Uniswap Wins Early Dismissal in Bancor Patent Case

TheNewsCryptoPublicado em 2026-02-11Última atualização em 2026-02-11

Resumo

A New York federal judge dismissed a patent infringement lawsuit filed by Bancor-affiliated entities against Uniswap, ruling that the patents in question claim abstract ideas and are therefore ineligible for protection under U.S. patent law. The case centered on technology for automated market makers and liquidity pools. The court applied a two-step test and found no inventive concept, stating that using blockchain for currency exchange calculations does not make an abstract idea patentable. The complaint also failed to plausibly allege direct infringement. Uniswap founder Hayden Adams celebrated the decision. The plaintiffs have 21 days to file an amended complaint.

A New York federal judge has dismissed a patent infringement lawsuit filed by Bancor-affiliated entities against Uniswap, delivering an early procedural win for the decentralized exchange giant. The court ruled that the patents at issue claim abstract ideas and therefore do not qualify for protection under US patent law.

Judge John G. Koeltl of the Southern District of New York granted Uniswap’s motion to dismiss the complaint brought by Bprotocol Foundation and LocalCoin Ltd. against Universal Navigation Inc. and the Uniswap Foundation. The determination depends on the fundamental notion that abstract ideas are not patentable under US patent law.

The contention was over the technology that powers the automated market makers, which is basically the constant product formula of the decentralized exchanges. Bancor claimed that Uniswap was illegally using patented technology for the automated pricing of the tokens as well as the liquidity pools. Industry observers have closely followed this case, especially as recent DeFi legal battles and crypto regulatory crackdowns shape the competitive landscape.

Court rejects patent eligibility claims

Judge Koeltl ruled that the patents describe “the abstract idea of calculating currency exchange rates to perform transactions.” He emphasized that currency exchange qualifies as a fundamental economic practice. The act of calculating pricing information, even when implemented through blockchain code, does not transform the idea into patentable subject matter.

The court applied the US Supreme Court’s two-step patent eligibility test. First, it assessed whether the claims target an abstract idea. Second, it examined whether an “inventive concept” transforms that idea into something patent-eligible. The judge found no such inventive concept.

He rejected arguments that blockchain infrastructure or smart contracts make the claims novel. According to the opinion, the patents use existing blockchain technology in predictable ways to address an economic problem. Limiting an abstract idea to a particular technological environment does not make it patentable.

Shortly after the ruling, Uniswap founder Hayden Adams posted on X that “we won,” reflecting optimism within the Uniswap community.

Complaint fails to establish infringement

Beyond patent eligibility, the court also ruled that the complaint failed to plausibly allege direct infringement. The plaintiffs did not identify how Uniswap’s publicly available code includes the specific reserve ratio constant described in the patents.

The judge dismissed claims of induced and willful infringement as well. The complaint did not demonstrate that Uniswap knew about the patents before the lawsuit began. That absence undermined allegations of intentional misconduct.

The dismissal was without prejudice. The plaintiffs have 21 days to file an amended complaint. Should they fail to comply, the prior dismissal shall be entered with prejudice.

Legal requirements related to patent law eligibility are described under Section 101 of the US Patent Act and may be accessed via USPTO.gov. Federal procedures related to motions for dismissal may be accessed via uscourts.gov.

At least for now, the decision appears to consolidate Uniswap’s place in the competitive DeFi space. It also suggests a wary approach by the court to granting patents for monopolies over the basic economics of finance in the decentralized finance space.

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Perguntas relacionadas

QWhat was the outcome of the patent infringement lawsuit filed against Uniswap by Bancor-affiliated entities?

AA New York federal judge dismissed the lawsuit, granting Uniswap's motion for an early procedural win.

QWhat was the court's primary reason for dismissing the patent claims against Uniswap?

AThe court ruled that the patents claimed abstract ideas, specifically the calculation of currency exchange rates to perform transactions, which are not eligible for protection under US patent law.

QWhich legal test did the court apply to determine the patents' eligibility?

AThe court applied the US Supreme Court's two-step patent eligibility test to assess if the claims targeted an abstract idea and if an 'inventive concept' transformed it into something eligible.

QDid the court find that Uniswap's use of blockchain or smart contracts made the patents novel?

ANo, the judge rejected arguments that blockchain infrastructure or smart contracts made the claims novel, stating the patents used existing technology in predictable ways.

QWhat is the status of the dismissal, and what option do the plaintiffs have following the ruling?

AThe dismissal was without prejudice, meaning the plaintiffs have 21 days to file an amended complaint. If they fail to do so, the dismissal will be entered with prejudice.

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