Moreover, On Tuesday, January 14, 2025, the Company strategically acquired Solana (SOL) tokens as part of its initiative to diversify its balance sheet ahead of acquiring io.net tokens. This forward-looking investment underscores the Company's confidence in the growth of decentralized technologies and its dedication to building a robust financial foundation. The Company purchased 185.2 SOL at an average cost basis of C$269.98 (approximately USD$187.86). Currently, the Company retains 28.2 SOL on its balance sheet.
io.net is a decentralized graphic processing unit (GPU) network designed to provide scalable and cost-effective computing power for AI and machine learning applications. Its native cryptocurrency built on the Solana blockchain, the $IO token, plays a central role in the platform's ecosystem, facilitating transactions, incentivizing participation, and ensuring network security.
io.net aggregates underutilized GPUs from various sources, including independent data centers, idle cryptocurrency mining farms, and individual consumers, creating a decentralized network that offers computing power at significantly lower costs compared to traditional cloud providers. This model not only maximizes resource utilization but also democratizes access to high-performance computing, enabling a broader range of researchers and organizations to engage in AI-driven innovations.
Management Commentary
"Our acquisition of io.net tokens is a significant milestone in our journey to transform how artificial intelligence is developed and deployed, and to integrate io.net's platform with our strategic initiatives," said Adam Ingrao, CEO of Alset AI. "The fixed supply, disinflationary emissions, and token burn mechanisms are designed to support long-term value appreciation. Additionally, io.net's innovative approach to providing cost-effective and scalable AI computing resources positions it favorably in the growing AI and machine learning market. These tokens are more than an investment; they are a gateway to harnessing the immense potential of decentralized AI."
Token Investment Committee
The Company also announces it anticipates forming a Token Investment Committee. This committee will provide governance and strategic guidance for the Company's token-related investments, ensuring that these efforts align with long-term objectives and deliver sustainable value for stakeholders. Alset AI's Token Investment Committee will also evaluate opportunities within the token economy, and help guide the Company's participation in decentralized networks. This initiative underscores Alset AI's commitment to a structured and strategic approach to participating in the rapidly evolving decentralized AI landscape, and is the company's first strategic move to build a balance sheet that includes decentralized opportunities that could have significant upside possibilities.
Restricted Share Units (RSUs)
The Company also announces that it has granted 2,900,000 restricted stock units (the "RSUs") to certain directors, officers, and consultants of the Company pursuant to the Company's omnibus incentive plan. The RSUs shall vest 12 months from the date of grant, in accordance with applicable exchange policies and the Company's omnibus incentive plan. The RSUs grants are subject to the approval of the TSX Venture Exchange (the "TSXV").
Debt Settlement
The Company also announces it intends to settle debt totaling $160,697.64 owed to certain creditors of the Company in consideration for the issuance of an aggregate 788,330 common shares in the capital of the Company (each a "Debt Share") and 640,092 units of the Company (each, a "Debt Settlement Unit") at a deemed price of $0.1125 per Debt Settlement Unit and Debt Share (the "Debt Settlement").
Each Debt Settlement Unit will consist of one Debt Share and one transferable common share purchase warrant (each, a "Debt Settlement Warrant"), with each Debt Settlement Warrant exercisable to purchase one additional common share of the Company (each, a "Debt Settlement Warrant Share") at an exercise price of $0.15 per Debt Settlement Warrant Share for a period of two years from the date of closing of the Debt Settlement. The securities issued under the Debt Settlement will be subject to a statutory hold period expiring four months and one day from the date of issuance.Closing of the debt settlement is subject to approval of the TSXV.
Certain Related Parties to the Company may participate in the Debt Settlement for up to 788,330 Debt Shares and such participation may constitute a related party transaction under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI61-101"). Pursuant to the Policies of the TSXV, any Related Party to the Company shall receive Debt Settlement Shares only and no Debt Settlement Warrants. The Company intends to rely on exemptions from the formal valuation and minority shareholder approval requirements provided under subsections 5.5(a) and 5.7(a) of MI 61-101 on the basis that participation in the Debt Settlement by insiders will not exceed 25% of the fair market value of the Company's market capitalization.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities being offered have not been, nor will they be, registered under the U.S. Securities Act of 1933, as amended (the "1933 Act"), or under any U.S. state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act and applicable state securities laws.
On behalf of Alset AI Ventures Inc.
"Adam Ingrao"
Adam Ingrao
Chief Executive Officer
About Alset AI Ventures Inc.
Alset AI is a pioneering AI and cloud computing investment firm, committed to nurturing high-potential technology companies. Through a combination of capital, strategic advisory, and cloud computing alliances, Alset AI is shaping the future of artificial intelligence and building an AI-focused venture capital platform poised for substantial growth.
About io.net
Io.net is a decentralized GPU network that provides scalable and cost-effective computing power for machine learning and AI applications. By aggregating underutilized GPUs from independent data centers, crypto miners, and consumer hardware, io.net offers on-demand access to global GPU resources, enabling rapid deployment of clusters for AI development. With a commitment to accessibility, efficiency, and innovation, io.net empowers AI startups and developers to accelerate their projects with unparalleled speed and affordability.
For further information about Alset AI Ventures Inc., please contact:
Adam Ingrao, Chief Executive Officer
T: 1-236-312-6744
E: ir@alsetai.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Disclaimer for Forward-Looking Information
This news release contains forward-looking statements within the meaning of applicable Canadian securities legislation. Forward-looking statements are identifiable by terms such as "anticipates," "expects," "believes," "intends," "plans," "forecasts," "may," "will," "could," "should," and similar expressions, as they relate to the Company or its management. These statements include, but are not limited to, discussions regarding the Company's strategic acquisition of io.net tokens and Solana tokens, the anticipated benefits of participating in decentralized AI ecosystems, the role of these acquisitions in advancing AI infrastructure solutions, the anticipated formation of the Token Investment Committee, the TSXV's approval of the Debt Settlement, and the completion of the Debt Settlement as anticipated or at all. Forward-looking statements are based on the Company's current expectations, estimates, and assumptions, including assumptions about: the successful implementation of io.net's decentralized GPU network; the growth and adoption of decentralized technologies; the scalability, security, and cost-effectiveness of these solutions; the Company's ability to leverage these technologies to enhance innovation in AI; the regulatory approval processes; and the ability of the Token Investment Committee to effectively guide token-related investments. Forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such statements. These risks include, but are not limited to: challenges in the adoption or implementation of decentralized AI and blockchain technologies; risks associated with cryptocurrency market volatility, including fluctuations in the value of io.net and Solana tokens; regulatory changes affecting the AI, blockchain, or cryptocurrency industries; economic and market volatility; potential delays or failures in obtaining TSXV approval for the Debt Settlement; competition from other AI or decentralized platforms; strategic alignment challenges related to the integration of decentralized technologies; and risks related to the Company's ability to execute its strategic initiatives effectively. Additional risks and uncertainties are outlined in the Company's filings with Canadian securities regulators, available at www.sedarplus.ca. Forward-looking statements speak only as of the date of this release. The Company undertakes no obligation to update or revise any forward-looking statements to reflect new information, future events, or otherwise, except as required by law. Investors are cautioned not to place undue reliance on forward-looking statements, as actual results may differ materially from those expressed or implied herein.
SOURCE: Alset AI Ventures Inc.
