The world of crypto is rich territory for some pretty mind-bending stories.

Nobody saw this coming.

Crypto-powered savings protocol, ??PoolTogether, has crowdsourced just under US$1 million and counting through a fundraiser via NFT sales with the aim of funding its legal defence against an alleged class action lawsuit.

PoolTogether promises the ability to offer risk-free lotteries on stablecoin deposits by generating interest from the money of ticket purchasers and liquidity providers using DeFi lending protocols.

Joseph Kent, the former technology director for Senator Elizabeth Warren's 2020 presidential campaign, is leading the lawsuit. Kent filed action against the project and its founder, Leighton Cusack, and several of its linked partners in January after depositing around US$12 worth of stablecoins into the system.

He claims PoolTogether is running an unlawful lottery in New York, alleging that the platform "may never deliver a positive anticipated value" given that it keeps up to 50% of each weekly win as a reserve.

Kent is seeking compensation equal to double the amount he spent on lottery tickets on the platform, as well as twice the fair amount of attorney's fees and legal costs.

The PoolTogether community has reacted positively to the crowdfunding campaign thus far with 2,416 NFTs sold, amassing to around 470.90 ETH. The NFTs base character is a purple animated avatar named Pooly who is available in three different rarity and cost levels.

The platform is hoping the collection sells out which would equate to around 1,076 ETH, or roughly US$2.2 million.