Noted hemp producer Apothio recently raised $330,000 on the Republic funding platform. The funds are expected to go toward a lawsuit in Kern County, CA. Investors supporting the case will be issued AVAX (Avalanche) digital tokens located on the blockchain.
An LFJ Conversation with Michael Kelley, Partner, Parker Poe
Noted hemp producer Apothio recently raised $330,000 on the Republic funding platform. The funds are expected to go toward a lawsuit in Kern County, CA. Investors supporting the case will be issued AVAX (Avalanche) digital tokens located on the blockchain.
Upcoming News reports that this Initial Litigation Offering is a first on the Republic platform—which was launched in 2016 as a path for equity fundraising. The case itself has Apothio seeking damages allegedly caused when California Fish and Wildlife destroyed 450 acres of hemp crops valued at about $1 billion.
ILOs offer a way for cryptocurrency to have real-world impact by funding lawsuits in a way that increases access to justice.
Kyle Roche, lawyer for Apothio, explains that while the justice system is effective, it’s costly to the point that not everyone can afford to have their day in court. With an ILO, investors receive digital tokens which then entitle funders to a portion of any damages received by plaintiffs.
Typically, these tokens are frozen for 90 days, at which point they will become transferrable.
