Document Security Systems, Inc. Files Patent Application for New Cloaked Anti-Counterfeiting

Document Security Systems, Inc. (Amex: DMC), a leading provider of anti-scanning and
anti-counterfeiting technologies, announced today that it has filed a provisional patent for a newly-developed invisible counterfeit prevention and authenticity verification technology called "VeriGlow." Although there can be no assurance that the patent will be issued, the Company is optimistic that the technology will be recognized by the patent office.

VeriGlow features cloaked anti-counterfeiting technology that cannot be seen by the human eye, even with a microscope. A special reading system, also designed by Document Security Systems, reveals the technology's hidden code to ensure the authenticity of a document, label or package.

"What cannot be seen cannot be counterfeited," said Patrick White, Chief Executive Officer and President of Document Security Systems. "VeriGlow technology is the most sophisticated document protection available today. One of the major benefits of this technology is that it can be embedded in the document during the normal printing process or placed on pre-printed documents or packaging. We are confident that this technology will be well received
across a broad range of industries."

As an initial step in marketing this new technology, Document Security Systems, Inc. plans to present this technology to world governments and central banks as a means of securing currency and also to enhance homeland security through use in passports and other vital records. Due to the sensitive nature of the technology, no samples will be mass distributed. Only pre-qualified entities will be given face-to-face presentations of the technology. A secure password-only website for this technology is also under construction.

Chief Technology Officer Thomas Wicker headed the Research and Development team that created the new VeriGlow technology. Document Security Systems, Inc. recently acquired complete ownership in various Wicker family patents that have been the standard for the check printing industry for over 30 years. The Company's intellectual property has been called "State of the Art" by security printing industry experts. Previous technologies developed over the
past 10 years by Tom Wicker and his family, substantially all of which have been acquired by Document Security Systems, are the basis for protection of many of today's most important paper products. Currently these technologies are protecting currency, checks and vital records all around the world.

Document Security Systems, Inc. also announced today that it has signed a contract with Digicomp, Inc. to develop software versions of its various counterfeit prevention technologies. They are creating user friendly software for the label, packaging and check and forms industries.

Dave Leland, President of Digicomp, Inc. stated: "Everyone wins in this partnership. Combining our software with Document Security's state of the art technologies will help the traditional check and forms industry by improving their ability to create documents that are secure against the most sophisticated criminals who utilize high-end scanners. Web commerce will be enhanced and the retail and banking industries will have a new venue to enrich their contact with world customers."

About Document Security Systems, Inc.
Document Security Systems, Inc. (Amex: DMC) is one of the world leaders in optical anti-scanning, anti-counterfeiting technologies for homeland security, governments, law enforcement agencies, security printers, brand packaging, and businesses concerned with enhancing security and reducing identity theft. The Company develops, licenses and sells anti-counterfeiting technologies and related products such as its new AuthentiGuard(TM) safety paper which protects original documents from copying or duplication. Document Security also offers its verification technology to authenticate originals from forgeries. The various anti-scanning technologies can be utilized on currency, vital records, brand packaging, labels, tickets, ID Cards, passports and gift certificates to name just a few of the possible applications. Document Security System's anti-counterfeiting solutions stand out as a result of the Company's industry leading technology and unique understanding of customer needs. The Company's product suite includes: AuthentiGuard(TM) Block-Out, AuthentiGuard(TM)
Pantograph 4000, AuthentiGuard(TM) ObscuraScan, AuthentiGuard(TM) Prism(R), AuthentiGuard(TM) Survivor 21, AuthentiGuard(TM) Laser Moire, and AuthentiGuard(TM) VeriGlow.

Safe Harbor Statement
This release contains forward-looking statements regarding expectations for future financial performance, which involve uncertainty and risk. It is possible the Company's future financial performance may differ from expectations due to a variety of factors including, but not limited to,
changes in economic and business conditions in the world, increased competitive activity, the ability of competitors to develop competing technology, our ability to protect our technology from infringement or challenge by third parties achieving sales levels to fulfill revenue
expectations, our ability to market and sell our technology, consolidation among its competitors and customers, technology advancements, unexpected costs and charges, adequate funding for plans, changes in interest and foreign exchange rates, regulatory and other approvals and failure to implement all plans, for whatever reason. It is not possible to foresee or identify all such factors. This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the
Securities Act of 1934. Investors are cautioned that there are additional risks associated with investing in our Company, and are referred to the Risk Factors contained in our Exchange Act filings with the SEC, which risks may change from time to time. Any forward-looking statements in this report are based on current conditions; expected future developments and other factors it believes are appropriate in the circumstances. Prospective investors are
cautioned that such statements are not a guarantee of future performance and actual results or developments may differ materially from those projected. The Company makes no commitment to update any forward-looking statement included herein, or disclose any facts, events or circumstances that may affect the accuracy of any forward-looking statement.

For Investor Relations contact:
Contact: Cherrie Mahon
Company: Document Security Systems, Inc.
Title: Shareholder Relations
Voice: 877-276-0293
Fax: 585-325-2977
Email: Cherrie.Mahon@documentsecurity.com

Websites: http://www.documentsecurity.com
http://www.safetypaper.com
http://www.legalstore.com
http://www.patrickprinting.com

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