Digital Shovel Holdings Inc. has filed a lawsuit in opposition to RK Mission Important LLC, RK Mechanical LLC, and RK Industries LLC within the US District Court docket for the District of Colorado, accusing them of patent infringement, in accordance with a press launch despatched to Bitcoin Journal. The dispute revolves round Digital Shovel’s V-Form know-how, designed to extend miner density in crypto mining containers.
Digital Shovel developed the V-Form know-how in 2018, securing patents in 2022, 2023, and 2024. These patents allow a 30% enhance in miner density, offering important operational benefits. In accordance with the grievance, Compute North, a shopper of RK Mission Important, initially sought to license this know-how from Digital Shovel in 2019 however was refused. Regardless of this, RK Mission Important allegedly produced containers strikingly much like Digital Shovel’s, with some employees initially mistaking them for their very own merchandise.
“As an alternative of competing pretty, defendants are exploiting the revolutionary applied sciences that Digital Shovel has labored laborious to develop and defend by patents,” the grievance acknowledged.
Digital Shovel’s CEO, Scot Johnson, acknowledged that primarily based on RK Mission Important’s advertising, they imagine they’ve bought roughly 850 items which have been bought for over $200,000 per unit, leading to gross sales of $170 million value of product.
“A wide range of publicly traded mining firms are utilizing the product from RK,” Johnson stated. “Nonetheless, our focus will not be on them or some other finish consumer at the moment. It is on imposing our mental property on the corporate that’s constructing merchandise utilizing our know-how and stealing prospects from us.”
Regardless of being conscious of the pending patents since 2021, Digital Shovel claims RK Mission Important continued its manufacturing with out authorization, and their refusal to have interaction in settlement negotiations has led Digital Shovel to hunt authorized redress. The corporate goals to acquire compensation and a courtroom order to stop additional gross sales of the infringing containers.
Bitcoin Journal can be interviewing Johnson in an upcoming areas on X later immediately at 1:15PM EST, the place these focused on studying extra about this lawsuit are inspired to attend.