Token Description & Project Background

League of Kingdoms Arena is an MMO (Massively Multiplayer Online) strategy game developed by NOD Games, a blockchain-focussed gaming company based in South Korea.  

The team comprises Chan Lee (CEO), Steve Hwang (CTO), Han Yoo (COO) & Edgar Kim (Chief Game Designer).

The game launched in 2020, and its native token, LOKA, was first sold publicly in January 2022.

LOKA is used as for governance, in-game purchases and payments, and in-game rewards.

The game was developed to appeal to mainstream gamers as well as the crypto community, since it offers both a wide variety of in-game content, as well as a more crypto-focussed Play-to-Earn model.

Risks of LOKA

Like an investment in other crypto assets, there are some general risks to investing in LOKA. These include:  (i) volatility risk and liquidity risk, (ii) short history risk, (iii) demand risk, (iv) forking risk, (v) code defects, (vi) regulatory risk, (vii) electronic trading risk, and (viii) cyber security risk. For additional information of these and other general risks associated with crypto assets and Uphold’s platform, please refer to the Risks Specific to Holding Digital Assets statement.

In addition to these general risks, an investment in LOKA is subject to the following specific risks:

• Any potential success associated with LOKA depends on the adoption rate of League of Kingdoms Arena by gamers worldwide.

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with LOKA . Investors should conduct their own research and perform their own assessment before trading any crypto asset to determine the appropriate level of risk for their personal circumstances.

The LOKA community and NOD Games are not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of LOKA have no recourse to the LOKA community, NOD Games or Uphold if LOKA declines in value for any reason.

Changes to applicable law may adversely affect the use, transfer, exchange, or value of any of your crypto assets, and such changes may be sudden and without notice.

Uphold’s Evaluation Process

Prior to listing LOKA on the Uphold Platform, Uphold performed due diligence on LOKA and determined that LOKA is unlikely to be a security or derivative under relevant securities legislation. Uphold’s analysis including reviewing publicly available information on the following: 

• The creation, governance, usage, and design of LOKA, including ensuring the source code being open-source, audited and peer reviewed, security, and roadmap for growth in the developer community. 
• The supply, demand, maturity, utility, and liquidity of LOKA.
• Marketing materials put forward by the LOKA social team including, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.
• Material technical risks associated with LOKA, including any code defects, security breaches and other threats concerning LOKA and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them.
• Legal and regulatory risks associated with LOKA, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of LOKA. 

General

Uphold has prepared this Crypto Asset Statement based on publicly available information. Although Uphold has taken steps to obtain information from apparently reliable sources, information contained in this Crypto Asset Statement may be inaccurate, incomplete or out-of-date. This overview is a starting point for you to perform your own research prior to investing in a crypto asset.

Uphold users should read the Risks Specific To Holding Digital Assets statement for additional discussion of general risks associated with crypto assets made available through the Uphold platform.  

Canadian residents, please note that Uphold has filed an application for registration in certain Canadian jurisdictions but has not yet obtained registration. Until such time as Uphold obtains registration, Uphold has agreed to abide by the terms of an undertaking available at the following link. Please also review the Uphold Canada – Crypto Risk Statement for additional discussion of general risks associated with the crypto assets made available through Uphold Platform. Please be aware that statutory rights of action for damages or rescission in section 130.1 of the Securities Act (Ontario) and, if applicable, similar statutory rights under securities legislation in the other provinces and territories of Canada do not apply in respect of this Crypto Asset Statement or other disclosures on the Uphold website and Risks Specific To Holding Digital Assets statement. 

Last updated on June 12, 2023.