Litigation Finance Agency Liti Capital Raises Extra Cash to Fund Lawsuits

Liti Capital SA,  a Swiss litigation finance agency, says it has raised an extra $5 million to buy belongings price as much as $50 million.

Litigation finance is when a agency purchases a proportion of a lawsuit to assist fund a lawsuit within the hopes of benefiting from a victorious case. There are different litigation finance companies however Liti is one of some that seeks to tokenize belongings.

Liti Capital launched its LITI fairness token on June 24th and a “wrapped” LITI token, the wLITI, on June 29th.

Liti Capital says it tokenized its fairness shares with the aim of offering retail traders a chance sometimes solely obtainable to some traders. The corporate believes that tokenized belongings can decrease the barrier of entry for smaller traders whereas lowering prices and rising safety for each traders and the corporate. Liti additionally believes there will probably be larger liquidity in a tokenized asset.

Liti Capital’s CIO David Kay emphasizes that Liti Capital shouldn’t be a cryptocurrency:

“Subsequently, rising our Market Cap is an effective factor for our traders as a result of it means we’re placing new cash to work to purchase belongings and create earnings. We have been in a position to make investments our first $10 million and switch it into belongings valued round $100 million. We count on to make use of this new funding to supply related outcomes.”

The corporate reviews that of its preliminary non-public increase of $12 million, $10 million was used to safe belongings price as much as $100 million of potential asset worth. Including the anticipated $50 million totals $150 million in attainable returns. In fact, the litigation have to be profitable to attain these targets.

The corporate states that its long-term targets embody prosecuting crypto scammers. Liti Capital says it’ll spend between 5% and 10% of its funding capital investigating and funding litigation in opposition to these crypto con artists and scammers.