Slashdot Mirror
JPMorgan Files Patent Application On 'Bitcoin Killer'
Velcroman1 writes "Banking giant JPMorgan Chase has filed a patent application for an electronic commerce system that sounds remarkably like Bitcoin — but never mentions the controversial, Internet-only currency. The patent application was filed in early August but made publicly available only at the end of November; it describes a 'method and system for processing Internet payments using the electronic funds transfer network.' The system would allow people to pay bills anonymously over the Internet through an electronic transfer of funds — just like Bitcoin. It would allow for micropayments without processing fees — just like bitcoin. And it could kill off wire transfers through companies like Western Union — just like Bitcoin. There are 18,126 words in the patent application. 'Bitcoin' is not one of them."
Just because this proposed currency is capable of doing many of the things that Bitcoin does, doesn't mean it copies Bitcoin.
Point out the technical components that copy Bitcoin, not the capabilities.
The patent is a near-exact description of how paypal works.
Something is wrong with the entire system when a financial company is awarded a patent.
Is it just my observation, or are there way too many stupid people in the world?
The point of Bitcoin is that it's decentralized. There's no single entity that keeps track of what money is where. Every person who uses Bitcoin has a record of every transaction (in the form of the blockchain), and is involved in the process of verifying transactions (in the form of bitcoin mining). Although the security is still being debated, in theory, you would need to control half the computing power of the Bitcoin network in order to break the security.
In contrast, this patent seems to be talking about a system that uses your same old credit card account. Which is not surprising; how would a BANK use a DECENTRALIZED currency system with its customers?
So basically, this is a meaningless article written by some idiot at Fox News who wanted to make a headline that would stand out. Which I suppose worked, since it made it past the impeccable Slashdot editing process.
It doesn't matter. If the people behind Bitcoin never bothered to file for a patent, JP Morgan is now going to get it first--meaning Bitcoin will then be in violation of said patent (as unfair as that is).
Something tells me that there is more behind JP Morgan filing this patent than just an innocent attempt to patent their own "idea." It could be a preface to a full-on legal assault on Bitcoin (spurred on by the banks, the U.S. government, or both).
The cow says "Moo." The dog says "Woof." The Timothy says "Thanks, valued customer. We appreciate your input."
Possible, but there's another explanation: Many companies just throw as many patents at the office as they can, including ones with no merit to them at all. The worst that can happen is rejection, for which there is no penalty at all, and even the most obviously junk patent has some shot of getting through. It may not stand up in court, but it can still be used to pad a portfolio.
The whole article is shit.
Patents don't protect what you want to do, they protect how you do it.
The article claims that JP Morgan have invented a system that does some of the same things that Bitcoin does, it gives no evidence that it does those things in the same way.
Watch this Heartland Institute video
By suing any company that accepts it in transactions as being in breach of their patent. The same way Newegg just got patent trolled by a company claiming a patent on (part of) public key cryptography. Oh you were using an implementation of our patent? You're going to get sued.