Davis Commodities Evaluates $300M+ AI Yield Engine to Reinforce Token Portfolio Performance

Rhea-AI Summary

Davis Commodities (Nasdaq: DTCK) has announced plans to evaluate a $300 million AI-driven arbitrage engine to enhance its Real Yield Token (RYT) ecosystem. The system aims to optimize yield returns across commodity, stablecoin, and cross-chain liquidity pools.

The company expects the AI system to deliver 3% to 12% incremental annual returns in mature markets, while reducing idle token balance ratios by 30%-50%. The implementation will include automated rebalancing and ESG risk metrics integration for dynamic token weight adjustments.

Davis Commodities is currently working with AI quant teams, blockchain protocol engineers, and institutional liquidity providers to validate strategy models before public deployment.

Positive

• Potential for $300 million in incremental yield enhancement within 24 months
• Expected 3-12% increase in annualized returns
• 30-50% reduction in idle token balance ratios through enhanced capital efficiency
• Integration of ESG risk metrics for improved portfolio management

Negative

• Implementation timeline and deployment date remain uncertain
• Strategy models still require validation
• Regulatory approval pending before public deployment

SINGAPORE, Sept. 26, 2025 (GLOBE NEWSWIRE) -- Davis Commodities Limited (Nasdaq: DTCK) announced today that it is analyzing the deployment of an AI-driven arbitrage engine designed to supercharge its Real Yield Token (RYT) ecosystem by optimizing yield returns across commodity, stablecoin, and cross-chain liquidity pools.

In recent months, decentralized finance has demonstrated that algorithmic yield optimization strategies can drive annualized incremental returns of 3% to 12% in mature markets. Davis Commodities aims to bring this capability to its tokenized commodity-finance infrastructure in emerging market corridors.

Preliminary scenario estimates (subject to further validation) include:

• USD 300 million in incremental yield enhancement potential across RYT pools within 24 months.
• Automated rebalancing between commodity derivatives, stablecoin arbitrage, and cross-border liquidity routes.
• Enhanced capital efficiency, reducing idle token balance ratios by 30%–50%.
• Integration of ESG risk metrics to dynamically adjust token weights in portfolio allocations.

“Our vision is that every token should be working harder than ever. With AI arbitrage optimization layered on our RYT system, we believe we can unlock additional yield without sacrificing core capital stability,” said Ms. Li Peng Leck, Executive Chairwoman of Davis Commodities. “This is where digital commodities, finance, and algorithmic capital converge.”

Davis Commodities is collaborating with AI quant teams, blockchain protocol engineers, and institutional liquidity providers to validate strategy models. Any public deployment will occur after achieving regulatory alignment and completing infrastructure testing.

About Davis Commodities Limited

Based in Singapore, Davis Commodities Limited is an agricultural commodity trading company that specializes in trading sugar, rice, and oil and fat products in various markets, including Asia, Africa and the Middle East. The Company sources, markets, and distributes commodities under two main brands: Maxwill and Taffy in Singapore. The Company also provides customers of its commodity offerings with complementary and ancillary services, such as warehouse handling and storage and logistics services. The Company utilizes an established global network of third-party commodity suppliers and logistics service providers to distribute sugar, rice, and oil and fat products to customers in over 20 countries, as of the fiscal year ended December 31, 2024.

For more information, please visit the Company’s website: ir.daviscl.com.

Forward-Looking Statements

This press release contains certain forward-looking statements, within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995, relating to the fundraising plans of Davis Commodities Limited. These forward-looking statements generally can be identified by terms such as “believe,” “project,” “predict,” “budget,” “forecast,” “continue,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “could,” “should,” “will,” “would,” and similar expressions or negative versions of those expressions.

Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, therefore, subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements contained in this press release. The Company’s filings with the SEC identify and discuss other important risks and uncertainties that could cause events and results to differ materially from those indicated in these forward-looking statements.

Forward-looking statements speak only as of the date on which they are made. Readers are cautioned not to place undue reliance upon forward-looking statements. Davis Commodities Limited assumes no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

For more information, please contact:
Davis Commodities Limited
Investor Relations Department
Email: investors@daviscl.com

Celestia Investor Relations
Dave Leung
Email: investors@celestiair.com

FAQ

What is Davis Commodities' (DTCK) new AI yield engine expected to achieve?

The AI yield engine is expected to generate $300 million in incremental yield enhancement across RYT pools within 24 months, with potential annual returns of 3-12% in mature markets.

How will DTCK's AI system improve capital efficiency?

The system is designed to reduce idle token balance ratios by 30-50% through automated rebalancing between commodity derivatives, stablecoin arbitrage, and cross-border liquidity routes.

What are the key features of Davis Commodities' new AI arbitrage engine?

The key features include automated rebalancing, ESG risk metrics integration, optimization across commodity and stablecoin pools, and cross-chain liquidity management.

When will Davis Commodities launch its AI yield engine?

The launch date is pending as Davis Commodities is currently validating strategy models and seeking regulatory alignment before public deployment.

How does DTCK plan to implement the AI yield optimization system?

DTCK is collaborating with AI quant teams, blockchain protocol engineers, and institutional liquidity providers to validate strategy models before proceeding with implementation.