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ARTICLE · 29 APRIL 2022

Patent Claiming Mapping Gemstones To Blockchain Invalid Under Section 101

In a recent case decided by the U.S. District Court for the Southern District of New York, the plaintiff, Max Rady, alleged that he developed a method to...

United StatesIntellectual Property

In a recent case decided by the U.S. District Court for the Southern District of New York, the plaintiff, Max Rady, alleged that he developed a method to "record to a blockchain the individual identification signatures of physical items that have unique random properties." Mr. Rady's method involves:

  1. 3D spatial mapping and spectral analysis to determine each individual identification signature
  2. recording these signatures into a blockchain to allow "users to guarantee the authenticity and provenance of each item's location and source throughout the supply chain, even where significant modifications are made to that item"

This method, according to Mr. Rady, allows the authentication of gemstones, such as diamonds, "without the need to confirm with central authority no matter how many times the gemstone is cut, polished, or otherwise modified." He claimed this technology in U.S. Patent No. 10,469,250 but maintains other aspects as alleged trade secrets.

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