Attached please find an introduction to the blockchain delivered as a presentation on August 28, 2018 at Universidad Francisco Gavidia. A recording of the presentation will follow, which will be in Spanish.

1. z
What is blockchain
and how can it be
used?
Ayadee.io

2. z
Getting to know the audience
 Who here owns cryptocurrencies?
 Does anyone here work for an organization that uses a
blockchain-based solution?
 What year did you first hear of blockchain or cryptocurrencies?
 What are some of the use cases of blockchain that you know
about?

3. z
Introduction
 How does blockchain work?
 What is the difference between cryptocurrency, utility tokens and
security tokens?
 How do you launch a new token?
 Commercial Transactions
 Financial Markets
 Automotive Sector
 Healthcare and Medical Records
 Real Estate
 Voting
 Education Records
 Want to create your own project?

4. z
What is the blockchain?

5. z
Tokens
 Cryptocurrencies
 Utility tokens
 Security tokens

6. z
Examples of Token Types

7. z
Why launch a utility token?
 A utility token raises funds for your company, but it also has less regulations on it
than a traditional securities offering (such as an IPO) and does not give up
equity in your company.
 The utility token, by definition, should allow the token to be used for a specific
product or service (e.g. if Digicel were to offer a token that could be used for its
customers to pay their phone bill, Super Selectos were to offer a token to pay for
groceries, or a ride-sharing service like Uber were to have its own token).
 Utility token allows companies to accept payment directly from customers
without financial intermediaries, instead of having to pay transaction fees for
credit card payments.
 Tracking of data – what are customers buying and when? This data will be
forever stored in the blockchain.

8. z
Why launch a security token?
 This is similar to selling traditional securities, but has two main
advantages:
 You can securitize a portion of your company or its cash flows in a
simpler manner than creating a Special Purpose Vehicle / Special
Purpose Entity (SPV, SPE).
 You can sell your tokens to a much broader audience than might
have access to buy your securities if sold through a traditional
securitization.

9. z

10. z
Why launch a cryptocurrency?
 Don’t. There are major cryptocurrencies in existence already,
and unless there is a reason why your cryptocurrency should be
more widely used than Bitcoin, Stellar, or another
cryptocurrency, there isn’t a reason this would benefit the
financing of your start-up.

11. z
How do you launch a new token?
 Initial Coin Offering (ICO), for both utility tokens and
cryptocurrencies.
 Security Token Offering (STO)

12. z
Legal Status of Cryptocurrencies, Security
Tokens and Utility Tokens in El Salvador
 The Central Reserve Bank of El Salvador issued a statement on
November 6, 2017, expressing its position on cryptocurrencies,
which can be summarized as follows:
 Any transaction that is made with virtual currency is the
responsibility and risk of the person who carries it out.
 Fundraising using digital currencies is prohibited.
 This does not make clear the status of utility tokens – although
they can raise funds, that is not the main purpose of the token.

13. z
How can it be used in commercial
transactions?
 Blockchain allows for the creation of trade without “financial
intermediaries” such as banks to process the transactions.
 Payments can be sent directly from one party to another
immediately, or they can be sent through”smart contracts” where
payment is held in escrow until the contracted product or service
has been provided.

14. z
Financial Markets

15. z
Automotive

16. z
Healthcare and Medical Records
• Patients Encrypted health information could be shared with
multiple providers without the risk of privacy breaches.
• Blockchain-based tools can track the provenance of
pharmaceutical drugs, to prove that the real drug has been
delivered, not a counterfeit.

17. z
Real Estate
 Through Security Tokens, fractions of a property could be
bought. Want to fraction of the Empire State Building?
 Land registries can be placed entirely online.
 Secure record preservation.
 Increased speed in property transactions
 Increased transparency of property values.
 This is already being done in the Republic of Georgia.

18. z
• In “Cryptovalley,” (Zug, Switzerland) voters
are already allowed to vote using
blockchain-based digital IDs and 5% of
voters did so in the last elections.
• Russia plans to make it possible for all
voting for its 2024 presidential elections to
take place on the blockchain?
• Why put voting on the blockchain?
• Less risk of hacking
• Immediate results
• Lower risk of fraud
Voting

19. z
Education Records
 The Amply project, created by the ixo
Foundation and supported by
UNICEF and Innovation Edge, built a
mobile app using the ixo protocol to
track attendance in pre-schools in
South Africa.
 Ixo is also supporting a project in
India where the grades of students
are recorded onto the blockchain.
 In Dubai, all universities are issuing
diplomas of graduates directly into
the blockchain, attached to the digital
ID of each student.

20. z
Want to create your own project?
 The Ixo Foundation is piloting tools to allow people to create
their own projects, entering and tracking their own data as it is
recorded into the blockchain. One can sign-up to receive
information at this link: ttps://referral.ixo.world?kid=R0TZ9
 Want to launch your own ICO or STO? That’s more material
than we can do in one presentation, so let’s discuss after!
 This presentation will be posted at www.ayadee.io, and I can be
contacted directly at pjohnson@ayadee.io with questions.