 Rich Picks Daily is an online community for traders to exchange smart, straightforward, and profitable investment ideas. And join us today at richpicksdaily.com. Subscribe to us on YouTube to learn useful stock trading secrets and discover the next 10-bagger. Hi, how are you doing today? I'm your host Rich here on behalf of Rich TV Live with our very special guest, the CEO of POTA Lifestyle and Wellness Limited, Ryan Selby. How are you doing today, Ryan? I'm doing very well, thanks. Thanks for having me. Glad to be here and look forward to chatting with you. Hey, my pleasure. Excited to learn more about your company and why don't we get started and start with POTA Lifestyle is actively engaged in the global commercialization of heat not burn HNB smoking products, which have the potential to reduce the risks associated with combustible smoking products. What else should investors know about your company? Yeah, thanks for that. So essentially, yeah, we have developed a proprietary heat not burn system, which I believe is the best heat not burn system ever created. Now, many people in North America have never heard of the term heat not burn or really don't know what it means. Essentially, many or all of the harmful toxicants found in traditional cigarette smoke are produced as a direct result of the combustion of the plant material, such as tobacco. It's actually the burning of it, which creates many of the harmful toxicants. So by eliminating the combustion and instead heating the tobacco to precise temperatures, you can release the nicotine and other flavors from the tobacco without actually burning it. By eliminating the combustion, you can potentially create a dramatically safer cigarette with the potential for a much reduced risk product. And I think that's really the exciting thing about the heat not burn space. POTA did not launch or pioneer the heat not burn space. That was started in 2016 by a company called Philip Morris. Little company, Philip Morris, they've launched a product called iCos, which I have here into the Japanese market originally. It's now being sold all over the world. It's actually recently just been approved by the FDA for sale in the United States. And so I think over the coming months and years here, we're really gonna see this start to take off in North America. But in Japan, they have experienced really phenomenal success. I mean, it's kind of unbelievable the growth trajectory that they've been on. In the last five years, they've gone from zero sales to almost 25% of the Japanese cigarette market has converted to using heat not burn products. And to put that in context, I mean, that means that Philip Morris is selling over 85 billion of their heat not burn sticks per year now. And they project that number to continue to grow by 10 to 20% year over year as they move into new markets and capture new market share. I would really encourage your investors to take a closer look at Philip Morris and see how strongly they have gone all in to heat not burn. They project within the next five years, 50% of their net revenues will come from heated tobacco products. And within the next 10 years, they wanna entirely eliminate their traditional cigarette offerings in favor of heated tobacco and alternative tobacco products. So to see a company of that magnitude and that size jumping in head first into this market, I think really should show investors just the massive global potential of heat not burn. And I think the important thing about heat not burn is it offers the closest possible analog to traditional smoking. And what I mean by that is if you were to give existing traditional cigarette smoker an e-cigarette, for example, they would say, you know, this is okay, but this isn't smoking. You know, maybe I'm getting my nicotine but it's not the same experience. And that's really borne out in the numbers of adoption of e-cigarette users. Only 30% of global e-cigarette users are people who switched from smoking cigarettes to using e-cigarettes. The other 70% of electronic cigarette users are people who had either never smoked or had previously quit smoking before they started using electronic cigarettes. And I think what that means is an electronic cigarette is not an effective tool which would allow a smoker to switch from smoking traditional cigarettes to using an electronic cigarette in one day, whereas heat not burned products allow somebody to continue their smoking habit without having to sacrifice the experience that they're accustomed to. And that's really my goal is to create a superior heat not burned product which provides a better alternative than traditional smoking while potentially dramatically reducing the risks associated with smoking. Of course, my belief is that every smoker would be better not smoking. I think the best choice is not smoking period but short of quitting smoking. The next best choice is to use a reduced risk method for consuming your nicotine. And that's where I think heat not burn offers an extremely attractive vehicle for traditional adult smokers to switch to a reduced risk system. And so basically what makes POTUS so unique is that we set out to develop the best heat not burn product. We didn't set out with having traditional tobacco equipment in mind, so we weren't constrained by the same normal constraints that a big tobacco company would be. And out of that, we developed what we call our closed-ended cigarette. Now we filed for a patent for this product in 2017 and we filed an incredibly broad patent on a closed-ended cigarette and to our surprise, we were granted the patent. We've since filed the patent in now in 65 additional countries around the world. And those patents are progressing through the patent process. Our patent has been fully granted in Canada and we anticipate additional grantings over the coming months and years with all patents expected to be granted by 2023. And what that means with a closed-ended cigarette is that we are the only company in the world who can offer a truly zero cleaning heat not burn experience. And why that's important is when you take the cigarette and you insert it into the heating device, the device heats up to a precise temperature that releases the nicotine. Then when you inhale the vapor created, you get the flavor in the nicotine. With all other traditional heat not burn offerings, like the icos, for example, what happens is residue from the tobacco stick with an open end starts to build up inside the device and that residue creates a really foul smell in the device. It dramatically impacts the flavor of the cigarette as well as reduces the heating performance as residue starts to build up in the heating chamber which prevents thermal transfer of energy into the tobacco. So that actually the experience decreases very rapidly without regular cleaning. Philip Morris themselves says you should be cleaning your device after every 20 cigarettes. And if you think about for a smoker who's smoking between 10 and 30 cigarettes a day, I mean, that can be an incredibly onerous cleaning regime. I mean, that's every day cleaning your device. It takes minutes to clean it and you can never get it fully clean. And so with the POTA system, we've just entirely eliminated that from the equation. When the stick is removed from the device, all of the mass, all of the residue, everything is contained within our biodegradable sticks which can then be disposed of. The next stick that's loaded in is an entirely fresh experience. And this is something that's very analogous to smoking. With a traditional cigarette pack, you pull the cigarette out, you light it, you use it, and then you dispose of it in an ashtray. The next one you use is a fresh cigarette. POTA delivers that same level of satisfaction without having any of the onerous cleaning requirements. So I really believe we have a huge opportunity to capture major market share in the heat not burn market. Additionally, we have the only capsule on the market which is completely biodegradable. So I've actually got a glass of water here. I'll put this capsule in the glass of water. And then by the end of our meeting, you'll see this thing will have mostly disappeared. It's really a remarkable material. We spent years developing it. We patented the material. We filed that patent on a global level as well and we anticipate receiving granted patents on that as well. We also have patented the method for manufacturing our capsules. And so I think we've really taken our patenting seriously on this product. We spent the last six years developing POTA and we're just now bringing it to the market. We've just recently listed our shares on the CSE. We're also trading on the Frankfurt Stock Exchange. And in the coming weeks, we anticipate our listing on the OTCQB. So exciting times for POTA early days for us. And we see a really bright future in the global cigarette market. That's great. That's a great introduction. And thank you for all of the, all the different things you've showed us here about your product that makes you different. Now, in trying to understand what makes you different, what are some of the main factors that separate your heat not burn products from more standard vapor products on the market? Yeah, so that's a great question. So one important thing I already touched on is that our product offers a truly zero cleaning system. What that also enables is us to have a variety of substances and flavors in different pods with no cross-contamination between pods. So a customer can use a regular tobacco flavor, a menthol flavor, any number of different flavorings. Each pod has its own flavor. Any of the existing devices, there's always a contamination of flavor from previous ones. And that's something that our system eliminates entirely. Additionally, and very excitingly, we have developed what we call our beyond burn blend, which basically is an entirely non-tobacco product that delivers synthetic nicotine and mimics tobacco perfectly while having no actual tobacco ingredients. And what that allows us to do is bypass many of the existing tobacco duties and taxes that are levied on tobacco products. So we can sell our products without being subject to the same duties and taxes that competing heat and up burn companies selling tobacco products would be subject to. So I really think combined with our incredible platform for delivering the product with our incredible beyond burn blend, I think we've got a real winner in the tobacco space and a product that can offer adult smokers a very appealing way to convert from smoking traditional cigarettes to a potentially dramatically reduced risk experience. Ryan, what are some of the main advantages of the completely closed end design of pota pots? Yeah, again, I touched on this previously yet, but I don't think we can touch on it enough because it is really, it's the golden ticket. It's a patent that I think is gonna be an extremely valuable patent in the global tobacco space as we move forward. But the major things are there's no cleaning required when a stick is removed from it. There's no ash, there's no mess. You can put this anywhere, it's not gonna create a mess in your car. The capsules are completely biodegradable, which means the environmental impact from the actual stick is dramatically reduced compared to an existing cigarette. And then additionally, because of the closed ended capsule, it gives us a huge variety of available substances that we can include inside the capsules. So as we continue to expand, we will be introducing additional blends in addition to our beyond burn blend. We anticipate bringing out perhaps traditional tobacco blends as well as some other potential offerings. CBD is a great substance that can be used in our device as well as a number of other substances which can all be used in the same cigarette footprint and used with the same heating device. So essentially if a customer buys one device, any number of pod offerings are possible to be used through the same device. And because of the closed end, there's no contamination between substances. So throughout a day, you could consume a whole host of different substances throughout it with no cross-contamination between them. So I think that's a very exciting differentiator of our product compared to any other offering available today or in the future. What are the benefits of using synthetic nicotine in your products instead of traditional tobacco? Yeah, so many people are not aware that nicotine is actually found in a number of plants. Tomatoes, for example, contain a small amount of nicotine and a number of other plants contain nicotine. So all of the existing legislation surrounding tobacco products, pretty much on a global level, focuses on tobacco products and tobacco-derived products. So nicotine traditionally is for electronic cigarettes and things is derived from a tobacco product, meaning that it's a tobacco-derivative product and subject to tobacco duties and taxes. By using a synthetic nicotine, we essentially are creating a nicotine from a non-tobacco source. The nicotine uptake to your body is basically the same as a traditional nicotine. However, our source of the nicotine is from a non-tobacco source, which allows us to have a completely tobacco-free product. And I think that's a really exciting thing because it allows us to sell a superior product at a superior price point. And I think that's always a winning combination in the market. Absolutely. What are some other features of POTA products that cannot be found elsewhere in the smoking industry? Yeah, so additionally, we have created a very simple to use one button device. On the bottom, there are also three different temperature settings. Those three temperature settings allow a user to customize their experience. Basically, it creates either a light, a regular or a strong cigarette experience. And I think for some customers, it's nice to be able to vary that throughout the day as they may wanna have a lighter cigarette or a heavier cigarette depending on the time of day. It also allows us to have a wide variety of different substances consumed through the device and having the temperature adjusted for to maximize the benefit from each substance. How can you tell us, and what can you tell us about the extensive, and you talked about this a little bit, six-year R&D process that the company undertook to get to this point. And how did your products evolve over the six-year period? Yeah, so like I said, we set out to develop the best heat-not-burn product ever. And what that meant is we came up with a number of different potential ideas for how to do that. And we spent literally six years working incredible long hours. My co-founder, Ryan Carcaron and myself have spent well over 50,000 hours developing these products. We have gone through literally hundreds of iterations of designs and development. We had some important focuses. We wanted to make sure it was zero cleaning. We wanted to make sure the performance was second to none. We wanted to make sure that the capsule was biodegradable, so we weren't creating more waste in the environment. When there's 10 trillion cigarettes a year smoked, we anticipate being able to capture a percentage of that global market. And so it was really important to create a product that wasn't going to create more trash in the landfill. But through that process, we were really able to focus all of our efforts on refining and perfecting the design of our product, as well as the methods for manufacturing our products and filling and distributing our products. So we have developed proprietary systems for manufacturing the pods and capsules themselves, for filling the pods and capsules and for packaging them. So we have a whole host of ready-to-rollout products. We've built a pilot manufacturing facility in China where we're currently producing 400,000 of our sticks per month. We anticipate scaling that up very rapidly. Essentially, everything has been proven out in a small-scale 400,000 per month capacity and we're now ready to scale to virtually limitless production. What lessons has Poda taken from its leadership experience in the smoking products and product development spaces? Yeah, so I have been involved in the smoking world for almost 15 years. I've invented a number of different products over the years. That's actually where the idea for Poda came from was that I had been exposed to many of the early vaporizers and electronic cigarette devices. And as an early adopter and an inventor, I was really fascinated by the technology. I tried all different ones. And out of that, I realized they all shared the same flaws in that the device became contaminated and once it became contaminated, the performance decreased. And once the performance decreased, the device went in a drawer never to be used again. And I realized there's gotta be a better way to do this because heating tobacco delivers a fantastic user experience, but the pain points associated with it are such that many people do not continue through with the habit. And so we set out to really create, I think the best product in this space and from that, Poda was born. Now, the management team we've assembled has a lot of experience working in the tobacco space as well as in large companies. So we have a fantastic CFO who really helps to guide us and make sure that we dot all our I's and cross all our T's. We are extremely focused on delivering maximum shareholder value to our valued investors and shareholders. As we continue to move forward, I encourage our investors and shareholders to pay attention to our news releases. And as we hit milestones and other things happen, we will be updating our investors a long way. We've got some currently, we have one existing strategic board member who runs a facility in China, Mr. Daniel Chen is an extremely successful inventor, manufacturer, developer of products in the electronic cigarette space. He has licensed or produced products for all of the major tobacco companies in the world. He has phenomenal experience on producing products and really has helped us to navigate the early stages of our development. As we continue to move forward, we will be bringing on additional strategic advisors as well as additional members of the executive team to help us grow the company on a truly global level. Can you tell us a little bit about the ecological advantages of your product over traditional cigarette butts? Yeah, well, so traditional cigarette butts while being partially biodegradable mainly contain a cellulose acetate filter and a tipping paper which is made with a coating which is traditionally a silicone or other non biodegradable materials. So when cigarette butts are disposed of they take a long time to biodegrade. With the POTUS system we have a closed-ended pod that has the ability to be used without a filter at all. If there's no filter included in our pod we can have a completely biodegradable system where the pod essentially completely disappears. And as you can see even from this already you can see this pod is already starting to break down and as it sits in this water by tomorrow it's basically gone. In soil it takes about three weeks for it to just disappear entirely. Now we do have some of our offerings that will come with a traditional cellulose acetate filter. We are in the process of developing an entirely biodegradable filter and that will allow us to have a truly fully biodegradable filtered cigarette product. Until that happens the majority of our product is biodegradable the traditional cellulose acetate filter still remains non biodegradable but that is an optional inclusion in our product. We have varieties with or without the filter. So for customers who are concerned about biodegradability we will be providing opportunities for them to purchase a completely biodegradable product. Now comparing this to the offering from ICOS which is the other really the only major heat not burn player in the world there are a handful of other companies trying to do it but nobody has delivered anything on the level of ICOS or POTA. We think our product based on our focus groups and testing offers a superior experience to the ICOS system which is really one of the reasons why we're so excited to be launching our product is that we feel ICOS customers are really gonna resonate with the benefits that our product offers and the experience that they've already come to be accustomed to with the ICOS use while eliminating the cleaning requirements of ICOS. But so if we look at the ICOS there's a number of sections to this product one is a traditional cellulose acetate filter another is this plastic section which I'll try to tear apart for you just to see the non biodegradability of this product. So essentially inside each ICOS stick is a piece of plastic that's a folded up piece of plastic here every stick you dispose of has this giant piece of plastic in it then there's another cellulose acetates filter section and then they have their highly engineered tobacco which is inside of the, this is tobacco which is basically reconstituted into these strip-like form and then there's a foil lined piece of paper. So in each ICOS stick you've got a whole handful of mess created and trash and waste in the system that's going out with every stick you consume whereas in a POTA stick we've got literally a rapidly melting away product which disappears back into the environment. And I think this is something that as we continue to move forward and consumers become aware of the difference between a traditional heat and upper and product and POTA is offering I think it's gonna allow us to continue to increase our market share at a very rapid rate. Yeah, this looks like a game changer I like what you guys are doing we've got investors all over the world that are gonna see this interview that are going to learn about POTA today. What's the best way for them to get in contact with you? Yeah, so I would recommend visiting our website at potalifestyle.com there you can find our corporate presentation our press releases, you can sign up for our mailing list where you can stay in touch with us. Also you can feel free to reach out we love to chat with all of our investors. We're very excited about what we're doing and the potential for POTA. And so we welcome any contact from anyone who wants to discuss about potentially getting involved or investing in what we're doing we're just extremely excited to do that. So potalifestyle.com is the way to get in contact on the CSE our ticker is POTA, P-O-D-A on the Frankfurt Stock Exchange, our ticker is 99L and we anticipate listing on the OTCQB in the next few weeks as we've already completed all of our applications now we're just waiting for the final approval. So as that becomes available we will be obviously updating shareholders accordingly. Fantastic. Well, thank you so much for your time today. Ryan Selby, the CEO of POTA, Lifestyle and Wellness. Remember guys, if you liked this video please smash the like button, comment down below share the video everywhere and subscribe. Remember Rich TV Live is strictly for information and education purposes always do your due diligence, always do your research before you invest in anything that we talk about or discuss here in Rich TV Live. If you're not winning, you're not watching we bring you the winners and we bring them to you first. Thank you guys for watching. Ryan, thank you for being here on the show today and love to have you back again soon. Ah, look forward to it. Thanks for having me. Keep up all the great work really, really impressed with your product. I believe guys in my just this video here that this is very early stage company in a very hot sector that I would consider undervalued, under-appreciated, under-exposed put it on your radar, put on your watch list POTA, Lifestyle and Wellness we'll talk to you soon. Have a nice day everybody.