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Patent Resistance Principle

Eric Voskuil edited this page Jan 20, 2018 · 15 revisions

Unlike copyright, patent is an anti-market force. A true copyright is a contractual agreement between buyer and seller, where patent can only exist as a state grant of monopoly. The patent is not an "attack" by the patent-holder, it is a pooling pressure created by the state.

The process of mining is highly competitive. Monopoly protection in the use of efficient mining algorithms is a strong anti-market pooling pressure. Bitcoin is secured by people resisting anti-market forces. Resistance incurs greater risk when the miner is highly pooled and/or non-anonymous.

If people do not resist such forces there is no security in the money. As the threat level increases the consequence of patent violation becomes no more of a risk than mining itself. As such the impact of patents is inconsequential in relation to the security of the money.

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