Core Viewpoint - Metalpha Technology Holding Limited has appointed Mr. Pengyuan Fan as the new Chief Financial Officer, effective November 28, 2024, marking a significant leadership change aimed at enhancing the company's financial strategy and growth in the digital asset sector [1][3]. Company Overview - Metalpha Technology Holding Limited, founded in 2015, went public on October 20, 2017, and focuses on providing investing and wealth management services through an institutional-grade platform [4]. - The company aims to lead in crypto wealth management services, emphasizing innovation and transparency for its customers and businesses [4]. Leadership Transition - Mr. Pengyuan Fan brings over 15 years of experience from notable firms including Royal Bank of Scotland and UBS, and holds degrees from the University of Cambridge [2]. - Mr. Xiaohua Gu, the previous CFO since 2016, is stepping down voluntarily to pursue new opportunities, with the transition being amicable and both parties committed to Metalpha's success [3].

Core Insights - Metalpha Technology Holding Limited reported significant growth in its financial performance for the fiscal year ended March 31, 2024, with a total notional amount of derivative products reaching approximately US$1.56 billion, a 406% increase from US$382 million in the previous fiscal year [1] - The company's income from its wealth management business surged by about 195%, increasing from US$5.7 million in Fiscal Year 2023 to US$16.8 million in Fiscal Year 2024 [3] - Gross profit also saw a substantial rise of 180%, growing from US$2.0 million in Fiscal Year 2023 to US$5.6 million in Fiscal Year 2024 [3] Financial Highlights - Total notional amount of derivative products: US$1.56 billion in Fiscal Year 2024, up from US$382 million in Fiscal Year 2023 [1] - Income from wealth management business: US$16.8 million in Fiscal Year 2024, compared to US$5.7 million in Fiscal Year 2023 [3] - Gross profit: US$5.6 million in Fiscal Year 2024, an increase from US$2.0 million in Fiscal Year 2023 [3] Company Overview - Metalpha Technology Holding Limited, founded in 2015, went public on October 20, 2017, and focuses on providing investing and wealth management services through an institutional-grade platform [5] - The company aims to lead in the crypto wealth management sector, emphasizing innovation and transparency for its clients [5]

Financial Performance - Income from wealth management business increased to $16.8 million for the fiscal year ended March 31, 2024, up from $5.7 million in 2023 and $122,711 in 2022[56] - For the fiscal year ended March 31, 2024, income from wealth management services increased significantly to $16.8 million, up from $5.7 million in the previous fiscal year, representing a growth of approximately 194.7%[142] - The net fair value change in digital assets for the fiscal year ended March 31, 2024, was $16.8 million, compared to $5.7 million for the fiscal year ended March 31, 2023, indicating a substantial increase[114] - The company recorded a net loss of $20.2 million for the fiscal year ended March 31, 2023, compared to a net loss of $14.4 million for the fiscal year ended March 31, 2022[150] - The company recorded a net loss of $3.7 million for the fiscal year ended March 31, 2024, a significant improvement compared to a net loss of $20.2 million for the fiscal year ended March 31, 2023[163] - The cost of income for continuing operations rose from $3.7 million in the fiscal year ended March 31, 2023, to $11.1 million in the fiscal year ended March 31, 2024[115] - General and administrative expenses remained stable at $4.3 million for the fiscal year ended March 31, 2024, compared to $3.5 million for the fiscal year ended March 31, 2023[120] - Net cash used in operating activities for continuing operations was $11.6 million for the fiscal year ended March 31, 2024, primarily due to a loss before income tax expense of $3.7 million and adjustments for non-cash items totaling $18.4 million[168] Assets and Investments - The Fund's total assets under management reached $61.3 million as of March 31, 2024, following a $5.0 million anchor investment in May 2023[57] - The total fair value of digital assets as of March 31, 2024, was $126,468,184, with a total of $168,851,387 in fair value level 1 measurements[179] - The company plans to diversify its investment portfolio and reduce risks through new deals in digital assets and related derivative contracts[146] Business Strategy and Operations - The company formed a joint venture, NOWLIT FinTech Solutions Corp., in Canada to expand its digital asset business presence in North America[53] - LSQ Capital Limited obtained a Type 1 license from the SFC in April 2024, allowing it to provide securities and virtual assets dealing services[84] - The company focuses on providing structured derivative products to institutional investors and high-net-worth individuals, aiming to mitigate risks associated with cryptocurrency volatility[83] - The current business strategy emphasizes catering to large institutions and high-net-worth individuals within the cryptocurrency sector[59] - The company aims to enhance its market reach by keeping up with the fast-paced evolution of the digital currency and web3 industries[59] - The company has established a wholly owned subsidiary, LSQ Investment Limited, in Hong Kong to support its business operations[52] Clientele and Shareholder Information - The company’s clientele for wealth management services consists of institutional investors and high-net-worth individuals, with a focus on acquiring new customers to maintain business growth[140] - Antalpha holds 9,250,000 Ordinary Shares, representing 22.2% of the total Ordinary Shares and voting power[210] - As of March 31, 2024, the company had digital assets payables of $2.9 million to Antalpha, a significant shareholder and customer[213] - As of March 31, 2023, the company had payables to customers of $5.2 million to a substantial shareholder[215] Employee and Corporate Governance - The company has 19 full-time employees as of March 31, 2024, a decrease from 49 employees in 2022[132] - The board of directors consists of nine members, including five independent directors[201] - The compensation committee is responsible for reviewing and approving the compensation structure for directors and executive officers[226] Future Plans and Dividends - The company does not anticipate paying cash dividends in the foreseeable future, intending to retain earnings for business expansion[220] - The company intends to fund future capital expenditures with existing cash balances and cash flow from operating activities, although capital expenditures were nil for the fiscal years ended March 31, 2022, 2023, and 2024[171] Regulatory and Market Considerations - The VASP licensing regime under the AMLO Amendment came into effect on June 1, 2023, which may impact the company's operations in the digital asset market[129] - The company has no direct exposure to FTX or other cryptocurrency companies, but acknowledges that market volatility may impact operations and financial condition[174] Share Issuance and Incentives - The board of directors approved the 2024 Share Incentive Plan, allowing for the issuance of up to 2,000,000 Ordinary Shares, effective October 12, 2024[188] - The company has reserved an aggregate of 3,300,000 Ordinary Shares for its 2022 Performance Incentive Plan, all of which have been issued as of the date of the annual report[198] - The company issued 4,100,000 Ordinary Shares to LSQ Investment Fund for an aggregate purchase price of $4,100,000 in November 2021[224] Derivative Products - For the fiscal year ended March 31, 2023, the aggregate value of derivative products entered with related customers was approximately $9.5 million, with $4.9 million expiring[215] - For the fiscal year ended March 31, 2024, the aggregate value of derivative products entered with Antalpha is approximately $139.4 million, while the derivative products expired to Antalpha amount to around $154.1 million[232] - The aggregate value of derivative products entered with related customers for the fiscal year ended March 31, 2024, is about $59.2 million, with expired derivative products totaling approximately $64.8 million[233]

Core Viewpoint - Metalpha Technology Holding Limited has adopted the Antalpha BTC Mining Index for its Bitcoin mining stocks fund, aiming to provide investors with exposure to the Bitcoin mining industry through publicly listed companies [1][2][3] Company Overview - Metalpha Technology Holding Limited is a global digital asset-focused wealth management company, founded in 2015 and went public in 2017 [4] - The company is one of the largest crypto derivatives traders in Asia, offering tailored wealth management and hedging solutions to various financial institutions [2][4] - Metalpha holds multiple licenses from the SFC, including Type 1, Type 4, and Type 9 licenses, allowing it to deal in securities and virtual assets, advise on securities and tokens, and manage assets [3] Industry Insights - The Antalpha BTC Mining Index selects the top ten publicly traded US Bitcoin mining companies and will be rebalanced every six months to reflect market conditions [2] - The index aims to provide mainstream financial investors with a reliable channel to gain exposure to cryptocurrencies, driven by high demand for long-term growth opportunities in the Bitcoin mining sector [2][3] - Metalpha's previous fund focused on GBTC has seen significant gains, with a net asset value increase of 269.84%, outperforming Bitcoin by approximately 39% [2]

HONG KONG, April 10, 2024 /PRNewswire/ -- Metalpha Technology Holding Limited (Nasdaq: MATH) (the "Company" or "Metalpha"), a global digital asset-focused wealth management company, announced today that it received a notice (the "Notice") from the Listing Qualifications Department of The Nasdaq Stock Market LLC ("Nasdaq") on April 8, 2024 indicating that the Company is not currently in compliance with Nasdaq's Listing Rules (the "Listing Rules") due to the Company's failure to file an interim balance sheet ...

HONG KONG, April 4, 2024 /PRNewswire/ -- Metalpha Technology Holding Limited (Nasdaq: MATH) (the "Company" or "Metalpha"), a global digital asset-focused wealth management company, announced today the appointment of OneStop Assurance PAC as its independent registered public accounting firm, effective on April 3, 2024, in connection with the audit of the Company's consolidated financial statements for the fiscal year ended March 31, 2024. OneStop Assurance PAC succeeds WWC, P.C., which previously was the ind ...

HONG KONG, March 8, 2024 /PRNewswire/ -- Metalpha Technology Holding Limited (Nasdaq: MATH) (the "Company" or "Metalpha"), a global digital asset-focused wealth management company, announced today that it will hold the 2024 annual general meeting (the "AGM") of shareholders of the Company at Suite 1508, Central Plaza, 18 Harbour Road, Wan Chai, Hong Kong, People's Republic of China on March 29, 2024 at 11:30 a.m. (Hong Kong time), for the purposes of considering and, if thought fit, passing the proposed res ...

Core Insights - Metalpha Technology Holding Limited reported significant growth in its wealth management business, with the notional amount of derivative products issued reaching $382 million in FY 2023, a substantial increase from $49 million in FY 2022 [2][3] - The income generated from the wealth management business surged from $0.1 million in FY 2022 to $5.7 million in FY 2023, indicating strong demand for its services [2][3] - The company recorded an adjusted loss of approximately $0.7 million in FY 2023, a notable improvement compared to the previous year's loss [1][5] Financial Highlights - The notional amount of derivative products issued in FY 2023 was $382 million, compared to $49 million in FY 2022 [2][3] - Income from the wealth management business increased from $0.1 million in FY 2022 to $5.7 million in FY 2023 [2][3] - The adjusted loss for the company was approximately $0.7 million in FY 2023, down from a larger loss in FY 2022 [5][10] Business Strategy - The company aims to maintain high growth rates while significantly lowering expenses as its business scales [3] - Metalpha is focused on innovating and diversifying its business offerings to expand its market share in Asia [3][6] - The company emphasizes compliance in its product design and services, reflecting a commitment to high-quality offerings for qualified investors [3][6]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of eve ...

Revenue and Financial Performance - Total revenue for the six months ended September 30, 2022, was $4,371,133, compared to $1,230,919 in the same period in 2021[7] - Net loss for the period was $4,886,279, compared to a net loss of $7,361,965 in the same period in 2021[7] - Total comprehensive loss for the period was $5,695,038, compared to $7,026,429 in the same period in 2021[7] - Basic and diluted loss per share attributable to owners of the company was $0.22 for the six months ended September 30, 2022, compared to $0.42 in the same period in 2021[7] - Revenue for the six months ended September 30, 2022 was $4,371,133, with the Metalpha segment contributing $3,938,870 (90% of total revenue)[91] - Net loss for the six months ended September 30, 2022 was $4,886,279, with the Longyun segment accounting for $5,304,803 of the loss[91] - Basic and diluted loss per share for the six months ended September 30, 2022, was $(0.22), compared to $(0.42) for the same period in 2021[103] Digital Assets and Liabilities - Digital assets increased significantly to $44,505,633 as of September 30, 2022, up from $8,438,027 as of March 31, 2022[3] - Digital assets payables increased to $37,873,434 as of September 30, 2022, from $6,200,109 as of March 31, 2022[3] - Digital assets held on exchange institutions increased significantly from US$8,438,027 to US$44,505,633, a 427.4% increase[44] - Fair value loss of approximately US$1,330,133 from remeasurement of digital assets for the six months ended September 30, 2022[45] - Fair value of digital assets as of September 30, 2022: $44,505,633, classified under Level 2 in the fair value hierarchy[80] - Digital assets payables increased from $6,200,109 as of March 31, 2022 to $37,873,434 as of September 30, 2022, driven by acquisitions of $171,899,214 during the period[81] - Total digital asset payables to Antalpha increased from $6,200,109 as of March 31, 2022, to $36,340,668 as of September 30, 2022[108] - The company entered into derivative products with Antalpha amounting to $168,184,034 during the six months ended September 30, 2022[109] Cash Flow and Financing - Net cash used in operating activities decreased to $1,677,498 in 2022 from $4,886,289 in 2021, showing a significant improvement in cash flow management[14] - Net cash provided by financing activities was $3,403,516 in 2022, primarily from proceeds of shares issued on private placement[14] - Cash and cash equivalents increased to $7,271,584 as of September 30, 2022, from $5,286,991 as of March 31, 2022[3] - Cash and cash equivalents increased from US$5,286,991 to US$7,271,584, a 37.5% increase[46] - The company issued 3,300,000 ordinary shares in a private placement on August 2, 2022, increasing share capital and additional paid-in capital[48] Assets and Liabilities - Total assets as of September 30, 2022, were $60,903,674, up from $24,338,739 as of March 31, 2022[3] - Total current liabilities increased to $44,522,076 as of September 30, 2022, from $10,031,527 as of March 31, 2022[3] - Total equity attributable to owners of the company was $14,330,084 as of September 30, 2022, compared to $12,791,042 as of March 31, 2022[3] - Loans to third parties increased from US$7,138,703 to US$8,060,849, a 12.9% increase[40] - Total accounts and other payables as of September 30, 2022: $4,414,257, including accounts payables ($6,115), other payables and accrued charges ($3,712,349), and amount due to related parties ($695,793)[58] - The company's gearing ratio increased significantly from 42% as of March 31, 2022 to 73% as of September 30, 2022[89] - Total assets grew from $24,338,739 as of March 31, 2022 to $60,903,674 as of September 30, 2022, primarily due to a $38.1 million increase in Metalpha's current assets[93][96] - Non-current assets decreased from $712,459 as of March 31, 2022 to $563,235 as of September 30, 2022, with a $100,799 reduction in Hong Kong assets[98] Expenses and Costs - Cost of revenue for the six months ended September 30, 2022: $192,681, primarily from supply chain management platform service[64] - Selling and promotion expenses for the six months ended September 30, 2022: $657,238, a significant decrease from $3,792,621 in the same period in 2021[64] - General and administrative expenses for the six months ended September 30, 2022: $1,458,123, including professional fees ($496,253), wages and benefits ($376,500), and insurance costs ($155,915)[67] - Net finance cost for the six months ended September 30, 2022: ($2,514), with interest income of $5,013 and finance cost of ($7,527)[69] - Current tax expense for the six months ended September 30, 2022: $199,897, with a reconciliation of effective tax rate showing a loss before income tax of ($4,686,382)[72] Subsidiaries and Business Operations - The company transferred 100% equity interest in Radiant Alpha Limited to Antalpha Technologies Holdings Limited for $1, as Radiant Alpha had no operations[19] - Metalpha Limited, a subsidiary, operates cryptocurrency derivative product services in Hong Kong with a 51% ownership by the company[21] - The company's total assets for the discontinued Mainland China Business were $9,531,078 as of September 30, 2022[113] - Loss from discontinued operations for the six months ended September 30, 2022, was $(383,177)[114] - Net cash outflows from the disposal group for the six months ended September 30, 2022, were $1,684[116] - The company approved the discontinuation of its Mainland China Business on January 20, 2023[118] - The aggregate consideration for the sale of Hangzhou Dacheng and Hangzhou Longyun was $1.00, completed on February 20, 2023[119] Leases and Property - New leases capitalized in right-of-use assets and lease liabilities amounted to $79,533 in 2022, compared to $425,922 in 2021[16] - Property and equipment carrying amount decreased to $204,995 as of September 30, 2022, from $297,974 as of March 31, 2022[29][30] - Lease liabilities decreased from US$368,747 to US$321,528, a 12.8% reduction[34] - The effective interest rate applied to lease liabilities ranged from 4.75% to 4.90% per annum[37] Shareholder and Equity Information - Share purchase warrants outstanding increased to 25,100,000 with a weighted average exercise price of US$1.58[49] - Non-controlling interests as of September 30, 2022: Taikexi ($530,672), Shenzhen Guanpeng ($48,996), Hangzhou Xu Zhihang ($10,459), Metalpha ($2,475,661)[57] - The company had 25,100,000 share purchase warrants outstanding as of September 30, 2022, which could potentially dilute basic loss per share in the future[101] Valuation and Financial Models - The company uses the Black-Scholes Pricing Model for digital assets payables valuation, with expected volatility ranging from 59.03% to 61.08% as of September 30, 2022[86] - The company engages external valuation experts with recognized professional qualifications for level 3 fair value measurements[82] Corporate Changes and Transactions - The company changed its name from "Dragon Victory International Limited" to "Metalpha Technology Holding Limited" on November 15, 2022[20] - The company changed its name from Dragon Victory International Limited to Metalpha Technology Holding Limited on November 15, 2022[117] - The company completed the purchase of 49% equity interest in Metalpha Limited from Antalpha for $2,500,000 on January 4, 2023[117] Regional Revenue Contribution - Hong Kong accounted for 90% of total revenue ($3,938,870) for the six months ended September 30, 2022, compared to zero in the same period last year[97]