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BlockMint Technologies Inc. Management Reports 2025
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Management Reports
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BLOCKMINT
BLOCKMINT TECHNOLOGIES INC.
INTERIM MANAGEMENT'S DISCUSSION AND ANALYSIS –
QUARTERLY HIGHLIGHTS
THREE AND SIX MONTHS ENDED JUNE 30, 2025
BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
INTRODUCTION
The following interim Management's Discussion and Analysis ("MD&A") of the financial condition and results of the operations of BlockMint Technologies Inc. (the "Company" or "BlockMint") has been prepared to provide material updates to the business operations, liquidity and capital resources of the Company since its last annual management's discussion and analysis, being the Management's Discussion & Analysis ("Annual MD&A") for the fiscal year ended December 31, 2024. This MD&A does not provide a general update to the Annual MD&A, or reflect any non-material events since the date of the Annual MD&A.
This MD&A has been prepared in compliance with the requirements of section 2.2.1 of Form 51-102F1, in accordance with National Instrument 51-102 – Continuous Disclosure Obligations. This discussion should be read in conjunction with the Annual MD&A, the audited annual consolidated financial statements of the Company for the years ended December 31, 2024 and 2023 and the unaudited condensed consolidated interim financial statements of the Company for the three and six months ended June 30, 2025 ("the Interim Statements"), together with the notes thereto. Results are reported in United States dollars, unless otherwise noted. In the opinion of management, all adjustments (which consist only of normal recurring adjustments) considered necessary for a fair presentation have been included. The results for the three and six months ended June 30, 2025 are not necessarily indicative of the results that may be expected for any future period. Information contained herein is presented as at August 29, 2025 unless otherwise indicated.
The Interim Statements have been prepared using accounting policies consistent with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board and interpretations of the IFRS Interpretations Committee. The Interim Statements have been prepared in accordance with International Standard 34, Interim Financial Reporting.
For the purposes of preparing this MD&A, management, in conjunction with the Audit Committee of the Board of Directors, considers the materiality of information. Information is considered material if: (i) such information results in, or would reasonably be expected to result in, a significant change in the market price or value of BlockMint's common shares; or (ii) there is a substantial likelihood that a reasonable investor would consider it important in making an investment decision; or (iii) it would significantly alter the total mix of information available to investors. Management, in conjunction with the Audit Committee of the Board of Directors, evaluates materiality with reference to all relevant circumstances, including potential market sensitivity.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION
This MD&A contains certain forward-looking information and forward-looking statements, as defined in applicable securities laws (collectively referred to herein as "forward-looking statements"). These statements relate to future events or the Company's future performance. All statements other than statements of historical fact are forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects", "predicts", "intends", "anticipates" or "believes", or variations of, or the negatives of, such words and phrases, or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in such forward-looking statements. The forward-looking statements in this MD&A speak only as of the date of this MD&A or as of the date specified in such statement.
Specifically, the following forward-looking statements are based on the corresponding assumptions, and are subject to the noted risk factors:
BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
| Forward-looking statements | Assumptions | Risk factors |
|---|---|---|
| The Company's cash balance at June 30, 2025, is sufficient to fund its consolidated operating expenses at current levels. | The development and operating activities of the Company for the 12-month period ending June 30, 2026, and the costs associated therewith, will be consistent with the Company's current expectations; and the debt and equity markets, exchange and interest rates and other applicable economic conditions will not materially change. | Changes in debt and equity markets; timing and availability of external financing on acceptable terms; increases in costs; government regulation, interest rate and exchange rate fluctuations; changes in economic conditions. |
| The Company's objective is to monetize its carbon token website through ad-based revenues. | The Company's website will prove to be popular enough with users that third parties will pay to advertise on the site. | The Company's website does not attract enough viewers to attract third party advertisers; competitors develop services viewed as superior to the Company's website; the carbon token industry fails to grow as expected. |
Inherent in forward-looking statements are risks, uncertainties and other factors beyond BlockMint's ability to predict or control. Readers are cautioned that the above chart does not contain an exhaustive list of the factors or assumptions that may affect the forward-looking statements, and that the assumptions underlying such statements may prove to be incorrect. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this MD&A. Readers should refer to those risk factors referenced in the "Risks and Uncertainties" section below.
Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause BlockMint's actual results, performance or achievements to be materially different from any of its future results, performance or achievements expressed or implied by forward-looking statements. All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements whether as a result of new information or future events or otherwise, except as may be required by law. If the Company does update one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements, unless required by law.
DESCRIPTION OF BUSINESS
In September 2022, the Company launched a new website - carbontokensmarket.com, which aims to be a single source of information on the carbon tokens market (the "Website").
A "carbon token," is a non-fungible, tradable digital asset on a blockchain that represents one carbon credit or one tonne of carbon dioxide equivalent (CO2e) of greenhouse gas emission reduction or removal. Over the past couple of years, there have been a number of companies that have created carbon tokens with the aim to use blockchain technology to build secure and efficient marketplaces to scale the trading of carbon credits. The Company created the Website to provide a single source for price and market information on existing carbon tokens and aggregate news for carbon tokens.
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BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
In addition, the Company's wholly owned subsidiary BlockMint (USA) Technologies Inc. ("BlockMint-USA"), continued in the business of developing distributed systems and networks that enable a more decentralized deployment of blockchain based applications. The Company continues to investigate opportunities in crypto markets and how BlockMint's technology fits into the blockchain/crypto ecosystem and how the Company could best capitalize on emerging opportunities. This includes initiatives such as staking of cryptocurrencies, perhaps using its existing BTC portfolio, and creating an access product of one or more currencies. No new initiatives have been determined or commenced in this regard.
OUTLOOK AND OVERALL PERFORMANCE
Financial Highlights
The Company had no revenue from operations, so its ability to ensure continuing operations is dependent on either expanding its business, or raising additional debt or equity financing. It is anticipated that the Website will prove useful and popular with participants in the growing carbon tokens market. As user traction builds, the Company could earn revenues through a conventional ad-based business model.
For the six months ended June 30, 2025, the Company's net income totaled $166,860 which consisted primarily of:
i. operating expenses of $113,281, which includes consulting fees of $31,474; and
ii. revaluation of digital currency of $263,356.
At June 30, 2025, the Company had a working capital of $1,575,899 (December 31, 2024 - $1,624,889), including cash of $1,222,373 (December 31, 2024 - $1,324,003). Cash decreased during the six months ended June 30, 2025 due to net cash used in operating activities of $101,630.
The Company has sufficient cash to meet its ongoing operating expenses and continue to meet its obligations on its current projects for the 12-month period ending on June 30, 2026. See "Liquidity and Financial Position" below.
Description of Business
In September 2022, the Company launched the Website carbontokensmarket.com focused on tokenized carbon credits. The Company created the Website to provide a single source for price and market information on existing carbon tokens and aggregate news for carbon tokens. As user traction builds, the Company intends to earn revenues through a conventional ad-based business model.
The Company also develops distributed systems and networks that enable a more decentralized deployment of blockchain based applications such as cryptocurrency mining. The Company launched its first product, the distributed crypto-miner Minter browser, in 2019. BlockMint developed software that allows owners of desktops and laptops to download a browser that allows the Company to utilize the owner's spare computing power to mine cryptocurrencies in exchange for users to earn either: (i) carbon credits to offset their carbon footprint; or (ii) a fractional ownership in an NFT. The browser application is called "Minter." Development and release of further software products was suspended in 2020 due to the price and volatility of cryptocurrencies. In February 2021, the Company released an upgraded version of the Minter browser and introduced a new feature which allows users to earn carbon credits to offset their carbon footprint. In May 2021, the Company re-released the Minter browser with another new feature which enabled users to also be able to earn fractional ownership in an NFT.
An NFT is a unit of data on a blockchain where each NFT can represent a unique digital item and thus they are not interchangeable. NFTs can represent digital files such as art, audio, video and other forms of creative work. BlockMint has created and acquired NFTs for its portfolio.
BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
TRENDS
In September 2022, the Company announced that it had launched its Website focused on tokenized carbon credits. A tokenized carbon credit, often referred to as a "carbon token," is a non-fungible, tradable digital asset on a blockchain that represents one carbon credit or one tonne of CO2 of greenhouse gas emission reduction or removal. In 2024, there was approximately $535 million in carbon credits traded in the voluntary carbon market. McKinsey & Company has forecasted that the value of the voluntary carbon credit market could reach up to $50 billion by 2030. However sharp declines in carbon credit prices over the last two years have clouded the outlook for the voluntary carbon market, with market participants pessimistic about a swift recovery after questions arose regarding the integrity and credibility of nature-based credits. Over the past couple of years, there have been a number of companies that have created carbon tokens with the aim to use blockchain technology to build secure and efficient marketplaces to scale the trading of instruments that represent carbon credits.
More recently, the prices of several cryptocurrencies have increased to levels which have prompted the Company to investigate opportunities in crypto markets and how BlockMint's technology could fit into the blockchain/crypto ecosystem and how the Company could best capitalize on emerging opportunities. Several public companies adopted a corporate strategy of staking certain cryptocurrencies.
OFF-BALANCE-SHEET ARRANGEMENTS
As of the date of this filing, the Company does not have any off-balance-sheet arrangements that have, or are reasonably likely to have, a current or future effect on the results of operations or financial condition of the Company, including, and without limitation, such considerations as liquidity and capital resources.
DISCUSSION OF OPERATIONS
Three months ended June 30, 2025, compared with three months ended June 30, 2024
BlockMint's loss totaled $102,971 for the three months ended June 30, 2025, with basic and diluted loss per share of $0.00. This compares with a net loss of $71,654 and a basic and diluted loss per share of $0.00 for the three months ended June 30, 2024. The increase in the loss of $31,317 was principally because:
- For the three months ended June 30, 2025, the Company recorded a revaluation of digital currency gain of $85,190, compared to a loss of $30,320 for the three months ended June 30, 2024.
- For the three months ended June 30, 2025, consulting fees and business development and promotion expenses increased to $14,862 from $14,136 for the three months ended June 30, 2024, as the Company expanded its search for various business opportunities.
- For the three months ended June 30, 2025, the Company recorded director, management fees and salaries of $14,620 compared to $14,620 for the three months ended June 30, 2024.
- For the three months ended June 30, 2025, the Company recorded professional fees of $17,292 compared to $6,215 for the three months ended June 30, 2024. This increase of $11,077 is primarily due to an increase in accounting fees and accrual.
- For the three months ended June 30, 2025, the Company recorded a foreign exchange gain of $10,586, compared to foreign exchange loss of $411 for the three months ended June 30, 2024.
BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
Six months ended June 30, 2025, compared with six months ended June 30, 2024
BlockMint's net income totaled $48,990 for the six months ended June 30, 2025 compared to a loss of $25,138 for the six months ended June 30, 2024, with basic and diluted loss per share of $0.00 and loss of $0.00, respectively. The increase in the net income of $23,852 for the six months ended June 30, 2025 was principally because:
i. The Company recorded a loss on revaluation of digital currency of $263,356 in the six months ended June 30, 2025, compared to $71,508 for the six months ended June 30, 2024.
Other items of interest include:
- For the six months ended June 30, 2025, consulting fees and business development and promotion expenses decreased to $35,706 from $35,837 for the six months ended June 30, 2024, primarily due to a change in accounting fees.
- For the six months ended June 30, 2025, the Company recorded director, management fees and salaries of $29,241 compared to $29,242 for the six months ended June 30, 2024.
- For the six months ended June 30, 2025, the Company recorded professional fees of $33,640 compared to $12,003 for the six months ended June 30, 2024. This increase of $21,637 is primarily due to an increase in accounting fees and accrual.
- For the six months ended June 30, 2025, the Company recorded a foreign exchange gain of $16,785, compared to foreign exchange loss of $7,200 for the six months ended June 30, 2024.
LIQUIDITY AND FINANCIAL POSITION
Cashflow
The Company had cash of $1,222,373 at June 30, 2025 (December 31, 2024 - $1,324,003). The decrease in cash during the six months ended June 30, 2025 was primarily due to the cash used in operating activities.
Cash used in operating activities was $101,630 for the six months ended June 30, 2025. Operating activities were affected by net income of $166,860, non-cash adjustments of $263,356 and changes in non-cash working capital balances because of an increase in receivables and prepaid expenses of $2,911, and a decreased in accounts payable and accrued liabilities of $2,223 for the period. For the six months ended June 30, 2024, cash used in operating activities was $113,358, which included the net loss of $25,138, non-cash items adjustments of $263,356 and changes in non-cash working capital balances because of an increase in receivables and prepaid expenses of $2,683, and a decrease in accounts payable and accrued liabilities of $14,029 for the period.
Liquidity and Capital Resources
Historically the Company's activities have been primarily financed through the completion of equity offerings. There is no assurance that equity capital will be available to the Company in the amounts or at the times desired or on terms that are acceptable to the Company, if at all.
The Company has no significant revenues, and therefore must utilize its current cash reserves, funds obtained from the exercise of options and other financing transactions to maintain its capacity to meet ongoing operating activities. As of June 30, 2025, the Company had 1,250,000 stock options outstanding that would raise approximately $500,000, if exercised in full.
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BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
At June 30, 2025, the Company reported cash of $1,222,373 (December 31, 2024 - $1,324,003) and a net working capital of $1,575,899 (December 31, 2024 - $1,624,889). Currently, the Company's operating expenses are approximately $15,000 to $20,000 per month for management fees, month-to-month professional fees, and other working expenses. The Company's cash as at June 30, 2025 is expected to be sufficient to satisfy current liabilities and general and administrative costs through June 30, 2026.
Fair value measurement of digital currency
Digital currency is measured at fair value using the quoted price on www.coinmarketcap.com. Management considers this fair value to be a Level 2 input under IFRS 13 Fair Value Measurement fair value hierarchy as the price on this source represents an average of quoted prices on multiple digital currency exchanges. The Company is relying on the data available at www.coinmarketcap.com to be an accurate representation of the closing price for the digital currency.
SHARE CAPITAL
As of the date of this MD&A, the Company had 48,242,605 issued and outstanding common shares, no warrants outstanding, and 1,250,000 stock options outstanding.
RELATED PARTY TRANSACTIONS
Related parties include key management personnel and others considered to have significant influence or control over the Company's operations. Key management personnel includes the Board of Directors of the Company, officers, and close family members and enterprises which are controlled by these individuals, as well as certain persons performing similar functions.
a) The Company entered into the following transactions with related parties:
| Three Months Ended June 30, | Six Months Ended June 30, | ||||
|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | ||
| Owen Bird Law Corporation | (i) | $ 3,313 | $ 2,734 | $ 3,736 | $ 3,022 |
| Bayswater Consulting Ltd. | (ii) | 2,183 | 2,247 | 4,262 | 4,468 |
| Marrelli Support Services Inc. | (iii) | 6,801 | $ 9,231 | $ 13,247 | $ 21,127 |
(i) For the three and six months ended June 30, 2025, the Company expensed professional fees of $3,313 and $3,736, respectively (three and six months ended June 30, 2024 - $2,734 and $3,022, respectively), to Owen Bird Law Corporation, a legal firm of which a director is a shareholder. As at June 30, 2025, $1,060 (December 31, 2024 - $1,060) was payable to this party and the amount is included in accounts payable and accrued liabilities.
(ii) For the three and six months ended June 30, 2025, the Company expensed consulting fees of $2,183 and $4,262, respectively (three and six months ended June 30, 2024 - $2,247 and $4,468, respectively) to a private company controlled by the Company's corporate secretary, for corporate services.
(iii) For the three and six months ended June 30, 2025, the Company expensed consulting fees of $6,801 and $13,247, respectively (three and six months ended June 30, 2024 - $9,231 and $21,127, respectively) to Marrelli Support Services Inc. ("Marrelli") to act as the Chief Financial Officer of the Company; and for bookkeeping services. These services were incurred in the normal course of operations for general accounting and financial reporting matters. As at June 30, 2025, Marrelli was owed $973 (December 31, 2024 - $973), and the amount is included in accounts payable and accrued liabilities.
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BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
b) Remuneration of directors and key management personnel, other than consulting and professional fees, of the Company was as follows:
| Names | Three months ended June 30, | |
|---|---|---|
| 2025 $ | 2024 $ | |
| Daniel Beck, CEO | 6,000 | 6,000 |
| Jeff Lightfoot, Director | 2,874 | 2,874 |
| David Patterson, Director | 2,874 | 2,874 |
| Colin Watt, Director | 2,874 | 2,874 |
| Total | 14,622 | 14,622 |
| Names | Six months ended June 30, | |
| 2025 $ | 2024 $ | |
| Nelson Ijih, former CEO / CIO | 2,000 | |
| Daniel Beck, CEO | 12,000 | 10,000 |
| Jeff Lightfoot, Director | 5,748 | 5,748 |
| David Patterson, Director | 5,748 | 5,748 |
| Colin Watt, Director | 5,748 | 5,748 |
| Total | 29,244 | 29,244 |
RISKS AND UNCERTAINTIES
An investment in the securities of the Company is highly speculative, involving numerous and significant risks. Such investment 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. Prospective investors should carefully consider the risk factors that have affected, and which in the future are reasonably expected to affect, the Company and its financial position. Please refer to the section entitled "Risks and Uncertainties" in the Company's Annual MD&A for the fiscal year ended December 31, 2024, available on SEDAR+ at http://www.sedarplus.ca.
BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
There are risks to crypto asset inventory
The Company's crypto asset inventory may be exposed to cybersecurity threats and hacks
As with any other computer code, flaws in the crypto assets' source codes and keys have been exposed by certain malicious actors. Several errors and defects have been found and corrected, including those that disabled some functionality for users and exposed users' information. Although discovery of flaws in or exploitations of the source code that allow malicious actors to take or create money have historically occurred somewhat regularly, more recently, they have been becoming relatively rarer.
There is a risk that some or all of the Company's coins could be lost or stolen. Access to the Company's coins could also be restricted by cybercrime (such as a denial of service ("DDoS") attack) against a service at which the Company maintains a hosted online wallet. Any of these events may adversely affect the operations of the Company and, consequently, its investments and profitability.
The loss or destruction of a private key required to access the Company's digital wallets may be irreversible. The Company's loss of access to its private keys or its experience of a data loss relating to the Company's digital wallets could adversely affect its investments.
Compared with traditional and existing centralized financial systems, the financial system of crypto assets is relatively new and has only limited history. Online crypto asset exchanges and trades therein operate with comparatively little regulation and are particularly liable to platform failures and fraudulent activities, which may have an effect on underlying prices of crypto assets. In fact, many of the largest online crypto asset exchanges have been compromised by hackers. Furthermore, in certain decentralized protocols, it may be difficult or impossible to verify the identity of a transaction counterparty necessary to comply with any applicable anti-money laundering, countering the financing of terrorism, or sanctions regulations or controls.
Regulatory changes or actions may alter the nature of an investment in the Company or restrict the business of the Company and the use of crypto assets in a manner that adversely affects the Company's operations
As crypto assets have grown in both popularity and market size, governments around the world have reacted differently to crypto assets with certain governments deeming them illegal, while others have allowed their use and trade (with or without additional regulatory requirements). On-going and future regulatory actions or requirements may alter, perhaps to a materially adverse extent, the ability of the Company to continue to operate.
The effect of any future regulatory change on the Company or any crypto assets that the Company may mine is impossible to predict, but such change could be substantial and adverse to the Company.
Governments may in the future curtail or outlaw the acquisition, use or redemption of crypto assets or the activity of mining crypto assets. Ownership of, holding, mining or trading in crypto assets may also be considered illegal and subject to sanction, or subject to heightened regulatory requirements. Governments may in the future take regulatory actions that may increase the cost and/or subject crypto asset companies to additional regulation, or prohibit or severely restrict the right to acquire, own, hold, sell, mine, use or trade crypto assets or to exchange crypto assets for fiat currency. By extension, similar actions by governments, may result in the restriction of the acquisition, ownership, holding, selling, use or trading in the common shares of the Company. Such a restriction could result in the Company liquidating its Bitcoin or other crypto asset inventory at unfavorable prices and may adversely affect the Company's shareholders.
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BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
The value of crypto assets may be subject to volatility and momentum pricing risk
Digital asset prices are highly volatile, can fluctuate substantially and are affected by numerous factors beyond the Company's control. Various forces including global supply and demand, interest rates, exchange rates, inflation or deflation, and global political, regulatory and economic conditions affect crypto assets. The Company may not be able to liquidate its inventory of digital assets at its desired price if required. A rapid decline in the market price for Bitcoin or any other crypto assets could negatively impact the Company's future operations. The Company has not hedged the conversion of any of its holdings of Bitcoin. Bitcoin has a limited history and the fair value historically has been volatile. Historical performance of Bitcoin is not indicative of its future price performance.
Crypto assets' 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 crypto assets, 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 of the Company's crypto asset inventory and thereby affect the Company's shareholders.
To the extent that other vehicles investing in coins or tracking crypto asset markets form and come to represent a significant proportion of the demand for coins, large redemptions of the securities of those vehicles and the subsequent sale of coins by such vehicles could negatively affect crypto asset prices and therefore affect the value of the inventory held by the Company.
Crypto asset trading platforms are relatively new and under heightened regulatory scrutiny and may be exposed to regulatory risk, fraud and failure
To the extent that crypto asset trading platforms are involved in fraud, are subject to enforcement prosecution for failure to adhere to regulatory requirements, or experience security failures or other operational issues, this could result in a reduction in prices of crypto assets.
The value of crypto assets depend, directly or indirectly, on the prices set on these platforms and other venues, which are new and under heightened regulatory scrutiny. This is due to the fact that during the past years, a number of crypto asset trading platforms have been closed or the subject of prosecution due to fraud, the failure to adhere to regulatory requirements, business failure or security breaches. In many of these instances, the customers of these closed platforms are not compensated or made whole for the partial or complete losses of their account balances. While smaller platforms are less likely to have the infrastructure and capitalization that provide larger platforms with additional stability, larger platforms may be more likely to be appealing targets for hackers and "malware" (i.e., software used or programmed by attackers to disrupt computer operation, gather sensitive information or gain access to private computer systems) and may be more likely to be targets of regulatory enforcement action. Such actions may adversely affect the Company, not only due to its effect on the price of various crypto assets, but because the Company's crypto assets may be custodied at various crypto platforms or venues from time to time.
The Company is subject to political and regulatory risk
Operations may be affected in varying degrees by government regulations with respect to, but not limited to, restrictions on price controls, currency remittance, income taxes, foreign investment, maintenance of claims, and environmental legislation.
On-going and future regulatory changes or actions may alter the nature of an investment in the Company or restrict the use of the Website in a manner that adversely affects the Company's operations. The effect of any future regulatory change on the Company or any exchange platform is impossible to predict, but such a change could be substantial and adverse to the Company.
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BlockMint Technologies Inc.
Interim Management's Discussion and Analysis - Quarterly Highlights
Three and Six Months Ended June 30, 2025
Dated - August 29, 2025
The trading of carbon tokens is a new market and subject to market and regulatory risk.
Further development and acceptance of the blockchain and algorithmic protocols governing the issuance of and transactions in carbon tokens is subject to a variety of factors that are difficult to evaluate.
The trading of carbon tokens, is part of a new and rapidly evolving industry that employs blockchain assets. The growth of this industry in general, and the trading of tokens credits in particular, is subject to a high degree of uncertainty, and the slowing or stopping of the development or acceptance of developing protocols may adversely affect the Company's operations. Limited user adoption of carbon tokens may result in increased volatility and/or a reduction in market prices, either of which may adversely impact the Company's business. The factors affecting the further development of the carbon token market, include, but are not limited to:
- continued worldwide growth in the adoption and use of carbon tokens;
- governmental and quasi-governmental regulation of carbon tokens and their use, transfer or restrictions on or regulation of access to and operation of the network or similar carbon token credits systems;
- the maintenance and development of the blockchain software protocol of the carbon token networks;
- the availability and popularity of other tradeable instruments that represent emission reductions or removals, including voluntary carbon credits; and
- general economic conditions and the regulatory environment relating to carbon tokens or carbon credits.
As relatively new products and technologies, carbon tokens and their underlying blockchain networks have not been widely adopted by major retail and commercial parties. Conversely, a significant portion of carbon tokens' demand is generated by speculators and investors seeking to profit from the short-term or long-term holding of carbon tokens. A lack of expansion of a market for carbon tokens 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 Company's business.
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