General Reverse Split Mechanics

1. What is a reverse stock split?
A reverse stock split consolidates existing shares into fewer, proportionally more valuable shares. For example, in an 8:1 reverse split, every 8 existing shares are converted into 1 new share.

2. What is the ratio for the SOL Strategies reverse split?
SOL Strategies will execute a 1-for-8 reverse stock split.

3. Why is SOL Strategies doing a reverse stock split?
The reverse split is primarily intended to meet the minimum share price requirement for listing on the Nasdaq Capital Market, and to better position the company for future growth, institutional investment, and strategic M&A opportunities.

4. Does the reverse split change the total value of my investment?
No. While the number of shares you own will decrease, the price per share will increase proportionally, leaving the overall value of your investment unchanged (excluding normal market movements).

Impact on Shareholders and Trading

5. What happens to my shares of SOL Strategies trading under the ticker HODL on the CSE?
Your HODL shares will be consolidated 8:1. For every 8 HODL shares you own, you will receive 1 post-split share.

6. What happens to my CYFRF shares on the OTC market in the U.S.?
Your CYFRF shares will also undergo the same 8:1 consolidation ratio. This affects all outstanding shares regardless of trading venue.

7. Will the tickers change after the reverse split?
The tickers HODL and CYFRF are expected to remain the same post-split.

8. Will the reverse split affect my ability to trade the shares?
No. Post-split shares will continue to be fully tradable. There may be a brief adjustment period with your broker.

9. What happens to fractional shares?
Shareholders entitled to fractional shares will typically have those rounded down and paid out in cash. Your broker will provide specific guidance.

Structure, Dilution & Valuation

10. Will this reverse split dilute existing shareholders?
No. A reverse split is a non-dilutive, purely administrative action. It does not create new shares or reduce your proportional ownership or voting power.

11. Is SOL Strategies issuing new shares as part of the split?
No new shares are being issued as part of the reverse split. This is a consolidation of existing shares only.

12. Does this impact the company’s market cap?
No. The market cap (calculated as price per share × number of shares) remains unchanged by the reverse split itself.

13. Will the reverse split affect the company’s financials or valuation?
No. There are no financial or valuation changes resulting directly from the reverse split.

14. Why choose an 8:1 ratio?
The ratio was selected based on Nasdaq’s minimum price requirement and to align the post-split share price with peer benchmarks.

Listing and Strategic Positioning

15. Does this reverse split guarantee a Nasdaq listing?
No. While it is a key requirement, final listing is subject to approval by Nasdaq’s listing qualifications staff and other compliance criteria.

16. Can HODL shares be traded on Nasdaq?
No. HODL shares are currently listed for trading only on the Canadian Securities Exchange and the OTC Markets in the U.S.

17. Can STKE be traded on the CSE?
No. Assuming completion of the Nasdaq listing, the company’s shares will trade on the Nasdaq under the ticker STKE and on the CSE under the ticker HODL.

18. Is the Nasdaq listing part of a broader strategy?
Yes. Listing on Nasdaq supports broader strategic goals, including access to institutional investors, expanded M&A opportunities, and increased brand visibility.

Instructions & Shareholder Support

20. Do I need to do anything as a shareholder?
In most cases, no action is required. Your broker or transfer agent will update your holdings automatically.

21. Where can I find updates or get questions answered?
Visit the Investor Relations page at www.solstrategies.io/investors or contact us directly at [email protected].

22. Will brokers notify shareholders automatically?
Most brokers will notify shareholders and reflect the adjusted holdings post-split automatically.

23. What if my broker hasn’t updated my account?
If updates are delayed, please contact your broker directly. Timing can vary between institutions.

Future Outlook

24. Does this change how the company operates?
No operational changes are tied to the reverse split itself, but it reflects the company’s focus on capital markets readiness and institutional positioning.

25. Is SOL Strategies considering other capital markets transactions?
The company is actively evaluating strategic opportunities, including M&A, in alignment with its long-term growth plan.

26. Will this help unlock additional institutional investment?
Yes. A Nasdaq listing and higher share price may improve access to institutional capital and analyst coverage.

27. What are the next steps after the reverse split?
After the reverse split, the company will continue working to meet all Nasdaq listing requirements and engage with investors and partners to support its long-term growth strategy.