A New Era of Money! Remittances & Financial Inclusion Bill Barhydt m-Via

The potential of money to improve the quality of people’s lives increases exponentially with the number of people with access to that money.

A New Era of Money The Silk Road (114 BC) Reed’s Law (2001 AD) Value created by a Network = 2 N – N – 1

From Silk to Silicon

7 "The mobile phone is the single most transformative technology for human development." Jeffrey Sachs, Columbia University economist and emerging markets expert ”The adoption of the mobile phone is the most important development in human history." Mohamed Yunus Nobel Prize Winner, Founder Grameen Bank 7

“The Fortune at the Bottom of the Pyramid” by C.K. Prahalad and Stuart L. Hart, HBR September 2002 More than $20,000 $1,500 - $20,000 Less than $1, Million People (1.6% of World Population) 1.9 Billion People (32% of World Population) 19x 4 Billion People (66% World Population) 40x Annual Income Population MFS Sweet Spot

M-Pesa means “Mobile Money” in Swahili 9 Million participants 40% of adult population 17,000 Agents 10% of GDP flows MONTHLY Fees are 8% of Safaricom revenues 19% of airtime purchases through M-Pesa

Virality designed into system Requires government ID for registration Registration done at any Safaricom agent Free registration (includes new SIM) No minimum balance required Deposits are free Withdrawals cost between $.30-$.40 P2P transfers $.40

Philippines Globe & Smart – Dominant Carriers 76 Million Phone Accounts 33 Million Bank Accounts No Mobile Money interoperability! GCASH – 18,000 Agents Philippines – 8,900 ATM machines $300M per month in transaction volume Largest music business in country is MMS US $29 Billion per Year Two Different Approaches in 1 Market

What about closer to home?

Bansefi provides bank services for poor Largest issuer of debit cards in Mexico Government social payments Runs Directo a Mexico for remittances Instrumental in new correspondent banking regulation creates tens of thousands of rural banking locales Correspondent bank to hundreds of regional “micro-banks” Red de la Gente (People’s Network)

US to Mexico -> world’s largest money transfer corridor Goal is to leverage remittances as a source of new bank accounts Model has been highly successful with millions of new accounts opened

Over 9 Million Mexican Migrants in CA

 Pay bills, top up phones and send money  Cross border money transfer via SMS  Wallet account is a prepaid card with NO plastic  New accounts are real-time upon first send/receive  Works via SMS, IVR, WWW, Live Operator  Convenient and safe cash in/out  POS and ATM cash-out (no card) 16 M-Via Mobile Money Network

m-Via Mobile Money Service 17 m-Via Mobile Wallet Functions like a prepaid card No Plastic Required = $0 cost Money Transfer, Bill Pay, Top-up m-Via Mobile Wallet Functions like a prepaid card No Plastic Required = $0 cost Money Transfer, Bill Pay, Top-up We Address the Cash Consumer 10,000’s of agents Cash load/withdrawal at retail SMS & IVR interface We Address the Cash Consumer 10,000’s of agents Cash load/withdrawal at retail SMS & IVR interface Send Money 24x7 Access Make Purchases 1. Sign up for m-Via via MVIA 2. Load cash into wallet at any m-Via Retail Agent 3. Transfer or Pay via ANY phone 4. Withdraw cash at any m-Via Retail Agent

Send $ from US or MX via m-Wallet Safe, Fast, Easy & Affordable Load cash at m-Via Agent Get money at a local ATM NO CARD required! 18 Receive $ in US or MX via Mobile Wallet Make purchases Or send money to any other wallet Get money at m-Via agent NO CARD required! M-Via Mobile Money Network How it works… Pay a bill or top up a phone

Any bank can m-Via enable existing or new accounts M-Via enabled accounts can remit to ANY mobile # Support infinite number of bank processors

m-Via Launch Partners US Retail AgentsLatAm Retail AgentsBank/Payments Partners

M-Via plans to give away up to 100,000 phones in the next 12 months for one year subscribers Phone recipient to be chosen by new m-Via subscribers in the USA. M-Via package now includes: M-Via Account for sender and recipient Mobile Phone Optional Mobile Bansefi account Optional 2 nd phone at < $50

US Launch Plans California Texas New York New Jersey Illinois Arizona Nevada Georgia Florida

International Launch Plans Mexico Guatemala Ecuador Honduras Dominican Republic Haiti Philippines India

Partnering with m-Via US Retail partners International MFI’s Regional Banks Regional Carriers/Wallet Operators

The potential of money to improve the quality of people’s lives increases exponentially with the number of people with access to that money.

Thank You…