“The license is stored safely and securely inside the solid-state iLok smart key and can then be used to provide the authorization for protected software to run on any computer where that software is installed.” It’s as simple as dragging and dropping,” the company explains. “Once a license is delivered to an iLok account, your user simply downloads the license to their iLok. While iLok1 allows customers to carry up to 118 licenses, iLok2 can carry up to 500. Now on its second generation, iLok2 is a relatively cheap proprietary USB dongle that acts as a license storage device for software protected by PACE Anti-Piracy. One such solution is iLok from security company PACE. With the majority of all commercially available software slushing round on the Internet in pirate form, companies have always sought secure anti-piracy mechanisms to protect their products.