Vancouver, British Columbia--(Newsfile Corp. - November 21, 2024) - Neptune Digital Assets Corp. (TSXV: NDA) (OTCQB: NPPTF) (FSE: 1NW) ("Neptune" or the "Company"), one of the first publicly traded blockchain companies in Canada, announces its expansion of Fantom (FTM) holdings as the blockchain prepares for its anticipated migration to the Sonic network. This move underscores Neptune's commitment to leveraging cutting-edge blockchain advancements while optimizing returns through innovative financial strategies.
Neptune currently holds 663,000 Fantom tokens and has implemented a dollar-cost-average (DCA) derivative strategy selling Fantom put options. Neptune currently has 500,000 FTM open option trade expiring at the end of November. This approach is intended to increase Neptune's total holdings to 1-3 million FTM depending on pricing and option premiums, further solidifying its presence in the Fantom ecosystem. Neptune's use of put options showcases its ability to adopt financial strategies to maximize returns. The derivative strategy can offer Neptune the opportunity to earn up to 150% APR on the cash value collateral if Fantom's price remains stable and the put options are not triggered.
"Leveraging derivatives allows us to strategically acquire more tokens at favorable prices while earning high returns on cash reserves, given we are long FTM, this is a win-win strategy for the Company," said Cale Moodie, CEO of Neptune Digital Assets. "We use this approach to focus on innovation and financial prudence, which are key drivers of our long-term success."
The Sonic upgrade is set to benefit the Fantom blockchain by improving scalability, transaction throughput, and user experience. With Sonic's target of over 10,000 transactions per second and sub-second finality, it intends to enhance the network's competitiveness within the blockchain ecosystem. These advancements are expected to bolster FTM's utility, making it an attractive asset for both developers and investors.
"Fantom's migration to Sonic marks a big move in its evolution," said Cale Moodie, CEO of Neptune Digital Assets. "Neptune has a long history with holding the Fantom token in addition to staking and participating in its DeFi ecosystem which was extremely lucrative for Neptune in the previous bull market. We see strong potential in Sonic's ability to elevate Fantom's performance, which aligns perfectly with Neptune's goal of investing in blockchain technologies that push the boundaries of innovation."
About Neptune Digital Assets Corp.
Neptune Digital Assets Corp. (TSXV: NDA) (OTCQB: NPPTF) (FSE: 1NW) is one of the first publicly traded blockchain companies in Canada and is at the forefront of the cryptocurrency and blockchain landscape. Neptune engages in operations across the digital asset ecosystem including Bitcoin mining, proof-of-stake mining, blockchain nodes, decentralized finance (DeFi), and other associated cutting-edge technology. Our unwavering commitment to innovation and strategic growth enables us to continually explore new opportunities and maximize value for our shareholders. For more information about Neptune Digital Assets Corp., please visit our website at www.neptunedigitalassets.com or follow us on X (@NeptuneDAC).
ON BEHALF OF THE BOARD
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This release contains certain "forward looking statements" and certain "forward-looking information" as defined under applicable Canadian securities laws. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans", "proposes" or similar terminology. Forward-looking statements and information are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties, and contingencies. Forward-looking statements and information are subject to various known and unknown risks and uncertainties, many of which are beyond the ability of the Company to control or predict, that may cause the Company's actual results, performance or achievements to be materially different from those expressed or implied thereby, and are developed based on assumptions about such risks, uncertainties and other factors set out herein, including but not limited to: the auditors completing the remining auditing items with respect to the Annual Filings; the inherent risks involved in the cryptocurrency and general securities markets; the Company may not be able to profitably liquidate its current digital currency inventory, or at all; a decline in digital currency prices may have a significant negative impact on the Company's operations; the volatility of digital currency prices; uncertainties relating to the availability and costs of financing needed in the future; the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, currency fluctuations; regulatory restrictions, liability, competition, loss of key employees and other related risks and uncertainties.
The Company does not undertake any obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.
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