Decoding systems with a decoding engine running on a mobile device and coupled to a payment system that includes identifying information of second parties qualified to conduct business with the payment system

• US 8,612,352 B2
• Filed: 03/14/2013
• Issued: 12/17/2013
• Est. Priority Date: 10/13/2010
• Status: Active Grant

• Current Assignee: Block, Inc. (f/k/a Square, Inc.)
• Original Assignee: Square Inc (Block, Inc. (f/k/a Square, Inc.))
• Inventors: Dorsey, Jack, Henderson, William, Grassadonia, Brian, McKelvey, James M., Wen, Xuancong
• Primary Examiner(s): Abdi, Kambiz
• Assistant Examiner(s): GOODBODY, JOAN T
• Application Number:
  US13/829,485
• Publication Number:
  US 20130204791A1
• Time in Patent Office: 278 Days
• Field of Search: 705/44
• US Class Current: 705/44
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/322 Aspects of commerce using mobile devices [M-devices]
• CPC Class Codes: G06Q 20/3224 Transactions dependent on location of M-devices
• CPC Class Codes: G06Q 20/3226 Use of secure elements separate from M-devices
• CPC Class Codes: G06Q 20/347 Passive cards
• CPC Class Codes: G06Q 20/3567 Software being in the reader
• CPC Class Codes: G06Q 20/40 Authorisation, e.g. identification of payer or payee, verification of customer or shop credentials; Review and approval of payers, e.g. check credit lines or negative lists
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G07F 7/0886 the card reader being portable for interacting with a POS or ECR in realizing a payment transaction

Abstract

A decoding system with a decoding engine running on a mobile device The decoding engine decodes signals produced from a read of a buyer'"'"'s financial transaction card, accepts and initializes incoming signals from a read of a buyer'"'"'s financial transaction card until the signals reach a steady state, detects the read of the buyer'"'"'s financial transaction card once the incoming signals are in a steady stat, identifies peaks in the incoming signals and digitizes the identified peaks in the incoming signals into bits. A transaction engine runs on the mobile device and is coupled to the decoding engine. A payment system is in communication with the transaction engine and with a buyer'"'"'s financial transaction card institution or a first party'"'"'s financial account. The payment system includes identifying information of second parties qualified by the payment system to conduct business with the payment system.

Claims

1. A decoding system, comprising:

a decoding engine running on a mobile device, the decoding engine in operation decoding signals produced from a read of a buyer'"'"'s financial transaction card, the decoding engine in operation accepting and initializing incoming signals from a read of the buyer'"'"'s financial transaction card until the signals reach a steady state, detecting the read of the buyer'"'"'s financial transaction card once the incoming signals are in a steady state, identifying peaks in the incoming signals and digitizing the identified peaks in the incoming signals into bits;

a transaction engine running on the mobile device and coupled to the decoding engine, the transaction engine in operation receiving as its input decoded buyer'"'"'s financial transaction card information from the decoding engine and serving as an intermediary between the buyer and a merchant, so that the buyer does not have to share his/her financial transaction card information with the merchant; and

the transaction engine configured to receive a card reader ID circuitry from a card reader and transmit the card reader ID to a payment service.

2. The decoding system of claim 1 wherein the mobile device is a mobile digital device.

3. The decoding system of claim 1 wherein the incoming signals are generated by swiping of the buyer'"'"'s financial transaction card through a card reader configured to be coupled and de-coupled with the mobile device.

4. The decoding system of claim 3 wherein the incoming signals of low quality due to one or more of:

low quality of data read from a single and/or low density track of a magnetic stripe of the card, sampling speed limitations of the mobile device, and noise introduced into the mobile device.

5. The decoding system of claim 1 wherein the decoding engine in operation detects presence of the read of the buyer'"'"'s financial transaction card by looking for points in the incoming signals that exceed a minimum signal amplitude threshold.

6. The decoding system of claim 1 wherein the decoding engine in operation detects presence of the read of the buyer'"'"'s financial transaction card by capturing signal of interest in the incoming signals via Fast Fourier Transform (FFT).

7. The decoding system of claim 1 wherein the decoding engine in operation detects peaks in the incoming signals to be resistant to ringing in the incoming signals.

8. The decoding system of claim 1 wherein the decoding engine in operation detects peaks in the incoming signals to be resistant to scratches in the card that cause slow quality or false peak information to manifest in the incoming signals.

9. The decoding system of claim 1 wherein the decoding engine in operation detects peaks in the incoming signals by looking for local maxima and minima within a window of digital samples.

10. The decoding system of claim 1 wherein the decoding engine in operation identifies the track from which data of the incoming signals are read through the read of the buyer'"'"'s financial transaction card when only one track of data in a magnetic stripe of the buyer'"'"'s financial transaction card is read.

11. The decoding system of claim 1 wherein the decoding engine in operation digitizes the identified peaks in the incoming signals into bits only by checking and comparing polarities of peaks.

12. The decoding system of claim 1 wherein the decoding engine in operation combines various peak detection and digitization approaches to cover various ranges of degradation in quality of the input signals read.

13. The decoding system of claim 1 wherein the decoding engine in operation chooses and optimizes different process combinations and parameters depending on hardware platform of the mobile device.

14. The decoding system of claim 1 wherein the decoding engine in operation scales and adjusts decoding to account for at least one of, different amounts of noise, sampling speed variations, signal ringing, and a swipe direction of the buyer'"'"'s financial transaction card when the buyer'"'"'s financial card is swiped through a slot of a card reader.

15. The decoding system of claim 1, wherein an output jack signal received by a card reader coupled to the mobile device is an encrypted output jack signal.

16. The decoding system of claim 15, wherein the output jack signal is an encrypted and signed output jack signal.

17. The decoding system of claim 1, wherein the card reader includes a front end with an amplifier/filter, differentiator and a comparator.

18. The decoding system of claim 17, wherein the front end further includes wake-up electronics.

19. The decoding system of claim 18, wherein the wake-up electronics is a wake-up circuit.