Btcs Inc. · NASDAQ:BTCS

Btcs — Investor Presentation (August 2015)

30 slides from Btcs's investor presentation, Aug 3, 2015

  1. Slide 1: Corporate Presentation

    a3 BICS www.btcs.com Corporate Presentation BTCS Inc. (OTCQB: BTCS) August 2015

  2. Slide 2: Safe Harbor

    Safe Harbor The following presentation is an ou securities of BTCS Inc. (BTCS’, we" 1¢ of matters for informational purposes only. This dacurnent does not constitute an offer to sell or a solicitation of an offer to buy any “Us. While we believe the information provided herein is reliable, as of the

  3. Slide 3: Table of Contents

    Table of Contents Investment Highlights 4 Industry Overview 5 Corporate Overview 13 Broader Initiatives 25 Summary 29

  4. Slide 4: Investment Highlights

    Investment Highlights ® BTCS Inc. (“BTCS") is an early mover in the blockchain and digital currency ecosystems and the first “Pure Play” U.S. public company focused on blockchain technologies * The blockchain is a decentralized public ledger that has the ability to fundamentally impact all industrie

  5. Slide 5: Industry Overview

    as BTCS Blockchain Technology Consumer Solutions Industry Overview

  6. Slide 6: The Blockchain Explained

    The Blockchain Explained Whatis it? “The blockchain is a decentralized public ledger” Why it matters? “More than just the foundational basis for digital currency, the blockchain has the ability to impact all industries on a global basis that require trust and rely on or utilize record keeping” DECEN

  7. Slide 7: Blockchain Potential Applications & Disruption

    Blockchain Potential Applications & Disruption The blockchain is radically changing the future of transaction based industries Private Markets 6 Debt e Crowdfunding @ Derivatives cS) @ Intellectual Property

  8. Slide 8: Bitcoin - Most Prominent Blockchain Use Case

    Bitcoin - Most Prominent Blockchain Use Case The Traditional Traits of Money* Poor O90e@ Excellent r E o 8 Highly Divisible Globally Transferable Durable Secure (counterfeiting) Acceptable Scarce (Predictable Supply) Not Sovereign (Government Issued) Decentralized** OO0COSOC®@ ©0006 C08 OO@S CO OC®O

  9. Slide 9: Why it Truly Matters

    Why it Truly Matters Greece Exposes Risks and the Fragile Nature of Government Backed Currencies The Default Zone Total number of sovereign defaults and/or resched ulings in Europe since 1800 4 i | rent times sin since ce the. } | é ce, HaSdéfaliltedior: Uctipeckitsydebt;five, Intry Mdeclareduts: .

  10. Slide 10: Bitcoin Ranking/Acceptance

    Bitcoin Ranking/Acceptance 1 BRD european Union $6,736 2 china $5,846 3 [@] | Japan $5,403 4 EE united states $2,943 5 Germany $2,236 6 GE tay $1,185 x ars x 114 HE sBelarus $3.75 115 SS Brunei $3.53 G0 Veen ae) viz | me | Gayatorel $3.36 118 [Sal Salvador $3.05 ‘Source: US. Cental tnceligence Agenc

  11. Slide 11: Bitcoin Adoption is Rapidly Accelerating

    Bitcoin Adoption is Rapidly Accelerating User Wallets ° 9,000,000 8,000,000 7/000,000 6,000,000 5,000,000 4,000,000 +3000,000 2,000,000 1,000,000 Janta 2 Est. Merchants Accepting Bitcoins > 120,000 100,000 80,000 60,000 40000 20000 Cumulative Trading Volume = 200,000.00 180,000,000 160,000,000 140,0

  12. Slide 12: Venture Capital

    Venture Capital oT * Over $210 million of venture capital funds invested to secure the blockchain, bitcoin’s key innovation ® BICSis the only public company focused on securing the blockchain with a fully integrated ‘Transaction Vercaton Serdces solution Universal Platorms Dighal Walets Payment Proc

  13. Slide 13: Corporate Overview

    as BTCS Blockchain Technology Consumer Solutions Corporate Overview 13

  14. Slide 14: Securing the Blockchain

    Securing the Blockchain * BTCS secures the blockchain through transaction verification * Initial and early focus areas centered on digital currencies * Refined focus over time to reduce risk and capitalize on disruptive potential of blockchain across all industries Derivatives 8 @ Intellectual Prope

  15. Slide 15: Principals of Transaction Verification Fees

    Principals of Transaction Verification Fees Newly User Portion of the Bob sends Anna 3 bitcoins Issued Bitcoins Transaction Fee Transaction Verification Processor (ie. Bitcoin Miner) ‘nna receives 3 bitcoins Miner verifies the transaction and receives afee from Bob and newly issued bitcains from the

  16. Slide 16: A Timed Entrance to Securing the Blockchain

    A Timed Entrance to Securing the Blockchain (_ Biitcoin Pricevs. DifficutyLevel _ Soy BTCS Entry Point $600 Viable Long Term Opportunity $400 |20,000 - vacate = _ + Rapid dificuity increases rendered ASIC servers absolete in a matter of months + Poor investment due to riskireward profile + Network h

  17. Slide 17: Operational Hedge

    Operational Hedge* g Number of Estimated BTCSs Revenue 5 Bkcoin Price Bitcoins Eamed a 3 i g Tie Tine Tine * Declining bitcoin price forces smaller operations offline, decreasing competition and increasing market share potential for BTCS * Low operational costs and increasing capacity at BTCS facili

  18. Slide 18: Breakout Growth Across Key Metrics

    Breakout Growth Across Key Metrics 1,000 00 700 B646 600 BS52 1,155% 800 oa. YTD Growth 700 400 bd 500 300 00 200 300 Bo4 200 roo | B52 ‘00 (me) ° of 2014 2o1sg1 201522015 7D 201404 201501" 201502 7 Bois earned ae aon-GlAP ancl measure, as of 60/2015 3715 Tiscame oine last month of QT Key Facts: * B

  19. Slide 19: Transaction Verification Services Facility

    Transaction Verification Services Facility 19

  20. Slide 20: Pending Merger with Spondoolies

    Pending Merger with Spondoolies * Spondoolies-Tech Ltd. ("ST") founded in August 2013 develops, builds and sells world class ASIC servers spondooliestech * Vertical integration, i.e. develop, build, and deploy ASIC servers * Shared vision of building leading blockchain company; complementary teams w

  21. Slide 21: Competition to Secure the Blockchain

    Competition to Secure the Blockchain awe Biman Teh is chine Devip ‘in + Tech: 28nm (TSMC) 28 BITMAIN 28, BB et 00 cicen 05 roi current gen Batra Neterbds Peep | gum gcpry_| Te 280m ; ‘ in aitury ae "Ere 35 YoH ger Hire _ us ar + Tech: 22nm (inte) ee Tochine 8 Seen Source: Blocktrall.com/BTC, as of 6

  22. Slide 22: Capitalization and Public Peer Comparison

    Capitalization and Public Peer Comparison 2 BICS BTCS Market Cap = $25m (as of 7/30/2015) spondooliestech Spondoolies 2014 revenue = $28m (announced May 20, 2015, unaudited) SZBICs cpordeeen m | oon [ | 100% vegogo | Tsyv: v0 $1.43 30.23 | 257.4x Average | 1314 1. Proforma awmership Is based on term

  23. Slide 23: Management Team

    Management Team Charles Allen, Chief Execute Ofce, Chief Financia Ofer, and Chaimman of the Board Responsible for overall corporate strategy and direction as well as managing corporate finances Extensive experience in business strategy, investment banking, investing and capital markets transactions

  24. Slide 24: Advisory Board

    Advisory Board David Bailey, Chief Executive Officer of BTC Media BTC Media is one of the largest Bitcoin Media groups with assets lke yBitcoin Advisory Board Director for College Cryptocurrency Network Served on the Culverhouse Investment Management Group Board of Directors Founded two long-only eq

  25. Slide 25: Broader Initiatives

    4s BTCS Blockchain Technology Consumer Solutions Broader Initiatives

  26. Slide 26: Consumer Education & Adoption: The Challenge

    Consumer Education & Adoption: “The Challenge” * Misperception of what Bitcoin is and can do * Limited ways to enter ecosystem * Uncertain and unknown risks * Mass adoption will be driven by: Increased education and awareness Simple user interfaces ~ Value-added use cases at = Li eum 2 6

  27. Slide 27: Building a Universal Ecosystem: The Solution

    Building a Universal Ecosystem: “The Solution” FINANCIAL SERVICES @ooressn | Transaction Verification BTCS was Lead Investor - Series A ‘aisor | ICS Transaction (Coco i aaa iternatonal ial =i 7 COIN |" Sirerey roman Gp vertieaton 8 CS | SOc | rcp a apcch Services wwnmbtes.com (Gaon agneddeat th Payp

  28. Slide 28: Growth Strategy and Path Forward

    Growth Strategy and Path Forward ° Vertically integrate though pending merger with Spondoolies ® Drive revenue growth through deployment of 3% generation ASIC servers in North Carolina facility * Evaluate other low-cost data centers to expand and diversify our transaction verification services busin

  29. Slide 29: Summary

    Summary * Early mover in the blockchain and digital currency ecosystems and the first “Pure Play" U.S. public company in the world focused on blockchain technologies ® The blockchain is a decentralized public ledger that has the ability to fundamentally impact all industries globally that require tr

  30. Slide 30: Contact Info

    Contact Info Charles Allen Chief Executive Officer Investor Contact Info ir@btcs.com (202) 430-6576 30

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