Exodus Movement, Inc. (AMEX:EXOD) Q1 2026 Earnings Call Transcript

Exodus Movement, Inc. (AMEX:EXOD) Q1 2026 Earnings Call Transcript May 13, 2026

Jack Barlow: Good morning, and welcome to Exodus First Quarter 2026 Earnings Call. I am Jack Barlow, Head of Investor Relations. And with me today is our Co-Founder and CEO, J.P. Richardson; and our CFO, James Gernetzke. Last night, we issued a press release and filed our quarterly results, which are both available on our website. During today’s call, we will reference our earnings, and we may make forward-looking statements. The company cautions investors that any forward-looking statement involves risks and uncertainties and is not a guarantee of future performance. Actual results may vary materially and those expressed or implied in the forward-looking statements due to a variety of factors. These factors are referenced in the forward-looking statement disclosure in our earnings release and described in more detail in our recent Form 10-K filed with the SEC earlier this year and is also available on our Investor Relations portion of our website.

We do not undertake any obligation to update forward-looking statements. And as always, please feel free to contact us at investors@exodus.com if you have any questions or submit your questions via our social media accounts on X or Reddit. With that, I will turn the call over to JP.

J. Richardson: Thanks, Jack, and thank you, everybody, for joining us here today. Okay. Two weeks ago, on May 1, our team traveled from all over the world to Omaha, Nebraska for our first shareholder day, the Exodus Summit. We brought investors, partners and customers together for a full day of programming. We made many new announcements to show what we’re building and heard directly from the leaders and partners building it with us. What you didn’t see is that in the days leading up to the summit, we were on calls all day and night, working on closing Monavate and Baanx. In fact, everyone was running on a few hours of sleep and some of our team members even pulled allnighters. But finally, the night before the summit began, the team closed the Monavate and Baanx U.K. deals.

But Baanx U.S. was still pending. And so the team spent all day on calls back-to-back pushing to close the deal. And about 20 minutes before I walked on stage, we got word that the deal had closed. I’ll always remember this moment as we officially owned Baanx and Monavate. This was not an easy process, and it took 15 months of countless hours and extraordinary effort from our teams. It was the largest transaction in Exodus’ history and marks a major step for the next chapter of the company. Monavate and Baanx strengthen our business in 4 important ways. First, this transaction diversifies our revenue away from the crypto trading cycle. We’re adding new recurring revenue like card processing, interchange and issuance and settlement. Second, this adds an additional customer that’s completely separate from crypto.

And customers from Monavate include all types of customers. There’s a major buy now, pay later customer and one of the largest players in maritime payments. So this is — again, this is revenue with no exposure to crypto markets. Third, these acquisitions give Exodus control over more of the payment stack from self-custody to card transaction processing payments finally, all under one roof. And they expand what we can offer with the Exodus suite. Monavate and Baanx bring existing relationships across MetaMask, Ledger, Kraken and OKX. They give us more ways to serve enterprise customers with payment capabilities we now own. This is the first earnings call where we can officially say again, that we own the full payment stack. And now we are executing on this vision that we’ve shared with you on past calls.

Q&A Session

We have products in the market and 2 completed acquisitions, and here’s what’s next. One of the biggest milestones in Q1 was launching of Exodus Pay. We’re now live in all 50 states plus Canada and parts of Europe. People can manage their money, send and spend all from one app. Our customers are now using the digital dollars they hold in their wallet to pay for groceries and Exodus Pay is just the beginning. Check this out. In the same way that Exodus makes self-custody and payments simple for our customers, we are extending this simplicity and control to AI agents. Last week, you may have seen it, we announced XO Cash powered by MoonPay as the first stablecoin designed for AI agents. Let’s spend a moment on this because it captures how we’re thinking about agents in the future of payments.

We believe that everyone is about to have hundreds of agents working for them around the clock, buying products, placing trades, managing their finances and XO Cash was built for this future. The stablecoin is live today, and we’re now building AgentKit, a developer toolkit that sits on top of it. And so effectively, what this means is that agents will be able to pay on your behalf using either stablecoins or credit cards. And what’s really important about this is that this is funded from the customers’ Exodus Pay balance while the keys are kept safely in Exodus. The agent never touches the keys. And again, I can’t underscore how important this is. The AI agents can spend dollars at any Visa or Mastercard accepting merchant drawing from the user’s Exodus Pay balance under the limits and permission that the consumer sets.

The announcement is live at xocash.com and runs on the Monavate rails we just acquired. Now the broader strategy is about bringing these products to a much larger audience, which is why at the Summit, we announced that we are becoming the official payments partner of the UFC. This partnership gives Exodus Pay a major distribution channel, and it also brings Exodus brands to one of the most trusted sports environments in the world, regular presence on screens around the world. When hundreds of millions of UFC fans think of sending money, they’re going to think of Exodus. We’re going to kick off this partnership in June and sponsor the official Freedom 250 fight on the White House lawn. Exodus is going to be front and center of one of the biggest cultural moments of the year.

So for anyone who is not able to attend the Summit, I would encourage you to watch the Summit online for the more comprehensive and detailed discussion of our vision and strategy. You can find it on our Investors page. And so a few thoughts on the quarter before I hand it over to James. Q1 looked a lot like Q4. Digital asset prices fell and trading volume fell with them. This is exactly the crypto dependence I’ve flagged on prior calls. And that’s the whole reason for the work that we’re doing from shifting our business from speculation to payments. And Q1 showed the limits of the old model. And the acquisitions and products launches we’re talking about today show the path to a more durable revenue model. We’re building Exodus into a business, again, where the direction of the crypto doesn’t determine the quarter.

So from here, our priorities are clear: integrate Monavate and Baanx, scale Exodus Pay, expand payments-related revenue and continue building a more durable revenue model. Finally, I have to share some thank you because none of this happens without the people behind it. I want to thank Exodus team, our customers, you, our investors for your continued support. Specifically, I want to call out our CFO, James; our General Counsel, Blake Rizzo; Kevin Wood, our Director of Revenue Operations; and Monavate CEO, Michael Roth. They were essential in helping to work together to get to this successful transaction close and getting across the finish line. So with that, I’m going to hand it over to James now, and he’s going to go through the financials.

James?

James Gernetzke: Thanks, JP. Let’s start with a quick discussion on the impact of the Monavate Baanx acquisition, followed by a recap of Exodus’ Q1 revenue and swap volume. As we discussed at the Summit, this transaction is the most important strategic move in Exodus’ history to date. The addition of Monavate Baanx, which I’ll refer to as Monavate going forward, advances the Exodus platform beyond its reliance on crypto asset prices to a full-stack finance services platform, which benefits from expanded revenue opportunities from our direct user population and increased revenue attached to payments infrastructure. While this deal is transformative for Exodus, the final transaction is slightly different from what we announced in November.

We did not acquire the W3C holding company as originally intended, but we did acquire much of the target assets and teams of Monavate and Baanx. These bring over the issuer processing and card programs critical to both traditional and on-chain payment processing. We understand many people may not appreciate the quality and size of the Monavate platform. Here are a couple of data points to highlight the platform relative to other providers, demonstrating favorable processing volumes, regulatory access points and processing partnerships. One final slide on the transaction and how the adjusted deal changed from our originally communicated transaction back in November. We intend to have pro formas produced this quarter. Right now, we are focused on the integration of the entities under this new transaction structure.

Returning to a quick recap of our core business in Q1. Revenue was $22.7 million, representing a 23% decrease from Q4 of ’25 and a 37% decline from our record first quarter in 2025. The sequential and year-over-year decline primarily reflected a materially softer Bitcoin and digital asset market with weaker overall industry volumes amid a muted retail environment. Here is our revenue breakout for the quarter. It’s worth noting exchange-related revenue fell below 90% in Q1. Moving on to volumes. Q1 swap volume of $1.18 billion was down 26% from Q4. Monthly active users at the end of Q1 2026 were 1.5 million, down 6% from the previous year and unchanged sequentially. Quarterly funded users, those who have placed their money with Exodus, finished the quarter at 1.4 million, down 18% from last quarter and 22% year-over-year.

We expect this number to rebound should we see crypto market catalysts such as legislation and as new services gain traction such as Exodus Pay. Turning to our balance sheet. As of March 31, we had no debt, $74 million of cash and cash equivalents and $48 million of digital assets. The strong capital position gives us flexibility as we build the next phase of Exodus. As we have said before, we view our treasury, including our digital asset holdings as a strategic source of capital to support M&A and other growth initiatives with the goal of increasing long-term treasury value over time. Jack, with that, let’s open the call to questions.

Jack Barlow: Let’s see what we have for questions. Our first question comes through Andrew Harte with BTIG.

Andrew Harte: JP, can you kind of talk about how you see the business competing as you move from this really volatile self-custodial wallet only that’s dependent on crypto volumes to this more diverse money movement platform that you’ve talked about? How do you see yourself differentiating from the other solutions that are out there in the market?

J. Richardson: Andrew, just for clarity, I’m assuming you’re referring to the consumer business? Are you referring to our B2B business? Or do you want me to kind of touch on both?

Andrew Harte: I think more of the consumer business, but I guess the B2B business would be very helpful as well, but more thinking about the consumer side.

J. Richardson: Yes. Okay. So I think, again, from historically, over the last year, the way that we’ve looked at it, the growth of Exodus is primarily, I would — for the next 6 months to a year, most of, I think, our growth is going to come from partnerships, right? We’re going to continue to strike big partnerships as we have historically. And the reason this is so important is because these partnerships have very strong distribution with very large customer bases. Like if you look at, again, Ledger and MetaMask, they themselves have millions of customers. So when we integrate and build XO Swap and give XO Swap to them as partners and customers of us, our products and technology then make it out to their customers. And so I think, again, that’s really important for a growth perspective.

And when you look at the technology that Monavate and Baanx provides, we can then, again, bring that card technology to these partners. So back to Exodus Pay, the consumer app, like for us, the Exodus Pay, the consumer app is — again, it’s just the beginning from shifting what people have historically seen as, “Oh, Exodus the wallet, it’s a really great wallet. It’s a really great crypto wallet.” But now it’s a payments platform, and we’re going to continue to simplify it and remove all of the crypto complexity. A lot of the crypto wallets out there, they still have a lot of the crypto complexity. And you’re still focusing on, “Oh my gosh, I got to write down my 12 word secret phrase. Oh my gosh, I got to worry if I’m on Ethereum L2, Solana, whatever.” When a person downloads Exodus Pay, it’s just — it’s very simple.

There’s actually no crypto complexity whatsoever. And so that’s just the base of what we’re building on. And so we’re moving the business on top of that. And so then over time, as we announced back at the Shareholder Summit, we announced that we’re going to bring in tokenized stocks. We announced that we’re going to do a lot of things like prediction markets. So the fundamental belief is this, that when you look at the apps that you have on your device, on your phone, you at least have 3 apps, right? You have a banking app, you have a payments app, like maybe like a Venmo and then you have at least a brokerage app. And so we just — we see a future where this — your financial life should not be scattered across multiple apps. So it really comes down to simplifying and putting them all in one app.

And then finally, I know this is very long, but there’s so much to discuss here, right? Finally, the integration with AI agents, I think, is going to be critical for the success of our business. We are deep in this, and we’re using agents behind the scenes in Exodus to accelerate our software development, right? Now anybody in the company can go and really make changes to the product and safely, of course. But again, we are so deep in this, and so we’re going to make it so that consumers can easily connect Exodus Pay and then have all the functionality of Exodus Pay safely in an AI agent. And so when you think of the total addressable market of being the world of 8 billion, well, AI agents are going to make that into the trillions. And I think that’s a really important aspect of growth.

Jack Barlow: Our next question comes from Gareth Gacetta.

Gareth Gacetta: I was just wanted to kind of double-click on the letter of intent with Visa for global card issuance. Could you maybe talk about what that means for the business? And then maybe some of the priority markets you guys mentioned at the Summit like Argentina, Latin America and then Nigeria, UAE and the opportunity you guys see there?

J. Richardson: Yes, absolutely. So really, what it comes down to is that Exodus has great relationships with both Mastercard and Visa. But ultimately, at the end of the day, we’re looking to get Exodus Pay out in as many markets as possible, but being very thoughtful about it. And so there’s a lot of growth opportunities that we see all over the world. And of course, we’ll never ignore the United States and Canada and a lot of the Western world. But I think when you look at places like South America and you look at places like Nigeria and you look at places like the UAE, they all have different elements and different reasons as to why people are really seeking out crypto type solutions, payment type solutions, right? If we look down into — let’s start with South America and let’s look at Argentina.

We already saw this trend before we even went down this path. One of the most popular assets inside of Exodus is actually it’s USDT on TRON. And a lot of people here are going to wonder like why would it be USDT on TRON. So first of all, USDT, as many of you already know, is a dollar stablecoin. But why TRON? The reason people are using TRON is because in South America and Latin America, the way they’re thinking about it is on TRON, they don’t have to pay any fees for the initial transfer of the dollars. And this is why it’s so important in Exodus Pay, consumers don’t even have to think about, “Oh, I have to pay Solana gas fees or anything of that nature.” So in Argentina, the people in Argentina, because of the currency is — the Argentinian currency, the inflation is so nasty, right?

A lot of people are really seeking out dollars. And so that’s — there’s high demand there. So we bring Exodus Pay to a place like Argentina, make it very simple, connect it to a card like Visa and allow our customers to easily and people in Argentina be able to easily, again, send money to friends in a peer-to-peer way, pay for the groceries that tap to pay through Visa and again, be able to buy things that benefit their daily lives. So then over into Nigeria, we just — Nigeria is one of the largest African countries. And we’re seeing a lot of strong crypto demand there. And now for Nigeria, it’s going to be for similar reasons. Nigeria is fast becoming one of the largest countries that we’re already using Exodus. So again, we just see it as an opportunity to get in there because we have Nigerians already using Exodus.

Now the UAE is a little bit of a more different case. And the reason the UAE becomes really interesting for us, specifically Dubai and Abu Dhabi is that in these countries, you have a high count of expats in there, right? And a lot of expats and a lot of pricing of goods and services, like things like real estate, you will typically see in dollars. So this gives us a good inroad to have a global partnership with Visa and to do these things in these places. And so we see this as a big opportunity in growth areas.

Gareth Gacetta: Totally. That’s super helpful. And I know it’s still early days, but it seems like kind of combined, this has sort of a TAM uplift, but also an economic uplift. So could you maybe talk about the economic side of the uplift in the acquisition of Monavate and how that plays into the equation?

James Gernetzke: Yes. So we have not — as you can imagine, we have not given any added guidance since the — since our discussion in November and the deal has changed. But obviously, we absolutely see and I believe in the Summit, we talked about the 2027 kind of as a time frame. And we expect about 40-ish-plus percent of our revenue to start coming through the Monavate platform in 2027. In the short term here, we’re actively integrating and we’ll obviously have more here shortly as we get through a quarter or two, and we’ll definitely be able to give you a lot more color here and especially once we get those pro formas out. I would just note on the previous question, there are some advantages to local issuing. It’s one of the advantages that Monavate has over some of the other platforms, as you saw in my slides.

And the global issuing basically just helps round out that platform. So I guess the ultimate answer to that question is we absolutely see strong future economic impact here, but we’ll be giving more color and clarity over the next quarter or two.

Jack Barlow: Our next question comes from Mike Grondahl with Northland.

Mike Grondahl: Maybe the first one for James. I think I saw on one of your slides, the original purchase price was $175 million. Now it looked like it was about $108 million. Can you mention again why it’s lower and what assets or businesses you did not receive?

James Gernetzke: Sure. It’s lower for a number of reasons. I mean if you watched how this played out with the notes that we did in the original transaction that we ended up using as a mechanism to acquire the U.K. entities. I mean I think that was the first one. And then we did a separate agreement to acquire some of the other assets that we wanted. And that — and because of that structure, there were things in the original agreement around — that were papered, around things like retention of employees, et cetera. There was a Latvian company, [indiscernible] that didn’t come over, and there were some things of that nature. And so we still expect that there will be more expenses related to this. It’s just they did not necessarily make it into the transaction in the same manner that the first one was. So I don’t know if that was — gave you enough clarity or.

Mike Grondahl: No, that makes sense. And then maybe for JP, I saw the UFC announcement. But for Exodus Pay Monavate — how would you describe your go-to-market strategy? Is this going to be a big push? Like how is the word going to get out?

J. Richardson: Yes. I mean what’s great about the UFC is that there’s 700 million fans worldwide. And so this partnership with the UFC, I mean, from a consumer perspective is really big. As mentioned, the official payments partner of the UFC. And so that’s huge, right? And so there’s a number of assets that come along with it, right? There’s a lot of digital assets in the sense of commercials and when fights are happening, there’s going to be Exodus Pay in-flight commercials and things like that with QR codes and activation points. And for us, I think those are all very exciting. But I think bigger than that is the aspect of — and a lot of people aren’t thinking about it like this, but the aspect of B2B and hospitality. And I think that’s an underrated thing.

And what I mean by that is years ago, there’s a company who were still partners today, and I didn’t even ask them if I could say their name in advance, I’m going to leave their name out. But before we signed a deal with them, they asked me like, JP, have you ever run out and experienced the F1? Never had. So they invited me out to go to an F1 race, and it was incredible. Then they invited me to a courtside basketball game. It is incredible. And just again, these really high hospitality conversations and experiences. And over time, it just helped to really develop a relationship of — as I got to know the people at this company of really strong trust. And so for us, as we have entered into this UFC partnership, we’re thinking about it in that same aspect of providing hospitality and experiences to our partners and allowing them to have great experiences with us.

So again, the UFC partnership, again, provided a lot on the consumer side, but the aspect that I think will be great for our business is on the B2B side. In fact, I’m not going to name this partner either, but I recently invited a top executive of a partner down to a UFC match, floor seats. He thought it was amazing. We never experienced anything like that and I anticipate at some point in time, we’ll continue to have really big deals with this company.

Mike Grondahl: Awesome. And maybe just one more. April and May activity, any comment on, call it, the last 5, 6 weeks?

James Gernetzke: No, we don’t necessarily have a lot of color there other than you just see the general market moves, and that’s reflected, obviously, in some of our volumes. We — on the base business, we’re absolutely looking forward to seeing the impact of some of the things like Clarity and things of that nature. And the other aspects of the business, again, the Monavate piece, again, that will come over the next couple of quarters. And Exodus Pay, we’ll be watching that over time as well. So I think just from the base business perspective, it’s somewhat business as usual at the moment.

Jack Barlow: Seeing no more questions, this will conclude our call. As a brief reminder, if you have any follow-up questions, please reach out to us directly or use our social channels on X and Reddit. Thanks for joining us today, and we look forward to talking to you again next quarter.