This 12 months noticed an inflow of trademark functions filed by varied firms trying to get in on the Web3 motion. By November, a complete of 4,999 trademark functions had been filed in the USA for cryptocurrencies and digital-related items and providers — in line with United States Patent and Trademark Workplace-licensed trademark lawyer Mike Kondoudis.
Kondoudis believes the way forward for the Web3 ecosystem seems to be “vivid” and “mainstream adoption is inevitable.” To study extra in regards to the influence of Web3 trademark functions filed on the way forward for the Web3 ecosystem, Cointelegraph interviewed Kondoudis.
Cointelegraph has coated a variety of trademark software tales in 2022, starting from luxurious manufacturers reminiscent of Hermès to automotive manufacturers like Ford, all making a bid for the Web3 ecosystem. In our interview, Kondoudis revealed that he was shocked by the scope and mixture of firms that havefiled trademark functions for the Web3 ecosystem.
Cointelegraph: What shocked you most about filed trademark functions for the Web3 house this 12 months? Any fascinating observations out of your perspective?
Mike Kondoudis: One of many largest surprises is the disparate sectors represented on this 12 months’s Web3 trademark functions. We noticed filings by grocery shops, pet meals manufacturers, sports activities groups and leagues, cities and landmarks, casinos/gaming firms, and even recreation reveals. This was the 12 months that Web3 appeared to get the eye of company America.
CT: Had been you shocked by the sort of firms that filed trademark functions for the Web3 ecosystem? Do you may have any statistics on the kind of firms that filed essentially the most emblems for the Web3 house? For instance, was it meals firms, booze firms or automotive firms?
MK: Sure, there have been some surprises this 12 months, and the wave of recent Web3 trademark functions included some curious trademark functions. For instance, we noticed Web3 trademark filings by automotive rental firms. It’s not fully clear how a lot of a market there could also be for digital automotive leases or rental automotive NFTs within the metaverse.
On the identical time, we noticed some sectors that have been saturated — all the main gamers filed Web3 trademark functions. A few of these sectors embrace quick meals, monetary providers, clothes/attire, luxurious items and footwear.
Seeing the big selection of trademark functions filed this 12 months hints that mainstream adoption of Web3 know-how is inevitable and likewise reveals that the ecosystem has the potential to develop and thrive sooner or later.
CT: Primarily based on filed trademark functions for the Web3 ecosystem, what do you imagine the way forward for Web3 (blockchain tech just like the metaverse, cryptocurrency and NFTs) will appear like?
MK: I believe the long run is vivid and that mainstream adoption is inevitable. There are positively macroeconomic forces and regulatory challenges to beat within the close to time period. However, primarily based on the Web3 trademarking exercise I’ve seen, there are numerous main manufacturers which can be getting ready to noticeably put money into Web3 as a result of they acknowledge the benefits and alternatives that blockchain applied sciences provide. That funding ought to guarantee continued momentum towards the adoption of the Web3 ecosystem.
CT: Do you imagine firms submitting for emblems within the metaverse, cryptocurrency and NFT house are enjoying a vital function within the adoption of blockchain-based applied sciences?
MK: Sure, I imagine that the businesses submitting new trademark functions in these areas are important to the widespread adoption and implementation of Web3 and blockchain-based applied sciences. There are a number of technological challenges that may have to be overcome for the widespread adoption of Web3, and that’s going to take time and money. Right this moment’s Web3 trademark filers characterize the financial catalysts to fund the funding wanted to beat the technological challenges. And, their funding will, over time, carry the know-how inside attain of smaller and extra modest firms.
All kinds of firms — together with healthcare, insurance coverage and alcohol manufacturers — have all filed emblems for NFT-, cryptocurrency- and metaverse-related exercise. Nonetheless, these given examples could not be capable of navigate the house as simply as different manufacturers, reminiscent of clothes firms, as a result of regulatory hurdles they should overcome to totally combine with the house.
CT: Do you suppose firms could have to beat and navigate regulatory challenges earlier than with the ability to navigate the Web3 house?
MK: I believe that this can be a sector-by-sector concern. In additional closely regulated industries like healthcare and insurance coverage, for instance, I believe there shall be some rising pains as firms attempt to adjust to laws that won’t have been written with Web3 in thoughts. In distinction, industries with fewer regulatory burdens like attire or luxurious items appear to have had a better path to Web3.
CT: Are emblems for the Web3 ecosystem costly to file? How a lot do you imagine, on common, firms are paying to file for Web3-based trademark functions?
MK: One of many engaging facets of emblems is that they aren’t costly to file. Many new Web3 trademark functions might be professionally ready and filed for lower than $2,000. This makes them a relative discount, particularly when in comparison with the prices of combating a model dispute with no federal trademark registration.
CT: Do you suppose the cryptocurrency bear market has negatively impacted the variety of firms that filed for emblems within the Web3 ecosystem?
MK: Sure, the difficulties within the cryptocurrency market, coupled with considerations a few broader financial downturn, appear to have had a marked influence on the variety of new Web3 trademark functions. The variety of new trademark filings for the Web3 ecosystem has declined by about 40% over the second half of 2022.
A protracted bear market and present market circumstances exacerbated by the sudden collapse of FTX have taken a toll on all the ecosystem. Though the enterprise potential of the Web3 ecosystem nonetheless stays huge, Kondoudis projected that subsequent 12 months could not essentially see development within the variety of emblems functions filed for the ecosystem, as a result of varied elements reminiscent of a bear market with no estimated finish in sight and a broadly anticipated financial downturn.
CT: Do you count on to see a rise in trademark functions for the Internet 3 house filed subsequent 12 months? Or do you count on issues to decelerate?
MK: We don’t count on to see a rise. We count on to see about the identical variety of filings.
The variety of new Web3 trademark filings has decreased over the second half of this 12 months. This lower seems to be in response to considerations about recession, different macroeconomic considerations, and the cryptocurrency bear market. Since these considerations will possible proceed in 2023, we count on their results to proceed as effectively.
CT: Any related ideas and feedback about emblems filed for the Web3 ecosystem, in addition to your ideas/opinions on blockchain tech just like the metaverse, cryptocurrency and NFTs?
MK: The enterprise potential of the Web3 ecosystem is important. And, regardless of present headwinds, Web3 goes to proceed to maneuver towards mainstream adoption within the subsequent few years. Manufacturers will want safety on this ecosystem simply as they do within the “actual world” at present. They’ll additionally want safety as they transition and/or develop into the digital financial system of Web3. That’s why so many firms have been submitting Web3 trademark functions.
The preliminary rush to file Web3 trademark functions appears to have run its course. We are actually seeing the combination of Web3 services and products into mainstream trademarking methods. Going ahead, I might count on to see NFT, crypto and metaverse services and products included in trademark functions together with conventional or “actual world” services and products.