A New York federal judge dismissed a patent infringement lawsuit by Bancor against Uniswap, ruling the patents claim abstract ideas and are not eligible for US patent protection. Uniswap founder Hayden Adams celebrated the win on X. Plaintiffs have 21 days to file an amended complaint.

The court found that the patents were directed to the abstract idea of calculating crypto exchange rates, failing the two-step test for patent eligibility. Judge Koeltl rejected arguments that using blockchain technology made the claims patentable, saying they address an economic problem in predictable ways.

The court also found that the amended complaint did not plausibly allege direct infringement, failing to identify how Uniswap’s code included the required reserve ratio constant specified in the patents. Claims of induced and willful infringement were dismissed. Plaintiffs have the option to refile with revised claims.

Read more at Cointelegraph: Judge Dismisses Bancor-Affiliated Patent Case Against Uniswap