American Express Files Patent for Blockchain-Based Proof-of-Payments System
- Amex has filed a patent with the US Patent and Trademark Office (USPTO).
American Express Travel Related Services (Amex), the credit card and traveler's cheque arm of American Express, is looking to use Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term to for a faster and efficient alternative to improve confirmation of its related Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term and transactions.
To that end, Amex has filed a patent with the US Patent and Trademark Office (USPTO) for a "blockchain-based proof-of-payment" that will provide records linked to a “public key” and associated with the merchant ID to “generate a proof-of-payment payload including the ID and payment amount.”
The filing describes a blockchain solution to receive requests for payment, which would then be approved or rejected, a process that would include risk analysis. If approved, the platform would automate processing and adjust accounts on both ends of the transaction.
American Express hopes the nascent technology can reduce the cost and complexity of burdensome processes by allowing smart devices to detect proof-of-payments and initiate actions to service paying customers.
The filing, entitled “SYSTEMS AND METHODS FOR BLOCKCHAIN BASED PROOF OF PAYMENT,” details a system that can write the encrypted proof-of-payment payload to a blockchain maintained on a dedicated node.
As per a report by Coindesk, American Express says that data can be used to "unlock a hotel, rental or shared economy property door using the card (e.g., that was used for the payment) to look up proof of payment on a blockchain." Moreover, "the system may be leveraged to provide ticketless access to venues (e.g., movie theater, sports event, concert, etc.) to a customer," and so forth.
The solution would require both payer and payee to create a blockchain-based digital wallet, enabling payments to occur on the blockchain platform itself rather than via a third-party institution.
The step marks the latest in a string of blockchain investments for American Express. Earlier in March, the company’s FX International Payments (FXIP) business partnered with Ripple to provide real-time, trackable non-card payments from the United States to Britain. Customers are already using the service, and it would be extended in the future.
American Express Travel Related Services (Amex), the credit card and traveler's cheque arm of American Express, is looking to use Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term to for a faster and efficient alternative to improve confirmation of its related Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term and transactions.
To that end, Amex has filed a patent with the US Patent and Trademark Office (USPTO) for a "blockchain-based proof-of-payment" that will provide records linked to a “public key” and associated with the merchant ID to “generate a proof-of-payment payload including the ID and payment amount.”
The filing describes a blockchain solution to receive requests for payment, which would then be approved or rejected, a process that would include risk analysis. If approved, the platform would automate processing and adjust accounts on both ends of the transaction.
American Express hopes the nascent technology can reduce the cost and complexity of burdensome processes by allowing smart devices to detect proof-of-payments and initiate actions to service paying customers.
The filing, entitled “SYSTEMS AND METHODS FOR BLOCKCHAIN BASED PROOF OF PAYMENT,” details a system that can write the encrypted proof-of-payment payload to a blockchain maintained on a dedicated node.
As per a report by Coindesk, American Express says that data can be used to "unlock a hotel, rental or shared economy property door using the card (e.g., that was used for the payment) to look up proof of payment on a blockchain." Moreover, "the system may be leveraged to provide ticketless access to venues (e.g., movie theater, sports event, concert, etc.) to a customer," and so forth.
The solution would require both payer and payee to create a blockchain-based digital wallet, enabling payments to occur on the blockchain platform itself rather than via a third-party institution.
The step marks the latest in a string of blockchain investments for American Express. Earlier in March, the company’s FX International Payments (FXIP) business partnered with Ripple to provide real-time, trackable non-card payments from the United States to Britain. Customers are already using the service, and it would be extended in the future.