Canton Strategic Holdings (CNTN) investor relations material

Executive summary

• Shifted strategic focus in late 2025 from biotechnology to a digital asset treasury strategy centered on acquiring and holding Canton Coin (CC) and supporting the Canton Network through validator operations and ecosystem participation.

• Achieved Super Validator status on the Canton Network, enabling CC rewards and digital asset treasury growth.

• Maintains two reportable segments: digital asset treasury and clinical-stage biotechnology, with the digital asset segment now dominating assets and operations.

• Enhanced leadership and board with experienced industry and regulatory professionals.

• Launched first commercial token locking solutions in April, creating new revenue opportunities.

Financial highlights

• Net loss for Q1 2026 was $47.3 million, compared to $2.5 million in Q1 2025, driven by increased stock-based compensation and unrealized losses on digital assets.

• Digital assets (CC) valued at $541.6 million as of March 31, 2026, up from $501.8 million at year-end 2025, with 3.68 billion CC held.

• Cash and equivalents increased to $41.5 million as of March 31, 2026, from $17.0 million at year-end 2025.

• General and administrative expenses rose to $36.6 million from $2.0 million year-over-year, mainly due to $32.1 million in stock-based compensation.

• No revenue recognized since inception, reflecting early-stage digital asset treasury focus.

Outlook and guidance

• Management believes liquidity is sufficient to fund operations and working capital needs through at least March 2027.

• Expects general and administrative expenses to increase as digital asset operations expand.

• Plans to expand partnerships and institutional adoption within the Canton Network ecosystem.

• Intends to drive value from CC holdings through lending, options, and vault markets.

• Focus on disciplined expense management and prioritization of value-accretive initiatives.