Coinbase Sues Firm Over 2FA Patent Claims

Coinbase has filed a lawsuit in opposition to Dynapass Inc., on the lookout for a declaration judgment that it didn’t infringe a patent linked to two-factor authentication and that the claims of the corporate are invalid.

Coinbase is on the lookout for the court docket’s choice in opposition to Dynapass -Patentclaims

Coinbase Inc. submitted a grievance on 3 September 2025 within the US court docket for the central district of California in opposition to Dynapass Inc. And her related Dynapass IP pursuits. The submission strives for a declaration judgment on non -infringement and invalidity of the American patent no. 6,993,658, of which Coinbase claims that it’s now not enforceable.

The dispute stems from a letter of 18 July wherein Dynapass Coinbase accused of infringing the patent through the use of two-factor authentication (2FA) for consumer accounts. Dynapass claimed that Coinbase had used know-how since at the least 2018 that demanded Valde and compensation by way of the patent. The corporate referred to earlier enforcement actions that it claimed to have succeeded in opposition to different firms.

Coinbase rejected the claims on 1 August and said that the patent expired in March 2020 and that the American patent and trademark company thought-about one of many central claims as non -patent in 2024 as a non -patent. The inventory market additional argued that the patent additional failed from the Alice Courtroom of the American Supreme Courtroom, which solely forbids patents that patent covers with out enough innovation.

Coinbase’s Chief Authorized Officer, Paul Grewal, the case publicly spoke in a publish about X. “in order that there isn’t a confusion concerning the [Coinbase] Patent extortion method, enable me to verify how we do issues: we don’t pay faux claims, we prosecute you as an alternative, “he wrote and shared the grievance from the court docket as proof of the corporate’s place.

The court docket case emphasizes the refusal of Coinbase to rearrange what it regards as unfounded statements. Grewal framed the case as a part of the broader coverage of the corporate in opposition to so -called patent trolls, entities that pursue a lawsuit or license prices as an alternative of manufacturing self -technology.

The submission additionally displays the present tensions within the know-how sector on patents tied to safety protocols equivalent to 2FA. Coinbase argues that recognizing expires or overly broad claims can have penalties for authentication practices which are broadly utilized in trade.

From the start of September the case will stay deliberate within the first phases, with out additional hearings or statements.