The United States Patent and Trade Office (USPTO) has published a patent filed by Visa for a blockchain-based ‘digital asset network’.
The announcement follows the company making public its partnership with blockchain enterprise in October 2016. The two companies have been developing a fast and secure way to process global B2B payments.
The Visa B2B Connect platform is slated for a 2017 release, which seems to demonstrate a connection between it and the digital asset network patent.
The patent explains what Visa wants to do:
“A method and system are provided for transferring digital assets in a digital asset network. Network users can be centrally enrolled and screened for compliance. Standardized transfer processes and unique identifiers can provide a transparent and direct transfer process. Digital assets can include sufficient information for ensuring that a value will be provided, including one or more digital signatures, such that value can be made immediately available to recipients.”
The main issue that Visa is trying to solve with the digital asset network is that of having to use third-party payment of transfer providers. Relying on third party can create uncertainty in the system which adds delays and extra steps into the transactional process.
Since most financial institutions have a limited number of correspondent bank relationships, there is often no correspondent bank relationship between the sender and the receiver in international wires. With each additional unrelated party involved in international transactions, adds more cost and complexity to the process.
The Visa planned B2B digital asset network can be a solution to this problem. The platform will use blockchain technology to facilitate the transfer of digital assets between clients. These transfers can be used to make payments, or for a range of other activities, such as providing access rights.
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