olivLaw · US equity research
Defi Technologies Inc. DEFT
Finance Services · SIC 6199 · Vertical: Finance Services (SIC 6199)
Defi Technologies Inc. is a Canadian company that invests in the decentralized finance (DeFi) industry and develops exchange-traded products linked to digital assets. Its 2025 annual report shows a company still remediating a material weakness in internal control over financial reporting, which keeps the valuation of its assets a central question for investors.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Defi Technologies Inc. (DEFT) stock was 0.40 USD (+8.22% on the day), with market capitalisation 152.4 m USD, P/E 2.3 on diluted EPS of 0.17 USD over the last 12 months, beta 3.28, 52-week range 0.35–1.76 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 40.6
- weak (30–45)
- Bollinger (20, 2)
- 0.35 – 0.48
- in the lower half of the band · %B 0.35 · band width 33.1%
- SMA 50 / 200
- 0.50 / 0.60
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.03 / -0.03
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −23.9% | −1.1% | −22.8 pp | — |
| 3 months | −17.7% | −0.5% | −17.3 pp | — |
| 6 months | −49.6% | +4.4% | −54.0 pp | — |
| Year to date | −47.7% | +12.3% | −60.0 pp | — |
| 1 year | −77.6% | +13.5% | −91.1 pp | −50.9% |
| 3 years | unavailable | +76.4% | unavailable | −66.7% |
| 5 years | unavailable | +63.7% | unavailable | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 0 percentile of its own 1-quarter history (min 4.4, median 4.4, max 4.4; quarters with earnings only).
Fiscal years
| Fiscal year | 2024 | 2025 |
|---|---|---|
| Revenue | 31.4 m | 99.1 m |
| Revenue YoY | unavailable | +215.5% |
| Net income | -28.5 m | 62.4 m |
| Net income YoY | unavailable | unavailable |
| Diluted EPS | -0.10 | 0.17 |
| Diluted EPS YoY | unavailable | unavailable |
| net % | -90.8% | 62.9% |
| Free cash flow | unavailable | -133.4 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 91.2 m USD
- Financial debt
- unavailable USD
- Net debt
- unavailable USD
- Equity
- 149.6 m USD
- Total assets
- 824.6 m USD
- Debt / equity
- unavailable
- Current ratio
- 0.99x
- ROE
- 74.0%
- ROA
- 7.2%
- FCF margin
- -134.5%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Revenue | 31.4 m | 99.1 m | SEC (XBRL)· 02 Apr 2026verified |
| Operating income | -29.9 m | 46.5 m | SEC (XBRL)· 02 Apr 2026verified |
| Interest expense | — | 4.7 m | SEC (XBRL)· 02 Apr 2026verified |
| Pre-tax income | -28.5 m | 63.5 m | SEC (XBRL)· 02 Apr 2026verified |
| Net income | -28.5 m | 62.4 m | SEC (XBRL)· 02 Apr 2026verified |
| Diluted EPS | -0.10 | 0.17 | SEC (XBRL)· 02 Apr 2026verified |
| Weighted average diluted shares | 295.6 m | 377.5 m | SEC (XBRL)· 02 Apr 2026verified |
Balance sheet · USD
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Cash | 15.9 m | 91.2 m | SEC (XBRL)· 02 Apr 2026verified |
| Current assets | 711.0 m | 667.3 m | SEC (XBRL)· 02 Apr 2026verified |
| Property, plant & equipment, net | 103 | — | SEC (XBRL)· 02 Apr 2026verified |
| Goodwill | 37.2 m | 35.1 m | SEC (XBRL)· 02 Apr 2026verified |
| Intangibles (excl. goodwill) | 1.6 m | 400.2 k | SEC (XBRL)· 02 Apr 2026verified |
| Total assets | 918.6 m | 824.6 m | SEC (XBRL)· 02 Apr 2026verified |
| Accounts payable | 15.1 m | 24.1 m | SEC (XBRL)· 02 Apr 2026verified |
| Current liabilities | 899.4 m | 672.5 m | SEC (XBRL)· 02 Apr 2026verified |
| Total liabilities | 899.4 m | 675.0 m | SEC (XBRL)· 02 Apr 2026verified |
| Equity | 19.1 m | 149.6 m | SEC (XBRL)· 02 Apr 2026verified |
| Shares outstanding at year end | — | 385.8 m | SEC (XBRL)· 02 Apr 2026verified |
Cash flow · USD
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Operating cash flow | -94.9 m | -133.4 m | SEC (XBRL)· 02 Apr 2026verified |
| Capex | — | 1.6 k | SEC (XBRL)· 02 Apr 2026verified |
| Free cash flow | — | -133.4 m ≈ | SEC (XBRL)· 02 Apr 2026derived |
| Investing cash flow | 10.4 m | -560.3 k | SEC (XBRL)· 02 Apr 2026verified |
| Financing cash flow | 94.9 m | 207.7 m | SEC (XBRL)· 02 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- score weight coverage: 41.7% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 152.4 m USD
Key indicators
Coverage and freshness
Score by group
42% · Insufficient data
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 1.00 – 3.94 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: P/E1.00 – 3.94 (Mid 2.87)9 companies used · median multiple 16.9x · quartiles 5.9x – 23.2xAXP, HKD, JFU, LX, SOFI, VIP, WD, XYF, YRD
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Insufficient data
Minimum-evidence gate: score weight coverage: 41.7% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 62.9% | 87 (vs peers) | 15% |
| FCF conversion · Quality | -213.7% | 0 (on a fixed band) | 15% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 9.9x | 100 (on a fixed band) | 15% |
| Current ratio · Balance sheet | 1.0x | 16 (on a fixed band) | 10% |
| P/E (TTM) · Valuation | 2.3x | 89 (vs peers) | 25% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | -87.5% | 0 (on a fixed band) | 20% |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet66/100 · 2/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality43/100 · 2/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation49/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
DEFI TECHNOLOGIES INC. (DEFT). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 99.1 m USD in 2025; YoY growth 215.5%; net margin 62.9%; ROE 74.0%.
The estimated value range is 1.00–3.94 USD per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 2.87 USD, the price of 0.40 USD leaves a potential of 625.7% (value / price − 1) and a margin of safety of 86.2% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (score weight coverage: 41.7% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 62.9%
- Interest coverage: 9.9x
- P/E (TTM): 2.3x
- The price is below the estimated value range
What contradicts it
- FCF conversion: -213.7%
- Current ratio: 1.0x
- FCF yield: -87.5%
Not assessed (insufficient data or a ratio without meaning): ROIC, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, EV/EBITDA, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Finance Services (SIC 6199) · same industry (4-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| AXPAmerican Express Co | 223.0 bn | 18.7 | 35.9% | 27.9% | +6.4% | −9% / +95% |
| COINCoinbase Global, Inc. | 40.1 bn | — | -4.7% | -12.5% | +9.4% | −44% / +21% |
| SOFISoFi Technologies, Inc. | 22.4 bn | 36.3 | 7.1% | 104.3% | +23.1% | −42% / +138% |
| KLARKlarna Group plc | 5.2 bn | — | -11.9% | -7.8% | +24.8% | −56% / unavailable |
| GPGIGPGI, Inc. | 3.7 bn | — | -20.6% | — | −85.8% | −36% / +208% |
| BLSHBullish | 3.5 bn | — | -27.3% | -0.3% | −2.2% | −47% / unavailable |
| CIFRCipher Digital Inc. | 3.0 bn | — | -156.8% | -742.3% | +48.0% | −68% / +135% |
| MARAMara Holdings, Inc. | 2.7 bn | — | -107.2% | -430.2% | +38.2% | −42% / −43% |
| WLTHWealthfront Corporation | 1.7 bn | — | -20.5% | -19.4% | +18.2% | unavailable / unavailable |
| WDWalker & Dunlop, Inc. | 1.3 bn | 34.4 | 2.2% | 3.0% | +9.0% | −41% / −54% |
| KEELKeel Infrastructure Corp. | 1.3 bn | — | -87.6% | -230.6% | +72.0% | −40% / +47% |
| XYFX Financial | 1.2 bn | 5.9 | 20.2% | 19.2% | +35.8% | −28% / +15% |
| CDChaince Digital Holdings Inc. | 741.4 m | — | -12.3% | -182.5% | +277.9% | −30% / +622% |
| GDOTGreen Dot Corp | 727.1 m | — | -2.8% | -1.1% | +20.7% | +2% / +59% |
| JFU9F Inc. | 536.7 m | 23.2 | 4.7% | 125.2% | +12.2% | −52% / −43% |
| CANGCango Inc. | 272.7 m | — | -130.8% | -90.4% | +524.3% | −92% / −76% |
| BKKTBakkt, Inc. | 215.0 m | — | -15.9% | -1.3% | −32.1% | −70% / −87% |
| ZSQRZ Squared Inc. | 192.4 m | — | -25.9% | -642.0% | unavailable | −81% / −84% |
| DEFTDefi Technologies Inc. | 152.4 m | 2.3 | 74.0% | 62.9% | +215.5% | −78% / unavailable |
| HSDTSolana Company | 127.0 m | — | -183.2% | -1,302.8% | +1,057.1% | −49% / −100% |
| GHIGreystone Housing Impact Investors LP | 111.0 m | — | — | -5.1% | −6.4% | −33% / −72% |
| AGPUAxe Compute Inc | 86.2 m | — | -1,565.2% | -7,769.8% | +47.7% | +24% / −85% |
| YRDYiren Digital Ltd. | 68.9 m | 8.8 | 0.6% | 1.0% | −85.9% | −91% / −86% |
| BTCSBTCS Inc. | 54.6 m | — | -354.8% | -746.3% | +304.8% | −67% / +6% |
| ZSTKZeroStack Corp. | 47.4 m | — | -1,993.6% | -444.2% | −0.5% | −67% / −94% |
1- and 3-year price returns: for DEFT from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 0.25 Total return -38% · Per year -38% | 0.43 Total return 9% · Per year 9% | 0.65 Total return 64% · Per year 64% |
| 3 years | 0.29 Total return -26% · Per year -10% | 0.57 Total return 45% · Per year 13% | 0.93 Total return 136% · Per year 33% |
| 5 years | 0.35 Total return -13% · Per year -3% | 0.76 Total return 91% · Per year 14% | 1.34 Total return 240% · Per year 28% |
- Exit P/E± 0.14
- Net margin± 0.10
- Annual revenue growth± 0.07
- Annual dilution± 0.01
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 02 Apr 2026; since then the company filed 6-K (01 Oct 2026), 6-K (29 Sept 2026), 6-K (21 Sept 2026), 6-K (03 Sept 2026), 6-K (14 Aug 2026), 6-K (13 Aug 2026).
In brief
Defi Technologies Inc. is a Canadian company that invests in the decentralized finance (DeFi) industry and develops exchange-traded products linked to digital assets. Its 2025 annual report shows a company still remediating a material weakness in internal control over financial reporting, which keeps the valuation of its assets a central question for investors.
SWOT
Strengths
- The company has a clear strategy of investing in DeFi and digital assets, with stakes in funds holding assets with growth potential. Listing on two exchanges gives it visibility in North American and Canadian markets.
- The company has built exchange-traded products and expanded its activity across several DeFi directions. This diversification could reduce dependence on a single type of activity.
- Management has already begun remediating internal control weaknesses by hiring a dedicated digital asset accountant and engaging a recognized audit firm for documentation.
Weaknesses
- The report confirms a material weakness in internal control over financial reporting as of 31 December 2025, meaning controls were not effective at that date.
- Re-filing of interim 2024 financial statements was required because of an error in valuing and classifying digital asset investments, raising questions about accounting rigor.
- The value of many assets depends on locked tokens and discounts for lack of marketability, making valuation more subjective and harder to verify from outside.
Opportunities
- Successful implementation of the new ERP system and cryptocurrency subledger could improve internal control and investor confidence in reporting.
- Developing new ETPs and partnerships could widen the product base and potential revenue, if the market responds favorably.
- Regulatory clarity in the United States and Canada could open new opportunities for DeFi activity and digital asset products.
Threats
- Volatility in the digital asset market can quickly reduce the value of investments and affect reported results over a short period.
- Regulatory changes in DeFi could limit activity or raise compliance costs, particularly if new requirements emerge in the jurisdictions where the company operates.
- If remediation of internal controls is delayed or fails, the company could remain exposed to further reporting errors and additional audit costs.
Risks
- Material weakness in internal controlhigh
Management concluded that internal control over financial reporting was not effective at 31 December 2025. Remediation depends on implementing the new systems and testing them over a sufficient period.
- Re-filing of financial statementshigh
Errors relating to locked tokens led to corrections of the 2024 interim results. Such corrections can affect investor confidence and attract further attention from regulators.
- Valuation of locked assetsmedium
The value of investments depends on the discount for lack of marketability, which changes over time. If estimates shift, reported results could be significantly affected.
- Digital asset volatilitymedium
Token and digital asset prices can vary sharply, which could affect the value of investments and trading income.
- Regulatory uncertaintymedium
Future development of DeFi laws could impose new restrictions or requirements. The report names this risk as a factor that may cause results to differ from expectations.
Investment thesis
What would need to be true (bull case)
- If remediation of internal controls succeeds, the company could regain investor confidence in the quality of its financial reporting.
- The gradual unlocking of tokens through 2028 could release value as the discount for lack of marketability declines.
- Expanding the range of exchange-traded products could bring new revenue sources and a broader base of investors.
What would break the thesis
- The material weakness in internal control and the re-filing of financial statements could lead investors to view future results with more caution.
- If the digital asset market declines, the value of investments in locked tokens could be affected quickly.
- Regulatory uncertainty and competition in DeFi could limit the company's ability to grow revenue consistently.
What to watch
- Completion of the new ERP and cryptocurrency subledger implementation, with a parallel run beforehandQ1 2026
- Testing and validation of remediated controls, needed before the material weakness can be considered resolved2026
- Evolution of the discount for lack of marketability as tokens unlock2027
- Regulatory changes in DeFi and digital assets that could affect the businessnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 02 Apr 2026; since then the company filed 6-K (01 Oct 2026), 6-K (29 Sept 2026), 6-K (21 Sept 2026), 6-K (03 Sept 2026), 6-K (14 Aug 2026), 6-K (13 Aug 2026).
The business
The company describes its business as investing in the DeFi industry, including equity stakes in digital assets and private funds, and developing exchange-traded products (ETPs). According to the report, its strategy also includes identifying low-risk arbitrage opportunities in the digital asset market. The reviewed documents give no revenue figures by segment, so detailed financial structure should be checked in the attached financial statements.
A key balance sheet item is its interest in two private funds that indirectly hold Solana and Avalanche tokens acquired from a bankrupt company. The company classified these investments as financial assets under IAS 32 and IFRS 9, measured at fair value through profit or loss. The value of these assets depends on tokens that unlock gradually until 2028.
The company is listed on the Cboe Canada Exchange and the Nasdaq Capital Market, and the report is filed on Form 40-F under the multijurisdictional disclosure system between the United States and Canada. As a foreign private issuer, the company may follow home-country governance practices in place of certain Nasdaq requirements.
Segments
Digital asset investments
This component includes interests in funds holding locked tokens. The report shows that part of the value is affected by a discount for lack of marketability (DLOM), which reduces gradually and reaches zero by 2028 as the tokens unlock.
Exchange-traded products (ETPs)
The company develops and lists ETPs linked to digital assets. The report notes that the high transaction volume of these products led it to outsource processing to a specialized provider, adding operational complexity.
Arbitrage and DeFi investments
The company pursues low-risk arbitrage opportunities in the digital asset market and invests in DeFi protocols and portfolio companies. The results of these activities are tied to crypto market performance, which can make revenue volatile.
Market context
The company operates in the decentralized finance and digital asset market, a sector marked by high volatility and a regulatory framework still taking shape. The report explicitly states that future development of laws and regulations for the industry could affect the company's business.
Market developments also depend on the availability of attractive investments that fit the company's strategy and on its ability to obtain additional capital. The documents provide no data on total market size, so this part remains descriptive.
Trends
- Gradual unlocking of tokensmixed
Tokens held through the funds are subject to a lock-up schedule running to 2028. As they unlock, their market value and the discount applied to them change, which could influence reported results.
- Regulation of digital assetsmixed
Evolving rules for DeFi and digital assets could open new products but could also limit activity. The report explicitly names this uncertainty among factors that may affect results.
- Rising need for internal controlstailwind
The size and complexity of digital assets require more sophisticated accounting systems. The company is implementing a new ERP system and a cryptocurrency subledger, which could support correct reporting if the implementation succeeds.
- Pressure on financial reportingheadwind
The accounting error identified led to re-filed financial statements for 2024 and a material weakness in controls. This pressure could raise compliance costs and take time to fully remediate.
Competitive position
The reviewed documents do not explicitly identify the company's competitors. The DeFi and digital asset product sector has many participants, but the list below is not drawn from sources and would need a separate analysis to complete.
The company's competitive position depends on its ability to identify attractive investments and maintain access to listing markets. The report does not directly compare its performance with other players, so any comparison must be made from other sources.
- No competitors identified in the reviewed sources
The annual report does not name direct competitors, so no names or tickers are provided.
- Other issuers of digital asset ETPs
The sector includes issuers of exchange-traded products linked to cryptocurrencies, but the sources do not list them.
- DeFi investment funds and vehicles
Competition may come from funds investing in DeFi protocols and tokens, without identification in the sources.
- Digital asset infrastructure providers
Companies providing record-keeping and systems for digital assets may be indirect competitors, without names in the documents.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Current report (foreign issuer)01 Oct 2026
- Current report (foreign issuer)29 Sept 2026
- Current report (foreign issuer)21 Sept 2026
- Current report (foreign issuer)03 Sept 2026
- Current report (foreign issuer)14 Aug 2026
- Current report (foreign issuer)13 Aug 2026
- Current report (foreign issuer)03 Aug 2026
- Current report (foreign issuer)27 Jul 2026
- Current report (foreign issuer)07 Jul 2026
- Current report (foreign issuer)06 Jul 2026
Sources
- [1] Form 40-F, fiscal year ended 2025-12-31 · SEC / Defi Technologies Inc. · 02 Apr 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.