Document:

EXHIBIT 10.22

                            9% CONVERTIBLE DEBENTURE

     NEITHER THESE SECURITIES NOR THE SECURITIES ISSUABLE UPON CONVERSION HEREOF
     HAVE  BEEN  REGISTERED  WITH THE  UNITED  STATES  SECURITIES  AND  EXCHANGE
     COMMISSION  OR  THE  SECURITIES  COMMISSION  OF  ANY  STATE  OR  UNDER  THE
     SECURITIES  ACT OF  1933,  AS  AMENDED  (THE  "ACT").  THE  SECURITIES  ARE
     RESTRICTED AND MAY NOT BE OFFERED, RESOLD, PLEDGED OR TRANSFERRED EXCEPT AS
     PERMITTED UNDER THE ACT PURSUANT TO AN EFFECTIVE  REGISTRATION STATEMENT OR
     AN EXEMPTION FROM SUCH REGISTRATION REQUIREMENTS.

                              PAWNBROKER.COM, INC.

No. 1                                                                US $500,000

                  9% CONVERTIBLE DEBENTURE DUE DECEMBER 7, 2001

     THIS DEBENTURE is issued by Pawnbroker.com,  Inc., a corporation  organized
and  existing  under the laws of the State of Delaware  (the  "Company")  and is
designated as its 9% Convertible Debenture Due December 7, 2001.

     FOR VALUE RECEIVED,  the Company promises to pay to Lamothe Investing Corp.
or permitted assigns (the "Holder"),  the principal sum of Five Hundred Thousand
Dollars and 00/100 (US $500,000) on December 7, 2001 (the  "Maturity  Date") and
to pay interest on the principal sum outstanding  from time to time quarterly in
arrears at the rate of 9% per annum accruing from the date of initial  issuance.
Accrual of interest  shall commence on the first business day to occur after the
date of initial issuance and continue until payment in full of the principal sum
has been made or duly provided for. Quarterly interest payments shall be due and
payable on March 1, June 1, September 1, and December 1 of each year, commencing
with  September  1,  2000.  Accrued  but unpaid  interest  shall also be due and
payable on any Conversion Date (as defined herein). If any interest payment date
or the Maturity  Date is not a business day in the State of New York,  then such
payment shall be made on the next succeeding business day.

     The Company will pay the  principal of and any accrued but unpaid  interest
due upon this  Debenture on the Maturity  Date, by check or wire transfer to the
person who is the registered  holder of this Debenture as of the tenth day prior
to the Maturity Date and addressed to such holder at the last address  appearing
on the Debenture  Register.  The forwarding of such check, or completion of such
wire transfer,  shall  constitute a payment of principal and interest  hereunder
and shall satisfy and discharge the liability for principal and interest on this
Debenture to the extent of the sum represented by such check or wire transfer.

     This Debenture is subject to the following additional provisions:

     1. The Company  shall be entitled to withhold from all payments of interest
on this  Debenture  any amounts  required to be  withheld  under the  applicable
provisions of the United States income tax laws or other  applicable laws at the
time of such  payments,  and Holder  shall  execute  and  deliver  all  required
documentation in connection therewith.

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<PAGE>

     2. This Debenture has been issued subject to investment  representations of
the  original  purchaser  hereof and may be  transferred  or  exchanged  only in
compliance  with the Securities  Act of 1933, as amended (the "Act"),  and other
applicable  state and foreign  securities laws. The Holder shall deliver written
notice to the Company of any proposed  transfer of this Debenture.  In the event
of any proposed  transfer of this Debenture,  the Company may require,  prior to
issuance of a new  Debenture in the name of such other  person,  that it receive
reasonable transfer documentation  including legal opinions that the issuance of
the  Debenture in such other name does not and will not cause a violation of the
Act or any applicable state or foreign securities laws. Prior to due presentment
for  transfer  of this  Debenture,  the Company and any agent of the Company may
treat  the  person  in whose  name  this  Debenture  is duly  registered  on the
Company's  Debenture  Register as the owner  hereof for the purpose of receiving
payment  as herein  provided  and for all other  purposes,  whether  or not this
Debenture  be  overdue,  and  neither  the  Company  nor any such agent shall be
affected  by  notice to the  contrary.  This  Debenture  has been  executed  and
delivered  pursuant to the Loan  Agreement  dated as of June 5, 2000 between the
Company and the original  Holder (the "Loan  Agreement"),  and is subject to the
terms and  conditions  of the Loan  Agreement,  which  are,  by this  reference,
incorporated  herein  and made a part  hereof.  Capitalized  terms  used and not
otherwise defined herein shall have the meanings set forth for such terms in the
Loan Agreement.

     3. The rate of interest on this Debenture shall be reduced to seven percent
(7%), retroactive to the Closing Date, if the Registration Statement is declared
effective on or before one hundred (100) days from the Closing Date. The rate of
interest on this Debenture shall be reduced to six percent (6%),  retroactive to
the Closing  Date,  if this  Debenture is redeemed in full pursuant to Section 5
hereof on or before one hundred twenty (120) days from the Closing Date.

     4. The Holder of this Debenture is entitled,  at its option,  to convert at
any time  commencing  one hundred  twenty (120) days after the date hereof,  the
principal  amount of this Debenture or any portion thereof into shares of Common
Stock of the Company ("Conversion  Shares") at a conversion price for each share
of Common  Stock  ("Conversion  Price")  equal to the  lesser of (i) 115% of the
closing  bid price of the Common  Stock on the  Principal  Market on the Closing
Date,  or (ii) 85% of the Market  Price on the  Conversion  Date (as  defined in
Section 6 hereof).  The term "Market  Price" shall have the meaning set forth in
the Loan  Agreement.  If, upon any conversion of this  Debenture,  the Company's
issuance of Conversion Shares would cause it to violate any listing  requirement
of the Principal Market, then in lieu of such stock issuance,  the Company shall
pay the Holder cash in an amount equal to the closing  price of the Common Stock
on the Conversion  Date multiplied by the number of shares which would otherwise
have been issuable upon such conversion.

     5. The Company  shall have the right at any time to deliver to the Holder a
written notice of the Company's intent to redeem the entire  outstanding  amount
of this  Debenture  at a price of (i) if after the Closing Date and on or before
the 90th day after the Closing Date, 110% of the outstanding  principal balance,
plus all  accrued  but  unpaid  interest,  (ii) if after  the 90th day after the
Closing Date and on or before the 180th day after the closing date,  115% of the
outstanding principal balance, plus all accrued but unpaid interest and (iii) if
after the 180th day after the Closing Date,  120% of the  outstanding  principal
balance,  plus all  accrued  but unpaid  interest.  The  Company  shall make the
redemption  payment to the Holder within six (6) Trading Days of the  redemption
date set forth in the  Company  notice  of  redemption,  or else the  redemption
notice  shall be void,  and the Company  shall  thereafter  not have any further
right to redeem this Debenture.  The Holder shall have the right to convert this
Debenture  as set forth in Section 4 until the  Trading Day prior to the Trading
Day set for payment of the  redemption  price,  if this  Debenture  is otherwise
convertible at that time.

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<PAGE>

     6. (a) Conversion  shall be effectuated by  surrendering  this Debenture to
the Company (if such Conversion will convert all outstanding principal) together
with the form of conversion  notice attached hereto as Exhibit A (the "Notice of
Conversion"),  executed by the Holder of this Debenture evidencing such Holder's
intention to convert this Debenture or a specified  portion (as above  provided)
hereof, and accompanied, if required by the Company, by proper assignment hereof
in blank.  Interest accrued or accruing from the date of issuance to the date of
conversion  shall be paid in cash as set forth above on the Conversion  Date. No
fraction of a share or scrip  representing  a fraction of a share will be issued
on conversion, but the number of shares issuable shall be rounded to the nearest
whole share.  The date on which Notice of Conversion  is given (the  "Conversion
Date")  shall be deemed to be the date on which the  Holder  faxes the Notice of
Conversion  duly  executed to the Company.  Facsimile  delivery of the Notice of
Conversion  shall be accepted by the Company at facsimile  number (775) 332-5048
Attn: Neil McElwee,  Principal  Financial and Accounting  Officer.  Certificates
representing Common Stock upon conversion will be delivered to the Holder within
three (3) Trading  Days from the date the Notice of  Conversion  is delivered to
the  Company.  Delivery of shares upon  conversion  shall be made to the address
specified by the Holder in the Notice of Conversion.

     (b) The  Company  understands  that a delay in the  issuance  of  shares of
Common Stock upon a conversion  beyond the four (4) Trading Day period described
in Section 6(a) could result in economic loss to the Holder.  As compensation to
the Holder for such loss,  the Company agrees to pay late payments to the Holder
for late issuance of shares of Common Stock upon  conversion in accordance  with
the following  schedule (where "No.  Trading Days Late" is defined as the number
of  Trading  Days  beyond  three (3)  Trading  Days from the date the  Notice of
Conversion is delivered to the Company).

No. Trading Days Late                          Late Payment for Each
                                               $5,000 of Principal Amount
                                               Being Converted
-------------------------------------------------------------------------

1                                              $100

2                                              $200

3                                              $300

4                                              $400

5                                              $500

6                                              $600

7                                              $700

8                                              $800

9                                              $900

10                                             $1,000

More than 10                                   $1,000 +$200 for each Trading Day
                                               Late beyond 10 Trading Days

The  Company  shall  pay  any  payments  incurred  under  this  Section  6(b) in
immediately  available  funds upon demand.  Nothing  herein shall limit Holder's
right to pursue injunctive relief and/or actual damages for the

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<PAGE>

Company's  failure to issue and deliver  Common Stock to the holder,  including,
without  limitation,  the Holder's  actual losses  occasioned by any "buy-in" of
Common Stock necessitated by such late delivery. Furthermore, in addition to any
other  remedies  which may be  available  to the  Holder,  in the event that the
Company  fails for any reason to effect  delivery of such shares of Common Stock
within  three  (3)  Trading  Days  from the date the  Notice  of  Conversion  is
delivered  to the  Company,  the Holder will be entitled to revoke the  relevant
Notice of  Conversion  by  delivering  a notice to such  effect to the  Company,
whereupon the Company and the Holder shall each be restored to their  respective
positions  immediately  prior to delivery of such Notice of  Conversion,  and in
such  event no late  payments  shall be due in  connection  with such  withdrawn
conversion.

     (c) If at any time (a) the Company challenges, disputes or denies the right
of the Holder to effect the  conversion of this  Debenture  into Common Stock or
otherwise dishonors or rejects any Notice of Conversion  delivered in accordance
with this Section 6 or (b) any Company stockholder who is not and has never been
an  Affiliate  (as  defined  in Rule 405 under the  Securities  Act of 1933,  as
amended)  of the Holder  obtains a judgment  or any  injunctive  relief from any
court or  public  or  governmental  authority  which  denies,  enjoins,  limits,
modifies,  delays or  disputes  the  right of the  holder  hereof to effect  the
conversion of this Debenture  into Common Stock,  then the Holder shall have the
right,  by written  notice,  to require  the  Company to  promptly  redeem  this
Debenture  for cash at a redemption  price equal to one hundred  thirty  percent
(130%) of the  outstanding  principal  amount  hereof and all accrued and unpaid
interest  hereon.  Under any of the  circumstances  set forth above, the Company
shall be  responsible  for the payment of all costs and  expenses of the Holder,
including reasonable legal fees and expenses,  as and when incurred in disputing
any such  action or  pursuing  its rights  hereunder  (in  addition to any other
rights of the Holder),  subject in the case of clause (b) to the Company's right
to control  and assume the  defense  of any such  action.  In the  absence of an
injunction  precluding  the same, the Company shall issue shares upon a properly
noticed conversion.

     The  Holder  shall  be  entitled  to  exercise  its  conversion   privilege
notwithstanding  the commencement of any case under 11 U.S.C.ss.101 et seq. (the
"Bankruptcy  Code").  In the event the Company is a debtor under the  Bankruptcy
Code, the Company  hereby waives to the fullest  extent  permitted any rights to
relief it may have under 11 U.S.C.ss.362  in respect of the Holder's  conversion
privilege.

     7. No provision of this  Debenture  shall alter or impair the obligation of
the Company,  which is absolute and unconditional,  to pay the principal of, and
interest on, this  Debenture at the time,  place,  and rate,  and in the coin or
currency or shares of Common  Stock,  herein  prescribed.  This  Debenture  is a
direct obligation of the Company.

     8. If the Company merges or consolidates with another  corporation or sells
or transfers all or  substantially  all of its assets to another  person and the
holders  of the  Common  Stock are  entitled  to receive  stock,  securities  or
property  in respect of or in  exchange  for  Common  Stock (an  "Organizational
Change"), then as a condition of such merger,  consolidation,  sale or transfer,
the Company and any such successor, purchaser or transferee shall agree that the
Debenture may thereafter be converted on the terms and subject to the conditions
set  forth  above  into the kind and  amount of stock,  securities  or  property
receivable upon such  Organizational  Change by a Holder of the number of shares
of Common Stock into which this Debenture might have been converted  immediately
before such merger,  consolidation,  sale or transfer,  subject to  adjustments,
which shall be as nearly  equivalent as may be practicable.  In the event of any
proposed  Organizational  Change,  the  Holder  hereof  shall  have the right to
convert by delivering a Notice of Conversion to the Company  within fifteen (15)
days of receipt of notice of such Organizational Change from the Company. In the
event the Holder  hereof shall elect not to convert,  the Company may prepay all
outstanding  principal  and accrued  interest on this  Debenture  as provided in
Section 5, less all amounts

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<PAGE>

required by law to be  deducted,  upon which  tender of payment  following  such
notice, the right of conversion shall terminate.

     9. This Debenture shall be governed by and construed in accordance with the
laws of the State of New York. Each of the parties  consents to the jurisdiction
of the federal courts whose districts encompass any part of the City of New York
or the state  courts of the State of New York sitting in the City of New York in
connection with any dispute  arising under this Agreement and hereby waives,  to
the maximum  extent  permitted by law, any  objection,  including  any objection
based on forum non  conveniens,  to the bringing of any such  proceeding in such
jurisdictions.

     10. The following shall constitute an "Event of Default":

          a.   The Company shall default in the payment of principal or interest
               on this  Debenture and same shall  continue for a period of three
               (3) days; or

          b.   Any of the  representations  or  warranties  made by the  Company
               herein, in the Loan Agreement, the Registration Rights Agreement,
               or in any  agreement,  certificate  or financial or other written
               statements  heretofore  or hereafter  furnished by the Company in
               connection  with the execution and delivery of this  Debenture or
               the Loan  Agreement  shall be false or misleading in any material
               respect at the time made; or

          c.   The Company  fails to issue  shares of Common Stock to the Holder
               or to cause its  Transfer  Agent to issue  shares of Common Stock
               upon  exercise  by the  Holder  of the  conversion  rights of the
               Holder in accordance with the terms of this  Debenture,  fails to
               transfer  or  to  cause  its  Transfer   Agent  to  transfer  any
               certificate  for shares of Common Stock issued to the Holder upon
               conversion  of  this  Debenture  as and  when  required  by  this
               Debenture or the Registration Rights Agreement, and such transfer
               is otherwise lawful, or fails to remove any restrictive legend or
               to cause its Transfer  Agent to transfer any  certificate  or any
               shares of Common  Stock issued to the Holder upon  conversion  of
               this Debenture as and when required by this  Debenture,  the Loan
               Agreement or the  Registration  Rights  Agreement and such legend
               removal is otherwise lawful,  and any such failure shall continue
               uncured for five (5) business  days; or

               d.   The  Company  shall  fail  to  perform  or  observe,  in any
                    material  respect,  any  other  covenant,  term,  provision,
                    condition,  agreement or obligation of the Company under the
                    Loan Agreement,  the  Registration  Rights Agreement or this
                    Debenture  and such  failure  shall  continue  uncured for a
                    period of thirty  (30) days after  written  notice  from the
                    Holder of such failure; or

               e.   The Company  shall (1) admit in writing its inability to pay
                    its debts  generally as they mature;  (2) make an assignment
                    for the benefit of creditors or commence proceedings for its
                    dissolution;  or (3) apply for or consent to the appointment
                    of a  trustee,  liquidator  or  receiver  for  its  or for a
                    substantial part of its property or business; or

               f.   A trustee, liquidator or receiver shall be appointed for the
                    Company  or  for a  substantial  part  of  its  property  or
                    business  without its  consent  and shall not be  discharged
                    within sixty (60) days after such appointment; or

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<PAGE>

               g.   Any   governmental   agency  or  any   court  of   competent
                    jurisdiction  at the  instance  of any  governmental  agency
                    shall  assume  custody  or  control  of  the  whole  or  any
                    substantial  portion  of the  properties  or  assets  of the
                    Company and shall not be  dismissed  within  sixty (60) days
                    thereafter; or

               h.   Any  money  judgment,  writ or  warrant  of  attachment,  or
                    similar process in excess of One Hundred Thousand ($100,000)
                    Dollars in the  aggregate  shall be entered or filed against
                    the  Company or any of its  properties  or other  assets and
                    shall remain unpaid,  unvacated,  unbonded or unstayed for a
                    period of sixty  (60) days or in any event  later  than five
                    (5) days prior to the date of any proposed sale  thereunder;
                    or

               i.   Bankruptcy,   reorganization,   insolvency  or   liquidation
                    proceedings  or  other  proceedings  for  relief  under  any
                    bankruptcy law or any law for the relief of debtors shall be
                    instituted  by or against  the Company  and,  if  instituted
                    against the  Company,  shall not be  dismissed  within sixty
                    (60) days after such institution or the Company shall by any
                    action or answer approve of, consent to, or acquiesce in any
                    such  proceedings or admit the material  allegations  of, or
                    default  in   answering   a  petition   filed  in  any  such
                    proceeding; or

               j.   The  Company  shall  have  its  Common  Stock  suspended  or
                    delisted from trading on a Principal Market for in excess of
                    two (2) Trading Days;

Then, or at any time  thereafter,  and in each and every such case,  unless such
Event of Default  shall have been waived in writing by the Holder  (which waiver
shall not be deemed to be a waiver of any  subsequent  default) at the option of
the Holder and in the Holder's  sole  discretion,  the Holder may consider  this
Debenture immediately due and payable,  without presentment,  demand, protest or
notice of any kind, all of which are hereby expressly waived, anything herein or
in any note or other instruments contained to the contrary notwithstanding,  and
the  Holder  may  immediately  enforce  any and all of the  Holder's  rights and
remedies provided herein or any other rights or remedies afforded by law.

     11. Nothing  contained in this  Debenture  shall be construed as conferring
upon the  Holder  the right to vote or to  receive  dividends  or to  consent or
receive notice as a shareholder in respect of any meeting of shareholders or any
rights  whatsoever  as a  shareholder  of the Company,  unless and to the extent
converted in accordance with the terms hereof.

     12. In no event shall the Holder be permitted to convert this Debenture for
shares of  Common  Stock in excess  of the  amount  of this  Debenture  upon the
conversion  of which,  (x) the  number of shares of Common  Stock  owned by such
Holder  (other than shares of Common  Stock  issuable  upon  conversion  of this
Debenture)  plus  (y) the  number  of  shares  of  Common  Stock  issuable  upon
conversion of this Debenture,  would be equal to or exceed 9.9% of the number of
shares of Common Stock then issued and  outstanding,  including  shares issuable
upon conversion of this Debenture held by such Holder after  application of this
Section  12.  As used  herein,  beneficial  ownership  shall  be  determined  in
accordance  with  Section  13(d) of the  Securities  Exchange  Act of  1934,  as
amended,  and the rules  and  regulations  thereunder.  To the  extent  that the
limitation  contained in this Section 12 applies,  the  determination of whether
this  Debenture is  convertible  (in relation to other  securities  owned by the
Holder) and of which a portion of this Debenture is convertible  shall be in the
sole  discretion  of such Holder,  and the  submission of a Notice of Conversion
shall be deemed to be such Holder's  determination  of whether this Debenture is
convertible (in relation to other  securities owned by such holder) and of which
portion of this Debenture is convertible, in each case subject to such aggregate
percentage  limitation,  and the Company  shall have no  obligation to verify or
confirm the

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<PAGE>

accuracy of such  determination.  Nothing  contained  herein  shall be deemed to
restrict the right of a holder to convert this  Debenture  into shares of Common
Stock at such time as such  conversion  will not violate the  provisions of this
Section  12. The  provisions  of this  Section 12 may be waived by the Holder of
this Debenture upon not less than 75 days' prior notice to the Company,  and the
provisions  of this  Section 12 shall  continue to apply until such 75th day (or
such later date as may be specified in such notice of waiver).  No conversion of
this Debenture in violation of this Section 12 but otherwise in accordance  with
this  Debenture  shall  affect the status of the Common  Stock  issued upon such
conversion as validly issued, fully-paid and nonassessable.

     IN WITNESS  WHEREOF,  the  Company  has caused  this  Debenture  to be duly
executed by an officer thereunto duly authorized.

Dated: June 7, 2000

                                        Pawnbroker.com, Inc.

                                        By: /s/ Neil McElwee
                                            ------------------------------------
                                            Name:  Neil McElwee
                                            Title:  Chief Executive Officer

Attest:

-----------------------------------

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<PAGE>

                                    EXHIBIT A

                              NOTICE OF CONVERSION

   (To be Executed by the Registered Holder in order to Convert the Debenture)

     The undersigned hereby irrevocably elects to convert $ ________________  of
the principal  amount of the above Debenture No. ___ into Shares of Common Stock
of Pawnbroker.com,  Inc. (the "Company")  according to the conditions hereof, as
of the date written below.

Date of Conversion* ------------------------------------------------------------

Applicable Conversion Price * --------------------------------------------------

Accrued Interest ---------------------------------------------------------------

Signature ----------------------------------------------------------------------
                                                [Name]

Address: -----------------------------------------------------------------------

         -----------------------------------------------------------------------

                                       8EXHIBIT 10.23

NEITHER  THIS WARRANT NOR THE SHARES  ISSUABLE  UPON  EXERCISE  HEREOF HAVE BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE  "SECURITIES  ACT")
OR ANY OTHER  APPLICABLE  SECURITIES LAWS IN RELIANCE UPON AN EXEMPTION FROM THE
REGISTRATION  REQUIREMENTS OF THE SECURITIES ACT AND SUCH OTHER SECURITIES LAWS.
NEITHER THIS WARRANT NOR THE SHARES  ISSUABLE UPON EXERCISE  HEREOF MAY BE SOLD,
PLEDGED, TRANSFERRED,  ENCUMBERED OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN
EFFECTIVE  REGISTRATION  STATEMENT  UNDER THE SECURITIES ACT OR IN A TRANSACTION
WHICH IS EXEMPT FROM REGISTRATION UNDER THE PROVISIONS OF THE SECURITIES ACT.

                             STOCK PURCHASE WARRANT

                                  June 7, 2000

                To Purchase 58,824 Shares of the Common Stock of

                              PAWNBROKER.COM, INC.

     THIS CERTIFIES  that, for value  received,  Lamothe  Investing  Corp.  (the
"Holder"), is entitled, upon the terms and subject to the conditions hereinafter
set forth, at any time on or after the date hereof (the "Initial Exercise Date")
and on or prior to the  close of  business  on June 7,  2003  (the  "Termination
Date") but not  thereafter,  to subscribe for and purchase from  Pawnbroker.com,
Inc., a corporation incorporated in Delaware (the "Company"),  up to fifty-eight
thousand,  eight hundred and twenty-four  (58,824) shares (the "Warrant Shares")
of Common Stock,  $0.0001 par value,  of the Company (the "Common  Stock").  The
purchase  price of one share of Common Stock (the  "Exercise  Price") under this
Warrant  shall be $4.89.  The Exercise  Price and the number of shares for which
the Warrant is exercisable shall be subject to adjustment as provided herein. In
the  event  of any  conflict  between  the  terms of this  Warrant  and the Loan
Agreement  between the Company and the Holder dated as of June 7, 2000  pursuant
to which  this  Warrant  has been  issued,  the Loan  Agreement  shall  control.
Capitalized  terms used and not otherwise defined herein shall have the meanings
set forth for such terms in the Loan Agreement.

<PAGE>

     1.  Title  to  Warrant.  Prior  to the  Termination  Date  and  subject  to
compliance with applicable laws and the terms of this Warrant,  this Warrant and
all rights  hereunder  are  transferable,  in whole or in part, at the office or
agency of the  Company  by the  holder  hereof  in person or by duly  authorized
attorney,  upon  surrender of this Warrant  together  with the  Assignment  Form
annexed hereto properly endorsed.

     2. Authorization of Shares. The Company covenants that all shares of Common
Stock  which may be issued  upon the  exercise  of  rights  represented  by this
Warrant will, upon exercise of the rights  represented by this Warrant,  be duly
authorized,  validly  issued,  fully  paid and  nonassessable  and free from all
taxes,  liens and charges in respect of the issue  thereof  (other than taxes in
respect of any transfer occurring contemporaneously with such issue).

     3. Exercise of Warrant. Except as provided in Section 4 herein, exercise of
the purchase rights represented by this Warrant may be made at any time or times
on or after the  Initial  Exercise  Date (i) as to  two-thirds  of the number of
Warrants and (ii) if and only if the Convertible Debenture issued in conjunction
with this  Warrant has not been  redeemed  in full by the Company in  accordance
with its terms on or before the 120th day after the Initial Exercise Date, as to
the remaining  one-third of the Warrants,  which remaining third shall otherwise
be void, and in either case before the close of business on the Termination Date
by the surrender of this Warrant and the Notice of Exercise Form annexed  hereto
duly  executed,  at the office of the Company (or such other office or agency of
the Company as it may  designate by notice in writing to the  registered  holder
hereof at the address of such holder  appearing on the books of the Company) and
upon  payment of the  Exercise  Price of the shares  thereby  purchased  by wire
transfer or cashier's  check drawn on a United  States bank,  the holder of this
Warrant shall be entitled to receive a  certificate  for the number of shares of
Common Stock so purchased.  Certificates for shares purchased hereunder shall be
delivered  to the holder  hereof  within five (5) Trading Days after the date on
which this Warrant  shall have been  exercised  as aforesaid  and payment of the
exercise price has been received by the Company. This Warrant shall be deemed to
have been exercised and such certificate or certificates shall be deemed to have
been issued,  and Holder or any other person so  designated  to be named therein
shall be  deemed  to have  become a holder  of  record  of such  shares  for all
purposes,  as of the date the Holder  faxes a Notice of Exercise to the Company,
provided that such fax notice is followed by delivery of the original notice and
payment to the Company of the Exercise  Price and all taxes  required to be paid
by Holder,  if any,  pursuant to Section 5 prior to the issuance of such shares,
have been paid within three (3) Trading Days of such fax notice. If this Warrant
shall have been exercised in part, the Company shall, at the time of delivery of
the certificate or certificates representing Warrant Shares, deliver to Holder a
new Warrant  evidencing the rights of Holder to purchase the unpurchased  shares
of Common Stock called for by this Warrant, which new Warrant shall in all other
respects be identical with this Warrant.

If there is no registration in effect permitting the resale by the Holder of the
Warrant  Shares at any time from and  after one year from the  issuance  date of
this Warrant,  then the Holder shall have the right to a "cashless  exercise" in
which the Holder  shall be entitled to receive a  certificate  for the number of
shares equal to the quotient obtained by dividing [(A-B) (X)] by (A), where:

                                       2
<PAGE>

(A) = the average of the high and low trading  prices per share of Common  Stock
on the Trading Day preceding the date of such election;

(B) =  the Exercise Price of the Warrant; and

(X) = the number of shares  issuable  upon exercise of the Warrant in accordance
with the terms of this Warrant.

     4.  No  Fractional   Shares  or  Scrip.  No  fractional   shares  or  scrip
representing  fractional  shares  shall  be  issued  upon the  exercise  of this
Warrant.  As to any fraction of a share which Holder would otherwise be entitled
to purchase  upon such  exercise,  the Company  shall pay a cash  adjustment  in
respect of such final fraction in an amount equal to the Exercise Price.

     5. Charges,  Taxes and  Expenses.  Issuance of  certificates  for shares of
Common Stock upon the exercise of this Warrant  shall be made without  charge to
the  holder  hereof  for any issue or  federal  or state  transfer  tax or other
incidental expense in respect of the issuance of such certificate,  all of which
taxes and expenses shall be paid by the Company,  and such certificates shall be
issued in the name of the holder of this Warrant or in such name or names as may
be directed by the holder of this Warrant; provided,  however, that in the event
certificates  for  shares of Common  Stock are to be issued in a name other than
the name of the  holder of this  Warrant,  this  Warrant  when  surrendered  for
exercise  shall be  accompanied  by the  Assignment  Form  attached  hereto duly
executed  by the holder  hereof;  and the Company  may  require,  as a condition
thereto,  the payment of a sum  sufficient  to reimburse it for any transfer tax
incidental thereto.

     6. Closing of Books.  The Company will not close its  shareholder  books or
records in any manner that prevents the timely exercise of this Warrant.

     7. Transfer, Division and Combination.  (a) the Holder (and its transferees
and assigns),  by  acceptance  of this Warrant,  covenants and agrees that it is
acquiring the Warrants evidenced hereby,  and, upon exercise hereof, the Warrant
Shares, for its own account as an investment and not with a view to distribution
thereof. The Warrant Shares have not been registered under the Securities Act or
any  state  securities  laws and no  transfer  of any  Warrant  Shares  shall be
permitted  unless the  Company  has  received  notice of such  transfer,  at the
address of its principal office set forth in the Loan Agreement,  in the form of
assignment  attached  hereto,  accompanied  by an opinion of counsel  reasonably
satisfactory to the Company that an exemption from registration of such Warrants
or Warrant  Shares  under the  Securities  Act is available  for such  transfer,
except that no such opinion shall be required after the  registration for resale
by the Holder of the Warrant Shares, as contemplated by the Registration  Rights
Agreement.  Upon any exercise of the  Warrants,  certificates  representing  the
Warrant Shares shall bear a restrictive legend  substantially  identical to that
set forth on the face of this Warrant certificate. Any purported transfer of any
Warrant or Warrant Shares not in compliance  with the provisions of this section
shall be null and void.

          (b) This Warrant may be divided or combined  with other  Warrants upon
presentation  hereof at the  aforesaid  office of the Company,  together  with a
written notice  specifying the names and denominations in which new Warrants are
to be issued, signed by

                                       3
<PAGE>

Holder or its agent or attorney.  Subject to compliance with Section 7(a), as to
any transfer which may be involved in such division or combination,  the Company
shall  execute and deliver a new Warrant or Warrants in exchange for the Warrant
or Warrants to be divided or combined in accordance with such notice.

          (c) The Company  shall  prepare,  issue and deliver at its own expense
(other than transfer taxes) the new Warrant or Warrants under this Section 7.

          (d) The Company agrees to maintain, at its aforesaid office, books for
the registration and the registration of transfer of the Warrants.

     8. No Rights as Shareholder  until Exercise.  This Warrant does not entitle
the holder hereof to any voting  rights or other rights as a shareholder  of the
Company prior to the exercise hereof. Upon the surrender of this Warrant and the
payment of the aggregate  Exercise Price,  the Warrant Shares so purchased shall
be and be deemed to be issued to such holder as the record  owner of such shares
as of the  close of  business  on the  later of the  date of such  surrender  or
payment.

     9. Loss, Theft, Destruction or Mutilation of Warrant. The Company covenants
that upon receipt by the Company of evidence  reasonably  satisfactory  to it of
the loss,  theft,  destruction or mutilation of this Warrant  certificate or any
stock certificate  relating to the Warrant Shares, and in case of loss, theft or
destruction, of indemnity or security reasonably satisfactory to it (which shall
not exceed that customarily  charged by the Company's  transfer agent), and upon
surrender and cancellation of such Warrant or stock  certificate,  if mutilated,
the Company  will make and deliver a new  Warrant or stock  certificate  of like
tenor  and  dated  as of such  cancellation,  in lieu of such  Warrant  or stock
certificate.

     10. Saturdays, Sundays, Holidays, etc. If the last or appointed day for the
taking of any action or the  expiration of any right  required or granted herein
shall be a Saturday, Sunday or a legal holiday, then such action may be taken or
such right may be exercised on the next succeeding day not a Saturday, Sunday or
legal holiday.

     11. Adjustments of Exercise Price and Number of Warrant Shares.

          (a) Stock Splits,  etc. The number and kind of securities  purchasable
upon the  exercise of this  Warrant and the  Exercise  Price shall be subject to
adjustment from time to time upon the happening of any of the following. In case
the  Company  shall (i) pay a  dividend  in  shares  of  Common  Stock or make a
distribution  in shares of Common  Stock to  holders of its  outstanding  Common
Stock,  (ii)  subdivide  its  outstanding  shares of Common Stock into a greater
number of shares of Common Stock, (iii) combine its outstanding shares of Common
Stock into a smaller  number of shares of Common  Stock or (iv) issue any shares
of its capital stock in a reclassification  of the Common Stock, then the number
of Warrant Shares  purchasable upon exercise of this Warrant  immediately  prior
thereto  shall be adjusted so that the holder of this Warrant  shall be entitled
to  receive  the kind and number of Warrant  Shares or other  securities  of the
Company  which he would have been  entitled  to receive  had such  Warrant  been
exercised in advance  thereof.  Upon each such adjustment of the kind and number
of Warrant  Shares or other  securities  of the  Company  which are  purchasable
hereunder, the holder of this Warrant shall

                                       4
<PAGE>

thereafter  be  entitled  to  purchase  the  number of  Warrant  Shares or other
securities resulting from such adjustment at an Exercise Price per Warrant Share
or  other  security  obtained  by  multiplying  the  Exercise  Price  in  effect
immediately prior to such adjustment by the number of Warrant Shares purchasable
pursuant hereto  immediately prior to such adjustment and dividing by the number
of  Warrant  Shares  or other  securities  of the  Company  resulting  from such
adjustment. An adjustment made pursuant to this paragraph shall become effective
immediately  after the effective  date of such event  retroactive  to the record
date, if any, for such event.

          (b)  Reorganization,   Reclassification,   Merger,   Consolidation  or
Disposition  of  Assets.  In case the  Company  shall  reorganize  its  capital,
reclassify  its  capital  stock,  consolidate  or  merge  with or  into  another
corporation  (where the Company is not the surviving  corporation or where there
is a change in or distribution with respect to the Common Stock of the Company),
or sell, transfer or otherwise dispose of all or substantially all its property,
assets or business  to another  corporation  and,  pursuant to the terms of such
reorganization,   reclassification,  merger,  consolidation  or  disposition  of
assets, shares of common stock of the successor or acquiring corporation, or any
cash,  shares of stock or other securities or property of any nature  whatsoever
(including  warrants or other subscription or purchase rights) in addition to or
in lieu of  common  stock of the  successor  or  acquiring  corporation  ("Other
Property"),  are to be received by or distributed to the holders of Common Stock
of the Company,  then Holder shall have the right  thereafter  to receive,  upon
exercise of this Warrant,  the number of shares of common stock of the successor
or acquiring corporation or of the Company, if it is the surviving  corporation,
and  Other  Property  receivable  upon or as a  result  of such  reorganization,
reclassification,  merger, consolidation or disposition of assets by a holder of
the  number of shares of Common  Stock for which  this  Warrant  is  exercisable
immediately   prior  to  such  event.  In  case  of  any  such   reorganization,
reclassification,  merger, consolidation or disposition of assets, the successor
or acquiring  corporation (if other than the Company) shall expressly assume the
due and  punctual  observance  and  performance  of each and every  covenant and
condition of this  Warrant to be  performed  and observed by the Company and all
the obligations and liabilities hereunder,  subject to such modifications as may
be deemed appropriate (as determined in good faith by resolution of the Board of
Directors  of the  Company)  in order to provide  for  adjustments  of shares of
Common  Stock for which this  Warrant is  exercisable  which  shall be as nearly
equivalent as  practicable to the  adjustments  provided for in this Section 11.
For purposes of this  Section 11,  "common  stock of the  successor or acquiring
corporation"  shall include stock of such  corporation of any class which is not
preferred  as to  dividends  or  assets  over any  other  class of stock of such
corporation  and which is not subject to  redemption  and shall also include any
evidences  of  indebtedness,  shares  of  stock or other  securities  which  are
convertible into or exchangeable for any such stock,  either immediately or upon
the arrival of a specified  date or the  happening of a specified  event and any
warrants  or other  rights to  subscribe  for or purchase  any such  stock.  The
foregoing  provisions  of this Section 11 shall  similarly  apply to  successive
reorganizations,  reclassifications,  mergers,  consolidations or disposition of
assets.

     12. Voluntary Adjustment by the Company. The Company may at any time during
the term of this Warrant,  reduce the then current  Exercise Price to any amount
and for any period of time deemed  appropriate  by the Board of Directors of the
Company.

     13. Notice of  Adjustment.  Whenever the number of Warrant Shares or number
or kind of securities or other  property  purchasable  upon the exercise of this
Warrant or the Exercise

                                       5
<PAGE>

Price is  adjusted,  as herein  provided,  the Company  shall  promptly  mail by
registered or certified mail,  return receipt  requested,  to the holder of this
Warrant  notice of such  adjustment or  adjustments  setting forth the number of
Warrant Shares (and other securities or property)  purchasable upon the exercise
of this  Warrant  and the  Exercise  Price of such  Warrant  Shares  (and  other
securities or property) after such  adjustment,  setting forth a brief statement
of the facts  requiring  such  adjustment  and setting forth the  computation by
which such adjustment was made.  Such notice,  in the absence of manifest error,
shall be conclusive evidence of the correctness of such adjustment.

     14. Notice of Corporate Action. If at any time:

          (a) the Company shall take a record of the holders of its Common Stock
for the purpose of entitling  them to receive a dividend or other  distribution,
or any right to subscribe for or purchase any evidences of its indebtedness, any
shares of stock of any class or any other securities or property,  or to receive
any other right, or

          (b) there  shall be any capital  reorganization  of the  Company,  any
reclassification  or recapitalization of the capital stock of the Company or any
consolidation  or merger of the  Company  with,  or any sale,  transfer or other
disposition of all or substantially all the property,  assets or business of the
Company to, another corporation or,

          (c) there shall be a voluntary or involuntary dissolution, liquidation
or winding up of the Company;

then, in any one or more of such cases,  the Company shall give to Holder (i) at
least 10 days'  prior  written  notice  of the  record  date for such  dividend,
distribution or right or for  determining  rights to vote in respect of any such
reorganization,   reclassification,   merger,  consolidation,   sale,  transfer,
disposition,  liquidation  or  winding  up,  and  (ii) in the  case of any  such
reorganization,   reclassification,   merger,  consolidation,   sale,  transfer,
disposition,  dissolution,  liquidation  or winding  up, at least 10 days' prior
written  notice of the date  when the same  shall  take  place.  Such  notice in
accordance  with the  foregoing  clause also shall specify (i) the date on which
any such record is to be taken for the purpose of such dividend, distribution or
right,  the date on which the  holders of Common  Stock shall be entitled to any
such dividend,  distribution or right, and the amount and character thereof, and
(ii) the  date on  which  any  such  reorganization,  reclassification,  merger,
consolidation, sale, transfer, disposition,  dissolution, liquidation or winding
up is to take place and the time,  if any such time is to be fixed,  as of which
the holders of Common Stock shall be entitled to exchange their shares of Common
Stock for  securities  or other  property  deliverable  upon  such  disposition,
dissolution,  liquidation  or winding  up.  Each such  written  notice  shall be
sufficiently  given if  addressed  to  Holder  at the  last  address  of  Holder
appearing on the books of the Company and delivered in  accordance  with Section
16(d).

     15.  Authorized  Shares.  The Company  covenants that during the period the
Warrant is outstanding,  it will reserve from its authorized and unissued Common
Stock a  sufficient  number of shares to provide for the issuance of the Warrant
Shares upon the exercise of any purchase rights under this Warrant.  The Company
further  covenants  that its  issuance of this  Warrant  shall  constitute  full
authority  to its  officers  who are charged  with the duty of  executing  stock
certificates  to execute and issue the  necessary  certificates  for the Warrant
Shares

                                       6
<PAGE>

upon the exercise of the purchase  rights under this  Warrant.  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,  or of any  requirements  of the Principal  Market upon which the
Common Stock may be listed.

          The Company shall not by any action,  including,  without  limitation,
amending  its  certificate  of  incorporation  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 of this  Warrant,  but will at all times in
good faith assist in the carrying out of all such terms and in the taking of all
such actions as may be necessary or  appropriate to protect the rights of Holder
against  impairment.  Without  limiting the  generality  of the  foregoing,  the
Company  will (a) not  increase  the par value of any  shares  of  Common  Stock
receivable  upon the exercise of this Warrant above the amount payable  therefor
upon such exercise immediately prior to such increase in par value, (b) take all
such action as may be  necessary  or  appropriate  in order that the Company may
validly and legally  issue fully paid and  nonassessable  shares of Common Stock
upon the  exercise of this  Warrant,  and (c) use its best efforts to obtain all
such  authorizations,  exemptions  or consents from any public  regulatory  body
having jurisdiction thereof as may be necessary to enable the Company to perform
its obligations under this Warrant.

          Before  taking any action which would result in an  adjustment  in the
number of shares of Common Stock for which this Warrant is exercisable or in the
Exercise Price, the Company shall obtain all such  authorizations  or exemptions
thereof,  or consents  thereto,  as may be necessary from any public  regulatory
body or bodies having jurisdiction thereof.

     16. Miscellaneous.

          (a) Jurisdiction. This Warrant shall be binding upon any successors or
assigns of the Company.  This Warrant shall constitute a contract under the laws
of Delaware  without regard to its conflict of law,  principles or rules, and be
subject to arbitration pursuant to the terms set forth in the Loan Agreement.

          (b)  Restrictions.  The holder  hereof  acknowledges  that the Warrant
Shares acquired upon the exercise of this Warrant, if not registered,  will have
restrictions upon resale imposed by state and federal securities laws.

          (c)  Nonwaiver  and  Expenses.  No course of  dealing  or any delay or
failure to exercise any right hereunder on the part of Holder shall operate as a
waiver of such right or otherwise prejudice Holder's rights, powers or remedies,
notwithstanding  all rights hereunder  terminate on the Termination Date. If the
Company fails to comply with any  provision of this  Warrant,  the Company shall
pay to  Holder  such  amounts  as shall be  sufficient  to cover  any  costs and
expenses including,  but not limited to, reasonable  attorneys' fees,  including
those of appellate proceedings, incurred by Holder in collecting any amounts due
pursuant hereto or in otherwise enforcing any of its rights,  powers or remedies
hereunder.

                                       7
<PAGE>

          (d)  Notices.  Any  notice,  request  or other  document  required  or
permitted to be given or delivered to the holder  hereof by the Company shall be
delivered in accordance with the notice provisions of the Loan Agreement.

          (e) Limitation of Liability.  No provision  hereof,  in the absence of
affirmative  action by  Holder  to  purchase  shares  of  Common  Stock,  and no
enumeration herein of the rights or privileges of Holder hereof, shall give rise
to any  liability of Holder for the  purchase  price of any Common Stock or as a
stockholder of the Company, whether such liability is asserted by the Company or
by creditors of the Company.

          (f) Remedies.  Holder,  in addition to being  entitled to exercise all
rights  granted by law,  including  recovery  of  damages,  will be  entitled to
specific  performance of its rights under this Warrant.  The Company agrees that
monetary  damages  would not be adequate  compensation  for any loss incurred by
reason of a breach by it of the  provisions of this Warrant and hereby agrees to
waive the defense in any action for  specific  performance  that a remedy at law
would be adequate.

          (g) Successors  and Assigns.  Subject to applicable  securities  laws,
this Warrant and the rights and obligations  evidenced hereby shall inure to the
benefit of and be binding upon the  successors of the Company and the successors
and permitted assigns of Holder.  The provisions of this Warrant are intended to
be for the benefit of all Holders from time to time of this Warrant and shall be
enforceable by any such Holder or holder of Warrant Shares.

          (h) Indemnification. The Company agrees to indemnify and hold harmless
Holder  from  and  against  any  liabilities,   obligations,   losses,  damages,
penalties,  actions,  judgments, suits, claims, costs, attorneys' fees, expenses
and disbursements of any kind which may be imposed upon, incurred by or asserted
against  Holder in any manner  relating  to or arising out of any failure by the
Company to perform or observe  in any  material  respect  any of its  covenants,
agreements,  undertakings  or obligations  set forth in this Warrant;  provided,
however,  that the Company  will not be liable  hereunder to the extent that any
liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
claims,  costs,  attorneys' fees, expenses or disbursements are found in a final
non-appealable  judgment by a court to have resulted  from Holder's  negligence,
bad faith or willful misconduct.

          (i)  Amendment.  This  Warrant  may  be  modified  or  amended  or the
provisions hereof waived with the written consent of the Company and the Holder.

          (j) Severability.  Wherever  possible,  each provision of this Warrant
shall  be  interpreted  in  such  manner  as to be  effective  and  valid  under
applicable  law, but if any  provision of this Warrant shall be prohibited by or
invalid under  applicable law, such provision shall be ineffective to the extent
of such  prohibition or invalidity,  without  invalidating the remainder of such
provisions or the remaining provisions of this Warrant.

                                       8
<PAGE>

          (k)  Headings.   The  headings  used  in  this  Warrant  are  for  the
convenience of reference  only and shall not, for any purpose,  be deemed a part
of this Warrant.

     IN WITNESS  WHEREOF,  the Company has caused this Warrant to be executed by
its officer thereunto duly authorized.

Dated: June 5, 2000

                                      PAWNBROKER.COM, INC.

                                      By: /s/ Neil McElwee
                                          -------------------------------------
                                          Name:  Neil McElwee
                                          Title: Chief Executive Officer

                                       9
<PAGE>

                                  EXERCISE FORM
                              PAWNBROKER.COM, INC.

The  undersigned  _______________,  pursuant  to the  provisions  of the  within
Warrant (the "Warrant"),  hereby elects to purchase _____ shares of Common Stock
(the "Warrant") of Pawnbroker.com,  Inc. (the "Company"),  covered by the within
Warrant. The undersigned (the "Subscriber")  covenants,  represents and warrants
to the Company that:

     (a)  Subscriber has such knowledge and experience in financial and business
matters as to be capable of evaluating  the merits and risks of an investment in
the  Securities  and it is able to bear the economic  risk of loss of its entire
investment;

     (b) the Company has provided to Subscriber the opportunity to ask questions
and receive  answers  concerning  the terms and  conditions  of the offering and
Subscriber  has had  access  to  such  information  concerning  the  Company  as
Subscriber   has  considered   necessary  or  appropriate  in  connection   with
Subscriber's investment decision to acquire the Securities;

     (c) Subscriber is acquiring the Securities  for  Subscriber's  own account,
for investment purposes only and not with a view to any resale,  distribution or
other disposition of the Securities in violation of the United States securities
laws;

     (d)  unless  otherwise  notified  by the  Company  in  writing,  Subscriber
understands  that the Securities have not been and will not be registered  under
the United States  Securities Act of 1933, as amended (the "Securities  Act") or
the  securities  laws of any  state  of the  United  States  and  that  the sale
contemplated  hereby  is  being  made in  reliance  on an  exemption  from  such
registration requirements;

     (e)  Subscriber  satisfies one or more of the  categories  indicated  below
(please place an "X" on the appropriate lines):

    -- Category 1.  An organization described in Section 501(c)(3) of the United
                    States Internal Revenue Code, a corporation, a Massachusetts
                    or similar business trust or partnership, not formed for the
                    specific  purpose of acquiring  the  Securities,  with total
                    assets in excess of US$5,000,000;

    -- Category 2.  A natural person whose  individual  net worth,  or joint net
                    worth with that person's spouse,  at the date hereof exceeds
                    US$1,000,000;

<PAGE>

    -- Category 3.  A natural  person who had an individual  income in excess of
                    US$200,000  in each of the two  most  recent  years or joint
                    income with that person's  spouse in excess of US$300,000 in
                    each of those  years  and has a  reasonable  expectation  of
                    reaching the same income level in the current year;

    -- Category 4.  A trust that (a) has total assets in excess of US$5,000,000,
                    (b) was not formed for the specific purpose of acquiring the
                    Securities   and  (c)  is  directed  in  its   purchases  of
                    securities by a person who has such knowledge and experience
                    in financial and business  matters that he/she is capable of
                    evaluating  the  merits  and risks of an  investment  in the
                    Securities;

    -- Category 5.  An  investment   company  registered  under  the  Investment
                    Company  Act of 1940 or a  business  development  company as
                    defined in Section 2(a)(48) of that Act;

    -- Category 6.  A Small  Business  Investment  Company  licensed by the U.S.
                    Small Business Administration under Section 301(c) or (d) of
                    the Small Business Investment Act of 1958;

    -- Category 7.  A private business development company as defined in Section
                    202(a)(22) of the Investment Advisors Acts of 1940; or

    -- Category 8.  An entity  in which all of the  equity  owners  satisfy  the
                    requirements of one or more of the foregoing categories.

     (f) if Subscriber  decides to offer, sell or otherwise  transfer any of the
Securities,  Subscriber will not offer,  sell or otherwise  transfer any of such
Securities directly or indirectly, unless:

          (i)       the sale is to the Company;

          (ii)      the sale is made outside the United  States in a transaction
                    meeting the  requirements  of Rule 904 of Regulation S under
                    the Securities Act and in compliance with  applicable  local
                    laws and regulations;

          (iii)     the  sale  is  made  pursuant  to  the  exemption  from  the
                    registration  requirements under the Securities Act provided
                    by Rule 144 thereunder and in accordance with any applicable
                    state securities or "Blue Sky" laws; or

          (iv)      the  Securities  are  sold in a  transaction  that  does not
                    require   registration  under  the  Securities  Act  or  any
                    applicable  state laws and  regulations  governing the offer
                    and sale of securities, and Subscriber has prior to such

                                       2
<PAGE>

                    sale   furnished  to  the  Company  an  opinion  of  counsel
                    reasonably satisfactory to the Company;

     (g) the certificates representing the Securities will bear a legend stating
that  such  shares  have not been  registered  under the  Securities  Act or the
securities  laws of any state of the United  States  and may not be offered  for
sale or sold unless  registered under the Securities Act and the securities laws
of all  applicable  states  of the  United  States  or an  exemption  from  such
registration requirements is available; and

     (h) Subscriber  consents to the Company  making an appropriate  notation on
its records or giving instructions to any transfer agent of the Company in order
to implement the restrictions on transfer set forth and described herein.

Dated this ------ day of ----------------, 20 --.

                                        ----------------------------------------
                                        (Name of Subscriber - please print)

                                        By: ------------------------------------
                                            (Authorized Signature)

                                        ----------------------------------------
                                        (Official Capacity or Title -
                                        please print)

                                        ----------------------------------------
                                        (Please print name of individual
                                         whose signature appears above if
                                         different than the name of the
                                         Subscriber printed above)

                                       3
<PAGE>
                                 ASSIGNMENT FORM

                    (To assign the foregoing warrant, execute
                   this form and supply required information.
                 Do not use this form to exercise the warrant.)

     FOR VALUE RECEIVED,  the foregoing Warrant and all rights evidenced thereby
are hereby assigned to

----------------------------------------------------  whose address is

---------------------------------------------------------------.

---------------------------------------------------------------

                                             Dated:  ----------------_, ----

                    Holder's Signature: --------------------------------

                    Holder's Address:   --------------------------------

                                         -------------------------------

Signature Guaranteed: ---------------------------------------------

NOTE: The signature to this  Assignment Form must correspond with the name as it
appears on the face of the Warrant,  without  alteration or  enlargement  or any
change whatsoever,  and must be guaranteed by a bank or trust company.  Officers
of  corporations  and  those  acting  in an  fiduciary  or other  representative
capacity  should  file  proper  evidence of  authority  to assign the  foregoing
Warrant.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00011-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00011-of-00352.parquet"}]]