SUIG

Good afternoon, everyone, and thank you for participating in today's conference call to discuss SUI Group Holdings Limited’s financial and operating results for the fourth quarter ended 12/31/2025. Joining us today are SUI Group Holdings Limited’s Chairman of the Board, Marius Barnett, Chief Investment Officer Stephen Mackintosh, Chief Executive Officer Douglas Polinsky, and Chief Financial Officer, Joseph Geraci. By now, everyone should have access to the company’s fourth quarter 2025 earnings press release, which was issued this afternoon at approximately 4:05 p.m. Eastern Time. The release is available in the Investor Relations section of the company’s website at cuig.io. This call will also be available for webcast replay on the company’s website. Following management remarks, we will open up the call for your questions. Please be advised this conference call will contain statements that are considered forward-looking statements under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain known and unknown risks and uncertainties as well as assumptions that could cause actual results to differ materially from those reflected in these forward-looking statements. These forward-looking statements are also subject to other risks and uncertainties that are described from time to time in the company’s filings with the SEC. Do not place undue reliance on any forward-looking statements, which are being made only as of the date of this call. Except as required by law, the company undertakes no obligation to publicly update or revise any forward-looking statements. For important risks and assumptions associated with such forward-looking statements, please refer to the company’s SEC filings.

Thank you and good afternoon, everyone. Before diving into the quarter, I would like to briefly share my perspective on the current market environment. As many of you know, I am the Co-Founder of Caritage, a London-based investment firm focused on digital assets and emerging technologies. Over the past several cycles, I have invested across public and private blockchain infrastructure, DeFi protocols, and AI-linked digital systems. Volatility in digital assets is not new to us. Cyclical repricing, liquidity compression, and sharp mark-to-market movement are inherent features of emerging asset classes. What has remained consistent across cycles is the long-term progression of technology. Infrastructure improves, developer ecosystems deepen, institutional participation increases, and regulatory clarity advances. We believe we are operating in that progression today. The digital asset industry is entering a more mature phase. The regulatory engagement in the United States has shifted from uncertainty towards structure. Institutional frameworks around custody, derivatives, and market infrastructure continue to formalize. Policymakers are increasingly focused on integrating digital assets into modern capital markets rather than excluding them. Those developments act as tailwinds not just for the industry broadly, but for institutional-grade public companies like SUI Group Holdings Limited. That context makes the strengthening of our Board particularly important. During the fourth quarter, we appointed former CFTC Commissioner and ex a16z Crypto Global Head of Policy, Brian Quintenz, as an Independent Director. Brian is a recognized leader in financial markets, public policy, and digital asset regulation. He currently serves on the Board of Kalshi, an event-based derivative exchange regulated by the U.S. Commodity Futures Trading Commission, and has advised a range of leading institutions across the digital asset and financial services ecosystems. His presence reinforces SUI Group Holdings Limited’s governance discipline and positions us to engage constructively as regulated frameworks evolve. Against that backdrop, SUI Group Holdings Limited continues to execute on a strategy that is intentionally long term. Our objective is not simply token accumulation. We aim to develop a public market gateway into one of the most technically differentiated layer-one ecosystems. During the quarter, we continued to activate our treasury across multiple verticals. Our partnership with Bluefin is a great example of how we are moving beyond passive capital deployment. Bluefin has scaled into the leading decentralized exchange on Sui with over $4,000,000,000 in monthly trading volume, $82,000,000,000 in cumulative volume, and expanding lending and vault products. Institutional adoption of on-chain derivatives and structured yield products requires performance infrastructure, and Sui’s architecture enables that performance. By aligning with Bluefin, we are directly participating in one of the highest growth segments of on-chain finance. In parallel, we advanced stablecoin infrastructure through the launch of SUI USDE and USDR in collaboration with Athena and the Sui Foundation. Moving from issuance to activation, we seeded $10,000,000 into the Amber-operated SUI USDE vault, a permissionless yield-generating vehicle designed to create durable liquidity for the ecosystem. Stablecoins are foundational to capital formation on-chain. Participating in the infrastructure layer positions SUI Group Holdings Limited to capture value beyond directional exposure. The combination of these initiatives reflects a core principle guiding our strategy: activation compounds value. We are not simply accumulating an idle treasury. We are scaling it, staking it, and strategically deploying it into high-impact ecosystem infrastructure, all within a regulated, publicly traded framework, both for transparency and institutional participation. Our strategy is anchored in a structural shift we see underway across global markets: the convergence of blockchain infrastructure, institutional capital, and real-world financial use cases. Sui’s architecture is engineered for performance at scale, and that matters as decentralized systems move from experimentation to enterprise-grade deployment. SUI Group Holdings Limited is building a position accordingly, not as a short-term trading vehicle, but as a long-duration platform aligned with network growth, ecosystem expansion, and institutional adoption. Our mandate is to translate technological advancement into per-share value for public market investors. I will now turn the call over to Stephen Mackintosh to walk you through our fourth quarter operational updates.

Thank you, Marius, and good afternoon, everyone. Our capital allocation framework remains disciplined and straightforward: increase SUI per share, activate the balance sheet responsibly, and preserve long-term flexibility. At the protocol level, Sui continues to distinguish itself technically. Its object-centric architecture and new programming language allow for parallel execution, low-latency finality, and composable digital asset logic. That design enables scalable stablecoins, high-frequency on-chain trading, tokenized real-world assets, and AI-integrated applications, all within a single horizontally scalable layer-one environment. Performance characteristics matter when institutional capital enters an ecosystem. Order books, deterministic execution, and low transaction costs are prerequisites for derivatives, lending markets, and structured products. That is where we see Sui positioned structurally well. During the quarter, we continued scaling our treasury and staking substantially all of our holdings, generating approximately 1.7% annualized yield in SUI-denominated rewards. Since the inception of our digital asset treasury strategy in July 2025, we have generated approximately 1,130,000 SUI in total staking rewards and lending income in the Sui ecosystem. This income compounds the treasury over time and reinforces our long-duration orientation. Equally important was the execution of our authorized $50,000,000 share repurchase program. In Q4, we repurchased approximately 7,800,000 shares of our common stock at an average price of $2.20 per share. These repurchases represent approximately 8.8% of SUI Group Holdings Limited’s shares outstanding at the time of the implementation of the repurchases. At the time of execution, our stock was trading at meaningful discounts to its underlying net asset value and SUI per-share exposure. Deploying capital into our own equity under those conditions was a high-conviction allocation decision. It increased SUI per share, improved per-share exposure to staking yield and ecosystem activation strategies, and reflected confidence in the intrinsic value of the platform. Turning to ecosystem activation, our Bluefin partnership provides more than yield enhancement, as Marius mentioned. Bluefin’s perpetual futures platform has grown from roughly $1,000,000,000 in monthly volume to over $4,000,000,000 in monthly volume, with cumulative trading volume exceeding $80,000,000,000 and expanding lending markets. The protocol now integrates spot, perps, lending, and vault infrastructure within a unified trading environment. As derivatives and structured yield strategies expand on Sui, the presence of institutional-grade liquidity venues becomes critical. Our agreement to lend SUI into Bluefin and participate in revenue share aligns us directly with that growth sector. It also provides a return profile differentiated from passive staking. On the stablecoin side, the launch of SUI USDE and USDR marks an important evolution. Athena’s USDE has scaled into one of the fastest-growing dollar-denominated digital assets in history. Bringing that infrastructure natively to Sui expands the ecosystem’s monetary base. Our $10,000,000 anchor deployment into the Amber-operated vault was designed to accelerate liquidity formation and institutional participation. Stablecoin velocity underpins DeFi growth. By pairing treasury exposure with infrastructure participation, we create multiple pathways for value generation: token appreciation, staking yield, protocol revenue share, and liquidity provisioning. As we move into the year ahead, our focus remains on: A) scaling SUI per share through disciplined treasury growth; B) continuing to activate our treasury across staking, lending, derivatives, and stablecoin infrastructure; C) maintaining opportunistic capital allocation, including share repurchases when appropriate; and D) operating with institutional-grade transparency as the only publicly traded company with an official Sui Foundation relationship. The digital asset market will continue to experience volatility. What endures is infrastructure quality, ecosystem adoption, and disciplined capital management. We are positioned at the intersection of all three. I will now turn the call over to Douglas Polinsky, SUI Group Holdings Limited’s Chief Executive Officer, to provide an update on our specialty finance operations. Doug?

Thank you, Stephen, and thank you all for joining today’s call. For those who may be new to SUI Group Holdings Limited, our company was originally built as a specialty finance platform under Mill City Ventures III. We provide short-term, secured, non-bank lending solutions to businesses and individuals seeking flexible capital for real estate, inventory, and other liquidity needs. These loans are typically collateral-backed and structured to generate income through both interest and origination fees. That legacy lending business continues to perform well, and the platform remains profitable and cash generative. Importantly, it provides steady earnings and liquidity that help limit cash burn. It is a disciplined, risk-managed operation that continues to add stability to the broader company. While we remain selective and opportunistic in specialty finance, our strategic center of gravity has shifted. Today, our primary focus is building a differentiated, institutionally aligned digital asset treasury platform anchored to the Sui blockchain, leveraging the strength of our legacy business to support that long-term evolution. I would now like to turn the call over to our Chief Financial Officer, Joseph Geraci, to take you through our financial results. Joe?

Thank you, Doug. A quick reminder as we review our fourth quarter financial results: all comparisons and variance commentary refer to the prior-year quarter unless otherwise specified. Due to our strategic shift on 07/31/2025 from our specialty finance business toward blockchain-native treasury management, our historical financial condition and results of operations for the periods presented may not be comparable. Gross revenue and portfolio income for the fourth quarter 2025 increased 179% to $2,400,000 compared to approximately $869,000 in 2024. The increase was primarily driven by the generation of staking revenue and digital lending interest income from our SUI digital asset treasury strategy. Our fourth quarter 2025 results include a $196,100,000 non-cash unrealized and realized loss related to mark-to-market accounting adjustments on our SUI and digital asset loan receivable holdings. Please note this is a U.S. GAAP-required treatment that reflects changes in estimated fair value and does not represent an actual outflow of cash or impact our liquidity. As a result, total operating expenses excluding net realized and unrealized gain on portfolio investments in Q4 2025 were $2,300,000 compared to approximately $960,000 in Q4 2024. Excluding the aforementioned unrealized and realized loss on digital assets and stock-based compensation, operating expenses for the fourth quarter 2025 were $4,800,000. The net loss for the fourth quarter 2025 was $221,800,000, or $5.52 per diluted share, compared to net loss of approximately $91,000, or $0.01 per diluted share, in Q4 2024. The decrease was primarily driven by the aforementioned non-cash unrealized loss on our SUI holdings. As of 12/31/2025, cash and cash equivalents were $21,900,000 compared to $6,000,000 as of 12/31/2024. As of 12/31/2025, SUI Group Holdings Limited held 105,086,451 SUI at a net value of $147,400,000, plus a digital asset loan receivable of 2,961,550 SUI with a net value of $3,600,000. This concludes our prepared remarks. We will now open up for questions from those participating in the call. Operator, back to you.

Thank you. We will now be conducting a question-and-answer session. Our first question comes from the line of Devin Ryan with Citizens Bank. Please proceed with your question.

Hi, guys. Neil Eloff on here for Devin. My first question is on agentic AI. There has been a lot of news on the topic recently, so I would love to get your thoughts on its role in the blockchain ecosystem. And then if you could also talk a little bit about Sui from an infrastructure point of view. We are thinking that agentic AI can really lift trading volume in the coming years, so how is Sui kind of best positioned from that point of view? Thanks.

Hi, thank you for the question. This is Stephen Mackintosh, CIO. I think in our view agents will soon likely be responsible for many of the transactions on the Internet, and I think that the blockchain industry will play a critical role as we essentially transition from the mobile era to the cloud era and now to the AI era. I think that Sui is best understood as a coordination layer for user intent. Those intents can be manifested in agents taking actions in commerce from the click of one button and essentially executing all of the necessary complex multi-step actions as a single, indivisible, atomic operation that exists on-chain. I think that we really are at the tipping point of an explosion of agentic commerce. What is really unique about Sui’s architecture is that it allows for the coordination at scale of really high-throughput transactions, specifically through the use of a very unique technology primitive that is on the Sui blockchain called programmable transaction blocks, also known colloquially as PTBs. A core feature of this architecture is that PTBs let developers or AI agents bundle up to thousands of operations—such as transfers, swaps, contract calls, merges, splits of an asset, for example—into one single transaction. Because Sui is one of the only blockchains in the industry that has an object-centric data model, it allows for parallel execution of these bundles that can happen really at an infinite scale, whereas other blockchains are kind of restricted by sequential ordering and capacity limits for block sizes. PTBs allow the Sui blockchain to scale really low latency, high throughput, and also atomically. So I think that it is going to be a really critical use case for the Sui blockchain as we see commerce running on agentic workflows that are really empowered by stablecoins and crypto wallets. In regard to the trading question, Sui recently shipped a big update for DeepBook, which is the limit order book on Sui, and introduced margin trading. I think that we really are kind of walking into a new era of agentic yield generation. There is a company called Beef which was recently launched in the Sui ecosystem that is allowing for agentic yields to be realized on-chain, and I believe there is a huge groundswell of developer activity to build new agentic businesses that will deliver either commerce workflows or yield workflows to users and developers.

Thanks. And then my next question is kind of on prediction markets. As these contracts kind of begin to evolve into an asset class of their own, what role do you guys think Sui gets to play in this market?

Thanks. That is a very topical question. I think prediction markets are probably on track to reach something in the order of $1,000,000,000,000 in annual volume by 2030. We have seen explosive growth just in 2026 alone, with averages around $15,000,000,000 to $20,000,000,000 in volume per month, with obviously high spikes of activity around cultural events such as the Super Bowl or elections. I think that right now we have two dominant players in the form of Kalshi and Polymarket, but the market is still really young and really exciting. I believe that the Sui team and the Sui community are really attracting a lot of talented developers who are looking at different types of prediction market consumer propositions that could be regional, for example. They could be focused on emerging markets. Right now, the prediction market space is definitely Western-centric and very much focused on Western politics, and I think that there is a huge world out there, especially in Asian communities, that have very culturally and socially relevant topics and ideas in sports that really do need native prediction markets. I think we at SUI Group Holdings Limited are constantly looking for talented teams and developers who want to capture part of that ever-increasing TAM, and I think that Sui, because of all of the architectural advantages that I mentioned before and the elevated customer experiences, can also be utilized to deliver in prediction markets.

Very interesting stuff. Thank you, guys, for taking the questions.

Thank you. Our next question comes from the line of Brian Kinstlinger with Alliance Global Partners. Please proceed with your question.

Great, thanks so much. I just wanted to start with—you mentioned at the end of the year you had $21,900,000 of cash. Can you update us on cash today, as well as what you have had—81,000,000 shares of buyback—is that about roughly what you got? Great. And maybe can you provide some color on the progress for the Google API2 partnership related to development, and do you believe the new agentic AI launches with ClaudeBot and MoteBot—do you think we will see an uptick in development and adoption on Sui fairly soon? Just trying to understand how you see that playing out in timing. And then you touched on the growth of Bluefin. Did that have an impact on the fourth quarter? Are you generating 5% of their revenue starting in November? And I guess what part of that 5,000 daily digital coins is related to that deal?

Yes, correct. So we did just over 80,000,000 shares in total. That includes all the buybacks we did. We are sitting at approximately $21,000,000. We generate revenue income from the loan book, but then we also generate income from various institutional loans that we have done, including the Bluefin lend. So we forecast that cash number to continuously increase in the absence of using that cash for any investments or transactions. On the Google API2 question, I think Stephen touched on the opportunity set here. We truly believe that payments for all of these bots and agents are meant to be built on blockchain. I think Patrick Collison mentioned in his annual letter about how all of the payments of agents will be done on blockchain, and we believe that that is the future here, and that Sui is perfectly positioned for it. In terms of agentic, the Google API2 continues to be worked on between the teams, between Sui and Google, and we believe that there are going to be many more integrations in the longer term in this opportunity set. Regarding Bluefin, yes, I think it is a great example of the type of business we are trying to build here. We actually also can disintermediate the VCs in the market here, where Bluefin were looking to expand and grow their business, and instead of selling equity in their business, we came in and did an institutional lend on a risk-adjusted basis where we get a piece of their fees. At current, we get paid weekly in SUI, and currently that loan is yielding approximately 17% to 18% per annum.

Wow. Great. I guess my last question, and I will get back in the queue with maybe a few others, is with the decline in cryptocurrency in general, can you speak to demand for similar such business development efforts? Is it mainly with Bluefin? Is there other opportunities in other entities that are looking for similar type deals for bootstrapped Sui?

Definitely. We are actively in the market looking at these transactions. I think the key for us is risk—how we look at risk on a risk-adjusted basis. We certainly do not want to be waking up in the morning and finding that one of these lends has gone wrong. So what we are looking at is how we manage the risk in these lends and make sure that we are getting the right return profile for it. We are looking at multiple different lends. In this last quarter, although it has not had an impact yet, but will in the long term, we have been doing various other institutional lends to market makers and institutional participants of Sui, where we get parent guarantees. Our long-term targets here over the next 12 to 18 months are to be yielding plus 10% on SUI.

Thank you. Our next question comes from the line of Gareth Gacetta with Cantor Fitzgerald. Please proceed with your question.

Hi, guys. I was hoping you can kind of double click on that last question and sort of the yield-generating opportunities you are looking at outside of traditional staking. So, kind of getting to that 10% yield as a baseline is kind of a good metric, but I am wondering if you can talk about how you are thinking about deploying your treasury balance—whether that be a percentage into staking, a percentage into these DeFi opportunities, or a percentage into lending or something else—how you kind of think about deploying the treasury into these different areas of yield opportunities with respect to that risk like you spoke about? And then I just wanted to touch on some news outlets reporting that Meta is working with a third party to look into stablecoin-based payments. So given that the team at Mysten was originally a part of the team working on Meta’s Libra stablecoin in 2019, could you maybe just provide some color for the people on the call about why that project was ultimately spun out of Meta and then also why a blockchain like Sui might be the best choice for a large institution like Meta looking to integrate blockchain into their systems?

Yes, it is a great question. From a target perspective, as I said, risk is the key thing first and foremost. So every single opportunity that comes along we look at the risk and then we work with Galaxy, the asset manager of 3G’s, to analyze that risk, whether it is in the DeFi ecosystem or in the general institutional market. Another lend that you would have seen that we did is we were very proud to launch the SUI USDE stablecoin together with Athena. We minted $10,000,000 of that stablecoin. We put it in a vault on Amber, which is built by Byten. So that enhances the Bluefin ecosystem, but then we also are putting that into the DeFi ecosystems. On that lend, currently, we are yielding close to 10% on that $10,000,000 of stablecoins that we have minted. So every single transaction we do, we are looking at a balance of institutional lending and DeFi ecosystem lending. I think the key here is that we get all the right mechanisms in place to monitor these pools and ensure that the risk of it is low and make sure that we get that right return in the right coordination. I do not think that right now going and doing anything wild in the DeFi ecosystems makes sense from a risk-adjusted basis, and we do not see ourselves in that way. So that is why we have done institutional lends to market makers or institutions, where one of the lends we did was $5,000,000 at a 7.5% interest rate, but we have a parent guarantee and we let them go into the DeFi ecosystem and take more risk. So every single transaction we do, we are looking at it on a risk-adjusted basis.

Yes, sure. On the Meta question, I think the founding story of Sui is one of the most interesting footnotes in crypto’s history so far. Had the Facebook Libra and Diem projects been allowed to succeed—and the reason it did not is because of a previously unfavorable administration and regulatory environment—I do think that the Libra and Diem stablecoin initiative could have been the biggest business in crypto. They could have been bigger than Coinbase; they could have been bigger than Tether potentially, because of the distribution that came with Facebook at the time. At the time the Sui team were building Libra and Diem, it was designed for a network of 3,000,000,000 users, and when the research team, which was headed by Evan Cheng, the CEO of Sui, looked at the state of the tooling in the market, they realized that it was not fit for purpose for the scale they needed to operate at. That caused them to evaluate all of the programming languages and implementations—the use of the Ethereum stack and the EVM, Solana, different languages such as C++—and they found it was not right for moving money on the Internet. That is what allowed the CTO of Mysten and Sui, Sam Blackshear, to actually invent the Move programming language, which is a purpose-built programming language for blockchain that is designed in an object-centric architecture, which allows for parallel transaction processing—not sequential, as you see in an account-based model on Ethereum and Solana—with low-latency, high-throughput scale. In regard to the news, I believe that Meta has been engaging in different RFPs with different blockchain companies. It is unclear yet who will be part of that. But what I would say is that the future of agentic commerce is going to be one that is based around universal interoperability. These agents will be taking economic actions empowered by stablecoins in an interoperable Internet. I think that the scale of commerce could really increase tenfold when you have agentic workflows running, and because of that complexity and the order-of-magnitude increase in the amount of transactions and microtransactions taking place on the Internet, it is only an architecture like Sui that can handle that. I think we are going to see more agentic frameworks being penciled not just by Google’s API2. I think Stripe just announced an agentic framework, we have xAI’s Grok, and I think many more will come. So what I would say is that it is going to be about interoperability, low latency, and scalability, and that is what puts Sui at the heart of this agentic commerce revolution.

Awesome. That is really exciting. Thank you, guys.

And we have reached the end of the question-and-answer session, and we have reached the end of the conference call as well. Thank you for your participation. You may now disconnect your lines at this time. Have a great day.

Good morning, everyone, and thank you for participating in today's conference call to discuss SUI Group Holding's financial and operating results for the third quarter ended September 30, 2025. Joining us today are SUI Group's Chairman of the Board, Marius Barnett; Chief Investment Officer, Stephen Mackintosh; Chief Executive Officer, Douglas Polinsky; and Chief Financial Officer, Joseph Geraci. By now, everyone should have access to the company's third quarter 2025 earnings press release, which was issued yesterday afternoon at approximately 4:05 p.m. Eastern Time. The release is available on the Investor Relations section of the company's website at www.suig.io. This call will also be available for webcast replay on the company's website. Following management remarks, we'll open up the call for your questions. Please be advised this conference call will contain statements that are considered forward-looking statements under the Private Securities Litigation Reform Act of 1995. The forward-looking statements are subject to certain known and unknown risks and uncertainties as well as assumptions that can cause actual results to differ materially from those reflected in these forward-looking statements. These forward-looking statements are also subject to other risks and uncertainties that are described from time to time in the company's filings with the SEC. Do not place undue reliance on any forward-looking statements, which are being made only as of the date of this call. Except as required by law, the company undertakes no obligation to publicly update or revise any forward-looking statements. For important risks and assumptions associated with such forward-looking statements, please refer to the company's SEC filings.

Thank you, and good morning, everyone. I'm pleased to welcome you all to our first earnings call as SUI Group Holdings. I'd like to start by giving you a brief background on myself and why we believe the Sui ecosystem is one of the most promising blockchain ecosystems in the world. By way of background, I'm the Co-Founder of a London-based hedge fund named Karatage, focused on emerging technologies across digital assets, AI and gaming. Throughout my career, I have focused on identifying high-impact technologies with global adoption potential, and I believe Sui blockchain represents one of the most promising technological platforms of our time. What initially drew me to Sui was the unmatched intellectual capacity and technical pedigree of its founders, now known as Mysten Labs. The team was originally hand selected by Mark Zuckerberg to develop Diem, formerly Libra, Meta's ambitious blockchain project aimed at building a global digital currency. These engineers designed the Move programming language and the underlying blockchain architecture that enabled secure, high-speed and scalable transactions within Meta's ecosystem. When Diem was discontinued, its core architects carried their vision forward, founding Mysten Labs in 2021 to create what would become Sui. The same world-class engineering rigor that began at Meta now powers the Sui network, and it was this combination of technical excellence, scalability-focused design and real institutional credibility that made me believe that the Sui ecosystem has the ability to define the next era of blockchain infrastructure. For those of you who are unfamiliar with Sui, Sui itself is the next-generation Layer 1 blockchain designed for speed, scalability and real-world application. Its object-centric architecture and horizontally scalable design allow for near-instant finality, enabling use cases across finance, gaming, artificial intelligence, stablecoins and beyond. We see SUI as the infrastructure layer for the next chapter of the Internet, a blockchain built for mainstream institutional-grade adoption. The Sui stack represents one of the most advanced comprehensive architectures in blockchain infrastructure today, purpose-built to support real-world high-throughput applications. At its core is Move, Sui's native programming language, which enables fast, secure and scalable smart contract execution. Layered on top of powerful tools like Walrus for decentralized storage, DeepBook for on-chain liquidity and Seal for enterprise-grade data security. Beyond its scalability and security, Sui is purpose-built for the next era of agentic AI, a world where autonomous software agents can independently transact, learn and execute tasks on behalf of users and institutions. Its [ paralyzed ] architecture and programmable transaction blocks make it capable of handling the high-volume, low-latency activity required for real-time AI-driven commerce. This design was recently showcased through the agent to payments AP2 protocol, a collaboration between Google and Mysten Labs, which demonstrated how Sui enables multiple verifiable transactions to settle atomically within a single block. By combining sub-second finality, secure on-chain execution and identity solutions like zkLogin, Sui provides a technical foundation for a new class of machine-to-machine transactions with digital agents to manage value, permissions and data autonomously. In short, Sui is the only blockchain designed to power the coming intersection of AI, automation and decentralized finance, positioning it at the center of agentic Internet. Our conviction in the Sui ecosystem is not theoretical; it is both strategic and operational. When we first partnered with the Sui Foundation earlier this year, our vision was clear: to position SUI Group as the first publicly traded company with an official relationship with the Sui Foundation and to build a foundation-backed digital asset treasury company anchored to the native cryptocurrency of the Sui blockchain. Through this relationship, we are aligned with the foundation's mission to advance decentralized technologies that can scale globally, and we believe this partnership positions SUI Group to deliver both institutional exposure and deep insight into one of the fastest-growing blockchain ecosystems in the world. Since launching that initiative, we have executed by establishing our Sui treasury, completing our corporate rebrand and scaling our holdings to over 100 million SUI tokens as of quarter end, transforming our vision into measurable progress. On the regulatory front, we are encouraged by the momentum emerging across the digital asset landscape, which continues to support our long-term strategy. The GENIUS Act is helping clarify the treatment of yield-bearing stablecoins, establishing a framework where transparent on-chain yield models can operate within defined regulatory boundaries. The CLARITY Act, if passed by Congress in its current form will provide long-overdue guidance distinguishing digital commodities from securities, a critical step towards unlocking broader institutional participation in blockchain markets. In parallel, Project Crypto, a joint initiative by the U.S. Treasury and Federal Reserve is exploring the use of blockchain-based settlement systems signaling the federal government's recognition of distributed ledgers as the future foundation for financial infrastructure. Collectively, these developments create a constructive regulatory tailwind for platforms like SUI Group. We've also seen SUI recognized at the forefront of agentic commerce innovation through its participation in Google Cloud's Agents to Payment Protocol (sic) [ Agent Payments Protocol ] initiative. This new framework enables AI agents to autonomously initiate and settle payments using blockchain infrastructure. Sui was selected as a launch partner for AP2, where it demonstrates how its programmable transaction blocks and object-orientated architecture can support concurrent multiparty transactions in a single atomic block, exactly the type of scalability required for AI-driven financial activity. The collaboration with Google DeepMind and the broader AP2 ecosystem highlights how Sui's architecture is uniquely suited for the coming convergence of AI, digital identity and real-time programmable payments. For SUI Group, this further validates our decision to align our treasury and infrastructure strategy with the Sui blockchain, positioning us to participate directly in the next era of intelligent autonomous finance. Before turning it over to our Chief Investment Officer, Stephen Mackintosh, I want to emphasize that this is a long-term infrastructure thesis, one grounded in scalability, transparency and value creation. We believe Sui is capable of defining the next generation of decentralized applications and that SUI Group will stand at the center of that transformation. With that, I'll pass it over to Stephen to walk you through our third quarter operational updates.

Thank you, Marius, and good morning, everyone. Before diving into our operational updates, I'd like to take a moment to share my background. Prior to joining SUI Group, I worked alongside Marius as a Co-Founder of Karatage. My career is centered around identifying and scaling emerging technologies at the intersection of AI, automation and digital assets. Prior to Karatage, I served as Chief Commercial Officer at Re:infer, a natural language processing company that was acquired by UiPath in 2022, where I helped integrate machine learning into enterprise automation. I've also served as an adviser to the Web3 cohort at Entrepreneurs First, an incubator that has launched more than 600 start-ups with a combined valuation of over $11 billion. That background, combining venture investing, AI commercialization and Web3 strategy is what informs how we're building SUI Group's digital asset platform today. We launched SUI Group with a simple promise to create the world's first publicly traded digital asset treasury company with an official relationship with the Sui Foundation. The digital economy is entering a new phase where blockchain networks, AI and real-world assets are converging, and institutional investors need a regulated transparent vehicle to participate in that growth. Our goal is to meet that demand through a treasury model that combines the discipline of traditional capital markets with the scalability and yield generation of blockchain infrastructure. At its core, SUI Group was designed to drive long-term shareholder value through 3 key objectives: accumulate and stake high-quality digital assets, beginning with SUI, the native token of the Sui blockchain to generate recurring yield and price appreciation potential; deploy capital into an on-chain ecosystem opportunities that produce real returns such as validator operations, lending and stablecoin infrastructure; increase SUI per share, our primary performance metric by executing accretive capital raises, using proceeds to acquire additional SUI at favorable terms and repurchasing shares when trading below net asset value. Every decision we make from partnerships to treasury deployment is designed to expand our SUI per share, enhance our earning capacity through staking and DeFi yield and strengthen our alignment with the broader Sui ecosystem. In short, we are working to build a scalable yield-generating digital asset balance sheet that provides value for shareholders while advancing one of the most innovative blockchains of our time. Our vision is to build a robust Sui treasury that serves as the liquidity engine and capital allocator for the Sui ecosystem. As our holdings scale, we aim to operate as a strategic focal point within the network, deploying capital where it accelerates infrastructure growth, capitalizes ecosystem adoption and generates sustainable SUI-denominated returns. Rather than limiting our treasury to passive staking, we intend to structure creative, yield-accretive partnerships with core infrastructure providers, DeFi protocols and application builders on Sui , financing the deployment of real businesses that enhance network utility while delivering returns that outperform native staking yields. With our experience at Karatage and long-standing relationships across the digital asset industry, we have the institutional credibility, operational depth and capital discipline to execute this strategy. In essence, we believe SUI Group could function as the on-chain balance sheet of the Sui ecosystem, a scalable source of liquidity designed to strengthen the network's economic foundation while compounding long-term value for Sui shareholders. A key example is our collaboration with Ethena and the Sui Foundation to launch suiUSDe and USDi, the first native stablecoins on the Sui blockchain. This initiative represents an industry-first collaboration between a publicly traded digital asset treasury company, a blockchain foundation and a leading stablecoin issuer. The structure is expected to be capital efficient, launched at low cost to our business and designed to generate cash flows that will be used to grow our Sui treasury and strengthen our balance sheet. These stablecoins leverage Sui's high-speed composable Layer 1 infrastructure to combine dollar stability with decentralized performance, unlocking new utility for DeFi applications, payments and institutional use cases. The formation of this partnership marks a step in our evolution from a traditional treasury company into an infrastructure builder, driving ecosystem liquidity, fostering adoption of the Sui network and creating scalable recurring economic value for shareholders through yield, token buybacks and ecosystem participation. More recently, we launched a partnership with Bluefin, the leading decentralized exchange on the Sui blockchain to expand institutional participation across the Sui ecosystem. Under the agreement, we will lend 2 million SUI tokens to Bluefin. And in exchange, we will receive a 5% revenue share from Bluefin payable in SUI. This partnership is intended to extend beyond just capital. It is about building the bridge from Wall Street to Sui, leveraging Bluefin to accelerate the entry of hedge funds, asset managers and market makers into decentralized markets. As adoption scales, Sui shareholders are expected to benefit from the growth of institutional trading activity on the Sui blockchain, creating a differentiated recurring value stream separate from the traditional staking yields. We are proud to partner with the Bluefin team to deliver a leading trading experience on-chain, demonstrating our ability to deploy liquidity strategically, drive network adoption and capture long-term ecosystem value. To summarize, over the past quarter, we expanded our treasury holdings, established innovative partnerships and completed certain value-accretive share purchases, all while laying the groundwork for new revenue-generating initiatives within the Sui ecosystem. Under our new authorized $50 million stock repurchase program, we repurchased approximately 276,000 shares of our common stock, a high-conviction investment that we believe is immediately accretive to existing shareholders and underscores our confidence in our long-term fundamentals. These actions reflect our commitment to building a scalable, transparent and durable platform that aligns long-term shareholder value creation with the growth of the Sui network. I will now turn the call over to Doug Polinsky, SUI Group's Chief Executive Officer, to provide an update on our specialty finance operations. Doug?

Thank you, Stephen, and thank you, everyone, for joining today's call. For those who are new to our company, SUI Group's legacy nonbank lending and specialty finance business originated under Mill City Ventures III, providing short-term secured lending solutions to businesses and individuals seeking nonbank financing for real estate, inventory and other liquidity needs. These loans typically have maturities under 9 months and are backed by collateral or personal guarantees, generating revenue through interest income, origination fees and closing fees. Our legacy lending business continues to perform well, providing a profitable and cash-generative foundation for SUI Group. All outstanding loans are performing as expected, generating consistent returns through both interest income and origination fees. For the quarter, we reported approximately $1.6 million in interest and origination revenue, more than double the $711,000 recorded in the same period last year. We also recognized $525,000 in unrealized gains on our investment portfolio compared to an unrealized loss of $305,000 in the prior year period. Together, these results highlight the strength of our lending operations, a profitable nondilutive business that limits cash burn and provides steady earnings and liquidity to support the growth of our digital asset treasury initiatives. While we remain opportunistic with our specialty finance opportunities, our primary strategic focus has now evolved towards building an industry-leading digital asset treasury platform aligned with the Sui blockchain. With that, I'll turn the call over to our Chief Financial Officer, Joseph Geraci, to take you through our financial results. Joe?

Thank you, Doug. A quick reminder, as we review our third quarter financial results, all comparisons and variance commentary refer to the prior year quarter unless otherwise specified. Please note that these results reflect only 2 months of our activity from our newly implemented Sui treasury strategy, which launched on July 31, 2025. Due to our recent strategic shift from our specialty finance business toward blockchain native treasury management, our historical financial condition and results of operations for the period presented may not be comparable. Gross revenue and portfolio investment income for the third quarter of 2025 increased to $2.6 million compared to approximately $711,000 in third quarter 2024, driven by the generation of staking revenue following the adoption of our new treasury strategy. Our third quarter 2025 results included $60.7 million noncash unrealized loss related to mark-to-market accounting adjustments on our Sui holdings. Please note, this is a U.S. GAAP required treatment that reflects changes in estimated fair value and does not represent an actual outflow of cash or impact to our liquidity. As a result, total operating expenses, excluding net realized and unrealized gain on portfolio investments in the third quarter of 2025, were $64.7 million compared to approximately $420,000 in the third quarter of 2024. Excluding the aforementioned unrealized loss on digital assets and stock-based compensation, operating expenses for the third quarter of 2025 were $1.7 million. Net loss for the third quarter of 2025 was $44.3 million or $0.72 per share diluted compared to net income of approximately $464,000 or $0.07 per diluted share in the third quarter of 2024. The decrease was primarily driven by the aforementioned noncash unrealized loss on our Sui holdings. As of September 30, 2025, cash and equivalents were $42.7 million compared to $6 million as of December 31, 2024. As of September 30, 2025, the last day of the quarter, SUI Group held 105,681,292 SUI with a net value of $344.5 million. This concludes our prepared remarks. We will now open it up for questions from those participating in the call. Operator, back to you.

[Operator Instructions] Our first questions come from the line of Brian Kinstlinger with Alliance Global Partners.

When evaluating deployment of capital to companies like Bluefin or other protocols, what key metrics or criteria do you prioritize: yield, security, network activity or something else? How do you weigh counterparty risk versus returns? And then lastly, on Bluefin, what's the duration of that agreement?

Brian, thanks for that. First of all, the duration of that agreement is 3 years, and it's in our options, SUI Group's option to extend that agreement for 3-year terms at its election. In terms of looking at the counterparty risk here, currently, they're annualizing approximately $14.5 million per annum of fees. Looking at that, that represents circa 15% return year-on-year in SUI paid in SUI, which gets paid on a bimonthly basis. In terms of looking at the counterparty risk, this is a group that is very well known to the Sui ecosystem, interacts with the Sui Foundation on a daily basis. We conducted due diligence on this together with the Sui Foundation, including all the founders. And we believe it's a very robust business that's supported by the Sui Foundation. They continue, as part of their DeFi rewards program, to support their perps [ stake ] and all the other products, and we're very bullish on their products that they are currently bringing to market. One of their new products is the Vaults [ section ], where they're now running many different vaults on the decks, and we will work with them very closely to continue to expand that business.

Great. That's helpful. And then can you talk about the application development progress being made on Google's Agentic Payment Protocol, maybe when you might see some of the initial apps and when you expect it will generate early transaction volumes?

Sure. Steve?

Brian, thank you for the question. The agentic framework stack is expanding quite rapidly on Sui at the moment. In addition to the Google AP2 partnership, there was a company announced just in the past 2 weeks called Beep, which has a founding executive team from PayPal and also from, I think, Walmart, who've been in the payments and merchant space for a long time. And that agentic wallet is now live on Sui, where users can deposit into that wallet, speak to the wallet's UI through a natural language [ combined ] online interface and actually get automated agentic yield return. As part of the Google partnership and in answer to your question, it's actually a broad consortium of different partners, so it's very much up to the different industry players to come together to start pushing through those agentic use cases into production. I think that when there will be an announcement for the public, we will be sure to communicate that through the Sui Foundation. But as of right now, I would just stay tuned into the social pages and the official channels to see which of the industry partners are demonstrating how that comes to life.

Great. My last question is maybe you can just touch on your native stablecoin launch, how you'll generate -- for investors, how you'll generate incremental revenue in SUI from that?

Sure. We're looking at launching that in the next 2 to 3 weeks. We believe that it will launch with approximately $100 million of liquidity in that stablecoin. There are 2 stablecoins. One is suiUSDe and the second one is USDi, which is a one-to-one DAT stablecoin. We have a revenue share agreement with the various parties, including Ethena and Sui Foundation, who all participate in it. It is variable in terms of what we're looking at earnings depending on how much is used in the ecosystem. But long term, we believe that this can be a very good core driver of accumulating Sui in the ecosystem.

Our next questions come from the line of Devin Ryan with Citizens.

A couple, I would say, maybe high-level questions. First off, on just the theme of agentic AI. So obviously, you've touched on why Sui is kind of differentiated there. But can you just talk about functionally how you see AI and blockchain coming together over time? And we're still in the very early days of both technologies so kind of your vision of that, why it's important, where you see kind of value developing? And then if you can just maybe just weave in a bit, too, around why Sui is truly differentiated in your mind from some of the other blockchains.

Thank you, Devin, for the question. Yes, I would like to, first of all, kind of address it by drawing a line of differentiation between the Sui blockchain architecture and some of the other high-performance blockchains that the kind of community and the investor audience might be familiar with such as Ethereum, Solana, Avalanche. Those 3 blockchains and many others in the ecosystem are all account-based models, whereas Sui is an object-orientated blockchain. And that came from the team's background as the heads of research and heads of product on the Libra and Diem initiatives at Facebook, which was a rather ambitious goal to release a blockchain network out to 3 billion users. At the time, the Sui team realized that in order to achieve that type of scale, there needed to be a new implementation in the smart contract programming language. So the team invented Move. And when the Libra and Diem project kind of disbanded, the team left and they created Mysten Labs, which built Sui. An object-orientated model is very interesting because it allows for really limitless programmability, which is exactly what you need to execute on the agentic payments future or the agentic commerce kind of future by treating every asset or every agent as an object. What that means is that it can scale in parallel across the network. So account-based models, typically, everything has to settle through one till, one ledger, whereas in the object-orientated blockchain like Sui Move, objects can be agents and assets can be objects, and they can all have parallel settlement, and that can scale really across the network in a number of different use cases. Right now, we have a huge bottleneck when it comes from going intent -- from intent to action with these LLM interfaces. And what the Sui team realized when they set out on this ambitious journey to build a blockchain network that can scale to 3 billion users, they built core pillars of infrastructure that come together to support the canonical high-performance blockchain Sui. They built a protocol called Walrus, which is decentralized programmable storage. They built a product called Seal, which is for key encryption and secrets management. They built a product called Nautilus, which is for verifiable off-chain computation. And they also built a very novel identity protocol called zkLogin, which allows both humans and agents to log in with perhaps your Google single sign-on credentials. And when you put all of those things together, that's actually what's called the Sui stack. And a good parallel is to think through the SaaS industry that's proliferated over the past 10 to 15 years that had really kind of core pieces of infrastructure such as Kubernetes on GCP. They had compute storage, identity querying. All of that came together to allow SaaS to flourish. In Sui now, we have all of those products that come together to resemble the Sui stack, and that's what will allow agentic commerce to flourish. And as I mentioned from my previous response to Brian's question, we're now starting to see the breakout use cases. Beep went live on the network 2 weeks ago. The announcement with Google AP2 was announced about 6 weeks ago, and there are many more kind of exciting agentic breakthroughs coming to the network in the next 6 months.

That's excellent. And then as a follow-up, obviously, some nice momentum on partnerships with Bluefin and the connection with Ethena as well. Can you just talk a little bit about the pipeline of partnerships and kind of where you guys are having conversations and where you expect kind of from a use case perspective, kind of next partnerships to come from?

Sure. I think from that perspective, we've spoken about this previously that we believe that there's a few core fundamentals of building the business out in the long term, one being liquidity and how we drive liquidity. That includes the partnerships such as Bluefin. The second piece being infrastructure, and that's where we bring on infrastructure to the whole ecosystem, which drives the flywheel of the whole ecosystem. That example is the Ethena stablecoin, and we're looking at various different partnerships, one -- the next one being an ETF -- of launching an ETF in the U.S., which will drive that and we'll again be able to participate in the fees long term of the ETF and being able to drive those types of innovations across the stack. So we have about 5 or 6, but the main priority going forward is the ETF.

Thank you. That does conclude our question-and-answer session. And with that, I would like to bring the call to a close. We appreciate your participation. You may disconnect your lines at this time. Enjoy the rest of your day.