Emerging Blockchain Innovation in Sports

AJM Sports Platform

WHITE PAPER

Ver. 1.0

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1. ABSTRACT …………………………………………………………………………………………………….. 3

2. Project Background ……………………………………………………………………………………….. 6

2.1. Advent of and Outlook for Blockchain Technology

2.2. Size of Sports Industry and Change Thereof

2.3. Problems with Sports Industry

2.4. Value of A Blockchain-based Sports Platform

3. AJM Sports Platform …………………………………………………………………..……………….. 13

3.1. AJM Sports Qualification Service

3.2. AJM Sports Matching Service

3.3. AJM MSO system

3.4. AJM SCS system

3.5. AJM eCommerce system

3.6. AJM SDMS system

3.7. Expansion of Platform

3.8. Support for Vitalization of Jokgu

4. AJM Sports Platform Economy ……………………………………………………………………… 25

4.1. AJMS : AJM Sports Coin

4.2. AJMS Coin ECO system

4.3. AJMS Coin Economy Operation

5. Roadmap ………………………………………………………………………………….…………………. 30

6. Team & Specialist …………………………………………………………………………….…….………. 31

6.1. Leader Group

6.2. Management Expert

6.3. Technical Specialist

6.4. Partners

7. Our Vision ……………………………………………………………………………….………….………… 34

8. DISCLAIMER …………………………………………………………………………….……….…………… 35

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1. ABSTRACT

Article 1. The practice of physical education and sport is a fundamental right for all

Article 2. Physical education and sport for an essential element of lifelong education in the overall education system

Article 3. Physical education and sport programs must meet individual and social needs …

<International Charter of Physical Education and Sport, UNESCO>

The modern sports ecosphere is expanding its boundary from professional sports to amateur and

recreational sports. Accordingly, the paradigm of sports is shifting from „spectator sport‟ to „participant

sport‟.

<Figure - Shift of Sports Paradigm>

As the modern people enjoy increased degree and amount of income level and free time, their

interest in sports is growing and desire for engagement in sports is strengthening. Accordingly,

degree of participation in various types of sports by the public is also growing.

That is, more and more people are not just seeing sport, but voluntarily and actively participating in

sports, to create sport ecosphere by themselves.

According to a study conducted by a Korean company, 60% or more of Korean population are

engaged in a sport, and the most popular sports were football, jogging, hiking and weight lifting.

<Figure. Rate of Participation in Sports and Popular Sports. Cheil Worldwide>

Another study has found a little different results: A study on popularity of sports conducted by a

professional Korean research firm in 2017 found that baseball and football to be the 1st and 2nd

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popular sports, and an interesting point was that e-sport was ranked 3rd when asked the people in

the age group of 15 to 29.

<Figure. Sports Popular to Koreans. Nielsen Korea, 2017>

According to the two studies in the above, there is a small gap between popular sports and sports to

which people participate. However, the fact that more than 60% of population is interested in and

participates in sports tells us how we must see the sports industry and what we must prepare.

The sports industry in Korea has been developed around the professional sports, in terms of its

structure. The ecospheres for amateur and recreational sports have not been fully formed, due to lack

of publicity by the media.

The participants in recreational sports are engaged in small-scale activities, as they are scattered in

different regions or sports and organized through simple communities, such as portal sites, forums

and SNS. The number of platforms dedicated to sports is slowly increasing, but still it is too small.

The recreational sports platforms that we have access to offer programs that consist of mainstream

sports, and there is not enough support available to those who wish to vitalize and promote the

recreational sports ecosphere, because of the traditional system established on the concept of

centralization of power, exclusive operation of the platform and lack of public relations.

To vitalize the recreational sports, AJM Foundation intends to: reorganize the related ecospheres and

closed systems operated under the concept of centralization of power by integrating the sports

integrated platform and dispersed communities based on the blockchain technology; offer a sports

ecosphere where people who enjoy recreational sports can easily and conveniently participate in the

sports and the communities they want; and help the people form and vitalize sport ecospheres by

themselves by fairly sharing values among the participants.

The sports integrated platform of AJM Foundation will not only provide matching program for sports

experts, mentoring program for sports participants and other functions optimized to sports activities,

so that the users can properly enjoy sports, but also establish healthy sports ecosphere through e-

commerce, sports activity record and sports-related organization verification system.

Also, the sports integrated platform of AJM Foundation will create a sustainable ecosphere by building

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a transparent and fair reward system that provides rewards proportional to the participants‟

contribution to vitalization of recreational sports ecosphere.

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2. Project Background

“A purely peer-to-peer version of electronic cash would allow online payments to be sent directly from one party

to another without going through a financial institution.”

from „Bitcoin: A Peer-to-Peer Electronic Cash System‟ by Satoshi Nakamoto

2.1 Advent of and Outlook for Blockchain Technology

Since the appearance of Bitcoin in 2008, blockchain technology went through numerous changes and

evolution and it is now recognized as the greatest technological innovation since the Internet.

Blockchain technology is an important infrastructure technology for the era of 4th industrial revolution

and it is anticipated to bring change to society and economy just as significant as that brought by the

Internet. Currently, the financial industry is actively seeking ways to introduce blockchain technology,

and other industries are also attempting to use blockchain technology as the related technologies are

being.

At the World Economic Forum 2016, it was anticipated that the era of 4th industrial revolution will

arrive, where new technologies, such as robotic engineering, artificial intelligence, Internet of Things,

3D printing and big data, would radically change the structures of economy and society. Thereafter,

blockchain has positioned itself as one of the core technologies that will lead the era of 4th industrial

revolution, and related studies are being conducted in various areas.

.

<FIG> IDC Worldwide Semiannual Blockchain Spending Guide 2017

Blockchain technology ensures integrity and reliability of transaction records without any certified

third party by having all participants in the network commonly validate, record and store transaction

records.

Blockchain technology has a structure where various applied services can be implemented based on a

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distributed network infrastructure that uses security technologies, such as hash, digital signature and

cryptography.

Distributed ledger is a list of encrypted transaction record that is shared by every participant in a

network, thus cannot be changed. A participant with access right may inquire the transaction record

at any time. Distributed ledger is a combination of technologies and processes that include

middleware, database, security, analysis, AI and finance, which can change the business models of

industries by materializing models on which industries rely and ensuring important data, such as

financial or asset transaction data, stay undeleted.

<FIG> General Blockchain Process, Google

Bitcoin, the open blockchain referred to as the most successful blockchain business case, appeared in

2009. Bitcoin, using the encryption technology adopted by blockchain allows users to directly and

safely engage in financial transactions on P2P basis, without any third party financial institution.

Thereafter, Ethereum, a public blockchain with smart contract (a result of an effort to improve some

disadvantages of public blockchain), and private blockchains emerged, and the users were given a

wide option for use. Also, decentralized autonomous organization (DAO) inspired by the distributed

network structure of blockchain was introduced and allowed individuals to gather and operate a group

by autonomously indicating their opinions based on the smart contracts.

Blockchain is spreading to all industries beyond financial industry at an accelerated rate. Korean

government, as well as the governments in other countries, have designated blockchain technology

as a national infrastructure technology and are trying to apply blockchain technology to its public

administration and services, so that they will become more reliable.

2.2 Size of Sports Industry and Change Thereof

2.2.1. Size of Sports Industry

The changes in sports trend have changed the sizes of markets in the sports industry.

The illustration below is an excerpt from the 2018 Sports Industry Status Investigation Report issued by Ministry of Culture, Sports and Tourism.

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<Figure. Growth of Sports Industry Revenue (in KRW 100,000) by Ministry of Culture, Sports and

Tourism>

The market size of Korean sports industry has passed KRW 70 trillion mark in 2016, and reached as

far as KRW 75 trillion in 2017.

At the same time, the number of persons employed by sports industry passed 420,000 mark.

<Figure. Number of Persons Employed by Sports Industry (in thousands) by Ministry of Culture,

Sports and Tourism>

As evidenced by such numbers, the sports industry in Korea is continuing to sharply grow in terms of

economy. However, it has been developed around the professional sports, in terms of its structure,

and the ecospheres for amateur and recreational sports have not been fully formed, due to lack of publicity by the media.

The participants in recreational sports are engaged in small-scale activities, as they are scattered in

different regions or sports and organized through simple communities, such as portal sites, forums

and SNS. The number of platforms dedicated to sports is slowly increasing, but still it is too small.

The recreational sports platforms that we have access to offer programs that consist of mainstream

sports, and there is not enough support available to those who wish to vitalize and promote the

recreational sports ecosphere, because of the traditional system established on the concept of

centralization of power, exclusive operation of the platform and lack of public relations.

2.2.2. Changes in Sports Industry

As the paradigm in sports shifts from professional sports to participatory sports for general public, the

smart sports and the leisure sports markets are emerging.

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Digital technologies that had stayed outside of the realm of existing sports system, such as artificial

intelligence, Internet of Things, wearable devices, smart phones and cloud computing, are being

quickly applied to a broad range of areas related to sports, and not only the existing businesses in the

sports industry, but also new businesses from diverse backgrounds are entering into the recreational

sports industry. In the sports ecosphere that is going through such a rapid change, a variety of

players must prepare strategies to deal with such change, such as accepting that the environment is

changing, securing fundamental technology for smart sports and leisure sports and strengthening

partnerships.

<Figure. Smart Sports Goods>

Core ICT technologies of the 4th industrial revolution, IoT, cloud computing, big data and artificial

intelligence, are converged with sports to create the area of smart sports. The basic industrial

structure of smart sports includes: participants in sports that create data as they participate in

general recreational sports or using professional facilities, such as fitness centers; data expert

companies that collect and analyze such data; and the sports-related industry that uses the results of

aforementioned analysis to provide products and coaching information to consumers.

Smart sports created by mixing IoT, cloud computing, big data and artificial intelligence are changing

the ecosphere of existing sports industry. Sports industry is expanding into new areas which used to

have no significant relationship therewith in the past, as smart sports industry emerged.

Sports clothing and equipment makers and sports media used to take the leading role in evolving

sports industry in the past. Now, the sports industry is expanding into the areas of mobile, wearable

devices and so on. Convergence of ICT and sports equipment has become robust as: smart phones

with various sensors have become popular; wearable devices that continuously monitor amount of

activity and vital signs have become popular; bio-sensor technology is advanced; and low-power,

micro-sized hardware technology is developed.

Smart sports in the future are expected to expand its ecosphere into software, service and finance

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from its traditional one centered on „activity and participation‟ and to promote development of related

industries.

2.3. Problems with Sports Industry

<FIG> Absences on the Sports industry

2.3.1. Absence of Dedicated Platform for Recreational Sports

While the recreational sports market is growing every year, there is still no platform dedicated to

recreational sports for the participants in recreational sports.

The recreational sports participants currently act in the communities, such as portal sites, forums and

SNS, which are not optimized to sports. Because such communities are simple community platforms

not specialized to sports and dispersed per media and sport, the activities of recreational sports

participants are small in size or limited to local areas.

Currently, the global blockchain-based sports platforms are mainly fantasy sports or e-sports related

platforms focused on professional sports. That is why we need a blockchain-based integrated global

recreational sports platform.

2.3.2. Immature Sports Education Market and No Use of Recreational Sports Expert

Sports used to be a hobby for modern people. However, as sports activities became more

sophisticated, demand for systemic sports training by participants is growing, so that they can

appropriately enjoy sports activities. Those who enjoy sports wish to be trained by those who

specialize in physical training, licensed recreational sports trainers or elite athletes. However, they are

not able to do so, because the means of matching the students and the trainers are not sufficient and

it is difficult to find information on sports trainers.

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Meanwhile, 12,000 recreational sports trainers are being certified by the Minister of Culture, Sports

and Tourism every year in Korea. However, only a limited number of them find jobs at sports

associations, and it is difficult for them to start their own businesses.

Also, the medium that links recreational sports experts and sports participants is not vitalized,

because of lack of publicity and the platforms that do not consider the features and the ecospheres of

sports.

There are enough demand and supply in current sports training market. What we need to do is to

recognize the problems and reorganize the related systems and ecospheres.

2.3.3. Centralized System and Closed Operation of Platform

The recreational sports platform aims to guide people so that they can appropriately enjoy sports

activities and improve public health by connecting the sports experts and the participants who wish to

learn sports. However, the recreational sports platforms currently in operation have centralized system

and closed style of operation, and provide unilateral service and leaned toward mainstream sports. No

program is available for the non-mainstream sports. Also, many people are not even aware of the

existence of recreational sports platform, because public relations activities are not appropriately

implemented.

2.3.4. Immature Recreational Sports Ecosphere

Recreational sports have wider spectrum than that of professional or expert sports and includes a

greater number of participants. However, the present recreational sports ecosphere has been

developed around professional and expert sports, and the recreational sports ecosphere is still in its

premature stage, due to lack of platform dedicated to recreational sports, centralized system and

closed operation of platform.

2.3.5. Immature Recreational Sports Market

Advertisers and related business groups related to sports have been executing advertisements and

marketing programs ineffectively through total shopping malls, not shopping malls dedicated to sports.

They are wasting time and money in the market that is not specialized in sports.

While professional sports players engage in their sports activities being paid for their costs, but the

recreational sports participants pay considerable cost every month to purchase equipment and pay for

fees, food and beverage. However the advertisers do not use the specialized media, but general

media.

2.4. Value of A Blockchain-based Sports Platform

AJM Sports Platform uses decentralized blockchain technology to directly and indirectly connect the

providers and the participants in the areas of sports, sports academies, sports equipment and sport

contents all around the world, to build a safe and reliable total sports industry network platform using

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its own reliability evaluation mechanism and reward system.

This Platform create values for all network participants, solves the problem of information asymmetry

and builds a global network for all industries related to sports, sports academies, e-commerce and

contents by finding the most optimal combination between the providers and the participants and

promoting exchange of information, service and coin.

This Platform transparently discloses information, because it adopted the concept of blockchain

technology - it can manage all private information and qualification information under the blockchain

management system.

Using this Platform, persons can enjoy high quality services and AJM Foundations can receive a

stronger public trust on validation of their qualifications and expertise.

AJM Sports Platform establishes an ecosphere where both network participants and private and

corporate members can enjoy benefits, because the Platform provides compensations for interactions.

AJM Sports Platform is the converged sports platform that connects the players in sports-related

industries built by blockchain technology. The Platform will help the sports industry enjoy healthy

growth by having all participants jointly create and share values in the Platform‟s ecosphere.

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3. AJM Sports Platform

AJM Sports Platform is a blockchain-based integrated recreational sports platform for creation of

amateur and recreational sports ecospheres. AJM

Sports Platform intends to improve inconveniences to

amateur athletes and recreational sports participants,

provide a platform, so that anyone can conveniently

enjoy sports in their daily life and vitalize the sports

ecosphere and the sports industry.

3.1 AJM SQC (Sports Qualification Service)

<FIG> AJM SQC system

Before AJM Sports Platform, associations that issued professional licenses related to sports, sports

academies, sports equipment manufacturing, sports contents and health care used to store private

information of their licensees, license details, member IDs, etc. in their files and documents under

their own recording methods. AJM Sports Center, which forms the foundation of AJM Sports Platform,

can transparently and stably manage the data related to licensees, centers, license details and

member IDs, etc.; and enable such data to be globally accessed by applying blockchain technology.

Because the information is managed as blockchain data, it can be free from counterfeit - thus the

licensee and the center can become more trustworthy. The data managed by AJM Sports Center will

form a foundational ecosphere of AJM Sports Platform.

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3.2 AJM Sports Matching Service

3.2.1. Sports Participant Matching Service

Matching the participants and the sports facilities is an essential element of sports activity. A service

optimized to sports activity can be provided through the participatory sports platform.

This Platform provides a location-based, real-time matching service to match the sports participants

on real-time basis. When the Participant A registers his/her sports activity information (e.g. event,

schedule, location and number of persons that can participate) using an app provided by AJM Sports

Platform, the Participant B can check the profile information and sports activity information of

Participant A to decide whether Participant B will join Participant A‟s sports activity. The participants

may easily participate in sports activities and check the information of participants stored in the

blockchain.

The Platform also provides information on the sports facility (such as sports stadium, sports center,

park, theme park, etc.) appropriate for the sporting event and reservation service, so that one may

easily use sports activity facility.

The Platform provides group (team, club, etc.) information service for team sports or grouped sports

activity - it provides the group information appropriate for the area where the participant is active and

allows the participant to participate in team sports or grouped sports activity.

<Figure. Location-based Real-time Matching Service>

Sports activity support service, which can be used off-line through AJM Sports Platform, is provided.

The Platform provides information on participants and contests and receives match score. The

participants may use wearable devices to register their sports records to the Platform, so that the

information may be used as private sports activity data.

The Platform has a reward system for the participant who registered his/her sports activity record to

the Platform.

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3.2.2. Sports Expert Matching Service

Member organizations related to sports industry certified by AJM SQC (Statistical Quality Control)

operated by AJM Sports Center can post their wanted advertisement in AJM Sports Center to find

qualified experts.

AJM SQC provides information for specific region, because it provides location-based service. AJM

SQC accepts private information and organization information in different languages, which allows job

seekers and employers from different countries to find each other.

Private information of qualified persons transparently managed by blockchain provide a more reliable

information to the members of SQC seeking for talented persons, and the job-seeking professionals

can trust the member organizations certified by AJM SQC when they seek for employment.

Data related to AJM SQC certification organization are transparently disclosed in the form of

blockchain.

And the matching service that matches recreational sports experts and participants can be provided

through the platform.

AJM forms the sports training market by having professional or expert sports person and recreational

sports experts register information, such as their personal history, service program and curriculum,

etc., and matching the participants who wish to be appropriately trained in the sport by such expert.

All participants may become recreational sports experts, as well as the experts who are qualified to

become the recreational sports trainer. There are many recreational sports which has no recreational

sports trainer certification process.

The participant who wishes to open a sport training program may register his/her profile, service

program and training curriculum, open the program and recruit participants.

The participant may check the profile, service program and training curriculum of the trainer,

participate in the program and be trained.

The Platform offers a system through which the sport expert who opened a program and the

participant can communicate for successful matching service. The participant may post his/her review

after having gone through the program to communicate with the expert.

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<FIG> AJM Sports Matching Service

When the companies are certified by AJM SQC, their qualifications are managed by blockchain and

disclosed to general public. Because anyone can check the SQC qualification information of the

companies, the participants can easily make the right choice. Ultimately, AJM SQC certificate will

become a symbol which will assure the consumers of quality.

Those who have signed up as an affiliate of AJM can use AJM eCommerce service as a seller, not

general user. Such affiliate can accept AJMS coin, make job postings through recruiting, sell goods

and services, use the promotion channel and invite customers through the brokerage service.

3.3 AJM MSO (Management Services Organization) System

AJM Sports Platform carries out various roles as a channel through which a youth or amateur player

can develop into a professional athlete. To become a professional or expert athlete, one must be

committed and well financed for professional training.

The Platform provides fund, sports equipment and/or facility through crowd funding, so that one may

become a professional athlete and may play the role of intermediate and provide various channels for

development of the sports hopeful and advancement into professional sports by the sports advisor‟s

training.

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3.3.1. Crowd Funding Service

A company which wishes to participate in the crowd funding may do so by purchasing AJMS coin. The

company which participated in the funding will become the sponsor or the partner of the athlete. The

company may sponsor an athlete with goods in addition to tokens.

The partner or the sponsor who participated in the crowd funding may gain from publicity as the

athlete is exposed during his/her activities and may reward the athlete appropriately by creating a

system for cooperation or reward.

A club may participate in the funding using the coin it received or purchased from the Platform. By

participating in the funding using the coin acquired by the activity of the team, a sport hopeful can be

developed and a team or a league can be publicized. Also, the sport hopeful, the team or the league

can be appropriately rewarded by a system for cooperation or reward created by the funding.

3.3.2. Sports Business Consulting Support

AJM MSO Service provides administrative support for sports business and health care business. It

provides a one-stop solution and consulting on all issues generally required by business managers,

such as maintenance and business management, from the business planning stage. At this time, the

MSO service is provided in compliance with the requirements of AJM SQC.

<FIG> AJM MSO Service Structure

3.4 AJM SCS (Sports Community Service)

AJM Sports Community Service creates an upgraded ecosphere by providing a converged community

service, so that the sports community participants per sporting event (which had been dispersed

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before) can expand the scope of sports activity.

The blog service for sharing of sports information create various contents, such as communication

between participants within communities, sports activities, sports information, sports ergonomics

information, sports food and beverage, sports medicine, sports equipment, etc. The contents can be

created as the general contents and the column contents.

All participants can register, modify, reply or recommend contents inside communities. The

participants voluntarily give value to the created contents.

A participant who has professional knowledge related to sports can create column contents. The

column contents receive greater reward than the reward given to the general contents.

AJM SCS supports sports activity and platform activity by providing a platform optimized for

communication between the participants and management of activities, manages the contents

created by the participants using blockchain and induces the participants to vitalize communities by

providing reward system appropriate for the values given to excellent contents.

AJM SCS provides news and industrial trend related to sports, sports equipment and health care,

based on AJM SQC certification organization. It can also manage the members based on big data and

provides other services, such as global community activity, information archive and bulletin board.

<Figure. AJM Sports Community Service structure>

3.5 AJM eCommerce system

AJM eCommerce Service provides a global integrated sports e-commerce system, so that the related

business groups can distribute and market their products to global customers.

The participants can purchase sports equipment, tickets, foods, coupons, etc. from global market

cheaper than they would from general on-line markets.

By linking AJM eCommerce Service to AJM SCS service, corporations can apply various product

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reviews and requests of global customers to development and improvement of products. Also, AJM

Sports Platform can work as a new product testbed.

Customers can post their product reviews and requests to community bulletin boards and receive

rewards.

Also, AJM eCommerce can provide advertisement and marketing systems tailored to and optimized for

customers by combining AJM Sports Platform and big data.

By using big data, businesses can: provide advertisement and marketing optimized to sports-related

advertisers and business groups and analyze the concerns of the users; and help the platform

participants minimize inconveniences and efficiently use the cost by excluding unnecessary

advertisements.

Advertisers can enjoy the maximum advertising effect with the minimum cost through the target

advertising. AJM eCommerce system allows the advertisers to pay for their advertisements by AJMS

coin, and the coin can be acquired by peer-to-peer trade or through global exchanges.

AJM eCommerce system manages personal qualification password under the blockchain technology

and provides the following services based on AJM SQC certification system and MSO service:

<FIG> AJM eCommerce Service

AJM eCommerce is a platform where AJM SQC certified merchant (which is managed under the

blockchain) and general consumers meet and create a market economy. A strict certification system is

implemented in advance to prevent market overload, to assure that the consumers will receive more

reliable products and services and to allow the participants to shop smarter.

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AJM eCommerce also provides service reservation (O2O), payment, location-based services, multi-

language support, advertisements and promotion.

AJM eCommerce plays an essential role of creating an ecosphere of AJM Sports Platform. It is a very

important component of the Platform.

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3.6 AJM SDMS (Sports Data Management Service) system

<FIG> AJM Sports Data Management structure

AJM Sports Data Management Service allows the platform participants to record and store sports data.

It allows persons to store information on the sports event results and scores, as well as their health-

related data gathered through the wearable and the smart devices, such as amount of exercise,

calories consumed and traveled distance, so that they can manage their health and fitness.

Based on the accumulated data, the participants can receive information related to health care

through AJM Sports Platform and provide premium service to the platform participants by working

with the health care industry.

3.7 Expansion of Platform

AJM Foundation seeks to expand its business scope by building partnerships with related

organizations to stably and continuously operate AJM Sports Platform.

<Figure. AJM Sports Platform Cooperation Business>

3.7.1. Eco-friendly New & Renewable Energy Business

AJM Foundation works with a company engaged in generating electricity using wastes in Jeju. This

project is aimed at creating a eco-friendly electricity generation complex, proliferating new &

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renewable energy and vitalizing local community.

AJM Foundation wishes to become the leader of training persons for clean energy business and job

creation.

<Figure. Land Use Plan>

3.7.2. Luxury Village Project

AJM Foundation developed a luxury residential village inside a leisure and tourism complex in Jeju to

allow people enjoy living in countryside and high quality lifestyle. AJM Foundation may provide 1% of

its proceeds from the development to AJM Sports Platform.

AJM Foundation will develop and sell 800 units of luxury houses in the village to secure capital, which

will be used to support AJM Sports Platform.

3.7.3. Country Club Management Business

AJM Foundation will promote AJMS coin by having customers of country club inside a total leisure and

tourism complex in Jeju pay their membership and other fees in AJMS coin. AJM Foundation can

support AJM Sports Platform using the proceeds from operation of a 36 hole golf course; lease of

facilities, such as restaurants and shops inside the country club; and use of fee and cryptocurrency

payment infrastructure.

3.7.4. Dome Stadium Management Business

AJM Foundation will develop a 7.7 million square meter (net 6.2 million square meter) sports and

tourism complex in Seogwipo-si, Jeju-do, which includes a domed stadium dedicated for the sport of

jokgu. AJM Foundation will design all the payment systems inside such sports and tourism complex to

be made in AJMS coin.

AJM Foundation can support AJM Sports Platform using the proceeds from operation and lease (for

performances, etc.) of 5 dome stadiums throughout Korea; and from the use of fee and

cryptocurrency payment infrastructure.

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3.8. Support for Vitalization of Jokgu

AJM Sports Platform will globalize the only ball game created by the Korean people, jokgu (foot

volleyball) and export the Korean wave culture through sports. By doing so, AJM Sports Platform can

vitalize the creative economy, promote culture and support professional clubs and leagues.

AJM Foundation entered into an MOU with Korea Jokgu Culture Association which has approximately

5.4 million members. Under the MOU, the two organizations agreed to cooperate, so that more than 1

million members of Korea Jokgu Culture Association would participate in AJM Sports Platform.

Also, AJM Sports Platform can support payment by AJMS coin when purchasing tickets to sports and

other activities held at the dome stadiums.

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<Figure. Local Branches of Jokgu Association by Korea Jokgu Culture Association>

<Figure. Global Branches of Jokgu Association by Korea Jokgu Culture Association>

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4. AJM Sports Platform ECONOMY

<FIG> AJM Sports Platform Blockchain structure

4.1 AJMS: AJM Sports Coin

AJMS token is a cryptocurrency developed based on Smart Contract ERC-20, which is used as an

intermediary by internal systems of AJM Sports Platform.

Users can purchase AJMS tokens from the exchanges to promote its circulation in global markets or

acquire them in the form of mileage after using AJM Sports Platform and services. AJMS coin held by

the users may be presented for the use of services and the donation to recreational sports at AJM

Sports Platform. Also, they can be used as a method of payment at organizations agreed to

participate in this project.

4.1.1. AJMS Issue Information

Basic information related to the issue of AJMS are as follows:

Name of token AJM Sports Coin

Symbol of token AJMS

Technological

standard Smart contract ERC-20

Total amount of issue

7,700,000,000 units

4.1.2 Token Issuing and Management Plans

All tokens issued will be use for the following purposes:

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<FIG> AJM Coin distribution strategy

Management plan for the fund created through presale and public sale is as follows:

<FIG> Fund operating strategy

When developing this project, significant amount of efforts were given to marketing expenses and

development and advancement of platform technology, so that it can respond to various POS systems.

4.1.3 Supplementary Policy #1: LOCK-UP

The issued tokens shall be protected by placing a lock-up onto the tokens sold during pre-sale for a

certain time period, so that the purpose of this project is complied with, until the affiliated businesses

are vitalized.

- 1st phase (pre-sale phase): 100% of the tokens held shall be locked-up.

- 2nd phase (10% of the locked-up tokens released from the lock-up): 10% of the

tokens held shall be released from the lock-up during one month from listing of the token in a

global exchange.

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- 3rd phase (additional 10% of the locked-up tokens released from the lock-up):

additional 10% of the tokens held shall be released from the lock-up during one month from

implementation of the 2nd phase.

- 4th phase (additional 10% of the locked-up tokens released from the lock-up):

additional 10% of the tokens held shall be released from the lock-up during one month from

implementation of the 3rd phase.

Even after the 3rd month of the 4th phase, 000 continues until June 2020, as shown in the above.

4.1.4 Supplementary Policy #2: Reward

Certain rewards shall be provided to the participants in the Platform ecosphere and holders of AJMS

based on the accomplishments of this project at a certain point in time.

The reward shall be offered in AJMS which had been deposited according to the project

administration strategy, and the amount of reward shall be determined by analysis of business

performance and negotiation.

Date of implementing the reward policy (in KST) shall be announced in advance. A snap-shot shall be

carried out at midnight of such date of implementation; and the reward policy may be implemented

at the time and date determined by such snap-shot and announced in advance.

4.2 AJMS ECO system

In this project, the participants may provide their original data stored in blockchain to sports-related

organizations and businesses. Such data can be used for study or development of equipment and

may be used as a piece of basic information related to receiving a piece of tailored information

required by persons. The related organizations and businesses may suggest a more sophisticated way

of providing sports information and developing sports products using the data of participants, and the

participants will eventually receive an integrated sports service customized to their sports activities.

28

<FIG> AJM Project ECO system

4.3 AJMS coin economy operation

4.3.1 AJMS coin utilization

29

4.3.2 Payment on AJM Sports platform

30

5. ROADMAP

~ Q1, 2019

• Discussion related to AJM Sports Platform project

• Discussion on technical validation of AJM Sports Platform

• Discussion on AJMS (AJM Sports Coin) payment system

• Execution of AJM Sports Platform development agreement and

development of AJMS

• Discussion on listing of AJM Sports Platform to global exchange

• Execution of agreement on listing to USFCX

• Execution of agreement on listing to UDAX in Hong Kong

• Promotion of the 1st Pre-sale

• Launching of the white paper and website

• Promotion of listing to an exchange in Korea

• AJMS to be listed to UDAX in late August

• AJMS to be listed to USFCX in late September

• Execution of MOU with Korea Jokgu Culture Association

• Execution of MOU with a solid refuse fuel power generation plant SPC

• Participation in the World Arirang Korean Festival to be held in Orange

County, California, the U.S.

• To excute MOU with the LA Jokgu Association

2019. 3

~

2019. 4

2019. 5

2019. 6

Q3, 2019

Q4, 2019

31

6. Team & Advisors

A team made up of experts in their respective areas is developing major technologies and solutions of

AJM Sports Platform and implementing marketing activities in Korea and overseas.

6.1 Project Team Leader

6.2 Project Management

32

6.3 Technical Expert

Jongbeom Lim, Founder & CEO of Things9 Inc.

Graduated from Korea University Global MBA. A blockchain and cryptocurrency technology expert. Successfully developed and launched

AnyCoin, AnyPay and AnyPOS. He mixes technology and management

and leads the era in various areas.

Youngmo Han

CTO and the director of R&D Center of Things9 Co., Ltd. Served as the

director of R&D Center of IPCAST Co., Ltd. and the head of development at Cenits Corporation.

Geunwoo Lee

Received his master‟s degree from Woosong University College of Engineering. Served as: Chief Manager of E&R Business Department at

DEVPIA; Representative of 2WeeksRain Co., Ltd.; project manager of a

marine passenger transportation management system implementation project; and producer of full HD 3D film.

Eunjeong Kwon

M.A. in visual design. A graphic/UI/UX designer who mulls over the

methods appropriate for the web environment and creates various user-focused works. Produces the final results by accurately analyzing

concepts of and strategically planning for projects.

Taekyung Oh

Majored in Digital Media Versed in a variety of areas, including mobile

contents planning and design; and server and client development. Administers blockchain conferences at Things9 Co., Ltd. In charge of contents planning and materializes fresh ideas into actual services.

33

Haein Kim

Majored in Digital Media. Able to program in various programming

languages, including C, C++ and Java. Deeply interested in finding

connections between technology, design and contents. Developed

various O2O service base applications. Currently, plans new services as

the contents planner.

6.4 Partners

34

7. Our Vision

AJM Sports Platform will make your life health and happy!

AJM Sports Platform, the blockchain-based integrated global sports platform, intends to create a sport

ecosphere where all participants can engage in all activities related to sports in a convenient and

optimized environment.

AJM Sports Platform will provide a sport-related total service to all participants, including professional,

amateur and recreational athletes, sports experts, professional curators, advertisers, etc. AJM Sports

Platform provides fair rewards to the participants for their activities that vitalize the ecosphere, so

that it can create a sound recreational sports ecosphere.

Success of this Project will allow AJM Sports Platform to remove the boundary between the elite

sports and the recreational sports and become a link of sports integration as the media that allows

everyone to enjoy sports together.

생활스포츠

멘토링 매치

서비스

소셜 스포츠

전문 커뮤니

티

참여형 스포

츠 전문플랫

폼

스포츠 메니

지먼트 서비

스

글로벌 e커

머스 & 광고

플랫폼

생활스포츠

데이터센터

운영

35

8. DISCLAIMER

(1) General Disclaimer

This white paper describes overall issues related to AJM Sports Platform project, a blockchain

technology based sports platform, developed by the Company.

This white paper is distributed at the time of creation only for the purpose of reference with regard to

AJM Sports Platform project and can be amended thereafter. It is hereby clearly indicated that this

white paper is not created for solicitation of purchase of or investment in AJM token. Accordingly, the

AJM Sports Platform project team will not be obligated to indemnify, compensate or be liable to any

damage, loss, indebtedness or financial loss suffered by a person who acted in reference to this white

paper.

The Company does not guarantee any contents described herein, including project conclusion,

schedule and achievement planned in the roadmap, and the project plan and roadmap can be

changed at any time.

This white paper is not provided as business plan, business description or proposal. This white paper

shall not be interpreted as a proposal or offer of recruitment for investment in a security (in case of

the Republic of Korea, including securities and other marketable securities prescribed by Financial

Investment Services and Capital Markets Act), a unit of business trust or a unit of collective

investment plan in any jurisdiction, including the Republic of Korea. This white paper cannot be

reproduced or distributed in part or whole in the jurisdictions where the method of issuing the coin or

the token described herein is regulated or prohibited.

This white paper contains the most recent information as of the date indicated in its cover page.

Please note that this white paper is not the final version. Information contained herein related to the

AJM Sports Platform project, such as business administration and financial status, may be changed

after the aforementioned date, and this white paper can be updated at any time. The Company does

not guarantee that this white paper will remain unchanged in the future. This white paper may be

made available in different languages, including English, and when there is any portion of which

interpretation contradicts with the same portion of other language version, the interpretation of

Korean language version shall prevail.

(2) Risks

Sponsoring AJM token by exchanging the tokens shall be made upon acquiring advices from technical,

legal, financial and other experts who are fully aware of and capable of evaluating advantages and

risks related to such sponsorship. Only those who can endure the loss that can occur due to the

sponsorship, including the possibility of losing the entire value of cryptocurrency used to sponsor AJM

token, shall sponsor the token.

AJM token is intended to be a unique token for AJM Sports Platform project. The Company and its

affiliates do not guarantee whether AJM token can be traded secondarily or traded with third parties.

Even if the token is traded in a cryptocurrency exchange, whether such trade will be continued at the

cryptocurrency exchange cannot be guaranteed. The market value of the token can be reduced below

the amount paid to sponsor the token, and the Company cannot guarantee the token‟s value. AJM

token is not a currency issued by any central bank, nation, superstate or associated state. It is not

36

supported by any tangible asset or other credit. The value at which the token is traded may vary

depending on the agreement between participants to the applicable market. No participant to any

market is obligated to acquire the token from its holder, including the sponsor of the token, or to

guarantee liquidity or market price of the token within certain range at any point of time. Accordingly,

the Company or its affiliates do not guarantee whether there will be any demand or market for the

token. Even if the token can be traded at any cryptocurrency exchange, the Company or its affiliates

do not guarantee that the price you purchased the token will be referred to by the applicable

cryptocurrency exchange.

The value of AJM token is not determined by the Company. The Company does not guarantee the

value of the token. In fact, the Company cannot determine the value of the token. The value of token

will be determined by other internal and/or external causes, such as success or failure of AJM Sports

Platform project, changes of blockchain technology, changes in laws and regulations and changes in

market conditions. The exchange rates of AJM token against Bitcoin or Ethereum may drop from

those rates at the time you sponsored AJM token, and the Company does not guarantee the value of

token to keep such exchange rate from dropping.

The value of and demand for AJM token depends significantly on performance and commercial

success of AJM Sports Platform. The Company does not guarantee whether AJM Sports Platform will

be commercially successful. Also, AJM Sports Platform is not completely developed, finalized or

integrated. It can be additionally modified, amended, updated or adjusted before and after its launch.

Such modification, amendment, update or adjustment may give rise to results that users could not

anticipate, which can eventually affect whether they will be successful.

(3) Anti-money Laundering and Combating the Financing of Terrorism Policies

The Company shall be in charge of implementing policies for prevention of money laundering and

financing of terrorism (“AML-CFT Policy”). The Company must meticulously verify the identity of all

persons who wish to own AJM token or use the token for payment. Depending on the circumstances

of each request, the Company may demand the sponsor to provide additional information and/or

document at any time.

According to all laws currently applicable or anticipated to be applied in the future, the Company

hereby promises to comply with all applicable instructions related to its obligations on anti-money

laundering and combating the financing of terrorism that can be applied to its applicable businesses.

The Company is entitled to exclude anyone who fails to provide appropriate information and/or

document that can be requested by the Company from the sponsoring process during the initial or

the additional AJM token sponsorship process.

The Company may be obligated to report all suspicious transactions to applicable organization,

including Financial Intelligence Unit at all times. The Company is entitled to refuse to provide the

token to any designated natural or legal person.