Executive Summary

OVERALL REACTION TO THE AGX CURRENCY CONCEPT & WRITTEN CONCEPT GUIDELINES

▪ Overall, AGX currency has potential among these target consumers. After reading the written concept description, they are intrigued and compelled by the concept and many would like to find out more. ▪ That said, their enthusiasm for this new currency is mitigated by a lack of understanding about cryptocurrencies and how they work. As such, consumers must have a basic understanding of cryptocurrencies and related concepts (e.g., blockchain) before they will be willing to adopt this new currency. In particular, consumers want more information on the practical application and usage of

AGX currency, including how they would use it (channels), where they could use it, and how widely accepted it would be. ▪ The most compelling feature of AGX currency is that it is an asset-backed currency. Consumers believe that asset-backed cryptocurrencies are less volatile and boast a more stable value than other cryptocurrencies (however, this benefit must be properly explained to them). ▪ The most significant barrier to trial for AGX currency is safety and security concerns. Consumers’ lack of understanding of cryptocurrencies are further confounded by a lack of history and proven track record for AGX currency. They need to know that this alternative currency is a tried-and-tested, safe and secure mode of exchange.

Given these questions and concerns, AGX should consider the following Written Concept Guidelines in future marketing:

▪ Use simple and easy-to-understand language about cryptocurrencies and related concepts (e.g., blockchain); otherwise, the many benefits of this alternative currency are lost on consumers. ▪ Outline the safety and security measures that are in place (and inherent to cryptocurrencies) in order to assure consumers that their money would be safe. ▪ Emphasize that AGX is backed by silver reserves and, as such, is more stable and less volatile relative to other cryptocurrencies (i.e., non-asset-backed cryptocurrencies). ▪ Present evidence ofsolid financial performance to build consumer trust in AGX’s track record. ▪ Outline where and how AGX can be used and what consumers can purchase using this currency (including available payment methods and purchase outlets as well as account management information). ▪ Communicate the unique benefits of AGX currency beyond what is offered by other financial institutions, services and products (“Why should I use AGX over the payment methods I use now?”). For example, no exchange rates or wire transfer fees.

EXECUTIVE SUMMARY

EVALUATION OF WRITTEN MATERIALS

AGX CONCEPT DESCRIPTION

While there are a number of compelling hot buttons for the written AGX concept that should be highlighted in future marketing materials, there are also some negative triggers that should be avoided.

COMPELLING HOT BUTTONS

Accessible and easy to use Secure, private, transparent and verifiable Backed by actual silver reserves Without exorbitant fees Permanently notarized Practical use information (e.g., prepaid cards, mobile app)

NEGATIVE TRIGGERS

Negative wording (e.g., “destabilization, ”erosion of the middle class,” “constant dilution,” “places like Mexico”) Irrelevant information AGX as a crowdfunded monetary system (sounds unstable) Blockchain concept confusion Lack of restrictive regulations or control

AGX PHRASES

Reflecting the different needs and expectations for AGX currency among the three different groups of consumers, each group generally preferred a different phrase based on the perceived benefit they derived from it. #1 for Younger Consumers With You In Mind –From buying a coffee to buying a home, AGX allows you to take financial control, and empowers you to live your life, your way. PERCEIVED BENEFIT: Practical Application #1 for Older Consumers Without Compromise –We use worldclass cryptography to protect your money on the back-end, so you can enjoy AGX without worry on the front-end. PERCEVIED BENEFIT: Safetyand Security #1 for Ethnic Consumers A Global Community –AGX is part of a global initiative to create a more honest payment system by people like you in over 95 different countries. PERCEIVED BENEFIT: Seamless Global Capabilities

AGX TAGLINES

Similarly, each group generally preferred a different tagline based on the perceived benefit they derived from it.

#1 for Younger Consumers Free Your Money PERCEIVED BENEFIT: Flexibility and Control

#1 for Older and Ethnic Consumers Modern Money for a Global Community PERCEIVED BENEFIT: Global and Innovative

EXECUTIVE SUMMARY

EVALUATION OF VISUAL MATERIALS

Overall, Booklet C is preferred over Booklet W, especially among Younger Consumers and Ethnic Consumers. This Booklet scores well on overall appeal and desire to find out more but has room to improve with respect to fit with written description, uniqueness, personal relevance and future consideration. Meanwhile, Booklet W does not perform as well as Booklet C on most counts. Its biggest challenges center on a lack of fit with the written description and limited personal relevance.

BOOKLET C

BOOKLET W

Booklet C conveys a young and modern brand image. The lifestyle photography makes the product more relatable and consumers really like how the visual imagery shows them how the product

could be used.

That said, consumers find the booklet to be overly fun and youthful –resulting in concerns ofcompetence –and not veryunique.

Booklet W conveys a simple, clean and bold brand image. These consumers really dislike the hummingbird as a brand symbol and don’t see a link with the AGX brand. As well, they find the color scheme to be too dark and scary and lacking uniqueness. The absence of practical usage imagery is also a significant downfall.

ADDITIONAL LEARNING

AGX PAY BOOKLET While not formally evaluated, certain elements of this Booklet are worth noting:

Hummingbird in context –The imagery of the hummingbird shown in combination with text such as “Freedom” and “Fast” helped these consumers to understand the relevance and symbolism of the hummingbird as a brand symbol Practical usage –the imagery (e.g., payment with phone on cover page, AGX Pay card) demonstrates how the currency would be used in practice

BREAK-UP BOOKLET

While not formally evaluated, certain elements of this Booklet are worth noting:

Relatable concept –most of these consumers can relate to the concept of “breaking up with your bank” as many are currently dissatisfied with their primary financial institution Negative wording –many don’t want to associate their financial institution with controversial wording, such as “cheating” or “breaking up”

EXECUTIVE SUMMARY

AGX VISUAL IDENTITY GUIDELINES

Moving forward, LODE may want to consider the following visual identity guidelines for the AGX brand in future marketing and promotional efforts:

▪ Get the balance right between fun and approachable versus serious and professional. Consumers like a simple, clean and bold design (ideally with a white versus black background) because it communicates credibility, competence and security. While bright colours connote a fun and youthful image (and makes the brand more approachable), going too far in this direction detracts from perceptions of competence (instead, rely on lifestyle photography to dial-up the youthful edge). At the same time, darker colours (like black and navy) connote an overly serious and rigid image (like the big banks). Finally, while fun and irreverent imagery and text (like the Break-Up Booklet) can initially spark consumer curiosity, the immediate appeal can quickly dissipate into questions about integrity and competence. ▪ Use lifestyle photography that features practical usage scenarios that consumers can easily relate to. Lifestyle imagery boosts perceptions of relevance and helps consumers envision how and where they can use AGX currency –it immediately brings

AGX currency to life for them and they can envision themselves using it in the future. However, ensure a diversity of consumers in the photos (in terms of age, race, gender) and avoid stereotypical scenarios (e.g., a man waiting for his girlfriend to buy shoes).

Feature images and icons that are clearly related to the AGX brand. Consumers are very confused by the hummingbird imagery. However, once they see it in the context of the AGX Pay Booklet (e.g., escaping from a cage to connote “freedom”), it makes more sense to them. As such, should AGX continue to use the hummingbird imagery moving forward, a clear link must be made between the AGX brand and the benefits that the hummingbird represents (fast, free, agile). Similarly, any other brand icon must have some identifiable link to the AGX brand. Since this is a new and challenging concept for many consumers, they do not want the additional work of trying to understand the brand identity on top of the concept itself.

Headline the key consumer benefits. The AGX Pay Booklet does a good job at clearly communicating the key benefits that consumers value in a cryptocurrency –Fast, Secure, Simple, Freedom, Global. These are clearly visible as headlines and are accompanied by simple and easy-to-understand supporting text. Show them the money. Consumers love seeing the actual AGX Coin in the AGX Pay Booklet –it is tangible evidence of somewhat vague and confusing concept, which is reassuring to them. As such, incorporate AGX Coin imagery wherever relevant.