Mr. Frank Kordy reports

GUNPOWDER INVESTS IN BITBLOX TECHNOLOGIES INC.

Gunpowder Capital Corp. has entered into agreements with BitBlox Technologies Inc.

BitBlox is a new generation cryptocurrency mining and technology company focused on the mining of Ethereum, BitCoin and Zcash cryptocurrencies and the development of cryptocurrency technologies. Next-generation cryptocurrency mining is a high-value enterprise approach using computing and cryptography to solve complex mathematical transactions. Successfully verified transactions get added to a public ledger, more commonly known as the blockchain. Individual blocks added by cryptominers, like BitBlox, are called a proof of work (POW) and results in the release of new currency or "coins," which are the incentive for miners participating on the network.

Gunpowder Capital has participated in BitBlox's recent non-brokered token unit financing which was sold directly by BitBlox to accredited investors. Each token unit consists of one token and one common share purchase warrant, which is automatically exercised for no additional consideration into one common share of BitBlox immediately prior to a liquidity event of BitBlox. The token also has the right, on a pro rata basis, to participate in BitBlox's profit sharing program, which can reach up to 35 per cent of the quarterly profit of BitBlox as determined by BitBlox's board of directors.

Gunpowder purchased 100,000 token units at price of five cents per token unit for a total commitment of $20,000. BitBlox raised a total of $363,000 in this recent round.

GPC has also been retained by BitBlox for a fee of $5,000 per month to provide BitBlox back office administration support. Commencing at some point in Q1 of 2018, it is anticipated that BitBlox will also retain GPC to act as a financial adviser to BitBlox.

Paul Haber stated: "Cryptocurrencies are perhaps the most exciting sector in the markets today and we are extremely pleased to be working with BitBlox Technologies. We feel that cryptocurrency mining is a big opportunity for those with the right strategy and BitBlox has an effective strategy in place to reduce the costs associated to power a mining operation, which can be vast. Between the costs of dedicated hardware, the power and cooling needed to support it, and the connectivity needed to contact cryptocurrency networks, there's a balance to find between the costs of mining and the potential gains. We feel BitBlox has found that balance and that BitBlox has an effective strategy in place to cap the costs associated in the mining process and therefore we anticipate that BitBlox has the potential in becoming highly profitable faster than its competitors."

About Gunpowder Capital Corp.

Gunpowder Capital is a merchant bank and advisory services firm based in Toronto. Gunpowder invests in both publicly traded and private businesses that have successful management teams and attractive economic models.

We seek Safe Harbor.