This study presents a competition-based digital design studio experience through the use of an updated structure for a graduate-level digital design and modeling course. In the Digital Architectural Design and Modelling (DADM) course, 24 students (in groups) were asked to design a playground for a location in Warsaw. This assignment was given in response to a competition brief organized by UNI.xyz. The course was restructured to function as a design studio and was organized to allow four integrated phases namely: analysis, design, modeling, and fabrication. A total of six student groups succeeded in participating in the competition (week 11). During the final submission (week 15), the students and jury members evaluated the completed projects according to 12 sub-criteria that were applied to the 4 main phases. The competition jury awarded various prizes to four of the projects developed during the semester. The course jury members observed that the biggest deficiencies occurred during the fabrication phase, the students regarded the design-related criteria as the major problem area. As the competition jury had no predefined evaluation criteria, they mostly drew attention to the projects' conceptual, spatial, construction, and material issues. This study proposes a project-based framework that combines computer-aided architectural design as a methodology, distance education as a type of communication, playground design as an architectural program, and participation in international competition as a means of motivation.