Digitalx : Letter to Shareholders

ASX ANNOUNCEMENT

27 July 2016

Letter to Shareholders

Dear Shareholders,

In light of recent developments, I am writing to you today to personally reassure you that the events which prompted the resignation of Zhenya Tsvetnenko are not related to our Company. I can also assure you that nothing has changed with our business in terms of its operations or outlook.

Mr. Tsvetnenko has not held operational responsibilities in our Company over this past year as we shifted our focus on expanding internationally. Rather, it has been myself, the U.S. and Latin American teams who have been actively managing the day-to-day running of the DigitalX business.

We are in the process of identifying a replacement Chairman - one with the right experience and track record to help lead our Company to its next phase of growth.

I can also share with you that we have been in touch with our key strategic partners, who are unaffected by Mr. Tsvetnenko's departure. Other new partnerships we are pursuing are similarly unaffected and there is no reason to believe this will change.

As we mentioned in our quarterly update released this week, DigitalX has experienced a strong start to the new financial year and there are a number of exciting developments we are anticipating over the course of the next several months. These include additional partnerships with other leading organizations, as well as future growth in our trading business, which reported record revenues in the June quarter.

While our team is predominantly based in Boston and New Jersey, I would like to communicate to our Australian shareholders that we have an exceptional team capable of delivering our current products and conceptualizing future products that will propel the business forward. Your Company is in good hands, and my team and I are confident that we will be able to deliver significant shareholder value over the course of the 2017 financial year.

Thank you for your ongoing support. Yours sincerely,

Alex Karis

Chief Executive Officer DigitalX Limited

For further information, please contact: DigitalX Limited:

Leigh Travers

Executive Director - Investor Relations T: [phone] x 1006

Media Enquiries:

Melissa Mack

E: [e-mail] T: [phone]

About DigitalX Limited

DigitalX is a Blockchain-based software solutions group disrupting the payments industry. Its products allow consumers to make secure and cost-effective money transfers worldwide. Partners can use DigitalX's technology to offer new financial products. DigitalX is based in Boston and has offices in New Jersey and Australia.