Revenue Drivers

How the modeled C$127M of five-year revenue is generated: the six fee streams, the rate on each, 4orm's share, and why every rate is set conservatively against what the market already charges.

PREPARED BY

KCS Capital · CFA-audited

ROUND STATUS

Pre-Seed $3M
Opens July 1, 2026

Where the C$127M comes from

The five-year model (document 05.1) generates revenue from six fee streams plus non-dilutive grants, each calculated bottom-up in the workbook from the partner institutions' own balance-sheet data (document 05.5). Two characteristics matter to an investor: the revenue is contracted and recurring, not trading-dependent, and every rate is set below what comparable services already charge. This document breaks each stream out and shows the benchmark it sits under.

FEE STREAM	RATE	4ORM SHARE	5-YR REVENUE	% OF TOTAL
SaaS + APIs	$25K / mo / client	80%	$46.0M	36.9%
Issuance fees	0.5% of issuance	60%	$44.5M	35.6%
Custody fees	30 bps of AUA	40%	$24.8M	19.9%
Settlement fees	1.5 bps of volume	30%	$3.2M	2.5%
Trading fees	5 bps of volume	100%	$3.0M	2.4%
Atomic settlement savings share	25% of verified savings	—	$2.7M	2.2%
E-Transfer settlement	0.15%	—	$0.7M	0.6%
Total fee revenue			$124.9M	100%
Non-dilutive grants	170+ programs mapped	—	$2.2M	—
Total revenue + grants			$127.1M

REVENUE MIX · SHARE OF THE C$124.9M FEE BASE

SaaS + APIs36.9% · $46.0M

Issuance35.6% · $44.5M

Custody19.9% · $24.8M

Settlement2.5% · $3.2M

Trading2.4% · $3.0M

Savings + e-transfer2.8% · $3.4M

The shape is the headline: roughly 72% of revenue is SaaS and issuance, contracted streams that do not depend on trading volume. The volume-based lines (settlement, trading) stay a small minority through 2031, which is what makes the projection resilient to market conditions.

2.0

WHY EACH RATE HOLDS

Every rate is set under the market

SaaS + APIs · $25K per institution per month. Enterprise financial-infrastructure SaaS routinely prices in the tens of thousands per month per institution; $25K is a mid-market figure for a regulated, mission-critical platform, and it is the most predictable line in the model because it is a flat recurring contract independent of volume.

Issuance · 0.5% of issuance volume. Issuance is the largest dollar line because it is charged on the act of tokenizing an asset, the platform's core function. The rate is in line with primary-issuance economics in capital markets and applies only to the modeled 1.5% of partner lending and AUA that is tokenized, not the whole balance sheet.

Custody · 30 bps of assets under administration. Regulated digital-asset custody commonly prices at 30 to 50 bps; 4orm models the bottom of that range. Custody is a recurring, AUA-based stream that compounds as more assets are brought on-platform.

Settlement · 1.5 bps, and trading · 5 bps. Both are deliberately tiny, basis points on volume, because the strategy is to win on price against legacy rails, not to extract rent. Even at these rates the proven institutional precedent is enormous: JPMorgan's Kinexys runs $7B+ in tokenized settlement per day (document 02.8), which is the volume the same fee structure is built to capture in Canada.

Atomic settlement savings share · 25% of verified savings. A gainshare line: 4orm charges a share of independently verified cost savings it delivers to the institution. Value-based contracts typically run 20 to 30% of verified savings; 4orm models the conservative midpoint. The savings methodology is itemized in document 05.5.

THE DISCIPLINE

This is the entire revenue surface of the base case, four named institutions, seven streams, every rate benchmarked low. It does not include any of the expansion verticals (document 02.6) or the education revenue bridge (document 05.2); those are upside layered on top. The model behind every figure here is fully visible and CFA-audited in document 05.1, with each assumption sourced in document 05.5.

Sources · primary and third-party

All revenue figures and rates: 4orm Five-Year Financial Model v8 (document 05.1) and Model Source Documentation (document 05.5), CFA-audited.
Institutional tokenized-settlement precedent (JPMorgan Kinexys, $7B+/day): jpmorgan.com/kinexys (see also document 02.8, Global Tokenization Proof Points).
Partner balance-sheet inputs (ATB deposits, lending, AUA): ATB Financial Annual Report FY2025, itemized in document 05.5.
Atomic-settlement savings methodology and gainshare benchmark: 4orm Per-Institution Conservative Savings workbook (June 2026), document 05.5.

Forward-looking estimates from the 4orm five-year model, subject to material change. Not an offering document. The authoritative workbook is document 05.1.

DATA.4ORMFINANCE.COM

NOT FOR DISTRIBUTION

Prepared for approved data room members. This document does not constitute an offer to sell securities or a solicitation of an offer to buy securities. 4orm Finance Holdings Inc. is the parent entity of 4orm OpCo, 4ormEx OpCo, and 4orm Trust Co; technology is developed by KCS Capital, an independent research and development firm.