Patents, in the popular imagination, conjure up images of geniuses, scientific marvels, and inevitably, the word “innovation.” And so it was this week when Circle announced it had purchased nearly 1,000 patents from fading tech giant IBM. The stablecoin firm hailed IBM as a “pioneer in technological innovation” and claimed its new bag of IP would “advance the infrastructure that powers global, internet-native finance.” Is that so?
While the market seemed to like Circle’s move, sending the company’s stock up 2%, it’s hard to see what the purchase has to do with innovation, or how it will benefit the blockchain sector more broadly. Most obviously, if IBM is so innovative, why have its own blockchain efforts proven a bust, and why is its broader business strategy in tatters?
