Electroneum

Uncovered

The Mobile
Cryptocurrency
Ecosystem
March 2018

© ELECTRONEUM 2018
ALL RIGHTS RESERVED © ELECTRONEUM 2018

DOC.ID.ETN/BDP/GD/017/FD1.2 STRICTLY PRIVATE & CONFIDENTIAL ALL RIGHTS RESERVED

STRICTLY PRIVATE & CONFIDENTIAL
 2

Contents
3. Introduction
4. Mobile Industry Financial Services
5. Cryptocurrency Simplified For Everyone
6. Mining… goes mobile
7. Mobile Operator Benefits
8. Operator Partnerships
9. Banking the Unbanked
10. A New Ecosystem for the
Mobile Industry And Beyond
11. Mobile Crypto A Sustainable Ecosystem
12. Process & Progress
13. Appendix
14. Cryptocurrency Legacy
15. Lightning Synopsis
16. Contact

© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 3

Introduction
• Electroneum (ETN) has redefined the use of cryptocurrency, with an ecosystem that is
breaking down the barriers for mass market adoption.

• Built for the mobile community, our mobile app makes it easy for users to earn ETN
coins by running our exclusive crypto mining simulation.

• The mining reward system, which attracted early adopters to the cryptocurrency
market, helped to fuel the explosive growth of other successful cryptocurrencies. The
market still follows that original model, but we have adapted the reward system
transforming it to become a catalyst to incentivise the mass market, engaging users
with earnings of up to $3 each month.

• Our initial focus is on achieving distribution to those who need it the most;
out of the 5billion mobile users worldwide, over 20% have no access to banking
facilities.

• Our mobile miner is tested and proven, our vendor capabilities are launching and our
full circle partnerships are starting to roll out for the 11 agreements signed, reaching
130 million users.
© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 4

Mobile Industry Financial Services

• The mobile industry has consistently sought ways to be the lead provider of
financial services to its user base. The benefits are clear but sustainable user
adoption has so far been elusive.
• Demand for mobile payments continues to grow, with multiple party payment
processes still dominating, making it costly and often slow.
• Creating a solution for the mass market could be a huge differentiator for the
operator, driving additional value for users.
• Mobile operators have invested heavily in creating and marketing solutions,
as yet, few have achieved substantial success.

What is needed to achieve mass adoption?

How do you persuade your users to embrace change?

A crypto based ecosystem has the

potential to bring pivotal benefits to the
mobile industry but there remain barriers
for this to be possible
▶ Changing user habits is difficult
▶ Concerns over volatility and regulation
▶ Lack of incentives for operators and users alike

How could cryptocurrency help solve user adoption and efficiency challenges? © ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 5

Cryptocurrency Simplified For Everyone

• The evolutionary step to mass adoption is to get the cryptocurrency into the hands of
the users.
• Electroneum (ETN) has redefined the use of cryptocurrency, with an ecosystem that is
focused on achieving mass adoption through mobile use
• Earn, engage, exchange, promote, spend, save…
• With a simple mobile app, we deliver a fully transactional cryptocurrency platform,
with a breakthrough digital payment solution that is ready for everyday use on a
global scale.
• ETN breaks down barriers
• No tech knowledge needed
• No investment and no running costs
• Earning FREE currency creates trust and breaks down the fear factor
• Users also benefit from more vendor relationships giving more ways to spend

Over 1m accounts, 500,000 app downloads and counting © ELECTRONEUM 2018

ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 6

MOBILE MINER
Mining… goes mobile 14 days
from launch
2,600,000+ ETN
• The mobile mining reward system, which attracted early adopters to was paid to
the cryptocurrency market, helped to fuel the explosive growth of 70,000 users*
other successful cryptocurrencies.
*Average monthly (30 day

• ETN has adapted the reward system, transforming it to become a equivalent $2.80 per use
linked to market exchange rate

catalyst that incentivises mass market adoption giving away free

cryptocurrency to gain users.

• We reward users for their

engagement and advocacy, helping
USERS
EARN
up to $3 of
them earn regular monthly income ETN per month
• Distribution partners are rewarded
for introducing users, integrating
ETN as a payment option and
building new vendor relationships
PARTNERS
EARN
up to $1 of
ETN per month

© ELECTRONEUM 2018
*Subject to device, user engagement and market penetration to be discussed in commercial planning. ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 7

Mobile Operator Benefits

• Electroneum creates a new revenue stream with added bonuses
• Increased tenure, high liquidity, tight security, differentiation and a simple, NEW
highly valuable benefit for users USERS

• We drive mass adoption, by taking users on a journey of discovery, helping them

understand crypto and giving them a way to make money – with little effort. REVENUE
• Using our exclusive crypto mining simulation to rewards users with free coins, we
lead them towards change and motivate them to use your network to get involved
• Operators gain 2 new revenue streams ARPU
• Mobile mining rewards from every user worth up to $1 per month per user
• Users spend their mining revenue on your goods and services.
TENURE
• By allowing users to offset or even completely fund the cost of their mobile phone
bill, we will see a positive change in NPS.
• ETN’s micro-transaction fees dramatically reduce costs and greatly increase NPS
margins, by removing distribution and payment processing fees

As the ecosystem expands. new opportunities emerge for financial and user growth © ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 8

Operator Partnerships
Promote
Distribution is key to enable rapid rollout, so ETN has
designed a low friction partnership model.

§ Marketing activity to onboard your

customer base Engage
§ Influencing and nurturing through
continual user engagement
§ Working in partnership to build a
sustainable ecosystem that attracts
additional vendors
§ No upfront cost Spend

The model has proved to be very

attractive and we agreements are
already in place with 11 partners,
giving reach to over 130m+ users
in more than 30 countries.
© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 9

Banking the Unbanked

It is estimated that there are at least 1 billion smartphone users spending an average of $3 or less per month,
largely in territories where income is compromised and banking facilities are scarce.
‘Addressing the Dark Side
of the Crypto World’
• The IMF’s MD, Christine Lagarde, published an official blog ‘Addressing the Dark Side of the Crypto World’ by Christine Lagarde,
• The potential challenges of the industry are echoed across all regulatory bodies however there is one common March 13th 2018
MD, International
positive theme emerging - the opportunity to transform financial access for the unbanked population in Monetary Fund
developing territories, as per her quote below.
• Many prominent figures recognise the same clear need and market desire, as testified by Bill Gates, quoted “The technology behind
these [crypto] assets —
below. including Blockchain — is
an exciting advancement
• Electroneum has the potential to help those who need help the most... that could help
revolutionize fields
• By effectively eliminating the cost of airtime for hundreds of millions of unbanked people around the beyond finance. It could,
world, using their ‘free’ earnings from ETN’s mobile mining rewards. for example, power
financial inclusion by
• Very low transaction fees mean that these low income users can send P2P transfers at a fraction of the
providing new, low-cost
current cost. payment methods to
• ETN replaces the need to use cash for top ups, or buying goods or services those who lack bank
accounts and in the
process empower
• ETN can create liquidity in the market and deliver operator and vendor benefits that slot into our ecosystem millions in low-income
countries.”

“The future of money is digital currency.” Bill Gates, Microsoft

“…poor people don’t have bank accounts. So when they …want to borrow, save. It’s very tough. Small transactions, the fees are just too high …If we take cell phones
and just use digital currency…people who don’t have any kind of bank account will have all sorts of innovative services to help them save, pay for education. …But
the magic of that cell phone, with the right software, means that people will have banking. And that’s really big for their lives..”
©ALLELECTRONEUM 2018
RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 10

A New Ecosystem
for the Mobile Industry And Beyond
• Our plan is to emerge from the crypto currency landscape, leading mainstream adoption of ETN with the
launch of new products and capabilities that will develop, educate and eventually blend into everyday life,
replacing and complimenting existing buying user habits; with ETN being a fully integrated and expected
medium for transacting on mobile.
• Our ecosystem has multiple touch points that connects users with their operators and also casts a wide net
of opportunity with vendors who can plug into operator’s networks and help generate more revenue.

• Our initial partnerships with Quoine and Unified Signal, enable us to solve many
needs such as :
• Fiat (traditional currency) liquidity on demand for operators
• Roll out of the referral system and partner systems start generating revenue
• Debit cards available to launch in any country in the world
• Instant crypto transactions
• Real time fiat exchange for real world currency or to deposit back to debit card
• The first instant payment solution for vendors using blockchain

© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
Mobile Crypto A Sustainable Ecosystem
11

The first truly sustainable ecosystem accommodating both user and operator needs

Enables and attracts mass multiple usage and demand

© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 12

Process & Progress

Current
Mobile operator integration typically takes 6-9 months. ETN’s initial integrations aim to go live within
6 months, with future partners targeting a 3 month process

Q2
• Working through all stages of operator compliance process for • New on-boarding, user attribution referral
agreements already in place. staged testing rollout- similar to user
• Combined user reach of 130m+ in 30 territories beta
• Mobile app miner, beta approved • Post approvals partner roll out marketing
• Real world mobile mining usage is around 70k miners, calibrating & onboarding
the up to $3 earnings potential per user • Introduce additional partners into
process
• Commercial, marketing and on-boarding agreed
• Develop and deploy vendors deals to be
• Integration and reporting process structure established added to ecosystem
• Detailed country specific compliance review for each territory • Integrate financial partnerships with Xius,
(this is country specific not partner therefore reusable) Quoine, Unified Signal and more

Partners Announced To be announced

• Effortel – 5m customers
• Xius – 65+m customers
• BMedia KK –over 700,000 users.
• FanFare – 1m customers
• redONE –MVNO with 1m customers
Other partners under NDA
© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 13

Appendix
14 Cryptocurrency Legacy
15 Contact

© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 14

Cryptocurrency Legacy
§ Bitcoin incentivised early adopters, advocates and the mining community to maintain the
blockchain, through their mining process which generated new bitcoins as a reward. This
smart model is self-financing for all their operational costs, but it has no room to fund
marketing or growth.
§ Almost all Altcoins follow this same model; subsequently user adoption has been slow.
§ Most cryptocurrencies were not built for integration and have no intermediary to work with.
§ There is huge price volatility, largely due to sentiment-based behaviour rather than following
proven business models. The market defaults to follow their belief in Bitcoin.
§ Concerns circulate around regulatory change and security issues.
§ Bitcoin limited the quantity of their coin to 21 million in the market, . With the overwhelming
demand that followed, mining soon became oversubscribed, driving intense competition in
the community, creating ma jor inefficiencies from the huge amounts of energy being wasted.
§ The solution is to follow the original principles of Bitcoin but developing it to achieve mass
adoption. The job of the traditional miner is to fund operation. The the job of the mobile miner
is to engage, create usage and to virally spread the coin globally.
© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
A Lightning Synopsis
• ICO closed early due to reaching $40m
• Over 120,000 contributors.
• Signed agreements giving access to
over 130m+ users
• Over 1 million live ETN users.
ETN Users Around The World
24.7%
North America
• Over $710m (USD) of ETN traded
• In excess of 500,000 android app downloads
• 70,000+ active mobile miners within 2 weeks of launc
• Total ETN coins 21 billion
21.9% 21.2%
Europe Asia
…as of 23 March 2018*
© ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
 Electroneum Ltd,
Lyndean House,
30-34 Albion Place,
Maidstone,
Kent ME14 5DZ

electroneum.com

*All details provided in this document are, to shared in good faith, with figures quoted © ELECTRONEUM 2018
ALL RIGHTS RESERVED
STRICTLY PRIVATE & CONFIDENTIAL
to the best of our knowledge, accurate at the time of publishing (23March2018).