The PHL SCORE is a single, objective, unbiased rating from 0 (scam) to 100 (proven secure) that includes
- Reputation of a project
- Reputation of its founders
- Utility/use case
- Audits, implementation & code quality "developer qualification"
- Prototypes/public beta tests
- Fairness of token distribution
- Transparency
- Age/date of establishment
- Further hidden factors

The exact formula is not public to prevent projects from gaming the system. Please note that the PHL SCORE is not an investment rating or financial advice but rather a risk assessment, informing users about the chance of their funds being safe. Lower-rated projects might outperform higher-rated assets. The formular behind the PHL SCORE is meant to improve further over time as we gather more and more data.

Also note that the PHL SCORE of a project is not static. For example, if a Team KYCs themselves the PHL SCORE of their project would increase as their users could sue them after a potential rug pull. In case you are a project owner and any kind of event happened that suddenly increased your reputation please contact us so we can update the PHL SCORE of your projects.

The PHL SCORE only uses current project data. For example, it does not decrease with a larger social media following even though the team could potentially use such a following to do more harm than a smaller project. Only once a team actually harms their users or followers the ratings of their projects would decrease.

We generally advise users to use an official Richard Heart project instead of a community made project with the same functionality.

About wallets

Even if a non-custodial wallet is open-source you cannot verify that the version in the App Store is actually using a build from that code. For example, the operator could add additional code to leak the wallet's seed phrase. Projects with a mobile app that can generate seed phrases generally have a slightly lower PHL SCORE because of this risk.

We advise anyone to use Richard Heart's official wallet once it has been released. Until then stick to Hardware Wallets as they actually let you verify that their seed phrase does not get leaked to the outside world through an air gap. HEX.COM has an excellent page about this.