Norwegian Block Exchange (NBX) H1 2024 earnings summary

Executive summary

• NBX experienced significant growth in H1 2024, with trading volumes and revenues from trading tripling year-over-year, driven by favorable crypto market conditions and new product launches.

• Key milestones included obtaining an e-money license, launching The Mint (a tokenized gemstone marketplace), and becoming the European issuer of the USDM stablecoin.

• The NBX Visa credit card, featuring up to 4% Bitcoin cashback, gained traction and is expected to be a future profitability driver.

Financial highlights

• Total operating income rose 97% to MNOK 6.6 compared to H1 2023, with strong contributions from staking, tokenization, and cybersecurity services.

• Operating expenses increased by 4%, mainly due to higher data leasing, legal, and credit card program costs, but were partially offset by labor cost savings.

• Net result before tax improved by 13.5% year-over-year, despite higher financial expenses from convertible loan interest.

• Operating profit for H1 2024 was MNOK -9.6 (MNOK -9.5 for NBX, MNOK -0.112 for NBX Capital).

• Cash holdings increased slightly, with continued investment in R&D and platform infrastructure.

Outlook and guidance

• NBX aims to leverage its e-money license and MiCA compliance to expand services across Europe and transition toward becoming a digital asset bank.

• The NBX Visa credit card and USDM stablecoin issuance are expected to be key revenue drivers.

• Continued focus on product innovation, platform growth, and regulatory adaptation is anticipated.