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Original-Research: Advanced Blockchain AG - from GBC AG

19.09.2025 / 10:30 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
Group.
The issuer is solely responsible for the content of this research. The
result of this research does not constitute investment advice or an
invitation to conclude certain stock exchange transactions.

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Classification of GBC AG to Advanced Blockchain AG

Company Name: Advanced Blockchain AG
ISIN: DE000A0M93V6

Reason for the research: Research Report (Anno)
Recommendation: Buy
Target price: 4.15 EUR
Target price on sight of: 31.12.2026
Last rating change:
Analyst: Matthias Greiffenberger, Cosmin Filker

From realignment to scaling

Die Advanced Blockchain AG (ABAG) underwent a profound transformation in
fiscal year 2024. The process centered on a complete management overhaul,
the resolution of irregularities at the subsidiary Incredulous Labs Ltd.,
and the introduction of strict governance and control mechanisms. While the
parent company's operational and financial performance in 2024 was shaped by
significant one-off expenses, the cleanup measures and portfolio progress
show that ABAG is now in a stronger position for sustainable growth. This
ongoing restructuring is essential to securing the company's future.
Independent audits uncovered deficiencies dating back to before the current
management took over, while also confirming that today's structures rest on
an independent and stable foundation. The resulting costs are unavoidable
and should be seen as an investment in stability, asset protection, and
transparency.

The parent company Advanced Blockchain AG generated revenues of EUR226k
(previous year: EUR105k), more than doubling year-over-year, but it remains
heavily dependent on income from its subsidiary Incredulous Labs Ltd., with
overall revenue levels still modest. High legal, auditing, and consulting
expenses combined with extraordinary write-downs led to a net loss of
EUR-1.78m (previous year: EUR-0.88m). Despite this loss, ABAG reports a solid
equity base of EUR8.88m (December 31, 2023: EUR9.56m), corresponding to an
equity ratio of 68.8% (December 31, 2024: 69.7%). The balance sheet was
strengthened by the resolution of tax liabilities from previous years and by
stabilizing liquidity. The auditor's qualified opinion relates solely to
uncertainties around receivables from Incredulous Labs.

The Cypriot subsidiary Incredulous Labs remains the core of the portfolio.
In 2024 it achieved revenues of USD 229k and a net profit of USD 1.25m,
while at the same time recording substantial impairments on projects.
Forensic audits confirmed cases of asset misappropriation. As a result, the
auditor issued a disclaimer of opinion for both 2023 and 2024. The new
management has since implemented a modern control system with
multi-signature wallets and institutional custody solutions, while also
initiating legal steps to recover lost assets.

Blockchain and cryptocurrency markets experienced a historic upswing in
2024: Bitcoin and Ethereum reached new multi-year highs, and overall market
capitalization surpassed USD 3.5 trillion. ABAG's portfolio benefited,
particularly from the successful token launch of peaq, which briefly
achieved unicorn status. However, the decline of the PEAQ token in the first
half of 2025 highlighted the high volatility and dependence on a few key
assets. As of June 30, 2025, the value of the 15 largest holdings was
reported at around USD 15m, down from USD 56m at the end of 2024. In
response, management adopted an active diversification strategy with a focus
on more liquid assets.

Based on the top 15 portfolio positions, after deducting holding costs and
factoring in a 30% latent upside, the NAV stands at EUR15.36m or EUR4.15 per
share. Taking this upside potential into account, we confirm our Buy rating.

You can download the research here:
https://eqs-cockpit.com/c/fncls.ssp?u=751f7a07654fcdf3e21a2ca7d826334a

Contact for questions:
GBC AG
Halderstrasse 27
86150 Augsburg
0821 / 241133 0
research@gbc-ag.de
++++++++++++++++
Offenlegung möglicher Interessenskonflikte nach § 85 WpHG und Art. 20 MAR
Beim oben analysierten Unternehmen ist folgender möglicher
Interessenkonflikt gegeben: (5a,11); Einen Katalog möglicher
Interessenkonflikte finden Sie unter:
https://www.gbc-ag.de/de/Offenlegung
+++++++++++++++
Completion: 18.09.2025 (16:30 Uhr)
Initial publication: 19.09.2025 (10:30 Uhr)

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2199928 19.09.2025 CET/CEST

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