Per NFT Investments Plc's (AQSE:NFT) interim results, the Aquis-listed incubator maintained its balance sheet by limiting new investments and exiting certain decentralised finance (DeFi) positions ahead of sharp market declines.
Operating losses came to £94,600, a substantial 95% reduction from the previous half having slashed administrative expenses.
Due to the US$2trn rout in the global crypto markets experienced in the first half, total losses rose from £2mln to £4.2mln on a revaluation of held crypto assets and investments.
NFT Investments’ strong cash position at the start of the year shored up net cash outflows of £1.5mln.
Executive director Jonathan Bixby said: “As a result of this cautious and forward-thinking approach, NFT Investments currently has a strong balance sheet and is very well positioned to weather the challenging market environment, but also to take advantage of robust investment opportunities that we believe will deliver value for our shareholders as the market returns to a period of growth.”
A conservative business approach should be expected going forward, since in the company’s words: “We have not yet seen signals from the market that we are at a bottom. We remain cautious and will use our conserved capital when we believe that the time is right.”