PlayKey ICO Progress and What it means for Investors

PlayKey raised 4.2 million USD during its pre sale and attracted another US$200,000 during its first 24 hours of the main sale. A total of 715 investors contributed to the ICO and this number is growing. Uncharted Capital North American Fund is involved in the presale with a 1 million USD of PKT purchased.    

As of the 5th day, a total of $4 597 773 from 944 backers have been contributed. This is still within the first 15% bonus stage where investors get an additional 15% tokens. It is now 59% of the first bonus stage of 15% bonus and there is still 25 days left for the ICO. It is anyone’s guess right now whether the hard cap of 60 million PKT will be met. If it is met, the total contribution will $45 million USD, taking into consideration the bonus issued as well.  

So What will Happen After The ICO?   

The price of 1 PKT = 0.004 ETH at ICO. This is about $1.2 USD (Ethereum at $300 USD) but if you consider the maximum bonus of 35%, the lowest effective price will be $0.89 USD. This is very reasonable as the average price of PKT will be equal to $1.04 USD. This is also the price that most investors are paying to date with 15% bonus.    

The PKT will be launched onto several exchanges 1 to 2 months after the ICO. Cryptopia, Evercoin, coin exchange and Coinlink Korea will come right after the ICO, and at this moment the team is working out the details with HitBTC and Bittrex. This is very good news for investors who are keen to trade the PlayKey tokens on the exchanges.  

Will Anyone Be Buying PKT On The Exchanges?   

The PlayKey system is structured such that gamers will be paying with fiat currency when the decentralized ecosystem is launched, as per the current system at playkey.net. However the company will be using the fiat to buy PKT from the exchanges so as to pay the miners. After a while, gamers will also be paying in PKT. What this all means is that there will be a natural demand for PKT and this demand will be constantly growing as more and more gamers are added to the system. Miners will be paid in PKT and some of these PKT will be exchanged back to fiat on the exchanges. The consequence of this buying and selling of PKT is that trading volume will be high as there is a real use case for PKT. Gamers are buying PKT in order to buy game time on the decentralized ecosystem and miners will be selling the PKT to get back some fiat to pay for their costs of maintaining their rigs; of course some or most of the PKT may be kept as investments.    

High Trading Volume = Greater Attention by Crypto Traders = Greater Demand for PKT = Higher Price for PKT.   

As an investor, we can accumulate more PKT at the cheap price during ICO and then trade the PKT on the exchanges once the PKT is launched for trading. The trading activity on the exchanges will also help to provide the liquidity for the miners. Bittrex is the exchange that I will be looking out for as a bigger exchange will attract bigger traders who will recognize the value of the PKT.