Document:

Exhibit 4.2

 

	NO. 2016-PA-__	WARRANT

PERSHING GOLD CORPORATION	
        __________
        Shares

        February 25, 2016

 

WARRANT TO PURCHASE COMMON STOCK

 

VOID ON THE EXPIRATION DATE

 

THIS WARRANT AND THE SECURITIES ISSUABLE
UPON EXERCISE OF THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “U.S.
SECURITIES ACT”) OR ANY STATE SECURITIES LAWS, AND MAY BE OFFERED, SOLD OR OTHERWISE TRANSFERRED ONLY (A) TO PERSHING GOLD
CORPORATION (B) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE U.S. SECURITIES ACT, (C) OUTSIDE THE UNITED STATES IN
COMPLIANCE WITH REGULATION S UNDER THE U.S. SECURITIES ACT, (D) IN COMPLIANCE WITH THE EXEMPTION FROM REGISTRATION UNDER THE U.S.
SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER, IF AVAILABLE, AND IN COMPLIANCE WITH ANY APPLICABLE STATE SECURITIES LAWS, OR (E)
IN A TRANSACTION THAT DOES NOT REQUIRE REGISTRATION UNDER THE U.S. SECURITIES ACT OR ANY APPLICABLE STATE LAWS AND REGULATIONS
GOVERNING THE OFFER AND SALE OF SECURITIES, AND, IN THE CASE OF (C) OR (E), ONLY IF THE HOLDER HAS PRIOR TO SUCH TRANSFER FURNISHED
TO THE COMPANY AN OPINION OF COUNSEL OF RECOGNIZED STANDING IN CUSTOMARY FORM AND SUBSTANCE AND IN THE CASE OF (D), THE HOLDER
HAS PROVIDED TO THE COMPANY CUSTOMARY DOCUMENTATION OF THE HOLDER AND ITS BROKER. THIS SECURITY AND THE SECURITIES ISSUABLE UPON
EXERCISE OF THIS SECURITY MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN SECURED BY SUCH SECURITIES.

 

FOR VALUE RECEIVED, PERSHING GOLD CORPORATION,
a Nevada corporation (the “Company”), hereby agrees to sell upon the terms and on the conditions hereinafter
set forth, but no sooner than August 26, 2016 (the “Exercise Date”) and no later than August 25, 2018
(the “Expiration Date”), to _______________________________, whose address is ______________________________,
or registered assigns (the “Holder”), under the terms as hereinafter set forth, from and after the issue date
hereof (“Initial Issue Date”) _______________________ (_________) fully paid and non-assessable shares of the
Company’s common stock, par value $0.0001 per share (the “Warrant Stock”), at a purchase price of $5.06
per share (the “Warrant Price”), pursuant to this warrant (this “Warrant”).  The
number of shares of Warrant Stock to be so issued and the Warrant Price are subject to adjustment in certain events as hereinafter
set forth.  The term “Common Stock” shall mean, when used herein, unless the context otherwise requires,
the stock and property at the time receivable upon the exercise of this Warrant.

 

This Warrant has been issued in conjunction
with an offering to subscribers pursuant to the terms of a Unit Purchase Agreement between the Company and the subscribers dated
the same date as this Warrant (the “Agreement”). Capitalized terms used and not otherwise defined herein shall
have the meanings set forth in the Agreement.

 

     

     

    

  

		1.	Exercise of Warrant.

 

		a.	Exercise of the purchase rights represented by this Warrant may be made, in whole or in part, at
any time or times on or after the Exercise Date and on or before the Expiration Date by delivery to the Company (or such other
office or agency of the Company as it may designate by notice in writing to the registered Holder at the address of the Holder
appearing on the books of the Company) of a duly executed facsimile copy of the Notice of Exercise Form annexed hereto. Within
two (2) Trading Days (as defined below) following the date of exercise as aforesaid, the Holder shall deliver the aggregate Warrant
Price for the shares specified in the applicable Notice of Exercise by wire transfer or cashier’s check drawn on a United
States bank unless the cashless exercise procedure specified in Section 1(b) below is specified in the applicable Notice of Exercise.
Notwithstanding anything herein to the contrary (although the Holder may surrender the Warrant to, and receive a replacement Warrant
from, the Company), the Holder shall not be required to physically surrender this Warrant to the Company until the Holder has purchased
all of the Warrant Stock available hereunder and the Warrant has been exercised in full, in which case, the Holder shall surrender
this Warrant to the Company for cancellation within two (2) Trading Days of the date the final Notice of Exercise is delivered
to the Company. Partial exercises of this Warrant resulting in purchases of a portion of the total amount of Warrant Stock available
hereunder shall have the effect of lowering the outstanding amount of Warrant Stock purchasable hereunder in an amount equal to
the applicable amount of Warrant Stock purchased. The Holder and the Company shall maintain records showing the amount of Warrant
Stock purchased and the date of such purchases. The Company shall deliver any objection to any Notice of Exercise Form within one
(1) Trading Day of delivery of such notice. “Trading Day” means a day on which the Common Stock is traded on
a Trading Market. “Trading Market” means any of the following markets or exchanges on which the Common Stock
is listed or quoted for trading on the date in question: Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select
Market, the OTCQX or OTCQB (or any successors to any of the foregoing). The Holder and any assignee, by acceptance of this Warrant,
acknowledge and agree that, by reason of the provisions of this paragraph, following the purchase of a portion of the Warrant Stock
hereunder, the amount of Warrant Stock available for purchase hereunder at any given time may be less than the amount stated on
the face hereof.

 

		b.	Cashless Exercise.  This Warrant may be exercised, in whole or in part, by means
of a “cashless exercise” (in lieu of making a payment upon such exercise) in which the Holder shall be entitled to
receive a certificate for the number of shares of Warrant Stock equal to the quotient obtained by dividing [(A-B) (X)] by (A),
where:

 

(A) = the closing price of the
Warrant Stock on the Trading Market on the Trading Day immediately preceding the date on which Holder elects to exercise this Warrant
by means of a “cashless exercise,” as set forth in the applicable Notice of Exercise;

 

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(B) = the Warrant Price, as adjusted
hereunder; and

 

(X) = the number of shares of
Warrant Stock that would be issuable upon exercise of this Warrant in accordance with the terms of this Warrant if such exercise
were by means of a cash exercise rather than a cashless exercise.

 

Notwithstanding anything herein
to the contrary, on the Expiration Date, this Warrant shall be automatically exercised via cashless exercise pursuant to this Section
1(b).

 

		c.	Reserved.

 

		d.	No fractional shares of Common Stock will be issuable upon any exercise of this Warrant. As to
any fraction of a share which the Holder would otherwise be entitled to purchase upon such exercise, the Company shall, at its
election, either pay a cash adjustment in respect of such final fraction in an amount equal to such fraction multiplied by the
Warrant Price or round up to the next whole share.

 

		e.	Issuance of certificates for Warrant Stock shall be made without charge to the Holder for any issue
or transfer tax or other incidental expense in respect of the issuance of such certificate, including, but not limited to the cost
of any opinion of counsel, all of which taxes and expenses shall be paid by the Company, and such certificates shall be issued
in the name of the Holder or in such name or names as may be directed by the Holder. The Company shall pay all Transfer Agent and
legal fees required for processing of any Notice of Exercise.

 

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		f.	Mechanics of Exercise.

 

		(i)	Delivery of Certificates Upon Exercise. Not later than five (5) Trading Days after the latest
of (A) the delivery to the Company of the Notice of Exercise, (B) surrender of this Warrant (if required) and (C) payment of the
aggregate Purchase Price as set forth above (including by cashless exercise, if permitted) (such date, the “Warrant Stock
Delivery Date”), the Company shall deliver, or cause to be delivered, to the exercising Holder a certificate or certificates
(bearing the restrictive legend set forth below) representing the number of shares of Warrant Stock being acquired upon the exercise
of such Warrant; provided however, if the Company is then a participant in the Depository Trust Company (“DTC”)
through its Deposit Withdrawal Agent Commission (“DWAC”) system and the Warrant Shares have been resold by the
Holder pursuant to an effective resale registration statement or an exemption from registration with respect to which an opinion
of counsel reasonably acceptable to the Company confirming such exemption has been delivered, then Certificates for shares purchased
hereunder shall be transmitted by the Company’s transfer agent (the “Transfer Agent”) to the Holder by
crediting the account of the Holder’s prime broker with DTC through its DWAC system. The Company shall use commercially reasonable
efforts to deliver such shares as promptly as practicable but in any event prior to the Warrant Stock Delivery Date. The Warrant
Stock 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 Warrant has been exercised, with payment to
the Company of the aggregate Purchase Price (or by cashless exercise, if permitted) and all taxes required to be paid by the Holder,
if any, prior to the issuance of such shares, having been paid. The Company understands that a delay in the delivery of the Warrant
Stock after the Warrant Stock Delivery Date could result in economic loss to the Holder. As compensation to the Holder for such
loss, the Company agrees to pay (as liquidated damages and not as a penalty) to the Holder for late issuance of Warrant Stock upon
exercise of this Warrant the proportionate amount of $100 per “Business Day” (any day except any Saturday, any Sunday,
any day which shall be a federal legal holiday in the United States or any day on which banking institutions in the City of New
York are authorized or required by law or other governmental action to close) (increasing to $200 per Business Day after the tenth
Trading Day) commencing after the second Trading Day following the Warrant Stock Delivery Date for each $10,000 of Exercise Price
of Warrant Stock for which this Warrant is exercised which are not timely delivered. The Company shall pay any payments incurred
under this Section in immediately available funds upon demand. 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 the Warrant Stock by the Warrant Stock
Delivery Date, the Holder may revoke all or part of the relevant Warrant exercise by delivery of 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 the exercise
of the relevant portion of this Warrant, except that the liquidated damages described above shall be payable through the date notice
of revocation or rescission is given to the Company.

 

		(ii)	Delivery of New Warrants Upon Exercise. If this Warrant shall have been exercised in part,
the Company shall, at the request of a Holder and upon surrender of this Warrant certificate, at the time of delivery of the certificate
or certificates representing Warrant Stock, deliver to the Holder a new Warrant evidencing the rights of the Holder to purchase
the unpurchased Warrant Stock called for by this Warrant, which new Warrant shall in all other respects be identical with this
Warrant.

 

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		(iii)	Compensation for Buy-In on Failure to Timely Deliver Certificates Upon Exercise. In addition
to any other rights available to the Holder, if the Company fails to cause the Transfer Agent to transmit to the Holder a certificate
or the certificates representing the Warrant Stock pursuant to an exercise on or before the Warrant Stock Delivery Date, and if
after such date the Holder is required by its broker to purchase (in an open market transaction or otherwise) or the Holder’s
brokerage firm otherwise purchases, shares of Common Stock to deliver in satisfaction of a sale by the Holder of the Warrant Stock
which the Holder anticipated receiving upon such exercise (a “Buy-In”), then the Company shall (A) pay in cash
to the Holder the amount, if any, by which (x) the Holder’s total purchase price (including brokerage commissions, if any)
for the shares of Common Stock so purchased exceeds (y) the amount obtained by multiplying (1) the number of shares of Warrant
Stock that the Company was required to deliver to the Holder in connection with the exercise at issue times (2) the price at which
the sell order giving rise to such purchase obligation was executed, and (B) at the option of the Holder, either reinstate the
portion of the Warrant and equivalent number of shares of Warrant Stock for which such exercise was not honored (in which case
such exercise shall be deemed rescinded) or deliver to the Holder the number of shares of Common Stock that would have been issued
had the Company timely complied with its exercise and delivery obligations hereunder. For example, if the Holder purchases Common
Stock having a total purchase price of $11,000 to cover a Buy-In with respect to an attempted exercise of shares of Common Stock
with an aggregate sale price giving rise to such purchase obligation of $10,000, under clause (A) of the immediately preceding
sentence the Company shall be required to pay the Holder $1,000. The Holder shall provide the Company written notice indicating
the amounts payable to the Holder in respect of the Buy-In and, upon request of the Company, evidence of the amount of such loss.
Nothing herein shall limit a Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including,
without limitation, a decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely
deliver certificates representing shares of Common Stock upon exercise of the Warrant as required pursuant to the terms hereof;
provided however that the Holder shall not be entitled to recover more than once for the same damages and that the
Company shall not be liable for any consequential, or punitive damages.

 

		(iv)	Closing of Books. The Company will not close its stockholder books or records in any manner
which prevents the timely exercise of this Warrant, pursuant to the terms hereof.

 

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g.          Holder’s Exercise Limitations.
The Company shall not effect any exercise of this Warrant, and a Holder shall not have the right to exercise any portion of this
Warrant, to the extent that after giving effect to such issuance after exercise as set forth on the applicable Notice of Exercise,
the Holder (together with the Holder’s Affiliates, and any other Persons acting as a group together with the Holder or any
of the Holder’s Affiliates), would beneficially own in excess of the Beneficial Ownership Limitation (as defined below) or
the Maximum Percentage (as defined below).  For purposes of the foregoing sentence, the number of shares of Common Stock beneficially
owned by the Holder and its Affiliates shall include the number of shares of Common Stock issuable upon exercise of this Warrant
with respect to which such determination is being made, but shall exclude the number of shares of Common Stock which would be issuable
upon (i) exercise of the remaining, nonexercised portion of this Warrant beneficially owned by the Holder or any of its Affiliates
and (ii) exercise or conversion of the unexercised or nonconverted portion of any other securities of the Company (including, without
limitation, any other Common Stock Equivalents) subject to a limitation on conversion or exercise analogous to the limitation contained
herein beneficially owned by the Holder or any of its Affiliates.  Except as set forth in the preceding sentence, for purposes
of this Section 1(g), beneficial ownership shall be calculated in accordance with Section 13(d) of the Exchange Act and the rules
and regulations promulgated thereunder, it being acknowledged by the Holder that the Company is not representing to the Holder
that such calculation is in compliance with Section 13(d) of the Exchange Act and the Holder is solely responsible for any schedules
required to be filed in accordance therewith. To the extent that the limitations contained in this Section 1(g) applies, the determination
of whether this Warrant is exercisable (in relation to other securities owned by the Holder together with any Affiliates) and of
which portion of this Warrant is exercisable shall be in the sole discretion of the Holder, and the submission of a Notice of Exercise
shall be deemed to be the Holder’s determination of whether this Warrant is exercisable (in relation to other securities
owned by the Holder together with any Affiliates) and of which portion of this Warrant is exercisable, in each case subject to
the Beneficial Ownership Limitation and Maximum Percentage, and the Company shall have no obligation to verify or confirm the accuracy
of such determination. In addition, a determination as to any group status as contemplated above shall be determined in accordance
with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder. For purposes of this Section 1(g),
in determining the number of outstanding shares of Common Stock, a Holder may rely on the number of outstanding shares of Common
Stock as reflected in (A) the Company’s most recent periodic or annual report filed with the Commission, as the case may
be, (B) a more recent public announcement by the Company or (C) a more recent written notice by the Company or the Transfer Agent
setting forth the number of shares of Common Stock outstanding.  Upon the written or oral request of a Holder, the Company
shall within two Trading Days confirm orally and in writing to the Holder the number of shares of Common Stock then outstanding. 
In any case, the number of outstanding shares of Common Stock shall be determined after giving effect to the conversion or exercise
of securities of the Company, including this Warrant, by the Holder or its Affiliates since the date as of which such number of
outstanding shares of Common Stock was reported. The “Beneficial Ownership Limitation” shall be 9.99% of the
number of shares of the Common Stock outstanding immediately after giving effect to the issuance of shares of Common Stock issuable
upon exercise of this Warrant. The Holder, upon not less than 61 days’ prior notice to the Company, may increase or decrease
the Beneficial Ownership Limitation provisions of this Section 1(g), provided that the Beneficial Ownership Limitation in no event
exceeds 9.99% of the number of shares of the Common Stock outstanding immediately after giving effect to the issuance of shares
of Common Stock upon exercise of this Warrant held by the Holder and the provisions of this Section 1(g) shall continue to apply.
Any such increase or decrease will not be effective until the 61st day after such notice is delivered to the Company.
The provisions of this paragraph shall be construed and implemented in a manner otherwise than in strict conformity with the terms
of this Section 1(g) to correct this paragraph (or any portion hereof) which may be defective or inconsistent with the intended
Beneficial Ownership Limitation herein contained or to make changes or supplements necessary or desirable to properly give effect
to such limitation. Notwithstanding the foregoing, the Beneficial Ownership Limitation shall not apply if the Holder beneficially
owns, as of the Initial Issue Date, in excess of 9.99% of the number of shares of the Common Stock outstanding immediately after
giving effect to the issuance of shares of Common Stock issuable upon exercise of this Warrant held by such Holder. Notwithstanding
anything else set forth herein, in no event shall this Warrant be exercisable by the Holder to the extent that the Holder and its
Affiliates would beneficially own in excess of 19.99% of the number of shares of the Company’s Common Stock outstanding as
of the Initial Issue Date (calculated as set forth above) (the “Maximum Percentage”) unless any issuances in
excess of the foregoing limitation are approved by the Company’s common stockholders or the Holder beneficially owns, as
of the Initial Issue Date, in excess of 19.99% of the number of shares of the Common Stock outstanding immediately and NASDAQ Marketplace
Rule 5635(b) would not require approval by the Company’s common stockholders. The limitations
contained in this paragraph shall apply to a successor holder of this Warrant.

 

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		2.	Disposition of Warrant Stock and Warrant.

 

		a.	The Holder hereby acknowledges that this Warrant and any Warrant Stock purchased pursuant hereto
are, as of the date hereof, not registered under the Securities Act of 1933, as amended (the “U.S. Securities Act”)
or under any applicable state securities law; and that the Company’s reliance on certain exemptions under the U.S. Securities
Act and applicable state securities laws is predicated in part on the representations made by the Holder in Article IV of the Subscription
Agreement.

 

		b.	Any certificate representing Common Stock issued upon the exercise of this Warrant will bear a
legend substantially similar to the following:

 

THE SECURITIES REPRESENTED BY THIS
CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY APPLICABLE
STATE SECURITIES LAWS. SUCH SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT PURPOSES AND MAY NOT BE OFFERED FOR SALE, SOLD, DELIVERED
AFTER SALE, TRANSFERRED, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FILED BY THE ISSUER WITH
THE U.S. SECURITIES AND EXCHANGE COMMISSION COVERING SUCH SECURITIES UNDER THE SECURITIES ACT OR AN EXEMPTION FROM REGISTRATION.
AN OPINION OF COUNSEL SATISFACTORY TO THE ISSUER MAY BE REQUIRED BY THE ISSUER OR THE TRANSFER AGENT.

 

In addition, so long as the foregoing
legend may remain on any stock certificate delivered to the Holder, the Company may maintain appropriate “stop transfer”
orders with respect to such certificates and the shares represented thereby on its books and records and with those to whom it
may delegate registrar and transfer functions.  

 

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		3.	Reservation of Shares.  The Company hereby agrees that at all times there shall
be reserved for issuance upon the exercise of this Warrant such number of shares of its Common Stock as shall be required for issuance
upon exercise of this Warrant.  The Company further agrees that all shares which may be issued upon the exercise of the
rights represented by this Warrant will be duly authorized and will, upon issuance and against payment of the exercise price, be
validly issued, fully paid and non-assessable, free from all taxes, liens, charges and preemptive rights with respect to the issuance
thereof, other than taxes, if any, in respect of any transfer occurring contemporaneously with such issuance and other than transfer
restrictions imposed by federal, state or other applicable securities laws.

 

		4.	Exchange, Transfer or Assignment of Warrant.  Subject to compliance with any applicable
securities laws, this Warrant is exchangeable, without expense, at the option of the Holder, upon presentation and surrender hereof
to the Company or at the office of its stock transfer agent, if any, for other Warrants of different denominations, entitling the
Holder or Holders thereof to purchase in the aggregate the same number of shares of Common Stock purchasable hereunder.  Upon
surrender of this Warrant to the Company or at the office of its stock transfer agent, if any, with the Assignment Form annexed
hereto duly executed and funds sufficient to pay any transfer tax, the Company shall, without charge, execute and deliver a new
Warrant in the name of the assignee named in such instrument of assignment and this Warrant shall promptly be canceled.

 

		5.	Capital Adjustments.  This Warrant is subject to the following further provisions:

 

		a.	Subdivision or Combination of Shares.  If the Company at any time while this Warrant
remains outstanding and unexpired shall subdivide or combine its Common Stock, the number of shares of Warrant Stock purchasable
upon exercise of this Warrant and the Warrant Price shall be proportionately adjusted such that the aggregate Warrant Price of
this Warrant shall remain unchanged.  Any adjustment under this Section 5(a) shall become effective at the close of business
on the date the subdivision or combination becomes effective or, if earlier, the record date with respect to the subdivision or
combination.

 

		b.	Stock Dividends and Distributions.  If the Company at any time while this Warrant
is outstanding and unexpired shall issue or pay the holders of its Common Stock, or take a record of the holders of its Common
Stock for the purpose of entitling them to receive, a dividend payable in, or other distribution of, Common Stock, then (i) the
Warrant Price shall be adjusted in accordance with Section 5(e) and (ii) the number of shares of Warrant Stock purchasable upon
exercise of this Warrant shall be adjusted to the number of shares of Common Stock that the Holder would have owned immediately
following such action had this Warrant been exercised immediately prior thereto.

 

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		c.	Stock and Rights Offering to Stockholders.  If the Company shall at any time while
this Warrant is outstanding distribute to all holders of its Common Stock any shares of capital stock of the Company (other than
Common Stock) or evidences of its indebtedness or assets (excluding cash dividends or distributions) or rights or warrants to subscribe
for or purchase any of its securities (excluding those referred to in the immediately preceding paragraph), or securities convertible
or exchangeable into Common Stock (any of the foregoing, the “Securities”), then in each such case, the Company
shall without regard to any Beneficial Ownership Limitation or Maximum Percentage reserve shares or other units of such Securities
for distribution to the Holder upon exercise of this Warrant so that, in addition to the shares of the Common Stock to which such
Holder is entitled, such Holder will receive upon such exercise the amount and kind of such Securities which such Holder would
have received if the Holder had, immediately prior to the record date for the distribution of the Securities, exercised this Warrant.

 

		d.	Organic Change.  Any recapitalization, reorganization, reclassification, consolidation,
merger, sale of all or substantially all of the Company’s assets to another person or entity or other transaction that is
effected in such a way that holders of Common Stock are entitled to receive (either directly or upon subsequent liquidation) stock,
securities or assets with respect to or in exchange for Common Stock is referred to herein as an “Organic Change.”

 

		(i)	In connection with any (x) bona fide sale of all or substantially all of the Company’s assets
to an acquiring person or entity or (y) other Organic Change involving an arm’s length third party or parties following which
the Company is not the surviving entity and as a result of which the then current stockholders of the Company will not, directly
or indirectly own 50% or more of the surviving entity, the Company shall elect in its sole discretion: (A) to require that the
Holder exercise this Warrant prior to the consummation of such Organic Change, and if not so exercised, that this Warrant shall
terminate upon consummation of such Organic Change, or (B) to secure from the person or entity purchasing such assets or the successor
resulting from such Organic Change (in each case, the “Acquiring Entity”) a written agreement (in form and substance
reasonably satisfactory to the Holder) to deliver to the Holder, in exchange for this Warrant, a warrant of the Acquiring Entity
(the “Replacement Warrant”) evidenced by a written instrument substantially similar in form and substance to
this Warrant and reasonably satisfactory to the Holder reflecting the adjustments required so as to preserve the value of the Warrant
applicable at the Closing of the transaction, by the terms of the Replacement Warrant.  The Replacement Warrant shall
be exercisable for such number of shares of common stock or other securities of the Acquiring Entity as the Holder would have had
the right to receive upon such Organic Change by a holder of the number of shares of Warrant Stock that such Holder would have
been entitled to receive upon exercise of this Warrant had this Warrant been exercised immediately prior to the effective date
of such Organic Change without regard to any Beneficial Ownership Limitation or Maximum Percentage.  The Company shall
give the Holder written notice of such Organic Change at least twenty (20) days prior to the closing and consummation of such Organic
Change (and shall give notice of record date pursuant to Section 6(a)). The terms of any agreement pursuant to which a Replacement
Warrant may be issued shall include terms requiring any such successor or surviving entity to comply with the provisions of this
Section 5(d) and insuring that this Warrant (or any such replacement security) will be similarly adjusted upon any subsequent transaction
analogous to an Organic Change.

 

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		(ii)	Prior to the consummation of any Organic Change unless not required as contemplated in subsection
(i) above, the Company shall make appropriate provision (in form and substance reasonably satisfactory to the Holder) to ensure
that the Holder will thereafter have the right to acquire and receive in lieu of or in addition to (as the case may be) the shares
of Common Stock immediately theretofore acquirable and receivable upon the exercise of this Warrant, such shares of stock, securities
or assets that would have been issued or payable in such Organic Change with respect to or in exchange for the number of shares
of Common Stock that would have been acquirable and receivable upon the exercise of this Warrant as of the date of such Organic
Change without regard to any Beneficial Ownership Limitation or Maximum Percentage.

 

		e.	Warrant Price Adjustment.  Except as otherwise provided herein, whenever the number
of shares of Warrant Stock purchasable upon exercise of this Warrant is adjusted, as herein provided, the Warrant Price payable
upon the exercise of this Warrant shall be adjusted to that price determined by multiplying the Warrant Price immediately prior
to such adjustment by a fraction (i) the numerator of which shall be the number of shares of Warrant Stock purchasable upon exercise
of this Warrant immediately prior to such adjustment, and (ii) the denominator of which shall be the number of shares of Warrant
Stock purchasable upon exercise of this Warrant immediately thereafter.

 

		f.	Par Value.  Notwithstanding anything to the contrary contained in Section 5, if,
as a result of an adjustment pursuant to Section 5, the par value per share of Common Stock would be greater than the Warrant Price,
then the Warrant Price shall be an amount equal to the par value per share of the Common Stock but the number of shares the holder
of this Warrant shall be entitled to purchase shall be such greater number of shares of Common Stock as would have resulted from
the Warrant Price that, absent such limitation, would have been in effect pursuant to this Section 5.

 

		g.	Certain Shares Excluded. The number of shares of Common Stock outstanding at any given time
for purposes of the adjustments set forth in this Section 5 shall exclude any shares then directly or indirectly held in the treasury
of the Company.

 

		h.	Deferral and Cumulation of De Minimis Adjustments.  The Company shall not be required
to make any adjustment pursuant to this Section 5 if the amount of such adjustment would be less than one percent (1%) of the Warrant
Price in effect immediately before the event that would otherwise have given rise to such adjustment.  In such case,
however, any adjustment that would otherwise have been required to be made shall be made at the time of and together with the next
subsequent adjustment which, together with any adjustment or adjustments so carried forward, shall amount to not less than one
percent (1%) of the Warrant Price in effect immediately before the event giving rise to such next subsequent adjustment.

 

		i.	Duration of Adjustment.  Following each computation or readjustment as provided
in this Section 5, the new adjusted Warrant Price and number of shares of Warrant Stock purchasable upon exercise of this Warrant
shall remain in effect until a further computation or readjustment thereof is required.

 

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		6.	Notice to Holders.

 

		a.	Notice of Record Date.  In case:

 

		(i)	the Company shall take a record of the holders of its Common Stock (or other stock or securities
at the time receivable upon the exercise of this Warrant) for the purpose of entitling them to receive any dividend (other than
a cash dividend) or other distribution, or any right to subscribe for or purchase any shares of stock of any class or any other
securities, or to receive any other right;

 

		(ii)	of any Organic Change; or

 

		(iii)	of any voluntary or involuntary dissolution, liquidation or winding-up of the Company;

 

then, and in each such case,
the Company will mail or cause to be mailed to the Holder hereof at the time outstanding a notice specifying, as the case may be,
(i) the date on which a record is to be taken for the purpose of such dividend, distribution or right, and stating the amount and
character of such dividend, distribution or right, or (ii) the date on which such Organic Change, dissolution, liquidation or winding-up
is to take place, and the time, if any, is to be fixed, as of which the holders of record of Common Stock (or such stock or
securities at the time receivable upon the exercise of this Warrant) shall be entitled to exchange their shares of Common Stock
(or such other stock or securities) for securities or other property deliverable upon such reorganization, reclassification, consolidation,
merger, conveyance, dissolution or winding-up.  Such notice shall be mailed at least fifteen (15) days prior to the record
date therein specified, or if no record date shall have been specified therein, at least fifteen (15) days prior to such specified
date, provided, however, failure to provide any such notice shall not affect the validity of such transaction.
At any time after the Exercise Date, the Holder is entitled to exercise this Warrant during the period
commencing on the date of such notice to the effective date of the event triggering such notice.

 

		b.	Certificate of Adjustment. Whenever any adjustment shall be made pursuant to Section 5 hereof,
the Company shall promptly make a certificate signed by its Chairman, Chief Executive Officer, President, Vice President, Chief
Financial Officer or Treasurer, setting forth in reasonable detail the event requiring the adjustment, the amount of the adjustment,
the method by which such adjustment was calculated and the Warrant Price and number of shares of Warrant Stock purchasable
upon exercise of this Warrant after giving effect to such adjustment, and shall promptly cause copies of such certificates to be
mailed (by first class mail, postage prepaid) to the Holder of this Warrant.

 

		7.	Loss, Theft, Destruction or Mutilation.  If this Warrant is lost, stolen, mutilated
or destroyed, upon receipt by the Company, in the case of loss, theft or destruction, of an indemnity in customary form or, in
the case of mutilation, upon surrender and cancellation of this Warrant, the Company will execute and deliver in lieu thereof,
without expense to the Holder, a new Warrant of like denomination and tenor dated the date hereof.

 

    	 	11	 

     

    

 

		8.	Warrant Holder Not a Stockholder.  The Holder of this Warrant, as such, shall
not be entitled by reason of this Warrant to any voting or other rights whatsoever as a stockholder of the Company prior to exercise
in accordance with terms hereunder.

 

		9.	Notices. All notices and other communications hereunder shall be in writing and shall be
deemed duly given (a) on the date of delivery if delivered personally, or if by facsimile or email, upon written confirmation
of receipt by facsimile, e-mail or otherwise, (b) on the first business day following the date of dispatch if delivered utilizing
a next-day service by a recognized next-day courier or (c) on the earlier of confirmed receipt or the fifth business day following
the date of mailing if delivered by registered or certified mail, return receipt requested, postage prepaid. All notices hereunder
shall be delivered to the addresses set forth below, or pursuant to such other instructions as may be designated in writing by
the party to receive such notice:

 

		(1)	if to the Company, to:

 

Pershing Gold Corporation

1658 Cole Boulevard

Building 6, Suite 210

Lakewood, CO 80401

Attention: Stephen Alfers

Email: SAlfers@pershinggold.com

Facsimile: 720-974-7249

 

with a copy (which shall not
constitute notice) to:

 

Davis Graham & Stubbs LLP

1550 17th Street, Suite 500

Denver, Colorado 80202

Attention: Deborah J. Friedman

Email: Deborah.friedman@dgslaw.com

Facsimile: 303-893-1379

 

		(2)	if to Holder to the address, email and facsimile number(s), and with such copies as indicated in
the warrant register maintained by the Company.

 

		10.	Choice of Law.  This Warrant and all disputes or controversies arising out of
or relating to this Warrant or the transactions contemplated hereby shall be governed by, and construed in accordance with, the
internal laws of the State of Nevada, without regard to the laws of any other jurisdiction that might be applied because of the
conflicts of laws principles of the State of Nevada.

 

    	 	12	 

     

    

 

		11.	Jurisdiction and Venue.  Each of the parties irrevocably agrees that any legal
action or proceeding arising out of or relating to this Warrant brought by the other party or its successors or assigns shall be
brought and determined in any appropriate Nevada State or federal court, and each of the parties hereby irrevocably submits to
the exclusive jurisdiction of the aforesaid courts for itself and with respect to its property, generally and unconditionally,
with regard to any such action or proceeding arising out of or relating to this Warrant and the transactions contemplated hereby.
Each of the parties agrees not to commence any action, suit or proceeding relating thereto except in the courts described above
in Nevada, other than actions in any court of competent jurisdiction to enforce any judgment, decree or award rendered by any such
court in Nevada as described herein. Each of the parties further agrees that notice as provided herein shall constitute sufficient
service of process and the parties further waive any argument that such service is insufficient. Each of the parties hereby irrevocably
and unconditionally waives, and agrees not to assert, by way of motion or as a defense, counterclaim or otherwise, in any action
or proceeding arising out of or relating to this Warrant or the transactions contemplated hereby, (a) any claim that it is
not personally subject to the jurisdiction of the courts in Nevada as described herein for any reason, (b) that it or its
property is exempt or immune from jurisdiction of any such court or from any legal process commenced in such courts (whether through
service of notice, attachment prior to judgment, attachment in aid of execution of judgment, execution of judgment or otherwise)
and (c) that (i) the suit, action or proceeding in any such court is brought in an inconvenient forum, (ii) the
venue of such suit, action or proceeding is improper or (iii) this Warrant, or the subject matter hereof, may not be enforced
in or by such courts.

 

		12.	Amendment and Waiver.  Except as otherwise provided herein, the provisions of
this Warrant and the other Warrants may be amended and the Company may take any action herein prohibited, or omit to perform any
act herein required to be performed by it, only if the Company has obtained the written consent of the Holder.

 

		13.	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 not be a Trading Day, then, such action may be taken or such right
may be exercised on the next succeeding Trading Day.

 

		14.	Non-waiver 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 the Holder’s rights, powers
or remedies. Without limiting any other provision of this Warrant or the Subscription Agreement, if the Company willfully and knowingly
fails to comply with any provision of this Warrant, which results in any material damages to the Holder, the Company shall pay
to the 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 the Holder in collecting any amounts due pursuant hereto or in otherwise
enforcing any of its rights, powers or remedies hereunder.

 

		15.	Limitation of Liability. No provision hereof, in the absence of any affirmative action by
the Holder to exercise this Warrant to purchase Warrant Stock, and no enumeration herein of the rights or privileges of the Holder,
shall give rise to any liability of the 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.

 

    	 	13	 

     

    

 

		16.	Remedies. The 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 and not to assert the defense in any action for specific performance that a remedy at law would
be adequate.

 

		17.	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 and permitted assigns of the
Company and the successors and permitted assigns of Holder. The provisions of this Warrant are intended to be for the benefit of
any Holder from time to time of this Warrant and shall be enforceable by the Holder or holder of Warrant Stock.

 

		18.	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.

 

		19.	Warrant Register. The Company shall register this Warrant, upon records to be maintained
by the Company for that purpose (the “Warrant Register”), in the name of the record Holder hereof from time
to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner hereof for the purpose of any
exercise hereof or any distribution to the Holder, and for all other purposes, absent actual notice to the contrary.

 

[signature page follows]

 

    	 	14	 

     

    

 

IN WITNESS WHEREOF, the Company has duly
caused this Warrant to be signed on its behalf, in its corporate name and by its duly authorized officers, as of the date first
written above.

 

	.	PERSHING GOLD CORPORATION
	 	 	 
	 	By:	 
	 	Name:  Eric Alexander
	 	Title: Vice President Finance and Controller

 

[Signature Page – Placement Agent
Warrant]

 

     

     

    

 

NOTICE OF EXERCISE

 

	TO:	Pershing Gold Corporation
	 	
        1658 Cole Boulevard

        Building 6 – Suite 210

        Lakewood, Colorado 80401

        Attn: Chief Executive Officer

 

		(1)	The undersigned hereby elects to purchase ______________ shares of Warrant Stock of the Company
pursuant to the terms of the Warrant to Purchase Common Stock (the “Warrant”), and tenders herewith or will tender
payment of the exercise price in full, together with all applicable transfer taxes, if any, as required by the Warrant.

 

		(2)	Payment shall take the form of (check applicable box):

 

		 ̈	the Aggregate Exercise Price in the sum of $__________________ in lawful money of the United States
in accordance with the terms of the Warrant; or

 

		 ̈	cashless exercise pursuant to Section 1(b) of the Warrant Agreement, if permitted.

 

		(3)	Please issue a certificate or certificates representing said shares of Warrant Stock in the name
of the undersigned or in such other name as is specified below:

 

The shares of Warrant Stock shall be delivered
to the following DWAC Account Number, if permitted, or by physical delivery of a certificate to:

 

DWAC Account Number:

 

Address and phone number:

 

		(4)	Accredited Investor. By executing this exercise form, the undersigned represents and warrants
that the undersigned:

 

		(a)	(i) purchased the Warrant directly from the Company for its own account or the account of another
“accredited investor”, as that term is defined in Rule 501(a) (a “U.S. Accredited Investor”)
of Regulation D promulgated under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”);
(ii) will acquire the shares of Warrant Stock upon the exercise of the Warrant contemplated hereby solely for its own account or
the account of such other U.S. Accredited Investor; (iii) was a U.S. Accredited Investor on the date the Warrant was purchased
from the Company and continues to be a U.S. Accredited Investor on the date of the exercise of the Warrant; and (iv) if the Warrant
is being exercised on behalf of another person, represents, warrants and certifies such person was a U.S. Accredited Investor,
on the date the Warrant was purchased from the Company and continues to be a U.S. Accredited Investor on the date of the exercise
of the Warrant; or

 

     

     

    

 

		(b)	(i) is outside the United States (as defined in Regulation S promulgated by the United States
Securities Exchange Commission under the U.S. Securities Act) and not a U.S. person (as defined in Regulation S (a “U.S.
Person”), at the time of execution and delivery of this notice; (ii) is not exercising the right provided for herein
for the account or benefit of a person in the United States or a U.S. Person; (iii) is not exercising the Warrant with the
intent to distribute either directly or indirectly any of the securities acquirable upon exercise in the United States, except
in compliance with the U.S. Securities Act; and (iv) has in all other respects complied with the terms of Regulation S
of the U.S. Securities Act.

 

Capitalized terms used herein and not otherwise
defined shall have the respective meanings set forth in the Warrant.

 

	Name of Registered Holder of the Warrant:
	 
	 
	 
	Signature of Authorized Signatory of Registered Holder:
	 
	 
	 
	Name and Title of Authorized Signatory:
	 
	 
	 
	Date:
	 
	 

 

    	 	2	 

     

    

 

ASSIGNMENT FORM

 

FOR VALUE RECEIVED, the undersigned hereby
sells, assigns and transfers unto ______________________________________________________ (include name and address of the transferee)
a Warrant exercisable for ____________ shares of common stock, represented by warrant certificate number _________, of Pershing
Gold Corporation (the “Company”) registered in the name of the undersigned on the register of the Company maintained
therefor, and hereby irrevocably appoints the attorney of the undersigned to transfer the said securities on the books maintained
by the Company with full power of substitution.

 

DATED this _______ day of ___________________,
20___.

 

	 	Signature of Transferor
	 	 
	 	______________________________
	 	 
	 	______________________________
	 	 
	 	Address of Transferor 

 

The undersigned transferee hereby certifies
that:

(check one)

 

_____ said transferee was not offered the
Warrants in the United States and is not in the United States or a “U.S. Person” (as defined in Regulation S
under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”)), and is not acquiring
the Warrants for the account or benefit of a person in the United States or a U.S. Person; or

 

_____ enclosed herewith is an opinion of
counsel of recognized standing in a customary form to the effect that no violation of the U.S. Securities Act or applicable securities
laws will result from transfer, exercise or deemed exercise of the Warrants.

 

     

     

    

 

It is understood that the Company may require
additional evidence necessary to verify the foregoing.

 

DATED: ___________________

 

	Address of Transferee:	X  __________________________________________
	 	Signature of individual (if Transferee is an individual)
	 	 
	___________________________	X ___________________________________________
	 	Authorized signatory (if Transferee is not an individual)
	___________________________	 
	 	_____________________________________________
	___________________________	Name of Transferee (please print)
	 	 
	___________________________	_____________________________________________
	 	Name of authorized signatory (please print)
	 	 
	 	_____________________________________________
	 	Official capacity of authorized signatory (please print)

 

    	 	2Exhibit 10.1

 

Instructions to subscribe for Units

in the private offering of

PERSHING GOLD CORPORATION

 

		1.	On the Signature Page for the Subscription Agreement, Date and Fill in the number
of units (the “Units”) that you wish to purchase at a price of $3.25 per unit. Each Unit consists of one (1) share
of the Company’s common stock, par value $0.0001 per share (the “Common Stock”), and one (1) thirty (30) month
warrant (a “Warrant”) to purchase 0.5 of a share of Common Stock, with each whole warrant having an exercise price
equal to 110% of the market value of the Company’s common stock on the trading day immediately preceding the applicable closing,
with such exercise price to be subject to adjustment as set forth in the warrant agreement (the “Exercise Price”).
(The Common Stock and Warrants in a Unit, and any Common Stock acquired pursuant to the exercise of a Warrant, are collectively
referred to below as the “Securities”.) Then, Complete and Sign the Signature Page in this Subscription Agreement.

 

		2.	Initial the Accredited Investor Certification attached to this Subscription Agreement.

 

		3.	Complete and Sign the Selling Stockholder Notice and Questionnaire attached hereto as Exhibit
A.

 

NOTICE: Please note
that by executing the attached Subscription Agreement, you will be deemed to have executed the Unit Purchase Agreement (attached
as Exhibit A to the Confidential Private Placement Memorandum (“PPM”)), the Registration Rights Agreement (attached
as Exhibit D to the PPM), and (iii) agreed to the terms of the Warrant (also attached as Exhibit C to the PPM), and to all exhibits,
supplements and schedules to all of the foregoing, all as the same may be amended from time to time (collectively the “Transaction
Documents”), and will be treated for all purposes as if you did review, approve and execute, if required, each such Transaction
Document, even though you may not have physically signed the signature pages to such documents.

 

		4.	Complete and Return the attached Purchaser Questionnaire and, if applicable, the Wire Transfer
Authorization attached to this Subscription Agreement.

 

		5.	Return all forms to your Account Executive at Laidlaw & Company (UK) Ltd. (the
“Placement Agent”), and then send all signed original documents to:

 

Laidlaw & Company (UK) Ltd.

546 Fifth Avenue, 5th Floor

New York, NY 10036

Attention: Investment Banking

 

     

     

    

  

		6.	The escrow agent for this purchase of Units is Signature Bank, 261 Madison Avenue, New York, NY
10016 (the “Escrow Agent”). Please make your subscription payment payable to the order of “Signature Bank,
as Escrow Agent for Pershing Gold Corporation”, Account No. 1502701904.

 

For
wiring funds directly to the escrow account, use the following instructions:

 

Signature Bank

261 Madison Avenue

New York, NY 10016

ABA: 

Swift Code: 

Account No.: 

 

ALL SUBSCRIPTION DOCUMENTS MUST BE COMPLETELY
FILLED IN, AND SIGNED AS DESCRIBED ABOVE.

 

    	 	ii	 

     

    

  

SUBSCRIPTION AGREEMENT

 

PERSHING GOLD CORPORATION

 

Pershing Gold Corporation

1658 Cole Boulevard

Building 6, Suite 210

Lakewood, Colorado 80401

Attn: Stephen Alfers, President & CEO

 

Ladies and Gentlemen:

 

1.          Subscription.
The undersigned (the “Purchaser”) will purchase the number of units (the “Units”) set forth on the signature
page to this subscription Agreement (the “Agreement”) at a price of $3.25 per Unit. Each Unit consists of one (1) share
of common stock, par value $0.0001 per share (“Common Stock”) of Pershing Gold Corporation, a Nevada corporation (the
“Company”) and one (1) thirty (30) month Warrant to purchase 0.5 of a share of Common Stock, with each whole warrant
having an exercise price equal to 110% of the market value of the Company’s common stock on the trading day immediately preceding
the applicable closing, with such exercise price to be subject to adjustment as set forth in the warrant agreement (the “Warrant”).
The shares of Common Stock underlying the Warrant may hereinafter be referred to as the “Warrant Shares”. The Unit,
the Common Stock, the Warrant and the Warrant Shares are collectively referred to below as the "Securities". The Units
are being offered (the “Offering”) by the Company pursuant to the offering terms set forth in the Company's Confidential
Private Placement Memorandum, dated February 9, 2016, as the same may be amended and/or supplemented, from time to time (collectively,
the “PPM”). Certain capitalized terms used, but not otherwise defined in this Agreement will have the respective meanings
provided in the PPM.

 

The Units are being offered
on a “reasonable efforts, all or none” basis with respect to the minimum of $1,750,000 (the “Minimum Offering”),
and thereafter on a “reasonable efforts” basis up to the maximum of $10,000,000 (the “Maximum Offering”).
The subscription for the Securities will be made in accordance with and subject to the terms and conditions of this Subscription
Agreement, the PPM and the Transaction Documents (as defined below).The Units will be offered for sale until the earlier of (i)
the date upon which subscriptions for the Maximum Offering have been accepted, (ii) March 31, 2016 (subject to the right
of the Company and Placement Agent (as defined below) to extend the offering for an additional 45 days without further notice to
investors), (iii) the date upon which the Company and the Placement Agent elect to terminate the Offering, or (iv) the date on
which the Company elects to terminate the Offering (the “Termination Date”).

 

    	 	- 1 -	 

     

    

 

The Initial Closing (as
defined herein) of this Offering shall be subject to subscriptions being received from qualified investors and accepted by the
Company. Upon acceptance by the Company after the date hereof of subscriptions for the Minimum Offering, Laidlaw & Company
(UK) Ltd. (the “Placement Agent”) and the Company shall have the right at any time thereafter, prior to the Termination
Date (as defined below), to effect an initial closing with respect to this Offering (the “Initial Closing”). Thereafter,
the Placement Agent and the Company may hold one or more closings (each, a “Closing”) with respect to purchases of
Units in the Offering at such times as the Company shall elect at any time prior to the Termination Date. The last Closing of the
Offering, occurring on or prior to the Termination Date, is referred to as the “Final Closing”. Any subscription documents
or funds received after the Final Closing will be returned without interest or deduction. In the event that a Closing of the Purchaser's
subscription does not occur prior to the Termination Date, all amounts paid by the Purchaser shall be returned to the Purchaser
without interest or deduction.

 

The minimum investment for any subscriber
under the Offering is US$32,500 (the "Minimum Investment”). However, subscriptions for investment below the Minimum
Investment may be accepted at the mutual discretion of the Company and the Placement Agent. There is no maximum investment for
individual investors, although the maximum aggregate proceeds from sale of the Units in the Offering may not the Maximum Offering.
The Company reserves the right (but is not obligated) to allow its employees, agents, officers, directors and affiliates purchase
Units in the Offering, and all such purchases will be counted towards the Maximum Offering.

 

The terms of the Offering are more completely
described in the PPM, whose terms are incorporated herein in their entirety.

 

2.         Payment.
The Purchaser will immediately make a wire transfer payment to the Escrow Agent pursuant to the wire instructions provided on
the signature page below, in the full amount of the purchase price of the Units being subscribed for. Together with the wire transfer
of the full purchase price, the Purchaser is delivering a completed and executed Signature Page to this Subscription Agreement,
along with a completed and executed Accredited Investor Certification, which is annexed hereto. By executing this Subscription
Agreement, (i) you will be deemed to have executed the Unit Purchase Agreement (attached as Exhibit A to the PPM), the Registration
Rights Agreement (attached as Exhibit D to the PPM), and (ii) agreed to the terms of the Warrant (attached as Exhibit C to the
PPM) (the PPM, this Subscription Agreement, the Registration Rights Agreement and the Warrant, collectively, the “Transaction
Documents”), and will be treated for all purposes as if it did review, approve and execute, if required, each such Transaction
Document, even though the Purchaser may not have physically signed the signature pages to such documents.

 

3.          Deposit of Funds.
All payments made as provided in Section 2 hereof will be deposited by the Purchaser as soon as practicable with the
Escrow Agent, or such other escrow agent appointed by the Placement Agent and the Company, in the Escrow Account. In the event
that the Company does not effect a Closing during prior to the Termination Date, the Escrow Agent will refund all subscription
funds, without deduction and/or interest accrued thereon, and will return the subscription documents to each Purchaser. 

 

    	 	- 2 -	 

     

    

 

4.          Acceptance
of Subscription. The Purchaser understands and agrees that the Company, in its sole discretion, reserves the right to accept
this or any other subscription for the Units, in whole or in part, notwithstanding prior receipt by the Purchaser of notice of
acceptance of this or any other subscription. The Company will have
no obligation hereunder until the Company returns to the Purchaser an executed copy of this Subscription Agreement.
If the Purchaser’s subscription is rejected in whole or in part (at the sole discretion of the Company) or the Offering is
terminated prior to the Closing on the Purchaser’s Units, funds received from the Purchaser and not applied to the purchase
of Units will be returned without interest, penalty, expense or deduction, and this Subscription Agreement will thereafter be of
further force or effect only to the extent such subscription was accepted. The Purchaser may revoke its subscription and obtain
a return of the subscription amount paid to the Escrow Account at any time before the date of the Initial Closing by a writing
delivered to the Placement Agent and the Company. The Purchaser may not revoke this subscription or obtain a return of the subscription
amount paid to the Escrow Agent on or after the date of the Initial Closing. Any subscription received after the Initial Closing
but prior to the Termination Date shall be irrevocable.

 

5.          Representations
and Warranties of the Purchaser. The Purchaser hereby acknowledges, represents, warrants, and agrees as follows:

 

(a)          None of the Securities
has been registered under the United States Securities Act of 1933, as amended (the “Securities Act”), or any applicable
state securities laws. The Purchaser understands that the offering and sale of the Securities is intended to be exempt from the
registration requirements of the Securities Act, by virtue of Section 4(a)(2) thereof and Rule 506 of Regulation D promulgated
thereunder, based, in part, upon the representations, warranties and agreements of the Purchaser contained in this Subscription
Agreement. The Purchaser agrees to supply all requested documents and information to ensure compliance as may be requested by the
Company or the Placement Agent;

 

(b)          Prior to the execution
of this Subscription Agreement, the Purchaser and the Purchaser’s attorney, accountant, purchaser representative and/or tax
advisor, if any (collectively, “Advisors”), received and carefully reviewed the PPM, this Subscription Agreement, and
each of the Transaction Documents, and all other documents requested by the Purchaser or its Advisors, and understood the information
contained therein;

 

(c)          Neither the United
States Securities and Exchange Commission (the “Commission”) nor any state securities commission has approved or disapproved
of the Securities or passed upon or endorsed the merits of the Offering or confirmed the accuracy or determined the adequacy of
the PPM. The PPM has not been reviewed by any Federal, state or other regulatory authority. No representation to the contrary has
been made to the Purchaser, and any such representation could be a criminal offense;

 

(d)          All documents,
records, and books pertaining to the investment in the Securities including, but not limited to, all information regarding the
Company, requested by the Purchaser and its Advisors, were made available for inspection and review;

 

(e)          The Purchaser
and its Advisors have had a reasonable opportunity to ask questions of and receive answers from the Company’s officers and
any other persons authorized by the Company to answer such questions, concerning the Offering, the Securities, the Transaction
Documents and the business, financial condition, results of operations and prospects of the Company, and all such questions have
been answered by the Company to the full satisfaction of the Purchaser and its Advisors;

 

    	 	- 3 -	 

     

    

 

(f)          In evaluating
the suitability of an investment in the Company, the Purchaser has not relied upon any representation or other information (oral
or written) other than those contained in the PPM;

 

(g)          The Purchaser
is unaware of, is in no way relying on, and did not become aware of the offering of the Securities through or as a result of, any
form of general solicitation or general advertising including, without limitation, any article, notice, advertisement or other
communication published in any newspaper, magazine or similar media or broadcast over television, radio or over the Internet, in
connection with the offering and sale of the Securities and is not subscribing for the Securities and did not become aware of the
Offering through or as a result of any seminar or meeting, or any solicitation of a subscription, involving a person not previously
known to the Purchaser in connection with investments in securities generally;

 

(h)          The Purchaser
has taken no action which would give rise to any claim by any person for brokerage commissions, finders’ fees or the like
relating to this Subscription Agreement or the transactions contemplated hereby (other than fees to be paid by the Company as described
in the PPM);

 

(i)          The Purchaser,
either alone or together with its Advisors has such knowledge and experience in financial, tax, and business matters, and, in particular,
investments in securities, so as to enable it to utilize the information made available to it in connection with the Offering to
evaluate the merits and risks of an investment in the Securities and the Company and to make an informed investment decision with
respect thereto;

 

(j)          The Purchaser
is not relying on the Company, the Placement Agent or any of their respective employees or agents with respect to the legal, tax,
economic and related considerations of an investment in any of the Securities, and as to such matters the Purchaser has relied
on the advice of, or has consulted with, only its own Advisors;

 

(k)          The Purchaser
is acquiring the Securities solely for its own account for investment purposes and not with a view to resale or distribution thereof,
in whole or in part. The Purchaser has no agreement or arrangement, formal or informal, with any person to sell or transfer all
or any part of any of the Securities, and the Purchaser has no plans to enter into any such agreement or arrangement;

 

(l)          The Purchaser
understands and agrees that purchase of the Securities is a high-risk investment and the Purchaser is able to afford an investment
in a speculative venture having the risks and objectives of the Company. The Purchaser knows it must bear the substantial economic
risks of the investment in the Securities indefinitely because none of the Securities may be offered, sold, pledged, hypothecated
or otherwise transferred or disposed of, directly or indirectly, unless subsequently registered under the Securities Act and applicable
state securities laws or an exemption from such registration requirements is available. Legends will be placed on the certificates
representing the Securities to the effect that the Securities have not been registered under the Securities Act or applicable state
securities laws, and appropriate notations thereof will be made in the Company’s books;

 

    	 	- 4 -	 

     

    

 

(m)          The Purchaser
has adequate means of providing for its current financial needs and foreseeable contingencies and has no need for liquidity from
its investment in the Securities for an indefinite period of time;

 

(n)          The Purchaser
is aware that an investment in the Securities involves a number of very significant risks and has carefully read and considered
the Company's periodic filings with the Commission, as well as the matters set forth in the PPM and, in particular, the matters
under the caption “Risk Factors” therein, and understands any of such risk may materially adversely affect the Company’s
operations and future prospects;

 

(o)          At the time the
Purchaser was offered the Securities, it was, and as of the date hereof it is, and on each date on which it exercises any Warrants,
it will be, an “accredited investor” within the meaning of Regulation D, Rule 501(a), promulgated by the Commission
under the Securities Act; the Purchaser has truthfully and accurately completed the Purchaser Questionnaire attached to this Subscription
Agreement and will submit to the Company in writing such further assurances and information of such status as may be reasonably
requested by the Company in order to verify Accredited Investor status under Rule 506 promulgated under Regulation D of the Securities
Act;

 

(p)          The Purchaser:
(i) if a natural person, represents that the Purchaser has reached the age of 21 and has full power and authority to execute and
deliver this Subscription Agreement and all other related agreements or certificates and to carry out the provisions hereof and
thereof; (ii) if a corporation, partnership, or limited liability company, or association, joint stock company, trust, unincorporated
organization or other entity, represents that such entity was not formed for the specific purpose of acquiring the Securities,
such entity is duly organized, validly existing and in good standing under the laws of the state of its organization, the consummation
of the transactions contemplated hereby is authorized by, and will not result in a violation of state law or its charter or other
organizational documents, such entity has full power and authority to execute and deliver this Subscription Agreement and all other
related agreements or certificates and to carry out the provisions hereof and thereof and to purchase and hold the Securities,
the execution and delivery of this Subscription Agreement has been duly authorized by all necessary action, this Subscription Agreement
has been duly executed and delivered on behalf of such entity and is a legal, valid and binding obligation of such entity; or (iii)
if executing this Subscription Agreement in a representative or fiduciary capacity, represents that it has full power and authority
to execute and deliver this Subscription Agreement in such capacity and on behalf of the subscribing individual, ward, partnership,
trust, estate, corporation, or limited liability company or partnership, or other entity for whom the Purchaser is executing this
Subscription Agreement, and such individual, partnership, ward, trust, estate, corporation, or limited liability company or partnership,
or other entity has full right and power to perform pursuant to this Subscription Agreement and make an investment in the Company,
and represents that this Subscription Agreement constitutes a legal, valid and binding obligation of such entity. The execution
and delivery of this Subscription Agreement will not violate or be in conflict with any order, judgment, injunction, agreement
or controlling document to which the Purchaser is a party or by which it is bound;

 

    	 	- 5 -	 

     

    

 

(q)          The Purchaser
hereby acknowledges receipt and careful review of this Agreement, the PPM (including all exhibits thereto), the Registration Rights
Agreement, the Warrant and all other exhibits, annexes and appendices thereto (collectively referred to as the “Offering
Materials”), and has had access to the Company’s Annual Report on Form 10-K and the exhibits thereto for the fiscal
year ended December 31, 2014 (the “Form 10-K”) as well as all subsequent periodic and current reports filed with the
Commission as publicly filed with and available at the website of the Commission which can be accessed at www.sec.gov;

 

(r)          The Purchaser
represents to the Company that any information which the Purchaser has heretofore furnished or is furnishing herewith to the Company
is complete and accurate and may be relied upon by the Company in determining the availability of an exemption or exclusion from
registration under the Securities Act and any state securities laws in connection with the offering of Securities as described
in the PPM;

 

(s)          The Purchaser
has significant prior investment experience, including investment in non-listed and unregistered securities. The Purchaser has
a sufficient net worth to sustain a loss of its entire investment in the Company in the event such a loss should occur. The Purchaser’s
overall commitment to investments which are not readily marketable is not excessive in view of the Purchaser’s net worth
and financial circumstances and the purchase of the Securities will not cause such commitment to become excessive. This investment
is a suitable one for the Purchaser;

 

(t)          The Purchaser
is satisfied that it has received adequate information with respect to all matters which it or its Advisors, if any, consider material
to its decision to make this investment;

 

(u)          The Purchaser
acknowledges that any and all estimates or forward-looking statements or projections included in the PPM were prepared by the Company
in good faith, but that the attainment of any such projections, estimates or forward-looking statements cannot be guaranteed, will
not be updated by the Company and should not be relied upon;

 

(v)          No oral or written
representations have been made, or oral or written information furnished, to the Purchaser or its Advisors, if any, in connection
with the offering of the Securities other than those contained in the PPM;

 

(w)          Within five (5)
days after receipt of a request from the Company, the Purchaser will provide such information and deliver such documents as may
reasonably be necessary to comply with any and all laws to which the Company or this Offering is subject;

 

    	 	- 6 -	 

     

    

 

(x)          THE SECURITIES
OFFERED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OR THE SECURITIES LAWS OF ANY STATE AND ARE BEING OFFERED AND
SOLD IN RELIANCE ON EXEMPTIONS OR EXCLUSIONS FROM THE REGISTRATION REQUIREMENTS OF SAID ACT AND SUCH LAWS. THE SECURITIES ARE SUBJECT
TO RESTRICTIONS ON TRANSFERABILITY AND RESALE AND MAY NOT BE OFFERED, SOLD, PLEDGED, HYPOTHECATED, TRANSFERRED OR DISPOSED OF,
DIRECTLY OR INDIRECTLY, EXCEPT AS PERMITTED UNDER SAID ACT AND SUCH LAWS PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. THE SECURITIES
HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE COMMISSION, ANY STATE SECURITIES COMMISSION OR ANY OTHER REGULATORY AUTHORITY, NOR
HAVE ANY OF THE FOREGOING AUTHORITIES PASSED UPON OR ENDORSED THE MERITS OF THIS OFFERING OR THE ACCURACY OR ADEQUACY OF THE PPM.
ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL;

 

(y)          In making an investment
decision, the Purchaser has relied on its own examination of Company and the terms of the Offering, including the merits and risks
involved;

 

(z)          (For ERISA
plans only) The fiduciary of the ERISA plan (the “Plan”) represents that such fiduciary has been informed of and
understands the Company’s investment objectives, policies and strategies, and that the decision to invest “plan assets”
(as such term is defined in ERISA) in the Company is consistent with the provisions of ERISA that require diversification of plan
assets and impose other fiduciary responsibilities. The Purchaser or Plan fiduciary (a) is responsible for the decision to invest
in the Company; (b) is independent of the Company and any of its affiliates; (c) is qualified to make such investment decision;
and (d) in making such decision, the Purchaser or Plan fiduciary has not relied on any advice or recommendation of the Company
or any of its affiliates;

 

(aa)         The Purchaser
has read in its entirety the PPM and all exhibits and annexes thereto, including, but not limited to, all information relating
to the Company, and the Securities, and understands fully to its full satisfaction all information included in the PPM including,
but not limited to, the Section entitled “Risk Factors”;

 

(bb)         The Purchaser
represents that (i) the Purchaser was contacted regarding the sale of the Securities by the Company or the Placement Agent (or
another person whom the Purchaser believed to be an authorized agent or representative thereof) with whom the Purchaser had a prior
substantial pre-existing relationship and (ii) Purchaser did not learn of the offering of the Securities by means of any form of
general solicitation or general advertising, and in connection therewith, the Purchaser did not (A) receive or review any advertisement,
article, notice or other communication published in a newspaper or magazine or similar media or broadcast over television or radio,
whether closed circuit, or generally available; or (B) attend any seminar meeting or industry investor conference whose attendees
were invited by any general solicitation or general advertising;

 

    	 	- 7 -	 

     

    

 

(cc)         The Purchaser
consents to the placement of a legend on any certificate or other document evidencing the Securities and, when issued, the Warrant
Shares, to the effect that such securities have not been registered under the Securities Act or any state securities or “blue
sky” laws and setting forth or referring to the restrictions on transferability and sale applicable thereto and referenced
in this Agreement. The Purchaser is aware that the Company will make a notation in its appropriate records with respect to the
restrictions on the transferability of such Securities. The legend to be placed on each certificate shall be in form substantially
similar to the following:

 

“THE SECURITIES REPRESENTED
HEREBY WERE ISSUED PURSUANT TO A FEBRUARY 2016 PRIVATE PLACEMENT AND HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES
ACT OF 1933, AS AMENDED (THE “ACT”) OR ANY STATE SECURITIES OR “BLUE SKY LAWS,” AND MAY NOT BE OFFERED,
SOLD, TRANSFERRED, ASSIGNED, PLEDGED OR HYPOTHECATED ABSENT AN EFFECTIVE REGISTRATION THEREOF UNDER SUCH ACT OR COMPLIANCE WITH
RULE 144 PROMULGATED UNDER SUCH ACT, OR UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL, REASONABLY SATISFACTORY TO THE COMPANY
AND ITS COUNSEL, THAT SUCH REGISTRATION IS NOT REQUIRED.”

 

(dd)         The Purchaser
acknowledges that if he or she is a registered representative of a Financial Industry Regulatory Authority (“FINRA”)
member firm, he or she must give such firm the notice required by the FINRA’s Rules of Fair Practice, receipt of which must
be acknowledged by such firm prior to an investment in the Securities;

 

(ee)         To effectuate
the terms and provisions hereof, the Purchaser hereby appoints the Placement Agent as its attorney-in-fact (and the Placement Agent
hereby accepts such appointment) for the purpose of carrying out the provisions of the Escrow Agreement by and between the Company,
the Placement Agent and Signature Bank (the “Escrow Agreement”) including, without limitation, taking any action on
behalf of, or at the instruction of, the Purchaser and executing any release notices required under the Escrow Agreement and taking
any action and executing any instrument that the Placement Agent may deem necessary or advisable (and lawful) to accomplish the
purposes hereof. All acts done under the foregoing authorization are hereby ratified and approved and neither the Placement Agent
nor any designee nor agent thereof shall be liable for any acts of commission or omission, for any error of judgment, for any mistake
of fact or law except for acts of gross negligence or willful misconduct. This power of attorney, being coupled with an interest,
is irrevocable while the Escrow Agreement remains in effect; 

 

(ff)         The Purchaser
agrees not to issue any public statement with respect to the Offering, the Purchaser’s investment or proposed investment
in the Company or the terms of any agreement or covenant between them and the Company without the Company’s prior written
consent, except such disclosures as may be required under applicable law;

 

    	 	- 8 -	 

     

    

 

(gg)         The Purchaser
acknowledges that the Offering and the information contained in the Offering Materials or otherwise made available to the Purchaser
is confidential and non-public and agrees that the Offering and all information shall be kept in confidence by the Purchaser and
neither used by the Purchaser for the Purchaser’s personal benefit (other than in connection with this subscription) nor
disclosed to any third party for any reason, notwithstanding that a Purchaser’s subscription may not be accepted by the Company;
provided, however, that (a) the Purchaser may disclose such information to its affiliates and advisors who may have a need for
such information in connection with providing advice to the Purchaser with respect to its investment in the Company so long as
such affiliates and advisors have an obligation of confidentiality, and (b) this obligation shall not apply to any such information
that (i) is part of the public knowledge or literature and readily accessible at the date hereof, (ii) becomes part of the public
knowledge or literature and readily accessible by publication (except as a result of a breach of this provision) or (iii) is received
from third parties without an obligation of confidentiality (except third parties who disclose such information in violation of
any confidentiality agreements or obligations, including, without limitation, any subscription or other similar agreement entered
into with the Company); and

 

(ii)         The Purchaser
understands that the Securities are “restricted securities” as defined in Rule 144 of the Securities Act and are therefore
subject to restrictions on resale. The Purchaser understands and hereby acknowledges that, except as provided in the Registration
Rights Agreement, the Company is under no obligation to register the Securities under the Securities Act or any state securities
or “blue sky” laws or to assist the Purchaser in obtaining an exemption from various registration requirements, other
than as set forth herein.

 

6.          Representations
and Warranties of the Company. The representations and warranties contained in Section 3 of the Unit Purchase Agreement to
be entered into between the Company and the Purchasers are incorporated herein by reference and are deemed to be made under this
Subscription Agreement.

 

7.          Indemnification.
The Purchaser agrees to indemnify and hold harmless the Company, the Placement Agent and each of their respective officers, directors,
managers, employees, agents, attorneys, control persons and affiliates upon demand from and against all losses, liabilities, claims,
damages, costs, fees and expenses whatsoever (including, but not limited to, any and all expenses incurred in investigating, preparing
or defending against any litigation commenced or threatened) based upon or arising out of any actual or alleged false acknowledgment,
representation or warranty, or misrepresentation or omission to state a material fact, or breach by the Purchaser of any covenant
or agreement made by the Purchaser herein or in any other document delivered in connection with this Subscription Agreement or
any other Transaction Document.

 

8.          Binding Effect.
This Subscription Agreement will survive the death or disability of the Purchaser and will be binding upon and inure to the
benefit of the parties and their heirs, executors, administrators, successors, legal representatives, and permitted assigns. If
the Purchaser is more than one person, the obligations of the Purchaser hereunder will be joint and several and the agreements,
representations, warranties and acknowledgments herein will be deemed to be made by and be binding upon each such person and such
person’s heirs, executors, administrators, successors, legal representatives and permitted assigns.

 

    	 	- 9 -	 

     

    

 

9.          Modification.
This Subscription Agreement will not be modified or waived except by an instrument in writing signed by the party against whom
any such modification or waiver is sought.

 

10.         Notices.
Any notice or other communication required or permitted to be given hereunder will be in writing and will be mailed by certified
mail, return receipt requested, or delivered by reputable overnight courier such as FedEx against receipt to the party to whom
it is to be given (a) if to the Company, at the address set forth on the signature page below or (b) if to the Purchaser, at the
address set forth on the signature page hereof, and (c) if to the Placement Agent, at the address set forth on the Instructions
page above (or, in either case, to such other address as the party being notified will have furnished in writing in accordance
with the provisions of this Section 10). Any notice or other communication given by certified mail will be deemed given at the
time of certification thereof, except for a notice changing a party’s address which will be deemed given at the time of receipt
thereof. Any notice or other communication given by overnight courier will be deemed given at the time of delivery.

 

11.         Assignability.
This Subscription Agreement and the rights, interests and obligations hereunder are not transferable or assignable by the Purchaser
and the transfer or assignment of any of the Securities will be made only in accordance with all applicable laws.

 

12.         Applicable
Law. This Subscription Agreement will be governed by and construed under the laws of the State of New York as applied to agreements
among New York residents entered into and to be performed entirely within New York. The parties hereto (1) agree that any legal
suit, action or proceeding arising out of or relating to this Subscription Agreement will be instituted exclusively in New York
State Supreme Court, County of New York, or in the United States District Court for the Southern District of New York, (2) waive
any objection which the parties may have now or hereafter to the venue of any such suit, action or proceeding, and (3) irrevocably
consent to the jurisdiction of the New York State Supreme Court, County of New York, and the United States District Court for the
Southern District of New York in any such suit, action or proceeding. Each of the parties hereto further agrees to accept and acknowledge
service of any and all process which may be served in any such suit, action or proceeding in the New York State Supreme Court,
County of New York, or in the United States District Court for the Southern District of New York and agrees that service of process
upon it mailed by certified mail to its address will be deemed in every respect effective service of process upon it, in any such
suit, action or proceeding. THE PARTIES HERETO AGREE TO WAIVE THEIR RESPECTIVE RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF
ACTION BASED UPON OR ARISING OUT OF THIS SUBSCRIPTION AGREEMENT OR ANY DOCUMENT OR AGREEMENT CONTEMPLATED HEREBY.

 

13.         Blue Sky Qualification.
The purchase of Securities pursuant to this Subscription Agreement is expressly conditioned upon the exemption from qualification
of the offer and sale of the Securities from applicable federal and state securities laws.

 

    	 	- 10 -	 

     

    

 

14.         Use of Pronouns.
All pronouns and any variations thereof used herein will be deemed to refer to the masculine, feminine, neuter, singular or plural
as the identity of the person or persons referred to may require.

 

15.         Confidentiality.
The Purchaser acknowledges and agrees that any information or data the Purchaser has acquired from or about the Company not otherwise
properly in the public domain, was received in confidence. The Purchaser agrees not to divulge, communicate or disclose, except
as may be required by law or for the performance of this Subscription Agreement, or use to the detriment of the Company or for
the benefit of any other person or persons, or misuse in any way, any confidential information of the Company, including any trade
or business secrets of the Company and any business materials that are treated by the Company as confidential or proprietary, including,
without limitation, confidential information obtained by or given to the Company about or belonging to third parties.

 

16.         Miscellaneous.

 

(a)         This Subscription
Agreement, together with the other Transaction Documents, constitutes the entire agreement between the Purchaser and the Company
with respect to the subject matter hereof and supersedes all prior oral or written agreements and understandings, if any, relating
to the subject matter hereof. The terms and provisions of this Subscription Agreement may be waived, or consent for the departure
therefrom granted, only by a written document executed by the party entitled to the benefits of such terms or provisions.

 

(b)         Each of the Purchaser’s
and the Company’s representations and warranties made in this Subscription Agreement will survive the execution and delivery
hereof and delivery of the Securities.

 

(c)         Each of the parties
hereto will pay its own fees and expenses (including the fees of any attorneys, accountants, appraisers or others engaged by such
party) in connection with this Subscription Agreement and the transactions contemplated hereby whether or not the transactions
contemplated hereby are consummated.

 

(d)         This Subscription
Agreement may be executed in one or more counterparts each of which will be deemed an original, but all of which will together
constitute one and the same instrument.

 

(e)         Each provision
of this Subscription Agreement will be considered separable and, if for any reason any provision or provisions hereof are determined
to be invalid or contrary to applicable law, such invalidity or illegality will not impair the operation of or affect the remaining
portions of this Subscription Agreement.

 

(f)         Paragraph titles
are for descriptive purposes only and will not control or alter the meaning of this Subscription Agreement as set forth in the
text.

 

    	 	- 11 -	 

     

    

 

17.         Signature
Page. It is hereby agreed by the parties hereto that the execution by the Purchaser of this Subscription Agreement, in the
place set forth below, will be deemed and constitute the agreement by the Purchaser to be bound by all of the terms and conditions
hereof as well as by each of the other Transaction Documents, and will be deemed and constitute the execution by the Purchaser
of all such Transaction Documents without requiring the Purchaser’s separate signature on any of such Transaction Documents.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT
BLANK]

 

    	 	- 12 -	 

     

    

 

ANTI-MONEY LAUNDERING REQUIREMENTS

 

	The USA PATRIOT Act	 	What is money

laundering?	 	How big is the problem

and why is it important?
	
         

        The USA PATRIOT Act is designed to detect, deter, and punish
        terrorists in the United States and abroad. The Act imposes new anti-money laundering requirements on brokerage firms and financial
        institutions. Since April 24, 2002 all brokerage firms have been required to have new, comprehensive anti-money laundering programs.

         

        To help you understand these efforts, we want to provide you
        with some information about money laundering and our steps to implement the USA PATRIOT Act.
	 	
         

        Money laundering is the process of disguising illegally obtained
        money so that the funds appear to come from legitimate sources or activities. Money laundering occurs in connection with a wide
        variety of crimes, including illegal arms sales, drug trafficking, robbery, fraud, racketeering, and terrorism.
	 	
         

        The use of the U.S. financial system by criminals to facilitate
        terrorism or other crimes could well taint our financial markets. According to the U.S. State Department, one recent estimate puts
        the amount of worldwide money laundering activity at $1 trillion a year.

 

	What are we required to do to eliminate money laundering?
	
         

        Under new rules required by the USA PATRIOT Act, our anti-money
        laundering program must designate a special compliance officer, set up employee training, conduct independent audits, and establish
        policies and procedures to detect and report suspicious transaction and ensure compliance with the new laws.
	
         

        As part of our required program, we may ask you to provide various
        identification documents or other information. Until you provide the information or documents we need, we may not be able to effect
        any transactions for you.

 

    	 	- 13 -	 

     

    

 

PERSHING GOLD CORPORATION

SIGNATURE PAGE TO

SUBSCRIPTION AGREEMENT

 

Purchaser hereby elects to purchase
a total of $_________, representing ______ Unit(s) at a purchase price of $3.25 per Unit (NOTE: to be completed by the Purchaser).

 

 

If the
Purchaser is an INDIVIDUAL, and if purchased as JOINT TENANTS, as 

TENANTS IN COMMON, or as COMMUNITY PROPERTY:

 

	 	 	 
	Print Name(s)	 	Social Security Number(s)
	 	 	 
	 	 	 
	Signature(s) of Purchaser(s)	 	Signature
	 	 	 
	 	 	 
	Date	 	Address

 

If the
Purchaser is a PARTNERSHIP, CORPORATION, LIMITED LIABILITY 

COMPANY or TRUST:

 

	 	 	 
	Name of Partnership, Corporation, Limited	 	Federal Taxpayer
	Liability Company or Trust	 	Identification Number
	 	 	 	 
	By:	 	 	 
	 	Name:	 	 	State of Organization
	 	Title:	 	 	 

 

	 	 	 
	Date	 	Address

 

	AGREED AND ACCEPTED:	 	 
	 	 	 
	PERSHING GOLD CORPORATION	 	 
	 	 	 
	By:	 	 	 
	 	Name:	 	 	Date
	 	Title:

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