I think a great idea. There are two main hurdles I think a great idea. There are two main hurdles. Getting a gaming person on board and the mechanics of the Ethereum blockchain for this particular application. 84%

Mercury Virtual Markets Ethereum-based platform to distribute, collect, and trade digital game content Scott Duncan, Alex Dulmage, Nat Lavin, and Cass Meadows

Online Gaming Market Size Global gaming market is already >$100Bn and expected to grow significantly Worldwide real-money trade (RMT) market estimated to be >$2Bn per year Variety of user-to-user RMT secondary markets for virtual property already exist across games and platforms Game companies not interested in liability associated with virtual property 1 2 3 4

Inefficient Marketplace 1 2 Step 1 Find website that offers exchange Step 2 Find item desired item Step 3 Find ‘reputable’ seller Step 4 Non-secure credit card payment 3 4

Current Online Gaming Ecosystem Problem and Solution Fraud is rampant Gaming platforms consider RMT transactions illegal Siloed nature of gaming multiverse Inability to make conditional transfers Current Online Gaming Ecosystem Fragmented virtual markets with high fees Ethereum tokens Virtual ‘currency exchange’ with dynamic pricing & live auction-house for items, boosting services, and accounts Distributed database Built-in validation eliminates fraud and future account hacking Smart contracts Enable exchanges to be made automatically once stipulations of the contract are met using a unique digital signature

The Virtual Market Graphical User Interface Currency Exchange Centralized functions: Initial issue of objects and currency Contract verification during peak hours Ledger Management The Virtual Market Graphical User Interface Currency Exchange Decentralized functions: All P2P transfers Ledger storage Contract verification

Our Business Model Expand GUI to new uses Provide maintenance services: Updates Ledger Upkeep Centralized verification against distributed ledgers 1) We build out the virtual marketplace in concert with game development team, using our smart-contracts GUI and expertise to provide a seamless in-game purchasing experience within a fee-for-service or bundled model. -Can replace online marketplaces in current games or be built into new ones on any platform 2) We can then sell follow-on maintenance (ie- any updates, distributed ledger technology functions, etc) to the software developers 3) Offer online exchange for players to trade currencies between different developers and/or games at a smaller spread than current options. 4) Apply developed GUI to new functions outside gaming as smart contract adoption increases Develop currency exchange Collaboratively build out virtual economy with game developer

Cross-Game Currencies Single Game Currencies Competition eBay – This entails gamers to auction or list the item or service that they are willing to provide on a “traditional exchange” and with USD, bitcoin, etc. being exchanged either before or after the transaction event Battle.net Credit – Blizzard announced on February 7, 2017 that they will now allow World of Warcraft gold to be utilized across the company’s other titles, including Overwatch and Hearthstone Cross-Game Currencies Indirect Methods Single Game Currencies Simoleon (The Sims), Rupees (The Legend of Zelda), etc. – Use within native game can be extensive but is not transferable between titles

Risks and Mitigations Labor costs exceed projections and development takes longer than projected The game developers invest in and build out this capability themselves Buyer power is strong in a consolidating market Risks Ensure a deliberate development plan to reduce issues – also, projections have leeway for profitability even with additional costs A significant effort to attain a first-mover advantage and acquire early adopters Clearly illustrate the workload and liability that will be avoided by buyers if they allow a 3rd party to own service Mitigations

Competitive Advantage 1 Enhanced security 2 Speed through conditional contracts 3 An exhaustive ledger of past transactions – evidence of credibility 4 The versatility of use for one-time item transfers, training, services, and many more possibilities

Five Year Plan Go Live Y1 Y2 Y3 Y4 Y5 and beyond Assemble Technical Team and Build PoC Solicit Game Developer for Pilot Case Build Out Service Capabilities Develop Full Product and Go Live Build Exchange and Go Live Expand GUI to Other Uses Go Live

Revenue Projections Revenues from Development Revenues from Service Games Developed Year 1 Year 2 Year 3 Year 4 Year 5 Revenue Per Game Small/Indie 1 4 8 10 $10,000 Mid-Level 2 $30,000 Existing 5 $100,000 New Blockbusters $1,000,000 Revenue from Development $0 $170,000 $1,640,000 $4,720,000   Revenues from Service  Game Size Year 1 Year 2 Year 3 Year 4 Year 5 Annual Service Revenue/Game Small/Indie 1 5 13 23 $2,000 Mid-Level 3 7 $6,000 Existing 6 11 $20,000 New Blockbusters $500,000   $0 $36,000 $664,000 $2,808,000 Revenues from Exchange   Year 1 Year 2 Year 3 Year 4 Year 5 Real-Money Trade Market $2,000,000,000 $2,200,000,000 $2,420,000,000 $2,662,000,000 $2,928,200,000 % Market Captured 0.01 0.03 0.05 Dollars Flowing Through $0 $24,200,000 $79,860,000 $146,410,000 Exchange Fees (% of Transfers) 0.02 Revenues From Exchange $484,000 $1,597,200 $2,928,200

Hiring Projections *Founders will convert to CEO and CTO in year 3 Pay Grade CEO 1 $225,000 CTO $200,000 Developers 3 4 7 12 20 $120,000 Technical Service Reps 5 8 15 $100,000 Founders 2 $60,000 Admin Assistants Total Salary Spend $480,000 $660,000 $1,945,000 $2,905,000 $4,625,000 *Founders will convert to CEO and CTO in year 3

Cash Flow Projections Year 1 Year 2 Year 3 Year 4 Year 5 All Figures in '000’s Year 1 Year 2 Year 3 Year 4 Year 5 Revenues from Funding $1,000 $1,500 $2,000 $0 Revenues from Development $10 $170 $1,640 $4,720 Revenues from Service $2 $36 $664 $2,808 Revenues from Exchange $484 $1,597 $2,928 Salary $480 $660 $1,945 $2,905 $4,625 G&A $150 $66 $195 $291 $463 R&D $100 $76 $135 $314 Contingency Expenses $50 $523 Change in Cash $220 $635 $282 $316 $4,532 Net Cash from Previous Year $855 Cash Position $1,136 $597 $4,848

Exit in 5 Years Target Price: $65 M Exit Strategy: Growth Rate: 3% We plan to exit in 5+ years through acquisition by a software developer, PE firm, etc. Exit in 5 Years DCF Method Multiples Method Growth Rate: 3% Discount Rate: 10% Estimated Cash Flows @ 5yrs: $4.5 M Valuation: $64.75 M Multiples Method Multiple of Revenues: 5x – 10x Estimated Revenues @ 5 yrs: $10.5 M Valuation Range: $52 M - $105 M Target Price: $65 M

1 A B ROI @ Funding $65 M >550% 550% 225% Seed $1M in convertible notes (terms TBD) >550% Seed A 550% $1.5 M for 20% stake B 225% $2 M for 10% stake