 Hi, guys, wonderful evening. Before I get started, and I'm going to go for around 15, 20 minutes, and then we're going to have 10 or 15 minutes of Q&A, if that's OK for you. But very beginning, I would love to know who of you that's here has ever participated in an ICO slash token sale. Can you raise your hands so I get a bit of an idea? OK. Who of you is here because you are a company owner, a business owner, and you might be interested in doing a token sale or do an ICO? May I know? Oh, wow, more. OK, interesting. Who of you is here because you haven't done an ICO or token sale, like participated in, but you would be interested in doing it in the future? Raise your hands. OK, also a couple. Awesome. Cool. I would love to share a bit the story we had at our company called TenX over the past two years. We started two years ago here in Singapore in June 2015, and especially the last year where we really prepared for our ICO slash token sale. And I want to tell you five things that were really, really crucial for us in what we have done, what we paid attention to, and it doesn't really matter if you are interested in participating in a token sale or if you are a company and you want to offer tokens. Really, for those of you that haven't never heard of TenX before, what we do at TenX is basically we have a debit card that people can get. We have an app that you can download, and you can put cryptocurrencies on this card. So you can put Bitcoin, Ethereum, or Dash. Here's the 20 tokens on that card, and you can use this all around the world to go and use your cryptocurrencies anytime, anywhere, online, offline. And when we started two years ago, we didn't know anything about token sales, obviously. We did an angel round around a year ago of $100,000. And last year in summer, this feature of ICOs or token sales started popping up. And we were like, wow, this is really interesting. It's interesting to grow your user base. It's interesting for a lot of aspects. And it was really us looking into what this actually means and what's really important. And so we started studying all these ICOs and started studying all these token sales so that when we did our token sale this year, June 24th, we were really, really well-prepared to know what people really were interested in so that we, as a company, could offer that to the users. And basically what we came up with were five key points that, and I'm gonna highlight those, and yeah, I would love to take some questions at the end about all those. For us, it was if you wanted to do a good token sale or if you were interested in participating, you should pay attention to these five things. The first thing is you should have a great idea, obviously, and pay attention to your competitors. What's gonna be important is the execution because ideas are super cheap. Execution, execution trumps an idea all day long. And I think so many of us forget that, especially in token sales where an idea can sometimes raise dozens of millions of dollars and sometimes you have to question a little bit how actually that makes sense or not. And I think that's always important. It comes down to a really, really great team and I'm gonna talk about that. I'm also gonna cover the legal structure. Now, obviously, I'm not a lawyer so I'm not gonna be able to comment on too many things of those, especially with some recent events. I can only tell you what I know. And yeah, talk about great marketing and good communication because if you have the best token sale in the world but no one else knows about it, it's pretty much worthless. So let's talk about those things. Let's start with a really good idea. I'm gonna share some personal examples. I used to be a medical doctor. I worked as a surgeon and for me, a patient of mine in 2011 told me about Bitcoin and he said, this was the best investment to be in. And as a medical doctor, you're pretty hands-on. You look at things from a practical kind of point of view and I was like, oh, wow, this sounds a really interesting concept but what can I use these Bitcoins for? And it took four years until for me personally I found a solution, namely make these Bitcoins spendable, spendable anywhere, anytime. And that was an idea that for me was really exciting. It wowed me and when we started in 2015 there were not so many other companies doing that. So if you're in this situation you should ask yourself a couple of questions. What are the competitors in this market? Is this idea actually relevant or is this an idea that makes absolutely no sense? Does this truly excite you? Does this idea get you up in the morning? Because here's the thing, if it doesn't excite you, it's gonna be really, really hard to put that excitement over to people that should participate in your token sale. And if you are interested in participating in a token sale ask yourself if this is truly an idea that excites you. Yeah, you might be successful in the short run because market has hypes but over the long term I think if you don't have a good idea I mean people just gonna drop off because it was just not a good idea. Now obviously you're gonna have competitors. To me I'm not scared of competitors and neither should you because I think a competitor is only a validation of your idea. So you should just be really careful and saying okay are you just copying someone or do you have some unique selling point? And I think that's always really important. So ask yourself this about your own idea that you're doing and ask yourself this about ideas you might be interested to participate in your token sale. Ideas are worthless. Execution beats an idea all day long. I think so few companies today actually have execution when they do a token sale and execution can just mean that you have a little bit, that you have some small track of success. This is for example one of our very early wire frames that we were using for our app to get through the app. When we did our token sale we had a working app. We had a working product. We had users that could have a testimonial that this was working. And I think that can be really, really relevant. It can be relevant to show that actually yes, I have a proof of concept. What I'm talking is working. Here's one big caveat that I've seen though in the past year when I did a lot of research on companies. I have seen companies, real world companies who have per se nothing to do with cryptocurrencies and they try to do a token sale. And you might think, hmm, they have a good idea because otherwise their business wouldn't work. And obviously they have customers because they have an existing business. So why did their token sale not work? I've seen it so many times. I've seen really great companies outside of blockchain that failed. Their token sale didn't pop. It didn't catch on. And I think this has a lot to do with the execution and combination of are you using a token sale only to raise money or are you actually interested in bringing value to the ecosystem? And I think on your execution this can be really important that you reflect on that a bit. Because if you're just there and say, you know what actually I would love to raise money from VCs right now but if I do a token sale I can raise more, the market is gonna feel that. If you don't give value back probably you're not gonna get that. So for those of you and I've, I always talk to a lot of you that come to me and say, hey you know I have this traditional business and give you an example. I have a company from Spain, very good friend of mine. And he does, he has, I'm not gonna talk about the business model but he has a very traditional great business. I think great business. And he wants to raise money. And if he would do this through traditional VCs he could never raise this kind of money that he was interested in raising. So he called me and he said, hey Julian, we talked so many times can you give me some tips on the token sale you did? And I said, look my most important tip for you is explain people how you're gonna give value back into the crypto ecosystem. Because otherwise you're gonna have a great idea or great business and no money in your token sale because people are gonna feel you're just gonna take him the money and you're gonna go away. And I think that can be really relevant for those of you that think, wow I have such a great idea and I have such great business already. So just make sure you really focus on that. The third thing, and I'm gonna talk a little bit longer on that because I think it's totally underestimated how important a wonderful team is. And I'm really gonna pointing out some people because I really wanna tell you what all these people did. So you kinda understand that it takes an entire team to build a village. It's not one person, it's not one superstar, it's actually really a team and everyone has to play their role. And for those of you that are interested in doing a successful token sale I can really, really encourage you to pay a lot of attention to this. Make sure you have these roles covered in whatever you wanna do. So let's start here with the founders here at the bottom. Okay my thing doesn't work I think. That's Toby, co-founder is the CEO. He clicked, he set up the entire smart contract. His background is security. That's really important because that means everything he does is from a security focus. If you are a business owner and you're really traditional business and you don't have a person like him on board or also like Yuzan who's also a blockchain developer or Michael or Martijn or Touhina, all blockchain developers. It's gonna be really, really hard to convince the market space that you actually know what you're doing in a blockchain space. So we were 12 people as you can see and five of them were really, really, really strong core developers and I think that's a really key thing. We have Paul, co-founder who did also the design. That was really important. He made sure that everything looked professional, looked really smooth and I think that's a real key thing. Then we had Warren. Warren did more of the operational in terms CEO. That was really important. He didn't effectively help during the token sale for the token sale but he made sure the entire business was still running while 11 of us were really focused on that and if you have a product, that's really important because suddenly everything drops over to a token sale and suddenly the business totally drops off and you have customers complaining during a time when you want that the least. I think that's a really key thing. Great, let's talk about Lei. Lei helped for the entire Chinese market. That's something I can totally recommend. For our token sale, we had really great advisors. We had really, really great partners. We also worked with three partners from China. I can really recommend it to you especially if you don't speak Mandarin. None of us spoke Mandarin. Lei was the contact point there and she connected us to all these Chinese partners. We also had partners in Europe but I think for the European partners, we could communicate with the Chinese. It was really important to have her on. Then we had Ernest. Ernest is also here. Ernest, raise your hand. Yeah, Ernest has been doing the entire content creation. That was a decision that we made that I think was really good. We made all our token sale about trust and authenticity. And so we had Ernest who was filming literally anything, taking pictures and we were showing this to the world so they didn't only see what the great product was but who were the people behind it. I think that's really important because especially in an ecosystem, it can be so anonymous. I think that's really important to kind of understand that. Then we had Bettina. Bettina did the entire customer support. She built an entire Slack team, customer support and everything. She's right now at the very, very back. I think it's really important that you don't underestimate how important that is. At the end we had, I think we were four of us full time on Slack and on customer support and forums and social media, four of us full time to handle all the requests, the Q and A's and everything. And I think that's where some of the biggest mistakes go where people don't focus on that enough. And I think that's something that can be really, really important. Myself, who has been really focused on communication, on the public relations, on doing a lot of the videos and helping that just the word gets out. And I think that's a key thing. Be sure that you don't have a lot of tech talent on but then the message doesn't get out. Really, really key. And one last thing, and I'm gonna talk about that at the end also, is Chris, Chris, say hi. So we had Chris on for those three months as help especially from the legal and the financial side that's his background. We're gonna talk about the legal and the financial side and I can really give you a tip. Talk to him afterwards if you are wondering about some legal questions about financial questions because that's his expertise and that's what he really does for companies and he also helped us there in a really, really great time. A last thing on the team is if you are interested in participating in a company make sure that you check out who are the people behind. Do research, understand what these people are and if you are missing some of these people I wouldn't wanna miss one person of those 12. I wouldn't want to find people that gonna compensate you for that. I think that's really important. For those of you interested in doing agencies and outsourcing that, I would really try to stay away from outsourcing everything. You can outsource small parts but you know an agency is never gonna hustle as hard as we did here for two months and I'm little, for two months towards the token sale it was seven days a week, probably 18 hours a day and if you watch our videos and you do everything you can see that this is actually the truth and I don't think any agency is gonna do it and I wouldn't have loved to miss one hour. I think we would have needed all. So the team is gonna make or break it and so when you are really building your team ask yourself some questions. Is there a business person part of that team? Is there a tech person part of the team? What's the security part? What's the finance? What's the legal? All questions that truly gonna make or break a successful token sale. For those of you and you don't have to raise your hand that are more interested in flipping in the token sales flipping means you buy the token sale, you try to get a bonus or a discount and you sell straight away after the token sales you just wanna make a quick buck. The team is gonna be your biggest risk factor. If they screw up, your flip is not gonna work. That's a really, really key thing. Short term and long term. Idea and execution short term can be compensated. A team is totally gonna screw it up. Let's talk one part that I am not gonna go to detailed into it simply because I'm not a lawyer and it can be a very challenging topic, especially when you look at what the SEC has decided. So the SEC has decided around five days ago, I think that the Dow ICO last year with Ethereum is pretty much security. So the way it was kinda handled is actually it should have been registered with the SEC. And so here's a really big caveat that I can just tell you. I wouldn't risk, and we didn't either and I'm gonna tell you what we did, I wouldn't risk doing a token sale or an ICO and not getting legal advice or not being fully structured because I mean, you might be successful in the short term, this thing is gonna come back and slap you so hard and the legal cost following could be immense. So one thing that we did was first of all we hired one of the most renowned legal firms here in Singapore to help us for the security law perspective. So when the SEC came out, we were pretty relaxed because we had everything checked. We spoke to our lawyers straight away. They were like, we're gonna be on it, don't worry, everything is totally cool. We are in communication also for example with MAS, they contacted us also, same thing there. And that's also for example, where Chris for example comes in and really helped us. So I just wanna give you some ideas where things have been like really on. And I think that's something that can be really key. So ask yourself this, do you wanna offer your tokens to everyone or do you just wanna offer them to specific countries? If yes, why? And you need to have great answers for that. Do you wanna exclude certain areas? Really, really key. How is your token structured? What do you call your token? You will always see that we always call our token a token sale. It's not an ICO, so it's not an offering and there's very specific reasons to that. And so sometimes also with our token sale it's not everything that meets the eye that is straight away grabbable. There's a lot, a lot of details that are actually working in the background. And I think that can be really key. That's what's gonna, yeah, not make or break the token sale for you, that's what's gonna make or break the long-term success. And the last point is communication and social media. It's not only to grow the team and build a great tech, but it's really about going and well, being in touch with these users. These are our actual numbers that we had after the token sale. And we pretty much started from zero. You know, we didn't have a big following. We built all this over like two months. And so I don't know if you have ever dealt with social media, but if you start at zero and you have one person doing this and suddenly you have 7,000 followers on Twitter and you have 4,000 members in Slack and you have this many subscribers on YouTube and this many likes on Facebook, whatever you do is gonna have a huge Lashback from the community because you post one video, you're gonna get 75 comments within an hour. And trust me, if you don't reply to 75 comments, they're gonna complain. And if you don't answer to the complaints, you're gonna have more and more and more, the same with forums and the same with on Reddit and so on. So you wanna have experts and people who are actually dealing with this because that's what's gonna bring really, really great community together. And that's what's gonna at the end really help you to have natural ambassadors because why is a token sale so fantastic? A token sale, if done right, is so fantastic because you're not only gonna have users afterwards, you have literally fans who are financially interested in the success of your company. So if I look at today, today we have a couple of thousand users, but we have over 10,000 people that are holding our tokens, they are really financially interested for us to succeed. Otherwise they wouldn't be holding our tokens. And if you're doing a great job there, that's what's gonna really make this super successful. Personally, and that's with what I would love to finish before I go into Q and A is, I think at the moment it's a really fantastic time to be in crypto and to be in token sales, if done right. Because from a financial perspective, people really look into that and they really want that. I think more and more countries are actually gonna go and regulate token sales, but that's a good thing because then you know what's white and what's black. So don't be scared if a country goes and says we're gonna regulate token sales. Understand the regulations and understand what's the white side. And understand that people are actually looking for these things because for the very first time people have access to startups, to young companies. And I think it's something that should totally be in and you should educate yourself. And that's why I wanna also congratulate you here because you're doing this here. So thanks so much. I will be open for questions. Thank you. So the question was, for those of you that couldn't hear it, how important was it to make the appearance of a big office, of a proper office to make this look proper? Actually we had some up and some downsides with this. I'm gonna tell you a funny story, but we didn't really wanna stage or set anything. Actually we had a home office because we really wanted to save money and we really wanted, we're still in this office actually. We really wanted to make the most out of it, our time and the space and everything. So we just rented a larger house than we would normally need and we are sleeping on the top two floors and we're working on the bottom floor. It's just really, really efficient, time-wise, money-wise, for us it's a really great deal and it brings everyone together. So yeah, we always had people come in who helped us, part-timers, but for us it was really more about, yeah, how can we be super efficient? I mean, one of the downsides is that on our website it still says the office address of where we really were originally when we were like four people. And it's like in Temasek, in Santec, tower two. And on the day of the token sale, people wanted to check out if we actually exist. So they went onto the website and they're like, okay, so where's this office? So they go to Santec and it's like 38th floor. This is like, we were there and this is just registered there to get our mail and everything because we didn't want to register our house because we're getting a proper office now. So they go there and they're like, no one is there. These guys don't exist. Where are you making your videos from? And they posted this on Reddit and Slack and we're like, no, no guys, don't worry. We do exist. We just didn't want to post our home address because yeah, that's just how it is right now. That was really funny. Great question, thanks. Any other questions? Yeah, please, in the back. Great question. What would we have done different? What didn't work? Anything we would do better or change? Two things. First, we really started working very late in working with exchanges or partnerships. For us it was, okay, let's get the token sale over and then do the exchanges. We should have started with that, in my opinion, way earlier. So I would recommend really think already after the token sale, assume the token sale is gonna be super successful and start earlier. That's one thing on the partnership side. Now, we did have great work done on that for the short amount of time, but if we had more time, I think it would have been even better. The thing that I really would have done different, and that's to me is a major thing, is the 2080 principle. So we wanted to be really cool and offer all the currencies so you could do like Ethereum, Bitcoin, ERC 20 and so on. And we raised 80% of our funds from 20% of the currency, namely Ethereum. So Ethereum made 80% of the funds. But if you look at the structure, all the other currencies are actually quite complicated for smart contracts. Bitcoin, Litecoin, Dash, all not as easy. So the problem was 80% of the problems came from 20% of the funds we used. So we could have just cut out 80% of the funds, namely Bitcoin, Litecoin, Dash, all the others, non-Ethereum funds. We would have easily covered it with Ethereum, but we would have cut down our problems. So I would have just focused on the 2080 rule, focused on that one thing that's gonna give you the majority of results. That's what I would have totally done different. Really great question, thank you. That was a question, Dan. Definitely there is. You might be able to talk to Chris afterwards. I am not a lawyer. I couldn't tell you the legal reason for that. We had a law firm that we paid a lot of money for that and obviously Chris also had to do a lot of work on that and I'm not an expert. So there's definitely a reason for that. If you ask me for the specifics, I wouldn't be able to give an answer that's qualified. Yeah. So the question is, how do you give a token value? What's not a good value? What's a good value? Now obviously, great question. The best value you can give to a token is, if that token is needed for something. So if that token has a very specific use, if you can use this token for something that makes it work in the feature you're offering, it can be a big limitation because that also means that people always need your token to actually use your service. But if you manage to combine those, it can be really, really efficient. There's some companies who have done a really heck of a job. I think another way to give value is, economy has been using this model now for quite some time, is either to do a profit share or to do certain buybacks. There's also a model that we are 10x are looking into and are using. That would be how you give value to the token. So you somehow have to connect the economical success of a company to that token. That's the major value. Obviously, there's also other ways. If you do gold or reeds, you can actually underlie certain things, physical value with the token. If you can manage to do this in a legal way. Some countries, I think, are pushing a bit better to connect the actual value to the token. The legal value, that really helps, yeah. Great, thanks. Great, great question. So the question was, have you looked into tying the tokens into actual value of equity, for example, instead of doing a profit share or something in that regard? Yes, we have. Very, very early, I think it was, when we started thinking and structuring the token sale around four or five months ago, we were really talking this through. We were talking with our advisors. We were talking with a legal firm, and pretty much all of them discouraged us from doing it because they said the market wasn't ready yet, and the legal structure wasn't ready yet for it. I would be really excited to see a company actually do it. As a token holder, it's probably a huge risk right now to do it because you have no legalities as far as I know. The US in some states are actually looking into it. I don't know, maybe other countries are offering it as well, but it'd be really exciting to see tokens being connected to actual equity. We were looking into it, but it was not something we dared to do because we felt there was still a bit of a spread in offering that. Good question, yeah. The question is, what is my personal definition of volatility? Volatility, and I'm not a financial person, or... Yeah, I can't. I am not the mathematician to do that. As far as I understand, volatility is the deviation from the norm or the deviation from the median. That's the best I have. A volatility to me is a value of something fluctuating up and down really, really fast. That's how I see it personally, but I'm pretty sure there are people in the audience who have way more clue on how to define volatility in mathematical or financial terms. I'm a medical doctor. If you ask me about diseases, I'm good. Great. Excellent question. So obviously we excluded US and Singapore. Marketing, communication, that's what I did. So what we did was we excluded it with IP tracking, with IP blockers, with making sure when people went on our website, the first thing they had to agree on is that they are not from the US and not from Singapore. Plus, we checked their IPs, plus we checked their geolocation. So, I mean, just based on what we have seen and heard, it was really, really, really, to me it was impossible to actually get in. Did someone get in? I don't know, we tried our best and we really pushed it hard to make sure that this is not gonna happen. So the question was whether we did any KYC and to what degree for the token buyers? We didn't do any KYC. Reason being we checked with our legal firm because we basically sold our tokens and we received crypto and for that we didn't have to do KYC. That was my understanding, that was the regulations. If there's any lawyers in the room, don't pin me down on that. We just followed procedures that we were given, yeah. So the question was what kind of demographics that we have of the tokens? Who were the buyers? Did we have any veils who had, who did large purchases? So the way we structured our token sale was that of the 80 million dollars that we received equivalent in crypto, 50% of that we sold in a so-called pre-sale. So it was all exclusive for people who were willing to purchase larger amounts. They had no special benefits compared to the regular buyers but they had a guaranteed seat. Our token sale was over in seven minutes so it was really rapid. So for 90% of people they didn't get tokens. And during the pre-sale we had larger purchases and there we really got to know the people a lot better. So since we excluded people from the US and Singapore I spoke with a lot of people from Europe, a lot of Swiss people. We had a lot of people from Australia. We had some people from Canada, some people from South America. We were working with three partners from China and they purchased in total around 40% of the tokens. Now it looks really large, three buyers who have 40% but there's thousands of people in the background that all basically went to them because we didn't offer anything in Chinese. So it's basically all of China going through kind of sectors with thousands of people. So if you look at the addresses afterwards, you saw, whoa, there were three people who had like 40% of the token and then like, I don't know, three days later after it started dispersing, it started dispersing to thousands of people because they had all these deep pooled money. So it's really difficult for us to know exactly because some people are really, really secretive and anonymous who they are. And it was funny, there was someone who said, yeah, just call me Mr. Shadow. So he just always wanted to do, like we were emailing and yeah, it's very difficult to know sometimes where people are from or what they're doing. Correct, yeah, correct. Would I classify all the people during the presale as whales? Definitely no. The minimum during the presale was 125 ether, which is back then was around 30,000 US dollars. I personally wouldn't classify someone with $30,000 as a whale. Now that's my personal definition. Someone else might have a different definition. Yeah, I couldn't tell you a number of when I would classify someone a whale, but we had a couple of people who did 1,250 ether. So that's, yeah, a lot more. And yeah, these would be kind of people that I would classify as a whale. Yeah, great question. So the question was, how do we look at the exchange rate when people actually use the cart and go and spend? So, and the lady said that our exchange rate is not optimal. And we adjusted that around six days ago. So if you tried it before, between the, when the tokens started floating and afterwards, you might be right. There was some sub-optimal and I can explain that. But in the last six days, it should be perfect. And we have people on the forums and everywhere who can testify that. So try it again. So the way we do it is we have an API access to three different exchanges and we just test those and get the best exchange rate. The reason why for some time we had a slightly off exchange rate was because we had so much volume and our trading engine wasn't set up for that. So it was constantly giving a little bit of a worse exchange rate. But in the last six days, this got fixed and it should be spot on. So you shouldn't see any difference to, let's say, polo or something. Yeah, great question. So the question is a long-term question is what happens if all the stores or merchants start accepting crypto directly, then how would you, how would pay still be rectified because obviously you don't need the cart for this anymore? Great question. And we have been thinking of this a lot. If you read our white paper, you will see that actually our long-term vision is to use a system called Comet and we've had talks about that. And one thing we still believe, and that's obviously the belief we have, that it will never be everyone agreeing on the same cryptocurrency. Now that's a discussion that we could have for days. If everyone would agree on the same cryptocurrency, we don't believe it. So what we believe is there always needs to be a certain exchange. And so we believe, yes, there might be the time that you don't need debit cards anymore or cards, but you will at somehow always need somewhat of a highway to actually pay from you and paying the store. And so maybe we don't provide the cart anymore, but we provide the highway. And so our pay token holders will still make money on that highway. Maybe not the same commission that they make on the cart, but always still something. So there is a long-term vision to that. But really great question. Awesome. Yeah, thanks so much for all your really wonderful questions and have a nice evening. Thank you so much. Thank you, Dr. Julian. So next up we have Jaycee.