DelphX Announces the Issuance of Shares for Services

Toronto, Ontario–(Newsfile Corp. – August 14, 2020) – DelphX Capital Markets Inc. (TSXV: DELX) (“DelphX“) today announces that it will issue 133,333 common shares (the “Shares“) (the “Issuance“) to Patrick Wood, President and CEO of DelphX, pursuant to Mr. Wood’s employment agreement in lieu of cash remuneration for the services of Mr. Wood as President and Chief Executive Officer of DelphX for the period from June 1, 2020 to July 31, 2020 (as disclosed in the news release dated June 1, 2020). The Shares will be issued at a deemed price of $0.075 each, being the discounted market price of the Shares under the policies of the TSX Venture Exchange at the date of the news release issued June 1, 2020. The total compensation for the period is $10,000. The Issuance of the Shares will be subject to the approval of the TSX Venture Exchange.

The Issuance constitutes a “related-party transaction” within the meaning of TSXV Policy 5.9, which incorporates Multilateral Instrument 61-101 (“MI 61-101“) and DelphX intends to rely on certain exemptions contained in sections 5.5(b) and 5.7(a) of MI 61-101.

The Issuance will not result in a new Control Person, and subsequent to the Issuance, DelphX will have 96,606,542 common shares outstanding.

About DelphX:

DelphX is a technology and financial services company focused on optimizing credit markets. Its Cloud-based technology, actuarial science and reinsurance protocols enable fixed income dealers to offer new Rule 144A securities that optimally transfer and diffuse credit risk. The new DelphX platform will be regulated by the SEC and enable dealers to competitively structure, sell and make markets in:

• Covered Put Options (CPOs) that provide secured default protection for underlying corporate, municipal and sovereign securities, with each CPO strike-price equaling the par value of its underlying security

• Covered Reference Notes (CRNs) that enable credit investors to take on the default exposure of a single underlying security or optionally participate in a pool of diversified risks that broadly diffuses the impact of credit events.

All CPOs and CRNs will be collateralized by investment grade assets held in custody by an independent custodian.

For more information about DelphX, please visit www.delphx.com.

Contact:
Patrick Wood, President & CEO
DelphX Capital Markets Inc.
P: 416.473.9133
E: patrick.wood@delphx.com

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.