Bitcoin Well Reports 2021 Financial Results and Announces Closing of Second Tranche of Secured Debenture Financing

[ad_1]

Bitcoin Well

EDMONTON, Alberta, March 21, 2022 (GLOBE NEWSWIRE)– Bitcoin Well Inc. (the “Company” or “Bitcoin Well”) (TSXV: BTCW), today revealed our monetary and operating outcomes for the 4th quarter and twelve months ended December 31, 2021 and the closing of the 2nd tranche under the Company’s protected convertible debenture (the “Convertible Debenture”) in the primary quantity of $2 million on March 17, 2022.

The interim Financial Statements and Notes, along with Management’s Discussion and Analysis (“MD&A”) are offered on our site and have actually been submitted on SEDAR.

“Bitcoin Well increased revenue by 92% in 2021 as a result of the expansion of white glove service at our in-person offices in Western Canada. The next step is to expand our online ecosystem of products to eventually serve a global market,” stated Adam O’Brien, Founder and CEO ofBitcoin Well “While our network of more than 220 Bitcoin ATMs and in-person offices represent a base business for us today, our expanding technological offerings will create new scalability and better user value across the business.”

Financial Overview

For the 3 months ended,

For the twelve months ended,

Dec 31,
2021

Dec 31,
2020

%
Change

Dec 31,
2021

Dec 31,
2020

%
Change

Revenue ($ 000s)

$ 14,411

$ 22,866

( 37 )%

$ 99,613

$ 51,971

92%

Gross revenue ($ 000s)

$ 968

$ 3,834

( 75 )%

$ 5,173

$ 7,292

( 29 )%

Adjusted EBITDA 1($ 000s)

$( 2,333)

$ 2,037

( 215 )%

$( 4,353)

$ 2,994

( 241 )%

Net loss

$( 5,372)

$( 1,840)

( 192 )%

$( 13,603)

$( 2,743)

( 396 )%

New ATMs Added in Period

40

23

142

52

1 See Non- IFRS Measures.

Fourth Quarter and Full Year 2021 Results

  • In the 4th quarter of 2021, earnings was $14.4 million compared to $22.9 million in the exact same duration in 2015. Lower earnings was generally due to a decline in ATM volume partly balanced out by a boost in OTC volume.

  • Gross revenue was $1 million and $5.2 million in the 4th quarter and complete year 2021 respectively, compared to $3.8 million and $7.3 million in the exact same durations in 2020. OTC sales generally represent bigger deals at a lower charge compared to ATM deals. This modification in sales mix in the 4th quarter and complete year 2021 led to lower gross revenue.

  • Adjusted EBITDA was a loss of $2.3 million and $4.4 million in the 4th quarter and complete year 2021 respectively, compared to a gain of $2 million and $3 million in the exact same durations in 2020. Lower Adjusted EBITDA was generally due to lower gross revenue and greater business expenses arising from an increased headcount, expert costs connected to legal costs for our service acquisitions, and innovation financial investments to reinforce the future of the company in 2022 and beyond. These organizational improvements are anticipated to set the phase for expected online and mobile app-based scalable development, additions to our ATM network, and the pursuit of targeted service acquisition chances both in Canada, and worldwide.

  • Net loss was $5.4 million and $13.6 million in the 4th quarter and complete year 2021 respectively, compared to a bottom line of $1.8 million and $2.7 million in the exact same durations in 2020. Net loss consisted of a non-cash, reasonable worth modification on the revaluation of cryptocurrency loans which are more than balanced out by a revaluation gain on digital properties tape-recorded in Other Comprehensive Income of $2.1 million and $7.2 million in the 4th quarter and complete year 2021. It likewise consisted of a non-cash problems of $1.3 million associated to the ceasing of operations in the UK, and $1.5 countless listing costs connected to taking Bitcoin Well public in 2021.

Recent Business Developments

  • Added 142 Bitcoin ATMs to our running fleet in 2021, 40 of which were included the 4th quarter of 2021. We now have more than 220 ATMs running throughoutCanada We improved our collaboration with RapidCash ATM to broaden unique operations of our Bitcoin ATM software application on an awaited 100+ recently released makers, offering incremental earnings capacity to Bitcoin Well without any extra capital expense.

  • Completed a services contract in January 2022 with Memory Express to process bitcoin payments for Memory Express’ online clients. Bitcoin Well will likewise be setting up Bitcoin ATMs in Memory Express shops throughout Canada.

  • Signed a letter of intent in January 2022 with Greater Property Group, a Canada- large property business, to work out a conclusive Joint Venture contract to collaborate assisting clients utilize bitcoin and other cryptocurrencies to purchase and offer industrial and property property.

Convertible Debenture Financing– Second Tranche Issued

In February, Bitcoin Well released a protected convertible debenture for as much as $5 million to money the improvement of the existing Bitcoin Well online item, and for user acquisition and basic working capital. The Bitcoin Well environment of services and items will provide users the capability to purchase, utilize and offer bitcoin online with self-custodied blockchain innovation and through an exclusive mobile app.

The Convertible Debenture will be released in as much as 3 tranches. The very first tranche in the primary quantity of CDN$ 1.5 million was released on February 23, 2022. A 2nd tranche in the primary quantity of CDN$ 2.0 million was released on March 17, 2022. At the choice of the holder, the primary quantity of the Convertible Debenture is convertible into typical shares of Bitcoin Well (the “Common Shares”) at a conversion rate of $0.30 per Common Share, based on changes in particular scenarios. Any such changes will undergo TSXV evaluation and approval. Bitcoin Well can require conversion of the primary quantity if the volume weighted typical trading rate for the Common Shares for 10 (10) trading days goes beyond or equates to $0.60 perCommon Share The Convertible Debenture bears interest at a rate of 10% per year and grows on February 23, 2025, based on 2 automated one year extensions.

For more info concerning the Convertible Debenture, please see the Bitcoin Well press release provided on February 24, 2022.

Non- IFRS Measures

The Company utilizes particular terms in this press release and within the MD&A, such as ‘Adjusted EBITDA’, which do not have a proposed or standardized significance under International Financial Reporting Standards (IFRS), and appropriately, these measurements might not be equivalent with the computation of comparable measurements utilized by other business. See the table listed below for a reconciliation of each non-IFRS step to its closest IFRS step or describe the “Non- GAAP Measures” and “Selected Financial Information” areas in the MD&A for appropriate meanings, computations, reasoning for usage and reconciliations to the most straight equivalent step under IFRS. Non- IFRS steps are supplied as additional info by which readers might want to think about the Company’s efficiency however needs to not be trusted for relative or financial investment functions.

Reconciliation of Adjusted EBITDA to Net loss

For the 3 months ended,

For the twelve months ended,

$ 000s

Dec 31, 2021

Dec 31, 2020

Dec 31, 2021

Dec 31, 2020

Net loss

$( 5,372)

$( 1,840)

$( 13,603)

$( 2,743)

Listing expenditure( 1 )

1,477

Goodwill problems loss( 2 )

1,306

1,306

Business acquisition and QT expenses

( 74)

245

793

819

Depreciation and accretion

580

154

1,384

538

Fair worth modification– crypto loans( 3 )

512

3,338

4,295

3,751

Income tax expenditure/( healing)

740

325

( 529)

326

Share based settlement

( 42)

530

303

Other

16

( 185 )

( 7)

Adjusted EBITDA

$( 2,333)

$ 2,037

$( 4,353)

$ 2,994

( 1) Listing costs connected to taking Bitcoin Well public in 2021.
( 2) Goodwill problems loss connected to the ceasing of operations in the UK.
( 3) Non- money, reasonable worth modification on the revaluation of cryptocurrency loans which are more than balanced out by a revaluation gain on digital properties tape-recorded in Other Comprehensive Income of [$2.1] million and [$7.2] million in the 4th quarter and complete year 2021.

This press release need to read in performance with the complete disclosure files. The Bitcoin Well combined monetary declarations and management’s conversation and analysis for the year ended December 31, 2021 will be offered on the Bitcoin Well site ( www.bitcoinwell.com), by means of SEDAR ( www.sedar.com) or can be asked for from the Company.

About Bitcoin Well

Bitcoin Well uses hassle-free, trusted and safe methods to purchase, utilize and offer bitcoin. Bitcoin Well is on an objective to move the relationship that society has with cash by using a community of product or services that make Bitcoin available and comprehended. This environment consists of non-custodial monetary offerings (both online and in-person); innovation advancement, consisting of SaaS and internal innovation advancements through Ghostlab, the innovation arm of business; and instructional resources developed with the requirements of both the clients, and the market, in mind.

Sign up for our newsletter and follow us on LinkedIn, Twitter, YouTube, Facebook, and Instagram to maintain to date with our service. For OTC place info see bitcoinwell.com/appointment/

Bitcoin Well Contact Information
For financier info, please contact:

Bitcoin Well
10142 82 Avenue NW
Edmonton, AB T6E 1Z4
bitcoinwell.com

Myles Dougan, Director of Investor Relations
Tel: 587 982 2769
m.dougan@bitcoinwell.com

For media questions and additional info, please contact:

Karen Smola, Director of Marketing
Tel: 587 735 1570
k.smola@bitcoinwell.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is specified in policies of the TSX Venture Exchange) accepts duty for the adequacy or precision of this release

Forward-Looking Information
Certain declarations consisted of in this press release might make up positive info. Forward- looking info is frequently, however not constantly, recognized by the usage of words such as “expect”, “strategy”, “quote”, “anticipate”, “might”, “will”, “plan”, “need to”, or the unfavorable thereof and comparable expressions. Forward- looking info includes unidentified and recognized dangers, unpredictabilities and other elements that might trigger real outcomes or occasions to vary materially from those prepared for in such positive info.

Bitcoin Well real outcomes might vary materially from those prepared for in this positive info as an outcome of regulative choices, competitive consider the markets in which Bitcoin Well runs, dominating financial conditions, and other elements, much of which are beyond the control of Bitcoin Well.

Bitcoin Well thinks that the expectations shown in the positive info are affordable, however no guarantee can be considered that these expectations will show to be such and appropriate positive info need to not be unduly trusted.

Any positive info consisted of in this press release represents Bitcoin Well expectations since the date hereof, and goes through alter after such date. Bitcoin Well disclaims any objective or commitment to upgrade or modify any positive info whether as an outcome of brand-new info, future occasions or otherwise, other than as needed by appropriate securities legislation.

For more info, see the Cautionary Note Regarding Forward Looking Information discovered in the Bitcoin Well quarterly Management Discussion and Analysis.

Bitcoin WellBitcoin Well

[ad_2]

Source link .

Share on facebook
Facebook
Share on google
Google+
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on pinterest
Pinterest

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Want To Stay Updated On the Latest Crypto News? Get the all the important news in Crypto, NFTs & all things Metaverse Instantly! No Yes