Abaxx Technologies (ABXX) Status Update summary

Strategic technology update

• Announced pilots for Abaxx Digital Title and US Dollar Trust Network, aiming to address legal finality, digital identity, and privacy in asset tokenization, with pilots starting outside the regulated clearinghouse in Q4 2024.

• Technology stack is built on three pillars: trusted digital identity (ID++), legal finality over ledger finality, and embedded privacy, enabling secure, compliant, and private asset transfers.

• The system is designed to unlock the collateral value of real-world assets, enabling real-time, legally enforceable global collateral and addressing inefficiencies in current collateral movement.

• Monetization will begin with SaaS licensing fees for access to Abaxx applications, with long-term revenue from transaction and network fees based on assets managed and transacted within the Abaxx Trust Network.

• The technology is positioned as a parallel, legally grounded alternative to blockchain, with a multi-year head start in privacy and legal enforceability.

Exchange and product development

• Abaxx Singapore operates as a recognized market operator and approved clearinghouse, with active trading in LNG, carbon, battery metals, and a new Kilobar gold contract generating daily volume.

• LNG Gulf of Mexico contract has achieved daily trading activity and the first calendar month spread, marking the formation of a physically backed forward curve.

• Gold futures have seen rapid growth, with average daily volume rising from 200 lots in June to over 1,000 lots in August, and an active forward curve across four months.

• Achieved the first ever physical delivery of a regulated exchange-cleared voluntary carbon contract, validating the end-to-end infrastructure.

• Ongoing onboarding of trading firms, brokers, and FCMs, with 29 trading firms and 14 inter-dealer brokers live, and expansion efforts focused on Asia, including a new Beijing office.

Business model and growth outlook

• The business model combines SaaS licensing for application access and network/transaction fees based on assets on network (AON), similar to custodial or interchange fees.

• Initial focus for digital title pilots is on gold and money market funds, with gold being more immediately within Abaxx’s ecosystem and money markets requiring external partners.

• The integrated strategy aims to create a self-reinforcing flywheel between technology and exchange operations, driving market share and unique product offerings.

• Growth is expected to accelerate as more firms onboard and new products launch, with significant inbound interest and a strong pipeline, particularly in Asia.

• Investor engagement is increasing, with support from major institutions and ongoing discussions for further capital and strategic partnerships.