RealStew - Online's Next Best Thing

1. ONLINE’S NEXT BIG THING? Paddy Delaney says RealStew is the people‟s platform - a Capital Collaborative Model. RealStew provides solutions worth buying, but, in a tactic scarcely believable in modern society, chooses to share the money with its users. In this one-to-one interview the RealStew founder answers some big questions - like, are you crazy passing up on a potential goldmine and, seriously, what‟s in it for me? What’s RealStew going to do for its users? The simple answer is „solve a problem‟. We are an online solutions company which believes we have nailed the proposition: „how do we communicate more efficiently and effectively?‟ Firstly, for free we provide users with a great dashboard to assimilate their contact book, chat and social media into one hub. There is no more multiple log-INS; the world is at your fingertips from one screen on a computer or mobile device. Secondly, we allow users to customize their dashboard with tools from an in-built Apps Library. The first available apps are a blog and a custom website, but they are just the advance guard in a veritable army of apps. Soon, users will be able to play games, utilize the cloud storage, find a mentor or a date, buy auction items, find customers, generate qualified leads, raise capital, establish an online booking system, trade shares, lend, borrow...anything! If users enjoy and use the platform they can activate a digital wallet and share in RealStew‟s success because 54% of all revenue will be shared with users to thank them for their business, create positive word-of-mouth and generate more business. Where does RealStew’s revenue come from? RealStew Connect is focused on three core elements - communication, knowledge aggregation and opening a financial portal (called RealCoin). Revenue at the moment is chiefly generated from selling the tools in our Apps Library and from generated ads on our platform. So, for the time being, the money comes from people around the world buying services from us to solve a problem...but in the future it will be augmented by the aggregated knowledge

2. base allowing us to monetize eyeballs and the RealCoin gateway providing lending and currency conversion services. What is RealCoin? RealCoin is the name we have „coined‟ for our financial gateway. The best way to describe RealCoin is to picture it as a digital wallet that we automatically set up as soon as a RealStew „link‟ is created. Once a user activates the wallet, funds can be credited to the account as part of the RealStew affiliate program that shares 54% of its revenue with users. Why share such a large portion of RealStew’s revenue? In 2009 Farmville grew from zero to 100 million users in 12 months simply through a friend-get- friend system. We believe a similar referral method is the quickest and most effective way to build a network of like-minded people. The major difference with us, however, is that there is a tangible reward from RealStew - money. We choose to share our income in six degrees of separation to those opting to receive it. If they don‟t want the money, they don‟t have to activate their digital wallet, but every now and again we‟ll tell them how much money they missed out on just so they know RealStew works. To start receiving a share, all users have to do it is register and agree to pay tax. Don‟t agree to pay tax, don‟t share in the revenue. It‟s simple. Are you concerned people will view you as some type of pyramid scheme? We‟re not! Our revenue comes from selling solutions people want to buy. We don‟t want all of it, we don‟t need all of it...so we‟re doing the decent thing and returning a portion to the users who are helping us grow. You don‟t have to sell anything, you don‟t even have to buy anything - just through using the basic platform you will earn money. If you‟re unsure about it, please don‟t take it. That‟s fine. You‟re under no obligation. People cotton on to what RealStew‟s about at different times, it‟s not a biggie. It will work as a slow burn or as a viral tsunami - there‟s no problem either way. The former means pioneers in New Zealand get first crack; the latter means instant scale, more revenue...and very happy early adopters! What way will this impact New Zealand? There are two major reasons New Zealand will be the centre of the RealStew world - firstly, the RealCoin dollar is benchmarked to the Kiwi dollar and, secondly, so many connections will have their origins here.

3. Every time anyone in the world starts buying services from RealStew the money flows through to the centre through six degrees of separation. Mathematically it means that within a period of time 4.3 million people are being serviced by the consumption of everything possible around the world. One of our business goals is to make WINZ redundant. We want the money currently being received by those on welfare to be eclipsed by what they would get from moderate use of RealStew. Once it gets the first few people off benefits and the word gets out, it will avalanche. When the new success stories get asked how they did it, it‟ll be “It‟s crazy...all I did was communicate on this platform called RealStew, which allows me to do what I naturally do in chatting with people, sharing my thoughts and using apps.” Imagine the effects of the Government saving billions on WINZ because everyone has money; more ice creams would be sold so GST would go up; there would be too much tax coming in so taxes would be reduced, which would, in turn, attract people from around the globe wanting to live here, consumption rates would continue to rise...and so on. RealStew works irrespective of the money. But it will also work because of the money. Because it offers solutions. I have no doubt there will be a tipping point. And when that happens every single person in New Zealand will start connecting their friends up and the whole thing will go ballistic. Yes, there‟s a social side to RealStew; there‟s hope we can be an agent for social change, but the hope has come about because we are a Capital Collaborative Model, not a social collaborative model. We provide a capital solution that people are prepared to buy and we collaborate with each other and the collaboration drives more people wanting to buy solutions from us. So governments, as well as users, will love RealStew? Governments won‟t complain - more tax, less welfare equals big opportunities to spend wisely. What sort of revenue are you projecting? We don‟t want to get too far ahead of ourselves. We have to get our delivery right, impress the early adopters and learn the lessons of being a market leader. But it‟s fair to say we built the platform on a grand scale to cope with a tsunami of people creating a tidal wave of support. And that‟s what we‟re working towards.

4. How is tax treated on income received? RealStew follows the principle of “Give unto Caesar that which belongs to Caesar” and a withholding tax (or GST / VAT / Federal / State tax) will be deducted from the aggregated total (net of deductions / expenses) of distributed funds at the end of each month and paid to the appropriate tax authorities with the balance then transferred to the respective currency of the Ledger Accounts of the user. Are there any costs to the user of operating the digital wallet? No hard costs whatsoever. Transaction fees are deducted from a positive balance, so, in essence, users are just contributing a portion of their „gifted‟ income to pay for accounting and management costs. Being truly transparent, can you itemise the RealStew deductions? Let‟s say you have earned $1000 a month in ten different currencies: * $1 is taken off each currency as a ledger fee, so that‟s $10 *$5 is used to drive RealCoin, which is our online accounting system that enables us to manage all the transactions, including currency conversion *$15 covers the operating and management costs of RealStew and contributes to the technical development and support of the platform *$25 is deployed to purchase RealStew Credits, with the credits able to be used at any time to cover application fees, and *from the then collective total the next $ 50 is credited to venture capital funds to grow the business and generate more revenue (a “sow, so you shall reap” approach) The balance of the money is the user‟s to with as they want. Our expenses are low because our costs are all variable costs - they rise or fall with the revenue generated. The only fixed costs are programmers, which are $5 of the $15 we take for our expenses and overheads...so, in essence, there are no fixed costs. How do you draw the money out? A user can transfer money, in other words „make a payment‟, from their RealCoin wallet to any other RealStew user in any nominated currency and without any transaction charge to any party. The user can also withdraw money from the wallet via the PayPal gateway to any credit or debit card. The only proviso is that the user has to have a minimum of $100 to enact a withdrawal and they account for the PayPal charges. It will be a simple process - you go to a screen called “Draw Your Money Out”. It‟ll have money sitting in all the different currencies, you‟ll say I want to convert to New Zealand dollars, you

5. select the currency you wish to draw the money from (pounds, Euros or whatever), state the amount you want to withdraw, it will calculate the exchange rate, tell you what the figure is and, click, it deposits the RealStew funds into your bank account. Once we have a kiosk network cash will also be able to be withdrawn from ATMs. Where does the money sit? The 54% we are giving to our users is deposited with a custodial bank, as opposed to a transactional bank. The requirements to be with a custodial bank include the need to know who the person is, if they‟re a tax-payer and whether they‟re legitimate...which are the conditions under which we give you the money. So if you don‟t allow us to pay tax on it, we can‟t keep it with a custodial bank. RealStew utilises the interest on the funds, but it‟s sitting in the collective on behalf of all the clients. We can‟t touch the money because it‟s not our money. And you’re happy to lend that money? We‟re happy to encourage investment and entrepreneurship, or a spot of retail therapy. We pay 54% back to our users and a further 35% is deposited with the custodial bank in anticipation you‟ll want to borrow money at some stage. You can borrow 36 times 50% of your passive income from RealStew based on your track record. That‟s no different to when you borrow from a bank, it‟s all based on your ability to pay it back. We don‟t need a banking license because we‟re not a deposit taking institution. We are only lending money that is already with us and we‟re happy to lend at 1% per annum because we know how much users are good for based on the income we‟re directing to their digital wallet. Another interesting aspect is that the knowledge aggregation can lead to very specific, targeted opportunities. When we launch an auction app, we‟ll be able to match buyers and sellers according to their conversations. And if you create an online shop using our app we‟ll lend money to your customers to buy from you. And this has all come about because we‟ve provided a solution that‟s earned money and we‟re creating more opportunities through sharing that money. If 54% of revenue goes back to the people, where does the other 46% go - to investors? Our company, RealStew Connect, divides its income this way: *54% we share via the electronic wallet as part of our affiliate program *5% we invest in an application called RealVoice *6% is paid to the staff on the ground, which is our cost of doing business *the balance of 35% goes into the fund that we have ready to lend to people, which is an asset of the overall company and is managed by RealCoin

6. What is the potential value of RealStew? With 600 million shares in issue and the shares currently trading and being placed at 10 cents a share, RealStew has a market value of $60 million. We have a clear business model and a solid management team overseeing proprietary IP. Once traction in the model occurs and the RealCoin gateway is established it is not unreasonable to believe that RealStew Connect will secure a value many times a multiple of what it currently is now. What is your personal shareholding? I‟m not materialistic, I‟ve only got 1.9% of shares in the company. I‟m not motivated by the money, I respond to the challenge; people saying “you can‟t do that”. Well, we have done it and it‟s pretty cool. I‟m immensely proud of RealStew and the team that has made it a reality. Are you online’s next big thing? Others think we are. We‟ve created something pretty special, with several world-firsts and several pending patents, including the RealCoin gateway. One of the world‟s great business incubators is banking on us and United Kingdom Trade and Industry has invited us to manage RealCoin from London with a view to listing on the UK Stock Exchange. They are providing tax incentives, subsidizing premises, opening doors, sharing contacts and smoothing the way for us to make an impact and create jobs in the UK. Look at it this way - we‟ve been honed by the ICEHOUSE, we‟ve been enticed to London by a respected spotter of business talent, we‟ve made money and a heap of connections during our testing phase, we have a validated reason for people to buy from us and we have a mathematical formula for giving that money back to an ever-growing tribe. Look at us and you‟re going to think this is a madhouse or it‟s ingenious. But you‟ll always be afraid to dismiss it out of hand because it just might work. And if it does, the world‟s changed.