There have been numerous attempts so far, and here comes another one: LawCoin is poised to introduce litigation finance to the blockchain by allowing accredited retail investors to finance and even trade shares in lawsuits by tokenizing the offerings.
An LFJ Conversation with Michael Kelley, Partner, Parker Poe
There have been numerous attempts so far, and here comes another one: LawCoin is poised to introduce litigation finance to the blockchain by allowing accredited retail investors to finance and even trade shares in lawsuits by tokenizing the offerings.
As reported in Crypto Briefing, LawCoin President Marc Goldich sees opportunity in bringing litigation funding to the masses via the blockchain. He feels the added transparency and liquidity will do for the Legal Services sector what IPOs have done for private corporations.
LawCoin will allow investors to purchase tokens, each of which represents a fraction of a lawsuit. Upon successful completion of the claim, investors will receive their share of the proceeds as a LawCoin, digitally recorded on the blockchain. As the platform evolves, users will eventually be able to trade tokens with one another, creating a sort-of impromptu secondary market.
Goldich views litigation funding revolutionary, yet far from efficient. The fact that it’s only available to large institutional and high net worth individuals is something he looks forward to changing. And the difficulty in developing a secondaries market means that early investors can often be stuck in a claim for years, something LawCoin looks to easily change.
LawCoin is part of the Tachyon 10-week accelerator. Goldich and fellow co-founder and CEO Noah Axler worry they might be a little early to market with a tokenized offering for litigation funding, yet they remain 100% convinced that this is where the industry is headed. The team have already identified strong cases for their platform, which launches later this summer.
