METHOD AND SYSTEM FOR TRANSFER OF OWNERSHIP OF NFT (NONFUNGIBLE TOKEN) UPON REFUND TRANSACTION IN PAYMENT
NETWORK
CROSS REFERENCE TO RELATED APPLICATION
This application claims the benefit of U.S. Patent Application No. 5
17/667,246, which was filed on February 8, 2022, the entire contents of which are
hereby incorporated by reference for all purposes.
FIELD
The present disclosure relates to enabling the automatic refund of a
non-fungible token (NFT), specifically enforcing the refund of an NFT following the 10
refund of the payment transaction for initial transfer of ownership of the NFT.
BACKGROUND
Blockchain and other distributed ledgers have been used for a wide
variety of applications since their inception. Most commonly, blockchains are used in
the management and transfer of digital currency. Some of the advantages of using a 15
blockchain that are responsible for the rise in popularity of digital currencies is that a
blockchain is largely immutable, transactions have a high level of anonymity, and
blockchain networks are decentralized. Because of these advantages, blockchains
have been used in many applications beyond digital currency, such as for voting, data
storage, supply chain management, and more. 20
Recently, non-fungible tokens (NFTs) have become a popular use of
blockchain technology. An NFT is a digital asset whose ownership is tracked using a
blockchain. The digital asset can be any type of asset, such as an text, data, image,
song, or video, where the original creator of the asset creates an NFT for the asset that
is stored on a blockchain, such as Ethereum ®. The creator is then free to transfer the 25
NFT to any other interested party, where the transfer of ownership is registered via a
transaction on the blockchain from the creator to the transferee. Often, the recipient
will purchase the NFT via a traditional payment transaction using a fiat currency.
However, reliance on blockchain technology for the registration, also
30 referred to as “minting,” of NFTs and the transfer thereof is not without its downsides.
One downside in particular is that blockchain transactions, unlike traditional payment
3
transactions, are not reversible due to the decentralized nature of the blockchain. In a
traditional payment transaction that is processed via a payment network, such as a
credit card transaction, if the buyer feels defrauded or does not receive a purchased
product, the payment network can force a refund of the payment transaction, ensuring
that the buyer receives their payment back. However, because there is no centralized 5
management in a blockchain, the ability to reverse or refund a transaction does not
exist. This can place both buyer and seller in a vulnerable position, where either party
is forced to trust that the other will perform their requisite transaction (returned
transfer of the NFT to the seller or a payment transaction for payment back to the
buyer). 10
Thus, there is a need for a technical improvement to existing
technologies to enable a trusted and secure refund of the purchase or transfer of an
NFT.
SUMMARY
The present disclosure provides a description of systems and methods 15
for enabling refund of a non-fungible token (NFT) involving use of a smart contract.
When an NFT is purchased, the payment transaction for the payment made for the
purchase is processed and an identifier associated therewith is generated. The
identifier of the payment transaction is stored in a smart contract that is added to a
blockchain along with an identifier for the NFT as well as the blockchain addresses 20
for the buyer and seller. If either party wants to refund the transaction, a refund
request is submitted to a processing server that includes the transaction identifier. The
processing server initiates a refund of the payment transaction and then submits the
transaction identifier as input to the smart contract. The smart contract executes a
new transaction on the blockchain to transfer ownership from the buyer back to the 25
seller. The result is that both the initial payment transaction and the transfer of the
NFT are reversed, returning both parties to their original position. By using a smart
contract in conjunction with a processing server, the purchase of an NFT can be
reversed with minimal action by either participant and with a guarantee that the
reversal will occur without the opportunity for the other participant to engage in any 30
fraudulent action. The result is a significant advantage over existing systems used in
the transfer of ownership of NFTs.
4
A method for enabling refund of a non-fungible token (NFT) includes:
receiving, by a receiver of a processing server, a transaction message for a payment
transaction; processing, by a processor of the processing server, the payment
transaction using at least the transaction message, where processing includes
identification of a transaction identifier for the payment transaction; transmitting, by a 5
transmitter of the processing server, the transaction identifier to a first computing
device; receiving, by the receiver of the processing server, a notification message
including at least the transaction identifier and a token identifier, where the token
identifier is associated with the NFT; receiving, by the receiver of the processing
server, a refund request message from a second computing device, where the refund 10
request message includes at least one of: the transaction identifier and the token
identifier; processing, by the processor of the processing server, a refund transaction
for the payment transaction; and submitting, by the transmitter of the processing
server, at least the transaction identifier as input into a smart contract stored in a
blockchain associated with the NFT. 15
A system for enabling refund of a non-fungible token (NFT) includes:
a first computing device; a second computing device; a blockchain associated with the
NFT; and a processing server, the processing server including a receiver receiving a
transaction message for a payment transaction, a processor processing the payment
transaction using at least the transaction message, where processing includes 20
identification of a transaction identifier for the payment transaction, and a transmitter
transmitting, the transaction identifier to the first computing device, wherein the
receiver of the processing server further receives a notification message including at
least the transaction identifier and a token identifier, where the token identifier is
associated with the NFT, and a refund request message from the second computing 25
device, where the refund request message includes at least one of: the transaction
identifier and the token identifier, the processor of the processing server further
processes a refund transaction for the payment transaction, and the transmitter of the
processing server further submits at least the transaction identifier as input into a
smart contract stored in the blockchain associated with the NFT. 30
BRIEF DESCRIPTION OF THE DRAWING FIGURES
The scope of the present disclosure is best understood from the
following detailed description of exemplary embodiments when read in conjunction
with the accompanying drawings. Included in the drawings are the following figures:
5
FIG. 1 is a block diagram illustrating a high-level system architecture
for enabling refund of an NFT in accordance with exemplary embodiments.
FIG. 2 is a block diagram illustrating a processing server for enabling
refund of an NFT in the system of FIG. 1 in accordance with exemplary
embodiments. 5
FIGS. 3A and 3B are a flow diagram illustrating a process for the
transfer of ownership of an NFT following a payment transaction in the system of
FIG. 1 in accordance with exemplary embodiments.
FIG. 4 is a flow diagram illustrating a process for enforcing a refund of
an NFT and associated payment transaction in the system of FIG. 1 in accordance 10
with exemplary embodiments.
FIG.5 is a flow chart illustrating an exemplary method for enabling
refund of an NFT in accordance with exemplary embodiments.
FIG. 6 is a block diagram illustrating a computer system architecture in
accordance with exemplary embodiments. 15
Further areas of applicability of the present disclosure will become
apparent from the detailed description provided hereinafter. It should be understood
that the detailed description of exemplary embodiments is intended for illustration
purposes only and are, therefore, not intended to necessarily limit the scope of the
disclosure. 20
DETAILED DESCRIPTION
System for Enabling Refund of a Non-Fungible Token
FIG. 1 illustrates a system 100 that provides for the automatic
refunding and reversal of a transaction for the transfer of ownership of a non-fungible
token (NFT). The system 100 can include a processing server 102. The processing 25
server 102, discussed in more detail below, can be configured to facilitate the
automatic refunding and reversal of transfer of ownership of an NFT via the use of a
smart contract. In the system 100, a party may have ownership of an NFT via a seller
device 104, such as the creator of the NFT or another party that has gained ownership
of the NFT via any suitable method. A party associated with a buyer device 106 may 30
be interested in purchasing the NFT from the party associated with the seller device
104. As discussed herein, the parties associated with the seller device 104 and buyer
device 106 may be referred to via their associated devices. The seller device 104 and
6
buyer device 106 can be any type of computing device suitable for performing the
functions discussed herein, such as a cellular phone, smart phone, smart watch, smart
television, desktop computer, laptop computer, notebook computer, tablet computer,
wearable computing device, etc.
In the system 100, ownership of the NFT can be stored in a blockchain. 5
The blockchain may be managed by a blockchain network 108 included in the system
100. The blockchain network 108 can be comprised of a plurality of blockchain
nodes 110. Each blockchain node 110 can be a computing system, such as illustrated
in FIGS. 2 or 6, discussed in more detail below, that is configured to perform
functions related to the processing and management of the blockchain, including the 10
generation of blockchain data values, verification of proposed blockchain
transactions, verification of digital signatures, generation of new blocks, validation of
new blocks, and maintenance of a copy of the blockchain.
The blockchain can be a distributed ledger that is comprised of at least
a plurality of blocks. Each block can include at least a block header and one or more 15
data values. Each block header can include at least a timestamp, a block reference
value, and a data reference value. The timestamp can be a time at which the block
header was generated, and can be represented using any suitable method (e.g., UNIX
timestamp, DateTime, etc.). The block reference value can be a value that references
an earlier block (e.g., based on timestamp) in the blockchain. In some embodiments, 20
a block reference value in a block header can be a reference to the block header of the
most recently added block prior to the respective block. In an exemplary
embodiment, the block reference value can be a hash value generated via the hashing
of the block header of the most recently added block. The data reference value can
similarly be a reference to the one or more data values stored in the block that 25
includes the block header. In an exemplary embodiment, the data reference value can
be a hash value generated via the hashing of the one or more data values. For
instance, the block reference value can be the root of a Merkle tree generated using
the one or more data values.
The use of the block reference value and data reference value in each 30
block header can result in the blockchain being immutable. Any attempted
modification to a data value would require the generation of a new data reference
value for that block, which would thereby require the subsequent block’s block
reference value to be newly generated, further requiring the generation of a new block
7
reference value in every subsequent block. This would have to be performed and
updated in every single blockchain node 110 in the blockchain network 108 prior to
the generation and addition of a new block to the blockchain in order for the change to
be made permanent. Computational and communication limitations can make such a
modification exceedingly difficult, if not impossible, thus rendering the blockchain 5
immutable.
In some embodiments, the blockchain can be used to store information
regarding blockchain transactions conducted between two different blockchain
wallets. A blockchain wallet can include a private key of a cryptographic key pair
that is used to generate digital signatures that serve as authorization by a payer for a 10
blockchain transaction, where the digital signature can be verified by the blockchain
network 108 using the public key of the cryptographic key pair. In some cases, the
term “blockchain wallet” can refer specifically to the private key. In other cases, the
term “blockchain wallet” can refer to a computing device (e.g., seller device 104,
buyer device 106, etc.) that stores the private key for use thereof in blockchain 15
transactions. For instance, each computing device can each have their own private
key for respective cryptographic key pairs, and can each be a blockchain wallet for
use in transactions with the blockchain associated with the blockchain network.
Computing devices can be any type of device suitable to store and utilize a blockchain
wallet, such as a desktop computer, laptop computer, notebook computer, tablet 20
computer, cellular phone, smart phone, smart watch, smart television, wearable
computing device, implantable computing device, etc.
Each blockchain data value stored in the blockchain can correspond to
a blockchain transaction or other storage of data, as applicable. A blockchain
25 transaction can consist of at least: a digital signature of the sender of currency (e.g., a
buyer device 106) that is generated using the sender’s private key, a blockchain
address of the recipient of currency (e.g., a seller device 104) generated using the
recipient’s public key, and a blockchain currency amount that is transferred or other
data being stored. In some blockchain transactions, the transaction can also include
one or more blockchain addresses of the sender where blockchain currency is 30
currently stored (e.g., where the digital signature proves their access to such
currency), as well as an address generated using the sender’s public key for any
change that is to be retained by the sender. Addresses to which cryptographic
currency has been sent that can be used in future transactions are referred to as
8
“output” addresses, as each address was previously used to capture output of a prior
blockchain transaction, also referred to as “unspent transactions,” due to there being
currency sent to the address in a prior transaction where that currency is still unspent.
In some cases, a blockchain transaction can also include the sender’s public key, for
use by an entity in validating the transaction. For the traditional processing of a 5
blockchain transaction, such data can be provided to a blockchain node 110 in the
blockchain network 108, either by the sender or the recipient. The node can verify the
digital signature using the public key in the cryptographic key pair of the sender’s
wallet and also verify the sender’s access to the funds (e.g., that the unspent
transactions have not yet been spent and were sent to address associated with the 10
sender’s wallet), a process known as “confirmation” of a transaction, and then include
the blockchain transaction in a new block. The new block can be validated by other
nodes in the blockchain network 108 before being added to the blockchain and
distributed to all of the blockchain nodes 110 in the blockchain network 108,
respectively, in traditional blockchain implementations. In cases where a blockchain 15
data value cannot be related to a blockchain transaction, but instead the storage of
other types of data, blockchain data values can still include or otherwise involve the
validation of a digital signature.
In the system 100, records regarding ownership of an NFT can be
stored in blockchain data entries in the blockchain associated with the blockchain 20
network 108. A data value that is representative of the NFT is stored in a blockchain
data entry where a transfer of ownership is recorded in the blockchain via the addition
of a new blockchain data entry in a new block that includes the data value for the NFT
as well as a recipient address of a blockchain wallet of the recipient. The recipient is
then free to make a further transfer of ownership of the NFT via proof of their 25
ownership, which can be made via the generation of a digital signature of the
cryptographic key pair of their blockchain wallet, where the corresponding public key
was used to generate the recipient address of the NFT.
In the system 100, the buyer device 106 can agree to purchase an NFT
owned by the seller device 104 for an amount of currency. In some embodiments, the 30
buyer device 106 may purchase the NFT using a traditional payment transaction, such
as processed by a payment network 112 using a credit card, debit card, or other
suitable type of payment instrument. In other embodiments, the buyer device 106 can
purchase the NFT using a digital currency transferred via a blockchain, which can be
9
the same blockchain used to record transfers of ownership of the NFT or a separate
blockchain, which can also be managed by the blockchain network 108 or by an
additional blockchain network 108 in the system 100.
In instances where a traditional payment transaction is used, the buyer
device 106 can submit a payment using any suitable method. For instance, the 5
processing server 102 can provide a service where the buyer device 106 submits
payment details (e.g., transaction amount, account details for the transaction account
from which payment is to be made, account details for the recipient transaction
account, such as provided by the seller device 104, etc.), the buyer device 106 can use
a suitable website or application program, etc. An authorization request for the 10
payment transaction can be electronically transmitted to a payment network 112 using
payment rails associated therewith. An authorization request can be a specially
formatted transaction message that is formatted according to one or more standards
governing the exchange of financial transaction messages, such as the International
15 Organization of Standardization’s ISO 8583 or ISO 20022 standards. The
authorization request can include the payment details for the payment transaction
stored in data elements included therein, such as the transaction amount, account
details for the payer transaction account, and account details for the payee transaction
account. The payment network 112 can process the payment transaction using
traditional systems and methods. 20
As part of the processing of the payment transaction, a transaction
identifier can be generated (e.g., by the payment network 112, the processing server
102, or other entity or system involved in the processing of the payment transaction).
The transaction identifier can be provided to the buyer device 106 in a confirmation
message confirming successful processing of the payment transaction. In cases where 25
the processing server 102 is involved in the processing of the payment transaction, the
processing server 102 can receive the transaction identifier as part of its involvement
in the processing of the payment transaction. In some such cases, the processing
server 102 can provide the confirmation message to the buyer device 106 using a
suitable communication network and method. In other cases, the buyer device 106 30
and/or seller device 104 can provide the transaction identifier to the processing server
102 after receipt of the confirmation message.
In embodiments where a digital currency is used for payment for the
purchase of the NFT, the buyer device 106 can electronically submit transaction
10
details for a blockchain transaction, which can be directly submitted to a blockchain
node 110, be submitted to the processing server 102 for forwarding to a blockchain
node 110 on behalf of the buyer device 106, or to the processing server 102 for
processing in cases where the processing server 102 can be a blockchain node 110 in
the blockchain network 108. A new blockchain transaction can then be processed and 5
added to the blockchain for transfer of a specified amount of digital currency from the
blockchain wallet of the buyer device 106 to the blockchain wallet of the seller device
104 using the methods discussed above.
In some embodiments, the seller device 104 can initiate processing of
the traditional or blockchain payment transaction using transaction details provided by 10
the buyer device 106.
The seller device 104 can submit a request for transfer of ownership of
the NFT being purchased to the blockchain network 108, which can be directly
submitted to a blockchain node 110, be submitted to the processing server 102 for
forwarding to a blockchain node 110 on behalf of the seller device 104, or to the 15
processing server 102 for processing in cases where the processing server 102 can be
a blockchain node 110 in the blockchain network 108. The request can include a
digital signature generated by the private key of the cryptographic key pair that
comprises the seller device’s blockchain wallet, which can corresponding to the
public key used to generate the address that currently has ownership of the NFT as 20
registered in the blockchain. Verification of the seller device’s ownership of the NFT
can be performed via validating the digital signature using the same public key that
was used to generate the address that currently has ownership of the NFT. The
request can also include a destination address to which the ownership of the NFT is to
be transferred, which can be generated via the public key of the cryptographic key 25
pair that comprises the buyer device’s blockchain wallet, which the buyer device 106
can have transmitted to the seller device 104 prior to the transfer of ownership. The
blockchain node 110 can verify and validate the necessary data, then generate a new
blockchain data entry that includes the transfer of ownership that is included in a new
block that is generated, validated, and added to the blockchain using traditional 30
methods and systems. A transaction identifier can be generated for the blockchain
transaction that is then returned to the buyer device 106 in a confirmation message or
can be identified by the buyer device 106 in the blockchain data entry for the
blockchain transaction stored in the blockchain.
11
In some embodiments, the payment transaction can be processed prior
to the transfer of ownership of the NFT on the blockchain. In other embodiments, the
transfer of ownership of the NFT can occur prior to processing of the payment
transaction. In still other embodiments, the payment transaction and transfer of
ownership of the NFT can be performed concurrently. 5
In the system 100, a smart contract can be generated and stored in the
blockchain associated with the blockchain network 108 that can be used to facilitate
the automatic reversal of the transfer of ownership of the NFT from the buyer device
106 back to the seller device 104. In some embodiments, the smart contract can be
generated following the processing of the payment transaction and/or transfer of 10
ownership of the NFT as discussed above. In other embodiments, the smart contract
can be generated following processing of the payment transaction and prior to transfer
of ownership of the NFT. In such embodiments, the smart contract can be configured
to execute a function to process the transfer of ownership of the NFT once the
payment transaction has been processed. In such an embodiment, the function can be 15
executed by the smart contract with the transaction identifier for the processed
payment transaction as input, where execution of the smart contract can result in the
generation of the blockchain transaction for the transfer of ownership of the NFT
from the seller device 104 to the buyer device 106 as discussed above.
The smart contract can be configured to store at least a token identifier 20
for the NFT, the blockchain address associated with the seller device 104 that initially
had ownership of the NFT, and the blockchain address associated with the buyer
device 106 to where ownership of the NFT was transferred. The token identifier can
be a value associated with the NFT or can be the data value that is the digital asset
itself (e.g., a hash of the image, video, etc.). In cases where the smart contract 25
executes to process the transfer of ownership, the smart contract can store the
transaction identifier received as input. In cases where the smart contract is generated
after the transfer of ownership of the NFT, the transaction identifier can be included
in the smart contract as part of the process of the generation thereof.
In the system 100, the seller device 104 or buyer device 106 can be 30
interested in having the payment transaction and transfer of ownership of the NFT
reversed. In an example, the buyer may have made an incorrect payment amount and
the seller may be interested in having the transaction reversed if the appropriate
payment is not made. In another example, the NFT transferred to the buyer can be
12
different than the asset originally discussed by the parties. In yet another example, the
seller can provide the buyer with a return policy that the buyer wishes to exercise,
where the system 100 is utilized to provide for a faster, more secure, and easier return
process.
When a reversal is desired, the seller device 104 or buyer device 106 5
can electronically submit a refund request to the processing server 102 using a
suitable communication network and method, such as using a webpage, application
program, application programming interface (API), etc. In some cases, the processing
server 102 can require confirmation from both the buyer device 106 and seller device
104 prior to processing a refund request. In such cases, the seller device 104 and/or 10
buyer device 106 can be authenticated prior to processing, such as using a digital
signature generated by the device’s private key and validated using the corresponding
public key.
The refund request can include the transaction identifier for the
payment transaction that is to be refunded. The processing server 102 can identify the 15
payment transaction using the transaction identifier. The processing server 102 can
then initiate the processing of a refund transaction for the payment transaction. In
some instances, a dispute resolution process can occur when a refund request is
received by the processing server 102. For instance, the processing server 102 can,
directly or via a third party service (e.g., offered by the payment network 112), 20
execute a dispute resolution process to determine if the refund should be approved,
such as by gathering evidence from the seller device 104 and buyer device 106 based
on a requested reason for the refund. In an example, the seller device 104 can request
the refund stating that insufficient payment was made, and present past
communications from the buyer device 106 agreeing on a different price as evidence. 25
Likewise, it the NFT is defective (e.g., corrupted, incorrect, misidentified, etc.), the
buyer can provide evidence of such. If the dispute resolution process finds that the
refund request should be denied, a notification message indicating accordingly can be
transmitted to the submitter of the refund request. If the dispute resolution approves
the refund, then the processing server 102 can proceed by refunding the initial 30
payment transaction. In cases where a traditional payment transaction was used, a
transaction message can be submitted to the payment network 112 using payment rails
associated therewith that includes the transaction identifier, which can result in
payment for the original transaction amount being paid back from the original
13
recipient transaction account to the original payer transaction account. In some cases,
the refund transaction can be processed via an authorization request for a new
payment transaction for the same transaction amount where the payment details for
the transaction accounts are swapped such that the payment initially made to the seller
from the buyer is made back to the buyer from the seller. 5
In cases where a blockchain transaction was used, a new blockchain
transaction can be generated that is submitted to a blockchain node 110 for payment
of the original digital currency amount from the blockchain wallet of the seller device
104 back to the blockchain wallet of the buyer device 106. In some embodiments, the
seller device 104 can generate a digital signature over the unspent transaction output 10
for the initial blockchain transaction that is provided to the processing server 102 or in
the smart contract, where the digital signature is used in the submission of the new
blockchain transaction to ensure that the blockchain transaction is successfully
validated and processed. In cases where the digital signature is included in the smart
contract, refunding of the blockchain transaction can be performed via the execution 15
of an appropriate function in the smart contract using the transaction identifier as
input, where the smart contract can generate the blockchain transaction and submit the
transaction to a blockchain node 110.
In addition to the processing of the refund, the processing server 102
can submit the transaction identifier as input into the smart contract. In some cases, 20
the smart contract can be configured to initiate a reversal of the transfer of ownership
of the NFT when a transaction identifier is submitted, which can occur only after
other functions related to receipt of the transaction identifier as input have been
performed (e.g., the initial transfer of ownership of the NFT). In other cases, the
smart contract can include a function for the reversal of the transfer of ownership of 25
the NFT (e.g., a refund()function), where the transaction identifier can be supplied as
input for the function. The smart contract can execution the function, which can
identify the token identifier associated with the NFT, and then generate a new
blockchain transaction for transfer of ownership from the buyer device 106 back to
the seller device 104. In cases where a digital signature is required for the transfer, 30
the buyer device 106 can have supplied the digital signature generated using its
private key as part of the initial process (e.g., when submitting the payment
transaction, submitting the transaction identifier for the payment transaction, provided
to the seller device 104 for submission thereby, etc.). The new blockchain transaction
14
is then automatically submitted to a blockchain node 110 for verification and addition
to the blockchain. Once added to the blockchain, the seller device 104 will have been
returned ownership of the NFT.
In some embodiments, the blockchain network 108 can be configured
to enable multiple entities to initiate transfer of ownership of an NFT. For instance, 5
the entity that has ownership of an NFT via control of the address to which the NFT
was transferred (e.g., demonstrated using a digital signature generated using the
private key that corresponds to the public key used to generate the address) can also
specify another entity with a blockchain address (e.g., similarly authenticated using
cryptographic keys) or other data used for authentication. In such cases, the 10
processing server 102 can be specified as the other entity that is allowed to transfer
ownership of the NFT. The processing server 102 can then include its own digital
signature or other authentication data, which can be supplied as input to the smart
contract along with the transaction identifier to accomplish the reversal of the transfer
of ownership of the NFT. 15
The methods and systems discussed herein enable for automated
reversal of the transfer of ownership of the NFT. By using a processing server as well
as a smart contract and the appropriate input, a payment transaction, both traditional
or using digital currency, can be automatically refunded and the ownership of the
NFT automatically reversed back to the original owner with nothing more than a 20
single submission of the transaction identifier by the seller device 104 or buyer device
106. The result is a fast and secure process for refund and reversal with minimal
interaction required by the involved parties that removes the ability for fraud to be
perpetuated by either party. As a result, entities can have more flexibility than ever
when conducting transactions that involve the transfer of ownership of NFTs. 25
Processing Server
FIG. 2 illustrates an embodiment of a processing server 102. It will be
apparent to persons having skill in the relevant art that the embodiment of the
processing server 102 illustrated in FIG. 2 is provided as illustration only and cannot
be exhaustive to all possible configurations of the processing server 102 suitable for 30
performing the functions as discussed herein. For example, the computer system 600
illustrated in FIG. 6 and discussed in more detail below can be a suitable
configuration of the processing server 102. In some cases, additional components of
15
the system 100, such as the seller device 104, buyer device 106, blockchain node 110,
can include the components illustrated in FIG. 2 and discussed below.
The processing server 102 can include a receiving device 202. The
receiving device 202 can be configured to receive data over one or more networks via
one or more network protocols. In some instances, the receiving device 202 can be 5
configured to receive data from seller device 104, buyer device 106, blockchain node
110, payment network 112, and other systems and entities via one or more
communication methods, such as radio frequency, local area networks, wireless area
networks, cellular communication networks, Bluetooth, the Internet, etc. In some
embodiments, the receiving device 202 can be comprised of multiple devices, such as 10
different receiving devices for receiving data over different networks, such as a first
receiving device for receiving data over a local area network and a second receiving
device for receiving data via the Internet. The receiving device 202 can receive
electronically transmitted data signals, where data can be superimposed or otherwise
encoded on the data signal and decoded, parsed, read, or otherwise obtained via 15
receipt of the data signal by the receiving device 202. In some instances, the
receiving device 202 can include a parsing module for parsing the received data signal
to obtain the data superimposed thereon. For example, the receiving device 202 can
include a parser program configured to receive and transform the received data signal
into usable input for the functions performed by the processing device to carry out the 20
methods and systems described herein.
The receiving device 202 can be configured to receive data signals
electronically transmitted by seller devices 104 and/or buyer devices 106 that can be
superimposed or otherwise encoded with payment transaction data, transaction
identifiers, token identifiers, smart contract data, refund requests, etc. The receiving 25
device 202 can also be configured to receive data signals electronically transmitted by
blockchain nodes 110 in the blockchain network 108, which can be superimposed or
otherwise encoded with blockchain data, transaction identifiers, notification
messages, etc. The receiving device 202 can be further configured to receive data
signals electronically transmitted by payment networks 112, such as via payment rails 30
associated therewith, that can be superimposed or otherwise encoded with transaction
messages, notification messages, etc.
The processing server 102 can also include a communication module
204. The communication module 204 can be configured to transmit data between
16
modules, engines, databases, memories, and other components of the processing
server 102 for use in performing the functions discussed herein. The communication
module 204 can be comprised of one or more communication types and utilize
various communication methods for communications within a computing device. For
example, the communication module 204 can be comprised of a bus, contact pin 5
connectors, wires, etc. In some embodiments, the communication module 204 can
also be configured to communicate between internal components of the processing
server 102 and external components of the processing server 102, such as externally
connected databases, display devices, input devices, etc. The processing server 102
can also include a processing device. The processing device can be configured to 10
perform the functions of the processing server 102 discussed herein as will be
apparent to persons having skill in the relevant art. In some embodiments, the
processing device can include and/or be comprised of a plurality of engines and/or
modules specially configured to perform one or more functions of the processing
device, such as a querying module 216, generation module 218, verification module 15
220, etc. As used herein, the term “module” can be software or hardware particularly
programmed to receive an input, perform one or more processes using the input, and
provides an output. The input, output, and processes performed by various modules
will be apparent to one skilled in the art based upon the present disclosure.
The processing server 102 can also include blockchain data 206, which 20
may be stored in a memory 214 of the processing server 102 or stored in a separate
area within the processing server 102 or accessible thereby. The blockchain data 206
may include a blockchain, which may be comprised of a plurality of blocks and be
associated with the blockchain network 108. In some cases, the blockchain data 206
may further include any other data associated with the blockchain and management 25
and performance thereof, such as block generation algorithms, digital signature
generation and confirmation algorithms, communication data for blockchain nodes
110, smart contracts, cryptographic key pairs, public keys, etc.
The processing server 102 can also include a memory 214. The
memory 214 can be configured to store data for use by the processing server 102 in 30
performing the functions discussed herein, such as public and private keys, symmetric
keys, etc. The memory 214 can be configured to store data using suitable data
formatting methods and schema and can be any suitable type of memory, such as
read-only memory, random access memory, etc. The memory 214 can include, for
17
example, encryption keys and algorithms, communication protocols and standards,
data formatting standards and protocols, program code for modules and application
programs of the processing device, and other data that can be suitable for use by the
processing server 102 in the performance of the functions disclosed herein as will be
apparent to persons having skill in the relevant art. In some embodiments, the 5
memory 214 can be comprised of or can otherwise include a relational database that
utilizes structured query language for the storage, identification, modifying, updating,
accessing, etc. of structured data sets stored therein. The memory 214 can be
configured to store, for example, cryptographic keys, cryptographic key pairs,
encryption algorithms, encryption keys, data formatting rules, signature generation 10
algorithms, standards, public databases, private databases, payment network
processing rules, transaction messages standards data, etc.
The processing server 102 can include a querying module 216. The
querying module 216 can be configured to execute queries on databases to identify
information. The querying module 216 can receive one or more data values or query 15
strings and can execute a query string based thereon on an indicated database, such as
memory 214 of the processing server 102 to identify information stored therein. The
querying module 216 can then output the identified information to an appropriate
engine or module of the processing server 102 as necessary. The querying module
216 can, for example, execute a query on the memory 214 to identify a private key for 20
use in generating a digital signature for submission to a smart contract as input for the
reversal of the transfer of ownership of an NFT.
The processing server 102 can also include a generation module 218.
The generation module 218 can be configured to generate data for use by the
processing server 102 in performing the functions discussed herein. The generation 25
module 218 can receive instructions as input, can generate data based on the
instructions, and can output the generated data to one or more modules of the
processing server 102. For example, the generation module 218 can be configured to
generate transaction messages, blockchain transactions, blockchain data entries,
digital signatures, blocks, response messages, notification messages, etc. 30
The processing server 102 can also include a verification module 220.
The verification module 220 can be configured to perform verifications for the
processing server 102 as part of the functions discussed herein. The verification
module 220 can receive instructions as input, which can also include data to be used
18
in performing a verification, can perform a verification as requested, and can output a
result of the verification to another module or engine of the processing server 102.
The verification module 220 can, for example, be configured to verify digital
signatures using suitable signature generation algorithms and keys, verify hash values
by hashing supplied data using a suitable one-way hashing algorithm, verify NFT 5
ownership based on blockchain addresses and cryptographic key data, verify payment
transactions, etc.
The processing server 102 can also include a transmitting device 222.
The transmitting device 222 can be configured to transmit data over one or more
networks via one or more network protocols. In some instances, the transmitting 10
device 222 can be configured to transmit data to seller devices 104, buyer devices
106, blockchain nodes 110, payment networks 112, and other entities via one or more
communication methods, local area networks, wireless area networks, cellular
communication, Bluetooth, radio frequency, the Internet, etc. In some embodiments,
the transmitting device 222 can be comprised of multiple devices, such as different 15
transmitting devices for transmitting data over different networks, such as a first
transmitting device for transmitting data over a local area network and a second
transmitting device for transmitting data via the Internet. The transmitting device 222
can electronically transmit data signals that have data superimposed that can be parsed
by a receiving computing device. In some instances, the transmitting device 222 can 20
include one or more modules for superimposing, encoding, or otherwise formatting
data into data signals suitable for transmission.
The transmitting device 222 can be configured to electronically
transmit data signals to seller devices 104 and/or buyer devices 104 that can be
superimposed or otherwise encoded with notification messages for payment 25
transactions, requests for digital signatures, notification messages regarding
blockchain transactions, requests for smart contract data, etc. The transmitting device
222 can also be configured to electronically transmit data signals to blockchain nodes
110, which can be superimposed or otherwise encoded with blockchain transactions,
blockchain data entries, blocks, response messages, smart contract data, input for 30
smart contracts, etc. The transmitting device 222 can be further configured to
electronically transmit data signals to payment networks 112, such as via payment
rails associated therewith, that can be superimposed or otherwise encoded with
transaction messages, authorization requests, refund messages, etc.
19
Process for Transferring Ownership of a Non-Fungible Token
FIGS. 3A and 3B illustrates a process for transferring ownership of a
non-fungible token (NFT) in the system 100 from a seller device 104 to a buyer
device 106 in exchange for payment via a traditional payment transaction that is
capable of automatic refund and reversal. 5
In step 302, the buyer device 106 can electronically transmit a message
to the seller device 104 using a suitable communication network and method that
proposes a purchase of an NFT owned by the seller device 104. In step 304, the seller
device 104 can receive the message, which can include transaction terms, such as a
transaction amount, currency type, and the token identifier for the NFT that is to be 10
purchased. In some cases, the terms can also include a blockchain address for the
buyer device 106 for receipt of the NFT. The terms can be presented to a user of the
seller device 104 who can decide to proceed with the transaction and provide input
approving the transaction. In step 306, the seller device 104 can transmit its approval
of the proposed transaction to the buyer device 106 using a suitable communication 15
network and method. The approval can include at least account details for a
transaction account to which the payment is to be made, such as an account number,
username, e-mail address, telephone number, or other data that can be dependent on
the service and/or payment instrument used for the payment transaction. In step 308,
the buyer device 106 can receive the approval message and included account details. 20
In step 310, the buyer device 106 can electronically transmit a message
for a desired payment transaction to the processing server 102 using a suitable
communication network and method. The message can include at least the account
details for the seller’s transaction account, account details for a transaction account of
the buyer used to fund the payment transaction, and the transaction amount. In some 25
cases, the message can also include the token identifier for the NFT. In step 312, the
receiving device 202 of the processing server 102 can receive the message for the
payment transaction. In step 314, the processing server 102 can process the payment
transaction using a suitable method. In some cases, the processing server 102 can
generate (e.g., via the generation module 218) an authorization request for the 30
payment transaction that submitted to the payment network 112 using associated
payment rails. In other cases, the processing server 102 can submit the payment
details for the transaction accounts and the transaction account to another payment
20
service to facilitate the transfer of funds to accomplish the payment transaction. As
part of the processing of the payment transaction, in step 314, the processing server
102 can identify a transaction identifier for the payment transaction, which can be a
value (e.g., a number) that is unique to that payment transaction.
In step 316, the transmitting device 222 of the processing server 102 5
can electronically transmit a confirmation message for the successful payment
transaction to the buyer device 106. The confirmation message can include at least
the transaction identifier, and can also include any additional transaction details, such
as the transaction amount, a portion of the account details for the seller’s transaction
account, etc. In step 318, the buyer device 106 can receive the confirmation message. 10
In step 320, the buyer device 106 can forward the confirmation message to the seller
device 104 for receipt thereby, in step 322. The confirmation message can be
presented to a user of the seller device 104 to notify the seller that payment for the
proposed amount was successfully made to the seller’s transaction account. In cases
where the buyer device 106 did not previously provide a destination address for the 15
NFT to the seller device 104, the buyer device 106 can append the destination address
to the confirmation message.
In step 324, the seller device 104 can electronically transmit data for a
smart contract to a blockchain node 110 in the blockchain network 108 using a
suitable communication network and method. The data can include at least the 20
transaction identifier for the processed payment transaction, the token identifier
associated with the NFT, the seller’s blockchain address that has ownership of the
NFT (e.g., and a digital signature generated by the seller’s private key, if applicable),
and the destination address for the NFT generated by the buyer device 106. In step
326, the blockchain node 110 can receive the smart contract data. In step 328, the 25
blockchain node 110 can validate the seller’s ability to transfer ownership of the
specified NFT, generate the smart contract using the provided data, generate a new
block that includes the smart contract, and have the new block confirmed and added,
i.e., posted to the blockchain. In step 330, the blockchain node 110 can transmit a
notification message to the seller device 104 that indicates that the smart contract was 30
successfully added to the blockchain.
In step 332, the seller device 104 can receive the notification message
from the blockchain node 110. In step 334, the seller device 104 can forward the
notification message to the buyer device 106 and the processing server 102 to inform
21
the parties that the transfer of ownership of the NFT was successfully performed. In
step 336, the buyer device 106 can receive the notification message, which can be
displayed to a user thereof to inform the user that they now have ownership of the
NFT. In step 338, the receiving device 202 of the processing server 102 can receive
the notification message from the seller device 104. In step 340, the processing server 5
102 can identify the smart contract as stored in the blockchain, such as by using the
transaction identifier. In step 342, the verification module 220 of the processing
server 102 can verify the data included in the smart contract to ensure its accuracy,
such as by checking that the token identifier corresponds to one submitted with the
payment transaction data and checking the accuracy of the transaction identifier. 10
The result of the process illustrated in FIGS. 3A and 3B is the transfer
of the negotiated amount of fiat currency from the buyer to the seller and the transfer
of the agreed-upon NFT from the seller to the buyer, where the corresponding data is
registered in a smart contract that is stored on the blockchain, which can be used to
facilitate reversal of the transfer of ownership of the NFT if desired, as discussed in 15
more detail below in the process illustrated in FIG. 4.
Process for Refund and Reversal of Ownership Transfer of a Non-Fungible Token
FIG. 4 illustrates a process for the automatic refunding of a traditional
payment transaction and reversal of the transfer of ownership of an NFT in the system
100, such as transferred using the process illustrated in FIGS. 3A and 3B, as discussed 20
above.
In step 402, the buyer device 106 (e.g., or seller device 104, as desired)
can electronically transmit a request for the refund of a payment transaction and
reversal of transfer of ownership of an NFT to the processing server 102 using a
suitable communication network and method. The refund request can include at least 25
the transaction identifier associated with the payment transaction for the transfer of a
specified amount of fiat currency from the buyer to the seller. In step 404, the
receiving device 202 of the processing server 102 can receive the refund request. In
step 406, the processing server 102 can initiate the processing of a refund of the
payment transaction. In cases where the processing server 102 initiated the payment 30
transaction directly, the processing server 102 can generate (e.g., via the generation
module 218) an appropriate transaction message that is submitted to the payment
network 112 using associated payment rails that includes the transaction identifier. In
22
other cases, the processing server 102 can submit the transaction identifier to the
payment service to facilitate the transfer of back to the buyer’s transaction account
from the seller’s transaction account using a suitable method. In some embodiments,
the processing server 102 can perform a dispute resolution process to determine if the
refund should be approved, where step 406 can be initiated only following the 5
approval of the refund request as a result of the dispute resolution process.
In step 408, the transmitting device 222 of the processing server 102
can submit the transaction identifier as input into the smart contract associated with
the transfer of ownership of the NFT, which can be identified using the transaction
identifier that is stored in the blockchain associated with the blockchain network 108. 10
In step 410, a blockchain node 110 in the blockchain network 108 can receive the
transaction identifier, which, in step 412, can be submitted as input into the smart
contract for execution thereby. As an alternative, in step 412, the smart contract can
initiate the above mention dispute resolution and await its result before the posting a
reversal transaction. Execution of the smart contract can include the generation of a 15
new blockchain transaction for transfer of ownership of an NFT, identified via the
token identifier stored in the smart contract associated with the transaction identifier
that is submitted to the blockchain node 110. In step 414, the blockchain node 110
can generate a new block that includes the new blockchain transaction, and have the
new block confirmed and added to the blockchain. In step 416, the blockchain node 20
110 can transmit a notification message to the processing server 102 that indicates
that the new transfer of ownership back to the seller device 104 was successfully
added to the blockchain.
In step 418, the receiving device 202 of the processing server 102 can
receive the notification message from the blockchain node 110. In step 420, the 25
generation module 218 of the processing server 102 can generate a new notification
message that indicates that the payment transaction was refunded and ownership of
the NFT transferred back to the seller device 104, which can be transmitted by the
transmitting device 222 of the processing server 102 to the buyer device 106. In step
422, the buyer device 106 can receive the notification message, which can be 30
presented to the user thereof and/or forwarded on to the seller device 104 to inform
the seller of the refund and reversal as well.
The result of the process illustrated in FIG. 4 and discussed above is
the automated refund of the fiat currency payment transaction back to the buyer and
23
automated reversal of the transfer of ownership of the NFT back to the seller in a
manner that is guaranteed without the opportunity for fraud, which can be initiated via
a single message submitted by the buyer device 106 or seller device 104 and
accomplished via use of the processing server 102 and a specially configured smart
contract. 5
Exemplary Method for Enabling Refund of a Non-Fungible Token
FIG. 5 illustrates a method 500 for the automated refunding of a nonfungible token (NFT) to revert ownership and the refund of a corresponding payment
transaction via use of a processing server and smart contract.
In step 502, a transaction message for a payment transaction can be 10
received by a receiver (e.g., receiving device 202) of a processing server (e.g.,
processing server 102. In step 504, the payment transaction can be processed by a
processor of the processing server using at least the transaction message, where
processing includes identification of a transaction identifier for the payment
transaction. In step 506, the transaction identifier can be transmitted by a transmitter 15
(e.g., transmitting device 222) of the processing server to a first computing device
(e.g., seller device 104, buyer device 106, blockchain node 110, etc.).
In step 508, a notification message can be received by the receiver of
the processing server that includes at least the transaction identifier and a token
identifier, where the token identifier is associated with the NFT. In step 510, a refund 20
request message can be received by the receiver of the processing server from a
second computing device (e.g., seller device 104, buyer device 106, etc.) where the
refund request message includes at least one of: the transaction identifier and the
token identifier. In step 512, a refund transaction for the payment transaction can be
processed by the processor of the processing server. In step 514, at least the 25
transaction identifier can be submitted by the transmitter of the processing server as
input into a smart contract stored in a blockchain associated with the NFT.
In one embodiment, the transaction message can be an authorization
request formatted according to one or more standards, and the payment transaction
can be for payment from a first transaction account to a second transaction account 30
using a fiat currency. In some embodiments, the transaction message can be a data
message for a blockchain transaction, and the payment transaction can be processed
using one or more blockchain nodes (e.g., blockchain nodes 110) in a blockchain
24
network (e.g., blockchain network 108). In a further embodiment, the blockchain
transaction can be added to a second blockchain different from the blockchain
associated with the NFT.
In one embodiment, the smart contract can execute using the
transaction identifier as input to reverse a prior transfer of ownership of the NFT on 5
the blockchain associated with the NFT. In some embodiments, the smart contract
can include at least the transaction identifier, token identifier, buyer address, and
seller address. In one embodiment, the method 500 can further include: verifying, by
the processor (e.g., verification module 220) of the processing server, transfer of
ownership of the NFT after receiving the notification message, wherein verifying 10
transfer of ownership of the NFT includes identifying a block in the blockchain
associated with the NFT that includes a blockchain data entry including at least the
token identifier and the transaction identifier. In some embodiments, the transaction
identifier can be submitted into the smart contract as input in a function call included
in the smart contract. 15
Computer System Architecture
FIG. 6 illustrates a computer system 600 in which embodiments of the
present disclosure, or portions thereof, can be implemented as computer-readable
code. For example, the processing server 102 of FIGS. 1 and 2 can be implemented
in the computer system 600 using hardware, non-transitory computer readable media 20
having instructions stored thereon, or a combination thereof and can be implemented
in one or more computer systems or other processing systems. Hardware can embody
modules and components used to implement the methods of FIGS. 3A, 3B, 4, and 5.
If programmable logic is used, such logic can execute on a
commercially available processing platform configured by executable software code 25
to become a specific purpose computer or a special purpose device (e.g.,
programmable logic array, application-specific integrated circuit, etc.). A person
having ordinary skill in the art can appreciate that embodiments of the disclosed
subject matter can be practiced with various computer system configurations,
including multi-core multiprocessor systems, minicomputers, mainframe computers, 30
computers linked or clustered with distributed functions, as well as pervasive or
miniature computers that can be embedded into virtually any device. For instance, at
25
least one processor device and a memory can be used to implement the above
described embodiments.
A processor unit or device as discussed herein can be a single
processor, a plurality of processors, or combinations thereof. Processor devices can
have one or more processor “cores.” The terms “computer program medium,” “non-5
transitory computer readable medium,” and “computer usable medium” as discussed
herein are used to generally refer to tangible media such as a removable storage unit
618, a removable storage unit 622, and a hard disk installed in hard disk drive 612.
Various embodiments of the present disclosure are described in terms
of this example computer system 600. After reading this description, it will become 10
apparent to a person skilled in the relevant art how to implement the present
disclosure using other computer systems and/or computer architectures. Although
operations can be described as a sequential process, some of the operations can in fact
be performed in parallel, concurrently, and/or in a distributed environment, and with
program code stored locally or remotely for access by single or multi-processor 15
machines. In addition, in some embodiments the order of operations can be
rearranged without departing from the spirit of the disclosed subject matter.
Processor device 604 can be a special purpose or a general-purpose
processor device specifically configured to perform the functions discussed herein.
The processor device 604 can be connected to a communications infrastructure 606, 20
such as a bus, message queue, network, multi-core message-passing scheme, etc. The
network can be any network suitable for performing the functions as disclosed herein
and can include a local area network (LAN), a wide area network (WAN), a wireless
network (e.g., WiFi), a mobile communication network, a satellite network, the
Internet, fiber optic, coaxial cable, infrared, radio frequency (RF), or any combination 25
thereof. Other suitable network types and configurations will be apparent to persons
having skill in the relevant art. The computer system 600 can also include a main
memory 608 (e.g., random access memory, read-only memory, etc.), and can also
include a secondary memory 610. The secondary memory 610 can include the hard
disk drive 612 and a removable storage drive 614, such as a floppy disk drive, a 30
magnetic tape drive, an optical disk drive, a flash memory, etc.
The removable storage drive 614 can read from and/or write to the
removable storage unit 618 in a well-known manner. The removable storage unit 618
can include a removable storage media that can be read by and written to by the
26
removable storage drive 614. For example, if the removable storage drive 614 is a
floppy disk drive or universal serial bus port, the removable storage unit 618 can be a
floppy disk or portable flash drive, respectively. In one embodiment, the removable
storage unit 618 can be non-transitory computer readable recording media.
In some embodiments, the secondary memory 610 can include 5
alternative means for allowing computer programs or other instructions to be loaded
into the computer system 600, for example, the removable storage unit 622 and an
interface 620. Examples of such means can include a program cartridge and cartridge
interface (e.g., as found in video game systems), a removable memory chip (e.g.,
EEPROM, PROM, etc.) and associated socket, and other removable storage units 622 10
and interfaces 620 as will be apparent to persons having skill in the relevant art.
Data stored in the computer system 600 (e.g., in the main memory 608
and/or the secondary memory 610) can be stored on any type of suitable computer
readable media, such as optical storage (e.g., a compact disc, digital versatile disc,
Blu-ray disc, etc.) or magnetic tape storage (e.g., a hard disk drive). The data can be 15
configured in any type of suitable database configuration, such as a relational
database, a structured query language (SQL) database, a distributed database, an
object database, etc. Suitable configurations and storage types will be apparent to
persons having skill in the relevant art.
The computer system 600 can also include a communications interface 20
624. The communications interface 624 can be configured to allow software and data
to be transferred between the computer system 600 and external devices. Exemplary
communications interfaces 624 can include a modem, a network interface (e.g., an
Ethernet card), a communications port, a PCMCIA slot and card, etc. Software and
data transferred via the communications interface 624 can be in the form of signals, 25
which can be electronic, electromagnetic, optical, or other signals as will be apparent
to persons having skill in the relevant art. The signals can travel via a
communications path 626, which can be configured to carry the signals and can be
implemented using wire, cable, fiber optics, a phone line, a cellular phone link, a
radio frequency link, etc. 30
The computer system 600 can further include a display interface 602.
The display interface 602 can be configured to allow data to be transferred between
the computer system 600 and external display 630. Exemplary display interfaces 602
can include high-definition multimedia interface (HDMI), digital visual interface
27
(DVI), video graphics array (VGA), etc. The display 630 can be any suitable type of
display for displaying data transmitted via the display interface 602 of the computer
system 600, including a cathode ray tube (CRT) display, liquid crystal display (LCD),
light-emitting diode (LED) display, capacitive touch display, thin-film transistor
(TFT) display, etc. 5
Computer program medium and computer usable medium can refer to
memories, such as the main memory 608 and secondary memory 610, which can be
memory semiconductors (e.g., DRAMs, etc.). These computer program products can
be means for providing software to the computer system 600. Computer programs
(e.g., computer control logic) can be stored in the main memory 608 and/or the 10
secondary memory 610. Computer programs can also be received via the
communications interface 624. Such computer programs, when executed, can enable
computer system 600 to implement the present methods as discussed herein. In
particular, the computer programs, when executed, can enable processor device 604 to
implement the methods illustrated by FIGS. 3A, 3B, 4, and 5, as discussed herein. 15
Accordingly, such computer programs can represent controllers of the computer
system 600. Where the present disclosure is implemented using software, the
software can be stored in a computer program product and loaded into the computer
system 600 using the removable storage drive 614, interface 620, and hard disk drive
612, or communications interface 624. 20
The processor device 604 can comprise one or more modules or
engines configured to perform the functions of the computer system 600. Each of the
modules or engines can be implemented using hardware and, in some instances, can
also utilize software, such as corresponding to program code and/or programs stored
in the main memory 608 or secondary memory 610. In such instances, program code 25
can be compiled by the processor device 604 (e.g., by a compiling module or engine)
prior to execution by the hardware of the computer system 600. For example, the
program code can be source code written in a programming language that is translated
into a lower level language, such as assembly language or machine code, for
execution by the processor device 604 and/or any additional hardware components of 30
the computer system 600. The process of compiling can include the use of lexical
analysis, preprocessing, parsing, semantic analysis, syntax-directed translation, code
generation, code optimization, and any other techniques that can be suitable for
translation of program code into a lower level language suitable for controlling the
28
computer system 600 to perform the functions disclosed herein. It will be apparent to
persons having skill in the relevant art that such processes result in the computer
system 600 being a specially configured computer system 600 uniquely programmed
to perform the functions discussed above.
Techniques consistent with the present disclosure provide, among 5
other features, systems and methods for enabling refund of a non-fungible token.
While various exemplary embodiments of the disclosed system and method have been
described above it should be understood that they have been presented for purposes of
example only, not limitations. It is not exhaustive and does not limit the disclosure to
the precise form disclosed. Modifications and variations are possible in light of the 10
above teachings or can be acquired from practicing of the disclosure, without
departing from the breadth or scope.
29
We claim:
1. A method for enabling refund of a non-fungible token (NFT),
comprising:
receiving, by a receiver of a processing server, a transaction message for a
payment transaction; 5
processing, by a processor of the processing server, the payment transaction
using at least the transaction message, where processing includes identification of a
transaction identifier for the payment transaction;
transmitting, by a transmitter of the processing server, the transaction
identifier to a first computing device; 10
receiving, by the receiver of the processing server, a notification message
including at least the transaction identifier and a token identifier, where the token
identifier is associated with the NFT;
receiving, by the receiver of the processing server, a refund request message
from a second computing device, where the refund request message includes at least 15
one of: the transaction identifier and the token identifier;
processing, by the processor of the processing server, a refund transaction for
the payment transaction; and
submitting, by the transmitter of the processing server, at least the transaction
identifier as input into a smart contract stored in a blockchain associated with the 20
NFT.
2. The method of claim 1, wherein
the transaction message is an authorization request formatted according to one
or more standards; and
the payment transaction is for payment from a first transaction account to a 25
second transaction account using a fiat currency.
3. The method of claim 1, wherein
the transaction message is a data message for a blockchain transaction; and
the payment transaction is processed using one or more blockchain nodes in a 30
blockchain network.
30
4. The method of claim 3, wherein the blockchain transaction is added to
a second blockchain different from the blockchain associated with the NFT.
5. The method of claim 1, wherein the smart contract executes using the
transaction identifier as input to reverse a prior transfer of ownership of the NFT on 5
the blockchain associated with the NFT.
6. The method of claim 1, wherein the smart contract includes at least the
transaction identifier, token identifier, buyer address, and seller address.
10
7. The method of claim 1, further comprising:
verifying, by the processor of the processing server, transfer of ownership of
the NFT after receiving the notification message, wherein verifying transfer of
ownership of the NFT includes identifying a block in the blockchain associated with
the NFT that includes a blockchain data entry including at least the token identifier 15
and the transaction identifier.
8. The method of claim 1, wherein the transaction identifier is submitted
into the smart contract as input in a function call included in the smart contract.
20
9. A system for enabling refund of a non-fungible token (NFT),
comprising:
a first computing device;
a second computing device;
a blockchain associated with the NFT; and 25
a processing server, the processing server including
a receiver receiving a transaction message for a payment transaction,
a processor processing the payment transaction using at least the
transaction message, where processing includes identification of a transaction
identifier for the payment transaction, and 30
a transmitter transmitting, the transaction identifier to the first
computing device, wherein
the receiver of the processing server further receives
31
a notification message including at least the transaction
identifier and a token identifier, where the token identifier is associated with the NFT,
and
a refund request message from the second computing device,
where the refund request message includes at least one of: the transaction identifier 5
and the token identifier,
the processor of the processing server further processes a
refund transaction for the payment transaction, and
the transmitter of the processing server further submits at least
the transaction identifier as input into a smart contract stored in the blockchain 10
associated with the NFT.
10. The system of claim 9, wherein
the transaction message is an authorization request formatted according to one
or more standards; and 15
the payment transaction is for payment from a first transaction account to a
second transaction account using a fiat currency.
11. The system of claim 9, wherein
the transaction message is a data message for a blockchain transaction; and 20
the payment transaction is processed using one or more blockchain nodes in a
blockchain network.
12. The system of claim 11, wherein the blockchain transaction is added to
a second blockchain different from the blockchain associated with the NFT. 25
13. The system of claim 9, wherein the smart contract executes using the
transaction identifier as input to reverse a prior transfer of ownership of the NFT on
the blockchain associated with the NFT.
30
14. The system of claim 9, wherein the smart contract includes at least the
transaction identifier, token identifier, buyer address, and seller address.
15. The system of claim 9, wherein
32
the processor of the processing server further verifies transfer of ownership of
the NFT after receiving the notification message, and
verifying transfer of ownership of the NFT includes identifying a block in the
blockchain associated with the NFT that includes a blockchain data entry including at
least the token identifier and the transaction identifier. 5
16. The system of claim 9, wherein the transaction identifier is submitted
into the smart contract as input in a function call included in the smart contract