Document:

Exhibit 4.10

 

 

 

Warrant Certificate No. ___

 

NEITHER THE SECURITIES REPRESENTED BY THIS
CERTIFICATE NOR THE SECURITIES ISSUABLE UPON THE EXERCISE OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS, AND NEITHER SUCH SECURITIES NOR ANY INTEREST
THEREIN MAY BE OFFERED, SOLD, ASSIGNED OR OTHERWISE TRANSFERRED UNLESS (1) A REGISTRATION STATEMENT WITH RESPECT THERETO IS EFFECTIVE
UNDER THE SECURITIES ACT AND ANY APPLICABLE STATE SECURITIES LAWS, OR (2) AN EXEMPTION FROM SUCH REGISTRATION EXISTS AND THE COMPANY
RECEIVES AN OPINION OF COUNSEL TO THE HOLDER OF SUCH SECURITIES, WHICH COUNSEL AND OPINION ARE SATISFACTORY TO THE COMPANY, THAT
SUCH SECURITIES MAY BE OFFERED, SOLD, PLEDGED, ASSIGNED OR TRANSFERRED IN THE MANNER CONTEMPLATED WITHOUT AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT OR APPLICABLE STATE SECURITIES LAWS.

 

	Effective Date: ______________ ___, 2013	Void After: ______________ ___, 2018

 

RACKWISE, INC.

 

WARRANTS TO PURCHASE COMMON STOCK

 

Rackwise, Inc., a Nevada
corporation (the “Company”), for value received on ______________ ___, 2013 (the “Effective Date”), hereby
issues to [ ] (the “Holder” or “Warrant Holder”) [ ] Warrants (collectively, the “Warrant”)
to purchase an aggregate of [ ] full shares, (each such share as from time to time adjusted as hereinafter provided being a “Warrant
Share” and all such shares being the “Warrant Shares”) of the Company’s Common Stock (as defined below),
at the Exercise Price (as defined below), as adjusted from time to time as provided herein, on or before ______________ ___, 2018
(the “Expiration Date”), all subject to the following terms and conditions. This Warrant is one of a series of warrants
of like tenor that have been issued in connection with the Company’s private offering (the “Offering”), solely
to accredited investors and/or non-U.S. investors, of units in accordance with, and subject to, the terms and conditions described
in the Subscription Agreement of the Company dated ______________ ___, 2013, as the same may be amended and supplemented from time
to time (the “Subscription Agreement”).

 

As used in this Warrant,
(i) “Business Day” means any day other than Saturday, Sunday or any other day on which commercial banks in the City
of New York, New York, are authorized or required by law or executive order to close; (ii) “Common Stock” means the
common stock of the Company, par value $0.0001 per share, including any securities issued or issuable with respect thereto or into
which or for which such shares may be exchanged for, or converted into, pursuant to any stock dividend, stock split, stock combination,
recapitalization, reclassification, reorganization or other similar event; (iii) “Exercise Price” means $0.30 per full
share of Common Stock, subject to adjustment as provided herein; (iv) “Trading Day” means any day on which the Common
Stock is traded (or available for trading) on its principal trading market; (v) “Affiliate” means any person that,
directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, a person,
as such terms are used and construed in Rule 144 promulgated under the U.S. Securities Act of 1933, as amended (the “Securities
Act”) and (vi) “Warrantholders” means the holders of Warrants issued pursuant to the Subscription Agreement.

 

1.DURATION AND EXERCISE OF WARRANTS

 

(a)Exercise
Period. The Holder may exercise this Warrant in whole or in part on any Business Day on or before 5:00 P.M., Eastern Time,
on the Expiration Date, at which time this Warrant shall become void and of no value.

 

    	 

    	 

    

 

(b)Exercise
Procedures.

 

(i)While this Warrant
remains outstanding and exercisable in accordance with Section 1(a), in addition to the manner set forth in Section 1(b)(ii) below,
the Holder may exercise this Warrant in whole or in part at any time and from time to time by:

 

(A)delivery to
the Company of a duly executed copy of the Notice of Exercise attached as Exhibit A;

 

(B)surrender of
this Warrant to the Secretary of the Company at its principal offices or at such other office or agency as the Company may specify
in writing to the Holder; and

 

(C)payment of the
then-applicable Exercise Price per full share multiplied by the number of Warrant Shares being purchased upon exercise of the Warrant
(such amount, the “Aggregate Exercise Price”) made in the form of cash, or by certified check, bank draft or money
order payable in lawful money of the United States of America.

 

(ii)In addition to
the provisions of Section 1(b)(i) above, if any time after the first anniversary of the Effective Date, a registration statement
covering the resale of the Warrant Shares by the Holder is not effective with the U.S. Securities and Exchange Commission (the
“SEC”), the Holder may, in its sole discretion, exercise all or any part of the Warrant in a “cashless”
or “net-issue” exercise (a “Cashless Exercise”) by delivering to the Company (1) the Notice of Exercise
and (2) the original Warrant, pursuant to which the Holder shall surrender the right to receive upon exercise of this Warrant,
a number of Warrant Shares having a value (as determined below) equal to the Aggregate Exercise Price, in which case, the number
of Warrant Shares to be issued to the Holder upon such exercise shall be calculated using the following formula:

 

  X =Y *
(A - B)

                 A

 

with: X = the
number of Warrant Shares to be issued to the Holder

 

  Y =the
number of Warrant Shares with respect to which the Warrant is being exercised

 

  A =the
fair value per share of Common Stock on the date of exercise of this Warrant

 

  B =the then-current
Exercise Price of the Warrant

 

Solely for the purposes
of this paragraph, “fair value” per share of Common Stock shall mean the average Closing Price (as defined below) per
share of Common Stock for the twenty (20) trading days immediately preceding the date on which the Notice of Exercise is deemed
to have been sent to the Company. “Closing Price” means, for any date, the price determined by the first of the following
clauses that applies: (a) if the Common Stock is then listed or quoted on the New York Stock Exchange, the American Stock Exchange,
the NASDAQ Global Select Market, the NASDAQ Global Market or the NASDAQ Capital Market or any other national securities exchange,
the closing price per share of the Common Stock for such date (or the nearest preceding date) on the primary eligible market or
exchange on which the Common Stock is then listed or quoted; (b) if prices for the Common Stock are then quoted on the OTC Bulletin
Board, the closing bid price per share of the Common Stock for such date (or the nearest preceding date) so quoted; or (c) if prices
for the Common Stock are then reported in the “Pink Sheets” published by the National Quotation Bureau Incorporated
(or a similar organization or agency succeeding to its functions of reporting prices), the most recent closing bid price per share
of the Common Stock so reported. If the Common Stock is not publicly traded as set forth above, the “fair value” per
share of Common Stock shall be reasonably and in good faith determined by the Board of Directors of the Company as of the date
which the Notice of Exercise is deemed to have been sent to the Company.

 

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For purposes of Rule
144 promulgated under the Securities Act, it is intended, understood and acknowledged that the Warrant Shares issued in a cashless
exercise transaction shall be deemed to have been acquired by the Holder, and the holding period for such shares shall be deemed
to have commenced, on the date this Warrant was originally issued.

 

(iii)Upon the exercise
of this Warrant in compliance with the provisions of this Section 1(b), the Company shall promptly issue and cause to be delivered
to the Holder a certificate for the Warrant Shares purchased by the Holder. Each exercise of this Warrant shall be effective immediately
prior to the close of business on the date (the “Date of Exercise”) that the conditions set forth in Section 1(b) have
been satisfied, as the case may be. On the first Business Day following the date on which the Company has received each of the
properly completed Notice of Exercise and the Aggregate Exercise Price in cleared funds (the “Exercise Delivery Documents”),
the Company shall transmit an acknowledgment of receipt of the Exercise Delivery Documents to the Company’s transfer agent
(the “Transfer Agent”). On or before the fifth Business Day following the date on which the Company has received all
of the Exercise Delivery Documents (the “Share Delivery Date”), the Company shall use its best efforts to cause its
transfer agent to issue and dispatch by certified or registered mail or overnight courier (at the Holder’s cost) to the address
as specified in the Notice of Exercise, a certificate, registered in the Company’s share register in the name of the Holder
or its designee, for the number of shares of Common Stock to which the Holder is entitled pursuant to such exercise.

 

(c)Partial Exercise.
This Warrant shall be exercisable, either in its entirety or, from time to time, for part only of the number of Warrant Shares
referenced by this Warrant. If this Warrant is submitted in connection with any exercise pursuant to Section 1 and the number of
Warrant Shares represented by this Warrant submitted for exercise is greater than the actual number of Warrant Shares being acquired
upon such an exercise, then the Company shall as soon as practicable and in no event later than seven (7) Business Days after any
exercise and at its own expense, issue a new Warrant of like tenor representing the right to purchase the number of Warrant Shares
purchasable immediately prior to such exercise under this Warrant, less the number of Warrant Shares with respect to which this
Warrant is exercised.

 

(d)Disputes.
In the case of a dispute as to the determination of the Exercise Price or the arithmetic calculation of the Warrant Shares, the
Company shall promptly issue to the Holder the number of Warrant Shares that are not disputed and resolve such dispute in accordance
with Section 16.

 

2.ISSUANCE OF WARRANT SHARES

 

(a)The Company
covenants that all Warrant Shares will, upon issuance in accordance with the terms of this Warrant, be (i) duly authorized, fully
paid and non-assessable, and (ii) free from all liens, charges and security interests, with the exception of claims arising through
the acts or omissions of any Holder and except as arising from applicable Federal and state securities laws.

 

(b)The Company
shall register this Warrant upon records to be maintained by the Company for that purpose in the name of the record holder of such
Warrant from time to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner thereof for
the purpose of any exercise thereof, any distribution to the Holder thereof and for all other purposes.

 

(c)The Company
will not, by amendment of its certificate of incorporation, by-laws or through any reorganization, transfer of assets, consolidation,
merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance or performance
of any of the terms to be observed or performed hereunder by the Company, but will at all times in good faith assist in the carrying
out of all the provisions of this Warrant and in the taking of all action necessary or appropriate in order to protect the rights
of the Holder to exercise this Warrant, or against impairment of such rights.

 

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3.ADJUSTMENTS OF EXERCISE PRICE, NUMBER
AND TYPE OF WARRANT SHARES

 

(a)The Exercise
Price and the number of shares purchasable upon the exercise of this Warrant shall be subject to adjustment from time to time upon
the occurrence of certain events described in this Section 3; provided, that notwithstanding the provisions of this Section 3,
the Company shall not be required to make any adjustment if and to the extent that such adjustment would require the Company to
issue a number of shares of Common Stock in excess of its authorized but unissued shares of Common Stock, less all amounts of Common
Stock that have been reserved for issue upon the conversion of all outstanding securities convertible into shares of Common Stock
and the exercise of all outstanding options, warrants and other rights exercisable for shares of Common Stock. If the Company does
not have the requisite number of authorized but unissued shares of Common Stock to make any adjustment, the Company shall use its
commercially best efforts to obtain the necessary stockholder consent to increase the authorized number of shares of Common Stock
to make such an adjustment pursuant to this Section 3.

 

(i)Subdivision
or Combination of Stock. In case the Company shall at any time subdivide (whether by way of stock dividend, stock split or
otherwise) its outstanding shares of Common Stock into a greater number of shares, the Exercise Price in effect immediately prior
to such subdivision shall be proportionately reduced and the number of Warrant Shares shall be proportionately increased, and conversely,
in case the outstanding shares of Common Stock of the Company shall be combined (whether by way of stock combination, reverse stock
split or otherwise) into a smaller number of shares, the Exercise Price in effect immediately prior to such combination shall be
proportionately increased and the number of Warrant Shares shall be proportionately decreased. The Exercise Price and the Warrant
Shares, as so adjusted, shall be readjusted in the same manner upon the happening of any successive event or events described in
this Section 3(a)(i).

 

(ii)Reorganization,
Reclassification, Consolidation, Merger or Sale.

 

(A)If any recapitalization,
reclassification or reorganization of the capital stock of the Company, or any consolidation or merger of the Company with another
corporation, or the sale of all or substantially all of its assets or other transaction shall be effected in such a way that there
is no “Change of Control” of the Company (as hereafter defined) and holders of Common Stock shall be entitled to receive
stock, securities, or other assets or property in exchange for their Common Stock (an “Organic Change”), then, as a
condition of such Organic Change, lawful and adequate provisions shall be made by the Company whereby the Holder hereof shall thereafter
have the right to purchase and receive (in lieu of the shares of the Common Stock of the Company immediately theretofore purchasable
and receivable upon the exercise of the rights represented by this Warrant) such shares of stock, securities or other assets or
property as may be issued or payable with respect to or in exchange for a number of outstanding shares of such Common Stock equal
to the number of shares of such stock immediately theretofore purchasable and receivable assuming the full exercise of the rights
represented by this Warrant. In the event of any Organic Change, appropriate provision shall be made by the Company with respect
to the rights and interests of the Holder of this Warrant to the end that the provisions hereof (including, without limitation,
registration rights) shall thereafter be applicable, in relation to any shares of stock or securities thereafter deliverable upon
the exercise hereof. The Company will not effect any such Organic Change unless, prior to the consummation thereof, the successor
corporation (if other than the Company) resulting from such Organic Change purchasing such assets shall assume by written instrument
reasonably satisfactory in form and substance to the then holders of a majority of the Warrants issued in the Offering executed
and mailed or delivered to the registered Holder hereof at the last address of such Holder appearing on the books of the Company,
the obligation to deliver to such Holder such shares of stock, securities or assets as, in accordance with the foregoing provisions,
such Holder may be entitled to purchase.

 

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(B)If any recapitalization,
reclassification or reorganization of the capital stock of the Company, or any consolidation or merger of the Company with another
corporation, or the sale of all or substantially all of its assets or other transaction shall be effected in such a way that there
is a “Change of Control” of the Company (as hereafter defined) and holders of Common Stock shall be entitled to receive
stock, securities, or other assets or property in exchange for their Common Stock (a “Control Change”), then, the Holder
shall be required to accept the net value of the Warrant (the fair market value less the exercise price) in exchange for the cancellation
of the Warrant. Such consideration shall be paid to the Holder at the same time as the consideration from the Control Change is
paid to the holders of the Company’s Common Stock. As a condition of such Control Change, the Company shall be required to
comply with subsection (C) below. “Change of Control” shall mean (i) the acquisition by any person or group (as that
term is defined in the Act and the rules promulgated thereunder) in a single transaction or a series of transactions of 30% or
more in voting power of the Common Stock of the Company; (ii) a sale of substantially all of the assets of the Company to an entity
that is not a subsidiary or the Company; (iii) a merger, consolidation or reorganization involving the Company, following which
the current stockholders of the Company as of the date hereof (the “Current Stockholders”) will not have voting power
with respect to at least 50% of the voting securities entitled to vote generally in the election of directors of the surviving
entity; or (iv) the consummation of a sale by the Current Stockholders to a third party (the “Acquiring Party”) of
some or all of the shares of Common Stock held by the Current Stockholders, which sale results in the Current Stockholders having
voting power with respect to less than 50% of the voting securities entitled to vote in the election of directors of the Company.

 

(C)If there is
an Organic Change or a Control Change, then the Company shall cause to be mailed to the Holder at its last address as it shall
appear on the books and records of the Company, at least 10 calendar days before the effective date of the Organic Change or the
Control Change, a notice stating the date on which such Organic Change or Control Change is expected to become effective or close,
and the date as of which it is expected that holders of the Common Stock of record shall be entitled to exchange their shares for
securities, cash, or other property delivered upon such Organic Change or Control Change; provided, that the failure to mail such
notice or any defect therein or in the mailing thereof shall not affect the validity of the corporate action required to be specified
in such notice. The Holder is entitled to exercise this Warrant during the 10-day period commencing on the date of such notice
to the effective date of the event triggering such notice. In any event, the successor corporation (if other than the Company)
resulting from an Organic Change (but not from a Control Change) shall be deemed to assume such obligation to deliver to such Holder
such shares of stock, securities or assets even in the absence of a written instrument assuming such obligation to the extent such
assumption occurs by operation of law.

 

(b)Certificate
as to Adjustments. Upon the occurrence of each adjustment or readjustment pursuant to this Section 3, the Company at its expense
shall promptly compute such adjustment or readjustment in accordance with the terms hereof and furnish to each Holder of this Warrant
a certificate setting forth such adjustment or readjustment and showing in detail the facts upon which such adjustment or readjustment
is based. The certificate shall also set forth the number of shares and the amount, if any, of other property which at the time
would be received upon the exercise of the Warrant.

 

(c)Certain Events.
If any event occurs as to which the other provisions of this Section 3 are not strictly applicable but the lack of any adjustment
would not fairly protect the purchase rights of the Holder under this Warrant in accordance with the basic intent and principles
of such provisions, or if strictly applicable would not fairly protect the purchase rights of the Holder under this Warrant in
accordance with the basic intent and principles of such provisions, then the Company’s Board of Directors will, in good faith,
make an appropriate adjustment to protect the rights of the Holder; provided, that no such adjustment pursuant to this Section
3(c) will increase the Exercise Price or decrease the number of Warrant Shares except as otherwise determined pursuant to this
Section 3.

 

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(d)Adjustment
of Exercise Price Upon Issuance of Additional Shares of Common Stock. In the event the Company shall at any time prior to the
Expiration Date issue Additional Shares of Common Stock, as defined below, without consideration or for a consideration per share
less than the Exercise Price (as such amount may be adjusted just prior to such issue pursuant to this Section 3), then the Exercise
Price shall be reduced, concurrently with such issue, to a price (calculated to the nearest cent) determined by multiplying such
Exercise Price by a fraction, (A) the numerator of which shall be (1) the number of shares of Common Stock outstanding immediately
prior to such issue plus (2) the number of shares of Common Stock which the aggregate consideration received or to be received
by the Company for the total number of Additional Shares of Common Stock so issued would purchase at such Exercise Price; and (B)
the denominator of which shall be the number of shares of Common Stock outstanding immediately prior to such issue plus the number
of such Additional Shares of Common Stock so issued; provided that, (i) for the purpose of this Section 3(d), all shares of Common
Stock issuable upon conversion or exchange of convertible securities outstanding immediately prior to such issue shall be deemed
to be outstanding, and (ii) the number of shares of Common Stock deemed issuable upon conversion or exchange of such outstanding
convertible securities shall be determined without giving effect to any adjustments to the conversion or exchange price or conversion
or exchange rate of such convertible securities resulting from the issuance of Additional Shares of Common Stock that is the subject
of this calculation. For purposes of this Warrant, “Additional Shares of Common Stock” shall mean all shares of Common
Stock issued by the Company after the Effective Date (including without limitation any shares of Common Stock issuable upon conversion
or exchange of any convertible securities or upon exercise of any option or warrant, on an as-converted basis), other than: (i)
shares of Common Stock issued or issuable upon conversion or exchange of any convertible securities or exercise of any options
or warrants outstanding on the Effective Date; (ii) shares of Common Stock issued or issuable by reason of a dividend, stock split,
split-up or other distribution on shares of Common Stock that is covered by Sections 3(a) above; (iii) shares of Common Stock (or
options with respect thereto) issued or issuable to employees or directors of, or consultants to, the Company or any of its subsidiaries
pursuant to a plan, agreement or arrangement approved by the Board of Directors of the Company including, but not limited to, the
Company’s 2011 Equity Incentive Plan described in the Company’s SEC Filings; (iv) any securities issued or issuable
by the Company pursuant to the Subscription Agreement; (v) securities issued pursuant to acquisitions or strategic transactions
approved by a majority of disinterested directors of the Company, provided that any such issuance shall only be to a person which
is, itself or through its subsidiaries, an operating company in a business synergistic with the business of the Company and in
which the Company receives benefits in addition to the investment of funds, but shall not include a transaction in which the Company
is issuing securities primarily for the purpose of raising capital or to an entity whose primary business is investing in securities;
and (vi) securities issued to financial institutions, institutional investors or lessors in connection with credit arrangements,
equipment financings or similar transactions approved by a majority of disinterested directors of the Company. The provisions of
this Section 3(d) shall not operate to increase the Exercise Price.

 

Upon each adjustment
of the Exercise Price pursuant to the provisions of this Section 3(d), the number of Warrant Shares issuable upon exercise of this
Warrant shall be adjusted by multiplying a number equal to the Exercise Price in effect immediately prior to such adjustment by
the number of Warrant Shares issuable upon exercise of this Warrant immediately prior to such adjustment and dividing the product
so obtained by the adjusted Exercise Price.

 

(e)Notwithstanding
the provisions of this Section 3, the Company shall not be required to make any adjustment if and to the extent that such adjustment
would require the Company to issue a number of Warrant Shares in excess of its authorized but unissued shares of Common Stock,
less all amounts of Common Stock that have been reserved for issue upon the conversion of all outstanding securities convertible
into shares of Common Stock and the exercise of all outstanding options, warrants and other rights exercisable for shares of Common
Stock. If the Company does not have the requisite number of authorized but unissued shares of Common Stock to make any adjustment,
the Company shall use its commercially best efforts to obtain the necessary stockholder consent to increase the authorized number
of shares of Common Stock to make such an adjustment pursuant to this Section 3.

 

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4.REDEMPTION OF WARRANTS

 

(a)General.
Prior to the Expiration Date, the Company shall have the option, subject to the conditions set forth herein, to redeem all of the
Warrants then outstanding upon not less than thirty (30) days’ prior written notice to the Warrant Holders at any time provided
that, at the time of delivery of such notice (i) the average closing bid price of the Company’s Common Stock for any five
(5) Trading Days during any ten (10) consecutive Trading Days prior to the date of the notice of redemption is at least $1.00,
as proportionately adjusted to reflect any stock splits, stock dividends, combination of shares or like events; and (ii) the average
trading volume for the Company’s Common Stock is at least 20,000 shares per day during the twenty (20) consecutive Trading
Days prior to the date of the notice of redemption and that during such twenty (20) Trading Day period, there is not more than
one (1) Trading Day where there is no trading in the Company’s Common Stock.

 

(b)Notice.
Notice of redemption will be effective upon mailing in accordance with this Section and such date may be referred to below as the
“Notice Date.” Notice of redemption shall be mailed by first class mail, postage prepaid, by the Company not less than
thirty (30) days prior to the date fixed for redemption to the Holders of the Warrants to be redeemed at their last addresses as
they shall appear on the registration books. Any notice mailed in the manner herein provided shall be conclusively presumed to
have been duly given whether or not the Holder received such notice.

 

(c)Redemption
Date and Redemption Price. The notice of redemption shall state the date set for redemption, which date shall be not less than
thirty (30) days from the Notice Date (the “Redemption Date”). The Company shall not mail the notice of redemption
unless all funds necessary to pay for redemption of the Warrants to be redeemed shall have first been set aside by the Company
for the benefit of the Warrant Holders so as to be and continue to be available therefor. The redemption price to be paid to the
Warrant Holders will be $0.00001 for each share of Common Stock of the Company to which the Warrant Holder would then be entitled
upon exercise of the Warrant being redeemed, as adjusted from time to time as provided herein (the “Redemption Price”).

 

(d)Exercise.
Following the Notice Date, the Warrant Holders may exercise their Warrants in accordance with Section 1 of this Warrant between
the Notice Date and 5:00 p.m. Eastern Time on the Redemption Date and such exercise shall be timely if the form of election to
purchase duly executed and the Warrant Exercise Price for the shares of Common Stock to be purchased, in cleared funds, are actually
received by the Company at its principal offices prior to 5:00 p.m. Eastern Time on the Redemption Date.

 

(e)Mailing.
If any Warrant Holder does not wish to exercise any Warrant being redeemed, he should mail such Warrant to the Company at its principal
offices after receiving the notice of redemption. On and after 5:00 p.m. Eastern Time on the Redemption Date, notwithstanding that
any Warrant subject to redemption shall not have been surrendered for redemption, the obligation evidenced by all Warrants not
surrendered for redemption or effectively exercised shall be deemed no longer outstanding, and all rights with respect thereto
shall forthwith cease and terminate, except only the right of the holder of each Warrant subject to redemption to receive the Redemption
Price for each share of Common Stock to which he would be entitled if he exercised the Warrant upon receiving notice of redemption
of the Warrant subject to redemption held by him.

 

5.TRANSFERS AND EXCHANGES OF WARRANT
AND WARRANT SHARES

 

(a)Registration
of Transfers and Exchanges. Subject to Section 5(c) of this Warrant, upon the Holder’s surrender of this Warrant, with
a duly executed copy of the Form of Assignment attached hereto as Exhibit B, to the Secretary of the Company at its principal
offices or at such other office or agency as the Company may specify in writing to the Holder, the Company shall register the transfer
of all or any portion of this Warrant. Upon such registration of transfer, the Company shall issue a new Warrant, in substantially
the form of this Warrant, evidencing the acquisition rights transferred to the transferee and a new Warrant, in similar form, evidencing
the remaining acquisition rights not transferred, to the Holder requesting the transfer.

 

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(b)Warrant Exchangeable
for Different Denominations. The Holder may exchange this Warrant for a new Warrant or Warrants, in substantially the form
of this Warrant, evidencing in the aggregate the right to purchase the number of Warrant Shares which may then be purchased hereunder,
each of such new Warrants to be dated the date of such exchange and to represent the right to purchase such number of Warrant Shares
as shall be designated by the Holder. The Holder shall surrender this Warrant with duly executed instructions regarding such re-certification
of this Warrant to the Secretary of the Company at its principal offices or at such other office or agency as the Company may specify
in writing to the Holder.

 

(c)Restrictions
on Transfers. This Warrant may not be transferred at any time without (i) registration under the Securities Act or (ii) an
exemption from such registration and a written opinion of legal counsel addressed to the Company that the proposed transfer of
the Warrant may be effected without registration under the Securities Act, which opinion will be in form and from counsel reasonably
satisfactory to the Company.

 

6.MUTILATED OR MISSING WARRANT CERTIFICATE

 

If this Warrant is
mutilated, lost, stolen or destroyed, upon request by the Holder, the Company will, at its expense, issue, in exchange for and
upon cancellation of the mutilated Warrant, or in substitution for the lost, stolen or destroyed Warrant, a new Warrant, in substantially
the form of this Warrant, representing the right to acquire the equivalent number of Warrant Shares; provided, that, as a prerequisite
to the issuance of a substitute Warrant, the Company may require satisfactory evidence of loss, theft or destruction as well as
an indemnity from the Holder of a lost, stolen or destroyed Warrant.

 

7.PAYMENT OF TAXES

 

The Company will pay
all transfer and stock issuance taxes attributable to the preparation, issuance and delivery of this Warrant and the Warrant Shares
(and replacement Warrants) including, without limitation, all documentary and stamp taxes; provided, however, that the Company
shall not be required to pay any tax in respect of the transfer of this Warrant, or the issuance or delivery of certificates for
Warrant Shares or other securities in respect of the Warrant Shares to any person or entity other than to the Holder.

 

8.FRACTIONAL WARRANT SHARES

 

No fractional Warrant
Shares shall be issued upon exercise of this Warrant. The Company, in lieu of issuing any fractional Warrant Share, shall round
down the aggregate number of Warrant Shares issuable to a Holder to the nearest whole share.

 

9.NO STOCK RIGHTS AND LEGEND

 

No holder of this Warrant,
as such, shall be entitled to vote or be deemed the holder of any other securities of the Company that may at any time be issuable
on the exercise hereof, nor shall anything contained herein be construed to confer upon the holder of this Warrant, as such, the
rights of a stockholder of the Company or the right to vote for the election of directors or upon any matter submitted to stockholders
at any meeting thereof, or give or withhold consent to any corporate action or to receive notice of meetings or other actions affecting
stockholders (except as provided herein), or to receive dividends or subscription rights or otherwise (except as provide herein).

 

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Each certificate for
Warrant Shares initially issued upon the exercise of this Warrant, and each certificate for Warrant Shares issued to any subsequent
transferee of any such certificate, shall be stamped or otherwise imprinted with a legend in substantially the following form:

 

“THE SECURITIES
REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR ANY STATE SECURITIES LAWS, AND NEITHER SUCH SECURITIES NOR ANY INTEREST THEREIN MAY BE OFFERED, SOLD, PLEDGED,
ASSIGNED OR OTHERWISE TRANSFERRED UNLESS (1) A REGISTRATION STATEMENT WITH RESPECT THERETO IS EFFECTIVE UNDER THE SECURITIES ACT
AND ANY APPLICABLE STATE SECURITIES LAWS, OR (2) AN EXEMPTION FROM SUCH REGISTRATION EXISTS AND THE COMPANY RECEIVES AN OPINION
OF COUNSEL TO THE HOLDER OF SUCH SECURITIES, WHICH COUNSEL AND OPINION ARE REASONABLY SATISFACTORY TO THE COMPANY, THAT SUCH SECURITIES
MAY BE OFFERED, SOLD, PLEDGED, ASSIGNED OR TRANSFERRED IN THE MANNER CONTEMPLATED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT UNDER
THE SECURITIES ACT OR APPLICABLE STATE SECURITIES LAWS.”

 

10.REGISTRATION RIGHTS

 

The Holder shall be
entitled to piggyback registration rights with respect to the Warrant Shares to the extent provided in Section 18 of the Subscription
Agreement.

 

11.NOTICES

 

All notices, consents,
waivers, and other communications under this Warrant must be in writing and will be deemed given to a party when (a) delivered
to the appropriate address by hand or by nationally recognized overnight courier service (costs prepaid); (b) sent by facsimile
or e-mail with confirmation of transmission by the transmitting equipment; (c) received or rejected by the addressee, if sent by
certified mail, return receipt requested, if to the registered Holder hereof; or (d) seven days after the placement of the notice
into the mails (first class postage prepaid), to the Holder at the address, facsimile number, or e-mail address furnished by the
registered Holder to the Company in accordance with the Subscription Agreement by and between the Company and the Holder, or if
to the Company, to it at 2365 Iron Point Road, Suite 190, Folsom, CA 95630, Attention: Chief Executive Officer (or to such other
address, facsimile number, or e-mail address as the Holder or the Company as a party may designate by notice the other party) with
a copy to Gottbetter & Partners, LLP, 488 Madison Avenue, 12th Floor, New York, NY 10022, Attention: Adam S. Gottbetter,
Esq.

 

12.SEVERABILITY

 

If a court of competent
jurisdiction holds any provision of this Warrant invalid or unenforceable, the other provisions of this Warrant will remain in
full force and effect. Any provision of this Warrant held invalid or unenforceable only in part or degree will remain in full force
and effect to the extent not held invalid or unenforceable.

 

13.BINDING EFFECT

 

This Warrant shall
be binding upon and inure to the sole and exclusive benefit of the Company, its successors and assigns, and the registered Holder
or Holders from time to time of this Warrant and the Warrant Shares.

 

    	9

    	 

    

 

14.SURVIVAL OF RIGHTS AND DUTIES

 

This Warrant shall
terminate and be of no further force and effect on the earlier of 5:00 p.m. Eastern Time, on the Expiration Date or the date on
which this Warrant has been exercised in full.

 

15.GOVERNING LAW

 

This Warrant will be
governed by and construed under the laws of the State of New York without regard to conflicts of laws principles that would require
the application of any other law.

 

16.DISPUTE RESOLUTION

 

In the case of a dispute
as to the determination of the Exercise Price or the arithmetic calculation of the Warrant Shares, the Company shall submit the
disputed determinations or arithmetic calculations via facsimile within two Business Days of receipt of the Notice of Exercise
giving rise to such dispute, as the case may be, to the Holder. If the Holder and the Company are unable to agree upon such determination
or calculation of the Exercise Price or the Warrant Shares within three Business Days of such disputed determination or arithmetic
calculation being submitted to the Holder, then the Company shall, within two Business Days, submit via facsimile (a) the disputed
determination of the Exercise Price to an independent, reputable investment bank selected by the Company and approved by the Holder
or (b) the disputed arithmetic calculation of the Warrant Shares to the Company’s independent, outside accountant. The Company
shall cause at its expense the investment bank or the accountant, as the case may be, to perform the determinations or calculations
and notify the Company and the Holder of the results no later than ten (10) Business Days from the time it receives the disputed
determinations or calculations. Such investment bank’s or accountant’s determination or calculation, as the case may
be, shall be binding upon all parties absent demonstrable error.

 

17.NOTICES OF RECORD DATE

 

Upon (a) any establishment
by the Company of a record date of the holders of any class of securities for the purpose of determining the holders thereof who
are entitled to receive any dividend or other distribution, or right or option to acquire securities of the Company, or any other
right, or (b) any capital reorganization, reclassification, recapitalization, merger or consolidation of the Company with or into
any other corporation, any transfer of all or substantially all the assets of the Company, or any voluntary or involuntary dissolution,
liquidation or winding up of the Company, or the sale, in a single transaction, of a majority of the Company’s voting stock
(whether newly issued, or from treasury, or previously issued and then outstanding, or any combination thereof), the Company shall
mail to the Holder at least ten (10) Business Days, or such longer period as may be required by law, prior to the record date specified
therein, a notice specifying (i) the date established as the record date for the purpose of such dividend, distribution, option
or right and a description of such dividend, option or right, (ii) the date on which any such reorganization, reclassification,
transfer, consolidation, merger, dissolution, liquidation or winding up, or sale is expected to become effective and (iii) the
date, if any, fixed as to when the holders of record of Common Stock shall be entitled to exchange their shares of Common Stock
for securities or other property deliverable upon such reorganization, reclassification, transfer, consolation, merger, dissolution,
liquidation or winding up.

 

18.RESERVATION OF SHARES

 

Subject to Section
3(e) of this Warrant, the Company shall reserve and keep available out of its authorized but unissued shares of Common Stock for
issuance upon the exercise of this Warrant, free from pre-emptive rights, such number of shares of Common Stock for which this
Warrant shall from time to time be exercisable. The Company will take all such reasonable action as may be necessary to assure
that such Warrant Shares may be issued as provided herein without violation of any applicable law or regulation. Subject to Section
3(e) of this Warrant, without limiting the generality of the foregoing, the Company covenants that it will use commercially reasonable
efforts to take all such action as may be necessary or appropriate in order that the Company may validly and legally issue fully
paid and nonassessable Warrant Shares upon the exercise of this Warrant and use commercially reasonable efforts to obtain all such
authorizations, exemptions or consents, including but not limited to consents from the Company’s stockholders or Board of
Directors or any public regulatory body, as may be necessary to enable the Company to perform its obligations under this Warrant.

 

    	10

    	 

    

 

19.NO THIRD PARTY RIGHTS

 

This Warrant is not
intended, and will not be construed, to create any rights in any parties other than the Company and the Holder, and no person or
entity may assert any rights as third-party beneficiary hereunder.

 

[Signature page follows]

 

    	11

    	 

    

 

IN WITNESS WHEREOF, the Company has caused
this Warrant to be duly executed as of the date first set forth above.

 

RACKWISE, INC. 

 

By: ____________________________

Name:  Guy A. Archbold

Title:   President and Chief Executive
Officer

 

    	12

    	 

    

 

EXHIBIT A

 

NOTICE OF EXERCISE

 

(To be executed by the Holder of Warrant
if such Holder desires to exercise Warrant)

 

To Rackwise, Inc.:

 

The undersigned hereby
irrevocably elects to exercise this Warrant and to purchase thereunder, ___________________ full shares of Rackwise, Inc. common
stock issuable upon exercise of the Warrant and delivery of (i) $_________ (in cash as provided for in the foregoing Warrant) and
any applicable taxes payable by the undersigned pursuant to such Warrant; or (ii) __________ shares of Common Stock (pursuant to
a Cashless Exercise in accordance with Section 1(b)(ii) of this Warrant).

 

The undersigned requests
that certificates for such shares be issued in the name of:

 

_________________________________________

(Please print name, address and social security
or federal employer

identification number (if applicable))

 

_________________________________________

 

_________________________________________

 

If the shares issuable
upon this exercise of the Warrant are not all of the Warrant Shares which the Holder is entitled to acquire upon the exercise of
the Warrant, the undersigned requests that a new Warrant evidencing the rights not so exercised be issued in the name of and delivered
to:

 

_________________________________________

(Please print name, address and social security
or federal employer

identification number (if applicable))

 

_________________________________________

 

_________________________________________

 

Name of Holder (print):_____________________________ 

 

(Signature):______________________________________

 

(By:)___________________________________________

 

(Title:)__________________________________________

 

Dated:__________________________________________

 

 

    	 

    	 

    

 

EXHIBIT B

 

FORM OF ASSIGNMENT

 

FOR VALUE RECEIVED,
___________________________________ hereby sells, assigns and transfers to each assignee set forth below all of the rights of the
undersigned under the Warrant (as defined in and evidenced by the attached Warrant) to acquire the number of Warrant Shares set
opposite the name of such assignee below and in and to the foregoing Warrant with respect to said acquisition rights and the shares
issuable upon exercise of the Warrant:

 

	Name of Assignee	 	Address	 	Number of Shares
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

 

 

 

 

If the total of the
Warrant Shares are not all of the Warrant Shares evidenced by the foregoing Warrant, the undersigned requests that a new Warrant
evidencing the right to acquire the Warrant Shares not so assigned be issued in the name of and delivered to the undersigned.

 

 

Name of Holder (print):_____________________________ 

 

(Signature):______________________________________

 

(By:)___________________________________________

 

(Title:)__________________________________________

 

Dated:__________________________________________Exhibit 10.25

 

 

 

SUBSCRIPTION ESCROW AGREEMENT

 

Subscription Escrow
Agreement (the “Escrow Agreement”) dated as of the effective date (the “Effective Date”) set forth on Schedule
1 attached hereto (“Schedule 1”) by and among the corporation identified on Schedule 1 (the “Issuer”),
the limited liability company identified on Schedule 1 (the “Depositor”) and CSC Trust Company of Delaware, as escrow
agent hereunder (the “Escrow Agent”).

 

WHEREAS, the
Issuer intends to offer and sell to investors in a private placement offering (the “Offering”) a maximum of 25,000,000
(the “Maximum Amount”) units of its securities (the “Units”), at a purchase price of $0.15 per Unit (the
“Purchase Price”); each Unit consists of (i) one share of the Issuer’s common stock, par value $0.0001 per share
(“Common Stock”), and (ii) a redeemable warrant representing the right to purchase one (1) share of Common Stock, exercisable
for a period of five years at an exercise price of $0.30 per whole share; and in the event the Offering is oversubscribed, the
Issuer may, in its discretion, sell up to 5,000,000 additional Units (the “Over-Allotment”) at the same purchase price
per Unit;

 

WHEREAS, the
Offering is being made on a best efforts basis until the Maximum Amount is reached, to “accredited investors” in accordance
with Rule 506 of Regulation D under the U.S. Securities Act, as amended (the “Securities Act”), and/or to “non-U.S.
Persons” in accordance with Rule 903 of Regulation S under the Securities Act;

 

WHEREAS, Units
will be offered through November 30, 2012 (the “Initial Offering Period”), which period may be extended
at the discretion of the Issuer and the Depositor until February 1, 2013 (this additional period and the Initial Offering Period
shall be referred to as the “Offering Period”);

 

WHEREAS, the
initial closing of the Offering (the “Initial Closing”) is conditioned on the receipt of acceptable subscriptions by
the Issuer and the satisfaction of other closing conditions (collectively, the “Initial Closing Conditions”);

 

WHEREAS, after
the Initial Closing, the Issuer and the Depositor may mutually agree to continue the Offering until the Maximum Amount has been
reached or the end of the Offering Period, whichever is earlier, and subsequent closings (each, a “Subsequent Closing”)
may take place on an intermittent basis, as deemed practical by the Issuer and the Depositor, conditioned on the receipt of acceptable
subscriptions (this requirement for the receipt of acceptable subscriptions, together with certain other conditions to closing,
are collectively referred to as the “Subsequent Closing Conditions”);

 

WHEREAS, the
subscribers in the Offering (the “Subscribers”), in connection with their intent to purchase Units in the Offering,
shall execute and deliver Subscription Agreements and certain related documents memorializing the Subscribers’ agreements
to purchase and the Issuer’s agreement to sell the number of Units set forth therein at the Purchase Price;

 

WHEREAS, the
parties hereto desire to provide for the safekeeping of the Escrow Deposit (as defined below) until such time as the Escrow Deposit
is released by the Escrow Agent in accordance with the terms and conditions of this Agreement; and

 

WHEREAS, the
Escrow Agent has agreed to accept, hold, and disburse the Escrow Deposit deposited with it and the earnings thereon in accordance
with the terms of this Escrow Agreement.

 

NOW
THEREFORE, in consideration of the foregoing and of the mutual covenants hereinafter set forth, the parties hereto agree
as follows:

 

    	 

    	 

    

 

1.Appointment.  The
Issuer and Depositor hereby appoint the Escrow Agent as their escrow agent for the purposes set forth herein, and the Escrow Agent
hereby accepts such appointment under the terms and conditions set forth herein.

 

2.Escrow
Fund.  On or before the Initial Closing, or on or before any Subsequent Closing with respect to Units sold after
the Initial Closing, each Subscriber shall have delivered to the Escrow Agent the full Purchase Price for the number of Units subscribed
for by such Subscriber by check sent to the Escrow Agent at its address set forth on Schedule 1 or by wire transfer of immediately
available funds pursuant to the wire transfer instructions set forth on Schedule 2 hereto, to the account of the Escrow Agent referenced
on Schedule 2 hereto. All funds received from the Subscribers in connection with the sale of Units in the Offering shall be deposited
with the Escrow Agent (the “Escrow Deposit”). The Escrow Agent shall hold the Escrow Deposit and, subject to the terms
and conditions hereof, shall invest and reinvest the Escrow Deposit and the proceeds thereof (the “Escrow Fund”) as
directed in Section 3.

 

3.Investment
of Escrow Fund.  During the term of this Escrow Agreement, the Escrow Fund shall be invested and reinvested by the
Escrow Agent in the investment indicated on Schedule 1 or such other investments as shall be directed in writing by the Issuer
and the Depositor and as shall be acceptable to the Escrow Agent. All investment orders involving U.S. Treasury obligations, commercial
paper and other direct investments may be executed through broker-dealers selected by the Escrow Agent. Periodic statements will
be provided to the Issuer and the Depositor reflecting transactions executed on behalf of the Escrow Fund. The Issuer and the Depositor,
upon written request, will receive a statement of transaction details upon completion of any securities transaction in the Escrow
Fund without any additional cost. The Escrow Agent shall have the right to liquidate any investments held in order to provide funds
necessary to make required payments under this Escrow Agreement. The Escrow Agent shall have no liability for any loss sustained
as a result of any investment in an investment indicated on Schedule 1 or any investment made pursuant to the instructions of the
parties hereto or as a result of any liquidation of any investment prior to its maturity or for the failure of the parties to give
the Escrow Agent instructions to invest or reinvest the Escrow Fund. The Escrow Agent may earn compensation in the form of short-term
interest (“float”) on items like uncashed distribution checks (from the date issued until the date cashed), funds that
the Escrow Agent is directed not to invest, deposits awaiting investment direction or received too late to be invested overnight
in previously directed investments.

 

4.Disposition
and Termination.  The Depositor and the Issuer agree to notify the Escrow Agent in writing of any subscription revocations
and the Initial Closing date of the Offering. Additionally, subsequent to an Initial Closing, Depositor and the Issuer agree to
notify the Escrow Agent in writing of Subsequent Closing dates, if any, and of the termination of the Offering. Upon receipt of
such written notification(s), the following procedures will take place:

 

		(i)	Release of Escrow Fund upon Initial Closing. Prior to the Initial Closing, the Issuer and
the Depositor shall deliver to the Escrow Agent joint written instructions executed by a duly authorized executive officer of each
of the Issuer and the Depositor (“Instructions”), which Instructions shall provide the day designated as the Initial
Closing date, and acknowledge and agree that as of the Initial Closing date the Initial Closing Conditions have been or will be
fully satisfied and shall specify the time and payment instructions, including the address and tax identification number of each
payee, of the Escrow Fund, including with respect to placement fees that may be disbursed to the Depositor or to any other placement
agent or selected dealer with respect to the Offering. The Escrow Agent shall, at the time and in accordance with the payment instructions
specified in the Instructions, deliver the Escrow Fund (without interest).

 

    	2

    	 

    

 

		(ii)	Release of Escrow Fund upon a Subsequent Closing. Prior to a Subsequent Closing, the Issuer
and the Depositor shall deliver to the Escrow Agent Instructions, which Instructions shall provide the day designated as the Subsequent
Closing date, and acknowledge and agree that as of the Subsequent Closing date the Subsequent Closing Conditions have been or will
be fully satisfied and shall specify the time and payment instructions, including the address and tax identification number of
each payee, of the Escrow Fund, including with respect to placement fees that may be disbursed to the Depositor or to any other
placement agent or selected dealer. The Escrow Agent shall, at the time and in accordance with the payment instructions specified
in the Instructions, deliver the then Escrow Fund (without interest).

 

		(iii)	Return of Escrow Fund on Termination of Offering. In the event that the Escrow Agent shall
have received written notice executed by a duly authorized executive officer of each of the Issuer and the Depositor indicating
that the Offering has been terminated prior to the Initial Closing and designating a termination date, the Escrow Agent shall return
to each Subscriber, the Purchase Price (without interest and deduction) delivered by such Subscriber to the Escrow Agent. The Issuer
and the Depositor shall provide the Escrow Agent with time and payment instructions, including the address and tax identification
number of each payee, for each Subscriber whose Purchase Price the Escrow Agent is to deliver pursuant to this Section (but in
no case shall the Escrow Agent deliver such Purchase Price more than thirty (30) days following receipt by the Escrow Agent of
such delivery instructions).

 

		(iv)	Return of Escrow Fund on Rejection of Subscription. In the event the Issuer determines it
is necessary or appropriate to reject the subscription of any Subscriber for whom the Escrow Agent has received an Escrow Deposit,
the Issuer shall deliver written notice of such event to the Escrow Agent and the Depositor which notice shall include the reason
for such rejection and the time and payment instructions, including the address and tax identification number of each payee, for
the return to such Subscriber of the Purchase Price delivered by such Subscriber. The Escrow Agent shall deliver such funds (without
interest and deduction) pursuant to such written notice.

 

		(v)	Return of Escrow Fund on Revocation of Subscription. In the event that the Escrow Agent
shall have received written notice executed by a duly authorized executive officer of each of the Issuer and the Depositor indicating
that any subscription has been revoked prior to the Initial Closing, pursuant to the subscription agreement between the Issuer
and the relevant Subscriber, the Escrow Agent shall return to such revoking Subscriber, the Purchase Price (without interest and
deduction) delivered by such Subscriber to the Escrow Agent. The Issuer and the Depositor shall provide the Escrow Agent with time
and payment instructions, including the address and tax identification number of each payee, for each Subscriber whose Purchase
Price the Escrow Agent is to deliver pursuant to this Section (but in no case shall the Escrow Agent deliver such Purchase Price
more than thirty (30) days following receipt by the Escrow Agent of such delivery instructions).

 

    	3

    	 

    

 

		(vi)	Delivery Pursuant to Court Order. Notwithstanding any provision contained herein, upon receipt
by the Escrow Agent of a final and non-appealable judgment, order, decree or award of a court of competent jurisdiction (a “Court
Order”), the Escrow Agent shall deliver the Escrow Fund in accordance with the Court Order. Any Court Order shall be accompanied
by an opinion of counsel for the party presenting the Court Order to the Escrow Agent (which opinion shall be satisfactory to the
Escrow Agent) to the effect that the court issuing the Court Order has competent jurisdiction and that the Court Order is final
and non-appealable.

 

Upon delivery of the Escrow Fund by the
Escrow Agent (i) to the Issuer following the Initial Closing, if there are to be no Subsequent Closings, (ii) following a final
Subsequent Closing, or (iii) to the Subscribers upon termination of the Offering prior to the Initial Closing, as the case may
be, and in each case notice of termination of the Offering having been delivered by the Issuer and the Depositor to the Escrow
Agent, this Escrow Agreement shall terminate, subject to the provisions of Section 8.

 

5.Escrow Agent.  The
Escrow Agent undertakes to perform only such duties as are expressly set forth herein and no duties shall be implied. The Escrow
Agent shall have no liability under and no duty to inquire as to the provisions of any agreement other than this Escrow Agreement.
The Escrow Agent may rely upon and shall not be liable for acting or refraining from acting upon any written notice, instruction
or request furnished to it hereunder and believed by it to be genuine and to have been signed or presented by the proper party
or parties. The Escrow Agent shall be under no duty to inquire into or investigate the validity, accuracy or content of any such
document. The Escrow Agent shall have no duty to solicit any payments which may be due it or the Escrow Fund. The Escrow Agent
shall not be liable for any action taken or omitted by it in good faith except to the extent that a court of competent jurisdiction
determines that the Escrow Agent’s gross negligence or willful misconduct was the primary cause of any loss to the Issuer
or Depositor. The Escrow Agent may execute any of its powers and perform any of its duties hereunder directly or through agents
or attorneys (and shall be liable only for the careful selection of any such agent or attorney) and may consult with counsel, accountants
and other skilled persons to be selected and retained by it. The Escrow Agent shall not be liable for anything done, suffered or
omitted in good faith by it in accordance with the advice or opinion of any such counsel, accountants or other skilled persons.
In the event that the Escrow Agent shall be uncertain as to its duties or rights hereunder or shall receive instructions, claims
or demands from any party hereto which, in its opinion, conflict with any of the provisions of this Escrow Agreement, it shall
be entitled to refrain from taking any action and its sole obligation shall be to keep safely all property held in escrow until
it shall be directed otherwise in writing by all of the other parties hereto or by a final order or judgment of a court of competent
jurisdiction. Anything in this Escrow Agreement to the contrary notwithstanding, in no event shall the Escrow Agent be liable for
special, indirect or consequential loss or damage of any kind whatsoever (including but not limited to lost profits), even if the
Escrow Agent has been advised of the likelihood of such loss or damage and regardless of the form of action.

 

6.Succession.  The
Escrow Agent may resign and be discharged from its duties or obligations hereunder by giving 10 business days advance notice in
writing of such resignation to the other parties hereto specifying a date when such resignation shall take effect. The Escrow Agent
shall have the right to withhold an amount equal to any amount due and owing to the Escrow Agent, plus any costs and expenses the
Escrow Agent shall reasonably believe may be incurred by the Escrow Agent in connection with the termination of the Escrow Agreement.
Any corporation or association into which the Escrow Agent may be merged or converted or with which it may be consolidated shall
be the Escrow Agent under this Escrow Agreement without further act.

 

    	4

    	 

    

 

7.Fees.  The
Issuer and the Depositor agree jointly and severally to (i) pay the Escrow Agent upon the Initial Closing and from time to time
thereafter reasonable compensation for the services to be rendered hereunder, which unless otherwise agreed in writing shall be
as described in Schedule 4 attached hereto, and (ii) pay or reimburse the Escrow Agent upon request for all expenses, disbursements
and advances, including reasonable attorney’s fees and expenses, incurred or made by it in connection with the preparation,
execution, performance, delivery, modification and termination of this Escrow Agreement. The Escrow Agent is authorized to deduct
such fees from the Escrow Fund at the time of the Initial Closing without prior authorization from the Issuer or the Depositor.
In the event that the Offering is terminated prior to an Initial Closing, the Issuer and the Depositor agree to pay the Escrow
Agent the Review Fee and the Acceptance Fee as described in Schedule 4 hereto.

 

8.Indemnity.  The
Issuer and the Depositor shall jointly and severally indemnify, defend and save harmless the Escrow Agent and its directors, officers,
agents and employees (the “indemnitees”) from all loss, liability or expense (including the reasonable fees and expenses
of in house or outside counsel) arising out of or in connection with (i) the Escrow Agent’s execution and performance of
this Escrow Agreement, except in the case of any indemnitee to the extent that such loss, liability or expense is due to the gross
negligence or willful misconduct of such indemnitee, or (ii) its following any instructions or other directions from the Issuer
or the Depositor, except to the extent that its following any such instruction or direction is expressly forbidden by the terms
hereof. The parties hereto acknowledge that the foregoing indemnities shall survive the resignation or removal of the Escrow Agent
or the termination of this Escrow Agreement.

 

9.TINs.  The
Issuer and the Depositor each represent that its correct TIN assigned by the Internal Revenue Service or any other taxing authority
is set forth in Schedule 1. All interest or other income earned under the Escrow Agreement, if any, shall be allocated and/or paid
as directed in a joint written direction of the Issuer and the Depositor and reported by the recipient to the Internal Revenue
Service or any other taxing authority. Notwithstanding such written directions, the Escrow Agent shall report and, if required,
withhold any taxes as it determines may be required by any law or regulation in effect at the time of the distribution. In the
absence of timely direction, all proceeds of the Escrow Fund shall be retained in the Escrow Fund and reinvested from time to time
by the Escrow Agent as provided in Section 3. In the event that any earnings remain undistributed at the end of any calendar year,
the Escrow Agent shall report to the Internal Revenue Service or such other authority such earnings as it deems appropriate or
as required by any applicable law or regulation or, to the extent consistent therewith, as directed in writing by the Issuer and
the Depositor. In addition, the Escrow Agent shall withhold any taxes it deems appropriate and shall remit such taxes to the appropriate
authorities.

 

10.Notices.  All
communications hereunder shall be in writing and shall be deemed to be duly given and received:

 

		(i)	upon delivery if delivered personally or upon confirmed transmittal if by facsimile;

 

		(ii)	on the next Business Day (as hereinafter defined)
if sent by overnight courier; or

 

		(iii)	four (4) Business Days after mailing if mailed by prepaid registered
mail, return receipt requested, to the appropriate notice address set forth on Schedule 1 or at such other address as any party
hereto may have furnished to the other parties in writing by registered mail, return receipt requested.

 

    	5

    	 

    

 

Notwithstanding the above, in the case
of communications delivered to the Escrow Agent pursuant to (ii) and (iii) of this Section 10, such communications shall be deemed
to have been given on the date received by the Escrow Agent. In the event that the Escrow Agent, in its sole discretion, shall
determine that an emergency exists, the Escrow Agent may use such other means of communication as the Escrow Agent deems appropriate.
“Business Day” shall mean any day other than a Saturday, Sunday or any other day on which the Escrow Agent located
at the notice address set forth on Schedule 1 is authorized or required by law or executive order to remain closed.

 

11.Security
Procedures.  In the event funds transfer instructions are given (other than in writing at the time of execution of
this Escrow Agreement), whether in writing, by telecopier or otherwise, the Escrow Agent is authorized to seek confirmation of
such instructions by telephone call-back to the person or persons designated on Schedule 3 hereto, and the Escrow Agent may rely
upon the confirmation of anyone purporting to be the person or persons so designated. The persons and telephone numbers for call-backs
may be changed only in a writing actually received and acknowledged by the Escrow Agent. The Escrow Agent and the beneficiary’s
bank in any funds transfer may rely solely upon any account numbers or similar identifying numbers provided by the Issuer or the
Depositor to identify (i) the beneficiary, (ii) the beneficiary’s bank, or (iii) an intermediary bank. The Escrow Agent may
apply any of the escrowed funds for any payment order it executes using any such identifying number, even where its use may result
in a person other than the beneficiary being paid, or the transfer of funds to a bank other than the beneficiary’s bank or
an intermediary bank designated. The parties to this Escrow Agreement acknowledge that these security procedures are commercially
reasonable.

 

12.Miscellaneous.  The
provisions of this Escrow Agreement may be waived, altered, amended or supplemented, in whole or in part, only by a writing signed
by all of the parties hereto. Neither this Escrow Agreement nor any right or interest hereunder may be assigned in whole or in
part by any party, except as provided in Section 6, without the prior consent of the other parties, which consent shall not be
unreasonably withheld. This Escrow Agreement shall be governed by and construed under the laws of the State of Delaware. Each party
hereto irrevocably waives any objection on the grounds of venue, forum non-conveniens or any similar grounds and irrevocably consents
to service of process by mail or in any other manner permitted by applicable law and consents to the jurisdiction of the courts
located in the State of Delaware. The parties further hereby waive any right to a trial by jury with respect to any lawsuit or
judicial proceeding arising or relating to this Escrow Agreement. No party to this Escrow Agreement is liable to any other party
for losses due to, or if it is unable to perform its obligations under the terms of this Escrow Agreement because of, acts of God,
fire, floods, strikes, equipment or transmission failure, or other causes reasonably beyond its control. This Escrow Agreement
may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute
one and the same instrument. The exchange of copies of this Escrow Agreement and of signature pages by facsimile transmission or
in pdf format shall constitute effective execution and delivery of this Escrow Agreement as to the parties and may be used in lieu
of the original Escrow Agreement for all purposes. Signatures of the parties transmitted by facsimile or in pdf format shall be
deemed to be their original signatures for all purposes.

 

[Remainder of Page Intentionally Left
Blank]

 

    	6

    	 

    

 

IN WITNESS WHEREOF,
the parties hereto have executed this Subscription Escrow Agreement as of the date set forth in Schedule 1. 

 

CSC Trust Company of Delaware,

as Escrow Agent

 

 

By: /s/ Alan
R. Halpern                  

Name:  Alan R. Halpern

Title:   Vice President

 

 

ISSUER:

 

Rackwise, Inc.

 

 

By: /s/ Guy A. Archbold                 

Name:  Guy A. Archbold

Title:   President
and Chief Executive Officer

 

 

DEPOSITOR:

 

Gottbetter Capital Markets,
LLC

 

 

By: /s/ Julio Marquez                     

Name:  Julio Marquez

Title:   President

 

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Schedule 1

 

	Effective Date:	September 1, 2012
	 	 
	Name of Issuer:	Rackwise, Inc.
	Issuer Notice Address:	2365 Iron Point Road, Suite 190
		Folsom, CA  95630
	 	 
	Issuer TIN:	26-3439890
	 	 
	With a copy to:	Gottbetter & Partners, LLP
		488 Madison Avenue, 12th Floor
		New York, NY 10022
		Attn:  Adam S. Gottbetter
	 	 
	Name of Depositor:	Gottbetter Capital Markets, LLC
	Depositor Notice Address: 	488 Madison Avenue, 12th floor
	 	New York, NY 10022
	 	 
	Depositor TIN:	26-1365612
	 	 
	Escrow Deposit:	$5,000,000 maximum deposit, in whole or in parts, plus any over-allotment

 

Investment:

 

		 ̈	Goldman Sachs Financial Square Funds Prime Obligations
Fund Service Shares (the “Share Class”), an institutional money market mutual fund for which the Escrow Agent serves
as shareholder servicing agent and/or custodian or subcustodian. The parties hereto: (i) acknowledge Escrow Agent’s disclosure
of the services CSC is providing to and the fees it receives from Goldman Sachs; (ii) consent to the Escrow Agent’s receipt
of these fees in return for providing shareholder services for the Share Class; and (iii) acknowledge that the Escrow Agent has
provided on or before the date hereof a Goldman Sachs Financial Square Funds Prime Obligations Fund Service Shares prospectus
which discloses, among other things, the various expenses of the Share Class and the fees to be received by the Escrow Agent.

 

		 ̈	Such other investments as Issuer, Depositor and Escrow
Agent may from time to time mutually agree upon in a writing executed and delivered by the Issuer and the Depositor and accepted
by the Escrow Agent.

 

		x	The funds shall not be invested.

 

Escrow
Agent notice address:

CSC Trust
Company of Delaware

2711 Centerville Road

One Little
Falls Centre

Wilmington,
DE 19808

Attention:
Alan R. Halpern

Fax No.:  302-636-8666

 

Escrow
Agent’s compensation: See Appended Schedule 4.

 

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