NIXT Nexinter IEO (Initial Exchange Offering)

Transcription

1 NIXT Nexinter IEO (Initial Exchange Offering) White paper

2 Index Intro What is our IEO about The global situation and the future NextHash business overview Nexinter products and services Nexinter Exchange Nexinter OTC Desk Nexinter DSO Platform Liquidity Provider Custodian Service and Nexinter Debit Cards Market Analysis Legal Structure of a Token Customer segment NextHash Environment The Roadmap The Offering Team More Team, Advisors and Partners Risks and disclaimer

3 Intro NextHash is a global entity comprised of several units across the world that has the vision to combine the traditional financial industry with brand new digital asset class called security tokens, by harnessing the power of blockchain technology. NextHash is the parent company of Nexinter, whose brand has been created to uniquely identify its Exchange business and more in general to address any trading-related transactions of digital assets. It has then created a state-of-the-art blockchain platform, namely https: / that allows easy and liquid access to crypto trading with goal to frictionless integrate the so-called institutional investors as well as a new class of retail investors to the new digital security world. NextHash, along with their brands like Nexinter, has already established a global presence and already obtained financial licenses in various jurisdictions to fully comply with the latest financial directives and to address the whole worldwide markets of a new asset class, called digital securities. In short, NextHash is the corporate entity of Nexinter. First, we do it. Then we communicate. This is just the beginning of our vision of a regulated environment that drives inclusion based on blockchain technology that is accessible to all! We will get there! We have the trust of our initial investors who invested a lot in our company for the development of the exchange and the release of the essential licenses that made us compliant. Now we want to scale up and bring inclusion among all. With your help we can really speed-up the roadmap to achieve your and our goals. President & Founder Ana Benčič

4 What is our IEO about Our mission is to drive financial inclusion. Up until now, common people start investing their money into company stocks or equity several years after professional investors, because it requires business understanding, in-depth financial knowledge and network connections. And because they are not given the chance even if they had wished or spotted an opportunity. We envision a future where anyone is being offered the opportunity to be aware, self-educated and to participate to the value creation process of the companies of the future, the new stocks. At early stage, as professionals do. Think about IPOs and current stock valuations, don t you believe it is time to rebuild the rules of company s valuations to truly reflects market value? This is a time game; it requires to step at early stage into such process. We have built our Nexinter exchange because we strongly believe that it will represent the heart of the ecosystem for a new category of investors, companies seeking to grow their capital, investment funds, venture capital, family offices, traders and so on. The exchange is not just a listing platform to provide access to primary and secondary markets, but it is an effective marketplace where business meets communities and investors, borderless, 24 by 7. Our IEO goal is to build this global community of the future of money that will timely interact with such an ecosystem. We will create all this, by closely introducing and presenting companies that will issue the new stocks, called security tokens, and their values to our community, at an early stage, creating inclusion and proximity, with the goal to match them with a brand-new category of the financial world that we will shape. Early stage doesn't mean to replace traditional seed funding into a sort of tokenized ICOs, that were mostly investments out of thin air. We will be extremely selective to allow the participation into this economy to companies that share the same vision and principles we have. We aim at redefining the connection between people and finance, and our IEO is just the beginning of a long journey. Don t you feel to be always late when it comes to investing? Let s join us to our Nexinter journey by participating to our IEO and come on board! At early stage. Daniele Mensi Chief Executive Officer

5 5 The global situation and the future Market cap The regulators position Since its breakthrough, blockchain technology has gained traction in every industry and has become a very important asset class. Following the massive increase in the value of Bitcoin and other altcoins in late 2017, it reached current market cap of 265 billion USD and daily trading volume of 4 billion USD on exchanges. Over the Counter (OTC) OTC desk is a key element of crypto trading landscape. Across 2018, institutional entities have entered the market and increased daily trading volumes from an average of 100 million USD to 12 billion USD. Governments and Regulators have become wary of the increasing issue to protect its people from manipulations and thefts. New Policies Additional regulation policies for crypto exchanges being implemented by governments around the world, are triggering interest of institutional investors for the crypto space. Example of such regulation is the 5th Anti-Money Laundering Directive (5AMLD) adopted in 2018 by the European Union, which imposed new regulations on cryptocurrency exchanges and custodians operating in Europe. Security Token Offering (STO) White market vs black market As the crypto markets continue to contemplate digitalised securities with the potential to disrupt the $1.6 trillion private placement market, agile entrepreneurs and organizations are working on novel solutions to translate existing financial structures onto the blockchain Security Token Offering. The future in crypto will bring a fully regulated space where the world's biggest investors and funds will be allocating their capital. Legal protection Initial Exchange Offering (IEO) An Initial Exchange Offering, as the name suggests, is a token offering managed and executed on the platform of a cryptocurrency exchange. As opposite to the ICO (Initial Coin Offerings), the IEO is fully administered by the Exchange itself that should provide guarantees about business model, company structure, execution capability and compliance. This represents a mean to raise funds with the sale of its newly issued tokens. Initial Coin Offering (ICO) introduced an innovative way of raising capital for SMEs around the globe but without any legal protection for the investors. The future of private placements Security Token Offering (STO) will replace not just ICO format but also traditional private placement market.

6 6 NextHash business overview NextHash, founded in 2018, is a London-based global entity comprised of several units across the world whose mission is to drive financial inclusion of traditional and new classes of investors in the so-called digital securities market. The main goal is to deliver a frictionless experience to any investor to get access to digital assets with world-wide fashion, through a progressive approach. NextHash Tech Ltd. London, UK Nexinterexchange OÜ NextHash Inc. Boston, USA NextHash SA Switzerland NextHash Ltd. Malta NextHash d.o.o Serbia NextHash d.o.o. Slovenia Nexinter LTD Cyprus NextHash LLC Dubai (UAE) NextHash Pte Ltd Singapore Figure 1. NextHash global presence These units combine the traditional financial industry with new digital asset classes called security tokens through blockchain technology. NextHash has already established a global presence and with the Nexinter brand has obtained crypto-fiat and custodian licenses to fully comply with the latest financial directives and to address the worldwide markets. As of July 2019, NextHash has its presence within 10 markets including: NextHash Inc. (Boston, USA), NextHash PLC (London, UK), NextHash SA (Switzerland), NextHash Ltd. (Malta), Nexinterexchange OÜ (), NextHash d.o.o. (Slovenia), NextHash d.o.o. (Serbia), Nexinter LTD (Cyprus), NextHash LLC (Dubai, UAE) and NextHash Pte Ltd (Singapore).

7 7 Nexinter products and services Exchange OTC Desk Digital Securities Liquidity Provider Custody Nexinter Exchange Nexinter Pro I-Nexinter Institutionals Investment Funds Retail and Professional Investors Market Maker Debit Card Figure 2. Nexinter products and services Nexinter Exchange Nexinter Exchange ( is a European Union-based cryptocurrency trading platform, the main operational platform of NextHash. Similar in function to a traditional digital assets trading platform, it provides best in-class crypto trading functionalities, as well as easy and liquid access to new classes of digital assets with security and full regulatory compliance. Nexinter ensures, as its main priority, to maintain customer information safe and secure while providing the service of a platform to trade cryptocurrencies and digital assets. This all comes with a goal to integrate, without friction, traditional and new classes of investors to the new security tokens world. Market makers have an important role on exchanges as they are insuring liquidity and competitive prices. Recently, we have integrated a market making platform that is connected Strong and compliant KYC compatible with financial institutions Crypto-Fiat pairings with crypto friendly bank accounts Fiat Gateway KYC Liquidity Liquidity pool with other public exchanges AML Coin forensics by analysing blockchain transactions for detecting frauds Figure 3. Nexinter Exchange Figure 4. Mobile trading BOT

8 8 to other major crypto exchanges and projecting best prices on Nexinter Exchange. Consequently, we have tightened spread to offer the best bid and ask prices on the market for our clients and have the depth of the biggest crypto exchanges on the market. In the last few months Nexinter Exchange has started to focus on user acquisition campaigns with a great success as it has acquired 2,000+ users with increasing Daily Average Volume of 1,000,000 USD in just the month of August of Nexinter OTC Desk Nexinter OTC Desk is an over-the-counter platform geared towards institutional traders aiming at a professional and secure platform. OTC focuses above all on transparent pricing without hidden fees, on large volumes, on worldwide counter-party network and its custodian services, built with cold storage technology operated in bank grade Class III vaults. Nexinter OTC is freely accessible within a robust and compliant framework. Large Volume Worldwide counter-party networks to process large volumes Transparent Pricing Bid and ask pricings are definite without hidden fees Custody Cold storage technology is operated in bank grade Class III vaults No restrictions but compliance Figure 5. Nexinter OTC desk Nexinter DSO (Digital Securities Offering) Platform STO Platform (Security Token Offering) or DSO Platform (Digital Security Offering) is a raise capital using financial engineering and smart contracts on a blockchain with investors legal rights from traditional markets. A business s idea, team, revenue, and product are evaluated for suitability of securities offering through our so called DSO Pipeline. We provide the: Deal structuring Platform for token issuance and distribution Custody of assets Legal, Financial and Audit advisory Technical audit Access to Primary and Secondary market (Nexinter exchange and OTC desk)

9 9 Initial Issuance Needs Phase 3 Investors profile and Compliance/KYC Enablement Phase 5 Investor invite is being sent Investors receive dashboards Fundraise Phase 6 Smart Contract Deployment NexhHash issue token to investor s wallet Phase 1 Issuer review and assessmenet Onboarding Issuers start supporting investors requests NextHash prepares issuers for future issuance Phase 2 Issuers enter all relevant information Phase 4 Platform Delivery and Go Live Implementation Figure 6. Digital Security Offering Liquidity Provider Liquidity Provider Market Maker provides purchase and sale solutions for traders. Market maker offers the ask and bid price at all times for the pairs it operates with. Arbitrage opportunities are also available with more than 2,000 crypto coins and more than 250 exchanges offering different pairs. Liquidity is the fourth vertical needed for NextHash Ecosystem. Custodian Service and Nexinter Debit Cards Custodian Service is the Nexinter service that is building leadership in digital security offerings with all digital assets stored under custody in multi-sig cold wallets, protected by an 100m USD insurance and with a complete seamless experience about keys management. All Nexinter clients will have the possibility to obtain their own debit card and to open a Nexinter online banking account for fiat currencies. They will be capable to process transfers all over the globe in the major fiat currencies such as USD, EUR and others. They will be capable to freely use their debit card in all the jurisdictions all over the globe. Figure 7. Nexinter Debit Card

10 10 Market Analysis According to Bloomberg s article, Cryptocurrency Exchanges Are Raking in Billions of Dollars, digital-asset exchanges are among some of the best winners of the cryptocurrency boom. Among the top 10 digital-asset exchanges, some are generating upwards of $3 Million in fees per day and heading to over $1 Billion per year: Binance Upbit Huobi Bittrex Bithumb OKEx Bits Blockchain Bitfinex Bit - Z GDAX Bitstamp WE X Kraken HitBTC CoinEgg BTCC EXX Gemini Poloniex bitflyer Digital assets exchanges are making millions in trading revenue per day Daily revenue (Est.) 0.5 M 1.5 M 2.5 M 3.5 M Figure 8. Leading exchanges *Source: Bloomberg Competitors, like China s Binance and OKEx out of Hong Kong, are handling the largest volume of trading, $1.7 Billion per day. Binance reported $200+ monthly Million profit since 2018, nearing numbers of Germany s leading financial institution, Deutsche Bank. Other Asian-based competitors such as Huobi, Bitfinex, Upbit, and Bithumb all process between $600 Million and $1.4 Billion per year in trading values. Asia s prominence in the market can be explained by the concentration of Asian-based cryptocurrency miners from the early days of Bitcoin. Lower electricity costs in Asia led to an advantage. However, as the lucrative digit-asset exchange industry expands, potential competition from public companies and traditional financial firms may arise and push crypto exchanges to lower costs and be more transparent to stay competitive. These more conventional and traditional financial institutions may even try to acquire crypto platforms to get a better strategic position in the market. In South Korea, large multi-billion-dollar conglomerates such as Shinhan Bank, Nexon, and Kakao operate all major crypto exchanges. Nexinter s DSO (Digital Securities Offering) is a segment of the ecosystem dealing with the newer idea of security token offerings. Unlike cryptocurrencies and utility tokens, these security tokens are backed by tangible assets.

11 11 Legal Structure of a Token UTILITY TOKENS SECURITY TOKENS CRYPTOCURRENCIES Description: It s best to think of a Utility Token as a pre-paid voucher for non-existing services Description: A token that behaves like a security Description: A token that is a pure cryptocurrency Characteristics: Closely tied to the functionality of the issuing network application Internal network/app currency but not necessarily attempting to be a currency Grants owners the right to actively contribute to the system vs. passive investor role Avoids security-like features Characteristics: Showcases security-like features, e.g. voting on decisions regarding the issuing entity, dividends, or profitshares Holders are regarded as owners Little or insufficient utility Characteristics: Acts as a store of value and medium of exchange Not emitted by a central authority against which owners have claims Examples: Bitcoin, Litecoin, Cardano *Source: Threat of New Entry Supplier Power Threat of Substitution Buyer Power Security Token Offering vs Initial Coin Offering Security Token Offering Low: Prior assets, profits, revenue of company, etc. needed to back security token. A security token represents something tangible in a company. Low: Companies which back security tokens are tied to the token, similar to a security or a stock. High: Very similar to securities such as stock. Holders looking for features in security tokens such as dividends, profit sharing, and voting can be found among other securities. High: Holders are considered owners and have voting powers, similar to a security. Holders are also protected by regulation Initial Coin Offering (Utility Tokens) High: Few regulations in to prohibit new initial coin offering. High: Low success rate among initial coin offerings, and crowdfunding is difficult. The large amount of competition in the industry gives investors many routes to choose from. High: Very saturated market with many cryptocurrencies and utility tokens to choose from, not even considering more traditional investments. Low: Avoids security-like features, and unregulated. Holders can get burned by fraudulent or risky utility tokens.

12 12 against pump-and-dump schemes in ICOs. Larger institutions and smarter money is interested in investing in STOs. Competitive Rivalry Medium: Security Tokens are a new, secure investment to bring capital into the crypto space and to attract new capital for startup funding. Because of their security-like protections, fraud is less of a liability as well. Low: Utility tokens have historically been more of a liability, however new regulations and the need to change will better the outlook on utility tokens. Main competitors in the traditional Exchange business field of Nexinter are Binance, Coinbase, Upbit, Bithumb, OKEx, Huobi, Bitfinex. Nevertheless, the competitive differentiators of products and services by Nexinter include: Nexinter is licensed to offer fiat-crypto payments Free of charge deposits and withdrawals 0.25% Trading Fee (Cumulative) Trades in BTC, ETH, XRP, LTC, BCH paired with USD and EUR (with possibility to add other fiat and cryptocurrencies to the trading platform) Best ask and bid prices on the market (shared liquidity pool market maker) Strong international networks (Especially in the West) Decades of experience High processing power of 1.2 million orders per second Legal compliance Asset protection Ease of use Customer segment NextHash with its Nexinter Exchange platform target professional, less experienced, and even new cryptocurrency traders. Nexinter is fully compliant, secure, and user friendly to meet the needs of these customers. Nexinter OTC Desk is designed for professional and secure partners. The OTC Desk provides worldwide counter-party networks for large volumes. The Nexinter DSO Platform is designed for businesses suitable for the Nexinter ecosystem.

13 13 NextHash Environment To the existing Nexinter Exchange Platform which is headquartered and operates in the European Union, NextHash will be incorporating two more exchanges: Nexinter Pro in Gibraltar and I-Nexinter in Dubai, UAE. Nexinter Pro will be operating in Gibraltar as it is becoming a blockchain and crypto friendly jurisdiction, especially for security tokens. The demand of institutional traders for the crypto market is increasing, but there is no exchange platform infrastructure that would satisfy their requirements. Thus, Nexinter Pro will have the features that will target institutional traders on the UK market. It will also function as a safety precaution against the uncertain Brexit conditions of the UK market, which seems to be closing. We, nevertheless, strongly believe of a positive market reaction by the UK Brexit and we are doing this only to safeguard in case of worst-case scenario. Nexinter Pro s main points are: First only institutional trading platform for crypto and digital assets Combined with traditional assets trading Licensed in Gibraltar and UK Listing and trading digitized funds, STOs, ETFs etc. Offering more features, swaps, etc. to the institutional traders Becoming the first regulated liquidity provider for the institutional markets NIXT as the Nexinter-Pro in-house utility token I-Nexinter will be operating in Dubai, UAE. Emirate of Dubai has a goal of becoming a blockchain capital of the world by 2020 and to shift all the financial transactions to blockchain. NextHash is already intensely present in Dubai and the middle east region as it has subsidiary company headquartered there. With our great middle east relation network, we have a vision to establish a first Sharia compliant STOs and digital assets exchange. I-Nexinter's main points are: Targeting a 2 billion Muslim population More than 2 million retail traders Introducing a Sharia Board of directors being compliant with the Sharia law Getting licenses in MENA and APAC region (starting in UAE and Malaysia) I-Nexinter's HQ in Dubai, UAE Offering the listing of Sharia compliant STOs Potential turnover of more than 300 million USD per month NIXT as the I-Nexinter in-house utility token

14 14 NextHash Environment Nexinter Exchange (EU) Shared Liquidity Pool Nexinter Pro (Gibraltar) I - Nexinter (UAE) Figure 9. NextHash Environment The Roadmap Start of Nexinter software development Granted the notification to operate a crypto exchange from Malta Compliant KYC solution Granted n Fiat-Crypto and crypto wallet service licences 2018 January October November December Automated trading signalator First DSO signed Nexinter OTC Desk launch Nexinter Exchange launch 2019 October July April February In-house market maker platform integrated with Nexinter Exchange Debit Card First Nexinter Trading Contest NextHash DSO Nexinter Forex Platform First DSO listed on Nexinter Exchange November December 2020 H1 H2 Figure 10. Roadmap

15 15 NIXT - The Nexinter IEO (Initial Exchange Offering) NextHash s focus is on establishing an ecosystem with five verticals: Exchange Platform, OTC Desk, Market making Liquidity provider, Custodian Service and most importantly Digital Security Offering (DSO). The DSO is the main driver of growth of the Nexinter ecosystem as the others will play a supportive role to self-sustain the ecosystem s development. In order to create market awareness and customers inclusion, a framework has been structured to address any type of future investors of DSO or simply a digital asset trader, no matter if beginner or experienced. The goal of NIXT The Nexinter IEO (Initial Exchange Offering) is three-fold: 1. ENGAGEMENT: to build a new digital engagement as early as possible with new categories of traders, with full focus on compliance and security 2. INCLUSION: to build a leaner Digital Security Offering framework by starting to engage at earlier stage with companies that have planned to launch a DSO (Digital Security Offering) and provide them the benefit of an end-to-end competitive and transparent offering 3. ADOPTION: to leverage upon such an engagement to build the most liquid, user friendly and competitive end-to-end Digital Security Offering Platform in the world, to drive a broader inclusion to the financial world. Last but not least, most of Digital Security Offerings are prohibited to the retail clients in light of regulatory uncertainty and structuring costs. Our goal is to reverse and to push as much as possible the need to start addressing the retail client as early as possible into the STO (Security Token Offering) or DSO (Digital Security Offering) and we are fully committed in doing so. Nexinter Private Placement Offering In the current financial world (traditional and crypto), the security offerings of potential unicorn or decacorn companies are limited to accredited investors as they are licensed and have big amounts of funds to allocate to their investments, hence retail investors are excluded and can participate only at a later stage typically at IPO timing or beyond. NextHash has a different brand vision that is to include retail investors at an unprecedented earlier stage to invest at same timing than professional and accredited investors. This of course if the token offering has been structured by its issuer so as to have proper Regulatory approvals to address retail investors into any concerned jurisdiction. To provide a worldwide opportunity, NextHash has created a token offering called IEO (Initial Exchange Offering) that is own offering on own Exchange of own utility token, called NIXT, following the stronger security and compliance rules. NIXT token holders will receive the benefit to participate in private placements of Digital Security Offerings as well as professional investors, as early as them, with exactly the same conditions. Anybody will be able to join the Nexinter Private Placement Offering by just being a NIXT token holder and invest in the future Digital Securities being handled, issued and listed by Nexinter. Thus, we will open the financial investment sector to all, not just the few selected investors and consequently democratize the rigid traditional financial industry and make it transparent with the inclusive characteristic. NIXT token holders will receive the benefit to participate in private placements of Digital Security Offerings with an allowance that is represented by the amount of NIXT by the total supply at the time of DSO purchase request. NextHash will publicly announce DSO projects in the pipeline, with companies that have potential to become new unicorns by the end of IEO. Furthermore, Nexinter will handle the NextHash s own offering, planned by Q

16 16 NIXT Token holding benefits In addition of participating to private placement of DSO, NIXT token holders will receive the discount benefits on trading fee for Nexinter Exchange Platform, they will receive a free Nexinter debit card and free participation to the Nexinter trading contest on a monthly basis with minimum 1,500 USD reward pool. To summarize, along with participating to private placement of DSOs on Nexinter Exchange, the following benefit scheme apply for token holders 5,000 NIXT tokens*: Membership to Nexinter Private Placement Offerings 2,500 NIXT tokens*: Free entrance to Nexinter monthly trading contest 1,000 NIXT tokens*: Free Nexinter Debit Card Fee discounts based on NIXT holdings (until 31/12/2019): 5,000 NIXT tokens*: 50 % discount on all trading fees on nexinter.com 2,500 NIXT tokens*: 20% discount on all trading fees on nexinter.com 1,000 NIXT tokens*: 5% discount on all trading fees on nexinter.com After 1/1/2020 clients will be able to pay trading fees with NIXT tokens and enjoy the 30% discount on trading fees. 50% of NIXT tokens used to pay the trading fees will be burned. Fee discount schedule programme based on NIXT holdings will be cancelled. Token issuers will have the option to pay the listing fee with NIXT tokens. In particular, DSO issuers and issuers of other tokens will always have an option to pay for the Nexinter listing fee with NIXT tokens and receive immediate 20% discount on that listing fee. 50 % of NIXT tokens received as a mean of payment for the listing fee will be burned to reduce the supply of the token and drive the NIXT engine. Reserve your seat in the unique blockchain based Forex trading platform. Token holders of 45,000 NIXT tokens* will have a reserved seat on the Nexinter blockchain based Forex platform to trade stable coins paired with stable coins. Stable coins will be integrated by Q * Prices for the benefits are subject to change. If the price of NIXT significantly increases or decreases, prices for benefits of NIXT token holder will change in the manner to reflect current prices in USD equivalent. NIXT tokens will be burned (via listing and trading fee) until we burn 50% of total NIXT token supply. Hence, with the 5,000 NIXT tokens, holders guarantee themselves a membership to Nexinter Private Placement Offerings, free entrance to Nexinter monthly trading contest, a free Nexinter Debit card (Mastercard) and 50% discount on all the trading fees (until 31/12/2019).

17 17 Initial Exchange Offering (IEO) Prices Initial Exchange Offering (IEO) for NIXT tokens will be divided into three rounds with increasing price of NIXT. Duration and the respective NIXT prices of each Public Sale round is as follows: NIXT Price USD USD USD 1 st round 14 Oct 2019* - 25 Oct 2019* 2 nd round 25 Oct 2019* 05 Nov 2019** 3 rd round 05 Nov 2019** 15 Nov 2019** Figure 11. Initial Exchange Offering (IEO) Prices * 01:00 p.m. GMT+1 ** 01:00 p.m. GMT Please note that a downtime is possible when round shift occurs NIXT Token Economics NIXT Max Price: USD Hard Cap: 210,000,000 NIXT Max Token Supply: 350,000,000 NIXT (if hardcap reached) 50% of the tokens being used for the Nexinter listing fees and/or Nexinter trading fees will be immediately burned until we burn 50% tokens of the total NIXT token supply. Nexinter will accept only USD, EUR, BTC, ETH and BCH currencies for the IEO purposes. The exchange rates of NIXT/EUR, NIXT/BTC, NIXT/ETH and NIXT/BCH will be based on Bitstamp Exchange (https: / at 12:40 p.m. GMT+1. The actual price change will happen daily at 01:00 p.m. GMT+1 on Nexinter Exchange. Please note that a downtime might be possible when exchange rates are changed. NIXT token will be an SLP token based on Bitcoin Cash issuance platform. Initial Exchange Offering will be done on Nexinter Exchange ( Sign-up and completed KYC on Nexinter Exchange is necessary to participate in the IEO. Token Generation Event will happen few days after the IEO. NIXT tokens will be distributed on contributors wallets on the Nexinter exchange, based on the NIXT Token Distribution formula described below. After the successful distribution process, the NIXT token will be traded on the Nexinter Exchange, while withdraw and deposit function will be enabled after the TGE. NIXT token has been reviewed by legal entity Blockchain Advisory Limited, Malta and classified NIXT as virtual financial asset. Blockchain Advisory Limited has reviewed and its Initial Exchange Offering (IEO), namely the NIXT token, and issued a report, in which NIXT tokens are classified as a Virtual Financial Asset. The report was given in terms of the Virtual Financial Assets Act, in accordance with the requirements prescribed by the Financial Instrument Test (the FI Test ) issued by the Malta Financial Services Authority (the MFSA ). That means that NIXT tokens fall outside the scope of the Markets in

18 18 Financial Instruments Directive (MiFID II), the Electronic Money Directive, the Investment Services Act and the Financial Institutions Act and thus don t classify as Securities, Electronic Money or Virtual Tokens. NIXT Token Distribution Advisors, Angel Investors and Strategic Partners 10% 5% Rewards and Airdrop Founders and Team 25% 10% 5% 60% IEO Contributors 25% 60% Figure 12. NIXT Token Distribution The NIXT token distribution formula is as follows: 60% of the tokens will be sold to the IEO contributors, 25% will be distributed to the founders and the team in the two-year vesting period, 10% will be distributed to advisors, angel investors and strategic partners and 5% will be allocated into rewards and airdrop fund. The NIXT tokens distributed to the team will be released in tranches of 25% every six months, hence the NIXTs will be fully distributed to the founders and the team after two years. The NIXT distribution to founders and other team members will create an incentive for the team to drive the NIXT token engine. Advisors, angel investors and strategic partners will be rewarded 10% of total NIXT token supply. Their function will not be just to advise on critical matters but also to deliver IEO contributors. To incentivize that activity, we have allotted also a small fund to them, that will be distributed pro rata. The rewards and airdrops fund will be used for monthly rewards for the token holders and for marketing focused airdrops.

19 19 NIXT Fund Distribution 40% for the Development 20% for the DSO platform 40% for the Marketing Separate OTC platform Listing of other 10 coins on nexinter.com NEXINTER payment cards Nexinter mobile app DSO process and platform Enhance Digital Security licensing Marketing Promotion Branding NIXT IEO - Summary NIXT Max Price Hard Cap Max Token Supply NIXT Token Economics USD 210,000,000 NIXT 350,000,000 NIXT Initial Exchange Offering (IEO) Price IEO Timeline NIXT Price 14/10/2019* - 25/10/2019* 25/10/2019* - 05/11/2019* USD USD 05/11/2019* - 15/11/2019* USD NIXT Token holding benefits * 01:00 p.m. GMT+1 NIXT Token holding benefits NIXT Token Holdings Nexinter Benefits 5,000 NIXT Membership to NextHash Private Placement Offerings Free entrance to monthly Nexinter trading contest Free Nexinter Debit Card 50% discount on all trading fees (until 31/12/2019) 2,500 NIXT Free entrance to monthly Nexinter trading contest Free Nexinter Debit Card 20% discount on all trading fees (until 31/12/2019) 1,000 NIXT Free Nexinter Debit Card 5% discount on all trading fees (until 31/12/2019)

20 20 After 1/1/2020 clients will be able to pay trading fees with NIXT tokens and enjoy the 30% discount on trading fees. 50% of NIXT tokens used to pay the trading fees will be burned. Fee discount schedule programme based on NIXT holdings will be cancelled. Token issuers will have the option to pay the listing fee with NIXT tokens and receive 20% discount. 50% of the NIXT tokens paid for listing fee will be immediately burned to reduce the total NIXT supply. Nexinter offers best bid and ask prices on the market. NIXT tokens will be burned until we burn 50% of total NIXT token supply. NIXT Token holding benefits for Professional Clients NIXT Token Holdings Nexinter Benefits 45,000 NIXT Reserved seat on Nexinter blockchain based FOREX platform Membership to Nexinter Private Placement Offerings Free entrance to monthly Nexinter trading contest Free Nexinter Debit Card 50% discount on all trading fees (until 31/12/2019) NIXT Token Distribution NIXT Token Distribution IEO Contributors 60% Founders and team members 25% Advisors, Angel Investors and Strategic Partners 10% Rewards and airdrop 5% NIXT Fund Distribution NIXT Fund Distribution Distribution NIXT Funds 40% Features Development 20% DSO platform and licences 40% Marketing and Branding

21 21 Team Ana Bencic, President & Founder Ana Bencic is the President & Founder of NextHash Group. She is a veteran entrepreneur oriented to scale industries she is active in. Her life philosophy is to FIRST DO IT, then COMMUNICATE, TEACH and CRITICIZE (if necessary). Seeing all the ICOs promising the UNDELIVERABLE, she decided to fund NextHash on her own with her dedicated core team, as well as family, angel investors and friend s financial help. She was determined to first build her vision and only afterwards go for an IEO with Nexinter s utility token. Once the initial stages are completed her goals is to DISRUPT the IPO industry with her STO concept and her digital asset platform for STOs. Through Nexinter s IEO she wants to teach the community that NO utility token is such, if clients cannot gain immediate availability of its benefits in services or products already on the market. Each and every one of the so-called utility tokens, based on a promise for a potential benefit in the UNKNOWN future, have characteristics of SECURITIES and shouldn`t be considered as utility tokens. That is because of the high risk of not delivering the PROMISE by the companies and their teams and the need to first RAISE the CAPITAL and DELIVER that PROMISE only afterwards. NO PROMISES, but FACTS is what drives Ana! More about Ana on her LinkedIn profile: https: /

22 22 Daniele Mensi, Chief Executive Officer Daniele Mensi is the Chief Executive Officer at NextHash Group. Daniele graduated from the University of Florence, majoring in Engineering and executive programmes at INSEAD (France) and Oxford Said Business School (UK). Daniele is a Technology entrepreneur that is all-in" to high-growth blockchain ventures, that leverage upon highly scalable disruptive business models and great customer experience. With almost 20 years of experience in various roles up to CEO In Technology, Finance and Telecommunication with Hewlett-Packard, Nortel Networks, Hutchison, Orange, Iliad, Ubiquity, Daniele brings deep technology, markets understanding and end-to-end expertise of company s startup, growth and maturity across complex Tech ecosystems like blockchain, fin-tech and AI. As of 2014, he started to invest into blockchain and in 2018 he co-founded Boola.tv a blockchain real-time video platform in Singapore followed by the blockchain platform-company ESSE (https: /projectesse.org/) in London for data certification of industrial processes. Then, he co-founded the Oxford Blockchain Foundation ( and became blockchain advisor of worldwide mobile alliance of Telco, Technology, Payment providers (https: /mobileecosystemforum.com/). In 2019 he joined NextHash ( to build the marketing positioning, product offering, revenues streams to drive company s success for a global accelerated growth on brand new digital capital markets. Ervin Nadarevic, Financial Analyst Ervin Nadarevic is the Financial Analyst of NextHash. Ervin is a Bachelor of Science, graduating at the Faculty of Economics and Business, University of Ljubljana with the specialization in Money and Finance. Since than he has worked with Kempinski Luxury Group as Accounts Receivable Clerk first and gradually promoted to Credit Manager. He has then finished a Master programme in Economics and Finance with thesis on Digital Securities on Blockchain which goes in line with his profession Financial Analyst at NextHash Group. Blockchain technology and its outputs are his devotion and passion, hence he is an STO investor, a recreational miner and community member of different blockchain projects for the last three years. With financial educational background, Ervin has focused his work and research on blockchain and asset digitalization especially their current and future impact on the transformation of the financial world. His generalist personality enables him to comprehend the whole picture and convey it to his accounting, risk management, portfolio management and other financial skills. He joined NextHash at the beginning of 2019 as Financial Analyst to utilize revenues and to improve cost efficiency as well as financial and accounting reporting.

23 23 More Team Matjaz Ivanusa Chief of External Relations Lenart Kmetic Legal Specialist Leon Soric Technology Stojan Vasilev Core Developer Tatiana Withanage PR Manager Tadeja Skrt Graphic Designer Davide Cankar Head of Office Yuliia Lorenchich Business Assistant Matjaz Andric Back Office Department Matija Stulac Back Office Department Cyber Security Team with decades of experience is undisclosed for security reasons. Advisors Roger Ver Industry Advisor Ian Scarffe Community Advisor Jonathan Galea Legal Advisor Anthony Abunassar Capital Markets and Trading Advisor

24 24 Partners Bitcoin.com Securitize Burj Financial DoubleChain OasisBloc Dexko Blockchain Advisory

25 25 Risks and disclaimer This document is provided for your information only and that under no circumstance should it be considered an effort by Nexinter and/or NextHash to either promote or sell stocks or securities on its platform or on any other related or associated company s platform. NIXT tokens are not securities Participants in the IEO comprehend and fully accept the fact that NIXT tokens are not securities under any circumstance, neither are they registered with any government entity as a security. Participants comprehend and fully accept the fact that ownership of NIXT tokens does not grant them the right to expect or to receive proceeds, revenue, or other payments or returns arising from the attainment, holding, administration or disposal of the Nexinter and/or NextHash platforms. NIXT tokens are not to be considered an investment Although the company will do its best to proceed with the project as described within this whitepaper and complete it at the best of its ability, unforeseen circumstances might not allow the completion of the project in whole or partially. NIXT tokens can never be considered an official or legally binding investment of any kind and purchasing the token is done at own risk. Any and all types of funds collected during the IEO are in no way insured. Funds may lose their value in whole or completely without warning. losses, as there are no warranties that the NIXT token will increase in value or hold its value. NIXT Token holding benefits Participants expressly comprehends and fully accepts the fact that all NIXT tokens holding benefits, described in the T&C, the Whitepaper, Website or in any other public place are provided for informational purposes only and can at any point in time be subject to change, due to the change in the value of the NIXT token. Additionally, participants fully comprehend and agree that holders of NIXT tokens can be excluded from participating in upcoming DSOs, due to provisions set forth by different regulations and regulatory bodies. Risks associated with regulation IEO s/sto s and blockchain-based cryptocurrencies are mostly unregulated at present. Efforts are being made by various regulatory bodies around the world to regulate or even restrict the cryptocurrency market. Such actions can greatly affect the functionality and value of the NIXT token as well as that of other cryptocurrencies. Risks associated with new technology NIXT tokens and cryptocurrency tokens in general are a relatively new and untested technology. Due to this nature, technology-related unforeseen events may occur at any time. Participants comprehend and fully accept all types of related risks involved. Right to close the IEO No form of warrantee of proceed or revenue provided The acquisition of NIXT tokens is done at the participant s own risk and under no circumstance should the participanthold Nexinter and/or NextHash accountable for any kind of Participants comprehend and fully accept the fact that Nexinter and/or NextHash reserve the right to end the IEO at any given time after its start, if Nexinter and/or NextHash deems that enough tokens were sold.

26 26 Fund refunds Integration In case our IEO and distribution of NIXT tokens is cancelled, the funds collected by Nexinter and/or NextHash will be returned back to the wallets of their respective providers. Marketing This whitepaper does not constitute an official agreement of any kind and the information provided herein is for informational purposes only. Project parameters, dates, specifications provided as well as other details technical are subject to change without prior notice. Nexinter and/or NextHash bear no responsibility to cover any claims made by its promoting/marketing associates.

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