USBC (USBC) investor relations material

Executive summary

• Strategic pivot to digital asset banking and tokenized deposit solutions, with ongoing development of a blockchain-based deposit platform and divestiture of legacy sensor technology business on March 27, 2026.

• No operating revenue generated in the six months ended June 30, 2026, as focus remains on platform development and integration with banking and technology partners.

• Significant investment in product development, partnerships, and infrastructure, including collaboration with Vast Bank and Uphold for the tokenized deposit program.

• Implementation of a Bitcoin treasury strategy, including option trading, to generate yield and support operations.

Financial highlights

• Net loss of $46.3 million for the six months ended June 30, 2026, compared to $5.1 million for the same period in 2025.

• Operating expenses rose to $28.1 million for the six months ended June 30, 2026, driven by $10.4 million in non-cash stock-based compensation and $9.3 million in tokenized deposit program development costs.

• $29.7 million non-cash unrealized loss on digital assets due to Bitcoin price decline.

• Income tax benefit of $12.0 million recognized, primarily related to digital asset fair value changes.

• Cash and cash equivalents of $3.0 million as of June 30, 2026; working capital of $(15.4) million.

Outlook and guidance

• Management expects continued operating losses as investment in the tokenized deposit platform continues.

• Liquidity is expected to be supplemented by additional financing, Bitcoin sales, or collateralized loans.

• Management believes current liquidity and digital asset holdings are sufficient for at least 12 months.

• Future revenue anticipated from financial technology network services post-commercial launch.