PlayboyGaming.Com, Parbet and Betsafe Launched on CryptoLogic-Developed Poker Network

Market Wire, January, 2007

CryptoLogic Inc. (TSX: CRY)(NASDAQ: CRYP)(LSE: CRP), a leading software developer to the global Internet gaming industry, launched three new brands last week on its WagerLogic subsidiary's European-focused poker network: the eagerly anticipated PlayboyGaming.Com, and two of Scandinavia's most popular poker sites, Parbet.com and Betsafe.com.

"The launch of these sites demonstrates CryptoLogic's commitment to players in Europe and other key global markets outside the US to continue to build on a highly liquid platform through exciting, high-growth gaming brands," said AJ Slivinski, WagerLogic's Managing Director. "We welcome PlayboyGaming.Com, Parbet and Betsafe to our growing poker roster."

"The launch of these three sites in January brings to five the number of new poker sites that have joined our poker network since December, and demonstrates CryptoLogic's success in aggressively pursuing new non-U.S. licensees for the network-already one of the world's largest. These players now have access to the increased liquidity and market-leading game innovation offered on the CryptoLogic-developed network," said Lewis Rose, CryptoLogic's President and CEO.

CryptoLogic's software will power the Playboy Internet poker site for three years on an exclusive basis, and will target non-US markets only. Similarly, the CryptoLogic-developed network will be the exclusive engine behind Betsafe Poker for three years. CryptoLogic recently announced purchase and licensing agreements with third parties with respect to the Parbet brand and poker assets, both of which closed last week.

The PlayboyGaming.Com site will offer unique 'money can't buy' promotions for players, including PlayboyGaming.Com merchandise and invitations to special events, such as trips to the legendary Playboy mansion. It brings a new dimension to this global brand that already markets 21 local editions of its magazine, provides wireless content in 30 countries and offers Playboy-branded products in more than 25,000 retail outlets around the world. The Playboy name and brand also brings substantial marketing power to further enhance the poker network's overall liquidity.

"Both Parbet and PlayboyGaming.Com reflect our strategy to better control the success of the online gaming properties using our software," added Rose. "With Parbet, we own the brand, database and related assets and with PlayboyGaming.Com, our group will provide marketing support services, as we have so successfully done for the InterPoker and InterCasino brands."

Through the new sites, Scandinavian and European players and others can now reap the benefits of a highly liquid, safe, secure gaming environment.

About CryptoLogic® ( www.cryptologic.com )

Focused on integrity and innovation, CryptoLogic Inc. is a world-leading, blue-chip public developer and supplier of Internet gaming software. CryptoLogic's leadership in regulatory compliance makes it one of the very few companies with gaming software that has been certified to strict standards similar to land-based gaming. WagerLogic Limited, a wholly-owned subsidiary of CryptoLogic, is responsible for the licensing of the company's gaming software and services to a blue-chip customer base around the world. For information on WagerLogic®, visit www.wagerlogic.com .

CryptoLogic's common shares trade on the Toronto Stock Exchange (symbol: CRY), the NASDAQ Global Select Market (symbol: CRYP), and the Main Market of the London Stock Exchange (symbol: CRP).

CRYPTOLOGIC FORWARD LOOKING STATEMENT DISCLAIMER:

Statements in this press release which are not historical are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risks and uncertainties including, without limitation, risks associated with the Company's financial condition and prospects, legal risks associated with Internet gaming and risks of governmental legislation and regulation, risks associated with market acceptance and technological changes, risks associated with dependence on licensees and key licensees, risks relating to international operations, risks associated with competition and other risks detailed in the Company's filings with securities regulatory authorities. These risks may cause results to differ materially from those projected in the forward-looking statements.

Contacts: CryptoLogic Ken Wightman Communications (416) 545-1455 Website: www.cryptologic.com PlayboyGaming.Com Linda Marsicano (312) 373-2447 Argyle Rowland Communications Karen Passmore (North American media) (416) 968-7311 ext. 228 Email: kpassmore@argylerowland.com Argyle Rowland Communications Dan Tisch (North American media) (416) 968-7311 ext. 223 Email: dtisch@argylerowland.com Corfin Communications Ben Hunt (UK media only) +44 207 929 8985 Corfin Communications Neil Thapar (UK media only) +44 207 929 8999 Corfin Communications Harry Chathli (UK media only) +44 207 979 8980