Crypto Valley Summit Keynote17 Sept 2014Douglas, IoM

Steve BeauregardSteve@gocoin.com +1-310-980-9677www.gocoin.com

CVS Committee Shout Out

Big “THANK YOU”

• Peter Greenhill, Dept of Economic Development

• John Spellman, Dept of Economic Development

• Eric Benz, GoCoin • Steve Brennan, Gaming Supervision

Commission• Boston Team• KPMG• Appleby, Andrew & Simon HardingAnd ……especially big thanks to …• Paul Davis, Counting House

Isle of Man and GoCoin

Why would Entrepreneur Magazine’s “Hottest Silicon Beach, CA Startup”

come to the Isle of Man?

Island Weather?

Santa Monica, CA

The TT Race?

Long Beach Grand Prix

The Benefits are Compelling Competitive Advantage

Regulated iGaming

Federal Gov’t Clarity

State by State Clarity

Bitcoin Banking

Open Gov’t Access

Talented Business People

Favorable Tax Rates

TT Race or F1

Isle of Man Government MUST remain opened, innovative and nimble to maintain this “pole position”

HERE IS SOME TEXT

VC Investment in Bitcoin ~$300M with $200M in 2014

Operator Benefits are Compelling Competitive

Advantage

Low Transaction Fees

No Per Transaction Fee

No Chargebacks

No Fraud

No International Fees

No MCC Restrictions

No PCI Compliance

No Regional Restrictions

The savings opportunities are massive 3 – 5% or perhaps more…

HERE IS SOME TEXT

Bitcoin has a Challenge!

Bitcoin owners don’t want to spend them…Why?

• “Bitcoin Millionaires” – Early Investors / Miners

• “Gamblers” - Day-traders / Speculators • “Hoarders” – Long Bitcoin / Cold Storage• Is it the deflationary nature of

Bitcoin?• How can we stimulate Bitcoin

spending?• What “Use Cases” encourage use?

HERE IS SOME TEXTLearning from Bitcoin’s Roots

Early Bitcoin business were successful

establishing a cycle use…

Silk RoadSatoshi Dice

Black Market Bitcoin Casinos

What can we learn from these “Use Cases” …

Which ones have the right “USE CASE”

HERE IS SOME TEXT

Stop Trying to Boil the Ocean

What will Bitcoin owners use coins to purchase?

Answer: Not much!

The real question…”What key characteristics will repeatedly motivate people to obtain

coins for no other purpose than to use in a transaction?”

Answers: 1. Where privacy is desired2. Other payment methods commonly

rejected3. Fees are extremely high4. Eco-systems that are cyclical (i.e. mining)

Is Real Money Gaming the Right Use Case?

“I believe the next wave of cryptocurrency demand will be fueled by RMG activity”

Why: 1. Payment friction2. Other payment methods commonly

rejected3. Fees are extremely high4. Cycle of usage

Closed Loop Cycles

HERE IS SOME TEXT

4. BTM

HERE IS SOME TEXT

HERE IS SOME TEXT

HERE IS SOME TEXT