Arcario

Sustained Growth Across All Metrics

Despite fluctuating Bitcoin prices, LN Markets demonstrated notable resilience in Q2 2023. Trading volumes increased from Q1, reflecting the platform's adaptability amid challenging market conditions. The excitement surrounding Bitcoin ETF filings in June propelled Bitcoin above $30k, contributing to a record-breaking $50 million in monthly trading volume on the platform. In terms of Bitcoin, June achieved a significant 1,750 BTC in monthly trading volume, marking it as the second-best month in LN Markets’ history.

User activity also surged in Q2, with a 13% quarterly increase in user accounts and a 12% rise in monthly active users. Daily active users peaked in June, signalling LN Markets' increasing popularity. Moreover, LN Markets' net profit, measured in bitcoin, saw an upward surge of 30% from the previous quarter, underscoring the platform's consistent value creation.

As the growth of the Lightning Network reached new milestones in Q2, including all-time highs in both US dollar and Bitcoin capacity, LN Markets stands at the forefront of this technological revolution. The Lightning Network is seeing accelerating adoption amongst industry giants like Binance, who are looking to enhance transaction speed.

To provide an optimal trading experience, LN Markets introduced a more transparent fee model and a tiered fee system, offering competitive rates to high-volume traders. Furthermore, the platform has begun the development of a Trustless Over The Counter (OTC) trading prototype to further emphasize its commitment to security and efficiency.

Côme Jean Jarry, Co-founder of LN Markets, says, "Our robust performance in Q2 makes us immensely proud, especially as it underscores our ability to navigate through market volatility. This achievement reaffirms our fundamental belief that the Lightning Network provides an incredibly efficient and secure financial infrastructure for retail traders. Building on this strong foundation, our next focus is to explore how smart contracts on Bitcoin can further enhance transparency and security in the trading environment."

Outlook for Q3: Enhanced Platform and Business Growth

Heading into Q3, LN Markets aims to widen its reach with integrations with popular trading libraries. On the business front, LN Markets is determined to sustain the strong performance seen in Q2, aiming for consistent profitability despite the traditionally quieter summer period.

Michael Jackson, Chairman of the Board of Arcario, says, "With the growing adoption of the Lightning Network and a superior trading experience, LN Markets is ideally positioned for continued growth. We are confident in their innovative capabilities and look forward to their future contributions. Their steadfast performance and commitment to user-centric innovation are testaments to their invaluable role within the Bitcoin ecosystem."

Arcario owns 16% of ITOAM SAS, the company behind LN Markets.

For more information, please contact Arcario AB's IR team at ir@arcario.com or visit arcario.com/ir.

###

About Arcario
Arcario is a Scandinavian trailblazer in the digital asset space, committed to shaping the future of finance as we know it. The company boasts a diversified portfolio that includes full ownership of K33, a research-led digital assets brokerage serving EMEA clients, Green Data, an eco-friendly Bitcoin mining operation in northern Norway, and minority stakes in both Puremarkets Ltd, a digital currency interbank OTC market, and LN Markets, a Bitcoin exchange leveraging the Lightning Network. The Company is listed on Nasdaq First North Growth Market and Mangold Fondkommission is Certified Adviser.

About LN Markets
LN Markets is a leading trading platform for leveraged bitcoin and options trading, built on the innovative Bitcoin Lightning Network. This advanced technology allows instant deposits of collateral from all over the world, enabling users to enjoy fast, cost-effective transactions with minimal counterparty risk. With its user-friendly interface, LN Markets provides a seamless trading experience for individuals interested in exploring the world of digital currency derivatives.