Jang Hyun-guk, Nexth CEO: "February Coin, March Blockchain Game Launch"

Shareholders' Meeting Held Immediately After Extraordinary General Meeting

Earlier this year, CEO Jang Hyun-guk, who moved from Wemade to Nexters (formerly Action Square), announced on the 7th that he plans to sequentially launch cryptocurrency and blockchain games, aiming for profitability in both the gaming and blockchain businesses this year.

CEO Jang made these remarks during a shareholders' meeting held at the aT Center in Seocho-gu, Seoul, immediately following an extraordinary general meeting of shareholders that morning.

Regarding Nexters' years of operating at a loss, he said, "It's almost surprising that the company has survived," but added, "The accumulated losses are from the past. We plan to implement several strategies to achieve profitability in the gaming sector this year." He also forecasted, "There is a possibility of running multiple games simultaneously rather than just one game." Since its listing on the KOSDAQ market in 2015, Nexters has continuously posted losses. In 2023, it recorded an operating loss of 16.2 billion KRW, and losses are also expected for last year.

On the blockchain business, he expressed confidence, stating, "The overall market and industry conditions are not unfavorable to us." CEO Jang explained, "Once we launch blockchain games starting next month, we expect to attract significant demand for so-called meme coins (internet viral content coins). We plan to find points of contact on platforms like Telegram and Solana to draw in this demand."

The recently launched cryptocurrency 'Kross' plans to establish a foundation in Switzerland, a country with a developed cryptocurrency industry, and begin token distribution within this month. He said, "We have applied to establish a foundation in Switzerland and are just waiting for government approval," adding, "Once the foundation establishment is announced, we will quickly disclose our token sales plans." He also mentioned, "We have announced policies such as 'Zero Minting,' which means no additional token issuance after the initial issuance; 'Zero Reserve,' where the foundation does not hold any reserve tokens; and 'Zero Free Rider,' ensuring all contributors receive fair compensation according to their contributions."

CEO Jang also mentioned plans to enter the U.S. market. He stated, "The U.S. is where the largest transactions occur and is also the most proactive country, so for companies engaged in crypto business, entering the U.S. is not a choice but a necessity. We have always kept U.S. expansion in mind," adding, "Since we need to conduct global business, the U.S. will be a very important base going forward." He further noted, "We plan to enter by selecting business-friendly states such as Texas or Nevada."

Additionally, Nexters plans to introduce a U.S.-style governance structure centered on a board of directors with professional management to enhance shareholder value. CEO Jang said, "Currently, I am the second-largest shareholder of Nexters and expect to become the largest shareholder next year, but I will not manage the company arbitrarily just because I am the largest shareholder," emphasizing, "We will operate governance in the American style to enhance shareholder value."