LODAS Markets’ Blueprint: How to Launch a Regulated Tech Platform During a Global Crisis
Launching a regulated technology platform is challenging enough. Now imagine doing it just as the world shuts down. In a recent episode of Category Visionaries, LODAS Markets CEO Brian King shared insights from building and funding a financial technology platform during unprecedented global disruption.
When Crisis Meets Opportunity
For many startups, the timing of the COVID-19 pandemic proved fatal. But for LODAS Markets, it created an unexpected laboratory for testing new approaches to company building. “The crazy part though, is the timing in which we raised our first round was literally right when COVID happened,” Brian reveals. This timing forced the company to rethink traditional approaches to fundraising and team building from day one.
The Virtual Fundraising Experiment
Traditional wisdom suggests that raising capital requires extensive in-person meetings, especially for regulated financial platforms where trust is paramount. LODAS Markets proved otherwise. “There were very few people that I actually met in person while were raising our first round. And one of those people I just met for the first time in person about six months ago,” Brian shares. This virtual fundraising success challenged conventional assumptions about relationship-building in fintech.
Building Trust Without Physical Presence
The company’s experience demonstrated that deep domain expertise could bridge the trust gap in virtual environments. Brian’s background building major exchanges like Bats Markets and Bats Europe provided credibility that translated even through video calls. As he notes, “I spent most of my career building marketplaces, and then today we are a marketplace for alternative investments.”
Leveraging Crisis Conditions
Rather than viewing the pandemic as a limitation, LODAS Markets used it as a catalyst for innovation. They discovered that virtual operations could actually accelerate certain aspects of business development. “What’s been great for us is that we’ve been able to really attract a lot of buyside interest,” Brian explains. The platform now represents between one and two billion dollars in assets, achieved largely through virtual relationship building.
Technology as Trust Builder
The pandemic pushed LODAS Markets to double down on their technology-first approach. “We’ve made the process incredibly simple. Literally, somebody can set up an account in less than five minutes. But it’s all done through technology,” Brian shares. This focus on technological efficiency became crucial when in-person interactions weren’t possible.
Crisis-Tested Partnership Strategy
To overcome the challenges of remote business development, LODAS Markets focused on building relationships with financial advisors who could introduce potential clients. This strategic choice proved particularly valuable during lockdowns, as these partnerships could be developed and maintained virtually.
Looking Forward
The lessons from launching during COVID-19 have shaped LODAS Markets’ vision for the future. Brian sees technology continuing to break down traditional industry silos: “Right now, everything works kind of in a silo and so to be able to connect to other institutions through technology and we’re just on the cusp of doing that now.”
For founders launching regulated platforms today, LODAS Markets’ experience offers valuable lessons: deep domain expertise can bridge virtual trust gaps, technology can replace traditionally manual processes, and strategic partnerships can accelerate growth even in crisis conditions. Most importantly, it shows that launching during a crisis, while challenging, can force innovations that create lasting competitive advantages.