If you’re in the business world, it’s hard to avoid discussion of blockchain. Blockchain and cryptocurrency (NFT) seem to be the center of discussion, and everyone has strong opinions on them one way or the other. Some feel that cryptocurrency could end up harming our society while others feel that it will make transactions much easier. But have you considered how blockchain can impact your intellectual property? In today’s blog, we’ll discuss what blockchain is and how it impacts your intellectual property.
What Is Blockchain?
Blockchain can be as exciting as it is confusing, especially when it’s discussed alongside things like cryptocurrency. If bitcoin is the currency, blockchain is the database that secures the transactions through which cryptocurrency is used. It enters and stores data into blocks. That block will continue to be used until it’s full, at which point it will be chained to the previous block of data. This allows all data to be stored in chronological order. It is typically controlled by all users within the transaction throughout the chain.
Blockchain Helps to Prevent Counterfeits
But what if someone who has access to the blocks tampers with them to make it look as though your intellectual property is theirs, or to create a counterfeit? Blockchain protects against this, as well. If someone attempts to tamper with one of the blocks, it would change the hash value for that block, but not for the chain as a whole. Any subsequent blocks would still link back to the original block, offering solid proof.
Blockchain Brings Contracts Into the 21st Century
Blockchain also uses smart contracts, self-executing and self-enforcing contracts written with computer code. The parties involved sign with cryptographic signatures. Smart contracts will automatically document anything relevant to the contract, and even execute the terms of the contract over time. For instance, a smart contract might monitor when an author or a musician is due for royalty payments and automatically make the payment at the correct time.
Have questions about how blockchain can impact your intellectual property? Let us help! As ever, Garcia-Zamor has you covered when it comes to protecting your intellectual property, now as you navigate blockchain and the world of cryptocurrency. Contact us today to learn more.