We have already been noted in the local media, specifically in their "Markets" section, we did not get interviewed for this piece, it just appeared in the largest Cypriot newspaper Phileleftheros in their Sunday edition (25th August), I have included a brief English translation below for those that cannot read Greek because the only words in English are my name, LMB Holdings and Bitcoin. We shall have a full page feature in the coming weeks following a media briefing.





At the final stages is the launching of a Bitcoin exchange in Cyprus, which also will offer banking services. Behind this is the company "LMB holdings".

What is a Bitcoin? The simple answer is "A Crypto-Currency".

Bitcoin is an algorithm that runs in a decentralized virtual network of computers that have downloaded the Bitcoin program, which anyone can download to participate in the network. This program allows Peer-to-peer transactions through cryptographic messages, all these transactions get verified by at least 51% of the network before it is approved and saved (in the block). All complete transactions are saved in the Block and cannot be edited.

The Bitcoin exchange in Cyprus will be within the Cypriot law, This will offer traditional bank services (savings accounts, current accounts, electronic payment with a card). But all of this without the dangers of a haircut, without transaction limits inside and outside of Cyprus and lower transaction fees for electronic purchases.

LMB Holdings has raised it's required start-up capital by Bitcoin investors worldwide with their goal for Cyprus to be first in the world to use Bitcoin as a main-stream currency.

Because the ECB and the CBC have refused to give their opinions on the matter, Danny Brewster - founder and president of LMB Holdings has stated that he will agree with any decision that the ECB and CBC will take on the issue.

Some of the information is not correct as we gave no interview for the piece. We shall be completing a press briefing within the next 3 weeks to obtain a full page feature on the business, despite some misinformation overall the article holds Bitcoin in a positive light, without the usual mud being thrown at it.

I have just seen the news & reaction regarding Labcoin, certainly we are lucky enough to not be waiting on hardware to bring our products to market.

Regular updates will always be available because any downtime I have is checking these forums. I will continually post (non-photoshopped) pictures demonstrating our progress, especially during our marketing campaigns because we have some exciting below the line activities planned.

The BTC1.0 service fee is for the transfer between BitFunder, Havelock & BTCT

The mention of $1 was a question in relation to me selling the company to myself for $1

Canth - Yes there will be, we have brought some of our plans forward also to demonstrate that we will have the platforms to execute our strategies.  Because of the insufficient trading platforms available, we have been forced to pursue existing platforms getting them to integrate Bitcoin, this has been happening prior to the release of our prospectus, but we are now dedicating more time to it so we can give more beneficial announcements ahead of schedule to ease any of these understandable concerns.

This simply could not happen, any ownership shenanigans would likely land me/us in jail. We value our reputation and feel that trust in our brand is our greatest asset.

Firstly we would only entertain the idea, if we were not essentially selling our soul to the devil, we would also be subjected to regulations by this point in relation to public disclosure, so we would act in the best interests of all of our customers and shareholders.

Just finished recording with Lets Talk Bitcoin, lots of information about Cyprus, Neo and Bee also details on a platform that is integrating the Bee payment network. Adam should be releasing it tomorrow.

Any questions following the show, post them and I will answer them as thoroughly as possible.


-- Thanks Adam for starting your day so early and squeezing us into the time you had available.

Yes, that is the plan from the outset.
Limassol is the first planned expansion outside of the capital.

Branch 3 will be renovated and furnished, this will increase our payroll and all other branch associated costings, but it will however increase our customer acquisition rate.

Thanks, that is one reason why my public postings had been very limited prior to having real progress on the ground here. How can I/we be making progress whilst discussing an idea online?

The interior renovations are currently being completed on our offices (I can provide a picture, but it is just the interior walls and cabling), things will progress much faster after that point too. I am trying my best to get online and answer any questions/concerns between meetings. I do have the added benefit of being 12 hours ahead of some areas of the US. So I can dedicate my evenings to providing updates and talking with bloggers etc.

Thanks, there are more clarifications coming also.
We shall also be releasing an update to the prospectus to provide better clarification on the areas mentioned in this thread that wasn't clear enough in the original prospectus.

Thank you and good to hear, we are working tirelessly here to make some things happen quicker, than we had previously planned to execute. We are looking forward to making these announcements when possible.

Long term yes very much so, but Europe is a big place. As we have said if people want to follow in our footsteps then we will offer a guiding hand wherever possible, we want those adverts in the future "Bee accepted by 20 million merchants worldwide", however we are very much focused on walking before we start running.

Yes we do, our natural path currently would indicate towards Greece as many Greek Cypriots have friends and family in Greece so we can migrate some of the trust that we establish here from start-up in Cyprus onto the next market. Greece also has their own well documented financial problems.

We are also allowing those from within the EU to sign-up online and open an account with ourselves from May 2014 (This may change if we surpass all of our initial targets in relation to the rate at which people are signing up for accounts locally). We are not offering this at launch to ensure that we do not create an administrative backlog on account openings for our local customers.

Sorry I missed your question, Only once we add lending to our offerings will interest payments form part of our income.

European Law does preside over Cypriot law, however there is only the European Court of Human Rights and the European Court of Justice, industry regulations are set at a local level.

A credit union is owned by its members thus making it different to what we are offering, some of the credit unions in Cyprus are also reported as to facing financial difficulties.

Any compensation negotiated between TATI and LMB Holdings has already been factored into our expenses.


One of the downsides of being up to 12 hours ahead of some parts of the world, is the lack of access to a studio, we have one planned for future recorded interviews.

If only we had a BTC timezone to operate within!

Talks between Havelock and TAT went well so pending confirmation, as Deprived stated the shares will be allocated to each exchange as the market demands

The internal rate will not just be based on 30 day averages although that will be a tiny part, we shall be basing the rate on a multitude of factors such as local transaction volumes between deposits and withdrawals (local demand), the cost of coin acquisition, at what price can we cover all of our deposits, how much volume there is at the current market prices and other contributing factors.

Should the price drop to 100 from 200, the implementation of a local rate would give us a certain time frame to acquire the required amount of coins to cover the next rate (if we had insufficient BTC reserves prior to the drop), whilst acquiring those coins we would again be adding liquidity from our own reserves with those purchased on the public markets.

With regards to us accepting direct Bitcoin deposits, the points you make are valid and have been discussed at length. A final decision will be made when the contracts are drawn up for the individual account offerings. The options we have are clear to mitigate this risk.

• Don't accept deposits of BTC directly into pegged accounts
• Accept them at the BTC-Denominated Account rates (which will be more akin to the public markets)**
• Increase our hedging which in turn would increase the cost of doing so

** On the customer's UI they would be required to request a payment address (which would then forward the multi-sig address) with a very clear indication of the rate at which it would be converted at, with a comparison of the rate used for pegged accounts.

There is no guarantee of a minimum return on time based deposits, research indicates that people are more preferable to using a product that may increase at a rate higher than offered by a traditional bank whilst accepting the chance of a minimal loss (the latter was less favorable) over the chance of a guaranteed return with no idea if all/part of their money will be taken.

I have ordered those that will be handling this aspect of the business to structure a reply that will make our plans much clearer. One part to note that isn't as clear as it should be in the prospectus, is the fact that the retained deposits in the projections have been amalgamated as one figure, we will be offering time based deposits, these accounts allow the depositor to essentially lock the deposits in for a selected time period in exchange for a percentage of any gains this percentage will be small but still offer the potential of better returns than what the traditional banks offer over the same period of time. These payments back are calculated in the "payable to depositors" field.

I will get those figures separated to make it much clearer.

In relation to the comment about our marketing from Deprived

That is not the message we are putting across, we are giving our customers the ability to take control of their own money, they do not have to convert back to EUR to spend their money. Current eCommerce penetration is very low, we have already agreed with a new platform being launched here that is very similar to Amazon (Amazon has no operations here), there are many retailers that during the economic downturn could no longer afford their business premises so they have all their stock with no platform to sell it on. This new eCommerce platform will give them the opportunity provide themselves with an income once again. We have exclusivity on this platform because existing payment providers requested that each merchant sign up for an individual account and these accounts would be subjected to a settlement period of more than 60 days. Once a merchant has received payment from someone who already has the prerequisite of having an account with ourselves they will be in a position to use their Bee card to cover daily expenses.

We are also opening talks with the holder of the franchise for one of the largest brands in the world, they do not accept VISA/MasterCard here in Cyprus because of the terms even they were given. Once we have signed and sealed contracts we will provide the announcements.