Liquid Meta Announces Second Quarter Results

By Louise Sommerfeld On Jan 14, 2022

Achieves quarterly revenue of US$188,229 and 96% gross profit margin and 76% gross profit margin including the loss on digital currency inventory and digital assets sold short
The average amount of liquidity supplied in Q2 was US$2,058,735
Average daily revenue was $2,068 in Q2
Subsequent to Q2, Liquid Meta deployed an additional $20 million of liquidity
Subsequent to quarter end, the Company recorded record daily revenue for a 24-hour period, generating $22,500

Liquid Meta Capital Holdings Ltd. (NEO: LIQD), a decentralized finance infrastructure and technology company, today announced the financial results for the three and six months ended November 30, 2021. All amounts are expressed in U.S. Dollars unless otherwise stated.

I am pleased to report that during the second quarter of fiscal 2022, Liquid Meta made substantial progress scaling our liquidity mining operations. During the quarter, Liquid Meta provided liquidity across 7 blockchains and to 20 Dapps (decentralized applications), generating consistent daily revenue and a 96% gross profit margin, despite elevated volatility in the crypto market.
Jonathan Wiesblatt, CEO

“Our priority for the current fiscal year is to drive the growth of our liquidity mining operation and ensure we are generating consistent revenue while reducing overall exposure to market volatility,” added Mr. Wiesblatt. “Although we are early in our journey, our second quarter results demonstrate the power of our model on the capital deployed. Since the beginning of our fiscal second quarter, we successfully raised in excess of US$22.0 million and are now almost fully deployed across a diversified number of layer one blockchains and decentralized applications. The increase in liquidity we have provided subsequent to quarter end is expected to drive significant revenue growth through the balance of the year.”

Liquid Meta is focused on the DeFi segment of the digital asset ecosystem through its Liquidity Mining business. Every time a transaction occurs within the liquidity pool, the protocol generates a service fee for the transaction, a portion of which is distributed to liquidity providers in the form of fees for providing a service to the protocol. Additionally, in some cases, liquidity miners can also earn protocol reward tokens by protocols and applications, which are offered as incentives and additional revenue generating opportunities for liquidity miners for interacting and providing liquidity to various protocols.

Second Quarter Financial Highlights (Three months ending November 30, 2021)
All amounts are expressed in U.S. Dollars unless otherwise stated

Achieved revenue of $188,229
Achieved gross profit of $180,563
Net loss of $104,930
As at November 30, 2021, the company had total assets of $25 million

Key Developments

On November 30, 2021, the Company announced it had completed a concurrent brokered and non-brokered private placement of subscription receipts for aggregate gross proceeds of US$19,999,880 and US$13,700 respectively
On December 13, 2021, Liquid Meta signed the amended and restated definitive amalgamation agreement in connection with the proposed business combination of 1287413 B.C. Ltd. and Liquid Meta, resulting in the reverse takeover of the company by Liquid Meta (the “RTO’)
On December 17, 2021, the Company closed the RTO
Subsequent to quarter end, on December 22, 2021, Liquid Meta began trading on the NEO exchange under the symbol LIQD
Subsequent to quarter end, Liquid Meta announced the addition of 3 new Board members
Subsequent to quarter end, the Company had record revenue of $22,500 for the 24-hour period ending January 6, 2022, despite extreme volatility in the underlying market
Liquid Meta has now deployed over US$20 million dollars across various blockchains, dApps and liquidity pools

Outlook

Over the next 12-months Liquid Meta will be focused on scaling its liquidity mining operation while advancing the development of tools and software products to onboard other pools of capital looking to monetize the growth of DeFi
Liquid Meta has now deployed greater than $20.0 million of liquidity across DeFi. The additional capital deployed is expected to produce daily revenue that will exceed the run rates produced in the Q2 results
Will focus on developing partnership opportunities to accelerate scaling our liquidity mining operation

Financial Statements and MD&A

Liquid Meta’s financial Statements for the quarter ended November 30, 2021 and Management’s Discussion and Analysis (the “MD&A“) for the three and six-months ended November 30, 2021 are available on SEDAR at www.sedar.com.

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