Crypto advocacy group the Cryptocurrency Open Patent Alliance (COPA) and the patent-focused organization Unified Patents have joined forces. They have launched a campaign against 'patent trolls' targeting blockchain and crypto technology.

COPA announced this collaboration in an Oct. 1 blog post. The 'Blockchain Zone' campaign aims to combat patents controlled by non-practicing entities (NPEs). This covers a wide range of technology, including non-fungible tokens (NFTs), wallets, and smart contracts.

The Threat of Patent Trolls

COPA explained that the partnership seeks to protect blockchain firms and developers from 'unwarranted and costly' legal claims by patent trolls.

These trolls leverage the high costs of litigation to negotiate settlements. Patent trolls, also known as hoarders, hold patents solely intending to profit through licensing or litigation. They typically do not use the patents themselves.

According to Unified Patents, these entities were responsible for 58% of all patent litigation in the United States last year. They targeted tech companies 95% of the time.

'Patent trolls are barriers in the path of innovation,' said Coinbase's legal chief, Paul Grewal. 'They must be stopped so that the community can continue to do the important business of building the crypto-economy.'

Protecting Innovation

Unified Patents CEO Kevin Jakel emphasized the importance of this partnership. He stated that it ensures the crypto sector 'won't be hindered by the all-too-common baseless patent assertions affecting other sectors of the economy.' The crypto space has had its share of patent trolls.

In September, the advocacy body DeFi Education Fund (DEF) moved to cancel a patent linking off-chain data to a blockchain. This patent was owned by True Return Systems, which had filed actions against crypto protocols MakerDAO (now Sky) and Compound Finance for infringement.

DEF purchased the patent from True Return in August as part of a settlement agreement. This move ended True Return's claims against Sky and Compound.

Meanwhile, the crypto domain name service Ethereum Name Service (ENS) is challenging a patent granted to its rival, Unstoppable Domains. Unstoppable Domains asserts it developed tech that uses blockchain to determine domains, while ENS claims it pioneered this technology.

'Patent trolls are barriers in the path of innovation,' said Coinbase's legal chief, Paul Grewal.

Collaboration for a Better Future

The partnership between COPA and Unified Patents marks a significant step in protecting blockchain innovation. By targeting non-practicing entities, the 'Blockchain Zone' campaign aims to foster an environment where blockchain and crypto tech can thrive without the looming threat of patent litigation.

This move is expected to benefit the entire blockchain community and spur further development in the crypto-economy.