WHITE PAPER | ICO · 2019-07-10 · WHITE PAPER | ICO 2019-05025 page 4 of 28 1. Introduction The...

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Transcript of WHITE PAPER | ICO · 2019-07-10 · WHITE PAPER | ICO 2019-05025 page 4 of 28 1. Introduction The...

Page 1: WHITE PAPER | ICO · 2019-07-10 · WHITE PAPER | ICO 2019-05025 page 4 of 28 1. Introduction The business field of RS R.S. RED EAGLE AG is the airborne surveillance system in the
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WHITE PAPER

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Content

1. Introduction .............................................................................................................................. 4

2. Vision ......................................................................................................................................... 6

2.1 RED EAGLE- A UNIQUE VISION ............................................................................................... 6

3. References and Partner ............................................................................................................ 8

4. BUSINESS SUMMARY & MARKET .............................................................................................. 9

5. Functionalities and Products ................................................................................................... 11

5.1. RS120 Whisper GUARDIAN .............................................................................................. 12

5.2. RS 500 SURVEILLANCE | REMOTE SENSING SERIES......................................................... 15

6. Token Function and Funds Allocation ..................................................................................... 18

6.1 General Overview ............................................................................................................ 18

6.2 Details about the ICO ....................................................................................................... 20

6.3 How to add and see RSRE tokens in my MyEtherWallet? ............................................... 22

7. Team and Advisors .................................................................................................................. 24

8. Legal Disclaimer ...................................................................................................................... 26

9. Risk Statement ........................................................................................................................ 27

List of Figures

FIGURE 1 REINER STEMME AND PARTNERS AT A GLANCE ............................................................................... 8

FIGURE 2 RS 500 AIRCRAFT PLATFORM PARTNER ....................................................................................... 8

FIGURE 3 SYSTEM OVERVIEW WITH SENSORS, DATA COMMUNICATION AND GROUND CONTROL ........................... 9

FIGURE 4 RS 120 WHISPER GUARDIAN IN MANNED VERSION ................................................................... 12

FIGURE 5 RS 120 WHISPER GUARDIAN WITH RANGE EXTENDER AND SENSOR POD ...................................... 14

FIGURE 6 OVERVIEW OF POSSIBLE QUICK EXCHANGE SENSORS ...................................................................... 14

FIGURE 7 RS 500 MAIL AIRCRAFT ......................................................................................................... 15

FIGURE 8 FORERUNNER PROTOTYPE B Q01 ............................................................................................. 16

FIGURE 9 LOAD CAPACITIES ................................................................................................................... 17

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1. Introduction

The business field of RS R.S. RED EAGLE AG is the airborne surveillance system in

the 1-5 ton class --- medium altitude long endurance (male) systems. The activi-

ties range from development to production, sale and operation of aircraft or plat-

forms up to full systems with partners.

The company is established by Dr. Reiner Stemme and partners at December

2018. Management board is set by Dr. Reiner Stemme and Dr. Wolfgang Stemme.

About 30% are at partners or team members and 70% at Dr. Reiner Stemme and

two family members. Supervisory board are three members.

The company intends to grow to a future pace maker in Light and the MALE class

of airborne surveillance / remote sensing in maritime, security, energy infrastruc-

ture, homeland security, commercial task, agriculture, climate, disaster manage-

ment, communication relay and many further fields.

The growth is based on design to the purpose with new technologies and long-

time business background of the team. Strong input is the partnership with a

leading manufacturer of innovative electro and hybrid propulsion systems

(“LMHPS”), opening for the new business areas.

Products are:

• 3-5 ton Take off Mass RS500 Surveillance System with twin high

tech IC engines,

• 3-5 ton Take off Mass RRS550 new aviation era electro/hybrid four engine demonstrator jointly with “LMHPS” Germany

• 1 ton Take off Mass RS 120 Whisper GUARDIAN, platform supplied by sister comp. RS.aero. Base design is for manned operation, upgrading for un-manned option follows.

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Figure 1 Airfield EDAZ with RED EAGLE Hangar C2

EDAZ airfield, being home of RED EAGLE, is one of the most important regional fields in GER. EDAZ covers business and privat aviation with 40 companies and or-ganizations. It is favorably satiated south of Berlin and Potsdam, only 50 km dis-tant from the future Inter-national Berlin Airport – BER. Close by are well known aviation companies like LMHPS, MTU and oth-ers. The Technical

Universities of the region are strongly connected with research projects. With respect to the aspiring business targets of RED EAGLE is started already the setup of its future factory with a work-floor of 4,000 m² for the full line of its activities from design via production to marketing and operation support. New Production Plant Subsoil is secured, the start of construction is planned for 2020, ready for occupancy in spring 2021.

Figure 2 New Production Plant

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2. Vision

2.1 RED EAGLE- A UNIQUE VISION

- READ EAGLE becomes no. ONE in European airborne REMOTE SENSING and SURVEILLANCE business in security, commercial and environment application fields.

- Business will be in the mid of satellite observation down to

micro drone tasks.

- Business will be in favorite center between high specialized

rather small entities and the big, rather slower entities.

- RED EAGLE is free for and will benefit of case by case coopera-tion with above ones, acting as a system company for solutions for the end user of data.

THE TASK: MORE DATA, MORE OFTEN AND MORE PRECISE

- RED EAGLE – FOLLOWSING A SUCCESSFUL MISSION ROUTE

- RED EAGLE enters the market in the 1t and the 3t ‘take off mass’ class airborne platforms, matching the hot spots of the markets.

- The platforms/aircraft will carry a wide range of sensors and fur-

ther REMOTE SENSING equipment up to 250 respective 750kg pay-load and are prepared for its integration

- RED EAGLE drives innovations for the platforms/aircraft: Enter-ing the new era of electro/hybrid power plants jointly with “LMHPS”, design to the purpose (no misuse of General Aviation Aircraft), new technologies for airframe and aircraft systems,

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thus opening new markets by performance features like range, endurance, low fuel consumption, low noise.

- RED EAGLE drives innovations in the application fields and sen-

sor technologies, jointly with numerous worldwide research ac-tivities as there are maritime security with German DLR (German NASA), climate change with well-known Potsdam/Germany re-search institutes and further international ones, thus again opening new markets and providing benefits for mankind.

- A look to near future: As at ground mobility there will be grow-

ing move on unmanned operation of ‘aerial systems’. RED EAGLE approach is the synthesis of manned and unmanned flight fea-tures in one flight control system – so called Optionally Piloted Vehicle (OPV)

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3. References and Partner for a highly multidiscipline program

Figure 1 Reiner Stemme and Partners at a glance

Figure 2 RS 500 Aircraft Platform Partner

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4. BUSINESS SUMMARY & MARKET

Market

There is a worldwide growing need on data, more often and more precise about phenomena on land, sea and in air. The market volume in the RS500 class is estimated to be in the range of 100 systems per year. RS.RED EAGLE aims 15% of that market volume with system pricing of € 3.5 -15m.

Customers are

- Public organizations like Homeland and Defense, Police, Border Patrol ...

- Commercial ones like power und pipeline operator, oil / gas / mine operators ...

- Research Organizations / Institutes, UN ...

Operations are performed by above themselves or service companies.

Figure 3 System overview with Sensors, Data communication and Ground Control

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Technologies

Technologies drive the field with spectacular new sensor and communication technologies. Missing are aircraft respective platforms which keep pace with – the gap which RED EAGLE will close with its design to the purpose. On top is the high innovative electro/hybrid version RRS550 with “LMHPS” with un-known new features.

Licensee

The new technologies and the new system design made the program interest-ing for countries/companies with strong own need on surveillance capacity as well as seeking for technologies. RS.RED EAGLE is in negotiation with such in-terested parties for delivery of assembly lines, production, tooling for, EASA / FAA certification procedures, ERP means, up to specific technologies – in ac-cordance with export rules.

Schedules for RS500 and RRS550 and RS 120 Whisper GUARDIAN are:

- Phase ONE 2019 –2021, development of demonstrators, both airborne 2020 / 2021, followed by design reviews and EASA certification approvals,

- Phase TWO 2021, over lapping ONE, set up of production gear/serial tooling and decision about next steps of RRS550,

- Phase THREE 2022, launch of pre series three air-craft/one system RS Whisper GUARDIAN 120, by platform of RS.aero, will enter the market 2021.

Financing of the program

Financing is provided by in total USD 15 – 25m of the ICO, including all cost of its processing incl. €1.5m for shares of RS.aero, a sister company of R.S. RED EAGLE AG for participation on their prepreg technology development.

€6m Government funding as 50% low-interest loans and 50% subsidies are applied for the program.

“LMHPS” is financing its part in parallel.

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Risk analysis

There is no comparable product or development known. RED EAGLE is in the rare case that all things match: need, business too small for the big ones, too complex for small ones, team which demonstrated its competence at QATAR Q01 3t aircraft, SAFRAN Patroller and others, strong support by R&D funding of Government and well-known international partner

5. Functionalities and Products Airborne systems for monitoring land, sea, and air have long history and gain sig-nificantly more importance in a rapidly changing world. New developments in sen-sor and recording technologies as well as in analysis and dissemination of data open new fields application with many benefits.

Airborne platforms, mainly derived from “General Aviation” airframes, did not keep up with these new technologies. By its design to the purpose strategy R.S. RED EAGLE AG will become the pace maker for a new generation of light surveil-lance / remote sensing platforms with the RS 120 Whisper GUARDIAN and RS 500 series.

Based on the market knowledge and specific technology experience of the team R.S. RED EAGLE AG provides best solutions for the upcoming requirements for the next 25 years. This includes upgrades of the propulsion systems including electric and hybrid powered systems jointly with SIEMENS at the Whisper GUARDIAN and “LMHPS” at the RS 500 series.

R.S. RED EAGLE AG provides delivery of the systems plus knowledge for different application task, training of the operation teams as well as for maintenance.

Optionally piloted vehicles (OPV) flight control system (FCS) upgrading will be available in 2022.

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5.1. RS120 Whisper GUARDIAN

Base for the RS 120 Whisper GUARDUIAN market approach are accumulated ex-periences and worldwide network of the team around Dr. Reiner Stemme with forerunner platform S10 VTX and S15 at STEMME AG, Strausberg / Germany.

References are Mountain Wave Research Project Mt. Everest with DLR, projects and deliveries with OHB (Germany), ONERA (France), Singapore Defense, Indone-sia Research, Polish Border Patrol, Mexican Border Patrol and Spain Research, as well as Patroller – a Optionally Piloted Vehicle (OPv) - jointly with Sagem/Safran (France) resulting in an 300 m€ Government contract for Safran.

Figure 4 RS 120 Whisper GUARDIAN in manned version

UNIQUE OPERATION FEATURES of the RS 120 Whisper GUARDIAN

General operation features:

1. Unique low acoustic and low thermal signature by the electro-hybrid power plant offers for covered missions (Police, Border Patrol, poaching in Natural Parks,...), watching of events unheard or/and without making people anx-ious by noise impact, night missions above cities, missions in areas with thread by terrorists (no thermal signature at electro-powered flight se-

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quences).

2. Twin engine safety is a demand on many missions above dense congested areas or big cities. RS120 Whisper GUARDIAN provides this feature by its two independent energy sources – batteries and hybrid power source.

3. Short takeoff and landing (STOL) boost features by it’s electro-hybrid power plant offers operations from short runways up to bigger helicopter fields (for joint operation), provisional fields or just short fields of private opera-tors, and no limitations by noise restrictions.

4. The aircraft will be certified according EASA CS22 and CS23, single pilot IFR, optionally with anti-icing equipment for all weather capability.

Special features with view on helicopters like H 135 when there is no need for landing on spots outside airports, which is common in most remote sensing and surveillance missions. Being an additional option by integration into a helicopter based fleet is a typical solution with high benefits at

- Endurance about 3 times

- Range about 3 times

- Cruise over distance: higher

- No noise warning on sensitive ground observation targets, zero IR-emission flight sequences.

Acquisition cost are less than 25% (green) and same are the operation cost. So where possible, RS120 Whisper GUARDIAN is a highly beneficial and environment protecting alternative. In many cases the RS120 Whisper GUARDIAN can be oper-ated from a helicopter field, too.

Special feature ‘Optionally Piloted Vehicle’ (OPV)

This means that the system can be flown unmanned as well as manned. Need for in civil operations are long persistent monitoring missions, spot or line or pattern, with flight performance of guard120 for 24 hours, or missions under thread or far

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distant over sea.

Figure 5 RS 120 Whisper GUARDIAN with Range Extender and Sensor Pod

Sensors selection for specific missions

Figure 6 Overview of possible quick exchange sensors

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Figure 7 RS 500 MAIL Aircraft

5.2. RS 500 SURVEILLANCE | REMOTE SENSING SERIES

While RS 120 Whisper GUARDIAN matches 250 kg payload light surveillance tasks, the RS 500 series will serve long range, heavy 750 kg sensor payload missions. It will substitute misused General Aviation aircraft and open new applications

- By performance, superseding nowadays systems, - Overcoming the airspace limitations of pure unmanned systems of its

class, - Substantially reduced operation cost Flight Performance Class - Long line monitoring for infrastructure, boarders ……………. 3,000 nm - Large area scanning for maritime security, SAR ……………….. 3,000 nm - Long Endurance spot monitoring for harbors, platforms,

mining areas, manned ………………………………………………………….. 12 hrs - Unmanned extreme long endurance model SERIES 500-E ……… 50 hrs

for specific demands and environments acting like satellite observation but with the benefit of high resolution of data, lower cost, and easy sensor change

- Flight speeds covering demands from low (heavy helicopter tasks) to fast cruise to operation area to operation area ……… 70–250 KTAS

- Service ceiling RS 500 series ……………………………………………… 25,000 ft - Service ceiling RS 500-E ………………………………………………..…… 30,000 ft

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Operation Features

1. Base configuration is a two-man crew of pilot and operator. Cabin layout is with pilot cockpit in the front and operator cabin aft with operation con-soles and a rest area/toilet for long missions. The crew can change positions in flight.

2. Restriction to a two-man crew reduces cost and man power. Long endur-ance missions are supported by the crew rest area and rotation of them (both pilots).

3. Analysis of surveillance data are performed by the operator on board for immediate decision making, mainly via data link to the Ground Control Sta-tion (GCS) team.

4. Upgrading to more crew members on board is optional.

5. “Optional Piloted Vehicle” flight control system (as realized in the PATROL-LER and LAPAZ development GER) offers the possibility of manned ferry flights to an operating area in distances over 3000 nm / 5500 km and there-after an unmanned operation ahead of risky area with mobile Ground Con-trol Station (GCS) handled by flight crew.

6. By superior aerodynamic and power plant design the RS 500 series features extreme low noise and IR emissions in low altitude covered and other tasks.

7. The overall concept will reduce operation cost substantially and will this way open for new tasks which have been off monitoring capabilities until now.

Figure 8 Forerunner Prototype B Q01 designed and produced by RS.aero and RED EAGLE team

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Further platform features underlining high benefits of the RRS 500 series class

The model RS 500E provides 2 days endurance flights by increasing the wing span from 20 m to 25 m (reducing the maximum speed).

The airframe is a complete CFRP-Prepreg design, lifetime target of 20,000 hours plus extension potential, free of corrosion, additional further benefits.

A de-icing system and a lightning protection system are integrated to the airframe,

A ground clearance of the fuselage > 680 mm / 28 inch is provided for external payload (springs deflected). The aircraft features a robust landing gear with spe-cial attention to reliable emergency release for protection of the under-fuselage sensors.

The basic platform will receive FAA and EASA Type Certification. The ISR equip-ment can be part of the TC or could get STC later.

The Optional Piloted Vehicle (OPV) flight control system will be available 2022 with Permit to Flight (PTF). FAA and EASA certification are planned for 2023. The development will be done in a consortium, founded by German Government Research Program.

Figure 9 Load capacities

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6. Token Function and Funds Allocation

RSRE is an ERC20 based payment token on the Ethereum blockchain (Smart Con-tract). Up to 88.33 % of the RSRE tokens will be sold during the ICO (Initial Coin Offering) and the initial price is 0.01 $.

The 15 - 25 Million USD from the ICO (Initial Coin Offering) will be used for devel-opment of prototypes, EASA certification, setup of production gear and produc-tion launch. It will be supported by Government funding.

The ICO investors will also get the opportunity to participate in the company reve-nue with upcoming STO (Security Token Offering). All ICO investors will be able to receive additional Security Tokens with a rate of 2:1 after the upcoming STO. This means that investors will receive 1 Security Token for every 2 bought RSRE tokens during the ICO. With the future Security Token, investors will be able to receive a share of the company’s revenue. (More details will be given when the STO is star-ing)

The means of the STO will be applied for development and integration of onboard and ground equipment as well for set up of operation support for customer organ-izations.

6.1 General Overview

An Initial Token Sale or Initial Coin Offering (hereinafter - "ICO") is the event at which a cryptocurrency project sells part of its cryptocurrency tokens to early adopters and enthusiasts in exchange for funding. For the party offering the to-kens for sale, this provides a proven methodology for raising funds and ensuring adoption of the tokens once they are in circulation and is a popular way to upscale an existing product or service. On the other hand, for the purchasers of tokens, ICO is an opportunity to participate in the early development of cryptocurrency business.

Initial Coin Offerings ("ICOs") have quickly grown to account for more startup

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funding in blockchain-based companies than all of Venture Capital. The massive increase in the value of cryptocurrencies significantly contributed to the growth of ICO market during the last years. The market capitalization of all Cryptocurrencies has risen from $7 billion in January of 2016 to over $130 billion as of now in March 2019. Bitcoin has appreciated nearly 30X since September of 2013 ($135 USD per Bitcoin), reaching over

$4,000 per Bitcoin in September of 2017 and up-to $20,000 in December 2017. In part, this is due to Bitcoin’s role as the most widely known, used, and accepted cryptocurrency for payments.

Ether has appreciated more than 100X since August of 2015 ($2.83 USD), reaching over $300 in September of 2017 and over $ 1300 in December 2017. In part, this has been due to Ether’s role as the core utility token of Ethereum - the most wide-ly used blockchain based computing platform for ICO’s / token sales. ICOs are a way for early cryptocurrency holders to diversify their holdings using the crypto-currency itself. In the last year we’ve seen an incredible move by startups and founders towards use of blockchain technology and tokenized models. Rather than building new products on centralized architectures and database structures, an incredible wave of new development and innovation is happening on block-chain technology to kick off new decentralized services and models.

There’s a deep technical community running full speed towards a blockchain based future, with experienced technology company founders jumping in to the fray with blockchain. A majority of the ICOs you’re seeing today are for new com-panies, who are yet to launch their products to the market.

By acquiring RSRE tokens, token holders will benefit from our future success. A token sale is fast, transparent, and efficient for exactly this purpose.

The main advantages of the ICO model of business expansion:

­ Token sales are a cost effective mechanism for raising funds;

­ The ICO will be not only a fundraising event, but also a great marketing op-portunity;

­ Token sales provide an opportunity to engage with the community and build products in consultation with token holders and experts - delivering products that are best-of-breed to customers.

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6.2 Details about the ICO

SOFTCAP: 15 Million USD HARDCAP: 25 Million USD ICO price per Token: 1 Cent (USD) Maximum Token Supply: 3 billion Percentage of the ICO Token Sale: 83.33 % (2,5 billion Tokens) Tokens reserved for team: 10 % (300 Million) Tokens reserved for Referral Program: 6.67 % (200 Million)

A maximum of 2,5 billion tokens will be sold during the ICO. (83.33 %, Hardcap). All not sold coins will be burned after the ICO, if Hardcap will not be reached. 10 % (300 million Tokens) are reserved for the company. This will be used for promotions for the token and to pay for exchange listings af-ter the ICO. 6.67 % of the tokens (200 million Tokens) are used for the Referral Program. Ad-vertisers can earn 10 % of the generated revenue by referred people with their referral link. The commission will be paid in RSRE Tokens.

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The Referral Program will be available until 200 million tokens are distributed for referring people for the ICO, or until the ICO Hardcap is reached. If there are to-kens left from the referral program, these tokens will be burned. All ICO investors will receive the bought RSRE tokens after the ICO into their My-EtherWallet (MEW). The tokens will be distributed manually. The company also plans to make a Security Token Offering (STO) after the ICO and all ICO investors will also receive the new Security Token for a fixed rate. (2:1)

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6.3 How to add and see RSRE tokens in my MyEtherWallet?

1. Login to your MEW (MyEtherWallet), myetherwallet.com, and click on “Cus-tom Tokens” on the right side in your wallet.

2. In the next step you just have to add the Contract Address, the

Token Symbol and the Decimals in the pop-up window.

Contract Address: 0x3d510eccfd15a739c27fade3cd41197b55991b82 Token Symbol: RSRE | Decimals: 18

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3. Now you can see the bought tokens, which will be distributed after the ICO manually

Important: Only use a MyEtherWallet (MEW) Ethereum Wallet address

and no exchange wallet etc.!!!

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7. Team and Advisors The Reiner Stemme Group runs a pool and network of business managers, de-sign engineers, and production specialists up to marketing/ sales manager, RED EAGLE being the center of it. Most of them have significant aerospace industry experience in innovative air-craft business, both in production and start up environments – and most of them have the entrepreneurial mentality of an innovative and business orien-tated midsized German company (the hidden champions). Below we show the short biography of the key team: Dr. Reiner Stemme, (79), Chairman and Founder, physicist, member of set up LASAG AG, CH, after managing research programs for German Government fi-nally turning to Aviation with an innovation for a ‘two in one’ new glider / power plane design with more than 250 deliveries until now. Last program 3t surveillance aircraft development for Qatar Armed Forces (transferred to USA), now set up of R.S.R.S. RED EAGLE AG with partners from joint business in be-fore, in parallel small RS.aero GmbH for a new elektro/hybrid ‘two in one’ air-craft for sports and privat use. The latter will deliver technologies to RED EAGLE for acceleration the development of RS 120 and 500. Dr. Wolfgang Stemme, (59), CFO, PhD in Mathematics, Experience as research assistant in the ITK research area, independent entrepreneur in the ITK indus-try and partner at BearingPoint (ex KPMG Consulting). Dipl.Ing. Alfred Schmiderer, (65), CTO. Prior experience includes; 1) Co- Founder, CEO and Head of Airworthiness, Head of Quality Management, AQUI-LA Aviation GmbH, OT Schönhagen, GER., and 2) CVE, Beechcraft Berlin Avia-tion, Berlin, GER. 3) Head of Design Organization at RS-UAS. He holds a Dipl. Ing. Aerospace Engineering, graduated at the Technical University of Berlin.

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Dipl.Ing. Edmund Mästele, (67), CMO. Head of Sales & Marketing –Founder and CEO of spiceCon Management GmbH, Berlin. Key assignments included; 1) Vice President Marketing & Sales, REINER STEMME Utility Air- Systems, and 2) Interim Management Direct Sales, - contract management, partner develop-ment, national & international sales at STEMME UMS GmbH, Strausberg, and later on at RS-UAS GmbH Germany. He holds a Dipl. Ing. Electronics & Automation technology Dipl.Ing. Markus Wagner, (55), CRO, he is currently the Head of Design Organi-zation at REINERSTEMME.aero GmbH Schönhagen, GER. Prior experience in-cludes: 1) Co-Founder, CEO and Head of Design Organization, AQUILA Aviation GmbH, OT Schönhagen, GER., 2) Head of Design Organization, STEMME AG, Strausberg, GER. 3) Head of Design at RS-UAS GmbH Wildau. He holds a Dipl. Ing. Aerospace Engineering, graduated at the Technical Univer-sity of Berlin.

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8. Legal Disclaimer Please read the following notice carefully before proceeding to read this Whitepaper document issued by RS. Red Eagle, an exempted company incor-porated and existing under the laws of Germany (hereinafter – “Distributor”). This notice applies to all persons who read this document. Please note this no-tice may be altered or updated.

The Whitepaper does not constitute any relations between you (hereinafter – “you” or “Holder”) and the Distributor.

Acquisition of RSRE cryptographic tokens does not present an exchange of cryptocurrencies for any form of ordinary shares of the Distributor and a Hold-er of RSRE cryptographic tokens is not entitled to any guaranteed form of divi-dend,

RSRE tokens are not intended to constitute securities in any jurisdiction. This Whitepaper does not constitute a prospectus or offer document of any sort, and is not intended to constitute an offer of securities or a solicitation for in-vestments in securities in any jurisdiction.

This Whitepaper is for information purposes only. The contents of this White-paper are not a financial promotion. Therefore, none of the contents of this Whitepaper serves as an invitation or inducement to engage in any sort of in-vestment activity.

Prospective acquirers of RSRE tokens should carefully consider and evaluate all risks and uncertainties associated with the cryptocurrencies, Cryptopay Ltd and their respective businesses and operations, the RSRE tokens and the R.S.Read Eagle Coin Offering. Familiarize yourself with all the information set out in this Whitepaper and Risk Notice.

Ensure that you are aware of all of the would be risks prior to obtaining RSRE. The Risk Statement details all potential risks that you should consider. We rec-ommend that you seek out independent financial advice before engaging in any sort of business endeavor.

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9. Risk Statement

No regulatory authority has examined or approved any of the information set out in this Whitepaper. No such action has been or will be taken under the laws, regulatory requirements or rules of any jurisdiction. The publication, dis-tribution or dissemination of this Whitepaper does not imply that the applica-ble laws, regulatory requirements, or rules have been complied.

To the maximum extent permitted by the applicable laws, regulations and rules, RS. Red Eagle and its affiliates and their respective officers, employees or agents will, in relation to the website and RSRE tokens, not be liable for any damages of any kind, including, but not limited to, direct, consequential, inci-dental, special or indirect damages (including but not limited to lost profits, loss of revenue or third party loss whether foreseeable or otherwise, trading losses or damages that result from use or loss of use of the website and RSRE Tokens).

For the avoidance of doubt, The Distributor expressly disclaims any and all re-sponsibility for any direct or consequential loss or damage of any kind whatso-ever arising directly or indirectly from: (i) reliance on any information con-tained in this document, (ii) any error, omission or inaccuracy in any such in-formation, (iii) any action resulting there from, or (iv) usage or acquisition of products, available through the website.

You acknowledge and agree that you are not purchasing RSRE tokens for pur-poses of investment, speculation, as some type of arbitrage strategy, for im-mediate resale or other financial purposes.

Some of the statements in the Whitepaper include forward-looking statements which reflect the Distributor's current views with respect to execution roadmap, financial performance, business strategy and future plans, both with respect to the Distributor and the sectors and industries in which the Distribu-tor operates.

Statements which include the words ''expects'', ''plans'', ''believes'', ''projects'', ''anticipates'', ''will'', ''aims'', ''may'', ''would'', ''could'', ''continue'' and similar statements are of a future or forward-looking nature. All forward-looking statements address matters that involve risks and uncertainties. Accordingly,

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there are or will be important factors that could cause the Distributor’s actual results to differ materially from those indicated in these statements.

Any forward-looking statements in the Whitepaper reflect the Distributor’s current views with respect to future events and are subject to these and other risks, uncertainties and assumptions relating to the Distributor’s operations, results of operations and growth strategy. These forward looking statements speak only as of the date of the Whitepaper. No statement in the Whitepaper is intended as a profit forecast and no statement in the Whitepaper should be interpreted to mean that the earnings of the Distributor for the current or fu-ture years would be as may be implied in this Whitepaper.

Citizens, residents (tax or otherwise), or green card holders, of the United States of America are ineligible to purchase any RSRE tokens in the RSRE Initial Coin Offering (as referred in this Whitepaper).

The same pertains for residents of the Republic of Singapore and Canada.

Participation in the RSRE Initial Coin Offering for: This Whitepaper, or any part thereof, as well as any copies, must not be taken or transmitted to any country where distribution or dissemination of this Whitepaper is prohibited or re-stricted.