Thank you very much everyone for attending our conference call today. We are excited to launch Gen2 Technologies into 2021 and value the support of our shareholders.
The items on today’s agenda are:
* Uplisting to OTCQB
* Plans for 3:1 forward split
* Positive momentum on Iris Network
* Policy and current discussions on strategic and operational collaboration * Plans for communications improvement – including new website
* Status of name and ticker change
* Blockchain imagery and formatting (Blockstone) business
* eKYC (Fintellus) business
* Tying up loose ends and setting the record straight on the past and the future – policy and dedication to shareholder value and building a $100m+ business
Mr. Michael Kovacocy CEO
A priority for us has been to “regularize” the capital markets profile of what was, in all honesty, a very impaired and poorly performing company. When I began working with Daniel just over a year ago, it was clear that his attempts to turn around the company required not only operational improvements but also capital market profile improvements. First and foremost, the company required proper liquidity for institutional shareholders in order to bring on longer term capital – especially on good terms. Key to this would be uplisting. It is therefore our intent to uplist within the next six weeks to the OTCQB. This will be a milestone moment for the company. Our goal is to eventually trade on the Nasdaq SM within two years.
Further on the liquidity front, we plan to do a 3 for 1 forward split after our name and ticker changes have been approved by Finra. Our current authorized share count is 5 million, and after the 3 for 1 forward split and accounting also for any issuances of
shares via offering or private financings, we now expect to end the year with an outstanding share count of 2.8m-3.3m, inclusive of the 3 for 1 split. We will not adjust the 5m authorised figure higher to adjust for the 3 for 1 split. It will remain at 5m. We want to keep a tight float and run a lean ship and encourage long term investors to join us.
Mr. Daniel Serruya COO, Head of Sales Iris Media Network
There have been a number of positive developments on our Iris Network. To recap, we are developing the Iris Media Network to be a new and unique content distribution ecosystem whereby producers of content and consumers create a dynamic and interactive marketplace. This is made possible through our proprietary Iris Camera System, our micro-body, lightweight action cameras that allow sports fans to watch their heroes from impressive perspectives that do not exist today. Sports athletes can also take the cameras into their daily activities to further engage with their fans on the
Network. We have started to market our platform to content providers across US collegiate and professional sports and in the UK with a concentrated effort aimed at English Premier League, which has a global reach and strong global following. We envision our initial rollout to begin between Q3 and Q4 2021. Along with our Iris Media Platform, we are creating a novel Token instrument, which will provide consumers with an innovative payment method to start. We believe this will be embraced by the millennial target market, which we are looking at as early adopters of our service. This Utility Token also represents a non-dilutive means of raising capital to finance the development costs for the Iris Media Network, which will be booked as pre-paid revenue on the balance sheet. The Token is not a security instrument and additional information can be found in our whitepaper, which is available on our website www.brkgen2.com.
Our immediate goals are to continue to attract collegiate and professional sports and also to expand our content producers to include individual athletes. We are also currently in discussions with a handful of extreme athletes who are looking to join our Iris Media Network to start building out this initiative. We see this as an even greater opportunity to amplify the social media aspect of our Iris Media Network by connecting the athletes with their fans. Look to our future announcements for updates on our Iris Media Network.
|Mr. Michael Kovacocy, CEO Policy and current discussions on strategic and operational collaboration As discussed by Daniel, we are making tremendous progress on pushing our Iris Media Network via hard work and smart collaboration. Our view is that where possible, we will avoid risking shareholder capital unnecessarily, and will work with partners to “share the load” and collaborate to achieve our goals of delivering market beating increases in|
|shareholder value. Already we see that our market capitalization has increased from less than $500k just over 12 months ago to now over $4m. We intend to continue this momentum whilst deleveraging and being extremely careful with capital allocation. A good example can be seen in our Iris Digital Token. The Iris Token will be key to gaining mindshare and adoption amongst the new digitally savvy consumers of content. But just as importantly, the token provides non-dilutive financing for the production of our Iris cameras. In essence, when we build through monies obtained from the token, that is money that has not been raised through dilutive offerings nor taken from our shareholders, so to speak. We view this as good management of capital on an operational and strategic basis, and this is only made possible through the strong collaborative relationships we have developed with external parties. Whatever we do, we do it with two things in mind – to utilize our capital properly and wisely and to develop the best offerings and user experiences so as to deliver long-term superior increases in shareholder value. It is also worth noting that through one of our strategic partners, we are looking to potentially be included in a competitive bid being tendered to a first-world|
|governmental agency. This bid would, in essence, see Iris miniature cameras being included in a government and nation-wide initiative and if successful would see a large bulk order for our cameras that would be paid with government monies. This is in line with our approach on being smart with shareholder money and not building inventories out of dilutive financings, but rather building cameras with money that has come through non-dilutive sources and for actual contract and profitable requirements. If we are to land this opportunity through our strategic relationship, it will result in material revenue and profitability for the company as a whole. This is the kind of business we want to run. A real business with real partners that help us meet our commitment to shareholder value.|
|Now all of this progress is for naught if we can not share it with the markets properly. Therefore, we will be launching a new and vastly improved website once Finra has approved our name and ticker symbol changes. To be frank – it is not worth shareholder money to redo the website now for what in our view is a soon to be replaced ticker and a ticker with baggage at that. But once we get the Finra approval, we will be putting the word out there in a major way, and starting with a great website. As for the name and ticker change – there has been an unusual delay for many companies this past fall with regards to such requests being fulfilled. We have also continued to be in contact with the regulatory bodies and interacted in what is a normal manner for such requests. We believe that the new ticker and name change approval are imminent and look forward to this transformative event. We wanted to share a bit with you about two subsidiaries, Blockstone and Fintellus, which we are setting up and which will be commericalizing our own proprietary IP. The IP leverages the benefits of blockchain technology, and we believe the businesses each have substantial potential. eKYC for instance, which is what Fintellus will target, is in our opinion a massive market and a nine figure opportunity for us. We have already begun to have discussions with various Fintech players about how we could help them with our upcoming eKYC technology. Crypto OTC brokers are one very interesting application,|
|where KYC is a big issue, where regulatory requirements and the need for counterparties come up against the opposite current amongst those participating in the trades. Our eKYC approach can help bridge these issues. Furthermore, we believe that as the gold standard of KYC – F2F – diminishes as a result of continued digitalization and the acceleration of digital brought on by the pandemic, we would like to position our technology at the forefront of the battle for standardization of eKYC – which is wide open. We are looking with keen interest at initiatives in Europe for EU promulgation of standards in this area. A quick rundown of the Blockstone and Fintellus businesses in bullet point approach: Blockstone:|
|• Content Repository – Hybrid centralized and decentralized design with a distributed centralizedcore that provides a simplified means to serialize and verify transactions in a secured shared global memory model with public transparency of transactions on the blockchain • Secure Digital Media (SDM) format – blockchain-based encoding format, licensable to camera and mobile device manufacturers, providing a secured at source guarantee of authenticity to thwart the creation of “deep fakes”; and meets evidentiary requirements in legal proceedings • Content Delivery Platform – supports Fintellus identify services and Gen2 streaming services, as well as secured personal storage services on a high-speed distributed computing platform|
|• Secured Network – the distributed overlay network has no visible IP addresses and anonymous routing making it challenging to track network activity and disrupt the operation of the specialized distributed storage, streaming, and computation nodes with the stored information distributed as encrypted fragments of files on multiple nodes permitting the rapid recall of information from many nodes simultaneously|
• Monitored and Regulated – many cryptocurrencies and storage systems have no centralized control or regulation of anonymous users and actions, while with Blockstone, activities are tightly controlled and monitored on a fully distributed system, providing the benefits of decentralized systems and centralized systems in a unique hybrid platform Fintellus:
• Secure and verifiable identity passports – once verified, the user can easily connect to businesses and other users without needing to be repeatedly verified
• Personal vault – securely store personal information, records, IDs, verifications and create passports that share selected information with others, such as a Covid-19 Vaccination Passport
• Direct connection to validating organizations – government services, credit rating agencies, and similar validating organizations can connect directly to the system to provide original source level validation of users
• eKYC & AML – pre-verified users, authenticated by issuing organizations, AML regulation compliance, create a one identity framework that streamlines your interactions
• Business Process Management – service providers can utilize integrated business process workflows to direct the identity validation and AML regulatory processes To finish up, let’s talk about tying up loose ends, setting the record straight on the past and the future, and dedication to shareholder value – building a $100m+ business… I came on to help Daniel who was trying to clean up a really difficult situation which was not of his doing. Together we have already achieved so much. And it is not just us, it is our team, Gary and Rick also, and our loyal shareholders. There has been a lot of complaining from various corners – and to a large degree, justifiably so. Historical performance for years had been very poor. The company was in a precarious state. And the emphasis was still on trying to fight for the past. Well that is changing. We did not do so much work to remain mired in a battle to try to make money off of Refcam – which is dead in any case and not something we do business in. We are not going to turn off real
|investors who are excited by our future and make them go to our competitors with their capital and connections because we want to prove a silly point and win a lawsuit that could be years away from delivering any proceeds and could cause further damage due to the nature of the litigation and parties involved. We decided to break free of that trap – which would be a money trap for shareholders also. We are not here to simply collect salaries and offer daytraders shares trading in the trips with a lottery ticket type payoff if some lawsuit goes our way in several years. We are not a casino. If someone wants that, then go elsewhere. At one point the lawsuit made sense pursuing, but as we started to have real success in turning the company around and delivering a future operational vision, it became very clear that we needed to get even more to work on running the real operational business and setting up sustainable value creating businesses for shareholders going forward. We do not have infinite resources, we needed to make a choice, and we chose the future and shareholder value. Everything we do is meant to create shareholder value. That is what I personally am committed to. We say our goal is $100m+ market cap, but that is simply because we are only a $4m market cap company now, and if I said a larger goal, people would think we were out of our minds. But in all seriousness, some of the businesses we are looking at – Iris Media Network, eKYC, etc. are all potentially billion dollar businesses with enough time, commitment, capital, luck, and hard work. So the sky is the limit here when we are starting from ground zero. We went from $200k to $4m market cap in a year, come join us for the next leg up, which god willing our hard work, our partners, our loyal shareholders and a bit of luck will deliver. Thanks for having given us an opportunity to share our message with you. Thank you for allocating your busy time towards us. We appreciate it. Have a great weekend, and in this time of pandemic, may you and your families stay safe.|
|BRK Inc./Gen2 Technologies Inc. (OTC PINK: BRKK), The foregoing contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are intended to be covered by the safe harbor provisions of the federal securities laws. Forward-looking statements often contain words such as “will,” “anticipate,” “believe,” “plan,” “estimate,” “expect,” “intend,” “is targeting,” “may,” “should,” ”poised,” and other similar words or expressions. Forward- looking statements are made based upon management’s current expectations and beliefs and are not guarantees of future performance. Our actual business, financial condition or results of operations may differ materially from those suggested by forward-looking statements as a result of risks and uncertainties which include, among others, those described in any of our other filings with the SEC. In addition, such statements could be affected by risks and uncertainties related to: (i) commercialization of our newly- acquired helmet camera, (ii) continuing development and protection of our intellectual property, (iii) unexpected industry competition, (iv) the need to raise capital to meet business requirements, and (v) our ability to sell our products in order to generate revenues. Forward-Looking Statements are pertinent only as of the date on which they are made, and the company undertakes no obligation to update or revise any Forward-Looking Statements, whether as a result of new information, future developments or otherwise. Any future public statements or disclosures modifying any of the forward-looking statements contained in or accompanying this news release, will be deemed to supersede such statements in this|
news release. Information on BRK Inc.’s website, http://www.brkgen2.com does not constitute a part of this release.