Mr. Robert Galarza reports

BLOCKSTRAIN TECHNOLOGY ANNOUNCES SECOND QUARTER 2019 FINANCIAL RESULTS

Blockstrain Technology Corp. has released its second quarter results for the three and six months ended Oct. 31, 2018. Prior to completion of its reverse takeover transaction on May 17, 2018, Blockstrain had only been incorporated since Nov. 22, 2017. As such, there are no prior quarters for financial comparison.

"The core technology of Blockstrain was created to address some of the primary issues facing licensed producers and growers in the market, with respect to strain verification and quality assurance. By combining genomic science with big data and implementing the security of blockchain to document and certify each step of the cannabis cultivation process, from genome to sale, we are working to transform the industry with a fully integrated, closed-loop solution," said Robert Galarza, chief executive officer.

"We are working with licensed producers and micro cultivators alike as they enter the newly legalized ecosystem," stated Mr. Galarza. "By adopting our technology, our clients can easily and inexpensively move their products through testing procedures. Our first commercial client, WeedMD, recently launched our solution and has genetically registered 40 proprietary strains developed in-house, allowing them to truly stand behind their product. We anticipate gaining considerable traction in the marketplace as suppliers and distributors recognize the strong value our solution provides."

Financial and operational highlights:

• The company's comprehensive loss was $2.3-million and $11.3-million, respectively, for the three and six months ended Oct. 31, 2018. Two million three hundred thousand dollars of non-recurring listing charges related to the reverse takeover were incurred in the first quarter.
• For the three and six months ended Oct. 31, 2018, adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) was $1.6-million and $5.8-million, respectively.
• Operating expenses for the three and six months ended Oct. 31, 2018, were $2.3-million and $9-million, respectively.
• The company's finances used in operations were $1.6-million and $6.2-million for the three and six months ended Oct. 31, 2018, which were primarily deployed for marketing campaigns and product development.
• Cash on hand as of Oct. 31, 2018, was $4-million, compared to $5.6-million at the beginning of the second quarter.
• In the second quarter, WeedMD, Blockstrain's first commercial client, launched the company's genome registration and tracking software, following the collection and registration of WeedMD's cannabis plant DNA (deoxyribonucleic acid).

                              Q2 2019        Q1 2019    Q4 2018    Q3 2018
Revenue                            --             --         --         --
Adjusted EBITDA (1)        (1,587,355)    (4,167,857)      (220)      (304)
EBITDA(1)                  (2,292,559)    (8,995,890)      (224)      (304)
Net (loss)                 (2,295,244)    (2,739,983)      (224)      (304)
Comprehensive (loss)       (2,295,244)    (8,998,361)      (224)      (304)

(1) EBITDA and adjusted EBITDA are not measures of financial performance under
IFRS (international financial reporting standards). The definition for adjusted
EBITDA can be found in the company's management's discussion and analysis for
the period ended Oct. 31, 2018, on SEDAR.

More detailed financial information and analysis, with respect to Blockstrain's results of operations, are available in its unaudited interim financial statements and management's discussion and analysis for the period ended Oct. 31, 2018, both of which can be found on SEDAR.

Blockstrain also announced that it has retained Bullseye Corporate for strategic investor relations and capital markets communications services. Under the terms of the agreement, Blockstrain will pay Bullseye Corporate a monthly fee of $3,210 plus HST (harmonized sales tax) for continuing strategic communication services. The agreement may be terminated by either party with 30 days written notice. Bullseye Corporate, nor any of its executives, have an ownership interest, directly or indirectly, in Blockstrain or its securities. Blockstrain has not granted Bullseye Corporate or its executives any right to acquire any such interests.

About Blockstrain Technology Corp.

Blockstrain has developed the first integrated blockchain platform to register and track intellectual property in the cannabis industry. The company's technology allows cannabis growers and breeders to identify and secure rights to their intellectual property. The Blockstrain platform also streamlines the administrative process and reduces the costs of genetic and mandatory quality control testing for legal cannabis.

We seek Safe Harbor.