Becoming a cryptocurrency lawyer: An Introduction
Simply put, a crypto lawyer is a person who is familiar with and knowledgeable about legal concerns relating to cryptocurrencies.
The demand for blockchain lawyers is rising very fast. Cryptocurrency businesses need skilled Compliance Officers, Legal Counsels, Dispute Managers, and cryptocurrency lawyers. A fast LinkedIn search shows approximately 487 blockchain legal job openings in the United States and 737 globally.
According to Statista’s research, the total value of the tokens in the cryptocurrency market was divided after the number of cryptocurrencies produced by businesses reached a height of over 6000 in 2021. According to coinmarketcap.com, the overall market cap of cryptocurrencies is currently $2.4 trillion.
There is no disputing that cryptocurrency is gaining popularity, and we think this is just the beginning.
Although not everyone uses cryptocurrencies daily, the number of businesses that use them is increasing. These companies need more lawyers that are blockchain and cryptocurrency experts in navigating complex compliance and legal issues.
In this article, we will discuss all about becoming a web 3 lawyer, crypto lawyer salaries, opportunities for crypto lawyers on the blockchain and lots more.
How to become a blockchain lawyer
The path to becoming the best crypto lawyer you can be is not easy. it requires you to be legally and technologically sound. But, not to worry. We have outlined several steps you can take to become a proper crypto business lawyer.
#1. Have a very sound knowledge of blockchain technology:
When it comes to cryptocurrency legal issues, you must have an in-depth knowledge of blockchain technology. This will give you an edge in securing top blockchain clients looking for lawyers who know about crypto.
Honestly, you can’t call yourself a top cryptocurrency lawyer when you cannot explain how cryptocurrency transactions are stored in a distributed, decentralized, P2P network.
As cryptocurrency gets more adoption, blockchain corporations are getting more regulatory attention. A cryptocurrency lawyer must have a firm understanding of blockchain technology to have the expertise to analyze any crypto-related legal issue.
You may be asking, where can I stay learning to be a crypto lawyer? The truth is, for you to have a fair understanding of the cryptocurrency world and issues like blockchain thefts, we recommend you take a crypto lawyer course, which we will be discussing in a bit.
#2. Gain Experience:
As a cryptocurrency lawyer, you must have experience in blockchain technology. The best way to do this is to start developing a blockchain project. This will give you the expertise you need to work in a law firm that deals with blockchain clients. As cryptocurrency-related cases are rising, many blockchain law firms are actively searching for interns.
Another way you could gain experience is through a cryptocurrency startup incubator or accelerator program. These programs offer different resources to help aspiring blockchain entrepreneurs build their companies and take them to market.
#3. Gain your blockchain lawyer certification:
With the proper knowledge and professional credentials, you can become accredited to handle blockchain-related crime cases for victims.
So, the educational requirement for becoming a cryptocurrency lawyer is a bachelor’s degree in law school (specializing in blockchain law). The state bar exam works by earning a bachelor’s degree with good grades. Furthermore, it would be best to have strong communication, research, and investigative skills.
Blockchain law school takes three (3) years to complete. You will receive a Juris Doctor (J.D.) degree.
Keep yourself updated on significant development or policy that is taking place, not just in your country but globally; this will give you insight into how fast and dynamic legal tech space changes. Also, keep reading any case law and any new development related to blockchain.
If you wish to start now, get yourself skilled enough so you can freelance or explore your services in countries where blockchain-related legal issues already exist, this will help you gain practical knowledge, which will help you be a better cryptocurrency fraud lawyer.
Why do we need crypto lawyers?
As blockchain gains more use cases, the rise of blockchain crimes such as cryptocurrency expert crimes, cryptocurrency fraud, blockchain theft, and blockchain theft also increases; hence blockchain lawyers are needed to offer services like:
#1. Legal counseling
Similar to traditional businesses, cryptocurrency businesses operate in the B2B2C market and are subject to stringent financial and legal regulations. These businesses need expert legal advice to maintain a compliant infrastructure and thwart fraud in cybersecurity, tax, data protection, arbitration, European GDPR, and cryptocurrency-specific regulations.
#2. Legal Representation
In some regions, cryptocurrencies are legal but subject to stringent laws. As a result, more authority is given to law enforcement, and cryptocurrency owners may be subject to subpoenas, audits, and seizures. Clients then seek legal counsel from knowledgeable crypto attorneys to successfully defend and represent them in court.
For cryptocurrency service providers, i.e., exchanges, where clients entrust the business with their intellectual property in exchange for service of a certain quality and rigorous deadline, the management, and settlement of conflicts are key.
The first blockchain application created exclusively for the community of international dispute resolution was released in 2018 by The Miami Blockchain Group under the name “Smart Arbitration & Mediation Blockchain Application” (SAMBA). Some of these issues have built-in mechanisms for resolution, which rely on attorneys to determine the guidelines under which the contract will arbitrarily resolve problems.
For years, cryptocurrency was like the Wild West—but the IRS has caught on and begun aggressively pursuing traders who fail to report, or under-report, their taxable gains.
A cryptocurrency tax lawyer helps clients prepare tax reports for the current tax year, identify crypto income, gains, and losses, create or amend previous year’s crypto tax returns, and respond to IRS notices and letters.
Top educational Institutes Offering blockchain Law Program
1. New York University (NYU)
The university’s curriculum focuses on blockchain applications rather than its IT coding. To give its students the most outstanding preparation for a future in blockchain, it launched the course on blockchain, its legal implications, and fintech in 2014.
2. Princeton University
This is one of the most well-known universities for students who want to enter the blockchain industry. In partnership with Coursera, the institution also offers an online course for this technology and other fintech-related technologies.
3. Stanford University
One of the most important institutions in America is Stanford University. Its blockchain course covers the analysis of applications that support Bitcoin. It also teaches about the current laws and rules governing fintech that are in effect in various nations.
Top 5 Recruiters for Cryptocurrency Lawyer Jobs
You may be searching for “cryptocurrency legal recruitment firms” or “cryptocurrency lawyers near you”. Whatever the case may be, these web 3 legal job recruitment firms might be helpful to your search.
1. Bryan Cave Leighton Paisner:
This is a law company that assists and advises clients on financial legislation that will impact their cryptocurrency projects. The company’s main areas of concentration include digital currencies and bridging the gap between present and future regulatory frameworks.
The law firm offers a wide variety of blockchain-related law services. They employ qualified cryptocurrency lawyers with the training and experience necessary to assist clients with data security, privacy, and other pertinent issues.
Award-winning crypto law company Dentons represents clients from reputable companies. The company is renowned for providing high-quality services and draws the top legal minds in the industry.
4. Davis Wright Tremaine LLP:
The firm focuses on providing clients with services from both traditional and digital finance or both sides of the spectrum. The crypto lawyers always have the most current regulatory knowledge, ensuring their clients comply with the nation’s laws.
5. DLA Piper Group:
It is a well-known law firm specializing in the financial technology sector. They collaborate with established financial institutions growing in the technology industries, banks, and venture capital funds.
What You Need To Know About Your Blockchain Legal Consultant
Roles and Responsibilities
A blockchain legal consultant should advise businesses on structuring cryptocurrency offers and also concentrate on creating legal relationships.
The legal consultant will advise crypto clients on deploying blockchain-based solutions, producing or using digital currencies, and integrating digital-ledger-based technology based on the current blockchain laws and regulations in the relevant countries.
Annual Salary on Average: $140,000
Here are the basic qualifications required to become a Blockchain Lawyer:
- The blockchain legal advisor should hold a certified law degree from a reputable university.
- Knowledge of token issues and trading is essential to ensure that the clients’ token actions are legally documented.
- A Blockchain Lawyer should understand how to draft business contracts and prospectuses following local laws.
- The candidates should be acquainted with blockchain to properly and legally utilize the technology.
- It’s essential to be well-versed in smart contracts.
Can you sue a cryptocurrency exchange?
Yes, this is possible!
Blockchain and cryptocurrency litigation is a rapidly expanding area of law.
Class actions and individual lawsuits are also possible forms of cryptocurrency lawsuits. Some people who sue entire crypto currency exchanges do so in the name of a class action to help everyone who is harmed.
Why do I need a cryptocurrency litigation lawyer?
A cryptocurrency litigation attorney has the expertise required to represent a broad range of clients in this matter.
These include cryptocurrency exchanges, lending organizations, technology platforms, developers, and buyers and dealers of cryptocurrencies. They also have investors in blockchain and cryptocurrency-related firms.
Does litigation lawyers sue only cryptocurrency exchanges?
While most blockchain-related litigations are directed at corporations, some of them have recently been focused on the coins themselves.