Whenever a major bank decides to file for patents regarding blockchain technology, people’s interests piqued immediately. The main goal of digital currencies such as Bitcoin is to create an ecosystem where everybody can be part of the system, by using blockchain technology in open source format accessible to everyone. Bank of America feels this is an opportune time to register another 20 blockchain patents, which can be seen as a way to commercialize distributed ledgers.
Also read: Building New Trust Relations Through Distributed Ledger Technology
Bank of America Likes Blockchain Patents
It is no secret that both Bitcoin and its underlying blockchain technology are getting a lot of interest as of late. Various financial players are exploring how distributed ledgers can be of benefit to their internal systems, in the hopes of reducing overhead costs and speeding up clearance and settlement for domestic and international transfers.
Over the past 18 months, the term “blockchain” has become quite the buzzword, to an extent where a lot of people are being put off by the concept alone.However, it seems as if the term “distributed ledger technology” will be the new terminology to address this innovative solution. Bank of America is planning to capitalize on the benefits of the blockchain, by filing even more patents.
During 2014, Bank of America filed 15 patents regarding various blockchain technology use cases. None of those patents have been granted just yet though, as the blockchain technology is open source and belongs to everybody on this planet. Attempting to patent certain use cases will stifle innovation in the blockchain industry and create an adverse effect.
However, Bank of America is drafting up the paperwork to file patents for another 20 blockchain use cases, although no exact details had been released at the time of publication. The US Patents and Trademark Office will receive the necessary details later this month, which means details should be available within a few days from now.
So far, only ten of the 15 patent filings have been revealed to the public. Keeping in mind how details will only be published 18 months after filing the patent itself, it will take some time before we know the full extent of all 35 filings by Bank of America. Needless to say, this approach by the major bank could very well end up working counterproductive.
It will take a few more years until the patents will lead to usable technology, though. Industry experts feel blockchain technology will not make it to a mainstream level for a few more years. At the same time, a lot of banks are keeping an open mind towards collaboration, whereas Bank of America wants to venture into the world of blockchain technology for themselves by patenting certain use cases.
Source: CNBC
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