digital asset firm Securitize A lawsuit was filed by Liquid Rarity Changedatabase RarityX, and by tZERO. The claim alleges patent infringement related to two patents covering asset tokenization and fractional ownership systems
Liquid Rarity Exchange’s application claims that: Securitization The tokenization platform and digital securities infrastructure infringe one or more patents.
Keith GradyPartner of law firm Kean MillerLLP, Representing the plaintiffs, he says: “LRE developed and patented key technologies for digital asset tokenization and sharded ownership, years before these concepts became mainstream. If a company is notified that its platform infringes valid patents and responds by continuing or even expanding infringing activity, patent laws provide strong remedies, including enhanced damages. We intend to pursue any available remedies on behalf of our client.”
Liquid Rarity Exchange filed a lawsuit against NFT company Offshore In 2024 for alleged patent infringement. The case was dismissed without finding any damages.
t ZEROa broker-dealer and marketplace operating in the digital asset industry, also filed a lawsuit against Securitize, alleging patent infringement. tZERO alleges that certain of Securitize’s products and services, including the DS protocol and Vault Registrar, infringe its patents.
tZERO sent a cease and desist letter to Securitize.
tZERO also alleges that other digital asset industry participants are infringing its intellectual property and is in the process of analyzing patent claims for these products.
Securitize in case of tZERO filed a complaint against seeks a declaratory judgment confirming that it does not infringe any patents.
It is unclear whether Securitize has responded to the allegations made by Liquid Rarity Exchange.
The legal challenge comes at an inopportune time for Securitize, which is preparing to go public via a SPAC deal under the ticker symbol “SECZ.” The SPAC deal values the company at approximately $1.25 billion.
