Coinsquare Capital Markets Ltd. (“Bitbuy”) is offering crypto contracts to purchase and sell SEI in reliance on a prospectus exemption granted by the Canadian Securities Administrators (CSA) in the amended and restated exemptive relief decision dated October 11, 2024. The statutory rights of action for damages and the right of rescission in section 130.1 of the Securities Act (Ontario) and similar legislation in the other CSA jurisdictions do not apply in respect of a misrepresentation in this statement to the extent that a crypto contract is distributed under the above-noted prospectus relief.

No securities regulatory authority in Canada or any other jurisdiction has expressed an opinion about any of the crypto assets (or crypto contracts) that are available through Coinsquare’s platform, including an opinion that the crypto assets are not themselves securities and/or derivatives.

Coinsquare has compiled the information contained in this Crypto Asset Statement to the best of its ability based on publicly available information.

SEI is the native token of the Sei blockchain. Sei is a proof of stake network that executes smart contracts in a decentralized manner. It is the first parallelized EVM (Ethereum Virtual Machine) blockchain, designed to combine the high performance and speed of Solana with the compatibility and developer tooling of Ethereum. This architecture allows it to process transactions in parallel, significantly increasing throughput and finality speed. Sei was originally built using the Cosmos SDK and employed a unique consensus mechanism, called Twin Turbo, based on the standard Tendermint algorithm. However, following the community-approved SIP-3 governance proposal in May 2025, Sei is in the process of transitioning to an EVM-only chain by mid-2026, deprecating its Cosmos smart contracts, native Cosmos transactions, and IBC interoperability. As part of this transition, Sei is implementing the "Sei Giga" upgrade, which targets over 200,000 transactions per second and sub-400 millisecond finality. The SEI token can be staked to secure the network and earn rewards, and token balances can be used to vote on governance proposals.

As with all assets, investing in SEI is not without some general risks. All of the risks of trading and staking crypto that are identified and explained in our Risk Statement apply to SEI. In addition to the general risks, we outline some risks that are specific to SEI below. While we make an effort to identify every source of risk, we encourage you to do your own research and ensure you are comfortable investing in SEI.

Although Sei is a layer-1 blockchain, it was originally heavily intertwined with the Cosmos Network. Sei was developed using the Cosmos SDK, and it utilized the Twin Turbo consensus mechanism, which is based on the Tendermint algorithm. However, in May 2025, the Sei community approved SIP-3, a governance proposal to deprecate Sei's native Cosmos transactions and CosmWasm smart contracts and transition to an EVM-only chain by mid-2026. This transition is being implemented through a series of network upgrades, including the disabling of inbound IBC (Inter-Blockchain Communication) transfers and the removal of Sei's native oracle in favor of established providers such as Chainlink, API3, and Pyth. While this migration is intended to simplify the developer experience and improve performance, it introduces execution risk during the transition period. Potential investors should be aware that Sei's historical relationship with the Cosmos ecosystem is being actively wound down, and should consider both the potential benefits and the risks associated with this significant architectural change when evaluating SEI for investment.

Sei is one of many layer-1 blockchains that aim to solve the problems of transaction cost, transaction throughput, scalability, and speed that exist with older blockchains. These networks are in direct competition with each other for similar activity and often employ similar solutions to the same problems listed above. While Sei was originally built on the Cosmos SDK alongside networks like Celestia and Injective, its transition to an EVM-only architecture positions it in more direct competition with other high-performance EVM-compatible chains. As Sei pursues its Giga upgrade targeting over 200,000 transactions per second, it competes not only with other emerging layer-1 networks but also with established platforms such as Ethereum and Solana, as well as Ethereum layer-2 scaling solutions. Potential investors should be aware of the intense competition among layer-1 networks and consider this when evaluating SEI.