the developers behind Bancor have filed a patent infringement lawsuit against Uniswap Labs and the Uniswap Foundation, accusing them of illegally using its decentralized exchange platform technology.

The lawsuit was filed by the non-profit organization Bprotocol Foundation, which supports the Bancor protocol, and LocalCoin Ltd., the original developers of Bancor. The lawsuit has been filed in the Southern District of New York, accusing Uniswap of building its protocol on top of Bancor's patented Constant Product Automated Market Maker (CPAMM) infrastructure.

Bancor invented the CPAMM model in 2016 and developed a mechanism to support permissionless on-chain transactions through smart contracts. The protocol was outlined in a whitepaper in 2017 and a patent application was submitted to the US. Bancor was granted two patents that year and launched the first DEX based on CPAMM.

The lawsuit alleges that the original protocol launched by Uniswap in November 2018 used the same CPAMM design without authorization. Bancor accuses Uniswap of deploying its intellectual property without consent, thereby "profiteering."