William Burnett | Irvin Cardenas | George Li | Mark Painter

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Democratizing Alternative Investing

Underserved Retail Investors

What’s the problem?

• Retail investor have a heavily concentrated equity exposure (often effectively > 80%)

• Wealthy investors have access to alternative investments

• Portfolio theory strongly recommends diversification into such assets

• Retail investors are effectively locked out of alternative assets

• Access to such assets would enable investors to diversify their portfolio

• Equity Markets have high volatility and under perform in a downturn

Indicative Retail Portfolio

Equity*

Cash and

Fixed Income

A platform to

Democratize Alternative Investments

A marketplace for everyday investors to diversify their portfolios

Our solution

Provides a significant new source of capital to underserved markets

Utilizing blockchain to improve transparency with smart contracts

Community Bank Loans Direct Real Estate Debt and Equity

Capital to underserved markets

• Community banks continue to raise capital levels to appease regulators post‐crisis, undermining their ability to underwrite small business loans

• $180bn in Small Business loans not been issued

• Blockfolio reduces

• Offers a different risk profile to equity or debt REITs

• Debt asset class can provide a steady level of returns

• Investors can tailor their Real Estate Debt and Equity exposure to hedge their real world exposures

Opaque existing securitization market not functioning

effectively

Lack of liquidity in crowdfunding and

alternative investments

Lack of underwriting standards and support model in most

crowdfunding solutions

Issues with current alternatives

Welcome to

Blockfolio

Blockchain Technology...

The Value Proposition

Diversify your portfolio

Power to exit your investment

Transparency in consolidated assets

… enabling efficient future scalability

Search for the ideal investment

Our target market

Investors with more than $100,000 but less than $2,000,000 in investable assets, including their 401k’s, with the willingness to learn more about investment

risk and their options

Asset managers with clients with $1,000,000 to $5,000,000 in investable assets with the desire to enhance the risk adjusted returns of their clients

Originators of loans that have a track record of high quality underwriting and are looking to free up their balance sheet to make new loans to their customer base

Targeting 5% of the 5%

How we will make money

2016Demand Side - Addressable Market 1% of the $20tr of retail assets, 1% Target Acquisition

2020

Total Target Markets Target Investments

Alternative Adoption

Total Addressable Market

Acquisition Target

1% Acquisition Target

Transactions Fee Revenue

2016 $20,000,000,000,000 1.00% $200,000,000,000 1.00% $2,000,000,000 200,000 1% $20,000,000

2017 $20,000,000,000,000 2.50% $500,000,000,000 2.00% $10,000,000,000 1,000,000 1% $100,000,000

2018 $20,000,000,000,000 5.00% $1,000,000,000,000 3.00% $30,000,000,000 3,000,000 1% $300,000,000

2019 $40,000,000,000,000 3.00% $1,200,000,000,000 4.00% $48,000,000,000 4,800,000 1% $480,000,000

2020 $40,000,000,000,000 5.00% $2,000,000,000,000 5.00% $100,000,000,000 10,000,000 1% $1,000,000,000

Demand Side - Addressable Market 5% of the $40tr of assets, 5% Target Acquisition

William Burnett

High School Student

George LiB.S. Computer

Science

Mark Painter

Our team

Irvin Steve Cardenas

B.S. Computer Science

CFA, FRM

Appendix

Institutional Investors Retail Investors

Increased capital pool with sophisticated

managers

Community Loan demand of $180bn been unmet.

$20tr of retail assets+$1tr to Alternatives

Expanding Total Addressable Market

Community Loans and Real Estate

High Margin, Low Volume Lower Margin, higher Volume Low Margin, High Volume

Education of investors to adjust their portfolios to

Alternative Assets: 1% and then to 5%

Incorporate the wider financial Markets.

$20tr of Asset Under Management in non ‘Institutional’ funds

+ $1tr to Alternatives

Investors

Investments

Asset Managers

Block-chain utilized on the expanded

Student Loans, Crowdfunding Loans, Larger

business loans

All Non-exchange

based assets

Total Addressable Market

● Open registration attracting customers through financial

● Partnership with large retail investment platform

● Analysis of ‘white label’ option for larger brokers

● Asset Manager acquisition to create investments for their clients

Customer Acquisition

Investment Acquisition● Partnership with The Independent Community Bankers

of America

● Active acquisition strategy building relationships with trusted originators

This protects Accredited investors on crowdfunding websites and businesses receiving the capital through crowdfunding.

American JOBS Act (2012)

By law these transactions need a middleman (broker or website) and SEC (Securities and Exchange Commision) must approve crowdfunding websites. The basic costs would be $6,000 to fill a “form C.”

Rule 415 under the Securities Act (1933)● Allows for continuous offering of notes

● Utilized by LendingClub