Overview
- A U.S. district court in New York dismissed the patent claims brought by Bprotocol Foundation and LocalCoin Ltd., entities tied to Bancor.
- The plaintiffs alleged Uniswap had used the constant product automated market maker formula (x*y=k) since 2018 in violation of a 2017 patent.
- The court found the plaintiffs did not meet the legal threshold for infringement, with Uniswap’s publicly accessible code weighing against the claims.
- Industry groups including the DeFi Education Fund and the Solana Institute supported Uniswap’s position, cautioning against patents on basic DeFi mechanisms.
- Uniswap founder Hayden Adams noted the decision on Feb. 11, and no appeal has been announced, removing immediate patent risk at the district-court stage.