NOT FOR DISTRIBUTION TO US NEWSWIRES OR DISSEMINATION IN THE UNITED STATES

Ethereum Capital Inc. (“Ethereum Capital” or the “Company”) is pleased to announce the closing today of its previously announced private placement of 18,000,000 subscription receipts of the Company (the “Subscription Receipts”) at a price of $2.50 per Subscription Receipt for aggregate gross proceeds of $45 million (the “Offering”). The Offering was co-led by Canaccord Genuity Corp. and CIBC Capital Markets, and the syndicate included GMP Securities L.P. (the “Agents”).

The proceeds of the Offering have been placed in escrow and will be released immediately prior to the completion of the proposed reverse takeover transaction with Movit Media Corp. (TSX.V:MV.H) (“Movit”) upon the satisfaction of certain specified escrow release conditions (the “Escrow Release”). On the Escrow Release, each holder of Subscription Receipts will receive one common share in the Company (an “Ethereum Share”) for each Subscription Receipt held which will be immediately exchanged for one common share of Movit. 

As previously announced, the Company has entered into a binding agreement (the “Transition Agreement”) with Movit pursuant to which the Company will amalgamate with a wholly-owned subsidiary of Movit (the “Amalgamation”) and continue as one corporation (“Amalco”). Pursuant to the Amalgamation, holders of Ethereum Shares will receive one common share of Movit for each Ethereum Share and Amalco will become a wholly-owned subsidiary of Movit (the “Transaction”).

The terms of the Transition Agreement provide that in connection with the Amalgamation, Movit will, among other things, change its name to “Ethereum Capital Corporation” and reconstitute its board of directors with the directors of the Company. The Transaction remains subject to the satisfaction of a number of conditions customary for this type of transaction including the receipt of requisite approval from Movit shareholders and approval from the stock exchange. After the completion of the Transaction, shareholders of Ethereum Capital will hold approximately 96% of Ethereum Capital Corporation, with the balance being held by the current shareholders of Movit. On the Escrow Release, the Agents will receive a cash commission equal to 6% of the aggregate gross proceeds of the Offering (subject to certain exclusions). 

The net proceeds of the Offering, following the Escrow Release, will be used to implement Ethereum Capital’s strategy, initially through acquiring Ether, the crypto-asset native to the Ethereum platform, and subsequently through strategic acquisitions of Ethereum-based businesses and for working capital and general corporate purposes.

This press release is not an offer of securities for sale in the United States, and the securities may not be offered or sold in the United States absent registration or an exemption from registration. The securities have not been and will not be registered under the United States Securities Act of 1933.

About Ethereum Capital

Ethereum Capital is a technology company focused on becoming the central business and investment hub for the Ethereum ecosystem. The Company aims to both acquire Ether, Ethereum’s native crypto-asset, as a strategic asset, and make selective acquisitions in Ethereum-based businesses. Through its highly experienced Board of Directors and management team, Ethereum Capital will see a robust opportunity pipeline and invest in industry-shifting disruptive technologies. For more information, visit https://www.ethereumcapital.co/

For further information concerning this press release, please contact:

Forward-Looking Information

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “scheduled”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will” occur or be achieved. Forward-looking information includes, but is not limited to, statements in regard to the Ethereum platform, the Company’s business and strategy, the Company’s opportunity pipeline, the expected terms and conditions of the Transaction, the closing of the Transaction, the use of proceeds from the Offering, the Company’s ability to satisfy the conditions precedent for the Escrow Release, the timing of the  Escrow Release, the securities that purchasers of Subscription Receipts will receive on the Escrow Release and on the closing of the Transaction, the receipt of requisite Movit shareholder approval in respect of the Transaction and the approval of the exchange, and the parties’ ability to satisfy the closing conditions for the Transaction.

Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Movit or the Company to be materially different from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: general business, economic, competitive, geopolitical, technological and social uncertainties; uncertainties in regard to the development and acceptance of blockchain technology and the Ethereum platform; uncertain capital markets; delay or failure to receive board, shareholder or regulatory approvals; a party’s inability to satisfy a condition precedent to the closing of the Transaction (including the obtaining of regulatory approval), and other risks related to the completion of the Transaction and the inability of a party to perform its obligations under the Transition Agreement. Although the forward-looking information is based on the Company’s reasonable assumptions at the date such statements are made, there can be no assurance that the Transaction will occur, or that, if the Transaction does occur, that it will be completed on the respective terms described above, or that the forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update or revise any forward-looking information, except in accordance with applicable securities laws.