VIRTUA COMMUNITY VOTE

OUR PROPOSAL

We are seeking to create a L1 blockchain that is ultra low cost, which supports microtransactions, focused on billions of entertainment consumers. A blockchain designed by us from the ground up, bringing together all the technologies we have built, to make sense for real world adoption. We will base our technology approach on our years of experience working with games, entertainment and brands. Our focus is on bringing billions of consumers to web3.

This will massively expand and upgrade the use of TVK to a native blockchain, with a much wider-encompassing mission. TVK will evolve to a new token with a new branded blockchain. We have already discussed the proposed changes with our existing and new brand, corporate and gaming partners and other key stakeholders - they are excited and ready to participate.

The wider web3 space is hugely focused on infrastructure products. TVK has the resources to compete and position against most of the top 100 assets, which are chains who are slowly developing. Virtua already has tooling, and a product suite suitable for its core audience and a large development team. We want to drive all this value back to TVK. Being an L1 chain is a key means to position what Virtua is for a more mainstream audience.

Our TVK community is the beating heart of Virtua - and this proposal seeks the community's support for this exciting new direction. This proposal is open for a vote for holders of TVK.

REASON FOR THIS PROPOSAL

Since 2018 Virtua has established itself as a key player in the web3 entertainment space. We have pioneered metaverse adoption, mixed reality, brand NFTs and partnerships with brands including Paramount, Legendary, Kevin Hart, CAA and many gaming brands. We have also been at the forefront of developing new products and tools which are already used within Virtua. We have created and pioneered metaverse spaces, XR, publishing tools, mobile apps, web3 games and marketplaces with TVK serving as a utility token.

The limitation of TVK has always been the growth of the metaverse sector, NFT adoption in general and the limitations of other chains.

Many of our partners and entertainment brands we have discussed with over the years want to create their own bespoke experiences, control their own customer journeys and then add metaverse and other upsells in a way that works for them, outside of being part of the Virtua platform. Similarly for our game partners, they are being pushed to use chains that don't necessarily work for them and deal with the associated friction. We want to address this with all the technologies we have developed.

Through our working with brands over many years, we have seen numerous issues and we want to address the challenges web3 adoption in entertainment faces. Our learnings working with brands over the last 5 years have shown us what are key friction points holding back adoption. Concerns are not limited to but include:

• Confusing tools
• High transaction costs
• Fragmented marketplaces and brand journeys
• Friction using wallets
• Environmental concerns

THE CORE TEAM

Jawad Ashraf

CEO

A technology innovation focused entrepreneur, over a period of 30 years. Led the technical transformation of the Entertainer Dubai, leading to a 100m USD exit. He has founded multiple businesses and has successfully exited each one. He has always worked on leading (bleeding) edge technology solutions, including Kidnap and Ransom, Anti Terrorism, Energy Trading, Mobile Gaming and Virtual Reality. Jawad has deep experience in mobile gaming and VR, AR and blockchain technologies. He is an award-winning speaker on web3 adoption and the metaverse. Co-founder of Virtua, one of the top gaming metaverse and NFT marketplaces in web3.

Gary Bracey

Chairman

A BAFTA-nominated Games industry veteran for 35+ years. From Head of Development of Ocean Software to the Founder of Digimask, Gary has an ability to identify and bring digital products to life. Having been involved in every transition of the videogames cycle, from home computer to console to mobile to VR, Bracey has demonstrated an ability to identify and bring to market successful games, not only for the Western territories but Asia also. Co-founder of Virtua, one of the top gaming metaverse and NFT marketplaces in web3.

Doug Dyer

COO

Doug has funded, started, and built successful companies, and been involved in the development and launch of over 100 games over his 25+ year career. He has also worked with the world's largest IPs and brand owners including Age of Empires, WWE, Warner Mobile and THQ. He has a broad background in digital, social, and mobile game publishing, business development, product development, blockchain/NFT development, licensing, and more

Ash Mohammed

CSO

Ash is a strategist with more than two decades of expertise with Fortune 500 companies. He is widely recognized for his proficiency in educating web2 brands about the opportunities of the metaverse and formulating their initiatives in web3 and has led many brand partnerships into web3 across sports, entertainment and music. Notable partnerships have included Kevin Hart, Shelby American, Paramount pictures, Legendary entertainment and more.

Anis Chohan

CTO

Anis Chohan is a seasoned Enterprise Solution Architect with a distinguished background in Digital Experience Platforms (DXP), notably Sitecore. His profound expertise has benefited global brands like HSBC, Stanley Black & Decker, Wacom, and ASOS. Beyond his work with these marquee names, Anis has also co-founded and helped launch several blockchain projects. He has since dedicated his full-time efforts to Virtua, where he serves as the Chief Technology Officer, steering the company's technological direction with precision and vision.

David Atkinson

Ecosystem Development

David is a renowned blockchain economy expert and has been an investor and founder with multiple exits. He is also known for being commercial director and one of the earliest team members of Holochain. David is also ex-COO of Mind Gym, a behavioral change consultancy with a market cap of £150m, helped it jump to a 3x revenue in his 4 years. Advised more than 50 businesses since 2017 in both western and eastern markets including DONG energy.

BENEFITS FOR TVK HOLDERS

Having a new layer 1 chain brings a host of benefits for TVK holders - it will move TVK from a metaverse utility token to a token which powers an entire blockchain with the Virtua metaverse, VGN games and our brand partners being our first adopters. This also positions TVK to be able to be able compete with web3’s top 100 which are all predominantly layer 1 technologies

This means that TVK (or the new L1 token) is no longer limited to people who only want to use Virtua products, they can build their own products with the technologies we have developed.

What Additional Features Would A New L1 Token Have Over TVK?

TVK holders will be able to use the new token to;

• Become a gas token, allowing TVK to reach mass distribution as all end-point corporate users would need some TVK at minimum to host nodes

• Get validator rewards

• Participate in votes

• Get staking rewards

• Core component for dApps

• Underpin the Virtua metaverse for trading, resource, crafting

• Liquidity Asset: trading of assets with the new token

So rather than TVK being a utility token for Virtua, the new token becomes the engine for an entire blockchain ecosystem.

Will There Be A Supply Increase?

There will be new tokens issued because a blockchain ecosystem is much wider. The new supply will be for validator rewards, development rewards and airdrops. There are no new team tokens. Additional tokens will essentially be distributed to holders as they will be offered as validator rewards.

We plan to expand token supply from the current 1.2 billion to 2.4 billion over a 20 year period to support this ecosystem growth. The additional supply would be unlocked over a 20-year period, with the supply of tokens growing at an average of 3.5% per year. This average rate is significantly lower than the inflation rate of many assets in the market.

The 20 year time horizon ensures there is huge room for growth in users to offset any supply pressures. These changes will support the long-term sustainability and growth of the ecosystem and the much broader mission. Distribution of tokens will be allocated as follows:

• 83% of the new tokens will be dedicated to validator rewards
• 13% to development rewards
• 4% to airdrops and other community incentives.
• No team tokens will be allocated

How Would A Token Swap Work?

The token swap will be 1 to 1 with $TVK to a new token. So if you hold 10,000 TVK you will receive 10,000 of the new token.

The token upgrade details, including supporting platforms and mechanics, will be shared if the proposal passes. TVK token holders will have ample time and options to upgrade their TVK if the vote passes.

Are Any Of Your Brand Partners Supporting This Change?

Yes, all our brand partners are excited to be able to build their own ecosystems and create new activations with our approach.

Why Are Brands Supporting This Direction?

An analogy of the current market situations for brands is like Nike launching their own sneakers but only selling them on eBay, or being forced to another platform for any type of web3 experience - they want to be able to control their customer journeys. We want to change this, allowing entertainment to connect with their audience in a way that works for them.

A blockchain which is also linked to a suite of solutions, provides a single point that deals with the multiple problems entertainment brands currently face. We have already discussed with many Fortune 500 corporations that are keen for the chain structure we aim to build, which is the first of its kind, with ease of use, low cost and green technology. Our approach is genuinely relevant to the needs of corporations with millions of customers each.

Does Anything Change In Virtua?

Virtua’s growth will become hugely accelerated!

Virtua running on the new chain will allow hyper low fees supporting microtransactions in games and resources. This will increase the growth of VGN (Virtua Games Network) and games acquisition. Virtua features such as resources and crafting will also move to being on-chain creating new exciting opportunities for trading.

Virtua will continue to expand its metaverse and gaming offerings under the umbrella of the new chain. Virtua will also act as a showcase for what can be done in the space with immersive technologies such as metaverse and will demonstrate how entertainment brands and games can reach new users.

NEXT STEPS

We want our community to be involved in this and to support the new direction. Any TVK holders who stake a minimum of 50,000 TVK can submit their vote on the voting portal when voting is live.

For the proposal to pass, the majority of the total votes cast by must be in favour of this proposal.

The voting process for this proposal is scheduled to open on 9th October and will run until 20th October. The more TVK you stake, the more votes you receive.

Regarding the token migration, more information will be shared about the specific details closer to the migration date.

We’ll be active within our Telegram and Discord communities leading up to vote. We are looking forward to the additional level of engagement in the community and are excited to see your ideas come to life within the new ecosystem!