tZERO Enforces Patent Portfolio, Alleges Infringement by Securitize and Other Market Participants

tZERO has sent a cease and desist letter to Securitize and identified six other potential infringers, asserting its patents covering tokenized capital markets infrastructure as the industry scales.

SA Metrowire Staff
Technology
tZERO Enforces Patent Portfolio, Alleges Infringement by Securitize and Other Market Participants

tZERO Group, Inc., a blockchain-based financial infrastructure provider since 2014, today announced enforcement actions and highlighted additional patent families from its intellectual property portfolio, signaling a strategic push to protect its innovations in tokenized capital markets. The company revealed it has sent a cease and desist and reservation of rights letter to Securitize, Inc., alleging infringement of two tZERO patents: U.S. Patent No. 11,216,802, titled “Self-enforcing Security Token Implementing Smart-contract-based Compliance Rules Consulting Smart-contract-based Global Registry of Investors,” and U.S. Patent No. 11,394,560, titled “Crypto integration platform.” These patents relate to core technologies for compliant digital asset securities.

In addition to the action against Securitize, tZERO disclosed that its ongoing investigation has identified products from at least six other market participants that likely infringe on its patent portfolio. These participants operate in sectors including Regulated RWA & Digital Asset Securities Platforms, Institutional Infrastructure, Prime Brokerage & Liquidity Aggregators, Decentralized Sequencing, Fair Ordering & Crypto Infrastructure, and Decentralized Exchanges & Specialized DeFi Dark Pools. tZERO expects to send demand letters upon completion of its analysis, which includes claims from patents such as U.S. Patent No. 11,704,733, titled “Crypto multiple security asset creation and redemption platform”; 11,410,159, titled “Upgradeable Security Token”; 11,436,673, titled “Consolidated Order Book from Multiple Asset Exchanges”; 12,051,078, titled “Account Owner Funding of Know Your Customer and Accredited Investor Verification Renewal and Monitoring Charges Through Coin Payment”; and 12,099,996, titled “Verifying Transaction Address Is Whitelisted Before Allowing Transfer to Transaction Address of Self-Regulating Token.”

The company emphasized its substantial investment in research and development, resulting in a portfolio of 23 patent families encompassing 105 patents worldwide. These patents focus on enabling compliant, scalable, and interoperable tokenized capital markets infrastructure. As a follow-up to its April 30, 2026 update, tZERO highlighted additional patent families covering technologies for tokenized fund creation and redemption, consolidated cross-venue liquidity management, decentralized trade ordering and matching, and privacy-preserving transactions.

Specifically, tZERO detailed five new patent families. The “Crypto Multiple Security Asset Creation and Redemption Platform” family (US11,704,733B2; US12,469,079B2) includes seven issued patents worldwide, covering blockchain-based creation and redemption infrastructure for tokenized funds and multi-asset digital securities products. The “Consolidated Order Book from Multiple Asset Exchanges” family (US11,436,673B2) includes three patents for aggregating liquidity across venues. The “Decentralized Trading System for Fair Ordering and Matching of Trades” family (US10,937,083B2) includes two patents on decentralized trade sequencing using distributed consensus. The “Obfuscation of Intent in Transactions Using Cryptographic Techniques” family (US10,552,829B2) includes nine patents on cryptographic privacy to prevent front-running. Together, these technologies reflect tZERO’s focus on regulated infrastructure spanning issuance, trading, liquidity aggregation, custody, settlement, and privacy.

tZERO stated it will continue evaluating its portfolio and expects to provide further updates on enforcement, commercialization, and licensing activities. The company’s actions underscore its commitment to protecting its intellectual property as the tokenization industry matures.

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