PRESS RELEASE

SOURCE: CryptoLogic

TORONTO, ON -- CryptoLogic Inc., a leading supplier of software and services to the Internet gaming and e-commerce industries, is pleased to announce that Dukesgaming.com, the newest casino on the web powered by CryptoLogic software, is now live and open for business.

As part of an aggressive launch strategy, Dukesgaming.com will award a $1 million grand prize to one lucky player in a random draw to be held on December 31, 2002. Players will receive one sweepstakes entry for each Royal Rewards Point accumulated under Dukesgaming.com's player loyalty program prior to 5:00 a.m. GMT on December 26, 2002.

"By offering a $1 million grand prize, Dukesgaming.com has raised the bar for I-gaming marketing," said Jean Noelting, President and CEO of CryptoLogic. "This industry-leading promotion shows Dukes Entertainment's dedication to the quick ramp up and long-term success of Dukesgaming.com. This commitment, combined with CryptoLogic's secure and trusted products and services, will enable Dukesgaming.com to build a strong presence with players in Europe and around the world."

Through a long-term advertising agreement with PlasmaNet, Inc., operator of FreeLotto.com the leading sweepstakes provider on the Internet, Dukesgaming.com has access to 24 million registered and qualified FreeLotto players worldwide. The most trusted sweepstakes site on the web, FreeLotto.com boasts more than 5.7 million unique users monthly and 1.6 billion page views per month, and has awarded more than $46 million in prizes.

"With its broad range of products and services, CryptoLogic is a natural fit to facilitate Dukesgaming.com's entry as the online gaming market begins its next phase of growth," said Michael Wellesley-Wesley, CEO of Dukes Entertainment N.V. "Our advertising agreement with FreeLotto.com will enable us to reach tens of millions of Internet users around the world with a stated interest in gaming, and we intend to quickly become a leading destination by offering players the most innovative promotions on the web in a secure gaming environment."

About Dukes Entertainment N.V.
Dukes Entertainment N.V., incorporated in Curacao, Netherlands Antilles, is a wholly-owned subsidiary of The Dukes Partnership, an Isle of Man Partnership. Dukesgaming.com is fully licensed and regulated in Curacao.

About PlasmaNet, Inc.
PlasmaNet, Inc, a privately-held New York-based corporation that operates the multilingual www.freelotto.com sweepstakes site, is a leader in the online data mining and product promotion industry. FreeLotto.com originated the online lottery format sweepstakes, and thus far has awarded of $46 million in prizes, including two $10 million winners and 12 $1 million winners.

About CryptoLogic
CryptoLogic Inc. is the leading software development company serving the Internet gaming market. The company's proprietary technologies enable secure, high-speed financial transactions over the Internet. CryptoLogic, ranked #1 in the Profit 100, continues to innovate and develop state of the art Internet software applications for both the electronic commerce and Internet gaming industries. WagerLogic, a wholly-owned subsidiary of CryptoLogic, is responsible for the licensing of its gaming software and services to customers around the world.

CryptoLogic's common shares trade on the Toronto Stock Exchange under symbol the CRY and on the Nasdaq National Market under the symbol CRYP. There are currently 12.1 million common shares outstanding (14.5 million shares fully diluted). For more information, visit www.cryptologic.com and www.wagerlogic.com.