Abaxx Technologies (ABXX) 17th Annual Southwest IDEAS Conference summary

Business overview and strategy

• Focuses on building a full-stack commodity exchange and clearing house, emphasizing physical delivery and solving inefficiencies in commodity trading markets.

• Operates out of Singapore, with global reach and a team of experienced industry professionals from major exchanges and banks.

• Launched the world's first physical LNG futures contract, as well as contracts for battery metals, gold, and voluntary carbon credits.

• Business model centers on transaction fees from trading and clearing, with future plans for data and technology services.

• Aims to become a benchmark for new commodity markets, targeting significant growth in average daily volume over the next several years.

Technology and innovation

• Developed a proprietary, fully cloud-native and blockchain-integrated tech stack, enabling real-time collateral movement and digital asset title transfer.

• Technology addresses legal finality, identity, and privacy issues that hinder institutional adoption of blockchain in commodities.

• Pilots for real-time gold repo, money market fund transfers, and supply chain collateralization are set to launch, with demos starting December.

• SaaS and revenue-sharing models will be used for technology monetization, with the exchange as the first customer.

• Strategic partnerships, such as with MineHub, extend technology use to supply chain finance and asset tracking.

Market positioning and competitive landscape

• Competes with global commodity exchanges like CME, ICE, HKEX, SGX, and Deutsche Börse, but focuses on markets where incumbents lack new product development.

• Competitive advantage lies in deep commodity expertise, regulatory breakthroughs, and a purpose-built tech stack for institutional needs.

• Most investors currently value the business for its exchange, with technology seen as a long-term growth option.

• Targets a $5 billion market cap by scaling to a million contracts per day, with significant upside as volumes and technology adoption grow.

• Educational outreach, including the "Smarter Markets" podcast, supports market understanding and adoption.