Self-contained payment system with circulating digital vouchers

• US 6,205,435 B1
• Filed: 12/08/1999
• Issued: 03/20/2001
• Est. Priority Date: 07/19/1996
• Status: Expired due to Term

• Current Assignee: Peter Biffar
• Original Assignee: Peter Biffar
• Inventors: Biffar, Peter
• Primary Examiner(s): Stamber, Eric W.
• Assistant Examiner(s): PATEL, JAGDISH
• Application Number:
  US09/458,117
• Time in Patent Office: 468 Days
• Field of Search: 705/39, 705/65, 705/69, 705/41, 235/380
• US Class Current: 705/41
• CPC Class Codes: G06Q 20/06 Private payment circuits, e.g. involving electronic currency used among participants of a common payment scheme
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/29 characterised by micropayments
• CPC Class Codes: G06Q 20/367 involving electronic purses or money safes
• CPC Class Codes: G06Q 20/3678 e-cash details, e.g. blinded, divisible or detecting double spending
• CPC Class Codes: G06Q 20/389 Keeping log of transactions for guaranteeing non-repudiation of a transaction
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]

Abstract

A self-contained payment system uses circulating digital vouchers for the transfer of value. The system creates and transfers digital vouchers. A digital voucher has an identifying element and a dynamic log. The identifying element includes information such as the transferable value, a serial number and a digital signature. The dynamic log records the movement of the voucher through the system and accordingly grows over time. This allows the system operator to not only reconcile the vouchers before redeeming them, but also to recreate the history of movement of a voucher should an irregularity like a duplicate voucher be detected. These vouchers are used within a self-contained system including a large number of remote devices which are linked to a central system. The central system can be linked to an external system. The external system, as well as the remote devices, are connected to the central system by any one or a combination of networks. The networks must be able to transport digital information, for example the internet, cellular networks, telecommunication networks, cable networks or proprietary networks. Vouchers can also be transferred from one remote device to another remote device. These remote devices can communicate through a number of methods with each other. For example, for a non-face-to-face transaction the internet is a choice, for a face-to-face or close proximity transactions tone signals or light signals are likely methods. In addition, at the time of a transaction a digital receipt can be created which will facilitate a fast replacement of vouchers stored in a lost remote device.

Claims

1. In a system for making payments using vouchers having an identifying element and a dynamic log to which additional data representing the transfer of the voucher is added whenever there is a transaction involving the voucher, wherein a transaction includes a creation of, use of, or movement of the voucher, a remote device comprising:

an input signal receiver for receiving said vouchers sent to the said remote device;

a memory for storing said vouchers and storing an identification number of said remote device and storing an account number;

an output signal generator for sending said vouchers;

a processor storing said received vouchers in said memory, wherein said processor generates and attaches a remote device set of log digits to said voucher, and wherein said processor retrieves vouchers from said memory and sends them to said output signal generator linked to said processor; and

user controls for inputting operating instructions to said remote device.

2. A computer implemented method for making payments using vouchers, the vouchers having an identifying element and a dynamic log to which additional data representing the transfer of the voucher is added whenever there is a transaction involving the voucher, wherein a transaction includes a creation of, any use of or movement of the voucher comprising the steps of:

receiving said voucher in said programmed device;

storing said voucher in a memory and attaching a remote device set of log digits to said voucher, said programmed device also storing an identification number associated with said programmed device and storing an account number,

sending said voucher from said programmed device,

wherein the steps of receiving and sending are initiated according to user instructions to the programmed device.