PALO ALTO, Calif., Dec. 11, 2013 As the issuance of shares electronically has gained traction in crowdfunding and venture capital, eShares has looked to independent outside experts for advice on the legality of electronic share certificates.

As leading experts in securities and corporate law, DLA Piper has reviewed the topic and issued a memorandum finding that electronic stock certificates satisfy all the formal requirements and are permissible under Delaware law.

Rather than wait for outsiders to question the legality of issuing stock certificates electronically, we proactively engaged with DLA Piper to investigate the current law. Their memorandum is reassuring support as we start creating a new standard for electronic stock certificate issuance.”

Founded in 2012, the eShares platform saves money and time for companies, law firms and investors by making it easy to issue and manage electronic shares in one registry.

In summary, our conclusion is that all of the required attributes that a stock certificate must possess under Delaware law can be satisfied in electronic form. There are no statutory requirements that would preclude use of an electronic medium for certificated shares. And the modernization of laws in regard to written instruments more generally also support the conclusion that electronic versions of stock certificates are permissible, and not precluded, under Delaware law.” said Curtis Mo, Partner at DLA Piper.

eShares manages the relationship between companies and their owners replacing paper certificates with electronic shares.

The cloud-based technology makes it easy for private companies to eliminate paper certificates in seconds and has already issued more than 500 million shares since launch.