From: Richard Kahn

From: Richard Kahn To: "Jeffrey E." <[email protected]> Subject: Fwd: Coinbase Investor Newsletter Date: Mon, 22 Feb 2016 17:33:02 +0000 is this 25% carry accurate? should i get darren involved or ignore for now? please advise thank you Richard Kahn HBRK Associates Inc. 575 Lexington Avenue 4th Floor New York, NY 10022 Begin forwarded message: From: Brock Pierce Subject: Re: Coinbase Investor Newsletter Date: February 22, 2016 at 11:16:32 AM EST To: Richard Kahn < Cc: P Bart Stephens <[email protected]> W Bradford Stephens <[email protected]> Richard, I haven't been able to get any additional information regarding your request at this time. We should get another investor update soon, which may clarify this. The investment in Coinbase was planned to go into a fund vehicle with a 25% carry. JE requested to pay us 25% of any profits on the investment through his own vehicle. Do you have any suggestion as to how we paper this? On Thu, Feb 18, 2016 at 7:30 PM, Richard Kahn < not sure if you received attached please advise thank you Richard Kahn HBRK Associates Inc. 575 Lexington Avenue 4th Floor New York, NY 10022 > wrote: EFTA00833642 On Feb 3, 2016, at 10:23 AM, Richard Kahn < wrote: thank you for update based on quick review of 2 previous newsletters that i received oct and nov 2015 i noticed that the cash burn from oct 31 - jan 31 was approximately 10mm, however the newsletters allude to a burn of 1.2-2mm per month accordingly it appears that cash is lower at 60mm by approximately 5mm as compared to burn mentioned in newsletters was there any capital expenditures or acquisitions not included in cash burn? please advise thank you Richard Kahn HBRK Associates Inc. 575 Lexington Avenue 4th Floor New York. NY 10022 On Feb 2, 2016, at 6:09 PM, Brock Pierce < > wrote: FYI Forwarded message From: Brian Armstrong el Date: Tuesday, February 2, 2016 Sub'ect: Coinbase Investor Newsletter To: Cc: ' < Here is our monthly update: How much money is in the bank? $60.6M How much revenue did we make last month? $800K How much cash did we burn in the last month? $1.2M EFTA00833643 Projected months of runway 50 # of salaried employees 96.0 What is our primary growth metric? Dollars of bitcoin traded What % did our primary metric grow last month? -32% <Screenshot 2016-02-02 11.01.25.png> Summary The bitcoin price (and trading volume, which drives our revenue) continues to be higher than 2015 average levels, but there is a good amount of fluctuation month to month. We continue to focus on being the easiest place to buy and sell bitcoin (more payment methods, more countries, simplified limits, etc). However, this year we are also trying a handful of prototypes designed to create growth in the wider bitcoin ecosystem since this will drive our revenue long term. Nothing specific to announce on that front yet. The block size debate about how bitcoin will scale continues in the background. We are working with a number of the teams behind the scenes to help ensure the protocol keeps scaling (and is not held back by any of the early idealists). We remain optimistic that bitcoin's ingenious upgrade mechanism (miner voting) will work as designed. My guess is that the network will upgrade to 2MB blocks in the coming month or two, and once this first "hard fork" is shown to be successful, the price of bitcoin will respond accordingly (by going up!). In the future, hard forks will happen periodically (perhaps once a year) which will allow bitcoin to continue improving as a protocol. Thank you for your support. Brian Armstrong Co-founder and CEO Coinbase San Francisco, CA, USA You received this message because you are subscribed to the Google Groups "Investors" group. To unsubscribe from this rou and stop receiving emails from it, send an email to Brock Pierce EFTA00833644 ;2, Managing Partner Blockchain Ca . ital LLC Follow me on Twitter: @brockpierce Co-invest with Blockchain Capital @ https://angel.co/blockchain-capital/syndicate Linkedin: IMPORTANT NOTICE: This message is intended only for the use of the individual or entity to which it is addressed, and may contain information that is privileged, confidential and exempt from disclosure under applicable law. If the reader of this message is not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are hereby notified. Brock Pierce Managing Partner Blockchain Capital LLC Follow me on Twitter: @brockpierce Co-invest with Blockchain Capital @ https://angel.carblockchain-capital/syndicate Linkedin: IMPORTANT NOTICE: This message is intended only for the use of the individual or entity to which it is addressed, and may contain information that is privileged, confidential and exempt from disclosure under applicable law. If the reader of this message is not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are hereby notified. EFTA00833645