EXPRESS INVESTMENT EVALUATION OF
ICO PROJECT
playkey.io
ICO 01.11.2017 - 30.11.2017
Digital Rating Agency
digrate.comLowFraud Rate

The legal opinion prepared by
Digital Rights Center
LIMITATION OF LIABILITY
This report is the intellectual property of DigRate. The following content is intended for informational purposes only. This
information may not be distributed in any way or in any form without the prior consent of DigRate and links to
www.digrate.com
This evaluation expresses the views of DigRate and does not constitute a statement of fact or recommendation to buy,
hold, or sell these or any other assets, or make investment decisions. DigRate assumes no responsibility for any
consequences, interpretations, conclusions, recommendations or other actions directly or indirectly related to the
evaluation performed by DigRate, or the observations and conclusions contained in the ratings report and press
releases, or the absence of any of the above. Current valuations and recommendations can only be found on the official
website www.digrate.com.
The DigRate team expresses its respect to all enthusiasts of the cryptocurrency world.
2
Investment evaluation of playkey ICO

GENERAL INFORMATION 4
INVESTMENT EVALUATION 6
Market 6
Business Model 11
The Tech 16
Economics 18
Legal Documentation 22
Team 26
Project Support 32
Media Environment 37
Legal Opinion 41
CONCLUSION 49
RECOMMENDATION 54
CONTENTS 3

▪ Playkey, a leading cloud gaming provider, is contemplating an ICO with the intent of exponentially accelerating the
pace of cloud gaming development through decentralization. The aim is to provide gamers with a reasonably-priced
opportunity to play top-rated games anytime and anywhere, using any device connected to Internet, without having
to purchase a high-end PC or console.
▪ Playkey is releasing an open source cryptographic token – PKT. PKT is a cryptocurrency to be used to buy and sell
cloud gaming subscriptions, as well as other Playkey services and future products. It is to be the accounting unit for
all economic transactions within the Playkey Ecosystem, and is to be used as the basis for interaction with other
digital services. PKT is to be implemented on the public Ethereum blockchain in accordance with the ERC20
(Ethereum Token Standard). 1 PKT = 0.004 ETH.
▪ The company expects that an open, decentralized cloud gaming market will provide both private and professional
miners with the opportunity to generate 2-3 times more cash with a lower risk level than crypto mining, and
decrease prices for gamers by 50%, which should allow more gamers to play games, thus expanding Playkey’s
user base and number of hardware providers.

▪ The core participants in the Playkey Ecosystem:
Miners – blockchain enthusiasts that share their hardware’s computing capacity with gamers. The miners act as
providers of cloud gaming services. Miners are to get most of the PKT revenue and share part of it with the Playkey
Foundation for further marketing, R&D and new-game integration. These percentages are to be determined by the
Playkey Foundation based on customer needs and the miner community feedback.
Gamers – users who play games on a miner’s computer for PKT, using the Playkey service. Gamers are to be able to
choose the best and closest server on which to play. It is expected that PKT tokens will be bought by gamers on
cryptocurrency exchanges, or on Playkey’s official website. Gamers pay miners tokens for playing. Miners share
revenue with the Playkey Foundation, which supports the software, organizes relationships with publishers, undertakes
marketing and develops the ecosystem.

INVESTMENT EVALUATION | Market 7
Does the problem the project plans to solve really exist?
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
According to Steam statistics, 87% of players cannot play new games due to their computers’ technical specifications.
Cloud technologies provided by Playkey are to solve this problem. A decentralized system of equipment suppliers
eliminates delays that occur when transferring video and audio streams. The ability to fully use this technology depends
on Internet speeds. Many Internet providers in developing countries cannot provide sufficient communication channels
to compensate for the difference in power of personal computers, and many owners of these computers are insolvent.

Does the problem the project plans to solve really exist?
The global entertainment market (games, music, and video) has been actively moving into the cloud over the past five
years. Nowadays, users do not need to download digital content to their devices (computer, phone, laptop, or tablet),
and can instead use it online via the cloud.
Until recently, there were no working technologies that allowed the transmission of a high-quality, real-time images,
with minimal response time (ping < 100 ms), and without corrupted visuals, hangs, or frame losses, while at the same
time supporting the minimal-ping input from users crucial for cloud-streamed gaming – a condition that distinguishes it
from less demanding media such as one-way video or audio streaming. Only a low-ping output and input solution can
provide users with a seamless cloud-gaming experience on AAA titles. Playkey is one of the pioneering developers
and providers of this technology.

Is the company’s product unique?
There are many start-ups of this kind (Snoost, Ubitus, PS Now, Liquid Sky, Vortex, etc.), but Playkey is to be the first
company to implement a blockchain system and conduct an ICO. According to the company's figures, their current
(without blockchain) Playkey service is a leader in number of users, connected rights holders, and infrastructure, among
other parameters. The team has sufficient experience and knowledge in the field of cloud gaming. The company also
has the resources to decentralize infrastructure. However, the team’s experience in cryptocurrency and blockchain is
less extensive and it is less important to end-users (gamers) whether the system is built using blockchain technology.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Does the company understand its competition?
The team claims to be the leading cloud gaming company. The company’s key competitive advantages are that there is
no need to purchase additional equipment (for Nvidia Shield technology, the user has to buy a game controller), a wide
range of games with constant updates, developed infrastructure, and the highest market share. In the near future the
team plans to implement the service on Android, VR, and SmartTV, among others. In our communications with the
team, we were provided with a detailed analysis of the competitive environment and a description of Playkey’s
advantages. However, this information is not available in whitepaper or on the official website. According to DigRate, it
would be useful to provide it publicly for discussion.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

INVESTMENT EVALUATION | Business Model 12
Is blockchain technology a solution to the market problem?
The main problem is the high costs of installing servers, the necessary equipment for processing game content and
video and audio streams, all over the world. Miners can solve this problem by providing equipment for creating a single
infrastructure system for cloud gaming. While the blockchain technology in the company's business structure is
motivation for miners, who will potentially be able to convert tokens into fiat currency. In the future, the company plans
to connect other services to the infrastructure: game sales, streaming, e-sports, etc.. PKT is to be a united currency for
all of the company’s current and future services. However, tokens can be interpreted differently in different countries
that can create barriers to the company’s development, and miners’ motivation is questionable.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Has the project laid out its operating business model?
The existing business model clearly describes all participants’ role in the project, the architecture of the ecosystem, and
possible options for growing the company. Currently the Playkey team sells the same product, but without using
blockchain technology.
The primary goal of the Playkey Ecosystem is to provide advantages and benefits to all participants, which should fuel
growth in the number of service providers and users. The Playkey Foundation is to spend the funds raised from the ICO
to develop the miner ecosystem, provide support for early miners, help them pass SLA tests, and prepare to offer a high
level of service. At the same time, miners’ motivation is questionable, as Vortex (https://vortex.gg) offers a monthly
subscription for similar services for $9.99, and LiquidSky (https://liquidsky.com) offers 25 game hours for the same
price. Assuming a usage rate of 50% and a similar price, miners could return $150 per month, which would require over
a year to recoup the cost of the $2,000 computer, without taking into account electricity costs.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Is there already a working product that can be sold to customers?
The company has already been selling cloud-gaming services for over four years. Playkey has a network of 120 Nvidia
Grid servers located in London, Frankfurt, Amsterdam, and Moscow. The new distribution model is to be less
centralized than the current model, in which the company owns and leases servers. The company is focused on further
decentralizing its infrastructure.
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

INVESTMENT EVALUATION | Business Model
There is an expanded roadmap and revenue model for reinvesting funds in the project whitepaper. The funds raised
during the ICO are to be used to develop the Playkey ecosystem and popularize its cloud games. Subject to the amount
collected, the planned structure for fund use is as follows:
• Service marketing, promotion, and PR – 25%-45% of total funds;
• R&D expenses (mainly salaries and wages) – 20%-50%;
• Infrastructure costs – 20%-30%;
• Operational costs – 4%-5%.
15
Is there a clear roadmap and financial plan?
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

INVESTMENT EVALUATION | The Tech 17
Is the project technology safe for network members?
As the project tokens are based on the Ethereum protocol, they have the same network stability risk as Ethereum itself.
Since users must be able to make unrestricted transactions for various digital services in a decentralized ecosystem,
users should have a single account for all services, which carries some risk.
Playkey plans to create and maintain a centralized ledger of off-chain transactions with an API accessible to all digital
services partners, but transactions in PKT are to be conducted using the Ethereum blockchain. In the initial stage, the
company plans to use a semi-centralized service, with on/off-chain transactions.
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

INVESTMENT EVALUATION | Economics 19
Is the issuance of tokens limited? Is there an asset base that would protect current holders from token
devaluation?
The company plans to issue a total of 100mn PKT. To minimize risk at the end of the ICO, the funds are to be stored in
ETH, bitcoin and US dollars.
Within three to six months of the end of the ICO, the company plans to move its entire infrastructure to PKT. It is
assumed that gamers will pay for equipment rentals in tokens, while miners are to be able to convert the cryptocurrency
into fiat currency. The Playkey Foundation is to work closely with the community of miners and recommend mutually
beneficial prices. Nevertheless, the final decision on the price is to be made by the miners. The company believes the
price of the miners services will not be lower than the remuneration received by miners of other cryptocurrencies, and
the cost of the services will be correlated to the cost of similar non-blockchain services.
Of the tokens the team owns, 90% is to be frozen within a year. Tokens that are not sold at the ICO are to be destroyed.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Do the project participants have clear motivation for owning the tokens?
In the future, all payments are to be made in PKT. Gamers will have to buy the cryptocurrency to use the company’s
services, and the miners, in turn, convert earned money into the fiat currency. The team expects the tokens will be
purchased by gamers on crypto exchanges and on the official Playkey website. Thus, demand for PKT is to be
maintained as long as there is demand for the company’s services.
There are current and future alternative market players who accept fiat currency and offer competing services, which
means Playkey is likely to be in a constant struggle for the market share, as the tokens of an unpopular platform would
lack sufficient demand to support a cryptocurrency.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Are project tokens protected from market manipulations?
The RKT price has a direct correlation to demand for the company's services. With constant demand, the main
speculators are the miners, who set the prices for equipment rentals. The Playkey Foundation is an adviser and has no
right to interfere with these manipulations. Nevertheless, the team believes the foundation will have sufficient funds in
tokens and fiat currency to help stabilize the market. If demand is insufficient, the foundation plans use its funds on
marketing programs to attract users.
However, the cost of gaming time for users is defined by the market price for similar services on other fiat services.
When attracting a large number of participants to the platform, it is possible to increase the value of the token with a
parallel decrease in the cost of an hour in tokens.
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

INVESTMENT EVALUATION | Legal Documentation 23
The company is part of the following organization:
“Igrovye reshenia” LLC
PSRN 1117746378353;
Date of PSRN assignment: 13.05.2011;
TIN/CRR 7703744278/773101001.
Location address: office 5, 2 floor, building 1, ul. Malevicha, territory of the Innovation Center Skolkovo, Moscow,
Russian Federation, 143026.
Mailing address: Coworking Deworkacy, building 3/6, ul. Bersenevskaya Naberezhnaya, Moscow, Russian Federation,
119072.
CEO: Guriev Egor Anatolievich.
Authorized capital: 11,318 rubles.
Is the company’s legal structure transparent?

Is the company’s legal structure transparent?
There is information about the registration and legal structure of the initial company in public sources. Igrovye Reshenia
LLC is part of the PLAYKEY HOLDING s.r.o company, registered in Slovakia.
As became known during our correspondence, the ICO is to be conducted in the Cayman Islands (registration there
typical for ICO and start-ups); however, this information is not publicly available. The whitepaper also lacks legal
information, which the team explains by the fact that the relevant documents will be released closer to the ICO start
date.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Has the company taken preventive measures to avoid issues with ICO market regulators?
Any fiat currency investment from countries that prohibit these operations (China, the US and UK) is forbidden under
the terms of the company's agreement. The company emphasizes that it is not targeting the aforementioned countries
and is not conducting a marketing campaign in those locations. There is no answer as to whether the company is going
to cut off traffic originating from these countries. Information on regulatory risks is missing in the whitepaper.
The company does not identify investors in the tokens.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

INVESTMENT EVALUATION | Team 27
Does the project team have extensive experience and a strong track record?
As the company’s general manager, Gurev is responsible for the development and implementation of a
global strategy and relations with key partners. He graduated from Perm State University (Faculty of Radio
Engineering and Technology) in 2007.
2004 – engineer in IVS Networks.
2008-2010 – Head of the R&D department at ER-Telecom.
2010 – Founder and CEO at Enaza.
2012 – Co-founder of Playkey.
EGOR GUREV
Founder, CEO

28
Responsible for the development and implementation of technical strategy and product development.
Lykov graduated from Perm State University (Faculty of Information Technology) in 2007.
2009-2011 – Lead Programmer in Enaza.
2011-2012 – CTO in Enaza.
2012-present – Founder and CTO at Playkey.
ALEXEY LYKOV
Founder, CTO
INVESTMENT EVALUATION | Team

29
Responsible for relations with game publishers, represents the company at international exhibitions and
runs the company's game strategy.
2010-present – Head of Licensing Department at Enaza.
2013-present – Director of Game Strategy at Playkey.
VADIM ANDREEV
Founder, Director of Game Strategy
Other team members
Other members of the team: CFO, Development Team Leader, Chief Marketing Officer, etc. Additional
information and links to the profiles of team members on LinkedIn and other social networks, indicates
extensive experience and a strong track record are present.

30
Playkey is not the first project of the founders have worked on; earlier they founded Enaza (a digital content speicialist
for Internet providers). Due to financing from this company, Playkey has been able to stay afloat for its first two years.
The team has extensive experience in entrepreneurial activity. Almost every member of the team has experience in the
gaming industry, as well as in the field of cloud technology. For example, Roman Epishin (Chief Marketing Officer)
launched "Tanks Online," which was included in the top-10 Russian games in terms of annual profit. Vadim Andreev
has eight years experience in the field of relations with publishers of computer games. The team’s professionalism
would be hard to question, considering Playkey’s achievements over the past four years. However, whether the team
has enough knowledge and experience in the field of cryptocurrency and blockchain technology is unclear.
.
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

INVESTMENT EVALUATION | Team 31
Is the project team well known in professional circles?
The Playkey team, which is a resident of Skolkovo, is one of the top 10 teams, according to a jury of professional
investors (SLUSH SINGAPORE PITCH COMPETITION TOP 45 ANNOUNCEMENT). The company is also a regular
guest and speaker at thematic conferences and forums, such as ICO Event London, Markerspace, and Blockchain
Solutions Forum.
Is the project team well known in professional circles?
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

INVESTMENT EVALUATION | Project Support 33
Does the project have a strong advisory board?
Georgy Dobrodeev
Epic games Marketing Director
Georgy has extensive experience in marketing. Held
the post of Brand Manager of the gaming unit at
Mail.Ru, the Development Manager of CIS countries
at Ubisoft. Since 2016 - Marketing Director at Epic
Games.
Peter Zhalov
CEO at
Livestream
Peter developed the initial marketing strategy for
Wargaming - one of the biggest gaming publishers
in the world. Peter is an experienced gaming
industry veteran, also took part in the Skincoin ICO,
with over $4mn in crowd sales.
Alexander Agapitov
Xsolla Founder & CEO
Founder and CEO of Xsolla. Alexander has
experience in the field of video games, as well as
developing tools for receiving payments, billing,
distribution, and marketing.
Michael Kim
CEO and Founder of CoinInside
Michael has worked at multinational game and IT
companies like Electronic Arts, Microsoft, Blizzard,
Wargaming, and Havok. He successfully held
various responsibilities in marketing, sales, business
development and management for over 18 years.
The Advisory Board also includes: Reuben Godfrey, Dillon Seo, Arseniy Strizhenok, Anish Muhammed, and Miko Matsumura.

34
The advisory board includes people who have worked at and held high positions at gaming giants. The board's fields of
activity (M&A, IB, PE, and investment advisory) are important for the development of Playkey. The whitepaper also lists
the names of five leading ICO consultants, although nothing is said about their track record and experience in the field.
INVESTMENT EVALUATION | Project Support
Does the project have a strong advisory board?
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

Is the project attracting large VC investors?
The company attracted investment of $1.5mn from the German operator of Darz data centers. Additionally, the IIDF
(Internet Initiatives Development Fund) has invested $2.8mn in the project. The company also expects future
investment from the Mail.Ru Group. Investment had been attracted even before the announcement of the ICO.
American investment fund Uncharted Capital bought $1mn in Playkey tokens pre-ICO.
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

Are the project’s partners large and well-known?
The company is cooperating with leaders in the gaming industry, such as Nvidia, Ubisoft, Intel, Sega, Capcom, and
Amazon, among others. Cooperation consists of the delivery of server equipment, the signing of exclusive contracts to
get the permission for copies of game usage on Playkey servers, as well as the work on the deep integration of games
into the system. According to publicly available information, Transform Group, which is engaged in the promotion of the
blockchain, is a PR partner of the company. Platform partners are include Priority Token, Cryptonomos, and Giga Watt.
The team also has legal support from Deloitte.
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

INVESTMENT EVALUATION | Media Environment 38
Is the project popular on social networks and in thematic communities?
2,265
Subscribers
827
Subscribers
1,329 Members
11,108 Views
65 Post Karma
24 Subscribers

39
The number of views and discussions in thematic communities and on social networks is satisfactory. However, the
company has failed to attract enough attention on the Reddit and Medium portals.
Playkey.io takes part in thematic conferences, Director of Game Strategy Vadim Andreev performed at the ICO event in
London on October 11, 2017. Additionally, the Playkey team was one of the top ten best start-ups at the Slush
Singapore conference.
INVESTMENT EVALUATION | Media Environment
Is the project popular on social networks and in thematic communities?
7 6 5 4 3 2 1
Strongly
Agree
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree

40
Is the project widely discussed in blockchain news resources?
There are publications on the main thematic news portals, but there are no discussions or detailed information.
INVESTMENT EVALUATION | Media Environment
7 6 5 4 3 2 1
Agree
Slightly
Agree
Neutral
Slightly
Disagree
Disagree Strongly
Disagree
Strongly
Agree

42
1. The legal nature of the token is well defined. The exclusive feature of the token is defined as a universal remedy of
calculation within the Playkey ecosystem. However, the whitepaper states that there are to be a limited number of
issued tokens, and it is assumed that demand will exceed supply, which should allow the token to grow in value in the
long term. This definition of a token does not allow us to conclude that the Howey test will be passed, since it assumes a
deflation model;
INVESTMENT EVALUATION | Legal Opinion
By Digital Rights Center, a Digital Rating Agency partner

43
2. There is no Russian or English legal documentation on the puplic crowdsale page, in particular:
а. Privacy policy (including the policy of storage and processing of personal data), which is critical for this field. It is a
direct violation of Federal Law No. 152-FL of July 26, 2006 "On Personal Data," that entails civil, administrative and
criminal liability.
b. Terms and Conditions of ToS service, defining the procedure for access to Playkey services and its usage.
3. There are English Terms and Conditions of token pre-sales, including the main provisions for token acquisition on the
official website https://cdn.playkey.net/img/playkeynet/ico/PKT_TC_General.pdf. The complete text of the T&C was not
available at the time of drafting this report.
4. The Terms and Conditions of token pre-sale has a disclaimer for US, Chinese and UK residents noting that the token
is not a security, is not offered for sale in China and if selling to UK residents, the requirements for the buyer must meet
certain standards (availability of investment expertise, and compliance with the Federal Securities Act 2000, art. 49, 50
FPO);

5. According to the whitepaper, gamers buy tokens directly through the exchange or agents, but the name and location
of the exchange is not indicated. It should be noted that in the US the extraterritorial effect of legislation is provided. An
exchange that is not registered in the US could be fined, and its founder could be arrested (as an example, the SEC
decision on the BTC-E exchange), which entails risk for investors in the form of token losses;
6. The whitepaper states “PKT is the only means of paying for Playkey services, i.e. to have access to Playkey service,
a user needs to have PKT, which they transfer to the miner that provides the service (the analogue is internal currency
in computer games like gold in World of Tanks, which you need to buy more powerful shells and consumables).” The
legal definition of the token is not disclosed, this question in the T&C of token pre-sale is open. The token could be
interpreted as being an app-token, i.e. a conventional unit of calculation within the platform.
44

45
7. According to the whitepaper “Playkey is introducing an open-source cryptographic token – PKT. PKT is a
cryptocurrency that will be used to buy and sell cloud gaming subscriptions, as well as other Playkey services and future
products. It will be the unit of account for all economic transactions within the Playkey Ecosystem, and will be used as
the basis for interaction with other digital services.” This disclosure of the token contradicts the position of Russian and
other regulators, who say that in Russia the ruble is the unit of account and money issues are carried out exclusively by
the Central Bank of Russia.
8. There is no provision for mandatory verification of customers (KYC) when purchasing tokens valued at over $10,000.
The company could face problems when exchanging the received ETH-coins for fiat currency in banks to pay
operational costs, as it will not be able to prove the purity of the received funds and the observance of measures related
to countering the money laundering (LMR);

46
9. The whitepaper states “The Playkey Foundation will spend ICO funds to develop the miner ecosystem, provide
support for early miners, help miners pass SLA tests, and be equipped to offer a high level of service. The Playkey
Foundation plans to spend 25% of the funds to support the Development Fund. This organization will work to create
stability for the ecosystem and support the decentralized network of miners. The Development Fund will buy servers,
install them in the most efficient locations, maintain them, and attract users.” Based on the activities of the foundation, it
can be assumed that the Playkey Foundation has all of the signs of a credit institution. This is enshrined in the Federal
Law of 02.12.1990 No. 395-1 "On Banks and Banking Activities," in particular in Article 1, which states that a non-bank
credit institution is a "credit institution that has the right to carry out only banking operations referred in Paragraphs 3
and 4 (only as bank accounts of legal entities in connection with the conduction of fund transfers, without opening bank
accounts, also in Paragraph 5 (only because the fund transfers are conducted without opening bank accounts) and
Paragraph 9 of Part 1 of Article 5 of this Federal Law, the conduct of fund transfers without opening bank accounts,
including electronic funds (except for postal orders)." Strictly speaking, the allocation of funds for the development of the
ecosystem and for Development Foundation support involves the transfer of money (including electronic money).

47
10. There are no guarantees by the issuing company related to the presence of vulnerabilities of the service program
code. There is a "zero-day" provision for any company risk. The protection model for vulnerabilities is not described, nor
the issue of legal liability in these cases. Moreover, in the Legal Disclaimer section of the whitepaper, the company
states: “This is a pre-final version of the document and is made available to the public for informational purposes only.
Nothing in this document shall be construed as an offer to enter into any transaction with any of the companies or
individuals mentioned herein. Nothing in this document is to be considered advice, consultation, or recommendation,
and shall not be relied upon as such by any person. Any action taken by any person in reliance on this document is
made by them at their own risk and based on their own assessment, and Playkey and their affiliated parties shall not
bear any liability for the consequences of such actions. Comprehensive terms and conditions for the acquisition of PKT
will be made available in the final version of the present document.” This disclaimer contradicts Article 10 of the Russian
Law of 07.02.1992 No. 2300-1 (as of 03.07.2016) "On the Protection of Consumer Rights," according to which the
manufacturer (executor, or seller) must provide the consumer with necessary and reliable information about goods
(work, and services) in a timely fashion, so as to give them the possibility to make an informed decision. In this case,
consideration of the legal disclaimer in accordance with Russian legislation is entirely permissible, as under the T&C of
pre-sale, Playkey operates in accordance with Russian legislation.

47
11. Under the T&C of the pre-sale, the relationship between the parties of the Playkey project will be applicable to the law of
England and Wales (jurisdictions within the UK). At the same time, the condition that should determine in which court a
dispute between parties will be considered is not specified.
12. It can be assumed that at the time of drafting the report, legal documentation (other than the T&C of token pre-sales) that
would regulate all tangible terms of Playkey project relations with investors and the foundation, and would disclose the legal
nature of the PKT token are absent, thus, it is not possible to provide more information.

INVESTMENT EVALUATION | Conclusion 50
Criteria Score
Does the problem the project plans to solve really exist? 6
Is the company’s product unique? 5
Does the team understand its competition? 5
Is blockchain technology a solution to the market problem? 5
Has the project laid out its operating business model? 5
Is there already a working product that can be sold to customers? 6
Is there a clear roadmap and financial plan? 5
Is the project technology safe for network members? 6
Is the issuance of tokens limited? Is there an asset base that would protect current holders from token devaluation? 5
Do the project participants have a clear motivation for owning the tokens? 5
Are project tokens protected from market manipulations? 6
Is the company’s legal structure transparent? 4
Has the company taken preventive measures to avoid issues with ICO market regulators? 3
Does the project team have extensive experience and a strong track record? 5
Is the project team well known in professional circles? 6
Does the project have a strong advisory board? 5
Is the project attracting large VC investors? 6
Are the project’s partners large and well-known? 6
Is the project popular on social networks and in thematic communities? 6
Is the project widely discussed in blockchain news resources? 4
AVERAGE SCORE
5.2

48
High
High probability of investment return, low
sensitivity to market conditions.
Score: 6.1-7
RATING SCALE OF INVESTMENT ATTRACTIVENESS
Satisfactory
Medium-to-high probability of investment return,
considerable sensitivity to market environment.
Score: 5.1-6
Satisfactory
Considerable risk exposure, high sensitivity to
market conditions.
Score: 4.1-5
Low
Low development potential, highly speculative
investment.
Score: 2.1-4
Low
High default risk in the short term.
Score: 0-2
Low
In default, with little-to-no prospect for recovery

FRAUD RATE 52
How do we evaluate the Fraud Rate?
Advantages:
● The project team has a functioning business, that is to become the basis for a
new blockchain solution.
● The project presented specific solutions to existing problems in the gaming
market.
● Widely popular in professional circles.
● The project has a strong advisory board.
● The project has well-known partners.
● Information about the project is published in respected media outlets
Disadvantages:
● Lack of experience in the field of blockchain technology and cryptocurrency.
● Non-transparent legal structure at the moment of drafting the report.
● Lack of information about regulatory risk.
● The lack of specific information on percentage of contributions from miners’
earnings.
● Absence of obvious tangible motivation for miners.
LowFraud Rate

CONCLUSION
Playkey has been providing services in the cloud gaming field for four years. The team
has extensive experience and the necessary skills to construct a business model.
Playkey.io - the next stage of the company's development, can bring it to the international
arena.
Playkey is working with gaming industry giants, and has the support of a strong advisory
board. It takes part in various thematic forums, and is widely known in professional
circles.
The price of the token directly depends on demand for the company’s services.
Therefore, the profitability of the investment depends on the decisions made by the team,
on the marketing strategy and many other factors.
The legal side of the company was not transparent at the time of drafting the report. The
whitepaper does not specify the company's position on countries that prohibit investment
in ICO projects. Plans to cut off these investments are unclear. Additionally, there is no
information on for which company and in which jurisdiction of which country the ICO is to
be conducted. Despite the fact that the team shared some of the information during our
communications, we believe this information should be available to all project
participants.
53
Medium-to-high probability
of investment return,
considerable sensitivity to
market environment.

RECOMMENDATION
1. Provide public access to full legal information.
2. Present an overview of competitive advantages compared to other market
participants in the segment.
3. Provide a plan and strategy for keeping the PKT exchange rate stable.
4. Provide information on the experience of leading ICO consultants and
evidence of their involvement in the project.
55
What could
be improved?

Инвестиционная оценка ICO проекта
playkey.io
CONTACTS
+7 (495) 175-1024 (Russia)
+41 21 588 02 23 (Switzerland)
info@digrate.com
digrate.com
56

Recommended

Recommended

More Related Content

More from digitalrating

More from digitalrating (20)

Recently uploaded

Recently uploaded (20)