1. Requirements for a Public Key Trust Infrastructure to Support Business to Business Transactions Wednesday, March 31, 1999 Peter C. Freund, Chairman of CertCo

2. Growth of Internet Business Seats Source: Gartner Group 1/99 * Active Seats-Worldwide In Thousands Growth: 236%

3. Value of the Network Nodes in the Network Metcalfe's Law--V=An 2 "Value of the Network Is Proportional to the Square of the Nodes"

4. Walter Wriston, BusinessWeek, 3/8/99 “... Brian Arthur’s work at the Santa Fe Institute and at Stanford shows that the law of increasing returns does operate. That means that one fax machine is worth nothing; connect 10,000, they’re worth a lot. The same thing happens with credit cards and everything else. It’s the reverse of the law of diminishing returns. It’s a function of the network economy.” Network Economy

5. Growth in Value of the Business Internet-- V=An 2 Value of the Business Network Years, It’s Obvious Growth: 570%

6. March 30, 1999 (In Billions) General Motors$57.2AOL$135.0 Merrill Lynch 33.0Charles Schwab 37.7 CBS 28.9Yahoo 34.6 Sears Roebuck 17.6Amazon.com 26.5 Sothebys 1.2Ebay 16.6 Market Capitalization

7. Growth in Value of the Business Internet-- V=An 2 Value of the Business Network Years, It’s Obvious Growth: 570%

8. Map of Civilization on the Internet

9. Trust, the Essential Precondition to Electronic Commerce Certifying Authority Buyer of Goods (Subscriber) Offer Digital Certificates Seller of Goods (Relying Party)

10. How It Works. Issuing Bank CertCo Trust Solutions Acquiring Bank CertCo Trust Solutions Corporation Merchant Corporation Cardholder

11. How It Works. Financial Institution CertCo Trust Solutions Financial Institution CertCo Trust Solutions Corporation Relying Party Corporation Signing Party

12. SET Organizational Structure Issuing and Acquiring Banks Consumers and Merchants Credit Card Companies Business Rules & Legal Framework SETCO

13. Trust Organizational Structure Corporations Employees 300+ Level 1 Financial Institutions THE GLOBAL TRUST Business Rules & Legal Framework ABN AMRO Citicorp Bank Of America Chase Bankers Trust Deutsche Bank Barclays Bank Hypo Vereinsbank The Banks:

14. What business interactions can be... Buyer Purchasing Process Selling Process Source Suppliers Select Supplier Negotiate Sales Terms Create & Send Purchase Order Receive Goods & Invoice Make Payment Cash & Accounting Credit Application Seller Source Customers Negotiate Terms Receive Payment Cash & Accounting Ship Goods & Send Invoice Quotation Credit Rating Receive PO/Order Entry & Allocate Inventory Internet Bank

15. Questions? Peter C. Freund, Chairman CertCo 55 Broad Street, 22nd Floor New York, NY 10004 212-709-6733 freundp@certco.com www.certco.com