American Express officially files a patent for faster payments via Blockchain Technology
CoinDesk reports reveal, that the largest financial services company worldwide American Express has official registers a patent from faster payment through blockchain technology.
The patent application filed by Amex was also officially announced by the U.S. Patent and Trademark Commission. The traveling and courier department of Amex uses blockchain technology to boost payments between individuals and entities.
The agreement further elaborated how it would work, where with the help of blockchain security solution an authentication service request would be raised to verify the payment, which involves risk management. If the payment is approved, the system would automatically process the payment further to end the transaction and settle both accounts.
However, for this solution system to work, it would be necessary for payer and payee to have a blockchain oriented digital wallet on any platform, eliminating the need for a middleman or third-party.
On the other hand, reports also suggested that the Patent filed by American Express highlights the potential growth of the blockchain to improve pre-existing card networks.
“In order to aid the current functions of the card payment networks and promote value-added services it is essential for a payment gateway to be based on peer-to-peer payments”, the filed document mentioned.
The major concern for American Express would be the extreme volatility of the cryptocurrency Bitcoin and blockchain technology being a decentralized public ledger while taking forward this plan.
Nevertheless, the company (Amex) has been keeping a track of the blockchain tech for quite long now, and hence, last year they collaborated with the well known RippleNet (a blockchain network) to analyze the use of blockchain for more efficient, B2B payments.
Global Corporate Head Amex, Greg Keeley added, “We all have witnessed that blockchain technology has played a crucial role in transforming the way in wish customers are served”. Similarly adjoining that statement. “The merger with RippleNet, will not only reduce the duration it takes for international payments to be processed but, also make transactions convenient for our customers”.