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• LMFA is like a financial service that helps homeowner associations (HOAs) with cash flow by buying their overdue homeowner dues, much like a business sells its unpaid customer invoices to get immediate cash.
• Think of LMFA as a debt purchasing firm, but exclusively focused on overdue homeowner association assessments, similar to companies that acquire delinquent credit card debt from banks.

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• Delinquent Assessment Funding: LM Funding America provides capital to community associations by purchasing their rights to delinquent accounts originating from unpaid association assessments.
• New Neighbor Guaranty Program: A specialized financing service that involves purchasing delinquent accounts from community associations under terms specifically tailored to meet their financial needs.

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Bruce M. Rodgers, Chairman of the Board, Chief Executive Officer and President

Mr. Rodgers serves as the Chairman of the Board of Directors, Chief Executive Officer, and President of LM Funding America, Inc. He was instrumental in developing the Company's business model before its inception. Prior to his current role, Mr. Rodgers owned Business Law Group, P.A. (BLG) and provided counsel to the founders of LM Funding, LLC, the company's predecessor and wholly-owned subsidiary. He transferred his interest in BLG before the Company went public in 2015. Mr. Rodgers also served as Chief Executive Officer, President, and Chairman of the Board of Directors for LMF Acquisition Opportunities Inc., a Nasdaq-listed special purpose acquisition company, from December 2020 to October 2022. He is a former business transactions attorney, having been an associate and partner at law firms such as Macfarlane, Ferguson, & McMullen, P.A. and Foley & Lardner LLP.

Richard D. Russell, Chief Financial Officer and Principal Accounting Officer

Mr. Russell serves as the Chief Financial Officer and Principal Accounting Officer for LM Funding America, Inc. He is a key executive, as evidenced by his receipt of stock options and cash bonuses alongside other senior management in 2025.

Ryan Duran, Vice President, Operations and President, US Digital Mining and Hosting Co.

Mr. Duran has been with LM Funding America, Inc. since March 2015. Before joining the Company, he served as Operations Manager of Business Law Group starting in 2008. In 2025, he received stock options and cash bonuses.

Carollinn Gould, Director

Ms. Gould co-founded LM Funding, LLC, the predecessor to LM Funding America, Inc., in January 2008. She held the position of Vice President—General Manager and Secretary from January 2008 until September 30, 2020. She currently serves as a director of the Company.

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The key risks to LM Funding America, Inc. (LMFA) stem primarily from its dual business model encompassing both specialty finance and, increasingly, Bitcoin mining and treasury operations. Based on recent financial reports and public statements, the most significant risks are:

1. Volatility and Regulatory Uncertainty in the Cryptocurrency Market: LM Funding America's financial performance is highly susceptible to the volatile nature of Bitcoin markets, which can cause significant fluctuations in its operating results, revenue, and profitability. Economic downturns or geopolitical events could further reduce demand for Bitcoin. Additionally, the company faces substantial regulatory risks due to potential changes in laws and regulations concerning Bitcoin mining and digital assets, which may lead to significant compliance costs or operational restrictions. The emergence of alternative transaction validation methods, such as 'proof of stake,' also poses a risk of rendering current mining operations obsolete.

2. Operational Challenges in Bitcoin Mining: The company has a limited operating history in Bitcoin mining, making it difficult to assess future prospects and increasing investment risk. Key operational hurdles include ensuring the adequate capacity of its Bitcoin mining machines, securing power at reasonable prices, and successfully identifying and acquiring additional mining sites. The business is also exposed to supply chain disruptions for Bitcoin hardware and difficulties in obtaining new equipment, which could impede mining operations.

3. Credit, Regulatory, and Market Risks in Specialty Finance: Despite its pivot towards cryptocurrency, LM Funding America continues to operate its specialty finance business. This segment faces risks related to its ability to acquire new delinquent accounts at favorable prices. Furthermore, changes in governmental regulations that affect the collection of defaulted consumer receivables, shifts in credit or capital markets, and fluctuations in interest rates can all materially impact the profitability and operational efficiency of this business segment.

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The addressable market for LM Funding America (LMFA), a specialty finance company that provides funding to nonprofit community associations by purchasing delinquent accounts, can be estimated by the total annual delinquent homeowner association (HOA) assessments in its primary operating regions: Florida, Washington, Colorado, and Illinois.

The company's services focus on purchasing rights under delinquent accounts arising from unpaid Association assessments and purchasing delinquent accounts under its New Neighbor Guaranty program. The market size is presented in U.S. dollars for each specified state.

Addressable Market by Region (Estimated Annual Delinquent HOA Assessments)

• Florida: Residents in Florida pay nearly $20.5 billion annually in assessments to maintain their communities. With approximately 7% of residents in Florida reporting not paying their dues, the estimated annual delinquent HOA assessments in the state are approximately $1.435 billion (U.S.).
• Colorado: Residents in Colorado contribute $5 billion annually to maintain their communities. Assuming a similar 7% delinquency rate as observed in Florida, the estimated annual delinquent HOA assessments in Colorado are approximately $350 million (U.S.).
• Illinois: Residents in Illinois pay $8 billion annually to maintain their communities. Applying an estimated 7% delinquency rate, the annual delinquent HOA assessments in Illinois are approximately $560 million (U.S.).
• Washington: In Washington, there are 944,000 homes in HOAs, with an average monthly HOA fee of $388. This totals approximately $4.39 billion in annual assessments. Assuming a 7% delinquency rate, the estimated annual delinquent HOA assessments in Washington are approximately $307.3 million (U.S.).

Based on these estimations, the combined addressable market for delinquent HOA assessments in LM Funding America's primary operating states (Florida, Washington, Colorado, and Illinois) is approximately $2.65 billion (U.S.) annually.

For context, the national market for tax liens and deeds, a broader category that includes delinquent property taxes beyond just HOA assessments, was estimated to be around $5 billion (U.S.) annually for sale in 2024, with more than $20 billion (U.S.) in total delinquent property taxes each year across the United States.

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LM Funding America (NASDAQ: LMFA) is expected to drive future revenue growth over the next 2-3 years primarily through its strategic expansion and optimization within the Bitcoin mining sector, alongside potential, albeit less prominent, growth in its original specialty finance business. The company has shifted its focus significantly towards digital asset operations, which are now key to its forward-looking strategy.

Here are 3-5 expected drivers of future revenue growth:

1. Expansion of Bitcoin Mining Infrastructure and Capacity: LM Funding America is actively pursuing growth through the acquisition of new Bitcoin mining sites and the expansion of its existing facilities. For instance, the company acquired an 11 MW site in Mississippi, with 7.5 MW already operational and a total power capacity of 26 MW across its sites. Additionally, a 2 MW immersion mining expansion at its Oklahoma site is progressing and anticipated to energize by the end of the year. This increased infrastructure and the deployment of next-generation mining hardware, such as Bitmain S21 immersion-cooled miners, are expected to lead to higher Bitcoin production and, consequently, increased revenue.
2. Enhanced Operational Efficiency and Cost Reduction in Bitcoin Mining: The company is focused on improving its mining margins through vertical integration, which is projected to reduce energy costs and enhance overall operational efficiency. Initiatives like immersion cooling technology are expected to produce immediate returns and open up new mining site selection opportunities with lower costs. This strategic focus on efficiency and cost control aims to maximize revenue generated per Bitcoin mined.
3. Strategic Monetization of Curtailment and Energy Sales: LM Funding America has implemented a strategy to sell energy back to the grid during periods of peak demand. This approach complements its mining revenue and provides a natural hedge against Bitcoin price volatility. By treating its Bitcoin mining sites as power producers, the company can generate additional revenue from energy sales, contributing to overall financial performance and stabilizing operating costs.
4. Growth of Bitcoin Treasury: While not direct operational revenue, the company emphasizes a long-term strategy of accumulating Bitcoin as a treasury asset. The CFO has expressed confidence in steadily growing the Bitcoin treasury over time. The potential appreciation in the value of these Bitcoin holdings can significantly enhance the company's balance sheet and can be realized through sales, thereby impacting overall financial results.
5. Growth in the Specialty Finance Segment: Despite the significant pivot to Bitcoin mining, LM Funding America's original specialty finance segment, which provides funding to nonprofit community associations, continues to operate. This segment has maintained stable revenue, and a changing legislative environment is creating opportunities for loan growth due to increased assessments for Florida condominium associations. This offers a potential, albeit smaller, additional driver of revenue growth.

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Share Repurchases

• LM Funding America completed a private repurchase of approximately 3.3 million shares of common stock and warrants to purchase 7.3 million common shares for approximately $8.0 million on October 30, 2025.
• The company's Board of Directors authorized a share repurchase program of up to $1.5 million of its common stock on November 3, 2025, which is set to expire on September 30, 2026.

Share Issuance

• In August 2025, LM Funding America raised approximately $21.3 million net through a $12.6 million registered direct offering and a $10.4 million private placement.
• During the first two months of 2021, warrants were exercised for 11,013,500 shares of common stock, generating $9.6 million.

Inbound Investments

• An $11 million loan facility was provided by Galaxy Digital in October 2025 to finance the private repurchase of shares and warrants.
• LM Funding America successfully raised approximately $21.3 million net in August 2025 through a combination of a registered direct offering and a private placement.

Outbound Investments

• LM Funding America invested approximately $18.67 million in digital assets (Bitcoin) in Q3 2025.
• The company acquired 164 Bitcoin in Q3 2025, utilizing proceeds from financings to enhance its Bitcoin treasury.
• LM Funding America announced the planned acquisition of an 11 MW mining site in Columbus, Mississippi, for $3.9 million, funded from its balance sheet, as of August 2025.

Capital Expenditures

• Capital expenditures for the third quarter of 2025 were approximately $0.6 million.
• For the nine months ended September 30, 2025, capital expenditures totaled approximately $1.2 million.
• The primary focus of capital expenditures is related to the expansion of its Bitcoin mining operations, including the acquisition of new sites and equipment.