To Innovation - Breaking Politics, Economics, Crypto & IT News

learn more
Reporting from Watford, UK and LA, US since 1996
learn more

YouTubers try to be TikTokers

Shorter videos are a trend to hate or follow

Bank of America won a patent for the Crypto Exchange system

In a patent published by the U.S. Patent and Trademark Office on Tuesday, the second largest bank in the United States outlined a potential cryptocurrency exchange system.

07.Dec.17 9:02 AM
By Daria Zaytseva


Bank of America won a patent for the Crypto Exchange system

The system would convert one digital currency into another. In addition, this system would be automated by setting the exchange rate between the two currencies based on external data channels.

The patent describes a potential three-component system in which the first part would be the client's account, and the other two would be accounts owned by the business running the system. The user would store the selected cryptocurrency through the client account.

The second account, called a "float account", would act as a cryptocurrency storage zone that the client is selling, and the third account, also a float account, would contain the equivalent amount of the cryptocurrency that the client converts to their funds.

That third account would then deposit the converted funds back into the original customer account for withdrawals.

The proposed system would collect data from external sources of information on exchange rates of the cryptocurrency and use this data to establish its own optimal rate. The patent notes that this service would be used for clients at the enterprise level, which means that if the bank continues this project, it would be offered to enterprises.

The proposed system could also evaluate transactions for potential illegal trades, calculate a risk assessment based on the amount of cryptocurrency being transferred and any other available information in accordance with the patent. The patent says that transactions that look illegal would not be processed.

That system would allow users to transfer funds by converting the local currency of the sender to the cryptocurrency, sending it to a foreign exchange and then converting it into the currency of the country of destination.

Back to the list

Related Information: