Power can be delivered to Bitzero's Pool prior to the commencement of the Hosting Services.

**4.3** Luxor represents and warrants that it has sufficient technical experience and knowhow to deploy crypto Mining Pool infrastructure to mine cryptocurrencies.

**4.4** Luxor, due to the nature of crypto Mining Pool infrastructure, is not responsible or liable for losses due to:

(a) Force Majeure;

(b) Any requests from a government authority duly qualified to inspect or request information by law;

(c) Any changes to Legislation that might have a negative effect on the Bitzero ESG Pool or any of the other products and/or services to be delivered hereunder by Luxor.

**4.5** Luxor is responsible for providing the Hosting Services such that aggregate monthly Downtime Percentage does not exceed 2%, excluding Force Majeure and other events as set out in Clause 13.1, and failure of the Cloud Service Provider. In the event that monthly Downtime Percentage exceeds 2%, Luxor will provide financial compensation to Bitzero, paid in bitcoin (BTC), equivalent to up to 8 hours of the FPPS value of Miner's average total hashrate, calculated on a 144 block look-back basis (roughly equivalent to 24 hours) or, using the same compensation methodology, the value of lost Hashpower accrued between Hosting Service outage occurrence and the time Bitzero Hashpower is redirected to the Fail-Over Pool, whichever is shorter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Bitzero's undertakings

**5.1** Bitzero undertakes: (a) to comply with all applicable Legislation in the ownership of the Software and performance of its obligations under this Agreement including the use of the Services; and (b) to immediately notify Luxor in the event that Bitzero has received notice from any governmental agency that its ownership of the Software or use of the Services is in violation of applicable Legislation.

**5.2** Bitzero and Bitzero's clients shall provide the hash-rate power of the Software that is operational (the "**Hash Power**") to Luxor's mining pool (the "**Bitzero ESG Pool**"). Bitzero acknowledges that because of the PPLNS payout method used by the pool, there may be significant payout frequency volatility. Bitzero acknowledges that both high and low luck blocks (e.g. blocks found with a luck factor significantly greater than or significantly less than 1) are frequent due to the probabilistic nature of mining and do not indicate an error in the mining pool technology. Over time the luck factor will revert to a mean of one.

**5.3** Bitzero shall configure at least one Fail-Over Pool URL (either the Luxor public stratum URL, or a competing Mining Pool stratum URL, at the sole discretion of Bitzero) into each piece of Mining Hardware it operates in order to ensure it does not lose mining revenue in the event of a Hosting Services outage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Prices and payment

**6.1** Bitzero will pay Luxor for the Set-up Infrastructure Costs set forth in Schedule A in accordance with the following payment schedule: (i) 33.3% (one third) of the total Set-up Infrastructure Costs (plus tax) will be due and payable to Luxor immediately upon signing of this Agreement, (ii) 33.3% (one third) of the total Set-up Infrastructure Costs (plus tax) will be due and payable to Luxor upon public deployment of the Bitzero ESG Pool, (iii) and the final 33.3% (one third) of the total Set-up Infrastructure Costs (plus tax) shall be due and payable to Luxor on the six (6) month anniversary of the date the Bitzero ESG Pool is publicly deployed.

**6.2** In consideration for the provision of the Hosting Services and Maintenance & Support Services, Bitzero will pay to Luxor, or pay directly to the third party provider, the Hosting Fees set forth in Schedule A. Such fees shall be paid by Bitzero within 3 business days of such fees becoming due and payable.

**6.3** Unless otherwise expressly stated, all prices are stated exclusive of sales taxes, which shall be paid by Bitzero at the rate and in the manner prescribed by law.

**6.4** At least 45 days prior to the commencement of any Renewal Term, Luxor shall notify Bitzero of the proposed increase in the Hosting Fees, including evidence of their cost base increase, provided that such increase shall not exceed 30%.

**6.5** No fees are refundable once paid by Bitzero to Luxor except as this Agreement may expressly provide. If Bitzero fails to make any fee payment under this Agreement when due, Luxor may charge interest on the past due amount at 2% per month calculated daily and compounded monthly or, if lower, the highest rate allowed by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. Warranties and non-disparagement

**7.1** The parties represent, warrant and undertake that they have full capacity and authority and all necessary consents to enter into and to perform this Agreement and that this Agreement is executed by its duly authorised representative and represents a binding commitment on it. Luxor represents and guarantees that it owns all IP in the Software licensed under this agreement, or have the right to grant sublicenses under third parties' IP, as the case may be (see 8.2 and 8.3).

**7.2** Both parties agree to take no action which is intended, or would reasonably be expected, to harm the other party's reputation or which would reasonably be expected to lead to unwanted or unfavourable publicity to the other party. Such actions including disparaging remarks, comments or statements that impugn the character, honesty, integrity, morality or business acumen or abilities in connection with any aspect of the operation of the other party's business. This clause 7.2 does not prohibit either party from taking actions to legally enforce this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Technology

**8.1** Neither this Agreement nor the provision or receipt of Services transfers to either party any ownership or proprietary rights in the other party's Technology.

**8.2** All right, title, and interest in the Software to be provided by Luxor is and shall remain solely the property Luxor or, in the case of unmodified software or services provided by third parties and which is provided to Bitzero as part of or in connection with the Software, to the owner or

licensor of such intellectual property. Bitzero will have no rights in the Software except as this Agreement expressly grants. This Agreement provides Bitzero with no licenses, ownership or rights other than those expressly provided herein.

**8.3** The title of the Software will remain with Luxor as further set forth in Section 8.2 of this Agreement. Bitzero is granted a limited, non-transferable, worldwide, royalty-free, revocable license to use the Software for the term of this Agreement including any extensions or new future agreements.

**8.4** Notwithstanding paragraph 8.1, as part of this Agreement Bitzero and Luxor agree to jointly file a provisional patent to protect the methodology of splitting the coinbase transaction into two Unspent Transaction Outputs for the purposes of enabling verifiable green provenance bitcoins. If this patent is accepted and granted as an industrial patent, Luxor and Bitzero shall split the benefits that accrue as a result of the ownership of this intellectual property - commercial, financial, licensing, or otherwise – on a 50%/50% basis. The Parties agree that this patent – coinbase transaction splitting towards the end of verifiable green provenance bitcoin – is the only jointly held intellectual property considered under the auspices of this agreement, and that no other intellectual property sharing or commercial rights are considered on behalf of either party.

**8.5** For the avoidance of doubt, Luxor will be operationally and financially responsible for the following activities related to the patent process:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) preparing, filing, and prosecuting the patent application,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) paying all expenses incurred in the preparation, filing, and prosecuting of patent application,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) filing patent application in jurisdictions chosen at the sole discretion of Luxor,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) filing of required documents to vest ownership in the patent to Luxor and Bitzero,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) enforcement of patent if infringement occurs

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) assignment of rights required to ensure that the Parties will effectively co-own the patent

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) allocation of liabilities in the case of a third-party infringement leads to a product liability suit

**8.6** Bitzero acknowledges that the only patent application considered as eligible for the joint ownership described above is the application to patent the methodology of splitting the coinbase transaction into two UTXOs for the purposes of enabling auditors to verify the green provenance (meaning the environmentally sustainable production) of certain UTXOs*.* No other transaction splitting use case that exists today or in the future will fall under this patent application. Further, this patent application may be a dependent patent of a broader family of patents owned by Luxor today or in the future, and Bitzero acknowledges that it holds no claim or right to any other patent or family of patents held by Luxor or its affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. Limitation of liability

**9.1** The following provisions set out the entire financial liability of both parties (including any liability for the acts or omissions of its shareholders, officers, directors, employees, representatives and agents) to both parties in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any breach of this Agreement howsoever arising; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any representation, misrepresentation (whether innocent or negligent), statement or tortious act or omission (including negligence) arising under or in connection with this Agreement.

**9.2** Except as expressly and specifically provided in this Agreement, all warranties, conditions and other terms implied by statute, common law or otherwise are, to the fullest extent permitted by law, excluded from this Agreement.

**9.3** Both parties shall not in any circumstances be liable, whether in tort, contract, misrepresentation (whether innocent or negligent) or otherwise for:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) loss of profits (including crypto generated or expected to be generated by the Software); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) loss of business; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) depletion of goodwill or similar losses; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) loss of anticipated savings; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) loss of goods or damage to property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) loss of use; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) loss or corruption of data or information; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any special, indirect, consequential or pure economic loss, costs, damages, charges or expenses.

**9.4** Luxor's total aggregate liability in contract, tort (including negligence or breach of statutory duty howsoever arising), misrepresentation (whether innocent or negligent), restitution or otherwise, arising in connection with the performance or contemplated performance of this Agreement shall in all circumstances be limited to the total amount of Hosting Fees paid by Bitzero to Luxor pursuant to this Agreement during the six (6) month period immediately preceding the event giving rise to Luxor's liability.

**9.5** Notwithstanding the event of any failure of the Software to function in accordance with the Specification caused by Luxor's failure to provide the Hosting Services and/or Maintenance & Support Services in accordance with the terms of this Agreement, Bitzero's sole remedy and Luxor's only obligation and liability to Bitzero shall be provided in accordance with clause 9.

**9.6** This clause 9 shall survive termination of this Agreement, howsoever arising.

**9.7** Under no circumstance will Luxor be responsible for mined coins once the coins are sent from the blockchain to the wallet specified by Bitzero. Bitzero agrees to provide industry standard custodianship for mined coins.

**9.8** Indemnification. Bitzero will indemnify, hold harmless, and defend Luxor, its subsidiaries, employees, agents, directors, owners, executives, representatives, and subcontractors from any liability, claim, judgment, loss, cost, expense or damage, including attorneys' fees and legal expenses, brought by any party on account of the Software or Bitzero's use of the Software, or any injuries or damages sustained by any person or property due to any direct or indirect act, omission, neglect or misconduct of Bitzero, its agents, representatives, employees, contractors and their employees and subcontractors and their employees. Luxor will indemnify, hold harmless, and defend Bitzero, its subsidiaries, employees, agents, directors, owners, executives, representatives, and subcontractors from any liability, claim, judgment, loss, cost, expense or damage, including attorneys' fees and legal expenses, brought by any party on account of the Software or Luxor's engineering of the Software, or any injuries or damages sustained by any person or property due to any direct or indirect act, omission, neglect or misconduct of Luxor, its agents, representatives, employees, contractors and their employees and subcontractors and their employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. No Guarantee

**10.1** This Agreement concerns the engineering and maintenance of software by Luxor on behalf of Bitzero. In

entering into this agreement, Luxor makes no guarantee, warranty, or commitment, whether explicitly or implicitly, that the software engineering solution provided by Luxor to Bitzero will result in Bitzero being able to monetize the software platform aside from the already stipulated commercial terms annotated in Schedule A ("Additional Fees"). Whether it is possible or prudent to monetize the coinbase transaction splitting method utilized in this PPLNS pool through the creation of verifiable green provenance bitcoins is a commercial question that Bitzero is alone responsible for addressing.

**10.2** Bitzero acknowledges that the software engineering method for transaction splitting outlined in section 4.3 of this Agreement does not guarantee, and Luxor does not making any guarantee, warranty, or commitment, that the 6.25 BTC (or 3.125 BTC after the halving) emitted the Block Subsidy UTXO of each coinbase transaction will not contain bitcoins that have previously been in circulation. The Bitcoin Core codebase as it is currently written does not differentiate between newly emitted coins and transaction fees when constructing the coinbase transaction. The transaction splitting solution engineered by Luxor is only designed to enable Bitzero to claim that a certain percentage of its Bitcoin production comes from the Block Subsidy, which in turn could enable a marketing team to claim that Bitzero bitcoin production is X% green provenance or some such commercial framing.

**10.3.** Luxor bears no responsibility for the business development, marketing, advertising, sales, or public education that may be required to build the user base of the *<u>Bitzero ESG Pool</u>.* Bitzero is engaging and retaining Luxor for the sole purpose of providing the software engineering and maintenance for the pool, and acknowledges that it will manage its own marketing and business development efforts in pursuit of its commercial interests without the public or private support of Luxor or any of Luxor's subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. Term and termination

**11.1** This Agreement shall commence on the Effective Date. Unless terminated earlier in accordance with this clause this Agreement shall continue for the Initial Term and shall be automatically extended for subsequent Renewal Terms (incorporating the proposed Hosting Fee set out in clause 6), unless either party provides at least sixty (60) days' written notice to the other party prior to the expiration of the Initial Term or any Renewal Term, as the case may be, of its intent to not enter into the next Renewal Term.

**11.2** Without prejudice to any other rights or remedies to which Luxor may be entitled, Luxor may terminate the Agreement or suspend and/or limit the Services without liability in any circumstances to Bitzero if: (a) Bitzero or any of its affiliates commits a material breach of any of the terms of this Agreement and (if such a breach is remediable in Luxor's view) fails to remedy that breach within seven (7) days of Bitzero being notified of the breach.

**11.3** Without prejudice to any other rights or remedies to which Bitzero may be entitled, Bitzero may terminate the Agreement or suspend and/or limit the Services without liability in any circumstances to Luxor if: (a) Luxor or any of its affiliates commits a material breach of any of the terms of this Agreement and (if such a breach is remediable in Bitzero's view) fails to remedy that breach within seven (7) days of Luxor being notified of the breach.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. Effects of termination

**12.1** Upon termination of this Agreement however arising:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Bitzero will, at its cost, remove (or procure the removal of) the Software from the Cloud Service Provider as soon as reasonably practicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Luxor will cease provision of the Hosting Services and the Maintenance & Support Services immediately;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any sums owed by Bitzero to Luxor shall become immediately due and payable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any and all rights, remedies, obligations or liabilities of the parties that have accrued up to the date of termination, including the right to claim damages in respect of any breach of the Agreement which existed at or before such date shall not be affected or prejudiced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the continuation after termination of any provision expressly stated to survive or implicitly surviving termination shall not be affected or prejudiced; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) subject to this clause 12.1, all rights of Luxor under this Agreement shall terminate.

**12.2** The termination of this Agreement shall not of itself give rise to any liability on the part of either party to pay any compensation for loss of profits or goodwill, to reimburse for any costs relating to or resulting from such termination, or for any other loss or damage howsoever arising.

**12.3** This contract in its entirety may be terminated by Bitzero at any time with a 60-day written notice before ending services. Bitzero must compensate Luxor with a break fee that is $200,000 USD if within twelve (12) months of the execution date.

**12.4** This contract in its entirety may be terminated by Luxor at any time with a 120-day written notice before ending services. Luxor must compensate Bitzero with a USD $300,000 break fee if within twelve (12) months of the execution date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. Force majeure

**13.1** Notwithstanding anything to the contrary herein, the parties shall not in any circumstances be in breach of this Agreement nor liable for delay in performing, or failure to perform, any of its obligations under this Agreement if such delay or failure results from events, circumstances or causes beyond its reasonable control, including, without limitation, strikes, lock-outs or other industrial disputes (whether involving the workforce of Luxor or any other party), failure of a utility service or the Cloud Service Provider (including power outages, power curtailments and planned or unplanned maintenance) or transport or telecommunications network, system failure, act of God, invasion, terrorist attack or threat of terrorist attack, war (whether declared or not) or threat or preparation for war, riot, civil commotion, malicious damage, compliance with any law or governmental order, rule, regulation or direction, accident, breakdown of plant or machinery, fire, explosion, flood, storm, earthquake, subsidence, epidemic or other natural disaster, or default of suppliers or sub-contractors (any such event being "**Force Majeure**").

**13.2** If Luxor is prevented from providing Services by reason of Force Majeure, (a) Luxor will notify Bitzero as soon as reasonably practicable; and (b) Luxor's obligations to Bitzero will be suspended for the duration of the Force Majeure and for avoidance of doubt, Bitzero will not be required to pay the Hosting Fees for the duration of the Force Majeure. Where the Force Majeure affects the delivery of Services to Bitzero for a period of greater than 30 days, Bitzero will have the right to terminate this Agreement

without liability to the other party except for accrued rights and obligations prior to the Force Majeure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. Anti-bribery & AML (Anti Money Laundering)

**14.1** Both parties shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) comply with all applicable laws, regulations, codes and sanctions relating to anti-bribery and anti-corruption and anti-money laundering ("**Relevant Requirements**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) have and shall maintain in place throughout the term of this Agreement its own policies and procedures to ensure compliance with the Relevant Requirements and will enforce them where appropriate; and

**14.2** If a duly authorized government authority with proper jurisdiction requests information on this Agreement, Luxor will comply and promptly inform Bitzero of any such request. At the same time, Bitzero agrees and holds harmless Luxor from providing such information to said authorities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. Confidentiality

**15.1** This contract is also covered under the MNDA agreement signed by Bitzero and Luxor on May 23<sup>rd</sup>, 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. Protection and processing of personal data

Each party shall comply with its respective obligations under the provisions of applicable data and personal information protection laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. Waiver

No failure or delay by a party to exercise any right or remedy provided under this Agreement or by law shall constitute a waiver of that or any other right or remedy, nor shall it prevent or restrict the further exercise of that or any other right or remedy. No single or partial exercise of such right or remedy shall prevent or restrict the further exercise of that or any other right or remedy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. Rights and remedies

Except as expressly provided in this Agreement, the rights and remedies provided under this Agreement are in addition to, and not exclusive of, any rights or remedies provided by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. Severance

**19.1** If any provision or part-provision of this Agreement is or becomes invalid, illegal or unenforceable, it shall be deemed modified to the minimum extent necessary to make it valid, legal and enforceable. If such modification is not possible, the relevant provision or part-provision shall be deemed deleted. Any modification to or deletion of a provision or part-provision under this clause shall not affect the validity and enforceability of the rest of this Agreement.

**19.2** If any provision or part-provision of this Agreement is invalid, illegal or unenforceable, the parties shall negotiate in good faith to amend such provision so that, as amended, it is legal, valid and enforceable, and, to the greatest extent possible, achieves the intended commercial result of the original provision.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. Entire agreement

**20.1** This Agreement and the Mutual Confidentiality and Non-disclosure Agreement dated May 23<sup>rd</sup>, 2022 between the parties constitute the entire agreement between the parties and supersedes and extinguishes all previous agreements, promises, assurances, warranties, representations and understandings between them, whether written or oral, relating to its subject matter.

representatives).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. Assignment

**21.1** Both parties shall not, without the prior written consent (which shall not be unreasonably withheld), assign, transfer, charge, sub-contract or deal in any other manner with all or any of its rights or obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. Governing law

This Agreement and any disputes or claims arising out of or in connection with it or its subject matter or formation (including non-contractual disputes or claims) are governed by and construed in accordance with the laws of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23. Jurisdiction

The Parties agree to submit to the exclusive jurisdiction of the courts of Delaware.

This Agreement has been entered into on the date first stated above.

---

| | |
|:---|:---|
| Signed by **Naeem Walji** <br> for and on behalf of **Bitzero Blockchain Inc.**  | <br> ____________________________ |
| Signed by **Ethan Vera** <br> for and on behalf of **Luxor Technology Corporation**  | <br> ____________________________ |

---

**Schedule A**

**Financial Requirements**

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**1. Set-up Infrastructure Costs** | &nbsp;&nbsp; A fixed setup fee of US$1,050,000 for the Software shall be paid by Bitzero to Luxor. <br> Payments shall be made in the following cadence: 33.3% ($350000) will be due immediately upon signing of this Agreement, 33.3% ($350000) will be due immediately upon public deployment of the Bitzero ESG Pool, and the final 33.3% ($350000) will be due immediately on the 6 month anniversary of the date of public deployment of the Bitzero ESG Pool.<br>|
| &nbsp;&nbsp;&nbsp;**2. Hosting Fees** | &nbsp;&nbsp;Bitzero will pay the Variable Monthly Cloud Hosting Fee for Google Cloud (or Luxor will pay such bill and be reimbursed by Bitzero). The parties ideally will achieve this via passthrough billing from Google to Bitzero. Price TBD. |
| &nbsp;&nbsp;&nbsp;**3. Pool Software Fees** | &nbsp;&nbsp; The Bitzero ESG Pool fees will be split by Luxor and Bitzero based on a PPLNS Reward system.<br>Luxor shall receive 0.20% of each total miner reward (Block Reward + Transaction Fees) received by the Bitzero ESG Pool. Bitzero will receive the remaining 99.8% of each total miner reward.  |
| &nbsp;&nbsp;&nbsp;**4. Additional Fees** | &nbsp;&nbsp; All other fees collected by Bitzero will be kept by Bitzero. Including but not limited to: <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. All Bitzero client onboarding fees <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. All Transaction Fees recovered from Bitzero client opt-outs  |

---

**Schedule B – Maintenance & Support Services**

---

| | |
|:---|:---|
| &nbsp;&nbsp; Bitzero ESG Pool Functionality<br>| &nbsp;&nbsp;As per 4.3 Luxor is responsible for ensuring that the Bitzero ESG Pool is capable of receiving the Hash Power. This includes basic upkeep of the pool. Any issue with the Bitzero ESG Pool not receiving Hash Power correctly will be fixed by Luxor at no cost to Bitzero. |
| &nbsp;&nbsp;New Feature Request | &nbsp;&nbsp;Net new features that differentiate from Luxor's current feature offering will be discussed in separate agreement as the needs and/or requests arise on the part of Bitzero. |

---

## Exhibit 99.47

**Exhibit 99.47**

---

| | |
|:---|:---|
| &nbsp;&nbsp;ORIGINAL | &nbsp;&nbsp;ENGLISH OFFICE TRANSLATION |
| &nbsp;&nbsp;**AVTALE OM GRUNNLEIE** | &nbsp;&nbsp;**LEASE AGREEMENT** |
| &nbsp;&nbsp;Denne avtale om grunnleie ("**Avtalen**") er inngått mellom:<br>(1) **Exanorth AS**, org nr 921 677 421, ("**Exanorth**"), og<br>(2) **Sowrer AS**, org nr 927 234 475 ("Leietaker").<br>| &nbsp;&nbsp;This lease agreement ("**Agreement**") is entered into between:<br>(1) **Exanorth AS**, org no 921 677 421, ("**Exanorth**"), and<br>(2) **Sowrer AS**, org no 927 234 475 (the "**Lessee**"). |
| &nbsp;&nbsp;**1. BAKGRUNN** | &nbsp;&nbsp;**1. BACKGROUND** |
| &nbsp;&nbsp;Exanorth har utviklet en tomt med gnr 50 bnr 44 i Namsskogan kommune (Tunnsjødalveien 178, 7892 Trones, Norge, heretter omtalt som "**Elendommen**"). Pâ Eiendommen er det tilgang til nødvendig nettkapasitet pâ inntil 40 MW for drift av datasentervirksomhet. I henhold til en leie- og overføringsavtale mellom Exanorth og Leietaker ("**Overføringsavtalen**"), datert 13. april 2024, gis Leietaker en rett til â leie et avgrenset areal av Eiendommen for drift av datasentervirksomhet pâ inntil 17 MW. Denne Avtalen inngâs for â formalisere betingelsene for leieforholdet. Avtalen trer i kraft og partenes rettigheter og forpliktelser i henhold til Avtalen tar til â gjelde fra gjennomføring av gjennomføring av Overføringsavtalen. | &nbsp;&nbsp;Exanorth has developed a property with land no 50 title no 44 in Namsskogan municipality (Tunnsjødalveien 178, 7892 Trones, Norway, hereinafter referred to as the "**Property**"). On the Property, there is access to necessary grid capacity of up to 40 MW for the operation of data center business. According to a lease transfer and governance agreement between Exanorth and the Lessee (the "**LTGA**"), dated 13 April 2024, the Lessee is granted a right to lease a delimited area of the Property for the operation of data center business of up to 17 MW. This Agreement is entered into to formalize the terms of the lease. The Agreement enters into force and the parties' rights and obligations pursuant to the Agreements are effective as of closing of the LTGA. |
| &nbsp;&nbsp;**2. LEIEOBJEKT** | &nbsp;&nbsp;**2. THE LEASE OBJECT** |
| &nbsp;&nbsp;Det areal Leietaker leier bestâr av den del av Eiendommen som inntegnet pâ kart inntatt som <u>Bilag 1</u> ("**Leiearealet**").<br>Leiearealet skal benyttes til drift av Leietakers datasentervirksomhet, noe som innebærer at Leietaker bâde vil forestâ drift av egen datakapasitet og eget datautstyr og at Leietaker vil levere sâkalte vertstjenester (En: "hosting services") til tredjeparter.<br>| &nbsp;&nbsp;The area the Lessee leases consists of the part of the Property as outlined on the map included as <u>Appendix 1</u> (the "**Leased Area**"). The Leased Area shall be used for the operation of the Lessee's data center business, which means that the Lessee will both operate its own data capacity and own data equipment and that the Lessee will provide so-called hosting services to third parties. |
| &nbsp;&nbsp;**3. LEIESUM MV** | &nbsp;&nbsp;**3. RENT ETC.** |
| &nbsp;&nbsp;Leietaker skal betale USD 120 000 (eksklusive mva) i leie per år for leien av Leiearealet.<br>Leien forfaller til betaling 15. mai hver år, første gang 15. mai 2024. Exanorth utsteder faktura til Leietaker med slikt innhold som er påkrevd i henhold til gjeldende regelverk, og med opplysninger om Exanorths kontonummer for betaling av leien. | &nbsp;&nbsp;The Lessee shall pay USD 120,000 (exclusive of VAT) in rent per year for the lease of the Leased Area.<br>The rent is due for payment May 15 each year, the first time May 15, 2024. Exanorth issues an invoice to the Lessee with such content as is required in accordance with applicable regulations, and with information about Exanorth's account number for payment of the rent.<br>|

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**4. MERVERDIAVGIFT** | &nbsp;&nbsp;**4. VALUE ADDED TAX (VAT)** |
| &nbsp;&nbsp;Dersom Leietaker er eller blir registrert i Merverdiavgiftsregisteret og skal bruke hele eller deler av Leiearealet i den registrerte virksomheten, skal Leiearealet helt eller delvis omfattes av Utleiers frivillige registrering i Merverdiavgiftsregisteret og Leietaker innestår for at vilkårene for at Leiearealet skal omfattes av Utleieres frivillige registrering er oppfylt fra tidspunktet Leietaker gir melding til Utleier om at vilkårene for registrering er oppfylt og ut Leieperioden. Utleier vil i et slikt tilfelle ha rett til å legge merverdiavgift med den til enhver tid gjeldende sats på leien for de deler av Leiearealet som omfattes av Utleiers frivillige registrering og eventuelle andre kostnader knyttet til arealer som skal omfattes av Utleiers frivillige registrering.<br>Leietaker skal umiddelbart gi Utleier opplysninger om forhold som kan medføre en endring i den avgiftsmessige status til hele eller deler av Leiearealet. Leietaker skal også innen 14 dager skriftlig besvare Utleiers årlige leietakererklæringer om Leietakers bruk av Leiearealet gjennom året og bygningsmessige tiltak foretatt på Leiearealet av Leietaker.<br>Leietaker skal holde Utleier skadesløs for ethvert tap Utleier måtte bli påført, herunder redusert fradragsrett og tilbakeføring/justering av fradragsført inngående merverdiavgift samt renter, tilleggsskatt og øvrige kostnader forbundet med slikt tap, som følge av regelendringer for Leietakers bruk/virksomhet eller Leietakers bruksendring, fremleie, selskapsmessige/organisatoriske endringer, formelle mangler eller forsømmelser o.l. Ved beregningen av Utleiers tap skal det tas hensyn til skattemessige konsekvenser for Utleier.<br>| &nbsp;&nbsp;If the Lessee is or becomes registered for Norwegian VAT and shall use the Leased Area or parts thereof in its VAT liable business, the Leased Area or parts thereof shall be included in the Lessor's voluntary registration in the VAT Register and the Lessee warrants that the conditions for including the Leased Area or parts thereof in the Lessor's voluntary VAT registration are met from the time of notification regarding the conditions for registration are met and throughout the Lease Term. The Lessor shall in such case be entitled to add VAT at the rate applicable at any given time to the rent for the parts of the Leased Area that are comprised by the Lessor's voluntary VAT registration and any other costs relating to any areas that are to be included in the Lessor's voluntary VAT registration.<br>The Lessee shall immediately inform the Lessor of any circumstances that may result in changes to the VAT status of all or part of the Leased Area. The Lessee shall also within 14 days complete in writing the Lessor's annual lessee declarations concerning the Lessee's use of the Leased Area during the year and any building works carried out on the Leased Area by the Lessee.<br>The Lessee shall indemnify the Lessor in respect of any loss that may be incurred by the Lessor, including any reduced right of deduction and any reversal/adjustment of deducted input VAT, as well as any interest, penalty tax and other costs associated with such loss, as the result of changes to rules governing the use/activities of the Lessee or changes to such use on the part of the Lessee, subleases, corporate/organisational changes, formal deficiencies or omissions, etc. In calculating the amount of the Lessor's loss, any tax implications on the part of the Lessor shall be taken into account.<br>|

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;Eventuelle krav knyttet til merverdiavgift forfaller til betaling ved påkrav. Krav som følge av Utleiers plikt til tilbakeføring/nedjustering av fradragsført inngående merverdiavgift forfaller imidlertid til betaling tidligst 14 dager før forfall for Utleiers betalingsplikt til staten. | &nbsp;&nbsp;Any claim related to VAT shall fall due for payment upon demand. However, any claim as the result of the Lessor's obligation to reverse/adjust deducted input VAT shall fall due for payment no earlier than 14 days before the due date for the Lessor's payment obligation via-à-vis the State. |
| &nbsp;&nbsp;**5. LEIETID** | &nbsp;&nbsp;**5. THE LEASE PERIOD** |
| &nbsp;&nbsp;Leieforholdet løper i 15 år fra tidspunktet for gjennomføring av Overføringsavtalen som nevnt i punkt 1 ovenfor. Avtalen kan ikke sies opp i leietiden, med mindre det skjer i forbindelse med utøvelse av slik forkjøpsrett som nevnt nedenfor. | &nbsp;&nbsp;The lease shall have a duration of 15 years from closing of the Purchase Agreement as mentioned in Clause 1 above. The Agreement cannot be terminated during the lease term, unless in connection with the exercise of such right of first refusal as detailed below. |
| &nbsp;&nbsp;**6. OVERDRAGELSE** | &nbsp;&nbsp;**6. TRANSFER** |
| &nbsp;&nbsp;Leietaker kan overdra eller overføre Avtalen uten Exanorths samtykke og/eller fremleie Leiearealet (på slike vilkår som Leietaker anser hensiktsmessig) til tredjeparter: (i) hvis det skjer sammen med overdragelse av de øvrige rettigheter og forpliktelser som Leietaker har i tilknytning til sin bruk av Leiearealet; eller (ii) ellers hvis den overtakende tredjepart i det vesentlige viderefører samme virksomhet som Leietaker. De rettigheter og plikter som er tillagt Leietaker går ved slik overdragelse over til Leietakers rettsetterfølger, overtakende tredjepart eller fremleietaker.<br>Ved et Kontrollskifte skal denne Avtalen og/eller partenes rettigheter i henhold til denne (og/eller rettighetene til tredjeparter som har fått slike rettigheter i henhold til første ledd ovenfor), uavhengig av hva som måtte følge av Avtalen for øvrig, og så langt det ikke strider med regler som gjelder for Avtalen, fortsette å gjelde fullt ut på samme måte som før Kontrollskiftet.<br>I dette punkt 5 skal "Kontrollskifte" bety endring av bestemmende innflytelse i henhold til aksjeloven § 1-3 (2).<br>| &nbsp;&nbsp;The Lessee may transfer or assign the Agreement without Exanorth's consent and/or sublease the Leased Area (on any terms it deems appropriate) to any third party: (i) if it occurs together with the transfer of the other rights and obligations that the Lessee has in connection with its use of the Leased Area; or (ii) otherwise, when the incoming third party is an entity which continues same or substantial same business as the Lessee. The rights and obligations attributed to the Lessee are transferred to the Lessee's legal successor, transferee, assignee or a sublessee in such a transfer.<br>Notwithstanding anything contrary stated herein, to the extent permitted by the laws applicable to this Agreement, in the event of Change of Control of either party, this Agreement and/or rights of either party (and/or the rights of any third party which received such rights pursuant to the first paragraph above) shall survive and continue in full force in the same manner as existing before the Change of Control.<br>For the purposes of this clause 5, the "Change of Control" shall mean the change of decisive influence as defined in the Limited Liability Companies Act section 1-3 second paragraph.<br>|

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**7. FORKJOPSRETTER** | &nbsp;&nbsp;**7. RIGHTS OF FIRST REFUSAL** |
| &nbsp;&nbsp;Dersom Exanorth vil selge eller på annen måte disponere over hele eller deler av Eiendommen til fordel for en tredjepart, har Leietaker forkjøpsrett til å kjøpe Leiearealet eller hele eller relevante deler av Eiendommen (inkludert Leiearealet).<br>Dersom Leietaker vil overdra sin leierett etter denne Avtalen (med tilhørende rett til tilgang på nett og kraft i henhold til Overføringsavtalen med vedlegg) til en tredjepart, eller foreta et Kontrollskrifte i Leietaker, har Exanorth forkjøpsrett til å tre inn i Leietakers posisjon under denne Avtalen på de samme vilkår.<br>Dersom en av partene (den "**Utiøsende Part**") beslutte å gjennomføre en slik disposisjon som nevnt i avsnittene over (og dermed utløse den andre partens (den "**Andre Part**") forkjøpsrett), skal den Utløsende Part gi den Andre Part et detaljert varsel med beskrivelse av den påtenkte disposisjonen, herunder påtenkt pris og vilkår for øvrig ("**Vilkårene** "). Den Andre Part skal ha en periode på 30 dager til å gjøre seg kjent med Vilkårene og skal ha ytterligere 30 dager til å beslutte om forkjøpsretten utøves eller ikke. Hvis den Andre Part avslår kan den Utløsende Part iverksette og gjennomføre den påtenkte disposisjonen på slike vilkår (identisk med Vilkårene), likevel slik at den Andre Parts forkjøpsrett fortsatt skal gjelde til fordel for den Andre Part dersom vilkårene til den aktuelle tredjeparten endres eller hvis disposisjonen ikke gjennomføres innen 180 dager etter varselet fra den Utløsende Part.<br>| &nbsp;&nbsp;If Exanorth wishes to sell or otherwise dispose of all or parts of the Property in favor of a third party, the Lessee has a right of first refusal to purchase the Leased Area or the entire or relevant parts of the Property (including the Leased Area).<br>If the Lessee transfers its right to lease (with the appurtenant access to grid capacity and power pursuant to the LTGA with appendices) to a third party, or carries out a Change of Control in the Lessee, Exanorth has a right of first refusal to step in to the Lessee's position under this Agreement at the same terms.<br>Should one of the parties (the "**Triggering Party**") determine to carry out such disposition as set out in the paragraphs above (and thereby trigger the other party's (the "**Other Party**") right of first refusal), the Triggering Party shall give the Other Party detailed notice of the nature and description of the contemplated disposal and its intended price and terms (the "**Terms**"). The Other Party shall have a period of 30 days to investigate the Terms and shall have a period of 30 days after such investigative period to determine whether it wishes to exercise its right of first refusal. In the event the Other Party declines then the Triggering Party may carry out and complete the contemplated disposition at such offered terms (identical to the Terms), however such that the Other Party's right of first refusal shall occur again to the benefit of the Other Party if the terms proposed to third parties change or if the disposition is not completed within 180 days of the Triggering Party's notice. |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**8. TINGLYSNING** | &nbsp;&nbsp;**8. REGISTRATION** |
| &nbsp;&nbsp;Leietaker kan tinglyse Avtalen på Eiendommen eller en fradelt festetomt eller grunneiendom av denne.<br>Exanorth samtykker med sin underskrift på Avtalen til slik tinglysing (og til pantsettelse av Avtalen), og gir samtidig nødvendig fullmakt til Leietaker til på Exanorths vegne å signere søknader om fradeling og rekvirering av oppmålingsforretning og til å signere øvrige søknader og skjemaer i tilknytning til andre offentligrettslige regelverk som er nødvendig for tinglysningen av Avtalen.<br>Leietaker dekker de kostnader som påløper i forbindelse med eventuell tinglysing.<br>| &nbsp;&nbsp;The Lessee may register the Agreement on the Property or a partitioned leasehold plot or property from this.<br>By signing the Agreement, Exanorth consents to such registration (and to the pledging of the Agreement), and at the same time gives the Lessee the necessary power of attorney on behalf of Exanorth to sign applications for partitioning and requisition of mapping proceedings and to sign other applications and forms in connection with other public law regulations necessary for the registration of the Agreement.<br>The Lessee covers the costs incurred in connection with any registration.<br>|
| &nbsp;&nbsp;\*\*\* | &nbsp;&nbsp;\*\*\* |
| &nbsp;&nbsp;Avtalen er utstedt i to eksemplarer, hvor partene har mottatt hvert sitt. | &nbsp;&nbsp;The Agreement is issued in two copies, each party having received their own. |

---

Oslo, 13 April 2024

Mohammed Salah S Bakhashwain Michele Di Minno <br> Styreleder/chairperson Styremedlem/Board Director

**LEASE TRANSFER AND GOVERNANCE AGREEMENT**

between

**Exanorth AS**

(as Landlord)

And

**Sowrer AS**

(as Lessee)

**13 April 2024**

**TABLE OF CONTENTS**

---

| | | | |
|:---|:---|:---|:---|
| 1. | BACKGROUND | BACKGROUND | 5 |
| 2. | definitions | definitions | 6 |
| 3. | THE TRANSACTION | THE TRANSACTION | 8 |
|  | 3.1 | Completion of the Agreement | 8 |
|  | 3.2 | Transfer of the Assigned Agreement | 8 |
| 4. | Consideration | Consideration | 8 |
| 5. | CUT-OFF DATE | CUT-OFF DATE | 9 |
| 6. | CONDITIONS PRECEDENT TO CLOSING | CONDITIONS PRECEDENT TO CLOSING | 9 |
|  | 6.1 | The Lessee's Conditions to Closing | 9 |
|  | 6.2 | The Landlord's Conditions to Closing | 10 |
|  | 6.3 | Termination of Original Agreements | 10 |
|  | 6.4 | The Landlord's Outstanding Debt | 11 |
| 7. | CLOSING | CLOSING | 11 |
|  | 7.1 | lime and Place | 11 |
|  | 7.2 | The Landlord's Closing Obligations | 11 |
|  | 7.3 | The Lessee's Closing Obligations | 12 |
|  | 7.4 | Post-Closing Obligations | 12 |
| 8. | OTHER AGREEMENTS | OTHER AGREEMENTS | 12 |
|  | 8.1 | Conduct of Business between Signing and Closing | 12 |
|  | 8.2 | Undertaking to Consult and Cooperate | 13 |
|  | 8.3 | Undertaking to Contribute | 13 |
|  | 8.4 | Notices, Filings etc. | 13 |
| 9. | WARRANTIES OF THE LANDLORD | WARRANTIES OF THE LANDLORD | 13 |
|  | 9.1 | Organisation | 13 |
|  | 9.2 | Power and Authority | 14 |
|  | 9.3 | No Conflict | 14 |
|  | 9.4 | Consents and Approvals | 14 |
|  | 9.5 | The Business | 14 |
|  | 9.6 | The Assigned Agreement | 14 |
|  | 9.7 | Disclosed Information | 15 |
|  | 9.8 | No Other Warranties | 15 |
| 10. | WARRANTIES OF THE LESSEE | WARRANTIES OF THE LESSEE | 15 |
|  | 10.1 | Organisation | 15 |
|  | 10.2 | Power and Authority | 15 |
|  | 10.3 | No Conflict | 15 |
|  | 10.4 | Financing | 15 |
|  | 10.5 | Consents and Approvals | 16 |
|  | 10.6 | No Other Warranties | 16 |
| 11. | COMPENSATION | COMPENSATION | 16 |
|  | 11.1 | General | 16 |
|  | 11.2 | Matters Disclosed | 16 |
|  | 11.3 | Financial Limits | 16 |
|  | 11.4 | Time Limits | 16 |
|  | 11.5 | Right to Remedy | 17 |
|  | 11.6 | Related Benefits | 17 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | 11.7 | Contingent Liabilities | 17 |
|  | 11.8 | Changes in Law etc. | 17 |
|  | 11.9 | Covered Losses | 17 |
|  | 11.10 | Acts of the Lessee; Mitigation | 17 |
|  | 11.11 | Compensation Procedure with Respect to Third Party Claims | 18 |
|  | 11.12 | Exclusions | 18 |
| 12. | INDEMNITY | INDEMNITY | 18 |
|  | 12.1 | Lessee Indemnity | 18 |
|  | 12.2 | Landlord Indemnity | 19 |
|  | 12.3 | Wrong Pocket Assets or Liabilities | 19 |
| 13. | TERMINATION | TERMINATION | 19 |
|  | 13.1 | Termination | 19 |
|  | 13.2 | Rights on Termination | 19 |
| 14. | CONFIDENTIALITY | CONFIDENTIALITY | 20 |
| 15. | ADDITIONAL COVENANTS | ADDITIONAL COVENANTS | 20 |
|  | 15.1 | Landlord's Call Option and Right of Termination | 20 |
|  | 15.2 | Further assurances | 21 |
| 16. | MISCELLANEOUS | MISCELLANEOUS |  |
|  | 16.1 | Assignment | 21 |
|  | 16.2 | No Right of Rescission, Termination or Reversal after Closing | 21 |
|  | 16.3 | Sole Remedies | 21 |
|  | 16.4 | Costs and Expenses | 21 |
|  | 16.5 | Public Announcement | 21 |
|  | 16.6 | Notices | 22 |
|  | 16.7 | Counterparts | 22 |
|  | 16.8 | Severability | 22 |
|  | 16.9 | Entire Agreement | 22 |
|  | 16.10 | Governing Law | 22 |
|  | 16.11 | Dispute Resolution | 22 |

---

---

| | |
|:---|:---|
| Appendix 1 - The Original Agreements | 25.0 |
| Appendix 2k) - COWA Infrastructure | 26.0 |
| Appendix 2r) - Grid Connection and Power Supply Agreement | 27.0 |
| Appendix 2v) - Lease Agreement | 28.0 |

---

1. BACKGROUND
 AND PURPOSE 30

2. MAIN
 TERMS - PASS THROUGH OF GRID CAPACITY AND POWER SUPPLY 30

3. GRID
 CONNECTION POINT 32

4. SPECIAL
 TERMS 32

4.1 General 32

4.2 Quality of electricity supply 32

5. GENERAL
 TERMS 34

6. SERVICES 34

7. DURATION
 AND TERMINATION 35

8. CHANGES
 IN LAW 35

9. LIABILITY 36

10. DEFAULT 36

11. CONFIDENTIALITY 36

12. COMMUNICATION 37

13. ASSIGNMENT 37

14. GOVERNING
 LAW AND DISPUTE RESOLUTION 38

---

| | |
|:---|:---|
| Appendix 1 - Grid connection agreement with Tensio | 39.0 |
| Appendix 2 - Power purchase agreements with Fortum Strom | 40.0 |
| Appendix 3 - List of connection point(s) with measuring point ID | 41.0 |
| Appendix 4 - Conditions for supply, incl power capacity and deviations from "leveringskvalitetsforskriften" | 42.0 |
| Appendix 5 - "Fornybar Norges anbefalte tilknytningsvildr for neeringskunder" | 43.0 |
| Appendix 6 - "Fornybar Norges anbefalte nettleievillar for nringskunder" | 44.0 |

---

**THIS LEASE TRANSFER AND GOVERNANCE AGREEMENT** (the "**Agreement**") is entered into on the date stated on first page of this Agreement by and between:

&nbsp;&nbsp;&nbsp;&nbsp;(1) **Exanorth AS**, a Norwegian private limited company with business registration number 921 677
 421 and registered address at c/o VIEW Ledger AS, Rigedalen 54626 Kristiansand S, Norway
 (the "**Landlord** "); and

&nbsp;&nbsp;&nbsp;&nbsp;(2) **Sowrer AS**, a Norwegian incorporated limited company with business registration number 927
 234 475 and registered address at c/o Kvale Advokatfirma DA, Haakon VIIs gate 10, 0161
 Oslo, Norway (the "**Lessee** ").

The Landlord and the Lessee are in the following jointly referred to as the "**Parties**" and a "**Party**" is any one of them.

1. BACKGROUND

(i) **The Landlord operates a hosting site in Tunnsjødalsveien 178, 7892 Trones, Norway, with a maximum capacity of 40 MW (the "Data Centre"). Pursuant to a hosting and maintenance services agreement dated 16 September 2022 (as amended) as well as other related agreements, a full list of which are attached to this Agreement as <u>Appendix 1</u> (collectively, the "Original Agreements"), the Lessee (directly or through Affiliates) has deployed mining equipment with an initial installed capacity of 14 MW in the Data Centre, and is in the process of deploying equipment with an additional 1 MW of installed capacity (the "Equipment"). Pursuant to the Original Agreements, the Data Centre hosts mining containers for a total of 15MW, all of which are owned by the Lessee or its Affiliates.** 

(ii) **In addition to the Equipment, the Landlord hosts 2 MW of Arcane Green Data Services'("Arcane") servers pursuant to a hosting agreement dated 10 June 2022 (the "Assigned Agreement").** 

(iii) **By entering into this Agreement, the Lessee will assume such rights, contracts and/or assets to (i) acquire power access rights and secure connection to 17 MW of the Data Centre power allocation, (ii) continue to own and directly operate the Equipment in a separate area of the Data Centre site, (iii) a 15-year lease for a 17 MW plot in the Data Centre site, (iv) continue to benefit from the 8 MW power purchasing agreement contracted by the Landlord with Fortum Strøm, and (v) replace the relevant party in the Assigned Agreement as the "Host", and for the foregoing purposes will have control over a corresponding area of the Data Centre site.** 

(iv) **On the date of this Agreement, the Parties also enter into the Lease Agreement and the Grid Connection and Power Supply Agreement (both as defined below), attached hereto in Appendix 2v and Appendix 2r, respectively, which will become effective as from the Closing.** 

2. definitions

When used in this Agreement, the following terms shall have the following meanings:

(a) **Affiliate** means, with respect to any Person, from time to time, any other Person directly or
 indirectly controlling, controlled by or being under common control with, that first-mentioned
 Person, where "control" means (i) direct or indirect ownership of more than
 50% of the equity securities or votes of such Person, (ii) the right to appoint or remove
 more than 50% of the members of the board of directors (or similar governing body) of
 such Person or (iii) the right to manage, on a discretionary
 basis, such Person (and the terms controlling and controlled shall have correlating meanings);

(b) **Agreement** means this agreement, including the appendices attached hereto;

(c) **Arcane** has the meaning ascribed to such term in clause 1(ii) of this Agreement;

(d) **Assigned Agreement** has the meaning ascribed to such term in clause 1(ii) of this Agreement;

(e) **Business** means the business related to the assets and agreements subject to this Agreement;

(f) **Business Day** means any day on which banks are open for business in Norway and the Cayman Islands;

(g) **Closing** means the completion of the deliverables pursuant to this Agreement by the performance
 by the Parties of their respective obligations under clause 7 (Closing);

(h) **Closing Date** means the date when Closing takes place;

(i) **Confidential Information** has the meaning ascribed to such term in clause 14 (Confidentiality);

(j) **Consideration** has the meaning ascribed to such term in clause 4 (Consideration);

(k) **COWA Infrastructure** means the assets detailed in <u>Appendix 2k);</u> 

(l) **Data Centre** has the meaning ascribed to such term in clause 1(i) of this Agreement;

(m) **Disclosed** means fairly disclosed in writing, with sufficient details to identify the nature
 and scope of the matter disclosed by or on behalf of the Landlord to the Lessee prior
 to the signing of this Agreement during the negotiation and due diligence process. Oral
 disclosures, or information merely available or accessible but not specifically presented
 to the Lessee, shall not be considered as "Disclosed" under the terms of
 this Agreement.

(n) **Encumbrances** means any mortgage, charge, pledge, lien, option or other encumbrance or restriction
 on the use of any asset;

(o) **Equipment** has the meaning ascribed to such term in clause 1(i) of this Agreement;

(p) **Fundamental Warranties** means the warranties set out in clauses 9.1 to and including 9.4 and 9.5a);

(q) **Governmental Body** means any government or governmental authority of any nature, any multinational
 organisation or body, or any body exercising or entitled to exercise any administrative,
 executive, judicial, legislative, police, regulatory or Tax authority or power of any
 nature;

(r) **Grid Connection and Power Supply Agreement** means the agreement entered into between the
 Parties, as attached in <u>Appendix 2r);</u> 

(s) **Landlord** has the meaning ascribed to such term in the introductory part of this Agreement;

(t) **Landlord's Bank Account** means the bank account in the name of the Landlord to be notified by
 the Landlord to the Lessee no later than 3 Business Days prior to Closing;

(u) **Landlord's Knowledge** means the actual knowledge of Frank Aadnevik and Mohammed Bakhashwain;

(v) **Lease Agreement** means the lease agreement entered into between the Parties, as attached
 in <u>Appendix 2v);</u> 

(w) **Lessee** has the meaning ascribed to such term in the introductory part of this Agreement;

(x) **Loss** has the meaning ascribed to such term in clause 9.1;

(y) **Organisational Documents** means the articles of association, the certificate of incorporation or
 any similar constitutional documents of a company;

(z) **Original Agreements** has the meaning ascribed to such term in clause 1(i) of this Agreement;

(aa) **Original Lease Agreement** has the meaning ascribed to such term in <u>Appendix 1</u> to this
 Agreement;

(bb) **Parties** means the Landlord and the Lessee taken together and a "**Party** "
 is any one of them;

(cc) **Person** means any natural or legal person of any kind, including without limitation any joint
 venture, partnership and co-ownership;

(dd) **Surviving Obligations** has the meaning ascribed to such term in clause 13.2a);

(ee) **Tax** means any taxes and duties, including without limitation income taxes, corporate
 taxes, capital gains taxes, payroll taxes, VAT, labour market and other social contribution
 taxes and/or duties, withholding taxes, real estate taxes, customs and excise duties
 and any other taxes and duties;

(ff) **Third Party Claim** means any claim by a third party relating to the Business which is or
 may be subject to a claim for compensation pursuant to clause 11.11;

(gg) **USD** means US dollars, the currency of the United States of America; and

(hh) **VAT Act** means the Norwegian Value Added Tax Act of 19 Aune 2009 no. 58.

3. THE
 TRANSACTION

3.1 Completion
 of the Agreement

Subject to clause 6 and the terms and conditions set out in this Agreement, the Parties agree to take such actions as set out herein on the Closing Date.

3.2 Transfer
 of the Assigned Agreement

(a) To
 the extent necessary consents have been obtained from the Landlord's contracting
 parties under the Assigned Agreement, the Landlord's rights and obligations under
 the Assigned Agreement shall, with effect from Closing, be assigned to the Lessee.

(b) The
 Landlord shall obtain any consent of any third party required for the assignment of the
 Assigned Agreement to the Lessee (provided that this shall not include the payment of
 any money by the Landlord or the consent to any material amendment to the terms and conditions
 of the Assigned Agreement) and the Lessee shall provide its reasonable assistance in
 this respect.

4. Consideration

(a) In
 consideration for the transfer of the Business, i.e. in particular the termination and
 restructuring of the Original Agreements and inducement for the Parties to enter into
 the 15 year lease agreement, the Lessee shall make the following payments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) pay
 a cash amount of USD 1,000,000 to the Landlord's Bank Account on the date of this
 Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) pay
 a cash amount of USD 3,500,000 to the Landlord's Bank Account at the Closing Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) pay
 a cash amount of USD 3,500,000 (together with the cash amounts in (i) and (ii), the "**Consideration** ")
 to the Landlord's Bank Account on 31 May 2024; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) assume
 the recurring payment obligations as stipulated in the Lease Agreement and the Grid Connection
 and Power Supply Agreement (collectively referred to as the "**Ongoing Payment Obligations** ").

(b) It
 is hereby agreed that the aggregate of the Consideration and the assumption of the Ongoing
 Payment Obligations constitutes the complete and exclusive financial consideration for
 all rights, titles, and interests acquired by the Lessee under the terms of this Agreement
 and the transactions contemplated hereby.

(c) The
 USD 1,000,000 paid at the date of this Agreement shall be considered a non-refundable
 pre-payment at the Lessee's risk if the Closing does not occur and this is due
 to a failure of the Lessee to take any action required to be taken by it to fulfil the
 conditions precedent to Closing. If the Lessee fails to pay the USD 3,500,000 payable
 on 31 May 2024, the Grid Connection and Power Supply Agreement will be adjusted in accordance
 with the terms set out therein.

(d) Each
 of the Parties is liable for its own Tax and VAT which payable as a result of the transactions
 contemplated under this Agreement and no additional payments shall be made by any Party
 to the other as a result of any Tax or VAT payable by the other Party.

5. CUT-OFF
 DATE

The Landlord is entitled to all revenues and liable for all costs pertaining to the Business up until the Closing, including liabilities arising after the Closing if arising as a result of events prior to the Closing Date, while the Lessee is entitled to all revenues and liable for all costs pertaining to the Business after the Closing.

6. CONDITIONS
 PRECEDENT TO CLOSING

6.1 The
 Lessee's Conditions to Closing

The Lessee's obligation to acquire the rights and obligations relating to the Business and take the other actions required to be taken by it at Closing is subject to the satisfaction of each of the following conditions (any of which may be waived by the Lessee in whole or in part) on or before the Closing Date:

6.1.1 Deployment
 of the Equipment

The Equipment shall be fully (i.e. a total of 15 MVW) deployed, connected to power, energized in the Data Centre, and connected to the Lessee's pools, with all relevant agreements, letters, notifications or other documents in connection with the deployment (as maybe necessary) to be signed in the form reasonably acceptable to the Lessee.

6.1.2 Access
 to Data Center

Representatives of the Lessee (or its Affiliates) shall be granted access to the Data Centre for at least twenty-four (24) hours to perform technical checks on the Data Centre, including without limitation, mining equipment and electrical infrastructure, and the results of such check shall be to the reasonable satisfaction of the Lessee.

6.1.3 Third
 Party Consent to the Transfer of The Assigned Agreement

The Landlord shall obtain, and provide evidence of, all necessary notices, consents, and licenses required by third parties to effectuate the full and effective assignment of the Assigned Agreement to the Lessee.

6.1.4 Truth
 of Warranties

The warranties of the Landlord set forth in clause 9 (Warranties of the Landlord) shall be true and correct in all respects material to the transactions contemplated by this Agreement on the Closing Date.

6.1.5 Performance
 of Agreement

The Landlord shall in all respects material to the transactions contemplated by this Agreement have performed or complied with all of its obligations pursuant to this Agreement to be performed or complied with by the Landlord on or before the Closing Date including making all the closing deliveries set out in clause 7.2.

6.2 The
 Landlord's Conditions to Closing

The Landlord's obligation to transfer the rights and obligations relating to the Business and take the other actions required to be taken by it at Closing is subject to the satisfaction of each of the following conditions (any of which may be waived by the Landlord in whole or in part) on or before the Closing Date:

6.2.1 Deployment
 of the Equipment

The Equipment shall be fully (i.e. a total of 15 MVW) deployed, connected to power, energized in the Data Centre, and connected to the Lesse's pools, with all relevant agreements, letters, notifications or other documents in connection with the deployment (as may be necessary) to be signed in the form reasonably acceptable to the Landlord.

6.2.2 Truth
 of Warranties

The warranties of the Lessee contained in clause 10 (Warranties of the Lessee) shall be true and correct in all respects material to the transactions contemplated by this Agreement on the Closing Date.

6.2.3 Performance
 of Agreement

The Lessee shall in all respects material to the transactions contemplated by this Agreement have performed or complied with all of its obligations pursuant to this Agreement to be performed or complied with by the Lessee on or before the Closing Date, including making all the closing deliveries set out in clause 7.3.

6.3 Termination
 of Original Agreements

Upon completion of the Closing, the Original Agreements shall automatically terminate. The termination requires no additional notice and entails no obligation for compensation from any Party or their Affiliates. Further, all legal entitlements, rights, or claims under the Original Agreements shall simultaneously cease to exist, with no compensation. Consequently, any options, rights, or entitlements the Landlord possesses in relation to the COWA Infrastructure under the Original Lease Agreement will also cease to exist, with no compensation due, and full rights of ownership and use will remain vested with the Lessee. Until Closing, the Landlord and its Affiliates shall continue to provide all necessary maintenance service in connection with the area leased under the Original Lease Agreement.

6.4 The
 Landlord's Outstanding Debt

Notwithstanding clause 6.3, the Landlord shall, with effect from Closing, have a payment obligation to Lessee or its Affiliates as envisioned under the Original Lease Agreement for downpayment of transformers 6 x 3,2 MW with kiosk and 15 x BitBox containers, in the form of monthly payments of USD 27,777.80 (excl. VAT) for a period of thirty-six (36) months, i.e. a total of USD 1,000,000 (excl. VAT), starting from 30 April 2024 with final payment due by no later than 30 April 2027.

7. CLOSING

7.1 Time
 and Place

(a) Closing
 shall take place electronically at 09:00 hours Oslo time on 30 April 2023 or, if the
 conditions set forth in clause 6 (Conditions Precedent to Closing) above have not been
 satisfied or waived (other than conditions to be satisfied at Closing, but subject to
 the satisfaction or waiver of those conditions at such time) at that time, within five
 (5) Business Days after satisfaction or waiver of the last of the conditions set forth
 in clause 6, or such other day as the Parties may jointly agree. If the conditions set
 forth in clause 6 are fulfilled on 30 April 2023, with the exception that the Lessee
 fails to make the payment set out in clause 7.3 a), the Landlord has the right to terminate
 the Agreement instead of extending the Closing Date as set out above, in which case the
 USD 1,000,000 payment made by the Lessee will be non-refundable.

(b) All
 measures taken in connection with the Closing, as described in clauses 7.2 (The Landlord's
 Closing Obligations) and 7.3 (The Lessee's Closing Obligations), shall be considered
 to have occurred simultaneously as part of a single transaction and no delivery will
 be considered to have been made until all such measures have been completed.

7.2 The
 Landlord's Closing Obligations

At Closing, the Landlord shall:

(a) deliver
 to the Lessee the Assigned Agreement duly assigned from the Landlord to the Lessee, and
 all requisite notices, consents and licences from third-party therefore which have been
 obtained before the Closing (if any) with a confirmation from all contractual parties
 that there are no defaults or overdue liabilities;

(b) deliver
 to the Lessee a certified copy of the resolution, in agreed form, of the resolutions
 adopted by the board of directors, and if applicable the shareholders, of the Landlord
 authorising the transactions contemplated by this Agreement; and

(c) deliver
 all other documents, instruments or evidences of satisfaction of conditions precedent
 pursuant to clause 6.1 (The Lessee's Conditions to Closing) required to be delivered
 by the Landlord, in form and substance reasonably satisfactory to the Lessee.

7.3 The
 Lessee's Closing Obligations

At Closing, the Lessee shall, subject to compliance by the Landlord with clause 7.2:

(a) pay
 the USD 3,500,000 of the Consideration to the Landlord by wire transfer of immediately
 available funds to the Landlord's Bank Account;

(b) accept
 the assignment of the Assigned Agreement and all rights and obligations thereunder from
 effect of Closing; and

(c) deliver
 all other documents, instruments or evidences of satisfaction of conditions precedent
 pursuant to clause 7.2 (The Landlord's Conditions to closing) required to be delivered
 by the Lessee, in form and substance reasonably satisfactory to the Landlord.

7.4 Post-Closing
 Obligations

The Landlord shall promptly notify the Lessee of any claims, demands, actions, complaints and proceedings against the Landlord brought by any third party relating to the assets and agreements subject to this Agreement. The Landlord shall not, without the Lessee's prior written consent, take any other steps in relation to such claims which might reasonably be expected to damage the commercial interests of the Lessee.

8. OTHER
 AGREEMENTS

8.1 Conduct
 of Business between Signing and Closing

From the date of this Agreement and until the Closing Date, except as permitted under this Agreement or approved in writing by the Lessee (such approval not to be unreasonably withheld), the Landlord shall:

(a) conduct
 the Business diligently in the ordinary course and not discontinue or cease to operate
 any part of the Business;

(b) refrain
 from (i) selling, transferring or otherwise disposing of any parts of the Business and
 (ii) creating, or agreeing to create, any Encumbrances over the Business;

(c) refrain
 from making or accepting any changes to, or terminating, the Assigned Agreement;

(d) refrain
 from incurring any liabilities relating to the Business other than in the ordinary course
 of business.

To the extent permitted by law, the Landlord will immediately disclose to the Lessee in writing any matter of which it becomes aware between the date of the Agreement and Closing has or is likely to have an adverse impact on the Business as presently conducted, or on the financial or trading condition or prospects of the Business, including any claims, actual or threatened.

8.2 Undertaking
 to Consult and Cooperate

To the extent permitted by law, the Landlord and the Lessee shall consult and cooperate in good faith in respect of any matter requiring the other's assistance under this Agreement and the Landlord shall procure that the Lessee shall be given upon reasonable request access to such information as the Lessee may reasonably require regarding the Business.

8.3 Undertaking
 to Contribute

The Parties shall use all commercially reasonable efforts to cause the conditions precedent to Closing stated in clause 6 (Conditions Precedent to Closing) to be satisfied as promptly as practicable.

8.4 Notices,
 Filings etc.

(a) The
 Lessee shall as soon as reasonably practicable after the signing of this Agreement apply
 for the necessary clearances from any competent authority in respect of the transactions
 contemplated by this Agreement.

(b) The
 Lessee shall provide the relevant authorities with any additional information they may
 request in connection with such application.

(c) The
 Lessee shall promptly inform the Landlord of, and copy the Landlord on, any material
 correspondence with the authorities, keep the Landlord informed about other material
 interactions with such authorities and discuss with the Landlord any objections raised
 by the authorities.

(d) The
 Lessee shall bear all the costs associated with said applications and dealings with the
 relevant authorities.

(e) The
 Landlord shall to the extent necessary and requested by the Lessee provide the Lessee
 with necessary information, assistance and support in connection with said applications.

9. WARRANTIES
 OF THE LANDLORD

The Landlord hereby warrants to the Lessee as of the date of this Agreement and as at the Closing Date as follows:

9.1 Organisation

The Landlord is a private limited company duly organised and validly existing under the laws of Norway and has all requisite power and authority to own its assets and to conduct its business in the manner in which it is presently being conducted.

9.2 Power
 and Authority

(a) The
 Landlord has the requisite corporate power and authority to sign and deliver this Agreement
 and to perform its obligations as set forth herein.

(b) This
 Agreement has been duly authorised, executed and delivered by the Landlord and, assuming
 the due authorisation, execution and delivery by the Lessee, constitutes legal, valid
 and binding obligations of the Landlord enforceable against the Landlord in accordance
 with its terms.

9.3 No
 Conflict

Neither the execution and delivery of this Agreement nor the consummation of any of the transactions contemplated hereby conflict with or violate (i) any provision of the Organisational Documents of the Landlord, or (ii) any order or judgment of any court or Governmental Body by which the Landlord is bound.

9.4 Consents
 and Approvals

To the Landlord's Knowledge, no filing or registration with, no notice to and no permit, authorisation, consent or approval from, any Governmental Body is necessary for the execution and delivery by the Landlord of this Agreement and the consummation and performance of the transactions contemplated by this Agreement.

9.5 The
 Business

(a) The
 Landlord has full ownership or rights of use, as the case may be, of the Business, in
 each case free and clear of all Encumbrances.

(b) To
 the best of the Landlord's Knowledge, the rights and obligations regulated pursuant
 to this Agreement comprise all the assets used in the Business and comprise all the rights
 and assets that are necessary for the continuation of the Business in the manner as it
 is presently conducted, and no such rights are shared with any other person.

(c) The
 Business is not the subject of any claim, dispute or proceeding, whether actual, pending
 or threatened.

(d) No
 capital goods (in Norwegian: *"kapitalvarer")* as defined in section
 9.1 of the VAT Act are being transferred as part of this Agreement.

9.6 The
 Assigned Agreement

(a) The
 Assigned Agreement is legally binding, valid and enforceable in accordance with their
 terms.

(b) The
 Assigned Agreement has not been terminated, nor has the Landlord received any notice
 of termination, modification or renegotiation in respect of the Assigned Agreement. No
 party has, to the best of the Landlord's Knowledge, the intention to terminate
 the Assigned Agreement.

(c) There
 is no breach by the Landlord of any of the Assigned Agreement and there is, to the best
 of the Landlord's Knowledge, no circumstances giving rise to any such breach.

(d) The
 Assigned Agreement is not the subject of any claim, dispute or proceeding, whether actual,
 pending or threatened.

9.7 Disclosed
 Information

The information which has been Disclosed is in all material respects true and correct and, to the Landlord's Knowledge, no material information concerning the Business has been omitted from the information which has been Disclosed.

9.8 No
 Other Warranties

The Lessee hereby acknowledges that it is not relying on any warranties other than the warranties of the Landlord specifically contained in this Agreement.

10. WARRANTIES
 OF THE LESSEE

The Lessee hereby warrants to the Landlord as follows as of the date of this Agreement and as of the Closing Date:

10.1 Organisation

The Lessee is a private limited company duly organised and validly existing under the laws of Norway and has all requisite power and authority to own its assets and to conduct its business in the manner in which it is presently being conducted.

10.2 Power
 and Authority

The Lessee has the requisite corporate power and authority to sign and deliver this Agreement and to perform its obligations hereunder. This Agreement has been duly authorised, executed and delivered by the Lessee and, assuming the due authorisation, execution and delivery by the Landlord, constitutes the legal, valid and binding obligations of the Lessee enforceable against the Lessee in accordance with its terms.

10.3 No
 Conflict

Neither the entering into of this Agreement nor the consummation or performance of the transactions contemplated hereby will result in a violation of (i) any provisions of the Organisational Documents of the Lessee, or (ii) any order or judgment of any court or Governmental Body by which the Lessee is bound.

10.4 Financing

The Lessee will have sufficient funds available to satisfy the obligation to pay the Consideration in full when payable and to cover the expenses incurred by the Lessee in connection with the transactions contemplated by this Agreement.

10.5 Consents
 and Approvals

Except as set forth in clause 9.4, no filing or registration with, no notice to and no permit, authorisation, consent or approval from, any Governmental Body is necessary for the execution and delivery by the Lessee of this Agreement and the consummation and performance of the transactions contemplated by this Agreement.

10.6 No
 Other Warranties

The Lessee hereby acknowledges that it is not relying on any warranties other than the warranties of the Lessee specifically contained in this Agreement.

11. COMPENSATION

11.1 General

(a) The
 Landlord shall be liable to compensate the Lessee from and against any reasonably foreseeable
 loss, liability, damage, cost and expense (each a **"Loss")** which the
 Lessee may suffer due to any breach by the Landlord of its warranties, covenants or other
 obligations contained in this Agreement. The Landlord shall not be liable for any indirect
 or consequential loss.

(b) The
 right to compensation pursuant to this clause 11 shall be the Lessee's sole remedy
 with respect to matters in any way relating to a breach by the Landlord of its warranties
 pursuant to this Agreement and shall exclude any other remedies which may be available
 to the Lessee pursuant to law, including, without limitation, the Norwegian Sale of Goods
 Act of 13 May 1988 no. 27 and general principles of Norwegian contract law.

11.2 Matters
 Disclosed

(a) The
 Lessee's right to compensation for breach of warranties shall not extend to matters
 which were Disclosed.

11.3 Financial
 Limits

The Lessee's right to compensation for breach of the warranties under this Agreement shall not be payable with respect to any single Loss which does not exceed USD 40,000.

11.4 Time
 Limits

No compensation for breach of Landlord's warranties shall be payable with respect to any claim unless the Lessee notifies the Landlord in writing, together with a reasonable specification of the basis for the claim:

(a) within
 60 Business Days from the date the Lessee became aware that a claim could be brought;
 and

(b) in
 any event no later than the date falling twenty-four (24) months after the Closing Date.

11.5 Right
 to Remedy

If a breach of any of the Landlord's warranties or obligations under this Agreement is capable of being remedied, the Lessee shall not be entitled to compensation unless written notice is given to the Landlord in accordance with clause 11.4 (Time Limits) and the breach is not remedied within 15 Business Days of the date of the notice. Notwithstanding the foregoing, the Landlord shall not have any obligation to remedy any breach of its warranties under this Agreement other than through payment of compensation pursuant to this clause 11.

11.6 Related
 Benefits

Any Loss for which the Lessee claims compensation shall be calculated net of any related savings (including Tax savings) which the Lessee is entitled to.

11.7 Contingent
 Liabilities

For the purposes of this Agreement, a liability which is contingent shall not constitute a Loss and no liability shall arise in respect thereof unless and until such contingent liability becomes an actual liability and is due and payable (provided, however, that this shall not limit the Lessee's obligation to notify such claim in accordance with clause 11.4 (Time Limits)).

11.8 Changes
 in Law etc.

No liability shall arise if and to the extent any claim occurs as a result of any change in law (including without limitation any Tax law) or practice of any Governmental Body (including without limitation any Tax authority) occurring after the Closing Date, whether or not the change takes effect retrospectively.

11.9 Covered
 Losses

No compensation shall be payable for any Loss to the extent:

(a) the
 Loss is recoverable under any insurance for the benefit of the Lessee which is in force;
 or

(b) the
 Lessee has recovered compensation from any Person other than the Landlord, whether under
 applicable law, any contract or otherwise, provided that the Lessee shall use its reasonable
 efforts to recover compensation from any Person other than the Landlord if such

(c) compensation
 is available and equivalent in cost and chances of successful recovery by the Lessee.

11.10 Acts
 of the Lessee; Mitigation

Any compensation payable by the Landlord for any Loss of the Lessee shall be discounted proportionately to the extent the Loss would not have arisen but for an act, omission or transaction carried out by the Lessee or the omission of the Lessee to mitigate the Loss in accordance with applicable law.

The Lessee shall not deliberately initiate any inquiry and/or investigation by any Governmental Body, provided that, for the avoidance of doubt, nothing in this clause shall prevent or otherwise restrict the Lessee or any of its Affiliates from responding to any request by, or co-operating with, any Governmental Body.

11.11 Compensation
 Procedure with Respect to Third Party Claims

11.11.1 Notice
 of Third Party Claim

If the Lessee receives notice of, or become aware of, any Third Party Claim, the Lessee shall give the Landlord prompt written notice of such Third Party Claim.

11.11.2 Right
 to Participate

(a) The
 Landlord shall in its sole discretion and at its own reasonable cost and expense have
 the right to assume and control the defence (and any possible settlement) of the Third
 Party Claim, using professional advisers of its own choice, unless the Lessee reasonably
 considers that the assumption by the Lessee of the control of the defense of the Third
 Party Claim will have an adverse effect on the commercial interests or reputation of
 the Lessee or the Business.

(b) Any
 settlement will require the approval by the Lessee (such approval not to be unreasonably
 withheld).

(c) If
 the Landlord decides to assume control over the defence as set out in a) above, the Landlord
 shall automatically assume responsibility for the potential liability which may result
 from the Third Party Claim and shall indemnify the Lessee in respect of all such liability.

11.11.3 Cooperation

In order to enable the Landlord to defend any Third Party Claim or to decide what steps or proceedings to be taken in order to do so, each Party shall give the other and its representatives reasonable access to the personnel, and to any items, accounts, documents and records which are relevant to such Third Party Claim, and which are within the power, possession or control of the other Party.

11.12 Exclusions

Nothing in this clause 11 applies to exclude or limit the liability of the Landlord to the extent that a claim arises as a result of fraud, gross negligence or willful misconduct or in the case of breach of any of the Fundamental Warranties.

12. INDEMNITY

12.1 Lessee
 Indemnity

The Lessee agrees to indemnify, defend and hold harmless, the Landlord and its Affiliates from and against and pay or reimburse them for all Losses, whether or not arising from third party claims, suffered based upon, arising out of or otherwise in respect of (without any limitations set out elsewhere in this Agreement) any obligations or liabilities relating to the Business incurred on or after the Closing Date.

12.2 Landlord
 Indemnity

The Landlord agrees to indemnify, defend and hold harmless, the Lessee and its Affiliates from and against and pay or reimburse them for all Losses, whether or not arising from third party claims, suffered based upon, arising out of or otherwise in respect of (without any limitations set out elsewhere in this Agreement) any obligations or liabilities other than the Business for the period prior to the Closing Date.

12.3 Wrong
 Pocket Assets or Liabilities

(i) Each
 Party agrees that after Closing it will promptly transfer and deliver to the other Party,
 from time to time, any payments, cash or other rights or assets held or received by it
 that properly belongs to the other Party.

(ii) If,
 following Closing, the Landlord is held liable for any of the rights and obligations
 or liabilities relating to the Business in any period following Closing and which properly
 should be the obligations or liabilities of the Lessee, the Landlord shall promptly inform
 the Lessee of that fact and the Lessee shall assume the responsibility for the conduct,
 handling and fulfilment of any such obligations or liabilities, if required in the name
 of the Landlord, and indemnify and hold the Landlord harmless against any expenses and
 Losses resulting from such obligations or liabilities.

(iii) If,
 following Closing, the Lessee is held liable for any of the rights and obligations or
 liabilities relating to the Business in any pre-Closing period, the Lessee shall promptly
 inform the Landlord of that fact and the Landlord shall assume the responsibility for
 the conduct, handling and fulfilment of any such obligations or liabilities, if required
 in the name of the Lessee, and indemnify and hold the Lessee harmless against any expenses
 and Losses resulting from such obligations or liabilities.

13. TERMINATION

13.1 Termination

This Agreement may be terminated, and the transactions contemplated by this Agreement may be abandoned, at any time prior to the Closing Date by mutual written consent of the Parties.

13.2 Rights
 on Termination

If this Agreement is terminated pursuant to clause 13.1 (Termination), all further obligations of the Parties pursuant to this Agreement shall terminate without further liability of a Party to the other, provided, however, that

(a) the
 obligations of the Parties contained in clauses 14 (Confidentiality), 16.4 (Costs and
 Expenses), 16.6 (Notices), 16.10 (Governing Law) and 16.11 (Dispute Resolution) shall
 survive such termination (collectively the **Surviving Obligations);** and

(b) if
 this Agreement is terminated by a Party because one or more of the conditions to the
 terminating Party's obligations under this Agreement is not satisfied as a result
 of the other Party's failure to comply with its obligations under this Agreement,
 the terminating Party's right to pursue all legal remedies shall survive such termination
 unimpaired.

14. CONFIDENTIALITY

(a) Except
 as set forth in clause 16.5 (Public Announcement), each Party agrees that the existence
 and content of this Agreement as well as any and all other information being delivered
 or disclosed (whether orally or in writing) by the other Party in connection herewith **(Confidential Information)** shall be deemed confidential, unless specifically designated
 by the Party disclosing such information at the time of disclosure to be non-confidential.

(b) A
 Party receiving Confidential Information shall treat, and shall also cause its officers,
 directors, employees, advisers and auditors to treat, such Confidential Information as
 strictly confidential and shall not divulge or disclose (directly or indirectly) such
 Confidential Information to any other Person (other than to its or its Affiliates'
 officers, directors, employees, advisers, providers of finance and auditors who reasonably
 require access to such Confidential Information), except when (i) such disclosure is
 required by law, listing rules or by any order of any administrative or judicial authority
 which is final and subject to no appeal; (ii) such information has become public through
 no fault of the receiving Party; or (iii) such information has been obtained separately
 by the receiving Party from a third party that is not bound by any confidentiality obligation
 regarding such information.

(c) None
 of the restrictions provided above with respect to Confidential Information shall deprive
 the right of the Lessee to disclose Confidential Information relating to the Business
 following the Closing Date.

15. ADDITIONAL
 COVENANTS

15.1 Landlord's
 Call Option and Right of Termination

During the period commencing on the Closing Date and continuing for twenty four (24) months thereafter, the Landlord shall be entitled to exercise an option (the **"Call Option"),** whereby, upon payment of USD 16,000,000 to the Lessee or an Affiliate of the Lessee, the Landlord will be transferred the title to the COWA Infrastructure, free from any Encumbrances, from the Lessee or an Affiliate of the Lessee. Upon exercise of the Call Option, all outstanding amounts pursuant to clause 6.4, shall be come due and payable on the same date as payment of the USD 16,000,000.

Such payment and transfer of title will result in the automatic termination of the Lease Agreement and the Grid Connection and Power Supply Agreement, with no requirement for additional notice or compensation.

The exercise of this Call Option is conditional upon the Landlord orderly uninstalling and returning the Equipment to the Lessee or an Affiliate at a time, place and under such other conditions reasonably decided by the Lessee, at the Landlord's expense. Upon the exercise of the Call Option, except for the Surviving Obligations and the obligation of the Landlord to settle any Outstanding Debt, if any, all other terms of this Agreement shall terminate.

15.2 Further
 assurances

Both Parties hereby agree to jointly and diligently employ their best efforts to secure all necessary approvals, consents, and authorizations from any relevant parties required for the completion of the transactions contemplated under this Agreement, and each Party commits to using commercially reasonable efforts to execute and deliver, or cause to be executed and delivered, all requisite documents, and to undertake or facilitate all actions that are reasonably necessary or appropriate to effectuate the provisions of this Agreement, ensuring that all such actions and documentations comply with applicable law, including the execution and delivery of instruments of conveyance, transfer, and assignment, and other necessary actions to effectively transfer to the Lessee the assets, rights, and obligations stipulated under this Agreement.

16. MISCELLANEOUS

16.1 Assignment

No Party may assign any of its rights or obligations under this Agreement without the prior written consent of the other Party.

16.2 No
 Right of Rescission, Termination or Reversal after Closing

None of the Parties may after the Closing Date rescind, terminate or otherwise require the reversal of any transactions contemplated by this Agreement.

16.3 Sole
 Remedies

The remedies provided for in this Agreement shall be the sole and exclusive remedies of the Lessee, and shall exclude any other claim for damages, reduction of the consideration, termination of contract or other remedies against the Landlord that would otherwise be available by law, provided however that the Lessee shall be entitled to injunctive relief and specific performance.

16.4 Costs
 and Expenses

The Parties shall (for the avoidance of doubt with the exception of the Assumed Liabilities) cover their respective costs and expenses in connection with this Agreement and the completion of the transactions contemplated hereby, including professional fees and costs of legal and financial advisers, accountants and other advisers.

16.5 Public
 Announcement

The initial press release(s) disclosing this Agreement and the transactions contemplated hereby shall require the written approval of both the Lessee and the Landlord. The Parties will, to the extent practicable, consult with each other regarding any subsequent public announcement or similar publicity with respect to this Agreement or the transactions contemplated hereby.

16.6 Notices

Any notice required to be given under this Agreement by any Party shall be in writing and shall be deemed to have been given if mailed by prepaid registered mail, sent by email or delivered to the address of the other Party set forth below:

---

| | |
|:---|:---|
| **If to the Landlord:** | Exanorth AS |
|  | <u>frank.aadnevik@bitzero.com</u> and <u>mohammed@bitzero.com</u> |
| **If to the Lessee:** | Sowrer AS |
|  | <u>mdm@cowa.io</u> and <u>legal@cowa.io</u> |

---

16.7 Counterparts

This Agreement may be executed in counterparts and shall be effective when each Party has executed a counterpart.

16.8 Severability

If any of the provisions of this Agreement is found by any competent authority to be void or unenforceable, it shall be deemed to be deleted from this Agreement and the remaining provisions of this Agreement shall remain in force and effect. Notwithstanding the foregoing, the Parties shall negotiate in good faith in order to agree the terms of a mutually satisfactory provision to be substituted for the provision so found to be void or unenforceable.

16.9 Entire
 Agreement

The Agreement and its appendices constitute the entire agreement between the Parties on all issues to which the Agreement relates. The contents of this Agreement and its appendices supersede all previous written or oral commitments and undertakings.

16.10 Governing
 Law

This Agreement and all other issues to which the Agreement relates shall be governed by and construed in all respects by the laws of Norway.

16.11 Dispute
 Resolution

(a) Any
 dispute, controversy or claim arising out of or in connection with this Agreement, or
 the breach, termination or invalidity hereof, shall be finally settled by arbitration
 in Oslo in accordance with the Norwegian Arbitration Act of 14 May 2004 no. 25. The arbitration
 panel shall consist of three arbitrators, unless otherwise agreed between the Parties.
 The Landlord shall appoint one arbitrator and the Lessee shall appoint one arbitrator.
 Such appointed arbitrators shall appoint the chairman of the arbitration panel, who shall
 be a respected business lawyer. In the event either the Landlord or the Lessee has failed
 to appoint an arbitrator within fourteen days after a Party in writing has requested
 arbitration, or the arbitrators appointed by the Parties have failed to appoint the chairman
 within 30 days after the last arbitrator appointed by a Party was appointed, the relevant
 arbitrator shall be appointed by the Chief Justice of the Oslo District Court.

(b) Unless
 otherwise agreed between the Parties, the language of the arbitration shall be English.

(c) The
 Parties agree that any arbitration and arbitral awards shall be confidential and undertake
 to enter into a separate confidentiality agreement to that effect if and when a dispute
 arises.

\* \* \*

**SIGNATURE PAGE**

**LEASE TRANSFER AND GOVERNANCE AGREEMENT:**

**Sowrer AS**

    <br> Name: Michele Di Minno Name: <br> Title: Board Director Title:

**Exanorth AS**

    <br> Name: Mohammed Salah S Bakhashwain Name: <br> Title: Chairperson Title:

**Appendix 1 - The Original Agreements**

(a) Hosting
 and Maintenance Services Agreement between Exanorth AS and Sowrer AS dated 16 September
 2022, as amended by Amendment Agreement dated 14 March 2023;

(b) Lease
 Agreement between Exanorth AS and Sowrer AS dated 16 September 2022, as amended by Amendment
 Agreement dated 14 March 2023 (the **"Original Lease Agreement")**;

(c) Management
 Agreement between Bitzero Inc. and G75 Capital dated 16 September 2022, as amended by
 Amendment Agreement dated 14 March 2023; and

(d) Option
 Agreement between Exanorth AS and Sowrer AS dated 16 September 2022, as amended by Amendment
 Agreement dated 14 March 2023.

**Appendix 2k) - COWA Infrastructure**

---

| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**Item Description** | &nbsp;&nbsp;**Comments and model** | &nbsp;&nbsp;**Amount** |
| &nbsp;&nbsp;High Voltage | &nbsp;&nbsp;Transformer | &nbsp;&nbsp;3,2MVA 22/0,4kV | &nbsp;&nbsp;6 |
|  | &nbsp;&nbsp;Transformer, housing | &nbsp;&nbsp;More Maxi + Foundations | &nbsp;&nbsp;6 |
| &nbsp;&nbsp;Containers | &nbsp;&nbsp;Container | &nbsp;&nbsp;Goldingen containers, 312 Miners capacity, CCTV, access control and fire alarms | &nbsp;&nbsp;15 |

---

**Appendix 2r) -Grid Connection and Power Supply Agreement**

**Appendix 2v) -Lease Agreement**

**GRID CONNECTION, MAINTENANCE AND POWER SUPPLY AGREEMENT**

**between** 

Exanorth AS

**and**

Sowrer AS

This agreement (the **"Agreement")** is entered into 13 April 2024 between:

**Exanorth AS,** org no 921 677 421 **("Supplier")**; and

**Sowrer AS,** org no 927 234 475 **("Customer")**,

each a **"Party"** and jointly the **"Parties"**.

1. BACKGROUND
 AND PURPOSE

Exanorth has established a hosting site in Tunnsjodalsveien 178, 7892 Trones, Norway, with access to a maximum power capacity of 40 MW (the **"Data Centre").** The Data Centre is connected to the power grid with the 40 MW of capacity pursuant to a grid connection agreement with the local grid operator Tensio.

This Agreement is entered as part of a lease transfer and governance agreement entered into between the Parties dated 13 April 2024 (the **"LTGA"),** following which the Parties have agreed to establish a lease agreement (the **"Lease Agreement")** for the Customer's lease of a certain part of the Data Centre area (the **"Leased Area")** from the Supplier for the establishment and operation of equipment owned by the Customer. As such, the Customer has deployed mining equipment with appurtenant containers (directly or through affiliates) with an initial installed capacity of 14 MW, and is in the process of deploying an additional 1 MW (the **"Equipment")** in the Leased Area. As a result of the LTGA, the Customer will in addition to the Equipment, also host 2MW of Arcane Green Data Services' **("Arcane")** servers at the Leased Area pursuant to a hosting agreement dated 10 June 2022 (the **"Arcane Contract").**

This Agreement regarding grid connection and power supply is entered between the Supplier and the Customer pursuant to the LTGA, for the purpose of securing necessary grid connection/capacity, maintenance services and power supply for the Customer (directly or indirectly through its affiliates) to (i) operate the Equipment and (ii) fulfil its obligations under the Arcane Contract, both at the Leased Area. Specifically, this means that the Supplier undertakes to ensure that grid connection/capacity and power supply for 17 MW of the 40 MW allocated power capacity available at the Data Centre property is made available for the Customer at the Leased Area at all times (subject to the uptime agreed in this Agreement) during the lease period under the Lease Agreement, including such that the Customer shall continue to benefit from up to 8 MW under a fixed price power purchase agreement entered into by the Supplier with Fortum Strom and 9 MW under any other active power purchase agreement based on spot price. The Agreement enters into force and the Parties' rights and obligations pursuant to the Agreements are effective as of closing of the LTGA.

2. MAIN
 TERMS - PASS THROUGH OF GRID CAPACITY AND POWER SUPPLY

The Parties hereby acknowledge and agree that the Supplier shall deliver, and the Customer shall receive, grid connection/capacity and power supply of up until 17 MW at the Leased Area throughout the entire lease period under the Lease Agreement.

The Parties hereby acknowledge and agree that the Supplier's delivery, and the Customer's receipt, of grid capacity/connection and power at the Leased Area according to the foregoing, shall be governed by the terms and conditions set out in this Agreement, and further that the terms and conditions of the Supplier's primary agreements for grid connection and power supply to the Data Centre property (the **"Primary Agreements"),** excluding the provisions regarding the Supplier's payment obligations, shall be expressly incorporated into and made a part of this Agreement to the extent applicable, and the Supplier shall ensure that the terms and conditions of the Primary Agreements are reflected and maintained in this Agreement to the extent applicable. The Primary Agreements are attached hereto as <u>Appendix 1</u> and <u>Appendix 2</u> (the grid connection agreement with Tensio and the fixed price and spot price power purchase agreement(s) with Fortum Strom respectively). For the avoidance of doubt, the Primary Agreements also include any active power purchase agreement based on spot price entered by the Supplier for the purpose of power supply to the Data Centre.

Any rights, obligations, and liabilities arising for Sowrer AS as the Customer under this Agreement shall mirror those rights, obligations and liabilities arising for Exanorth as the customer in the Primary Agreements (save for the payments obligations which are exhaustively regulated in this Agreement), and any rights, obligations, and liabilities arising for Exanorth as the Supplier under this Agreement shall mirror those rights, obligations and liabilities arising for the supplier in the Primary Agreements (save for the provisions regarding consideration which are exhaustively regulated in the Agreement), save for the limitation that this Agreement is limited to 17 MW whereas the Primary Agreements covers a higher volume. For the avoidance of doubt, this means that the Supplier shall only be obliged to redistribute until 17 MW of the capacity and power of the Primary Agreements, and the Customer shall only be obliged to pay for the until 17 MW of the capacity and power delivered to the Leased Area. It is also emphasized that this Agreement does not entail supply of grid services and power as such, but merely a pass through/distribution of such services as purchased pursuant to the Primary Agreements by leasing out the Leased Area as powered land.

To the extent there are any contradictions or discrepancies between the terms of this Agreement and the terms of the Primary Agreements, the terms of this Agreement shall prevail.

Pursuant to the LTGA, the Customer is obliged to pay a consideration of USD 3,500,000 to the Supplier at 31 May 2024 (the **"Remaining LTGA Consideration").** The Parties agree that if this amount is not paid in full by the Customer to the Supplier at 31 May 2024, then accordingly the Supplier shall be entitled to make a pro-rata reduction of the power capacity pursuant to this Agreement. For the avoidance of doubt, if the Customer does not pay any amount of the Remaining LTGA Consideration on or before 31 May 2024, this means that the Customer shall only be entitled to utilize, and the Supplier shall only be obliged to make available, 9,56 MW under this Agreement (assuming the initial capacity is 17 MW and that the Customer will have paid USD 4,500,000 of the consideration under the LTGA). If the Customer no later than 31 May 2024 pays parts of the Remaining LTGA Consideration, the available capacity shall be adjusted pro-rata accordingly. For example, if the Customer pays USD 1,000,000 of the Remaining LTGA Consideration on or before 31 May 2024, the Customer shall only be entitled to utilize, and the Supplier shall only be obliged to make available, 11,68 MW under this Agreement (assuming the initial capacity is 17 MW and that the Customer will have paid USD 5,500,000 of the consideration under the LTGA).

3. GRID
 CONNECTION POINT

The point of connection to the Supplier's grid is defined in <u>Appendix 3</u> to this Agreement, which means that the point of connection is in the low voltage infrastructure.

Any changes related to the grid connection points becomes part of the Agreement by updating <u>Appendix</u> 3. Any new grid connection points become part of the Agreement by including subsequent versions of <u>Appendix 3,</u> identified as <u>Appendix 3 a), 3 b),</u> etc. Both changes to existing connection points and new connection points shall be in writing and signed by both Parties prior to incorporation in the Agreement.

It is emphasized that the high voltage equipment on the Supplier's side of the point of connection at the time of this Agreement is operated by Tensio under Tensio's area license. The Parties acknowledge that the Supplier has applied for, and may therefore obtain, a facility license for the Supplier's own ownership and operation of the high voltage equipment. To the extent required due to regulatory requirements or orders, the Parties agree to conduct good faith negotiations and implement necessary amendments to this agreement, however such that the balance between the Parties shall always be maintained, cf. also clause 9 below.

4. SPECIAL
 TERMS

4.1 General

The Parties agree that the provisions of clause 4 constitute the special terms of the Agreement (the **"Special Terms").**

The requirements and the sections in this clause 4 are made in compliance with FOR-2004-11-30-1557, regulations on quality supply in the power system (No: leveringskvalitetsforskriften) § 1-3.

The Customer confirms to be aware of the consequences of the regulations set out in this chapter.

4.2 Quality
 of electricity supply

4.2.1 Applicable
 regulations

The quality of the electricity supply shall be in accordance with the requirements as set out in <u>Appendix</u> 4.

Each Party shall notify the other Party of any occurrences in its own installations that may influence the quality of electricity supply.

4.2.2 Power
 capacity

With the reservation as mentioned in clause 2 (last paragraph) above, the Customer is allowed to make use of up until 17 MW (the **"Capacity"),** as set out in <u>Appendix 4.</u>

The Parties agree that, save for in such events as set out in litra a) through c) below, the Customer shall have access to the Capacity 98% of the time (i.e. 98% "uptime"):

(a) Force
 Majeure: unforeseeable circumstances or events beyond the control of the Supplier that
 may disrupt or prevent the fulfillment of contractual obligations to provide electricity.
 These events typically include but are not limited to; (i) natural disasters such as
 earthquakes, hurricanes, floods, tornadoes, or wildfires, (ii) Acts of God, including
 extreme weather conditions such as storms, lightning strikes, or exceptionally severe
 winter conditions, (iii) war, hostilities, invasion, acts of foreign enemies, terrorism,
 or civil disturbances, (iv) Governmental actions, including changes in regulations, laws,
 or orders affecting power generation, transmission, or distribution, (v) labor disputes,
 strikes, lockouts, or other industrial actions that directly impact power generation,
 transmission, or distribution, (vi) equipment failures or breakdowns beyond reasonable
 control, including those caused by manufacturer defects, unexpected technical issues,
 or supply chain disruptions, (vii) unforeseen accidents, explosions, fires, or other
 incidents at power generation facilities, substations, or transmission lines, (viii)
 epidemics, pandemics, or public health emergencies that disrupt operations or prevent
 personnel from fulfilling their duties, (ix) acts or omissions of third parties, suppliers,
 contractors, or service providers that directly affect the availability or delivery of
 electricity, and/or (x) any other events or circumstances that are unforeseeable, unavoidable,
 and beyond the reasonable control of the Supplier, which make it commercially impracticable
 or impossible to perform its obligations under the Agreement.

(b) Planned
 Maintenance and/or Repair: maintenance and/or reparation activities duly notified to
 the Customer in writing with one week's prior notice, and which does not last for
 more than 6 hours per day for each maintenance/reparation activity, and which does not
 exceed a total of 12 hours on aggregate per year (the "Maximum Maintenance Period"),
 or maintenance and/or reparation activities validly imposed and notified by Tensio under
 the Primary Agreement.

(c) Participation
 in power flexibility markets subject to the Customer's prior written consent.

In the event of a Force Majeure situation or a Planned Maintenance and/or Repair situation pursuant to litra a) and/or b) above, and to the extent allowed pursuant to the Primary Agreements, the Supplier is relieved from its contractual obligations during the relevant period, and the Customer is entitled to a corresponding extension of the Agreement period.

4.2.3 Mitigation
 measures

In case the quality of electricity supply in one or several points of connection does not comply with the agreed requirements, the Parties shall jointly evaluate appropriate mitigation and/or measures that should be implemented.

The Supplier shall cover the costs for necessary equipment to measure the quality of the electricity supply, if required in applicable laws and regulations and unless otherwise agreed.

4.2.4 Notice

The Supplier is obliged to notify the Customer of any planned supply interruptions or outages, including expected time and duration of the interruption/outage. Notifications shall, to the extent possible, be given in writing at least 24 hours before any planned interruptions or outages.

5. GENERAL
 TERMS

<u>Appendix 5</u> "Fornybar Norges anbefalte tilknytningsvilkgr for nringskunder" and <u>Appendix 6</u> "Fornybar Norges anbefalte nettleievilkAr for nringskunder" will apply as general terms of the Agreement (the **"General Terms"**). In the event Fornybar Norge issues updated versions of the documents, <u>Appendix 5</u> and <u>Appendix 6</u> shall be replaced by the updated versions and made available for the Customer. If, and to the extent there is any inconsistency or discrepancy between the provisions of the Special Terms and the General Terms, the Special Terms shall take precedence.

6. SERVICES

In addition to the Supplier's obligation to maintain and deliver grid connection and power supply in accordance with this Agreement, the Supplier shall be obliged to ensure general maintenance of the Data Centre site and its electrical equipment, including the Leased Area and infrastructure established thereto, to ensure at least 98% uptime of the Customer's Equipment at the Leased Area and equipment placed on the Leased Area as part of the Arcane Contract (the **"Services"**).

For the avoidance of doubt, the Customer is responsible to pay for any costs relating to spare parts or replacement machines, and to procure insurance for its own Equipment (including all the mining machines). Consideration and payment.

In consideration for the Supplier's fulfilment of the Services, the Customer shall pay a fixed monthly fee of USD 22,000 (twenty-two thousand US dollars), inclusive of VAT, being understood that this consideration may be revised every year to take into account inflation capped at 3% annual increase. The fixed monthly fee pursuant to this clause 0 shall be paid upfront one month in advance. As an example, the fixed fee for June 2024 must be paid no later than 30 April 2024 and so on. To the extent the Supplier becomes entitled to make a pro-rata reduction of the power capacity pursuant to this Agreement due to the Remaining LGTA Consideration not being paid in full by the Customer at 31 May 2024, then the fixed monthly fee pursuant to this paragraph shall be adjusted proportionally.

In addition to the fixed monthly fee mentioned above, the Customer shall monthly pay any electricity charges and grid costs with relevant taxes the Supplier has incurred under the Primary Agreements on a pass through basis. The electricity charges and grid costs with relevant taxes shall be paid with a one month buffer upfront (based on the weighted average price of any fixed price power purchase agreement entered into by the Supplier + applicable grid tariffs and taxes). As an example, the electricity and grid payment for June 2024 must be paid no later than 30 April 2024 and so on. The Parties shall settle/reconciliate in arrears against the actual electricity and grid cost on a quarterly basis. The Parties shall make reasonable endeavors to put in place appropriate measures/security against unusual peaks in the spot electricity market.

Furthermore, the Customer shall reimburse to the Supplier an amount equal to any service fees (including taxes) charged by Tensio or any other supplier for operation and maintenance of high voltage equipment.

For the avoidance of doubt, if the Supplier obtains a license under the Energy Act to own and operate high voltage equipment, certain parts of the grid costs will be issued/tariffed by the Supplier, and the Customer has agreed that the relevant parts of the grid costs will be paid to the Supplier.

The Customer shall be obliged to pay to the Supplier the Customer's proportionate share of such deposit as is required to be paid by the Supplier under any Primary Agreement at any given time.

The Customer is entitled to a share of the Supplier's revenues from the Supplier's participation in power flexibility markets as reflected in the Supplier's annual accounts for relevant capacity made available of the 17 MW. The Supplier shall redistribute the Customer's share of such revenues to the Customer on 1 June each year (provided that the Supplier's annual statements have been revised).

7. DURATION
 AND TERMINATION

This Agreement shall come into force upon signing by both Parties, and shall have the same duration as the Lease Agreement.

The Customer has the right to terminate either (i) the entire Agreement (regarding both power, grid connection and maintenance); or (ii) only the maintenance part of this Agreement, both with 60 days notice.

In the event of a termination in part, cf alternative (ii) above, the Parties shall renegotiate the consideration under clause 7 in good faith.

8. CHANGES
 IN LAW

This Agreement, including the Special Terms and the General Terms, is made in compliance with the applicable laws and regulations.

Any changes in such laws, regulations, terms of licenses, system changes and/or decisions by public authorities that necessitate changes to this Agreement, entitles the Supplier to amend the terms accordingly. The Supplier shall give the Customer 14 days written notice of the changes.

In the event public authorities, due to prior inspection, issues an individual decision or states an order that changes the presumptions of the terms of this Agreement, each Party may claim renegotiation of the terms. The Customer shall have the right to stay connected until new terms are agreed upon.

In the event of changes in law, regulations, governmental policies or individual decisions and/or orders affecting the Agreement, each Party shall undertake commercially reasonable efforts to mitigate the impact of such changes. This includes promptly informing the other party and cooperating in good faith to explore potential solutions or adjustments to the Agreement terms, operations, or procedures to minimize disruption and ensure continued performance. Such efforts may include but are not limited to:

- Conducting a thorough analysis of the legal changes and their implications on the contract.

- Exploring alternative methods of compliance with the new legal requirements.

- Negotiating amendments or revisions to the contract terms as necessary to reflect the changed legal landscape.

- Implementing operational adjustments or improvements to maintain or enhance efficiency in power generation, transmission, or distribution.

- Seeking legal advice or guidance from qualified professionals to ensure compliance and mitigate risks.

Both parties shall bear their respective costs incurred in mitigating the impact of changes in law, unless otherwise agreed upon in writing. Failure of either party to fulfill this undertaking shall not constitute a waiver of rights or remedies available under the Agreement or at law.

9. LIABILITY

Each Party's liability due to a default of its obligations pursuant to this Agreement is limited to three months' electricity cost per default. Both parties shall use their best endeavors to remedy the situation within 45 days, unless such remedy is disproportionately challenging, as determined by the parties. The aforementioned limitation on liability shall not apply where the defaulting Party has displayed gross negligence or willful misconduct, and shall under no circumstance or in any sense be construed as a carve-out or limitation of the Customer's step in rights pursuant to clause 11 below.

10. DEFAULT

In addition to ordinary remedies for breach of contract, if the Supplier fails to either (i) provide the Capacity with 98% uptime calculated over two consecutive months (i.e. 60 consecutive days) or (ii) to provide the Capacity with at least 85% uptime calculated over a period of one month (i.e. 30 consecutive days), the Customer, at the Customer's full discretion and subject to any limitation following from applicable regulatory framework, shall have a right to (a) step in and replace the Supplier in the Primary Agreements (including in the Supplier's relationship with the regional grid company), (b) step in and replace the Supplier in any arrangement relating to the Supplier's high voltage and low voltage equipment, and (c) acquire the high voltage equipment and low voltage equipment from the Supplier (both against paying a fair market value for the assets) and assume and replace the Supplier in all contracts and permits relating thereto. For the avoidance of doubt, to the extent the Customer's exercise of its right pursuant to this clause 11 triggers a need for consent, approval or permit etc. from any public authority, the Supplier shall be obliged to assist the Customer and make all reasonable efforts on necessary for the Customer's obtainment of such consent, approval or permit.

11. CONFIDENTIALITY

All information exchanged or otherwise transferred between the Parties in relation to this Agreement shall be treated as confidential and shall not be disclosed to any third parties without the prior written consent of the other Party.

A Party may nevertheless make such information available to third parties provided that the information was already known to that Party at the time the information was received, or that the information is or becomes part of public domain other than through a fault of either of the Parties, or is rightfully received from a third party without an obligation of confidentiality or disclosure is necessary due to applicable laws and regulations.

Neither Party shall disclose the terms of this Agreement without the prior written consent of the other Party except:

(a) to
 the extent required by applicable laws and regulations;

(b) to
 an affiliated company;

(c) to
 a potential investor after written notice to the other Party; and

(d) to
 its accountants, auditors and legal advisors, subject to obligations of confidentiality
 at least as restrictive as set forth in this Agreement.

12. COMMUNICATION

Any notices, requests, consents, determinations etc. to be given under or in connection with this Agreement shall be addressed as follows:

(a) To
 the Supplier:

Exanorth AS

Att.: Frank A. Aadnevik

<u>E-mail: frank.aadnevik@exanorth.com</u> / <u>post@exanorth.com</u>

(b) To
 the Customer:

Sowrer AS

Att.: Michele Di Minno

<u>E-mail: mdm@cowa.ai</u>

With a copy to: <u>legal@cowa.ai</u>

All communication between the Parties shall be in English. Documentation may be presented in Norwegian.

13. ASSIGNMENT

Neither Party shall assign all or any part of its rights or obligations under the Agreement or any benefit or interest in or under the Agreement without the prior written consent of the other Party. Such consent shall not be unreasonably withheld. For the avoidance of doubt, a disposition (whether a transfer, sublease or change of control) that is allowed under the Lease Agreement shall be allowed (without the other party's consent) also under this Agreement. To the extent the Parties' respective rights of first refusal in the Lease Agreement are exercised, the exercising Party shall also have the right to acquire such rights and assets from the other Party related to grid and power as is required to operate the relevant Party's business at the Data Centre.

14. GOVERNING
 LAW AND DISPUTE RESOLUTION

This agreement is governed by Norwegian law. Norwegian choice of law provisions shall under no circumstance result in the choice of the laws of any other country as governing law.

Any dispute that may arise in relation to this agreement shall be resolved by legal proceedings before the ordinary courts of law, with Midt-Hglogaland district court as the exclusive venue. The group of courts having jurisdiction under the ordinary provisions on provisional measures is not limited by this clause.

A dispute regarding issues governed by regulations with its legal basis in LOV-1999-06-29-50, the Energy Act (No: energiloven) may be referred to the Norwegian water resources and energy directorate (NVE) for evaluation.

\* \* \*

This Agreement may be signed in counterparties.

---

| | |
|:---|:---|
| **Exanorth AS** | **Sowrer AS** |
| Mohammed Salah S Bakhashwain | Michele Di Minno |
| Styreleder/chairperson | Board Director |

---

**Appendix 1 - Grid connection agreement with Tensio**

**Appendix 2 - Power purchase agreements with Fortum Strom**

**Appendix 3 - List of connection point(s) with measuring point ID**

**Appendix 4 - Conditions for supply, incl power capacity and deviations from "leveringskvalitetsforskriften"**

**Appendix 5 - "Fornybar Norges anbefalte tilknytningsvildr for naeringskunder"**

**Appendix 6 - "Fornybar Norges anbefalte nettleievillar for nringskunder"**

## Exhibit 99.48

**Exhibit 99.48**

![](img008_v3.jpg)

**FAR HOLDINGS BERMUDA LTD**

**AND**

**BITZERO BLOCKCHAIN INC.**

**SALES AND PURCHASE AGREEMENT**

**THIS SALES AND PURCHASE AGREEMENT** (the "SPA") dated October 30, 2025, is signed by and between BitZERO Blockchain Inc., with its corporate office at 1000 Cathedral Place, 925 W. Georgia St., Vancouver, British Columbia, V6C 2C3, Canada (the "Purchaser"), and FAR Holdings Bermuda Ltd with its registered office at Rosebank Centre, 5th Floor 11 Bermudiana Road Pembroke HM 08, Bermuda (the "Supplier").

**ARTICLE 1 – DEFINITIONS** 

The terms used in this Sales and Purchase Agreement shall have the meanings assigned to them below, unless the context indicates otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 "Purchaser"
 refers to BitZERO Blockchain Inc.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 "Supplier"
 refers to FAR Holdings Bermuda Ltd.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 "Manufacturer"
 refers to JY Transformer Co. Ltd.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4 "Sales
 and Purchase Agreement," "Contract," or "Agreement" refers
 to this contract between the Purchaser and the Supplier, including all terms, provisions,
 conditions, and specifications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.5 "Purchase
 Price" refers to the Supplier's contract price listed in Appendix 1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.6 "Equipment"
 refers to the Transformer to be constructed by the Manufacturer and provided by the Supplier
 under this Sales and Purchase Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7 "EXW"
 (Ex Works) shall have the meaning assigned to it in the International Rules for EXW,
 which refer to delivery at the Manufacturer's premises (factory or warehouse).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.8 "Services"
 refers to supervision of commissioning, technical assistance, training, and other obligations
 of the Manufacturer covered under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.9 "Agreement
 Specifications" refers to the Supplier's commercial offering, the Purchaser's
 Technical Specifications, and any optional system spares, including any addenda or amendments
 agreed upon in writing by the Purchaser and the Supplier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.10 "Site
 Acceptance Test Certificate" (SAT) refers to the certificate issued by the Purchaser
 after successful completion of performance guarantee tests at the Site, marking the beginning
 of the "Warranty Period."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.11 "Completion
 Date" means the date on which the Manufacturer has successfully completed the Factory
 Test Report for all Equipment under this Agreement, has issued the Factory Test Report
 to the Purchaser, and has made all Equipment available for pickup at the Manufacturer's
 premises in accordance with the EXW delivery term.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.12 "Warranty
 Period" refers to the time during which the Manufacturer is fully responsible for
 addressing any defects in the design, engineering, materials, or manufacturing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.13 "Delivery
 Destination" refers to the location where the Equipment will be delivered, Exanorth
 AS, Tunnsjødalsveien 178, Trones 7892, Norway.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.14 "Site"
 refers to the location where the Equipment will be installed in Norway.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.15 "Supervision"
 refers to the services provided by an authorized representative of the Manufacturer to
 fulfill the Manufacturer's obligations at the Site.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.16 "Sub
 Supplier" refers to any person, firm, or corporation with whom the Manufacturer
 or the Supplier has contracted for the supply of any part of the Equipment and Services
 in accordance with the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.17 "Closing"
 refers to a date to be agreed among the Parties to occur no more than 5 business days
 from the date hereof.

**ARTICLE 2 – GENERAL FEATURES** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 The
 Scope of Supply of Equipment is detailed in Appendix 1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 The
 Technical Specifications of Equipment are detailed in Appendix 2.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 The
 Manufacturer shall be responsible for the completeness of the Scope of Supply. The submission
 and return of all drawings and technical documents by the Purchaser do not release the
 Manufacturer from their responsibility to fulfill the Scope of Supply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 The
 drawings, data, Technical Specification and other related technical documents that the
 Manufacturer is required to submit shall be provided to the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 The
 Manufacturer shall execute the Agreement according to the Technical Specifications. The
 Supplier is required to immediately notify the Purchaser of any changes to the technical
 data related to the Equipment (e.g., technological developments) that the Manufacturer
 intends to implement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 In
 the event of any inconsistency or discrepancy between the Technical Specifications, the
 Scope of Supply, and the final approved construction drawings, the final approved drawings
 shall prevail and govern the manufacture, testing, and delivery of the Equipment. The
 Manufacturer shall ensure that all production conforms to the latest Purchaser-approved
 drawings.

**ARTICLE 3 – AUTHORITY TO MODIFY** 

No modification or change to this Agreement, no waiver of any of its provisions, and no additional contractual relationships between the parties shall be valid or enforceable unless made through an amendment to this Agreement that is signed by both parties.

**ARTICLE 4 – EFFECTIVE DATE OF AGREEMENT** 

**<u>This Agreement shall take effect on the date of receipt of the advance payment by the Supplier</u>**<u>.</u>

**ARTICLE 5 – CONTRACT PRICE** 

The Purchaser agrees to purchase the Equipment from the Supplier for five million nine hundred sixty-five thousand nine hundred eighty dollars and zero cents (USD $5,965,980.00), referred to as the "Purchase Price." The order amount shall be considered fixed and final on an EXW basis, inclusive of seaworthy packaging and all other items specified in Appendix 1 and aligned with the Purchaser's original technical specifications.

**ARTICLE 6 – TERMS OF PAYMENT**

6.1 **Purchase Price Structure**. The Purchaser shall remit the total Purchase Price to the Supplier
 through a combination of cash payment and a convertible note, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Cash Payment:** Three million one hundred eleven thousand nine hundred ninety dollars and zero cents (USD $3,111,990.00); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) **Convertible Note:** The remaining two million eight hundred fifty-three thousand nine hundred and ninety dollars and zero cents (USD $2,853,990.00) shall be provided to the Supplier in the form of a convertible note, with a face value of two million eight hundred fifty-three thousand nine hundred ninety dollars and zero cents (USD $2,853,990.00), issued by the Purchaser to Supplier. The convertible note shall be convertible into equity at a valuation of forty cents (USD $0.40) per share, shall bear an interest rate of ten percent (10%) per annum, shall mature in 18 months from the date of issuance (the "Maturity Date"), and, in the event of default, shall bear interest rate of twelve percent (12%) per annum (the "Interest Payment"). The Interest Payment shall be made in BitZERO's shares at the price of $0.40 USD per share at the Maturity Date. Definitive documentation governing the note shall reflect customary and commercially reasonable terms for both parties, including conversion mechanics, rights upon default, anti-dilution provisions, no lock ups and other reasonable protective covenants that is requested by Supplier, and shall be freely assignable by Supplier (hereinafter, the "Convertible Note").

6.2 **Payment Schedule** The payment obligations under this Agreement shall be made according to the following schedule:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. **Prepayment**.
 The Purchaser shall pay four hundred twenty-eight thousand ninety-eight dollars and fifty
 cents (USD $428,098.50) in cash at Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. **Progress Payment**. The Purchaser shall pay two million six hundred eighty-three thousand eight
 hundred ninety-one dollars and fifty cents (USD $2,683,891.50) in cash, within five (5)
 calendar days of the issuance of the Factory Test Report, and prior to the release of
 any equipment from the manufacturer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. **Issuance of Convertible Note**. The Purchaser shall issue the full amount of the convertible
 note in the amount of two million eight hundred fifty-three thousand nine hundred ninety
 dollars and zero cents (USD $2,853,990.00) to Supplier at Closing of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. **Convertible Note Expiry Provision**. The convertible note shall contain a provision stating that,
 in the event the Purchaser has fully complied with its obligations under this Agreement
 and the Completion Date does not occur on or before April 22, 2026, the convertible note
 shall be deemed null and void and of no further force or effect.

6.3 All
 payments made by the Purchaser to the Supplier are non-refundable and are not subject
 to any abatement, set-off, claim, counterclaim, adjustment, or reduction for any reason.

6.4 The
required shipping documents are as follows:

- Three (3) originals of the Commercial Invoice.

- Three (3) originals of the Bill of Lading.

- One (1) original and two (2) copies of the Packing List.

- One (1) Name Plate per transformer.

**ARTICLE 7 – LIMITATION OF EXPENDITURE**

The Supplier shall not be authorized or compensated for any increase in total liability to the Purchaser or in the price of the work due to design changes, modifications, or interpretations of the statement of work unless such changes have been approved by the Purchaser through a written amendment to the Agreement before being incorporated into the work.

**ARTICLE 8 – DELIVERY DATE**

Production shall be completed within approximately ninety (90) days from the date of final drawing approval by the Purchaser, followed by an estimated thirty (30) days for sea transportation.

**ARTICLE 9 – DELIVERY TERM**

The delivery of the Equipment shall be made on an EXW (Ex Works) basis, with delivery taking place at the Manufacturer's premises.

**ARTICLE 10 – WARRANTY** 

10.1 The
 warranty period for the Equipment shall be thirty-six (36) months commencing from the
 date of issuance of the Site Acceptance Test Certificate (SAT), provided that installation,
 testing, and commissioning are performed in accordance with factory standards by a certified
 and qualified technical company. A copy of the corresponding test report shall be submitted
 to the Manufacturer via the Supplier. Notwithstanding the foregoing, the warranty period
 shall in any event commence upon the first energization of the Equipment, which shall
 occur no later than December 31, 2026. In the event the Equipment remains idle (i.e.,
 not installed or energized) for more than six (6) months after arrival at site, the Client
 shall bear the cost of the oil change and nitrogen refill that may be required.

10.2. The
 Supplier and the Manufacturer shall not be responsible, and the warranty shall not apply,
 if the Equipment has been subjected to any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Any damage occurring during transportation after the goods have been made available for pickup at the Manufacturer's premises under EXW terms, including any damage sustained in transit or resulting from improper storage or handling by the Purchaser or its designated carrier;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Any alteration or modification made without the Manufacturer's prior written consent.

**ARTICLE 11 – PACKING, MARKING AND PREPARATION FOR SHIPMENT** 

The Manufacturer shall package the Equipment to ensure protection against the rigors of shipment, trans-shipment, multiple handling, and unloading, in accordance with INCOTERM 2000 and the mode of transport as per FIATA member carrier requirements and best commercial practices. The packaging and preparation for shipment shall include, but are not limited to, the following:

11.1 **Packaging Standards**: All equipment and materials shall be packaged in first-quality, seaworthy
 containers or packing. No second-hand equipment will be used. The Manufacturer is responsible
 for providing heater strips to prevent condensation and potential corrosion during the
 sea voyage.

11.2 **Suitability for Transport**: All packaging will be suitable for handling, transport loading, from
 factories to the port of embarkation, and for sea freight, train offloading, and movement
 to the Site. All packing materials will become the property of the Purchaser. Unless
 specified, the Manufacturer shall provide packing that protects the goods while in storage
 for up to six months.

11.3 **Protective Measures**: All equipment and materials, along with applicable instruction books, packing
 lists, and special site storage instructions, shall be carefully boxed, crated, or otherwise
 adequately prepared for shipment. The Manufacturer shall take all necessary precautions
 to prevent damage from rain, moisture, humidity, condensation, mould, rust, corrosion,
 shock, and vibration. Vacuum packing, vapor-proof barriers, and desiccant shall be provided
 when electrical or sensitive materials and equipment are exposed to rain, moisture, high
 humidity, or similar conditions. Bright or machined surfaces required for precision fit
 shall be coated with rust-preventive compounds.

11.4 **Protection of Components**: Flanges, studs, and exposed machine-finished surfaces shall be appropriately
 protected before shipment. Any equipment susceptible to damage by water or high humidity
 shall be encased in watertight and/or airtight containers, with suitable desiccants placed
 inside each airtight container to ensure a low-humidity atmosphere.

11.5 **Sealing of Openings**: The ends of all nozzles, pipes, tubes, and conduits while in transit
 and storage shall be covered with caps to seal against the entrance of humidity, dust,
 dirt, and other foreign matter. Caps must be designed to prevent their inclusion in any
 system or equipment. The outside surfaces of these items shall be protected with proper
 paint or coating, which shall not obscure grade markings. Pipes, tubes, and conduits
 shall be supplied and stored in neat bundles. All openings in items shall be capped,
 plugged, and sealed. Weld end preparations shall be protected from corrosion and physical
 damage.

11.6 **Hazardous Materials**: The Manufacturer shall package hazardous materials in certified containers
 or with certified materials in compliance with hazardous material standards.

11.7 **Responsibility for Packing**: The Manufacturer shall be responsible for ensuring that the packaging
 is suitable for transit and for any loss or damage resulting from faulty packing.

11.8 **Insurance:** When responsible for delivery of the Equipment, the Manufacturer shall fully insure
 the Equipment at its full commercial value from the moment of dispatch until delivery
 at the Delivery Destination. This insurance shall cover all risks, including but not
 limited to, loss, damage, theft, and any other unforeseen events that may occur during
 transit, handling, and unloading.

11.9 **Equipment Identification**:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. **General**: Before leaving the Manufacturer's facility, all apparatus and fittings shall be printed or stamped in at least two (2) places with a marking number or letter that corresponds to the marking number or letter on the approved drawing and/or material list.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. **Plated Material**: Construction marks on galvanized or other plated materials shall be stamped before coating and must remain clearly legible after plating.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. **Number-Coded**: The packing list shall be number-coded using the same numbering system as the master Bill of Lading (BOL). This numbering system shall be based on the specifications and drawing numbers for component identification.

11.10 **Marking on Boxes, Cases, and Bundles**: The marking on boxes, cases, or bundles shall be applied
 using block letters and shall be stencilled onto the box, case, or bundle with black
 indelible paint. The markings shall include the following information: (a) Port of Destination;
 (b) Case Number; (c) Name of the Supplier; (d) Packing list for each case as per Technical
 Specification (both inside and outside of fully covered casing); (e) Net Weight, Gross
 Weight, and Dimensions (length, width, height); (f) For sensitive equipment, the marking
 "Fragile"; and (g) Order Number. The Manufacturer shall indicate the Supplier's
 order number on all relevant documents, including the commercial invoice, packing list,
 and any other related documentation.

**ARTICLE 12 – HANDLING, LOADING, UNLOADING, TRANSPORTATION**

12.1 **Handling Standards**. The Manufacturer shall comply with established international standards
 and regulations for the safe handling, loading, and unloading of the Equipment. These
 standards include, but are not limited to: a. The International Maritime Organization
 (IMO) guidelines for sea shipments; b. The European Agreement concerning the International
 Carriage of Dangerous Goods by Road (ADR) for applicable road transport within Europe;
 c. The International Air Transport Association (IATA) regulations for all air shipments,
 both domestic and international; d. The International Organization for Standardization
 (ISO) packaging and transport standards, including ISO 4180 for general cargo and ISO
 1161 for container handling; and e. Norwegian customs and import regulations, where applicable,
 for final delivery to Norway.

12.2 **Loading and Unloading Responsibilities**. The Manufacturer is responsible for ensuring the
 safe loading of the Equipment onto trucks, trailers, flatbeds, containers, railcars,
 aircraft, or ocean vessels. The Manufacturer must secure the Equipment to endure the
 conditions and challenges of transportation, transshipment, and multiple handling during
 loading and unloading. This responsibility includes, but is not limited to, the following:
 (a) Blocking and bracing any shipping units or their components to prevent movement during
 transit; (b) Loading materials and equipment onto skids or pallets whenever possible
 to facilitate safe and efficient handling with standard equipment; (c) Notifying the
 Purchaser in advance if any unloading process will require non-standard procedures, such
 as the use of cranes, winches, or other special equipment; (d) Providing a properly designed
 handling frame and support for large equipment during transportation or storage. Any
 structural elements, such as angles, bars, or channels, that must be removed before installation
 shall be painted yellow and clearly labeled with the stenciled message "Remove
 Before Installation" in a contrasting color; and (e) For ocean shipments, all cargo
 that is not contained in standardized containers must be stowed below deck.

12.3 **Transportation and Monitoring.** When responsible for delivery of the Equipment, the Manufacturer
 shall use safe and reliable carriers to move the Equipment. Manufacturer shall allow
 enough time to schedule the shipment with carrier, load and secure the Equipment, and
 for the carrier to deliver the shipment on or before specified delivery date within the
 carrier's normal transit time. Manufacturer shall install the impact recorder to
 monitor the whole transportation procedure, while the factory needs to put a seal alert
 "No Touch before Arriving Site." To the maximum extent possible, ship all
 major material and equipment fully assembled. Sub-assemblies and/or components may be
 shipped separately with prior approval of Purchaser. In the event due to size considerations
 that a sub-assembly or component cannot be reasonably prepared for shipment on standard
 industry carriers within the confines of Manufacturer's delivery obligations, specialized
 carriers may be considered. Supplier shall submit the transport dimension drawings and
 weight of affected material and equipment to the Purchaser for consideration.

**ARTICLE 13 – INTELLECTUAL PROPERTY RIGHTS**

13.1 The
 copyright for all drawings and other documents provided by the Manufacturer under this
 Agreement shall remain the exclusive property of the Manufacturer. The Purchaser is granted
 the right to use these drawings and documents solely for the purposes related to this
 Agreement.

13.2 The
 copyright for all drawings and other documents provided by the Purchaser under this Agreement
 shall remain the exclusive property of the Purchaser. The Manufacturer is granted the
 right to use these drawings and documents solely for the purposes related to this Agreement
 and not for any other purposes.

**ARTICLE 14 – INSPECTION AND PERFORMANCE TESTS**

14.1 The
Purchaser's authorized representative(s) shall have the right to investigate and inspect the Scope of Supply at any stage
of production or delivery during reasonable working hours, at their own expense.

14.2 The
Manufacturer shall, at its own expense, conduct performance tests of the equipment at its subcontractor's workshops in accordance
with international standards. The Purchaser, or an authorized inspector, shall have the right to attend these tests. The Manufacturer
shall notify the Purchaser of the time and place where the tests will be conducted, at least fifteen (15) working days before
the scheduled test date. These inspections and tests shall be completed before the related shipment, and the Manufacturer shall
provide the Purchaser with the test and inspection reports.

14.3 If,
after investigating, inspecting, examining, or testing any part of the equipment, the Purchaser or its authorized inspector determines
that any part is defective or not in compliance with the Agreement, the Purchaser may reject that part by providing written notice
to the Supplier within three (3) working days of completing the test or investigation. Upon receiving such notice, the Manufacturer
shall immediately review the equipment. If the Manufacturer does not agree with the rejection and the parties cannot reach a resolution,
the Purchaser and Manufacturer shall jointly seek to resolve the issue. If no agreement is reached, an international independent
surveying company, such as TÜV Süd, Lloyd's Register, Bureau Veritas, or another reputable firm, shall be appointed
to assess the situation. The cost of this surveying company shall be borne by the Purchaser. The decision of the surveying company
shall be binding on both parties. The Manufacturer shall remain obligated to fulfill all responsibilities under the Agreement
regardless of the outcome.

14.4 Additionally,
 the Purchaser may appoint an international surveying company to inspect the manufacturing
 process at any time. The cost of this inspection shall be borne by the Purchaser. The
 decision of this surveying company shall be binding on both parties.

14.5 The
tests of the transformer supplied by the Manufacturer under this Agreement shall be conducted in accordance with IEC (International
Electrotechnical Commission) Standard 60076. The performance of the transformer shall be tested according to IEC 60076 and other
relevant international regulations.

**ARTICLE 15 – STANDARDS** 

The dimensions and tolerances of the products shall conform to the applicable standards established by the International Electrotechnical Commission (IEC). All materials and equipment supplied under this Agreement shall be designed, manufactured, and tested in full compliance with IEC standards, all applicable European standards, and other relevant international codes and regulations.

**ARTICLE 16 – UNIT** 

The manufacture of the equipment shall use the metric system for all measurements, as follows:

● Length: meter (m) or millimeter (mm)

● Weight: ton (t) or kilogram (kg)

● Temperature: degrees Celsius (°C)

● Screw threads: to comply with ISO metric system

● Pressure: to comply with the International System of Units (SI)

International System of Units (SI) will be applied to the final "as-built" drawings alongside the metric system.

**ARTICLE 17 – PAINTING** 

Corrosion protection shall be in accordance with IEC 60076 Class 5. Welding or sandblasting shall be performed to SA 2.5 or an equivalent standard before being immediately painted with oil-resistant paint. Prior to painting, all surfaces shall be thoroughly cleaned, including sandblasting where necessary, to ensure they are free from loose substances and foreign matter. All unmachined surfaces of machinery, castings, structural members, and welded parts shall be painted with one coat of anticorrosive primer and two coats of finishing paint as soon as possible after surface preparation, for each piece of equipment, at the manufacturing shop. The Manufacturer shall provide a minimum of one (1) liter of touch-up paint, clearly labeled in English with application instructions and material hazard information.

**ARTICLE 18 – STORAGE / SUSPENSION** 

18.1 In
 the event that the execution or delivery of the Scope of Supply under this Contract is
 delayed due to any act, omission, or fault of the Purchaser, the delivery schedule shall
 be extended accordingly, and the Supplier shall bear no liability for any resulting delay,
 cost, or loss incurred.

18.2 If
 the Contract is partially or wholly terminated or withdrawn by the Purchaser for reasons
 not attributable to the Manufacturer, the Supplier shall be entitled to claim compensation
 for the greater of any amounts paid pursuant to this Agreement and its actual costs expended
 in connection with this Agreement.

**ARTICLE 19 – ASSIGNMENT & SUB-CONTRACTING** 

The Manufacturer shall not assign any part of its obligations to any third party without the prior written consent of the Purchaser. Such consent shall not be unreasonably withheld by the Purchaser. The Manufacturer guarantees that any subcontractors engaged by the Manufacturer to perform any part of the work under the Agreement will meet all contractual obligations.

**ARTICLE 19.1 – ASSIGNMENT OF SUPPLIER'S RIGHTS** 

The Supplier hereby assigns all and every right it may have towards the Manufacturer in relation to the Equipment as described in this Sales and Purchase Agreement and will use its best effort to enforce such rights in favor of the Purchaser when required to do so.

**ARTICLE 20 – CONFIDENTIAL NATURE OF DOCUMENTS** 

All contractual documents, drawings, photographs, plans, reports, recommendations, estimates, and any other data compiled or received by the Manufacturer under this Contract shall be the property of Purchaser. These materials shall be treated as confidential and shall be delivered exclusively to Purchaser upon completion of the work under this Agreement.

**ARTICLE 21 – FORCE MAJEURE**

21.1 If
 either the Purchaser, Supplier, or Manufacturer is wholly or partially prevented from
 fulfilling any of its obligations under the Agreement due to force majeure, such obligations
 shall be suspended to the extent and for the duration that they are affected by the force
 majeure. The party invoking this Article shall be entitled to a reasonable extension
 of time to fulfill the affected obligations, as may be necessary under the circumstances.

21.2 Force
 majeure, as referred to in this Article, shall include, but is not limited to, the following
 events: war, preparations for war, blockades, revolutions, insurrections, mobilizations,
 acts of governmental authorities, restrictions, Acts of God, plagues, freight embargoes,
 earthquakes, tidal waves, typhoons, storms, fires, explosions, floods, strikes, or any
 other conditions of a similar nature beyond the control of the affected party.

21.3 The
 party affected by the force majeure shall notify the other party in writing as soon as
 possible of the occurrence of the force majeure. Within three (3) days of such notification,
 the affected party shall send a certificate of evidence issued by the relevant authorities,
 confirming the occurrence of the force majeure, by registered airmail, provided such
 communication is available, or via electronic transmission.

21.4 If
 the force majeure event lasts for more than sixty (60) days, the parties shall meet to
 mutually agree on the appropriate measures to implement the Agreement moving forward.

**ARTICLE 22 – GOVERNING LAW AND ARBITRATION** 

22.1 **Governing Law.** This Agreement and any non-contractual obligations arising out of or in connection
 with it shall be governed by and construed in accordance with the laws of the State of
 New York, without regard to its conflict-of-laws principles that would result in the
 application of the laws of any other jurisdiction.

22.2 **Jurisdiction.** Each party irrevocably submits to the exclusive jurisdiction of the state and federal courts located in the County and
State of New York for the purpose of any suit, action, or proceeding arising out of or relating to this Agreement. Each party
waives any objection it may have to the venue of such proceedings in such courts and any claim that such proceedings have
been brought in an inconvenient forum.

22.2 **Arbitration**:
 At the election of FAR, any dispute, controversy, or claim arising out of or relating
 to this Agreement shall be finally settled by arbitration administered by the International
 Centre for Dispute Resolution (ICDR), the international division of the American Arbitration
 Association (AAA), in accordance with its International Arbitration Rules then in effect.
 The seat of arbitration shall be New York, New York, and the language of arbitration
 shall be English. The arbitral award shall be final and binding on the Parties, and judgment
 on the award may be entered in any court of competent jurisdiction.

10.4 **Waiver of Jury Trial.** Each party knowingly and voluntarily waives any right it may have
 to a trial by jury in any proceeding arising out of or relating to this Agreement. This
 waiver is a material inducement to the execution of this Agreement.

**ARTICLE 23 – TAXES AND DUTIES** 

All taxes, duties, or charges imposed by the Government of the People's Republic of China in connection with the performance of this Contract and payable by the Supplier under the applicable tax laws, including any applicable international tax treaties, shall likewise be borne solely by the Supplier.

**ARTICLE 24 – FOLLOW-ON SUPPORT**

The Manufacturer commits to providing the Purchaser with spare parts and technical support for the equipment for ten (10) years from the date of the Site Acceptance Test Certificate (SAT).

**ARTICLE 25 – SAFETY, HEALTH AND ENVIRONMENT**

The project shall be executed without loss of life, injury to personnel, damage to equipment or facilities, and without any environmental damage due to spills, unplanned discharges or improper waste handling. All applicable regulations with respect to health, safety, and environmental issues shall be met. PCB, asbestos or any other material known to represent health risk shall not be used. The Contract Object must conform with national emission regulations. This must be documented in the tender documents in form of an Environmental Product Declaration (EPD) according to EN 15804 or a similar environmental documentation described in ISO 14025. Emission regulations apply to the sum of climate gas emissions for the Contract Object from raw materials to factory inlet (A1-A3) according to EN 15804. The EPD for materials and products will be utilized to examine and document the environmental burden according to emissions for the project.

**ARTICLE 26 – LANGUAGE**

All notices, communications, statements, and other technical and commercial documentation required under this Agreement shall be provided in the English language. Nameplate fonts shall also be available in English.

**ARTICLE 27 – APPENDIXES** 

The following Appendix 1 and Appendix 2 form an integral part of this Agreement and incorporated by reference herein, as though fully set forth herein.

**ARTICLE 28 – ENTIRE AGREEMENT**

This Agreement constitutes the entire agreement of the parties hereto and supersedes all prior representations, understandings, undertakings or agreements (whether oral or written and whether expressed or implied) of the parties with respect to the subject matter hereof. This Agreement may not be altered, modified, or amended, unless such amendment or subsequent modification is in writing and signed by all parties hereto.

**ARTICLE 29 – COUNTERPARTS**

This Agreement may be executed in two or more counterparts, each of which shall be deemed to be an original but all of which, taken together, constitute one and the same agreement.

**IN WITNESS WHEREOF** the Parties acknowledge that this Agreement has been duly executed and delivered as of the date and year first above-mentioned.

*[Signatures follow on the next page.]*

---

| | |
|:---|:---|
| **Supplier** | **Purchaser** |
| FAR Holdings Bermuda Ltd | BitZERO Blockchain Inc. |
| Signature: | Signature: |
| Name: Franco Albo | Name: Mohammed Bakhashwain |
| Title: CEO and Director | Title: President |

---

Date:   Date:  

**Appendix 1 – Scope of Supply**

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Product Description** | &nbsp;&nbsp;**EXW Price (USD)** | &nbsp;&nbsp;**Qty.** | &nbsp;&nbsp;**Total (USD)** |
| &nbsp;&nbsp;**3-Phase Station Class Power Transformer –** <br> **New Build 60 MVA: 50 Hz, 65°C Rise.**<br> Primary (High Voltage): 132 kV Delta-Star<br> Secondary (Low Voltage): 22 kV Delta<br> Impedance: ~10.5% (Standard)<br> Cooling: ONAN Mineral Oil<br> Winding Material: Cu/Cu<br> Bushings: Top Mounted <br> 132 kV ±10 x 1.5% on-load tap changers shall be located in a separate tank and manufactured by *Shanghai Huaming Power Equipment Co.*<br> Standard transformer protection devices such as oil level indicator, Buchholz relay, winding and oil temperature indicators, pressure relief device, and oil sampling valves shall be included. For OLTC, transformer and expansion tank according to IEC 60076.<br> Tier 2 efficiency value: **99.745%.**  | &nbsp;&nbsp;$1672000 | &nbsp;&nbsp;2 | &nbsp;&nbsp;$3344000 |
| &nbsp;&nbsp;**3-Phase Distribution Transformer – 3600 kVA**:<br> 22/0.415 kV, 50 Hz, Dyn11 Connection. <br> KNAN required FR3 Oil <br> Hermetically Sealed Type Temperature Measurement:<br> Thermometer with dual contacts DGPT2 or similar. <br> Protection: DGPT2 multi-function protection relay with<br> integrated PT100 temperature transmitter <br> Tier 2 efficiency classification: AL Tier 2<br>The design shall comply with the following standards:<br> NVF:2024, <br> FEF:2006, <br> NEK 440, <br> EN 60076 Series power transformers, <br> EN 60214-1:2014 and IEC 601214 Series Tapchangers. <br> IEC 60296:2020 Fluids for electrotechnical applications, unused mineral insulating oils for transformers and switchgear. <br> IEC 60259 Ed. 2.2, 2013 / Cor. 1, 2019 Degrees of protection provided by enclosures (IP code), NS-EN ISO 1461:2022 Hot dip galvanized coatings on fabricated iron and steel articles, NS-EN-ISO 12944-2:2017 Paint and varnishes - corrosion protection of steel structures by protective paint systems - Part 2: classification of environments, <br> EN 61000 series Electromagnetic compatibility.  | &nbsp;&nbsp;$84580 | &nbsp;&nbsp;31 | &nbsp;&nbsp;$2621980 |

---

**Total Contract Value**: USD $5,965,980.<br> **Packaging**: Wooden case, seaworthy standard.<br> **Payment Terms**: $428,098.50 cash advance upon signing; $2,853,990 convertible note upon signing; $2,683,891.50 cash before dispatch.<br> **Warranty**: 3 years from installation, commencing no later than Dec 31 2026; Client covers oil change and nitrogen refill that may be required if idle over six months.<br> **Construction Lead Time**: Approximately 90 days after final drawing approval.

**Appendix 2 – Technical Specifications of Equipment**

**Section A – 60 MVA 132/22 kV Main Power Transformer**

---

| | | |
|:---|:---|:---|
| **Parameter** | **Unit** | **Specification** |
| Product type |  | Three-phase, two-winding oil transformer with natural oil and air circulation; voltage regulation under load on HV side; model SFZ-60000/132. Huaming HMV III-400Y/72.5-12233W. |
| Standard |  | IEC 60076 |
| Quantity | pcs | 2 |
| Rated system voltage | kV | 132 |
| Maximum operating voltage | kV | 145 |
| Installation category |  | Outdoor |
| Ambient temperature | °C | +40 to –45 |
| Altitude | m | Up to 1000 |
| Seismic resistance | MSK-64 points | ≥ 6 |
| Rated voltage HV/LV | kV/kV | 132 / 22 |
| Rated power HV/LV | MVA/MVA | 60 / 60 |
| Frequency | Hz | 50 |
| Vector group |  | YNd11 N dimensioned for 25 kA/ 1 second short circuit current. |
| No-load current (max) | % | 0.60 |
| Short-circuit impedance | % | 10.5 |
| Efficiency | % | 99.745 |
| No-load losses (max) | kW | 28 |
| Short-circuit losses on main branch (max) | kW | 210 |
| Conductor material |  | Copper |
| HV insulation test – LI full lightning impulse | kV | 650 |
| HV insulation test – chopped lightning impulse | kV | 715 |
| HV insulation test – 1-minute AC | kV | 275 |
| LV insulation test – chopped lightning impulse | kV | 125 |
| LV insulation test – 1-minute AC (r.m.s.) | kV | 50 |
| Short-circuit strength |  | Test or calculation based on verified methodology; transformer testing required. Minimum 31,5 kA on 132 kV side. |
| Insulation heat resistance | Class | A |
| Core construction |  | Step-lap technology |
| Magnetic circuit grounding terminal |  | Required on outer surface of tank |

---

---

| | | |
|:---|:---|:---|
| **Parameter** | **Unit** | **Specification** |
| HV bushings (quantity) |  | HV 3 / LV 3 / neutral 1 |
| HV bushing insulation |  | Internal oil; external porcelain |
| 20 kV bushing insulation |  | Dry type with external porcelain insulation. The 132 kV connection shall be Pfisterer Connex socket rated for 145 kV system voltage, for connecting 630 AL cable (Size 6). |
| Cooling type |  | Natural oil circulation; radiators mounted on tank; flat-stamped construction |
| Oil conservator |  | Required; constant oil presence across all operating modes and temperatures |
| Breathing system |  | Self-regenerating air dryer with humidity sensor and mesh filter. Expanding rubber bellows required. |
| Oil dipstick |  | With min/max sensors, UV filter, protective glass, and reference marks for –45 °C, +15 °C, +40 °C |
| Oil level indicators |  | Expander and transformer types; switch with min/max alarm contacts (Shenyang Deguang or equivalent) |
| Gas relay |  | With gas sampling device (no lifting required); Shenyang Deguang make |
| Oil temperature indicator |  | Four contacts; analogue outputs 4–20 mA |
| Winding temperature indicator |  | Fujianlide |
| Temperature sensors |  | Fujianlide |
| Shut-off valve |  | According to manufacturer technical solution |
| On-load tap changer (OLTC) switching technology |  | Shanghai Huaming Power Equipment Co. vacuum tap changer |
| OLTC tap range |  | 10 × 1.5 % on HV side |
| OLTC service life before first inspection | operations | ≥ 500 000 |
| OLTC mechanical life of contactor | operations | ≥ 1 200 000 |
| OLTC equipment |  | Jet relay, external position sensor (logometer), trigger counter |
| OLTC motor voltage | V | ~415 V AC |
| OLTC control circuits voltage | V | ~110 V DC |
| OLTC position indication |  | Displayed on automatic voltage regulator and logometer |
| OLTC position sensor interface |  | Four BCD signals; 6 Ω row; 10 Ω row; 4–20 mA analogue |
| Mean time between failures | h | ≥ 25 000 |

---

---

| | |
|:---|:---|
| **Parameter** | **Specification** |
| Service life | ≥ 30 |
| Service life of sealing rubber | ≥ 30 |
| Warranty period of operation | 36 |
| Technical maintenance | Per manufacturer's operating instructions |
| Safety requirements | Fire safety compliant; tank must be grounded. Control equipment for transformer are to be delivered with IEC 61850 interface to all functionality. Delivery of two remote digital controllers for main transformers, 1 per transformer of type SHM-KX. All texts, nameplates, instructions and descriptions to be delivered in English language and according to IEC 600076. |
| Ground connection thread | M12 |
| Ground strap cross-section | 40 × 4 |
| Grounding contact location | Bottom of tank on LV side |
| Access | Ladder with safety barrier attached to tank; stops provided |
| Sound level at 2 m (max) | 85 |
| Oil supply for operation | Complete filling of expander and tank; mineral oil type |
| Secondary cabling sheathing | "ng" grade copper with UV and mechanical protection |
| Secondary connection conduits | Stainless-steel corrugated pipe |
| Technical documentation set | Passports, instructions, drawings, acceptance tests, OLTC and oil test reports. 3D model, declaration of conformity. |
| Spare parts and accessories | As required for warranty period operation |
| Extra oil for warranty period | ≥ 2 % of total volume |
| Tank colour | RAL 7035 |
| Trolley | Swivel rollers with skid plates |

---

**Section B – 3600 kVA 22/0.415 kV Padmount Transformer**

Transformers shall have increased protection. This requires insulating fluid type K, for example Environmental Oil, Natural Ester Cooper FR3 or MIDEL. Furthermore, the transformer tank must be type tested and withstand an overpressure of 1.05 bar without bursting.

---

| | | |
|:---|:---|:---|
| **Parameter** | **Unit** | **Specification** |
| Product type |  | Padmount Transformer |
| Installation type |  | Outdoor |
| Rated power | kVA | 3600 |

---

---

| | | |
|:---|:---|:---|
| **Parameter** | **Unit** | **Specification** |
| Service altitude | m | < 1000 |
| Ambient temperature | °C | 40 |
| Cooling method |  | KNAN |
| Temperature rise (oil / windings) | K | 60 / 65 |
| Phases |  | 3 |
| Frequency | Hz | 50 |
| Primary voltage | V | 22000 |
| Secondary voltage | V | 420 |
| Core type |  | Cold-rolled grain-oriented |
| HV taps |  | Off-load, ± 2 × 2.5% |
| Vector group |  | Dyn11 |
| HV winding |  | Aluminium |
| LV winding |  | Aluminium |
| No-load current | % | 0.5 ± 30% |
| Impedance | % | 6 |
| Losses |  | In accordance with Tier-2 Technical Specification |
| Insulation class |  | Class A |
| AC withstand voltage HV | kV | 50 |
| AC withstand voltage LV | kV | 3 |
| Lightning impulse voltage HV | kV | 125 |
| Short-circuit withstand duration | s | 2 |
| Expansion tank |  | Oil pillow type |
| Tank construction |  | Corrugated wall type: No |
| Cover type |  | Bolted cover |
| Oil type |  | Mineral oil (IEC 60296). KNAN required (MIDEL or Coopers FR3 or similar). |
| Sound level LWA | dB | Not specified |
| Colour |  | RAL 7033 |
| Corrosion level |  | C5 |
| Dimensions / weights |  | Approximate; values not stated |
| HV bushings | pcs | 3 Touchsafe, Euromold 250 A |
| LV bushings | pcs | 4 |
| Thermometer pocket | pcs | 1 |
| PT100 | pcs | 1 |
| Wheels | pcs | 4 |
| LV flags | pcs | 4 |

---

---

| | | |
|:---|:---|:---|
| **Parameter** | **Unit** | **Specification** |
| Lifting lugs | pcs | 2 |
| Name plates | pcs | 2 |
| Earthing terminals | pcs | 2 |
| Drain valve | pcs | 1 |
| Oil filling pipe | pcs | 1 |
| Lashing eyes | pcs | 4 |
| Tap changer | pcs | 2 |
| Multifunctional protection relay DGPT2 | pcs | 1 |
| Compliance |  | IEC 60076-1 |
| Routine test |  | Included according to IEC 60076-1 |
| Note on dimensions / weights |  | "Dimensions and weights are approximate" |

---

## Exhibit 99.49

**Exhibit 99.49**

![](img020_v2.jpg)

**CONTRACT FOR THE SUPPLY OF ELECTRICAL POWER and BALANCE SERVICES**

**1.** **THE PARTIES** 

Exanorth AS (hereafter called the **"Buyer"**)

c/o Pluss-Økonomi AS

Postboks 2583

4678 KRISTIANSAND S

Business Register Number: 921 677 421

And

NTE MARKED AS (hereafter called the **"Seller"**)

7736 Steinkjer

Business Register Number: 991 854 126

**2.** **BACKGROUND** 

The Buyer is a subsidiary of BitZero Blockchain Inc, a Canadian company involved in the business of mining Bitcoins. The Buyer will establish a datacentre close to the Tunnsjodal power station in Namsskogan in Norway. The power station is owned and operated by **NTE** Energi AS (business registration number 988 340 715), a sister company of the Seller (hereinafter referred to as **"NTE Energi"**)**.**

The Seller is inter alia involved in the business of selling electric power to consumers and businesses in Norway.

The Buyer will consume a substantial amount of electricity at its datacentre at Tunnsjodal, and the planned weekly consumption therefore has to be reported the week prior to the actual consumption to enable the Seller to balance the electricity grid in the area. If the actual consumption deviates from the planned consumption with more than 10% over each week, the Buyer accepts that the Seller will impose an imbalance fee on the part exceeding the 10% of the difference between planned weekly consumption and actual consumption.

The Buyer may engage in physical deliveries at fixed price terms with NTE Energi, whereby NTE Energi will offer fixed price deliveries based on requests from the Buyer. If so, the price hedging will be done by bilateral trade between the Buyer and **NTE** Energi governed by the framework agreement in place between the Buyer and **NTE** Energi. If preferred by the Buyer, the Seller can act as facilitator of invoicing on behalf of **NTE** Energi so that actual consumption and the price hedge will be invoiced on the same invoice.

This agreement has been entered into to regulate the terms and conditions for the Seller's delivery of electricity to the Buyer.

**3.** **PRODUCT** 

The Seller shall supply the following products to the Buyer:

---

| | |
|:---|:---|
| **Product** | |
| Physical delivery of electricity | x |
| Balancing services | x |

---

For hourly-metered installations, power is supplied to electricity spot area price (Nw. *Elspot områdespris)* hour by hour.

**4.** **PRICES (all prices ex VAT)** 

**4.1** **Physical delivery (spot)** 

The price of the consumed electrical power will be invoiced based on the hourly consumption and the hourly NOK prices of NordPool for the spot area NO4 for the invoice period.

In addition, the following surcharges will apply:

i. The Seller's premium on the electricity spot area NO4 price: 1.75 NOK/MWh

ii. Nordpool fee: 0,40 NOK/MWh

iii. Esett fee: 0,40 NOK/MWh

iv. Any other applicable public fees, e.g. Value Added Tax (VAT)

Imbalance fee (if applicable, ref section 5): 25.00 NOK/MWh

The Buyer shall pay all applicable fees and taxes related to the Seller's supply of electrical power to the Buyer. The applicable fees and taxes on the Seller's supply of electrical power at the signing of this agreement are stated above, however the applicable fees and taxes are subject to change. The above prices will be adjusted in accordance with adjustments in fees and prices made by third parties, including but not limited to NordPool and Esett. The Seller's premium on the electricity spot area NO4 price is not subject to changes.

The price elements above are calculated under the assumption that the Buyer's business is correctly registered in the Norwegian Business Registry with industry code 62020 (Computer centres). The Buyer bears the risk of correct registration in the Norwegian Business Registry. If the Buyer has not registered its business correctly, or if the Norwegian government changes the fee structure for electrical power, the Buyer may be subject to increased fees including but not limited to electricity certificates (Nw: *elsertifikater).*

Certificates of origin are not included but may be purchased from the Seller at an additional fee.

The price elements above do not include fees to the owner of the power grid in the area (Nw: *nettleie),* or connection charges. The fees to the owner of the power grid and connection charges will be set in a separate agreement between the Buyer and the owner of the power grid Tensio TN AS. The monthly fee to the owner of the power grid will, however, be included in the invoice from the Seller in accordance with normal practice for power suppliers' invoicing on behalf of grid companies.

**4.2** **Settlement** 

The Buyer shall pay for the electricity provided to it by the Seller and such payment shall include the physical delivery, agreed premium, taxes and surcharges as set out in Clause 4.1 above. The Parties shall establish electronic exchange of invoices as standard using the Norwegian standard **"EHF** faktura" *(Nw: Elektronisk handelsformat).* The standard uses Universal Business Language (UBL).

The Seller will invoice the Buyer biweekly giving the Buyer 14 days for payment. The fee to the owner of the power grid will be included on the last invoice of each month. In case of late payment, interest will accrue in accordance with the Norwegian law on interest on late payments (Nw. *forsinkelsesrenteloven).* If an invoice is not settled on the due date, the Seller has the right to immediately stop further delivery of electrical power until all outstanding amounts have been settled by the Buyer in full.

**4.3** **Security** 

The Buyer shall provide the Seller with a security sufficient to cover fees and prices for the Buyer's payment obligations for grid services and supply of electrical power on an amount equal to the expected grid and electricity cost for two months. At the commencement of this agreement the Seller has deemed NOK 4,9 million (provided that the Buyer's facility is not connected to the grid with more than 7 MW capacity) to be sufficient. From 28 February 2022 and in any event no later than 14 days before the Buyer's facility is connected to the grid with more than 7 MW, the security shall be no less than NOK 21,4 million. However, the Seller may in case of any material changes in the fees and prices as set out in Clause 4.1 above demand additional security by giving the Buyer 30 days prior notice (such notice must include documentation on the increase of the expected cost for grid services and electricity supply). The Seller is under no obligation to deliver electrical power or other services under the Contract before the Buyer has provided satisfactory security.

The Buyer may at the Buyer's option provide such security either (a) in the form of an on-demand bank guarantee or (b) as a cash deposit on a bank account owned and controlled by the Seller.

&nbsp;&nbsp;&nbsp;&nbsp;a) In case of an on-demand bank guarantee, the guarantee shall be in the form
of on demand guarantee from a reputable Nordic financial institution approved by the Seller. The guarantee shall be issued as a
separate, irrevocable, first demand document issued in accordance with the Uniform Rules for Demand Guarantees (URDG) 2010 revision,
ICC Publication No. 758. The guarantor shall waive any right to make any set off or counterclaim against the Seller. The guarantee
shall exist independently of amendments, additions or modifications of this agreement. The guarantee is acknowledged as submitted
when the Seller has received the original of the guarantee.

&nbsp;&nbsp;&nbsp;&nbsp;b) In case of a cash deposit the deposit shall be made to a bank account owned
and controlled by the Seller. The Buyer shall have no right or lien in the bank account, nor shall the Buyer have any right of
set off in the bank account or any right to make counterclaims. The Seller shall ensure that the deposited funds are in the bank
account and may not withdraw money from the bank account other than as specified in this agreement. Any interest on the deposit
account shall be credited to the Buyer.

If the Buyer does not pay any invoice within two weeks after the date of the invoice, the Seller may immediately stop further delivery of electrical power and claim the amount owed by the Buyer to the Seller from the guarantor or set off the outstanding amount deposited to the bank account. The Buyer shall thereafter ensure that sufficient security is re-established before the Seller is obliged to resume the provision of electrical power.

**5.** **VOLUME AND REPORTING** 

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Volume** | |
| &nbsp;&nbsp;Estimated consumption | 300,000 MWh per year |

---

**Reporting of consumption**

The Buyer shall report the estimated consumption for the upcoming week every Friday no later than 1200 (Oslo time). Upon any changes in the expected volume the Buyer shall submit a corrected report for the coming day no later than 0930 (Oslo time) the day before the operating day. If such report is not received by the Seller in due time, last weeks metered consumption will be used as assumed consumption for the upcoming week.

Discrepancies between reported consumption and actual consumption exceeding 10% will be invoiced an imbalance fee for the excess/deficit volume at a price set out in clause 4.1.

**6.** **TERM AND TERMINATION** 

Both Parties may terminate this agreement by giving the other party minimum 6 months' prior written notice.

If one of the parties breaches this agreement, the non-breaching party may terminate the agreement with immediate effect, if such breach is not remedied by the breaching party or an entity appointed by the breaching party within 30 days after the non-breaching party has notified the breaching party of the breach.

**7.** **GENERAL TERMS AND CONDITIONS** 

The Seller's General Contract Terms for the Supply of Electrical Power to Non-Consumers applies to the products supplied under this Contract. It also applies to the services supplied hereunder to the extent applicable.

**8.** **FINANCIAL REPORTING** 

The Buyer shall on the Seller's request submit quarterly reports to the Seller regarding the Buyer's and its parent company's financial status. Buyer shall further promptly inform Seller of any events or circumstances having a material effect on its expected power consumption over time or ability to pay for it.

**9.** **GOVERNING LAW AND JURISDICTION** 

This agreement is governed by Norwegian law. Any dispute arising out of or in relation to this agreement and its formation, application or termination, shall be resolved in by Norwegian courts with Trondelag district court (Nw. *tingrett)* as agreed legal venue.

**10.** **SIGNATURES** 

This Contract (including the General Contract Terms for the Supply of Electrical Power to Non-Consumers and all other appendices) are prepared in two copies of which each of the parties shall retain one copy. By signing this Contract, the parties agree to the terms hereof.

[signature page to follow]

Date: 11.11.2021

---

| | |
|:---|:---|
| **Exanorth AS** |  |
| Name: <br> Title: | Name: <br> Title: |

---

---

| | |
|:---|:---|
| **NTE Marked AS** |  |
| Name: <br> Title: | Name: <br> Title: |

---

**APPENDIX TO CONTRACT FOR THE SUPPLY OF ELECTRICAL POWER**

**Information about the Buyer**

---

| |
|:---|
| Company: |
| Business Register Number: |
| Billing address: |
| Postcode: |
| Contact person(s): |
| Title: |
| Telephone: |
| E-mail: |

---

---

| | | |
|:---|:---|:---|
| **Information about installations** | **Information about installations** | **Information about installations** |
| **Installation address** | **Installation postcode** | **Metering point ID\*** |

---

## Exhibit 99.50

**Exhibit 99.50**

**<u>THE INDEBTEDNESS GOVERNED HEREBY HAS BEEN ISSUED WITH ORIGINAL ISSUE DISCOUNT FOR U.S. FEDERAL INCOME TAX PURPOSES. FOR FURTHER INFORMATION REGARDING THE ISSUE PRICE, THE AMOUNT OF ORIGINAL ISSUE DISCOUNT, THE ISSUE DATE AND THE YIELD TO MATURITY OF SUCH INDEBTEDNESS, THE HOLDER OF THIS NOTE SHOULD CONTACT MOHAMMED SALAH BAKHASHWAIN, PRESIDENT OF BITZERO BLOCKCHAIN INC. AT 925-1000 CATHEDRAL PLACE, WEST GEORGIA STREET, VANCOUVER, BRITISH COLUMBIA, V6C 3L2 CANADA WHO WILL MAKE SUCH INFORMATION AVAILABLE.</u>**

**<u>LOAN AND GUARANTY AGREEMENT</u>**

This LOAN AND GUARANTY AGREEMENT (as amended, restated, supplemented or otherwise modified from time to time, this "**Agreement**") dated as of June 27, 2025 (the "**Closing Date**") is entered into by and among BitZero Blockchain Inc., a British Columbia corporation ("**Borrower Representative**"), Zetanorth AS, a Norway aksjeselskap ("**Zetanorth**"), BitZero Inc., a Barbados company ("**BitZero Barbados**"), BitZero ND I, LLC, a North Dakota limited liability company ("**BZNDI**"), BitZero ND II, LLC, a North Dakota limited liability ("**BZNDII**"), BitZero Finland Oy, (business identity code 3486672-6), a Finnish limited liability company (in Finnish: osakeyhtiö) ("**BitZero Finland**") and Exanorth AS, a Norway aksjeselskap ("**Exanorth**" and collectively with Borrower Representative, Zetanorth, BitZero Barbados, BZNDI, BZNDII, BitZero Finland and each other Person from time to time party hereto as a borrower, the "**Borrowers**", and each, a "**Borrower**"), each party from time to time a party hereto as a guarantor (collectively, the "**Guarantors**" and each, a "**Guarantor**"), and **JGB CAPITAL, LP**, a Delaware limited partnership, **JGB PARTNERS, LP**, a Delaware limited partnership, **DEEPDALE INVESTORS, LLC**, a Delaware limited liability company and any other lender from time to time a party hereto (collectively, the "**Lenders**", and each, a "**Lender**"), and **JGB COLLATERAL LLC**, as administrative agent and collateral agent for Lenders (in such capacity, together with its successors, "**JGB Agent**").

**AGREEMENT**

The parties hereto hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>ACCOUNTING AND OTHER TERMS</u>

Accounting terms not defined in this Agreement shall be construed in accordance with IFRS, and calculations and determinations shall be made following IFRS, consistently applied. Capitalized terms not otherwise defined in this Agreement shall have the meanings set forth on <u>Exhibit A</u>. All other terms contained in this Agreement, unless otherwise indicated, shall have the meaning provided by the Code to the extent such terms are defined therein. As used in the Loan Documents, the word "shall" is mandatory, the word "may" is permissive, the words "includes" and "including" are not limiting, the singular includes the plural, and numbers denoting amounts that are set off in brackets are negative. The word "will" shall be construed to have the same meaning and effect as the word "shall." The words "herein," "hereof" and "hereunder," and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof. The words "asset" and "property" shall be construed to have the same meaning and effect and to refer to any and all tangible and intangible assets and properties, including cash, securities, accounts and contract rights. Unless otherwise specified, all references in this Agreement or any Annex or Schedule hereto to a "Section," "subsection," "Exhibit," "Annex," or "Schedule" shall refer to the corresponding Section, subsection, Exhibit, Annex, or Schedule in or to this Agreement. For purposes of the Loan Documents, whenever a representation or warranty is made to a Person's knowledge or awareness, knowledge or awareness means the actual knowledge, after reasonable investigation, of any Responsible Officer of such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>FINNISH TERMS</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In this Agreement and in any other Loan Document, where it relates to a person incorporated under the laws of, or having its centre of main interests (as that term is used in Article 3(1) of the Regulation (EU) of the European Parliament and of the Council No 2015/848 of 20 May 2015 on insolvency proceedings) in, Finland, a matter of Finnish law or Collateral governed by Finnish law, reference to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a "trustee", "liquidator", "compulsory manager", "receiver" or "administrator" includes a *pesänhoitaja*, *selvittäjä*, *selvitysmies* or *valvoja* under Finnish law, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a "composition", "assignment", "moratorium", "bankruptcy" or "reorganization" includes a *konkurssimenettely* or *yrityssaneeraus* under the Finnish Bankruptcy Act (*konkurssilaki*, 120/2004, as amended) or the Finnish Reorganisation Act (*laki yrityksen saneerauksesta*, 47/1993, as amended), respectively, (as the case may be);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a "winding-up", "administration" or "dissolution" includes any declaration of bankruptcy (*asetettu konkurssiin*) or dissolution (*asetettu selvitystilaan*) as well as a *selvitystila*, *purkaminen* or *rekisteristä poistaminen* under Chapter 20 of the Finnish Companies Act (*osakeyhtiölaki*, 624/2006, as amended);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) an "insolvency" includes a bankruptcy (*konkurssi*) and any business restructuring (*yrityssaneeraus*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) an "attachment" includes a *takavarikko* and/or any other *turvaamistoimi* granted in accordance with Finnish law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "gross negligence" means *törkeä tuottamus* under Finnish law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "merger" includes any *sulautuminen* implemented in accordance with Chapter 16 of the Finnish Companies Act (*osakeyhtiölaki*, 624/2006, as amended);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "demerger" includes any *jakautuminen* implemented in accordance with Chapter 17 of the Finnish Companies Act (*osakeyhtiölaki*, 624/2006, as amended); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) a person being "unable to pay its debts" means *maksukyvytön* within the meaning of the Finnish Bankruptcy Act (*konkurssilaki*, 120/2004, as amended or re-enacted from time to time).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If any Loan Party incorporated in Finland is required to hold an amount on trust on behalf of any other party, such Finnish party shall hold such money as agent for the other party in a separate account and shall promptly pay or transfer the same to the other party or as the other party may direct.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Parties agree that any transfer by novation in accordance with the Loan Documents shall in each case, in relation to any Security Document governed by Finnish law and obligations owed by any party incorporated in Finland be deemed to constitute an assignment (*siirto*) of the relevant rights and obligations and assumption or transfer of such rights, benefits, obligations and security interests and each such assignment and assumption or transfer shall be in relation to the proportionate part of the security interests granted under the relevant Finnish law governed Security Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>LOAN AND TERMS OF PAYMENT</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 **Promise to Pay.** Each Borrower hereby unconditionally promises to pay each Lender, ratably, the outstanding principal amount of all Term Loans, accrued and unpaid interest, fees and charges thereon and to pay all Obligations as and when due in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 **Availability and Repayment of the Term Loans.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Initial Term Loan</u>. Subject to the terms and conditions of this Agreement, each Lender agrees, severally and not jointly, to make to Borrowers an advance on the Closing Date in principal amount equal to its Initial Term Loan Commitment (the "**Initial Term Loans**") less the Original Issue Discount. Each Lender's Initial Term Loan Commitment shall terminate upon the funding of the Term Loans on the Closing Date. For greater certainty, the Original Issue Discount shall be deemed to be part of the outstanding principal balance of the Term Loans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Delayed Draw Term Loan:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject to and upon the terms and conditions of this Agreement (including, without limitation, the conditions set forth in <u>Section 4.3</u>), following a written request from Borrowers after the Closing Date, the Lenders may, in their sole and absolute discretion, severally and not jointly, make to the Borrowers the Delayed Draw Advance in an aggregate principal amount not to exceed each such Lender's Delayed Draw Term Loan Amount. When Borrowers desire a borrowing of the Delayed Draw Advance, and prior to the funding of the Delayed Draw Advance, the Borrower Representative will notify JGB Agent by email no later than 3:00 p.m. Eastern time (2:00 p.m. Eastern time for wire transfers), at least twenty (20) Business Days (or such shorter period as JGB Agent may permit in its reasonable discretion) before the Delayed Draw Advance is to be made. Such notification shall be given by a Loan Advance/Paydown Request Form in a form reasonably satisfactory to JGB Agent. The notice shall be signed by an Authorized Officer. JGB Agent shall be entitled to rely on any notice given by a Person whom JGB Agent reasonably believes to be an Authorized Officer, and each Borrower shall indemnify and hold JGB Agent harmless for any damages, losses, costs and expenses suffered by JGB Agent as a result of such reliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) For the avoidance of doubt, other than the incurrence of the Initial Term Loans on the Closing Date, Borrowers are not under any obligation to request or borrow any other Term Loans from Lenders. For the further avoidance of doubt, Borrowers acknowledge and agree that Lenders never have any obligation, under any circumstances, to make a Delayed Draw Advance. Borrowers further acknowledge that they do not expect and are not relying upon receipt of the Delayed Draw Term Loans. Borrowers shall not bring any claim against Lenders or JGB Agent or raise any defense based on Lenders' refusal to make a Delay Draw Advance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Use of Proceeds</u>. Borrowers shall use the proceeds of the Initial Term Loans and the Delayed Draw Term Loan if there is one, for working capital and general corporate purposes, including the purchase of additional bitcoin miners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Repayment</u>. From and including the Initial Amortization Date and on each Payment Date thereafter until the Term Loan Maturity Date, Borrower shall make principal amortization payments of $350,000 per month. If there is a Delayed Draw Term Loan, the monthly principal amortization payments shall, commencing with the first Payment Date after the date of the Delayed Draw Advance, increase by an amount equal to the product of (x) the amount of the Delayed Draw Advance divided by the number of days remaining from the date of the Delayed Draw Advance until the Term Loan Maturity Date and (y) 30. For clarification, Lenders may, in their sole discretion, waive the required amortization payment for any given month, by giving notice to Borrowers no later than three days prior to the Payment Date. Any and all unpaid Obligations, including principal and accrued and unpaid interest in respect of the Term Loans any fees and other sums due hereunder, if any, shall be due and payable in full on the Term Loan Maturity Date. The Term Loans may only be prepaid in accordance with <u>Sections 3.2(d)</u> and <u>(e)</u>. No amount of the Term Loans that are repaid by Borrowers hereunder may be reborrowed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Mandatory Prepayment Upon an Acceleration</u>. If (x) the Term Loans are accelerated following the occurrence and during the continuance of an Event of Default or (y) there occurs a Change in Control, Borrowers shall immediately pay to Lenders, unless in the case of clause (y) prepayment is waived by the Lenders in their sole discretion, an amount equal to the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all outstanding principal plus accrued and unpaid interest thereon; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) all other sums, if any, that shall have become due and payable, including interest at the Default Rate with respect to any past due amounts.

In the event of a voluntary Change in Control where the Lenders require the Borrowers to prepay the outstanding Obligations in full, no prepayment premium shall apply and Lenders shall be deemed to have waived such premium.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Permitted Prepayment of Term Loans</u>. The Borrowers may not prepay all or any part of the Term Loans prior to the six-month anniversary of the Closing Date. Following the six-month anniversary of the Closing Date, Borrowers shall have the option to prepay all, but not less than all, of the Term Loans, provided Borrowers provide written notice to JGB Agent of their election to prepay the Term Loans at least five (5) Business Days prior to such prepayment, and pay, on the date of such prepayment, to Lenders, ratably, an amount equal to the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all outstanding principal plus accrued and unpaid interest thereon; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) all other sums, if any, that shall have become due and payable, including interest at the Default Rate with respect to any past due amounts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 **Interest.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Interest Rate</u>. Subject to <u>Section 3.3(b)</u>, the outstanding principal amount of the Term Loans shall accrue interest from and after the Closing Date, at the Applicable Rate, and Borrowers shall pay such interest monthly in arrears on each Payment Date in cash.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Default Rate</u>. Immediately upon the occurrence and during the continuance of an Event of Default, the Applicable Rate shall be increased by five percentage points (5.0 %) above the rate that is otherwise applicable thereto (the "**Default Rate**"). Fees and expenses which are required to be paid by Borrowers pursuant to the Loan Documents (including, without limitation, Lender Expenses) but are not paid when due shall bear interest until paid at a rate equal to the highest rate applicable at such time to any of the Term Loans. Payment or acceptance of the increased interest rate provided in this <u>Section 3.3(b)</u> is not a permitted alternative to timely payment and shall not constitute a waiver of any Event of Default or otherwise prejudice or limit any rights or remedies pursuant to the Loan Documents. Each Borrower agrees that interest at the Default Rate is a reasonable calculation of Lenders' lost profits in view of the difficulties and impracticality of determining actual damages resulting from an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Payment; Interest Computation</u>. Commencing on the first Payment Date after the Closing Date, and continuing on each Payment Date thereafter, interest will be due and payable in cash. Interest shall be computed on the basis of a 360-day year and the actual number of days elapsed. In computing interest, (i) all payments received after 4:00 p.m. Eastern Time on any day shall be deemed received at the opening of business on the next Business Day, and (ii) the date of the making of any Loan shall be included and the date of payment shall be excluded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Conforming Changes; Benchmark Replacement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) In connection with the use or administration of Term SOFR, the JGB Agent will have the right to make Conforming Changes from time to time and, notwithstanding anything to the contrary herein or in any other Loan Document, any amendments implementing such Conforming Changes will become effective without any further action or consent of any other party to this Agreement or any other Loan Document. The JGB Agent will promptly notify the Borrower Representative and the Lenders of the effectiveness of any Conforming Changes in connection with the use or administration of Term SOFR.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Notwithstanding anything to the contrary herein or in any other Loan Document, if a Benchmark Transition Event and its related Benchmark Replacement Date have occurred prior to any setting of the then-current Benchmark, then (x) if a Benchmark Replacement is determined in accordance with clause (a) of the definition of "Benchmark Replacement" for such Benchmark Replacement Date, such Benchmark Replacement will replace such Benchmark for all purposes hereunder and under any Loan Document in respect of such Benchmark setting and subsequent Benchmark settings without any amendment to, or further action or consent of any other party to, this Agreement or any other Loan Document and (y) if a Benchmark Replacement is determined in accordance with clause (b) of the definition of "Benchmark Replacement" for such Benchmark Replacement Date, such Benchmark Replacement will replace such Benchmark for all purposes hereunder and under any Loan Document in respect of any Benchmark setting at or after 5:00 p.m. (New York City time) on the fifth (5th) Business Day after the date notice of such Benchmark Replacement is provided to the Lenders without any amendment to, or further action or consent of any other party to, this Agreement or any other Loan Document so long as the JGB Agent has not received, by such time, written notice of objection to such Benchmark Replacement from Lenders comprising the Required Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) In connection with the implementation of a Benchmark Replacement, the JGB Agent will have the right to make Benchmark Replacement Conforming Changes from time to time and, notwithstanding anything to the contrary herein or in any other Loan Document, any amendments implementing such Benchmark Replacement Conforming Changes will become effective without any further action or consent of any other party to the Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The JGB Agent will promptly notify the Borrower Representative and the Lenders of (x) the implementation of any Benchmark Replacement and (y) the effectiveness of any Benchmark Replacement Conforming Changes in connection with the use, administration, adoption or implementation of a Benchmark Replacement. Any determination, decision or election that may be made by the JGB Agent or the Required Lenders pursuant to this <u>Section 3.3(d)(iv)</u> including any determination with respect to a tenor, rate or adjustment or of the occurrence or non-occurrence of an event, circumstance or date and any decision to take or refrain from taking any action, will be conclusive and binding absent manifest error and may be made in its or their sole discretion and without consent from any other party hereto, except, in each case, as expressly required pursuant to this <u>Section 3.3(d)(iv)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Notwithstanding anything to the contrary herein or in any other Loan Document, at any time (including in connection with the implementation of a Benchmark Replacement), (x) if the then-current Benchmark is a term rate (including the Term SOFR Reference Rate) and either (A) any tenor for such Benchmark is not displayed on a screen or other information service that publishes such rate from time to time as selected by the JGB Agent in its Permitted Discretion or (B) the regulatory supervisor for the administrator of such Benchmark has provided a public statement or publication of information announcing that any tenor for such Benchmark is not or will not be representative, then the JGB Agent may modify the definition of "Interest Period" (or any similar or analogous definition) for any Benchmark settings at or after such time to remove such unavailable or non-representative tenor and (y) if a tenor that was removed pursuant to clause (x) above either (A) is subsequently displayed on a screen or information service for a Benchmark (including a Benchmark Replacement) or (B) is not, or is no longer, subject to an announcement that it is not or will not be representative for a Benchmark (including a Benchmark Replacement), then the JGB Agent may modify the definition of "Interest Period" (or any similar or analogous definition) for all Benchmark settings at or after such time to reinstate such previously removed tenor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Subject to the Benchmark Replacement provisions set forth above in this <u>Section 3.3(d)</u>, if the JGB Agent determines (any determination of which shall be conclusive and binding on the Borrowers) that either (i) Term SOFR cannot be determined pursuant to the definition thereof other than as a result of a Benchmark Transition Event (an "**Inability Determination**") or (ii) any law has made it unlawful, or that any governmental authority has asserted that it is unlawful, for the JGB Agent to determine or charge interest rates based upon Term SOFR (an "**Illegality Determination**"), then the JGB Agent will so notify the Borrowers. The outstanding principal balance of the Loans shall bear interest at a rate per annum reasonably determined by the JGB Agent, but no less than the Floor, from the date of an Inability Determination or an Illegality Determination until the JGB Agent revokes such Inability Determination or notifies the Company that the circumstances giving rise to such Illegality Determination no longer exist, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Maximum Interest</u>. Notwithstanding any provision in this Agreement or any other Loan Document, it is the parties' intent not to contract for, charge or receive interest at a rate that is greater than the maximum rate permissible by law that a court of competent jurisdiction shall deem applicable hereto (the "**Maximum Rate**"). If a court of competent jurisdiction shall finally determine that a Borrower has actually paid to or for the benefit of Lenders an amount of interest in excess of the amount that would have been payable if all of the Obligations had at all times borne interest at the Maximum Rate, then such excess interest actually paid by Borrowers shall be applied as follows: first, to the payment of principal outstanding in respect of the Term Loans; second, after all principal is repaid, to the payment of accrued interest, third, to the payment of Lender Expenses and any other Obligations; and fourth, after all Obligations are repaid, the excess (if any) shall be refunded to Borrowers or paid to whomsoever may be legally entitled thereto, provided that amounts payable to Lenders, shall be paid ratably.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 **Original Issue Discount.** The Initial Term Loans will be funded with an original issue discount of $510,000 and the Delayed Draw Term Loans, if advanced, will be funded with an original issue discount of $240,000 (collectively, the "**Original Issue Discount**"). The Borrowers acknowledge and agree that the Original Issue Discount is not a fee for services, but compensation to the Lenders for the foregone use of money. All Original Issue Discount shall be fully earned by the Lenders on the date the Initial Term Loan or Delayed Draw Term Loan are funded, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 **Payments; Application of Payments; Withholding.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All payments to be made by Loan Parties under any Loan Document, including payments of principal and interest and all fees, charges, expenses, indemnities and reimbursements, shall be made in immediately available funds in Dollars, without setoff, recoupment or counterclaim, before 4:00 p.m. Eastern Time on the date when due. Payments of principal and/or interest received after 4:00 p.m. Eastern Time are considered received at the opening of business on the next Business Day. When a payment is due on a day that is not a Business Day, the payment shall be due the next Business Day, and additional fees or interest, as applicable, shall continue to accrue until paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No Loan Party shall have a right to specify the order or the loan accounts to which a Lender shall allocate or apply any payments made by a Loan Party to or for the benefit of such Lender or otherwise received by such Lender under this Agreement when any such allocation or application is not expressly specified elsewhere in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The parties hereto hereby agree to the terms and conditions set forth on <u>Schedule 3</u> hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 **Promissory Notes.** Borrowers agree that: (a) on the Closing Date the Borrowers shall deliver a promissory note to each Lender that has made a Term Loan to evidence the Term Loans and other Obligations owing or payable to such Lender, in substantially the form attached hereto as <u>Exhibit C</u>, and (b) upon any Lender's written request, and in any event within three (3) Business Days of any such request, the Borrowers shall execute and deliver to such Lender new notes and/or divide the notes in exchange for then existing notes in such smaller amounts or denominations as such Lender shall specify in its sole and absolute discretion; <u>provided</u>, that the aggregate principal amount of such new notes shall not exceed the aggregate outstanding principal amount of the Term Loans made by such Lender. Whether or not any such promissory notes are issued, this Agreement shall nonetheless evidence the Term Loans and other Obligations owing or payable by Borrowers to each Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>CONDITIONS OF LOANS</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 **Conditions Precedent to the Term Loans.** Each Lender's obligation to make the Initial Term Loans is subject to the condition precedent that Lender shall have received, in form and substance satisfactory to JGB Agent and the Required Lenders or waived by the Required Lenders in their sole discretion, such documents, and completion of such other matters and satisfaction of such conditions, as JGB Agent and the Required Lenders may reasonably deem necessary or appropriate, including, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) duly executed signatures to this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) duly executed signatures to the Security Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) duly executed signatures to the Warrant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the duly executed Account Control Agreement with respect to the portion of the Cash Minimum to be held in cash, and the duly executed Securities Account Control Agreement with respect to the portion of the Cash Minimum to be held in Bitcoin; provided, however, if the Account Control Agreements and/or Securities Account Control Agreement has not been delivered at Closing, then the Cash Minimum shall be deposited in an account of JGB Agent pursuant to the Cash Collateral Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) duly executed signatures to the Exanorth Security Agreement and evidence of the granting and perfection of all Collateral contemplated by it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) duly executed signatures to the Zetanorth Security Agreement and evidence of the granting and perfection of all Collateral contemplated by it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) duly executed signatures to the Exanorth Account Pledge Agreement and evidence of the granting and perfection of all Collateral contemplated by it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) duly executed signatures to the Zetanorth Account Pledge Agreement and evidence of the granting and perfection of all Collateral contemplated by it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) duly executed signatures to the Exanorth Share Pledge Agreement and evidence of the granting and perfection of all Collateral contemplated by it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) duly executed signatures to the Zetanorth Share Pledge Agreement and evidence of the granting and perfection of all Collateral contemplated by it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) copies (i) the articles of associations of Exanorth and Zetanorth, (ii) the certificate of registration of Exanorth and Zetanorth, (iii) the duly executed minutes from the meeting of the board of directors for each of Exanorth and Zetanorth approving the terms of, and the transactions contemplated by, this Agreement (and any other Loan Document to which it is a party) and resolving that it executes this Agreement (and any other Loan Document to which it is a party) and authorizing a specified person or persons to execute this Agreement (and any other Loan Document to which it is a party) on its behalf and (iv) approval of the general meeting of each of the Exanorth and Zetanorth (to the extent the JGB Agent so requires)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) [reserved].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) a certificate of each Loan Party, duly executed by a Responsible Officer or an authorized signatory of such Loan Party (as applicable), certifying and attaching (i) the Operating Documents (and, in respect of any Loan Party incorporated in Finland, its enterprise mortgage register extract (*yrityskiinnitysrekisteriote*) and the property register extracts pertaining to its real property), (ii) resolutions duly approved by the Board (or the equivalent governing body), (iii) any resolutions, consent or waiver duly approved by the requisite holders of such Loan Party's Equity Interests, if applicable (including, for the avoidance of doubt, in respect of any Loan Party incorporated in Finland), and (iv) a schedule of incumbency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) the Perfection Certificate of Borrower Representative, together with the duly executed signature thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) a legal opinion of counsel to the Loan Parties, in form and substance reasonably satisfactory to JGB Agent and the Required Lenders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) payment of Lender Expenses then due;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) the representations and warranties in this Agreement and the other Loan Documents shall be true, accurate, and complete in all material respects on the Closing Date; <u>provided</u>, <u>however</u>, that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof; and <u>provided</u>, <u>further</u> that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) no Default or Event of Default shall have occurred and be continuing or result from the Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 **Covenant to Deliver.** Each Loan Party agrees to deliver each item required to be delivered under this Agreement as a condition precedent to the Loan. Each Loan Party expressly agrees that if the Term Loans are made prior to the receipt of any such item, the making of the Term Loans shall not constitute a waiver by JGB Agent or the Lenders of any Loan Party's obligation to deliver such item, and the making of the Term Loans in the absence of a required item shall be in JGB Agent's and the Required Lender's sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 **Conditions Precedent to Delayed Draw Advances.** No Lender shall be obligated to advance any Delayed Draw Term Loans; provided, however, if the Lenders elect, in their sole discretion, to advance any Delayed Draw Term Loans, then such Delayed Draw Advance shall be subject to the fulfillment or waiver, in the sole discretion of the Required Lenders, of the following conditions to the satisfaction of JGB Agent and Lenders on the date of the Delayed Draw Advance:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) timely receipt by JGB Agent of a Loan Advance/Paydown Request Form in accordance with Section 3.2;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) after giving effect to the applicable Delayed Draw Advance, the aggregate amount of Delayed Draw Advances does not exceed the Delayed Draw Term Loan Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) completion of all due diligence, site visits and underwriting that JGB Agent and the Lenders deem necessary in their reasonable discretion and credit approval for the making of the Delayed Draw Advance (such approval not to be unreasonably withheld, conditioned or delayed); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) no Default or Event of Default shall have occurred and be continuing or result from the Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>REPRESENTATIONS AND WARRANTIES</u>

Each Loan Party represents and warrants as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 **Due Organization, Authorization; Power and Authority.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Loan Party is duly organized or formed, validly existing and in good standing as a Registered Organization, limited liability company, corporation or other entity in its jurisdiction of formation and is qualified and licensed to do business and is in good standing in any other jurisdiction in which the conduct of their respective business or ownership of property require that they be qualified. Each Loan Party (has all requisite power and authority and all requisite governmental licenses, authorizations, consents and approvals to (i) own or lease its assets and carry on its business and (ii) execute, deliver and perform its obligations under the Loan Documents to which it is a party. In connection with this Agreement, Borrower Representative has delivered to JGB Agent a completed certificate signed by Borrower Representative entitled "**Perfection Certificate**". Except to the extent Borrower Representative has provided notice of a legal name change in accordance with <u>Section 7.2</u>, (i) each Borrower's exact legal name is that indicated on the Perfection Certificate and on the signature page hereof; (ii) each Borrower is an organization of the type and is organized in the jurisdiction set forth in the Perfection Certificate; (iii) the Perfection Certificate accurately sets forth each Borrower's organizational identification number or accurately states that such Borrower has none; (iv) the Perfection Certificate accurately sets forth each Borrower's place of business, or, if more than one, its chief executive office or principal place of business as well as such Borrower's mailing address (if different than its chief executive office or principal place of business); (v) except as set forth in the Perfection Certificate, each Borrower (and each of its predecessors) has not, in the past five (5) years, changed its jurisdiction of formation, organizational structure or type, or any organizational number assigned by its jurisdiction; and (vi) all other information set forth on the Perfection Certificate pertaining to each Borrower and each of its Subsidiaries is accurate and complete in all material respects (it being understood and agreed that each Borrower may from time to time update certain information in the Perfection Certificate after the Closing Date to the extent permitted by one or more specific provisions in this Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The execution, delivery and performance by each Loan Party of the Loan Documents to which it is a party have been duly authorized, and do not (i) conflict with such Loan Party's Operating Documents or other organizational documents, (ii) contravene, conflict with, constitute a default under or violate any material Requirement of Law, (iii) contravene, conflict or violate any applicable order, writ, judgment, injunction, decree, determination or award of any Governmental Authority by which such Loan Party or any of its Subsidiaries or any of their property or assets may be bound or affected, (iv) require any action by, filing, registration, or qualification with, or Governmental Approval from, any Governmental Authority (except such Governmental Approvals which have already been obtained and are in full force and effect), or (v) conflict with, contravene, constitute a default or breach under, or result in or permit the termination or acceleration of, any material agreement by which such Loan Party is bound. No Loan Party is in default under any agreement to which it is a party or by which it is bound.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) This Agreement has been, and each other Loan Document, when delivered hereunder, will have been, duly executed and delivered by each Loan Party. This Agreement constitutes, and each other Loan Document when so delivered will constitute, a legal, valid and binding obligation of each Loan Party, enforceable against each such Loan Party in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, receivership, moratorium or other Laws affecting creditors' rights generally and by general principles of equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 **Collateral.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Loan Party has good title to, rights in, and the power to transfer each item of the Collateral upon which it purports to grant a Lien pursuant to the applicable Loan Documents to which it is a party, free and clear of any and all Liens except Permitted Liens.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except for the Collateral Accounts described in the Perfection Certificate or in a notice timely delivered pursuant to <u>Section 6.5</u>, no Borrower has any Collateral Accounts at or with any bank, broker or other financial institution, and each Borrower has taken such actions as are necessary to give JGB Agent a perfected security interest therein as required pursuant to the terms of the applicable Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Collateral is located only at the locations identified in the Perfection Certificate and other Permitted Locations. The Collateral is not in the possession of any third party bailee (such as a warehouse) except as otherwise provided in the Perfection Certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Borrower is the sole owner of the Intellectual Property which it owns or purports to own and which is material to its business except for open-source software and (ii) over-the-counter software that is commercially available to the public. No claim has been made that any part of the Intellectual Property violates the rights of any third party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 **Accounts; Material Agreements.** The Accounts that are outstanding are bona fide existing obligations. The property or services giving rise to such Accounts have been delivered or rendered. The material agreements to which any Borrower or any of its Subsidiaries is a party is in good standing and in full force and effect and no Borrower is in material breach with respect thereto. No material customer or supplier has terminated or significantly reduced its business with any Borrower or communicated its intent to do so to any Borrower or any of its Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 **Litigation and Proceedings.** Except as set forth in the Perfection Certificate or as disclosed in writing pursuant to <u>Section 6.2</u>, there are no actions, suits, litigations or proceedings, at law or in equity, pending, or, to the knowledge of any Responsible Officer, threatened in writing, by or against any Loan Party or any of its Subsidiaries, officers or directors which, individually or in the aggregate for all related proceedings, could reasonably be expected to result in liability or damages in excess of $100,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 **Financial Statements; Financial Condition.** All consolidated and consolidating financial statements for the Borrowers and each of their Subsidiaries delivered to JGB Agent fairly present in all material respects the consolidated and consolidating financial condition and results of operations of the Borrowers and each of their Subsidiaries as of the respective dates and for the respective periods then ended, and there are no material liabilities (including any contingent liabilities) which are not reflected in such financial statements. There has not been any material deterioration in the consolidated and consolidating financial condition of the Borrowers and each of their Subsidiaries or the Collateral since the date of the most recent financial statements submitted to JGB Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 **Solvency.** The fair salable value of the assets of the Borrowers and each of their Subsidiaries, on a consolidated basis, exceeds the fair value of liabilities of the Borrowers' and each of their Subsidiaries, on a consolidated basis; no Borrower is left with unreasonably small capital after the transactions in this Agreement; and, after giving effect to the Term Loans, the Borrowers and each of their Subsidiaries, on a consolidated basis, are able to pay their debts (including trade debts) as they mature in the Ordinary Course of Business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 **Consents; Approvals.** Each Loan Party and each of its Subsidiaries have obtained all third party consents, approvals, waivers, made all declarations or filings with, given all notices to, and obtained all consents, licenses, permits or other approvals from all Governmental Authorities that are necessary (i) to enter into the Loan Documents and consummate the transactions contemplated thereby, and (ii) to continue their respective businesses as currently conducted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 **Subsidiaries; Investments.** No Borrower has any Subsidiaries, except as noted on the Perfection Certificate or as disclosed to JGB Agent pursuant to <u>Section 6.9</u> below. No Borrower owns any stock, partnership, or other ownership interest or other Equity Interests except for Permitted Investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 **Tax Returns and Payments.** Each Loan Party and each of its Subsidiaries have timely filed all required material tax returns and reports (or appropriate extensions therefor), and such Loan Party and each of its Subsidiaries has timely paid all foreign, federal, state and local Taxes, assessments, deposits and contributions owed by such Loan Party or such Subsidiary, as applicable. As of the date hereof, no Loan Party is aware of any claims or adjustments proposed for any prior tax years of any Loan Party or any of its Subsidiaries which could result in a material amount of additional Taxes becoming due and payable by a Loan Party or any of its Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 **Shares.** Each Borrower has full power and authority to create a first lien on the Shares and no disability or contractual obligation exists that would prohibit such Borrower from pledging the Shares pursuant to this Agreement or the applicable Security Document. There are no subscriptions, warrants (other than the Warrants), rights of first refusal or other restrictions on transfer relative to, or options exercisable with respect to the Shares. The Shares have been and will be duly authorized and validly issued and are fully paid and non-assessable. The Shares are not the subject of any present or, to such Borrower's knowledge, threatened in writing suit, action, arbitration, administrative or other proceeding, and such Borrower knows of no reasonable grounds for the institution of any such proceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11 **Compliance.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each of the Borrower and its Subsidiaries is in compliance with the requirements of all laws (including all foreign, federal, state and local laws relating to taxes, environmental protection, occupational health and safety, product quality and safety and employment and labor matters) and all orders, writs, injunctions and decrees applicable to it or to its properties, except in such instances in which (a) such requirement of Law or order, writ, injunction or decree is being contested in good faith by appropriate proceedings diligently conducted or (b) the failure to so comply, either individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No Borrower or Subsidiary is required to register as an "investment company", as such term is defined in the Investment Company Act of 1940 as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Borrower or Subsidiary of a Borrower is engaged, nor will it engage, principally or as one of its important activities, in the business of extending credit for the purpose of "purchasing" or "carrying" any "margin security" as such terms are defined in Regulation U of the Federal Reserve Board as now and from time to time hereafter in effect (such securities being referred to herein as "**Margin Stock**"). None of the proceeds of the Term Loans or other extensions of credit under this Agreement have been (or will be) used, directly or indirectly, for the purpose of purchasing or carrying any Margin Stock, for the purpose of reducing or retiring any Indebtedness which was originally incurred to purchase or carry any Margin Stock or for any other purpose which might cause any of the Term Loans or other extensions of credit under this Agreement to be considered a "purpose credit" within the meaning of Regulation T, U or X of the Federal Reserve Board. Further and for the avoidance of doubt, no Borrower or Subsidiary of a Borrower currently owns any Margin Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Neither the making of the Term Loans hereunder nor Loan Parties' use of the proceeds thereof will violate the Trading with the Enemy Act, as amended, or any of the foreign assets control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as amended) or any enabling legislation or executive order relating thereto. No Loan Party, nor any of their Subsidiaries, nor, to the Borrower Representative's knowledge, any Affiliate of any Loan Party or of any of their Subsidiaries, nor any controlling holder of Equity Interests of any of the foregoing (i) is a Person described or designated in the Specially Designated Nationals and Blocked Persons List of the Office of Foreign Assets Control of the United States Department of Treasury ("**OFAC**") or in Section 1 of the Anti-Terrorism Order or similar sanctions laws of any other Governmental Authority including of any other applicable jurisdiction, (ii) is a resident of any country that is subject to embargo or trade sanctions enforced by OFAC, (iii) is, or will become, a Person whose property or interest in property is blocked or subject to blocking pursuant to Section 1 of the Anti-Terrorism Order, or (iv) engages in any dealings or transactions, or is otherwise associated, with any such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each Loan Party and their Subsidiaries are in compliance, in all material respects, with the USA Patriot Act. No part of the proceeds from the Term Loans made hereunder has been (or will be) used, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act of 1977, as amended or similar laws of any other Governmental Authority including of any other applicable jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12 **ERISA Compliance.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as could not reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect, (i) each Plan is in compliance with the applicable provisions of ERISA, the IRC and other federal or state Laws and (ii) each Plan that is intended to be a qualified plan under Section 401(a) of the IRC has received a favorable determination letter from the IRS to the effect that the form of such Plan is qualified under Section 401(a) of the IRC and the trust related thereto has been determined by the Internal Revenue Service to be exempt from federal income tax under Section 501(a) of the Code, or an application for such a letter is currently being processed by the Internal Revenue Service, and, to the knowledge of the Borrower Representative, nothing has occurred that would prevent or cause the loss of such tax-qualified status.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) There are no pending or, to the knowledge of the Borrower Representative, threatened or contemplated claims, actions or lawsuits, or action by any Governmental Authority, with respect to any Plan that, either individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. There has been no prohibited transaction or violation of the fiduciary responsibility rules with respect to any Plan that, either individually or in the aggregate, has had or could reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No ERISA Event has occurred, and neither the Borrower Representative nor any ERISA Affiliate is aware of any fact, event or circumstance that, either individually or in the aggregate, could reasonably be expected to constitute or result in an ERISA Event with respect to any Pension Plan that, either individually or in the aggregate, has had or could reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The present value of all accrued benefits under each Pension Plan (based on those assumptions used to fund such Pension Plan) did not, as of the last annual valuation date prior to the date on which this representation is made or deemed made, exceed the value of the assets of such Pension Plan allocable to such accrued benefits by a material amount. As of the most recent valuation date for each Multiemployer Plan, the potential liability of the Borrower or any ERISA Affiliate for a complete withdrawal from such Multiemployer Plan (within the meaning of Section 4203 or Section 4205 of ERISA), when aggregated with such potential liability for a complete withdrawal from all Multiemployer Plans, is zero.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) To the extent applicable, each Foreign Plan has been maintained in compliance with its terms and with the requirements of any and all applicable requirements of Law and has been maintained, where required, in good standing with applicable regulatory authorities, except to the extent that the failure so to comply could not reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect. Neither the Borrower nor any Subsidiary has incurred any material obligation in connection with the termination of or withdrawal from any Foreign Plan. The present value of the accrued benefit liabilities (whether or not vested) under each Foreign Plan that is funded, determined as of the end of the most recently ended fiscal year of the Borrowers or any Subsidiary, as applicable, on the basis of actuarial assumptions, each of which is reasonable, did not exceed the current value of the property of such Foreign Plan by a material amount, and for each Foreign Plan that is not funded, the obligations of such Foreign Plan are properly accrued.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13 **Environmental Matters.** Except with respect to any matters that, either individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect, neither any Borrower nor any Subsidiary (a) has failed to comply with any Environmental Law or to obtain, maintain or comply with any permit, license or other approval required under any Environmental Law, (b) knows of any basis for any permit, license or other approval required under any Environmental Law to be revoked, canceled, limited, terminated, modified, appealed or otherwise challenged, (c) has or could reasonably be expected to become subject to any Environmental Liability, (d) has received notice of any claim, complaint, proceeding, investigation or inquiry with respect to any Environmental Liability (and no such claim, complaint, proceeding, investigation or inquiry is pending or, to the knowledge of the Borrower Representative, is threatened or contemplated) or (e) knows of any facts, events or circumstances that could give rise to any basis for any Environmental Liability of any Borrower or any Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.14 **Full Disclosure.** No written representation, warranty or other statement of a Loan Party or any of its Subsidiaries in any certificate or written statement by or on behalf of a Loan Party or any of its Subsidiaries in connection with this Agreement, as of the date such representation, warranty, or other statement was made, taken together with all such written certificates and written statements given, contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements contained in the certificates or statements, taken as a whole, not materially misleading in light of the circumstances under which they were made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>AFFIRMATIVE COVENANTS</u>

Each Loan Party shall do all of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 **Compliance.** Maintain its and all its Subsidiaries' legal existence and good standing in their respective jurisdictions of formation and maintain qualification in each jurisdiction in which the failure to so qualify could reasonably be expected to have a Material Adverse Effect; comply, and cause each Subsidiary to comply, with all laws, ordinances and regulations to which it is subject in all material respects; obtain all of the material Governmental Approvals required in connection with such Borrower's business and for the performance by each Borrower of its obligations under the Loan Documents to which it is a party and the grant of a security interest in accordance therewith, and comply, in all material respects, with the terms and conditions with respect to such Governmental Approvals. Each Borrower shall preserve the good will of customers, suppliers, employees, contractors, service providers and others having business relations with such Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 **Financial Statements, Reports, Certificates.** Provide JGB Agent with the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Quarterly Financial Statements</u>. Within sixty (60) days after the last day of each fiscal quarter, a company prepared unaudited consolidated and consolidating balance sheet, income statement and statement of cash flows covering the Borrowers and each of their Subsidiaries' operations for such fiscal quarter, in form reasonably acceptable to JGB Agent, certified by a Responsible Officer as having been prepared in accordance with IFRS, consistently applied, except for the absence of footnotes, and subject to normal year-end adjustments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Annual Audited Financial Statements</u>. As soon as available, but no later than one hundred twenty (120) days after the last day of Borrower Representative's fiscal year audited consolidated financial statements prepared in accordance with IFRS, consistently applied, together with any management letter with respect thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Compliance Certificates</u>. Simultaneously with the delivery of each set of financial statements referred to in clauses (a), (b) and (c) of this <u>Section 6.2</u>, a duly completed Compliance Certificate signed by a Responsible Officer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Certificate of Outside Accountants</u>. Concurrently with the delivery of the financial statements referred to in <u>Section 6.2(a)</u> and (b), but only to the extent consistent with accounting industry policies generally followed by independent certified public accountants, a certificate of its independent certified public accountants stating that in making the examination necessary therefor no knowledge was obtained of any Default arising from a breach under <u>Section 6.12</u> or, if any such Default shall exist, stating the nature and status of such event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Legal Action Notice</u>. A prompt report of any legal actions pending or threatened in writing against any Loan Party or any of its Subsidiaries that could reasonably result in damages or costs to any Loan Party or any of its Subsidiaries, individually or in the aggregate for all related proceedings, of One Hundred Thousand dollars ($100,000) or more, or of any Loan Party or any of its Subsidiaries taking or threatening legal action in writing against any third person with respect to a material claim that could reasonably result in damages or costs against such third party of One Hundred Thousand dollars ($100,000) or more, and with respect to any such pending action or threatened action in writing, a prompt report of any material development with respect thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Intellectual Property Report</u>. Together with the Compliance Certificate delivered at the end of each calendar quarter, a report in form reasonably acceptable to JGB Agent, listing any applications or registrations that any Loan Party or any of its Subsidiaries has made or filed in respect of any Patents, Copyrights or Trademarks and the status of any outstanding applications or registrations, as well as any material change in any Loan Party or any of its Subsidiaries' Intellectual Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Bank Account Statements</u>. Together with the quarterly financial statements delivered in accordance with <u>subsection (a)</u> above, a copy of the most recent account statement, with transaction detail, for each Deposit Account or Securities Account of a Loan Party or any of its Subsidiaries, or within three (3) days, upon JGB Agent's request, evidence satisfactory to JGB Agent of the balance maintained in any such Deposit Account or Securities Account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Board and Committee Materials</u>. At the same time and in the same manner as it gives to the members of any Loan Party's Board, or any committee or subcommittee, copies of all materials that Parent provides to its Board (or such committee, subcommittee or advisory board) in connection with meetings of any Loan Party's Board (or such committee, subcommittee or advisory board), including any reports with respect to Loan Parties' operations or performance, and after receiving the requisite internal approvals, approved minutes of such meetings; provided, however, the foregoing may be subject to such exclusions and redactions as necessary in order to (A) preserve the confidentiality of (i) highly sensitive proprietary information and (ii) other information that if disclosed would reasonably be expected to result in a conflict of interest between Loan Parties and a Secured Party, or (B) prevent impairment of the attorney client privilege with respect to pending or threatened litigation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Notices to or from other holders of Indebtedness</u>. Promptly after the furnishing thereof, copies of any material request or notice received by a Borrower or any Subsidiary, or any statement or report furnished by a Borrower or any Subsidiary to any holder of debt securities of a Borrower or any Subsidiary, pursuant to the terms of any indenture, loan or credit or similar agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Notice of Defaults</u>. A prompt report of any occurrence of any Default or Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>ERISA Events</u>. A prompt report of the occurrence of any ERISA Event that, either individually or together with any other ERISA Events, could reasonably be expected to result in liability of the Borrower and its Subsidiaries in an aggregate amount exceeding $100,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Accounting Practices</u>. A prompt report of any material change in accounting or financial reporting practices by a Borrower or any Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>Material Adverse Effect</u>. A prompt report of any matter or development that has had or could reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 **Taxes; Pensions.** Timely file, and cause each of its Subsidiaries to timely file (in each case, unless subject to a valid extension), all required Tax returns and reports and timely pay, and require each of its Subsidiaries to timely pay, all foreign, federal, state, and material local Taxes, assessments, deposits and contributions owed by such Loan Party and each of its Subsidiaries and shall deliver to JGB Agent, on written demand, appropriate certificates attesting to such payments, and pay all amounts necessary to fund all present Plans, including Pension Plans, in accordance with their terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 **Insurance.** Keep, and cause each Subsidiary to keep, its business and the Collateral insured for risks and in amounts standard for companies in the Loan Parties' industry and location and as JGB Agent may reasonably request. Insurance policies shall be in a form, with financially sound and reputable insurance companies that are not Affiliates of any Loan Party, and in amounts that are reasonably satisfactory to JGB Agent. In any case, the Exanorth Facility shall be insured for an equal to no less than the greater of (x) the full replacement value of the Exanorth Facility and (ii) an amount equal to the aggregate amount of Term Loans extended to Borrowers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5 **Deposit and Securities Accounts.** Maintain Collateral Accounts only at the banks and other financial institutions identified in the Perfection Certificate or as disclosed pursuant to a notice timely delivered and cause all Collateral Accounts (other than Excluded Accounts) to be subject to an Account Control Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6 **Intellectual Property.** Protect, defend and maintain the validity and enforceability of its Intellectual Property material to its business; promptly advise JGB Agent in writing of material infringements or any other event that could reasonably be expected to materially and adversely affect the value of its Intellectual Property material to its business; resolve any written claim of infringement; and not allow any Intellectual Property material to the Loan Parties' business to be abandoned, forfeited or dedicated to the public without JGB Agent's written consent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7 **Litigation Cooperation.** From the Closing Date and continuing through the termination of this Agreement, make available to JGB Agent and any Lender, without expense to JGB Agent or any Lender, as applicable, each Loan Party and its officers, employees and agents and each Loan Party's books and records, to the extent that JGB Agent or any Lender may deem them reasonably necessary to prosecute or defend any third-party suit or proceeding instituted by or against JGB Agent or any Lender with respect to any Collateral or relating to any Loan Party or any other matter arising in connection with the Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8 **Access to Collateral; Books and Records.** Allow JGB Agent, or its respective agents, to inspect the Collateral and audit and copy such Loan Party's Books. Such inspections or audits shall be conducted upon reasonable notice, during normal business hours and no more often than once every twelve (12) months unless an Event of Default has occurred and is continuing in which case such inspections and audits shall occur as often as JGB Agent shall determine is necessary. The reasonable costs associated with a third party retained to conduct the foregoing inspections and audits shall be at Borrowers' expense, provided that, prior to each third-party inspection and audit, JGB Agent shall, at the request of Borrower Representative, notify Borrower Representative of the estimated fees to be incurred in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.9 **Joinder of Subsidiaries.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) After such time as a Loan Party or any of its Subsidiaries forms any direct or indirect Subsidiary or acquires any direct or indirect Subsidiary after the Closing Date, or is the subject of a Division, or at any time upon prior written request of JGB Agent with respect to any Subsidiary whether existing as of the Closing Date or thereafter created or acquired: (a) promptly, and in any event within 10 days after creation, acquisition, Division or request, as applicable, provide written notice to JGB Agent together with certified copies of the Operating Documents for such Subsidiary (or in case of a Division, the Person(s) resulting from such Division), and (b) promptly, and in any event within ten 10 days after formation or creation, or upon JGB Agent's prior written request, as applicable: (i) take all such action as may be reasonably required by JGB Agent to cause the applicable Subsidiary (or in case of a Division, the Person(s) resulting from such Division) to either: (A) provide a joinder to this Agreement pursuant to which such Subsidiary or Person resulting from a Division becomes a Borrower hereunder, or (B) guarantee the Obligations of Borrowers under the Loan Documents and, in any case, grant a security interest in and to substantially all assets of such Subsidiary or Person resulting from a Division, in each case together with such Account Control Agreements and other documents, instruments and agreements reasonably requested by JGB Agent, all in form and substance satisfactory to JGB Agent (including being sufficient to grant JGB Agent a first priority Lien, subject to Permitted Liens in and to the assets of such Subsidiary or Person resulting from a Division), and (ii) and to pledge all of the direct or beneficial Equity Interests in such Subsidiary or Person resulting from a Division. Any document, agreement, or instrument executed or issued pursuant to this <u>Section 6.9</u> shall be a Loan Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Loan Parties shall not permit Subsidiaries which are not Loan Parties, in the aggregate to maintain (i) cash and other assets with an aggregate value for all such Subsidiaries in excess of two percent (2.0%) of consolidated assets, (ii) revenue in excess of two percent (2.0%) of consolidated revenues for any twelve month period then ended, or (iii) any contracts which are material to the business of Loan Parties and their Subsidiaries as a whole, without causing one or more of such Subsidiaries to enter into a joinder or guaranty in form satisfactory to JGB Agent with respect to the Obligations and grant a security interest in and to substantially all assets of such Subsidiary, in each case together with such Account Control Agreements and other documents, instruments and agreements reasonably requested by JGB Agent, all in form and substance satisfactory to JGB Agent (including being sufficient to grant JGB Agent a first priority Lien, subject to Permitted Liens in and to the assets of such Subsidiary) as JGB Agent may request within fifteen days (or such other period as JGB Agent may agree in writing), such that compliance with <u>clauses (i) through (iii)</u> shall be restored.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.10 **Management Rights.** Upon reasonable advance written notice to Borrower's Representative, any representative of JGB Agent shall have the right to meet with management and officers of Loan Parties to discuss Loan Parties' books of account and records. In addition, JGB Agent shall be entitled at reasonable times and intervals to consult with and advise the management and officers of Loan Parties concerning significant business issues affecting Loan Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11 **Further Assurances.** Execute any further instruments and take further action as JGB Agent may reasonably request to effect the purposes of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.12 **Financial Covenants.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Borrowers shall maintain at all times, in one or more accounts subject to Account Control Agreements, unrestricted, unencumbered cash on deposit free and clear of all Liens, in an amount equal at least $2,000,000 ("**Cash Minimum**"). All or a portion of the Cash Minimum may be held in the form of Bitcoin; provided, however, for purposes of determining the Borrowers' compliance with this <u>Section 6.12(a)</u>, Bitcoin shall be valued at 75% of the spot exchange rate to USD for Bitcoin (XBT:CUR) quoted by Bloomberg L.P. as of 8:00 a.m. (local time in New York City, New York) on each day; provided, further, that such Bitcoin must be held in a Securities Account Control Agreement. In the event that there are no Account Control Agreements or Securities Account Control Agreements in place, then the Cash Minimum shall be held in an account of JGB Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Borrowers' EBITDA for the trailing three-month period ending on May 31, 2025, and the last Business Day of each calendar month thereafter, shall be at least ($750,000) (the "**EBITDA Threshold**"). The EBITDA Threshold shall automatically increase as follows: (x) for the calendar months of May 2026 through and including May 2027, the EBITDA Threshold shall be $825,000, and (y) for the calendar months of June 2027 through and including the Term Loan Maturity Date, the EBITDA Threshold shall be $900,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Borrowers' consolidated revenue (as determined in accordance with IFRS) for the trailing three-month period ending on May 31, 2025, and the last Business Day of each calendar month thereafter, shall be at least $3,000,000 (the "**Revenue Threshold**"). The Revenue Threshold shall automatically increase as follows: (x) for the calendar months of May 2026 through and including May 2027, the Revenue Threshold shall be $3,300,000, and (y) for the calendar months of June 2027 through and including the Term Loan Maturity Date, the Revenue Threshold shall be $3,630,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) For the avoidance of doubt, all references in this <u>Section 6.12</u> to EBITDA or Revenue Threshold "for the trailing three-month period" means the cumulative amounts over the three-month period ending on the applicable measurement date, and not the amount for the calendar month in which such date occurs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.13 **Equity Cure.** In the event that the Borrowers fail to comply with the financial covenants contained in <u>Section 6.12(b)</u> or <u>Section 6.12(c)</u> (a "**Financial Covenant Default**"), the Borrowers shall have the right to cure such Financial Covenant Default on the following terms and conditions (the "**Cure Right**"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event the Borrowers desire to cure a Financial Covenant Default, the Borrowers shall deliver to JGB Agent irrevocable written notice of its intent to cure (a "**Cure Notice**") no later than 10 Business Days following the date on which financial statements and a Compliance Certificate are required to be delivered pursuant to <u>Section 6.2(c)</u> for such relevant date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event the Borrowers deliver a Cure Notice, the Borrowers shall deliver to the Lenders a cash payment equal to $3,500,000 within five days of delivery of the Cure Notice to the Lenders. The Cure Amount shall be applied to prepay the Term Loans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon timely receipt by Lenders in cash of the Cure Amount, the Financial Covenant Default shall be deemed cured.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything contained herein to the contrary, in no event shall the Cure Right be exercised more than once during any fiscal year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.14 **Post-Closing Covenants.** As soon as reasonably practicably, but in any event within 15 days of the date hereof with respect to subsection (a) below and 30 days of the date hereof with respect to subsection (b) below (or such later date as agreed to by the JGB Agent), the Borrowers shall deliver the following documents to the JGB Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) An executed Mortgage acknowledged by a United States or Canadian authorized notary; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) duly executed Account Control Agreements with respect to all Collateral Accounts (other than Excluded Accounts).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>NEGATIVE COVENANTS</u>

No Loan Party shall do any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 **Dispositions.** Convey, sell, lease, transfer, assign, or otherwise dispose of (collectively, "**Transfer**") all or any part of its business or property (including, for the avoidance of doubt, to any Subsidiary that is not a Loan Party), except for Permitted Transfers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 **Changes in Business, Management, Ownership, or Business Locations.** (a) Engage in any business other than the businesses currently engaged in by such Person, as applicable, or any line of business reasonably complimentary, ancillary or otherwise related thereto; (b) cease doing business, or liquidate or dissolve; or (c) without at least ten (10) days prior written notice to JGB Agent (i) change its jurisdiction of organization, (ii) change its organizational structure or type, (iii) change its legal name, (iv) change its organizational number (if any) assigned by its jurisdiction of organization, or (v) change its chief executive office or principal place of business. Notwithstanding the foregoing, the restrictions set forth in this <u>Section 7.2</u> shall not apply to the changes or transactions resulting from the proposed reverse takeover bid with Baymont Incorporated ("**Baymont**") whereby Baymont will acquire all the issued and outstanding shares of Borrower Representative in consideration of the issuance of shares of its share-capital and Borrower Representative shall survive and continue as a wholly-owned Subsidiary of Baymont (the "**RTO**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 **Mergers or Acquisitions.** Except for the RTO, merge or consolidate with any other Person, or acquire all or substantially all of the capital stock or property of another Person or business line of another Person (including, without limitation, by the formation of any Subsidiary) or enter into any agreement to do any of the same, provided that a Subsidiary may amalgamate, merge or consolidate into another Subsidiary or into a Borrower, provided that in any merger or consolidation involving a Borrower or a Guarantor, such Borrower or Guarantor, respectively, shall be the surviving entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 **Indebtedness.** Create, incur, assume, or be liable for any Indebtedness, other than Permitted Indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 **Encumbrance.** Create, incur, allow, or suffer any Lien on any of its property, or assign or convey any right to receive income therefrom, including the sale of any Accounts, except for Permitted Liens, or otherwise permit any Collateral not to be subject to the first priority security interest granted herein, except in connection with Permitted Liens permitted to have priority over the Lien pursuant to the Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.6 **Maintenance of Collateral Accounts.** Maintain any Collateral Account except in compliance with requirements of applicable Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.7 **Distributions; Investments.** Pay any dividends or make any distribution or payment on any capital stock of a Loan Party or redeem, retire or purchase any Equity Interests of a Loan Party or directly or indirectly make any Investment (including, without limitation, by the formation of any Subsidiary) other than Permitted Investments; <u>provided</u>, <u>however</u>, that notwithstanding the foregoing, so long as there does not exist an Event of Default, or an Event of Default would not result therefrom: (a) any Subsidiary of a Borrower may pay dividends or make other distributions to such Borrower and (b) if either (i) at any time and so long as any Loan Party, if a corporation, has maintained in effect a valid election to have its income taxed for federal income tax purposes under Subchapter "S" of the pertinent section of the IRC, or (ii) any Loan Party is not a corporation, and the owners of its Equity Interests are directly responsible for the payment of taxes on income of such Loan Party, then such Loan Party may make distributions from time to time to the owners of its Equity Interests based on their respective federal, state and municipal income tax liability in respect of that portion of such Loan Party's income attributed to them each year for federal income tax purposes. Notwithstanding the foregoing, Borrowers shall be permitted to make the following intercompany payments and investments in Subsidiaries without prior Lender consent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Investments among Loan Parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Investments of cash in Subsidiaries which are not Loan Parties needed to fund payroll and to fund operations in the Ordinary Course of Business in an aggregate amount per fiscal year not to exceed $1,500,000 (or the foreign equivalent thereof); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Investments by a Loan Party in Subsidiary (not covered by the foregoing clauses (a) or (b)), no to exceed $500,000 in the aggregate per fiscal year.

Notwithstanding the above, any intercompany payments and investments not specifically enumerated in <u>Sections 7.7(a)</u>, <u>(b)</u>, or <u>(c)</u> above shall require the prior written consent of the JGB Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.8 **Transactions with Affiliates.** Directly or indirectly enter into, amend, modify or permit to exist any material transaction with any Affiliate of a Loan Party, except for transactions that are in the Ordinary Course of Business and on fair and reasonable terms (taken as a whole) that are no less favorable to such Person than would be obtained in an arm's length transaction with a non-affiliated Person; provided, any transaction that results in payments to an affiliate in excess of $120,000 per year shall require the prior written consent of the Required Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.9 **Subordinated Debt.** (a) Make or permit any payment on any Subordinated Debt; or (b) amend any provision in any document relating to the Subordinated Debt, in each case, except as permitted pursuant to the terms of the subordination, intercreditor, or other similar agreement to which such Subordinated Debt is subject.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.10 **Compliance.** Become an "investment company" or a company controlled by an "investment company", under the Investment Company Act of 1940, as amended, or undertake as one of its important activities extending credit to purchase or carry margin stock (as defined in Regulation U of the Board of Governors of the Federal Reserve System), or use the proceeds of any Loan for that purpose; take any action or fail to take any action (or suffer any other Person to do so), to the extent the same would cause the representations set forth in <u>Section 5.11(c)</u> to be untrue, in any material respect; fail to meet the minimum funding requirements of ERISA, permit a Reportable Event or Prohibited Transaction, as defined in ERISA, to occur; fail to comply, in all material respects, with the Federal Fair Labor Standards Act or violate any other law or regulation, if the violation could reasonably be expected to have a Material Adverse Effect; withdraw from participation in, permit partial or complete termination of, or permit the occurrence of any other event with respect to, any present pension, profit sharing and deferred compensation plan which could reasonably be expected to result in any material liability of a Loan Party or any of its Subsidiaries, including any liability to the Pension Benefit Guaranty Corporation or its successors or any other governmental agency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.11 **Fundamental Changes.** No Loan Party will, nor will it permit any Subsidiary to, merge, dissolve, liquidate, consolidate with or into another Person, or Dispose of (whether in one transaction or in a series of transactions) all or substantially all of its assets (whether now owned or hereafter acquired) to or in favor of any Person, except that, so long as no Default exists or would result therefrom:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Subsidiary may merge with a Borrower, provided that such Borrower shall be the continuing or surviving Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any Subsidiary may Dispose of all or substantially all of its assets (upon voluntary liquidation or otherwise) to a Borrower;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a Loan Party and its Subsidiaries may make Dispositions permitted by prior written consent of the Lenders; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any Subsidiary may dissolve, liquidate or wind up its affairs if it owns no material assets, engages in no business and otherwise has no activities other than activities related to the maintenance of its existence and good standing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.12 **Certain Restrictive Agreements.** No Loan Party will, and will not permit any Subsidiary to, enter into any contractual obligation (other than this Agreement or any other Loan Document) that, directly or indirectly, (a) limits the ability of (i) any Subsidiary to make Restricted Payments to a Loan Party or to otherwise transfer property to a Loan Party, (ii) any Subsidiary to Guarantee Indebtedness of a Loan Party or (iii) a Loan Party or any Subsidiary to create, incur, assume or suffer to exist Liens on property of such Person to secure the Obligations; or (b) requires the grant of a Lien to secure an obligation of such Person if a Lien is granted to secure another obligation of such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.13 **Changes in Nature of Business.** No Loan Party, and will not permit any Subsidiary to, engage to any material extent in any business other than those businesses conducted by the Borrowers and their Subsidiaries on the date hereof or any business reasonably related or incidental thereto or representing a reasonable expansion thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>EVENTS OF DEFAULT</u>

Any one of the following shall constitute an event of default (an "**Event of Default**") under this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 **Payment Default.** Any Loan Party fails to make any payment of principal, interest or any other Obligations, in each case, within three (3) Business Days after such Obligations are due and payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 **Covenant Default.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A Loan Party fails or neglects to perform any obligation in <u>Section 4.3</u>, <u>Section 6.12</u>, <u>Section 6.14</u> or violates any covenant in <u>Section 7</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A Loan Party fails or neglects to perform, keep, or observe any other term, provision, condition, covenant or agreement contained in this Agreement or any Loan Documents, and such default (other than those specified in <u>Section 8.2(a)</u>) continues unremedied for fifteen (15) days after written notice thereof is given by JGB Agent to the Borrower Representative; provided that if such default is capable of being cured, and the Loan Party has commenced and is diligently pursuing such cure, such period shall be extended for an additional fifteen (15) days on a single occasion only with respect to such default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 **Material Adverse Effect.** An event or circumstance has occurred which could be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 **Attachment; Levy; Restraint on Business.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) The service of process seeking to attach, by trustee, receiver or similar process, any funds of a Loan Party or of any of its Subsidiaries (other than funds held in an Excluded Account), or (ii) a notice of Lien or levy, in each case in excess of $1,000,000 is filed against assets of any Loan Party or any of its Subsidiaries by any Governmental Authority, and the same under <u>clauses (i) and (ii)</u> hereof are not, within 30 days after the occurrence thereof, discharged or stayed (whether through the posting of a bond or otherwise).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) Any Collateral is attached, seized, levied on, or comes into possession of a trustee or receiver and such attachment, seizure or levy has not been removed, discharged or rescinded 15 days, or (ii) any court order enjoins, restrains, or prevents a Loan Party or any of its Subsidiaries from conducting all or any material part of its business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 **Insolvency.** (a) A Loan Party or any of its Subsidiaries, as a whole, is unable to pay its debts (including trade debts) as they become due or otherwise becomes insolvent, the realizable value of the Loan Parties' assets is less than the aggregate sum of the liabilities of the Loan Parties; (b) a Loan Party or any of its Subsidiaries begins an Insolvency Proceeding; or (c) an Insolvency Proceeding is begun against a Loan Party or any of its Subsidiaries and is not dismissed or stayed within thirty (30) days (but no Term Loans shall be made while any of the conditions described in this <u>Section 8.5</u> exist and/or until any Insolvency Proceeding is dismissed).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 **Other Agreements.** There is, under any agreement to which a Loan Party or any of its Subsidiaries is a party with a third party or parties, (a) any default resulting in a right by such third party or parties, whether or not exercised, to accelerate the maturity of any Indebtedness in an amount individually or in the aggregate in excess of $1,000,000 (except if such third party is restricted from accelerating the maturity of such Indebtedness, including pursuant to the terms of a Subordination Agreement and subject to any applicable cure period); or (b) any breach or default continuing beyond any notice or cure period by a Loan Party or a Subsidiary of such Loan Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7 **Judgments; Penalties.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) One or more fines, penalties or final judgments, orders or decrees for the payment of money in an amount, individually or in the aggregate, in excess of $1,000,000 (to the extent not covered by independent third-party insurance as to which the insurer has been notified and the insurer has confirmed in writing its responsibilities to cover such amounts) shall be rendered against a Loan Party or any of its Subsidiaries by any Governmental Authority, and the same are not, within thirty (30) days after the entry, assessment or issuance thereof, vacated, or after execution thereof, stayed or bonded pending appeal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a Loan Party, a Subsidiary of a Loan Party or any officer of director of a Loan Party or Subsidiary of a Loan Party shall be indicted, convicted or have a judgment entered against it (including in a settled action) for any intentional or willful violation of either (i) state or federal laws or (ii) any anti-fraud provisions of state or federal securities law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8 **Misrepresentations.** Any Loan Party or any Person acting for such Loan Party makes any representation, warranty, or other statement now or later in this Agreement, any Loan Document or in any writing delivered to JGB Agent or any Lender or to induce JGB Agent or any Lender to enter this Agreement or any Loan Document, and such representation, warranty, or other statement is incorrect in any material respect when made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9 **Subordinated Debt.** Any Subordination Agreement governing any Subordinated Debt shall for any reason be revoked or invalidated or otherwise cease to be in full force and effect, any party thereto shall be in breach thereof or contest in any manner the validity or enforceability thereof or deny that it has any further obligation thereunder, or any Liens securing the Obligations shall for any reason not have the priority contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10 **Guaranty.** Any guaranty of any Obligations terminates or ceases for any reason to be in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.11 **ERISA Event.** An ERISA Event occurs with respect to a Pension Plan or Multiemployer Plan that has resulted or could reasonably be expected to result in liability of the Borrower under Title IV of ERISA to the Pension Plan, Multiemployer Plan or the PBGC in an aggregate amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.12 **Invalidity.** Any material provision of any Loan Document, at any time after its execution and delivery and for any reason other than as expressly permitted hereunder or thereunder or satisfaction in full of all Obligations, ceases to be in full force and effect; or a Borrower or any other Person contests in writing the validity or enforceability of any provision of any Loan Document; or a Borrower denies in writing that it has any or further liability or obligation under any Loan Document, or purports in writing to revoke, terminate or rescind any Loan Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.13 **Indictment.** Any Loan Party or any director, general partner, managing member, manager or senior officer of a Loan Party (a) is indicted for any felonious criminal offense related to the performance of its activities under this Agreement or the other Transaction Documents or related to the Borrower's business or (b) is criminally indicted or convicted under any law that may reasonably be expected to lead to a forfeiture of any property of a Loan Party having a fair market value in excess of $1,000,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>ACCELERATION</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 **Acceleration.** Upon the occurrence and during the continuance of an Event of Default, Required Lenders are entitled, to declare all Obligations immediately due and payable (but if an Event of Default described in <u>Section 8.5</u> occurs all Obligations are immediately due and payable without any action by the Required Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>NOTICES</u> 

All notices, consents, requests, approvals, demands, or other communication by any party to this Agreement or any other Loan Document must be in writing and shall be deemed to have been validly served, given, or delivered: (a) upon the earlier of actual receipt and three (3) Business Days after deposit in the U.S. mail, first class, registered or certified mail return receipt requested, with proper postage prepaid; (b) when sent by electronic mail transmission, when transmitted; (c) one (1) Business Day after deposit with a reputable overnight courier with all charges prepaid; or (d) when delivered, if hand-delivered by messenger, all of which shall be addressed to the party to be notified and sent to the address, or email address indicated below. JGB Agent, Lenders and Loan Parties may change their respective mailing or electronic mail addresses by giving the other party written notice thereof in accordance with the terms of this <u>Section 10</u>

.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If to Loan Parties: | **BITZERO BLOCKCHAIN INC.**<br> 925-1000 Cathedral Place, West Georgia Street,<br> Vancouver, British Columbia V6C 3L2 Canada<br> Attention: Mohammed Salah Bakhashwain<br> E-mail: Mohammed@bitzero.com |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;With a copy to (which shall not constitute notice): | **BCF BUSINESS LAW**<br> 1100 René-Lévesque Blvd. West<br> 25th Floor, Montreal, Quebec H3B 5C9 Canada<br> Attention: Gilles Seguin<br> E-mail: Gilles.Seguin@bcf.ca |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If to JGB Agent: | **JGB MANAGEMENT INC.**<br> 246 Post Road East, 2nd Floor <br> Westport, CT 06880<br> Attention: Hunter Dorbandt <br> Email: Hdorbandt@jgbcap.com |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;With a copy to (which shall not constitute notice): | **HAYNES AND BOONE, LLP**<br> 30 Rockefeller Plaza, 26th Floor<br> New York, New York 10112<br> Attention: Greg Kramer<br> E-mail: greg.kramer@haynesboone.com |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If to Lender | The address and e-mail address of such Lender set forth on its signature page to this Agreement. |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. <u>CHOICE OF LAW, VENUE AND JURY TRIAL WAIVER</u>

Except as otherwise expressly provided in any of the Loan Documents, this Agreement and the other Loan Documents shall be governed by, and construed in accordance with, the laws of the State of New York without regard to principles of conflicts of law. Each Loan Party hereby submits to the exclusive jurisdiction of the State and Federal courts in New York County, City of New York, New York; <u>provided</u>, <u>however</u>, that nothing in this Agreement shall be deemed to operate to preclude JGB Agent or any Lender from enforcing a judgment or other court order in favor of JGB Agent or any Lender in any other forum. Each Loan Party expressly submits and consents in advance to such jurisdiction in any action or suit commenced in any such court, and each Loan Party hereby waives any objection that it may have based upon lack of personal jurisdiction, improper venue, or *forum non conveniens* and hereby consents to the granting of such legal or equitable relief as is deemed appropriate by such court. Each Loan Party hereby waives personal service of the summons, complaints, and other process issued in such action or suit and agrees that service of such summons, complaints, and other process may be made by registered or certified mail addressed to such Loan Party at the address set forth in, or subsequently provided by such Loan Party in accordance with, <u>Section 10</u> and that service so made shall be deemed completed upon the earlier to occur of Loan Parties' actual receipt thereof or three (3) Business Days after deposit in the U.S. mails, proper postage prepaid. Each Loan Party hereby expressly waives any claim to assert that the laws of any other jurisdiction govern this Agreement.

**<u>TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, EACH OF THE PARTIES HERETO EACH WAIVE THEIR RIGHT TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION ARISING OUT OF OR BASED UPON THIS AGREEMENT, THE LOAN DOCUMENTS OR ANY CONTEMPLATED TRANSACTION, INCLUDING CONTRACT, TORT, BREACH OF DUTY AND ALL OTHER CLAIMS. THIS WAIVER IS A MATERIAL INDUCEMENT FOR THE PARTIES TO ENTER INTO THIS AGREEMENT. NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED IN THIS AGREEMENT OR ANYWHERE ELSE, EACH LOAN PARTY AGREES THAT IT SHALL NOT SEEK FROM JGB AGENT OR ANY LENDER UNDER ANY THEORY OF LIABILITY (INCLUDING ANY THEORY IN TORTS), ANY SPECIAL, INDIRECT, CONSEQUENTIAL OR PUNITIVE DAMAGES. EACH PARTY HAS REVIEWED THIS WAIVER WITH ITS COUNSEL.</u>**

This <u>Section 11</u> shall survive the termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. <u>GENERAL PROVISIONS</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.1 **Termination Prior to Term Loan Maturity Date; Survival.** All covenants, representations and warranties made in this Agreement continue in full force until this Agreement has terminated pursuant to its terms and all Obligations (other than contingent indemnification obligations as to which no claim has been asserted or is known to exist and any other obligations which, by their express terms, are to survive the termination of this Agreement) have been satisfied in full, in cash and all commitments to extend credit pursuant to this Agreement have terminated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.2 **Successors and Assigns.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Successors and Assigns Generally</u>. This Agreement binds and is for the benefit of the successors and permitted assigns of each party. No Loan Party may assign this Agreement or any rights or obligations under it without JGB Agent's prior written consent (which may be granted or withheld in JGB Agent's discretion). Each Lender has the right, with the prior written consent of the Loan Parties (with such consent not to be unreasonably withheld), to sell, transfer, assign, negotiate, or grant participation in all or any part of, or any interest in, such Lender's obligations, rights, and benefits under this Agreement and the other Loan Documents (other than the Warrant, as to which assignment, transfer and other such actions are governed by the terms thereof), provided that (x) the consent of the Loan Parties shall not be required for any such sale, transfer, assignment, negotiation or grant if an Event of Default has occurred and is continuing and (y) neither the consent of or notice to the Loan Parties shall be required if after such Lender has granted a participation in such Lender's interests to a third party, such Lender or an affiliate of JGB Agent remains the lender of record and controls any related voting rights held by such Lender prior to such grant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Assignment by Lenders</u>. Each Lender may at any time assign to one or more eligible assignees all or a portion of its rights and obligations under this Agreement (including all or a portion of its commitment and the Term Loans at the time owing to it), subject to any restrictions on such assignment set forth in clause (a) above and the other Loan Documents. Each such Lender shall notify the JGB Agent of such assignment and deliver to the JGB Agent a copy of any assignment and assumption agreement entered into in connection thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Register; Participant Register</u>. JGB Agent, acting solely for this purpose as an agent of the Loan Parties, shall maintain at one of its offices in the United States a register for the recordation of the names and addresses of Lenders, and the Commitments of, and principal amounts (and stated interest) of the Term Loans owing to each Lender pursuant to the terms hereof from time to time (the "**Register**"). The entries in the Register shall be conclusive absent manifest error, and the Loan Parties, JGB Agent and Lenders shall treat each Person whose name is recorded in the Register pursuant to the terms hereof as Lender hereunder for all purposes of this Agreement. The Register shall be available for inspection by the Loan Parties, any Lender and JGB Agent at any reasonable time and from time to time upon reasonable prior notice. Each Lender that sells a participation shall, acting solely for this purpose as a non-fiduciary agent of the Loan Parties, maintain a register on which it enters the name and address of each participant and the principal amounts (and stated interest) of each participant's interest in the Term Loans or other obligations under the Loan Documents (the "**Participant Register**"); provided that no Lender shall have any obligation to disclose all or any portion of the Participant Register (including the identity of any participant or any information relating to a participant's interest in any commitments, loans or its other obligations under any Loan Document) to any Person except to the extent that such disclosure is necessary to establish that such commitment, loan or other obligation is in registered form under Section 5f.103-1(c) of the United States Treasury Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and such Lender shall treat each Person whose name is recorded in the Participant Register as the owner of such participation for all purposes of this Agreement notwithstanding any notice to the contrary. For the avoidance of doubt, JGB Agent (in its capacity as administrative agent) shall have no responsibility for maintaining a Participant Register.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.3 **Indemnification.** Each Loan Party agrees to indemnify, defend and hold JGB Agent and each Lender and their respective directors, officers, employees, agents, attorneys, or any other Person affiliated with or representing Lender (each, an "**Indemnified Person**") harmless against all obligations, demands, claims, and liabilities (including such claims, costs, expenses, damages and liabilities based on liability in tort, including strict liability in tort) (collectively, "**Claims**") claimed or asserted by any third party in connection with the transactions contemplated by the Loan Documents, except for Claims and/or losses to the extent directly caused by or resulting from, (x) such Indemnified Person's gross negligence or willful misconduct and (y) any dispute solely among Indemnified Persons. This <u>Section 12.3</u> shall survive until all statutes of limitation with respect to the Claims, losses, and expenses for which indemnity is given shall have run and, for the avoidance of doubt, shall survive the resignation or replacement of JGB Agent. This <u>Section 12.3</u> shall not apply with respect to Taxes other than any Taxes that represent losses, claims, damages, etc. arising from any non-Tax claim. The liability of any Finnish Loan Party to make any payment under this indemnity on behalf of any other Loan Party shall be subject to <u>Section 13.12</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4 **Borrower Liability.** Each Borrower hereunder shall be jointly and severally obligated to repay all Term Loans made hereunder, regardless of which Borrower actually receives said Loan, as if each Borrower hereunder directly received all Term Loans. Each Borrower waives (a) any suretyship defenses available to it under the Code or any other applicable law, and (b) any right to require JGB Agent to: (i) proceed against any Borrower or any other Person; (ii) proceed against or exhaust any security; or (iii) pursue any other remedy. JGB Agent may exercise or not exercise any right or remedy it has against any Borrower or any security it holds (including the right to foreclose by judicial or non-judicial sale) without affecting any Borrower's liability. Notwithstanding any other provision of this Agreement or other related document, each Borrower irrevocably waives all rights that it may have at law or in equity (including, without limitation, any law subrogating Borrower to the rights of JGB Agent under this Agreement) to seek contribution, indemnification or any other form of reimbursement from any other Borrower, or any other Person now or hereafter primarily or secondarily liable for any of the Obligations, for any payment made by such Borrower with respect to the Obligations in connection with this Agreement or otherwise and all rights that it might have to benefit from, or to participate in, any security for the Obligations as a result of any payment made by such Borrower with respect to the Obligations in connection with this Agreement or otherwise. Any agreement providing for indemnification, reimbursement or any other arrangement prohibited under this Section shall be null and void. If any payment is made to a Borrower in contravention of this Section, such Borrower shall hold such payment in trust for Lenders and such payment shall be promptly delivered to JGB Agent, for the ratable benefit of Lenders, for application to the Obligations, whether matured or unmatured. The liability of any Finnish Loan Party to make any payment under this clause on behalf of any other Loan Party shall be subject to <u>Section 13.12</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.5 **Time of Essence.** Time is of the essence for the performance of all Obligations in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.6 **Severability of Provisions.** Each provision of this Agreement is severable from every other provision in determining the enforceability of any provision.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.7 **Correction of Loan Documents.** JGB Agent may correct patent errors and fill in any blanks in the Loan Documents consistent with the agreement of the parties with ten (10) days prior written notice to Borrower Representative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.8 **Amendments in Writing; Waiver; Integration.** No purported amendment or modification of any Loan Document, or waiver, discharge or termination of any obligation under any Loan Document, shall be effective except, pursuant to an agreement in writing by the parties thereto, and in case of this Agreement, pursuant to an agreement in writing entered into by Loan Parties, JGB Agent and the Required Lenders. Without limiting the generality of the foregoing, no oral promise or statement, nor any action, inaction, delay, failure to require performance or course of conduct shall operate as, or evidence, an amendment, supplement or waiver or have any other effect on any Loan Document. Any waiver granted shall be limited to the specific circumstance expressly described in it, and shall not apply to any subsequent or other circumstance, whether similar or dissimilar, or give rise to, or evidence, any obligation or commitment to grant any further waiver. The Loan Documents represent the entire agreement about this subject matter and supersede prior negotiations or agreements. All prior agreements, understandings, representations, warranties, and negotiations among the parties about the subject matter of the Loan Documents merge into the Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.9 **Counterparts; Electronic Execution of Documents.** This Agreement and any other Loan Documents, except to the extent otherwise required pursuant to the terms thereof, may be executed in any number of counterparts and by different parties on separate counterparts, each of which, when executed and delivered, is of the same force and effect as an original, and all taken together, constitute one Agreement. The words "execution," "signed," "signature" and words of like import in any Loan Document shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of the same legal effect, validity and enforceability as a manually executed signature or the use of a paper-based recordkeeping systems, as the case may be, to the extent and as provided for in any applicable law, including, without limitation, any state law based on the Uniform Electronic Transactions Act. Delivery of an executed counterpart of a signature page of any Loan Document by electronic means including by email delivery of a ".pdf" format data file shall be as effective as delivery of an original executed counterpart of such Loan Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.10 **Confidentiality.** JGB Agent and each Lender agree to use the same degree of care that it exercises with respect to its own proprietary information, to maintain the confidentiality of any and all proprietary, trade secret or confidential information provided to or received by JGB Agent or any such Lender from the Loan Parties, which indicates that it is confidential or would reasonably be understood to be confidential, including business plans and forecasts, non-public financial information, confidential or secret processes, formulae, devices and contractual information, customer lists, and employee relation matters, <u>provided that</u>, JGB Agent and each Lender may disclose such information to its officers, directors, employees, attorneys, investors, partners, consultants, accountants, affiliates, participants in the Term Loans, prospective participants in the Term Loans, assignees and prospective assignees of all or part of the Term Loans (provided that such applicable Person is subject to confidentiality obligations comparable to the provisions of this <u>Section 12.10</u>), and such other Persons to whom JGB Agent and any Lender shall at any time be required to make such disclosure in accordance with applicable law, and provided that, the foregoing provisions shall not apply to disclosures made by JGB Agent and any Lender in its good faith business judgment in connection with the enforcement of its rights or remedies after an Event of Default. The confidentiality agreement in this Section supersedes any prior confidentiality agreement of JGB Agent and any Lender relating to the Loan Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.11 **Borrower Representative.** Each of the Borrowers hereby appoints Borrower Representative to act as its exclusive agent for all purposes under the Loan Documents (including, without limitation, with respect to all matters related to the borrowing and repayment of any Loan). Each of the Borrowers acknowledges and agrees that (a) Borrower Representative may execute such documents on behalf of any Borrower as Borrower Representative deems appropriate in its sole discretion and each Borrower shall be bound by and obligated by all of the terms of any such document executed by Borrower Representative on its behalf, (b) any notice or other communication delivered hereunder to Borrower Representative shall be deemed to have been delivered to each Borrower and (c) JGB Agent and any Lender shall accept (and shall be permitted to rely on) any document or agreement executed by Borrower Representative on behalf of Borrowers (or any of them). Borrowers must act through the Borrower Representative for all purposes under this Agreement and the other Loan Documents. Notwithstanding anything contained herein to the contrary, to the extent any provision in this Agreement requires any Borrower to interact in any manner with JGB Agent or any Lender, such Borrower shall do so through Borrower Representative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.12 **Captions.** The headings used in this Agreement are for convenience only and shall not affect the interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.13 **Construction of Agreement.** The parties mutually acknowledge that they and their attorneys have participated in the preparation and negotiation of this Agreement. In cases of uncertainty this Agreement shall be construed without regard to which of the parties caused the uncertainty to exist.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.14 **Relationship.** The relationship of the parties to this Agreement is determined solely by the provisions of this Agreement. The parties do not intend to create any agency, partnership, joint venture, trust, fiduciary or other relationship with duties or incidents different from those of parties to an arm's-length contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.15 **Third Parties.** Nothing in this Agreement, whether express or implied, is intended to: (a) confer any benefits, rights or remedies under or by reason of this Agreement on any Persons other than the express parties to it and their respective permitted successors and assigns; (b) relieve or discharge the obligation or liability of any Person not an express party to this Agreement; or (c) give any Person not an express party to this Agreement any right of subrogation or action against any party to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.16 **Appointment of JGB Agent.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Lender hereby appoints JGB Agent to act on behalf of Lenders as administrative agent under this Agreement and the other Loan Documents and appoints JGB Agent to act on behalf of Lenders as collateral agent, and to hold and enforce any and all Liens on the Collateral granted pursuant thereto by the applicable Loan Parties to secure the Obligations. The provisions of this <u>Section 12.16</u> are solely for the benefit of JGB Agent and Lenders and no Loan Party nor any other Person shall have any rights as a third party beneficiary of any of the provisions hereof. In performing its functions and duties under this Agreement, JGB Agent does not assume and shall not be deemed to have assumed any obligation toward or relationship of agency or trust with or for any Loan Party or any other Person. JGB Agent shall not have any duties or responsibilities except for those expressly set forth in this Agreement and the other Loan Documents, together with such powers as are reasonably related thereto. The duties of JGB Agent shall be mechanical and administrative in nature and JGB Agent shall not have, or be deemed to have, by reason of this Agreement, any other Loan Document or otherwise a fiduciary relationship in respect of any Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If JGB Agent shall request instructions from Lenders with respect to any act or action (including failure to act) in connection with this Agreement or any other Loan Document, then JGB Agent shall be entitled to refrain from such act or taking such action unless and until it shall have received instructions from the Required Lenders, and JGB Agent shall incur no liability to any Person by reason of so refraining. JGB Agent shall be fully justified in failing or refusing to take any action hereunder or under any other Loan Document for any reason. Without limiting the foregoing, no Lender shall have any right of action whatsoever against JGB Agent as a result of JGB Agent's acting or refraining from acting hereunder or under any other Loan Document in accordance with the instructions of Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) JGB Agent may perform any and all of its duties and exercise its rights and powers hereunder by or through any one or more sub-agents appointed by JGB Agent. JGB Agent and any such sub-agent may perform any and all of its duties and exercise its rights and powers by or through their respective related parties. The exculpatory provisions of this <u>Section 12.16</u> shall apply to any such sub-agent and to the related parties of JGB Agent and any such sub-agent. JGB Agent shall not be responsible for the negligence or misconduct of any sub-agent except to the extent that a court of competent jurisdiction determines in a final and non-appealable judgment that JGB Agent acted with gross negligence or willful misconduct in the selection of such sub-agents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Neither JGB Agent nor any of its Affiliates nor any of their respective directors, officers, agents or employees shall be liable for any action taken or omitted to be taken by it or them under or in connection with this Agreement or the other Loan Documents, except for damages solely caused by its or their own gross negligence or willful misconduct as finally determined by a court of competent jurisdiction. Without limitation of the generality of the foregoing, JGB Agent: (i) may consult with legal counsel, independent chartered accountants and other experts and consultants selected by it and shall not be liable for any action taken or omitted to be taken in good faith by it in accordance with the advice of such counsel, accountants, experts or consultants; (ii) makes no warranty or representation to any Lender and shall not be responsible to any Lender for any statements, warranties or representations made in or in connection with this Agreement or the other Loan Documents; (iii) shall not have any duty to ascertain or to inquire as to the performance or observance of any of the terms, covenants or conditions of this Agreement or the other Loan Documents on the part of any Loan Party or to inspect the Collateral (including the books and records) of any Loan Party; (iv) shall not be responsible to any Lender for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement or the other Loan Documents or any other instrument or document furnished pursuant hereto or thereto; and (v) shall incur no liability under or in respect of this Agreement or the other Loan Documents by acting upon any notice, consent, certificate or other instrument or writing (which may be by email) believed by it to be genuine and signed or sent by the proper party or parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) With respect to its Commitments and Term Loans hereunder, JGB Agent shall have the same rights and powers under this Agreement and the other Loan Documents as any other Lender and may exercise the same as though it were not JGB Agent; and the term "Lender" or "Lenders" shall, unless otherwise expressly indicated, include JGB Agent in its individual capacity (to the extent it holds any Obligations owing to Lenders or Commitments hereunder). JGB Agent and each of its Affiliates may lend money to, invest in, and generally engage in any kind of business with, any Loan Party, any of their Affiliates and any Person who may do business with or own securities of any Loan Party or any such Affiliate, all as if JGB Agent was not JGB Agent and without any duty to account therefor to Lenders. JGB Agent and its Affiliates may accept fees and other consideration from any Loan Party for services in connection with this Agreement or otherwise without having to account for the same to Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Each Lender acknowledges that it has, independently and without reliance upon JGB Agent or any other Lender, made its own credit and financial analysis of the Loan Parties and its own decision to enter into this Agreement. Each Lender also acknowledges that it will, independently and without reliance upon JGB Agent or any other Lender and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement. Each Lender acknowledges the potential conflict of interest of each other Lender as a result of Lenders holding disproportionate interests in the Term Loans, and expressly consents to, and waives any claim based upon, such conflict of interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Each Lender agrees to indemnify JGB Agent (to the extent not reimbursed by Loan Parties and without limiting the obligations of Loan Parties hereunder), ratably according to its respective Pro Rata Share, from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever which may be imposed on, incurred by, or asserted against JGB Agent in any way relating to or arising out of this Agreement or any other Loan Document or any action taken or omitted by JGB Agent in connection therewith; <u>provided</u>, <u>however</u>, that no Lender shall be liable for any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements resulting solely from JGB Agent's gross negligence or willful misconduct as finally determined by a court of competent jurisdiction. Without limiting the foregoing, each Lender agrees to reimburse JGB Agent promptly upon demand for its ratable share of any out-of-pocket expenses (including reasonable and documented counsel fees) incurred by JGB Agent in connection with the preparation, execution, delivery, administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities under, this Agreement and each other Loan Document, to the extent that JGB Agent is not reimbursed for such expenses by the Loan Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) JGB Agent may resign at any time by giving not less than thirty (30) days' prior written notice thereof to Lenders and Borrowers. Upon any such resignation, Lenders shall have the right to appoint a successor JGB Agent. If no successor JGB Agent shall have been so appointed by Lenders and shall have accepted such appointment within thirty (30) days after JGB Agent's giving notice of resignation, then JGB Agent may, on behalf of Lenders, appoint a successor JGB Agent, which shall be a Lender, if a Lender is willing to accept such appointment, or otherwise shall be a commercial bank or financial institution or a subsidiary of a commercial bank or financial institution if such commercial bank or financial institution has combined capital of at least $300,000,000. If no successor JGB Agent has been appointed pursuant to the foregoing, by the 30th day after the date such notice of resignation was given by the resigning JGB Agent, such resignation shall become effective and Lenders shall thereafter perform all the duties of JGB Agent hereunder until such time, if any, as Lenders appoint a successor JGB Agent as provided above. Upon the acceptance of any appointment as JGB Agent hereunder by a successor JGB Agent, such successor JGB Agent shall succeed to and become vested with all the rights, powers, privileges and duties of the resigning JGB Agent. Upon the earlier of the acceptance of any appointment as JGB Agent hereunder by a successor JGB Agent or the effective date of the resigning JGB Agent's resignation, the resigning JGB Agent shall be discharged from its duties and obligations under this Agreement and the other Loan Documents, except that any indemnity, expense reimbursement or other rights in favor of such resigning JGB Agent shall continue. After any resigning JGB Agent's resignation hereunder, the provisions of this <u>Section 12.16</u> shall inure to its benefit as to any actions taken or omitted to be taken by it while it was JGB Agent under this Agreement and the other Loan Documents. Notwithstanding the foregoing, as long as JGB is a Lender pursuant to this Agreement, JGB Collateral LLC shall not resign as JGB Agent unless a successor JGB Agent is appointed concurrently with such resignation, which successor JGB Agent shall have the wherewithal to perform, and shall succeed to and become vested with all the rights, powers, privileges and duties of the resigning JGB Agent under this Agreement and the other Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) In addition to any rights now or hereafter granted under applicable law and not by way of limitation of any such rights, upon the occurrence and during the continuance of any Event of Default, with the prior written consent of JGB Agent, each Lender and each holder of any Obligation is hereby authorized at any time or from time to time, without notice to any Loan Party or to any other Person, any such notice being hereby expressly waived, to set off and to appropriate and to apply any and all balances held by it at any of its offices for the account of any Loan Party or any Subsidiary of a Loan Party (regardless of whether such balances are then due to such Loan Party or such Subsidiary) and any other properties or assets any time held or owing by that Lender or that holder to or for the credit or for the account of any Loan Party or any Subsidiary of a Loan Party against and on account of any of the Obligations which are not paid when due. Any Lender or holder of any Obligation exercising a right to set off or otherwise receiving any payment on account of the Obligations in excess of its Pro Rata Share thereof in accordance with the terms of this Agreement relating to the priority of the repayment of the Obligations shall purchase for cash (and the other Lenders or holders shall sell) such participations in each such other Lender's or holder's Pro Rata Share of the Obligations as would be necessary to cause such Lender to share the amount so set off or otherwise received with each other Lender or holder in accordance with their respective Pro Rata Shares and in accordance with the terms of this Agreement relating to the priority of the repayment of the Obligations. Each Loan Party agrees, to the fullest extent permitted by law, that (i) any Lender or holder may exercise its right to set off with respect to amounts in excess of its Pro Rata Share of the Obligations and may sell participations in such amount so set off to other Lenders and holders and (ii) any Lender or holders so purchasing a participation in the Term Loans made or other Obligations held by other Lenders or holders may exercise all rights of set-off, bankers' Lien, counterclaim or similar rights with respect to such participation as fully as if such Lender or holder were a direct holder of the Term Loans and the other Obligations in the amount of such participation. Notwithstanding the foregoing, if all or any portion of the set-off amount or payment otherwise received is thereafter recovered from Lender that has exercised the right of set-off, the purchase of participations by that Lender shall be rescinded and the purchase price restored without interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Nothing in this Agreement or the other Loan Documents shall be deemed to require JGB Agent to advance funds on behalf of any Lender or to relieve any Lender from its obligation to fulfill its Commitments hereunder or to prejudice any rights that Borrowers may have against any Lender as a result of any default by such Lender hereunder. To the extent that JGB Agent advances funds to Borrowers on behalf of any Lender and is not reimbursed therefor on the same Business Day as such advance is made, JGB Agent shall be entitled to retain for its account all interest accrued on such advance until reimbursed by the applicable Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) If JGB Agent determines at any time that any amount received thereby under this Agreement shall be returned to Borrowers or paid to any other Person pursuant to any insolvency law or otherwise, then, notwithstanding any other term or condition of this Agreement or any other Loan Document, JGB Agent will not be required to distribute any portion thereof to any Lender. In addition, each Lender will repay to JGB Agent on demand any portion of such amount that JGB Agent has distributed to such Lender, together with interest at such rate, if any, as JGB Agent is required to pay to Borrowers or such other Person, without set-off, counterclaim or deduction of any kind.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) JGB Agent will make reasonable efforts to provide Lenders with any written notice of Event of Default received by JGB Agent from, or delivered by JGB Agent to, any Loan Party. Lenders shall not be deemed to have knowledge or notice of the occurrence of any Event of Default hereunder unless such Lender has received written notice from the JGB Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Anything in this Agreement or any other Loan Document to the contrary notwithstanding, each Lender hereby agrees with each other Lender and with JGB Agent that no Lender shall take any action to protect or enforce its rights arising out of this Agreement or any other Loan Document (including exercising any rights of set-off) without first obtaining the prior written consent of the Required Lenders, it being the intent of Lenders that any such action to protect or enforce rights under this Agreement and the other Loan Documents shall be taken in concert and at the direction or with the consent of JGB Agent at the request of Required Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) JGB Agent shall promptly provide Required Lenders any and all statements, reports and certificates received in accordance with <u>Section 6.2</u> of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. <u>GUARANTY</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.1 **Guaranty.** Each Guarantor, who has executed this Agreement as of the date hereof, together with each Loan Party who accedes to this Agreement as a Guarantor after the date hereof pursuant to <u>Section 6.9</u> hereby, jointly and severally, unconditionally and irrevocably, guarantees the prompt and complete payment and performance by Borrowers and the other Loan Parties when due (whether at the stated maturity, by acceleration or otherwise) of the Obligations. In furtherance of the foregoing, and without limiting the generality thereof, each Guarantor agrees as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) each Guarantor's liability hereunder shall be the immediate, direct, and primary obligation of such Guarantor and shall not be contingent upon any exercise or enforcement of any remedy of any Secured Party or that any Secured Party may have against a Borrower, or any other Guarantor or other Person liable in respect of the Obligations, or all or any portion of the Collateral; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) JGB Agent, on behalf of Lenders, may enforce this guaranty notwithstanding the existence of any dispute between any Secured Party and any Loan Party with respect to the existence of any Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.2 **Maximum Liability.** Anything herein or in any other Loan Document to the contrary notwithstanding, the maximum liability of each Guarantor shall in no event exceed the amount which can be guaranteed by such Guarantor under applicable federal or state laws relating to the insolvency of debtors (after giving effect to the right of contribution established in <u>Section 13.5</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.3 **Termination.** The guaranty pursuant to this <u>Section 13</u> shall remain in full force and effect until the date the Obligations (other than contingent indemnification obligations as to which no claim has been asserted or is known to exist) have been paid in full in cash, and all commitments to extend credit have been terminated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.4 **Unconditional Nature of Guaranty.** No payment made by a Borrower, Guarantor, any other guarantor or any other Person or received or collected by any Secured Party from a Borrower, Guarantor, any other guarantor or any other Person by virtue of any action or proceeding or any set-off or appropriation or application at any time or from time to time in reduction of or in payment of the Obligations shall be deemed to modify, reduce, release or otherwise affect the liability of any Guarantor hereunder which shall, notwithstanding any such payment (other than any payment made by such Guarantor in respect of the Obligations or any payment received or collected from such Guarantor in respect of the Obligations), remain liable for the Obligations up to the maximum liability of such Guarantor hereunder until the date the Obligations (other than contingent indemnification obligations as to which no claim has been asserted or is known to exist) are paid in full in cash.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.5 **Right of Contribution**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If in connection with any payment made by any Guarantor hereunder any rights of contribution arise in favor of such Guarantor against one or more other Guarantors, such rights of contribution shall be subject to the terms and conditions of this <u>Section 13.5</u>. The provisions of this <u>Section 13.5</u> shall in no respect limit the obligations and liabilities of any Guarantor pursuant to the Loan Documents, and each Guarantor shall remain liable for the full amount guaranteed by such Guarantor hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding any payment made by any Guarantor hereunder or any set-off or application of funds of any Guarantor by any Secured Party, no Guarantor shall be entitled to be subrogated to any of the rights of any Secured Party against any Loan Party or any collateral security or guarantee or right of offset held by any Secured Party for the payment of the Obligations, nor shall any Guarantor seek or be entitled to seek any contribution or reimbursement from any Loan Party in respect of payments made by such Guarantor hereunder, in each case, until the Obligations are paid in full and all commitments to extend credit have been terminated. If any amount shall be paid to any Guarantor on account of such subrogation rights at any time prior to the time that the Obligations (other than contingent indemnification obligations as to which no claim has been asserted or is known to exist) are paid in full and all commitments to extend credit have been terminated, such amount shall be held by such Guarantor in trust for the ratable benefit of the Secured Parties, shall be segregated from other funds of such Guarantor, and shall, forthwith upon receipt by such Guarantor, be turned over to JGB Agent in the exact form received by such Guarantor (duly indorsed by such Guarantor to JGB Agent, if required), to be applied to the Obligations, irrespective of the occurrence or the continuance of any Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.6 **Amendments, etc. with respect to the Obligations.** Each Guarantor shall remain obligated hereunder notwithstanding that, without any reservation of rights against any Guarantor and without notice to or further assent by any Guarantor, any demand for payment of any of the Obligations made by any Secured Party may be rescinded and any of the Obligations continued, and the Obligations, or the liability of any other Person upon or for any part thereof, or any collateral security or guarantee therefor or right of offset with respect thereto, may, from time to time, in whole or in part, be renewed, extended, amended, modified, accelerated, compromised, waived, surrendered or released by any Secured Party, and this Agreement, the other Loan Documents and any other documents executed and delivered in connection therewith may be amended, modified, supplemented or terminated, in whole or in part, in accordance with their respective terms, and any collateral security, guarantee or right of offset at any time held by any Secured Party for the payment of the Obligations may be sold, exchanged, waived, surrendered or released. No Secured Party shall have any obligation to protect, secure, perfect or insure any Lien at any time held by it as security for the Obligations or for the guarantee pursuant to this Section 13 or any property subject thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.7 **Guarantee Absolute and Unconditional; Guarantor Waivers; Guarantor Consent.** Each Guarantor waives any and all notice of the creation, renewal, extension or accrual of any of the Obligations and notice of or proof of reliance by any Secured Party upon the guaranty contained in this <u>Section 13</u> or acceptance of this guaranty. The Obligations shall conclusively be deemed to have been created, contracted or incurred, or renewed, extended, amended or waived, in reliance upon this guaranty. All dealings between Borrowers, Guarantors and any Secured Party shall be conclusively presumed to have been had or consummated in reliance upon this guaranty. Each Guarantor further waives:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) diligence, presentment, protest, demand for payment and notice of default or nonpayment to or upon any Borrower or any of the other Guarantors with respect to the Obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the defense of the statute of limitations in any action hereunder or for the collection or performance of the Obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any defense arising by reason of any lack of corporate or other authority or any other defense of any Borrower, such Guarantor or any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any defense based upon errors or omissions by any Secured Party in the administration of the Obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any rights to set-offs and counterclaims;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any defense based upon an election of remedies (including, if available, an election to proceed by nonjudicial foreclosure) which destroys or impairs the subrogation rights of such Guarantor or the right of such Guarantor to proceed against any Borrower or any other obligor of the Obligations for reimbursement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) without limiting the generality of the foregoing, to the fullest extent permitted by law, any defenses or benefits that may be derived from or afforded by applicable law that limit the liability of or exonerate guarantors or sureties, or which may conflict with the terms of this Agreement.

Each Guarantor understands and agrees that the guarantee contained in this Section 13 shall be construed as a continuing, absolute and unconditional guarantee of payment without regard to (i) the validity or enforceability of this Agreement or any other Loan Document, any of the Obligations or any other collateral security therefor or guaranty or right of offset with respect thereto at any time or from time to time held by any Secured Party, (ii) any defense, set-off or counterclaim (other than a defense of payment or performance) which may at any time be available to or be asserted by any Borrower or any other Person against any Secured Party, or (iii) any other circumstance whatsoever (with or without notice to or knowledge of any Loan Party) which constitutes, or might be construed to constitute, an equitable or legal discharge of any Borrower for the Obligations, or of such Guarantor under this guaranty, in bankruptcy or in any other instance, (iv) any Insolvency Proceeding with respect to any Loan Party or any other Person, (v) any merger, acquisition, consolidation or change in structure of any Loan Party or any other Person, or any sale, lease, transfer or other disposition of any or all of the assets or Equity Interests of any Loan Party or any other Person, (vi) any assignment or other transfer, in whole or in part, of Secured Parties' interests in and rights under this Agreement or the other Loan Documents, including the right to receive payment of the Obligations, or any assignment or other transfer, in whole or in part, of any Secured Party's interests in and to any of the Collateral, (vii) any Secured Party's vote, claim, distribution, election, acceptance, action or inaction in any Insolvency Proceeding related to any of the Obligations, and (viii) any other guaranty, whether by such Guarantor or any other Person, of all or any part of the Obligations or any other indebtedness, obligations or liabilities of any Guarantor to Secured Parties. When making any demand hereunder or otherwise pursuing its rights and remedies hereunder against any Guarantor, Secured Parties may, but shall be under no obligation to, make a similar demand on or otherwise pursue such rights and remedies as it may have against any Loan Party or any other Person or against any collateral security or guarantee for the Obligations or any right of offset with respect thereto. Any failure by any Secured Party to make any such demand, to pursue such other rights or remedies or to collect any payments from any Loan Party or any other Person or to realize upon any such collateral security or guarantee or to exercise any such right of offset, or any release of any Loan Party or any other Person or any such collateral security, guarantee or right of offset, shall not relieve any Guarantor of any obligation or liability hereunder, and shall not impair or affect the rights and remedies, whether express, implied or available as a matter of law, of any Secured Party against any Guarantor. For the purposes hereof "demand" shall include the commencement and continuance of any legal proceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.8 **Modifications of Obligations.** Each Guarantor further unconditionally consents and agrees that, without notice to or further assent from any Guarantor: (a) the principal amount of the Obligations may be increased or decreased and additional indebtedness or obligations of a Borrower or any other Persons under the Loan Documents may be incurred, by one or more amendments, modifications, renewals or extensions of any Loan Document or otherwise; (b) the time, manner, place or terms of any payment under any Loan Document may be extended or changed, including by an increase or decrease in the interest rate on any Obligation or any fee or other amount payable under such Loan Document, by an amendment, modification or renewal of any Loan Document or otherwise; (c) the time for a Borrower's (or any other Loan Party's) performance of or compliance with any term, covenant or agreement on its part to be performed or observed under any Loan Document may be extended, or such performance or compliance waived, or failure in or departure from such performance or compliance consented to, all in such manner and upon such terms as the applicable Secured Party may deem proper; (d) in addition to the Collateral, Secured Parties may take and hold other security (legal or equitable) of any kind, at any time, as collateral for the Obligations, and may, from time to time, in whole or in part, exchange, sell, surrender, release, subordinate, modify, waive, rescind, compromise or extend such security and may permit or consent to any such action or the result of any such action, and may apply such security and direct the order or manner of sale thereof; (e) Secured Parties may discharge or release, in whole or in part, any other Guarantor or any other Loan Party or other Person liable for the payment and performance of all or any part of the Obligations, and subject to <u>Section 9.2</u>, may permit or consent to any such action or any result of such action, and shall not be obligated to demand or enforce payment upon any of the Collateral, nor shall any Secured Party be liable to any Guarantor for any failure to collect or enforce payment or performance of the Obligations from any Person or to realize upon the Collateral, and (f) Secured Parties may request and accept other guaranties of the Obligations and of any other indebtedness, obligations or liabilities of a Borrower or any other Loan Party to any Secured Party and may, from time to time, in whole or in part, surrender, release, subordinate, modify, waive, rescind, compromise or extend any such guaranty and may permit or consent to any such action or the result of any such action; in each case (a) through (f), as the applicable Secured Parties may deem advisable, and without impairing, abridging, releasing or affecting this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.9 **Reinstatement.** The guaranty shall continue to be effective, or be reinstated, as the case may be, if at any time payment, or any part thereof, of any of the Obligations is rescinded or must otherwise be restored or returned by any Secured Party upon the insolvency, bankruptcy, dissolution, liquidation or reorganization of a Loan Party, or upon or as a result of the appointment of a receiver, intervenor or conservator of, or trustee or similar officer for, a Loan Party or any substantial part of its property, or otherwise, all as though such payments had not been made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.10 **No Waiver by Course of Conduct; Cumulative Remedies.** No Secured Party shall by any act, delay, indulgence, omission or otherwise be deemed to have waived any right or remedy hereunder or to have acquiesced in any Default or Event of Default, as applicable. No failure to exercise, nor any delay in exercising, on the part of any Secured Party, any right, power or privilege hereunder shall operate as a waiver thereof. No single or partial exercise of any right, power or privilege hereunder shall preclude any other or further exercise thereof or the exercise of any other right, power or privilege. A waiver by any Secured Party of any right or remedy hereunder on any one occasion shall not be construed as a bar to any right or remedy which any Secured Party would otherwise have on any future occasion. The rights and remedies herein provided are cumulative, may be exercised singly or concurrently and are not exclusive of any other rights or remedies provided by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.11 **Enforcement Expenses; Indemnification.** Each Guarantor agrees to pay or reimburse Secured Parties for all its documented and reasonable costs and out-of-pocket expenses actually incurred in collecting against such Guarantor under this guaranty or otherwise enforcing or preserving any rights under this Agreement and the other Loan Documents to which such Guarantor is a party, including, without limitation, the reasonable fees and disbursements of counsel provided that no Guarantor shall be liable for indemnification of any expenses under this <u>Section 13.11</u> to the extent such expenses arise as a result of the gross negligence or willful misconduct of a Secured Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.12 **Limitations under Finnish law.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything set out to the contrary in this Agreement or any other Loan Document, the obligations, liabilities and indemnities of a Loan Party incorporated in Finland (each a "**Finnish Loan Party**"), or any other co-borrow, guarantee or indemnity obligation under this Agreement shall not extend to any obligations or liabilities if and to the extent (and only to the extent), that it would be contrary to the mandatory provisions of the Finnish Companies Act (Osakeyhtiölaki, 2006/624, as amended) regulating: (a) unlawful financial assistance within the meaning of Chapter 13, Section 10 of the Finnish Companies Act; (b) distribution of assets within the meaning of Chapter 13, Section 1 of the Finnish Companies Act or other applicable mandatory provisions of Finnish corporate law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Finnish Act on Guarantees and Third Party Pledges (Fi. *Laki takauksesta ja vierasvelkapanttauksesta*, statute 361/1999, as amended) shall not, to the extent it concerns the creditors' information duties, apply to this Agreement and the guarantee constituted thereby and each Finnish Loan Party waives any rights and defenses under the said act against the Secured Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.13 **Limitations under Norwegian law.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything set out to the contrary in this Agreement or any other Loan Document, the guarantee, undertaking and indemnity of any Guarantor incorporated in Norway shall be deemed to have been given only to the extent that the obligations under this Agreement and any other Loan Document (as applicable) would not be deemed prohibited loans, guarantees or other prohibited financial assistance under the Norwegian Private Limited Liabilities Companies Act 1997 and/or the Norwegian Public Limited Liabilities Companies Act 1997. The obligations under this Agreement and any other Loan Document (as applicable) of any Guarantor incorporated in Norway shall however be interpreted to make it liable to the fullest extent permitted under the Norwegian Private Limited Liabilities Companies Act 1997 and/or the Norwegian Public Limited Liabilities Companies Act 1997 from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. <u>APPOINTMENT RIGHTS</u>

The Parties agree, that after the occurrence of an Event of Default described in <u>Section 8</u>, the JGB Agent may, at its option, require the Borrowers to hire (at the Borrowers' expense) and appoint a financial consultant (selected by Borrowers and acceptable to the JGB Agent) until otherwise agreed in writing by the JGB Agent. The financial consultant shall oversee and direct the Borrower 's finance and accounting department, prepare financial reports and forecasts requested by the JGB Agent, review the Borrowers' business and financial operations and perform such other analysis as requested by the Borrowers or the JGB Agent. The financial advisor shall be fully authorized to provide the JGB Agent with any and all information concerning the business and affairs of the Borrowers and to discuss the business and affairs of the Borrowers directly with the JGB Agent.

[Remainder of Page intentionally Left Blank]

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the Closing Date.

---

| |
|:---|
| **BORROWERS/GRANTORS:** |
| **BITZERO BLOCKCHAIN INC.** |

---

By   <br> Name: Mohammed Salah Bakhashwain <br> Title: President

---

| | |
|:---|:---|
| **ZETANORTH AS** | **ZETANORTH AS** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Chairman of the Board |

---

---

| | |
|:---|:---|
| **BITZERO INC.** | **BITZERO INC.** |
| By | |
| Name: | Liza A. Harridyal- Sodha |
| Title: | Director |

---

---

| | |
|:---|:---|
| **BITZERO ND I, LLC** | **BITZERO ND I, LLC** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Governor |

---

---

| | |
|:---|:---|
| **BITZERO ND II, LLC** | **BITZERO ND II, LLC** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Governor |

---

[JGB- Bitzero- Loan and Guaranty Agreement Signature Page]

---

| | |
|:---|:---|
| **BITZERO FINLAND OY** | **BITZERO FINLAND OY** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Chairman of the Board |

---

---

| | |
|:---|:---|
| **EXANORTH AS** | **EXANORTH AS** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Chairman of the Board |

---

[JGB- Bitzero- Loan and Guaranty Agreement Signature Page]

**Exhibit A<br> DEFINITIONS**

As used in this Agreement, the following capitalized terms have the following meanings:

"**Account**" means any "account" as defined in the Code with such additions to such term as may hereafter be made, and includes, without limitation, all accounts receivable and other sums owing to a Loan Party.

"**Account Control Agreement**" means any control agreement entered into among the depository institution at which a Borrower maintains a Deposit Account or the securities intermediary or commodity intermediary at which a Borrower maintains a Securities Account or a Commodity Account, one or more Borrowers, and JGB Agent pursuant to which JGB Agent, for the benefit of Lenders, obtains control (within the meaning of the Code) over such Deposit Account, Securities Account, or Commodity Account, in each case in form and substance satisfactory to JGB Agent.

"**Affiliate**" means, with respect to any Person, each other Person that controls, directly or indirectly the Person, any Person that controls or is controlled by or is under common control with the Person, and, solely for the purpose of <u>Section 8</u>, each of that Person's senior executive officers, directors, partners and, for any Person that is a limited liability company, that Person's managers and members.

"**Agreement**" has the meaning set forth in the preamble.

"**Anti-Terrorism Order**" means Executive Order No. 13,224 as of September 24, 2001, Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit or Support Terrorism, 66 U.S. Fed. Reg. 49,079 (2001), as amended.

"**Applicable Rate**" means, for any day, the greater of (i) the Floor and (ii) a fluctuating per annum interest rate equal to Term SOFR (or, if applicable, the Benchmark Replacement) plus 11%.

"**Available Tenor**" means, as of any date of determination and with respect to the then current Benchmark, as applicable (a) if the then current Benchmark is a term rate, any tenor for such Benchmark that is or may be used for determining the length of an Interest Period or (b) otherwise, any payment period for interest calculated with reference to such Benchmark, as applicable, pursuant to this Agreement as of such date; not including, for the avoidance of doubt, any tenor for such Benchmark that is then-removed from the definition of "Interest Period" pursuant to <u>Section 3.3</u>.

"**Baymont**" has the meaning set forth in <u>Section 7.2</u>.

"**Benchmark**" means, initially, the Term SOFR Reference Rate; provided that if a Benchmark Transition Event has occurred with respect to the Term SOFR Reference Rate or the then-current Benchmark, then "Benchmark" means the applicable Benchmark Replacement to the extent that such Benchmark Replacement has replaced such prior benchmark rate pursuant to <u>Section 3.3</u>.

"**Benchmark Replacement**" means the first alternative set forth in the order below that can be determined by the JGB Agent (and that is acceptable to the Required Lenders) for the applicable Benchmark Replacement Date: (a) Daily Simple SOFR; or (b) the sum of: (i) the alternate benchmark rate that has been selected by the JGB Agent giving due consideration to (A) any selection or recommendation of a replacement benchmark rate or the mechanism for determining such a rate by the Relevant Governmental Body or (B) any evolving or then-prevailing market convention for determining a benchmark rate as a replacement to the then-current Benchmark for Dollar-denominated syndicated credit facilities and (ii) the related Benchmark Replacement Adjustment.

"**Benchmark Replacement Adjustment**" means, with respect to any replacement of the then-current Benchmark with an Unadjusted Benchmark Replacement, the spread adjustment, or method for calculating or determining such spread adjustment, (which may be a positive or negative value or zero) that has been selected by the JGB Agent giving due consideration to (a) any selection or recommendation of a spread adjustment, or method for calculating or determining such spread adjustment, for the replacement of such Benchmark with the applicable Unadjusted Benchmark Replacement by the Relevant Governmental Body or (b) any evolving or then-prevailing market convention for determining a spread adjustment, or method for calculating or determining such spread adjustment, for the replacement of such Benchmark with the applicable Unadjusted Benchmark Replacement for Dollar-denominated syndicated credit facilities at such time.

"**Benchmark Replacement Date**" means a date and time determined by the JGB Agent, which date shall be no later than the earliest to occur of the following events with respect to the then-current Benchmark: (a) in the case of clause (a) or (b) of the definition of "Benchmark Transition Event," the later of (i) the date of the public statement or publication of information referenced therein and (ii) the date on which the administrator of such Benchmark (or the published component used in the calculation thereof) permanently or indefinitely ceases to provide all Available Tenors of such Benchmark (or such component thereof); or (b) in the case of clause (c) of the definition of "**Benchmark Transition Event**", the first date on which such Benchmark (or the published component used in the calculation thereof) has been determined and announced by the regulatory supervisor for the administrator of such Benchmark (or such component thereof) to be non-representative; provided that such non-representativeness will be determined by reference to the most recent statement or publication referenced in such clause (c) and even if any Available Tenor of such Benchmark (or such component thereof) continues to be provided on such date. For the avoidance of doubt, the "Benchmark Replacement Date" will be deemed to have occurred in the case of clause (a) or (b) with respect to any Benchmark upon the occurrence of the applicable event or events set forth therein with respect to all then-current Available Tenors of such Benchmark (or the published component used in the calculation thereof).

"**Benchmark Transition Event**" means the occurrence of one or more of the following events with respect to the then-current Benchmark: (a) a public statement or publication of information by or on behalf of the administrator of such Benchmark (or the published component used in the calculation thereof) announcing that such administrator has ceased or will cease to provide all Available Tenors of such Benchmark (or such component thereof), permanently or indefinitely; provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide any Available Tenor of such Benchmark (or such component thereof); (b) a public statement or publication of information by the regulatory supervisor for the administrator of such Benchmark (or the published component used in the calculation thereof), the Federal Reserve Board, the Federal Reserve Bank of New York, an insolvency official with jurisdiction over the administrator for such Benchmark (or such component), a resolution authority with jurisdiction over the administrator for such Benchmark (or such component) or a court or an entity with similar insolvency or resolution authority over the administrator for such Benchmark (or such component), which states that the administrator of such Benchmark (or such component) has ceased or will cease to provide all Available Tenors of such Benchmark (or such component thereof) permanently or indefinitely; provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide any Available Tenor of such Benchmark (or such component thereof); or (c) a public statement or publication of information by the regulatory supervisor for the administrator of such Benchmark (or the published component used in the calculation thereof) announcing that all Available Tenors of such Benchmark (or such component thereof) are not, or as of a specified future date will not be, representative. For the avoidance of doubt, a "Benchmark Transition Event" will be deemed to have occurred with respect to any Benchmark if a public statement or publication of information set forth above has occurred with respect to each then-current Available Tenor of such Benchmark (or the published component used in the calculation thereof).

"**Board**" means, with respect to any Person, the board of directors, board of managers, managers or other similar bodies or authorities performing similar governing functions for such Person. Unless the context otherwise requires, each reference to a Board herein shall be a reference to the Board of Borrower Representative.

"**Books**" means, in respect of a Loan Party, all of such Loan Party's books and records including: ledgers; records concerning Borrower's assets or liabilities, the Collateral, business operations or financial condition; and all computer programs, or tape files, and the equipment, containing such information.

"**Borrower**" and "**Borrowers**" has the meaning set forth in the preamble. "Borrower Representative" has the meaning set forth in the preamble.

"**Business Day**" means any day that is not a Saturday, Sunday or a day on which commercial banks in the State of New York are required or permitted to be closed.

"**Cash Collateral Agreement**" means that certain cash collateral agreement, dated the date hereof, by and among the Borrower Representative and JGB Agent.

"**Cash Equivalents**" means (a) marketable direct obligations issued or unconditionally guaranteed by the United States or any agency thereof having maturities of not more than six (6) months from the date of acquisition; (b) certificates of deposit issued by any bank with assets of at least One Billion dollars ($1,000,000,000) maturing no more than six (6) months from the date of investment therein; and (c) money market funds at least ninety-five percent (95%) of the assets of which constitute Cash Equivalents of the kinds described in clauses (a) and (b) of this definition.

"**Change in Control**" means any of the following (or any combination of the following) whether arising from any single transaction event or series of related transactions or events that, individually or in the aggregate, result in: (a) the holders of a Loan Party's Equity Interests who were holders of Equity Interest as of the Closing Date, ceasing to own at least fifty-one percent (51%) of the Voting Stock of such Loan Party; (b) any person or group becoming the beneficial owner, directly or indirectly, of a sufficient number of Equity Interests of a Loan Party ordinarily entitled to vote in the election of directors, empowering such person or group to elect a majority of the members of the Board of such Loan Party, who did not have such power before such transaction; or (c) the Transfer of all or substantially all assets of a Loan Party except where such Transfer is to a Borrower; or (d) a Loan Party ceasing to own and control, free and clear of any Liens (other than Permitted Liens), directly or indirectly, all of the Equity Interests in each of its Subsidiaries or failing to have the power to direct or cause the direction of the management and policies of each such Subsidiary.

"**Claims**" has the meaning set forth in <u>Section 12.3</u>.

"**Closing Date**" has the meaning set forth in the preamble.

"**Code**" means the Uniform Commercial Code, as the same may, from time to time, be enacted and in effect in the State of New York.

"**Collateral**" means any and all assets of any Loan Party subject to a security interest, pledge, charge or other encumbrance pursuant to a Loan Document to secure the Obligations.

"**Collateral Account**" means any Deposit Account, Securities Account or Commodity Account of a Loan Party.

"**Commitment**" means, as to any Lender, the aggregate principal amount of Term Loans committed to be made by such Lender, as set forth on <u>Schedule 1</u> hereto.

"**Commodity Account**" means any "commodity account" as defined in the Code with such additions to such term as may hereafter be made.

"**Compliance Certificate**" means that certain certificate in the form attached hereto as <u>Exhibit B</u>.

"**Conforming Changes**" means, with respect to either the use or administration of Term SOFR or the use, administration, adoption or implementation of any Benchmark Replacement, any technical, administrative or operational changes (including changes to the definition of "Business Day," the definition of "U.S. Government Securities Business Day," the definition of "Interest Period" or any similar or analogous definition (or the addition of a concept of "interest period"), timing and frequency of determining rates and making payments of interest, timing of borrowing requests or prepayment, conversion or continuation notices, the applicability and length of lookback periods and other technical, administrative or operational matters) that the JGB Agent decides may be appropriate to reflect the adoption and implementation of any such rate or to permit the use and administration thereof by the JGB Agent in a manner substantially consistent with market practice (or, if the JGB Agent decides that adoption of any portion of such market practice is not administratively feasible or if the JGB Agent determines that no market practice for the administration of any such rate exists, in such other manner of administration as the JGB Agent decides is reasonably necessary in connection with the administration of this Agreement and the other Loan Documents).

"**Contingent Obligation**" means, for any Person, any direct or indirect liability, contingent or not, of that Person for (a) any indebtedness, lease, dividend, letter of credit or other obligation of another such as an obligation, in each case, directly or indirectly guaranteed, endorsed, co-made, discounted or sold with recourse by that Person, or for which that Person is directly or indirectly liable; (b) any obligations for undrawn letters of credit for the account of that Person; and (c) all obligations from any interest rate, currency or commodity swap agreement, interest rate cap or collar agreement, or other agreement or arrangement designated to protect a Person against fluctuation in interest rates, currency exchange rates or commodity prices. The amount of a Contingent Obligation is the stated or determined amount of the primary obligation for which the Contingent Obligation is made (or, if less, the maximum amount of such primary obligation for which such Person may be liable, whether singly or jointly, pursuant to the terms of the instrument evidencing such Contingent Obligation) or, if not determinable, the maximum reasonably anticipated liability for it determined by the Person in good faith; but the amount may not exceed the maximum of the obligations under any guarantee or other support arrangement.

"**Copyrights**" means any and all copyright rights, copyright applications, copyright registrations and like protections of a Person in each work of authorship and derivative work thereof, whether published or unpublished and whether or not the same also constitutes a trade secret.

"**Cure Notice**" has the meaning set forth in <u>Section 6.13(a)</u>.

"**Cure Right**" has the meaning set forth in <u>Section 6.13</u>.

"**Daily Simple SOFR**" means, for any day (a "SOFR Rate Day"), a rate per annum equal to the greater of (a) SOFR for the day (such day, a "SOFR Determination Day") that is two (2) U.S. Government Securities Business Days prior to (i) if such SOFR Rate Day is a U.S. Government Securities Business Day, such SOFR Rate Day or (ii) if such SOFR Rate Day is not a U.S. Government Securities Business Day, the U.S. Government Securities Business Day immediately preceding such SOFR Rate Day, in each case, as such SOFR is published by the SOFR Administrator on the SOFR Administrator's Website, and (b) four percent (4%). If by 5:00 p.m. (New York City time) on the second (2nd) U.S. Government Securities Business Day immediately following any SOFR Determination Day, SOFR in respect of such SOFR Determination Day has not been published on the SOFR Administrator's Website and a Benchmark Replacement Date with respect to the Daily Simple SOFR has not occurred, then SOFR for such SOFR Determination Day will be SOFR as published in respect of the first preceding U.S. Government Securities Business Day for which such SOFR was published on the SOFR Administrator's Website; provided that, any SOFR determined pursuant to this sentence shall be utilized for purposes of calculation of Daily Simple SOFR for no more than three (3) consecutive SOFR Rate Days; provided further, Daily Simple SOFR shall be rounded upwards to the next 1/100% (if necessary). Any change in Daily Simple SOFR due to a change in SOFR shall be effective from and including the effective date of such change in SOFR without notice to the Borrower Representative.

"**Default**" means any circumstance, event or condition that, with the giving of any notice, the passage of time, or both, would be an Event of Default.

"**Default Rate**" has the meaning set forth in <u>Section 3.3(b)</u>.

"**Delayed Draw Advance**" means each extension of funds under the Delayed Draw Term Loan.

"**Delayed Draw Term Loan**" means the delayed draw term loan facility under which Delayed Draw Advances are made pursuant to <u>Section 3.2(b)</u>, and "<u>Delayed Draw Term Loans</u>" means all such cash advances.

"**Delayed Draw Term Loan Amount**" means, with respect to each Lender, (i) the amount set forth opposite the name of such Lender on <u>Schedule 1</u> hereof or (ii) as to any Lender that enters into any assignment or assumption (whether as transferor Lender or as assignee thereunder), the amount of such Lender's Delayed Draw Term Loan Amount after giving effect to any assignment and assumption, in each case as such amount may be reduced from time to time pursuant to the terms of this Agreement.

"**Deposit Account**" means any "deposit account" as defined in the Code with such additions to such term as may hereafter be made, and includes any checking account, savings account or certificate of deposit.

"**Disposition**" or "**Dispose**" means the sale, transfer, license, lease or other disposition of any property by any Person (including any sale and leaseback transaction and any issuance of Equity Interests by a Subsidiary of such Person), including any sale, assignment, transfer or other disposal, with or without recourse, of any notes or accounts receivable or any rights and claims associated therewith.

"**Division**" means, in reference to any Person which is an entity, the division of such Person into two (2) or more separate Persons, with the dividing Person either continuing or terminating its existence as part of such division, including, without limitation, as contemplated under Section 18-217 of the Delaware Limited Liability Company Act for limited liability companies formed under Delaware law, Chapters 17 of the Finnish Companies Act (*osakeyhtiölaki*, 624/2006, as amended) or any analogous action taken pursuant to any other applicable law with respect to any corporation, limited liability company, partnership or other entity.

"**Dollars**," "**dollars**" or use of the sign "**$**" means only lawful money of the United States and not any other currency, regardless of whether that currency uses the "$" sign to denote its currency or may be readily converted into lawful money of the United States.

"**EBITDA**" means, with respect to the Borrowers during any calendar quarter, an amount equal to the net income of the Borrowers, on a consolidated basis, determined in accordance with IFRS plus the sum of the following to the extent deducted in arriving at net income (but without duplication), (a) taxes, (b) interest expense, and (c) depreciation, depletion and amortization minus (x) non-cash items that increase net income.

"**Environmental Laws**" means any and all federal, state, local, and foreign statutes, Laws, regulations, ordinances, rules, judgments, orders, decrees, permits, concessions, grants, franchises, licenses, agreements or governmental restrictions, including all common law, relating to pollution or the protection of health, safety or the environment or the release of any materials into the environment, including those related to Hazardous Materials, air emissions, discharges to waste or public systems and health and safety matters.

"**Environmental Liability**" means any liability or obligation, contingent or otherwise (including any liability for damages, costs of environmental remediation, fines, penalties or indemnities), directly or indirectly, resulting from or based upon (a) violation of any Environmental Laws, (b) the generation, use, handling, transportation, storage, treatment, disposal or permitting or arranging for the disposal of any Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the release or threatened release of any Hazardous Materials or (e) any contract, agreement or other consensual arrangement pursuant to which liability is assumed or imposed with respect to any of the foregoing.

"**Equipment**" means all "equipment" as defined in the Code with such additions to such term as may hereafter be made, and includes without limitation all machinery, fixtures, goods, vehicles (including motor vehicles and trailers), and any interest in any of the foregoing.

"**Equity Interests**" means, with respect to any Person, any of the shares of capital stock of (or other ownership, membership or profit interests in) such Person, any of the warrants, options or other rights for the purchase or acquisition from such Person of shares of capital stock of (or other ownership, membership or profit interests in) such Person, any of the securities convertible into or exchangeable for shares of capital stock of (or other ownership, membership or profit interests in) such Person or warrants, rights or options for the purchase or acquisition from such Person of such shares (or such other interests), and any of the other ownership, membership or profit interests in such Person (including partnership, member or trust interests therein), whether voting or nonvoting, and whether or not such shares, warrants, options, rights or other interests are outstanding on any date of determination.

"**ERISA**" means the Employee Retirement Income Security Act of 1974, and its regulations.

"**ERISA Affiliate**" means any trade or business (whether or not incorporated) under common control with the Borrower within the meaning of Section 414(b) or (c) of the Code (and Sections 414(m) and (o) of the Code for purposes of provisions relating to Section 412 of the Code or Section 302 of ERISA).

"**ERISA Event**" means (a) a Reportable Event with respect to a Pension Plan; (b) the failure by the Borrower or any ERISA Affiliate to meet all applicable requirements under the Pension Funding Rules or the filing of an application for the waiver of the minimum funding standards under the Pension Funding Rules; (c) the incurrence by the Borrower or any ERISA Affiliate of any liability pursuant to Section 4063 or 4064 of ERISA or a cessation of operations with respect to a Pension Plan within the meaning of Section 4062(e) of ERISA; (d) a complete or partial withdrawal by the Borrower or any ERISA Affiliate from a Multiemployer Plan or notification that a Multiemployer Plan is insolvent (within the meaning of Title IV of ERISA); (e) the filing of a notice of intent to terminate a Pension Plan under, or the treatment of a Pension Plan amendment as a termination under, Section 4041 of ERISA; (f) the institution by the PBGC of proceedings to terminate a Pension Plan; (g) any event or condition that constitutes grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Pension Plan; (h) the determination that any Pension Plan is in at-risk status (within the meaning of Section 430 of the Code or Section 303 of ERISA) or that a Multiemployer Plan is in endangered or critical status (within the meaning of Section 432 of the Code or Section 305 of ERISA); (i) the imposition or incurrence of any liability under Title IV of ERISA, other than for PBGC premiums due but not delinquent under Section 4007 of ERISA, upon the Borrower or any ERISA Affiliate; (j) the engagement by the Borrower or any ERISA Affiliate in a transaction that could be subject to Section 4069 or Section 4212(c) of ERISA; (k) the imposition of a lien upon the Borrower pursuant to Section 430(k) of the Code or Section 303(k) of ERISA; or (l) the making of an amendment to a Pension Plan that could result in the posting of bond or security under Section 436(f)(1) of the Code.

"**Event of Default**" has the meaning set forth in <u>Section 8</u>.

"**Exanorth Account Pledge Agreement**" means that certain Account Pledge Agreement, dated as of the date hereof by and between Exanorth and the JGB Agent.

"**Exanorth Facility**" means Exanorth's Norway data mining facility.

"**Exanorth Security Agreement**" means that certain Security Agreement, dated as of the date hereof by and between Exanorth and the JGB Agent.

"**Exanorth Share Pledge Agreement**" means that certain Share Pledge Agreement, dated as of the date hereof by and between Exanorth and the JGB Agent.

"**Excluded Accounts**" has the meaning set forth in the Security Agreement.

"**Excluded Locations**" means the following locations where Collateral may be located from time to time: (a) locations where mobile office equipment (e.g. laptops, mobile phones and the like) may be located with employees in the Ordinary Course of Business, and (b) other locations where, in the aggregate for all such locations, less than $100,000 of Collateral is located, provided that the chief executive office or principal place of business of any Borrower shall not constitute an Excluded Location.

"**Federal Reserve Board**" means the Board of Governors of the Federal Reserve System, or any successor thereto.

"**Financial Covenant Default**" has the meaning set forth in <u>Section 6.13</u>.

"**Finnish Loan Party**" has the meaning set forth in <u>Section 13.12</u>.

"**Floor**" means a per annum rate equal to 14%.

"**Foreign Plan**" means any employee pension benefit plan, program, policy, arrangement or agreement maintained or contributed to by the Borrower or any Subsidiary with respect to employees employed outside the United States (other than any governmental arrangement).

"**Governmental Authority**" means any nation or government, any state or other political subdivision thereof, any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative functions of or pertaining to government, any securities exchange and any self-regulatory organization established by statute.

"**Guarantor**" has the meaning set forth in the preamble.

"**Guaranty**" means any guarantee of all or any part of the Obligations, as the same may from time to time be amended, restated, modified or otherwise supplemented.

"**Hazardous Materials**" means all explosive or radioactive substances or wastes and all hazardous or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates, asbestos or asbestos-containing materials, polychlorinated biphenyls, radon gas, infectious or medical wastes, and other substances or wastes of any nature regulated under or with respect to which liability or standards of conduct are imposed pursuant to any Environmental Law.

"**IFRS**" means the International Financial Reporting Standards, as issued by the International Accounting Standards Board, which are applicable to the circumstances as of the date of determination, provided, however, that if there occurs after the Closing Date any change in IFRS that affects in any respect the calculation of any covenant or threshold in this Agreement, JGB Agent and Borrowers shall negotiate in good faith amendments to the provisions of this Agreement that relate to the calculation of such covenant or threshold with the intent of having the respective positions of Lender and Borrowers after such change in IFRS conform as nearly as possible to their respective positions as of the Closing Date, and, until any such amendments have been agreed upon, such covenants and thresholds shall be calculated as if no such change in IFRS has occurred.

"**Indebtedness**" means (a) indebtedness for borrowed money (excluding any trade payables due or past due), (b) any reimbursement and other obligations for surety bonds and letters of credit, (c) obligations evidenced by notes, bonds, debentures or similar instruments, (d) capital lease obligations, (e) Contingent Obligations in respect of any of the obligations set forth in clauses (a) through (d) of this definition.

"**Indemnified Person**" has the meaning set forth in <u>Section 12.3</u>.

"**Initial Amortization Date**" means the date that is 6 months from the Closing Date.

"**Insolvency Proceeding**" means any proceeding by or against any Person under the United States Bankruptcy Code, or any other bankruptcy or insolvency law, including assignments for the benefit of creditors, compositions, proceedings seeking an order to stay the rights of creditors, or proceedings seeking reorganization, arrangement, or other relief.

"**Intellectual Property**" means, with respect to any Loan Party (or, as applicable, any of its Subsidiaries), all of such Loan Party's or Subsidiary's right, title, and interest in and to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) its Copyrights, Trademarks and Patents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any and all trade secrets and trade secret rights, including, without limitation, any rights to unpatented inventions, know-how, operating manuals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any and all source code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any and all design rights which may be available to such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any and all claims for damages by way of past, present and future infringement of any of the foregoing, with the right, but not the obligation, to sue for and collect such damages for said use or infringement of the Intellectual Property rights identified above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) all amendments, renewals and extensions of any of the Copyrights, Trademarks or Patents.

"**Interest Period**" means, (a) initially, the period beginning on (and including) the Closing Date and ending on (and including) the last day of the calendar month in which the Closing Date occurs, and (b) thereafter, the period beginning on (and including) the first day of each succeeding calendar month and ending on the earlier of (and including) (i) the last day of such calendar month and (ii) the Term Loan Maturity Date.

"**Inventory**" means all "inventory" as defined in the Code in effect on the Closing Date with such additions to such term as may hereafter be made.

"**Investment**" means any beneficial ownership interest in any Person (including stock, partnership interest or other securities or Equity Interests), and any loan, advance or capital contribution to any Person, or the acquisition of all or substantially all or a material portion of the assets or properties of another Person.

"**IRC**" means the Internal Revenue Code of 1986, as amended.

"**JGB Agent**" has the meaning set forth in <u>the preamble</u>.

"**Lender**" has the meaning set forth in <u>the preamble</u>.

"**Lender Expenses**" means all audit fees and expenses as provided in <u>Section 3.3(b)</u>, costs, and expenses (including reasonable, documented and out-of-pocket attorneys' fees and expenses), of JGB Agent or Lenders for preparing, amending, negotiating, administering, filing or recording any Loan Document (including financing statements) and any documented and out of pocket expenses incurred in, defending and enforcing the Loan Documents (including, without limitation, those incurred in connection with appeals or Insolvency Proceedings) or otherwise incurred with respect to a Loan Party.

"**Lien**" means a claim, mortgage, deed of trust, levy, charge, pledge, security interest, hypothec or other encumbrance of any kind, whether voluntarily incurred or arising by operation of law or otherwise against any property.

"**Loan Documents**" means, collectively, this Agreement and any schedules, exhibits, certificates, notices, and any other documents related to this Agreement, the Security Documents, the Warrant, any subordination agreement, any intercreditor agreement, any note, or notes, any guaranty or guaranties including any personal or subsidiary guaranties executed by a Loan Party, and any other present or future agreement by a Loan Party with or for the benefit of JGB Agent or any Lender in connection with this Agreement, all as amended, modified, supplemented, extended or restated from time to time.

"**Loan Party**" or "**Loan Parties**" means, each Borrower from time to time party hereto, and any Guarantor, if any.

"**Margin Stock**" has the meaning set forth in <u>Section 5.11(c)</u>.

"**Material Adverse Effect**" means (a) a material impairment in the perfection or priority of the Lien in the Collateral pursuant to the Loan Documents to which any Loan Party is a party; or (b) a material adverse effect upon: (i) the business, operations, properties, assets or condition (financial or otherwise) of the Borrowers as a whole, provided that in the case of a financial impact, such impact is greater than $10,000,000; (ii) the ability of any Loan Party to perform its obligations under the Loan Documents; or (iii) the ability of the JGB Agent and/or the Lenders to enforce any of their rights or remedies with respect to any Obligations. Notwithstanding the foregoing, changes in the business, operations, properties, assets or condition (financial or otherwise) of the Borrowers resulting from fluctuations in the USD exchange rate for Bitcoin shall not constitute a "Material Adverse Effect".

"**Maximum Rate**" has the meaning set forth in <u>Section 3.3(e)</u>.

"**Mortgages**" means one or more mortgages, deed of trust, loan security agreements, duly executed and delivered by the applicable Loan Party granting the JGB Agent a perfected lien in each parcel of the North Dakota Property.

"**Multiemployer Plan**" means any employee benefit plan of the type described in Section 4001(a)(3) of ERISA, to which the Borrower or any ERISA Affiliate makes or is obligated to make contributions, during the preceding five plan years has made or been obligated to make contributions, or has any liability.

"**Multiple Employer Plan**" means a Plan with respect to which the Borrower or any ERISA Affiliate is a contributing sponsor, and that has two or more contributing sponsors at least two of whom are not under common control, as such a plan is described in Section 4064 of ERISA.

"**North Dakota Property**" means the real property described in the Mortgages.

"**Obligations**" means all of Borrowers' and each other Loan Party's obligations to pay the Term Loans when due, including principal, interest, Original Issue Discount, fees, Lender Expenses, the fees required to be paid to the JGB Agent under <u>Sections 3.8 and 3.9</u>, any other amounts due to be paid by a Borrower or any other Loan Party, and each Loan Party's obligation to perform its duties under the Loan Documents (including the Warrant), and any other debts, liabilities and other amounts any Loan Party owes to any Lender at any time under the Loan Documents or otherwise in connection therewith including, without limitation, interest or Lender Expenses accruing after Insolvency Proceedings begin (whether or not allowed), and any debts, liabilities, or obligations of any Loan Party assigned to any Lender, which shall be treated as secured or administrative expenses in the Insolvency Proceedings to the extent permitted by applicable law.

"**OFAC**" has the meaning set forth in <u>Section 5.11(d)</u>.

"**Operating Documents**" means, for any Person, such Person's formation documents, as certified by the Secretary of State (or equivalent agency) of such Person's jurisdiction of formation, organization or incorporation on a date that is no earlier than thirty (30) days prior to the Closing Date and, (a) if such Person is a corporation, its bylaws or Articles of Association in current form, (b) if such Person is a limited liability company, its limited liability company agreement or operating agreement (or similar agreement), and (c) if such Person is a partnership, its partnership agreement (or similar agreement), each of the foregoing with all current amendments, restatements and modifications thereto, provided that in the case of any Person incorporated in Finland, its Operating Documents shall be deemed to include its articles of association (*yhtiöjärjestys*) or partnership agreement (*yhtiösopimus*) (as applicable) and its trade register extract (*kaupparekisteriote*) obtained from the Finnish Trade Register (*kaupparekisteri*)).

"**Ordinary Course of Business**" means, in respect of any transaction involving any Person, the ordinary course of such Person's business as conducted by any such Person in accordance with (a) the usual and customary customs and practices in the kind of business in which such Person is engaged, and (b) the past practice and operations of such Person, and in each case, undertaken by such Person in good faith and not for purposes of evading any covenant or restriction in any Loan Document.

"**Original Issue Discount**" has the meaning set forth in <u>Section 3.4</u>.

"**Patents**" means all patents, patent applications and like protections of a Person including without limitation improvements, divisions, continuations, renewals, reissues, extensions and continuations-in-part of the same and all rights therein provided by international treaties or conventions.

"**Payment Date**" means the last Business Day of each calendar month thereafter.

"**Pension Funding Rules**" means the rules of the Code and ERISA regarding minimum funding standards and minimum required contributions (including any installment payment thereof) to Pension Plans and Multiemployer Plans and set forth in Sections 412, 430, 431, 432 and 436 of the Code and Sections 302, 303, 304 and 305 of ERISA.

"**Pension Plan**" means any employee pension benefit plan (including a Multiple Employer Plan, but excluding a Multiemployer Plan) that is maintained or is contributed to by the Borrower or any ERISA Affiliate and is either covered by Title IV of ERISA or is subject to the minimum funding standards under Section 412 of the Code.

"**Perfection Certificate**" has the meaning set forth in <u>Section 5.1</u>.

"**Periodic Term SOFR Determination Day**" has the meaning specified in the definition of "Term SOFR."

"**Permitted Discretion**" shall mean a determination made in the exercise from the perspective of a secured lender of commercially reasonable business judgment.

"**Permitted Indebtedness**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) each Borrower's Indebtedness under this Agreement and the other Loan Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Indebtedness existing on the Closing Date and shown on the Perfection Certificate, provided that (i) to the extent the amount of such type of Indebtedness is limited pursuant to a clause of this defined term, amounts existing on the Closing Date or any permitted refinancing thereof shall count towards such limit, (ii) to the extent such Indebtedness is required to be repaid on the Closing Date, in accordance with a payoff letter delivered as a condition to closing, such Indebtedness shall not constitute Permitted Indebtedness after such repayment, and (iii) to the extent any such Indebtedness is required to be made subject to the terms of a Subordination Agreement as of the Closing Date or thereafter, pursuant to the terms of this Agreement, such Indebtedness shall be permitted only to the extent the applicable Subordination Agreement is in effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subordinated Debt;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Indebtedness secured by Liens permitted under <u>clause (c)</u> or <u>(g)</u> of the definition of "Permitted Liens" hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) reimbursement obligations in connection with letters of credit that are secured by cash or Cash Equivalents and issued on behalf of a Borrower or a Subsidiary thereof in an amount not to exceed $250,000 at any time outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Indebtedness not otherwise permitted pursuant to this defined term, in an aggregate amount outstanding not to exceed $250,000.

"**Permitted Investments**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Investments (including, without limitation, Subsidiaries) existing on the Closing Date and shown on the Perfection Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Investments consisting of Cash Equivalents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Investments among Borrowers (other than Investment in Bitzero Finland in an aggregate amount equal to or greater than four million dollars ($4,000,000 during any fiscal year);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Investments in Subsidiaries which are not Borrowers in an aggregate amount per fiscal year not to exceed $250,000;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Investments not to exceed $50,000 outstanding in the aggregate at any time consisting of travel advances and employee relocation loans and other employee loans and advances in the Ordinary Course of Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Investments (including debt obligations) received in connection with the bankruptcy or reorganization of customers or suppliers and in settlement of delinquent obligations of, and other disputes with, customers or suppliers arising in the Ordinary Course of Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Investments consisting of Deposit Accounts in which JGB Agent has a perfected security interest as required by the terms of this Agreement and the other Loan Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Investments in newly-formed Subsidiaries, provided that each such Subsidiary enters into a guaranty or becomes a Borrower and grants JGB Agent a first ranking lien and security interest in substantially all of its assets in accordance with <u>Section 6.9</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Investments in cryptocurrency mining equipment (including miners and transformers) and real estate, in each case made in the Ordinary Course of Business and consistent with the Borrowers' past practices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Investments not otherwise permitted pursuant to this defined term, in an aggregate amount not to exceed $250,000 per fiscal year; and

"**Permitted Liens**" means

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Liens arising under the other Loan Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Liens existing on the Closing Date as shown on the Perfection Certificate, provided that (i) to the extent the amount of Indebtedness secured by such type of Lien is limited pursuant to a clause of this defined term, amounts existing on the Closing Date or any permitted refinancing thereof shall count towards such limit, (ii) to the extent the Indebtedness secured by such a Lien is required to be repaid on the Closing Date, in accordance with a payoff letter delivered as a condition to closing, such Lien shall not constitute Permitted Lien after the repayment of the associated Indebtedness, and (iii) to the extent any such Lien is required to be made subject to the terms of a Subordination Agreement as of the Closing Date or thereafter, pursuant to the terms of this Agreement, such Lien shall be permitted only to the extent the applicable Subordination Agreement is in effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) purchase money Liens (i) on Equipment acquired or held by a Loan Party or Subsidiary thereof incurred for financing the acquisition of the Equipment, or (ii) existing on Equipment when acquired, if the Lien is confined to the property and improvements and the proceeds of the Equipment, in each case, securing no more than $250,000 in the aggregate amount outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Liens for taxes, fees, assessments or other government charges or levies, either (i) not yet delinquent or (ii) being contested in good faith and for which such Loan Party or Subsidiary maintains adequate reserves on its books;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Liens arising from leases or subleases of real property granted in the Ordinary Course of Business of such Person, and leases, subleases, non-exclusive licenses or sublicenses of personal property granted in the Ordinary Course of Business of such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Liens of carriers, warehousemen, suppliers, mechanics, contractors or other Persons that are possessory in nature arising in the Ordinary Course of Business, securing liabilities in the aggregate amount not to exceed $250,000 and which are not delinquent or remain payable without penalty or which are being contested in good faith and by appropriate proceedings which proceedings have the effect of preventing the forfeiture or sale of the property subject thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) deposits or pledges to secure obligations under worker's compensation, social security or similar laws, or under unemployment insurance; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Liens not otherwise permitted pursuant to this defined term in an aggregate amount not to exceed $100,000.

"**Permitted Locations**" means, collectively, the following locations where Collateral may be located from time to time: (a) locations identified in the Perfection Certificate or from time to time identified to JGB Agent in accordance with applicable Loan Documents and (b) the Excluded Locations.

"**Permitted Transfers**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) sales of Inventory by a Borrowers or any of its Subsidiaries in the Ordinary Course of Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) sales of Bitcoin by a Borrowers or any of its Subsidiaries in the Ordinary Course of Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) dispositions of worn-out, obsolete or surplus Equipment in the Ordinary Course of Business that is, in the reasonable judgment of such Borrower or Subsidiary, no longer economically practicable to maintain or useful;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Transfers among Borrowers (other than Transfers to Bitzero Finland in an aggregate amount equal to or greater than $100,000 in the aggregate during any fiscal quarter);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Transfers consisting of the granting of Permitted Liens and the making of Permitted Investments; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) other Transfers of assets having a fair market value of not more than $250,000 per fiscal year.

"**Person**" means any individual, sole proprietorship, partnership, limited liability company, joint venture, company, trust, unincorporated organization, association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or government agency.

"**Plan**" means any employee benefit plan within the meaning of Section 3(3) of ERISA, maintained for employees of the Borrower or any Subsidiary, or any such plan to which the Borrower or any Subsidiary is required to contribute on behalf of any of its employees or with respect to which the Borrower has any liability.

"**Pro Rata Share**" means, with respect to any Lender and as of any date of determination, the percentage obtained by dividing (i) the aggregate Commitments of such Lender by (ii) the aggregate Commitments of all Lenders provided, that to the extent any Commitment has expired or been terminated, with respect to such Commitment, the applicable outstanding balance of the Term Loans made pursuant to such Commitment held by such Lender and all Lenders, respectively, shall be used in lieu of the amount of such Commitment, provided further, that with respect to all matters relating to a particular Loan, the Commitment or outstanding balance of the applicable Loan, shall be used in lieu of the aggregate Commitment or outstanding balance of all Term Loans in the foregoing calculation. "Ratable" and related terms shall mean, determined by reference to such Lender's Pro Rata Share.

"**Registered Organization**" means any "registered organization" as defined in the Code with such additions to such term as may hereafter be made.

"**Relevant Governmental Body**" means the Federal Reserve Board and/or the Federal Reserve Bank of New York, or a committee officially endorsed or convened by the Federal Reserve Board and/or the Federal Reserve Bank of New York or any successor thereto.

"**Required Lenders**" means, as of any date of determination, Lenders holding more than 50% of the sum of the aggregate principal amount of all Term Loans outstanding and the aggregate amount of all unfunded commitments to make Term Loans, at such date of determination.

"**Requirement of Law**" means as to any Person, the organizational or governing documents of such Person, and any law (statutory or common), treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its property or to which such Person or any of its property is subject.

"**Responsible Officer**" means with respect to any Person, any of the Chief Executive Officer, President or Chief Financial Officer of such Person. Unless the context otherwise requires, each reference to a Responsible Officer herein shall be a reference to a Responsible Officer of Borrower Representative.

"**Restricted Payment**" means any dividend or other distribution (whether in cash, securities or other property) with respect to any Equity Interest of any Person, or any payment (whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase, redemption, retirement, acquisition, cancellation or termination of any such Equity Interest, or on account of any return of capital to such Person's shareholders, partners or members (or the equivalent Persons thereof).

"**RTO**" has the meaning set forth in <u>Section 7.2</u>.

"**Secured Parties**" means, collectively, JGB Agent and each Lender.

"**Securities Account**" means any "securities account" as defined in the Code with such additions to such term as may hereafter be made.

"**Securities Account Control Agreement**" means that certain Securities Account Control Agreement, dated as of the date hereof, by and among the Borrower Representative, JGB Agent, and the applicable bank, with respect to the portion of the Cash Minimum to be held in bitcoin.

"**Security Agreement**" means that certain NYC law governed Pledge and Security Agreement, dated as of the date hereof, by and among Borrower Representative, Loan Parties (other than any Guarantor that is an individual), and JGB Agent, as amended, restated, supplemented or otherwise modified from time to time.

"**Security Documents**" means the Security Agreement, Securities Account Control Agreements, and other Account Control Agreements, the Exanorth Security Agreement, the Exanorth Account Pledge Agreement, the Exanorth Share Pledge Agreement, the Zetanorth Security Agreement, the Zetanorth Account Pledge Agreement, the Zetanorth Share Pledge Agreement, UCC-1 Financing Statement(s) and all other documents now or hereafter securing the Obligations, as they may be from time to time be amended, supplemented or restated.

"**Shares**" means all of the issued and outstanding Equity Interests owned or held of record by a Borrower or other Loan Party in each of its Subsidiaries.

"**SOFR**" means a rate equal to the secured overnight financing rate as administered by the SOFR Administrator.

"**SOFR Administrator**" means the Federal Reserve Bank of New York (or a successor administrator of the secured overnight financing rate).

"**Subordinated Debt**" means Indebtedness on terms and to holders satisfactory to JGB Agent and incurred by a Loan Party that is subordinated in writing to all of the Obligations, pursuant to a Subordination Agreement.

"**Subordination Agreement**" means any subordination agreement in form and substance satisfactory to JGB Agent entered into from time to time with respect to Subordinated Debt.

"**Subsidiary**" means, with respect to any Person, any corporation, partnership, limited liability company or joint venture in which (i) any general partnership interest or (ii) more than fifty percent (50%) of the stock, limited liability company interest, joint venture interest or other Equity Interest which by the terms thereof has the ordinary voting power to elect the Board of that Person, at the time as of which any determination is being made, is owned or controlled by such Person, directly or indirectly. Unless the context otherwise requires, each reference to a Subsidiary herein shall be a reference to a Subsidiary of Borrower Representative.

"**Tax**" or "**Taxes**" means all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), assessments, fees or other charges imposed by any Governmental Authority, including any value added taxes, interest, additions to tax or penalties applicable thereto.

"**Term Loan**" means the loan made by Lenders to Borrowers pursuant to this Agreement.

"**Term Loan Commitment**" means, as to any Lender, the aggregate principal amount of Term Loans committed to be made by such Lender, as set forth on <u>Schedule 1</u> hereto.

"**Term Loan Maturity Date**" means the date that is 36 months from the Closing Date.

"**Term SOFR**" means the Term SOFR Reference Rate for a tenor comparable to the applicable Interest Period on the day (such day, the "**Periodic Term SOFR Determination Day**") that is twelve (12) U.S. Government Securities Business Days prior to the first day of such Interest Period, as such rate is published by the Term SOFR Administrator; provided, however, that if as of 5:00 p.m. (New York City time) on any Periodic Term SOFR Determination Day the Term SOFR Reference Rate for the applicable tenor has not been published by the Term SOFR Administrator and a Benchmark Replacement Date with respect to the Term SOFR Reference Rate has not occurred, then Term SOFR will be the Term SOFR Reference Rate for such tenor as published by the Term SOFR Administrator on the first preceding U.S. Government Securities Business Day for which such Term SOFR Reference Rate for such tenor was published by the Term SOFR Administrator so long as such first preceding U.S. Government Securities Business Day is not more than ten (10) U.S. Government Securities Business Days prior to such Periodic Term SOFR Determination Day.

"**Term SOFR Administrator**" means CME Group Benchmark Administration Limited (CBA) (or a successor administrator of the Term SOFR Reference Rate selected by the JGB Agent in its reasonable discretion).

"**Term SOFR Reference Rate**" means the forward-looking term rate based on SOFR.

"**Trademarks**" means any trademark and service mark rights of a Person, whether registered or not, applications to register and registrations of the same and like protections, and the entire goodwill of the business connected with and symbolized by such trademarks.

"**Transfer**" has the meaning set forth in <u>Section 7.1</u>.

"**Unadjusted Benchmark Replacement**" means the applicable Benchmark Replacement excluding the related Benchmark Replacement Adjustment.

"**U.S. Government Securities Business Day**" means any day except for (a) a Saturday, (b) a Sunday or (c) a day on which the Securities Industry and Financial Markets Association recommends that the fixed income departments of its members be closed for the entire day for purposes of trading in United States government securities.

"**Voting Stock**" means, with respect to any Person, all classes of Equity Interests issued by such Person the holders of which are ordinarily, in the absence of contingencies, entitled to vote for the election of directors or managers (or Persons performing similar functions) of such Person, even though the right so to vote has been suspended by the happening of such a contingency.

"**Warrant**" means, collectively, the Warrant to purchase membership interests of Borrower Representative dated as of the Closing Date executed by Borrower Representative in favor of each Lender, as amended, modified, supplemented, extended or restated from time to time.

"**Zetanorth Account Pledge Agreement**" means that certain Account Pledge Agreement, dated as of the date hereof by and between Zetanorth and the JGB Agent.

"**Zetanorth Security Agreement**" means that certain Security Agreement, dated as of the date hereof by and between Zetanorth and the JGB Agent.

"**Zetanorth Share Pledge Agreement**" means that certain Share Pledge Agreement, dated as of the date hereof by and between Zetanorth and the JGB Agent.

**Exhibit B<br> COMPLIANCE CERTIFICATE**

TO: JGB COLLATERAL LLC, as Administrative Agent Date:  

FROM: *BITZERO BLOCKCHAIN INC.*

Reference is made to that certain Loan and Guaranty Agreement, dated June 27, 2025 (as amended, restated, supplemented or otherwise modified, from time to time, the "**Agreement**"), by and among Bitzero Blockchain Inc., a British Columbia corporation ("**Borrower Representative**", and collectively with Zetanorth AS, a Norway *aksjeselskap* ("**Zetanorth**"), BitZero Inc., a Barbados company ("**BitZero Barbados**"), BitZero ND I, LLC, a North Dakota limited liability company ("**BZNDI**"), BitZero ND II, LLC, a North Dakota limited liability ("**BZNDII**"), BitZero Finland Oy, (business identity code 3486672-6), a Finnish limited liability company (in Finnish: *osakeyhtiö*) ("**BitZero Finland**") and Exanorth AS, a Norway *aksjeselskap* ("**Exanorth**") and each other Person from time to time party hereto as a borrower, collectively, "**Borrowers**", and each, a "**Borrower**"), each party from time to time party hereto as a guarantor or otherwise acting as a guarantor with respect to the Obligations, collectively, "**Guarantors**" and each, a "**Guarantor**"), **JGB CAPITAL, LP**, **JGB PARTNERS, LP**, **DEEPDALE INVESTORS, LLC**, and any other lender from time to time party hereto (collectively, "**Lenders**", and each, a "**Lender**") and **JGB COLLATERAL LLC**, as administrative agent and collateral agent for Lenders (in such capacity, together with its successors, "**JGB Agent**"). Capitalized terms have meanings as defined in the Agreement.

The undersigned authorized officer of Borrower Representative, hereby certifies in accordance with the terms of the Agreement as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (1) Each Borrower is in compliance for the period ending<u> </u>with all covenants set forth in the Agreement; (2) no Event of Default has occurred and is continuing; and (3) the representations and warranties in the Agreement are true and correct in all material respects on this date; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date.

The undersigned certifies that all financial statements delivered herewith are prepared in accordance with IFRS (other than, with respect to unaudited financials for the absence of footnotes and being subject to normal year-end adjustments), consistently applied from one period to the next.

**Please indicate compliance status by circling Yes/No under "Complies" column.**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**<u>Financial Covenants</u>** | &nbsp;&nbsp;**<u>Required</u>** | &nbsp;&nbsp;**<u>Complies</u>** |
| &nbsp;&nbsp;Section 6.12(a) – Cash Minimum | &nbsp;&nbsp;$2000000 | &nbsp;&nbsp;Yes/No |
| &nbsp;&nbsp;Section 6.12(b) – Trailing Three Months EBITDA as of the last Business Day of each calendar month | &nbsp;&nbsp; May 2025- April 2026- $750,000<br> May 2026- May 2027- $825,000<br> June 2027 onward- $900,000 | &nbsp;&nbsp;Yes/No |
| &nbsp;&nbsp;Section 6.12(c) – Trailing Three Months revenue as of the last Business Day of each calendar month | &nbsp;&nbsp; May 2025- April 2026- $3,000,000<br> May 2026- May 2027- $3,300,000<br> June 2027 onward- $3,630,000 | &nbsp;&nbsp;Yes/No |

---

**<u>Other Matters</u>**

Has any Loan Party changed its legal name, jurisdiction of organization, chief executive office or principal place of business? If yes, please complete details below: Yes No

Have any new Subsidiaries been formed? If yes, please provide complete schedule below. Yes No<br>

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**<u>Legal Name of Subsidiary</u>** | &nbsp;&nbsp;**<u>Jurisdiction of Organization</u>** | &nbsp;&nbsp;**<u>Holder of Subsidiary Equity Interests</u>** | &nbsp;&nbsp;**<u>Equity Interests Certificated? (Y/N)</u>** | &nbsp;&nbsp;**<u>Jurisdiction</u>** |

---

Have any new Deposit Accounts or Securities Accounts been opened? If yes, please complete schedule below. Yes No<br>

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**<u>Accountholder</u>** | &nbsp;&nbsp;**<u>Deposit Account Intermediary</u>** | &nbsp;&nbsp;**<u>Address</u>** | &nbsp;&nbsp;**<u>Account Number</u>** | &nbsp;&nbsp;**<u>Account Control Agreement in place? (Y/N)</u>** |
|  |  |  |  | &nbsp;&nbsp; Yes No<br> If no:<br> __ Payroll Account<br> __ De minimis Collateral Account; ending account balance $_____________ |

---

Has any Loan Party added any new lease location, bailee location or other location where Collateral is maintained? If yes, please describe below: Yes No<br>

The following are the exceptions with respect to the certification above: (If no exceptions exist, state "No exceptions to note.")

---

| |
|:---|
| **BORROWER REPRESENTATIVE:** |
| **BITZERO BLOCKCHAIN INC.** |
| By : |
| Name: |
| Title: |

---

[JGB- Bitzero- Compliance Certificate Signature Page]

**Exhibit C<br> FORM OF<br> SECURED PROMISSORY NOTE**

---

| | |
|:---|:---|
| $**[________________]** | **[________ __, 20__]** |

---

**FOR VALUE RECEIVED**, the undersigned, Bitzero Blockchain Inc., a British Columbia corporation ("**Borrower Representative**", and collectively with Zetanorth AS, a Norway *aksjeselskap* ("**Zetanorth**"), BitZero Inc., a Barbados company ("**BitZero Barbados**"), BitZero ND I, LLC, a North Dakota limited liability company ("**BZNDI**"), BitZero ND II, LLC, a North Dakota limited liability ("**BZNDII**"), BitZero Finland Oy, (business identity code 3486672-6), a Finnish limited liability company (in Finnish: *osakeyhtiö*) ("**BitZero Finland**") and Exanorth AS, a Norway *aksjeselskap* ("**Exanorth**" and collectively with Borrower Representative, Zetanorth, BitZero Barbados, BZNDI, BitZero Finland and each other Person from time to time party hereto as a borrower, collectively, "**Borrowers**", and each, a "**Borrower**"), hereby unconditionally, jointly and severally, promise to pay to **[**<u> </u>**]** (together with its successors and assigns, the "**Holder**") at the times, in the amounts and at the address set forth in the Loan and Guaranty Agreement, dated as of June 27, 2025 (as amended, restated, supplemented or otherwise modified from time to time, the "**Loan Agreement**"; capitalized terms used herein without definition have the meanings assigned to such terms in the Loan Agreement), among Borrowers, the other Loan Parties party thereto, the Holder, any other lender from time to time party thereto (collectively, "**Lenders**"), and **JGB COLLATERAL LLC**, as administrative agent and collateral agent for Lenders (in such capacity, together with its successors and assigns, "**JGB Agent**"), the lesser of (i) the principal amount of **[**<u> </u>**]** Dollars ($[<u> </u>]) and (ii) the Holder's Pro Rata Share of the aggregate outstanding principal amount of Term Loans made by Lenders to Borrowers according to the terms of <u>Section 3.2</u> of the Loan Agreement. Borrowers further, jointly and severally, promise to pay interest in accordance with <u>Section 3.3</u> of the Loan Agreement and any other fees or expenses (including Lender Expenses) when due from time to time pursuant to the Loan Agreement. In no event shall interest hereunder exceed the Maximum Rate. All payments of principal, interest and any other amounts due shall be made as set forth in <u>Section 3.3</u> of the Loan Agreement. Accordingly, the outstanding principal amount of the Term Loans may be less than the amount set forth in this Note.

The Obligations evidenced by this Secured Promissory Note (as amended, restated, supplemented or otherwise modified from time to time, this "**Note**") are subject to acceleration in accordance with <u>Section 9</u> of the Loan Agreement. Each Borrower hereby waives presentment, demand, notice of default or dishonor, notice of payment and nonpayment, protest and all other demands and notices except as required by the Loan Agreement in connection with the execution, delivery, acceptance, performance, default or enforcement of this Note.

This Note is secured by a security interest in the Collateral of the Loan Parties granted to the applicable JGB Agent pursuant to the Loan Documents, for the ratable benefit of Lenders.

The terms of <u>Section 12</u> of the Loan Agreement are incorporated herein, mutatis mutandis.

[JGB- Bitzero- Promissory Note Signature Page]

[*Use if there is an OID:* For purposes of Sections 1272, 1273 and 1275 of the IRC, this Note is being issued with "original issue discount." Please contact [*Borrower contact for Notice, Title, Borrower, Borrower address for notice* or by telephone at [____] to obtain information regarding the issue price, issue date, amount of original issue discount and yield to maturity.]

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

IN WITNESS WHEREOF, each Borrower has caused this Note to be duly executed and delivered on the date set forth above by the duly authorized representative of such Borrower.

---

| | |
|:---|:---|
| **BORROWERS:** | **BORROWERS:** |
| **BITZERO BLOCKCHAIN INC.** | **BITZERO BLOCKCHAIN INC.** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | President |

---

---

| | |
|:---|:---|
| **ZETANORTH AS** | **ZETANORTH AS** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Authorized Signatory |

---

---

| | |
|:---|:---|
| **BITZERO INC.** | **BITZERO INC.** |
| By | |
| Name: | Liza A. Harridyal- Sodha |
| Title: | Authorized Signatory |

---

---

| | |
|:---|:---|
| **BITZERO ND I, LLC** | **BITZERO ND I, LLC** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Authorized Signatory |

---

---

| | |
|:---|:---|
| **BITZERO ND II, LLC** | **BITZERO ND II, LLC** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Authorized Signatory |

---

[JGB- Bitzero- Promissory Note Signature Page]

---

| | |
|:---|:---|
| **BITZERO FINLAND OY** | **BITZERO FINLAND OY** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Authorized Signatory |

---

---

| | |
|:---|:---|
| **EXANORTH AS** | **EXANORTH AS** |
| By | |
| Name: | Mohammed Salah Bakhashwain |
| Title: | Authorized Signatory |

---

[JGB- Bitzero- Promissory Note Signature Page]

**Schedule 1<br> COMMITMENTS**

---

| | |
|:---|:---|
| &nbsp;&nbsp;LENDER | &nbsp;&nbsp;INITIAL TERM LOAN COMMITMENT |
| &nbsp;&nbsp;JGB CAPITAL LP | &nbsp;&nbsp;$1545000 |
| &nbsp;&nbsp;JGB PARTNERS LP | &nbsp;&nbsp;$9579000 |
| &nbsp;&nbsp;DEEPDALE INVESTORS, LLC | &nbsp;&nbsp;$6386000 |
| &nbsp;&nbsp;TOTAL | &nbsp;&nbsp;$17510000 |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;LENDER | &nbsp;&nbsp;DELAYED DRAW TERM LOAN AMOUNT |
| &nbsp;&nbsp;JGB CAPITAL LP | &nbsp;&nbsp;$727058.82 |
| &nbsp;&nbsp;JGB PARTNERS LP | &nbsp;&nbsp;$4507764.71 |
| &nbsp;&nbsp;DEEPDALE INVESTORS, LLC | &nbsp;&nbsp;$3005176.47 |
| &nbsp;&nbsp;TOTAL | &nbsp;&nbsp;$8240000 |

---

**Schedule 3<br>TAXES; INCREASED COSTS<br>** 

<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Defined Terms. For purposes of this <u>Schedule 3</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "**Connection Income Taxes**" means Other Connection Taxes that are imposed on or measured by net income (however denominated) or that are franchise Taxes or branch profits Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "**Excluded Taxes**" means any of the following Taxes imposed on or with respect to a Recipient or required to be withheld or deducted from a payment to a Recipient, (i) Taxes imposed on or measured by net income (however denominated), franchise Taxes, and branch profits Taxes, in each case, (A) imposed as a result of such Recipient being organized under the laws of, or having its principal office or, in the case of any Lender, its applicable lending office or business activities located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (B) that are Other Connection Taxes, (ii) in the case of a Lender, United States withholding Taxes imposed on amounts payable to or for the account of such Lender with respect to an applicable interest in a Loan or Commitment pursuant to a law of the United States in effect on the date on which (x) such Lender acquires such interest in the Loan or Commitment or (y) such Lender changes its lending office, except in each case to the extent that amounts with respect to such Taxes were payable either to such Lender's assignor immediately before such Lender became a party hereto or to such Lender immediately before it changed its lending office, (iii) Taxes attributable to such Recipient's failure to comply with <u>Section 7</u> of this <u>Schedule 3</u> and (iv) any withholding Taxes imposed under FATCA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "**FATCA**" means Sections 1471 through 1474 of the Internal Revenue Code, as of the date of this Agreement (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof, any agreements entered into pursuant to Section 1471(b)(1) of the Internal Revenue Code, and any fiscal or regulatory legislation, rules or practices adopted pursuant to any intergovernmental agreement, treaty or convention among Governmental Authorities and implementing such Sections of the Internal Revenue Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "**Foreign Lender**" means a Lender that is not a U.S. Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "**Indemnified Taxes**" means (i) Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by or on account of any obligation of the Loan Parties under any Loan Document and (ii) to the extent not otherwise described in <u>clause (i)</u>, Other Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) "**Internal Revenue Code**" means the Internal Revenue Code of 1986, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) "**IRS**" means the United States Internal Revenue Service.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) "**Other Connection Taxes**" means, with respect to any Recipient, Taxes imposed as a result of a present or former connection between such Recipient and the jurisdiction imposing such Tax (other than connections arising from such Recipient having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any Term Loan or Loan Document).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "**Other Taxes**" means all present or future stamp, court or documentary, intangible, recording, filing or similar Taxes that arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, any Loan Document, except any such Taxes that are Other Connection Taxes imposed with respect to an assignment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) "**Recipient**" means JGB Agent or any Lender, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) "**U.S. Person**" means any Person that is a "United States person" as defined in Section 7701(a)(30) of the Internal Revenue Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) "**Withholding Agent**" means, individually, the Loan Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Payments Free of Taxes. Any and all payments by or on account of any obligation of the Loan Parties under any Loan Document shall be made without deduction or withholding for any Taxes, except as required by applicable law. If any applicable law (as determined in the good faith discretion of an applicable Withholding Agent) requires the deduction or withholding of any Tax from any such payment by a Withholding Agent, then the applicable Withholding Agent shall be entitled to make such deduction or withholding and shall timely pay the full amount deducted or withheld to the relevant Governmental Authority in accordance with applicable law and, if such Tax is an Indemnified Tax, then the sum payable by the Loan Parties shall be increased as necessary so that after such deduction or withholding has been made (including such deductions and withholdings applicable to additional sums payable under this <u>Section 2</u> or <u>Section 4</u> of this <u>Schedule 3</u>) the applicable Recipient receives an amount equal to the sum it would have received had no such deduction or withholding been made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Payment of Other Taxes by the Loan Parties. The Loan Parties shall timely pay to the relevant Governmental Authority in accordance with applicable law, or at the option of JGB Agent, timely reimburse it for the payment of, any Other Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Indemnification by the Loan Parties. The Loan Parties shall indemnify each Recipient, within 10 days after demand therefor, for the full amount of any Indemnified Taxes (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under <u>Section 2</u> of this <u>Schedule 3</u> or this <u>Section 4</u>) payable or paid by such Recipient or required to be withheld or deducted from a payment to such Recipient and any reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment or liability delivered to the Loan Parties by a Lender (with a copy to JGB Agent), or by JGB Agent on its own behalf or on behalf of a Lender, shall be conclusive absent manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Indemnification by Lenders. Each Lender shall severally indemnify JGB Agent, within 10 days after demand therefor, for (a) any Indemnified Taxes attributable to such Lender (but only to the extent that the Loan Parties have not already indemnified JGB Agent for such Indemnified Taxes and without limiting the obligation of the Loan Parties to do so), (b) any Taxes attributable to such Lender's failure to comply with the provisions of <u>Section 12.2</u> of the Agreement relating to the maintenance of a Participant Register and (c) any Excluded Taxes attributable to such Lender, in each case, that are payable or paid by JGB Agent in connection with any Loan Document, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment or liability delivered to any Lender by JGB Agent, as applicable, shall be conclusive absent manifest error. Each Lender hereby authorizes JGB Agent to set off and apply any and all amounts at any time owing to such Lender under any Loan Document or otherwise payable by JGB Agent, as applicable, to Lenders from any other source against any amount due to JGB Agent under this <u>Section 5</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Evidence of Payments. As soon as practicable after any payment of Taxes by the Loan Parties to a Governmental Authority pursuant to the provisions of this <u>Schedule 3</u>, the Loan Parties shall deliver to JGB Agent the original or a certified copy of a receipt issued by such Governmental Authority evidencing such payment, a copy of the return reporting such payment or other evidence of such payment reasonably satisfactory to JGB Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. Status of Lenders and JGB Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any Recipient that is entitled to an exemption from or reduction of withholding Tax with respect to payments made under any Loan Document shall deliver to the Loan Parties, at the time or times reasonably requested by the Loan Parties, such properly completed and executed documentation reasonably requested by the Loan Parties as will permit such payments to be made without withholding or at a reduced rate of withholding. In addition, any Recipient, if reasonably requested by the Loan Parties, shall deliver such other documentation prescribed by applicable law or reasonably requested by the Loan Parties as will enable the Loan Parties to determine whether or not such Recipient is subject to backup withholding or information reporting requirements. Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentation (other than such documentation set forth in <u>Sections 7(b)(i), 7(b)(ii)</u> and <u>7(b)(iv)</u> of this <u>Schedule 3</u> and such documentation that the Loan Parties demonstrate is required by law) shall not be required if in the applicable Recipient's reasonable judgment such completion, execution or submission would subject such Recipient to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position of such Recipient.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the generality of the foregoing, in the event that any Loan Party is a U.S. Person,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Lender that is a U.S. Person and JGB Agent shall deliver to such Loan Party on or prior to the date on which JGB Agent becomes a party to, or such Lender becomes a Lender under, this Agreement (and from time to time thereafter upon the reasonable request of such Loan Party), executed copies of IRS Form W-9 certifying that JGB Agent and any such Lender is exempt from U.S. federal backup withholding tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to such Loan Party on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of such Loan Party or JGB Agent), whichever of the following is applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.** in the case of a Foreign Lender claiming the benefits of an income tax treaty to which the United States is a party (x) with respect to payments of interest under any Loan Document, executed copies of IRS Form W-8BEN or IRS Form W-8BEN-E establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the "interest" article of such tax treaty and (y) with respect to any other applicable payments under any Loan Document, IRS Form W-8BEN or IRS Form W-8BEN-E establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the "business profits" or "other income" article of such tax treaty;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.** executed copies of IRS Form W-8ECI;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.** in the case of a Foreign Lender claiming the benefits of the exemption for portfolio interest under Section 881(c) of the Internal Revenue Code, (x) a certificate, in form and substance reasonably acceptable to such Loan Party and JGB Agent, to the effect that such Foreign Lender (or other applicable Person) is not a "bank" within the meaning of Section 881(c)(3)(A) of the Internal Revenue Code, a "10 percent shareholder" of such Loan Party within the meaning of Section 871(h)(3)(B) of the Internal Revenue Code, or a "controlled foreign corporation" related to such Loan Party as described in Section 881(c)(3)(C) of the Internal Revenue Code (a "**U.S. Tax Compliance Certificate**") and (y) executed copies of IRS Form W-8BEN or IRS Form W-8BEN-E; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.** to the extent a Foreign Lender is not the beneficial owner, executed copies of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN, IRS Form W-8BEN-E, a U.S. Tax Compliance Certificate, IRS Form W-9, and/or other certification documents from each beneficial owner, as applicable; provided that if the Foreign Lender is a partnership and one or more direct or indirect partners of such Foreign Lender are claiming the portfolio interest exemption, such Foreign Lender may provide a U.S. Tax Compliance Certificate on behalf of each such direct and indirect partner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to such Loan Party on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of such Loan Party), executed copies of any other form prescribed by applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding Tax, duly completed, together with such supplementary documentation as may be prescribed by applicable law to permit such Loan Party to determine the withholding or deduction required to be made; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) if a payment made to a Lender under any Loan Document would be subject to U.S. federal withholding Tax imposed by FATCA if such Lender were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the Internal Revenue Code, as applicable), such Lender shall deliver to such Loan Party at the time or times prescribed by law and at such time or times reasonably requested by such Loan Party such documentation prescribed by applicable law (including as prescribed by Section 1471(b)(3)(C)(i) of the Internal Revenue Code) and such additional documentation reasonably requested by such Loan Party as may be necessary for such Loan Party to comply with their obligations under FATCA and to determine that such Lender has complied with such Lender's obligations under FATCA or to determine the amount, if any, to deduct and withhold from such payment. Solely for purposes of this <u>clause (iv)</u>, "FATCA" shall include any amendments made to FATCA after the date of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Lender agrees that if any form or certification it previously delivered expires or becomes obsolete or inaccurate in any respect, it shall update such form or certification or promptly notify the Loan Parties and JGB Agent in writing of its legal inability to do so.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Increased Costs. If any change in applicable law shall subject any Recipient to any Taxes (other than (A) Indemnified Taxes, (B) Taxes described in clauses (ii) through (iv) of the definition of Excluded Taxes and (C) Connection Income Taxes) on its loans, loan principal, commitments, or other obligations, or its deposits, reserves, other liabilities or capital attributable thereto, and the result shall be to increase the cost to such Recipient of making, converting to, continuing or maintaining any Loan or of maintaining its obligation to make any such Loan, or to reduce the amount of any sum received or receivable by such Recipient (whether of principal, interest or any other amount), then, upon the request of such Recipient, the Loan Parties will pay to such Recipient such additional amount or amounts as will compensate such Recipient for such additional costs incurred or reduction suffered.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. Survival. Each party's obligations under the provisions of this Schedule 3 shall survive the resignation or replacement of JGB Agent or any assignment of rights by, or the replacement of, a Lender, the termination of the Commitments and the repayment, satisfaction or discharge of all obligations under any Loan Document.

## Exhibit 99.51

**Exhibit 99.51**

**INVESTOR RIGHTS<br> AGREEMENT**

**THIS INVESTOR RIGHTS AGREEMENT** (this "**Agreement**") is dated, and is effective, as of May 16, 2022.

**BETWEEN:**

**OMAR KASSEM ALESAYI HOLDING GROUP CO.**, a corporation existing under the laws of Saudi Arabia

(the "**Investor**")

- and –

**AKBAR SHAMJI**, an individual

("**Akbar**")

- and –

**MOHAMMED BAKHASHWAIN**, an individual

("**Mohammed**", and collectively with Akbar, the "**Bitzero Founders**")

- and –

**BITZERO BLOCKCHAIN INC.**, a corporation existing under the laws of the Province of British Columbia

("**Bitzero**"; together with the Investor and the Bitzero Founders, the "**Parties**")

**WHEREAS:**

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Investor and Bitzero entered into a letter of intent dated April 4, 2022, in respect
 of a proposed investment by the Investor of USD$11,000,000 into Bitzero in consideration
 for 27,500,000 common shares in the capital of Bitzero ()"**Bitzero Shares** ")
 at a price of USD$0.40 per Bitzero Share, and the transfer by certain founders of Bitzero
 of 9,166,667 Bitzero Shares to the Investor for nominal consideration.

&nbsp;&nbsp;&nbsp;&nbsp;b) The
 Investor has requested that Bitzero provide it with certain rights to nominate a director
 to sit on the board of directors of Bitzero (the "**Board** "), to nominate
 a member to the audit committee and to nominate an advisor to the Board, and Bitzero
 has agreed to provide the Investor with such additional rights, all in accordance with
 the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;c) The
 terms of this Agreement are intended to create binding obligations on the Parties.

2. **NOW THEREFORE**, in consideration of the covenants and agreements herein contained and other good and valuable consideration (the receipt and sufficiency of which is hereby acknowledged), the Parties hereby covenant and agree as follows:

**Nomination Rights**

1. Bitzero
 Founders shall vote all their shares and Bitzero shall use its commercially reasonable
 efforts to cause all the shares to be voted by its shareholders, or by the shareholders
 having voting control, from time to time and at all times, in whatever manner as shall
 be necessary to ensure that at each annual or special meeting of shareholders at which
 an election of directors is held or pursuant to any written resolution of the shareholders,
 the Investor shall be entitled to designate one (1) nominee, and Bitzero shall use its
 commercially reasonable efforts to cause such nominee, to serve as a director of Bitzero
 (the "**Board Nominee**") for election or appointment to the Board, and
 one (1) one person (who may but is not required to be the Board Nominee) (an "**Advisor Nominee** "; together with the Board Nominee, the "**Investor Nominees** ")
 to receive notice of and to attend and observe all meetings of the board of directors
 and audit committee of the board of directors Bitzero, and to receive all materials and
 information circulated in connection therewith, provided that, at all times, the following
 conditions are met: (A) the Investor Nominees consent in writing to serve, as applicable,
 as a director or advisor; (B) the Investor Nominees satisfy any applicable requirements
 of the stock exchange (an "**Exchange**") on which the Bitzero Shares
 are listed or proposed to be listed and applicable laws; (C) the Investor Nominees are
 eligible under the Business Corporations Act (British Columbia) (the "**Act** ")
 and pursuant to the rules of any stock exchange or market upon which the Bitzero Shares
 are listed and Canadian securities laws to serve as, as applicable, as a director or
 advisor; (D) Bitzero has not received any objection from any governmental authority or
 Exchange or market to the Investor Nominees; (E) the Board Nominee or Advisor Nominee
 is approved by the Board, acting reasonably, and having regard the qualifications, background,
 credentials, and suitability for the public markets, which process shall be the same
 process the Board will use to determine the appropriateness of any other proposed director;
 and (F) the Investor's percentage ownership in the Bitzero Shares is equal to or
 greater than 5% (the "**Investor Percentage** "; together with the requirements
 in (A), (B), (C) and (D) and (E), the "**Investor Criteria** ").

2. Until
 the Investor Percentage ceases to be met, the Investors shall have the right to replace
 an Investor Nominee for any reason (including without limitation, by reason of a replacement
 request being made by the Investor Nominee), provided that the provisions of Section
 1 shall continue to apply to such replacement.

3. Bitzero
 shall advise the Investor of the date on which proxy solicitation materials are to be
 mailed for the purpose of any meeting of shareholders at which directors of Bitzero are
 to be elected, to the extent practicable, at least 20 business days prior to such mailing
 date and the Investor shall advise Bitzero of its Board Nominee at least 10 business
 days prior to the mailing date. If the Investor does not advise Bitzero of the identity
 of the Board Nominee prior to any such deadline, then the Investor will be deemed to
 have nominated the incumbent Board Nominee.

3. 4. Subject
 to applicable legal requirements, including the financial expertise and independence
 requirements of National Instrument 52-110 – *Audit Committees* and stock
 exchange rules, for as long as the Board Nominee serves on the Board, the Board Nominee
 shall be the Chair of the Audit Committee of Bitzero, unless otherwise notified in writing
 by the Investor.

**Miscellaneous**

5. Any
 notice or other communication to be given hereunder shall, in the case of notice to be
 given to Omar, be addressed to:

OMAR KASSEM ALESAYI HOLDING GROUP CO.

Address: P.O. Box 3035, Jeddah 21471, Saudi Arabia

Attention: Hany Habashy, Group CEO

Email: hany@alesayi.com and a.ratnayake@alesayi.com

and, in the case of notice to be given to Bitzero, be addressed to:

BITZERO BLOCKCHAIN INC.

2416 Main Street, Suite 398

Vancouver, BC V5T 3E2, Canada

Attention: Akbar Shamji

Email: akbar@bitzero.com

and, in the case of notice to be given to Akbar, be addressed to:

Akbar Shamji

2416 Main Street, Suite 398

Vancouver, BC V5T 3E2, Canada

Attention: Akbar Shamji

Email: <u>akbar@bitzero.com</u>

and, in the case of notice to be given to Mohammed, be addressed to:

Mohammed Bakhashwain

2416 Main Street, Suite 398

Vancouver, BC V5T 3E2, Canada

Attention: Mohammed Bakhashwain

Email: <u>mohammed@bitzero.com</u>

4. or to such other address as any of the parties may designate by notice given to the others.

Each notice shall be personally delivered to the addressee or sent by electronic transmission to the addressee and a notice shall, if delivered prior to 4:30 pm on a business day (local time at the place of receipt), be deemed to be given and received on that day and, in any other case, be deemed to be given and received on the first business day following the day on which it is delivered.

6. No
 disclosure or announcement, public or otherwise, in respect of this Agreement or the
 transactions contemplated herein will be made by any Party without the prior agreement
 of the other Party as to timing, content and method; provided that the obligations herein
 will not prevent any Party from making such disclosure or announcement as its counsel
 advises is required by applicable law or the policies of any applicable stock exchange
 (the "**Exchange** "). If a Party is required by applicable law or the
 policies of the Exchange to make such disclosure or announcement, such Party will use
 commercially reasonable efforts to provide reasonable advance notice of such disclosure
 or announcement to the other Party, including the proposed text of such disclosure or
 announcement, and provide the other Party with a reasonable opportunity in advance to
 review and comment on the same, which comments shall be reasonably considered by the
 first Party.

7. Each
 of the Parties shall from time to time hereafter and upon any reasonable request of the
 other, execute and deliver, make or cause to be made all such further acts, deeds, assurances
 and things as may be required or necessary to carry out the intent of this Agreement.

8. If
 any term, condition or provision of this Agreement shall be determined to be invalid
 or unenforceable, it shall be deemed to be severable from the remainder of this Agreement
 which shall continue in full force and effect.

9. This
 Agreement shall be governed in all respects, including validity, interpretation and effect,
 in accordance with the laws of the Province of Ontario and the federal laws of Canada
 applicable therein and the undersigned hereby irrevocably attorn to the exclusive jurisdiction
 of the Courts of the Province of Ontario in respect of any matter arising hereunder or
 in connection herewith.

10. No
 amendment, modification, restatement or supplement of this Agreement or any provision
 of this Agreement is binding unless it is in writing and executed each Party. Any waiver
 of any terms or conditions in this Agreement must be made in writing and signed by the
 Parties. The waiver of any of the terms and conditions of this Agreement shall not be
 construed as a waiver to any subsequent breach of the same or any other terms and conditions
 hereof.

11. This
 Agreement will be binding upon, and will inure to the benefit of and be enforceable by,
 the Parties and their respective successors, permitted assigns, executors and administrators.
 No assignment of this Agreement will be permitted without the written consent of the
 other Party.

5. 12. This
 Agreement contain the entire agreement between the Parties with respect to the subject
 matter hereof and supersede all prior agreements and understandings with respect thereto.

13. This
 Agreement may be executed in counterparts and evidenced by a facsimile or PDF email copy
 thereof and all such counterparts or facsimile or PDF counterparts shall constitute one
 document.

---

| |
|:---|
| **BITZERO BLOCKCHAIN INC.** |
| Authorized Signing Officer |
| **OMAR KASSEM ALESAYI HOLDING GROUP CO.** |
| Authorized Signing Officer |
| **AKBAR SHAMJI** |
| **MOHAMMED BAKHASHWAIN** |

---

6. 1. No
 amendment, modification, restatement or supplement of this Agreement or any provision
 of this Agreement is binding unless it is in writing and executed each Party. Any waiver
 of any terms or conditions in this Agreement must be made in writing and signed by the
 Parties. The waiver of any of the terms and conditions of this Agreement shall not be
 construed as a waiver to any subsequent breach of the same or any other terms and conditions
 hereof.

2. This
 Agreement will be binding upon, and will inure to the benefit of and be enforceable by,
 the Parties and their respective successors, permitted assigns, executors and administrators.
 No assignment of this Agreement will be permitted without the written consent of the
 other Party.

3. This
 Agreement contain the entire agreement between the Parties with respect to the subject
 matter hereof and supersede all prior agreements and understandings with respect thereto.

4. This
 Agreement may be executed in counterparts and evidenced by a facsimile or PDF email copy
 thereof and all such counterparts or facsimile or PDF counterparts shall constitute one
 document.

---

| |
|:---|
| **BITZERO BLOCKCHAIN INC.** |
| Authorized Signing Officer |
| **OMAR KASSEM ALESAYI HOLDING GROUP CO.** |
| Authorized Signing Officer |
| **AKBAR SHAMJI** |
| **MOHAMMED BAKHASHWAIN** |

---

## Exhibit 99.52

**Exhibit 99.52**

**JOINDER, DELAYED DRAW ADVANCE AND SECOND AMENDMENT TO LOAN AND GUARANTY AGREEMENT**

This JOINDER, DELAYED DRAW ADVANCE AND AMENDMENT TO LOAN AND GUARANTY AGREEMENT **("Amendment")** is dated as of October 20, 2025 (the **"Execution Date"),** and is entered into by and among BitZero Blockchain Inc., a British Columbia corporation **("Borrower Representative"),** Zetanorth AS, a Norway *aksjeselskap* **("Zetanorth"),** BitZero Inc., a Barbados company **("BitZero Barbados"),** BitZero ND I, LLC, a North Dakota limited liability company **("BZNDI"),** BitZero ND II, LLC, a North Dakota limited liability company **("BZNDII"),** BitZero Finland Oy, (business identity code 3486672-6), a Finnish limited liability company (in Finnish: *osakeyhtiô)* **("BitZero Finland")** and Exanorth AS, a Norway *aksjeselskap* **("Exanorth"** and collectively with Borrower Representative, Zetanorth, BitZero Barbados, BZNDI, BZNDII and BitZero Finland, the **"Borrowers",** and each, a **"Borrower"),** and **JGB CAPITAL, LP,** a Delaware limited partnership, **JGB PARTNERS, LP,** a Delaware limited partnership, **DEEPDALE INVESTORS, LLC,** a Delaware limited liability company and any other Lender from time to time a party hereto (collectively, the **"Lenders",** and each, a **"Lender"), JGB COLLATERAL LLC,** as administrative agent and collateral agent for Lenders (in such capacity, together with its successors, **"JGB Agent"),** WBM Capital Corp., a British Columbia corporation **("WBM").**

**RECITALS:**

WHEREAS, JGB Agent, the Lenders and the Borrowers have entered into that certain Loan and Guaranty Agreement, dated as of June 27, 2025 (as amended by that certain Amendment to Loan and Guaranty Agreement, dated as of October 1, 2025, by and among JGB Agent, the Borrowers and the Lenders party thereto, and as may be further amended, amended and restated, modified or supplemented from time to time, the **"Credit Agreement");**

NOW THEREFORE, in consideration of the mutual conditions and agreements set forth in the Credit Agreement and this Amendment, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:

**1. <u>Definitions.</u>** Capitalized terms used herein but not otherwise defined herein shall have the respective meanings given such terms in the Credit Agreement.

2. <u>Delayed Draw Term Loan.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>October 2025 Delayed Draw Advance.</u> The Lenders hereby agree to make a Delayed Draw Advance to the Borrowers in an aggregate principal amount of $8,245,000 (inclusive of original issue discount of $245,000 resulting in $8,000,000 of actual availability) (the **"Delayed Draw Advance Funds")),** pursuant to Section 3.2 of the Credit Agreement (the **"October 2025 Delayed Draw Advance").** The Lenders shall fund the October 2025 Delayed Draw Advance by wire transfer of immediately available funds within two (2) Business Days following the date of this Amendment. The Delayed Draw Advance Funds shall be deposited in an account of **JGB** Agent pursuant to the Cash Collateral Agreement which shall be released to the Borrowers upon the consummation of the **RTO.** By funding the October 2025 Delayed Draw Advance, the Lenders hereby waive, solely with respect to the October 2025 Delayed Draw Advance, the notice requirements of the Borrowers as set forth in Section 3.2 of the Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Principal Amortization Payments.</u> In accordance with Section 3.2(d) of the Credit Agreement, the parties hereto acknowledge that, as a result of the funding of the October 2025 Delayed Draw Advance, the Borrowers' monthly principal amortization payments shall,commencing with the first Payment Date after the date hereof, increase to $515,000 per month, which shall be payable monthly in accordance with the terms the Credit Agreement. In the event of the conversion of any portion of the Term Loan Conversion Amount, the Borrowers' monthly principal amortization payment for the month in which such conversion took place shall be reduced by the amount so converted (but not below zero).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Borrowers shall procure the satisfaction of the following conditions on or prior to the Delayed Draw Advance:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Agent has received a copy of the fully executed amendments to the Norwegian law Security Documents (the "Norwegian Security Amendment Documents") for, among others, the increase of the maximum secured amount, each in form and substance acceptable to the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Agent has received a copy of (i) the constitutional documents of Exanorth and Zetanorth and (ii) the fully executed board minutes of Exanorth and Zetanorth approving this Amendment, the transactions contemplated by this Amendment, and the Norwegian Security Amendment Documents (and the granting of security contemplated therein), each in form and substance acceptable to the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The
 Borrowers shall procure the satisfaction of the following conditions on or prior to the
 30 days after signing date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Agent has received evidence for the perfection of the amendments contemplated by the Norwegian Security Amendment Documents, including the registration of any increase of the maximum secured amount in the Norwegian Register of Movable Property and the Land Register, each in form and substance acceptable to the Agent.

3. <u>Joinder to Credit Agreement.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Borrower Joinder.</u> WBM hereby acknowledges, agrees and confirms that, by its execution of this Amendment, WBM shall, effective upon consummation of the **RTO,** be bound by the terms and conditions of the Credit Agreement the same as if it were a Borrower under the Credit Agreement *ab initio; provided however,* that neither **JGB** Agent nor the Lenders shall have any duties, responsibilities or obligations to WBM arising under or related to the Credit Agreement or the other agreements executed and delivered in connection therewith. To the extent that **JGB** Agent or any Lender has any duties, responsibilities or obligations arising under or related to the Credit Agreement or the other agreements executed and delivered in connection therewith, those duties, responsibilities or obligations shall relate only to the Borrowers (as such term is defined in the Credit Agreement immediately prior to the date of this Amendment) and not to WBM or any other Person or entity and shall be deemed fulfilled with respect to WBM or any other Person or entity when fulfilled with respect to the Borrower. In connection with the foregoing and for the avoidance of doubt, : (i) **JGB** Agent's providing notice to the Loan Parties in accordance with the Credit Agreement or as otherwise agreed among the Borrowers, **JGB** Agent and the Lenders shall be deemed provided to WBM; (ii) a Lender' s providing the Delayed Draw Advance to the Borrowers shall be deemed an advance to WBM; and (iii) WBM shall have no right to request a Delayed Draw Advance or make any other demand on any Lender. Furthermore, unless otherwise specified herein, all references to "Borrower" and "Loan Party" as used in this Amendment shall be deemed to include WBM.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Representations and Warranties.</u> WBM hereby ratifies and, effective upon the consummation of the RTO, agrees to be bound by, all of the terms, provisions and conditions contained in the Loan Documents applicable to a Borrower. Without limitation of the foregoing, to the extent applicable to it, WBM represents and warrants that the representations and warranties in Section 5 of the Credit Agreement applicable to a Borrower are true and correct in all material respects as of the date hereof, and will be as of the consummation of the RTO, as to WBM. WBM, upon becoming a Borrower upon consummation of the RTO, will be jointly and severally liable to the Lenders for the representations, warranties, covenants, obligations and indemnities under the Credit Agreement and the other Loan Documents, including, without limitation, the Term Loans and the other Obligations, applicable to WBM.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Waiver of Claims.</u> WBM acknowledges that it benefits effective upon the consummation of the RTO, both directly and indirectly, from the Credit Agreement, and hereby waives, for itself and on behalf on any and all successors in interest (including without limitation any assignee for the benefit of creditors, receiver, bankruptcy trustee or itself as debtor-in-possession under any bankruptcy proceeding) to the fullest extent provided by law, any and all claims, rights or defenses to the enforcement of this Amendment on the basis that (a) it failed to receive adequate consideration for the execution and delivery of this Amendment or (b) its obligations under this Amendment are avoidable as a fraudulent conveyance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Effectiveness Conditional Upon Consummation of the RTO.</u> Notwithstanding anything else contained herein to the contrary, WBM shall have no obligation under this Amendment or the Credit Agreement and shall not be deemed to have joined the Credit Agreement as a Borrower until the consummation of the RTO.

**4. <u>Amendment to Credit Agreement.</u>** The parties hereto hereby agree that Credit Agreement is hereby amended by adding a new Section 15 as follows:

"15. **Voluntary Conversion.** At any time following the consummation of the **RTO,** and from time to time, until a date that is five years from the date of the Amendment, the October 2025 Delayed Draw Advance (as defined in that certain Joinder, Delayed Draw Advance and Second Amendment to Loan and Guaranty Agreement, dated as of October [ I, 2025, by and among the **JGB** Agent, the Lenders and the Borrowers) (including all accrued and unpaid interest, fees and charges thereon) plus an aggregate of $2,000,000 of the Term Loans (the **"Term Loans Conversion Amount** and, together with the October 2025 Delayed Draw Amount (collectively, the **"Convertible Advance"))** shall be convertible, in whole or in part, into common shares **("Common Shares"),** of WBM Capital Corp., a British Columbia corporation **("WBM"),** at the option of each Lender, at any time and from time to time (subject to the conversion limitations set forth in Section 15(c) hereof). Each Lender shall effect conversions by delivering to WBM a Notice of Conversion (each, a **"Notice of Conversion"),** specifying therein the amount of its respective pro rata portion of the outstanding Convertible Advance, held by such Lender to be converted and the date on which such conversion shall be effected (such date, the **"Conversion Date").** If no Conversion Date is specified in a Notice of Conversion, the Conversion Date shall be the date that such Notice of Conversion is deemed delivered hereunder. No ink-original Notice of Conversion shall be required, nor shall any medallion guarantee (or other type of guarantee or notarization) of any Notice of Conversion form be required. To effect conversions hereunder, a Lender shall not be required to physically surrender any promissory notes representing the Convertible Notes (the **"Notes")** to WBM unless the entire amount of its respective pro rata portion of the Notes, including all accrued and unpaid interest and other amounts due thereon, has been so converted in which case such Lender shall surrender any Note(s) as promptly as is reasonably practicable after such conversion without delaying WBM's obligation to deliver the shares on the Delivery Date. Conversions hereunder shall have the effect of lowering the outstanding amount of the Term Loan of such Lender in an amount equal to the applicable conversion. The Lenders and WBM shall maintain records showing the principal amount(s) converted and the date of such conversion(s).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Conversion Price.</u> The conversion price shall be equal to $0.40, which, for the avoidance of doubt, shall be in effect prior to the consummation of the RTO, and which shall be subject to adjustment as provided herein (the **"Conversion Price").**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Mechanics of Conversion.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Conversion Shares Issuable Upon Conversion.</u> The number of Conversion Shares issuable upon a conversion hereunder shall be determined by the quotient obtained by dividing (x) the outstanding principal amount of the Notes *plus* accrued and unpaid interest thereon to be converted by (y) the Conversion Price then in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Delivery of Conversion Shares Upon Conversion.</u> No later than two (2) Business Days following receipt of a Notice of Conversion by a Lender, WBM shall deliver, or cause to be delivered, electronically to such Lender the Conversion Shares representing the number of Conversion Shares being acquired upon the conversion of the applicable Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) <u>Failure to Deliver Conversion Shares.</u> If, in the case of any Notice of Conversion, such Conversion Shares are not delivered to or as directed by a Lender by the Delivery Date, such Lender shall be entitled to elect by written notice to WBM at any time on or before its receipt of such Conversion Shares, to rescind such Conversion, in which event WBM shall promptly return to such Lender any original Note(s) delivered to WBM and such Lender shall promptly return to WBM the Conversion Shares issued to such Lender pursuant to the rescinded Conversion Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) <u>Obligation Absolute.</u> WBM's obligations to issue and deliver the Conversion Shares upon conversion of the Term Loans in accordance with the terms hereof are absolute and unconditional, irrespective of any action or inaction by a Lender to enforce the same, any waiver or consent with respect to any provision hereof, the recovery of any judgment against any Person or any action to enforce the same, or any setoff, counterclaim, recoupment, limitation or termination, or any breach or alleged breach by a Lender or any other Person of any obligation to WBM or any violation or alleged violation of law by a Lender or any other Person, and irrespective of any other circumstance which might otherwise limit such obligation of WBM to a Lender in connection with the issuance of such Conversion Shares; <u>provided however,</u> that such delivery shall not operate as a waiver by WBM of any such action WBM may have against any Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>Compensation for Buy-In on Failure to Timely Deliver Conversion Shares Upon Conversion.</u> In addition to any other rights available to the Lenders, if WBM fails for any reason to deliver to any Lender such Conversion Shares by the Delivery Date pursuant to <u>Section 15(b)(ii),</u> and if after such Delivery Date such Lender is required by its brokerage firm to purchase (in an open market transaction or otherwise), or such Lender's brokerage firm otherwise purchases, Common Shares to deliver in satisfaction of a sale by such Lender of the Conversion Shares which such Lender was entitled to receive upon the conversion relating to such Delivery Date (a <u>"Buy-</u>In"), then WBM shall: (A) pay in cash to such Lender (in addition to any other remedies available to or elected by such Lender) the amount, if any, by which (x) such Lender's total purchase price (including any brokerage commissions) for the Common Shares so purchased exceeds (y) the product of (1) the aggregate number of Common Shares that such Lender was entitled to receive from the conversion at issue multiplied by (2) the actual sale price at which the sell order giving rise to such purchase obligation was executed (including any brokerage commissions) and (B) at the option of such Lender, either reissue (if surrendered) any Note(s) equal to the amount of Term Loan of the attempted conversion (in which case such conversion shall be deemed rescinded) or deliver to such Lender the number of Common Shares that would have been issued if WBM had timely complied with its delivery requirements under <u>Section 15(b)(ii).</u> For example, if a Lender purchases Common Shares having a total purchase price of $11,000 to cover a Buy-In with respect to an attempted conversion of its Term Loan with respect to which the actual sale price of the Conversion Shares (including any brokerage commissions) giving rise to such purchase obligation was a total of $10,000 under clause (A) of the immediately preceding sentence, WBM shall be required to pay such Lender $1,000. Such Lender shall provide WBM written notice indicating the amounts payable to such Lender in respect of the Buy-In and, upon request of WBM, evidence of the amount of such loss. Nothing herein shall limit a Lender's right to pursue any other remedies available to it hereunder, at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief with respect to WBM's failure to timely deliver Conversion Shares upon conversion of a Term Loan as required pursuant to the terms hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) <u>Shares Issuable Upon Conversion.</u> WBM covenants that all Common Shares that shall be so issuable shall, upon issue, be duly authorized, validly issued, fully paid and nonassessable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) <u>Fractional Shares.</u> No fractional shares or script representing fractional shares shall be issued upon the conversion of the Notes. As to any fraction of a share which a Lender would otherwise be entitled to purchase upon such conversion, WBM shall at its election, either pay a cash adjustment in respect of such final fraction in an amount equal to such fraction multiplied by the Conversion Price or round up to the next whole share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) <u>Transfer Taxes and Expenses.</u> The issuance of Conversion Shares on conversion of the Notes shall be made without charge to the Lenders for any documentary stamp or similar taxes that may be payable in respect of the issue or delivery of such Conversion Shares, provided that WBM shall not be required to pay any tax that may be payable in respect of any transfer involved in the issuance and delivery of any such Conversion Shares upon conversion in a name other than that of the applicable Lender and WBM shall not be required to issue or deliver such Conversion Shares unless or until the Person or Persons requesting the issuance thereof shall have paid to WBM the amount of such tax or shall have established to the satisfaction of WBM that such tax has been paid. WBM shall pay all transfer agent fees required for same-day processing of any Notice of Conversion and all fees to a clearing agency (such as the Canadian Depository for Securities) required for same-day electronic delivery of the Conversion Shares. Notwithstanding anything to the contrary, WBM shall not be responsible for any income tax of the Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Lender's Conversion Limitations.</u> WBM shall not effect any conversion of any Notes, and a Lender shall not have the right to convert any portion of its pro rata portion of the Notes, to the extent that after giving effect to the conversion set forth on the applicable Notice of Conversion, such Lender (together with such Lender's Affiliates, and any other Persons acting as a group together with such Lender or any of such Lender's Affiliates (such Persons, **"Attribution Parties"))** would beneficially own in excess of the Beneficial Ownership Limitation (as defined below). For purposes of the foregoing sentence, the number of Common Shares beneficially owned by any Lender and its Affiliates and Attribution Parties shall include the number of Common Shares issuable upon conversion of the Notes with respect to which such determination is being made, but shall exclude the number of Common Shares which are issuable upon (i) conversion of the remaining, unconverted amount of the applicable Notes, and (ii) exercise or conversion of the unexercised or unconverted portion of any other securities of WBM subject to a limitation on conversion or exercise analogous to the limitation contained herein beneficially owned by such Lender or any of its Affiliates or Attribution Parties. To the extent that the limitation contained in this <u>Section 15(c)</u> applies, the determination of whether a Note is convertible (in relation to other securities owned by a Lender together with any Affiliates and Attribution Parties) and of which amount of the Term Loan is convertible shall be in the sole discretion of such Lender, and the submission of a Notice of Conversion shall be deemed to be such Lender's determination of whether all or any part of the Term Loan may be converted (in relation to other securities owned by such Lender together with any Affiliates or Attribution Parties) and which amount of the Note are convertible, in each case subject to the Beneficial Ownership Limitation. To ensure compliance with this restriction, each Lender will be deemed to represent to WBM each time it delivers a Notice of Conversion that such Notice of Conversion has not violated the restrictions set forth in this paragraph and WBM shall have no obligation to verify or confirm the accuracy of such determination. For purposes of this <u>Section 15(c),</u> in determining the number of outstanding Common Shares, such Lender may rely on the number of outstanding Common Shares as stated in the most recent of the following: (i) a public announcement by WBM, or (ii) a written notice by WBM or WBM's transfer agent setting forth the number of Common Shares outstanding. Upon the written or oral request of a Lender, WBM shall within one (1) Business Day confirm orally and in writing to such Lender the number of Common Shares then outstanding. In any case, the number of outstanding Common Shares shall be determined after giving effect to the conversion or exercise of securities of WBM, including any Term Loans, by such Lender or its Affiliates since the date as of which such number of outstanding Common Shares was reported. The **"Beneficial Ownership Limitation"** shall be 4.99% of the number of Common Shares outstanding immediately after giving effect to the issuance of Common Shares issuable upon conversion of a Note by the applicable Lender. A Lender, upon notice to WBM, may increase or decrease the Beneficial Ownership Limitation provisions of this <u>Section 15(c),</u> provided that the Beneficial Ownership Limitation in no event exceeds 9.99% of the number of Common Shares outstanding immediately after giving effect to the issuance of Common Shares upon conversion of the Note and the Beneficial Ownership Limitation provisions of this <u>Section 15(c)</u> shall continue to apply. The Beneficial Ownership Limitation provisions of this paragraph shall be construed and implemented in a manner otherwise than in strict conformity with the terms of this <u>Section 15(c)</u> to correct this paragraph (or any portion hereof) which may be defective or inconsistent with the intended Beneficial Ownership Limitation contained herein or to make changes or supplements necessary or desirable to properly give effect to such limitation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Adjustments to Conversion Price.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Share Dividends and Share Splits.</u> If WBM, at any time while the Notes are outstanding: (i) pays a share dividend or otherwise makes a distribution or distributions payable in Common Shares on Common Shares or any Common Share equivalents (which, for avoidance of doubt, shall not include any Common Shares issued by WBM upon conversion of the Notes), (ii) subdivides outstanding Common Shares into a larger number of shares, (iii) combines (including by way of a reverse share split) outstanding Common Shares into a smaller number of shares or (iv) issues, in the event of a reclassification of Common Shares, any share capital of WBM, then the Conversion Price shall be multiplied by a fraction of which the numerator shall be the number of Common Shares (excluding any treasury shares of WBM) outstanding immediately before such event, and of which the denominator shall be the number of Common Shares outstanding immediately after such event. Any adjustment made pursuant to this <u>Section 15(d)(i)</u> shall become effective immediately after the record date for the determination of shareholders entitled to receive such dividend or distribution and shall become effective immediately after the effective date in the case of a subdivision, combination or re-classification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If the Common Shares issuable upon conversion of the Notes at any time or from time to time after the date hereof shall be changed to the same or different number of shares of any class or classes of stock, whether by reclassification, exchange, substitution or otherwise (other than by way of a stock split or combination of shares or stock dividends provided for in this Section 15(d)), then, and in each event, an appropriate revision to the Conversion Price shall be made and provisions shall be made (by adjustments of the Conversion Price or otherwise) so that the Lenders shall have the right thereafter to convert the Notes into the kind and amount of shares of stock and other securities receivable upon reclassification, exchange, substitution or other change, by holders of the number of Common Shares into which the Notes might have been converted immediately prior to such reclassification, exchange, substitution or other change, all subject to further adjustment as provided herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Calculations.</u> All calculations under <u>Section 15</u> shall be made to the nearest cent or the nearest 1/100th of a share, as the case may be. For purposes of this <u>Section 15,</u> the number of Common Shares deemed to be issued and outstanding as of a given date shall be the sum of the number of Common Shares (excluding any treasury shares of WBM) issued and outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Notice to the Lender.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Adjustment to Conversion Price.</u> Except in connection with the consummation of the RTO, whenever the Conversion Price is adjusted pursuant to any provision of Section 15(d), WBM shall promptly deliver to the Lender a notice setting forth the Conversion Price after such adjustment and setting forth a brief statement of the facts requiring such adjustment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Notice to Allow Conversion by Lenders.</u> If: (A) WBM shall declare a dividend (or any other distribution in whatever form) on the Common Shares, (B) WBM shall declare a special nonrecurring cash dividend on or a redemption of the Common Shares, (C) WBM shall authorize the granting to all holders of the Common Shares of rights or warrants to subscribe for or purchase any share capital of any class or of any rights, (D) the approval of any shareholders of WBM shall be required in connection with any reclassification of the Common Shares, any consolidation or merger to which WBM is a party, any sale or transfer of all or substantially all of the assets of WBM or its Subsidiary, or any compulsory share exchange whereby the Common Shares is converted into other securities, cash or property, or (E) WBM shall authorize the voluntary or involuntary dissolution, liquidation or winding up of the affairs of WBM, then, in each case, WBM shall cause to be delivered to each Lender, at least 20 Business Days prior to the applicable record or effective date hereinafter specified, a notice stating (x) the date on which a record is to be taken for the purpose of such dividend, distribution, redemption, rights or warrants, or if a record is not to be taken, the date as of which the holders of the Common Shares of record to be entitled to such dividend, distributions, redemption, rights or warrants are to be determined or (y) the date on which such reclassification, consolidation, merger, sale, transfer or share exchange is expected to become effective or close, and the date as of which it is expected that holders of the Common Shares of record shall be entitled to exchange their Common Shares for securities, cash or other property deliverable upon such reclassification, consolidation, merger, sale, transfer or share exchange, provided however, that the failure to deliver such notice or any defect therein or in the delivery thereof shall not affect the validity of the corporate action required to be specified in such notice. Each Lender shall remain entitled to convert their respective Notes during the 20-Business Day period commencing on the date of such notice through the effective date of the event triggering such notice except as may otherwise be expressly set forth herein."

**5. <u>Affirmations.</u>** Each Loan Party acknowledges and agrees:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all
 of Loan Documents are legal, valid, binding and enforceable against each Loan Party accordance
 with their respective terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) each
 Loan Party' s respective obligations under the Loan Documents are not subject to
 any setoff, deduction, claim, counterclaim or defenses of any kind or character whatsoever;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) JGB
 Agent (for the benefit of the Lenders) has valid, enforceable and perfected security
 interests in and liens on the collateral described in the Loan Documents, as to which
 there are no setoffs, deductions, claims, counterclaims, or defenses of any kind or character
 whatsoever; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Lenders
 and JGB Agent have fully and timely performed all of their respective obligations and
 duties in compliance with the Loan Documents and applicable law and have, since the Closing
 Date through and including the date hereof, acted reasonably and in good faith under
 the circumstances.

**6. <u>Warrants.</u>** Upon consummation of the RTO, the existing Warrants shall be exchanged for warrants exercisable for the shares of WBM. The exchange of the warrants shall be evidenced by a warrant exchange agreement, mutually acceptable to the Lenders and WBM, to be executed upon consummation of the RTO. In addition, immediately prior to the consummation of the RTO, the Lenders will be entitled to receive collectively for the three Lenders, additional warrants of Bitzero that shall, pursuant to the RTO, be exchanged for warrants exercisable for shares of WBM, and which shall collectively be exercisable for a number of shares equal to 1% of the issued and outstanding shares of WBM post-RTO (on a fully diluted basis) and calculated as of the closing time of the RTO.

**7. <u>Lender Standstill.</u>** The Lenders agree that no Lender shall convert any of the Term Loans pursuant to Section 15 of the Credit Agreement until the date that is three months after the exercise of the Warrants in full unless the market price for the Common Shares exceeds 300% of the Conversion Price, in which case, the standstill period shall be 15 business days.

**8. <u>Severability.</u>** The illegality or unenforceability of any provision of this Amendment shall not in any way affect or impair the legality or enforceability of the remaining provisions of this Amendment.

9. <u>References.</u> Any reference to the Credit Agreement contained in any notice, request, certificate, or other document executed concurrently with or after the execution and delivery of this Amendment shall be deemed to include this Amendment unless the context shall otherwise require. Reference in any of this Amendment, the Credit Agreement or any other Loan Document to the Credit Agreement shall be a reference to the Credit Agreement as amended hereby and as further amended, modified, restated, supplemented or extended from time to time.

10. <u>Captions.</u> Section captions used in this Amendment are for convenience only and shall not affect the construction of this Amendment.

11. <u>Ratification.</u> Except as expressly modified by this Amendment, the terms and provisions of the Credit Agreement and the other Loan Documents are ratified and confirmed and shall continue in full force and effect. This Amendment constitutes the entire agreement, and supersedes all prior understandings and agreements, among the parties relating to the subject matter hereof.

12. <u>Governing Law.</u> THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES THAT WOULD RESULT IN THE APPLICATION OF ANY LAW OTHER THAN THE LAW OF THE STATE OF NEW YORK.

*[Signature Page Follows]*

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed and delivered by their respective duly authorized officers on the date first written above.

---

| |
|:---|
| **<u>BORROWERS:</u>** |
| **BITZERO BLOCKCHAIN INC.** |
| By |
| Name: Mohammed Salah Bakhashwain |
| Title: Authorized Signatory |
| **ZETANORTH AS** |
| By |
| Name: Mohammed Salah Bakhashwain |
| Title: Authorized Signatory |
| **BITZERO INC.** |
| By |
| Name: Liza A. Harridyal-Sodha |
| Title: Authorized Signatory |
| **BITZERO ND I, LLC** |
| By |
| Name: Mohammed Salah Bakhashwain |
| Title: Authorized Signatory |
| **BITZERO ND II, LLC** |
| By |
| Name: Mohammed Salah Bakhashwain |
| Title: Authorized Signatory |
| **BITZERO FINLAND OY** |
| By |
| Name: Mohammed Salah Bakhashwain |
| Title: Authorized Signatory |

---

---

| |
|:---|
| **EXANORTH AS** |
| By |
| Name: Mohammed Salah Bakhashwain |
| Title: Authorized Signatory |

---

---

| |
|:---|
| **<u>JGB AGENT:</u>** |
| **JGB COLLATERAL LLC** |
| By |
| Name: Brett Cohen |
| Title: President |
| **<u>LENDERS:</u>** |
| **JGB CAPITAL, LP** |
| By |
| Name: Brett Cohen |
| Title: President |
| **JGB PARTNERS, LP** |
| By |
| Name: Brett Cohen |
| Title: President |
| **DEEPDALE INVESTORS, LLC** |
| By |
| Name: Brett Cohen |
| Title: President |

---

---

| |
|:---|
| **<u>WBM CAPITAL CORP.</u>** |
| **WBM CAPITAL CORP.** |
| By |
| Name: Carlo Rigillo |
| Title: Chief Executive Officer |

---

## Exhibit 99.53

**Exhibit 99.53**

**SETTLEMENT AGREEMENT**

**between**

Exakraft AS

**and**

Exanorth AS

**SETTLEMENT AGREEMENT**

This agreement (the **"Agreement"**) is entered into on 17 June 2024 by and between

(1) Exakraft
 AS, org nr 916 306 334 (**"Exakraft"**), and

(2) Exanorth
 AS, org nr 921 677 421 (**"Exanorth"**),

individually referred to as a **"Party"** or collectively the **"Parties"**.

**WHEREAS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Under
 a master agreement dated 26 May 2021 (the **"Master Agreement"**), Exanorth
 may, subject to certain terms and conditions related to the electricity consumption at
 a data centre in Tunnsjødal, be obliged to pay success fees (the **"Success Fees"**) to Exakraft;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Under
 a consultancy agreement dated 6 August 2021 (the **"Consultancy Agreement"**),
 Exanorth may be obliged to (i) pay a monthly fee to Exakraft for consultancy tasks performed
 between August 2021 and August 2022, and (ii) cover certain expenses incurred by Exakraft
 in their performance of tasks under the Consultancy Agreement, collectively referred
 to as the **"Consultancy Fees"**;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Exakraft
 has issued invoices to Exanorth for the Consultancy Fees and travel expenses in the aggregate
 amount of NOK 878 158 ex VAT (the **"Invoices A"**);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Exakraft
 has issued invoices to Exanorth for the Success Fees in the aggregate amount of NOK 3
 842 737 ex VAT (the **"Invoices B"**) and will cancel these;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The
 Parties agree that upon Exanorth paying the amounts due according to Invoices A, as described
 in Clause 1.1 below, Exanorth's debt to Exakraft under the Consultancy Agreement
 shall be considered settled in full, and no other payment obligations under the Consultancy
 Agreement shall continue to accrue;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) The
 Parties agree that Exanorth's entire debt to Exakraft (without exception and including
 the amounts invoiced under Invoices B) shall be settled by way of Exanorth transferring
 one million shares in Bitzero Blockchain Inc. to Exakraft as described in Clause 1.2
 below and by way of a transfer of shares in KlimaCloud AS (org nr 927 180 391, the **"Company"** or **"KlimaCloud"**) from Exakraft to Exanorth as described in paragraph
 (viii) and clause 2 below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) The
 Parties agree that, as of the date of this agreement, neither the Success Fee nor any
 other payment obligations under the Master Agreement or any other legal relationship
 between the Parties shall continue to accrue as described in Clause 1.2 below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) The
 Parties also agree that, as part of the settlement, Exanorth shall purchase, and Exakraft
 shall sell, 100 % of the shares in KlimaCloud under a separate share purchase agreement
 (the **"SPA"**) as described in Clause 2 below, and that entering into
 the SPA is a condition for the validity of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) Any
 and all obligations set out in this agreement are contingent upon Mr. Frank Aadnevik
 remaining the Chief Executive Officer of Exanorth for a minimum period of one (1) year
 from the date of this Agreement pursuant to a separate confidential agreement as described
 in Clause 3 below,

**IT IS HEREBY AGREED AS FOLLOWS:**

1. SETTLEMENT
 OF DEBT

1.1 Settlement
 of Invoices A

No later than 30 November 2024, Exanorth shall pay NOK 878 158 to Exakraft. Upon Exakraft receiving such payment, Invoices A shall be considered settled in full.

This Clause 1.1 shall be without prejudice to Exanorth's obligation to make a certain advance payment in accordance with Clause 1.3 below.

1.2 Comprehensive
 settlement of Exanorth's entire debt to Exakraft

The parties have had a long stop in payment obligations due to disagreement regarding the Success Fees. Exakraft has now agreed to cancel and void outstanding invoices which have not been paid related to the Success Fees, i.e. Invoices B. Upon Exakraft receiving settlement for Invoices A, the entire debt to Exakraft (including the amounts invoiced under Invoices B and any interests) shall be considered settled in full without exception. The settlement includes any amounts owed by Exanorth to Exakraft which have not been invoiced.

As of the date of this agreement, Exanorth shall have no payment obligations towards Exakraft under this Agreement (save for the payment obligations set out in the SPA), the Master Agreement or the Consultancy Agreement other than what has been explicitly set out herein.

For the avoidance of doubt, the Parties agree that Exakraft shall not be entitled to any further Success Fees as of the date of this agreement.

1.3 Advance
 payment

No later than 15 June 2024, Exanorth shall pay a minimum of NOK 300,000 to Exakraft. For the avoidance of doubt, this amount shall be considered a down payment in part of Invoices A.

1.4 Interests
 on delayed payments

If any payments due under this Agreement are delayed, interests shall accrue as per applicable law.

2. ACQUISITION
 OF KLIMACLOUD AS

The Parties shall enter into the SPA without undue delay, and the SPA shall be executed no later than the long stop date set out in Clause 4 below.

Subject to the terms and conditions to be agreed in the SPA, Exanorth shall purchase, and Exakraft shall sell, all shares in the Company.

The SPA shall be entered into on market terms, and the purchase price for the shares in the Company shall include both a cash payment of NOK 2,000,000 and the transfer of one million shares in Bitzero Blockchain Inc..

Exanorth shall procure the transfer of shares in Bitzero Blockchain Inc. to Exakraft. The transfer of the shares in the Company shall occur simultaneously with the execution of the payment of the purchase price set out in the SPA, comprising both shares and cash.

All costs in the Company incurred from the signing of this Agreement and until the execution of the SPA will be invoiced to Exanorth, who shall be responsible for their payment. This includes costs related to accounting and the lease agreement with Statskog SF.

Exanorth shall cover all necessary legal costs in connection with the execution of the SPA.

3. MANAGEMENT
 OF EXANORTH

This Agreement is based on the assumption that (i) Mr. Frank A. Aadnevik, the Chief Executive Officer and indirect shareholder in Exakraft, agrees on a separate confidential agreement, pursuant to which Mr Frank A. Aadnevik shall remain the Chief Executive Officer of Exanorth for one (1) year from the date of this Agreement, and (ii) Mr. Frank A. Aadnevik fulfils the obligations to provide services pursuant to such agreement or similar arrangement.

4. LONG
 STOP DATE

If Exanorth has not (i) made the advance payment set out in Clause 1.3 above, and (ii) transferred shares in Bitzero Blockchain Inc in accordance with Clause 2 above by the end of 30 November 2024, the Agreement and the SPA shall be considered null and void unless the Parties agree otherwise.

5. ENTIRE
 AGREEMENT

This Agreement constitutes the complete and final agreement between the Parties with respect to the comprehensive settlement of the Success Fees and the Consultancy Fees, and supersedes any other written or oral agreement related to these payment obligations. This also applies to the purchase of the Company.

6. TERMINATION
 FOR CAUSE

If any part of this Agreement is breached, and such breach is considered a material breach of contract under Norwegian law, the non-defaulting Party has the right to terminate the entire Agreement (ex nunc) insofar as such right is awarded under Norwegian contract law. If the termination occurs due to a material breach of the Agreement by Exanorth, the Success Fee will be applicable from the date of the breach and will be governed by the Master Agreement. However, if such termination takes place after Exanorth has (i) made the advance payment set out in Clause 1.3 above, and (ii) transferred shares in Bitzero Blockchain Inc in accordance with Clause 2 above, the Success Fee set out in the Master Agreement shall not continue to apply in the event that this Agreement is terminated.

This Clause 6 shall be without prejudice to, and does not prevent any Party from exercising, any legal remedies, including specific performance and the right of a Party to prevent termination by way of remedying its own default (Nw. *"defensiv avhjelp"*).

7. CHOICE
 OF LAW AND LEGAL VENUE

This Agreement shall be construed in accordance with and governed by Norwegian law in all respects.

Any legal proceedings arising from this Agreement shall be settled by the ordinary Norwegian courts with Oslo District Court as legal venue.

\* \* \*

---

| | |
|:---|:---|
| **Exakraft AS** | **Exanorth AS** |
| Frank A. Aadnevik | Mohammed S. S. Bakhashwain |
| Chairman | Chairman |
| Atle Risøy |  |
| Board Member |  |

---

## Exhibit 99.54

**Exhibit 99.54**

**MEMORANDUM OF LIMITED OPTION AGREEMENT**

THIS MEMORANDUM OF LIMITED OPTION AGREEMENT ("**Memorandum**") dated as of 12/29/2022, by and between Bitzero ND I, LLC, a North Dakota Limited Liability Company having an address at 2416 Main Street, Ste. 398, Vancouver, BC V5T 3E2 ("**Optionor**") and Cavalier County Job Development Authority, a a job development authority pursuant to N.D.C.C. Chapt. 11-11.1 having an address at 901 3rd Street, Ste. 5, Langdon, ND 58249 ("**Optionee**"). Optionor and Optionee are also sometimes referred to herein collectively as the "**Parties**" or individually as a "**Party**."

Optionor and Optionee hereby acknowledge the following:

1. **<u>Grant</u>.** For valuable consideration described in that certain Limited Option Agreement, executed July 18, 2022 (the "**Option Agreement**"), Optionor has granted to Optionee the exclusive and irrevocable option to purchase all that certain real property in the County of Cavalier, State of North Dakota, and being described on <u>Exhibit A</u> (the "**Property**") under the terms and conditions set out in said Option Agreement.

2. **<u>Term</u>.** Subject to the occurrence of the Triggering Event as defined in the Option Agreement, the term of the Option commences on July 2, 2027, and expires on October 1, 2027 (the "**Term**").

3. **<u>Notices</u>.** Notices shall be given hereunder in writing by any method provided for in the Option Agreement, including by personal delivery, overnight delivery, registered or certified mail, or electronic transmission. Notices from third parties shall be sent to the Parties at the addresses set forth in the Preamble hereto.

4. **<u>Conflicts.</u>** This Memorandum is intended only for recording purposes to provide notice of certain terms and conditions contained in the Option Agreement and is not to be construed as a complete summary of the terms and conditions thereof. This Memorandum is subject to the Option Agreement and any amendments, modifications, alterations, renewals, and extensions of the Option Agreement. The terms and provisions of the Option Agreement are incorporated in this Memorandum by reference. If there is any conflict between this Memorandum and the Option Agreement, the provisions of the Option Agreement shall control.

5. **<u>Counterparts</u>.** This Memorandum may be executed in multiple counterparts, each of which shall be deemed an original and all of which when taken together shall constitute one and the same document.

IN WITNESS WHEREOF, the Parties hereto have executed this Memorandum as of the date first above written.

---

| |
|:---|
| **OPTIONOR:** |
| Bitzero ND I, LLC, |
| a North Dakota Limited Liability Company |
| By: |
| Name: Naeem Walji |
| Title: Chief Operating Officer |

---

---

| |
|:---|
| STATE OF Florida |
| COUNTY OF Miami-Dade |

---

The foregoing instrument was acknowledged before me on 12/29/2022, by Naeem Walji, the Chief Operating Officer of Bitzero ND I, LLC, a North Dakota Limited Liability Company. produced Florida drivers license

(Seal)

  <br> Notary Public Edgy Slandel Eliacin

Notarized online using audio-video communication

---

| |
|:---|
| **OPTIONEE:** |
| Cavalier County Job Development Authority |
| By: |
| Name: Susan Fay Crockett |
| Title: Chairperson |

---

---

| |
|:---|
| STATE OF NORTH DAKOTA |
| COUNTY OF CAVALIER |

---

The foregoing instrument was acknowledged before me this _____ day of December, 2022, by Susan Fay Crockett, the Chairperson of Cavalier County Job Development Authority.

  <br> Notary Public

(Seal)

This instrument was prepared by,<br> and the original should be returned to:<br> Crowley Fleck PLLP<br> ATTN: Blaine T. Johnson<br> PO Box 2798<br> Bismarck, ND 58502-2798<br> 701-223-6585<br> bjohnson@crowleyfleck.com

**<u>EXHIBIT A</u>**

**LEGAL DESCRIPTION OF THE PROPERTY**

Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet:

---

| | |
|:---|:---|
| Block 1: | Lots 1, 2, 3, 4; |
| Block 2: | Lots 1, 2, 3, 4, 5, 6, 7; |
| Block 3: | Lots 1, 3, 4; |
| Block 4: | Lots 1, 2, 3, 4, 5, 6, 7. |

---

Formerly Described as:

A parcel of land located in the South Half of the Northwest Quarter (S½NW¼), in the Southwest Quarter (SW¼), and in the West Half of the Southeast Quarter (W½SE¼) all in Section Fourteen (14) and in the Southeast Quarter of the Southeast Quarter (SE¼SE¼) of Section Fifteen (15), all in Township One Hundred Fifty-nine (159) North, Range Sixty (60) West of the Fifth Principle Meridian, Cavalier County, North Dakota, more particularly described as follows:

Beginning at the southwest corner of said Section 14; thence North 88° 12' 10" East, along the south line of said Section 14, a distance of 3290.09 feet; thence North 01° 34' 03" West, a distance of 560.08 feet; thence South 88°12' 56" West, a distance of 250.21 feet; thence North 01° 33' 24" West, a distance of 2080.13 feet, more or less, to the north line of the Southeast Quarter (SE¼) of Section 14; thence South 88° 12' 00" West, along the north line of said Southeast Quarter (SE¼), a distance of 397.89 feet, more or less to the southeast corner of the Northwest Quarter (NW¼); thence North 01° 34' 30" West, along the east line of said Northwest Quarter (NW¼), a distance of 705.00 feet; thence South 85° 35' 56" West, a distance of 1548.79 feet; thence South 28° 24' 14" West, a distance of 444.99 feet; thence South 67° 58' 57" East, a distance of 235.59 feet; thence South 28° 24' 18" West, a distance of 2551.66 feet; thence South 01° 48' 14" East, a distance of 589.84 feet, more or less, to the south line of Section 15; thence North 88° 12' 29" East, along the south line of said Section 15, a distance of 183.35 feet, more or less, to the point of beginning.

**Excepting therefrom** Lot 2, Block 3, Mickelson Data Center, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

## Exhibit 99.55

**Exhibit 99.55**

![](img021_v2.jpg)

**Luxor Firmware Developer Fee Addendum Agreement**

This Luxor Firmware Developer Fee Addendum Agreement (the **"Agreement")** is between Luxor Technology Corporation **("Luxor")** and **"Client"** (as defined in the signature block below), which together are the parties **("Parties")** to the Agreement. This Agreement provides for updates or modifications to certain terms of the End User License Agreement **("EULA")** that govern Client's use of Luxor's Firmware software. This Agreement is effective as of the later of the two signature dates set forth below **("Effective Date").**

1. Firmware EULA: The EULA found on Luxor's website <u>(https://luxor.tech/firmware/eula)</u> governs Client's use of Luxor's Firmware software. All terms and conditions contained in the EULA shall remain in full force and effect, except as specifically modified by this Agreement.

2. Modified
Developer Fees:

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Fees:** As Developer fees, Client agrees to pay Luxor a monthly fee equal to 2.80% of hashrate as per the EULA. This fee is taken
directly from ASICs connected to LuxOS

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Rebates:** Luxor shall rebate a portion of the value of any hashrate provided to the Client within five (5) business days after the end
of each calendar month in the form of a rebate, provided that Client has settled any outstanding invoices and is in compliance
with the terms of the EULA. The amount of rebate is described in Appendix A and based on average Client hashrate running LuxOS
on the month. Luxor reserves the right to withhold any rebates if Client has outstanding invoices. Rebates shall be delivered
in the form of credits to Client's Luxor Mining Pool account, or in another manner mutually agreed to by the Parties in
Bitcoin.

**3.** **Compatibility:** Luxor Firmware may only be used with supported machines, which are listed on Luxor's Firmware website. The Firmware
is provided as-is and Luxor makes no guarantee or warranty that the Firmware will be compatible with future iterations of Bitcoin
ASIC machines. Luxor shall not be obligated to provide Firmware updates to meet compatibility of future machines.

4. Term
and Termination:

&nbsp;&nbsp;&nbsp;&nbsp;**a)** **Term:** The term of this Agreement will commence on the Effective Date and shall continue in full force and effect for one year (the **"Initial Term").** The Initial Term will automatically renew for renewal terms of one year (each a **"Renewal Term")** unless Client provides notice of non-renewal 60 days prior to the expiration of the Initial Term or then-current
Renewal Term. The Initial Term and any Renewal Term(s) collectively constitute the **"Term."** 

![](img021_v2.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;**b)** **Termination:** The Agreement may be terminated at any time if both Parties mutually agree to terminate the Agreement Either Party may terminate
this Agreement for cause immediately following written notice if the other Party (i) violates, or fails to perform or fulfill
any covenant or provision of this Agreement and/or EULA, and such breach is not cured within (15) days after notification or (ii)
enters into bankruptcy, financial failure or insolvency, sales or merger with another person, corporation or entity, unless approval
in advance by the other Party. Without limiting the foregoing, either Party may terminate or suspend all or a portion of the Agreement
if necessary to be in compliance with applicable law, rules, regulations, administrative or judicial orders or decree. The terminating
Party will use commercially reasonable efforts to notify the other party in writing of such suspension. The Parties agree that
they will have no liability whatsoever to the other for any damage, loss, expense or cost as a result of such termination or suspension.
Furthermore, either Party may terminate the Agreement for convenience by providing a sixty (60) day written notice to the other
Party. Upon termination of this Agreement for any reason, Client agrees to immediately pay Luxor for any amount then owed or outstanding
under this Agreement. If Client continues to use Luxor Firmware after termination of this Agreement, Client shall be charged Firmware
developer fees in the manner identified in the EULA.

**5.** **Confidentiality:** Both Parties agree not to disclose any **"Confidentiel Information",** which includes (but is not limited to)
information regarding any of Luxor's fee and/or rebate rates, confidentiel documentation, software, trade secrets embodied
therein and any other written or electronic information that is either (i) marked as confidentiel and/or proprietary, or which
is accompanied by written notice that such information is confidentiel and/or proprietary, or (ii) not marked or accompanied by
notice that it is confidentiel and/or proprietary but which, if disclosed to any third party, could reasonably and foreseeably
cause competitive harm to the owner of such information. Confidentiel Information shall not include information which is: (i)
publicly available, (ii) lawfully obtained by a Party from third parties without restrictions on disclosure, or (iii) independently
developed by a Party without reference to or use of the Confidentiel Information.

![](img021_v2.jpg)

**6.** **Force Majeure:** To the extent that a Party is fully or partially delayed, prevented or hindered by an event of Force Majeure from
performing any obligation under this Agreement (other than an obligation to make payment), subject to the exercise of reasonable
diligence by the affected Party, the failure to perform shall be excused by the occurrence of such event of Force Majeure. A Party
claiming that its performance is excused by an event of Force Majeure shall, promptly after the occurrence of such event of Force
Majeure, notify the other Party of the nature, date of inception and expected duration of such event of Force Majeure and the
extent to which the Party expects that the event will delay, prevent or hinder the Party from performing its obligations under
this Agreement. The notifying Party shall thereafter use its best effort to eliminate such events of Force Majeure and mitigate
its effects. **"Force Majeure"** shall mean a failure by the other Party to perform any of its obligations under
this Agreement, if such failure is caused by events or circumstances beyond its reasonable control, including, without limitation,
acts of God, war, labor strike, terrorist act, fire, flood, earthquake, landslide, hurricane, typhoon, tsunami, volcanic eruption,
inclement weather, health epidemic or any law, order, regulation, seizure or other action of any governing authority or agency.

**7.** **Governing Law:** This Agreement shall be governed in all respects by the laws of the State of Delaware.

![](img021_v2.jpg)

IN WITNESS WHEREOF the parties hereto have hereunto set their respective hands and seals, duly attested to by the hands of their proper signing officers:

---

| | | | |
|:---|:---|:---|:---|
| **CLIENT** | **CLIENT** | **LUXOR** | **LUXOR** |
| Company: | Bitzero Blockchain inc. | Company: | Luxor Technology Corporation |
| Signature: | ![](img022_v2.jpg) | Signature: | ![](img023_v2.jpg) |
| Name: | Mohammed Bakhashwain | Name: | Guzman Pintos |
| Title: | Director | Title: | Chief Product Officer |
| Date: | 2/28/2024 | Date: | 2/29/2024 |

---

**<u>Appendix A</u>**

---

| | | | |
|:---|:---|:---|:---|
| Total Hashrate (PH) | Mining Pool Only Fee % | Firmware Only <br> Fee %\* | Pool + Firmware <br> Fee % |
| 250 - 500 | 0.75% | 2.25% | 2.25% |
| 500 - 1500 | 0.65% | 2.10% | 2.10% |
| 1500 - 3000 | 0.55% | 2.00% | 2.00% |
| 3,000 + | 0.50% | 1.90% | 1.90% |

---

## Exhibit 99.56

**Exhibit 99.56**

THIS CONVERTIBLE SUBORDINATED PROMISSORY NOTE AND ANY SECURITY ISSUED UPON CONVERSION OF THIS CONVERTIBLE SUBORDINATED PROMISSORY NOTE MAY BE SUBJECT TO CERTAIN RESALE RESTRICTIONS PURSUANT TO THE PROVISIONS OF THE SECURITIES ACT (BRITISH COLUMBIA) AND THE REGULATIONS THEREUNDER, AND TO CERTAIN TRANSFER RESTRICTIONS PURSUANT TO THE ARTICLES OF THE ISSUER OR A UNANIMOUS SHAREHOLDER AGREEMENT WITH RESPECT TO THE ISSUER, COPIES OF WHICH ARE ON FILE WITH THE SECRETARY OF THE ISSUER.

UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE THE DATE THAT IS FOUR MONTHS AND A DAY AFTER THE LATER OF (I) THE ISSUE DATE OF THIS NOTE AND (II) THE DATE THE COMPANY BECAME A REPORTING ISSUER IN ANY PROVINCE OR TERRITORY.

THIS CONVERTIBLE SUBORDINATED PROMISSORY IS SUBJECT TO THE SUBORDINATION PROVISIONS SET FORTH IN SECTION 6 HEREIN. ACCORDINGLY, THIS CONVERTIBLE SUBORDINATED PROMISSORY AND THE RIGHTS AND OBLIGATIONS EVIDENCED HEREBY ARE SUBORDINATE TO THE RIGHTS AND OBLIGATIONS DUE TO THE SENIOR LENDERS (AS DEFINED BELOW) AS SET FORTH IN SECTION 6 HEREOF.

**CONVERTIBLE SUBORDINATED PROMISSORY NOTE**

---

| | |
|:---|:---|
| $2853990 | October 30<sup>th</sup>, 2025<br> (the "**Issue Date**") |

---

For value received, BITZERO BLOCKCHAIN INC. (the "**Company**"), promises to pay to the order of FAR Holdings Bermuda Ltd (the "**Holder**"), the principal sum of $2,853,990 (the "**Principal Amount**''), together with interest accrued on the Principal Amount as provided in Section 3 below. This Note is subject to the following terms and conditions:

1.  **<u>Issuance of Note.</u>** As a condition to the entering into this convertible promissory note
 ()"**Note**") the Holder and the Company shall have entered into the Sale
 and Purchase Agreement to be entered into between the Holder and the Company (the "**Purchase Agreement** ").

2.  **<u>Suspensive Condition</u>.** Any right granted under this Note shall remain subject to the occurrence
 of the Completion Date prior to April 22, 2026. For the avoidance of doubt, provided
 that Company has fully complied with its obligations under the Purchase Agreement, in
 accordance with the terms of the Purchase Agreement and is not otherwise in default thereunder,
 and the Completion Date does not occur on or before April 22, 2026, this Note shall be
 deemed null and void, and of no further force or effect.

3.  **<u>Interest.</u>** Subject to Section 2, interest will accrue on the balance of the Principal Amount
 from time to time outstanding at the rate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Regular</u>.
 10% per year, calculated on the basis of a 365-day year for the actual number of days
 elapsed and compounded annually, from the Manufacturer Payment Date until conversion
 or payment in full of the Outstanding Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Event of default</u>. Notwithstanding paragraph 3(a), upon the occurrence of any Event of Default
 (defined herein), the interest rate shall increase to 12% per year, calculated on the
 basis of a 365-day year for the actual number of days elapsed and compounded annually,
 from the date of occurrence of the Event of Default until conversion or payment in full,
 it being understood that no interest shall accrue prior to the Manufacturer Payment Date.

4.  **<u>Maturity Date.</u>** If this Note is not earlier converted in accordance with Section 5, all
 unpaid Principal Amount plus all accrued and unpaid interest and all other amounts then
 owing under this Note will be immediately due and payable on the date that is eighteen
 (18) months from the Issue Date (the "**Maturity Date** ").

5.  **<u>Conversion.</u>** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Definitions.</u> In this Note:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "**Accrued Interest**" any portion of the Outstanding Amount attributable to accrued interest
 as calculated pursuant to Section 3 of the Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "**Common Shares**" means the common shares in the capital of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "**Completion Date**" means the date on which (i) the Manufacturer has successfully completed
 the Factory Acceptance Testing ()"**FAT**") for all Equipment, (ii) the
 FAT certificate has been issued and accepted by the Company and (iii) the Equipment has
 been made available for pickup at the Manufacturer's premises in accordance with
 the EXW delivery term;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "**Conversion Date**" shall mean, as applicable, Optional Conversion Date, the Maturity Date
 Conversion Date, and any other date under this Note, which is five (5) business days
 after a conversion notice seeking the issuance of Conversion Shares is duly delivered
 to the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) « **Conversion Price** » means an amount equal to $0.40, as adjusted in accordance with
 the terms of this Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "**Conversion Shares**" means shares in the capital of the Company issued or issuable upon conversion
 of the Outstanding Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "**Equipment** "
 has the meaning ascribed to it in the Purchase Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "**Junior Lien**" shall mean any security interest and/or lien that Holder may have in
 any assets of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) "**Manufacturer** "
 means JY Transformer Co. Ltd;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) "**Manufacturer Payment Date**" means the date on which the Holder has made payment of the Equipment
 to the Manufacturer, as established upon presentation to the Company of satisfactory
 proof of such payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) "**Outstanding Amount**" means the entire then-outstanding and unpaid Principal Amount, together
 with all accrued but unpaid interest and any other amounts owed to Holder under this
 Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) "**Senior Debt**" means, collectively, all indebtedness arising under or in connection
 with the Senior Loan and Guaranty Agreement (whether or not existing as of the date hereof)
 and any indebtedness incurred to refinance, increase, renew, supplement or replace the
 same;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) "**Senior Lenders**" means JGB Capital, LP, JGB Partners, LP and Deepdale Investors, LLC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) "**Senior Lien**" means any security interest and/or liens that Senior Lenders now or hereafter
 acquire in the assets of the maker of this Note; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) "**Senior Loan and Guaranty Agreement**" means the Loan and Guaranty Agreement entered into
 between, inter alias, the Company and the Senior Lenders as of June 27, 2025, as amended
 from time to time, collectively with the other Loan Documents (as defined in the Senior
 Loan and Guaranty Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Optional Conversion</u>. Subject to Section 2, at any time following the Completion Date and before
 conversion or repayment in full of this Note prior to the Maturity Date, the Holder may
 elect, in its sole discretion, by written notice delivered to the Company ()"**Optional Conversion Notice**") to convert the Outstanding Amount, in whole or in part,
 into such number of fully paid and non-assessable Common Shares equal to the quotient
 of (i) the amount of the Outstanding Amount sought to be converted as of the date of
 receipt by the Company of the Optional Conversion Notice, divided by (ii) the Conversion
 Price. The Company shall issue any such Conversion Shares sought to be issued under the
 Optional Conversion Notice, within five (5) business days of receipt of the Optional
 Conversion Notice (the "**Optional Conversion Date** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Optional Conversion upon the Maturity Date</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject
 to Section 2, if no repayment or conversion pursuant to this Note has occurred prior
 to the Maturity Date, then, the Holder may elect, in its sole discretion, by written
 notice delivered to the Company ()"**Maturity Date Conversion Notice** ")
 to convert the Outstanding Amount, in whole or in part, into such number of fully paid
 and non-assessable Common Shares equal to the quotient of (i) the amount of the Outstanding
 Amount sought to be converted as of the date of receipt by the Company of the Optional
 Conversion Notice, divided by (ii) the Conversion Price. The Company shall issue any
 such Conversion Shares sought to be issued under the Maturity Date Conversion Notice,
 within five (5) business days of receipt of the Maturity Date Conversion Notice (the
 "**Maturity Date Conversion Date** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If
 the Holder does not deliver a Maturity Date Conversion Notice to the Company at least
 five business days before the Maturity Date, the Note will become due and payable as
 of the Maturity Date, for an amount equal to the Outstanding Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Notice of a Repayment Event</u>. The Company will give the Holder written notice at least 10
 business days before an anticipated Repayment Event (the "**Anticipated Repayment Event Date** "), which notice will set forth the Anticipated Repayment Event Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Conversion Documents</u>. Upon any conversion of this Note, the Holder will sign and deliver to
 the Company, as a condition to such conversion, all documents reasonably requested by
 the Company to effect the conversion (the "**Conversion Documents** "). The
 Company will not give effect to the conversion of this Note, and all rights and privileges
 of the Holder under this Note (other than the right to complete the conversion) will
 automatically be suspended, until such time as the Holder has signed and delivered all
 Conversion Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Mechanics and Effect of Conversion</u>. No fractional shares in the capital of the Company will
 be issued upon conversion of this Note. In lieu of any fractional share to which the
 Holder would otherwise be entitled, the Company will pay to the Holder in cash the unconverted
 Outstanding Amount that would otherwise be converted into a fractional share. At its
 expense, the Company will, within five business days after conversion of this Note, issue
 and deliver a certificate or certificates for the number of fully paid and non-assessable
 shares of the Company to which the Holder is entitled upon conversion (the "**Certificates** "),
 together with any other securities and property to which the Holder is entitled upon
 conversion under the terms of this Note, including a cheque payable to the Holder for
 any cash amounts payable as described in this Note, to (i) the Holder, at the Holder's
 principal office, or (ii) the Holder's custodian as directed by the Holder before conversion.
 The Holder will provide the registration and delivery instructions for the Certificates
 to the Company before any conversion. Concurrently with conversion of this Note and the
 delivery of the Certificates, the Holder will (i) provided that the Holder is converting
 the entirety of the then-outstanding Outstanding Amount, surrender this Note to the Company
 at its principal office or at such location as directed by the Company; (ii) deliver
 the documents required by Section 5(e); and (iii) sign and deliver to the Company a full
 release and discharge of the Note in a form provided by the Company and acceptable to
 the Holder, acting reasonably. Upon completion of the conversion, the Company will be
 released from all of its obligations and liabilities under this Note.

6.  **<u>Subordination</u>** .
 The Company and the Holder (the "  **<u>Parties</u>**") hereby irrevocably
 agree that the payment of any and all of the obligations under this Note shall be subordinate
 to the Senior Debt, and that each purchaser of Senior Debt, whether now outstanding or
 hereafter created, incurred, assumed or guaranteed, shall be deemed to have acquired
 Senior Debt in reliance upon the provisions contained in this Section 6. Notwithstanding
 any provision to the contrary contained in this Note, no payment (whether of principal,
 interest, or otherwise) shall be payable on or with respect to this Note until the date
 that is six months following the date that the Senior Debt is satisfied in accordance
 with the terms of the Senior Loan and Guaranty Agreement. In addition to the foregoing,
 Holder hereby subordinates the Junior Liens to the Senior Liens. Notwithstanding the
 respective dates of attachment or perfection of the Junior Liens and the Senior Liens,
 the Senior Liens shall at all times be prior and senior to the Junior Liens. Until the
 Senior Debt is satisfied in accordance with the terms of the Senior Loan and Guaranty
 Agreement, the Senior Debt shall continue to be treated as Senior Debt and the provisions
 of this Section 6 shall continue to govern the relative rights and priorities of Senior
 Lenders and Holder even if all or part of the Senior Debt or the Senior Liens are subordinated,
 set aside, avoided or disallowed in connection with any proceeding, and Note (including
 this Section 6) shall be reinstated if at any time any payment of any of the Senior Debt
 is rescinded or must otherwise be returned by Senior Lenders or any representative thereof.
 Notwithstanding anything to the contrary, the word "payment" does not include
 the conversion of the Outstanding Amount into Common Shares.

7.  **<u>Currency; Payment</u>** . All monetary amounts referred to in this Note shall refer to the lawful
 money of the United States of America. All payments made under this Note shall be made
 in such currency, at such place as the Holder may from time to time designate in writing
 to the Company.

8.  **<u>Readjustment in the Conversion Price</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 number and type of titles that may be received upon the conversion of the Note and the
 Conversion Price may be readjusted from time to time in the event of the subdivision,
 consolidation, redesignation, reclassification, consolidation or splitting of shares
 in the share capital of the Company, or in the event of the declaration of any dividend
 payable in Common Shares in the share capital of the Company or in shares of a class
 convertible into Common Shares in the share capital of the Company, or in the event of
 the merger, reorganization or consolidation of the Company (collectively, a "**Reorganization** ").
 If applicable, the Company shall regularize the Holder's rights in order to allow the
 Holder to acquire the same proportion of Common Shares as he would have obtained following
 the exercise of the right of conversion represented by the Note in the absence of such
 Reorganization. In the event that the number of Common Shares is readjusted as a result
 of any transaction pursuant to this paragraph, the Conversion Price will be readjusted
 proportionately so that the conversion of the Note is not more costly to the Holder as
 a result of such Reorganization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In
 the event of a readjustment of the Conversion Price in accordance with paragraph 8(a)
 hereof, the Company shall issue a note (a "**Readjustment Note** "), signed
 by an officer of the Company, describing with sufficient precision the event justifying
 such readjustment, the amount thereof and the method of calculation used, as well as
 the Conversion Price and the number of Common Shares issuable upon conversion of the
 Note after such readjustment, and shall send copies of such Readjustment Note to the
 Holder of this Note by email or to the address of the Holder of this Note appearing on
 the books and records of the Company. The Company shall send to the Holder of this Note,
 upon the written request of the Holder, a note signed by an officer of the Company, indicating
 the readjusted Conversion Price and the number of Common Shares that may be issued upon
 exercise of the Note on the date of such request.

9.  **<u>Events of Default</u>** . All amounts owing under this Note, including the outstanding Principal
 Amount and all Accrued Interest thereon, will, at the option of the Holder, become immediately
 due and payable upon the occurrence of any of the following events (each, an "**Event of Default** "):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 Company fails to pay when due any amount payable under this Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 Company defaults in the observance or performance of any representation, warranty, or
 covenant contained in this Note (other than a payment covenant referred to in Section
 9(a)) which results in a Material Adverse Effect (as defined below) and, provided that
 such default is capable of being remedied, the Company fails to remedy the default within
 20 business days following the Company's receipt of written notice of the default from
 any of the Holders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the
 Company fails to issue Conversion Shares pursuant to a duly delivered notice of conversion
 by Holder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 Company defaults in payment of any principal, interest or other fee or charge on any
 other indebtedness of the Company (other than the Notes) in excess of $1,000,000 when
 the same becomes due, after giving effect to any applicable cure or grace periods;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the
Company makes an assignment for the benefit of its creditors, acknowledges its insolvency in any manner whatsoever, or commits
an act of bankruptcy under the *Bankruptcy and Insolvency Act* (Canada) or any similar law of any jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the
Company institutes any proceeding or takes any corporate action or signs any agreement or notice of intention to authorize its
participation in or commencement of any proceeding (i) seeking to adjudicate it as bankrupt or insolvent, or (ii) seeking liquidation,
dissolution, winding up, reorganization, arrangement, protection, relief or composition of it or any of its property or debt or
making a proposal under any law relating to bankruptcy, insolvency, reorganization or compromise of debts or other similar laws
(including, without limitation, any application under the *Companies' Creditors Arrangement Act* (Canada), *Bankruptcy and Insolvency Act* (Canada) or any reorganization, arrangement or compromise of debt under the laws of its jurisdiction of
incorporation);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any
proceeding is commenced against or affecting the Company that is not (A) contested actively and diligently in good faith by appropriate
and timely proceedings; and (B) in any event stayed within 30 days of commencement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) seeking
to adjudicate it as bankrupt or insolvent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) seeking
liquidation, dissolution, winding up, reorganization, arrangement, protection, relief or composition of it or any of its property
or debt or making a proposal with respect to it under any law relating to bankruptcy, insolvency, reorganization or compromise
of debts or other similar laws (including, without limitation, any reorganization, arrangement or compromise of debt under the
laws of its jurisdiction of incorporation); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) seeking
appointment of a receiver, manager, receiver and manager, receiver-manager, trustee, agent, custodian or other similar official
for it or for any part of its properties and assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the
holder of any security interest, hypothec, charge, encumbrance, lien or claim against any of the Company's assets does anything
to enforce or realize on such security interest, hypothec, charge, encumbrance, lien or claim, or takes possession of any part
of the Company's property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any
execution, distress or other process of any court becomes enforceable against any of the property of the Company, or a distress
or like process is levied upon any of such property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) the
 Company ceases to carry on all or a substantial part of its business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) For
 the purposes of this Note, "**Material Adverse Effect**" means any fact,
 change, circumstance, condition (financial or otherwise), event or development that,
 when considered individually or in aggregate, has resulted in or would reasonably be
 expected to result in a material and adverse effect on (x) the business, assets,
 liabilities, financial condition, operations, or prospects of the Company or (y) the
 ability of the Company to (A) pay or perform its obligations under the Notes or (B) avoid
 an Event of Default or an event which, with the giving of notice or the passage of time
 or both, would constitute an Event of Default.

10.  **<u>No Rights as Shareholder</u>** . This Note does not by itself entitle the Holder to any
 voting or other rights as a shareholder of the Company. In the absence of conversion
 of this Note, no provisions of, and no enumeration of the rights or privileges of the
 Holder in, this Note will cause the Holder to be a shareholder of the Company for any
 purpose.

11.  **<u>Transfer; Successors and Assigns</u>** . The terms and conditions of this Note will inure to the
 benefit of and be binding upon the respective successors and permitted assigns of the
 parties. Notwithstanding the foregoing, neither party may assign, pledge, or otherwise
 transfer this Note without the prior written consent of the other party. Subject to the
 preceding sentence, this Note may be assigned or transferred only upon surrender of the
 original Note for registration of transfer, duly endorsed, or accompanied by a duly signed
 written instrument of transfer in form reasonably satisfactory to the Company. Thereupon,
 a replacement promissory note for the same principal amount will be issued to, and registered
 in the name of, the transferee, and the transferee will (as a condition to such assignment)
 acknowledge and agree to the transfer and to all of the terms and conditions of this
 Note, in form and substance reasonably satisfactory to the Company. Principal, interest
 and other amounts owing under this Note are payable only to the registered holder of
 this Note.

12.  **<u>Notices</u>** .
 All notices and other communications given or made under this Note will be in writing
 and will be deemed effectively given upon the earlier of (a) actual receipt for
 personal delivery to the party to be notified; (b) when sent, if sent by electronic mail
 or facsimile during normal business hours of the recipient, and if not sent during normal
 business hours, then on the recipient's next business day; or (c) three business days
 after deposit with an internationally recognized overnight courier, freight prepaid,
 specifying next or second business day delivery, with written verification of receipt,
 addressed to the address set forth in the signature blocks below.

13.  **<u>Governing Law</u>** . This Note will be governed by, and construed in accordance with, the laws
 of the Province of British Columbia and applicable federal laws of Canada, without giving
 effect to principles of conflicts of law.

14.  **<u>Amendments and Waivers</u>** . Any term of this Note may be amended and the observance of any term
 of this Note may be waived (either generally or in a particular instance and either retroactively
 or prospectively) only with the written consent of the Company and the Holder. Any amendment
 or waiver effected in accordance with this Section 14 will be binding on the Holder,
 each future holder of the Note and any Conversion Shares, and the Company. Notwithstanding
 anything contained herein to the contrary, so long as the Senior Debt shall remain outstanding
 the parties shall not amend this Note without the prior consent of the Senior Lenders.

15.  **<u>Costs; Waiver.</u>** The Company will pay on demand all reasonable costs and expenses (including,
 without limitation, reasonable attorneys' fees and disbursements) which the Holder incurs
 in connection with enforcement of this Note or the protection or preservation of the
 Holder's rights hereunder. The Company hereby waives demand, presentment, protest or
 notice of any kind.

16.  **<u>Extensions</u>** .
 Any agreement with the Holder for the extension of the time of payment of the moneys
 hereby secured or any part thereof made at, before or after maturity, and before the
 execution of a discharge or release of this Note, need not be registered in any office
 of public record but will be effective and binding upon the Company when signed by the
 Company and delivered to the Holder.

17.  **<u>Maximum Interest Rate</u>** . If any Court of competent jurisdiction deems any provision of
 this Note to require the Company to make any payment of interest or other amount payable
 to the Holder in an amount or calculated at a rate which would be prohibited by any applicable
 law or would result in the receipt by the Holder of interest at a criminal or prohibited
 rate (as these terms are construed under the *Criminal Code* (Canada) or any other
 applicable law), then notwithstanding such provision, the amount or rate will be deemed
 to have been adjusted with the same effect as if adjusted at the original date of this
 Note to the maximum amount or rate of interest, as the case may be, as to not be prohibited
 by any applicable law or result in the receipt by the Holder of interest at a criminal
 or prohibited rate, the adjustment to be effected to the extent necessary by reducing
 the amount or rate of interest under Section 3 with any remaining excess that has been
 paid being credited towards prepayment of the Principal Amount. If any overpayment remains
 after such crediting, it will be returned forthwith to the Company upon demand.

18.  **<u>Severability</u>** .
 Each of the provisions contained in this Note is distinct and severable and a declaration
 of invalidity, illegality or unenforceability of any provision or part thereof by a court
 of competent jurisdiction will not affect the validity or enforceability of any other
 provision of this Note.

19.  **<u>Counterparts; Electronic Signature</u>** . This Note may be signed in two or more counterparts, each
 of which will be deemed an original, but all of which together will constitute one and
 the same instrument. Counterparts signed or delivered via facsimile, electronically (including
 pdf or electronic signature) or other transmission method will be deemed to have been
 duly and validly delivered and be valid and effective for all purposes.

20.  **<u>Loss of Note</u>** . Upon receipt by the Company of evidence reasonably satisfactory to it
 of the loss, theft, destruction or mutilation of this Note or any Note exchanged for
 it, and indemnity reasonably satisfactory to the Company (in case of loss, theft or destruction)
 or surrender and cancellation of the Note (in the case of mutilation), the Company will
 make and deliver in lieu of such Note a new Note of like tenor.

21.  **<u>Third Party Beneficiary</u>** . Senior Lender shall be a third-party beneficiary of the rights
 contained in this Note, including the subordination provisions in Section 6, with the
 right to enforce the provisions contained herein against Holder and the Company. The
 covenant and agreement of the Parties to subordinate the Junior Debt to the Senior Debt
 as set forth herein, and neither make nor accept any payments contrary to such subordination,
 constitutes a contract between the Parties, on the one hand, and the Senior Lender, on
 the other hand. Until all Senior Debt has been satisfied in accordance with the terms
 of the Senior Loan and Guaranty Agreement, and notwithstanding anything to the contrary
 contained in this Note, the Parties shall not, without the prior written consent of Senior
 Lenders, agree to any amendment or modification of this Note which impacts or otherwise
 affects the subordination in Section 6.

*[Signature Page Follows]*

The Company has signed this Convertible Promissory Note as of the Issue Date set forth above.

---

| | |
|:---|:---|
| **BITZERO BLOCKCHAIN INC.** | **BITZERO BLOCKCHAIN INC.** |
| By: |  |
| Name: | Mohammed Salah Bakhashwain |
| Title: | President |

---

---

| |
|:---|
| Address: |
| **Bitzero Blockchain Inc.** |
| 100 Cathedral Place, 925 W. Georgia Street |
| Vancouver (British Columbia), Canada, V6C 2C3 |

---

**AGREED TO AND ACCEPTED:**

---

| | |
|:---|:---|
| **FAR HOLDINGS BERMUDA LTD** | **FAR HOLDINGS BERMUDA LTD** |
| By: |  |
| Name: | Frank Albo |
| Title: | CEO and Director |

---

Address:

**FAR Holdings Bermuda Ltd**<br> Rosebank Centre 5<sup>th</sup> Floor<br> 11 Bermudian Road<br> Pembrooke HM 08

Email: <u>frank@farbermuda.com</u>

## Exhibit 99.57

**Exhibit 99.57**

---

| | |
|:---|:---|
| &nbsp;&nbsp;ORIGINAL <br> **AVTALE OM GRUNNLEIE**<br>Denne avtale om grunnleie ("**Avtalen**") er inngått mellom:<br>(1) **Exanorth AS**, org nr 921 677 421, ("**Exanorth**"), og<br>(2) **Sowrer AS**, org nr 927 234 475 ("**Leietaker**").  | &nbsp;&nbsp;ORIGINAL ENGLISH OFFICE TRANSLATION <br> **LEASE AGREEMENT**<br>This lease agreement ("**Agreement**") is entered into between:<br>(1) **Exanorth AS**, org no 921 677 421, ("**Exanorth**"), and<br>(2) **Sowrer AS, org no 927 234 475 (the "Lessee").**  |
| &nbsp;&nbsp;**1 BAKGRUNN**<br>Exanorth har utviklet en tomt med gnr 50 bnr 44 i Namsskogan kommune (Tunnsjødalveien 178, 7892 Trones, Norge, heretter omtalt som "**Eiendommen**"). På Eiendommen er det tilgang til nødvendig nettkapasitet på inntil 40 MW for drift av datasentervirksomhet. I henhold til en leie- og overføringsavtale mellom Exanorth og Leietaker ("**Overføringsavtalen**"), datert 13. april 2024, gis Leietaker en rett til å leie et avgrenset areal av Eiendommen for drift av datasentervirksomhet på inntil 17 MW. Denne Avtalen inngås for å formalisere betingelsene for leieforholdet. Avtalen trer i kraft og partenes rettigheter og forpliktelser i henhold til Avtalen tar til å gjelde fra gjennomføring av gjennomføring av Overføringsavtalen.  | &nbsp;&nbsp;**1 BACKGROUND**<br>Exanorth has developed a property with land no 50 title no 44 in Namsskogan municipality (Tunnsjødalveien 178, 7892 Trones, Norway, hereinafter referred to as the "**Property**"). On the Property, there is access to necessary grid capacity of up to 40 MW for the operation of data center business. According to a lease transfer and governance agreement between Exanorth and the Lessee (the "**LTGA** "), dated 13 April 2024, the Lessee is granted a right to lease a delimited area of the Property for the operation of data center business of up to 17 MW. This Agreement is entered into to formalize the terms of the lease. The Agreement enters into force and the parties' rights and obligations pursuant to the Agreements are effective as of closing of the LTGA.  |
| &nbsp;&nbsp;**2 LEIEOBJEKT**<br>Det areal Leietaker leier består av den del av Eiendommen som inntegnet på kart inntatt som <u>Bilag 1</u> ("**Leiearealet**").<br>Leiearealet skal benyttes til drift av Leietakers datasentervirksomhet, noe som innebærer at Leietaker både vil forestå drift av egen datakapasitet og eget datautstyr og at Leietaker vil levere såkalte vertstjenester (*En:* "hosting services") til tredjeparter.  | &nbsp;&nbsp;**2 THE LEASE OBJECT**<br>The area the Lessee leases consists of the part of the Property as outlined on the map included as <u>Appendix 1</u> (the "**Leased Area**"). The Leased Area shall be used for the operation of the Lessee's data center business, which means that the Lessee will both operate its own data capacity and own data equipment and that the Lessee will provide so-called hosting services to third parties.  |
| &nbsp;&nbsp;**3 LEIESUM MV**<br>Leietaker skal betale USD 120 000 (eksklusive mva) i leie per år for leien av Leiearealet.<br>Leien forfaller til betaling 15. mai hver år, første gang 15. mai 2024. Exanorth utsteder faktura til Leietaker med slikt innhold som er påkrevd i henhold til gjeldende regelverk, og med opplysninger om Exanorths kontonummer for betaling av leien.  | &nbsp;&nbsp;**3 RENT ETC.**<br>The Lessee shall pay USD 120,000 (exclusive of VAT) in rent per year for the lease of the Leased Area.<br>The rent is due for payment May 15 each year, the first time May 15, 2024. Exanorth issues an invoice to the Lessee with such content as is required in accordance with applicable regulations, and with information about Exanorth's account number for payment of the rent.  |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**4 MERVERDIAVGIFT**<br>Dersom Leietaker er eller blir registrert i Merverdiavgiftsregisteret og skal bruke hele eller deler av Leiearealet i den registrerte virksomheten, skal Leiearealet helt eller delvis omfattes av Utleiers frivillige registrering i Merverdiavgiftsregisteret og Leietaker innestår for at vilkårene for at Leiearealet skal omfattes av Utleieres frivillige registrering er oppfylt fra tidspunktet Leietaker gir melding til Utleier om at vilkårene for registrering er oppfylt og ut Leieperioden. Utleier vil i et slikt tilfelle ha rett til å legge merverdiavgift med den til enhver tid gjeldende sats på leien for de deler av Leiearealet som omfattes av Utleiers frivillige registrering og eventuelle andre kostnader knyttet til arealer som skal omfattes av Utleiers frivillige registrering.<br>Leietaker skal umiddelbart gi Utleier opplysninger om forhold som kan medføre en endring i den avgiftsmessige status til hele eller deler av Leiearealet. Leietaker skal også innen 14 dager<br>Skriftlig besvare Utleiers årlige leietakererklæringer om Leietakers bruk av Leiearealet gjennom året og bygningsmessige tiltak foretatt på Leiearealet av Leietaker.<br>Leietaker skal holde Utleier skadesløs for ethvert tap Utleier måtte bli påført, herunder redusert fradragsrett og tilbakeføring/justering av fradragsført inngående merverdiavgift samt renter, tilleggsskatt og øvrige kostnader forbundet med slikt tap, som følge av regelendringer for Leietakers bruk/virksomhet eller Leietakers bruksendring, fremleie, selskapsmessige/organisatorisk endringer, formelle mangler eller forsømmelser o.l. Ved beregningen av Utleiers tap skal det tas hensyn til skattemessige konsekvenser for Utleier.<br>Eventuelle krav knyttet til merverdiavgift forfaller til betaling ved påkrav. Krav som følge av Utleiers plikt til tilbakeføring/nedjustering av fradragsført inngående merverdiavgift forfaller imidlertid til betaling tidligst 14 dager før forfall for Utleiers betalingsplikt til staten.  | &nbsp;&nbsp;**4 VALUE ADDED TAX (VAT)**<br>If the Lessee is or becomes registered for Norwegian VAT and shall use the Leased Area or parts thereof in its VAT liable business, the Leased Area or parts thereof shall be included in the Lessor's voluntary registration in the VAT Register and the Lessee warrants that the conditions for including the Leased Area or parts thereof in the Lessor's voluntary VAT registration are met from the time of notification regarding the conditions for registration are met and throughout the Lease Term. The Lessor shall in such case be entitled to add VAT at the rate applicable at any given time to the rent for the parts of the Leased Area that are comprised by the Lessor's voluntary VAT registration and any other costs relating to any areas that are to be included in the Lessor's voluntary VAT registration.<br>The Lessee shall immediately inform the Lessor of any circumstances that may result in changes to the VAT status of all or part of the Leased Area. The Lessee shall also within 14 days complete in writing the Lessor's annual lessee declarations concerning the Lessee's use of the Leased Area during the year and any building works carried out on the Leased Area by the Lessee.<br>The Lessee shall indemnify the Lessor in respect of any loss that may be incurred by the Lessor, including any reduced right of deduction and any reversal/adjustment of deducted input VAT, as well as any interest, penalty tax and other costs associated with such loss, as the result of changes to rules governing the use/activities of the Lessee or changes to such use on the part of the Lessee, subleases, corporate/organisational changes, formal deficiencies or omissions, etc. In calculating the amount of the Lessor's loss, any tax implications on the part of the Lessor shall be taken into account.<br>Any claim related to VAT shall fall due for payment upon demand. However, any claim as the result of the Lessor's obligation to reverse/adjust deducted input VAT shall fall due for payment no earlier than 14 days before the due date for the Lessor's payment obligation via-à-vis the State.  |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**5 LEIETID**<br>Leieforholdet løper i 15 år fra tidspunktet for gjennomføring av Overføringsavtalen som nevnt i punkt 1 ovenfor. Avtalen kan ikke sies opp i leietiden, med mindre det skjer i forbindelse med utøvelse av slik forkjøpsrett som nevnt nedenfor.  | &nbsp;&nbsp;**5 THE LEASE PERIOD**<br>The lease shall have a duration of 15 years from closing of the Purchase Agreement as mentioned in Clause 1 above. The Agreement cannot be terminated during the lease term, unless in connection with the exercise of such right of first refusal as detailed below.  |
| &nbsp;&nbsp;**6 OVERDRAGELSE**<br>Leietaker kan overdra eller overføre Avtalen uten Exanorths samtykke og/eller fremleie Leiearealet (på slike vilkår som Leietaker anser hensiktsmessig) til tredjeparter: (i) hvis det skjer sammen med overdragelse av de øvrige rettigheter og forpliktelser som Leietaker har i tilknytning til sin bruk av Leiearealet; eller (ii) ellers hvis den overtakende tredjepart i det vesentlige viderefører samme virksomhet som Leietaker. De rettigheter og plikter som er tillagt Leietaker går ved slik overdragelse over til Leietakers rettsetterfølger, overtakende tredjepart eller fremleietaker.<br>Ved et Kontrollskifte skal denne Avtalen og/eller partenes rettigheter i henhold til denne (og/eller rettighetene til tredjeparter som har fått slike rettigheter i henhold til første ledd ovenfor), uavhengig av hva som måtte følge av Avtalen for øvrig, og så langt det ikke strider med regler som gjelder for Avtalen, fortsette å gjelde fullt ut på samme måte som før Kontrollskiftet.<br>I dette punkt 5 skal "Kontrollskifte" bety endring av bestemmende innflytelse i henhold til aksjeloven § 1-3 (2).<br>| &nbsp;&nbsp;**6 TRANSFER**<br>The Lessee may transfer or assign the Agreement without Exanorth's consent and/or sublease the Leased Area (on any terms it deems appropriate) to any third party: (i) if it occurs together with the transfer of the other rights and obligations that the Lessee has in connection with its use of the Leased Area; or (ii) otherwise, when the incoming third party is an entity which continues same or substantial same business as the Lessee. The rights and obligations attributed to the Lessee are transferred to the Lessee's legal successor, transferee, assignee or a sublessee in such a transfer.<br>Notwithstanding anything contrary stated herein, to the extent permitted by the laws applicable to this Agreement, in the event of Change of Control of either party, this Agreement and/or rights of either party (and/or the rights of any third party which received such rights pursuant to the first paragraph above) shall survive and continue in full force in the same manner as existing before the Change of Control.<br>For the purposes of this clause 5, the "Change of Control" shall mean the change of decisive influence as defined in the Limited Liability Companies Act section 1-3 second paragraph.  |
| &nbsp;&nbsp;**7 FORKJØPSRETTER**<br>Dersom Exanorth vil selge eller på annen måte disponere over hele eller deler av Eiendommen til fordel for en tredjepart, har Leietaker forkjøpsrett til å kjøpe Leiearealet eller hele eller relevante deler av Eiendommen (inkludert Leiearealet).<br>Dersom Leietaker vil overdra sin leierett etter denne Avtalen (med tilhørende rett til tilgang på nett og kraft i henhold til Overføringsavtalen med vedlegg) til en tredjepart, eller foreta et Kontrollskrifte i Leietaker, har Exanorth forkjøpsrett til å tre inn i Leietakers posisjon under denne Avtalen på de samme vilkår.<br>Dersom en av partene (den "**Utløsende Part**") beslutte å gjennomføre en slik disposisjon som nevnt i avsnittene over (og dermed utløse den andre partens (den "**Andre Part**") forkjøpsrett), skal den Utløsende Part gi den Andre Part et detaljert varsel med beskrivelse av den påtenkte disposisjonen, herunder påtenkt pris og vilkår for øvrig ("**Vilkårene**"). Den Andre Part skal ha en periode på 30 dager til å gjøre seg kjent med Vilkårene og skal ha ytterligere 30 dager til å beslutte om forkjøpsretten utøves eller ikke. Hvis den Andre Part avslår kan den Utløsende Part iverksette og gjennomføre den påtenkte disposisjonen på slike vilkår (identisk med Vilkårene), likevel slik at den Andre Parts forkjøpsrett fortsatt skal gjelde til fordel for den Andre Part dersom vilkårene til den aktuelle tredjeparten endres eller hvis disposisjonen ikke gjennomføres innen 180 dager etter varselet fra den Utløsende Part.<br>| &nbsp;&nbsp;**7 RIGHTS OF FIRST REFUSAL**<br>If Exanorth wishes to sell or otherwise dispose of all or parts of the Property in favor of a third party, the Lessee has a right of first refusal to purchase the Leased Area or the entire or relevant parts of the Property (including the Leased Area).<br>If the Lessee transfers its right to lease (with the appurtenant access to grid capacity and power pursuant to the LTGA with appendices) to a third party, or carries out a Change of Control in the Lessee, Exanorth has a right of first refusal to step in to the Lessee's position under this Agreement at the same terms.<br>Should one of the parties (the "**Triggering Party**") determine to carry out such disposition as set out in the paragraphs above (and thereby trigger the other party's (the "**Other Party**") right of first refusal), the Triggering Party shall give the Other Party detailed notice of the nature and description of the contemplated disposal and its intended price and terms (the "**Terms**"). The Other Party shall have a period of 30 days to investigate the Terms and shall have a period of 30 days after such investigative period to determine whether it wishes to exercise its right of first refusal. In the event the Other Party declines then the Triggering Party may carry out and complete the contemplated disposition at such offered terms (identical to the Terms), however such that the Other Party's right of first refusal shall occur again to the benefit of the Other Party if the terms proposed to third parties change or if the disposition is not completed within 180 days of the Triggering Party's notice.  |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;**8 TINGLYSNING**<br>Leietaker kan tinglyse Avtalen på Eiendommen eller en fradelt festetomt eller grunneiendom av denne.<br>Exanorth samtykker med sin underskrift på Avtalen til slik tinglysing (og til pantsettelse av Avtalen), og gir samtidig nødvendig fullmakt til Leietaker til på Exanorths vegne å signere søknader om fradeling og rekvirering av oppmålingsforretning og til å signere øvrige søknader og skjemaer i tilknytning til andre offentligrettslige regelverk som er nødvendig for tinglysningen av Avtalen.<br>Leietaker dekker de kostnader som påløper i forbindelse med eventuell tinglysing.  | &nbsp;&nbsp;**8 REGISTRATION**<br>The Lessee may register the Agreement on the Property or a partitioned leasehold plot or property from this.<br>By signing the Agreement, Exanorth consents to such registration (and to the pledging of the Agreement), and at the same time gives the Lessee the necessary power of attorney on behalf of Exanorth to sign applications for partitioning and requisition of mapping proceedings and to sign other applications and forms in connection with other public law regulations necessary for the registration of the Agreement.<br>The Lessee covers the costs incurred in connection with any registration.  |
| &nbsp;&nbsp;\* \* \*<br>Avtalen er utstedt i to eksemplarer, hvor partene har mottatt hvert sitt.  | &nbsp;&nbsp;\* \* \*<br>The Agreement is issued in two copies, each party having received their own.  |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;Oslo, 13 April 2024 | &nbsp;&nbsp;Oslo, 13 April 2024 |
| &nbsp;&nbsp;**Exanorth AS** | &nbsp;&nbsp;**Sowrer AS** |
| &nbsp;&nbsp;_________________________________<br> Mohammed Salah S Bakhashwain<br> Styreleder/chairperson | &nbsp;&nbsp;_________________________________<br> Michele Di Minno<br> Styremedlem/Board Director |

---

**LEASE TRANSFER AND GOVERNANCE AGREEMENT**

between

**Exanorth AS**

(as Landlord)

And

**Sowrer AS**

(as Lessee)

**13 April 2024**

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| **1 BACKGROUND** | **10** |
| **2 DEFINITIONS** | **10** |
| **3 THE TRANSACTION** | **12** |
| &nbsp;&nbsp;&nbsp;3.1 Completion of the Agreement | 12 |
| &nbsp;&nbsp;&nbsp;3.2 Transfer of the Assigned Agreement | 12 |
| **4 CONSIDERATION** | **12** |
| **5 CUT-OFF DATE** | **13** |
| **6 CONDITIONS PRECEDENT TO CLOSING** | **13** |
| &nbsp;&nbsp;&nbsp;6.1 The Lessee's Conditions to Closing | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.1. Deployment of the Equipment | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.2. Access to Data Center | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.3. Third Party Consent to the Transfer of The Assigned Agreement | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.4. Truth of Warranties | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.5. Performance of Agreement | 14 |
| &nbsp;&nbsp;&nbsp;6.2 The Landlord's Conditions to Closing | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2.1. Deployment of the Equipment | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2.2. Truth of Warranties | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2.3. Performance of Agreement | 14 |
| &nbsp;&nbsp;&nbsp;6.3 Termination of Original Agreement | 14 |
| &nbsp;&nbsp;&nbsp;6.4 The Landlord's Outstanding Debt | 14 |
| **7 CLOSING** | **15** |
| &nbsp;&nbsp;&nbsp;7.1 Time and Place | 15 |
| &nbsp;&nbsp;&nbsp;7.2 The Landlord's Closing Obligations | 15 |
| &nbsp;&nbsp;&nbsp;7.3 The Lessee's Closing Obligations | 15 |
| &nbsp;&nbsp;&nbsp;7.4 Post-Closing Obligations | 15 |
| **8 OTHER AGREEMENTS** | **16** |
| &nbsp;&nbsp;&nbsp;8.1 Conduct of Business between Signing and Closing | 16 |
| &nbsp;&nbsp;&nbsp;8.2 Undertaking to Consult and Cooperate | 16 |
| &nbsp;&nbsp;&nbsp;8.3 Undertaking to Contribute | 16 |
| &nbsp;&nbsp;&nbsp;8.4 Notices, Filings etc. | 16 |
| **9 WARRANTIES OF THE LANDLORD** | **17** |
| &nbsp;&nbsp;&nbsp;9.1 Organisation | 17 |
| &nbsp;&nbsp;&nbsp;9.2 Power and Authority | 17 |
| &nbsp;&nbsp;&nbsp;9.3 No Conflict | 17 |
| &nbsp;&nbsp;&nbsp;9.4 Consents and Approvals | 17 |
| &nbsp;&nbsp;&nbsp;9.5 The Business | 17 |
| &nbsp;&nbsp;&nbsp;9.6 The Assigned Agreement | 17 |
| &nbsp;&nbsp;&nbsp;9.7 Disclosed information | 18 |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;9.8 No Other Warranties | 18 |
| **10 WARRANTIES OF THE LESSEE** | **18** |
| &nbsp;&nbsp;&nbsp;10.1 Organisation | 18 |
| &nbsp;&nbsp;&nbsp;10.2 Power and Authority | 18 |
| &nbsp;&nbsp;&nbsp;10.3 No Conflict | 18 |
| &nbsp;&nbsp;&nbsp;10.4 Financing | 18 |
| &nbsp;&nbsp;&nbsp;10.5 Consents and Approvals | 18 |
| &nbsp;&nbsp;&nbsp;10.6 No Other Warranties | 18 |
| **11 COMPENSATION** | **19** |
| &nbsp;&nbsp;&nbsp;11.1 General | 19 |
| &nbsp;&nbsp;&nbsp;11.2 Matters Disclosed | 19 |
| &nbsp;&nbsp;&nbsp;11.3 Financial Limits | 19 |
| &nbsp;&nbsp;&nbsp;11.4 Time Limits | 19 |
| &nbsp;&nbsp;&nbsp;11.5 Right to Remedy | 19 |
| &nbsp;&nbsp;&nbsp;11.6 Related Benefits | 19 |
| &nbsp;&nbsp;&nbsp;11.7 Contingent Liabilities | 19 |
| &nbsp;&nbsp;&nbsp;11.8 Changes in Law etc. | 20 |
| &nbsp;&nbsp;&nbsp;11.9 Covered Losses | 20 |
| &nbsp;&nbsp;&nbsp;11.10 Acts of the Lessee; Mitigation | 20 |
| &nbsp;&nbsp;&nbsp;11.11 Compensation Procedure with Respect to Third Party Claims | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.11.1. Notice of Third Party Claim | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.11.2. Right to Participate | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.11.3. Cooperation | 20 |
| &nbsp;&nbsp;&nbsp;11.12 Exclusions | 21 |
| **12 INDEMNITY** | **21** |
| &nbsp;&nbsp;&nbsp;12.1 Lessee Indemnity | 21 |
| &nbsp;&nbsp;&nbsp;12.2 Landlord Indemnity | 21 |
| &nbsp;&nbsp;&nbsp;12.3 Wrong Pocket Assets or Liabilities | 21 |
| **13 TERMINATION** | **21** |
| &nbsp;&nbsp;&nbsp;13.1 Termination | 21 |
| &nbsp;&nbsp;&nbsp;13.2 Rights on Termination | 21 |
| **14 CONFIDENTIALITY** | **22** |
| **15 ADDITIONAL COVENANTS** | **22** |
| &nbsp;&nbsp;&nbsp;15.1 Landlord's Call Option and Right of Termination | 22 |
| &nbsp;&nbsp;&nbsp;15.2 Further assurances | 22 |
| **16 MISCELLANEOUS** | **23** |
| &nbsp;&nbsp;&nbsp;16.1 Assignment | 23 |
| &nbsp;&nbsp;&nbsp;16.2 No Right of Rescission, Termination or Reversal after Closing | 23 |
| &nbsp;&nbsp;&nbsp;16.3 Sole Remedies | 23 |
| &nbsp;&nbsp;&nbsp;16.4 Costs and Expenses | 23 |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;16.5 Public Announcement | 23 |
| &nbsp;&nbsp;&nbsp;16.6 Notices | 23 |
| &nbsp;&nbsp;&nbsp;16.7 Counterparts | 23 |
| &nbsp;&nbsp;&nbsp;16.8 Severability | 24 |
| &nbsp;&nbsp;&nbsp;16.9 Entire Agreement | 24 |
| &nbsp;&nbsp;&nbsp;16.10 Governing Law | 24 |
| &nbsp;&nbsp;&nbsp;16.11 Dispute Resolution | 24 |
| **1 BACKGROUND AND PURPOSE** | **2** |
| **2 MAIN TERMS – PASS THROUGH OF GRID CAPACITY AND POWER SUPPLY** | **2** |
| **3 GRID CONNECTION POINT** | **3** |
| **4 SPECIAL TERMS** | **3** |
| &nbsp;&nbsp;&nbsp;4.1 General | 3 |
| &nbsp;&nbsp;&nbsp;4.2 Quality of electricity supply | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.1. Applicable regulations | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.2. capacity | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.3. Mitigation measures | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.4. Notice | 5 |
| **5 GENERAL TERMS** | **5** |
| **6 SERVICES** | **5** |
| **7 DURATION AND TERMINATION** | **6** |
| **8 CHANGES IN LAW** | **6** |
| **9 LIABILITY** | **6** |
| **10 DEFAULT** | **7** |
| **11 CONFIDENTIALITY** | **7** |
| **12 COMMUNICATION** | **7** |
| **13 ASSIGNMENT** | **8** |
| **14 GOVERNING LAW AND DISPUTE RESOLUTION** | **8** |

---

**LIST OF APPENDICES**

---

| | |
|:---|:---|
| Appendix 1 | Original Agreements |
| Appendix 2k) | COWA Infrastructure |
| Appendix 2r) | Grid Connection and Power Supply Agreement |
| Appendix 2v) | Lease Agreement |

---

**THIS LEASE TRANSFER AND GOVERNANCE AGREEMENT** (the "**Agreement**") is entered into on the date stated on first page of this Agreement by and between:

&nbsp;&nbsp;&nbsp;&nbsp;(1) Exanorth
 AS, a Norwegian private limited company with business registration number 921 677 421
 and registered address at c/o VIEW Ledger AS, Rigedalen 54626 Kristiansand S, Norway
 (the "Landlord"); and

&nbsp;&nbsp;&nbsp;&nbsp;(2) Sowrer
 AS, a Norwegian incorporated limited company with business registration number 927 234
 475 and registered address at c/o Kvale Advokatfirma DA, Haakon VIIs gate 10, 0161 Oslo,
 Norway (the "Lessee").

The Landlord and the Lessee are in the following jointly referred to as the "Parties" and a "Party" is any one of them.

1 BACKGROUND

&nbsp;&nbsp;&nbsp;&nbsp;(i) The
 Landlord operates a hosting site in Tunnsjødalsveien 178, 7892 Trones, Norway,
 with a maximum capacity of 40 MW (the "**Data Centre** "). Pursuant to a
 hosting and maintenance services agreement dated 16 September 2022 (as amended)
 as well as other related agreements, a full list of which are attached to this Agreement
 as <u>Appendix 1</u> (collectively, the "**Original Agreements** "), the
 Lessee (directly or through Affiliates) has deployed mining equipment with an initial
 installed capacity of 14 MW in the Data Centre, and is in the process of deploying equipment
 with an additional 1 MW of installed capacity (the "**Equipment** "). Pursuant
 to the Original Agreements, the Data Centre hosts mining containers for a total of 15MW,
 all of which are owned by the Lessee or its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;(ii) In
 addition to the Equipment, the Landlord hosts 2 MW of Arcane Green Data Services'
 ()"**Arcane**") servers pursuant to a hosting agreement dated 10 June 2022
 (the "**Assigned Agreement** ").

&nbsp;&nbsp;&nbsp;&nbsp;(iii) By
 entering into this Agreement, the Lessee will assume such rights, contracts and/or assets
 to (i) acquire power access rights and secure connection to 17 MW of the Data Centre
 power allocation, (ii) continue to own and directly operate the Equipment in a separate
 area of the Data Centre site, (iii) a 15-year lease for a 17 MW plot in the Data Centre
 site, (iv) continue to benefit from the 8 MW power purchasing agreement contracted by
 the Landlord with Fortum Strøm, and (v) replace the relevant party in the Assigned
 Agreement as the "Host", and for the foregoing purposes will have control over
 a corresponding area of the Data Centre site.

&nbsp;&nbsp;&nbsp;&nbsp;(iv) On
 the date of this Agreement, the Parties also enter into the Lease Agreement and the Grid
 Connection and Power Supply Agreement (both as defined below), attached hereto in <u>Appendix 2v</u> and <u>Appendix 2r</u>, respectively, which will become effective as from the
 Closing.

2 DEFINITIONS

When used in this Agreement, the following terms shall have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;a) **Affiliate** means, with respect to any Person, from time to time, any other Person directly or
 indirectly controlling, controlled by or being under common control with, that first-mentioned
 Person, where "control" means (i) direct or indirect ownership of more than
 50% of the equity securities or votes of such Person, (ii) the right to appoint or remove
 more than 50% of the members of the board of directors (or similar governing body) of
 such Person or (iii) the right to manage, on a discretionary basis, such Person (and
 the terms controlling and controlled shall have correlating meanings);

&nbsp;&nbsp;&nbsp;&nbsp;b) **Agreement** means this agreement, including the appendices attached hereto;

&nbsp;&nbsp;&nbsp;&nbsp;c) **Arcane** has the meaning ascribed to such term in clause 1(ii) of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;d) **Assigned Agreement** has the meaning ascribed to such term in clause 1(ii) of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;e) **Business** means the business related to the assets and agreements subject to this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;f) **Business Day** means any day on which banks are open for business in Norway and the Cayman Islands;

&nbsp;&nbsp;&nbsp;&nbsp;g) **Closing** means the completion of the deliverables pursuant to this Agreement by the performance
 by the Parties of their respective obligations under clause 7 (Closing);

&nbsp;&nbsp;&nbsp;&nbsp;h) **Closing Date** means the date when Closing takes place;

&nbsp;&nbsp;&nbsp;&nbsp;i) **Confidential Information** has the meaning ascribed to such term in clause 14 (Confidentiality);

&nbsp;&nbsp;&nbsp;&nbsp;j) **Consideration** has the meaning ascribed to such term in clause 4 (Consideration);

&nbsp;&nbsp;&nbsp;&nbsp;k) **COWA Infrastructure** means the assets detailed in <u>Appendix 2k);</u> 

&nbsp;&nbsp;&nbsp;&nbsp;l) **Data Centre** has the meaning ascribed to such term in clause 1(i) of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;m) **Disclosed** means fairly disclosed in writing, with sufficient details to identify the nature
 and scope of the matter disclosed by or on behalf of the Landlord to the Lessee prior
 to the signing of this Agreement during the negotiation and due diligence process. Oral
 disclosures, or information merely available or accessible but not specifically presented
 to the Lessee, shall not be considered as "Disclosed" under the terms of this
 Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;n) **Encumbrances** means any mortgage, charge, pledge, lien, option or other encumbrance or restriction
 on the use of any asset;

&nbsp;&nbsp;&nbsp;&nbsp;o) **Equipment** has the meaning ascribed to such term in clause 1(i) of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;p) **Fundamental** Warranties means the warranties set out in clauses 9.1 to and including 9.4 and 9.5a);

&nbsp;&nbsp;&nbsp;&nbsp;q) **Governmental Body** means any government or governmental authority of any nature, any multinational
 organisation or body, or any body exercising or entitled to exercise any administrative,
 executive, judicial, legislative, police, regulatory or Tax authority or power of any
 nature;

&nbsp;&nbsp;&nbsp;&nbsp;r) **Grid Connection and Power Supply Agreement** means the agreement entered into between the
 Parties, as attached in Appendix 2r);

&nbsp;&nbsp;&nbsp;&nbsp;s) **Landlord** has the meaning ascribed to such term in the introductory part of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;t) **Landlord's Bank Account** means the bank account in the name of the Landlord to be notified by
 the Landlord to the Lessee no later than 3 Business Days prior to Closing;

&nbsp;&nbsp;&nbsp;&nbsp;u) **Landlord's Knowledge** means the actual knowledge of Frank Aadnevik and Mohammed Bakhashwain;

&nbsp;&nbsp;&nbsp;&nbsp;v) **Lease Agreement** means the lease agreement entered into between the Parties, as attached
 in Appendix 2v);

&nbsp;&nbsp;&nbsp;&nbsp;w) **Lessee** has the meaning ascribed to such term in the introductory part of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;x) **Loss** has the meaning ascribed to such term in clause 9.1;

&nbsp;&nbsp;&nbsp;&nbsp;y) **Organisational Documents** means the articles of association, the certificate of incorporation or
 any similar constitutional documents of a company;

&nbsp;&nbsp;&nbsp;&nbsp;z) **Original Agreements** has the meaning ascribed to such term in clause 1(i) of this Agreement;

---

| | |
|:---|:---|
| aa) | **Original Lease** Agreement has the meaning ascribed to such term in Appendix 1 to this Agreement |

---

---

| | |
|:---|:---|
| bb) | **Parties** means the Landlord and the Lessee taken together and a "Party" is any one of them; |

---

cc) **Person** means any natural or legal person of any kind, including without limitation any joint venture, partnership and co-ownership;

dd) **Surviving Obligations** has the meaning ascribed to such term in clause 13.2a);

---

| | |
|:---|:---|
| ee) | **Tax** means any taxes and duties, including without limitation income taxes, corporate taxes, capital gains taxes, payroll taxes, VAT, labour market and other social contribution taxes and/or duties, withholding taxes, real estate taxes, customs and excise duties and any other taxes and duties; |

---

---

| | |
|:---|:---|
| ff) | **Third Party Claim** means any claim by a third party relating to the Business which is or may be subject to a claim for compensation pursuant to clause 11.11; |

---

---

| | |
|:---|:---|
| gg) | **USD** means US dollars, the currency of the United States of America; and |

---

---

| | |
|:---|:---|
| hh) | **VAT Act** means the Norwegian Value Added Tax Act of 19 June 2009 no. 58. |

---

3 THE TRANSACTION

3.1 Completion
of the Agreement

Subject to clause 6 and the terms and conditions set out in this Agreement, the Parties agree to take such actions as set out herein on the Closing Date.

3.2 Transfer
of the Assigned Agreement

&nbsp;&nbsp;&nbsp;&nbsp;a) To
 the extent necessary consents have been obtained from the Landlord's contracting parties
 under the Assigned Agreement, the Landlord's rights and obligations under the Assigned
 Agreement shall, with effect from Closing, be assigned to the Lessee.

&nbsp;&nbsp;&nbsp;&nbsp;b) The
 Landlord shall obtain any consent of any third party required for the assignment of the
 Assigned Agreement to the Lessee (provided that this shall not include the payment of
 any money by the Landlord or the consent to any material amendment to the terms and conditions
 of the Assigned Agreement) and the Lessee shall provide its reasonable assistance in
 this respect.

4 CONSIDERATION

&nbsp;&nbsp;&nbsp;&nbsp;a) In
 consideration for the transfer of the Business, i.e. in particular the termination and
 restructuring of the Original Agreements and inducement for the Parties to enter into
 the 15 year lease agreement, the Lessee shall make the following payments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) pay
 a cash amount of USD 1,000,000 to the Landlord's Bank Account on the date of this Agreement;

ii) pay a cash amount of USD 3,500,000 to the Landlord's Bank Account at the Closing Date;

iii) pay a cash amount of USD 3,500,000 (together with the cash amounts in (i) and (ii), the "**Consideration**") to the Landlord's Bank Account on 31 May 2024; and

iv) assume the recurring payment obligations as stipulated in the Lease Agreement and the Grid Connection and Power Supply Agreement (collectively referred to as the "**Ongoing Payment Obligations**").

&nbsp;&nbsp;&nbsp;&nbsp;b) It
 is hereby agreed that the aggregate of the Consideration and the assumption of the Ongoing
 Payment Obligations constitutes the complete and exclusive financial consideration for
 all rights, titles, and interests acquired by the Lessee under the terms of this Agreement
 and the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;c) The
 USD 1,000,000 paid at the date of this Agreement shall be considered a non-refundable
 pre-payment at the Lessee's risk if the Closing does not occur and this is due to a failure
 of the Lessee to take any action required to be taken by it to fulfil the conditions
 precedent to Closing. If the Lessee fails to pay the USD 3,500,000 payable on 31 May 2024,
 the Grid Connection and Power Supply Agreement will be adjusted in accordance with the
 terms set out therein.

&nbsp;&nbsp;&nbsp;&nbsp;d) Each
 of the Parties is liable for its own Tax and VAT which payable as a result of the transactions
 contemplated under this Agreement and no additional payments shall be made by any Party
 to the other as a result of any Tax or VAT payable by the other Party.

5 CUT-OFF DATE

The Landlord is entitled to all revenues and liable for all costs pertaining to the Business up until the Closing, including liabilities arising after the Closing if arising as a result of events prior to the Closing Date, while the Lessee is entitled to all revenues and liable for all costs pertaining to the Business after the Closing.

6 CONDITIONS PRECEDENT TO CLOSING

6.1 The
Lessee's Conditions to Closing

The Lessee's obligation to acquire the rights and obligations relating to the Business and take the other actions required to be taken by it at Closing is subject to the satisfaction of each of the following conditions (any of which may be waived by the Lessee in whole or in part) on or before the Closing Date:

6.1.1. Deployment
of the Equipment

The Equipment shall be fully (i.e. a total of 15 MVW) deployed, connected to power, energized in the Data Centre, and connected to the Lessee's pools, with all relevant agreements, letters, notifications or other documents in connection with the deployment (as maybe necessary) to be signed in the form reasonably acceptable to the Lessee.

6.1.2. Access
to Data Center

Representatives of the Lessee (or its Affiliates) shall be granted access to the Data Centre for at least twenty-four (24) hours to perform technical checks on the Data Centre, including without limitation, mining equipment and electrical infrastructure, and the results of such check shall be to the reasonable satisfaction of the Lessee.

6.1.3. Third
Party Consent to the Transfer of The Assigned Agreement

The Landlord shall obtain, and provide evidence of, all necessary notices, consents, and licenses required by third parties to effectuate the full and effective assignment of the Assigned Agreement to the Lessee.

6.1.4. Truth
of Warranties

The warranties of the Landlord set forth in clause 9 (Warranties of the Landlord) shall be true and correct in all respects material to the transactions contemplated by this Agreement on the Closing Date.

6.1.5. Performance
of Agreement

The Landlord shall in all respects material to the transactions contemplated by this Agreement have performed or complied with all of its obligations pursuant to this Agreement to be performed or complied with by the Landlord on or before the Closing Date including making all the closing deliveries set out in clause 7.2.

6.2 The
Landlord's Conditions to Closing

The Landlord's obligation to transfer the rights and obligations relating to the Business and take the other actions required to be taken by it at Closing is subject to the satisfaction of each of the following conditions (any of which may be waived by the Landlord in whole or in part) on or before the Closing Date:

6.2.1. Deployment
of the Equipment

The Equipment shall be fully (i.e. a total of 15 MVW) deployed, connected to power, energized in the Data Centre, and connected to the Lesse's pools, with all relevant agreements, letters, notifications or other documents in connection with the deployment (as may be necessary) to be signed in the form reasonably acceptable to the Landlord.

6.2.2. Truth
of Warranties

The warranties of the Lessee contained in clause 10 (Warranties of the Lessee) shall be true and correct in all respects material to the transactions contemplated by this Agreement on the Closing Date.

6.2.3. Performance
of Agreement

The Lessee shall in all respects material to the transactions contemplated by this Agreement have performed or complied with all of its obligations pursuant to this Agreement to be performed or complied with by the Lessee on or before the Closing Date, including making all the closing deliveries set out in clause 7.3.

6.3 Termination
of Original Agreements

Upon completion of the Closing, the Original Agreements shall automatically terminate. The termination requires no additional notice and entails no obligation for compensation from any Party or their Affiliates. Further, all legal entitlements, rights, or claims under the Original Agreements shall simultaneously cease to exist, with no compensation. Consequently, any options, rights, or entitlements the Landlord possesses in relation to the COWA Infrastructure under the Original Lease Agreement will also cease to exist, with no compensation due, and full rights of ownership and use will remain vested with the Lessee. Until Closing, the Landlord and its Affiliates shall continue to provide all necessary maintenance service in connection with the area leased under the Original Lease Agreement.

6.4 The
Landlord's Outstanding Debt

Notwithstanding clause 6.3, the Landlord shall, with effect from Closing, have a payment obligation to Lessee or its Affiliates as envisioned under the Original Lease Agreement for downpayment of transformers 6 x 3,2 MW with kiosk and 15 x BitBox containers, in the form of monthly payments of USD 27,777.80 (excl. VAT) for a period of thirty-six (36) months, i.e. a total of USD 1,000,000 (excl. VAT), starting from 30 April 2024 with final payment due by no later than 30 April 2027.

---

| | |
|:---|:---|
| 7 | CLOSING |

---

7.1 Time
and Place

&nbsp;&nbsp;&nbsp;&nbsp;a) Closing
 shall take place electronically at 09:00 hours Oslo time on 30 April 2023 or,
 if the conditions set forth in clause 6 (Conditions Precedent to Closing) above have
 not been satisfied or waived (other than conditions to be satisfied at Closing, but subject
 to the satisfaction or waiver of those conditions at such time) at that time, within
 five (5) Business Days after satisfaction or waiver of the last of the conditions set
 forth in clause 6, or such other day as the Parties may jointly agree. If the conditions
 set forth in clause 6 are fulfilled on 30 April 2023, with the exception that
 the Lessee fails to make the payment set out in clause 7.3a), the Landlord has the right
 to terminate the Agreement instead of extending the Closing Date as set out above, in
 which case the USD 1,000,000 payment made by the Lessee will be non-refundable.

&nbsp;&nbsp;&nbsp;&nbsp;b) All
 measures taken in connection with the Closing, as described in clauses 7.2 (The Landlord's
 Closing Obligations) and 7.3 (The Lessee's Closing Obligations), shall be considered
 to have occurred simultaneously as part of a single transaction and no delivery will
 be considered to have been made until all such measures have been completed.

7.2 The
Landlord's Closing Obligations

At Closing, the Landlord shall:

&nbsp;&nbsp;&nbsp;&nbsp;a) deliver
 to the Lessee the Assigned Agreement duly assigned from the Landlord to the Lessee, and
 all requisite notices, consents and licences from third-party therefore which have been
 obtained before the Closing (if any) with a confirmation from all contractual parties
 that there are no defaults or overdue liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;b) deliver
 to the Lessee a certified copy of the resolution, in agreed form, of the resolutions
 adopted by the board of directors, and if applicable the shareholders, of the Landlord
 authorising the transactions contemplated by this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;c) deliver
 all other documents, instruments or evidences of satisfaction of conditions precedent
 pursuant to clause 6.1 (The Lessee's Conditions to Closing) required to be delivered
 by the Landlord, in form and substance reasonably satisfactory to the Lessee.

7.3 The
Lessee's Closing Obligations

At Closing, the Lessee shall, subject to compliance by the Landlord with clause 7.2:

&nbsp;&nbsp;&nbsp;&nbsp;a) pay
 the USD 3,500,000 of the Consideration to the Landlord by wire transfer of immediately
 available funds to the Landlord's Bank Account;

&nbsp;&nbsp;&nbsp;&nbsp;b) accept
 the assignment of the Assigned Agreement and all rights and obligations thereunder from
 effect of Closing; and

&nbsp;&nbsp;&nbsp;&nbsp;c) deliver
 all other documents, instruments or evidences of satisfaction of conditions precedent
 pursuant to clause 7.2 (The Landlord's Conditions to closing) required to be delivered
 by the Lessee, in form and substance reasonably satisfactory to the Landlord.

7.4 Post-Closing
Obligations

The Landlord shall promptly notify the Lessee of any claims, demands, actions, complaints and proceedings against the Landlord brought by any third party relating to the assets and agreements subject to this Agreement. The Landlord shall not, without the Lessee's prior written consent, take any other steps in relation to such claims which might reasonably be expected to damage the commercial interests of the Lessee.

8 OTHER AGREEMENTS

8.1 Conduct
of Business between Signing and Closing

From the date of this Agreement and until the Closing Date, except as permitted under this Agreement or approved in writing by the Lessee (such approval not to be unreasonably withheld), the Landlord shall:

&nbsp;&nbsp;&nbsp;&nbsp;a) conduct
 the Business diligently in the ordinary course and not discontinue or cease to operate
 any part of the Business;

&nbsp;&nbsp;&nbsp;&nbsp;b) refrain
 from (i) selling, transferring or otherwise disposing of any parts of the Business and
 (ii) creating, or agreeing to create, any Encumbrances over the Business;

&nbsp;&nbsp;&nbsp;&nbsp;c) refrain
 from making or accepting any changes to, or terminating, the Assigned Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;d) refrain
 from incurring any liabilities relating to the Business other than in the ordinary course
 of business.

To the extent permitted by law, the Landlord will immediately disclose to the Lessee in writing any matter of which it becomes aware between the date of the Agreement and Closing has or is likely to have an adverse impact on the Business as presently conducted, or on the financial or trading condition or prospects of the Business, including any claims, actual or threatened.

8.2 Undertaking
to Consult and Cooperate

To the extent permitted by law, the Landlord and the Lessee shall consult and cooperate in good faith in respect of any matter requiring the other's assistance under this Agreement and the Landlord shall procure that the Lessee shall be given upon reasonable request access to such information as the Lessee may reasonably require regarding the Business.

8.3 Undertaking
to Contribute

The Parties shall use all commercially reasonable efforts to cause the conditions precedent to Closing stated in clause 6 (Conditions Precedent to Closing) to be satisfied as promptly as practicable.

8.4 Notices,
Filings etc.

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Lessee shall as soon as reasonably practicable after the signing of this Agreement apply
 for the necessary clearances from any competent authority in respect of the transactions
 contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;b) The
 Lessee shall provide the relevant authorities with any additional information they may
 request in connection with such application.

&nbsp;&nbsp;&nbsp;&nbsp;c) The
 Lessee shall promptly inform the Landlord of, and copy the Landlord on, any material
 correspondence with the authorities, keep the Landlord informed about other material
 interactions with such authorities and discuss with the Landlord any objections raised
 by the authorities.

&nbsp;&nbsp;&nbsp;&nbsp;d) The
 Lessee shall bear all the costs associated with said applications and dealings with the
 relevant authorities.

&nbsp;&nbsp;&nbsp;&nbsp;e) The
 Landlord shall to the extent necessary and requested by the Lessee provide the Lessee
 with necessary information, assistance and support in connection with said applications.

9 WARRANTIES OF THE LANDLORD

The Landlord hereby warrants to the Lessee as of the date of this Agreement and as at the Closing Date as follows:

9.1 Organisation

The Landlord is a private limited company duly organised and validly existing under the laws of Norway and has all requisite power and authority to own its assets and to conduct its business in the manner in which it is presently being conducted.

9.2 Power
and Authority

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Landlord has the requisite corporate power and authority to sign and deliver this Agreement
 and to perform its obligations as set forth herein.

&nbsp;&nbsp;&nbsp;&nbsp;b) This
 Agreement has been duly authorised, executed and delivered by the Landlord and, assuming
 the due authorisation, execution and delivery by the Lessee, constitutes legal, valid
 and binding obligations of the Landlord enforceable against the Landlord in accordance
 with its terms.

9.3 No
Conflict

Neither the execution and delivery of this Agreement nor the consummation of any of the transactions contemplated hereby conflict with or violate (i) any provision of the Organisational Documents of the Landlord, or (ii) any order or judgment of any court or Governmental Body by which the Landlord is bound.

9.4 Consents
and Approvals

To the Landlord's Knowledge, no filing or registration with, no notice to and no permit, authorisation, consent or approval from, any Governmental Body is necessary for the execution and delivery by the Landlord of this Agreement and the consummation and performance of the transactions contemplated by this Agreement.

9.5 The
Business

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Landlord has full ownership or rights of use, as the case may be, of the Business, in
 each case free and clear of all Encumbrances.

&nbsp;&nbsp;&nbsp;&nbsp;b) To
 the best of the Landlord's Knowledge, the rights and obligations regulated pursuant to
 this Agreement comprise all the assets used in the Business and comprise all the rights
 and assets that are necessary for the continuation of the Business in the manner as it
 is presently conducted, and no such rights are shared with any other person.

&nbsp;&nbsp;&nbsp;&nbsp;c) The
 Business is not the subject of any claim, dispute or proceeding, whether actual, pending
 or threatened.

&nbsp;&nbsp;&nbsp;&nbsp;d) No
 capital goods (in Norwegian: "kapitalvarer") as defined in section 9.1 of the
 VAT Act are being transferred as part of this Agreement.

9.6 The
Assigned Agreement

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Assigned Agreement is legally binding, valid and enforceable in accordance with their
 terms.

&nbsp;&nbsp;&nbsp;&nbsp;b) The
 Assigned Agreement has not been terminated, nor has the Landlord received any notice
 of termination, modification or renegotiation in respect of the Assigned Agreement. No
 party has, to the best of the Landlord's Knowledge, the intention to terminate the Assigned
 Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;c) There
 is no breach by the Landlord of any of the Assigned Agreement and there is, to the best
 of the Landlord's Knowledge, no circumstances giving rise to any such breach.

&nbsp;&nbsp;&nbsp;&nbsp;d) The
 Assigned Agreement is not the subject of any claim, dispute or proceeding, whether actual,
 pending or threatened.

9.7 Disclosed
information

The information which has been Disclosed is in all material respects true and correct and, to the Landlord's Knowledge, no material information concerning the Business has been omitted from the information which has been Disclosed.

9.8 No
Other Warranties

The Lessee hereby acknowledges that it is not relying on any warranties other than the warranties of the Landlord specifically contained in this Agreement.

10 WARRANTIES OF THE LESSEE

The Lessee hereby warrants to the Landlord as follows as of the date of this Agreement and as of the Closing Date:

10.1 Organisation

The Lessee is a private limited company duly organised and validly existing under the laws of Norway and has all requisite power and authority to own its assets and to conduct its business in the manner in which it is presently being conducted.

10.2 Power
and Authority

The Lessee has the requisite corporate power and authority to sign and deliver this Agreement and to perform its obligations hereunder. This Agreement has been duly authorised, executed and delivered by the Lessee and, assuming the due authorisation, execution and delivery by the Landlord, constitutes the legal, valid and binding obligations of the Lessee enforceable against the Lessee in accordance with its terms.

10.3 No
Conflict

Neither the entering into of this Agreement nor the consummation or performance of the transactions contemplated hereby will result in a violation of (i) any provisions of the Organisational Documents of the Lessee, or (ii) any order or judgment of any court or Governmental Body by which the Lessee is bound.

10.4 Financing

The Lessee will have sufficient funds available to satisfy the obligation to pay the Consideration in full when payable and to cover the expenses incurred by the Lessee in connection with the transactions contemplated by this Agreement.

10.5 Consents
and Approvals

Except as set forth in clause 9.4, no filing or registration with, no notice to and no permit, authorisation, consent or approval from, any Governmental Body is necessary for the execution and delivery by the Lessee of this Agreement and the consummation and performance of the transactions contemplated by this Agreement.

10.6 No
Other Warranties

The Lessee hereby acknowledges that it is not relying on any warranties other than the warranties of the Lessee specifically contained in this Agreement.

11 COMPENSATION

11.1 General

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Landlord shall be liable to compensate the Lessee from and against any reasonably foreseeable
 loss, liability, damage, cost and expense (each a "Loss") which the Lessee
 may suffer due to any breach by the Landlord of its warranties, covenants or other obligations
 contained in this Agreement. The Landlord shall not be liable for any indirect or consequential
 loss.

&nbsp;&nbsp;&nbsp;&nbsp;b) The
 right to compensation pursuant to this clause 11 shall be the Lessee's sole remedy with
 respect to matters in any way relating to a breach by the Landlord of its warranties
 pursuant to this Agreement and shall exclude any other remedies which may be available
 to the Lessee pursuant to law, including, without limitation, the Norwegian Sale of Goods
 Act of 13 May 1988 no. 27 and general principles of Norwegian contract law.

11.2 Matters
Disclosed

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Lessee's right to compensation for breach of warranties shall not extend to matters which
 were Disclosed.

11.3 Financial
Limits

The Lessee's right to compensation for breach of the warranties under this Agreement shall not be payable with respect to any single Loss which does not exceed USD 40,000.

11.4 Time
Limits

No compensation for breach of Landlord's warranties shall be payable with respect to any claim unless the Lessee notifies the Landlord in writing, together with a reasonable specification of the basis for the claim:

&nbsp;&nbsp;&nbsp;&nbsp;a) within
 60 Business Days from the date the Lessee became aware that a claim could be brought;
 and

&nbsp;&nbsp;&nbsp;&nbsp;b) in
 any event no later than the date falling twenty-four (24) months after the Closing Date.

11.5 Right
to Remedy

If a breach of any of the Landlord's warranties or obligations under this Agreement is capable of being remedied, the Lessee shall not be entitled to compensation unless written notice is given to the Landlord in accordance with clause 11.4 (Time Limits) and the breach is not remedied within 15 Business Days of the date of the notice. Notwithstanding the foregoing, the Landlord shall not have any obligation to remedy any breach of its warranties under this Agreement other than through payment of compensation pursuant to this clause 11.

11.6 Related
Benefits

Any Loss for which the Lessee claims compensation shall be calculated net of any related savings (including Tax savings) which the Lessee is entitled to.

11.7 Contingent
Liabilities

For the purposes of this Agreement, a liability which is contingent shall not constitute a Loss and no liability shall arise in respect thereof unless and until such contingent liability becomes an actual liability and is due and payable (provided, however, that this shall not limit the Lessee's obligation to notify such claim in accordance with clause 11.4 (Time Limits)).

11.8 Changes
in Law etc.

No liability shall arise if and to the extent any claim occurs as a result of any change in law (including without limitation any Tax law) or practice of any Governmental Body (including without limitation any Tax authority) occurring after the Closing Date, whether or not the change takes effect retrospectively.

11.9 Covered
Losses

No compensation shall be payable for any Loss to the extent:

&nbsp;&nbsp;&nbsp;&nbsp;a) the
 Loss is recoverable under any insurance for the benefit of the Lessee which is in force;
 or

&nbsp;&nbsp;&nbsp;&nbsp;b) the
 Lessee has recovered compensation from any Person other than the Landlord, whether under
 applicable law, any contract or otherwise, provided that the Lessee shall use its reasonable
 efforts to recover compensation from any Person other than the Landlord if such

compensation is available and equivalent in cost and chances of successful recovery by the Lessee.

11.10 Acts
of the Lessee; Mitigation

Any compensation payable by the Landlord for any Loss of the Lessee shall be discounted proportionately to the extent the Loss would not have arisen but for an act, omission or transaction carried out by the Lessee or the omission of the Lessee to mitigate the Loss in accordance with applicable law.

The Lessee shall not deliberately initiate any inquiry and/or investigation by any Governmental Body, provided that, for the avoidance of doubt, nothing in this clause shall prevent or otherwise restrict the Lessee or any of its Affiliates from responding to any request by, or co-operating with, any Governmental Body.

11.11 Compensation
Procedure with Respect to Third Party Claims

11.11.1. Notice of Third Party Claim

If the Lessee receives notice of, or become aware of, any Third Party Claim, the Lessee shall give the Landlord prompt written notice of such Third Party Claim.

11.11.2. Right to Participate

&nbsp;&nbsp;&nbsp;&nbsp;a) The
 Landlord shall in its sole discretion and at its own reasonable cost and expense have
 the right to assume and control the defence (and any possible settlement) of the Third
 Party Claim, using professional advisers of its own choice, unless the Lessee reasonably
 considers that the assumption by the Lessee of the control of the defense of the Third
 Party Claim will have an adverse effect on the commercial interests or reputation of
 the Lessee or the Business.

&nbsp;&nbsp;&nbsp;&nbsp;b) Any
 settlement will require the approval by the Lessee (such approval not to be unreasonably
 withheld).

&nbsp;&nbsp;&nbsp;&nbsp;c) If
 the Landlord decides to assume control over the defence as set out in a) above, the Landlord
 shall automatically assume responsibility for the potential liability which may result
 from the Third Party Claim and shall indemnify the Lessee in respect of all such liability.

11.11.3. Cooperation

In order to enable the Landlord to defend any Third Party Claim or to decide what steps or proceedings to be taken in order to do so, each Party shall give the other and its representatives reasonable access to the personnel, and to any items, accounts, documents and records which are relevant to such Third Party Claim, and which are within the power, possession or control of the other Party.

11.12 Exclusions

Nothing in this clause 11 applies to exclude or limit the liability of the Landlord to the extent that a claim arises as a result of fraud, gross negligence or willful misconduct or in the case of breach of any of the Fundamental Warranties.

12 INDEMNITY

12.1 Lessee
Indemnity

The Lessee agrees to indemnify, defend and hold harmless, the Landlord and its Affiliates from and against and pay or reimburse them for all Losses, whether or not arising from third party claims, suffered based upon, arising out of or otherwise in respect of (without any limitations set out elsewhere in this Agreement) any obligations or liabilities relating to the Business incurred on or after the Closing Date.

12.2 Landlord
Indemnity

The Landlord agrees to indemnify, defend and hold harmless, the Lessee and its Affiliates from and against and pay or reimburse them for all Losses, whether or not arising from third party claims, suffered based upon, arising out of or otherwise in respect of (without any limitations set out elsewhere in this Agreement) any obligations or liabilities other than the Business for the period prior to the Closing Date.

12.3 Wrong
Pocket Assets or Liabilities

(i) Each
 Party agrees that after Closing it will promptly transfer and deliver to the other Party,
 from time to time, any payments, cash or other rights or assets held or received by it
 that properly belongs to the other Party.

(ii) If,
 following Closing, the Landlord is held liable for any of the rights and obligations
 or liabilities relating to the Business in any period following Closing and which properly
 should be the obligations or liabilities of the Lessee, the Landlord shall promptly inform
 the Lessee of that fact and the Lessee shall assume the responsibility for the conduct,
 handling and fulfilment of any such obligations or liabilities, if required in the name
 of the Landlord, and indemnify and hold the Landlord harmless against any expenses and
 Losses resulting from such obligations or liabilities.

(iii) If,
 following Closing, the Lessee is held liable for any of the rights and obligations or
 liabilities relating to the Business in any pre-Closing period, the Lessee shall promptly
 inform the Landlord of that fact and the Landlord shall assume the responsibility for
 the conduct, handling and fulfilment of any such obligations or liabilities, if required
 in the name of the Lessee, and indemnify and hold the Lessee harmless against any expenses
 and Losses resulting from such obligations or liabilities.

13 TERMINATION

13.1 Termination

This Agreement may be terminated, and the transactions contemplated by this Agreement may be abandoned, at any time prior to the Closing Date by mutual written consent of the Parties.

13.2 Rights
on Termination

If this Agreement is terminated pursuant to clause 13.1 (Termination), all further obligations of the Parties pursuant to this Agreement shall terminate without further liability of a Party to the other, provided, however, that

&nbsp;&nbsp;&nbsp;&nbsp;a) the
 obligations of the Parties contained in clauses 14 (Confidentiality), 16.4 (Costs and
 Expenses), 16.6 (Notices), 16.10 (Governing Law) and 16.11 (Dispute Resolution) shall
 survive such termination (collectively the Surviving Obligations); and

&nbsp;&nbsp;&nbsp;&nbsp;b) if
 this Agreement is terminated by a Party because one or more of the conditions to the
 terminating Party's obligations under this Agreement is not satisfied as a result of
 the other Party's failure to comply with its obligations under this Agreement, the terminating
 Party's right to pursue all legal remedies shall survive such termination unimpaired.

14 CONFIDENTIALITY

&nbsp;&nbsp;&nbsp;&nbsp;a) Except
 as set forth in clause 16.5 (Public Announcement), each Party agrees that the existence
 and content of this Agreement as well as any and all other information being delivered
 or disclosed (whether orally or in writing) by the other Party in connection herewith
 (Confidential Information) shall be deemed confidential, unless specifically designated
 by the Party disclosing such information at the time of disclosure to be non-confidential.

&nbsp;&nbsp;&nbsp;&nbsp;b) A
 Party receiving Confidential Information shall treat, and shall also cause its officers,
 directors, employees, advisers and auditors to treat, such Confidential Information as
 strictly confidential and shall not divulge or disclose (directly or indirectly) such
 Confidential Information to any other Person (other than to its or its Affiliates' officers,
 directors, employees, advisers, providers of finance and auditors who reasonably require
 access to such Confidential Information), except when (i) such disclosure is required
 by law, listing rules or by any order of any administrative or judicial authority which
 is final and subject to no appeal; (ii) such information has become public through no
 fault of the receiving Party; or (iii) such information has been obtained separately
 by the receiving Party from a third party that is not bound by any confidentiality obligation
 regarding such information.

&nbsp;&nbsp;&nbsp;&nbsp;c) None
 of the restrictions provided above with respect to Confidential Information shall deprive
 the right of the Lessee to disclose Confidential Information relating to the Business
 following the Closing Date.

15 ADDITIONAL COVENANTS

15.1 Landlord's
Call Option and Right of Termination

During the period commencing on the Closing Date and continuing for twenty four (24) months thereafter, the Landlord shall be entitled to exercise an option (the "**Call Option**"), whereby, upon payment of USD 16,000,000 to the Lessee or an Affiliate of the Lessee, the Landlord will be transferred the title to the COWA Infrastructure, free from any Encumbrances, from the Lessee or an Affiliate of the Lessee. Upon exercise of the Call Option, all outstanding amounts pursuant to clause 6.4, shall be come due and payable on the same date as payment of the USD 16,000,000.

Such payment and transfer of title will result in the automatic termination of the Lease Agreement and the Grid Connection and Power Supply Agreement, with no requirement for additional notice or compensation.

The exercise of this Call Option is conditional upon the Landlord orderly uninstalling and returning the Equipment to the Lessee or an Affiliate at a time, place and under such other conditions reasonably decided by the Lessee, at the Landlord's expense. Upon the exercise of the Call Option, except for the Surviving Obligations and the obligation of the Landlord to settle any Outstanding Debt, if any, all other terms of this Agreement shall terminate.

15.2 Further
assurances

Both Parties hereby agree to jointly and diligently employ their best efforts to secure all necessary approvals, consents, and authorizations from any relevant parties required for the completion of the transactions contemplated under this Agreement, and each Party commits to using commercially reasonable efforts to execute and deliver, or cause to be executed and delivered, all requisite documents, and to undertake or facilitate all actions that are reasonably necessary or appropriate to effectuate the provisions of this Agreement, ensuring that all such actions and documentations comply with applicable law, including the execution and delivery of instruments of conveyance, transfer, and assignment, and other necessary actions to effectively transfer to the Lessee the assets, rights, and obligations stipulated under this Agreement.

16 MISCELLANEOUS

16.1 Assignment

No Party may assign any of its rights or obligations under this Agreement without the prior written consent of the other Party.

16.2 No
Right of Rescission, Termination or Reversal after Closing

None of the Parties may after the Closing Date rescind, terminate or otherwise require the reversal of any transactions contemplated by this Agreement.

16.3 Sole
Remedies

The remedies provided for in this Agreement shall be the sole and exclusive remedies of the Lessee, and shall exclude any other claim for damages, reduction of the consideration, termination of contract or other remedies against the Landlord that would otherwise be available by law, provided however that the Lessee shall be entitled to injunctive relief and specific performance.

16.4 Costs
and Expenses

The Parties shall (for the avoidance of doubt with the exception of the Assumed Liabilities) cover their respective costs and expenses in connection with this Agreement and the completion of the transactions contemplated hereby, including professional fees and costs of legal and financial advisers, accountants and other advisers.

16.5 Public
Announcement

The initial press release(s) disclosing this Agreement and the transactions contemplated hereby shall require the written approval of both the Lessee and the Landlord. The Parties will, to the extent practicable, consult with each other regarding any subsequent public announcement or similar publicity with respect to this Agreement or the transactions contemplated hereby.

16.6 Notices

Any notice required to be given under this Agreement by any Party shall be in writing and shall be deemed to have been given if mailed by prepaid registered mail, sent by email or delivered to the address of the other Party set forth below:

---

| | |
|:---|:---|
| **If to the Landlord**: | Exanorth AS<br> frank.aadnevik@bitzero.com and mohammed@bitzero.com |

---

---

| | |
|:---|:---|
| **If to the Lessee**: | Sowrer AS<br> mdm@cowa.io and legal@cowa.io |

---

16.7 Counterparts

This Agreement may be executed in counterparts and shall be effective when each Party has executed a counterpart.

16.8 Severability

If any of the provisions of this Agreement is found by any competent authority to be void or unenforceable, it shall be deemed to be deleted from this Agreement and the remaining provisions of this Agreement shall remain in force and effect. Notwithstanding the foregoing, the Parties shall

negotiate in good faith in order to agree the terms of a mutually satisfactory provision to be substituted for the provision so found to be void or unenforceable.

16.9 Entire
Agreement

The Agreement and its appendices constitute the entire agreement between the Parties on all issues to which the Agreement relates. The contents of this Agreement and its appendices supersede all previous written or oral commitments and undertakings.

16.10 Governing
Law

This Agreement and all other issues to which the Agreement relates shall be governed by and construed in all respects by the laws of Norway.

16.11 Dispute
Resolution

&nbsp;&nbsp;&nbsp;&nbsp;a) Any
 dispute, controversy or claim arising out of or in connection with this Agreement, or
 the breach, termination or invalidity hereof, shall be finally settled by arbitration
 in Oslo in accordance with the Norwegian Arbitration Act of 14 May 2004 no.
 25. The arbitration panel shall consist of three arbitrators, unless otherwise agreed
 between the Parties. The Landlord shall appoint one arbitrator and the Lessee shall appoint
 one arbitrator. Such appointed arbitrators shall appoint the chairman of the arbitration
 panel, who shall be a respected business lawyer. In the event either the Landlord or
 the Lessee has failed to appoint an arbitrator within fourteen days after a Party in
 writing has requested arbitration, or the arbitrators appointed by the Parties have failed
 to appoint the chairman within 30 days after the last arbitrator appointed by a Party
 was appointed, the relevant arbitrator shall be appointed by the Chief Justice of the
 Oslo District Court.

&nbsp;&nbsp;&nbsp;&nbsp;b) Unless
 otherwise agreed between the Parties, the language of the arbitration shall be English.

&nbsp;&nbsp;&nbsp;&nbsp;c) The
 Parties agree that any arbitration and arbitral awards shall be confidential and undertake
 to enter into a separate confidentiality agreement to that effect if and when a dispute
 arises.

\* \* \*

**SIGNATURE PAGE**

**LEASE TRANSFER AND GOVERNANCE AGREEMENT:**

**Sowrer AS**

    <br> Name: Michele Di Minno Name:

Title: Board Director Title:

**Exanorth AS**

    <br> Name: Mohammed Salah S Bakhashwain Name:

Title: Chairperson Title:

**Appendix 1 – The Original Agreements**

&nbsp;&nbsp;&nbsp;&nbsp;a) Hosting
 and Maintenance Services Agreement between Exanorth AS and Sowrer AS dated 16 September 2022,
 as amended by Amendment Agreement dated 14 March 2023;

&nbsp;&nbsp;&nbsp;&nbsp;b) Lease
 Agreement between Exanorth AS and Sowrer AS dated 16 September 2022, as amended
 by Amendment Agreement dated 14 March 2023 (the "**Original Lease Agreement** ");

&nbsp;&nbsp;&nbsp;&nbsp;c) Management
 Agreement between Bitzero Inc. and G75 Capital dated 16 September 2022, as
 amended by Amendment Agreement dated 14 March 2023; and

&nbsp;&nbsp;&nbsp;&nbsp;d) Option
 Agreement between Exanorth AS and Sowrer AS dated 16 September 2022, as amended
 by Amendment Agreement dated 14 March 2023.

**Appendix 2k) – COWA Infrastructure Item Description**

---

| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**Item Description** | &nbsp;&nbsp;**Comments and model** | &nbsp;&nbsp;**Amount** |
| &nbsp;&nbsp;High Voltage | &nbsp;&nbsp;Transformer | &nbsp;&nbsp;3,2MVA 22/0,4kV | &nbsp;&nbsp;6 |
|  | &nbsp;&nbsp;Transformer, housing | &nbsp;&nbsp;Møre Maxi + Foundations | &nbsp;&nbsp;6 |
| &nbsp;&nbsp;Containers | &nbsp;&nbsp;Container | &nbsp;&nbsp;Goldingen containers, 312 Miners capacity, CCTV, access control and fire alarms | &nbsp;&nbsp;15 |

---

**Appendix 2r) –Grid Connection and Power Supply Agreement**

**Appendix 2v) –Lease Agreement** 

**GRID CONNECTION, MAINTENANCE AND POWER SUPPLY AGREEMENT**

between

Exanorth AS

and

Sowrer AS

Page 1 of 15

This agreement (the "**Agreement**") is entered into 13 April 2024 between:

(1) **Exanorth AS**, org no 921 677 421 ()"**Supplier** "); and

(2) **Sowrer AS**, org no 927 234 475 ()"**Customer** "),

each a "**Party**" and jointly the "**Parties**".

1 BACKGROUND AND PURPOSE

Exanorth has established a hosting site in Tunnsjødalsveien 178, 7892 Trones, Norway, with access to a maximum power capacity of 40 MW (the "**Data Centre**"). The Data Centre is connected to the power grid with the 40 MW of capacity pursuant to a grid connection agreement with the local grid operator Tensio.

This Agreement is entered as part of a lease transfer and governance agreement entered into between the Parties dated 13 April 2024 (the "**LTGA**"), following which the Parties have agreed to establish a lease agreement (the "**Lease Agreement**") for the Customer's lease of a certain part of the Data Centre area (the "**Leased Area**") from the Supplier for the establishment and operation of equipment owned by the Customer. As such, the Customer has deployed mining equipment with appurtenant containers (directly or through affiliates) with an initial installed capacity of 14 MW, and is in the process of deploying an additional 1 MW (the "**Equipment**") in the Leased Area. As a result of the LTGA, the Customer will in addition to the Equipment, also host 2MW of Arcane Green Data Services' ("**Arcane**") servers at the Leased Area pursuant to a hosting agreement dated 10 June 2022 (the "**Arcane Contract**").

This Agreement regarding grid connection and power supply is entered between the Supplier and the Customer pursuant to the LTGA, for the purpose of securing necessary grid connection/capacity, maintenance services and power supply for the Customer (directly or indirectly through its affiliates) to (i) operate the Equipment and (ii) fulfil its obligations under the Arcane Contract, both at the Leased Area. Specifically, this means that the Supplier undertakes to ensure that grid connection/capacity and power supply for 17 MW of the 40 MW allocated power capacity available at the Data Centre property is made available for the Customer at the Leased Area at all times (subject to the uptime agreed in this Agreement) during the lease period under the Lease Agreement, including such that the Customer shall continue to benefit from up to 8 MW under a fixed price power purchase agreement entered into by the Supplier with Fortum Strøm and 9 MW under any other active power purchase agreement based on spot price. The Agreement enters into force and the Parties' rights and obligations pursuant to the Agreements are effective as of closing of the LTGA.

2 MAIN TERMS – PASS THROUGH OF GRID CAPACITY AND POWER SUPPLY

The Parties hereby acknowledge and agree that the Supplier shall deliver, and the Customer shall receive, grid connection/capacity and power supply of up until 17 MW at the Leased Area throughout the entire lease period under the Lease Agreement.

The Parties hereby acknowledge and agree that the Supplier's delivery, and the Customer's receipt, of grid capacity/connection and power at the Leased Area according to the foregoing, shall be governed by the terms and conditions set out in this Agreement, and further that the terms and conditions of the Supplier's primary agreements for grid connection and power supply to the Data Centre property (the "**Primary Agreements**"), excluding the provisions regarding the Supplier's payment obligations, shall be expressly incorporated into and made a part of this Agreement to the extent applicable, and the Supplier shall ensure that the terms and conditions of the Primary Agreements are reflected and maintained in this Agreement to the extent applicable. The Primary Agreements are attached hereto as <u>Appendix 1</u> and Appendix 2 (the grid connection agreement with Tensio and the fixed price and spot price power purchase agreement(s) with Fortum Strøm respectively). For the avoidance of doubt, the Primary Agreements also include any active power purchase agreement based on spot price entered by the Supplier for the purpose of power supply to the Data Centre.

Page 2 of 15

Any rights, obligations, and liabilities arising for Sowrer AS as the Customer under this Agreement shall mirror those rights, obligations and liabilities arising for Exanorth as the customer in the Primary Agreements (save for the payments obligations which are exhaustively regulated in this Agreement), and any rights, obligations, and liabilities arising for Exanorth as the Supplier under this Agreement shall mirror those rights, obligations and liabilities arising for the supplier in the Primary Agreements (save for the provisions regarding consideration which are exhaustively regulated in the Agreement), save for the limitation that this Agreement is limited to 17 MW whereas the Primary Agreements covers a higher volume. For the avoidance of doubt, this means that the Supplier shall only be obliged to redistribute until 17 MW of the capacity and power of the Primary Agreements, and the Customer shall only be obliged to pay for the until 17 MW of the capacity and power delivered to the Leased Area. It is also emphasized that this Agreement does not entail supply of grid services and power as such, but merely a pass through/distribution of such services as purchased pursuant to the Primary Agreements by leasing out the Leased Area as powered land.

To the extent there are any contradictions or discrepancies between the terms of this Agreement and the terms of the Primary Agreements, the terms of this Agreement shall prevail.

Pursuant to the LTGA, the Customer is obliged to pay a consideration of USD 3,500,000 to the Supplier at 31 May 2024 (the "**Remaining LTGA Consideration**"). The Parties agree that if this amount is not paid in full by the Customer to the Supplier at 31 May 2024, then accordingly the Supplier shall be entitled to make a pro-rata reduction of the power capacity pursuant to this Agreement. For the avoidance of doubt, if the Customer does not pay any amount of the Remaining LTGA Consideration on or before 31 May 2024, this means that the Customer shall only be entitled to utilize, and the Supplier shall only be obliged to make available, 9,56 MW under this Agreement (assuming the initial capacity is 17 MW and that the Customer will have paid USD 4,500,000 of the consideration under the LTGA). If the Customer no later than 31 May 2024 pays parts of the Remaining LTGA Consideration, the available capacity shall be adjusted pro-rata accordingly. For example, if the Customer pays USD 1,000,000 of the Remaining LTGA Consideration on or before 31 May 2024, the Customer shall only be entitled to utilize, and the Supplier shall only be obliged to make available, 11,68 MW under this Agreement (assuming the initial capacity is 17 MW and that the Customer will have paid USD 5,500,000 of the consideration under the LTGA).

3 GRID CONNECTION POINT

The point of connection to the Supplier's grid is defined in <u>Appendix 3</u> to this Agreement, which means that the point of connection is in the low voltage infrastructure.

Any changes related to the grid connection points becomes part of the Agreement by updating <u>Appendix 3</u>. Any new grid connection points become part of the Agreement by including subsequent versions of Appendix 3, identified as <u>Appendix 3 a), 3 b)</u>, etc. Both changes to existing connection points and new connection points shall be in writing and signed by both Parties prior to incorporation in the Agreement.

It is emphasized that the high voltage equipment on the Supplier's side of the point of connection at the time of this Agreement is operated by Tensio under Tensio's area license. The Parties acknowledge that the Supplier has applied for, and may therefore obtain, a facility license for the Supplier's own ownership and operation of the high voltage equipment. To the extent required due to regulatory requirements or orders, the Parties agree to conduct good faith negotiations and implement necessary amendments to this agreement, however such that the balance between the Parties shall always be maintained, cf. also clause 9 below.

4 SPECIAL TERMS

4.1 General

The Parties agree that the provisions of clause 4 constitute the special terms of the Agreement (the "**Special Terms**").

The requirements and the sections in this clause 4 are made in compliance with FOR-2004-11-30-1557, regulations on quality supply in the power system (No: leveringskvalitetsforskriften) § 1-3.

Page 3 of 15

The Customer confirms to be aware of the consequences of the regulations set out in this chapter.

4.2 Quality
of electricity supply

4.2.1. Applicable
regulations

The quality of the electricity supply shall be in accordance with the requirements as set out in <u>Appendix 4</u>.

Each Party shall notify the other Party of any occurrences in its own installations that may influence the quality of electricity supply.

4.2.2. Power
capacity

With the reservation as mentioned in clause 2 (last paragraph) above, the Customer is allowed to make use of up until 17 MW (the "**Capacity**"), as set out in <u>Appendix 4</u>.

The Parties agree that, save for in such events as set out in litra a) through c) below, the Customer shall have access to the Capacity 98% of the time (i.e. 98% "uptime"):

&nbsp;&nbsp;&nbsp;&nbsp;a) Force
 Majeure: unforeseeable circumstances or events beyond the control of the Supplier that
 may disrupt or prevent the fulfillment of contractual obligations to provide electricity.
 These events typically include but are not limited to; (i) natural disasters such as
 earthquakes, hurricanes, floods, tornadoes, or wildfires, (ii) Acts of God, including
 extreme weather conditions such as storms, lightning strikes, or exceptionally severe
 winter conditions, (iii) war, hostilities, invasion, acts of foreign enemies, terrorism,
 or civil disturbances, (iv) Governmental actions, including changes in regulations, laws,
 or orders affecting power generation, transmission, or distribution, (v) labor disputes,
 strikes, lockouts, or other industrial actions that directly impact power generation,
 transmission, or distribution, (vi) equipment failures or breakdowns beyond reasonable
 control, including those caused by manufacturer defects, unexpected technical issues,
 or supply chain disruptions, (vii) unforeseen accidents, explosions, fires, or other
 incidents at power generation facilities, substations, or transmission lines, (viii)
 epidemics, pandemics, or public health emergencies that disrupt operations or prevent
 personnel from fulfilling their duties, (ix) acts or omissions of third parties, suppliers,
 contractors, or service providers that directly affect the availability or delivery of
 electricity, and/or (x) any other events or circumstances that are unforeseeable, unavoidable,
 and beyond the reasonable control of the Supplier, which make it commercially impracticable
 or impossible to perform its obligations under the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;b) Planned
 Maintenance and/or Repair: maintenance and/or reparation activities duly notified to
 the Customer in writing with one week's prior notice, and which does not last for more
 than 6 hours per day for each maintenance/reparation activity, and which does not exceed
 a total of 12 hours on aggregate per year (the "Maximum Maintenance Period"),
 or maintenance and/or reparation activities validly imposed and notified by Tensio under
 the Primary Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;c) Participation
 in power flexibility markets subject to the Customer's prior written consent.

In the event of a Force Majeure situation or a Planned Maintenance and/or Repair situation pursuant to litra a) and/or b) above, and to the extent allowed pursuant to the Primary Agreements, the Supplier is relieved from its contractual obligations during the relevant period, and the Customer is entitled to a corresponding extension of the Agreement period.

4.2.3. Mitigation
measures

In case the quality of electricity supply in one or several points of connection does not comply with the agreed requirements, the Parties shall jointly evaluate appropriate mitigation and/or measures that should be implemented.

Page 4 of 15

The Supplier shall cover the costs for necessary equipment to measure the quality of the electricity supply, if required in applicable laws and regulations and unless otherwise agreed.

4.2.4. Notice

The Supplier is obliged to notify the Customer of any planned supply interruptions or outages, including expected time and duration of the interruption/outage. Notifications shall, to the extent possible, be given in writing at least 24 hours before any planned interruptions or outages.

5 GENERAL TERMS

<u>Appendix 5</u> "Fornybar Norges anbefalte tilknytningsvilkår for næringskunder" and <u>Appendix 6</u> "Fornybar Norges anbefalte nettleievilkår for næringskunder" will apply as general terms of the Agreement (the "General Terms"). In the event Fornybar Norge issues updated versions of the documents, <u>Appendix 5</u> and <u>Appendix 6</u> shall be replaced by the updated versions and made available for the Customer. If, and to the extent there is any inconsistency or discrepancy between the provisions of the Special Terms and the General Terms, the Special Terms shall take precedence.

---

| | |
|:---|:---|
| 6 | SERVICES |

---

In addition to the Supplier's obligation to maintain and deliver grid connection and power supply in accordance with this Agreement, the Supplier shall be obliged to ensure general maintenance of the Data Centre site and its electrical equipment, including the Leased Area and infrastructure established thereto, to ensure at least 98% uptime of the Customer's Equipment at the Leased Area and equipment placed on the Leased Area as part of the Arcane Contract (the "**Services**").

For the avoidance of doubt, the Customer is responsible to pay for any costs relating to spare parts or replacement machines, and to procure insurance for its own Equipment (including all the mining machines). Consideration and payment

In consideration for the Supplier's fulfilment of the Services, the Customer shall pay a fixed monthly fee of USD 22,000 (twenty two thousand US dollars), inclusive of VAT, being understood that this consideration may be revised every year to take into account inflation capped at 3% annual increase. The fixed monthly fee pursuant to this clause 0 shall be paid upfront one month in advance. As an example, the fixed fee for June 2024 must be paid no later than 30 April 2024 and so on. To the extent the Supplier becomes entitled to make a pro-rata reduction of the power capacity pursuant to this Agreement due to the Remaining LGTA Consideration not being paid in full by the Customer at 31 May 2024, then the fixed monthly fee pursuant to this paragraph shall be adjusted proportionally.

In addition to the fixed monthly fee mentioned above, the Customer shall monthly pay any electricity charges and grid costs with relevant taxes the Supplier has incurred under the Primary Agreements on a pass through basis. The electricity charges and grid costs with relevant taxes shall be paid with a one month buffer upfront (based on the weighted average price of any fixed price power purchase agreement entered into by the Supplier + applicable grid tariffs and taxes). As an example, the electricity and grid payment for June 2024 must be paid no later than 30 April 2024 and so on. The Parties shall settle/reconciliate in arrears against the actual electricity and grid cost on a quarterly basis. The Parties shall make reasonable endeavors to put in place appropriate measures/security against unusual peaks in the spot electricity market.

Furthermore, the Customer shall reimburse to the Supplier an amount equal to any service fees (including taxes) charged by Tensio or any other supplier for operation and maintenance of high voltage equipment.

For the avoidance of doubt, if the Supplier obtains a license under the Energy Act to own and operate high voltage equipment, certain parts of the grid costs will be issued/tariffed by the Supplier, and the Customer has agreed that the relevant parts of the grid costs will be paid to the Supplier.

The Customer shall be obliged to pay to the Supplier the Customer's proportionate share of such deposit as is required to be paid by the Supplier under any Primary Agreement at any given time.

Page 5 of 15

The Customer is entitled to a share of the Supplier's revenues from the Supplier's participation in power flexibility markets as reflected in the Supplier's annual accounts for relevant capacity made available of the 17 MW. The Supplier shall redistribute the Customer's share of such revenues to the Customer on 1 June each year (provided that the Supplier's annual statements have been revised).

7 DURATION AND TERMINATION

This Agreement shall come into force upon signing by both Parties, and shall have the same duration as the Lease Agreement.

The Customer has the right to terminate either (i) the entire Agreement (regarding both power, grid connection and maintenance); or (ii) only the maintenance part of this Agreement, both with 60 days notice.

In the event of a termination in part, cf alternative (ii) above, the Parties shall renegotiate the consideration under clause 7 in good faith.

8 CHANGES IN LAW

This Agreement, including the Special Terms and the General Terms, is made in compliance with the applicable laws and regulations.

Any changes in such laws, regulations, terms of licenses, system changes and/or decisions by public authorities that necessitate changes to this Agreement, entitles the Supplier to amend the terms accordingly. The Supplier shall give the Customer 14 days written notice of the changes.

In the event public authorities, due to prior inspection, issues an individual decision or states an order that changes the presumptions of the terms of this Agreement, each Party may claim renegotiation of the terms. The Customer shall have the right to stay connected until new terms are agreed upon.

In the event of changes in law, regulations, governmental policies or individual decisions and/or orders affecting the Agreement, each Party shall undertake commercially reasonable efforts to mitigate the impact of such changes. This includes promptly informing the other party and cooperating in good faith to explore potential solutions or adjustments to the Agreement terms, operations, or procedures to minimize disruption and ensure continued performance. Such efforts may include but are not limited to:

– Conducting a thorough analysis of the legal changes and their implications on the contract.

– Exploring alternative methods of compliance with the new legal requirements.

– Negotiating amendments or revisions to the contract terms as necessary to reflect the changed legal landscape.

– Implementing operational adjustments or improvements to maintain or enhance efficiency in power generation, transmission, or distribution.

– Seeking legal advice or guidance from qualified professionals to ensure compliance and mitigate risks.

Both parties shall bear their respective costs incurred in mitigating the impact of changes in law, unless otherwise agreed upon in writing. Failure of either party to fulfill this undertaking shall not constitute a waiver of rights or remedies available under the Agreement or at law.

9 LIABILITY

Each Party's liability due to a default of its obligations pursuant to this Agreement is limited to three months' electricity cost per default. Both parties shall use their best endeavors to remedy the situation within 45 days, unless such remedy is disproportionately challenging, as determined by the parties. The aforementioned limitation on liability shall not apply where the defaulting Party has displayed gross negligence or willful misconduct, and shall under no circumstance or in any sense be construed as a carve-out or limitation of the Customer's step in rights pursuant to clause 11 below.

Page 6 of 15

---

| | |
|:---|:---|
| 10 | DEFAULT |

---

In addition to ordinary remedies for breach of contract, if the Supplier fails to either (i) provide the Capacity with 98% uptime calculated over two consecutive months (i.e. 60 consecutive days) or (ii) to provide the Capacity with at least 85% uptime calculated over a period of one month (i.e. 30 consecutive days), the Customer, at the Customer's full discretion and subject to any limitation following from applicable regulatory framework, shall have a right to (a) step in and replace the Supplier in the Primary Agreements (including in the Supplier's relationship with the regional grid company), (b) step in and replace the Supplier in any arrangement relating to the Supplier's high voltage and low voltage equipment, and (c) acquire the high voltage equipment and low voltage equipment from the Supplier (both against paying a fair market value for the assets) and assume and replace the Supplier in all contracts and permits relating thereto. For the avoidance of doubt, to the extent the Customer's exercise of its right pursuant to this clause 11 triggers a need for consent, approval or permit etc. from any public authority, the Supplier shall be obliged to assist the Customer and make all reasonable efforts on necessary for the Customer's obtainment of such consent, approval or permit.

11 CONFIDENTIALITY

All information exchanged or otherwise transferred between the Parties in relation to this Agreement shall be treated as confidential and shall not be disclosed to any third parties without the prior written consent of the other Party.

A Party may nevertheless make such information available to third parties provided that the information was already known to that Party at the time the information was received, or that the information is or becomes part of public domain other than through a fault of either of the Parties, or is rightfully received from a third party without an obligation of confidentiality or disclosure is necessary due to applicable laws and regulations.

Neither Party shall disclose the terms of this Agreement without the prior written consent of the other Party except:

&nbsp;&nbsp;&nbsp;&nbsp;a) to
 the extent required by applicable laws and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;b) to
 an affiliated company;

&nbsp;&nbsp;&nbsp;&nbsp;c) to
 a potential investor after written notice to the other Party; and

&nbsp;&nbsp;&nbsp;&nbsp;d) to
 its accountants, auditors and legal advisors, subject to obligations of confidentiality
 at least as restrictive as set forth in this Agreement.

12 COMMUNICATION

Any notices, requests, consents, determinations etc. to be given under or in connection with this Agreement shall be addressed as follows:

a) To
 the Supplier:

Exanorth AS<br> Att.: Frank A. Aadnevik<br> E-mail: frank.aadnevik@exanorth.com / post@exanorth.com

b) To
 the Customer:

Sowrer AS

Att.: Michele Di Minno

E-mail: mdm@cowa.ai

With a copy to: legal@cowa.ai

Page 7 of 15

All communication between the Parties shall be in English. Documentation may be presented in Norwegian.

13 ASSIGNMENT

Neither Party shall assign all or any part of its rights or obligations under the Agreement or any benefit or interest in or under the Agreement without the prior written consent of the other Party. Such consent shall not be unreasonably withheld. For the avoidance of doubt, a disposition (whether a transfer, sublease or change of control) that is allowed under the Lease Agreement shall be allowed (without the other party's consent) also under this Agreement. To the extent the Parties' respective rights of first refusal in the Lease Agreement are exercised, the exercising Party shall also have the right to acquire such rights and assets from the other Party related to grid and power as is required to operate the relevant Party's business at the Data Centre.

14 GOVERNING LAW AND DISPUTE RESOLUTION

This agreement is governed by Norwegian law. Norwegian choice of law provisions shall under no circumstance result in the choice of the laws of any other country as governing law.

Any dispute that may arise in relation to this agreement shall be resolved by legal proceedings before the ordinary courts of law, with Midt-Hålogaland district court as the exclusive venue. The group of courts having jurisdiction under the ordinary provisions on provisional measures is not limited by this clause.

A dispute regarding issues governed by regulations with its legal basis in LOV-1999-06-29-50, the Energy Act (No: energiloven) may be referred to the Norwegian water resources and energy directorate (NVE) for evaluation.

\* \* \*

Page 8 of 15

This Agreement may be signed in counterparties.

---

| | |
|:---|:---|
| **Exanorth AS** | **Sowrer AS** |

---

<br>     <br> Mohammed Salah S Bakhashwain Michele Di Minno

Styreleder/chairperson Board Director

Page 9 of 15

**Appendix 1 – Grid connection agreement with Tensio**

Page 10 of 15

**Appendix 2 – Power purchase agreements with Fortum Strøm**

Page 11 of 15

**Appendix 3 – List of connection point(s) with measuring point ID**

Page 12 of 15

**Appendix 4 – Conditions for supply, incl power capacity and deviations from "leveringskvalitetsforskriften"**

Page 13 of 15

**Appendix 5 – "Fornybar Norges anbefalte tilknytningsvilkår for næringskunder"**

Page 14 of 15

**Appendix 6 – "Fornybar Norges anbefalte nettleievilkår for næringskunder"**

Page 15 of 15

## Exhibit 99.58

**Exhibit 99.58**

---

| |
|:---|
| &nbsp;&nbsp;**ASSET PURCHASE AGREEMENT** |
| - Between - |
| **PHOENIX WORLD ELECTRONICS TRADING LLC** |
| - and - |
| &nbsp;&nbsp;**BITZERO BLOCKCHAIN INC.** |
| &nbsp;&nbsp;*February 2, 2022* |

---

**TABLE OF CONTENTS**

1.1 Meaning 1

1.2 Currency 4

1.3 Knowledge 4

1.4 Time and Day 5

1.5 Statutory Reference 5

1.6 Extended Meaning 5

1.7 Entire Agreement 5

1.8 Headings and Reference 5

2.1 Purchase and Sale 6

2.2 2.2 Purchase Price 6

2.3 Transfer of Ownership 7

2.4 Allocation of Purchase Price 7

2.5 Use of Legal Counsel to act as Intermediary 7

2.6 Removal of Purchased Assets 8

2.7 Becoming Listed 8

2.8 No Further Capital Raises 8

3.1 Corporate Matters 9

3.2 Agreements and Approvals 9

3.3 Property of Vendor 10

3.4 General Matters 10

4.1 Status 12

4.2 Due Authorization 12

4.3 In relation to the Payment Shares 12

4.4 In relation to Litigation 12

4.5 In relation to Material Disclosure 13

4.6 Enforceability 13

4.7 No Conflict 13

4.8 No Approvals 13

5.1 Standstill 14

5.2 Rights of First Refusal 14

6.1 Board of Directors 15

6.2 Advisory Board 15

7.1 Survival 15

7.2 Indemnification by the Vendor 16

7.3 Indemnification by Purchaser 16

7.4 Indemnification and Obligation to Pay 16

7.5 Notice and Participation 16

8.1 Confidentiality 17

8.2 Disclosure 17

9.1 Non-Transferability, Reasonable Efforts 17

9.2 Fees and Expenses 17

9.3 Further Assurances 17

9.4 Notice 18

9.5 Severability 19

- ii -

9.6 Waivers 19

9.7 Default 19

9.8 Successors and Assigns 19

9.9 Non-Assignment 19

9.10 Amendment 19

9.11 Governing Law and Jurisdiction 19

9.12 Counterparts 19

**<u>ASSET PURCHASE AGREEMENT</u>**

**THIS AGREEMENT** is entered into on February 2, 2022.

---

| | |
|:---|:---|
| **BETWEEN:** | **PHOENIX WORLD ELECTRONICS TRADING LLC,** a limited liability company registered in Dubai, and operating under license number 891739, with its registered address at Office 1 & 2, 1st floor, Al Reemas Building, Sheikh Zayed Road, Dubai, PO Box 450341, UAE, represented by Munaf Ali (<u>munaf@phoenixtech.org</u>) (the "First Party" and "Munaf' respectively);<br>(the "**Vendor**") |
| **AND:** | **BITZERO BLOCKCHAIN INC.**, incorporated in Canada, operating under company number BC1300647, with its registered address at 2416 Main Street, Suite 398, Vancouver BC V5T 3E2 Canada represented by Akbar Shamji, director and Chief Vision Office;<br>(the "**Purchaser")** |

---

**RECITALS**

A. The
 Vendor is in the business of selling and hosting crypto mining machines;

B. The
 Vendor has agreed to sell and the Purchaser has agreed to purchase the Purchased Assets
 upon and subject to the terms and conditions contained in this Agreement;

**THEREFORE,** the Parties agree as follows:

**Article 1<br> DEFINITIONS AND INTERPRETATION**

1.1 <u>Meaning</u> 

Unless the context otherwise requires, the following terms have the following meanings:

1.1.1 **"Affiliate"** means any Person that directly or indirectly Controls, is Controlled by, or is under
 common Control with, another Person and for greater certainty includes a subsidiary;

1.1.2 **"Agreement"** means this agreement, as modified from time to time by the Parties;

1.1.3 **"Applicable Law"** in respect of any Person, property, transaction or event, means all laws,
 statutes, regulations, treaties, judgments and decrees applicable to that Person, property,
 transaction or event and all applicable rules, authorizations and orders of any Governmental
 Entity having authority over that Person, property, transaction or event;

1.1.4 **"Business"** means the selling and hosting of crypto mining machines, carried out by the Vendor
 on, up to, and after the Closing Date;

1.1.5 **"Business Day"** means any day except Saturday, Sunday and any other day on which financial
 institutions are generally not open for business in the city of Vancouver, British Columbia;

1.1.6 **"Claims"** includes claims, demands, complaints, actions, suits, causes of action, assessment
 or reassessments, charges, judgments, debts, Liabilities, expenses, costs, damages or
 losses, contingent or otherwise, including loss of value, reasonable professional fees,
 including fees of legal counsel on a solicitor and his or her own client basis, and all
 costs incurred in investigating or pursuing any of the foregoing or any proceeding relating
 to any of the foregoing.

1.1.7 **"Closing Date"** means no later than February 15, 2022 or such other date as may be agreed
 upon by the Parties in writing, by which the following shall all have occurred:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Luxor
 Technologies has been instructed to, and has carried out, the inspection of the Purchased
 Assets as referred to in Clause 2.5, and therewith, provided the necessary approval of
 the Purchased Assets to the Purchaser's lawyer as further indicated in the same
 Clause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The
 Purchaser's lawyer has filed the documents and application(s) necessary to register
 the Vendor as the owner of the Payment Shares and such ownership of the Payment Shares
 has been effected in the name of the Vendor; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The
 Purchased Assets have been identified and either separated or marked as being such from
 the rest of the machines owned by the Vendor at the warehouse (i.e. storage facility)
 in Hong Kong.

1.1.8 **"Control"** means, with respect to a legal person, the ownership, directly or indirectly of securities
 of such legal person to which are attached more than 50% of the votes that may be cast
 to elect directors of such legal person or the possession, directly or indirectly, of
 the power to direct or cause the direction of the management and policy of such legal
 person, whether through the ownership or holding of its securities, or through the exercise
 of voting rights in respect of such securities by proxies given by the owner of such
 securities;

1.1.9 **"Encumbrance"** means any charge, mortgage, lien, hypothec, pledge, claim, restriction, security
 interest or other encumbrance whether created or arising by agreement, statute or otherwise
 at law, attaching to property, interests or rights, whether or not they constitute specific
 or floating charges as those terms are understood under the laws of the Province of British
 Columbia;

1.1.10 **"Final Resolution Date"** has the meaning given to it in Clause 7.4;

1.1.11 **"Good Standing",** when used in reference to a corporation, denotes that such corporation
 has not been discontinued or dissolved under the laws of its incorporating jurisdiction
 or the jurisdiction under which it has been continued, as the case may be, that no steps
 or proceedings have been taken to authorize or require such discontinuance or dissolution
 and that such corporation has submitted to the relevant authority all notices or returns
 of corporate information and all other filings required by Applicable Law to be submitted
 to such authority;

1.1.12 **"Governmental Entity"** means (a) any multinational, federal, provincial, state, departmental,
 municipal or local government or public body or any department, court, commission, board,
 bureau, agency or instrumentality, domestic or foreign; (b) any subdivision, agent, commission,
 board or authority of those entities; and (c) any public, quasi-governmental or private
 body exercising a regulatory, expropriation or taxing authority under or for the account
 of those entities;

1.1.13 **"Indemnified Amount"** has the meaning given to it in Clause 7.4;

1.1.14 **"Indemnified Party"** shall have the meaning ascribed to such term in Clause 7.4;

1.1.15 **"Indemnifying Party"** shall have the meaning ascribed to such term in Clause 7.4;

1.1.16 **"Law"** means any statute, regulation, rule, decree, code, guideline, decision, judgement,
 ruling, award, policy or order of a Governmental Entity, and any of their provisions,
 including the provisions or principles of civil and common law and of equity, binding
 the Person referred to in the context in which that word is used;

1.1.17 **"Liability"** means any obligation, debt, undertaking, covenant, guarantee, promissory note or
 assumption agreement regardless of whether it is liquidated, unliquidated, absolute or
 contingent.

1.1.18 **"Material Adverse Effect"** means the result of any change, event, fact, circumstance or
 omission in or affecting the Transaction or the Purchased Assets that has or would reasonably
 be expected to have a material adverse effect on the Transaction or the financial condition
 of the Purchased Assets;

1.1.19 **"Notice"** means any notice, approval, demand, direction, consent, designation, request, document,
 instrument, certificate or other communication required or permitted to be given under
 this Agreement;

1.1.20 **"Party"** means any signatory to this Agreement and any other Person that, from time to time,
 becomes a party to this Agreement;

1.1.21 **"Payment Shares"** has the meaning given to it in Clause 2.2.1(a);

1.1.22 **"Person"** means any individual, legal person, partnership, trust, Governmental Entity or any
 other entity (with or without a patrimony by appropriation) as well as any group of persons;

1.1.23 **"Purchase"** means the transaction of purchase and sale of the Purchased Assets contemplated by
 this Agreement;

1.1.24 **"Purchase Price"** has the meaning given to it in Clause 2.2;

1.1.25 **"Purchased Assets"** has the meaning given to it in Clause 2.1;

1.1.26 **"Purchaser"** means Bitzero Blockchain Inc.;

1.1.27 **"Related Party"** means any Person that is a related party, as such term is defined in
 the *Income Tax Act* (Canada), as amended from time to time, in respect of another
 Person;

1.1.28 **"Schedules"** shall mean any schedule to this Agreement;

1.1.29 **"Taxes"** means all taxes, surtaxes, duties, levies, imposts, rates, fees, assessments, reassessments,
 withholdings and other charges of any nature imposed by any Governmental Entity, including
 income tax, capital tax (including large Vendors), withholding, consumption, sales, use,
 transfer, goods and services or other value-added, excise, customs, anti-dumping, countervail,
 stamp, registration, franchise, employment, health, education, social security, gross
 receipts, license, transfer, recording, business, school, property, local improvement,
 development, education development and occupation taxes and surtaxes, together with all
 fines, interest and penalties on or in respect of, or in lieu of or for non-collection
 of, those taxes, surtaxes, duties, levies, imposts, rates, fees, assessments, reassessments,
 withholdings, dues and other charges;

1.1.30 **"Transaction"** means the sale and purchase of the Purchased Assets from the Vendor by the Purchaser,
 and therewith, the Vendor receiving and becoming the registered owner of the Payment
 Shares, in accordance with the provisions of this Agreement;

1.1.31 **"Vendor"** means Phoenix World Electronics Trading LLC;

1.2 <u>Currency</u> 

Unless otherwise specified, an amount in currency is in United States dollars.

1.3 <u>Knowledge</u> 

A statement made to "a Party's best knowledge" and any other references to the knowledge of a Party are made on the basis of the Party's actual knowledge, after diligent inquiry of the relevant subject matter, or on the basis of such knowledge of the relevant subject matter as the Party would have had if it had conducted such diligent inquiry.

1.4 <u>Time and Day</u> 

Unless otherwise specified:

1.4.1 a
 reference to time is to the time in Vancouver, British Columbia, Canada;

1.4.2 if
 a date fixed to act falls on a day that is not a Business Day, that act may be done on
 the following Business Day;

1.4.3 in
 computing a time limit, the day that marks the start of the time limit is not counted
 but the day that marks the end of the time limit is counted.

1.5 <u>Statutory Reference</u> 

Unless the context otherwise requires, a legislative or regulatory reference refers to it as it may be amended, re-enacted or replaced or, if repealed and not replaced, to it as it is in effect immediately before it is repealed.

1.6 <u>Extended Meaning</u> 

Unless the context otherwise requires, words importing gender include both genders and vice versa and words importing the singular include the plural and vice versa.

1.7 <u>Entire Agreement</u> 

This Agreement constitutes the entire agreement between the Parties relating to its subject matter and supersedes all prior agreements, discussions, negotiations and representations, including the Memorandum of Understanding ("MOU") entered into between the Parties, dated January 28, 2022, and any other agreements, discussions, negotiations and representations, whether oral or written, related to its subject matter.

1.8 <u>Headings and Reference</u> 

The division of this Agreement into articles, clauses, paragraphs and other subdivisions and the insertion of headings are for convenience of reference only and will not affect the interpretation of this Agreement. "Article", "Clause" or "Schedule" refers to the specified article, paragraph, subparagraph, other subdivision or schedule of or to this Agreement.

**Article 2<br> PURCHASE AND SALE**

2.1 <u>Purchase and Sale.</u> 

2.1.1 Subject
 to the provisions of this Agreement, the Vendor hereby agrees to sell, assign and transfer
 to the Purchaser and the Purchaser hereby agrees to purchase and receive from the Vendor,
 the crypto mining machines (machines for short) listed below (collectively, the "**Purchased Assets")**:

(a) 1,440
 machines of specification S19J Pro, having the following characteristics

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) 390
 machines with 90 TH;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) 650
 machines with 95 TH; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) 400
 machines with 104 TH;

For a total of 138,450 TH.

(b) Machines
 totalling 150,000 TH.

2.1.2  **<u>Warranty Rights.</u> All** warranty rights against manufacturers or suppliers which are related
 to the Purchased Assets shall be transferred to the Purchaser once the Purchased Assets
 have become the property of the Purchaser pursuant to the provisions of Clause 2.5 to
 follow. The applicable warranty associated with each Purchase Asset shall be as attached
 to this Agreement at Schedule 1. Given the Vendor's longstanding relationship with
 the manufacturer of the Purchased Assets, the Vendor hereby agrees to provide reasonable
 assistance to the Purchaser if needing to enforce the warranty in relation to the Purchased
 Assets or for such other things as the Purchaser may reasonably require from the manufacturer
 in relation to the Purchased Assets.

2.2 <u>Purchase Price.</u> 

2.2.1 The
 aggregate purchase price of the Purchased Assets (the "**Purchase Price")** is equal to US$28,951,125, as detailed below and shall be paid and satisfied by the
 Purchaser as follows:

(a) Breakdown
 of Purchase Price:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) With
 reference to the machines in Clause 2.1.1(a) **,** the price per TH is US$102.5. Since
 the total TH will be 138,450 TH, the total price will be US$14,191,125, but which excludes
 any shipping costs, import duties and/or any other taxes of any nature.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) With
 reference to the machines in Clause 2.1.1(b), the price per TH is US$98.4. Since the
 total TH will be 150,000 TH, the total price will be US$14,760,000, which excludes any
 shipping costs, import duties and/or any other taxes of any nature.

(b)  **<u>Payment of the Purchase Price:</u>** the Purchase Price shall be paid by the Purchaser to the
 Vendor, by the Purchaser issuing common shares in the capital of the Purchaser to the
 Vendor (the "**Payment Shares"),** as set out in more detail below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) with
 reference to the machines in Clause 2.1.1(a), the Purchaser shall issue 35,477,812 Payment
 Shares to the Vendor at a price of US$0.40 per Payment Share; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) with
reference to the machines in Clause 2.1.1(b), the Purchaser shall issue 36,900,000 Payment Shares to the Vendor at a price of
USD$0.40 per Payment Share.

2.3 <u>Transfer of Ownership.</u> 

2.3.1  **<u>Assumption of Risk.</u>** 

The Purchaser and the Vendor agree that the transfer of ownership of the Purchased Assets from the Vendor to the Purchaser will take place as soon as the Vendor has been registered as a shareholder in the Purchaser and received all of its Payment Shares, and therewith, the Purchaser shall become the legal owner of the Purchased Assets. Notwithstanding the foregoing, the Parties agree that the Purchaser may continue to store the Purchased Assets with the Vendor after the Vendor has been registered as the owner of the Payment Shares, in the Vendor's warehouse space in Hong Kong, up to and including April 15, 2022. During this time, the Purchased Assets still stored there, shall remain under the insurance applied to the Vendor's other machines stored at the same location. The Purchaser may at any time before April 15, 2022, provided the Vendor has been registered as the owner of the Payment Shares, remove all or some of the Purchased Assets from the warehouse, but which the Purchaser shall ensure are all removed by April 15, 2022, unless otherwise agreed between the Parties in writing. Once any machines have been removed from the warehouse by the Purchaser, the Purchaser shall ensure it has sufficient insurance for the transport and installation of the machines at its sole cost. When the Purchaser wishes to remove any of the Purchased Assets from the warehouse in which they are stored however, it shall inform the Vendor, for which the Vendor shall arrange for the applicable paperwork and approvals to be obtained so that the Purchaser can remove such machines, and make the necessary arrangements with both the Purchaser and the warehouse for the same.

2.4 <u>Allocation of Purchase Price.</u> 

The Vendor and the Purchaser agree to allocate the Purchase Price to the price of the Purchased Assets, for which the Vendor shall receive the Payment Shares. Each Party shall report the Purchase for all federal, provincial, state, departmental and local tax purposes in mutually agreeable form and in a manner consistent with such allocation (where applicable to a Party).

2.5 <u>Use of Legal Counsel to act as Intermediary.</u> 

The Purchaser shall instruct its legal counsel, BCF, of the subject matter of this Agreement and to prepare the necessary paperwork for the transfer of the Payment Shares to the Vendor, which the Purchaser shall sign but which shall be dated by such legal counsel at the appropriate time in accordance with the following process:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The
Purchaser shall instruct Luxor Technologies, a third party inspections agent to go and inspect the
Purchased Assets at the applicable warehouse at which they are being stored in Hong Kong.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Once
 Luxor Technologies has approved that the Purchased Assets are as per the specifications
 given in this Agreement, the legal counsel shall file the application to transfer the
 Payment Shares. This shall take place automatically and shall be filed immediately upon
 Luxor Technologies having confirmed the Purchased Assets after the inspection.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The
 instructions given pursuant to this Clause shall be given on an irrevocable basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Once
 the Payment Shares have been registered in the Vendor's name, the Purchased Assets
 shall officially belong to the Purchaser, and shall become subject to the provisions
 of Clause 2.3.1 herein.

2.6 <u>Removal of Purchased Assets.</u> 

Should the Purchase wish to remove any or all of the Purchased Assets from the warehouse, it shall send an email <u>to ali@phoenixtech.org</u> requesting access to the warehouse, and therewith the Purchased Assets, which should also state the proposed date and the full name and details of who should be granted access. Is it Alireza Aletomeh will then coordinate with the warehouse to have such access granted as per the information given. It shall be noted that the warehouse is an independent third party over which the Vendor does not exercise control and thereby should not be held labile for any actions and/or inactions of the warehouse, and therewith any responses from the warehouse and/or suggestions of alternative dates.

2.7 <u>Becoming Listed.</u> 

Subject to market conditions, the Purchaser plans to become listed on the NEO Exchange in Canada during the second quarter (Q2) of 2022 and provided this has been achieved in general (and not necessarily as per this timeline), the Purchaser shall seek to be listed on the NASDAQ Exchange in the United States, as soon as commercially possible upon the Purchaser meeting all of the listing requirements set forth by the NASDAQ Exchange (and therewith, may also skip listing on the NEO Exchange and go straight to NASDAQ).

2.8 <u>No Further Capital Raises.</u> 

Once the Payment Shares have been registered in the name of the Vendor, the Purchaser shall not raise any additional and/or further capital, nor offer or sell any shares (other than the Purchaser's current ongoing raise, as at the time date of this Agreement) of any type, until the Purchaser has been successfully listed on the NEO Exchange, save and except if, such issuance is required for the overall conduct of the business of the Purchaser in good faith. In such a case, the Vendor shall be granted matching pre-emptive rights to participate in such issuance. Notwithstanding the foregoing, where a new investor is outstanding and such investor is being brought on for strategic reasons, the Vendor may consent to have the provisions of this Clause waived for such new investor at the Purchaser's written request, which consent shall not be unreasonably withheld.

**Article 3<br> REPRESENTATIONS AND WARRANTIES OF THE VENDOR**

The Vendor represents and warrants to the Purchaser as stated below and acknowledges that the Purchaser is relying on the accuracy of each such representations and warranties in entering into this Agreement and completing the Purchase.

3.1 <u>Corporate Matters.</u> 

3.1.1  **<u>Status and Capacity.</u>** The Vendor has been duly incorporated and organized, is a subsisting
 corporation in Good Standing under the laws of the jurisdiction under which it subsists
 and has the corporate power and capacity to execute and deliver this Agreement and to
 consummate the Purchase and otherwise perform its obligations under this Agreement.

3.1.2  **<u>Authorization of Sale.</u>** The execution and delivery of this Agreement and the consummation of
 the sale of the Purchased Assets have been duly and validly authorized by the Vendor
 (provided the Payment Shares have been received by the Vendor) and, if required, by its
 shareholders and no other corporate proceedings or approvals on the part of the Vendor
 or its shareholders are necessary to authorize this Agreement or the sale of the Purchased
 Assets.

3.1.3  **<u>Enforceability.</u> This Agreement has** been duly and validly executed and delivered by the Vendor
 and is a valid and legally binding obligation of the Vendor enforceable against it in
 accordance with its terms.

3.1.4  **<u>Residence.</u>** The Vendor is a non-resident of Canada within the meaning of the *Income Tax Act* (Canada).

3.2 <u>Agreements and Approvals.</u> 

3.2.1  **<u>No Other Purchase Agreements.</u>** No Person, other than the Purchaser or any Related
 Party with the Purchaser, has any agreement, option, understanding or commitment, or
 any right or privilege (whether by law, pre-emptive or contractual) capable of becoming
 an agreement, option or commitment for the purchase or other acquisition from the Vendor
 of the Purchased Assets, unless this Agreement is terminated and the Transaction does
 not go through (i.e. the Purchased Assets are either (i) not approved by Luxor Technologies
 pursuant to the provisions in Clause 2.5 or (ii) the Payment Shares are not registered
 in the name of the Vendor).

3.2.2  **<u>Contractual and Regulatory Approvals.</u>** No authorization, approval, order, licence, permit
 or consent of, or payment to, any Governmental Entity, any municipal, regional or other
 authority, regulatory body or agency, including any governmental department, commission,
 bureau, board or administrative agency or court, and no registration, declaration or
 filing by the Vendor with any such Governmental Entity, regulatory body or agency, or
 court is required, and the Vendor is not under any obligation, contractual or otherwise,
 to request or obtain the consent or approval of any Person or to make any notification
 to any Person:

(a) to
 consummate the transactions contemplated by this Agreement;

(b) to
 execute and deliver all of the documents and instruments to be delivered by the Vendor
 under this Agreement;

(c) to
 duly perform and observe the terms and provisions of this Agreement; and

(d) to
 render this Agreement legal, valid, binding and enforceable.

Complete and correct copies of any agreements or other documents pursuant to which the Vendor is obligated to request or obtain any such consent or approval or to make any such notification have been provided to the Purchaser.

3.3 <u>Property of Vendor.</u> 

3.3.1 **Condition of Purchased Assets.** The Purchased Assets shall be sold and provided to the Purchaser
 in new condition.

3.3.2  **<u>Title to Purchased Assets.</u>** The Vendor is the owner of and has good and valid title
 to all Purchased Assets, free and clear of all Encumbrances.

3.3.3  **<u>Licences, Agency and Distribution Agreements.</u>** The Vendor hereby warrants and confirms that
 it is duly authorised to sell, distribute and otherwise deal in the Purchased Assets
 and can through this Agreement transfer such Purchased Assets to the Purchaser free from
 any lien and/or Encumbrances, with free and full title and therewith, all rights and
 benefits associated with this.

3.4 <u>General Matters.</u> 

3.4.1 Security
 Matters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The
 Vendor understands that the Payment Shares, may bear certain legends required in accordance
 with applicable securities laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The
 Vendor understands that no public market now exists for the Payment Shares, but this
 shall be subject to the provisions of Clause 2.6 above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the
 Vendor has satisfied itself as to the full observance of the laws of its jurisdiction
 in connection with any invitation to subscribe for the Payment Shares and the transactions
 contemplated by this Agreement, including: (i) the legal requirements within its jurisdiction
 for the purchase of the Payment Shares; (ii) any foreign exchange restrictions applicable
 to such purchase; (iii) any governmental or other consents that may need to be obtained;
 and (iv) the income tax and other tax consequences, if any, that may be relevant to the
 purchase, holding, redemption, sale, or transfer of the Payment Shares.

3.4.2  **<u>Compliance with Constating Documents, Agreements and Laws.</u>** The execution, delivery and performance
 of this Agreement by the Vendor and each of the other agreements
 contemplated or referred to herein, and the completion of the envisaged Transaction,
 will not constitute or result in a violation or breach of or default under, or cause
 the acceleration of any obligations under:

(a) any
 term or provision of any of the notice of articles, articles or other constating documents
 of the Vendor; or

(b) any
 Permit, any order of any court, Governmental Entity or regulatory body or any Applicable
 Law of any jurisdiction in which the Business is carried on.

3.4.3  **<u>Compliance with Laws.</u>** Except to the extent expressly disclosed in this Agreement, the Vendor
 is not, in violation of any Applicable Law relating to, without limitation, its operations,
 advertising, sales or employment practices, wages and hours, or civil rights, which violation
 could reasonably be expected to have a Material Adverse Effect on the Purchaser's
 ownership of the Purchased Assets or the Transaction.

3.4.4  **<u>Litigation.</u>** There are no actions, suits or proceedings, judicial or administrative (whether
 or not purportedly on behalf of the Vendor) pending or, to the best of the Vendor's
 knowledge, threatened, by or against or affecting the Transaction or the Vendor, at law
 or in equity, or before or by any court or any federal, provincial, municipal or other
 governmental department, commission, board, bureau, agency or instrumentality, domestic
 or foreign which might have a Material Adverse Effect on the Transaction or the Vendor
 or which might adversely affect the ability of the Vendor to enter into this Agreement
 or to consummate the Transaction. To the best of the Vendor's knowledge, there
 are no grounds on which any such action, suit or proceeding might be commenced with any
 likelihood of success. Without restricting the generality of the foregoing, to the best
 of the Vendor's knowledge, no product liability claims have been asserted or made,
 and continue to be outstanding, against the Vendor alleging any defect in the design,
 manufacture or materials of any of the products of the Business which could have a Material
 Adverse Effect on the Transaction.

3.4.5  **<u>Disclosure.</u>** The representations and warranties of the Vendor contained in this Agreement
 and in any document delivered thereunder are accurate and complete, and to the best of
 the Vendor's knowledge, do not contain any untrue statement of a material fact
 or, considered in the context in which presented, omit to state a material fact necessary
 in order to make the statements and information contained herein and are not misleading.
 Without restricting the generality of the foregoing, there are no facts known to the
 Vendor which should be disclosed to the Purchaser in order to make any of the representations
 and warranties contained in this Agreement not misleading or which may have a Material
 Adverse Effect, and no facts are known to the Vendor which may have a Material Adverse
 Effect on or would operate to prevent the Purchaser from using the Purchased Assets or
 to operate the Purchased Assets in the manner in which the Vendor has operated similar
 machines prior to the date of this Agreement.

**Article 4<br> REPRESENTATIONS AND WARRANTIES OF THE PURCHASER**

The Purchaser represents and warrants to the Vendor as stated below and acknowledges that the Vendor is relying on the accuracy of each such representation and warranty in entering into this Agreement and completing the Transaction.

4.1 <u>Status.</u> 

The Purchaser has been duly incorporated and organized and is a subsisting corporation in Good Standing under the laws of the jurisdiction under which it subsists and has full corporate power and authority to execute and deliver this Agreement and to consummate the Purchase and otherwise perform its obligations under this Agreement.

4.2 <u>Due Authorization.</u> 

The execution and delivery of this Agreement and the consummation of the Transaction have been duly and validly authorized by the Purchaser and no other corporate proceedings on the part of the Purchaser are necessary to authorize this Agreement or the Transaction and undertake that it will shortly hereafter, but no later than 48 hours, instruct Luxor Technologies to undertake the inspection referred to in Clause 2.5 and instruct its lawyers to take the actions as set out in the same Clause.

4.3 <u>In relation to the Payment Shares.</u> 

4.3.1 There
 is no pledge, lien or other Encumbrance in, over or affecting the Payment Shares and
 there is no agreement or arrangement to give or create any such Encumbrance and no claim
 has been or will be made by any person to be entitled to any of the foregoing.

4.3.2 The
 Purchaser will be entitled to transfer the full legal and beneficial ownership of the
 Payment Shares to the Vendor on the terms of this Agreement without the consent of any
 third party, including but not limited to, an option or right of first refusal to acquire
 any of the Payment Shares and/or any equitable notes in relation to the same.

4.4 <u>In relation to Litigation.</u> 

4.4.1 Neither
 the Purchaser, or any person for whose acts or defaults the Purchaser may be liable,
 is involved in a civil, criminal, arbitration or administrative proceeding. No civil,
 criminal, arbitration, administrative or other proceeding is pending or threatened by
 or against the Purchaser or any person for whose acts or defaults the Purchaser may be
 liable, as at the date of this Agreement.

4.4.2 No
 fact or circumstance exists which is likely to give rise to a civil, criminal, arbitration
 or administrative proceeding involving the Purchaser or any person for whose acts or
 defaults the Purchaser may be liable, as at the date of this Agreement.

4.4.3 There
 is no outstanding judgment, order, decree or arbitral award of a court, tribunal, arbitrator
 or governmental agency in any jurisdiction against the Purchaser or any person for whose
 acts or defaults the Purchaser may be liable, as at the date of this Agreement.

4.5 <u>In relation to Material Disclosure.</u> 

**4.5.1** The
 Purchaser has disclosed to the Vendor any and all information which is material or would
 reasonably be considered material, to the Vendor making an informed decision to enter
 into this Agreement and acquire the Payment Shares in the Purchaser for the Purchased
 Assets, prior to the date of this Agreement **.** 

4.5.2 All
 written information and documentation disclosed by or on behalf of the Purchaser to the
 Vendor in connection with the negotiation and finalisation of the terms of this Agreement
 (including, without limitation, replies to pre-contract enquiries) is to the best of
 the Purchaser's knowledge, information and belief, true and accurate in all material
 respects.

4.5.3 The
 rights and remedies of the Vendor in respect of any breach of the warranties or otherwise
 under this Agreement shall not be affected by the Transaction, by its rescinding or failing
 to rescind this Agreement, or failing to exercise or delaying the exercise of any right
 or remedy, or by any other event or matter, except a specific and duly authorised written
 waiver or release, and no single or partial exercise of any right or remedy shall preclude
 any further or other exercise.

4.6 <u>Enforceability.</u> 

This Agreement has been duly and validly executed and delivered by the Purchaser and is a valid and legally binding agreement of the Purchaser enforceable against the Purchaser in accordance with its terms.

4.7 <u>No Conflict.</u> 

The execution of this Agreement, the consummation of the transactions contemplated herein and therein and the performance by the Purchaser of its obligations hereunder and thereunder, and the compliance by the Purchaser with this Agreement do not violate, contravene or breach, or constitute a default under the constating instruments or by-laws of the Purchaser or agreements by which it is bound.

4.8 <u>No Approvals.</u> 

No authorization, approval, order, licence, permit or consent of any Governmental Entity of Canada, any province of Canada, any municipal, regional or other authority, regulatory body or agency, including any governmental department, commission, bureau, board or administrative agency or court, and no registration, declaration or filing by the Purchaser with any such Governmental Entity, regulatory body or agency, or court is required in order for the Purchaser:

4.8.1 to
 consummate the transactions contemplated by this Agreement;

4.8.2 to
 execute and deliver all of the documents and instruments to be delivered by the Purchaser
 under this Agreement;

4.8.3 to
 duly perform and observe the terms and provisions of this Agreement; and 4.8.4 to render
 this Agreement legal, valid, binding and enforceable.

**Article 5<br> COVENANTS OF THE VENDOR**

5.1 <u>Standstill.</u> 

The Vendor agrees that immediately after the Closing Date it shall be bound by the terms of a standstill agreement to be further entered into by and between the Purchaser and the Vendor with respect to the Payment Shares.

5.2 <u>Rights of First Refusal</u> 

5.2.1 The
 Vendor agrees that it shall grant the Purchaser exclusivity for crypto mining in Norway.
 Where the Vendor wishes to open a crypto mining farm in Norway, it agrees that it shall
 gave the Purchaser a first right of refusal in this regard. Notwithstanding the foregoing
 however, in the event the Purchaser wishes to procure machines for any crypto mining
 farms in Norway, the Vendor shall have the first right of refusal to provide the machines
 for such purposes.

5.2.2 In
 general, should the Purchaser wish to acquire more machines in addition to the Purchased
 Assets, the Vendor shall be granted a first right of refusal to provide the Purchaser
 with such machines on the same terms and conditions (but which machine specifications
 may differ, but shall always be of a similar or a higher specification). Where the Purchaser
 has received a quotation from a third party to provide machines, the Vendor shall have
 the right to match such quotation in terms of monetary amounts, with the same, similar
 or a higher specification of machines that are the subject of that quotation. Notwithstanding
 anything to the contrary herein contained, in the event that an alternative machines
 supplier of divergent technology or origin and of substantial strategic value to the
 Purchaser would approach the Purchaser to provide certain parts of machines and/or machines,
 the Purchaser shall be entitled to enter into a supply agreement with such third party
 without the application of the right of first refusal referred to hereinabove.

5.2.3 In
 addition to the first right of refusal that the Vendor has above, the Purchaser agrees
 to give the Vendor a first right of refusal with regards to any miner or machine financing
 which the Purchaser may wish to acquire at any time, and where a quotation has been received
 by a third party to provide such financing, a first right of refusal to provide such
 financing on the same or similar terms.

**Article 6<br> COVENANTS OF THE PURCHASER**

6.1 <u>Board of Directors.</u> 

As soon as possible after the Transaction has taken place, the Purchaser agrees that it shall arrange for a representative of the Vendor to have a seat on the board of directors of the Purchaser. The nominated person by the Vendor for this purpose shall be Mr. Seyedmohammad Alizadehfard, subject to approval from the applicable authorities and shareholder approval in line with the articles of the Company. It is understood that such process may take up to 90 days and the Parties agree to execute all necessary steps to ensure that this is a smooth process, which shall at all times be carried out and enacted in good faith. Where Mr. Seyedmohammad Alizadehfard cannot be a director for any reason, Mr. Munaf Ali shall be nominated as the director for the sake of this Clause.

6.2 <u>Advisory Board.</u> 

As at the same time, the Purchaser agrees that it shall arrange for a representative of the Vendor to become a member of the advisory board of the Purchaser. The nominated person by the Vendor for the purpose shall be Mr. Munaf Ali where Mr. Seyedmohammad Alizadehfard has been approved and added as a director of the Purchaser pursuant to the foregoing Clause. Where this is not the case and Mr. Munaf Ali is the director, Mr. Seyedmohammad Alizadehfard shall receive this place on the advisory board.

**Article 7<br> SURVIVAL AND INDEMNITY**

7.1 <u>Survival.</u> 

The representations and warranties contained in this Agreement or in any document delivered hereunder shall survive the closing of the transactions contemplated by this Agreement and shall expire three (3) years after the Closing Date, except that the following representations and warranties shall continue pursuant to the following:

7.1.1 the
 representations and warranties given by a Party in respect of which there has been fraud
 shall continue in force indefinitely;

7.1.2 the
 representations and warranties of either Party relating to any Tax liability in respect
 of which there has been no fraud, shall terminate ninety (90) days following the expiration
 of the last to expire of any time within which an assessment, reassessment or similar
 document may be issued under any Applicable Law; and

7.1.3 the
 representations and warranties relating to title to property and ownership rights shall
 survive the closing of the Transaction for an indefinite period of time.

7.2 <u>Indemnification by the Vendor.</u> 

The Vendor shall fully indemnify the Purchaser for the maximum relevant period specified in Clause 7.1 against all loss, liability and expense incurred or sustained as a result of (i) any Clause or breach of warranty or obligation by the Vendor under this Agreement and (ii) and such indemnity shall include, without limitation, reasonable expenses of investigation and legal fees and expenses in connection with any action or proceeding against the Vendor or the Purchaser.

7.3 <u>Indemnification by Purchaser.</u> 

The Purchaser shall fully indemnify the Vendor, for the maximum relevant period specified in Clause 7.1, against all loss, liability and expense incurred or sustained as a result of any misrepresentation or breach of warranty or obligation by the Purchaser under this Agreement. Such indemnity shall include, without limitation, reasonable expenses of investigation and legal fees and expenses in connection with any action or proceeding against the Purchaser as a result of the preceding.

7.4 <u>Indemnification and Obligation to Pay.</u> 

The Party providing indemnification hereunder (the "**Indemnifying Party")** shall pay, on demand, to the Party being indemnified hereunder (the "**Indemnified Party")** the undisputed amount paid or required to be paid by the Indemnified Party hereunder (the "**Indemnified Amount")**. Notwithstanding anything to the contrary set forth herein, if a Party makes a claim against the other Party and the Party against whom the claim is made disputes such claim, then the obligation of the claiming Party to otherwise pay the disputed amount pursuant to this Agreement is automatically suspended until such time as the parties to the dispute either settle such dispute or the dispute is otherwise finally resolved in accordance with the arbitration procedure or by the courts, as the case may be ("**Final Resolution Date")**. In no event shall interest accrue on the disputed amount until the date following the date on which the dispute is either settled or finally resolved, except if it is determined by the arbitration panel or the courts, as the case may be, that interest should accrue on the disputed amount from an earlier date.

7.5 <u>Notice and Participation.</u> 

The Indemnified Party shall give the Indemnifying Party, Notice of any claim for which the Indemnifying Party, may be liable under Clauses 7.2 and 7.3 as the case may be and the Indemnifying Party shall be entitled, at its expense, to participate in any negotiations, to assume the defence of any action or proceeding and to settle for monetary damages any claim in respect of which indemnification is sought under this Clause. The Indemnifying Party shall not settle or compromise any such claim without the prior written consent of the Indemnified Party.

**Article 8<br> CONFIDENTIALITY OF AGREEMENT**

8.1 <u>Confidentiality</u> 

Except as otherwise required by Law, each Party shall preserve the strict confidentiality of this Agreement and the transactions it contemplates and not disclose them, other than to another Party or to the Parties' advisors for the purpose of the transactions contemplated under this Agreement, without obtaining the prior approval of each other Party to the content and the manner of such disclosure.

8.2 <u>Disclosure</u> 

Except as otherwise required by Law, no Party shall issue a press release or make any other public statement or announcement relating to the Agreement or the transactions it contemplates without obtaining the prior approval of each other Party to the content and the manner of such disclosure. If disclosure is required by Law, the disclosing Party shall attempt in good faith to obtain each other Party's prior approval to the content and the manner of that disclosure.

**Article 9<br> MISCELLANEOUS**

9.1 <u>Non-Transferability, Reasonable Efforts.</u> 

9.1.1 The
 Parties acknowledge and agree that, for all purposes of this Agreement, an obligation
 on the part of either Party to use its reasonable commercial efforts to obtain any approval
 or consent, shall not require such Party to make any payment to any Person for the purpose
 of procuring the same, other than payments for amounts due and payable to such Person,
 payments for incidental expenses incurred by such Person and payments required by any
 Applicable Law.

9.2 <u>Fees and Expenses</u> 

Each Party shall pay its own legal and other expenses incurred in connection with the negotiation, preparation, entering into and performance of this Agreement and the transactions it contemplates.

9.3 <u>Further Assurances</u> 

A Party shall promptly do, sign, deliver or cause to be done, signed and delivered all further acts, documents and things that another Party may reasonably require for the purposes of giving effect to this Agreement.

9.4 <u>Notice</u> 

Any notice, consent or other communication under this Agreement shall be given in writing and delivered by hand, sent by courier and/or sent by email, to the address of each respective Party as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.4.1 **if to the Purchaser:** 

Bitzero Blockchain Inc.<br> 2416 Main Street, Suite 398,

Vancouver, British Columbia V5T 3E2

Attention: Jason Smart<br> <u>Email: jason@bitzero.com</u>

With a copy to:

Attention: Naeem Walji<br> <u>Email: naeem@bitzero.com</u>

And:

<u>Attention:</u> Mtre. Gilles Seguin<br> <u>Email: gilles.seguin@bcf.</u> ca

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.4.2  **<u>if to the Vendor:</u>** 

Office 1 & 2, 1st Floor, Al Reemas Building, Sheikh Zayed Road, Dubai, UAE

<u>Attention:</u> Munaf Ali

<u>Email: munaf@phoenixtech.org</u>

With a copy to:

Attention: Seyedmohammad Alizadehfard<br> Fax: <u>bijan@phoenixtech.org</u>

All notices and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed to have been effectively given when delivered to the recipients (as outlined above) in person, or when sent by email, during normal business hours of the recipient, and if not sent during normal business hours, then on the next Business Day, provided a "read" and/or "delivery" receipt has been requested and no "failure to deliver notification" has been received.

A Party may, from time to time, designate another address in accordance with this Clause by informing the other Party of such change in address in writing.

9.5 <u>Severability</u> 

Each provision of this Agreement is separate and distinct and, if a provision of this Agreement is determined to be invalid, illegal or unenforceable, all other provisions will remain in full force and effect.

9.6 <u>Waivers</u> 

A failure to act or delay in acting by a Party with respect to a non-performance, or the non-exercise of a right, under this Agreement will not operate as a waiver of that performance or of that right. The waiver of a right under this Agreement by a Party will not be effective unless it is given in a signed writing, in which case it will be effective in the specific instance and for the specific purpose given.

9.7 <u>Default</u> 

The debtor of an obligation under this Agreement will be in default of that obligation by the mere lapse of time for performing it.

9.8 <u>Successors and Assigns</u> 

This Agreement will bind and be for the benefit of a Party's successor or permitted assign.

9.9 <u>Non-Assignment</u> 

No Party may assign or delegate any right or obligation under this Agreement without the prior consent of each other Party.

9.10 <u>Amendment</u> 

This Agreement may only be amended in a writing signed by each Party.

9.11 <u>Governing Law and Jurisdiction</u> 

This Agreement is governed by the laws of the Province of British Columbia and the laws of Canada applicable therein.

The Parties irrevocably submit all disputes arising out of this Agreement to British Columbia courts, judicial district of Vancouver.

9.12 <u>Counterparts</u> 

This Agreement may be signed in any number of counterparts, each of which is deemed to be an original and all of which taken together is deemed to constitute one and the same instrument. Each counterpart may be delivered by fax or email and a faxed or emailed copy is as effective as an original.

*[signature page follows]*

**SIGNED** at the place and on the date first-mentioned above.

---

| | | |
|:---|:---|:---|
|  | **PHOENIX WORLD ELECTRONICS TRADING LLC.** | **BITZERO BLOCKCHAIN INC.** |
| By: |  |  |
|  | MUNAF ALI<br> CEO | AKBAR SHAMJI<br> DIRECTOR |

---

**Schedule 1**

**Warranty**

Service Terms and Conditions

**After-Sales Maintenance Policy**

Please read this After-Sales Maintenance Policy (this "Policy") carefully. If you click on the "I Agree" button, it means that you have completely read, understood and are voluntarily bound by this Policy. Bitmain Technologies Limited. ("Bitmain" or "We" or "us") reserve the right to amend this Policy at any time to the maximum extent permitted by the applicable law. If you do not agree with the revised terms, you should not purchase our Products or stop using our Services.

**CONSUMER LAW:** FOR CONSUMERS WHO ARE COVERED BY CONSUMER PROTECTION LAWS OR REGULATIONS IN THEIR COUNTRY OF RESIDENCE, THE BENEFITS CONFERRED BY THIS POLICY ARE IN ADDITION TO ALL RIGHTS AND REMEDIES CONVEYED BY SUCH CONSUMER PROTECTION LAWS AND REGULATIONS AND YOU SHOULD CONSULT THE CITIZENS ADVICE SERVICE IN YOUR COUNTRY OF RESIDENCE FOR FURTHER INFORMATION ON THESE RIGHTS.

**Article 1 Definition**

Unless otherwise defined, the following terms used in this Policy shall have the following meanings:

1.1 "Customer" means natural person, legal entity or other organization that registers and purchases Products or Service on this website.

1.2 "Product(s)" and "Service(s)" refer to products or service displayed and sold on this website, including, but not limited to, mining machines, power supply units (PSU), routing and after-sales inspection and maintenance service, etc.

1.3 "After-Sales Maintenance Service" and "Maintenance" refer to inspection and maintenance service provided by us for Products purchased by Customers. Among them, After-Sales Maintenance Service is categorized into Maintenance within the warranty period and Maintenance after the warranty period. Depending on the types of product failure, we may choose different resolutions, including repair, replacement, etc.

1.4 "Warranty Period" also means the free After-Sales Maintenance Service period, starting from the date of dispatch (as such date is indicated on this website). The different warranty periods for different products could be checked on the webpage of sales or in *<u>Repair Guide</u>.*

1.5 "DOA" means your request for Maintenance of the Product within 30 calendar days from the date of dispatch (as such date is indicated on this website) after you purchase a Product on this website.

1.6 "Second DOA" means your request for Maintenance of a repaired or replacement product within 15 calendar days from the date of delivery of the repaired or replacement product (as such date is shown on this website).

1.7 "Replacement Product" or "replacement product" means the Product of the same type or specifications provided to replace the defective Product or Product of the same brand with hash rates no less than that of the defective Product. Replacement Product may not be a new Product. The warranty period of the Replacement Product will be the remaining warranty period of the original Product calculated from the date of dispatch of the original Product, except when the warranty is voided in accordance with the terms and conditions of this Policy.

1.8 "EOS" means end of After-Sales Maintenance Service.

**Article 2 Request for After-Sales Maintenance Service**

2.1 If the Product you have purchased is found to be defective, you need to create *a* repair ticket ("Repair Ticket") on this website. You may refer to the following web page for additional details https://support.bitrnain.com/hc/en-us/articles/226760527-How-to-create-or-edit-a-Apply-for-Repair-ticket.

2.2 You should carefully read this Policy, as well as *<u>Repair Guide</u>* and *<u>How much does a repair cost?</u>* before creating a Repair Ticket. You acknowledge and agree that if your Product cannot be serviced free of charge, you will be charged maintenance fees. You shall only create a Repair Ticket if you agree and accept the terms of this Policy, *<u>Repair Guide</u>* and *<u>How much does a repair</u> cost?* Otherwise, please do not purchase our Product or Service and do not create a Repair Ticket. If you have any questions about any term of this Policy or the *<u>Repair Guide,</u>* please contact our after-sales service support staff.

2.3 The information provided in the Repair Ticket (including, but not limited to, product type, quantity, tracking number, contact information and delivery address) must be accurate and complete. Otherwise, we have the right not to provide Maintenance and all losses shall be borne by you.

2.4 If you need to update tracking information after the creation of the Repair Ticket, you should do it within 7 days of the date of the Repair Ticket Creation, and ensure that the Product will arrive at our service location within 15 days of the date of Repair Ticket Creation. You shall bear all costs and risks of loss of, or damage to, the Product if you fail to update tracking information or deliver the Product within the above-stated time.

**Article 3 Sending for Maintenance**

3.1 At present, we provide After-Sales Maintenance Service via mail. You should, at your own expense, deliver the Product to the service location of your choice in accordance with our instructions. Using sea freight to deliver defective Product is not allowed as the Antminers are susceptible to moisture damage.

3.2 Before delivering the Product, please backup and delete personal data, software programs or any other information (collectively, "Data"). During Service, it is possible that your Data will be lost or damaged or we may send you a Replacement Product, and we do not take responsibility for damage or loss of Data.

3.3 In order to prevent damage during transportation, you must use moisture-proof packaging filled with sufficient cushioning material. We suggest that you use the Product's original packaging. Failure to properly pack the Products for transportation (including unpacked Product, Product without cushioning, inappropriate packaging materials, etc.) may void the warranty. You may want to consider insuring your package in case of damage or loss during transportation. In addition, you will be charged return freight for the repaired or replacement products according to the *<u>How much does a repair cost?</u>*

3.4 Under the following circumstances, we have the right to refuse servicing your Product:

(1) You have not created a Repair Ticket properly or at all.

(2) You have not paid the freight.

(3) The Product is damaged during transportation.

We may, as a courtesy, still provide the After-Sales Maintenance Service, but you are responsible for the freight and risk of loss of, or damage to, the Product during transportation.

3.5 In the absence of any of the circumstances specified in Article 3.4, we will sign for the parcel and unpack it to inspect the Product failure situation. You should be aware that: **except in the case of Non-maintenance, Mixed boards under this Policy, we will make repairs while disassembling and inspecting the Product, you cannot ask us to directly return the product without repair.**

3.6 You agree that we do not need to return the defective Product or parts that are replaced. The Replacement Product or parts may not be new, but they must be in good working condition and perform functions substantially similar to the replaced Product or parts. The warranty period for the Replacement Product or replacement parts will be the remaining warranty period of the original Product.

3.7 You agree that we have the sole discretion to choose whether to repair or replace the Product or any part thereof.

3.8 If you send the hash boards separately for repair, please note that due to technical reasons, the performance of repaired hash boards may differ from the original hash boards.

**Article 4 Maintenance Policies** 

4.1 Free Maintenance

4.1.1 If your Product is under warranty and subject to the terms of this Policy, we will service the Product free of charge and will pay for the return freight.

4.1.2 You should create a Repair Ticket on our website within the warranty period (the time of the Repair Ticket will be shown on the website) and deliver the Product to the service location of your choice as identified in the Repair Ticket within 15 days from the date of the Repair Ticket. If the Product does not arrive at the service location on time, we will determine whether the Product is within the warranty period based on the actual arrival date.

4.2 Non-maintenance

4.2.1 We reserve the right to make such diagnoses as may be necessary in order to determine the cause of the defect and will not provide repair Service under the following circumstances:

(1) Product has been lost before the arrival at the service location;

(2) Product is damaged due to the use of third-party over-frequency software;

(3) Any Product other than Antminer;

(4) Scratches or other cosmetic damage to Product surfaces that do not affect the operation of the Product;

(5) Scrap: including but not limited to, burned boards, corrosion/oxidation of Products, disconnection of chip pins, PCB breakage, board via holes blockage, and the use of POE switches, etc. For more details, please refer to the website: baps: <u>support.bitinain.com</u> 'he. en - us/articles/220667768-Warrantv-k-vo i <u>\\ hen-hash-board-damatzed-bevond-re</u>)air;

(6) Fraud as determined by us, including, but not limited to, deliberately forging or replacing barcodes of Products or parts, or other attempts to obtain After-Sales Maintenance Service that the Customer is not otherwise entitled to. Products and parts that do not have the original barcodes will not be eligible for Maintenance.

(7) A notification of EOS of a certain Product model has been issued and the period of notification has been expired.

4.2.2 If we determine that the Product meet the Non-maintenance criteria, such Product will be returned at your own cost. Further, any storage fee (if any) shall also be borne by you before your Product is returned.

4.3 Maintenance with Charges

4.3.1 We reserve the right to charge fees for repair Services under the following circumstances:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Product with an expired warranty, including (i) the warranty of the Product has expired when the Repair Ticket is created (as such date is indicated on this website); or (ii) the Product does not arrive at the service location within the time period described in Section 4.1.2 of this Policy, and the warranty of the Product has expired when the Product arrives at the service location.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Voided warranty due to:

● Product damage caused by improper installation, use and maintenance;

● Product damage or failure caused by dropping, accident, theft, abuse, negligence, improper operation;

● Product damage caused by physical interference, including but not limited to, moisture, fire, flood, lightning, transportation, and extreme environment;

● The entire Product, the board, or components of the board are crushed, broken, burnt, dropped, damaged due to improper operation;

● Product damage caused by overvoltage or undervoltage or leakage;

● Product damage caused by significant higher or lower ambient temperature exposure;

● Product damage caused by humidity, oxidation, corrosion and short circuit to the Product, units or any part thereof;

● Product damage or loss caused by natural disasters, including, but not limited to, floods, lightning, fires, earthquakes, tsunamis and lightning strikes, etc.

● Disassembly or alteration of Product by any person other than us or an authorized service provider of us;

● Product damage or failure caused by the use of power supply, parts or units which are neither supplied by us nor our authorized providers;

● Unauthorized changes on firmware and hardware;

● Product damage or failure caused by the use of unauthorized firmware or drivers, including but not limited to firmware that enables users to apply an over frequency setting;

● Product damage resulting from non-commonality and/or incompatibility with current and/or future versions of operating systems, software and/or hardware;

● Damage or loss of data due to improper use;

● Product without original barcode or SN label or which has been altered, defaced or removed;

● **Mixed boards: any or all of the hash boards or control boards in a Product are not the original parts of such Product, or anything preventing us from determining whether the hash boards or control boards are the original parts of such Product;** 

● Direct operation of Product without being connected to drainage assemblies (applicable to Products requiring connection to drainage assemblies);

● Daily wear and tear;

● Any reason other than those caused by us that makes it impossible for us to diagnose whether the Product is under warranty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Product sent for Maintenance without proper packaging, including unpacked Product, Product without sufficient cushioning material, etc. For the suggestion of proper packaging, please refer to the website: <u>((Packaging Recommendations for Returning Antminers for Repair))</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) As to the chips missing in the hash boards, you shall bear the cost of the chips replaced in case the hash boards are repairable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.2 For Products that are not entitled to Maintenance free of charge, we will provide you with the estimated charges and return the repaired or replacement products after you have paid for the Maintenance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 Special provisions of mixed board Products

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.1 You agree that we have the sole discretion in determining whether your Products belong to mixed board Products.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.2 In the case of mixed board Products, we will inform you of the repair options:

● You may pay a service fee in accordance with the fee estimate, and we will return repaired or replacement products; or

● You may choose not to repair such Products and we will return them directly to you after you have paid for the return freight and other fees (if any).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.3 The repaired mixed board Products enjoy the Warranty Period of 15 days. 4.5 EOS Policy

We will be at our own discretion to issue the EOS notification of a certain Product model. When the period of notification expires, we shall no longer provide the After-Sales Maintenance Service of a certain Product model either for free or for charge. Meanwhile, you cannot create a repair ticket on this website since the expiration of the EOS notification period.

Article 5 Fees and Payment

&nbsp;&nbsp;&nbsp;&nbsp;5.1 You can refer to *<u>How much does a repair cost?</u>* for more details about service fees; provided, however, that the exact amount of the service fee shall be determined at the time of Service.

&nbsp;&nbsp;&nbsp;&nbsp;5.2 You should pay for After-Sales Maintenance Service in US dollars within three (3) calendar days after we have provided a fee estimate. We will only deliver the repaired Product after receiving your payment. You can pay for the service fee or other fees through bank transfer (USD). We reserve the right to change the ways of payment and you should refer to the payment instruction indicated on this website.

If you choose to pay through bank transfer, please do make sure that you have uploaded to the webpage of After-Sales Maintenance Service order on this website the information including the name of the payer and bank note of the payment upon your payment. Otherwise, we have the right not to return the repaired or replacement Product.

&nbsp;&nbsp;&nbsp;&nbsp;5.3 If you fail to pay the applicable service fees within thirty-five (35) calendar days after we have provided the fee estimate, we will charge you an additional storage fee commencing the 36th calendar day after we have provided the fee estimate at a rate of USD [$1.5] per day for mining Products and USD [$0.75] per day for other Products. If you fail to pay the applicable service fees within ninety-five (95) calendar days after we have provided the fee estimate, we will notify you that it considers your Product to be abandoned, we may dispose of your Product in accordance with applicable provisions of law, and, specifically, may sell your Product at a private or public sale to pay for any outstanding Services performed. We reserve our statutory and any other lawful liens for unpaid charges.

&nbsp;&nbsp;&nbsp;&nbsp;5.4 If any Product is stored at our service location, including due to your failure to create Repair Ticket or any inconsistency between Repair Ticket and the transportation, we will collect storage fees commencing the [36th] day after receiving the Product. If you fail to pay the applicable service fees within ninety-five (95) calendar days after we have provided the fee estimate, we will notify you that it considers your Product to be abandoned, we may dispose of your Product in accordance with applicable provisions of law, and, specifically, may sell your Product at a private or public sale to pay for any outstanding Services performed. We reserve our statutory and any other lawful liens for unpaid charges.

&nbsp;&nbsp;&nbsp;&nbsp;5.5 Unless you provide alternative instructions, we will return your repaired or replacement product to the mailing address you have furnished when you authorize the Service. If your Product is returned to us because delivery could not be completed at the address given, we will attempt to contact you for an alternative mailing address. If you do not provide an address at which we or our agent may deliver your Product within sixty (60) days after the original delivery attempt, we will notify you that it considers your Product to be abandoned. We will send notice to the mailing address you have furnished when you authorize the Service. In the event that your Product is abandoned, we may dispose of your Product in accordance with applicable provisions of law, and, specifically, may sell your Product at a private or public sale to pay for any outstanding Services performed. We reserve our statutory and any other lawful liens for unpaid charges. You shall strictly comply with any applicable tax laws and regulations. Any activities by using the payment service provided by this website or the third-party payment authority to violate the applicable tax supervision laws and regulations or other illegal activities are prohibited. Any loss caused by your violation of any applicable laws, regulations, normative documents and policies shall be borne by yourself and you shall be responsible for reimbursement of the loss and damages to us or any third party arising from the same. Furthermore, we shall have the right to terminate the service in case of your breach of this Policy.

**Article 6 Returns**

&nbsp;&nbsp;&nbsp;&nbsp;6.1 Unless you provide alternative instructions, we will return your repaired or replacement product to the mailing address you have furnished when you authorize the Service. If your Product is returned to us because delivery could not be completed at the address given, we will attempt to contact you for an alternative mailing address. If you do not provide an address at which we or our agent may deliver your Product within sixty (60) days after the original delivery attempt, we will notify you that it considers your Product to be abandoned. We will send notice to the mailing address you have furnished when you authorize the Service. In the event that your Product is abandoned, we may dispose of your Product in accordance with applicable provisions of law, and, specifically, may sell your Product at a private or public sale to pay for any outstanding Services performed. We reserve our statutory and any other lawful liens for unpaid charges.

&nbsp;&nbsp;&nbsp;&nbsp;6.2 We will use the carrier you have selected on the Repair Ticket to return your Product whenever possible. If your preferred carrier cannot deliver the Product to the address provided in the Repair Ticket, we will deliver the Product using an alternative carrier. We may not provide you with written notice prior to delivering your Product via the alternative carrier. If you request that your Product be returned by air, we will charge you additional freight.

&nbsp;&nbsp;&nbsp;&nbsp;6.3 You will be responsible for delivering the Product to our service location and prepaying freight and any additional fees in connection therewith. Unless your Product is a non-maintenance Product, a mixed board Product or a Product needs to be scraped (in such case, you can choose not to repair the Product and request us to return the Product at you own expense of the return freight), we will be responsible for returning the Product to you and bear the return freight expense. The local tariffs, taxes and other related expenses (if any) shall be on your account. Please note that the place of shipment of repaired or replacement products may not be the same as the address to which you delivered the product.

&nbsp;&nbsp;&nbsp;&nbsp;6.4 Please send the Products to our designated address via mail and prepay the freight. If you send the Product by freight collect, or you failed to send it to our designated address (including logistics pick-up point), we will not be able to receive the product, and all consequences will be borne by you.

&nbsp;&nbsp;&nbsp;&nbsp;6.5 We will send repaired or replacement product to the address provided by you and the recipient designated in the Repair Ticket. You shall be responsible for any additional costs caused by any incorrect or incomplete information.

&nbsp;&nbsp;&nbsp;&nbsp;6.6 For DOA and Second DOA, and if the Product is not subject to Sections 4.2 and 4.3 above, you can apply for transportation subsidies not higher than the fees posted on the website after sending us the Product for Maintenance. When applying for a transportation subsidy, you need to provide us with proof of the freights you have paid, which proof shall not be forged or modified. We reserve the right to decline your application for shipping subsidies if the conditions set forth in this section 6.5 are not met.

&nbsp;&nbsp;&nbsp;&nbsp;6.7 Please send the Product that is eligible for transportation subsidy separately. Otherwise, we may not be able to distinguish the Product that is eligible for a subsidy and the Product that is not, and the issuance of the subsidy will be refused.

&nbsp;&nbsp;&nbsp;&nbsp;6.8 Once we deliver the Product out to you, the risk of damage and loss passes to you after we deliver the parcel to the carrier. In the event of any damage to or loss of Products during transportation, you should settle such disputes with the carrier.

**Article 7 Compliance with Laws and Regulations**

&nbsp;&nbsp;&nbsp;&nbsp;7.1 You guarantee that you are a legally established legal person, other entity or a natural person with full civil capacity and ability under the laws of your jurisdiction; and you are eligible and capable of entering into and performing this Policy

&nbsp;&nbsp;&nbsp;&nbsp;7.2 As the initiator of this After-Sales Maintenance Service, you guarantee that you have the right to send the request with accurate, complete and legal information and you agree to bear the loss and risk without the same. We shall only proceed according to your request and would not bear any liability arising from your request.

&nbsp;&nbsp;&nbsp;&nbsp;7.3 You guarantee that you shall comply with any operation rules and regulations issued by this website and other Service providers and you shall not use other's name to initiate any service of this website. You shall not take part in any illegal activities by using this website, including but not limited to fraud, money-laundering, cash-withdrawing and gambling. You shall not employ the faked or invalid bank account, or make any bogus transactions by using the payment system of this website.

&nbsp;&nbsp;&nbsp;&nbsp;7.4 You guarantee that you are not listed in the "Entity List", "Denied Persons List" or "SDN List" published by the applicable United States government agencies, nor are you directly or indirectly belonging to or controlled by any of the subjects in the above lists, nor are you subject to any import and export controls, sanctions or restrictions imposed by the United States, the European Union or its member states. You guarantee that all information you have provided to us is true, accurate, complete, and not misleading.

&nbsp;&nbsp;&nbsp;&nbsp;7.5 You may not use or otherwise export or re-export the Products serviced except as authorized by the laws of the jurisdiction in which the Products were obtained. In particular, but without limitation, the Products may not be exported or re-exported in violation of export laws, including if applicable, export or re-export into any US-embargoed countries or to anyone on the US Treasury Department's list of Specially Designated Nationals or the US Department of Commerce Denied Person's List or Entity List. You represent that you are not located in any country or on any list where the provision of Product to you would violate the applicable law. You also agree that you will not use Products for any purposes prohibited by the applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;7.6 You guarantee that the Products under this Policy are intended for civilian use only and may not be exported, re-exported or transferred to (a) any entity for military use; (b) any person or subject listed by the United States Government on the Entity List, Denial of Persons List, or Specially Designated Nationals List; (c) any end user involved in VVMD-related activities. WMD-related activities include, but are not limited to, the following :(1) design, development, production or use of nuclear materials, facilities or nuclear weapons; (2) Design, develop, produce or use missiles, or support missile programs; (3) The design, development, production or use of biological and chemical weapons.

&nbsp;&nbsp;&nbsp;&nbsp;7.7 You guarantee that you shall fully comply with all applicable laws and regulations regarding cryptocurrency-related businesses, including but not limited to laws and regulations regarding cryptocurrency transactions, cryptocurrency mining businesses and cryptocurrency technology services when using Products or Services. You shall not take any action that would cause this website to be in violation of any aforementioned applicable laws or regulations. We shall not assume any responsibility for any loss or damage arising from any violation by you of the aforementioned applicable laws or regulations and you shall be fully and exclusively liable for and shall defend, fully indemnify and hold harmless this website from and against any and all claims, demands, actions, costs or proceedings brought or instituted against this website arising out of or in connection with any violation by you of any aforementioned applicable laws or regulations in relation to cryptocurrency-related businesses.

**Article 8 Liability**

&nbsp;&nbsp;&nbsp;&nbsp;8.1 We do not guarantee that your Data will not get lost during the Services. It is your responsibility to back up your Data before sending in the Product for Services. We will not be responsible for

loss, recovery, or compromise of Data, programs or loss of use of equipment arising out of the Services. You represent that your Product does not contain illegal files or data.

&nbsp;&nbsp;&nbsp;&nbsp;8.2 Successful Maintenance depends on the extent of damage to the Product and we do not guarantee in any form.

&nbsp;&nbsp;&nbsp;&nbsp;8.3 TO THE EXTENT PERMITTED BY LAW, THE EXPRESS WARRANTIES, CONDITIONS AND REMEDIES SET OUT IN THIS POLICY ARE EXCLUSIVE AND IN LIEU OF ALL OTHER WARRANTIES, CONDITIONS, TERMS, UNDERTAKINGS, OBLIGATIONS AND REPRESENTATIONS, WHETHER ORAL OR WRITTEN, STATUTORY, EXPRESS OR IMPLIED. TO THE EXTENT PERMITTED BY LAW, BITMAIN SPECIFICALLY DISCLAIMS AND EXCLUDES ANY AND ALL STATUTORY AND IMPLIED WARRANTIES, CONDITIONS, TERMS, UNDERTAKINGS, OBLIGATIONS AND REPRESENTATIONS RELATED TO OR ARISING IN ANY WAY OUT OF THIS POLICY, INCLUDING ANY IMPLIED WARRANTY OR CONDITION OF MERCHANTABILITY, SATISFACTORY QUALITY, CARE, SKILL OR FITNESS FOR A PARTICULAR PURPOSE.

&nbsp;&nbsp;&nbsp;&nbsp;8.4 AS A CONSUMER, YOU MAY HAVE CERTAIN ADDITIONAL RIGHTS WITH REGARD TO SERVICES AND PRODUCTS PROVIDED UNDER THIS POLICY. PLEASE REFER TO YOUR LOCAL CONSUMER AUTHORITY FOR MORE INFORMATION ABOUT YOUR RIGHTS. IF NOT COVERED BY THESE RIGHTS, BITMAIN DOES NOT ACCEPT LIABILITY BEYOND THE REMEDIES SET FORTH HEREIN, INCLUDING BUT NOT LIMITED TO ANY LIABILITY FOR PRODUCT NOT BEING AVAILABLE FOR USE, LOST PROFITS, LOSS OF BUSINESS OR FOR LOST, CORRUPTED, OR COMPROMISED DATA OR SOFTWARE, OR THE PROVISION OF SERVICES. EXCEPT AS EXPRESSLY PROVIDED HEREIN, BITMAIN WILL NOT BE LIABLE FOR ANY CONSEQUENTIAL, SPECIAL, INDIRECT, OR PUNITIVE DAMAGES, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, OR FOR ANY CLAIM BY ANY THIRD PARTY. YOU AGREE THAT FOR ANY LIABILITY RELATED TO THE PURCHASE OF PRODUCT, BITMAIN IS NOT LIABLE OR RESPONSIBLE FOR ANY AMOUNT OF DAMAGES ABOVE THE AMOUNT OF YOUR ORDER. IN CONSUMER CASES, THE LIABILITY FOR (1) PERSONAL DEATH AND INJURY AND (2) FRAUD MAY BE WIDER THAN NEGLIGENCE CAUSED LOSS AND IN SUCH CASES BITMAIN DOES NOT SEEK TO EXCLUDE THIS LIABILITY.

&nbsp;&nbsp;&nbsp;&nbsp;8.5 Upon the expiration of the EOS notification period of a certain Product model, we shall be exempted from any liabilities arising from or in connection with the malfunction of the certain Product model caused by all and any reasons.

**Article 9 User Information Posted on the Website**

&nbsp;&nbsp;&nbsp;&nbsp;9.1 Any information sent, transmitted or uploaded by you on this webiste, such as email address, delivery contact, bank account number, ID type, ID information, mobile phone verification code or other information or data (collectively, "User Information"), shall be true, legal and valid. You understand and agree that you are obligated to maintain the authenticity and validity of the user information provided by you. You shall timely update the user information you provide. If we are required by the laws or supervision authority that we as trading counterpart must verify the user information for some customers, we will be in accordance with the law from time to time to check that your user information. You should cooperate to provide the latest, true, complete and effective user information.

&nbsp;&nbsp;&nbsp;&nbsp;9.2 You agree to grant us and our contractors and business partners the exclusive and transferable right to use, copy, store and distribute such User Information, and to derive works from it or integrate it into other works.

&nbsp;&nbsp;&nbsp;&nbsp;9.3 For the convenience of your use of this website, online payment and other related services, you authorize us to provide your information generated in the process of account registration and trading to the third party payment institutions and other related services provider; or to collect your information provided or generated in the process of account registration and trading from us, the third party payment institutions and other related services provider.

&nbsp;&nbsp;&nbsp;&nbsp;9.4 You agree not to release, upload or transfer any user information in violation of host country Internet-related laws and regulations, or infringing upon any third party's intellectual property rights, privacy rights or other legitimate rights, i.e. using other's receiving contact information or email address without his/her consent. You understand and agree that we have the right to delete any User Information for any reason or without any reason, including, without limitation, (I) that violates this Policy, (ii) that is offensive or illegal, or (iii) that may damage, infringe or threaten the rights of any User and/or any other person or entity.

**Article 10 Agree to Receive Notifications Sent by Us**

&nbsp;&nbsp;&nbsp;&nbsp;**10.1** When you register as a user of this website and login or transact through the user account, you should provide us with real and effective contact information (including your email address, phone number, mailing address, etc.). Once your contact information is changed, you have an obligation to update it and maintain it can be connected.

&nbsp;&nbsp;&nbsp;&nbsp;10.2 We will send you all kinds of notices to one or more of your above contact ways, which may have a material beneficial or adverse effect on your rights and obligations, so please pay attention to them in a timely manner.

&nbsp;&nbsp;&nbsp;&nbsp;**10.3 A notice shall be deemed to have been given on the following dates:**

&nbsp;&nbsp;&nbsp;&nbsp;**●** If it is published through this website, blog, etc., the date of publication shall be deemed as the effectively-served date.

&nbsp;&nbsp;&nbsp;&nbsp;**●** SMS messages successfully delivered to the contact phone number provided by you and E-mail messages successfully delivered to the email address provided by you will be deemed that the messages have been effectively served.

&nbsp;&nbsp;&nbsp;&nbsp;**●** If a notice is served through a social communication software, it shall be deemed to have been effectively served upon successful delivery.

&nbsp;&nbsp;&nbsp;&nbsp;**●** Notices sent by express mail service shall be deemed to have been duly served on the fifth calendar day starting from the date of posting.

&nbsp;&nbsp;&nbsp;&nbsp;**●** If the service is made by more than one means, the earliest date of service shall be deemed as valid.

&nbsp;&nbsp;&nbsp;&nbsp;10.4 You agree that we have the right to send you certain information relating to this website. We will send you an electronic version of the information to the email address you registered at the time you created your account. You have the right to prohibit the distribution of information in accordance with applicable law, but if you do so, we may revoke some of your rights on this website.

&nbsp;&nbsp;&nbsp;&nbsp;**10.5 By accessing and using this website, you agree that you will be prepared with the software and hardware necessary to receive such notifications. If you do not agree to receive any notice electronically, you should stop using or accessing this website.**

**Article 11 Cooperate with the Investigation**

&nbsp;&nbsp;&nbsp;&nbsp;11.1 If your account has suspicious transactions, illegal transactions, risky transactions and other risk events, you agree that we have the right to provide your registration information, transaction information, identity information, logistics information, etc. on this website in accordance with the requirements of relevant judicial authorities, supervision authorities or third-party payment agencies to cooperate with the investigation. In addition, you are obligated to provide further information upon our request, if necessary.

&nbsp;&nbsp;&nbsp;&nbsp;11.2 If the anti-money laundering system screening finds out your trading data is abnormal, in order to comply with the relevant anti-money laundering laws and regulations and regulatory requirements, you agree that we shall have the right to submit your transaction information to the state supervision authorities and the third-party payment institutions, including but not limited to your name, account number, name of financial institutions of the account, trading background and so on. If we do not have full possession of the above information about you, you need to provide the above information within the time limit required by us.

**Article 12 Stopping Using & Compensation**

&nbsp;&nbsp;&nbsp;&nbsp;12.1 If we believe that any of your actions violates any applicable laws, this Policy or other terms (as defined in "Compliance with Relevant Terms" under this Policy) or damages the interests of other users, affiliates or us, including but not limited to fraud, theft or misappropriation of other's account, theft or counterfeiting of bank card number, theft or misappropriation of other's payment terminal equipment. If the following events occur, we may terminate or suspend your access to all or part of this website without the prior notification by us: (1) you have endangered other's security

of transaction or account;(2) the cardholder refuses to pay; (3) you have refused to cooperate with the investigation.

&nbsp;&nbsp;&nbsp;&nbsp;12.2 If your conduct causes us and/or our affiliates and third parties to suffer losses (including direct economic losses, loss of goodwill and indirect economic losses such as fines, compensation, settlement fees, attorney's fees and legal costs paid to external parties), you shall indemnify us and/or its affiliates and third parties for all the above-mentioned losses.

&nbsp;&nbsp;&nbsp;&nbsp;12.3 If your conduct causes us and/or its affiliates and partners to be subject to a third party's claim, we and/or its affiliates and partners may recover from you for all losses after we assume monetary payment and other obligations to the third party.

&nbsp;&nbsp;&nbsp;&nbsp;12.4 If your conduct causes any loss to a third party or you fail to perform the obligation of compensation, you agree to entrust us to use our own funds to pay the above amount on your behalf, and you shall return such amount and compensate us for all the losses caused thereby.

&nbsp;&nbsp;&nbsp;&nbsp;12.5 You agree that we and/or our affiliates may directly set off your rights and interests under our and/or our affiliates' other agreements and may continue to claim any amounts due but not paid by you.

**Article 13 Force Majeure**

"Force Majeure" refers to all events occurring after the execution of this Policy, which cannot be foreseen at the time of execution, whose occurrence and consequences are unavoidable or insurmountable, and which prevent either party from performing this Agreement in whole or in part. These events include earthquake, typhoon, flood, fire, war, riot, civil unrest, epidemic or government behavior (including but not limited to government embargo of hardware, software, technology related to the Product or Service, etc.), international or domestic transportation interruption, and other events deemed as force majeure under applicable law or general international business practices. Lack of funds by either party shall not be an event of force majeure.

After the occurrence of a force majeure event :(1) The party affected by the force majeure event shall not be deemed to be in breach of this Policy if it suspends its performance of this Policy within the period of delay caused by the force majeure event, and shall not be liable for the delay or failure to perform its obligations under this Policy caused by the force majeure event; (2) The party affected by the force majeure event shall immediately notify the other party in order to mitigate the loss that may be caused to the other party, and shall provide proof of the occurrence and estimated duration of the force majeure event within 15 working days after the occurrence of the force majeure event; (3) The liability for delay of monetary debts shall not be discharged due to force majeure.

**Article 14 Miscellaneous**

&nbsp;&nbsp;&nbsp;&nbsp;14.1 Please refer to the *<u>Repair Guide</u>* for the contents not specified in this Policy. In case there is any conflicts between this Policy and the *<u>Repair Guide,</u>* this Policy shall prevail. We reserve the right to illustrate this Policy.

&nbsp;&nbsp;&nbsp;&nbsp;14.2 Each of our worldwide repair sites has a specific range of services, as detailed in the *<u>Repair Guide.</u>* Please be sure to contact our customer service staff in advance to choose the best repair site for you.

&nbsp;&nbsp;&nbsp;&nbsp;14.3 We may make changes to our Products or Services, or to the applicable prices for such Products or Services. The information provided online with respect to Products and Services may be out of date, and Bitmain makes no commitment to update the information provided online with respect to such Products or Services.

&nbsp;&nbsp;&nbsp;&nbsp;14.4 You agree that the laws of Hong Kong, without regard to principles of conflict of laws, will govern this Policy and any dispute of any sort that might arise between you and Bitmain Technologies Limited.

&nbsp;&nbsp;&nbsp;&nbsp;14.5 Any dispute, controversy, difference or claim arising out of or relating to this Agreement, including the existence, validity, interpretation, performance, breach or termination hereof or any dispute regarding non-contractual obligations arising out of or relating to this Agreement shall be referred to and finally resolved by arbitration administered by the Hong Kong International Arbitration Center under the UNCITRAL Arbitration Rules in force when the notice of arbitration is submitted. The arbitral proceeding shall be conducted both in the languages of Chinese and English. The decision and awards of the arbitration shall be final and binding upon the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;14.6 Should you in any manner have violated or threatened to violate Bitmain's, its affiliate's, subsidiary's, or its associates' intellectual property rights, Bitmain may seek injunctive or other appropriate relief in any court or arbitration center of our choice. You consent to exclusive jurisdiction and venue in such courts or arbitration center.

&nbsp;&nbsp;&nbsp;&nbsp;14.7 If any of the aforementioned terms are held by a court or other tribunal of competent jurisdiction to be void or unenforceable, such term shall be limited or eliminated to the minimum extent necessary and replaced with a valid provision that best embodies the intent of the term, so that the terms shall remain in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;14.8 Compliance with Relevant Terms : You shall also observe the terms and conditions on these webpages: Policy of Use of Product (please refer to: <u>Conditions of Use)</u> and Privacy Policy (please refer to: The Bitmain Privacy Statement). Some services on this website (including but not limited to the on-line pay service) are provided by our business partners. When you use such services, you shall also observe the rules, terms and agreements provided by these business partners concerning the specific service (collectively, "Other Applicable Terms").

## Exhibit 99.59

**Exhibit 99.59**

**Form 46-201F1** <br> ***Escrow Agreemen*t**

**Table of Contents**

---

| | | | |
|:---|:---|:---|:---|
| **PART** | **TITLE** | **TITLE** |  |
| **PART 1** | **ESCROW** | **ESCROW** | **3** |
|  | 1.1 | Appointment of Escrow Agent | 3 |
|  | 1.2 | Deposit of Escrow Securities in Escrow | 3 |
|  | 1.3 | Direction to Escrow Agent | 4 |
| **PART 2** | **RELEASE OF ESCROW SECURITIES** | **RELEASE OF ESCROW SECURITIES** | **4** |
|  | 2.1 | Release Schedule for an Established Issuer | 4 |
|  | 2.2 | Release Schedule for an Emerging Issuer | 5 |
|  | 2.3 | Delivery of Share Certificates for Escrow Securities | 6 |
|  | 2.4 | Replacement Certificates | 6 |
|  | 2.5 | Release upon Death | 7 |
| **PART 3** | **EARLY RELEASE ON CHANGE OF ISSUER STATUS** | **EARLY RELEASE ON CHANGE OF ISSUER STATUS** | **7** |
|  | 3.1 | Becoming an Established Issuer | 7 |
|  | 3.2 | Release of Escrow Securities | 7 |
|  | 3.3 | Filing Requirements | 8 |
|  | 3.4 | Amendment of Release Schedule | 8 |
| **PART 4** | **DEALING WITH ESCROW SECURITIES** | **DEALING WITH ESCROW SECURITIES** | **8** |
|  | 4.1 | Restriction on Transfer, etc. | 8 |
|  | 4.2 | Pledge, Mortgage or Charge as Collateral for a Loan | 8 |
|  | 4.3 | Voting of Escrow Securities | 9 |
|  | 4.4 | Dividends on Escrow Securities | 9 |
|  | 4.5 | Exercise of Other Rights Attaching to Escrow Securities | 9 |
| **PART 5** | **PERMITTED TRANSFERS WITHIN ESCROW** | **PERMITTED TRANSFERS WITHIN ESCROW** | **9** |
|  | 5.1 | Transfer to Directors and Senior Officers | 9 |
|  | 5.2 | Transfer to Other Principals | 9 |
|  | 5.3 | Transfer upon Bankruptcy | 10 |
|  | 5.4 | Transfer Upon Realization of Pledged, Mortgaged or Charged Escrow Securities | 11 |
|  | 5.5 | Transfer to Certain Plans and Funds | 11 |
|  | 5.6 | Effect of Transfer Within Escrow | 12 |
| **PART 6** | **BUSINESS COMBINATIONS** | **BUSINESS COMBINATIONS** | **12** |
|  | 6.1 | Business Combinations | 12 |
|  | 6.2 | Delivery to Escrow Agent | 12 |
|  | 6.3 | Delivery to Depositary | 12 |
|  | 6.4 | Release of Escrow Securities to Depositary | 13 |
|  | 6.5 | Escrow of New Securities | 13 |
|  | 6.6 | Release from Escrow of New Securities | 13 |
| **PART 7** | **RESIGNATION OF ESCROW AGENT** | **RESIGNATION OF ESCROW AGENT** | **14** |
|  | 7.1 | Resignation of Escrow Agent | 14 |
| **PART 8** | **OTHER CONTRACTUAL ARRANGEMENTS** | **OTHER CONTRACTUAL ARRANGEMENTS** | **15** |
|  | 8.1 | Escrow Agent Not a Trustee | 15 |
|  | 8.2 | Escrow Agent Not Responsible for Genuineness | 15 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | 8.3 | Escrow Agent Not Responsible for Furnished Information | 15 |
|  | 8.4 | Escrow Agent Not Responsible after Release | 15 |
|  | 8.5 | Indemnification of Escrow Agent | 15 |
|  | 8.6 | Additional Provisions | 15 |
|  | 8.7 | Limitation of Liability of Escrow Agent | 16 |
|  | 8.8 | Remuneration of Escrow Agent | 16 |
|  | 8.9 | Notice to Escrow Agent | 17 |
|  | 8.10 | Privacy | 17 |
| **PART 9** | **NOTICES** | **NOTICES** | **17** |
|  | 9.1 | Notice to Escrow Agent | 17 |
|  | 9.2 | Notice to Issuer | 18 |
|  | 9.3 | Deliveries to Securityholders | 18 |
|  | 9.4 | Change of Address | 18 |
|  | 9.5 | Postal Interruption | 18 |
| **PART 10** | **GENERAL** | **GENERAL** | **18** |
|  | 10.1 | Interpretation - "holding securities" | 18 |
|  | 10.2 | Further Assurances | 18 |
|  | 10.3 | Time | 19 |
|  | 10.4 | Incomplete IPO | 19 |
|  | 10.5 | Governing Laws | 19 |
|  | 10.6 | Jurisdiction | 19 |
|  | 10.7 | Consent of Securities Regulators to Amendment | 19 |
|  | 10.8 | Counterparts | 19 |
|  | 10.9 | Singular and Plural | 19 |
|  | 10.10 | Language | 19 |
|  | 10.11 | Benefit and Binding Effect | 19 |
|  | 10.12 | Entire Agreement | 19 |
|  | 10.13 | Successor to Escrow Agent | 20 |
| **Schedule "A"** | **Schedule "A"** | **to Escrow Agreement** | **23** |
| **Schedule "B"** | **Schedule "B"** | **to Escrow Agreement** | **25** |

---

**ESCROW AGREEMENT**

**THIS AGREEMENT** is made as of November 19, 2025.

**AMONG:**

**BITZERO HOLDINGS INC.** <br> 1100 – 505 Burrard Street<br> Vancouver, BC V7X 1M5

(the **"Issuer"**)

**AND:**

**ODYSSEY TRUST COMPANY** <br> Suite 350 – 409 Granville Street<br> Vancouver, BC V6C 1T2

(the **"Escrow Agent"**)

**AND:**

**EACH OF THE UNDERSIGNED SECURITYHOLDERS OF THE ISSUER** <br> (a **"Securityholder"** or **"you"**)

(collectively, the **"Parties"**)

**This Agreement** is being entered into by the Parties under National Policy 46-201 *Escrow for Initial Public Offerings* (the "**Policy**") in connection with the Issuer's listing application under the policies of the Canadian Securities Exchange (the "**CSE**").

**For good and valuable consideration,** the Parties agree as follows:

---

| | |
|:---|:---|
| **PART 1** | **ESCROW** |

---

**1.1** **Appointment of Escrow Agent** 

The Issuer and the Securityholders appoint the Escrow Agent to act as escrow agent under this Agreement. The Escrow Agent accepts the appointment.

**1.2** **Deposit of Escrow Securities in Escrow** 

(1) You
 are depositing the securities **(escrow securities)** listed opposite your name in
 Schedule "A" with the Escrow Agent to be held in escrow under this Agreement.
 You will immediately deliver or cause to be delivered to the Escrow Agent any share certificates
 or other evidence of these securities which you have or which you may later receive.

(2) If
 you receive any other securities (**additional escrow securities**):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) as
 a dividend or other distribution on escrow securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) on
 the exercise of a right of purchase, conversion or exchange attaching to escrow securities,
 including securities received on conversion of special warrants;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) on
 a subdivision, or compulsory or automatic conversion or exchange of escrow securities;
 or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) from
 a successor issuer in a business combination, if Part 6 of this Agreement applies,

you will deposit them in escrow with the Escrow Agent. You will deliver or cause to be delivered to the Escrow Agent any share certificates or other evidence of those additional escrow securities. When this Agreement refers to **escrow securities,** it includes additional escrow securities.

(3) You
 will immediately deliver to the Escrow Agent any replacement share certificates or other
 evidence of additional escrow securities issued to you.

**1.3** **Direction to Escrow Agent** 

The Issuer and the Securityholders direct the Escrow Agent to hold the escrow securities in escrow until they are released from escrow under this Agreement.

---

| | |
|:---|:---|
| **PART 2** | **RELEASE OF ESCROW SECURITIES** |

---

**2.1** **Release Schedule for an Established Issuer** 

***2.1.1*** **Usual case** 

If the Issuer is an **established issuer** (as defined in section 3.3 of the Policy) and you have not sold any escrow securities in a permitted secondary offering, your escrow securities will be released as follows:

---

| | |
|:---|:---|
| On , 2 the date the Issuer's securities are listed on a Canadian exchange **(the listing date)** | 1/4 of your escrow securities |
| 6 months after the listing date | 1/3 of your remaining escrow securities |
| 12 months after the listing date | 1/2 of your remaining escrow securities |
| 18 months after the listing date | your remaining escrow securities |

---

\*In the simplest case, where there are no changes to the escrow securities initially deposited and no additional escrow securities, then the release schedule outlined above results in the escrow securities being released in equal tranches of 25%.

***2.1.2*** **Alternate meaning of "listing date"** 

If the Issuer is an established issuer, an alternate meaning for **listing date** is the date the Issuer completes its initial public offering (the "**IPO**") if the Issuer's securities are listed on a Canadian exchange immediately before its IPO.

***2.1.3*** **If there is a permitted secondary offering** 

(1) If
 the Issuer is an established issuer and you have sold in a permitted secondary offering
 25% or more of your escrow securities, your escrow securities will be released as follows:

For delivery to complete the IPO <u>All escrow securities sold by you in the permitted secondary offering</u> <br> <u>6 months after the listing date</u> <u>1/3 of your remaining escrow securities</u> <br> <u>12 months after the listing date</u> <u>1/2 of your remaining escrow securities</u>

\*In the simplest case, where there are no changes to the remaining escrow securities upon completion of the permitted secondary offering and no additional escrow securities, the release schedule outlined above results in the remaining escrow securities being released in equal tranches of 33 1/3%.

(2) If
 the Issuer is an established issuer and you have sold in a permitted secondary offering
 less than 25% of your escrow securities, your escrow securities will be released as follows:

---

| | |
|:---|:---|
| For delivery to complete the IPO | All escrow securities sold by you in the permitted secondary offering |
| On the listing date | 1/4 of your original number of escrow securities less the escrow securities sold by you in the permitted secondary offering |
| 6 months after the listing date | 1/3 of your remaining escrow securities |
| 12 months after the listing date | 1/2 of your remaining escrow securities |
| 18 months after the listing date | your remaining escrow securities |

---

\*In the simplest case, where there are no changes to the remaining escrow securities upon completion of the permitted secondary offering and no additional escrow securities, the release schedule outlined above results in the remaining escrow securities being released in equal tranches of 33 1/3% after completion of the release on the listing date.

***2.1.4*** **Additional escrow securities** 

If you acquire additional escrow securities, those securities will be added to the securities already in escrow, to increase the number of remaining escrow securities. After that, all of the escrow securities will be released in accordance with the applicable release schedule in the tables above.

**2.2** **Release Schedule for an Emerging Issuer** 

***2.2.1*** **Usual case** 

If the Issuer is an **emerging issuer** (as defined in section 3.3 of the Policy) and you have not sold any escrow securities in a permitted secondary offering, your escrow securities will be released as follows:

---

| | |
|:---|:---|
| On , 2025, the date the Issuer's securities are listed on the CSE **(the listing date)** | 1/10 of your escrow securities |
| 6 months after the listing date | 1/6 of your remaining escrow securities |
| 12 months after the listing date | 1/5 of your remaining escrow securities |
| 18 months after the listing date | 1/4 of your remaining escrow securities |
| 24 months after the listing date | 1/3 of your remaining escrow securities |
| 30 months after the listing date | 1/2 of your remaining escrow securities |
| 36 months after the listing date | your remaining escrow securities |

---

\*In the simplest case, where there are no changes to the escrow securities initially deposited and no additional escrow securities, the release schedule outlined above results in the escrow securities being released in equal tranches of 15% after completion of the release on the listing date.

***2.2.2*** **Alternate meaning of "listing date"** 

If the Issuer is an emerging issuer, an alternate meaning for **listing date** is the date the Issuer completes its IPO if:

(a) the
 Issuer's securities are not listed on a Canadian exchange immediately after its
 IPO; or

(b) the
 Issuer's securities are listed on a Canadian exchange immediately before its IPO.

***2.2.3*** **If there is a permitted secondary offering** 

(1) If
 the Issuer is an emerging issuer and you have sold in a permitted secondary offering
 10% or more of your escrow securities, your escrow securities will be released as follows:

---

| | |
|:---|:---|
| For delivery to complete the IPO | All escrow securities sold by you in the permitted secondary offering |
| 6 months after the listing date | 1/6 of your remaining escrow securities |
| 12 months after the listing date | 1/5 of your remaining escrow securities |
| 18 months after the listing date | 1/4 of your remaining escrow securities |
| 24 months after the listing date | 1/3 of your remaining escrow securities |
| 30 months after the listing date | 1/2 of your remaining escrow securities |
| 36 months after the listing date | your remaining escrow securities |

---

\*In the simplest case, where there are no changes to the remaining escrow securities upon completion of the permitted secondary offering and no additional escrow securities, the release schedule outlined above results in the remaining escrow securities being released in equal tranches of 16 2/3%.

(2) If
 the Issuer is an emerging issuer and you have sold in a permitted secondary offering
 less <br> than 10% of your escrow securities, your escrow securities
 will be released as follows:

---

| | |
|:---|:---|
| For delivery to complete the IPO | All escrow securities sold by you in the permitted secondary offering |
| On the listing date | 1/10 of your original number of escrow securities less the escrow securities sold by you in the permitted secondary offering |
| 6 months after the listing date | 1/6 of your remaining escrow securities |
| 12 months after the listing date | 1/5 of your remaining escrow securities |
| 18 months after the listing date | 1/4 of your remaining escrow securities |
| 24 months after the listing date | 1/3 of your remaining escrow securities |
| 30 months after the listing date | 1/2 of your remaining escrow securities |
| 36 months after the listing date | your remaining escrow securities |

---

\*In the simplest case, where there are no changes to the remaining escrow securities upon completion of the permitted secondary offering and no additional escrow securities, the release schedule outlined above results in the remaining escrow securities being released in equal tranches of 16 2/3% after completion of the release on the listing date.

***2.2.4*** **Additional escrow securities** 

If you acquire additional escrow securities, those securities will be added to the securities already in escrow, to increase the number of remaining escrow securities. After that, all of the escrow securities will be released in accordance with the applicable release schedule in the tables above.

**2.3** **Delivery of Share Certificates for Escrow Securities** 

The Escrow Agent will send to each Securityholder any share certificates or other evidence of that Securityholder's escrow securities in the possession of the Escrow Agent released from escrow as soon as reasonably practicable after the release.

**2.4** **Replacement Certificates** 

If, on the date a Securityholder's escrow securities are to be released, the Escrow Agent holds a share certificate or other evidence representing more escrow securities than are to be released, the Escrow Agent will deliver the share certificate or other evidence to the Issuer or its transfer agent and request replacement share certificates or other evidence. The Issuer will cause replacement share certificates or other evidence to be prepared and delivered to the Escrow Agent. After the Escrow Agent receives the replacement share certificates or other evidence, the Escrow Agent will send to the Securityholder or at the Securityholder's direction, the replacement share certificate or other evidence of the escrow securities released. The Escrow Agent and Issuer will act as soon as reasonably practicable.

**2.5** **Release upon Death** 

(1) If
 a Securityholder dies, the Securityholder's escrow securities will be released
 from escrow. The Escrow Agent will deliver any share certificates or other evidence of
 the escrow securities in the possession of the Escrow Agent to the Securityholder's
 legal representative.

(2) Prior
 to delivery the Escrow Agent must receive:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a
 certified copy of the death certificate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any
 evidence of the legal representative's status that the Escrow Agent may reasonably
 require.

---

| | |
|:---|:---|
| **PART 3** | **EARLY RELEASE ON CHANGE OF ISSUER STATUS** |

---

**3.1** **Becoming an Established Issuer** 

If the Issuer is an emerging issuer on the date of this Agreement and, during this Agreement, the Issuer:

(a) lists
 its securities on the Toronto Stock Exchange Inc. or Aequitas NEO Exchange Inc.;

(b) becomes
 a TSX Venture Exchange Inc. **(TSX Venture)** Tier 1 issuer; or

(c) lists
 or quotes its securities on an exchange or market outside Canada that its "principal
 regulator" under National Policy 43-201 *Mutual Reliance Review System for Prospectuses and Annual Information Forms* (in Quebec under Staff Notice, *Mutual Reliance Review System for Prospectuses and Annual Information Forms*) or, if the Issuer has only
 filed its IPO prospectus in one jurisdiction, the securities regulator in that jurisdiction,
 is satisfied has minimum listing requirements at least equal to those of TSX Venture
 Tier 1,

then the Issuer becomes an **established issuer.**

**3.2** **Release of Escrow Securities** 

(1) When
 an emerging issuer becomes an established issuer, the release schedule for its escrow
 securities changes.

(2) If
 an emerging issuer becomes an established issuer 18 months or more after its listing
 date, all escrow securities will be released immediately.

(3) If
 an emerging issuer becomes an established issuer within 18 months after its listing date,
 all escrow securities that would have been released to that time, if the Issuer was an
 established issuer on its listing date, will be released immediately. Remaining escrow
 securities will be released in equal installments on the day that is 6 months, 12 months
 and 18 months after the listing date.

**3.3** **Filing Requirements** 

Escrow securities will not be released under this Part until the Issuer does the following:

(a) at
 least 20 days before the date of the first release of escrow securities under the new
 release schedule, files with the securities regulators in the jurisdictions in which
 it is a reporting issuer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a
 certificate signed by a director or officer of the Issuer authorized to sign stating

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) that the Issuer has become an established issuer by satisfying one of the conditions in section 3.1 and specifying the condition, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the number of escrow securities to be released on the first release date under the new release schedule, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a
 copy of a letter or other evidence from the exchange or quotation service confirming
 that the Issuer has satisfied the condition to become an established issuer; and

(b) at
 least 10 days before the date of the first release of escrow securities under the new
 release schedule, issues and files with the securities regulators in the jurisdictions
 in which it is a reporting issuer a news release disclosing details of the first release
 of the escrow securities and the change in the release schedule, and sends a copy of
 such filing to the Escrow Agent.

**3.4** **Amendment of Release Schedule** 

The new release schedule will apply 10 days after the Escrow Agent receives a certificate signed by a director or officer of the Issuer authorized to sign

(a) stating
 that the Issuer has become an established issuer by satisfying one of the conditions
 in section 3.1 and specifying the condition;

(b) stating
 that the release schedule for the Issuer's escrow securities has changed;

(c) stating
 that the Issuer has issued a news release at least 10 days before the first release date
 under the new release schedule and specifying the date that the news release was issued;
 and

(d) specifying
 the new release schedule.

---

| | |
|:---|:---|
| **PART 4** | **DEALING WITH ESCROW SECURITIES** |

---

**4.1** **Restriction on Transfer, etc.** 

**Unless it is expressly permitted in this Agreement, you will not sell, transfer, assign, mortgage, enter into a derivative transaction concerning, or otherwise deal in any way with your escrow securities or any related share certificates or other evidence of the escrow securities. If a Securityholder is a private company controlled by one or more principals (as defined in section 3.5 of the Policy) of the Issuer, the Securityholder may not participate in a transaction that results in a change of its control or a change in the economic exposure of the principals to the risks of holding escrow securities.**

**4.2** **Pledge, Mortgage or Charge as Collateral for a Loan** 

You may pledge, mortgage or charge your escrow securities to a financial institution as collateral for a loan, provided that no escrow securities or any share certificates or other evidence of escrow securities will be transferred or delivered by the Escrow Agent to the financial institution for this purpose. The loan agreement must provide that the escrow securities will remain in escrow if the lender realizes on the escrow securities to satisfy the loan.

**4.3** **Voting of Escrow Securities** 

You may exercise any voting rights attached to your escrow securities.

**4.4** **Dividends on Escrow Securities** 

You may receive a dividend or other distribution on your escrow securities, and elect the manner of payment from the standard options offered by the Issuer. If the Escrow Agent receives a dividend or other distribution on your escrow securities, other than additional escrow securities, the Escrow Agent will pay the dividend or other distribution to you on receipt.

**4.5** **Exercise of Other Rights Attaching to Escrow Securities** 

You may exercise your rights to exchange or convert your escrow securities in accordance with this Agreement.

---

| | |
|:---|:---|
| **PART 5** | **PERMITTED TRANSFERS WITHIN ESCROW** |

---

**5.1** **Transfer to Directors and Senior Officers** 

(1) You
 may transfer escrow securities within escrow to existing or, upon their appointment,
 incoming directors or senior officers of the Issuer or any of its material operating
 subsidiaries, if the Issuer's board of directors has approved the transfer.

(2) Prior
 to the transfer the Escrow Agent must receive:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a
 certified copy of the resolution of the board of directors of the Issuer approving the
 transfer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a
 certificate signed by a director or officer of the Issuer authorized to sign, stating
 that the transfer is to a director or senior officer of the Issuer or a material operating
 subsidiary and that any required approval from the Canadian exchange the Issuer is listed
 on has been received;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) an
 acknowledgment in the form of Schedule "B" signed by the transferee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) copies
 of the letters sent to the securities regulators described in subsection (3) accompanying
 the acknowledgement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) a
 transfer power of attorney, completed and executed by the transferor in accordance with
 the requirements of the Issuer's transfer agent.

(3) At
 least 10 days prior to the transfer, the Issuer will file a copy of the acknowledgement
 with the securities regulators in the jurisdictions in which it is a reporting issuer.

**5.2** **Transfer to Other Principals** 

(1) You
 may transfer escrow securities within escrow:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to
 a person or company that before the proposed transfer holds more than 20% of the voting
 rights attached to the Issuer's outstanding securities; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to
 a person or company that after the proposed transfer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) will
 hold more than 10% of the voting rights attached to the Issuer's outstanding securities,
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) has
 the right to elect or appoint one or more directors or senior officers of the Issuer
 or any of its material operating subsidiaries.

(2) Prior
 to the transfer the Escrow Agent must receive:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a
 certificate signed by a director or officer of the Issuer authorized to sign stating
 that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 transfer is to a person or company that the officer believes, after reasonable investigation,
 holds more than 20% of the voting rights attached to the Issuer's outstanding securities
 before the proposed transfer, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 transfer is to a person or company that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the officer believes, after reasonable investigation, will hold more than 10% of the voting rights attached to the Issuer's outstanding securities, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) has the right to elect or appoint one or more directors or senior officers of the Issuer or any of its material operating subsidiaries

after the proposed transfer, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any
 required approval from the Canadian exchange the Issuer is listed on has been received;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an
 acknowledgment in the form of Schedule "B" signed by the transferee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) copies
 of the letters sent to the securities regulators accompanying the acknowledgement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a
 transfer power of attorney, executed by the transferor in accordance with the requirements
 of the Issuer's transfer agent.

**(3)** **At least 10 days prior to the transfer, the Issuer will file a copy of the acknowledgement with the securities regulators in the jurisdictions in which it is a reporting issuer.** 

**5.3** **Transfer upon Bankruptcy** 

(1) You
 may transfer escrow securities within escrow to a trustee in bankruptcy or another person
 or company entitled to escrow securities on bankruptcy.

(2) Prior
 to the transfer, the Escrow Agent must receive:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a
 certified copy of either

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 assignment in bankruptcy filed with the Superintendent of Bankruptcy, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 receiving order adjudging the Securityholder bankrupt;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a
 certified copy of a certificate of appointment of the trustee in bankruptcy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a
 transfer power of attorney, completed and executed by the transferor in accordance with
 the requirements of the Issuer's transfer agent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) an
 acknowledgment in the form of Schedule "B" signed by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 trustee in bankruptcy, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) on
 direction from the trustee, with evidence of that direction attached to the acknowledgment
 form, another person or company legally entitled to the escrow securities.

(3) Within
 10 days after the transfer, the transferee of the escrow securities will file a copy
 of the acknowledgment with the securities regulators in the jurisdictions in which the
 Issuer is a reporting issuer.

**5.4** **Transfer Upon Realization of Pledged, Mortgaged or Charged Escrow Securities** 

(1) You
 may transfer within escrow to a financial institution the escrow securities you have
 pledged, mortgaged or charged under section 4.2 to that financial institution as
 collateral for a loan on realization of the loan.

(2) Prior
 to the transfer the Escrow Agent must receive:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a
 statutory declaration of an officer of the financial institution that the financial institution
 is legally entitled to the escrow securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a
 transfer power of attorney, executed by the transferor in accordance with the requirements
 of the Issuer's transfer agent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) an
 acknowledgement in the form of Schedule "B" signed by the financial institution.

(3) Within
 10 days after the transfer, the transferee of the escrow securities will file a copy
 of the acknowledgment with the securities regulators in the jurisdictions in which the
 Issuer is a reporting issuer.

**5.5** **Transfer to Certain Plans and Funds** 

(1) You
 may transfer escrow securities within escrow to or between a registered retirement savings
 plan (RRSP), registered retirement income fund (RRIF) or other similar registered plan
 or fund with a trustee, where the annuitant of the RRSP or RRIF, or the beneficiaries
 of the other registered plan or fund are limited to you and your spouse, children and
 parents, or, if you are the trustee of such a registered plan or fund, to the annuitant
 of the RRSP or RRIF, or a beneficiary of the other registered plan or fund, as applicable,
 or his or her spouse, children and parents.

(2) Prior
 to the transfer the Escrow Agent must receive:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) evidence
 from the trustee of the transferee plan or fund, or the trustee's agent, stating
 that, to the best of the trustee's knowledge, the annuitant of the RRSP or RRIF,
 or the beneficiaries of the other registered plan or fund do not include any person or
 company other than you and your spouse, children and parents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a
 transfer power of attorney, executed by the transferor in accordance with the requirements
 of the Issuer's transfer agent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) an
 acknowledgement in the form of Schedule "B" signed by the trustee of the
 plan or fund.

(3) Within
 10 days after the transfer, the transferee of the escrow securities will file a copy
 of the acknowledgment with the securities regulators in the jurisdictions in which the
 Issuer is a reporting issuer.

**5.6** **Effect of Transfer Within Escrow** 

After the transfer of escrow securities within escrow, the escrow securities will remain in escrow and released from escrow under this Agreement as if no transfer has occurred on the same terms that applied before the transfer. The Escrow Agent will not deliver any share certificates or other evidence of the escrow securities to transferees under this Part 5.

---

| | |
|:---|:---|
| **PART 6** | **BUSINESS COMBINATIONS** |

---

**6.1** **Business Combinations** 

This Part applies to the following **(business combinations)**:

(a) a
 formal take-over bid for all outstanding equity securities of the Issuer or which, if
 successful, would result in a change of control of the Issuer

(b) a
 formal issuer bid for all outstanding equity securities of the Issuer

(c) a
 statutory arrangement

(d) an
 amalgamation

(e) a
 merger

(f) a
 reorganization that has an effect similar to an amalgamation or merger

**6.2** **Delivery to Escrow Agent** 

You may tender your escrow securities to a person or company in a business combination. At least five business days prior to the date the escrow securities must be tendered under the business combination, you must deliver to the Escrow Agent:

(a) a
 written direction signed by you that directs the Escrow Agent to deliver to the depositary
 under the business combination any share certificates or other evidence of the escrow
 securities and a completed and executed cover letter or similar document and, where required,
 transfer power of attorney completed and executed for transfer in accordance with the
 requirements of the depositary, and any other documentation specified or provided by
 you and required to be delivered to the depositary under the business combination; and

(b) any
 other information concerning the business combination as the Escrow Agent may reasonably
 request.

**6.3** **Delivery to Depositary** 

As soon as reasonably practicable, and in any event no later than three business days after the Escrow Agent receives the documents and information required under section 6.2, the Escrow Agent will deliver to the depositary, in accordance with the direction, any share certificates or other evidence of the escrow securities, and a letter addressed to the depositary that

(a) identifies
 the escrow securities that are being tendered;

(b) states
 that the escrow securities are held in escrow;

(c) states
 that the escrow securities are delivered only for the purposes of the business combination
 and that they will be released from escrow only after the Escrow Agent receives the information
 described in section 6.4;

(d) if
 any share certificates or other evidence of the escrow securities have been delivered
 to the depositary, requires the depositary to return to the Escrow Agent, as soon as
 practicable, any share certificates or other evidence of escrow securities that are not
 released from escrow into the business combination; and

(e) where
 applicable, requires the depositary to deliver or cause to be delivered to the Escrow
 Agent, as soon as practicable, any share certificates or other evidence of additional
 escrow securities that you acquire under the business combination.

**6.4** **Release of Escrow Securities to Depositary** 

The Escrow Agent will release from escrow the tendered escrow securities when the Escrow Agent receives a declaration signed by the depositary or, if the direction identifies the depositary as acting on behalf of another person or company in respect of the business combination, by that other person or company, that:

(a) the
 terms and conditions of the business combination have been met or waived; and

(b) the
 escrow securities have either been taken up and paid for or are subject to an unconditional
 obligation to be taken up and paid for under the business combination.

**6.5** **Escrow of New Securities** 

If you receive securities **(new securities)** of another issuer **(successor issuer)** in exchange for your escrow securities, the new securities will be subject to escrow in substitution for the tendered escrow securities if, immediately after completion of the business combination:

(a) the
 successor issuer is not an **exempt issuer** (as defined in section 3.2 of the Policy);

(b) you
 are a **principal** (as defined in section 3.5 of the Policy) of the successor issuer;
 and

(c) you
 hold more than 1% of the voting rights attached to the successor issuer's outstanding
 securities (in calculating this percentage, include securities that may be issued to
 you under outstanding convertible securities in both your securities and the total securities
 outstanding.)

**6.6** **Release from Escrow of New Securities** 

(1) As
 soon as reasonably practicable after the Escrow Agent receives:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a
 certificate from the successor issuer signed by a director or officer of the successor
 issuer authorized to sign

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) stating
 that it is a successor issuer to the Issuer as a result of a business combination and
 whether it is an emerging issuer or an established issuer under the Policy, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) listing
 the Securityholders whose new securities are subject to escrow under section 6.5,

the escrow securities of the Securityholders whose new securities are not subject to escrow under section 6.5 will be released, and the Escrow Agent will send any share certificates or other evidence of the escrow securities in the possession of the Escrow Agent in accordance with section 2.3.

(2) If
 your new securities are subject to escrow, unless subsection (3) applies, the Escrow
 Agent will hold your new securities in escrow on the same terms and conditions, including
 release dates, as applied to the escrow securities that you exchanged.

(3) If
 the Issuer is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an
 emerging issuer, the successor issuer is an established issuer, and the business combination
 occurs 18 months or more after the Issuer's listing date, all escrow securities
 will be released immediately; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an
 emerging issuer, the successor issuer is an established issuer, and the business combination
 occurs within 18 months after the Issuer's listing date, all escrow securities
 that would have been released to that time, if the Issuer was an established issuer on
 its listing date, will be released immediately. Remaining escrow securities will be released
 in equal instalments on the day that is 6 months, 12 months and 18 months after the Issuer's
 listing date.

---

| | |
|:---|:---|
| **PART 7** | **RESIGNATION OF ESCROW AGENT** |

---

**7.1** **Resignation of Escrow Agent** 

(1) If
 the Escrow Agent wishes to resign as escrow agent, the Escrow Agent will give written
 notice to the Issuer.

(2) If
 the Issuer wishes to terminate the Escrow Agent as escrow agent, the Issuer will give
 written notice to the Escrow Agent.

(3) If
 the Escrow Agent resigns or is terminated, the Issuer will be responsible for ensuring
 that the Escrow Agent is replaced not later than the resignation or termination date
 by another escrow agent that is acceptable to the securities regulators having jurisdiction
 in the matter and that has accepted such appointment, which appointment will be binding
 on the Issuer and the Securityholders.

(4) The
 resignation or termination of the Escrow Agent will be effective, and the Escrow Agent
 will cease to be bound by this Agreement, on the date that is 60 days after the date
 of receipt of the notices referred to above by the Escrow Agent or Issuer, as applicable,
 or on such other date as the Escrow Agent and the Issuer may agree upon (the "resignation
 or termination date"), provided that the resignation or termination date will not
 be less than 10 business days before a release date.

(5) If
 the Issuer has not appointed a successor escrow agent within 60 days of the resignation
 or termination date, the Escrow Agent will apply, at the Issuer's expense, to a
 court of competent

(6) jurisdiction
 for the appointment of a successor escrow agent, and the duties and responsibilities
 of the Escrow Agent will cease immediately upon such appointment.

(7) On
 any new appointment under this section, the successor Escrow Agent will be vested with
 the same powers, rights, duties and obligations as if it had been originally named herein
 as Escrow Agent, without any further assurance, conveyance, act or deed. The predecessor
 Escrow Agent, upon receipt of payment for any outstanding account for its services and
 expenses then unpaid, will transfer, deliver and pay over to the successor Escrow Agent,
 who will be entitled to receive, all securities, records or other property on deposit
 with the predecessor Escrow Agent in relation to this Agreement and the predecessor Escrow
 Agent will thereupon be discharged as Escrow Agent.

(8) If
 any changes are made to Part 8 of this Agreement as a result of the appointment of the
 successor Escrow Agent, those changes must not be inconsistent with the Policy and the
 terms of this Agreement and the Issuer to this Agreement will file a copy of the new
 Agreement with the securities regulators with jurisdiction over this Agreement and the
 escrow securities.

---

| | |
|:---|:---|
| **PART 8** | **OTHER CONTRACTUAL ARRANGEMENTS** |

---

**8.1** **Escrow Agent Not a Trustee** 

The Escrow Agent accepts duties and responsibilities under this Agreement, and the escrow securities and any share certificates or other evidence of these securities, solely as a custodian, bailee and agent. No trust is intended to be, or is or will be, created hereby and the Escrow Agent shall owe no duties hereunder as a trustee.

**8.2** **Escrow Agent Not Responsible for Genuineness** 

The Escrow Agent will not be responsible or liable in any manner whatsoever for the sufficiency, correctness, genuineness or validity of any escrow security deposited with it.

**8.3** **Escrow Agent Not Responsible for Furnished Information** 

The Escrow Agent will have no responsibility for seeking, obtaining, compiling, preparing or determining the accuracy of any information or document, including the representative capacity in which a party purports to act, that the Escrow Agent receives as a condition to a release from escrow or a transfer of escrow securities within escrow under this Agreement.

**8.4** **Escrow Agent Not Responsible after Release** 

The Escrow Agent will have no responsibility for escrow securities that it has released to a Securityholder or at a Securityholder's direction according to this Agreement.

**8.5** **Indemnification of Escrow Agent** 

The Issuer and each Securityholder hereby jointly and severally agree to indemnify and hold harmless the Escrow Agent, its affiliates, and their current and former directors, officers, employees and agents from and against any and all claims, demands, losses, penalties, costs, expenses, fees and liabilities, including, without limitation, legal fees and expenses, directly or indirectly arising out of, in connection with, or in respect of, this Agreement, except where same result directly and principally from gross negligence, willful misconduct or bad faith on the part of the Escrow Agent. This indemnity survives the release of the escrow securities, the resignation or termination of the Escrow Agent and the termination of this Agreement.

**8.6** **Additional Provisions** 

(1) The
 Escrow Agent will be protected in acting and relying reasonably upon any notice, direction,
 instruction, order, certificate, confirmation, request, waiver, consent, receipt, statutory
 declaration or other paper or document (collectively referred to as "Documents")
 furnished to it and purportedly signed by any officer or person required to or entitled
 to execute and deliver to the Escrow Agent any such Document in connection with this
 Agreement, not only as to its due execution and the validity and effectiveness of its
 provisions, but also as to the truth or accuracy of any information therein contained,
 which it in good faith believes to be genuine.

(2) The
 Escrow Agent will not be bound by any notice of a claim or demand with respect thereto,
 or any waiver, modification, amendment, termination or rescission of this Agreement unless
 received by it in writing, and signed by the other Parties and approved by the Exchange,
 and, if the duties or indemnification of the Escrow Agent in this Agreement are affected,
 unless it has given its prior written consent.

(3) The
 Escrow Agent may consult with or retain such legal counsel and advisors as it may reasonably
 require for the purpose of discharging its duties or determining its rights under this
 Agreement and may rely and act upon the advice of such counsel or advisor. The Escrow
 Agent will give written notice to the Issuer as soon as practicable that it has retained
 legal counsel or other advisors. The Issuer will pay or reimburse the Escrow Agent for
 any reasonable fees, expenses and disbursements of such counsel or advisors.

(4) In
 the event of any disagreement arising under the terms of this Agreement, the Escrow Agent
 will be entitled, at its option, to refuse to comply with any and all demands whatsoever
 until the dispute is settled either by a written agreement among the Parties or by a
 court of competent jurisdiction.

(5) The
 Escrow Agent will have no duties or responsibilities except as expressly provided in
 this Agreement and will have no duty or responsibility under the Policy or arising under
 any other agreement, including any agreement referred to in this Agreement, to which
 the Escrow Agent is not a party.

(6) The
 Escrow Agent will have the right not to act and will not be liable for refusing to act
 unless it has received clear and reasonable documentation that complies with the terms
 of this Agreement. Such documentation must not require the exercise of any discretion
 or independent judgment.

(7) The
 Escrow Agent is authorized to cancel any share certificate delivered to it and hold such
 Securityholder's escrow securities in electronic or uncertificated form only, pending
 release of such securities from escrow.

(8) The
 Escrow Agent will have no responsibility with respect to any escrow securities in respect
 of which no share certificate or other evidence or electronic or uncertificated form
 of these securities has been delivered to it, or otherwise received by it.

**8.7** **Limitation of Liability of Escrow Agent** 

The Escrow Agent will not be liable to any of the Parties hereunder for any action taken or omitted to be taken by it under or in connection with this Agreement, except for losses directly, principally and immediately caused by its bad faith, willful misconduct or gross negligence. Under no circumstances will the Escrow Agent be liable for any special, indirect, incidental, consequential, exemplary, aggravated or punitive losses or damages hereunder, including any loss of profits, whether foreseeable or unforeseeable. Notwithstanding the foregoing or any other provision of this Agreement, in no event will the collective liability of the Escrow Agent under or in connection with this Agreement to any one or more Parties, except for losses directly caused by its bad faith or willful misconduct, exceed the amount of its annual fees under this Agreement or the amount of three thousand dollars ($3,000.00), whichever amount shall be greater.

**8.8** **Remuneration of Escrow Agent** 

The Issuer will pay the Escrow Agent reasonable remuneration for its services under this Agreement, which fees are subject to revision from time to time on 30 days' written notice. The Issuer will reimburse the Escrow Agent for its expenses and disbursements. Any amount due under this section and unpaid 30 days after request for such payment, will bear interest from the expiration of such period at a rate per annum equal to the then current rate charged by the Escrow Agent, payable on demand.

In the event the Issuer or the Securityholders fail to pay the Escrow Agent any amounts owing to the Escrow Agent hereunder, the Escrow Agent shall have the right not to act (including the right not to release any additional securities from escrow) and will not be liable for refusing to act until it has been fully paid all amounts owing to it hereunder. Further, in the event the Issuer fails to pay the Escrow Agent its reasonable remuneration for its services hereunder, the Escrow Agent shall be entitled to charge the Securityholders for any further release of escrowed securities and shall have the right not to act (including the right not to release any additional securities from escrow) until the Securityholders have paid such amounts to the Escrow Agent.

In the event the Issuer or the Securityholders have failed to pay the amounts owing the Escrow Agent hereunder, the Escrow Agent shall not be liable for any loss caused by a delay in the release of the escrowed securities.

**8.9** **Notice to Escrow Agent** 

The Issuer shall forthwith provide a copy of the Exchange Bulletin, confirmation of listing and posting for trading of the subject escrowed shares or such other relevant document to the Escrow Agent as it shall require in order to make the required releases. No duty shall rest with the Escrow Agent to obtain this information independently nor shall it be held liable for any loss, claim, suit or action, howsoever caused by any delay in providing this information to it.

**8.10** **Privacy** 

Despite any other provision of this Agreement, no party hereto shall take or direct any action that would contravene, or cause the other to contravene, applicable federal and/or provincial legislation that addresses the protection of individuals' personal information (collectively, "Privacy Laws"). The Issuer shall, prior to transferring or causing to be transferred personal information to the Escrow Agent, obtain and retain required consents of the relevant individuals to the collection, use and disclosure of their personal information, or shall have determined that such consents either have previously been given upon which the parties can rely or are not required under the Privacy Laws. The Escrow Agent shall use commercially reasonable efforts to ensure that its services hereunder comply with Privacy Laws.

---

| | |
|:---|:---|
| **PART 9** | **NOTICES** |

---

**9.1** **Notice to Escrow Agent** 

Documents will be considered to have been delivered to the Escrow Agent on the next business day following the date of transmission, if delivered by fax, the date of delivery, if delivered by hand during normal business hours or by prepaid courier, or 5 business days after the date of mailing, if delivered by mail, to the following:

**ODYSSEY TRUST COMPANY**<br> Suite 350 – 409 Granville Street<br> Vancouver, BC V6C 1T2<br>Attention: Managing Director, Client Services<br> Email: **[REDACTED]**

**9.2** **Notice to Issuer** 

Documents will be considered to have been delivered to the Issuer on the next business day following the date of transmission, if delivered by fax, the date of delivery, if delivered by hand during normal business hours or by prepaid courier, or 5 business days after the date of mailing, if delivered by mail, to the following:

**BITZERO HOLDINGS INC.** <br> 1100 – 505 Burrard Street<br> Vancouver, BC V7X 1M5

Attention: Chief Executive Officer<br> Email: **[REDACTED]**

**9.3** **Deliveries to Securityholders** 

Documents will be considered to have been delivered to a Securityholder on the date of delivery, if delivered by hand or by prepaid courier, or 5 business days after the date of mailing, if delivered by mail, to the address on the Issuer's share register.

Any share certificates or other evidence of a Securityholder's escrow securities will be sent to the Securityholder's address on the Issuer's share register unless the Securityholder has advised the Escrow Agent in writing otherwise at least ten business days before the escrow securities are released from escrow. The Issuer will provide the Escrow Agent with each Securityholder's address as listed on the Issuer's share register.

**9.4** **Change of Address** 

(1) The
 Escrow Agent may change its address for delivery by delivering notice of the change of
 address to the Issuer and to each Securityholder.

(2) The
 Issuer may change its address for delivery by delivering notice of the change of address
 to the Escrow Agent and to each Securityholder.

(3) A
 Securityholder may change that Securityholder's address for delivery by delivering
 notice of the change of address to the Issuer and to the Escrow Agent.

**9.5** **Postal Interruption** 

A Party to this Agreement will not mail a document it is required to mail under this Agreement if the Party is aware of an actual or impending disruption of postal service.

---

| | |
|:---|:---|
| **PART 10** | **GENERAL** |

---

**10.1** **Interpretation - "holding securities"** 

When this Agreement refers to securities that a Securityholder "holds", it means that the Securityholder has direct or indirect beneficial ownership of, or control or direction over, the securities.

**10.2** **Further Assurances** 

The Parties will execute and deliver any further documents and perform any further acts reasonably requested by any of the Parties to this Agreement which are necessary to carry out the intent of this Agreement.

**10.3** **Time** 

Time is of the essence of this Agreement.

**10.4** **Incomplete IPO** 

If the Issuer does not complete its IPO and has become a reporting issuer in one or more jurisdictions because it has obtained a receipt for its IPO prospectus, this Agreement will remain in effect until the securities regulators in those jurisdictions order that the Issuer has ceased to be a reporting issuer.

**10.5** **Governing Laws** 

The laws of the Province of British Columbia (the "**Principal Regulator**") and the applicable laws of Canada will govern this Agreement.

**10.6** **Jurisdiction** 

The securities regulator in each jurisdiction where the Issuer files its IPO prospectus has jurisdiction over this Agreement and the escrow securities.

**10.7** **Consent of Securities Regulators to Amendment** 

Except for amendments made under Part 3, the securities regulators with jurisdiction must approve any amendment to this Agreement and will apply mutual reliance principles in reviewing any amendments that are filed with them. Therefore, the consent of the Principal Regulator will evidence the consent of all securities regulators with jurisdiction.

**10.8** **Counterparts** 

The Parties may execute this Agreement by fax and in counterparts, each of which will be considered an original and all of which will be one agreement.

**10.9** **Singular and Plural** 

Wherever a singular expression is used in this Agreement, that expression is considered as including the plural or the body corporate where required by the context.

**10.10** **Language** 

This Agreement has been drawn up in the English language at the request of all Parties. Cette convention a été rédigé en [anglais/français] à la demande de toutes les Parties.

**10.11** **Benefit and Binding Effect** 

This Agreement will benefit and bind the Parties and their heirs, executors, administrators, successors and permitted assigns and all persons claiming through them as if they had been a Party to this Agreement.

**10.12** **Entire Agreement** 

This is the entire agreement among the Parties concerning the subject matter set out in this Agreement and supersedes any and all prior understandings and agreements.

**10.13** **Successor to Escrow Agent** 

Any corporation with which the Escrow Agent may be amalgamated, merged or consolidated, or any corporation succeeding to the business of the Escrow Agent will be the successor of the Escrow Agent under this Agreement without any further act on its part or on the part or any of the Parties, provided that the successor is recognized as a transfer agent by the Canadian exchange the Issuer is listed on (or if the Issuer is not listed on a Canadian exchange, by any Canadian exchange) and notice is given to the securities regulators with jurisdiction.

The Parties have executed and delivered this Agreement as of the date set out above.

---

| |
|:---|
| **ODYSSEY TRUST COMPANY** |
| */s/ Arlene Agnew* |
| Authorized signatory |
| */s/ Stacey DiCampo* |
| Authorized signatory |
| **BITZERO HOLDINGS INC.** |
| */s/ Mohammed Bakhashwain* |
| Authorized signatory |
| */s/ Igor Kostioutchenko* |
| Authorized signatory |

---

---

| | | |
|:---|:---|:---|
| Signed, sealed and delivered by | **)** |  |
| **Mohammed Bakhashwain** in the presence of: | **)** |  |
|  | **)** |  |
| **FREDACTEDI** | **)** |  |
| Signature of Witness | **)** | */s/ Mohammed Bakhashwain* |
|  | **)** | **Mohammed Bakhashwain** |
| **FREDACTEDI** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |
| Signed, sealed and delivered by | **)** |  |
| **Giovanni Gaudenzi** in the presence of: | **)** |  |
|  | **)** |  |
| **FREDACTEDI** | **)** |  |
| Signature of Witness | **)** | */s/ Giovanni Gaudenzi* |
|  | **)** | **Giovanni Gaudenzi** |
| **FREDACTEDI** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |
| Signed, sealed and delivered by | **)** |  |
| **Igor Kostioutchenko** in the presence of: | **)** |  |
|  | **)** |  |
| **FREDACTEDI** | **)** |  |
| Signature of Witness | **)** | */s/ Igor Kostioutchenko* |
|  | **)** | **Igor Kostioutchenko** |
| **FREDACTEDI** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |
| Signed, sealed and delivered by | **)** |  |
| **Josie Anne Vilchez Chirichigno** in the presence of: | **)** |  |
|  | **)** |  |
| **FREDACTEDI** | **)** |  |
| Signature of Witness | **)** | */s/ Josie Anne Vilchez Chirichigno* |
|  | **)** | **Josie Anne Vilchez Chirichigno** |
| **FREDACTEDI** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |
| Signed, sealed and delivered by | **)** |  |
| **Gilles Seguin** in the presence of: | **)** |  |
|  | **)** |  |
| **FREDACTEDI** | **)** |  |
| Signature of Witness | **)** | */s/ Gilles Seguin* |
|  | **)** | **Gilles Seguin** |
| **FREDACTEDI** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |

---

---

| | | |
|:---|:---|:---|
| Signed, sealed and delivered by | **)** |  |
| **Claudia Di Iorio** in the presence of: | **)** |  |
|  | **)** |  |
| **[REDACTED]** | **)** |  |
| Signature of Witness | **)** | */s/ Claudia Di Iorio* |
|  | **)** | **Claudia Di Iorio** |
| **[REDACTED]** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |
| **EXAKRAFT AS** |  |  |
| */s/ Frank Aadnevik* |  |  |
| Authorized signatory |  |  |
| Authorized signatory |  |  |
| **KAZCO HOLDINGS LTD.** |  |  |
| */s/ Gilles Seguin* |  |  |
| Authorized signatory |  |  |
| Authorized signatory |  |  |
| Signed, sealed and delivered by | **)** |  |
| **Mohammed Salah Bakhashwain** in the presence of: | **)** |  |
|  | **)** |  |
| &nbsp;&nbsp;&nbsp;**[REDACTED]** | **)** |  |
| Signature of Witness | **)** | */s/ Mohammed Salah Bakhashwain* |
|  | **)** | &nbsp;&nbsp;&nbsp;**Mohammed Salah Bakhashwain** |
| &nbsp;&nbsp;&nbsp;**[REDACTED]** | **)** |  |
| Name of Witness | **)** |  |
|  | **)** |  |

---

---

| | |
|:---|:---|
| **Schedule** | **"A" to Escrow Agreement** |

---

**<u>Securityholder</u>**

**Name: Mohammed Bakhashwain**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;1,938,273 |  |

---

**<u>Securityholder</u>**

**Name: Giovanni Gaudenzi**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;1,400,000 |  |

---

**<u>Securityholder</u>**

**Name: K&P CAPITAL CORP.**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;50,000 |  |

---

**<u>Securityholder</u>**

**Name: Exakraft AS**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;600,000 |  |

---

**<u>Securityholder</u>**

**Name: Josie Anne Vilchez Chirichigno**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;250,000 |  |

---

**<u>Securityholder</u>**

**Name: Gilles Seguin**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;100,000 |  |

---

**<u>Securityholder</u>**

**Name: Kazco Holdings Ltd.**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;100,000 |  |

---

**<u>Securityholder</u>**

**Name: Claudia Di Iorio**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;60,000 |  |

---

**<u>Securityholder</u>**

**Name: Mohammed Salah Bakhashwain**

**Securities**

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;***Class or description*** | &nbsp;&nbsp;***Number*** | &nbsp;&nbsp;***Certificate(s) (if applicable)*** |
| &nbsp;&nbsp;Voting Shares | &nbsp;&nbsp;1,994,444 |  |

---

**Schedule "B" to Escrow Agreement**

**Acknowledgment and Agreement to be Bound**

I acknowledge that the securities listed in the attached Schedule "A" (the "escrow securities") have been or will be transferred to me and that the escrow securities are subject to an Escrow

Agreement dated__________________________ _ (the "Escrow Agreement").

For other good and valuable consideration, I agree to be bound by the Escrow Agreement in respect of the escrow securities, as if I were an original signatory to the Escrow Agreement.

---

| | | | |
|:---|:---|:---|:---|
| Dated at | on | . |  |
| Where the transferee is an individual: | Where the transferee is an individual: |  |  |
| Signed, sealed and delivered by | Signed, sealed and delivered by | **)** |  |
| **[Transferee]** in the presence of: | **[Transferee]** in the presence of: | **)** |  |
| | | **)** |  |
| | | **)** |  |
| Signature of Witness | Signature of Witness | **)** |  |
| | | **)** | |
| | | **)** | **[Transferee]** |
| | | **)** |  |
| Name of Witness | Name of Witness | **)** |  |
| | | **)** |  |
| Where the transferee is not an individual:<br>**[Transferee]** | Where the transferee is not an individual:<br>**[Transferee]** |  |  |
| Authorized signatory | Authorized signatory |  |  |
| Authorized signatory | Authorized signatory |  |  |

---

## Exhibit 99.60

**Exhibit 99.60**

**LEASE AGREEMENT WITH OPTION TO BUY**

**THIS AGREEMENT** (the "**Lease Agreement**") is entered into on 16 September 2022 between:

&nbsp;&nbsp;&nbsp;&nbsp;(i) **Sowrer AS,** business register number 927 234 475 ()"**Sowrer**" or the "**Lessor** ");
and

&nbsp;&nbsp;&nbsp;&nbsp;(ii) **Exanorth AS,** business register number 921 677 421; ()"**Exanorth**" or the "**Lessee** ").

Sowrer and Exanorth are hereinafter jointly referred to as the "**Parties**" and individually a "**Party**".

1 BACKGROUND

1.1 The Lessor owns the Equipment (as defined below).

1.2 The Lessee is willing to lease the Equipment to be deployed at the data center located in Tunnsjodalsveien 178, 7892 Trones,
Norway

---

| | |
|:---|:---|
| 2 | LEASE |

---

2.1 The Equipment

A list of the equipment Lessee shall lease, is attached as <u>Appendix 1</u> hereto (the "**Equipment).**

Lessee shall inspect the Equipment within 10 (ten) business days from the date of this agreement and unless written notice is given to Sowrer within that date about any defects of the Equipment, the Equipment shall be deemed to be in good working order with no defects.

2.2 Commencement, Lease Term and Expiration

The lease shall commence on 1 September 2022 and run for two years.

The period from commencement to expiration is referred to as the **"Lease Period".**

2.3 Rent

2.3.1 Running rent

Running rent for the lease of the Equipment shall be paid monthly in advance at latest on the 20<sup>th</sup> day of each month. The monthly lease amount is as shown in Appendix 2 (the "**Running Rent**").

2.3.2 VAT

Any value added tax (VAT) shall be paid by Exanorth in addition to the Running Rent.

2.3.3 Late payment

In case of late payment, Exanorth shall pay interest in accordance with the Norwegian Act on Delayed Payment. If the payment is delayed by more than 15 business days unless mutually agreed between the parties in writing, Sowrer has the right to terminate the Lease Agreement with seven business days' notice. In addition, any affiliate of Sowrer may set off any sums due against the non-payment of the Running Rent.

2.4 Title

Title to the Equipment shall not pass to Exanorth during the Lease Period and shall at all times remain with Sowrer.

2.5 Use of Equipment - Authority Requirements - Permits

Exanorth shall procure compliance with all laws and regulations relating to the use of the Equipment.

Exanorth shall only use the Equipment for its intended purposes and always within the limits of the given specifications and limitations. Exanorth shall furthermore obtain and maintain all such approvals and permits as are necessary for the usage of the Equipment and protect and indemnify the Sowrer from any penalties, fees, claims or costs resulting from lack of sufficient approvals or permits.

2.6 Maintenance and Repair

Exanorth shall procure that the Equipment is kept in a good and safe condition and state of repair consistent with good industry practice.

Defects in or damage to the Equipment discovered by Exanorth shall immediately be reported to Sowrer in writing. Serious defects or damage shall be rectified immediately. Other defect or damage must be rectified as soon as reasonably possible.

Exanorth shall be responsible for, and cover the cost of, all maintenance and repair of the Equipment during the Lease Period. In case of loss or damage beyond repair, Exanorth shall cover the full cost for replacement of the Equipment.

2.7 Modifications to the Equipment

Any and all modification, alteration or addition to the Equipment of whatever nature, be it structural or otherwise shall be subject to Sowrer's prior written consent. The costs of any modification, alteration or addition shall be borne by Exanorth.

2.8 Liability and Indemnity

Exanorth's sole remedy, and the Sowrer's sole liability, for breach of the Lease Agreement shall be reduction or suspension of Exanorth's obligation to the pay Rent as per Section 2.3. Exanorth explicitly waives any rights of detention (No: tilbakeholdsrett) or similar rights over the Equipment Exanorth may have under applicable.

Exanorth together with its shareholders, directors, officers or any members of its group agrees to indemnify, defend and hold Sowrer and all of Sowrer's shareholders, directors, officers and all members of its group **(Sowrer's Representatives)** harmless from all loss, liability, claim, expenses (including reasonable attorneys' fees) or direct or indirect damages (including loss of profit, loss of business, and any and all special, indirect, consequential or pure economic loss, damages or charges, including loss of mining revenue) suffered by the Sowrer or any of Sowrer's Representatives arising out of Exanorth's breach of this Agreement, including in case of any unlawful termination of this Agreement or suspension of payment of the Rent at any time during the Lease Period. This indemnity is without prejudice to any other rights or remedies Sowrer or any of Sowrer's Representatives may have under this Agreement or under the applicable law.

Exanorth shall secure that its usage of the Equipment does not conflict with any existing third party rights and shall indemnify Sowrer from all claims, losses and liabilities resulting from the usage of the Equipment.

2.9 Insurance

Sowrer shall (at its own cost), immediately upon receiving the Equipment place and maintain for the duration of the Lease Period comprehensive insurance in line with good industry practice that, *inter alia,* covers damages to the Equipment. The coverage of insurance shall not be less than USD 3,300,000 which is the approximate value of the Equipment.

Sowrer shall present to Exanorth the copies of the documents underlying the above insurance within 3 (three) business days from receiving such request.

2.10 Subleasing

Exanorth shall not be permitted to sublease the Equipment or otherwise grant its use to third parties without prior written consent of Sowrer. Such consent may be refused at Sowrer's sole discretion.

2.11 Return of the Equipment

Exanorth shall be obliged to return the Equipment, and otherwise upon expiry or termination of this Lease Agreement, properly maintained, in the same condition as upon the signing of this Lease Agreement allowing only for normal wear and tear.

Exanorth shall be cover the costs of unplugging and disassembling (in the form the Equipment was received on the site) the Equipment.

If the Equipment is not returned in accordance with written instructions from Sowrer, Sowrer is entitled access the premises where the Equipment is installed and remove the Equipment themselves. Exanorth shall hold Sowrer harmless for all costs related to the removal of the Equipment.

3 BUY OPTION DURING LEASE PERIOD

At any time during the Lease Period Exanorth shall have an option to purchase the Equipment from Sowrer in exchange of one-time cash payment of the full outstanding and then remaining amount of the Running Rent under this Agreement (calculated pursuant to Appendix 2) by giving a written notice to Sowrer in this respect. Upon exercising this option the ownership to the Equipment will transfer from Sowrer to Exanorth on the date the option price is paid by Exanorth in full.

The purchase price as set out in this clause 3 is net of value added tax (VAT) which shall be paid by Exanorth in addition to the purchase price.

4 BUY OPTION AFTER EXPIRY

Upon expiration of the Lease Period and the Running Rent having been paid in full, Exanorth has an option to purchase the Equipment for USD 1,741,583.70 (the **"Buy Option").** The Buy Option is deemed to be exercised immediately prior to the expiration of the Lease Period. Upon exercising the Buy Option, and subject to the Running Rent having been paid, the ownership to the Equipment will transfer from Sowrer to Exanorth on the date of expiration of the Lease Period.

5 FINAL PROVISIONS

5.1 Termination

This Lease Agreement can be terminated with immediate effect:

&nbsp;&nbsp;&nbsp;&nbsp;a) By Sowrer if Exanorth is in material breach of the Lease Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;b) By Exanorth if Sowrer is in material breach of the Lease Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;c) By Sowrer if the payment of Running Rent is delayed by more than 15 business
days as set forth in Sections 2.3.1 and 2.3.3 above;

&nbsp;&nbsp;&nbsp;&nbsp;d) By Sowrer if Exanorth stops its payments for a period of 15 business days;
and

&nbsp;&nbsp;&nbsp;&nbsp;e) By any party if the Hosting and Maintenance Services Agreement between Sowrer
and Exanorth dated 16 September 2022 is terminated pursuant to its clause 9.2.

5.2 Confidentiality and Announcements

Except as otherwise stated in this Lease Agreement, each of the Parties agrees that the contents of this Lease Agreement as well as any and all other information being delivered or disclosed (whether orally or in writing) to the other Party in connection with it or in relation to the Lease Agreement, and the existence, nature and resolution of any dispute, controversy or claim arising out of this Lease Agreement, whether a settlement is being negotiated or it is the subject of arbitration proceedings, shall be deemed to be confidential and proprietary, unless specifically designated by the Party disclosing such information at the time of disclosure to be non-confidential or non-proprietary.

The Party receiving confidential information shall treat, and shall cause its officers, directors, employees, advisors and auditors to treat, such information as strictly confidential and shall not divulge or disclose (directly or indirectly) such information to any other person or entity other than disclosure subject to appropriate measures to maintain confidentiality to its officers, directors, employees, advisors and auditors who reasonably require access to such confidential information for the purpose for which it was disclosed or in connection with a contemplated business transaction with the disclosing party, except when (a) such disclosure is required by Law or by any order of any governmental body or by any administrator in a bankruptcy estate of any company in the previous group (except the administrator in seller); or (b) such information is or becomes public through no fault of the receiving Party; or (c) such information has been obtained separately by the receiving Party from a third party that is not bound by any obligation of confidentiality regarding such information.

5.3 Entire Agreement

This Lease Agreement represents the entire understanding and agreement between the Parties with respect to the subject matter hereof and supersedes all prior negotiations, understandings and agreements relating to the subject matter hereof.

5.4 Amendments and Waivers

This Lease Agreement may only be amended in writing duly executed by the Parties. No change, termination, modification or waiver of any provision, term or condition of this Lease Agreement shall be binding on the Parties, unless it is made in writing.

5.5 Notices

All notices, requests, demands, approvals, waivers and other communications required or permitted under this Lease Agreement must be in writing or sent by e-mail and shall be deemed to have been received when the other Party has confirmed receipt. Should a Party not have confirmed receipt prior thereto, it shall nevertheless be deemed to have been received when:

(a) if sent within the Nordic countries, two business days, or if sent outside the Nordic countries, five business days, after
having been sent by registered or certified mail, return or delivery receipt requested, postage prepaid;

(b) if delivered by hand, on the date of delivery if delivered prior to 5pm (local Norwegian time) and such day is a business day,
and otherwise on the next business day; or

(c) if sent bye-mail, upon receipt of an electronically generated confirmation that the e-mail has been opened.

All such notices and communications shall be addressed as set out below or to such other addresses as may be given by written notice in accordance with this Section 5.5.

To Sowrer:

Sowrer AS<br> c/o Kvale Advokatfirma DA, Postboks 1752 Vika<br> 0122 Oslo, Norway<br> <u>E-mail: Mdm@liangroup.io</u>

If to Exanorth:

Exanorth AS<br> Attn: Naeem Walji<br> Address: c/o Pluss-Okonomi AS Postboks 2583 4678 KRISTIANSAND S, Norway<br> <u>E-mail: mailto:naeem@bitzero.com</u>

5.6 Assignments

No Party may assign or otherwise transfer or pledge or grant any other security interest in or over any of its rights or obligations under this Lease Agreement without the prior written consent of the other Party.

5.7 Severability

If any provision of this Lease Agreement or the application of it is declared or deemed void, invalid or unenforceable in whole or in part for any reason, the remaining provisions of this Lease Agreement shall continue in full force and effect. The Parties shall seek to amend such void, invalid or unenforceable provisions and thereby this Lease Agreement in order to give effect to, so far as is possible, the spirit of this Lease Agreement and to achieve the purposes intended by the Parties.

5.8 Governing Law and Disputes

The Agreement and any dispute or claim arising out or in connection with it or its subject matter of formation (including non-contractual disputes or claims) shall be governed by and construed in accordance with Norwegian law.

Each party irrevocably agrees that the courts of Norway has exclusive jurisdiction to settle any dispute or claim that arises out of or in connection with this agreement or its subject matter or formation (including non-contractual disputes or claims). The parties select Oslo City court as the legal venue for any dispute.

Appendix 1

Equipment List

---

| | | | |
|:---|:---|:---|:---|
|  | Item | Item Description | Amount |
| *High*<br> *Voltage* | Transformer | 3,2MVA 22/0,4kV | 6 |
|  | Transformer, housing | More Maxi + Foundations | 6 |
| *Containers* | Container | Goldingen containers, 312 Miners capacity, CCTV, access control and fire alarms | 15 |

---

Appendix 2

Schedule

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Month** | **Initial balance** | **Payment** | **Ending balance** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 1 | $3378508.04 | $(71170.62) | $3307337.41 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 2 | $3307337.41 | $(71170.62) | $3236166.79 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 3 | $3236166.79 | $(71170.62) | $3164996.17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 4 | $3164996.17 | $(71170.62) | $3093825.54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 5 | $3093825.54 | $(71170.62) | $3022654.92 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 6 | $3022654.92 | $(71170.62) | $2951484.30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 7 | $2951484.30 | $(71170.62) | $2880313.67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 8 | $2880313.67 | $(71170.62) | $2809143.05 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 9 | $2809143.05 | $(71170.62) | $2737972.43 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 10 | $2737972.43 | $(71170.62) | $2666801.80 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 11 | $2666801.80 | $(71170.62) | $2595631.18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 12 | $2595631.18 | $(71170.62) | $2524460.56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 13 | $2524460.56 | $(71170.62) | $2453289.93 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 14 | $2453289.93 | $(71170.62) | $2382119.31 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 15 | $2382119.31 | $(71170.62) | $2310948.69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 16 | $2310948.69 | $(71170.62) | $2239778.06 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 17 | $2239778.06 | $(71170.62) | $2168607.44 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 18 | $2168607.44 | $(71170.62) | $2097436.82 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 19 | $2097436.82 | $(71170.62) | $2026266.19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 20 | $2026266.19 | $(71170.62) | $1955095.57 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 21 | $1955095.57 | $(71170.62) | $1883924.95 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 22 | $1883924.95 | $(71170.62) | $1812754.32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 23 | $1812754.32 | $(71170.62) | $1741583.70 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Month 24 | $1741583.70 | $(1741583.70) | $— |

---

The purchase price as calculated pursuant to this Appendix 2 is net of value added tax (VAT) which shall be paid by Exanorth in addition to the purchase price.

\*\*\*\*\*\*\*\*\*

This Lease Agreement has been signed electronically. No original signed version exist.

For **Sowrer AS**

Michele Di Minno<br> Director

For **Exanorth AS**

Frank Aadnevik<br> Director

## Exhibit 99.61

**Exhibit 99.61**

**CONFIDENTIAL**

August 21, 2025

**BITZERO BLOCKCHAIN INC.** 

Cathedral Place

925 West Georgia Street, Suite #1000

Vancouver, British Columbia

V6C 3L2

Attention: Mohammed Salah Bakhashwain

Dear Mr. Bakhashwain,

---

| | |
|:---|:---|
| **Re:** | **Proposed Transaction between WBM Capital Corp. and BitZERO Blockchain Inc.** |

---

This non-binding letter agreement ("**Letter Agreement**") outlines the terms and conditions upon which WBM Capital Corp. ("**ShellCo**"), a company existing under the laws of the Province of British Columbia, proposes to acquire all of the issued and outstanding equity securities and securities convertible into equity securities of BitZERO Blockchain Inc. ("**Target**"; each a "**Party**"; and, together, the "**Parties**"), a corporation existing under the laws of the Province of British Columbia, resulting in the reverse takeover of ShellCo by the securityholders of Target (the "**Acquisition**"). Following completion of the Acquisition, the common shares (the "**Resulting Issuer Common Shares**") in the capital of ShellCo (following the completion of the Acquisition, the "**Resulting Issuer**") are proposed to be listed on the Canadian Securities Exchange (the "**Exchange**").

This Letter Agreement does not represent a commitment to complete the Acquisition and is non-binding except as set forth in Section 16 below. By executing this Letter Agreement, the Parties agree to proceed towards the consummation of the Acquisition in good faith, subject to the terms and conditions of this Letter Agreement, and for presentation of this Letter Agreement to their respective boards and respective shareholders, if applicable. This Letter Agreement will become binding on the Parties upon the delivery of a notice to ShellCo by the Target confirming that the Target is satisfied with the results of its due diligence investigations of ShellCo. For the purposes of this Letter Agreement, "person" has the same meaning given to it in the *Securities Act* (Ontario).

1. <u>Representations and Warranties of ShellCo.</u> ShellCo represents and warrants to Target as of the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) it is validly existing under the *Business Corporations Act* (British Columbia) (the "**BCBCA** ")
and is a reporting issuer in the provinces of British Columbia, Alberta and Ontario and is in compliance with all continuous disclosure
and other applicable securities laws in all material respects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) ShellCo is not currently and immediately following the execution, delivery and performance of this
Letter Agreement and any ancillary documents thereto will not be in violation of its articles of incorporation or by-laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the authorized share capital of ShellCo consists of an unlimited number of common shares (the "**ShellCo Shares** "), of which 250,000 ShellCo Shares are issued and outstanding as of the date hereof, such ShellCo Share being
fully paid and validly issued in accordance with the provisions of the BCBCA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) other than the ShellCo Shares and warrants to acquire up to a total of 412,500 ShellCo Shares at
a price of C $3.60 expiring on September 20, 2025, October 12, 2025, and November 30, 2025 (the "**ShellCo Warrants** ")
there are no other securities or convertible securities of the ShellCo outstanding and there are no other agreements by which ShellCo
is bound or to which it is a party, which would require the ShellCo to issue any securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) this Letter Agreement, when executed and delivered by ShellCo in accordance with the provisions
hereof, shall be legal, valid and binding obligations of ShellCo, enforceable against ShellCo in accordance with its terms, subject
to Section 16 of this Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) there are no claims, actions, suits, judgements, litigation or proceedings pending against ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) has total assets valued at approximately C$56,133 and liabilities totalling approximately C$38,163
as at April 30, 2025;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) ShellCo is not a party to any agreement, letter of intent, or understanding that is currently in
effect with respect to a going public, reverse take-over, or similar transaction, other than in respect of a transaction with Target;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no order ceasing or suspending trading in any securities of ShellCo or prohibiting the sale of
securities of ShellCo or the trading of any of ShellCo's issued securities has been issued that is currently in effect and
no proceedings for such purpose are pending or, to the knowledge of ShellCo, threatened;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) no person has any agreement, right or option or anything capable of becoming an agreement, right
or option with ShellCo for the payment or delivery of any consideration or commission in respect of the transactions contemplated
herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) no "reportable event" as defined in National Instrument 51-102 – *Continuous Disclosure* has occurred with respect to ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) there has not been any material change in the assets, liabilities or obligations (absolute, accrued,
contingent or otherwise) of ShellCo (taken both individually and as a whole), other than ongoing operating costs, from the position
set forth in its unaudited condensed consolidated interim financial statements for the three months ended April 30, 2025 (the "**Financial Statements** ");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) the Financial Statements fairly present, in all material respects, in accordance with international
financial reporting standards applied on a consistent basis, the financial position and condition of ShellCo at the date thereof
and reflect all liabilities (absolute, accrued, contingent or otherwise) of ShellCo at the dates thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) ShellCo has filed, in proper form, returns in respect of taxes under the *Income Tax Act* (Canada) for all periods to and including December 31, 2024, and all taxes shown thereon and all taxes now owing have been paid
and there are no outstanding agreements or waivers extending the statutory period of limitations applicable to any federal, provincial
or other income tax return for any period, and all payments to any non-resident of Canada have been in accordance with all applicable
legislation in respect of withholding tax; there are no assessments or reassessments pursuant to which there are amounts owing
or discussions in respect thereof with any taxing authority; ShellCo has withheld from each payment made to any of its officers,
directors, and employees and former officers, directors and employees the amount of all taxes (including, without limitation, income
tax) and other deductions required to be withheld therefrom and has paid the same to the proper tax or other authority within the
time required under any applicable tax legislation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) other than the agreement between ShellCo and Odyssey Trust Company whereby Odyssey Trust Company
agreed to act as transfer agent and registrar for ShellCo; there are no contracts or agreements which have or which might have
or create any material obligation to ShellCo that provides for the expenditures by ShellCo which aggregate more than C$1,000 during
the next 12 months following the date hereof; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) ShellCo does not have in effect any bonus plan, commission plan, profit sharing plan, pensions
plan, royalty plan or arrangement or employee benefit plan for the benefits of any officers, directors, employees or consultants
of ShellCo and at the Closing Date (as defined herein) it is not a party to any written employment or consulting agreement with
any person and ShellCo will not have any employees or consultants.

2. <u>Representations and Warranties of Target.</u> Target
represents and warrants to ShellCo as of the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Target is not a reporting issuer in any province or territory of Canada, and it is validly existing
in its jurisdiction of organization;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Target is not currently and immediately following the execution, delivery and performance of this
Letter Agreement and any ancillary documents thereto will not be in violation of its articles and notice of articles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the authorized capital of Target consists of an unlimited number of common shares (the "**Target Shares** "), of which 425,210,265 Target Shares are issued and outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) as of the date hereof, other than:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. the Target Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. 37,146,100 restricted share units;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. 8,580,333 options to purchase Target Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. pursuant to the transactions contemplated or arising from a loan agreement with JGB Capital, LP,
JGB Partners, LP, Deepdale Investors, LLC, and JGB Collateral LLC dated June 27, 2025, Target may issue certain securities (the
" **JGB Transaction** "); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. pursuant to agreements with certain arm's length finders in connection with finder's
fees in a total amount of US$350,000 payable to such finders upon successful completion of the Acquisition, which may be paid by
the issue of a total of 1,750,000 Target Shares to the finders at a deemed value of US$0.20 per Target Share;

there are no securities or convertible securities of Target outstanding and there are no other agreements by which Target is bound or to which it is a party, which would require Target to issue any securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) this Letter Agreement, when executed and delivered by Target in accordance with the provisions
hereof, shall be legal, valid and binding obligation of Target, enforceable against Target in accordance with its terms, subject
to Section 16 of this Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) no person has any agreement, right or option or anything capable of becoming an agreement, right
or option with Target for the payment or delivery of any consideration or commission in respect of the transactions contemplated
herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) other than the civil claim brought against Target, and Mohammed Salah Bakhashwain at the Supreme
Court of British Columbia on March 23, 2022 by Gregory Chamandy, and the civil claim brought against Target and Bitzero ND I, LLC
by Shawn Riley in the State of North Dakota in the district court county of Cass – Eastern Central judicial district, there
are no claims, actions, suits, judgements, litigation or proceedings pending against or affecting Target;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) other than the Target's Stock Option Plan dated April 16, 2021 and Target's RSU Plan
dated June 18, 2022, Target does not have in effect any bonus plan, commission plan, profit sharing plan, pensions plan, royalty
plan or arrangement or employee benefit plan for the benefits of any officers, directors, employees or consultants of Target; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Target is not a party to any other agreement, letter of intent, or understanding with respect to
a going public, reverse take-over, or similar transaction, other than in respect of a transaction with ShellCo.

3. <u>Terms of the Acquisition.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) ShellCo shall hold a shareholders meeting (the "**ShellCo Meeting**") to approve,
among other matters that Target may request, acting reasonably: (i) the appointment of a new auditor, as determined by Target in
its sole discretion; (ii) to consider and pass a resolution approving a new omnibus incentive plan as determined by Target (the
" **Omnibus Plan** "); (iii) a change of its name to such name as determined by Target in its sole discretion (the
" **Name Change** "); (iv) to approve the creation of a class of non-voting shares that have substantially the same
terms and conditions as the ShellCo Shares but for not entitling the holders thereof to vote and which are convertible, subject
to certain limitations, into ShellCo Shares on a one-for-one basis (such shares, the "**ShellCo Non-Voting Shares** ");
and (v) the adoption of a shareholder rights plan as determined by Target (the "**Shareholder Rights Plan**") (collectively,
the "**ShellCo Meeting Matters** "). Notwithstanding the foregoing, shareholders of ShellCo may approve all of the
ShellCo Meeting Matters by written resolution in lieu of a shareholders meeting, except for the creation of the ShellCo Non-Voting
Shares, which requires that the ShellCo hold the ShellCo Meeting under applicable laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Prior to the closing the Acquisition, ShellCo will settle certain debt owing to it via issuing
common shares (the "**Finco Shares**") of a subsidiary of ShellCo to be formed pursuant to the BCBCA (the "**Finco** ")
to settle aggregate indebtedness of $205,647.70 (the "**Finco Debt Settlement**") at a price of C$0.05 per Finco
Share which shall result in the issuance of 4,112,954 Finco Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The parties agree that the Acquisition is to be completed by way of a triangular amalgamation pursuant
to which two wholly owned subsidiaries of ShellCo to be incorporated under the BCBCA (the "**Subcos**") will, respectively,
amalgamate with Target and Finco to form newly amalgamated entities which will become a wholly-owned subsidiaries of ShellCo, or
such other form of similar business combination as the parties may mutually agree.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The holders of Finco Shares shall become holders of Resulting Issuer Common Shares on the basis
of one Resulting Issuer Common Share for each Finco Share held.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The holders of Target Shares shall become holders of Resulting Issuer Common Shares on the basis
of one Resulting Issuer Common Share for each ten Target Shares held, provided that certain holders of Target Shares may exchange
all or a portion of their Target Shares on a one-for-one basis for a class of shares of Target that have terms and conditions substantially
similar to the ShellCo Non-Voting Shares (the "**Target Non-Voting Shares** "), and each ten such Target Non-Voting
Shares shall be exchanged for one ShellCo Non-Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) ShellCo shall complete the Name Change, the creation of the ShellCo Non-Voting Shares, and the
adoption of the Omnibus Plan and the Shareholder Rights Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Acquisition will be completed on a date to be agreed upon by the parties but which shall be
no later than 10 Business Days following the satisfaction or waiver of all conditions set forth in this Letter Agreement and any
other documents, agreements or instruments related to the Acquisition (the "**Closing Date** ").

For the purposes of this Letter Agreement, "**Business Day**" shall mean any day other than a Saturday, Sunday or any other day that commercial banks are not generally open for business in Toronto, Ontario.

Notwithstanding anything in this Letter Agreement, the parties agree to act in good faith to amend the terms of the Letter Agreement if a particular legal structure is determined by one or both parties hereto to be beneficial or advisable for the purpose of addressing any liability, corporate, securities or tax concern of the parties, the parties shall, at such time, consider in good faith the available alternatives that would best address such issue.

4. <u>Board of Directors and Management.</u> Subject to compliance with applicable laws and approval by the Exchange and the filing of all required materials, including personal information forms, the members of the board of directors of the Resulting Issuer will be determined at the sole discretion of Target (the "**Board Nominees**").

5. <u>No Press Release.</u> Until the Closing Date, no press release or other statement regarding the Acquisition or this Letter Agreement shall be issued by either Party without the prior written consent of the other Party, such consent to not be unreasonably withheld, conditioned or delayed, as to form, content, timing and manner of distribution or publication, provided that no Party shall be prevented from making any disclosure which is required to be made by law or pursuant to applicable legislation and the rules and policies of the Exchange. Target acknowledges that ShellCo will announce the execution of this Letter Agreement by press release (with Target being provided with an opportunity to review and comment on such press release in advance of its dissemination) and describe the terms of the Acquisition in its continuous disclosure filings in accordance with applicable laws.

6. <u>Covenants.</u> Until the earlier of the Closing Date or the date of termination of this Letter Agreement pursuant to Section 10 hereof, except pursuant to the transactions contemplated herein, ShellCo and Target agree that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) ShellCo shall not issue any securities, options, debt or financial instruments of any kind other
than Finco Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) ShellCo shall maintain its reporting issuer status in each of British Columbia, Alberta and Ontario;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) ShellCo and Target will each maintain its corporate status and comply with all applicable securities
laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) ShellCo and Target will each use its reasonable commercial efforts to take all necessary steps
to implement the Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) neither ShellCo nor Target will to initiate, propose, assist or participate in any activities or
solicitations in opposition to or in competition with the Acquisition and, without limiting the generality of the foregoing, not
to induce or attempt to induce any person other than the other Party to initiate any shareholder proposal, acquisition of outstanding
securities (other than in connection with any private placements or corporate or asset acquisitions and other than any other transaction,
in each case that is not inconsistent with completion of the Acquisition) or any other form of transaction inconsistent with completion
of the Acquisition, and not to take actions of any kind which may be reasonably expected to reduce the likelihood of success of
the Acquisition, except as required by statutory law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) not to declare or pay any dividends or distribute any of their respective properties or assets
to shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) not alter or amend their respective constating documents in any manner which may adversely affect
the success of the Acquisition, except as is agreed to by the other Party in writing or as strictly required to give effect to
the matters contemplated herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) to disclose to the other Party any unsolicited offer it has received of any amalgamation, arrangement,
merger, business combination, take-over bid, tender or exchange offer, variation of a take-over bid, tender or exchange offer or
similar transaction made to its board of directors or management, or directly to its shareholders; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to use its reasonable commercial efforts to complete the Acquisition and not take any action contrary
to or in opposition to the Acquisition.

7. <u>Shareholder Meetings</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) ShellCo shall convene and hold the ShellCo Meeting, or approve the ShellCo Meeting Matters by written
resolution. The information circular of ShellCo to be sent to ShellCo's shareholders in connection with the ShellCo Meeting
shall include a statement that the board of directors of ShellCo, after consulting with outside legal counsel and other advisors,
and the recommendation of its special committee, has unanimously determined that the Acquisition and each of the other transactions
contemplated in this Letter Agreement is in the best interests of ShellCo, and unanimously recommends that ShellCo's shareholders
vote in favour of and adopt and approve the ShellCo Meeting Matters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Target shall convene and hold a shareholder meeting, if required to complete the Acquisition, as
soon as practicable in order to, among other things (i) consider and pass a resolution approving the Acquisition, including the
amalgamation contemplated as part of the Acquisition; and (ii) consider such other matters as the board of directors of Target
may deem necessary or advisable or as Target may reasonably request.

8. <u>Conditions to Closing.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Target is not required to complete the Acquisition unless each of the following conditions is satisfied
on or before the Closing Date, which conditions are for the exclusive benefit of Target and may only be waived, in whole or in
part, by Target in its sole discretion:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) ShellCo shall have completed the Name Change, the creation of the ShellCo Non-Voting Shares, and
the adoption of the Omnibus Plan, and the Shareholder Rights Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Finco shall have completed the Finco Debt Settlement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) ShellCo shall have prepared and delivered such audited, and auditor-reviewed financial statements
of ShellCo for purposes of the disclosure documents (collectively, the "**Disclosure Documents**") relating to the
Acquisition and the listing of ShellCo shares on the Exchange as may be required by the Exchange and under applicable laws, and
which financial statements will have been prepared and audited in accordance with International Financial Reporting Standards,
and shall include a consolidated statement of profit or loss, consolidated statement of comprehensive income, consolidated statement
of financial position, consolidated statement of changes in equity, and consolidated statement of cash flows for the relevant periods
for ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the board of directors of ShellCo and to the extent necessary, the holders of ShellCo Shares, shall
have approved on or before the Closing Date, the ShellCo Meeting Matters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) receipt of all third party consents and regulatory approvals with respect to the Acquisition and
the conditional approval of the Exchange for the listing of the Resulting Issuer Common Shares on the Exchange, which shall not
include any condition that Target must raise additional capital in order to satisfy initial listing requirements of the Exchange;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) confirmation that no adverse material change in the business, affairs, financial condition or operations
of ShellCo shall have occurred between the date of this Letter Agreement and the Closing Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) there being no legal proceeding or regulatory actions or proceedings against ShellCo at the Closing
Date which may, if determined against the interests of ShellCo, have a material adverse effect on ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) receipt of resignations and the entering into of a mutual release from and with each of the current
officers and directors of ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) the appointment of the Board Nominees to the board of ShellCo, such appointments to take effect
contemporaneously with the resignation of the existing directors of ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the representations and warranties of ShellCo contained in this Letter Agreement, shall be true
and correct in all material respects as of the Closing Date, as if they were made on the Closing Date and ShellCo shall have delivered
a certificate confirming the same, dated the Closing Date and addressed to Target and executed by two senior officers of ShellCo
(in each case, to the best of their knowledge having made reasonable inquiry and without personal liability);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) ShellCo shall have fulfilled or complied in all material respects with each of its covenants contained
in this Agreement to be fulfilled or complied with by it on or prior to the Closing Date and ShellCo shall have delivered a certificate
confirming the same, dated the Closing Date and addressed to Target and executed by two senior officers of ShellCo (in each case,
to the best of their knowledge having made reasonable inquiry and without personal liability);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) no material adverse change shall have occurred in the business, results of operations, assets,
financial condition or affairs of ShellCo, financial or otherwise, between the date of signing this Letter Agreement and the completion
of the Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) there being no legal proceeding or regulatory actions or proceedings against ShellCo at the Closing
Date which may, if determined against the interest of ShellCo, have a material adverse effect on ShellCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) there being no prohibition at law against the consummation of the Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) no inquiry or investigation (whether formal or informal) in relation to ShellCo or their respective
directors or officers, shall have been commenced or threatened by any securities commission or similar regulatory body having jurisdiction,
such that the outcome of such inquiry or investigation could have a material adverse effect on ShellCo, Target or Target's
shareholders after giving effect to the Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) ShellCo shall be in compliance in all material respects with the terms of this Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) Conditional upon Bitzero advancing the ShellCo Reimbursement (as defined herein) to ShellCo, ShellCo
shall have no liabilities and ShellCo shall have delivered a certificate confirming the same, dated the Closing Date and addressed
to Target and executed by two senior officers of ShellCo (in each case, to the best of their knowledge having made reasonable inquiry
and without personal liability);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) Holders of not more than 10% of the issued and outstanding Target Shares the issued and outstanding
as of the Closing Date shall have elected to, or continue to have contingent right to, exercise rights of dissent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) all proceedings to be taken in connection with the Acquisition shall be satisfactory in form and
substance to Target, acting reasonably, and Target shall have received copies of all instruments and other evidence as it may reasonably
request in order to establish the consummation or completion of such transactions and the taking of all necessary proceedings in
connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) ShellCo is not required to complete the Acquisition unless each of the following conditions is
satisfied on or before the Closing Date, which conditions are for the exclusive benefit of ShellCo and may only be waived, in whole
or in part, by ShellCo in its sole discretion:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Target shall have prepared and delivered to ShellCo such financial statements and other information,
documents and other disclosure of Target in connection with the Disclosure Documents, the Acquisition and the listing of ShellCo's
shares on the Exchange as may be required by the Exchange and under applicable laws, and such financial statements shall be prepared
and audited or reviewed, as applicable, in accordance with International Financial Reporting Standards, and shall include a consolidated
statement of profit or loss, consolidated statement of comprehensive income, consolidated statement of financial position, consolidated
statement of changes in equity, and consolidated statement of cash flows for the relevant periods for Target, and pro-forma financial
statements ShellCo post Closing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) approval of the Acquisition, including the amalgamation contemplated as part of the Acquisition
and matters related thereto by the board of directors of Target and, if necessary, holders of Target Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) receipt of all third party consents and regulatory approvals with respect to the Acquisition and
the conditional approval of the Exchange for the listing of the Resulting Issuer Common Shares on the Exchange;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) no adverse material change in the business, affairs, financial condition or operations of Target
shall have occurred between the date of this Letter Agreement and the Closing Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the representations and warranties of Target contained in this Letter Agreement shall be true and
correct in all material respects as of the Closing Date, as if they were made on the Closing Date and Target shall have delivered
a certificate confirming the same, dated the Closing Date and addressed to ShellCo and executed by two senior officers of Target
(in each case, to the best of their knowledge having made reasonable inquiry and without personal liability);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Target shall have fulfilled or complied in all material respects with each of its covenants contained
in this Agreement to be fulfilled or complied with by it on or prior to the Closing Date and Target shall have delivered a certificate
confirming the same, dated the Closing Date and addressed to ShellCo and executed by two senior officers of Target (in each case,
to the best of their knowledge having made reasonable inquiry and without personal liability);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) material compliance by Target with the terms of this Letter Agreement and any other agreement,
instrument or document entered into or delivered by Target in connection with this Letter Agreement and the transactions contemplated
herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) Holders of not more than 10% of the issued and outstanding Target Shares the issued and outstanding
as of the Closing Date shall have elected to, or continue to have contingent right to, exercise rights of dissent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) the Resulting Issuer Common Shares exchanged for ShellCo Shares and FinCo Shares are not subject
to resale restrictions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) all proceedings to be taken in connection with the Acquisition shall be satisfactory in form and
substance to ShellCo, acting reasonably, and ShellCo shall have received copies of all instruments and other evidence as it may
reasonably request in order to establish the consummation or completion of such transactions and the taking of all necessary proceedings
in connection therewith.

9. <u>Confidentiality</u>. Except as required by applicable law and the rules and policies of the Exchange, ShellCo and Target will receive and maintain all information received from the other strictly in confidence and not disclose to any person, other than to its representatives or advisors, or make public or authorize the disclosure of any such information and not use such information for any purpose except to evaluate a mutually agreed transaction among the parties unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the specific information is now or hereafter publicly disclosed other than as a result of breach
of this provision or, to the knowledge of the applicable Party, as a result of breach of any other confidentiality provision;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the specific information was in the possession of the receiving Party prior to the disclosure by
the disclosing Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the specific information is hereafter disclosed to the receiving Party by a third party having
no obligation of confidentiality with regard to the information; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the specific information is independently generated by the receiving Party without the use and
not as a consequence of the disclosure by any person or entity.

If this Letter Agreement is terminated each Party must immediately destroy or return to the other Party all confidential information that was furnished to it, without retaining any copy thereof and provide confirmation in writing by an officer of each Party of such destruction. Notwithstanding the foregoing, each Party may retain such copies of confidential information (i) as are required to be retained to comply with law or reasonable and bona fide corporate governance requirements; and (ii) stored as a result of any routine electronic backup, recovery, business continuity or contingency planning, or archival systems provided that any materials retained pursuant to this Section 9 will continue to be subject to the restrictions on the use and disclosure contained herein so long as they are retained.

10. <u>Termination</u>. This Letter Agreement may be terminated, with such date being the termination date (the "**Termination Date**"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) by ShellCo or Target, if the Acquisition has not been completed by December 31, 2025, provided
that a Party may not terminate this Letter Agreement pursuant to this Section 10(a) if the failure of such has been caused by,
or is a result of, a breach by such Party of any of its representations or warranties or the failure of such Party to perform any
of its covenants or agreements under this Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) by Target upon a material breach of this Letter Agreement by ShellCo; provided that Target has
provided notice to ShellCo of such breach and ShellCo has not cured such breach within 15 days of receiving such notice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) by ShellCo upon a material breach of this Letter Agreement by Target, provided that ShellCo has
provided notice to Target of such breach and Target has not cured such breach within 15 days of receiving such notice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) by ShellCo, if (i) any of the representations and warranties of Target herein are untrue or inaccurate
such that the condition contained in Section 8(b)(v) would not be satisfied, or (B) there has been a breach on the part of Target
of any of its covenants herein such that the condition contained in Section 8(b)(vi) would not be satisfied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) by Target if (i) any of the representations and warranties of ShellCo herein are untrue or inaccurate
such that the condition contained in Section 8(a)(ix) would not be satisfied, or (B) there has been a breach on the part of ShellCo
of any of its covenants herein such that the condition contained in Section 8(a)(x) would not be satisfied; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) by ShellCo or Target, if ShellCo and Target mutually agree in writing to so terminate it.

11. <u>Access to Information</u>. ShellCo will allow Target and its authorized representatives, including legal counsel and consultants, access to all information, books or records and its personnel as may be reasonably requested, and Target will allow ShellCo and its authorized representatives, including legal counsel and consultants, access to all information, books or records and its personnel as may be reasonably requested. The Target and ShellCo shall also usually commercially reasonable efforts cause its respective directors, employees, accountants and other agents and representatives to cooperate fully with ShellCo or Target (as the case may be) and its representatives in connection therewith.

12. <u>Conduct of Business</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) From the date of the acceptance of this Letter Agreement until the earlier of the completion of
the transactions contemplated herein or the Termination Date (as defined herein), ShellCo and Target will operate their respective
businesses in a prudent and business-like manner in the ordinary course, in a manner consistent with past practice and in compliance
with Section 12(b) or Section 12(c), as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Target hereby agrees from the date hereof until the Termination Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to use its reasonable commercial efforts to cause a sufficient number of Target shareholders to
vote their Target Shares in favour of the Acquisition, and otherwise approve the Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) other than as contemplated pursuant to this Letter Agreement, not to alter or amend Target's
constating documents or share capital in any manner, or adopt resolutions to alter or amend its constating documents or its share
capital in any manner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to use its reasonable commercial efforts to obtain any third-party approvals and consents required
in respect of the Acquisition **;** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) not to adopt a plan of liquidation or resolutions providing for the liquidation, dissolution, merger,
consolidation or reorganization of itself or any of its subsidiaries, except as contemplated in this Letter Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) not to agree to do any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) ShellCo hereby agrees from the date hereof until the Termination Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to use its reasonable commercial efforts to cause, if applicable, all ShellCo shareholders to vote
their ShellCo Shares in favour of the ShellCo Meeting Matters and otherwise take all reasonable actions to complete the Acquisition
and to not take any action contrary to or in opposition to the Acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) not to declare or pay any dividends or distribute any of ShellCo's property or assets to
ShellCo shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) not to alter or amend ShellCo's constating documents in any manner which may adversely affect
the success of the Acquisition, except as is agreed to by Target in writing or as strictly required to give effect to the matters
contemplated herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) not to enter into any transaction or material contract, except as reasonably necessary to give
effect to the matters contemplated herein; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to use its reasonable commercial efforts to obtain any third party approvals required in respect
of the Acquisition.

13. <u>Expenses</u>.

Each Party shall bear its respective costs incurred in connection with the preparation, execution, and performance of this Letter Agreement and the transactions contemplated thereby, including all fees and expenses of agents, representatives, counsel, and accountants. Notwithstanding the foregoing, the Target will reimburse the ShellCo for fees and expenses associated with the Acquisition up to a maximum of C$75,000, payable by the Target upon receipt of invoices or payment receipts in connection with such fees and expenses (the "**ShellCo Reimbursement**").

14. <u>Exclusivity.</u> 

If, prior to the earlier of the Termination Date and December 31, 2025, the Target or ShellCo (such party, the "**Breaching Party**") directly or indirectly, in one or more transactions, enters into a written agreement to complete a Qualified Transaction (as defined herein), or otherwise effects a Qualified Transaction, then the Breaching Party shall (A) immediately provide written notice to the other Party (the "**Non-Breaching Party**") of the Qualified Transaction; and (B) upon the earlier of the execution of a written agreement in respect of a Qualified Transaction or the consummation or effectiveness of a Qualified Transaction, pay a cash termination fee to the Non-Breaching Party equal to US$250,000.

A "**Qualified Transaction**" shall be defined as: (i) a transaction resulting in the business or assets of Target or ShellCo being listed (directly or indirectly) on a stock exchange, including but not limited to an initial public offering, plan of arrangement, amalgamation, reverse take-over or other business combination pursuant to which the securities of Target (or any resulting issuer or parent thereof) are listed on a stock exchange; or (ii) a Change of Control (as defined below).

A "**Change of Control**" means, other than any of the transactions completed herein,: (i) any transaction (whether by private placement, purchase, merger or otherwise) whereby a person or persons acting jointly or in concert directly or indirectly acquires the right to cast, at a general meeting of shareholders of Target or ShellCo, more than 20% of the votes that may be ordinarily cast at a general meeting; (ii) Target or ShellCo's amalgamation, consolidation or merger with or into any other person, any merger of another person into Target or ShellCo, as applicable,, unless the holders of voting securities of Target or ShellCo, as applicable, immediately prior to such amalgamation, consolidation or merger hold securities representing 80% or more of the voting control or direction in Target or ShellCo, as applicable, or the successor entity upon completion of such amalgamation, consolidation or merger; or (iii) any conveyance, transfer, sale lease or other disposition of all or substantially all of Target or ShellCo, as applicable, and/or their respective subsidiaries' assets and properties, taken as a whole, to another person.

15. <u>Closing and Good Faith Negotiations</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) ShellCo and Target agree to use commercially reasonable efforts to complete all transactions contemplated
herein by December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Party shall permit the other Party and its counsel to participate fully in the preparation
of all documentation to be used in connection with the approval of the Acquisition, provided that counsel for Target shall be primarily
responsible for the preparation of the filing documents, including the Disclosure Documents with counsel for ShellCo being primarily
responsible for providing Target or its counsel with the necessary information in respect of ShellCo for inclusion within such
Disclosure Documents, and all correspondence with the Exchange in connection with approval of the Acquisition and the listing of
the Resulting Issuer Common Shares provided that counsel for Target shall ensure that counsel for ShellCo is copied on all such
correspondence and to the extent requested, counsel for ShellCo will participate with or otherwise assist with all such matters
necessary or desirable to give effect to and implement the transactions contemplated by this Letter Agreement.

16. <u>Non-Binding and Binding Provisions</u>. The terms hereof constitute a non-binding agreement between the Parties with respect to the subject matter hereof and shall not be construed or constituted as an enforceable legal agreement, except for Sections 5, 9, 10, 12, 13, 14 and 16 to 23 (inclusive) of this Agreement, which the Parties hereto agree shall create legal obligations and liabilities, the consideration for which shall be the mutual covenants of the Parties contained herein. Upon written notice to ShellCo by the Target confirming satisfactory completion of its due diligence investigations of ShellCo, the entirety of this Letter Agreement will become binding upon the Parties.

17. <u>Survival</u>. In recognition of the costs to be borne by each of the parties in pursuing the Acquisition and in further consideration of their respective undertakings as to the matters described in this Letter Agreement, the provisions of Sections 5, 9, 10, 12, 13, 14 and 16 to 23 (inclusive) will survive in the event that this Agreement is terminated. Notwithstanding the foregoing, the termination of this Letter Agreement will not affect the liability of a Party for breach of any of the provisions hereof before the termination of this letter agreement.

18. <u>Notice</u>. Any notice or other communication to be given hereunder shall, in the case of notice to be given to Target, be addressed to:

BitZERO Blockchain Inc.

1000 – 925 West Georgia Street

Vancouver, British Columbia

V6C 3L2

Attention: Mohammed Salah Bakhashwain

Email: mohammed@bitzero.com

and, in the case of notice to be given to ShellCo, be addressed to:

WBM Capital Corp.

1900 – 1040 West Georgia Street

Vancouver, British Columbia

V6E 4H3

Attention: Carlo Rigillo

Email: carlo.rigillo@gmail.com

or to such other address as any of the parties may designate by notice given to the others.

Each notice shall be personally delivered to the addressee or sent by electronic transmission to the addressee and a notice shall, if delivered prior to 4:30 pm on a Business Day (local time at the place of receipt), be deemed to be given and received on that day and, in any other case, be deemed to be given and received on the first Business Day following the day on which it is delivered.

19. <u>Governing Law</u>. This Letter Agreement and all ancillary documents, wherever possible, shall be governed by and construed in accordance with the laws of the Province of Ontario and the federal laws of Canada applicable therein.

20. <u>Successors and Assigns</u>. This Letter Agreement will be binding upon, and will enure to the benefit of and be enforceable by the parties hereto and their respective heirs, executors, administrators, successors and permitted assigns. No assignment of this Letter Agreement will be permitted without the consent of the other Party.

21. <u>Further Assurances</u>. Subject to the provisions hereof, each Party shall do all such things and execute and deliver all such further documents and instruments as the other Party may reasonably require to give effect to and implement this Letter Agreement and the transactions contemplated hereunder, all in accordance with their true intent.

22. <u>Currency</u>. Unless otherwise indicated, all references to "$" or "dollars" shall refer to the lawful currency of Canada.

23. <u>Execution by Counterpart</u>. This Letter Agreement may be signed in two or more counterparts and by facsimile or PDF.

[*Remainder of page intentionally left blank.*]

---

| | | |
|:---|:---|:---|
| Yours truly, | Yours truly, | Yours truly, |
|  | **WBM CAPITAL CORP.** | **WBM CAPITAL CORP.** |
| Per: | | |
|  | Name: | Carlo Rigillo |
|  | Title: | Chief Executive Officer |

---

**THIS AGREEMENT** is hereby accepted on the terms and conditions set forth herein on August 21, 2025.

---

| | | |
|:---|:---|:---|
|  | **BITZERO BLOCKCHAIN INC.** | **BITZERO BLOCKCHAIN INC.** |
| Per: | | |
|  | Name: | Mohammed Salah Bakhashwain |
|  | Title: | CEO and Director |

---

*Signature Page – ShellCo – BitZERO – Letter Agreement*

## Exhibit 99.62

**Exhibit 99.62**

**RIGHT OF FIRST REFUSAL AGREEMENT**

THIS RIGHT OF FIRST REFUSAL AGREEMENT (the "Agreement") is entered into on <u>12/29/2022</u>, (the "Effective Date") between Bitzero ND I, LLC, a North Dakota Limited Liability Company ("Grantor"), and Cavalier County Job Development Authority a job development authority pursuant to N.D.C.C. Chapt. 11-11.1 ("Grantee").

1. <u>Property</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 Grantor is the owner of real property and improvements thereon located in Cavalier County, North Dakota, legally described in Exhibit A attached hereto (the "Property"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 Grantors have agreed to grant to Grantee a right of first refusal to acquire the Property upon the terms and conditions herein set forth.

2. <u>Consideration</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 In consideration of the purchase of the Property owned by Grantor, and for the further consideration of Ten Dollars ($10.00) in hand paid to Grantors by Grantee, and other good and valuable consideration, the receipt and sufficiency of which are hereby confessed and acknowledged by Grantor, the parties hereto agree as hereinafter set forth.

3. <u>Right of First Refusal</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 Grantor, for Grantor and Grantor's, successors, and assigns, hereby agrees that Grantor will not sell the Property, or any part thereof, without first offering same to Grantee for purchase. This Agreement creates in Grantee a right of first refusal to purchase the Property, or any part thereof, according to the terms and conditions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 The right of first refusal granted in Paragraph 3.1 above shall be honored by Grantor and exercised in the following manner:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If, at any time, Grantors receive a bona fide third-party offer to purchase or otherwise acquire title to the Property, or any part thereof, any contract which may be entered into between Grantors and such bona fide purchaser shall specifically provide that the transaction shall be subject to the right of first refusal set forth in this document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event that Grantors enter into such contract with a bona fide third-party purchaser, Grantee shall have the prior right to purchase and acquire title to the Property, or the portion thereof described in such contract, upon the same terms and conditions as therein provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Grantors shall submit to Grantee a copy of the executed contract with the bona fide purchaser, together with duplicate originals executed by Grantors of a contract between Grantors and Grantee, containing the same terms and conditions as the purchase and sale contract with the third-party bona fide purchaser. If, after the receipt of such documents, Grantee shall fail to exercise Grantee's right of first refusal by signing and returning to Grantors, within 10 business days of receipt, a signed copy of said contract, together with the earnest money payment therein provided, Grantors shall have the right to conclude the proposed sale and conveyance on the same terms and conditions, and no other, as in the contract with the bona fide third-party purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Grantee's failure to exercise Grantee's right of first refusal, or Grantee's written disclaimer of such right, shall be deemed a waiver and cancellation of such right of first refusal if the proposed sale and conveyance to the same bona fide third-party purchaser is consummated. If the proposed sale and conveyance to the same bona fide third-party purchaser is not consummated, the right of first refusal herein set forth shall not be deemed waived or cancelled but shall remain in full force and effect. Grantee's failure to exercise, or Grantee's disclaimer of, such right with respect to any transfer of less than all of the Property shall not be deemed a waiver of such right with respect to that part of the Property owned by Grantors after such transfer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 If any offer made by Grantor according to the terms and conditions herein stated is rejected or is allowed to expire without acceptance by Grantee, Grantee agrees, within 10 days after receipt of a written request from Grantors, to give to Grantor or to any third person Grantor shall designate, a written statement properly signed and acknowledged in recordable form that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an offer has been made by Grantor in accordance with the terms and conditions of this Agreement, together with disclosure of the offering price and the terms and conditions of a proposcd sale;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) said offer has been rejected by Grantee or has been allowed to expire; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Grantor or any designated third person may rely upon such statement by Grantee as evidence of the submission and rejection or expiration of a valid offer made to Grantee pursuant to and in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 This right of first refusal shall apply to all transactions involving a conveyance of title to the Property, or any portion thereof, including but not limited to a purchase, an exchange or any other transfer of an interest in the Property for consideration, other than a lease of no more than one year duration.

4. <u>Exempt Transfers</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 The parties hereto agree that a transfer of the Property, or any portion thereof, shall be made only after compliance with all of the provisions of this Agreement, except that the following transfers shall be exempt from the terms and conditions of this Agreement to the extent herein provided and subject to all the other terms and conditions of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a transfer to one or more corporations, partnerships, limited liability companies, trusts or other entities in which Grantor or Grantor's, successors or assigns, have sufficient control to be able to cause said entities at any time to transfer the Property, or portion thereof, to Grantee and fulfill the other obligations of Grantors under the terms and conditions of this Agreement; further, Grantor covenants that during the existence of this Agreement Grantor, or Grantor's successors or assigns, will continue to retain sufficient control of said entities to be able to cause said entities to transfer the Property or portion thereof, as aforesaid, and to fulfill all of Grantors' obligations under this Agreement; and all certificates evidencing ownership of said entities shall be issued bearing a notation thereon that the transfer thereof is restricted and subject to the terms and conditions of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a transfer by foreclosure or deed in lieu of foreclosure to any bona fide mortgagee holding a first or second lien on the Property, provided that any subsequent sale and conveyance of the Property, or any part thereof, by such lienor shall be restricted and subject to the terms and conditions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 If a transfer is made pursuant to the provisions of Paragraph 4.1 above, the transferee or transferees shall be bound by all the covenants, terms, and conditions of this Agreement to the same extent as the Grantors.

5. <u>Term of Existence</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 All rights and interests herein created and set forth in this Agreement shall remain in existence and shall constitute a valid encumbrance upon the Property for a period of five (5) years from the Effective Date, and no longer; except that the same shall be extinguished by the occurrence of any one or more of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a sale of the entire Property to Grantee pursuant to the exercise of the right of first refusal, as herein provided, and upon compliance by Grantors with all of the terms and conditions of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a sale of the entire Property to any person other than Grantee or those persons mentioned in Paragraph 4.1 above pursuant to and upon compliance by Grantors with all of the terms and conditions of this Agreement.

6. <u>Miscellaneous</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 All offers, acceptances, and any other notices or statements contemplated or required by this Agreement shall be sent by certified or registered United States mail, return receipt requested, to the intended recipient thereof at the addresses stated on the first page of this Agreement, or to such other addresses as may be designated in writing by any party or available from a document recorded in the chain of title to the Property. Any periods of time within which action is to be taken hereunder shall commence on the date notice thereof is received.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 Subject to the limitation expressed in Paragraph 5.1 above, this Agreement shall be binding upon and shall inure to the benefit of the heirs, assigns, successors, and personal representatives of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 This Agreement is made in North Dakota and shall be governed by and interpreted in accordance with the law of North Dakota.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 A memorandum of this Agreement shall be recorded in the real property records of the Recorder's Office in and for Cavalier County, North Dakota.

IN WITNESS WHEREOF, the parties have hereunder set their hands and seals as of the day and year first above written.

---

| |
|:---|
| **GRANTOR**: |
| Bitzero ND I, LLC |
| By: |
| Name: Naeem Walji |
| Title: Chief Operations Officer |

---

STATE OF <u>Florida_____________________</u>))SS.

COUNTY OF <u>Miami-Dade_______________</u>)

The foregoing instrument was acknowledged before me on <u>12/29/2022 ________________________,</u> by Naeem Walji, the Chief Operations Officer of Bitzero ND I, LLC.

produced Florida drivers license

---

| |
|:---|
| Notary Public Edgy Slandel Eliacin |
| Notarized online using audio-video communication |

---

(SEAL)

---

| |
|:---|
| **GRANTEE:** |
| Cavalier County Job Development Authority |
| By: |
| Name: |
| Title: |

---

---

| |
|:---|
| STATE OF NORTH DAKOTA |
| COUNTY OF CAVALIER |

---

The foregoing instrument was acknowledged before me this _____ day of December, 2022, by ______________________________, the________________________ of the Cavalier County Job De' clopment Authority.

  <br> Notary Public

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(SEAL)

## Exhibit 99.63

**Exhibit 99.63**

---

| | |
|:---|:---|
| ![](img024_v2.jpg) | Number: BC1563896  |

---

**CERTIFICATE**

**OF**

**AMALGAMATION**

*BUSINESS CORPORATIONS ACT*

I Hereby Certify that BITZERO HOLDINGS INC., incorporation number BC1560594, and WBM CAPITAL CORP., incorporation number C1484564 were amalgamated as one company under the name BITZERO HOLDINGS INC. on November 19, 2025 at 01:45 PM Pacific Time.

---

| | |
|:---|:---|
| ![](img025_v2.jpg) <br>ELECTRONIC CERTIFICATE  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*Issued under my hand at Victoria, British Columbia*<br> *On November 19, 2025*<br>![](img026_v2.jpg) <br>**KERRY TAYLOR** <br> *Registrar of Companies*<br> Province of British Columbia Canada  |

---

## Exhibit 99.64

**Exhibit 99.64**

**Bitzero Holdings Inc. Announces Commencement of Trading on Canadian Securities Exchange**

Vancouver, British Columbia--(Newsfile Corp. - November 23, 2025) - Bitzero Holdings Inc. ("**Bitzero**" or the "**Company**"), the company focused on sustainable Blockchain and High-Performance Computing data centers, is pleased to announce that its voting shares will begin trading on the Canadian Securities Exchange (the "**CSE**") under ticker symbol "BITZ.U" at market open on November 24, 2025.

"This strategic milestone comes at a pivotal moment for Bitzero, during a historic bull run in the crypto market and surging demand for data center capacity," stated Mohammed Bakhashwain, President and CEO of Bitzero. "Combined with our aggressive infrastructure expansion strategy and our low-cost operations, this move will allow us to deliver even more capacity, faster, to meet market demand and provide exceptional value for investors. I'm extremely proud of our team for making this opportunity a reality."

In just four years, Bitzero has centered its focus on data center and cryptocurrency operations through sustainable energy practices and community integration that combine performance and stakeholder value with environmental responsibility and stewardship. This unique approach to developing low-cost, renewable energy and compute infrastructure has already attracted over US$100 million in investment (including in-kind contributions at fair market value), also from high-profile investor Kevin O'Leary of *Shark Tank* fame.

"When I invest in any asset class, I aim to own both the asset and the infrastructure behind it," O'Leary said. "If you believe in Bitcoin, why not also invest in the tools that make it possible? That's the energy, the power, the data centers - and Bitzero delivers on all of that."

For more information, visit <u>www.bitzero.com</u>.

**Bitzero's Bitcoin Mining Product and Operations Metrics**

<u>Bitzero announces unaudited production and operations updates for October 2025.</u>

**Mining Margins\***

---

| | |
|:---|:---|
| **Metric** | **Bitzero** |
| Energy Cost kWh | 0.04 $/Kwh |
| Daily Energy Cost | -$38189 |
| Pool Fees (2%) | -$355 |
| Gross Profit<sup>2</sup> / day | $71034 |
| Gross Profit<sup>2</sup> /month | $2131035 |
| Mining Margin<sup>3</sup> % | 46.24% |

---

**Mining Monthly Metrics\***

---

| | | |
|:---|:---|:---|
| | **Sep-25** | **Oct-25** |
| Monthly Total Hash Rate EH/s | 1.759918616 | 1.84 |
| Average operational Hash Rate EH/s | 1.73 | 1.788 |
| Bitcoin Mined | 23.85 | 23.47 |
| Bitcoin Hodl | 20 | 16 |
| Bitcoin Sold | 3.85 | 27 |
| % of Bitcoin Production Sold | 79% | 95% |
| Hodl ($M) | 2300000 | 1488000 |
| Bitcoin Mined Per 1EH/s | 13.79 | 13.13 |

---

**Bitcoins mined per EHS**

---

| | | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | &nbsp;&nbsp;&nbsp;**JAN** | &nbsp;&nbsp;&nbsp;**FEB** | **MAR** | &nbsp;&nbsp;&nbsp;**APR** | **MAY** | &nbsp;&nbsp;&nbsp;**JUN** | &nbsp;&nbsp;&nbsp;**JUL** | &nbsp;&nbsp;&nbsp;**AUG** | &nbsp;&nbsp;&nbsp;**SEP** | &nbsp;&nbsp;&nbsp;**OCT** | &nbsp;&nbsp;**NOV** | &nbsp;&nbsp;&nbsp;**DEC** | &nbsp;&nbsp;**AVG** | &nbsp;&nbsp;**RANK** |
| EHS | 1.175 | 1.328 | &nbsp;&nbsp;1.349 | 1.381 | &nbsp;&nbsp;&nbsp;1.408 | 1.42 | 1.362 | 1.362 | 1.75992 | 1.788 |  |  |  |  |
| Bitcoinsmined | 21.24 | 21 | &nbsp;&nbsp;22.79 | 21.82 | &nbsp;&nbsp;22.836 | 21.22 | 21.67 | 21.3 | 23.85 | 23.47 |  |  |  |  |
| Bitcoinsmined per EHS | 18.0766 | 15.8133 | 16.894 | 15.8001 | 16.2188 | 14.9437 | 15.9104 | 15.6388 | 13.5518 | 13.1264 |  |  |  |  |

---

All financial figures are unaudited and presented in United States dollars unless otherwise noted.

**About Bitzero Holdings Inc.**

**Investor Contact:**

Mohammed Bakhashwain

+44 777 303 0394

<u>investors@bitzero.com</u>

**Press Contact:** <u>bitzero@nextpr.com</u>

**Forward-Looking Information**

This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable Canadian securities laws. Forward-looking information in this release includes, but is not limited to, statements regarding: the expected timing and commencement of trading of the Company's voting shares on the Canadian Securities Exchange ("**CSE**"); the Company's business plans and objectives; the development, operation, and expansion of data centers and Bitcoin mining facilities in Norway, Finland, and the United States; the anticipated use of proceeds; the Company's growth strategy; the Company's ability to create shareholder value; and other statements regarding future events, performance, or results.

Forward-looking information is based on management's reasonable assumptions at the date such statements are made, including, but not limited to: the timely receipt of all necessary regulatory approvals; the availability and cost of hydroelectric power and mining equipment; the costs associated with operations will remain consistent; the Company's ability to execute its business strategy as planned; the price and network difficulty of Bitcoin; the ability to attract and retain key personnel; the CSE listing will be beneficial for the Company's growth; and the absence of material adverse changes in applicable laws, regulations, or the business environment.

Forward-looking information is subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking information. These risks and uncertainties include, but are not limited to: the risk that final CSE approval is not obtained on the anticipated timeline or at all; risks inherent in IT infrastructure and cryptocurrency mining businesses; fluctuations in power costs, Bitcoin prices, and network difficulty; reliance on key personnel; risks related to insurance, litigation, and regulatory compliance; risks associated with the Company's limited operating history and ability to manage growth; risks relating to political and economic conditions; local laws may impact Bitzero's business; and other risks described under "Risk Factors" in the Company's public disclosure documents available on SEDAR+ at <u>www.sedarplus.ca</u>.

Readers are cautioned not to place undue reliance on forward-looking information. Except as required by applicable law, the Company undertakes no obligation to update or revise any forward-looking information, whether as a result of newinformation, future events, or otherwise.

\*Non-IFRS Measures

As a Canadian reporting issuer, Bitzero prepares its financial statements in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Under IFRS, the Company employs the revaluation model where increases in the digital currencies' carrying amount is recognized in other comprehensive income and under accumulated other comprehensive income/ (loss) in equity, while decreases are recorded in the consolidated statements of income or loss and comprehensive income or loss. However, increases are recognized in profit or loss to the extent that it reverses a revaluation decrease of digital currencies previously recognized in profit or loss. The non-IFRS measures disclosed herein, such as "Gross Profit" and "Mining Margin," are used by management to assess the cash profitability and operating performance of the Company's mining activities. "Gross Profit" is calculated as mining revenue less energy costs and pool fees, and "Mining Margin" is calculated as gross profit divided by mining revenue. These measures are not presented as subtotals in the Company's IFRS financial statements and exclude other direct costs, operating expenses, depreciation, and non-cash items included in IFRS measures such as operating loss or net income (loss). As described in the footnotes below, gross profit is reconciled to IFRS by starting with mining revenue and subtracting only energy costs and pool fees, rather than all direct and operating costs required under IFRS; mining margin is calculated using this gross profit figure. As such, these non-IFRS measures do not reflect changes in the value of assets and liabilities, are not standardized under IFRS, and may not be comparable to similar measures disclosed by other issuers. Further information regarding non-IFRS measures is provided in the Company's MD&A and listing statement dated November 19, 2025, available on SEDAR+ at <u>www.sedarplus.ca</u>. Management believes these non-IFRS measures provide investors with additional insight into the Company's ability to generate cash from operations and supplement IFRS measures of financial performance.

*[1] Gross Profit is calculated as revenue from Bitcoin mining less energy costs and pool fees. This is a non-IFRS measure and is not a subtotal in the Company's IFRS financial statements. In the Company's IFRS statements, revenue and direct costs are presented separately, and gross profit as described here excludes other direct costs (such as depreciation, salaries, and equipment rental) that are included in IFRS "Direct Costs." Therefore, gross profit as disclosed is lower than the IFRS operating profit or loss, and is reconciled by starting with mining revenue and subtracting only energy costs and pool fees, rather than all direct and operating costs required under IFRS.*

*[2] Mining margin is equal to gross profit divided by mining revenue, which is based on an average Bitcoin price of $196,400 in the month of October, 2025. Mining margin is a non-IFRS measure and is not presented as a subtotal in the Company's IFRS financial statements. In IFRS reporting, profitability is reflected in operating profit or loss and net income (loss), which include additional expenses not captured in mining margin.*

*# # # # #*

**NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES**

To view the source version of this press release, please visit

<u>https://www.newsfilecorp.com/release/275649</u>

## Exhibit 99.65

**Exhibit 99.65**

**News Release**

For immediate release

**FOR CANADIAN DISTRIBUTION ONLY**

**BITZERO HOLDINGS INC. ENGAGES WITH ADELAIDE CAPITAL MARKETS INC. TO DRIVE INVESTOR ENGAGEMENT AND CAPITAL MARKETS STRATEGY**

**VANCOUVER, British Columbia – November 25, 2025** – Bitzero Holdings Inc. (CSE: BITZ.U), ("**Bitzero**" or the "**Company**"), the Company focused on sustainable Blockchain and High-Performance Computing data centers, is pleased to announce that it has engaged Adelaide Capital Markets Inc. ("**Adelaide**"), a leading investor relations and capital markets advisory firm, to provide investor relations and consulting services to the Company. This partnership comes on the heels of the announcement that Bitzero is now trading on the Canadian Securities Exchange ("**CSE**").

Adelaide is a full-service investor relations and social media firm that specializes in small-cap growth companies. Adelaide will work closely with Bitzero to develop and deploy a comprehensive capital markets program, which includes, virtual campaigns, social media, conferences and assisting with investor communication.

The investor relations contract is for an initial term of November 24, 2025 – February 24, 2026. In exchange for Adelaide's services, the Company has agreed to pay a monthly fee of CAD$8,000 (plus applicable taxes). The consulting contract shall automatically renew on a monthly basis until such time that the agreement is terminated in accordance with its terms.

As of the date hereof, Adelaide does not have any interest, directly or indirectly, in the Company or its securities.

"Adelaide's expertise in small-cap growth companies and innovative approach to investor engagement will help us effectively communicate our growth story and strategic vision," said Mohammed Bakhashwain, President and Chief Executive Officer of Bitzero. "This collaboration marks an important step in connecting with current and potential investors as we continue to scale our sustainable blockchain and high-performance computing operations."

Adelaide is located at Suite 1050, 400 Burrard Street, Vancouver, British Columbia, phone number of (604)-331-1213 and email address of <u>info@adcap.ca</u>.

**Adelaide Contact** 

Victoria Rutherford

(480) 625 5772

<u>Victoria@adcap.ca</u>

<u>www.**ad**cap**.ca**</u>

**Bitzero Investor Contact** 

Mohammed Bakhashwain

+44 777 303 0394

investors@bitzero.com

**Bitzero Press Contact** 

Shannon Tucker

<u>bitzero@nextpr.com</u>

For more information, visit <u>www.bitzero.com</u>.

**About Bitzero Holdings Inc.**

**Forward-Looking Information**

This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable Canadian securities laws. Forward-looking information in this release includes, but is not limited to, statements regarding:; the Company's business plans and objectives; the Company's relationship with Adelaide; the impact of Adelaide on the Company; the Company's growth strategy; the Company's ability to create shareholder value; and other statements regarding future events, performance, or results.

Forward-looking information is based on management's reasonable assumptions at the date such statements are made, including, but not limited to: the timely receipt of all necessary regulatory approvals; the availability and cost of hydroelectric power and mining equipment; the costs associated with operations will remain consistent; the Company's ability to execute its business strategy as planned; the price and network difficulty of Bitcoin; the ability to attract and retain key personnel; the CSE listing will be beneficial for the Company's growth; Adelaide's engagement with the Company will have the intended effect; the Company and Adelaide will work positively together; and the absence of material adverse changes in applicable laws, regulations, or the business environment.

Forward-looking information is subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking information. These risks and uncertainties include, but are not limited to: the risk that final CSE approval is not obtained of Adelaide's engagement; risks inherent in IT infrastructure and cryptocurrency mining businesses; fluctuations in power costs, Bitcoin prices, and network difficulty; reliance on key personnel; risks related to insurance, litigation, and regulatory compliance; risks associated with the Company's limited operating history and ability to manage growth; risks relating to political and economic conditions; local laws may impact Bitzero's business; and other risks described under "Risk Factors" in the Company's public disclosure documents available on SEDAR+ at www.sedarplus.ca.

Readers are cautioned not to place undue reliance on forward-looking information. Except as required by applicable law, the Company undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, future events, or otherwise.

*# # # # #*

## Exhibit 99.66

**Exhibit 99.66**

**SECTION 4.9 NOTICE** 

**NATIONAL INSTRUMENT 51-102**

**CHANGE IN CORPORATE STRUCTURE**

---

| | |
|:---|:---|
| **TO:** | **British Columbia Securities Commission**<br> **Alberta Securities Commission** |

---

**Ontario Securities Commission**

This notice is provided pursuant to sections 4.8 and 4.9 of National Instrument 51-102 – C*ontinuous Disclosure Obligations* ("**NI 51-102**").

Item 1. Names of the Parties to the Transaction

Bitzero Holdings Inc. (formerly WBM Capital Corp.) (the "**Issuer**"), Bitzero Blockchain Inc. ("**TargetCo**") and 1555476 B.C. Ltd. ("**Subco**"). The entity resulting from the Amalgamation (as defined below) ("**Amalco**") continues to use the corporate name "Bitzero Blockchain Inc.".

Item 2. Description of the Transaction

On November 19, 2025, pursuant to the terms of a letter agreement dated August 27, 2025 (the "**Letter Agreement**"), the Issuer and TargetCo completed a three-cornered amalgamation to form Amalco, completed a change in management and completed the listing of the Resulting Issuer Voting Shares (as defined herein) on the Canadian Securities Exchange (the "**CSE**"), constituting a reverse takeover of the Issuer by the TargetCo (the "**Transaction**").

The Transaction was completed by way of a three cornered amalgamation (the "**Amalgamation**") pursuant to which TargetCo amalgamated with Subco, a wholly-owned subsidiary of the Issuer, and the Issuer acquired all of the issued and outstanding voting common shares of TargetCo (the "**Target Voting Shares**") and non-voting common shares of TargetCo (the "**Target Non-Voting Shares**" and together with the Target Voting Shares, the "**Target Shares**") in exchange for voting common shares of the Issuer (the "**Resulting Issuer Voting Shares**") and non-voting common shares of the Issuer (the "**Resulting Issuer Non-Voting Shares**", and together with the Resulting Issuer Voting Shares, the "**Resulting Issuer Shares**") on the basis of one Resulting Issuer Share for each ten Target Shares issued and outstanding (the "**Exchange Ratio**"). No fractional shares were issued in connection with the Amalgamation. As a result of the Amalgamation, the Amalco is now a wholly-owned subsidiary of the Issuer. All outstanding convertible securities entitling the holder thereof to acquire Target Shares now entitle the holders thereof to acquire equivalent securities of the Issuer in lieu of Target Shares on the same terms and conditions, subject to the Exchange Ratio.

In addition to the Amalgamation, the Issuer completed a three-cornered amalgamation with 1001344965 Ontario Inc. ("**Finco**") and 1001346623 Ontario Inc. ("**Subco 2**"), pursuant to the *Business Corporations Act* (Ontario) (the "**Finco Amalgamation**"). Prior to completing the Finco Amalgamation, Finco settled approximately C$205,647.70 in debt through the issue of 4,112,954 common shares of Finco (the "**Finco Shares**"), at a price of $0.05 per Finco Share. Upon completion of the Finco Amalgamation, the Issuer issued an aggregate of 4,112,954 Resulting Issuer Voting Shares to the former holders of Finco Shares (the "**Finco Share Exchange**").

Immediately prior to closing the Transaction, the Issuer completed an amalgamation with its wholly owned subsidiary "Bitzero Holdings Inc." under *Business Corporations Act* (British Columbia) to change its name to "Bitzero Holdings Inc."

Additional information regarding the Transaction is found in the CSE Form 2A — Listing Statement dated November 19, 2025 (the "**Listing Statement**"). A copy of the Listing Statement is available under the Issuer's issuer profile on SEDAR+ at www.sedarplus.ca.

Item 3. Effective Date of the Transaction

The Transaction became effective on November 19, 2025, and the Issuer listed the Resulting Issuer Voting Shares for trading on the CSE on November 24, 2025.

Item 4. Names of Each Party that Ceased to Be a Reporting Issuer Subsequent to the Transaction and of each Continuing Entity

The Issuer continues to be a reporting issuer in British Columbia, Alberta, and Ontario.

Item 5. Date of the Reporting Issuer's First Financial Year-End Subsequent to the Transaction

In connection with the Transaction, the Issuer changed its financial year-end from October 31 to September 30. Accordingly, the Company's first financial year-end subsequent to the Transaction will be September 30, 2026.

Item 6. The periods, including the comparative periods, if any, of the interim financial reports and the annual financial statements required to be filed for the reporting issuer's first financial year after the transaction

The Issuer is required to file the following financial statements during the first financial year after the Transaction:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) interim financial statements of the Issuer
for the three months ended December 31, 2025 (comparative statements being the three months ended of December 31, 2024 of TargetCo),
on or before February 28, 2026;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) interim financial statements of the Issuer
for the six months ended March 31, 2026 (comparative statements being the six months ended of March 31, 2025 of TargetCo), on or
before May 30, 2026;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) interim financial statements of the Issuer for the nine months
 ended June 30, 2026 (comparative statements being the nine months ended of June 30, 2025 of TargetCo), on or before August 29, 2026; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) annual financial statements of the Issuer
for the 12 months ended September 30, 2026 (comparative statements being the 12 months ended September 30, 2025 of TargetCo), on
or before January 28, 2027.

In addition to the above, the Issuer will also file financial statements of TargetCo for the year ended September 30, 2025 on or before January 28, 2026, and financial statements of the Issuer, prior to completion of the Transaction, for the year ended October 31, 2025, on or before February 28, 2026.

Item 7. Documents Filed under NI 51-102

Details of the Transaction can be found in the following documents:

● news release of the Issuer dated August 27, 2025;

● Letter Agreement;

● the Listing Statement;

● news release of the Issuer dated November 20, 2025;

● material change report of the Issuer dated December 1, 2025

each of which has been electronically filed with the Canadian securities regulators and is available on SEDAR+ at www.sedarplus.ca under the Issuer's issuer profile.

Item 8. Date of Report

December 1, 2025

## Exhibit 99.67

**Exhibit 99.67**

**FORM 51-102F3**

**MATERIAL CHANGE REPORT**

**Item 1** - **Name and Address of Company**

Bitzero Holdings Inc. (formerly WBM Capital Corp.) (the **"Company")**

1100 One Bentall Centre<br> 505 Burrard Street, Suite 1100<br> Vancouver, British Columbia<br> V7X 1M5

**Item 2** - **Date of Material Change** 

November 19, 2025, and November 24, 2025

**Item 3** - **News Release**

News releases announcing the material change were disseminated by the Company on November 19, 2025, and November 23, 2025, through Newsfile and filed on SEDAR+.

**Item 4 - Summary of Material Change**

On November 19, 2025, the Company completed a reverse takeover ofBitzero Blockchain Inc. (**"TargetCo")** and, on November 24, 2025, listed the Company's voting shares (the **"Resulting Issuer Voting Shares")** for trading on the Canadian Securities Exchange under the symbol "BITZ.U".

**Item 5 - Full Description of Material Change**

On November 19, 2025, the Company completed its previously announced reverse takeover (the **"Transaction")** with the TargetCo. Pursuant to the Transaction, the Company acquired all of the issued and outstanding securities of TargetCo by way of a three-cornered amalgamation under the *Business Corporations Act* (British Columbia).

The Transaction constitutes a "restructuring transaction" under NI 51-102F3. The disclosure required by section 14.2 of Form 51-102F5 for the entities resulting from the restructuring transaction is incorporated by reference to the Company's CSE Form 2A Listing Statement dated November 19, 2025, (the **"Listing Statement")** available on SEDAR+ <u>www.sedarplus.ca</u>.

In connection with the Transaction, the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) completed an amalgamation with its wholly owned subsidiary and adopted
the name of its subsidiary, Bitzero Holdings Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) adopted new articles to redesignate its common shares as Resulting Issuer
Voting Shares and create a class of non-voting shares (the **"Resulting Issuer Non-Voting Shares");** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) reconstituted its board and management to consist of
the nominees of TargetCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) adopted an omnibus incentive plan; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) adopted a shareholder rights plan.

The holders of TargetCo's voting shares received Resulting Issuer Voting Shares on the basis of 10 TargetCo voting shares for one Resulting Issuer Voting Share, and holders of TargetCo 's non-voting shares received Resulting Issuer Non-Voting Shares on the basis of 10 TargetCo non-voting shares for one Resulting Issuer Non-Voting Share. The Resulting Issuer Voting Shares were approved for listing on the Canadian Securities Exchange and commenced trading under the symbol "BITZ.U" on November 24, 2025.

Following the Completion of the Transaction, the Company carries on the business of TargetCo which is focused on Bitcoin mining, data center development, and hosting services. The Company operates a hydro-powered data center in Norway and is actively expanding into North America and Scandinavia to support high-performance computing and blockchain operations.

Further details regarding the Transaction, the Company's business, capitalization, risk factors, and financial statements are provided in the Company's Listing Statement, and in the news releases dated November 19, 2025, and November 23, 2025, all of which are available under the Company's profile on SEDAR+ <u>www.sedarplus.ca</u>.

<u>Related Party Transaction</u>

Immediately prior to the closing of the Transaction, the Company completed a settlement of C$205,647.70 in debt (the **"Debt Settlement")** via issuing shares of its wholly owned subsidiary at a price of C$0.05 per share, which were subsequently exchanged for an aggregate of 4,112,954 Resulting Issuer Voting Shares pursuant to a three-cornered amalgamation (the **"Finco Exchange").** The Debt Settlement and Finco Exchange were undertaken to strengthen the Company's balance sheet and facilitate the closing of the Transaction.

The recipient of these Resulting Issuer Voting Shares, Triforce Ventures SA, held more than 10% of the Resulting Issuer Voting Shares at the time of issuance, making the FinCo Exchange a "related party transaction" under Multilateral Instrument 61-101 - *Protection of Minority Security Holders in Special Transactions* **("MI 61-101").**

The Company relied on the exemption from the formal valuation requirement under section 5.5(b) of MI 61-101, as the Company was not listed on any of the specified markets at the time of the FinCo Exchange. The Company also relied on the exemption from the minority approval requirement under section 5.7(1)(g) of MI 61-101, as, immediately prior to the FinCo Exchange, one or more interested parties owned 90% or more of the outstanding securities of the Company, excluding securities held by such interested parties. Immediately prior to the FinCo Exchange, the Company had 250,000 Resulting Issuer Voting Shares issued and outstanding, of which Triforce Ventures SA held 249,999 Resulting Issuer Voting Shares, representing approximately 99.9% of the issued and outstanding Resulting Issuer Voting Shares. Following the FinCo Exchange, Triforce Ventures SA received 4,112,954 Resulting Issuer Voting Shares, representing approximately 99.9% of the Resulting Issuer Voting Shares following the FinCo Exchange and approximately 8.3% of the outstanding Resulting Issuer Voting Shares post-Transaction. After reasonable inquiry, the Company is not aware of any prior valuations relevant to the FinCo Exchange that were made in the 24 months preceding the date of this material change report.

The Company filed this material change report less than 21 days before the closing of the FinCo Exchange, as the decision and ability to complete the FinCo Exchange was contingent on the timing of the Transaction and related approvals, which were outside of the Company's control and only confirmed immediately prior to closing. The Company believes this shorter period was both reasonable and necessary in the circumstances to permit timely completion of the FinCo Exchange for sound business reasons, as permitted under MI 61-101 s.5.2(2).

The Finco Exchange, including the related party aspects, was reviewed and approved by the board of directors of the Company. No director abstained from voting or expressed a materially contrary view in respect of the Finco Exchange. No special committee was formed regarding the Finco Exchange as none of the directors held an interest in the Finco Exchange.

<u>Post-Closing Capitalization</u>

Following completion of the Transaction, the Company has 49,752,913 Resulting Issuer Voting Shares issued and outstanding, and 2,312,243 Resulting Issuer Non-Voting Shares issued and outstanding. The Resulting Issuer Non-Voting Shares are convertible into Resulting Issuer Voting Shares on a 1:1 basis, subject to a 9.99% ownership limitation, and may only be converted to the extent that the total holdings of Resulting Issuer Voting Shares held by any holder of Resulting Issuer Non-Voting Shares do not exceed this threshold. Assuming the exercise of all outstanding options, exercise of all outstanding warrants, vesting and conversion of all restricted share units, and exchange of all Resulting Issuer Non-Voting Shares for Resulting Issuer Voting Shares (notwithstanding the aforementioned 9.9% ownership limitation), 60,346,843 Resulting Issuer Voting Shares would be outstanding on a fully diluted basis.

<u>Escrowed Securities</u>

Pursuant to the terms of National Policy 46-201 **("NP 46-201")** and the escrow agreement dated November 19, 2025 among the Company, Odyssey Trust Company (as escrow agent) and the escrowed securityholders of the Company, an aggregate of 6,332,717 Resulting Issuer Voting Shares and 160,000 options to acquire Resulting Issuer Voting Shares have been placed in escrow and are subject to the escrow release conditions applicable to "emerging issuers" as set out in NP 46-201.

<u>Directors, Officers and Auditor</u>

As a result of the closing of the Transaction, the directors and officers of the Company are now:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mohammed Bakhashwain | Chief Executive Officer and Director |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Igor Kostioutchenko | Chief Financial Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Giovanni Gaudenzi | Director |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Claudia Di Iorio | Director |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gilles Seguin | Director |

---

In connection with the Transaction, the Company has appointed SRCO Professional Corporation as auditor of the Company, replacing MNP LLP. There are no reportable events, including disagreements, consultations or unresolved issues, as such terms are defined in National Instrument 51-102 *Continuous Disclosure Obligations.*

**Item 6-Reliance on Subsection 7.1(2) or (3) of National Instrument 51-102**

This material change report is not being filed on a confidential basis.

Item 7 - **Omitted Information**

No information has been omitted on the basis that it is confidential information.

**Item 8 - Executive Officer**

Mohammed Bakhashwain

Chief Executive Officer

Bitzero Holdings Inc.

Email: investors@bitzero.com

Tel: +44 777 303 0394

**Item 9 - Date of Report**

December 1, 2025

**Bitzero Holdings Inc.**

*<u>ls/Mohammed</u> <u>Bakhashwain</u>*

Mohammed Bakhashwain

Chief Executive Officer

## Exhibit 99.68

**Exhibit 99.68**

Incorporation Number: BC <u>1563896</u>

**ARTICLES OF**

**BITZERO HOLDINGS INC.** 

**(the "Company")**

*Business Corporations Act* (British Columbia)

1. Interpretation 2

2. Shares and Share Certificates 2

3. Issue of Shares 3

4. Share Registers 4

5. Share Transfers 5

6. Transmission of Shares 6

7. Purchase of Shares 6

8. Borrowing Powers 6

9. Alterations 7

10. Meetings of Shareholders 8

11. Proceedings at Meetings of Shareholders 11

12. Votes of Shareholders 15

13. Directors 18

14. Election and Removal of Directors 19

15. Alternate Directors 21

16. Powers and Duties of Directors 22

17. Disclosure of Interest of Directors 22

18. Proceedings of Directors 23

19. Executive and Other Committees 25

20. Officers 27

21. Indemnification 27

22. Dividends 28

23. Accounting Records and Auditor 30

24. Notices 30

25. General Signing Authority and Seal 31

26. Prohibitions 32

1. Interpretation

**1.1** **Definitions** 

In these Articles, unless the context otherwise requires:

(1) "**board of directors** ", "**directors** "
and "**board**" mean the directors or sole director of the Company for the time being;

(2) "  ***Business Corporations Act***" means the *Business Corporations Act* (British Columbia) from time to time in force and all amendments thereto and includes all regulations and
amendments thereto made pursuant to that Act;

(3) "**legal personal representative**" means the personal or other legal representative of a shareholder;

(4) "**public company**" has the meaning ascribed to it in the *Business Corporations Act*;

(5) "**registered address**" of a shareholder means the shareholder's
address as recorded in the central securities register; and

(6) "**seal**" means the seal of the Company, if any.

**1.2**  ***Business Corporations Act* and *Interpretation Act* Definitions Applicable** 

The definitions in the *Business Corporations Act* and the definitions and rules of construction in the Interpretation Act, with the necessary changes, so far as applicable, and unless the context requires otherwise, apply to these Articles as if they were an enactment. If there is a conflict between a definition in the *Business Corporations Act* and a definition or rule in the *Interpretation Act* relating to a term used in these Articles, the definition in the *Business Corporations Act* will prevail in relation to the use of the term in these Articles. If there is a conflict or inconsistency between these Articles and the *Business Corporations Act*, the *Business Corporations Act* will prevail.

2. Shares and Share Certificates

**2.1** **Authorized Share Structure** 

The authorized share structure of the Company consists of shares of the class or classes and series, if any, described in the Notice of Articles of the Company.

**2.2** **Form of Share Certificate** 

Each share certificate issued by the Company must comply with, and be signed as required by, the *Business Corporations Act*.

**2.3** **Shareholder Entitled to Certificate or Acknowledgment** 

Each shareholder is entitled, without charge, to (a) one share certificate representing the shares of each class or series of shares registered in the shareholder's name or (b) a non-transferable written acknowledgment of the shareholder's right to obtain such a share certificate, provided that in respect of a share held jointly by several persons, the Company is not bound to issue more than one share certificate or acknowledgement and delivery of a share certificate for a share to one of several joint shareholders or to a duly authorized agent of one of the joint shareholders will be sufficient delivery to all.

**2.4** **Delivery by Mail** 

Any share certificate or non-transferable written acknowledgment of a shareholder's right to obtain a share certificate may be sent to the shareholder by mail at the shareholder's registered address and neither the Company nor any director, officer or agent of the Company is liable for any loss to the shareholder because the share certificate or acknowledgement is lost in the mail or stolen.

**2.5** **Replacement of Worn Out or Defaced Certificate or Acknowledgement** 

If the directors are satisfied that a share certificate or a non-transferable written acknowledgment of the shareholder's right to obtain a share certificate is worn out or defaced, they must, on production to them of the share certificate or acknowledgment, as the case may be, and on such other terms, if any, as they think fit:

(1) order the share certificate or acknowledgment, as the case may be, to be cancelled; and

(2) issue a replacement share certificate or acknowledgment, as the case may be.

**2.6** **Replacement of Lost, Stolen or Destroyed Certificate or Acknowledgment** 

If a share certificate or a non-transferable written acknowledgment of a shareholder's right to obtain a share certificate is lost, stolen or destroyed, a replacement share certificate or acknowledgment, as the case may be, must be issued to the person entitled to that share certificate or acknowledgment, as the case may be, if the directors receive:

(1) proof satisfactory to them that the share certificate or acknowledgment is lost, stolen or destroyed; and

(2) any indemnity the directors consider adequate.

**2.7** **Splitting Share Certificates** 

If a shareholder surrenders a share certificate to the Company with a written request that the Company issue in the shareholder's name two or more share certificates, each representing a specified number of shares and in the aggregate representing the same number of shares as the share certificate so surrendered, the Company must cancel the surrendered share certificate and issue replacement share certificates in accordance with that request.

**2.8** **Certificate Fee** 

There must be paid to the Company, in relation to the issue of any share certificate under Articles 2.5, 2.6 or 2.7, the amount, if any and which must not exceed the amount prescribed under the *Business Corporations Act*, determined by the directors.

**2.9** **Recognition of Trusts** 

Except as required by law or statute or these Articles, no person will be recognized by the Company as holding any share upon any trust, and the Company is not bound by or compelled in any way to recognize (even when having notice thereof) any equitable, contingent, future or partial interest in any share or fraction of a share or (except as required by law or statute or these Articles or as ordered by a court of competent jurisdiction) any other rights in respect of any share except an absolute right to the entirety thereof in the shareholder.

**2.10** **Direct Registration System** 

Share certificates may be held in "book-entry" form under the direct registration system and such shares may be transferred electronically.

3. Issue of Shares

**3.1** **Directors Authorized** 

Subject to the *Business Corporations Act* and the rights, if any, of the holders of issued shares of the Company, the Company may allot, issue, sell or otherwise dispose of the unissued shares, and issued shares held by the Company, at the times, to the persons, including directors, in the manner, on the terms and conditions and for the issue prices (including any premium at which shares with par value may be issued) that the directors may determine. The issue price for a share with par value must be equal to or greater than the par value of the share.

**3.2** **Commissions and Discounts** 

The Company may, at any time, pay a reasonable commission or allow a reasonable discount to any person in consideration of that person purchasing or agreeing to purchase shares of the Company from the Company or any other person or procuring or agreeing to procure purchasers for shares of the Company.

**3.3** **Brokerage** 

The Company may pay such brokerage fee or other consideration as may be lawful for or in connection with the sale or placement of its securities.

**3.4** **Conditions of Issue** 

Except as provided for by the *Business Corporations Act*, no share may be issued until it is fully paid. A share is fully paid when:

(1) consideration is provided to the Company for the issue of the share by one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) past services performed for the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) money; and

(2) the directors in their discretion have determined that the value of the consideration received
by the Company equals or exceeds the issue price set for the share under Article 3.1.

**3.5** **Share Purchase Warrants and Rights** 

4. Share Registers

**4.1** **Central Securities Register** 

As required by and subject to the *Business Corporations Act*, the Company must maintain a central securities register in British Columbia. The directors may, subject to the *Business Corporations Act*, appoint an agent to maintain the central securities register. The directors may also appoint one or more agents, including the agent which keeps the central securities register, as transfer agent for its shares or any class or series of its shares, as the case may be, and the same or another agent as registrar for its shares or such class or series of its shares, as the case may be. The directors may terminate such appointment of any agent at any time and may appoint another agent in its place.

**4.2** **Closing Register** 

The Company must not at any time close its central securities register.

5. Share Transfers

**5.1** **Registering Transfers** 

A transfer of a share of the Company must not be registered unless the Company or the transfer agent or registrar for the class or series of share to be transferred has received:

(1) a duly signed instrument of transfer in respect of the share;

(2) if a share certificate has been issued by the Company in respect of the
share to be transferred, that share certificate; and

(3) if a non-transferable written acknowledgment of the shareholder's
right to obtain a share certificate has been issued by the Company in respect of the share to be transferred, that acknowledgment;
and

(4) such other evidence, if any, as the Company or the transfer agent or registrar
for the class or series of share to be transferred may require to prove the title of the transferor or the transferor's right
to transfer the share, the due signing of the instrument of transfer and the right of the transferee to have the transfer registered.

For the purpose of this Article, delivery or surrender to the agent that maintains the Company's central securities register or a branch securities register, if applicable, will constitute receipt by or surrender to the Company.

**5.2** **Form of Instrument of Transfer** 

The instrument of transfer in respect of any share of the Company must be either in the form, if any, on the back of the Company's share certificates or in any other form that may be approved by the directors from time to time.

**5.3** **Transferor Remains Shareholder** 

Except to the extent that the *Business Corporations Act* otherwise provides, the transferor of shares is deemed to remain the holder of the shares until the name of the transferee is entered in a securities register of the Company in respect of the transfer.

**5.4** **Signing of Instrument of Transfer** 

If a shareholder, or his or her duly authorized attorney, signs an instrument of transfer in respect of shares registered in the name of the shareholder, the signed instrument of transfer constitutes a complete and sufficient authority to the Company and its directors, officers and agents to register the number of shares specified in the instrument of transfer or specified in any other manner, or, if no number is specified, all the shares represented by the share certificates or set out in the written acknowledgments deposited with the instrument of transfer:

(1) in the name of the person named as transferee in that instrument of transfer; or

(2) if no person is named as transferee in that instrument of transfer, in
the name of the person on whose behalf the instrument is deposited for the purpose of having the transfer registered.

**5.5** **Enquiry as to Title Not Required** 

Neither the Company nor any director, officer or agent of the Company is bound to inquire into the title of the person named in the instrument of transfer as transferee or, if no person is named as transferee in the instrument of transfer, of the person on whose behalf the instrument is deposited for the purpose of having the transfer registered or is liable for any claim related to registering the transfer by the shareholder or by any intermediate owner or holder of the shares, of any interest in the shares, of any share certificate representing such shares or of any written acknowledgment of a right to obtain a share certificate for such shares.

**5.6** **Transfer Fee** 

There must be paid to the Company, in relation to the registration of any transfer, the amount, if any, determined by the directors.

6. Transmission of Shares

**6.1** **Legal Personal Representative Recognized on Death** 

In case of the death of a shareholder, the legal personal representative of the shareholder, or in the case of shares registered in the shareholder's name and the name of another person in joint tenancy, the surviving joint holder, will be the only person recognized by the Company as having any title to the shareholder's interest in the shares. Before recognizing a person as a legal personal representative of a shareholder, the directors may require proof of appointment by a court of competent jurisdiction, a grant of letters probate, letters of administration or such other evidence or documents as the directors consider appropriate.

**6.2** **Rights of Legal Personal Representative** 

The legal personal representative of a shareholder has the same rights, privileges and obligations that attach to the shares held by the shareholder, including the right to transfer the shares in accordance with these Articles, provided the documents required by the *Business Corporations Act* and the directors have been deposited with the Company. This Article 6.2 does not apply in the case of the death of a shareholder with respect to shares registered in the shareholder's name and the name of another person in joint tenancy.

7. Purchase of Shares

**7.1** **Company Authorized to Purchase Shares** 

Subject to Article 7.2, the special rights and restrictions attached to the shares of any class or series and the *Business Corporations Act*, the Company may, if authorized by the directors, purchase, redeem or otherwise acquire any of its shares at the price and upon the terms determined by the directors.

**7.2** **Purchase When Insolvent** 

The Company must not make a payment or provide any other consideration to purchase or otherwise acquire any of its shares if there are reasonable grounds for believing that:

(1) the Company is insolvent; or

(2) making the payment or providing the consideration would render the Company insolvent.

**7.3** **Sale and Voting of Purchased Shares** 

If the Company retains a share redeemed, purchased or otherwise acquired by it, the Company may sell, gift or otherwise dispose of the share, but, while such share is held by the Company, it:

(1) is not entitled to vote the share at a meeting of its shareholders;

(2) must not pay a dividend in respect of the share; and

(3) must not make any other distribution in respect of the share.

8. Borrowing Powers

**8.1** **Power to Borrow and Issue Debt Obligations** 

The Company, if authorized by the directors, may:

(1) borrow money in the manner and amount, on the security, from the sources
and on the terms and conditions that they consider appropriate;

(2) issue bonds, debentures and other debt obligations either outright or as
security for any liability or obligation of the Company or any other person and at such discounts or premiums and on such other
terms as they consider appropriate;

(3) guarantee the repayment of money by any other person or the performance
of any obligation of any other person; and

(4) mortgage, charge, whether by way of specific or floating charge, grant
a security interest in, or give other security on, the whole or any part of the present and future assets and undertaking of the
Company.

**8.2** **Features of Debt Obligations** 

Any bonds, debentures or other debt obligations of the Company may be issued at a discount, premium or otherwise, or with special privileges as to redemption, surrender, drawing, allotment of or conversion into or exchange for shares or other securities, attending and voting at general meetings of the Company, appointment of directors or otherwise and may, by their terms, be assignable free from any equities between the Company and the person to whom they were issued or any subsequent holder thereof, all as the directors may determine.

9. Alterations

**9.1** **Alteration of Authorized Share Structure** 

Subject to Article 9.2 and the *Business Corporations Act*, the Company may:

(1) by directors' resolution or by ordinary resolution, in each case as determined by the directors:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) create one or more classes or series of shares or, if none of the shares
of a class or series of shares are allotted or issued, eliminate that class or series of shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) increase, reduce or eliminate the maximum number of shares that the Company
is authorized to issue out of any class or series of shares or establish a maximum number of shares that the Company is authorized
to issue out of any class or series of shares for which no maximum is established;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) subdivide or consolidate all or any of its unissued, or fully paid issued, shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) if the Company is authorized to issue shares of a class of shares with par value:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A. decrease the par value of those shares; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B. if none of the shares of that class of shares are allotted or issued, increase the par value
of those shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) change all or any of its unissued, or fully paid issued, shares with par
value into shares without par value or any of its unissued shares without par value into shares with par value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) alter the identifying name of any of its shares; or

(2) by directors' resolution or by ordinary resolution otherwise alter
its shares or authorized share structure when required or permitted to do so by the *Business Corporations Act*;

and, if applicable, alter its Notice of Articles and, if applicable, its Articles, accordingly.

**9.2** **Special Rights or Restrictions** 

Subject to the *Business Corporations Act*, the Company may by directors' resolution or by ordinary resolution, in each case as determined by the directors:

(1) create special rights or restrictions for, and attach those special rights
or restrictions to, the shares of any class or series of shares, if none of those shares have been issued; or vary or delete any
special rights or restrictions attached to the shares of any class or series of shares, whether or not any or all of those shares
have been issued; or

(2) vary or delete any special rights or restrictions attached to the shares
of any class or series of shares, whether or not any or all of those shares have been issued;

and alter its Articles and Notice of Articles accordingly.

**9.3** **Change of Name** 

The Company may by directors' resolution or by ordinary resolution, in each case as determined by the directors, authorize an alteration of its Notice of Articles in order to change its name or adopt or change any translation of that name.

**9.4** **Other Alterations** 

The Company, save as otherwise provided by these Articles and subject to the *Business Corporations Act*, may:

(1) by directors' resolution or by ordinary resolution, in each case
as determined by the directors, authorize alterations to the Articles that are procedural or administrative in nature or are matters
that pursuant to these Articles are solely within the directors' powers, control or authority; and

(2) if the *Business Corporations Act* does not specify the type of resolution
and these Articles do not specify another type of resolution, the Company may by ordinary resolution alter these Articles.

10. Meetings of Shareholders

**10.1** **Annual General Meetings** 

Unless an annual general meeting is deferred or waived in accordance with the *Business Corporations Act*, the Company must hold its first annual general meeting within 18 months after the date on which it was incorporated or otherwise recognized, and after that must hold an annual general meeting at least once in each calendar year and not more than 15 months after the last annual reference date at such time and place as may be determined by the directors.

**10.2** **Resolution Instead of Annual General Meeting** 

If all the shareholders who are entitled to vote at an annual general meeting consent by a unanimous resolution to all of the business that is required to be transacted at that annual general meeting, the annual general meeting is deemed to have been held on the date of the unanimous resolution. The shareholders must, in any unanimous resolution passed under this Article 10.2, select as the Company's annual reference date a date that would be appropriate for the holding of the applicable annual general meeting.

**10.3** **Calling of Meetings of Shareholders** 

The directors may, whenever they think fit, call a meeting of shareholders.

**10.4** **Place of Meetings of Shareholders** 

General meetings of shareholders may be held at a location outside of British Columbia to be determined and approved by a directors' resolution.

**10.5** **Meetings by Telephone or Other Electronic Means** 

A meeting of the Company's shareholders may be held entirely or in part by means of a telephonic, electronic or other communication facility that permits all participants to communicate adequately with each other during the meeting, if approved by directors' resolution prior to the meeting and subject to the *Business Corporations Act*. Any person participating in a meeting by such means is deemed to be present at the meeting.

**10.6** **Notice for Meetings of Shareholders** 

Subject to Article 10.2, the Company must send notice of the date, time and location of any meeting of shareholders, in the manner provided in these Articles, or in such other manner, if any, as may be prescribed by directors' resolution (whether previous notice of the resolution has been given or not), to each shareholder entitled to attend the meeting, to each director and to the auditor of the Company, unless these Articles otherwise provide, at least the following number of days before the meeting:

(1) if and for so long as the Company is a public company, 21 days;

(2) otherwise, 10 days.

**10.7** **Record Date for Notice** 

The directors may set a date as the record date for the purpose of determining shareholders entitled to notice of any meeting of shareholders. The record date must not precede the date on which the meeting is to be held by more than two months or, in the case of a general meeting requisitioned by shareholders under the *Business Corporations Act*, by more than four months. The record date must not precede the date on which the meeting is held by fewer than:

(1) if and for so long as the Company is a public company, 21 days;

(2) otherwise, 10 days.

If no record date is set, the record date is 5 p.m. on the day immediately preceding the first date on which the notice is sent or, if no notice is sent, the beginning of the meeting.

**10.8** **Record Date for Voting** 

The directors may set a date as the record date for the purpose of determining shareholders entitled to vote at any meeting of shareholders. The record date must not precede the date on which the meeting is to be held by more than two months or, in the case of a general meeting requisitioned by shareholders under the *Business Corporations Act*, by more than four months. If no record date is set, the record date is 5 p.m. on the day immediately preceding the first date on which the notice is sent or, if no notice is sent, the beginning of the meeting.

**10.9** **Class Meetings and Series Meetings of Shareholders** 

Subject to the provisions of the *Business Corporations Act*, unless specified otherwise in these Articles or in the special rights and restrictions attached to any class or series of shares, the provisions of these Articles relating to general meetings will apply, with the necessary changes and so far as they are applicable, to a class meeting or series meeting of shareholders holding a particular class or series of shares.

**10.10** **Failure to Give Notice and Waiver of Notice** 

The accidental omission to send notice of any meeting of shareholders to, or the non-receipt of any notice by, any of the persons entitled to notice does not invalidate any proceedings at that meeting. Any person entitled to notice of a meeting of shareholders may, in writing or otherwise, waive that entitlement or may agree to reduce the period of that notice. Attendance of a person at a meeting of shareholders is a waiver of entitlement to notice of the meeting, unless that person attends the meeting for the express purpose of objecting to the transaction of any business on the grounds that the meeting is not lawfully called.

**10.11** **Notice of Special Business at Meetings of Shareholders** 

If a meeting of shareholders is to consider special business within the meaning of Article 11.1, the notice of meeting must:

(1) state the general nature of the special business; and

(2) if the special business includes considering, approving, ratifying, adopting
or authorizing any document or the signing of or giving of effect to any document, have attached to it a copy of the document or
state that a copy of the document:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) will be available for inspection by shareholders at the Company's
records office, or at such other reasonably accessible location in British Columbia as is specified in the notice during statutory
business hours on any one or more specified days before the day set for the holding of the meeting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) may be available by request from the Company or may be accessible electronically
or on a website, as determined by the directors.

**10.12** **Advance Notice for Nomination of Directors.** 

(1) If and for so long as the Company is a public company, subject only to
the *Business Corporations Act* and these Articles, only persons who are nominated in accordance with the following procedures
shall be eligible for election as directors of the Company. Nominations of persons for election to the board of directors at any
annual meeting of shareholders, or at any special meeting of shareholders called for the purpose of electing directors as set forth
in the Company's notice of such special meeting, may be made (i) by or at the direction of the board of directors, including
pursuant to a notice of meeting, (ii) by or at the direction or request of one or more shareholders pursuant to a proposal made
in accordance with the provisions of the *Business Corporations Act*, or a requisition of the shareholders made in accordance
with the provisions of the *Business Corporations Act* or, (iii) by any shareholder of the Company (a "**Nominating Shareholder**") who, at the close of business on the date of the giving of the notice provided for below in this Article
10.12 and on the record date for notice of such meeting, is entered in the securities register as a holder of one or more shares
carrying the right to vote at such meeting or who beneficially owns shares that are entitled to be voted at such meeting, and who
complies with the notice procedures set forth in this Article 10.12.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In addition to any other applicable requirements, for a nomination to be
made by a Nominating Shareholder, such person must have given timely notice thereof in proper written form to the secretary at
the principal executive offices of the Company in accordance with this Article 10.12.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To be timely, a Nominating Shareholder's notice
must be received by the secretary of the Company (i) in the case of an annual meeting, not less than 30 days or more than 65 days
prior to the date of the annual meeting of shareholders; provided, however, that in the event that the annual meeting of shareholders
is to be held on a date that is less than 50 days after the date on which the first public announcement of the date of the annual
meeting was made (the "**Meeting Notice Date** "), the Nominating Shareholder's notice must be so received
not later than the close of business on the 10th day following the Meeting Notice Date; and (ii) in the case of a special meeting
of shareholders (which is not also an annual meeting) called for the purpose of electing directors (whether or not called for
other purposes), not later than the close of business on the 15th day following the day on which public announcement of the date
of the special meeting is first made. In no event shall the public announcement of an adjournment of an annual meeting or special
meeting commence a new time period for the giving of a Nominating Shareholder's notice as described in this Article 10.12.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To be in proper written form, a Nominating Shareholder's
notice must set forth: (i) as to each person whom the Nominating Shareholder proposes to nominate for election as a director (A)
the name, age, business address and residence address of the person, (B) the principal occupation or employment of the person,
(C) the class or series and number of shares of the Company that are owned beneficially or of record by the person and (D) any
other information relating to the person that would be required to be disclosed in a dissident's proxy circular in connection
with solicitations of proxies for election of directors pursuant to the *Business Corporations Act* and Applicable Securities
Laws; and (ii) as to the Nominating Shareholder giving the notice, any proxy, contract, arrangement, understanding or relationship
pursuant to which such Nominating Shareholder has a right to vote any shares of the Company and any other information relating
to such Nominating Shareholder that would be required to be made in a dissident's proxy circular in connection with solicitations
of proxies for election of directors pursuant to the **Business Corporations Act** and Applicable Securities Laws. The Company
may require any proposed nominee to furnish such other information as may reasonably be required by the Corporation to determine
the eligibility of such proposed nominee to serve as an independent director of the Company or that could be material to a reasonable
shareholder's understanding of the independence, or lack thereof, of such proposed nominee. The Nominating Shareholder's
notice must be accompanied by a written consent of each proposed nominee to being named as a nominee and to serve as a director
if elected.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No person shall be eligible for election as a director
of the Company unless nominated in accordance with the procedures set forth in this Article 10.12; provided, however, that nothing
in this Article 10.12 shall be deemed to preclude a shareholder from discussing (as distinct from nominating directors) at a meeting
of shareholders any matter in respect of which the shareholder would have been entitled to submit a proposal pursuant to the provisions
of the *Business Corporations Act*. The chair of the meeting shall have the power and duty to determine whether a nomination
was made in accordance with the procedures set forth in the foregoing provisions and, if any proposed nomination is not in compliance
with such foregoing provisions, to declare that such defective nomination shall be disregarded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) For purposes of this Article 10.12, (i) "**public announcement** "
shall mean disclosure in a press release disseminated by a nationally recognized news service in Canada, or in a document publicly
filed by the Company under its profile on the System of Electronic Document Analysis and Retrieval at <u>www.sedar.com</u>;
and (ii) "**Applicable Securities Laws**" means the applicable securities legislation in each relevant province
and territory of Canada, as amended from time to time, the rules, regulations and forms made or promulgated under any such statute
and the published national instruments, multilateral instruments, policies, bulletins and notices of the securities commission
and similar regulatory authority of each province and territory of Canada.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notice given to the secretary of the Company pursuant to this Article 10.12
may only be given by personal delivery, facsimile transmission or by email (at such email address as stipulated from time to time
by the secretary of the Company for purposes of this notice), and shall be deemed to have been given and made only at the time
it is served by personal delivery, email (at the address aforesaid) or sent by facsimile transmission (provided the receipt of
confirmation of such transmission has been received) to the secretary at the address of the principal executive offices of the
Company; provided that if such delivery or electronic communication is made on a day which is not a business day or later than
5:00 p.m. (Vancouver time) on a day which is a business day, then such delivery or electronic communication shall be deemed to
have been on the subsequent day that is a business day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Notwithstanding the foregoing, the board may, in its sole discretion, waive
any requirement in this Article 10.12.

11. Proceedings at Meetings of Shareholders

**11.1** **Special Business** 

At a meeting of shareholders, the following business is special business:

(1) at a meeting of shareholders that is not an annual general meeting, all business is special business
except business relating to the conduct of or voting at the meeting;

(2) at an annual general meeting, all business is special business except for the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) business relating to the conduct of or voting at the meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) consideration of any financial statements of the Company presented to the meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) consideration of any reports of the directors or auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the setting or changing of the number of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the election or appointment of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the appointment of an auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the setting of the remuneration of an auditor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) business arising out of a report of the directors not requiring the passing of a special resolution
or an exceptional resolution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any other business which, under these Articles or the *Business Corporations Act*, may be
transacted at a meeting of shareholders without prior notice of the business being given to the shareholders.

**11.2** **Special Majority** 

The majority of votes required for the Company to pass a special resolution at a meeting of shareholders is two-thirds of the votes cast on the resolution.

**11.3** **Quorum** 

Subject to the special rights and restrictions attached to the shares of any class or series of shares and to Article 11.4, the quorum for the transaction of business at a meeting of shareholders is one or more persons present and being, or representing by proxy, two or more shareholders who, in the aggregate, hold at least 5% of the issued shares entitled to attend and vote at the meeting.

**11.4** **One Shareholder May Constitute Quorum** 

If there is only one shareholder entitled to vote at a meeting of shareholders:

(1) the quorum is one person who is, or who represents by proxy, that shareholder, and

(2) that shareholder, present in person or by proxy, may constitute the meeting.

**11.5** **Other Persons May Attend** 

The directors, the president (if any), the corporate secretary (if any), the assistant corporate secretary (if any), any lawyer for the Company, the auditor of the Company and any other persons invited by the directors are entitled to attend any meeting of shareholders, but if any of those persons does attend a meeting of shareholders, that person is not to be counted in the quorum and is not entitled to vote at the meeting unless that person is a shareholder or proxy holder entitled to vote at the meeting.

**11.6** **Requirement of Quorum** 

No business, other than the election of a chair of the meeting and the adjournment of the meeting, may be transacted at any meeting of shareholders unless a quorum of shareholders entitled to vote is present at the commencement of the meeting, but such quorum need not be present throughout the meeting.

**11.7** **Lack of Quorum** 

If, within one-half hour from the time set for the holding of a meeting of shareholders, a quorum is not present:

(1) in the case of a general meeting requisitioned by shareholders, the meeting is dissolved, and

(2) in the case of any other meeting of shareholders, the meeting stands adjourned to the same day
in the next week at the same time and place.

**11.8** **Lack of Quorum at Succeeding Meeting** 

If, at the meeting to which the meeting referred to in Article 11.7(2) was adjourned, a quorum is not present within one-half hour from the time set for the holding of the meeting, the person or persons present and being, or representing by proxy, one or more shareholders entitled to attend and vote at the meeting constitute a quorum.

**11.9** **Chair** 

The following individual is entitled to preside as chair at a meeting of shareholders:

(1) the chair of the board, if any; or

(2) if the chair of the board is absent or unwilling to act as chair of the meeting, the president, if any.

**11.10** **Selection of Alternate Chair** 

If, at any meeting of shareholders, there is no chair of the board or president present within 15 minutes after the time set for holding the meeting, or if the chair of the board and the president are unwilling to act as chair of the meeting, or if the chair of the board and the president have advised the corporate secretary, if any, or any director present at the meeting, that they will not be present at the meeting, the directors present must choose one of their number to be chair of the meeting or if all of the directors present decline to take the chair or fail to so choose or if no director is present, the shareholders entitled to vote at the meeting who are present in person or by proxy may choose any person present at the meeting to chair the meeting.

**11.11** **Adjournments** 

The chair of a meeting of shareholders may, and if so directed by the meeting must, adjourn the meeting from time to time and from place to place, but no business may be transacted at any adjourned meeting other than the business left unfinished at the meeting from which the adjournment took place.

**11.12** **Notice of Adjourned Meeting** 

It is not necessary to give any notice of an adjourned meeting of shareholders or of the business to be transacted at an adjourned meeting of shareholders except that, when a meeting is adjourned for 30 days or more, notice of the adjourned meeting must be given as in the case of the original meeting.

**11.13** **Decisions by Show of Hands or Poll** 

Subject to the *Business Corporations Act*, every motion put to a vote at a meeting of shareholders will be decided on a show of hands unless a poll, before or on the declaration of the result of the vote by show of hands, is directed by the chair or demanded by any shareholder entitled to vote who is present in person or by proxy.

**11.14** **Declaration of Result** 

The chair of a meeting of shareholders must declare to the meeting the decision on every question in accordance with the result of the show of hands or the poll, as the case may be, and that decision must be entered in the minutes of the meeting. A declaration of the chair that a resolution is carried by the necessary majority or is defeated is, unless a poll is directed by the chair or demanded under Article 11.13, conclusive evidence without proof of the number or proportion of the votes recorded in favour of or against the resolution.

**11.15** **Motion Need Not be Seconded** 

No motion proposed at a meeting of shareholders need be seconded unless the chair of the meeting rules otherwise, and the chair of any meeting of shareholders is entitled to propose or second a motion.

**11.16** **Casting Vote** 

In case of an equality of votes, the chair of a meeting of shareholders does not, either on a show of hands or on a poll, have a second or casting vote in addition to the vote or votes to which the chair may be entitled as a shareholder.

**11.17** **Manner of Taking Poll** 

Subject to Article 11.18, if a poll is duly demanded at a meeting of shareholders:

(1) the poll must be taken:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) at the meeting, or within seven days after the date of the meeting, as the chair of the meeting
directs; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the manner, at the time and at the place that the chair of the meeting directs;

(2) the result of the poll is deemed to be the decision of the meeting at which the poll is demanded; and

(3) the demand for the poll may be withdrawn by the person who demanded it.

**11.18** **Demand for Poll on Adjournment** 

A poll demanded at a meeting of shareholders on a question of adjournment must be taken immediately at the meeting.

**11.19** **Chair Must Resolve Dispute** 

In the case of any dispute as to the admission or rejection of a vote given on a poll, the chair of the meeting must determine the dispute, and his or her determination made in good faith is final and conclusive.

**11.20** **Casting of Votes** 

On a poll, a shareholder entitled to more than one vote need not cast all the votes in the same way.

**11.21** **No Demand for Poll on Election of Chair** 

No poll may be demanded in respect of the vote by which a chair of a meeting of shareholders is elected.

**11.22** **Demand for Poll Not to Prevent Continuance of Meeting** 

The demand for a poll at a meeting of shareholders does not, unless the chair of the meeting so rules, prevent the continuation of a meeting for the transaction of any business other than the question on which a poll has been demanded.

**11.23** **Retention of Ballots and Proxies** 

The Company must, for at least three months after a meeting of shareholders, keep each ballot cast on a poll and each proxy voted at the meeting, and, during that period, make them available for inspection during normal business hours by any shareholder or proxyholder entitled to vote at the meeting. At the end of such three month period, the Company may destroy such ballots and proxies.

12. Votes of Shareholders

**12.1** **Number of Votes by Shareholder or by Shares** 

Subject to any special rights or restrictions attached to any shares and to the restrictions imposed on joint shareholders under Article 12.3:

(1) on a vote by show of hands, every person present who is a shareholder or
proxy holder and entitled to vote on the matter has one vote; and

(2) on a poll, every shareholder entitled to vote on the matter has one vote
in respect of each share entitled to be voted on the matter and held by that shareholder and may exercise that vote either in person
or by proxy.

**12.2** **Votes of Persons in Representative Capacity** 

A person who is not a shareholder may vote at a meeting of shareholders, whether on a show of hands or on a poll, and may appoint a proxy holder to act at the meeting, if, before doing so, the person satisfies the chair of the meeting, or the directors, that the person is a legal personal representative or a trustee in bankruptcy for a shareholder who is entitled to vote at the meeting.

**12.3** **Votes by Joint Holders** 

If there are joint shareholders registered in respect of any share:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) any one of the joint shareholders may vote at any meeting of shareholders,
personally or by proxy, in respect of the share as if that joint shareholder were solely entitled to it; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) if more than one of the joint shareholders is present at any meeting of
shareholders, personally or by proxy, and more than one of them votes in respect of that share, then only the vote of the joint
shareholder present whose name stands first on the central securities register in respect of the share will be counted.

**12.4** **Legal Personal Representatives as Joint Shareholders** 

Two or more legal personal representatives of a shareholder in whose sole name any share is registered are, for the purposes of Article 12.3, deemed to be joint shareholders registered in respect of that share.

**12.5** **Representative of a Corporate Shareholder** 

If a corporation, that is not a subsidiary of the Company, is a shareholder, that corporation may appoint a person to act as its representative at any meeting of shareholders of the Company, and:

(1) for that purpose, the instrument appointing a representative must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) be received at the registered office of the Company or at any other place
specified, in the notice calling the meeting, for the receipt of proxies, at least the number of business days specified in the
notice for the receipt of proxies, or if no number of days is specified, two business days before the day set for the holding of
the meeting; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) be provided, at the meeting, to the chair of the meeting or to a person
designated by the chair of the meeting;

(2) if a representative is appointed under this Article 12.5:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the representative is entitled to exercise in respect of and at that meeting
the same rights on behalf of the corporation that the representative represents as that corporation could exercise if it were a
shareholder who is an individual, including, without limitation, the right to appoint a proxy holder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the representative, if present at the meeting, is to be counted for the
purpose of forming a quorum and is deemed to be a shareholder present in person at the meeting.

Evidence of the appointment of any such representative may be sent to the Company by written instrument, fax or any other method of transmitting legibly recorded messages.

**12.6** **Proxy Provisions Do Not Apply to All Companies** 

Articles 12.7 to 12.15 do not apply to the Company if and for so long as it is a public company or a pre-existing reporting company which has the Statutory Reporting Company Provisions as part of its Articles or to which the Statutory Reporting Company Provisions apply.

**12.7** **Appointment of Proxy Holders** 

Every shareholder of the Company, including a corporation that is a shareholder but not a subsidiary of the Company, entitled to vote at a meeting of shareholders of the Company may, by proxy, appoint up to two proxy holders to attend and act at the meeting in the manner, to the extent and with the powers conferred by the proxy.

**12.8** **Alternate Proxy Holders** 

A shareholder may appoint one or more alternate proxy holders to act in the place of an absent proxy holder.

**12.9** **Proxy Holder Need Not Be Shareholder** 

A person who is not a shareholder may be appointed as a proxy holder.

**12.10** **Deposit of Proxy** 

A proxy for a meeting of shareholders must:

(1) be received at the registered office of the Company or at any other place
specified, in the notice calling the meeting, for the receipt of proxies, at least the number of business days specified in the
notice, or if no number of days is specified, two business days before the day set for the holding of the meeting; or

(2) unless the notice provides otherwise, be provided, at the meeting, to the
chair of the meeting or to a person designated by the chair of the meeting.

A proxy may be sent to the Company by written instrument, fax or any other method of transmitting legibly recorded messages.

**12.11** **Validity of Proxy Vote** 

A vote given in accordance with the terms of a proxy is valid notwithstanding the death or incapacity of the shareholder giving the proxy and despite the revocation of the proxy or the revocation of the authority under which the proxy is given, unless notice in writing of that death, incapacity or revocation is received:

(1) at the registered office of the Company, at any time up to and including
the last business day before the day set for the holding of the meeting at which the proxy is to be used; or

(2) by the chair of the meeting, before the vote is taken.

**12.12** **Form of Proxy** 

A proxy, whether for a specified meeting or otherwise, must be either in the following form or in any other form approved by the directors or the chair of the meeting:

*[Name of Company]*

(the "**Company**")

The undersigned, being a shareholder of the Company, hereby appoints *[name]* or, failing that person, *[name]*, as proxy holder for the undersigned to attend, act and vote for and on behalf of the undersigned at the meeting of shareholders of the Company to be held on *[month, day, year]* and at any adjournment of that meeting.

Number of shares in respect of which this proxy is given (if no number is specified, then this proxy if given in respect of all shares registered in the name of the shareholder): <u>_______________________</u>

---

| |
|:---|
| Signed *[month, day, year]* |
| *[Signature of shareholder]* |
| *[Name of shareholder – printed]* |

---

**12.13** **Revocation of Proxy** 

Subject to Article 12.14, every proxy may be revoked by an instrument in writing that is:

(1) received at the registered office of the Company at any time up to and including the last business
day before the day set for the holding of the meeting at which the proxy is to be used; or

(2) provided, at the meeting, to the chair of the meeting.

**12.14** **Revocation of Proxy Must Be Signed** 

An instrument referred to in Article 12.13 must be signed as follows:

(1) if the shareholder for whom the proxy holder is appointed is an individual, the instrument must
be signed by the shareholder or his or her legal personal representative or trustee in bankruptcy;

(2) if the shareholder for whom the proxy holder is appointed is a corporation, the instrument must
be signed by the corporation or by a representative appointed for the corporation under Article 12.5.

**12.15** **Production of Evidence of Authority to Vote** 

The chair of any meeting of shareholders may, but need not, inquire into the authority of any person to vote at the meeting and may, but need not, demand from that person production of evidence as to the existence of the authority to vote.

13. Directors

**13.1** **First Directors; Number of Directors** 

The first directors are the persons designated as directors of the Company in the Notice of Articles that applies to the Company when it is recognized under the *Business Corporations Act*. The number of directors, excluding additional directors appointed under Article 14.8, is set at:

(1) subject to paragraphs (2) and (3), the number of directors that is equal
to the number of the Company's first directors;

(2) if the Company is a public company, the greater of three and the most recently set of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the number of directors set by ordinary resolution (whether or not previous notice of the resolution
was given); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the number of directors set under Article 14.4;

(3) if the Company is not a public company, the most recently set of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the number of directors set by ordinary resolution (whether or not previous notice of the resolution
was given); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the number of directors set under Article 14.4.

**13.2** **Change in Number of Directors** 

If the number of directors is set under Articles 13.1(2)(a) or 13.1(3)(a):

(1) the shareholders may elect or appoint the directors needed to fill any vacancies
in the board of directors up to that number;

(2) if the shareholders do not elect or appoint the directors needed to fill
any vacancies in the board of directors up to that number contemporaneously with the setting of that number, then the directors
may appoint, or the shareholders may elect or appoint, directors to fill those vacancies.

**13.3** **Directors' Acts Valid Despite Vacancy** 

An act or proceeding of the directors is not invalid merely because fewer than the number of directors set or otherwise required under these Articles is in office.

**13.4** **Qualifications of Directors** 

A director is not required to hold a share in the capital of the Company as qualification for his or her office but must be qualified as required by the *Business Corporations Act* to become, act or continue to act as a director.

**13.5** **Remuneration of Directors** 

The directors are entitled to the remuneration for acting as directors, if any, as the directors may from time to time determine. If the directors so decide, the remuneration of the directors, if any, will be determined by the shareholders. That remuneration may be in addition to any salary or other remuneration paid to any officer or employee of the Company as such, who is also a director.

**13.6** **Reimbursement of Expenses of Directors** 

The Company must reimburse each director for the reasonable expenses that he or she may incur in and about the business of the Company.

**13.7** **Special Remuneration for Directors** 

If any director performs any professional or other services for the Company that in the opinion of the directors are outside the ordinary duties of a director, or if any director is otherwise specially occupied in or about the Company's business, he or she may be paid remuneration fixed by the directors, or, at the option of that director, fixed by ordinary resolution, and such remuneration may be either in addition to, or in substitution for, any other remuneration that he or she may be entitled to receive.

**13.8** **Gratuity, Pension or Allowance on Retirement of Director** 

Unless otherwise determined by ordinary resolution, the directors on behalf of the Company may pay a gratuity or pension or allowance on retirement to any director who has held any salaried office or place of profit with the Company or to his or her spouse or dependants and may make contributions to any fund and pay premiums for the purchase or provision of any such gratuity, pension or allowance.

14. Election and Removal of Directors

**14.1** **Election at Annual General Meeting** 

At every annual general meeting and in every unanimous resolution contemplated by Article 10.2:

(1) the shareholders entitled to vote at the annual general meeting for the
election of directors must elect, or in the unanimous resolution appoint, a board of directors consisting of the number of directors
for the time being set under these Articles; and

(2) all the directors cease to hold office immediately before the election
or appointment of directors under paragraph (1), but are eligible for re-election or re-appointment.

**14.2** **Consent to be a Director** 

No election, appointment or designation of an individual as a director is valid unless:

(1) that individual consents to be a director in the manner provided for in the *Business Corporations Act*;

(2) that individual is elected or appointed at a meeting at which the individual
is present and the individual does not refuse, at the meeting, to be a director; or

(3) with respect to first directors, the designation is otherwise valid under the *Business Corporations Act*.

**14.3** **Failure to Elect or Appoint Directors** 

If:

(1) the Company fails to hold an annual general meeting, and all the shareholders
who are entitled to vote at an annual general meeting fail to pass the unanimous resolution contemplated by Article 10.2, on or
before the date by which the annual general meeting is required to be held under the *Business Corporations Act*; or

(2) the shareholders fail, at the annual general meeting or in the unanimous
resolution contemplated by Article 10.2, to elect or appoint any directors;

then each director then in office continues to hold office until the earlier of:

(3) the date on which his or her successor is elected or appointed; and

(4) the date on which he or she otherwise ceases to hold office under the *Business Corporations Act* or these Articles.

**14.4** **Places of Retiring Directors Not Filled** 

If, at any meeting of shareholders at which there should be an election of directors, the places of any of the retiring directors are not filled by that election, those retiring directors who are not re-elected and who are asked by the newly elected directors to continue in office will, if willing to do so, continue in office to complete the number of directors for the time being set pursuant to these Articles until further new directors are elected at a meeting of shareholders convened for that purpose. If any such election or continuance of directors does not result in the election or continuance of the number of directors for the time being set pursuant to these Articles, the number of directors of the Company is deemed to be set at the number of directors actually elected or continued in office.

**14.5** **Directors May Fill Casual Vacancies** 

Any casual vacancy occurring in the board of directors may be filled by the directors.

**14.6** **Remaining Directors Power to Act** 

The directors may act notwithstanding any vacancy in the board of directors, but if the Company has fewer directors in office than the number set pursuant to these Articles as the quorum of directors, the directors may only act for the purpose of appointing directors up to that number or of calling a meeting of shareholders for the purpose of filling any vacancies on the board of directors or, subject to the *Business Corporations Act*, for any other purpose.

**14.7** **Shareholders May Fill Vacancies** 

If the Company has no directors or fewer directors in office than the number set pursuant to these Articles as the quorum of directors, the shareholders may elect or appoint directors to fill any vacancies on the board of directors.

**14.8** **Additional Directors** 

Notwithstanding Articles 13.1 and 13.2, between annual general meetings or unanimous resolutions contemplated by Article 10.2, the directors may appoint one or more additional directors, but the number of additional directors appointed under this Article 14.8 must not at any time exceed:

(1) one-third of the number of first directors, if, at the time of the appointments, one or more
of the first directors have not yet completed their first term of office; or

(2) in any other case, one-third of the number of the current directors who were elected or appointed
as directors other than under this Article 14.8.

Any director so appointed ceases to hold office immediately before the next election or appointment of directors under Article 14.1(1), but is eligible for re-election or re-appointment.

**14.9** **Ceasing to be a Director** 

A director ceases to be a director when:

(1) the term of office of the director expires;

(2) the director dies;

(3) the director resigns as a director by notice in writing provided to the Company or a lawyer for
the Company; or

(4) the director is removed from office pursuant to Articles 14.10 or 14.11.

**14.10** **Removal of Director by Shareholders** 

The Company may remove any director before the expiration of his or her term of office by special resolution. In that event, the shareholders may elect, or appoint by ordinary resolution, a director to fill the resulting vacancy. If the shareholders do not elect or appoint a director to fill the resulting vacancy contemporaneously with the removal, then the directors may appoint or the shareholders may elect, or appoint by ordinary resolution, a director to fill that vacancy.

**14.11** **Removal of Director by Directors** 

The directors may remove any director before the expiration of his or her term of office if the director is convicted of an indictable offence, or if the director ceases to be qualified to act as a director of a company and does not promptly resign, and the directors may appoint a director to fill the resulting vacancy.

15. Alternate Directors

**15.1** **Appointment of Alternate Director** 

Any director (an "**appointor**") may by notice in writing received by the Company appoint any person (an "**appointee**") who is qualified to act as a director to be his or her alternate to act in his or her place at meetings of the directors or committees of the directors at which the appointor is not present unless (in the case of an appointee who is not a director) the directors have reasonably disapproved the appointment of such person as an alternate director and have given notice to that effect to his or her appointor within a reasonable time after the notice of appointment is received by the Company.

**15.2** **Notice of Meetings** 

Every alternate director so appointed is entitled to notice of meetings of the directors and of committees of the directors of which his or her appointor is a member and to attend and vote as a director at any such meetings at which his or her appointor is not present.

**15.3** **Alternate for More Than One Director Attending Meetings** 

A person may be appointed as an alternate director by more than one director, and an alternate director:

(1) will be counted in determining the quorum for a meeting of directors once
for each of his or her appointors and, in the case of an appointee who is also a director, once more in that capacity;

(2) has a separate vote at a meeting of directors for each of his or her appointors
and, in the case of an appointee who is also a director, an additional vote in that capacity;

(3) will be counted in determining the quorum for a meeting of a committee of
directors once for each of his or her appointors who is a member of that committee and, in the case of an appointee who is also
a member of that committee as a director, once more in that capacity;

(4) has a separate vote at a meeting of a committee of directors for each of
his or her appointors who is a member of that committee and, in the case of an appointee who is also a member of that committee
as a director, an additional vote in that capacity.

**15.4** **Consent Resolutions** 

Every alternate director, if authorized by the notice appointing him or her, may sign in place of his or her appointor any resolutions to be consented to in writing.

**15.5** **Alternate Director Not an Agent** 

Every alternate director is deemed not to be the agent of his or her appointor.

**15.6** **Revocation of Appointment of Alternate Director** 

An appointor may at any time, by notice in writing received by the Company, revoke the appointment of an alternate director appointed by him or her.

**15.7** **Ceasing to be an Alternate Director** 

The appointment of an alternate director ceases when:

(1) his or her appointor ceases to be a director and is not promptly re-elected or re-appointed;

(2) the alternate director dies;

(3) the alternate director resigns as an alternate director by notice in writing provided to the
Company or a lawyer for the Company;

(4) the alternate director ceases to be qualified to act as a director; or

(5) his or her appointor revokes the appointment of the alternate director.

**15.8** **Remuneration and Expenses of Alternate Director** 

The Company may reimburse an alternate director for the reasonable expenses that would be properly reimbursed if he or she were a director, and the alternate director is entitled to receive from the Company such proportion, if any, of the remuneration otherwise payable to the appointor as the appointor may from time to time direct.

16. Powers and Duties of Directors

**16.1** **Powers of Management** 

The directors must, subject to the *Business Corporations Act* and these Articles, manage or supervise the management of the business and affairs of the Company and have the authority to exercise all such powers of the Company as are not, by the *Business Corporations Act* or by these Articles, required to be exercised by the shareholders of the Company.

**16.2** **Appointment of Attorney of Company** 

The directors may from time to time, by power of attorney or other instrument, under seal if so required by law, appoint any person to be the attorney of the Company for such purposes, and with such powers, authorities and discretions (not exceeding those vested in or exercisable by the directors under these Articles and excepting the power to fill vacancies in the board of directors, to remove a director, to change the membership of, or fill vacancies in, any committee of the directors, to appoint or remove officers appointed by the directors and to declare dividends) and for such period, and with such remuneration and subject to such conditions as the directors may think fit. Any such power of attorney may contain such provisions for the protection or convenience of persons dealing with such attorney as the directors think fit. Any such attorney may be authorized by the directors to sub-delegate all or any of the powers, authorities and discretions for the time being vested in him or her.

17. Disclosure of Interest of Directors

**17.1** **Obligation to Account for Profits** 

A director or senior officer who holds a disclosable interest (as that term is used in the *Business Corporations Act*) in a contract or transaction into which the Company has entered or proposes to enter is liable to account to the Company for any profit that accrues to the director or senior officer under or as a result of the contract or transaction only if and to the extent provided in the *Business Corporations Act*.

**17.2** **Restrictions on Voting by Reason of Interest** 

A director who holds a disclosable interest in a contract or transaction into which the Company has entered or proposes to enter is not entitled to vote on any directors' resolution to approve that contract or transaction, unless all the directors have a disclosable interest in that contract or transaction, in which case any or all of those directors may vote on such resolution.

**17.3** **Interested Director Counted in Quorum** 

A director who holds a disclosable interest in a contract or transaction into which the Company has entered or proposes to enter and who is present at the meeting of directors at which the contract or transaction is considered for approval may be counted in the quorum at the meeting whether or not the director votes on any or all of the resolutions considered at the meeting.

**17.4** **Disclosure of Conflict of Interest or Property** 

A director or senior officer who holds any office or possesses any property, right or interest that could result, directly or indirectly, in the creation of a duty or interest that materially conflicts with that individual's duty or interest as a director or senior officer, must disclose the nature and extent of the conflict as required by the *Business Corporations Act*.

**17.5** **Director Holding Other Office in the Company** 

A director may hold any office or place of profit with the Company, other than the office of auditor of the Company, in addition to his or her office of director for the period and on the terms (as to remuneration or otherwise) that the directors may determine.

**17.6** **No Disqualification** 

No director or intended director is disqualified by his or her office from contracting with the Company either with regard to the holding of any office or place of profit the director holds with the Company or as vendor, purchaser or otherwise, and no contract or transaction entered into by or on behalf of the Company in which a director is in any way interested is liable to be voided for that reason.

**17.7** **Professional Services by Director or Officer** 

Subject to the *Business Corporations Act*, a director or officer, or any person in which a director or officer has an interest, may act in a professional capacity for the Company, except as auditor of the Company, and the director or officer or such person is entitled to remuneration for professional services as if that director or officer were not a director or officer.

**17.8** **Director or Officer in Other Corporations** 

A director or officer may be or become a director, officer or employee of, or otherwise interested in, any person in which the Company may be interested as a shareholder or otherwise, and, subject to the *Business Corporations Act*, the director or officer is not accountable to the Company for any remuneration or other benefits received by him or her as director, officer or employee of, or from his or her interest in, such other person.

18. Proceedings of Directors

**18.1** **Meetings of Directors** 

The directors may meet together for the conduct of business, adjourn and otherwise regulate their meetings as they think fit, and meetings of the directors held at regular intervals may be held at the place, at the time and on the notice, if any, as the directors may from time to time determine.

**18.2** **Voting at Meetings** 

Questions arising at any meeting of directors are to be decided by a majority of votes and, in the case of an equality of votes, the chair of the meeting does not have a second or casting vote.

**18.3** **Chair of Meetings** 

The following individual is entitled to preside as chair at a meeting of directors:

(1) the chair of the board, if any;

(2) in the absence of the chair of the board, the president, if any, if the president is a director; or

(3) any other director chosen by the directors if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) neither the chair of the board nor the president, if a director, is present at the meeting within
15 minutes after the time set for holding the meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) neither the chair of the board nor the president, if a director, is willing to chair the meeting; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the chair of the board and the president, if a director, have advised the corporate secretary,
if any, or any other director, that they will not be present at the meeting.

**18.4** **Meetings by Telephone or Other Communications Medium** 

A director may participate in a meeting of the directors or of any committee of the directors in person or by telephone if all directors participating in the meeting, whether in person or by telephone or other communications medium, are able to communicate with each other. A director may participate in a meeting of the directors or of any committee of the directors by a communications medium other than telephone if all directors participating in the meeting, whether in person or by telephone or other communications medium, are able to communicate with each other and if all directors who wish to participate in the meeting agree to such participation. A director who participates in a meeting in a manner contemplated by this Article 18.4 is deemed for all purposes of the *Business Corporations Act* and these Articles to be present at the meeting and to have agreed to participate in that manner.

**18.5** **Calling of Meetings** 

A director may, and the corporate secretary or an assistant corporate secretary of the Company, if any, on the request of a director must, call a meeting of the directors at any time.

**18.6** **Notice of Meetings** 

Other than for meetings held at regular intervals as determined by the directors pursuant to Article 18.1, reasonable notice of each meeting of the directors, specifying the place, day and time of that meeting must be given to each of the directors and the alternate directors by any method set out in Article 24.1 or orally or by telephone.

**18.7** **When Notice Not Required** 

It is not necessary to give notice of a meeting of the directors to a director or an alternate director if:

(1) the meeting is to be held immediately following a meeting of shareholders at which that director
was elected or appointed, or is the meeting of the directors at which that director is appointed; or

(2) the director or alternate director, as the case may be, has waived notice of the meeting.

**18.8** **Meeting Valid Despite Failure to Give Notice** 

The accidental omission to give notice of any meeting of directors to, or the non-receipt of any notice by, any director or alternate director, does not invalidate any proceedings at that meeting.

**18.9** **Waiver of Notice of Meetings** 

Any director or alternate director may send to the Company a document signed by him or her waiving notice of any past, present or future meeting or meetings of the directors and may at any time withdraw that waiver with respect to meetings held after that withdrawal. After sending a waiver with respect to all future meetings and until that waiver is withdrawn, no notice of any meeting of the directors need be given to that director and, unless the director otherwise requires by notice in writing to the Company, to his or her alternate director, and all meetings of the directors so held are deemed not to be improperly called or constituted by reason of notice not having been given to such director or alternate director.

Attendance of a director or alternate director at a meeting of the directors is a waiver of notice of the meeting, unless that director or alternate director attends the meeting for the express purpose of objecting to the transaction of any business on the grounds that the meeting is not lawfully called.

**18.10** **Quorum** 

The quorum necessary for the transaction of the business of the directors may be set by the directors and, if not so set, is deemed to be set at a majority of directors then in office or, if the number of directors is set at one, is deemed to be set at one director, and that director may constitute a meeting.

**18.11** **Validity of Acts Where Appointment Defective** 

Subject to the *Business Corporations Act*, an act of a director or officer is not invalid merely because of an irregularity in the election or appointment or a defect in the qualification of that director or officer.

**18.12** **Consent Resolutions in Writing** 

A resolution of the directors or of any committee of the directors consented to in writing by all of the directors entitled to vote on it, whether by signed document, fax, email or any other method of transmitting legibly recorded messages, is as valid and effective as if it had been passed at a meeting of the directors or of the committee of the directors duly called and held. Such resolution may be in two or more counterparts which together are deemed to constitute one resolution in writing. A resolution passed in that manner is effective on the date stated in the resolution or on the latest date stated on any counterpart. A resolution of the directors or of any committee of the directors passed in accordance with this Article 18.12 is deemed to be a proceeding at a meeting of directors or of the committee of the directors and to be as valid and effective as if it had been passed at a meeting of the directors or of the committee of the directors that satisfies all the requirements of the *Business Corporations Act* and all the requirements of these Articles relating to meetings of the directors or of a committee of the directors.

19. Executive and Other Committees

**19.1** **Appointment and Powers of Executive Committee** 

The directors may, by resolution, appoint an executive committee consisting of the director or directors that they consider appropriate, and this committee has, during the intervals between meetings of the board of directors, all of the directors' powers, except:

(1) the power to fill vacancies in the board of directors;

(2) the power to remove a director;

(3) the power to change the membership of, or fill vacancies in, any committee of the directors; and

(4) such other powers, if any, as may be set out in the resolution or any subsequent directors' resolution.

**19.2** **Appointment and Powers of Other Committees** 

The directors may, by resolution:

(1) appoint one or more committees (other than the executive committee) consisting
of the director or directors that they consider appropriate;

(2) delegate to a committee appointed under paragraph (1) any of the directors' powers, except:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the power to fill vacancies in the board of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the power to remove a director;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the power to change the membership of, or fill vacancies in, any committee of the directors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the power to appoint or remove officers appointed by the directors; and

(3) make any delegation referred to in paragraph (2) subject to the conditions
set out in the resolution or any subsequent directors' resolution.

**19.3** **Obligations of Committees** 

Any committee appointed under Articles 19.1 or 19.2, in the exercise of the powers delegated to it, must:

(1) conform to any rules that may from time to time be imposed on it by the directors; and

(2) report every act or thing done in exercise of those powers at such times as the directors may require.

**19.4** **Powers of Board** 

The directors may, at any time, with respect to a committee appointed under Articles 19.1 or 19.2:

(1) revoke or alter the authority given to the committee, or override a decision
made by the committee, except as to acts done before such revocation, alteration or overriding;

(2) terminate the appointment of, or change the membership of, the committee; and

(3) fill vacancies in the committee.

**19.5** **Committee Meetings** 

Subject to Article 19.3(1) and unless the directors otherwise provide in the resolution appointing the committee or in any subsequent resolution, with respect to a committee appointed under Articles 19.1 or 19.2:

(1) the committee may meet and adjourn as it thinks proper;

(2) the committee may elect a chair of its meetings but, if no chair of a meeting
is elected, or if at a meeting the chair of the meeting is not present within 15 minutes after the time set for holding the meeting,
the directors present who are members of the committee may choose one of their number to chair the meeting;

(3) a majority of the members of the committee constitutes a quorum of the committee; and

(4) questions arising at any meeting of the committee are determined by a majority
of votes of the members present, and in case of an equality of votes, the chair of the meeting does not have a second or casting
vote.

20. Officers

**20.1** **Directors May Appoint Officers** 

The directors may, from time to time, appoint such officers, if any, as the directors determine and the directors may, at any time, terminate any such appointment.

**20.2** **Functions, Duties and Powers of Officers** 

The directors may, for each officer:

(1) determine the functions and duties of the officer;

(2) entrust to and confer on the officer any of the powers exercisable by the
directors on such terms and conditions and with such restrictions as the directors think fit; and

(3) revoke, withdraw, alter or vary all or any of the functions, duties and powers of the officer.

**20.3** **Qualifications** 

No officer may be appointed unless that officer is qualified in accordance with the *Business Corporations Act*. One person may hold more than one position as an officer of the Company. Any person appointed as the chair of the board or as the managing director must be a director. Any other officer need not be a director.

**20.4** **Remuneration and Terms of Appointment** 

All appointments of officers are to be made on the terms and conditions and at the remuneration (whether by way of salary, fee, commission, participation in profits or otherwise) that the directors think fit and are subject to termination at the pleasure of the directors, and an officer may in addition to such remuneration be entitled to receive, after he or she ceases to hold such office or leaves the employment of the Company, a pension or gratuity.

21. Indemnification

**21.1** **Definitions** 

In this Article 21:

(1) "**eligible penalty**" means a judgment, penalty or fine
awarded or imposed in, or an amount paid in settlement of, an eligible proceeding;

(2) "**eligible proceeding**" means a legal proceeding or investigative
action, whether current, threatened, pending or completed, in which a director, former director or alternate director of the Company
(an "**eligible party**") or any of the heirs and legal personal representatives of the eligible party, by reason
of the eligible party being or having been a director or alternate director of the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is or may be joined as a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) is or may be liable for or in respect of a judgment, penalty or fine in, or expenses related
to, the proceeding;

(3) "**expenses**" has the meaning set out in the *Business Corporations Act*.

**21.2** **Mandatory Indemnification of Directors and Former Directors** 

Subject to the *Business Corporations Act*, the Company must indemnify a director, former director or alternate director of the Company and his or her heirs and legal personal representatives against all eligible penalties to which such person is or may be liable, and the Company must, after the final disposition of an eligible proceeding, pay the expenses actually and reasonably incurred by such person in respect of that proceeding. Each director and alternate director is deemed to have contracted with the Company on the terms of the indemnity contained in this Article 21.2.

**21.3** **Indemnification of Other Persons** 

Subject to any restrictions in the *Business Corporations Act*, the Company may indemnify any person.

**21.4** **Non-Compliance with *Business Corporations Act*** 

The failure of a director, alternate director or officer of the Company to comply with the *Business Corporations Act* or these Articles or, if applicable, any former Companies Act or former Articles, does not invalidate any indemnity to which he or she is entitled under this Part.

**21.5** **Company May Purchase Insurance** 

The Company may purchase and maintain insurance for the benefit of any person (or his or her heirs or legal personal representatives) who:

(1) is or was a director, alternate director, officer, employee or agent of the Company;

(2) is or was a director, alternate director, officer, employee or agent of a corporation at a time
when the corporation is or was an affiliate of the Company;

(3) at the request of the Company, is or was a director, alternate director, officer, employee or
agent of a corporation or of a partnership, trust, joint venture or other unincorporated entity;

(4) at the request of the Company, holds or held a position equivalent to that of a director, alternate
director or officer of a partnership, trust, joint venture or other unincorporated entity;

against any liability incurred by him or her as such director, alternate director, officer, employee or agent or person who holds or held such equivalent position.

22. Dividends

**22.1** **Payment of Dividends Subject to Special Rights** 

The provisions of this Article 22 are subject to the rights, if any, of shareholders holding shares with special rights as to dividends.

**22.2** **Declaration of Dividends** 

Subject to the *Business Corporations Act*, the directors may from time to time declare and authorize payment of such dividends as they may deem advisable.

**22.3** **No Notice Required** 

The directors need not give notice to any shareholder of any declaration under Article 22.2.

**22.4** **Record Date** 

The directors may set a date as the record date for the purpose of determining shareholders entitled to receive payment of a dividend. The record date must not precede the date on which the dividend is to be paid by more than two months. If no record date is set, the record date is 5 p.m. on the date on which the directors pass the resolution declaring the dividend.

**22.5** **Manner of Paying Dividend** 

A resolution declaring a dividend may direct payment of the dividend wholly or partly in money or by the distribution of specific assets or of fully paid shares or of bonds, debentures or other securities of the Company or any other corporation, or in any one or more of those ways.

**22.6** **Settlement of Difficulties** 

If any difficulty arises in regard to a distribution under Article 22.5, the directors may settle the difficulty as they deem advisable, and, in particular, may:

(1) set the value for distribution of specific assets;

(2) determine that cash payments in substitution for all or any part of the
specific assets to which any shareholders are entitled may be made to any shareholders on the basis of the value so fixed in order
to adjust the rights of all parties; and

(3) vest any such specific assets in trustees for the persons entitled to the dividend.

**22.7** **When Dividend Payable** 

Any dividend may be made payable on such date as is fixed by the directors.

**22.8** **Dividends to be Paid in Accordance with Number of Shares** 

All dividends on shares of any class or series of shares must be declared and paid according to the number of such shares held.

**22.9** **Receipt by Joint Shareholders** 

If several persons are joint shareholders of any share, any one of them may give an effective receipt for any dividend, bonus or other money payable in respect of the share.

**22.10** **Dividend Bears No Interest** 

No dividend bears interest against the Company.

**22.11** **Fractional Dividends** 

If a dividend to which a shareholder is entitled includes a fraction of the smallest monetary unit of the currency of the dividend, that fraction may be disregarded in making payment of the dividend and that payment represents full payment of the dividend.

**22.12** **Payment of Dividends** 

Any dividend or other distribution payable in cash in respect of shares may be paid by cheque, made payable to the order of the person to whom it is sent, and mailed to the registered address of the shareholder, or in the case of joint shareholders, to the registered address of the joint shareholder who is first named on the central securities register, or to the person and to the address the shareholder or joint shareholders may direct in writing. The mailing of such cheque will, to the extent of the sum represented by the cheque (plus the amount of the tax required by law to be deducted), discharge all liability for the dividend unless such cheque is not paid on presentation or the amount of tax so deducted is not paid to the appropriate taxing authority.

**22.13** **Capitalization of Retained Earnings or Surplus** 

Notwithstanding anything contained in these Articles, the directors may from time to time capitalize any retained earnings or surplus of the Company and may from time to time issue, as fully paid, shares or any bonds, debentures or other securities of the Company as a dividend representing the retained earnings or surplus so capitalized or any part thereof.

23. Accounting Records and Auditor

**23.1** **Recording of Financial Affairs** 

The directors must cause adequate accounting records to be kept to record properly the financial affairs and condition of the Company and to comply with the *Business Corporations Act*.

**23.2** **Inspection of Accounting Records** 

Unless the directors determine otherwise, or unless otherwise determined by ordinary resolution, no shareholder of the Company is entitled to inspect or obtain a copy of any accounting records of the Company.

**23.3** **Remuneration of Auditor** 

The directors may set the remuneration of the auditor of the Company.

24. Notices

**24.1** **Method of Giving Notice** 

Unless the *Business Corporations Act* or these Articles provides otherwise, a notice, statement, report or other record required or permitted by the *Business Corporations Act* or these Articles to be sent by or to a person may be sent by any one of the following methods:

(1) mail addressed to the person at the applicable address for that person as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) for a record mailed to a shareholder, the shareholder's registered address;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) for a record mailed to a director or officer, the prescribed address for
mailing shown for the director or officer in the records kept by the Company or the mailing address provided by the recipient for
the sending of that record or records of that class;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in any other case, the mailing address of the intended recipient;

(2) delivery at the applicable address for that person as follows, addressed to the person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) for a record delivered to a shareholder, the shareholder's registered address;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) for a record delivered to a director or officer, the prescribed address
for delivery shown for the director or officer in the records kept by the Company or the delivery address provided by the recipient
for the sending of that record or records of that class;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in any other case, the delivery address of the intended recipient;

(3) sending the record by fax to the fax number provided by the intended recipient for the sending
of that record or records of that class;

(4) sending the record by e-mail to the e-mail address provided by the intended recipient for the
sending of that record or records of that class;

(5) physical delivery to the intended recipient.

**24.2** **Deemed Receipt** 

A notice, statement, report or other record that is:

(1) mailed to a person by ordinary mail to the applicable
address for that person referred to in Article 24.1 is deemed to be received by the person to whom it was mailed on the day, Saturdays,
Sundays and holidays excepted, following the date of mailing;

(2) faxed to a person to the fax number provided by that person
referred to in Article 24.1 is deemed to be received by the person to whom it was faxed on the day it was faxed; and

(3) e-mailed to a person to the e-mail address provided by
that person referred to in Article 24.1 is deemed to be received by the person to whom it was e-mailed on the day it was e-mailed.

**24.3** **Certificate of Sending** 

A certificate signed by the corporate secretary, if any, or other officer of the Company or of any other corporation acting in that behalf for the Company stating that a notice, statement, report or other record was sent in accordance with Article 24.1 is conclusive evidence of that fact.

**24.4** **Notice to Joint Shareholders** 

A notice, statement, report or other record may be provided by the Company to the joint shareholders of a share by providing the notice to the joint shareholder first named in the central securities register in respect of the share.

**24.5** **Notice to Trustees** 

A notice, statement, report or other record may be provided by the Company to the persons entitled to a share in consequence of the death, bankruptcy or incapacity of a shareholder by:

(1) mailing the record, addressed to them:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) by name, by the title of the legal personal representative of the deceased or incapacitated
shareholder, by the title of trustee of the bankrupt shareholder or by any similar description; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) at the address, if any, supplied to the Company for that purpose by the persons claiming to
be so entitled; or

(2) if an address referred to in paragraph (1)(b) has not
been supplied to the Company, by giving the notice in a manner in which it might have been given if the death, bankruptcy or incapacity
had not occurred.

**24.6** **Undelivered Notices** 

If, on two consecutive occasions, a notice, statement, report or other record is sent to a shareholder pursuant to Article 24.1 and on each of those occasions any such record is returned because the shareholder cannot be located, the Company shall not be required to send any further records to the shareholder until the shareholder informs the Company in writing of his or her new address.

25. General Signing
Authority and Seal

**25.1** **General Signing Authority** 

Any:

(1) one or more directors; or

(2) one or more officers, as may be determined by the directors; or

(3) one or more persons, as may be determined by the directors;

are authorized for and on behalf of and in the name of the Company, to execute and deliver all such deeds, documents, instruments, agreements and writings and to perform all such other acts and things as such person or persons, in their sole discretion, may consider necessary or desirable for the purpose of giving effect to the obligations of the Company.

**25.2** **Who May Attest Seal** 

Except as provided in Articles 25.3 and 25.4, the Company's seal, if any, must not be impressed on any record except when that impression is attested by the signatures of any one or more directors or officers or persons as may be determined by the directors.

**25.3** **Sealing Copies** 

For the purpose of certifying under seal a certificate of incumbency of the directors or officers of the Company or a true copy of any resolution or other document, despite Article 25.2, the impression of the seal may be attested by the signature of any director or officer or the signature of any other person as may be determined by the directors.

**25.4** **Mechanical Reproduction of Seal** 

The directors may authorize the seal to be impressed by third parties on share certificates or bonds, debentures or other securities of the Company as they may determine appropriate from time to time. To enable the seal to be impressed on any share certificates or bonds, debentures or other securities of the Company, whether in definitive or interim form, on which facsimiles of any of the signatures of the directors or officers of the Company are, in accordance with the *Business Corporations Act* or these Articles, printed or otherwise mechanically reproduced, there may be delivered to the person employed to engrave, lithograph or print such definitive or interim share certificates or bonds, debentures or other securities one or more unmounted dies reproducing the seal and the chair of the board or any senior officer together with the corporate secretary, treasurer, corporate secretary-treasurer, an assistant corporate secretary, an assistant treasurer or an assistant corporate secretary-treasurer may in writing authorize such person to cause the seal to be impressed on such definitive or interim share certificates or bonds, debentures or other securities by the use of such dies. Share certificates or bonds, debentures or other securities to which the seal has been so impressed are for all purposes deemed to be under and to bear the seal impressed on them.

26. Prohibitions

26.1 Definitions

In this Article 26:

(1) "**designated security**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a voting security of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a security of the Company that is not a debt security and that carries a
residual right to participate in the earnings of the Company or, on the liquidation or winding up of the Company, in its assets;
or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a security of the Company convertible, directly or indirectly,
into a security described in paragraph (a) or (b);

(2) "**security**" has the meaning assigned in the *Securities Act* (British Columbia);

(3) "**voting security**" means a security of the Company that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is not a debt security, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) carries a voting right either under all circumstances or under some circumstances
that have occurred and are continuing.

**26.2** **Application** 

Article 26.3 does not apply to the Company if and for so long as it is a public company, a private company which is no longer eligible to use the private issuer exemption under the *Securities Act (*British Columbia), or a pre-existing reporting company which has the Statutory Reporting Company Provisions as part of its Articles or to which the Statutory Reporting Company Provisions apply.

**26.3** **Consent Required for Transfer of Shares or Designated Securities** 

No share or designated security may be sold, transferred or otherwise disposed of without the consent of the directors and the directors are not required to give any reason for refusing to consent to any such sale, transfer or other disposition.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Full name and signature of Incorporator** | &nbsp;&nbsp;**Full name and signature of Incorporator** | **Date Signed** |
|  | *"Carlo Rigillo"* |  |
| &nbsp;&nbsp;Signature of Incorporator: |  | &nbsp;&nbsp;&nbsp;October 20, 2025 |
|  | WBM Capital Corp. |  |
|  | By: Authorized Signatory |  |
| &nbsp;&nbsp;Full name of Incorporator: | WBM Capital Corp. |  |

---

## Exhibit 99.69

**Exhibit 99.69**

**Bitzero Holdings Inc. Breaks Ground on Phase I Development at Giga-scale Finland Site**

**VANCOUVER, BC – December 2, 2025—**<u>Bitzero Holdings Inc.</u> (CSE: BITZ.U), ("**Bitzero**" or the "**Company**"), the Company focused on sustainable Blockchain and High-Performance Computing data centers, today announced it has begun Phase I development at its nearly 100-hectare data center site in Kokemäki, Finland. 15-hectares of the site have been acquired with the remaining under option for future expansion.

Once online, the Phase I infrastructure will provide Bitzero with access to the initial power load required to carry out operations. With a total planned capacity of 1GW, the Kokemäki site is on track to be one of the largest standalone giga-scale facilities in Europe, powered entirely by a diversified mix of hydro-electric, nuclear, solar and wind energy.

"This site provides the space and power capacity we need to achieve our aggressive growth plans and deliver green compute power at scale, including the ability to host large, hyperscale AI, cloud and Bitcoin workloads," said Bitzero's President and CEO Mohammed Bakhashwain.

The Finland site, first acquired in January 2025, is poised to be Bitzero's single largest data center campus. It leverages the cold-weather climate to enhance efficiency through lower operating temperatures, reduced cooling demand and lower energy consumption.

"Unlike most competitors, Bitzero's asset-first model is a rare competitive advantage that drives efficiency and scalability, backed by real assets and resources," said high-profile Bitzero investor and world-renowned venture capitalist Kevin O'Leary. "Because they own the infrastructure and aren't dependent on leases or oversaturated power grids, Bitzero is more agile, profitable and better positioned for long-term value."

In addition to the Kokemäki site, Bitzero has secured three other data center locations in the Scandinavian and North American regions. To learn more about the company's sustainable cryptocurrency and HPC operations, visit <u>www.bitzero.com</u>.

**About Bitzero Holdings Inc.** 

*# # # # #*

**Bitzero Investor Contact**

Mohammed Bakhashwain

+44 777 303 0394

investors@bitzero.com

**Bitzero Press Contact** 

Shannon Tucker

<u>bitzero@nextpr.com</u>

**Forward-Looking Information Disclaimer**

*This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding the Company's development plans, expected capacity and timing for the Kokemäki site, anticipated sources of energy, future expansion, growth strategies, and the potential extension or renewal of service agreements. Forward-looking information is based on management's current expectations and assumptions, which are subject to risks and uncertainties that may cause actual results to differ materially from those expressed or implied herein. These risks and uncertainties include, but are not limited to, regulatory approvals, availability of financing, construction and operational risks, market conditions, and other factors beyond the Company's control. Readers are cautioned not to place undue reliance on forward-looking information. The Company undertakes no obligation to update or revise any forward-looking information, except as required by law.*

## Exhibit 99.70

**Exhibit 99.70**

![](img027_v2.jpg)

**Bitzero Holdings Inc. Accelerates 70MW Power Expansion Plans at Norway Site and Announces FSE Listing**

Phase I of Expansion Project is Anticipated to Nearly Triple Capacity from 40MW to 110MW

**VANCOUVER, British Columbia (December 9<sup>th</sup>, 2025)** – <u>Bitzero Holdings Inc.,</u> (CSE: BITZ (FSE: 000) ("**Bitzero**" or the "**Company**") the company redefining sustainable Blockchain and High-Performance Compute (HPC) data centers, announces that the next phase of its previously disclosed expansion program is underway at the Company's flagship data center site in Namsskogan, Norway. This expansion phase contemplates an additional 70 MW of installed capacity, which, if completed as planned, is expected to increase total site capacity to approximately 110 MW by September 2026, supplied entirely by hydro-electric energy and nearly tripling the site's power consumption.

**Power Expansion**

As part of the project, Bitzero plans to expand and operate an internal grid at the 132 kV level to enhance operational autonomy. The increased capacity is also expected to grow the site's exahash to approximately 7.0 EH/s, a significant step towards bringing Bitzero in line with some of the largest public miners in the industry. Simultaneously, it will significantly cut Bitzero's mining cost per Bitcoin, further reducing its already low breakeven point and boosting revenue by 3-4X, based on management's internal projections, however, actual outcomes will depend on a range of factors, including network difficulty, equipment performance, power availability and cost. The Company has ordered two high-voltage 60MVA substations, commenced site preparation, and initiated procurement of certain long-lead equipment in order to align with targeted delivery schedules and construction timelines.

"With the two high-voltage 60MVA substations ordered and delivery expected in the spring, crews have begun prepping the site, and we've already procured the other long-lead time equipment required to accelerate the timeline," said Bitzero's President and CEO Mohammed Bakhashwain. "Coming quickly on the heels of our Canadian Securities Exchange listing, this milestone is proof that we're on track to meet or beat our growth targets, enhancing our market position and driving shareholder value."

The Namsskogan site currently operates 40MW of capacity across 39 containers under favorable energy contracts, with an electricity cost of under US$0.04 per kWh. Bitzero's cost-effective, high-efficiency operation is a result of its unique approach to developing and leveraging renewable energy.

"I've said from the beginning that focusing on infrastructure investment is the smart move when it comes to high performance computing -- that an asset first strategy is the best way to capture maximum value, secure growth and minimize volatility," said high-profile Bitzero investor and world-renowned venture capitalist Kevin O'Leary. "Bitzero's 100% renewable energy supply not only makes it more sustainable, economical and community-friendly, but also a superior investment, in my opinion."

To learn more about the Namsskogan or other Bitzero sites, visit <u>www.bitzero.com</u>.

**German Listing**

The Company is also pleased to announce that the Company's voting shares have been accepted for listing on the Frankfurt Stock Exchange (the "**FSE**") and commenced trading on December 8, 2025, under the symbol "000". The Company's voting shares are now cross-listed for trading on the Canadian Securities Exchange ("**CSE**") and the FSE.

The FSE is one of the world's largest and most liquid trading venues, providing access to a wide base of institutional and retail investors across Europe. The listing marks an important step in expanding the Company's market visibility and strengthening its international presence. By listing on the FSE, the Company expects to increase trading liquidity and broaden engagement with global investors.

**About Bitzero Holdings Inc.** 

**Bitzero Contact**

Mohammed Bakhashwain

+44 777 303 0394

investors@bitzero.com

***Bitzero Press Contact***

*Shannon Tucker*

*<u>bitzero@nextpr.com</u>*

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

**Forward-Looking Information**

This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws. Forward-looking information in this release includes, without limitation, statements regarding: the timing, scope and completion of the 70 MW expansion phase; expected installed capacity at the Namsskogan site (approximately 110 MW by September 2026); planned operation of an internal 132 kV grid and the delivery/installation of two 60 MVA substations and other equipment; expected hash rate capacity (approximately 7.0 EH/s) following completion; anticipated efficiency and operating cost impacts; and continued access to hydro-electric power and power pricing. Forward-looking information is not historical fact and is based on management's current expectations and assumptions.

Material assumptions underlying the forward-looking information include, among other things: timely equipment deliveries and construction progress; successful permitting, interconnections and commissioning; stable electricity supply and pricing; availability and performance of mining hardware consistent with specifications; workforce and contractor availability; Bitcoin network difficulty and transaction fees within ranges contemplated by the Company; and Bitcoin prices in ranges used for internal planning.

Material risk factors that could cause actual results to differ materially from the forward-looking information include, among others: construction delays; equipment delivery or performance issues; changes in power availability or cost; curtailment events; permitting or regulatory outcomes; changes in law or policy affecting data centers or digital asset mining; increases in network difficulty and/or decreases in Bitcoin price; cybersecurity events; site-specific operating risks; and the factors described under "Risk Factors" in the Company's continuous disclosure filings available at <u>www.sedarplus.ca</u>. Readers are cautioned not to place undue reliance on forward-looking information.

Forward-looking information is provided for the purpose of assisting readers in understanding management's current plans, objectives and expectations regarding the Project and may not be appropriate for other purposes. The Company does not undertake any obligation to update or revise the forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

*# # # # #*

## Exhibit 99.71

**Exhibit 99.71**

**Bitzero Holdings Inc. Announces Power Optimization**

*Newly Secured Power Purchase Agreement for 10MW at a cost of ~US$0.02 per kWh*

**VANCOUVER, British Columbia (December 12th, 2025)** – Bitzero Holdings Inc., (CSE: BITZ) (FSE: 000) ("**Bitzero**" or the "**Company**") the company redefining sustainable Blockchain and High-Performance Compute (HPC) data centers, is pleased to announce the securement of a new power purchase agreement ("**PPA**") for 10 MW at a cost of approximately US$0.02 per kWh at the Company's flagship data center site in Namsskogan, Norway. This PPA strengthens the Company's path toward best-in-class operational efficiency by substantially reducing the average cost of power across its 40 MW facility. Bitzero is also pleased to announce the engagement of investor relations service providers as summarized below.

**Power Optimization**

The newly secured 10 MW PPA represents a significant step forward in Bitzero's long-term operational strategy for its Namsskogan, Norway data center. By locking in power at approximately US$0.02 per kWh, the Company meaningfully reduces its blended electricity cost across the full 40 MW facility, boosting both economic resilience and scalability. The new blended cost of US$0.03–0.035 per kWh is a notable improvement from the previously announced ~US$0.04 per kWh, highlighting Bitzero's commitment to industry-leading efficiency and cost leadership. This announcement reflects the Company's strategic approach of keeping a portion of capacity exposed to spot pricing while selectively securing long-term agreements at the most cost-effective opportunities.

"Energy efficiency is the single most important driver of competitiveness in our industry," said Mohammed Bakhashwain, President and Chief Executive Officer of Bitzero. "Securing long-term, stable, low-cost power positions us to protect margins, scale responsibly, and maintain one of the most cost-effective digital infrastructure footprints. With Bitcoin trading at lower levels, our ability to operate efficiently and at a lower breakeven gives us a clear advantage over other operators who face higher power costs and tighter margins."

The new PPA enhances the Company's already strong access to Norway's clean, stable, and low-carbon energy grid, reinforcing its commitment to environmentally responsible and economically optimized operations.

Bitzero's success in securing cost-efficient power is also a testament to the strong collaboration with local authorities, energy providers, and the community. The region has been instrumental in supporting the Company's sustainable operations by providing reliable renewable energy and a business-friendly environment that enables long-term planning and growth. Bitzero values this partnership and remains committed to contributing positively to the local economy, creating jobs, and supporting initiatives that benefit both the community and the broader region.

To learn more about Bitzero, visit www.bitzero.com

**Investor Relations**

Pursuant to the respective contract terms detailed below, the Company has entered into agreements with the following firms for investor relations and market engagement services. Each of the named firms is an arm's-length party to the Company, holds no securities of the Company and has no right or intent to acquire any as part of these agreements. All compensation for their services is being paid in cash, with no securities issuance.

● Think Ink Marketing Data and Email Services Inc. ()"**Think Ink** "), with a business address of 3308 W. Warner Ave., Santa Ana, CA 92704, USA, will provide investor relations and digital marketing services including native and display advertising, video content distribution, social media coverage, e-mail distribution, and related marketing activities aimed at expanding market and investor awareness. In exchange for these services, Think Ink will receive cash compensation of US$125,000, which includes budgeted funds that the firm will allocate toward the described services. The agreement between the Company and Think Ink commences on December 12, 2025, for a period of 6 months. Think Ink can be contacted at claire@thinkinkmarketing.com or by telephone at (310) 760-2616.

● FinPlays, LLC ()"**FinPlays** "), with a business address of 954 Ponce De Leon Ave., Suite 205, San Juan, Puerto Rico 00907, will provide public awareness services through the creation and distribution of marketing materials and paid advertisements. FinPlays will receive cash compensation of US$500,000 for its services. The agreement between the Company and FinPlays commences on December 12, 2025, for a period of 2 months, with an option to extend or renew upon mutual agreement. FinPlays can be contacted at admin@finplays.com or by telephone at (786) 588-7297.

● FN Media Group, LLC ()"**FN Media** "), with a business address of 49 N. Federal Hwy #281, Pompano Beach, FL 33062, will provide a series of 15 news media campaigns in exchange for total cash compensation of US$32,925 (equating to US$2,195 per campaign). The agreement between the Company and FN Media commences on December 12, 2025, and will terminate upon the completion of all fifteen news media campaigns or 12 months from execution, whichever occurs first (unless extended by mutual agreement). FN Media can be contacted at info@financialnewsmedia.com or by telephone at (954) 345-0611.

● Outside the Box Capital Inc. ()"**OTB** "), with a business address of 2202 Green Orchard Place, Oakville, ON L6H 4V4, will provide comprehensive marketing services including strategic planning calls, social media and community engagement, distribution of approved messaging, outreach to new investor communities, influencer-based video content, and occasional Q&A/highlight videos. OTB's services are provided in exchange for cash compensation of US$350,000. The agreement between the Company and OTB commences on December 12, 2025, for a period of 3 months, with an option to extend or renew upon mutual agreement. OTB can be contacted at <u>jason@outsidethebox.capital</u> or by telephone at (289) 259-4455.

Due to recent market volatility, the Company increased its investor relations budget beyond the amount disclosed in its CSE Form 2B Listing Stated dated November 19, 2025, applying approximately US$280,000 of its previously unallocated working capital.

**About Bitzero Holdings Inc.**

**Bitzero Contact**

*Mohammed Bakhashwain*

*+44 777 303 0394*

*investors@bitzero.com*

***Bitzero Press Contact***

*Shannon Tucker* 

*bitzero@nextpr.com*

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

**Forward-Looking Information**

*This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities laws. Forward-looking information in this release includes, but is not limited to, statements regarding: the expected impact of the new 10 MW PPA on the Company's power costs and operational efficiency (including the anticipated reduction in blended electricity rates and improved cost structure); the Company's ability to protect profit margins and scale its operations responsibly; the advantages the Company expects to maintain over competitors as a result of lower power costs; the Company's plans and intentions with respect to investor relations and market outreach initiatives; and the potential uses of the Company's remaining unallocated working capital.*

*Forward-looking statements are based on management's current expectations and assumptions that, while considered reasonable as of the date of this release, are subject to significant risks and uncertainties. Material assumptions underpinning the forward-looking information include, among others: that the new PPA will be successfully executed and deliver power at the stated price of ~US$0.02/kWh over the relevant term; that the Company's Namsskogan data center will continue to operate as expected with stable access to electricity at anticipated costs; that Bitcoin market conditions (including network difficulty and bitcoin pricing) will remain within expected ranges such that the Company's efficiency gains translate into competitive advantages; and that the investor relations campaigns will proceed as planned and effectively increase market awareness of the Company.*

*Material risk factors that could cause actual results to differ materially from the forward-looking statements include: the possibility of operational or technical difficulties at the Namsskogan facility; increases or fluctuations in power costs or limitations in electricity supply despite the PPA; regulatory or policy changes in Norway or other relevant jurisdictions that could impact data center or crypto-mining operations; volatility in the price of Bitcoin or other factors affecting the cryptocurrency mining economics; the potential that the Company's investor outreach efforts may not yield the intended results in terms of investor engagement; and other risks and uncertainties discussed in the Company's continuous disclosure filings, including the Listing Statement and subsequent financial reports available on SEDAR+ at <u>www.sedarplus.ca</u>. Readers are cautioned not to place undue reliance on any forward-looking statements.*

*Forward-looking information is provided in this news release for the purpose of conveying management's current plans, expectations and intentions related to future operations, and may not be appropriate for other purposes. The Company does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.*

*# # # # #*

## Exhibit 99.72

**Exhibit 99.72**

**FORM 51-102F3<br> MATERIAL CHANGE REPORT**

**Item 1 – Name and Address of Company**

Bitzero Holdings Inc. (formerly WBM Capital Corp.) (the "**Company**" or "**Bitzero**")

1100 One Bentall Centre

505 Burrard Street, Suite 1100

Vancouver, British Columbia

V7X 1M5

**Item 2 – Date of Material Change**

December 12, 2025

**Item 3 – News Release**

A news release announcing the material change was disseminated by the Company on December 12, 2025, through Newsfile and filed on SEDAR+.

**Item 4 – Summary of Material Change**

On December 12, 2025, the Company announced a power optimization initiative and the engagement of investor relations service providers.

**Item 5 – Full Description of Material Change**

On December 12, 2025, the Company announced the execution of a new power purchase agreement ("**PPA**") for 10 MW at a cost of approximately US$0.02 per kWh at the Company's flagship data center site in Namsskogan, Norway. This PPA strengthens the Company's path toward best-in-class operational efficiency by substantially reducing the average cost of power across its 40 MW facility. The Company is also pleased to announce the engagement of four separate investor relations service providers as summarized below.

<u>Power Optimization</u>

The newly secured 10 MW PPA represents a strategic step in Bitzero's long-term operational strategy for its Namsskogan, Norway data center. By locking in power at approximately US$0.02 per kWh, the Company is expected to reduce its blended electricity cost across the 40 MW Norwegian facility, anticipated to reduce current costs of approximately ~US$0.04 per kWh to approximately US$0.03–0.035 per kWh.

<u>Investor Relations</u>

Pursuant to the respective contract terms detailed below, the Company Bitzero entered into agreements with four investor relations firms on the terms outlined below. Each of the named firms is an arm's-length party to the Company, holds no securities of the Company and has no right or intent to acquire any as part of their agreements with Bitzero.

All compensation for services pursuant to the following agreements will be paid in cash, and no securities will be issuable pursuant to these agreements.

Details of the agreements are as follows:

● Think Ink Marketing Data and Email Services Inc. ()"**Think Ink** "), with a business address of 3308 W. Warner Ave., Santa Ana, CA 92704, USA, will provide investor relations and digital marketing services including native and display advertising, video content distribution, social media coverage, e-mail distribution, and related marketing activities aimed at expanding market and investor awareness. In exchange for these services, Think Ink will receive cash compensation of US$125,000, which includes budgeted funds that the firm will allocate toward the described services. The agreement between the Company and Think Ink commences on December 12, 2025, for a period of 6 months. Think Ink can be contacted at claire@thinkinkmarketing.com or by telephone at (310) 760-2616.

● FinPlays, LLC ()"**FinPlays** "), with a business address of 954 Ponce De Leon Ave., Suite 205, San Juan, Puerto Rico 00907, will provide public awareness services through the creation and distribution of marketing materials and paid advertisements. FinPlays will receive cash compensation of US$500,000 for its services. The agreement between the Company and FinPlays commences on December 12, 2025, for a period of 2 months, with an option to extend or renew upon mutual agreement. FinPlays can be contacted at admin@finplays.com or by telephone at (786) 588-7297.

● FN Media Group, LLC ()"**FN Media** "), with a business address of 49 N. Federal Hwy #281, Pompano Beach, FL 33062, will provide a series of 15 news media campaigns in exchange for total cash compensation of US$32,925 (equating to US$2,195 per campaign). The agreement between the Company and FN Media commences on December 12, 2025, and will terminate upon the completion of all fifteen news media campaigns or 12 months from execution, whichever occurs first (unless extended by mutual agreement). FN Media can be contacted at info@financialnewsmedia.com or by telephone at (954) 345-0611.

● Outside the Box Capital Inc. ()"**OTB** "), with a business address of 2202 Green Orchard Place, Oakville, ON L6H 4V4, will provide comprehensive marketing services including strategic planning calls, social media and community engagement, distribution of approved messaging, outreach to new investor communities, influencer-based video content, and occasional Q&A/highlight videos. OTB's services are provided in exchange for cash compensation of US$350,000. The agreement between the Company and OTB commences on December 12, 2025, for a period of 3 months, with an option to extend or renew upon mutual agreement. OTB can be contacted at jason@outsidethebox.capital or by telephone at (289) 259-4455.

The Company increased its investor relations budget from the originally disclosed amounts in its CSE Form 2B Listing Stated dated November 19, 2025 available on its issuer profile at <u>www.sedarplus.ca</u>. Bitzero applied approximately US$280,000 of its previously unallocated working capital towards investor relations activities, increasing its investor relations budget to approximately US$1,280,000.

**Item 6 – Reliance on Subsection 7.1(2) or (3) of National Instrument 51-102**

This material change report is not being filed on a confidential basis.

**Item 7 – Omitted Information**

No information has been omitted on the basis that it is confidential information.

**Item 8 – Executive Officer**

Mohammed Bakhashwain

Chief Executive Officer

Bitzero Holdings Inc.

Email: investors@bitzero.com

Tel: +44 777 303 0394

**Item 9 – Date of Report**

December 22, 2025

## Exhibit 99.73

**Exhibit 99.73**

**Bitzero Holdings Inc. Partners with CBRE & Hydra Host to Commercialize**

**& Deploy AI Compute Capability Across Hyperscale & GPU Demand**

**Channels**

*Just Weeks After Breaking Ground on Phase I at Kokemäki Site, 200MW of Capacity is Now Available for Pre-Operational Investment*

**VANCOUVER, BC (January 13th, 2026) —** <u>Bitzero Holdings Inc.,</u> (CSE: BITZ.U) (FSE: 000) ("Bitzero**"** or the "Company"), the company redefining sustainable Blockchain and High-Performance Compute (HPC) data centers, has entered into strategic partnerships with <u>CBRE</u> and <u>Hydra Host</u> to commercialize AI-ready data center capacity at its Kokemäki, Finland and Namsskogan, Norway sites for hyperscale and AI-focused tenants.

This dual-track commercialization strategy positions Bitzero's low-carbon gigawatt potential capacity in front of the world's largest hyperscale customers and emerging AI factories, with both long-term, dedicated resources and quick-deploy, near-term GPU capacity to maximize utilization and revenue across a broad AI customer base.

**CBRE to Market 200MW Kokemäki, Finland Site to Hyperscalers**

Bitzero has engaged CBRE to act as the Company's strategic real estate broker for its wholly owned Finland site, supporting Bitzero's efforts to bring the site to market for potential partnership opportunities with hyperscale customers seeking capacity for AI and other high-performance computing workloads.

CBRE's role is limited to advisory and brokerage services in connection with marketing the Finland site to prospective tenants and partners.

**Key Highlights**

● **Strategic brokerage engagement:** CBRE has been contracted to act as Bitzero's strategic broker to market the Finland site to hyperscale customers evaluating capacity for AI workloads.

● **Power schedule:** Power for the Finland site is currently scheduled to go live in Q1 2027.

● **Nordic demand dynamics:** The Company has seen strong demand in the Nordic region, supported by the ability to provide significant power and infrastructure support.

● **Early-stage engineering work:** Bitzero has also started to engage an engineering firm to support pre-design work for the first 200MW of development.

"This strategic alliance marks a pivotal point in our growth strategy," said Bitzero's President and CEO Mohammed Bakhashwain. "It not only allows anchor tenants to lock in high-demand capacity now, but CBRE's global reach will also accelerate our momentum and maximize the value of our assets during the prime growth stage of the AI era."

**Hydra's Brokkr Platform Accelerates AI Deployment & Monetization**

Hydra Host's GPU-as-a-service model will enable Bitzero to rapidly deploy, operate and monetize GPU capacity for enterprise, neocloud and AI-native workloads, expanding utilization beyond traditional hyperscale leasing.

Hydra's Brokkr platform provides turnkey GPU lifecycle enablement, including management, monitoring and monetization, along with access to Bitzero resources for customers anywhere in the world through a unified global API. This managed service approach allows Bitzero to pursue multiple monetization strategies across Hydra's global customer base, backed by Brokkr's operations layer to accelerate onboarding, utilization and revenue capture across high-demand channels.

"Bitzero brings the scale, distribution and 'asset-light' operating model our international AI factory customers demand," said Hydra Host CEO and co-founder Aaron Ginn. "We're excited to add their top-tier, low-carbon compute to our global GPU platform, providing decentralized access and diversified capacity to our fast-growing global footprint."

**Bitzero Poised to Deliver as AI Capacity Demand Surges**

According to <u>CBRE research</u>, the European market is already grappling with historically low HPC capacity, tight vacancies and fierce demand from hyperscale users—a trend that's expected to persist even as AI-focused capacity deals have tripled year-over-year. Vacancy rates are expected to remain below 10%, pushing pricing up by 10% or more in some markets.

With thousands of transactions across hundreds of markets worldwide, CBRE manages approximately $6 billion in annual data center transaction value. Its proprietary research, deep hyperscale relationships and global marketing infrastructure bring a level of credibility and strategic advisory that accelerates transactions with large-scale users.

To learn more about Bitzero's HPC capacity for hyperscale operations, visit <u>www.bitzero.com</u>.

**About Bitzero Holdings Inc.**

**About CBRE**

CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world's largest commercial real estate services and investment firm (based on 2024 revenue). The company has more than 140,000 employees (including Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves clients through four business segments: Advisory (leasing, sales, debt origination, mortgage serving, valuations); Building Operations & Experience (facilities management, property management, flex space & experience); Project Management (program management, project management, cost consulting); Real Estate Investments (investment management, development). Please visit our website at <u>www.cbre.com</u>.

**About Hydra Host**

Hydra Host is a next-generation infrastructure company operating high-performance GPU clusters across global data centers for family offices and global alternatives allocators, data centers and energy operators. Hydra Host, a top 10 NVIDIA Cloud Partner and Founders Fund-backed company, delivers compute as an asset class across more than 50 locations worldwide. To learn more, visit <u>www.hydrahost.com</u>.

**Bitzero Contact**

*Mohammed Bakhashwain*

*+44 777 303 0394*

*investors@bitzero.com*

**Bitzero Press Contact**

*<u>bitzero@nextpr.com</u>*

**Forward-Looking Information**

*This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities laws. Forward-looking information in this release includes, but is not limited to, statements regarding: the partnerships with CBRE and Hydra Host, the expected impact of the CBRE and Hydra Host partnerships on the commercialization, deployment and monetization of AI-ready and high-performance compute data center capacity, the ability to assist with scaling and accommodating AI-ready data centers, statements about Bitzero's low-carbon gigawatt potential capacity, anticipated demand from hyperscale, enterprise, neocloud, and AI-native customers, expected timelines relating to development and power availability at the Finland site, Bitzero's ability to deploy and monetize GPU capacity, and the Company's plans and intentions with respect to compute capability and GPU demand channels and multi-track monetization strategies, and expectations informed by CBRE's research regarding European and Nordic HPC capacity constraints, demand dynamics and pricing trends.*

*Forward-looking statements are based on management's current expectations and assumptions that, while considered reasonable as of the date of this release, are subject to significant risks and uncertainties. Material assumptions underpinning the forward-looking information include, among others: that the partnerships will progress anticipated, that engineering and pre-design work for the Finland site will be completed on expected timelines, that scheduled power availability will be achieved, that the Brokkr platform will perform and scale as expected, that Bitzero will continue to have stable access to clean, low-carbon energy sources, that the Company's data center will continue to operate as expected with stable access to electricity at anticipated costs, that Bitcoin market conditions (including network difficulty and bitcoin pricing) will remain within expected ranges such that the Company's efficiency gains translate into competitive advantages, and that demand for HPC will continue. Material risk factors that could cause actual results to differ materially from those expressed in the forward-looking statements include, among others: development, construction or engineering delays; delays or limitations in power delivery or infrastructure availability; shifts in hyperscale, AI or GPU demand; operational challenges associated with the deployment, lifecycle management or monetization of GPU capacity; performance issues or unforeseen constraints relating to Hydra Host's platform; regional or national regulatory or policy changes affecting data centers, power markets or related industries in Finland, Norway or other jurisdictions; energy cost fluctuations; competitive pressures in the global AI compute and hyperscale infrastructure markets; and macroeconomic or market conditions influencing large-scale data center investments. Additional risks and uncertainties are described in the Company's continuous disclosure filings, including its Listing Statement and subsequent financial reports available on SEDAR+ at <u>www.sedarplus.ca</u> Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking information is provided for the purpose of communicating management's current plans, expectations and intentions regarding future operations and may not be appropriate for other purposes. The Company does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.*

## Exhibit 99.74

**Exhibit 99.74**

**Bitzero Holdings Inc. Acquires NVIDIA Blackwell B300 GPU Servers to Launch AI**

**Compute Pilot with Hydra Host**

Company Deploys 64 Next-Generation GPUs at Norway Site, Marking Entry into Neocloud Operations

VANCOUVER, BC (January 19, 2026) — Bitzero Holdings Inc., (CSE: BITZ) (OTC PINK: BTZRF) (FSE: 000) ("Bitzero" or the "Company"), a provider of sustainable blockchain and high-performance compute (HPC) data center infrastructure, today announced the acquisition of eight NVIDIA Blackwell B300 servers, totaling 64 GPUs, to be deployed at its Namsskogan, Norway facility in partnership with Hydra Host.

The deployment, expected to be completed in Q1 2026, represents Bitzero's first direct investment in GPU compute hardware and marks the Company's entry into neocloud operations. The servers will be leased as bare metal infrastructure for AI workloads through Hydra Host's Brokkr platform.

**Pilot Program Details**

Bitzero has funded the initial deposit for the following hardware:

● 8 air-cooled NVIDIA Blackwell B300 servers

● 64 total GPUs featuring NVIDIA's latest Blackwell architecture

● Deployment at the Company's low-carbon Namsskogan, Norway data center

The pilot is designed to validate GPU operations on Bitzero's existing infrastructure and establish the operational framework for potential future expansion.

**Hydra Host as Platform and Distribution Partner**

Hydra Host's Brokkr platform will provide Bitzero with GPU lifecycle management capabilities, including provisioning, monitoring, and access to Hydra Host's global network of enterprise and AI-native customers. This partnership enables Bitzero to bring its compute capacity to market without building proprietary customer acquisition and platform infrastructure.

"This GPU deployment represents a strategic milestone for Bitzero," said President and CEO Mohammed Bakhashwain. "We are transitioning from pure infrastructure provider to compute operator. By deploying cutting-edge Blackwell GPUs at our Norway site and partnering with Hydra Host for distribution, we are positioning the Company to generate revenue from AI workloads directly—not just from power and space. This pilot lays the groundwork for scaling our neocloud operations as demand and results warrant."

**About Bitzero Holdings Inc.**

**About Hydra Host**

Hydra Host is a next-generation infrastructure company operating high-performance GPU clusters across global data centers. As an NVIDIA Cloud Partner and Founders Fund-backed company, Hydra Host delivers compute as an asset class across more than 40 locations worldwide through its Brokkr platform. To learn more, visit www.hydrahost.com.

**Bitzero Contact**

Mohammed Bakhashwain

+44 777 303 0394

<u>investors@bitzero.com</u>

**Bitzero Press Contact**

bitzero@nextpr.com

**Forward-Looking Statements**

This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. Forward-looking statements are often identified by words such as "anticipate", "expect", "intend", "plan", "believe", "estimate", "project", "potential", or variations of such words and similar expressions. Forward-looking information in this release includes, but is not limited to, statements regarding: the deployment of GPUs at the Norway facility; the expected timing of GPU server delivery and deployment; the Company's plans for future expansion of GPU operations; the Company's plans to lease bare metal servers for AI workloads and generate AI workload revenue; the benefits of the Company's partnership with Hydra Host; the anticipated use of Hydra Host's Brokkr platform; and the Company's intention to scale neocloud operations based on pilot results.

Forward-looking statements are based on assumptions that may prove to be incorrect, including but not limited to: that the partnership with Hydra Host will have the intended benefits, including but not limited to Bitzero not having to build customer acquisition and platform infrastructure; that GPU hardware will be delivered and installed on expected timelines; that the program will assist with scaling the Company's neocloud operations as intended; that the Brokkr platform will perform as expected; that there will be sufficient customer demand for the Company's GPU capacity; and that the Company will continue to have stable access to power and infrastructure at its Norway site.

Actual results could differ materially from those anticipated due to numerous factors including, but not limited to: delays in hardware delivery or installation; technical challenges in deploying liquid-cooled GPU infrastructure; changes in AI compute market conditions and pricing; competition from hyperscale and other GPU providers; performance issues or unforeseen constraints relating to Hydra Host's platform; regional or national regulatory or policy changes affective data centers; power markets or related industries in Norway or other jurisdictions; energy cost fluctuations; competitive pressures in the global AI compute and hyperscale infrastructure markets; macroeconomic or market conditions influencing large-scale data center investments; regional or national regulatory or policy changes affecting the industries in which Bitzero operates in; and general economic conditions. Additional risks and uncertainties are described in the Company's continuous disclosure filings, including the Listing Statement and subsequent financial reports available on SEDAR+ at <u>www.sedarplus.ca</u>. Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking information is provided for the purpose of communicating management's current plans, expectations and intentions regarding future operations and may not be appropriate for other purposes. The Company does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

## Exhibit 99.75

**Exhibit 99.75**

**Bitzero Holdings Inc. Shares Operational Update**

*Company Achieves ~2.8 EH/s with a 110 MW Expansion Well Underway*

VANCOUVER, BC (January 27, 2026) — Bitzero Holdings Inc., (CSE: BITZ.U) (OTCQB: BTZRF) (FSE: 000) ("Bitzero" or the "Company"), a provider of sustainable blockchain and high-performance compute (HPC) data center infrastructure, today announced an operational update of the Company's self-mining operations.

Since last reported in September 2025, the Company has significantly increased its hashrate to approximately 2.80 EH/s, compared to 1.76 EH/s previously reported, representing an increase of approximately 59%. At this operating level, the Company is currently receiving approximately 1.1 bitcoin per day, subject to network conditions. This improvement, together with the Company's previously announced reduction in energy costs following the execution of new power purchase agreements, enhances the Company's operating profile and is expected to support improved revenue generation and profitability. As previously reported, the Company's operations are currently supported by a blended power cost of approximately US$0.03–0.035 per kWh.

As previously announced, Bitzero remains on track to enter the next phase of expansion which is expected to deliver a total of approximately 110 MW of energized capacity by Q4 2026. Based on current forecasts, this level of capacity could support ~10.0 EH/s if fully allocated to Bitcoin mining. A further potential expansion phase is planned for completion by Q4 2027 and would increase total energized capacity to approximately 325 MW if completed as contemplated. A fully dedicated 325 MW of capacity to Bitcoin mining could support up to ~ 30.0 EH/s.

"The steady growth of our compute power is a direct reflection of our disciplined execution and long-term strategy," said Mohammed Bakhashwain, CEO and President of Bitzero. "With our expansion well underway, we're scaling efficiently, strengthening our infrastructure, and positioning the company to capture meaningful value as the Bitcoin network continues to evolve."

To learn more about Bitzero's sites, visit www.bitzero.com.

**Energy Costs**

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Metric** | &nbsp;&nbsp;**Bitzero** |
| &nbsp;&nbsp;Energy Cost kWh (Dec 2025) | &nbsp;&nbsp;0.04 US$/Kwh |
| &nbsp;&nbsp;Daily Energy Cost (Dec 2025) | &nbsp;&nbsp;US$38,400 |

---

**Mining Monthly Metrics**

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Bitzero Holdings Inc.** | &nbsp;&nbsp;**Dec-25** |
| &nbsp;&nbsp;Monthly Total Hash Rate EH/s | &nbsp;&nbsp;2.45 |
| &nbsp;&nbsp;Average operational Hash Rate EH/s | &nbsp;&nbsp;2.37 |
| &nbsp;&nbsp;Bitcoin Mined | &nbsp;&nbsp;29.31 |
| &nbsp;&nbsp;Bitcoin Mined Per 1EH/s | &nbsp;&nbsp;12.37 |
| &nbsp;&nbsp;Bitcoin Mined Per Day | &nbsp;&nbsp;0.95 |
| &nbsp;&nbsp;Bitcoin Mined Per Day Prior Month | &nbsp;&nbsp;0.72 |

---

**Bitcoins mined per EH/s**

---

| | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**JAN** | &nbsp;&nbsp;**FEB** | &nbsp;&nbsp;**MAR** | &nbsp;&nbsp;**APR** | &nbsp;&nbsp;**MAY** | &nbsp;&nbsp;**JUN** | &nbsp;&nbsp;**JUL** | &nbsp;&nbsp;**AUG** | &nbsp;&nbsp;**SEP** | &nbsp;&nbsp;**OCT** | &nbsp;&nbsp;**NOV** | &nbsp;&nbsp;**DEC** |
| &nbsp;&nbsp;EH/s | &nbsp;&nbsp;1.18 | &nbsp;&nbsp;1.33 | &nbsp;&nbsp;1.35 | &nbsp;&nbsp;1.38 | &nbsp;&nbsp;1.41 | &nbsp;&nbsp;1.42 | &nbsp;&nbsp;1.36 | &nbsp;&nbsp;1.36 | &nbsp;&nbsp;1.76 | &nbsp;&nbsp;1.85 | &nbsp;&nbsp;1.85 | &nbsp;&nbsp;2.45 |
| &nbsp;&nbsp;Bitcoins<br>mined  | &nbsp;&nbsp;21.24 | &nbsp;&nbsp;21.00 | &nbsp;&nbsp;22.79 | &nbsp;&nbsp;21.82 | &nbsp;&nbsp;22.84 | &nbsp;&nbsp;21.22 | &nbsp;&nbsp;21.67 | &nbsp;&nbsp;21.30 | &nbsp;&nbsp;23.85 | &nbsp;&nbsp;22.70 | &nbsp;&nbsp;21.46 | &nbsp;&nbsp;29.31 |
| &nbsp;&nbsp;Bitcoins mined per<br>EH/s  | &nbsp;&nbsp;18.08 | &nbsp;&nbsp;15.81 | &nbsp;&nbsp;16.89 | &nbsp;&nbsp;15.80 | &nbsp;&nbsp;16.22 | &nbsp;&nbsp;14.94 | &nbsp;&nbsp;15.91 | &nbsp;&nbsp;15.64 | &nbsp;&nbsp;13.55 | &nbsp;&nbsp;12.27 | &nbsp;&nbsp;11.60 | &nbsp;&nbsp;11.97 |

---

**About Bitzero Holdings Inc.**

**Bitzero Contact**

Mohammed Bakhashwain

+44 777 303 0394

<u>investors@bitzero.com</u>

**Bitzero Press Contact**

bitzero@nextpr.com

**Forward-Looking Information**

*This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws, including statements regarding the Company's projected energized capacity at Namsskogan, Norway; expected timing for completion of expansion phases (Q4 2026 and Q4 2027); potential hashrate at various capacity levels (including ~10 EH/s and ~30 EH/s) if fully allocated to Bitcoin mining; and anticipated operating efficiencies, power costs and their impact on revenue generation and profitability. Forward-looking information is based on management's current expectations and assumptions, including with respect to construction timelines, availability and performance of mining equipment, network difficulty, Bitcoin price, power availability and pricing, curtailment, uptime, regulatory approvals and general economic conditions.*

*Forward-looking information is inherently subject to known and unknown risks and uncertainties that may cause actual results to differ materially from those expressed or implied, including risks related to construction and commissioning, supply chains, equipment performance, power markets and curtailment, permitting and regulatory matters, digital asset price volatility, network difficulty, cybersecurity, financing, and other factors described under "Risk Factors" in the Company's public filings. Readers are cautioned not to place undue reliance on forward-looking information. The Company undertakes no obligation to update any forward-looking information except as required by applicable securities laws.*

Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release

## Exhibit 99.76

**Exhibit 99.76**

**BITZERO BLOCKCHAIN INC.**

Consolidated Financial Statements

For the years ended September 30, 2025 and 2024

(expressed in United States Dollars, unless otherwise stated)

---

| | |
|:---|:---|
| **Table of contents**<br> (Expressed in United States Dollars, <br> unless otherwise noted) | **BITZERO** <br> **BLOCKCHAIN INC.**<br> September 30, 2025 and 2024 |

---

---

| | |
|:---|:---|
| Independent Auditor's Report | 3-5 |
| Consolidated Statements of Loss and Comprehensive Loss | 6 |
| Consolidated Statements of Financial Position | 7 |
| Consolidated Statements of Changes in Shareholder's Equity | 8 |
| Consolidated Statements of Cash Flows | 9 |
| Notes to the Consolidated Financial Statements | 10-53 |

---

**Page 2 of 53**

---

| | |
|:---|:---|
| ![](img001_v6.jpg) | **SRCO Professional Corporation** <br> **Chartered Professional Accountants** <br> **Licensed Public Accountants**<br> Park Place Corporate Centre<br> 15 Wertheim Court, Suite 409<br> Richmond Hill, ON L4B 3H7, Canada<br>Tel: 905 882 9500 & 416 671 7292<br> Fax: 905 882 9580<br> Email: info@srco.ca<br> www.srco.ca |

---

**INDEPENDENT AUDITOR'S REPORT**

**To the Shareholders of Bitzero Blockchain Inc.**

***Opinion***

We have audited the consolidated financial statements of Bitzero Blockchain Inc. and its subsidiaries (the "Company"), which comprise the consolidated statements of financial position as at September 30, 2025 and 2024, the consolidated statements of loss and comprehensive loss, changes in shareholders' equity, and cash flows for the years then ended, and notes to the consolidated financial statements, including material accounting policy information (collectively referred to as the "consolidated financial statements").

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at September 30, 2025 and 2024, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).

***Basis for Opinion***

We conducted our audits in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the *Auditor's Responsibilities for the Audit of the Consolidated Financial Statements* section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audits of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

***Emphasis of Matter - Material Uncertainty Related to Going Concern***

We draw attention to Note 3 to the consolidated financial statements, which indicates that the Company incurred a loss, and had a working capital deficit and an accumulated deficit. As stated in Note 3, these events or conditions, along with other matters as set forth in Note 3, indicate that material uncertainties exist that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

***Other Information***

Management is responsible for the other information. The other information comprises the information included in the Management's Discussion and Analysis but does not include the consolidated financial statements and our auditor's report thereon. Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated.

*(continues)*

![](img001_v6.jpg)

**Independent Auditor's Report to the Shareholders of Bitzero Blockchain Inc.** *(continued)*

***Other Information*** *(continued)*

We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

***Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements***

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS as issued by the IASB, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Company's financial reporting process.

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements***

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

● Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

*(continues)*

![](img001_v6.jpg)

**Independent Auditor's Report to the Shareholders of Bitzero Blockchain Inc.** *(continued)*

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements*** *(continued)*

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

● Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

● Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

● Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial information of the entities or business units within the Company as a basis for forming an opinion on the consolidated financial statements. We are responsible for the direction, supervision and review of the audit work performed for purposes of the group audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

---

| | |
|:---|:---|
|  | ![](img002_v6.jpg) |
| Richmond Hill, Canada <br> January 28, 2026 | CHARTERED PROFESSIONAL ACCOUNTANTS<br> Authorized to practice public accounting by the <br> Chartered Professional Accountants of Ontario |

---

---

| | |
|:---|:---|
| **Consolidated statements of loss and comprehensive loss** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |

---

*For the years ended* September 30, 2025 and 2024 <br>    

---

| | |
|:---|:---|
| | Note |
| Revenue from digital assets mined | 7 |
| Revenue from hosting services | 7 |
| Direct costs | 8 |
| Administrative expenses | 9 |
| Finance costs | 10 |
| Marketing expenses | 11 |
| Operating loss before other items |  |
| Share-based expenses | 12 |
| Foreign exchange gain) |  |
| Realized (gain) loss from sale of digital currency | 13) |
| (Gain) loss on contract settlement | 202223) |
| Provision for contract settlement | 23 |
| Present value impact on discounting of settlement liability | 22a |
| Loss before income taxes |  |
| Income tax | 15 |
| **Net loss** |  |
| Revaluation gains on digital currency | 13) |
| Loss on translation of foreign operations |  |
| **Total comprehensive loss** |  |
| **Loss per share** |  |
| &nbsp;&nbsp;&nbsp;Basic | 16) |
| &nbsp;&nbsp;&nbsp;Diluted | 16 |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | **Page 6 of 53** |

---

---

| | |
|:---|:---|
| **Consolidated statements of financial position** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |

---

*As at* September 30, 2025 and 2024 <br>    

---

| | |
|:---|:---|
| | Note |
| **ASSETS** |  |
| &nbsp;&nbsp;&nbsp;*Non-current* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property, plant and equipment | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction in progress | 1719 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Right-of-use assets | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted cash | 22(c) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits, non-current portion |  |
| &nbsp;&nbsp;&nbsp;*Current* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Digital currency | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash held in trust |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents |  |
| **TOTAL ASSETS** |  |
| **EQUITY AND LIABILITIES** |  |
| &nbsp;&nbsp;&nbsp;*Equity* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Debenture reserve | 22(c) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated losses |  |
| &nbsp;&nbsp;&nbsp;*Total equity* |  |
| &nbsp;&nbsp;&nbsp;*Non-current liabilities* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, non-current portion | 22(a) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, non-current portion | 22(c) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability, non-current portion | 22(b) |
| &nbsp;&nbsp;&nbsp;*Current liabilities* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables | 21(a),22(a) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent consideration payable | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, current portion | 22(a) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, current portion | 22(c) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability, current portion | 22(b) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Related party advances | 21(a) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Convertible debentures | 21(c) |
| &nbsp;&nbsp;&nbsp;*Total liabilities* |  |
| **TOTAL EQUITY AND LIABILITIES** |  |
| GOING CONCERN | 3(b) |
| CONTINGENT LIABILITIES | 25 |
| SUBSEQUENT EVENTS | 28 |
| **APPROVED ON BEHALF OF THE BOARD** |  |

---

*Mohammed Salah S. Bakhashwain*

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | **Page 7 of 53** |

---

---

| | |
|:---|:---|
| **Consolidated statements of changes in shareholder's equity** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |

---

*For the years ended* September 30, 2025 and 2024 <br>    

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Note | Share <br> capital | Contributed <br>surplus | Debenture reserve |
|  |  |  | $— |  |
| Balance at September 30, 2023 |  |  |  |  |
| Share based expenses | 12, 21(a) |  |  |  |
| Exercised RSUs | 1224) |  |  |  |
| Shares issued in settlement | 24(a) |  |  |  |
| Total comprehensive loss for the year |  |  |  |  |
| Balance, at September 30, 2024 |  |  |  |  |
| Share based expenses | 12, 21(a) |  |  |  |
| Subscriptions | 24(a) |  |  |  |
| Exercised RSUs | 12, 24) |  |  |  |
| Exercised options | 24(c) |  |  |  |
| Issuance of advisory shares | 24(b) |  |  |  |
| Shares issued in settlement | 24(b) |  |  |  |
| Total comprehensive loss for the year |  |  |  |  |
| Balance, at September 30, 2025 |  |  |  |  |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | **Page 8 of 53** |

---

---

| | |
|:---|:---|
| **Consolidated statements of cash flows** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |

---

*For the years ended* September 30, 2025 and 2024 <br>    

---

| |
|:---|
| **CASH FROM (USED IN) OPERATING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Net loss for the year) |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash items:* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based expenses |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of property, plant and equipment |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of right-of-use assets |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued for services rendered |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued in settlement |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on settlement of accounts receivable |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for contract settlement) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on settlement liability |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on lease liability |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on convertible debt |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cancellation of lease liability) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Present value impact on discounting settlement liability) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of discount on loan payable |
| &nbsp;&nbsp;&nbsp;Operating cash flow before changes in non-cash working capital |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash working capital:* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Digital currencies) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, current portion |
| **CASH (USED IN) FROM INVESTING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Purchase of property, plant, and equipment) |
| &nbsp;&nbsp;&nbsp;Proceeds on sale of digital assets |
| &nbsp;&nbsp;&nbsp;Restricted cash held in trust |
| **CASH FROM (USED IN) FINANCING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Issuance of common shares |
| &nbsp;&nbsp;&nbsp;Exercise of stock options |
| &nbsp;&nbsp;&nbsp;Loan proceeds received, net |
| &nbsp;&nbsp;&nbsp;Advance (repayment) of related party balances |
| &nbsp;&nbsp;&nbsp;Repayment of lease liabilities |
| **Net change in cash and cash equivalents** |
| Cash and cash equivalents, beginning of year |
| Cash held in trust, beginning of year |
| Effects of exchange rate changes on cash and cash equivalents |
| Cash and cash equivalents, end of year |
| Cash held in trust, end of year |
| **Supplementary information** |
| &nbsp;&nbsp;&nbsp;Interest paid |
| &nbsp;&nbsp;&nbsp;Non-cash settlements |
| &nbsp;&nbsp;&nbsp;Shares issued for services |
| &nbsp;&nbsp;&nbsp;Shares issued as part of settlement |
| &nbsp;&nbsp;&nbsp;Acquisition of equipment as part of settlement |
| &nbsp;&nbsp;&nbsp;Bitcoin loan proceeds |
| &nbsp;&nbsp;&nbsp;Bitcoin loan repayment |
| &nbsp;&nbsp;&nbsp;RSUs exercised |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | **Page 9 of 53** |

---

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

1. GENERAL INFORMATION

Bitzero Blockchain Inc. (the "Company" or "Bitzero"), was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 925- 1000 Cathedral Place, West Georgia Street, Vancouver, British Columbia V6C 3L2 Canada.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity that is a wholly owned subsidiary of Bitzero Blockchain Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

2. ADOPTION OF NEW AND REVISED STANDARDS

(a) <u>New and revised IFRS Accounting Standards in issue but not yet effective</u> 

At the date of authorisation of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

*IFRS 18: Presentation and Disclosure in Financial Statements*

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the

statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The Company is in the process of reviewing the impact of IFRS 18 on its consolidated financial statements in future periods.

3. BASIS OF PREPARATION

(a) <u>Statement of compliance</u> 

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS"), including as issued by the International Accounting Standards Board ("IASB"). IFRS includes both the International Financial Reporting Standards and the International Accounting Standards ("IAS"). The accounting policies set out below have been applied consistently to both years.

These consolidated financial statements, including their comparative figures, were approved and authorized for issue by the Board of Directors on January 28, 2026.

**Page 10 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

3. BASIS OF PREPARATION (CONT'D)

(a) <u>Statement of compliance (cont'd)</u> 

These consolidated financial statements have been prepared on an accrual basis and are based on historical cost basis except for a certain financial instrument which is measured at fair value, as explained in the accounting policy information below. In addition, these consolidated financial statements have been prepared using the accrual basis of accounting except for cash flow information.

(b) <u>Going concern</u> 

The directors have, at the time of approving the consolidated financial statements, a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the consolidated financial statements.

As at September 30, 2025, the Company had an accumulated deficit of $81,579,828 (2024 – $65,031,486) and has a working capital deficiency of $6,350,676 (2024 – $7,705,167). Whether and when the Company can generate sufficient cash flows to pay for its expenditures and settle its obligations as they fall due is uncertain.

To address the going concern risk, the Company continues to seek equity financing alternatives to support ongoing operations, monitor general and administrative expenses compared to budget, and optimize its operating processes. Further details regarding subsequent equity raises are provided in **Note 28**.

(c) <u>Basis of consolidation</u> 

These consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee.

Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity.

The accounting policies of subsidiaries are the same as those of the Company.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;Subsidiary | &nbsp;&nbsp;Ownership at <br> 30-Sep-25 | &nbsp;&nbsp;Ownership at <br> 30-Sep-24 | &nbsp;&nbsp;Country of <br> incorporation |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Bitzero ND II | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Zetanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Finland Oy | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Finland |

---

**Page 11 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

3. BASIS OF PREPARATION (CONT'D)

(d) <u>Presentation and functional currency</u> 

These consolidated financial statements are presented in United States Dollars ("$"), which is the Company's functional currency. Foreign operations are included in accordance with the policies set out in **Note 4**. The functional currency of all subsidiaries is the United States Dollar except for Exanorth and Zetanorth AS, whose functional currency is the Norwegian Krone ("kr") and Bitzero Finland Oy, whose functional currency is the Euro ("€").

4. MATERIAL ACCOUNTING POLICY INFORMATION

(a) <u>Revenue recognition</u> 

Revenue is recorded at an amount that reflects the consideration to which the entity expects to be entitled in exchange for transferring goods or services to a customer.

The principles in IFRS 15 are applied using the following five steps:

● Identify the contract(s) with a customer

● Identify the performance obligation in the contract

● Determine the transaction price

● Allocate the transaction price to the performance obligations in the contract

● Recognize revenue when (or as) the entity satisfies a performance obligation

The Company has concluded that the recognition and measurement of the sale of products in all contracts is consistent with the current revenue recognition practice and therefore does not expect any transitional adjustment.

The Company may participate in third-party mining pools. Rewards are determined based on the pool's payout methodology (e.g., PPS/FPPS/Proportional) by reference to the Company's contributed hash rate. Settlements are typically made periodically after network confirmation. Pool operator fees are presented gross in revenue with fees recorded in direct costs on account of the Company acting as a principal in the transaction.

Consideration for validating transactions may comprise a block reward and transaction fees. Where the pool separately identifies transaction fees and block rewards, the Company records such fees within mining revenue and presents them separately when material.

Where the payout is provided as a blended amount and a reliable separation is impracticable or the cost would be excessive, the Company records the total as mining revenue and describes the basis for presentation.

Obligations requiring delivery of Bitcoin with no net cash settlement are not classified as financial instruments. According to IAS 8, any Bitcoin held is treated as an intangible asset if it meets the definition of an identifiable non-monetary asset without physical substance.

**Page 12 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(a) <u>Revenue recognition (cont'd)</u> 

*Mining revenue*

The Company recognizes revenue from the provision of transaction confirmation services for digital currency blockchains, commonly termed "digital asset mining" or "cryptocurrency mining". As consideration for these services, the Company receives digital currency from each specific blockchain in which it participates ("coins"). Revenue is measured based on the fair value of the coins received. The fair value is determined using the spot price of the coin on the date of mining, based on the daily average from CoinMarket Cap (www.coinmarketcap.com) for Bitcoin. A coin is considered earned on the completion and addition of a block to the blockchain, at which time the economic benefit is received and can be reliably measured.

*Hosting revenue*

The Company hosts and provides energized space and operating and maintenance services to third-party mining companies who locate their mining hardware at its data centers. The Company accounts for these agreements as a single performance obligation for services being delivered in a series with delivery being measured by monthly hosting fees of the mining hardware. As such, the Company recognizes revenue over the life of the contract as its series of distinct services are performed over the term of the contracts with its customers. The Company has determined that the contracts do not contain a significant financing component because the expected length of time between the transfer of services and receipt of consideration is less than one year, which are typically one month or less.

For certain contracts, the Company may also be entitled to a monthly non-cash profit-sharing fee, which is primarily based on the actual amount of Bitcoin mined by the customer's hosted mining equipment during the month. The rate of profit sharing is determined at inception of the contract with subsequent amendments, as applicable, and non-cash consideration is generally paid in Bitcoin. Non-cash consideration is measured at fair value at contract inception with changes in fair value attributable to reasons other than the form of consideration (other than price of Bitcoin) measured as variable consideration (subject to the constraint on variable consideration) and recognized as hosting services are performed. This amount is recognized in revenue as services are performed.

Changes in fair value of the non-cash consideration related for reasons other than changes in form are recognized at the end of each month as the related uncertainly is resolved and amount becomes known.

(b) <u>Digital assets</u> 

The Company accounts for its digital currencies on hand at the end of a reporting period, if any, under IAS 38, *Intangible Assets*, as an intangible asset with an indefinite useful life initially measured at cost, deemed to be the fair value upon receipt, and subsequently measured under the revaluation model.

Under the revaluation model, increases in the digital currencies' carrying amount is recognized in other comprehensive income and under accumulated other comprehensive income/ (loss) in equity, while decreases are recorded in the consolidated statements of income or loss and comprehensive income or loss.

**Page 13 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(b) <u>Digital assets (cont'd)</u> 

However, increases are recognized in profit or loss to the extent that it reverses a revaluation decrease of digital currencies previously recognized in profit or loss. There is no recycling of gains from other comprehensive income or loss in the consolidated statements of income or loss and comprehensive income or loss, except to the extent that an increase in fair value reverses a previous decrease in fair value that has been recorded in the consolidated statements of income or loss and comprehensive income or loss, that increase is recorded in the consolidated statements of income or loss and comprehensive income or loss. The fair value of digital currencies on hand at the end of the reporting period is calculated as the quantity of digital currencies on hand multiplied by the price quoted on CoinMarket Cap as at the reporting date.

Any difference between the fair value of the digital currencies recorded upon receipt from mining activities, purchases or profit-sharing arrangements and the actual realized price upon disposal are recorded as gain or loss on sale of digital currencies.

The Company has continued to classify digital currencies on hand at the end of the year as current assets as management has determined that cryptocurrency markets have sufficient liquidity to allow conversion within the Company's normal operating cycle.

(c) <u>Leases</u> 

The Company assesses whether a contract is, or contains, a lease, at inception of the contract. The Company recognises a right-of-use asset and a corresponding lease liability with respect to all lease arrangements in which it is the lessee, except for short-term leases (defined as leases with a lease term of 12 months or less) and leases of low value assets (such as tablets and personal computers, small items of office furniture and telephones).

For these leases, the Company recognises the lease payments as an operating expense on a straight-line basis over the term of the lease unless another systematic basis is more representative of the time pattern in which economic benefits from the leased assets are consumed.

The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted by using the rate implicit in the lease. If this rate cannot be readily determined, the Company uses its incremental borrowing rate.

The incremental borrowing rate depends on the term, currency and start date of the lease and is determined based on a series of inputs including: the risk-free rate based on government bond rates; a country-specific risk adjustment; a credit risk adjustment based on bond yields; and an entity-specific adjustment when the risk profile of the entity that enters into the lease is different to that of the Company and the lease does not benefit from a guarantee from the Company.

Lease payments included in the measurement of the lease liability comprise (i) Fixed lease payments (including in-substance fixed payments), less any lease incentives receivable (ii) Variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date (iii) The amount expected to be payable by the lessee under residual value guarantees (iv) The exercise price of purchase options, if the lessee is reasonably certain to exercise the options, and (vi) Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease.

**Page 14 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(c) <u>Leases (cont'd)</u> 

The lease liability is subsequently measured by increasing the carrying amount to reflect interest on the lease liability (using the effective interest method) and by reducing the carrying amount to reflect the lease payments made.

The Company remeasures the lease liability (and makes a corresponding adjustment to the related right-of-use asset) whenever: (i) The lease term has changed or there is a significant event or change in circumstances resulting in a change in the assessment of exercise of a purchase option, in which case the lease liability is remeasured by discounting the revised lease payments using a revised discount rate (ii) The lease payments change due to changes in an index or rate or a change in expected payment under a guaranteed residual value, in which cases the lease liability is remeasured by discounting the revised lease payments using an unchanged discount rate (unless the lease payments change is due to a change in a floating interest rate, in which case a revised discount rate is used), and (iii) A lease contract is modified and the lease modification is not accounted for as a separate lease, in which case the lease liability is remeasured based on the lease term of the modified lease by discounting the revised lease payments using a revised discount rate at the effective date of the modification.

The Company did not make any such adjustments during the periods presented.

The right-of-use assets comprise the initial measurement of the corresponding lease liability, lease payments made at or before the commencement day, less any lease incentives received and any initial direct costs. They are subsequently measured at cost less accumulated amortization and impairment losses.

Right-of-use assets are amortized over the shorter period of lease term and useful life of the right-of-use asset. If a lease transfers ownership of the underlying asset or the cost of the right-of-use asset reflects that the Company expects to exercise a purchase option, the related right-of-use asset is amortized over the useful life of the underlying asset. The amortization starts at the commencement date of the lease.

The Company applies IAS 36 Impairment of Assets to determine whether a right-of-use asset is impaired and accounts for any identified impairment loss as described in Policy (h) below which is *Impairment of non-financial assets*.

For contracts that contain a lease component and one or more additional lease or non-lease components, the Company allocates the consideration in the contract to each lease component on the basis of the relative stand-alone price of the lease component and the aggregate stand-alone price of the non-lease components.

(d) <u>Foreign currencies</u> 

Transactions undertaken in foreign currencies are translated into US dollars at daily exchange rates prevailing when the transactions occur. Monetary assets and liabilities denominated in foreign currencies are translated at period-end exchange rates and non-monetary items are translated at historical exchange rates.

Realized and unrealized exchange gains and losses are recognized in the consolidated statements of comprehensive income or loss.

**Page 15 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(d) <u>Foreign currencies (cont'd)</u> 

The assets and liabilities of foreign operations are translated into US dollars using the period-end exchange rates. Income, expenses, and cash flows of foreign operations are translated into US dollars using average exchange rates. Exchange differences resulting from the translation of foreign operations into US dollars are recognized in other comprehensive income or loss and accumulated in equity.

(e) <u>Borrowing costs</u> 

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale. All other borrowing costs are recognised in the consolidated statement of loss and comprehensive loss in the period in which they are incurred.

No borrowing costs were capitalized for the years ended September 30, 2025 and 2024.

(f) <u>Taxation</u> 

The income tax expense represents the sum of current and deferred income tax expense.

*Current tax*

The tax currently payable is based on taxable profit for the year.

Taxable profit differs from net profit as reported in the consolidated statement of loss and comprehensive loss because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The Company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

A provision is recognised for those matters for which the tax determination is uncertain but it is considered probable that there will be a future outflow of funds to a tax authority. The provisions are measured at the best estimate of the amount expected to become payable.

The assessment is based on the judgement of tax professionals within the parent company supported by previous experience in respect of such activities and in certain cases based on specialist independent tax advice.

*Deferred tax*

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the consolidated financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted for using the liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilized.

**Page 16 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(f) <u>Taxation (cont'd)</u> 

*Deferred tax (cont'd)*

Such assets and liabilities are not recognised if the temporary difference arises from the initial recognition (other than in a business combination) of other assets and liabilities in a transaction that affects neither the taxable profit nor the accounting profit. In addition, a deferred tax liability is not recognised if the temporary difference arises from the initial recognition of goodwill.

Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries and associates, and interests in joint ventures, except where the Company is able to control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future.

Deferred tax assets arising from deductible temporary differences associated with such investments and interests are only recognised to the extent that it is probable that there will be sufficient taxable profits against which to utilise the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised based on tax laws and rates that have been enacted or substantively enacted at the reporting date.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis.

*Current tax and deferred tax for the year*

Current and deferred tax are recognised in the consolidated statement of loss and comprehensive loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case the current and deferred tax are also recognised in other comprehensive income or directly in equity respectively. Where current tax or deferred tax arises from the initial accounting for a business combination, the tax effect is included in the accounting for the business combination.

(g) <u>Property, plant and equipment</u> 

Property, plant and equipment is carried at cost, less accumulated depreciation and accumulated impairment, if any. Cost includes professional fees and, for qualifying assets, borrowing costs capitalised in accordance with the Company's accounting policy.

**Page 17 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(g) <u>Property, plant and equipment (cont'd)</u> 

Construction in progress consists of buildings, utilities, and other infrastructure which is in the process of being constructed for use in continuing operations. Depreciation of construction in progress does not commence until the assets are ready for their intended use.

Depreciation of these assets, determined on the same basis as other property assets, commences when the assets are ready for their intended use.

Freehold land is not depreciated.

Depreciation is recognised so as to write off the cost or valuation of assets (other than freehold land and properties under construction) less their residual values over their useful lives, using the straight-line method, on the following bases:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Buildings | 25 years |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Private utilities | 25 years |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Technology infrastructure | 3-5 years |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mining equipment | 3 years |

---

The estimated useful lives, residual values and depreciation method are reviewed at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. The gain or loss arising on the disposal or retirement of an asset is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognised in the consolidated statement of loss and comprehensive loss.

(h) <u>Impairment of non-financial assets</u> 

At each reporting date, the Company reviews the carrying amounts of its non-financial assets, including property and equipment, to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated to determine the extent of the impairment loss (if any). Where the asset does not generate cash flows that are independent from other assets, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. When a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-generating units, or otherwise they are allocated to the smallest group of cash-generating units for which a reasonable and consistent allocation basis can be identified.

Recoverable amount is the higher of fair value less costs of disposal and value in use.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

**Page 18 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(h) <u>Impairment of non-financial assets (cont'd)</u> 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in the consolidated statement of loss and comprehensive loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease and to the extent that the impairment loss is greater than the related revaluation surplus, the excess impairment loss is recognised in the consolidated statement of loss and comprehensive loss.

Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years.

A reversal of an impairment loss is recognised immediately in the consolidated statement of loss and comprehensive loss to the extent that it eliminates the impairment loss which has been recognised for the asset in prior years. Any increase in excess of this amount is treated as a revaluation increase.

(i) <u>Cash and cash equivalents</u> 

Cash equivalents are short-term (generally with original maturity of three months or less), highly liquid investments that are readily convertible to a known amount of cash and which are subject to an insignificant risk of changes in value. Cash equivalents are held for the purpose of meeting short-term cash commitments rather than for investment or other purposes.

For the purposes of the consolidated statement of cash flows, cash and cash equivalents consist of cash and cash equivalents as defined above, net of outstanding bank overdrafts which are repayable on demand and form an integral part of the Company's cash management.

(j) <u>Goodwill</u> 

Goodwill arises on the acquisition of subsidiaries and represents the excess of the cost of an acquisition over the fair value of the Company's share of the net identifiable assets of the acquired entity at the date of acquisition. Goodwill is initially recognized at cost and subsequently measured at cost less accumulated impairment losses, if any. Goodwill is not amortized but is tested for impairment annually or more frequently if events or changes in circumstances indicate a potential impairment. Impairment losses on goodwill are recognized in the consolidated statement of loss and comprehensive loss and are not reversed in subsequent periods.

(k) <u>Business combinations</u> 

Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred, measured at acquisition-date fair value, and the amount of any non-controlling interest in the acquiree. Identifiable assets acquired and liabilities assumed are measured at their acquisition-date fair values.

**Page 19 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(k) <u>Business combinations (cont'd)</u> 

Goodwill is recognized as described in the goodwill policy. If the Company's interest in the fair value of the net assets acquired exceeds the cost of the business combination, the excess is recognized as a gain on acquisition.

In accordance with IFRS 3, an acquired group qualifies as a business if it includes inputs and substantial processes capable of producing outputs. In order to determine whether an acquisition is deemed to be a business combination, the Company conducts a concentration as to whether acquiree comprises operational infrastructure, personnel, contracts and operational processes beyond single assets. Expenses such as legal, due diligence, advisory and share issuance costs are expensed as incurred and not included in the cost of the business combination.

(l) <u>Share-based expense</u> 

The Company provides benefits to employees and directors in the form of share-based expense, whereby employees render services as consideration for equity instruments. The fair value of the equity-settled share-based payments is determined at the grant date using Black-Scholes pricing model and recognized as an expense over the vesting period with a corresponding increase in equity.

The fair value is measured considering the terms and conditions upon which the equity instruments were granted. At each reporting date, the Company revises its estimates of the number of equity instruments expected to vest and adjusts the amount recognized as an expense accordingly.

When vested options are forfeited or not exercised at the expiry date, the amount previously recognized as stock-based compensation expense is transferred to accumulated losses.

(m) <u>Other comprehensive income</u> 

Total comprehensive income (loss) comprises all components of profit or loss and other comprehensive income (loss). Other comprehensive income (loss) includes gains and losses from translating the financial statements of an entity whose functional currency differs from the presentation currency and gains from revaluation of digital currencies.

(n) <u>Earnings or loss per share</u> 

Basic earnings or loss per share (EPS or LPS) is calculated by dividing the net profit or loss attributable to equity holders of the parent by the weighted average number of ordinary shares outstanding during the period.

Diluted earnings or loss per share adjusts the figures used in the determination of basic EPS or LPS to take into account the effect of potential dilutive ordinary shares, such as share options granted to employees. The calculation of diluted EPS or LPS assumes that the proceeds from the exercise of options would be used to purchase ordinary shares at the average market price during the period.

**Page 20 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(o) <u>Financial instruments</u> 

Financial assets and financial liabilities are recognised in the Company's consolidated statement of financial position when the Company becomes a party to the contractual provisions of the instrument. Financial assets and financial liabilities are initially measured at fair value, except for accounts receivable that do not have a significant financing component which are measured at the transaction price.

Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition.

Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through profit or loss are recognised immediately in the consolidated statement of loss and comprehensive loss.

*Financial assets*

All regular way purchases or sales of financial assets are recognised and derecognised on a trade date basis.

All recognised financial assets are measured subsequently in their entirety at either amortised cost or fair value, depending on the classification of the financial assets.

*Classification of financial assets*

Debt instruments that meet the following conditions are measured subsequently at amortised cost: (i) The financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows and (ii) The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Debt instruments that meet the following conditions are measured subsequently at fair value through other comprehensive income (FVTOCI): (i) The financial asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling the financial assets, and (ii) The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

By default, all other financial assets are measured subsequently at fair value through profit or loss (FVTPL).

*Amortised cost and effective interest method*

The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating interest income over the relevant period.

**Page 21 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(o) <u>Financial instruments (cont'd)</u> 

*Amortised cost and effective interest method (cont'd)*

The effective interest rate is the rate that exactly discounts estimated future cash receipts (including all fees and points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) excluding expected credit losses, through the expected life of the debt instrument, or, where appropriate, a shorter period, to the gross carrying amount of the debt instrument on initial recognition.

The amortised cost of a financial asset is the amount at which the financial asset is measured at initial recognition minus the principal repayments, plus the cumulative amortisation using the effective interest method of any difference between that initial amount and the maturity amount, adjusted for any loss allowance. The gross carrying amount of a financial asset is the amortised cost of a financial asset before adjusting for any loss allowance.

*Financial assets at FVTPL*

Financial assets that do not meet the criteria for being measured at amortised cost or FVTOCI are measured at FVTPL. The Company has not designated any debt instruments as at FVTPL.

*Impairment of financial assets*

The Company recognises a loss allowance for expected credit losses on financial assets based on a simplified approach after considering the expected cash-flow shortfall based on historical trends, forward looking information, macro-economic factors and loss matrix.

The amount of expected credit losses is updated at each reporting date to reflect changes in credit risk since initial recognition of the respective financial instrument.

*Write-off policy*

The Company writes off a financial asset when there is information indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery, e.g. when the debtor has been placed under liquidation or has entered into bankruptcy proceedings, or in the case of accounts receivable, when the amounts are over two years past due, whichever occurs sooner.

Financial assets written off may still be subject to enforcement activities under the Company's recovery procedures, taking into account legal advice where appropriate. Any recoveries made are recognised in the consolidated statement of loss and comprehensive loss.

*Derecognition of financial assets*

The Company derecognises a financial asset only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity.

On derecognition of a financial asset measured at amortised cost, the difference between the asset's carrying amount and the sum of the consideration received and receivable is recognised in profit or loss.

**Page 22 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(o) <u>Financial instruments (cont'd)</u> 

*Classification as debt or equity*

Debt and equity instruments are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

*Compound instruments*

The component parts of convertible loan notes issued by the Company are classified separately as financial liabilities and equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument. A conversion option that will be settled by the exchange of a fixed amount of cash or another financial asset for a fixed number of the parent company's own equity instruments is an equity instrument.

At the date of issue, the fair value of the liability component is estimated using the prevailing market interest rate for a similar non-convertible instrument. This amount is recorded as a liability on an amortised cost basis using the effective interest method until extinguished upon conversion or at the instrument's maturity date.

The conversion option classified as equity is determined by deducting the amount of the liability component from the fair value of the compound instrument as a whole. This is recognised and included in equity, net of income tax effects, and is not subsequently remeasured. In addition, the conversion option classified as equity will remain in equity until the conversion option is exercised, in which case the balance recognised in equity will be transferred to share premium.

Where the conversion option remains unexercised at the maturity date of the convertible loan note, the balance recognised in equity will be transferred to retained earnings. No gain or loss is recognised in profit or loss upon conversion or expiration of the conversion option.

Transaction costs that relate to the issue of the convertible loan notes are allocated to the liability and equity components in proportion to the allocation of the gross proceeds. Transaction costs relating to the equity component are recognised directly in equity.

Transaction costs relating to the liability component are included in the carrying amount of the liability component and are amortised over the lives of the convertible loan notes using the effective interest method.

*Financial liabilities at FVTPL*

All financial liabilities are measured subsequently at amortised cost using the effective interest method or at FVTPL.

*Financial liabilities measured subsequently at amortised cost*

Financial liabilities that are not (i) contingent consideration of an acquirer in a business combination, (ii) held-for trading, or (iii) designated as at FVTPL, are measured subsequently at amortised cost using the effective interest method.

**Page 23 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(o) <u>Financial instruments (cont'd)</u> 

*Financial liabilities measured subsequently at amortised cost (cont'd)*

The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments (including all fees and points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial liability, or (where appropriate) a shorter period, to the amortised cost of a financial liability.

*Derecognition of financial liabilities*

The Company derecognises financial liabilities when, and only when, the Company's obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability derecognised and the consideration paid and payable is recognised in the consolidated statement of loss and comprehensive loss.

*Financial instruments categorization*

The Company has classified its financial instruments as follows:

---

| | | |
|:---|:---|:---|
| **Instrument** | **Classification** <br> **/ measurement** | **Fair value** <br> **hierarchy** |
| *Assets* |  |  |
| &nbsp;&nbsp;&nbsp;Restricted cash | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Accounts receivable | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Cash held in trust | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | Amortized cost | N/A |
| *Liabilities* |  |  |
| &nbsp;&nbsp;&nbsp;Accounts and other payables | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Settlement liability | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Contingent consideration payable | FVTPL | Level 3 |
| &nbsp;&nbsp;&nbsp;Lease liability | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Related party advances | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Loans payable | Amortized cost | N/A |
| &nbsp;&nbsp;&nbsp;Convertible debentures | Amortized cost | N/A |

---

(p) <u>Provisions</u> 

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting date, taking into account the risks and uncertainties surrounding the obligation.

**Page 24 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

4. MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)

(p) <u>Provisions (cont'd)</u> 

Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

(q) <u>Convertible debentures</u> 

Convertible debentures are financial instruments which are accounted for separately dependent on the nature of their components: a financial liability and an equity instrument and are considered compound financial instruments. The liability component of a compound financial instrument is recognized initially at the fair value of a similar liability that does not have an equity conversion option. The equity component, which consists of the conversion feature related to the convertible debentures is recognized as the difference between the fair value of the compound financial instrument as a whole and the fair value of the liability component.

Any directly attributable transaction costs are allocated to the liability and equity components in proportion to their initial carrying amounts. Subsequent to initial recognition, the liability component of a compound financial instrument is measured at amortized cost using the effective interest rate method. The equity component of a compound financial instrument is not remeasured subsequent to initial recognition. Upon conversion, the liability component and conversion feature are reclassified to share capital.

5. CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY

In applying the Company's accounting policies, which are described in **Note 4**, the Company is required to make judgements (other than those involving estimations) that have a significant impact on the amounts recognised and to make estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following are the critical judgements, including those involving estimations, that the directors have made in the process of applying the Company's accounting policies and that have the most significant effect on the amounts recognised in the consolidated financial statements.

(a) <u>Income taxes</u> 

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors.

**Page 25 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

5. CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)

(a) <u>Income taxes (cont'd)</u> 

The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities.

Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such differences will affect the tax provisions in the period in which such determination is made.

(b) <u>Digital assets</u> 

There is currently no specific definitive guidance in IFRS or alternative accounting frameworks for the accounting for the mining of digital assets and subsequent measurement of the digital assets held. Management has exercised significant judgment in determining appropriate accounting treatment. Management has determined that revenues should be recognized as the fair value of digital assets received in exchange for mining services on the date that digital assets are received and subsequently measured as an intangible asset.

In the event authoritative guidance is enacted by the IASB, the Company may be required to change its policies which could result in a change in the Company's financial position and earnings.

(c) <u>Revenues from mining of digital assets</u> 

The Company enters into contracts with mining pools and has undertaken the performance obligation of providing computing power to the mining pool in exchange for non-cash consideration in the form of digital assets. Revenue is recognized upon receipt of digital currency in exchange for its mining activities at the fair market value of the digital currency received.

Management considers the prices quoted on a digital currency exchange to be a level 2 input under IFRS 13 Fair Value Measurement. Any difference between the fair value of digital assets recorded upon receipt from mining activities and the actual realized price upon disposal are recorded as a gain or loss on disposition of digital assets.

(d) <u>Going concern</u> 

The Company has made significant judgments about the Company's ability to continue as a going concern. These judgments involve considering the Company's cash flow forecasts, financial position, market conditions, and the availability of financing. Given the volatile nature of the cryptocurrency market and the reliance on both mining and hosting revenues, management regularly assesses the Company's liquidity and capital resources to ensure it can meet its obligations as they fall due. If future cash flows were to differ significantly from those estimates, this could have a material impact on the Company's ability to continue as a going concern.

(e) <u>Valuation of right of use assets and liabilities</u> 

The valuation of right-of-use (ROU) assets and corresponding lease liabilities involves significant estimates, particularly in determining the lease term and the discount rate used to present value future lease payments.

**Page 26 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

5. CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)

(e) <u>Valuation of right of use assets and liabilities (cont'd)</u> 

Management's judgment is required in evaluating whether options to extend or terminate leases are reasonably certain to be exercised, which affects the measurement of lease liabilities.

Additionally, in the absence of an implicit rate in the lease, the Company uses its incremental borrowing rate, which is determined based on the specific circumstances of the lease and the Company's credit risk. Changes in these estimates could significantly impact the carrying amount of ROU assets and lease liabilities.

(f) <u>Valuation of share-based expenses</u> 

The valuation of share-based expenses requires significant judgment and estimation, particularly in determining the fair value of equity instruments granted to employees and directors. The Company uses an appropriate valuation model, such as the Black-Scholes or binomial option pricing model, which requires inputs such as the expected volatility of the Company's share price, the expected life of the options, risk-free interest rates, and expected dividend yields. These inputs are subject to estimation uncertainty, and changes in any of these assumptions could have a material impact on the amount of share-based expenses recognized.

(g) <u>Impairment of non-financial assets</u> 

The Company assesses non-financial assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.

Determining whether an impairment has occurred requires management to estimate the recoverable amount of the assets, which is the higher of fair value less costs of disposal and value in use.

These calculations require significant judgment, particularly in estimating future cash flows, discount rates, and market conditions. Any changes in these estimates could result in material adjustments to the carrying amounts of non-financial assets.

(h) <u>Depreciation and useful lives of property, plant and equipment</u> 

Determining depreciation periods and residual values for property, plant and equipment requires judgment. Management assesses expected physical wear and tear, technical and commercial obsolescence, maintenance programmes, and industry practice. Residual values are estimated with reference to comparable secondary-market transactions and scrap values, where relevant. These estimates are reviewed at each reporting date. A change of one year in average useful life or a 5 % swing in estimated residual value is considered to have a materially affect on depreciation expense in a period under evaluation.

(i) <u>Expected credit losses and provisions</u> 

The Company estimates expected credit losses by applying professional judgement in assessing forward-looking information, including the probability of default, loss rates, and the status of customer relationships. Changes in these assumptions could materially affect the amounts recognized.

**Page 27 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

5. CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)

(i) <u>Expected credit losses and provisions (cont'd)</u> 

Provisions are recognized when obligations from past events are probable and can be reliably measured. The measurement of provisions requires judgement in estimating the timing and amount of future outflows and, where relevant, the selection of discount rates. Given the inherent uncertainty, actual outflows may differ from the Company's best estimate.

6. OPERATING SEGMENTS

In measuring its performance, the Company does not distinguish or group its operations on a geographical or any other basis and accordingly has a single reportable operating segment. Management has applied judgment by aggregating its operating segments into one single reportable segment for disclosure purposes. Such judgment considers the nature of the operations and an expectation of operating segments within a reportable segment with similar long-term economic characteristics.

The Company's Chief Executive Officer is the chief operating decision-maker and regularly reviews the Company's operations and performance on an aggregate basis. The Company does not have any significant customers or any significant groups of customers.

For the fiscal years ended September 30, 2025 and 2024, the Company presents one reportable operating segment as the entirety of the Company's non-current assets are domiciled in Norway and the entirety of the Company's revenue is generated from its operations in Norway.

While non-operating liabilities and equity financing activities are primarily located in North America, this geographic distinction does not alter the conclusion that the Company has a single reportable segment.

7. REVENUE

The Company derives its revenue from contracts with customers for the transfer of services. The provision of digital asset mining services are recognized over time.

The Company's hosting revenue is exclusively derived from two customers in 2024 (2025 – nil). The reliance on these two customers for all hosting revenue creates a concentration risk. Any material change in the business relationship with these customers, including a significant reduction or loss of revenue, could have a material adverse effect on the Company's operating results and cash flows.

**Page 28 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**8.** **DIRECT COSTS** 

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Utilities |  | 10885041 |
| Depreciation of property, plant and equipment |  | 11602852 |
| Remote monitoring and support services |  | 625339 |
| Salaries and wages |  | 186094 |
| Amortization of right-of-use assets |  | 969228 |
| Small equipment rental |  | 117238 |
| Mining operations |  | 1878 |
|  |  | 24387670 |

---

**9.** **ADMINISTRATIVE EXPENSES** 

---

| | |
|:---|:---|
| | Note |
| Legal fees |  |
| Consulting fees |  |
| Professional fees |  |
| Occupancy costs |  |
| Travel |  |
| Subcontracts |  |
| Insurance |  |
| Office and general |  |
| Settlements and penalties | 22(b),24 |

---

**10.** **FINANCE COSTS** 

---

| | |
|:---|:---|
| | Note |
| Interest on loans and other payables | 132122 |
| Bank charges |  |
| Interest on lease liabilities |  |
| Finance income |  |

---

**Page 29 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**11.** **MARKETING EXPENSES** 

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Marketing and promotion |  |  |
| Advertising |  | 25751 |
| Public relations |  |  |
| Other |  | 20436 |
|  |  | 46187 |

---

**12.** **SHARE-BASED EXPENSES** 

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Note | 2025 | 2024 | 2024 |
|  |  |  | $— | $|
| Restricted stock units issued | (a) |  |  | 4137434 |
| Stock options issued | 24(c) |  |  | 741787 |
|  |  |  |  | 4879221 |

---

(a) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion. Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board.

The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

**Page 30 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

---

| | |
|:---|:---|
| **12.** | **SHARE-BASED EXPENSES (CONT'D)** |
| (a) | <u>Restricted stock units (cont'd)</u> |
|  | A continuity of RSUs is as follows: |

---

---

| | | |
|:---|:---|:---|
| | RSUs<br> Granted | RSUs<br> Vested |
|  | # | # |
| September 30, 2023 | 7000000 | 7000000 |
| Issued | 49975200 |  |
| Vested |  | 27950333 |
| Exercised | (22379100) | (22379100) |
| September 30, 2024 | 34596100 | 12571233 |
| Issued | 67880000 |  |
| Vested |  | 51000000 |
| Exercised | (54000000) | (54000000) |
| September 30, 2025 | 48476100 | 9571233 |

---

During the year ended September 30, 2025, share-based compensation expense for the Company's RSUs was $10,200,000 (2024 - $4,531,394). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the underlying equity, with the following weighted-average assumptions:

---

| | | | |
|:---|:---|:---|:---|
| | Apr 30, 2024 | Jun 3, 2024 | Jan 31, 2025 |
| Estimated stock price at time of grant  | $0.26 | $0.26 | $0.20 |
| Number of periods to exercise, in years | 5.00 | 5.00 | 0.67 |
| Compounded risk-free rate | 3.92% | 3.59% | 2.69% |
| Dividend yield | 0.00% | 0.00% | 0.00% |
| Exercise price | $— | $— | $— |
| Volatility | 115% | 115% | 115% |
| Discount for lack of marketability | 16.00% | 16.00% | 12.17% |

---

---

| | | | |
|:---|:---|:---|:---|
| | Feb 10, 2025 | Jun 29, 2025 | Sep 9, 2025 |
| Estimated stock price at time of grant  | $0.20 | $0.20 | $0.40 |
| Number of periods to exercise, in years |  |  |  |
| Compounded risk-free rate | n/a | n/a | n/a |
| Dividend yield | 0.00% | 0.00% | 0.00% |
| Exercise price | $— | $— | $— |
| Volatility | 115% | 115% | 115% |
| Discount for lack of marketability | 0.00% | 0.00% | 0.00% |

---

As at September 30, 2025 a total of 9,571,233 (2024 – 12,571,233) RSUs had vested.

**Page 31 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

13. DIGITAL CURRENCY

The Company holds digital currencies, consisting of Bitcoin cryptocurrency, which are accounted for as intangible assets with an indefinite useful life in accordance with IAS 38. The digital currencies are initially recognized at cost and subsequently measured at fair value.

The Company revalues its digital currencies at the end of each reporting period based on their fair value. The fair value is determined using the quoted price in an active market at the reporting date. Any revaluation gain or loss arising from changes in the fair value is recognized in the consolidated statements of loss and comprehensive loss.

The table below reconciles the opening and ending balances of digital assets in USD:

---

| | |
|:---|:---|
| | Coins |
|  | # |
| Balance, as at September 30, 2023 | 3.66 |
| Cryptocurrency mined, net of pool mining fees | 293.65 |
| Sold | (259.30) |
| Other | —) |
| Realized loss | —) |
| Revaluation gain |  |
| Balance, as at September 30, 2024 | 38.01 |
| Cryptocurrency mined, net of pool mining fees | 256.76 |
| Sold | (275.19) |
| Other<sup>1</sup> | (11.97) |
| Foreign exchange adjustment | —) |
| Realized gain |  |
| Revaluation gain |  |
| Balance, as at September 30, 2025 | 7.61 |

---

<sup>1</sup>In December 2024, a lender paid $917,075 in the form of 9.21 BTC to a supplier on behalf of the Company. In June 2025, the Company repaid the lender $1,254,048 in the form of 11.97 BTC which included interest of $336,973.

14. ACQUISITIONS

(a) <u>Exanorth AS</u> 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth AS, along with various rights to lease real estate property on which Exanorth AS conducted its operations, for aggregate consideration of $12,556,913. The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.1577 to 1.1761 years; and the dividend yield was set at 0%.

**Page 32 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

14. ACQUISITIONS (CONT'D)

(a) <u>Exanorth AS (cont'd)</u> 

Call options on 66% of Exanorth AS were exercised in conjunction with a Share Purchase Agreement and its subsequent amendments dated October 22, 2021 and included transfers of common shares of the Company, deferred cash consideration, settlement of pre-existing loans, and transaction costs, totaling $8,457,415 in aggregate fair market value.

The remaining 34% was acquired by way of execution of a call option on the remaining 102 shares in Exanorth AS on October 29, 2021 which required the Company to pay $2,547,160 prior to February 25, 2022. Considering the short amount of time before execution of the option and the payment of consideration, no discount was applied.

As part of consideration in the acquisition of the 34%, contingent consideration, dependent on future performance of the Company in the public market, was included and presented as a liability. As the contingent consideration would only result in additional cash consideration to be paid in such an event, management concluded that the acquisition of Exanorth AS had completed.

Its fair value was determined to be $1,552,338 based on a third-party valuation report along with management's best estimate of the likelihood of occurrence of said future performance at the reporting date. The contingent consideration was revalued during 2023 to $1,760,547 resulting in a gain of $139,453.

As at September 30, 2025 (2024 – nil), there has been no further change to the fair value of the contingent consideration, as there have been no changes in the underlying circumstances affecting management's previous estimate of fair value.

(b) <u>Bitzero Finland Oy</u> 

On January 23, 2025, the Company purchased 100 shares of Bitzero Finland Oy (formerly Ahold XVIII Oy), domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

15. INCOME TAX

The Company has assessed its tax position as at September 30, 2025, and for the year then ended. Based on this assessment, the Company has determined that there is no income tax expense for the current reporting period.

**Page 33 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

15. INCOME TAX (CONT'D)

The reconciliation of the Canadian statutory income tax rate to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
| Net loss before income taxes | (16548342) | (11278649) |
| Statutory tax rate | 26.5% | 26.5% |
| Statutory income tax recovery | (4385311) | (2988842) |
| Non-deductible expenses |  |  |
| Non-taxable income |  |  |
| Tax loss carry forward | (4385311) | (2988842) |
| Non-recognition of income tax recovery on losses | 4385311 | 2988842 |
| Income tax expense |  |  |

---

The Company performs its income tax reconciliation using the effective income tax rate of the parent, which is 26.5%. The Company's operating subsidiary's effective income tax rate is 22%. A continuity of losses at the parent level is as follows:

---

| | | |
|:---|:---|:---|
| Year of losses | Year of expiry | Amount |
|  |  | $ |
| 2021 | 2041 | 4251671 |
| 2022 | 2042 | 10096810 |
| 2023 | 2043 | 3235798 |
| 2024 | 2044 | 2988842 |
| 2025 | 2045 | 4385311 |
|  |  | 24958432 |

---

The operating subsidiary has tax loss carry-forwards of kr 1,803,481 {$180,635} (2024 - kr 87,657,528 {$8,342,139}) which do not expire so long as the entity continues to operate within the same business as determined by the government authority.

The Company recognizes a valuation allowance in the full amount of the tax loss carry forward as at September 30, 2025 and 2024.

In accordance with IAS 12, Income Taxes, the Company recognizes deferred tax assets only when it is probable that sufficient taxable profit will be available against which the deductible temporary differences and the carry-forward of unused tax credits can be utilized. As of the reporting date, the Company concluded that such criteria were not met. Due to the uncertainty regarding the realization of deferred tax assets in future periods, the Company has not recognized any deferred tax assets in the consolidated financial statements.

**Page 34 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

16. LOSS PER SHARE

---

| |
|:---|
| Basic net loss per share |
| &nbsp;&nbsp;&nbsp;Numerator |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss attributable to shareholders) |
| &nbsp;&nbsp;&nbsp;Denominator |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average common shares outstanding |
| Basic net loss per share attributable to shareholders |
| Diluted net loss per share attributable to shareholders |

---

17. CONSTRUCTION IN PROGRESS

Construction in progress consists of buildings, utilities and other infrastructure which is in the process of being constructed for use in continuing operations. As at and for the year ended September 30, 2025, these assets have not yet been deployed in the active business, and as such have not been amortized.

Refer to **Note 19** for these details.

18. INDIRECT TAXES RECOVERABLE

Indirect taxes recoverable consists of all accounts tracking value-added taxes payable and recoverable

---

| |
|:---|
| VAT recoverable |
| GST/HST recoverable |
| Advance tax withholding |

---

The VAT recoverable was derived from the business operations of Exanorth. The GST/HST recoverable is derived from the portion of sales taxes paid by Bitzero Blockchain Inc. that are eligible for recovery in connection with its role as a management company providing services to the Company during the years ended September 30, 2025 and 2024.

**Page 35 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, unless otherwise noted) | **BLOCKCHAIN INC.** |
|  | **September 30, 2025 and 2024** |

---

**19.** **PROPERTY, PLANT AND EQUIPMENT** 

---

| |
|:---|
| **COST**<br>**Balance, September 30, 2023** |
| Additions *(Note (a))* |
| Translation adjustments and reclassifications |
| **Balance, September 30, 2024** |
| Additions) |
| Translation adjustments |
| **Balance, September 30, 2025** |
| **ACCUMULATED AMORTIZATION** |
| **Balance, September 30, 2023** |
| Additions |
| **Balance, September 30, 2024** |
| Additions |
| Translation adjustments |
| **Balance, September 30, 2025** |
| **ACCUMULATED IMPAIRMENT** |
| **Balance, September 30, 2023** |
| **Balance, September 30, 2024** |
| **Balance, September 30, 2025** |
| **NET BOOK VALUE** |
| **Balance, September 30, 2023** |
| **Balance, September 30, 2024** |
| **Balance, September 30, 2025** |

---

---

| | |
|:---|:---|
| Note (a) | Included in the additions are miners and other assets amounting to $678,138 (2024 - $119,000) received from one of the customers as per the settlement agreement (**Note 23**). |

---

**Page 36 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

20. RIGHT-OF-USE ASSETS

Exanorth AS previously held a right-of-use asset arises from a contract to lease equipment to be deployed and utilized at the data mining center. This right-of-use asset was depreciated using straight-line method from the commencement date of the lease to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term, which is 34 months. This lease was cancelled as part of the settlement agreement with the customer during the period ended September 30, 2025.

The Company's right-of-use assets also includes office leases entered into by Bitzero ND I, LLC and Bitzero ND II, LLC. These office leases are for the North Dakota office space locations which have been leased for a period of 60 months. The lease for Bitzero ND II, LLC was cancelled during the year ended September 30, 2024. The lease for Bitzero ND I LLC was cancelled during the year ended September 30, 2025, resulting in a loss of $113,089.

The following tables summarize the Company's right-of-use assets:

---

| | | | |
|:---|:---|:---|:---|
| *2025* | Opening <br>balance | Additions <br>(dispositions) | Closing <br>balance |
|  |  | $— | $|
| **COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
| **ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
| **NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |

---

**Page 37 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**20.** **RIGHT-OF-USE ASSETS (CONT'D)** 

---

| | | | |
|:---|:---|:---|:---|
| *2024* | Opening <br>balance | Additions <br>(dispositions) | Closing <br>balance |
|  | $ | $ | $ |
| **COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth | 2485297 |  | 2485297 |
| &nbsp;&nbsp;&nbsp;Office space for ND I | 289133 |  | 289133 |
| &nbsp;&nbsp;&nbsp;Office space for ND II | 262632 |  |  |
|  | 3037062 |  | 2774430 |
| **ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth | 808152 |  | 1719554 |
| &nbsp;&nbsp;&nbsp;Office space for ND I | 60391 |  | 118217 |
| &nbsp;&nbsp;&nbsp;Office space for ND II | 61280 |  |  |
|  | 929823 |  | 1837771 |
| **NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth | 1677145 |  | 765743 |
| &nbsp;&nbsp;&nbsp;Office space for ND I | 228742 |  | 170916 |
| &nbsp;&nbsp;&nbsp;Office space for ND II | 201352 |  |  |
|  | 2107239 |  | 936659 |

---

**21.** **RELATED PARTY DISCLOSURES** 

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the years ended September 30, 2025 and 2024, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Total compensation paid to key management |  | 223481 |
| Share-based payments |  | 4879221 |
|  |  | 5102702 |

---

**Page 38 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**21.** **RELATED PARTY DISCLOSURES (CONT'D)** 

(a) <u>Key management personnel transactions (cont'd)</u> 

As of September 30, 2025 and 2024, amounts due to related parties consisted of the following:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Balances included in accounts and other payables |  | 213119 |
| Related party advances |  | 66950 |
| Convertible debentures |  | 1364013 |

---

The balances are unsecured, due on demand and bear no interest, unless otherwise disclosed.

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually. The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") of the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the year end.

During the year-ended September 30, 2025, interest expense of $204,208 (2024 - $183,156) was recorded on this balance.

**Page 39 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**22.** **BORROWINGS AND PAYABLES** 

(a) <u>Accounts and other payables</u> 

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
|  | $ | $ |
| Trade payable | 4818584 | 6312889 |
| Accrued liabilities | 2456989 | 578127 |
| Wages and remittances payable | 34128 | 16540 |
| Settlement amount due, current portion | 1222364 | 770630 |
| Settlement amount due, non-current portion | 1641501 | 3038387 |

---

The Company entered into a settlement agreement with a customer, for hosting services, relating to deposits received in advance amounting to $5.1 million approximately. The deposit related to increase in megawatt supply and related services. The Company has paid $500,000 in March 2025, $561,680 upon receipt of deposits from the Company's energy provider, and the remaining amount in 27 monthly installments of $150,000 until July 2027; the impact of discounting amounting to $1,252,663 (2025 – nil) is presented in statement of loss and comprehensive loss as a separate line item (see **Note 23** for other terms of settlement).

During the fiscal year ended September 30, 2025, the settlement amount was recalculated based on the revised repayment schedule, resulting in an impact of $44,469, which is included in the '(Gain) loss on contract settlement' line in the statement of loss and comprehensive loss.

The undiscounted payment schedule, discounted value, and segregation between current and non-current portions of the settlement amount are as follows:

---

| | |
|:---|:---|
| Year | Amount |
|  | $ |
| &nbsp;&nbsp;&nbsp;2026 | 1800000 |
| &nbsp;&nbsp;&nbsp;2027 | 1450000 |
| &nbsp;&nbsp;&nbsp;2028 | 590688 |
| Settlement value, undiscounted | 3840688 |
| Discount rate | 20% |
| Settlement value, discounted | 2863865 |
| Current portion | 1222364 |
| Non-current portion | 1641501 |

---

**Page 40 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

22. BORROWINGS AND PAYABLES (CONT'D)

(b) <u>Lease liabilities</u> 

The Company has entered into several lease agreements in accordance with IFRS 16, Leases, pertaining to its right-of-use assets (**Note 20**). As of September 30, 2025, the liabilities arising from these leases were assessed as follows:

---

| |
|:---|
| Opening aggregate lease liability |
| Cancellations) |
| Interest |
| Repaid during the year |
| Closing aggregate lease liability |
| Current portion |
| Non-current portion |

---

The weighted average incremental rates during the year ended September 30, 2025 is 15% (2024 – 15%) per annum. In November 2024, a gain of $65,628 was recorded on the cancellation of a lease. Additionally, in March 2025, a gain of $1,900,788 was recorded on the cancellation of a separate lease.

(c) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

An additional delayed draw facility of up to $8,240,000 is available at the lenders' discretion; lenders are not obligated to fund any delayed draw, and any advance, if elected by the lenders, is subject to (i) timely delivery of a borrowing notice, (ii) the total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

In connection with the financing and subsequent to the year end, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 units (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

**Page 41 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**22.** **BORROWINGS AND PAYABLES (CONT'D)** 

(c) <u>Senior secured loan (cont'd)</u> 

The loan agreement requires the Company to maintain, at all times, a minimum cash balance of $2,000,000 in one or more bank accounts that are subject to account control arrangements specified by the lenders. At the reporting date, the Company held $2,000,000 as cash in trust to satisfy this covenant. This amount is shown as restricted cash on the statement of financial position and is not available for general corporate purposes because its use would cause a breach of the covenant. No portion of the required minimum balance was held in Bitcoin at the reporting date. The requirement to maintain this balance will continue for so long as the loan remains outstanding or until the covenant is amended or waived.

The loan is secured by a pledge of the $2,000,000 cash minimum in a lender controlled deposit account, account control agreements over specified deposit accounts, a blanket first priority lien on substantially all assets of the Company and certain subsidiaries, first priority pledges of 100 percent of the equity interests in Exanorth AS and Zetanorth AS, first priority fixed charges over Exanorth AS assets including a mortgage over real estate in Namsskogan, Norway, and a mortgage over North Dakota real estate owned by Bitzero ND I, LLC.

---

| |
|:---|
| Balance, September 30, 2024 |
| Proceeds |
| Interest |
| Accretion |
| Principal repayment |
| Interest payments |
| Balance, September 30, 2025 |
| Current portion |
| Non-current portion |

---

---

| | |
|:---|:---|
| | Amount |
|  | $ |
| Loan balance, undiscounted, September 30, 2024 |  |
| Additions | 17510000 |
| Payments |  |
| Loan balance, undiscounted, September 30, 2025 | 17510000 |
| &nbsp;&nbsp;&nbsp;2026 | 2100000 |
| &nbsp;&nbsp;&nbsp;2027 | 4200000 |
| &nbsp;&nbsp;&nbsp;2028 | 11210000 |
| Loan balance, undiscounted, September 30, 2025 | 17510000 |

---

**Page 42 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

23. ACCOUNTS RECEIVABLE

In March 2025, Exanorth entered into a settlement agreement with a customer, as described in **Note 22(a)**. Under this agreement, an amount of $3,064,555, corresponding to the invoiced amounts excluded VAT, was written off as a provision for settlement in fiscal 2024. As part of the terms of the settlement, Exanorth received equipment valued at $678,138 in March 2025.

The remaining balance of $831,187, relating to VAT previously charged, was recognized as a receivable as at September 30, 2024, and was fully collected by September 30, 2025.

For the year ended September 30, 2025, the Company recognized trade receivables of $993,579. Included in trade receivables was $766,857, of which $613,486 was recognized in change in provision for uncollectible receivables.

---

| |
|:---|
| Total outstanding invoiced balance (incl. VAT) |
| Allocated to mining assets and VAT recoverable) |
| Loss on settlement) |
| Provision for settlement |
| Balance as at September 30, 2024 |
| Receipt of equipment) |
| Collection of VAT receivable) |
| Trade receivable |
| Provision for uncollectible receivables |
| Balance as at September 30, 2025 |

---

**Page 43 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

24. EQUITY

(a) <u>Authorized share capital</u> 

The Company is authorized to issue an unlimited number of common shares, with no par values.

---

| | | |
|:---|:---|:---|
| Share issuances | Shares | Share capital |
|  | # | $|
| Balance as at September 30, 2023 | 309582563 | 76931052 |
| June 4, 2024 | 7000000 | 1160853 |
| September 6, 2024 | 1000000 | 200000 |
| September 11, 2024 |  |  |
| September 12, 2024 | 15379100 | 3370541 |
|  | 23379100 | 4731394 |
| Balance as at September 30, 2024 | 332961663 | 81662446 |
| September 11, 2024 | 12500000 | 2500000 |
| September 19, 2024 | 1500000 | 300000 |
| September 24, 2024 | 500000 | 100000 |
| October 02, 2024 | 3000000 | 657490 |
| October 17, 2024 | 1250000 | 250000 |
| October 21, 2024 | 3500000 | 700000 |
| November 28, 2024 | 265000 | 53000 |
| December 11, 2024 | 2750000 | 550000 |
| December 16, 2024 | 1500000 | 300000 |
| February 12, 2025 | 10000000 | 2000000 |
| February 14, 2025 | 22500000 | 4500000 |
| February 20, 2025 | 500000 | 100000 |
| April 01, 2025 | 1983602 | 794335 |
| July 03, 2025 | 2000000 | 400000 |
| July 28, 2025 | 63908 | 38345 |
| July 29, 2025 | 28500000 | 5700000 |
| August 11, 2025 | 544245 | 217698 |
| August 12, 2025 | 252068 | 100827 |
| August 21, 2025 | 225437 | 90175 |
|  | 93334260 | 19351870 |
| Balance as at September 30, 2025 | 426295923 | 101014316 |

---

(b) <u>Issued and outstanding share capital</u> 

During the year ended September 30, 2025, the Company issued 93,334,260 new shares (2024 – 23,379,100), increasing its share capital by $19,351,870 (2024 - $4,731,394).

**Page 44 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**24.** **EQUITY (CONT'D)** 

(b) <u>Issued and outstanding share capital (cont'd)</u> 

Details regarding the 2025 shares issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| Subscriptions | 36536750 |  |  |  | 7511700 |
| Exercise of RSUs | 54000000 |  |  |  | 10857490 |
| Advisory shares | 750000 |  |  |  | 150000 |
| Exercise of options | 1983602 |  |  |  | 794335 |
| Legal settlement | 63908 |  |  |  | 38345 |
|  | 93334260 |  |  |  | 19351870 |

---

(c) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

A summary of the stock options is as follows:

---

| | | |
|:---|:---|:---|
| | Number | Weighted- <br> average exercise <br>price |
|  | # | $ |
| Balance, September 30, 2023 | 31558255 | 0.28 |
| Granted, July 7, 2024 | 500000 | 0.20 |
| Cancelled | (20994320) | 0.34 |
| Balance, September 30, 2024 | 11063935 | 0.16 |
| Exercised | (1983602) | 0.05 |
| Balance, September 30, 2025 | 9080333 | 0.19 |
| Exercisable | 8580333 | 0.19 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | | Weighted- | Weighted- |
| 2024 | Options | average exercise | average |
| Vesting Conditions | outstanding | price | remaining life |
|  | # | $ | $ |
| Immediately | 4113935 | 0.05 | 1.60 |
| 1/3 per year from grant date | 3050000 | 0.05 | 1.60 |
| Immediately | 1700000 | 0.40 | 2.78 |
| Immediately | 1500000 | 0.40 | 2.43 |
| Immediately | 200000 | 0.40 | 2.50 |
| Subsidiary reaches revenue of EUR 4 million | 500000 | 0.20 | 4.69 |
| Outstanding, September 30, 2024 | 11063935 | 0.16 | 2.05 |
| Exercisable, September 30, 2024 | 10563935 | 0.16 | 1.93 |

---

**Page 45 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**24.** **EQUITY (CONT'D)** 

(c) <u>Options (cont'd)</u> 

---

| | | | |
|:---|:---|:---|:---|
|  | | Weighted- | Weighted- |
| 2025 <br>Vesting Conditions | Options <br>outstanding | average exercise <br>price | average <br>remaining life |
|  | # | $ | $ |
| Immediately | 5530333 | 0.27 | 1.47 |
| 1/3 per year from grant date | 3050000 | 0.05 | 0.85 |
| Subsidiary reaches revenue of EUR 4 million | 500000 | 0.20 | 3.94 |
| Outstanding, September 30, 2025 | 9080333 | 0.19 | 1.40 |
| Exercisable, September 30, 2025 | 8580333 | 0.19 | 1.25 |

---

**25.** **CONTINGENT LIABILITIES** 

In addition to the matter outlined in **Note 21**, the Company is involved in the following legal proceedings.

The Company filed a lawsuit against its former CEO, for employment-related matters. The Company seeks to cancel the issuance of shares and other equity instruments in the Company. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

On February 7, 2024, a lawsuit was filed in North Dakota against the Company alleging breach of an unsigned employment contract, with claims totaling $1,258,567 plus interest and costs. The Company is contesting the matter, and the outcome cannot presently be determined.

On May 14, 2025, a construction lien dispute was filed in North Dakota seeking $131,545 for work performed prior to the Company's property acquisition. The claim has since been settled, pursuant to an agreement signed on October 29, 2025. For further details, refer to **Note 28(e)**.

Management has concluded that the outcome of these proceedings, with the exception of the matter settled on October 29, 2025, cannot be determined and no provisions have been recorded.

**26.** **FINANCIAL INSTRUMENTS** 

(a) <u>Classes and categories of financial instruments and their fair values</u> 

The following table combines information about: (i) Classes of financial instruments based on their nature and characteristics, (ii) The carrying amounts of financial instruments, (iii) Fair values of financial instruments, and (iv) Fair value hierarchy levels of financial assets and financial liabilities for which fair value was disclosed.

**Page 46 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**26.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(a) <u>Classes and categories of financial instruments and their fair values (cont'd)</u> 

Fair value hierarchy levels 1 to 3 are based on the degree to which the fair value is observable: (i) Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities, (ii) Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices), and (iii) Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

*Financial assets*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  | FVTPL - <br>mandatorily | | FVOCI - | Amortized |
| *2025* | Level | measured | FVOCI | designated | cost |
|  |  | $ | $ | $ | $ |
| Restricted cash | N/A |  |  |  | 2000000 |
| Accounts receivable | N/A |  |  |  | 380093 |
| Cash held in trust | N/A |  |  |  | 2973500 |
| Cash and cash equivalents | N/A |  |  |  | 2501986 |
|  |  |  |  |  | 7855579 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  | FVTPL - <br>mandatorily | | FVOCI - | Amortized |
| *2024* | Level | measured | FVOCI | designated | cost |
|  |  | $ | $ | $ | $ |
| Accounts receivable | N/A |  |  |  | 1509325 |
| Cash and cash equivalents | N/A |  |  |  | 687226 |
|  |  |  |  |  | 2196551 |

---

*Financial liabilities*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  | FVTPL - | FVTPL - <br>mandatorily | Amortized |
| *2025* | Level | designated | measured | cost |
|  | # | $ | $ | $ |
| Accounts and other payables | N/A |  |  | 7309701 |
| Settlement liability | N/A |  |  | 2863865 |
| Contingent consideration payable | Level 3 |  | 1760547 |  |
| Lease liability | N/A |  |  |  |
| Related party advances | N/A |  |  | 150794 |
| Loans payable | N/A |  |  | 16236880 |
| Convertible debentures | N/A |  |  | 1568220 |
|  |  |  | 1760547 | 28129460 |

---

**Page 47 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

**26.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(a) <u>Classes and categories of financial instruments and their fair values (cont'd)</u> 

*Financial liabilities (cont'd)*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| *2024* | Level | FVTPL - <br> designated | FVTPL - <br> mandatorily <br> measured | Amortized <br> cost | Amortized <br> cost |
|  | # |  | $— | $— | $|
| Accounts and other payables | N/A |  |  |  | 6907556 |
| Settlement liability | N/A |  |  |  | 3809017 |
| Contingent consideration payable | Level 3 |  |  |  |  |
| Lease liability | N/A |  |  |  | 2117539 |
| Related party advances | N/A |  |  |  | 66950 |
| Convertible debentures | N/A |  |  |  | 1364013 |
|  |  |  |  |  | 14265075 |

---

(b) <u>Transfers</u> 

There were no transfers between Level 1, 2 and 3 during the current or prior year.

(c) <u>Financial risk management</u> 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low.

*Risk management framework*

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework. The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

*Liquidity risk*

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

**Page 48 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

26. FINANCIAL INSTRUMENTS (CONT'D)

(c) <u>Financial risk management (cont'd)</u> 

*Liquidity risk (cont'd)*

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk is $29,890,007 as at September 30, 2025 (2024 – $16,025,622), for which the Company has cash of $5,475,486 on hand to satisfy its liabilities (2024 – $687,226). There have been no changes to the method for managing liquidity risk.

*Credit risk*

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. Allowance for doubtful accounts of $613,486 was recorded in 2025 (2024 - $nil) (see **Note 23**).

Cash and cash equivalents and restricted cash are held with reputable financial institutions. Counterparty exposure is monitored and considered low. Cash held in trust represents amounts held with the Company's lawyers which is restricted as per the loan agreement and are current in nature. Digital currencies are not financial assets and are outside expected credit loss measurement. Credit exposure is considered low as the Company extracts digital currencies from its mining pool on a daily basis. Prepaids and deposits consist of advances to vendors and refundable deposits. Counterparties are assessed and monitored, and no loss allowance has been recognized.

*Market risk*

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk*

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency. Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate and as when required. The effectiveness of these hedging instruments is assessed regularly. However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

**Page 49 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

26. FINANCIAL INSTRUMENTS (CONT'D)

(c) <u>Financial risk management (cont'd)</u> 

*Interest rate risk*

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk*

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk*

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk*

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held. To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

**Page 50 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

26. FINANCIAL INSTRUMENTS (CONT'D)

(c) <u>Financial risk management (cont'd)</u> 

*Loss of access risk (cont'd)*

Management reviews recoverability regularly. As of September 30, 2025, 7.61 Bitcoin equivalent to $753,211 is held in private wallets (September 30, 2024 – 38.01 Bitcoin equivalent to $2,490,936)(**Note 13**).

27. CAPITAL MANAGEMENT

The Company defines capital as its equity. The Company's objective when managing capital is: (i) to safeguard the ability to continue as a going concern so that it can continue to provide returns to shareholders and benefits to other stakeholders; and (ii) to provide an adequate return to shareholders by obtaining an appropriate amount of financing commensurate with the level of risk. The Company sets the amount of capital in proportion to the risk. The Company manages its capital structure and adjusts in light of the changes in economic conditions and the characteristic risk of underlying assets.

To maintain or adjust the capital structure, the Company may repurchase shares, return capital to shareholders, issue new shares, or sell assets to reduce debt. The Company is not subject to any externally imposed capital requirements. The Company's objective is met by retaining adequate liquidity to provide for the possibility that cash flows from assets will not be sufficient to meet operational, investing, and financing requirements. There have been no changes to the Company's capital management policies during the year ended September 30, 2025 and 2024.

28. SUBSEQUENT EVENTS

(a) <u>Private placements</u> 

In October 2025, the Company closed brokered private placements totaling 2,937,500 units for gross proceeds of $1,175,000. Each unit comprises one convertible debenture and one common share purchase warrant. The convertible debentures bear interest at 15 percent per annum from issuance to the earlier of holder-elected conversion or three years from the date of issuance and are convertible into one common share at $0.40 per share. Each warrant entitles the holder to acquire one common share at an exercise price of $0.50 per share for two years from the date of issuance.

Subsequent to year end, the Company closed a brokered private placement totaling 3,750,000 units for gross proceeds of $1,500,000. Each unit comprises one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of $0.40 per share for 2 years from the date of issuance.

(b) <u>Issuance of RSUs</u> 

In October 2025, the Company granted 1,000,000 RSUs at a stated price of $0.40 per unit, with each unit being convertible into one common share upon exercise by the holder. The RSUs vested upon completion of the reverse takeover of the Company.

**Page 51 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

28. SUBSEQUENT EVENTS (CONT'D)

(c) <u>Issuance of convertible debt</u> 

In October 2025, the Company issued convertible debentures for gross proceeds totalling $2,853,990. The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

(d) <u>Contingent consideration</u> 

Subsequent to the reporting date, there have been no changes to status of the settlement with a shareholder. The contingent consideration described in **Note 14** remains outstanding, the SPA has not been executed, the kr 2,000,000 ($190,335) cash payment has not been made, and the transfer of KlimaCloud shares has not occurred.

(e) <u>Settlement of claims</u> 

Subsequent to period end, on October 29, 2025, Bitzero entered into a settlement agreement resolving the construction lien dispute filed on May 14, 2025 in North Dakota (**Note 25**). Under the settlement, Bitzero is obligated to pay $110,000, which represents full and final settlement of the claim.

(f) <u>Senior secured loan – subsequent draw</u> 

Subsequent to the year end, the Company drew the second tranche under the senior secured loan and guaranty agreement entered into in June 2025. The Company received gross proceeds of $8,245,000 (the delayed draw facility), less applicable original issue discount and fees, in accordance with the loan agreement terms.

(g) <u>Go-public transaction</u> 

In November 2025, Bitzero completed a go-public transaction in Canada structured as a triangular amalgamation under the Business Corporations Act (British Columbia) with WBM Capital Corp. ("WBM") and its wholly owned subsidiary, 1555476 B.C. Ltd ("Subco"), pursuant to an amalgamation agreement dated November 3, 2025. Under the Amalgamation Agreement, Bitzero amalgamated with 1555476 B.C. Ltd. to form a new corporation that became a wholly owned subsidiary of WBM.

All issued and outstanding Bitzero common and non-voting shares were exchanged for fully-paid and non-assessable WBM common and non-voting shares on the basis of ten Bitzero shares for one WBM share. Outstanding Bitzero options, RSUs and warrants were adjusted to provide rights to acquire WBM common shares in accordance with their terms.

As control of the combined entity resides with the former owners of Bitzero, the transaction is accounted for as a reverse acquisition with Bitzero as the accounting acquirer and WBM as the accounting acquiree. The transaction will be accounted for in accordance with IFRS 2, with any excess of the fair value of the deemed consideration over the fair value of WBM's identifiable net assets recognized as a listing expense in profit or loss in the period of closing.

**Page 52 of 53**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **BITZERO** |
| (Expressed in United States Dollars, | **BLOCKCHAIN INC.** |
| **unless otherwise noted)** | **September 30, 2025 and 2024** |

---

28. SUBSEQUENT EVENTS (CONT'D)

(g) <u>Go-public transaction (cont'd)</u> 

On November 24, 2025, Bitzero's common shares began trading on the Canadian Securities Exchange under the ticker "BITZ.U".

**Page 53 of 53**

## Exhibit 99.77

**Exhibit 99.77**

**BITZERO BLOCKCHAIN INC.**

Management's Discussion and Analysis

For the year ended September 30, 2025

*(expressed in United States Dollars, unless otherwise stated)*

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**1.** **MANAGEMENT'S DISCUSSION AND ANALYSIS** 

This Management's Discussion and Analysis (this "MD&A") provides a review of the results of operations, financial condition and cash flows for Bitzero Blockchain Inc. ("Bitzero" or the "Company"), on a consolidated basis, for year ended September 30, 2025.

This document should be read in conjunction with the information contained in the Company's audited consolidated financial statements and related notes for the year ended September 30, 2025 (the "2025 Annual Financial Statements"), which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Unless otherwise indicated, all dollar ("$") and "USD" amounts and references in this MD&A are in United States dollars.

Unless otherwise stated, in preparing this MD&A the Company has taken into account information available to it up to the date of this MD&A, January 28, 2026, being the date the Company's board of directors (the "Board") approved this MD&A and the corresponding financial statements. All quarterly information contained herein is unaudited.

This MD&A was written to comply with the requirements of National Instrument 51-102 – Continuous Disclosure Obligations. This MD&A contains information up to and including January 28, 2026.

**2.** **CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION** 

This MD&A contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to our objectives and the strategies to achieve these objectives, expected hashrate growth and fleet efficiency; anticipated expansion of capacity at the Norwegian facility; expected economies of hosting arrangements; liquidity and capital resources; the impact of the April 2028 Bitcoin halving on mining economics; and the timing and magnitude of planned equipment purchases, as well as information with respect to our beliefs, plans, expectations, anticipations, estimates and intentions. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that infer actions, events or results with terminology such as "may", "could", "would", "might", "will be taken", "occur" or "be achieved".

Forward-looking information is provided for the purposes of assisting the reader in understanding the Company and its business, operations, prospects and risks at a point in time in the context of historical and possible future developments and, therefore, the reader is cautioned that such information may not be appropriate for other purposes.

Forward-looking information is based upon numerous assumptions and is subject to a number of known and unknown risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, the risk factors that are discussed in greater detail under "Risk Factors and Uncertainties".

Although the forward-looking information contained herein is based upon what we believe are reasonable assumptions, readers are cautioned against placing undue reliance on this information since actual results may vary from the forward-looking information. Certain assumptions were made in preparing the forward-looking information concerning availability of capital resources, business performance, market conditions, and customer demand.

Page **2** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**2.** **CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION (CONT'D)** 

Forward looking information is based on the following material factors and assumptions: (i) average BTC prices and transaction fees within management's planning ranges; (ii) network difficulty consistent with recent trends; (iii) stable access to competitively priced hydroelectric power and grid availability in NO4; (iv) fleet uptime and curtailment consistent with historical performance and grid flexibility agreements; (v) the availability of mining equipment on disclosed timelines and budget; (vi) hosting customer demand and adherence to contractual terms. Actual results may differ materially due to risks and uncertainties described under "Risk Factors and Uncertainties".

Consequently, all of the forward-looking information contained herein is qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation.

Forward-looking information is subject to the risks and uncertainties described under "Risk Factors and Uncertainties" in this MD&A. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained herein is provided as of the date hereof, and we do not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.

**3.** **OVERVIEW AND SIGNIFICANT EVENTS** 

(a) <u>General information</u> 

Bitzero Blockchain Inc. (the "Company" or "Bitzero"), was incorporated under the laws of the Province of British Columbia on April 16, 2021. The Company's registered office is located at 925-1000 Cathedral Place, West Georgia Street, Vancouver, British Columbia V6C 3L2 Canada.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of the bitcoin ("Bitcoin"). The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity controlled by Bitzero Blockchain Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

(b) <u>Basis of consolidated reporting</u> 

The consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee. Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity. The accounting policies of subsidiaries are the same as those of the Company.

Page **3** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **3.** | **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** | **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** | **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** |  |
| (b) | <u>Basis of consolidated reporting (cont'd)</u> | <u>Basis of consolidated reporting (cont'd)</u> |  |  |
|  | &nbsp;&nbsp;Subsidiary | &nbsp;&nbsp;Ownership at | &nbsp;&nbsp;Ownership at | &nbsp;&nbsp;Country of |
|  |  | &nbsp;&nbsp;30-Sep-25 | &nbsp;&nbsp;30-Sep-24 | &nbsp;&nbsp;incorporation |
|  | &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
|  | &nbsp;&nbsp;Bitzero Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
|  | &nbsp;&nbsp;Bitzero ND I | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
|  | &nbsp;&nbsp;Bitzero ND II | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
|  | &nbsp;&nbsp;Zetanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Norway |
|  | &nbsp;&nbsp;Bitzero Finland Oy | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Finland |

---

(c) <u>Description of the business</u> 

Data centers are physical facilities that are used to house computer systems and associated components, IT infrastructure, critical applications, and data for applications and services. Data centers can be used for a variety of purposes and support the needs of large-scale applications, including but not limited to Bitcoin mining, cloud computing, web hosting, processing large data sets, providing the foundation for artificial intelligence, machine learning, and more. Data center designs are based on computing and networking solutions and include components such as routers, switches, firewalls, storage systems, and more.

Bitcoin mining is the process by which new Bitcoins are created and transactions are verified and added to the public ledger known as the Bitcoin Blockchain (the "Blockchain"). Mining is conducted by miners using hardware and software to generate a cryptographic number that is equal to or less than a number set by the Bitcoin network's algorithm. Bitcoin self-mining refers to the process by which a miner validates Bitcoin transactions and adds them to the Blockchain ledger without relying on a trusted third party.

"Hashrate" is a measure of the computational power used in the mining process of cryptocurrencies, it indicates how many hash functions a miner can perform per second. Generally, the higher the Hashrate, the more attempts a miner can make to add new blocks to the Blockchain. Bitcoin Hashrates are generally measured through exahashes per second (EH/S); one exahash equals 1018 hashes, which means EH/S indicates how many quintillion hash calculations can be performed in one second. EH/S represent high levels of computational power associated with large-scale mining operations or data centers.

Data center hosting is a service where companies and organizations store and manage their IT infrastructure in third-party data centers, enabling them to use the same the services, features, and capabilities of a data center without building their own infrastructure. Data center hosting comes in various forms, including the following: (i) dedicated hosting: a client rents an entire server, giving them full control over its resources; (ii) shared hosting: multiple clients share the same server and its resources, making it more cost-effective but with limited control; (iii) virtual private server hosting: a server is divided into multiple servers, offering more control and resources than shared hosting; and (iv) cloud hosting: resources are distributed across multiple servers, allowing for scalability and flexibility.

Bitzero was created to disrupt and innovate in the Blockchain and data center spaces to move markets away from unsustainable data and mining practices. It is engaged in the development and operation of data centers and related energy infrastructure, Bitcoin self-mining, and high performance computing ("HPC") hosting.

Page **4** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(c) <u>Description of the business (cont'd)</u> 

Bitzero's primary objective is to address the increasing demand for IT energy infrastructure driven by the growth of Blockchain technology and other HPC applications by leveraging advanced technology and energy-efficient solutions. By creating harmony with local authorities, investors, and customers, Bitzero aims to become a leader in Blockchain mining and HPC hosting in a sustainable fashion and set a new global standard for best practices in clean energy sourcing, heat capture, and sustainability within local communities.

The Company's strategic objective is to become a leader in sustainable blockchain mining and high-performance computing hosting, leveraging advanced technology and energy-efficient solutions.

(d) <u>Products and services</u> 

On February 21, 2024, Exanorth entered into a flexibility services agreement (the "Flexibility Services Agreement") in connection with its First Norway Property. Through the Flexibility Services Agreement, Exanorth adjusts energy usage at the First Norway Property to stabilize the power grid. When Exanorth engages in stabilization efforts, it is compensated under the terms of the Flexibility Services Agreement while also supporting sustainability.

The First Norway Property provides Bitzero with an advantageous location for cryptocurrency mining for the following key reasons: (i) Norway is committed to large scale expansion of data center businesses; (ii) low temperatures reduce server cooling costs, significantly lowering the dependency on excessive energy use; (iii) clean outside air limits the maintenance required to keep machines in working condition; (iv) the First Norway Property is located next to the local power grid which supplies energy to the Data Center located in Norway. Since the grid is so close to the First Norway Property, the grid fee is low, and energy produced is conserved; (v) fast and reliable internet connection enables dependable communications; and (vi) hydropower accounts for 90% of Norwegian electricity production, which is considered to be the cheapest source of renewable energy.

The First Norway Property has approximately 320MW total capacity. 40MW of active capacity at the First Norway Property is being used by the Data Center in Norway, and the remaining capacity is expected to be activated through development and grid updates in two phases. Exanorth intends to expand active capacity at the First Norway Property over the coming months and has approval to support expansion of 70MW, adding up to a total of 110MW in phase 1, with a subsequent phase expected to add 210MW, bringing total active capacity to 320MW upon completion.

In August 2024, Exanorth received approval from the Norwegian Water Resources and Energy Directorate to operate as a utility, which means that Exanorth can control the First Norway Property's own electrical supply, and energy distribution and grid costs.

The Data Center is located on the First Norway Property. Currently, the Data Center operates as Bitzero's self-mining revenue-generating operations and is the focal point of Bitzero's operations.

Page **5** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(d) <u>Products and services (cont'd)</u> 

All the Bitcoin that is self-mined at the Data Center is rewarded from the Luxor Mining Pool (as defined above) and owned by the Barbadian Subsidiary.

ND I, LLC acquired a property located at 81<sup>st</sup> Street, Nekoma, County of Cavelier, and State of North Dakota (the "North Dakota Property") in July 2022 pursuant to an agreement with Cavelier County Job Development Authority dated July 18, 2022 (the "North Dakota Property Purchase Agreement"). The North Dakota Property is over 184 acres and benefits from a diversified energy mix including wind, natural gas, and grid sources, ensuring reliability and efficiency.

The North Dakota Property has total capacity of approximately 200MW-300MW. Currently, there is 2.5MW of active capacity that is immediately available but not currently being used, and further inactive capacity that can be accessed once studies are conducted, facilities are built, and investments in system upgrades are made. Additionally, on the North Dakota Property, there is an 80,000-gallon diesel tank and additional liquid storage tank, which can provide large-scale back-up power supplies, enabling the North Dakota Property to operate independently of other electrical suppliers.

The North Dakota Property houses a currently non-operational data center (the "Nekoma Pyramid"). The Nekoma Pyramid was initially built in the late 1960s with initial commissioning occurring in 1975 during the cold war. It consequently has desirable security characteristics well suited for storing highly sensitive information.

The Nekoma Pyramid's special features and competitive advantages are summarized as follows: (i) Potential to offer customers an extremely high level of physical security due to its original design as a government defense installation, making it useful for clients with strict requirements in the areas of data protection and physical security; (ii) Fully reinforced concrete and steel, designed to protect building contents; and (iii) There are redundant power feeds available, which are built to work into the redundant power systems in datacenters and ensure that power gets delivered to all functional server components and acts as physical power supplies sample space for onsite generation and fuel storage.

ND I, LLC and Bitzero are in the process of developing the North Dakota Property and planning the use of the Nekoma Pyramid for their operations. On August 1, 2024, ND I, LLC entered into an agency agreement with Cushman & Wakefield U.S., Inc. (the C&W Agency Agreement"). Pursuant to the C&W Agency Agreement, the North Dakota Property may be sold or leased to a third-party, or ND I, LLC may retain the North Dakota Property for its own use.

Another central component of Bitzero's business model is Bitcoin mining. Bitzero is focused on Bitcoin mining because it is the most efficient way for Bitzero to convert energy into sustainable cash flows. This method is predictable, straightforward to manage, and not excessively capital-intensive, with relatively low upfront costs. It involves directly converting energy into cash flows through capital expenditure and infrastructural projects. Currently, all of Bitzero's Bitcoin mining operations are conducted at the Data Center. Bitzero and its subsidiaries do not mine any other cryptocurrency assets. On December 15, 2021, the Barbadian Subsidiary entered into a data services agreement with Exanorth (the "Barbadian-Exanorth Data Services Agreement"). Pursuant to the Barbadian-Exanorth Data Services Agreement, all Bitcoin that is self-mined at the Data Center is owned by the Barbadian Subsidiary.

Page **6** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(d) <u>Products and services (cont'd)</u> 

The process by which cryptocurrency coins or tokens are created and transactions are verified is called mining. A user or miner operates a publicly distributed mining client, which turns the user's computer into a "node" on the network that validates blocks. In order to add blocks to the Bitcoin Blockchain, a miner must map an input data set (i.e., the Blockchain plus a block of the most recent transactions and an arbitrary number called a "nonce") to a desired output data set of a predetermined length using an algorithm. As more miners join the network and its processing power increases, the network adjusts the complexity of the block solving equation to maintain a pace of adding a new block to the Blockchain approximately every 10 minutes. Below is further disclosure on the specific steps taken in Bitcoin mining operations, including how Bitzero currently engages in Bitcoin mining.

Bitcoin miners must first secure land with allocated energy resources, typically measured in MW. After that, the Bitcoin mining site must be prepared for site construction. At the Data Center, substantiation construction took place which required building a 40MW substation to convert high-voltage grid power to low voltage. The necessary electrical cabling was installed and then contracts with the local energy grid providers were entered into to secure fixed energy prices for 5 years. On January 1, 2023, Exanorth and an energy provider entered into two power delivery agreement (the "Energy Provider Power Agreement"), whereby the energy provider provides physical power delivery and additional services to the First Norway Property. All electricity and power supplied to the Data Center is through the energy provider through the Energy Provider Power Agreement.

Bitcoin mining containers are used so that owners and investors can move mining rigs easily. In essence, Bitcoin mining containers are shipping containers equipped with the necessary components to conduct mining operations, including power supply units, cooling systems, security measures, and fire suppression systems. Each Bitcoin mining container houses several mining computers in racks, consuming approximately 1MW of power each. The number of mining units per container varies (typically between 200 and 312), depending on the equipment. The containers include racks for miners, power distribution units (PDUs), cooling systems to maintain optimal temperatures, and fire suppression systems.

Every 10 minutes, a new block is added to the Blockchain ledger by all the mining computing power existing in the world, comprising approximately 4,500 Bitcoin transactions. Every 10 minutes, the global Bitcoin network rewards miners with 3.125 Bitcoins. This results in a total daily reward of 450 Bitcoins for all miners combined. This reward amount halves approximately every four years (once the right block height is reached). The Bitcoin reward per unit of mining equipment is predictable at the time of purchase but varies over time based on market share. For example, if there are 9 equally powerful mining units globally and Bitzero adds one more, Bitzero would receive 10% of the daily 450 Bitcoin reward. Currently, the total network computing power is over 800 exahashes per second (EH/s), while the most efficient single miner operates at approximately 0.0002 EH/s.

Bitzero focuses on self-mining at the Data Center and earns revenue through the amount of Bitcoin mined. On May 26, 2022, Bitzero and Luxor Technology Corporation ("Luxor") entered into a services agreement (the "Luxor Services Agreement") pursuant to which Bitzero engaged Luxor to set up a mining pool (the "Luxor Mining Pool") and provide maintenance of the Luxor Mining Pool on a cloud host that Luxor and Bitzero have access to. Pursuant to the Luxor Services Agreement, Luxor also shall provide maintenance of the software underlying the Luxor Mining Pool, that has the specification of a commercially standard cryptocurrency Mining Pool (the "Luxor Software"), which is licensed by Luxor to Bitzero.

Page **7** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)**

(d) <u>Products and services (cont'd)</u> 

The Luxor Software includes any other software intentionally delivered to Bitzero, such as updates delivered pursuant to maintenance and support services and/or hosting services provided by Luxor. The Luxor Agreement references a block reward, consistent of a combination of: (a) the amount of newly minted Bitcoins in each block as fixed by the Bitcoin protocol (the "Block Subsidy"), and (b) fees paid by users of the Bitcoin network to have their transactions included in the current block (the "Transaction Fees". These fees are aggregated per block and typically paid out to the miner who solved the block by being combined with the Block Subsidy into one transaction output (the "Block Reward"). The aggregate Block Reward paid to all miners is aggregated for calculation purposes (the "Total Miner Reward"). Pursuant to the Luxor Services Agreement, Luxor receives 0.20% of each Total Miner Reward and Bitzero will receive the remaining 99.80% of each Total Miner Reward. Currently, the Block Subsidy of newly minted Bitcoins in each block is 3.125 Bitcoin per block.

Transaction fees are a crucial component of the Bitcoin network's incentive structure, ensuring that miners prioritize certain transactions and continue to maintain the network even after Block Rewards diminish over time.

Miners receive transaction fees as an additional incentive, supplementing the Block Reward (the newly created Bitcoins given to the miner who finds a new block). Users can attach fees to their transactions to incentivize miners to prioritize their transactions over others. Higher Transaction Fees typically result in faster confirmation times. The total Transaction Fees paid depends on the transaction size in bytes and the fee rate set by the user.

The demand for data centers is increasing across the globe among cryptocurrency miners, cloud service providers, and artificial intelligence companies. There has been a significant increase in governmental regulation around carbon emissions from high-energy consuming data centers, including in Norway which has become a popular destination for cryptocurrency miners. Additionally, security concerns are of a high degree of importance since data centers handle extremely sensitive, large volumes of information. With these considerations, identifying new data center opportunities for Bitzero's ecosystem partners to provide efficient and low-cost energy solutions is a core part of its business model. While Bitzero currently has the Data Center and the non-operational Nekoma Pyramid, it also is undergoing negotiations to expand its facilities in the North American and Scandinavian regions.

(e) <u>Acquisition of options to purchase Exanorth AS</u> 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth, along with various rights to lease real estate property on which Exanorth conducted its operations, for aggregate consideration of $2,969,303.

At the time of the transaction, the Company had intended to build and operate a data center for its digital currency mining operations using the infrastructure existing at Exanorth.

The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.16 to 1.18 years; and the dividend yield was set at 0%.

Page **8** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

---

| | |
|:---|:---|
| **3.** | **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** |
| (e) | <u>Acquisition of options to purchase Exanorth AS (cont'd)</u> |
|  | As a result, the Company recorded the investment asset on account of this transaction as at and for the year ended September 30, 2021: |

---

---

| |
|:---|
| Purchase of call options over common shares of investee |
| Fair value adjustment on call options held for the year |
| Foreign exchange loss component pertaining to fair value adjustment for the year |

---

On October 22, 2021, Bitzero and Exakraft AS entered into a share purchase agreement, as amended on November 10, 2021, January 14, 2022, January 31, 2022, February 10, 2022, and March 1, 2022 (together, the "SPA") through which Bitzero exercised certain call options, resulting in the Company acquiring 66% of the issued and outstanding shares of Exanorth.

Aggregate consideration paid for the acquisition, along with the allocation of consideration to the fair value of net identifiable assets of Exanorth was calculated as follows:

---

| | | |
|:---|:---|:---|
| | Note | 2022 |
|  |  | $|
| <u>Consideration transferred</u> |  |  |
| &nbsp;&nbsp;&nbsp;Exercise of call options | (i) | 3558595 |
| &nbsp;&nbsp;&nbsp;Cash consideration | (ii) | 2547160 |
| &nbsp;&nbsp;&nbsp;Common shares issued to vendor | (iii) | 2250000 |
| &nbsp;&nbsp;&nbsp;Contingent cash consideration | (iv) | 1900000 |
| &nbsp;&nbsp;&nbsp;Deferred cash consideration |  | 1382476 |
| &nbsp;&nbsp;&nbsp;Settlement of pre-existing loans |  | 1059746 |
| &nbsp;&nbsp;&nbsp;Transaction costs |  | 206598 |
| Fair value of total consideration transferred |  | 12904575 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The value of the call options increased from $3,291,343 as at September 30,
2021 to $3,558,595 as a result of a foreign exchange gain, refer to **Note 14(a)** in the financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The cash consideration relates to the remaining 34% of the shares in Exanorth.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) As part of consideration in the acquisition, the SPA included a delivery of 5,000,000 common shares
of the Company. The common shares were valued at $2,250,000 using a combination of previous equity raises and a 25% discount for
lack of marketability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) As part of consideration in the acquisition, contingent consideration was included and was the
fair value was determined based on the management's best estimate at the reporting date. The contingent consideration was
subsequently revalued to $1,760,547 resulting in a gain of $139,453. As at September 30, 2025, there has been no further remeasurement,
as there have been no changes in the underlying circumstances affecting the Management's best estimate.

Page **9** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(e) <u>Acquisition of options to purchase Exanorth AS (cont'd)</u> 

---

| |
|:---|
| <u>Fair value of identifiable net assets acquired</u> |
| &nbsp;&nbsp;&nbsp;Technology infrastructure |
| &nbsp;&nbsp;&nbsp;Land |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents |
| &nbsp;&nbsp;&nbsp;Accounts payable) |
| &nbsp;&nbsp;&nbsp;&nbsp;Due to Bitzero) |
| &nbsp;&nbsp;&nbsp;Other liabilities |
| Fair value of total identifiable net assets |
| &nbsp;&nbsp;&nbsp;Goodwill |
| &nbsp;&nbsp;&nbsp;Non-controlling interest |
| Total |

---

(f) <u>Acquisition of Bitzero Finland Oy</u> 

On January 23, 2025, the Company purchased 100 shares of Bitzero Finland Oy (formerly Ahold XVIII Oy), domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

(g) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

An additional delayed draw facility of up to $8,240,000 is available at the lenders' discretion; lenders are not obligated to fund any delayed draw, and any advance, if elected by the lenders, is subject to (i) timely delivery of a borrowing notice, (ii) the total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

In connection with the financing and subsequent to the year end, the Company issued warrants to the lenders entitling them to acquire, in aggregate, 25,534,972 common shares (consisting of 19,559,862 as part of the first tranche and 5,974,930 as part of the second tranche) at an exercise price of $0.01 per share, expiring in five years. The warrants are subject to customary anti-dilution and ratchet provisions and may be exercised on a cash or cashless basis.

The loan agreement requires the Company to maintain, at all times, a minimum cash balance of $2,000,000 in one or more bank accounts that are subject to account control arrangements specified by the lenders. At the reporting date, the Company held $2,000,000 as cash in trust to satisfy this covenant. This amount is shown as restricted cash on the statement of financial position and is not available for general corporate purposes because its use would cause a breach of the covenant.

Page **10** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(g) <u>Senior secured loan (cont'd)</u> 

No portion of the required minimum balance was held in Bitcoin at the reporting date. The requirement to maintain this balance will continue for so long as the loan remains outstanding or until the covenant is amended or waived.

The loan is secured by a pledge of the $2,000,000 cash minimum in a lender controlled deposit account, account control agreements over specified deposit accounts, a blanket first priority lien on substantially all assets of the Company and certain subsidiaries, first priority pledges of 100 percent of the equity interests in Exanorth AS and Zetanorth AS, first priority fixed charges over Exanorth AS assets including a mortgage over real estate in Namsskogan, Norway, and a mortgage over North Dakota real estate owned by Bitzero ND I, LLC.

**4.** **SUBSEQUENT EVENTS** 

(a) <u>Private placements</u> 

In October 2025, the Company closed brokered private placements totaling 2,937,500 units for gross proceeds of $1,175,000.

Each unit comprises one convertible debenture and one common share purchase warrant. The convertible debentures bear interest at 15 percent per annum from issuance to the earlier of holder-elected conversion or three years from the date of issuance and are convertible into one common share at $0.40 per share. Each warrant entitles the holder to acquire one common share at an exercise price of $0.50 per share for two years from the date of issuance.

Between August and October 2025, the Company closed a brokered private placement totaling 3,750,000 units for gross proceeds of $1,500,000. Each unit comprises one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of $0.40 per share for 2 years from the date of issuance.

(b) <u>Issuance of RSUs</u> 

In October 2025, the Company granted 1,000,000 RSUs at a stated price of $0.40 per unit, with each unit being convertible into one common share upon exercise by the holder. The RSUs vested upon completion of the reverse takeover of the Company.

(c) <u>Issuance of convertible debt</u> 

In October 2025, the Company issued convertible debentures for gross proceeds totaling $2,853,990. The convertible debenture entitles the holder to interest at 10% per annum on the subscribed amount from the date of its issuance to the earlier of: (i) its conversion at the sole discretion of the holder, or (ii) 18 months after its issue date. Each convertible debenture converts at $0.40 per common share of the Company.

(d) <u>Contingent consideration</u> 

Subsequent to the reporting date, there have been no changes to status of the settlement with a shareholder. The contingent consideration remains outstanding, the SPA has not been executed, the kr 2,000,000 ($190,335) cash payment has not been made, and the transfer of KlimaCloud shares has not occurred.

Page **11** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**4.** **SUBSEQUENT EVENTS (CONT'D)** 

(e) <u>Settlement of claims</u> 

Subsequent to period end, on October 29, 2025, Bitzero entered into a settlement agreement resolving the construction lien dispute filed on May 14, 2025 in North Dakota. Under the settlement, Bitzero is obligated to pay $110,000, which represents full and final settlement of the claim.

(f) <u>Senior secured loan – subsequent draw</u> 

Subsequent to the year end, the Company drew the second tranche under the senior secured loan and guaranty agreement entered into in June 2025. The Company received gross proceeds of $8,245,000 (the delayed draw facility), less applicable original issue discount and fees, in accordance with the loan agreement terms.

(g) <u>Go-public transaction</u> 

In November 2025, Bitzero completed a go-public transaction in Canada structured as a triangular amalgamation under the Business Corporations Act (British Columbia) with WBM Capital Corp. ("WBM") and its wholly owned subsidiary, 1555476 B.C. Ltd ("Subco"), pursuant to an amalgamation agreement dated November 3, 2025. Under the Amalgamation Agreement, Bitzero amalgamated with 1555476 B.C. Ltd. to form a new corporation that became a wholly owned subsidiary of WBM.

All issued and outstanding Bitzero common and non-voting shares were exchanged for fully-paid and non-assessable WBM common and non-voting shares on the basis of ten Bitzero shares for one WBM share. Outstanding Bitzero options, RSUs and warrants were adjusted to provide rights to acquire WBM common shares in accordance with their terms.

As control of the combined entity resides with the former owners of Bitzero, the transaction is accounted for as a reverse acquisition with Bitzero as the accounting acquirer and WBM as the accounting acquiree. The transaction will be accounted for in accordance with IFRS 2, with any excess of the fair value of the deemed consideration over the fair value of WBM's identifiable net assets recognized as a listing expense in profit or loss in the period of closing.

On November 24, 2025, Bitzero's common shares began trading on the Canadian Securities Exchange under the ticker "BITZ.U".

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES** 

(a) <u>Presentation of financial information</u> 

Unless otherwise specified herein, financial results, including historical comparatives, contained in this MD&A are based on the Company's Annual Financial Statements, which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and the interpretations of the IFRS Interpretations Committee ("IFRIC"). Unless otherwise specified, amounts are in thousands of United States dollars and percentage changes are calculated using whole numbers.

Page **12** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES (CONT'D)** 

(b) <u>Non-IFRS measures</u> 

In addition to the reported IFRS measures, industry practice is to evaluate entities giving consideration to certain non-IFRS performance measures, such as earnings before interest, taxes, depreciation and amortization ("EBITDA") or adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA").

These measures are not in accordance with IFRS and have no standardized definitions, and as such, our computations of these non-IFRS measures may not be comparable to measures by other reporting issuers. In addition, Company's method of calculating non-IFRS measures may differ from other reporting issuers, and accordingly, may not be comparable.

A reconciliation of EBITDA and Adjusted EBITDA to IFRS net income is presented below.

*Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")*

EBITDA is used as an alternative to net income because it includes major non-cash items such as interest, taxes and amortization, which management considers non-operating in nature. A reconciliation of EBITDA to IFRS net income is presented under the section **Results from Operations** of this MD&A.

*Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("Adjusted EBITDA")*

Adjusted EBITDA is used as an alternative to net income because it excludes major non-cash items such as amortization, stock-based compensation, current and deferred income tax expenses and other items management considers non-operating in nature. A reconciliation of adjusted EBITDA to IFRS net income is presented under section **Results from Operations** of this MD&A.

EBITDA and Adjusted EBITDA are used by management as inputs in our internal metrics and in evaluating our ability to satisfy the Company's obligations. EBITDA and Adjusted EBITDA are used as alternatives to IFRS net income (loss) because it excludes major non- cash items (including depreciation and amortization, interest, taxes and share-based payments) and other items that management considers non-operating in nature.

Management believes that these measures are helpful to investors because they are widely recognized measures of Company's performance and provides a relevant basis of comparison to other entities. In addition to IFRS results, these measures are also used internally to measure the operating performance of the Company.

(c) <u>New and revised IFRS accounting standards in issue but not yet effective</u> 

At the date of authorization of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

*IFRS 18: Presentation and Disclosure in Financial Statements* 

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Page **13** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**5.** **PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES (CONT'D)** 

(c) <u>New and revised IFRS accounting standards in issue but not yet effective (cont'd)</u> 

*IFRS 18: Presentation and Disclosure in Financial Statements (cont'd)* 

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The Company is in the process of reviewing the impact of IFRS 18 on its consolidated financial statements in future periods.

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY** 

In applying the Company's accounting policies, the directors are required to make judgements (other than those involving estimations) that have a significant impact on the amounts recognized and to make estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following are the critical judgements, including those involving estimations, that the directors have made in the process of applying the Company's accounting policies and that have the most significant effect on the amounts recognized in the consolidated financial statements.

(a) <u>Income taxes</u> 

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors.

The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities.

Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such differences will affect the tax provisions in the period in which such determination is made.

(b) <u>Digital assets</u> 

There is currently no specific definitive guidance in IFRS or alternative accounting frameworks for the accounting for the mining of digital assets and subsequent measurement of the digital assets held. Management has exercised significant judgment in determining appropriate accounting treatment. Management has determined that revenues should be recognized as the fair value of digital assets received in exchange for mining services on the date that digital assets are received and subsequently measured as an intangible asset. In the event authoritative guidance is enacted by the IASB, the Company may be required to change its policies which could result in a change in the Company's financial position and earnings.

Page **14** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)** 

(c) <u>Revenues from mining of digital assets</u> 

The Company enters into contracts with mining pools and has undertaken the performance obligation of providing computing power to the mining pool in exchange for non-cash consideration in the form of digital assets. Revenue is recognized upon receipt of digital currency in exchange for its mining activities at the fair market value of the digital currency received.

Management considers the prices quoted on a digital currency exchange to be a level 2 input under IFRS 13 Fair Value Measurement. Any difference between the fair value of digital assets recorded upon receipt from mining activities and the actual realized price upon disposal are recorded as a gain or loss on disposition of digital assets.

(d) <u>Going concern</u> 

The Company has made significant judgments about the Company's ability to continue as a going concern. These judgments involve considering the Company's cash flow forecasts, financial position, market conditions, and the availability of financing. Given the volatile nature of the cryptocurrency market and the reliance on both mining and hosting revenues, management regularly assesses the Company's liquidity and capital resources to ensure it can meet its obligations as they fall due. If future cash flows were to differ significantly from those estimates, this could have a material impact on the Company's ability to continue as a going concern.

(e) <u>Valuation of right of use assets and liabilities</u> 

The valuation of right-of-use (ROU) assets and corresponding lease liabilities involves significant estimates, particularly in determining the lease term and the discount rate used to present value future lease payments.

Management's judgment is required in evaluating whether options to extend or terminate leases are reasonably certain to be exercised, which affects the measurement of lease liabilities.

Additionally, in the absence of an implicit rate in the lease, the Company uses its incremental borrowing rate, which is determined based on the specific circumstances of the lease and the Company's credit risk. Changes in these estimates could significantly impact the carrying amount of ROU assets and lease liabilities.

(f) <u>Valuation of share-based expenses</u> 

The valuation of share-based expenses requires significant judgment and estimation, particularly in determining the fair value of equity instruments granted to employees and directors. The Company uses an appropriate valuation model, such as the Black-Scholes or binomial option pricing model, which requires inputs such as the expected volatility of the Company's share price, the expected life of the options, risk-free interest rates, and expected dividend yields. These inputs are subject to estimation uncertainty, and changes in any of these assumptions could have a material impact on the amount of share-based expenses recognized.

(g) <u>Impairment of non-financial assets</u> 

The Company assesses non-financial assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Determining whether an impairment has occurred requires management to estimate the recoverable amount of the assets, which is the higher of fair value less costs of disposal and value in use.

Page **15** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**6.** **CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY (CONT'D)** 

(g) <u>Impairment of non-financial assets (cont'd)</u> 

These calculations require significant judgment, particularly in estimating future cash flows, discount rates, and market conditions. Any changes in these estimates could result in material adjustments to the carrying amounts of non-financial assets.

(h) <u>Depreciation and useful lives of property, plant and equipment</u> 

Determining depreciation periods and residual values for property, plant and equipment requires judgment. Management assesses expected physical wear and tear, technical and commercial obsolescence, maintenance programs, and industry practice. Residual values are estimated with reference to comparable secondary-market transactions and scrap values, where relevant. These estimates are reviewed at each reporting date.

A change of one year in average useful life or a 5 % swing in estimated residual value is considered to have a materially affect on depreciation expense in a period under evaluation.

(i) <u>Expected credit losses and provisions</u> 

The Company estimates expected credit losses by applying professional judgement in assessing forward-looking information, including the probability of default, loss rates, and the status of customer relationships. Changes in these assumptions could materially affect the amounts recognized.

Provisions are recognized when obligations from past events are probable and can be reliably measured. The measurement of provisions requires judgement in estimating the timing and amount of future outflows and, where relevant, the selection of discount rates. Given the inherent uncertainty, actual outflows may differ from the Company's best estimate.

**7. SELECTED FINANCIAL INFORMATION**

(a) <u>Select annual information from the statements of profit or loss</u> 

The following table provides selected financial information from the statement of loss and comprehensive loss of the Company for the years ended September 30, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| | **2025** | **2024** |
| Revenue from digital assets mined | 24895690 | 15607000 |
| Revenue from hosting services |  | 7004281 |
| Direct costs | (25189175) | (24387670) |
| Operating expenses | (8890677) | (3382638) |
| Operating loss before other items | (9184162) | (5159027) |
| Other items | (9789381) | (8611223) |
| Total comprehensive loss | (18973543) | (13770250) |

---

*(i)* *Revenue from digital assets mined* 

For the year ended September 30, 2025, the Company generated revenue of $24.9 million from digital assets mined, compared to $15.6 million in the prior fiscal year, representing an increase of approximately 60% year-over-year.

Page **16** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(i)* *Revenue from digital assets mined (cont'd)* 

The increase in revenue was driven primarily the cessation of hosting services with mining assets previously deployed for hosting being used to generate mining revenue. Additionally, higher average Bitcoin prices, as well as by improved operational capacity and uptime at the Company's Norwegian mining facility contributed to this growth. The additional revenues reflect a revised focus on self-mining, increased scale of operations and more efficient deployment of mining equipment relative to the prior year.

Revenue from digital asset mining is recognized at the fair value of the cryptocurrency received on the date of mining. The Company's mining revenues remain inherently volatile, being influenced by network difficulty adjustments, global Bitcoin pricing, and transaction fee dynamics. While revenues nearly doubled in the current year, profitability from mining operations was constrained by the continued pressure of high energy and depreciation costs, resulting in negative gross margins.

The year-over-year increase highlights the Company's reliance on Bitcoin economics and network conditions. During fiscal 2025, network difficulty rose materially, reducing the number of Bitcoin mined per unit of hash rate, though this effect was partially offset by favorable price conditions at year-end. The Company benefitted from continuous optimization of its mining fleet, including replacement of older-generation units with more efficient application-specific integrated circuit miners, which improved energy efficiency.

Management anticipates that future mining revenues will remain directly tied to prevailing Bitcoin market prices and industry-wide network difficulty. The upcoming Bitcoin halving event, expected in 2028, will reduce block rewards by 50%, potentially putting additional pressure on mining economics. This underscores the importance of ongoing efficiency gains, cost reduction strategies, and prudent capital allocation in order to sustain competitive mining operations.

*(ii)* *Revenue from hosting and maintenance services* 

Hosting revenue declined to nil for the year ended September 30, 2025, compared to $7.0 million for the year ended September 30, 2024, as hosting arrangements were wound down and settled. During the year the Company cancelled related leases and entered into a settlement with a former hosting customer, consistent with the absence of hosting revenue in this past fiscal year.

*(iii)* *Direct costs* 

Direct costs for the year ended September 30, 2025 were $25.2 million, compared to $24.4 million for the year ended September 30, 2024, representing an increase of approximately 3% year-over-year. Direct costs consist primarily of electricity costs, depreciation of mining equipment, labor and contractor fees, and facility operating expenses related to both mining and hosting operations.

The slight increase year-over-year reflects higher electricity usage and facility costs associated with expanded mining activities, together with depreciation charges arising from the Company's significant investment in mining hardware and infrastructure. While certain efficiency initiatives reduced average power consumption per unit of hash rate, overall power requirements increased as operations scaled.

Page **17** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(iii)* *Direct costs (cont'd)* 

As a result, the Company incurred gross losses of $293.5 thousand in fiscal 2025 and $1.8 million in fiscal 2024, reflecting a significant narrowing of the gross loss year-over-year. The Company's gross margin remains particularly sensitive to electricity prices, which represent the largest single component of direct costs. Management has implemented a cost optimization strategy that includes negotiating long-term energy supply contracts, investing in newer-generation ASIC miners, and pursuing infrastructure upgrades designed to reduce power intensity.

Management expects direct costs to remain elevated in the near term as the Company continues to operate at scale and invests in next-generation mining technology. Following the April 2024 Bitcoin halving event, industry profitability has faced increased pressure due to the reduced block subsidy, emphasizing the importance of securing low-cost energy and maintaining efficient facility operations. Management remains focused on identifying opportunities for further efficiency gains and leveraging hosting revenues to offset fixed operating costs.

*(iv)* *Operating expenses* 

Operating expenses, comprising administrative expenses, marketing expenses, and finance costs, totaled $8.9 million for the year ended September 30, 2025, compared to $3.4 million in fiscal 2024, representing an increase of approximately 163% year-over-year.

Administrative expenses increased to $5.3 million in fiscal 2025 from $2.8 million in fiscal 2024. The increase reflects higher legal and consulting fees due to key restructuring and strategic initiatives undertaken in the current year, including measures related to the planned go-public transaction described in **Note 4(f)**. Additionally, occupancy costs increased due to additional repairs and maintenance fees associated with the expansion of mining activities. Administrative expenses are expected to revert to a lower, more sustainable level following the current-year initiatives.

Finance costs increased substantially to $1.8 million in fiscal 2025 compared to $526 thousand in fiscal 2024. The increase primarily reflects interest on the senior secured loan described in **Note 3(g)**. This was partially offset by a decrease in accrual on lease liabilities, as the Company settled certain lease arrangements. Finance costs are expected to remain a recurring expense until the Company refinances or repays its outstanding obligations.

Marketing expenses increased substantially to $1.8 million in fiscal 2025 from $46 thousand in fiscal 2024. The increase was due to targeted efforts to promote the Company prior to its planned go-public transaction and position the brand within the global cryptocurrency mining ecosystem.

Marketing costs are expected to decline to historical levels in the short term, before growing gradually in line with the Company's business development activities and expansion plans.

The overall increase in operating expenses primarily reflects additional costs incurred in connection with the Company's go-public and debt transactions, as well as other one-time activities. Management continues to emphasize financial discipline and efficiency while undertaking these initiatives and expanding its revenue base. While administrative and marketing expenses are expected to normalize to a lower, more sustainable level, finance costs will continue to reflect the Company's capital structure.

Page **18** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(v)* *Other expenses* 

Other expenses for the year ended September 30, 2025 totaled $7.4 million, compared to $6.1 million in fiscal 2024, representing an increase of 20% year-over-year. These items consist primarily of non-operating or non-cash charges, and therefore can vary significantly from period to period depending on share-based compensation activity, foreign exchange movements, credit loss assessments, and investment revaluations.

The largest component of other expenses in fiscal 2025 was share-based compensation, which increased to $10.2 million, compared to $4.8 million in fiscal 2024. The increase was driven by the issuance of new equity-based incentive awards to officers, directors, and employees, designed to align management and staff with long-term shareholder interests and to retain key talent within the highly competitive digital asset industry. The recognition of these costs is non-cash in nature but nevertheless represents a meaningful component of the Company's reported loss for the year.

The Company recorded a foreign exchange gain of approximately $113 thousand in fiscal 2025, compared to a gain of $59 thousand in fiscal 2024. This change reflects the impact of exchange rate movements on monetary balances held across functional currencies. Given the international nature of operations, foreign exchange impacts are expected to remain a recurring, though unpredictable, element of results.

The Company recognized a change in provision for uncollectible receivables of $613 thousand in fiscal 2025, reflecting updated credit loss assessments. The cessation of hosting arrangements in 2025 mitigates the risk of future credit losses going forward.

Partially offsetting these costs, the Company recorded a realized gain on the sale of digital currency of $1.6 million in fiscal 2025, compared to $30 thousand in fiscal 2024, reflecting dispositions of Bitcoin during the year. The increase reflects the increased market price of Bitcoin and disposition of Bitcoin held as at the prior year's reporting date.

Additionally, the Company recorded a net gain on contract settlements of $1.7 million related to leased asset agreements, comprising a $1.9 million gain associated with a settlement reached with a hosting customer, partially offset by a $113 thousand loss on the cancellation of two separate lease arrangements and a $45 thousand loss from remeasuring the settlement receivable based on the revised repayment schedule with the same hosting customer.

In March 2025, Exanorth entered into a settlement with another customer. Under this agreement, an amount of $3 million corresponding to the invoiced amounts excluding VAT, was written off as a provision for settlement. As part of the terms of settlement, the Company received equipment having value of $678 thousand. In 2025, the Company recorded a gain on contract settlement of $1.9 million related to the settlement of a lease liability with this customer.

Taken together, the significant swing in other expenses between the two fiscal years was almost entirely attributable to the increase in share-based compensation expense and settlement provisions. These expenses, while non-cash, reflect management's continued use of equity incentives as a tool to attract and retain qualified individuals. By contrast, the absence of impairment charges and minimal investment revaluations limited the variability of other categories.

Page **19** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

Management expects that share-based compensation will remain a recurring but variable expense tied to employee retention programs, while settlements losses, provisions for settlements, foreign exchange, fair value adjustments, and asset disposals will fluctuate in line with operating conditions and market factors outside of management's control.

(b) <u>Select annual information from the statements financial position</u> 

The following table provides selected financial information from the statement of financial position of the Company for the years ended September 30, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
| Current assets | 7215817 | 5160556 |
| Non-current assets | 35524901 | 24690096 |
| Total assets | 42740718 | 29850652 |
| Current liabilities | 13566493 | 12865723 |
| Non-current liabilities | 16323514 | 3159899 |
| Equity | 12850711 | 13825030 |
| Total liabilities and equity | 42740718 | 29850652 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(i)* *Current assets* 

As at September 30, 2025, the Company's current assets totaled $7.2 million, compared to $5.2 million at September 30, 2024, representing an increase of approximately 40% year-over-year. The year-over-year growth was driven by a significant increase in cash and cash equivalents and cash held in trust.

Digital currency holdings decreased to $753 thousand at September 30, 2025, from $2.5 million in the prior year. This decrease reflects the change in the level of Bitcoin mined but not liquidated as at the reporting date, including conversions to cash made during the year.

Accounts receivable decreased to $380 thousand at year-end, down from $1.5 million in the prior year. This decrease is consistent with the collection and settlement of prior-year receivables, primarily associated with hosting customer balances in the prior year.

Prepaids and deposits remained relatively stable at $72 thousand in fiscal 2025, compared with $71 thousand in fiscal 2024. These balances consist primarily of prepayments for power and facility costs, insurance, and deposits required to support data center operations.

Indirect taxes recoverable increased to $535 thousand from $402 thousand, reflecting higher VAT and sales tax credits recoverable in Norway due to the expanded level of mining activities undertaken during the year.

Finally, cash and cash equivalents and cash held in trust increased to $5.5 million at September 30, 2025, from $687 thousand at September 30, 2024. The increase reflects the proceeds from additional equity and debt financing during the year, and a higher level of Bitcoin converted to cash as at the reporting date.

Page **20** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position</u> 

*(i)* *Current assets (cont'd)* 

Taken together, the overall increase in current assets reflects both financing-related activity and operational growth, as evidenced by the higher balance of digital assets, cash and cash equivalents, and cash held in trust on hand.

These additions enhance the liquidity position of the Company, as the composition of current assets has shifted toward stable cash balances and from categories exposed to market volatility and collection risk, such as accounts receivable and digital currencies. Management continues to monitor both the timely collection of receivables and the valuation of digital assets to ensure that the Company maintains sufficient liquidity to support its ongoing operations.

*(ii)* *Non-current assets* 

As at September 30, 2025, the Company's non-current assets totaled $35.5 million, compared to $24.7 million at September 30, 2024, representing an increase of approximately 44% year-over-year. The increase was primarily attributable to new capital investment in mining equipment and related infrastructure, partially offset by depreciation of existing capital assets.

The largest category of non-current assets remains property, plant and equipment, which increased to $28.6 million at September 30, 2025, from $17.1 million in the prior year. The increase reflects an increased investment in mining equipment and related infrastructure, including transfers from construction in progress and assets received under the settlement agreement with a hosting customer. This increase was partially offset by the depreciation expenses recorded during the year, as the Company continues to recognize the consumption of economic benefits from its mining servers and supporting infrastructure.

The magnitude of property, plant and equipment underscores the capital-intensive nature of the business and management continues to pursue replacement and upgrade programs designed to maintain competitiveness in terms of energy efficiency and hash rate capacity.

The balance of construction in progress decreased to $3.4 million at September 30, 2025, compared to $5.1 million in fiscal 2024. This decrease reflects the completion and deployment mining equipment and related infrastructure, as completed assets were transferred into property, plant and equipment. These capital expenditures represent management's ongoing commitment to positioning the Company for long-term growth, as well as the Company's ability to successfully complete and deploy ongoing projects. The Company anticipates that a portion of this balance will be transferred to property, plant and equipment in fiscal 2026 as assets are placed into service.

The carrying value of right-of-use assets declined sharply to nil from $0.9 million in the prior year. The reduction is the result of the lease cancellations and amortization, including the transfers to owned-assets where applicable. These assets primarily relate to long-term leases of data center facilities, and the decline reflects the ongoing recognition of right-of-use depreciation and reclassification of the underlying assets rather than any reduction in operational capacity.

Restricted cash increased to $2 million at September 30, 2025 up from nil in fiscal 2024. The increase reflects the cash minimum held in a lender controlled deposit account, as described in **Note 3(g)**.

Page **21** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(ii)* *Non-current assets (cont'd)* 

Taken together, the year-over-year movement in non-current assets highlights the Company's ongoing reinvestment and asset build-up, while balancing the depreciation of existing assets and reinvestment in new infrastructure. The increase in property, plant and equipment illustrates management's continued emphasis on maintaining and upgrading mining infrastructure, while the decline in construction in progress demonstrates management's ability to successfully deploy ongoing investment projects. The reduction in right-of-use assets reflects the accounting recognition of lease obligations and shift away from hosting revenues, rather than a strategic change in approach.

Management expects that non-current assets will remain a significant portion of the Company's total balance sheet and that periodic reinvestment in new mining technology and facility infrastructure will be required in order to maintain competitiveness.

*(iii)* *Current liabilities* 

As at September 30, 2025, the Company's current liabilities totaled $13.6 million, compared to $12.9 million at September 30, 2024, representing an increase of approximately 5.4% year-over-year. The growth in current obligations primarily reflects new financing recognized as loans payable, as well as higher trade payables, accrued interest, related party payables, settlement liabilities, while being partially offset by the derecognition of lease liabilities. Together, the increase underscores the expansion of the Company's operations and the financing structure supporting them.

The current portion of loans payable was $1.6 million at September 30, 2025, compared to nil in the prior year, reflecting financing obtained during the year to support growth in operations and investment in mining infrastructure. The increase highlights management's continued commitment to securing financing to maintain liquidity and fund growth initiatives in a capital-intensive sector. Management expects repayment to be aligned with the underlying financing structure and operating cash flows, as described in **Note 3(e)**, and continues to monitor covenant compliance to maintain financial flexibility.

Accounts and other payables increased modestly to $7.3 million at September 30, 2025, compared to $6.9 million in the prior year. The most significant component of accounts and other payables was trade payables, which declined to $4.8 million at year-end, compared to $6.3 million at September 30, 2024. The decrease is reflective of the Company's ability to meet its obligations as they come due, while pursuing further growth. The decrease was offset by an increase in accrued liabilities primarily related to energy invoices, professional fees, and payroll expenses, reflecting the Company's expansion of revenue-generating activities and corresponding growth in direct and administrative costs.

Lease liabilities, current portion, decreased sharply to nil at September 30, 2025, from $2.0 million at September 30, 2024, reflecting the cancellation of lease liabilities during the year. This decrease demonstrates the Company's decreased reliance on leased capacity as part of its operational footprint.

Contingent consideration payable remained unchanged at $1.8 million compared to fiscal 2024. This balance represents obligations arising from historical acquisition activity, payable upon the satisfaction of certain performance conditions or other contingencies. Management continues to monitor these obligations closely, though no changes were recognized during the current year.

Page **22** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(iii)* *Current liabilities (cont'd)* 

Settlement liabilities, current portion, increased to $1.2 million at September 30, 2025, compared to $771 thousand at September 30, 2024, reflecting that a larger portion of the settlement became due within 12 months at year-end.

Related party advances increased to $151 thousand at September 30, 2025, compared to $67 thousand in the prior year. These amounts represent short-term funding support from related parties, and the increase reflects the timing of settlement of these balances.

Finally, convertible debentures, classified as current liabilities, increased to $1.57 million at September 30, 2025 from $1.36 million at September 30, 2024. These instruments continue to accrue interest until maturity or conversion, and their classification as current reflects their contractual terms. The increase reflects the accrual of interest on those convertible debentures, consistent with the Company's financing structure, which relies in part on debt and related party funding to support working capital requirements.

Overall, the year-over-year increase in current liabilities reflects the scaling of operations and the Company's reliance on both customer deposits and financing arrangements to fund working capital.

While the increase in accounts payable and accrued liabilities is largely a function of higher operating activity, management remains focused on settling these obligations as they come due. Liquidity is supported by current assets, including receivables and digital currency holdings, together with expected financing proceeds.

*(iv)* *Non-current liabilities* 

As at September 30, 2025, the Company's non-current liabilities totaled $16.3 million, a significant increase compared to $3.2 million as at September 30, 2024. This increase was primarily driven by additional financing as described in **Note 3(g)**.

Settlement liability, non-current portion, decreased significantly to $1.6 million at September 30, 2025, compared to $3.0 million in the prior year, reflecting the principal payments made during the year and reclassification into the current portion as amounts became due within one year.

Loans payable, non-current portion, increased to $14.7 million at September 30, 2025, compared to nil at September 30, 2024, representing the long-term portion of the new financing obtained during the year, as described in **Note 3(e)**.

Lease liabilities, non-current portion, decreased to nil at September 30, 2025, compared to $122 thousand in the prior year, reflecting the cancellation of lease agreements during the year.

The movement in non-current lease liabilities is consistent with the decline in right-of-use assets noted in the non-current assets discussion, as the amortization and re-classification of leased assets is mirrored by the reduction of the associated lease liability. The reduction also underscores the fact that the Company has not entered into significant new long-term leasing arrangements during the fiscal year.

Page **23** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(iv)* *Non-current liabilities* 

Taken together, these movements indicate a management's prioritization of financial flexibility and funding to facilitate growth, as the Company continues to pursue its model of digital asset mining and the efficient deployment of mining infrastructure. Settlement-related obligations are expected to become a diminishing component of total liabilities over time as the Company continues to pay down these balances in accordance with the agreed repayment schedule. This shift supports greater operational control over the deployment of mining infrastructure and cash flow generation, while also reducing exposure to customer-specific hosting obligations and settlement risks.

*(v)* *Equity* 

As at September 30, 2025, total equity attributable to shareholders was $12.9 million, compared to $13.8 million at September 30, 2024, representing a decrease of approximately 7% year-over-year. The decline in equity primarily reflects the net loss for the year, together with an increase in accumulated other comprehensive losses, largely offset by new share issuances that increased share capital.

Share capital increased to $101 million at September 30, 2025, up from $82.7 million in the prior year. The increase reflects equity financing completed during fiscal 2025, including the issuance of common shares under subscription agreements and the exercises of RSUs and option instruments. Capital raises provided important capital inflows to support the Company's operations and investment in mining infrastructure consistent with broader industry practice among capital-intensive cryptocurrency mining companies. The exercise and settlement of RSUs and options issued under the Company's share-based compensation programs increased share capital as awards were converted into common shares, which supports liquidity and reduces the need to cash-based compensation. Taken together, the increase in share capital is not solely indicative of external capital raising but also reflects the Company's continued reliance on equity-based incentives to attract and retain qualified personnel and align employee and shareholder interests over the long term but can contribute to dilution of existing shareholders.

The debenture reserve remained unchanged at $55 thousand year-over-year, representing the residual equity component from previously issued convertible debentures.

Accumulated other comprehensive loss increased to $13.5 million at September 30, 2025, compared to $11.1 million in the prior year. The increase in the deficit reflects primarily unfavorable movements in the revaluation of digital currency balances and other comprehensive items recorded through equity rather than net income. This element of equity is inherently volatile, given its sensitivity to cryptocurrency price fluctuations and associated valuation adjustments.

Accumulated losses increased to $81.6 million as at September 30, 2025, compared to $65.0 million at September 30, 2024. The increase of approximately $16 million corresponds to the net loss reported for the year, which reflects ongoing operating losses, high direct costs relative to revenues, and significant share-based compensation expense.

The accumulation of losses highlights the challenges of sustaining profitability in a capital-intensive industry subject to volatile digital asset pricing.

Page **24** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**7.** **SELECTED FINANCIAL INFORMATION (CONT'D)** 

(b) <u>Select annual information from the statements financial position (cont'd)</u> 

*(v)* *Equity (cont'd)* 

Taken together, the year-over-year movement in equity reflects the interplay of new capital inflows through share issuances, the recognition of share-based compensation, and the persistence of operating and comprehensive losses. Although equity has declined overall, the ability of the Company to raise new capital demonstrates continued investor support. Management acknowledges that further strengthening of the equity base may be required to support future expansion and to maintain a cushion against the volatility inherent in the cryptocurrency mining sector.

(c) <u>Digital currency operations</u> 

For the year ended September 30, 2025, revenue for digital assets mined was $24.9 million (2024 - $15.6 million).

The change reflects 256.76 BTC mined during the year ended September 30, 2025 as compared to 293.65 BTC mined during the comparative period, driven primarily by differences in average hashrate and network difficulty.

Average hashrate for the period was 1.30 EH/s (period-end installed hashrate 1.82 EH/s), compared with installed capacity of 0.92 EH/s across 25 containers and 10,629 miners.

Average realized price of 97,447 $/BTC (including transaction fees) as compared to 54,310 $/BTC in the comparative period, consistent with our policy to recognize mining revenue at the fair value of digital assets upon receipt.

Existing rigs (installed prior to the beginning of the reporting period): approximately 70% of mining revenue. New rigs (placed in service during the reporting period): approximately 30% of mining revenue.

For the year ended September 30, 2025, direct costs were $24.9 million (2024 - $24.4 million, respectively). Electricity and grid services: 34.45 MWh × 40.58 $/MWh = 12,596,035 (For the comparative period: 26.87 MWh × 47.19 $/MWh = 10,885,041). Utilities increased year-over-year, reflecting higher consumption during higher-uptime periods and network conditions.

**8.** **QUARTERLY RESULTS** 

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | | March 31, | June 30, | September 30, |
| |<br>December 31,<br>2022 | 2022 | 2023 | 2023 |
| Revenue | 1186136 | 424478 | 1297062 | 9408300 |
| Total comprehensive loss | 7832041 | 553831 | 2838400 | 2534802 |
| Total assets | 55130157 | 53321816 | 50704069 | 29850652 |
| Total liabilities | 8855730 | 7727148 | 7659137 | 9993673 |
| Basic and diluted loss per share | 0.03 | 0.00 | 0.01 | 0.01 |

---

Page **25** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**8.** **QUARTERLY RESULTS (CONT'D)** 

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | | March 31, | June 30, | September 30, |
| |<br>December 31,<br>2023 | 2024 | 2024 | 2024 |
| Revenue | 4253730 | 1939302 | 6850336 | 9567912 |
| Total comprehensive loss | 1596588 | 649685 | 1346820 | 10177157 |
| Total assets | 46213966 | 47641574 | 58800331 | 29850652 |
| Total liabilities | 9679369 | 7798355 | 13417570 | 16025622 |
| Basic and diluted loss per share | 0.01 | 0.00 | 0.00 | 0.03 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | | March 31, | June 30, | September 30, |
| |<br>December 31,<br>2024 | 2025 | 2025 | 2025 |
| Revenue | 4874872 | 6240872 | 6326175 | 7453771 |
| Total comprehensive loss (income) | 227320 | 5525789 | 8065541 | 5154893 |
| Total assets | 32367188 | 35723697 | 29206650 | 42740718 |
| Total liabilities | 15659138 | 14997600 | 12048090 | 29890007 |
| Basic and diluted loss per share | 0.00 | 0.02 | 0.02 | 0.01 |

---

All quarterly financial information is unaudited.

Page **26** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS** 

(a) <u>Issued and outstanding share capital</u> 

---

| | | |
|:---|:---|:---|
| Share issuances | Shares | Share capital |
|  | # | $|
| Balance as at September 30. 2023 | 309582563 | 76931052 |
| June 4, 2024 | 7000000 | 1160853 |
| September 6, 2024 | 1000000 | 200000 |
| September 11, 2024 |  |  |
| September 12, 2024 | 15379100 | 3370541 |
|  | 23379100 | 4731394 |
| Balance as at September 30, 2024 | 332961663 | 81662446 |
| September 11, 2024 | 12500000 | 2500000 |
| September 19, 2024 | 1500000 | 300000 |
| September 24, 2024 | 500000 | 100000 |
| October 02, 2024 | 3.000000 | 657490 |
| October 17, 2024 | 1250000 | 250000 |
| October 21, 2024 | 3.500000 | 700000 |
| November 28. 2024 | 265000 | 53000 |
| December 11, 2024 | 2750000 | 550000 |
| December 16, 2024 | 1500000 | 300000 |
| February 12, 2025 | 10000000 | 2000000 |
| February 14. 2025 | 22.500000 | 4.500000 |
| February 20, 2025 | 500000 | 100000 |
| April 01, 2025 | 1983602 | 794335 |
| July 03, 2025 | 2000000 | 400000 |
| July 28, 2025 | 63908 | 38345 |
| July 29, 2025 | 28500000 | 5700000 |
| August 11, 2025 | 544245 | 217698 |
| August 12, 2025 | 252068 | 100827 |
| August 21. 2025 | 225.437 | 90175 |
|  | 93.334260 | 19351870 |
| Balance as at September 30, 2025 | 426295923 | 101014316 |

---

Page **27** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(a) <u>Issued and outstanding share capital (cont'd)</u> 

During the year ended September 30, 2025, the Company issued 93,334,260 new shares (2024 – 23,379,100), increasing its share capital by $19,351,870 (2024 - $4,731,394).

Details regarding the 2025 shares issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| Subscriptions | 36536750 |  |  |  | 7511700 |
| Exercise of RSUs | 54000000 |  |  |  | 10857490 |
| Advisory shares | 750000 |  |  |  | 150000 |
| Exercise of options | 1983602 |  |  |  | 794335 |
| Legal settlement | 63908 |  |  |  | 38345 |
|  | 93334260 |  |  |  | 19351870 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

A summary of the stock options is as follows:

---

| | | |
|:---|:---|:---|
| |<br>Number | Weighted-<br>average exercise<br>price |
|  | # |  |
| Balance, September 30, 2023 | 31558255 |  |
| Granted, July 7, 2024 | 500000 |  |
| Cancelled | (20994320) |  |
| Balance, September 30, 2024 | 11063935 |  |
| Exercised | (1983602) |  |
| Balance, September 30, 2025 | 9080333 |  |
| Exercisable | 8580333 |  |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| 2025 <br>Vesting Conditions | Options<br> outstanding | Weighted-average exercise price | Weighted-average remaining life | Weighted-average remaining life |
|  | # |  | $— | $|
| Immediately | 5530333 |  |  | 1.47 |
| 1/3 per year from grant date | 3050000 |  |  | 0.85 |
| Subsidiary reaches revenue of EUR 4 million | 500.000 |  |  | 3.94 |
| Outstanding, September 30, 2025 | 9080333 |  |  | 1.40 |
| Exercisable. September 30, 2025 | 8.580333 |  |  | 1.25 |

---

During the 2025 period, 1,983,602 stock options were exercised, for gross proceeds of $99,180, increasing share capital by $794,335.

Page **28** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(c) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion. Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board.

The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

A continuity of RSUs is as follows:

---

| | | |
|:---|:---|:---|
| | RSUs<br>Granted | RSUs<br>Vested |
|  | # | # |
| September 30, 2023 | 7000000 | 7000000 |
| Issued | 49975200 |  |
| Vested |  | 27950333 |
| Exercised | (22379100) | (22379100) |
| September 30, 2024 | 34596100 | 12571233 |
| Issued | 67880000 |  |
| Vested |  | 51000000 |
| Exercised | (54000000) | (54000000) |
| September 30, 2025 | 48476100 | 9571233 |

---

During the year ended September 30, 2025, share-based compensation expense for the Company's RSUs was $10,200,000 (2024 - $4,531,394). The fair value of each share-based payment transaction was estimated on the date of the grant, based on the present value of the underlying equity, with the following weighted-average assumptions:

---

| | | | |
|:---|:---|:---|:---|
| | Apr 30, 2024 | Jun 3, 2024 | Jan 31, 2025 |
| Estimated stock price at time of grant | $0.26 | $0.26 | $0.20 |
| Number of periods to exercise, in years | 5.00 | 5.00 | 0.67 |
| Compounded risk-free rate | 3.92% | 3.59% | 2.69% |
| Dividend yield | 0.00% | 0.00% | 0.00% |
| Exercise price | $— | $— | $— |
| Volatility | 115% | 115% | 115% |
| Discount for lack of marketability | 16.00% | 16.00% | 12.17% |

---

Page **29** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(c) <u>Restricted stock units</u> 

---

| | | | |
|:---|:---|:---|:---|
| | Feb 10, 2025 | Jun 29, 2025 | Sep 9, 2025 |
| Estimated stock price at time of grant | $0.20 | $0.20 | $0.40 |
| Number of periods to exercise, in years |  |  |  |
| Compounded risk-free rate | n/a | n/a | n/a |
| Dividend yield | 0.00% | 0.00% | 0.00% |
| Exercise price | $— | $— | $— |
| Volatility | 115% | 115% | 115% |
| Discount for lack of marketability | 0.00% | 0.00% | 0.00% |

---

As at September 30, 2025 a total of 9,571,233 (2024 – 12,842,332) RSUs had vested.

For details of related party transactions, see **Note 13**.

**10.** **RECONCILIATION OF EBITDA** 

The following table outlines the reconciliations of adjusted EBITDA and adjusted EBITDA margin to its nearest IFRS measure:

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
| Net loss | (16548342) | (11278649) |
| Interest expenses | 1754914 | 523970 |
| Interest income | (5645) | (9584) |
| Income taxes |  |  |
| Depreciation | 11470759 | 11602852 |
| **EBITDA** | **(3328314)** | **838589** |
| Stock-based compensation | 10200000 | 4879221 |
| Foreign exchange gain | (113023) | (58633) |
| **Adjusted EBITDA** | **6758663** | **5659177** |
| Revenue | 24895690 | 22611281 |
| Adjusted EBITDA | 6758663 | 5659177 |
| **Adjusted EBITDA margin** | **27%** | **25%** |

---

Adjustments to EBITDA are described in detail in the notes to the financial statements.

**11.** **LIQUIDITY AND CAPITAL RESOURCES** 

(a) <u>Liquidity</u> 

As at September 30, 2025, the Company held cash of $5.5 million, compared to $0.7 million as at September 30, 2024. In addition, the Company maintained digital assets valued at $0.8 million (September 30, 2024 – $2.5 million), which may serve as a supplemental source of liquidity depending on prevailing market conditions. The Company's working capital deficit as at year-end was $6.4 million (September 30, 2024 – $7.7 million), reflecting increased current liabilities.

Page **30** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**11.** **LIQUIDITY AND CAPITAL RESOURCES (CONT'D)** 

(a) <u>Liquidity (cont'd)</u> 

The Company's ability to generate sufficient liquidity in the near term remains dependent on (i) ongoing revenues from digital assets mined, (ii) collections from customer contracts, and (iii) prudent cost management. While operations generated revenues of $24.9 million during the year (2024 – $22.6 million), these revenues were offset by direct costs of $25.2 million (2024 – $24.4 million), resulting in continued negative gross margins. Despite this continued pressure on gross margins, the Company generated positive cash flows in 2025, largely driven by the proceeds on sale of digital assets and financing inflows from debt and equity issuances, which funded liquidity during the year.

Management monitors liquidity risk by preparing regular cash flow forecasts and assessing its ability to meet obligations as they come due. The Company has historically relied upon a combination of operating cash flows, equity financings and strategic arrangements to support its capital requirements, and expects that such financing sources will continue to be necessary until operations achieve sustained profitability.

The Company's current liabilities increased to $13.6 million as at September 30, 2025, compared to $12.9 million as at September 30, 2024, driven primarily by the recognition of loans payable classified as current liabilities, together with moderately higher accounts and other payables and the reclassification of portions of existing obligations as they became due within twelve months. The Company expects these obligations to be managed and settled through a combination of cash on hand from financing initiatives, operating cash flows generated from digital asset mining, collections of outstanding receivables, and prudent cost management, while continuing to monitor covenant compliance and liquidity requirements.

There are inherent risks associated with the Company's liquidity position, including volatility in digital asset prices, reliance on stable electricity costs, and the availability of external capital.

Management believes the Company has adequate resources to fund its short-term obligations but acknowledges that future growth will require access to additional financing.

(b) <u>Contractual obligations</u> 

The Company is party to various contractual obligations, including loans payable, settlement liabilities, convertible debentures, and lease liabilities. As at September 30, 2025, loans payable amounted to $16,236,880, of which $1,554,867 is classified as current. Convertible debentures of $1.6 million are outstanding and classified as a current liability, which is inclusive of the interest accretion on this debt. The Company continues to service these obligations through available cash resources and ongoing capital management efforts.

(c) <u>Capital resources</u> 

The Company's capital resources primarily consist of shareholders' equity, which totaled $12.9 million at September 30, 2025, compared to $13.8 million in the prior year. The decrease was attributable to the net loss for the period and other comprehensive losses. The Company's share capital increased to $101.0 million (2024 – $81.7 million) as a result of equity issuances during the year, which provided important financing for operations. Management defines its capital structure as shareholders' equity, debt instruments (including loans payable, convertible debentures and lease liabilities), and other financing arrangements. The Company's objective is to preserve a flexible capital structure that allows it to respond to changing economic and industry conditions, while minimizing the overall cost of capital.

Page **31** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**11.** **LIQUIDITY AND CAPITAL RESOURCES (CONT'D)** 

(c) <u>Capital resources (cont'd)</u> 

As of the reporting date, the Company has no significant capital expenditure commitments beyond those disclosed in the financial statements; however, expenditures are expected to be required in future periods to maintain and expand the Company's mining and hosting infrastructure. Such commitments are anticipated to be funded through a combination of operating revenues, equity financings, and potential strategic partnerships.

Known trends that may affect the Company's capital resources include volatility in digital asset markets, regulatory developments affecting cryptocurrency mining and hosting services, and the Company's ability to access capital markets on favorable terms. Management continues to evaluate financing alternatives to ensure that sufficient resources are available to support both near-term liquidity needs and longer-term strategic growth initiatives.

(d) <u>Digital currency</u> 

The Company holds Bitcoin primarily to support working capital needs. In managing liquidity risk, management targets maintaining cash and cash equivalents in excess of expected cash outflows over the next sixty days. When forecasts indicate a shortfall against this target, the Company disposes of Bitcoin to bridge the gap. Disposals are sized using weekly cash flow forecasts that consider near-term power, payroll, lease and debt-service obligations and expected customer collections; timing is aligned to settlement dates for these obligations and market trading windows that provide sufficient depth.

The Company continues to treat Bitcoin as a supplemental source of liquidity and will adjust the timing and amount of future sales in line with forecast cash needs and prevailing market conditions. Please refer to the corresponding financial statements for a continuity schedule of Bitcoin balances and disposals, and Financial Instruments and Risk Management for the Company's 60-day liquidity risk framework.

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT** 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low. The following summarizes the Company's financial instruments and associated risks.

*Risk management framework* 

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework.

The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

Page **32** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Liquidity risk* 

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk, calculated as total liabilities, is $29,890,007 as at September 30, 2025 (2024 – $16,025,622), for which the Company has cash of $5,475,486 on hand to satisfy its liabilities (2024 – $687,226). There have been no changes to the method for managing liquidity risk.

*Credit risk* 

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. An allowance for doubtful accounts is established based upon factors surrounding the credit risk of specific accounts, historical trends and other information.

*Market risk* 

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk* 

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency.

Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate and as when required. The effectiveness of these hedging instruments is assessed regularly.

However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

Page **33** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**12.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*Interest rate risk* 

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk* 

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk* 

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk* 

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held.

To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

**13.** **RELATED PARTY TRANSACTIONS** 

The Company defines related parties in accordance with the definitions in IAS 24 - Related Party Disclosures. As they pertain to the Company, related parties comprise: (i) Key management personnel as described below, and (ii) entities within the Company's reporting group as described in **Note 3(b)**.

Page **34** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**13.** **RELATED PARTY TRANSACTIONS (CONT'D)** 

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the years ended September 30, 2025 and 2024, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Total compensation paid to key management |  | 223481 |
| Share-based payments |  | 4879221 |
|  |  | 5102702 |

---

As of September 30, 2025 and 2024, amounts due to related parties consisted of the following:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Balances included in accounts and other payables |  | 213119 |
| Related party advances |  | 66950 |
| Convertible debentures |  | 1364013 |

---

The balances are unsecured, due on demand and bear no interest, unless otherwise disclosed.

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually.

The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") or the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

Page **35** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**13.** **RELATED PARTY TRANSACTIONS (CONT'D)** 

(c) <u>Convertible debentures (cont'd)</u> 

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the year end.

**14.** **OFF-BALANCE-SHEET ARRANGEMENTS** 

As at September 30, 2025 and 2024, the Company had no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company's financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

**15.** **RISK FACTORS AND UNCERTAINTIES** 

The Company's operations involve numerous risks and uncertainties, many of which are beyond its control. The risks outlined below are not exhaustive. Additional risks—currently unknown to the Company or considered immaterial by management—could materially and adversely affect the Company's business, operations, financial condition, results of operations, or share price. Investors should carefully evaluate the following risks together with the other information contained in this MD&A and the Company's financial statements before making an investment decision. A number of the Company's risks are entity specific, including concentration of operations at a single facility in Norway's NO4 region, reliance of a third party mining pool provider (Luxor), exposure to a limited number of hosting customers, and the potential impact of Norwegian regulatory or grid policy changes on power costs and uptime.

(a) <u>Technology, digital asset custody & operational continuity</u> 

*(i)* *Cryptocurrency security and code vulnerabilities* 

The Company's digital asset holdings are inherently vulnerable to cybersecurity incidents, source code flaws, and network exploits. Cryptocurrencies rely on complex and constantly evolving open-source software, and despite peer review, errors in the codebase have occasionally been identified and exploited by malicious actors. While material exploits remain relatively rare, the possibility exists that undiscovered vulnerabilities could enable unauthorized transfers or the creation of counterfeit assets, potentially resulting in significant financial losses for the Company. The very nature of cryptocurrencies—as bearer assets accessible only through private keys—exacerbates this risk, as stolen or compromised assets are virtually impossible to recover.

*(ii)* *Custodial, wallet, and exchange risks* 

The Company's reliance on custodial solutions, both internal and external, presents additional risks of theft, mismanagement, or insolvency of service providers. Cryptocurrency exchanges, although a key source of liquidity, remain less regulated and more prone to fraud, hacking, and operational failures than traditional financial institutions. High-profile collapses of exchanges in recent years underscore the vulnerability of counterparties in this space.

Page **36** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(a) <u>Technology, digital asset custody & operational continuity (cont'd)</u> 

*(ii)* *Custodial, wallet, and exchange risks (cont'd)* 

Any exchange failure or wallet compromise could lead to unrecoverable losses of the Company's inventory, directly harming its financial condition and potentially affecting investor confidence.

*(iii)* *Systems failures and cyber incidents* 

Maintaining continuous mining and treasury operations requires resilient IT infrastructure. Risks include cyber intrusions, malware attacks, denial-of-service incidents, and failures due to fire, flood, or other disasters. The Company invests in redundancies, backup power, and ongoing upgrades to infrastructure; however, no system is infallible.

Extended downtime could impair mining output, disrupt treasury functions, and materially reduce revenues. Moreover, reputational harm may arise if customers, partners, or regulators perceive inadequacies in the Company's controls.

*(iv)* *Access to economical and reliable power* 

Cryptocurrency mining is energy intensive. The Company's operations depend on reliable, large-scale, and competitively priced electricity. Any material increase in power tariffs, supply curtailments, or unfavourable regulatory actions by utilities could erode operating margins. For example, regional energy regulators such as Hydro-Québec have previously imposed moratoria and considered imposing surcharges or operational requirements on cryptomining firms. Similar actions in the future could materially impact the Company's cost base and profitability.

*(v)* *Hardware sourcing, pricing and technological obsolescence* 

The Company's competitiveness depends on the timely acquisition of state-of-the-art mining machines at reasonable cost. Global demand for mining hardware is highly cyclical, and shortages or supply chain disruptions can lead to inflated prices and delivery delays. Rapid technological advancement further compounds this risk, as newer models quickly supersede older ones, reducing efficiency and revenue potential. If the Company cannot secure updated hardware, it risks being outcompeted by better-capitalized peers.

*(vi)* *Insurance limitations* 

Insurance tailored to cryptocurrency mining and custody remains nascent, with limited coverage options available at significant cost. Events such as theft, hacking, or catastrophic facility damage may fall outside standard policies or within exclusions. If uninsured or underinsured losses occur, the Company could experience material financial and operational setbacks.

*(vii)* *Permits and licenses* 

Mining and hosting operations may require governmental permits and environmental, zoning, or regulatory approvals.

Inability to obtain or maintain these approvals could restrict growth or increase compliance costs. Unexpected changes in licensing regimes could also impose delays or additional capital requirements.

Page **37** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(a) <u>Technology, digital asset custody & operational continuity (cont'd)</u> 

*(viii)* *Third-party service providers and software dependencies* 

The Company's operations rely on a wide network of third-party vendors, including software developers, cloud computing providers, and specialized contractors. Many of these service providers operate outside of traditional regulatory frameworks, and their internal controls may not be transparent. If such third parties fail to deliver services, suffer outages, or experience breaches of their own systems, the Company may face significant disruptions to its mining, treasury, and reporting functions. Replacing or renegotiating with these providers can be costly and time-consuming, and prolonged service interruptions could materially impair financial performance.

*(ix)* *Physical facility risks and environmental hazards* 

Mining operations are highly sensitive to the physical integrity of their facilities. Fire hazards, water damage, structural weaknesses, and HVAC failures present ongoing risks to the safety and continuity of operations.

Furthermore, increasing scrutiny of environmental impact, particularly regarding noise levels, heat emissions, and recycling of obsolete hardware, may expose the Company to community opposition or compliance costs. Any incident or regulatory non-compliance could result not only in financial losses but also in reputational harm, hindering the Company's ability to expand operations.

*(x)* *Data integrity and disaster recovery limitations* 

The Company's business model requires the storage and processing of vast amounts of financial and technical data. A failure in backup protocols, inadequate disaster recovery systems, or corruption of key data sets could materially impair operations and reporting accuracy. Although the Company has instituted redundancy systems and periodic testing, full resilience cannot be guaranteed. If critical data is lost or compromised, the Company could face operational delays, compliance failures, and increased risk of fraud or misrepresentation, any of which could erode investor and customer confidence.

(b) <u>Regulatory, market structure & digital asset economics</u> 

*(i)* *Regulatory change and policy actions* 

The global regulatory environment for cryptocurrencies remains fragmented and dynamic. Some jurisdictions actively support digital asset innovation, while others impose outright bans or restrictive frameworks. The Company faces uncertainty around potential new laws in Canada and internationally that could directly impact mining, ownership, transfer, or taxation of cryptocurrencies. Regulatory shifts could also extend indirectly to the Company's shares if authorities classify them as linked to restricted activities. In the worst case, regulations could force liquidation of inventories at unfavourable prices, curtail access to exchanges, or prohibit ongoing operations.

*(ii)* *Banking and payments de-risking* 

A persistent challenge for cryptocurrency-related businesses is limited access to banking services. Many financial institutions perceive heightened compliance risks, particularly with respect to anti-money laundering and counter-terrorist financing. If the Company's banking partners reduce or withdraw services, treasury management could be impaired, increasing operational complexity and reputational risk.

Page **38** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(iii)* *Exchange and trading-venue fragility* 

Digital asset markets are young and only partially regulated. Major exchanges have experienced insolvencies, hacks, and abrupt shutdowns. Smaller exchanges may lack sufficient capitalization, while larger venues are attractive targets for cyberattacks or regulatory scrutiny. Because cryptocurrency prices are determined primarily on these venues, any disruption could trigger significant volatility and impair liquidity.

*(iv)* *Adoption and utility uncertainty* 

Despite increased awareness, mainstream adoption of cryptocurrencies as a payment method remains limited. Use in retail and commercial markets is small compared with speculative trading. If adoption stalls or reverses, the result may be greater price volatility and diminished long-term value. Since cryptocurrencies have no intrinsic legal tender status, their worth depends on user and merchant acceptance. A collapse in acceptance could render them illiquid or valueless.

*(v)* *Price volatility and momentum dynamics* 

Cryptocurrency prices are highly volatile, often driven by sentiment, leverage, or speculative momentum rather than fundamentals. This amplifies the risk of sharp value swings in short periods, leading to potential mark-to-market losses on the Company's inventory. Momentum pricing creates a feedback loop that can exacerbate both rapid appreciation and sudden crashes.

*(vi)* *Network economics, reward structure and transaction fees* 

Mining economics depend on rewards issued by protocols. As block rewards halve approximately every four years, transaction fees are expected to play a larger role. If total rewards prove insufficient to incentivize miners, overall network participation could decline, reducing security and increasing susceptibility to attacks. Lower participation may also reduce block production speed, undermining confidence in the network and indirectly affecting the Company's revenues.

*(vii)* *Network difficulty and competition* 

Bitcoin's self-adjusting difficulty mechanism means that rising global hash rates dilute per-unit rewards. As competitors with greater scale and efficiency join the network, the Company's output may decrease despite unchanged costs, potentially eroding profitability. This dynamic could render operations uneconomical if difficulty rises faster than anticipated.

*(viii)* *Supply and demand shocks, including actions by investment vehicles* 

The emergence of cryptocurrency investment vehicles, such as exchange-traded funds and trusts, concentrates significant market influence in institutional hands.

Large inflows or redemptions from these vehicles can amplify volatility. Should such entities sell large holdings in a short period, digital asset prices could fall sharply, negatively affecting the Company's inventory value.

Page **39** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(ix)* *Geopolitical and macroeconomic events* 

Crises such as wars, sanctions, or economic recessions may drive speculative demand for cryptocurrencies as alternative stores of value. These inflows can temporarily inflate prices but are often followed by corrections. Conversely, geopolitical instability may reduce confidence in cryptocurrencies as viable alternatives to fiat, further complicating demand forecasts. The unpredictability of such events creates additional uncertainty in planning and risk management.

*(x)* *Forced sales to fund operations* 

The Company may need to liquidate digital assets to meet operational obligations or fund expansion, regardless of prevailing market conditions. If such sales occur during periods of depressed prices, they may crystallize losses and adversely affect cash flow and profitability.

*(xi)* *Cross-border regulatory inconsistencies* 

The Company operates in a global marketplace where digital assets frequently cross jurisdictions. Inconsistent or conflicting international rules on mining, custody, taxation, and transfer of cryptocurrencies create ongoing uncertainty. For example, assets legally mined in one country may face restrictions or penalties if transferred or sold in another. Navigating these regulatory patchworks requires significant legal resources and exposes the Company to inadvertent non-compliance risks. Future regulatory divergence may also hinder the Company's ability to scale internationally.

*(xii)* *Market manipulation and integrity concerns* 

Digital asset markets are less regulated than traditional securities exchanges, leaving them vulnerable to practices such as wash trading, spoofing, pump-and-dump schemes, and the influence of large "whale" investors. Such manipulative behaviour can distort pricing, reduce transparency, and undermine confidence in the market as a whole. If manipulation is widespread or persistent, the Company may experience unexpected valuation swings in its inventory, limiting its ability to plan operations, raise capital, or secure counterparties.

*(xiii)* *Shifts in energy policy and carbon regulation* 

Governments worldwide are increasingly focused on sustainability and carbon reduction. Mining, as an energy-intensive activity, could be targeted with taxes, levies, or outright restrictions intended to reduce greenhouse gas emissions. Jurisdictions that once welcomed mining may pivot toward more restrictive stances as public pressure mounts. If regulators impose carbon pricing, renewable energy quotas, or limitations on power usage specific to cryptocurrency miners, the Company's cost structure and long-term viability could be materially affected.

(c) <u>Financial, corporate, legal & governance</u> 

*(i)* *Liquidity and additional financing* 

Execution of the Company's business strategy depends on raising and maintaining adequate capital. There is no guarantee that financing will be available on favourable terms—or at all—when required. Equity financings may dilute existing shareholders, while debt could impose restrictive covenants. Failure to secure necessary funding could result in scaling back or abandoning strategic initiatives and, in extreme cases, threaten the Company's ability to continue as a going concern.

Page **40** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(ii)* *Key personnel* 

The Company relies heavily on its senior management team and specialized technical staff. Retaining and attracting individuals with cryptocurrency, finance, and technology expertise is highly competitive. Departure of key personnel without suitable replacements could materially disrupt strategy execution and growth.

*(iii)* *Strategy execution, acquisitions and integrations* 

As part of its strategy, the Company may pursue acquisitions, joint ventures, or partnerships. Each transaction carries risks related to due diligence, financing, cultural integration, and realization of synergies. Missteps in execution could result in financial losses or distraction from core operations.

*(iv)* *Conflicts of interest* 

Some directors and officers may hold positions in or investments in other entities engaged in cryptocurrency or technology businesses. While legal safeguards require disclosure and abstention from conflicted decisions, the perception or reality of conflicts could raise governance concerns or complicate decision-making.

*(v)* *Litigation and regulatory proceedings* 

The Company may face legal or regulatory claims in the ordinary course of business. Even if ultimately resolved favourably, such proceedings can consume management resources and generate costs. Adverse rulings may result in penalties, damages, or operational restrictions.

*(vi)* *Intellectual property claims* 

Third parties may assert that the Company's activities infringe upon their intellectual property rights. Defending such claims, regardless of merit, can be costly and disruptive. Unfavourable outcomes could affect the Company's ability to operate or diminish confidence in cryptocurrencies generally.

*(vii)* *Dividend policy* 

The Company has not declared dividends and does not expect to do so in the foreseeable future. Future dividend decisions, if any, will depend on profitability, liquidity, and Board discretion. Shareholders should not expect income from dividends in the near term.

*(viii)* *Tax attributes and compliance risks* 

The Company has approximately $24 million of tax loss carryforwards that may offset future taxable income. Utilization depends on continued profitability and acceptance by the Canada Revenue Agency. If disallowed, future tax liabilities may increase.

Furthermore, uncertainty remains regarding the treatment of cryptocurrency mining under commodity tax regimes such as GST, HST, and QST. Adverse assessments or interpretive changes could delay refunds or reduce working capital.

Page **41** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**15.** **RISK FACTORS AND UNCERTAINTIES (CONT'D)** 

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(ix)* *Income and commodity tax uncertainty* 

Complex and evolving tax rules pose ongoing risks. Disputes with authorities may result in additional taxes, penalties, or interest. Even with proactive compliance, interpretations may shift, creating potential liabilities.

*(x)* *Competition and market perception* 

The Company competes with other miners and digital asset firms for resources, customers, and investor attention. Negative industry events—such as exchange failures, hacks, or regulatory crackdowns—can tarnish sentiment and reduce valuations across the sector, affecting the Company even if it is not directly implicated.

*(xi)* *Dependence on capital markets sentiment* 

As a publicly traded entity, the Company's valuation and access to capital are closely tied to investor sentiment toward the digital asset sector. Market downturns, scandals involving other blockchain companies, or broader declines in technology stocks may limit the Company's ability to issue equity or debt on acceptable terms. A sudden contraction in available financing could force the Company to curtail growth initiatives, restructure operations, or sell assets at distressed values.

*(xii)* *Internal control and financial reporting risks* 

The complexity of accounting for digital assets, coupled with evolving standards under IFRS, creates heightened risk of errors or misstatements in the Company's financial disclosures. Inadequate internal controls, resource constraints in finance teams, or reliance on manual reconciliation processes could result in delayed filings, restatements, or regulatory scrutiny. Such outcomes would undermine credibility with investors and may limit access to financing or strategic partners.

*(xiii)* *Reputational exposure and stakeholder confidence* 

The Company operates in a sector that is often subject to intense media attention and public debate. Negative coverage—whether linked to cybersecurity incidents, environmental concerns, or unrelated events in the digital asset industry—can affect the Company's reputation even in the absence of direct involvement. Erosion of stakeholder confidence may impair the Company's ability to attract and retain employees, customers, and investors, creating a self-reinforcing cycle that hampers growth and long-term resilience.

**16.** **DISCLOSURE CONTORLS AND PROCEDURES/ INTERNAL CONTROL OVER FINANCING REPORTING** 

As a venture issuer, the Company has filed basic certificates under National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings ("NI 52-109").

Page **42** of **43**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis** | **BITZERO BLOCKCHAIN INC.** |
| (Expressed in United States Dollars, unless otherwise noted) | Year ended September 30, 2025 |

---

**16.** **DISCLOSURE CONTORLS AND PROCEDURES/ INTERNAL CONTROL OVER FINANCING REPORTING (CONT'D)** 

The certifying officers do not make representations relating to the establishment and maintenance of disclosure controls and procedures ("DC&P") and internal control over financial reporting ("ICFR"), as defined in NI 52-109. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected. There has been no change in the Company's ICFR during the period that has materially affected, or is reasonably likely to materially affect, the Company's ICFR. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected.

**17.** **OUTLOOK** 

Management expects post halving mining economics to remain challenging and highly sensitive to BTC price, transaction fees and network difficulty. The Company's near term priorities are: (i) increasing energy efficiency and hashrate per MW through new miner deployments; (ii) expanding hosting revenue to improve cash flow stability; (iii) optimizing grid flexibility revenues in Norway; and (iv) maintaining disciplined capital allocation. These expectations constitute forward looking information and are based on the assumptions described under "Forward Looking Information.". See 'Cautionary Note Regarding Forward-Looking Information' for important assumptions and risk factors.

**18.** **OUTSTANDING SHARE DATA** 

As at September 30, 2025, the Company's outstanding share data is as follows:

● Common shares outstanding: 426,295,923

● Stock options outstanding: 9,080,333

○ Weighted average exercise price: $0.19

○ Weighted average remaining life: 1.4 years

○ Options exercisable: 8,580,333

● Restricted Share Units (RSUs) outstanding: 48,476,100

○ RSUs vested: 9,571,233

● Convertible debentures outstanding: $947,364 principal amount.

○ Convertible at CAD $0.40 per share at the Company's option after maturity.

For a detailed breakdown of the Company's outstanding securities, including exercise prices, expiry dates, vesting conditions, and any changes subsequent to year end, please refer to Section 4 (Subsequent Events) and Section 9 (Material Transactions).

**19.** **FILING** 

These documents have been filed electronically with the Canadian securities regulators through the System for Electronic Document Analysis and Retrieval + ("SEDAR+") and may be accessed through SEDAR+'s website at <u>www.sedarplus.ca</u>.

Page **43** of **43**

## Exhibit 99.78

**Exhibit 99.78**

**Form 52-109FV1**

**Certification of Annual Filings <br> Venture Issuer Basic Certificate**

I, Mohammed Bakhashwain, Chief Executive Officer of Bitzero Holdings Inc., certify the following:

1.  ***Review:*** I have reviewed the AIF, if any, annual financial
statements and annual MD&A, including, for greater certainty, all documents and information that are incorporated by reference
in the AIF (together, the "annual filings") of Bitzero Holdings Inc. (the "issuer") for the financial year
ended September 30, 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised
reasonable diligence, the annual filings do not contain any untrue statement of a material fact or omit to state a material fact
required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was
made, for the period covered by the annual filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised
reasonable diligence, the annual financial statements together with the other financial information included in the annual filings
fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the
date of and for the periods presented in the annual filings.

Date: January 28, 2026

*/s/ Mohammed Bakhashwain*

 

Mohammed Bakhashwain

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer
in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed,
summarized and reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.79

**Exhibit 99.79**

**Form 52-109FV1**<br> ***Certification of Annual Filings*** <br> ***Venture Issuer Basic Certificate***

I, Igor Kostioutchenko, Chief Financial Officer of Bitzero Holdings Inc., certify the following:

1.  ***Review:*** *I have reviewed the AIF, if any, annual financial statements and annual MD&A, including, for greater certainty, all documents and information that are incorporated by reference in the AIF (together, the "annual filings") of Bitzero Holdings Inc. (the "issuer") for the financial year ended September 30, 2025.* 

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the annual filings do not contain any untrue statement of a
material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading
in light of the circumstances under which it was made, for the period covered by the annual filings.

*3.*  ***Fair presentation:*** *Based on my knowledge, having exercised reasonable diligence, the annual financial statements together with the other financial information included in the annual filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the annual filings.* 

Date: January 28, 2026

*/s/ Igor Kostioutchenko*

 

Igor Kostioutchenko

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer
in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed,
summarized and reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.80

**Exhibit 99.80**

**BITZERO HOLDINGS INC.**

**Annual Information Form**

**For the Fiscal Year Ended September 30, 2025**

**Dated: February 2, 2026**

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| **GLOSSARY OF TERMS** | **1** |
| **MARKET AND INDUSTRY DATA** | **8** |
| **CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION** | **9** |
| **CAUTIONARY NOTE REGARDING FUTURE ORIENTED FINANCIAL INFORMATION** | **12** |
| **CERTAIN DOCUMENTS INCORPORATED BY REFERENCE** | **13** |
| **CORPORATE STRUCTURE** | **14** |
| **GENERAL DEVELOPMENT OF THE BUSINESS** | **15** |
| **RISK FACTORS** | **37** |
| **DIVIDENDS AND DISTRIBUTIONS** | **38** |
| **DESCRIPTION OF CAPITAL STRUCTURE** | **38** |
| **MARKET FOR SECURITIES** | **44** |
| **SECURITIES AUTHORIZED FOR ISSUANCE UNDER EQUITY COMPENSATION PLANS** | **46** |
| **ESCROWED SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL RESTRICTIONS ON TRANSFER** | **46** |
| **DIRECTORS AND OFFICERS** | **47** |
| **PRINCIPAL SECURITYHOLDERS** | **49** |
| **PROMOTERS** | **50** |
| **LEGAL PROCEEDINGS AND REGULATORY ACTIONS** | **50** |
| **INDEBTEDNESS OF DIRECTORS AND OFFICERS** | **51** |
| **INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS** | **51** |
| **TRANSFER AGENTS AND REGISTRARS** | **51** |
| **MATERIAL CONTRACTS** | **52** |
| **INTERESTS OF EXPERTS** | **52** |
| **AUDIT COMMITTEE** | **53** |
| **ADDITIONAL INFORMATION** | **56** |
| **SCHEDULE "A"** | **1** |

---

**ANNUAL INFORMATION FORM**

This Annual Information Form is dated as of February 2, 2026, and unless otherwise indicated, the information contained herein is dated as of the last day of the most recently completed financial year of the Corporation (as such terms are defined hereinafter).

In this Annual Information Form, unless otherwise indicated or if the context otherwise requires, the "**Corporation**", "**we**", "**us**" and "**our**" means Bitzero Holdings Inc., and where the context so requires, includes its predecessors and Subsidiaries (as defined hereinafter).

All financial information and all dollar amounts in this Annual Information Form are prepared in U.S. dollars, unless otherwise indicated, and in accordance with IFRS (as hereinafter defined) as issued by the International Accounting Standards Board, as issued by the International Accounting Standards Board. Unless otherwise indicated, all references to "$" in this Annual Information Form refer to United States dollars.

On December 15, 2023, the Corporation completed a substantial issuer bid and purchased for cancellation 83,256,650 pre-consolidation WBM Common Shares (as hereinafter defined) at a price of $0.1225 per pre-consolidation WBM Common Share for an aggregate purchase price of C$10,198,940. The WBM Common Shares purchased under the substantial issuer bid represented approximately 95% of the total issued and outstanding WBM Common Shares (the "**2023 Consolidation**"). All references to the WBM Common Shares and securities issuable into WBM Common Shares in this Annual Information Form, other than in documents dated prior to December 15, 2023 that are incorporated by reference in this Annual Information Form, reflect post-2023 Consolidation amounts unless otherwise indicated or the context otherwise requires. All documents dated prior to December 15, 2023 that are incorporated by reference in this Annual Information Form reflect pre-2023 Consolidation amounts unless otherwise indicated or the context otherwise requires.

On October 4, 2024, the Corporation completed a share consolidation on the basis of 6,000,000 pre-consolidation WBM Common Shares to one post-consolidation WBM Common Share (the "**2024 Consolidation**"). All references to the WBM Common Shares and securities issuable into WBM Common Shares in this Annual Information Form, other than in documents dated prior to October 4, 2024, that are incorporated by reference in this Annual Information Form, reflect post-2024 Consolidation amounts unless otherwise indicated or the context otherwise requires. All documents dated prior to October 4, 2024, that are incorporated by reference in this Annual Information Form reflect pre-2024 Consolidation amounts unless otherwise indicated or the context otherwise requires.

On July 24, 2025, the Corporation completed the WBM Adjustment (as defined hereinafter) by completing a share split of the WBM Common Shares on a basis of 250,000 post-WBM Common Shares for every one pre-WBM Common Share such that the number of post-WBM Common Shares was 250,000. All references to the WBM Common Shares and securities issuable into WBM Common Shares in this Annual Information Form, other than in documents dated prior to July 24, 2025, that are incorporated by reference in this Annual Information Form, reflect post-WBM Adjustment amounts unless otherwise indicated or the context otherwise requires. All documents dated prior to July 24, 2025, that are incorporated by reference in this Annual Information Form reflect pre-WBM Adjustment amounts unless otherwise indicated or the context otherwise requires.

**GLOSSARY OF TERMS**

The following is a glossary of certain terms used in this Annual Information Form. Words importing the singular, where the context requires, include the plural and vice versa, and words importing any gender include all genders:

"**2023 Consolidation**" has the meaning ascribed to it under AIF.

"**2024 Consolidation**" has the meaning ascribed to it under AIF.

"**Aadnevik Invest**" means Aadnevik Invest AS, organization number 921 091 834, being a company incorporated under the laws of Norway and wholly-owned by Frank Aadnevik.

"**Active Capacity**" means useable or immediately available capacity of a system, measured in MW.

"**Affiliate**" has the meaning ascribed to it in the BCBCA.

"**AIF Date**" means the date of the Annual Information Form being February 2, 2026.

"**AIF**" or "**Annual Information Form**" means this annual information form dated February 2, 2026.

"**Applicable Securities Laws**" means, as applicable, the securities legislation, securities regulation and securities rules, and the policies, notices, instruments and blanket orders of each Canadian securities regulator having the force of applicable Law and in force from time to time.

"**Arcane Servers**" means the space and other equipment necessary to operate computers and related hardware for cloud computing at the Norway Data Center.

"**ASIC**" means application-specific integrated circuits.

"**Associate**" has the meaning ascribed to it in the BCBCA.

"**Audit Committee Charter**" means the audit committee charter of the Corporation, attached to the Corporation's Listing Statement, which is available on SEDAR+.

"**Authorizations**" means collectively, all consents, licenses, registrations, permits, authorizations, permissions, orders, approvals, clearances, waivers, certificates, and declarations issued, granted, given or otherwise made available by or under the authority of any Government Entity or pursuant to any requirement under applicable Law.

"**Bakhashwain Employment Agreement**" has the meaning ascribed to it "*General Development of the Business.*"

"**Barbadian Subsidiary**" means "Bitzero Inc." a wholly-owned subsidiary of Bitzero incorporated under the laws of Barbados.

"**Barbadian-Exanorth Data Services Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**BCBCA**" means the *Business Corporations Act* (British Columbia).

"**Bitcoin**" is a Cryptocurrency that operates on a decentralized ledger system called a Blockchain.

"**Bitzero 2024 Financing**" has the meaning ascribed to it "*General Development of the Business.*"

"**Bitzero 2025 Financing**" has the meaning ascribed to it "*General Development of the Business.*"

"**Bitzero Blockchain Options**" means options outstanding in the capital Bitzero Blockchain exercisable for Bitzero Shares.

"**Bitzero Blockchain**" means Bitzero Blockchain Inc., a company existing under the BCBCA, which was acquired by the Corporation pursuant to the Reverse Takeover Transaction and is now the operating wholly-owned subsidiary of the Corporation.

"**Bitzero Convertible Note Financing**" has the meaning ascribed to it "*General Development of the Business.*"

"**Bitzero Convertible Notes**" has the meaning ascribed to it "*General Development of the Business.*"

"**Bitzero Finland**" means Bitzero Finland Oy, a wholly owned subsidiary of Bitzero Blockchain organized under the laws of Finland.

"**Bitzero Holdings**" or "**Corporation**" means Bitzero Holdings Inc., a company existing under the BCBCA, which, prior to the Reverse Takeover Transaction was called "WBM Capital Corp." The Corporation is the resulting issuer from the Reverse Takeover Transaciton between WBM Capital Corp. and Bitzero Blockchain (see "*Reverse Takeover Transaction*").

"**Bitzero ND I**" means Bitzero ND I, LLC corporation formed under the laws of North Dakota, USA, being a wholly-owned subsidiary of Bitzero.

"**Bitzero ND II**" means Bitzero ND II, LLC, a corporation formed under the laws of North Dakota, USA, being a wholly-owned subsidiary of Bitzero.

"**Bitzero Non-Voting Shares**" means non-voting shares in the capital of Bitzero Blockchain.

"**Bitzero Shares**" means the common shares in the capital of Bitzero Blockchain.

"**Block Reward**" is the total amount of Bitcoins awarded to the miner or pool that found a given Bitcoin block, and consists of a combination of Block Subsidy and Transaction Fees.

"**Block Subsidy**" is the amount of newly minted Bitcoins in each block as fixed by the Bitcoin protocol.

"**Blockchain**" means a decentralized digital ledger that enables secure, transparent, and immutable transactions.

"**Board**" means the board of directors of the Corporation.

"**Business Day**" means a day, other than a Saturday or Sunday, on which Canadian chartered banks are open for the transaction of business in Toronto, Ontario and Vancouver, British Columbia.

"**Business**" has the meaning ascribed to it under "*Description of the Business.*"

"**CEO**" means Chief Executive Officer.

"**CFO**" means Chief Financial Officer.

"**Chamandy Litigation**" has the meaning ascribed to it under "*Legal Proceedings and Regulatory Actions*."

"**Convertible Securities**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Corporation**" means Bitzero Holdings Inc.

"**Corporation Recapitalization**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Cryptocurrency**" is a form of encrypted and decentralized digital currency, transferred directly between peers across the internet, with transactions being settled, confirmed and recorded in a distributed public ledger through mining. Cryptocurrency is either newly "minted" through an initial coin/token offering or mined, which results in a new coin generated as a reward to incentivize Miners for verifying transactions on the Blockchain.

"**CSE**" means the Canadian Securities Exchange.

"**C&W Agency Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Equipment Manufacturer**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Escrow Agreement**" has the meaning ascribed to it under "*Escrowed Securities and Securities Subject to Contractual Restrictions on Transfer.*"

"**Escrowed Securities**" has the meaning ascribed to it under "*Escrowed Securities and Securities Subject to Contractual Restrictions on Transfer.*"

"**Exakraft**" means Exakraft AS, a Norwegian private limited company.

"**Exanorth-Arcane Agreement**" means the hosting agreement that Exanorth entered into under which Exanorth arranges the Arcane Servers.

"**Exanorth**" means Exanorth AS, a Norwegian private limited company, being a wholly-owned subsidiary of Bitzero.

"**Exanorth-Exakraft Settlement Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Exanorth-Arcane Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Exanorth-Arcane Settlement Agreement**" has the meaning ascribed to it "*General Development of the Business.*"

"**FAR Conditions**" has the meaning ascribed to it "*General Development of the Business.*"

"**FAR Convertible Note**" has the meaning ascribed to it under "*General Development of the Business.*"

"**FAR LOI**" has the meaning ascribed to it under "*General Development of the Business.*"

"**FAR Transformer Sales Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**FAR**" has the meaning ascribed to it "*General Development of the Business.*"

"**Finland Option Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Finland Preliminary Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Finland Property Agreements**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Finland Real Estate I**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Finland Real Estate II**" means the 95,000 square meters of land in Kokemäki, Finland.

"**Finland Real Estate III**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Finland Real Estate Purchase Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**First Norway Property**" means a 43,000 square meters of land on Kjelmo Statskog in Namsskogan, Norway that is owned by Exanorth.

"**Flexibility Provider**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Flexibility Services Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Floor**" has the meaning ascribed to it "*General Development of the Business.*"

"**Governmental Entities**" means: (a) any international, multi-national, national, federal, provincial, territorial, State, regional, municipal, local or other government, governmental or public department, central bank, court, tribunal, arbitral body, commission, board, bureau, commissioner, minister, cabinet, governor in council, ministry, agency or instrumentality, domestic or foreign, (b) any subdivision or authority of any of the foregoing, (c) any quasi-governmental or private body exercising any regulatory, expropriation or taxing authority under or for the account of any of the foregoing, or (d) any stock exchange, including, for greater certainty, the CSE.

"**Hashrate**" refers to the measure of the overall computing power that Miners use to produce new digital coins on a Cryptocurrency network.

"**HPC**" means high-performance computing, a technology that uses clusters of powerful processes that work in parallel to process multidimensional data sets and solve complex problems at high speeds.

"**IFRS**" means the international financial reporting standards.

"**Inactive Capacity**" means the portion of MW that are available but is not currently being utilized or is unavailable for use.

"**Inder Saini Agreement**" has the meaning ascribed to it "*General Development of the Business.*"

"**IT**" means information technology.

"**JGB First Draw Conversion Amount**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB First Draw**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB First Ratchet Issuance**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB First Warrants**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB Loan Agreement**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB Second Draw Agreement**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB Second Draw**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB Second Ratchet Issuance**" has the meaning ascribed to it "*General Development of the Business.*"

"**JGB Second Warrants**" has the meaning ascribed to it "*General Development of the Business.*"

"**K&P Services Agreement**" has the meaning ascribed to it "*General Development of the Business.*"

"**Klimacloud**" has the meaning ascribed to it "*General Development of the Business.*"

"**Klimacloud SPA**" the meaning ascribed to it "*General Development of the Business.*"

"**K33 Markets TCA**" has the meaning ascribed to it "*General Development of the Business.*"

"**K33 Markets**" has the meaning ascribed to it "*General Development of the Business.*"

"**Laws**" means, with respect to any Person, any and all applicable law (statutory, common or otherwise), constitution, treaty, convention, ordinance, code, rule, regulation, order, injunction, judgment, decree, ruling or similar requirement, whether domestic or foreign, enacted, adopted, promulgated or applied by a Governmental Entity that is binding upon or applicable to such Person or its business, undertaking, property or securities, and to the extent that they have the force of law, policies, guidelines, notices and protocols of any Governmental Entity, as amended, unless expressly specified otherwise.

"**Letter Agreement**" means the letter agreement between Bitzero Blockchain and WBM, pursuant to which WBM acquired the issued and outstanding equity securities of Bitzero Blockchain.

"**Listing Date**" means the date that the Corporation was listed on the CSE, being November 24, 2025.

"**Listing Statement**" has the meaning ascribed to it under "*Certain Documents Incorporated by Reference.*"

"**Luxor Software**" means the software underlying the Luxor Mining Pool.

"**Management**" means management of the Corporation.

"**Material Adverse Effect**" means a material adverse effect on the Business, the properties, assets, liabilities (including contingent liabilities), results of operations, financial performance, financial condition, or the market and trading price of the securities, of the Corporation and its Subsidiaries, taken as a whole.

"**Miners**" means a computer configured for the purpose of performing Blockchain computer operations.

"**Mining**" or "**Mine**" means the process of using Miners to provide the service of verifying and validating cryptographic Blockchain transactions and being rewarded with Cryptocurrency in return for such service;

"**Mining Pool**" means a joint group of Cryptocurrency Miners who combine their computational resources over a network. Individually, participants in a mining pool contribute their processing power toward the effort of finding a block. This does not include Hashrate based exchanges or Hashrate contracts.

"**Name Change**" the change of WBM's name to "Bitzero Holdings Inc."

**"ND I, ROFR"** has the meaning ascribed to it under "*General Development of the Business.*"

"**Nekoma Pyramid**" means the Stanley R. Mickelson Safeguard Complex, renamed the Nekoma Pyramid, a non-operational data center located on the North Dakota Property.

"**NI 51-102**" means National Instrument 51-102 - *Continuous Disclosure Obligations.*

"**NI 52-110**" means National Instrument 52-110 – *Audit Committees*.

"**NO4**" means a northern Norway bidding area.

"**NOK**" means the Norwegian Krone.

"**Non-Voting Share Conversion Notice**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Non-Voting Share Conversion Rights**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Non-Voting Share Ownership Limitation**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Non-Voting Share**" means a non-voting share in the capital of the Corporation.

"**North Dakota Property Purchase Agreement**" has the meaning ascribed to it under "*Description of the Business*."

"**North Dakota Property**" means, the piece of land located on 81<sup>st</sup> Street, Nekoma, County of Cavalier, and State of North Dakota.

"**NP 46-201**" means National Policy 46-201 – *Escrow for Initial Public Offerings*.

"**Norway Data Center**" means the data center located on the First Norway Property.

"**Omnibus Plan**" means the omnibus incentive plan which was approved by WBM's shareholders through written resolution on November 18, 2025.

"**Option**" means stock options exercisable for Voting Shares.

"**Ownership Limitation**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Person**" means any individual, corporation, company, partnership, unincorporated association, trust, joint venture, governmental body or any other legal entity whatsoever.

"**Phoenix Commitment Letter**" has the meaning ascribed to it under "*General Development of the Business.*"

**"Phoenix Common Share Total**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Phoenix Default Share Total**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Phoenix Share Exchange**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Phoenix**" means Phoenix World Electronics LLC.

"**Previous Stock Option Plan**" means the Corporation's previous stock option plan that was approved by shareholders on September 26, 2008 and amended on September 15, 2021. The Previous Stock Option Plan was replaced by the Omnibus Plan on November 18, 2025.

"**Restricted Share Rules**" has the meaning ascribed to it under "*Description of Capital Structure.*"

"**Reverse Takeover Transaction**" has the meaning ascribed to it under "*Certain Documents Incorporated by Reference.*"

"**Rights Plan**" means the shareholder rights plan that was adopted on November 18, 2025.

"**RSU**" means a restricted share unit convertible into Voting Shares.

"**Second Norway Property LTA**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Second Norway Property Option and Lease Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Second Norway Property**" means the 10-acre property in Røyrvik that Exanorth has leased.

"**SEDAR+**" means the System for Electronic Document Analysis and Retrieval +.

"**SEDI**" means the System for Electronic Disclosure by Insiders.

"**Shares**" means collectively, the Voting Shares and Non-Voting Shares.

"**Sowrer Equipment**" means the equipment leased by Sowrer to Exanorth including: (i) 15 containers consisting of goldingen containers, 312 Miners capacity, access control, fire alarms, and CCTV; (ii) 6 high voltage housing transformers; and (iii) 6 high voltage transformers.

"**Sowrer Leased Area**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Sowrer LTGA**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Sowrer-Exanorth Lease Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Sowrer-Exanorth Power Agreement**" has the meaning ascribed to it under "*General Development of the Business.*"

"**Special Meeting Circular**" has the meaning ascribed to it under "*Certain Documents Incorporated by Reference*."

"**Subsidiaries**" means the subsidiaries of the Corporation being Zetanorth, Barbadian Subsidiary, Bitzero ND I, Bitzero ND II, Bitzero Finland, and Exanorth.

"**Total Capacity**" means the total amount of capacity available at a property or data center, as applicable, adding the Active Capacity and Inactive Capacity.

"**Total Miner Reward**" means the Block Reward and Transaction Fees combined.

"**Transaction Fees**" these are the fees paid by users of the Bitcoin network to have their transactions included in the current block. These fees are aggregated per block and typically paid out to the miner who solved the block by being combined with the Block Subsidy into one transaction output.

"**Voting Share**" means a common share in the capital of the Corporation.

"**Wallets**" has the meaning ascribed to it under "*General Development of the Business.*"

"**WBM Adjustment**" means the share split of the WBM Common Shares on a basis of 250,000 post-WBM Common Shares for every one (1) pre-WBM Common Share such that the number of post-WBM Common Shares is 250,000.

"**WBM Common Shares**" means the common shares in the capital of WBM prior to the WBM Adjustment.

"**WBM FinCo Debt Settlement**" means the debt settlement whereby WBM settled certain debt owing to it by issuing WBM FinCo Shares to settle aggregate indebtedness of C$205,647.70 at a price of C$0.05 per WBM FinCo Share which resulting in the issuance of 4,112,954 WBM FinCo Shares.

"**WBM FinCo**" means 1001344965 Ontario Inc., incorporated under the OBCA and being a wholly-owned subsidiary of WBM, formed to complete the WBM FinCo Debt Settlement prior to the Reverse Takeover Transaction.

"**WBM Meeting**" has the meaning ascribed to it under "*General Development of the Business.*"

"**WBM**" means WBM Capital Corp., which was the Corporation prior to the completion of the Reverse Takeover Transaction.

"**Zetanorth**" means Zetanorth AS, a wholly-owned subsidiary of Bitzero incorporated under the laws of Norway.

**MARKET AND INDUSTRY DATA**

Unless otherwise indicated, information contained in this Annual Information Form (or in a document incorporated or deemed to be incorporated by reference herein) concerning the industry and the markets in which the Corporation operates, including its general expectations and market position, market opportunities and market share, is, or may be, based on information from independent industry organizations, other third-party sources (including industry publications, surveys and forecasts) and the studies and estimates of Management.

Unless otherwise indicated, the Corporation's estimates are derived from publicly available information released by independent industry analysts and third-party sources as well as data from the Corporation's internal research, and include assumptions made by Management which Management believe to be reasonable based on their knowledge of the relevant industry and markets. Such internal research and assumptions have not been verified by any independent source, and the Corporation and Management have not independently verified any third-party information. While Management believes the market position, market opportunity and market share information included, or which may be included, in this Annual Information Form or in a document incorporated or deemed to be incorporated by reference herein is generally reliable, such information is inherently imprecise. In addition, projections, assumptions and estimates of the Corporation's future performance and the future performance of the industry and markets in which the Corporation operates are subject to a high degree of uncertainty and risk due to a variety of factors, including those described under the headings "*Cautionary Note Regarding Forward-Looking Information*" and "*Risk Factors*".

**CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION**

Certain statements contained in this Annual Information Form, and in the documents incorporated by reference in this Annual Information Form, constitute "forward-looking information" and "forward-looking statements" (together, "**forward-looking statements**") within the meaning of Applicable Securities Laws and are based on assumptions, expectations, estimates and projections as at the AIF Date. Forward-looking statements relate to future events or future performance and reflect Management's expectations or beliefs regarding future events. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology.

Forward-looking statements in this Annual Information Form and in documents incorporated by reference herein include, but are not limited to, statements with respect to:

● the Business objectives and milestones and the anticipated timing of, and costs in connection with, the execution or achievement of such objectives and milestones;

● the Corporation's future growth prospects and intentions to pursue one or more viable business opportunities;

● the development of the Business and future activities following the AIF Date;

● the Corporation's intended business plans and strategies;

● expectations with respect to future opportunities;

● expectations relating to market size and anticipated growth in the jurisdictions within which the Corporation may from time to time operate or contemplate future operations;

● expectations with respect to economic, business, regulatory and/or competitive factors related to the Corporation;

● the Corporation's strategic investments and capital expenditures, and related benefits;

● capital expenditure programs and future capital requirements;

● the Corporation's plans and funding for planned developing activities and the expected results of such activities;

● the competitive landscape within which the Corporation operates and the Corporation's market share or reach;

● the performance of the Business and the operations and activities of the Corporation;

● the Corporation's ability to generate cash flow from operations and from financing activities;

● the Corporation's ability to obtain, maintain, and renew or extend, applicable Authorizations, including the timing and impact of the receipt thereof;

● the Corporation's treatment under governmental and international regulatory regimes and intellectual property laws;

● the Corporation's future general and administrative expenses;

● the Corporation's ability to have positive cash flow in future quarters;

● the Corporation's access to capital and overall strategy and development plans for all of the Corporation's assets;

● expectations on how the Corporation will manage its product development risks;

● the intention of the Corporation to complete future financings and any additional offering of securities of the Corporation and the aggregate amount of the total proceeds that the Corporation will receive pursuant to any future offering;

● the Corporation's expected use of the net proceeds from any future offering;

● the anticipated effects of any future offering on the Business and operations of the Corporation;

● projections for development plans and progress of technologies;

● expectations regarding acceptance of products and technologies by the market; and

● future actions with respect to and potential impacts of pending claims.

Forward-looking statements are subject to certain risks and uncertainties. Although Management believes that the expectations reflected in these forward-looking statements are reasonable in light of, among other things, its perception of trends, current conditions and expected developments, as well as other factors that Management believes to be relevant and reasonable in the circumstances at the date that such statements are made, readers are cautioned not to place undue reliance on forward-looking statements, as forward-looking statements may prove to be incorrect. A number of factors could cause actual results to differ materially from a conclusion, forecast or projection contained in the forward-looking statements. Importantly, forward-looking statements contained in this Annual Information Form and in documents incorporated by reference are based upon certain assumptions that Management believes to be reasonable based on the information currently available to Management, including, but not limited to, the assumptions that:

● current and future members of Management will abide by the business objectives and strategies from time to time established by the Corporation;

● general business and economic conditions;

● current and future share prices;

● the future operational and financial activities of the Corporation generally;

● the Corporation's ability to comply with regulatory bodies governing its activities;

● the Corporation will retain and supplement its Board and Management, or otherwise engage consultants and advisors having knowledge of the industries (or segments thereof) within which the Corporation may from time to time participate;

● the Corporation will have sufficient working capital and the ability to obtain the financing required in order to develop and continue its Business and operations;

● the Corporation will continue to attract, develop, motivate and retain highly qualified and skilled consultants and/or employees, as the case may be;

● the Corporation's ability to maintain positive cash flow;

● no adverse changes will be made to the regulatory framework governing the Corporation, taxes and all other applicable matters in the jurisdictions in which the Corporation conducts Business and any other jurisdiction in which the Corporation may conduct Business in the future;

● the Corporation will be able to execute on its business strategy as anticipated;

● the Corporation will be able to meet the requirements necessary to obtain and/or maintain Authorizations required to conduct the Business;

● general economic, financial, market, regulatory, and political conditions will not negatively affect the Corporation or its Business;

● the Corporation will be able to effectively manage anticipated and unanticipated costs;

● the Corporation will be able to maintain internal controls over financial reporting and disclosure, and procedures in order to ensure compliance with applicable Laws;

● the Corporation will be able to conduct its operations in a safe, efficient and effective manner;

● general market conditions will be favourable with respect to the Corporation's future plans and goals;

● the Corporation will use the net proceeds from any future offering as outlined;

● any future offering will have the anticipated effects on the Business and operations of the Corporation;

● the Corporation's products and technologies will be accepted by the market;

● development costs will not exceed the Corporation's expectations;

● applicable economic conditions are favourable to the Corporation;

● debt and equity markets, exchange and interest rates, and other applicable economic and political conditions will be favourable to the Corporation;

● the costs of commercializing on its own or entering into a partnership will be consistent with the Corporation's expectations;

● the anticipated markets for the Corporation's products and technologies will continue to exist and expand; and

● the Corporation will be able to settle or otherwise obtain disposition of claims against it on favourable terms.

By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Corporation to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Although Management believes that the expectations reflected in, and assumptions underlying, such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. New factors emerge from time to time, and it is not possible for Management to predict all of those factors or to assess in advance the impact of each such factor on the Business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statement. Some of the risks that could cause results to differ materially from those expressed in forward-looking statements in this Annual Information Form and in documents incorporated by reference herein include:

● unanticipated changes in economic and market conditions or in applicable Laws;

● the Corporation's inability to attract and retain qualified members of Management to grow the Business and its operations;

● the Corporation may be unable to achieve or sustain profitability in the future;

● the impact of the publications of inaccurate or unfavourable research by securities analysts or other third parties;

● the Corporation's failure to complete future acquisitions or enter into strategic business relationships;

● unanticipated changes in the Bitcoin Mining and data center industry in the jurisdictions within which the Corporation may from time to time conduct its Business and operations, including the Corporation's inability to respond or adapt to such changes;

● data centers developments;

● hazards associated with high-voltage electricity transmission and industrial operations;

● erroneous transactions and human error;

● lack of comprehensive accounting guidance for Cryptocurrencies under IFRS;

● risks relating to projections of the Corporation's operations;

● limited operating history;

● growth management;

● information technology systems and cyberattacks;

● risks related to insurance;

● risks related to industry regulation;

● risks related to litigation;

● changes in technology;

● market unpredictability;

● ability to form strategic alliances;

● impact of system interruptions;

● reliance on management and key personnel;

● conflicts of interest;

● additional financing;

● cash flow from operations;

● liquidity;

● dilution;

● valuation and price volatility of Cryptocurrencies;

● Cryptocurrency network difficulty and impact of increased global computing power;

● the impact of geopolitical events on the supply and demand for Cryptocurrencies is uncertain;

● acceptance and/or widespread use of Cryptocurrency is uncertain;

● the Corporation's Bitcoin may be subject to loss, theft or restriction on access;

● risk related to technological obsolescence and difficulty in obtaining hardware;

● there are factors which may prevent the Corporation from the realization of growth targets;

● the Corporation is currently in the expansion from early development stage;

● increased power costs may adversely affect the Business;

● the Corporation does not anticipate paying cash dividends; and

● future sales of Voting Shares by existing shareholders could reduce the market price of the Voting Shares.

Readers are cautioned that the foregoing list of factors are not exhaustive. The Corporation provides no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements, and, in evaluating these forward-looking statements, readers should specifically consider various factors, including the risks outlined under the heading "*Risk Factors*", and in documents incorporated by reference herein, which may cause actual results to differ materially from the results, performance or achievements of the Corporation expressed or implied by any forward-looking statements.

The forward-looking statements contained herein are made as of the AIF Date, and except as required by Applicable Securities Laws, the Corporation does not intend, and does not assume any obligation, to update these forward-looking statements.

**CAUTIONARY NOTE REGARDING FUTURE ORIENTED FINANCIAL INFORMATION**

This Annual Information Form, and documents incorporated by reference herein, may contain FOFI within the meaning of Applicable Securities Laws, about prospective results of operations, financial position or cash flows, based on assumptions about future economic conditions and courses of action, which FOFI is not presented in the format of a historical balance sheet, income statement or cash flow statement. The FOFI has been prepared by Management to provide an outlook of the Corporation's activities and results and has been prepared based on a number of assumptions including the assumptions discussed under the heading "*Cautionary Note Regarding Forward-Looking Information*" and assumptions with respect to the costs and expenditures to be incurred by the Corporation, capital expenditures and operating costs, taxation rates for the Corporation and general and administrative expenses. Management does not have, or may not have had at the relevant date, firm commitments for all of the costs, expenditures, prices or other financial assumptions which may have been used to prepare the FOFI or assurance that such operating results will be achieved and, accordingly, the complete financial effects of all of those costs, expenditures, prices and operating results are not, or may not have been at the relevant date of the FOFI, objectively determinable.

Importantly, the FOFI contained in this Annual Information Form, and in documents incorporated by reference herein are, or may be, based upon certain additional assumptions that Management believes to be reasonable based on the information currently available to Management, including, but not limited to, assumptions about: (i) the future pricing of Bitcoin and other Cryptocurrencies, (ii) the future pricing for the Corporation's products, (iii) the future market demand and trends within the jurisdictions in which the Corporation may from time to time conduct the Business, (iv) the Corporation's ongoing inventory levels, and operating cost estimates, (v) the Corporation's net proceeds from future financings. The FOFI or financial outlook contained in Annual Information Form, and in documents incorporated by reference herein do not purport to present the Corporation's financial condition in accordance with IFRS as issued by the International Accounting Standards Board, and there can be no assurance that the assumptions made in preparing the FOFI will prove accurate. The actual results of operations of the Corporation and the resulting financial results will likely vary from the amounts set forth in the analysis presented in any such document, and such variation may be material (including due to the occurrence of unforeseen events occurring subsequent to the preparation of the FOFI). The Corporation and Management believe that the FOFI has been prepared on a reasonable basis, reflecting Management's best estimates and judgments as at the applicable date. However, because this information is highly subjective and subject to numerous risks including the risks discussed under the heading "*Risk Factors*", FOFI or financial outlook within this Annual Information Form, and in documents incorporated by reference herein, should not be relied on as necessarily indicative of future results.

Readers are cautioned not to place undue reliance on the FOFI, or financial outlook contained in this Annual Information Form, and in documents incorporated by reference herein. Except as required by Applicable Securities Laws, the Corporation does not intend, and does not assume any obligation, to update such FOFI.

**CERTAIN DOCUMENTS INCORPORATED BY REFERENCE**

Information has been incorporated by reference in this Annual Information Form from documents filed with the various securities commissions or similar regulatory authorities in Canada. Copies of the documents incorporated herein by reference may be obtained on request without charge from 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5, Telephone: +<u>(604) 331-8300</u>, Email: <u>governance@bitzero.com</u>, and are also accessible under the Corporation's profile on SEDAR+ at www.sedarplus.ca.

The following documents, filed with the various securities commission or similar securities regulatory authorities in Canada are specifically incorporated by reference in, and form an integral part of, this Annual Information Form:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 audited consolidated financial statements of Bitzero Blockchain, being the acquirer of
 the Corporation by way of statutory three-cornered amalgamation, which closed on November
 19, 2025 (the "**Reverse Takeover Transaction** "), for the financial year
 ended September 30, 2024, and 2023, together with the notes thereto and the auditors'
 report dated November 17, 2025;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 management's discussion and analysis of financial condition and results of operations
 dated November 17, 2025, of Bitzero Blockchain for the year ended September 30, 2024,
 and 2023;

(c) the
 material change report of the Corporation dated October 4, 2024, in respect of the 2024
 Consolidation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 audited consolidated financial statements of the Corporation for the financial year ended
 October 31, 2024, and 2023, together with the notes thereto and the auditors' report
 dated February 27, 2025;

(e) the
 management's discussion and analysis of financial condition and results of operations
 dated February 27, 2025, of the Corporation for the year ended October 31, 2024, and
 2023;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the
 management information circular of the Corporation dated November 25, 2025, in respect
 of a plan of arrangement between the Corporation and its wholly-owned subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the
 material change report of the Corporation dated December 18, 2024, in respect of a plan
 of arrangement between the Corporation and its wholly-owned subsidiaries;

(h) the
 material change report of the Corporation dated July 24, 2025, in respect of the WBM
 Adjustment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 management information circular of the Corporation dated August 5, 2025, for the Corporation's
 special meeting held on August 25, 2025 (the "**Special Meeting Circular** ");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) the
 unaudited interim financial statements of the Corporation for period ended July 31, 2025,
 and 2024, together with the notes thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the
 management's discussion and analysis of the Corporation for the period ended July
 31, 2025, and 2024, together with the notes thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) the
 CSE listing statement of the Corporation dated November 19, 2025 (the "**Listing Statement** ");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) a
 pro forma balance sheet of the Corporation, assuming completion of the Reverse Takeover
 Transaction as of July 31, 2025, attached as Schedule "C" to the Listing
 Statement;

&nbsp;&nbsp;&nbsp;&nbsp;(n) the
 management discussion and analysis of Bitzero Blockchain for the three and nine month
 periods ended June 30, 2025, and 2024, attached as Schedule "E" to the Listing
 Statement;

&nbsp;&nbsp;&nbsp;&nbsp;(o) the
 Corporation's Notice of Change dated December 1, 2025, filed pursuant to NI 51-102,
 in respect of changing the Corporation's financial year end from October 31 to
 September 30 and change of corporate structure pursuant to the Reverse Takeover Transaction;

&nbsp;&nbsp;&nbsp;&nbsp;(p) the
 Corporation's Form 51-102F6V – *Statement of Executive Compensation – Venture Issuers* for the financial year ended October 31, 2024;

&nbsp;&nbsp;&nbsp;&nbsp;(q) the
 material change report of the Corporation dated December 1, 2025, in respect of the Reverse
 Takeover Transaction and listing of the Voting Shares on the CSE;

&nbsp;&nbsp;&nbsp;&nbsp;(r) the
 material change report of the Corporation dated December 12, 2025, in respect of a power
 optimization initiative and the engagement of investor relations service providers by
 the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;(s) the
 audited consolidated financial statements of the Corporation for the financial year ended
 September 30, 2025, and 2024, together with the notes thereto and the auditors'
 report dated January 28, 2026; and

&nbsp;&nbsp;&nbsp;&nbsp;(t) the
 management's discussion and analysis of financial condition and results of operations
 dated January 28, 2026 of the Corporation for the year ended September 30, 2024, and
 2023.

Any statement contained in this Annual Information Form or in a document incorporated or deemed to be incorporated by reference herein shall be deemed to be modified or superseded, for purposes of this Annual Information Form, to the extent that a statement contained herein or in any other subsequently filed document which also is or is deemed to be incorporated by reference herein modifies or supersedes such statement. The modifying or superseding statement need not state that it has modified or superseded a prior statement or include any other information set forth in the document that it modifies or supersedes. The making of a modifying or superseding statement shall not be deemed an admission for any purposes that the modified or superseded statement, when made, constituted a misrepresentation, an untrue statement of a material fact or an omission to state a material fact that is required to be stated or that is necessary to make a statement not misleading in light of the circumstances in which it was made. Any statement so modified or superseded shall not be deemed in its unmodified or superseded form to constitute part of this Annual Information Form.

**CORPORATE STRUCTURE**

**Name, Address and Incorporation**

The full corporate name of the Corporation is "Bitzero Holdings Inc." The Corporation was incorporated on August 26, 2006, pursuant to the provisions of the *Canada Business Corporations Act* under the name "Tiidal Gaming Group Corp." and was continued to the Province of British Columbia governed under the BCBCA on June 4, 2024. On July 10, 2024, the Corporation changed its name from "Tiidal Gaming Group Corp." to "WBM Capital Corp.".

On November 19, 2025, the Corporation completed the Reverse Takeover Transaction, pursuant to the terms of the Letter Agreement via a three-cornered amalgamation. In connection with the Reverse Takeover Transaction, the Corporation changed its name from "WBM Capital Corp." to "Bitzero Holdings Inc.", Bitzero Blockchain became a wholly-owned subsidiary of the Corporation, and the shareholders of Bitzero Blockchain became holders of the Shares on the basis of: (i) one Voting Share for 10 Bitzero Blockchain voting shares held; and (ii) one Non-Voting Share on the basis of 10 Bitzero Blockchain non-voting shares held.

Following the Reverse Takeover Transaction, the head and registered office of the Corporation is located at 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5. The Corporation's principal regulator is the British Columbia Securities Commission and is a reporting issuer in the provinces of Alberta and Ontario as well.

On November 24, 2025, the Corporation was listed on the CSE.

**Intercorporate Relationships**

The corporate chart of the Corporation including the Subsidiaries, together with the jurisdiction of incorporation of the Corporation and its Subsidiary and the percentage of voting securities beneficially owned, controlled or directed, directly or indirectly, by the Corporation is as follows:

![](img028_v2.jpg)

**GENERAL DEVELOPMENT OF THE BUSINESS**

Prior to the Reverse Takeover Transaction, the Corporation existed as WBM Capital Corp. Following the Reverse Takeover Transaction, Bitzero Blockchain is the operating entity of the Corporation. Below is a description of the general development of the business of both Bitzero Holdings and Bitzero Blockchain, during the last three financial years ended September 30, 2025, 2024 and 2023:

**Developments during the Financial Year ended September 30, 2023**

**Bitzero Holdings**

On October 11, 2022, the Corporation closed a non-brokered private placement and issued an aggregate of 1,331,550 WBM Common Shares at C$0.10 per WBM Common Share for gross proceeds of C$133,155.

On June 9, 2023, the Corporation sold its wholly-owned subsidiary, Tiidal Gaming NZ Limited to Entain Holdings (UK) Limited for gross proceeds of C$13,250,000. In connection with closing of the transaction, the Corporation granted 2,500,000 restricted share units to the Corporation's CEO pursuant to the terms of his employment agreement dated effective January 3, 2022 which were immediately vested into 2,500,000 WBM Common Shares in accordance with his employment agreement and issued WBM Common Shares to Entain Holdings (UK) Limited in satisfaction of the earn out entitlements achieved pursuant to the asset purchase agreement dated December 14, 2020, as amended September 24, 2021.

**Bitzero Blockchain**

<u>Employment & Consulting Matters</u>

On September 30, 2022, Bitzero Bitzero Blockchain Joshua Lebovic entered into a mutual resignation and release agreement, under which Joshua Lebovic resigned as an officer of Bitzero Blockchain.

On September 18, 2023, Akbar Shamji resigned as CEO and Bitzero Blockchain appointed Carl Agren as interim CEO who then resigned effective June 1, 2024.

<u>Property & Lease Agreements</u>

On December 29, 2022, Bitzero ND I and Cavalier County Job Development Authority entered into a memorandum of right of first refusal (the "**ND I, ROFR**") under which Bitzero ND I has granted Cavalier County Job Development Authority the right of first refusal to purchase the North Dakota Property. The ND I, ROFR expires on October 31, 2027.

<u>Grid & Power Agreements</u>

On January 1, 2023, Exanorth and an Energy Provider entered into two power delivery agreements, whereby the Energy Provider provides physical power delivery and additional services to the First Norway Property.

**Developments during the Financial Year ended September 30, 2024**

**Bitzero Holdings**

On December 15, 2023, the Corporation completed the 2023 Consolidation.

On February 16, 2024, the Corporation issued an aggregate of 800,000 WBM Common Shares at a deemed price of C$0.05 per WBM Common Share as full and final payment of debt in the aggregate amount of C$40,000.

On June 5, 2024, the Corporation completed a continuance to the Province of British Columbia under the BCBCA from the *Canada Business Corporations Act*.

On June 7, 2024, the Corporation completed a voluntary delisting from the CSE.

On July 10, 2024, the Corporation completed a private placement and raised aggregate gross proceeds of C$30,000 and issued 6,000,000 WBM Common Shares at a price of C$0.005 per WBM Common Share. Effective the same date, Tiidal Gaming Group Corp. was renamed to "WBM Capital Corp."

**Bitzero Blockchain**

<u>Property & Lease Agreements</u>

On January 12, 2024, Aadnevik Invest entered into an option and lease agreement with Liv Tømmermo-Reitan, a Norwegian company that owns the Second Norway Property (the "**Second Norway Property Option and Lease Agreement**"). The material terms of the Second Norway Property Option and Lease Agreement are as follows:

● Aadnevik Invest has the right to prepare a zoning plan, technical plans, engineering and potential development in line with approve plans and applicable local guidelines or requirements to use the Second Norway Property for construction and commercial purposes;

● Aadnevik Invest has an exclusive option to rent the Second Norway Property for a period of 7 years from the date that the option to lease the Second Norway Property is exercised;

● When the option to lease the Second Norway Property is exercised, Aadnevik Invest shall make a one-time payment to Liv Tømmermo-Reitan in the amount of NOK 25,000;

● Effective from the date that the lease comes into force, the rent shall be NOK 12,000 per month, payable by Aadnevik Invest;

● Aadnevik Invest may transfer their rights and obligations to another company they own or have an interest in, with the consent of Liv Tømmermo-Reitan; and

● Tensio or an equivalent energy supplier, has the right to lay the necessary cables in the ground to ensure sufficient energy supply to the location.

On July 12, 2024, Aadnevik Invest transferred all of its interests, rights, and obligations under the Second Norway Property Option and Lease Agreement to Exanorth (the "**Second Norway Property LTA**").

On August 1, 2024, Bitzero Blockchain and Bitzero ND I, entered into an agency agreement with Cushman & Wakefield U.S., Inc. Pursuant to the agreement, Cushman & Wakefield U.S. Inc., is granted the exclusive right to sell, lease or negotiate the real global real estate for the North Dakota Property (the "**C&W Agency Agreement**"). Specifically, Cushman & Wakefield U.S. Inc. will use its best efforts to obtain a satisfactory developer partner, lessee, or purchaser for the North Dakota Property on terms that are acceptable to Bitzero Blockchain and Bitzero ND I. The C&W Agency Agreement expires on January 31, 2025, and if during the term of the agreement, Bitzero Blockchain or Bitzero ND I leases or negotiates a developer partnership agreement in any interest in the North Dakota Property, they will pay Cushman & Wakefield U.S., Inc. a commission as set out in the C&W Agency Agreement.

<u>Employment & Consulting Matters</u>

On January 2, 2024, Aadnevik Invest entered into a consulting agreement with Exanorth. Pursuant to the consulting agreement, Mr. Aadnevik, through Aadnevik Invest shall be compensated for services rendered as CEO of Exanorth with a monthly fee of US$25,000, exclusive of VAT per month. Aadnevik Invest is to oversee Exanorth's business activities in Norway, focusing on regulatory compliance, handle reservation of grid capacity and procurement negotiations with suppliers, supervise regulatory compliance, including property acquisitions and licensing processes, and coordinate electrical and mechanical infrastructure development, among other responsibilities.

On February 17, 2024, Bitzero Blockchain entered into a master services agreement with Native Ads Inc., a Delaware corporation based in New York. Pursuant to the master services agreement, Native Ads Inc. provides Bitzero with strategic digital media services, marketing and data analytics services, along with one or more specific work orders as set out in the agreement. The contract began in Q1 2025 with a total campaign budget of US$225,000.

On March 21, 2024, Bitzero Blockchain entered into a services agreement with K&P CPAs, Professional Corporation in connection with the provision of CFO, investor relations, finance, and accounting support (the "**K&P Services Agreement**"). Pursuant to the K&P Services Agreement, Bitzero Blockchain shall pay K&P CPAs, Professional Corporation C$12,750 per month as compensation, Kostioutchenko and Patel, CPAs, Professional Corporation is entitled to compensation if a change of control occurs, and after twelve months from the effective date, K&P CPAs, Professional Corporation may increase the monthly fee by providing sixty days prior written notice.

<u>Data Center & Hosting Agreements</u>

*Sowrer*

On April 13, 2024, Sowrer and Exanorth entered into a lease transfer and governance agreement (the "**Sowrer LTGA**"). Pursuant to the Sowrer LTGA, Sowrer assumed such rights, contracts and/or assets to (i) acquire power access rights and secure connection to 17MW of the Norway Data Center (the "**Sowrer Leased Area**"); (ii) continue to own and directly operate the Sowrer Equipment in a separate area of the Norway Data Center; (iii) a 15-year lease for a 17MW plot in the Norway Data Center; (iv) continue to benefit from the Energy Provider Power Agreement; and (v) replace Arcane in the Exanorth-Arcane Agreement. As consideration for termination of the original hosting agreements and for entering into the Sowrer LTGA, Sowrer Lease, and the Sowrer Grid Agreement, Sowrer paid the following consideration to Exanorth: (i) US$1,000,000 on April 13, 2024; (ii) US$3,500,000 on April 13, 2024; and (iii) assume the recurring payments that need to be made pursuant to the Sowrer-Exanorth Lease Agreement and Sowrer-Exanorth Power Agreement. Additionally, pursuant to the Sourer LTGA, Exanorth is entitled to exercise an option whereby, upon payment of US$16,000,000 to Sowrer, Exanorth will be entitled to the Sowrer Equipment. Following execution of the Sowrer LTGA, Sowrer was to deploy the (i) Sowrer Equipment with an initial capacity of 14MW; and (ii) Sowrer was to also host 2MW of the Arcane Servers at the Sowrer Leased Area, pursuant to the Exanorth-Arcane Agreement. As of the date of this Listing Statement, Sowrer has not paid US$3,500,000 owing under the Sowrer LTGA, consequently, Sowrer may only use 9.5MW of capacity and the remainder is under discussion.

On April 13, 2024, in connection with the Sowrer LTGA, Sowrer and Exanorth entered into a lease agreement in respect of the Sowrer Leased Area (the "**Sowrer-Exanorth Lease Agreement**"). The Sowrer-Exanorth Lease Agreement is for a fixed term of 15 years from the closing of the Sowrer LTGA and Sowrer shall pay US$120,000 in rent per year in respect of the Sowrer Leased Area. Additionally, pursuant to the Sowrer LTGA, if Exanorth wishes to sell or otherwise dispose of all or part of the First Norway Property, Sowrer has a right of first refusal to purchase the Sowrer Leased Area or parts of the First Norway Property being sold. If Sowrer transfers its right to lease to a third party or carries out a change of control, Exanorth has the right of first refusal to step in to Sowrer's position at the same terms.

On April 13, 2024, in connection with the Sowrer LTGA, Sowrer and Exanorth entered into a grid, connection, maintenance and power supply agreement (the "**Sowrer-Exanorth Power Agreement**"). Pursuant to the Sowrer-Exanorth Power Agreement, Exanorth undertakes to ensure that grid connection/capacity and power supply for 17MW are available for Sowrer at the Sowrer Leased Area at all times to ensure that Sowrer can operate the Sowrer Equipment and fulfil its obligations under the Exanorth-Arcane Agreement. For clarity, the Sowrer-Exanorth Power Agreement is not a supply of grid services and power, but rather a confirmation that Exanorth shall ensure that sufficient power is distributed to the Sowrer Leased Area. Since the total consideration was not paid under this agreement, the available capacity for Sowrer to use was adjusted to 9.5MW on a pro rata basis.

<u>Grid & Power Agreements</u>

On February 21, 2024, Exanorth entered into a flexibility services agreement (the "**Flexibility Services Agreement**") with a corporation incorporated under the laws of Sweden ("**Flexibility Provider**"). The Flexibility Services Agreement enables Exanorth to stabilize frequencies for the central grid at the First Norway Property. It provides that the Flexibility Provider is to assess the availability of the flexible capacity (MW), the value of flexible capacity (MW) and how to unlock the flexible capacity at the First Norway Property. The agreement is for a term of three years and there was a one-time payment made to the Flexibility Provider, in the amount of €500.00. Additionally, Exanorth pays the Flexibility Provider an additional monthly fee based on the number of resource types for operating the control system and the connection with the resources, for €100.00 per month.

<u>Other</u>

On June 17, 2024, Exanorth entered into a settlement agreement with Exakraft (the "**Exanorth-Exakraft Settlement Agreement**") pursuant to which Exanorth settled outstanding debt of NOK 4,360,895 owing to Exakraft under a master services agreement. The debt related to overage fees for energy consumed. Pursuant to the Exanorth-Exakraft Settlement Agreement, the parties agreed as follows:

● Exanorth transferred 1,000,000 Bitzero Shares to Exakraft;

● Exanorth paid Exakraft NOK 878 158;

● Mr. Frank Aadnevik shall remain CEO of Exanorth for one year from the date of the Exanorth-Exakraft Settlement Agreement; and

● Exanorth shall purchase and Exakraft shall sell 100% of the shares in Klimacloud AS (org nr 927 180 391) ()"**Klimacloud** "), a company engaged in the business of operating greenhouse land and activities related thereto, entering into a separate share purchase agreement (the "**Klimacloud SPA** "). Entering into the Klimacloud SPA is a condition of the validity of the Exanorth-Exakraft Settlement Agreement.

On August 28, 2024, Exakraft, Exanorth, and Klimacloud entered into the Klimacloud SPA. Pursuant to the Klimacloud SPA, Exakraft agreed to sell Klimacloud to Exanorth for consideration of NOK 2,000,000 and the 1,000,000 Bitzero Shares acquired pursuant to the Exanorth-Exakraft Settlement Agreement. As of the date hereof, the 1,000,000 Bitzero Shares have been transferred to Exakraft and NOK 300,000 has been paid to Exakraft. Upon Exanorth paying the balance of NOK 1,700,000 to Exakraft, the shares of Klimacloud will be transferred to Exanorth.

On August 28, 2024, Exanorth entered into a settlement agreement with K33 Markets As, org. nr. 919 578 998 ("**K33 Markets**") and Arcane (the "**Exanorth-Arcane Settlement Agreement**"). Pursuant to the Exanorth-Arcane Settlement Agreement, Arcane settled outstanding debt of NOK 3 278 899,91 (inclusive of VAT) that it owed to Exanorth under the Exanorth-Arcane Agreement, in accordance with the following material terms:

● The Arcane Servers (valued at NOK 1,000,000) and Bitcoin earned by the Arcane Servers that was not transferred to Green Data Services as of the date of the Exanorth-Arcane Settlement Agreement were transferred to Exanorth;

● All of the Arcane Servers were transferred and activity under the Exanorth-Arcane Agreement from July 1, 2024, and onwards was treated as if Exanorth was the owner of the Arcane Servers and as if the Exanorth-Arcane Agreement had been terminated as of June 30, 2024;

● K33 Markets issued a credit for future trading costs to Exanorth worth NOK 1,343,165.18 by entering into the K33 Markets TCA;

● Upon execution of the Exanorth-Arcane Settlement Agreement, the Exanorth-Arcane Agreement was terminated, and the debt was settled in full and Arcane has no further payment obligations towards Exanorth under the Exanorth-Arcane Agreement.

On August 28, 2024, Exanorth entered into a trading cost credit agreement with K33 Markets (the "**K33 Markets TCA**") whereby K33 Markets issues to Exanorth a credit in the amount of NOK 1,343,165.18 for use towards trading margins on the K33 Markets trading platform, markets.k33.com. Pursuant to the K33 Markets TCA, the credit allows Exanorth to conduct trades on the K33 Markets trading platform at cost, with zero margin accruing to K33 Markets. The K33 Markets TCA is valid up until the earlier of: (i) December 31, 2025; or (ii) the complete depletion of the credit issued.

**Developments during the Financial Year ended September 30, 2025**

**Bitzero Holdings**

On October 4, 2024, the Corporation completed the 2024 Consolidation.

On October 21, 2024, the Corporation incorporated four wholly-owned subsidiaries: 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Corporation incorporated three wholly-owned subsidiaries: 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Corporation completed a plan of arrangement whereby the sole shareholder of the Corporation, Triforce Ventures SA, holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd.,

1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On April 2, 2025, the Corporation entered into a business combination agreement with Wappier Inc. pursuant to which the Corporation and Wappier Inc. were to complete a transaction which would result in the reverse takeover of WBM by Wappier Inc. On June 27, 2025, the Corporation and Wappier Inc. entered into a termination agreement, thereby ending the business combination agreement.

On July 24, 2025, the Corporation completed the WBM Adjustment.

On August 21, 2025, the Corporation entered into a non-binding Letter Agreement, setting out the terms of the Reverse Takeover Transaction. On November 18, 2025, the Letter Agreement became binding, pursuant to which, the Corporation acquired the issued and outstanding equity securities of Bitzero Blockchain. The material terms of the Letter Agreement are set out below:

1. The
 Corporation held the WBM Meeting on August 25, 2025, whereby shareholders approved the
 replacement of the articles and notice of articles of the Corporation providing for,
 among other things, (i) the restatement of the rights and restrictions of the existing
 class of WBM Common Shares, and re-naming the WBM Common Shares to the "Voting
 Shares" and (ii) the creation of a class of non-voting shares that have substantially
 the same terms and conditions as the WBM Common Shares but for not entitling the holders
 thereof to vote and which
are convertible, subject to certain limitations, into WBM Common Shares on a one-for-one basis, being the "Non-Voting Shares".

2. On
 July 24, 2025, the Corporation completed the WBM Adjustment.

3. The
 Corporation obtained shareholder approval immediately prior to closing (i) the election
 of the directors of the Corporation, as selected by Bitzero Blockchain; (ii) the Omnibus
 Plan; (iii) the Name Change; and (iv) the Rights Plan via written resolution.

4. Bitzero
 Blockchain completed the following financings in connection with the Reverse Takeover
 Transaction: (i)
the Bitzero 2024 Financing, which closed in tranches from September 11, 2024, to July 31, 2025, pursuant to which Bitzero Blockchain
issued 35,515,000 Bitzero Shares at a price of US$0.20 per Bitzero Share for aggregate gross proceeds of US$7,103,000; (ii) the
Bitzero 2025 Financing, which closed in tranches from August 1, 2025, to October 14, 2025, pursuant to which Bitzero Blockchain
issued 4,771,750 Bitzero Shares at a price of US$0.40 per Bitzero Share for total gross proceeds of US$1,908,700, and one lead
subscriber that subscribed for gross proceeds of US$1,500,000 was also issued 3,750,000 warrants, each exercisable for the purchase
of one Bitzero Share at a price of US$0.40 per share for a period of 24 months; (iii) the JGB First Draw, which closed on June
27, 2025, being a secured term loan in the principal amount of US$17,510,000 (subject to a US$510,000 original issue discount),
with associated warrants to purchase 4% of Bitzero Shares (on a fully diluted basis) being 19,559,862 warrants at US$0.01, at
a purchase price of US$0.01 per Bitzero Share at US$0.01 per share for a period of five years per share; (iv) the JGB Second Draw,
which closed on October 20, 2025, being a draw term loan in the principal amount of US$8,245,000 (inclusive of a US$245,000 original
issue discount), with associated warrants to purchase 1% of the Shares (on a fully diluted basis) being 5,974,930 warrants, at
a purchase price of US$0.01 per Bitzero Share at US$0.01 per shares for a period of five years following the completion of the
Reverse Takeover at US$0.01 per share; and (iv) the Bitzero Convertible Note Financing, which closed in tranches from October
6, 2025 to October 10, 2025, being the issuance of convertible notes for aggregate gross proceeds of US$1,075,000, convertible
at US$0.40 per Bitzero Share, and including an aggregate of 2,687,500 warrants to purchase Bitzero Shares at a price of US$0.50
per share for a period of two years.

5. Bitzero
 Blockchain issued 1,750,000 Bitzero Shares to certain arm's length parties, in
 connection with the Reverse Takeover Transaction as a finder's fee.

6. The
 Corporation completed the WBM FinCo Debt Settlement.

7. Immediately
 prior to the closing of the Reverse Takeover Transaction, (i) the board of directors
 of the Corporation resigned and the Board consisting of Mohammed Bakhashwain, Giovanni
 Gaudenzi, Claudia Di Iorio, and Gilles Seguin was appointed, (ii) the Omnibus Plan was
 adopted in place of the Previous Stock Option Plan, (iii) the Corporation adopted a new
 set of articles and created the Non-Voting Shares; and (iv) the Corporation adopted the
 Rights Plan.

8. The
 Corporation implemented the Name Change and adopted the name "Bitzero Holdings
 Inc." following an amalgamation with its wholly-owned subsidiary, Bitzero Holdings
 Inc.

9. The
 Reverse Takeover Transaction was completed through a business combination by way of a
 triangular amalgamation pursuant to which the Corporation acquired all of the issued
 and outstanding securities of Bitzero Blockchain in exchange for securities of Bitzero
 Holdings.

10. The
 holders of WBM FinCo Shares became holders of the Shares on the basis of one Voting Share
 for each WBM FinCo Share held.

11. The
 holders of Bitzero Shares became holders of the Shares based on the following: (i) one
 Voting Share for 10 Bitzero Shares held and (ii) one Non-Voting Share for 10 Bitzero
 Non-Voting Shares held.

On August 25, 2025, the Corporation held a special meeting (the "**WBM Meeting**") whereby shareholders approved certain corporate matters, including the adoption of new articles that create a new class of shares, being the Non-Voting Shares.

On November 19, 2025, the Corporation completed the WBM FinCo Debt Settlement to settle aggregate indebtedness of C$205,647.70, at a price of C$0.05 per WBM FinCo Share in satisfaction of outstanding professional service fees, which resulted in the issuance of 4,112,954 WBM FinCo Shares. The WBM FinCo Shares were exchanged for Common Shares on a 1:1 basis pursuant to the Reverse Takeover Transaction.

After the WBM Meeting, the Corporation completed the WBM Adjustment, Name Change, and created the new class of Non-Voting Shares and adopted the Rights Plan and the Omnibus Plan.

In connection with the completion of the Reverse Takeover Transaction, the Corporation changed its financial year end from October 31 to September 30.

**Bitzero Blockchain**

<u>Financings</u>

From September 11, 2024, to July 31, 2025, certain private accredited investors purchased 35,515,000 Bitzero Shares at a price of US$0.20 per Bitzero Share for aggregate gross proceeds of US$7,103,000 (the "**Bitzero 2024 Financing**").

From August 1, 2025, to October 14, 2025, certain private accredited investors purchased an aggregate of 4,771,750 Bitzero Shares at a price of US$0.40 per Bitzero Share for total gross proceeds of US$1,908,700, and one lead subscriber that subscribed for gross proceeds of US$1,500,000 was also issued 3,750,000 warrants, each exercisable for the purchase of one Bitzero Share at a price of US$0.40 per Bitzero Share (the "**Bitzero 2025 Financing**").

From October 6, 2025, to October 10, 2025, certain private accredited investors purchased convertible notes (the "**Bitzero Convertible Notes**") for aggregate gross proceeds of US$1,075,000 (the "**Bitzero Convertible Note Financing**"). The Bitzero Convertible Notes accrue interest at 15%, compounded annually and mature 36 months from the issue date. The holder of each Bitzero Convertible Note may convert the outstanding principal and accrued interest into Bitzero Shares at a conversion price of US$0.40 per Bitzero Share at any time prior to the maturity date, and each holder receives warrants to purchase Bitzero Shares equal to the principal amount divided by the conversion price, at an exercise price of US$0.50 per Bitzero Share, exercisable for two years from the issuance date, being an aggregate of 2,687,500 warrants. Additionally, the Bitzero Convertible Notes are subordinate to senior debt and may be converted or redeemed under specific conditions, including if Bitzero completes a new share issuance raising at least US$5,000,000 (excluding conversion of the Bitzero Convertible Notes and other convertible debt), or if not repaid or converted before maturity, holders may convert the outstanding amount into Bitzero Shares at the same conversion price.

<u>Employment & Consulting Matters</u>

On December 11, 2024, Bitzero Blockchain entered into an advisory agreement with Aldo Bernardi whereby Mr. Bernardi is to advise management of Bitzero Blockchain in North America, including periodic consultation with, and advice to, management with respect to Bitzero Blockchain's development of in North America. As consideration for the advisory services provided, Mr. Bernardi received 250,000 Bitzero Shares from Bitzero Blockchain at a deemed price of US$0.20 per Bitzero Share. The agreement expires on December 11, 2025, and Bitzero Blockchain may terminate the agreement without prior notice if Mr. Bernardi does not perform the advisory services as intended.

On February 20, 2025, Bitzero Blockchain entered into an advisory agreement with Mohammed Aref Muhawesh, whereby Mr. Muhawesh is to advise management of Bitzero Blockchain in North America, including periodic consultation with, and advice to, management with respect to Bitzero Blockchain's development of markets in Saudi Arabia and the Gulf region. As consideration for the advisory services provided, Mr. Muhawesh received 500,000 Bitzero Shares from Bitzero Blockchain at a deemed price of US$0.20 per Bitzero Share. The agreement expires on February 20, 2026, and Bitzero Blockchain may terminate the advisory agreement without prior notice if Mr. Muhawesh does not perform the advisory services as intended.

On September 15, 2025, Bitzero Blockchain entered into a consulting services agreement with Triomphe Holdings Ltd., whereby Triomphe Holdings Ltd. provides services relating to ongoing capital markets consultation, social media consultation, social sentiment reporting, social engagement reporting, dissemination of news releases, discussion forum monitoring and reporting, and corporate video dissemination. The contract is for an initial term of 6 months and as consideration, Bitzero Blockchain pays C$120,000 to Triomphe Holdings Ltd. over a period of 6 months with a renewal option at C$75,000 for 6 months.

On September 30, 2025, Bitzero Blockchain entered into a service agreement with Bluehand Consulting AG, located in Switzerland, whereby Bluehand Consulting AG provides various digital marketing media services to Bitzero Blockchain including: branding and content creation, introduction of Bitzero Blockchain to various corporate and media partners, introduction to professionals in the Bitcoin Mining industry, supporting developing corporate materials for presentations and strategic partners, preparing valuation materials, sourcing acquisition and investment targes, and any other services Bitzero Blockchain reasonably requested. The agreement expires on the earlier of October 1, 2026 or when the budget ends. Bitzero Blockchain agrees to pay Bluehand Consulting AG an initial fee of EUR250,000 for services rendered under the agreement.

On September 30, 2025, Bitzero Blockchain entered into a corporate marketing and investor awareness agreement with i2i Marketing Group, LLC, whereby i2i Marketing Group, LLC provides services including content creation management, author sourcing, project management, and media distribution. The agreement establishes an initial media budget of $250,000 USD, with subsequent monthly campaigns managed through supplemental insertion orders. Either party may terminate the agreement with 10 days' written notice.

On November 15, 2025, Bitzero Blockchain entered into a contractor engagement agreement with 2674267 Ontario Inc. (O/A Inder Saini PC), whereby Bitzero Blockchain engages Inder Saini (via 2674267 Ontario Inc. serving as professional corporation) to perform such duties and exercise such powers as are normally associated with, and are incidental and ancillary to, the position of financial controller and performs such additional duties and responsibilities as may from time to time be assigned to him (the "**Inder Saini Agreement**"). Pursuant to the Inder Saini Agreement, Bitzero Blockchain shall pay 2674267 Ontario Inc. an annual base fee of US$250,000. 2674267 Ontario Inc. is eligible to receive an annual discretionary bonus, up to the maximum value of the annual base fee.

Effective as of January 1, 2026, Bitzero Blockchain entered into an executive employment agreement with Mohammed Bakhashwain through which Mohammed Bakhashwain is employed as Bitzero Blockchain's President and Chief Strategy Officer (the "**Bakhashwain Employment Agreement**"). Pursuant to the Bakhashwain Employment Agreement, Mr. Bakhashwain performs such duties and exercises such powers as are normally associated with, and are incidental and ancillary to, the position of President and Chief Strategy Officer and performs such additional duties and responsibilities as may from time to time be assigned to him by the Board, acting reasonably. Mr. Bakhashwain receives a base salary of US$750,000 per year and is entitled to bonuses based on achievements by the Corporation of certain milestones linked to the market capitalization of the Corporation.

<u>Finland Property Agreements</u>

On January 23, 2025, Bitzero Blockchain entered into a share purchase agreement with a third party to purchase all of the issued and outstanding shares of Bitzero Finland. As consideration, Bitzero Blockchain paid €2,000 and Bitzero Finland became a wholly-owned subsidiary of Bitzero Blockchain.

On February 10, 2025, Bitzero Finland entered into three agreements with the city of Kokemäki, Finland being: (i) a preliminary agreement on purchase of certain real estate (the "**Finland Preliminary Agreement**"); (ii) a real estate purchase agreement (the "**Finland Real Estate Purchase Agreement**"); and (iii) an agreement on the reservation and option to buy real estates (the "**Finland Option Agreement**", together with the Finland Preliminary Agreement and the Finland Real Estate Purchase Agreement the "**Finland Property Agreements**"). Pursuant to the Finland Property Agreements, Bitzero Finland has paid aggregate consideration of €746,200 to the city of Kokemäki, Finland, to date.

Pursuant to the Finland Preliminary Agreement, the city of Kokemäki, Finland must sell certain real estate to Bitzero Finland if certain conditions precedent are met. There are two pieces of real estate contemplated under the Finland Preliminary Agreement: (i) a building plot located in Kokemäki, Finland having a total area of 54,000m<sup>2</sup> (inclusive of the build plot and unseparated piece of land) ("**Finland Real Estate I**"); and (ii) an unseparated piece of land having a total area of 73,000m<sup>2</sup> ("**Finland Real Estate III**"). A summary of the terms pertaining to Finland Real Estate I and Finland Real Estate III are set out below:

Finland Real Estate I

● The purchase price shall be €324,000. Bitzero Finland paid a non-refundable reservation fee of 10% of the purchase price already.

● For the sale and conveyance of Finland Real Estate I to take effect, Bitzero Finland must confirm availability of an additional power capacity of at least 500MW or other additional power capacity specified by the parties at the site.

Finland Real Estate III

● The purchase price shall be €438,000. Bitzero Finland paid a non-refundable reservation fee of 10% of the purchase price already.

● For the sale and conveyance of Finland Real Estate III to take effect, Bitzero Finland must confirm availability of an additional power capacity of at least 60MW at Finland Real Estate III or the Finland Real Estate II. For clarity, the minimum aggregate power supply availability at Finland Real Estate III and Finland Real Estate II together shall then be at least 100MW.

Pursuant to the Finland Real Estate Purchase Agreement, Bitzero Finland purchased the Finland Real Estate II for aggregate consideration of €570,000. Bitzero Finland has an obligation to build pursuant to the Finland Real Estate Purchase Agreement; it must (i) procure an aggregate power supply of not less than 40MW at Finland Real Estate II; and (ii) build and install a data center on Finland Real Estate II with the aggregate installed power consumption of not less than 40MW within two years after a power supply of 40MW has become available on Finland Real Estate II. Additionally, Bitzero Finland shall not sell the or otherwise transfer the Finland Real Estate II until the building obligations described above are fulfilled.

Pursuant to the Finland Option Agreement, Bitzero Finland paid a reservation fee of €100,000 to reserve a land area of 700,000m<sup>2</sup> and was granted an option to purchase the reserved area through written notice to the city of Kokemäki, Finland. If Bitzero Finland chooses to exercise the option, it shall purchase the reserved area for €6/ m.<sup>2</sup> Once the option is exercised, Bitzero Finland must fulfil a number of obligations including but not limited to procuring an aggregate power supply of 500MW-1000MW at the reserved area and building and installing a data center with the aggregate installed power consumption of 500MW-1000MW.

<u>Loan Agreements</u>

On June 27, 2025, Bitzero Blockchain and its subsidiaries entered into a secured loan and guarantee agreement (the "**JGB Loan Agreement**") with JGB Capital, LP, JGB Partners, LP, and Deepdale Investors, LLC, as lenders, and JGB Collateral LLC, as administrative agent and collateral agent for the lenders. Pursuant to the terms of the JGB Loan Agreement, Bitzero Blockchain and its subsidiaries will receive an initial term loan in the principal amount of US$17,510,000 (subject to a US$510,000 original issue discount) (the "**JGB First Draw**"), as well as access to a delayed draw term loan facility of up to US$8,240,000 (subject to a US$240,000 original issue discount), each secured by collateral and guaranteed by Bitzero Blockchain's subsidiaries, subject to lender approval. The loans mature on June 27, 2028, and principal amortization payments commence six months after closing, with adjustments if the delayed draw facility is utilized. The outstanding principal amount under the JGB Loan Agreement accrues interest at the applicable rate, which is the greater of (i) 14% per annum (the "**Floor**") and (ii) a fluctuating per annum interest rate equal to the Term SOFR, or its replacement benchmark, plus 11%. Consequently, the interest rate on the loan may fluctuate over time according to changes in the benchmark rate but will never be less than the Floor. Interest is calculated on a 360-day year and is payable monthly in arrears. Interest payments will be approximately US$315,000 per month. The JGB Loan Agreement includes financial covenants requiring minimum levels of cash and revenue, and includes fallback provisions for the benchmark rate, administrative rights to make conforming changes, and other customary representations, warranties, and covenants. The JGB Loan Agreement contains customary provisions surrounding default, including payment default, breach of covenants, material adverse change to the business, insolvency, and misrepresentation, amongst others. Upon the occurrence of an event of default under the JGB Loan Agreement, the lenders have rights to exercise remedies under the agreement, which include acceleration of all amounts owing and enforcement of security. The JGB Loan Agreement allows for a 15 day cure period for certain defaults, which may be extended by another 15 days if cure is diligently pursued.

Bitzero Blockchain and its subsidiaries shall use the proceeds of the loans governed by the JGB Loan Agreement for working capital and general corporate purposes, including the purchase of additional Bitcoin Miners. As consideration for entering into the JGB Loan Agreement, Bitzero Blockchain issued to the lenders warrants to purchase 4% of the issued and outstanding Bitzero Shares (on a fully diluted basis), being 19,559,862 warrants, at a purchase price of US$0.01 per Bitzero Share as of June 27, 2025, subject to certain terms and conditions for a period of 5 years following the completion of the Reverse Takeover Transaction (the "**JGB First Warrants**"). Specifically, if Bitzero issues or sells any Bitzero Shares, convertible securities or Bitzero Options after June 27, 2025 (the "**JGB First Ratchet Issuance**"), then the number of Bitzero Shares issuable upon the exercise of the JGB First Warrants shall be increased such that after giving effect to the JGB Ratchet Issuance, the holder's ownership on a fully-diluted basis shall not be less than 4% of Bitzero Shares, provided such JGB Ratchet Issuance occurs at a price per share less than the fair market value on June 27, 2025 and excluding issuances under Bitzero Blockchain's equity incentive plans or strategic transactions approved by its board of directors.

The loans mature on June 27, 2028, and principal amortization payments of US$350,000 per month on the JGB First Draw commence six months after closing of the JGB First Draw, with adjustments if the delayed draw facility is utilized. The outstanding principal amount under the JGB Loan Agreement accrues interest at the applicable rate, which is the greater of (i) Floor and (ii) a fluctuating per annum interest rate equal to the Term SOFR, or its replacement benchmark, plus 11%. Consequently, the interest rate on the loan may fluctuate over time according to changes in the benchmark rate but will never be less than the Floor. Interest is calculated on a 360-day year and is payable monthly in arrears. The JGB Loan Agreement includes financial covenants requiring minimum levels of cash and revenue, and includes fallback provisions for the benchmark rate, administrative rights to make conforming changes, and other customary representations, warranties, and covenants.

On October 20, 2025, Bitzero Blockchain, Bitzero Blockchain's subsidiaries, and WBM entered into a Joinder, Delayed Draw Advance and Second Amendment to Loan and Guaranty Agreement ("**JGB Second Draw Agreement**") with JGB Capital, LP, JGB Partners, LP, and Deepdale Investors, LLC, as lenders, and JGB Collateral LLC, as administrative agent and collateral agent for the lenders, which amended the JGB Loan Agreement. Pursuant to the terms of the JGB Second Draw Agreement, the lenders agreed to provide a delayed draw advance in the aggregate principal amount of US$8,245,000 (inclusive of a US$245,000 original issue discount, resulting in US$8,000,000 of actual availability) (the "**JGB Second Draw**"), to be funded within two business days following the date of the JGB Second Draw Agreement, and which were deposited in escrow pending completion of the Reverse Takeover Transaction and were therefore released on the Effective Date. The delayed draw advance was subject to certain conditions precedent, including amendments to Norwegian security documents and related registrations, which have been satisfied. Monthly principal amortization payments will increase to US$515,000, commencing with the first payment date after the JGB Second Draw Agreement, which is six months following the date of the JGB Second Draw Agreement, and may be reduced proportionally in the event of conversion of any portion of the JGB Second Draw and a US$2,000,000 portion of the JGB First Draw (the "**JGB First Draw Conversion Amount**"). The JGB Second Draw Agreement also provides for voluntary conversion rights, allowing each lender, at its option, to convert the outstanding principal and accrued interest of the JGB Second Draw and the JGB First Draw Conversion Amount into Bitzero Shares at a conversion price US$0.40 per share, subject to adjustment and beneficial ownership limitations. As consideration for entering into the JGB Loan Agreement, Bitzero Blockchain issued to the lenders warrants to purchase 1% of the issued and outstanding Shares (on a fully diluted basis and as calculated as of the closing date of the Reverse Takeover Transaction), being 5,974,930 warrants, at a purchase price of US$0.01 per Bitzero Share as of October 20, 2025 for a period of five years following the completion of the Reverse Takeover Transaction, subject to certain terms and conditions (the "**JGB Second Warrants**"). If Bitzero Blockchain issues or sells any Bitzero Shares or convertible securities after October 20, 2025 (the "**JGB Second Ratchet Issuance**"), then the number of Bitzero Shares issuable upon the exercise of the JGB Second Warrants shall be increased such that after giving effect to the JGB Second Ratchet Issuance, the holder's ownership on a fully-diluted basis shall not be less than 1% of the Bitzero Shares, provided such JGB Second Ratchet Issuance occurs at a price per share less than the fair market value on October 20, 2025 and excluding issuances under Bitzero Blockchain's equity incentive plans or strategic transactions approved by its board of directors.

After implementing the Reverse Takeover Transaction, there are 2,553,479 JGB Warrants outstanding, each warrant entitles the holder thereof to purchase one Voting Share at a price of US$0.10 per Voting Share. Bitzero Blockchain agreed to issue the JGB Warrants as an inducement to provide the credit facilities described above to Bitzero Blockchain. The parties had initially proposed granting JGB a number of Bitzero Shares equal to the Bitzero Shares underlying the JGB Warrants; however, JGB determined that it was preferable for its own tax planning purposes for it to receive warrants with a nominal exercise price rather than shares. Additionally, the JGB Second Draw and the JGB First Draw Conversion Amount carry a principal amount of US$10,245,000 and may be converted into Voting Shares a conversion price of US$4.00 per Voting Share for a period of 5 years. This is equivalent to 2,561,250 Voting Shares.

<u>Other</u>

On October 30, 2024, Phoenix entered into a commitment letter with Bitzero Blockchain to conduct a share exchange (the "**Phoenix Commitment Letter**"). Pursuant to the Phoenix Commitment Letter, Phoenix agreed that immediately before the consummation of the Reverse Takeover Transaction pursuant to the Letter Agreement, it exchanged (the "**Phoenix Share Exchange**") a certain number of its Bitzero Shares for (i) Bitzero Non-Voting Shares and (ii) Non-Voting Shares. Pursuant to the Phoenix Commitment Letter, Phoenix completed the Phoenix Share Exchange, such that the following occured: Phoenix received, in respect of its Bitzero Shares, a number of Voting Shares equal to the number of Voting Shares that Phoenix would have received under the Reverse Takeover Transaction had the Phoenix Share Exchange not occurred (the "**Phoenix Default Share Total**"), provided that the number of Voting Shares so received was not to exceed 9.99% of the issued and outstanding Voting Shares, as constituted immediately following the Reverse Takeover Transaction (the number of Voting Shares so received, the "**Phoenix Common Share Total**"); and (ii) secondly, Phoenix received, in respect of its Bitzero Non-Voting Shares, a number of Non-Voting Shares equal to the difference between the Phoenix Default Share Total and the Phoenix Common Share Total.

On March 25, 2025, Bitzero Blockchain entered into a letter of intent with Lista Renewable Energy Park Site, to form a new joint venture under the laws of Norway for the establishment of a data center on the Lista energy park situated in Vanse, Norway to be owned by the joint venture thereof. The joint venture is to be the asset manager of the property and the letter of intent provides that the parties would share in the profits and losses of the joint venture 50%-50%, among other terms. The parties are to negotiate and execute a mutually acceptable joint venture agreement and accessory agreements no later than August 1, 2025. Under the letter of intent, Bitzero Blockchain's percentage of ownership in the joint venture will be increased to 75% if the joint venture concludes a financing of 600-650 million NOK for the construction of a high voltage infrastructure and an amount corresponding to 25% and an amount corresponding to 25% of the value of the Lista property shall be contributed by Bitzero Blockchain. Simultaneously, the Lista property shall be transferred to the joint venture as a contribution by Lista.

On March 25, 2025, the parties extended the outside date to conclude all joint venture agreements and accessory agreements to December 31, 2025.

On October 30, 2025, Bitzero Blockchain entered into a sales and purchase agreement (the "**FAR Transformer Sales Agreement**") with FAR Holdings Bermuda Ltd. ("**FAR**"), an arm's length third party. FAR agreed to supply Bitzero Blockchain with electrical equipment for data center expansion, specifically, two new 60 megavolt-ampere phase station class power transformers and thirty-one 3,600 kilovolt-ampere phase distributor transformers. Pursuant to the terms of the FAR Transformer Sales Agreement, Bitzero Blockchain will acquire the equipment for an aggregate purchase price of US$5,965,980, consisting of US$3,111,990 in cash and US$2,853,990 by way of a convertible note issued to FAR (the "**FAR Convertible Note**"). Bitzero Blockchain will make payments in two tranches: i) US$428,098.50 to FAR upon closing; and (ii) US$2,683,891.50 of the cash consideration to FAR within five calendar days of the test and inspection report provided by the Equipment Manufacturer in compliance with the process described in the FAR Transformer Sales Agreement. The FAR Convertible Note will also be terminated if Bitzero Blockchain has fully complied with its obligations under the FAR Transformer Sales Agreement and the following conditions have been satisfied (i) JY Transformer Co. Ltd (the "**Equipment Manufacturer**") has successfully completed the inspection and testing process described in the FAR Transformer Sales Agreement for all of the equipment, (ii) a certificate by an independent international surveying company has been issued and accepted by Bitzero Blockchain and (iii) the equipment has been made available for pickup at the Equipment Manufacturer's premises in accordance with the ex works delivery term (collectively, the "**FAR Conditions**") by April 22, 2026. The FAR Transformer Sales Agreement provides for delivery on an ex works basis at the manufacturer's premises, with production completed within approximately 90 days of final drawing approval. The equipment is warranted for 36 months from installation, and the Equipment Manufacturer will provide technical support and spare parts for ten years from commissioning.

On October 30, 2025, Bitzero Blockchain issued the FAR Convertible Note to FAR, as partial consideration under the FAR Transformer Sales Agreement. The FAR Convertible Note was issued in the principal amount of US$2,853,990, accrues interest at 10% per annum (12% upon default), and matures 18 months from the issue date. The holder may convert the outstanding principal and accrued interest into Bitzero Shares at a conversion price of US$0.40 per share at any time prior to maturity, subject to customary conversion mechanics and anti-dilution protections. All rights granted to FAR pursuant to the FAR Convertible Note are conditional upon the FAR Conditions being satisfied, including FAR's right to convert the FAR Convertible Note into Bitzero Shares or to redeem the FAR Convertible Note, and the FAR Convertible Note shall be deemed null and void if the FAR Conditions have not been satisfied by April 22, 2026. The FAR Convertible Note is subordinate to senior debt.

**Significant Acquisitions**

During its financial year ended September 30, 2025, the Corporation did not complete any significant acquisition for which disclosure was required under Part VIII – Business Acquisition Report of NI 51-102.

**Description of the Business**

The Corporation is a provider of IT energy infrastructure and high-efficiency power generation for data centers to support various activities including HPC and Blockchain Mining (the "**Business**"). The Business focuses on three principal areas: (1) data center development; (2) Bitcoin Mining; and (3) obtaining strategic data center hosting partnerships. Bitzero Blockchain, is the operating entity of the Corporation, which owns all the other Subsidiaries; see "*Intercorporate Relationships*" for the Corporation's organization chart.

Bitzero Blockchain was created to disrupt and innovate in the Blockchain and data center spaces to move markets away from unsustainable data and Mining practices. It is engaged in the development and operation of data centers and related energy infrastructure, Bitcoin self-Mining, and HPC hosting. Bitzero Blockchain's primary objective is to address the increasing demand for IT energy infrastructure driven by the growth of Blockchain technology and other HPC applications by leveraging advanced technology and energy-efficient solutions. By creating harmony with local authorities, investors, and customers, Bitzero Blockchain aims to become a leader in Blockchain Mining and HPC hosting in a sustainable fashion and set a new global standard for best practices in clean energy sourcing, heat capture, and sustainability within local communities.

*Data Center Development Overview*

Data centers are physical facilities that are used to house computer systems and associated components, IT infrastructure, critical applications, and data for applications and services. Data centers can be used for a variety of purposes and support the needs of large-scale applications, including but not limited to Bitcoin Mining, cloud computing, web hosting, processing large data sets, providing the foundation for artificial intelligence, machine learning, and more. Data center designs are based on computing and networking solutions and include components such as routers, switches, firewalls, storage systems, and more.

*Bitcoin Mining Overview*

Bitcoin Mining is the process by which new Bitcoins are created and transactions are verified and added to the public ledger known as the Bitcoin Blockchain. Mining is conducted by Miners using hardware and software to generate a cryptographic number that is equal to or less than a number set by the Bitcoin network's algorithm.<sup>1</sup> Bitcoin self-Mining refers to the process by which a Miner validates Bitcoin transactions and adds them to the Blockchain ledger without relying on a trusted third party.

<sup>1</sup> <u>How Does Bitcoin Mining Work? A Beginner's Guide (investopedia.com)</u>

"Hashrate" is a measure of the computational power used in the Mining process of Cryptocurrencies, it indicates how many hash functions a Miner can perform per second. Generally, the higher the Hashrate, the more attempts a Miner can make to add new blocks to the Blockchain. Bitcoin Hashrates are generally measured through exahashes per second (E/Hs); one exahash equals 10<sup>18</sup> hashes, which means E/Hs indicates how many quintillion Hash calculations can be performed in one second.<sup>2</sup> E/Hs represent high levels of computational power associated with large-scale Mining operations or data centers.<sup>3</sup>

*Hosting Partnerships Overview*

Data center hosting is a service where companies and organizations store and manage their IT infrastructure in third-party data centers, enabling them to use the same the services, features, and capabilities of a data center without building their own infrastructure. Data center hosting comes in various forms, including the following:

(1) Dedicated
 hosting: a client rents an entire server, giving them full control over its resources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Shared
 hosting: multiple clients share the same server and its resources, making it more cost-effective
 but with limited control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Virtual
 private server hosting: a server is divided into multiple servers, offering more control
 and resources than shared hosting; and

(4) Cloud
 hosting: resources are distributed across multiple servers, allowing for scalability
 and flexibility.

**Revenues**

The following is a breakdown of the Corporation's revenues by type:

---

| | | |
|:---|:---|:---|
| **Type** | **September 30, 2025** | **September 30, 2024** |
| Digital assets mined | US$24,895,690 | US$15,607,000 |
| Hosting services | Nil | US$7,004,281 |

---

**<u>Notes:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) These
 mining activities are conducted by Exanorth at the Norway Data Center, for the provision
 of data processing services for the mining of digital currency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The
 Corporation hosts and provides space and operating and maintenance services to third-party
 mining companies who locate their mining hardware at its data centers. The Corporation
 accounts for these agreements as a single performance obligation for services being delivered
 in a series with delivery being measured by monthly hosting fees of the mining hardware.

**Barbadian Subsidiary**

The Barbadian Subsidiary's full name is "Bitzero Inc.," it was incorporated under the *Companies Act of Barbados* on December 23, 2021. The Barbadian Subsidiary's registered and head office is located at the Grove, 21 Pine Road, Belleville, St. Michael BB11113, Barbados. The authorized share structure of the Barbadian Subsidiary consists of an unlimited number of common shares, of which 100 common shares were issued to Bitzero Blockchain for US$100.00 on December 23, 2021.

The Barbadian Subsidiary's current director and officers are as follows:

---

| | |
|:---|:---|
| **Name** | **Position** |
| Liza Harridyal | Secretary & Director |

---

The Barbadian Subsidiary is a holding corporation incorporated to take advantage of the bilateral tax treaties between (i) Norway and Barbados and (ii) Barbados and Canada. All Bitcoin mined in the Norway Data Center is owned by the Barbadian Subsidiary pursuant to the Barbadian-Exanorth Data Services Agreement (as defined herein).

<sup>2</sup> <u>What is Bitcoin Hash rate and why does it matter?</u>

<sup>3</sup> <u>ExaHash - Explanation of terms</u>

On December 15, 2021, the Barbadian Subsidiary entered into a data services agreement with Exanorth (the "**Barbadian-Exanorth Data Services Agreement**"), under which Exanorth provides Cryptocurrency Mining services and Mines Cryptocurrency for the Barbadian Subsidiary. As consideration, the Barbadian Subsidiary pays Exanorth a monthly service fee equal to Exanorth's costs plus an 11% margin. The term of the Barbadian-Exanorth Data Services Agreement is indefinite, but the parties may terminate the agreement within 90-day prior written notice.

**Exanorth**

Exanorth is a private limited liability company formed under the laws of Norway on April 4, 2018. Exanorth's registered address is Tunnsjødalsveien 178, 7892 Trones, c/o Pluss-Okonomi AS, Postboks 2583, 4678 Kristiansand S, Norway. Exanorth has an authorized share capital of NOK 10,883,100 consisting of 300 fully paid shares, each with a nominal value of NOK 36,277. Exanorth is the owner and the operator of the First Norway Property, the Norway Data Center, and the Second Norway Property.

Exanorth's current directors and officers are as follows:

---

| | |
|:---|:---|
| **Name** | **Position** |
| Mohammed Bakhashwain | Chairman of the Board |
| Frank Aadnevik | General Manager and Secretary |

---

<u>First Norway Property</u>

Additionally, through the Flexibility Services Agreement, Exanorth adjusts energy usage at the First Norway Property to stabilize the power grid. When Exanorth engages in stabilization efforts, it is compensated under the terms of the Flexibility Services Agreement while also supporting sustainability.

The First Norway Property provides Bitzero Blockchain with an advantageous location for Cryptocurrency Mining for the following key reasons:

1. Norway
 is committed to large scale expansion of data center businesses;<sup>4</sup>

2. Low
 temperatures reduce server cooling costs, significantly lowering the dependency on excessive
 energy use;

3. Clean
 outside air limits the maintenance required to keep machines in working condition;

4. The
 First Norway Property is located next to the local power grid which supplies energy to
 the Norway Data Center. Since the grid is so close to the First Norway Property, the
 grid fee is low, and energy produced is conserved;

5. Fast
 and reliable internet connection enables dependable communications; and

6. Hydropower
 accounts for 90% of Norwegian electricity production, which is considered to be the cheapest
 source of renewable energy.<sup>5</sup>

The First Norway Property had approximately 320MW Total Capacity. 40MW of Active Capacity at the First Norway Property is being used by the Norway Data Center, and there was approximately 3200MW of Inactive Capacity that could be accessed through development and grid updates. Exanorth intends to expand Active Capacity at the First Norway Property over the coming months and has approval to support expansion of 70MW adding up to the total of 110 MW.

<sup>4</sup> <u>Norwegian data centres - sustainable, digital powerhouses - regjeringen.no</u>

<sup>5</sup> <u>Data centres in Norway Rapid expansion and fundamental advantages \| DLA Piper</u>

In August 2024, Exanorth received approval from the Norwegian Water Resources and Energy Directorate to operates as a utility, which means that Exanorth can control the First Norway Property's own electrical supply, and energy distribution and grid costs.

*Norway Data Center*

The Norway Data Center is 50,000 square meters and is located on the First Norway Property. Currently, the Norway Data Center operates as Bitzero Blockchain's self-Mining revenue-generating operations and is the focal point of the Corporation's operations.

All the Bitcoin that is self-mined at the Norway Data Center is rewarded from the Luxor Mining Pool and owned by the Barbadian Subsidiary.

<u>Second Norway Property</u>

Pursuant to the Second Norway Property LTA, Aadnevik Invest transferred and assigned all rights, title, interest, and obligations it has under the Second Norway Property Option and Lease Agreement to Exanorth in 2024. Exanorth acquired the Second Norway Property Option and Lease Agreement to proactively support near-term growth and profitability objectives but has not yet finalized plans for it.

**Zetanorth**

Zetanorth is company formed under the laws of Norway on October 23, 2024. Zetanorth's registered address is Norway, it has an authorized share capital of NOK 30,000, consisting of 1,000 fully paid shares, each with a nominal value of NOK 30.

Zetanorth's current directors and officers are as follows:

---

| | |
|:---|:---|
| **Name** | **Position** |
| Mohammed Bakhashwain | Director & Chairperson |
| Frank Aadnevik | Co-Managing Director |
| Giovanni Gaudenzi | Co-Managing Director |

---

**Bitzero ND I**

Bitzero ND I is a limited liability company formed under the laws of the North Dakota May 16, 2022. Bitzero ND I's principal address is 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5. It is the owner of the North Dakota Property.

Bitzero Blockchain is the sole member of Bitzero ND I. Its current governor is Mohammed Bakhashwain.

<u>The North Dakota Property</u>

Bitzero ND, I acquired the North Dakota Property on July 18, 2022, pursuant to a purchase and sale agreement with the Cavalier County Job Development Authority (the "**North Dakota Property Purchase Agreement**"). The North Dakota Property is over 184 acres and benefits from a diversified energy mix including wind, natural gas, and grid sources, ensuring reliability and efficiency.

The North Dakota Property has Total Capacity of approximately 200MW-300MW. Currently, there is 2.5MW of Active Capacity that is immediately available but not currently being used, and further Inactive Capacity that can be accessed once studies are conducted, facilities are built, and investments in system upgrades are made. Additionally, on the North Dakota Property, there is an 80,000-gallon diesel tank and additional liquid storage tank, which can provide large-scale back-up power supplies, enabling the North Dakota Property to operate independently of other electrical suppliers.

The Nekoma Pyramid was initially built in the late 1960s with initial commissioning occurring in 1975 during the cold war. It consequently has desirable security characteristics well suited for storing highly sensitive information.<sup>6</sup> The Nekoma Pyramid is located on the North Dakota Property and is currently non-operational.

The Nekoma Pyramid's special features and competitive advantages are summarized below:

1. Potential
 to offer customers an extremely high level of physical security due to its original design
 as a government defense installation, making it useful for clients with strict requirements
 in the areas of data protection and physical security;

2. Fully
 reinforced concrete and steel, designed to protect building contents; and

3. There
 are redundant power feeds available, which are built to work into the redundant power
 systems in datacenters and ensure that power gets delivered to all functional server
 components and acts as physical power supplies sample space for onsite generation and
 fuel storage.

Bitzero ND I and Bitzero Blockchain are in the process of developing the North Dakota Property and planning the use of the Nekoma Pyramid for their operations. Pursuant to the C&W Agency Agreement, the North Dakota Property may be sold or leased to a third-party, or Bitzero ND I may retain the North Dakota Property for its own use.

*Development Plan*

The North Dakota Property is expected to be developed in phases:

1. **Phase 0:** Complete acquisition and preparation for the site, including: removing asbestos,
 technical drawings, energizing grid line, finalizing installation and appoint team. Additionally,
 costing of external requirements such as equipment orders and trenching for fiber optic
 cabling was conducted at this stage. Phase 0 was completed in 2022.

2. **Phase 1: Confirmed** availability of power and infrastructure facilities on the site for
 data center development, this was completed on August 23, 2024.

3. **Phase 2:** Build the Nekoma Pyramid design and supporting infrastructure at the North Dakota
 Property, including developing the Inactive Capacity of 200MW-300MW.

<sup>6</sup> <u>Stanley R. Mickelsen Safeguard Missile Site Radar (MSR) Complex — Cold War Tourist</u>

**Bitzero ND II**

Bitzero ND II is a limited liability company formed under the laws of North Dakota on May 16, 2022, with a registered address at 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5. Bitzero ND II is the operating entity for real estate owned by ND I, LLC.

Bitzero Blockchain is the sole member of Bitzero ND II. Its current governor is Mohammed Bakhashwain.

**Bitzero Finland**

Bitzero Finland is a company formed under the laws of Finland. On January 23, 2025, Bitzero Blockchain purchased all the issued and outstanding shares of Bitzero Finland from a third-party.

Bitzero Finland's current directors and officers are as follows:

---

| | |
|:---|:---|
| **Name** | **Position** |
| Mohammed Bakhashwain | Director and Chairman |
| Frank Aadnevik | Director |
| Giovanni Gaudenzi | Director |

---

**Bitcoin Mining Operations**

Another central component of the Business is Bitcoin Mining. Bitcoin Mining is the most efficient way for the Business to convert energy into sustainable cash flows. This method is predictable, straightforward to manage, and not excessively capital-intensive, with relatively low upfront costs. It involves directly converting energy into cash flows through capital expenditure and infrastructural projects. Currently, all Bitcoin Mining operations are conducted at the Norway Data Center. The Corporation and its Subsidiaries do not Mine any other Cryptocurrency assets. Pursuant to the Barbadian-Exanorth Data Services Agreement, all Bitcoin that is self-mined at the Norway Data Center is owned by the Barbadian Subsidiary.

The process by which Cryptocurrency coins or tokens are created and transactions are verified is called Mining. A user or Miner operates a publicly distributed Mining client, which turns the user's computer into a "node" on the network that validates blocks. In order to add blocks to the Bitcoin Blockchain, a Miner must map an input data set (i.e., the Blockchain plus a block of the most recent transactions and an arbitrary number called a "nonce") to a desired output data set of a predetermined length using an algorithm**.** As more Miners join the network and its processing power increases, the network adjusts the complexity of the block solving equation to maintain a pace of adding a new block to the Blockchain approximately every 10 minutes. Below is further disclosure on the specific steps taken in Bitcoin Mining operations, including how Bitzero Blockchain currently engages in Bitcoin Mining.

**1.**  **<u>Basic Infrastructure:</u>** Bitcoin Miners must first secure land with allocated energy resources,
 typically measured in MW. After that, the Bitcoin Mining site must be prepared for site
 construction.

At the Norway Data Center, substantiation construction took place which required building a 40MW substation to convert high-voltage grid power to low voltage. The necessary electrical cabling was installed and then contracts with the local energy grid providers were entered into to secure fixed energy prices for 5 years. All electricity and power supplied to the Norway Data Center is through the Energy Provider through the Energy Provider Power Agreement.

**2.**  **<u>Container Setup:</u>** Bitcoin Mining containers are used so that owners and investors can move
 Mining rigs easily. In essence, Bitcoin Mining containers are shipping containers equipped
 with the necessary components to conduct Mining operations, including power supply units,
 cooling systems, security measures, and fire suppression systems. Each Bitcoin Mining
 container houses several Mining computers in racks, consuming approximately 1MW of power
 each. The number of Mining units per container varies (typically between 200 and 312),
 depending on the equipment. The containers include racks for Miners, power distribution
 units (PDUs), cooling systems to maintain optimal temperatures, and fire suppression
 systems.

Currently, there are 32 containers and 10,263 Miners at the Norway Data Center. Specifications of Exanorth's containers are provided below:

● **Electricity Connection**: Each container connects to the electricity supply via a 2.5MW transformer.

● **Transformer Setup**: Each 2.5MW transformer powers two containers, supporting a total computing power consumption of about 2 to 2.1MW.

● **Energization**: After setting up the containers and transformers (collectively known as a "Mining Module"), an energization process ensures the module is ready to host Mining computers.

**3.**  **<u>Mining equipment set up:</u>** There is specific equipment that is required for Bitcoin Mining.
 Below is a summary of the type of Mining equipment that is generally used:

● **Mining Hardware**: ASICs are commonly used for Bitcoin Mining. These devices are designed specifically for the purpose of Mining and are much more efficient than general-purpose hardware.

● **Mining Software**: Miners use software to connect to the Bitcoin network, manage their hardware, and coordinate the Mining process.

● **Mining Pools**: Due to the high difficulty of Mining, individual Miners often join Mining Pools. A Mining Pool is a joint group of Cryptocurrency Miners who combine their computational resources over a network. Individually, participants in a Mining Pool contribute their processing power toward the effort of finding a block. This does not include Hashrate based exchanges or contracts.

● **Electricity and Cooling**: Mining is energy-intensive and generates a significant amount of heat. Efficient cooling systems and access to low-cost electricity are critical for profitable Mining operations.

● **Operations and management (O&M):** Once the Mining units are equipped with active Mining computers, the facility operates continuously, earning Bitcoin rewards from the Blockchain around the clock. Remote monitoring systems oversee the operation, and on-site maintenance is only required if any units underperform or encounter issues.

In terms of equipment at the Norway Data Center, there are 10,263 Miners used. Additionally, Bitzero Blockchain is part of the Luxor Mining Pool, which employs the Luxor Software.

4. <u>First Type of Revenues: Mining Rewards</u> 

Every 10 minutes, a new block is added to the Blockchain ledger by all the Mining computing power existing in the world, comprising approximately 4,500 Bitcoin transactions. Every 10 minutes, the global Bitcoin network rewards Miners with 3.125 Bitcoins. This results in a total daily reward of 450 Bitcoins for all Miners combined. This reward amount halves approximately every four years (once the right block height is reached). The Bitcoin reward per unit of Mining equipment is predictable at the time of purchase but varies over time based on market share. For example, if there are 9 equally powerful Mining units globally and Bitzero Blockchain adds one more, Bitzero would receive 10% of the daily 450 Bitcoin reward. Currently, the total network computing power is over 600 exahashes per second (EH/s), while the most efficient single Miner operates at approximately 0.0002 EH/s.

Bitzero focuses on self-Mining at the Norway Data Center and earns revenue through the amount of Bitcoin mined. Pursuant to a services agreement, Luxor receives 0.20% of each Total Miner Reward and Bitzero Blockchain will receive the remaining 99.8% of each Total Miner Reward. Currently, the Block Subsidy of newly minted Bitcoins in each block is 6.25 Bitcoin/block.

**Custody of Crypto Assets & Digital Asset Security Policy and Procedures**

The Corporation's Cryptocurrency assets, which currently consist of Bitcoin only, are mined to one of two Trezor hardware wallets that are owned by Bitzero (the "**Wallets**"). The Corporation does not currently employ any third-party custodian services. Bitzero has adopted a Digital Asset Security Policy and Procedures guide relating to Cryptocurrency topics, including key, wallet, and account generation.

The Digital Asset Security Policy and Procedures guide applies to all of the Corporation's employees, contractors, and consultants interacting with digital assets and wallet accessibility components. It establishes controls for digital asset security and covers wallet/key generation, access management, physical/virtual security, and incident response. The policy is applicable to all digital assets, systems, and related transaction activities owned or leased by Bitzero. The Digital Asset Security Policy and Procedures guide is governed by Mohammed Bakhashwain. It provides that no single party can access all wallet components or conduct transactions without third party oversight, including independent legal oversight by a notary or lawyer during wallet generation and storage. Additional key components are as follows:

● Hardware Wallets: Trezor hardware wallets are used for digital asset storage. Seed phrases are split and stored separately in secure locations, ensuring that no individual has unilateral access.

● PIN codes and seed phrases: these are divided among designated roles. Physical devices are stored in law firm safety deposit boxes, with access controls and monitoring in place.

● Dual control and multi-level approval: Wallets are dual controlled, meaning that transactions and changes require the involvement of multiple authorized individuals. Any changes to wallet access or whitelisted addresses require multi-level approval, including authorization from the board of directors.

● Management review: Monthly Management reviews and board are required for changes in access in rights and major transactions.

● Physical and Virtual Security: Storage locations are monitored 24/7, and access is logged and restricted. Employee background checks and mandatory digital asset security training are required for all relevant personnel.

● Incident Response: The policy defines procedures for responding to adverse events, security incidents, and wallet compromise, with annual testing and Board-reviewed updates.

● Accounting and Financial Controls: Digital assets are recognized as intangible assets under IFRS, with monthly and annual remeasurement, segregation of duties in accounting, and regular reconciliations and audit reviews

5. <u>Second Type of Revenues: Transaction Fees</u> 

Transaction Fees are a crucial component of the Bitcoin network's incentive structure, ensuring that Miners prioritize certain transactions and continue to maintain the network even after Block Rewards diminish over time.

Miners receive Transaction Fees as an additional incentive, supplementing the Block Reward (the newly created Bitcoins given to the Miner who finds a new block). Users can attach fees to their transactions to incentivize Miners to prioritize their transactions over others. Higher Transaction Fees typically result in faster confirmation times. The total Transaction Fees paid depends on the transaction size in bytes and the fee rate set by the user.

**Hosting Partnerships**

Pursuant to the Sowrer LTGA, at the Norway Data Center, Exanorth is currently hosting 9.5MW Active Capacity for Sowrer for gross proceeds of approximately US$4.5 million up front (one-time payment) and US$120,000 annually plus maintenance costs. Pursuant to the Exanorth-Arcane Agreement (which was subsequently taken over by Sowrer through execution of the Sowrer LTGA) Sowrer operates the Arcane Servers for cloud computing at the Norway Data Center. In addition, Exanorth hosts the Sowrer Equipment for Sowrer's Cryptocurrency Mining business.

The Corporation intends on leasing additional excess capacity at its properties to cloud service providers, other Cryptocurrency Miners, artificial intelligence companies and other businesses requiring data center infrastructure. For clarity, "excess capacity" means the MW that are not being used by the Corporation or its Subsidiaries directly.

**Specialized Skill and Knowledge**

Frank Aadnevik has significant experience in the Cryptocurrency and data center space.

Mr. Aadnevik has been engaged in innovative edge-, HPC- and hyper-scale data centers for the past 25 years. He has been the Executive Director of Exanorth since 2018. Additionally, he took the roles of Country Manager and CEO of Exanorth in 2021. Throughout his career, Mr. Aadnevik has been instrumental in securing key permits, high-voltage GRID connections, and fiber infrastructure, all essential for the successful deployment of energy-efficient facilities. His work supports high-demand computational environments, including Cryptocurrency Mining operations.

A biography of directors and certain officers of the Corporation is contained in the Listing Statement, which is incorporated by reference herein, and available under the Corporation's profile on SEDAR+ at www.sedarplus.ca.

**Competitive Conditions**

There are many companies that compete in the Blockchain market, offering a range of products and services. Some examples of Blockchain Mining companies include:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Company** | &nbsp;&nbsp;**Headquarter Location** |
| &nbsp;&nbsp;Argo Blockchain Inc. | &nbsp;&nbsp;London, United Kingdom &nbsp;&nbsp;Argo Blockchain Inc. is a global data center business that provides a platform for Cryptocurrency Mining operations. It uses renewable sources of power to support Blockchain technologies. It is listed on the London Stock Exchange and NASDAQ Global Select Market.<sup>7</sup> |
| &nbsp;&nbsp;Bit Digital | &nbsp;&nbsp;New York, USA &nbsp;&nbsp;Bit Digital is a sustainability-focused infrastructure platform for digital assets and artificial intelligence. It has Bitcoin Mining operations in the USA, Canada, and Iceland and powers the Ethereum Blockchain by conducting Ethereum staking.<sup>8</sup> The majority of the company's Miners run on carbon-free power. |
| &nbsp;&nbsp;Bitfarms Ltd. | &nbsp;&nbsp;Ontario, Canada &nbsp;&nbsp;Bitfarms Ltd. is a Cryptocurrency Mining company that Mines Cryptocurrency and coins in Canada, the United States, Paraguay, and Argentina. It owns and operates server farms that validate transactions on the Bitcoin Blockchain and earns Cryptocurrency from Block Rewards and Transaction Fees. It also undertakes hosting of third-party Mining hardware.<sup>9</sup> It has 12 data centers and focuses on hydroelectricity and natural gas. |
| &nbsp;&nbsp;Cipher Mining Technologies Inc. | &nbsp;&nbsp;New York, USA &nbsp;&nbsp;Cipher Mining Technologies Inc. is an industrial-scale Bitcoin Mining company dedicated to expanding and strengthening the Bitcoin network's infrastructure in the United States.<sup>10</sup> |
| &nbsp;&nbsp;CleanSpark, Inc. | &nbsp;&nbsp;Nevada, USA &nbsp;&nbsp;CleanSpark, Inc. owns and operates data centers that run on low-carbon power. The company operates as a Bitcoin Miner in the U.S and is listed on the NASDAQ.<sup>11</sup> |

---

<sup>7</sup> <u>Argo Blockchain \| Bitcoin Mining & Technology Company</u>

<sup>8</sup> <u>Bit Digital (BTBT) \| Bitcoin Mining & AI Infrastructure Services (bit-digital.com)</u>

<sup>9</sup> <u>Bitfarms Ltd. (BITF.TO) Company Profile & Facts - Yahoo Finance; Company - Bitfarms Ltd. (BITF)</u>

<sup>10</sup> <u>Cipher Mining Technologies Inc</u>.

<sup>11</sup> <u>CleanSpark \| Cryptocurrency & Blockchain \| America's Bitcoin Miner</u>

---

| | |
|:---|:---|
| &nbsp;&nbsp;Core Scientific, Inc. | &nbsp;&nbsp;Delaware, USA |
| &nbsp;&nbsp;Greenidge Generation Holdings Inc. | &nbsp;&nbsp;New York, USA &nbsp;&nbsp;Greenridge Generation Holdings Inc. operates as an integrated Cryptocurrency datacenter and power generation company. The company owns and operates Cryptocurrency datacenter in New York, and it hosts and provides services to Bitcoin Mining equipment owned by customers. It provides carbon-neutral Mining services and has additional sites in Mississippi, North Dakota, and South Carolina. It currently trades on the NASDAQ.<sup>13</sup> |
| &nbsp;&nbsp;Gryphon Digital Mining, Inc. | &nbsp;&nbsp;Nevada, USA &nbsp;&nbsp;Gryphon Digital Mining Inc. operates a carbon-neutral Bitcoin Mining company in the United States. It trades on the NASDAQ.<sup>14</sup> |
| &nbsp;&nbsp;HIVE Digital Technologies Ltd. | &nbsp;&nbsp;British Columbia, Canada &nbsp;&nbsp;Hive Digital Technologies Ltd. specializes in building and operating data centers. It combines its expertise in data center operations with Bitcoin Mining and is attempting to advance Web3, artificial intelligence, and HPC.<sup>15</sup> The company operates data centers in Canada, Sweden, and Iceland for computing and Mining Cryptocurrencies, including Bitcoin and other coins. It trades on the NASDAQ, Frankfurt Stock Exchange, and TSX Venture Exchange. |
| &nbsp;&nbsp;Riot Platforms, Inc. | &nbsp;&nbsp;Colorado, USA &nbsp;&nbsp;Riot Platforms Inc., operates a Bitcoin Mining business in North America, focusing on Bitcoin Mining, Data Center Hosting, and Engineering. It also provides co-location services for institutional-scale Bitcoin Mining companies. It has Bitcoin Mining data center operations in Texas and Kentucky and switchgear engineering and fabrication operations in Colorado.<sup>16</sup> |

---

<sup>12</sup> <u>Core Scientific - A leader in bitcoin Mining and digital infrastructure for emerging high-value compute</u>.

<sup>13</sup> <u>Greenidge Generation Holdings Inc. (GREE) Stock Price, News, Quote & History - Yahoo Finance</u>

<sup>14</sup> <u>Bitcoin Mining \| ESG Driven Mining \| Gryphon Digital Mining</u>

<sup>15</sup> <u>HIVE Digital Technologies Ltd</u>

<sup>16</sup> <u>About \| Riot Platforms</u>

 

*Brand Positioning*

Hundreds of startups are working on a plethora of HPC and Bitcoin Mining companies. The Cryptocurrency market is highly competitive, consolidated, and regulated. The competitive landscape for Bitcoin Mining is shaped by several key factors, including technological advancements, energy costs, regulatory and market dynamics.

Every 10 minutes, 3.125 Bitcoin are rewarded to the global Mining network. Such amount halves every 4 years. Market participants compete to secure the largest share of this reward by continuously investing in capital expenditures to expand and enhance their Mining operations.<sup>17</sup>

ASICs are specialized devices designed specifically for Bitcoin Mining. They offer high efficiency and performance compared to general-purpose hardware like central processing units and graphics processing units. Additionally, continuous advancements in Mining hardware led to increased hash rates and energy efficiency. Market participants must regularly upgrade their equipment. The Business integrates recent ASICs and leading technology to keep up with market competition.

Additionally, since Mining is energy-intensive, regions with lower electricity costs are more attractive. Countries like Norway, Iceland, the United States and Kazakhstan have been popular due to lower costs of electricity. Although, there is a growing trend towards using renewable energy sources for Mining to reduce costs and address environmental concerns. The environmental footprint of Blockchain Mining operators can influence public perception and regulatory decisions and the environmental impact of Bitcoin Mining has led to scrutiny and calls for more sustainable practices in general. Exanorth's renewable hydroelectric power supply at the Norway Property represents the way-forward and adds a competitive advantage to its business, by sourcing green energy to fuel the facility.

Various jurisdictions have differing tax policies and regulatory requirements for Cryptocurrency Mining, impacting the profitability and feasibility of operations. The Corporation and Bitzero Blockchain are headquartered in British Columbia, Canada, and the other Subsidiaries are headquartered in various international jurisdictions.

To mitigate the inherent variance in rewards, Blockchain Miners often join Mining Pools where they combine their Hashrate power and share the rewards proportionally. A few large Mining Pools such as AntPool, F2Pool, and Pooling<sup>18</sup> dominate the network, making it challenging for new or smaller pools to compete.

*Trends*

Due to regulatory changes and electricity costs, there's a constant shift in the geographical distribution of Mining operations. Recent trends have seen Miners moving from China to North America, Central Asia, and Europe. The Business is well-positioned because it has developed the Norway Property and will be focusing on either expanding the North Dakota Property or selling or leasing it in the near future.

The price of Bitcoin directly affects Blockchain Mining profitability. In addition, as more Miners join the network, it becomes increasingly difficult to engage in Blockchain Mining because the market share of each participant is reduced. Cryptocurrency also undergoes periodic halving of Block Rewards every four years, which reduces the number of new Bitcoins awarded to Miners, impacting revenue and profitability.

**Intellectual Property**

The Corporation and its Subsidiaries do not have any registered intellectual property rights.

**Cycles**

The Corporation believes that the Business will not suffer from cyclical or seasonal sales variances.

<sup>17</sup> <u>The Bitcoin Halving: Everything you need to know (coinbase.com)</u>

<sup>18</sup> <u>Popular Bitcoin Mining Pools Compared (btcpeers.com)</u>

**Economic Dependence**

The Corporation is not economically dependent on any individual supplier or customer.

**Changes to Contracts**

The Corporation is not expected to be affected in the current financial year by the renegotiation or termination of contracts or sub-contracts.

**Employees**

As of the date hereof, the Corporation has 8 employees, inclusive of all executive officers and employees working at Subsidiaries. For the purposes of this section, "employees" means any individuals who have entered into employment contracts with the Corporation,

Bitzero Blockchain or any Subsidiaries. The following table sets out the employees by subsidiary and department:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Entity** | &nbsp;&nbsp;**Role or Department** | &nbsp;&nbsp;**Number of Employees** |
| &nbsp;&nbsp;**The Corporation** | &nbsp;&nbsp;CEO | &nbsp;&nbsp;1 |
| &nbsp;&nbsp;**The Corporation** | &nbsp;&nbsp;Business Development, Finance, Administration, and Public Relations | &nbsp;&nbsp;2 |
| &nbsp;&nbsp;**Exanorth** | &nbsp;&nbsp;CEO | &nbsp;&nbsp;1 |
| &nbsp;&nbsp;**Exanorth** | &nbsp;&nbsp;Operations – Site & Project Managers | &nbsp;&nbsp;3 |
| &nbsp;&nbsp;**Zetanorth** | &nbsp;&nbsp;CEO | &nbsp;&nbsp;1 |

---

**Bankruptcy and Similar Procedures**

There have been no bankruptcies, receivership, or similar proceedings against the Corporation or its respective Subsidiaries, whether voluntary or otherwise, since incorporation and, to the knowledge of Management, there are no such contingent or threatened proceedings.

**RISK FACTORS**

The Corporation is subject to a number of risks. A non-exhaustive list of certain specific and general risks that Management is aware of and believe to be material to, and could affect, the business, results of operations, prospects and financial condition of the Corporation (the "**Non-Exhaustive List of Risk Factors**") is attached as Schedule "A" to this Annual Information Form. When reviewing forward- looking statements and other information contained in this Annual Information Form, readers should carefully consider the Non- Exhaustive List of Risk Factors, as well as other uncertainties, potential events and industry and company-specific factors that may have a Material Adverse Effect on the Corporation.

The Non-Exhaustive List of Risk Factors are not a definitive list of all risk factors associated with an investment in the Corporation or in connection with the Business. Additional risks and uncertainties not presently known to Management or that Management does not currently anticipate will be material may impair the Business operations and its operating results, and as a result could materially impact the Business, results of operations, prospects and financial condition of the Corporation. Further, the Corporation operates in a regulated and rapidly changing environment. New risk factors emerge from time to time, and it is not possible for Management to predict all risk factors or the impact of such factors on the Business. Except as required by Applicable Securities Laws, the Corporation does not intend, and does not assume any obligation, to update or revise the Non-Exhaustive List of Risk Factors attached as Schedule "A" to this Annual Information Form or other information contained in this Annual Information Form.

**DIVIDENDS AND DISTRIBUTIONS**

To date, the Corporation has not declared or paid any cash dividends on any of its issued securities. Other than requirements imposed under applicable corporate Law, there are no other restrictions on the ability of the Corporation to pay dividends under the notice of articles and other constating documents of the Corporation.

As at the AIF Date, the Corporation does not have any intention of paying dividends in the foreseeable future. Any determination to pay any future dividends in any of the Corporation's issued securities will remain at the discretion of the respective Board and will be made based an assessment of various factors, including, the Corporation's earnings, financial requirements and other conditions deemed relevant by the respective Board.

**DESCRIPTION OF CAPITAL STRUCTURE**

The Corporation's authorized share structure consists of: (i) an unlimited number of Voting Shares of which 50,621,091 Voting Shares are issued and outstanding as of the date of this AIF and; and (ii) an unlimited number of Non-Voting Shares of which 2,312,243 Non-Voting Shares are issued and outstanding as of the date of this AIF.

The Non-Voting Shares are "restricted securities" under National Instrument 41-101–*General Prospectus Requirements* and Ontario Securities Commission Rule 56-501–*Restricted Shares* (the "**Restricted Share Rules**") as the Non-Voting Shares carry a lesser number of votes per security than the Voting Shares. In accordance with the Restricted Share Rules, the Corporation received majority approval of the securityholders of the Corporation, excluding any votes attaching to securities held, directly or indirectly, by affiliates of the Corporation or control persons of the Corporation, to create the Non-Voting Shares at its special meeting held on August 25, 2025. For further information on the creation of the Non-Voting Shares, see the Special Meeting Circular which is available on the Corporation's SEDAR+ profile.

Below is a summary of the rights and restrictions attaching to the Shares.

**Issue of Shares**

*<u>Voting Shares</u>*

Subject to the BCBCA and the rights of the holders of issued shares of the Corporation, the Corporation may issue, allot, sell or otherwise dispose of the unissued Voting Shares, and issued Voting Shares, at the times, to the persons, including directors, in the manner, on the terms and conditions and for the issue prices (including any premium at which shares with par value may be issued) that the directors may determine. The issue price for a Voting Share with par value must be equal to or greater than the par value of the Voting Share.

*<u>Non-Voting Shares</u>*

The Non-Voting Shares may be issued at any time or from time to time in one or more series. Before any shares of a series are issued, the Board shall fix the number of shares that will form such series and shall, subject to the limitations set out in the Articles, determine the designation, rights, privileges, restrictions and conditions to be attached to the Non-Voting Shares of such series, the whole subject to the filing with the executive director (as defined in the BCBCA) of a Notice of Alteration.

**Voting Rights**

*<u>Voting Shares</u>*

The holders of Voting Shares are entitled to receive notice of and to attend all annual and special meetings of the shareholders. The holders of Voting Shares are entitled to vote in person or by proxy at all meetings of the Corporation and at all such meetings each such holder has one vote for each Voting Share held.

 

*<u>Non-Voting Shares</u>*

The holders of the Non-Voting Shares shall be entitled to receive notice of and to attend (in person or by proxy) and be heard at all general meetings of the shareholders of the Corporation and shall be entitled to receive all notices of meetings, information circulars and other written information from the Corporation that the holders of Common Shares are entitled to receive from the Corporation but not to vote at such general meetings, unless otherwise required by law or as referred to herein.

**Dividend Rights**

*<u>Voting Shares</u>*

The holders of Voting Shares are entitled to receive dividends if, as and when declared by the Board out of the assets of the Corporation properly applicable to the payment of dividends in such amount and payable at such time as and at such place in Canada as the Board may from time to time determine.

*<u>Non-Voting Shares</u>*

The Voting Shares and the Non-Voting Shares shall rank equally with one another and subordinate to any other shares of the Corporation ranking senior to the Voting Shares and the Non-Voting Shares as to such dividends as may be declared by the Board out of funds legally available therefor and all dividends, other than stock dividends payable in equity shares, will be declared contemporaneously and paid at the same time in the same property and in equal amounts per share on all the Voting Shares and the Non-Voting Shares at the time outstanding, without preference or priority of one share over another.

The Board may declare separate stock dividends payable in equity shares for each of the Voting Shares and the Non-Voting Shares provided that: (a) such stock dividends shall be declared contemporaneously and paid at the same time and in equal numbers of additional equity shares per share on all the Voting Shares and the Non-Voting Shares at the time outstanding; (b) such stock dividends shall be paid (i) in the Voting Shares to the holders of Voting Shares and (ii) in the Non-Voting Shares to the holders of the Non-Voting Shares.

**Rights upon Liquidation, Dissolution or Winding Up**

*<u>Voting Shares</u>*

In the event of liquidation, dissolution or winding up of the Corporation, whether voluntary or involuntary, or other distribution of assets or property of the Corporation amongst holders of Voting Shares for the purpose of winding up its affairs, the holders of Voting Shares shall be entitled to receive all property and assets of the Corporation properly distributable to the holders of Voting Shares.

*<u>Non-Voting Shares</u>*

In the event of the liquidation, dissolution or winding-up of the Corporation or other distribution of assets of the Corporation among its shareholders for the purpose of winding-up its affairs, all of the property and assets of the Corporation which remain after payment to the holders of any shares ranking in priority to the Voting Shares and the Non-Voting Shares in respect of payment upon liquidation, dissolution or winding-up of all amounts attributed and properly payable to such holders of such other shares in the event of such liquidation, dissolution, winding-up or distribution, shall be paid or distributed equally, share for share, to the holders of the Voting Shares and the Non-Voting Shares, without preference or distinction.

**No Pre-emptive Rights**

*<u>Voting Shares</u>*

Holders of Voting Shares have no pre-emptive or preferential right to purchase any securities of the Corporation.

 

*<u>Non-Voting Shares</u>*

The holders of the Non-Voting Shares are not entitled to a right of first refusal to subscribe for, purchase or receive any part of any issue of the Non-Voting Shares or bonds, debentures, or other securities of the Corporation now or in the future.

**Conversion**

*<u>Voting Shares</u>*

Voting Shares are not convertible into shares of any other class or series or be subject to redemption or retraction by the Corporation or shareholders.

*<u>Non-Voting Shares</u>*

Subject to the Ownership Limitation (as defined herein), holders of Non-Voting Shares shall have conversion rights as follows (the "**Non-Voting Share Conversion Rights**"):

&nbsp;&nbsp;&nbsp;&nbsp;(i) **Right to Convert.** Each Non-Voting Share shall be convertible, at the option of the holder
 thereof, at any time after the date of issuance of such share at the office of the Corporation
 or any transfer agent for such shares, into fully paid and non-assessable Voting Shares.

&nbsp;&nbsp;&nbsp;&nbsp;(ii) **Limitation on Conversion Rights.** Notwithstanding anything to the contrary contained in these
 Articles, a holder of Non-Voting Shares shall not have the right to convert any portion
 of the Non-Voting Shares into Voting Shares to the extent that, after giving effect to
 such conversion, the holder thereof has either (i) beneficial ownership of, or control
 or direction over, directly or indirectly, or (ii) a combination of beneficial ownership
 of, and control or direction over, directly or indirectly of more than 9.9% of the Corporation's
 issued and outstanding Voting Shares immediately after giving effect to such conversion
 (the "**Non-Voting Share Ownership Limitation** "). The Corporation shall
 not effect any exercise of any convertible securities of the Corporation, including the
 Non-Voting Shares (convertible securities of the Corporation together with the Non-Voting
 Shares, the "**Convertible Securities**") held by the holder thereof,
 and such holder shall not have the right to exercise any portion of its Convertible Securities
 so held, to the extent that after giving effect to such issuance after exercise as set
 forth on the applicable notice of exercise or subscription form, as the case may be,
 the holder would beneficially own in excess of the Non-Voting Share Ownership Limitation.
 For purposes of the foregoing sentence, the number of Voting Shares beneficially owned
 by the holder shall include the number of Voting Shares issuable upon exercise of the
 Convertible Securities with respect to which such determination is being made but shall
 exclude the number of Voting Shares which would be issuable upon exercise of the remaining,
 non-exercised portion of the Non-Voting Shares. To the extent that the Non-Voting Share
 Ownership Limitation applies, the determination of whether the Convertible Securities
 are exercisable (in relation to other securities owned by the holder) and of which portion
 of the Convertible Securities are exercisable shall be in the discretion of the Corporation,
 and the submission of a notice of exercise, shall be deemed to be the holder's
 determination of whether the Convertible Securities are exercisable (in relation to other
 securities owned by the holder) and of which portion of the Convertible Securities are
 exercisable, in each case subject to the Corporation Ownership Limitation. In determining
 the number of outstanding Voting Shares, the Corporation may rely on the number of outstanding
 Voting Shares as reflected in (A) the Corporation's most recent periodic or annual
 report filed with the Canadian securities commissions, (B) a more recent public announcement
 by the Corporation or (C) a more recent written notice by the Corporation or the transfer
 agent setting forth the number of Voting Shares outstanding. Upon the written or oral
 request of the holder, the Corporation shall within one Business Day confirm orally and
 in writing to the holder the number of Voting Shares then outstanding. In any case, the
 number of outstanding Voting Shares shall be determined after giving effect to the conversion
 or exercise of securities of the Corporation, including the Convertible Securities, by
 the holder since the date as of which such number of outstanding Voting Shares was reported.
 The "**Ownership Limitation**" shall be 9.99% of the number of shares
 of the Voting Shares outstanding immediately after giving effect to the issuance of Voting
 Shares issuable upon exercise of the Convertible Securities; provided however that: (A)
 the holder may, in its sole discretion, subject to (B), elect that this subsection cease
 to apply to the holder
by sending written notice of such election to the Corporation, and (B) the holder has filed, and any stock exchange on which the
Voting Shares are then listed has cleared for acceptance, personal information forms in the form prescribed by such exchange,
in respect of the Corporation and any third party that is in any manner connected with the holder and which the exchange requires
a personal information form to be submitted.

&nbsp;&nbsp;&nbsp;&nbsp;(iii) **Mechanics of Conversion.** Before any holder of Non-Voting Shares shall be entitled to convert
 Non-Voting Shares into Voting Shares, the holder thereof shall surrender the certificate
 or certificates therefor, duly endorsed, at the office of the Corporation, and shall
 give written notice to the Corporation at its principal corporate office, of the election
 to convert the same and shall state therein the name or names in which the certificate
 or certificates for Voting Shares are to be issued (each, a "**Non-Voting Share Conversion Notice** "). The Corporation shall (or shall cause its transfer agent
 to), within two (2) Business Days thereafter, issue and deliver at such office to such
 holder, or to the nominee or nominees of such holder, a certificate or certificates for
 the number of Voting Shares to which such holder shall be entitled as aforesaid. Such
 conversion shall be deemed to have been made immediately prior to the close of business
 on the date of such surrender of the Non-Voting Shares to be converted, and the person
 or persons entitled to receive the Voting Shares issuable upon such conversion shall
 be treated for all purposes as the record holder or holders of such Voting Shares as
 of such date.

&nbsp;&nbsp;&nbsp;&nbsp;(iv) All
 Non-Voting Shares which shall have been surrendered for conversion in accordance with
 the Articles shall no longer be deemed to be outstanding and all rights with respect
 to such shares shall immediately cease and terminate at the time of conversion, except
 only the right of the holders thereof to receive Voting Shares in exchange therefor and
 to receive payment in lieu of any fraction of a share otherwise issuable upon such conversion.

**Repurchases of Outstanding Voting Shares**

Under the Corporation's notice of articles, but subject to the provisions of the BCBCA, the Corporation may, if authorized by the Board, purchase any issued Voting Shares in circumstances at a price and on terms determined by the directors. However, the Corporation may not purchase Voting Shares at any time when, immediately following such purchase, it would be unable to pay its debts as they fall due in the ordinary course of business or making the payment or providing the consideration would render the Corporation insolvent. Subject to the BCBCA and applicable securities laws, including issuer bid rules under National Instrument 62-104 – *Take-over Bids and Issuer Bids*, Corporation may, from time to time, with the agreement of a holder, purchase all or part of the holder's Voting Shares whether or not Corporation has made a similar offer to all or any other of the holders of Voting Shares.

**Adjustments for Distributions**

In the event the Corporation declares a distribution to holders of the Voting Shares payable in securities of other persons, evidences of indebtedness issued by the Corporation or other persons, assets (excluding cash dividends), or options or rights, then, in each such case, the holders of the Non-Voting Shares shall be entitled to a proportionate share of any such distribution as though they were the holders of the number of the Voting Shares into which their Non-Voting Shares are convertible as of the record date fixed for determining the holders of the Voting Shares entitled to receive such distribution.

**Recapitalizations and Stock Splits**

*<u>Voting Shares</u>*

Subject to the BCBCA, the Corporation may by special resolution:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) create
 one or more classes or series of shares or, if none of the shares of a class or series
 of shares are allotted or issued, eliminate that class or series of shares;

&nbsp;&nbsp;&nbsp;&nbsp;(ii) increase,
 reduce or eliminate the maximum number of shares that the Corporation is authorized to
 issue out of any class or series of shares or establish a maximum number of shares that
 the Corporation is authorized to issue out of any class or series of shares for which
 no maximum is established;

&nbsp;&nbsp;&nbsp;&nbsp;(iii) subdivide
 or consolidate all or any of its unissued, or fully paid issued, shares;

&nbsp;&nbsp;&nbsp;&nbsp;(iv) if
 the Corporation is authorized to issue shares of a class of shares with par value:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• decrease
 the par value of those shares; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• if
 none of the shares of that class of shares are allotted or issued, increase the par value
 of those shares;

&nbsp;&nbsp;&nbsp;&nbsp;(v) change
 all or any of its unissued, or fully paid issued, shares with par value into shares without
 par value or any of its unissued shares without par value into shares with par value;

&nbsp;&nbsp;&nbsp;&nbsp;(vi) alter
 the identifying name of any of its shares; or

&nbsp;&nbsp;&nbsp;&nbsp;(vii) otherwise
 alter its shares or authorized share structure when required or permitted to do so by
 the BCBCA.

*<u>Non-Voting Shares</u>*

If at any time or from time-to-time, the Corporation shall (i) effect a recapitalization of the Voting Shares; (ii) issue Voting Shares as a dividend or other distribution on outstanding Voting Shares; (iii) subdivide the outstanding Voting Shares into a greater number of Voting Shares; (iv) consolidate the outstanding Voting Shares into a smaller number of Voting Shares; or (v) effect any similar transaction or action (each, a "**Corporation Recapitalization**"), provision shall be made so that the holders of Non-Voting Shares shall thereafter be entitled to receive, upon conversion of Non-Voting Shares, the number of Voting Shares or other securities or property of the Corporation or otherwise, to which a holder of Voting Shares deliverable upon conversion would have been entitled on such Corporation Recapitalization. In any such case, appropriate adjustment shall be made in the application of the provisions of this with respect to the rights of the holders of Non-Voting Shares after the Corporation Recapitalization to the end that the provisions of the Articles shall be applicable after that event as nearly equivalent as may be practicable.

**No Fractional Shares and Certificates as to Adjustment**

No fractional Voting Shares shall be issued upon the conversion of any Non-Voting Shares and the number of Voting Shares to be issued shall be rounded up to the nearest whole Common Share. Whether or not fractional Voting Shares are issuable upon such conversion shall be determined on the basis of the total number of shares of Non-Voting Shares the holder is at the time converting into Voting Shares and the number of Voting Shares issuable upon such aggregate conversion.

**Disputes – Conversion Ratios**

*<u>Non-Voting Shares</u>*

Any holder of Non-Voting Shares that beneficially owns more than 5% of the issued and outstanding Non-Voting Shares may submit a written dispute as to the determination of the conversion ratio, the arithmetic calculation of the conversion ratio of Non-Voting Shares to Voting Shares, or the Corporation Ownership Limitation by the Corporation, to the Board with the basis for the disputed determinations or arithmetic calculations. The Corporation shall respond to the holder within two business days of receipt, or deemed receipt, of the dispute notice with a written calculation of the Corporation Ownership Limitation.

**Other**

*<u>Voting Shares</u>*

There are no sinking or purchase fund provisions, no provisions permitting or restricting the issuance of additional securities or any other material restrictions, and there are no provisions which are capable of requiring a security holder to contribute additional capital.

*<u>Non-Voting Shares</u>*

Any Non-Voting Share converted shall be retired and cancelled and may not be reissued as shares of such series or any other class or series, and the Corporation may thereafter take such appropriate action (without the need for shareholder action) as may be necessary to reduce the authorized number of Non-Voting Shares accordingly.

**Options**

As at the AIF Date, the Corporation has an aggregate of 1,018,033 unexercised Options issued and outstanding under the Omnibus Plan. The following table describes the material terms of the issued and outstanding Options:

---

| | | | |
|:---|:---|:---|:---|
| **Date Issued** | **Number of Underlying <br> Voting Shares** | **Exercise Price** | **Expiry Date** |
| May 7, 2021<sup>(1)</sup> | 518033 | US$0.50 | May 7, 2026 |
| March 3, 2022<sup>(2)</sup> | 150000 | US$4.00 | March 3, 2027 |
| April 1, 2022<sup>(3)</sup> | 20000 | US$4.00 | April 1, 2027 |
| July 12, 2022<sup>(4)</sup> | 170000 | US$4.00 | July 12, 2027 |
| November 19, 2025<sup>(5)</sup> | 160000 | US$4.00 | November 19, 2028 |

---

**<u>Notes</u>:**

1. On
 May 7, 2021, various consultants and officers of Bitzero Blockchain were issued 5,180,333
 Bitzero Blockchain Options for services rendered to Bitzero Blockchain. The Bitzero Blockchain
 Options were exchanged for 518,033 Options pursuant to the Reverse Takeover Transaction.

2. On
 March 3, 2022, a consultant was issued 1,500,000 Bitzero Blockchain Options for consulting
 services rendered to Bitzero Blockchain. The Bitzero Blockchain Options were exchanged
 for 150,000 Options pursuant to the Reverse Takeover Transaction.

3. On
 April 1, 2022, a consultant was issued 200,000 Bitzero Blockchain Options for consulting
 services rendered to Bitzero Blockchain. The Bitzero Blockchain Options were exchanged
 for 20,000 Options pursuant to the Reverse Takeover Transaction.

4. On
 July 12, 2022, a consultant was issued 1,700,000 Bitzero Blockchain Options for consulting
 services rendered to Bitzero Blockchain. The Bitzero Blockchain Options were exchanged
 for 170,000 Options pursuant to the Reverse Takeover Transaction.

5. On
 November 19, 2025, 1,600,000 Bitzero Blockchain Options were issued to certain incoming
 directors of the Board. These were exchanged for 160,000 Options pursuant to the Reverse
 Takeover Transaction.

**RSUs**

As at the AIF Date, the Corporation has nil RSUs issued and outstanding under the Omnibus Plan.

**Warrants**

The Corporation has warrants issued and outstanding. As at the AIF Date, the Corporation has an aggregate of 2,947,230 unexercised warrants issued and outstanding. The following table describes the material terms of the issued and outstanding Warrants:

---

| | | |
|:---|:---|:---|
| **Date Issued** | **Exercise Price** | **Expiry Date** |
| October 10, 2025268750<sup>(1)</sup> | US$4.00 | October 10, 2027 |
| October 14, 2025375000<sup>(2)</sup> | US$4.00 | October 14, 2027 |
| November 19, 20252303480<sup>(3)</sup> | US$0.10 | November 19, 2030 |

---

**<u>Notes</u>:**

(1) Warrants
 issued in connection with the Bitzero Convertible Note Financing are exercisable for
 the purchase of one Voting Share at a price of US$5.00 per Voting Share.

(2) Warrants
 issued in connection with the Bitzero 2025 Financing have a 2-year expiry and are exercisable
 for the purchase of one Voting share.

(3) Warrants
 issued pursuant to the JGB Loan Agreement that are exercisable for the purchase of one
 Voting Share.

**Convertible Notes and Debt Securities**

As at the AIF Date, the Corporation has an aggregate of 3,330,998 Voting Shares underlying convertible notes and debt securities. The following table describes the material terms of the issued and outstanding convertible notes and debt securities:

---

| | | |
|:---|:---|:---|
| **Date Issued** | **Conversion Price** | **Maturity Date** |
| October 10, 202558925<sup>(1)</sup> | US$4.00 | October 10, 2035 |
| October 20, 20252561250<sup>(2)</sup> | US$4.00 | October 20, 2035 |
| October 20, 2025713498<sup>(3)</sup> | US$4.00 | October 20, 2035 |

---

**<u>Notes</u>:**

(1) The
 Bitzero Convertible Notes carry a principal amount of US$235,695 and may be converted
 into Voting Shares at a conversion price of US$4.00 per Voting Share at any time prior
 to the maturity date.

(2) The
 JGB Second Draw and the JGB First Draw Conversion Amount carry a principal amount of
 $10,245,000 and may be converted into Voting Shares a conversion price of US$4.00 per
 Voting Share for a period of 5 years.

(3) Pursuant
 to the FAR LOI, the FAR Note is convertible into 713,498 Voting Shares at a price of
 US$4.00 per Voting Share.

**MARKET FOR SECURITIES**

**Trading Price and Volume**

On November 24, 2025, the Voting Shares were listed on the CSE under the symbol "BITZ.U".

The following tables sets forth information relating to the trading of the Voting Shares on the CSE for the months indicated:

---

| | | | |
|:---|:---|:---|:---|
| **Month** | **High ($)** | **Low ($)** | **Trading Volume** |
| November | 4.12 | 2.31 | 389624 |
| December | 3.00 | 2.25 | 461628 |
| January | 3.99 | 2.20 | 1479313 |
| February | 3.50 | 3.17 | 67462 |

---

**Prior Sales**

During the financial year ended September 30, 2025, and up to the AIF Date, the Corporation issued the following securities, which are convertible into Voting Shares but are not listed or quoted on a marketplace:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Date Issued** | &nbsp;&nbsp;**Issue Price per Security** | &nbsp;&nbsp;**Consideration** |
| &nbsp;&nbsp;January 31, 2025, to<br> February 10, 2025<br> &nbsp;&nbsp;280,500 RSUs <sup>(1)</sup> | &nbsp;&nbsp;US$2.00 | &nbsp;&nbsp;Consulting or Employment Services |
| &nbsp;&nbsp;June 27, 2025 &nbsp;&nbsp;1,955,986 JGB First Warrants<sup>(2)</sup> | &nbsp;&nbsp;N/A | &nbsp;&nbsp;JGB Loan Agreement |
| &nbsp;&nbsp;June 29, 2025 &nbsp;&nbsp;2,850,000 RSUs<sup>(3)</sup> | &nbsp;&nbsp;US$2.00 | &nbsp;&nbsp;Consulting or Employment Services |
| &nbsp;&nbsp;September 9, 2025 &nbsp;&nbsp;1,133,000 RSUs <sup>(4)</sup> | &nbsp;&nbsp;US$4.00 | &nbsp;&nbsp;Consulting Services |
| &nbsp;&nbsp;October 6, 2025 to<br> October 10, 2025<br> &nbsp;&nbsp;268,750 warrants issued in connection with Bitzero Convertible Notes<sup>(5)</sup> | &nbsp;&nbsp;US$5.00 | &nbsp;&nbsp;Cash |
| &nbsp;&nbsp;October 6, 2025 to<br> October 10, 2025<br> &nbsp;&nbsp;$1,075,000 convertible debt, compromising the Bitzero Convertible Notes<sup>(5)</sup> | &nbsp;&nbsp;US$0.40 | &nbsp;&nbsp;Cash |
| &nbsp;&nbsp;October 14, 2025 &nbsp;&nbsp;100,000 RSUs<sup>(6)</sup> | &nbsp;&nbsp;US$4.00 | &nbsp;&nbsp;Consulting Services |
| &nbsp;&nbsp;October 14, 2025 &nbsp;&nbsp;375,000 warrants <sup>(7)</sup> | &nbsp;&nbsp;US$4.00 | &nbsp;&nbsp;Cash |
| &nbsp;&nbsp;October 20, 2025 &nbsp;&nbsp;597,171 JGB Second Warrants<sup>(8)</sup> | &nbsp;&nbsp;N/A | &nbsp;&nbsp;JGB Second Draw Agreement |
| &nbsp;&nbsp;October 20, 2025 &nbsp;&nbsp;US$10,245,000 convertible debt, comprising the JGB Second Draw and the JGB First Draw Conversion Amount<sup>(9)</sup> | &nbsp;&nbsp;US$4.00 | &nbsp;&nbsp;Cash |
| &nbsp;&nbsp;November 19, 2025 &nbsp;&nbsp;160,000 Options <sup>(10)</sup> | &nbsp;&nbsp;US$4.00 | &nbsp;&nbsp;Consulting Services |

---

**<u>Notes</u>:**

&nbsp;&nbsp;&nbsp;&nbsp;(1) Bitzero
 Blockchain issued 28,050,000 Bitzero RSUs to various consultants and employees. This
 is equivalent to 280,500 RSUs in the capital of the Corporation **.** 

&nbsp;&nbsp;&nbsp;&nbsp;(2) Pursuant
 to the JGB Loan Agreement, Bitzero Blockchain issued to the lenders JGB First Warrants
 entitling the lenders to collectively purchase 4% of the issued and outstanding Bitzero
 Shares (on a fully diluted basis), being 19,559,862 warrants. Each warrant entitled the
 holder thereof to purchase one Bitzero Share at an exercise price of US$0.01 per Bitzero
 Share. This is equivalent to 1,955,986 warrants at an exercise price of US$0.10 for one
 Voting Share each.

&nbsp;&nbsp;&nbsp;&nbsp;(3) Bitzero
 Blockchain issued 28,500,000 RSUs that vested immediately and converted to Bitzero Shares
 on July 31, 2025. This is equivalent to 2,850,000 RSUs exercisable into one Voting Share
 each.

&nbsp;&nbsp;&nbsp;&nbsp;(4) Bitzero
 Blockchain issued 11,330,000 Bitzero RSUs to consultants. This is equivalent to 1,133,000
 RSUs in the capital of the Corporation. All of the RSUs converted into Voting Shares
 at the close of the Reverse Takeover Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;(5) Pursuant
 to the Bitzero Convertible Note Financing, Bitzero Blockchain issued the Bitzero Convertible
 Notes accruing at a 15% interest rate compounded annually and mature 36 months from the
 issue date with a total principal amount of US$1,075,000. The Bitzero Convertible Notes
 hold a conversion price of US$0.40 per share with a 3-year maturity for a total of 2,687,500
 Bitzero Shares. This is equivalent to 268,750 Voting Shares with a conversion price of
 US$4.00 per Voting Share. In connection with the Bitzero Convertible Note Financing,
 a total of 2,687,500 warrants were issued to subscribers, exercisable at a price of $0.50
 per Bitzero Share into 2,687,500 Bitzero Shares for a period of 2-years. This is equivalent
 268,750 Voting Shares at an exercise price of $5.00 per Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;(6) Bitzero
 Blockchain issued 1,000,000 RSUs to a consultant. This is equivalent to 100,000 RSUs
 in the capital of the Corporation after the Reverse Takeover Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;(7) An
 arm's length party invested US$1,500,000 in Bitzero Blockchain and as consideration
 received 3,750,000 Bitzero Shares and 3,750,000 warrants to purchase Bitzero Shares,
 whereby each warrant entitled the holder to purchase one Bitzero Share at an exercise
 price of US$0.40 per Bitzero Share. This is equivalent to 375,000 Voting Shares and warrants
 to purchase 375,000 Voting Shares at an exercise price of US$4.00 per Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;(8) Pursuant
 to the JGB Second Draw Agreement, Bitzero Blockchain issued to the lenders JGB Second
 Warrants entitling the lenders to collectively purchase 1% of the issued and outstanding
 Shares (on a fully diluted basis as of the closing date of the Reverse Takeover Transaction),
 being 5,971,710 JGB Second Warrants. Each JGB Second Warrant entitled the holder thereof
 to purchase one Bitzero Share at an exercise price of US$0.01 per Bitzero Share. This
 is equivalent to 597,171 warrants, each exercisable into one Voting Share at an exercise
 price of US$0.10 per Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;(9) The
 JGB Second Draw Agreement provides for voluntary conversion rights, allowing each lender,
 at its option, to convert the outstanding principal and accrued interest of the JGB Second
 Draw and the JGB First Draw Conversion Amount, comprising an aggregate of US$10,245,000
 in principal amount into Bitzero Shares at a conversion price US$0.40 per share, subject
 to adjustment and beneficial ownership limitations. Following the completion of the Reverse
 Takeover Transaction, the JGB Second Draw and the JGB First Draw Conversion Amount are
 convertible into Voting Shares at a price of US$4.00 per Voting Share.

&nbsp;&nbsp;&nbsp;&nbsp;(10) On
 November 19, 2025, 1,600,000 Bitzero Options were issued to certain incoming directors
 of the Board. These Bitzero Options were exchanged for 160,000 Options exercisable at
 US$4.00 and expire on November 19, 2028. 100,000 Options were issued to Gilles Seguin
 and 60,000 Options were issued to Claudia Di Iorio.

**SECURITIES AUTHORIZED FOR ISSUANCE UNDER EQUITY COMPENSATION PLANS**

For the Corporation's most recently completed financial year ended September 30, 2025, and prior to completion of the Reverse Takeover Transaction, there were no Options issued and outstanding pursuant to the Previous Stock Option Plan or otherwise.

**ESCROWED SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL RESTRICTIONS ON TRANSFER**

There were no securities of the Corporation subject to a contractual restriction on transfer as of the AIF Date. To the knowledge of the Corporation, the following table sets out the securities that are subject to escrow restrictions as of the date of the AIF:

---

| | | | |
|:---|:---|:---|:---|
| **Name and Municipality of <br> Residence of Securityholder** | <br> **Designation of Class of Security** | <br> **No. of Securities Held in Escrow** | <br> **Percentage of Class** |
| Mohammed Bakhashwain<br> *Jeddah, Saudi Arabia* | Voting Shares | 3539445 | 7.02% |
| K&P Capital Corp.<sup>(1)</sup><br> *Ontario, Canada* | Voting Shares | 45000 | 0.09% |
| Giovanni Gaudenzi<br> *London, United Kingdom* | Voting Shares | 1260000 | 2.50% |
| Exakraft AS<sup>(2)</sup><br> *Oslo, Norway* | Voting Shares | 540000 | 1.07% |
| Josie Anne Vilchez Chirichigno<sup>(3)</sup><br> *Oslo, Norway* | Voting Shares | 225000 | 0.45% |
| Claudia Di Iorio<br> *Québec, Canada* | Options | 54000 | 0.11% |
| Gilles Seguin<br> *Quebec, Canada* | Options | 90000 | 0.18% |
| Kazco Holdings Ltd.<sup>(4)</sup><br> *Quebec, Canada*  | Voting Shares | 90000 | 0.18% |
| Total Voting Shares Subject to Escrow | Total Voting Shares Subject to Escrow | 5699445 | 0.11% |
| Total Options Subject to Escrow | Total Options Subject to Escrow | 144000 | 14% |

---

**<u>Notes</u>:**

(1) The
 Voting shares held by K&P Capital Corp. are beneficially owned and controlled by
 Igor Kostioutchenko.

(2) The
 Voting Shares held by Exakraft AS are beneficially owned and controlled by Frank Aadnevik.

(3) The
 Voting Shares held by Josie Anne Vilchez are beneficially owned and controlled by Frank
 Aadnevik.

(4) The
 Voting Shares held by Kazco Holdings Ltd. are beneficially owned and controlled by Gilles
 Seguin.

The Corporation is classified as an "emerging issuer" under NP 46-201. An "emerging issuer" is an issuer that after its initial public offering is not an "exempt issuer" or an "established issuer" (as such terms are defined in NP 46-201). Based on the Corporation being an "emerging issuer" (as defined in NP 46-201), subject to the exceptions set out in NP 46-201, all securities held by principals (as defined in NP 46-201) of the Corporation are to be held in escrow (the "**Escrowed Securities**"). All such Escrowed Securities are subject to a 36-month escrow period pursuant to an escrow agreement (the "**Escrow Agreement**"). Ten percent of the Escrowed Securities of each principal that is subject to the Escrow Agreement were exempt from escrow effective on the receipt of notice confirming the listing of Voting Shares on the CSE. Thereafter, the balance of such Escrowed Securities will be released over 36 months in six-month intervals in equal tranches of 15% from the date of the listing of the Voting Shares on the CSE. The Escrowed Securities will be released as follows:

---

| | |
|:---|:---|
| On the Listing Date | 1/10 of the Escrowed Securities |
| 6 months after the Listing Date | 1/6 of the remaining Escrowed Securities |
| 12 months after the Listing Date | 1/5 of the remaining Escrowed Securities |
| 18 months after the Listing Date | 1/4 of the remaining Escrowed Securities |
| 24 months after the Listing Date | 1/3 of the remaining Escrowed Securities |
| 30 months after the Listing Date | 1/2 of the remaining Escrowed Securities |
| 36 months after the Listing Date | The remaining Escrowed Securities |

---

**DIRECTORS AND OFFICERS**

**Name, Occupation and Security Holding**

The following table sets out certain information with respect to the directors and officers of the Corporation. Each director of the Corporation was elected to hold office until the next annual meeting of the shareholders of the Corporation or until their successor is duly elected or appointed:

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name, Province/State and Country of Residence** | &nbsp;&nbsp;**Position** | &nbsp;&nbsp;**Principal Occupation for Past Five Years** | &nbsp;&nbsp;**Number and Percentage of Voting Shares Beneficially Owned or Controlled<sup>(1)</sup>** | &nbsp;&nbsp;**Number and Percentage of Options** |
| &nbsp;&nbsp;Mohammed Bakhashwain <sup>(5)</sup> *Jeddah, Saudi Arabia* | &nbsp;&nbsp;CEO,<br> Chief Strategy Officer & Director | &nbsp;&nbsp;*See biography in the Listing Statement.* | &nbsp;&nbsp;3,932,717 Voting Shares<br> 7.77% | &nbsp;&nbsp;Nil |
| &nbsp;&nbsp;Igor Kostioutchenko<br> *Ontario, Canada* | &nbsp;&nbsp;CFO<br>| &nbsp;&nbsp;*See biography in the Listing Statement* | &nbsp;&nbsp;50,000 Voting Shares<br> 0.10% | &nbsp;&nbsp;Nil<br>|
| &nbsp;&nbsp;Giovanni Gaudenzi<sup>(2)</sup> *London, United Kingdom* | &nbsp;&nbsp;Head of Finance & Director | &nbsp;&nbsp;*See biography in the Listing Statement* | &nbsp;&nbsp;1,400,000 Voting Shares<br> 2.77% | &nbsp;&nbsp;Nil<br>|
| &nbsp;&nbsp;Claudia Di Iorio<sup>(2)(5) (3)</sup><br> *Quebec, Canada* | &nbsp;&nbsp;Director<br>| &nbsp;&nbsp;*See biography in the Listing Statement* | &nbsp;&nbsp;Nil | &nbsp;&nbsp;60,000 Options to<br> purchase 60,000 Voting Shares<br> 5.89% |
| &nbsp;&nbsp;Gilles Seguin <sup>(2)(5)(4)</sup><br> *Quebec, Canada* | &nbsp;&nbsp;Corporate Secretary & Director<br>| &nbsp;&nbsp;*See biography in the Listing Statement*<br>| &nbsp;&nbsp;100,000 Voting Shares<sup>(7)</sup><br> 0.20% | &nbsp;&nbsp;100,000 Options to<br> purchase 100,000<br> Voting Shares 9.82% |

---

**<u>Notes:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(1) Voting
 securities of the Corporation beneficially owned, or controlled or directed, directly
 or indirectly as of the AIF Date. As of the AIF date, there are 50,621,091 Voting Shares
 issued and outstanding. Information regarding voting securities held does not include
 voting securities issuable upon the exercise of Options (as defined herein), warrants
 or other convertible securities of the Corporation. Information in the table above is
 derived from the Corporation's review of insider reports filed with SEDI and from
 information furnished by the respective individual.

(2) Member
 of the Audit Committee.

(3) Chair
 of the Audit Committee.

(4) Chair
 of the Board.

(5) Member
 of the Compensation and Governance Committee.

(6) Igor
 Kostioutchenko holds his Voting Shares through K&P Capital Corp.

(7) Gilles
 Seguin holds his Voting Shares through Kazco Holdings Ltd.

As at the AIF Date, based on the Corporation's review of insider reports filed with SEDI and from information furnished by each director and officer of the Corporation, the directors and officers of the Corporation, as a group, beneficially owned, directly or indirectly, and exercised control or direction over approximately 5,482,717 Voting Shares, representing approximately 11% of the issued and outstanding Voting Shares as at the AIF Date.

A biography of directors and certain officers of the Corporation is contained in the Listing Statement, which is incorporated by reference herein, and available under the Corporation's profile on SEDAR+ at www.sedarplus.ca.

**Cease Trade Orders, Bankruptcies, Penalties or Sanctions**

*Cease Trade Orders*

Other than as set out below, no director or executive officer of the Corporation is, as at the AIF Date, or has been within 10 years before the AIF Date, a director, CEO, or CFO of any company (including the Corporation), that:

(a) was
 the subject of a cease trade or similar order or an order that denied the relevant company
 access to any exemption under securities legislation, for a period of more than 30 consecutive
 days that was issued while the director or executive officer was acting in the capacity
 as director, CEO or CFO; or

&nbsp;&nbsp;&nbsp;&nbsp;(b) was
 subject to a cease trade or similar order or an order that denied the relevant company
 access to any exemption under securities legislation, for a period of more than 30 consecutive
 days that was issued after the director or executive officer ceased to be a director,
 CEO or CFO and which resulted from an event that occurred while that Person was acting
 in the capacity as director, CEO or CFO.

Gilles Seguin was a director of Intema Solutions Inc. from 2011 to April 2018. On March 1, 2014, a failure-to-file cease trade order was issued due to a failure to file audited financial statements for the financial year ended December 31, 2013, and the corresponding management discussion & analysis. The cease trade order was subsequently revoked on July 16, 2020.

*Bankruptcies*

No director or executive officer of the Corporation, nor a shareholder holding a sufficient number of securities of the Corporation to affect materially the control of the Corporation:

(a) is,
 as at the AIF Date, or has been within the 10 years before the AIF Date, a director or
 executive officer of any company (including the Corporation) that, while that Person
 was acting in that capacity, or within a year of that Person ceasing to act in that capacity,
 became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency
 or was subject to or instituted any proceedings, arrangement or compromise with creditors
 or had a receiver, receiver manager or trustee appointed to hold its assets; or

(b) has,
 within the 10 years before the AIF Date, become bankrupt, made a proposal under any legislation
 relating to bankruptcy or insolvency, or become subject to or instituted any proceedings,
 arrangement or compromise with creditors, or had a receiver, receiver manager or trustee
 appointed to hold the assets of the director, executive officer or shareholder.

*Penalties or Sanctions*

No director or executive officer of the Corporation, nor a shareholder of the Corporation holding a sufficient number of securities of the Corporation to affect materially the control of the Corporation, has been subject to:

(a) any
 penalties or sanctions imposed by a court relating to securities legislation or by a
 securities regulatory authority or has entered into a settlement agreement with a securities
 regulatory authority; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any
 other penalties or sanctions imposed by a court or regulatory body that would likely
 be considered important to a reasonable investor in making an investment decision.

**Conflicts of Interest**

The Corporation's directors and officers may serve as directors or officers, or may be associated with, other reporting companies, or have significant shareholdings in other public companies. To the extent that such other companies may participate in business or asset acquisitions, dispositions, or ventures in which the Corporation may participate, the directors and officers of the Corporation may have a conflict of interest in negotiating and concluding terms respecting the transaction. The Corporation's directors and officers may, from time to time, also be engaged in certain outside business interests that do not materially or adversely interfere with their duties to the Corporation. In some cases, the Corporation's directors and officers may have fiduciary obligations associated with such outside business interests, that could interfere with their ability to devote time to the Business and affairs and that could adversely affect the Corporation's operations. Further, such outside business interests could require significant time and attention of the Corporation's directors and officers.

In addition, the Corporation may also become involved in other transactions which conflict with the interests of the Corporation's directors and officers who, may from time to time deal with persons, firms, institutions or companies with which the Corporation may be dealing, or which may be seeking investments similar to those desired by it. The interests of these persons could conflict with those of the Corporation. In addition, from time to time, these persons may be competing with the Corporation for available investment opportunities.

Conflicts of interest, if any, will be subject to the procedures and remedies provided under applicable Laws. In particular, in the event that such a conflict of interest arises at a meeting of the Corporation's directors, a director who has such a conflict will abstain from voting for or against the approval of such participation or such terms. In accordance with applicable Laws, the directors of the Corporation are required to act honestly, in good faith and in the best interests of the Corporation.

**PRINCIPAL SECURITYHOLDERS**

To the knowledge of the directors and officers of the Corporation, no Person beneficially owns, directly or indirectly, or exercises control or direction over, voting securities carrying more than 10% of the voting rights attached to any class of voting securities of the Corporation.

Although, Phoenix, may become a principal securityholder (i.e., hold 10% or more of the Voting Shares) if it files and clears a personal information form with the CSE. Phoenix holds 4,925,538 Voting Shares (representing 9.99% of the issued and outstanding Voting Shares) and 2,312,243 Non-Voting Shares, which are convertible on a one-for-one basis into Voting Shares, subject to certain restrictions, such that, if the entirety of the Non-Voting Shares held by Phoenix were converted into Voting Shares, Phoenix would hold an aggregate of 7,237,781 Voting Shares (representing 13.9% of the issued and outstanding Voting Shares). See "*Description of Capital Structure*" for a description of the terms and conditions applicable to the Non-Voting Shares.

**Voting Trusts**

To the knowledge of the Corporation, no voting trust exists within the Corporation such that more than 10% of any class of voting securities of the Corporation are held, or are to be held, subject to any voting trust or other similar agreement.

**Associates and Affiliates**

To the knowledge of the Corporation none of the principal shareholders is an Associate or Affiliate of any other principal shareholder.

**PROMOTERS**

Except as disclosed below, no Person has, during the two most recently completed financial years preceding the date hereof, been a promoter of the Corporation.

Mohammed Bakhashwain, the CEO, director & President of the Corporation and Bitzero Blockchain, could be considered to be a Promoter of the Corporation, within the meaning of Applicable Securities Laws, in that he took the initiative in founding and organizing the current business of the Corporation. As at the AIF Date, Mr. Bakhashwain continues to be responsible for, among other things, identifying new business opportunities for the Corporation.

Giovanni Gaudenzi, the Head of Finance of the Corporation could be considered to be a Promoter of the Corporation, within the meaning of Applicable Securities Laws, in that he took the initiative in founding and organizing the current business of the Corporation. As at the AIF Date, Mr. Gaudenzi continues to be responsible for, among other things, identifying new business opportunities for the Corporation.

As at the AIF Date, Mohammed Bakhashwain beneficially owns, controls, and directs an aggregate of 3,932,717 Voting Shares, being 7.90% of Voting Shares on an undiluted basis, and Giovanni Gaudenzi beneficially owns, controls, and directs an aggregate of 1,400,000 Voting Shares, being 2.81% on an undiluted basis.

Effective August 11, 2022, Bitzero Blockchain and Giovanni Gaudenzi entered into an executive employment agreement with Giovanni Gaudenzi, pursuant to which the parties agreed to the terms and conditions of Mr. Gaudenzi's continued employment as the Head of Finance of the Corporation. The Corporation adopted the employment agreement and pays Mr. Gaudenzi an annual salary of US$360,000 less applicable statutory deductions, exclusive of bonuses, benefits, and other compensation.

Effective January 1, 2026, Bitzero Blockchain and Mohammed Bakhashwain entered into the Bakhashwain Employment Agreement, pursuant to which the parties agreed to the terms and conditions of Mr. Bakhashwain's continued employment as the President and Chief Strategy Officer of the Corporation. The Corporation adopted the Bakhashwain Employment Agreement and pays Mr. Bakhashwain an annual salary of US$750,000 000 less applicable statutory deductions, exclusive of bonuses, benefits, and other compensation.

**LEGAL PROCEEDINGS AND REGULATORY ACTIONS**

**Legal Proceedings**

There are no legal proceedings where the amount involved, exclusive of interest and costs, exceeded ten percent of the current assets of the Corporation nor are there any material regulatory actions to which the Corporation is or was a party to, or to which any of its respective property is or was the subject of, during the financial year ended September 30, 2025 and to the knowledge of the Corporation, no such proceedings are contemplated, other than as disclosed below. From time to time, however, the Corporation may become subject to various claims and legal actions arising in the ordinary course of the Business.

**Chamandy Litigation**

Gregory Harley Chamandy served as CEO of Bitzero Blockchain pursuant to a consulting agreement signed between his wholly-owned company and Bitzero Blockchain.

Bitzero Blockchain initiated a civil claim against Gregory Harley Chamandy, Life Partners Capital Inc. and Life Partners Capital (Cayman) Inc. at the Superior Court of Quebec, on March 7, 2022. Bitzero Blockchain seeks damages to compensate it for the negative financial consequences of Chamandy's actions during his tenure as CEO of Bitzero Blockchain.

On March 23, 2022, Chamandy and Life Partners (Cayman) Inc. commenced a counter civil claim against Bitzero Blockchain, Akbar Shamji, and Mohammed Salah Bakhashwain (the "**Chamandy Litigation**"). Chamandy, claims that Bitzero Blockchain, under the direction of Akbar Shamji and Mohamed Salah Bakhashwain, terminated him in a manner that was oppressive and unfairly prejudicial. Chamandy seeks various orders pursuant to section 227(3) of the BCBCA, general and special, aggravated, and punitive damages for defamation. This litigation is ongoing and multiple depositions have taken place. At this stage, no trial date will be set for the foreseeable future.

**Shawn Riley Litigation**

On February 7, 2024, Shawn Riley filed a lawsuit in the State of North Dakota in the district court county of Cass – Eastern Central judicial district against ND II, LLC and Bitzero Blockchain. Shawn Riley claims the amount of US$1,258,567 plus interest, costs, disbursements and attorney's fees for breach of an unsigned employment contract allegedly entered into between Mr. Riley and ND II, LLC. This litigation is ongoing.

**ACCT, Inc. and Bitzero ND I, LLC**

On May 14, 2025, ACCT, Inc., a Minnesota Limited Liability Company commenced a lawsuit against Bitzero Blockchain related to a construction lien in North Dakota. On November 17, 2025, the parties settled the lawsuit and signed a mutual release.

**Regulatory Actions**

There were no penalties or sanctions imposed against the Corporation by a court relating to securities legislation, or by a securities regulatory authority, during the financial year ended September 30, 2025 and to the knowledge of the Corporation, no such penalties or sanctions are contemplated. Further, there are no penalties or sanctions imposed by a court or regulatory body against the Corporation that would likely be considered important to a reasonable investor in making an investment decision.

The Corporation did not enter into any settlement agreement before a court relating to securities legislation, or with a securities regulatory authority, during the financial year ended September 30, 2025.

**INDEBTEDNESS OF DIRECTORS AND OFFICERS**

No director, executive officer, employee, former director, former executive officer or former employee or associate of any director or executive officer of the Corporation or any of Subsidiaries had any outstanding indebtedness to the Corporation or any of its subsidiaries except routine indebtedness or had any indebtedness that was the subject of a guarantee, support agreement, letter of credit or other similar arrangement or understanding provided by the Corporation or any of its subsidiaries.

**INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS**

Other than as disclosed in this Annual Information Form, the Corporation is not aware of any material interest, direct or indirect, of (i) any Person that beneficially owns, or exercises control or direction over, directly or indirectly, more than ten percent of the voting rights attached to the Voting Shares, (ii) any director or officer of the Corporation, or (iii) any associate or affiliate of any of the foregoing, in any transaction which has been entered into within the three most recently completed financial years, or during the current financial year, that has materially affected or is reasonably expected to materially affect the Corporation.

**TRANSFER AGENTS AND REGISTRARS**

The transfer agent and registrar for the Voting Shares is Odyssey Trust Company at its principal offices at 702-67 Yonge Street, Toronto, Ontario M5E 1J8.

**MATERIAL CONTRACTS**

Except for contracts entered into in the ordinary course of business, there were no contracts entered into by the Corporation during the 12-month period ended September 30, 2025, which are material, or entered into before the 12-month period ended September 30, 2025, but are still in effect and which are required to be filed with Canadian securities regulators in accordance with Section 12.2 of NI 51-102*,* other than the following contracts:

a) Barbadian-Exanorth
 Data Services Agreement;

b) Escrow
 Agreement;

c) Exanorth-Exakraft
 Settlement Agreement;

d) FAR
 Convertible Note;

e) FAR
 Transformer Sales Agreement;

f) JGB
 Loan Agreement;

g) JGB
 Second Draw Agreement;

h) Letter
 Agreement;

i) Luxor
 Services Agreement;

j) ND
 I, ROFR;

k) North
 Dakota Property Purchase Agreement;

l) Phoenix
 Asset Purchase Agreement;

m) Second
 Norway Property Option and Lease Agreement;

n) Sowrer
 LTGA;

o) Sowrer-Exanorth
 Lease Agreement;

p) Sowrer-Exanorth
 Power Agreement;

q) FAR
 Transformer Sales Agreement;

r) Investor
 rights agreement with Omar Kassem Alesayi Holding Group;

s) Pre-emptive
 rights agreement with Omar Kassem Alesayi Holding Group; and

t) ND
 I limited option agreement.

Copies of the above-listed material contracts are available for inspection at the offices of the Corporation located 1100 One Bentall Centre, 505 Burrard St, Suite 1100, Vancouver, BC V7X 1M5, at any time during ordinary business hours. Copies of the above-listed material contracts are also available under the Corporation's profile on SEDAR+ at www.sedarplus.ca.

**INTERESTS OF EXPERTS**

The following are the persons or companies who were named as having prepared or certified a statement, report or valuation in this Annual Information Form, either directly, or in a document incorporated by reference and whose profession or business gives authority to the statement, report or valuation made by the Person:

SRCO Professional Corporation were appointed as auditors of the Corporation on September 12, 2024. SRCO Professional Corporation audited the consolidated financial statements of Bitzero Blockchain, being the acquirer of the Corporation pursuant to the Reverse Takeover Transaction, for the financial year ended September 30, 2025, and 2024, together with the notes thereto. SRCO Professional Corporation advised that they are independent with respect to the Corporation within the meaning of the Rules of Professional Conduct of the Chartered Professional Accountants of British Columbia.

MNP LLP, audited the annual financial statements of the Corporation for the years ended October 31, 2024, and 2023, together with the notes thereto, in accordance with the Code of Professional Conduct of the Chartered Professional Accountants of Ontario.

To the knowledge of Management, as of the date hereof, no expert, nor any associate or affiliate of such person has any beneficial interest, direct or indirect, in the property of the Corporation or of an associate or affiliate of the Corporation, and, as of the date hereof, each expert, or any associate or affiliate of such person, as a group, beneficially owns, directly or indirectly, less than 1% of the outstanding securities of the Corporation and no such person is or is expected to be elected, appointed or employed as a director, officer or employee of the Corporation or of an associate or affiliate of the Corporation.

**AUDIT COMMITTEE**

**Audit Committee Charter**

The Corporation adopted a new Audit Committee Charter, which sets out, among other things, the composition of the Audit Committee, as well as its responsibilities, duties, principles and procedures. A copy of the Audit Committee Charter can be found attached as Schedule "G" to the Corporation's Listing Statement, which is filed on SEDAR+.

**Composition of the Audit Committee**

The Audit Committee is comprised of the following members:

---

| | | |
|:---|:---|:---|
| **Name** | **Independence** <sup>(1)</sup> | **Financial Literacy** <sup>(2)</sup> |
| Gilles Seguin | Independent | Financially Literate |
| Giovanni Gaudenzi | Not Independent | Financially Literate |
| Claudia Di Iorio<sup>(3)</sup> | Independent | Financially Literate |

---

**<u>Notes:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(1) A
 member of an audit committee is independent if the member has no direct or indirect material
 relationship with the Corporation, which could, in the view of the Board, reasonably
 interfere with the exercise of a member's independent judgment.

&nbsp;&nbsp;&nbsp;&nbsp;(2) An
 individual is financially literate if he has the ability to read and understand a set
 of financial statements that present a breadth of complexity of accounting issues that
 are generally comparable to the breadth and complexity of the issues that can reasonably
 be expected to be raised by the Corporation's financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;(3) Claudia
 Di Iorio is the Chair of the Audit Committee.

National Instrument 52-110 – *Audit Committees* ("**NI 52-110**") provides that a member of an audit committee is "independent" if the member has no direct or indirect material relationship with the Corporation, which could, in the view of the Board, reasonably interfere with the exercise of the member's independent judgment. Each member of the Corporation's current Audit Committee is "independent" within the meaning of NI 52-110.

NI 52-110 provides that an individual is "financially literate" if he or she has the ability to read and understand a set of financial statements that present a breadth and level of complexity of accounting issues that are generally comparable to the breadth and complexity of the issues that can reasonably be expected to be raised by the Corporation's financial statements. All of the members of the Audit Committee are "financially literate" as that term is defined.

**Relevant Education and Experience**

Each member of the Corporation's present Audit Committee has adequate education and experience that is relevant to their performance as an Audit Committee member and, in particular, the requisite education and experience that have provided the member with:

(a) an
 understanding of the accounting principles used by the Corporation to prepare its financial
 statements and the ability to assess the general application of those principles in connection
 with estimates, accruals and reserves;

&nbsp;&nbsp;&nbsp;&nbsp;(b) experience
 preparing, auditing, analyzing or evaluating financial statements that present a breadth
 and level of complexity of accounting issues that are generally comparable to the breadth
 and complexity of issues that can reasonably be expected to be raised by the Corporation's
 financial statements or experience actively supervising individuals engaged in such activities;
 and

(c) an
 understanding of internal controls and procedures for financial reporting.

**Audit Committee Member Biographies**

The following is a summary of the relevant education and experience of the current members of the Audit Committee:

*Gilles Seguin – Corporate Secretary & Director (Age: 65)*

Gilles Seguin is an international securities and corporate lawyer, member of the Quebec Bar (1982) and the Paris Bar (2016). He is a partner at BCF LLP, where he serves as the Vice-Chairman of the board of directors and the head of the Governance Committee. He has served on the board and been an officer of numerous public and non-profit companies. He is known for his deep expertise in corporate governance and international mergers and acquisitions.

*Giovanni Gaudenzi – Head of Finance (Age: 49)*

Giovanni Gaudenzi has over 16 years of experience in investment banking at Credit Suisse and JP Morgan. He holds a bachelor's degree of Liceo Classico at Collegio San Luigi in Bologna, Italy and a master's degree in engineering. He founded Mackenzie Associates, a boutique family office, in 2016 where he provided investment advisory, real estate, and private equity services to insurance companies, pension funds, asset managers, and other corporates. Giovanni was appointed as the Head of Finance of Bitzero Blockchain in July 2022, and continues to render services to other clients through his family office.

*Claudia Di Iorio – Director (Age: 30)*

Claudia Di Iorio is a lawyer and received her Bachelor of Law from McGill University in 2019. Claudia completed a clerkship and was a lawyer at BCF Avocats from May 2018 to May 2021; Legal Counsel for Legal Suite Canada from May 2021 to June 2022; and a lawyer at BCA Avocats from January 2023 to August 2023. Claudia has been a director on the board for Société d'assurance automobile du Québec since July 2017 and also is currently a lawyer at CD1 Legal Inc., where she maintains a broad business law practice.

**Audit Committee Oversight**

Since the commencement of the Corporation's financial year ended September 30, 2025, the Audit Committee has not made any recommendations to nominate or compensate an external auditor which were not adopted by the Board.

**Reliance on Certain Exemptions**

Other than as disclosed below, at no time since the commencement of the Corporation's most recently completed fiscal year has the Corporation relied on an exemption from the provisions of NI 52-110.

**Pre-Approval Policies and Procedures**

The Audit Committee is authorized by the Board to review the performance of the Corporation's external auditors and approve in advance provision of services other than auditing and to consider the independence of the external auditors, including a review of the range of services provided in the context of all consulting services bought by the Corporation. The Audit Committee is authorized to approve in writing any non-audit services or additional work which the Chairman of the Audit Committee deems is necessary, and the Chairman of the Audit Committee will notify the other members of the Audit Committee of such non-audit or additional work and the reasons for such non-audit work for the Committee's consideration, and if thought fit, approval in writing.

**External Auditor Service Fees**

The aggregate fees billed by the Corporation's external auditors during its most recently completed financial year ended October 31, 2024, prior to the change of financial year end to September 30, 2025, are as follows:

---

| | | |
|:---|:---|:---|
| | **Fiscal Year ended October 31, 2024 (C$)** | **Fiscal Year ended October 31, 2023 (C$)** |
| Audit Fees<sup>(1)</sup> | 30000 | 55000 |
| Audit-related Fees<sup>(2)</sup> | Nil | Nil |
| Tax Fees<sup>(3)</sup> | 10000 | 10000 |
| All Other Fees<sup>(4)</sup> | Nil | Nil |
| **Total** | **40000** | **65000** |

---

**<u>Notes</u>:**

&nbsp;&nbsp;&nbsp;&nbsp;(1) "**Audit fees**" include aggregate fees billed by the Corporation's external auditor
 in each of the last two fiscal years for audit fees.

&nbsp;&nbsp;&nbsp;&nbsp;(2) "**Audited related fees**" include the aggregate fees billed in each of the last two fiscal
 years for assurance and related services by the Corporation's external auditor
 that are reasonably related to the performance of the audit or review of the Corporation's
 financial statements and are not reported under "Audit fees" above. The services
 provided include employee benefit audits, due diligence assistance, accounting consultations
 on proposed transactions, internal control reviews and audit or attest services not required
 by legislation or regulation.

&nbsp;&nbsp;&nbsp;&nbsp;(3) "**Tax fees**" include the aggregate fees billed in each of the last two fiscal years
 for professional services rendered by the Corporation's external auditor for tax
 compliance, tax advice and tax planning. The services provided include tax planning and
 tax advice includes assistance with tax audits and appeals, tax advice related to mergers
 and acquisitions, and requests for rulings or technical advice from tax authorities.

&nbsp;&nbsp;&nbsp;&nbsp;(4) "**All other fees**" include the aggregate fees billed in each of the last two fiscal
 years for products and services provided by the Corporation's external auditor,
 other than "Audit fees", "Audit related fees" and "Tax
 fees" above.

The aggregate fees billed by Bitzero Blockchain's external auditors during its most recently completed financial year ended September 30, 2025, are as follows:

---

| | | |
|:---|:---|:---|
| | **Fiscal Year ended September 30, 2025 (US$)** | **Fiscal Year ended September 30, 2024 (US$)** |
| Audit Fees<sup>(1)</sup> | 205000 | 250000 |
| Audit-related Fees<sup>(2)</sup> | Nil | Nil |
| Tax Fees<sup>(3)</sup> | Nil | Nil |
| All Other Fees<sup>(4)</sup> | Nil | Nil |
| **Total** | 205000 | 250000 |

---

**<u>Notes</u>:**

&nbsp;&nbsp;&nbsp;&nbsp;(1) "**Audit fees**" include aggregate fees billed by the Corporation's external auditor
 in each of the last two fiscal years for audit fees.

&nbsp;&nbsp;&nbsp;&nbsp;(2) "**Audited related fees**" include the aggregate fees billed in each of the last two fiscal
 years for assurance and related services by the Corporation's external auditor
 that are reasonably related to the performance of the audit or review of the Corporation's
 financial statements and are not reported under "Audit fees" above. The services
 provided include employee benefit audits, due diligence assistance, accounting consultations
 on proposed transactions, internal control reviews and audit or attest services not required
 by legislation or regulation.

&nbsp;&nbsp;&nbsp;&nbsp;(3) "**Tax fees**" include the aggregate fees billed in each of the last two fiscal years
 for professional services rendered by the Corporation's external auditor for tax
 compliance, tax advice and tax planning. The services provided include tax planning and
 tax advice includes assistance with tax audits and appeals, tax advice related to mergers
 and acquisitions, and requests for rulings or technical advice from tax authorities.

&nbsp;&nbsp;&nbsp;&nbsp;(4) "**All other fees**" include the aggregate fees billed in each of the last two fiscal
 years for products and services provided by the Corporation's external auditor,
 other than "Audit fees", "Audit related fees" and "Tax
 fees" above.

**ADDITIONAL INFORMATION**

Additional information relating to the Corporation is available under the Corporation's profile on SEDAR+ at www.sedarplus.ca.

Additional information concerning the Corporation, including the remuneration and indebtedness, of the directors and officers of Bitzero Blockchain, the principal holders of securities, the securities authorized for issuance under equity compensation plans and the corporate governance practices of the Corporation as prescribed by National Instrument 58-101 – *Disclosure of Corporate Governance Practices* with respect to the corporate governance guidelines adopted in National Policy 58-201 – *Corporate Governance Guidelines*, is contained in the Listing Statement, which is incorporated by reference herein, and is available under the Corporation's profile on SEDAR+ at www.sedarplus.ca.

Additional financial information concerning the Corporation, including the Annual Financial Statements and related management's discussion and analysis for the financial year ended September 30, 2025, can be found on the Corporation's profile on SEDAR+ at <u>www.sedarplus.ca</u>.

**SCHEDULE "A"**

**NON-EXHAUSTIVE LIST OF RISK FACTORS**

*Capitalized terms used in this Schedule "A" and defined in the Annual Information Form to which this Schedule "A" is attached have the meanings defined in the Annual Information Form unless otherwise defined herein.*

An investment in the Voting Shares involves a high degree of risk and should be considered highly speculative due to the nature of the Business and its present stage of development. An investment in the Corporation's securities is suitable only for those knowledgeable and sophisticated investors who are willing to risk loss of their entire investment. Prospective investors should consult with their professional advisors to assess an investment in the Corporation's securities. In evaluating the Corporation and its Business, investors should carefully consider, in addition to the other information contained in this Annual Information Form, the following risk factors. These risk factors are not a definitive list of all risk factors associated with an investment in the Corporation or in connection with the Corporation's operations.

**Risks Related to the Operations of the Corporation**

**The Corporation may be unable to achieve or sustain profitability in the future**

There is no assurance that the Corporation will earn profits in the future, or that profitability, if achieved, will be sustained. The Corporation expects to continue to incur significant expenses including sales and marketing expenses, product development, research and development costs and other expenses. In addition, the Corporation expects that its general and administrative costs and other expenses will increase following this Listing Statement due to the additional costs associated with being a public company. These efforts and additional expenses may be more costly than the Corporation expects, and the Corporation cannot guarantee that it will be able to increase its revenue to offset such expenses. The Corporation revenue may decline, or its revenue growth may be constrained for a number of reasons, including reduced demand for the Corporation's products and services, increased competition or failure to capitalize on growth opportunities. The Corporation will need to generate sufficient additional revenue to achieve profitability and, even if it achieves profitability, the Corporation cannot be sure that it will remain profitable for any substantial period of time. The Corporation's failure to achieve or sustain profitability could negatively impact its ability to obtain financing, pursue its business objectives, and have a material adverse effect on the value of the Shares.

**Limited Operating History**

The Corporation had a limited history of operations and consequently, the Corporation's current operations inherited from Bitzero Blockchain are subject to all the business risks and uncertainties associated with any early-stage enterprise, including possible under-capitalization, cash shortages, limitations with respect to personnel, financial and other resources, and a lack of significant revenue. The limited operating history may also make it difficult for investors to evaluate the Corporation's prospects for success. There can be no assurance that the Corporation will be successful in achieving a return on shareholders' investment and the likelihood of success must be considered in light of the risks, expenses, and difficulties frequently encountered in early stages of operations.

**Growth Management**

The Corporation may be subject to growth-related risks including capacity constraints and pressure on its internal systems and controls. The ability of the Corporation to manage growth effectively will require it to continue to implement and improve its operational and financial systems and to expand, train and manage its employee base. The inability of the Corporation to deal with this growth may have a material adverse effect on the Corporation's business, financial condition, results of operations and prospects.

**Information Technology Systems and Cyberattacks**

The Corporation has entered into agreements with third parties for hardware, software, telecommunications and other information technology services in connection with its operations. The Corporation's operations depend, in part, on how well it and its suppliers protect networks, equipment, information technology systems and software against damage from a number of threats, including, but not limited to, cable cuts, damage to physical plants, natural disasters, intentional damage and destruction, fire, power loss, hacking, computer viruses, vandalism and theft. The Corporation's operations also depend on the timely maintenance, upgrade and replacement of networks, equipment, information technology systems and software, as well as pre-emptive expenses to mitigate the risks of failures. Any of these and other events could result in information system failures, delays and/or increase in capital expenses. The failure of information systems or a component of information systems could, depending on the nature of any such failure, adversely impact the Corporation's reputation and results of operations.

The Corporation has not experienced any material losses to date relating to cyberattacks or other information security breaches, but there can be no assurance that the Corporation will not incur such losses in the future. The Corporation's risk and exposure to these matters cannot be fully mitigated because of, among other things, the evolving nature of these threats. As a result, cyber security and the continued development and enhancement of controls, processes and practices designed to protect systems, computers, software, data and networks from attack, damage or unauthorized access is a priority. As cyber threats continue to evolve, the Corporation may be required to expend additional resources to continue to modify or enhance protective measures or to investigate and remediate any security vulnerabilities.

**Risks related to Insurance**

The Corporation intends to insure its operations in accordance with technology industry practice. However, such insurance may not be available, uneconomical for the Corporation, or the nature or level may be insufficient to provide adequate insurance cover. Further, the Corporation may not insure against cyber-theft or hacking attacks. The occurrence of an event that is not covered or fully covered by insurance could have a material adverse effect on the Corporation.

**Risks related to Industry Regulation**

The Corporation will be subject to a variety of laws and regulations across all jurisdictions in which it operates, including but not limited to, Cryptocurrency, intellectual property, advertising, marketing, distribution, data and information security, electronic communications, competition, consumer protection, privacy laws, unfair commercial practices, taxation, and securities law compliance. These laws, regulations and legislation, along with other applicable laws and regulations, which in some cases can be enforced by private parties or government entities, are constantly evolving and can be subject to significant change. As a result, the application, interpretation, and enforcement of these laws and regulations could have a material adverse impact on the Corporation and lead to increases in costs and expenditure as well as restrict its existing operations and ability to expand.

These laws and regulations, as well as any changes to the same and any related inquiries, investigations or any other government actions, may be costly to comply with and may delay or impede new product development, result in negative publicity, increase the Corporation's operating costs, require significant management time and attention, and subject it to remedies that may harm its business including fines or demands or orders that modify, or cease certain or all existing business practices, or implement costly and burdensome compliance measures. Any such consequences could adversely affect the Corporation's business, results of operations or financial condition.

**Risks related to Litigation**

The Corporation may, from time to time, become involved in various claims, legal proceedings and complaints arising in the ordinary course of business. The Corporation cannot reasonably predict the likelihood or the outcome of these actions. Adverse outcomes in some, or all of these, claims may result in significant monetary damages or injunctive relief that could adversely affect the Corporation's ability to conduct its business. Even if the Corporation prevails in any such legal proceeding, the proceedings could be costly and time consuming and may divert the attention of management and key personnel from the Corporation's operations.

**Changes in Technology**

The Corporation's ability to compete in the markets it serves may be threatened by change, including changes in technology, changes with respect to consumer needs, competition and industry standards. The Corporation will actively seek solutions that respond (in a timely manner) to Cryptocurrency developments, data center developments, high processing computing developments and other prospective client needs, however its failure to respond well to these challenges could adversely impact the Corporation's business, financial position and results of operations. New product development or modification is costly, involves significant research, development, time, and expense, and may not necessarily result in the successful commercialization of any new products.

**Market Unpredictability**

Because the Cryptocurrency is in an early stage with uncertain boundaries, there is a lack of information about comparable companies available for potential investors to review in deciding whether to invest in the Corporation and, few, if any, established corporations whose business model the Corporation can follow or upon whose success the Corporation can build. Accordingly, investors will have to rely on their own estimates in deciding whether to invest in the Corporation. There can be no assurance that the Corporation's estimates are accurate or that the market size is sufficiently large for its business to grow as projected, which may negatively impact its financial results.

**Ability to form strategic alliances**

The Corporation's growth and marketing strategies are based, in part, on seeking out and forming strategic alliances and working relationships with third parties. There can be no assurance that existing strategic alliances and working relationships will not be terminated or modified in the future, nor can there be any assurance that new relationships, if any, will afford the Corporation the same flexibility under which it currently operates. If the Corporation is unsuccessful in establishing or maintaining its relationship with these third parties, the Corporation's ability to compete in the marketplace or to grow its revenue could be impaired, and operating results could suffer.

**Impact of system interruptions**

The Corporation's ability to provide reliable service largely depends on the efficient and uninterrupted operation of its intelligence platform. Any significant interruptions could harm its business and reputation and result in a loss of consumers. The Corporation's systems and operations could be exposed to damage or interruptions from fire, natural disaster, power loss, telecommunications failure, terrorism, vendor failure, unauthorized entry and computer viruses or other causes, many of which may be beyond its control. Although the Corporation will have taken steps to prevent a system failure, the measures taken may not be successful and the Corporation may experience problems other than system failures. The Corporation may also experience software defects, development delays, installation difficulties and other systems problems, which would harm its business and reputation and expose it to potential liability which may not be fully covered by business interruption insurance. The Corporation's data applications may not be sufficient to address technological advances, changing market conditions or other developments.

**Reliance on Management and Key Personnel**

The Corporation's success, including its research and development and operational success, will depend on the ability of its directors, officers and other key personnel to develop and execute on the Corporation's business strategies and manage its ongoing operations, and on the Corporation's ability to attract and retain key personnel. A risk associated with the Corporation's business is the loss of important staff members. The Corporation is currently in good standing with all high-level employees and believes that with well-managed practices it will remain in good standing. While employment agreements are customarily used as a primary method of retaining the services of key employees, these agreements cannot assure the continued services of such employees.Any loss of the services of such individuals could have a material adverse effect on the Corporation's business, operating results or financial condition.

In addition, the Corporation's future success depends on its continuing ability to attract, develop, motivate and retain highly qualified and skilled employees. Competition for qualified personnel in the Corporation's industry is significant and the Corporation may incur significant costs to attract and retain them. No assurance can be provided that the Corporation will be able to attract or retain key personnel necessary for the development and operation of its business. Investors must rely upon the ability, expertise, judgment, discretion, integrity and good faith of the management of the Corporation.

**Indebtedness**

Bitzero Blockchain currently has outstanding, indebtedness that is secured by some or all of its assets. If Bitzero Blockchain defaults under the terms of such secured debt, the lenders may enforce their security interests and realize on the collateral, which could include assets essential to the Bitzero Blockchain's operations. This could materially adversely affect Bitzero Blockchain's ability to continue its business and meet its obligations to other creditors and securityholders. The existence of secured debt may also limit Bitzero Blockchain's ability to obtain additional financing, as potential lenders or investors may be subordinated to the existing secured creditors. Furthermore, secured creditors may have remedies and rights that rank in priority to those of other creditors and shareholders, which could result in little or no recovery for such other stakeholders in the event of an enforcement or insolvency proceeding.

**Interest Rate and Benchmark Risk pursuant to the JGB Loan Agreement**

The interest rate on the JGB Loan Agreement is a floating rate, based on Term SOFR (or a replacement benchmark, if necessary) plus a fixed spread. As a result, the interest rate may vary significantly over the life of the loan. An increase in market rates may cause the interest payments owed by borrowers to rise, potentially increasing the overall cost of borrowing. Should the underlying benchmark rate (Term SOFR) become unavailable or be replaced, the agent may select a substitute rate, which may differ from the original rate. These factors may affect the amount and timing of interest payments due and may materially impact investors' returns or the value of the loan securities.

**Conflicts of Interest**

There are potential conflicts of interest to which the directors and officers of the Corporation will be subject in connection with the operations of the Corporation. In particular, certain of the directors and officers of the Corporation are involved in managerial and/or director positions with other companies whose operations may, from time to time, be in direct competition with those of the Corporation. Conflicts, if any, will be subject to the procedures and remedies available under the OBCA. In the event that any such conflict of interest arises, a director or officer who has such a conflict will disclose the conflict to a meeting of the directors of the Corporation and, if the conflict involves a director, the director will abstain from voting for or against the approval of such a participation or such terms. In appropriate cases, the Corporation will establish a special committee of independent directors to review a matter in which several directors, or Management, may have a conflict. In accordance with the provisions of the OBCA, the directors and officers of the Corporation are required to act honestly in good faith, with a view to the best interests of the Corporation. In determining whether or not the Corporation will participate in a particular program and the interest therein to be acquired by it, the directors will primarily consider the potential benefits to the Corporation, the degree of risk to which the Corporation may be exposed and its financial position at that time.

**Additional Financing**

There is no guarantee that the Corporation will be able to execute on its business strategy. It is expected that the Corporation will require additional financing to make further investments or take advantage of future opportunities. The ability of the Corporation to arrange such financing in the future will depend in part upon prevailing capital market conditions, as well as upon the business success of the Corporation. The failure to raise such capital could result in the delay or indefinite postponement of current business strategy or the Corporation ceasing to carry on business. There can be no assurance that additional capital or other types of financing will be available if needed or that, if available, the terms of such financing will be favourable to the Corporation. In addition, from time to time, the Corporation may enter into transactions to acquire assets or the shares of other companies. These transactions may be financed wholly or partially with debt, which may temporarily increase the Corporation's debt levels above industry standards. Any debt financing secured in the future could involve restrictive covenants relating to capital raising activities and other financial and operational matters, which may make it more difficult for the Corporation to obtain additional capital and to pursue business opportunities, including potential acquisitions.

**Cash flow from operations**

For the financial year ended September 30, 2025, the net cash from operating activities was approximately $5,526,691. Although the Corporation anticipates it will have positive cash flow from operating activities in future periods, to the extent that the Corporation has negative cash flow in any future period, certain of the net proceeds from future offerings may be used to fund such negative cash flow from operating activities. If the Corporation experiences future negative cash flow, the Corporation may also be required to raise additional funds through the issuance of equity or debt securities. There can be no assurance that the Corporation will be able to generate positive cash flow from its operations, that additional capital or other types of financing will be available when needed, or that these financings will be on terms favourable to the Corporation. In addition, the Corporation expects to achieve positive cash flow from operating activities in future periods. However, this is based on certain assumptions and subject to significant risks.

**Liquidity**

The Corporation cannot predict at what prices the Voting Shares will trade at, and there can be no assurance that an active trading market in the Corporation will develop or be sustained. There is a significant liquidity risk associated with an investment in the Corporation.

**Dilution**

The Corporation may make future acquisitions or enter into financings or other transactions involving the issuance of securities. If the Corporation was to issue the Shares, existing holders of such shares may experience dilution in their holdings. Moreover, when the Corporation's intention to issue additional equity securities becomes publicly known, the market price for Shares may be adversely affected.

**Valuation and Price Volatility of Cryptocurrencies**

The profitability of the Corporation's operations will be significantly affected by changes in prices of Cryptocurrencies. Cryptocurrency prices are highly volatile, can fluctuate substantially and are affected by numerous factors beyond the Corporation control, including hacking, demand, inflation and expectations with respect to the rate of inflation, global or regional political or economic events. If Cryptocurrency prices should decline and remain at low market levels for a sustained period while network difficulty does not decrease proportionally, the Corporation could determine that it is not economically feasible to continue activities. Cryptocurrencies may be subject to momentum pricing, which is typically associated with growth stocks and other assets whose valuation, as determined by the investing public, accounts for anticipated future appreciation in value. Cryptocurrency market prices are determined primarily using data from various exchanges, over-the-counter markets, and derivative platforms. Momentum pricing may have resulted, and may continue to result, in speculation regarding future appreciation in the value of cryptocurrencies, inflating and making their market prices more volatile. As a result, they may be more likely to fluctuate in value due to changing investor confidence in future appreciation (or depreciation) in their market prices, which could adversely affect the value proposition of the Corporation. Volatility may have an impact on the value of the Corporation's inventory of currencies.

**Cryptocurrency Network Difficulty and Impact of Increased Global Computing Power**

Network difficulty is a measure of how difficult it is to solve the cryptographic hash that is required to validate a block of transactions and earn a Cryptocurrency reward from Mining. If the network difficulty increased at a significantly higher rate than the Corporation's hashrate and the price of Cryptocurrency did not increase at the same rate as network difficulty, then the profitability of the Corporation's operations would be significantly affected. There can be no assurance that Cryptocurrency prices will increase in proportion to the rate of increase of network difficulty as network difficulty is subject to volatility in growth.

**The impact of geopolitical events on the supply and demand for cryptocurrencies is uncertain**

Crises may motivate large-scale purchases of Cryptocurrencies which could increase the price of Cryptocurrencies rapidly. This may increase the likelihood of a subsequent price decrease as crisis-driven purchasing behavior wanes, adversely affecting the value of the Corporation's Bitcoin inventory. The possibility of large-scale purchases of Cryptocurrencies in times of crisis may have a short-term positive impact on the prices of. As an alternative to fiat currencies that are backed by central governments, Cryptocurrencies such as Bitcoin, which are relatively new, are subject to supply and demand forces based upon the desirability of an alternative, decentralized means of buying and selling goods and services, and it is unclear how such supply and demand will be impacted by geopolitical events. Nevertheless, political or economic crises may motivate large-scale acquisitions or sales of Bitcoin either globally or locally. Large-scale sales of Cryptocurrencies would result in a reduction in their market prices and adversely affect the Corporation's operations and profitability.

**Acceptance and/or widespread use of Cryptocurrency is uncertain**

Currently, there is relatively small use of Bitcoin and/or other Cryptocurrencies in the retail and commercial marketplace in comparison to relatively large use by speculators, thus contributing to price volatility that could adversely affect the Corporation's operations, investment strategies, and profitability. As relatively new products and technologies, Bitcoin, and its other Cryptocurrency counterparts have not been widely adopted as a means of payment for goods and services by major retail and commercial outlets. Conversely, a significant portion of Cryptocurrency demand is generated by speculators and investors seeking to profit from the short-term or long-term holding of Cryptocurrencies. The relative lack of acceptance of Cryptocurrencies in the retail and commercial marketplace limits the ability of end-users to use them to pay for goods and services. A lack of expansion by Cryptocurrencies into retail and commercial markets, or a contraction of such use, may result in increased volatility or a reduction in their market prices, either of which could adversely impact the Corporation's operations, investment strategies, and profitability.

**The Corporation's Bitcoin may be subject to loss, theft or restriction on access**

There is a risk that some or all of the Corporation's coins could be lost or stolen. Access to the Corporation's coins could also be restricted by cybercrime (such as a denial of service ("DDoS") attack) against a service at which the Corporation maintains a hosted online wallet. Any of these events may adversely affect the operations of the Corporation and, consequently, its investments and profitability. The loss or destruction of a private key required to access the Corporation's digital wallets may be irreversible. The Corporation's loss of access to its private keys or its experience of a data loss relating to the Corporation's digital wallets could adversely affect its investments.

Cryptocurrencies are controllable only by the possessor of both the unique public and private keys relating to the local or online digital wallet in which they are held, which wallet's public key or address is reflected in the network's public Blockchain. The Corporation will publish the public key relating to digital wallets in use when it verifies the receipt of Bitcoin transfers and disseminates such information into the network, but it will need to safeguard the private keys relating to such digital wallets. To the extent such private keys are lost, destroyed or otherwise compromised, the Corporation will be unable to access its coins and such private keys will not be capable of being restored by network. Any loss of private keys relating to wallets used to store the Corporation's Bitcoin could adversely affect its investments and profitability.

**Risk related to technological obsolescence and difficulty in obtaining hardware**

To remain competitive, the Corporation will continue to invest in hardware and equipment at the Norway Data Center required for maintaining the Corporation's Mining activities. Should competitors introduce new services/software embodying new technologies, the Corporation recognizes its hardware and equipment, and its underlying technology may become obsolete and require substantial capital to replace such equipment. The increase in interest and demand for Cryptocurrencies has led to a shortage of Mining hardware as individuals purchase equipment for Mining at home. Equipment in the Norway Data Center will require replacement from time to time. Shortages of graphics processing units may lead to unnecessary downtime as the Corporation searches for replacement equipment to ensure the Norway Data Center is running smoothly.

**There are factors which may prevent the Corporation from the realization of growth targets. The Corporation is currently in the expansion from early development stage**

The Corporation's growth strategy contemplates opening additional data centers. There is a risk that this will not be achieved on time, on budget, or at all, as it can be adversely affected by a variety of factors, including some that are discussed elsewhere in these "*Risk Factors*" and the following:

● Delays or failures in obtaining an appropriate location and/or space for the data centers;

● data center design errors;

● environmental pollution;

● non-performance by third party contractors;

● increases in materials or labour costs;

● construction performance falling below expected levels of output or efficiency;

● breakdown, aging or failure of equipment or processes;

● contractor or operator errors;

● operational inefficiencies;

● labour disputes, disruptions or declines in productivity;

● inability to attract sufficient numbers of qualified workers; disruption in the supply of energy and utilities; and

● major incidents and/or catastrophic events such as fires, explosions or storms.

**Increased power costs may adversely affect the business**

The Corporation expects that power-related costs will account for a significant portion of future expenses. While the Corporation has the Norway Data Center, the Corporation will continue to be reliant on third-party power providers. One of the Corporation's key competitive advantages will be the lower cost for our services that we will achieve by factors such as low operating costs. There is no guarantee that the value of the low cost power grid will remain consistent in the future. Rising energy costs may damage the Corporation's business by reducing our competitive advantages globally against other IT infrastructure facilities providers since our existing and future customers may no longer experience significant cost-savings if our energy costs are higher than those of our global competitors. As a result, rising energy costs could potentially harm the Corporation's results of operations by decreasing our standing with customers.

**Discretion as to the Use of Available Funds**

The Corporation's management will have broad discretion in how it uses the funds available to it. Management may use the available funds in ways that shareholders may not consider desirable. The results and the effectiveness of the application of the funds are uncertain. If the funds are not applied effectively, the results of the Corporation's operations may suffer. Shareholders may not agree with the manner in which management chooses to allocate and spend the available funds.

**Erroneous Transactions and Human Error**

Transactions involving Cryptocurrencies are final and cannot be reversed. If a transfer is made in error, or if a transaction is compromised, it will generally remain irrevocable. Despite the internal controls implemented by the Corporation to reduce operational mistakes, human or technological errors may still occur. Where the Corporation cannot identify the recipient of misdirected Cryptocurrencies, or cannot negotiate a corrective transfer with the receiving party, the Corporation may have no ability to retrieve or unwind the transaction. In addition, any Cryptocurrency inadvertently sent to wallets or accounts outside the Corporation's control may be permanently unrecoverable.

The use of Cryptocurrencies for payments, commerce, and other digital transactions forms part of a fast-developing sector built on cryptographic and algorithmic protocols. The trajectory of this industry, and the broader adoption of Cryptocurrencies, remains uncertain. Any stagnation, disruption, or decline in the development, acceptance, or functionality of these underlying protocols could negatively affect the Corporation's business and operations.

A number of factors may influence the evolution and sustainability of the Cryptocurrency ecosystem, including:

● Increasing or decreasing global adoption and use of Cryptocurrencies;

● Governmental or quasi-governmental regulation affecting Cryptocurrencies or access to related networks and platforms;

● Shifts in consumer behavior, demographics, preferences, and technological literacy;

● Ongoing maintenance, improvement, and community support for the open-source protocols that underpin major Cryptocurrency networks;

● The emergence and appeal of alternative methods of transacting, including innovations in traditional fiat-based payment systems;

● Broader economic conditions and the policy environment affecting digital assets; and

● Negative sentiment toward Bitcoin specifically or toward Cryptocurrencies more generally.

**Risks Related to the Securities**

**Market Volatility**

The Corporation cannot assure you that a market will continue to develop or exist for the Voting Shares or what the market price of the Voting Shares will be. The Corporation cannot assure that a market will continue to develop or be sustained once the Voting Shares are listed on the Exchange. If a market does not continue to develop or is not sustained, it may be difficult for investors to sell the Voting Shares at an attractive price or at all. The Corporation cannot predict the prices at which the Voting Shares will trade.

The market price for the Voting Shares may be volatile and subject to wide fluctuations in response to numerous factors, many of which are beyond the Corporation's control, including the following:

● actual or anticipated fluctuations in the Corporation's quarterly results of operations;

● recommendations by securities research analysts;

● changes in the economic performance or market valuations of companies in the industry in which the Corporation operates;

● addition or departure of the Corporation's executive officers and other key personnel;

● release or expiration of lock-up or other transfer restrictions on outstanding Voting Shares;

● sales or perceived sales of additional Voting Shares;

● significant acquisitions or business combinations, strategic partnerships, joint ventures or capital commitments by or involving us or the Corporation's competitors;

● operating and share price performance of other companies that investors deem comparable to us; fluctuations to the costs of vital production materials and services;

● changes in global financial markets and global economies and general market conditions, such as interest rates and product price volatility;

● operating and share price performance of other companies that investors deem comparable to the Corporation or from a lack of market comparable companies;

● news reports relating to trends, concerns, technological or competitive developments, regulatory changes and other related issues in the Corporation's industry or target markets; and

● regulatory changes in the industry.

Financial markets have recently experienced significant price and volume fluctuations that have particularly affected the market prices of equity securities of companies and that have often been unrelated to the operating performance, underlying asset values or prospects of such companies. Accordingly, the market price of the Voting Shares may decline even if the Corporation's operating results, underlying asset values or prospects have not changed. Additionally, these factors, as well as other related factors, may cause decreases in asset values that are deemed to be other than temporary, which might result in impairment losses. There can be no assurance that continuing fluctuations in price and volume will not occur. If such increased levels of volatility and market turmoil continue, the Corporation's operations could be adversely affected, and the trading price of the Voting Shares might be materially adversely affected.

**The Corporation does not anticipate paying cash dividends**

The Corporation current policy is to retain earnings to finance the development and enhancement of its products and to otherwise reinvest in the Corporation. Therefore, the Corporation does not anticipate paying cash dividends on the Voting Shares in the foreseeable future. The Corporation's dividend policy will be reviewed from time to time by the Board in the context of its earnings, financial condition and other relevant factors. Until the time that the Corporation pays dividends, which the Corporation might never do, Corporation shareholders will not be able to receive a return on their Voting Shares unless they sell them.

**Future sales of Voting Shares by existing shareholders could reduce the market price of the Voting Shares**

Sales of a substantial number of Voting Shares in the public market could occur at any time. These sales, or the market perception that the holders of a large number of Voting Shares intend to sell Voting Shares, could reduce the market price of the Voting Shares. Additional Voting Shares may be available for sale into the public market, subject to applicable securities laws, which could reduce the market price for Voting Shares. Holders of Corporation Options will have an immediate income inclusion for tax purposes when they exercise their Corporation Options (that is, tax is not deferred until they sell the underlying Voting Shares). As a result, these holders may need to sell Voting Shares purchased on the exercise of Corporation Options in the same year that they exercise their options. This might result in a greater number of Voting Shares being sold in the public market, and fewer long-term holds of Voting Shares by the Corporation's management and employees.

**Forward Looking Statements and Future Oriented Financial Information May Prove Inaccurate**

Readers are cautioned not to place undue reliance on forward-looking statements. By their nature, forward-looking statements and FOFI involve numerous assumptions, known and unknown risks and uncertainties, of both a general and specific nature, that could cause actual results to differ materially from those suggested by the forward-looking statements and/or FOFI or contribute to the possibility that predictions, forecasts or projections will prove to be materially inaccurate.

**Financial Projections May Prove Materially Inaccurate or Incorrect**

The Corporation's financial estimates, projections and other forward-looking information incorporated into this Listing Statement were prepared by management without the benefit of reliable historical industry information or other information customarily used in preparing such estimates, projections and other forward-looking statements. Such forward-looking information is based on assumptions of future events that may or may not occur, which assumptions may not be disclosed in such documents. Investors should inquire of the Corporation and become familiar with the assumptions underlying any estimates, projections or other forward-looking statements. Projections are inherently subject to varying degrees of uncertainty and their achievability depends on the timing and probability of a complex series of future events. There is no assurance that the assumptions upon which these projections are based will be realized. Actual results may differ materially from projected results for a number of reasons including increases in operation expenses, changes or shifts in regulatory rules, undiscovered and unanticipated adverse industry and economic conditions, and unanticipated competition. Accordingly, investors should not rely on any projections to indicate the actual results the Corporation and its subsidiaries might achieve. See "*Cautionary Note Regarding Forward-Looking Information*" and "*Future-Oriented Information and Financial Outlook Information"*.

## Exhibit 99.81

**Exhibit 99.81**

**FORM 52-109F1 – AIF**

**CERTIFICATION OF ANNUAL FILINGS**

**IN CONNECTION WITH VOLUNTARILY FILED AIF**

This certificate is being filed on the same date that Bitzero Holdings Inc. (the "issuer") has voluntarily filed an AIF.

I, Igor Kostioutchenko, Chief Financial Officer of the issuer, certify the following:

&nbsp;&nbsp;&nbsp;&nbsp;1.  ***Review:*** I have reviewed the AIF, annual financial statements and annual MD&A, including for greater certainty all documents and
information that are incorporated by reference in the AIF (together, the "annual filings") of the issuer for the
financial year ended September 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the annual filings
 do not contain any untrue statement of a material fact or omit to state a material fact
 required to be stated or that is necessary to make a statement not misleading in light
 of the circumstances under which it was made, with respect to the period covered by the
 annual filings.

&nbsp;&nbsp;&nbsp;&nbsp;3.  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the annual financial report together with the other financial
information included in the annual filings fairly present in all material respects the financial condition, financial performance
and cash flows of the issuer, as of the date of and for the periods presented in the annual filings.

Date: February 2, 2026.

*/s/ Igor Kostioutchenko*

 

Igor Kostioutchenko

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52- 109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.82

**Exhibit 99.82**

**FORM 52-109F1 – AIF**

**CERTIFICATION OF ANNUAL FILINGS**

**IN CONNECTION WITH VOLUNTARILY FILED AIF**

This certificate is being filed on the same date that Bitzero Holdings Inc. (the "issuer") has voluntarily filed an AIF.

I, Mohammed Bakhashwain, Chief Executive Officer of the issuer, certify the following:

&nbsp;&nbsp;&nbsp;&nbsp;1.  ***Review:*** I have reviewed the AIF, annual financial statements and annual MD&A, including for greater certainty all documents and
information that are incorporated by reference in the AIF (together, the "annual filings") of the issuer for the
financial year ended September 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;2.  ***No misrepresentations:*** *Based on my knowledge, having exercised reasonable diligence, the annual filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the annual filings.* 

&nbsp;&nbsp;&nbsp;&nbsp;3.  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the annual financial report together with the other financial
information included in the annual filings fairly present in all material respects the financial condition, financial performance
and cash flows of the issuer, as of the date of and for the periods presented in the annual filings.

Date: February 2, 2026.

*/s/ Mohammed Bakhashwain*

 

Mohammed Bakhashwain

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls and other procedures designed to provide reasonable assurance that information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52- 109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.83

**Exhibit 99.83**

**Bitzero Holdings Inc. Announces Investor Relations Engagement & Renewals**

**VANCOUVER, BC – February 10<sup>th</sup>, 2026 -** Bitzero Holdings Inc., (CSE: BITZ.U) (OTCQB: BTZRF) (FSE:000) ("**Bitzero**" or the "**Company**"), the Company focused on sustainable Blockchain and High-Performance Computing data centers, is pleased to announce enhancements to its investor relations program, including the engagement of Plutus Invest & Consulting GmbH ("**Plutus**") and the renewal of contracts with i2i Marketing Group, LLC ("**i2i**") and Native Ads, Inc. ("**Native Ads**"). These engagements reflect the Company's continued commitment to strengthening shareholder communications, expanding market awareness, and supporting its long-term growth objectives.

Pursuant to the respective contract terms detailed below, the Company has entered into agreements with the following firms for investor relations and market engagement services. The named firms operate at arm's length to the Company with no beneficial ownership of securities of the Company, and no right to or intent to acquire such interest pursuant to the agreements entered into between the Company and such firms. Compensation paid by the Company does not include the issuance of any securities of the Company.

● i2i Marketing Group, LLC with a business address of 1107 Key Plaza, Suite 222, Key West, FL 33040, USA to provide marketing services including social media management, content creation, distribution, digital marketing, digital advertising and any other marketing services as agreed upon by the Company for distribution by email and on popular online investor platforms, in exchange for cash compensation of US$125,000. The agreement commenced on September 30<sup>th</sup>, 2025 and has been renewed on February 10<sup>th</sup>, 2026 for a period of six months or until the retainer is depleted. I2i can be at contact@i2illc.com or by telephone at (240) 315-4665.

● Native Ads, Inc. with a business address of 244 Fifth Avenue, Suite N-249 New York, N.Y. 10001 USA to provide a marketing campaign that includes cost per click advertising, media buying and content distribution, search engine marketing, content creation, web development, advertising creative development, search engine optimization, campaign optimization, and reporting and data insights services, in exchange for total retainer cash compensation of US$75,000. The agreement commenced on February 17<sup>th</sup>, 2025 and has been renewed on February 10<sup>th</sup>, 2026 for an additional term of up to twelve months or until the retainer is depleted. Native Ads can be contacted at support@nativeads.com or by telephone at 1-866-773-3540.

● Plutus Invest & Consulting GmbH with a business address of Buchstrasse 13, Bremen 28195, Germany, to provide design and implementation of an advertisement-based investor awareness campaign focused on the European investment market, primarily through digital marketing, digital advertising, email distribution, and on popular online investor platforms, in exchange for cash compensation of €100,000. The agreement between the Company and Plutus commences on February 6<sup>th</sup>, 2026 for a term of twelve months following its execution, with the option to extend or renew upon mutual agreement. Plutus can be contacted at <u>contact@plutusinvest.de</u> or by telephone at +49 421 17540174.

**About Bitzero Holdings Inc.**

*# # # # #*

**Bitzero Investor Contact**

Mohammed Bakhashwain

+44 777 303 0394

investors@bitzero.com

**Bitzero Press Contact**

Amy Dardinger

<u>bitzero@nextpr.com</u>

***Forward-Looking Information Disclaimer***

This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable Canadian securities laws. Forward-looking information in this release includes, but is not limited to, statements regarding: the Company's business plans and objectives; the Company's relationship with i2i, Native Ads, and Plutus; the impact of i2i, Native Ads, and Plutus on the Company; the Company's growth strategy; the Company's ability to create shareholder value; and other statements regarding future events, performance, or results.

Forward-looking information is based on management's reasonable assumptions at the date such statements are made, including, but not limited to: the Company will be able to fund the cash consideration required in the applicable agreements as and when required; i2i, Native Ads, and Plutus will perform the services contemplated by their agreements in a timely and satisfactory manner; i2i, Native Ads, and Plutus' engagements with the Company will have the intended effect; the Company and i2i, Native Ads, and Plutus will work positively together in compliance with applicable laws and exchange requirements; and the absence of material adverse changes in applicable laws, regulations, or the business environment.

Forward-looking information is subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking information. These risks and uncertainties include, but are not limited to: the risk that one or more of the service providers does not perform its obligations as anticipated, or that the scope, timing, or effectiveness of the services differs from the Company's expectations; the risk that the Company modifies suspends or terminates one or more of the engagements due to business considerations, regulatory considerations or market conditions; risks inherent in IT infrastructure and cryptocurrency mining businesses; fluctuations in power costs, Bitcoin prices, and network difficulty; reliance on key personnel; risks related to insurance, litigation, and regulatory compliance; risks associated with the Company's limited operating history and ability to manage growth; risks relating to political and economic conditions; local laws may impact Bitzero's business; and other risks described under "Risk Factors" in the Company's public disclosure documents available on SEDAR+ at **<u>www.sedarplus.ca</u>**.

Readers are cautioned not to place undue reliance on forward-looking information. Except as required by applicable law, the Company undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, future events, or otherwise.

## Exhibit 99.84

**Exhibit 99.84**

**FORM 51-102F3**

**MATERIAL CHANGE REPORT**

**Item 1 – Name and Address of Company**

Bitzero Holdings Inc. (formerly WBM Capital Corp.) (the "**Company**" or "**Bitzero**")

1100 One Bentall Centre

505 Burrard Street, Suite 1100

Vancouver, British Columbia

V7X 1M5

**Item 2 – Date of Material Change**

February 10, 2026

**Item 3 – News Release**

A news release announcing the material change was disseminated by the Company on February 10, 2026, through Newsfile and filed on SEDAR+.

**Item 4 – Summary of Material Change**

On February 10, 2026, the Company announced the engagement of an investor relations service provider and extension of agreements with existing investor relations service providers.

**Item 5 – Full Description of Material Change**

Pursuant to the respective contract terms detailed below, the Company entered into agreements with three investor relations firms on the terms outlined below. Each of the named firms is an arm's-length party to the Company, holds no securities of the Company and has no right or intent to acquire any as part of their agreements with Bitzero.

All compensation for services pursuant to the following agreements will be paid in cash, and no securities will be issuable pursuant to these agreements.

Details of the agreements are as follows:

● i2i Marketing Group, LLC with a business address of 1107 Key Plaza, Suite 222, Key West, FL 33040, USA to provide marketing services including social media management, content creation, distribution, digital marketing, digital advertising and any other marketing services as agreed upon by the Company for distribution by email and on popular online investor platforms, in exchange for cash compensation of US$125,000. The agreement commenced on September 30th, 2025 and has been renewed on February 10th, 2026 for a period of six months or until the retainer is depleted. I2i can be at contact@i2illc.com or by telephone at (240) 315-4665.

● Native Ads, Inc. with a business address of 244 Fifth Avenue, Suite N-249 New York, N.Y. 10001 USA to provide a marketing campaign that includes cost per click advertising, media buying and content distribution, search engine marketing, content creation, web development, advertising creative development, search engine optimization, campaign optimization, and reporting and data insights services, in exchange for total retainer cash compensation of US$75,000. The agreement commenced on February 17th, 2025 and has been renewed on February 10th, 2026 for an additional term of up to twelve months or until the retainer is depleted. Native Ads can be contacted at support@nativeads.com or by telephone at 1-866-773-3540.

● Plutus Invest & Consulting GmbH with a business address of Buchstrasse 13, Bremen 28195, Germany, to provide design and implementation of an advertisement-based investor awareness campaign focused on the European investment market, primarily through digital marketing, digital advertising, email distribution, and on popular online investor platforms, in exchange for cash compensation of €100,000. The agreement between the Company and Plutus commences on February 6th, 2026 for a term of twelve months following its execution, with the option to extend or renew upon mutual agreement. Plutus can be contacted at contact@plutusinvest.de or by telephone at +49 421 17540174.

**Item 6 – Reliance on Subsection 7.1(2) or (3) of National Instrument 51-102**

This material change report is not being filed on a confidential basis.

**Item 7 – Omitted Information**

No information has been omitted on the basis that it is confidential information.

**Item 8 – Executive Officer**

Mohammed Bakhashwain

Chief Executive Officer

Bitzero Holdings Inc.

Email: investors@bitzero.com

Tel: +44 777 303 0394

**Item 9 – Date of Report**

February 19, 2026

## Exhibit 99.85

**Exhibit 99.85**

**BITZERO HOLDINGS INC. <br> (FORMERLY WBM CAPITAL CORP.)**

Interim Condensed Consolidated Financial Statements <br> For the three-month

period ended December 31, 2025 and December 31, 2024 <br> (expressed in United States Dollars, unless otherwise stated)

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

**Table of Contents**

For the three-month period ended December 31, 2025 and December 31, 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

Interim Condensed Consolidated Statements of Loss and Comprehensive Loss 3

Interim Condensed Consolidated Statements of Financial Position 4

Interim Condensed Consolidated Statements of Changes in Shareholder's Equity 5

Interim Condensed Consolidated Statements of Cash Flows 6

Notes to the Consolidated Financial Statements 7-37<br>

Page **2** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Interim condensed consolidated statement of loss and comprehensive loss

For the three-month period ended December 31, 2025 and December 31, 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

---

| | |
|:---|:---|
|  | Note |
| &nbsp;&nbsp;Revenue from digital assets mined | 6 |
| &nbsp;&nbsp;Direct costs | 7 |
| &nbsp;&nbsp;Administrative expenses | 8 |
| &nbsp;&nbsp;Finance costs | 9 |
| &nbsp;&nbsp;l'v1arketing expenses | 10 |
| &nbsp;&nbsp;Operating loss before other items |  |
| &nbsp;&nbsp;Share-based expenses  | 11 |
| &nbsp;&nbsp;Foreign exchange (gain) loss |  |
| &nbsp;&nbsp;Realized loss (gain) from sale of digital currency | 12 |
| &nbsp;&nbsp;Loss on contract settlement |  |
| &nbsp;&nbsp;Gain on derivative financial instruments | 21(c),21(d) |
| &nbsp;&nbsp;Loss before income taxes |  |
| &nbsp;&nbsp;Income tax | 13 |
| &nbsp;&nbsp;**Net loss** |  |
| &nbsp;&nbsp;Revaluation loss (gains) on digital currency  | 12 |
| &nbsp;&nbsp;(Gain) loss on translation of foreign operations |  |
| &nbsp;&nbsp;**Total comprehensive loss** |  |
| &nbsp;&nbsp;**Loss per share** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted | 13 |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;*The accompanying notes form an integral part of these consolidated financial statements* | Page **3** of **37** |

---

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Interim condensed consolidated statement of financial position

As at December 31, 2025 and September 30, 2025

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

---

| | | | |
|:---|:---|:---|:---|
|  | <br>Note | December 31,<br>2025 | September 30,<br>2025 |
| &nbsp;&nbsp;**ASSETS** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Non-current* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property, plant and equipment | 18 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction in progress | 16, 18 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Right-of-use assets | 19 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted cash | 21(c) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits, non-current portion |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Current* | &nbsp;&nbsp;&nbsp;&nbsp;*Current* | &nbsp;&nbsp;&nbsp;&nbsp;*Current* | &nbsp;&nbsp;&nbsp;&nbsp;*Current* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable | 17 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | 22 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Digital currency | 12 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash held in trust |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents |  |  |  |
| &nbsp;&nbsp;**TOTAL ASSETS** |  |  |  |
| &nbsp;&nbsp;**EQUITY AND LIABILITIES**  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Equity* | &nbsp;&nbsp;&nbsp;&nbsp;*Equity* | &nbsp;&nbsp;&nbsp;&nbsp;*Equity* | &nbsp;&nbsp;&nbsp;&nbsp;*Equity* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 23 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contributed surplus | 12,21(c),21(d) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Debenture reserve | 20(c) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated losses |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Total equity* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Non-current liabilities*  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, non-current portion | 21(a) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, non-current portion | 21(c) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease liability, non-current portion | 21(b) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Convertible promissory note | 21(d) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Current liabilities* | &nbsp;&nbsp;&nbsp;&nbsp;*Current liabilities* | &nbsp;&nbsp;&nbsp;&nbsp;*Current liabilities* | &nbsp;&nbsp;&nbsp;&nbsp;*Current liabilities* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables | 20(a),21(a) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent consideration payable | 14 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, current portion | 21(a) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans payable, current portion | 21(c) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Related party advances | 20(a) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Convertible debentures | 20(c) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Derivative liability | 21(b),21(d) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Total liabilities* |  |  |  |
| &nbsp;&nbsp;***TOTAL EQUITY AND LIABILITIES*** |  |  |  |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;GOING CONCERN  | 2(b) |
| &nbsp;&nbsp;CONTINGENT LIABILITIES | 24 |
| &nbsp;&nbsp;SUBSEQUENT EVENTS | 27 |
| &nbsp;&nbsp;**APPROVED ON BEHALF OF THE BOARD** |  |

---

*Mohammed Sa/ah S. Bakhashwain*

---

| | |
|:---|:---|
| &nbsp;&nbsp;*The accompanying notes form an integral part of these consolidated financial statements* | Page **4** of **37** |

---

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Interim condensed consolidated statement of changes in shareholders' equity

For the three-month periods ended December 31, 2025 and December 31, 2024

*(Unaudited* - *Expressed in United States Dollars, unless otherwise noted)*

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Note | Share <br> capital | Contributed<br>surplus | Debenture <br> reserve | Accumulated other comp-rehensive<br>loss | Accumulated<br>losses | Total <br> equity |
|  |  |  | $— |  | $— |  | $|
| &nbsp;&nbsp;Balance at September 30, 2024 |  |  |  |  |  |  | 13825030 |
| &nbsp;&nbsp;Subscriptions | 23(a) |  |  |  |  |  | 4703000 |
| &nbsp;&nbsp;Exercised RSUs | 11(a) |  |  |  |  |  |  |
| &nbsp;&nbsp;Share based expenses | 11 |  |  |  |  |  | 50000 |
| &nbsp;&nbsp;Total comprehensive loss for the year |  |  |  |  |  |  | (5758980) |
| &nbsp;&nbsp;Balance, at December 31, 2024 |  |  |  |  |  |  | 12819050 |
| &nbsp;&nbsp;Balance, at September 30, 2025 |  |  |  |  |  |  | 12850711 |
| &nbsp;&nbsp;Share based expenses | 11, 20(a) |  |  |  |  |  | 12708387 |
| &nbsp;&nbsp;Exercised RSUs | 11, 23(b) |  |  |  |  |  |  |
| &nbsp;&nbsp;Exercised warrants | 20(c),21(d) |  |  |  |  |  | 195873 |
| &nbsp;&nbsp;Exercised convertible debt | 20(d) |  |  |  |  |  | 264018 |
| &nbsp;&nbsp;Shares issued for services | 11, 23(b) |  |  |  |  |  | 11983 |
| &nbsp;&nbsp;Subscriptions | 23(a) |  |  |  |  |  | 607707 |
| &nbsp;&nbsp;Issuance of warrants | 20(c),20(d),23(d) |  |  |  |  |  | 11703723 |
| &nbsp;&nbsp;Total comprehensive loss for the year |  |  |  |  |  |  | (12096767) |
| &nbsp;&nbsp;Balance, at December 31, 2025 |  |  |  |  |  |  | 26245635 |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;*The accompanying notes form an integral part of these consolidated financial statements* | Page **5** of **37** |

---

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Interim condensed consolidated statement of cash flows

For the three-month periods ended December 31, 2025 and December 31, 2024

*(Unaudited* - *Expressed in United States Dollars, unless otherwise noted)*

---

| | |
|:---|:---|
|  | 2024 |
|  | $ |
| &nbsp;&nbsp;**CASH FROM (USED IN) OPERATING ACTIVITIES** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss for the period |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Adjustment for non-cash items:* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based expenses |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of property, plant and equipment |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of right-of-use assets |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued for services rendered |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Recognition of ROU asset |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Recognition of lease liability |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on long-term debt |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on settlement liability |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on convertible debt |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Equity classification of loan proceeds |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on lease liability |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating cash flow before changes in non-cash working capital |  |
| &nbsp;&nbsp;&nbsp;&nbsp;*Adjustment for non-cash oorking capital:* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indirect taxes recoverable |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaids and deposits |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Digital currencies |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts and other payables |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement liability, current portion |  |
| &nbsp;&nbsp;**CASH (USED IN) FROM INVESTING ACTIVITIES** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchase of property, plant, and equipment |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds on sale of digital assets |  |
| &nbsp;&nbsp;**CASH FROM (USED IN) FINANCING ACTIVITIES** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Issuance of common shares |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Payment of settlement liability |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment on long term debt |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Loan proceeds received, net |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Advance (repayment) of related party balances |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of lease liability |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash interest paid |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Convertible promissory note proceeds |  |
| &nbsp;&nbsp;**Net change in cash and cash equivalents** |  |
| &nbsp;&nbsp;Cash held in trust, beginning of period |  |
| &nbsp;&nbsp;Cash and cash equivalents, beginning of period |  |
| &nbsp;&nbsp;Effects of exchange rate changes on cash and cash equivalents |  |
| &nbsp;&nbsp;Cash held in trust, end of period |  |
| &nbsp;&nbsp;Cash and cash equivalents, end of period |  |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;*The accompanying notes form an integral part of these consolidated financial statements* | Page **6** of **37** |

---

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

1. GENERAL
 INFORMATION

Bitzero Holdings Inc. (the "Company" or "Bitzero") was incorporated under the Canada Business Corporations Act on August 26, 2006 and was continued into British Columbia under the Business Corporations Act (British Columbia) on June 4, 2024. The Company's head and registered office is located at Suite 1100, One Bentall Centre, 505 Burrard Street, Vancouver, British Columbia V7X 1M5.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity that is a wholly owned subsidiary of Bitzero Holdings Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

(a) <u>Reverse takeover</u> 

On November 19, the Company completed a reverse takeover transaction pursuant to the terms of an amalgamation agreement dated November 3, 2025, among WBM Capital Corp. ("WBM"), 1555476 B.C. Ltd. ("155 BC"), a wholly owned subsidiary of WBM, and Bitzero Blockchain Inc. ("Blockchain"). Under the transaction, Blockchain amalgamated with 155 BC to form an amalgamated corporation that become a wholly owned subsidiary of WBM. In connection with the transaction, WBM changed its corporate name to "Bitzero Holdings Inc." and the Company completed a 10-for-1 common share consolidation. All share and per share information presented in these condensed interim financial statements have been adjusted retrospectively to reflect the share consolidation.

2. BASIS
OF PREPARATION

(a) <u>Statement of compliance</u> 

The interim condensed consolidated financial statements of the Company have been prepared in accordance with International Accounting Standards ("IAS") 34 - Interim Financial Reporting prepared using accounting policies consistent with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations of the IFRS Interpretations Committee ("IFRIC"). These interim condensed consolidated financial statements do not include all of the information required for full annual consolidated financial statements and should be read in conjunction with the audited consolidated financial statements for the year ended September 30, 2025. These interim condensed consolidated financial statements were approved by the Board of Directors on February 24, 2026.

(b) <u>Going concern</u> 

The directors have, at the time of approving the interim condensed consolidated financial statements, a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the consolidated financial statements.

Page **7** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

2. BASIS
OF PREPARATION (CONT'D)

(b) <u>Going concern (cont'd)</u> 

As at December 31, 2025, the Company had an accumulated deficit of $93,664,418 (2025 - $81,579,828) and has working capital surplus of $1,353,889 (2025 - deficit of $6,350,676). Whether and when the Company can generate sufficient cash flows to pay for its expenditures and settle its obligations as they fall due is uncertain.

To address the going concern risk, the Company continues to seek equity financing alternatives to support ongoing operations, monitor general and administrative expenses compared to budget, and optimize its operating processes. Further details regarding subsequent equity raises are provided in **Note 25** **.**

(c) <u>Basis of consolidation</u> 

These interim condensed consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee.

lntercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity.

The accounting policies of subsidiaries are the same as those of the Company.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;Subsidiary | &nbsp;&nbsp;Ownership at 31-Dec-25 | &nbsp;&nbsp;Ownership at 30-Sep-25 | &nbsp;&nbsp;Country of incorporation |
| &nbsp;&nbsp;Bitzero Blockchain Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Canada |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Bitzero ND II | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Zetanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Finland Oy | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Finland |

---

(d) <u>Presentation and functional currency</u> 

These interim condensed consolidated financial statements are presented in United States Dollars ("$"), which is the Company's functional currency. Foreign operations are included in accordance with the policies set out in **Note 5** **.** The functional currency of all subsidiaries is the United States Dollar except for Exanorth and Zetanorth AS, whose functional currency is the Norwegian Krone ("kr") and Bitzero Finland Oy, whose functional currency is the Euro ("€").

Page **8** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

3. MATERIAL
ACCOUNTING POLICY INFORMATION

(a) <u>New and revised IFRS Accounting Standards in issue but not yet effective</u> 

At the date of authorisation of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

IFRS 18: Presentation and Disclosure in Financial Statements

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The Company is in the process of reviewing the impact of IFRS 18 on its consolidated financial statements in future periods.

4. REVERSE
TAKEOVER

On November 19, 2025, the Company completed a reverse takeover transaction (the "Reverse Takeover") pursuant to the terms of an amalgamation agreement dated November 3, 2025, among WBM, 155 BC, a wholly owned subsidiary of WBM, and Blockchain. The Reverse Takeover was completed by way of a triangular amalgamation under the Business Corporations Act (British Columbia) whereby Blockchain amalgamated with 155 BC to form the amalgamated corporation, which became a wholly owned subsidiary of WBM.

(a) <u>Accounting for the Reverse Takeover</u> 

Although WBM is the legal parent, Blockchain is the accounting acquirer because the former shareholders of Blockchain obtained control of the combine entity following completion of the Reverse Takeover. Accordingly, these condensed consolidated interim financial statements are presented as a continuation of Blockchain, and the comparative figures presented are those of Blockchain and its subsidiaries.

The Company determined that WBM did not meet the definition of a business for accounting purposes. As a result, the Reverse Takeover is not accounted for as a business combination. Instead, the transaction is accounted for as a share-based payment in accordance with IFRS 2, whereby Blockchain is deemed to have issued equity instruments in exchange for (i) the identifiable net assets of WBM and (ii) the service of obtaining WBM's public listing status. The excess of the fair value of the deemed equity instruments issued over the fair value of the identifiable net assets acquired is recognized as a listing expense in profit or loss.

As part of the Reverse Takeover, the Company completed a 10-for-1 common share consolidation. All share and per share information presented in these condensed consolidated interim financial statements has been adjusted retrospectively to reflect the share consolidation.

Page **9** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

4. REVERSE
TAKEOVER (CONT'D)

(b) <u>Deemed consideration and listing expense</u> 

For purposes of accounting for the Reverse Takeover, the fair value of the consideration deemed transferred was measured by reference to the fair value of WBM common shares held by WBM's pre-transaction shareholders immediately following completion of the Reverse Takeover. WBM had 250,000 common shares issued and outstanding immediately prior to the Reverse Takeover and issued an additional 4,112,954 common shares prior to completion of the Reverse Takeover to settle indebtedness, resulting in 4,362,954 WBM common shares outstanding.

The fair value of the deemed consideration was calculated as 4,362,954 WBM common shares multiplied by an estimated fair value per share of approximately $0.0355 (USD), resulting in total deemed consideration of $154,886. The Company acquired cash of $11,984 as the identifiable net assets of WBM. WBM accounts payable of $94,068 was settled as part of the transaction steps and was not assumed at the Reverse Takeover date. The excess of the deemed consideration over the identifiable net assets acquired was recognized as a listing expense.

A summary of the consideration and net assets acquired is as follows:

---

| | |
|:---|:---|
|  | Amount |
|  | $|
| &nbsp;&nbsp;Fair value of deemed consideration (WBM shares) | 154886 |
| &nbsp;&nbsp;Fair value of consideration acquired Cash | 11984 |
| &nbsp;&nbsp;Excess of deemed consideration over net assets acquired | 142902 |

---

(c) <u>Equity presentation</u> 

For equity presentation purposes, the consolidated share capital structure reflects that of WBM as the legal parent, while the retained earnings (accumulated deficit) and other reserves reflect those of Blockchain immediately prior to the Reverse Takeover. WBM's pre-combination equity balances do not carry forward in the consolidated financial statements.

5. OPERATING
SEGMENTS

In measuring its performance, the Company does not distinguish or group its operations on a geographical or any other basis and accordingly has a single reportable operating segment. Management has applied judgment by aggregating its operating segments into one single reportable segment for disclosure purposes. Such judgment considers the nature of the operations and an expectation of operating segments within a reportable segment with similar long-term economic characteristics.

The Company's Chief Executive Officer is the chief operating decision-maker and regularly reviews the Company's operations and performance on an aggregate basis. The Company does not have any significant customers or any significant groups of customers.

Page **10** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

5. OPERATING
SEGMENTS (CONT'D)

For the periods ended December 31, 2025 and 2024, the Company presents one reportable operating segment as the entirety of the Company's non-current assets are domiciled in Norway and the entirety of the Company's revenue is generated from its operations in Norway.

While non-operating liabilities and equity financing activities are primarily located in North America, this geographic distinction does not alter the conclusion that the Company has a single reportable segment.

6. REVENUE

The Company derives its revenue from contracts with customers for the transfer of services. The provision of digital asset mining services are recognized over time.

7. DIRECT
COSTS

---

| | | | |
|:---|:---|:---|:---|
|  | For the 3 months ended 31-Dec-25 | For the 3 months ended 31-Dec-24 | For the 3 months ended 31-Dec-24 |
|  |  | $— | $|
| &nbsp;&nbsp;Utilities |  |  | 2687450 |
| &nbsp;&nbsp;Depreciation of property, plant and equipment |  |  | 3031085 |
| &nbsp;&nbsp;Amortization of right-of-use assets |  |  | 214642 |
| &nbsp;&nbsp;Salaries and wages |  |  | 65163 |
| &nbsp;&nbsp;Remote monitoring and support services |  |  | 29388 |
| &nbsp;&nbsp;Small equipment rental |  |  | 35075 |
|  |  |  | 6062803 |

---

Page **11** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**8.** **ADMINISTRATIVE EXPENSES** 

---

| | | | |
|:---|:---|:---|:---|
|  | | For the 3 months<br>ended | For the 3 months<br>ended |
|  | For the 3 months <br>ended<br>31-Dec-25 | 31-Dec-24 | 31-Dec-24 |
|  |  | $— | $|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Legal fees |  |  | 594714 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consulting fees |  |  | 387555 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Occupancy costs |  |  | 22037 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Travel |  |  | 60032 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees |  |  | 111059 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insurance |  |  | 19256 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subcontracts |  |  | 21247 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office and general |  |  | 11770 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlements and penalties |  |  | 58426 |
|  |  |  | 1286096 |

---

9. **FINANCE COSTS** 

---

| | | |
|:---|:---|:---|
|  | For the 3 months<br>ended<br>31-Dec-25 | For the 3 months<br>ended<br>31-Dec-24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on loans and other payables |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bank charges |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on lease liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance income |  |  |

---

**10.** **MARKETING EXPENSES** 

---

| | | |
|:---|:---|:---|
|  | For the 3 months<br> ended<br>31-Dec-25 | For the 3 months<br> ended<br>31-Dec-24 |
|  | $| $|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Public relations | 390701 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;rv1arketing and promotion | 37673 | 250000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | 22639 | 16404 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advertising |  | 8805 |
|  | 451013 | 275209 |

---

Page **12** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

11. SHARE-BASED
EXPENSES

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | For the 3 months | For the 3 months |
|  | | | ended | ended |
|  | <br>Note | For the 3 months<br>ended<br>31-Dec-25 | 31-Dec-24 | 31-Dec-24 |
|  |  |  | $— | $|
| &nbsp;&nbsp;Restricted stock units | (a) |  |  |  |
| &nbsp;&nbsp;Stock options | 23(c) |  |  |  |
| &nbsp;&nbsp;Shares issued for services | 4, 21(b) |  |  | 50000 |
|  |  |  |  | 50000 |

---

(a) <u>Restricted stock units</u> 

The Company's 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee. RSUs are equity-settled and, upon vesting, are settled through the issuance of common shares of the Company, net of any statutory withholdings, where applicable.

The purchase price for common shares of the Company issuable under each Restricted Share Unit (''RSU") award, if any, shall be established by the Board at its discretion. Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board.

The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

In connection with the reverse takeover transaction completed during the period, outstanding RSUs were adjusted to represent rights to receive common shares of the legal parent and were subject to the 10-for-1 consolidation in accordance with the transaction terms.

Page **13** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**11.** **SHARE-BASED EXPENSES (CONT'D)** 

(a) <u>Restricted stock units (cont'd)</u> 

A continuity of RSUs is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | RSUs<br>Granted | RSUs<br>Vested | <br>Amount |
|  | # | # |  |
| &nbsp;&nbsp;September 30, 2024 | 34596100 | 12571233 |  |
| &nbsp;&nbsp;Issued |  |  |  |
| &nbsp;&nbsp;Vested |  |  |  |
| &nbsp;&nbsp;<br>Exercised  | (3000000) | (3000000) |  |
|  | 31596100 | 9571233 |  |
| &nbsp;&nbsp;Share consolidation ratio | 0.10 | 0.10 |  |
| &nbsp;&nbsp;December 31, 2024 | 3159610 | 957123 |  |
| &nbsp;&nbsp;September 30, 2025 | 48476100 | 9571233 |  |
| &nbsp;&nbsp;Issued  | 1000000 |  |  |
| &nbsp;&nbsp;Vested |  | 35654867 |  |
| &nbsp;&nbsp;Exercised | (45226100) | (45226100) |  |
|  | 4250000 |  |  |
| &nbsp;&nbsp;Share consolidation ratio | 0.10 | 0.10 |  |
| &nbsp;&nbsp;December 31, 2025 | 425000 |  |  |

---

During the period ended December 31, 2025, share-based compensation expense for the Company's RSUs was $11,344,064 (2024 - nil). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the underlying equity, with the following weighted-average assumptions:

---

| | |
|:---|:---|
|  | Oct 14, 2025 |
| &nbsp;&nbsp;Estimated stock price at time of grant | $0.40 |
| &nbsp;&nbsp;Number of periods to exercise, in years | 0.10 |
| &nbsp;&nbsp;Compounded risk-free rate | n/a |
| &nbsp;&nbsp;Dividend yield | 0.00% |
| &nbsp;&nbsp;Exercise price | $— |
| &nbsp;&nbsp;Volatility | 115% |
| &nbsp;&nbsp;Discount for lack of marketability | 0.00% |

---

As at December 31, 2025 a total of 425,000 had vested and were outstanding (2024 - 9,571,233 RSUs on a pre-consolidation basis, equivalent to 957,123 on a post-consolidation basis).

12. DIGITAL
CURRENCY

The Company holds digital currencies, consisting of Bitcoin cryptocurrency, which are accounted for as intangible assets with an indefinite useful life in accordance with IAS 38. The digital currencies are initially recognized at cost and subsequently measured at fair value.

Page **14** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**12.** **DIGITAL CURRENCY (CON'TD)** 

The Company revalues its digital currencies at the end of each reporting period based on their fair value. The fair value is determined using the quoted price in an active market at the reporting date. Any revaluation gain or loss arising from changes in the fair value is recognized in the consolidated statements of loss and comprehensive loss.

The table below reconciles the opening and ending balances of digital assets in USD:

---

| | |
|:---|:---|
|  | Coins |
|  | # |
| &nbsp;&nbsp;Balance, as at September 30, 2024 | 38.01 |
| &nbsp;&nbsp;Cryptocurrency mined, net of pool mining fees | 256.76 |
| &nbsp;&nbsp;Sold | (284.40) |
| &nbsp;&nbsp;Other<sup>1</sup> | (2.76) |
| &nbsp;&nbsp;Foreign exchange adjustment |  |
| &nbsp;&nbsp;Realized gain |  |
| &nbsp;&nbsp;Revaluation gain |  |
| &nbsp;&nbsp;Balance, as at September 30, 2025 | 7.61 |
| &nbsp;&nbsp;Cryptocurrency mined, net of pool mining fees | 75.71 |
| &nbsp;&nbsp;Sold | (70.01) |
| &nbsp;&nbsp;Other | 4.40 |
| &nbsp;&nbsp;Foreign exchange adjustment |  |
| &nbsp;&nbsp;Realized gain |  |
| &nbsp;&nbsp;Revaluation gain |  |
| &nbsp;&nbsp;Balance, as at December 31, 2025 | 17.71 |

---

<sup>1</sup>In December 2024, a lender paid $917,075 in the form of 9.21 BTC to a supplier on behalf of the Company. In June 2025, the Company repaid the lender $1,254,048 in the form of 11.97 BTC which included interest of $336,973.

**13.** **INCOME TAX** 

The Company has assessed its tax position as at September 30, 2025, and for the year then ended. Based on this assessment, the Company has determined that there is no income tax expense for the current reporting period.

The reconciliation of the Canadian statutory income tax rate to the effective tax rate is as follows:

---

| | | |
|:---|:---|:---|
|  | 2025 | 2024 |
| &nbsp;&nbsp;Net loss before income taxes | (12084590) | (6163330) |
| &nbsp;&nbsp;Statutory tax rate | 26.5% | 26.5% |
| &nbsp;&nbsp;Statutory income tax recovery | (3202416) | (1633282) |
| &nbsp;&nbsp;Non-deductible expenses |  |  |
| &nbsp;&nbsp;Non-taxable income |  |  |
| &nbsp;&nbsp;Tax loss carry forward | (3202416) | (1633282) |
| &nbsp;&nbsp;Non-recognition of income tax recovery on losses | 3202416 | 1633282 |
| &nbsp;&nbsp;Income tax expense |  |  |

---

Page **15** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

13. INCOME
TAX (CONT'D)

The Company performs its income tax reconciliation using the effective income tax rate of the parent, which is 26.5%. The Company's operating subsidiary's effective income tax rate is 22%. A continuity of losses at the parent level is as follows:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;Year of losses | Year of expiry | Amount |
|  |  | $ |
| &nbsp;&nbsp;2021 | 2041 | 4251671 |
| &nbsp;&nbsp;2022 | 2042 | 10096810 |
| &nbsp;&nbsp;2023 | 2043 | 3235798 |
| &nbsp;&nbsp;2024 | 2044 | 1633282 |
| &nbsp;&nbsp;2025 | 2045 | 4385311 |
| &nbsp;&nbsp;2026 | 2046 | 3202416 |
|  |  | 26805289 |

---

The Company recognizes a valuation allowance in the full amount of the tax loss carry forward as at December 31, 2025 and 2024.

In accordance with IAS 12, Income Taxes, the Company recognizes deferred tax assets only when it is probable that sufficient taxable profit will be available against which the deductible temporary differences and the carry-forward of unused tax credits can be utilized. As of the reporting date, the Company concluded that such criteria were not met. Due to the uncertainty regarding the realization of deferred tax assets in future periods, the Company has not recognized any deferred tax assets in the consolidated financial statements.

14. ACQUISITIONS

(a) <u>Exanorth AS</u> 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth AS, along with various rights to lease real estate property on which Exanorth AS conducted its operations, for aggregate consideration of $12,556,913. The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.1577 to 1.1761 years; and the dividend yield was set at 0%.

Call options on 66% of Exanorth AS were exercised in conjunction with a Share Purchase Agreement and its subsequent amendments dated October 22, 2021 and included transfers of common shares of the Company, deferred cash consideration, settlement of pre-existing loans, and transaction costs, totaling $8,457,415 in aggregate fair market value.

The remaining 34% was acquired by way of execution of a call option on the remaining 102 shares in Exanorth AS on October 29, 2021 which required the Company to pay $2,547,160 prior to February 25, 2022. Considering the short amount of time before execution of the option and the payment of consideration, no discount was applied.

Page **16** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

14. ACQUISITIONS
(CONT'D)

(a) <u>Exanorth AS (cont'd)</u> 

As part of consideration in the acquisition of the 34%, contingent consideration, dependent on future performance of the Company in the public market, was included and presented as a liability. As the contingent consideration would only result in additional cash consideration to be paid in such an event, management concluded that the acquisition of Exanorth AS had completed.

Its fair value was determined to be $1,552,338 based on a third-party valuation report along with management's best estimate of the likelihood of occurrence of said future performance at the reporting date. The contingent consideration was revalued during 2023 to $1,760,547 resulting in a gain of $139,453.

As at December 31, 2025 (2024 - nil), there has been no further change to the fair value of the contingent consideration, as there have been no changes in the underlying circumstances affecting management's previous estimate of fair value.

(b) <u>Bitzero Finland Oy</u> 

On January 23, 2025, the Company purchased 100 shares of Bitzero Finland Oy (formerly Ahold XVIII Oy), domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

15. LOSS
PER SHARE

---

| |
|:---|
| &nbsp;&nbsp;Basic net loss per share |
| &nbsp;&nbsp;&nbsp;&nbsp;Numerator |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss attributable to shareholders |
| &nbsp;&nbsp;&nbsp;&nbsp;Denominator |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average common shares outstanding |
| &nbsp;&nbsp;Basic net loss per share attributable to shareholders |
| &nbsp;&nbsp;Diluted net loss per share attributable to shareholders |

---

All per share amounts and weighted-average common shares outstanding have been adjusted retrospectively to reflect the 10-for-1 share consolidation effected during the period.

16. CONSTRUCTION
IN PROGRESS

Construction in progress consists of buildings, utilities and other infrastructure which is in the process of being constructed for use in continuing operations. As at and for the period ended December 31, 2025, these assets have not yet been deployed in the active business, and as such have not been amortized.

Refer to **Note 18** for these details.

Page **17** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**17.** **INDIRECT TAXES RECOVERABLE** 

Indirect taxes recoverable consists of all accounts tracking value-added taxes payable and recoverable

---

| | | |
|:---|:---|:---|
|  | December 31,<br>2025 | September 30,<br>2025 |
| &nbsp;&nbsp;VAT recoverable |  |  |
| &nbsp;&nbsp;GST/HST recoverable |  |  |
| &nbsp;&nbsp;Advance tax withholding |  |  |

---

The VAT recoverable was derived from the business operations of Exanorth. The GST/HST recoverable is derived from the portion of sales taxes paid by Bitzero Blockchain Inc. that are eligible for recovery in connection with its role as a management company providing services to the Company during the period ended December 31, 2025 and 2024.

Page **18** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**18.** **PROPERTY, PLANT AND EQUIPMENT** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Land | Buildings | Private utilities | Technology infrastructure | Mining Equipment | Sub-total | Construction-in-progress | Total |
|  |  | $— |  |  | $— |  |  |  |
| &nbsp;&nbsp;**COST** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Additions *(Note (a))* |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Translation adjustments |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Additions |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Disposals |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Translation adjustments |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, December 31, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**ACCUMULATED AMORTIZATION** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Additions |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Translation adjustments |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Additions |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Translation adjustments |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, December 31, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**ACCUMULATED IMPAIRMENT** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, December 31, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**NET BOOK VALUE** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2024** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, September 30, 2025** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Balance, December 31, 2025** |  |  |  |  |  |  |  |  |

---

Page **19** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

19. RIGHT-OF-USE
ASSETS

Exanorth AS previously held a right-of-use asset arises from a contract to lease equipment to be deployed and utilized at the data mining center. This right-of-use asset was depreciated using straight-line method from the commencement date of the lease to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term, which is 34 months. This lease was cancelled as part of the settlement agreement with the customer during the period ended September 30, 2025.

The Company's right-of-use assets also includes office leases entered into by Bitzero ND I, LLC and Bitzero ND **11,** LLC. These office leases are for the North Dakota office space locations which have been leased for a period of 60 months. The lease for Bitzero ND **11,** LLC was cancelled during the year ended September 30, 2024. The lease for Bitzero ND I LLC was cancelled during the year ended September 30, 2025, resulting in a loss of $113,089.

The following tables summarize the Company's right-of-use assets:

---

| | | | |
|:---|:---|:---|:---|
|  | Opening | Additions | Closing |
| &nbsp;&nbsp;*December 31, 2025* | balance | (dispositions) | balance |
|  |  | $— |  |
| &nbsp;&nbsp;**COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Mining equipment |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
| &nbsp;&nbsp;**ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Mining equipment |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
| &nbsp;&nbsp;**NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Mining equipment |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |

---

Page **20** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**19.** **RIGHT-OF-USE ASSETS (CONT'D)** 

---

| | | | |
|:---|:---|:---|:---|
|  | Opening | Additions | Closing |
| &nbsp;&nbsp;*September 30, 2025* | balance | (dispositions) | balance |
|  |  | $— | $|
| &nbsp;&nbsp;**COST** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
| &nbsp;&nbsp;**ACCUMULATED AMORTIZATION** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |
| &nbsp;&nbsp;**NET BOOK VALUE** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transformer housing and container for Exanorth |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND I |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Office space for ND II |  |  |  |

---

20. RELATED
PARTY DISCLOSURES

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the periods ended December 31, 2025 and 2024, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | |
|:---|:---|:---|
|  | For the 3 months<br>ended<br>31-Dec-25 | For the 3 months<br>ended<br>31-Dec-24 |
| &nbsp;&nbsp;Total compensation paid to key management | 166433 | 123888 |
| &nbsp;&nbsp;Share-based payments | 7776463 |  |
|  | 7942896 | 123888 |

---

Page **21** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

20. RELATED
PARTY DISCLOSURES (CONT'D)

(a) <u>Key management personnel transactions (cont'd)</u> 

As of December 31, 2025 and September 30, 2025, amounts due to related parties consisted of the following:

---

| | | | |
|:---|:---|:---|:---|
|  | December 31, <br>2025 | September 30, <br>2025 | September 30, <br>2025 |
|  |  | $— | $|
| &nbsp;&nbsp;Balances included in accounts and other payables |  |  | 95758 |
| &nbsp;&nbsp;Related party advances |  |  | 150794 |

---

The balances are unsecured, due on demand and bear no interest, unless otherwise disclosed.

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually. The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") of the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for $945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the period end.

During the period-ended December 31, 2025, interest expense of $57,471 (2024 - $51,002) was recorded on this balance.

Page **22** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**21.** **BORROWINGS AND PAYABLES** 

(a) <u>Accounts and other payables</u> 

---

| | | | |
|:---|:---|:---|:---|
|  | December 31, <br>2025 | September 30, <br>2025 | September 30, <br>2025 |
|  |  | $— | $|
| &nbsp;&nbsp;Trade payable |  |  | 4818584 |
| &nbsp;&nbsp;Accrued liabilities |  |  | 2456989 |
| &nbsp;&nbsp;Wages and remittances payable |  |  | 34128 |
| &nbsp;&nbsp;Settlement amount due, current portion |  |  | 1222364 |
| &nbsp;&nbsp;Settlement amount due, non-current portion |  |  | 1641501 |

---

The Company entered into a settlement agreement with a customer, for hosting services, relating to deposits received in advance amounting to $5.1 million approximately. The deposit related to increase in megawatt supply and related services. The Company has paid $500,000 in March 2025, $561,680 upon receipt of deposits from the Company's energy provider, and the remaining amount in 27 monthly installments of $150,000 until July 2027; the impact of discounting amounting to $1,252,663 (2025 - **nil)** is presented in statement of loss and comprehensive loss as a separate line item (see **Note 22** for other terms of settlement).

The undiscounted payment schedule, discounted value, and segregation between current and non-current portions of the settlement amount are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;Year | Amount |
|  | $ |
| &nbsp;&nbsp;&nbsp;&nbsp;2026 | 1650000 |
| &nbsp;&nbsp;&nbsp;&nbsp;2027 | 1000000 |
| &nbsp;&nbsp;&nbsp;&nbsp;2028 | 590688 |
| &nbsp;&nbsp;Settlement value, undiscounted | 3240688 |
| &nbsp;&nbsp;Discount rate | 20% |
| &nbsp;&nbsp;Settlement value, discounted | 2495090 |
| &nbsp;&nbsp;Current portion | 1218679 |
| &nbsp;&nbsp;Non-current portion | 1276411 |

---

Page **23** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

21. BORROWINGS
AND PAYABLES (CONT'D)

(b) <u>Lease liabilities</u> 

The Company has entered into several lease agreements in accordance with IFRS 16, Leases, pertaining to its right-of-use assets **(Note 19)** **.** As of December 31, 2025, the liabilities arising from these leases were assessed as follows:

---

| | | |
|:---|:---|:---|
|  | December 31,<br>2025 | September 30,<br>2025 |
| &nbsp;&nbsp;Opening aggregate lease liability |  |  |
| &nbsp;&nbsp;Recognition of lease liability |  |  |
| &nbsp;&nbsp;Cancellations |  |  |
| &nbsp;&nbsp;Interest |  |  |
| &nbsp;&nbsp;Repaid during the year |  |  |
| &nbsp;&nbsp;Closing aggregate lease liability |  |  |
| &nbsp;&nbsp;Current portion |  |  |
| &nbsp;&nbsp;Non-current portion |  |  |

---

The weighted average incremental rates during the period ended December 31, 2025 is 15% (2024 - 15%) per annum.

(c) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

The delayed draw advance of $8,245,000 was funded on November 24, 2025. The lenders were not obligated to fund the delayed draw, and the advance was subject to (i) timely delivery of a borrowing notice, (ii) total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

In connection with the financing, the Company issued warrants to the lenders to purchase common shares. The warrants issued in connection with the initial tranche provide for the purchase of 4% of the Company's shares on a fully diluted basis at an exercise price of $0.10 per share. The warrants issued in connection with the delayed draw advance provide for the purchase of 1% of the Company's shares on a fully diluted basis at an exercise price of $0.10 per share. The warrants are exercisable for a period of 5 years following the completion of the reverse takeover. In December 2025, 50,000 of these warrants were exercised. The warrants issued in connection with the first and second draw were classified as equity instruments on initial recognition and are not subsequently remeasured (see Note 23(d)).

In addition, under the terms of the loan agreement, $10,245,000 of the principal loan balance is convertible into common shares at a conversion price of $4.00 per share. The conversion feature embedded in the loan is accounted for as a derivative liability and is measured at fair value through profit or loss at each reporting date.

Page **24** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

21. BORROWINGS
AND PAYABLES (CONT'D)

(c) <u>Senior secured loan (cont'd)</u> 

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

The loan agreement requires the Company to maintain, at all times, a minimum cash balance of $2,000,000 in one or more bank accounts that are subject to account control arrangements specified by the lenders. At the reporting date, the Company held $2,000,000 as cash in trust to satisfy this covenant. This amount is shown as restricted cash on the statement of financial position and is not available for general corporate purposes because its use would cause a breach of the covenant.

No portion of the required minimum balance was held in Bitcoin at the reporting date. The requirement to maintain this balance will continue for so long as the loan remains outstanding or until the covenant is amended or waived.

The loan is secured by a pledge of the $2,000,000 cash minimum in a lender controlled deposit account, account control agreements over specified deposit accounts, a blanket first priority lien on substantially all assets of the Company and certain subsidiaries, first priority pledges of 100 percent of the equity interests in Exanorth AS and Zetanorth AS, first priority fixed charges over Exanorth AS assets including a mortgage over real estate in Namsskogan, Norway, and a mortgage over North Dakota real estate owned by Bitzero ND I, LLC.

---

| | |
|:---|:---|
|  | Amount |
|  | $ |
| &nbsp;&nbsp;Balance, September 30, 2024 |  |
| &nbsp;&nbsp;Proceeds |  |
| &nbsp;&nbsp;Interest |  |
| &nbsp;&nbsp;Accretion |  |
| &nbsp;&nbsp;Principal repayment |  |
| &nbsp;&nbsp;Interest payments |  |
| &nbsp;&nbsp;Balance, September 30, 2025 |  |
| &nbsp;&nbsp;Proceeds |  |
| &nbsp;&nbsp;Interest |  |
| &nbsp;&nbsp;Accretion |  |
| &nbsp;&nbsp;Principal repayment |  |
| &nbsp;&nbsp;Interest payments |  |
| &nbsp;&nbsp;Classification of equity components |  |
| &nbsp;&nbsp;Balance, December 31, 2025 |  |
| &nbsp;&nbsp;Current portion |  |
| &nbsp;&nbsp;Non-current portion |  |

---

Page **25** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**21.** **BORROWINGS AND PAYABLES (CONT'D)** 

(c) <u>Senior secured loan (cont'd)</u> 

---

| | |
|:---|:---|
|  | Amount |
|  | $ |
| &nbsp;&nbsp;Loan balance, undiscounted, September 30, 2024 |  |
| &nbsp;&nbsp;Additions |  |
| &nbsp;&nbsp;Payments |  |
| &nbsp;&nbsp;Loan balance, undiscounted, September 30, 2025 |  |
| &nbsp;&nbsp;Delated draw |  |
| &nbsp;&nbsp;Payments |  |
| &nbsp;&nbsp;Loan balance, undiscounted, December 31, 2025 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;2026 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**2027** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;2028 |  |
| &nbsp;&nbsp;Loan balance, undiscounted, December 31, 2025 |  |

---

**(d)** <u>Convertible promissory note</u> 

During the period ended December 31, 2025, the Company issued a subordinated convertible promissory note **with** a principal of $2,853,990, bearing interest at 10% per annum and maturing 18 months after issuance. At the holder's option, the note is convertible into the Company's common shares at a conversion price of $4.00 per share, based on the outstanding amount (principal and accrued interest). Interest is contractually intended to be settled via equity at maturity.

During the period ended December 31, 2025, the Company issued convertible promissory notes in the aggregate principal amount of $1,075,000, with a 36-month term, convertible into common shares at a conversion price of $4.00 per share, and bearing interest at 15% per annum. Each promissory note was issued with an associated warrant allowing the lender to acquire such number of common shares as is equal to the note's principal amount divided by the $5.00 exercise price per share.

22. ACCOUNTS
RECEIVABLE

In March 2025, Exanorth entered into a settlement agreement with a customer, as described in **Note 21(a)** **.** Under this agreement, an amount of $3,064,555, corresponding to the invoiced amounts excluded VAT, was written off as a provision for settlement in fiscal 2024. As part of the terms of the settlement, Exanorth received equipment valued at $678,138 in March 2025.

The remaining balance of $831,187, relating to VAT previously charged, was recognized as a receivable as at September 30, 2024, and was fully collected by September 30, 2025.

Page **26** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

22. ACCOUNTS
RECEIVABLE (CONT'D)

For the year ended September 30, 2025, the Company recognized trade receivables of $993,579. Included in trade receivables was $766,857, of which $613,486 was recognized in change in provision for uncollectible receivables. The remaining balance was collected during the period ended December 31, 2025.

---

| |
|:---|
| &nbsp;&nbsp;Total outstanding invoiced balance (incl. VAT) |
| &nbsp;&nbsp;&nbsp;&nbsp;Allocated to mining assets and VAT recoverable |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on settlement |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for settlement |
| &nbsp;&nbsp;Balance as at September 30, 2024 |
| &nbsp;&nbsp;&nbsp;&nbsp;Receipt of equipment |
| &nbsp;&nbsp;&nbsp;&nbsp;Collection of VAT receivable |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade receivable |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for uncollectible receivables |
| &nbsp;&nbsp;Balance as at September 30, 2025 |
| &nbsp;&nbsp;&nbsp;&nbsp;Collection of VAT receivable |
| &nbsp;&nbsp;Balance as at December 31, 2025 |

---

23. EQUITY

(a) <u>Authorized share capital</u> 

The Company is authorized to issue an unlimited number of common shares, with no par values.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share issuances | Shares | Share capital |
|  | # | $|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, pre-Reverse Takeover | 479522030 | 113775486 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share consolidation ratio | 0.10 | 1.00 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, post-Reverse Takeover | 47952203 | 113775486 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;November 19, 2025 | 4362954 | 154886 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;December 1, 2025 | 38434 | 58107 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;December 15, 2025 | 127773 | 205911 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;December 16, 2025 | 50000 | 195873 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, December 31, 2025 | 52531364 | 114390263 |

---

(b) <u>Issued and outstanding share capital</u> 

During the period ended December 31, 2025, the Company completed a brokered private placement of 375,000 units for gross proceeds of $1,500,000. Each unit comprised one common share and one common share purchase warrant, with each warrant exercisable to acquire one common share at an exercise price of $4.00 for two years from the date of issuance.

Page **27** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

23. EQUITY
(CONT'D)

(b) <u>Issued and outstanding share capital (cont'd)</u> 

Proceeds were allocated between the common shares and warrants based on their relative fair values, with $892,293 allocated to the warrant component and $607,707 allocated to share capital

During the period, the Company issued 4,522,610 common shares upon the settlement of vested RSUs for a non-cash increase in share capital of $11,453,464, representing the reclassification of amounts recognized in equity for share-based compensation. The Company also issued 175,000 common shares as a finder's fee, increasing share capital by $700,000.

In November 2025, the Company completed a go-public transaction in Canada structured as a triangular amalgamation under the Business Corporations Act (British Columbia) with WBM Capital Corp. ("WBM") and its wholly owned subsidiary, 1555476 B.C. Ltd, pursuant to an amalgamation agreement dated November 3, 2025. In connection with the transaction, the Company effected a 10-for1 consolidation of its common shares, resulting in a decrease in the number of issued and outstanding shares from 477,295,923 to 47,702,203, with no impact on total share capital.

Immediately prior to the transaction, WBM had 250,000 common shares issued and outstanding and issued an additional 4,112,954 common shares to settle indebtedness, resulting in 4,362,954 WBM common shares outstanding. Upon completion of the transaction, the consolidated share capital reflects the legal share capital of WBM.

Following the transaction, the Company issued 166,207 common shares upon the conversion of debt and 50,000 common shares upon the exercise of warrants, increasing share capital by $264,018 and $195,873, respectively.

As at December 31, 2025, the Company had 50,691,121 (2024 - 35,972,665) common shares issued and outstanding with total share capital of $110,450,642 (2024 - $87,072,937).

Details regarding the Q1 2026 shares issuances are as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Shares | Price | Proceeds | Share capital | Share capital |
|  | # |  | $— | $— | $|
| &nbsp;&nbsp;Subscriptions | 375000 |  |  |  | 607707 |
| &nbsp;&nbsp;Exercised RSUs | 4522610 |  |  |  | 11453464 |
| &nbsp;&nbsp;Advisory shares | 175000 |  |  |  | 700000 |
| &nbsp;&nbsp;Shares issued for services | 4362955 |  |  |  | 154885 |
| &nbsp;&nbsp;Excerised convertible debt | 166207 |  |  |  | 264018 |
| &nbsp;&nbsp;Excerised warrants | 50000 |  |  |  | 195873 |
|  | 9651772 |  |  |  | 13375947 |

---

(c) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

Page **28** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

23. EQUITY
(CONT'D)

(c) <u>Options (cont'd)</u> 

In connection with the reverse takeover transaction completed during the period, outstanding options were adjusted to represent rights to acquire common shares of the legal parent and were further adjusted to reflect the 10-for-1 common share consolidation. Accordingly, the number of options outstanding and the related weighted-average exercise prices presented below are shown on a post-consolidated basis. Comparative information is adjusted for the consolidation for comparability.

A summary of the stock options is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | Number | Weighted-average exercise price | Amount |
|  | # |  | $— |
| &nbsp;&nbsp;Balance, September 30, 2024 | 11063935 |  |  |
| &nbsp;&nbsp;Exercised | (1983602) |  |  |
| &nbsp;&nbsp;Balance, September 30, 2025 | 9080333 |  |  |
| &nbsp;&nbsp;Granted, November 19, 2025 | 1600000 |  |  |
| &nbsp;&nbsp;Balance, pre-Reverse Takeover | 10680333 |  |  |
| &nbsp;&nbsp;Share consolidation ratio | 0.10 |  |  |
| &nbsp;&nbsp;Balance, December 31, 2025 | 1068033 |  |  |
| &nbsp;&nbsp;Exercisable | 1018033 |  |  |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;December 31, 2025<br> Vesting Conditions | Options outstanding | Weighted-average exercise price | Weighted-average remaining life |
|  | # | $| $|
| &nbsp;&nbsp;Immediately | 553033 | 2.65 | 0.97 |
| &nbsp;&nbsp;1/3 per year from grant date | 305000 | 0.50 | 0.35 |
| &nbsp;&nbsp;Subsidiary reaches revenue of EUR 4 million | 50000 | 2.00 | 3.44 |
| &nbsp;&nbsp;Date of the corporation's RTO | 160000 | 4.00 | 4.89 |
| &nbsp;&nbsp;Outstanding, December 31, 2025 | 1068033 | 2.21 | 1.50 |
| &nbsp;&nbsp;Exercisable, December 31, 2025 | 1018033 | 2.22 | 1.40 |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;September 30, 2025<br> Vesting Conditions | Options outstanding | Weighted-average exercise price | Weighted-average remaining life |
|  | # | $| $|
| &nbsp;&nbsp;Immediately | 553033 | 2.65 | 1.47 |
| &nbsp;&nbsp;1/3 per year from grant date | 305000 | 0.50 | 0.85 |
| &nbsp;&nbsp;Subsidiary reaches revenue of EUR 4 million | 50000 | 2.00 | 3.94 |
| &nbsp;&nbsp;Outstanding, September 30, 2025 | 908033 | 1.89 | 1.40 |
| &nbsp;&nbsp;Exercisable, September 30, 2025 | 858033 | 1.89 | 1.25 |

---

Page **29** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

23. EQUITY
(CONT'D)

(c) <u>Options (cont'd)</u> 

The fair value of each share-based payment transaction was estimated on the date of the grant, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | |
|:---|:---|
|  | 19-Nov-25 |
| &nbsp;&nbsp;Estimated stock price at time of grant | $4.00 |
| &nbsp;&nbsp;Exercise price of the option | $4.00 |
| &nbsp;&nbsp;Number of period to exercise, in year | 5.00 |
| &nbsp;&nbsp;Compounded risk-free rate | 2.73% |
| &nbsp;&nbsp;Expected volatility | 115% |
| &nbsp;&nbsp;Dividend yield | 0% |

---

(d) <u>Warrants</u> 

The Company issued warrants in connection with the senior secured loan discussed in Note 21(c) and the convertible promissory notes described in Note 21(d). The warrants issued in connection with the convertible promissory notes were classified as a derivative liability and were revalued as at December 31, 2025.

In connection with the reverse takeover transaction completed during the period, outstanding warrants were adjusted to represent rights to acquire common shares of the legal parent and were further adjusted to reflect the 10-for-1 common share consolidation. Accordingly, the number of options outstanding and the related weighted-average exercise prices presented below are shown on a post-consolidated basis.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;A summary of warrants is as follows: |  |  |  |
|  |  | Weighted- <br>average exercise |  |
|  | Number | price | Amount |
|  | # | $ | $ |
| &nbsp;&nbsp;Balance, September 30, 2025 |  |  |  |
| &nbsp;&nbsp;Granted | 32934800 | 0.09 |  |
| &nbsp;&nbsp;Balance, pre-Reverse Takeover | 32934800 | 0.09 |  |
| &nbsp;&nbsp;Share consolidation ratio | 0.10 | 0.10 |  |
| &nbsp;&nbsp;Balance, post-Reverse Takeover | 3293480 | 0.86 |  |
| &nbsp;&nbsp;Exercised | (50000) | 0.10 |  |
| &nbsp;&nbsp;Fair value changes |  |  |  |
| &nbsp;&nbsp;Balance, December 31, 2025 | 3243480 | 0.88 |  |
| &nbsp;&nbsp;Exercisable | 3243480 | 0.88 |  |

---

Page **30** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

23. EQUITY
(CONT'D)

(d) <u>Warrants (cont'd)</u> 

The fair value of the warrants were estimated on the date of the grant, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | | |
|:---|:---|:---|
|  | Warrants, <br>Equity | Warrants, <br>Derivative liability |
| &nbsp;&nbsp;Estimated stock price at time of grant | $4.00 | $4.00 |
| &nbsp;&nbsp;Exercise price of the warrant | $0.10 | $5.00 |
| &nbsp;&nbsp;Number of period to exercise, in year | 5.00 | 3.00 |
| &nbsp;&nbsp;Compounded risk-free rate | 2.86% | 3.01% |
| &nbsp;&nbsp;Expected volatility | 115% | 83% |
| &nbsp;&nbsp;Dividend yield | 0% | 0% |

---

The fair value of the warrants classified as a derivative liability were estimated as at December 31, 2025, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | |
|:---|:---|
|  | Warrants,<br>Derivative liability |
| &nbsp;&nbsp;Stock price at reporting date | $2.35 |
| &nbsp;&nbsp;Exercise price of the warrant | $5.00 |
| &nbsp;&nbsp;Number of period to exercise, in year | 2.77 |
| &nbsp;&nbsp;Compounded risk-free rate | 2.90% |
| &nbsp;&nbsp;Expected volatility | 83% |
| &nbsp;&nbsp;Dividend yield | 0% |

---

**24.** **CONTINGENT LIABILITIES** 

In addition to the matter outlined in **Note 20,** the Company is involved in the following legal proceedings:

The Company filed a lawsuit against its former CEO, for employment-related matters. The Company seeks to cancel the issuance of shares and other equity instruments in the Company. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

On February 7, 2024, a lawsuit was filed in North Dakota against the Company alleging breach of an unsigned employment contract, with claims totaling $1,258,567 plus interest and costs. The Company is contesting the matter, and the outcome cannot presently be determined.

On May 14, 2025, a construction lien dispute was filed in North Dakota seeking $131,545 for work performed prior to the Company's property acquisition. The claim has since been settled, pursuant to an agreement signed on October 29, 2025. For further details, refer to **Note 27** **.**

Page **31** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**24.** **CONTINGENT LIABILITIES (CONT'D)** 

Management has concluded that the outcome of these proceedings, with the exception of the matter settled on October 29, 2025, cannot be determined and no provisions have been recorded.

**25.** **FINANCIAL INSTRUMENTS** 

(a) <u>Classes and categories of financial instruments and their fair values</u> 

The following table combines information about: (i) Classes of financial instruments based on their nature and characteristics, (ii) The carrying amounts of financial instruments, (iii) Fair values of financial instruments, and (iv) Fair value hierarchy levels of financial assets and financial liabilities for which fair value was disclosed.

Fair value hierarchy levels 1 to 3 are based on the degree to which the fair value is observable: (i) Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities, (ii) Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices), and (iii) Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

*Financial assets*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  |  | FVfPL- |  |  |  |  |
| &nbsp;&nbsp;*December 31,* |  | mandatorily |  | FVOCl- | Amortized | Amortized |
| &nbsp;&nbsp;*2025* | Level | measured | FVOCI | designated | cost | cost |
|  | # |  | $— | $— | $— | $|
| &nbsp;&nbsp;Restricted cash | **N/A** |  |  |  |  | 2000000 |
| &nbsp;&nbsp;Accounts receivable | N/A |  |  |  |  |  |
| &nbsp;&nbsp;Cash held in trust | N/A |  |  |  |  | 2336631 |
| &nbsp;&nbsp;Cash and cash equivalents | **N/A** |  |  |  |  | 8121992 |
|  |  |  |  |  |  | 12458623 |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  |  | FVfPL- |  |  |  |  |
| &nbsp;&nbsp;*September 30,* |  | mandatorily |  | FVOCl- | Amortized | Amortized |
| &nbsp;&nbsp;*2025* | Level | measured | FVOCI | designated | cost | cost |
|  | # |  | $— | $— | $— | $|
| &nbsp;&nbsp;Restricted cash | N/A |  |  |  |  | 2000000 |
| &nbsp;&nbsp;Accounts receivable | N/A |  |  |  |  | 380093 |
| &nbsp;&nbsp;Cash held in trust | N/A |  |  |  |  | 2973500 |
| &nbsp;&nbsp;Cash and cash equivalents | N/A |  |  |  |  | 2501986 |
|  |  |  |  |  |  | 7855579 |

---

Page **32** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**25.** **FINANCIAL INSTRUMENTS (CONT'D)** 

(a) <u>Classes and categories of financial instruments and their fair values (cont'd)</u> 

*Financial liabilities*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  |  | FVTPL- |  |  |
| &nbsp;&nbsp;*December 31,* |  | FVTPL- | mandatorily | Amortized | Amortized |
| &nbsp;&nbsp;*2025* | Level | designated | measured | cost | cost |
|  | # |  | $— | $— | $|
| &nbsp;&nbsp;Accounts and other payables | N/A |  |  |  | 7643632 |
| &nbsp;&nbsp;Settlement liability | **N/A** |  |  |  | 2495090 |
| &nbsp;&nbsp;Contingent consideration payable | Level3 |  |  |  |  |
| &nbsp;&nbsp;Lease liability | **N/A** |  |  |  | 2176446 |
| &nbsp;&nbsp;Related party advances | N/A |  |  |  | 148800 |
| &nbsp;&nbsp;Loans payable | N/A |  |  |  | 8389143 |
| &nbsp;&nbsp;Convertible debentures | N/A |  |  |  | 1630463 |
| &nbsp;&nbsp;Derivative liability | Level2 |  |  |  | 3579694 |
|  |  |  |  |  | 26063268 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  |  | FVTPL- |  |  |
| &nbsp;&nbsp;*September* 30,* |  | FVTPL- | mandatorily | Amortized | Amortized |
| &nbsp;&nbsp;*2025* | Level | designated | measured | cost | cost |
|  | # |  | $— | $— | $|
| &nbsp;&nbsp;Accounts and other payables | N/A |  |  |  | 7309701 |
| &nbsp;&nbsp;Settlement liability | **N/A** |  |  |  | 2863865 |
| &nbsp;&nbsp;Contingent consideration payable | Level3 |  |  |  |  |
| &nbsp;&nbsp;Lease liability | N/A |  |  |  |  |
| &nbsp;&nbsp;Related party advances | N/A |  |  |  | 150794 |
| &nbsp;&nbsp;Loans payable | **N/A** |  |  |  | 16236880 |
| &nbsp;&nbsp;Convertible debentures | **N/A** |  |  |  | 1568220 |
|  |  |  |  |  | 28129460 |

---

(b) <u>Transfers</u> 

There were no transfers between Level 1, 2 and 3 during the current or prior period.

(c) <u>Financial risk management</u> 

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low.

Risk management framework

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework. The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

Page **33** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

25. FINANCIAL
INSTRUMENTS (CONT'D)

(c) <u>Financial risk management (cont'd)</u> 

Risk management framework (cont'd)

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk is $30,380,233 as at December 31, 2025 (2024 - $29,890,007), for which the Company has cash of $10,458,623 on hand to satisfy its liabilities (2024 - $5,475,486). There have been no changes to the method for managing liquidity risk.

Credit risk

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. Allowance for doubtful accounts of nil was recorded in the period ended December 31, 2025 (fiscal 2025 - $613,486) (see **Note 22)** **.**

Cash and cash equivalents and restricted cash are held with reputable financial institutions. Counterparty exposure is monitored and considered low. Cash held in trust represents amounts held with the Company's lawyers which is restricted as per the loan agreement and are current in nature. Digital currencies are not financial assets and are outside expected credit loss measurement. Credit exposure is considered low as the Company extracts digital currencies from its mining pool on a daily basis.

Page **34** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

25. FINANCIAL
INSTRUMENTS (CONT'D)

(c) <u>Financial risk management (cont'd)</u> 

Credit risk (cont'd)

Prepaids and deposits consist of advances to vendors and refundable deposits. Counterparties are assessed and monitored, and no loss allowance has been recognized.

Market risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

Foreign currency risk

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency. Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate and as when required. The effectiveness of these hedging instruments is assessed regularly. However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

Interest rate risk

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

Digital currency risk

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

Page **35** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

25. FINANCIAL
INSTRUMENTS (CONT'D)

(c) <u>Financial risk management (cont'd)</u> 

*Custody risk*

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure. Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk*

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held. To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

Management reviews recoverability regularly. As of December 31, 2025, 17.71 Bitcoin equivalent to $1,474,415 is held in private wallets (September 30, 2025- 7.61 Bitcoin equivalent to $753,211 **)(Note 12)** **.**

26. CAPITAL
MANAGEMENT

The Company defines capital as its equity. The Company's objective when managing capital is: (i) to safeguard the ability to continue as a going concern so that it can continue to provide returns to shareholders and benefits to other stakeholders; and (ii) to provide an adequate return to shareholders by obtaining an appropriate amount of financing commensurate with the level of risk. The Company sets the amount of capital in proportion to the risk. The Company manages its capital structure and adjusts in light of the changes in economic conditions and the characteristic risk of underlying assets.

To maintain or adjust the capital structure, the Company may repurchase shares, return capital to shareholders, issue new shares, or sell assets to reduce debt. The Company is not subject to any externally imposed capital requirements. The Company's objective is met by retaining adequate liquidity to provide for the possibility that cash flows from assets will not be sufficient to meet operational, investing, and financing requirements. There have been no changes to the Company's capital management policies during the periods ended December 31, 2025 and 2024.

Page **36** of **37**

**BITZERO HOLDINGS INC. (formerly WBM Capital Corp.)**

Notes to the interim condensed consolidated financial statements

For the three-month periods ended December 31, 2025 and 2024

*(Unaudited - Expressed in United States Dollars, unless otherwise noted)*

**27.** **SUBSEQUENT EVENTS** 

(a) <u>Conversion of convertible promissory notes</u> 

In January 2026, a portion of the convertible notes described in Note 21(d) was converted into equity, resulting in the issuance of 51,971 common shares at a conversion price of $4.00 per share.

(b) <u>Exercise of RSUs</u> 

On January 19, 2026, restricted share units vested and were settled through the issuance of 400,000 common shares.

Page **37** of **37**

## Exhibit 99.86

**Exhibit 99.86**

**BITZERO HOLDINGS INC.**

**(FORMERLY WBM CAPITAL CORP.)**

Management's Discussion and Analysis

For the three-month

period ended December 31, 2025

*(expressed in United States Dollars, unless otherwise stated)*

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

1. MANAGEMENT'S DISCUSSION AND ANALYSIS

This Management's Discussion and Analysis (this "MD&A") provides a review of the results of operations, financial condition and cash flows for Bitzero Holdings Inc. ("Bitzero" or the "Company"), on a consolidated basis, for the three-month period ended December 31, 2025.

This document should be read in conjunction with the information contained in the Company's unaudited interim condensed consolidated financial statements and related notes for the three months ended December 31, 2025 (the "Q1 Financial Statements"), which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Unless otherwise indicated, all dollar ("$") and "USD" amounts and references in this MD&A are in United States dollars.

Unless otherwise stated, in preparing this MD&A the Company has taken into account information available to it up to the date of this MD&A, February 27, 2026, being the date the Company's board of directors (the "Board") approved this MD&A and the corresponding financial statements. All quarterly information contained herein is unaudited.

This MD&A was written to comply with the requirements of National Instrument 51-102 – Continuous Disclosure Obligations. This MD&A contains information up to and including February 27, 2026.

2. CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION

This MD&A contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to our objectives and the strategies to achieve these objectives, expected hashrate growth and fleet efficiency; anticipated expansion of capacity at the Norwegian facility; expected economies of hosting arrangements; liquidity and capital resources; the impact of the April 2028 Bitcoin halving on mining economics; and the timing and magnitude of planned equipment purchases, as well as information with respect to our beliefs, plans, expectations, anticipations, estimates and intentions. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that infer actions, events or results with terminology such as "may", "could", "would", "might", "will be taken", "occur" or "be achieved".

Forward-looking information is provided for the purposes of assisting the reader in understanding the Company and its business, operations, prospects and risks at a point in time in the context of historical and possible future developments and, therefore, the reader is cautioned that such information may not be appropriate for other purposes.

Forward-looking information is based upon numerous assumptions and is subject to a number of known and unknown risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, the risk factors that are discussed in greater detail under "Risk Factors and Uncertainties".

Although the forward-looking information contained herein is based upon what we believe are reasonable assumptions, readers are cautioned against placing undue reliance on this information since actual results may vary from the forward-looking information. Certain assumptions were made in preparing the forward-looking information concerning availability of capital resources, business performance, market conditions, and customer demand.

Page **2** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

2. CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION (CONT'D)

Forward looking information is based on the following material factors and assumptions: (i) average BTC prices and transaction fees within management's planning ranges; (ii) network difficulty consistent with recent trends; (iii) stable access to competitively priced hydroelectric power and grid availability in NO4; (iv) fleet uptime and curtailment consistent with historical performance and grid flexibility agreements; (v) the availability of mining equipment on disclosed timelines and budget; (vi) hosting customer demand and adherence to contractual terms. Actual results may differ materially due to risks and uncertainties described under "Risk Factors and Uncertainties".

Consequently, all of the forward-looking information contained herein is qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation.

Forward-looking information is subject to the risks and uncertainties described under "Risk Factors and Uncertainties" in this MD&A. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained herein is provided as of the date hereof, and we do not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.

3. OVERVIEW AND SIGNIFICANT EVENTS

(a) <u>General information</u> 

Bitzero Holdings Inc. (the "Company" or "Bitzero") was incorporated under the Canada Business Corporations Act on August 26, 2006 and was continued into British Columbia under the Business Corporations Act (British Columbia) on June 4, 2024. The Company's head and registered office is located at Suite 1100, One Bentall Centre, 505 Burrard Street, Vancouver, British Columbia V7X 1M5.

Bitzero has cryptocurrency mining activities in Norway, solely focused on the mining of Bitcoin. The business of Bitcoin mining focuses on the utilization of specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services.

These mining activities are conducted by Exanorth AS ("Exanorth"), a Norwegian limited liability entity that is a wholly owned subsidiary of Bitzero Holdings Inc., which holds a data center in Norway (the "Data Center") for the provision of data processing services for the mining of digital currency.

(b) <u>Reverse takeover</u> 

On November 19, the Company completed a reverse takeover transaction pursuant to the terms of an amalgamation agreement dated November 3, 2025, among WBM Capital Corp. ("WBM"), 1555476 B.C. Ltd. ("155 BC"), a wholly owned subsidiary of WBM, and Bitzero Blockchain Inc. ("Blockchain"). Under the transaction, Blockchain amalgamated with 155 BC to form an amalgamated corporation that become a wholly owned subsidiary of WBM. In connection with the transaction, WBM changed its corporate name to "Bitzero Holdings Inc." and the Company completed a 10-for-1 common share consolidation. All share and per share information presented in these condensed interim financial statements have been adjusted retrospectively to reflect the share consolidation.

Page **3** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

**3.** **OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)** 

(c) <u>Basis of consolidated reporting</u> 

The consolidated financial statements include the accounts of the Company and subsidiaries. Subsidiaries are entities controlled by the Company. The financial transactions of subsidiaries are included in the consolidated financial statements from the date control is obtained. Control occurs when the Company is exposed to, or has the right to, variable returns from its involvement with an investee and has the ability to affect those returns through its power over the investee. Intercompany balances, transactions, income, and expense are eliminated and gains or losses on intercompany transactions are eliminated. Where the Company does not own 100% of the subsidiary or associate, non-controlling interest is classified as a component of equity. The accounting policies of subsidiaries are the same as those of the Company.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;Subsidiary | &nbsp;&nbsp;Ownership at <br> 30-Sep-25 | &nbsp;&nbsp;Ownership at <br> 30-Sep-24 | &nbsp;&nbsp;Country of incorporation |
| &nbsp;&nbsp;Bitzero Blockchain Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Canada |
| &nbsp;&nbsp;Exanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Inc. | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;Barbados |
| &nbsp;&nbsp;Bitzero ND I | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Bitzero ND II | &nbsp;&nbsp;100% | &nbsp;&nbsp;100% | &nbsp;&nbsp;United States |
| &nbsp;&nbsp;Zetanorth AS | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Norway |
| &nbsp;&nbsp;Bitzero Finland Oy | &nbsp;&nbsp;100% | &nbsp;&nbsp;0% | &nbsp;&nbsp;Finland |

---

(d) <u>Description of the business</u> 

Data centers are physical facilities that are used to house computer systems and associated components, IT infrastructure, critical applications, and data for applications and services. Data centers can be used for a variety of purposes and support the needs of large-scale applications, including but not limited to Bitcoin mining, cloud computing, web hosting, processing large data sets, providing the foundation for artificial intelligence, machine learning, and more. Data center designs are based on computing and networking solutions and include components such as routers, switches, firewalls, storage systems, and more.

Bitcoin mining is the process by which new Bitcoins are created and transactions are verified and added to the public ledger known as the Bitcoin Blockchain (the "Blockchain"). Mining is conducted by miners using hardware and software to generate a cryptographic number that is equal to or less than a number set by the Bitcoin network's algorithm. Bitcoin self-mining refers to the process by which a miner validates Bitcoin transactions and adds them to the Blockchain ledger without relying on a trusted third party.

"Hashrate" is a measure of the computational power used in the mining process of cryptocurrencies, it indicates how many hash functions a miner can perform per second. Generally, the higher the Hashrate, the more attempts a miner can make to add new blocks to the Blockchain. Bitcoin Hashrates are generally measured through exahashes per second (EH/S); one exahash equals 1018 hashes, which means EH/S indicates how many quintillion hash calculations can be performed in one second. EH/S represent high levels of computational power associated with large-scale mining operations or data centers.

Data center hosting is a service where companies and organizations store and manage their IT infrastructure in third-party data centers, enabling them to use the same the services, features, and capabilities of a data center without building their own infrastructure.

Page **4** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(d) <u>Description of the business (cont'd)</u> 

Data center hosting comes in various forms, including the following: (i) dedicated hosting: a client rents an entire server, giving them full control over its resources; (ii) shared hosting: multiple clients share the same server and its resources, making it more cost-effective but with limited control; (iii) virtual private server hosting: a server is divided into multiple servers, offering more control and resources than shared hosting; and (iv) cloud hosting: resources are distributed across multiple servers, allowing for scalability and flexibility.

Bitzero was created to disrupt and innovate in the Blockchain and data center spaces to move markets away from unsustainable data and mining practices. It is engaged in the development and operation of data centers and related energy infrastructure, Bitcoin self-mining, and high performance computing ("HPC") hosting.

Bitzero's primary objective is to address the increasing demand for IT energy infrastructure driven by the growth of Blockchain technology and other HPC applications by leveraging advanced technology and energy-efficient solutions. By creating harmony with local authorities, investors, and customers, Bitzero aims to become a leader in Blockchain mining and HPC hosting in a sustainable fashion and set a new global standard for best practices in clean energy sourcing, heat capture, and sustainability within local communities.

The Company's strategic objective is to become a leader in sustainable blockchain mining and high-performance computing hosting, leveraging advanced technology and energy-efficient solutions.

(e) <u>Products and services</u> 

On February 21, 2024, Exanorth entered into a flexibility services agreement (the "Flexibility Services Agreement") in connection with its First Norway Property. Through the Flexibility Services Agreement, Exanorth adjusts energy usage at the First Norway Property to stabilize the power grid. When Exanorth engages in stabilization efforts, it is compensated under the terms of the Flexibility Services Agreement while also supporting sustainability.

The First Norway Property provides Bitzero with an advantageous location for cryptocurrency mining for the following key reasons: (i) Norway is committed to large scale expansion of data center businesses; (ii) low temperatures reduce server cooling costs, significantly lowering the dependency on excessive energy use; (iii) clean outside air limits the maintenance required to keep machines in working condition; (iv) the First Norway Property is located next to the local power grid which supplies energy to the Data Center located in Norway. Since the grid is so close to the First Norway Property, the grid fee is low, and energy produced is conserved; (v) fast and reliable internet connection enables dependable communications; and (vi) hydropower accounts for 90% of Norwegian electricity production, which is considered to be the cheapest source of renewable energy.

Page **5** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(e) <u>Products and services (cont'd)</u> 

The First Norway Property has approximately 320MW total capacity. 40MW of active capacity at the First Norway Property is being used by the Data Center in Norway, and the remaining capacity is expected to be activated through development and grid updates in two phases.

Exanorth intends to expand active capacity at the First Norway Property over the coming months and has approval to support expansion of 70MW, adding up to a total of 110MW in phase 1, with a subsequent phase expected to add 210MW, bringing total active capacity to 320MW upon completion.

In August 2024, Exanorth received approval from the Norwegian Water Resources and Energy Directorate to operate as a utility, which means that Exanorth can control the First Norway Property's own electrical supply, and energy distribution and grid costs.

The Data Center is located on the First Norway Property. Currently, the Data Center operates as Bitzero's self-mining revenue-generating operations and is the focal point of Bitzero's operations.

All the Bitcoin that is self-mined at the Data Center is rewarded from the Luxor Mining Pool (as defined above) and owned by the Barbadian Subsidiary.

ND I, LLC acquired a property located at 81st Street, Nekoma, County of Cavelier, and State of North Dakota (the "North Dakota Property") in July 2022 pursuant to an agreement with Cavelier County Job Development Authority dated July 18, 2022 (the "North Dakota Property Purchase Agreement"). The North Dakota Property is over 184 acres and benefits from a diversified energy mix including wind, natural gas, and grid sources, ensuring reliability and efficiency.

The North Dakota Property has total capacity of approximately 200MW-300MW. Currently, there is 2.5MW of active capacity that is immediately available but not currently being used, and further inactive capacity that can be accessed once studies are conducted, facilities are built, and investments in system upgrades are made. Additionally, on the North Dakota Property, there is an 80,000-gallon diesel tank and additional liquid storage tank, which can provide large-scale back-up power supplies, enabling the North Dakota Property to operate independently of other electrical suppliers.

The North Dakota Property houses a currently non-operational data center (the "Nekoma Pyramid"). The Nekoma Pyramid was initially built in the late 1960s with initial commissioning occurring in 1975 during the cold war. It consequently has desirable security characteristics well suited for storing highly sensitive information.

The Nekoma Pyramid's special features and competitive advantages are summarized as follows: (i) Potential to offer customers an extremely high level of physical security due to its original design as a government defense installation, making it useful for clients with strict requirements in the areas of data protection and physical security; (ii) Fully reinforced concrete and steel, designed to protect building contents; and (iii) There are redundant power feeds available, which are built to work into the redundant power systems in datacenters and ensure that power gets delivered to all functional server components and acts as physical power supplies sample space for onsite generation and fuel storage.

Page **6** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(e) <u>Products and services (cont'd)</u> 

ND I, LLC and Bitzero are in the process of developing the North Dakota Property and planning the use of the Nekoma Pyramid for their operations. On August 1, 2024, ND I, LLC entered into an agency agreement with Cushman & Wakefield U.S., Inc. (the C&W Agency Agreement").

Pursuant to the C&W Agency Agreement, the North Dakota Property may be sold or leased to a third-party, or ND I, LLC may retain the North Dakota Property for its own use.

Another central component of Bitzero's business model is Bitcoin mining. Bitzero is focused on Bitcoin mining because it is the most efficient way for Bitzero to convert energy into sustainable cash flows. This method is predictable, straightforward to manage, and not excessively capital-intensive, with relatively low upfront costs. It involves directly converting energy into cash flows through capital expenditure and infrastructural projects. Currently, all of Bitzero's Bitcoin mining operations are conducted at the Data Center. Bitzero and its subsidiaries do not mine any other cryptocurrency assets. On December 15, 2021, the Barbadian Subsidiary entered into a data services agreement with Exanorth (the "Barbadian-Exanorth Data Services Agreement").

Pursuant to the Barbadian-Exanorth Data Services Agreement, all Bitcoin that is self-mined at the Data Center is owned by the Barbadian Subsidiary.

The process by which cryptocurrency coins or tokens are created and transactions are verified is called mining. A user or miner operates a publicly distributed mining client, which turns the user's computer into a "node" on the network that validates blocks. In order to add blocks to the Bitcoin Blockchain, a miner must map an input data set (i.e., the Blockchain plus a block of the most recent transactions and an arbitrary number called a "nonce") to a desired output data set of a predetermined length using an algorithm. As more miners join the network and its processing power increases, the network adjusts the complexity of the block solving equation to maintain a pace of adding a new block to the Blockchain approximately every 10 minutes. Below is further disclosure on the specific steps taken in Bitcoin mining operations, including how Bitzero currently engages in Bitcoin mining.

Bitcoin miners must first secure land with allocated energy resources, typically measured in MW. After that, the Bitcoin mining site must be prepared for site construction. At the Data Center, substantiation construction took place which required building a 40MW substation to convert high-voltage grid power to low voltage. The necessary electrical cabling was installed and then contracts with the local energy grid providers were entered into to secure fixed energy prices for 5 years. On January 1, 2023, Exanorth and an energy provider entered into two power delivery agreement (the "Energy Provider Power Agreement"), whereby the energy provider provides physical power delivery and additional services to the First Norway Property. All electricity and power supplied to the Data Center is through the energy provider through the Energy Provider Power Agreement.

Bitcoin mining containers are used so that owners and investors can move mining rigs easily. In essence, Bitcoin mining containers are shipping containers equipped with the necessary components to conduct mining operations, including power supply units, cooling systems, security measures, and fire suppression systems. Each Bitcoin mining container houses several mining computers in racks, consuming approximately 1MW of power each. The number of mining units per container varies (typically between 200 and 312), depending on the equipment. The containers include racks for miners, power distribution units (PDUs), cooling systems to maintain optimal temperatures, and fire suppression systems.

Page **7** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(e) <u>Products and services (cont'd)</u> 

Every 10 minutes, a new block is added to the Blockchain ledger by all the mining computing power existing in the world, comprising approximately 4,500 Bitcoin transactions. Every 10 minutes, the global Bitcoin network rewards miners with 3.125 Bitcoins. This results in a total daily reward of 450 Bitcoins for all miners combined. This reward amount halves approximately every four years (once the right block height is reached). The Bitcoin reward per unit of mining equipment is predictable at the time of purchase but varies over time based on market share. For example, if there are 9 equally powerful mining units globally and Bitzero adds one more, Bitzero would receive 10% of the daily 450 Bitcoin reward. Currently, the total network computing power is over 800 exahashes per second (EH/s), while the most efficient single miner operates at approximately 0.0002 EH/s.

Bitzero focuses on self-mining at the Data Center and earns revenue through the amount of Bitcoin mined. On May 26, 2022, Bitzero and Luxor Technology Corporation ("Luxor") entered into a services agreement (the "Luxor Services Agreement") pursuant to which Bitzero engaged Luxor to set up a mining pool (the "Luxor Mining Pool") and provide maintenance of the Luxor Mining Pool on a cloud host that Luxor and Bitzero have access to. Pursuant to the Luxor Services Agreement, Luxor also shall provide maintenance of the software underlying the Luxor Mining Pool, that has the specification of a commercially standard cryptocurrency Mining Pool (the "Luxor Software"), which is licensed by Luxor to Bitzero.

The Luxor Software includes any other software intentionally delivered to Bitzero, such as updates delivered pursuant to maintenance and support services and/or hosting services provided by Luxor. The Luxor Agreement references a block reward, consistent of a combination of: (a) the amount of newly minted Bitcoins in each block as fixed by the Bitcoin protocol (the "Block Subsidy"), and (b) fees paid by users of the Bitcoin network to have their transactions included in the current block (the "Transaction Fees". These fees are aggregated per block and typically paid out to the miner who solved the block by being combined with the Block Subsidy into one transaction output (the "Block Reward"). The aggregate Block Reward paid to all miners is aggregated for calculation purposes (the "Total Miner Reward"). Pursuant to the Luxor Services Agreement, Luxor receives 0.20% of each Total Miner Reward and Bitzero will receive the remaining 99.80% of each Total Miner Reward. Currently, the Block Subsidy of newly minted Bitcoins in each block is 3.125 Bitcoin per block.

Transaction fees are a crucial component of the Bitcoin network's incentive structure, ensuring that miners prioritize certain transactions and continue to maintain the network even after Block Rewards diminish over time.

Miners receive transaction fees as an additional incentive, supplementing the Block Reward (the newly created Bitcoins given to the miner who finds a new block). Users can attach fees to their transactions to incentivize miners to prioritize their transactions over others. Higher Transaction Fees typically result in faster confirmation times. The total Transaction Fees paid depends on the transaction size in bytes and the fee rate set by the user.

The demand for data centers is increasing across the globe among cryptocurrency miners, cloud service providers, and artificial intelligence companies. There has been a significant increase in governmental regulation around carbon emissions from high-energy consuming data centers, including in Norway which has become a popular destination for cryptocurrency miners.

Additionally, security concerns are of a high degree of importance since data centers handle extremely sensitive, large volumes of information.

Page **8** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(e) <u>Products and services (cont'd)</u> 

With these considerations, identifying new data center opportunities for Bitzero's ecosystem partners to provide efficient and low-cost energy solutions is a core part of its business model. While Bitzero currently has the Data Center and the non-operational Nekoma Pyramid, it also is undergoing negotiations to expand its facilities in the North American and Scandinavian regions.

(f) <u>Acquisition of options to purchase Exanorth AS</u> 

On August 6, 2021, the Company entered into an arrangement with a third party to acquire call options on the issued and outstanding shares of Exanorth, along with various rights to lease real estate property on which Exanorth conducted its operations, for aggregate consideration of $2,969,303.

At the time of the transaction, the Company had intended to build and operate a data center for its digital currency mining operations using the infrastructure existing at Exanorth.

The Company used the Black-Scholes option pricing model to determine the fair value of the call options as follows: exercise prices of €15,504 to €65,804 (15,192 USD to 64,481 USD) per share; the expected volatility of its common shares was set at 20 to 42% using historical volatility of comparable public companies; the risk-free interest rate was set at -0.04 to 0.54% based on the yield available on government benchmark bonds; the expected life was set at 1.16 to 1.18 years; and the dividend yield was set at 0%.

As a result, the Company recorded the investment asset on account of this transaction as at and for the year ended September 30, 2021:

---

| |
|:---|
| Purchase of call options over common shares of investee |
| Fair value adjustment on call options held for the year |
| Foreign exchange loss component pertaining to fair value adjustment for the year |

---

On October 22, 2021, Bitzero and Exakraft AS entered into a share purchase agreement, as amended on November 10, 2021, January 14, 2022, January 31, 2022, February 10, 2022, and March 1, 2022 (together, the "SPA") through which Bitzero exercised certain call options, resulting in the Company acquiring 66% of the issued and outstanding shares of Exanorth.

Page **9** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(f) <u>Acquisition of options to purchase Exanorth AS (cont'd)</u> 

Aggregate consideration paid for the acquisition, along with the allocation of consideration to the fair value of net identifiable assets of Exanorth was calculated as follows:

---

| | |
|:---|:---|
| | 2022 |
|  | $ |
| <u>Consideration transferred</u> |  |
| &nbsp;&nbsp;&nbsp;Exercise of call options (i) | 3558595 |
| &nbsp;&nbsp;&nbsp;Cash consideration (ii) | 2547160 |
| &nbsp;&nbsp;&nbsp;Common shares issued to vendor (iii) | 2250000 |
| &nbsp;&nbsp;&nbsp;Contingent cash consideration (iv) | 1900000 |
| &nbsp;&nbsp;&nbsp;Deferred cash consideration | 1382476 |
| &nbsp;&nbsp;&nbsp;Settlement of pre-existing loans | 1059746 |
| &nbsp;&nbsp;&nbsp;Transaction costs | 206598 |
| Fair value of total consideration transferred | 12904575 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The value of the call options increased from $3,291,343 as at September 30, 2021 to $3,558,595 as a result of a foreign exchange
gain, refer to **Note 14(a)** in the financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The cash consideration relates to the remaining 34% of the shares in Exanorth.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) As part of consideration in the acquisition, the SPA included a delivery of 5,000,000 common
shares of the Company. The common shares were valued at $2,250,000 using a combination of previous equity raises and a 25% discount
for lack of marketability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) As part of consideration in the acquisition, contingent consideration was included and was the
fair value was determined based on the management's best estimate at the reporting date. The contingent consideration was
subsequently revalued to $1,760,547 resulting in a gain of $139,453. As at December 31, 2025, there has been no further remeasurement,
as there have been no changes in the underlying circumstances affecting the Management's best estimate.

---

| |
|:---|
| <u>Fair value of identifiable net assets acquired</u> |
| &nbsp;&nbsp;&nbsp;Technology infrastructure |
| &nbsp;&nbsp;&nbsp;Land |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents |
| &nbsp;&nbsp;&nbsp;Accounts payable) |
| &nbsp;&nbsp;&nbsp;Due to Bitzero) |
| &nbsp;&nbsp;&nbsp;Other liabilities |
| Fair value of total identifiable net assets |
| &nbsp;&nbsp;&nbsp;Goodwill |
| &nbsp;&nbsp;&nbsp;Non-controlling interest |
| Total |

---

Page **10** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(g) <u>Acquisition of Bitzero Finland Oy</u> 

On January 23, 2025, the Company purchased 100 shares of Bitzero Finland Oy (formerly Ahold XVIII Oy), domiciled in Finland, representing 100% of issued share capital of the acquiree. The Company's intent is to expand its operations into Finland at a later date.

(h) <u>Senior secured loan</u> 

In June 2025, Bitzero Blockchain Inc. entered into a senior secured loan and guaranty agreement with a syndicate of lenders providing for up to $25 million in debt financing, to be advanced in two tranches. The initial tranche of $17,510,000 was approved and net proceeds of $16,190,944 were received on August 1, 2025, after deducting the original issue discount and professional fees.

The delayed draw advance of $8,245,000 was funded on November 24, 2025. The lenders were not obligated to fund the delayed draw, and the advance was subject to (i) timely delivery of a borrowing notice, (ii) total delayed draw borrowings not exceeding the available capacity, (iii) completion of due diligence, site visits and underwriting and receipt of credit approval, and (iv) the absence of any default or event of default at the time of funding.

In connection with the financing, the Company issued warrants to the lenders to purchase common shares. The warrants issued in connection with the initial tranche provide for the purchase of 4% of the Company's shares on a fully diluted basis at an exercise price of $0.10 per share. The warrants issued in connection with the delayed draw advance provide for the purchase of 1% of the Company's shares on a fully diluted basis at an exercise price of $0.10 per share. The warrants are exercisable for a period of 5 years following the completion of the reverse takeover. In December 2025, 50,000 of these warrants were exercised. The warrants issued in connection with the first and second draw were classified as equity instruments on initial recognition and are not subsequently remeasured (see **Note 23(d)**).

In addition, under the terms of the loan agreement, $10,245,000 of the principal loan balance is convertible into common shares at a conversion price of $4.00 per share. The conversion feature embedded in the loan is accounted for as a derivative liability and is measured at fair value through profit or loss at each reporting date.

The loan bears interest at the greater of (i) Term SOFR plus 11% per annum and (ii) 14% per annum, payable monthly in arrears. It matures 36 months from closing, with principal amortization commencing six months after the initial funding date.

The loan agreement requires the Company to maintain, at all times, a minimum cash balance of $2,000,000 in one or more bank accounts that are subject to account control arrangements specified by the lenders. At the reporting date, the Company held $2,000,000 as cash in trust to satisfy this covenant. This amount is shown as restricted cash on the statement of financial position and is not available for general corporate purposes because its use would cause a breach of the covenant.

No portion of the required minimum balance was held in Bitcoin at the reporting date. The requirement to maintain this balance will continue for so long as the loan remains outstanding or until the covenant is amended or waived.

Page **11** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

3. OVERVIEW AND SIGNIFICANT EVENTS (CONT'D)

(h) <u>Senior secured loan (cont'd)</u> 

The loan is secured by a pledge of the $2,000,000 cash minimum in a lender controlled deposit account, account control agreements over specified deposit accounts, a blanket first priority lien on substantially all assets of the Company and certain subsidiaries, first priority pledges of 100 percent of the equity interests in Exanorth AS and Zetanorth AS, first priority fixed charges over Exanorth AS assets including a mortgage over real estate in Namsskogan, Norway, and a mortgage over North Dakota real estate owned by Bitzero ND I, LLC.

(i) <u>Go-public transaction</u> 

In November 2025, Bitzero completed a go-public transaction in Canada structured as a triangular amalgamation under the Business Corporations Act (British Columbia) with WBM Capital Corp. ("WBM") and its wholly owned subsidiary, 1555476 B.C. Ltd ("Subco"), pursuant to an amalgamation agreement dated November 3, 2025. Under the Amalgamation Agreement, Bitzero amalgamated with 1555476 B.C. Ltd. to form a new corporation that became a wholly owned subsidiary of WBM.

All issued and outstanding Bitzero common and non-voting shares were exchanged for fully-paid and non-assessable WBM common and non-voting shares on the basis of ten Bitzero shares for one WBM share. Outstanding Bitzero options, RSUs and warrants were adjusted to provide rights to acquire WBM common shares in accordance with their terms.

As control of the combined entity resides with the former owners of Bitzero, the transaction is accounted for as a reverse acquisition with Bitzero as the accounting acquirer and WBM as the accounting acquiree. The transaction was accounted for in accordance with IFRS 2, with any excess of the fair value of the deemed consideration over the fair value of WBM's identifiable net assets recognized as a listing expense in profit or loss in the period of closing.

On November 24, 2025, Bitzero's common shares began trading on the Canadian Securities Exchange under the ticker "BITZ.U".

4. SUBSEQUENT EVENTS

(a) <u>Conversion of convertible promissory notes</u> 

In January 2026, a portion of the convertible notes described in Note 21(d) of the Q1 Financial Statements was converted into equity, resulting in the issuance of 51,971 common shares at a conversion price of $4.00 per share.

(b) <u>Exercise of RSUs</u> 

On January 19, 2026, restricted share units vested and were settled through the issuance of 400,000 common shares.

Page **12** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

5. PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES

(a) <u>Presentation of financial information</u> 

Unless otherwise specified herein, financial results, including historical comparatives, contained in this MD&A are based on the Company's Annual Financial Statements, which have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and the interpretations of the IFRS Interpretations Committee ("IFRIC"). Unless otherwise specified, amounts are in thousands of United States dollars and percentage changes are calculated using whole numbers.

(b) <u>Non-IFRS measures</u> 

In addition to the reported IFRS measures, industry practice is to evaluate entities giving consideration to certain non-IFRS performance measures, such as earnings before interest, taxes, depreciation and amortization ("EBITDA") or adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA").

These measures are not in accordance with IFRS and have no standardized definitions, and as such, our computations of these non-IFRS measures may not be comparable to measures by other reporting issuers. In addition, Company's method of calculating non-IFRS measures may differ from other reporting issuers, and accordingly, may not be comparable.

A reconciliation of EBITDA and Adjusted EBITDA to IFRS net income is presented below.

*Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")*

EBITDA is used as an alternative to net income because it includes major non-cash items such as interest, taxes and amortization, which management considers non-operating in nature. A reconciliation of EBITDA to IFRS net income is presented under the section **Results from Operations** of this MD&A.

*Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("Adjusted EBITDA")*

Adjusted EBITDA is used as an alternative to net income because it excludes major non-cash items such as amortization, stock-based compensation, current and deferred income tax expenses and other items management considers non-operating in nature. A reconciliation of adjusted EBITDA to IFRS net income is presented under section **Results from Operations** of this MD&A.

EBITDA and Adjusted EBITDA are used by management as inputs in our internal metrics and in evaluating our ability to satisfy the Company's obligations. EBITDA and Adjusted EBITDA are used as alternatives to IFRS net income (loss) because it excludes major non-cash items (including depreciation and amortization, interest, taxes and share-based payments) and other items that management considers non-operating in nature.

Management believes that these measures are helpful to investors because they are widely recognized measures of Company's performance and provides a relevant basis of comparison to other entities. In addition to IFRS results, these measures are also used internally to measure the operating performance of the Company.

Page **13** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

5. PRESENTATION OF FINANCIAL INFORMATION AND NON-IFRS MEASURES (CONT'D)

(c) <u>New and revised IFRS accounting standards in issue but not yet effective</u> 

At the date of authorization of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

*IFRS 18: Presentation and Disclosure in Financial Statements*

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The Company is in the process of reviewing the impact of IFRS 18 on its consolidated financial statements in future periods.

6. CRITICAL JUDGMENTS AND ESTIMATION UNCERTAINTY

There have been no changes to the Company's critical judgments and responses to estimation uncertainty in the period since the Company's audited annual consolidated financial statements and accompanying annual MD&A.

7. SELECTED FINANCIAL INFORMATION

(a) <u>Select annual information from the statements of profit or loss</u> 

The following table provides selected financial information from the statement of loss and comprehensive loss of the Company for the three months ended December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
| Revenue from digital assets mined | 7495738 | 4926371 |
| Direct costs | (6924878) | (6062803) |
| Operating expenses | (5100716) | (1688825) |
| Operating loss before other items | (4529856) | (2825257) |
| Other items | (7566911) | (3742423) |
| Total comprehensive loss | (12096767) | (6567680) |

---

*(i)* *Revenue from digital assets mined* 

Page **14** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

7. SELECTED FINANCIAL INFORMATION (CONT'D)

(a) <u>Select annual information from the statements of profit or loss (cont'd)</u> 

*(iii)* *Direct costs* 

Direct costs rose 14% to $6.9 million (Q1 2025: $6.1 million), primarily due to higher utilities of $3.3 million versus $2.7 million in the prior-year quarter. Depreciation of tangible assets declined slightly, while amortization of right-of-use assets trended up due to new lease agreements entered in the current quarter.

*(iv)* *Operating expenses* 

Operating expenses were $5.1 million (Q1 2025: $1.7 million). The increase was driven primarily by higher finance costs of $3.5 million (Q1 2025: $0.13 million) due to interest on long-term debt and other payables, and higher marketing expenses of $0.45 million (Q1 2025: $0.28 million),

Administrative expenses fell to $1.1 million (Q1 2025: $1.3 million), including lower consulting fees of $0.20 million (Q1 2025: $0.39 million) and lower legal fees of $0.56 million (Q1 2025: $0.59 million.

Finance costs increased to $3.50 million (Q1 2025: $0.13 million), comprised mainly of interest on loans and other payables of $3.16 million (Q1 2025: $0.05 million) and interest on lease liabilities of $0.05 million (Q1 2025: $0.07 million). The period-over-period increase primarily reflects the senior secured loan entered into in June 2025

*(v)* *Other expenses* 

Other expenses were $7.55 million (Q1 2025: $3.34 million). The increase was driven primarily by share-based expenses of $12.71 million (Q1 2025: $0.05 million), largely related to equity instruments that vested or were issued in connection with corporate activities during the period.

Share-based expenses in Q1 2026 of $12.71 million were comprised of:

● $11,344,063 from RSUs vested upon the reverse takeover of the Company (a significant, largely non-cash charge recognized upon vesting/acceleration at the transaction date);

● $521,422 from issued and vested stock options recognized in the period; and

● $842,902 from common shares issued for services rendered, representing non-cash consideration measured at fair value and expensed as the related services were received.

These expenses were partially offset by a gain on derivative financial instruments of $4.33 million in the current period (Q1 2025: nil) and a foreign exchange gain of $0.85 million in the current period versus a foreign exchange loss of $4.52 million in the comparative period. The current period also included a $0.02 million realized loss on sale of digital currency, compared to a $1.29 million realized gain in the comparative period.

(c) <u>Digital currency operations</u> 

For the three months ended December 31, 2025, revenue for digital assets mined was $7,50 million (Q1 2025: $4.93 million).

The change reflects 75.71 BTC mined during Q1 2026 as compared to 58.83 BTC in Q1 2025, driven primarily by differences in average hashrate and network difficulty.

Page **15** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

7. SELECTED FINANCIAL INFORMATION (CONT'D)

(c) <u>Digital currency operations (cont'd)</u> 

Average hashrate for the period was 1.30 EH/s (period-end installed hashrate 1.82 EH/s), compared with installed capacity of 0.92 EH/s across 25 containers and 10,629 miners.

Average realized price of 97,447 $/BTC (including transaction fees) as compared to 54,310 $/BTC in the comparative period, consistent with our policy to recognize mining revenue at the fair value of digital assets upon receipt.

Existing rigs (installed prior to the beginning of the reporting period): approximately 70% of mining revenue. New rigs (placed in service during the reporting period): approximately 30% of mining revenue.

For Q1 2026, direct costs were $6.90 million (Q1 2025: $6.06 million). Electricity and grid services: 34.45 MWh × 40.58 $/MWh = 3,352,155 (For the comparative period: 26.87 MWh × 47.19 $/MWh = 2,687,450). Utilities increased period-over-period, reflecting higher consumption during higher-uptime periods and network conditions.

8. QUARTERLY RESULTS

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
| | December 31, <br>2022 | March 31, <br>2022 | June 30, <br>2023 | September 30, <br>2023 |
| Revenue | 1186136 | 424478 | 1297062 | 9408300 |
| Total comprehensive loss | 7832041 | 553831 | 2838400 | 2534802 |
| Total assets | 55130157 | 53321816 | 50704069 | 29850652 |
| Total liabilities | 8855730 | 7727148 | 7659137 | 9993673 |
| Basic and diluted loss per share | 0.25 | 0.02 | 0.09 | 0.08 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
| | December 31, <br>2023 | March 31, <br>2024 | June 30, <br>2024 | September 30, <br>2024 |
| Revenue | 4253730 | 1939302 | 6850336 | 9567913 |
| Total comprehensive loss | 1596588 | 649685 | 1346820 | 10177157 |
| Total assets | 46213966 | 47641574 | 58800331 | 29850652 |
| Total liabilities | 9679369 | 7798355 | 13417570 | 16025622 |
| Basic and diluted loss per share | 0.05 | 0.02 | 0.04 | 0.31 |

---

Page **16** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

8. QUARTERLY RESULTS (CONT'D)

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) | For the three months ended (unaudited) |
| | December 31, <br>2024 | March 31, <br>2025 | June 30, <br>2025 | September 30, <br>2025 |
| Revenue | 4926371 | 6240872 | 6326175 | 7402272 |
| Total comprehensive loss (income) | 6567680 | 5525789 | 8065541 | (1185467) |
| Total assets | 27796229 | 35723697 | 29206650 | 42740718 |
| Total liabilities | 14977179 | 14997600 | 12048090 | 29890007 |
| Basic and diluted loss per share | 0.18 | 0.13 | 0.19 | (0.03) |

---

---

| | |
|:---|:---|
| For the three months ended (unaudited) | For the three months ended (unaudited) |
|  | December 31,<br> 2025 |
| Revenue | 7495738 |
| Total comprehensive loss (income) | 12096767 |
| Total assets | 56625858 |
| Total liabilities | 30380223 |
| Basic and diluted loss per share | 0.28 |

---

All quarterly financial information is unaudited.

Page **17** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

**9.** **MATERIAL TRANSACTIONS** 

(a) <u>Issued and outstanding share capital</u> 

---

| | | |
|:---|:---|:---|
| Share issuances | Shares | Share capital |
|  | # | $ |
| Balance, pre-Reverse Takeover | 479522030 | 113775486 |
| Share consolidation ratio | 0.10 | 1.00 |
| Balance, post-Reverse Takeover | 47952203 | 113775486 |
| November 19, 2025  | 4362954 | 154886 |
| December 1, 2025 | 38434 | 58107 |
| December 15, 2025 | 127773 | 205911 |
| December 16, 2025 | 50000 | 195873 |
| Balance, December 31, 2025 | 52531364 | 114390263 |

---

During the period ended December 31, 2025, the Company completed a brokered private placement of 375,000 units for gross proceeds of $1,500,000. Each unit comprised one common share and one common share purchase warrant, with each warrant exercisable to acquire one common share at an exercise price of $4.00 for two years from the date of issuance.

Proceeds were allocated between the common shares and warrants based on their relative fair values, with $892,293 allocated to the warrant component and $607,707 allocated to share capital

During the period, the Company issued 4,522,610 common shares upon the settlement of vested RSUs for a non-cash increase in share capital of $11,453,464, representing the reclassification of amounts recognized in equity for share-based compensation. The Company also issued 175,000 common shares as a finder's fee, increasing share capital by $700,000.

In November 2025, the Company completed a go-public transaction, as described in **Note 3(b)**. In connection with the transaction, the Company effected a 10-for1 consolidation of its common shares, resulting in a decrease in the number of issued and outstanding shares from 477,295,923 to 47,702,203, with no impact on total share capital.

Immediately prior to the transaction, WBM had 250,000 common shares issued and outstanding and issued an additional 4,112,954 common shares to settle indebtedness, resulting in 4,362,954 WBM common shares outstanding. Upon completion of the transaction, the consolidated share capital reflects the legal share capital of WBM.

Following the transaction, the Company issued 166,207 common shares upon the conversion of debt and 50,000 common shares upon the exercise of warrants, increasing share capital by $264,018 and $195,873, respectively.

As at December 31, 2025, the Company had 50,691,121 (2024 - 35,972,665) common shares issued and outstanding with total share capital of $110,450,642 (2024 - $87,072,937).

Page **18** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

9. MATERIAL TRANSACTIONS

(a) <u>Issued and outstanding share capital</u> 

Details regarding the Q1 2026 shares issuances are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Shares | Price | Proceeds | Share capital |
|  | # | $ | $ | $ |
| Subscriptions | 375000 | 1.62 | 607500 | 607707 |
| Exercised RSUs | 4522610 | 2.53 | n/a | 11453464 |
| Advisory shares | 175000 | 4.00 | n/a | 700000 |
| Shares issued for services | 4362955 | 0.04 | n/a | 154885 |
| Excerised convertible debt | 166207 | 4.00 | 664828 | 264018 |
| Excerised warrants | 50000 | 0.10 | 5000 | 195873 |
|  | 9651772 |  | 1277328 | 13375947 |

---

(b) <u>Options</u> 

The Company has a stock option plan (the "Stock Option Plan") under which the Board of Directors may grant to directors, officers, employees and technical consultants to the Company non-transferable options to purchase common shares, exercisable for periods of 3 to 5 years from the date of the grant.

---

| | | | |
|:---|:---|:---|:---|
| A summary of the stock options is as follows: |  |  |  |
|  | Number | Weighted-average exercise <br>price | Amount |
|  | # |  | $— |
| Balance, September 30, 2024 | 11063935 |  |  |
| Exercised | (1983602) |  |  |
| Balance, September 30, 2025 | 9080333 |  |  |
| Granted, November 19, 2025 | 1600000 |  |  |
| Balance, pre-Reverse Takeover | 10680333 |  |  |
| Share consolidation ratio | 0.10 |  |  |
| Balance, December 31, 2025 | 1068033 |  |  |
| Exercisable | 1018033 |  |  |

---

---

| | | | |
|:---|:---|:---|:---|
| December 31, 2025 | Options | Weighted- <br>average exercise | Weighted-average |
| Vesting Conditions | outstanding | price | remaining life |
|  | # | $ | $ |
| Immediately | 553033 | 2.65 | 0.97 |
| 1/3 per year from grant date | 305000 | 0.50 | 0.35 |
| Subsidiary reaches revenue of EUR 4 million | 50000 | 2.00 | 3.44 |
| Date of the corporation's RTO | 160000 | 4.00 | 4.89 |
| Outstanding, December 31, 2025 | 1068033 | 2.21 | 1.50 |
| Exercisable, December 31, 2025 | 1018033 | 2.22 | 1.40 |

---

Page **19** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

9. MATERIAL TRANSACTIONS (CONT'D)

(b) <u>Options (cont'd)</u> 

The fair value of each share-based payment transaction was estimated on the date of the grant, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | |
|:---|:---|
| | 19-Nov-25 |
| Estimated stock price at time of grant | $4.00 |
| Exercise price of the option | $4.00 |
| Number of period to exercise, in year | 5.00 |
| Compounded risk-free rate | 2.73% |
| Expected volatility | 115% |
| Dividend yield | 0% |

---

(c) <u>Restricted stock units</u> 

The 2022 Restricted Share Unit Plan (the "RSU Plan") allows the Company to award restricted share units to officers, employees, directors and consultants of the Company upon such conditions as the Board may establish, including the attainment of performance goals recommended by the Company's compensation committee.

The purchase price for common shares of the Company issuable under each Restricted Share Unit ("RSU") award, if any, shall be established by the Board at its discretion. Common shares issued pursuant to any RSU award may be made subject to vesting conditions based upon the satisfaction of service requirements, conditions, restrictions, time periods or performance goals established by the Board.

The RSUs are recognized as share-based compensation expense over the vesting period which is the lesser of: (i) the occurrence of one of the pre-defined liquidity events in the RSU notice, and (ii) 5 years after the grant date.

Page **20** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

**9.** **MATERIAL TRANSACTIONS (CONT'D)** 

(c) <u>Restricted stock units</u> 

A continuity of RSUs is as follows:

---

| | | |
|:---|:---|:---|
| | RSUs<br>Granted | RSUs<br>Vested |
|  | # | # |
| September 30, 2024 | 34596100 | 12571233 |
| Issued |  |  |
| Vested |  |  |
| Exercised | (3000000) | (3000000) |
|  | 31596100 | 9571233 |
| Share consolidation ratio | 0.10 | 0.10 |
| December 31, 2024 | 3159610 | 957123 |
| September 30, 2025 | 48476100 | 9571233 |
| Issued | 1000000 |  |
| Vested |  | 35654867 |
| Exercised | (45226100) | (45226100) |
|  | 4250000 |  |
| Share consolidation ratio | 0.10 | 0.10 |
| December 31, 2025 | 425000 |  |

---

During the period ended December 31, 2025, share-based compensation expense for the Company's RSUs was $11,344,064 (2024 - nil). The fair value of each share-based payment transactions was estimated on the date of the grant, based on the present value of the underlying equity, with the following weighted-average assumptions:

---

| | |
|:---|:---|
| | Oct 14, 2025 |
| Estimated stock price at time of grant | $0.40 |
| Number of periods to exercise, in years | 0.10 |
| Compounded risk-free rate | n/a |
| Dividend yield | 0.00% |
| Exercise price | $— |
| Volatility | 115% |
| Discount for lack of marketability | 0.00% |

---

As at December 31, 2025 a total of 425,000 had vested and were outstanding (2024 – 9,571,233 RSUs on a pre-consolidation basis, equivalent to 957,123 on a post-consolidation basis).

(d) <u>Warrants</u> 

The Company issued warrants in connection with the senior secured loan discussed in Note 21(c) of the Q1 Financial Statements and the convertible promissory notes described in Note 21(d) of the Q1 Financial Statements. The warrants issued in connection with the convertible promissory notes were classified as a derivative liability and were revalued as at December 31, 2025.

Page **21** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

23. EQUITY (CONT'D)

(d) <u>Warrants (cont'd)</u> 

In connection with the reverse takeover transaction completed during the period, outstanding warrants were adjusted to represent rights to acquire common shares of the legal parent and were further adjusted to reflect the 10-for-1 common share consolidation. Accordingly, the number of options outstanding and the related weighted-average exercise prices presented below are shown on a post-consolidated basis.

A summary of warrants is as follows:

---

| | | |
|:---|:---|:---|
| | Number | Weighted-average exercise <br>price |
|  | # | $ |
| Balance, September 30, 2025 |  |  |
| Granted | 32934800 | 0.09 |
| Balance, pre-Reverse Takeover | 32934800 | 0.09 |
| Share consolidation ratio | 0.10 | 0.10 |
| Balance, post-Reverse Takeover | 3293480 | 0.86 |
| Exercised | (50000) | 0.10 |
| Fair value changes |  |  |
| Balance, December 31, 2025 | 3243480 | 0.88 |
| Exercisable | 3243480 | 0.88 |

---

The fair value of the warrants were estimated on the date of the grant, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | | |
|:---|:---|:---|
| | Warrants, <br>Equity | Warrants, <br>Derivative liability |
| Estimated stock price at time of grant | $4.00 | $4.00 |
| Exercise price of the warrant | $0.10 | $5.00 |
| Number of period to exercise, in year | 5.00 | 3.00 |
| Compounded risk-free rate | 2.86% | 3.01% |
| Expected volatility | 115% | 83% |
| Dividend yield | 0% | 0% |

---

The fair value of the warrants classified as a derivative liability were estimated as at December 31, 2025, as determined by using the Black-Scholes option pricing model with the following weighted average assumptions:

---

| | |
|:---|:---|
| | Warrants, Derivative liability |
| Stock price at reporting date | $2.35 |
| Exercise price of the warrant | $5.00 |
| Number of period to exercise, in year | 2.77 |
| Compounded risk-free rate | 2.90% |
| Expected volatility | 83% |
| Dividend yield | 0% |

---

Page **22** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

10. RECONCILIATION OF EBITDA

The following table outlines the reconciliations of adjusted EBITDA and adjusted EBITDA margin to its nearest IFRS measure:

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
| Net loss | (12084590) | (6163330) |
| Interest expenses | 3211849 | 126667 |
| Interest income | (924) | (1554) |
| Income taxes |  |  |
| Depreciation | 2419444 | 3060473 |
| **EBITDA** | **(6454221)** | **(2977744)** |
| Stock-based compensation | 12708387 | 50000 |
| Foreign exchange gain | (846805) | 4524063 |
| **Adjusted EBITDA** | **5407361** | **1596319** |
| Revenue | 7495738 | 4926371 |
| Adjusted EBITDA | 5407361 | 1596319 |
| **Adjusted EBITDA margin** | **72%** | **32%** |

---

Adjustments to EBITDA are described in detail in the notes to the financial statements.

11. LIQUIDITY AND CAPITAL RESOURCES

(a) <u>Liquidity</u> 

As at December 31, 2025, the Company held cash of $10.5 million, compared to $5.5 million as at September 30, 2025. In addition, the Company maintained digital assets valued at $1.5 million (September 30, 2025 – $0.8 million), which may serve as a supplemental source of liquidity depending on prevailing market conditions. The Company's working capital surplus as at period-end was $1.3 million (September 30, 2025 – $6.4 million deficit), reflecting a higher level of current assets including cash and prepaid energy deposits.

(b) <u>Contractual obligations</u> 

The Company is party to various contractual obligations, including loans payable, settlement liabilities, convertible debentures, and lease liabilities. As at December 31, 2025, loans payable amounted to $8.4 million, of which $1.9 million is classified as current. Convertible debentures and promissory notes of $4.2 million are outstanding, of which $1.6 million are classified as a current liability, which is inclusive of the interest accretion on this debt. There were no off-balance sheet arrangements reported. The Company continues to service these obligations through available cash resources and ongoing capital management efforts.

(c) <u>Capital resources</u> 

The Company's capital resources primarily consist of shareholders' equity, which totaled $26.2 million at December 31, 2025, compared to $12.9 million at September 30, 2025. The increase was attributable to additional equity financings during the period, partially offset by the net loss for the period and other comprehensive losses. The Company's share capital increased to $114.4 million (fiscal 2025 – $101.0 million) as a result of equity issuances during the period, which provided important financing for operations.

Page **23** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

11. LIQUIDITY AND CAPITAL RESOURCES (CONT'D)

(c) <u>Capital resources (cont'd)</u> 

Management defines its capital structure as shareholders' equity, debt instruments (including loans payable, convertible debentures and lease liabilities), and other financing arrangements. The Company's objective is to preserve a flexible capital structure that allows it to respond to changing economic and industry conditions, while minimizing the overall cost of capital.

(d) <u>Digital currency</u> 

The Company holds Bitcoin primarily to support working capital needs. In managing liquidity risk, management targets maintaining cash and cash equivalents in excess of expected cash outflows over the next sixty days. When forecasts indicate a shortfall against this target, the Company disposes of Bitcoin to bridge the gap. Disposals are sized using weekly cash flow forecasts that consider near-term power, payroll, lease and debt-service obligations and expected customer collections; timing is aligned to settlement dates for these obligations and market trading windows that provide sufficient depth.

The Company continues to treat Bitcoin as a supplemental source of liquidity and will adjust the timing and amount of future sales in line with forecast cash needs and prevailing market conditions. Please refer to the corresponding financial statements for a continuity schedule of Bitcoin balances and disposals, and Financial Instruments and Risk Management for the Company's 60-day liquidity risk framework.

12. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT

The Company has exposure to credit risk, liquidity risk, and market risk arising from financial instruments. Management considers credit risk and market risk to be low. The following summarizes the Company's financial instruments and associated risks.

*Risk management framework*

The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework.

The board of directors has established the risk management committee, which is responsible for developing and monitoring the Company's risk management policies. The committee reports regularly to the board of directors on its activities.

The Company's risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

*Liquidity risk*

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset.

Page **24** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

12. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)

*Liquidity risk (cont'd)*

The Company's approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's reputation.

The Company aims to maintain the level of its cash and cash equivalents at an amount in excess of expected cash outflows on liabilities (other than trade payables) over the next 60 days.

The Company also monitors the level of expected cash inflows on trade and other receivables, together with the expected outflows on trade and other payables.

The Company's exposure to liquidity risk, calculated as total liabilities, is $30,380,223 as at December 31, 2025 (fiscal 2025 – $29,890,007), for which the Company has cash of $10,458,623 on hand to satisfy its liabilities (fiscal 2025 – $5,475,486). There have been no changes to the method for managing liquidity risk.

*Credit risk*

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. In order to reduce its credit risk, the Company reviews a new customer's credit history before extending credit and conducts regular reviews of its existing customers' credit performance. An allowance for doubtful accounts is established based upon factors surrounding the credit risk of specific accounts, historical trends and other information.

*Market risk*

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency rate risk, interest rate risk and other price risk. The Company is mainly exposed to interest rate and currency risk.

*Foreign currency risk*

The Company is exposed to foreign currency risk primarily through its operations in multiple jurisdictions and transactions denominated in currencies other than its functional currency.

Foreign currency risk arises from recognized assets and liabilities, as well as future commercial transactions that are denominated in a currency different from the functional currency of the Company entities. The Company monitors its exposure to foreign currency risk on an ongoing basis and uses derivative financial instruments, such as forward exchange contracts, to hedge significant foreign currency exposures when considered appropriate and as when required. The effectiveness of these hedging instruments is assessed regularly.

However, the Company does not hedge all of its foreign currency exposures, and fluctuations in exchange rates could have a material impact on the Company's financial performance and position.

Page **25** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

12. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)

*Interest rate risk*

The Company's exposure to interest rate risk arises primarily from its variable-rate borrowings and lease liabilities. Changes in market interest rates can affect the Company's interest expense and the value of its financial liabilities. To manage interest rate risk, the Company may enter into interest rate swap agreements to convert variable-rate debt into fixed-rate debt, thereby reducing exposure to fluctuations in interest rates. Management regularly reviews the interest rate exposure and considers the potential impact of interest rate movements on its financial performance. However, there can be no assurance that these measures will fully mitigate the impact of interest rate fluctuations.

*Digital currency risk*

The Company is exposed to digital currency risk due to its holdings and transactions in cryptocurrencies. Digital currency risk arises from the volatility in the market prices of cryptocurrencies, which can fluctuate significantly due to various factors, including market demand, regulatory developments, and macroeconomic trends.

The Company manages its digital currency risk by monitoring market conditions and may engage in hedging activities, such as entering into derivative contracts, to mitigate the impact of adverse price movements. However, given the inherent volatility and the relatively nascent nature of digital currency markets, there remains a significant risk that the value of the Company's digital assets could experience substantial fluctuations, which could materially affect the Company's financial performance and position.

*Custody risk*

The Company mines digital assets through a pool and transfers rewards from the pool to Company-controlled private wallets on a daily basis, and safeguards these holdings through a tiered wallet structure.

Transactions are subject to segregation of duties and role-based approvals. Private keys are generated in controlled environments with encrypted, geographically separated backups and periodically refreshed. The Company does not use a third-party custodian to hold digital assets and exposure to the pool is minimized through daily withdrawals and monitoring. Wallet activity is reconciled and reviewed by management.

*Loss of access risk*

The loss of access to the private keys associated with the Company's Bitcoin holdings may be irreversible and could adversely affect an investment. An amount of Bitcoin is spendable only by whoever possesses the private key associated with the address on which the Bitcoin is held.

To the extent a private key is lost, destroyed, or otherwise compromised, and no backup is accessible, the Company may be unable to access the associated Bitcoin. To mitigate this, the wallets are designed such that no single key, device, or individual is critical, encrypted back-ups and/or key-share arrangements are maintained in secure locations to enable controlled recovery.

Page **26** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

13. RELATED PARTY TRANSACTIONS

The Company defines related parties in accordance with the definitions in IAS 24 - Related Party Disclosures. As they pertain to the Company, related parties comprise: (i) Key management personnel as described below, and (ii) entities within the Company's reporting group as described in **Note 3(b)**.

(a) <u>Key management personnel transactions</u> 

Key management includes the Company's directors, officers and any consultants with the authority and responsibility for planning, directing, and controlling the activities of an entity, directly or indirectly, and includes Chief Executive Officer, Chief Financial Officer, Chief Technical Officer. Amounts owing to related parties consists of amounts due to key management.

During the periods ended December 31, 2025 and 2024, key management personnel compensation consisted of short-term and long-term benefits and remuneration, and was classified as follows:

---

| | | |
|:---|:---|:---|
| | For the 3 months <br>ended | For the 3 months <br>ended |
| | 31-Dec-25 | 31-Dec-24 |
| Total compensation paid to key management | 166433 | 123888 |
| Share-based payments | 7776463 |  |
|  | 7942896 | 123888 |

---

A detailed breakdown of the key management personnel compensation for the three-month periods ended December 31, 2025 and 2024, and the fiscal year ended September 30, 2025 is as follows:

---

| | | | |
|:---|:---|:---|:---|
| | For the 3 months ended <br>31-Dec-25 | For the 3 months ended <br>31-Dec-24 | For the 12 months ended <br>30-Sep-25 |
| Giovanni Gardenzi | 1173996 | 40000 | 220000 |
| Mohammed Salah Bakhashwain | 6682467 |  | 3000000 |
| Frank Aadnevik | 86433 | 83888 | 815197 |

---

As of December 31, 2025 and September 30, 2025, amounts due to related parties consisted of the following:

---

| | | |
|:---|:---|:---|
| | December 31, 2025 | September 30, 2025 |
|  | $ | $ |
| Balances included in accounts and other payables |  | 95758 |
| Related party advances | 148800 | 150794 |

---

The balances are unsecured, due on demand and bear no interest, unless otherwise disclosed.

Page **27** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

13. RELATED PARTY TRANSACTIONS (CONT'D)

(b) <u>Key management dispute</u> 

The Company filed a lawsuit against its former CEO, for employment-related matters. The former CEO has filed a countersuit for damages against the Company. The likelihood and magnitude of the amounts in dispute are not determinable as at the date of these consolidated financial statements and, as such, no provision has been recorded thereon.

(c) <u>Convertible debentures</u> 

On August 10, 2021, the Company obtained an unsecured convertible loan from the Company's CEO, ("CEO Loan"), in the principal amount of $1,000,000. The CEO Loan shall bear no interest prior to the maturity date. As and from the maturity date, any outstanding balance of the loan shall bear interest at an annual rate of 15% per annum, compounded semi-annually.

The Company must repay the loan immediately upon the earliest of the date (the "Maturity Date") or the occurrence of the following events: (i) the Company receiving gross funds from investors participating in the Company's current round of equity financing totaling $10,000,000 or more, or (ii) the Company having public market value/capitalization on a recognized Canadian stock exchange of at least $50,000,000 or (iii) CEO ceasing to be the Chairman and CEO of the Company for any reason whatsoever, other than his voluntary resignation.

After the Maturity Date, the Company may also elect, at its sole discretion, to convert the amount of the loan in whole or in part into common shares of the Company at a price of CAD $0.40 per common share.

The Company allocated the proceeds of $1,000,000 as follows: first to liability component for

$945,267, with the residual value to the equity component for $54,733. The debenture has not been converted or repaid subsequent to the period end.

14. OFF-BALANCE-SHEET ARRANGEMENTS

As at December 31, 2025, the Company had no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company's financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

15. RISK FACTORS AND UNCERTAINTIES

The Company's operations involve numerous risks and uncertainties, many of which are beyond its control. The risks outlined below are not exhaustive. Additional risks—currently unknown to the Company or considered immaterial by management—could materially and adversely affect the Company's business, operations, financial condition, results of operations, or share price. Investors should carefully evaluate the following risks together with the other information contained in this MD&A and the Company's financial statements before making an investment decision. A number of the Company's risks are entity specific, including concentration of operations at a single facility in Norway's NO4 region, reliance of a third party mining pool provider (Luxor), exposure to a limited number of hosting customers, and the potential impact of Norwegian regulatory or grid policy changes on power costs and uptime.

Page **28** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES

(a) <u>Technology, digital asset custody & operational continuity</u> 

*(i)* *Cryptocurrency security and code vulnerabilities* 

The Company's digital asset holdings are inherently vulnerable to cybersecurity incidents, source code flaws, and network exploits. Cryptocurrencies rely on complex and constantly evolving open-source software, and despite peer review, errors in the codebase have occasionally been identified and exploited by malicious actors. While material exploits remain relatively rare, the possibility exists that undiscovered vulnerabilities could enable unauthorized transfers or the creation of counterfeit assets, potentially resulting in significant financial losses for the Company. The very nature of cryptocurrencies—as bearer assets accessible only through private keys—exacerbates this risk, as stolen or compromised assets are virtually impossible to recover.

*(ii)* *Custodial, wallet, and exchange risks* 

The Company's reliance on custodial solutions, both internal and external, presents additional risks of theft, mismanagement, or insolvency of service providers. Cryptocurrency exchanges, although a key source of liquidity, remain less regulated and more prone to fraud, hacking, and operational failures than traditional financial institutions. High-profile collapses of exchanges in recent years underscore the vulnerability of counterparties in this space.

Any exchange failure or wallet compromise could lead to unrecoverable losses of the Company's inventory, directly harming its financial condition and potentially affecting investor confidence.

*(iii)* *Systems failures and cyber incidents* 

Maintaining continuous mining and treasury operations requires resilient IT infrastructure. Risks include cyber intrusions, malware attacks, denial-of-service incidents, and failures due to fire, flood, or other disasters. The Company invests in redundancies, backup power, and ongoing upgrades to infrastructure; however, no system is infallible.

Extended downtime could impair mining output, disrupt treasury functions, and materially reduce revenues. Moreover, reputational harm may arise if customers, partners, or regulators perceive inadequacies in the Company's controls.

*(iv)* *Access to economical and reliable power* 

Cryptocurrency mining is energy intensive. The Company's operations depend on reliable, large-scale, and competitively priced electricity. Any material increase in power tariffs, supply curtailments, or unfavourable regulatory actions by utilities could erode operating margins. For example, regional energy regulators such as Hydro-Québec have previously imposed moratoria and considered imposing surcharges or operational requirements on cryptomining firms. Similar actions in the future could materially impact the Company's cost base and profitability.

*(v)* *Hardware sourcing, pricing and technological obsolescence* 

The Company's competitiveness depends on the timely acquisition of state-of-the-art mining machines at reasonable cost. Global demand for mining hardware is highly cyclical, and shortages or supply chain disruptions can lead to inflated prices and delivery delays. Rapid technological advancement further compounds this risk, as newer models quickly supersede older ones, reducing efficiency and revenue potential. If the Company cannot secure updated hardware, it risks being outcompeted by better-capitalized peers.

Page **29** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES (CONT'D)

(a) <u>Technology, digital asset custody & operational continuity (cont'd)</u> 

*(vi)* *Insurance limitations* 

Insurance tailored to cryptocurrency mining and custody remains nascent, with limited coverage options available at significant cost. Events such as theft, hacking, or catastrophic facility damage may fall outside standard policies or within exclusions. If uninsured or underinsured losses occur, the Company could experience material financial and operational setbacks.

*(vii)* *Permits and licenses* 

Mining and hosting operations may require governmental permits and environmental, zoning, or regulatory approvals.

Inability to obtain or maintain these approvals could restrict growth or increase compliance costs. Unexpected changes in licensing regimes could also impose delays or additional capital requirements.

*(viii)* *Third-party service providers and software dependencies* 

The Company's operations rely on a wide network of third-party vendors, including software developers, cloud computing providers, and specialized contractors. Many of these service providers operate outside of traditional regulatory frameworks, and their internal controls may not be transparent. If such third parties fail to deliver services, suffer outages, or experience breaches of their own systems, the Company may face significant disruptions to its mining, treasury, and reporting functions. Replacing or renegotiating with these providers can be costly and time-consuming, and prolonged service interruptions could materially impair financial performance.

*(ix)* *Physical facility risks and environmental hazards* 

Mining operations are highly sensitive to the physical integrity of their facilities. Fire hazards, water damage, structural weaknesses, and HVAC failures present ongoing risks to the safety and continuity of operations.

Furthermore, increasing scrutiny of environmental impact, particularly regarding noise levels, heat emissions, and recycling of obsolete hardware, may expose the Company to community opposition or compliance costs. Any incident or regulatory non-compliance could result not only in financial losses but also in reputational harm, hindering the Company's ability to expand operations.

*(x)* *Data integrity and disaster recovery limitations* 

The Company's business model requires the storage and processing of vast amounts of financial and technical data. A failure in backup protocols, inadequate disaster recovery systems, or corruption of key data sets could materially impair operations and reporting accuracy. Although the Company has instituted redundancy systems and periodic testing, full resilience cannot be guaranteed. If critical data is lost or compromised, the Company could face operational delays, compliance failures, and increased risk of fraud or misrepresentation, any of which could erode investor and customer confidence.

Page **30** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES (CONT'D)

(b) <u>Regulatory, market structure & digital asset economics</u> 

*(i)* *Regulatory change and policy actions* 

The global regulatory environment for cryptocurrencies remains fragmented and dynamic. Some jurisdictions actively support digital asset innovation, while others impose outright bans or restrictive frameworks. The Company faces uncertainty around potential new laws in Canada and internationally that could directly impact mining, ownership, transfer, or taxation of cryptocurrencies. Regulatory shifts could also extend indirectly to the Company's shares if authorities classify them as linked to restricted activities. In the worst case, regulations could force liquidation of inventories at unfavourable prices, curtail access to exchanges, or prohibit ongoing operations.

*(ii)* *Banking and payments de — risking* 

A persistent challenge for cryptocurrency-related businesses is limited access to banking services. Many financial institutions perceive heightened compliance risks, particularly with respect to anti-money laundering and counter-terrorist financing. If the Company's banking partners reduce or withdraw services, treasury management could be impaired, increasing operational complexity and reputational risk.

*(iii)* *Exchange and trading — venue fragility* 

Digital asset markets are young and only partially regulated. Major exchanges have experienced insolvencies, hacks, and abrupt shutdowns. Smaller exchanges may lack sufficient capitalization, while larger venues are attractive targets for cyberattacks or regulatory scrutiny. Because cryptocurrency prices are determined primarily on these venues, any disruption could trigger significant volatility and impair liquidity.

*(iv)* *Adoption and utility uncertainty* 

Despite increased awareness, mainstream adoption of cryptocurrencies as a payment method remains limited. Use in retail and commercial markets is small compared with speculative trading. If adoption stalls or reverses, the result may be greater price volatility and diminished long-term value. Since cryptocurrencies have no intrinsic legal tender status, their worth depends on user and merchant acceptance. A collapse in acceptance could render them illiquid or valueless.

*(v)* *Price volatility and momentum dynamics* 

Cryptocurrency prices are highly volatile, often driven by sentiment, leverage, or speculative momentum rather than fundamentals. This amplifies the risk of sharp value swings in short periods, leading to potential mark-to-market losses on the Company's inventory. Momentum pricing creates a feedback loop that can exacerbate both rapid appreciation and sudden crashes.

*(vi)* *Network economics, reward structure and transaction fees* 

Mining economics depend on rewards issued by protocols. As block rewards halve approximately every four years, transaction fees are expected to play a larger role. If total rewards prove insufficient to incentivize miners, overall network participation could decline, reducing security and increasing susceptibility to attacks. Lower participation may also reduce block production speed, undermining confidence in the network and indirectly affecting the Company's revenues.

Page **31** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES (CONT'D)

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(vii)* *Network difficulty and competition* 

Bitcoin's self-adjusting difficulty mechanism means that rising global hash rates dilute per—unit rewards. As competitors with greater scale and efficiency join the network, the Company's output may decrease despite unchanged costs, potentially eroding profitability. This dynamic could render operations uneconomical if difficulty rises faster than anticipated.

*(viii)* *Supply and demand shocks, including actions by investment vehicles* 

The emergence of cryptocurrency investment vehicles, such as exchange-traded funds and trusts, concentrates significant market influence in institutional hands.

Large inflows or redemptions from these vehicles can amplify volatility. Should such entities sell large holdings in a short period, digital asset prices could fall sharply, negatively affecting the Company's inventory value.

*(ix)* *Geopolitical and macroeconomic events* 

Crises such as wars, sanctions, or economic recessions may drive speculative demand for cryptocurrencies as alternative stores of value. These inflows can temporarily inflate prices but are often followed by corrections. Conversely, geopolitical instability may reduce confidence in cryptocurrencies as viable alternatives to fiat, further complicating demand forecasts. The unpredictability of such events creates additional uncertainty in planning and risk management.

*(x)* *Forced sales to fund operations* 

The Company may need to liquidate digital assets to meet operational obligations or fund expansion, regardless of prevailing market conditions. If such sales occur during periods of depressed prices, they may crystallize losses and adversely affect cash flow and profitability.

*(xi)* *Cross-border regulatory inconsistencies* 

The Company operates in a global marketplace where digital assets frequently cross jurisdictions. Inconsistent or conflicting international rules on mining, custody, taxation, and transfer of cryptocurrencies create ongoing uncertainty. For example, assets legally mined in one country may face restrictions or penalties if transferred or sold in another. Navigating these regulatory patchworks requires significant legal resources and exposes the Company to inadvertent non-compliance risks. Future regulatory divergence may also hinder the Company's ability to scale internationally.

*(xii)* *Market manipulation and integrity concerns* 

Digital asset markets are less regulated than traditional securities exchanges, leaving them vulnerable to practices such as wash trading, spoofing, pump-and-dump schemes, and the influence of large "whale" investors. Such manipulative behaviour can distort pricing, reduce transparency, and undermine confidence in the market as a whole. If manipulation is widespread or persistent, the Company may experience unexpected valuation swings in its inventory, limiting its ability to plan operations, raise capital, or secure counterparties.

Page **32** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES (CONT'D)

(b) <u>Regulatory, market structure & digital asset economics (cont'd)</u> 

*(xiii)* *Shifts in energy policy and carbon regulation* 

Governments worldwide are increasingly focused on sustainability and carbon reduction. Mining, as an energy-intensive activity, could be targeted with taxes, levies, or outright restrictions intended to reduce greenhouse gas emissions. Jurisdictions that once welcomed mining may pivot toward more restrictive stances as public pressure mounts. If regulators impose carbon pricing, renewable energy quotas, or limitations on power usage specific to cryptocurrency miners, the Company's cost structure and long-term viability could be materially affected.

(c) <u>Financial, corporate, legal & governance</u> 

*(i)* *Liquidity and additional financing* 

Execution of the Company's business strategy depends on raising and maintaining adequate capital. There is no guarantee that financing will be available on favourable terms—or at all—when required. Equity financings may dilute existing shareholders, while debt could impose restrictive covenants. Failure to secure necessary funding could result in scaling back or abandoning strategic initiatives and, in extreme cases, threaten the Company's ability to continue as a going concern.

*(ii)* *Key personnel* 

The Company relies heavily on its senior management team and specialized technical staff. Retaining and attracting individuals with cryptocurrency, finance, and technology expertise is highly competitive. Departure of key personnel without suitable replacements could materially disrupt strategy execution and growth.

*(iii)* *Strategy execution, acquisitions and integrations* 

As part of its strategy, the Company may pursue acquisitions, joint ventures, or partnerships. Each transaction carries risks related to due diligence, financing, cultural integration, and realization of synergies. Missteps in execution could result in financial losses or distraction from core operations.

*(iv)* *Conflicts of interest* 

Some directors and officers may hold positions in or investments in other entities engaged in cryptocurrency or technology businesses. While legal safeguards require disclosure and abstention from conflicted decisions, the perception or reality of conflicts could raise governance concerns or complicate decision-making.

*(v)* *Litigation and regulatory proceedings* 

The Company may face legal or regulatory claims in the ordinary course of business. Even if ultimately resolved favourably, such proceedings can consume management resources and generate costs. Adverse rulings may result in penalties, damages, or operational restrictions.

*(vi)* *Intellectual property claims* 

Third parties may assert that the Company's activities infringe upon their intellectual property rights. Defending such claims, regardless of merit, can be costly and disruptive. Unfavourable outcomes could affect the Company's ability to operate or diminish confidence in cryptocurrencies generally.

Page **33** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES (CONT'D)

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(vii)* *Dividend policy* 

The Company has not declared dividends and does not expect to do so in the foreseeable future. Future dividend decisions, if any, will depend on profitability, liquidity, and Board discretion. Shareholders should not expect income from dividends in the near term.

*(viii)* *Tax attributes and compliance risks* 

The Company has approximately $24 million of tax loss carryforwards that may offset future taxable income. Utilization depends on continued profitability and acceptance by the Canada Revenue Agency. If disallowed, future tax liabilities may increase.

Furthermore, uncertainty remains regarding the treatment of cryptocurrency mining under commodity tax regimes such as GST, HST, and QST. Adverse assessments or interpretive changes could delay refunds or reduce working capital.

*(ix)* *Income and commodity tax uncertainty* 

Complex and evolving tax rules pose ongoing risks. Disputes with authorities may result in additional taxes, penalties, or interest. Even with proactive compliance, interpretations may shift, creating potential liabilities.

*(x)* *Competition and market perception* 

The Company competes with other miners and digital asset firms for resources, customers, and investor attention. Negative industry events—such as exchange failures, hacks, or regulatory crackdowns—can tarnish sentiment and reduce valuations across the sector, affecting the Company even if it is not directly implicated.

*(xi)* *Dependence on capital markets sentiment* 

As a publicly traded entity, the Company's valuation and access to capital are closely tied to investor sentiment toward the digital asset sector. Market downturns, scandals involving other blockchain companies, or broader declines in technology stocks may limit the Company's ability to issue equity or debt on acceptable terms. A sudden contraction in available financing could force the Company to curtail growth initiatives, restructure operations, or sell assets at distressed values.

*(xii)* *Internal control and financial reporting risks* 

The complexity of accounting for digital assets, coupled with evolving standards under IFRS, creates heightened risk of errors or misstatements in the Company's financial disclosures. Inadequate internal controls, resource constraints in finance teams, or reliance on manual reconciliation processes could result in delayed filings, restatements, or regulatory scrutiny. Such outcomes would undermine credibility with investors and may limit access to financing or strategic partners.

Page **34** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

15. RISK FACTORS AND UNCERTAINTIES (CONT'D)

(c) <u>Financial, corporate, legal & governance (cont'd)</u> 

*(xiii)* *Reputational exposure and stakeholder confidence* 

The Company operates in a sector that is often subject to intense media attention and public debate. Negative coverage—whether linked to cybersecurity incidents, environmental concerns, or unrelated events in the digital asset industry—can affect the Company's reputation even in the absence of direct involvement. Erosion of stakeholder confidence may impair the Company's ability to attract and retain employees, customers, and investors, creating a self-reinforcing cycle that hampers growth and long-term resilience.

16. DISCLOSURE CONTORLS AND PROCEDURES/ INTERNAL CONTROL OVER FINANCING REPORTING

As a venture issuer, the Company has filed basic certificates under National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings ("NI 52-109").

The certifying officers do not make representations relating to the establishment and maintenance of disclosure controls and procedures ("DC&P") and internal control over financial reporting ("ICFR"), as defined in NI 52-109. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected. There has been no change in the Company's ICFR during the period that has materially affected, or is reasonably likely to materially affect, the Company's ICFR. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected.

17. OUTLOOK

Management expects post halving mining economics to remain challenging and highly sensitive to BTC price, transaction fees and network difficulty. The Company's near term priorities are: (i) increasing energy efficiency and hashrate per MW through new miner deployments; (ii) expanding hosting revenue to improve cash flow stability; (iii) optimizing grid flexibility revenues in Norway; and (iv) maintaining disciplined capital allocation. These expectations constitute forward looking information and are based on the assumptions described under "Forward Looking Information.". See 'Cautionary Note Regarding Forward-Looking Information' for important assumptions and risk factors.

18. OUTSTANDING SHARE DATA

As at December 31, 2025, the Company's outstanding share data is as follows:

● Common shares outstanding: 52,531,364

● Stock options outstanding: 1,068,033

○ Weighted average exercise price: $2.21

○ Weighted average remaining life: 1.5 years

○ Options exercisable: 1,018,033

● Restricted Share Units (RSUs) outstanding: 425,000

Page **35** of **36**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> For the three-month period ended December 31, 2025<br> *(Expressed in United States Dollars, unless otherwise noted)* | &nbsp;&nbsp;&nbsp; **BITZERO HOLDINGS INC.**<br> **(formerly WBM Capital Corp.)** |

---

18. OUTSTANDING SHARE DATA (CONT'D)

● Convertible debentures and promissory notes outstanding: $14,523,990 principal amount.

○ $10,245,000 convertible at $4.00 per share at the holders' option

○ $1,000,000 convertible at CAD $4.00 per share at the Company's option after maturity

○ $425,000 convertible at USD $4.00 per share at the holders' option

○ $2,853,990 convertible at USD $4.00 per the vendor's option, plus accrued interest

● Common share purchase warrants outstanding: 3,243,480

○ Weighted average exercise price: $0.88

○ Weighted average remaining life: 4.21 years

○ Warrants exercisable: 3,243,480

For a detailed breakdown of the Company's outstanding securities, including exercise prices, expiry dates, vesting conditions, and any changes subsequent to period end, please refer to Section 4 (Subsequent Events) and Section 9 (Material Transactions).

19. FILING

These documents have been filed electronically with the Canadian securities regulators through the System for Electronic Document Analysis and Retrieval + ("SEDAR+") and may be accessed through SEDAR+'s website at <u>www.sedarplus.ca</u>.

Page **36** of **36**

## Exhibit 99.87

**Exhibit 99.87**

**Form 52-109FV2**

**Certification of Interim Filings<br> Venture Issuer Basic Certificate**

I, Mohammed Bakhashwain, the Chief Executive Officer of Bitzero Holdings Inc., certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together,
 the "interim filings") of Bitzero Holdings Inc. (the "issuer")
 for the interim period ended December 31, 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence,
 the interim filings do not contain any untrue statement of a material fact or omit to
 state a material fact required to be stated or that is necessary to make a statement
 not misleading in light of the circumstances under which it was made, with respect to
 the period covered by the interim filings.

*3.*  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the
 interim financial report together with the other financial information included in the
 interim filings fairly present in all material respects the financial condition, financial
 performance and cash flows of the issuer, as of the date of and for the periods presented
 in the interim filings.

Date: February 27, 2026

"*Mohammed Bakhashwain*"

Mohammed Bakhashwain

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.88

**Exhibit 99.88**

**Form 52-109FV2**

**Certification of Interim Filings<br> Venture Issuer Basic Certificate**

I, Igor Kostioutchenko, the Chief Financial Officer of Bitzero Holdings Inc., certify the following:

1.  ***Review:*** I have reviewed the interim financial report and interim MD&A (together,
 the "interim filings") of Bitzero Holdings Inc. (the "issuer")
 for the interim period ended December 31, 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence,
 the interim filings do not contain any untrue statement of a material fact or omit to
 state a material fact required to be stated or that is necessary to make a statement
 not misleading in light of the circumstances under which it was made, with respect to
 the period covered by the interim filings.

*3.*  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the
 interim financial report together with the other financial information included in the
 interim filings fairly present in all material respects the financial condition, financial
 performance and cash flows of the issuer, as of the date of and for the periods presented
 in the interim filings.

Date: February 27, 2026

"*Igor Kostioutchenko*"

Igor Kostioutchenko

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.89

**Exhibit 99.89**

**WBM CAPITAL CORP.**

Consolidated Financial Statements

For the years ended October 31, 2025 and 2024 <br> (expressed in Canadian Dollars, unless otherwise stated)

---

| | |
|:---|:---|
| **Table of contents** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

---

| | |
|:---|:---|
| Independent Auditor's Report | 3-5 |
| Consolidated Statements of Loss and Comprehensive Loss | 6 |
| Consolidated Statements of Financial Position | 7 |
| Consolidated Statements of Changes in Shareholder's (Deficiency) Equity | 8 |
| Consolidated Statements of Cash Flows | 9 |
| Notes to the Consolidated Financial Statements | 10-30 |

---

Page **2** of **30**

---

| | |
|:---|:---|
| ![](img001_v6.jpg) | <br> **SRCO Professional Corporation**<br>**Chartered Professional Accountants**<br>**Licensed Public Accountants**<br>Park Place Corporate Centre<br>15 Wertheim Court, Suite 409<br> Richmond Hill, ON L4B 3H7, Canada<br>Tel: 905 882 9500 & 416 671 7292<br> Fax: 905 882 9580<br>Email: info@srco.ca <br> www.srco.ca |

---

**INDEPENDENT AUDITOR'S REPORT**

**To the Shareholders of WBM Capital Corp.**

***Opinion***

We have audited the consolidated financial statements of WBM Capital Corp. and its subsidiaries (the "Company"), which comprise the consolidated statement of financial position as at October 31, 2025, the consolidated statements of loss and comprehensive loss, changes in shareholders' deficiency, and cash flows for the year then ended, and notes to the consolidated financial statements, including material accounting policy information (collectively referred to as the "consolidated financial statements").

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as at October 31, 2025, and its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).

***Basis for Opinion***

We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the *Auditor's Responsibilities for the Audit of the Consolidated Financial Statements* section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

***Emphasis of Matter - Material Uncertainty Related to Going Concern***

We draw attention to Note 2 to the consolidated financial statements, which indicates that the Company incurred an operating loss during the year ended October 31, 2025 and had a working capital deficit and an accumulated deficit at October 31, 2025. As stated in Note 2, these events or conditions, along with other matters as set forth in Note 2, indicate that material uncertainties exist that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

***Key Audit Matters***

Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the consolidated financial statements for the year ended October 31, 2025. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Except for the matter described in the *Emphasis of Matter - Material Uncertainty Related to Going Concern* section, we have determined that there are no other key audit matters to communicate in our auditor's report.

*(continues)*

![](img001_v6.jpg)

**Independent Auditor's Report to the Shareholders of WBM Capital Corp.** *(continued)*

***Other Matter***

The consolidated financial statements of the Company for the year ended October 31, 2024, were audited by another auditor who expressed an unmodified opinion on those statements on February 27, 2025.

***Other Information***

Management is responsible for the other information. The other information comprises the information included in the Management's Discussion and Analysis but does not include the consolidated financial statements and our auditor's report thereon. Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated.

We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

***Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements***

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS as issued by the IASB, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Company's financial reporting process.

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements***

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(continues)*

![](img001_v6.jpg)

**Independent Auditor's Report to the Shareholders of WBM Capital Corp.** *(continued)*

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements*** *(continued)*

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

&nbsp;&nbsp;&nbsp;&nbsp;● Identify
 and assess the risks of material misstatement of the consolidated financial statements,
 whether due to fraud or error, design and perform audit procedures responsive to those
 risks, and obtain audit evidence that is sufficient and appropriate to provide a basis
 for our opinion. The risk of not detecting a material misstatement resulting from fraud
 is higher than for one resulting from error, as fraud may involve collusion, forgery,
 intentional omissions, misrepresentations, or the override of internal control.

&nbsp;&nbsp;&nbsp;&nbsp;● Obtain
 an understanding of internal control relevant to the audit in order to design audit procedures
 that are appropriate in the circumstances, but not for the purpose of expressing an opinion
 on the effectiveness of the Company's internal control.

&nbsp;&nbsp;&nbsp;&nbsp;● Evaluate
 the appropriateness of accounting policies used and the reasonableness of accounting
 estimates and related disclosures made by management.

&nbsp;&nbsp;&nbsp;&nbsp;● Conclude
 on the appropriateness of management's use of the going concern basis of accounting and,
 based on the audit evidence obtained, whether a material uncertainty exists related to
 events or conditions that may cast significant doubt on the Company's ability to
 continue as a going concern. If we conclude that a material uncertainty exists, we are
 required to draw attention in our auditor's report to the related disclosures in the
 consolidated financial statements or, if such disclosures are inadequate, to modify our
 opinion. Our conclusions are based on the audit evidence obtained up to the date of our
 auditor's report. However, future events or conditions may cause the Company to cease
 to continue as a going concern.

&nbsp;&nbsp;&nbsp;&nbsp;● Evaluate
 the overall presentation, structure and content of the consolidated financial statements,
 including the disclosures, and whether the consolidated financial statements represent
 the underlying transactions and events in a manner that achieves fair presentation.

&nbsp;&nbsp;&nbsp;&nbsp;● Plan
 and perform the group audit to obtain sufficient appropriate audit evidence regarding
 the financial information of the entities or business units within the Company as a basis
 for forming an opinion on the consolidated financial statements. We are responsible for
 the direction, supervision and review of the audit work performed for purposes of the
 group audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(continues)*

![](img001_v6.jpg)

**Independent Auditor's Report to the Shareholders of WBM Capital Corp.***(continued)*

***Auditor's Responsibilities for the Audit of the Consolidated Financial Statements*** *(continued)*

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partner on the audit resulting in this independent auditor's report is Sameer Parekh.

---

| | |
|:---|:---|
|  | ![](img002_v6.jpg) |
| Richmond Hill, Canada<br>March 6, 2026 | CHARTERED PROFESSIONAL ACCOUNTANTS <br> Authorized to practice public accounting by the <br> Chartered Professional Accountants of Ontario |

---

---

| | |
|:---|:---|
| **Consolidated statements of loss and comprehensive loss** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, unless otherwise noted) | **CORP.** |
| *For the years ended* | October 31, 2025 and 2024 |

---

---

| | |
|:---|:---|
| | Note |
| **EXPENSES** |  |
| &nbsp;&nbsp;&nbsp;General and administrative | 9 |
| &nbsp;&nbsp;&nbsp;Advertising and promotion |  |
| &nbsp;&nbsp;&nbsp;Management fees | 8 |
| &nbsp;&nbsp;&nbsp;Share-based payments | 7 |
| Loss before other items |  |
| **OTHER ITEMS** |  |
| &nbsp;&nbsp;&nbsp;Gain on settlement of debt |  |
| &nbsp;&nbsp;&nbsp;Foreign exchange loss |  |
| &nbsp;&nbsp;&nbsp;Loss of input tax credits | 6 |
| &nbsp;&nbsp;&nbsp;Tax expense | 6 |
| &nbsp;&nbsp;&nbsp;Interest income | 5 |
| &nbsp;&nbsp;&nbsp;Finance charges |  |
| Net loss |  |
| Foreign translation adjustment |  |
| **Total comprehensive loss** |  |
| **Loss per share** |  |
| &nbsp;&nbsp;&nbsp;Weighted average number of common shares | 7 |
| &nbsp;&nbsp;&nbsp;Basic and diluted loss per share |  |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **6** of **30** |

---

---

| | |
|:---|:---|
| **Consolidated statements of financial position** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, unless otherwise noted) | **CORP.** |
| *As at* | October 31, 2025 and 2024 |

---

---

| | |
|:---|:---|
| | Note |
| **ASSETS** |  |
| &nbsp;&nbsp;&nbsp;*Current* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits |  |
| **TOTAL ASSETS** |  |
| **LIABILITIES AND SHAREHOLDERS' (DEFICIENCY) EQUITY** |  |
| &nbsp;&nbsp;&nbsp;*Current liabilities* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities |  |
| &nbsp;&nbsp;&nbsp;*Total liabilities* |  |
| &nbsp;&nbsp;&nbsp;*Equity* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share capital | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reserves | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit |  |
| &nbsp;&nbsp;&nbsp;*Total (deficiency) equity* |  |
| **TOTAL (DEFICIENCY) EQUITY AND LIABILITIES** |  |
| NATURE OF OPERATIONS | 1 |
| GOING CONCERN | 2 |
| QUALIFYING TRANSACTION | 12 |
| SUBSEQUENT EVENT | 14 |

---

**APPROVED BY THE BOARD ON MARCH 6, 2026**

    <br> DIRECTOR DIRECTOR

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **7** of **30** |

---

---

| | |
|:---|:---|
| **Consolidated statements of changes in shareholder's (deficiency) equity** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, unless otherwise noted) | **CORP.** |
| *For the years ended* | October 31, 2025 and 2024 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Note | Number<br> of shares | Share<br> capital | Reserves |
|  |  | # |  |  |
| Balance at October 31, 2023 |  | 3750000 |  |  |
| Share issuer buy-back | 7 | (3500000) |  |  |
| Share-based payments |  |  |  |  |
| Shares issued for cash | 7 | 250000 |  |  |
| Share option cancellation | 7 | —) |  |  |
| Shares issued for debt settlement | 7 |  |  |  |
| Share repurchase |  | (250000) |  |  |
| Foreign currency translation |  |  |  |  |
| Net loss for the year |  |  |  |  |
| Balance, at October 31, 2024 |  | 250000 |  |  |
| Net loss for the year |  |  |  |  |
| Balance, at September 30, 2025 |  | 250000 |  |  |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **8** of **30** |

---

---

| | |
|:---|:---|
| **Consolidated statements of cash flows** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, unless otherwise noted) | **CORP.** |
| *For the years ended* | October 31, 2025 and 2024 |

---

---

| |
|:---|
| **CASH FROM (USED IN) OPERATING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Net loss for the year) |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash items:* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion expense |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of debt) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based payments |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss of input tax credits |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange |
| &nbsp;&nbsp;&nbsp;Operating cash flow before changes in non-cash working capital) |
| &nbsp;&nbsp;&nbsp;*Adjustment for non-cash working capital:* |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and deposits) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and other liabilities |
| **CASH (USED IN) FROM INVESTING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Proceeds from sale of short-term investment |
| &nbsp;&nbsp;&nbsp;Interest received |
| **CASH FROM (USED IN) FINANCING ACTIVITIES** |
| &nbsp;&nbsp;&nbsp;Share issuer buy-back (Note 1) |
| &nbsp;&nbsp;&nbsp;Share repurchase) |
| &nbsp;&nbsp;&nbsp;Proceeds from share issuance |
| &nbsp;&nbsp;&nbsp;Repayment of government loan |
| **Net change in cash and cash equivalents** |
| Cash and cash equivalents, beginning of year |
| Cash and cash equivalents, end of year |
| **SUPPLEMENTARY INFORMATION** |
| &nbsp;&nbsp;&nbsp;Interest received |
| &nbsp;&nbsp;&nbsp;Debt settled through issuance of common shares |

---

---

| | |
|:---|:---|
| *The accompanying notes form an integral part of these consolidated financial statements* | Page **9** of **30** |

---

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**1.** **NATURE OF OPERATIONS** 

WBM Capital Corp. (the "Company" or "WBM") was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 2505 – 1177 West Hastings Street, Vancouver, British Columbia V6E 2L3. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations. The Company is currently exploring opportunities.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 pre-consolidation common shares at a price of $0.1225 per pre-consolidated share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, now holds all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these consolidated financial statements.

**2.** **GOING CONCERN** 

These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

Page **10** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**2.** **GOING CONCERN (CONT'D)** 

The Company's ability to continue as a going concern is dependent upon its ability to identify an appropriate business for acquisition or investment to generate profits and positive cash flows from operations in order to cover its operating costs. There is no assurance that the business will be profitable.

The Company's accumulated deficit was $7,704,263 at October 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $22,451 (October 31, 2024 – $668,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern. These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and amounts different from those reflected in the accompanying consolidated financial statements. These adjustments could be material.

To maintain or adjust the capital structure, the Company may repurchase shares, return capital to shareholders, issue new shares, or sell assets to reduce debt. The Company is not subject to any externally imposed capital requirements. The Company's objective is met by retaining adequate liquidity to provide for the possibility that cash flows from assets will not be sufficient to meet operational, investing, and financing requirements.

**3.** **BASIS OF PRESENTATION** 

*Statement of compliance* 

These consolidated financial statements, including comparatives, have been prepared in accordance with IFRS® Accounting Standards ("IFRS") issued by the International Accounting Standards Board ("IASB") and IFRC® Interpretations of the IFRS Interpretations Committee.

The consolidated financial statements were approved and authorized for issuance by the Board of Directors of the Company on March 6, 2026.

*Basis of presentation* 

The consolidated financial statements of the Company have been prepared on an accrual basis and on the historical cost basis except for certain financial instruments which are measured at fair value. The consolidated financial statements are presented in Canadian dollars, which is the functional currency for all entities of the consolidated group except for the Space Esports and Tiidal NZ subsidiaries, which have the U.S. dollar and New Zealand dollar as its functional currency.

Page **11** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**3.** **BASIS OF PRESENTATION (CONT'D)** 

*Basis of consolidation* 

Subsidiaries are entities controlled by the Company where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are included in the consolidated financial statements from the date control is obtained until the date control ceases. All intercompany balances, transactions, income and expenses have been eliminated on consolidation.

The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The accounts of the subsidiaries are prepared for the same reporting period as the Company, using consistent accounting policies. The table below lists the Company's wholly owned subsidiaries:

---

| | | | |
|:---|:---|:---|:---|
| Name of subsidiary | Jurisdiction<br> Incorporated | Functional<br> Currency | Accounting<br> Method/Date<br> of Disposal |
| Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | Canada | Canadian dollars | Dissolved March 14/24 |
| Lazarus Esports Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| Tiidal Gaming Canada Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| Space Esports Inc. | United States | U.S. dollars | Dissolved Feb 26/24 |
| Tiidal Gaming NZ Limited | New Zealand | New Zealand dollars | Until June 8, 2023 |
| 1507651 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507652 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507653 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507655 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510450 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510435 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510441 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION** 

*a)* *Revenue recognition* 

The Company determines revenue recognition through the following steps: a) identification of the contract with a customer; b) identification of the performance obligations in the contract; c) determination of the transaction price; d) allocation of the transaction price for the performance obligations in the contract; and e) recognition of revenue when the Company satisfies a performance obligation.

The Company's revenue is comprised of esports winnings by players under contract with the Company, sponsorships, betting solutions revenue, and other revenue.

Page **12** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*a)* *Revenue recognition (cont'd)* 

The Company earns esports prize winnings revenue from various esports tournaments and competitions that the Company's teams enter into. Prize winnings revenue is recognized at a point in time at the completion of each competition or league season. No revenue was recognized if there were significant uncertainties regarding the amount or recovery of the consideration due, the costs incurred or to be incurred could not be measured reliably, or there was continuing management involvement with the services.

The Company earns revenue from Software-as-a-Service ("SaaS") agreements with customers in the betting industry, on a subscription basis. Upon receiving payment from the customer, the Company will have the contractual obligation to provide the access to its proprietary intellectual property ("IP") over the course of the period stipulated in the agreement and the customer will have the ability to use the Company's IP for the stipulated period.

As performance obligations are satisfied over time, revenue is recognized using a method of transfer that depicts the Company's performance or using the "as-invoiced" practical expedient, when applicable and ends only when the period in the agreement ends. The Company recognizes revenue from SaaS subscriptions ratably over the term of the subscription.

The Company earns sponsorship revenue by endorsing products. Sponsorship revenue is recognized over time as the performance obligations per the contract of the Company are satisfied and the services are provided to the customer. Payments received in excess of the revenue recognized on a contract are recorded as deferred revenue. Amounts are billed as defined by individual contracts. Billings rendered in advance of performance under contracts are recorded as deferred revenue. Some agreements contain revenue sharing terms whereby the Company is entitled to a percentage of revenue earned by the customer. This revenue is calculated and recognized on a monthly basis.

*b)* *Gross vs. net revenue* 

Third party arrangements are evaluated to determine whether the Company acts as the principal or agent under the specific terms of each arrangement. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis; revenue and expenses are recognized in their respective financial statement line items. Conversely, if the Company acts as the agent, revenues are reported on a net basis; revenues are presented net of any expenses.

Determination of principal or agent classification is based on an evaluation of whether the nature of the Company's promise is a performance obligation to provide specific goods or services to the customer (principal), or simply arrange for those goods and services to be provided to the customer by a third party (agent). The most significant factors to consider include whether the Company controls the good or service immediately before it is transferred to the customer, is primarily responsible for fulfilling the promise to provide the specified good or service, has inventory risk before transferring the specified good or service, and has discretion in establishing prices for the specified good or service.

Page **13** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*b)* *Gross vs. net revenue (cont'd)* 

The Company evaluates whether it is acting as principal or agent. The Company reports prize winnings revenue on a gross basis as the Company controls the participation of players under contract in tournaments and leagues. Recording revenue on a gross basis is evidenced by the Company's ability having a level of discretion in establishing pricing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*c)* *Cost of sales* 

Cost of sales consists of the share of tournament or league prize winnings paid to the players and coaches as per the contracts between the Company and the players and coaches. Cost of sales also includes sales commission paid on sponsorship revenue.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*d)* *Foreign currency* 

The consolidated financial statements are presented in Canadian dollars. The functional currency of Tiidal Gaming Holdings Inc. (formerly Tiidal Gaming Group Inc.), Lazarus Esports Inc. and Tiidal Gaming Canada Inc., is the Canadian dollar. The functional currency of Space Esports Inc. is the United States dollar, and the functional currency of Tiidal NZ is the New Zealand dollar.

Assets and liabilities of subsidiaries having a functional currency other than the Canadian dollar are translated to the presentation currency, Canadian dollars, at the rate of exchange at the reporting period date. Revenues and expenses are translated at average rates for the period, unless exchange rates fluctuated significantly during the period, in which case the exchange rates at the dates of the transaction are used. The resulting foreign currency translation adjustments are recognized in the accumulated other comprehensive (loss) income included in the consolidated statements of changes in shareholders' equity. Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the date of the transactions. At the end of each reporting period, foreign currency denominated monetary assets and liabilities are translated to the functional currency using the prevailing rate of exchange at the reporting period date. Gains and losses on translation of monetary items are recognized in the consolidated statement of net (loss) income and comprehensive (loss) income.

Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive (loss) income in the translation reserve.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*e)* *Share capital* 

The proceeds from the exercise of stock options, warrants and escrow shares are recorded as share capital in the amount for which the option, warrant or escrow share enabled the holder to purchase a share in the Company.

Page **14** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*e)* *Share capital (cont'd)* 

Depending on the terms and condition of each financing agreement, the warrants are exercisable into additional common shares prior to expiry at a price stipulated by the agreement. Warrants that are part of units are accounted for using the residual method, following an allocation of the unit price to the fair value of the common shares that were concurrently issued. Warrants that are issued as payment for an agency fee or other transaction costs are accounted for as share-based payments.

Commissions paid to agents and other share issue costs are charged directly to share capital.

*f)* *Share-based payments* 

Equity-settled share-based payments to employees are measured at the fair value of the instruments at the grant date and recognized in expense over the vesting periods. Equity-settled share-based payments to non-employees are measured at the fair value of goods or services received or the fair value of the equity instruments issued if it is determined that the fair value of the goods or services received cannot be reliably measured. Non-employee share-based payments are recognized in expense at the date the goods or services are received. The corresponding amount is recorded to reserves. Upon the exercise of stock options, consideration received on the exercise is allocated to share capital and the related amount previously recognized for the issuance of the option remains in reserves.

The fair value of options is determined using the Black-Scholes Option Pricing Model on the date of the grant, based on certain assumptions.

The fair value of equity settled RSUs is measured at the grant date based on the fair value of the Company's common shares on that date, each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest.

All RSUs are recognized in the consolidated statements of net loss and comprehensive loss as an expense over the vesting period with a corresponding increase in equity reserves in the consolidated statement of financial position.

*g)* *Income taxes and deferred income taxes* 

Income tax comprises current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the income tax is also recognized directly in equity or other comprehensive income.

Page **15** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*g)* *Income taxes and deferred income taxes (cont'd)* 

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted at the end of the reporting period, and any adjustment to tax payable in respect of previous years. Current tax assets and current tax liabilities are only offset if a legally enforceable right exists to offset the amounts and the Company intends to settle on a net basis, or to realize the asset and settle the liability simultaneously.

Deferred tax is recognized in respect of all qualifying temporary differences arising between the tax basis of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined on a non-discounted basis using tax rates and laws that have been enacted or substantively enacted at the end of the reporting period and are expected to apply when the deferred tax asset or liability is settled. Deferred tax assets are recognized to the extent that it is probable that the assets can be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered.

*h)* *Trade receivables* 

Trade receivables, net of allowances, are stated at the amount the Company expects to collect. Trade receivables are recognized initially at fair value less expected credit losses based on management's review of year end receivables, and do not bear any interest. A provision for expected credit losses is generally made when there is objective evidence that the Company will not be able to collect the amounts due according to original payment terms or when there are indications of collection issues related to specific customers. The amount of the impairment loss on a financial asset measured at amortized cost is the difference between the asset's carrying amount and the present value of estimated future cash flows discounted at the asset's original effective interest rate. Losses are recognized in profit or loss and are applied against trade receivables through a loss allowance account.

*i)* *Financial instruments* 

The Company classifies its financial instruments in the following categories: at fair value through profit and loss ("FVTPL"), at fair value through other comprehensive (loss) income ("FVTOCI") or at amortized cost. The Company determines the classification of financial assets at initial recognition. The classification of debt instruments is driven by the Company's business model for managing the financial assets and their contractual cash flow characteristics. Equity instruments that are held for trading are classified as FVTPL. For other equity instruments, on the day of acquisition, the Company can make an irrevocable election (on an instrument-by-instrument basis) to designate them as at FVTOCI. Financial liabilities are measured at amortized cost, unless they are required to be measured at FVTPL (such as instruments held for trading or derivatives) or if the Company has opted to measure them at FVTPL.

Page **16** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*i)* *Financial instruments (cont'd)* 

The Company's financial assets and liabilities are classified as follows:

---

| | |
|:---|:---|
| Asset or liability | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Classification |
| Cash | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FVTPL |
| Trade and other receivables | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortized cost |
| Accounts payable and other liabilities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortized cost |

---

<u>Financial assets</u>

Recognition and initial measurement

The Company recognizes financial assets when it becomes party to the contractual provisions of the instrument. Financial assets are measured initially at their fair value plus, in the case of financial assets not subsequently measured at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Transaction costs attributable to the acquisition of financial assets subsequently measured at fair value through profit or loss are expensed in profit or loss when incurred.

Financial assets are classified as follows:

Amortized cost - Assets that are held for collection of contractual cash flows where those cash flows are solely payments of principal and interest are measured at amortized cost. Interest revenue is calculated using the effective interest method and gains or losses arising from impairment, foreign exchange and derecognition are recognized in profit or loss. Financial assets measured at amortized cost are comprised of trade and other receivables.

Fair value through other comprehensive income - Assets that are held for collection of contractual cash flows and for selling the financial assets, and for which the contractual cash flows are solely payments of principal and interest, are measured at fair value through other comprehensive income. Interest income calculated using the effective interest method and gains or losses arising from impairment and foreign exchange are recognized in profit or loss. All other changes in the carrying amount of the financial assets are recognized in other comprehensive income. Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified to profit or loss. The Company does not hold any financial assets measured at fair value through other comprehensive income.

Mandatorily at fair value through profit or loss - Assets that do not meet the criteria to be measured at amortized cost, or fair value through other comprehensive income, are measured at fair value through profit or loss. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. Financial assets measured at fair value through profit or loss consists of cash.

Page **17** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*i)* *Financial instruments (cont'd)* 

<u>Financial assets (cont'd)</u>

Financial assets are classified as follows: (cont'd)

Designated at fair value through profit or loss – On initial recognition, The Company may irrevocably designate a financial asset to be measured at fair value through profit or loss in order to eliminate or significantly reduce an accounting mismatch that would otherwise arise from measuring assets or liabilities, or recognizing the gains and losses on them, on different bases. All interest income and changes in the financial assets' carrying amount are recognized in profit or loss. The Company does not hold any financial assets designated to be measured at fair value through profit or loss.

The Company measures all equity investments at fair value. Changes in fair value are recorded in profit or loss.

Business model assessment

The Company assesses the objective of its business model for holding a financial asset at a level of aggregation which best reflects the way the business is managed, and information is provided to management. Information considered in this assessment includes stated policies and objectives.

Contractual cash flow assessment

The cash flows of financial assets are assessed as to whether they are solely payments of principal and interest on the basis of their contractual terms. For this purpose, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money, the credit risk associated with the principal amount outstanding, and other basic lending risks and costs. In performing this assessment, the Company considers factors that would alter the timing and amount of cash flows such as prepayment and extension features, terms that might limit the Company's claim to cash flows, and any features that modify consideration for the time value of money.

Impairment

The Company recognizes a provision for the expected credit losses associated with its financial assets, other than financial assets measured at fair value through profit or loss. Expected credit losses are measured to reflect a probability-weighted amount, the time value of money, and reasonable and supportable information regarding past events, current conditions and forecasts of future economic conditions. The Company applies the simplified approach for trade receivables. Using the simplified possible default events over the assets' contractual lifetime.

Page **18** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*i)* *Financial instruments (cont'd)* 

<u>Financial assets (cont'd)</u>

Impairment (cont'd)

The Company assesses whether a financial asset is credit-impaired at the reporting date. Regular indicators that a financial instrument is credit-impaired include significant financial difficulties as evidenced through borrowing patterns or observed balances in other accounts and breaches of borrowing contracts such as default events or breaches of borrowing covenants. For financial assets assessed as credit-impaired at the reporting date, the Company continues to recognize a loss allowance equal to lifetime expected credit losses.

For financial assets measured at amortized cost, loss allowances for expected credit losses are presented in the consolidated statements of financial position as a deduction from the gross carrying amount of the financial asset.

Financial assets are written off when the Company has no reasonable expectations of recovering all or any portion thereof.

Derecognition of financial assets

The Company derecognizes a financial asset when its contractual rights to the cash flows from the financial asset expire.

<u>Financial liabilities</u>

Recognition and initial measurement

The Company recognizes a financial liability when it becomes party to the contractual provisions of the instrument. At initial recognition, the Company measures financial liabilities at their fair value plus transaction costs that are directly attributable to their issuance, with the exception of financial liabilities subsequently measured at fair value through profit or loss for which transaction costs are immediately recorded in profit or loss.

Where an instrument contains both a liability and equity component, these components are recognized separately based on the substance of the instrument, with the liability component measured initially at fair value and the equity component assigned the residual amount.

Page **19** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*i)* *Financial instruments (cont'd)* 

<u>Financial liabilities</u>

Classification and subsequent measurement

Subsequent to initial recognition, all financial liabilities are measured at amortized cost using the effective interest rate method. Interest, gains and losses relating to a financial liability are recognized in profit or loss.

Derecognition of financial liabilities

The Company derecognizes a financial liability only when its contractual obligations are discharged, cancelled or expire.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*j)* *Loss per share* 

Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares for the assumed exercise of stock options, warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period.

For the years ended October 31, 2025, and 2024, potentially dilutive common shares issuable upon the exercise of conversion option related to warrants and options were not included in the computation of (loss) per share because their effect was anti-dilutive.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*k)* *Critical accounting estimates and judgments* 

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates, judgments and assumptions that affect the application of policies and reported amounts of assets and liabilities, and income and expenses.

These estimates are based on management's best knowledge of current events and actions the Company may undertake in the future. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognized in the period in which the estimates are revised.

Page **20** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*k)* *Critical accounting estimates and judgments (cont'd)* 

<u>Use of critical accounting estimates and assumptions</u>

Income taxes

Provisions for taxes are made using the best estimate of the amount expected to be paid based on a qualitative assessment of all relevant factors. The Company reviews the adequacy of these provisions at the end of the reporting period. However, it is possible that at some future date an additional liability could result from audits by taxing authorities. Where the final outcome of these tax-related matters is different from the amounts that were initially recorded, such difference will affect the tax provisions in the period in which such determination is made.

Share-based payments

The fair value of share-based payments is calculated using the Black-Scholes option pricing model. The main assumptions used in the model include the estimated fair value of the common shares, estimated life of the option, the expected volatility of the Company's share price (using historical volatility of similar publicly traded companies as a reference), the expected dividends, the expected forfeiture rate, and the risk-free rate of interest. The resulting value calculated is not necessarily the value that the holder of the option could receive in an arm's-length transaction given that there is no market for the options, and they are not transferable.

<u>Judgments</u>

Revenue recognition

The revenue standard sets out a five-step model for the recognition of revenue when control of goods is transferred to, or a service is performed for, the customer. The five steps are to identify the contract(s) with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to each performance obligation and recognize revenue as each performance obligation is satisfied. Management exercises judgment when taking into consideration the relevant facts and circumstances when applying each step of the model to contracts with customers.

Page **21** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**4.** **MATERIAL ACCOUNTING POLICY INFORMATION (CONT'D)** 

*k)* *Critical accounting estimates and judgments (cont'd)* 

<u>Judgments (cont'd)</u>

Recognition of revenue on a gross versus net basis

The Company follows the guidance provided in IFRS 15, Revenue from Contracts with Customers, for determining whether the Company is the principal or an agent in arrangements with customers that involve another party that contributes to providing a specified service to a customer. In these instances, the Company determines whether it has promised to provide the specified service itself (as principal) or to arrange for the specified service to be provided by another party (as an agent) . This determination depends on the facts and circumstances of each arrangement and, in some instances, involves significant judgment.

Assessment of going concern

These consolidated financial statements have been prepared on a basis which assumes the Company will continue to operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. In assessing whether this assumption is appropriate, management considers all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period.

This assessment is based upon planned actions that may or may not occur for a number of reasons including the Company's own resources and external market conditions.

*l)* *Adoption of new and revised standards* 

<u>New and revised IFRS Accounting Standards in issue but not yet effective</u> 

At the date of authorisation of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

*IFRS 18: Presentation and Disclosure in Financial Statements*

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The Company is in the process of reviewing the impact of IFRS 18 on its consolidated financial statements in future periods.

Page **22** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.** **SHORT TERM INVESTMENTS** 

On June 13, 2023, the Company transferred a total of $10,600,000 into guaranteed investment certificates ("GICs") bearing interest at an annualized rate of 5.30%. The GICs matured on December 10, 2023. For the year ended October 31, 2025, the Company recorded interest income of $nil (October 31, 2024 - $60,028).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.** **OTHER RECEIVABLES** 

Other receivables consist of GST/HST receivables of $Nil (2024 - $37,604). During the year ended December 31, 2025, all of the other receivables were written off on account of the conclusion of a review by the tax authority denying the Company the ability to realize them. In addition to this amount being written off, the tax authority levied an additional assessment of $66,329 as part of its review. This amount has been recorded in the comprehensive statement of loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.** **SHARE CAPITAL** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*a)* *Authorized* 

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. As at October 31, 2024, the Company had 1 common share outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*b)* *Issued* 

The Company did not issue any commons shares for the year ended October 31, 2025.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

Page **23** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**7.** **SHARE CAPITAL (CONT'D)** 

*c)* *Stock options* 

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the year ended October 31, 2025, and 2024, the stock option activity is as follows:

---

| | |
|:---|:---|
| | Number |
|  | # |
| Outstanding, October 31, 2023 | 220000 |
| Cancelled | (220000) |
| Outstanding, October 31, 2025 and 2024 |  |

---

For the year ended October 31, 2025 and 2024, the Company did not issue any options.

Page **24** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**7.** **SHARE CAPITAL (CONT'D)** 

*c)* *Stock options (cont'd)* 

For the year ended October 31, 2024, the following activity occurred: On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per Share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

At October 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the year ended October 31, 2025, $nil (October 31, 2024 - $20,000) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

*d)* *Warrants* 

For the year ended October 31, 2025, and 2024 the warrant activity is as follows:

---

| | |
|:---|:---|
| | Number |
|  | # |
| Outstanding, October 31, 2023 | 577705 |
| Expired in 2024 | (165000) |
| Outstanding, October 31, 2024 | 412705 |
| Expired in 2025 | (290000) |
| Outstanding, October 31, 2025 | 122705 |

---

---

| | | |
|:---|:---|:---|
|  | Expiry | Number |
| Number Outstanding | Date | Exercisable |
| # | $— | # |
| 122705 | 30-Nov-25 | 122705 |

---

As at October 31, 2025, the weighted average life of warrants outstanding was 0.08 years (October 31, 2024 – 0.95 years). Subsequent to year -end, the Company's warrants were cancelled as part of the transaction described in Note 14.

Page **25** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.** **SHARE CAPITAL (CONT'D)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*d)* *Warrants (cont'd)* 

The fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

For the year ended October 31, 2025, $nil (October 31, 2024 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.** **RELATED PARTY TRANSACTIONS** 

Related parties include the Board of Directors, close family members and enterprises which are controlled by these individuals as well as certain persons performing similar functions.

For the years ended October 31, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Management and director fees and salaries |  | 226500 |
| Payments made under the share buy back |  | 3498245 |
|  |  | 3724745 |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the year ended October 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

**9.** **GENERAL AND ADMINISTRATIVE EXPENSES** 

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Professional fees |  | 205557 |
| Office and miscellaneous |  | 36231 |
| Insurance and bank |  | 1168 |
|  |  | 242956 |

---

Page **26** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**10.** **CAPITAL MANAGEMENT** 

The Company considers its capital structure to consist of shareholders' equity. The Company manages its capital structure and makes adjustments to it, in order to have the funds available to support the acquisition and development of its business. The Board of Directors does not establish quantitative return on capital criteria for management but rather relies on the expertise of the Company's management to sustain future development of the business.

The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issues or by undertaking other activities as deemed appropriate under the specific circumstances. Neither the Company nor its subsidiaries are subject to externally imposed capital requirements as at October 31, 2025.

**10.** **CAPITAL MANAGEMENT (CONT'D)** 

The Company's objective when managing capital is to safeguard the Company's ability to continue as a going concern. The Company's ability to raise future capital is subject to uncertainty and the inability to raise such capital may have an adverse impact over the Company's ability to continue as a going concern (**Note 2**).

The Company is dependent on external equity financing to fund its activities. In order to carry out the planned operations and pay for administrative costs, the Company will spend its existing working capital and raise additional amounts as needed.

Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company's approach to capital management for year ended October 31, 2025.

**11.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT** 

*a)* *Fair values* 

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, is recorded at fair value using level 1 inputs.

Page **27** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**11.** **FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONT'D)** 

*b)* *Credit risk* 

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

*c)* *Liquidity risk* 

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements.

The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows: accounts payable and other liabilities of $80,201 (2024 - $60,048).

*d)* *Foreign currency risk* 

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk primarily arises from financial instruments denominated in US dollars that are held in entities with a Canadian dollar functional currency. Conversely for the Tiidal NZ subsidiary who has a NZ dollar functional currency, currency risk primarily arises from financial instruments denominated in Canadian dollars that are held in Tiidal NZ.

The Company is no longer exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and other liabilities that are denominated in US dollars.

*e)* *Interest rate risk* 

The Company does not have any significant exposure as at October 31, 2025 and 2024 to interest rate risk through its financial instruments.

Page **28** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**12.** **QUALIFYING TRANSACTION** 

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero"). Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero. On November 19, 2025, the Company and Bitzero announced it has closed its previously announced reverse takeover transaction.

**13.** **INCOME TAXES** 

*a)* *Reconciliation* 

The reconciliation of the combined Canadian federal and provincial statutory income tax rate of 26.5% (2024 – 26.5%) to the effective tax rate is as follows:

---

| |
|:---|
| Net loss from continuing operations |
| Expected income tax (recovery) expense |
| Share-based payments and other non-deductible expenses |
| Change in tax benefits not recognized |
| Total income tax expense (recovery) |

---

*b)* *Unrecognized deferred tax assets* 

Deferred tax assets and liabilities have been offset where they relate to income tax levied by the same taxation authority and the Company has the legal right to offset. Deferred taxes are provided as a result of temporary differences that arise due to the differences between the income tax values and the carrying amount of assets and liabilities. Deferred tax assets have not been recognized in respect of the following deductible temporary differences:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Equipment |  | 121270 |
| Intangible assets |  | 627140 |
| Share issuance costs |  | 439140 |
| Operating tax losses carried forward |  | 4449240 |
|  |  | 5636790 |

---

Page **29** of **30**

---

| | |
|:---|:---|
| **Notes to the consolidated financial statements** | **WBM CAPITAL** |
| (Expressed in Canadian Dollars, | **CORP.** |
| unless otherwise noted) | October 31, 2025 and 2024 |

---

**13.** **INCOME TAXES (CONT'D)** 

*b)* *Unrecognized deferred tax assets (cont'd)* 

The Canadian operating tax loss carry forwards expire as noted in the table below. The remaining deductible temporary differences may be carried forward indefinitely. Deferred tax assets have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom. The Company's Canadian operating tax losses expire as follows:

---

| | |
|:---|:---|
| | Amount |
|  | $ |
| 2040 | 250110 |
| 2041 | 620270 |
| 2042 | 1961410 |
| 2043 | 752920 |
| 2044 | 864530 |
| 2045 | 126685 |
|  | 4575925 |

---

**14.** **SUBSEQUENT EVENT** 

In November 2025, the Company completed a share transaction in Canada structured as a triangular amalgamation under the Business Corporations Act (British Columbia) with Bitzero Holdings Inc. ("Bitzero") and WBM's wholly owned subsidiary, 1555476 B.C. Ltd. ("Subco"), pursuant to an amalgamation agreement dated November 3, 2025. Under the terms of the agreement, Bitzero amalgamated with Subco to form a new corporation that became a wholly owned subsidiary of WBM.

All issued and outstanding common and non-voting shares of Bitzero were exchanged for fully paid and non-assessable WBM common and non-voting shares on the basis of ten Bitzero shares for one WBM share. Outstanding Bitzero options, restricted share units (RSUs), and warrants were adjusted to provide rights to acquire WBM common shares in accordance with their existing terms.

As control of the combined entity resides with the former shareholders of Bitzero, the transaction is accounted for as a reverse acquisition, with Bitzero identified as the accounting acquirer and WBM as the accounting acquiree. The transaction will be accounted for in accordance with IFRS 2 – Share-based Payment, with any excess of the fair value of the deemed consideration over the fair value of WBM's identifiable net assets recognized as a listing expense in profit or loss during the period of closing.

On November 24, 2025, the common shares of Bitzero (accounting acquirer) commenced trading on the Canadian Securities Exchange under the symbol "BITZ.U."

Page **30** of **30**

## Exhibit 99.90

**Exhibit 99.90**

**WBM CAPITAL CORP.**

Management's Discussion and Analysis

For the years ended October 31, 2025 and 2024

*(expressed in Canadian Dollars, unless otherwise stated)*

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

1. MANAGEMENT'S
DISCUSSION AND ANALYSIS

This Management's Discussion and Analysis ("MD&A") is a review of the operations and current financial position for WBM Capital Corp. (the "Company" or "WBM"). This MD&A should be read in conjunction with the Company's audited consolidated financial statements and notes for the years ended October 31, 2025, and 2024.

The Company's audited consolidated financial statements and notes thereto have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC") and are reported in Canadian dollars unless otherwise noted.

WBM is classified as a "venture issuer" for the purposes of National Instrument 51-102. This MD&A was approved by the directors of the Company on March 6, 2026.

2. CAUTIONARY
NOTE REGARDING FORWARD LOOKING INFORMATION

Certain statements in this report are forward-looking statements which reflect management's expectations regarding future growth, results of operations, performance, business prospects and opportunities, the Company's ability to meet financial commitments and its ability to raise funds when required. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain assumptions and speak only as at the date of this report. These assumptions, which include management's current expectations, the global economic environment, and the Company's ability to manage its operating costs, may prove to be incorrect. Several risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

There is a significant risk that such forward-looking statements will not prove to be accurate. Investors are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Actual performance, achievement or other realities could differ materially from those expressed in, or implied by, any forward-looking statements or information in this MD&A and, accordingly, investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as at the date on which such statement is made, and the Company does not undertake any obligation to update any forward-looking statements or information to reflect information, events, results, circumstances, realities or otherwise after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by law, including securities laws. All forward-looking statements and information contained in this MD&A and other documents of the Company are qualified by such cautionary statements. New factors emerge from time to time, and it is not possible for management to predict all such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking statements.

Page **2** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

2. CAUTIONARY
NOTE REGARDING FORWARD LOOKING INFORMATION (CONT'D)

In addition, forward-looking statements, and information herein, including financial information, is based on certain assumptions relating to the business and operations of the Company. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements and forward-looking information in this MD&A, and the documents incorporated by reference herein, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There is no assurance that such statements and information will prove to be accurate as actual results, and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information contained in this MD&A.

3. BUSINESS
HISTORY

The table below lists the Company's wholly owned subsidiaries as at October 31, 2025:

---

| | | | |
|:---|:---|:---|:---|
| Name of subsidiary | Jurisdiction <br> Incorporated | Functional <br> Currency | Accounting <br> Method/Date <br> of Disposal |
| Tiidal Gaming Holdings Inc. |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(formerly Tiidal Gaming Group Inc.) | Canada | Canadian dollars | Dissolved March 14/24 |
| Lazarus Esports Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| Tiidal Gaming Canada Inc. | Canada | Canadian dollars | Dissolved March 7/24 |
| Space Esports Inc. | United States | U.S. dollars | Dissolved Feb 26/24 |
| Tiidal Gaming NZ Limited | New Zealand | New Zealand dollars | Until June 8, 2023 |
| 1507651 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507652 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507653 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1507655 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510450 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510435 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |
| 1510441 B.C. Ltd. | Canada | Canadian dollars | Until Dec 18/24 |

---

The Company was incorporated pursuant to the provisions of the Business Corporations Act (British Columbia) (the "BCBCA") on June 4, 2004. On July 10, 2024, the Company changed its name from Tiidal Gaming Group Corp. to WBM Capital Corp. The address of the Company's head, principal, and registered office is located at 2505 – 1177 West Hastings Street, Vancouver, British Columbia V6E 2L3. On June 7, 2024, the Company voluntarily delisted trading of its common shares on the CSE.

As of June 9, 2023, the Company does not have any remaining active operations and the Company embarked on a strategic review.

On October 30, 2023, the Company announced that its Board of Directors has concluded its previously announced strategic review process and has determined it is in the best interest of the Company to return capital to its shareholders by way of substantial issuer bid (the "Offer") to be completed no earlier than December 7, 2023. On December 15, 2023, the Company completed the Offer and purchased for cancellation 83,256,650 common shares at a price of $0.1225 per share for aggregate purchase price of $10,198,940. The shares purchased under the Offer represented approximately 95% of the total issued and outstanding shares.

Page **3** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

3. BUSINESS
HISTORY (CONT'D)

On October 4, 2024, the Company completed a share consolidation on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common share.

On October 21, 2024, the Company incorporated 4 wholly owned subsidiaries 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd. and 1507655 B.C. Ltd.

On November 6, 2024, the Company incorporated 3 wholly owned subsidiaries 1510435 B.C. Ltd., 1510441 B.C. Ltd. and 1510450 B.C. Ltd.

On December 18, 2024, the Company completed a plan of arrangement whereby the sole shareholder of the Company, Triforce Ventures SA, held all of the issued and outstanding common shares in the following former subsidiaries; 1507651 B.C. Ltd., 1507652 B.C. Ltd., 1507653 B.C. Ltd., 1507655 B.C. Ltd., 1510450 B.C. Ltd., 1510441 B.C. Ltd., and 1510435 B.C. Ltd. Each of these former subsidiaries are now an unlisted reporting issuer in the provinces of British Columbia and Alberta.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these condensed consolidated interim financial statements.

4. OVERALL
PERFORMANCE

*a)* *Financing transactions* 

The sale of Tiidal NZ constituted the sale of substantially all of the assets and operating activities of the Company. The board of directors of the Company will assess the available options to return capital received pursuant to the sale of Tiidal NZ to its shareholders following the expiry of the 180-day holding period. Any such options will be subject to the receipt of corporate, securities and tax laws advice, and will be subject to the receipt of all required shareholder, regulatory and Canadian Securities Exchange (the "CSE") approvals. There can be no assurances that any such options will be implemented by the Company.

On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

Page **4** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

4. OVERALL
PERFORMANCE

*b)* *Net and comprehensive loss* 

The Company's net loss and comprehensive loss for the year ended October 31, 2025, was $178,418 (October 31, 2025 - $655,537). The decrease in the net loss year over year is linked to the sale and closure of the Company's revenue producing assets. During 2025 and 2024, the Company had no active operations and no employees.

5. GOING
CONCERN

These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes the Company will be able to continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations.

The Company's accumulated deficit was $7,704,263 at October 31, 2025 (October 31, 2024 – $7,525,845) and its cash flow used in operations was $22,451 (October 31, 2024 – $688,624). These factors comprise a material uncertainty which may cast significant doubt about the Company's ability to continue as a going concern.

6. SELECTED
ANNUAL INFORMATION

---

| |
|:---|
| Revenues |
| Cost of sales |
| Expenses |
| Loss of input tax credits |
| Tax expense |
| Other loss (income) |
| Net income (loss) |
| Comprehensive income (loss) |
| Basic and diluted comprehensive income (loss) per share |
| Total assets |
| Total liabilities |

---

7. RESULTS
OF OPERATIONS

*a)* *Expenses* 

The Company's net loss for the year ended October 31, 2025, was $178,418, compared to $660,956 for the year ended October 31, 2024. The decrease year over year is driven by reduced activity in the Company which operates as a shell since selling off its assets.

General and administrative expenses decreased to $72,125 for the year ended October 31, 2025, from $242,956 in the year ended October 31, 2024. The decrease in general and administrative expenses is linked to the reduction in activity as the Company transitioned to a shell in the current year. General and administrative expenses consist of office and miscellaneous of $19,184 and, professional fees of $52,941.

Page **5** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

7. RESULTS
OF OPERATIONS (CONT'D)

*a)* *Expenses (cont'd)* 

Management fees decreased to $nil for the year ended October 31, 2025, from $335,775 in the year ended October 31, 2024. These costs pertained to salaries for officers and directors.

*b)* *General and administrative expenses* 

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Professional fees |  | 205557 |
| Office and miscellaneous |  | 36231 |
| Insurance and bank |  | 1168 |
|  |  | 242956 |

---

8. SUMMARY
OF QUARTERLY RESULTS

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Oct 31,<br> 2025 | July 31,<br> 2025 | April 30,<br> 2025 | Jan 31,<br> 2025 |
| Revenues |  |  |  |  |
| Net income (loss) |  |  |  |  |
| Income (loss) per share basic and diluted |  |  |  |  |
| Weighted average number of shares outstanding |  |  |  |  |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Oct 31,<br>2024 | July 31,<br>2024 | April 30,<br>2024 | Jan 31,<br>2024 |
| Revenues |  |  |  |  |
| Net income (loss) |  |  |  |  |
| Income (loss) per share basic and diluted |  |  |  |  |
| Weighted average number of shares outstanding |  |  |  |  |

---

**9.** **LIQUIDITY AND CAPITAL RESOURCES** 

As at October 31, 2025, the Company had negative working capital of $119,098 (October 31, 2024 – $59,320), consisting primarily of cash, offset by accounts payable and other liabilities. The decrease in the current year related primarily to the write-off of other receivables, the amortization of prepaid expenses and deposits into the statement of comprehensive loss and an increase in accounts payable due to additional professional fees incurred in connection with the transaction described in Note 13.

Page **6** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

10. CASH
FLOWS

---

| |
|:---|
| Operating activities) |
| Investing activities) |
| Financing activities |
| Change in cash |

---

For the year ended October 31, 2025, cash flows used in operating activities of $22,451 in cash. The decreased use of cash was mainly attributable to reduced general and administrative expenses, including salaries and benefits, and office expenses as well as the share issuer bid payment that was made during the period ended.

For the year ended October 31, 2025, investing activities consisted of nil. For the year ended October 31, 2025, financing activities consisted of nil.

11. OFF-BALANCE
SHEET ARRANGEMENTS

The Company did not enter into any off-balance sheet arrangements as at October 31, 2025 or as at the date of this report.

12. RELATED
PARTY TRANSACTIONS

Related parties include the Board of Directors, close family members and enterprises which are controlled by these individuals as well as certain persons performing similar functions.

For the years ended October 31, 2025, and 2024, the Company incurred charges with officers and directors recorded at their exchange amounts as agreed upon by transacting parties as follows:

---

| | | |
|:---|:---|:---|
| | 2024 | 2024 |
|  | $— | $|
| Management and director fees and salaries |  | 226500 |
| Payments made under the share buy back |  | 3498245 |
|  |  | 3724745 |

---

Share-based payments are the fair value of stock options granted to key management personnel as at the grant date. For the year ended October 31, 2025, and 2024, key management personnel were not paid any post-employment benefits, termination benefits or any other long-term benefits.

Page **7** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

13. QUALIFYING
TRANSACTION

On April 2, 2025, the Company announced it has entered into a definitive business combination agreement with Wappier Inc. ("Wappier") pursuant to which, subject to the satisfaction of certain conditions, including receipt of all necessary approvals, the Company and Wappier will complete a transaction, which will result in the reverse takeover of the Company by Wappier (the "Resulting Issuer") and listing of the Resulting Issuer on the Canadian Securities Exchange. On June 27, 2025, the Company and Wappier Inc. terminated its proposed business combination.

On August 27, 2025, the Company announced it has entered into a non-binding letter of intent with respect to a business combination with Bitzero Blockchain Inc. ("Bitzero"). Subject to certain conditions, the Company and Bitzero will complete a transaction, which will result in the reverse takeover of the Company by Bitzero. On November 19, 2025, the Company and Bitzero announced it has closed its previously announced reverse takeover transaction.

14. COMMITMENTS

As at October 31, 2025, and the date of this MD&A, the Company did not have any commitments.

15. NEW
AND REVISED IFRS ACCOUNTING STANDARDS IN ISSUE BUT NOT YET EFFECTIVE

At the date of authorisation of these consolidated financial statements, the Company has not applied the following new and revised IFRS Accounting Standards that have been issued but are not yet effective for the Company's consolidated financial statements for the periods presented:

IFRS 18: Presentation and Disclosure in Financial Statements

IFRS 18 is a comprehensive new standard on presentation and disclosure that will modify the structure and content of the primary consolidated financial statements and related notes. It is expected to affect presentation and disaggregation, including new defined subtotals in the statement of profit or loss.

Application for IFRS 18 is required for annual reporting periods beginning on or after January 1, 2027. The Company does not intend to early apply IFRS 18 and plans to apply it starting on October 1, 2027.

The Company is in the process of reviewing the impact of IFRS 18 on its consolidated financial statements in future periods.

16. FINANCIAL
INSTRUMENTS AND RISK MANAGEMENT

*a)* *Fair values* 

Hierarchical levels, defined by IFRS 7 and directly related to the amount of subjectivity associated with inputs to fair valuation of these financial assets and liabilities, are as follows:

● Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

● Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices) (Level 2); and

● Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

Page **8** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

16. FINANCIAL
INSTRUMENTS AND RISK MANAGEMENT (CONT'D)

*a)* *Fair values* 

The fair values of accounts payable and other liabilities approximate their carrying values due to the relatively short-term nature of these financial instruments.

Cash, is recorded at fair value using level 1 inputs.

*b)* *Credit risk* 

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its obligations.

The Company's cash is held with major financial institutions and thus the exposure to credit risk on cash is considered insignificant. Management actively monitors the Company's exposure to credit risk under its financial instruments, including with respect to trade and other receivables.

*c)* *Liquidity risk* 

Liquidity risk is the risk that the Company will not be able to meet its obligations associated with financial liabilities. The Company has a planning and budgeting process in place by which it anticipates and determines the funds required to support its normal operating requirements.

The Company coordinates this planning and budgeting process with its financing activities through its capital management process.

Maturity analysis of liabilities which are due in the next twelve months can be summarized as follows: accounts payable and other liabilities of $131,934 (2024 - $60,048).

*d)* *Foreign currency risk* 

Foreign currency risk is the risk that the fair values or future cash flows of the Company's financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company's currency risk primarily arises from financial instruments denominated in US dollars that are held in entities with a Canadian dollar functional currency. Conversely for the Tiidal NZ subsidiary who has a NZ dollar functional currency, currency risk primarily arises from financial instruments denominated in Canadian dollars that are held in Tiidal NZ.

The Company is no longer exposed to foreign currency risk on fluctuations related to cash, accounts receivable, and accounts payable and other liabilities that are denominated in US dollars.

*e)* *Interest rate risk* 

The Company does not have any significant exposure as at October 31, 2025 and 2024 to interest rate risk through its financial instruments.

Page **9** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

17. SUBSEQUENT
EVENT

In November 2025, the Company completed a share transaction in Canada structured as a triangular amalgamation under the Business Corporations Act (British Columbia) with Bitzero Holdings Inc. ("Bitzero") and WBM's wholly owned subsidiary, 1555476 B.C. Ltd. ("Subco"), pursuant to an amalgamation agreement dated November 3, 2025. Under the terms of the agreement, Bitzero amalgamated with Subco to form a new corporation that became a wholly owned subsidiary of WBM.

All issued and outstanding common and non-voting shares of Bitzero were exchanged for fully paid and non-assessable WBM common and non-voting shares on the basis of ten Bitzero shares for one WBM share. Outstanding Bitzero options, restricted share units (RSUs), and warrants were adjusted to provide rights to acquire WBM common shares in accordance with their existing terms.

As control of the combined entity resides with the former shareholders of Bitzero, the transaction is accounted for as a reverse acquisition, with Bitzero identified as the accounting acquirer and WBM as the accounting acquiree. The transaction will be accounted for in accordance with IFRS 2 – Share-based Payment, with any excess of the fair value of the deemed consideration over the fair value of WBM's identifiable net assets recognized as a listing expense in profit or loss during the period of closing.

On November 24, 2025, the common shares of Bitzero (accounting acquirer) commenced trading on the Canadian Securities Exchange under the symbol "BITZ.U."

18. RISKS
AND UNCERTAINTIES

The Company believes that the following risks and uncertainties may materially affect its success:

<u>Limited Operating History</u>

The business has been operating since 2010 and has yet to generate consistent profits from its activities. The Company is subject to all of the business risks and uncertainties associated with any new business enterprise.

<u>Substantial Capital Requirements and Liquidity</u>

Substantial additional funds to maintain business operations and for the acquisition of new business or assets will be required. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities. To meet such funding requirements, the Company will be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that additional financing will be available on terms acceptable to the Company or at all.

<u>Reliance on Management and Dependence on Key Personnel</u>

The success of the Company will be largely dependent upon on the performance of the directors and officers and the ability to attract and retain key personnel. The loss of the services of these persons may have a material adverse effect on the Company's business and prospects. The Company will compete with numerous other companies for the recruitment and retention of qualified employees and contractors. There is no assurance that the Company can maintain the service of its directors and officers, or other qualified personnel required to operate its business. Failure to do so could have a material adverse effect on the Company and its prospects.

Page **10** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

18. RISKS
AND UNCERTAINTIES (CONT'D)

<u>Conflicts of Interest</u>

Certain directors and officers of the Company will be engaged in, and will continue to engage in, other business activities on their own behalf and on behalf of other companies and, because of these and other activities, such directors and officers of the Company may become subject to conflicts of interest. The BCBCA provides that if a director has a material interest in a contract or proposed contract or agreement that is material to the Company, the director must disclose his interest in such contract or agreement and refrain from voting on any matter in respect of such contract or agreement, subject to and in accordance with the BCBCA. To the extent that conflicts of interest arise, such conflicts will be resolved in accordance with the provisions of the BCBCA.

<u>Litigation</u>

In the ordinary course of business, the Company and its subsidiaries may become involved in various legal and regulatory actions. The Company establishes legal provisions when it becomes probable that the Company will incur a loss and the amount can be reliably estimated. Although it is possible that liabilities may be incurred in instances for which no accruals have been made, the Company has no reason to believe that the ultimate outcome of these matters would have a material impact on its consolidated financial position.

19. DISCLOSURE
CONTORLS AND PROCEDURES/ INTERNAL CONTROL OVER FINANCING REPORTING

As a venture issuer, the Company has filed basic certificates under National Instrument 52-109

Certification of Disclosure in Issuers' Annual and Interim Filings ("NI 52-109"). The certifying officers do not make representations relating to the establishment and maintenance of disclosure controls and procedures ("DC&P") and internal control over financial reporting ("ICFR"), as defined in NI 52-109. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected. There has been no change in the Company's ICFR during the period that has materially affected, or is reasonably likely to materially affect, the Company's ICFR. Inherent limitations on the ability of management to design and implement DC&P and ICFR may result in misstatements or omissions that are not prevented or detected.

20. OUTSTANDING
SHARE DATA

The following table summarizes the number of common shares outstanding and reserved for issuance, as at the current MD&A date and as at October 31, 2025:

---

| | | |
|:---|:---|:---|
| | 2025 | 2024 |
|  | # | # |
| Outstanding common shares, opening and closing | 250000 | 250000 |
| Common shares reserved for share purchase warrants | 122705 | 413563 |
|  | 372705 | 663563 |

---

Page **11** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

20. OUTSTANDING
SHARE DATA (CONT'D)

*a)* *Authorized* 

The Company is authorized to issue an unlimited number of common shares.

On October 4, 2024, the Company completed a consolidation of the Company's issued and outstanding common shares on the basis of 6,000,000 pre-consolidation common shares to 1 post-consolidation common shares. As at October 31, 2024, the Company had 1 common share outstanding. Shareholders who less than 6,000,000 pre-consolidation shares were entitled to receive $0.005 in cash for each pre-consolidation share held.

On July 24, 2025, the Company completed a share subdivision on the basis of every one (1) common share before subdivision into two hundred and fifty thousand (250,000) post-subdivision common shares (the "Stock Split"). The share subdivision is reflected retrospectively in these consolidated financial statements.

*b)* *Issued* 

The Company did not issue any commons shares for the year ended October 31, 2025.

On July 10, 2024, the Company closed a non-brokered private placement financing of 250,000 common shares at a deemed price of $0.12 per share for gross proceeds of $30,000. No finders' fees were paid in connection with the private placement.

On February 16, 2024, the Company issued 33,333 common shares at a deemed price of $1.20 per share as full and final payment of debt in the aggregate amount of $40,000 for certain unpaid remuneration for services performed by the Company's Chief Executive Officer and a consultant of the Company. The fair value of the issued common shares was $1.68 per share and a loss of $16,000 was recorded.

*c)* *Stock options* 

The Company's Stock Option Plan was approved by shareholders at the annual and special meeting held on September 26, 2008. The Stock Option Plan provides that the Board may from time to time, in its discretion, grant to directors, officers, employees and consultants of the Issuer, or any subsidiary of the Company, the option to purchase the common shares. Additionally, under the Stock Option Plan, the number of the common shares reserved for any one person may not exceed 5% of the outstanding common shares. The Board determines the price per common share and the number of common shares that may be allotted to each director, officer, employee and consultant and all other terms and conditions of the options, subject to the rules of the Exchange. The exercise price per common share set by the Board is subject to minimum pricing restrictions set by the Exchange.

Stock Options may be exercisable for up to five years from the date of grant, but the Board has the discretion to grant options that are exercisable for a shorter period. Options under the Stock Option Plan are non-assignable.

If prior to the exercise of an option, the holder ceases to be a director, officer, employee or consultant, the option shall be limited to the number of common shares purchasable by them immediately prior to the time of their cessation of office or employment and they shall have no right to purchase any other common shares.

Page **12** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

20. OUTSTANDING
SHARE DATA (CONT'D)

*c)* *Stock options (cont'd)* 

Stock Options must be exercised within 90 days of termination of employment or cessation of position with the Company, although if the cessation of office, directorship, consulting arrangement or employment was by reason of death or disability, the option must be exercised within one year, subject to the expiry date.

For the year ended October 31, 2025, and 2024, the stock option activity is as follows:

---

| | |
|:---|:---|
| | Number |
|  | # |
| Outstanding, October 31, 2023 | 220000 |
| Cancelled | (220000) |
| Outstanding, October 31, 2025 and 2024 |  |

---

For the year ended October 31, 2025 and 2024, the Company did not issue any options.

For the year ended October 31, 2024, the following activity occurred: On December 15, 2023, the Company in connection with the completed substantial issuer bid cancelled an aggregate of 65,000 options of the Company that had an exercise price of $2.40 per Share for consideration of $0.54 per In-the-Money Option, representing the difference between the exercise price of the In-the-Money Options and the purchase price under the substantial issuer bid, for aggregate consideration equal to approximately $0.14.

At October 31, 2025, there are no stock options outstanding as previously issued options were cancelled on December 15, 2023.

The estimated fair value of stock options granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statement of loss and comprehensive loss over the vesting period of the stock options, with a corresponding increase to reserves. For the year ended October 31, 2025, $nil (October 31, 2024 - $20,000) was recorded as share-based payments for stock options.

Stock options are granted at a price equal to or above the fair value of the common shares. The consideration received on the exercise of stock options is added to share capital at the time of exercise.

Page **13** of **14**

---

| | |
|:---|:---|
| **Management's Discussion and Analysis**<br> (Expressed in Canadian Dollars, unless otherwise noted) | **WBM CAPITAL CORP.**<br> Year ended October 31, 2025 |

---

20. OUTSTANDING
SHARE DATA (CONT'D)

*d)* *Warrants* 

For the year ended October 31, 2025, and 2024 the warrant activity is as follows:

---

| | |
|:---|:---|
| | Number |
|  | # |
| Outstanding, October 31, 2023 | 577705 |
| Expired in 2024 | (165000) |
| Outstanding, October 31, 2024 | 412705 |
| Expired in 2025 | (290000) |
|  | 122705 |

---

---

| | | | |
|:---|:---|:---|:---|
| Number Outstanding | Exercise<br> Price | Expiry<br> Date | Number <br>Exercisable |
| # |  | $— | # |
| 122705 |  | 30-Nov-25 | 122705 |

---

As at October 31, 2025, the weighted average life of warrants outstanding was 0.08 years (October 31, 2024 – 0.95 years). Subsequent to year-end, the Company's warrants were cancelled as part of the transaction described in Note 17.

The fair value of warrants granted is determined using the Black-Scholes option pricing model and is recorded as a charge in the condensed consolidated interim statements of net loss and comprehensive loss over the vesting period of the warrants, with a corresponding increase to reserves.

For the year ended October 31, 2025, $nil (October 31, 2024 – $nil) was recorded as share-based payments for warrants. Warrants are issued at a price equal to or above the fair value of the common shares. The consideration received on the exercise of warrants is added to share capital at the time of exercise.

21. FILING

These documents have been filed electronically with the Canadian securities regulators through the System for Electronic Document Analysis and Retrieval + ("SEDAR+") and may be accessed through SEDAR+'s website at <u>www.sedarplus.ca</u>.

Page **14** of **14**

## Exhibit 99.91

**Exhibit 99.91**

**Form 52-109FV1**

**Certification of Annual Filings<br> Venture Issuer Basic Certificate**

I, Igor Kostioutchenko, Chief Financial Officer of Bitzero Holdings Inc., certify the following:

1.  ***Review:*** I have reviewed the AIF, if any, annual financial statements and annual MD&A,
 including, for greater certainty, all documents and information that are incorporated
 by reference in the AIF (together, the "annual filings") of Bitzero Holdings
 Inc., (the "issuer") for the financial year ended October 31, 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence,
 the annual filings do not contain any untrue statement of a material fact or omit to
 state a material fact required to be stated or that is necessary to make a statement
 not misleading in light of the circumstances under which it was made, for the period
 covered by the annual filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the
 annual financial statements together with the other financial information included in
 the annual filings fairly present in all material respects the financial condition, financial
 performance and cash flows of the issuer, as of the date of and for the periods presented
 in the annual filings.

Date: March 6, 2026

*"Igor Kostioutchenko"*

Igor Kostioutchenko

Chief Financial Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

&nbsp;&nbsp;&nbsp;&nbsp;i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.92

**Exhibit 99.92**

**Form 52-109FV1**

**Certification of Annual Filings<br> Venture Issuer Basic Certificate**

I, Mohammed Bakhashwain, Chief Executive Officer of Bitzero Holdings Inc., certify the following:

1.  ***Review:*** I have reviewed the AIF, if any, annual financial statements and annual MD&A, including, for greater certainty, all
documents and information that are incorporated by reference in the AIF (together, the "annual filings") of Bitzero
Holdings Inc., (the "issuer") for the financial year ended October 31, 2025.

2.  ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the annual filings do not contain any
untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement
not misleading in light of the circumstances under which it was made, for the period covered by the annual filings.

3.  ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the annual financial statements together with
the other financial information included in the annual filings fairly present in all material respects the financial condition,
financial performance and cash flows of the issuer, as of the date of and for the periods presented in the annual filings.

Date: March 6, 2026

*"Mohammed Bakhashwain"*

Mohammed Bakhashwain

Chief Executive Officer

**<u>NOTE TO READER</u>**

In contrast to the certificate required for non-venture issuers under National Instrument 52-109 *Certification of Disclosure in Issuers' Annual and Interim Filings* (NI 52-109), this Venture Issuer Basic Certificate does not include representations relating to the establishment and maintenance of disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as defined in NI 52-109. In particular, the certifying officers filing this certificate are not making any representations relating to the establishment and maintenance of

i) controls
 and other procedures designed to provide reasonable assurance that information required
 to be disclosed by the issuer in its annual filings, interim filings or other reports
 filed or submitted under securities legislation is recorded, processed, summarized and
 reported within the time periods specified in securities legislation; and

ii) a process to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

The issuer's certifying officers are responsible for ensuring that processes are in place to provide them with sufficient knowledge to support the representations they are making in this certificate. Investors should be aware that inherent limitations on the ability of certifying officers of a venture issuer to design and implement on a cost effective basis DC&P and ICFR as defined in NI 52-109 may result in additional risks to the quality, reliability, transparency and timeliness of interim and annual filings and other reports provided under securities legislation.

## Exhibit 99.93

**Exhibit 99.93**

**PURCHASE AND SALE AGREEMENT**

This PURCHASE AND SALE AGREEMENT (this **"Agreement"),** dated as of the 18t' day of July, 2022 (the **"Effective Date"),** is entered into between Cavalier County Job Development Authority, a job development authority pursuant to N,D.C.C. Chapt. 11-11.1 ("Seller"), having an address at 9013'' Street, Ste. 5, Langdon, ND 58249, and Bitzero ND I, LLC, a North Dakota limited liability company **("Purchaser"),** having an address at 2416 Main Street, Ste. 398, Vancouver, BC V5T 3E2.

RECITALS

WHEREAS, Seller is the owner of the Property (as hereinafter defined);

WHEREAS, The primary responsibility of the Seller is not only to create jobs and increase incomes by the process of economic development but to create a climate conducive for development within the whole county. Economic development includes the enhancement of human capital, developing community infrastructure and promoting business development. Seller's work is guided by the Cavalier County Strategic Plan, which includes the redevelopment of the former Stanley R. Mickelsen SAFEGUARD Anti-ballistic Complex (SRMSC), located on the Property, leading to job creation and business opportunities. Purchaser's plan to develop infrastructure and establish a data center in the former Missile Site Control Building will result in a significant economic impact for not only Cavalier County but the region and the State of North Dakota. In addition, the Bitzero plan to incorporate the history of SRMSC in a manner that will honor the original mission of the complex;

WHEREAS, Purchaser is an ESG focussed Zero Carbon Displacement data center developer. Zero Carbon Displacement guidelines require Purchaser to develop energy delivery solutions to their data centers from trapped energy or from proprietary generation. Purchaser focusses in the early stages of site development on locally usable heat capture from data processing activities. In executing on the delivery of heat capture driven activity, typically agriculture is an integral part of Purchaser's site development once sites are cash flow positive. It is Purchaser's plan to develop infrastructure and establish a data center in the former Missile Site Control Building located on the Property that will likely lead to the other corollary and associated activities. Purchaser's aspiration is to augment service offering from the data center as broadly as commercially viable to include advancing into cloud and analytics services over time; and

WHEREAS, subject to the ternis and conditions hereof, Seller desires to sell to Purchaser the Property and Purchaser desires to purchase the Property from Seller.

NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

**ARTICLE I** 

**CONVEYANCE OF THE PROPERTY**

**Section 1.01 Subject of Conveyance.** Seller agrees to sell and convey to Purchaser and Purchaser agrees to purchase from Seller, upon the terms and conditions hereinafter set forth, all right, title, and interest of Seller in and to the following (collectively referred to herein as the "Property"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Ail that certain lot, piece, or parcel of land located on 81' Street, Nekoma, County of Cavalier, and State of North Dakota, as more particularly bounded and described in <u>Exhibit A</u> attached hereto and hereby made a part hereof **(the "Land");**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Ali buildings and improvements located on the Land and all of Seller's right, title, and interest in and to any and all fixtures attached thereto (collectively, the **"Improvements");**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) All rights appurtenant to the Land, if any, including without limitation, any strips and gores abutting the Land, and any land lying in the bed of any street, road, or avenue in front of, or adjoining the Land, to the center line thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any permit, entitlement, governmental approval, certificate of occupancy, license, or other foret of authorization or approval issued by a governrnent agency or authority and legally required for the construction, ownership, operation, and use of the Property to the extent transferable with the sale of the Property (collectively, the **"Assumed Permits and Lieenses")**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any written warranty, guaranty, or other obligation from any contractor, manufacturer, or vendor to any improvements, furnishings, fixture, or equipment located at the Property, to the extent assignable in connection with the sale of the Property **("Assumed Warranties and Guaranties")**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(f)** **All other rights, privileges, easements, licenses, appurtenances, and hereditaments relating to the Property;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(g)** **Copies of all plans, surveys, specifications, drawings, architectural and engineering drawings, and other information relating to the construction and history of the Property in possession of or available to Seller (collectively, the "Plans and Surveys");**

**Section 1.02 Excluded Personal Property.** Notwithstanding the foregoing, the sale of the Property contemplated by this Agreement shall not include the personal property listed in <u>Exhibit B</u> attached hereto and made a part hereof (the **"Excluded Personal Property"),** which Excluded Personal Property is expressly excluded from such conveyance.

**ARTICLE H**

**PURCHASE PRICE**

**Section 2.01 Purchase Price and Deposit.** The purchase price to be paid by Purchaser to Seller for the Property is Two Hundred Fifty Thousand and 00/100 Dollars ($250,000.00) (the **"Purchase Price").** The Purchase Price shall be payable as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Simultaneously with the execution and delivery of this Agreement by Purchaser, the sum of Fifty Thousand and 00/100 Dollars ($50,000.00) (the **"Deposit")** by Purchaser's certified check or official bank check, subject to collection, made payable to Seller. The receipt of the Deposit is hereby acknowledged. The Deposit shall be non-refundable and immediately available to Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The balance of the Purchase Price in the amount of Two Hundred Thousand and 00/100 Dollars ($200,000.00) shall be paid to the trust account of R. Scott Stewart P.C. (the **"Escrow Agent")** within 5 business days of the Effective Date to be held in escrow until the Closing Date at which time the balance of the Purchase Price shall be released to Seller.

**ARTICLE III**

**DUE DILIGENCE INVESTIGATION**

**Section 3.01 Due Diligence Materials.** Within five (5) business days alter the Effective Date (the **"Due Diligence Delivery Date"),** Seller shall, if not already made available to Purchaser, deliver, cause to be delivered, or make available, copies of the following documents and materials pertaining to the Property to the extent within Seller's possession or control: title commitment/policy, Seller's Survey, site plans and specifications, architectural plans, inspections, environmental/hazardous material reports, soifs reports, governmental permits/approvals, zoning information, tax information and utility letters, copies of service contracts, certificate(s) of occupancy, warranties and guaranties, commission agreements, and copies of all correspondence related to the Leases, other similar materials relating to the physical and enviromnental condition of the Property, and any other documents relating to the Property reasonably requested by Purchaser (collectively, the **"Due Diligence Materials").** The Due Diligence Delivery Date shall be extended by one day for each day Seller delays in making the Due Diligence Materials available to Purchaser.

**Section 3.02 Due Diligence Period.** Purchaser shall have a period, cormnencing on the Effective Date through the date which is sixty (60) days alter the Due Diligence Delivery Date (the **"Due Diligence Period"),** to conduct or cause to be conducted any and all tests, studies, surveys, inspections, reviews, assessments, or evaluations of the Property, including without limitation engineering, topographie, soifs, zoning, wetlands, and environmental inspections (including Phase I and/or Phase **II** environmental site assessments to be performed by an environmental consultant selected and paid by Purchaser) (the **"Inspections"),** as Purchaser deems necessary, desirable, or **appropriate in its sole and absolute discretion, and analysis of** the Due Diligence Materials. Purchaser shah have the unconditional right to terminate this Agreement upon written notice to Seller delivered at any time up the last day of the Due Diligence Period if in Purchaser's sole discretion it determines the existence of any environmental contamination that Seller elects not to remediate prior to Closing or if there are any laws, regulations or restrictions prohibiting the Purchaser from acquiring the Property or using the Property as Purchaser intends (especially as it relates to the Property's former status as a military establishment). If Purchaser does not timely notify Seller of its election to terminate this Agreement prior to the last day of the Due Diligence Period, Purchaser shah be deemed to have elected to proceed to Closing, subject to the terms and conditions of this Agreement. If Purchaser elects to terminate this Agreement, this Agreement shah terminate, and the parties shah have no further liability hereunder (except with respect to those obligations hereunder which expressly survive the termination of this Agreement). The Buyer shall have the option to extend the Due Diligence Period thirty (30) days by paying to the Seller Twenty-five Thousand and 00/100 Dollars ($25,000.00) from the fonds held by the Escrow Agent which shah be considered an additional, non-refundable deposit. Notwithstanding anything to the contrary contained in this Agreement, amendments to this Agreement to extend the Due Diligence Period may be agreed upon in writing or email by each party or each party's respective attorney and notices to terminate this Agreement prior to the expiration of the Due Diligence Peri.od may be given, by Purchaser as provided in this Agreement or by Purchaser or Purchaser's attorney by fax or by email to Seller and/or Seller's attorney.

Section 3.03 Purchaser's Access. At any time prior to the Closing (including during the Due Diligence Period), and at all times, subject to Section 3,04, Purchaser and its agents, employees, consultants, inspectors, appraisers, engineers, and contractors (collectively, "Purchaser's Representatives") shah have the right to enter upon and pass through the Property during normal business hours to examine and inspect the same, as well as conduct reasonable tests, studies, investigations, and surveys to assess utility availability, soil conditions, environmental conditions, physical condition, and the like of the Property.

Section 3.04 Purchaser's Right to Inspect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In conducting the Inspections or otherwise accessing the Property, Purchaser shah at all times comply with all laws and regulations of all applicable governmental authorities and maintain insurance in customary amounts and types including Seller as a loss payee or additional insured if possible, and provide evidence of same to Seller upon Seller's request. In connection with such Inspections, neither Purchaser nor any of Purchaser's Representatives shall unreasonably interfere with or permit unreasonable interference with any person occupying or providing service at the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Purchaser shall schedule and coordinate ail Inspections or other access thereto with Seller and shall give Seller at least one (1) Business Day's prior notice thereof. Seller shah be entitled to have a representative present at ail times during each such inspection or other access. Seller shah allow the Purchaser's Representatives unlimited access to the Property and to other information pertaining thereto in the possession or within the control of Seller for the purpose of the Inspections.

Section 3.05 Purchaser's Right to Make Improvements. During the Due Dilligence Period, Seller may begin clean-up of the Property, conduct surveying, engineering, and preliminary design and site-plan work, installation of utilities, communication lins, and other site preparation work. In the event that the Purchaser elects .to terminate this Agreement, any improvements made to the Property shall be surrendered and become property of the Seller.

Section 3.06 Seller Indemnification. Purchaser agrees to indemnify and hold Seller harmless from and against any and all losses, costs, damages, liens, daims, liabilities, or expenses (including, but not limited to, Seller's reasonable attorneys' fees, court costs, and disbursements but excluding consequential and indirect damages) incurred by Seller arising from or by reason of Purchaser's and/or Purchaser's Representatives' access to, or Inspections of, the Property, except to the extent such losses, costs, damages, liens, daims, liabilities, or expenses are caused by or resulting from: (a) any acts or omissions of Seller; (b) Seller's negligence; andior (c) any pre-existing, dangerous, illegal, or defective condition at the Property, not otherwise disclosed to Buyer. The provisions of this Section 3.06 shah survive the Closing or earlier termination of this Agreement.

ARTICLE IV<br> CLOSING

Section 4.01 Closing Date. The closing of the transaction contemplated by this Agreement (the "Closing") shah take place five business days following the expiration of the Due Dilligence Period (the "Closing **Date")** at the offices of R. Scott Stewart, PC located at 306 9th Ave, Langdon, ND 58249, or earlier at Purchaser's request, with notice to Seller's attorney at least three (3) Business Days.

Section 4.02 Seller's Closing Deliverables. At Closing, Seller shah deliver or cause to be delivered to Purchaser, the following executed, certified, and acknowledged by Seller, as appropriate:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) One (1) original Warranty Deed (the "Deed") in substantially the form attached hereto as <u>Exhibit C,</u> duly executed with the appropriate acknowledgment form and otherwise in proper foret for recording so as to convey title to the Property to Purchaser as required by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A bill of sale (the **"Bill of Sale")** in substantially the form attached hereto as <u>Exhibit D,</u> executed by Seller, conveying to Purchaser good and marketable title to the Personal Property as described in the Bill of Sale, free and clear of ail encumbrances and adverse daims.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A certification that Seller is not a "foreign persan" as such term is defined in Section 1445 of the Internai Revenue Code, as amended and the regulations thereunder (collectively, the "Code"), which certification shah be signed under penalty of perjury.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) An original seller's affidavit in a form reasonably acceptable to the Title Insurance Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) A resolution of the board of Seller authorizing the transaction contemplated hereby and the execution and delivery of the documents required to be executed and delivered hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) A written certificate stating that ail representations and warranties contained in Section 6.01 remain, as of the Closing Date, truc, correct, and complete in ail material respects as when first made hereunder (the **"Bring Down Certificate").**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) A counterpart of a closing statement jointly prepared by Seller and Purchaser reflecting the closing costs and adjustments and the balance of the Purchase Price due Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) All keys, key cards, and access codes to any portion of the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) An original assignment and assumption of contracts, warranties, permits, and licenses in substantially the farm attached hereto as <u>Exhibit E,</u> executed by Seller and assigning to Purchaser ail of Sellees right, title, and interest in the Assumed Permits and Licenses, and Assumed Warranties and Guaranties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Originals or, if originals are not in the possession or control of Seller, copies of Plans and Surveys, to the extent same are in Seller% possession or under Seller% control

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Ail other documents necessary or otherwise required by Title Insurance Company to consummate the transaction contemplated by this Agreement.

Section 4.03 Purchaser's Closing Deliverables. On the Closing Date, Purchaser shall deliver or cause to be delivered to Seller, the following, executed, certified, and acknowledged by Purchaser, as appropriate:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The balance of the Purchase Price as set forth in Section 2.01(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Purchaser shall execute and deliver to Seller a first right of refusai in such form and substance as attached hereto as Exhibit F.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Purchaser shall execute and deliver to Seller an Option to Purchase in such form and substance as attached hereto as Exhibit G.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Purchaser shall, where applicable, join with Seller in the execution and delivery of the closing documents and instruments required under Section 4.03 of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) A resolution of the board of Purchaser authorizing the transaction contemplated hereby and the execution and delivery of the documents required to be executed and delivered hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) All other documents reasonably necessary or otherwise required by the Escrow Agent or the Title Insurance Company to consummate the transactions contemplated by this Agreement.

Section 4.04 Closing Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller and Purchaser shall each pay the fees and expenses of its own counsel in convection with the preparation and negotiation of this Agreement. The Deed and other agreements and instruments related to the transaction contemplated by this Agreement and such legal costs shall not be part of the closing costs; provided, however, that if any legal action is instituted under this Agreement, the prevailing party in such action shall be entitled to seek recovery from the other party costs related to such legal action, including reasonable attorneys' fees and costs in ail trial, appellate, post-judgment, and bankruptcy pro ceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller shall pay:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any and all costs incurred by Seller in connection with the preparation, review, and negotiation of this Agreement and the transactions and the Closing contemplated by this Agreement, including any attorneys' or consultancy fees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Purchaser shall pay:

The costs charged by Purchaser's Title Insurance Company, including, without limitation, costs related to the Title Commitment, any premiums, title endorsements, and affirmative insurance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The costs related to the Survey and any other survey or survey update;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Closing Agent's fees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Any other fees or costs related to Purchaser's due diligence reviews; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) All costs related to the recording fees payable in connection with the recording of the Deed and Purchaser's lendet s security instruments, if any.

**Section 4.05 Apportionments. Ali** real estate taxes and special assessments, if any, shah be apportioned as of 11:59 p.m. of the date immediately preceding the Closing Date calculated based on the fiscal year for which they are assessed. If the Closing shah occur before a new tax rate is fixed, the apportionment of real estate taxes shah be upon the basis of the tax rate for the preceding fiscal period applied to the latest assessed valuation.

**ARTICLE V** 

**TITLE MATTERS AND REVIEW**

**Section 5.01 Acceptable Title.** Seller shah convey, and Purchaser shah accept, such title to the Property that any title insurance company authorized and licensed to do business in the state where the property is located (the **"Title Insurance Company")** would be willing to insure at regular rates, subject to the matters set forth in this Agreement. Seller shah convey, and Purchaser shah accept, fee simple title to the Property in accordance with the terms and conditions of this Agreement, and subject only to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Permitted Exceptions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Such other matters as any Title Insurance Company shah be willing to omit as exceptions to coverage or to except with insurance against collection out of or enforcement against the Property.

**Section 5.02 Permitted Exceptions.** The Property shah be sold, assigned, and conveyed by Seller to Purchaser, and Purchaser shah accept and assume same, subject only to the following matters (collectively, the **"Permitted Exceptions"):**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any and ail present and future zoning, building, environmental, and other laws, statutes, ordinances, codes, ruses, regulations, requirements, or executive mandates of ail govemmental authorities having jurisdiction with respect to the Property, including, without limitation, iandmark designations and ail zoning variances and special exceptions, if any, provided, however, that the same are not violated by the linprovements or prohibit or impair the Purchaser's intended use of the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any state of facts that an accurate survey of the Property would disclose, provided saine does not render title urunarketable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All presently existing and future liens for unpaid real estate taxes and special assessments that are not due and payable as of the Closing Date, subject to any apportionments as provided for in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Ail covenants, restrictions and rights of record, and all easements and agreements of record for the erection and/or maintenance of water, gas, steam, electric, telephone, sewer or **other utility pipelines,** poles, wires, conduits, or other like facilities, and appurtenances thereto, over, across, and under the Property, provided, however, that the same are not violated by the Improvements and prohibit or impair the Purchaser's intended use of the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any lien or encumbrance arising out of the acts or omissions of the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any exceptions disclosed on Schedule B of the Title Commitment (as hereinafter defined) which will be extinguished upon the transfer of the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Any exceptions disclosed on Schedule B of the Title Commitment which are the responsibility of any tenant under the Leases to cure, correct, and remove of record.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The standard conditions and exceptions to title contained in the form of title policy or "marked-up" Title Commitment issued to Purchaser by the Title Insurance Company.

**Section 5.03 Title.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Purchaser shall promptly order a commitment for title insurance from the Title Insurance Company, together with truc, legible (to the extent available), and complete copies of any tax search, departmental or municipal searches, and ail instruments giving rise to any defects or exceptions to title to the Property (collectively, the **"Title Commitment"),** which Title Commitment shah be delivered to counsel for both Purchaser and Seller concurrently.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Purchaser or Purchaser's attorney shall deliver to Seller, and Seller's attorney, in writing (the **"Title Objection Notice"),** any objections to the exceptions to title set forth in the Title Commitment or Purchaser's Survey, other than the Permitted Exceptions (each a "Title Objection," and collectively, hereinafter the **"Title Objections"), within thirty (30)** days alter Purchaser's receipt of the Title Commitment and Survey (or any subsequent update thereof). If, alter giving the Title Objection Notice to Seller and Seller's attorney, Purchaser receives any amendment or update to the Title Conunitment or to the Survey showing any title defects which Purchaser daims are not Permitted Exceptions, Purchaser shall give written notice thereof to Seller promptly alter the date Purchaser receives such evidence (unless an additional matter shown on such subsequent update first arises on the Closing Date, in which event notice of same may be given on the Closing Date and the Closing Date shall be extended day for day without need for additional action by either party). Except for those items which Seller is obligated to cure pursuant to the ternis of this Agreement, any such matter not the subject of a timely Title Objection Notice shall be deemed a Permitted Exception. Notwithstanding anything to the contrary contained herein, Purchaser shall have no need to object to any Mandatory Title Removal Item, which Mandatory Title Removal Items shall be automatically deemed Title Objections.

**Section 5.04 Seller's Inability to Convey.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller shall use best efforts to eliminate all Title Objections by the Closing Date, If Seller is unable to eliminate any Title Objection by the Closing Date, Seller shall provide written notice of same to Purchaser and then, unless the same is waived by Purchaser in writing, in its sole and absolute discretion, Purchaser may either: (i) terminate this Agreement by written notice to Seller and Escrow Agent delivered on or before the Closing Date, in which event Purchaser shall be entitled to a return of the remaining Purchase Price, and this Agreement shall thereupon be deerned terminated and of no further effect, and neither party hereto shall have any obligations to the other hereunder or by reason hereof, except for the provisions hereof that expressly survive termination of this Agreement; or (ii) complete the purchase (with no reduction in the Purchase Price) with such title as Seller is able to convey on the Closing Date.

**ARTICLE VI**

**REPRESENTATIONS AND WARRANTIES**

**Section 6.01 Seller's Representations and Warranties.** Seller represents and warrants to Purchaser on and as of the date of this Agreement and on and as of the Closing Date, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller is an economic development agency duly formed, validly existing, and in good standing under the laws of the State of North Dakota and has the requisite power and authority to enter into this Agreement and the instruments referenced herein, and to consummate the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The execution, delivery, and performance of this Agreement by Seller and all agreements, instruments, and documents herein provided to be executed by Seller on the Closing Date: (i) do not violate the powers or duties of Seller, or any contract, agreement, commitment, lease, order, judgment, or decree to which Seller is a party; and (ii) have been duly authorized by the resolutions of the board of directors of Seller and the appropriate and necessary action has been taken by such board of directors on the part of Seller. The individual(s) executing this Agreement and the instruments referenced herein on behalf of Seller have the legal power, right, and actual authority to bind Seller to the ternis and conditions hereof and thereof. This Agreement is valid and binding upon Seller, subject to bankruptcy, reorganization, and other similar laws affecting the enforcement of creditors' rights generally.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Neither the execution, delivery, or performance of this Agreement, nor the consununation of the transactions contemplated hereby is prohibited by, or requires Seller to obtain any consent, authorization, approval, or registration under any law, statute, rule, regulation, judgment, order, writ, injonction, or decree which is binding upon Seller which has not been previously obtained.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) There is no litigation, arbitration, or other legal or administrative suit, action, proceeding, or investigation pending or threatened against or involving Seller or the ownership or operation of the Property, including, but not limited to, any condemnation action relating to the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Seller has not entered into any service, maintenance, supply, leasing, brokerage, and listing and/or other contracts relating to the Property (along with all amendments and modifications thereof, the "Service Contracts") which will be binding upon the Purchaser alter the Closing. Bach of the Service Contracts can and, at Purchaser's option, will be terminated by Seller on or before the Closing Date. Seller has performed ail of its obligations under each of the Service Contracts and no fact or circumstance has occurred which, by itself or with the passage of time or the giving of notice or both, would constitute a default by any party under any of the Service Contracts. Seller has delivered to Purchaser true, correct, and complete copies of all Service Contracts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Seller has not received notice of any material violation of any law or municipal ordinance, order, or requirement noted or issued against the Property by any govemmental authority having jurisdiction over the Property, that has not been cured, corrected, or waived as of the Effective Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Seller has or will deliver or make available to Purchaser complete copies of all the Due Diligence Materials to the extent in Seller's possession or under Seller's control with regard to the Property, and there are no other documents or information included within the definition of Due Diligence Materials that have not been provided to the Purchaser. To Seller's knowledge, none of such Due Diligence Materials contains any untrue statement of a material fact or omits to state a fact necessary to make the statement of fact contained therein not misleading in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Except as explained herein, Seller has not placed any, and to Seller's knowledge, there are no Hazardous Materials installed, stored in, or otherwise existing at, on, in, or under the Property in violation of any Environmental Laws. **"Hazardous Materials"** means "Hazardous Material," "Hazardous Substance," "Pollutant or Contaminant," and "Petroleum" and "Natural Gas Liquids," as those terms are defined or used in CERCLA, and any other substances regulated because of their effect or potential effect on public health and the environment, including PCBs, lead paint, asbestos, urea formaldehyde, radioactive materials, putrescible materials, and infectious materials. **"Environmental Laws"** means, without limitation, the Resource Conservation and Recovery Act and the Comprehensive Environmental Response Compensation and Liability Act and other federal, state, county, municipal, and other local laws governing or relating to Hazardous Materials or the environment together with their implementing regulations, ordinances, and guidelines, Seller advises Buyer of the existence of a diesel supply tunnel underfloor storage. that fias not analyzed or examined and therefore Seller makes no warranty or representation of such items. Seller acknowledges the existence of asbestos on the Property which is currently undergoing remediation. Seller warrants that all remediation will be successfully completed prior to Closing. The remediation will be inspected and certified by the Seller's engineer and North Dakota Department of Environmental Quality.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The improvements on the Property are not within an area determined to be flood-prone under the Federal Flood Protection Act of 1973.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Except as expressly set forth in this Agreement to the contrary, Purchaser is expressly purchasing the Property in its existing condition "AS-IS, WHERE-IS, AND WITH ALL FAULTS" with respect to all facts, circumstances, conditions, and defects, and, Seller has no obligation to determine or correct any such facts, circumstances, conditions, or defects or to compensate Purchaser for same. Seller has specifically bargained for the assumption by Purchaser of all responsibility to investigate the Property, Laws and Regulations, Rights, Facts, Violations, and of all risk of adverse conditions and has structured the Purchase Price and other terms of this Agreement in consideration thereof Purchaser has undertaken all such investigations of the Property, Laws and Regulations, Rights, Facts, and Violations, as Purchaser deems necessary or appropriate under the circumstances as to the status of the Property and based upon same, Purchaser is and will be relying strictly and solely upon such inspections and examinations and the advice and counsel of its own consultants, agents, legal counsel, and officers. Purchaser is and will be fully satisfied that the Purchase Price is fair and adequate consideration for the Property and, by reason of all the foregoing, Purchaser assumes the full risk of any loss or damage (subject to Article VIII below) occasioned by any fact, circumstance, condition, or defect pertaining to the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Except as expressly set forth in this Agreement to the contrary, Seller hereby disclaims all warranties of any kind or nature whatsoever (including, without limitation, warranties of habitability and fitness for particular purposes), whether expressed or implied including, without limitation warranties with respect to the Property. Except as is expressly set forth in this Agreement to the contrary, Purchaser acknowledges that it is not relying upon any representation of any kind or nature made by Seller, or Seller's broker, or any of their respective direct or indirect members, partners, shareholders, officers, directors, employees, or agents, with respect to the Property, and that, in fact, except as expressly set forth in this Agreement te the contrary, no such representations were made. To the extent required to be operative, the disclaimers and warranties contained herein are "conspicuous" disclaimers for purposes of any applicable law, rule, regulation, or order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Subject to the ternis and conditions of Article X, the representations and warranties of Seller set forth in this Section 6.01 shall survive the Closing and will net be affected by any investigation, verification, or approval by any party or anyone on behalf of any party to this Agreement.

**Section 6.02 Purchaser's Representations and Warranties.** Purchaser represents and warrants that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Purchaser is a Limited Liability Company duly organized, validly existing, and in good standing under the laws of the State of North Dakota and lias the requisite power and authority to enter into this Agreement and the instruments referenced herein, and to consummate the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The execution, delivery, and performance of this Agreement by Purchaser and all agreements, instruments, and documents herein provided to be executed by Purchaser on the Closing Date: (i) do not violate the Articles of Organization or Operating Agreement of Purchaser, or any contract, agreement, commitment, lease, order, judgment, or decree to which Purchaser is a party; and (ii) have been duly authorized by the resolutions of the board of directors of Purchaser and the appropriate and necessary action has been taken by such board of directors on the part of Purchaser. The individual(s) executing this Agreement and the instruments referenced herein on behalf of Purchaser have the legal power, right, and actual authority to bind Purchaser to the ternis and conditions hereof and thereof. This Agreement is valid and binding upon Purchaser, subject to bankruptcy, reorganization, and other similar laws affecting the enforcement of creditors' rights generally.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Neither the execution, delivery, or performance of this Agreement, nor the consummation of the transactions contemplated hereby is prohibited by, or requires Purchaser to obtain any consent, authorization, approval, or registration under any law, statute, rule, regulation, judgment, order, writ, injunction, or decree which is binding upon Purchaser which has not been previously obtained.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To the best of its knowledge, there are no judgments, orders, or decrees of any kind against Purchaser unpaid or unsatisfied of record, nor any actions, suits, or other legal or administrative proceedings pending or, to the best of Purchaser's actual knowledge, threatened against Purchaser, which would have any material adverse effect on the business or assets or the condition, financial or otherwise, of Purchaser or the ability of Purchaser to consummate the transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Purchaser agrees to construct on the Property an historical interpretive center at such time and in such manner as Purchaser deems commercially reasonable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Purchaser agrees provide Seller with the current contact information of a company representative for so long as Purchaser owns the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Purchaser warrants that it will have created 35, on-Property (not remote or virtual) job opportunities within 36 months of the Closing Date. In the event that Buyer does not gernerate such job opportunities, than Buyer shall pay to Seller an additional $250,000.00 to be considered additional Purchase Price and not as a penalty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Purchaser warrants that it shall develop and provide documentation of a 10 megawatt data center on the Property by July 1, 2027. Should Purchaser fail to develop a 10 megawatt data center by Juiy 1, 2027, Seller shall have an option to purchase the Property in such terms and conditions as contained in Exhibit G attached hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The representations and warranties set forth in this Section 6.02 shall be continuing and shall be true and correct in ail material respects as of the Closing Date with the same force and effect as if made at that time. The representations and warranties set forth in this Section 6.02 shall survive the Closing and will not be affected by any investigation, verification, or approval by any party or anyone on behalf of any party to this Agreement.

**Section 6.03 Bring Down Certificate.** Seller shall deliver a bring down certificate reaffirming the accuracy and truthfulness of each of Seller's representations and warranties in Section 7.01 (or, if any has ceased to be true, so indicating), and providing that such representations and warranties shall survive the Closing and the delivery of the Deed at Closing in accordance with the terms and conditions of this Agreement.

**ARTICLE VII**

**SELLER'S COVENANTS**

**Section 7.01 Leases. During the period from the Effective Date until the Closing Date, Seller shah** not enter into any new Lease or submit or consider any proposai for a new Lease.

**Section 7.02 Maintenance and Repairs. Except with regard to** asbestos remediation, during the period from the Effective Date until the Closing Date, Seller shah cause **the Property, and** the Improvements, to be maintained in substantially the same manner as prior to the date of this Agreement pursuant to Seller's normal course of business. Seller shahl not cause or make any new irnprovements, alterations, or demolition to the Property.

**Section 7.03 Service Contracts. Following the Effective Date, Seller shall not enter into** any new Service Contract which is not terminable on thirty (30) days prior notice without Purchaser's prior written consent, which may be withheld in Purchaser's sole discretion. On or before the Closing, Seller shall, at its sole cost and expense, terminate ail Service Contracts, except for Chose Service Contracts (including any new Service Contracts entered into by Seller in accordance with this Section 7.03) which Purchaser elects (in its sole discretion) to assume **(the "Assumed Contracts"), by written notice to Seller on or before the date that is ten (I0) days before the Closing Date. Notwithstanding the foregoing Seller shall terminate the Management Agreement and any leasing broker listing agreements for die Property effective as of the Closing.**

**ARTICLE VIII<br> RISK OF LOSS**

**Section 8.01 Risk of Loss. If prior to the Closing Date any portion of the Property shall be taken by condemnation or eminent domain or damaged or destroyed by fire or other casualty, neither party shall have the right to cancel this Agreement, except as otherwise provided in Section 8.02 of this** Agreement. **If this Agreement is** not terminated in strict accordance with such Section 8.02, Purchaser shall purchase the Property in accordance with this Agreement, and the Purchase Price shall not be reduced; provided, however, that Selles rights to any award resulting from such taking or any insurance proceeds resulting from sud<sup>.</sup>' fire or other casualty shall be assigned by Seller to Purchaser at the Closing. Purchaser shall also receive a credit against the Purchase Price for any deductible applicable under any insurance policy (less any reasonable sums expended by Seller for repair or restoration through the Closing Date).

**Section 8.02 Major Talking or Casualty.** If prior to the Closing Date any portion of the Property shall be: (a) taken by any condemnation or eminent domain or (b) damaged or destroyed by fire or other casualty which permanently and materially impairs the current use of the Property, then Purchaser may terminate this Agreement by giving Seller and Escrow Agent written notice thereof **("Purchaser's Termination Notice")** within ten (10) days from the date Purchaser receives written notice of any such taking, fire, or other casualty. Upon receipt of Purchaser's Termination Notice, the Escrow Agent shall refond to Purchaser the remaining Purchase Price and upon such refond being made, this Agreement shall terminate and neither party shall have any further rights and/or obligations with respect to each other or this Agreement, except for any obligations that expressly survive termination of this Agreement.

**ARTICLE IX<br> NOTICES**

**Section 9.01 Delivery of Notices.** Unless specifically stated otherwise in this Agreement, all notices, demands, consents, approvals, waivers, or other communications (for purposes of this Section 10.01 collectively referred to as "Notices") shall be in writing and delivered to Purchaser, Seller, or Escrow Agent, at the addresses set forth in Section 10.02, by one of the following methods:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Personal delivery, whereby delivery is deemed te have occurred at the time of delivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Overnight delivery by a nationally recognized overnight courier company, whereby delivery is deemed to have occurred the Business Day following deposit with the courier;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Registered or certified mail, postage-prepaid, retint receipt requested, whereby delivery is deemed te have occurred on the third Business Day following deposit with the United States Postal Service; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Electronic transmission (facsimile or email) provided that such transmission is completed no later than 5:00 p.m. CST on a Business Day and the original is also sent by personal delivery, overnight delivery or by mail in the manner previously described, whereby delivery is deemed to have occurred at the end of the Business Day on which the electronic transmission is completed.

**Section 9.02 Parties' Addresses.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless changed in accordance with Section 9.02(b) of this Agreement, the addresses for all communications and notices shah be as follows:

**If to Seller:**

---

| | |
|:---|:---|
| Name: | Cavalier County Job Development Authority |
| Address: | 901 3rd Street, Ste 5 |
|  | Langdon, ND 58249 |
| Telephone: | 701-256-3475 |
| Attention: | Carol Goodman |
| Email: | <u>goodman@utma.com</u> |
| Facsimile: | 701-256-3536 |
| **With a copy to:** |  |
| Name: | R. Scott Stewart P.C. |
| Address: | 306 9<sup>e1</sup> Avenue |
|  | Langdon, ND 58249 |
| Telephone: | 701-256-2851 |
| Attention: | Scott Stewart |
| Email: | <u>sstewart@nd.gov</u> |
| Facsimile: | 701-256-2582 |
| **If to Purchaser:** |  |
| Name: | Bitzero ND I, LLC |
| Address: | 2416 Main Street, Ste. 398 |
|  | Vancouver, BC V5T 3E2 |
| Telephone: | 786-790-7721 |
| Attention: | Akbar Shamji, CEO |
| Email: | <u>Akbar@bitzero.com</u> |
| Facsimile: | N/A |
| **With a copy to:** |  |
| Name: | Crowley Fleck PLLP |
| Address: | 100 W. Broadway Ave., Ste. 250 |
|  | Bismarck, ND 58501 |
| Telephone: | 701-223-6585 |
| Attention: | Blaine T. Johnson |
| Email: | <u>bjohnson@crowleyfleck.com</u> |
| Facsimile: | 701-222-4853 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any party may, by notice given in accordance with this Article, designate a different address or person for receipt of all communications or notices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any notice under this Agreement may be given by the attorneys of the respective parties who are hereby authorized to do so on their behalf.

**ARTICLE X<br> REMEDIES**

**Section 10.01 Remedies.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If Purchaser shall default in the observance or performance of Purchaser's obligations under this Agreement and the Closing does not occur as a result thereof (a **"Purchaser Default"),** Seller's sole and exclusive remedy shall be to retain the Deposit, and any interest earned thereon, as liquidated damages for Purchaser's Default. Upon payment of the Deposit and any interest earned thereon to Seller, this Agreement shall be terminated and the parties shall be released from further liability to each other hereunder, except for those obligations and liabilities that are expressly stated to survive termination of this Agreement. SELLER AND PURCHASER AGREE THAT IT WOULD BE IMPRACTICAL AND EXTREMELY DIFFICULT TO ESTIMATE THE DAMAGES WHICH SELLER MAY SUFFER UPON A PURCHASER DEFAULT AND THAT THE DEPOSIT AND ANY INTEREST EARNED THEREON, AS THE CASE MAY BE, REPRESENTS A REASONABLE ESTIMATE OF THE TOTAL NET DETRIMENT THAT SELLER WOULD SUFFER UPON A PURCHASER DEFAULT. SUCH LIQUIDATED AND AGREED DAMAGES ARE NOT INTENDED AS A FORFEITURE OR A PENALTY WITHIN THE MEANING OF APPLICABLE LAW.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If Seller shall default in the performance of any of Seller's obligations to be performed under this Agreement and the Closing does not occur as a result thereof (a **"Seller Default"),** Purchaser's sole and exclusive remedy shall be to either: (i) terminate this Agreement by delivery of written notice to Seller and Escrow Agent, and Escrow Agent or Seller, as applicable, shall retum the Deposit to Purchaser, with the interest earned thereon, if any, whereupon this Agreement shah terminate and neither party shah have any further rights or obligations with respect to each other or this Agreement, except those that are expressly provided in this Agreement to survive the termination hereof; or (ii) continue this Agreement and seek specific performance of Seller's obligations hereunder, provided that any such action for specific performance must be commenced within One Hundred Eighty (180) days alter such default, and if Purchaser prevails thereunder, Seller shall reimburse Purchaser for all reasonable legal fees, court costs, and all other reasonable costs of such action. Notwithstanding the foregoing, if Seller shah willfully default in its obligation to close the transaction hereunder on the Closing Date and specific performance shall not be a legally available remedy to Purchaser as a result thereof, then Purchaser (x) have the right to receive a return of the Deposit; and (y) be entitled to (and Seller shall reimburse Purchaser for) Purchaser's Costs (which reimbursement obligation shall survive the termination of this Agreement). The terni **"Purchaser's Costs"** is defined for the purpose of this Agreement as the expenses, if any, actually incurred by Purchaser for: (i) title examination, survey, and municipal searches, including the issuance of Purchaser's Title Cornmitment and any continuation thereof, without issuance of a title insurance policy; (ii) fees paid to Purchaser's engineer for preparing any environmental and engineering reports with respect to the Property; and (iii) the actual and reasonable third-party costs incurred by Purchaser in connection with the negotiation of this Agreement and Purchaser's due diligence with respect to the Property, including, without limitation, reasonable attorneys' fees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon the release of the Deposit, and any interest accrued thereon, to either Purchaser or Seller, as the case may be, and reimbursement of Purchaser's Costs (if applicable), this Agreement shah be deemed null and void and no party hereto shah have any obligations to, or rights against, the other hereunder, except as expressly provided herein.

**ARTICLE XI**

**CONFIDENTIALITY AND PRESS RELEASE**

**Section 11.01 Confidentiality. Seller acknowledges** that this information constitutes Commercial Information as defined in N.D.C.C. §44-04-18.4 as well as includes records and information pertaining to the prospective location of a business or industry and is exempt under Chapt. 44-04. Subject to any obligations of N.D.C.C. Chapt. 44-04 to disclose information, each party covenants and agrees to keep confidential to the greatest extent possible, (a) the terms or any aspect of this Agreement and the transactions contemplated hereby (the **"Confidential Information");** provided, however, that a party may, without consent, disclose the Confidential Information: (i) to its respective advisors, consultants, attorneys, accountants, partners, investors, and lenders (the **"Transaction Parties")** without the express written consent of the disclosing party, so long as any such Transaction Parties to whom disclosure is made shah also agree to keep all such information confidential in accordance with the terms hereo£ The foregoing confidentiality obligations shail not apply to the extent that any such Confidential Information is a matter of public record or is provided in other sources readily available to the real estate industry other than *as* a result **of** diselosure by a party or its Transaction Parties.

**Section 11.02 Return or Destruction of Confidential Information.** As of the Closing Date or in the event of a termination of this Agreement, if applicable, such confidentiality shah be maintained by the **parties** and all Confidential Information in accordance with the written request of either party shah be either promptly: (a) returned to the disclosing party; or (b) destroyed by the nondisclosing party, with any such destruction confirmed in writing.

**Section 11.03 No Press Release; Publicity. Prior** to the Closing Date: (a) no press releases or public statements shah be issued or made by either Seller or Purchaser with respect to the transactions contemplated by this Agreement; and (b) Purchaser and Seller shah confer and agree on a press release to be issued jointly by Purchaser and Seller disclosing the transaction and the appropriate time for making such release. At no time, whether prior to or following the Closing Date, shah! either Purchaser or Seller issue any press releases (or other public statements) with respect to the transactions contemplated in this Agreement which disclose the Purchase Price or contain any mention of the other Party to this Agreement without the approval of such other Party, which approval may be withheld in such other Party's sole and absolute discretion.

**Section 11.04 Survive.** The provisions of this Article shah survive the Closing or earlier termination of this Agreement.

**ARTICLE XII**

**MISCELLANEOUS**

**Section 12.01 Governing Law.** This Agreement shah be governed and constmed in accordance with the laws of the State of North Dakota.

**Section 12.02 Merger; No Representations.** This Agreement constitutes the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained herein and supersedes all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject matter. This Agreement is entered into alter full investigation, no party is relying upon any statement or representation, not set forth in this Agreement, made by any other party.

**Section 12.03 No Survival.** Except as otherwise provided in this Agreement, no representations, warranties, covenants, or other obligations of Seller set forth in this Agreement shah survive the Closing and no action based thereon shah be cornmenced after the Closing.

**Section 12.04 Business Days.** Whenever any action must be taken (including the giving of notices) under this Agreement during a certain time period (or by a particular date) that ends or occurs on a nonbusiness day, then such period (or date) shah be extended until the next succeeding Business Day. As used herein, the term **"Business Day"** shah mean any day other than a Saturday, a Sunday, or a legal holiday on which national banks are not open for general business in the State of North Dakota.

**Section 12.05 Modifications and Amendments.** This Agreement cannot under any circumstance be modified or amended orally and no agreement shall be effective to waive, change, modify, terminate, or discharge this Agreement, in whole or in part, unless such agreement is in writing and is signed by both Seller and Purchaser.

**Section 12.06 Successors and Assigns; Assignment.** This Agreement shah be binding upon and shah Mure to the benefit of the parties hereto and their respective heirs or successors and permitted assigns. Purchaser shall have the right to assign, transfer, or convey its rights and obligations under this Agreement or in the Property without the prior written consent of Seller, provided that any assignee shah assume all of Purchaser's obligations hereunder and succeed to all of Purchaser's rights and remedies hereunder and written notice to Seller of the assignment and assumption must be delivered to Seller prior to the Closing. If an assignee assumes all of Purchaser's obligations under this Agreement in writing, then upon the effective date of the assignment of this Agreement to such assignee, Purchaser shall be released from all obligations under this Agreement.

**Section 12.07 Severability.** If any term or provision of this Agreement is invalid, illegal, or unenforceable in any jurisdiction, such invalidity, illegality, or unenforceability shall not affect, invalidate, or render unenforceable any other term or provision of this Agreement. tJpon such determination that any term or other provision is invalid, illegal, or unenforceable, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated by this Agreement be consummated as originally contemplated to the greatest extent possible.

**Section 12.08 Further Assurances.** Each of the parties hereto shah execute and deliver such additional documents, instruments, conveyances, and assurances and take such further actions as may be required to carry out the provisions of this Agreement and give effect to the transactions contemplated hereby, provided such documents are customarily delivered in real estate transactions in the State of North Dakota and do not impose any material obligations upon any party hereunder except as set forth in this Agreement.

**Section 12.09 Counterparts.** This Agreement may be executed by the parties in separate counterparts, each of which when so executed and delivered shah be an original for ail purposes, but ail such counterparts shah! together constitute but one and the same instrument.

**Section 12.10 Headings.** The captions or paragraph tities contained in this Agreement are for convenience and reference only and shall not be deemed a part of the text of this Agreement.

**Section 12.11 No Waivers.** No waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the party providing the waiver. No waiver by either party of any failure or refusai to comply with any obligations under this Agreement shah be deemed a waiver of any other or subsequent failure or refusai to so comply.

**Section 12.12 No Offer.** This Agreement shah not be deemed an offer or binding upon Seller or Purchaser until this Agreement is fully executed and delivered by Seller and Purchaser.

**Section 12.13 Waiver of Jury Trial.** SELLER AND PURCHASER HEREBY WAIVE TRIAL BY JURY IN ANY ACTION, PROCEED1NG, OR COUNTERCLAIM (WHETHER ARISING IN TORT OR CONTRACT) BROUGHT BY SUCH PARTY AGAINST THE OTHER ON ANY MATTER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS AGREEMENT.

**Section 12.14 Force Majeure.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A "Force Majeure Event" is any of the following events: (i) acts of God; (ii) floods, fires, earthquakes, explosions, or other natural disasters; (iii) wars, invasions, hostilities (whether war is declared or not), terrorist threats or acts, riots, or other civil unrest; (iv) governmental authority, proclamations, orders, laws, actions, or requests; (v) epidemics, pandernics, or other national or regional public health states of emergency; (vi) strikes, labor stoppages or slowdowns, or other industrial disturbances; (vii) shortages of supplies, adequate power, or transportation facilities; (viii) the discovery of Hazardous Materials or undisclosed aspects of the Property for so long as such discoveries may be remediated; or (ix) other similar events beyond the reasonable control of the parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Purchaser shah not be liable or responsible to the Seller, nor be deemed to have defaulted under or breached this Agreement, for any failure or delay in fulfilling or performing any obligation under this Agreement, when and to the extent such failure or delay is caused by a Force Majeure Event. The failure or inabihity of Purchaser to perform its obligations in this Agreement due to a Force Majeure Event shall be excused for the duration of the Force Majeure Event and extended for a period equivalent to the period of such delay.

**Section 12.15 Time of the Essence.** The parties hereto acknowledge and agree that, except as otherwise expressly provided in this Agreement, TIME 1S OF THE ESSENCE for the performance of all actions (including, without limitation, the giving of Notices, the delivery of documents, and the funding of money) required or permitted to be taken under this Agreement. However, notwithstanding anything to the contrary herein, whenever action must be taken (including, without limitation, the giving of Notice, the delivery of documents, or the funding of money) under this Agreement prior to the expiration of, by no Jeter than, or on a particular date that is not a Business Day, then such date shall be extended until the immediately following Business Day.

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date first written above.

 **PURCHASER:** 

 Bitzero ND I, LLC a North Dakota Limited Liability Company

 **SELLER:** 

By: ![](img001_v3.jpg)

 Name: ●

 Title: G CC)

 C. rer Court ob Development Authority

 Name:

 Title:

**SCHEDULES AND EXHIBITS**

**EXHIBITS**

---

| | |
|:---|:---|
| &nbsp;&nbsp;Exhibit A | &nbsp;&nbsp;Legal Description |
| &nbsp;&nbsp;Exhibit **B** | &nbsp;&nbsp;Excluded Personal Property |
| &nbsp;&nbsp;Exhibit C | &nbsp;&nbsp;Form Warranty Deed |
| &nbsp;&nbsp;Exhibit D | &nbsp;&nbsp;Form Bill of Sale |
| &nbsp;&nbsp;Exhibit E | &nbsp;&nbsp;Form Assignment of Warranties |
| &nbsp;&nbsp;Exhibit F | &nbsp;&nbsp;First Right of Refusai |
| &nbsp;&nbsp;<u>Exhibit G</u> | Option to Repurchase |

---

EXHIBIT A - LEGAL DESCRIPTION

Lots 1-4, Block 1, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

Lots 1-7, Block 2, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

Lots 1, 3, and 4, Block 3, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

Lots 1-7, Block 4, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

**Formerly Described as;**

A parce' of land located in the South Half of the Northwest Quarter (SY2NW<sup>1</sup>/<sub>4</sub>), in the Southwset Quarter (SWVt), and in the West Half of the Southeast Quarter (WV2SE<sup>1</sup>/<sub>4</sub>) all in Section Fourteen (14) and in the Southeast Quarter of the Southeast Quarter (SE'/SE'/) of Section Fifteen (15), all in Townshipt One Hundred Fifty-nine (159) North, Range Sixty (60) West of the Fifth Principle Meridian, Cavalier County, North Dakota, more particularly described as follows:

Beginning at the southwest corner of said Section 14; thence North 88° 12' 10" East, along the south line of said Section 14, a distance of 3290.09 feet; thence North 01° 34' 03" West, a distance of 560.08 feet; thence South 88°12' 56" West, a distance of 250.21 feet; thence North 01°33' 24" West, a distance of 2080.13 feet, more or less, to the north line of the Southeast Quarter (SE'/) of Section 14; thence South 88°12' 00" West, along the north line of said Southeast Quarter (SE'/), a distance of 397.89 feet, more or less to the southeast corner of the Northwest Quarter (NW<sup>1</sup>/<sub>4</sub>); thence North 01°34' 30" West, along the east line of said Northwest Quarter (NW<sup>1</sup>/<sub>4</sub>), a distance of 705.00 feet; thence South 85°35' 56" West, a distance of 1548.79 feet; thence South 28° 24' 14" West, a distance of 444.99 feet; thence South. 67°58' 57" East, a distance of 235.59 feet; thence South 28°24" 18' West, a distance of 2551.66 feet; thence South 01°48' 14" East, a distance of 589.84 feet, more or less, to the south line of Section 15; thence North 88°12' 29" East, along the south fine of said Section 15, a distance of 183.35 feet, more or less, to the point of beginning.

Excepting therefrom Lot 2, Block 3, Mickelson Data Center, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabient.

EXHIBIT C - FORM WARRANTY DEED

THIS INDENTURE is made this ____ day of_______ , 2022, by and between between Cavalier County Job Development Authority, a job development authority pursuant to N.D.C.C. Chapt. 11-11.1 ("Grantor"), having an address at 901 3rd Street, Ste. 5, Langdon, ND 58249, and Bitzero ND I, LLC, a North Dakota limited liability company ("Grantee"), having an address at 2416 Main Street, Ste. 398, Vancouver, BC V5T 3E2.

For good and valuable consideration, the receipt of which is acknowledged, Grantor does hereby grant, bargain, sell, and convey unto the Grantee, all of Grantor's right, title and interest in and to the following described real property in in Burleigh County, North Dakota:

Lots 1-4, Block 1, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

Lots 1-7, Block 2, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

Lots 1, 3, and 4, Block 3, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

Lots 1-7, Block 4, Mickelsen Data Center, according to the Subdivision Plat thereof recorded in the office of the County Recorder within and for Cavalier County, North Dakota and recorded as Document No. 249402, at Book PA, page 208, of the Plat Cabinet.

TO HAVE AND TO HOLD, the same in fee simple forever, together with ail right, title, and interest of Grantor in (i) any and all structures and improvements on the Property; (ii) any land lying in the bed of any street or highway, opened or proposed, in front of or adjoining the Property; and (iii) all easements, rights of way, privileges, licenses, appurtenances and other rights and benefits belonging to, running with the owner of, or in any way related to the Property.

SUBJECT TO (i) building and zoning laws, ordinances, state and federal regulations; (ii) covenants, conditions, restrictions, declarations and easements of record; (iii) conveyances, reservations, and leases of minerai rights appearing in the record; and (iv) real estate taxes and installments of special assessments or assessments for special improvements and liens therefore on the Property for the year of closing and subsequent years (collectively the "Permitted Exceptions").

AND Grantor covenants with Grantee that Grantor is lawfully seized of the Property in fee simple; that Grantor has good right and lawful authority to sell and convey the Property; that Grantor warrants the title to the Property and will defend the same against the lawful daims of ail others; subject, however, to the Permitted Exceptions.

IN WITNESS WHEREOF, Grantor has set its hand of the day and year first above written.

**Cavalier County Job Development Authority**

By:__________________________

Name: _______________________

Title: ________________________

STATE OF NORTH DAKOTA )SS. <br> COUNTY OF CAVALIER)

The foregoing instrument was acknowledged before me this___________ day of ___________________________________ 2022, by ___________________________ , the __________________________ of Cavalier County Job Development Authority.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(SEAL) |  |
|  | Notary Public |

---

I certify that the statement of full consideration paid for the property described in this deed is exmept pursuant to N.D.C.C. §1 I -18-02.2(g).

---

| | |
|:---|:---|
| Dated: ______________________ | |
|  | Grantee or Agent |

---

**EXHIBIT D - FORM BILL OF SALE**

This Bill of Sale is entered into_____________ , 2022 by and between Cavalier County Job Development Authority, a job development authority pursuant to N.D.C.C. Chapt.

11-11.1 ("Seller"), having an address at 901 3rd Street, Ste. 5, Langdon, ND 58249, and Bitzero ND I, LLC, a North Dakota limited liability company **("Buyer"),** having an address at 2416 Main Street, Ste. 398, Vancouver, BC VST 3E2. This Bill of Sale is made pursuant to the Purchase and Sale Agreement (the **"Agreement")** dated July 18, 2022 by and between Seller and Buyer, to transfer the Personal Property, as fully defined herein. Any capitalized terms used but not defined in this Bill of Sale, if any, have the meaning set Forth in the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Conveyance. For good and valuable consideration paid under Section 2.01 of the Agreement, the receipt and adequacy of which Seller hereby acknowledges, Seller hereby irrevocably selfs, assigns, transfers, conveys, grants, bargains, and delivers to Buyer, all of its right, title and interest in and to the inventory, supplies, parts, furniture, fixtures, equipment, machinery, tools, reports, plans, specifications, drawings, surveys, and other tangible personal property of the Seller remaing on the Property (collectively the **"Personal Property").**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Disclaimer of Warranties. EXCEPT AS SPECIFICALLY SET FORTH IN THE AGREEMENT, SELLER MAKES NO REPRESENTATION OR WARRANTY WHATSOEVER WITH RESPECT TO THE PERSONAL PROPERTY, INCLUDING ANY (a) WARRANTY OF MERCHANTABILITY; (b) WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE; (c) WARRANTY OF TITLE; OR (d) WARRANTY AGAINST INFRINGEMENT OF INTELLECTUAL PROPERTY RIGHTS OF A THIRD PARTY; WHETHER ARISING BY LAW, COURSE OF DEALING, COURSE OF PERFORMANCE, USAGE OF TRADE OR OTHERWISE. BY ACCEPTING THIS BILL OF SALE, BUYER ACKNOWLEDGES THAT IT HAS NOT RELIED ON ANY REPRESENTATION OR WARRANTY MADE BY SELLER, OR ANY OTHER PERSON ON SELLER'S BEHALF, EXCEPT AS SPECIFICALLY PROVIDED IN THE AGREEMENT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Governing Law. This Bill of Sale is governed by, and construed in accordante with, the laws of the State of North Dakota, United States of America, without regard to the conflict of laws provisions thereof to the extent such principles or rules would require or permit the application of the laws of any jurisdiction other than those of the State of North Dakota.

IN WITNESS WHEREOF, Seller and Buyer have each duly executed and delivered this Bill of Sale on the date first written above.

---

| | |
|:---|:---|
| **SELLER** | **BUYER** |
| Cavalier County Job Development **Authority** | Bitzero ND **I,** LLC |
| By | By |
| Name: |  |
| Title: |  |

---

EXHIBIT E - FORM ASSIGNMENT OF PERMITS ***&*** LICENSES, WARRANTIES & <br> GUARANTIES

ASSIGNMENT AND ASSUMPTION AGREEMENT

This Assignment and Assumption Agreement (the "Agreement"), effective as of <u>f</u>___________ , 2022 (the "Effective Date"), is by and between Cavalier County Job Development Authority, a job development authority pursuant to N.D.C.C. Chapt. 11-11.1 ("Seller"), having an address at 901 3rd Street, Ste. 5, Langdon, ND 58249, and Bitzero ND I, LLC, a North Dakota limited liability company ("Purchaser"), having an address at 2416 Main Street, Ste. 398, Vancouver, BC V5T 3E2.

WHEREAS, Seller and Purchaser have entered into a certain Purchase and Sale Agreement, dated July 18, 2022 (the "Purchase Agreement"), pursuant to which, among other things, Seller has agreed to assign ail of its rights, titie and interests in, and Buyer has agreed to assume all of Seller's duties and obligations under, the Assigned Contracts and Warranties (as defined in the Purchase Agreement).

NOW, THEREFORE, in consideration of the mutual covenants, ternis and conditions set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Definitions. All capitalized terms used in this Agreement but not otherwise defined herein are given the meanings set forth in the Purchase Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Assignment and Assumption. Seller hereby sells, assigns, grants, conveys and transfers to Buyer ail of Seller's right, titie and interest in and to the Assumed Permits and Licenses and Assumed Warranties and Guaranties identified in Section 1.01 of the Purchase Agreement. Buyer hereby accepts such assignment and assumes the Assumed Permits and Licenses and Assumed Warranties and Guaranties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Terms of the Purchase Agreement. The ternis of the Purchase Agreement, including, but not limited to, the representations, warranties, covenants, agreements and indemnities relating to the Assumed Permits and Licenses and Assumed Warranties and Guaranties are incorporated herein by this reference. The parties hereto acknowledge and agree that the representations, warranties, covenants, agreements and indemnities contained in the Purchase Agreement shall not be superseded hereby but shall remain in full force and effect to the full extent provided therein. In the event of any conflict or inconsistency between the ternis of the Purchase Agreement and the terms hereof, the terms of the Purchase Agreement shah]. govern.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Governing Law. This Agreement shall be governed by and construed in accordance with the internai laws of the State of North Dakota.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile, email or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.

IN WITNESS WHEREOF, the parties have executed this Agreement to be effective as of the date first above written.

---

| | |
|:---|:---|
| ASSIGNOR | ASSIGNOR |
| e v Coure Job Development | e v Coure Job Development |
| Auth | Auth |
| Name: |  |
| Title: |  |
| ASSIGNEE | ASSIGNEE |
| Bitzero ND I, LC | Bitzero ND I, LC |
| By: | ![](img002_v3.jpg) |
| Name: | AKBAR |
| Title: | *c. Ccl* |

---

**EXHIBIT F - RIGHT OF FIRST REFUSAL AGREEMENT**

THIS RIGHT OF FIRST REFUSAL AGREEMENT (the "Agreement") is made this <u>Ier</u> day of *<u>J«Ly</u>,* 2022, (the "Effective Date") is entered into between Bitzero ND I, LLC, a North Dakota Limited Liability Company ("Grantor"), and Cavalier County Job Development Authority a job development authority pursuant to N.D.C.C. Chapt. 11-11.1 ("Grantee").

<u>1.</u> <u>Property</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 Grantor is the owner of real property and improvements thereon located in Cavalier County, North Dakota, legally described in Exhibit A attached hereto (the "Property"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 1.2 Grantors have agreed to grant to Grantee a right of first refusai to acquire the Property upon the terras and conditions herein set forth.

<u>2.</u> <u>Consideration</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 In consideration of the purchase of the Property owned by Grantor, and for the further consideration of Ten Dollars ($10.00) in hand paid to Grantors by Grantee, and other good and valuable consideration, the receipt and sufficiency of which are hereby confessed and acknowledged by Grantor, the parties hereto agree as hereinafter set forth.

<u>3.</u> <u>Right of First Refusai</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 Grantor, for Grantor and Grantor's, successors, and assigns, hereby agrees that Grantor will not sell the Property, or any part thereof, without first offering saine to Grantee for purchase. This Agreement creates in Grantee a right of first refusai to purchase the Property, or any part thereof, according to the terms and conditions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 The right of first refusai granted in Paragraph 3.1 above shall be honored by Grantor and exercised in the following mariner:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If, at any Lime, Grantors receive a bona fide third-party offer to purchase or otherwise acquire title to the Property, or any part thereof, any contract which may be entered into between Grantors and such bona fide purchaser shall specifically provide that the transaction shall be subject to the right of first refusai set forth in this document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event that Grantors enter into such contract with a bona fide third-party purchaser, Grantee shah have the prior right to purchase and acquire title to the Property, or the portion thereof described in such contract, at the purchase price paid to Grantee, or a prorated portion thereof plus the cost of any improvements thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Grantors shah submit to Grantee a copy of the executed contract with the bona fide purchaser, together with duplicate originals executed by Grantors of a contract between Grantors and Grantee, containing the same terms and conditions as the purchase and sale contract with the third-party bona fide purchaser. If, alter the receipt of such documents, Grantee shah fail to exercise Grantee's right of first refusai by signing and returning to Grantors, within 10 business days of receipt, a signed copy of said contract, together with the earnest money payment therein provided, Grantors shall have the right to conclude the proposed sale and conveyance on the saine terms and conditions, and no other, as in the contract with the bona fide third-party purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Grantee's failure to exercise Grantee's right of first refusai, or Grantee's written disclaimer of such right, shall be deemed a waiver and cancellation of such right of first refusai if the proposed sale and conveyance to the same bona fide third-party purchaser is consummated. If the proposed sale and conveyance to the same bona fide third-party purchaser is not consummated, the right of first refusai herein set forth shall not be deemed waived or cancelled but shall remain in full force and effect. Grantee's failure to exercise, or Grantee's disclaimer of, such right with respect to any transfer of less than ail of the Property shail not be deemed a waiver of such right with respect to that part of the Property owned by Grantors alter such transfer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 If any offer made by Grantor according to the terms and conditions herein stated is rejected or is allowed to expire without acceptance by Grantee, Grantee agrees, within 10 days after receipt of a written request from Grantors, to give to Grantor or to any third person Grantor shall designate, a written statement properly signed and acknowledged in recordable form that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an offer has been made by Grantor in accordance with the terms and conditions of this Agreement, together with disclosure of the offering price and the terms and conditions of a proposed sale;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) said offer has been rejected by Grantee or has been allowed to expire; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Grantor or any designated third person may rely upon such statement by Grantee as evidence of the submission and rejection or expiration of a valid offer made to Grantee pursuant to and in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 This right of first refusai shah apply to ail transactions involving a conveyance of titie to the Property, or any portion thereof, including but not limited to a purchase, an exchange or any other transfer of an interest in the Property for consideration, other than a lease of no more than one year duration.

4. <u>Exempt Transfers</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 The parties hereto agree that a transfer of the Property, or any portion thereof, shah' be made only after compliance with ail of the provisions of this Agreement, except that the following transfers shall be exempt from the ternis and conditions of this Agreement to the extent herein provided and subject to ail the other ternis and conditions of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a transfer to one or more corporations, partnerships, limited liability companies, trusts or other entities in which Grantor or Grantor's, successors or assigns, have sufficient control to be able to cause said entities at any time to transfer the Property, or portion thereof, to Grantee and fulfill the other obligations of Grantors under the terms and conditions of this Agreement; further, Grantor covenants that during the existence of this Agreement Grantor, or Grantor's successors or assigns, will continue to retain sufficient control of said entities to be able to cause said entities to transfer the Property or portion thereof, as aforesaid, and to fulfill ail of Grantors' obligations under this Agreement; and ail certificates evidencing ownership of said entities shall be issued bearing a notation thereon that the transfer thereof is restricted and subject to the terms and conditions of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a transfer by foreclosure or deed in lieu of foreclosure to any bona fide mortgagee holding a first or second lien on the Property, provided that any subsequent sale and conveyance of the Property, or any part thereof, by such lienor shall be restricted and subject to the terms and conditions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 If a transfer is made pursuant to the provisions of Paragraph 4.1 above, the transferee or transferees shall be bound by all the covenants, terms, and conditions of this Agreement to the same extent as the Grantors.

5. <u>Terni of Existence</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 All rights and interests herein created and set forth in this Agreement shall remain in existence and shall constitute a valid encumbrance upon the Property for a period of five (5) years from the Effective Date, and no longer; except that the same shall be extinguished by the occurrence of any one or more of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a sale of the entire Property to Grantee pursuant to the exercise of the right of first refusai, as herein provided, and upon compliance by Grantors with ail of the terms and conditions of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a sale of the entire Property to any person other than Grantee or those persons mentioned in Paragraph 4.1 above pursuant to and upon compliance by Gr s with ail of the ternis and conditions of this Agreement.

---

| | |
|:---|:---|
| (C) *- ree ie* /<sup>0</sup> n *<sup>e</sup>eetlee<sup>-</sup>* <sup>ee</sup>'<sup>efe</sup> | ![](img007_v3.jpg) |

---

6. <u>Miscellaneous</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 Ail offers, acceptances, and any other notices or statements contemplated or required by this Agreement shall be sent by certified or registered United States mail, return receipt requested, to the intended recipient thereof at the addresses stated on the first page of this Agreement, or to such other addresses as may be designated in writing by any party or available from a document recorded in the chain of title to the Property. Any periods of time within which action is to be taken hereunder shall commence on the date notice thereof is received.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 Subject to the limitation expressed in Paragraph 5.1 above, this Agreement shah be binding upon and shah inure to the benefit of the heirs, assigns, successors, and personal representatives of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 This Agreement is made in North Dakota and shall be govemed by and interpreted in accordance with the law of North Dakota.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 A memorandurn of this Agreement shah be recorded in the real property records of the Recorder's Office in and for Cavalier County, North Dakota.

*(Remainder of Page Intentionally Blank)*

IN WITNESS WHEREOF, the parties have hereunder set their hands and seals as of the day and year first above written.

---

| |
|:---|
| GRANTOR: |
| Bitzero ND I, LLC |
| By: |
| Name: |
| Title: |

---

---

| |
|:---|
| GRANTEE: |
| Cavalier County Job Development Authority |
| By: |
| Name: |
| Title: |

---

STATE OF NORTH DAKOTA) )SS. <br> COUNTY OF CAVALIER)

The foregoing instrument was acknowledged before <u>me this</u> day of ______ 2022, by____________________________ , the_________________________ of Cavalier County Job Development Authority.

(SEAL)   <br> Notary Public

STATE OF NORTH DAKOTA) )SS. <br> COUNTY OF CAVALIER)

The foregoing instrument was acknowledged before <u>me this</u> day of ________________________ 5 2022, by____________________________ , the_________________________ of Bitzeron ND I, LLC.

(SEAL)   <br> Notary Public

**LIMITED OPTION AGREEMENT**

This OPTION AGREEMENT (this "Agreement") dated as of the day of_______ ______ , 2022 (the "Effective Date") is entered into between Bitzero ND I, LLC, a North Dakota Limited Liability Company ("Optionor"), and Cavalier County Job Development Authority a job development authority pursuant to N.D.C.C. Chapt. 11-11.1 ("Optionee").

WHEREAS, Optionor is the owner of that certain real property located on 81st Street, City of Nekoma, County of Cavalier, and State of North Dakota, which is more particularly described in <u>Exhibit A</u> attached hereto (the "Property"); and

WHEREAS, Optionor wishes to grant te Optionee, and Optionee wishes to obtain from Optionor, a limited and exclusive option to purchase the Property, subject to the terms and conditions set forth below.

NOW, THEREFORE, in consideration of the mutual promises contained herein and for other good and valable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6. Grant of Option.** Optionor hereby grants to Optionee a limited, exclusive option to purchase the Property on the terms and conditions set out in this Agreement (the **"Option").**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7. Triggering Event.** Optionor has Purchased the Property from Optionee as of the Effective Date with the intent of developing the Property. In the event that Optionor has failed to Develop the Property by July 1, 2027, Optionee shah have the right to purchase the Property from Optionor. "Develop" shah be defined as constructing a 10 MegaWatt Data Center on the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8. Option Term. In the** event that Optionor Develops the Property before July 1, 2027, this Option shah automatically terminate without notice to Optionee and Optionor may place of record a release of Option. In the event that Optionor fails to Develop the Property on or before July 1, 2027, the terrn of the Option (the **"Option Term")** shah commence at 12:00 am CST on July 2, 2027 and automatically expire at 11:59 pm CST on October 1, 2027 (the **"Option Termination Date"),** unless duly extended, exercised, or sooner terminated as provided in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9. Exercise of Option. At** any time during the Option Term, Optionee may exercise the Option by timely sending Optionor a written notice of Optionee's intention to exercise the Option (the **"Exercise Notice")** accompanied by an executed Purchase and Sale Agreement setting forth the ternis of the purchase (the **"Purchase Agreement").** Optionor shah promptly execute the Purchase Agreement and return a executed original to Optionee. If Optionee does not timely exercise the Option in the manner described herein on or before the Option Termination Date, the Option will automatically terminate. Thereafter, neither party shah have any further obligations hereunder except for those obligations that expressly survive termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10. Purchase Price & Ternis.** If Optionee exercises the Option, the purchase price shail be equal to the total compensation that Optionee has received from Optionor for the purchase of the Property. Optionee shah acquire the property in its "AS-IS and with all faults condition." The Optionee shall close on the transaction within 60 days of both parties executing the Purchase Agreement. Optionor shall have the right to remove any of its personal property and any fixtures that it installed on the Property alter the Effective Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**11. Assignment of Option.** This Agreement shah be binding upon and shah mure to the benefit of the parties hereto and their respective heirs or successors and permitted assigns. Optionee may not assign its interest under this Agreement without the prior written consent of Optionor, which the Optionor may withhold in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12. Memorandum of Option Agreement.** Concurrently with the execution and delivery of this Agreement, Optionor and Optionee shah execute and acknowledge a Memorandum of Option Agreement in substantially the form attached as <u>Exhibit B,</u> which Optionee, at its sole cost and expense, is authorized to record in the Office of the Cavalier County Recorder, North Dakota.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13. Counterparts.** This Agreement may be executed in multiple counterparts, each of which shah be deemed an original and all of which when taken together shall constitute one and the same document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**14. Time of Essence.** Optionor and Optionee hereby acknowledge and agree that time is strictly of the essence with respect to each and every term, condition, obligation, and provision hereof and that failure to timely perform any of the ternis, conditions, obligations, or provisions hereof by either party shall constitute a material breach of and a non-curable (but waivable) default under this Agreement by the party so failing to perform.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15. Entire Agreement; No Representations.** This Agreement constitutes the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained herein and supersedes all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject matter. This Agreement is entered into alter full investigation by each party and neither party is relying upon any statement or representation made by the other party not set forth in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16. Governing Law.** This Agreement shah be governed by and construed in accordance with the laws of the State of North Dakota.

[SIGNATURE PAGE FOLLOWS]

IN WITNESS WHEREOF, the Optionor and Optionee hereto have executed this Agreement as of the Effective Date.

---

| | |
|:---|:---|
| OPTIONOR: | OPTIONOR: |
| Bitzero ND I, LLC | Bitzero ND I, LLC |
| By: | ![](img003_v3.jpg) |
| Name: | Name: |
| Title: CEO | Title: CEO |

---

---

| |
|:---|
| OP NEE: |
| Cav. r Coun ev 1 purent Authority |
| Name: |
| Title: |

---

STATE OF NORTH DAKOTA )SS. <br> COUNTY OF CAVALIER

The foregoing instrument was acknowledged before me this day of *<u>Vt cY</u>* ____________________________ , 2022, by <u>SLt34a Aer &tac */(d<sup>5-</sup>-fr*</u> , the *<u>Ceniit</u>* <u>ieerce</u> of Cavalier County Job Development Authority.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(SEAL) | ![](img004_v3.jpg) |
|  | Notary Public |

---

STATE OF NORTH DAKOTA) )SS. <br> COUNTY OF CAVALIER

The foregoing instrument was acknowledged before me this <u>,<sup>1</sup>;fr</u> day of _______ 2022, by *<u>.. S'W/1"/</u>* , the <u>ehe.:0</u> of Bitzeron ND I, LLC.

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(SEAL) | ***<u>E : D</u>*** |
|  | NotaryVPublic |

---

## Exhibit 99.94

**Exhibit 99.94**

**DATA SERVICES AGREEMENT**

This agreement (the "**Agreement**") is entered into December 15, 2021, by and between

**(1)** **BitZERO Inc**, a Barbados limited liability company with company registration number 50006 (**"BitZERO"**), and;

**(2)** **Exanorth AS**, a Norwegian limited liability company with company registration number 921 677 421 (**"Exanorth"**).

BitZERO and Exanorth are jointly referred to as the "**Parties**", each being a "**Party**".

---

| | |
|:---|:---|
| **1** | **BACKGROUND** |

---

The Canadian company BitZERO Blockchain Inc. owns the all shares in BitZERO and Exanorth. Exanorth is a Norwegian company with the purpose of building and operating a Data Center (the "**Data Center**") in Tunnsjødal in Norway. The Data Center will provide data processing services which can be used for mining of digital currency ("**Crypto Currency**").

Under this Agreement, BitZERO subcontracts Exanorth to mine Crypto Currency on behalf of BitZERO, and thus, providing "mining as a service" to BitZERO according to the terms and subject to the conditions set out in this Agreement.

---

| | |
|:---|:---|
| **2** | **MINING AS A SERVICE** |

---

Exanorth commits to use up to 100% of the data processing capacity at the Data Center for the use of mining of Crypto Currency on behalf of BitZERO. The service which Exanorth provides to BitZERO is mining as a service (the "**Service**").

All Crypto Currency mined at the Data Center is owned by BitZERO, and thus, Exanorth shall under no circumstances be considered to be or have been the owner of, or have rights in, the Crypto Currency mined from the Data Center.

Moreover, BitZERO can decide to make use of the Data Center's data processing capacity to other use and purposes than mining of Crypto Currency.

---

| | |
|:---|:---|
| **3** | **DATA PROCESSING CAPACITY** |

---

Based on the fluctuations of the Crypto Currency market and Exanorth's costs (e.g. electricity costs), BitZERO may in writing and with two weeks' notice, instruct Exanorth to reduce the use of the data processing capacity at the Data Center. If so, Exanorth is entitled to utilize the available data processing capacity and to provide its services to other customers on a temporary basis, cf. the paragraph below.

If BitZERO later wishes to increase the use of data processing capacity at the Data Center, a written notice must be sent to Exanorth after which Exanorth undertakes to allocate the available capacity at the Data Center to BitZERO. In the event that Exanorth cannot to meet the request for available capacity, e.g. as a result of the capacity being utilized by other customers, Exanorth undertakes to surrender this capacity to BitZERO after the delivery to the other customer has been completed.

---

| | |
|:---|:---|
| **4** | **SERVICE FEE** |

---

As compensation for the Mining Services, BitZERO shall pay to Exanorth a monthly service fee equal to Exanorth's costs plus an 11% mark-up (the "**Service Fee**"). The Service Fee is based on BitZERO utilizing 100% of the capacity at the Data Center and in the event that capacity utilization is reduced, the Service Fee will be reduced corresponding to how the reduction affects Exanorth's costs.

In order to determine the appropriate pricing of the Services, the Parties contracted BDO to perform a benchmark study. The benchmark study is enclosed as Appendix 1. The Service Fee is calculated on the basis of this benchmark study with a mark-up of 11%.

The Service Fee is based on the estimated costs accrued by Exanorth in providing the Service plus an appropriate profit margin based on a benchmark analysis made by BDO.

The Service Fee shall be invoiced from Exanorth to BitZERO the 30 day each month.

---

| | |
|:---|:---|
| **5** | **RISKS AND RESPONSIBILITIES** |

---

**5.1** **Risks and responsibilities of Exanorth** 

Under this Agreement, Exanorth is responsible for all costs and risks related to performing the Service, hereby ensuring that the Data Center is fully functional in order to meet BitZERO's requirements. However, Exanorth's liability is limited to performing the Service.

Exanorth will have no rights to the mined Crypto Currency, which shall be the property of BitZERO from the time it is mined.

Exanorth has no profit responsibility or target goals towards BitZERO with regard to the number of coins/tokens mined. Exanorth's responsibility and liability is limited to ensuring the available data capacity and that the Data Center is operational at all times, and that the data processing capacity can be used according to BitZERO's request.

**5.2** **Risks and responsibilities of BitZERO** 

BitZERO is responsible for, and has the economic risks related to, the mining of the Crypto Currency, including the trading of the Crypto Currency to third parties.

---

| | |
|:---|:---|
| **6** | **TERM AND TERMINATION** |

---

This Agreement shall continue in full force and effect without any limitation in time.

A Party may choose to withdraw from the Agreement by written notice to the other Party. The withdrawal can first take place 90 days after the date for the Party's written notice.

Upon termination of this Agreement for any reason whatsoever, all rights and obligations of the terminating Party shall cease, provided that termination of this Agreement shall not relieve the terminating Party of any obligations accrued prior to such termination, including but not limited to the terminating Party's obligations to make payments in accordance with the terms of this Agreement.

The termination of this Agreement for any reason whatsoever shall not give either of the Parties the right to claim any compensation, indemnity or reimbursement whatsoever from the other by reason of such termination.

---

| | |
|:---|:---|
| **7** | **INTELLECTUAL PROPERTY RIGHTS** |

---

All intellectual property rights are and shall remain the exclusive property of the Party owning the intellectual property rights prior to entering into this Agreement.

---

| | |
|:---|:---|
| **8** | **ASSIGNMENT** |

---

Neither Party may assign the Agreement or any of its rights or obligations thereunder, whether by operation of law or otherwise, without the prior written consent of the other Party.

---

| | |
|:---|:---|
| **9** | **ILLEGALITY** |

---

If any one or more of the provisions contained in this Agreement shall be held invalid, illegal or unenforceable in any respect in any competent jurisdiction, the validity, legality and enforceability of such provision or provisions shall not in any way be affected or impaired thereby in any other jurisdiction and the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired.

---

| | |
|:---|:---|
| **10** | **CONFIDENTIALITY** |

---

Each Party shall keep confidential all information obtained in connection with this Agreement, including, but not limited to information about the other Party, except as required by law.

---

| | |
|:---|:---|
| **11** | **GOVERNING LAW AND DISPUTE RESOLUTION** |

---

This Agreement and all issues to which this Agreement relates shall be governed by and construed in all respects in accordance with the laws of Norway. Any dispute arising out of or in connection with this Agreement, or the breach, termination or invalidity thereof, shall be finally settled by the courts of Norway. The Parties agree that the exclusive legal venue in the first instance shall be Oslo district court (Norway).

\* \* \*

This Agreement has been prepared in two originals, of which each party has received one.

---

| | |
|:---|:---|
| **BitZERO Inc** | **Exanorth AS** |
| ![](img005_v3.jpg) | ![](img006_v3.jpg) |
| **Joshua Lebovic, CFO** | **Frank Aadnevik, Director** |

---

## Exhibit 99.95

**Exhibit 99.95**

**Bitzero Holdings Inc. Provides Engineering Update at its Finland and Norway Sites**

*Advancing Project Development to meet Rising Demand for AI-Driven Infrastructure*

VANCOUVER, BC (April 24<sup>th</sup>, 2026) — Bitzero Holdings Inc., (CSE: BITZ.U) (OTCQB: BTZRF) (FSE: 000) ("Bitzero" or the "Company"), a provider of sustainable blockchain and high-performance compute (HPC) data center infrastructure, announces the successful completion of its engineering due diligence report covering the expansion of its data centre campus project in Kokemäki, Finland for up to 520MW, taking into account anticipated advancements in next-generation GPU technologies and density improvements. In parallel, Bitzero is advancing its development at its data center site in Namsskogan, Norway to support the growing demand for AI infrastructure, marking key milestones across both projects.

**Finland**

Bitzero has successfully completed its engineering due diligence report in collaboration with its partner Red Engineering Design Ltd. ("Red Engineering"), a leading data centre engineering organization, to support pre-design work for up to 520MW at its data center site in Kokemäki, Finland with the initial phase of development expected to be 80MW. Red Engineering recently announced its strategic partnership with <u>Nvidia in designing next generation Nvidia AI Factories</u>.

"We are now moving into the next phase of engineering focused on building design, which we expect will accelerate our path to market," said Bitzero's Founder and CEO, Mohammed Bakhashwain. "We are already seeing strong demand for the site and have begun engaging prospective customers in site diligence, while continuing to advance our design efforts to support efficient project execution."

With a planned capacity of 600MW to 1,000MW, the Kokemäki site is positioned to become one of Europe's largest standalone giga-scale facilities, representing a significant market opportunity. The project has an initial phase designed to deploy 80MW of power in the first half of 2027, with a further 400MW to 800MW to follow. A high-voltage 400kV connection point has been confirmed, supporting scalable expansion, as the company continues to work closely with the local municipality and sees strong support for potential growth toward a full 1GW buildout.

**Norway**

At its data center site in Namsskogan, Norway, Bitzero has completed the design for a 5MW AI self-hosting GPU cluster and initial designs for two 50MW Tier 3/4 colocation spaces and is working with Hydra Host to secure a customer for the 5MW through their global network of enterprise and AI-native customers. Bitzero is planning to design an AI factory to support GB300s in this initial launch.

"We are confident in a 2026 targeted delivery of the initial 5MW cluster and are actively advancing both engineering and commercial efforts to secure a committed lease customer for the entire 110MW site," said Bitzero's Founder and CEO, Mohammed Bakhashwain.

The Company has a confirmed 70MW expected to be energized in Q4 2026 and is already seeing strong market interest in this capacity. The expansion is now being designed to accommodate Tier 3/4 standards to support AI workloads, positioning the project to capitalize on rapidly growing demand for AI-driven infrastructure.

**About Bitzero Holdings Inc.**

**About Red Engineering Design Ltd.** 

RED Engineering Design is a global consultancy specializing in building services and information and communications technology (ICT) engineering, with a primary focus on data centers and mission-critical facilities. Founded in 2004, the company is part of the Tractebel Group (ENGIE Group) and focuses on sustainable, low-carbon solutions.

**Bitzero Contact**

Mohammed Bakhashwain

*+44 777 303 0394* 

<u>investors@bitzero.com</u>

**Investor Relations Contact**

Victoria Rutherford

480-625-5772

<u>Victoria@adcap.ca</u>

***Forward-Looking Statements***

*This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws ("forward-looking information"). Forward-looking information is based on management's current expectations and assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied by such forward-looking information.*

*Forward-looking information in this news release includes, without limitation, statements regarding: (i) the scope, results and implications of the Company's engineering and due diligence work for the Kokemäki, Finland site, including contemplated expansion capacity (including up to 520MW) and any anticipated density and next-generation GPU technology assumptions; (ii) the timing, sequencing, design, construction, commissioning, energization and completion of development phases at the Kokemäki, Finland and Namsskogan, Norway sites (including the expected initial 80MW phase, any 200MW phase, the targeted timing for the first half of 2027, and the expected energization of 70MW in Q4 2026); (iii) the ability to design, build and deliver the initial 5MW GPU cluster and any Tier 3/4 colocation capacity, including any "AI factory" or GPU platform design targets; (iv) the Company's ability to secure customers, execute leases or other commercial arrangements (including through Hydra Host or otherwise) and the expected level of demand for the Company's capacity; and (v) the Company's plans, objectives and expectations regarding future project scale (including any potential buildout toward 1GW) and the market opportunity for AI-driven infrastructure.*

*Material assumptions underlying the forward-looking information include, among other things: the accuracy and completeness of information available to the Company and its consultants in preparing the engineering and due diligence work; the availability of electrical interconnection and grid capacity on timelines consistent with the Company's plans; timely receipt of permits, approvals and consents; availability of equipment and construction resources; timely delivery and performance of required infrastructure; the ability to obtain financing on acceptable terms (if required); stable power availability and pricing; the ability to negotiate and execute definitive commercial agreements on satisfactory terms; and general economic and market conditions.*

*Material risk factors that could cause actual results to differ materially from the forward-looking information include, among others: construction, commissioning or interconnection delays; permitting, regulatory or approval outcomes; supply chain constraints; changes in power availability, costs or curtailment; inability to secure customers or enter into definitive commercial agreements on the timeline anticipated (or at all); changes in technology, including GPU hardware roadmaps and data centre density requirements; competitive dynamics in the AI and data centre markets; cybersecurity events; and other risks described under "Risk Factors" in the Company's public filings available on SEDAR+ at www.sedarplus.ca.*

*Readers are cautioned not to place undue reliance on forward-looking information. The Company undertakes no obligation to update any forward-looking information except as required by applicable securities laws.*

*Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.*

## Exhibit 99.96

**Exhibit 99.96**

**FOR IMMEDIATE RELEASE**

**Bitzero and OneQode Sign Binding Letter for 110MW, 15-year Lease for AI Deployment at Norway site** 

*Definitive Agreement would anchor ~US$2.6 billion in contracted revenues for Bitzero with initial commissioning targeted for the first half of 2027*

![](img001_v5.jpg)

**VANCOUVER, BC & SINGAPORE, MAY 5, 2026 //** Bitzero Holdings Inc. (CSE: BITZ.U) (OTCQB: BTZRF) (FSE: 000), a provider of sustainable blockchain and high-performance compute (HPC) data center infrastructure, and OneQode Networks Pte. Ltd. ("OneQode"), a high-performance cloud and network infrastructure provider, are pleased to announce that today they have signed a binding letter for a 15-year lease agreement whereby OneQode will secure 110MW of capacity at Bitzero's Norway data centre site to support the deployment of high-performance AI workloads (the "Binding Letter").

Under the Binding Letter, OneQode plans a large-scale GPU deployment across the 110MW, with capacity rolled out in phases. Initial commissioning is targeted for the first half of 2027, with the parties intending to share further technical, platform, and ecosystem details as the deployment plan progresses.

"This letter with OneQode marks a pivotal milestone for Bitzero," said **Mohammed Bakhashwain, Founder and CEO of Bitzero**. "A lease with OneQode would represent exactly the kind of large-scale, high-performance customer demand we intended the site to support. Selecting OneQode as both our strategic partner and prospective tenant would enable vertical integration by linking telecommunications with a high-performance computing platform. We look forward to working with OneQode toward a definitive agreement to bring high-performance AI infrastructure to our Norway site."

"This is a major step forward for OneQode's AI infrastructure roadmap," said **Matthew Shearing, Founder and CEO of OneQode**. "The AI market is moving quickly, but the bottleneck is no longer just access to GPUs. It is access to power, network, cooling, land, deployment capability, and the operational model needed to bring large-scale AI infrastructure online in the right locations. Bitzero has done the hard work of developing a world-class site in Norway with the fundamentals required for this type of deployment, and we're thrilled to be working with them. Together, we have the opportunity to bring significant AI capacity online in one of Europe's most attractive digital infrastructure markets."

The companies expect the Norway site to support a range of high-performance workloads, including enterprise AI, AI training and inference, and sovereign AI.

Under the terms of the Binding Letter, OneQode will pay to Bitzero approximately US$2.6 billion in total revenue over the lifetime of the lease, excluding annual escalation adjustments, power costs, and phased deployment timing. Bitzero's expected site net operating income margin is 85% with an implied dollar value of $151 million annually. This estimate is provided for illustrative purposes only and assumes full capacity from commencement. The 110MW represents the full initial power capacity at Bitzero's Norway site. The 110MW represents the full initial power capacity at Bitzero's Norway data centre site in Namsskogan. Bitzero operates three additional data centre sites across Scandinavia and North America, including its Kokemäki, Finland campus with a planned capacity of up to 1GW. The proposed lease is consistent with Bitzero's disclosed strategy of diversifying its infrastructure toward HPC and AI workloads.

Completion of a definitive lease agreement is subject to a number of conditions, including: (i) satisfactory completion of mutual technical, legal, and financial due diligence; (ii) mutual agreement on detailed data hall designs and specifications; (iii) receipt of all necessary consents, registrations, and approvals; (iv) agreement on the form, amount, and provider of credit support; and (v) negotiation and execution of definitive transaction documents. There can be no assurance that these conditions will be satisfied or that a definitive agreement will be entered into.

**About Bitzero**

**About OneQode**

OneQode is a global provider of performance digital infrastructure. With a vertically-integrated platform that spans cloud compute, low-latency networking and sovereign technology across over 30 datacentres in 5 continents, they enable enterprises, governments and performance-hungry businesses to run AI & mission-critical workloads at scale, across the globe. Learn more at <u>oneqode.com</u>.

**Forward-Looking Statements**

*This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information in this press release includes, but is not limited to, statements regarding: the execution of a definitive lease agreement between OneQode and Bitzero; the proposed base rent, term, and capacity contemplated by the Binding Letter; the estimated aggregate base rent of approximately US$2.6 billion over the proposed 15-year term; the construction, commissioning, and energization of Bitzero's Norway data centre site; the timing of OneQode's deployment of GPU-based AI infrastructure at the site; the deployment of AI compute capacity in the first half of 2027; and the nature of workloads expected to be supported at the site. Forward-looking information is based on certain assumptions, including: that the parties will successfully negotiate and execute definitive transaction documents on terms consistent with or substantially similar to those contemplated by the Binding Letter; that all conditions precedent to closing will be satisfied or waived, including the completion of mutual due diligence, receipt of necessary consents and approvals, and agreement on credit support arrangements; that the Norway site will be constructed and commissioned on the timelines described; that GPUs and supporting infrastructure will be delivered on schedule by third parties; and that general economic, market, and industry conditions will not materially deteriorate.*

*Forward-looking information is subject to known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially from those expressed or implied, including but not limited to: failure to negotiate or execute definitive transaction documents; failure to satisfy conditions precedent, including credit support requirements; construction and supply-chain delays; regulatory approvals not being obtained on a timely basis or at all; changes in energy costs, grid availability, or Norwegian regulatory requirements; the timely delivery of GPUs and supporting infrastructure by third parties; currency fluctuations; and general economic and market conditions. There can be no assurance that the proposed transaction will be completed as contemplated, or at all.*

*The forward-looking information contained in this press release is made as of the date hereof, and the Company does not undertake to update or revise any forward-looking information, whether as a result of new information, future events, or otherwise, except as required by applicable securities laws.*

**OneQode Media Contact**

<u>media@oneqode.com</u>

**Bitzero Contact**

Mohammed Bakhashwain

*+44 777 303 0394* 

<u>investors@bitzero.com</u>

**Bitzero Investor Relations Contact**

Victoria Rutherford

480-625-5772

<u>Victoria@adcap.ca</u>

## Exhibit 99.97

**Exhibit 99.97**

**Bitzero Holdings Inc. Announces Application to List on Nasdaq**

VANCOUVER, BC (May 7<sup>th</sup>, 2026) — Bitzero Holdings Inc. (CSE: BITZ.U) (OTCQB: BTZRF) (FSE: 000) ("Bitzero" or the "Company"), a provider of sustainable blockchain and high-performance compute (HPC) data center infrastructure, is pleased to announce that it has submitted an application to list on The Nasdaq Stock Market ("NASDAQ") and is currently in the review process. The Company is seeking a listing on Nasdaq to strengthen its visibility among investors as part of its broader capital markets strategy, with the aim of increasing shareholder value. In connection with the proposed uplisting, the Company has applied to list its common shares ("Shares") under the symbol "AIBZ", subject to Nasdaq approval.

"Applying for a Nasdaq listing marks an important milestone in our company's growth journey. We believe this step will broaden our access to global capital markets, increase our visibility within the investment community, and reinforce our commitment to transparency and long-term value creation," said Bitzero's Founder and CEO, Mohammed Bakhashwain. "We are excited about the opportunities this potential listing represents for our shareholders and stakeholders alike."

The Company intends to file a registration statement on Form 40-F with the U.S. Securities and Exchange Commission ("SEC") in connection with the proposed Nasdaq listing. The proposed listing of the Shares on Nasdaq is subject to Nasdaq approval of the Company's listing application, the Company satisfying all applicable listing and regulatory requirements, and the Form 40-F registration statement becoming effective under the U.S. Securities Exchange Act of 1934, as amended. There can be no assurance that Nasdaq will approve the Company's listing application or that the proposed listing will be completed. The Shares will continue to trade on the Canadian Securities Exchange under the symbol "BITZ.U".

**About Bitzero Holdings Inc.**

**Bitzero Contact**

Mohammed Bakhashwain

*+44 777 303 0394* 

<u>investors@bitzero.com</u>

**Investor Relations Contact**

Victoria Rutherford

480-625-5772

<u>Victoria@adcap.ca</u>

***Forward-Looking Statements***

*This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Forward-looking information and statements are often identified by words such as "anticipate", "expect", "intend", "plan", "believe", "estimate", "project", "potential", "proposed", "seek", or variations of such words and similar expressions. Forward-looking information in this news release includes, but is not limited to, statements regarding: the proposed listing of the Shares on the Nasdaq Stock Market; the anticipated benefits of a Nasdaq listing, including strengthened visibility among investors, broader access to global capital markets, and increased shareholder value; the filing and effectiveness of the Form 40-F registration statement with the U.S. Securities and Exchange Commission; and the Company's broader capital markets strategy.* 

*Forward-looking information is based on certain assumptions made by management, including that: the Company will satisfy all applicable Nasdaq listing requirements; the Nasdaq will approve the Company's listing application; the Form 40-F registration statement filed with the SEC will be declared effective; the Company will have adequate financial and operational resources to complete the listing process; market conditions will be favourable to the proposed listing; the Shares will continue to trade on the Canadian Securities Exchange; and there will be no material adverse changes in applicable laws or regulations.* 

*Forward-looking information is subject to known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially from those expressed or implied, including but not limited to: the Nasdaq may not approve the Company's listing application; the SEC may not declare the Form 40-F registration statement effective or may require material amendments thereto; the Company may not satisfy all applicable Nasdaq listing and regulatory requirements; the costs of obtaining and maintaining a dual listing may exceed the Company's expectations; changes in securities laws, stock exchange rules, or regulatory requirements in the United States or Canada; market conditions, including volatility in equity markets, may adversely affect the timing or viability of the proposed listing; currency fluctuations; the Company's limited operating history as a publicly listed entity on a U.S. exchange; and general economic and market conditions. Additional risks and uncertainties are described in the Company's continuous disclosure filings available on SEDAR+ at www.sedarplus.ca.*

## Exhibit 99.98

**Exhibit 99.98**

**BITZERO HOLDINGS INC.**

**COMPENSATION RECOVERY POLICY**

The following is the policy of Bitzero Holdings Inc. (the "Company") regarding the recovery of incentive compensation erroneously awarded (the "Policy") to Covered Persons as a result of erroneous financial measures that are restated. This policy is intended to comply with Rule 5608 of the Nasdaq Marketplace Rules ("Rule 5608") and Securities and Exchange Commission ("SEC") Rule 10D-1. All capitalized terms used and not otherwise defined herein shall have the meaning set forth in Section 2 below.

&nbsp;&nbsp;&nbsp;&nbsp;**1.** **The Policy** 

It is the policy of the Company that if the Company is required to prepare an accounting restatement due to the material noncompliance of the Company with any financial reporting requirement under the securities laws, including any required accounting restatement to correct an error in previously issued financial statements that is material to the previously issued financial statements, or that would result in a material misstatement if the error were corrected in the current period or left uncorrected in the current period, the Company will recover reasonably promptly from each Covered Person all Erroneously Awarded Compensation the Covered Person received during the Applicable Recovery Period due to the error in calculating Financial Reporting Measures that resulted in the restatement.

This Policy will apply to all Incentive-Based Compensation received by a person (a) after the person begins service as an Executive Officer or otherwise is designated by the Committee as a Covered Person (b) who served as an Executive Officer, or otherwise was a Covered Person, during the performance period for that Incentive-Based Compensation, (c) while the Company has a class of securities listed on the Nasdaq Stock Market LLC ("Nasdaq") or any other national securities exchange or a national securities association, and (d) during the Applicable Recovery Period.

&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Defined Terms** 

When used in, or with regard to, this Policy, the following terms will have the meanings given to them in Rule 5608 (with all references to the issuer being to the Company):

Executive Officer Financial Reporting Measures <br> Incentive-Based Compensation Received

In addition, when used in, or with regard to, this Policy, the following terms will have the following meanings:

*"Applicable Recovery Period"* means, with respect to a Material Restatement, the three completed fiscal years immediately preceding the Restatement Date of that Material Restatement (including as a fiscal year any transition period between the last day of the Company's previous fiscal year end and the first day of its new fiscal year that comprises a period of between nine and twelve months due to the Company's changing its fiscal year within or immediately following the aforementioned three completed fiscal years). The Company's obligation to recover Erroneously Awarded Compensation will not be dependent on if or when the restated financial statements are filed.

*"Committee"* means the Compensation Committee of the Company's Board of Directors, or if there is no Compensation Committee, a majority of the independent members of the Board of Directors.

*"Covered Person"* means an executive officer of the Company and any other person designated by the Committee to be a Covered Person during a specified period.

*"Erroneously Awarded Compensation"* means, with respect to a Material Restatement, the amount of Incentive-Based Compensation Received by a Covered Person during the Applicable Recovery Period in excess of the amount that would have been received by that Covered Person if the Incentive-Based Compensation had been determined based on the restated amounts determined following the Material Restatement, computed without respect to any taxes paid (i.e. without consideration of any withholding or other taxes paid when the Incentive-Based Compensation was awarded or issued). If the Incentive-Based Compensation is based on stock price or total shareholder return and the Erroneously Awarded Compensation is not subject to mathematical recalculation directly from the information in an accounting restatement, it will be based on a reasonable estimate of the effect of the Material Restatement on the stock price or total shareholder return on which the Incentive-Based Compensation was received.

*"Material Restatement"* means an accounting restatement of previously issued financial statements of the Company due to the Company's material noncompliance with a financial requirement under the securities laws.

*"Restatement Date"* means, with respect to a Material Restatement, the earlier of (i) the date the Company's Board of Directors, a Committee of the Company's Board of Directors, or the officer or officers of the Company authorized to take such action if action by the Board of Directors is not required, concludes, or reasonably should have concluded, that the Company is required to prepare the Material Restatement, or (ii) the date a court, regulator or other legally authorized body, directs the Company to prepare the Material Restatement.

&nbsp;&nbsp;&nbsp;&nbsp;3. Exception to Policy

The Company may elect not to seek to recover Erroneously Awarded Compensation from a Covered Person if the Committee determines that recovery would be impractical and one or more of the following conditions is met: (i) the direct expense paid to a third party for assistance in enforcing this Policy would exceed the amount to be recovered, and the Company has made a reasonable attempt to recover the Erroneously Awarded Compensation, documented such reasonable attempt to recover, and provided that documentation to Nasdaq (ii) recovery would cause the Company to violate home country law where that law was adopted prior to November 28, 2022, and the Company obtains, and provides to Nasdaq, an opinion of home country counsel acceptable to Nasdaq that recovery would result in a violation of home country law, or (iii) recovery would likely cause an otherwise tax-qualified retirement plan, under which benefits are broadly available to employees of the Company, to fail to meet the requirements of 26 U.S.C. 40l(a)(l3) or 26 U.S.C. 411(a) and regulations thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;4. No Indemnification

The Company is prohibited from indemnifying any Covered Person or former Covered Person against the loss of Erroneously Awarded Compensation. No Covered Person will be entitled to indemnification from the Company or any of its subsidiaries for any costs of defending against a claim by the Company for Erroneously Received Compensation.

&nbsp;&nbsp;&nbsp;&nbsp;5. Enforcement of Policy

The Committee will determine the steps the Company should take to recover Erroneously Awarded Compensation, provided that the Committee will not determine not to proceed against a Covered Person who received Erroneously Paid Compensation, unless it has received written advice from counsel to the effect that it is more likely than not that if the Company attempts to recover Erroneously Awarded Compensation, the effort will not result in a material net recovery by the Company (whether because of doubts regarding the Company's right to recover the Erroneously Awarded Compensation or because of doubts about the Covered Person's financial ability to return the Erroneously Awarded Compensation).

No Covered Person will be entitled to indemnification from the Company or any of its subsidiaries for any costs of defending against a claim by the Company for Erroneously Received Compensation.

&nbsp;&nbsp;&nbsp;&nbsp;6. Rights against Covered Persons

Every employee of the Company or any of its subsidiaries who is, or becomes, a Covered Person, will be deemed by accepting Incentive-Based Compensation to agree that that Incentive-Based Compensation is received, and will be held by the Covered Person, subject to this Policy, and that this Policy may be enforced to recover Erroneously Awarded Compensation from the Covered Person.

&nbsp;&nbsp;&nbsp;&nbsp;7. Administration and Interpretation

The Committee will be responsible for all decisions regarding the application and interpretation of this Policy. However, in interpreting this Policy, the Committee will do so in a manner that is, to the fullest extent practicable, consistent with SEC Rule 10D-1 and Rule 5608 of the Nasdaq Marketplace Rules.

&nbsp;&nbsp;&nbsp;&nbsp;8. Maintaining Records

The Company will be responsible for maintaining documentation of the determination of the reasonable estimate as detailed under the definition of "Erroneously Awarded Compensation" and provide such documentation to Nasdaq.

The Company will also be responsible for filing all disclosures with respect to such recovery policy in accordance with the requirements of the Federal securities laws, including the disclosure required by the applicable SEC filings.

&nbsp;&nbsp;&nbsp;&nbsp;9. Review

The Compensation Committee shall be responsible for administering this Policy. The Compensation Committee shall review this Policy periodically and recommend appropriate changes to the Board of Directors of the Company.

Approved by the Board of Directors on May 12, 2026

## Exhibit 99.99

**Exhibit 99.99** 

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

We consent to the incorporation in the Registration Statement on Form 40-F (the "Form 40-F") of our auditor's report dated February 27, 2025 relating to the consolidated financial statements of WBM Capital Corp. (formerly, Tiidal Gaming Group Corp.) consisting of the consolidated statement of financial position as at October 31, 2024 and 2023 and the related consolidated statements of net (loss) income and comprehensive (loss) income, changes in shareholders' equity and cash flows for the years then ended, which appears as Exhibit 99.12 to the Form 40-F being filed with the United States Securities and Exchange Commission.

We consent to the incorporation in the Registration Statement on Form 40-F (the "Form 40-F") of our auditor's report dated February 8, 2024 relating to the consolidated financial statements of Tiidal Gaming Group Corp. (formerly GTA Finance Corp. Inc.) consisting of the consolidated statement of financial position as at October 31, 2023 and 2022 and the related consolidated statements of net income (loss) and comprehensive income (loss), changes in shareholders' equity and cash flows for the years then ended, which appears as Exhibit 99.6 to the Form 40-F being filed with the United States Securities and Exchange Commission.

We also consent to reference to us under the heading Interests of Experts in the Management Information Circular, filed as Exhibit 99.6, the Listing Statement, filed as Exhibit 99.44 and Annual Information Form, filed as Exhibit 99.80 to the Form 40-F.

Chartered Professional Accountants

Licensed Public Accountants

May 15, 2026

Mississauga, Canada

## Exhibit 99.100

**Exhibit 99.100**

![](img001_v7.jpg)

**<u>CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM</u>**

We hereby consent to the use of:

● our report dated March 6, 2026, on the consolidated financial statements of WBM Capital Corp. and its subsidiaries comprising the consolidated statement of financial position as of September 30, 2025, and the related consolidated statement of loss and comprehensive loss, changes in shareholders' (deficiency) equity, and cash flow for the year then ended and related notes,

● our report dated January 28, 2026, on the consolidated financial statements of Bitzero Blockchain Inc. and its subsidiaries (the Company) comprising the consolidated statement of financial position as of September 30, 2025, and the related consolidated statement of loss and comprehensive loss, changes in shareholders' equity, and cash flow for the year then ended and related notes, and

● our report dated November 17, 2025, on the consolidated financial statements of the Company and its subsidiaries comprising the consolidated statements of financial position as of September 30, 2024, and 2023, and the related consolidated statements of loss and comprehensive loss, changes in shareholders' equity, and cash flows for each of the years in the two-year period ended September 30, 2024 and related notes.

each of which is incorporated by reference in this Registration Statement on Form 40-F.

We also consent to the reference to our Firm under the caption "Experts" in the Registration Statement.

*/s/ SRCO Professional Corporation*

CHARTERED PROFESSIONAL ACCOUNTANTS

Authorized to practice public accounting by the<br> Chartered Professional Accountants of Ontario

Richmond Hill, Ontario, Canada

May 15, 2026