BitSchool Whitepaper 5.4

WebSite; https://www.bitschool.io

SMART EDUCATION SOLUTIONS LTD
Whitepaper 5.4
Kiung (Tom) Ku & Philip Leipper
2/26/2018
This whitepaper was prepared in order to introduce BitSchool and its important features, and cannot be copied,
distributed or used without permission of the whitepaper authors Kiung (Tom) Ku and Philip Leipper. The latest
version of this whitepaper will take precedence over any previous versions and in the event that any
discrepancies or conflicts occur between the whitepaper English version and other Language versions, the
whitepaper English version shall always prevail.

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Table of Contents
Executive Summary …………………………………………………………………………………………………………………………………………………………………… 2
1. BitSchool Differentiation………………………………………………………………………………………………………………………………………………… 3
2. Motivation for AI………………………………………………………………………………………………………………………………………………………………… 7
3. Rationale for Blockchain………………………………………………………………………………………………………………………………………………… 9
4. BitSchool Platform: Integrated AI Synergy…………………………………………………………………………………………………………….10
4.1. Adaptive AI Assessment……………………………………………………………………………………………………………………………………….10
4.2. Automatic PLC Generation…………………………………………………………………………………………………………………………………..11
4.3. Dynamic Marking System …………………………………………………………………………………………………………………………………….12
4.4. Adaptive Video Technology…………………………………………………………………………………………………………………………………13
4.5. Adaptive Lesson Plans………………………………………………………………………………………………………………………………………….13
4.6. Gamified Learning…………………………………………………………………………………………………………………………………………………..13
4.7. AI Green Component ……………………………………………………………………………………………………………………………………………..13
4.8. Course Admins System…………………………………………………………………………………………………………………………………………14
4.9. BitSchool Bidding System……………………………………………………………………………………………………………………………………14
4.10. Location-Based Tutoring Service………………………………………………………………………………………………………………….15
4.11. On-Demand Tutoring Service…………………………………………………………………………………………………………………………15
4.12. GoGreenFund ………………………………………………………………………………………………………………………………………………………16
4.13. Service Model ………………………………………………………………………………………………………………………………………………………18
4.14. Payment Method …………………………………………………………………………………………………………………………………………………21
4.15. Tokening………………………………………………………………………………………………………………………………………………………………..22
4.16. Profit and Market Analysis ………………………………………………………………………………………………………………………………23
4.17. Platform Partnership………………………………………………………………………………………………………………………………………….28
5. Roadmap…………………………………………………………………………………………………………………………………………………………………………….29
6. BitSchool Token Sale……………………………………………………………………………………………………………………………………………………..30
7. Legal Notice & Disclaimer…………………………………………………………………………………………………………………………………………….33
8. Founders & Team…………………………………………………………………………………………………………………………………………………………….34
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Executive Summary
The ideation and design of BitSchool focused on leveraging the opportunities brought by the latest
advancements in high technology rather than resolving contemporary problems. Above all, BitSchool
aims to utilize Artificial Intelligence (AI), Location-Based Technology, and Blockchain to advance the
global education paradigm. It always has been one of the most important purposes of education to
deliver personalized learning tailored to the proficiency levels and needs of students per topics, sub
topics or specific subject matters. However, as teachers have to deal with the education needs of
multiple students in class and as tutors have not enough time to get to know their customers in the
relatively short tutoring timeframe, in reality it is not always easy to accurately match the specific
educational needs of students or tutoring customers. BitSchool leverages the AI technology to provide
the most ideal way for teachers and tutors to assess the proficiency levels of learners for certain
topics, sub topics or subjects, and thus helps deliver the perfect personalized learning experience to
learners. Furthermore, BitSchool will advance the AI technology to include Dynamic Marking System
and Adaptive Video Technology among others that would not only significantly enhance BitSchool’s
personalized-learning capabilities, but also create an ideal self-study environment for learners.
All online tutoring or eLearning platforms target the globalization of the education markets. By
globalization, customers may not only gain access to a much broader global tutor network, but,
adding the price differences between countries, obtain high quality tutoring service at a cheaper or
more reasonable price. BitSchool is not different from these platforms as it is built upon the same
globalization theme. However, BitSchool’s innovative bidding system will allow tutors and customers
to reach the best possible price based on market demand and supply. The BitSchool Bidding System
is expected to contribute to decreasing the tutoring cost significantly worldwide as global tutors have
the incentive to reduce their costs to a reasonable level so as not to lose but gain competitiveness in
the global tutoring market.
Usually tutoring is associated with study subjects such as English, Math or Science, which is termed
‘formal tutoring service’ in this whitepaper. However, apart from these formal tutoring services, needs
arise for spontaneous tutoring services in such events as a student having trouble with a specific
question in her class; a developer having trouble structuring the right code; or a businessman
requiring opinion with respect to his business presentation. For these spontaneous, one-off needs the
formal tutoring service is in no way appropriate. So most of these situations is handled without the
help of experts and lose the chance of improvement. BitSchool will provide the best solution to these
situations by its On-Demand Tutoring Service (ODT) and Location-Based Tutoring Service (LBT). The
BitSchool ODT and LBT will open the doors for students, developers, businessman or any other types
of people wanting to solve a specific learning or business need fast, spontaneously and economically.
Lastly, BitSchool’s transaction is based on the blockchain technology. As many people are still not
familiar or feeling comfortable with making transactions using Tokens, a cash-based payment system
like PayPal will be implemented. However, BitSchool offers various Token reward programs and
significant discounts for Token transactions that will not only incentivize people to participate in and
transact with Token at BitSchool, but also enlighten them of the positive utility of Token and familiarize
them with it as a result. In particular, BitSchool’s GoGreenFund, which endows low-income students
with scholarships in the form of Token and thereby contributes to upholding equal opportunity of
learning, would not have been possible without the means of Token. The GoGreenFund is the
quintessence on how high technology could and should contribute to the greater good of our global
society and community.
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1. BitSchool Differentiation
This section was composed to demonstrate the differentiation factors of BitSchool compared to
similar online tutoring (‘universitytutor.com’ and ‘tutoring.co.kr’) and eLearning platforms
(‘coursera.org’ and ‘udacity.com’). The information used for this competitor analysis was
extracted from the competitors’ publicly available materials. This means in the event that any
updates had happened to these materials without being made public before the point this
competitor analysis was prepared and published, this may cause unintentional flaws in this
competitor analysis, and BitSchool will address these flaws when they are identified and update
this competitor analysis accordingly.
World’s First Platform integrating AI eLearning, Teaching and Tutoring
The AI component is what differentiates BitSchool most from similar online tutoring or eLearning
platforms. In our competitor analysis, we were not able to find platforms that apply AI-based
Adaptive Assessment and Personalized Learning mechanisms to the online tutoring market. The
AI machine of BitSchool is capable of intelligently evaluating the learners’ per-subject proficiency
levels (refer to ‘4.1 Adaptive AI Assessment’) and automatically producing PLC or Personalized
Learning Checklist (refer to ‘4.2 Automatic PLC Generation’). Furthermore, the AI machine will be
constructed in a way to intelligently provide appropriate feedbacks (refer to ‘4.3 Dynamic Marking
System’) for questions or tasks (such as essay composing), and recommend educational videos
(refer to ‘4.4 Adaptive Video Technology’) matching the learners’ learning needs, style and
pathway. More specifically, BitSchool will enable accurate assessments of the learners’ persubject
proficiency levels by evaluating the learners’ weaknesses and improvement areas in
those subjects, and reporting them in the learners’ PLC. The PLC will allow teachers and tutors to
formulate their lesson plans or tutoring services around the learners’ identified strengths,
weaknesses and improvement areas (refer to ‘4.5 Adaptive Lesson Plans’), and consequently
provide learners with personalized learning. BitSchool will further assist personalized learning by
providing appropriate educational feedbacks (i.e. guidelines, explanations, opinions, background
materials required to solve a problem or improve a task) and adaptive videos with respect to the
learners’ weaknesses or improvement areas identified through the AI Assessment process.
Best Price
BitSchool focuses on the income-level differences and the consequent price differences between
countries. Leveraging this price differences, tutors in low-income countries can offer services at
more competitive prices than tutors in high-income countries. Consequently, customers in highincome
countries may enjoy equivalent or even better quality education at cheaper prices and
tutors in high-income countries will be incentivized to lower their prices to match the tutors’ from
low-income countries so as not to lose but gain competitiveness in the global education market.
However, this aspect is not much of a differentiation factor as all similar online tutoring or
eLearning platforms provide similar advantages. However, what differentiates BitSchool from
similar platforms is the BitSchool Bidding System that allows two-way bids – that is, both the
customer and tutor can open a bid – and will enable tutors and customers to reach the best price
by accurately capturing the demand and supply dynamics.
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Explore New Markets
Online tutoring platforms allow tutors to expand geographically and develop new markets
previously not being accessible. Although BitSchool provides this advantage, it is nothing special
as everybody does it. However, by means of the innovative LBT (refer to ‘4.10 Location-Based
Tutoring Service’) and ODT (refer to ‘4.11 On-Demand Tutoring Service’), BitSchool puts the
concept of expansion to a totally new level allowing expansion in terms of both geography and
subject. Usually tutoring is associated with study subjects such as English, Math, and Science
and etc (again termed ‘formal tutoring services’ in this whitepaper). Tutoring services of subjects
not falling under these formal tutoring services categories will be newly developed through the
LBT and ODT. For example, students sitting in a classroom having trouble with a specific topic or
question can reach out to tutors who would instantly provide their help. Also a developer having
trouble with a specific code can reach out to technology tutors and obtain a solution. A
businessman applying his final touch to his presentation material may reach out to a business
tutor and get a quick, powerful advice on improving his material. Without these spontaneous,
specific and quick help available, these customers must have previously found the solution by
themselves through either searching the internet or recruiting the help of professionals, which
methods are not specific, spontaneous, and might also lead to expensive fees considering the
high per-hour rates tech or business consultants usually charge. The BitSchool LBT and ODT
were designed for and will be developed to precisely address these specific, time- and pricesensitive
learning needs.
Green Education Platform
In our competitor analysis, we were able to find only a few number of platforms that extends
scholarships or provides free courses to their users. Although these few examples are highly
commendable in their contribution to providing free education, the BitSchool GoGreenFund (refer
to ‘4.12 GoGreenFund’) substantially differs insofar as it specifically aims to help low-income
students and focuses on almost all education subjects at all grade levels rather than targeting a
specific educational area such as high technology. Hence the GoGreenFund is expected to have
much wider impact on realizing equal learning opportunities across the world. This is why the
GoGreenFund is a true differentiation factor of BitSchool. The BitSchool GoGreenFund was
ideated and will be created to extend scholarships to low-income students and also encourage
tutor volunteers for their volunteer activities. More precisely, certain portion of BitSchool’s Token
and transaction fees along with the donation from philanthropic Token holders will form the
GoGreenFund to provide scholarships to low-income students and rewards to tutor volunteers for
their volunteer tutoring to low-income students. In addition, by the AI adaptive learning
environment, BitSchool will provide low-income students with the most economic way to self
learn in the long term. All these instruments allow BitSchool to contribute to enhancing equal
learning opportunities across the world.
Innovative Reward Programs
One of the biggest concerns and homework of online tutoring or eLearning platform is to promote
its brand and expand its user base as quickly as possible. In this regard, the adoption of
blockchain into the BitSchool Platform is powerful, and it forms an important differentiation factor
as well as competitive advantage. Through a process called ‘Tokening’ (refer to ‘4.15 Tokening’),
teachers, tutors or customers may earn Token as rewards by contributing to the development of
BitSchool including but not limited to new tutor/customer referrals, contributing data to the AI
Database, and organizing social activities for BitSchool’s promotion. These rewards are only
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possible because BitSchool is based on the blockchain technology and they are expected to help
significantly increase the interest and participation in BitSchool.
Embedded Put Option
The Token’s stability is very important for BitSchool’s sustainable growth. Therefore, in order to
achieve and preserve stability in the Token value, the Token exchange value to all AI products will
be fixed at max [Token’s current market value, Token’s ICO end value)] (take the greater between
the two values) for the first year following the launch of the BitSchool Platform. Consequently, in
the event that the Token’s current market value drops below the Token’s ICO end value, users will
be able to purchase the AI products with Tokens at the ICO end value. On the contrary, if the
Token’s current market value moves above the Token’s ICO end value, users can purchase AI
products at the Token’s current market value. This value fix is basically a put option guaranteeing
that the Token’s exchange value to AI products will not drop below the Token’s ICO end value.
We intend this scheme to act as an effective counter measure against any Token value
fluctuations unrelated to the true performance of the BitSchool Platform but rather forced by
speculative market movements. Especially when the put option is combined with the 50%
discount extended to Token transactions for all AI products in the first year following the BitSchool
launch, the Token exchange value to AI products becomes more than twice the value of the
Token’s current market value as shown below. FYI, for the graph we assumed an ICO end value
of 1Token = 0.2USD and both the Token exchange value fix and the 50% discount are subject to
annual review and renewal.
Figure 1. The Token’s value on BitSchool Platform vs. the Token’s current market value
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Blockchain Powered Platform
Employing the blockchain technology is a major differentiation factor for BitSchool as it will
provide a high level of transaction transparency and security that are realized through the
decentralization of booking transactions and storing transaction data. Furthermore, blockchain
enables Token transactions that will significantly improve the weaknesses and inconveniences of
traditional payment systems like PayPal and provides a strong advantage against competitors
offering similar online tutoring or eLearning platforms with traditional payment systems only. The
blockchain-based Token allows the introduction of diverse reward and scholarship programs that
will help not only expand BitSchool’s teacher, tutor and customer base, but also realize
BitSchool’s Green Education Spirit.
Figure 2. BitSchool Platform Competitive Analysis
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2. Motivation for AI
Assessment for Learning
Assessment for learning is a huge part of the modern education paradigm. This is essentially all
about doing mini assessments during a class or as homework to determine whether students
have understood what has been taught. Although this generally yields a good overview of the
class as a whole it certainly does not meet the needs of every student. It could certainly be the
case that a teacher happens to question just those students who have understood all of whatever
was being taught and every other student sits there quietly but still confused, leading to the
teacher wrongly surmising that the class has understood that particular topic. This of course is an
extreme example but illustrates the point that it is almost impossible for a teacher to determine
the level of knowledge that each student possesses for each topic in their subject. In some
schools, teachers are required to create what is called a personalized learning checklist or PLC
for short, which was coined by a company called PiXL. This PLC is designed to have all the
topics that a student must learn and would be updated throughout the year to show progress and
help the student focus revision on the correct topics. Each student has their own personalized
PLC which is color coded RED, for topics they don’t yet understand, AMBER, for topics they have
some grasp on and GREEN, for topics they understand well. As you can probably tell, having to
complete individualized PLCs for 400+ GCSE students can potentially be very time consuming
and almost inevitably lead to errors in their knowledge judgments. This ultimately leads to
teachers taking short cuts and assuming that every student in the class is GREEN on certain
topics and maybe AMBER on others. While this approach can be somewhat effective, it also can
lead to a catastrophic mislabeling of a student’s strengths and weaknesses meaning that the
student will fail to revise the key areas that will improve their grade the most.
Personalized Learning / Differentiation
The term differentiation is a term every teacher knows and one that all good teachers will strive to
do their best with in order to meet the needs of their students. It refers to creating different sets of
resources for the lesson that meet the needs of different ‘groups’ or individual students ideally.
This can be difficult or even impossible do due to time constraints, a lack of true understanding of
the students’ needs or other factors. Ideally, a classroom with 30 students would have 30 different
lesson plans and 30 different sets of resources that are perfectly tailored to the needs of these
students but this is absolutely impossible and impractical to expect this of any teacher. The
solution is usually to create 3 different sets of resources that will be aimed at the lower, middle
and upper ends of the spectrum but even this is sometimes skipped or rushed if the teacher is
short on time and can only create 1 overall lesson. This also certainly does not account for the
needs of individual students such as those whose English is still developing, those who need the
help of a teaching assistant or those who are so gifted that at age 14 they could already work at
the level of a 17 year old.
Marking is an important component of personalized learning as the marking process not only
allows students to know that their answers are right or wrong, or whether their tasks such as
essays need improvements, but also gives students the appropriate feedbacks such as
guidelines to solve a problem, explanation of a formula, opinion on improving essays, or
background materials that would be helpful in enhancing the student’s understanding of the
subject or topic. However, teachers have to mark the works of multiple students comprising her
class. As marking itself already takes up a large chunk of the teachers’ time which would be
better off spending for effective lecture planning or formulating appropriate feedback, giving
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accurate feedbacks specifically meeting the student’s individual learning need is even more
challenging considering the limited time teachers have. What most happen is that these
feedbacks are not comprehensive or specific enough to meet the student’s individual learning
need and consequently when the student faces the same question next time, her chances of
answering the same question wrong is very high and tasks such as essays get little to no
improvements.
In most modern classrooms, videos are usually an important tool that is used to help reinforce or
teach certain topics. The videos however are usually cherry picked by the teacher to meet the
needs of the class as a whole rather than on a more individual basis. This could potentially lead
to a situation where some kids are listening intently as it is really engaging for them while others
are day dreaming meaning that a proportion of students didn’t fully understand the concept. To
give an example of this imagine the target demographics between “Wonders of the universe with
Brian Cox” who delivers an interesting and informative factual science show and “Brainiac:
Science Abuse” which is a wacky and generally absurd show that is generally more entertaining
but secretly teaches you things about science. These are just 2 examples but there certainly
could be many variations of tastes in between.
Personalized Tutoring
The above problems are not only confined to teachers and can be directly applicable to the global
tutoring market. One of the most important reasons customers seek the help of tutors is because
of the need of personalized learning which will supplement their studies at school. However, to
deliver personalized learning, the tutor’s ‘Know Your Student’ (KYS) must precede but KYS is
hard to come by as the time spent for tutoring is usually not long enough. Consequently, tutoring
based on insufficient KYS leads to the failure to deliver the personalized learning the customers
seek and causes the customers’ failures to improve her weaknesses or address improvement
areas.
In case the tutor delivers a one-on-one tutoring service, the mentioned inefficiency of the
teachers’ marking process would most probably not occur. However, if the tutor delivers her
service in a class-like environment such as private prep schools, the tutor has to deal with
multiple customers at the same time, and marking the customers’ answers or tasks and providing
the most fitting feedbacks would become increasingly difficult for the tutor which in turn may hurt
the tutor’s ability to deliver the personalized learning her customers have come for. Also tailored
educational videos that meet the customers’ individual learning need, style and pathway would be
very helpful for the tutor to further enhance her customers’ personalized learning experiences.
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3. Rationale for Blockchain
Token Transaction
BitSchool will issue the Utility Token through the Crowdsale in order to raise the required startup
fund to develop the technologies supporting the BitSchool Platform and set up and manage
global organizations to operate the BitSchool business, and ICO participants who bought the
Token will use the Token to purchase the services and products of BitSchool. Consequently
Token will be the funding source and main payment method of BitSchool. Aside from these roles,
Token will also be used for rewarding activities contributing to BitSchool’s development and
growth through the ‘Tokening’ process. All these cool features are only possible because of the
blockchain technology and this is why BitSchool has chosen it.
Transaction Security and Transparency
As Token is a crucial component of the BitSchool transaction model, BitSchool relies on the
secured and transparent Token transactions the blockchain technology supports. Storing
transaction data on the distributed blockchain network and booking transactions by a
decentralized consensus-based transaction validation mechanism, the blockchain resolves the
weaknesses of traditional centralized server environments where the users have to solely depend
on the server administrators for the security, transparency and accuracy of transactions. Because
of this advantage, similar platforms not yet employing the blockchain technology or newly created
platforms are expected to increasingly adopt the blockchain technology, and this gives BitSchool
an early mover advantage and head start over others.
Low Transaction Cost
Cash remittance incurs about 2-10% remittance fee while Token transactions based on
blockchain incurs a meager 0.01% fee. Considering the time consumed in cash remittance and
the foreign-exchange risk involved in cross-border transactions, the saving by blockchain
increases further. This low transaction fee will especially provide a competitive edge in lowincome
countries.
Best Fund Raising Method for High-Potential Ventures
Blockchain provides the most ideal fund-raising method through the ICO for the launch and
development of high-potential, high-impact ventures like BitSchool. The ICO, in turn, gives public
the opportunity to become valuable contributors to highly promising venture projects across the
globe.
Ideal Development Environment
Blockchain like Ethereum provides ideal environment to developers like us as it incur no-to-low
development costs such as hardware or software while recent technological advancements in the
Ethereum Community are directly applicable to BitSchool.
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4. BitSchool Platform: Integrated AI Synergy
Figure 3. AI synergy through the seamless connection between AI eLearning, Teaching and Tutoring
4.1. Adaptive AI Assessment
The BitSchool Platform has been designed to allow course admins to add various types of
questions to each unique course. These currently include simple multiple choice, advantages /
disadvantages, ordered answers and important keywords but will be expanded to include many
more types such as algorithmic based questions, graph based questions, image questions,
labeling image questions and many more. Each question is linked to a topic, subtopic or subject
matter meaning that the system can easily adapt the difficulty of each question based on the
learner’s associated knowledge level of that particular topic, subtopic or subject matter. Each
question has been designed to have 10 or more answers linked to it, with potentially several of
these also being correct answers. This gives the system plenty of combinations to display to the
learner in various ways to prevent the common situation with other such systems where
students merely learn what the correct answer roughly ‘looks’ like. As learners use the
BitSchool Platform, each question is run through an algorithm based on each learner’s overall
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performance of a question compared to the expected performance, thereby if a learner
performs less well on a particular question than the BitSchool Platform predicted then that
question will be rated as more difficult and thus less likely to appear for learners of that
particular knowledge level in that topic, subtopic or subject matter. A similar algorithm is also
deployed to determine the difficulty of each question answer, this allows the BitSchool Platform
to selectively lower the difficulty of a question temporarily or even raise the difficulty to
accommodate the needs of individual learners. All of the question types above are also not
limited to that format, for example a multiple choice question could be asked in a ‘fill in the
blanks’ style assessment commonly used in schools today or even a drag and drop matching
task where answers are matched to their correct questions. There are plans in the future to also
use machine learning to help with marking longer answer and essay style questions, the data
generated from our platform will significantly help towards training any neural networks for this
task.
4.2. Automatic PLC Generation
BitSchool is constantly evaluating the performance of a learner as they complete questions
using indicators such as mouse movement, time to answer, expected performance and answer
accuracy to determine and adjust the overall knowledge level of each topic, subtopic or subject
matter for a learner’s course. This allows each learner to see their current knowledge level of
each topic, subtopic or subject matter in the course enabling them to see the progress they
have made but also to choose their weakest areas to work on (although generally BitSchool will
automatically look to do this the learners could choose to focus on any area they want).
BitSchool allows teachers either look at the class as a whole or even see the progress of each
student individually. This allows the teachers to identify the topics that are most important to
teach or even to enable targeted revision for specific students for certain topics. This could
mean that a teacher may plan to do a revision session for a topic the following week and be
able to email / send a letter home to the specific parents of the students that need it the most
thus maximizing the effectiveness of the revision session. Additionally, BitSchool then would
even allow students to take a mini assessment on that topic to determine the effectiveness of
the revision session attended.
Likewise, the Adaptive AI Assessment and Automatic PLC will assist tutors in designing
effective tutoring plans. More specifically, the tutor can use the Adaptive AI Assessment and
PLC to first gauge the customer’s proficiency level of the subject, design his lecture plan to
match the customer’s proficiency level, and resolve the customer’s identified weaknesses and
improvement areas. In-between the tutor’s service, the tutor can use mini-assessments to
evaluate the customer’s progress and improvement, and modify his lecture plan accordingly.
Also if a post-service Adaptive AI Assessment and PLC show positive improvements, they may
provide a strong logic for the tutor’s additional service proposals to the customer. The Adaptive
AI Assessment and PLC may also be used by customers to find the right tutors for their
educational needs. More specifically, if a customer takes a post-service AI Assessment and if
the PLC presents no improvement or even deterioration, the customer may objectively surmise
that the tutor’s service quality has an issue. Equipped with this objective result, the customer
may use the PLC to negotiate free revision sessions to redress the issue or find a more fitting
tutor instead.
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4.3. Dynamic Marking System
Peer assessment
Peer assessment refers to students marking other students work and giving feedbacks such as
guidelines, explanations, opinions or background materials required to solve a question
correctly or address a task more appropriately. BitSchool would allow peer assessment to
happen in a fast, seamless and anonymous fashion and could be completely controlled by the
teacher. When the teacher wants a particular assignment to be peer assessed they would
simply click a button which would then distribute every student’s work to another random
student with suggested feedback and the mark scheme for the assignment being optional. The
work could then be returned and improved if required but most importantly could easily be
printed / color coded if the work needs to be in the students folders.
Class teacher exam marking
It will certainly be the case that a teacher will want to test her class on longer exam answers
and BitSchool will allow whole exams to be set with partial marking done by the automated
assessment engine and others can be marked by the class teacher as needed. This will be a lot
faster for the teacher as they can quickly mark all students’ answers for the same question all at
once and give feedbacks without having to flick through each students exam paper. For this,
BitSchool will either provide exam questions and answers from the AI Database to the teachers
or upload the teachers’ specific exam questions and answers to the AI Database with the help
of course admins so that the teachers may utilize BitSchool’s automated marking system.
Especially the teachers’ exam-data upload will create a symbiotic, collaborative relationship
between BitSchool and teachers as teachers will not only benefit from automating their exams
marking processes but also receive Tokens as reward for their contributions to expanding the AI
Database, while BitSchool will secure the much required input of high-quality data for
expanding and improving its AI Database. Eventually this will enable us to train a neural
network in the future to fully automate the exam marking processes, meaning the teachers can
spend more time planning awesome lessons!
Paid tutor marking
As BitSchool will have many paid direct tutors linked to each course there will be a proportion of
who will be available through BitSchool’s On-Demand Tutoring Services. The customers could
either be an A-Level students who would like to receive feedbacks and make improvements on
the essays they are writing or even a class teacher who would like to delegate some of their
marking for a fixed fee.
Automated
Currently there is a lot of marking that can be automated but this is far from all of it. At BitSchool,
it is our intention over the next several years to train a neural network to be able to automate as
much of the marking as possible thus giving students’ instant feedbacks and a more
individualized learning experience.
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4.4. Adaptive Video Technology
At BitSchool we believe in a fully personalized learning experience. Currently, other online
learning platforms that support video will only use one video per topic they are teaching. While
this may work fine for higher education it certainly does not fully meet the needs of all
adolescent students. To give an example of this imagine the target demographics between
“Wonders of the universe with Brian Cox” who delivers an interesting and informative factual
science show and “Brainiac: Science Abuse” which is a wacky and generally absurd show that
is generally more entertaining but secretly teaches you things about science. At BitSchool, we
plan to categorize all videos for each topic, subtopic or subject matter with the aim of having
multiple videos that all teach the same topic, subtopic or subject matter but in different ways
such that it will fully meet the needs of all learners. We feel that this is very important as a
generic video for one topic, subtopic or subject matter would not be able to fully stretch and
captivate a gifted and talented learner and might even confuse or bore a learner who has
special educational needs. The videos themselves could also have a time link to each question
such that if a learner was to answer a question incorrectly then that part of the video would play
automatically to explain the misunderstood concept.
4.5. Adaptive Lesson Plans
At BitSchool, we understand that a teacher or tutor’s time is precious and best used to ensure
their students or customers getting the best chance of success. We therefore feel it is important
that we provide teachers and tutors with a template for how they could integrate our platform
into the curriculum. BitSchool will provide lesson plans for topics that need to be taught that
would include suggested activities and their appropriate timing but also allow teachers and
tutors fully customizing and changing it to meet their needs. As BitSchool will be constantly
evolving based on usage data, the system will be able to suggest differentiated lesson plans
and accurate timings based on the ability of the learners, something that will increase in
accuracy as their learners use the BitSchool Platform more.
4.6. Gamified Learning
At BitSchool we fully support the use of gamified learning on online learning platforms.
Countless research has shown gamified learning increases memory, engagement and
motivation. We plan to adopt various features to support this including XP/Leveling, badges for
achievement, customized avatars to represent the learners with different accessories, earned
stars for exceptional performance that could purchase avatar customization and daily streaks
with additional rewards for not breaking them.
4.7. AI Green Component
When the Dynamic Marking System becomes fully automated, it along with the Adaptive Video
Technology would be able to provide the ideal self-study environment for especially low-income
students or homeschooling students by its capability of intelligently marking the learners’ work,
producing appropriate feedbacks, and recommending educational videos that would both fulfill
the learner’s individual learning need, style and pathway. Consequently, BitSchool’s AI engine
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will give low-income students the opportunity to receive high-quality education at the best
possible price and contribute to the realization of equal learning opportunities.
4.8. Course Admins System
BitSchool will evaluate and select course admins responsible for managing the contributions to
the AI Database. These course admins are education experts. The AI will create courses per
subjects and assign course admins to each course. Courses will be divided per study topcis
such as English, Math, Physics and etc. The course admins will not only contribute to the AI
Database with her own questions and answers, but also promote contributions among
education experts such as teachers through networking and marketing activities in the global
education community.
4.9. BitSchool Bidding System
Figure 4. BitSchool Two-Way Bidding System
BitSchool defines, manages, and consistently refines the bidding mechanism and rules. The
BitSchool Bidding System only applies to the purchase of tutoring services or related products.
The customer names the maximum price she is willing to offer for the tutor service. Once the
bid is open, the customer can refer to the tutors’ offered prices, the tutors’ service reviews and
ratings, the tutors’ academic and professional backgrounds, service expertise areas, syllabus
(details about the lecture contents and methods), and the tutors’ promotion campaigns such as
free lectures, package discounts or answers to customer specific requests regarding issues
such as scheduling or lecture-method preferences (online vs. in-person lecture).
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The tutor can also make a bid through the BitSchool Bidding System. In this case, the tutor can
name the lowest service price he is willing to offer. Once the bid is open, the tutor can refer to
customers’ offered prices, the customer reviews and ratings made by the customers’ past tutors,
or customer specific requests regarding issues such as scheduling or lecture-method
preferences (online vs. in-person lecture).
4.10. Location-Based Tutoring Service
BitSchool provides Location-Based Tutoring Service (LBT) for off-line, in-person tutoring
sessions. The LBT will be provided through the BitSchool Tutor Map, which indicates the tutors’
current locations, and only tutors who have registered with the LBT will show up on the Tutor
Map. With the help of LBT, customers can narrow down the right tutors in the area using service
categories or keyword searches, and receive off-line, in-person tutoring service from tutors in
the nearest locations. The LBT will be instrumental for customers who prefer off-line, in-person
lectures, and for tutors to effectively plan and provide off-line, in-person lectures. Particularly in
the event that tutors are on trips or move to other places, the LBT will allow tutors to quickly
develop a new market of customers in their new locations.
4.11. On-Demand Tutoring Service
On-Demand Tutoring Service (ODT) is represented by ‘Instant’, ‘Fast’, ‘Cheap’. The ODT
targets customers who require instant and fast answers, opinions, advices, interpretations,
translations to their problems, inquiries, or tasks. As a result, the service period of ODT is from
minutes to several hours as this service provides specific help for specific problems or tasks,
and not formal lectures for study subjects or topics. This is why the BitSchool ODT will be the
best method to obtain accurate answers and help for specific problems or tasks in the most
instant, fast, and cheapest way.
Application Examples
• Personalized Learning
Imagine a student in a class having trouble with a specific math problem. The teacher already
moved to the other question and this student is about to freak out as the next questions are
built upon knowledge to answer the previous question. With BitSchool’s ODT, the student can
instantly connect via the ODT with a tutor who can explain this question’s answer in couple
minutes. The ODT would also be highly instrumental for BitSchool’s Dynamic Marking System
in cases where students need to obtain instant feedbacks for their questions or essays, or
teachers want to delegate some or all of their marking processes.
• Last-Minute Business Prep
The ODT is not only ideal for students. Business people frequently face situations that demand
experts’ help immediately. Think about a businessman heading for an important buyer
presentation. He is not confident about his presentation and wants an expert’s advice on how to
improve it during the short meeting break. This businessman can connect to the required expert
through the ODT and get his much awaited help to brush up his presentation. Not only business
situations demand expert help. Imagine you are heading to an important job interview. You are
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not an English speaker but applying to a UK multinational. Due to your average English
proficiency, you are not comfortable with your prep and interview script, but your interview is
coming up fast. Still you want to get as much objective feedback as possible asap. You can
utilize ODT to get connected to two or three experts, couple of minutes each, and add more
objectivity to your prep review. This is what ODT wants to offer.
• Tech-related
If you are or had been a tech developer, you would know the moments of frustration when your
code doesn’t work no matter how much you tried. Of course you can search the web and find
good advices. The problem is that most of these advices are generic and not specifically
addressing your problem. In this event, you most probably want to get a quick advice at a
cheap price. You can resolve your headache via the ODT which will connect you instantly to the
Global Tech Tutor Network so that you can ask your specific coding problem and get the right
answer in split seconds.
Tutor Marketing
Even though tutors with proven record are expected to use the ODT, newbie tutors lacking the
reputation might maximize the utility of the ODT by using it as a promotion tool for their formal
tutoring service. As the ODT is incomparably cheaper to formal tutoring service due to their
short-period nature, customers may choose the ODT more lightly than expensive formal
tutoring service. This will give opportunities to newbie tutors to promote themselves, that is, if
the customer is content with the ODT provided, there is a great chance that the customer will
give more work to the newbie tutor, and the newbie tutor can rapidly build up his reputation
through ODTs. Besides these examples, the potential areas requiring ODT would be numerous
and the BitSchool ODT will be the perfect tutoring service for customers looking for Service that
are ‘Instant’, ‘Fast’, and ‘Cheap.’
Transaction
The BitSchool ODT is purchased through direct contact with tutors and not through BitSchool’s
Bidding System.
4.12. GoGreenFund
The founding purpose of the GoGreenFund is to provide an equal learning opportunity to lowincome
students by endowing Student Voucher, and encourage the tutor volunteers to give free
education to low-income students by rewarding their activities with Tutor Volunteer Coupons. 5%
of Token Distribution, 2% (the percentage is not finalized) of transaction fees, and Tokens
donated by philanthropists form the fund of GoGreenFund.
4.12.1. Student Voucher
Introduction
As a green-education concept, the Student Voucher is a scholarship endowed to low-income
students so that they can use this Student Voucher to purchase high-quality education service
at BitSchool. BitSchool will promote the GoGreenFund and its scholarship endowment to
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schools and will receive the lists of low-income but promising students as potential
scholarship recipients. If a student is on this list applies for the Student Voucher, the
GoGreenFund will endow the Student Voucher and the student can start using it to purchase
the necessary tutoring service at BitSchool.
Apply Process
• For the GoGreenFund, BitSchool will forge alliance with schools and ask the schools to
refer low-income students to BitSchool.
• The school will send the Student ID List of low-income students to the BitSchool.
Whenever any update happens to the Student ID List, the school will inform BitSchool of
the updates.
• If a low-income student applies for the Student Voucher at the customer registration site,
the customer registration site will authenticate the student and also send the student ID to
the Low-Income Student List Interface (LIS) to be verified.
• The LIS will compare the student ID sent from the customer registration site and, if
matched, send the verification notice back to the LIS.
• The student ID verification result will be sent to the GoGreenFund and the fund will release
the Student Voucher to the student.
Figure 5. The GoGreenFund Low-Income Student Scholarship
4.12.2. Tutor Volunteer Coupon
Introduction
The GoGreenFund endows Tutor Volunteer Coupons to tutor volunteers who extend free
tutoring Service to low-income students and when certain conditions predefined by BitSchool
are met, such as the frequency of volunteer activities. The Tutor Volunteer Coupon allows the
tutor to get the transaction fee exempted for one transaction. By rewarding the tutors’
volunteer activities, the Tutor Volunteer Coupon is expected to increase the tutors’ volunteer
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Service at BitSchool and their social contributions. Moreover, the volunteer activity itself can
be used by inexperienced tutors without proven records to build up their reputation while
doing good and getting rewarded at the same time.
Apply Process
• Once the tutor finishes her registration on the tutor registration site, she can apply for the
Tutor Volunteer Corp (TVC) and become an official tutor volunteer by being enlisted on the
TVC List.
• Tutors listed on the TVC List can be referred to and accessed by low-income students.
• Low-income students can search the TVC List per service categories or keywords, and
find the right tutor volunteer and Service.
• When the tutor listed on the TVC conducts volunteer tutoring for a certain number of times,
the GoGreenFund will send the Tutor Volunteer Coupon to the tutor.
Figure 6. The GoGreenFund Tutor Volunteer Reward
4.13. Service Model
4.13.1. Tutoring Service
The BitSchool tutoring service model focuses on tutoring Service and tutoring-related
products such as textbook or video lectures and targets customers who are looking for highquality
tutoring Service at a reasonable price.
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Transaction
Tutors or customers will be able to register with BitSchool after they download the BitSchool
app. The tutor will register the service she will provide using service categories and the
customers will find the right tutor through BitSchool’s search engine or by direct contact with
the tutor. BitSchool will continuously redefine and evolve the tutoring-service categories to
accurately reflect the available tutoring Service and market needs.
Figure 7. BitSchool Tutoring Service Category Example
Upon registration, BitSchool creates escrow accounts for users so that they can start making
transactions at BitSchool.
Customers can choose a tutor directly or via the BitSchool Bidding System which allows a
price agreement accurately capturing the demand and supply dynamics. The BitSchool OnDemand
Tutoring Service is expected to be processed mostly through direct contacts
between customers and tutors rather than the Bidding System.
Customers can make a bid or request service only after they have deposited sufficient Tokens
in their customer escrow accounts covering the minimum bid prices. For purchases through
direct contacts, the agreed cost between the customer and tutor shall be deposited in the
customer escrow account before starting the service.
Customers can refer to the tutors’ service reviews and service ratings. Tutors can refer to the
customers’ past customer reviews and ratings made by the customers’ past tutors.
Once a service agreement is reached through BitSchool’s Bidding System or direct contacts,
the customer must deposit in her escrow account any transaction amount exceeding the
minimum bid price already deposited. Also the BitSchool Platform will allow agreeing upon
and setting up contract milestones between customers and tutors.
Delivery
If the tutor’s service is online or offline tutoring such as English Speaking Classes, the service
will be delivered by offering these tutoring online or offline.
If the tutor’s service is commodity such as textbooks, editing, translation, or video lectures,
the service will be delivered by delivering these commodities.
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Once the tutor delivers her service and the customer dispute period passes without a dispute
made, BitSchool will first deduct the transaction fee from the service fee deposited in the
customer’s escrow account and transfer the rest to the tutor’s escrow account. However, if the
customer makes a dispute, BitSchool will hold the service fee transfer until the dispute is
resolved and provide dispute-resolution assistance.
4.13.2. AI Products
The BitSchool AI service model targets teachers and tutors aiming to provide individualized
teaching experiences to their students and customers, or learners who want to personalize
their learning to match their learning needs, style and pathway. The AI product purchases are
made directly at fixed prices, and not through the BitSchool Bidding System.
Transaction
To purchase the AI license, the user selects the subject (e.g. English, Math), grade level (e.g.
6th grade), product (e.g. Adaptive AI Assessment, Automated PLC Generation, Dynamic
Marking System), and purchase option (e.g. Individual License), and makes her purchase.
Once the purchase is finished, the purchaser downloads the purchased AI app and starts
using it.
If the user purchases the AI Assessment and PLC app, the user can start to run the
assessment by registering the student or customer as the ‘Evaluee’, and Evaluee will gain
access to her teacher’s or tutor’s AI Assessment app. Once the assessment is complete, the
PLC delineating the learner’s strength, weaknesses, and improvement areas will be produced
and shared between the teachers/tutors and the learners for planning lessons and revision
sessions, or evaluating service quality or determining the need for additional service.
If the user purchases the Dynamic Marking System, the user can start using the partially or
fully (to be implemented in the longer term) automated marking system. Except the automated
marking functions of the Dynamic Marking System, other functions such as Random Peer
Marker Connection is expected be provided free of charge. The automated marking function
such as partial or full automated marking service and feedbacks generation on questions and
tasks will incur fees in principle. However, at the onset of developing and expanding the AI
Database, teachers who submit exam questions, answers and feedbacks to BitSchool to be
uploaded on the AI Database will get free tickets to use the automated marking function for
their submitted exams.
Purchase Options
• Individual Purchase: The license to use the AI products will be sold per period and, in
principle, one app can be used for one student or customer only. Therefore, if a teacher or
tutor intends to use the AI for more than one learner, he must purchase as many licenses
as the number of learners. Once the purchased license period passes, the license must be
renewed or it will be terminated.
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• Wholesale Purchase: In addition to individual purchases, the AI products will be sold in
bulk to schools and offer wholesale discounts. Wholesale clients purchase AI product
license per period and one license covers the number of students defined by the
Wholesale Plan. Once the purchased license period passes, the license must be renewed
or it will be terminated. The initial AI Wholesale Plan marketing will focus on schools allied
with BitSchool for the Student Vouchers. As these schools are familiar with BitSchool’s
green education mission, they would have great interest in the AI Assessment and PLC,
and especially the Dynamic Marking System and Adaptive Video Technology. The
BitSchool AI products will help schools realize personalized learning matching the students’
proficiency levels per topics or subtopics, and also be instrumental for teachers to mark
exams or give educational feedbacks to students, or in selecting the appropriate
educational videos which would be highly effective assistants to classroom teaching.
• Package Purchase: Besides being offered individually, the AI products will be provided in
various product mixes and sold at discounts. Different discount schemes are planned for
differing packages. For example, as the Adaptive Video Technology builds upon the
Adaptive AI Assessment and Automated PLC to intelligently recommend videos matching
the learning needs, style and pathway, the Adaptive Video Technology will be offered as a
package deal with the Adaptive AI Assessment and Automated PLC.
4.14. Payment Method
BitSchool combines a centralized client server architecture and blockchain-based decentralized
client server architecture. The centralized server environment accommodates a traditional
payment system like PayPal while the decentralized server allows transactions through Tokens.
It is expected for the utilization of Tokens to increase significantly once customers get familiar
with and interested in this new way of payment.
Token
The Token is built upon the ERC20 Protocol on the Ethereum blockchain. Token is issued to
secure the required startup cost to develop and grow BitSchool and will be used in online
transactions on the BitSchool Platform. The Token BitSchool will issue through the crowdsale
will be named BitSchool Token with an acronym of BSCH. Customers can directly purchase
Token at Cryptocurrency Exchanges that trades Token, or earn Tokens via the Tokening
process.
Token Utility
Token can be used to purchase tutoring service or related products at BitSchool. Additionally
Token can be used to purchase or renew the license of the AI products and the IWS.
Customers will be incentivized to pay in Token for these apps as the Token price will be fixed at
50% of the cash price for the first year following the launch of the BitSchool Platform (this
discount is subject to annual review and renewal). Token holders can also exchange Token to
cash or other cryptocurrencies at cryptocurrency exchanges that trade Token.
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Figure 8. The BitSchool Tutoring Service Transaction Flow
4.15. Tokening
Tutors or customers may earn Token through a process called Tokening which includes but is
not limited to the following activities:
Refer Tutor or Customer
A tutor or customer receives Token as reward when she refers another tutor or customer to
BitSchool and when the referred tutor delivers or the referred customer purchases service at
BitSchool. To qualify for this referral reward, the tutor or customer has to send a referral link to
the referee so that she can register at BitSchool through this link. If an AI Wholesale Plan client
refers another school to BitSchool and when this school purchases the AI Wholesale Plan,
BitSchool will endow Tokens as rewards for the referral.
Service Reviews
When the tutor makes a customer review and rating, she will earn Token as reward. A customer
review and rating is the tutor’s experience with and impression of the customer she has
delivered her service to. When the customer makes a service review and rating, she will earn
Token as reward. A service review and rating is the customer’s experience with and impression
of the tutor she has received her service from.
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AI Course Admins
Certain portion of the AI profit will be distributed to the course admins in the form of Token. The
course admins will allocate certain portion of the Token received to pay for the questions,
answers and feedbacks contributed by educational contributors.
Token Gifts
Customers will obtain Gold, Silver, and Bronze Status as per purchase frequency at BitSchool.
BitSchool Contribution
If a tutor or customer engages in any of the following activities that are considered benefiting
the development and improvement of the BitSchool, she will be rewarded with Token.
• Verification: Crucial help in verifying the tutors’ academic and professional backgrounds, or
stated achievements and expertise areas will be rewarded. Such activities may include
offering information of false academic backgrounds or professional experience.
• Conflict Resolution: Contributing crucial information to resolving conflicts between tutors and
customers will lead to Token reward. Such information may include sharing past negative
experience with the tutor in question or reporting bad consumer behavior.
• Reporting Unethical/Illegal Activities: Reporting unethical or illegal activities that would hurt
tutors or customers of the BitSchool and result in damaging the reputation of BitSchool will
qualify for Token reward. Unethical or illegal activities include but are not limited to
fraudulent transactions, malicious reviews, trading illegal commodities, or presenting
unethical behaviors to minors. In addition, tutors leaving positive reviews and ratings about
themselves through creating fake customer accounts are considered committing unethical
activities.
• Valuable Opinions: Offering valuable opinions with respect to developing and improving
BitSchool will be rewarded with Token. New service ideas or country-specific business
advices are examples of opinions BitSchool values.
• Marketing and Promotion: Marketing and promoting BitSchool’s Service and sharing service
experiences via social media venues such as Blogs, Facebook or Forums will be rewarded
with Tokens.
• Platform Improvement: Reporting security issues or weaknesses of the BitSchool and
providing improvement measures will be rewarded with Tokens.
4.16. Profit and Market Analysis
BitSchool Profit Sources
The Tutoring Service Model will generate profits from the transaction fees of tutoring service,
tutoring related products, and On-Demand Tutoring Service.
If the purchase of tutoring Service is made with Token, BitSchool will automatically calculate the
value of service in Token and compute the transaction fee as well. In this case, the transaction
will be minimum as there will not incur any remittance fee or foreign-exchange translation fee.
The tutor service will be reviewed and rated by customers, and tutors receiving high service
ratings and positive reviews from customers will get fee discounts whereas low service ratings
and negative reviews may increase the fee. There are no transaction fees for purchasing the AI
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products or the IWS (Interactive Web Solution).
Additional profits are expected from license fees of the Adaptive AI Assessment, Automated
PLC Generation and Automated Lesson Plan, the Dynamic Marking System, and the Adaptive
Video Technology. Furthermore, the Adaptive Video Technology is most effective when
combined and used with Adaptive AI Assessment and Automated PLC Generation, and these
products will offered as a package at a discount. In addition the Token exchange value to AI
products will be fixed at max [Token’s current market value, Token’s ICO end value] (take the
greater between of two values) for the first year following the launch of the BitSchool Platform
(this fix is subject to an annual review and renewal).
Market Overview
BitSchool targets both the global online tutoring market and the global eLearning market, and
this makes BitSchool a highly attractive business model in financial terms. The global tutoring
and eLearning markets are predicted to show strong growth at 14% and 5% CAGR respectively
until 2021, and their combined revenue is expected to amount to $376B by 2021. In particular,
the eLearning market is projected to keep strong growth to reach $240B in annual revenue in
2023 because of the lower cost compared to more traditional education methods, increased
flexibility in learning, and the advancement in Ed Tech such as BitSchool’s AI powered Adaptive
Learning Tech or Gamifications as well as the increasing adoption of eLearning tools by both
academic and non-academic sectors. Furthermore, the integration of the blockchain-based
Token transaction system in the tutoring and eLearning markets will have positive impacts on
their growth. As if reflecting these positive outlooks, in 2016 alone, over 416 Ed Tech Startups
had successfully raised more than $2.2B with the highest single funding amounting to $315M.
Also UK, where BitSchool is headquartered, was the fourth largest country in terms of the
number of Ed Tech Startups produced in 2016. Taking all these factors into account, 2018 will
be the opportune time to launch BitSchool.
Figure 9. 2018 Online Tutoring vs Self-Paced eLearning Revenue by Region
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Global Tutoring Market
The global online tutoring market is estimated to grow at a 13.68% CAGR to generate $155B
by 2021. Currently the US is the biggest buyer of online tutoring Service and products, but
Europe and Asia is expected to outpace the US.
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Global eLearning Market
Target Sector and Segment
BitSchool will initially target the academic sector and eLearning segments including but not
limited to self-paced eLearning, individualized learning (adaptive learning), game-based
learning, gamification, and Mobile Learning. As the technology, data, and knowhow developed
in the academic sector will be transferrable to the corporate eLearning sector, BitSchool aims in
the mid to long term to enter the corporate eLearning sector that is represented by its fast
adoption of innovative Ed Tech tools, and advance its technology, data, and market in this
sector.
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Segment Analysis
• Self-Paced eLearning
Self-paced eLearning allows the learners to study at their own paces, and normally comprises
learning management system, authoring tools, and packaged contents. The self-paced
eLearning is traditionally the largest eLearning tool but is expected to steadily decrease by a
negative CAGR of 6.4% due to the advent of more effective knowledge transfer
methodologies.
• Personalized Learning
Personalized learning forms BitSchool’s main target and comprises adaptive learning
technologies that allow learners to receive learning experiences matching their personal
learning needs, style and pathway. Although this segment is comparatively small compared to
other eLearning components because it is still in its infant stage, this segment is estimated to
grow at a whopping 31% CAGR to $2B by 2020.
• Game-based Learning / Gamification
Game-based Learning and gamification is gaining rapid spotlights because of their proven
effectiveness by their ability to provide motivating and engaging learning experiences. This
proven effectiveness combined with the strong demands and proactive adoption of these
technologies by both the academic and non-academic sectors, game-based learning is
expected to grow at a 22.4% CAGR from $2.6B in 2016 to $7.3B in 2021 while gamification is
predicted to grow at a 46.3% CAGR from $1.65B in 2016 to $11.10B in 2021.
• Mobile eLearning
In 2014, the US was the biggest buyer in the mobile eLearning market at $1.6B and is
projected to increase its spending to $2.1B by 2019. The total mobile eLearning market is
estimated to grow at a 36.3% CAGR 2015-2020, and the greatest contributor to this growth is
China and Asia. China is expected to outpace the US to become the top buyer of mobile
eLearning Service and products 2017-2018, and the total mobile eLearning revenue in Asia is
expected to grow from $4.5B in 2014 to $7.7B in 2019.
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• Corporate eLearning
At $20B, corporate eLearning was the second largest eLearning segment in 2016 and is
estimated to grow at an 11.41% CAGR and generate $31B by 2020. As the trend of innovative
education technologies are ideal for the corporate eLearning sector and will therefore be
quickly adopted in this sector, corporate eLearning will be an important target market for
BitSchool in the future.
Sources:
1 Technavio Global Online Tutoring Market 2017-2021
2 Business Wire (https://www.businesswire.com/news/home/20170124005675/en/Online-Tutoring-MarketDriven-Increased-Emphasis-Succeed)
3 Ambient Insight 2016-2021 Worldwide Self-paced eLearning Market
(http://www.ambientinsight.com/Resources/Documents/AmbientInsight_2015-2020_US_Self-pacedeLearning_Market_Abstract.pdf)
4 MarketsandMarkets
5 Docebo eLearning Market Trends and Forecast 2017-2021
4.17. Platform Partnership
With CAFA
Washington based CAFA (Computer Adaptive Formative Assessment) Lab Inc. is a formal
partner of BitSchool. CAFA Lab Inc. is a leading US R&D Institute and has conducted research
and developments in the technology-based assessment projects for over five years with various
partners such as Samsung Electronics (Intelligence Solution Team), Korea Institute for
Curriculum and Evaluation (Assessment Advancement Team), CISCO Systems, and others.
Under the partnership agreement, the lab will provide consulations on CAFA’s Intelligent
Assessment Engineering Systems to BitSchool. This includes Automatic item generation (AIG)
using machine learning techniques; computer-adaptive formative assessment models;
educational big data analytic systems; problem solving artificial intelligent (AI) System using
Deep Learning Artificial Neural Network (DL ANN); diagnostic assessment system using DL
ANN. The partnership between BitSchool and CAFA will include but not be limited to the codevelopment
of core technologies and licensing of the CAFA technologies and database which
will become an integral source to empower the BitSchool AI engines. Also we are planning to
co-organize presentations and panel discussions with Dr. Choi at various global blockchain, AI
and eLearning events. You can find more information about CAFA at
http://emathtest.com/cafa or its product at https://www.amazon.com/gp/product/0998129860.
With IRDNA
IRDNA, a key educational research institution located in France, aims to research and develop
different methods to support every child throughout the educational process. They are made up
of a large group of specialists, experts and researchers in the fields of neuroscience, pedagogy
or educational sciences technology. Both IRDNA’s and BitSchool’s interest align as we both seek
to ensure that every child gets the best possible education they deserve, no matter what their
background. BitSchool also offers a GoGreenFund which gives back to the community by
providing free education to those that need it most. IRDNA will be able to provide research into
our proposed platform to ensure that our solution provides the best possible education for the
next generation of learners.
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With CIF
Crypto Improvement Fund (CIF) is a project focused on the education and implementation of
Blockchain initiatives in both businesses as well as with the community at large. CIF will be
focused on the consultation and implementation of Blockchain solutions for business looking to
incorporate this disruptive technology into their existing business model. The Crypto
Improvement Fund has already launched their proprietary Blockchain education piece
(Blockchain.Edu – http://www.blockchainedu.io) as well as the CIF coin, who’s utility is for incenting
business to adopt these emerging technologies as well as to purchase products and services
offered by CIF.
CIF will bring invaluable conceptual and technological insights and expertise in cryptocurrency
and the blockchain technology to BitSchool and will help us with the design, development and
deployment of our blockchain infrastructure as well as token utilities. In exchange, the
innovative BitSchool Platform along with its mission to achieve educational excellence by
applying cutting-edge technologies will form an exceptional case of a benchmark blockchain
application that will further the goal of CIF to guide the successful settlement of this new-frontier
technology in our community. We are looking forward to the positive synergy between BitSchool
and CIF, and for more information of CIF, please visit their website at:
http://cryptoimprovementfund.io.
5. Roadmap
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6. BitSchool Token Sale
Token Sale Plan
• Total Token supply: 400,000,000 Tokens
• Max Cap (Max Public Funding Target): 300,000,000 Tokens
• Min Cap (Min Public Funding Target): 4,000,000 Tokens
• Token Name: BitSchool Token (BSCH)
• Token exchange rate: 1ETH=6000 Token
• Funding coins: ETH
• Minimum purchase: 0.01ETH
• Official Smart Contract Address: Details of BitSchool’s smart contract address (wallet) to
receive Ether will be announced at least 48 hours before the start of the presale and
crowdsale respectively.
The Max Cap simply states a crowdsale goal of BitSchool and is not a requirement to start the
BitSchool Platform development and launch. In the event that we successfully hit the Max Cap,
we will have secured sufficient funds to develop advanced AI products that include machinelearning
capabilities, all the requirements of our tutoring-service platform, form our global
operations, and execute aggressive global marketing strategies. If the BitSchool crowdsale only
reaches the Min Cap, we will still be able to develop our tutoring-service platform and basic AI
prototypes, but may also have to rely on talent contributions and reaching out to other funding
sources.
Also note, when sending Ether to participate in the BitSchool Token Sale, participants shall
ensure that the spelling of the BitSchool smart contract address is correct or else the
participation will be invalid and participants will not receive any Token.
The following chart describes the Token distribution plan:
Token Distribution
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• GoGreenFund: 5% is allocated to ensure sustainable scholarship endowments by the
BitSchool GoGreenFund.
• Reserve: The 2% Reserve was set aside for contingencies and Token Rewards for the
planned BitSchool Pilot Quiz and referrals. Following the BitSchool Platform launch, the
Tokening rewards will come from the Reserve.
Unsold Tokens
All unsold Tokens will be donated to the BitSchool GoGreenFund and be used to provide
Scholarships to Low-Income Students and issue Tutor Volunteer Coupons for Tutor Volunteers.
Token Sale Timetable
Following is the Token supply amount and schedule. Additional Token will be given as bonus to
all presale participants and crowdsale participants who participate in week 1-3, and the amounts
are as below.
• Presale
Token supply: 4,000,000 Token (1% of total supply)
Presale bonus: 35% of Token purchase amount
Presale schedule: 19 Mar. 2018 09:00 (GMT) ~ 16 Apr. 2018 09:00 (GMT)
• Crowdsale
Token supply: 296,000,000 Token (74% of total supply)
Crowdsale bonus plan:
 1
st week (5/14 09:00 GMT ~ 5/21 09:00 GMT) 15% of Token purchase amount
 2
nd week (5/21 09:00 GMT ~ 5/28 09:00 GMT) 10% of Token purchase amount
 3
rd week (5/28 09:00 GMT ~ 6/4 09:00 GMT) 5% of Token purchase amount
 4
th week (6/4 09:00 GMT ~ 6/11 09:00 GMT) no bonus
Crowdsale schedule: 14 May 2018 09:00 (GMT) ~ 11 Jun. 2018 09:00 (GMT)
Token Distribution
Token will be distributed to the investors’ wallets 15 days after the Token Sale is finished.
Public Fund Distribution
The Public Fund raised through the Token Sale will be stored in an offline cold multi-sig wallet
which will require three private keys out of four to authorize the release of funds. The four private
keys will be separately and independently held and managed by four core members of BitSchool,
and stored in four separate safe deposit boxes at a bank. Once the fund releases Ethers, they
will be exchanged into fiat currency which will be then deposited at a reputable bank and
executed according to the Public Fund distribution plan. To guarantee a transparent and accurate
distribution and execution of the Public Fund, BitSchool will outsource the audit of the Public
Fund management and execution process annually to an external auditor.
The following chart describes the Public Fund distribution plan:
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Public Fund Distribution
• AI Products: The highest portion of 50% is allocated for the design and development of the
AI product line – Adaptive AI Assessment, Automated PLC Generation, Dynamic Marking
System, Adaptive Lesson Plan, Adaptive Video Technology, and Gamified Learning.
• Tutoring Platform: 10% of the fund is expected to be spent for the development of
BitSchool’s tutoring platform including but not limited to On-Demand Tutoring Service,
Location-Based Tutoring Service, IWS (Integrated Web Solution), Blockchain-Based
Transaction System and Token Reward Programs, and the Bidding System.
• Marketing: A significant fund of 23% is assigned to marketing expenses to run global
marketing researches, build and manage the BitSchool brand identity, conduct on/offline
advertisement and PR, and manage sales of AI products to schools, teachers and tutors.
• Operations: 10% is allocated to cover the business expenses to establish and manage
BitSchool’s global back-office functions including but not limited to Global Operations,
Customer Service, Office Spaces, and various overhead expenditures.
• Legal/consulting: 3% will cover the advisory expenses expected to be incurred in the setup
and management of BitSchool’s global operations.
• Security: The 2% security fund is set up to ensure consistent, thorough security of the
BitSchool Platform.
• Reserve: 2% is set aside for contingency purposes.
Token Mandatory Holding Period
Token subjected to holding period are Tokens held by the BitSchool Founders, Advisors and
Team, and are not allowed to be sold until 180 days from the Token distribution date.
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7. Legal Notice & Disclaimer
Participation in the BitSchool ICO does not represent an investment opportunity but rather a
purchase of the Token to buy products and services on the BitSchool Platform. Therefore, no
information contained in this whitepaper or on the BitSchool website (“Website”) –
http://bitschool.io – shall be misconstrued as investment advices. ICO participants shall consult
their own legal/financial advisors before committing to any actions set out in this whitepaper or
the Website. BitSchool carries no liability for the ability to participate in the ICO for reasons
beyond the control of BitSchool including but not limited to the ICO duration, transaction mining
delays and node-related issues. ICO participants understand that by transferring assets to
BitSchool, participants make the final decision on deposition of cash or other assets and has no
right of refund except a 100% refund when public fund raised is under the min cap of
4,000,000BSCH when the ICO period ends. ICO participants agree that they purchase, receive,
sell and hold BSCH at their own risks, and that the BSCH is provided on an ‘as is’ basis without
guarantees of any kind, whether expressed or implicit. It is the ICO participants’ sole
responsibility to determine whether they are legally allowed to purchase BSCH in their
jurisdictions and whether they can resell BSCH to another buyer in any given jurisdiction. The
ICO participants guarantee that they are 18 years old or older and comply with applicable laws of
the jurisdiction where they reside. Citizens and residents or their representatives of USA, China,
South Korea or any other countries barring its citizens and residents from participating in ICO are
not allowed to participate in the BitSchool ICO. Also BSCH buyers, receivers, sellers and holders
are solely responsible for determining or evaluating the tax implications of their participations in
the BitSchool ICO, receiving, selling or holding BSCH in any relevant jurisdictions. This
whitepaper does not regulate the purchase and sale of BSCH which are subject to the Terms and
Conditions published on the Website.
BitSchool makes no representations and warranty of any type as to the accuracy, reliability or
completeness of any information included in this whitepaper or the Website. BitSchool, its
founders, members, associates, employees, advisors or partners shall not be held liable for any
indirect, incidental, consequential, or other damages or losses occurring from or related with the
use or misuse of any of the information contained in this whitepaper or on the Website including
but not limited to the loss of revenue or profits, and the loss of data. Some estimates or
statements in this whitepaper or the Website form future plans involving uncertainties and risks,
and may result in differences with the planned outcomes.
No regulatory authority has examined or approved of any information in this whitepaper or the
Website. No such action has been or will be taken under the laws or regulatory requirements of
any jurisdiction. The regulatory status of cryptocurrency is still unclear or undefined in some
countries. These countries’ legislatures or regulators may apply or modify existing regulations to
govern cryptocurrency and these regulatory actions may adversely affect BSCH. As BSCH is
based on the Ethereum blockchain, any malfunction or breakdown of the blockchain may have
negative effects on BitSchool and BSCH. BSCH is also exposed to attacks by miners while
validating the transactions including but not limited to double-spend attacks, majority mining
power attacks, and selfish-mining attacks. Any successful attack could adversely affect BitSchool
and BSCH including but not limited to the accurate execution and recording of transactions
involving BSCH. Hackers may attempt to obstruct BitSchool and BSCH in ways including but not
limited to malware attacks, denial of service attacks, or Sybil attacks.
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8. Founders & Team
The BitSchool team comprises teachers, tutors, students, software developers, global business
experts, blockchain experts, neuroscientists, Artificial Intelligence experts and parents,
passionate about developing excellence in education. The team has a combined over 50 years of
experience providing high quality education to a wide range of demographics.
Founders
Kiung (Tom) Ku
CEO / Co-Founder
Tom has extensive years of experience in the financial sector as a risk-management
expert before he received his MBA from Columbia University in 2007. After his MBA,
Tom worked for Ernst & Young, New York as a risk-management and –system
consultant and from 2010, founded his Top MBA Admission Consulting Firm and also
developed the Online Admission Consulting Platform (selfeditor.co.kr) in 2016. Tom is
an expert in Global Business, Education, and IT Design and Development.
Philip Leipper
CTO / Co-Founder
Phil is a Computer Science teacher in the UK with over 6 years of teaching experience.
He also has over 12 years of programming and development experience including full
stack web development. As a computer science major, Phil is a very talented IT
system designer and developer, and has worked for various IT projects. Most recently,
based on his teaching experience and IT expertise, Phil has designed and developed
the Adaptive Learning App built upon an Artificial Intelligence Algorithm (AI) and is also heading the design
and implementation of the blockchain technology at BitSchool.
Team Members
Bad Edwards
CMO
Bad has worked in marketing, brand management, database marketing and market
research for telecoms, IT, satellite TV and fast consumer goods industries in UK and
Asia. She holds a Diploma in Computer Science, BSc (Honors) in Operational
Research with Computing from University of Leeds, UK and Postgraduate in ICT
teaching. Currently, the Head of Computer Studies at a UK high school and a teacher
in IT and Computer Science. Bad has been in the education industry for 15 years.
Evan Stanfield
Marketing Manager
Evan is a Digital Marketing Specialist, Web Analyst, and Graphic Designer with over a
decade of experience with expertise in print design, digital campaign creation, and
identifying correlations between numbers. With a background in brand marketing,
analytics and graphic design at one of the top education production firms in the
country and at one of the leading behavioral health providers in Los Angeles, Evan
has created skills that allow him to tap into mind of any target audience.
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Deok Gun Park
Chief AI Architect
Duck received a BS in electrical engineering and an MS in biomedical engineering at
Seoul National University, Korea. Before coming to the US to obtain his PhD, Duck
mainly worked in IT Architect positions at IT startups. He will receive a PhD in
computer science at the University of Maryland in May 2018 and has interned at
Google, IBM Watson, and MS. His areas of research and expertise span Visual
Analytics, Text Mining, and Artificial General Intelligence. Duck will head and be the
core designer of BitSchool’s AI R&D Center.
Lina Kim
Executive Assistant / Market Researcher
Lina holds significant experience as a seasoned executive assistant at major
multinational corporations and also expertise in marketing research, brand
management and strategy, and brand communication. Her experience crosses diverse
industries including banking, consumer products and education.
Andrew Spero
Project Manager
Andrew is a computer science teacher with over 4 years experience at one of UK’s
leading secondary schools. He is passionate about making a difference to lives of
young people and has attained both a Master’s degree in education and is Prince2
qualified. Andrew has over 10 years of IT industry experience and oversees more than
400 employees as the Operations Manager within the company.
Matthew Bowen
Backend Developer
Matthew is a UK software engineer and computer scientist with over 10 years
experience. He has worked as a computer scientist at CERN contributing to the CMS
experiment, and then as a software engineer for GE Oil & Gas, developing robust
software deployed to high-risk natural environments. He has also spent 10 years
teaching Japanese martial arts to school children, as well as having volunteered for 5
years as the leader of the Debate & Current Affairs section of The Student Room.
Michael Leipper
Frontend Developer
Mike is a frontend developer with expertise in React, JavaScript and angular 2.0. He
has recently undertaken a 4-year computer science course at the open university
while working as a manager at a top UK betting shop demonstrating both his hardwork
attitude and willingness to succeed. Mike intends to specialize in big data
analytics which will form a perfect synergy for his future here at BitSchool.
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Michael Demetriou
Blockchain Developer
Michael is an engineer and entrepreneur with 10 years experience. He majored in
civil and environmental engineering at the University of Cyprus with a minor in
Management. His experience includes photography, car journalism, project
management, engineering, product design, and web/mobile/blockchain applications
development. His leadership roles include the co-founder of outofbounds.gr, design
head in nemomobile OS project and Maemo County council member.
Mohammed Hoque
Community Manager
Mohammed has 9+ years of experience working at top UK educational organizations
where he has gained extensive experience across various positions and functions,
perfecting his overall understanding and expertise of the educational systems and
processes. For the last 3 years Mohammed has been a customer service advisor
delivering outstanding customer support both externally and internally.
Course Admins
Tegan Macmillan
Course Admin
Wapping High School
Teacher of Science and
Steam
Andy Percival
Course Admin
Shirley High School
Head of ICT and
Business
Chris Demtriou
Course Admin
Willow Brook Primary
School Academy
ICT Leader
Jaspal Singh
Course Admin
Loughborough High
School
Director of Academic IT
Student Team
Our student team comprises the best and brightest students that were mentored by teachers of
the BitSchool team. They’ve been chosen for their consistent hard work and drive towards
becoming future software developers and have all demonstrated huge potentials far above their
peers. These students will take active roles in the development and deployment of the future of
BitSchool and help develop learning based games and act as sounding boards by contributing
their invaluable student insights in forming the BitSchool AI Database and tools.
Krzysztof Dobrzycki
Student Games Developer
Jacob Burney
Student Games Developer
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Advisors
Dr. Choi
Associate Professor of George Washington University (GWU)
AI eLearning Technology and Strategy Advisor
Dr. Choi received a Ph.D. in Measurement, Statistics, and Evaluation from the
University of Maryland and is currently an Associate Professor and Program Director
of the Assessment, Testing, and Measurement program at the George Washington
University. His research areas include: Next Generation Assessment Models
(Truncated or Semi-truncated Logistic Item Response Theory Models; Non-linear Growth Modeling for
Latent Traits; Assessment Models for Machine/Artificial Intelligence), Intelligent Assessment Engineering
Systems (Automatic Item Generation [AIG] using Machine Learning Techniques; Computer Adaptive
Formative Assessment [CAFA] Models; Educational Big Data Analytic Systems; Problem Solving Artificial
Intelligent System using Deep Learning Artificial Neural Network [DL ANN]; Diagnostic Assessment System
using DL ANN), and Technology-enhanced STEM Education Applications (K-Math Workbook System using
AIG for K-12 Math; CAFA Smart Assignment System for K-12 Math; Pathway to Advancement and Success
in Statistics [PASS] System). At CAFA Lab, he is in charge of overall project management focusing on
assessment system design and psychometric models, and will lead the partnership with BitSchool from the
CAFA side.
Edouard Brauer
President / Co-Founder of IRDNA
Neuroscience and Education Technology Advisor
Edouard has over 20 years’ experience in competitive intelligence, strategy building
and business management and investing advisory. He has an inexhaustible passion
for technology and business, he has advised early stage and major IT companies in
corporate finance and strategy and participated to successful IPO’S and M&A. In 2016 he co-founded the
Institute of Research and Development in Applied Neurosciences (IRDNA) with the goal of awakening the
exceptionality in each child through the use of innovative technologies such as virtual and augmented reality,
big data and gamification, Machine Learning and Artificial intelligence; to develop the potentials that every
child, every human being has got inside.
Scott Douglas
Blockchain / Business Strategy Advisor
Founder of Blockchain.Edu & Crypto Improvement Fund
A growth-focused leader and seasoned business strategist with a passion for bleeding
edge technologies. Scott has worked with several high profile companies such as
Cisco, Bell, Avaya and NEC. He has worked in the enterprise space, consulting on
complex networking, telecommunication and SAAS projects. With a proficiency in project management,
sales, leadership, scaling and improving operational efficiencies in F500 companies, he is an industry
leader in knowledge pertaining to fintech, blockchain, and cryptocurreny.