Digital Shovel Holdings Inc. has filed a lawsuit towards RK Mission Vital LLC, RK Mechanical LLC, and RK Industries LLC within the US District Courtroom for the District of Colorado, accusing them of patent infringement, in line with a press launch despatched to Bitcoin Journal. The dispute revolves round Digital Shovel’s V-Form expertise, designed to extend miner density in crypto mining containers.
Digital Shovel developed the V-Form expertise in 2018, securing patents in 2022, 2023, and 2024. These patents allow a 30% improve in miner density, offering important operational benefits. In accordance with the criticism, Compute North, a consumer of RK Mission Vital, initially sought to license this expertise from Digital Shovel in 2019 however was refused. Regardless of this, RK Mission Vital allegedly produced containers strikingly just like Digital Shovel’s, with some workers initially mistaking them for their very own merchandise.
“As a substitute of competing pretty, defendants are exploiting the modern applied sciences that Digital Shovel has labored exhausting to develop and defend via patents,” the criticism acknowledged.
Digital Shovel’s CEO, Scot Johnson, acknowledged that based mostly on RK Mission Vital’s advertising and marketing, they imagine they’ve offered roughly 850 models which have been offered for over $200,000 per unit, leading to gross sales of $170 million value of product.
“Quite a lot of publicly traded mining corporations are utilizing the product from RK,” Johnson stated. “Nevertheless, our focus just isn’t on them or another finish consumer at the moment. It is on implementing our mental property on the corporate that’s constructing merchandise utilizing our expertise and stealing prospects from us.”
Regardless of being conscious of the pending patents since 2021, Digital Shovel claims RK Mission Vital 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 shall be interviewing Johnson in an upcoming areas on X later in the present day at 1:15PM EST, the place these interested by studying extra about this lawsuit are inspired to attend.