Current map of the LegalBlock Community. Sept 2018

Why LegalBlock needs Accredited Lawyers

Our Vision and the Times Ahead

Maria T. Vidal
LegalBlock
Published in
11 min readSep 16, 2018

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The goal of this article is to explain what is the LegalBlock Lawyers Accreditation pilot, why it is important and how is the process to apply.

Let’s start with a reminder of our vision:

empowering the community to set the standards for the new era of legal practice built on Blockchains

Now, let’s break down the concept:

“Empowering the community”

You might also say, “the crypto community,” which is still accurate. Notice we are not niching down the term to the Legal Community. Why? Because Team Founders, Researchers, Developers, and Lawyers are all participants in this new reality. With “empowering” we aim to give the tools and information to this Community. i.e., Developers should understand the needs of the legal practitioners in the same way Lawyers should understand how this new technology is being built. This can only be achieved by “empowering the community.”

“To set the standards”

You might think this statement is too ambitious. And yes, it is. Ambitious enough to mobilize a group of people to collaborate. The standards are usually established by a centralized authority, an entity or an appointed institution. Should we wait for a set of dictated rules while blockchain technology is growing exponentially faster? Are we smart enough to take advantage of the Collective Wisdom and start working on figuring out what standards we need to set in order to move on?

“For the new era of legal practice”

In case you haven’t noticed, “the firm” as we know is undergoing metamorphosis. The regulatory landscape is struggling to keep pace. The Lawyers have become coders. The entrepreneurs are finding new ways of funding their projects. P2P models are gaining traction. The “new era” is not in the future. It is here and now. We can say “No Lawyer Left Behind” because we actually mean it.

“Built on blockchains”

The Blockchain is not a concept you just learn by reading books. It is a technology, a Work in Progress development. Here the word “built” is giving the whole idea. And “blockchains” in plural. It is self-explanatory.

What is the LegalBlock Lawyer Accreditation Pilot

The Lawyer Accreditation is a pilot we are developing to validate Lawyers participating in the LegalBlock community. We aim to test the process first before it is instituted as a final development.

Our model contemplates the Validation and Accreditation of Lawyer members by the community, as opposed to using self-promotion or authority. For that purpose, we have previously proposed the implementation of a mechanism called TCR. (don’t get stuck here and continue reading)

However, as the TCR is still under research and it is basically an ongoing experiment, we have discussed using the TPL, which stands for Transaction Permission Layer, to validate or to certify the participants.

Background

LBA [2] TPL

LBA stands for LegalBlock Activity. If you are an active member of the LegalBlock community, you are aware of the way our Activities are designed. Each Activity falls under a Topic of interest, previously discussed within the LegalBlock community. LBAs compromise three steps in order to achieve a positive-sum network. 1. Discussion, 2. One-on-one session, 3. Outcome proposal.

Back in April 2018, we started working on LBA [2]. Transaction Permission Layer (TPL). A framework for Self-regulation proposed by Zeppelin. We spent time openly discussing the protocol, we shared the documentation, and we analyzed the proposal. Then, we held a Q&A session with its creator Demi Brener, Zeppelin CEO, for a better understanding of the proposed protocol, where Demi took questions from LegalBlock members, mostly Lawyers.

The outcome (or result) of this LBA [2] is the LegalBlock Lawyer Accreditation Pilot.

So, this is all about. An adaptation of the TPL framework is the mechanism we are testing to validate the Lawyer participating in the LegalBlock community.

Why we need Accredited Lawyers

To avoid any further confusion, the first thing we want to elaborate is the “why.” And it is actually the most critical issue. Everything goes back to our Conceptual Paper, released back in November.

Background

Conceptual Paper

The LegalBlock Conceptual Paper provides the theoretical framework by which we stand to support everything we have been doing so far as a community. The paper is based on relevant works and principles of social anthropology, and it gives answers to the problem of this new legal reality by applying Collective Wisdom ¹ and resources from contemporary works on social structure and agency ².

To illustrate, here is an excerpt from the conceptual paper:

In real life, reputation is paramount for the Legal industry. Through Collective Wisdom, we can refine that concept relying on the participants. At the first stage, the invitation to early members of the community is based on public knowledge of her or his work, experience, specialization, and understanding of the ecosystem. However, the reputation is subject to validation in the community.

In summary, we need Accredited Lawyers as the foundation of the LegalBlock model. The accredited lawyer status on-chain is the first step to qualify participants for the next tasks such as Proposals, among others. You can read more about proposals at the end of this post.

In practice, we list here some relevant reasons to answer why we need accredited lawyers for the whole model to work:

  • Proposer: To open a Proposal, so the others members know the one who is opening and leading the proposal is a legit Lawyer.
  • Candidate: To postulate yourself as a Lawyer in Proposals, so the Proposer knows the one postulating to participate in the Team has been validated by the community (LegalBlock)
  • Token Holder: To receive tokens per participation. We are evaluating a token model for network functionality purposes. We will elaborate on this point when the time comes for feedback and discussion. For now, the token is only a measure of participation which will be taken into account in our incentive model.
  • Validator: Accredited Lawyers can eventually be Validators for other platforms built on the blockchain in the future, due to our partnerships. It includes document attestation, evidence review, dispute resolution, legal templates, etc.

Having said that, the theory alone is not enough to achieve our vision. If you have read the Conceptual Paper, you can easily realize that all the postulates are present in our daily interaction and activities. Therefore, it’s time to move forward.

If you have not read the conceptual paper, this is the right time to do so. The next section concerns mostly to our active members.

Let’s move to the “How” and the stories around it.

You have read so far. You understand the rationale behind the Accreditation. Now, let’s try to give you some light about the process per se.

This “How To” deserves its own expository post. This time I ‘ll try my best to cover here your concerns and clarify doubts based on our open discussions. The feedback you have provided in our channels is the core of the following explanation. You can always refer to the LegalBlock TPL Pilot document we have shared before, for technical details and specifications about the protocol and the flow.

Some Technical considerations first:

  • This pilot runs on the Rinkeby testnet. That’s why it is called a Pilot program rather than a final development. As soon as we go mainnet (on the Ethereum network), it will become a final development, but we need to test first.
  • Based on the above, the application format during the pilot is a simple google form. That gives us the opportunity to work on an agile approach and iterate as fast as possible with less friction and more flexibility, before the final UX design.

The Application process:

For purposes of testing, the pilot is open for at least 5 up to 10 Lawyers³ from the LegalBlock community. Ideally, the participants should represent several land jurisdictions. As a Lawyer, you need to provide the information requested via the Application Form along with your 0x address. This process of gathering information is entirely off-chain.

The application form comprises four sections corresponding to your ID and 0x address, plus three parameters for validation. These three parameters or requirements are related to 1) your Land Jurisdiction 2) your status in the Law industry 3) the Work you have done related to Blockchains. The Application form is self-explanatory with a step by step guide on each section.

Lawyer members will provide the set of 3 requirements for validation along with their Ethereum address. Each member shall fill out the form and, upload or link to documents for verification. Metamask wallet 0x address is recommended.

Stop here!

Why is Metamask recommended? Because this is a pilot, running on Rinkeby testnet. Testnets simulate the Ethereum network allowing developers to upload and interact with smart contracts without paying the cost of gas. The easiest way to connect to Rinkeby for the regular user is using Metamask. So, in order to facilitate your User Experience, we recommend Metamask.

Should I really need to install the Metamask chrome extension? It seems to be complicated! Well, sooner or later… you should. If you want to get familiar with the blockchain, take your time and put your skin in the game. If you have the opportunity to learn something new, free and with help from your peers… just do it! Remember the “No Lawyer Left Behind” statement? You have a community called LegalBlock supporting you. You always will find someone around who knows the answer to your questions.

Why Metamask and not MEW or another wallet? Because it is easier when it comes to testnets. However, you can use MEW if that is your choice. The use of Metamask is “recommended,” but it’s not “mandatory.” Also, you have to be extremely careful sending Ether or tokens. If you send them on the Ethereum mainnet to a testnet address, you will lose them.

To finish the “metamask or not metamask” clarification, we can say that metamask is easier to use but you are not limited to use it. You can also use MyEtherWallet to connect to the Rinkeby testnet. I suggest this 3 min read called The Beginners Guide to Using an Ethereum Test Network Both wallet options are covered there.

About the requirements

Going back to the requirements, we have experienced friction from a marginal number of participants⁴ regarding the passport requirement. We proceed to open a poll. A “Yes” “No” question “Do you agree on providing passport for verifying identity of the Lawyers in our community?” 100% of participants responding to the poll voted “Yes.”

A second poll was opened with the following results:

Which of the following options do you prefer to verify Lawyers identity for the LegalBlock Lawyers Accreditation Pilot?

  1. Passport = 14.21%
  2. Any local government id = 21.40%
  3. It should be the same document provided as proof of Licensing or practicing Law or Student status = 50.00%
  4. a link with any official online public record indicating you are the person you say you are = 14.21%

As you can see the ID issue was solved with no further friction by the community itself. Now let’s move to the Work section.

The requirement is to provide evidence of your work in the blockchain field. Most of you can submit the link to a LinkedIn profile. While this link is not enough to validate your work, the Validators can always go through a research and verify online records matching with your professional profile, publications, job position, etc. In this case, LinkedIn is not “the Proof of Work” itself, but a tool to certify the legitimacy of the proof after some research online. If you fill in this category, you are fine.

Some of you have provided an extensive list of links as evidence of your work making the job of the Validators really easy. These links to publications, papers, interviews, editorials, academic roster, among others, are irrefutable evidence of your work. Since it is not necessarily easy to find them via a simple online search, the validators appreciate your efforts!

Stop here!

What if my background is not public online? What if I have worked with projects as a Lawyer in a capacity that is not public? No worries, simply provide a paragraph with the description of the legal service provided to the project, exchange or organization, in what capacity, and links to that organization, team or project.

What if I want to prove my work which is not publicly accessible by providing documents in a language other than English? No problem. Just upload the docs. The validators can always use a translator app. Alternatively, some applicants have agreed on providing contact information from parties for the validators to contact them and check the reference.

I have NDAs signed, I cannot disclose information about my work, but I still want to be an early adopter and participate in the pilot. Well, that starts making the things a little difficult. For the sake of transparency, wait for the next round of applications.

Image Jack Moreh

Next Steps

You have filled out the Application form. What’s next for you?

  • The Validators certify your status.
  • If everything is cleared, you become a LegalBlock Accredited Lawyer
  • From now on, your 0x address is the equivalent of your “whitelisted ID in the LegalBlock network.”
  • You will receive tokens to your address (remember we are on testnet)

So far, it has been easy for you. Let’s see what’s next.

Personal Dao

LegalBlock is currently registered as a DAO with Aragon. As a matter of experiment, we will start implementing Personal DAOs for all of us. Our idea is simple, as a Lawyer you will be able to take control of your tokens, access to proposals, and see your finances all in one place. Although we are not sure about the name “personal DAO”, we are taking this term from Luis Cuende’s post on Aragon One. He describes the personal DAO on Enter the world of personal DAOs as follows

“A personal DAO is your own Aragon DAO that acts as your agent in the decentralized world. A personal DAO borrows all the features you can expect from an Aragon DAO, but it isn’t an organization comprised of multiple people.”

By working on this solution with the developers, we foresee a smooth interaction between LegalBlock DAO and Lawyers DAO.

Proposals

Proposals are the way to “coordinate the information” for the “collective wisdom” to work. It is the system we have designed as a response from community members initiatives, and we are using blockchain to set up that system. A “proposal” could be anything that requires to form a team for a specific work entitled to reward. More details about proposals are coming within the next weeks.

What’s next in summary:

Lawyers Accreditation. Lawyer Personal DAO. Proposals System. Working Groups.

The roadmap ahead requires time, work, effort, and participation. But after all this reading, we can go back to the introduction and check one more time our vision, with no need to break the concept down this time :

empowering the community to set the standards for the new era of legal practice built on Blockchains.

Can you see it happening?

To join LegalBlock community channels sign up here.

You can always find us on Twitter, Reddit, Medium, LinkedIn, SoundCloud, Youtube

Or just visit our website to learn more about LegalBlock.

[1] Based on Levi-Strauss structuralism

[2]Derived by Radcliffe Brown, widely regarded as the father of structural anthropology.

[3]As this post is being written, we have reached more than the minimum participation from applicants, which means the pilot is viable.

[4]It is worth mentioning that the ones leaning towards providing a full ID (passport) are mostly early members of the community, as opposed to the ones expressing resistance to the ID submission. This discovery is worth sharing.

DISCLAIMER: Blockchain is a disruptive technology that introduces several doubts about its legal nature. LegalBlock aims at being an open forum in which its members and invitees can share views and comments on such technology and its impact on different legal systems. However, the views and discussions expressed in LegalBlock are merely personal and do NOT constitute legal advice of any sort and do NOT necessarily reflect those of the LegalBlock.

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Maria T. Vidal
LegalBlock

Blockchain believer. Global Real Estate. Catalyst and Communications at LegalBlock. Former Communications at kleros. @MariaTvidal on Twitter