Btcs Inc. · NASDAQ:BTCS
Btcs — Investor Presentation (April 2021)
40 slides from Btcs's investor presentation, Apr 26, 2021
Slide 1: Corporate Presentation
63 BTCS Corporate Presentation BTCS Inc. (OTCQB: BTCS) Vg April 21. 2021 le We fz ‘ LP 4 of / La y,
Slide 2: Safe Harbor
Safe Harbor The following presentation contains statements, estimates, forecasts and projections with respect to fulure performance and events, which constitute forward-looking statements, Those statements include statements regarding the intent and belief or current expectations of BTCS and its man
Slide 3: Table of Contents
Table of Contents Secti Page Investment Highlights and 2021 Goals 4 Industry Overview 5 g2 BTCS Corporate Overview 9 Blockchain Infrastructure Solutions 19 wou biescom « URGE BTCS Data Analytics Platform 22 Digital Asset Treasury 26 Appendix: Blockchain 101 31
Slide 4: Investment Highlights and 2021 Goals
BTCS Inc. (BTC “Pure Play Investment Highlights and 2021 Goals is an early mover in the blockchain and digital c U.S. public company focused on blockchain infr BTCS Operations: Blockchain Infrastructure Solutions: Generating revenue by securing blockchains such as ethereum’s beacon chain Developing
Slide 5: Industry Overview
Industry Overview
Slide 6: Blockchains Ushering in a New Era of Technology
Blockchains Ushering in a New Era of Technology * The computer and internet age ushered in the digitization and proliferation of information on a global scale. * —Blockchains are ushering in an age of asset digitization and transfer without the need for trusted intermediaries (banks, exchanges, gove
Slide 7: Blockchain Use Cases & Disruption
Blockchain Use Cases & Disruption ° Decentralized finance (DeFi) and Non- fungible tokens (NFTs) utilize smart contract based blockchains. ° — Proof-of-stake (PoS) based blockchain infrastructures such as ethereum, Blockchains polkadot, and cardano provide an energy Secured By: efficient alternative
Slide 8: Enormous Market Opportunity
Enormous Market Opportunity Web 3.0 and transaction-based industries built on blockchain technologies represent a multi-trillion market opportunity. Exploding Blockchain Use Examples Global Investable Assets ° NFTs represent one of the first killer apps for blockchain technology where there is no in
Slide 9: Corporate Overview
Corporate Overview
Slide 10: Company Overview
Company Overview BTCS powers the infrastructure to secure certain blockchains and is actively developing software to capitalize on the disruptive potential of blockchain technology.’ CO. Gay BTCS secures disruptive proof- BTCS is developing a BTCS employs a digital asset of stake blockchains such as
Slide 11: Financial & Operational Highlights
Financial & Operational Highlights* Explosive Balance Sheet $15.4 million $1.1 million Qi Shareholders Equity Management Investment January 1, 2021* Long Term Management Commitment 240 Active Nodes +75% Q1 Gross Margin 2021 Expansion Operations in $72,000 Qi Revenue Margin expansion Planed 2021 reve
Slide 12: Management
Management Charles Allen CEO and Chairman of the Board ‘Charles has been involved in the blockchain industry since is earliest days. Since joining BTCS in 2013 he has leveraged his extensive experience in business strategy, investment banking, and capital markets transactions to develop and lead the
Slide 13: Independent Directors
Independent Directors David Garrity Director David has over 30 years’ experience in the nancial services industry. He has held senior roles including CFO and board of director positions for both publicly- held and private companies. and has extensive experience in several disciplines including opera
Slide 14: 2021+ Leverage Years of Blockchain Experience
2021+ Leverage 7 Years of Blockchain Experience After 7 years participating in the blockchain ecosystem we believe we've refined our strategy to create the most shareholder value. yaks Transaction Verification _Platform Development and Blockchain Services Digital Asset Treasury Infrastructure’, Focu
Slide 15: Digital Asset Treasury Holdings
Digital Asset Treasury Holdings +7,516% increase in fair market value of digital holdings year-over-year as of March 31, 2021 BIC: 100 80 ‘$25M ” 639) US. GAAP requires us to carry our digital ° aa assets at their lowest value since acquisition, $20.14M a $20M 20 As of 3/31/2021 the balance sheet va
Slide 16: Nasdaq Up-listing Opportunity
Nasdaq Up-listing Opportunity Exchange listed companies typically have more liquidity and a broader investor universe compared to their OTC peers. 2.9 million RSUs held by officers and directors vest only on an exchange up-listing. Total Market Cap By Exchange sosoag «Ill NYSE Total Market Cap: $61T
Slide 17: A True Value Play Amongst U.S. OTC Peers
A True Value Play Amongst U.S. OTC Peers* Average Price/(Cash&Crypto) - 982x and Average Price/Book - 185x compared to 2.1x and 33x respectively for BTCS Inc. Average Market Cap - $218 million compared to $51 million for BTCS Inc. Select OTC Peers " 2 $1.35 7600 bax $200 = nioae tho La} a ag" $160 $
Slide 18: A Value Play Amongst U.S. Nasdaq Peers
A Value Play Amongst U.S. Nasdaq Peers’ Average Price/(Cash&Crypto) - 30x and Average Price/Book - 20x compared to 21x and 33x respectively for BTCS Inc Average Market Cap (excluding Coinbase) - $12 billion compared to $51 million for BTCS Inc. Select Nasdaq Peers $63,907 saax : saa $3500 gg Saas $3
Slide 19: Blockchain Infrastructure Solutions
Blockchain Infrastructure Solutions
Slide 20: Overview
Overview BTCS secures disruptive proof-of-stake blockchains that can power DeFi and NFT ecosystems.’ Phase 1: Expand Company Operations Proof-of-Stake Proof-of-Work ®. nTesisefrennymunining ZACROHES @ Environmentally Friendly © High Eneray Consumption on ethereum's proof-of-stake beacon {y) More Dec
Slide 21: Evaluation Criteria to Secure new Proof-of-Stake Blockchains
Evaluation Criteria to Secure new Proof-of-Stake Blockchains’ Blockchain Quality ° Market cap ° — Liquidity * Exchanges traded on ° — Utility of the blockchain Underlying technology Revenue potential compared to crypto staked Revenue predictability and difficulty increases Operating and deployment c
Slide 22: Data Analytics Platform
Data Analytics Platform
Slide 23: Overview
Overview Consolidate and analyze crypto position data across multiple exchanges in one place. © GEMINI NW Bitstamp (aittREX e————> coinbase ee On development roadmap: Consolidate crypto position data Evaluate performance Run year-end tax reports across multiple exchanges” o. binawce ™kraken K>KUCOIN
Slide 24: Preview
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Slide 25: Roadmap and Features
Roadmap and Features Research and Development Beta Release Public Release ‘= [=) Beta Development/ Public Beta Release Testing Q1 2020 Q2-Q3 2021 2022 —— ----- jae ae ee a iis mica Q2-Q4 2020 Q3-Q4 2021 Initial Design/Requirements: Invite Only Beta V1 Public Release Exchanges Selection and Release f
Slide 26: Digital Asset Treasury
Digital Asset Treasury
Slide 27: Blockchain Protocols Value Proposition
Blockchain Protocols Value Proposition Blockchain protocols represent the next generation of internet technology. Web 1.0 & 2.0 Web 3.0 Information Exchange Era Value Exchange Era 1995 < 2008 < 9 8 g g 3 a ‘The above data was prepared by BTCS and reflects soley the opinion of BTCS and its management
Slide 28: Blockchain Protocol Layers of Interest
Blockchain Protocol Layers of Interest Keenly focused on highly disruptive verticals.” Obitcoin + iielrond @ Fitecoin .. reum FOAM 1 ONTology @ BitTorrent (Y MoneRo ens, Polkadot ff, waltonchain 3° lem @ tether @cesmos BloTex see iexec ‘Wile our treasury strategy is focused on protocol layer long ve
Slide 29: Key Investment Highlights
Key Investment Highlights Only pure-play U.S. public Commenced revenue generating Staking-as-a-services and data company focused on disruptive operations in Q1 2021 with growth _ analytic software platforms under proof-of-stake blockchains potential development @ 6 $23.5 million in cash and crypto T
Slide 30: Contact Us
Contact Us Charles Allen © 202-430-6576 (IR #) (=) ir@btcs.com (2) www,.btcs.com Dave Gentry RedChip Companies Inc. © 407-491-4498 (2) dave@redchip.com 30
Slide 31: Appendix: Blockchain
Appendix Blockchain 101
Slide 32: Blockchain Ledger
Blockchain Ledger * Ablockchain ledger is a distributed ledger maintained by a network of computer nodes that verify and validate transactions. Traditional System Centralized System with Stored Ledger Blockchain System aa - Distributed System with Distributed Ledger Alltransactions on a blockchain c
Slide 33: How Blockchains Work
How Blockchains Work & NS Atransaction The transaction is broadcasted to The network of nodes uses A verified transaction can isrequest a peer-to-peer (P2P) network that consensus algorithms to involve cryptocurrency, consists of computers (otherwise validate the transaction contracts, records or ot
Slide 34: Consensus Mechanisms to Secure Blockchains
Consensus Mechanisms to Secure Blockchains The key difference between PoW and PoS is the consensus algorithm used by the network nodes. Proof of Work Mining capacity depends on computational power Hackers would need to havea computer more powerful than 51% of the network to adda malicious block. lea
Slide 35: Blockchains Explained
Blockchains Explained Blockchains are decentralized digital ledgers that record and enable secure peer-to-peer transactions without third party intermediaries. CURRENT TECHNOLOGIES (Centralized Systems) Trust / consensus entrusted to third party intermediaries Susceptible to“, manipulation and corru
Slide 36: Internet vs. Blockchain Technology Stacks
Internet vs. Blockchain Technology Stacks* Internet Blockchain Technology Overview Stateless Protocol > Unable to store data | Staleful Protocol > Abie to both transmit and store data O crecmmss identity Management Application Layer ‘Smart Contracts Health Care Records © covrnene H © Bitcoin } Etner
Slide 37: Blockchain Use Case #1: Crypto Currency
Blockchain Use Case #1: Crypto Currency In transitioning to our current monetary system, control of our assets has been yielded to trusted intermediaries that often fail. GREDIT CARDS, GOLD, ELECTRONIC CRYPTO BARTER SILVER FIAT BANKING CURRENCIES Before 6008C {P0086 present 206 present Elago -preson
Slide 38: Blockchain Use Case #2: Securities
Blockchain Use Case #2: Securities Blockchains have the potential to remove middleman, lower asset exchange fees, and reduce instability of securities markets. Current Process Blockchain Based Shareholders euyer QQ seter SS a a Trading Clearing Settlement Custody, Asset Servicing, and Registry i hee
Slide 39: Price & Interest in Digital Asset Ecosystem
Price & Interest in Digital Asset Ecosystem Total Digital Assets Market Capitalization* Blockchain Wallet Users+ cr 7om com sist som sir N om $5008 rh f Prat $0 = 20m 207 2018 2019 2000 202i 2019 2020 2001 ‘Asset Market Cap Comparison’ Confirmed Transactions Per Day! Top 50 Digital Assets: 500K Goog
Slide 40: Blockchains are in "1st Inning"
Blockchains are in “15 Inning” First 10 Years Email Invented Internet Timeline Frist Message Transferted Fest Bicoin Transaction Blockchain Timeline Bitcoin Bitcoin Blockchain Reaches | White Paper Parity | Pubishea with j US. Dollar * For illustration purposes only i. simplification of timeline. Et