20240037593. ON-CHAIN LOYALTY PROGRAM MANAGEMENT simplified abstract (PayPal, Inc.)
Contents
ON-CHAIN LOYALTY PROGRAM MANAGEMENT
Organization Name
Inventor(s)
Avihai Yosef of San Jose CA (US)
Yehonatan Yochpaz of Holon (IL)
ON-CHAIN LOYALTY PROGRAM MANAGEMENT - A simplified explanation of the abstract
This abstract first appeared for US patent application 20240037593 titled 'ON-CHAIN LOYALTY PROGRAM MANAGEMENT
Simplified Explanation
The patent application describes methods and systems for managing loyalty programs using a decentralized blockchain. It involves monitoring transactions between users and a merchant through an API provided by a service provider. Based on this monitoring, it determines if users have satisfied reward criteria for a loyalty program associated with the merchant. The loyalty program includes tokens that are distributed to users who meet the reward criteria set by the merchant. The selection of tokens for a user is determined by smart contracts associated with the merchant, which are stored on the blockchain. Finally, a transaction is broadcasted to transfer the selected tokens to the user's digital wallet.
- Users and merchants participate in a loyalty program managed through a decentralized blockchain.
- Transactions between users and merchants are monitored using an API provided by a service provider.
- Users who satisfy reward criteria set by the merchant are eligible to receive tokens from the loyalty program.
- The selection of tokens for a user is determined by smart contracts associated with the merchant.
- Smart contracts are stored on the blockchain in association with a unique identifier for the merchant.
- Tokens are transferred to the user's digital wallet through a transaction broadcasted on the decentralized blockchain.
Potential Applications
- Loyalty programs in various industries such as retail, hospitality, and e-commerce.
- Customer retention and engagement strategies for businesses.
- Incentivizing user behavior and promoting brand loyalty.
Problems Solved
- Lack of transparency and trust in traditional loyalty programs.
- Difficulty in tracking and managing loyalty program rewards.
- Inefficient and costly processes for distributing rewards to users.
- Limited interoperability between different loyalty programs.
Benefits
- Increased transparency and security through the use of blockchain technology.
- Simplified tracking and management of loyalty program rewards.
- Cost savings and efficiency in distributing rewards to users.
- Interoperability between different loyalty programs, allowing users to accumulate and redeem rewards across multiple merchants.
Original Abstract Submitted
methods and systems for managing loyalty programs using a decentralized blockchain are provided. transactions between users and a merchant are monitored via an application programming interface (api) of a service provider. based on the monitoring, it may be determined that at least one of the users has satisfied reward criteria for a loyalty program associated with the merchant. the loyalty program includes a plurality of tokens to be distributed to users who satisfy the reward criteria configured by the merchant via a merchant interface. at least one token from among the plurality of tokens may be selected for the user, based on at least one smart contract associated with the merchant. the smart contract is stored on the blockchain in association with a unique identifier for the merchant. a transaction is broadcasted to the decentralized blockchain for transferring the at least one token to a digital wallet of the user.
