Transfer Wise A Sustainable Disruptor Presented to Mr

Transfer. Wise A Sustainable Disruptor Presented to Mr Kaarmann and Mr Hinrikus Smurfit Digital Marketing Weiran He Geoff O’Brien Monika Ghita David Madiga n 1

Your challenge How must Transfer. Wise defend against the Blockchain threat and become the No. 1 FX remittance provider globally? 2

Our recommendations First Second Create a Digital Third Financial Hire key C-level Ecosystem executives in Hire Consensys (named “Argent”) Compliance and Blockchain IT Security Consulting to address Blockchain threat 3

Analysis Recommendation Implementation Geoff O’Brien Monika Ghita David Madigan AGENDA Weiran He 4

Analysis Recommendation Implementation Geoff O’Brien Monika Ghita David Madigan ANALYSIS 5

Banking Industry Global Outlook Existing Incumbent Banks own relationship with Customers High Cost to Serve Manufacturing Financial Services Existing banks retain major complex financial regulation and risk Lending & Deposit Taking ROE 4 -5% Customer Facing Financial Services Digital Banks Progressive Incumbents Low cost to serve High Digital capability ROE 15 -20% Banks are under threat but have a role in future

Competitive Analysis – January 2019 Transfer. Wis e Remittance Companies (e. g. Western Union) Commercial Banks Other Digital Banks (Revolut, Currency. Fai r) Good Medium Blockchain Price Trust Speed Coverage Convenience IT Systems Bad Transfer. Wise must continue to build customer volume

“Mc. Kinsey Disruptive Model” Profit Clear Detectabl e Inevitable New Normal Disruptor Transfer. Wise Profi t point Incumbe nt Time

Transfer. Wise Threats KYC, AML and compliance with International Sanctions Future Development of Blockchain capabilities Reliance on banks to provide liquidity Transfer. Wise well positioned but must address threats

Transfer. Wise Financials Transfer. Wise performing strongly versus Western Union

Analysis Recommendation Implementation Geoff O’Brien Monika Ghita David Madigan RECOMMENDATION 11

Your Questions Feasibility Will you, Transfer. Wise, be able to accomplish your mission? Yes Will Transfer. Wise be able to replace incumbent banks in the mainstream remittance market? Yes Will banks remain Transfer. Wise’s long-term strategic partners? Yes Will Transfer. Wise create a sustainable business model? Yes (but not alone) Following our recommendations Transfer. Wise will not be disrupted by Blockchain technology 12

Alternative strategies 1. Buy/Partner with a Blockchain company Technology is not capable to handle high volume transactions. 2. Create a Digital Financial Ecosystem Partnerships are necessary to create a holistic ecosystem. 3. Partner with Western Union Difficult to attain because WU is a direct competitor. 13

Alternative strategies Buy / Partner with a Blockchain Company Create a Digital Financial Ecosystem Partner with Western Union Is it consistent with mission, vision and values? Does it address competitive threat? Does it help drive increased revenues? Is it an optional customer solution? What is the size of the opportunity? Good Medium Bad Creation of a Digital Financial Ecosystem is the best option for sustainable growth 14

Recommendations 1. Create a Digital Financial Ecosystem (called “Argent”) • Application development ($2. 5 m development + $1 m annually thereafter) • Dashboard based app hosted in AWS • APIs from partner providers will developed by each partner • Partnership negotiations • N 26, Degiro, Nutmeg, Trussle, Funding. Circle, Zopa 2. Hire key C-level executives in Compliance and IT Security 3. • Head of Compliance from the NY Fed ($200 k + equity) • Chief Information & Security Officer from Pay. Pal ($175 k + Hire equity) Consensys to address Blockchain threat • Consultancy engagement fee ($240 k annually) • Global Ethereum blockchain expert with offices in New Jersey, Dublin and Hong Kong 15

Argent: The Digital Financial Ecosystem Zopa Transfer. Wi se Remittance PSD 2 EU Regulation P 2 P lending SME N 26 Funding Circle P 2 P Lending Personal Argent Online Bank Degiro Trussle Mortgage Broker Nutmeg Online Trading Investment & Pensions 16

Argent: The Digital Financial Ecosystem Bank Accounts Online Trading N 26 Current Account Investment & Pension Mortgage Remittance P 2 P Lending 17

Argent: The Digital Financial Ecosystem My Bank Accounts Current Lloyds Savings 1, 000 HSBC 2, 000 Barclays 3, 000 18

Argent: The Digital Financial Ecosystem Degiro – Online Trading Equities ETFs Index Funds Buy Sell AAPL 1, 000 $180 1, 000 $181 JPM 1, 000 $30 KO 1, 000 $48 19

Analysis Recommendation Implementation Geoff O’Brien Monika Ghita David Madigan IMPLEMENTATION 20

Implementation Timeline Phase 1 Argent Rollout Partnership agreement Personnel Hire CISO and Head of Complianc e Blockchain Appoint Consensys Platform Developmen t Phase 2 Platform Rollout Acquisition / partnership? US Financial Ecosystem Partnership agreement 2019 2020 2021 Platform Developmen t Platform Rollout 2022

Financial Projections Implies a valuation of $13 bn based on 6 x 2023 Net Income

Risks and contingencies Risks 1 Difficulty sourcing ecosystem partners 2 Blockchain advanced quicker than expected Contingencies Explore other options e. g (Trussle -> Habito, Degiro -> Schroders) Constantly monitoring Blockchain market via Consensus engagement. Options include: • Acquisition • Blockchain partnership • In-house Blockchain development 3 International AML and Compliance Issues Hire a head of compliance from the NY Fed offering competitive salary ($210 k), share options and relocation package • 3 Additional compliance staff 4 Security and System Resilience Hire a chief information and security officer from Paypal costing $175 k A variety of risks have been considered with appropriate contingencies

Transfer. Wise No. 1 FX Remittence Provider globally Smurfit Digital Marketing Weiran He Geoff O’Brien Monika Ghita David Madiga n 24