FRNT Discusses Positive Impact of The SEC’s Spot Bitcoin ETF Approval on Company

TORONTO, Jan. 25, 2024 (GLOBE NEWSWIRE) — FRNT Financial Inc. (TSXV:FRNT) (OTCQB:FRFLF) (FSE:XZ3) (“FRNT” or the “Company”) provides an update on the SEC’s approval of spot bitcoin ETFs. The decision signals a new era in the institutional adoption of cryptocurrency. The launch of these ETFs has led to major asset managers establishing basic infrastructure for managing products in the digital asset landscape and adjacent industries. With these key players embracing cryptocurrency, FRNT foresees a widespread initiation of a comprehensive crypto segment across the asset management sector.

For over 5 years FRNT has been building a service offering to provide introductory and ongoing support for institutional entrants to the digital asset market. These clients will need more partnered services, similar to other asset classes. FRNT anticipates client interest in new trade opportunities, borrowing/lending structures, derivatives, liquidity services, crypto partnerships, and crypto-related equity investments. These are operations FRNT has diversified itself in its capacity to support.

“There are only a limited number of firms that are well-positioned to facilitate the growing adoption of crypto by institutions,” said FRNT CEO and co-founder Stéphane Ouellette. “We have deep experience in both traditional finance and cryptocurrency. We’ve built a business and products meeting the high standards required by traditional money managers, especially in the novel cryptocurrency space.”

FRNT has four business lines under the umbrella of its Capital Markets Services: Deliverable Services, Treasury Management, OTC Derivatives, and Lending Origination. Each business line is poised to help institutions access crypto opportunities and complement the newly approved spot bitcoin ETF trading. “Exchange traded products are a monumental step in the accessibility of bitcoin, however, they will only be one part of a broader suite of tools for trading these assets,” explained FRNT’s Head of Trading Ray Ritchie. “FRNT offers regulated and compliant, USD-settled exposure to a variety of opportunities as clients grow their crypto offerings.”

In addition, business lines under FRNT’s Advisory Services will stand to benefit. The proliferation of bitcoin exposure among traditional finance will trigger demand for further understanding of the asset. The firm’s Consulting business line, a growing source of revenue for FRNT, will assist institutions in understanding, for example, factors such as ESG, custodian due diligence, or risk management.

Mr. Ouellette concludes that, “evolution of investment banking services is not unprecedented. When commodities ‘came to Wall Street’ specialist firms emerged, some were acquired and some continue to exist and matured their business over time. We believe FRNT finds itself in a similar dynamic except with an emerging crypto landscape that arguably offers even more complications for traditional players. After a multi-year bear market, we’re extremely excited to see these positive developments in the space and particularly for the new opportunities presented to our business as we enter 2024.”

About FRNT Financial Inc.
FRNT is an institutional capital markets and advisory platform focused on digital assets. FRNT, through a technology-forward and compliant operation, aims to bridge the worlds of traditional and web-based finance. Partnering with both financial institutions and crypto native firms, FRNT operates distinct business lines under the umbrellas of Capital Markets Services and Advisory Services. Capital Markets Services consist of Deliverable Services, Treasury Management, OTC Derivatives, and Lending Origination. Advisory Services include Merchant Banking, Asset Management, Consulting and Distressed. Co-founded in 2018 by CEO Stéphane Ouellette, FRNT is a global firm headquartered in Toronto, Canada.

FRNT FINANCIAL INC.
Chief Executive Officer
Stéphane Ouellette
[email protected]
833 222-3768
https://www.frnt.io

NEITHER THE 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.

Cautionary Note Regarding Forward-Looking Information

This press release contains “forward-looking statements” and “forward-looking information” within the meaning of applicable law. Generally, forward-looking statements and forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved” including, but not limited to, the anticipated impacts that the SEC approval will have on the Company and the Company’s ability to capitalize on the client base for bitcoin ETFs. All forward-looking statements and forward-looking information are based on reasonable assumptions that have been made by the Company as at the date of such information. Forward-looking statements and forward-looking information are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements and forward-looking information, including but not limited to: the general risks associated with the speculative nature of the Company’s business, current global financial conditions, uncertainty of additional capital, price volatility, government regulation in the industries in which the Company operates, political and economic risk, absence of public trading market, arbitrary offering price, dilution to the Company’s common shares, dependence on key personnel, currency fluctuations, insurance and uninsured risks, competition, legal proceedings, conflicts of interest and lack of dividends. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements and forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or forward-looking information. The Company does not undertake to update any forward-looking statement or forward-looking information that is included herein, except in accordance with applicable securities laws.


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