New Year Developments

Dear <<First Name>>,

Dominic Frisby here, President and CEO of Cypherpunk Holdings.

I'm writing today, as well as, of course, to wish you a happy new year, is to update you on what has been going on at Cypherpunk Holdings this last month or so.

You might have noticed the exceptionally high volume in Cypherpunk Holdings stock that traded in December. Roughly 25 million shares - representing almost 28% - of the company changed hands. 

Let me explain what was going on there.

When I became CEO of Cypherpunk Holdings last November, we had two legacy shareholders who between them owned over 20 million shares. They had invested in the company before its change of focus to a privacy tech investment vehicle Cypherpunk Holdings and, given their investment was made for different reasons, had, for almost a year, been wanting to exit their positions. However, there was insufficient liquidity to enable them to do so.

My first major task on becoming CEO in November was to deal with this situation. To drum up some interest in the company, I made several phone calls, had some meetings and something seems to have worked, judging by the number of shares that were traded over the course of the month, including two large blocks.

So we start the new decade with something of a spring in our stride, roughly 25% of the company newly-owned, and some great new strategic investors/partners.

Among our new investors was international poker champion, Antanas Guoga, who you might know as Tony G. Something of a polymath, Tony was a Member of the European Parliament, and, as a child, the Lithuanian Rubik’s Cube champion. He is a highly successful entrepreneur and investor, especially in the crypto space. I am delighted to welcome him as an investor. He will make a great strategic partner for us.

In addition, I welcome former stockbroker and FT journalist, Malcolm Burne. Malcolm is a true veteran of financial markets, having had numerous executive roles at listed companies. He is the founder and chairman of fund, Golden Prospect Precious Metals, is a director of trading platform, JP Jenkins, and a key advisor to Arlington Group Asset Management. His advice will be invaluable as Cypherpunk moves forward.

We have also secured a strategic investor at a leading Canadian brokerage.

In addition, you’ll note that existing directors also made considerable purchases. According to reports filed on SEDI, Blaise Yerly bought 3.25 million shares, taking his total holding to 7.5 million. Marc Henderson bought 1.85 million, so he now owns 7.15 million shares in total. I myself bought a million shares, and Moe Adham, our CIO, bought half a million, taking our respective holdings to 1.39 million and 619,000. Together with Laramide (LAM.TO), of which Marc is President, management now owns over 25% of Cypherpunk’s stock. We have, as Nassem Taleb would say, skin in the game. 

You may also have noticed that we have a new website. The designer and I worked hard on this in December, getting it as streamlined and investor-friendly as possible. Let us know what you think.

Looking forward to 2020, the Investment Committee has numerous opportunities we are currently evaluating, and we will be looking to make some new investments. In addition, I will in time be taking steps to start marketing Cypherpunk Holdings. I want to make sure certain conditions are in place before I do, however, so that will not start straight away. the first step in that process was to tidy up the website. Watch this space. 

At present we are still trading at a discount to NAV. Eventually, I want to see this company trading at a premium that reflects the extraordinary management we have on the investment committee, the early stage deals we are able to get access to and the first-mover advantage we have in what is set, we believe, to be one of the narratives of the next decade in technology: privacy.

There is a long way to go to get that point, but, oh my goodness me, we are in a much better place than we were a month ago.

Thank you for your interest in Cypherpunk Holdings Inc.

Here’s to a great decade.

Happy new year.

Dominic Frisby
President and CEO