SWISS BLOCKCHAIN STARTUP

NEWCOMERS 2018
MARKET SCREENING & ASSESSMENT

BLOCKCHAIN & CRYPTOASSET

INVESTMENT RESEARCH

NOVEMBER 2018

Copyright © 2018 BlockNovum. All rights reserved.

MARKET SCREENING – METHODOLOGY
BLOCKNOVUM’S STARTUP NETWORK AND RESEARCH CAPABILITIES LET US
KEEP TRACK OF THE NEWEST PROJECTS

BLOCKNOVUM DEALFLOW & DEFINITION OF STARTUP NEWCOMER

STARTUP OVERVIEW RESEARCH UNIVERSE MAP
Focus of this report:

• Online Research • Usage of blockchain

• Wide network of great technology, or 106 Projects identified
• BlockNovum Startup founders →
Database Introductions • Service providers for the
blockchain ecosystem, or
• Screening of startups • Attending relevant
at conferences, co- events, meetups, • Manufacturer of hardware
working spaces,… pitches BLOCKCHAIN products / blockchain
FOCUS infrastructure

Research Network of • Founded and operational

Capabilities Founders in Switzerland, or
• Headquarter based in
Switzerland, or
• ICO according to Swiss
SWITZERLAND regulation
Engagement in BASED
Community &
• Project founded in 2018,
Reputation
or
• Initial funding (VC, ICO,
or similar) secured in 2018,
• BlockNovum’s public research reports provide or
exposure for startups → Attracts dealflow
NEWCOMERS • Visible initial traction in
• Reputation as a high quality institutional-grade 2018 (e.g. beta release)
research provider

2
Copyright © 2018 BlockNovum. All rights reserved.
SWISS BLOCKCHAIN NEWCOMERS 2018 – PART 2 → Download part 1 here

MARKET SCREENING OF 106 PROJECTS

TECHNOLOGY & INFRASTRUCTURE PERSONAL USE

ENTERTAINMENT
ORGANIZATIONAL

RETAIL &
FINANCIAL
3
Copyright © 2018 BlockNovum. All rights reserved.
SWISS BLOCKCHAIN NEWCOMERS 2018 – PART 2 → Download part 1 here

SELECTION OF 10 HIGH POTENTIAL PROJECTS

TECHNOLOGY & INFRASTRUCTURE PERSONAL USE

ENTERTAINMENT
ORGANIZATIONAL

RETAIL &
TOP 10

FINANCIAL
4
Copyright © 2018 BlockNovum. All rights reserved.
SELECTION OF TOP PROJECTS
HIGH-LEVEL ASSESSMENT OF ALL 106 COMPANIES BASED ON 4 CRITERIA
TO SELECT 10 HIGH QUALITY STARTUPS

SELECTION CRITERIA
1 Quality of founders and team (100% Independence 1))
2 Business model and product
➢ Innovative solution for which BlockNovum projects high market demand
➢ Professional background, experience,
➢ Promising business model to generate returns
academics, personal assessment

3 Eligibility for early stage investments 4 Traction and continuous progress

➢ Trackable progress via Beta release, MVP, regular community updates
➢ Company is looking to raise capital via Seed /
➢ Project managed to win relevant partnerships, clients, or awards
VC funding or Token Sale

Note: 1) BlockNovum’s assessment’s are fully independent of the researched startups. No remuneration was received for this listing. The selection was solely based on the quality of the projects.
5
Copyright © 2018 BlockNovum. All rights reserved.
FINANCE STARTUPS
HIGH-LEVEL REVIEW OF 5 SELECTED BLOCKCHAIN PROJECTS
Use Case / Stage /
Company Category Cryptoasset Description Team Point of View
Market Investors
No Token Payment gateway solution that supports Functioning product that initially
Payment • 3 team members • Seed Investment stage
subscription payments via smart contracts. serves a niche market, but could
• Decentralized
Enables subscription payment functionality for • CEO with successful • Founded in May 2018 attract attention of large players.
• Ambrpay does not subscription
E-Commerce cryptocurrencies to be used for established entrepreneurial • Winner of the Crypto Team with technical expertise
issue a token payments with
services, such as Netflix or Spotify. Automatic experience Valley Summit that delivers results. Integration
cryptocurrency
conversion to fiat currency for merchants without • Strong technical skills competition in Nov 2018 with more cryptos (stablecoins)
volatility risk. Working product is live. could boost usage.

Token TBD The BlockState infrastructure platform is a stack of • ~10 team members
Infrastructure • Seed Investment stage BlockState tackles a big market
software and legal modules that automate
• Founding team opportunity where DLT can
resource-intensive investment banking • Blockchain • Selected for F10
Investment • Equity Token was consists of serial reduce inefficiencies in the
processes like the issuance of products, valuation infrastructure for accelerator program
planned via Neufund. entrepreneurs with financial service sector and cut
Banking and custody of assets, clearing & settlement. The financial • Debt capital platform
Might be replaced with financial market cost by $20B until 2022. Strong
platform reduces costs by eliminating institutions (IB) alpha product release
Tokenized VC funding. intermediaries and reducing complexity. Initial
experience founding team and traction with
and CTF15 approval upcoming ETN.
Assets product: Dept capital platform & ETN (CTF15). • Strong advisory team

Syndicate Leva is reinventing private equity (PE) through • Strong entrepreneurial Leva has achieved a proof of
Token TBD • Private equity • Seed investors: Family
automation. Their solution makes transactions team with background concept with their working
Investments market place office and notable
more efficient and gives PE funds a simpler way to in PE & Blockchain prototype. Visionary team with
• Leva offers equity • Smart syndicates private investors
Private Equity investment set-up smart investment syndicates and funds. • Founded company with focus on implementation. Leva is
and smart funds • Start-up founded in 2018
Through Leva investors get unprecedented access 2x million revenue chasing a large market
• Potentially a token • Tokenized private • Winner Global CEMS
to PE and can better diversify their portfolio with • Experience at Partners opportunity with strong partners to
Smart Fund sale will be done equity investments Start-up Challenge
PE assets. MVP developed and tested. Group & Google disrupt the Private Equity industry.

Utility Token (MLN) A$H is an investment app targeting millennial retail • Seed Investment stage Big market opportunity for a
Investments investors. It enables mobile investments in digital • 9 team members digital asset investment app that
• Leverage of Melonport • Digital asset • Pre-sale and ICO
assets and offers social features. This includes • Melonport founders as cancelled due to switch targets millennials with
Asset Token (MLN) investment app for
investing /following other users, gamification, and advisors to MLN token gamification features. Integration
Management millennial retail
• Project built on Melon user content. The app runs on the Melon protocol, • Diverse professional with Melon protocol and using the
protocol and usage of a decentralized fund management system.
investors • Token Minting in 2019 MLN token is innovative and
backgrounds
Social MLN for gas payment Monetization via usage fees & paid content. • Beta version in Q1 2019 gives access to ecosystem.

Oakura supports early stage ventures through its • Founders with strong High quality founding team, with
Investments Security Token (OAK) • Startup ecosystem academic background • Seed Investment stage
decentralized access to capital and business & marketplace prior startup experience and
• Asset-backed startup expertise. With a marketplace built on the (ETH, UZH, MIT) • Startup founded in 2018 strong academic background /
• Access to early- • 5 team members
Venture Capital currency blockchain, Oakura uniquely aligns the incentives • ETH grant awarded technical skills. Startup
of startup ecosystem stakeholders by paying stage investments, marketplace incl. token is
• Represents startup and startup • Startup experience at • Details regarding OAK
Tokenized service providers (investors, industry & technology Teralytics / led 25M promising use case if right
equity & is used to pay service providers token tbd
Assets for services experts) with OAK, representing startup equity. revenue business partnerships can be formed.
Note: Illustration of long-listed startup profiles. Profiles for other startups in this report are also available on demand. Long & Short-list assessment criteria can be customized by client request.
6
Copyright © 2018 BlockNovum. All rights reserved.
TECHNOLOGY & PERSONAL USE STARTUPS
HIGH-LEVEL REVIEW OF 5 SELECTED BLOCKCHAIN PROJECTS
Use Case / Stage /
Company Category Cryptoasset Description Team Point of View
Market Investors
Development of a new crypto wallet standard via • Project is open source
Wallet No Token • 10 team members with High quality team of developers
a two device approach to make secure key • Highly secure and supported by
strong academic IT and software engineers. Focused
handling more accessible. Apps are live. crypto wallet donations
• AirGap is an open background & on execution and developing a
AirGap Vault and AirGap Wallet for private users • Institutional experience • Supported by Tezos and great product. Apps are
source project marks one of the most secure private crypto custody solution
• No token issued • Team made up of Aeternity functioning & live. Positive initial
storage solutions. for crypto customer feedback.
Airgap Knox for institutional self-custody of crypto.
Papers.ch founders • Seed Investments tbd

Nimiq aims to be the easiest-to-use • ~ 22 team members • ICO in 2017 of ~$10M

Cryptocurrency Token
Protocol decentralized payment protocol & ecosystem. • Third-Generation • Open source project By developing a blockchain and
(NIM) • Founders with strong
Nimiq is browser-based and installation-free. Blockchain payment protocol that targets the
Wallet, apps, and mining are user friendly with
academic background • Mainnet deployment in mainstream, Nimiq differentiates
Digital • NIM are rewarded to Protocol
GUI. Nimiq aims to bring the benefits of blockchain • Vast experience in April 2018 itself from other protocols. High
Payment miners for securing the • Open payment
technology to the mainstream by developing a blockchain • Active development of quality developer team. Existing
network (PoW) protocol development & system protocol and ecosystem
blockchain / payment protocol designed for the ecosystem of projects / apps.
• NIM as cryptocurrency average user. architecture apps

PassOn builds a systemic infrastructure to bring • 8 team members Tackling an unaddressed problem
Inheritance Utility Token (PASS)
inheritance into the digital age by leveraging • Background in IT, • Pre-ICO phase regarding digital asset inheritance.
• New Utility model &
blockchain and smart contract technologies. The • Inheritance Financial Services and • Seed investment by SIX By collaborating with relevant
mechanics
Asset Transfer infrastructure and standard allows to secure digital solution for Blockchain • Collaboration with SIX institutions, the PassOn solution
• Embedded assets and directly transfer them to beneficiaries of blockchain Development could become the new standard
regarding listing of PASS
transmission policies inheritance. Further institutional applications in for inheritance. Legitimacy through
• Strong advisory board token and storage
in smart contract digital life insurance and legal transaction services. SIX partnership.
with legal experts

No Token Development of an integrated solution to • ~23 team members Promising team with the right
Storage securely issue, store, trade and manage digital • Early-stage investment support of established market
• Based in Switzerland by Singtel Innov8
assets, which meets the highest institutional players, such as Swisscom.
• Store, transfer, and Singapore
standards. In collaboration with daura, Sygnum is • Swisscom and Daura as Institutional-grade custody is
Wallet • Sygnum does not and management • Team with long-
building an integrated equity issuance system to partners definitely needed and presents a
issue its own token of digital assets standing experience in
help companies raise capital from investors by • Public launch in the fall big market opportunity. However,
Tokenized tokenizing shares. Institutional custody via joint
FS several players are working on
of 2018
Assets venture with Swisscom. • High quality board similar solutions.

Open source protocol to increase scalability of • 6 team members

Utility Token (TRU)
Protocol
• TRU is used to reward
Verifiers for correctly
Layer performing
computational tasks
• Details of launch TBD
Note: Illustration of long-listed startup profiles. Profiles for other startups in this report are also available on demand. Long & Short-list assessment criteria can be customized by client request.
• Seed Investment stage High potential scalability solution
Ethereum. The TrueBit protocol allows trustless, • Ryan Zurrer of
• Polychain Capital for the Ethereum blockchain that
secure, scalable consensus on large computations Polychain as advisor
• Scalability solution portfolio company stayed a bit under the radar so far.
orders of magnitude beyond what’s possible in • Highly accredited team
for Ethereum • Beta release on testnet Protocol has its own token, which
Ethereum today. It leverages game theoretic of Ethereum veterans
on beginning of could capture significant value if
principles to effectively increase the on-chain with excellent
November 2018 Truebit is used for scalability.
computation power of existing networks. academic backgrounds
7
Copyright © 2018 BlockNovum. All rights reserved.
SHORT-LIST ASSESSMENT – AMBRPAY (1/2)
DECENTRALIZED SUBSCRIPTION PAYMENTS WITH CRYPTOCURRENCY
Financial: Investments Private Equity Tokenized Assets

BUSINESS MODEL AND PRODUCT / MARKET FIT TEAM & COMPANY BACKGROUND
• Ambrpay offers a decentralized solution to accept crypto payments • Ambrpay founded in May 2018. Based in Zurich, Switzerland.
for businesses relying on a subscription-based recurring payments. • Founders:
• Ambrpay supports all payment types: • Dr. Andreas Hauri, CEO & Co-Founder: Former CTO of Mila.com and helped to build two successful start-ups
• Lump sum payment, automatic subscription-payments, Coresystems and Mila. In 2015 he helped exit Mila as part of the board. He has a Masters in computer science and
automatic micro-payments A PhD in neuroinformatics from ETH Zürich. He leads the team of Ambrpay.
• Currency agnostic, supporting most blockchains (BTC; ETH, NEO, ERC20). • Evrim Kayaci, CTO & Co-Founder: Former architect of ImmoSky AG, Head architect of the Mila.com payment
• Converts payments directly into USD/EUR/CHF. No price swing risk. system, database crack and blockchain/crypto enthusiast.
• Easy web and backend integration for merchants and businesses. • Team: Founders + 2 part-time employees and 2 advisors. Sales role currently vacant.
Rating:
• BlockNovum expects a strong increase of crypto usage for payment purposes in the • High quality founding team with strong technical background & previous startup leadership experience. 9 / 10
upcoming years and sees potential demand for a solution like Ambrpay.
• There is no clearly established solution yet for accepting subscriptions PRODUCT DEVELOPMENT & ROADMAP
and micro payments in crypto.
• Release of the first Alpha version on testnet, using live operating smart contracts and blockchains achieved in June.
• Business model based on a transaction fee is highly scalable and profitable, if your payment Rating *):
solution is being chosen by a large number of businesses to handle subscription payments. 8 / 10 • First version of Ambrpay is functional and live on mainnet since September 2018.
• Currently supports ETH subscription payments, with more currencies added until end of year. We see high
potential once widely-used stablecoins are integrated (planned).
RATIONALE OF USING BLOCKCHAIN • Two onboarded customers:
• Decentralized subscription payments for cryptocurrencies is facilitated by ambrpay’s smart contract. o Raisenow (Payment integrator)
• Usage of blockchain technology to offer a fully decentralized subscription payment technology, where funds are o Porini foundation
Rating:
fully controlled by the customer and recipient (company). • Milestones as laid out in business plan were achieved and continuous progress is shown. 10 / 10
• Ambrpay is on the application layer not the protocol layer. Rating:
9 / 10
TOKEN & ISSUANCE MODEL
• N/A - Project does not issue its own token
MARKET OPPORTUNITY
• Global business model transformation from one-time purchases to subscription model (e.g. Netflix, Salesforce).
• This implies accumulation of recurring fees and regular transactions instead of one-time payments.
• Subscription Payment Market size $2.6bn and 109% growth1) in 2016 in the US alone.
• Numerous established cryptocurrencies suitable to be used as means of payment (e.g. bitcoin, Stellar Lumens,
Zcash, and various stablecoins such as USDC).
• First crypto payment companies reached $1bn in globally handled payment volume in 20172) .
Despite a significant decrease in payment volume in 2018 (e.g. Bitcoin Cash payment volume decreased by 67%
from March until August), crypto payments offer an attractive market opportunity for the future.
• Payment networks based on blockchain technology have significant advantages to today’s
infrastructure, regarding cost and settlement speed. Once scalability improves, we see a big Rating:
market opportunity for the crypto payment space. 8 / 10
Sources: Ambrpay Business Plan, Investor Deck, Business Canvas, Interview with Andreas Hauri, 1) Forbes 2) Bitpay *) Rating scale: Score per assessment criteria from 1 (very low) to 10 (excellent)
8
Copyright © 2018 BlockNovum. All rights reserved.
SHORT-LIST ASSESSMENT – AMBRPAY (2/2)
DECENTRALIZED SUBSCRIPTION PAYMENTS WITH CRYPTOCURRENCY
COMPETITORS
• Existing providers of crypto payment solutions include the following:
o Bitpay (US): Payment processor for bitcoin and bitcoin cash. Global leader
in crypto payment in terms of volume and funding.
o CoinPayments (Canada): Integrated payment gateway for crypto
(1k+ supported coins) with shopping card plugins. 2M+ vendors.
o Coinbase Commerce (US): Online crypto payment processing
for merchants. 2000+ onboarded merchants.
o SpectroCoin (UK): Crypto payment gateway for online
and offline stores, integrated in popular e-commerce plugins.
o PumaPay (Israel): Payment protocol based on block-
chain for merchants, subscription payments possible.
• Market exhibits already several established crypto payment providers
with first mover advantages.
• Coinbase and PumaPay offer crypto subscription payment already,
but might lack integrated payment gateways (B2B).
• Due to the focus on subscription payments and its fully decentralized and currency agnostic
solution, Ambrpay has the potential to carve out its own niche and withstand the existing competition.
FUNDING & FINANCIALS
• Financial plan forecasts demand of CHF 550k in seed funding for year 1 of operations → Currently raising seed
funding.
• CHF 100k in price money secured from winning CV competition in November 2018.
• Projected break-even in year 4 with estimated revenue of CHF 3.6M and cost of CHF 2.9M.
Rating:
• Startup has runway for a few months. Reasonable financial forecast and budgeting.
INVESTMENT & EXIT OPTIONS
• Equity investments in Ambrpay via seed funding → Current seed funding round
• No own cryptoasset
• If Ambrpay’s solution proves to be successful, possible exit to established payment provider or merge
with other crypto payment solution
Sources: Ambrpay Business Plan, Investor Deck, Business Canvas, Interview with Andreas Hauri . Note: 1) “Risks” does not get a rating, but together with “BlockNovum Assessment” summarizes our opinion about the project.
2) Rating scale: Score per assessment criteria from 1 (very low) to 10 (excellent)
Financial: Investments Private Equity Tokenized Assets
ECOSYSTEM & CLIENTS
• Signaled interest (Letter of Intent) of 4 major swiss companies in Ambrpay’s solution:
o Swiss Red Cross, Planzer, Taxi 444, Weisse Arena AG (LAAX)
• Partnerships with Raisenow that already integrated payment systems like Stripe, PayPal for larger Organizations
such as the Swiss Red Cross.
• By Q3 2019, ambition of ~7000 Transactions and ~ 30 Companies.
• Initial focus on two client segments: 1. Blockchain services (Rentable nodes, Magazines, Trading-bots) and 2.
Aid-organizations (Red-Cross, Amnesty international).
• Showed initial traction with winning first partnerships and clients. Chosen client segments good to Rating:
test solution in the market. More mainstream partners need to be targeted in the future. 7 / 10
RISKS 1)
• BlockNovum sees the main risk related to a lack of interest in crypto payments among potential clients and
users. The current market environment and volatility prevent mass market adoption. For the long-run we’re excited
about the potential of crypto payments, but in the short-term there might not be enough interest to build a profitable
business.
Rating: • Another risk is the existing competition in the crypto payment space. There is a possibility that they
5 / 10 integrate subscription payments as well, copy Ambrpay’s tech, or undercut Ambrpay via fees.
BLOCKNOVUM ASSESSMENT
Rating 2):
• The crypto payment space has not really taken off yet. Most people rather hold their cryptos for
the potential price appreciation than actively spending them.
8.1 / 10
• Stabilization of the market, lower volatility, and the introduction of stablecoins with clear KYC/AML
standards could be the ingredients to bring the crypto payment space to more maturity.
→ Significant market potential.
8 / 10 • There exist already a range of crypto payment platforms, with a few leaders but no clear winners yet. Ambrpay’s
focus on subscription payment could be the key feature to help them grow, since subscription functionality is not
offered by most other crypto payment providers.
• Nevertheless, the big challenge we see is that Ambrpay’s tech could be copied by one of the many competitors. By
leveraging their early-mover advantage existing competitors could onboard key subscription businesses faster.
• Overall, high quality founding team with strong technical backgrounds to execute the Ambrpay solution and
overcome technical difficulties. Previous startup experience as a CTO for almost 5 years gives us confidence that
Andreas manages to run and scale-up Ambrpay successfully.
Rating: • Ambrpay showed initial traction with releasing the first functioning product in Sept, onboarding first customers,
9 / 10 and winning the prestigious CV Summit competition. They’re raising funds for their seed investment round.
9
Copyright © 2018 BlockNovum. All rights reserved.
SHORT-LIST ASSESSMENT – A$H BY MIDAS (1/2)
DIGITAL ASSET INVESTMENT APP FOR MILLENNIALS
BUSINESS MODEL AND PRODUCT / MARKET FIT
• A$H is an investment app for retail investors that gamifies investing, developed by Midas Technologies.
• The app uses the Melon protocol to provide users with a decentralized investment fund.
This cuts out middlemen in asset management and grants full control to the end users.
• By investing users create an asset mix (Melon fund) on the blockchain, which can be used to
invest in all sorts of crypto assets as well as in other users‘ asset mixes on the platform.
• Focus on maximum usability, which is often neglected in the crypto & investment space.
• Gamification and competitions are key features of the app. Target user base of millennial
retail investors.
• Business model: Challenges and competitions in the app cost a small fee. Fees are pooled as
rewards for winners of competition. Midas Technologies takes a cut of these fees as a service fee.
• BlockNovum finds the concept of a gamified investment app for millennials enticing.
There are a wide range of investment apps out there, but very few are focused on
the gamification aspect.
• Usability is one of the main obstacles to wider adoption of many applications in the crypto space. The focus on making
the app easy-to-use for the mainstream audience, might be the key to achieving product / market fit.
• The business model based on a service fee for competition, is highly dependent on the popularity of the
competitions. High volume of participation needed. Some skepticism regarding revenue generation.
However, examples in mobile gaming showed that this model can be highly profitable. Rating:
8 / 10
RATIONALE OF USING BLOCKCHAIN
• Usage of the Ethereum blockchain as the custodian for all assets held by A$H users. Blockchains allow
storage of digital value in an ultimately safe way.
• By leveraging a dapp (the Melon protocol), A$H provides users with a safe and incorruptible way to store crypto.
• Since the app itself is a centralized service layer, leveraging a decentralized asset management protocol like Melon
ensures that assets are safe and controlled directly by the owner.
• From our perspective, we assess the usage of blockchain via the Melon protocol as a sensible decision Rating:
and are excited to see the Melon protocol getting traction by actual use cases, such as A$H. 9 / 10
MARKET OPPORTUNITY
• Target user segment: Retail investors with interest in digital asset management (due to gamification, main focus
probably millennials).
• Target market & market size: We estimate central Europe (Switzerland, Germany, Austria), further expansion to UK
Example US: 25% of adult population is active in retail investing and $1.8tn in asset comes from
non-professional retail investors. Specifically for crypto investors in central Europe, we estimate a Rating:
potential user base of 4-5M crypto retail investors, leading to an AuM market size of hundreds of millions. 7 / 10
Sources: Midas Technologies Website, Questionnaire to founders, Midas Concept Paper
Copyright © 2018 BlockNovum. All rights reserved.
Personal: Inheritance Asset Transfer
TEAM & COMPANY BACKGROUND
• Midas Technologies AG founded in November 2017. Based in Zug, Switzerland.
• Midas Technologies is a software developer, with A$H being their first product.
• Founders: Adrian Gallo (CEO), Philipp Doğan (Strategy) and Konstantin Trott (Communications).
• The team consists of 9 people working full-time on the development of A$H.
• Advisory board consists of both Melonport co-founders Mona El Isa and Reto Trinkler, as well as Thomas Linder
from renowned Swiss law firm MME.
• Team shows some experience in leadership positions at companies in the past, as well as experience in Rating:
stock trading and blockchain application development. However, limited academic background. 7 / 10
PRODUCT DEVELOPMENT & ROADMAP
• Q4 2018: Start of closed Alpha version. Iterations on back- and front-end with feedback from Alpha testing.
• Q1 - Q2 2019: Start of the open Beta, Token Application Event, Setting up licenses for EU and UK regulatory
compliance. Marketing campaign via hackathons, workshops for asset management on Melon protocol, and
tournaments.
• Q3 - Q4 2019: Product launch.
• MVP is ready and currently being tested in closed Alpha.
• Ambitious roadmap, but MVP is ready and development is progressing. Planned features include Rating:
Giveeth integration for impact investing, prediction market integration, and fiat payment functionality. 9 / 10
TOKEN & ISSUANCE MODEL
• Midas decided to cancel its pre-sale and public sale of a security token in July 2018.
• Instead they are proposing a Token Application Event (TAE) to the Melon community to further align interest
with the Melon protocol. In essence, this allows existing Melon token holders to vote on Midas’ project proposal. If
accepted, new MLN tokens are minted/issued.
• Midas will propose several minting rounds of MLN, each tied to certain milestones that need to be achieved.
• BlockNovum applauds the decision of Midas to cancel their token sale and instead leverage the existing MLN
token. We believe through using MLN, Midas can both raise funds while also increase synergies and strengthen the
Melon community / ecosystem.
• Hence, instead of issuing just another token in the ever-growing crypto landscape, Midas takes an innovative
approach to its token model. The Melon protocol is one of the leading projects in the Swiss blockchain
scene, led by some of Switzerland’s crypto pioneers. Therefore, we believe that Midas’ contrarian
decision could pay-off and set a standard for future projects.
Rating:
10 / 10
10
SHORT-LIST ASSESSMENT – A$H BY MIDAS (2/2)
DIGITAL ASSET INVESTMENT APP FOR MILLENNIALS
COMPETITORS
• A$H combines a number of business areas that have been
addressed by other providers only in a separate or
less comprehensive way.
• Two main distinguishing factors:
1. High degree of decentralization in its investment process
(users have 100% ownership of investments).
2. Focus on millennials & gamification features + UX-heavy.
• Graph to the right highlights A$H’s positioning vs. competitors
• Competitors include:
• Robinhood, eToro: User friendly investing apps with social
features, but centralized. No ownership of asset.
• Coinomi, Abra, Eidoo: Wallet with investing functionalities,
but not always decentralized and no gamification and experience-focused design.
• Coinbase, Lykke: Crypto exchange with user friendly app / wallet. No focus on gamification and social
trading. Can easily become “real” competitors, if gamification is implemented. Strong market positioning.
FUNDING & FINANCIALS
• Privately funded since the beginning.
• Midas is open for private equity deals in a range between CHF 50k and CHF 1 Mio, as well as bigger investments
by VC firms.
• A$H is funded until March 2019 when the TAE will provide funding for the next development steps and
the product launch.
• Project has enough runway to continue development for 4 months and chances are good for TAE, which will
provide further capital. However, risk that project runs out of funds / is delayed if TAE is not accepted
by community. Further VC funding could boost development and increase geographical reach of project.
INVESTMENT & EXIT OPTIONS
• Equity investment in Midas Technologies AG → Open for seed funding
• Investment in MLN token could provide indirect exposure to A$H, if the TAE is approved by the Melon
community. While the MLN token as a utility token, does not provide ownership, it’s value should be linked to the
strength of the Melon protocol and ecosystem.
• If a project like A$H is successful, usage of MLN will increase significantly. Higher token
demand consequently could increase the price of MLN. While we can’t go into details here, we view
MLN as a great example of well-designed token economics.
Sources: Midas Technologies Website, Questionnaire to founders, Midas Concept Paper
Copyright © 2018 BlockNovum. All rights reserved.
Personal: Inheritance Asset Transfer
ECOSYSTEM & CLIENTS
• No official partnerships but collaborations with Melonport, Gnosis and Giveth.
• A$H is part of the Melon ecosystem. The Melon ecosystem is highly dependent on usage, which could exactly be
provided by A$H with its focus on mobile UX and gamification mechanics.
There is a direct link between A$H’s usage and the Melon engine.
• It is expected that V1.0 of the Melon protocol is finalized in February 2019. Through the release of V1.0 Melon
will be fully functional, which could attract more users to the protocol.
• By joining an existing ecosystem of another high-quality crypto project, A$H can draw from existing network
effects and the reputation of the Melon protocol. While it’s still early, A$H is well positioned regarding
partnerships in the blockchain community.
• However, for mainstream adoption further collaboration with established financial institutions and Rating:
banks are necessary. This could pose to be a challenge, but acceptance & infrastructure is improving. 9 / 10
RISKS
Rating: • Existing regulations for the global asset management industry do not acknowledge technology-regulated solutions
6 / 10 like Melon or applications running on top, like A$H. → Licenses and approval of European regulators are needed.
• Acquiring the necessary approval requires lots of documentation and can consume a considerable amount of time and
legal costs, which pose a risk that is not to be underestimated for a project like this.
• Furthermore, low interest in crypto investing among the public due to a continuation of the bear market could result in a
lack of interest in an app like A$H. The market environment, the right timing, and an effective marketing
strategy will be key.
BLOCKNOVUM ASSESSMENT
• BlockNovum sees a big market opportunity for a digital asset investment app that targets millennials Rating:
via great UX, cheap fees, and gamification features. A$H could become the Robinhood of crypto. 8.3 / 10
Rating: • We’re convinced that building the app on top of the Melon protocol provides A$H with a distinct
8 / 10 advantage compared to some of the other crypto investing aps out there. By leveraging a protocol that has been
in development for almost 2 years and joining an existing ecosystem, A$H can benefit from synergies and existing
network effects.
• Another reason why BlockNovum is existed about A$H is because of the team’s decision to use the existing token of
the Melon protocol. The founders realized that leveraging an existing token could be a win-win situation for both sides.
Furthermore, the team showed courage to try a novel approach in token issuance and proved to not shy away from
contrarian decisions.
• The project exhibits traction through the release of the Alpha version and winning the co-founders of Melonport
as advisory board members. Furthermore, the project developed the Alpha version privately funded and is only now
Rating: looking for capital. Risks we see are: Possible delays through regulatory approval and/or lack of interest due to the
10 / 10 bear market. Furthermore, a Rejection of A$H’s TAE by the Melon community could slow down / stop development.
11
SHORT-LIST ASSESSMENT – LEVA (1/2)
DECENTRALIZED PRIVATE EQUITY MARKETPLACE
BUSINESS MODEL AND PRODUCT / MARKET FIT
• Leva is reinventing private equity, by automating processes and building a global marketplace. Leva allows
investors to invest in private equity by the click of a button and PE firms to set-up funds and syndicates instantly.
• The team is working towards making investments in private equity easy and accessible to the broader public.
• Leva allows private equity firms to set-up compliant smart investment syndicates and smart funds instantly.
These structures allow PE firms to automate their back offices and have significant efficiency gains.
• By automating processes like the set-up of investment vehicles, fundraising, capital deployment and investor
onboarding Leva wants to make private equity accessible. Their solution makes transactions more efficient and
gives PE funds a simpler way to set-up investment syndicates and funds. Therefore, significantly decreasing
fundraising and operational costs.
• Revenue model: Set-up and maintenance fee for syndicates, as well as finders fee on the primary market.
Transaction fee on secondary market.
• BlockNovum sees the industry moving towards tokenized funds. Some venture capital and private equity
firms have already started setting up their own tokenized funds, proving the interest of the industry towards this
new technology. We see Leva as well positioned to become a leading player in a multi-billion dollar industry, as the
go-to platform catering to the needs of private equity and venture capital firms.
• Open questions are how to incentivize PE funds to switch to Leva’s model, and how existing
Rating:
middle men will react to this disruption that could make them redundant. 9 / 10
MARKET OPPORTUNITY
• Fundraising is a time consuming and costly exercise. On average PE firms take over 13 months to close a fund.
• Private equity is a very large industry, who’s fundraising activity has been growing constantly. In 2017 alone 830 new
funds have raised over US$360bn, while global deal value exceeded US$ 600bn. Leva is targeting the global
private equity fundraising and capital deployment industry, by automating fundraising and tokenizing assets.
• Back office processes like capital calls, fee payments or syndication are inefficient and mostly done manually. Leva’s
smart syndicates and smart funds can significantly reduce costs through automation.
• Illiquid assets are traded at a discount. The tokenization of PE assets and making them tradeable will unlock value
for investors and make private equity more attractive.
• There is a trend towards smaller and more focused PE funds. An attractive market for platforms like Leva, as the
number of funds will increase and therefore, the demand for their services.
• As of 2017, the global PE & VC industry have USD 2,800bn of assets under management. Due to Rating:
its attractiveness, AuM are expected to grow at 4% p.a. to USD 3,900bn until 2025.
9 / 10
TOKEN & ISSUANCE MODEL
• Leva is assessing the issuance of a fungible security token. Further details are not available to date.
Sources: Leva Website, Questionnaire to Leva, Interview with Cosimo Donati
Copyright © 2018 BlockNovum. All rights reserved.
Financial: Syndicate Investments Private Equity Tokenized Assets
TEAM & COMPANY BACKGROUND
• Leva was founded in May 2018 and is based in Bern and Zürich, Switzerland.
• Founders: Cosimo Donati, Simon Janin, Gabriel Wildberger, and Jean-Jacques Frej.
• The team shows relevant industry experience in private equity, consulting, legal and tech. They have worked in
leading companies like Partners Group, Google, Credit Suisse, Accenture, and Homburger.
• Entrepreneurial experience: Team members previously founded multiple companies and scaled them
internationally. Some even generated double-digit million revenues with millions of customers. Amongst others,
they founded a hedge fund (the largest student-run hedge fund in the USA), an online streaming site, and a
customer loyalty club.
• The team has an impressive academic track record and was educated in some of the world’s leading institutes of
technology and business schools (HSG, ETH, MIT, Harvard, NUS, CEMS, Maastricht, UZH, LSE).
• The advisory board consists of the former COO of Credit Suisse and Rating:
former CEO of Julius Bär Switzerland. 10 / 10
PRODUCT DEVELOPMENT & ROADMAP
• Leva received a No Action Letter from FINMA → Important milestone achieved.
• Leva has a working prototype, which has already been tested with multiple asset managers to set-up compliant
smart investment syndicates instantly and to raise capital.
• They have onboarded private equity firms, with an expected yearly syndication volume of CHF 30m.
• Leva has exclusive partnership agreements with multiple family offices in Switzerland and Liechtenstein .
• In Q1 2019 they expect to execute the first transaction .
• The team is now focused on acquiring more customers and engaging in strategic partnerships.
Rating:
• In personal interviews with the founders, the team convinced with its focus on implementation. 10 / 10
RATIONALE OF USING BLOCKCHAIN
• The blockchain technology enables to fractionalize a single high value asset into small parts, hence makes them
on a primary market more accessible and on a secondary market more liquid.
• Individuals need to be sure that their share of an investment opportunity is recorded with certainty and
consistency. Using blockchain, as the main ledger of accounts of assets, delivers exactly these desired properties.
• Smart contracts allow to automate and replace expensive intermediaries and complex processes. This enables strong
efficiency gains compared to the complex traditional financial system. For example, smart contracts allow to
automate fundraising, capital calls and asset transfer from asset managers to investors.
• BlockNovum sees clear advantages of using Blockchain technology to build a secure, efficient, and
cost-effective financial backbone for private equity transactions. Rating:
9 / 10
12
SHORT-LIST ASSESSMENT – LEVA (2/2)
DECENTRALIZED PRIVATE EQUITY MARKETPLACE
Financial: Syndicate Investments Private Equity Tokenized Assets

COMPETITORS ECOSYSTEM & PARTNERSHIPS

• Possible competitors are:
o OurCrowd (Israel): Breaks barriers to startup investing, providing global, VC-level deal flow, due diligence and
terms to accredited investors. To OurCrowd Leva is different, as Leva is a tool for asset managers, allowing them
to set-up smart syndicates. Deal sourcing and due diligence is done by asset managers, not Leva.
o Funderbeam (Estonia): Democratizes access to early-stage investment opportunities through a blockchain based
crowd investing platform. Leva’s approach is different, as it is an investor-led platform. Only experienced asset
managers with a track record can create syndicates or funds and raise capital on Leva.
o AngelList (US): Platform for startups, angel investor syndicates, and job-seekers looking to work at startups.
AngelList's goal is also to democratize the investment process. Leva is different to AngelList as they offer an
infrastructure automating capital flows, asset managers can instantly set-up tokenized investment syndicates and
smart funds.
• Further competitors include projects that tokenize securities and alternative assets, including Neufund, Swarm
Fund, or Melonport. The high attractiveness of tokenized company shares will attract further competitors. For instance,
“Equi” – a US startup co-founded by Steve Wozniak – aims to tokenize illiquid company assets.
Hence, BlockNovum sees several noteworthy competitors, but is also convinced that Leva’s unique Rating:
value proposition allows them to clearly distinguish their platform. 8 / 10
INVESTMENT & EXIT OPTIONS
• The Leva team is pursuing an ambitious plan to revolutionize the private equity industry and the way we invest
→ Open for equity investment via seed round
• Potential exit channels include:
• Globally active private equity funds
• Traditional exchanges / Crypto exchanges
Rating:
• Banks
9 / 10
• Leva has already onboarded multiple asset managers who will use Leva to raise funds and set-up smart
investment syndicates.
• The platform has an automated KYC and AML process to onboard investors and asset managers on a global scale.
• Through exclusive partnerships with family offices, Leva aims to secure both sides of the market place.
• Leva is now aiming to onboard further asset managers, venture capital and private equity firms.
• Existing partnerships and onboarded asset managers show relevant traction.
• BlockNovum sees a high potential for Leva to win further high-quality partners and clients to its Rating:
ecosystem via their strong network from past PE experience and their high profile advisors. 8 / 10
FUNDING & FINANCIALS
• Leva raised initial pre-seed capital in 2018 from a family office and private investors.
• The team received a grant from the Bern Economic Development Agency. Rating:
• Leva is now raising their seed round. Financial plan and runway assessment not available. 9 / 10
RISKS
• Technical development of the platform is complex and requires a highly talented tech team.
• In order to scale the platform internationally, they need to onboard high quality asset managers.
• Adoption of the blockchain amongst institutional investors and asset managers is still low, which could lead to delays
in the active usage of the platform by institutional investors to raise and manage funds. Importance to win some high
quality first-movers to gain legitimacy and put pressure on other funds.
• Challenging to build and scale a two-sided network (asset managers & investors).
BLOCKNOVUM ASSESSMENT
• Leva develops a high-potential solution of a decentralized private equity marketplace, to make Rating:
transactions more efficient and provide PE funds with a simpler way to set-up smart investment 9.0 / 10
syndicates and funds. BlockNovum sees a clear market opportunity enabled by the blockchain.
• Leva shows traction by having achieved a proof of concept with their working prototype and by having onboarded
already multiple asset managers to their platform.
• BlockNovum got a great impression from the founding team in several conversations. The founders have excellent
academic and professional backgrounds, while also being very focused on implementation. They bring the
relevant experience in the PE sector, that is perfectly supplemented by the strong industry network of their advisory
board.
• If the team manages to overcome the technical challenges of developing the platform and wins further high quality
institutional investors as partners, we believe Leva has everything to become a success story.

Sources: Leva Website, Questionnaire to Leva, Interview with Cosimo Donati

13
Copyright © 2018 BlockNovum. All rights reserved.
SHORT-LIST ASSESSMENT – OAKURA (1/2)
DECENTRALIZED STARTUP ECOSYSTEM & MARKETPLACE
Financial: Investments Venture Capital Tokenized Assets

BUSINESS MODEL AND PRODUCT / MARKET FIT
• Oakura combines the traditional business model of early stage venture funding with the benefits of crypto tokens.
Oakura creates a transparent and inclusive ecosystem of investors, startups, and service providers that is co-
owned by the community.
• Startups can apply and turn shares literally into smart money (tokenized equity), which gives them access to a
network of top notch experts/advisors and aligns their incentive with those of startups.
• Experts/advisors can profit from the potential upside of the ventures they support while having the downside risks
hedged through an entire portfolio.
• The network effects created by a world-wide innovation ecosystem are monetized through a central platform that
enables borderless remuneration of sustainable value creation.
• BlockNovum finds the concept of a startup marketplace held together by a token, representing a portfolio of the
participating startup’s equity, highly interesting. We see such a solution bringing benefits to all involved players, while
setting the right incentives.
• Nevertheless, the project is in an early-stage an it’s not fully clear to us yet how Oakura will monetize Rating:
their platform / how the business model is set-up. 8 / 10
RATIONALE OF USING BLOCKCHAIN
• Alignment of incentives between startups and its supporting experts and advisors.
• Tokenization of startup equity and efficient transfer of assets across borders: no FX costs, credit risk, transaction
fees and quick settlement. Allowing a previously mainly illiquid asset to become globally available.
• Gradual decentralization of governance through voting and participation in decision making.
Rating:
• A transparent, immutable rating allows for clarity on the participants abilities. 10 / 10
TEAM & COMPANY BACKGROUND
• Founded in February 2018 with locations in Zurich, Zug and New York.
• Diverse and International team with strong business backgrounds. CEO helped to scale a big data startup
internationally up to 60+ ppl , CTO worked at Google & Yahoo with 20+ years of experience, COO ran an
international multimillion company, Legal counsel is an expert leading in blockchain.
• Received a grant from ETH and attracted numerous high profile advisors from top startup hubs across the globe
(Silicon Valley, NYC, London, Berlin, Crypto Valley).
• Strong ties to the world’s top academic institutions such as MIT, ETH, NUS, UZH, U-Michigan, Johns Hopkins.
• Interview with founders convinced BlockNovum of the team’s value-driven approach to create a more Rating:
inclusive, diverse and efficient way to capitalize on innovation faster. 10 / 10
PRODUCT DEVELOPMENT & ROADMAP
• Acquired top tier research partnerships, Oakura has attracted cutting edge experts, initial startups and created
valuable partnerships.
• PoC successfully finished mid November 2018 and first transactions through the network.
• Q1 2019: Release of beta version to early adopters; further build-up of local expert network.
• Q3/4 2019: Oakonomy platform live; expert network build-up in the next top three startup hubs; onboarding of the
first startups from outside Switzerland; expansion of industrial partnership base.
• 2020 - 2022: Covering high-quality deal flow from three of the world’s top tech universities;
partnership with security exchanges; first revenues.
• Project shows traction via PoC and first formed partnerships. Ambitious roadmap with clear goals of Rating:
expanding internationally. However, limited availability of details at this stage. 8 / 10

MARKET OPPORTUNITY TOKEN & ISSUANCE MODEL

• Oakura’s token economy, the “Oakonomy”, has the potential to enclose the world’s top startup hubs and create • OAK is Oakura’s security token. It’s purpose is to align the participants incentives and to share any potential
powerful connections between innovation economies across the globe. Owning a portion of it allows anyone to revenues of its entire ecosystem.
financially benefit from the value of an entire portfolio of early stage deeptech & blockchain ventures.
• More details on the token economics and its issuance model aren’t disclosed yet, which is why Rating:
• Individuals with expert knowledge and industry insights can participate in the value growth potential of startups this category is not rated yet. TBD
by contributing to their success.
• Oakura solves the scalability- & location dependency issues of funds and accelerators, and removes the by-
passing problems of traditional marketplaces. FUNDING & FINANCIALS
• Any place where high-growth businesses are built is a potential market for Oakura (global target). The • Research grants & private investors to provide sufficient runway (details can’t be disclosed publicly).
infrastructure is decentralized and location-independent, and can thus be implemented anywhere. • Open for equity funding in case of strategic partnerships - otherwise fiat and/or crypto in exchange
• 2017 saw 11,042 venture capital deals with over $164bn invested in startups globally. Hence, Rating: for OAKs. Rating:
through innovation in the VC space, Oakura could disrupt the space and gain some of that market share. 9 / 10 • Preparing to raise capital via private and public STO (Security Token Offering). 9 / 10

Sources: Oakura Website, Questionnaire to Oakura, Interview with Daniel Naeff

14
Copyright © 2018 BlockNovum. All rights reserved.
SHORT-LIST ASSESSMENT – OAKURA (2/2)
DECENTRALIZED STARTUP ECOSYSTEM & MARKETPLACE
COMPETITORS
• The novel approach of Oakura combines the characteristics of tokenized funds (e.g. SpiceVC),
accelerators/incubators (BnkToTheFuture), crowdfunding systems (Neufund), company builders, expert networks
and market platforms (Gerson Lehrman Group) in a unique way by aligning the different participants’ incentive anew.
• With each participant of the startup ecosystem, the Oakonomy can leverage the network effect of platforms. Once
established, such networks provide a sustainable competitive advantage that is very difficult to emulate for later
entrants into the market (first mover advantage).
• Its unique incentive structure puts startup success first and marks the biggest differentiator to other projects in this
space. Due to this unique approach, BlockNovum sees no direct competitors with a similar business model.
However, one of the main advantages of VCs is that next to capital they provide the necessary expertise,
network, and emotional support for startups. Hence, Oakura’s main competitors are probably
Rating:
in the existing VC industry.
8 / 10
INVESTMENT & EXIT OPTIONS
• Security token investment:
o No minimum investment size required, bonuses available for larger token investments.
o Liquidity provided once secondary markets are available, otherwise p2p possible.
o Allows participation in the financial upside of an entire innovation economy.
• Equity investment: Eligibility to be discussed with Oakura.
• Various investment options available both via equity and security token investments, which provides Rating:
attractive opportunities for investors. 9 / 10
Sources: Oakura Website, Questionnaire to Oakura, Interview with Daniel Naeff
Copyright © 2018 BlockNovum. All rights reserved.
Financial: Investments Venture Capital Tokenized Assets
ECOSYSTEM & PARTNERSHIPS
• Oakura was able to secure initial partnerships with cutting-edge experts, relevant industry players and network
multipliers, initial funds and family offices.
• Publicly disclosed are partnerships with related research institutions and entrepreneurial initiatives such as the UZH
Blockchain Center, ETH juniors & Entrepreneurs Club and Swiss Innovation Agency (Innosuisse).
• More recently, first partnerships could be tied with network partners in Asia and North America.
• The project has set a high pace of building its ecosystem and stands a realistic chance to increase its reach of
high quality partnerships in- and outside of Switzerland, enabling individuals & companies alike to access
experts with specific industry- and technology expertise.
• Since Oakura’s network value is based on their ecosystem & partnership, this is one of the most
crucial metrics for the project. We see initial traction with valuable partnerships, but still see room for Rating:
growth. 8 / 10
RISKS
• Since the project is heavily focused on the Oakonomy, a well-designed token economics models is crucial.
Furthermore, the technical realization of tokenizing startup equity and combine it in the OAK token will be
challenging. Hence, we see some risks in the right implementation of the token.
• Finding the right balance between technical development of the platform / marketplace, while also gaining high
quality partners for the ecosystem.
• Potential “Chicken and egg” problem: How do you get high quality startups in the ecosystem if you don’t have the
relevant investors / service providers? How do you get the investors, if you don’t have the startups?
General risk that startups might prefer traditional VC funding, or that investors don’t want to hold an Oakonomy token.
BLOCKNOVUM ASSESSMENT
• BlockNovum was impressed by Oakura’s founding team and their ability to execute on Rating:
Oakura’s vision. The team brings strong business backgrounds combined with top tier academics. 8.8 / 10
The high quality standards of the team towards partners and their value-driven approach was
convincing as well.
• Oakura’s solution of a startup ecosystem that combines the traditional business model of early stage venture funding
with the benefits of crypto tokens is highly interesting to BlockNovum. By setting the right incentives with a clever
token model and acquiring high-quality partners & ecosystem service providers, this innovative approach of startup
funding might introduce a new model for Venture Capital.
• The project shows traction via their proof-of-concept that successfully showed first transactions in mid November 2018
and through winning initial partnerships, such as the UZH Blockchain center and partners in Asia and the US.
• While there are some risks around the execution of the Oak token / the Oakonomy and the technical development of
the platform, BlockNovum believes that Oakura has the right team & strategy to build a successful startup
ecosystem that benefits all involved players.
15
SHORT-LIST ASSESSMENT – PASSON (1/2)
DIGITAL INHERITANCE AND ASSET TRANSMISSION
Personal: Inheritance Asset Transfer

BUSINESS MODEL AND PRODUCT / MARKET FIT TEAM & COMPANY BACKGROUND
• PassOn develops the infrastructure to bring inheritance into the digital age. • PassOn founded in Spring 2018. Based in Zug, Switzerland.
• By leveraging blockchain technology, PassOn’s solution enables the direct, safe and immediate transfer of • Founders: Stephan Wippermann (CEO) and Remo Stieger (Executive Chairman).
bankable and non-bankable, traditional and digital assets to beneficiaries. • Both founders have long-standing experience in the financial service sector, incl. leadership roles.
• Problem to be solved: Today’s inheritance procedures and regulations are complicated, slow, expensive, and rely on • Team of 8 professionals with board expertise in IT, law, finance and business. However, apart from the
3rd parties to be executed. In addition, digital assets do not have convenient transmission solutions and are often founders the other team members hold positions at other firms/startups next to PassOn. Some concerns regarding
irrevocably lost. time & commitment.
• Solution: Rating:
• 9 high quality advisors from different fields (SIX, legal & compliance, marketing, insurance).
7 / 10
o PassOn Wallet: Digital banknote that specifies heirs. Automatic transmission of assets on specific date or giving
rights (to private individuals or institutions like notaries) that allow the transfer via a voting process (multi-sig
wallet). Smart contracts act as digital will and automatically transfer wealth via PASS coin & selected dig. assets.
o Transmission Policies: Automated contract and settlement aspects of policies, reducing cost of
PRODUCT DEVELOPMENT & ROADMAP
in asset transfer involved institutions, such as insurance companies (e.g. claim processing). • PassOn AG is building an infrastructure that is notarized, visible to the authorities and transparent to all
stakeholders that are involved.
• Real world use case with clear advantages compared to existing situation. Solves a problem that might not be
evident right now, but that will become more and more relevant as the number of digital assets • FINMA regulatory assessment pending (token classification).
increases. PassOn’s solution together with the infrastructure they build, is interesting for individuals, as • Proof of concept exist with fully operating smart contract and functionalities.
well as for banks, insurance companies, and institutions such as notaries. • Roadmap shows creation of PassOn wallet and apps until July 2019. Roadmap is not very detailed
• Revenue-based business model revolving around the usage of the PASS coin: 1. Fee to access and therefore hard to assess, which leads to a minor rating deduction. Rating:
Rating:
platform for 3rd parties, 2. inheritance service fee, 3. integration service fee, 4. tokenization service fee. 7 / 10
9 / 10

RATIONALE OF USING BLOCKCHAIN TOKEN & ISSUANCE MODEL

• The PassOn infrastructure uses three levels of the blockchain technology: • PASS coin is a utility token facilitating the transfer of value, either upon the passing of their owners or as part
o Storing digital records: Secure, auditable, and immutable record of digital and physical assets. of other transactions.
o Exchanging digital assets: Peer-to-peer transfer of digital assets without intermediaries. • PASS’s smart contract allows users to setup transmission policies in order to pass on ownership of their digital
o Smart contracts: Simplify and automate processes related to inheritance of assets. assets to any configuration of beneficiaries they have chosen. The transmission of the PASS Coin is for free.
• Since a will is basically a ledger of a person’s assets and their beneficiaries, the usage of blockchain • Holding a certain amount of Pass coins in the PassOn Wallet, “unlocks” different policy functionalities.
technology makes sense. Combined with ownership transfer and the use of smart contracts, PassOn Rating: • According to PassOn, PASS will be a utility token 2.0, which addresses some of previous concerns around the
has a great case for using a blockchain solution. 10 / 10 legal and regulatory classification of utility tokens.
• While PASS shows some token characteristics that could increase its value, the token price model would need to be
MARKET OPPORTUNITY assessed in more detail to fully judge the token’s ability to capture value.
• Initial focus on Switzerland as a market, followed by expansion to Europe. • Some valid arguments for PASS coin, however a similar solution could be built without introducing its
• Recent cases where millions of cryptoassets were lost due to an unexpected death, showed that an easy-to-use own token. → An in-depth analysis of PASS coin would be needed to properly assess its investment
and secure solution is needed, resp. there is a clear market opportunity. suitability.
Rating:
• It’s challenging to properly assess the market size and potential share of PassOn. However, by providing 6 / 10
the infrastructure, PassOn has a scalable business model to make inheritance more efficient and Rating:
generate revenue via fees and services provided. 8 / 10
Sources: PassOn Company Presentation, Interview with Remo Stieger, Whitepaper, Website
16
Copyright © 2018 BlockNovum. All rights reserved.
SHORT-LIST ASSESSMENT – PASSON (2/2)
DIGITAL INHERITANCE AND ASSET TRANSMISSION
COMPETITORS
• There is very little competition yet in the digital inheritance space. A few exceptions are:
o Heir.io (US): Next generation inheritance planning & digital wills solution.
o Savehaven.io (Singapore): Solutions for inheritance, asset distribution and asset control.
• Both projects are currently also conducting a token sale, but both are not based in Europe. Furthermore, we have
our doubts about the quality of these projects, looking at the founders and their backgrounds, feasibility of their
solutions, and existing cooperation / partnerships with regulators / involved institutions in the inheritance space.
• Another competing «solution» is that certain exchanges (e.g. Coinbase), allows the withdrawal of tokens and funds of
deceased clients, if a death certificate is provided. However, since most tokens are held in cold storage or personal
wallets, this is not a real solution to the problem.
• Overall, PassOn is one of the only projects working on a solution in the digital inheritance space
that exhibits the necessary expertise, partnerships, and ecosystem support to execute their vision. Rating:
10 / 10
FUNDING & FINANCIALS
• SIX as a minority investor, with positive signaling effect.
• Due to initial investment and starting capital a runway of a few months until end of ICO should be Rating:
secured. However, it seems that ICO is the main source of funding to continue the project. 7 / 10
INVESTMENT & EXIT OPTIONS
• Main focus: Token sale
PassOn is open for private sale of tokens and ICO is planned in the beginning of 2019 (1 PASS = 1 USD +/- 1 CHF)
• Token Sale Hard Cap: $100M
• Further option: Equity investments (next to SIX) an option, if it makes sense from a strategic perspective.
• Due to partnership with SIX a future listing on SDX (next to other exchanges) could be a possibility. Rating:
7 / 10
Sources: PassOn Company Presentation, Interview with Remo Stieger, Whitepaper, Website
Copyright © 2018 BlockNovum. All rights reserved.
Personal: Inheritance Asset Transfer
ECOSYSTEM & CLIENTS
• PassOn AG works closely with regulators, established market players and lawmakers to build a new global
standard.
• SIX took a minority stake in PassOn in October 2018, while also collaborating together with PassOn on
establishing the infrastructure for digital assets (SIX is launching a digital exchange SDX in 2019).
• PassOn is collaborating with existing institutions to make the transmission of digital assets efficient, secure, and
compatible with new technologies → Prototype in collaboration with notaries.
• Partnership with Center for Entrepreneurship of University of St. Gallen.
• The backing of SIX and their ecosystem, plus PassOn’s close collaboration with institutions in the
inheritance space, provides PassOn with legitimacy and the necessary support.
Rating:
9/ 10
RISKS
• We currently see the main risk related to PassOn’s ICO and securing sufficient funding to start development.
The crypto market prices fell significantly again in mid November, continuing the bear market. This could deter
investors from investing in an otherwise high quality project.
• This concern is supported by the general market trend away from utility tokens towards security tokens. While a
successful ICO is still a possibility, we have our doubts if investors can be convinced of the token’s unique
“advantages”. A lack in funding could slow down the development of PassOn’s solution or delay/stop the project.
BLOCKNOVUM ASSESSMENT
• PassOn is tackling an unaddressed problem regarding the inheritance of digital assets. Rating:
While inheritance of digital assets is seemingly not a pressing issue for most people, 8.0 / 10
the imminent tokenization of all types of assets (bankable and non-bankable) requires a solution
to handle the secure and automated transmission of these assets.
• We also see a high potential for a blockchain-based solution to improve current processes and efficiencies at
institutions involved in the inheritance process (banks, insurers, notaries).
• Through its collaborative approach with relevant institutions and proactive stance regarding legal and regulatory
questions, PassOn has the necessary support to become a trusted solution and business partner.
• We also see the partnership with SIX as one of the key advantages of PassOn. SIX with its digital asset exchange
could prove to be an indispensable partner in building up the PassOn solution and infrastructure.
• While we are convinced of the overall project and the founding team, we have some concerns if a utility token is
the right instrument to raise capital. An investment in the PASS token would require a further in-depth assessment.
17
SHORT-LIST ASSESSMENT – BLOCKSTATE
BLOCKCHAIN INFRASTRUCTURE FOR FINANCIAL INSTITUTIONS

Get in touch if you are interested in:

➢ Assessment of other startups
➢ Introduction to founders
➢ Further research reports
Contact us >
(See overview next slide)

18
Copyright © 2018 BlockNovum. All rights reserved.
INTERESTED IN FURTHER RESEARCH?
BLOCKNOVUM HELPS YOU IDENTIFY AND ASSESS INVESTMENT
OPPORTUNITIES IN THE BLOCKCHAIN SPACE
Research reports / engagements are on-demand and customized to your requirements Contact us >
→ Contact us for a quote and more information

In-depth Startup Due Diligence / Consulting & Early

Market & Startup Research
Cryptoasset Valuation Access to Founders

• Market screening & startup research based on your requirements: • In-depth research report on specific startup or • Connecting investors to great
cryptoasset: 10-20 pages founders and providing early access to
➢ Geography focus (e.g. CH, Germany, US)
startups
• Qualitative assessment / due diligence according
➢ Specific industry and use case (e.g. payment providers)
to BlockNovum’s Assessment Framework • Benchmarking of service providers
➢ Other requirements (e.g. projects issuing security tokens, (e.g. custody & storage, exchanges,
• Valuation to quantify a token’s fundamental
investment stage) investment providers / funds)
intrinsic value (indication if a cryptoasset is over-or
➢ Overview of all screened projects + Rating matrix undervalued) • Cryptoasset investment strategies (e.g.
staking / masternode)
• Short-list assessment & Rating (similar to e.g. LEVA) for: • On-demand and customized to client needs
• Competitor research and blockchain
➢ Other startups in this report (e.g. TrueBit)
Example of reports: project feasibility study
➢ Ad hoc project assessments
• Crypto mining profitability assessment

Example of reports: Mining Financial Benchmarking &

Model Feasibility study

Security Token Assessment of Global Startup

Blockchain Research
Blockchain Research
Blockchain Research

Blockchain Research

Projects Startup X Newcomers

• Overview of • Assessment and • Screening for high
startups issuing a rating of startup quality projects
security token globally
• BlockNovum’s
• Selection of high assessment • Early identification
quality security framework (see of trending
token projects short-list template) startups

19
Copyright © 2018 BlockNovum. All rights reserved.
ABOUT BLOCKNOVUM
BLOCKNOVUM IS A SWISS RESEARCH STARTUP THAT AIMS TO BECOME A
GLOBAL LEADER IN PROFESSIONAL BLOCKCHAIN INVESTMENT RESEARCH
CURRENT TEAM – REMO KYBURZ BLOCKNOVUM ADVANTAGES
Founder, BlockNovum • Customer oriented: Flexibility and customization of our services to your
requirements.
Zurich, Switzerland
Email: remo.kyburz@blocknovum.com • Blockchain & research expertise: Blockchain expertise and professional
experience in market research, financial modeling, and startup assessments.
Mobile: +41 (0)78 735 98 54
• Information advantage: Close proximity to leading blockchain startups in
Remo Kyburz, the founder of BlockNovum, currently conducts all the client research. Switzerland’s Cryptovalley → Early access to founders / promising projects.
While being a startup, BlockNovum expects to grow in the upcoming months as demand for
professional research increases. • Independence: Investment research and startup due diligence is independent
In his previous role as a strategy consultant, Remo advised high-profile clients in the financial and in the best interest of our clients (No payments from startups).
sector in topics around Digitalization strategy and adoption of new technologies (Open Banking,
Blockchain, AI). He is a seasoned researcher with extensive knowledge of the cryptoasset • Global coverage: Services to evaluate and research startups / cryptoassets
industry and first-hand expertise in investing in blockchain related companies. are offered worldwide. Travel option is available.

• Confidentiality: BlockNovum guarantees confidentiality regarding assessed

EXPERTISE & PROFESSIONAL EDUCATION projects and your investment focus & decisions.
BACKGROUND
• Skin in the game: We are convinced of the long-term upside potential of
• Cryptoasset and Market Research • M.A. Banking and Finance, University of blockchain assets. Therefore we accept payment in selected cryptoassets.
• Financial Analysis and Modeling Zurich
• Business Strategy • B.A. Economics and Business
Administration, UZH SELECTED TESTIMONIAL
• Investment Management
• Semesters abroad at Hong Kong
Polytechnic University and Vienna “BlockNovum’s extensive market research service was
• Strategy Consultant at Accenture of exceptional quality and provided a data-driven base
Strategy University of Economics and Business
for major strategic decisions. We were impressed by
• Analyst at BlackRock and UBS Remo`s expertise, diligence and professionalism.”
• CAIA Level II Candidate / GMAT 720 (94%)

20
Copyright © 2018 BlockNovum. All rights reserved.
ABOUT BLOCKNOVUM & DISCLAIMER

About BlockNovum:
• BlockNovum is a Swiss Blockchain and Cryptoasset investment research & consulting firm. We provide professional assessments, fundamental
valuations, and market research reports for the emerging asset class of cryptoassets & blockchain startups. Our clients include institutional investors
(VCs, family offices, [Crypto]-funds & other asset managers) with an interest in allocating capital to cryptoassets or blockchain startups. Additionally,
we also offer our reports and consulting services to accredited investors, such as business angels.
• Mission: Founded in 2018, we are a young startup that wants to advance the quality of fundamental cryptoasset research to a professional level to
provide institutional investors with high quality market research, due diligence, and valuations.
• If you are interested in similar reports or customized consulting services, please contact us at info@blocknovum.com

Disclaimer
The information herein is based on sources that BlockNovum considers reliable, but its accuracy is not guaranteed. All statements made in this report are strictly beliefs and points of view
held by BlockNovum after conducting careful market research. Certain of the statements contained herein may be statements of future expectations and other forward-looking statements
that are based on BlockNovum’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ
materially from those expressed or implied in such statements. Neither BlockNovum, nor any of its employees shall have any liability, howsoever arising, for any error or incompleteness of
fact or opinion in it or lack of care in its preparation or publication.
The information contained in this report are not a representation by the covered corporations / cryptoassets, nor is any recommendation made here based on any privileged information.
This information is not intended to be nor should it be relied upon as a complete record or analysis; neither is it an offer nor a solicitation of an offer to sell or buy any security or
cryptoasset mentioned herein. Nothing contained herein constitutes investment, legal, tax or other advice and is not to be relied on in making an investment or other decision. Investors
should determine for themselves whether a particular service or product is suitable for their investment needs or should seek such professional advice for their particular situation.
This firm, BlockNovum, its employees, and members of their families, may have a position in any security discussed in this report or in related securities and may make, from time to time,
purchases or sales thereof in the open market or otherwise. The information and expressions of opinion contained herein are subject to change without further notice. Additional
information with respect to the information contained herein may be obtained upon request.
©2018, BlockNovum GmbH. All content and figures are original and have been researched and produced by BlockNovum, unless otherwise stated herein. Logos of startups have been
obtained from the respective official websites. Pictures were obtained from Pexels.com. No part of this content may be reproduced in any form, or referred to in any other publication,
without the express written permission of BlockNovum.

21
Copyright © 2018 BlockNovum. All rights reserved.