Investorpresentation

“Your gateway to the crypto economy”

December 2017

[ 2 ]

Message from the founders

Manuel Lains & Christian Lains

BitGate aims to bridge the gap between traditional finance and

the new, emerging blockchain-based economy. Throughout the

last three years, we have worked hard to establish BitGate as a

serious and compliant actor in a developing industry. We are

now raising funds to develop the BitGate platform and aim for

an ICO in 2018. In addition, we will host a strategy day to

provide more insights into our vision for BitGate growth in a

market being disrupted by new technology. Our platform will be

available at www.bitgate.no

“Your gateway to the crypto economy”

[ 2 ] [ 3 ]

Manuel Lains & Christian Lains

Contents

Main highlights............................................................................................................................................... [5]

Company Introduction............................................................................................................................... [7]

Platform.............................................................................................................................................................. [8]

Timing and Execution................................................................................................................................ [9]

Advantage towards peers....................................................................................................................... [12]

Market and competition........................................................................................................................... [13]

Strategy with disruptive potential...................................................................................................... [14]

Financials ......................................................................................................................................................... [16]

Vital Persons in BitGate............................................................................................................................ [17]

Partners BitGate............................................................................................................................................ [18]

Contact............................................................................................................................................................... [19]

Disclaimer......................................................................................................................................................... [19]

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Blockchain Technology Overview

The bitcoin and blockchain space represents a new market, unlike anything we have ever

witnessed. The concepts explained in this business summary may be technical and hard

to grasp. Below is a short introduction to the most essential terms used in our

presentation.

Bitcoin was the first cryptocurrency designed to be used like cash online. Transactions

are made without a middle man, meaning the exchange does not pass through a

financial institution and incur any related fees. The demand for Bitcoin is growing globally

and the price has seen exponential growth from inception till the time of writing this

document.

Blockchain is the technology behind Bitcoin. It is a database that allows Bitcoin to

function without having an authority, like a bank, controlling it. Instead of an accountant

tracking transactions there is a blockchain, keeping an Excel-like spreadsheet of all the

information around the world. This information is timestamped in chronological order and

secured through cryptography so it can not be interfered with or changed.

Initial Coin Offering (ICO) is a way to raise capital. ICOs allow startups to create their own

exchange economy that allows them to bypass traditional bank and venture capital

funding. As of Q3 2017, ICO funding for tech startups has surpassed that of seed stage

and venture capital. The biggest completed ICO to date (Nov. 2017) raised more than

USD 250 million.

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Main highlights

Award-Winning Norwegian Blockchain CompanyLargest and most experienced blockchain/cryptofinance company in

Norway with global partners. 20 years combined experience managing

the blockchain industry.

Norwegian Fintech Award 2017 ”Newcomer of the Year”, holding

Norway`s first successful ICO.

First ever Norwegian ICO pre-sale. In January 2017 BitGate did a minor

pre-sale and acquired twice as much capital as expected; USD 50,000

*(400,000 NOK).

Successfully hosted the world’s first CryptoFinance event, “Cryptofinance

2017” which gave the company international attention and network.

Platform Regulated by Norwegian LawRegulatory compliant platform developed under advisory supervision of

experts from the Norwegian law and banking sector.

Utilizing top grade ID verification systems i.e. BankID in Norway. Saving

time with KYC/AML procedures, facilitating trustworthy and

user-friendly onboarding.

First Mover AdvantageFirst Norwegian Bitcoin exchange platform using BankID

Mobile Bitcoin and Cryptocurrency purchasing in Norway

Blockchain-based Financial platform - First specialized Internet of

Finance application leveraging the benefits of a regulatory verification

system, permissioned & permission-less.

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Main highlights - continued

Customer base ready through partnershipsAround USD 120,000 *(1 million NOK) daily volume already in place,

through several partners leading the Norwegian market.

Customer base of about 1000 unique customers, through several

partners leading the Norwegian market.

Practical easy-to-use Platform SolutionsProfessional Interface designed to provide a streamlined interface

experience.

Advantage towards peers, in a market with low user friendliness.

Easy onboarding - Integrated easy-to-use wallet via global market

leader BitGo.

Low market entry costs for MVP platformLow breakeven price – estimated to break even by 2018 with

today`s cost base.

Low OPEX, even with an international customer base.

No debt as as of 4Q 2017.

Simple investment exposure to the Bitcoin and Blockchain

IndustryDisruptive potential in a strong growing market

More than 1600% Market Cap Growth last year, according to

coinmarketcap.com.

High and growing media attention

BitGate is a universal wallet and exchange for crypto assets and traditional assets. With

BitGate, users can easily hold and exchange cryptocurrencies, smartcoins and other

blockchain-based assets, as well as traditional assets, currencies and derivatives.

BitGates uses a hybrid blockchain solution to bridge the gap between traditional finance

and the blockchain-based cryptoeconomy. The hybrid blockchain incorporates both

permissioned and permissionless elements to allow for domain-specific regulatory

restrictions as well as permissionless innovation.

BitGate enables free exchange of value between anyone, anywhere in the world. BitGate

uses state of the art blockchain technology that enables secure and cost-efficient

transactions that scales to handle exchange volumes of up to 100 000 operations per

second.

BitGate AS is by 20.11.2017 owned 77% by BitSpace AS. Additionally, around 15% of the

shares are owned by members of the BitGate team. The remaining shares have been

sold to external investors through an equity dilution and from BitSpace directly.

Here is a brief summary of BitGate milestones over the 12 months:

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Company Introduction

2016 Fintech FactoryAccelerator Program

2017 Q1 BitGatePre-ICO Launch

2017 Q2 PlatformArchitecture,

Hiring developers

2017 Q3 Design andProduct Development

Investors

Speculators

UsersProfit

The BitGate platform enables users to store, transact and exchange a wide variety of

assets. Users can also issue custom assets with properties suited to their needs. For

example, businesses or individual users can create an asset backed by traditional assets

or create their own Smartcoins, assets backed by an autonomous smart-contract.

The hybrid blockchain platform ensures that both permissioned and permissionless

assets can co-exist on the same network. This offers individual jurisdictions and others

who wish to create restrictions get a chance to do so for individual users or assets while

the rest of the platform remains unaffected.

BitGate’s platform uses the Delegated-Proof-of-Stake (DPoS) consensus algorithm, the

most cost-effective consensus algorithm. DPoS has sub-second transfers and can

process up to 100,000 operations per second. This means that it can scale to handle

volumes comparable to Visa and the NASDAQ exchange.

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Blockchain Platform

As of November 2017, the BitGate essential staff is as follows:

Core team: chief executive officer, chief strategist, chief operational officer

Developer team: 3 full time, 4 part time

Marketing & design: 3 full time, 2 part time

CryptoEconomy Traditional Economy

Bridging the Gap

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In the last 9 years, the market cap of Bitcoin and the crypto-economy has grown to over

USD 200 billion. Since June 2017, the funds raised by Initial Coin Offerings (ICOs) have

vastly exceeded the total funds raised by angel & VC funding (IPOs). In addition, the

underlying blockchain technology is now being explored globally by the financial

industry as a way to enhance services and cut costs. Due to several converging factors,

the timing is right both in terms of the crypto-economy, the traditional financial economy

and their intersection.

Creating wallets and managing accounts is difficult in Bitcoin and other

blockchain-based currencies. It is hard to remember your passwords and addresses

to blockchain-based wallets. Today’s solutions are not consumer friendly. If you lose

your wallet password, you lose your money.

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Timing and Execution

Timing - The Crypto-economy

Setting up an account is difficult. Due to improvised implementations of KYC/AML on

various international exchanges, the user will have to submit a copy of their passport

and submit a long list of details so that the exchange can stay compliant. This is

frustrating to experienced users and prevents new users from entering the market.

The user interface in most exchanges is meant for professional traders. This is

overwhelming for most consumers. High complexity is great for expert users, but

for beginners it creates distrust and frustration.

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Bitcoin Core market

Timing - Traditional Financial Economy

The first delivery will be the BitGate Proof-of-Concept that will launch in Norway.

BitGate has partnered with the biggest Bitcoin trader in Norway, Bitmynt.no, giving

BitGate a majority of the daily trading volume in Norway from day one after

launch. Bitmynt.no currently has a volume of 1,000,000 NOK/day which is an

artificial cap imposed by Bitmynt’s bank provider.

Demand for Bitcoins is greater than what Bitmynt.no can provide. There is a vacuum

in the Norwegian market that the BitGate Proof-of-Concept will fill with NOK-BTC

trading. After building a NOK-BTC trading solution other cryptocurrencies will be

added such as Ethereum, Bitcoin Cash, Litecoin and Dash to trade against NOK.

The total market cap for all cryptocurrencies is currently over $200 billion USD.

Blockchains and cryptocurrencies are in their infancy and comparable to where the

Internet was around 1995.

Information technology is growing exponentially and is threatening incumbents in all

industries. The financial industry is no exception, prompting banks and financial

institutions to focus on “fintech” as a way to preempt their own disruption.

If you manage to set up a wallet and an account on a foreign exchange, learn the

interface and manage to purchase some Bitcoins, you still might be unsure of how

your government regulates them.

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BitGate is growing with the realization that fintech revolves around CryptoFinance, a

decentralized infrastructure for the global economy that will supplant the current

financial institutions as gravitational centers. What the Internet is doing to

information and communication technologies, the Internet of Value is expected to

do with financial technology.

The PSD2 (Revised Payment Services Directive) regulations and the trend toward

“open banking” will accelerate financial disruption. BitGate positions itself as

gateway that will connect the banks to the Internet of Finance, allowing regulated,

trusted industries to operate on an open, decentralized system.

Centralized

De-Centralized

Exchange Control Funds

Permissioned

Hack & Server Downtime

User Control Funds

Permissionless

No Hacks & Server Downtime

Norwegian Trading Volume (in NOK 1000)7000

6000

5000

4000

3000

2000

1000

02014 2015 2016 2017* excl.

Q4

Data fromlocalbitcoins.com

The business structure of BitGate has been architected in cooperation with experts

within compliance, law and the banking sector. BitGate has worked closely with Camilla

Wollan, Legal Advisor of DLA Piper; Lars Hektoen, Bank Advisor and Founder of Cultura

Bank; Lasse Meholm, Wealth Manager at DnB; Sylvia Johnsen, former Risk and

Compliance Officer in Nordea bank. BitGate’s decentralized exchange gateway is

innovative, resistant to regulatory hurdles and massively scalable.

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Advantage towards peers

Product Features

IdentityBitGate uses BankID in Norway for fast and secure authentication and KYC

compliance in the Proof-of-Concept. Authentication in other countries will

be provided through local ID verification solutions.

SecurityBitGate takes care of passwords and wallet addresses in a safe way, so that

it can easily be restored and changed, should the user happen to forget

them.

Wallets used to secure funds and passwords that usually take time to

create will be handled behind the scenes of the user interface by BitGate

partner BitGo providing a secured balance that is automatically available on

your mobile phone.

ComplianceBitGate is building local relationships with banks, regulators, identity

solutions and payment solutions to ensure maximum safety for consumers.

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BitGate will have low competition in the Norwegian market exchanging Bitcoin to NOK.

There are already a few actors in this market, however they all have their drawbacks. This

provides BitGate the opportunity to grab a dominant position in the market early on.

Today`s market is characterized by the following:

Hard to use, or no interface for the customer.

Unscalable manual processes capping growth potential.

Lack of professionalism and mediocre reputation.

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Market and competition

[ 13 ]

Ease of UseThe UX team will design an easy to use

interface that will be tested thoroughly

on users before it is implemented to

uncover real behavior and real usability

problems.

BitGate will follow accessibility guidelines of

Universal Design to ensure that everyone

included people with disabilities will be able to

take part in the new emerging economy.

BitGate will be using adaptive user interfaces,

which means that the interface will change

based on the needs of the user. The interface will

gradually morph from beginner to expert,

aligned with the users progression and skills

within the platform.

Our solution to develop this market:

Automatic processes facilitating huge scaling potential

Lower fees for customer

Lower costs for BitGate

Clean and user friendly interface allowing fast, safe and convenient onboarding

of customers.

Strategy with disruptive potential

[ 14 ]

Our solution to develop this market:

BitGate represents a hybrid between the two Exchange types

The platform benefits from the robustness and security that follows the

decentralized nature of the blockchain.

The platform maintains high focus on the aspects of user friendliness & adoption.

Besides exchanges, the strongest competitors in the blockchain based exchange

space will consist of mainly two types of services:

Decentralized exchanges, which generally are

low on adoption

lower on user friendliness

Centralized exchanges which generally are

Vulnerable to regulatory

Vulnerable to hacking

BitGate’sblockchain solution can serve as an exchange

infrastructure for stocks and other assets. Trading stocks

and assets digitally on a blockchain is faster and more

efficient than trading within traditional systems. There

are 60 major stock exchanges in the world with a total

value of $73 trillion.

Stock exchange

2017 Q4 Design and Product Development

2018 Q1 BitGate Launch and ICO

2018 Q2 New Currency Markets and European Expansion

2018 Q3 Blockchain Development

2018 Q4 BitGateBlockchain Launch

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Most large companies have fully automated their

payments, but the middle-sized companies do not have

the resources to do so. With BitGate companies could

settle their payments instantly on the blockchain.

Transactions would be irreversible and automated

integrations will help save time and money.

B2B middle market for payments

Derivatives are supported by BitGate’s underlying DLT.

The low-end estimate of the scope of the derivatives

market is $650 trillion on a notional contract basis.

Derivative market

Based on todays sanctioned projects, these are BitGates milestonesfor the next period.

The foreign exchange market is the most liquid financial

market in the world. With the Bitgate’s decentralized

exchange forex trading will be possible in a faster,

cheaper and more secure way.

Forex currency trading

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Financials

Income

As BitGate is in it`s infancy, there are no financial results to present, however below is a

presentation of how the funds from the Q4 2017 funding will be used,and other internal

numbers.

We will take a competitive margin off each trade on our platform. The platform can also

be used to generate other income.

Product Development

Uses of Funds from Q4 2017 In percentage

53%

Legal 16%

Marketing 5%

Design 13%

Operations 13%

Total 100%

CostsAs of November 2017, BitGate has a burn rate of around USD 30,000 *NOK 250,000 per

month. This consists of costs related to product development, legal, marketing, design

and general operations.

Debt and equityBitGate has by Q4 2017 no debt

Funding RoundBitGate AS will close a funding round in Q4 2017, selling up to 15% for a price of ~USD 61

*500,- NOK per share. Total amount of shares are 106.844 pre share issuance.

Minimum investment is ~USD 6,000 *NOK 50,000,-

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Vital Persons in BitGate

BitGate is a daughter company of BitSpace and has the backing of the BitSpace team and

network, collectively carrying over 20 years of experience with Bitcoin, cryptocurrencies

and blockchain technologies. BitGate has a global team of blockchain experts as well as

coders, designers, marketers, lawyers, bankers, traders and remittance service providers

all working to make BitGate happen.

Manuel LainsCo-Founder and CEO

M.Sc in Electronics from the University of Oslo, and is an experienced developer.

2 years working experience a as a blockchain consultant

BitGate Advisory Board

BitGate has, since it`s inception been working closely with advisors from both the

traditional finance sector and cryptoeconomy. These advisors are carefully chosen to

provide assistance in areas related to regulatory compliance, risk management, and

technical blockchain solutions.

Christian LainsCo-Founder and Chief Strategist

Masters degree in Philosophy from University of Oslo in philosophy.

Early advocate of blockchain technology since 2011.

Ivar DuserudChief of Operations

Economics education from Eastern Connecticut State University

2 years working experience a as a blockchain consultant

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BitGate Partners

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BitGate works closely with advisors on a monthly basis, facilitating a strategic edge in the

new and emerging market.

Internationally Bitgate has among others strong partnerships with BitShares and

Steem.This is also represented by key advisors and long-time community engagement in

the cryptocommunity, giving a unique position to benefit from the knowledge of the

creators behind some of the world`s most advanced blockchains. BitGate also has a

good range of local partners, making the Bitgate platform taylor-made for the domestic

market, including BankID, the Norwegian Bitcoin &Blockchain Association, Bitmynt.no,

Fintech Factory and OsloFintech.

LasseMeholm, DNB

Camilla Wollan, DLA Piper

Sylvia Johnsen, former Nordea

Fabian Schuh, ChainSquad

BjørnBjercke, former Acando Bank

Lars Hektoen, Founder Cultura Bank

Ned Scott, Steemit

Fabian Schuh, ChainSquad

SigveKvalsvik, BitShares

More info on advisory board on www.bitgate.no

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Contact Us

Disclaimer

For all inquiries regarding investment and collaboration please contact BitGate via

telephone or email:

This document has been prepared by BitGate AS solely for information purposes based on data supplied by

Bitmynt.no and data obtained from public sources. The information contained herein has been prepared to assist

parties who have expressed an interest in a potential transaction involving a sale and purchase of shares in the

Company to make their own assessment of an investment in the Company and does not purport to contain all

information such interested parties may desire. All interested parties should conduct their own investigation and

analysis of the Company and its operations, results of operations, financial condition and prospects. BitGate AS has

not verified the accuracy or completeness of the information contained herein and undertakes no obligation to do

so. Neither BitGate AS, the Company or its shareholder, nor any of their partners, employees or advisors, make any

representation or warranty, express or implied, as to the accuracy, completeness or correctness of this document

and the information contained herein and neither of such parties shall have any liability whatsoever for any error or

inaccuracy contained herein, or for any omissions from this document, nor for any information provided to the

recipient in connection with the recipient’s own investigation and assessment of the Company. In particular all

numbers, initial valuations and schedules contained in this document are preliminary and are for discussion

purposes only. Only those particular representations and warranties, if any, which may be agreed in a definitive

agreement with the Company and/or its shareholder will have any legal effect when, and if, executed, and subject

to such limitations and restrictions as may be specified therein. BitGate AS reserves the right to amend this

document and to correct the information contained herein at any time, but neither BitGate AS, the Company or its

shareholder undertakes an obligation to do so or to provide the recipient with access to any additional information,

even if the information contained herein is found to be incorrect, misleading or inaccurate or if any omissions from

this document is identified. This document is being furnished solely to assist the recipients in deciding whether to

proceed with a further assessment of an investment in the Company, and shall not be deemed as an offer to

purchase shares in the Company.

+47 922 88 775

Trondheimsveien 184, 0570 Oslo

info@bitspace.no