#Canada #Toronto #DeFi Technologies #Financial Technology #Annual Filings

DeFi Technologies Addresses Potential Delay in Annual Financial Filings

DeFi Technologies Inc. recently shared an update regarding its annual financial filings, which may experience delays due to complications in its audit process. The company, recognized for its innovative role in bridging traditional capital markets with the decentralized finance (DeFi) sector, is navigating some challenges related to the timely receipt of critical documentation needed for the auditing process.

Understanding the Delay

According to the statement, the interruption is specifically linked to the anticipated timing of a SOC 2 Type 2 report from a significant third-party partner essential to the company's auditing operations. As it stands, there is uncertainty regarding whether this report will be available by the deadline for filing, set for March 31, 2026. Should the report arrive on time, DeFi Technologies is optimistic about completing its audit procedures and submitting its annual filings as scheduled.

However, if the report were to be delayed beyond the deadline, the management team is prepared to implement additional audit procedures. This course of action could incur substantial extra costs as they strive to ensure that the necessary documentation is filed as swiftly as possible.

Importantly, DeFi Technologies has clarified that this potential delay is not due to any disagreements with auditors or concerns related to the accuracy of financial statements. Instead, it solely hinges on the receipt of the aforementioned report. The company stresses that the audit itself is anticipated to be finalized within the expected timeline, barring any unforeseen issues.

Seeking Temporary Management Cease Trade Order

In light of the potential delay, DeFi Technologies has proactively approached the Ontario Securities Commission (OSC), its principal regulator, to seek approval for a temporary management cease trade order (MCTO). This measure, aligned with National Policy 12-203, aims to limit trading in the company's securities by specific insiders while allowing transactions by other parties to continue unaffected. If granted, the MCTO will assist in maintaining the integrity of trading practices during this period of uncertainty.

The company's management intends to keep investors informed by adhering to alternative information guidelines provided by NP 12-203. This will include issuing bi-weekly updates on the status of the delay until the annual filings are adequately completed.

The Path Ahead

DeFi Technologies is also set to file its 2025 Annual Report on Form 40-F with the U.S. Securities and Exchange Commission concurrently with the completion of its annual filings in Canada. Aside from this announcement, the company indicated that no significant business developments have occurred since it filed its interim reports on November 14, 2025, related to the financial results for the period ending September 30, 2025.

In conclusion, DeFi Technologies remains committed to navigating this auditing challenge and will provide further updates as the situation unfolds. The company's role in the evolving landscape of financial technology continues to be a focal point, and stakeholders are encouraged to stay updated through the company's official communications.