USPTO granted patent to digital exchange system proposed by USPTO the second largest bank in the country, the Bank of America. The system will allow the automatic conversion of one virtual currency into another, the exchange rate to be determined on the basis of external data flows.
According to the patent application, the proposed system would collect data from external sources. exchange rate of the current virtual currency and use the data to calculate its own optimal rate.
Part of the patent filing reads:
"Companies can handle a large number of financial transactions on a As technology progresses, financial transactions involving cryptocurrency have become more common and for some businesses it may be desirable to exchange currencies and cryptocurrencies. "
Based on patent documents, the system will consist of three accounts. The first account will be used by customers of a company using the system, while the remaining two accounts will be used by the company itself.
The second account, called a "floating account", will serve as a waiting area for the digital currency sold by a customer. The third account, which is also a floating account, will contain the equivalent amount of the virtual currency sold by the customer. At the end of the transaction, the third account will then deposit the converted funds into the customer's original account for withdrawal.
The patented system also has the ability to assess transactions for possible illegal business activities. It will use data such as the amount of virtual currency converted to calculate the risk score of a transaction. If the system determines that the transaction involves high legal risk, it will cancel it.
Such a move places Bank of America at the top of its patent race as the bank has the highest number of patent applications filed on nine patent applications in August.