BCMY Clarification

Dear BCMY Users,

Pertaining to the Securities Commissions Malaysia’s (“SC”) “List of Digital Asset Exchanges In Transitional Period” where the SC has published a list of Digital Asset Exchanges which were permitted to continue their operation for a transitional period from 15 January until 1 March 2019 on 6th March 2019 that read as follows;

“Following the release of the amended Guidelines on Recognized Markets on 31 January 2019, companies which have submitted their application to be registered with the SC as a digital asset exchange will be permitted to continue operations for another transitional period from 1 March 2019 until such period as may be notified by the SC. During the transitional period, these platform operators will not be permitted to accept new investors and will only be allowed to facilitate the withdrawal or transfer of client assets with the written instruction of the investor.

Companies which did not submit their application to the SC by 1 March 2019 are required to take necessary steps to cease their business and return all clients’ assets by 15 March 2019.

Members of the public should also take note that this notice does not constitute an approval, authorisation or endorsement by the SC of any digital asset platform operators or any digital assets traded on the platforms.”

Please be informed that BCMY (M) Sdn. Bhd. has been very committed to adhere to the guidelines issued by SC in order to be one of SC’s regulated Digital Asset Exchanges. BCMY (M) Sdn. Bhd an (affiliate of BCMY Pte. Ltd.) attended the SC’s first briefing on this matter on 17th January 2019, where SC has issued Requirements for Operating a Digital Asset Platform and Registration as a Recognized Market Operator. Please refer to the updates attached with regards to the briefing - http://bit.ly/2VJy3hf

Following the first briefing, SC has issued media statement on 17th January 2019 that summarized as follows;

"Existing platform operators who failed to or did not attend the engagement with the SC on 17 January 2019 are advised to contact the SC before the 25 January 2019. Failure to do so means that the SC will deem them to be operating a market in breach of the securities laws which could lead to RM 10 Million in fines or 10 years imprisonment. The SC also covered initial coin offerings (ICOs) in their announcement; no one can conduct an ICO without authorisation from the SC first. The regulator also confirmed that guidelines for ICOs will be issued by the end of Q1 2019. To that end, the SC ordered ongoing ICOs to cease all activities and return all the money or assets collected from investors."

After complying with the 1st transitional period instruction from SC, we have been invited for the 2nd meeting session with SC on 19th February 2019. We were given a clearer direction on The Guidelines on Recognized Market SC-GL/6-2015 (R2-2019) where BCMY (M) Sdn. Bhd. has decided to initiate to register as Recognized Market Operators (RMO).

However, after seeking legal views on our product features and operations including series of official e-mail communication on 25th February 2019 at 4:41 PM (Singapore Time) with SC through their RMO Team as below;

1. We informed SC that BCMY Wallet is a mobile wallet platform that solely offer services for cryptocurrencies storing and Peer-to-Peer (P2P) transfer for asset storage ONLY. As such, we seek their advise as to the need for us to register as RMO.

The SC RMO Team replied (on the same date at 6:15 PM); “SC’s guidelines on Recognized Market, particularly, regulations on the Digital Asset Exchange (DAX) apply to those operating electronic platform which facilitate the trading of Digital Asset. We advise that you seek legal views on whether your operational activities fall within any regulations.”

After that reply, we take another initiatives to email SC on 28th February 2019 at 5:37 PM (Singapore Time);

2. We clarified further that BCMY Wallet is a platform for cryptocurrencies storing, we only cater for P2P transfer under Stored Valued Facilities (SVF) and we do not offer any Digital Asset Exchange (DAX) features. In addition to that, we also clarified that BCMY Wallet is in partnership with BITGO (https://www.bitgo.com/info/) as the security, compliance, and custodial solutions for our blockchain-based currencies, where BCMY Wallet is 100% is a decentralized apps. Other than that, we clearly informed SC that we have successfully received the Stored Valued Facility (SVF) Notification status from Monetary Authority of Singapore (MAS) and attached the same for their reference.

On the same date at 7:01 PM (Singapore Time) SC RMO Team replied; “The Guidelines on Recognized Market (SC-GL/6-2015(R2-2019) apply to entities operating or intending to operate a Digital Asset Exchange in Malaysia. Do consult the relevant professional advice as needed”.

Thus, based on the series of communications with SC above and after seeking legal advice as well as our own study to the FAQ on SC documents posted -http://bit.ly/2HfWcbg,

we found out that: http://bit.ly/2XIGET2

1. PART F: ADDITIONAL REQUIREMENTS RELATING TO A RECOGNIZED MARKET THAT IS A CROWDFUNDING PLATFORM – CHAPTER 13 – Equity Crowdfunding (ECF) platform

Please note that BCMY Wallet is not an equity crowdfunding platform and BCMY Wallet is a decentralized apps for P2P asset storage.

2. PART F: ADDITIONAL REQUIREMENTS RELATING TO A RECOGNIZED MARKET THAT IS A CROWDFUNDING PLATFORM – CHAPTER 14 – Peer-To-Peer Financing

Please note that BCMY Wallet is not an electronic platform that facilitates directly or indirectly the issuance, execution or offering of an investment note or an Islamic investment note. BCMY Wallet is a decentralized apps for P2P asset storage.

3. PART G: ADDITIONAL REQUIREMENTS RELATING TO A DIGITAL ASSET EXCHANGE – CHAPTER 15 – Digital Asset Exchange

Please note that BCMY Wallet is not a Digital Asset Exchange (DAX) platform as BCMY Wallet is offering services of Stored Valued Facility (SVF) decentralized application which consist of NFC Card function to purchase asset (using digital fiat) which does not fall under the definition of electronic platform which facilitates the Trading of Digital Asset.

In addition, The SC also covered initial coin offerings (ICOs) in their earlier announcement; no one can conduct an ICO without authorisation from the SC first. The regulator also confirmed that guidelines for ICOs will be issued by the end of Q1 2019. To that end, the SC ordered ongoing ICOs to cease all activities and return all the money or assets collected from investors.

Please note that BCMY Wallet is not a platform offering on Initial Coin Offerings (ICOs) as BCMY Wallet is only a decentralized apps for P2P asset storage for the blockchain-based currencies.

On the other hand, with regards to SC on the List of Digital Asset Exchanges Permitted to Continue Operations Effective 1st March 2019 until further notice and List of Digital Asset Exchanges Not Permitted to Continue Operations Effective 1st March 2019 issued on the 7th March 2019, BCMY (M) Sdn. Bhd. Have been listed as one of the companies not permitted to continue operations.

We have received an e-mail from SC RMO Team, informing us that we are required to cease our business and return all clients assets and monies on or before 15th March 2019 and failure to do so will be deemed to be operating a market breach of securities laws and the SC reserves the right to take the relevant action.

The Senior Management of BCMY (M) Sdn. Bhd. have decided and agreed to follow the instructions from SC to cease operations, hence BCMY Wallet and the product features will be continuing our operations will remain at our located Main HQ-branch registered as below:

1. BCMY Pte Ltd (201717698K): 50 Raffles Place, #30-01, Singapore Land Tower, Singapore

2. BCMY Japan Ltd : 3-35-9 (4jai), HIgashiuen, Taitoku, Tokyo 110-0015, Japan

Any operations of BCMY (M) Sdn. Bhd. in Malaysia will be stopped in accordance to the SC instruction and the partnership with BCMY Pte. Ltd and BCMY Japan will be discontinued.

As we have never done any activities relating to crowdfunding or monies collections under BCMY (M) Sdn. Bhd., we firmly inform that BCMY Wallet features will remains and any marketing relating to this product features will be conducted outside Malaysia and there will be no return of clients’ assets and monies on or before 15th March 2019.

Here, we would like to reiterate to entire existing users, that BCMY Wallet provides Stored Value Facilities (blockchain-based currencies – BTC/ETH/DNC) and have been registered and established since 2017 in Singapore and Japan, which is why we have decided to continue our operations in Singapore and Japan.

We would like to express our appreciation towards the effort of SC in recognizing market operators in Malaysia. We hope that in the near future we will have opportunity from SC to be recognized as a market operator for digital currencies’ products and services that we have to offer. On this note, we would also like to express our appreciation towards the initiatives for Bank Negara Malaysia (BNM) in declaring BCMY (M) Sdn. Bhd. as one of the List of Reporting Institutions dealing with Digital Currencies since September 2018.

Thus, as for entire BCMY Users, we hope this clarifies your concerns and we thank you always for supporting us!


PURCHASE FEATURES

Dear Valued BCMY Users,

As promised, we have reopened ‘Purchase Features’! Your NFC Cards have also been renewed and extended to 3-years. You can refer on our previous announcement here http://bit.ly/2EKRfWm

Thus, to remind you, these are a few details that require your kind attention:

1. Users are giving this opportunity by ONLY exchange to DNC (Dinarcoin).

2. This feature from NFC to DNC exchange ONLY available from the 3rd to the 9th of March 2019.

3. Please do your exchange with a limited number of DNCs that can be purchased using NFC Card balance during this period.

4. Daily transactions limit is according to your verification level, so it is advised to verify your account into a Level 4 for you to enjoy the limit of max 1,000 USD per day of the exchange value.

5. Users can store and make P2P transfer of BTC, ETH & DNC as usual after this period (9th March 2019) as this wallet recognized as Decentralized Apps storage asset with P2P function.

Please be informed, you are also allowed to exchange your DNC into 1:1 value of physical gold Dinar (4.25 gram 999.9, 24k), after 9th March 2019. Please set your appointment with Harimau Mint Gold (HMG) to exchange your DNC in BCMY Wallet. The vault is located in Kuala Lumpur and service charges may incurred by their end. You may contact HMG through their hotline +6010-2018299 or via Email at harimaumint@gmail.com
For further information of HMG, kindly refer to - https://www.harimaumintgold.my/portal/

We would like to inform further, that this open period for "Purchase Asset" features is limited to ONE (1) WEEK ONLY. No further extension for the exchange period as any delays will only interfere with our application process with the Securities Commission of Malaysia. - https://www.sc.com.my/…/list-of-digital-asset-exchanges-in-…

Please be advised to verify your balance after you have done your transactions. You can verify your DNC balance in the mobile app and as well as through Etherscan. You only need to tap History of Transactions in the mobile app to view the transactions and balance in the Etherscan link stated in BCMY Apps.

On the other hand, if you have mistakenly blocked your BCMY NFC Card. Please contact our support team for assistance. As a security measure, you will be required to give some personal information to verify your identity before the team can unblock your BCMY NFC Card.

Kindly share this update to your peers, friends and family for any existing users. We apologize for any inconvenience caused. Please stay tuned, as we will bring more exciting news in the coming weeks!

For further inquiries and suggestions, kindly email us at support@blockchains.com

Thank you.

-BCMY Management-


AFTER ATTENDING BRIEFING SESSIONS

Dear Valued BCMY Users,

After attending briefing sessions organized by the Securities Commission of Malaysia, We have decided to assist users in transferring their asset balance into their Mobile Apps or exchange them to physical assets. The process to clear your NFC cards will ease the approval process with the Securities Commission of Malaysia as we seek to become a Recognized Market Operator (RMO) in Malaysia, through our local entity, BCMY (M) Sdn Bhd.

We will re-open NFC Card ‘Purchase Features’, on the 3rd of March 2019 (1 week).

Here are few details that require your kind attention;

1. Users can only exchange Dinarcoin(DNC).

2. Expired BCMY NFC Cards will be renewed automatically to 3-years, no additional fees will be imposed.

3. This feature will only be made available from the 3rd to the 9th of March 2019.

4. There will only be a limited number of DNCs that can be purchased using NFC Card balance within the stipulated time period.

5. Daily transactions limit will be according to each user's verification level.

6. Dinarcoin (DNC) physical gold exchange will be under Harimau Mint Gold (HMG). The vault is located in Kuala Lumpur and service charges applies will apply. Please refer to - https://www.harimaumintgold.my/portal/ - for further information.

Again, we would like to stress that this open period for "Purchase Asset" feature is limited to ONE (1) WEEK ONLY. No further extension for the exchange period as any delays will only interfere with our application process with the Securities Commission of Malaysia. - https://www.sc.com.my/…/list-of-digital-asset-exchanges-in-…

Please be advised to verify your balance after you have done your transactions.

You can verify your DNC balance in the mobile app and as well as through Etherscan. You only need to tap History of Transactions in the mobile app to view the transactions and balance in the Etherscan link stated in BCMY Apps.

If your BCMY NFC Card is blocked, please contact our support team for assistance. As a security measure, you will be required to give some personal information to verify your identity before the team can unblock your BCMY NFC Card.

We are doing our best in building a harmonised ecosystem with all of our products and services, along with complying with requirements set by regulators. It is our hope that the entire BCMY user community will cooperate and support these initiatives.

A quick refresh, Blockchains.My is a decentralize mobile app. Although the app is decentralized, we work with several partners to enhance and expand the possibilities of our mobile app such as with BitGo, Nexmo and Nuspay. We have integrated the mobile app with BitGo by implementing cold-storage technology in securing users' assets. BitGo is the 3rd party that keeps the users' private keys and passphrases in the platform.

As a result of this, we as decentralized apss platform provider (BCMY) we do not have the access to make any changes and transactions with users' account.

Kindly share this update to your peers, friends and family. We apologize for any inconvenience caused. Please stay tuned, as we will bring more exciting news in the coming weeks!

For further inquiries and suggestions, kindly email us at support@blockchains.com

Thank you.

-BCMY Management-


SECURITIES COMMISSION OF MALAYSIA

Dear Beloved Users,

More than 1 year, our team has done our researched and seek plenty of consultations on how we are going to operate Blockchains.My while complying with the rules and regulations. Finally, yesterday, Securities Commission of Malaysia has invited representatives of all local operatives of Digital Assets Wallets, which we had the opportunity to be invited and participated to the briefing.

To summarize the briefing yesterday, all digital asset mobile wallets including Blockchains.My need to comply with the rules, setup by the Securities Commission of Malaysia during the transition period before getting the complete picture of the new regulations. Soon, Securities Commission will release the application to apply for the license.

The transition period is starting from 17th January 2019 until 1st March 2019.

The rules during the transition period are:
1. No new users allowed.
2. No exchange features are allowed.
3. No marketing activities or promotion allowed.
4. New features/products/services are not allowed to be released.

Next, Securities Commission of Malaysia has mentioned regarding the withdrawals. All audiences and committee have discussed this matter thoroughly yesterday. We would like to highlight;

1. Withdrawals of fiat money or cash are only allowed to any pre ICO or fundraising projects. So, if the project is still in the fundraising period, the project committee needs to return all the investments back to the users/investors.

2. Blockchains.My has been developed and published since 2017.

3. Thus, Blockchains.My will not return or liquidate all users’ assets and return to the users.

4. However, users are still able to do Peer-to-Peer (P2P) transactions. Users can transfer their assets from Blockchains.My Mobile Wallet to another internal/external wallet.

5. Users can liquidate assets by doing P2P, in terms of buying and selling between other users or any individuals.

6. We are very grateful that Blockchains.My has been recognized by one of the important agency in Malaysia and been given an opportunity to apply for the license. It will be one of Blockchains.My greatest achievements once our application has been approved.

With the new regulations coming up and new rules that our team need to follow, several plans will be delayed. This is because, getting the official authorization to operate is our primary concern.

We are excited to announce that, we are on the right track. Our team will not be able to make this far without the support of all our users. Keep believe in us, as we are trying very hard to be the best financial solution platform.

Please stay updated and share this important announcement to your colleagues, partners, friends and family.

For further reference on the press release by Securities Commission of Malaysia, you can refer here https://bit.ly/2CvLWre

You can contact us for further enquiries and suggestions at
support@blockchains.my

Thank you,
-BCMY Management-