Background
A leading international technology company (the client) discovered that its patented solution for blockchain communication was potentially being exploited without permission by a major cryptocurrency exchange. This patented system enables interoperability between independent blockchain networks to facilitate seamless transfer of assets and data. Outside legal counsel for the client engaged J.S. Held to assess the financial impact of this alleged intellectual property (IP) infringement prior to litigation. The goal was to develop an independent damages model that could help determine whether pursuing legal action was justified. Given the complex nature of blockchain technology in dispute, the engagement required an approach that combined deep expertise in cryptocurrency technology with traditional patent damages analysis.
Engagement
J.S. Held’s FinTech and Investigations experts collaborated with experts from the Patent Analysis and Reverse Engineering group from Ocean Tomo, a part of J.S. Held, to create a specialized team to support this client engagement. The team included experts in patent infringement analysis, crypto trading platforms, blockchain architecture, and IP valuation, notably JP Brennan (Global Head of Fintech, Payments, Crypto Compliance & Investigations), along with senior consultants Omer Khan, Sean Lynch, Dilin Massand, David Fraser, and Managing Director Sam Wiley. This multi-disciplinary team was uniquely able to address both the technical complexities of the blockchain system and the economic modeling required for an IP damages assessment.
Results
Informed by a rigorous damages model grounded in both blockchain data analytics and established IP economics, the client was able to assess and refine legal strategy. The engagement showcases J.S. Held’s ability to integrate cutting-edge technical insight with financial expertise to tackle unprecedented challenges in the digital asset arena, ultimately delivering clear and defensible findings for stakeholders.
