ICOrating

MyDFS Rating Review (https://www.mydfs.net/)

ICO dates (21.05.2018 - 12.06.2018)

Web: icorating.com

Email: info@icorating.com

Twitter: @IcoRating

1. Rating 3

2. General Information about the Project and ICO 4

3. Description of the Services and Scope of the Project 8

4. Market Review 11

5. Team 14

6. Token Analysis 20

7. Analysis of Factors Affecting the Future Price of the Token 21

8. Risks 22

1. Rating

We rate MyDFS as «Stable+». The MyDFS project is a blockchain daily fantasy sports platform, and also a mobile application. The emphasis is on the mobility of the platform and its convenience for users. This positioning for the platform is not a random one; the MyDFS team already has experience developing fantasy sports applications. Inspired by its past success and a major upcoming event in the sports world – the FIFA 2018 World Cup, the MyDFS team, led by Viktor Mangazeev, decided to apply its experience in the blockchain segment of fantasy sports. Anyway, the team gives the impression of being professionals able to realize what they have conceived. MyDFS has beautifully-designed documentation. The official WP is detailed enough as well - a rare combination. Separately, we note the financial model and scenario modeling, which clearly indicates the application of best practices for the ICO market. We are very impressed by the marketing undertaken for the forthcoming token. Currently, support for the project on social media is impressive, their number of subscribers is more than impressive, and discussions on Telegram and Bitcointalk indicate significant interest in the project from the community. This state of affairs is very positive for a project whose success depends heavily on marketing. The main risk for the project is competition. Interest from the crypto community in fantasy sports has been present for a long time, and currently there is no fundamental uniqueness in MyDFS. The strong point is the timing of the roadmap - it is expected that full functionality will be provided by the summer of 2018. To summarize, MyDFS gives the impression of being a strong, interesting project. The team demonstrates an organized and mature approach in entering the competitive fantasy sports market. Even without a revolutionary component, the platform remains promising in the context of the attractiveness and convenience of the service for end users. Therefore, in competition with other blockchain-based solutions, MyDFS stands out primarily due to its pragmatic business approach.

2. General Information about the Project and ICO

MyDFS is a representative of the fantasy sports industry - a specific area of the gaming business where users, relying on knowledge of sports statistics, collect virtual teams of real professional athletes. As a result, a user can win a cash prize depending on actual statistics for the players selected by him in a real match. Despite limited popularity with the general public, the fantasy sport business is actively developing and it has already reached $7.2 billion in the US and Canada according to some estimates. There are big players here, as well as huge infrastructure organizations and data providers. The most significant barriers for players are complex authorization, deposit/withdrawal procedures, a lack of transparency and complexity of architecture, which is associated with the need to combine traditional payment systems with international player interaction. MyDFS aims to solve all these problems by introducing cryptocurrency and blockchain into a created ecosystem. Nothing fancy here - technologies are involved only where necessary; other than that, this is a ‘traditional’ fantasy sports platform. The platform is currently undergoing closed beta testing, which will be accessible to thousands of buyers of MyDFS tokens.

MyDFS has a solid background in the industry; the team has previously two developed products – a fantasy sports platform, uTrener (UTRENER.COM) and KHL Haier Fantasy ( a white-label product for the continental hockey league FANTASY.KHL.RU). uTrener was the first fantasy sport application in the Russian market. uTrener was developed as a white-label product, on the basis of which a number of applications have already been implemented. KHL Haier Fantasy is the official application developed for KHL ; it received MarSpo Awards in 2017 as the best sports application, and was featured several times in the App Store. In 2017, the MyDFS team received a UK Gambling Commission license for legal operation of fantasy sports in Europe. One of the features of the project is its marketing potential. Since the project is led by

a European team, and football is traditionally the most popular sport worldwide - in the fantasy sports industry in particular, MyDFS will be launched in May 2018 to coincide with the start of the World Cup on June 14. The project focuses on FIFA 2018 as an opportunity to accelerate the development of the platform and increase its target audience due to the involvement of football fans. As a result, more than half of all funds raised, as well as 37% of tokens issued, will go to marketing and promotion of the application. The token sale has two stages – a pre-sale and the main crowdsale. The price of tokens is reduced by 30% during the pre-sale period. Pre-sale Start date: April 16, 2018 End date: May 6, 2018 Hard cap: $3,000,000 Price: 1 MyDFS = $0.7 Minimum investment: $100 ICO Start: May 21, 2018 End: June 12, 2018 Soft cap: $4,000,000 Hard cap: $40,000,000 Price: 1 MyDFS = $1 Minimum investment: $100 Token: MyDFS Token (MyDFS), standard ERC-20 Accepted currencies: ETH, BTC, NEO, Dash, Ripple, Ether Classic, Bitcoin Cash, Litecoin Total emission: 125,000,000 MyDFS Distribution of funds: 40% - Token Sale 37% - Growth tokens 10% - Team 10% - Advisors and early contributors 3% - Bounty. On sale: 50,000,000 MyDFS Budget allocation: 55% - Marketing & PR 18% - Business Operations 13% - Development

8% - Legal and licences 6% - Other costs The token price policy provided for the pre-sale and the main crowdsale, depending on the stage and amount of funds raised is as follows:

Bonuses are also provided, depending on the size of investments, for the pre-sale and the crowdsale: 10% for $50k+; 15% for $100k+; 25% for $500k+. Founder and core team tokens vest for one year from the date they are allocated. They are also unlocked by 1/12 each month. Unsold tokens will be burned after the sale ends.

3. Description of the Services and Scope of the Project

MyDFS’ services involve holding virtual tournaments, tied to real sports events. A user can participate in an existing tournament, hold his own tournament as its provider or "hire" someone from the top platform players to participate in the tournament instead of him. The ecosystem is built on the basis of smart contract architecture, and a large share of the data is contained in various types of smart contract being created, including statistics, game results, etc. The ecosystem also provides a wallet for each user, depositing and withdrawal of funds from which is possible via a special exchange contract. The platform can be schematically represented as follows:

Within the ecosystem, the user is offered the following sports: football, American football, hockey, basketball and cricket. The team states that integration with other sports is simple enough and there is successful experience in this regard, with the example of cricket. The MyDFS platform is integrated with suppliers of sports statistics, including FantasyData , SportsRadar and Stats . Technically, both centralized solutions and blockchain architecture will be compiled based on various types of smart contract. The documentation shows the following table demonstrating all these systems:

6 types of smart contract are provided. One of them is the ICO contract, while the rest participate in running the platform and holding fantasy tournaments, covering the whole process. These 5 types of smart contract are as follows:

● Main dispatcher contract Used to create a virtual sports tournament. With the help of this contract, a user can start, end and cancel games. This contract processes data from other contracts, as well as information from sports data providers and information about all aspects of a currently running game.

● MyDFS token contract This contract manages a user's wallet balance, stores transaction history and enables token transfer.

● Player statistics contract As the name implies, this smart contract stores and processes player statistics

used by the platform. Through a player's statistics, a user can decide whether to “hire” (to finance) a player for participation in a tournament in his place.

● Game contract A smart contract involved in creating a game. It stores and manages information about the relevant game and identifies its winner. The contract enables joining a game directly or through the sponsorship of another player; it calculates player points and prizes and also distributes the final winnings.

● Brokerage contract Through this contract, ordinary users can "hire" top players on the platform to participate in fantasy tournaments. The user "finances" the hired player and receives winnings, minus the established commission. In general, the process of staging a game involving different types of contracts is as follows:

4. Market Review

It may seem surprising, but the phenomenon of fantasy sports originated in the middle of the last century. It was already common in the United States to publish summary statistics for sports seasons. The first sport where "fantasy technology" was tested was golf, although it really did not become popular in the fantasy sports industry. Wilfred "Bill" Winkenbach can be considered the father of fantasy sports; he organized the first fantasy football league in 1962 in Oakland - Greater Oakland Professional Pigskin Prognosticators League (GOPPPL). The rules developed by Winkenbach and the growing popularity of GOPPPL, in many ways, laid the foundation for the development of the modern fantasy sports industry . The next milestone in the development of the industry was the creation of Rotisserie League Baseball in 1980. Its innovation involved use of the current Major League Baseball player list. Real statistics from the current season were taken to calculate the score. In other words, instead of running simulations using statistics from past seasons, the results of which were already known, participants had to make predictions about players in acting teams: playing time, health and expected results of the game. Since Daniel Okrent, the creator of Rotisserie League Baseball was a sports journalist, many of his colleagues showed interest in the new game and began to publish its results in their columns. In 1981, Okrent published the article "The year George Foster was not worth $36." which contained the rules of the league; the article was very popular . At that stage, fantasy sports was just a hobby for a limited number of people. The topic was mainly of interest to sports journalists and specialists. Difficulties in accounting and collecting game statistics were an obstacle to involving the larger public. The internet boom of the 1990-2000s enabled turning this hobby into a business. The first companies able to monetize fantasy sports were Commissioner.com and RotoNews.com. They were the first to take commission for providing real-time statistics, league message boards, daily updated box scores and other features. For example, RotoNews made money selling from quality statistics from each individual player. Following the success of a number of services, the online giant Yahoo.com entered the competition in 1999. Yahoo’s service was and is absolutely free, which set a precedent for the industry.

After the dotcom crisis, a number of companies left the market; those who stayed have revised their business models several times. Nevertheless, a Fantasy Sports Trade Association survey stated that the industry was estimated at $1.5 billion in 2003 and the number of players exceeded 15 million people . The next driver of the growth of popularity of fantasy sports has been the active development of mobile devices and mobile applications. According to the FSTA, the fantasy sports industry currently exceeds $7.2 billion , and the number of players in the US and Canada is estimated at 56 million people. Obviously, the industry is not standing still and growth prospects are estimated to be high. For example, according to Eilers Research, market size should reach $14.4 billion by 2020. Currently, the main income for the industry is generated by residents of the US and Canada for a number of reasons. In the US, for example, fantasy sports are referred to as game of skill, for which no betting license is required. The industry will continue to grow as fantasy sports gain popularity in other major countries. It should be noted that the market is uneven. DraftKings and FanDuel are leading and setting trends for the entire market. The most popular service, however, is DFS - Daily Fantasy Sports. It enables users to make forecasts over short intervals of time - days and weeks rather than whole seasons as in traditional fantasy sports. DFS accounts for the majority of the industry's revenue, although DraftKings and FanDuel are pioneering. Returning to the MyDFS project, their positioning as stated in the WP is as follows: "MyDFS does not try to compete with industry leaders, but redefines the industry itself. MyDFS adds maximum transparency by using blockchain and smart contracts for every aspect of the platform, from player trades to receiving your winnings. MyDFS overcomes safe issues by using ERC-20 Ethereum-based cryptocurrency tokens. These replace real money in the game, meaning people from all over the world can play without any trust issues. MyDFS makes the gaming process as simple and straightforward as possible, attracting more sports fans to fantasy” Continuing to examine the motivating factors for the project, it is worth noting a number of challenges the fantasy sports industry has already faced.

● The uncertain status of fantasy sports in general. The law moves quickly, and fantasy sports has been associated with legal issues from day one.

● A complicated gaming experience and steep learning curve. Most competitors started their businesses back in the 2010s, releasing their web and mobile apps at approximately the same time.

● Complex verification procedures. Players on the most popular gaming platforms have to go through complicated verification procedures almost every time they want to deposit money to play, or withdraw their winnings.

● Problems with deposits and withdrawals. For major market players, withdrawals can take up to eight days for electronic payments to process (according to DraftKings) and up to a few weeks for check to appear in the mail. They also reserve the right to refuse withdrawals and close accounts at their discretion.

● Lack of transparency in the gaming process and fair play. The most vital aspects of gaming platforms are protected by their owners and can’t be thoroughly monitored by third parties.

● Lack of pro player financing. A lot of pro players want to be able to use investor capital to play and win for higher stakes.

With the above problems, it is logical that blockchain technology is being adopted. The MyDFS team and a number of other projects take this view. The MyDFS documentation analyzes the competitive environment and a comparative table is provided here:

Although the above list of competitors is not exhaustive, it should be noted that the final functionality of the services will be similar. Therefore, when choosing a platform, users will pay attention to the quality and convenience of a service, the level of commissions, coverage of sports and mobility. Accordingly, each project can count on some portion of the global audience, assuming proper implementation of their services.

5. Team

The project is led by a team that seems able to create a high quality product. The project's founder, Viktor Mangazeev, is known in the Russian-language fantasy sports segment. His previous projects in this field are well established in the local community. His experience, combined with a strong team of technical specialists, is a significant asset for the MyDFS project. If we follow the information published on the project's website, the current team consists of 16 people. Team

Viktor Mangazeev, CEO In 2016, Viktor founded uTrener.com (utrener.com), a daily mobile fantasy sports platform that launched in Russia with great success. uTrener gained traction in almost no time. The company then launched a white-label app for the biggest Eastern European hockey league, KHL, and is widely expanding its offerings to markets throughout Europe and the UK, and obtained a license from the UK Gambling Commission in 2017. Viktor has previously held a number of executive positions: − CEO of Desert, 2014-2015. This company built an AI-based recommendation service used by important Russian information agencies and more than 100 major internet shops and service providers. Desert was later acquired by a large e-commerce company. − CIO of IQoneholdings, 2012-2014. IQoneholdings was a large e-commerce holding that generated more than $400 million. Viktor implemented a strategy and

unified organizational standards that cut IT costs by over half with no loss of quality. More details: https://www.linkedin.com/in/viktor-mangazeev-630a00ba/

Sergey Sheypak, Chief Technical Officer With more than 10 years’ experience in programming, big data, and large enterprise projects, Sergey has been a senior Java developer and a big data leader at telecom giant Megafon. He is a certified Hadoop and Teradata developer. More detail: https://www.linkedin.com/in/ssheypak/

Anastasia Shvetsova, Chief Communications Officer Anastasia is one of the most trusted communication professionals in the tech industry. She has worked with Facebook, PayPal, Houzz and others. Her PR agency leads the way for the best teams active in blockchain and cryptocurrency pursuits, including SingularityNET, Blackmoon Financial Group, and Jibrel Network. More detail: https://www.linkedin.com/in/anastasia-shvetsova-00604388/

Kseniya Ryazantseva, Chief Marketing Officer Kseniya has vast experience in the industry, and was in charge of international mobile marketing for the Mail.Ru Group, Appness and Mobio. She speaks fluent Chinese, and has worked with Tencent, Baidu, NetEase, Alibaba Group and other major Chinese publishers. More detail: https://www.linkedin.com/in/kseniya-r-47b987b7/

Alex Kireev, Lead Backend Developer Alex is a lead backend developer with over 10 years of experience, with full-stack web app development and all facets of the software development life cycle. He earned his Bachelor’s Degree in computer engineering from VSTU. More detail: https://www.linkedin.com/in/alexey-kireev-82857b6b/

Polina Polosukhina, Community Manager Despite her young age, Polina has strong community management and networking skills. Before joining the MyDFS team, she served as a Project Manager at Huawei Moscow. She graduated from HSE, and had an internship at Shanghai International Studies University. Polina fluently speaks English and Chinese. More detail: https://www.linkedin.com/in/polina-polosukhina-48b5a9123/

Denis Polyakov, Android Developer Denis is an Android developer with more than five years of experience. He has a strong knowledge of Android UI design principles and best practices. He has developed multiple Android apps for fantasy sports, banking, food delivery, and more. More detail: https://www.linkedin.com/in/denis-polyakov-20908b82/

Vlad Zotov, Android Developer Has 4+ years experience working on mobile apps for startups and established companies. Experienced in complex UI applications. Has strong knowledge of Google guidelines and Material Design. More detail: https://www.linkedin.com/in/vladzotov/

Kirill Pyulzyu, iOS Developer Has 6+ years experience of making apps for iOS, including real-time data synchronization, complex UI, RESTful API integration, Social integration (Facebook, Twitter, etc.), CoreData DB management, GPS location processing and many more. More detail: https://www.linkedin.com/in/kirillpiulziu/

Andrey Lola, Senior Web Developer Experienced web developer with more than 5 years of experience in web development, requirements analysis, system design, development, deployment, code review, website scaling. More detail: https://www.linkedin.com/in/andrey-lola-b5606586/

The project has a remarkable advisory board. The competence and reputation of all advisors raises no questions. In general, we are impressed by the selection of advisors for MyDFS and we trust that the project’s quality will only benefit from it. Advisors

Yobie Benjamin https://www.linkedin.com/in/yobie/

Yobie is the CTO of DragonCoin, and has served as the CTO of Citigroup Global Transaction Services/Institutional Clients Group, was Partner/CTO of the Ernst and Young LLP and a number of other world-renowned companies.

Frank Kan Fu https://www.linkedin.com/in/frank-fu-014798/

Frank Kan Fu serves as Managing Director at Meitu. He was responsible for all international hype over the Meitu app in June 2016. Before joining Meitu Inc. he served as Executive Vice President of Global at Kingsoft Corporation.

Akin Babayigit https://uk.linkedin.com/in/akinbabayigit

Akin served as the Head of Business Operations at King and as the Head of Facebook Audience Network for EMEA, where he led the global publisher partnerships team and helped grow Audience Network revenues to $1 BN + revenue run-rate in 18 months.

Simone Giacomelli https://www.linkedin.com/in/simone-giacomelli-a8458197/

Simone is one of the most respected tech specialists in the ICO world. He is a Blockchain Lead and Head of Business Development at SingularityNET; the company created the first human-like robot, Sophia.

Eduard Gurinovich https://www.linkedin.com/in/eduard-gurinovich-a18b4797/

Founder of CarPrice (raised $80m from key industry investors), an online auction for used cars with 50+ offline offices. Attracted $10m+ for CarMoney. IT startup investor in the field of artificial intelligence and robotics.

Alexander Hleb https://en.wikipedia.org/wiki/Alexander_Hleb

Alexander is a famous Belarusian football player who joined the English team Arsenal on a four-year contract in 2005. He played in Arsenal's UEFA Champions League final against Ajax in December 2005. He has won over 70 trophies for Belarus since 2001.

6. Token Analysis

MyDFS token is an ERC20 utility token functioning as a currency within the ecosystem. No special functionality or management tools for regulation of the amount of tokens in circulation has been announced in the documentation.

In addition to participating in operations, the model for platform monetization is worth noting. The platform provides several means of generating revenue:

● Game entry fees This commission is paid by players for participation in fantasy tournaments. MyDFS charges 10% of the total amount of contributions collected. This is a well-established concept in the sphere of fantasy sports. Standard commissions presume more than 15%.

● Premium app features A user can be offered premium access for an additional fee, which includes closed dueling, access to private games, as well as access to additional statistics and other items.

● In-game purchases Monetization of various kinds of additional content: badges, tickets for private games, etc.

● Ads and sponsor integration

Provision of advertising space and sponsorship content on the platform.

Regarding token distribution at the ICO, although tokens not intended for sale prevail in the structure (60%), they may not have a strong impact on market balance given the current status of the platform and the near release horizon.

7. Analysis of Factors Affecting the Future Price of the Token

Against the background of other ICO start-ups, MyDFS is impressive not only on the long-term horizon but also in the short term (the next few months). There are several reasons for this; first of all the chosen type of market expansion and the state of readiness of the final platform version. This is really untypical for an ICO, where projects often plan development at least a year after a sale.

The FIFA World Cup starts in early June 2018 in Russia. This is the largest event in the most popular sport in the world. Accordingly, sports bookmakers are anticipating bumper profits this summer. The fantasy sports industry is not an exception; activity will naturally increase in this period.

MyDFS is planning to release the finished product exactly coinciding with the start of the World Cup; the beginning of an active marketing campaign is also expected by this time. In addition, the Russian and CIS market is native to the founders; there is some experience with it on their part. As a result, we can see good first results for the platform after the summer and a business with significant infrastructure token demand by the end of the year. It is also planned to expand the range of supported types of sport in the future, conduct fantasy Olympics and support other major sporting events.

The documentation provides a projected financial model with operational indicators, as well as the financial performance of MyDFS for the next 4 years. The plan is drawn up with two scenarios but they are not named, so it is unclear which one is "basic". There is not much difference between them. A chart for "new paying clients" for two scenarios is given below:

The model does not describe input parameters, but the team hopes to attain a revenue of about $1.5 billion by 2022 in Scenario 1. This is a high figure; however, given the growth rates for the industry in the long term, it does look realistic. The growth rate for the client base is evenly reduced from 70% to 12%.

Summing up a review of the financial model, the MyDFS business looks good in the long-term; it is justified by positive dynamics for the market, moderate competitive activity, and the advantages of a decentralized crypto business over traditional ones.

8. Risks

Although MyDFS does not provide public access to its product, according to the submitted data and the roadmap, the project is at a mature stage of development, therefore risks naturally decrease. In fact, the final functions are clear; the audience for the future platform and the means of accelerated expansion in market also make sense. Moreover, it is already possible to predict the quality of the forthcoming service based on the previous project from the team - KHL Haier Fantasy. Of course, the main risk is that of competition. The fantasy sports market is quite competitive, and its blockchain segment is not standing still. Therefore it is prudent that MyDFS is launching its full functionality by the summer of 2018. Speed and quality mean a lot here. Such a tight schedule shows that the main development of the platform has already been completed. The stated distribution of tokens confirms this, as most of the funds raised will go on marketing. We agree that the popularity of the platform will be

proportional to the efforts of the marketing campaign; this is of course vital in a competitive market. Accordingly, the speed of the project’s development could significantly affect the amount of funds raised. For the current state of the ICO market, $40 million is a high hard cap which will be difficult to achieve. These risks need to be taken into account when judging the project and deciding whether to participate in its early stages. Otherwise, MyDFS is subject to general risks for crypto assets. The current state of the market is far from hype, and investors are becoming more restrained in assessing investments, focusing on "proven" areas of the fintech industry. This could be an additional negative factor for daily fantasy sports, since the industry is specialist and its audience relatively narrow. The information contained in the document is for informational purposes only. The views expressed in this document are solely personal stance of the ICOrating Team, based on data from open access and information that developers provided to the team through Skype, email or other means of communication. Our goal is to increase the transparency and reliability of the young ICO market and to minimize the risk of fraud. We appreciate feedback with constructive comments, suggestions and ideas on how to make the analysis more comprehensive and informative.