VERSION: SENO [1.8] NPCWL0329_JL180330_KC1804091825

NS BIOMEDICS IMMUNE HEALTH WHITEPAPER NPCWL 9 April 2018

NS BIOMEDICS

IMMUNE

HEALTH

WHITEPAPER ECO system for affordable chronic immunological

treatments

Good thoughts, good ideas and good deeds last for

a very long time. The more happiness you bring to

the world, the more you will be rewarded with

happiness. Support SENO Utility Token, make

more people’s day healthier and better. Support

SENO Utility Token and help save Lives.

VERSION: SENO [1.8]

NPCWL0329_JL180330_KC1804091825

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Word from CEO

“Mom was diagnosed with terminal disease, and it was already at late-stage.” My mind went

completely blank when I received the devastating news.

The whole family went all out to find some remedies. We checked with many friends and met

many doctors, some dedicated and compassionate, some prestigious but arrogant. But despite

time and money spent, we got nothing but disappointment. I began to be filled with despair and

fear.

When surgery, chemotherapy and electrotherapy all failed to stop the spread of the disease, I

was confronted with a frightening choice: my mother begged me to stop all treatments and let

her go. Our whole family was heavy-hearted days and nights - for we knew she was living in

great pain.

I realized then that even with wealth and dedicated effort, a person may still not be able to buy

his health back. At that moment, I thought I lost the meaning of life. Soon after, mother stopped

feeling the pain as she departed from us forever. Our entire family was devastated.

However, the mutual support and caring shown among the entire family during mom’s sickness

and the aftermath of her passing had brought the family closer than ever. I also felt a deeper

meaning to life.

I used to work in the fundraising and financial business, where I was surrounded by well-to-do

people, extravagant lifestyle and flattering words. I began to feel that many people had

developed twisted moral values and given up on social responsibilities in pursuit of fame and

fortune. I started to ask myself: what is the meaning of life?

I realized that happiness brought by fame and money is fleeting and not meaningful; but in

caring and helping other people, I could find true happiness and fulfillment.

After the funeral, I met my aunt and her partner. Both are leading experts in immunology

research. Their 30 plus years of research efforts have result in the development of certain

special glycopeptides and lipopeptides, which possess potent power to enhance immune system

and fight abnormal cells. We discussed my mom's journey and the future way of life of mankind.

They agreed to work with me to develop a series of products based on proprietary formulations

to help people with chronic diseases. They stressed that since bacteria often become drug

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resistant through mutation before new antibiotics is developed, enhancing immunity is of

paramount importance. We strongly believe in the need to spread this message and I have made

it my mission to help people deal with such health issues.

Every day we face innumerable health issues in our lives, including heavy environmental

pollution (air, water, food and mental pollution), new types of viruses and medical system

overload. We need a new way of thinking to protect ourselves: one that is built upon the

notion that the immune system is our natural and best defense against chronic diseases. By

strengthening our immune system, we can arm ourselves against all kinds of health hazards in

daily life.

I look to you, our supporters, to help us to accomplish our goals. By leveraging on your

participation, we will be able to bring potential immunological treatments under development

to the market, to boost the human immune system and increase the chance of survival for cancer

patients, so desperate patients and their families can find hope again.

We have seen many encouraging cases in using polysaccharides compounds extracted from

medicinal mushrooms to improve the immune system for cancer and other treatments. But

this potential is still foreign to many people. This has given me great determination to bring

to the market regulatory authority approved, drug grade, polysaccharide based

immunotherapeutic treatment. I hope more and more people would understand and embrace

the concept of “enhancing the immune system to enhance the chances of cancer survival." In

this connection, we are actively preparing for the approval process with the relevant regulatory

agencies. The process would be lengthy and costly with no guarantee of success, but with your

help, we hope to eventually attain our goals.

What is the meaning of life?

In the end, I think the answer lies in helping each other.

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EXECUTIVE SUMMARY

Cancer is a set of extremely lethal diseases, connected with genetic damage of cells. Cancer is

the second highest cause of mortality worldwide, taking almost 10 million lives annually. There

are more than 100 different types of cancer. It can develop almost anywhere in the human body.

It starts when cells growing out of control crowd out normal cells. This makes it hard for the

body to work the way it otherwise should. In all types of cancer, some of the body’s cells begin

to divide without control and spread into surrounding tissues. Anyone can develop cancer. The

risk of being diagnosed with cancer increases with age with most cases occurring in persons

55 and older. In the U.S., men have slightly less than a 1 in 2 lifetime chances of developing

cancer; for women, the risk is 1 in 3. All cancers involve the malfunction of genes that control

cell growth and division. However, most cancers do not result from inherited genes but from

damage to genes occurring during one’s lifetime. Maintaining both healthy life style and

immune system are vital to the prevention of cancer development.

After some 30 years of scientific research, researchers and scientists working with NS

Biomedics Limited have discovered that certain immunotherapeutic polysaccharide

compounds are potent and effective in modulating the immune system to detect and eliminate

human malignancies. Preliminary research shows that treatment developed based on

immunotherapeutic polysaccharide compounds could have beneficial effects as conjunctive

therapy with other treatments in fighting certain types of cancer. Our research platform will

spearhead the development of novel immunotherapy treatment for many types of cancers,

including such notorious killers as cancers of breast, liver, colon, and leukemia. This

whitepaper discusses the first two potential treatments, ImGrandeur DG and ImHepatocure AG

for breast and liver malignancies, respectively.

Upon the completion of SENO Token Distribution Event (“STDE”), NS Biomedics will initiate

regulatory registration for ImGrandeur DG and ImHepatocure AG in the United States and

China. In the United States, we will apply for U.S. Food and Drug Administration (“FDA”)

approval for ImGrandeur DG by following the Fast Track process, a priority approval process

mostly for novel cancer treatments. In China, we will apply for Category I registration for

ImHepatocure DG with the China Food and Drug Administration (“CFDA”). During the

approval process, we will conduct large scale clinical trials according to regulatory

requirements. Although we believe that ImGrandeur DG and ImHepatocure AG are ready to

go through the cancer drugs registration pathways, the approval and registration processes will

take considerable time and cost without guarantee of success. However, NS Biomedics has

confidence in the efficacy of the two potential immunotherapeutic treatments and will use our

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best endeavor to go through the respective drug registration and approval paths.

NS Biomedics notes a key but unfortunate aspect of modern healthcare, namely a wide-held

misconception and lack of trust towards available cancer treatments, which often carry high

cost and are unaffordable to a large population segment. Patients with no insurance coverage

are forced to seek self-treatment and alternative medicine. Myriads of new cancer patients

would intentionally disregard medical advice and go for clinically unproven methods. Although

much resources are spent today on cancer care education and for auditing and controlling each

step of the healthcare product lifecycle, people remain skeptical, and more and more people

are losing trust and faith in the current healthcare eco-system, where trust and hope desperately

need to be re-established. It is imperative that patients who cannot afford to pay for the high

price of todays’ cancer treatments have a cost-effective treatment alternative available to them.

NS Biomedics intends to do its part in helping those in need. “How far that little candle throws his

beams! So, shines a good deed in a weary world.” William Shakespeare, The Merchant of Venice

Before and following the official validation and registration of ImGrandeur DG and

ImHepatocure AG as cancer treatment drugs, NS Biomedics will make available to the public

the tools and knowledge base needed to learn and validate our life-saving immunotherapy

solutions. To serve and benefit those people facing healthcare treatment options decisions, NS

Biomedics will create, using block-chain technology, a transparent, manipulation-proof, and

temper/bias-free system that will give all patients the opportunity to personally validate the

development of our cancer treatment solutions, follow up on their clinical trial results, trace

and track each pack of the products and collect important information about usage and results.

We call this system the Shennong Blockchain Expert System (“SBES”). With blockchain

technology, we will build a system distinguished by efficiencies in trust, transparency, privacy,

and data management.

In connection with our upcoming STDE, we will develop and deliver a duo-prong system

which encompasses (1) the release of two potential treatments intended for breast and liver

malignancies; and (2) the supporting SBES so the patient/user may have confidence that the

treatments they are receiving are effective, backed up by other patients’ experience and

distributed based on advice of medical professionals. Medical professionals will be able to

track patient progress and monitor the effectiveness of the treatment in patients other than their

own. The SBES will showcase the utility and excitement of this new approach to clinical value.

This duo-prong system will likely usher in a new level of trust to the healthcare ecosystem.

Following a successful STDE, we will start preparation for the approval process for

ImGrandeur DG and ImHepatocure AG. At the same time, development of SBES shall starts

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with the first release planned for 2019/20. If everything goes as planned, by the year of 2021

to 2022, the world will witness the birth of two novel cancer treatment drugs.

We envision the SBES platform to eventually spread far beyond validating healthcare

technologies and storing patient data. We expect the system to unite and serve the entire global

healthcare marketplace by providing multiple benefits to all stakeholders:

patients will have the ability to observe and validate the constantly growing set of facts on

the efficacy of treatment regimes

doctors may use SBES as storage of patient data and subsequently as the tool to validate

their own therapeutic approaches

insurance companies may employ SBES for patient management

pharmaceutical companies may use SBES to track products, validate authenticity and

eliminate fake products, store patient data and validate therapeutic results.

regulators may use SBES data to establish safety and efficacy of healthcare technologies

investors and scientists may use SBES to validate licensing or inventions and evaluate

financing

For our supporters, we have developed a new generation of immunotherapy treatments for

human breast and liver malignancies, namely, ImGrandeur DG, targeting breast cancer patients

in Europe and North America and ImHepatocure AG, targeting liver cancer patients in China

and Asia. The current ecosystem for cancer treatment is inadequate both from a competition

and product choice standpoint. We hope to change the current eco-system by using collective

power of the public in launching new remedies and pricing these new products at affordable

prices for cancer patients while creating benefits for our supporters. To achieve these goals, we

have chosen to share our vision and potential benefits with our supporters and use the STDE

to raise the capital we need. NS Biomedics will use the fund raised in the STDE to complete

the necessary research and development work and clinical trials for approvals for medicinal

usages of ImGrandeur DG and ImHepatocure AG by the FDA and CFDA, respectively. We

will also supplement our capital requirements by seeking government grants, private grants and

private investments to grow our product lines. On behalf of the vast number of cancer patients,

some of whom could be your friends and family, we ask for your support, which we believe

will provide you with long lasting returns, both spiritual and financial.

Shennong Blockchain Expert System

The SBES platform is designed to collect, store and analyse information on pre-existing and

new methods of cancer treatment worldwide. Our goal is to develop a permissioned high-

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performance enterprise blockchain with built-in artificial intelligence for governance, analysis

and prediction, smart contract compatibility, self-sustainability and parallel processing to

achieve very high volume of transactions. The data is stored in the blockchain, analysed by big

data analytics and available to system users who have proper authority to access SBES. Users

can gain access to different levels and various types of data, depending on the user’s role in the

system and his direct relation to the data. We will use the platform to collect and store

publishable data from clinical trials of our products from launch.

SENO Token Distribution Event

SENO is an open source cryptographic token (“SENO” or “Token”) designed as a utility

crypto-currency intended for use as (1) the payment method by users of SBES for all services

and processing fees; (2) a preferred payment method for ImGrandeur DG and ImHepatocure

AG after their regulatory approval and market launch; and (3) a payment method for our

existing full line of dietary supplements before market launch of ImGrandeur DG and

ImHepatocure AG. NS Biomedics envisions that the SENO will become an accounting unit

for all economic transactions of the SBES platform and will serve as a basis for interaction

with clinical trials and other market players, including other pharmaceutical companies who

wish to cooperate with us.

SENO is a specific form of crypto currency. It can be subdivided into fractions. The issue of

SENO will be implemented on the public blockchain Ethereum as standard ERC20.

(http://github.com/ethereum/EIPs/isues/20). The Ethereum blockchain is currently the standard

for issuing digital assets and smart contracts. ERC20 token interface allows deploying a

standard token that is compatible with the existing infrastructure of the Ethereum ecosystem,

including development tools, wallets and exchangers. To cater to the anticipated sales volume

of our two potential immunotherapeutic remedies upon formal approval, SENO will have an

initial total amount of 1 billion tokens. Demand for SENO is expected to grow rapidly

following release of the SBES and positive results from the clinical trials and approval and

registration of ImGrandeur DG and ImHepatocure AG. A batch of 400 Tokens or multiples

thereof bought during the presale and STDE may be used to exchange for one standard package

of GG Grandimmue today and for standard dose of ImGrandeur DG or ImHepatocure AG upon

their approval by appropriate authorities with usage pursuant to physician prescription. Apart

from the STDE, further SENO offers may be necessary at different phases of clinical trials and

will likely be priced at a higher nominal value than the US$1 offered at the STDE. It is

anticipated that upon receiving regulatory approvals, demand for SENO by non-token holders

will increase.

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Uses and Sources of Funds

We anticipate the need to raise a minimum of US$95 Million at the STDE for the following

uses:

Uses Amount in U.S.$ million

FDA Regulatory Approval 30

CFDA Regulatory Approval 20

Regional R&D centers 5

SBES Development 10

R&D 10

Operations 10

Marketing and Sales 10

Total 95

SENO Token Value Proposition

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▪ A pack of 400 SENO tokens purchased during STDE will be valued at US$400 since

it can exchange for US$400 worth of dietary supplements

▪ When SBES is online between 2019 to 2020, a pack of 400 SENO tokens may be

valued at US$1,000

▪ When cancer drugs completed phase I clinical trial, a pack of 400 SENO tokens may

be valued at US$2,000

▪ When cancer drugs completed phase II clinical trial, a pack of 400 SENO tokens may

be valued at US$4,000

▪ When cancer drugs are approved, a pack of 400 SENO token may be valued at

US$10,000 as it can exchange for equivalent value of anticancer drugs.

SENO VIP Supporter Program

Early bird supporter, meaning someone who has acquired a total of 40,000 SENO or multiple

thereof during the pre-sale period, will be eligible for the SENO VIP Supporter program.

1. VIP Supporter program members may enjoy SENO bonus schemes to be announced

prior to the start of the pre-sale. 2. If a certain portion of SENO is held until the next token issue, VIP supporter will

enjoy discount (to be announced at the time) as the first purchase. 3. VIP supporters will have the first right of purchase of ImGrandeur DG and/or

ImHepatocure AG when they are approved for market release, subject to having

proper physician prescription.

SENO Royal Supporter Reward Program

In appreciation for the support of our most loyal supporters, we will implement a SENO Royal

Supporter Reward Program, which is the highest tier of SENO Reward program. To be eligible

for this program, you would need to hold an average balance of SENO equal to or exceeding

500,000 SENO. Royal supporters will enjoy all the benefits of the VIP Supporter program. A

non-public forum shall be created for our royal supporters (1) to keep them abreast of our

product development; (2) to keep them informed of the status of the development of

ImGrandeur DG and ImHepatocure DG; and (3) to allow them to share business ideas with

senior NS Biomedics management executives.

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Table of Contents

Shennong Blockchain Expert System .................................................................................................. 5

SENO Token Distribution Event .......................................................................................................... 6

Uses and Sources of Funds ................................................................................................................. 7

SENO Token Value Proposition ........................................................................................................... 7

SENO VIP Supporter Program ............................................................................................................. 8

SENO Royal Supporter Reward Program ............................................................................................ 8

NS Biomedics Limited............................................................................................................................ 13

Who We Are ...................................................................................................................................... 13

Over 30 Years of R&D on Immunotherapy ....................................................................................... 13

Immunotherapeutic Dietary Products .............................................................................................. 13

Novel Immunotherapy Treatments for Cancers ............................................................................... 15

Our Mission ........................................................................................................................................... 15

Our Innovations .................................................................................................................................... 15

Our Pledge............................................................................................................................................. 15

What Do You Know About Cancers? ..................................................................................................... 16

What is Cancer? ................................................................................................................................ 16

Who Is at Risk of Developing Cancer? .............................................................................................. 16

Breast Cancer .................................................................................................................................... 17

Liver Cancer ....................................................................................................................................... 17

Cause of liver cancer ......................................................................................................................... 18

Statistics at a glance .............................................................................................................................. 19

Breast cancer .................................................................................................................................... 19

Liver cancer ....................................................................................................................................... 20

Heavy financial impact of Cancer ...................................................................................................... 21

Immunotherapy –New Horizon for treatment of cancer ................................................................. 22

Cancer immunotherapy is unique because it uses the power of the body’s own immune system to

treat cancer. ...................................................................................................................................... 22

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What the immune system does? ...................................................................................................... 24

Types of Immunotherapy .................................................................................................................. 25

What makes Immunotherapy a promising treatment for breast cancer? ....................................... 27

Newly developed breast cancer drugs are still expensive and costly ............................................... 27

1,3-1,6 β-Glucan and its role in the treatment of Breast Cancer ..................................................... 29

NS Biomedics develops ImGrandeur DG ............................................................................................. 31

(1,3-1,6) β-D-glucan – unique, purified, potent and completely water-soluble polysaccharide

compound ......................................................................................................................................... 31

ImGrandeur DG – Novel drug for cancer immunotherapy ............................................................... 31

Summary of Early Fundamental Test Results ............................................................................... 32

What Makes Immunotherapy a Promising Treatment for Liver Cancer? ............................................. 33

NS Biomedics' Impact on Liver Cancer .............................................................................................. 33

Triterpenoids- Natural occurring novel cancer cytotoxicity ............................................................. 34

ImHepatocure AG ............................................................................................................................. 37

Two step approaches to bring two novel treatments for Breast and Liver Malignancies into Markets

.............................................................................................................................................................. 37

Step One: Finalise and ascertain formulation of breast malignancy treatment (ImGrandeur DG)

and liver malignancy treatment (ImHepatocure AG) ....................................................................... 37

Step Two: Obtain Regulatory Approvals ............................................................................................... 38

2.1 United States FDA Approvals for ImGrandeur DG ...................................................................... 38

FDA Accelerated Approvals ........................................................................................................... 38

Fast Track ...................................................................................................................................... 38

ImGrandeur DG meets Fast Track Criteria .................................................................................... 38

Simplified FDA approval path ....................................................................................................... 39

FDA Action Plan Checklist ............................................................................................................. 39

2.2 China Food and Drug Administration (CFDA) Approval .............................................................. 40

NS Biomedics Action Plan ..................................................................................................................... 42

Current research and development activities .................................................................................. 42

Cancer research facilities in Zhuhai China ........................................................................................ 42

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What happens during Approval Process? ......................................................................................... 42

What happens after approvals are granted? .................................................................................... 43

Performance Marketing ................................................................................................................ 43

Content Marketing ........................................................................................................................ 43

Creating awareness ....................................................................................................................... 43

Creating product confidence ........................................................................................................ 44

Invest in data analytics .................................................................................................................. 44

Brief estimation of Breast Cancer and Liver Cancer Therapeutic Market Size ..................................... 44

Breast Cancer drug market ............................................................................................................... 44

Liver Cancer ....................................................................................................................................... 45

Projected ImGrandeur DG and ImHepatocure AG sales after approval ............................................... 46

Shennong Blockchain Expert System is another important element in realizing our dream ............... 47

Concepts ........................................................................................................................................... 47

Quality goods through supply chain integrity ................................................................................... 47

Anti-counterfeit measures ................................................................................................................ 47

End-to-End Tracking .......................................................................................................................... 48

Shennong Block Chain Expert System ................................................................................................... 48

Shennong Block Chain Expert System Technical implementation ........................................................ 50

Description ........................................................................................................................................ 50

Designated user roles under SBES .................................................................................................... 50

▪ Researcher ............................................................................................................................ 50

▪ Patient ................................................................................................................................... 50

▪ FDA, CFDA and regulatory agencies in other relevant countries .......................................... 50

▪ Record keeper ....................................................................................................................... 51

▪ CRO (Monitor) ....................................................................................................................... 51

▪ Ourselves being a generic pharmaceutical company ........................................................... 51

▪ Hospitals ................................................................................................................................ 51

▪ Doctor/Oncologist ................................................................................................................. 51

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▪ Expert Advisers ..................................................................................................................... 51

▪ Big Data ................................................................................................................................. 51

System modules .................................................................................................................................... 52

AI Key Management Service (“KMS”) ........................................................................................... 52

HIPAA compliant Data Base Service (“HIPAA-DBS”) ..................................................................... 52

User Request Service (“URS”). ...................................................................................................... 53

Big Data and Artificial Intelligence applications ............................................................................... 54

Project Financial Forecast and Capital Needs ....................................................................................... 55

We need your support .......................................................................................................................... 55

SENO -cryptocurrency for Health Care ................................................................................................. 57

Goal and description ......................................................................................................................... 57

The use of SENO ................................................................................................................................ 57

Choosing standards of tokens ........................................................................................................... 59

Issuing SENO ..................................................................................................................................... 59

SENO Distribution model ...................................................................................................................... 60

Distribution of SENO Sale proceeds (Project budget) ........................................................................... 61

SENO Value Proposition ........................................................................................................................ 62

Shennong Token Burn Model ............................................................................................................... 64

SENO VIP Supporter Program ............................................................................................................... 64

SENO Royal Supporter Rewards Program ............................................................................................. 64

Five Years Roadmap and Milestones .................................................................................................... 65

Executive Team ..................................................................................................................................... 66

Advisory Board ...................................................................................................................................... 69

Mr. Quilindo was the chief operating officer for Intertek Laboratories. ............................................... 70

Conclusions ........................................................................................................................................... 71

Legal information and disclaimer ......................................................................................................... 72

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NS Biomedics Limited

Who We Are

We are an innovative biotechnological company incorporated in Hong Kong focusing on

immunological research, searching for immunotherapeutic compounds and developing dietary

supplements for the maintenance of healthy immunity system and treatments of various types

of human malignancies. We are part of a group of companies with overlapping ownership

operating in Taiwan and Hong Kong. Our company in Taiwan works in close partnership with

several biotech companies specializing in the research of immunotherapeutic compounds

extracted from medicinal mushrooms. In Hong Kong, one of our group companies, NS

Biotech Ltd. produces and markets a full line of dietary supplements based on proprietary

formulations from our Taiwan operations.

Over 30 Years of R&D on Immunotherapy

In the last 30 years, scientists and researchers working in close partnership with our group have

been focusing on research on immunotherapeutic compounds extracted from naturally

occurring herbs and mushrooms. Our research and manufacturing facilities in Taiwan produce

some of the best quality herbs and mushrooms in the world. Species of mushrooms such as

Antrodia Camphorata, Ganoderma, Cordyceps, Agaricus Blazei Murill, Phellinus Fungus,

Schizophyllan, Coriolus Versicolor, Pleurotus Eryngii, Pleurotus Citrinopileatus, Hericium

Erinaceus, Grifola Frondosa, Armillaria, Lenitula Edodes, Flammulina Velutipes and Sparassis

Crispa can be cultivated in Taiwan in a natural and untainted environment. One species,

Antrodia Camphorata, can only be well nurtured in the soil and climate of Taiwan. With our

partner, we have revolutionized the cultivation, extraction, isolation and production of small

molecule active ingredients resulting in many proprietary technology and know-how. To

effectively address the global market, marketing and sales operations are based in Hong Kong.

Our business has grown from a scientific and research laboratory into a full-scale production

and sales and marketing enterprise.

Immunotherapeutic Dietary Products

Our research on immunotherapeutic treatments has enabled us to develop a complete line of

dietary supplement products formulated to maintain immunological health and function for

conjunctive use with treatments of human malignancies. These dietary supplements may be

useful in helping users stay well, remain revitalized, maintain immune health and enhance

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recovery from chronic health conditions. The following table summarizes these supplements.

Dietary

Supplement

Nomenclature

GG

Grandimunne

GG Livimmune Polysaccharide Triterpenoid formula for

total liver protection

GG

Heartimmune

Potent composite formula for vascular and

heart protection

GG Collagen

Plus

Potent composite formula for better skin

health and allergy relief

GG Diahealth Potent composite formula for balancing

blood lipid and sugar

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Novel Immunotherapy Treatments for Cancers

Through lengthy development in vitro and in vivo testing and preclinical trials, our R&D efforts

have identified immunotherapeutic treatments for a series of human malignancies. These

immunotherapeutic treatments have the potential to be cost effective alternatives for cancer

patients. The major ingredients are derived completely from natural sources and appear to be

free from undesirable side effects. Breast cancer and liver cancer are our initial targets for

which we plan to release two prospective immunotherapeutic drugs. We are working toward

application for FDA approval for our breast cancer treatment and CFDA approval for our liver

cancer treatment.

Our Mission

▪ to help increase the life expectancy and quality of life of cancer patients.

▪ to pursue the above goal through cutting edge immunotherapeutic methods, diagnosis,

treatment monitoring, and patient confidence programs.

Our Innovations

▪ NS Biomedics has invented technologies enabling highly concentrated and purified

immunotherapy compounds for the development of immunotherapeutic drugs for

different types of cancers.

▪ we have also developed a unique concept of blockchain-based ecosystem-grade

platform to support our R&D and business developments worldwide.

Our Pledge

▪ NS Biomedics has completed R&D for its first two immunotherapeutic cancer

treatment products for breast cancer and liver cancer, these products are currently

undergoing clinical trials.

▪ we will apply for regulatory approvals for these products as drugs in the US and China,

so that we can market these products as drugs to the global market.

▪ we will work toward completing development of the SBES platform, which we hope

will be a new, efficient and cost-effective means for value exchange and storage for

cancer treatments.

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What Do You Know About Cancers?

What is Cancer?

Cancer is an ailment of more than 100 different diseases. It can develop almost anywhere in

the human body. It starts when cells grow out of control and crowd out normal cells. This makes

it hard for the body to work the way it should. In all types of cancer, some of the body’s cells

begin to divide controllably and spread into surrounding tissues. Normally, human cells grow

and divide to form new cells as the body needs them. When cells grow old or become damaged,

they die, and new cells take their place. When cancer develops, however, this orderly process

breaks down. As cells become abnormal, old or damaged cells survive when they should die,

and new cells form when they are not needed. These extra cells can divide without stopping

and may form growths called tumours. Many cancers form solid tumours, which are masses of

tissue.. Cancerous tumours are malignant, which means they can spread into, or invade, nearby

tissues. In addition, as these tumours grow, some cancer cells can break off and travel to distant

places in the body through the blood or the lymph system and form new tumours far from the

original tumour. Normal cells may become cancer cells. Before cancer cells form in tissues of

the body, the cells go through abnormal changes called hyperplasia and dysplasia. In

hyperplasia, there is an increase in the number of cells in an organ or tissue that appear normal

under a microscope. In dysplasia, the cells look abnormal under a microscope but are not cancer.

Cancer is a genetic disease — that is, it is caused by changes to genes that control the way our

cells function, especially how they grow and divide. Most cancers start due to gene changes

that happen over a person’s lifetime. More rarely cancers start due to inherited faulty genes

passed down in families. Cancer may also be caused by environmental exposures including

substances such as the chemicals in tobacco smoke, and radiation, such as ultraviolet rays from

the sun.

Who Is at Risk of Developing Cancer?

Anyone can develop cancer. The risk of being diagnosed with cancer increases with age, with

most cases occurring in persons 55 and older. In the U.S., men have slightly less than a 1 in 2

lifetime chances of developing cancer; for women, the risk is 1 in 3. Additionally, male smokers

are about 23 times more likely to develop lung cancer than nonsmokers. Meanwhile,

women with close relatives (mother, sister, or daughter) having breast cancer have about twice

the risk of developing breast cancer themselves. Most cancers do not result from inherited

genes but from damage to genes occurring during one’s lifetime. While most cancers grow

from a single mutated "progenitor" cell, cancers found in advanced stages rapidly mutate and

each node is made of multiple cell lines with different mutations causing chemo resistance and

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recurrence. Maintaining both healthy life style and immune system is vital to the prevention of

cancer development.

Breast Cancer

Breast cancer is a group of diseases that affects breast tissue. Both women and men can get

breast cancer, though it is much more common in women. Other than skin cancer, breast cancer

is the most common cancer among women in the world with nearly 1.7 million new cases

diagnosed in 2012 (second most common cancer overall). This represents about 12% of all new

cancer cases and 25% of all cancers in women. It is one of the most common causes of death

from cancer in women. Breast cancer occurs when cells in the breast divide and grow

uncontrollably. Tumours in the breast tend to grow slowly. By the time a lump is large enough

to feel, it may have been growing for as long as 10 years. (Some tumours are aggressive and

grow much faster.) Between 50-75 percent of breast cancer begin in the milk ducts, about 10-

15 percent begin in the lobules and a few begin in other breast tissues. Over time, cancer cells

can invade nearby healthy breast tissue and make their way into the underarm lymph nodes,

small organs that filter out foreign substances in the body. If cancer cells get into the lymph

nodes, they then have a pathway into other parts of the body.

Liver Cancer

The liver is the largest internal organ. It lies under your right ribs just beneath your right lung.

Liver has several important functions:

▪ breaks down and stores many of the nutrients absorbed from the intestines that the body

needs to function; some nutrients must be changed (metabolized) in the liver before

they can be used for energy or to build and repair body tissues

▪ produces clotting factors to stop excessive bleeding

▪ secretes bile into the intestines to help absorb nutrients (especially fats)

▪ breaks down alcohol, drugs, and toxic wastes in the blood, which then pass from the

body through urine and stool

The liver is made up mainly of cells called hepatocytes. It also is made up of other types of

cells, including cells that line its blood vessels and cells that line small tubes in the liver

called bile ducts. The bile ducts extend out of the liver and carry bile from the liver to the

gallbladder or directly to the intestines. These different types of cells in the liver can form

several types of malignant (cancerous) tumours. These tumours have different causes, are

treated differently, and have a different outlook.

18 | P a g e

Cause of liver cancer

The exact cause of liver cancer is unknown, but most cases are associated with damage and

scarring of the liver known as cirrhosis. Cirrhosis can have many different causes, including:

▪ drinking excessive amounts of alcohol over many years

▪ having a long-term hepatitis B or hepatitis C viral infection

▪ haemochromatosis – an inherited disorder in which iron levels in the body slowly build

up over many years

▪ primary biliary cirrhosis – a long-term liver disease in which the bile ducts in the liver

become damaged

▪ obesity and an unhealthy diet can increase the risk of liver cancer because this can lead

to non-alcoholic fatty liver disease

1[For more information on various types of cancer]

1 (1) www.cancer.gov/about-cancer/understanding/what-is-cancer

(2)www.cancerresearchuk.org/about-cancer/what-is-cancer

(3)www.cancer.net/navigating-cancer-care/cancer-basics/what-cancer

(4)www.medicinenet.com/cancer/article.htm

19 | P a g e

Statistics at a glance

Breast cancer

Breast cancer is the second most common cancer in the world. It is the most common cancer

in women with slightly more cases in less developed (883,000 cases) than in more developed

(794,000) regions. Incidence rates vary across the world regions, with rates ranging from 27

per 100,000 in Middle Africa and Eastern Asia to 92 in Northern America. Breast cancer ranks

as the fifth cause of death from cancer overall (522,000 deaths) and while it is the most frequent

cause of cancer death in women in less developed regions (324,000 deaths, 14.3% of total), it

is now the second cause of cancer death in more developed regions (198,000 deaths, 15.4%)

after lung cancer. The countries with the top 20 highest incidence of breast cancer in 2012 are

given in the table below.

Global breast cancer incidence patterns reflect both risk factors and the availability of screening.

The highest breast cancer incidence rates are in North America, Australia/New Zealand, and

Northern and Western Europe, while the lowest are in Africa and Asia. Mortality rates reflect

the occurrence of the disease as well as the availability of treatment. Breast cancer mortality

rates are higher in many Low and Middle-Income Countries (“LMICs”), such as those in sub-

Saharan Africa, despite their lower incidence because of late stage at diagnosis and limited

access to treatment.

111.9105 104.5 99 98.9 96.3 95 94.7 92.9 92.3 92.2 91.6 91.3 89.4 89.1 87.6 86 85.9 85 83.1

Countries with the top 20 highest incidence of breast cancer in 2012

Rate Per 100,000

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Liver cancer

According to GLOBOCAN 2012, liver cancer is prevalent in underdeveloped countries and is

second most common cause of death from cancer worldwide, estimated to be responsible for

nearly 746,000 deaths in 2012,

Notably, incidence and mortality levels of liver cancer in China are high. The rates in China in

2012 equalled the rates in East Asia, which were the highest in the world, and were twice the

worldwide averages, 4 times greater than the averages in developed countries, and 1.5 times

greater than the averages in Asia and underdeveloped countries. The incidence and mortality

of liver cancer in China were higher in rural areas than in urban areas. The difference in

incidences between urban and rural areas is mainly related to pathogenic factors of liver cancer,

such as viral hepatitis, alcohol consumption, aflatoxin, obesity, diabetes, diet habits, and water

pollution, whereas the difference in mortalities between urban and rural areas is also related to

the conditions of local health care and economics. If we look at China’s demographics closely,

liver cancer is prevalent in the Southeast Coast regions, such as Jiangsu, Zhejiang, Fujian,

Shandong, Guangdong, Guangxi, and some regions in Northeast China, such as Heilongjiang,

but rare in the Yungui Plateaus and East China, such as Beijing and Tianjin. Crude mortality

was the highest in eastern regions, lower in middle regions, and the lowest in western regions.

The ASR China mortality in rural areas was the highest in middle regions, lower in eastern

regions, and the lowest in western regions, whereas the ASR China mortality in urban areas

was similar in middle and western regions, and the lowest in eastern regions. The incidence

78.1

52.6

25.8 25.6 24.6 22.8 22.3 22.3 22 19.5 18.2 17 16.2 16 15.1 14.4 13.5 13.4 13.4

Countries with the higheset incidence of Liver Cancer in 2012

Age-Standardised Rate per 100,000

21 | P a g e

and mortality of liver cancer were the highest in South China in males and in Northeast China

in females and were the lowest in North China.

The incidence and mortality of liver cancer were higher in males than in females. The higher

risk of liver cancer in males compared to females might relate to the differences in the risk

factor exposure or susceptibility to the risk factors, e.g., the proportions with alcoholism and

hepatitis B virus infections were higher in males than in females. The age-specific incidence

and mortality of liver cancer were low before age 30, rapidly increased after 30, and peaked at

80 or 85.2 [Please refer to the following websites for more detailed information on cancer

statistics.]

Heavy financial impact of Cancer

Cancer is a leading cause of death worldwide. Other than the burden of morbidity and mortality,

cancer causes serious economic impact to both society and family at large. This includes direct

costs, such as the costs of treatment, and indirect costs, such as the costs to family or society

from loss of income or productivity due to illness or premature death. There are also other

quantifiable costs of cancer, such as time spent by caregivers, transportation, and assistance in

the home.

The estimated global economic burden of cancer in 2009 was US$286 billion, which included

medical costs (US$151 billion, 53%), non-medical costs (including costs of transportation,

caregiving, and so on; US$66 billion, 23%), and productivity loses (US$69 billion, 24%). The

three types of cancer with the highest economic burden worldwide in 2009 covering both sexes

combined were lung (US$53 billion), colorectal (US$33 billion), and breast (US$24 billion).

Approximately US$268 billion (or 94% of the total estimated global costs) was spent in high-

income countries. The amounts spent in other countries was US$1 billion in low-income, US$8

billion in lower to middle-income, and US$9 billion in high to middle-income countries. High-

income countries spend more on early detection of cancer and cancer treatment and care. As a

result, the cost of treatment per cancer in these countries is higher than in LMICs. For example,

the average cost per treatment of breast cancer in 2009 was highest in the United States

(approximately US$67,000) and lowest in Ethiopia (around US$110). Of the 172 countries

2 (1)www.cancer/gov/about-cancer/understanding/statistics

(2)www.ha.org/cancerreg/

(3)www.cancerresearchuc.org/health-professional/cancer-statistics/worldwide-cancer

(4)www.who.int/mediacentre/factsheets/fs297/en/

(5)www.cancer-fund.org/home/all-about-cancer

22 | P a g e

included in the analysis, the average cost of treatment per cancer was US$5,000 or less in 125

countries.

The estimated economic impact of cancer due to loss of productivity in 30 European countries

in 2008 was €75 billion (€49 billion in men; €26 billion in women). In the United States, YPLL

(years of potential life lost) from all cancers in 2006 was 4.5 million in men (15.4 per death)

and 4.7 million in women (17.5 per death), corresponding to a productivity loss of US$94

billion in men and US$82 billion in women. The estimated productivity loss due to premature

death from female breast cancer alone in 2008 was US$5.5 billion worldwide. Cancer can also

lead to economic loss to society by reducing productivity of family members of cancer patients

and informal caregivers. In many cases, a family member or another close person provides

hands-on care for cancer patients. Cancer survivors and their families still face great financial

hardship fulfilling their basic needs, such as purchasing food or paying for their utility bills.

This burden is expected to increase as populations grow and age and as the prevalence of

increasing cancer risk factors in many countries. The costs of cancer are therefore considerable

and even catastrophic.3 [More information on the financial burden of cancer.]

Immunotherapy –New Horizon for treatment of cancer

Conventional chemotherapy is highly toxic, usually non-specific. Individual fractions of

surviving cells in an otherwise sensitive tumor can either be intrinsically resistant or gradually

acquire resistance and this significantly impairs the cure of cancer patients. For the last twenty

years, many researches have been done by scientists around the world on innovative, effective

and affordable way of prevention and treatment of cancer. These researches have led to the

development of cancer immunotherapy which is a powerful developing therapy with the

potential to impact all cancer types, changing the way cancer is treated and cured forever.

Cancer immunotherapy is unique because it uses the power of the body’s own

immune system to treat cancer.

3(1)https://www.researchgate.net/publication/8383028TheFinancialBurdenofCancerEsitimatesfromastudyofIns

uredWomenwithBreastCancer

(2)http://www.ajmc.com/journals/evidence-based-oncology/2016/july-2016/undertanding-and-mitigating-the-

financial-burden-of-cancer-patients

(3)https://www.oncologynurseadvisor.com/from-cancercare.the-financial-burden-of-cancer-

care/article/198563/

23 | P a g e

Immunotherapy is a broad category of cancer therapy that uses the body’s immune system to

fight cancer cells. Cancerous cells are different from normal cells, in that they do not die

naturally. These rapidly dividing cells are like an out-of-control copy machine that won’t stop

printing images. These abnormal cells frequently change, or “mutate,” to evade the immune

system. Immunotherapy drugs are designed to alert the immune system about these mutated

cells, so it can locate and destroy them. Immunotherapies fall into three general categories: (1)

checkpoint inhibitors, which disrupt signals that allow cancer cells to hide from an immune

attack; (2) cytokines, protein molecules that help regulate and direct the immune system; and

(3) cancer vaccines, which are used to both treat and prevent cancer by targeting the immune

system.

The immune system is always on patrol, like a police force charged with ridding the body of

foreign invaders, such as viruses, bacteria or fungi. Lymph nodes, which make up most of the

immune system, serve as police stations throughout the body. White blood cells, such as “T-

cells,” fight infection and cancer. They are the police officers. When a foreign invader is

detected, the entire immune system is alerted through chemical signals, just as a police station

would radio police officers to alert them about a problem.

Cancer cells are not always recognized as invaders because they are the body’s own cells that

have mutated, such that once healthy cells no longer behave like normal cells. The immune

system does not recognize this distinction, allowing these dangerous cells to grow, divide and

spread throughout the body. One of the ways that cancerous cells can stay hidden is by sending

signals to receptors at certain checkpoints. Those signals trick the body’s police force into

thinking that the cancer cells are normal. Immunotherapy drugs known as checkpoint inhibitors

are designed to disrupt those signals, allowing the cancer cells to be exposed as invaders and

triggering an immune system response. Cytokines and cancer vaccines are other types of

immunotherapies used to generate an immune response by helping the body recognize cancer

cells as dangerous and abnormal cells.

Cancer immunotherapy works in two ways:

boosts your immune system to help eliminate cancer cells

enhances your body’s immune response by providing additional components

Immunotherapy enables the immune system to recognize and target cancer cells, making it a

universal answer to cancer. Immunotherapy has been an effective treatment for patients with

certain types of cancer that are resistant to chemotherapy and radiation treatment.

Immunotherapy’s side effects can also be different. They are comparatively minor compared

24 | P a g e

to chemotherapy or radiation (loss of hairs and appetite). These side effects vary by type of

cancer immunotherapy and each patient may respond differently. Immunotherapy can “train”

the immune system to remember cancer cells. This “immune memory” may result in longer-

lasting remissions. Clinical studies on long-term overall survival have shown that the beneficial

responses to cancer immunotherapy treatment are durable—that is, they can be maintained

even after treatment is completed.4 [For more information on cancer immunotherapy.]

What the immune system does?

Your immune system is a collection of organs, special cells, and substances that help protect

you from infections and some diseases. Immune cells and substances they produce travel

through your body to protect it from germs that cause infections. They also help protect you

from cancer in some ways. The immune system keeps track of all substances normally found

in the body. Any new substance that the immune system does not recognize raises an alarm,

causing the immune system to attack it. For example, germs contain substances such as proteins

not normally found in the human body. The immune system sees these as “foreign” and attacks

them. The immune response can destroy anything containing the foreign substance, such as

germs or cancer cells.

However, it is sometimes more difficult for the immune system to target cancer cells. This is

because cancer starts as normal cells in our body which are altered and start to grow out of

control. Clearly there are limits on the immune system’s ability to fight cancer on its own,

because many people with healthy immune systems still develop cancer. Sometimes the

immune system does not see the cancer cells as foreign because the cells are not sufficiently

different from normal cells. Sometimes the immune system recognizes the cancer cells, but the

response might not be strong enough to destroy the cancer. Cancer cells themselves can also

give off substances that keep the immune system in check. To overcome this, NS Biomedics

has found ways to help the immune system recognize cancer cells and strengthen its response

so that it will destroy them.

4 (1)www.cancer.org/treatment/treatments-and-side-effects/treatment-types/immunotherapy.html

(2)www.cancer.net/navigating-cancer-care/how-cancer-treated/immunotherapy-and-

vaccines/undertanding-immunotherapy

(3)www.cancerrearch.org/we-are-cri/what-is-immunothrapy

(4)www.cancer.gov/about-cancer/treatment/types/immunotherapy

(5)www.cancer.gov/research/areas/tratment/immunotherapy-using-immune-system

25 | P a g e

Types of Immunotherapy

Checkpoint Inhibitors

In the immune system, white blood cells have proteins on the surface of the cells that stop

immune cells from attacking healthy cells. One of these proteins is called CTLA4 (cytotoxic T–

lymphocyte-associated protein 4). This protein interacts with a corresponding protein that is

expressed on cancer cells and causes T cells to stop working. This prevents cancer cells from

being destroyed by the T cells. CTLA4 is an inhibitory molecule of the immune system, i.e.

turning on CTLA4 causes the immune system to stop attacking cells. Once its role was

identified, CTLA4 became a subject of interest for researchers trying to control immune

response in human diseases. Many scientists believe that development of cancer

immunotherapy will contribute greatly to the fight against cancer and blocking CTLA4 is one

of the major therapies that is being studied to prolong life of a cancer patient. Another one of

the more prominent cancer immunotherapies being studied for use in patients is blocking PD1,

another protein found on the surface of T cells. It is similar to CTLA4 therapy, as PD-1 is also

used by cancer cells to avoid being killed by T cells. PD-1 stands for programmed cell death

protein 1. There are 2 proteins expressed by cancer cells that can bind to and activate PD-1,

causing the T cells to be inhibited and allowing the cancer cells to survive. Checkpoint inhibitor

drugs target PD-1 and CTL-4 receptors. Checkpoint inhibitors disrupt those signals sent from

cancer cells and expose cancer cells to attack by the immune system.5

5 Ivashko, I. N. and J. M. Kolesar (2016). “Pembrolizumab and nivolumab: PD-1 inhibitors for advanced melanoma.” Am J

Health Syst Pharm73(4): 193-201.

Pico de Coana, Y., A. Choudhury, et al. (2015). “Checkpoint blockade for cancer therapy: revitalizing a suppressed immune

system.” Trends Mol Med 21(8): 482-491.

Sharma, P. and J. P. Allison (2015). “Immune checkpoint targeting in cancer therapy: toward combination strategies with

curative potential.” Cell161(2): 205-214.

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Cytokines

The term "cytokine" is derived from a combination

of two Greek words "cyto" meaning cell and

"kinos" meaning movement. Cytokines are cell

signaling molecules that aid cell-to-cell

communication in immune responses and stimulate

the movement of cells towards sites of

inflammation, infection and trauma. Cytokines are

a broad and loose category of small proteins (~5–

20 kDa) that are important in cell signaling. Their

release influences the behavior of cells around

them. Cytokines include chemokines, interferons,

interleukins, lymphokines, and tumor necrosis

factor alpha (TNF-α). Cytokines are produced by a broad range of cells, including immune

cells like macrophages, B-lymphocytes, T-lymphocytes, and mast cells, as well as endothelial

cells, fibroblasts and various stromal cells. A given cytokine may be produced by more than

one type of cell. They act through receptors and are especially important in the immune system;

cytokines modulate the balance between humoral and cell-based immune responses, and they

regulate maturation, growth, and responsiveness of cell populations. Cytokines circulate in

picomolar concentrations and may increase in magnitude almost a thousand-fold in response

to an infection or inflammation. Within our body, cytokines have a much larger distribution of

sources for their production, with nearly all cells that have a nucleus capable of producing

interleukin 1 (IL-1), interleukin 6 (IL-6), and TNF-α, particularly endothelial cells, epithelial

cells and resident macrophages. Cytokines can exert systemic as well as local effects. For

example, interleukin and the interferon are involved in regulating the immune system's

response to inflammation and infection. A cytokine's actions may affect the same cell it was

secreted from, other cells nearby or may act in a more endocrine manner and produce effects

across the whole of the body. The current terminology used to describe cytokines is

"immunomodulating agents" or agents that modulate or alter the immune system response.

Cytokines are important regulators of both the innate and adaptive immune response.

Cytokines are generally pro- or anti-inflammatory, and the balance between these determines

the outcome of an inflammatory response. Targeting these inflammatory cytokines forms the

basis of therapeutic treatments.

Cancer prevention vaccines

Cancer treatment vaccines, also called therapeutic vaccines, are a type of immunotherapy. The

27 | P a g e

vaccines are intended to boost the body's natural defenses to fight a cancer. Doctors give

treatment vaccines to people already diagnosed with cancer. The vaccines may:

▪ prevent the cancer from coming back

▪ destroy any cancer cells still in the body after other treatment

▪ stop a tumor from growing or spreading

Antigens are substances on the surface of cells that are not normally part of the body. The

immune system attacks antigens, usually getting rid of them. This leaves the immune system

with a “memory” that helps it respond to those antigens in the future. Cancer treatment vaccines

boost the immune system's ability to recognize and destroy antigens. Often, cancer cells have

certain molecules called cancer-specific antigens on their surface that healthy cells do not have.

When these molecules are introduced in the body, they act as antigens. They stimulate the

immune system to recognize and destroy cancer cells that have these molecules on their surface.

Most cancer vaccines also contain adjuvants, which are substances that may help strengthen

the immune response. Other cancer vaccines target specific cancer antigens and are given to

patients whose tumors have those antigens on the surface of the tumor cells.

What makes Immunotherapy a promising treatment for breast cancer?

The most commonly diagnosed cancer type among women around the world, breast cancer is

also one of the main cancer types for which new immunotherapy treatments are currently being

developed. The need for affordable, effective and lasting breast cancer treatment is urgent as

breast cancer accounts for over 12 percent of all cancers diagnosed globally each year. Current

methods for breast cancer treatment typically involve surgery if the disease is diagnosed early.

Depending on the stage and molecular characteristics of the cancer when diagnosed, breast

cancer surgery may be followed by additional chemotherapy, radiation, or targeted therapies,

including hormone therapy. Breast cancer has traditionally been regarded as immunologically

silent. However newer pre-clinical and clinical studies including those conducted by NS

Biomedics suggest that immunotherapy treatment has the potential to improve outcomes for

breast cancer patients and displays certain advantages over more conventional treatments.

Newly developed breast cancer drugs are still expensive and costly

Newly developed therapies are usually expensive. Drug companies have set the price for

several recently released treatments at over US$100,000 per year. For example, Perjeta,

approved in 2013, was welcomed as a boon to the HER2-positive cancer

community. Combining Perjeta with Herceptin (trastuzumab) and docetaxel was found to add

28 | P a g e

almost two years to the life of a metastatic breast cancer patient. But Herceptin is priced around

$4,500 per month and Perjeta around $6,000 per month. The resulting $10,500 a month or

$126,000-year cost for Perjeta and Herceptin alone makes this a very expensive treatment

indeed.

We seek changes to the practice of charging people faced with life-threatening disease large

sums of money for the life-saving drugs that they require. With climbing drug prices, more and

more patients are forced to fight for coverage of drugs that may save their lives. Change is on

the way.

NS Biomedics’ Impact on Breast Cancer

At NS Biomedics, we seek to bring affordable and cost-effective immunotherapy cancer

treatments to benefit all cancer patients. Most importantly, we plan to price our future

immunotherapy drugs to be affordable for most breast cancer patients. We wish to provide

breast cancer patients with an immunotherapy drug that is effective but with minimal or no side

effects. This can be made possible due to the dedicated effort of our researchers over the last

30 years. Our research efforts are supported by nearly 140,000 peer-reviewed research papers

done by various institutions supporting the effectiveness of our proposed solutions. Through

the accumulation of knowledge on immunotherapeutic compounds, and innovations in

manufacturing technologies, it is now possible for a naturally occurring compound to be

extracted from a select blend of mushrooms to become an increasingly promising element in

the treatments of human malignancies. NS Biomedics has been one of the pioneers in the

study of 1,3-1,6 β-Glucan and its derivatives in the treatment of human malignancies. To obtain

the level of concentration and purification required for immunotherapeutic compounds

extracted to be effective, our research team in Taiwan has developed various proprietary

processes for the cultivation, extraction, purification and refinement of polysaccharide

compounds and immunomodulatory proteins from medicinal mushrooms. (Antrodia

Camphorata, Ganoderma , Cordyceps, Agaricus Blazei Murill, Phellinus Fungus,

Schizophyllan, Coriolus Versicolor, Pleurotus Eryngii, Pleurotus Citrinopileatus, Hericium

Erinaceus, Grifola Frondosa, Armillaria, Lenitula Edodes, Flammulina Velutipes and

Sparassis Crispa).

A series of dietary supplements based on these extracts are already on the market. Our

supplements carry potent strength that could be easily absorbed by the body. These supplements’

abilities to help the body stay healthy and revitalized, and to strengthen the immune system

and to assist recovery from chronic health conditions have enjoyed increasing user recognition.

Users have been using our supplements in conjunction with their traditional treatments to

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alleviate the discomforting side effects of the traditional treatments.

1,3-1,6 β-Glucan and its role in the treatment of Breast Cancer

Beta glucans (β-glucans), long chain polymer of glucose from fungal cell wall, has been shown

to have many immunomodulatory properties, as well as effects on haematopoiesis and as a

radiation protectant. Each type of β-glucan has a unique structure in which the glucose

molecule is linked together by β-

glyosidic bonds. The D-glucose rings

with six sides can be connected to one

another in a variety of positions on the

D-glucose ring structure. Our

researchers have found that the number

of repeating β (1,6) branches and the

position of these branches have a

profound effect on the immunomodulatory ability of the compound. Our research also reveals

that its immunomodulatory ability is further enhanced when other lectins or

immunomodulatory proteins are present in the main polysaccharide branch. Basically, our

research has shown that molecular structure, size, structure and the source of an

immunomodulatory complex consisting of (1,3-1,6) β glucan together with

immunomodulatory protein will determine its immunomodulatory ability. Although these

polysaccharide compounds can be extracted from multiple sources such as yeast, mushrooms

or synthesised, our research has revealed that β-glucans from mushroom contains the most

polysaccharide compounds, galactose and maltose polymers. Because of their molecular

structure, these polymers are very active and have special ability to modulate the immune

response of the immunity system.

β-glucans has the ability to increase neutrophil chemotaxis and adhesion, synergise with

myeloid growth factors to enhance haematopoiesis, and mobilise peripheral blood progenitor

cells in vivo, directly stimulate committed myeloid progenitor cells, and improve survival and

hematopoietic regeneration in irradiated mice. In addition, β-glucans have been shown to

amplify the phagocytic killing of opsonized tumour cells and combine with monoclonal anti-

bodies to increase their tumoricidal activity.

β-glucans possess a diverse range of activities. The ability of β-glucan to increase nonspecific

immunity and resistance to infection is like that of endotoxin. (Note: endotoxin are

large molecules consisting of a lipid and a polysaccharide composed of O-antigen, outer core

and inner core joined by a covalent bond and known to elicit strong immune responses in

30 | P a g e

animals.) We have been studying the potential antitumor activity of (1,3-1,6) β glucan and

derivatives. In vitro and in vivo studies on the effect of β (1,3-1,6) glucan on the immune system

indicate that β (1,3-1,6) glucan has strong immune stimulating activities. Pre-clinical trials have

also indicated that (1,3-1,6) β glucan represents a type of full spectrum immune-stimulant.

Antitumor activities of (1,3-1,6) β-glucan isolated from fungi such as Gandoderma Lucidum

(G.Lucidum) is largely mediated by T-cells and macrophages. The antitumor mechanism of β

(1,3-1,6) glucan could involve macrophage simulation and subsequent release of inflammatory

mediators such as IL-1, TNF, and prostaglandin E2.

Our immune system comprises of two systems, namely the adaptive immune system and the

innate immune system. The innate immune system includes complement proteins,

macrophages, neutrophils, and natural killer (NK) cells. (1,3-1,6) β-glucan is a powerful

activator of macrophages, NK cells, and neutrophils. Beta glucan activates the immune system

by binding to a specific receptor on the cell membrane of macrophages. This action causes

macrophages to be activated and as a result increase phagocytic and bactericidal activities as

well as the production of a wide range of cytokines. Enhanced function of macrophages, as

well as NK cells, appears to increase the human body’s ability to defend against malignant

tumours. The mechanism by which (1,3-1,6) β-glucans kills tumour cell includes (1) (1,3-1,6)

β-glucan amplifies phagocytic killing of iC3b-opsonized tumour cells, (2) it combines with

monoclonal antibodies to increase tumour cell death and (3) it increases macrophage

cytotoxicity to tumour cells with an increase in nitrous oxide production. The following series

of diagram illustrate a timed sequence of how T-cell can recognise and kill cancerous cell.6

6 Effects of beta-glucans on the immune system, Medicina (Kaunas) 2007;43(8):597-606

The effects of beta-glucan on human immune and cancer cells ,Chan GC Chan WK Sze DM J ,Hematol Oncol.

Medicinal Importance of fungal beta-(1,3), (1,6-glucans, Chen J, Seviour R, Mycol. Res. 2007 Jun.

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NS Biomedics develops ImGrandeur DG

(1,3-1,6) β-D-glucan – unique, purified, potent and completely water-soluble

polysaccharide compound

Our research team has developed a highly purified version of polysaccharide polymer

compound (1,3:1,6-β-D-glucan). Spectral analysis (GC/MS) reveals that the structure of this

type of polysaccharide compound consists of both galactan and β-glucan molecules. Protein

analysis confirms that no amino acid or other protein molecules are present on the chain. This

form of highly potent and purified polysaccharide compound is largely made of galactan and

high concentration of β-glucan (including1,6 linked glucopyranosyl residue; 1,3 linked

glucopyranosyl residue and 1,3,6 linked glucopyranosyl residue).

ImGrandeur DG – Novel drug for cancer immunotherapy

The isolation of this new, purified form of polysaccharide compound (1,3-1,6) β-D-glucan, in

conjunction with the experience gained from our dietary supplement products, has enabled us

to formulate a potential cancer immunotherapy remedy suitable for both intravenous therapy

and oral administration. Project name for this new drug is ImGrandeur DG. The main

mechanism of ImGrandeur DG activates and strengthens the body's white blood cells and

lymphoma anti-cancer physical function. Blood cells bear the responsibility of maintaining the

health of the whole body and are responsible for the overall well-being of the whole body.

When the body experiences a pathogenic invasion, or the cells of some organs of the body

become cancerous, blood cells are in the first line of defense to deal with such foreign

pathogenic materials or cell mutations. Pre-clinical trials indicate that when the drug is applied

to a cancer patient, the user's neutrophils are significantly increased and the natural killer cell

activity in the blood is increased. When the population of M1 phagocytes increases in the blood

of the user, the population of M2 phagocytic cells is reduced. This phenomenon shows that the

anti-cancer ability of the user is increased, and the body can be transformed from an oncogenic

body into an anti-cancer body.

Our research suggests that when purified and potent polysaccharide compound enters into the

blood stream, it will be quickly treated as foreign pathogen and swallowed by phagocytes.

Polysaccharide fragments will be decomposed by phagocytes into functional small molecules.

These small molecules of polysaccharides circulate through the body with blood or lymph cells

and will activate and strengthen the human body's protective mechanism by binding themselves

to various receptors on the surface of blood cells, lymphocytes and stem cells. There are

indications that they will also promote the release of the corresponding human interferon to

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achieve anti-cancer function.

Summary of Early Fundamental Test Results

To demonstrate the efficacy of ImGrandeur DG as a potential treatment for breast malignancies,

we present certain aspects of our test results as follows:

▪ ImGrandeur DG was administered orally (3.6mg/day using stomach tube feeding) or

by means of intraperitoneal injection (1.8mg/day) to normal and healthy ICR mice.

Immunomodulatory functions of these ICR mice have shown significant enhancement

irrespective of the feeding method.

o Granulocyte and monocyte in the blood stream of the ICR mice with

ImGrandeur DG have demonstrated an increase in both the ability and quantity

to digest invading microbes. The difference in comparison to the control group

was significant. (P<0.05).

o Within two weeks after administration, NK Killer cells cytotoxic activity

increased significantly in comparison to the control group. (P<0.5)

o Cytokine (tumor necrosis factor, interferon) in the blood steam had significant

increased when in comparison to the control group.

▪ Lewis lung carcinoma cells were implanted into C57BL/6JNar1 mice to create lung

cancer, ImGrandeur DG was administered orally (3.6 mg/day) or by means of

intraperitoneal injection (1.8mg/day) for 12 days. Result depicted below confirmed the

efficacy of ImGrandeur DG against cancerous cells growth.

o Tumor shrunk, and its weight was significantly reduced compared to that of the

control group. (P<0.5)

o Tumor inhibition rate in the case oral administration of ImGrandeur DG was

40.85%

o Tumor growth and spread to neighboring tissues were inhibited.

▪ A group of healthy mice administered with ImGrandeur DG of 3.6mg/day and another

group of healthy mice injected with ImGrandeur DG 1.8mg/day. Both groups of mice

remained healthy, no change in liver and kidney weight ratio and both groups acted

normally suggesting that ImGrandeur DG is safe.

Preliminary clinical trials performed in Taiwan indicate that the new drug is effective in the

treatment of a series of breast cancer. Pre-clinical studies, both in vitro and in vivo, have been

completed. No observable adverse effect levels were established. Toxicity tests have also

confirmed no toxic substances were present. A phase I clinical trial with 200 samples is

33 | P a g e

currently underway in Taiwan. For ImGrandeur DG to finally become a registered and

approved treatment, it will have to go through additional phases of clinical trials.

What Makes Immunotherapy a Promising Treatment for Liver Cancer?

Primary liver cancer is a cancer type at the forefront of immune-based cancer research. The

incidence and mortality of liver cancer in recent years have increased worldwide. In China, the

third cause-of-death survey showed that the liver cancer mortality increased by 68.41% in

males and by 48.39% in females compared with the data from the first survey, indicating the

importance of liver cancer prevention and treatment. Cancers of the liver often spread to other

organ systems, such as the breasts or lungs. Approximately 80% of liver cancers start in the

hepatocytes, a type of liver cells. Since the human body cannot survive without a functioning

liver, this cancer presents an urgent need for more effective immunotherapeutic treatments.7

Current immunotherapies for liver cancer focus primarily in the areas of checkpoint

inhibitors/immune modulators, monoclonal antibodies, adoptive cell transfer, and oncolytic

virus therapy. These treatments may serve to enhance cancer-fighting immune system

responses but may not always be available or viable for patients with a history of hepatitis

infection, as this type of immune system activity can damage normal, functioning liver cells.

In China and East Asia, hepatitis has been become endemic owing to alcohol abuse, raw

seafood consumption and general environmental conditions. It is therefore important that we

develop an immunotherapeutic treatment for liver cancer even when the patient has already

had liver damage or impaired liver function.

NS Biomedics' Impact on Liver Cancer

Apart from our study on the medical properties of β- Glucan, for more than 20 years, our

research team has also studied liver cancer, and the chronic inflammation resulting from

hepatitis B and hepatitis C viruses causing it, for more than 20 years. Our research on liver

related chronic diseases are based on triterpenoids extracted from Antrodia Cinnamomea and

its potential to (1) prevent or slow down liver cancer progression, and (2) mucosal-associated

invariant T (MAIT) immune cells' ability to target and eliminate liver cancer cells. Our research

work aims to discover new therapeutic targets for the treatment and prevention of liver cancer

through the reduction of inflammation caused by hepatitis.

7 (1)http://globocan.iarc.fr/old/factsheets/cancers/liver-news.asp

(2)Incidence and mortality of liver cancer in China,2010. Kuang-Rong Wei, Rong-Shou Zheng, Xiao-Biao Peng, SI-Wei

Zhang, Ming-Fang Ji, Zhi-Heng Liang, Zhi-Xiong Qu, and Wan-Qing Chen.

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Triterpenoids- Natural occurring novel cancer cytotoxicity

Antrodia camphorata (A. camphorata), also called A. cinnamomea, is a parasitic fungus that

grows only on the inner heartwood wall of Cinnamomum kanehirai Hay (Lauraceae). This kind

of heartwood is only available in Taiwan and nowhere else in the world. A. camphorata has

been used in traditional Chinese medicine over centuries for food, wine, and drug intoxication,

as well as hypertension, itching, and the improvement of liver and stomach immunity. Extracts

of A. camphorata exhibited a broad range of biological activities, and recent research has

focused on elucidating the pharmacological potential including anticancer, anti-

inflammatory/immunomodulatory, and hepatoprotective effects. The characteristic

constituents of A. camphorata are various benzenoids, terpenoids, benzoquinones, lignans, and

maleic/succinic acid derivatives aside from polysaccharides. Among these constituents,

triterpenoids are the major representative of phytoconstituents in the fruiting bodies of A.

camphorata.

Our research team has been able to isolate multiple types of triterpenoids from artificially

cultivated fruiting bodies. We can artificially cultivate Antrida Camphorata fruiting bodies

without using Cinnamomum kanehirai Hay (Lauraceae). The following table exemplifies some

of the triterpenoid compounds extracted from our proprietary process:

Triterpenoid Molecular Structure

S-antcin K

R-antcin K

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R-antcin H

S-antcin H

3β,15α-dihydroxylansosta-7,9(11),24-trene-

21-oic acid

Dehydrosulphurenic acid

Dehydrooeburicoic acid

Sulphurenic acid

Eburioic acid

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Among the triterpenoid compounds that we have isolated and extracted from Antrida

Camphorata, antcin (s) constitutes a major proportion of the total triterpenoid types isolated

from A.Camphorata. Extensive studies were made on the proliferation of human liver cancer

cell lines Huh7, HepG2, and Hep3B and the normal cell rat hepatocytes. Tests indicate that

these compounds could selectively inhibit the proliferation of tumor cells but not normal cells.

Treatment of Huh7 cells with these antcin(s) induced an apoptotic cell death, which was

characterized by the appearance of sub-G1 population, DNA fragmentation, TUNEL positive

cells, and caspase activation. These antcin(s) triggered the mitochondrial apoptotic pathway, as

indicated by an increase in the protein expression of Bax, Bak, and PUMA, as well as a decrease

in Bcl-(XL) and Bcl-2 and disruption of mitochondrial membrane potential and promotion of

mitochondrial cytochrome c release, as well as activation of caspases-2, -3, and -9. Mechanistic

studies showed that these antcin(s) induce mitochondrial translocation of cofilin. There is

evidence of the activation of the ROS-dependent cofilin- and Bax-triggered mitochondrial

pathway as a critical mechanism of antcin(s)-induced cell death in liver cancer cells.

The following pictures illustrate the effectiveness of triterpenoids in shrinking cancer cells.

Molecular targets of

triterpenoids

8[More information on Triterpenoid and Cancer cure]

8 (1)www.researchgate.net/publication/241690390Anti-

cancerpropertiesoftripenoidsioslatedfromganodermalucidum-areview

(2) Triterpenes as Potentially Cytotoxic Compounds, Malwina Chudzik, Llona Korzeonek-Szlacheta and

Wojciech Frol

(3)http://cancerpreventionresearch.aacrjournals.org/content/canprevres/early/2014/06/16/1940-

6207.CAPR-13-0430.full.pdf

Radiotherapy (After

three days)

Control Group Triterpenoid ( After

3 days)

Triterpenoid &

Radiotherapy

37 | P a g e

ImHepatocure AG

Our study indicates that the use of triterpenoids could bring positive remedies to liver

malignancies. However, for triterpenoids to become an effective treatment for liver malignancy,

the degree of purification and proper control of concentration are key. We can achieve >10%

concentration from Antrodia Camphorata fruit bodies cultivated artificially. Based on the basic

platform of triterpenoid compound, a potential treatment targeting liver malignancy are

formulated and tested in our research facilities. Initial project name is ImHepatocure AG.

Two step approaches to bring two novel treatments for Breast and

Liver Malignancies into Markets

Step One: Finalise and ascertain formulation of breast malignancy treatment

(ImGrandeur DG) and liver malignancy treatment (ImHepatocure AG)

We have identified two problems associated with today’s eco-system of cancer treatment. Apart

from high cost of cancer treatments, conventional treatment method also carries many

undesirable side effects, and patients would usually suffer major degradation of their quality of

life. Our solution to these problems are to (1) develop immunotherapeutic cancer treatments,

namely ImGrandeur DG and ImHepatocure AG, for the treatment of breast cancer and liver

cancer respectively at affordable cost to the patients; and (2) develop treatment regimens that

will have minimal undesirable side effects. We do not create new markets; instead, we

introduce our novel products as alternate choices to existing products in the market via existing

market channels. Therefore, we anticipate that our new products to be less costly, easier to use,

more effective with no major side effects for patients.

Our goal is to speedily obtain the approvals of the respective government regulatory authorities

and make these products available for patients – which process will utilize a blockchain

platform for maximum benefits. Rollout of our products is planned to be undertaken on

collective efforts - fast and easy penetration into the market by supporters who would want to

the positive experience of doing a good deed to humanity. “Love is not patronizing, and charity

isn’t about pity, it is about love. Charity and love are the same — with charity you give love,

so don’t just give money but reach out your hand instead.” – Mother Teresa

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Step Two: Obtain Regulatory Approvals

2.1 United States FDA Approvals for ImGrandeur DG

The principle hurdle that ImGrandeur DG, our novel cancer treatment for breast cancer, must

overcome is the FDA approval. The main consumer watchdog in this system is FDA's Center

for Drug Evaluation and Research (“CDER”). Drug companies seeking to sell a drug in the

United States must first test it for the intended use. The company then sends CDER the

evidence from these tests to prove the drug is safe and effective. A team of CDER physicians,

statisticians, chemists, pharmacologists, and other scientists reviews the company's data and

proposed labeling. If this review establishes that a drug's health benefits outweigh its known

risks, the drug is approved for sale. 9

FDA Accelerated Approvals

The FDA provides accelerated approval to promising therapies that treat a serious or life-

threatening condition and provide therapeutic benefit over available therapies. This approval

pathway is especially useful when the drug is meant to treat a disease whose treatment course

is long, and an extended period is needed to measure its effect. For example, instead of having

to wait to learn if a drug actually extends survival for cancer patients, the FDA may approve a

drug based on evidence that the drug shrinks tumors, because tumor shrinkage is

considered reasonably likely to predict a real clinical benefit. An approval based upon tumor

shrinkage can occur far sooner than waiting to learn whether patients lived longer.

Fast Track

For new drugs such as novel cancer treatment drugs, FDA provides a fast track which is a

process designed to facilitate the development and expedite the review of the novel drugs.10

ImGrandeur DG meets Fast Track Criteria

We believe that ImGrandeur DG meets all the criteria set for fast track designation and we plan

to initiate fast track request. Accordingly, FDA will review the request and decide within sixty

9 https://www.fda.gov/

10 www.fda.gov/Drugs/DevelopmentApprovalProcess/HowDrugsareDevelopedandApproved/default.htm

39 | P a g e

days whether to accept our request based on whether our application fills an unmet medical

need in a serious condition. We want to emphasize that the actual path from lab-validated

prototype to marketed product can vary much and is unpredictable. Therefore, this pathway

may change depending on many factors. We believe that our proposed approval path is realistic,

as illustrated by the simplified process shown below.

Simplified FDA approval path

FDA Action Plan Checklist

We anticipate the need for the following action points to obtain FDA approval for ImGrandeur

DG:

✓ collate a complete package of available clinical data

✓ collate lab test results of ImGrandeur DG

✓ collate and translate clinical trial report performed outside the US

✓ design clinical trial plan in collaboration with an authoritative US Institute

✓ safety features

✓ establish standardization of PCR procedure

✓ outline animal studies design

✓ establish reporting, labelling, management certification and other FDA control

compliance

Discovery /Concept Stage completed

(Imgradeur DG)

Novel Breast Cancer Drug

Preclinicial Research Stage completed

( Laboratory data will be collated and compiled according to FDA

requirements)

Clinical Reserach

Clinical trial will be repeated by collbarating with US institute

FDA Review

Data will be submitted to FDA and close communication maintained and followed through until appproval

FDA Post Market Safety Monitoring

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2.2 China Food and Drug Administration (CFDA) Approval

Similar in functions to the FDA, the CFDA is responsible for comprehensive supervision on

the safety management of food, health food and cosmetics. It is the competent authority of

drug regulation in China. CFDA regulation for new drug development is modeled on the U.S.

FDA’s development pathway. To conduct clinical trials, CFDA requires a clinical trial

application (“CTA”), similar to an FDA investigational new drug (“IND”) application. A three-

phase clinical evaluation program is required to demonstrate drug safety and efficacy.

Developers then submit a new drug application (“NDA”) for CFDA review, which includes

review by the agency’s Center for Drug Evaluation (“CDE”) and National Institutes of Food

and Drug Control (“NIFDC”).

Imported drugs account for the vast majority of drugs approved for marketing in China. To

market imported drugs, a developer must apply either for a category III import drug license

(“IDL”), or conduct a full development program in China (category I) and submit an NDA for

new drug approval. In choosing between these two routes, we need to consider the CTA review

time, as an approved CTA is required for both. Of key importance is also the expected timeline

for approval of drugs in the rest of the world. By definition, a category I drug must not have

been approved in any other country at the time of the NDA application.

Given the limitations of the category III IDL route, we will pursue the alternative, i.e. a category

I NDA based on a full development program in China. The category I NDA is the default

registration pathway for domestically-developed new drugs. The number of category I NDA

approvals is increasing, according to CFDA reports on annual drug registration. The timelines

for review look promising as more than 70% were reviewed in eight months or less.

Given that our novel liver malignancy treatment (ImHepatocure AG) is aimed mainly at the

China market, our strategy for pursing a faster approval process by the CFDA is to

simultaneously conduct an international, multi-centre trial globally, and a category I

development program in China. If implemented successfully, the reward will be an earlier

introduction in China, which potentially could be several years ahead of the alternate route.

To qualify ImHepatocure AG as a domestic drug eligible for category I registration, we plan to

conduct appropriate toxicology studies and chemistry, manufacturing, and control development

in China. This would mean that we could use most of our works done in Taiwan and may not

have to repeat certain work that has already been done. We will make a commitment to CFDA

to use China as the global base for such development. Like similar process adopted by the FDA,

Category I registration would require Phase I, II and III clinical trials to demonstrate safety and

41 | P a g e

efficacy for the CFDA submission and review. Following this path, ImHepatocure AG will

be designated as a domestic drug, and Phase I studies can be conducted in China (local first-

in-man studies are not permitted under category III). Through our experience in distributing

our dietary supplements to China, we have already built up a network of distributors which

include hospitals, provincial pharmaceutical products distributors and direct sales channels. We

have ample working experience with the CFDA and we expect to successfully implement an

approval program for ImHepatocure AG, which will lead to the successful approval of

ImHepatocure AG in a reasonable time frame. 11

11 www.sda.gov.cn/WS01/CL0412/

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NS Biomedics Action Plan

Current research and development activities

Upon the completion of STDE, current research and development activities will continue.

Research teams currently under the supervision of experienced researchers will collate

appropriate research reports and laboratory trials data to prepare for the approval process.

Additional research scientist will be recruited to carry on the development efforts of

ImGrandeur DG and ImHepatocure AG. In order to prepare for clinical trials and FDA approval

cycle, ImGrandeur DG approval office will be set up and based in California. This office shall

coordinate all the necessary work required for applying FDA approval.

Meanwhile, ImHepatocure AG office will be set up in Beijing to be close to CFDA. This office

will coordinate with Chinese domestic drug manufacturers on the filing of category 1

registration with CFDA. These domestic drug manufacturers will serve as our manufacturing

partners during the approval process and after approval is granted. Different phases of clinical

trial will be carried out in association with hospitals which we have already established

relationships through marketing of our current dietary products.

Cancer research facilities in Zhuhai China

An additional research facility will be set up in the Guangdong-Macao Traditional Chinese

Medicine Science & Technology Industrial Park in the Henqin district of Zhuhai. This facility

will be an immunotherapy research institute focusing on research and development of

innovative biologics for the treatment of human malignancies and auto-immune disorders. It

will undertake core research on the application of polysaccharide compound for the treatment

of other types of cancer including colon cancer and leukemia. Initial studies have already

yielded positive results and our immediate plan will be to develop relevant novel treatments

for these two types of cancer. This facility will be headed up by Dr. Sherman Fung, who is a

molecular biologist and a Ph.D. from Oxford University with thirty years of experience in

biotechnology. Research scientist will be recruited from both Taiwan and mainland China. We

anticipate recruiting about ten researchers with additional staff as and when necessary.

What happens during Approval Process?

Applications for approval for ImGrandeur DG and ImHepatocure AG are expected to be a

lengthy process. Both novel drugs may not be marketed as cancer treatment drugs during this

period. However, we still wish to help cancer patients to fight against breast cancer and liver

43 | P a g e

cancer using the treatment methods that we have developed. During this period, these

ingredients will be marketed as alternative supplemental. We hope that the effectiveness shown

by these supplements will help to build up confidence on them as drugs.

What happens after approvals are granted?

Once one or more approval is granted, global marketing strategy with local adaption will be

implemented to target consumers via their preferred channels in their respective markets. NS

Biomedics will use a centralized website acting as an interface to different resources available

on our blockchain expert system. As necessary, this system will evolve differently in various

markets, with the help of our local partners, to ensure fast market penetration. We expect to

devote a significant amount of resources for brand building and consumer education to increase

awareness on our novel immunotherapeutic cancer products. Our marketing emphasis will be

the benefits of our treatments in extending lifecycle and quality of life for our patients. By

utilizing content marketing via videos, live streams, user groups, and social media, we aim at

reaching medical professionals according to their demographics and preferred media channel

online and offline, considering different demographics and regional preferences.

Performance Marketing

▪ product advertisement and paid campaigns

▪ social media advertising

▪ medical websites and product listing

▪ affiliation in more developed markets (countries)

Content Marketing

▪ brand building and brand positioning

▪ effective treatment with no undesirable side effects

▪ novel new immunotherapeutic cancer treatment

▪ artificial intelligence patient information system

Creating awareness

▪ content marketing in different audience groups

▪ social media and paid campaigns

▪ visual content via video and images

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▪ offline campaigns with professional magazines, journals to reach professional and

target patient demographics

▪ collaboration with government bodies and hospitals on trials and charitable programs

Creating product confidence

▪ content marketing with videos, stories and images

▪ educational and informative seminars and focus groups to improve brand perception

and confidence

▪ easy to subscribe and to interact with our brands

▪ strong value proposition and with a clear brand positioning

▪ clear understanding of the audience group we want to reach

Invest in data analytics

▪ measuring the results of all our marketing activities- online and offline

▪ deploying big data approach with a strong testing culture

▪ cascade of KPI’s for each marketing and sales channel and across department

▪ analysing our user data to improve ease of use, dosage and make improvements

Brief estimation of Breast and Liver Cancer Therapeutic Market Size

Breast Cancer drug market

Breast Cancer Therapeutics Market size was valued over USD13 billion in 2016 and is

expected to grow more than 9% compounded annual growth from 2017 to 2024 according to

market research. 12 Geographically, breast cancer drugs market is segregated into North

America, Europe, Asia Pacific, Latin America, and Middle East & Africa. As of 2014, North

America held the largest market share owing to significant growth factors including increasing

incidences of breast cancer, rising female geriatric population base, and rising government

welfare initiatives. Asia Pacific is expected to be the fastest growing market over the next seven

years owing to propelling growth factors such as rising investments by market competitors,

increasing disposable income, rising awareness of the early signs of breast cancer and

improving healthcare infrastructure. Increasing inclination towards immunotherapy and

targeted therapies is expected to drive the growth of breast cancer drugs market. New market

entrants are anticipated to play an important role in providing growth potential to breast cancer

12 www.mordorintelligence.com/indutry-reports/breast-cancer-therapeutics-market

45 | P a g e

drugs market in the coming years.

Current breast cancer drug market is dominated by Roche's Avastin (global sales US$6.7

billion), Herceptin (global sales US$6.5 billion) and Xeloda (global sales US$1.6 billion);

Novartis’s Afinitor (global sales US$1.3 Billion); and AstraZeneca’s Zoladex (global sales

US$1 billion) (Notes: Estimated sales figures obtained from multiple sources). To establish a

position in the current market, we are planning to introduce our novel immunotherapeutic

breast malignancy products at comparatively affordable prices. We are optimistic about our

growth in market share due to our competitive pricing, and also the overall market size

expansion as more patients will be able to afford our product offerings. We expect our novel

breast cancer drug to reach global sales of US$1 billion to US1.5 Billion in a relatively short

period after FDA approval. This will translate into the saving or extension of life for 125,000

to 187,500 patients annually.

Liver Cancer

Liver cancer is among the top three cancers occurring in Asia. In 2012, there were 430,690

cases of liver cancer with mortality reaching 407,700. However, there were only 24,168 cases

of liver cancer in North America and 42,814 cases in Europe. The relatively low occurrence of

liver cancer in North America and Europe has indirectly contributed to the lack of target

treatment solutions and also the relatively high mortality rate. Because of the high occurrence

of liver cancer worldwide, lack of target treatment options and the high treatment cost, NS

Biomedics has set a high priority in the development of novel hepatocellular carcinoma

treatment based on the use of triterpenoids extracted from Antrodia Camphorata. By gaining

China’s CFDA approval, our new drug, ImHepatocure AG, will bring about an entirely new

therapeutic treatment approach to cancer patients in China and Asia, and establish a higher

standard of care as its immunotherapeutic properties can effectively address both problems of

toxicity and undesirable side effect.

China's drug market was worth an estimated US$114 billion in 2016, about 20% more than that

of Japan, and with rising income fueling the demand for new medications, the market could

approach US$168 billion by 2021, according to a forecast by market research firm

QuintilesIMS. China's demand for liver cancer treatment drugs has also grown at a fast pace.

Nexavar (manufactured by Bayer AG), a liver cancer treatment drug that is commonly

prescribed in the United States, is the only foreign cancer treatment drug approved so far. It is

priced at ¥25,192 (US$3,795) for 60 tablets (200 mg each) in China—comparable to its US

price, despite China’s lower income levels. As a result, physicians in China tend to use less

expensive agents initially and offer Nexavar as a second-line treatment only if the patient can

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afford it. ImHepatocure AG will be priced competitively together with a patient assistance

program. Our objective is to capture a sizable market aiming to reach US$ one billion in sales

as soon as possible after approval of the drug by CFDA. Meeting such as objective will imply

the saving or extension of life for roughly 125,000 patients in China.

Projected ImGrandeur DG and ImHepatocure AG sales after approval

It is worth stressing

that approval of

ImGrandeur DG and

ImHepatocure AG

could take time.

Although we plan to

follow fast track

process to gain

expeditious approvals,

there could be

unforeseen

circumstances arising

that would cause delay

to the approval process. We have therefore conservatively assumed that the approval processes

would take from three to five years. Should the drugs be approved timely as planned, we believe

sales could pick up rapidly with aggressive marketing and affordable pricing policies. We

expect the pricing of our products to be more affordable than breast cancer and liver cancer

drugs currently on the market. To make our products as quickly available to the public as

possible, we will strive to have these products adopted and supported under drug programs

sponsored by governments and insurance companies. The following chart provides a rough

estimate of our projected revenue targets for the first three years from the time the drugs are

approved. From the perspective of saving life and extending life, we estimate a patient pool

between 315,000 to as many as one million receiving affordable treatments annually in the first

three years after approval of the drugs.

ImGrandeur DG

ImHepatocure AGAggegate Sales Targets

0

2

4

BeforeApproval

Year OneYear Two Year

Three

0 0.5 1 1.50 0.5 1 1.50

12

3

Bill

ion

USD

Timing after drugs approval

Projected Sales Targets for ImGradeur DG and ImHepatocure AG after

approvals

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Shennong Blockchain Expert System is another important element in

realizing our dream

Concepts

Current practices in the pharmaceutical industry generally suffer from the lack of an end-to-

end solution that provides visibility and traceability. The monitoring and tracking systems in

place are often seen as ineffective. As part of our overall strategy, we plan to build an expert

supply chain based on blockchain technology that would raise patients’ trust of the quality of

our products and their awareness of counterfeit products and provide real time information on

the development of novel cancer treatments drugs. Our solutions will help build an ecosystem

for the health and medical industry to acquire the visibility and traceability needed to maintain

compliance with upcoming global regulations while incentivizing all stakeholders of the

industry to become trusted participants of the blockchain. Our solutions will create new

revenue streams, lower costs and provide secure and simple access to all client and patient data.

We expect our ecosystem to enhance the development of new drugs, manage transparency of

clinical trials, revolutionize drug supply chain and optimise patient treatment outcomes.

Quality goods through supply chain integrity

Quality assurance is an essential practice and requirement in manufacturing of pharmaceutical

products. Since the quality of consumed products is crucial for the end-users, it is the obligation

of NS Biomedics to secure the integrity of our pharmaceutical supply chains

Anti-counterfeit measures

Counterfeit medicine is fake medicine. It may be contaminated or contain wrong ingredients

or no active ingredient at all. Previously, it has become very difficult to track drug counterfeits

due to several reasons. One is inadequate tracking system of regulatory agencies. These

systems are expensive yet often have poor monitoring performance and weak transparency

because they rely on communication primarily furnished by pharmaceutical providers. To

tackle this issue, anti-counterfeit technology based on RFID technology will be embedded in

our block chain.

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End-to-End Tracking

End-to-end information tracking will be the key to managing our proposed supply chain expert

system. Without an end-to-end solution that provides the visibility and traceability within a

pharmaceutical supply chain, much financial resources would have gone to securing the

integrity of the value chain. Our aim is to register proof of process, proof of storage conditions,

and perform analysis of the supply chain environment and to ensure traceability of products.

Multiple blockchain-based technologies will be used to ensure the integrity of our supply chain.

The core value proposition of assuring quality, safety and transparency of the pharmaceutical

chain will be built using Shennong core protocol and its software layer connected to the

hardware system through Shennong API. The technology articulated around the SENO serves

as a medium of exchange for our distributors/sellers, users, investors, authorities, hospitals,

doctors and partners. A unified supply chain management software will be developed and

offered to all active blockchain users, to provide relevant information about products, quality,

location and security.

Shennong Block Chain Expert System

The aim of SBES is to build up trust over the quality of our pharmaceutical and supplemental

products, traceability, patient safety and regulatory compliance within the pharmaceutical

supply chain. By offering software management and other instruments, we expect SBES to

significantly reduce the costs of safety assurance of the supply chain and provide top level

effectiveness. The scope of possible applications seems limitless, including the following

which are on our drawing board:

▪ Dashboard. We aim to develop a dashboard for supply chain management system

which will permit users to get a complete overview of orders, contracts on offer and

contracts entered. This solution provides trend analysis for inventory at a market level

and with a multi-dimensional drilldown. Moreover, the dashboard brings a dynamic

overview of delivery status and quality parameters as well as time inventory tracking

and tracing for controlled drugs. Allowing for smooth management of contract

execution process, our platform incentivizes customers to share information and build

more transparent contractual relationships. This platform will be compatible with multi-

currency (crypto- and fiat) wallets. Furthermore, the range of the platform’s

functionalities will encompass drawing invoices and conversion of data into legacy

systems.

▪ Med Analysis App. This app will function as an information display and a scanner for

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products. By giving access to meaningful, real time data, the med app enables

distributors, doctors, clinics and hospitals to manage their records more efficiently.

▪ Patient Apps. This app will function as a patient treatment feedback system. As soon

as the patient starts treatment using our products, the app will identify the product

through the RFID embedded into the product package. By scanning the QR code on the

package, the patient will automatically be asked to open an account on our system

which will provide information relating to the patient, doctor and hospital. The app will

inform the patient whether the package of product opened is genuine or fake. The app

will also provide information on how to use the product and will have an alert system

reminding the patient to take the product according to the best treatment schedule. A

patient survey based on AI technology will be used to conduct a brief survey on key

medical conditions which will be collected and recorded on a secured database. This

information will be shared with hospitals and treating oncologists/doctors will have real

time information on the treatment progress and results.

▪ Clinical Trial Management. The clinical trial management system is designed to

ensure data reproducibility, data sharing, and personal data privacy in connection with

patient enrolment in clinical trials. The blinding protocol (as being used in clinical

trials), including patient data, is created in an open but encrypted form, unavailable to

the researchers. Data acquired from the researchers are also entered into the block and

the unbinding procedure is performed without any human factor involved, and with no

possibility of result distortion or alteration on either side. Blockchain technology

provides the highest level of protection on data privacy.

▪ Electronic Medical Record. Electronic medical record collection over the blockchain

will eliminate or vastly reduce mishandling of patient records. It secures data and works

on a decentralized control mechanism that nobody no one exclusively owns.

Additionally, the blockchain links access to the patient’s medical records across their

doctors’ databases. Functioning as an interface for and among health records, it has

the potential to include multiple sources of data on a unified platform providing cross

referencing. NS Biomedics will provide to all market players working on cancer a

fundamentally new way to access and interact with the clinical trial data collection and

storage environment.

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Shennong Block Chain Expert System Technical implementation

Description

The SBES platform is designed to collect, store and analyse information on pre-existing and

new methods of cancer treatment worldwide. Our goal is to develop a permissioned high-

performance enterprise blockchain with built-in artificial intelligence for governance, analysis

and forward prediction, smart contract compatibility, self-sustainability and parallel processing

to achieve very high volume of transactions. The data is stored in the blockchain and is

available to all system users who have been granted access to the SBES. The user can get access

to different levels and various types of data, depending on (a) the user’s role in the system; (b)

his direct relation to the data.

We will use the SBES platform to collect and store evidentiary information from clinical trials

of our products from the very beginning of the development stage.

Designated user roles under SBES

Shennong’s primary users and their roles are:

▪ Researcher

When developing or modifying a biotechnological product, the researcher shall maintain a

“researcher's journal,” encrypted with his personal key. At the discretion of the researcher,

the data can be disclosed in whole or in part to either one or more other researchers (co-

researchers) or any other member(s) of SBES.

▪ Patient

The patient will have full access to his encrypted personal data with a personal key, which

includes access via a mobile application. The patient may purchase SENO and use them to

pay for drugs or supplements (or other services offered to private individuals by the

ecosystem members).

▪ FDA, CFDA and regulatory agencies in other relevant countries

These agencies will review and process applications for clinical trials, monitor results

during the research process and conduct post-trial monitoring, as well as perform other

supervisory and regulatory functions regarding new technologies.

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▪ Record keeper

The record keeper will issue, extend or terminate a license to use the technology (drug or

medical device) in certain jurisdictions.

▪ CRO (Monitor)

The contract research organization will coordinate clinical trials, approve research

protocols in the various stages of clinical trials and monitor data collection and analysis

procedures for various clinical trials.

▪ Ourselves being a generic pharmaceutical company

We will have access to data from clinical trials being performed, and to patient data

exclusive of personal information. We may have opportunities to select patients of interest

without revealing their personal information and invite them to participate in research -

such information will be received by all patients. Each patient may decide whether to

participate in the research and choose the level of disclosure of private information.

▪ Hospitals

Hospitals will interact with the system by entering data from patients undergoing clinical

trials and prepare sample blinding protocols. Historical data analysis module forms a

confirmed rating of treatment facilities for statistics on certain diseases and the

effectiveness of their treatment.

▪ Doctor/Oncologist

Doctors and oncologists will enter patient data and other information; the historical data

analysis module also lays down doctors’ statistical ratings based on the results of the

accumulated statistical review.

▪ Expert Advisers

Expert advisers will conduct an evaluation of the results submitted by the researchers for

further report to the regulators.

▪ Big Data

We will have access to the accumulated information files via the open API interface with

functionality necessary to analyse the available data. To analyze such a large volume of

data, big data analytics will be performed using specialized software tools and applications

for predictive analytics, data mining, text mining, forecasting and data optimization.

These processes are separate, but collectively they constitute highly integrated functions of

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high-performance analytics. Using big data tools and software, we will be able to process

an extremely large volume of data collected by the blockchain system to determine which

data is relevant and can be further analyzed to determine the effectiveness of our products,

directions in research, and to drive better business decisions in the future.

System modules

To satisfy the design requirements described above, we will build and implement a system of

several independent modules. Each module ensures that only authorized entities may interact

with each other in a secured manner. The core module of the system is Shennong Blockchain

Network (“SBN”). The nodes of the network are only authorized to interact with each other

within the network. Interaction with the network itself is constrained and regulated by

authorized interconnections with:

AI Key Management Service (“KMS”)

The KMS generates private/public key pairs using artificial intelligence technology employed

by the blockchain network.

HIPAA compliant Data Base Service (“HIPAA-DBS”)

HIPAA compliant standard is used to protect health data created, received, maintained or

transmitted electronically, also known as electronic protected health information (“ePHI”).

Following are key features:

▪ Physical safeguards include limited facility access and control, with authorized

access in place. Such access control covers transferring, removing, disposing and

re-using electronic media and ePHI.

▪ Technical safeguards require access control to allow only authorized persons to

access ePHI. Access control includes using unique user IDs, an emergency

access procedure, automatic log off and encryption and decryption. Audit reports,

or tracking logs, will be implemented to keep records of activity on hardware and

software.

▪ Technical policies include integrity controls, meaning measures put in place to

confirm that ePHI has not been altered or destroyed, and IT disaster recovery and

off-site backup measures, set up to ensure that any electronic media errors or

failures can be quickly remedied, and patient health information will remain intact

and recoverable.

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▪ Network, or transmission, security to protect against unauthorized public access

of ePHI.

User Request Service (“URS”).

The URS API acts as a public facing service for requests from third-parties, and as an interface

to the core SBN. For every registered user, there is only one smart contract in the blockchain

which the user is authorized to directly connect to. This contract contains the permissions which

regulate data access rights. All interactions with SBES and third-parties are only established

by submitting transactions. The transactions are signed by a public key of a user. All

transactions are received by the URS service, which authorizes the qualified user by matching

the signature to a public key stored in the system. The URS service includes a load-balancer,

which forwards the requests to a node in the blockchain network. The node then submits the

transaction to the relevant user’s smart contract. Received request is executed and if it is

permissioned, the transaction is stored in the next block.

Shennong blockchain integration scheme

URS Shennong Block Chain

Backbone

KMS

Database(ePHI)

User

s

ERP

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Big Data and Artificial Intelligence applications

Once implemented, the SBES solution will provide access to a huge data cluster for various

market players around the world. Each patient’s information will be stored in an encrypted

format, but the system software will allow any participant to disclose his personal information

to any of the ecosystem members’ authorised participants. Since this is recorded on the

blockchain, the patient will be able to see each request occurring at any moment. He may also

easily opt out at any time, making the data anonymous and aggregated. Further on we plan to

work with big data and AI (artificial intelligence) systems development teams to improve the

statistical analysis capabilities of the system for more efficient use of the information stored in

the ecosystem. The revolutionary use of such technologies will allow us to uncover patterns

and trends in greater details, which will have a positive influence on the resolution of cancer

issues worldwide.

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Project Financial Forecast and Capital Needs

How much it really cost to bring a drug to market? The question is central to the debate over

rising health care costs and appropriate drug pricing. For years, the standard figure suggested

by researchers at the Tufts Center for the Study of Drug Development is US$2.7 billion, in

2017 dollars, for a new drug. A recent report published in the JAMA Internal Medicine has put

the figure to be around US$650 million. A major part of the estimated cost is made up of

research and development costs, and the cost of failed products. Since the companies were also

developing other drugs that did not receive approval from the FDA, the researchers included

the companies’ total spending on research and development, not just what they spent on the

drugs that succeeded. (JAMA Intern Med. 2017)

Our estimate of bringing our novel cancer drugs into the market is far less. This is because we

have amortized most of the R&D costs from our current products. We also have much lower

overheads than the large pharmaceutical companies. With these factors in mind, we have

estimated the overall projected cost for various initiatives involved in the project as follows:

Project Financial Forecast

Initiatives US$ million

Regulatory approval by FDA 30

Regulatory approval by CFDA 20

Development and implementation of the Shennong ECO system 10

New facilities including new cancer research institute 5

Research and development 10

Operational expenses 10

Marketing and sales 10

Total estimated cost 95

We need your support

NS Biomedics plans to develop a new generation of cancer immunotherapy drugs. The first

two being (1) ImGrandeur DG for breast cancer patients in Europe and North America; and (2)

ImHepatocure AG for liver cancer patients in China and Asia. The current ecosystem for cancer

cure is seen by many as inadequate both from a competition and product choice standpoint. We

hope to break this open by using the collective power of the public to launch these new drugs,

by pricing the new drugs at affordable prices for most of cancer patients. To achieve these goals,

we have chosen to share our vision with our supporters. We plan to use the funds raised by the

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SENO Token Distribution Event to complete all necessary R&D work required for the

registration and approvals for medicinal use of ImGrandeur DG and ImHepatocure AG from

the FDA and CFDA, respectively. We will also supplement our capital need by seeking

government grants, private grants and private investments to grow our product lines. On behalf

of the vast number of cancer patients, some of whom could be your friends and family, we ask

for your support.

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SENO -cryptocurrency for Health Care

Goal and description

SENO is an open source cryptographic token designed as a crypto-currency intended to be used

as (1) payment by members for all services and processing fees on the SBES platform; (2) one

of the payment methods for ImGrandeur DG and ImHepatocure AG after their market launch;

and (3) one of the payment methods for our full line of supplements currently available. We

envision that SENO will become an accounting unit in all economic transactions of the SBES

platform and will serve as a basis for interaction with other market players and clinical trials,

including other pharmaceutical companies who wish to cooperate with us.

SENO is a specific instance of crypto currency. It can be subdivided into fractions and is

resistant to inflation in the long run. SENO may be used to exchange for supplements produced

by NS Biomedics at any time after the STDE. We have initially determined that a batch of 400

SENO may be used to exchange for a standard package of GG Grandimmue (600mg, 60

capsules). When and if ImGrandeur DG and ImHepatocure AG are approved and registered by

FDA and CFDA, the same amount of SENO could be used to exchange for either of these two

immunotherapeutic treatments as drugs. We expect that the two immunotherapeutic treatments

as drugs will likely remain affordable to most patients but would possibly be priced in reference

to other similar products then on the market. Non-SENO holders at that time might have to

obtain SENO from holders thereof.

The use of SENO

1. SENO will be used to pay for various charges for system interactions on the SBES

platform (e.g., data entry, obtaining access to research results, etc.) by all its members.

2. We envision SENO will be used by cancer patients to pay for our cancer treatment drugs

around the world. The results of the treatment will be provided to patients through the

platform and in the personal account section of the website or in the mobile application.

Patients will be able to obtain access to their personal data, including medical history and

clinical data on their treatment, and to participate in new research conducted by

pharmaceutical companies.

3. Sponsors may use SENO to fund clinical trials of the latest cancer treatment technologies

and techniques. Funding recovery is determined by smart contract terms.

4. The investigator could also receive payment in SENO

5. CROs, experts and hospitals are encouraged to receive payment in SENO for rendering

services.

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6. We intend to promote SENO as an actual currency of choice for pharmaceutical

companies, enabling them to make payments in SENO for their own research (when acting

as the investigator), for using research results (to the investigator and hospitals for

accessing patient data).

7. Holders of SENO will be able to use it as an actual currency of choice to acquire our full

line of supplements before, during and after the release of ImGrandeur DG and

ImHepatocure AG as drugs.

SENO will also have other broad and useful applications:

All clinical trial participants (patients) will be invited to participate in SENO VIP

rewards program. Such participants will have priority in obtaining ImGrandeur DG and

ImHepatocure AG when they are approved as drugs.

We believe that the use of SENO for commercial purposes will become possible in as

little as a few months after the completion of our SBES.

NS Biomedics shall supply packaged solutions payment on the company’s site for other

pharmaceutical companies, hospitals, drugstores, distributors and patients.

Upon obtaining authorization to market the two cancer treatments under development

as drugs, one of our main objectives will be to come up with a way to introduce the

SENO into the pharmaceutical sector, where this crypto-currency can be used to pay

for these novel cancer drugs, and also future potential release of additional novel cancer

treatments drugs for colon, leukaemia, etc.

Most important of all, SENO supporters who buy SENO at presale or during the initial

STDE period will be entitled to join the SENO VIP program, giving them a priority to

redeem ImGrandeur DG and ImHepatocure AG upon their approval as drugs.

ImGrandeur DG and ImHepatocure AG will be priced at an affordable level then but

likely to be much higher than the products sold as supplements. SENO holders would

thus be rewarded for their early-stage support to bring the new drugs to the market.

Non-SENO holder at the time could probably obtain SENO Tokens from the early

supporters but might have to pay a higher price.

In the development process of SBES, additional ways of SENO usage and token holders’

rewards will likely be established. We encourage all token holders to send us their suggestions

to info@nsbiomedics.com, an email address that will become active immediately after the

STDE and help us adopt the best practices for our Token Rewards Program.

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Choosing standards of tokens

The issuance of SENO will be implemented on the public blockchain Ethereum as standard

ERC20. (https://github.com/ethereum/EIPs/issues/20) The Ethereum blockchain is currently

the standard for issuing digital assets and smart contracts. ERC20 token interface allows the

deployment of a standard token that is compatible with the existing infrastructure of the

Ethereum ecosystem, including development tools, wallets and exchangers. The ability of

Ethereum to deploy Turing complete smart contracts without a guarantor intermediary supports

the implementation of complex issues of crypto-currency, digital financial contracts and

automated incentive structures. Ethereum with its advanced capabilities and an active

ecosystem is ideal for creating SENO.

Issuing SENO

The total number SENO that may be issued is 1 billion. This is to accommodate the estimated

potential sales forecast of ImGrandeur DG and ImHepatocure AG assuming they could

successfully complete their registration and approval processes. The offer of SENO will first

be in the form of a pre-selling period followed by the main selling period.. Attractive incentives

are offered to “early birds” during the pre-selling and main selling period according to the terms

published at http://nsbiomedics.com/How to Participate in SENO Presales.pdf.

Upon completion of the pre-sale period, we will commence the STDE. More details of the

date and terms of these token offer tranches are available on our website

http://nsbiodmedics.com. During these offerings, our supporters will have the opportunity to

purchase SENO by sending Ether (ETH) in the blockchain to the address of the created smart

contract, details of which are published at http://nsbiomedics.com/How to purchase SENO.

Please note that NS Biomedics has no plan to work with third parties on the reselling of SENO,

SENO may be transferred among token holders and to other intended SBES users. The SENO

acquisition interface will integrate a third-party conversion application for users who do not

have ETH.

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SENO Distribution model

Out of the total volume of 1,000,000,000 (one billion) SENO that may be issued, NS Biomedics

will sell and distribute 50% (i.e. 500,000,000 tokens) to the public at various stages over the

next five years. NS Biomedics will retain 24% of the total (240,000,000 tokens) as

contingency. Part of the retained tokens will be used as incentives to management and staff

members. The remaining 25% of the tokens will be reserved for entering mutually beneficial

deals with potential partners such as hospitals, doctors, cancer research institutes,

pharmaceutical companies and their patients and customers.

1%

24%

25%

50%

SENO Token Distribution Chart

To cover token sale

Retained by NS Biomedics

Reserved to incentivize theecosystem

Distributed during TDE

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Distribution of SENO Sale proceeds (Project budget)

The proceeds from token sales will be allocated to different areas of operations according to

project forecast:

According to our operational budget, 49% of the proceeds raised from the implementation of

different stages of SENO sale will be allocated to conducting full-fledged clinical trials of

ImGrandeur AG and ImHepatocure AG under the respective supervision of the FDA and CFDA.

We expect this amount will be sufficient to cover the costs for passing all phases of clinical

trials and working with the regulators. The balance of the funds raised will be spent on the

development of the SBES (roughly 13%), R&D on new drugs (roughly 15%), and the

establishment of a network of laboratories/offices for marketing purposes in the U.S. and

mainland China (roughly 18%). The exact allocation of funds for these various purposes will

be further adjusted on the basis of the regulatory strategies chosen as a result of interaction

with regulators. We have plans at a later stage to obtain European Medicine Agency (EMA)

approval for ImGrandeur DG, and regulatory approval of additional Asian countries for

ImHepatocure AG to address other global markets.

49%

13%

15%

18%

5%

SENO Project Budget

Approval of Drugs

Development and implementationof Shennong Eco System

R&D on new drugs

Marketing Operations

Legal support costs

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SENO Value Proposition

Three stages of usage are envisaged for SENO with different value propositions:

Stage One

Zero through the first 18 months

Immediately after its issuance, SENO can be used immediately to redeem our current product

line of immunotherapeutic dietary supplements. To encourage the use of SENO, the redemption

ratio of SENO is fixed without regard to the market value or price of the products. Whilst the

list price of our products may change due to inflation or demand, the same amount of SENO

can always be used to redeem the same amount of the products.

Dietary Supplements No. of SENO Token

GG Grandimmune 400

GG Livimmune 200

GG Heartimmune 200

GG Diahealth 150

Hence with the nominal value of the SENO set at US$1, the intrinsic value of the SENO is

always equivalent to the products it can be exchanged for. Early bird supporters would have an

even higher value appreciation because of the discounts being offered in subscription of the

token in early bird and pre-sale programs.

Stage Two

Month 18 to 24

Immediately after the STDE, a dedicated team will be set up to develop the SBES. We expect

the system development time to take from 18 to 24 months and different components of the

system will be launched in different stages. NS Biomedics together with all its affiliated

companies, distributors, hospitals, doctors and customers will be the first users of the system.

Geographically, the system will cover users in Greater China, East Asia, U.K. and Australia.

SENO will be widely used to purchase our products and services. The system and its services

will be offered to other pharmaceutical companies, hospitals, doctors, clinics, distributors,

chain stores, and customers. We expect the demand for SENO and the token’s market value to

continually surge as more and more system users join and use the services. At this initial period,

we estimate new issue of SENO will have a nominal value of US$2.5.

Stage Three

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Month 24 to 36

The approval process for ImGrandeur DG and ImHepatocure AG is estimated to be between

24 and 36 months. Even though we are aiming for the fast track approach, we are taking a more

conservative stance in estimating the approval times. Our aim is to obtain approval as early as

possible so that more lives can be extended and saved. When ImGrandeur DG and

ImHepatocure AG are released, SENO will be the medium for purchase. There will be

substantial difference in price between using SENO and using fiat currency. Based on current

information, we anticipate that (1) new release of SENO after the passage of phase 1 of clinical

trial will have a nominal value of US$5.0; and (2) new release of SENO after the passage of

Phase 2 of clinical trial and thereafter will have a nominal value of US$10.0. Upon approval

as drugs and market release, we estimate new issue of SENO will have a nominal value of

US$25.0.

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Shennong Token Burn Model

All SENO Token which have been used to redeem supplement products or any future novel

cancer drugs after their clearance by the respective regulators will be burnt.

SENO VIP Supporter Program

Any early bird supporter who has acquired a total of 40,000 SENO or multiple thereof during

pre-sale periods will be eligible to become a member of the SENO VIP Supporter program,

with the following perquisites.

1. VIP Supporter program members can enjoy token bonus schemes to be announced

prior to the start of pre-sale. 2. If the batch of tokens purchased is held until the next token issue, a VIP Supporter can

enjoy the same discount for the same amount of purchase as that of the first purchase. 3. VIP Supporters will have first right of purchase of ImGrandeur DG and/or

ImHepatocure AG when they are approved as drug for market release.

SENO Royal Supporter Rewards Program

In appreciation for the support of our most loyal supporters, we will implement a SENO Royal

Supporter Reward Program, which is the highest tier of SENO Reward programs. To be eligible

for this program, you would need to hold an average balance of SENO equal to or exceeding

500,000 SENO. Royal supporters will enjoy all the benefits of the VIP Supporter program. A

non-public forum shall be created for our royal supporters (1) to keep them abreast of our

product development; (2) to keep them informed of the status of the development of

ImGrandeur DG and ImHepatocure DG; and (3) to allow them to share business ideas with

senior executives of NS Biomedics.

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Five Years Roadmap and Milestones

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Executive Team

Marvin Ng, Studied(MSc Finance) distance learning at Leicester University(UK)

and Institute of Chartered Accountant of America.

Chief Executive Officer

Mr Ng is the founder of NS Biomedics Ltd. He is also the founder of

Sense Capital Ltd. Mr. Ng has over 30 years of experience in the

finance industry specialising in merger and acquisition, capital

restructuring, syndication and public listing. Mr. Ng gave up a

lucrative career in finance and entered the immunotherapy area

believing that he can make meaningful change to the industry as well

as saving lives

Keith Cheung, Dip. Finance (CUHK), BSc. Eng. (HKU), MSc. Eng. (HKU), MIET(UK),

Chartered Engineer (UK)

Chief Operating Officer

Mr Cheung was director and CEO of public listed company for many years and has over forty

years of entrepreneurial experience in running major information technology companies and

beverage/packaging conglomerates.

KM Yim, FHKIM (life), MSc. (Marketing), CPM(Asia)

Chief Marketing Officer

Mr. Yim is the founder and president of Writ4u.hk, the chair of Biz Owners

Group, Executives’ Global Net, Partner of CSG Consultancy; and a part-

time lecturer in Chinese University of Hong Kong. He has over thirty years

of experience in the advertising industry.

Michael Ha, LLB Hons. (HKU)

Legal Advisor

Mr. Ha is the one of the founders of Ha & Ho, a well-known law firm in Hong Kong. Mr. Ha

specialised in commercial law, merger and acquisition and public listing.

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Ken Yuen, BA (Accounting) (University of Waterloo), Chartered Accountant (Canada),

Certified Public Accountant (USA)

Financial Strategist

Mr. Yuen is a certified public account in both the United States and Canada.

Mr. Yuen was a consultant for the Carlyle Group and audit manager for

PWC. Mr. Yuen specialises in asset and fund management.

Dr Sherman Fung,

Chief Research Scientist

Dr Fung, a PhD from the Oxford University, is a technology, regulatory

affairs, business and product management veteran with over 22 years’

experience across international firm, academic, CRO industry and health

supplements industry. Dr Fung had considerable experience with

technology transfer/licensing management, Chinese medicine,

pharmaceutical and functional supplements-related research and projects.

キューマサヒコ Chiu YaYi

Medicine Consultant

Mr .Chiu was General Manager of Eisai Co Ltd which is top five

pharmaceutical companies in Japan. His experience in pharmaceutical area

is general management, distribution, negotiation with medical partitioners.

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Andrew Ng

Director Global Blockchain Development

Andrew is an experienced engineer who has been working in banking,

healthcare, MNC and startup sectors for over 10 years. He focusses on

studying breakthrough technologies and believes that many of these tools

will define the future of various industries. Andrew is passionate about

algorithms underlying such technologies as pattern recognition,

augmented reality and cryptocurrency.

Admond Yeung

Network Consultant

Admond is an information technology and networking expert graduated

from University in the US with over 20 years’ experience in the networking

system design and implementation. Before joining NS Biomedics, Edmund

was network engineer with the Hong Kong Airport Authority.

Research Scientists

Current team of research scientist based in Taiwan working on the fundamental researches

essential for the development of ImGrandeur DG and ImHepatocure AG.

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Advisory Board

Mr. Keith Chan

Mr. Chan graduated from the Columbia University with a MBA from

Lehigh University. Mr. Chan had held senior management positions in

various multi-national companies and securities companies such as

Merrill Lynch, Mizuho Securities and Ping An Securities.

Dr. John Chung-Kin Wong

Dr. Wong is a Doctor of Business Administration (DBA) from the

University of South Australia. Professionally, he served previously as the

Chairman of the Hong Kong Institute of Marketing and as executive

director and general manager in various multi-national companies and

publicly listed companies covering functions such as corporate strategy

and finance, sales & marketing, retailing, and general management.

Dr K W Keung

Medical Doctor and Immunology Consultant

Dr Keung is a medical doctor practising in Hong Kong. Dr Keung pays

special interest to the development of Immunology and

immunotherapeutic compounds.

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Ms Sandy Keung

Ms Keung graduated from St John’s University. Ms Sandy Keung is a

successful entrepreneur. Before starting her own food and catering business,

Ms Keung was CFO and executive director of a Hong Kong Public

Company. Ms Keung was also Managing Director of several Hong Kong

investment companies and associate director of Deloitte & Touche Hong

Kong.

Mr.William Quilindo

Mr. Quilindo was the chief operating officer for Intertek Laboratories.

Intertek is a leading Total Quality Assurance provider with more than

1,000 laboratories and offices and over 42,000 people in more than 100

countries; delivers innovative and bespoke Assurance, Testing,

Inspection and Certification solutions for our customers worldwide.

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Conclusions

NS Biomedics Limited offers you the opportunity to participate, in this beginning stage, in our

ambitious journey to bring two novel cancer treatment drugs, namely ImGrandeur DG for

breast cancer and ImHepatocure AG for liver cancer, to the global markets, and join the project

by financing the preliminary sale of SENO Tokens.

The funds received from the preliminary sale will be partially directed to finance the marketing

expenses in preparation for the main token sale. We understand that this expense is quite

significant, but the more critical issue that we are attempting to solve is cancer, which affects

a large population worldwide. Therefore, the faster we can make available the novel drugs to

the world by obtaining approvals from appropriate authorities, the more lives will be saved and

extended, resulting in improved quality of life and lowered costs to the society.

Our mission is not just to attract funding to make our dreams possible; our greater mission is

to “save people's lives from cancer”. We offer to our supporters the opportunity to become part

of a private group of early SENO Tokens holders, who may benefit in the future once the

products are approved as medicines by the relevant regulators. Even before the release of our

drugs into the markets upon approval, our supporters can use the SENO Tokens to redeem our

full line of supplements. These supplements are currently available in the various markets. The

use of SENO Tokens to redeem the supplements at a discount prices reflects the long-term

value of the Token.

In conclusion, NS Biomedics is creating a series of novel cancer treatment drugs, including

ImGrandeur DG for breast cancer and ImHepatocure AG for liver cancer. The Shennong eco

system represents a revolutionary blockchain ecosystem that will act as a unified protected and

distributed platform for members of clinical and medical industry to communicate with each

other. Over the long run, this game-changing development will enhance trust and efficiency

in evidence-based medicine, and thereby help us to move closer in effectively addressing

remediate cancer problems for all humanity. NS Biomedics aims to be part of this mega trend

in the medical industry.

Please take note: In this Whitepaper, we have been circumspect and conservative in the

disclosure of our core technological knowhow, intellectual property, particulars of our research

teams, and other R&D and business resources. Such approach is necessary to protect our

Group from intellectual property theft and infringement. For parties who are interested in

having more access to such information on good and reasonable grounds, please feel free to

contact us by writing to info@nsbiomedics.com.

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Legal information and disclaimer

This White Paper has been prepared by NS Biomedics Limited. (‘Company’) for use by prospective supporters,

both private persons and legal entities in considering the potential purchase of SENO Tokens ("Tokens") backing

Company business activities. The sole purpose of this White Paper is to provide information about the Company

and the project to assist the supporters in deciding whether to proceed with a further investigation of the Company

and its tokens. Each recipient acknowledges that this Whitepaper will be used solely for such purpose and is not

intended to form the basis for making purchase decision related to the tokens of the Company.

While this White Paper has been prepared in good faith, Company doesn’t make any representation or warranty,

express or implied, as to the accuracy, reliability or completeness of any of the information or projections in the

White Paper, or of any other written or oral communication transmitted or made available at any time to a

prospective supporter, and each of such parties expressly disclaims any and all liability relating to or resulting

from the use of such information and communications by the prospective supporter or any of its affiliates or

representatives. No information set out in this White Paper or referred to in such other written or oral information

will form the basis of any contract. This White Paper has been delivered to interested parties for information

purpose only and upon the express understanding that such parties will use it only for the purpose set out above.

Company undertakes no obligation to provide the recipient with access to any additional information or to update

this White Paper or any additional information or to correct any inaccuracies in that may become apparent.

Company reserves the right, without giving reasons, at any time and in any respect, to amend or terminate the

procedure for the issue of new tokens of Company. The issue of this White Paper does not constitute an offer or

an invitation for the sale or purchase of company tokens and shall not be considered as the basis of forming any

contract between Company and any prospective supporter.

NS Biomedics expressly disclaims any and all responsibility for any direct or consequential loss or damage of any

kind whatsoever arising directly or indirectly from: (i) reliance on any information contained in this document,

(ii) any error, omission or inaccuracy in any such information or (iii) any action resulting therefrom.

This English language White Paper is the primary official source of information about the SENO Token

Distribution Event. The information contained herein may, from time to time, be translated into other languages

or used in the course of written or verbal communications with existing and prospective customers, partners, and

third parties. In the course of such translation or communication, some of the information contained herein may

be lost, corrupted, or misrepresented. The accuracy of such alternative communications cannot be guaranteed. In

the event of any conflicts or inconsistencies between such translations and communications and this official

English language White Paper, the provisions of this English language original document shall prevail.