Systems and methods for managing cryptocurrency

Patent metadata

Field	Value
Publication number	US-12387202-B2
Application number	US-202217855408-A
Country	US
Kind code	B2
Filing date	Jun 30, 2022
Priority date	Jun 30, 2021
Publication date	Aug 12, 2025
Grant date	Aug 12, 2025

Abstract

A system for locally authenticating a transaction of digital financial assets, such as cryptocurrency. A first device may locally store financial assets in non- volatile memory of the first device. The first device may use the locally-stored financial assets to conduct a local transaction with a second device. The first device may generate a transaction settlement data token and exchange the token with the second device, wherein the transaction settlement data token includes information specific to the local transaction, a value associated with the local transaction, and encrypted personal information associated with the first device. After receiving a confirmation of transmission from the second device, the value associated with the local transaction may be debited from the locally-stored financial assets.

First claim

Now, therefore, the following is claimed:

1. A method for locally authenticating an anonymous peer-to-peer transaction, the method comprising:
displaying, on a user interface presented by a display of a first mobile communication device (MCD), an account value of financial assets stored within a first user account at a first financial service provider system, wherein at least a subset of the financial assets stored within the first user account are stored in a remote storage associated with the first financial service provider system, wherein the financial assets include a cryptocurrency;
initiating, in response to user input received via the user interface, a communication request to transfer a specified value of financial assets through a communication network from the remote storage at the first user account at the first financial service provider system into local asset storage in a non-volatile memory of the first MCD that is configured to conduct at least one local transaction via a near-field wireless channel, wherein the user input is associated with the at least one local transaction;
upon receiving an acknowledgement communication from the first financial service provider system, increasing
a balance of locally stored financial assets based on the specified value of the financial assets received in the acknowledgement communication by storing the financial assets in the local asset storage in the non-volatile memory of the first MCD, wherein the acknowledgement communication further causes the first user account to be debited the specified value;
initiating a transaction settlement protocol to transfer a first value from the locally stored financial assets on the first MCD to a second MCD over the near-field wireless channel based on a proximity between the first MCD and the second MCD and a secure transaction session of the transaction settlement protocol;
upon receiving an authenticated transaction settlement communication from the second MCD, generating a transaction settlement data token comprising transaction data containing information specific to a local transaction request associated with the at least one local transaction, the first value, and encrypted personal information relating to the first user account at the first financial service provider system, wherein the encrypted personal information is associated with an identity verification;
transmitting the transaction settlement data token to the second MCD over the near-field wireless channel;
receiving, at the first MCD over the near-field wireless channel, confirmation of transmission of the transaction settlement data token from the second MCD, wherein the second MCD verifies the transaction settlement data token prior to sending the confirmation of transmission; and
debiting the locally stored financial assets stored on the first MCD according to the first value upon receiving the confirmation of transmission.

2. The method of claim 1 , further comprising:
upon receiving the confirmation of transmission of the transaction settlement data token to the second MCD, updating the user interface to present a visual identifier indicating that an unsettled peer-to-peer transaction is pending final settlement with a second financial service provider system associated with the second MCD; and
upon receiving a transaction settled notification from the first financial service provider system, updating the visual identifier presented by the user interface to indicate that the unsettled peer-to-peer transaction has fully settled to a second user account at the second financial service provider system associated with the second MCD.

3. The method of claim 1 , wherein the first value being transferred comprises at least one un-submitted but fully authenticated transaction with an output specifying a second user account at a second financial service provider system linked to the second MCD.

4. The method of claim 1 , further comprising:
displaying, on the user interface presented by the display of the first MCD, a list indicating a plurality of MCDs within range of the first MCD, wherein the plurality of MCDs includes the second MCD; and
in response to receiving, via the user interface, user input selecting the second MCD from the list, sending, from the first MCD to the second MCD over the near-field wireless channel, a request for a transaction session.

5. The method of claim 4 , further comprising:
responsive to receiving confirmation from the second MCD of receiving and accepting the request for the transaction session:
updating the user interface to indicate the request for the transaction session was accepted; and
further updating the user interface to receive input from a user of the first MCD (1) specifying details about a proposed financial transaction and (2) indicating the proposed financial transaction is finalized and ready for settlement.

6. The method of claim 1 , wherein:
the financial assets stored within the first user account comprise one or more cryptocurrency tokens associated with a cryptocurrency address of a cryptocurrency network;
a transfer of the one or more cryptocurrency tokens from the first user account requires the transfer to be authenticated by obtaining at least a minimum-threshold number of authenticating signatures sufficient to form a quorum of authenticating signatures, wherein:
the quorum of authenticating signatures includes a first authenticating signature and either a second authenticating signature or a third authenticating signature;
the first authenticating signature is generated using a first authenticating key share from a pool of authenticating key shares associated with the cryptocurrency address;
the second authenticating signature is obtained from a cryptocurrency management device (CMD) and is generated using a second authenticating key share from the pool of authenticating key shares, wherein the second authenticating key share is stored on the CMD; and
the third authenticating signature is obtained from a cryptocurrency management server (CMS) and is generated using a third authenticating key share from the pool of authenticating key shares, wherein the third authenticating key share is stored on the CMS; and

the method further comprises:
storing, in the non-volatile memory of the first MCD, the first authenticating key share;
prior to sending the communication request to import the specified value of financial assets:
initiating a transaction involving one or more cryptocurrency tokens associated with the cryptocurrency address; and
obtaining at least the minimum-threshold number of authenticating signatures sufficient to form the quorum of authenticating signatures by communicating with either the CMD or the CMS;

generating an authenticated transaction using the quorum of authenticating signatures; and
attaching to the communication request to import the specified value of financial assets the authenticated transaction.

7. The method of claim 6 , wherein the obtaining comprises:
transmitting a signature request comprising authenticating information and transaction information from the first MCD to the CMS, wherein the authenticating information is sufficient to authenticate the first MCD to the CMS and the transaction information comprises information detailing the initiated transaction; and
receiving, at the first MCD from the CMS, a signature reply comprising the third authenticating signature, wherein the signature reply was generated by the CMS using the transaction information and the CMS required the initiated transaction to conform to a transaction policy associated with the cryptocurrency address before the CMS generated the third authenticating signature.

8. The method of claim 6 , wherein the ob

Assignees

• Block Inc

Inventors

• Ramachandran Shivaraman
• Guise Max
• Williams Justin
• Posner Jesse
• Schoof Alexander
• Mecom Jordan
• Aminpour Arvin
• Moyer Allison
• Zhukov Kirill
• Robinson David
• Ryan Bradley
• Lanman Ryan
• Grossman Lindsey

Classifications

• G06Q20/4014

  Identity check for transactions · CPC title

• G06Q20/383

  Anonymous user system · CPC title

• G06Q20/3278

  RFID or NFC payments by means of M-devices · CPC title

• G06Q2220/00

  Business processing using cryptography · CPC title

• G06Q20/40145

  Biometric identity checks · CPC title