NASDAQ / TASE: SFET Corporate Presentation, May 2022
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Forward-Looking Statements This presentation of Safe-T® Group Ltd. (the “Company”) contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act and other securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, the Company is using forward-looking statements when it discusses its estimated revenue, annual run-rate, the potential of its products, its strategy and growth drivers, market potential for its products and future market growth. Forward-looking statements are not historical facts, and are based upon management’s current expectations, beliefs and projections, many of which, by their nature, are inherently uncertain. Such expectations, beliefs and projections are expressed in good faith. However, there can be no assurance that management’s expectations, beliefs and projections will be achieved, and actual results may differ materially from what is expressed in or indicated by the forward-looking statements. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the forward-looking statements. For a more detailed description of the risks and uncertainties affecting the Company, reference is made to the Company’s reports filed from time to time with the Securities and Exchange Commission (“SEC”), including, but not limited to, the risks detailed in the Company’s annual report on Form 20-F filed with the SEC on March 29, 2022, and in any subsequent filings with the SEC. Forward-looking statements speak only as of the date the statements are made. The Company assumes no obligation to update forward-looking statements to reflect actual results, subsequent events or circumstances, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. If the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 2
First Quarter 2022 Highlights Execution, Execution, Execution Revenues - Up 199% Gross profit - Up 378% Cost Reductions – Expected to Accelerate Throughout the Remainder of 2022 © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 3
About Safe-T Group Ltd. Customers We are a global provider of cybersecurity and Safe-T Group Ltd. NASDAQ / TASE : SFET privacy solutions to the enterprise and consumer markets Average ADS Price (1) $0.54 Market Cap (1) $16M Highly scalable business model Avg. Daily Volume Q1/22 $0.82M with high gross margins Revenue Q1/22 $4.0M Gross Profit Q1/22 $2.1M Cash & S.T. Investments (2) $7.3M Exponential growth - moving from annual revenue Total Debt (2) $0M run rate of $1.6M in Q2-19 to more than $15M in Q1-22 Consumers ADS Outstanding (1) 30.4M Public Float (1) 26.5M FD ADS Outstanding (1) 40.7M Strong Management of entrepreneurs and ex- Employees 45 Thousands of users - intelligence unit - holding ~13% of the outstanding Herzliya, Quantity increased Headquarters share capital Israel exponentially 1) As of May 27, 2022 2) As of March 31, 2022 © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 4
About Safe-T Group Ltd. Fast Growth 2025 Revenue Target – Total Revenues ($ Million) based on 50% YoY Growth Attractive Gross Margin Profile - 60%* $10.3M (USD $ in Millions)* Q1-2022 2021 2020 Revenue $4.0 $10.3 $4.9 50M $ Gross Profit $2.4 $6.3 $3.4 Gross Margin 60% 61% 69% $4.9M Operating Loss ($3.3) ($11.2) ($6.5) Revenues Breakdown Q1-2022 Net Loss ($3.4) ($10.3) ($6.2) EMEA 19% $3.3M (USD $ in Millions) Mar. 31, 2022 Dec. 31, 2021 Cash & Cash Equivalents $7.2 $9.7 $1.4M USA 22% ROW 52% Total Debt $0.0 $0.0 Total Equity $20.4 $24.2 APAC 7% 2018 2019 2020 2021 * Non-IFRS results © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 5
Timeline 2013 2016 2018 2019 2020 2021 Established Listed on TASE NASDAQ Listing 1st acquisition of privacy 2nd acquisition of Started an indirect 3rd acquisition of RND/Beta Stage Launch provider for privacy provider for GTM - built a cyber and privacy Initial dozens ZoneZero® organizations: consumers: significant net of provider for consumers: customers NetNut ChiCooked partners CyberKick © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 6
Safe-T Group Highlights Introducing new innovative products Growth! Presenting record high revenues stream, quarter-over-quarter Expanding market potential - approaching consumers as well as organizations Average growth of close to 100% Y/Y during the last 3 years Predicted market needs - started focusing on remote access in 2019 which Product lines and gross profit with high proved the main need for businesses gross margins during COVID-19 © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 7
Experienced Leadership Chen Katz Shachar Daniel Shai Avnit Eitan Bremler Chairman of the Board Co-Founder & CEO, Director Chief Financial Officer Co-Founder, VP Product Strategy, Marketing and BD TechnoPlus Ventures (TASE: TNPV) PrimeSense / Apple (NASDAQ: AAPL) BriefCam Acquired by Canon Israeli Intelligence Corps Nanomedic Technologies Logic BioProtect Radware (NASDAQ: RDWR) Compulab (TASE: CLAB) Elbit (TLV: ESLT) Radvision / Avaya (NYSE: AV) Sagarmatha Moishi Kramer David Matrikin Hagit Gal, Adv. VP R&D Enterprise Privacy CTO Consumers Privacy and Corporate Legal Counsel Cybersecurity ARCHIMEDICX Elite Communication Unit IDF Emblaze zoomd.com FOCUUS.COM SweetIM myThings © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 8
Structure & Opportunity Enterprise Consumer Privacy Cybersecurity Consumer Enterprise Privacy Cybersecurity © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 9
Structure & Opportunity Cybersecurity Privacy Consumer Enterprise Consumer Enterprise Providing consumers an Safe-T Security Service Keeping online users’ An alternative data online security dome information private and collection business against ransomware secure – adding an attacks, viruses, phishing, encrypted secured layer for and other online threats Proprietary advantages for online privacy granting access (internal or external users), secure data exchange and storage Protecting from attackers Realtime detection of when using unsecured Wi-Fi dangerous websites networks resulting in safe browsing for online users – alerting Massive market opportunity and blocking those threats! ($10B+) © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 10
Consumer Cybersecurity and Privacy Solutions
Threats for Consumers Are Real Consumer’s privacy market is “hot” Kape Technologies acquired Express VPN for $900M The last few years have seen an alarming spike in the 47% number of malicious hackers *U.S. consumers experienced identity theft in last 2 years *Source: Aite Group Hackers can be individuals acting on their own, to well- funded private and governmental groups $721.3B *2021 expected losses from identity theft All hackers share the same modus operandi: lurking, $6.99B ** Source: Statista waiting for unsuspecting users to make even the smallest mistake online **2021 consumer security software spending © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 12
Safe-T Consumer Cybersecurity and Privacy Solutions Safe-T Consumer Making the internet a safer Cybersecurity and Privacy place for everyone solutions, were built in order to fight the battles of consumer hacking We’re out to protect the tens Our products consist of two of millions of users who, like most of us, spend a lot of time key fields of cybersecurity: online, and can fall victim to • Online Cybersecurity predators without ever knowing it • Online Privacy protection © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 13
Cybersecurity Solution - Consumers Main Features: Detects dangerous websites during user’s browser usage – alerting and blocking those threats Protects consumer personal Protect against Malvertising data & identity (malicious advertising) Keeps consumer computer Controls consumer web footprint safe Safe-T Cybersecurity for Consumers is a protective Provides parental control Browsing Encryption cyber product that identifies, eliminates and Business Model: helps avoid security and data breach threats Subscription-based (Monthly/Yearly) © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 14
Privacy Solution - Consumer Main Features: Encrypting users' data while browsing on sensitive websites i.e., banking sites, emails, etc. Protecting users’ privacy and browsing activity from hackers and network listeners Defending users from hackers when using unsecured Wi-Fi networks Safe-T Privacy for Consumers allows its Keeping users’ information safe from third parties users to take charge of their online privacy with Generating ultra fast secured tunnel for each user a powerful, secured and encrypted connection Business Model: Subscription-based (Monthly/Yearly) © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 15
Consumer Cybersecurity & Privacy Go–To–Market Marketing Customer Market Analysis Product Retention Strategy Acquisition + Revenue + Segmentation + Pricing + Awareness + Lifetime value model + Gross margin + Positioning + Features + Engagement + User satisfaction + Performance + Usability + Profitability + Integration + Penetration by channels benchmark © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 16
Consumer Cybersecurity & Privacy Business Strategy Users are our main assets, investment in user acquisition translates to future high-margin, recurring revenues We plan on increasing investments into user acquisition In alignment with market user retention percentages and our ability to correctly project future revenues, we built our plan on a 5-year forecast model Our model estimates revenue for each acquired user for the duration of their Lifetime Value (“LTV”) period © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 17
Customer Acquisition – Lifetime Value Model LTV Model illustrating growth in high-margin recurring revenue through customer acquisition over a five-year period Revenues in $M Revenues from New Users Year 5 Revenues from New Users Year 4 Revenues from New Users Year 3 Revenues from New Users Year 2 Revenues from Current Users Year 1 Year 2 Year 3 Year 4 Year 5 Based upon our LTV model, investments into consumer acquisition are targeted to generate at least a 3x return, producing millions in recurring revenues over the following years © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 18
Enterprise Cybersecurity Solutions
Attacks on Corporates are on the Rise $4.24M Average total cost of a breach WOW* 61% INDUSTRIAL On Premises Services Private Cloud Public Cloud Data breaches due to stolen or misused credentials* IoT Corporate Cyber Attacks Up 50% Last Year** Examples of 2021 Cyber Attacks (VPN, Ransomware & Supply Chain) Ransomware Data Breach / Lateral Credential Malicious Remote Attack Movement Theft / Account Access Takeover *Source: Cybertalk © 2022 Safe-T Group Ltd. All Rights Reserved. **Source: Cybersecurityintelligence NASDAQ / TASE : SFET 20
Our Enterprise Cyber Security Solution Safe-T and TerraZone have partnered to deliver best of breed cyber services to SMB and enterprises The ONLY Cyber Security Cloud Services that address for organizations all their secure data exchange and secure data access requirements in one service • Secure Email Exchange • Secure Data Vaults • Secure Remote Access • Secure Internal User Access We offer the only cloud solution Unlike standard data designed to secure all organizations access and exchange data in transit and at rest, protecting solutions, we control data against ransomware attacks and according to the user’s data breaches identity and role Patented, outbound-based technology Safe-T Security Cloud Sample Customers © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 21
Safe-T Virtual Private Workforce Safe-T has partnered with TerraZone and DreamVPS to launch a first-of-its- kind “Virtual Private Workforce” Cloud Service The VPW cloud service was developed in response to organizational workforce shifts to remote or work-from-anywhere models, provides a Secure, Flexible Way to Conduct and Manage Remote R&D Teams Benefits of Virtual Private Workforce • Increased user productivity with increased uptime • Reduced data center costs and computing support costs by as much as 90% • Improved employee and customer experiences • Reduce breach risk • Subscription-based user consumption Customers signing up to the new cloud service, get the best of all worlds: • State-of-the-art, fully self-managed cloud service and infrastructure provided by DreamVPS • Encryption and security of data at rest, provided by TerraZone’s Secure Data Exchange solution • Secure remote access to organizational environments within the cloud service, provided by Safe-T’s ZoneZero® Zero Trust Network Access solution © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 22
Enterprise Cybersecurity Go–To–Market We leverage an indirect sales model by engaging with top tier partners with deep experience & large sales teams • Distributor/reseller/integrator • MSSP • OEMS (white labeled or branded) Key Benefits Include: local knowledge, scalable, sector & geographic expertise, cost-effective & uniqueness of product Working with Safe-T incentivizes and provides partners with the ability to offer innovative solutions not available anywhere else Cyber revenues are based mainly on user-based annual subscriptions M&A – Leveraging Safe-T’s RSAccess patented Organic Growth – Penetrate deeper into customer Growth technology to the automotive cybersecurity, IOT – networks with Safe-T cyber solutions Drivers connected devices or Healthcare NASDAQ / TASE : SFET 23
Enterprise Privacy Solutions
The Need for Enterprise Privacy Solutions Websites increasingly change their displayed information based on user IP address, location & demographic attributes NetNut $90 To conduct competitor analysis, price comparisons & data SuperPROXY extraction companies need to access websites as a “simulated $90 user” to capture the REAL & ACCURATE information COMPETITOR RETAIL To surf the internet while maintaining anonymity, enterprises need to mask their IP address $110 DATA CENTER Companies that do not adopt business IP proxy solutions that simulate different users are at risk of gathering incorrect & misleading data, or being exposed © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 25
Our Enterprise Privacy Solution $200M Acquisition of IP Proxy Business Our enterprise privacy solution is based on a business IP proxy platform, that: EMK acquired Luminati for 8x Revenues (world’s largest IP proxy provider) Allows clients to collect accurate, transparent & increasingly personal data from public online sources Completely hides enterprises from the internet by +20M modifying IP addresses Is the world’s fastest and most advanced/secured business proxy network (no third-party computers are utilized) Utilizes a hybrid network ensuring security, quality, stability, IP Addresses Available speed & privacy Has all servers controlled internally (only company with strategic worldwide ISP provider relationships) +50 Has revenues which are composed of short-term packages of bandwidth Countries Worldwide © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 26
Our Enterprise Privacy Solution Use Cases Advertising E-Commerce Financial Markets Law Enforcement Airlines & Competitive Banking & Homeland Lodging Pricing Info Finance Security Business & Social Media Data for Predictive Leisure Travel Trends Hedge Funds Analytics © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 27
Enterprise Privacy Go–To–Market Go–To–Market Marketing Customer Market Analysis Product Retention Strategy Acquisition + Market Value Analysis + Overview & Segmentation + Pricing SERP / Social + User + media / Blogs / satisfaction + Competitor + Roadmap + Features Events / Awareness Analysis + Scaling & + Infrastructure + Predefined / + Upsales + Trends Customized Performance & Integration Analysis Features by Channel Requirements © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 28
Key Takeaways Aggressive growth in attractive privacy and security markets Building worldwide channel/network Highly-scalable business model, with Tier-1 players such as Fujitsu and expected 50%+ gross margins others Pursuing strategic M&A with complementary businesses & Strong management team, technology, following three experienced entrepreneurs and successful M&As market leaders Strong Customer Base Solid balance sheet © 2022 Safe-T Group Ltd. All Rights Reserved. NASDAQ / TASE : SFET 29
Investor Relations Steve Gersten Direct: 813-334-9745 investors@safe-t.com Safe-T Group Ltd. 8 Abba Eban Ave. Thank you! Herzliya Pituach Herzliya 4672526 Israel https://www.safetgroup.com
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