Research | Blockchain thinking and intellectual property pledge financing industry

Intellectual property rights include trademark ownership, technology invention patents, film copyrights, song copyrights, formula invention rights, book copyrights, product design rights, computer software copyrights, etc., and sometimes include corporate interpersonal relationships and customer loyalty. Intangible assets generally belonging to enterprises, a wide variety, and so on. Intangible assets of enterprises have shown a more valuable trend than tangible assets in recent years, especially core technologies and formulas that have been patented and authorized.

The intrinsic value of intangible assets enables SMEs to obtain more financing channels through pledges, which brings more hopes to solve the practical problems of financing difficulties and narrow channels for SMEs. The climax of China's intellectual property pledge financing is coming after 2010. In 2013, the total amount of domestic intellectual property pledge financing reached 68.75 billion yuan. In 2017, the total amount of domestic intellectual property pledge financing reached 75 billion yuan. This figure will reach 180 billion yuan.

Relevant regulations and policies related to intellectual property pledge financing

In fact, the laws and policies related to intellectual property pledge financing in China have been proposed as early as the 1990s. In 1995, the State promulgated the "Guarantee Law", in which Article 75 clearly states: "The following rights can be pledged: …, (3) The exclusive right to transfer trademarks, patent rights, and property rights in copyrights.” In 1996, the State Intellectual Property Office issued the corresponding Interim Measures for the Registration of Patent Pledged Contracts under the Guarantee Law, which included the contents of the patent pledge contract. , name, type, duration, payment method, liability, breach of contract claims, etc.; includes cases where registration is not included; The "Measures" also stipulates the handling procedures in the case of expiration, change, default, invalidity, etc. of the patent pledge contract. In 2007, the State introduced the newly revised Science and Technology Progress Law, in which Article 18 stipulates: “The State encourages financial institutions to carry out intellectual property pledge business, and encourages and guides financial institutions to support the application of science and technology and the development of high-tech industries in terms of credit. ”

In 2008, the State issued the Outline of the National Intellectual Property Strategy, which called for “promoting the intellectual property, commercialization, and industrialization of independent innovation achievements, and guiding enterprises to adopt intellectual property rights, licenses, and pledges to realize the market value of intellectual property rights. "In 2009, the State Intellectual Property Office promulgated the "Pilot Program for Intellectual Property Pledge Financing (Trial)", and the operation of intellectual property pledge financing business entered the substantive research stage. In 2015, the State Intellectual Property Office promulgated the Opinions on Further Promoting the Work of Intellectual Property Financial Services, and laid out complete infrastructure in advance for the launch of the pilot project for the IP pledge financing business to be implemented.

In March 2016, the State Intellectual Property Office issued the “Notice on the Application of Pilot and Demonstration of IP Pledge Financing and Patent Insurance”, which decided to carry out limited intellectual property pledge financing and pledge financing insurance business in pilot units across the country. The work norms concerning the business have been issued. The three-year pilot work from 2016 to 2019 will generally improve the quality of IPR pledge financing for each pilot unit.

It is understood that the highlight of this pilot work is to specifically propose that the property rights pledge value assessment, property rights pledge risk control, the realization of pledges and the trial of property rights pledge of the investment and loan linkage mechanism as a key task. Obviously, it shows that the difficulty of national IP, especially technology patent valuation, liquidation and risk management, has been paid considerable attention over the years, which in turn reflects the serious impact on intellectual property rights if there is no corresponding innovative measures. In particular, the in-depth development of technology patent pledge financing business, and customer confidence in this industry.

Key points and difficulties in intellectual property pledge financing business

When banks and other financial institutions carry out pledge financing business, they are mainly concerned with two major points: first, the valuation of pledges and their valuation stability, and second, the future realizable ability of pledges. Compared with intellectual property rights, the pledge of physical instruments such as accounts receivable bills, inventory slips, warehouse receipts, etc. can better meet the above characteristics, and intellectual property rights, especially the valuation and change of technology patents, have great difficulties at the present stage. This is the root cause of the potential risks of intellectual property pledge financing business.

The State Intellectual Property Office also summarized the five reasons why intellectual property rights are not easy to pledge, and put "value not suitable for evaluation" in the first place. The remaining reasons include “high volatility”, “predictive performance of liquidity”, “inertia of financial institutions” and “lack of integrity of SMEs” and so on. Personally believe that in the future, under the premise that the lack of integrity of SMEs is properly handled, the pledge financing of intellectual property rights as a new financing model broadens the scope of business of financial institutions and increases the sources of profits of financial institutions, if they can partially The risk is scientifically controlled, and the inertia of financial institutions is naturally eliminated. The risk separation and fund pool treatment of the pledge will protect the material itself from the bankruptcy or loss of integrity, and it can also protect the interests of the financing party. This has already been in the asset securitization (ABS) business. Widely adopted, intellectual property pledge financing will also adopt this treatment in the future. Therefore, the top priority for financial institutions to address in front of financial institutions is still the issue of valuation and realisation just mentioned.

Among the many IP product categories, technology patents are among the most difficult to estimate and the most difficult to predict. Technical patents have several characteristics of regionality, timeliness, dependence, uncertainty, proprietaryness and low liquidity. The exclusiveness of the patent right is the basis of other traits. In addition to the patent right, the patent right belongs only to a certain geographical area. It has value and its inviolability within a certain time limit. It also means patent right. The professionalism of classification, that is, the true intrinsic value evaluation and the right to speak of the review, is limited to a small number of related professionals.

For example, "a judging standard for the advanced technology of the optical cable water-repellent spray-filling equipment" requires an expert in the cable-blocking paste product manufacturing industry to evaluate its value. First of all, it is necessary to analyze the technical principle of the patent to ensure that it is technically feasible, and it is better to ensure that it can clearly demonstrate the superiority with respect to traditional standards. Secondly, it is necessary to evaluate the path from technology to product realization of this patent. The achievable part is cut down; finally, the application performance evaluation benchmark from patent to product needs to be determined, and the last one mainly relates to the market prospect, market value and liquidity of the product containing the patent.

The value of a technology patent can be influenced by a combination of internal and external factors. The internal factors mainly include the patent R&D cost, the comparable market value prediction of the patent itself, the maturity of the patent and the replacement cycle. This is the value of the patent that is inherent in the development and development process. However, unlike other traits, the value of patents is highly susceptible to external factors during pledges. This is seen as a risk factor that greatly increases the difficulty of evaluating patent value. It can be roughly divided into legal risk factors and technical risks. Factors and economic risk factors.

The legal factors include the region, time, remaining legal protection period, the attribution of intellectual property rights, the scope of protection, the responsibility of intellectual property-related products, the degree of risk isolation of intellectual property rights, the insurance system of intellectual property rights, The issue of the legal type of intellectual property rights, the issue of the rights of intellectual property rights, the issue of intellectual property rights, the strength of intellectual property protection, the type of intellectual property rights, the licensing factors of intellectual property rights, etc. The degree of advanced nature of intellectual property rights, the degree of substitutability of intellectual property rights, the life cycle of intellectual property rights, the conversion rate of intellectual property rights, the maturity of intellectual property rights, the monopoly of intellectual property rights, the practicality of intellectual property rights, etc. Economic factors include deadline issues, specific institutional issues, and the strength of intellectual property entities.

Improvement of Intrinsic Value Evaluation Model of Technology Patent

We are here to make a forward-looking exploration of blockchain technology to improve technology patent valuation and liquidation methods. Valuation and realisation are integral to the technical patents that have left the inventor. The purpose of accurate valuation of technical patent pledge products is to achieve the acceptability of patented products, and the difficulty of realizing them is reversed. Will have a significant impact on the valuation.

It is assumed that the technology patent has been invented for some time before the accurate valuation, and has been applied in some products, has begun to produce certain economic value and market benefits, and has certain industry visibility, and is used in technology patent related products. In the process of natural production of data precipitation, through the mining and analysis of these data precipitation, the application of scientific methods can accurately find the value of patent pledge hidden in it. In addition, we must pay attention to the realization of the value mentioned here, mainly the realization of the pledge patent pledge, which has nothing to do with the inventor's initial input cost, the inventor's current state (insolvency or bankruptcy). The pledge value only represents the value of the rights of a part of the technology patent. In many cases, the bank financial institution may only provide loans with a pledge value ranging from 30% to 80% depending on the risk situation.

With regard to the intrinsic value evaluation of pledge rights, we can also partially refer to the five-dimensional value evaluation method proposed by Ma Tianqi (2018[]), merge the technical value and legal value, and evaluate the technical patent pledge without considering the future strategic value. The dimension is reduced to three, namely, technical value, market value and economic value. The technical value covers the advancement of technology patents in the technical field and the maturity of the technical version (such as Matlab23.0 is more mature than Matlab20.0), whether the technology is easy to be replaced, and whether the technology is easy. It is copied and other indicators; the market value covers the market share of the technology patent in the same technology, customer evaluation, total market value and other indicators; the economic value covers the technology patent in the product profit structure in the near period of time Contributions, patent transfer license fees, reference standards for patent infringement compensation, and equity value of patents for stock purchase.

The comparison between the comprehensive evaluation value and the real value after weighting the above indicators using the comparable technical patent knowledge base can be used as a key data source for training expert knowledge systems. If the value of the risk generated by the real external factor is used to fine-tune the value, then the pledge value of the technology patent is expected to be close to the true level of more than 99.5%.

Therefore, it can be seen that the big data precipitation of the comparable knowledge base formed around the above three value dimensions, the real data collection of the three value dimensions of the patent to be evaluated, and the real data collection of external risk factors have become the basis of patent valuation. These data can be obtained by selling the blockchain network of products using such technology patents, and then transferred to the intellectual property pledge financing platform through cross-chain agreements. One of the purposes of the blockchain technology is to serve the data demand side by mining and structural shaping of the data on the basis of ensuring the true and unchangeable data. Compared with the traditional data warehouse, the distributed data pool of the blockchain is the trusted data that is generally recognized and maintained by all important nodes. Blockchain technology also performs data validation through timestamps, private keys, signatures, etc., thus providing technical assurance for data production and volume. Among them, data confirmation is a double-edged sword, which can bring value to data producers and facilitate the chain of data producers. This "one prize, one punishment" mechanism is caused by the multi-party game of the nodes on the chain, which can contribute to the credibility of the data on the chain.

In the second half of this paper, an innovative method of using the blockchain technology to train the technical patent accuracy expert system will be proposed.

Author: Seeding

Source: Blockchain Brothers