Core Viewpoint - Mercurity Fintech Holding Inc. has appointed Wilfred Daye as Chief Strategy Officer and CEO of its subsidiary Chaince Securities, effective February 1, 2025, to drive strategic innovation and operational excellence [1][2] Group 1: Leadership and Roles - Wilfred Daye will focus on global expansion and digital asset adoption as Chief Strategy Officer at MFH, leveraging his strategic insight and market expertise [2][3] - As CEO of Chaince Securities, Daye aims to deliver tailored investment banking solutions to meet the needs of a dynamic market [2][3] Group 2: Experience and Background - Daye has over two decades of experience in structured credit trading and financial innovation, previously serving as CEO of Securitize Capital, where he led the tokenization of private equity assets for major firms [3][4] - His career includes significant roles at UBS, Deutsche Bank, and Barclays Capital, specializing in complex financial products and global credit [4] Group 3: Company Vision and Strategy - Daye expressed excitement about shaping the future of finance by combining technology and financial expertise, aiming to create lasting value for clients [5] - The CEO of MFH, Shi Qiu, emphasized the need for a leader who understands both traditional and digital finance, highlighting Daye's passion for financial innovation [5] Group 4: Company Overview - Mercurity Fintech Holding Inc. is a digital fintech company focused on delivering innovative financial solutions while maintaining compliance and operational efficiency across North America and the Asia-Pacific region [6]

Core Viewpoint - Mercurity Fintech Holding Inc. has successfully priced a new PIPE financing, raising approximately US$8.04 million by selling 1,370,000 ordinary shares at US$5.87 per share, reflecting strong institutional confidence in the company's strategic direction [1][3][4]. Group 1: PIPE Financing Details - The PIPE financing was priced at-the-market, representing 100% of the closing price of the company's shares on January 8, 2025 [1]. - The financing is expected to close on or before January 17, 2025, subject to customary closing conditions [2]. - This new PIPE investment follows a previous successful PIPE offering of US$10 million on December 19, 2024, at a price of US$6.81 per share [3]. Group 2: Use of Proceeds and Strategic Vision - The company plans to utilize the funds from this latest PIPE to enhance its business in AI hardware intelligent manufacturing and advanced liquid cooling solutions [3][4]. - The CEO emphasized that the rapid succession of investments indicates growing confidence from the institutional investor in the company's vision and operational capabilities [4]. Group 3: Company Overview - Mercurity Fintech Holding Inc. operates as a digital fintech company with a focus on distributed computing and digital consultation across North America and the Asia-Pacific region [5]. - The company aims to provide innovative financial solutions while maintaining compliance, professionalism, and operational efficiency in the evolving digital finance landscape [5].

Company Overview - Mercurity Fintech Holding Inc. is a digital fintech group focused on delivering innovative financial solutions and services across North America and the Asia-Pacific region, emphasizing compliance, professionalism, and operational efficiency [10]. Recent Developments - The company successfully closed a private investment in public equity (PIPE) financing, selling 1,470,000 ordinary shares to an institutional investor at a price of US$6.81 per share, resulting in total gross proceeds of approximately US$10 million [5][9]. - The PIPE offering was priced at-the-market, representing 100% of the closing price of the company's shares on the last trading day prior to the agreement [5]. Strategic Initiatives - The net proceeds from the PIPE financing will be utilized to support strategic initiatives, including investments in AI hardware intelligent manufacturing and the development of advanced liquid cooling solutions, aimed at enhancing the efficiency and sustainability of AI-driven infrastructure [9]. - The funding is expected to strengthen the company's day-to-day operations and enable it to scale initiatives in response to the evolving demands of AI-powered industries [6].

New York, Dec. 16, 2024 (GLOBE NEWSWIRE) -- Mercurity Fintech Holding Inc. ("Mercurity Fintech," "the Company," "we," "us," "our company," or "MFH") (NASDAQ:MFH), a digital fintech group, today announced the signing of a term sheet with a high-tech enterprise specialized in the manufacturing and sale of precision fasteners, structural parts and other precision metal parts products for new energy vehicles and smart electronic devices. This collaboration aims to establish a strategic joint venture (the "JV") ...

Core Insights - Mercurity Fintech Holding Inc. reported significant growth in GAAP revenue for the first half of 2024, reaching USD$517,177, which is an increase of 110.03% compared to USD$246,242 in the first half of 2023 [2] - The company experienced a reduction in GAAP gross loss, which decreased by 38.18% to USD$276,444 from USD$447,178 in the same period last year [2] - However, the GAAP net loss increased by 48.71%, amounting to USD$3,834,465 compared to a net loss of USD$2,578,541 in the first half of 2023 [2] Financial Performance - GAAP Revenue: USD$517,177 for H1 2024, up from USD$246,242 in H1 2023, reflecting a growth of 110.03% [2] - GAAP Gross Loss: USD$276,444 for H1 2024, down from USD$447,178 in H1 2023, indicating a decrease of 38.18% [2] - GAAP Net Loss: USD$3,834,465 for H1 2024, compared to USD$2,578,541 in H1 2023, showing an increase of 48.71% [2] Company Overview - Mercurity Fintech Holding Inc. operates as a digital fintech company with a focus on distributed computing and digital consultation across North America and the Asia-Pacific region [4] - The company aims to provide innovative financial solutions while maintaining compliance, professionalism, and operational efficiency [4] - Mercurity is dedicated to contributing to the evolution of digital finance by offering secure and innovative financial services to both individuals and businesses [4]

Core Insights - Mercurity Fintech Holding Inc. announced that its subsidiary, Chaince Securities Inc., received approval from FINRA for the change in ownership of J.V. Delaney & Associates, a licensed broker-dealer established in 1982 [1][2] - The acquisition aims to integrate digital finance with traditional financial services, reflecting the company's strategic vision [2][4] - The approval is contingent upon meeting specific operational parameters and regulatory requirements, including the submission of the executed Membership Agreement to FINRA by December 13, 2024 [2][3] Company Overview - Mercurity Fintech Holding Inc. is a digital fintech company focused on delivering innovative financial solutions while adhering to compliance and operational efficiency [5] - Chaince Securities Inc., founded in 2023, serves clients in traditional financial and brokerage sectors and plans to expand its services through the acquisition of J.V. Delaney & Associates [6]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of each class Trading Symbol(s) Name of each exchange on which registered Ordinary Shares, par value US$0.004 per share MFH The Nasdaq Capital Market FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT ...

Financial Performance - Total revenue for 2022 was $863,000, a 23% increase from $670,000 in 2021[15] - Cryptocurrency mining revenue increased to $783,000 in 2022 from $664,000 in 2021, reflecting a 18% growth[15] - Total cost of revenue for 2022 was $1,381,000, compared to $703,000 in 2021, resulting in a gross loss of $517,000[15] - Total operating expenses for 2022 were $5,368,000, a significant increase from $13,274,000 in 2021[15] - The net loss attributable to holders of ordinary shares for 2022 was $5,635,000, compared to $21,666,000 in 2021, indicating a reduction in losses[15] Asset and Liability Changes - Total current assets increased to $7,516,000 in 2022 from $1,742,000 in 2021, showing a substantial growth[17] - Total assets rose to $18,893,000 in 2022, up from $9,020,000 in 2021, indicating strong asset growth[17] - Total liabilities increased to $2,064,000 in 2022 from $1,372,000 in 2021, reflecting a rise in financial obligations[17] Regulatory and Compliance Issues - The company restated financial statements for 2021 due to changes in impairment testing methods for cryptocurrencies[16] - The company is subject to changing laws and regulations in China, which may increase operating costs and compliance risks[23] - The PRC government extensively regulates the internet industry, which could negatively impact the company's operations in China[86] - New laws and regulations may require additional licenses for the company's China subsidiaries, and failure to comply could result in penalties[86] - The interpretation of existing PRC laws creates substantial uncertainties regarding the legality of foreign investments in internet businesses in China[87] Business Operations and Strategy - The blockchain technical services business did not generate any revenue in 2022 due to the cessation of operations and loss of the technical team[32] - The company commenced cryptocurrency mining operations in the U.S. in December 2022, expanding its business line[28] - The company is actively exploring acquisition prospects to enhance its market coverage and capabilities, but may face operational and financial risks in doing so[43] - The company has shifted its business focus outside of the PRC due to adverse regulatory changes affecting cryptocurrency transactions[46] - The company plans to develop a cryptocurrency mining business through its subsidiary Golden Nation Ltd. in 2022[164] Competition and Market Challenges - The company faces intense competition in the blockchain industry and must adapt to changing customer requirements and emerging industry standards[1] - The competitive landscape includes major players like Uniswap and Huobi, necessitating continuous innovation from the company to maintain its market position[210] - There is a global shortage of high-end computer components necessary for cryptocurrency mining, which could hinder the company's ability to compete effectively[70] Risks and Uncertainties - The company has limited insurance coverage, which could result in losses from liability claims or business interruptions[1] - The company is subject to significant risks related to the reliability and security of blockchain technology, which could adversely affect its operations[35] - The company faces risks from natural disasters and health epidemics, which could significantly disrupt operations and affect overall business performance[85] - The company has experienced reputational damage due to the detention of former officers, which may impact its ability to maintain existing customers[51] Shareholder and Market Compliance - The company regained compliance with Nasdaq's minimum bid requirement on June 5, 2020, after the closing bid price of its ADSs was at least $1.00 for ten consecutive business days[136] - The company received a deficiency notice from Nasdaq on May 13, 2022, for failing to file Form 20-F, but regained compliance on June 22, 2022[138] - The company is subject to additional scrutiny under the "Holding Foreign Companies Accountable Act," which could affect the trading of its shares if auditors are not inspected by the PCAOB[124] Future Plans and Developments - The company plans to develop online and traditional brokerage services through its new U.S. subsidiary, Chaince Securities, Inc.[186] - The company aims to obtain a "BitLicense" from the New York State Department of Financial Services for digital currency-related activities, although no assurances can be provided[179] - The company is pursuing recovery of seized digital assets, which it believes were wrongfully impounded by the Public Security Bureau[186]

Financial Performance - Total revenues for 2021 were $670,000, a decrease of 52% from $1,402,000 in 2020[20] - Gross loss for 2021 was $(33,000), compared to a gross profit of $1,323,000 in 2020[20] - Net loss for 2021 was $(20,746,000), significantly higher than the net loss of $(1,651,000) in 2020[20] - Total current assets decreased to $1,742,000 in 2021 from $2,471,000 in 2020[23] - Total liabilities increased to $1,372,000 in 2021 from $708,000 in 2020[23] - The company recognized an impairment of intangible assets of $(2,124,000) in 2021, compared to $(835,000) in 2020[20] - The company recognized an impairment loss of $8,107,014 for goodwill in 2021 due to the discontinuation of operations in mainland China[47] Business Operations and Strategy - The company divested its PRC companies related to digital currency business, completed on January 15, 2022[22] - The company commenced cryptocurrency mining operations in 2021 and plans to expand this line of business in the U.S.[44] - Regulatory changes in China have forced the company to shift its business focus outside of the PRC, impacting its operational strategy[61] - The company acquired Mercurity Limited in May 2019 and NBpay Investment Limited in March 2020 to strengthen its blockchain capabilities[45] - The company acquired Join Me Group (HK) Investment Company Limited in June 2015 and divested its B2C business in September 2015, indicating a focus on strategic acquisitions and divestitures[146] Risks and Challenges - The company faces significant risks due to limited operating history and a limited customer base[25] - The company may encounter unforeseen costs and difficulties during business restructuring and acquisitions[26] - Regulatory changes in China regarding blockchain and digital assets may adversely affect the company's operations[27] - The company has a limited operating history in the blockchain industry, making it difficult to evaluate future prospects and increasing risks of failure[43] - The company faces inherent risks in the blockchain industry, including reliability, security, and regulatory risks that may affect service provision[50] - The company may encounter significant financial costs and operational risks when managing acquisitions or disposals of business lines[57] - The company faces intense competition in the blockchain industry, with competitors potentially introducing superior trading platforms and solutions[71] - The company is experiencing a worldwide shortage of high-end computer components necessary for cryptocurrency mining, which could impact its mining operations[85] - The company has limited ability to protect its intellectual property rights in the PRC, which could lead to potential infringement issues and associated costs[90] - The company may face allegations of intellectual property rights infringement, which could result in costly legal disputes and loss of rights[93] - The company may face infringement claims related to its technologies, products, and services, which could lead to costly disputes and lawsuits[94] - The company faces risks from natural disasters and health epidemics that could disrupt operations and impact results[102] Regulatory and Compliance Issues - The company is subject to evolving PRC regulations regarding internet businesses, which could impose additional compliance costs and operational challenges[104] - The PRC legal system presents uncertainties that could affect the company's ability to enforce rights and comply with regulations, potentially increasing operating costs[109] - The company must comply with SAFE regulations regarding offshore investments, which could restrict its ability to distribute profits and conduct cross-border activities[133] - Non-compliance with PRC regulations on share options could lead to fines and legal sanctions for the company and its employees[139] - The heightened scrutiny over acquisition transactions by PRC tax authorities may negatively impact the company's operations and investment value[140] - The company may incur penalties if its internet content is deemed to violate PRC laws, which could adversely affect its business operations[115] - The company anticipates continued costs and management time dedicated to compliance with the Sarbanes-Oxley Act and other regulatory requirements[100] - The company is subject to evolving cybersecurity and data privacy regulations in the PRC, which could result in government enforcement actions and operational disruptions if compliance is not met[151] - The newly enacted "Holding Foreign Companies Accountable Act" may impose additional criteria on the company's auditors, affecting the company's compliance and reporting[159] - The company's auditors are not inspected by the PCAOB, which may deprive investors of the benefits of such inspections and raise concerns about audit quality[161] - The company may experience operational disruptions if required to undergo a cybersecurity review by the CAC, which could negatively impact share trading prices[152] Shareholder and Market Considerations - The company has not established employment agreements with senior management, which could lead to disruptions if key personnel leave or join competitors[88] - The company has incurred significant legal, accounting, and compliance costs as a public entity, which are expected to increase due to the loss of emerging growth company status[210] - The company faces potential delisting from Nasdaq if it cannot meet PCAOB inspection requirements for its audit reports[166] - The Chinese government has significant control over business operations, which could impact the company's ability to list on Nasdaq in the future[167] - The company received a deficiency notice from Nasdaq on May 13, 2022, for failing to file Form 20-F, risking delisting if compliance is not regained[183] - The company regained compliance with Nasdaq's minimum bid requirement as of June 5, 2020, but future compliance is uncertain[181] - If the market value of publicly held shares falls below $1 million for 30 consecutive business days, the company may face delisting[178] - The company is exempt from certain Nasdaq corporate governance standards due to its status as a foreign private issuer[184] - The voting rights of ADS holders are limited, requiring them to provide instructions to the depositary, which may not always be timely or effective[204][205] - Shareholders have limited rights under Cayman Islands law to inspect corporate records and accounts, which may hinder their ability to gather necessary information for shareholder motions[202] - The depositary of the company's ADSs may decide not to distribute certain dividends or distributions if deemed impractical or unlawful, potentially affecting shareholder returns[195][206] Operational Developments - The company changed its name to "Mercurity Fintech Holding Inc." in April 2020 to align with its blockchain-based business[215] - In October 2021, the company incorporated Golden Nation Ltd. to develop a cryptocurrency mining business[216] - The company entered into a cloud computing power purchase agreement with Carpenter Creek LLC for bitcoin mining[217] - The Board of the company underwent reorganization in 2022, with key resignations due to personal reasons and criminal investigations unrelated to their roles[218]