A DIGITAL CURRENCYFOR SPORTS & ESPORTS,
ENTERTAINMENT PLATFORMS,
ADOPTABLE UNIVERSALLY ACROSSOTHER INDUSTRIES.
White Paper V2.3

2

PLEASE READ THIS DISCLAIMER SECTION CAREFULLY.
YOU SHOULD CONSULT YOUR OWN ADVISORS CONCERNING THE LEGAL, TAX, ECONOMIC, FINANCIAL AND OTHER ASPECTS ASSOCIATED WITH THE Chiliz TOKEN AND SOCIOS.COM PLATFORM

Disclaimer

The Chiliz token is classified as a ‘Virtual Financial Asset’ in terms of the applicable
Maltese ‘Virtual Financial Assets Act’ (Chapter 590 of the Laws of Malta) (the ‘VFAAct’) The Chiliz token does not possess any necessary characteristic required tobe considered a transferable security, money market instrument, unit in collective
investment schemes, a digital currency, commodity, security or any other form ofinvestment in any jurisdiction.
This white paper is compiled in accordance with the requirements and provisions of
the VFA Act and is in the process of being registered with the relevant competentauthority, the Malta Financial Services Authority. As at the date of this white paper,no other registrations, approvals or licensing requirements apply for the Chiliz token
in terms of applicable Maltese law.
This white paper does not constitute a prospectus or offering document and is not asolicitation for investment and does not constitute an offer of financial instruments,
securities to the public or a collective investment scheme. Any decision to purchase
Chiliz tokens shall be based on consideration of this white paper as a whole.
The Issuer reserves the right to (i) make changes to this white paper and any documents
linked to the Chiliz token and/or holding and use of Chiliz token to ensure compliancewith the applicable regulatory requirements and (ii) , do all that is necessary to
be in compliance with any regulatory requirements, including but not limited to,interrupting, suspending or ceasing the operations or trading of the Chiliz token if
deemed necessary at the Issuer’s sole discretion.
It is solely up to you to ensure that no prior or subsequent approval, notification,
registration or licence is needed or if such is needed, it is solely up to you to obtainsuch prior or subsequent approval, notification, registration or licence or require
any form in the country where you are a citizen, national, resident or having a similar
connecting factor, or incorporated, registered or effectively managed, and the Issuer
shall not in any way be liable for any non-conformity of the above by you.

The Chiliz tokens are not available to (i) a natural person being a citizen, national,
resident or having a similar connecting factor to; or (ii) a juridical person being
incorporated, registered or effectively managed and controlled from or within a country,
jurisdiction or territory where the private placement or the holding and use of the
Chiliz token and/or virtual currency or other tokens at any other moment in time isprohibited by laws, regulations or other practices and policies in the said country,
jurisdiction or territory, which is taken to include, but is not limited to the UnitedStates of America, or any other jurisdiction where the aforementioned are prohibited.
This white paper, the Chiliz tokens and/or the holding, use and trading of the Chiliz
token carries no rights, whether express or implied, other than for their use on theSocios.com platform and trading on cryptocurrency exchanges, Chiliz tokens do
not represent or confer any ownership right or stake, share or security or equivalentrights, intellectual property rights or any other form of participation relating to theIssuer. Chiliz tokens do not give you any entitlement to acquire any such interest or
entitlement in respect of the Issuer.
The administrator of the Issuer, as identified in the Considerations section of thiswhite paper, are the persons responsible for the information contained in this white
paper. To the best of the knowledge and belief of the administrators of the Issuer (whohave all taken reasonable care to ensure such is the case), the information containedin this white paper is in accordance with the facts and does not omit anything likely
to affect the import of such information. The administrators of the Issuer accept
responsibility accordingly.

3

ChilizTop Level Snapshot

VISIONTEAMLEGITIMACY• Give billions of sports &esports fans a currency to buy
direct voting power in theirfavorite organizations• 40+ Sports, esports andgaming industry experts• Developed in the E.U. (Malta)• Create a crowd management
platform for teams, leagues,
events and games acrossmultiple verticals• Take inspiration from Socios
team control models (used byteams like Real Madrid & FC
Barcelona)• Experienced in regulated
gaming, gaming tech & sportscentric business development
Advisory board:
Current and former leadersfrom Facebook, Google,
Playtech, Sina Sports, Fnatic,
Team Vitality, PokerStars,
InFront Sports & esports
influencers.

• Executed with the support of
the Maltese Government• Member of the EEA(Enterprise Ethereum Alliance)

4

ChilizTop Level Snapshot

MARKETSHAREHOLDERSPRIVATE PLACEMENT• Esports & videogames:• Top Chinese Venture Capital
firms:• Completed in 2nd half of2018

Ceyuan Ventures (Feng Bo)
H&S Financial Group• Currently utilizing the
ERC20 token standard• Business Leaders• $CHZ

Dr. Stanley Choi, Investor and
IPO Specialist (Hong Kong)• $66 million raised in private
token sale

Larger than Film + Music
industries combined, with 2017
market size of $108.9B andprojected to be $128.5B by
2020• Traditional sports:
The largest entertainment
industry globally, with a market
size topping $620B as early as2011 & net revenues topping$90B in 2017

Xavier Niel, French
Telecommunications Tycoon(France)
Donald Tang, Hedge FundManager (Hong Kong)

5

ChilizTop Level Snapshot

VIABLECONSUMER
DEMOGRAPHICS

Gaming and esports consumers
are young, well-educated,
relatively affluent and digitally
savvy. Their profile matches thatof early cryptocurrency adopters.
Furthermore together with sports

consumers, both demographics
have readily adopted digital voting/polling and other crowd-solutions asmeans of engagement with teams
and leagues.

A GAP IN CURRENTENGAGEMENT SERVICESSports and esports investment
exists. Chiliz fueled platofrms
mostly comes from media- specifically a Chiliz-powered,corporations, corporate sponsors
tokenized fan voting platform
and independent, wealthy financiers. such as Socios.com - fills this gap.
As such, the average fan has no
This affords fans some degree ofability to participate in decisiondecision making influence, while
making events for the organizations offering a new direct revenue stream
they follow, though this demand
for sports and esports organizations.

CHILIZ PIONEERS“FANS AS INFLUENCERS”
SOLUTIONS

Owning Chiliz tokens andexchanging them on Chilizpowered platforms like Socios.
com, fans can acquire voting rights
and the ability to participate indecisions and guidance for teams,

leagues, game titles and events.
It’s a solution scalable and flexible
enough to work across sports andesports ecosystems.

6Contents

Pg 7

Pg 16

Pg 19

Pg 22

01

CONSIDERATIONS

02

THE CHILIZ ECOSYSTEM

03

PROBLEM & SOLUTION

04 PLATFORM INTRODUCTION

1.1

Disclaimer, Risks & Definitions

2.1

What is the Chiliz/Socios.com

3.1

The Opportunity

4.1

An overview

1.2

Issuer Information

platform?

3.2

The Innovation

4.2

Fan decisions

13

KYC & AML

Why develop the Chiliz & the

4.3

Partner Flexibility

1.2

IP Rights & MIsc

Socios.com platform

4.4

Third parties

Pg 28

05

2.2

THE CHILIZ/SOCIOS.COM VISION
THROUGH 2020

06

5.1

First application

5.2
5.3

Pg 42

SOCIOS.COM PLATFORM:FEATURES

07

TECHNOLOGY & VALUES

7.1

Our values

6.1

VotingMilestones

6.2

Expansion Phases

6.3

Pg 45

09

Pg 36

Pg 32

08

FAN ENGAGEMENTTRANSACTIONAL MODEL

7.2 Auditability

8.1

Monetization

Fan Token Offerings

7.3 ETH Protocol & ERC20 Standard

8.2

Revenue for teams,

Buying & Selling Fan Tokens

7.4

Why Ethereum?

7.5

The platform at a glance

Pg 63

Pg 52

TEAM, ADVISORY& SHAREHOLDERS

Pg 67

AT-LAUNCH UTILITIES FOR THE$CHZ TOKEN

10

9.1

Socios.com

10.1 Team11.2 Funding allocation

9.2

Chiliz Blockchain Campus

10.2 Cornerstones

11.3 Token project Token Generation

10.3 Advisory
10.4 Shareholders

leagues & events

11

CHILIZ CROWD SALE

12

11.1

Distribution

12.1 Points of Contact

Event

CONTACT1

CONSIDERATIONS
1.1 Disclaimer, Risks & Definitions
1.2 Issuer Information
1.3 KYC & AML
1.4 IP Rights & MIsc. Service Providers

01 Considerations
Express Disclaimer:
The Socios.com Platform as well as the Fan Tokens fall outside the scope of thisWhite Paper – they are mentioned in this White Paper by way of reference only
and are strictly not regulated by the contents hereof.

1.1

Disclaimer& Risks

Risk Factors :The following is a non-exhaustive disclosure of principal risk factors which
are considered to be material by the Company in connection with the Private
Placement Event, and the acquisition, holding and/or use of Chiliz as well, to theextent rendered application, the use of the Socios.com Platform at any momentin time. Participants should consider these risk factors alongside all otherinformation provided in the White Paper and are advised to consult with their own
professional advisers (including their financial, accounting, legal, tax, technicalor other advisers and experts) before deciding to obtain Chiliz. In addition,
Participants should be aware that the risks described herein may combine andthus intensify one another.
The Company believes that the following risk factors may even affect its own
business, as well as the external valuation of Chiliz (which external valuation isbeyond the scope and purpose of the reason behind the Socios.com Platform andthe Company’s Business). Most of these risk factors are contingencies which may
or may not occur and the Company is not in a position to predict the likelihood ofsuch contingency occurring.
By acquiring, holding and using Chiliz, the Participant expressly acknowledges
and assumes the following risks:
General Suitability of token acquisition
The acquisition of Chiliz from the Company is only suitable for financiallysophisticated persons who are capable of evaluating the merits and risks of

8such an acquisition, or other persons who have been professionally advised withregard to token acquisition and who have sufficient financial resources to be able
to bear any losses that may arise therefrom (which may be equal to the wholeamount spent in connection with the token acquisition). Such an acquisition
should not be seen as an investment or a financial asset.
Risk of losing access to Chiliz due to loss of Private key/s, Custodial Error orParticipant Error
A Wallet is necessary to acquire, hold and dispose of Chiliz. The Participant
hereby understands that he is responsible for setting up the Wallet with a thirdparty provider to hold Chiliz and he is responsible for implementing reasonablemeasures for securing the Wallet. Accordingly, loss of requisite private key/s
associated with the Wallet holding Chiliz will result in loss of such Chiliz andany other cryptocurrencies and/or tokens held within. Moreover, any third party
that gains access to such private key/s, including by gaining access to login
credentials of the Wallet that the Participant uses, may be able to misappropriate
the Participant’s Chiliz. Any errors or malfunctions caused by or otherwise
related to the Wallet that the Participant chooses to receive and hold Chiliz
including the Participant’s own failure to properly maintain or use such wallet or
caused as a result of the choice of third party provider for the Wallet, may also
result in the loss of Chiliz Additionally, the Participant’s failure to follow precisely
the procedures set forth in the Terms for acquiring and receiving Chiliz including
but not limited to, the provision of the wrong Wallet address for receiving Chiliz
may also result in the loss of his Chiliz.
Risk of Mining Attacks
As with other decentralized cryptographic tokens based on the Ethereum
protocol, (ERC20 tokens) Chiliz are susceptible to attacks by miners in thecourse of validating Chiliz transactions on the Ethereum blockchain, including,but not limited, to double-spend attacks, majority mining power attacks, andselfish-mining attacks. Any successful attacks present a risk to the Socios.
com Platform and/or Chiliz, including but not limited to, accurate execution andrecording of transactions involving Chiliz.

01 Considerations
Risk of Hacking and Security weakness

1.1

Risks

Hackers or other groups or organisations may attempt to interfere with Chiliz
in a number of ways, including, but not limited to denial of service attacks,
Sybil attacks, spoofing, smurfing, malware attacks, or consensus-based
attacks, and any such similar events which could have an impact on Chiliz, theSocios.com Platform and the Services the Company may offer from time totime.
Risk of Security weakness in the Smart Contract, Website and Chiliz Source
Code or any associates software and/or Infrastructure
There is a risk that the Smart Contract, Website, the Socios.com Platform
and Chiliz may unintentionally include weaknesses or bugs in the source code
interfering with the use of or causing the loss of Chiliz; the source code of theWebsite is open and could be updated, amended, altered or modified fromtime to time.
The Company is unable to foresee or guarantee the precise result of an
update, amendment, alteration or modification. As a result, any update,amendment, alteration or modification could lead to an unexpected orunintended outcome that adversely affects Chiliz and/or the Website. As aresult, Chiliz may be lost.
Risk of no Listing or low/no Liquidity
Chiliz are intended to be used solely for the Socios.com Platform and theCompany will not support or otherwise facilitate any secondary trading on an
exchange or the secondary market or the external valuation of Chiliz, which are
all beyond the scope and purpose of the Socios.com Platform. This restricts
the contemplated intended use of Chiliz only to the Socios.com Platform andcould therefore create illiquidity risk with respect to Chiliz that the Participant
owns. Even though there are currently online services available which enable
exchange of cryptographic tokens with other such tokens or even enable
the exchange of cryptographic tokens for fiat money, there are no warranties
and/or guarantees that Chiliz will be made available for exchange withother cryptographic tokens and/or fiat money, and no guarantees are given
whatsoever with regard to the capacity and/or volume of such exchange/s.

9

It shall be explicitly cautioned that such exchange, if any, might be subject topoorly-understood regulatory oversight, and the Company does not give any
warranties in regard to any exchange services providers. Users including theParticipant, if applicable, might be exposed to fraud and failure affecting thoseexchanges. In any case, it is not the Company’s aim to enable exchange ofChiliz for other cryptographic tokens or for fiat currency and it shall therefore
not commit to any endeavours to list Chiliz on such exchanges or any
secondary markets.
Risks of an eventual unfavourable fluctuation of ETH or Chiliz’ value
The Socios.com Platform is intended to be financially self-sufficient and selffinancing after the Private Placement Event and the Company commits tohave no specific interest in the market value of Chiliz. Nevertheless, if thevalue of BTC, ETH and/or Chiliz fluctuates, the Company may not be able tofund development to the extent necessary, or may not be able to develop or
maintain the Socios.com Platform in the manner that it intended. In addition
to the usual market forces, there are several potential events which could
exacerbate the risk of unfavourable fluctuation in the value of ETH or Chiliz
including another DAO-like attack on the Ethereum network, or significant
security incidents or market irregularities at one or more of the major
cryptocurrency exchanges.
Risk of Malfunction in the Ethereum Network or any other Blockchain and ofCompeting Platforms
It is possible that Chiliz are interacting with malfunctions in an unfavourable
way, including but not limited to one that results in the loss of Chiliz or prevent
their use on the Socios.com Platform. It is possible that alternative platforms
could be established that utilise the same open source code and protocol
underlying the Socios.com Platform and attempt to facilitate services that arematerially similar to the Socios.com Platform. The Socios.com Platform maycompete with these alternatives, which could negatively impact and Socios.
com Platform, including the utility of Chiliz for use of the Socios.com Platform

01 Considerations
Risk of Uninsured Losses

1.1

Unlike bank accounts or accounts at some other financial institutions, Chiliz
are uninsured unless the Participant specifically obtains private insurance toinsure them. Thus, in the event of loss of Chiliz or loss of Chiliz’s value, there
is no public insurer, such as the Investor Compensation Scheme or private
insurance arranged by the Company to offer recourse to the Participant.
Risk associated with uncertain Regulations and enforcement actions

Risks

The regulatory status of tokens in general, Initial Token or Coin Offerings,
Private Placement Event and distributed ledger technology is unclear or
unsettled in many jurisdictions. It is difficult to predict how or whether
regulatory authorities may apply existing regulation with respect to suchtechnology and its applications, including the Socios.com Platform andthe Chiliz. It is likewise difficult to predict how or whether legislatures orregulatory agencies may implement regulatory actions or changes to law
and regulation affecting distributed ledger technology and its applications,
including the Socios.com Platform and the tokens.
Regulatory actions or changes to law and regulation could negatively impact
Chiliz and the Socios.com Platform in various ways, including, but not limited
to, a determination that the acquisition, holding and use or disposal andtransfer of Chiliz constitutes a regulated instrument that require registration
or licensing of those instruments or some or all of the parties involved in theacquisition, contribution, sale and delivery thereof. The Company may cease
operations or interrupt the Private Placement Event in a jurisdiction in theevent that regulatory actions, or changes to law or regulation, make it illegal tooperate in such jurisdiction, or commercially undesirable or no longer viable toobtain the necessary regulatory approval/s to operate in such jurisdiction or toprovide the Socios.com Platform.
Risk arising from Taxation
The tax characterization of Chiliz is uncertain. The Participant must seek
his own tax advice in connection with purchasing Chiliz, which may result inadverse tax consequences to him, including withholding taxes, income taxes
and tax reporting requirements.

10

Risk of insufficient interest in Chiliz and the Socios.com Platform
It is possible that Chiliz and the Socios.com Platform will no longer be used bya large number of individuals, companies and other entities or that there will
be limited interest in the use of Chiliz and the Socios.com Platform. Such alack of use or interest could negatively impact the development of the Socios.
com Platform and therefore the potential utility of Chiliz.
Internet Transmission Risks
There are risks associated with using Chiliz including, but not limited to, thefailure of hardware, software, and Internet connections, or other technologies
on which the Socios.com Platform or the use of Chiliz relies. Such failures
may result in disruptions in communication, errors, distortions or delays whenusing Chiliz and the Socios.com Platform or the Website.
Risk of Dissolution of the Company
It is possible that, due to any number of reasons, including, but not limited
to, a decrease in Chiliz’s utility, the failure of commercial relationships, or
intellectual property ownership challenges, unfavourable market conditions
and added compliance and regulatory obligations, the use of the Socios.com
Platform may no longer be viable to be offered or the Company may need tocease trading and be dissolved and liquidated.
Risk arising from Lack of Governance Rights
Since Chiliz do not represent or confer any ownership right or stake, share or
security or equivalent rights, intellectual property rights or any other form ofparticipation relating to the Company, all decisions involving the Company
will be made by Company at their sole discretion, including, but not limited
to, decisions to transfer more Chiliz for use, to sell or liquidate the Company.
These decisions could adversely affect the utility of that the Participant holds.

01 Considerations
Regulatory Risks and Market Risks

1.1

Risks

The Company and by operation of the Socios.com Platform, are subject
to a variety of domestic and/or EU and international laws, regulation anddirectives, including those with respect to privacy and data protection,
consumer protection, data security, and others. These laws, regulations anddirectives, and the interpretation or application of these laws, regulations
and directives, could change. In addition, new laws, regulations or directives
affecting the Company, the Socios.com Platform and Chiliz could be enacted,
which could impact the utility of Chiliz and their use on the Socios.com
Platform. Additionally, the Participants are subject to industry specific laws
and regulations or licensing requirements.
If any of the Parties fails to comply with any of these licensing requirements
or other applicable laws or regulations, or if such laws and regulations or
licensing requirements become more stringent or are otherwise expanded,
it could adversely impact Chiliz and the Socios.com Platform, including theChiliz’ utility on the Socios.com Platform The Participant hereby accepts therisk that in some countries Chiliz might be considered, now or in the future, aSecurity Token. In this case the Company gives no representations, warranties
or guarantees that the Utility Tokens are not considered to be Security Tokens
in all countries. The Participant hereby accepts to be solely responsible ofthe legal, financial and any other risks connected to Chiliz as a security in his
country and to be the only responsible to check if the holding, using and thedisposal of Chiliz is legal in your country.
Also, changes in laws, regulations and directives governing the Company’s
operations may adversely affect their business and consequently the Socios.
com Platform. Any change in the Company’s tax status, or in taxation
legislation in Malta or elsewhere, could affect the value of its financial
holdings, its business and the Company’s ability to achieve its businessobjective and continual commitment to the development of the Socios.com
Platform.
Other Inherent Risks
The Participant understands and accepts the inherent risks associated with
Chiliz, to the extent not covered elsewhere in the Terms, including, but notlimited to, risks associated with (a) money laundering; (b) fraud; (c) exploitation
for illegal purposes; and (d) any other unanticipated risks.

11

Unanticipated Risks
Cryptographic tokens such as Chiliz as well as blockchain are a new anduntested technology. In addition to the risks included in the Chiliz Documents
there are other risks associated with the Participant’s acquisition, holding
and use of Chiliz , including some that the Company cannot or may not
anticipate. Such risks may further materialise as unanticipated variations or
combinations of the risks discussed in the Chiliz Documents.
The Participant hereby represents and warrants that he will take sole
responsibility for any restrictions and risks associated with the holding or useof Chiliz. If any of the risks, mentioned in the Terms are unacceptable or theParticipant is not in the position to understand, the Participant should not acquire,
hold or use Chiliz.

01 Considerations

12

Issuer or Company
Definitions, as applied within this document:
Chiliz Token(s)1.2Definitions

A utility cryptographic decentralised token issued by the Company
based on the Ethereum protocol (ERC20 token) being thetoken which can be used by sports fans to acquire Fan Tokens
Fan Token(s)A utility cryptographic branded token bearing the marks/name ofthe partnering sports team or organization to which they relate.
Such Fan Tokens are created by a separate entity within the Groupand are designed for direct utility within the Socios.com Platform.
Fan Token(s) grant holders voting rights to particularly participate
in the decision-making processes, feedback polls and surveys inregards to the sports teams or organizations to which they relate.
Fan Tokens can be exclusively traded using Chiliz Tokens.
Participant
Any person (natural or juridical), who has contributed and is boundby the terms of the private placement and this White Paper and/or who intends to hold and/or use Chiliz Token(s) at any momentin time and shall include any person who intends to become aParticipant.

HX Entertainment Limited, a company registered under the Laws
of Malta with company registration number C 77290 and having
its registered address at 14 East, Level 7, Triq Tas-Sliema, Gzira,
GZR1639, Malta.
Mediarex or GroupMediarex Enterprises Limited, a company registered under theLaws of Malta with company registration number C 73768 andhaving its registered address office at 14 East, Level 7, Triq TasSliema, Gzira, GZR1639, Malta (as ultimate parent company) and
its direct and indirect subsidiaries.
White Paper
This document in its entirety
Socios.com or Socios Platform, or Platform
The socios.com platform, a platform developed by another entity
within the Group, operating on the basis of blockchain technology
and smart contracts for the purpose of offering a tokenized voting
platform where fans can buy, sell and execute voting or “crowd
managers” rights in their sports teams and benefit from extra VIP
benefits
VFA Act
The ‘Virtual Financial Assets Act’ (Cap. 590 of the Laws of Malta)
and any subsidiary legislation enacted thereunder01 Considerations

1.2
Information on the Issuer:

Informationon theIssuer

The issuer of the Chiliz token is HX Entertainment Limited,
a company registered under the laws of Malta with company
registration number C 77290 and having its registeredaddress at Level 7, 14 East, Sliema Road, Gzira, GZR1639,
Malta (the “Issuer”).
The Issuer was established on October 24th, 2016 as awholly-owned subsidiary of Mediarex Enterprises Limited,saving one share which is personally held by Mr Alexandre
Dreyfus, an administrator of the Issuer. The Issuer is lawfully
existing and registered as a private limited liability company
in terms of the ‘Companies Act’, Chapter 386 of the Laws ofMalta
As at the date of this whitepaper, the Board of Administratorsof the Issuer is constituted by the following persons:Alexandre Dreyfus (Reachable at Level 7, 14 East, SliemaRoad, Gzira, GZR1639, Malta)13

01 Considerations

14

Know Your Customer (KYC) and Anti-Money Laundering (AML) & Counter Financing of Terrorism Procedures:
1.3

KYC & AML

The issuer has adopted rigorous KYC procedures to verify theidentity of every applicant, and the beneficial owner (whereapplicable) that has expressed interest in acquiring Chiliz and only
those contributors which have successfully identified themselvesin the KYC procedure, to the Issuer's satisfaction, have beensuccessful in participating in the Chiliz Private Placement.
Strict compliance with KYC procedures protects the contributors
and the Issuer from criminal elements such as money laundering
activities and terrorism financing. The KYC procedures adopted
were based on current market practices and in accordance with allapplicable Maltese and EU legislation
The Issuer recognizes the importance of preventing money
laundering and terrorism financing therefore AML and counterfinancing of terrorism procedures have been implemented inaccordance with applicable legislation, notably the Preventionof Money Laundering Act (Chapter 373 of the Laws of Malta)
including any rules and regulations enacted thereunder. The Issuer
particularly requested the identification of any politically exposed
persons (“PEPs”), an individual who is or who has, been entrustedwith prominent public functions, and immediate family members,or persons known to close associates of such persons.

The policies and procedures implemented by the Issuer in thisrespect are based on contributor’s identification and contributor’s
identity verification on the basis of the following sources:
Documentation provided by the contributors.
Information about the contributors obtained from reliable and 			
independent sources.

In particular, the Issuer has and shall not conduct business with thefollowing risky persons:Those refusing to provide the Issuer with required information or 			documentation.
Entities whose shareholder/control structure cannot be determined.
Those individuals that are included on any official sanction lists.
Individuals indicating possible involvement in criminal activities 			based on available information.
Those individuals with business where activity, source of funds or 			source of wealth cannot be reasonably verified.

An appropriate record of received documentation and information,
copies or recommendations are retained by the Issuer for thelegally established time period as per applicable laws, including
AML legislation and data protection laws including General Data
Protection Regulation.

01 Considerations

15

1.4
Intellectual property rights associated with the offering,projects arising from it, and protection thereof:

IP Rights & Service
Providers

The ChilizR and Socios.comTM marks, all content on the Chiliz
website (www.Chiliz.com) and this white paper in relation to the
Chiliz offering and the Socios.com platform, unless mentioned
otherwise, remain the intellectual property rights of the Issuer’s
parent company, Mediarex Enterprises Limited, a company
registered under the laws of Malta with company registration
number C 73768 and having its registered address at Level 7, 14
East, Sliema Road, Gzira, GZR 1639, Malta.
This means that readers are not allowed to use the content
contained in web pages, electronic or written publications or any
other media and/or words, phrases, names, designs or logo that are
our trademarks without our express written permission.
All information provided on website, whitepaper, business modeland any other public document, is subject to change without any
notice to any person including any stakeholders or token holders.

External Service Providers:
Legal Advisors:
E&S Consultancy Ltd.
		Palace Court, Church Street, St. Julian’s STJ 3049, Malta.

Auditors:
Nexia BT		The Penthouse, Suite 2, Capital Business Centre, Entrance C, 				 Triq Taz-Zwejt, San Gwann SGN3000.

2

THE CHILIZ
2.1 What is the Chiliz & theSocios.com platform?
2.2 Why develop the Chiliz & theSocios.com platform?

02 The Chiliz ecosystem

2.1

Socios.com,
the platform
Chiliz powers

Chiliz, powering Socios.com, gives sports and esports
fans the ability to crowd-manage their favorite teams,
games, leagues and events. By 2020, we anticipate
a sports & esports landscape that is not only shapedby what games, teams and leagues draw the highest
audiences, but by those who can most effectively activateand monetise that audience by putting their fan-base in
the driving seat. It’s called radical fan engagement:
A universal sports and esports ‘crowd-control’ engine
capable of giving fans voting rights to guide their someof their favourite teams’ management and strategy
decisions. Any league, any team and any game, realisedwith blockchain technology. With Chiliz powering theSocios.com platform, fans can become influencers of
any competitive entity. In turn, teams, leagues & events,from any corner of the sports & esports world can thenmonetise the fan demand for these voting rights.

17

02 The Chiliz ecosystem

2.2

Why develop
Chiliz & theSocios.com
platform?

Our motivation: To turn the world’s billions of sports, esports
and gaming fans from spectators into influencers.
With Chiliz tokens powering the Socios.com platform our vision
is to turn 2.2+ billion gamers and 380+ million esports fans,as well as the billions-strong community of football fans, fromspectators into team-connected influencers and decision makers.
The global sports market continues to grow year over year, andthe esports market in specific is expected to experience 32%
annual growth over the next 2-3 years.
Exploration to try to improve fan engagement in both sports andesports is ongoing, as with both verticals, monetising fans via
direct team connection - outside of game broadcasts and live
events - continues to represent challenges.
Our vision embraces both cryptocurrency and blockchain backed
fan platforms as the most effective tools to empower sports’and esports’ active fans and transform them from passive
spectators into active influencers, who help guide the teams andorganizations they love to follow.

18

3

PROBLEM & SOLUTION
3.1 The Opportunity
3.2 The Innovation

03 Problem & Solution

3.1

The Opportunity

Fans can only watch. They can’t make decisions or influence theorganizations they love
The current sports and esports environment offers - for themost part - only transactional ‘contact’ for fans. They pay forlicensed products & watch their favourite line-ups compete in theirfavourite games. However, this is a passive endeavour as the fanshave no influence over their favourite teams or players. While theappetite to ‘activate’ fans as influencers exists, current exploration
into direct fan engagement, for example the ‘Fan Voice’ element of
F1 or the digital FanBoost engagement of Formula E, has not left
the realm of novelty.
Historically this has meant that unless you create your own team,
there are almost no systems in place for influencing team decisions
and there is no way to transition from fan to active participant.
Gaining this voice through direct investment in a specific teamis not an option for the vast majority of sports organisations. Andeven if it were, the barriers to entry for an average sports fan - time,
funding, talent acquisition ability – are immense to the point ofbeing insurmountable.

20

03 Problem & Solution

3.2

The Innovation

A platform where fans get a direct Vote in their favorite sports
organizations, connect and help fund new sports and esports
entities
The Socios.com platform, powered by the Chiliz token – ateam crowd-management system that empowers fans to take ameaningful, active hand in guiding various decision making andinfluencer events for their favourite professional sports and esports
teams. This is made possible via the novel application of a scalable,
blockchain-based Fan Token purchasing and utility infrastructure;brought to life through the secure, trustless deployment oftokenized voting rights and executed via smart contracts on theSocios.com platform.
This Chiliz-fueled blockchain solution turns team management
into an entertainment proposition in its own right, gamifying voting
rights into a trading & re-trading experience. Every fan’s voting
decision will directly affect real-world sports and esports teams,
as well as any other partnered organizations. Socios.com's fancontrolled teams can operate in both existing sports & esports
infrastructures – competing independently in conventional events
such as The Premiere League, La Liga, and etc. for football orDreamhack, ESL and etc. for esports (as conceptual examples
only) – or in new emerging sports entertainment environments.

21

4

PLATFORM INTRODUCTION
4.1 An overview
4.2 Fan decisions
4.3 Partner Flexibility
4.4 Third parties
4.5 Fan-owned teams

The Dream

4.1

The Socios.com
Platform:
An overview

Sports & esports entities fromindividual players (or streamers)
and teams to entire competitive
leagues, globally, guided bya braintrust of fans acting as
each organization’s hive-mind who make the decisions thoseorganizations agree to offload tothem.

The Engine
The Socios.com platform’s
blockchain backed, tokenizedvoting system; capable ofdriving transparent anddemocratic crowd decision
making processes for teams &entities from any game type or
sporting vertical.

The Fuel
The Chiliz ($CHZ) token, usedby fans to acquire branded
Fan Tokens from any team ororganization partnered with theSocios.com platform and enact
their voting rights as their fan
influencers.

04 Platform Introduction

What this tokenized voting platform can power:

Sports teams across any game or league
Independent esports teams
Sports and Esports events

Sports and esports leagues
Ecosystem relevant brands
Sports and esports influencers

23

04 Platform Introduction
Here are some general examples:

4.2

What
decisions canfans make?

When fans enter the Socios.
com platform, acquire Chiliz
tokens and then use them toexercise their voting rights,
they become part of the crowdmanaged decision engine forwhichever organisation they’vechosen to support. But, whatkinds of decisions can fansmake to guide & engage with
the Teams & Leagues they
have a Vote in?
The more fully a teamimmerses themselves in
Socios.com partnership - themore powerful their fan
engagement proposition
becomes.
* Please note, these are conceptual examples.
Real-world decision making / voting topics forteams & leagues will vary depending on thespecific title in which they are competing.

Team-wide
decisions*

League-widedecisions*

For Football teams - choosing team’s 3rd
Jersey designs, influencing line-ups infriendly matches, choosing between fanofferings.

Format decisions regarding leagues(length of season, competitive matchmaking formats for season, and the like).

For esports teams - (where applicable) match-ups for teams to compete against
at events, exhibition games and practicematches.
For teams built from the ground up to run
on Socios.com - which players are drafted
onto the team (chosen from an eligible
draft pool).

The new game modes in which teams
should compete.
For multi-game capable leagues – which
new titles should be included for league
expansions.
League matchmaking decisions – howteams should be seeded and how
matchmaking will occur during theregular season (where applicable).

24

04 Platform Introduction

25

Other Sports verticals
Tokenized voting rights inteams to be announced
in additional game areas(Cricket, Baseball, F1 and
etc.)

4.3

The Socios.com
platform: vv

Esports teams

Influencers

Fan-led decision making& management influence
for esports organizations.

Fan-led influence &guidance directly between
fans and streamers/
personalities

Football teams

Brands & Events

Fan-led decision making& club influence forteams including PSG &Juventus.

Crowd influence/
engagement solutions
via Fan Tokenization forforward thinking brands &sporting events

04 Platform Introduction

26

4.4

Mobile-first& easilyconnectable
to existing
platforms:
Third Party

An example: The Socios.com platform can beconnected to Twitch via overlay options, creating
real-time influence opportunities and giving fans theability to utilize Fan Token-empowered voting andother Socios.com platform features while watching
the very teams/ events they are influencing.

Mobile app development for theSocios.com platform will allow fans toaccess the voting and rewards portals
they have a say in from anywhere on-site at events, out with friends or
anywhere else.

04 Platform Introduction

27

4.5

Historic
Precedents:
Fan-Owned
Teams

European Football

The NFL

Some of the most valuable sports franchises such as FC Barcelona, Real Madrid,
FC Porto & SL Benfica are owned & partly managed by ‘Socios’ – groups of tensof thousands of club supporters who actively vote to elect their teams’ board
members and leaders. No single ‘Socio’ can have monopolistic voting power andas a result, everyone has a hand in guiding top level management decisions.

The Green Bay Packers are the only
community-owned team in the NFL – with
360,584 current stockholders, none ofwhom are allowed to own more than 4% of
the team's 5m+ shares at any one time.

5

CHILIZ & SOCIOS.COM:
VISION THROUGH 2020
5.1 First application
5.2 Milestones
5.3 Expansion Phases

05 Chiliz/Socios.com vision through 2020

5.1

First Application:
Activating theFootball Vertical

OFFICIAL
PARTNERS

Top tier football clubs including Paris Saint-Germain & Juventus will officially become the firstteams to be ‘tokenized’ on Socios.com
As it’s first practical user-ready application, the Socios.com platform will create a crowd-voting
economy for the Football sports vertical. To kick-start this, the platform has finalized and announced
multi-year partnerships with Paris Saint-Germain and Juventus as its first 2 cornerstone clubs.
Additional top tier clubs are due to be on-boarded in the near term as well.
As the official home of the Paris Saint-Germain & Juventus Official Fan Tokens, both clubs havefollowed a format which will serve as Socios.com’s blueprint for on-boarding moving forward. Clubs will
off-load a predetermined level of influence power to their fans - to be decided by the clubs themselves with the Socios.com platform generating a set supply of Fan Tokens in exchange.
Fans purchase these Fan Tokens and use the platform to interact with on-demand surveys opened byclubs. Anyone who has at least 1 Fan Token is eligible to vote, and every incremental 'voice' attached toeach Fan Token counts equally.
The fans speak, the clubs listen.

29

05 Chiliz/Socios.com vision through 2020

5.2

Past and Future:
Milestones
achieved &future progress

With foundations set,
Chiliz and the Socios.
com platform it powers
will look to use Football asa benchmark to expand
our Tokenized Fan Voting
model to other sports inorder to cater to a global
marketplace where
different competitive
verticals are dominant- prime examples ofdiversification are Cricket in
the Indian market, Baseballfor Japan, and the like.

Q2 2018

Q3 2018

Q4 2018

Private Placement
finished - $66 Million
raised

1st functional demo
of smart contract
voting mechanisms& $CHZ to Fan
Token transactions Gamescom 2018

First 2 football clubs
on-boarded - PSG& Juventus | Moved
into new offices toaccommodate now 30+
person teamQ4 2019

Q2 2019

Q1 2019First football season
with Socios.comengaged teams kicks
off. Teams from othersports verticals begin
active on-boarding

Soft launch
executed with initial
crop of Fan Tokens
going live for publicsale. Opening fan
voting begins.

Scaling up team acrossall departments &finalizing platform inpreparation for softlaunchQ1 2020

Q2 2020

Q3 2020

Achievement of onboarding goal for at least
5 sports verticals - toporganizations across thecompetitive spectrum arelive on Socios.com

The Socios.com fan
token economy now
features teams acrossvarious sports whichrank from multiple
tiers of popularity andcompetition.

Adoption push for the
Chiliz ($CHZ) token as atransactional mechanism
to 3rd party platforms
becomes a larger key
business focus.

30

05 Chiliz/Socios.com vision through 2020

5.3

3 Phases:$CHZ &
Socios.com
launch, buildout,
and market
adoption

PRE-LAUNCHLAUNCH

DIVERSIFICATION

Q1, 2019

Q1 - Q3, 2019

Q1, 2020+

Chiliz tokens are generated
and distributed; the Socios.
com platform moves pastdevelopment milestones toenable Chiliz to Fan Tokentransactions & smart contract
voting mechanisms. First
major team partners sign on
to participate in the platform
including PSG and Juventus.

The Chiliz token becomesreadily available for publicpurchase on exchanges. The
Socios.com platform opens
for a soft launch to the public,
with the platform’s initial cropof cornerstone partner teams
offering their Fan Tokens andenabling crowd guided voting
on first decisions. The first
European Football season with
Socios.com-engaged teams
begins.

With Chiliz now in organic
circulation as a currency,
Socios.com moves to expand
its Fan Token economy andrewards based offerings into
new sports verticals - actively
on-boarding team organizations
from other globally followed
sports including Cricket. The
platform’s esports verticalmoves to aggregate diverse
partner types outside teams,
including streamers & gaming
brands.

31

6

SOCIOS.COM PLATFORM:FEATURES
6.1 Voting
6.2 Fan Token Offerings
6.3 Buying and Selling Fan Tokens

06 Socios.com Platform: Features

6.1

VotingVoting rights
for fans via Fan
Token-enabled
smart contract
executions

33

The team-specific engines that run every decision in the Socios.com platform
All sports and esports teams – independent or league-tied - operating in the Socios.com platform will debut with a specified, finite
number of Fan Tokens tied to concrete voting rights. Fans who obtain voting rights by trading Chiliz tokens for Fan Tokens, gain adecision-making right for that team. Each vote is executed as a group of smart contracts, wherein fans leverage their ownership of Fan
Tokens to ‘send’ them to various answers in a given pole. Once a certain engagement threshold is met, all voting results become valid,with all votes and vote results stored in Socios.com’s side blockchain for transparency.
Maintaining Team Management Integrity
Every team operating on the Socios.com platform will run their own semi-autonomous organizations - implementing democratic rules topoll FanToken holders about every team-related decision. These semi-autonomous organizations consist of smart contracts executed on
the Socios.com side blockchain, guaranteeing integrity by ensuring that only Fan Token holders can participate and therefore influence
it proportionally to the number of Fan Tokens they own. Blockchain-managed votes are publicly auditable, ensuring that neither theSocios.com platform nor the organisations fuelled by it, can manipulate voting results or ignore fan crowd-guidance.

06 Socios.com Platform: Features

34

6.2

Fan Token
Offerings*

A democratic solution for fans to purchase first-offer Fan Tokens from newly introduced organizations on Socios.com

When a new organization goes live on Socios.com, their supply
of Fan Tokens is offered for purchase by fans on a first come, firstserved basis as a fixed price point. Only after Fan Tokens are in
the hands of fans, can they be listed or re-listed on Socios.com’s
shared marketplace. This fixed-price ‘order line’ is in place toensure that the first chance to purchase any given Fan Tokens is atransparent and fair experience for users.
How Fan Token Offerings Work

*Fan Token Offerings, as well
as Fan Tokens fall outside
the scope of this White
Paper – they are mentioned
in this White Paper by wayof reference only and arestrictly not regulated by thecontents hereof.

Together with Socios.com, each new team on-boarded to theplatform decides on an initial Chiliz-pegged value for their Fan
Tokens. This is a fixed, base price (in $CHZ) at which all fans canpublicly purchase specific Fan Tokens on first release.

Buying accessibility for these first-run Fan Tokens functions as a
virtual line. Fans pre-order a set amount of tokens before release,with orders fulfilled in the order in which they’re placed.
Fan Token Offerings run under volume consideration as well.
This means that single user has a capped amount of Fan Tokens
which they can pre-order for any team. This may fluctuate on anorganization-by-organization basis, but the end goal of capping
remains the same - to ensure that no single user is able to buy up
a monopoly of Fan Tokens. These user by user caps for ownershipare maintained even after a new organization’s Fan Token Offering
period expires and their Fan Tokens go live on the Socios.com
marketplace.

06 Socios.com Platform: Features

35

6.3

Buying &Selling
Fan Tokens

A gamified marketplace where fans acquire, sell & grow their ‘Fan Token Portfolio’Fans who are in control of 1 or more Fan Tokens on Socios.com
gain access to the Socios.com marketplace. Here fans canauction off the voting rights (Fan Tokens) they hold. This dynamic,
gamified system allows users to leverage their ownership positions
to exchange Fan Tokens for Chiliz at dynamic rates. What thismeans:
Users are free to list their Fan Tokens at any price they wish for example 20 Chiliz for a specific Fan Token - but that doesn’t
guarantee they’ll be sold. For any given team’s marketplace, only
the cheapest Fan Token price is visible to buyers. Once that token
is purchased, the next cheapest price becomes visible and acts asthat Fan Token’s current public value. Each Fan Token price pointin the Socios.com shared marketplace is updated in real-time, sowhere and when users decide to buy or sell Fan Tokens becomes a
strategic consideration - similarly to a normal market or exchange.

With regard to selling, fans who auction off their Fan Tokens canuse their accrued Chiliz to diversify the Fan Tokens they hold
across teams or other entities, or to keep building their voting
stewardship in a single team.
A Gamified Economy & Business Model: The Socios.com
marketplace ensures that Chiliz tokens have real utility. Traded in a
sub environment, the acquisition of voting rights in a fan’s favourite
teams becomes a meta-game in itself. Trading micro-fees taken by
the platform also represent a sustainable business model to fuelthe Socios.com platform as a whole.

TECHNOLOGY & VALUES
7.1

Our values

7.2 Auditability
7.3 ETH Protocol & ERC Standard
7.4 Why Ethereum?
7.5 The platform at a glance

07 Technology & Values

37

7.1

Transparency and auditability: Core ethos for Chiliz & Socios.com

Our values
and how
blockchain
serves them

Our commitments both to future users of the Socios.com
platform and the organisations fueled by the Chiliz token are
clear:For our users: To be the currency and platform which together
act as a decision-making engine of the fans, giving them a way
to meaningfully influence their favourite teams with complete
integrity.
For our partner organisations: To create and share revenue
generated via the Socios.com platform in a fair & transparent way.
Trust in our currency and the platforms and products its madeto power is important – both for our users and our partners - but
we understand that trust alone is not enough when it comes toensuring that voting rights will be exercised fairly and that revenue
will be accounted for accurately. As a technological foundation,
blockchain is the de-facto choice to do so in an eloquent manner.

To ensure integrity, we run our own permissioned instance of the
Ethereum blockchain. This permissioned sidechain is the coreof Socios.com. It hosts every team, league, game title or otherorganisation who connects with the platform, together witheach organisation’s crowd voting mechanisms run as a Semiautonomous organization on this blockchain.
Running our own permissioned sidechain will drastically reducetransaction costs by allowing the use of a Proof of Authority(PoA) consensus algorithm to confirm each new block of thepermissioned chain - with each block storing polling/ decision
results - instead of necessitating the use of Proof of Work (PoW)
consensus. Other than being a scalability solution, this system also
ensure transparency as Socios.com’s PoA sidechain will be publicly
auditable.

07 Technology & Values

38

7.2
On the permissioned sidechain:

Auditability

Everything occurring on the Socios.com platform in terms of voting& trading is stored in an auditable, permanent manner via public
ledger on our permissioned blockchain.
On the main Ethereum blockchain:
Everything that occurs on the Socios.com platform in terms ofchilliZ ERC20 transactions - new accruement of Fan Tokens
converted from Chiliz ($CHZ) tokens and Socios.com accountbalance exchanges as part of the platforms other service features will be stored in an auditable, permanent manner via public ledger
on the main Ethereum blockchain.

The Socios.com platform will serve as an oracle connecting ourpermissioned sidechain to the main Ethereum blockchain:
Chiliz ($CHZ) Tokens will be emitted on the main Ethereum
blockchain, while partner-specific Fan Tokens will be emitted on
our permissioned sidechain. This means that on a functional level
the Socios.com platform itself serves as the only bridge whichenables the exchange of Chiliz tokens and Fan Tokens (and viceversa).
The Socios.com platform’s public ledgers, which together chronicle
a full history of platform-wide transactions, can be audited byanyone, namely the fans who entrust us to give them a legitimate
set of voting rights.

07 Technology & Values

7.3

Utilizing the
Ethereum
Protocol & the
ERC20 Token
Standard

What is Ethereum?
In the words of the founders:

What is the ERC 20 Token Standard?

"Ethereum is a decentralized platform that runs smart contracts:
applications that run exactly as programmed without any
possibility of downtime, censorship, fraud or third-party
interference.
These apps run on a custom built blockchain, an enormously
powerful shared global infrastructure that can move value aroundand represent the ownership of property.
This enables developers to create markets, store registries of debts
or promises, move funds in accordance with instructions given
long in the past (like a will or a futures contract) and many otherthings that have not been invented yet, all without a middleman orcounterparty risk.
The project was bootstrapped via an ether presale in August 2014
by fans all around the world. It is developed by the EthereumFoundation, a Swiss non-profit, with contributions from great
minds across the globe."- www.ethereum.org

ERC20 is one of many different protocol standards on
the Ethereum network for issuing tokens. "ERC20" itself
simply means 'Ethereum Request for Comment 20",with the number 20 serving as a unique identifier of thisspecific standard.
For a token to be considered ERC20 compliant, it needs
to feature this standard's necessary smart contract 'rule'- or function - inclusions. There's 6 mandatory functions
and an additional 3 optional functions which dicate if atoken is ERC20 compliant or not. You can learn more
about what these are in specific terms here.
In terms of top-line scope, the central benefits ofcompliancy with ERC20 standards for Chiliz lies in the
popularity of the standard type itself, wherein its integrity
as a tech and protocal standard are well documented.
The proliferation of ERC20 standard has also streamlined
exchangability and liquidity for these token types .

39

07 Technology & Values

40

Ten reasons the Socios.com permissioned sidechain is based on Ethereum
7.4

Why Ethereum?

1. We believe in the spirit of open source development, having
found inspiration from innovations created by open source
communities for the last 15 years.

7. Ethereum’s vast choice of consensus algorithms (including
Proof of Authority) allows any chain topology, including
permissioned chains.

2. Ethereum provides a complete toolkit for developers to build
Apps, Smart Contract and other blockchain based solutions.

8. Ethereum has much higher performance when deployed on
permissioned chains.

3. Ethereum and Solidity - its smart contract scripting language is
supported by a very well-established and active community.

9. Ethereum is ‘future proof’ when considering its roadmap(Metropolis and Serenity phases), which paves the way for things
like Proof of Stake, Sharding or Plasma chains.

4. Compared to other blockchains that have not delivered on usecase promises, Ethereum is a proven technology running live
applications by the thousands.
5. Ethereum comes with a Turing complete smart contract
scripting language.
6. Ethereum is a mature ecosystem where tools like Parity, Truffle
or Open Zeppelin continue to push quality and security upwards.

10. With communities - including the Enterprise Ethereum Alliance- rallying around the environment, Ethereum benefits from theconsensus-confidence of it’s diversely focused active adopters.

07 Technology & Values

41

7.5

The platform at
a glance:
On an architecturallevel, the Socios.com
platform combines
its core components
across the public
Ethereum blockchain
and our permissioned
blockchain. The
platform acts as abridge between thesetwo chains.

The
Socios.com
Platform

Chiliz ERC20 tokens are part of the main Ethereum chain andassociated with transactions from fans funding & withdrawing
from the platform, and aggregation of service and exchange fees(monetisation for partner organisations). The $CHZ Vault is also
located on the Main Ethereum chain.

The Socios.com permissioned sidechain is where Fan Tokens are
dispensed and allocated to fans through Fan Token Offerings, or
acquired via exchange in the Socios.com marketplace.

FAN ENGAGEMENTTRANSACTIONAL MODEL
8.1 Monetization
8.2 Revenue for teams, leagues & events

08 Fan Engagement Transactional Model

8.1

Platformmonetization
Fees for buying& selling, andfor platform
services power
the Socios.com
business model

Low service fees, hightransactional volumes
The Socios.com platform will
monetize its user base of sports
and esports fans by charging
a micro-fee for all transactions
completed on it. However, theact of voting & making decisions
as a fan once they’ve purchased
Fan Tokens for their desired
team, league and/ or event, will
always be free.
Fees will be gathered from all of
the following major transaction/
trade points on the Socios.
com platform as either a verysmall percentage amountof transactions, or as a set
percentage fee, depending on
the service type:

Socios.com marketplace
Trading Fees
All P2P transaction conductedon the Socios.com platform’s
Socios.com marketplace –for fans buying and selling
ownership of Fan Tokens for
specific teams, leagues andevents will be subject to a
micro-fee.
Sub-feature Service Fees
All socially and competitively
minded sub-features on theSocios.com platform - including
possible entertainment features
like Leaderboard Leagues, P2P
Daily Challenges and Digital
Asset Trading - will be subject
to set provider fees for users.

43

08 Fan Engagement Transactional Model

8.2

Revenuestreams for partners
on the $CHZpowered Socios.com
platform

Whenever fanstrade Votes: Teams,
leagues, events andgames make revenue

Profit share with platform partners
All team, league & event entities who connect with the Socios.com
platform and have themselves ‘listed’ on its shared Socios.
com marketplace will collect a percentage of micro-fee revenue
generated as our users buy and sell those partner’s Fan Tokens.
Furthermore, at listing, as Fan Tokens are released onto the Socios.
com platform and bought by fans, a majority of this initial monetaryinflux goes directly through to the partners they are associatedwith.
The Socios.com platform doesn’t hinge on simply paying teams,
leagues or event organisers for leveraging their individual fanbases and bringing them into our platform environment; it places
them within a sustainable Fan Engagement Transactional Model– where spurring fan engagement isn’t pursued as a marketingtactic, but as part of a direct business model.

44

09 At-Launch utilities for the $CHZ token

45

9.1

Socios.com
Socios.com
marketplace& fan-led teaminfluence hub

Socios.com is a tokenized fan voting platform for sports& esports

Socios.com is a turnkey solution for any sports or esports
organization to monetize their fan base via a custom Fan Token
Offering (FTO), giving fans access to team branded Fan Tokens
that come with voting rights and access to VIP level club rewards
and engagement opportunities.
In addition to this upfront upside, Socios.com offers a sustainablesource of passive revenue as a team’s fans use the platform to
exercise their decision making power, engage with ‘ownable' VIP
features and buy and sell various branded Fan Tokens back andforth amongst themselves.

Fan related img

09 At-Launch utilities for the $CHZ token

9.1

Socios.com

Teams listen, Fans choose - Our proposition:
Branded Fan Tokens on the Socios.com platform are fans’ 			
license to vote on team matters. Teams choose what fans 			decide, and fans are who they'll hear when they ask.
An ambition to create a cross-sports, shared Fan Token
economy:Socios.com plans to on-board 50+ teams from football andother verticals including esports and other conventional
games such as cricket and the like. One of the central endgoals for doing so is in order for this platform to develop an
open, gamified Fan Token economy.
Our vision is a platform which caters to both hardcore “single
team” fans and casual global fans alike. Whether fans wantto leverage their token driven influence rights to help guidea single team, or want to interact with multiple teams acrossdifferent sports, Socios.com is your gateway to do it.

46

09 At-Launch utilities for the $CHZ token

9.1

Socios.com

At-launch Partners

Paris Saint-Germain

Most competitively
successful football clubin French history. Has
the support of moredomestic fans than any
other football club, &enjoys one of the largest
global fan bases of any
team - regardless ofsport - as well.

Juventus

The most popular
football club in Italy,
having the supportof roughly 34% of all
Italian football fansdomestically. Juventus
also counts more than
300 million supporters
globally, 41 million ofwhich reside in Europe.

+

Additional Parterships

Socios.com - though
beginning with footballas its first area ofpartnership - willfeature other tier one
football teams, as wellas tier one teams fromother verticals such as
esports, Cricket and thelike at launch too.

47

09 At-Launch utilities for the $CHZ token

9.2

ChilizBlockchain
Campus

A blockchain business hub in Malta connecting Europe & Asia
Chiliz Blockchain Campus: On-site connection at theforefront of regulation

The Chiliz Blockchain Campus is an accelerator and industry
hub connecting some of the industry’s largest stakeholders
across Asia and Europe, together with other emerging blockchain
entrepreneurs.
The Chiliz Blockchain Campus is located on-site in Malta, withover 2000 sqm of space dedicated to servicing and supporting ourmembers. The Chiliz ($CHZ) token will be usable as a payment
method for membership.
Known as “The Blockchain Island”, Malta - home of the Chiliz
blockchain campus - is a leader in the adoption of governmentlevel framework to regulate blockchain enterprises, and thefinancial dynamics which underpin them within Europe.

48

09 At-Launch utilities for the $CHZ token

9.2

49

Blockchain Campus Amenities: Tools to support in-residency businesses

ChilizBlockchain
CampusHot Desks

Mentorship Programs

Funding Accelerators

Networking Access

Floating workspaces withreciprocity among otherblockchain business hubsaround the world, with initial
partnerships already securedin Singapore & Paris. Hot
desk clients will also haveaccess to the blockchain
campus suite of Small
Business tools including HR,
PR & Legal services.

Established blockchain
businesses & pillars of
the crypto community arepartnering with the campus
to provide emerging teams
entrepreneurs & engineers
with structured mentorship
opportunities to help themand their projects flourish.

Leading blockchain
investment funds will
regularly gather on campus
to review members’ projects
informally as well asgathering in more formal
pitch-style settings to review
prospective highlights being
incubated on-site.

Networking events withleading Asian and EU based
cryptocurrency funds.
Engagement opportunities
with leading cryptocurrency
exchanges. B2B eventsfor emerging blockchain
companies to meet, shareideas and collaborate.

09 At-Launch utilities for the $CHZ token

9.2

50

Blockchain Campus Amenities: Tools to support in-residency businesses(continued)

ChilizBlockchain
CampusProtocol-specific Training
Numerous organizations
behind today’s major
protocols are partnering
directly with the campus
to train engineers andentrepreneurs alike inbest practices & optimal
project development andimplementation routes fortheir technologies.

Venue Spaces for Client
EventsChiliz blockchain campus
members will have accessto premium open spaces
for events they may needto hold on behalf of theirprojects/ businesses.

Video Production Solutions
Turnkey - Studio, Crew and
Editing/ Graphics solutions
which campus members
can use to realize videos for
ICO pitches and marketing,advertising, educational or
business-centric content.

2000 sqm of Flexible
Workspace
Chiliz blockchain campus'
sheer size ensures that it canaccommodate aggressive
growth, welcoming
blockchain companies fromaround the world to findtheir home in Europe.

10

TEAM, ADVISORY &SHAREHOLDERS
10.1 Team
10.2 Cornerstones
10.3 Advisory
10.4 Shareholders

10 Team, Advisory & Shareholders

52

10.1

Leadership

Alexandre Dreyfus

Thibaut Pelletier

Max Rabinovitch

22 years of experience as aserial entrepreneur in the digitalspace building & maturing techbusinesses. Pioneered webbased interactive tourism guides
in the late 1990’s with Webcity,
co-founder of Winamax (thelargest French online pokerroom) & Chilipoker. Successful
business exits include buyoutof Webcity via Carrefour – latermerging with a competitor
service & sold to Yelp &sale of technology platform
underpinning Chilipoker to Bally
Technologies (now ScientificGames). Founded Mediarex
Entertainment & acquired
the Global Poker Index & The
Hendon Mob in 2013.

13 years of experience inapp & platform development
for gaming & digital media.
Developed state-of-the-art
iGaming platform regulated in
France (sports, betting & poker)
to manage real-money gambling
operators online, featuring
hundreds of games & dozensof B2C payment solutions for
240k+ global users as CTO of
Chiligaming. Used this platform
to power major gambling
operators in the US (Mohegan,
Stratosphere), in regulated US
markets (NJ) & on Carnival Cruise
ships while at Bally Technologies.
Lead B2C platform dev. solutions
for a leading regulated Lottery &Casino Operator in Denmark as
Director of App Development at
Scientific Games.

10 years of experience increative direction & strategic
consulting in the digital space.
Helped bring enterprise clients
USPCC (Bicycle Brand) &Morton Salt into the mobile
arena as CD at ComboApp;
directed content & platform
strategy for start-up clients at
New Coast Ventures. Produced
commercial concepts frompitch to production for clients
including Famous Footwear,
McDonald’s (NA), Nestle & Sony
(PlayStation) as a freelance
consultant with MadHat
Creative & partners. Headed
league/ gameplay organization
for the 1st season of the GPL.

Chief Executive Officer

Chief Technology Officer

Chief Strategy Officer

10 Team, Advisory & Shareholders

10.1

Team

The Chiliz team & its affiliates
leveraged it’s full multinational team of creatives,
developers and gaming
industry professionals to bring
the Chiliz project & the Socios.
com platform from concept
and Private Placement on
to functional build-out. Ourcurrent team has years ofexperience working together
and the company forecasts
20+ talent additions to its teamin 2018 to ensure specialist
coverage for every area in
its new blockchain based
environment.

Emma Diskin

Magnus Linder

Jade Cruickshank

Fiobian Manicolo

Dorianne Spiteri

Beatrice Collet

Chief Marketing &Communications Officer

Chief Financial Officer

Head of Partnerships &Business Development

Head of Legal & Compliance

Chief People Officer

Managing Director ,Chiliz Blockchain Campus

53

10 Team, Advisory & Shareholders

10.2

OK Blockchain Capital

Cornerstones

Blockchain consultation and technology support arm of OKex, one of the world’s
leading cryptocurrency exchanges. OK Blockchain Capital focuses on helping
promising initiatives in their space raise need capital, while providing operational& marketing guidance as well as access to their exchange platform.

Ceyuan Ventures
A top-tier venture capital firm focused on exploring emerging technologies.
Ceyuan Ventures was an early investor in OKex & continues to actively work to
help finance and propel established blockchain projects forward. The company
was founded by Bo Feng.

Binance
Binance is an international cryptocurrency exchange platform and the largestof its kind by trading volume in the world. Acting as more than an exchange
enabler, Binance actively works to promote regulated cryptocurrency exchange
and adoption across global markets and supports emerging projects.

54

10 Team, Advisory & Shareholders

55

10.2

Sam LiHead, Strategic Partnerships,
Sina Sports

Business

Advisory

Our Advisory Board
supports the company
in two significant areas:
Token utility adoption andplatform growth. This
brain-trust of sports andgaming space expertise,industry networks andmarketing power helps withpartnership development forSocios.com & Chiliz Token
adoption as a neutral-use
currency.

Former Associate VP of the
NBA & current lead for domestic& international sports content
acquisition for China's largest
online media portal.

Tarquin Henderson

Former Head, EMEA Gaming
Sales, Facebook
iGaming industry veteran & expert
in social game marketing; former
executive at 888 Holdings & CMOof BetClic Everest Group.

Mickey Kim

Gil Rotem

Director at Google & active
Angel Investor with MBA fromBerkeley.

Former board member & part ofleadership team for the world’s
largest online sportsbook.

Dr. Christian Mueller

Morten Pedersen Tonnesen

Director, Google

Director, Business Dev., Infront
SportsBusiness development head forone of Europe’s leading sports
marketing agencies.

Former Gaming COO, Bet365

CEO, Ve Global

Marketing solutions innovator& former Head of Group
Marketing, PokerStars.

10 Team, Advisory & Shareholders

56

10.3

Thomas Winter

VP, Golden Nugget Interactive

Business

Advisory

Veteran executive in theiGaming space & former CEO
of BetClic.

Ludovic Bodin

Matthieu Pigasse

Serial entrepreneur in gaming
and tech, and creator of
multiple FPS games.

CEO of Lazard France,
prominent investment banker &media owner.

Co-Founder, French Tech
(Beijing)

Global Head of M&A, Lazard
Bank10 Team, Advisory & Shareholders

57

10.3

Dr DisRespect

Wouter Sleijffers

Nicolas Maurer

CEO, Fnatic

Owner & CEO, Team Vitality

Leader of one the world's
most popular & competitively
successful esports teams,
Formers VP, Marketing
Services, Skrill.

Esports entrepreneur, founderof the most popular team in
France; spot inductee into the
EU LCS.

ElkY

Anomaly

Guillaume PatryWorld famous Poker pro withover $13.5M in lifetime earnings& former StarCraft phenom.
Also known as Bertrand
Grospellier.

Esports streamer with 2+
million YouTube & 900k+
Twitch followers. Co-Owner ofa popular CS:GO skin tradingsite.

Iconic former StarCraft Pro
under the alias "Grrrr...", WorldChampion in 1999 & one of the
top players in Korea in the early
2000's.

Twitch Icon

Esports

Advisory

FPS legend w/ 2+ Million
Twitch followers & two-timeconsecutive Blockbuster
Videogame Champion (1993 &1994)

Poker Icon, Esports Star

YouTube Influencer

StarCraft World Champion

10 Team, Advisory & Shareholders

10.3

Hong "YellOw" Jin-Ho
Korean TV Personality,
StarCraft Icon

Esports

Advisory

Popular StarCraft pro in Asia inthe mid to late 2000s; becamea national TV personality & LoL
coach in Korea following his
retirement.

58

10 Team, Advisory & Shareholders

59

10.4

Shareholders

Our shareholders represent
a diverse cross- section ofbusiness and investment
leaders, with top level Asian
venture capitalists, andmedia and sports analytics
leaders adding world-classbusiness strategy value tothe company in addition
to financial support andsecurity.

Ceyuan Ventures

Dr Stanley Choi

Xavier Niel

Venture Capitalist

Telecommunications Tycoon

Top tier Beijing Based Venture
Capital firm & early investor
into the OKEx exchange.
Founded by Bo Feng (pictured,
top).

Dr Choi, together with H&S
Financial Group are a leading
financial vehicle focused on
IPOs & gaming transactions.

French telecom mogul, majority
shareholder of Free, Monaco
Telecom, Eir Telecom & ownerof Le Monde.

Venture Capital Firm

John Gleasure

Founder, Board Member,
Perform Group
Current Chief Commercial
Officer of DAZN, a.k.a the'Netflix' of Sports.

11

CHILIZ CROWD
SALE ($CHZ)
11.1 Distribution
11.2 Funding allocation
11.3 Project Token Generation Event11 Chiliz Crowd Sale ($CHZ)
Total Chiliz to be minted																($CHZ) 8,888,888,888

Chiliz Allocation by Group
11.1

Chiliz Token
Distribution

Private Pre-sale & Private Placement Hard Cap(NOW CLOSED)								($CHZ) 3,066,666,666

Advisory
Board
Strategic
Acquisitions

Chiliz issued to Team + Seed Investors15%								($CHZ) 1,111,111,110

3%

Team

5%

Seed
Investors

7.5%

Chiliz issued to Advisory Board
								($CHZ) 266,666,666
Userbase Reserve								($CHZ) 1,777,777,780*

MarketingOperations

15%

Marketing Operations								($CHZ) 1,333,333,333
Strategic Acquisitions								($CHZ) 1,333,333,333
Userbase
Reserve20%*3 token addition to Userbase Reserve factored in to off-set fractional
allocations to other users/ parties.

PrivatePlacement

34.5%

61

11 Chiliz Crowd Sale ($CHZ)

62

11.2

Pre-Sale &Sale Funding
Allocation*

Operational Expenses
58%

User Acquisition
20%

Corporate Structuring
10%

Security & Legal
5%

Ecosystem Support
7%

A majority of funds will bepassed on from the Issuer
to an affiliate to develop theSocios.com platform, secure
partnerships & realize theplatform’s digital infrastructure.

Funds will be used to acquire
new users for the Socios.com
platform and grow engagement
in its voting utilities, P2P user
experiences and marketplace.

Funds will be used to ensurethat the Socios.com platform
maintains fully independent
operations and has thestrategic freedom to grow on its
own terms.

Funds will ensure timely audits
for Chiliz, for Socios.com
platform security and to ensure
the legality of the platform’s
operation in the EU and in allother relevant global markets.

The Issuer will invest in
Malta’s emergent blockchain
ecosystem, developing valuable
partnerships to help thecompany and its stakeholders
as we grow.

*Denotes allocation of net proceeds of contribution only.

11 Chiliz Crowd Sale ($CHZ)

11.3

Chilizproject
Token
Generation
Event

Chiliz' Token Generation Event was executed
via Private Placement only & completed in 2018with our hard cap reached. We are no longer
pursuing fundraising measures, instead focusing
our efforts on leveraging accrued resources torealize the Chiliz/ Socios.com vision.
If you are interested in engaging with Chiliz or our
Socios.com initiative in a business development or
partnership scope - or if you simply have questions
for us - please reach out to: contact@Chiliz.com

63

12

CONTACT
12.1 Points of Contact

12 Contact

12.1

OfficesMalta
HX Entertainment Ltd
East 14, Level 7
Tas-Sliema Street
Gzira, GZR 1639
Malta

Telegram channel: t.me/Chiliz_io 		

ChinaMediarex Beijing Sports andCulture Ltd
D2 #50901,
Galaxy SOHO
Chaoyangmennei Street
Beijing
CEO: alex@Chiliz.com 		Whatsapp: +356 99 99 78 78		

WeChat: alexdreyfus																													KakaoTalk: adreyfus
Find Chiliz
medium.com/Chiliz

twitter.com/Chiliz

Find Mediarex via GPL
discord.me/gpl

facebook.com/gplgaming

twitter.com/gpl

65White Paper editing history

V1.00 January 8th, 2018
					
V1.01 February 7th, 2018		
V1.22 March 12th, 2018
V1.02 February 9th, 2018
V1.23 March 15th, 2018
V1.03 February 13th, 2018
V1.24 March 16th, 2018
V1.04 February 16th, 2018
V1.25 March 26th, 2018
V1.05 February 20th, 2018
V1.26 April 6th, 2018 										V1.06 February 22th, 2018
V1.27 April 17th, 2018
V1.07 February 23rd, 2018
V1.28 April 23rd, 2018
V1.08 February 27th, 2018
V1.29 May 4th, 2018
V1.09 March 2nd, 2018
V1.30 May 29th, 2018
V1.1 March 6th, 2018
V1.31 June 8th, 2018 - Post Token Sale
V1.2 March 7th, 2018
V1.32 June 8th, 2018
V1.21 March 7th, 2018
V1.33 June 26th, 2018
V1.34 August 7th, 2018
				

V2.0 October 11th, 2018
V2.1 October 15th, 2018
V2.2 November 6th, 2018
V2.3 November 13th, 2018