ArentFox Schiff Guides Web3 Innovators in Patenting the Future of the Internet

Web3 represents a transformative shift in the digital landscape, characterized by the decentralization of control over user data and digital assets through the use of blockchain, smart contracts, and cryptocurrencies. Blockchain technology provides a decentralized ledger system that ensures transparency, security, and immutability of data across a distributed network. Smart contracts automate and enforce agreements on the blockchain, eliminating the need for intermediaries and enabling trustless transactions and interactions. Cryptocurrencies facilitate decentralized financial transactions, allowing for seamless, borderless, and secure exchanges of value. As Web3 continues to evolve, it promises to redefine the internet, attracting innovators and developers eager to explore its vast potential and shape the future of the internet.

As with any emerging technology, the rise of Web3 has triggered a global surge in patent filings for innovative Web3 solutions. For developers in this space, securing patents is crucial not only for protecting their inventions but also for gaining a competitive advantage in a rapidly changing market. In the United States, patents offer legal protection that prevents unauthorized use of novel technologies, allowing developers to fully capitalize on their inventions. On an international scale, patents provide a framework for navigating the complex global market landscape, safeguarding intellectual property (IP) across borders. This is especially significant as Web3 technologies frequently involve cross-border deployments. By obtaining patents, developers can attract investment, foster strategic partnerships, and drive innovation, thereby contributing to the robust growth and widespread adoption of Web3 technologies worldwide.

ArentFox Schiff’s Patent group, with its deep technical experience in patenting computer, software, internet, and financial technologies, has been at the forefront of guiding Web3 developers in protecting their IP and patenting their technologies both in the United States and internationally. ArentFox Schiff has procured hundreds of patents for Web3-related technologies for its clients. Below are several examples of the patented technologies.

ArentFox Schiff assisted Tangem, a fintech solutions developer, in obtaining US Patent No. 11,315,113[1] for a crypto wallet and novel blockchain transaction authorization protocol for Point-of-Sale (POS) terminals, which address the problem of cryptocurrency transactions not being supported by default in the conventional e-payment systems. As disclosed in the patent, the crypto wallet securely stores a user’s private cryptographic keys and interacts with standard POS terminals using contactless or chip and PIN methods. The patented blockchain transaction authorization protocol enables a POS terminal to obtain a transaction signature from the crypto wallet and transmit it over traditional payment networks by embedding the blockchain transaction data into standard electronic messages supported by the e-payment systems.

ArentFox Schiff assisted Acronis, an international cybersecurity and backup solutions developer, in securing US Patent No. 10,176,309[2] for a blockchain-based system designed to authenticate video content and address the issue of unauthorized video alteration, such as artificial intelligence-generated deepfakes. The system analyzes the original video file, generates unique hash values for its video frames, watermarks each frame with its respective hash value, and stores these hash values along with timestamps on a blockchain. To later determine if the video has been altered, the video is analyzed to verify whether the watermarked data matches the hash values and timestamps stored in the blockchain. This technology is effective in detecting unauthorized video alterations.

ArentFox Schiff has also secured for Acronis US Patent No.11,410,168[3] that address the problem of cybersecurity breaches and hacker attacks on cryptocurrency exchanges and cryptocurrency wallet service. The patented technology utilizes smart contracts to manage users’ crypto wallets and facilitates secure crypto-asset transactions. Specifically, a user’s crypto wallet is represented by a user-wallet smart contract on a blockchain, while crypto-assets are represented by token smart contracts that define transfer rules. These smart contracts facilitate typical crypto-asset transactions, such as changing wallet ownership and transferring assets between wallets, without exposing the user’s private cryptographic keys. This significantly enhances the security of crypto wallets and transactions, even in the event of cybersecurity breaches or hacker attacks.

ArentFox Schiff has procured for CPN Gold, a Singapore-based fintech pioneer, US Patent No. 9,747,586[4] addressing the issue of cryptocurrency volatility through a cryptocurrency issuance, circulation, and payment system. In this system, the cryptocurrency is backed by a reserve of tangible assets, such as gold or other precious metals. The patented system employs advanced mathematical algorithms to automatically and in real-time buy or sell the backing reserve of tangible assets for each cryptocurrency transaction, thereby reducing cryptocurrency volatility.

ArentFox Schiff is a market leader in helping clients navigate the complex business and legal issues related to Web3 and other emerging technologies. Leading technology companies rely on ArentFox Schiff for our extensive experience in IP law to protect their technological innovations through patents, trademarks, and copyrights in the United States and worldwide. With dozens of registered patent attorneys, agents, and scientific advisors from diverse technical backgrounds, ArentFox Schiff’s Patent group offers a full range of services, including patent procurement and counseling, opinion and transactional support, post-grant proceedings, and litigation.