Digital assets continue to captivate attention of numerous brands

Despite the sharp drop in crypto and NFT sales in the second and third quarters of 2022, the flow of trademark applications for crypto, NFT, and Web3-related products and services is still picking up pace. 

The thrilling aspects of digital assets have gradually captured the attention of a wide spectrum of brands, including companies like Gucci, Nike, and Mcdonald’s. An increasing number of celebrities such as Rihanna, Snoop Dogg, Paris Hilton, and Miley Cyrus and professional athletes such as King LeBron James and Kevin Durant also recognize the potential behind Web3 assets. Brands are planting the seeds of awareness by plunging into this uncharted territory and benefit from publicity value for their willingness to be innovative and open to emerging digital spaces.

Most recently, top financial services giants Visa, PayPal, and Western Union have come out with trademark applications for digital and blockchain assets. The fact that the three most prominent financial service providers filed similar trademarks within the same week came as a surprise to many, especially amid the ongoing crypto market fall.

Current state of trademark filings for digital assets

Thus far, in 2022, the USPTO has seen over 6,000 trademark applications for cryptocurrency, NFT, and Metaverse products or services. This brings it to an almost 200% increase from 2021’s trademark applications, which went up to 2,142, roughly a third of this year’s figure. In March, the USPTO received 1080 applications, marking the highest number of crypto-related trademarks submitted. Since then, the numbers gradually decreased, leading all the way down to 435 applications in September. 

Despite the significant slowdown in the third quarter, the number of trademark applications for digital assets submitted in the US so far this year has tripled over the previous high set in 2021. Visa, PayPal, and Western Union are the newest sponsors of the expansion. 

Visa, PayPal, and Western Union are ready to enter crypto market

Paypal has filed new trademark applications for the term PAYPAL and its “overlapping Ps” logo. The app claims plans for exchanging, trading, and processing transfers of blockchain and digital assets, as well as crypto and virtual currencies. Soon after, Western Union also filed three trademark applications for financial, banking, and insurance services, virtual currency exchange and transfer operations, and financial brokerage services in the nature of offering and managing cryptocurrencies and digital assets. Visa followed with two trademark applications claiming plans for managing digital, virtual, and cryptocurrency transactions; setting up cryptocurrency wallets; providing NFTs, virtual goods and ‘virtual environments’, hinting at potential involvement with the metaverse. 

It is worth noting that trademark filings are usually defensive legal actions and do not guarantee that the covered products and services will, in fact, be developed and sold. But they indicate that a company recognizes a potential future market and aims to be prepared to enter it. While we can certainly expect more companies to get involved with digital assets, it goes without saying that business owners should consult with a trademark attorney for guidance on navigating the ever-changing digital space.