Suggestion: Fund for legal advisors for startups

I am a software engineer who has been working in the fintech space for longer than I’d care to admit. The Harmony One fund sounds right up my alley, but there’s one elephant in the room and I’m not sure if it’s addressed.

The barrier to entry for developing, hosting, and mangaing software over the years has decreased significantly. Likewise, for the most part, incorporations are becoming easier as well, as is paying taxes/etc.

Legal fees, however, are as high as they have ever been. With the volatility in the cryptocurrency regulations, an idea that can easily be pushed to fruition by a good software development team may never come to pass because of litigation fears.

This can be something as simple as - can I legally create a DEX in my country? If so, what regulations do I need to follow when doing so? Figuring that out requires hiring a lawyer and thousands in upfront costs just to see if a project can even start. This means things that can easily be created in a hackathon may never come to pass, especially with people who are more experienced in the FinTech space, because of fear of litigation. These are the same type of people you want on your network.

If you had lawyers on retainers guiding people how to follow the laws (or even following up to tell you if an idea is tenable or the expected upfront and yearly legal costs), then you could bring in a lot more FinTech folks who would be eager to join.

I believe having a legal council ready to guide people promoting ideas would be worth a portion of the treasury and pay for itself quickly.

1 Like