From Web 2 to Web 3: Harnessing blockchain technology for IP

With the digitization of content and communication channels, as well as the advent of a more collaborative online environment through user-generated content and social media, over time intangible assets like films, music and brands have reached more and more people. In turn, it has become easier for intellectual property (IP) owners to disseminate their content and products across multiple territories. 

As cultural content and brands gain broader distribution this way, the issue of safeguarding the IP rights associated with them has become increasingly important too. As a result, IP organizations around the world, courts, and legislators alike have been tasked with adapting existing legal frameworks to new ways to distribute and exploit intangible assets and also ensure their effective protection.

Currently, another transition is underway: it is that from Web 2.0 to Web 3.0 (if not already Web 4.0!). Technologies such as augmented reality, blockchain, cryptocurrencies, non-fungible tokens (NFTs) and artificial intelligence (AI) will serve as the 'building blocks' to make all this feasible. In this sense, the progressive evolution of the metaverse may also be pivotal.

What does all this mean for IP and IP owners?

The building blocks of Web 3.0 have also clear implications for IP and IP owners. Let’s take blockchain as an example. Put simply, blockchain is like a shared and immutable digital book (called ‘ledger’) that allows everyone to have a copy of all transactions conducted between multiple parties. When someone wants to change their own version of the book, everyone must agree and change theirs. Otherwise, the book is no longer accepted by the rest of the network.

Due to these inherent characteristics, blockchain is used already at multiple stages of the life of an IP asset, whether it is its registration, authentication or protection. For example, blockchain technology can serve to prove when an intangible asset was created%20and%20jurisdictional%20requirements.), assist in the conclusion and enforcement of IP contracts, and help in IP investigations too. In turn, all this makes the life of IP owners easier due to increased safety, efficiency, and more streamlined management of IP assets.

The EUIPO and blockchain

Besides IP owners, the European Union Intellectual Property Office (EUIPO) has been also embracing new technologies like blockchain to improve its work and the services offered to users.

IP registers in Blockchain

Given that blockchain technology enhances data integrity and security, it is a very helpful technology when it comes to information on existing IPRs. For these reasons, as part of its Strategic Plan 2025, in 2021 the EUIPO launched the first ever European IP Registers in Blockchain platform. Since then, both TMView and DesignView – the EUIPO flagship search services for, respectively, trade marks and designs – have been using blockchain. As a result, they bring fast, reliable, and secure delivery of IPR information.

At the time of writing this article, the IP Registers in Blockchain have been implemented by 10 European IP Offices, establishing it as one of the leading blockchain-based IP systems in the public sector. This initiative goes beyond simply incorporating IP Offices and includes the introduction of two innovative services that harness the capabilities of blockchain technology.

In 2022, a History service was launched, which uses the blockchain's immutable nature to track and display the changes in IP record statuses over time. Initially adopted by four IP Offices, there are plans to extend this service to all participating nodes in the network.

Since December 2023, the platform has provided a new service enabling users to download authenticated and timestamped IP rights certificates directly from the blockchain.

Additionally, there are plans to add a ground-breaking IP Wallet service to the platform, which is planned for completion in 2024.

Anti-counterfeiting Blockathon Infrastructure

As stated, blockchain may be also helpful when it comes to protecting IPRs. To this effect, in 2018 the EUIPO organized and initiated the Anti-counterfeiting Blockathlon Forum, an initiative that brings together a diverse group of stakeholders that shares an interest in identifying and developing solutions to contrast the widespread phenomenon of fakes with the help of technology.

The result is a pilot for a blockchain-based system that interconnects all the interested parties and their systems to ensure product authenticity throughout the whole supply chain, and eventually beyond. The solution championed by the EUIPO, called EBSI-ELSA, is expected to be operational early 2024. It leverages existing NFT platforms, private and public blockchain, track and trace solutions and existing digitally-enabled product ID serialisation aiming to ensure that a certain product is genuine throughout its journey and that the relevant IP owner is known.
To this end and based on voluntary basis, organizations and product holders will be identified through a trust register created and maintained by the EUIPO, which will also leverage pre-existing databases and enforcement tools, including the already mentioned TMView DesignView, and IP Registers in Blockchain.

The future ahead

The transition from Web 2.0 to Web 3.0 is upon us. This, as stated, will open up both new challenges and opportunities. Blockchain is an example of a technology that is already being used to help IP owners and offices alike protect effectively IPRs. Solutions based on other technologies, including AI, will also help seize the challenges that this transition will bring.

*This article was first published in *Alicante News, the newsletter sent by the EUIPO. Subscribe to it now and get fresh news on intellectual property and case law in your mailbox every month.

Source
Eleonora Rosati, EUIPO
Image
NeedPix