How To Protect Cryptocurrency Using IP Law | LegalVision UK (2024)

If you are a business owner in the UK who is considering becoming involved with cryptocurrency, you may also wonder about the most effective way to protect it. This article will discuss the best methods to protect cryptocurrency and related technologies.

What is Cryptocurrency?

A cryptocurrency is a digital currency or token. It is a tradeable asset that only exists online, meaning there are no physical notes or coins in existence. You can use cryptocurrency to buy anything from food to personal services.

It is still a relatively new concept and is gaining popularity within technological industries and the general public. Additionally, it is gaining traction worldwide as a form of currency. Therefore, it is becoming more widely accepted as a valid payment method. Thousands of types of cryptocurrency currently exist, all of which hold different values. Some examples of the most popular cryptocurrencies are:

• Bitcoin;
• Ethereum;
• Doge Coin; and
• XRP.

Cryptocurrencies use blockchain technology, an extremely secure system that stores data in blocks. This database acts as a digital ledger of transactions for different types of cryptocurrency. These records cannot be altered or deleted, and all transactions can be transparently viewed by anyone, meaning you can track your transactions.

How Intellectual Property Can Assist and Protect Cryptocurrencies

Trade Mark

You can trade mark the cryptocurrency’s name if you have created a new type of cryptocurrency. Additionally, your logo also has the potential to be registered as a trade mark, in the same way as any other.

For example, one cryptocurrency has trade marked its name ‘Ripple’, which has trade marked ‘Ripplenet’ and also its slogan ‘PayString’.

A trade mark can take any number of forms, including a:

• word;
• phrase;
• logo; or
• slogan.

To successfully apply to register a trade mark with theIntellectual Property Office(IPO), you must create a mark that is unique and distinctive. You can check the online trade mark database to ensure your mark has not already been registered.

The advantages of registering your trade mark are more robust protection and exclusivity within the classes of goods or services you have chosen.

A trade mark class is an industry you are involved in. Therefore, the areas of trade that will protect your trade mark. You can choose multiple trade mark classes within your application to enhance the protection of your mark. Although, you will have to pay additional fees for each class. There are 45 different classes to choose from. To guarantee your trade mark receives the maximum level of protection, you must ensure you choose the class or classes that are relevant to your trading industry.

Registering your trade mark with the IPO only registers your trade mark within England and Wales. You must make separate applications if you wish to register your trade mark internationally or within the European Union.

Patent

To successfully secure patent protection within England, you must show that you have invented something and that this invention has taken an inventive step beyond the expected development. It must also have an industrial application and have never been made public before the application for the patent.

It is common for cryptocurrency inventors to claim new processes due to their new and complex algorithms. Therefore, you can successfully patent cryptocurrency.

Patent protection is costly and a lengthy process. However, it is not always the best option when deciding which method of intellectual property protection. Applications for patent protection are usually around £5,000 with the IPO. Furthermore, the process usually takes around five years and requires a yearly fee to maintain the protections.

Patent protection provides exclusivity to the manufacturing and selling of your invention. Therefore, any competitor trying to use or sell your invention without your consent would infringe on your intellectual property rights. Moreover, you would have an immediate claim against them in court. Therefore, if you are considering applying for patent protection, you should seek legal advice to determine whether it is the correct option.

Key Takeaways

Cryptocurrencies are gaining popularity worldwide. Therefore, inventors of these digital technologies are seeking various methods of protection. Intellectual property protection can be highly beneficial. For instance, the owner will gain the exclusive right to use their:

• slogans;
• logos; or
• even the invention itself.

Some examples of cryptocurrencies with trade mark protection are Ethereum and Ripple.

If you need help with intellectual property protection, our experienced intellectual property lawyerscan assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page.

LegalVision cannot provide legal assistance with patents. We recommend you contact your local law society.

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