SINGAPORE, Oct. 02, 2025 — Davis Commodities Limited (Nasdaq: DTCK) announced today that it is evaluating a prospective multi-layered “commodity treasury” framework. This system, linked to its Real Yield Token (RYT) initiative, is designed to investigate how combining tokenized agricultural reserves, commodity futures, and programmable settlement rails could collectively develop into a multi-billion-dollar liquidity foundation for global agri-finance.
Developing a $2.5 Billion Digital Commodity Reserve Model
Initial internal projections, pending regulatory and market confirmation, indicate these possible results:
- USD 2.5 billion in tokenized commodity reserves over a three-year period.
- Reserves backed by commodities intended to steady settlement processes across more than 40 trading routes in Asia, Africa, and the Middle East.
- A projected annual transaction volume of USD 500–700 million for ESG-certified commodities, encompassing ISCC-certified rice, Bonsucro-verified sugar, and sustainable oils.
- Mechanisms for liquidity recirculation aiming for up to 30% quicker circulation compared to traditional bank-intermediated trade finance.
Defining a “Commodity Treasury”
A “commodity treasury” refers to a structured collection of tokenized reserves—such as stored sugar, rice, or sustainable oil supplies—connected to digital assets that generate yield. This adaptable liquidity buffer serves as a safeguard for international settlements, risk management (hedging), and financing tied to ESG (Environmental, Social, and Governance) principles, thereby improving clarity and capital effectiveness for both institutional and individual investor environments.
Ecosystem and ESG Collaboration Benefits
The suggested treasury framework has the potential to integrate established sustainability certifications (for example, ISCC, Bonsucro) directly within tokenized reserves. This integration could allow impact investment funds, institutional investors focused on sustainability, and local trade financiers to gain extensive access to verified, traceable, commodity-supported yield instruments.
Tokenized treasuries are drawing significant global interest, with conventional financial entities and fintech innovators progressively assessing on-chain reserve structures to boost transparency and operational effectiveness. Davis Commodities’ current investigation is consistent with these market trends, specifically targeting trade routes in emerging markets that frequently lack adequate service from traditional capital systems.
Executive Statement
“We are examining the convergence of physical commodities, digital yield design, and programmable settlement into a treasury system that is highly capital-efficient,” stated Ms. Li Peng Leck, Executive Chairwoman of Davis Commodities. “Our objective is to develop a scalable foundational structure capable of supporting both institutional risk management and consumer-centric ecosystems in developing markets—connecting validated supply chains with advanced capital flows.”
Subsequent Actions
The proposed treasury framework is currently being evaluated in cooperation with ESG auditing firms, blockchain infrastructure providers, and experts in international liquidity. As of now, no commitments for implementation have been finalized. Any potential pilot program or full launch will depend on regulatory discussions, market preparedness, and input from relevant parties.
Regarding Davis Commodities Limited
Headquartered in Singapore, Davis Commodities Limited is an agricultural trading firm focused on the trade of sugar, rice, and oil and fat products across diverse markets, notably in Asia, Africa, and the Middle East. The Company acquires, promotes, and supplies commodities primarily through its Maxwill and Taffy brands within Singapore. Additionally, it offers supplementary and supporting services to its commodity clients, including warehousing, storage, and logistics. By the end of the fiscal year on December 31, 2024, the Company leverages a well-established international network of third-party commodity providers and logistics firms to deliver sugar, rice, and oil and fat products to clients in more than 20 nations.
To learn more, please visit the Company’s official website: ir.daviscl.com.
Statements Regarding Future Prospects
This press release includes certain statements about future events, as defined by the “safe harbor” stipulations of the United States Private Securities Litigation Reform Act of 1995, concerning Davis Commodities Limited’s capital-raising strategies. These forward-looking statements are typically recognizable by words like “believe,” “project,” “predict,” “budget,” “forecast,” “continue,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “could,” “should,” “will,” “would,” or similar phrases, including their negative forms.
Such statements are forecasts, estimations, and other declarations about future occurrences grounded in present expectations and presumptions, making them susceptible to various risks and uncertainties. Numerous elements could lead to actual future outcomes differing substantially from the forward-looking statements presented in this release. The Company’s submissions to the SEC detail and explain other significant risks and uncertainties that might cause events and results to vary considerably from what these forward-looking statements suggest.
Forward-looking statements are valid only on the date they are issued. Readers should exercise caution and not unduly depend on these statements. Davis Commodities Limited undertakes no duty, and explicitly disavows any intent or obligation, to update or amend any forward-looking statements, whether due to new data, subsequent events, or other reasons.
CONTACT: For more information, please contact: Davis Commodities Limited Investor Relations Department Email: investors@daviscl.com Celestia Investor Relations Dave Leung Email: investors@celestiair.com
