David Feaster

Mehmed Rizvanovic

Andrew Scutt

Joseph Yanchunis

Mike Rizvanovic

Timothy Switzer

- VersaBank's wholly owned US subsidiary, VersaBank USA, has entered into an agreement with **Thrive Financial Inc.** to utilize the Bank's Receivable Purchase Program (RPP) in the United States.  **[1690639_20251006TO90686:0]** 
- An **initial funding** was immediately completed under this new partnership.  **[1690639_20251006TO90686:0]** 
- This collaboration supports VersaBank's confidence in achieving its US RPP portfolio target of **US$290 million**.  **[1690639_20251006TO90686:0]** 
- VersaBank broadly launched its Receivable Purchase Program funding solution in the US in **August 2024**.  **[1690639_20251006TO90686:1]**

VersaBank Partners with Thrive Financial for US Receivable Purchase Program

- **VersaBank** (TSX: VBNK; NASDAQ: VBNK) announced that its wholly owned US subsidiary, VersaBank USA, has partnered with **Thrive Financial Inc.** to utilize the Bank's Receivable Purchase Program (RPP) in the United States.  **[1690639_0001690639-25-000044_vbaddsthrivetorppoctober.htm:0]** 
- Thrive Financial is a Virginia-based technology platform for point-of-sale financing of home improvement projects.  **[1690639_0001690639-25-000044_vbaddsthrivetorppoctober.htm:0]** 
- An **initial funding** was immediately completed under this new agreement.  **[1690639_0001690639-25-000044_vbaddsthrivetorppoctober.htm:0]** 
- This collaboration supports VersaBank's confidence in achieving its US RPP portfolio target of **US$290 million**.  **[1690639_0001690639-25-000044_vbaddsthrivetorppoctober.htm:0]**

VersaBank Announces Thrive Financial as New US Receivable Purchase Program Partner

- VersaBank is expanding its **Receivable Purchase Program (RPP)** into the U.S. market, utilizing its unique model with a **put-back arrangement** to minimize credit risk and drive asset growth.  **[1690639_2157624_1]** **[1690639_2157624_3]** **[1690639_2157624_4]** 
- The bank has developed the **world's first digital vault, VersaVault**, offering tokenized, interest-bearing deposits (CAD VB and USD VB) on multiple blockchains, with pilot projects in Canada and the U.S..  **[1690639_2157624_2]** **[1690639_2157624_3]** 
- **AI enhancements** are being implemented to the RPP to enable **real-time purchase of receivables**, aiming to significantly improve efficiency and provide immediate funding to partners.  **[1690639_2157624_4]** **[1690639_2157624_5]** 
- VersaBank plans to **divest its cybersecurity firm, DRT Cyber Inc.**, by the end of the calendar year, which is anticipated to increase book value, and is reorganizing to a U.S. bank holding company structure.  **[1690639_2157624_3]** **[1690639_2157624_4]**

VersaBank Highlights U.S. Expansion, Digital Vault, and AI Innovations

- VersaBank announced on **September 18, 2025**, the implementation of new, internally developed Artificial Intelligence (AI) capabilities within its proprietary core banking technology.  **[1690639_0001690639-25-000042_a6-kxaicapabilitiesincoreb.htm:0]** **[1690639_0001690639-25-000042_ailaunchseptember182025.htm:0]** 
- These new AI capabilities enable **real-time monitoring** of the company's Receivable Purchase Program (RPP) portfolio, which is expected to **further mitigate risk** and **enhance efficiency**.  **[1690639_0001690639-25-000042_ailaunchseptember182025.htm:0]** 
- The Bank intends to leverage these enhanced AI capabilities to develop innovative new financing options within its RPP, including real-time purchasing of cash flow streams, with the goal of **expanding market share in Canada** and **accelerating growth in the United States**.  **[1690639_0001690639-25-000042_ailaunchseptember182025.htm:0]**

VersaBank Implements New AI Capabilities in Core Banking Technology

- **VersaBank (TSX:VBNK; NASDAQ:VBNK)** has implemented **new, internally developed artificial intelligence (AI) capabilities** within its proprietary core banking technology.  **[1690639_20250918TO76198:0]** 
- These new AI capabilities enable **real-time monitoring of its entire Receivable Purchase Program (RPP) portfolio**, further enhancing its low-risk credit asset model.  **[1690639_20250918TO76198:0]** 
- The Bank plans to develop **innovative new financing options** within its RPP, including real-time purchasing of cash flow streams, to expand market share in Canada and accelerate its ramp-up in the United States.  **[1690639_20250918TO76198:0]** 
- VersaBank broadly launched its unique Receivable Purchase Program funding solution to the **US market in August 2024**.  **[1690639_20250918TO76198:0]**

VersaBank Implements New AI Capabilities

- VersaBank has initiated a **refresh of its Canadian Digital Deposit Receipts (DDRs) pilot program** and integrated it with its US pilot program, aiming to demonstrate **high-speed, low-cost, and secure cross-border payment transactions**.  **[1690639_0001690639-25-000039_ddrcdnpilotprogramsept16.htm:0]** 
- Both pilot programs are anticipated to conclude by the **end of calendar 2025**, with a commercial launch expected shortly thereafter, subject to regulatory requirements.  **[1690639_0001690639-25-000039_ddrcdnpilotprogramsept16.htm:0]** 
- The company identifies a significant **near-term commercial foreign exchange opportunity** given its status as the sole nationally licensed bank in both the United States and Canada with tokenized deposit capabilities.  **[1690639_0001690639-25-000039_ddrcdnpilotprogramsept16.htm:0]**

VersaBank refreshes Canadian DDR pilot and integrates with US program

- VersaBank has initiated a **refresh of its Canadian Digital Deposit Receipts (DDRs) pilot program (CADVB Pilot Refresh)**, integrating it with its **recently launched US-dollar DDR pilot program (USDVB Pilot Program)**.  **[1690639_20250916TO74049:0]** 
- The integrated pilot programs aim to demonstrate VersaBank's capability for **high-speed, low-cost, and secure cross-border payment transactions** using DDRs.  **[1690639_20250916TO74049:0]** 
- Both the CADVB and USDVB pilot programs are expected to be **completed by the end of calendar 2025**, with a commercial launch planned as soon as possible thereafter.  **[1690639_20250916TO74049:0]** 
- VersaBank highlights an **exceptional near-term opportunity** in foreign exchange, leveraging its position as the **only nationally licensed bank in both the United States and Canada with tokenized deposit capabilities** that can offer legally permitted interest payments and deposit insurance.  **[1690639_20250916TO74049:0]** 
- DDRs are defined as **bank-issued tokenized deposits**, which are 1:1 digital representations of actual cash deposits on the blockchain, providing enhanced security, stability, and regulatory compliance compared to stablecoins.  **[1690639_20250916TO74049:0]** **[1690639_20250916TO74049:1]**

VersaBank (VBNK)