OLB

• Increased baseball teams with technology, adding 3 more teams in baseball and entertainment.
• Started building in-house sales team for bodega distributions, with around 1,800 distributions out of 32,000.
• Acquired Black011 in June 2023, leading to increased salaries due to more employees.
• Legal expenses related to FFS and Clear Fork Bank case, SG&A increased from bank fees on FFS portfolio, impairment of FFS portfolio due to shutdown in Q1 2024.

• Anticipate dividend distribution before or by the second quarter related to the spin-off of DMINT.
• Plan to stabilize the company in Q1 2024.
• Aim to utilize 700 unused mining rigs once electrical work is completed.
• Expect good growth on the payment side, including expanding into normal payment pieces and leveraging baseball stadiums as entertainment venues.

In 2023, OLB's revenue was $30.6 million, a 0.7% increase from $30.4 million in 2022, remaining essentially flat year-over-year. Operating expenses rose to $54 million from $39 million in 2022. The net loss was $23.3 million (vs $8.2 million in 2022) and net loss per share was $0.65 (vs $0.56 in 2022). Segment-wise, legal expenses increased due to the case with FFS and Clear Fork Bank, SG&A rose from bank fees related to the FFS portfolio, salaries went up from hiring after acquiring Black011 in June 2023. Impairment of the FFS portfolio was a significant expense, making up close to 60% of the loss. Revenue contribution was basically flat with a 0.7% year-over-year increase.

• Ongoing legal case with FFS and Clear Fork Bank, including discovery and potential trial by end of 2024 or spring 2025.
• Impairment of FFS portfolio due to shutdown, leading to significant write-off.
• Legal expenses rising due to the ongoing litigation process.

Q: You gave guidance around the mid spin-off third quarter or fourth quarter of last year.

A: Process is lengthy, on second round of SEC comments, completed audit financials for '21, '22, '23 to be filed, planning to give pro rata dividend to shareholders before second quarter results.

Q: Does the company plan to raise more capital, whether the reverse split occurs?

A: Trying not to raise more capital until spin-off is complete, planning to buy shares to increase share value.

Q: Why do 700 rigs not utilized?

A: Plan to utilize them once electrical work is completed.

Q: How much is the counter claim with FFS?

A: Claiming full recession of $16 million paid, FFS claiming $4 million for 2 last payments due to breach of contract and fraudulent transactions.

Q: Breakdown of mining costs?

A: Majority of mining costs are electricity, cost to mine 1 Bitcoin around $20,000-$21,000 while price is around $65,000.

Q: What do you expect after reverse split?

A: Hope price doesn't drop beyond bottom, Bitcoin price decent, spin-off of DMINT would add value to shareholders.

Q: Related to record date announced by August?

A: At mercy of SEC, wrapped up this week, expecting light comments after, looking forward to record date and releasing S-1 to public