AIxCrypto Holdings, Inc.

Greetings. Welcome to AIXC full year 2025 earnings call. At this time, all participants are in a listen-only mode. If anyone should require operator assistance, please press star zero on your telephone keypad. Please note this conference is being recorded. I will now turn the conference over to Andrew Grossman, head of legal for AIXC. Thank you. You may begin.

Good afternoon, and welcome to the inaugural full-year 2025 earnings conference call of AIX Crypto Holdings, Inc. My name is Andrew Grossman, head of legal for AIXC, and I'll be your moderator today. Before we begin, please note that today's discussion may contain forward-looking statements within the meaning of U.S. federal securities laws. These statements involve risks and uncertainties that could cause actual results to differ materially. For a more detailed description of these and other risks and uncertainties, please refer to our filings with the Securities and Exchange Commission. I will now turn the call over to Jerry Wang, Co-Chief Executive Officer.

Thank you and greetings to everyone joining us today. Welcome to AIXC's inaugural earnings call for the full fiscal year ended December 31st, 2025. This is a milestone moment for AIXC. Our first earnings call as a fully transformed NASDAQ-listed company dedicated to build a world-leading ecosystem that integrates AI and blockchain while bridging Web2 and Web3. I want to take a moment to acknowledge what this company has accomplished in a very short period, and then lay out clearly where we are going. Fiscal year 2025 was a year of strategic repositioning and capital formation. The pivotal event was the completion in September 2025 of a 41 million private placement led by Faraday Future Intelligent Electric, Nasdaq FFAI, which is now our majority controlling shareholder. This transaction transformed our balance sheet and provided the capital foundation for the AIX crypto platform. we simultaneously rebranded from Collagen Therapeutics to AIX Crypto Holdings Inc. in November 2025 and assembled an entirely new management team effective October 2nd, 2025 to execute our new strategy. I want to be direct about Faraday relationship because I know it will be a topic of interest for investors. Fair to Future is our majority controlling shareholder. They led the pipe transaction. They have representation on our board. That relationship is disclosed fully in our 10-K. Our independent board members and audit committee provide oversights of all related party transactions, and the company's fiduciary obligations run to all shareholders. With that contest established, Let me explain the AIXC investment thesis on its own merits. While AIXC was completing its internal transformation, we also reached a historic inflection point in the macro environment. Throughout 2025 and early 2026, digital asset policy, particularly in the United States, has moved from ambiguity to clarity. The enactment of the Genius Act, which established a federal framework for stable coins, alongside the significant legislative momentum of the Clarity Act, marks the end of regulation by enforcement and the beginning of a new cycle of compliant growth. This regulatory tailwind has not only catalyzed a massive return of institutional capital, but also validated AIXC's compliance-first strategy. With market sentiment towards RWA tokenization and AI-driven digital finance reaching record highs, we're operating with a powerful macroeconomic wind at our backs. Against this backdrop of industry resurgence, AIXC has solidified a more focused and high Velocity Positioning. Regarding our positioning, AIXC is a U.S. listed company focused on the integration and deployment of AI agents and embodied AI eAI devices, building a three-layer ecosystem covering infrastructure, protocol device, and applications, connecting Web2 and Web3, enabling intelligent devices such as robots, smart vehicles, and drones to autonomously collaborate and transact through agents and driving the silicon-based economy from concept to reality. Specifically, our three-layer ecosystem architecture includes, first, infrastructure layer, defines on-chain identity, and settlement rules for machines, enabling each device to have an economic identity. Second, protocol device layer. Standardize the scheduling, collaboration, and transaction methods between agents and devices, covering the full spectrum from physical devices to virtual agents. Third, application layer supports users developers, and device manufacturers to directly build and use agent services. Our strategy focus on the AI agent and EAI ecosystem. Our core strategy is to focus on the AI agent and EAI ecosystem. AIXC leverages its unique advantage at the intersection of hardware, blockchain, and public company compliance to build decentralized infrastructure for collaboration, settlement, and data ownership between machines and AI agents with the goal of becoming a foundational standard setter in the era of AI and the crypto economy. Specifically, we execute this strategy first by establishing an open source and open developer platform to build a more efficient and comprehensive AI agent and EAI ecosystem. Second, by generating revenue through the RWA business. Why is this strategy? First, strategic alignment and a clear commercialization path. This direction is highly aligned with our core capabilities and partner ecosystem, including FFAI, offering the clearest path to compliant deployment and institution participation while also providing the most direct route to commercialization. Second, positioning in AI and crypto infrastructure level opportunities. By focusing on machine identity, machine settlement, and agent protocols, we have the potential to become a next generation TCP IP-like foundational standard setter. At the same time, the combination of hardware Protocol and public company structure forms a unique competitive advantage in the industry. Third, fully leverage the technological hardware advantages and accumulated strengths of the controlling shareholder FFAI. Fourth, rapidly generate high margin revenue by creating real-world value. What this means for shareholders? First, we have a clear revenue path. AI agent service fees, RWA tokenization fees, platform servers, and the device data marketplace are all monetizable business lines with existing devices and users already on the platform. Second, significant network effects. Each additional connected device and each new developer building on agent store increases the value of the entire ecosystem for all participants. Third, strong compliance advantages. As a U.S. listed company with an SEC reporting framework, AIXC enables institutional capital to participate in an environment of tightened global digit asset regulation, which is not possible with offshore protocols. Fourth, a trillion dollar market opportunity. AI devices, autonomous driving, robotics, and IoT together represent a trillion dollar market. We're building the infrastructure with growth scaling alongside the network. The macro environment fully supports our strategy. I will explain from four dimensions. First, Explosion of the AI agent and EI market. The global AI agent market is currently about 7 billion and is expected to exceed 47 billion by 2030 with a compound annual growth rate of nearly 45%. Embodied AI is rapidly entering the physical world and the large-scale deployment of devices such as robots, smart vehicles, and drones is providing entirely new real-world scenarios for AI agents. Second, rapid growth of blockchain. The adoption of blockchain across industries is accelerating, growing from approximately 41 billion in 2025 to about 1.9 trillion by 2034, with a compound annual growth rate exceeding 50%. Institutional interests continue to rise, with surveys showing more than 70% of the institutions are adopting or planning to adopt blockchain for supply chains, payments, and data systems. Third, rapid expansion of RWA. The on-chain RWA market has grown to over 20 billion in 2025, representing more than 300% growth over three years, with some forecasts suggesting tokenized assets could reach tens of trillions within a decade. Fourth, recent policy tailwinds and anticipated regulatory support. Regulatory certainty has significantly improved with the SEC clarifying token clarification under the new leadership of the new chair, substantially reducing industry compliance uncertainty. NASDAQ is advancing a pilot for tokenized securities, making that on-chain technology is beginning to integrate into core trading and clearing systems. Each of these four markets is growing at an extremely high rate. While there is almost no competition in the intersection between them, AIXC is positioned exactly at this intersection. Regarding our competitive positioning, AIXC's competitive differentiation is built on four core advantages that are difficult to replicate. First, cross-sector advantage. We're simultaneously positioned across AI, RWA, and crypto infrastructure, while most competitors focusing only a single direction. Second, real-world hardware entry point. Through collaboration with Faraday Future, we obtained real data sources from the electric vehicle and robotics ecosystem, providing critical data support for embodied AI. Third, compliance and institutional advantage. As a U.S. listed company with an SEC disclosure framework, we provide a compliant participation pathway for institutions amid tightening global digital asset regulation. Fourth, team advantage. Our team combines both Web2 and Web3 experience while also closely collaborating with the EAI professional team from our strategic partner, FFAI. Strategic partnerships and recent milestones. Overview. The company is advancing simultaneously across four dimensions, business, finance, capital, and systems. On the business side, a strategic upgrade has been carried out, initially completing the design and preliminary implementation of the three-layer architecture of the AI agent and EAI ecosystem. Financially, the company remains in the investment phase with a focus on ensuring resource allocation and capacity building. On the capital side, maintaining prudent capital objectives while promoting long-term shareholder value growth on the system side building management and compliance frameworks to ensure standardized efficient and sustainable overall operations regarding business progress first development of the ai agent and ei blockchain ecosystem we completed the initial strategic planning of the AI agent and EAI ecosystem together with AIXC foundation and completed the planning and initial setup of the AI agent and EAI ecosystem including application layer complete the early stage build of AIXC hub and general AI agent ecosystem applications protocol device layer built the foundational platform for on-chain robotic EAI devices, and infrastructure layer completed planning of the technical direction. In terms of AI agents, we are advancing along three tracks. First, the product layer, building AI agent to serve enterprise and individual users, solving real efficiency problems. Second, The protocol device layer, building a full stack agent protocol based on ERC8004, including identity, capability, reputation, task coordination, and resource allocation, enabling autonomous agent transactions. Third, embodied intelligence integration, connecting hardware such as robots and smart vehicles leveraging real-world data and frameworks such as OpenClaw to enable autonomous decision-making and execution. The AIXC Hub platform was launched on January 7, 2006, serving as the core entry and interaction platform for the AIX crypto ecosystem and positioned as a behavioral data engine for training embodied intelligence models. As of March 2026, AIX C-Hub has exceeded 5.8 million registered wallets and 1.39 million daily active participants, laying a solid foundation for the next phase of business revenue. The next phase focuses on achieving commercialization in 2026. Second, advancement of RWA business. RWA is the first business line we are bringing to market in 2026. with two tracks advancing in parallel. Equity tokenization. Deployed 10 million in February 2026 into FFA stock, which the AIXC ecosystem intends to explore as an underlying asset for future on-chain equity tokenization frameworks. This transaction has been revealed and approved by the audit committee as a really party transaction. Real estate loan tokenization. Established a strategic partnership with Pinnacle Real Estate Group, aiming to build the first end-to-end online real estate loan ecosystem, improving the liquidity and execution efficiency of loan assets and sharing returns. Third, strategic partnerships with BitMart. Launched a co-branded prepaid card, enabling real-world daily consumption use cases for crypto assets. BMART is a top 20 global cryptocurrency exchange with over 12 million registered users. We partnered with BMART to launch a co-branded virtual prepaid card, allowing users to use digital assets for everyday shopping and online payments. This is our first product extending Web3 capabilities into real-world consumption scenarios. SEI Foundation partnered with a high Performance Layer 1 to support EAI, D-Ping, and real-time on-chain application deployment. SAI is currently the fastest EVM Layer 1 blockchain with sub-second finality. We have established a strategic technology partnership with the SAI Development Foundation, with SAI providing high-performance blockchain infrastructure support, for the AIX Crypto, Mobility, and EAI Robotics ecosystem. Fourth, progress in system development. From the fourth quarter of 2025 to the first quarter of 2026, we completed the following ecosystem development. First, undertook the build-out of a professional management team across Web2 and Web3 domains. Second, commenced establishing governance compliance, and financial system aligned with NASDAQ-listed company standards. Third, began build a scalable and standardized operational foundation. 2026 Execution Priorities Outlook Strategic Outlook Looking ahead, our strategic direction can be summarized in four points. First, Cross-domain non-consensus opportunity. Focus on the key intersection of AI plus blockchain plus real-world industries. Second, clear strategic blueprint. Establish AIXC integrated infrastructure as a core growth path. Third, execution focus. drive user scale, deepen application scenarios, and bridge the critical connection between physical and digital economics. Fourth, build a bridge between Web2 and Web3, connecting AI agents and EAI. Business Outlook. Our overall goal is to complete the phase development and implementation of the AI agents and EAI ecosystem launch an open platform for EAI online ecosystem applications, advance the implementation of RWA business, and establish standardized development capabilities, and drive all products and services to reach monthly active user MAU of 100,000, not including AIXC hubs. First, development of the AI agent and EAI blockchain ecosystem. The three-layer architecture of the AI agent and AI ecosystem is the underlying framework supporting the operation of the silicon-based economy. The first step is to build an ecosystem centered on the agent economy. For it to truly run, underlying infrastructure is required. AIXC provides the foundation for collaboration and value exchange between machines and between agents. through our three-layer protocol ecosystem. Role of Faraday Future. As the controlling stockholder and first strategic partner, FF has entered into a collaboration with AIXC to bring real-world hardware scenarios, including smart vehicles and robotics, into the protocol network for validation and iteration from day one. Open ecosystem strategy. The protocol is open to the entire industry and any robotics, smart vehicle, or IoT manufacturer can connect to the AIXC ecosystem to participate in the on-chain economy. There is already a first validator and more participants will continue to join in the future. In terms of specific AI agent business, we have two major entry paths. General AI agent products targeting both consumer and enterprise scenarios, such as financial assistance, consumer service automation, supply chain coordination, and content generation, focusing on solving real efficiency pain points and having direct monetization capability. Second, connecting AI agent capabilities with embodied intelligent devices, eAI. equipping robots with the brain, enabling robotic arms in factories to decide whether to procure parts, allowing warehouse robots to coordinate delivery plans with logistic systems, and enabling each AI device to evolve from executing instructions to autonomous decision-making. This direction opens up an entirely new market, and currently no company is scaling in this capacity globally. Our revenue model is built across three primary streams. Agent service fees as direct revenue, platform and ecosystem transition commissions as intermediate revenue, and on-chain digital ID and reputation systems as the identity and trust infrastructure supporting the network. Over the long term, value is driven by network defects, data accumulation, protocol standard setting power, and ecosystem aggregation, positioning AIXC with structural advantages at the infrastructure layer. Strategically, we operate with a dual positioning. as a US-listed company providing institutional investors with a compliant entry point into the convergence of AI and crypto, and as an early ecosystem builder responsible for protocol design, infrastructure development, and initial network growth. As the ecosystem matures, governance and operations will progressively transition on-chain expanding participation across developers, users, and connected devices. This creates two reinforcing value curves, one in traditional capital markets driven by revenue growth, institutional adoption, and compliance positioning, and the other in the on-chain network economy driven by protocol usage, ecosystem activity, and network scale. Together, These dynamics form a compounding growth model. Second, open platform for EI ecosystem applications. The phased objective of the open ecosystem platform is based on the initial user scale formed by the front-end software to systematically open up the capabilities across our three-layer structure. Through unified APIs, SDK, and protocols, It connects the full chain of device data computing power, gills, on-chain finality, lowers the barriers to development and integration, attracts the first batch of developers and partners to co-build the ecosystem, and establishes an open platform system which coordinated growth among users, developers, and the resource supply side. Third, RWA business. In the RWA sector, we're advancing along two tracks. First, dual track advancement of RWA. In terms of asset class expansion, starting with real estates and equity tokenization, we will gradually expand to the equipment assets and data assets. Each new asset class introduced enhance the generally of the protocol device layer. In terms of efficiency restructuring, we're not only putting asset on-chain, but also reshaping traditional RWA processes through AI agents, which is our core differentiation. Second, AI-driven process optimization. Traditional RWA processes, such as real estate loans, rely on manual work involving multiple steps, such as credit review, asset evaluation, and legal review, resulting in long cycle and high costs. AIXC intends to significantly reduce time and labor costs by introducing AI agents to deeply participate in review and decision making. At the same time, it empowers industrial participationers, such as real estate agents, by enhancing their efficiency and decision making capabilities through AI agents achieving a multiplication of productivity. Strategic significance. AIXC is not only an RWA tokenization platform, but also is building the efficiency infrastructure layer for the RWA industry, establishing long-term differentiated competitive advantages through AI capabilities. System development outlook. Build the internal control and management system to achieve full AI integration. First, establish our internal management system on a compliant basis, promoting deep collaboration of AI across business, organizational, and management systems. Second, promote large-scale deployment of AI in core scenarios, achieving quantifiable value improvement in business efficiency, human-machine collaboration within organizations, management decision making, and risk control. Third, upgrade AI into a core productivity engine, evolving from a normal tool into a key capability, participating in decision making, continuously driving growth, risk control, and innovation. Fourth, comprehensive AI systemization effectively improve business efficiency under the premise of security and compliance. With that, I'll now turn the call to Cody, our CFO.

Thank you, Jerry. Good afternoon, everyone. I will briefly review our financial highlights and capital position. As of December 31st, 2025, the company reported approximately $31 million in total assets, including approximately $19 million in cash and cash equivalents and total liabilities of approximately $3 million, resulting in shareholders' equity of approximately $28 million. This balance sheet provides sufficient liquidity to support our continued investment in digital asset and AI-enabled infrastructure initiatives. 2025 was a year of business transformation. During the year, we strengthened our capital position through financing activities that generated approximately 42 million in proceeds, supporting the company's transition toward digital asset platform development and related technology initiatives. In addition, the company began building its digital asset treasury, which as of year end included holdings across several major cryptocurrencies with a fair value of approximately 10 million as disclosed in our 10K. These assets represent the initial foundation of our digital asset treasury strategy. and support our programmable infrastructure platform initiatives. Net cash used in operating activities was $6,951,458 for 2025 compared to $6,327,503 in 2024. The operating burn reflects the transformation period, G&A costs, partially offset by improvements in working capital. Our path to profitability is grounded in a clear and deliberate progression. First, scaling revenue, then normalizing costs, and ultimately realizing operating leverage. On the revenue side, profitability is anchored in EAI and AI agent-enabled blockchain and RWA activity. We prioritize use cases where AI agents directly reduce time, labor, or processing costs, creating a clear willingness to pay. Revenue is generated through agent service fees transaction-based commissions, and infrastructure-level services, including on-chain identity and reputation systems. Importantly, these revenue streams scale with usage and transaction volume rather than headcount. Structurally, our EAI RWA three-layer architecture enables standardized onboarding, verification, and finality. This standardization is critical as it supports higher transaction volumes while reducing marginal cost per transaction, which is the primary source of operating leverage. On the cost side, 2025 reflected elevated spending related to organizational build-out, compliance, and platform readiness. As we move through 2026, these transition-related costs are normalizing. We are operating with a leaner, more stable cost base with capital allocated only to initiatives that have a clear near-term path to monetization. profitability, therefore, is driven by increasing transaction activity, improving unit economics, and disciplined cost control. Based on our current operating plan and disciplined capital allocation, we believe our existing liquidity provides sufficient runway to execute against our strategy while progressing toward a more balanced operating and cash flow profile. I will now turn the call back to Jerry for closing remarks.

Thank you, Cody. I will summarize our strategic direction and execution priorities in three sentences. First, lock in the strategy at the three major intersections. We focus on the integration of AI, blockchain, and real-world industrials establishing a differentiated growth path. Second, build the AIXC infrastructure blueprint. Transform non-consensus opportunities into a high-certain integrated infrastructure strategy. Third, focus on scaling and scenario deployment. Drive user growth, deepen application scenarios, and bridge physical assets with the on-chain digital economy. We have successfully completed 41 million in capital raising, assembled a new leadership team, built a platform with over 5 million registered wallets, and made our first 10 million RWA investment in fairly future. We have established strategic partnerships with Zay Network, BitMart, and Pinnacle Real Estate. This represents a significant amount of execution completed in approximately four months. We believe that by building a three-layer ecosystem integrating AI agent and embodied AI, we're strongly positioned to become the first AI-focused US-listed company connecting Web2 and Web3. We commit to quality transparency, reporting according for the KPIs described by Cody, and disclosing all material developments and relate to our relationship with Faraday and other related parties' transactions every 90 days.

Thank you, Jerry. We will now move on to the Q&A section. Question one. What are the opportunities you see on your blockchain and crypto strategy considering current relatively weak crypto trading and high volatility environment?

We view the current environment characterized by elevated volatility and soften near-term trading volumes in spot crypto markets as a structural tailwind for our specific strategy, not a headwind. Let me explain why. First, our model is infrastructure-driven, not trading-driven. AXC does not generate revenue from crypto trading spreads, token specialization, or exchange volume. Our revenue model is built on platform licensing fees, RWA structuring and transaction fees, and ecosystem participation revenue derived from the AXC hub. These revenue streams are tied to on-chain activity, asset tokenization through output, and platform usage, none of which are directly correlated to spot price movements. Volatility in Bitcoin or Ethereum does not structurally impair our business model. Second, volatility accelerates institutional demand for compliant, yield-bearing RWA alternatives. When crypto markets are turbulent, institutional capital does not disappear. It rotates. It moves from speculative positions towards tokenized real assets that offers clearer cash flows. legal enforcement ability, and on-chain execution transparency. That is precisely the product AIXC is building. Our initial RWA implementation, the equity tokenization of FFAI shares, and our partnership with Pinnacle Real Estate Group are designed to capture that rotation. Third, regulatory clarity is arriving at exactly the right moment. The legislative progress of the Genius Act establishing a federal stablecoin framework and broader momentum toward digital asset market structure legislation means that institutions that were waiting on the regulatory sidelines are now clear to engage. AIXC's compliance-first positioning as an asset listed SEC reporting company places us ahead of offshore protocols. that cannot serve this demand. In summary, wave trading environments filter out speculative participants and leave behind builders. While building compliant, AI enabled infrastructure for the next wave of institutional adoption. The short-term noise in crypto markets does not change our thesis. It validates the need for what we're building.

Question 2. Why did you invest $10 million in Faraday Future stock? Isn't that a conflict of interest?

The $10 million investment in Faraday Future Class A common stock serves two purposes. First, it is the foundational proof of concept for exploring how listed equity instruments could be utilized on-chain within our RWA tokenized equity product ecosystem. Second, It deepens the strategic connectivity between AIXC's digital infrastructure and Faraday's EV and robotic ecosystem. This transaction was subject to full audit committee review and approved as a related party transaction. Independent directors reviewed and approved it in accordance with their fiduciary duties to all AIXC shareholders.

Question 3. When does AIXC expect its first revenue?

Our planning assumption is that initial revenue contributions will begin in Q3 2026 with RWA tokenization and fee as the primary initial source, including fees from our real estate partnership with Pinnacle and future tokenized equity transactions. Revenue from AI agent services and the broader EAI ecosystem is expected to follow as the ERC8004 protocol platform reach commercial readiness. We will provide a more specific update when we report Q1 2026 results.

This concludes today's AIXC earnings call. Thank you for your time and participation.

Thank you. This does conclude today's conference. You may disconnect at this time.