U.S-based renowned cloud computing firm ‘Lancium LLC’ has filed a lawsuit against Bitcoin [BTC] mining firm Layer1 for patent violation within the Western District Court of Texas.
In line with a complaint filed on 14th Aug., the facility usage model employed by Layer1 for Bitcoin mining violates Lancium LLC’s patent filed earlier in March this year.
The founder of Lancium LLC, Michael McNamara and Raymond Cline, had reportedly filed the patent after formulating a way to assist data centers shut down or start operations counting on the value of electricity in near real time.
The company claims that its data center power management system permits data centers to be more flexible with their energy consumption and more efficiently handle computing workloads along with Bitcoin mining.
Layer1 had purportedly been using the precise same method to operate its Bitcoin mining operations while calling it “its proprietary demand-response software.”
Lancium alleged that Layer1 has violated United States patent laws by copying several multiple parts of Lancium LLC’s patent “by manufacturing, using, offering to sell, selling, and/or importing infringing systems and methods for adjusting power consumption utilized in or by a minimum of Layer1’s Bitcoin mining facilities.”
The firm argued in its statement that Layer1’s alleged transgression had caused “irreplaceable harm” to Lancium LLC. While the worth of damages are going to be determined during trial, the corporate said the amount “cannot be less than some reasonable royalty” and requested compensation for the same.
Lancium has also requested the court to publish a final injunction that would prevent Layer1 or its employees from further violating the corporate patent.