- The Bitcoin Law Protection Fund is being shared with Chaincode Labs co – founders Alex Morcos and Martin White, a professor at the University of Sussex.
- The fund will provide legal protection for Bitcoin developers facing lawsuits related to their activities within the Bitcoin ecosystem.
In response to the recent legal battles faced by Bitcoin developers, former Twitter leader Jack Dorsey announced a fund to help them take down their defenders without fear. According to the announcement, the Bitcoin Legal Protection Fund is being appointed with Chaincode Labs co – founders Alex Morcos and Martin White, Professor of Computer Science in the Department of Informatics at the University of Sussex.
The announcement also says the fund will provide legal protection for Bitcoin developers facing lawsuits related to their activities within the Bitcoin ecosystem. Some of the help includes paying legal bills, developing litigation strategies, and finding and hiring defense attorneys.
The ongoing litigation and threats have the desired effect; individual defendants chose to capitalize in the absence of legal support. We recommend a coordinated and formal response to help protect developers.
Over the past two years, software developers have succumbed to legal challenges, which have prevented them from developing projects like Bitcoin privacy protocols and the lightning network. Therefore, the Bitcoin Legal Protection Fund was created as a non-profit entity to offset some of these challenges. For now, Bitcoin developers will be assisted by part-time, volunteer lawyers. Based on the email, it appears that the fund will not automatically handle all the legal battles facing developers.
The Legal Tulip Trading Containing 16 Bitcoin Developers Will Be Supported First
According to the message, the board of the fund will determine the legal cases and the defendants it will support. In addition, additional fundraising for this operation will be led by the board.
At this time, the Fund does not intend to raise additional funds for its operations, but will do so at the request of the board of directors if necessary for further legal action or to pay staff.
First, the funds will be responsible for coordinating the ongoing protection of the law on the Tulip Trade. This law targets promoters for alleged breaches of fiduciary duty and provides a source of funding for external advice.
Ontier LLP, the law firm of Craig Wright’s Tulip Trading Limited (TTL), recently gave the green light to sue 16 Bitcoin-related developers for funds from the extraordinary Mt.Gox exchange. According to the report, the private keys of the wallet were stolen last year by Wright, who claims to have billions of US dollars on the inactive exchange. He therefore hopes that the promoters will take steps to reform it.
Wright’s attorneys wrote:
The fact that someone stole Tulip Trading’s encrypted bitcoin private keys does not prevent developers from deploying a code that allows the legitimate owner to regain control of their bitcoin.
This and many other lawsuits facing developers is what the Bitcoin Legal Protection Fund is trying to support.