The Investment Case of Phoenix

[Music] thank you everybody this is actually my first time here at this event my wife was actually meant to come and see me speak until she realized ad FW was not ababi Fashion Week but ababi Finance week but on a serious note I'm wanted to be asked to participate and have this speaking slot so let me get started we all wished we belong to the line on the left but sadly we know that's not the case what if I was to tell you all that it wasn't $10,000 a Bitcoin when I started Phoenix but it was a mere $248 since we can't change the past there is no point in dwelling on what's already happened so what I want to to do today is take the time to tell you what's happening in the world of crypto why it's happening and what we can expect the future to hold everybody is talking about Bitcoin as it hits the long anticipated Milestone of $100,000 but how many of you know why this is happening and why now so let's look at some facts while they will be only 21 million Bitcoins 19.8 million are already mined of which 4 million are either lost or not accessible how many of you know that the daily supply of Bitcoins from Bitcoin mining companies such as Phoenix is only 900 Bitcoins per day which on today's value is around 90 million us however the the demand on a daily basis from ETFs alone is on average 10 times this with some days this figure hitting over1 billion let's look at it another way if every millionaire in the world wanted to own just one Bitcoin there are not there are not enough Bitcoins available and this doesn't take into account all the Bitcoins being accumulated by governments Banks and funds each and every day imagine out of $19.8 million Bitcoins that exists there are over 58 million millionaires in the world but only 900 Bitcoins produced every day let's take a look at who is buying all the Bitcoins and ultimately benefiting from what you are seeing happening and reading about every day the ETFs Black Rock grayscale Fidelity have all seen inflows into their Bitcoin ETFs with astonishing volumes black Croc's ETF which is not even a year old is larger than its gold ETF which has been around for 20 years we have all heard of Michael sailor from micro strategy with his Relentless desire to acquire Bitcoins for his company a strategy that has paid off very well miners such as Marathon digital Riot and Phoenix who M Bitcoins are obvious beneficiaries for those not familiar with the Phoenix Story We Built across the street from where we are sitting now in adgm the largest Bitcoin mining Farm in the entire region the site may be only 2 years old but we have mined from our AB with our ababi partners over 10,000 Bitcoins which at today's price is over1 billion us but most importantly let's look at the non-c corporates we see for the first time some of the biggest including Western governments holding the largest Bitcoin stock piles and surprise surprise the largest holder is the United States of America followed by the chi followed by the Chinese and the United Kingdom correct me if I'm wrong but doesn't this already constitute a reserve when the government holds an asset class for its own strategic benefits while all of this is happening it's worth noting that retail adoption has yet to gain any noticeable traction while Bitcoin and cryptocurrencies are relatively new asset class and born in 2009 the industry capitalization is now in the trillions of dollars the fact the US government has now not only changed its stance but taken an active interest to adopt and accept Bitcoin is a testament to what's coming in the future jerum Powell the chair of the US Federal Reserve said Bitcoin is just like gold but digital and while it's not a competitor to the US dollar it is a competitor to Gold this statement alone means that he sees Bitcoin as an asset class like gold rather than a transactional currency like the US dollar it was pretty obvious especially after the outcome of the recent us election and crypto-friendly stance of the Trump Administration That Wall Street was given the green light to dip their toes and what we are seeing is them dipping their toes as this is only just a start regulatory tensions are easing with us firms entering the crypto space and striking collaborations with leading crypto players Trump has chosen a very Pro crypto candidate to be the head of the US SEC Paul Atkins caner Fitzgerald has taken a 5% stake in tether the world's leading stable cor operator managing around 100 billion US members of Trump's Administration are wanting to pass a bill to create a US Bitcoin Reserve where they plan to acquire 1 million Bitcoins over the next 5 years let me put this into context for you that would mean 500 of the 900 Bitcoins mined every day being taken out of circulation the price of Ripple has been rocketing as it expects a fair resolution to its Court battles Tesla has Bitcoins on its books Microsoft is considering adding Bitcoins to its balance sheet corporate filings for Amazon reveal that shareholders have requested it to hold other asset classes that pay higher yields than bonds and offer better returns and named Bitcoin as an alternative asset to put in their balance sheet as it holds around 100 billion citing micro strategy whose shares have outperformed over 500% that of Amazon and this is what is announced publicly we don't know those who have not made their plans public yet so I have seen Bitcoin at $248 I've seen it at $10,000 and now we've seen it at $100,000 so the million dooll question is where is the price of Bitcoin going a year ago I was allowed to give my forecast but this year being on the board of a listed company I'm told I have to be careful what I say so all I can say is that I see it much higher than where we are today but let's look at what the industry professionals say we have Tim Draper calling for 250,000 by 2025 Mike no grat from Galaxy digital looking at half a million dollars Tyler winkl was from Gemini calling for half a million dollar Arthur Hayes from bitmex $750,000 Kathy Woods looking at $1 million and last but not least head of micro strategy Michael sailor has his eyes set on 13 million dollar per Bitcoin by 2045 remember his biggest fear is waking up in the morning the next day and they being no more Bitcoins available for him to buy the interesting thing to know besides the targets themselves is just how far out people's vision goes which is a clear Testament that this is an asset CL asset class here to say this table shows Bitcoin how Bitcoin has feed against other asset classes over the past 10 years and as you can see it has been the star performer in most years outperforming the next best asset class by multiples for 20 24 today it is already over 130% for those of you who don't know me or what it is we do I am one of the co-founders of Phoenix Group which was established in 2017 and today enjoys the title of being the first multi-billion dollar crypto Mining Company in the region to be listed on the stock exchange here in Abu Dhabi we we have operations across the United States Canada Europe and the Middle East we have designed built and operate the Region's largest mining Farm here in Abu Dhabi which in two years alone has mined over $1 billion of Bitcoins while we may have been listed for one year Phoenix mines over 1% of the world's Bitcoins as well as mining we provide hosting services to our clients in our data center locations and we are also the exclusive distributor of various crypto Hardware equipment across the region as well as being homegrown in the UAE we enjoy strong relationships in the region as well as the UAE with the support of the UAE government and the support of our leadership people often ask what is the importance or even the benefits of Bitcoin mining so let me try and summ summarize the key points as this is something Phoenix started off with and does very well mining a Bitcoin is facilitating and validating transactions on the blockchain itself for which miners such as Phoenix get rewarded in Bitcoins mining creates fresh or virgin Bitcoins ideal for a reserve purpose for the use as an exchange or for liquidity any government Sovereign fund or corporate who mines their own Bitcoins can stock p and acquire Bitcoins at prices lower than the current market price jurisdictions favorable for Bitcoin mining attract considerable FDI and talent along with economic Prosperity anyone with access to power capital and Equipment can mine Bitcoins since it is a decentralized asset [Music]