Norwegian Block Exchange : H1 -First half

H1 Report 2022

Norwegian

Block

Exchange

Table of contents

This is NBX	1
Letter from CEO	2
H1 2022 in brief	4
H1 2022 Highlights	5
Financial review	8
Developments	11
Risk factors	14
Development in Crypto	16
Outlook	18
Financial statements	19
Notes	24

Norwegian Block Exchange

This is

Norwegian Block Exchange (NBX) is a financial services company building products and services based on digital assets. We operate one of the largest platforms for trading cryptocurrencies in the Nordics.

Our goal is to open the doors to the world of digital assets for everyone. We started with a cryptocurrency exchange, and will continue to offer our customers new, trusted services enabled by crypto. We believe crypto is key to the financial infrastructure of the future.

NBX was founded in 2018, and is headquartered in Oslo, Norway. NBX Capital was set up as a fully owned subsidiary in 2021, and as such, this report covers both companies as a group. NBX has been granted an e-money license pending minor adjustments, and is supervised by Finanstilsynet (the Norwegian Financial Supervisory Authority). The company is listed on Oslo Stock Exchange Euronext Growth.

34 Employees

25 Trading pairs

Assets and

12 Currencies

Norwegian Block Exchange

1

Letter from the CEO

Fellow Shareholders,

I have said it before and will say it again. There is never a dull moment in the crypto industry. The last six months and in particular the second quarter has been brutal for many crypto service companies and many have perished. Common for all of them is that they have in some way or the other have not been able to balance growth and risk management - resulting in significant loss of customers' funds. NBX does not leverage, lend or use customer funds in any way. All customer assets are kept safe in our secure and insured custody.

Summing up the last 6 months for the company, I would call it bittersweet. We did not experience any big losses as our risk management routines worked and we avoided making serious mistakes. External factors severely affected our industry and we lost some traction as the market conditions impacted anticipated growth and revenues. We stayed on course and kept focus on our goal to become the market leader in the Nordics. Through our diversified business-model we now have an exceptional opportunity as we are focused on a much wider audience than our peers. During H1, NBX has released many new products and features like a mobile app, card- and- Vipps payments and social logins that will become growth drivers going forward. All these efforts will help us grow as the industry recoups, matures and develops.

Market conditions have made us adjust our operating cost and capital expenditures. Necessary choices and priorities have been made and layoffs have sadly been part of that. As a result of sudden and unexpected changes in market conditions, we have had to take measures. We are more focused than ever on our core strategy and goals, and expect to welcome back our dearly valued friends and colleagues in the near future.

Moving forward we have high expectations for the future. Our core strategy is still intact, and we believe persistence and hard work will pay off. The coming launch of our NBX credit card enables us to reach millions of Scandinavians and further diversify and expand our revenue model. We continue to develop and expand our product portfolio, aiming for a wider audience than our peers.

By combining traditional thinking with the new, NBX aims to become an entry point not only for the devoted crypto enthusiast but also the ordinary investor seeking short- or long-term exposure towards crypto and web 3 technology.

Beste hilsner

Stig

Daglig leder/CEO

Norwegian Block Exchange

2

Our ambition is to positively contribute to the growth of crypto in the region.

47%	20%
Growth of verified	Growth of unique
users 2022	users 2022

Norwegian Block Exchange

3