ABOUT VESTIBLE INVESTING ON VESTIBLE PRIVACY & SECURITY

ABOUT VESTIBLE

What is Vestible?

Vestible is an investment platform that allows athletes to sell equity in their career directly to their fans and for fans to invest directly in the career of their favorite athletes via a federally regulated marketplace. Our team partners directly with each athlete and once they sign we create an LLC structure that is then securitized—turned into equity shares — and made available to investors, who can create custom diversified portfolios by holding stakes in different athlete’s careers.

How does it work?

When an athlete agrees to work with us we file a Series LLC via REG A Series + and sell shares into that series to investors on the Vestible platform during an IPO for the athlete. This Series LLC holds the rights to 1% of the athlete’s on the field income and is paid directly from the athlete’s employer to an escrow account each time the athlete is paid. From the moment of IPO and for the rest of their professional career, the shareholders will be paid a monthly dividend based on what the athlete is being paid during the same timeframe. As they increase their income on the field, the dividend to shareholders increases right alongside them We believe the athlete securities we create are appropriately priced and will increase in value over time. We share all key information about the investment opportunity with you through our user-friendly mobile platform, including provenance and offering information, photos and videos, and market prices for comparable athlete securities. If you like what you see, you can invest in each specific athlete security. Your trust and safety is important to us, so we partner with FINRA registered broker-dealers who confirm investor identities, issue shares, and oversee all transactions.

Who manages the athlete securities?

What types of securities do you offer on the Vestible platform?

Vestible only offers securities that are regulated by the U.S. Securities & Exchange Commission (the “SEC”) to protect our investors. You can find additional information on the specific SEC regulations that we rely upon, here, here and here. Important Note: At this time our securities are offered for sale through a registered broker-dealer (and member of FINRA & SIPC) that is licensed in all 50 U.S. states.

Who are you guys?

Our founders, Parker and Yves are two friends and former college football teammates, who have a shared passion in sports and athlete/fan empowerment. Together they set out to leverage their experience as a tech entrepreneur and Miami Dolphins front office executive to create a new kind of marketplace experience for fans and athletes to interact with one another. The goal of this marketplace is to create value in the world of sports that’s always been talked about, but hasn’t fully been realized. With Vestible, we want to accomplish this dream for centuries to come.

How do you determine which athletes to partner with?

We factor career trajectory, cultural significance, career stats, social influence/value, projected contract value and additional data-driven factors into every decision we make before we partner with our athletes. We look for best-in-class athletes and partner with them if they are serious about their craft both on and off the field. We’re always working to find great partnerships and we keep a database of future opportunities so that we can create the most opportunistic offerings for our athletes and investors.

Can I register for Vestible as a US business?

I have an athlete that I think would be a great fit for Vestible — where can I let you know?

INVESTING ON VESTIBLE

How can I make money on Vestible?

When you purchase shares on Vestible you invest in an ownership stake in a mini-company that owns and operates a specific athlete security. If its value rises, so should the value of your shares. In addition, this ownership stake is paid 1% of the underlying athlete’s monthly on the field income in the form of a dividend on a per share/pro-rata basis. As long as you hold the athlete security, and the athlete is generating professional income (on field), you will be paid the dividend. If you decide to sell your shares, you place an order through our partner broker dealer’s ATS where your order can match with potential buyers.

What are the risks?

All investments carry risks and those on our platform are no different, so it’s important that you understand them. The value of your investment can fluctuate—in both directions—and there’s no guarantee that there will be a buyer bidding your desired price when you want to sell. Furthermore, our investment opportunities are real athlete securities, and while that’s certainly part of their appeal, it brings risks. The Offering Circular (“OC”) for each athlete security details risk factors and is available for your review in the “Legal” section of the athlete security page.

Are you a Broker-Dealer?

How can I sell my investment?

You can sell some or all of your shares on the Vestible app through the Alternative Trading System (“ATS”) overseen by our broker-dealer partner. While your shares are not listed on a public stock exchange, like NASDAQ or NYSE, the trading process should feel familiar. After an athlete security’s Initial Offering, we impose a 30-day “lock-up” period during which shares cannot be bought or sold. Once the “lock-up” period is over, the “INVEST” button is replaced with “BUY” and “SELL” buttons so you know the athlete security is Trading. You can sell your shares each day during “trading windows,” by submitting sell orders (“ASKs”) through the app. During the trading window, you can revise your order as often as you want. Throughout the trading window, the ATS will match sell orders and buy orders as long as both orders are marketable. If your sale order is at or below the current bid, your sale will match and the buyer’s funds will be deposited in your account the next business day once settlement occurs.

Can I buy shares even if I missed an initial offering?

How do Trading Windows work?

Shares in each athlete security on the platform are available to trade during Vestible Market Hours. Vestible Market Hours for all eligible athlete securities occur Monday through Friday, excluding standard stock market holidays. During Market Hours, existing investors can sell shares by placing an Ask, or they can place a Bid (Buy Order) to increase their ownership position. Investors can place buy orders to purchase shares from existing investors. These orders can be placed using the BUY and SELL buttons for the appropriate athlete security in the Vestible app. You can set ASKs at a minimum acceptable price, and BIDs at a maximum acceptable price (these are known as “limit orders”). For example, you can place an order to “BUY 10 shares @ up to $90 per share” or “SELL 5 shares @ no less than $85 per share.” To place a buy order, you must pre-fund your account with sufficient funds to cover intended order prior to placing a trade. Note that it can take up to 2-3 business days for funds to transfer from your bank into your Vestible balance. You can change your ASK or BID orders as many times as you like during the trading window. Any marketable buys and sells will match continuously during the trading window. Trades settle T+1 which means that position and cash balances will update by the next business day.

Are there any rules in place regarding Trading Windows?

We have a few rules governing BIDs and ASKs placed during Trading Windows that are designed to maintain the integrity of our platform. These include: No buying & selling in the same Trading Window for a specific athlete security: This means that any user who places a BID in an athlete security will be prevented from placing an ASK in that athlete security’s Trading Window for the remainder of the Trading Window, and vice versa. Limiting ASKs below 30% of an athlete security’s then-current clearing price: This limit is designed to address outlier orders that significantly deviate from an athlete security’s then-current clearing price. As a reminder, an athlete security’s clearing price may change throughout the day (and the 30% range will adjust accordingly relative to the then-current clearing price). More information on these rules (and other rules applicable to our Trading Platform) can be found in our TOS.

Why didn’t my BUY or SELL order clear?

There are several reasons this may happen. If you are a buyer, make sure that you have enough cash in your account to fund your BID. If you are a seller, make sure you have enough shares available to cover your ASK. If your BID was below the market-clearing price, or your ASK above it, then your transaction will not be completed. Also if you submitted an equal BID or ASK as someone else, orders will be filled based on availability of shares in the market.

Do I need to be an accredited investor to invest?

Are there fees to Buy or Sell shares?

Every secondary trade on the Vestible platform has a 1.5% brokerage fee. The platform itself is free, so you can browse and participate in community features at no cost. At this time, Vestible makes money by taking a sourcing fee on each initial offering. This figure is included in the offering price reflected in the App and – the complete breakdown and exact number is reflected in the offering circular reviewed and signed as part of the investment process for each athlete security.

How do I pay for my investments?

You can pay for investments by linking your bank account to the Vestible App. All transfers in and out are made via an automated-clearing-house (“ACH”). When you sell shares (and when your athlete security earns dividends), the money will be added to your Vestible balance. You can view your balance at any time in the App. You can use these funds to make new investments, or simply withdraw them back to your personal bank account. Note: We recommend linking a Checking account to avoid potential issues. Savings, money market and brokerage accounts are more often subject to restrictions on ACH transfers.

Will I receive any monthly statements or end of year tax documents?

Yes, but only when necessary for your reporting purposes. You will receive a 1099 if you have sold shares or if you have received dividends during the calendar year. If you just purchased shares then you won’t receive a 1099. Tax documents will be emailed to you in March of the following year. You will receive monthly statements for your account if there are balances in your account or if there has been any activity. Statements are typically sent to you within the first week to 10 days of the following month.

PRIVACY & SECURITY

How do I know it’s safe to invest on Vestible?

All of our investments are reviewed and vetted by a FINRA registered broker-dealer and are subject to SEC regulation. We are committed to making investing with us as transparent as possible. Everything we see, you see. All the information we have on an athlete security is made available to all of our members, even those who don’t invest. We are always here to help, so if you have any questions please don’t hesitate to get in touch at support@vestible.co.

How can I be sure that my personal Information is secure?