What is MLM coin MLM Coin is:

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1 Introduction Nowadays there are more than 6,000 MLM companies (multi-level marketing) throughout the world which include more than 180 million participants. Companies distribute their goods and services through the MLM model: without intermediaries, sales outlets, shops, but directly through a network of independent distributors (agents). With the help of this model, each participant becomes both a consumer of the product or service, and at the same time it's dealer. Each time you purchase an item directly, the partner (distributor) that advising the product or service receives a small financial reward, which allows to organize financial relationships between people rather than the MLM Company. With the development of the technological industry, society has already entered the digital era, so that in order to ensure transparency, agility and technological effectiveness, MLM companies are eager to digitize all aspects of their activities. This plays an important role in establishing the relationship between the company and its stakeholders, since trust is an essential factor in financial and business linkages, and it forms a solid foundation for the distribution network. Although the company-distributor relationship is financial, the former do not always have the ability to be as open and transparent as possible, due to compliance with the law, because of the centralization of the database or the company's own bad faith. The process of these relationships (distributor companies and vice versa) is based on some kind of internal currency concerned with a particular currency. Distributors' rewards are based on this internal currency which is transferred into the internal wallet of the company. For example: 1 item = 10, CV = $10 Reward: 10% The Distributor receives: 1 CV In the standard interaction scheme, the distributor can dispose of the internal currency by either purchasing the product, or by withdrawing money to its own account. The opening of new markets has traditionally been accompanied by the search for best financial strategies, the opening of accounts in one or another jurisdiction, the receipt of certificates for goods, the legalization of financial relations between distributors and the company. To avoid

2 problems with legislation, companies are often registered in the offshore area and distributors are hired in other countries. It should be pointed out that in each country there are different payment systems, and therefore the cost of transactions (Transfer Commission), so this leads to one of the difficulties that MLM Company may face the legal payment of commissions to distributors. Moreover, the centralization of data on all transactions, which company carries out on its servers creates an additional risk of losing money in internal wallets, and this risk is uncontrollable by either distributors or MLM companies. What is MLM coin MLM Coin is a decentralized platform on the basis of which any MLM company can create its own cryptocurrency and put it into circulation within the distribution network; To issue their own cryptoshares and to present them at a specialized platform exchange; Create smart contracts embedding automatically executable marketing plan into them, a voting system, and decision making (for a new marketing plan, a leadership council designation, dividends, denomination of stocks, and more). MLM Coin is: new economy for the entire MLM world community; one wallet address for all MLM currencies; Shares (tokens) Exchange of MLM companies; security and anonymity; possibility to legalize their activities in any country. According to its legal wording, cryptocurrency is more relevant to the goods than to the money, which makes it possible to open an exchange point of the company's internal currency to fiat money in the territory of any country in an entirely legitimate way; possibility of cheap transfers to any point in the world instantaneously, without resorting to the banking system; ability to hold an ICO and raise funds to launch a new MLM company (Tools for research, launch a production, opening of the head and representative offices, deploy logistics); ability to issue its own virtual shares (tokens) as well as the co-founders ' assignment to all shareholders, allowing them to receive dividends;

3 a transparent decision-making system that allows to create a leadership council (or to delegate decisions on all the holders of the cryptoshares) and to vote for new products, a new company management, as well as possibility to be as flexible as possible; possibility of securing company stocks by the main currency of MLM coin, which, in case of closing of the company, allows the leadership council to denominate the shares by obtaining a guaranteed amount of security in the form of the main currency of MLMC. Mission and Vision We believe that in the nearest future most MLM companies, especially the new ones, will use MLM Coin to implement domestic policies and financial relationships. Our vision is based on a simple idea cryptocurrency is an entirely new economic system. A system that has already proved its superiority to the traditional economy. A system that has proven its reliability and security over many years. And that's what inspired us to create a MLMeconomy that is revolutionary for the entire world community, which offers incredible opportunities for both MLM companies and distributors. Let's discuss it. Legality Different parts of the world have different attitude towards MLM at the legislative level. For example, there is no clear wording in Russian legislation as to how legally and correctly establish relationship between the MLM company and the distributors. For the most part, distributors are individual persons, which means that, for payment of any reward, the MLM-company is obliged to pay royalties to the tax, RPF and other authorities as a staff member, i.e., 30.5%. This strategy is not profitable because distributors earn only a small fraction of the value of the product. In such cases, the following is accepted: the head company opens a Back Office in the offshore zone, and then Front Office on the territory of the sales country. The Front Office is responsible for two functions: a support service and logistical deployment within the country. If necessary, the Government signs contracts between Russian companies and Russian distributors, with authority from the head company and the status of the recruiting agency, recruiting people for the head company. However, the main problem the payment of commission to distributors is still being resolved through the transfer of earned money to the offshore electronic payment system accounts, and the distributors themselves manage the withdrawal through international transfers.

4 The second very popular method of solving the problem of commission withdrawals is to issue its own Visa or MasterCard cards related to the banks in the offshore zone. Such maps allow money to be drawn from any ATM with a fixed commission (since money transactions are international). With MLM Coin, companies have a simpler, cheaper and more legitimate way to pay their distributors: a head company designates a subsidiary representative company in a particular country. The representative company, in turn, creates a special exchange point cryptocurrency (the internal, non-volatile, currency of the company created on the MLM coin platform). Therefore, once the distributor wants to withdraw the earned commission, it calls the representative company and exchanges cryptocurrency to fiat money. All the rules stay followed and the legislation of the country of exchange has not been violated. For example, today on the territory of the Russian Federation, the exchange of electronic money in legal terms relates more to the exchange of goods for Fiat money, and therefore is equivalent to sale. There is no clear attitude towards cryptocurrency, and hence its wording in Russia, but there are precedents to believe that legally cryptocurrency will be considered as s good. It is not necessary to obtain additional licenses for the opening of exchange points. All of this constitutes a more transparent and legitimate method of work for a MLM company anywhere in the world. P. S. Perhaps our example does not address all the nuances of the law. However, the aim of this example was to show that, with the use of cryptocurrency, a MLM company has a vast number of new opportunities to legalize and strengthen its business in every country of the world. The possibility to hold ICO and raise money to launch a company ICO, or Initial Coin Offering (the primary disposal of tokens) is the issue of a project coupon, or tokens, to pay for the site's services in the future, in the form of cryptocurrency. Let's imagine the situation: A team of talented people developed a unique product that does not yet exist in the marketplace. The team also decides to push ahead the product through a network of independent distributors (MLM), but they need the tools to launch it. In particular, funds are needed to provide research, product licensing, its replication, company creation, and logistics deployment. The investor can be involved, who will become a co-founder of the company and will dictate its terms of development. They can also get credit from the bank or earn on other projects a start-up capital to invest in their own one. But with the appearance of the MLM coin, they have another option to hold their own ICO.

5 Option 1 The aforementioned team can issue its own cryptocurrency on the MLM Coin site and offer it to their future distributors at the lowest price. For example, the cost of one unit of a product in the future will be 100 cryptocoins of the company, and their cost in turn is $100. They may offer to purchase cryptocoins at a discount of 20-50% (depending on the product). Thus, for its $100, the Distributor receives 150 cryptocoins of the company for which he will be able to purchase the product in greater quantity. Option 2 This option can be considered best because it maximizes the benefit of all parties. The company may issue its cryptoshares, which give certain advantages to its holders, and also gives them the rights of the co-founders. For example, the company states that 10% of the total turnover will be distributed among shareholders and the company's shares provide 10,000 MLMC (in the case of denomination, this amount will be distributed among the holders). In such a situation, both distributors and company are fully confident in the fulfillment of these obligations, since the future marketing plan is published as a MLM Coin contract, which includes all the details (the marketing contract will be performed automatically). It also publishes a list of leadership council, a list of those who can influence the decision-making process on making changes in the company's marketing plan, the terms of the currency denomination, and much more (each item will be more detailed). Along with this, the company publishes a White Paper detailing the entire concept, the company's idea and the stages of the project's launching, after which it invites the entire MLM world community to invest in the project, becoming in some way co-founders. However, at the ICO stage, the value of the shares is fixed and bonuses in the form of allowances are available (purchased at $1- received shares for $1.2). If the company offers a really worthwhile product, and there's a well-organized powerful team standing behind which is able not only to produce the product but most importantly to bring it to the market, it becomes abundantly clear that the value of these shares will increase, as it is evident that new distributors are intending to become co-founders, shareholders of the company in which they work. So, there's a time and the number of the shares limit for which investors and future distributors can purchase company's shares at the most profitable price. After the project is launched, the company's shares "go" to the auctions on our MLM coin Shares Exchange.

6 Putting company's shares in circulation As have been already discussed in the previous paragraph, a company can create, sell, or simply hand out to distributors, put in circulation on MLM Coin Exchange their own cryptoshares, which provides a great variety of new opportunities for both the MLM Company and its distributors. Company's shares denomination Despite the extreme faith of distributors and investors in any MLM company, sometimes they are closed due to various reasons. That is why we have placed a self-regulatory procedure in the MLM Coin, namely, "denominations of shares". From a technical point of view, it looks very simple: the company can issue both secured and unsecured cryptoshares. Security is being done by our central currency, MLM Coin. During the process of creating cryptoshares, a company may also specify a list of leaders who can make decisions on the currency's denomination, the additional issue, the additional securing. Example 1: The company released 1 MM cryptoshares, providing them with 100K MLMC, which is equivalent to $100K. A few years later, the company closed down and a leadership council has made a decision to make shares denomination. After the voting, the company's shares in the MLMC are automatically transferred to the accounts of the former shareholders, so they will be able to sell the shares on external Exchange or to purchase shares of other MLM companies. Example 2: The company released 1 MM cryptoshares, providing them with 100K MLMC, which is equivalent to $100K. Eventually, the cost of MLMC has grown eightfold, by thus securing of 1 MM cryptoshares remained 100K MLMC, however, the equivalent of these MLMC was $800K. The Leadership Council decided to conduct a procedure for additional issuance of shares in order to add securing. Thus, by the voting was made a decision to issue 1 cryptoshare with the securing of 25K MLMC (equals $200K). After the procedure of additional issuance, the company may openly declare that their cryptoshares are fully secured. So, if, for some reason, the company closes, and the Leadership Council conducts a denomination procedure, all shareholders will receive MLMC on their accounts, which are 100% (and perhaps at that time, more) equivalent to their nested money, as the increase in the value of the MLMC is directly proportional to the number

7 of transactions in the MLM Coin system, the number of participants in it, the number of connected companies, and the demand. Flexibility and transparency When a company creates MLM Coin based cryptocurrency, the company sets voting rules: the voting right for specific procedures may be given either to all shareholders, or to a specific group of people (list of Leadership Council). For example, the voting right for: conducting the procedure of changing company's marketing plan (main contract), one group of people (Leadership Council) can be assigned; assigned; forth group; the procedure of shares denomination of shares another group of people conducting the procedure of additional issuance, the third group; conducting of the procedure of changing the list of aforementioned procedures, the participation in voting for the creation of new products, promotion or opening of new markets all shareholders. The main contract of a company linked to their cryptoshares is the main currency for which the product or service of the company is purchased and in which the commission is charged according to the marketing plan. In this way, the company's marketing plan can inextricably connect the main currency and the cryptoshares. It's the main contract that determines the company's current business wallet. If the Leadership Council wants to change their leadership, they can do so by voting for changing the marketing plan of the company (contract) in which the new main wallet is mentioned in details. On the one hand, the founders of the company are always in danger of being removed from the managing post. However, on the other hand, it creates a transparent project policy and gives the company's leaders and distributors confidence in their future. Of course, without the legal form that the founder owns, the continued existence of the entire company is under considerable question, as there are signed treaties with manufacturers, suppliers and Front Offices in different countries. But this is what makes leaders unable to make decisions about changing the leadership without a clear plan of restarting a project.

8 P. S. We describe only some of the possible options of using the MLM Coin platform, and each company decides individually how to incorporate these technologies into work and at which level. Safety and security of the distribution network structure If the MLM-company decides to work wholly on the MLM Coin platform, using all the technologies and the mentioned principles in their work, at least the commissioning will be automated. All the information about the mentors, and hence the entire structure of the automatically executed marketing plan and the commissioning is stored in the BlockChain MLM coin (anonymous structure). It guarantees security for all the participants of the project, as, even in case of changing leadership and restarting the project by the Leadership Council, the company will continue to function because the entire distribution network structure is decentralized and not specifically stored in the founder's database. Opportunity to invest in shares of other MLM companies In the process of creating a MLM Coin platform based MLM Company, the founders, distributors, and investors are given an incredible opportunity to become co-owners of many projects simultaneously. The same way as the MLM Coin community had financed the creation of your (conditionally) new company, you and your distributors, when grow stronger, could finance the creation of other, equally significant, MLM projects. This gives you not only the voting right in these companies, but it also imposes an obligation on you to help with everything possible because you will be interested in the success of the company, you're the co-owner of. We are sure that far-seeing people will see tremendous potential in this opportunity and, together with the MLM coin community, will create a new economy and ethic for the entire MLM industry. Practical use in MLM Company The cryptocurrency created on our site can be used differently depending on your goals:

9 Cryptocurrency for internal payments This currency is appropriate for purchasing company's goods or services, commissioning, and internal transfers between distributors. The cost of such cryptocurrency is strictly fixed by company rules and is related to the cost of the product. To be stressed again, the cost of such cryptocurrency is fixed and unchangeable. This type of cryptocurrency provides the company and its distributors with some benefits, such as: The decentralized database of all transactions and currency. Even if you do not have access to the company's sites, the cryptocurrency of distributors will remain safe. It has become possible thanks to the fact that the company's cryptocurrency works on the MLM Coin network based on the BlockChain technology. A decentralized structure of the distribution network. By scanning a special QR code, each distributor can specify a mentor. Thus, using the aforementioned principle, the distribution network structure stays in BlockChain MLM Coin, despite the availability of the company's main site. Quick transfers between the accounts of distributors. At any time, distributors have access to their wallet, as well as the ability to make transfers to distributors not only within the MLM Company, but also to other members of the MLM Coin network. Each purchased unit of the cryptocurrency of the MLM Company is secured by the company's product. Certain company's obligation to their distributors, certain kind of voucher for the product that the Distributor has the right to use at any time. The company, in its turn, has a clear picture of how many units of cryptocurrency distributors have, allowing the warehouses to be provided in time. Security. Cryptocurrency can't disappear without a trace from the wallets, can't be faked, and can t be additionally issued which is provided by the DPoS (Delegated Proof of Stake) transaction verification system. Anonymity. There's no need to verify your data, specify an , or a mobile phone to register your wallet. The only place where the distributor mentions his wallet is the company's personal cabinet (to receive rewards). If a company uses contracts for an autoexecuted marketing plan, it's enough for Distributor to specify its first and last name (perhaps even a fictitious one), that is necessary to display the human names in the distribution network's genealogy. Transparency. Any transaction that is produced in the system becomes its part. This means that transactions cannot be lost (unless you specify the wrong recipient's wallet address).

10 How it works: 1. The company releases its own cryptocurrency based on the MLM Coin platform. 2. Connects MLM Coin Merchant to his personal cabinet (to buy a newly issued cryptocurrency). 3. Offers to purchase its goods or services for cryptocurrency and pays rewards in it. 4. Exchanges the reward received by the distributors for fiat money by means of a central exchange point or in official exchange point in a country. Second application option (Contacts usage): 1. The company creates a special contract based on the MLM Coin platform. The marketing plan is detailed in the contract, also company's main wallet, a list of leaders (wallets), whose votes can change the contract. Defines the relation between cryptocurrency and shares (if necessary) and percentage for automatic distribution of company's shares among cryptocurrency holders. 2. Creates a personal cabinet where distributors can purchase an internal cryptocurrency and the on-line store for purchasing company's goods or services by distributors. Optionally, company can embed the on-line store directly into distributor's wallet. 3. Each time a distributor transfers for any product, the auto-executed marketing plan (the main contract) will be activated and, according to all prescribed conditions, all higher (and cryptocurrency shareholders) will be paid the specified percentage. After being transferred to all partners, the remains of the cryptocurrency are transferred to the company account. 4. Exchanges the reward received by the distributors for fiat money by means of a central exchange point or in official exchange point in a country. Cryptoshares on Exchange This type of cryptocurrency (cryptoshares) can be used by the company to distribute additional rewards among all holders (dividends). For example, a company can pay 10% of trade in the form of dividends, distributing them among the shareholders. Thus, the cost of such shares may change up and down, and distributors, in their turn, can fully imagine themselves the founders of the company, because the more new distributors join this company, the more the demand for its cryptoshares on the Share Exchange is, the more expensive it is.

11 This type of cryptocurrency, in addition to the benefits described above, allows the company and its distributors to reach a qualitatively new level of relationships and offers many advantages: If a company only starts its activity and needs to raise a start-up money, it can offer future distributors to buy shares at a good starting price. Thus, to raise money for company's product creation and to launch a company itself. This ensures that the company's growth is completely transparent, as both the founders and distributors are able to monitor the company's "breathing" in real time by the fluctuation of the exchange rate. A company can keep a portion of the issued shares, increasing their capitalization and value, and then selling it in the future, thus attracting additional financing. Each distributor becomes the co-owner of the company and is able to obtain a percentage of the company's turnover. This percentage and conditions are imposed by the company at the personal discretion or in the main contract (auto-executed) or by the distribution by hand. In a sense, Share Exchange shares are a new, yet another company product. The Distributor has a new source of income the more he earns, the more he can buy. Additional involvement of distributors in the development of the company, as the increase in shares value depends directly on the joining of new distributors to the partner network. A company may organize a vote related about its product or marketing plan, and distributors may use cryptocurrency in their wallets as a voice. How it works: 1. The company issues its own shares based on our MLM Coin platform, providing them with the main currency MLMC (at the discretion), and creating the necessary conditions in the main currency contract (if such shares give right for getting dividends from the turnover of the company). 2. Connects MLM Coin Merchant to its private office (to buy a newly issued shares). 3. Makes a primary offer to its distributors or investors to buy these shares at a fixed price (holds internal or external ICO). 4. When all the offered shares are bought, it launches circulation on the base of our Exchange on the MLM Coin platform. 1 MLMC = $1 ICO structure

12 Seed Stage: Our team is willing to get invested up to $200K; The minimum amount required to start a full-fledged development is $50K (the number of investors is not limited to only one); Minimum amount of investment up to date is $10K (i.e. start from 5 investors); At the seed stage all the investors receive tokens that after the start of the MLM Coin give twice more coins. For example, by investing $10K, you receive 20K MLMC (+ 100%); For the involvement of the investor you receive 50% of the investment. For example, you involved investment for $10K, so you get 5K MLMC. Pre-ICO Stage: Day 1. Purchase bonus + 50%; Day 2-3. Purchase bonus + 45%; Day 4-7. Purchase bonus + 40%; Week 2. Purchase bonus + 35%; Week 3. Purchase bonus + 30%; Week 4. Purchase Bonus + 25%. ICO Stage: Day 1. Purchase bonus + 25%; Day 2-3. Purchase bonus + 20%; Day 4-7. Purchase bonus + 15%; Week 2. Purchase bonus + 10%; Week 3. Purchase bonus + 5%; Week 4. Purchase bonus + 2%; Week 5. No purchase bonuses are available. The aforementioned conditions are not the final ones and are likely to undergo changes. The final conditions will be formed closer to the completion of the "Prototype Development" Stage. At all stages, we provide the Bounty (rewards) for the help in the development and launching of the project, in the form of tokens to receive MLMC. The amount of the Bounty is discussed individually.

13 Road Map MLM Coin Seed Stage: Start: June 9, End: after collecting the first $50K. Approximate dates: June August Funding is now accomplished from own resources. Development is being in process since June 9, We would like to speed up the development process by involving more technical specialists and qualified team members. Prototype Development: Start: two weeks after the Seed Stage. End: 2-3 months. Approximate dates: August December At this stage, we want to develop a working prototype MLM coin 0.7, which includes the minimum versions of the following technical solutions: o o MLM Coin Core/Noda/Wallet. Test NET is the network for testing the workability of the entire system. Within this network, committed transactions can be performed. All software will be available openly on GitHub and will be run on the "Test Net" (test mode). This mode is required to test the workability of the system and to make necessary adjustments to the program. P. S. the wallet that will store all the cryptocurrency of our platform. At this stage, only the Windows version is available. Pre-ICO Stage: Approximate dates: November December Duration: Four weeks. At this stage, the ability to purchase tokens MLM Coin will be started for a close circle of investors. We will also offer good purchase bonuses (+ 25% + 50%), with a decrease each week.

14 At this stage, we will continually improve the software and will also create MLM Wallet for all modern platforms (Windows, Mac OS, Linux, ios, Android). The results of the testing will be continually updated and published also the preparation for holding ICO will take place. ICO Stage: Approximate dates: December 2017 January Duration: Five weeks. At this stage, the entire world community will be offered the option of purchasing MLM Coin tokens with a bonus of 0% to 20% per week. The "Bounty" will be offered to active members of the team who were involved in the compilation and conduction of the advertising company, as well as in increasing level of public awareness of our ICO. Launching of MLM Coin network: Start: 3 months after the ICO (possibly immediately). Approximate dates: February 2018 end of April At this stage, it is important to completely develop all the software needed to run the network: o o o o o Contracts. A platform that allows you to create contracts and an auto-executed marketing plan. Voting. A platform that allows to create any voting, including voting for the execution of a procedure (for example, "denomination" or modification of the main contract). Development and launching of "MLM Coin-Merchant" in different programming languages for the eventual integration into the on-line stores and private personal cabinets of MLM companies. This software makes it easy to integrate the personal cabinets of MLM companies with the MLM coin platform. Launching Test Net Alfa (one month before the main network starts). Launching of the main MLM Coin network. Development and launching of "MLM Coin Exchange": Approximate dates: second quarter of 2018.

15 At this stage, we will develop, legalize, and launch our own Share Exchange, where all the cryptoshares of the MLM companies are traded. Partnership area: MLM Coin has a wide range of partnership opportunities for those who show interest in the Possibility to become a member of our MLM Coin Community Joining the project as an expert. During the whole project people with profound knowledge and experience in various fields (whether it s jurisprudence, marketing design or something else) will be very useful for MLM. You can become a partner and get bonuses for the help in promoting, advertising the project, etc. For the moment the amount of bonuses is set personally. You can become a partner and get bonuses for involving investors in the project. The amount of bonuses is also set in person. You can become a delegate of the project. MLM Coin works on the consensus-algorithm DPoS (Delegated Proof of Stake). What does that mean? Selected delegates (a certain number of them) have a unique opportunity to multiply invested MLMC 5-6 times. You can also become an official developer. We are glad to welcome developers and integrators in our community, which will have the access to developing of ordered contracts, personal cabinets of the network users, which will subsequently give delegates the opportunity to produce their own complex product.