System and method for providing cryptographically secure digital assets

Abstract

This invention provides encrypted digital assets for footwear items, a method for manufacturing / using such encrypted digital assets, and a decentralized computing system having blockchain control logic for mining, mixing, and exchanging blockchain-enabled digital shoes. One method of supplying digital assets includes receiving, from a first party to a second party, a transaction confirmation of a completed transaction indicating a footwear item or a digital file representing it, and transmitting encrypted blocks to a distributed blockchain ledger to record the transfer of the encrypted digital assets to the second party.

Description

[0001] Cross-references to related applications

[0002] This application claims priority to U.S. Application No. 16 / 423,671, expected to be published on December 10, 2019 as US 10,505,726, and claims priority to U.S. Provisional Patent No. 62 / 776,699, filed on December 7, 2018. Both references are incorporated herein by reference in their entirety. Technical Field

[0003] This disclosure generally relates to a computerized system and method for creating and distributing cryptographically secure digital footwear and apparel, as well as a decentralized computing system and blockchain control logic for providing the system and method. Background Technology

[0004] For a long time, high-quality footwear manufacturers have been plagued by the sale of counterfeit footwear—imitated goods designed to deceive buyers into believing they are purchasing genuine products from the real manufacturer. A similar problem exists in the digital realm, where digital products are frequently sold and copied without authorization. Such unauthorized / counterfeit products and / or digital copies erode brand value and / or exclusivity, negatively impacting a company's profitability and potentially damaging users' subjective perception of a product as "collectible."

[0005] In free markets, market participants and brand enthusiasts often assign higher value to an object when supply is limited and / or demand is excessive. While these realities are evident in the real world (especially for an avid collector), similar market realities exist in the digital realm.

[0006] In the physical world, numerous anti-counterfeiting technologies have been developed to help identify counterfeit goods and prevent illicit sales. Unfortunately, in the digital realm, supply is often unrestrained—if not supplied by the original developer, then by subsequent parties who may freely (or illegally) copy the entire digital object. This often complicates the brand owner's ability to control the exclusivity of a digital object and / or influence its value. The lack of control over the exclusivity of a digital object, in turn, erodes the opportunity for product enthusiasts and collectors seeking that object to engage in free brand promotion (as often happens when "sneakerheads" release limited-edition sneakers).

[0007] With the proliferation of first- and third-person video games featuring customizable skins, clothing, and gear, there is an opportunity to engage and influence users in the digital realm through collectible objects, allowing them to become more involved with brands in the physical world. Similarly, retailers need to have a more direct influence and / or control over the nature and ultimate supply of digital objects in this virtual marketplace. Summary of the Invention

[0008] This presents cryptographic digital assets for footwear and apparel, methods for supplying and blending these cryptographic digital assets, and a decentralized computing system with accompanying blockchain control logic for mining, blending, and exchanging blockchain-enabled digital footwear and apparel. More specifically, the technology described here relies on the trust established within blockchain technology to enable companies to control the creation, distribution, representation, and use of digital objects representing their brands. Unlike typical digital assets, which can be freely copied without loss of content or quality, the use of blockchain technology for the discrete recording of ownership eliminates the ability to simply digitally copy digital objects. In doing so, companies have the ability to control or limit the overall supply of digital objects (or object characteristics) and, if needed, create controlled scarcity.

[0009] This disclosure envisions that, in some examples, a digital object may represent: a physical object provided for retail use; a 2D or 3D design rendering or design file that may be suitable for future production; a virtual representation of an object that is not currently intended for physical creation / production; or other such objects.

[0010] To further promote brand engagement and the use of digital objects, in some embodiments, the visual representation of the displayed digital object can be altered through user use of the object, user use of the associated retail product or application, or other such metrics of object / brand engagement. In some embodiments, the attributes of the digital object and / or its visual representation can influence the behavior of the object or a user's controlled character within a video game environment.

[0011] As an example, and not a limitation, this paper presents cryptographic digital assets provided by a blockchain ledger of transaction blocks and functions, used in part to link real-world products (such as physical shoes) to virtual collectibles (such as digital shoes). When a consumer purchases a pair of real shoes—colloquially known as "kicks"—a digital representation of the shoe can be generated, linked to the consumer, and a cryptographic token can be assigned, whereby the digital shoe and the cryptographic token together represent "CryptoKick". The digital representation can include a computer-generated avatar of the shoe or a limited-edition artist reproduction of the shoe. The digital asset can be protected by a cryptographically protected block containing hash pointers, transaction timestamps, and transaction data that serve as links to relevant blocks in a decentralized blockchain. Using digital assets, buyers can securely trade or sell a physical pair of shoes, trade or sell digital shoes, store digital shoes in cryptocurrency wallets or other digital blockchain lockers, mix or "breed" digital shoes with another digital shoe to create "shoe offspring," and customize the newly bred shoe offspring into a new physical pair of shoes based on rules of acceptable shoe manufacturability.

[0012] In some embodiments, purchasing a real, tangible pair of shoes can enable or “unlock” the corresponding cryptographic digital asset and the digital shoe associated with that digital asset. For example, when a person purchases a pair of real-world shoes from a registered seller, the unique (e.g., 10-digit) physical shoe identification (ID) code can be linked to the buyer's unique (e.g., 42-digit alphanumeric) owner ID code. Accompanyingly, an access hint with a unique (e.g., 64-digit) key is issued to the cryptocurrency wallet account associated with the owner ID code, allowing the purchaser to retrieve the digital shoe with a cryptographic token; the key, token, and digital shoe are assigned to the owner ID code. For example, a first Ethereum Request for Comments (ERC) 721 or ERC1155 token can be granted to authenticate and trade the physical shoe, and a second ERC721 / ERC1155 token can be granted to access, breed, and trade the digital shoe. For at least some implementations, real-world environmental effects, such as the specific type of use of the physical shoe, may influence the digital representation of the shoe. Corresponding cryptographic tokens can be assigned to physical shoes and cryptographic digital assets; alternatively, a single cryptographic token can be assigned to both physical shoes and cryptographic digital assets.

[0013] In some embodiments, digital assets may include genotypic and / or phenotypic information of digital shoes. This genotypic / phenotypic data may represent certain traits, attributes, colors, styles, backgrounds, etc., of the digital asset and can be coordinated according to “breeding rules” governing any mixing of digital shoes with one or more other discrete digital shoes. Phenotypic traits may depend on genotypic information and vice versa, and on any or more of the following: the virtual environment and accompanying effects; time-dependent mixing constraints (e.g., virtual shoe offspring cannot be bred until both reach a pre-set maturity); virtual user interactions that alter (e.g., speed up or slow down) maturity or increase / decrease the likelihood of developing certain traits; real-world user interactions (e.g., running increases the number of good / desired qualities, increases the maturation rate of virtual offspring, etc.); shoe cloning, and allows the owner to set the total number of clones that can be generated from the desired offspring for real-world production. Some optional features may also include: surrogacy functionality for breeding programs between two or more discrete digital shoes; childcare / nanny functionality provided by a third-party entity that does not own the digital shoes; behavioral and animation features designed to make the digital shoes look more like the real thing (e.g., personality that changes over time); the “breeding rights” of the digital shoes may be managed through one or more real-world manufacturing restrictions; and ownership of each successive generation of digital shoes may be associated with the original, real-world shoes via an encryption key of the original associated virtual product (e.g., all or part; percentage of genotype contribution, etc.).

[0014] This disclosure relates to methods for supplying, mixing, and / or exchanging encrypted digital assets for footwear. In one example, a method for automatically generating encrypted digital assets associated with footwear items is proposed. This representative approach includes, in any order and in any combination with any of the features and options disclosed above or below: receiving transaction confirmations from remote computing nodes (e.g., point-of-sale (POS) terminals, personal computers, smartphones, etc.) via a server-class (middleware or backend) computer through a distributed computing network, indicating a valid transfer of physical footwear from a first party to a second party; determining a unique owner ID code (e.g., a member ID of a cryptocurrency wallet or digital locker) associated with the second party from an encrypted relational database via a middleware server computer; generating a cryptographic digital asset associated with the footwear item, the cryptographic digital asset including a digital shoe (e.g., a computer-generated avatar) and a unique digital shoe ID code (e.g., a key and a cryptographic token); linking the cryptographic digital asset with the unique owner ID code via the middleware server computer; and transmitting the unique digital shoe ID code and unique owner ID code used for recording on transaction blocks to a distributed blockchain ledger (e.g., Bitcoin, Ethereum, Litecoin, etc.) via the middleware server computer.

[0015] Other aspects of this disclosure relate to blockchain control logic with an accompanying decentralized computing system for mining, mixing, and exchanging blockchain-enabled digital shoes. As an example, a decentralized computing system for automatically generating cryptographic digital assets associated with footwear items is proposed. This decentralized computing system includes a wireless communication device connected to one or more remote computing nodes via a distributed computing network, and a cryptographic digital asset registry storing digital shoes and unique digital shoe ID codes associated with multiple cryptographic digital assets. Other peripheral hardware may include a network interface bus, resident and / or remote storage, user location tracking devices, UPC / UPID scanners, etc.

[0016] Continuing the example above, the distributed computing system also includes server-class (middleware or backend) computers operatively connected to wireless communication devices and a cryptographic digital asset registry. The middleware server computer is programmed to execute firmware and software stored in memory to receive electronic transaction confirmations from remote computing nodes via a distributed computing network, indicating a valid transfer of certified footwear from one party to another. In response to the receipt of the transaction confirmation, the server-level computer retrieves the transferee's unique owner ID code from an encrypted relational database and generates a cryptographic digital asset associated with the footwear item. The cryptographic digital asset includes a computer-generated digital shoe provided with a unique tokenized code having a corresponding access key. The server-level computer then links the cryptographic digital asset to the unique owner ID code in the cryptographic digital asset registry and transmits the unique digital shoe ID code and the unique owner ID code to a distributed blockchain ledger for recording on a transaction block.

[0017] For any publicly disclosed system, method, digital asset, and footwear, a unique digital shoe ID code may include a cryptographic token key with a code string segmented into a series of code subsets. The first code subset may include data indicating the attributes of the digital shoe. This attribute data may include genotypic and phenotypic data of the digital shoe. The second code subset may include data indicating attributes of real-world footwear items, such as color schemes, materials, manufacturing processes, branding, sustainability / eco-responsibility, and / or modeling data for the footwear item.

[0018] For any publicly disclosed system, method, digital asset, and footwear, a server-level decentralized system computer can respond to a transaction confirmation by sending an electronic notification to a second party containing information for accessing the encrypted digital asset. The server-level computer can then receive a scan confirmation from the second party's handheld personal computing device, verifying that the Universal Product Code (UPC) and / or Unique Product Identifier Number (UPIN) corresponding to the shoe's brand and model have been scanned. In response to receiving the scan confirmation, linking the encrypted digital asset to a unique owner ID code can be performed. In some applications, the unique digital shoe ID code may include a cryptographic token, and the digital notification sent to the second party may include a unique key with a hash address of the cryptographic token.

[0019] For any publicly disclosed system, method, digital asset, and footwear, a server-level computer can receive a digital propagation request (from any participating party) requesting the mixing of cryptographic digital assets with third-party cryptographic digital assets. Upon receiving this request, the server-level computer can responsively generate a child cryptographic digital asset having a combination of one or more features from the second-party cryptographic digital asset and one or more features from the third-party cryptographic digital asset. For example, each cryptographic digital asset can be assigned a corresponding unique cryptographic token key with a code string segmented into a series of code subsets. One or more of these code subsets may include data indicating the attributes of the corresponding digital footwear. The child cryptographic digital asset is provided with a code string via a distinct cryptographic token key, which consists of one or more code subsets having attribute data extracted from the cryptographic token key of the second-party digital asset and one or more code subsets having attribute data extracted from the cryptographic token key of the third-party digital asset. For example, one code subset of the child digital asset may share a unique alphanumeric sequence with the code subset of the second-party digital asset, while another code subset of the child digital asset may share a unique alphanumeric sequence with the code subset of the third-party digital asset. Generating offspring cryptographic assets may involve applying a random number generator to: designate one of the paired cryptographic assets as the parent, designate the other paired cryptographic asset as the mother, and determine which subsets of code in the offspring will correspond to which subsets of code in the parent and which subsets of code in the mother.

[0020] For any of the disclosed systems, methods, digital assets, and footwear, a server-level computer can receive a digital transfer proposal (from a transferor or transferee) requesting the transfer of a crypto-digital asset to a third party. The server-level computer can respond by determining a new unique owner ID code for the third party, linking the crypto-digital asset to that new unique owner ID code, and recording the transfer from the unique digital shoe ID code to the new unique owner ID code on a new transaction block with a distributed blockchain ledger. The digital transfer proposal can be transmitted in response to confirmation indicating a new valid transfer of the footwear item from a second party to a third party. Alternatively, the transfer of the crypto-digital asset to a third party can be independent of the physical transfer of the footwear. Optionally, the server-level computer can generate a smart contract that authenticates ownership of the crypto-digital asset and / or tracks future transactions of the crypto-digital asset. The unique owner ID code may be associated with a cryptocurrency wallet registered in a distributed blockchain ledger.

[0021] The foregoing summary is not intended to represent every embodiment or aspect of this disclosure. Rather, the foregoing summary provides only examples of some novel concepts and features set forth herein. The foregoing features and advantages, as well as other features and accompanying advantages, will become apparent when taken in conjunction with the accompanying drawings and the appended claims from the following detailed description of examples and representative modes for carrying out the invention. Furthermore, this disclosure expressly includes any and all combinations and sub-combinations of the elements and features presented above and below. Attached Figure Description

[0022] Figure 1 The image is a side view of a representative footwear item based on various aspects of this disclosure, which has a collectible digital asset protected by a cryptographic token provided via a blockchain ledger.

[0023] Figure 2 This is a schematic diagram of a representative decentralized computing system for mining, mixing, and exchanging encrypted digital assets, based on various aspects of this disclosure.

[0024] Figure 3 This is a schematic diagram of the functional architecture of a decentralized computing system for mining, mixing, and exchanging encrypted digital assets, based on various aspects of this disclosure.

[0025] Figure 4 This is a flowchart illustrating a representative workflow algorithm for generating collectible digital shoes protected by cryptographic tokens on a blockchain ledger, based on various aspects of the disclosed concepts. This algorithm may correspond to instructions stored in memory that are executed by control logic circuits, programmable electronic control units, or other computer-based devices or networks of devices.

[0026] Figure 5It is an illustration of a typical graphical user interface for a personal computing device, depicting a library with multiple encrypted digital assets.

[0027] Figure 6 It is an illustration of a typical graphical user interface for a personal computing device, depicting a collaborative or reproductive event between two encrypted digital assets.

[0028] Figure 7 This is a schematic diagram illustrating the functionality of acquiring encrypted digital assets through linked retail products.

[0029] Figure 8 This is a schematic diagram illustrating the function of obtaining encrypted digital assets through promotional gifts during the event.

[0030] Figure 9 This is an illustration of a representative graphical user interface (GUI) for personal computing devices, demonstrating the use of genotypic and phenotypic characteristics of encrypted digital assets in video games.

[0031] Figure 10 It is a functional illustration of a representative graphical user interface of a personal computing device operating on a distributed computing system according to various aspects of this disclosure, for providing virtual user interaction that alters the genotypic and phenotypic characteristics of encrypted digital assets.

[0032] Figure 11 It is a feature graph of multiple users participating in a collaborative experience, such as participating in a digital collectible card game.

[0033] This disclosure is adaptable to various modifications and alternatives, and some representative embodiments have been illustrated by way of example in the accompanying drawings and will be described in detail herein. However, it should be understood that the novel aspects of this disclosure are not limited to the specific forms shown in the drawings listed above. Rather, this disclosure is intended to cover all modifications, equivalents, combinations, subcombinations, substitutions, groupings, and alternatives that fall within the scope of this disclosure as covered by the appended claims. Detailed Implementation

[0034] This disclosure is readily practicable in many different forms. Representative examples of this disclosure are shown in the accompanying drawings and will be described in detail herein. It should be understood that these representative examples are provided as exemplary illustrations of the principles of the disclosure and not as limitations on the broad aspects of this disclosure. In this regard, elements and limitations described in the abstract, technical field, background, summary, and detailed description sections but not expressly set forth in the claims should not be incorporated into the claims, individually or collectively, by implication, inference, or otherwise.

[0035] For the purposes of this detailed description, unless otherwise stated: the singular includes the plural, and vice versa; the words “and” and “or” shall be both conjunctions and antonymous conjunctions; the words “any” and “all” shall mean “any and all”; and “including,” “contains,” and “have” shall each mean “including but not limited to.” Furthermore, approximate words such as “approximately,” “almost,” “substantially,” “roughly,” etc., may be used herein in the sense of “near,” “within 0-5%,” or “within acceptable manufacturing tolerances,” or any logical combination thereof. Finally, directional adjectives and adverbs, such as before, after, inside, outside, proximal, distal, vertical, horizontal, front, back, left, right, etc., may, for example, relate to footwear articles worn on a user’s foot and operatively oriented such that the ground joint portion of the sole structure lies on a flat surface.

[0036] This disclosure relates to computer-generated digital / virtual collectibles, such as digital shoes (e.g., "CryptoKicks"), in some cases where the digital asset may be protected and / or uniquely identified by a cryptographic token and may be linked to and / or distributed with a real-world physical product, such as a physical shoe. In other embodiments, instead of being linked to or distributed with a real-world physical product, the digital asset may be linked to or distributed with 2D or 3D design files, such as computer-aided design models, graphic renderings, images, or drawing packages from which a physical product may be constructed or otherwise represented.

[0037] In some embodiments, companies can use various digital assets to understand consumer trends and preferences in real time. For example, a company can create multiple product-ready designs with different features, outlines, colors, etc., and distribute them as digital assets across one or more digital platforms. It can then monitor the popularity, value, demand, and / or virtual usage of different product designs and / or features. By doing so, companies can gain valuable insights into real-time product demand, which can help determine design priorities for future manufacturing.

[0038] In some embodiments, digital assets or attribute modifiers can be created for brand promotion purposes. For example, digital shoes can be created in preset and / or controlled limited quantities and distributed as part of promotions, events, moments, or competitions. Spectators of professional sporting events (e.g., home openers) can be granted the right to acquire one of a limited quantity of unique digital assets, each individually protected by its own cryptographic token.

[0039] As used herein, “crypto-digital asset” or simply “digital asset” can refer to any computer-generated virtual object, including digital footwear, apparel, helmets, avatars, pets, etc., that has a unique, non-fungible tokenized code (“token”) registered on a blockchain platform and verified by that platform or otherwise registered in an immutable database. Furthermore, all references to “CryptoKicks” and variations thereof in this disclosure should be understood as examples of virtual collectibles backed by unique, non-fungible tokens or registry entries in an immutable database. It should not be limited to footwear. All such references should be understood to equally apply to apparel (such as “CryptoThreads”), helmets (such as “CryptoLids”), sports equipment (such as “CryptoGear”), or other such objects.

[0040] In some embodiments, a virtual object may have multiple attributes (i.e., phenotypic traits) that are at least partially derived from an encrypted alphanumeric string that can be associated with an encrypted token. In this sense, the alphanumeric string may be analogous to the genetic code of a virtual object. (i.e., genotypic information is the underlying code / code segment, while phenotypic traits are the expression of genotypic information). While phenotypic traits may depend on the encoded genotypic information, in some embodiments they may also depend on any one or more of the following: the virtual environment (e.g., virtual registration, situation-specific standards, etc.); time-dependent reproduction (e.g., users are restricted to reproducing virtual shoe offspring until they reach a preset maturity level); virtual user interactions that may accelerate or slow maturation or increase / decrease the likelihood of certain trait development; real-world user activity (e.g., a user's level of physical activity may increase one or more "desired" qualities; daily use of related goods may accelerate the maturation of virtual offspring, etc.); and cloning limits set by manufacturers, points of sale, owners, etc. (e.g., a preset maximum number of clones that can be generated from ideal offspring used for real-world production).

[0041] In a footwear context, each unique token can be directly linked to a single CryptoKick object, which can be represented as a virtual replica or digital art version of the sneaker. In one embodiment, the token may include a 64-bit alphanumeric code divided into separate segments. One or more segments of the alphanumeric code can represent data indicating attributes of the collectable digital shoe. For example, a set of segments can provide digital shoe attributes such as style, material, series, popularity, color scheme, future attributes, brand, model, pattern scheme, image background, etc. Each subset of the code can typically serve as a genotype, generating a visual phenotypic expression for the user. In some embodiments, the initially created CryptoKick may include cryptographic token data representing attributes of the accompanying physical shoe. During the creation of the CryptoKick, smart contracts can be generated to authenticate ownership and track future transactions of the CryptoKick. Digital shoe attributes can also be linked to a bill of materials.

[0042] In a typical example, a pair of certified physical shoes is created and assigned a unique Product Identifier (UPID). When a consumer purchases the shoe, the UPID is used to unlock a cryptocurrency – “CryptoKick” – which consists of collectible digital shoes and unique, non-fungible tokens (NFTs) running on a blockchain-based distributed computing platform.

[0043] Generally, consumers may first be asked for the blockchain locker address (e.g., an Ethereum hardware wallet) before they can unlock or obtain the password. This blockchain locker can be used to store private keys to NFTs belonging to CryptoKick and, optionally, can be linked to an individual user account registered with the original manufacturer of the physical shoe (e.g., Account profile).

[0044] It's conceivable that there are several ways for users to unlock CryptoKick. As a first example, during the initial purchase of the shoes, when scanning the UPC or UPID directly associated with the product at a point-of-sale (POS) terminal, a unique cryptographic token and corresponding private key (“KickID”) are automatically generated and assigned to the user's blockchain locker (see [link to product details]). Figure 7In the second example, a KickID is provided to the user via a printed or digital receipt, a visual or electronic tag (RFID or NFC) hidden in the physical shoe, a pop-up message or email sent to the individual user's account, a push notification or text message sent to the smartphone, or some other record; the consumer uses the KickID to link CryptoKick to their digital blockchain locker. Another example might require users to assemble a KickID partly through a physical code or UPID associated with the shoe (on the box, hanging tag, under the label, insole, etc.) and partly through a transaction authentication code (i.e., to prevent consumers from collecting CryptoKicks simply by trying on a pair of shoes). Yet another example might require users to "search" for CryptoKicks in a physical store by using a camera "capture" or augmented reality ("AR") feature on a handheld personal computing device. For this approach, a KickID could be provided through a verified transaction; however, the user must find the hidden CryptoKick separately within the store or local area of ​​AR before the digital asset can be transferred to their locker (i.e., both the encryption key and the virtual object must be obtained separately before the transfer occurs). In this example, obtaining the encryption key allows the AR engine associated with the user's device to initiate a game where the CryptoKick / virtual object associated with that key is locally hidden and available for the user to locate.

[0045] In some cases, CryptoKick may not initially be associated with a physical product, but rather given to users as part of a brand promotion campaign, event, moment, or experience. In one example, for instance... Figure 8As generally illustrated, users of a sporting event might need to use the camera on their smartphone device to locate CryptoKick within the event area. In this embodiment, full GPS associated with the smartphone device can further limit optical recognition capabilities to a specific geofenced area. Once CryptoKick is located (e.g., virtually disguised in billboard advertisements), the user might be prompted to scan a unique code, such as the barcode on their event ticket. This two-part action can then transmit a token uniquely assigned to that ticket to the user's locker. After the event, the promotion organizer can retrieve any unclaimed KickIDs for use in future promotions. In other embodiments, the user can unlock their KickID upon receiving a digital design file or image. For example, in an online promotion, certain users can be selected (in an ordered or random manner) to receive images, design files, or graphic renderings. A predetermined number of "winning images" can be displayed and / or transmitted to the user's computing device for subsequent display, where each image is associated with a different and unique KickID, which can be used to facilitate the transfer of CryptoKick to a private locker associated with the user. In some embodiments, a "winning image" may represent a purchase or successful agreement to purchase a specific physical or digital object. In other embodiments, a "winning image" may simply be an image hidden or blocked within an online brand promotion page, requiring user interaction to unblock it.

[0046] Once acquired, owners can buy, sell, mix, collect, or trade CryptoKicks, for example, using physical currency, fiat currency, and / or digital currency. In some examples, entities may maintain digital online marketplaces and / or act as intermediaries for transactions between individuals, with the digital online marketplaces including an inventory of CryptoKicks for sale.

[0047] In one embodiment, two CryptoKicks can be bred or mixed (“Collab”) to create offspring CryptoKicks (“RVK” or “CollaboKick”). This CollaboKick will have a unique token and distinctive attributes compared to its parent CollaboKick. Collab can combine attribute data and / or genetic codes from the two tokens of the parents to generate a new NFT or KickID, which in turn provides a CollaboKick. In some implementations, there may be a pre-set limit on the total number of Collab events within a given time limit, for example, to help prevent the overproduction of CollaboKicks between the same two users. The creation of the genetic code for CollaboKick can be random, systematic, controlled, uncontrolled, or any combination thereof. For example, one or more subsets of codes can be based on controlled probabilities using Mendel's laws. For example, if the first attribute code (such as heat of formation) is represented by two genes (such as HH, Hh, or hh), then if a CollaboKick has two genes that are “hh” (a recessive trait), it is considered to have “high heat”. In other words, if the genotype data contained in the KickIDs of CryptoKick parents has Hh as their "hot gene," then the offspring CollaboKick will have a 25% chance of inheriting the hot gene, for example, using the Punnett squared method.

[0048] The option to execute a Collab event may require one or both owners to comply with one or more prerequisites. As an example, two owners of parent CryptoKicks might be required to meet at a specified location or within a predetermined proximity to each other to create a CryptoKicks. For instance, a user could use the “CryptoKick Collab” matching feature on a dedicated mobile software application (“APP”) to find another user for a Collab. Using the application, parties could set the time and place of the meeting, set conditions for the Collab, submit a formal request to the management middleware compute node, and so on. Another example could include a footwear manufacturer or third-party sponsor hosting a Collab event where CryptoKick owners meet at a specified location to Collaborate with each other within a specific timeframe.

[0049] In some embodiments, owners may be provided with some indication of the genetic traits of their CryptoKicks to facilitate more deliberate Collaboration events. In one example, a user might want a CryptoKick of a specific color from a particular model. The user might then search for CryptoKicks with that color's genetic code and attempt to Collaborate with it. To further understand the value of the traits, in some embodiments, users may be provided with: an indication of the rarity or total circulating supply of each trait that makes up their CryptoKick; and / or a rarity score indicating the overall exclusivity of their CryptoKick. In this way, if sold on a commercial market, a CryptoKick may have intrinsic value reflecting the rarity or exclusivity of its various traits.

[0050] A predefined set of blending rules can control whether and how a Collab is executed. For example, certain constraints might be imposed to maintain a broad style guide in CollaboKick. In one embodiment, these style constraints could be the same constraints or guidelines that a company could use when creating new versions, color schemes, or iterations of an existing product line. When creating a Collab, the genetic blending algorithm can be constrained so that any resulting CollaboKick maintains a similarity or outline to one or more existing products. While in one embodiment these style guidelines or rules may be explicitly set by the company, in another embodiment they may be discovered and assembled, for example, using an image-based processing algorithm that can identify style attributes (e.g., color patterns, materials, cuts, and / or size patterns) from existing products.

[0051] In at least some implementations, CryptoKick can be programmed to act as a “living” digital pet, fed, cleaned, entertained, and otherwise cared for by the user to ensure the pet’s happiness and health. Optionally, the owner can care for the CryptoKick pet themselves or have a third-party user care for it. As the CryptoKick pet evolves—from an infant digital pet to a toddler, then a preschooler, and finally an adult—one or more of CryptoKick’s attributes will change automatically with age or unlock over time. Furthermore, as the CryptoKick pet “grows” at different life stages, it can unlock its own versions of real shoes that the user can create. For example, if the CryptoKick pet has evolved into a toddler’s royal blue sneaker, the user has unlocked the option to purchase one or more special royal blue sneakers in toddler sizes.

[0052] In some implementations, a user's CryptoKick can be imported into one or more other digital platforms to be used as a skin for a video game character, for example, one that can be developed and / or controlled by the user. For instance, if a user is active in a basketball video game, CryptoKick can be imported into that game and worn by the user's player or team.

[0053] If CryptoKick is imported into a standalone video game, in certain configurations, different attributes of CryptoKick may alter the ability levels of a user character equipped with that asset. In one example, a user character's attributes could be positively affected by the rarity or exclusivity of various attributes of the asset, or by the overall combination of rarity or exclusivity of the assets. For instance, a rare CryptoKick might grant better jumping ability or lateral speed, a rare CryptoThread might grant better strength or speed, and a rare CryptoLid might grant better vision.

[0054] In some embodiments, CryptoKick users can determine the "best CryptoKick" in the marketplace, for example, based on W / M / Q / Y. This voting scheme can be used to designate one or more CollaboKicks suitable for commercial production of physical products with similarity to the digital asset. As a further option, CollaboKicks that can receive a preset threshold number of online votes can automatically trigger manufacturers to produce CollaboKicks in real life.

[0055] Over time, CryptoKicks and CollaboKicks are transferred between users through sales, transactions, purchases, and Collab, with each transaction history trackable in the blockchain transaction ledger. If a CollaboKick or CryptoKick is manufactured, previous users may be informed of its real-world existence and have the option to purchase their own real-world CollaboKick / CryptoKick.

[0056] As a further extension, in one embodiment, CryptoKicks may be backed by fungible tokens, where digital collectibles represent monetary value. In one implementation, certain attributes in the code assigned to the token can be interpreted as value. For example, a style attribute indicating high-top sneakers may have a first value, a style attribute indicating yoga pants may have a second value, and a style attribute indicating running shirts may have a third value. In one embodiment, these values ​​may be allowed to fluctuate based on market forces, or they may be pegged to fiat currency.

[0057] Referring now to the accompanying drawings, in which the same reference numerals denote the same features in several views, Figure 1 The illustration shows a representative footwear article, generally designated 10, and for the purposes of discussion, the footwear article 10 depicted herein as an athletic shoe or “sneaker”—also referred to herein as “footwear” or “shoe” for brevity—is merely an exemplary application of the novel aspects and features of this disclosure that can be practiced. In one embodiment, the illustrated footwear article 10 may be or resemble CryptoKick. Similarly, implementations of current concepts of digital shoes and cryptographic tokens for footwear should also be understood as representative implementations of the disclosed concepts. Therefore, it should be understood that aspects and features of this disclosure can be used for other types of footwear and can be incorporated into any logically related consumer product. As used herein, the terms “shoe” and “footwear,” including their variations, are used interchangeably and synonymously refer to any suitable type of clothing worn on human feet. Finally, the features shown in the figures are not necessarily drawn to scale and are provided for illustrative purposes only. Therefore, the specific and relative dimensions shown in the figures should not be construed as limiting.

[0058] Representative footwear items 10 overall Figure 1 The structure is depicted as a two-part structure, primarily comprising a foot-receiving upper 12 mounted on top of the lower sole structure 14. Although in Figure 1 Only a single shoe 10 for the user's left foot is shown, but a mirrored, substantially identical counterpart can be provided for the user's right foot. It will be appreciated that the shape, size, material composition, and manufacturing method of the shoe 10 can be changed individually or collectively to suit any practical, conventional or unconventional application.

[0059] Continue to refer to Figure 1 The upper 12 is described as having a shell-like closed toe and heel structure for wrapping the human foot. Figure 1 The upper 12 is typically defined by three adjacent sections: the toe box 12A, the upper 12B, and the heel counter 12C. The toe box 12A is shown as the rounded front end of the upper 12, extending from the distal end to the proximal metatarsal bone to cover and protect the user's toes. In contrast, the upper 12B is the arched middle section of the upper 12, located behind the toe box 12A and extending from the metatarsal bone to a cuboid shape. As shown, the upper 12B also provides a series of eyelets 16 and a tongue 18. Behind the upper 12B is the heel counter 12C, which extends from the transverse tarsal joint to the calcaneus and includes the rear portion of the upper 12. Although depicted in the figures as comprising three main sections, the upper 12 can be manufactured as a single piece or can be composed of any number of parts, including the toe, heel, ankle cuff, internal lining, etc. For sandal and slipper applications, the upper 12 can be an open-toe or open-heel construction, or it can be replaced by a single strap or multiple interconnected straps.

[0060] The upper 12 of the footwear 10 can be made of any one or a combination of various materials, such as textiles, engineered foam, polymers, natural and synthetic leather, etc. Individual sections of the upper 12, once cut to a certain shape and size, can be sewn, glued, fastened, welded, or otherwise joined together to form an internal space for comfortably accommodating the foot. The individual material elements of the upper 12 can be selected and positioned relative to the footwear 10 to, for example, impart desired durability, breathability, abrasion resistance, flexibility, appearance, and comfort. An ankle opening 15 in the heel counter 12C of the upper 12 provides access to the interior of the shoe 10. The circumference of the upper 12 can be altered using laces 20, straps, buckles, or other conventional mechanisms to more securely hold the foot inside the shoe 10 and to facilitate entry and exit of the foot from the upper 12. Laces 20 can pass through or be attached to a series of eyelets 16 in or to the upper 12; a tongue 18 can extend between the laces 20 and the internal space of the upper 12.

[0061] The sole structure 14 is rigidly fixed to the upper 12, such that the sole structure 14 extends between the upper 12 and the supporting surface on which the user stands. The sole structure 14 can be manufactured as a sandwich structure having a top insole 22, a middle sole sandwich 24, and a bottom outsole 26 or outsole surface. Optionally, the sole construction can consist of more or fewer than three layers. The insole 22 is shown partially located within the internal space of the footwear 10 and operatively attached to the underside of the upper 12, such that the insole 22 abuts the sole surface of the foot. Below the insole 22 is the sole sandwich 24, which incorporates one or more materials or embedded elements that enhance the comfort, performance, and / or ground responsiveness of the footwear 10. These elements and materials can be individually or in any combination including polymeric foam materials such as polyurethane or ethylene vinyl acetate (EVA), filling materials, cushioning agents, inflatable air bladders, plates, durable elements, or motion control components. The outsole 26 is located beneath the midsole 24 and defines some or all of the bottommost ground contact portion of the footwear 10. The outsole 26 may be formed of natural or synthetic rubber material, providing a durable and abrasion-resistant surface for contact with the ground. Furthermore, the contours and texture of the outsole 26 enhance adhesion (i.e., friction) between the footwear 10 and the underlying support surface.

[0062] Generally speaking, Figure 1 Each element, panel, section, and material of the footwear item 10 shown can be individually rendered or defined in CryptoKick. Furthermore, as mentioned above, these attributes may similarly be reflected in the genetic code of the NFT.

[0063] Figure 2This is a schematic illustration of an exemplary distributed computing system, generally indicated by 30, with accompanying blockchain control logic for mining, blending, and supporting the exchange of digital collectibles on the blockchain. User 11 is communicatively connected to a remote host system 34 and / or a cloud computing system 36 via a wireless communication network 38. While a single user 11 is shown communicating with a single host system 34 and a single cloud computing system 36 through the distributed computing system 30, it is conceivable that any number of users can communicate with any number of remote computing nodes appropriately equipped for wirelessly exchanging information and data. Wireless data exchange between user 11 and the remote computing nodes on the distributed computing system 30 can be direct, for example, through direct communication between the host system 34 / cloud computing system 36 and the user device 39 (e.g., the user's smartphone 40, smartwatch 42, or other suitable personal computing device), or indirect, for example, all communication between user 11 and other computing nodes is routed through the host system 34. Only selected components of the distributed computing system 30 are shown and will be described in detail herein. However, the systems and devices discussed herein may include many additional and alternative features, as well as other available hardware and well-known peripheral components, for example, to perform the various methods and functions disclosed herein. While the described systems rely on blockchain ledgers and processes for recording ownership of digital assets, it should be understood that this technology can operate on public or private blockchains and can utilize one or more forms of cryptography, encoding, proof-of-work challenges, or other concepts and technologies involved in available blockchain standards or suitable alternative immutable databases / ledgers.

[0064] Continue to refer to Figure 2The host system 34 can be implemented as a high-speed server computing device or mainframe computer capable of handling batch data processing, resource planning, and transaction processing. For example, the host system 34 can operate as middleware in a client-server interface, used to exchange and communicate with one or more "third-party" servers as necessary to complete a specific transaction. On the other hand, the cloud computing system 36 can be used as middleware for IoT (Internet of Things), WOT (Internet of Things), Internet of Adaptive Apparel and Footwear (IoAAF), and / or M2M (Machine-to-Machine) services, connecting various heterogeneous electronic devices with a service-oriented architecture (SOA) via a data network. As an example, the cloud computing system 36 can be implemented as a middleware node to provide different functions for dynamically loading heterogeneous devices, reusing data from each of these devices, and routing data through reconfigurable processing logic for processing and transmission to one or more destination applications. The network 38 can be any available type of network, including a combination of public distributed computing networks (e.g., the Internet) and secure private networks (e.g., LANs, WANs, VPNs). It may also include wireless and wired transmission systems (e.g., satellite, cellular networks, terrestrial networks, etc.). Most (if not all) of the data transaction functions performed by user 11 can be performed, for example, via wireless networks, such as wireless local area networks (WLANs) or cellular data networks.

[0065] As a decentralized blockchain platform, computing system 30 operates as an open but encrypted peer-to-peer network in which asset transaction records—called “blocks”—are linked by cryptographic hash functions in a distributed, immutable, interconnected block ledger (i.e., a “blockchain”). Each block in the chain includes one or more digital asset transactions, accompanied by verification information indicating the validity of each transaction as assessed by peer-validation devices. The encrypted, decentralized computing architecture allows for the authentication and certification of transaction assets while preventing the duplication of cryptographically protected (encrypted) digital assets registered to the platform. Decentralized asset management can function by encrypting proprietary asset files, breaking the encrypted code into tiny, “meaningless” fragments, and sending these fragments to many different computing nodes on the decentralized computing network. A private key is provided to the verified owner, indicating the asset’s location within the network and how the file can be reassembled or “decrypted.” For use as a distributed ledger, a single blockchain is typically managed by a host administrator and distributed to multiple peers according to inter-node communication and block verification protocols.

[0066] It should be understood that the disclosed systems and technologies offer numerous advantageous technical effects, including building and storing blockchains of digital assets representing user-to-user transactions of virtual collectibles. Furthermore, blockchain technology is capable of creating unique yet fully transferable digital assets that retain value in a way that is generally impossible to make lossless copies of (unlike traditional, insecure digital files).

[0067] Figure 3 Provided such as Figure 2 This is an example of the functional architecture of the distributed computing system 30 shown. As shown overall, user 11 can operatively interface with user device 39 (i.e., interface device 39), which may include one or more of a smartphone 40, tablet computer, smartwatch 42, laptop computer, desktop computer, standalone video game console, smart footwear / clothing, or other similar internet-enabled device. Interface device 39 can be operatively configured to communicate with one or more immutable public databases (e.g., blockchain service / network 60 – referred to as “blockchain 60”), virtual object generator 62, online digital marketplace 64, and / or third-party integration service 66.

[0068] Generally, blockchain 60 may include at least one non-fungible token registered thereon, which includes genomic information representing digital assets. Through user device 39, user 11 may own or have a locker / wallet containing a private encryption key that allows the user device to read encrypted data associated with the token. This key may further enable user 11 to freely transfer ownership of the token.

[0069] In one embodiment, a virtual object generator 62 may be provided to create digital objects based on genomic information associated with a token. More specifically, the virtual object generator 62 may be responsible for expressing the genomic information into multiple phenotypic traits. The virtual object generator 62 may employ various styles and art rules to ensure that the resulting digital objects are unique, but identifiable based on predefined outlines, styles, items, or roles. In some embodiments, the virtual object generator 62 may also operate based on other non-genomic factors, such as the asset's age, user activity (tracked via user device), or usage through a third-party platform. In such embodiments, these non-genomic inputs may alter phenotypic expression and / or unlock new abilities, reproductive rights, and / or production rights. For example, in one configuration, the color of a CryptoKick may depend on the genetically assigned color, as well as the asset's age and / or the asset's use in the virtual world or through a pair of physical shoes linked in the real world. The initial color, combined with age / experience-based changes, may produce a new color with its own relative rarity score / value.

[0070] Virtual object generator 62 and / or blockchain 60 can also be integrated with hosted digital marketplaces 64, forums, social platforms, etc. (e.g.) Figure 5 The overall communication shown in the diagram (displayed on smartphone 40) is as follows. The digital marketplace 64 can represent multiple virtual objects 80 in a manner that allows for organized trading or sales / purchases of virtual objects between parties. At the end of a sale, the digital marketplace 64 can update the blockchain 60 with new ownership information and facilitate the transfer of new existing keys to the new asset holder. In some embodiments, the marketplace 64 can further enable various social engagement features, such as voting or commenting on the represented virtual objects. Similarly, in some cases, the marketplace 64 can be configured to assess and score the rarity of an object based on the sum of its expressive traits. Such a rarity score can then allow the marketplace (and / or users participating in the marketplace) to better assess the value of the object.

[0071] In one configuration, computing system 30 may further include a third-party integration service 66 that allows the use of virtual objects in different contexts or modes. The third-party integration service 66 may operate as an application programming interface provided on a user device or as a dedicated cloud-based service. In some embodiments, the third-party integration service 66 may make virtual objects (e.g., as expressed by virtual object generator 62) and / or genomic information available for external use. Examples of such use may include skins on third-party video game characters, objects that can be used by third-party video game characters (see...). Figure 9 This includes digital artwork display, physical printing generation, manufacturing, etc. In one embodiment, genomic information and / or rarity scores may be available and can alter the traits or abilities of a user's video game character in a video game played on user device 39 (see [link to documentation]). Figure 10 ).

[0072] like Figure 3 As further shown, in one configuration, the corporate host system 68 can communicate with the blockchain 60 to supply and / or initially create new digital assets. Additionally, the host system 68 can provide one or more rules to the virtual object generator 62 to constrain the manner and style in which genomic information from the blockchain 60 is expressed in a visual / artistic form.

[0073] Now for reference Figure 4 The flowchart, according to aspects of this disclosure, generally describes at 100 points an improved method or control strategy for generating collectable digital assets protected by cryptographic tokens on a blockchain ledger. Figure 4Some or all of the operations shown and further described in detail below may represent algorithms corresponding to processor-executable instructions, which may be stored in, for example, main memory, secondary memory, or remote memory, and executed by, for example, a resident or remote controller, a central processing unit (CPU), control logic circuitry, or other modules, devices, or device networks, to perform any or all of the functions described above or below associated with the disclosed concepts. It should be understood that the execution order of the illustrated operation blocks may be changed, additional blocks may be added, and some of the described blocks may be modified, combined, or eliminated.

[0074] Method 100 begins at terminal block 101, wherein processor-executable instructions are used for the initialization process of a programmable controller or control module or similar suitable processor invocation protocol to generate a product for use in consumer products (e.g., Figure 1 and 2 Cryptographic digital assets of athletic shoes (10), such as Figure 2 The computer-generated digital shoe 44 and encrypted token key 46. This routine can be called and executed in real-time, continuously, systematically, sporadically, and / or periodically. As Figure 4 In a representative implementation of the method described herein, the initialization process at block 101 can begin automatically each time a real pair of shoes 10 is manufactured, each time user 11 purchases a real-world pair of shoes 10, or each time user 11 unlocks access key 46. Alternatively, the initialization process can be manually activated by the POS terminal's employee or manufacturer.

[0075] Using portable electronic devices 39, for example Figure 2 Using a smartphone 40 or smartwatch 42, user 11 can launch a dedicated mobile software application (“app”) or a web-based app, such as NIKE+, which collaborates with a server-level (back-end or middleware) computer (e.g., remote host system 34) to communicate with various peer devices on distributed computing system 30. For example, during a communication session with host system 34, user 11 can use relevant features provided by the app to purchase a pair of shoes 10. User 11 enters personal information and payment method to complete the transaction. After valid payment is completed, host system 34 receives a transaction confirmation, for example from an online store transaction module or an approved third-party electronic payment system, indicating that the valid transfer of shoes 10 to user 11 has been completed. As described above, the valid transfer of shoes 10 can be achieved by any available means, including in physical stores, through online auction websites, aftermarket consumer-to-consumer transactions / sales, etc.

[0076] Method 100 proceeds to decision box 103 to determine whether user 11 has purchased a cryptocurrency wallet or other similar suitable digital blockchain locker, operable to, for example, upload and maintain location and retrieval information of digital assets encrypted and stored in a decentralized manner. Cryptocurrency wallets typically store public and private key pairs but not the cryptocurrency itself; the cryptocurrency is decentralized and stored in a publicly available blockchain ledger. Using the stored keys, the owner can digitally sign transactions and write them to the blockchain ledger. Smart contracts defined by the platform associated with the locker can facilitate the transfer of stored assets and create a verifiable audit trail for them. If user 11 has not yet obtained a digital blockchain locker (block 103 = No), method 100 proceeds to predefined process block 105 to set up the blockchain locker. As a non-limiting example, user 11 may be prompted to access or may be automatically routed to any of the various publicly available websites that provide hardware wallets for cold storage of cryptocurrencies and digital assets, such as the ERC20-compliant Ethereum wallet provided by MyEtherWallet.

[0077] Once the system confirms that user 11 has a suitable digital blockchain locker, method 100 can automatically link the digital blockchain locker or prompt user 11 to link the digital locker to their personal user account (e.g., ...). Account profile), such as Figure 4 The process block 107 is shown. This may require the remote host system 34 to retrieve, from an encrypted relational database (e.g., provided via cloud computing system 36), a unique owner ID code associated with the purchaser (e.g., user 11). Figure 2 CryptoKick owner ID 48). At this point, the unique physical shoe ID code associated with the purchased shoe 10 ( Figure 2 The CryptoKick physical ID code (50) can be linked to the user's personal account.

[0078] Once it is determined that user 11 has acquired the digital blockchain locker (box 103 = Yes), or after linking the user's blockchain locker to their personal user account (box 107), method 100 proceeds to input / output box 109 to enable or "unlock" the cryptographic digital assets associated with the shoes 10 traded in process box 101. As described above, after purchasing shoes 10, the physical identifier of the crypto shoe or a generally recognized UPID product code can be used to retrieve a collectible CryptoKick, which typically consists of a collectible digital shoe 44 and a unique NFT identified by a cryptographic token key 46. Salespeople at the POS terminal or user 11 using their smartphone 40 can scan the UPID or UPC on shoes 10 or the box where shoes 10 are stored. Alternatively, user 11 can be prompted to use the digital camera on their smartphone to perform a "treasure hunt" to scan various UPIDs throughout the physical store until they scan a UPID linked to a KickID. Enabling cryptographic digital assets can be automatic, random, systematic, reward-based, or in any logically appropriate manner.

[0079] After input / output block 109 receives confirmation that the encrypted digital asset has been authenticated, method 100 generates a encrypted digital asset for the footwear item being traded. This may include generating a unique encrypted asset code with an address, a token, and a public and private key pair, as shown in predefined process block 111. Host system 34 may transmit the token with the public key and owner ID to a distributed blockchain ledger to record and peer-verify the transfer of the encrypted digital asset to user 11 on the transaction block. Method 100 continues processing block 113 to link the encrypted digital asset with the unique owner ID code. This control logic may include executable instructions for assigning the encrypted asset code to user 11 and storing the public and private keys in the user's digital blockchain vault.

[0080] Continue to refer to Figure 4 Method 100 proceeds to process block 115 to generate a virtual representation or "digital art" of the encrypted digital asset. Continue Figure 2For example, in the case of footwear, the virtual representation could include a computer-generated avatar of shoe 10 or a limited-edition artist reproduction of shoe 10. It is also conceivable that one or more attributes of the virtual representation of the cryptographic digital asset could be created, wholly or partially, by user 11. Machine learning functions can be executed in predefined process block 117 to generate image features via a neural network. After the digital art is completed, at block 119, the image can be uploaded to cloud computing system 36. Furthermore, optional process block 121 can send digital notifications, such as emails or push notifications, to the user's smartphone 40, smartwatch 42, or other personal computing device, along with all relevant information for accessing, transferring, and mixing the cryptographic digital asset. Remote host system 34 can operate as a web server hosting a web-based graphical user interface (GUI) operable to convert data stored in cryptographic keys into a visual image, which is displayed to user 11 in optional process block 123. The manipulation and use of the digital asset can also be achieved through the user's digital blockchain vault. This could include publishing the cryptographic digital asset to an online crypto-collectible marketplace for sale or propagation, as provided in optional process block 125.

[0081] Cryptocurrency assets (e.g.) Figure 2 The potential and current owners of a digital asset (the UPC) can buy and sell digital assets through one or more blockchain ledgers running on a decentralized computing system. As an example, and not a limitation, a user can purchase a new pair of highly sought-after sneakers from a verified vendor who can provide a certified provenance record. During the sneaker's shipment, once the goods arrive, the user may receive an email notification containing detailed instructions on unlocking CryptoKick. Upon receiving the shoebox containing the purchased sneakers, the user scans the UPC on the shoebox using the barcode scanning function in the sneaker app running on their smartphone. In the sneaker app, a new profile page is activated accordingly; the sneaker app opens the new profile page. At least for some applications, the new profile file page is linked to the user's personal profile. The account profile is linked, exported to, or initially enabled therein. Private and public blockchain platform keys are generated, genotype and phenotypic data are created, which is embedded in fragments of alphanumeric codes of the public key, resulting in a virtual representation of CryptoKick. CryptoKick's blockchain data, tokens, etc., are assigned to the user's new address; a new profile page lists the CryptoKick the user has already acquired.

[0082] A user may wish to lease, license, or assign a new crypto to one or more potential buyers. In one example, a seller (also referred to herein as the “transferor” or “first party”) proposes to sell, and a buyer (also referred to herein as the “assignee” or “second party”) agrees to purchase CryptoKick for an agreed amount (e.g., three (3) ETH). The buyer may be interested in purchasing because the available CryptoKick has one or more attributes that the buyer wishes to add to their collection (e.g., artist, body type, colorway, etc.). The seller can initiate the sale process by marking a specific CryptoKick as “for sale” in the sneaker app via the corresponding softkey “auction” button. Sally can set a minimum bid and / or an immediate purchase price and provide an auction time window with selected hours, days, weeks, etc. The sneaker app can present the seller with a share mode in which he / she can share the auction via his / her usual social media or present a quick response (QR) code for potential buyers to scan. The buyer can then use the scanning function in the sneaker app to scan the QR code with their smartphone's digital camera and transfer the necessary funds (such as 3 ETH) to the auction website. The seller's sneaker app notifies them of payment; the seller is then prompted to agree to the sales terms and complete the transaction. The password is then transferred from the first party to the second party's address.

[0083] Owners of encrypted digital assets may wish to mix or "breed" their digital assets with other digital assets to create asset "offspring," such as... Figure 6 As illustrated, a first digital asset owner and a second digital asset owner may wish to collaborate and hybridize their digital assets 82, 84 to create a new crypto digital asset. If the first owner's digital asset possesses the attributes desired by the second owner, the first owner can be designated as the "primary artist." In this case, the second owner can initiate a smart contract with the first owner to collaborate. One or both parties can fund the contract with physical goods or digital currency, for example, by paying a transfer fee, a "commission fee" set by the breeding host website, and an optional breeding fee for the second owner's breeding service. Once both parties agree and sign the breeding contract, one or both parties can be prompted to select one or more traits from their "parent" digital assets to transfer to the resulting "offspring" digital assets. Alternatively, the breeding host website can employ a breeding algorithm to construct a new digital asset from two or more pre-existing digital assets.

[0084] The "CollabScience" algorithm can be used to determine which contributing cryptographic assets will be designated as the parent, which contributing cryptographic assets will be designated as the parent, and which subsets of code from each parent asset will be used to construct the cryptographic token key for the resulting digital asset. For example, the token keys for parent digital assets DA1 and DA2 might be shown as follows:

[0085] DA1: 4352635657387611432650689898388672080892866850020829309339781214

[0086] DA2: 1997670191981520482540801616208235668515393854245661572126051434

[0087] The CollabScience algorithm can generate a random number using a random number generator (RNG) or other suitable methods, such as a random number between 0 and 65535. In this example, the random number could be 21123. Once generated, the CollabScience algorithm converts the resulting number 21123 into binary code: 010100101000011. The first digit in the binary code is zero (0), the first parent digital asset DA1 is designated as the parent, and corresponds to all zeros in the string; with the first parent digital asset DA1 designated as the parent, the second parent digital asset DA2 is automatically designated as the parent, and corresponds to all 1s in the string.

[0088] Continuing with the example above, the CollabScience algorithm divides the parent token key into multi-bit code subsets or "chunks"; in this example, each parent token key is divided into sixteen (16) 4-bit code subsets:

[0089] Segment DA1: ['4352', '6356', '5738', '7611', '4326', '5068', '9898', '3886', '7208', '0892', '8668', '5002', '0829', '3093', '3978', '1214']

[0090] Segment DA2:+['1997', '6701', '9198', '1520', '4825', '4080', '1616', '2082', '3566', '8515', '3938', '5424', '5661', '5721', '2605', '1434']

[0091] Then, the CollabScience algorithm constructs a new token ID for the final "descendant" digital asset based on the numbers in the random number. According to the binary code of the random number generated above, the sixteen blocks of the descendant token key are sequentially assigned a 1 or a 0.

[0092] In this example, the first digit in the binary code version of the random number is zero; the first parent digital asset DA1 is the designated parent, corresponding to zero; as a result, the first block in the child token key will be copied from the first data block of the parent, and is therefore set to 4352. Next, the second digit in the binary code version of the random number is 1; the second parent digital asset DA2 is the designated parent, corresponding to one; as a result, the second block in the child token key will be copied from the second block of the parent, and is therefore set to 6701, and so on, until all sixteen blocks in the child token key are filled with the corresponding blocks from the parent token key. Therefore, the new array for the child digital asset DA3 is as follows:

[0093] Segment DA3:+['4352', '6701', '5738', '1520', '4326', '5068', '1616', '3886', '3566', '0892', '8668', '5002', '0829', '3093', '2605', '1434']

[0094] The CollabScience algorithm generates a new token key ID based on the array, as shown below: 4352670157381520432650681616388635660892866850020829309326051434

[0095] The CollabScience algorithm then processes the encrypted digital assets, generates a virtual representation of the new assets, and allocates the assets to the buyer's digital blockchain locker.

[0096] It is foreseeable that other techniques can be employed to determine the attributes of offspring digital assets. For example, Punnett Square can be implemented to represent dominant and recessive traits (“genes”) from two parent digital assets and to create the probability of trait expression in offspring digital assets. Punnett Square is a graphical mechanism used to calculate the mathematical probability that an offspring asset inherits a specific trait from two parent assets. By arranging the genotypes of one parent at the top of a table and the genotypes of the other parent on one side, all potential genotype combinations that can occur in the offspring given the parent genotypes are discovered, thus providing a final array. Figure 2As shown, the genotypic and phenotypic information contained in the encryption token key 46 includes the digital shoe's: reproductive attributes ("collab"), material information, manufacturing data ("series"), manufacturing requirements ("popularity"), color combinations ("color scheme"), future attributes, model data, and image background information.

[0097] Epigenetic factors can lead to heritable phenotypic changes without involving underlying DNA sequence alterations. In some cases, genotypic changes in crypto token keys can be caused by real-world and / or virtual interactions, resulting in alterations in the phenotypic characteristics of crypto assets. Genes representing high popularity and rare popularity may change from HHRR to Hhrr due to the following epigenetic factors: using real-world shoes may increase the likelihood of gene mutations or "good quality" variants being passed on to offspring; real-world exercise, such as running or sports, may increase good gene mutations or accelerate the maturation of offspring assets; checking stores or other real-world standards may lead to positive gene mutations that pass on "good traits" to offspring, accelerating maturation; time-dependent breeding prevents two crypto assets from interbreeding before both assets reach their minimum age, otherwise breeding may fail or increase the probability of passing on "bad quality" genes to offspring; unique breeding times may lead to gene mutations; frequent interactions with other assets or other apps (such as trading, selling, buying, and collaborating) may lead to positive gene mutations that pass on "good traits" to offspring or accelerate maturation.

[0098] In some embodiments, cryptographic digital assets can use acquired cryptographic digital attributes (“attribute packages”) to alter (e.g., mutate or edit) their underlying genotypic information or phenotypic expression. Cryptographic digital attributes may include a subset of genotypic and / or phenotypic features smaller than the full expression of the cryptographic digital asset. In the context of shoes, a CryptoKick attribute package may include genotypic and / or phenotypic information associated with one or more discrete features of a digital shoe, although less than the full CryptoKick features. Example attributes may include styles of heel stabilizers, shoelaces, toe bumpers, logos, color schemes, etc. When cryptographic digital attributes are mixed with cryptographic digital assets, one or more genotypic code segments or phenotypic expressions may be directly replaced by those code segments or phenotypic expressions of the asset, or may be propagated to create progeny attributes comprising probabilistic combinations of pre-existing attributes and attributes expressed in the attribute package. The resulting mutated / edited digital assets (and / or asset ID codes) can then be recorded in a distributed blockchain ledger.

[0099] The ability to edit and / or alter discrete attributes of a user's digital assets fosters user engagement and provides a wide range of options for brand promotion. More specifically, cryptographic attribute packages can be released to mutate / modify assets to include colors specific to a particular sports team, to include unique features or attributes from similar cryptographic assets from key influencers, etc. Similarly, this ability to target mutations / gene editing could be analogous to CRISPR technology in the biotechnology field. In some implementations, where the propagation rules govern the effect of the attribute package on the digital asset, there may be probabilistic and / or uncertain outcomes regarding how newly introduced attributes are expressed in the resulting cryptographic assets. For example, if the attribute package includes a team-specific color scheme, propagation / mixing could result in different expressions if mixed with different underlying assets (or even different expressions if applied to two identical underlying assets). In some embodiments, CryptoKick attribute packages can be offered in a manner similar to fully-fledged CryptoKicks; however, in one embodiment, instead of being offered as complete footwear or apparel, they can be offered as customized products or services for sale (i.e., components or modification kits designed to modify footwear or apparel, even though they are not complete footwear or apparel themselves). Examples may include the sale of custom shoelaces, temporary appliqués (e.g., logos or panels attached by hook and loop fasteners, snaps, or non-permanent adhesives), custom kits, and / or custom services (e.g., dyeing services, sublimation, the sale or application of dye kits or pigments, deposition layering, color layering, application of optical effects—modification of structural colors, static colors, or pearlescent; laser etching services, acid dye washing services; additive manufacturing—3D printing, stereoscopic painting, etc.).

[0100] To better control the distribution of cryptographic digital attribute packages, each package can be recorded in a distributed blockchain ledger upon creation, thus providing each package with a separate existence. In some embodiments, each cryptographic digital attribute package may include a smart contract that terminates the package's existence or the ability to subsequently mix it with different digital assets. Therefore, in some embodiments, the attribute package may be a one-time capability to edit or mutate the underlying digital asset. Furthermore, in some embodiments, the smart contract may impose a time limit on the ability to mix with the underlying digital asset.

[0101] As mentioned above, Figure 7 This illustration schematically demonstrates a method for obtaining digital collectible packages or attribute packages that can be linked to or coordinated with the sale of physical products. That is, as... Figure 7As shown, user 11 brings the device (i.e., smartphone device 40) to the vicinity of physical product 200, which includes an identifier (UPID), such as a QR code, barcode, digital image, RFID tag, NFC tag, Bluetooth identifier, registry entry in an embedded processor, or some other machine-readable code. Phone 40 can then identify this code via optical, radio frequency communication, magnetic, or wired data communication. After identifying / recognizing the UPID, phone 40 can initiate the transfer and / or original supply of digital assets 202 linked to product 200 to user locker 204 communicating with blockchain service / network 60. In an extension of this concept, the transfer of digital assets 202 can be further secured using personal ID codes, keys, access codes, etc., which can be provided, for example, on a receipt after the user purchases product 200.

[0102] In one embodiment, if a user acquires CryptoKick by purchasing a pair of sneakers and then subsequently returns the sneakers, the smart contract associated with CryptoKick can cancel the acquisition and automatically return the CryptoKick tokens and all rights to the company / retailer. This secondary transaction can also be cancelled / revoked if the purchaser sold / traded CryptoKick to a bona fide purchaser (BFP) before returning the shoes. In some embodiments, with the reversal of this secondary transaction, the BFP can be presented with the option to reacquire CryptoKick from the company / retailer at a predetermined price (e.g., the current price of the asset, a discount to the current price, a fixed price set before market launch, or a nominal amount). In another embodiment, a CryptoKick BFP can have a first refusal right to acquire / purchase the returned physical product. This can be important in the case of limited-edition sneakers, which, by definition, are scarce.

[0103] Figure 8The illustration schematically depicts a method for acquiring digital collectibles or attribute packs, for example, during promotional giveaways. As shown, user 11 can use the augmented reality capabilities of smartphone 40 to locate a virtual object 210, such as CryptoKick, within an arena 212. In this example, CryptoKick can be "hidden" within a scoreboard 214, although it can be freely identified using an app on the phone that interfaces with the phone's camera. The app can display the virtual object on the screen when the camera recognizes specific ambient optical patterns (i.e., the scoreboard within the arena) and when the phone is geographically located within a specific area (i.e., via GPS sensing, beacons, geofencing technology, Wi-Fi connection, etc.). Once located, user 11 can be prompted to scan a unique code, such as a barcode on a ticket, or a unique code provided on a program or physical item (e.g., a noise generator, light stick, towel) placed on the user's seat before the game. This code can be associated with and / or linked to an assigned, registered, or pre-provided cryptographic asset and a KickID. Once the code is scanned or entered, phone 40 can begin transferring digital assets 202 to the user's locker 204, which is communicating with the blockchain service / network 60. For example, phone 40 can transmit the code to a server, where the associated KickID can be looked up and then transmitted to the locker associated with the user's ID.

[0104] In a more general brand promotion scenario, receiving CryptoKick or attribute packs may not strictly require locating virtual objects. In other words, a server, such as a middleware server, can receive an indication that a user device is located at a specific venue during a particular event. This indication can be derived from GPS-based location coordinates determined from a full GPS receiver on the user device. More specifically, the determined GPS coordinates can be compared to a predefined geofence area around the venue, and the indication can indicate whether the device is inside or outside the venue. Alternatively, the indication could be due to the device approaching one or more 802.11 or Bluetooth beacons located at the venue, or optically identifying specific visual features of the venue via a camera on the device. The server can then prompt the user via the user device to scan a unique identifier, which should be easily accessible to the person attending the event. Example unique identifiers could include ticket barcodes, codes on physical objects, codes on user seats, codes printed on merchandise receipts, etc. Once the code is scanned or entered, the server can receive an indication of the user's unique ID and a unique scan code. The server and / or the user device can initiate the transfer of digital assets 202 to a user locker 204 communicating with the blockchain service / network 60. Other conditions, such as the discovery of augmented reality objects at the site or the occurrence of a specific event, may add additional layers of conditions that must be met before the server executes the transfer. In some embodiments, the user equipment may record its presence at that location and / or time, and the claim to CryptoKick may be available for a predetermined period of time after the event.

[0105] In some embodiments, the ability to acquire CryptoKick can also be initiated by an aspect of the game / event, rather than by locating an augmented reality object or simply by being present in the event. Examples of such triggering events can include, for example, a shutout (hoopball / baseball), no batting (baseball), 50+ point performance (basketball), triple-double (basketball), hat trick (football / hoopball), a quarter / period / half with no points (basketball, hockey, football), and overtime / extra time. In such embodiments, the occurrence of the event can trigger an alert on the user's device 39, prompting the user to scan their ticket to facilitate the transfer. In one embodiment, to eliminate a secondary market for ticket stubs, the app on the user's device facilitating the notification can require scanning to occur only within a predetermined geofence and / or time period of the game / event. In a further extension, if the triggering event occurs, the market (as described above) can further allow the user 39 to anticipate selling non-vested rights to CryptoKick. This would be analogous to a user writing to and selling a tradable option to CryptoKick that either expires worthless or results in the option buyer acquiring CryptoKick.

[0106] It should be understood that in any of the CryptoKick acquisition methods described above, attribute packages can be obtained using similar means / techniques. For example, in one embodiment, a user's presence at a sporting event may enable them to receive an attribute package that includes a color scheme for one of the team colors. This attribute package can then be mixed with existing CryptoKicks to modify or edit existing color scheme attributes for the team color scheme. In some embodiments, transmitting a unique scanning code can then direct an application or browser on the user's device to a virtual storefront where the color scheme attribute package for each tutorial is available, and where the user is prompted to select one to acquire. Similar virtual storefront technologies are also useful for selecting and transferring CryptoKicks.

[0107] Figure 9-10 A video game interface 220, including a display 222, is schematically shown. The video game interface 220 and / or the display 222 may be integrated with a user device 39 (e.g., a smartphone 40 or tablet) or may be a standalone game console connected to the display 222. The device 39 may typically be configured to execute a digital application 224 that requires user input to control a virtual character 226 within an environment 228. The character 226 may include or be defined by multiple attributes 230 that can influence how the character 226 behaves, responds, or performs within the environment 230, and / or how the character 226 interacts with other characters 232 that may be controlled by the application 224 or other users within the network environment.

[0108] In one context, role 226 can be an athlete, and environment 228 can be the sports environment. Figure 9 The illustration shows a role 226 as a football player and an environment 228 as a football field within a stadium. The role's attributes 230 may include, for example, speed, ball control, passing, defense, kicking power, balance, and stamina (etc.). In one embodiment, the role 226 may be equipped with / wear digital collectibles (e.g., clothing items 234) uniquely backed by tokens on blockchain 60. In one embodiment, the digital collectibles may be obtained in any of the ways described herein. In one configuration, application 224 may access the genetic code of digital assets on blockchain 60 via an API or other software interface 236 (i.e., embodiments of third-party interface 66 described above), and / or may access the object's phenotypic expression via an integrated software decoder or by accessing a networked virtual object generator 62 of the type described above. In one configuration, one or more of the attributes 230 may be positively or negatively influenced by the genetic code or phenotypic expression of object 234. Although Figure 9It shows an object as clothing, but it can also be footwear, an object that a character can use, a piece of sports equipment, etc.

[0109] Further based on the concept of CryptoKick as property, in one embodiment, a user or company can rent or lease the use of digital collectibles within a video game for a period of time. In one embodiment, the rental can be restricted so that only one instance of a particular user's asset exists in any given context. For example, a user might have exclusive access to all CryptoKick. This user could simultaneously rent out CryptoKick games for basketball game A for 1 week, football game B for 2 weeks, and first-person shooter game C for 3 weeks.

[0110] Another option could be to program encrypted digital assets into virtual "pets" that users care about and help them grow from infancy to adulthood. For example, Figure 10 The illustration shows a user's avatar 226 virtually walking around with his pet CryptoKicks 240 and interacting with another user's avatar 232 within an environment 228 representing the virtual world. As mentioned above, this virtual interaction can affect the CryptoKick's evolution, value, maturity rate, visual appearance, marketability, etc. The properties of the digital asset may change or unlock over time. Users can directly care for the virtual pet or provide it to a third party (e.g., through ETH payments or other transactions). The virtual pet can go through different life stages and unlock different real-life versions of its own sneakers, which users can then purchase in a store.

[0111] Refer again Figure 9 Very similar Figure 10 In some embodiments, improvements in gameplay, digital asset usage, or character level, experience, or achievements can effectively alter / modify one or more genotypic and / or phenotypic attributes of a digital asset / CryptoKick. Similarly, in some embodiments, improvements in gameplay, digital asset usage, or character level, experience, or achievements can effectively modify the digital asset's impact on character abilities or gameplay. For example, in one embodiment, new level achievements, tournament victories, global rankings above a predefined threshold, or other similar achievements can modify CryptoKick attributes to have a unique or limited availability appearance, color scheme, skin, etc. Likewise, in some embodiments, such achievements can act as a multiplier for the effects that digital assets impart to a character.

[0112] refer to Figure 11In some embodiments, digital assets may take the form of, or be used in, a digitally collectible card game (DCCG). In such a game, each user can have a collection of digital assets, each collection having different settings, balances, or weights of attributes / attribute scores, and / or different characteristics, abilities, or powers. In some embodiments, users may take turns playing various cards or sets of cards according to the rules set in the game, in an effort to win.

[0113] While collectible card games are generally well-known, the use of digital assets described here can provide a unique extension to these games. Furthermore, these games can serve as additional uses and motivations for collecting digital assets. By uniquely storing each digital asset in an immutable database, such as Blockchain 60, each player's card collection and the strategies they employ to use those cards can also be unique.

[0114] In such an embodiment, the game server 300 can communicate with multiple different user devices 39. As described above, the user devices 39 can be smartphones 40, smartwatches 42, tablets, laptops, network-enabled devices, or other such devices capable of networking and communicating with the server 300. Each user device 39 can be linked to a separate digital locker 204, which allows users to access their securely stored digital assets from the blockchain 60. Each asset can be represented as a separate digital card on the user's device and can have its own unique set of attributes (i.e., a portion of a phenotype). In one embodiment, a virtual object generator 62 can communicate with the user devices 39 and / or the game server 300 to create representations of virtual objects based on genotypic information associated with tokens on the blockchain 60. The game server 300 can manage game rules, including maintaining multiple user accounts, instructing a first user via the user devices 39 when it is time to play the game, and modifying the attributes of a second user account based on digital asset data received from the first user. The received digital asset data can correspond to digital assets played by the first user via the first user's device.

[0115] In one embodiment, the game server 300 may not have any stored understanding of the user's digital asset collection before receiving the digital asset data. Thus, in this embodiment, the user's asset collection may be maintained solely by the user's device. In an alternative embodiment, the user's asset collection can be registered with a user account maintained by the game server 300. In this configuration, the digital asset data can simply indicate which card in the user's account has been played.

[0116] Although Figure 11The illustration is intended to show multiple users participating in DCCG, but in an alternative configuration, it could represent an encounter of multiple users coming to a common location to reproduce their CryptoKicks. Such events could be coordinated by a central server linked to local user accounts. Alternatively, users could have the ability to sponsor events and / or broadcast their own locations for others to connect to and / or create user-initiated meetings or invitations.

[0117] In some embodiments, for production purposes, the properties of crypto-digital assets can be directly correlated with corresponding properties of real-world shoes. Optionally, digital asset properties can be linked to a bill of materials for cost calculation and as a control mechanism. Progeny generated may be restricted to possessing phenotypic characteristics that can be created in the real world based on manufacturing capabilities, materials, and other factors. As CryptoKicks and CollaboKicks change owners through sale, trade, purchase, and collaboration, the resulting transaction history is tracked within the blockchain. Once a CollaboKick or CryptoKick that does not currently exist is created in real-world conditions, the previous owner / user may be notified of this real-world existence and may be given the option to purchase the sneakers.

[0118] In some embodiments, aspects of this disclosure may be implemented by a computer-executable instruction program, such as a program module, generally referred to as a software application or an application executed by a controller or any of the controller variants described herein. In non-limiting examples, the software may include routines, programs, objects, components, and data structures that perform specific tasks or implement specific data types. The software may form an interface to allow a computer to react to an input source. The software may also cooperate with other code segments to initiate various tasks in response to data received along with a received data source. The software may be stored on any of a variety of storage media, such as CD-ROM, magnetic disk, bubble memory, and semiconductor memory (e.g., various types of RAM or ROM).

[0119] Furthermore, aspects of this disclosure can be practiced using a variety of computer systems and computer network configurations, including multiprocessor systems, microprocessor-based or programmable consumer electronics devices, minicomputers, mainframes, etc. Additionally, aspects of this disclosure can be practiced in distributed computing environments where tasks are executed by residing remote processing devices linked via communication networks. In distributed computing environments, program modules can reside in local and remote computer storage media, including memory storage devices. Therefore, aspects of this disclosure can be implemented in computer systems or other processing systems using various hardware, software, or combinations thereof.

[0120] As described in this disclosure, the system can utilize public or private blockchain infrastructure, distributed ledgers, append-only databases, etc. In one example, the cryptographically secure digital assets described herein can initially be stored / securely protected on a private blockchain residing on infrastructure maintained by a single entity or consortium of entities. While the assets of any one entity can be maintained by that entity, each entity can agree on a common form or data structure for the infrastructure. This model can provide shared network and infrastructure costs / resources while allowing each entity to maintain the independence of its own assets. To enhance public trust, assets created on this private or semi-private blockchain can be transferred to a public blockchain at the user's discretion (possibly subject to one or more transfer conditions).

[0121] Any method described herein may include machine-readable instructions for execution by: (a) a processor, (b) a controller, and / or (c) any other suitable processing device. Any algorithm, software, protocol, or method disclosed herein may be embodied as software stored on a tangible medium, such as flash memory, CD-ROM, floppy disk, hard disk drive, digital versatile disk (DVD), or other storage device. The entire algorithm, control logic, protocol, or method and / or portions thereof may optionally be executed by a device other than a controller and / or embodied in firmware or dedicated hardware (e.g., implemented by application-specific integrated circuits (ASICs), programmable logic devices (PLDs), field-programmable logic devices (FPLDs), discrete logic, etc.). Furthermore, although a particular algorithm is described with reference to the flowcharts described herein, many other methods for implementing the exemplary machine-readable instructions may be used alternatively.

[0122] Various aspects of this disclosure have been described in detail with reference to the illustrated embodiments; however, those skilled in the art will recognize that many modifications can be made thereto without departing from the scope of this disclosure. This disclosure is not limited to the precise construction and composition disclosed herein; any and all modifications, alterations, and variations apparent from the foregoing description are within the scope of this disclosure as defined by the appended claims. Furthermore, this concept expressly includes any and all combinations and sub-combinations of the foregoing elements and features. Other provisions may be reflected in the following:

[0123] Clause 1: A brand promotion method using encrypted digital assets, the method comprising: providing a plurality of non-fungible tokens, each token registered in an immutable database or blockchain, and each token corresponding to a unique digital asset; associating each token with a unique machine-readable identification code; providing each machine-readable identification code to different corresponding individuals from a plurality of individuals; providing software code to a user device associated with at least one of the plurality of individuals; wherein the user device includes a camera, a display, and location recognition circuitry, the software code being configured to: enable the user device to discover a virtual image in a real-world environment, display a prompt via the display for the user to scan the machine-readable identification code upon discovery of the virtual image; identify the machine-readable identification code, and cause a token associated with the machine-readable identification code to be transferred to a digital locker associated with the individual or user device.

[0124] Clause 2: The method according to Clause 1, wherein the token includes genotype information corresponding to one or more phenotypic expressions of a virtual object.

[0125] Clause 3: The method according to any one of Clauses 1-2, wherein the software code causes the user device to discover virtual images in a real-world environment via augmented reality.

[0126] Clause 4: The method according to any one of Clauses 1-3, wherein the software code causes the user equipment to identify the environment based on an optical image sensed by the camera and a position determined by the position recognition circuit; displays the optical image on the display, and covers the displayed optical image with the virtual image at a predetermined position within the displayed environment.

[0127] Clause 5: The method according to any one of Clauses 1-4, wherein the unique digital asset includes a virtual object, the virtual object includes a plurality of attributes, and wherein each attribute is at least partially determinate based on a code portion associated with a token of the unique digital asset.

[0128] Clause 6: The method described in Clause 5, wherein the expression of at least one of the plurality of attributes is affected by the use of the virtual object.

[0129] Clause 7: The method according to any one of Clauses 1-6, wherein the location identification circuit is a GPS receiver.

[0130] Clause 8: A brand promotion method using cryptographic digital assets, the method comprising: providing a plurality of non-fungible tokens, each token registered in an immutable database or blockchain, and each token corresponding to a different corresponding physical retail product selected from a plurality of physical retail products; associating each token with a unique machine-readable identification code; providing a retail purchaser of the first physical retail product with the machine-readable identification code associated with the first physical retail product; receiving from a user device associated with the retail purchaser a request to transfer the non-fungible token associated with the first physical retail product to a digital locker associated with the retail purchaser or user device, wherein the request includes code contained in or derived from the machine-readable identification code associated with the first physical retail product.

[0131] Clause 9: The method described in Clause 8 further includes initiating a request to the immutable database or blockchain to transfer a non-fungible token associated with the first physical retail product to a digital locker associated with the retail purchaser.

[0132] Clause 10: The method according to any one of Clauses 8-9 further comprises: providing software code to the user equipment; wherein the user equipment includes a camera, a display, and location recognition circuitry, the software code being configured to: enable the user equipment to discover a virtual image in a real-world environment, display a prompt via the display for a user to scan the machine-readable identification code upon discovering the virtual image; and identify the machine-readable identification code.

[0133] Clause 11: The method according to Clause 10, wherein the software code causes the user equipment to recognize the machine-readable identification code by at least one of optical identification via the camera, RFOD, NFC, or BLUETOOTH communication.

[0134] Clause 12: The method according to any one of Clauses 8-11, wherein providing a machine-readable identification code associated with the first physical retail product to a retail purchaser of the first physical retail product comprises at least one of the following: including the machine-readable identification code on a label, mark, or sticker affixed to the first retail product; printing the machine-readable identification code on a box, container, or packaging material containing the first physical retail product; printing the machine-readable identification code on a receipt provided to the retail purchaser; printing a first portion of the machine-readable identification code on the box, container, or packaging material containing the first physical retail product; and printing a second portion of the machine-readable identification code on a receipt provided to the retail purchaser.

[0135] Clause 13: The method according to Clause 12, wherein the software code causes the user device to discover virtual images in a real-world environment via augmented reality.

[0136] Clause 14: The method according to any one of Clauses 12-13, wherein the software code causes the user equipment to identify the environment based on an optical image sensed by the camera and a position determined by the position recognition circuit; displays the optical image on the display, and overlays the displayed optical image with the virtual image at a predetermined position within the displayed environment.

[0137] Clause 15: The method according to any one of Clauses 8-14, wherein the token includes genotypic information corresponding to one or more phenotypic expressions of a virtual object.

[0138] Clause 16: The method according to any one of Clauses 8-15, wherein the unique digital asset includes a virtual object, the virtual object includes a plurality of attributes, and wherein each attribute is at least partially determinate based on a code portion associated with a token of the unique digital asset.

[0139] Clause 17: The method according to Clause 16, wherein the expression of at least one of the plurality of attributes is affected by the use of the virtual object.

[0140] Clause 18: A method comprising: providing a user with a virtual object, wherein the virtual object includes a plurality of attributes, and wherein each of the plurality of attributes is at least partially derived from code associated with a non-fungible token registered to an immutable database or blockchain.

[0141] Clause 19: The method according to Clause 18, wherein providing the virtual object to the user includes causing the irreplaceable token to be transferred to an account associated with the user.

[0142] Clause 20: The method described in Clause 19 further includes receiving value from the user in consideration of transferring the nonfungible token to an account associated with the user.

[0143] Clause 21: The method according to any one of Clauses 18-20, wherein providing the virtual object to the user includes making the virtual object available to the user in a video game.

[0144] Clause 22: The method according to Clause 21, wherein the video game includes an avatar, character, or athlete in a virtual environment, and wherein the avatar, character, or athlete is controlled by user input received via a user device.

[0145] Clause 23: The method described in Clause 22, wherein the virtual object is a footwear item or a clothing item.

[0146] Clause 24: The method according to any one of Clauses 22-23, wherein the avatar, character, or athlete comprises a plurality of character attributes, each character attribute having a corresponding attribute score that affects the behavior, performance, or ability of the avatar, character, or athlete in an environment; and wherein the integration of the virtual object with the avatar, character, or athlete operatively modifies at least one attribute score.

[0147] Clause 25: The method according to Clause 21, wherein the video game is a digitally collectible card game, and wherein the virtual object is represented as a digitally collectible card.

[0148] Clause 26: The method according to any one of Clauses 21-25 further includes providing a remote server with an instruction for the use of the virtual object within the video game, and wherein the instruction for the use of the virtual object is operable to change at least one of the plurality of attributes of the virtual object.

[0149] Clause 27: A computerized system for implementing the method of any one of Clauses 1-16.

[0150] Clause 28: A method for automatically generating cryptographic digital assets associated with footwear items, each footwear item including a shoe upper for attaching to a user's foot and a sole structure attached to the shoe upper to support the user's foot thereon, the method comprising: receiving a transaction confirmation from a remote computing node via a middleware server computer on a distributed computing network, the transaction confirmation indicating a valid transfer of the footwear item from a first party to a second party; determining a unique owner identification (ID) code associated with the second party from an encrypted relational database via the middleware server computer; generating cryptographic digital assets associated with the footwear item, the cryptographic digital assets including a digital shoe and a unique digital shoe ID code; linking the cryptographic digital assets to the unique owner ID code via the middleware server computer; and transmitting the unique digital shoe ID code and the unique owner ID code to a distributed blockchain ledger via the middleware server computer to record the transfer of the cryptographic digital assets to the second party on a transaction block.

[0151] Clause 29: The method according to Clause 28, wherein the unique digital shoe ID code includes an encryption token key having a code string divided into a series of code subsets, wherein a first plurality of code subsets includes data indicating attributes of the digital shoe.

[0152] Clause 30: The method according to Clause 29, wherein the first plurality of code subsets includes genotypic and phenotypic data of the digital shoe.

[0153] Clause 31: The method according to any one of Clauses 29-30, wherein the second plurality of code subsets includes data indicating the attributes of the footwear article.

[0154] Clause 32: The method described in Clause 31, wherein the second plurality of code subsets includes color schemes, materials, manufacturing, branding and / or model data for footwear items.

[0155] Clause 33: The method according to any one of Clauses 28-32 further includes: in response to receiving the transaction confirmation, sending a notification to the second party having information for accessing the encrypted digital asset; and receiving a scan confirmation from the second party's handheld personal computing device via the middleware server computer, the scan confirmation verifying that a Universal Product Code (UPC) and / or Unique Product Identifier Number (UPIN) corresponding to the brand and model of the footwear item has been scanned, wherein linking the encrypted digital asset with the Unique Owner ID Code is a response to receiving the scan confirmation.

[0156] Clause 34: The method according to any one of Clauses 28-33 further includes, in response to receiving the transaction confirmation, sending a notification to the second party with a unique key having a hash address of a cryptographic token.

[0157] Clause 35: The method according to any one of Clauses 28-34 further includes: receiving a digital reproduction request with a request to mix the encrypted digital asset with a third-party encrypted digital asset; and generating a child encrypted digital asset using a combination of one or more features from the encrypted digital asset and one or more features from the third-party encrypted digital asset.

[0158] Clause 36: The method according to Clause 35, wherein the unique digital shoe ID code includes a first encryption token key having a first code string divided into a series of first code subsets, the first of the first code subsets including data indicating an attribute of the digital shoe; the third-party encrypted digital asset includes a second encryption token key having a second code string divided into a series of second code subsets, the first of the second code subsets including data indicating an attribute of the third-party digital shoe; and the offspring encrypted digital asset includes a third encryption token key having a third code string divided into a series of third code subsets, the first of the third code subsets including data from the first of the first code subsets, and the second of the third code subsets including data from the first of the second code subsets.

[0159] Clause 37: The method according to Clause 36, wherein the first one in the first code subset and the first one in the third code subset share a first unique alphanumeric sequence, and wherein the first one in the second code subset and the second one in the third code subset share a second unique alphanumeric sequence.

[0160] Clause 38: The method according to any one of Clauses 36-37, wherein generating the offspring cryptographic assets comprises applying a random number generator to: designate one of the cryptographic assets or the third-party cryptographic assets as the parent, designate the other of the cryptographic assets or the third-party cryptographic assets as the mother, and determine which of the third code subsets corresponds to which of the first code subsets, and which of the third code subsets corresponds to which of the second code subsets.

[0161] Clause 39: The method according to any one of Clauses 28-38 further includes: receiving a digital transfer proposal with a request to transfer the encrypted digital asset to the third party; determining a new unique owner ID code associated with the third party; linking the encrypted digital asset to the new unique owner ID code; and transmitting the unique digital ID code and the new unique owner ID code to the distributed blockchain ledger for recording on a new transaction block.

[0162] Clause 40: The method described in Clause 39 further includes receiving a new transaction confirmation instructing a new valid transfer of the footwear from the second party to the third party.

[0163] Clause 41: The method according to any one of Clauses 28-40 further includes generating a smart contract via the middleware server computer, the smart contract being operable to authenticate ownership and track future transactions of the cryptographic digital asset.

[0164] Clause 42: The method according to any one of Clauses 28-41, wherein the unique owner ID code is associated with a cryptocurrency wallet registered in the distributed blockchain ledger.

[0165] Clause 43: The method according to any one of Clauses 28-42, wherein the transaction confirmation includes a Universal Product Code (UPC) and / or a Unique Product Identifier Number (UPIN) corresponding to the brand and model of the footwear item.

[0166] Clause 44: A distributed computing system for automatically generating cryptographic digital assets associated with footwear items, each footwear item including an upper for attaching to a user's foot and a sole structure attached to the upper and for supporting the user's foot thereon, the distributed computing system comprising: a wireless communication device configured to connect to remote computing nodes via a distributed computing network; a cryptographic digital asset registry storing digital shoes and unique digital shoe ID codes associated with multiple cryptographic digital assets; and a middleware server computer operatively connected to the wireless communication device and the cryptographic digital asset registry, the middleware server computer being programmed to: via the distributed computing network The network receives an electronic transaction confirmation from the remote computing node, the electronic transaction confirmation indicating a valid transfer of footwear from a first party to a second party; retrieves a unique owner identification (ID) code associated with the second party from an encrypted relational database; generates a cryptographic digital asset associated with the footwear, the cryptographic digital asset including a digital shoe and a unique digital shoe ID code; links the cryptographic digital asset to the unique owner ID code in the cryptographic digital asset registry; and transmits the unique digital shoe ID code and the unique owner ID code to the distributed blockchain ledger to record the transfer of the cryptographic digital asset to the second party on a transaction block.

[0167] Clause 45: In the distributed computing system of Clause 44, the unique digital shoe ID code includes an encryption token key having a code string divided into a series of code subsets, wherein a first plurality of code subsets includes data indicating attributes of the digital shoe.

[0168] Clause 46: In the distributed computing system described in Clause 45, the second plurality of code subsets include data indicating the attributes of the footwear items.

[0169] Clause 47: A distributed computing system according to any one of Clauses 44-45, wherein the middleware server computer is further programmed to: in response to receiving the transaction confirmation, send a notification to the second party containing information for accessing the encrypted digital asset; and receive a scan confirmation from the second party's handheld personal computing device, the scan confirmation verifying that a Universal Product Code (UPC) and / or Unique Product Identifier Number (UPIN) corresponding to the brand and model of the footwear item has been scanned, wherein linking the encrypted digital asset with the Unique Owner ID code is a response to receiving the scan confirmation.

[0170] Clause 48: A distributed computing system according to any one of Clauses 44-47, wherein the middleware server computer is further programmed to send a notification to the second party in response to receiving the transaction confirmation, the unique key having a hash address of a cryptographic token.

[0171] Clause 49: A distributed computing system according to any one of Clauses 44-48, wherein the middleware server computer is further programmed to: receive a digital propagation tender with a request to mix the encrypted digital asset with a third-party encrypted digital asset; and generate a child encrypted digital asset using a combination of one or more features from the encrypted digital asset and one or more features from the third-party encrypted digital asset.

[0172] Clause 50: In the distributed computing system of Clause 49, wherein the unique digital shoe ID code includes a first encryption token key having a first code string divided into a series of first code subsets, the first of the first code subsets including data indicating an attribute of the digital shoe; the third-party encrypted digital asset includes a second encryption token key having a second code string divided into a series of second code subsets, the first of the second code subsets including data indicating an attribute of the third-party digital shoe; and the offspring encrypted digital asset includes a third encryption token key having a third code string divided into a series of third code subsets, the first of the third code subsets including data from one of the first code subsets, and the second of the third code subsets including data from the first of the second code subsets.

[0173] According to the distributed computing system described in Clause 50, generating the offspring cryptographic digital assets includes applying a random number generator to: designate one of the cryptographic digital assets or the third-party cryptographic digital assets as the parent; designate the other of the cryptographic digital assets or the third-party cryptographic digital assets as the mother; and determine which of the third code subsets corresponds to the first code subset and which of the third code subsets corresponds to the second code subset.

[0174] Clause 52: A distributed computing system according to any one of Clauses 44-51, wherein the middleware server computer is further programmed to: receive a digital transfer proposal with a request to transfer the encrypted digital asset to a third party; determine a new unique owner ID code associated with the third party; link the encrypted digital asset to the new unique owner ID code; and record the unique digital asset ID code and the new unique owner ID code on a new transaction block via the distributed blockchain ledger.

[0175] Clause 53: A method for providing or distributing cryptographic digital assets to a purchaser of footwear or digital files representing them, the method comprising: receiving a transaction confirmation from a computing node, the transaction confirmation indicating a completed transaction of the footwear or digital files representing them from a first party to a second party; determining a unique owner identification (ID) code associated with the second party; and, in response to the received transaction confirmation, transmitting a cryptographic block to a distributed blockchain ledger to record the transfer of the cryptographic digital assets to the second party; wherein the cryptographic block includes a unique digital shoe ID code representing a digital shoe and a unique owner ID code; and wherein the cryptographic digital assets are transferable to a third party separate from the footwear or digital files representing them.

[0176] Clause 54: The method according to Clause 53 further includes: receiving a digital transfer proposal with a request to transfer the cryptographic digital asset to the third party; determining a unique owner ID code of the third party; linking the cryptographic digital asset to the unique owner ID code; and transmitting the unique digital ID code and the unique owner ID code to the distributed blockchain ledger for recording on a new transaction block.

[0177] Clause 55: The method of claim 53 or 54, wherein the unique digital shoe ID code includes an encryption token key having a code string divided into a series of code subsets, wherein the first plurality of code subsets include data indicating a plurality of attributes of the digital shoe.

[0178] Clause 56: The method according to Clause 55, wherein the first plurality of code subsets includes genotypic and phenotypic data of the digital shoe.

[0179] Clause 57: The method according to claim 55 or 56, wherein at least one of the plurality of attributes of the digital shoe has an expression that differs from the similar attributes of the transferred footwear article or the digital file representing it.

[0180] Clause 58: The method according to any one of Clauses 55-57, wherein the plurality of attributes of the digital shoe includes at least one of color scheme, material, manufacturing, brand and / or model data.

[0181] Clause 59: The method according to any one of Clauses 55-58 further includes exporting at least one digital shoe ID code of the digital shoe or at least one of the plurality of attributes to a digital application for use of the digital shoe in the digital application.

[0182] Clause 60: The method according to any one of Clauses 53-59 further includes: in response to receiving the transaction confirmation, sending a notification to the second party having information for accessing the encrypted digital asset; and receiving a scan confirmation from the second party's handheld personal computing device, the scan confirmation verifying that a Universal Product Code (UPC) and / or Unique Product Identifier Number (UPIN) corresponding to the brand and model of the footwear item has been scanned, wherein linking the encrypted digital asset with the Unique Owner ID Code is a response to receiving the scan confirmation.

[0183] Clause 61: The method according to any one of Clauses 53-60 further includes, in response to receiving the transaction confirmation, sending a notification to the second party with a unique key having a hash address of a cryptographic token.

[0184] Clause 62: The method according to any one of Clauses 53-61 further comprises: receiving a request to mix the encrypted digital asset with a third-party encrypted digital asset, the third-party encrypted digital asset having a second digital shoe ID code and associated with a second unique owner ID code; generating a child encrypted digital asset using a combination of one or more features from the encrypted digital asset and one or more features from the third-party encrypted digital asset; and wherein the child encrypted digital asset includes a child digital shoe ID code derived from the digital shoe ID code of the encrypted digital asset and the second digital shoe ID code; and transmitting the child digital shoe ID code and one of the unique owner ID code or the second unique owner ID code to the distributed blockchain ledger to record the creation of the child encrypted digital asset on a transaction block.

[0185] Clause 63: The method according to any one of Clauses 53-62, wherein the footwear article or its digital file representing a complete transaction from the first party to the second party is a retail transaction.

[0186] Clause 64: The method according to any one of Clauses 53-63 further includes generating an image representing the digital shoe from the unique digital shoe ID code.

[0187] Clause 65: A decentralized computing system for supplying or distributing cryptographic digital assets to purchasers of footwear items or digital files representing them, the decentralized computing system comprising: a cryptographic digital asset registry storing digital shoes and unique digital shoe ID codes associated with multiple cryptographic digital assets; and a computer server operatively connected to the cryptographic digital asset registry, the computer server being programmed to: receive transaction confirmations from computing nodes indicating completed transactions of footwear items or digital files representing them from a first party to a second party; retrieve a unique owner identification (ID) code associated with the second party from a cryptographic relational database; and, in response to the received transaction confirmation, transmit a cryptographic block to a distributed blockchain ledger to record the transfer of the cryptographic digital assets to the second party; wherein the cryptographic block includes the unique owner ID code and a unique digital shoe ID code representing the digital shoes from the cryptographic digital asset registry; and wherein the cryptographic digital assets are transferable to a third party separate from the footwear items or digital files representing them.

[0188] Clause 66: The system of claim 65, wherein the computer server is further configured to: receive a digital transfer proposal, the proposal carrying a request to transfer the encrypted digital asset to the third party; retrieve the unique owner ID code of the third party from the encrypted relational database; link the encrypted digital asset to the unique owner ID code of the third party; and transmit the unique owner ID code of the third party and the unique digital shoe ID code to the distributed blockchain ledger for recording on a new transaction block.

[0189] Clause 67: The system of claim 65 or 66, wherein the unique digital shoe ID code includes an encryption token key having a code string divided into a series of code subsets, wherein the first plurality of code subsets include data indicating a plurality of attributes of the digital shoe.

[0190] Clause 68: The system of claim 67, wherein the first plurality of code subsets includes genotype and phenotypic data of the digital shoe.

[0191] Clause 69: The system according to claim 67 or 68, wherein at least one of the plurality of attributes of the digital shoe has an expression that differs from the similar attributes of the transferred footwear article or the digital file representing it.

[0192] Clause 70: A system pursuant to any one of Clauses 67-69, wherein the plurality of attributes of the digital shoe includes at least one of: color scheme, material, manufacturing, brand and / or model data.

[0193] Clause 71: A system according to any one of Clauses 67-70, wherein the computer server is further configured to export at least one digital shoe ID code of the digital shoe or at least one of the plurality of attributes to a digital application for use of the digital shoe in the digital application.

[0194] Clause 72: A method for distributing encrypted digital assets based on events, comprising: receiving from a computing device associated with a user an indication that the computing device is located at a predetermined location within a predetermined time window; receiving from the computing device a unique owner identification (ID) code associated with the user; receiving from the computing device a unique code acquired by the user; determining a unique digital asset ID code corresponding to the received unique code, the unique digital asset ID code representing the encrypted digital asset; and transmitting the encrypted block to a distributed blockchain ledger to record the transfer of the encrypted digital asset to the user, the encrypted block including the unique digital asset ID code and the unique owner ID code.

[0195] Clause 73: The method described in Clause 72, wherein the encrypted digital asset includes genotypic data representing digital shoes or clothing.

[0196] Clause 74: The method described in Clause 72, wherein the encrypted digital asset includes genotypic data representing attributes of the digital shoe or clothing item, but not representing the entire digital shoe or clothing item.

[0197] Clause 75: The method described in Clause 74 further includes using genotype data representing attributes of a digital shoe or garment article to modify a pre-existing digital asset having genotype data representing the digital shoe or garment article.

[0198] Clause 76: The method according to any one of Clauses 72-75, wherein the indication that the computing device is located at the predetermined site includes an indication of whether the GPS coordinates of the computing device are within a predefined geofence or closed geographic boundary.

[0199] Clause 77: The method according to any one of Clauses 72-76, wherein the indication that the computing device is located at the predetermined site includes an indication that the computing device is near an 802.11 or Bluetooth beacon.

[0200] Clause 78: The method according to any one of Clauses 72-77, wherein the indication that the computing device is located at the predetermined site includes an image or representation thereof acquired by the computing device, from which one or more visual attributes of the site can be identified.

[0201] Clause 79: The method according to any one of Clauses 72-78, wherein the unique code received includes a code obtained from the event ticket of the venue.

[0202] Clause 80: The method according to any one of Clauses 72-78, wherein the unique code received includes a code scanned from a tangible object within the premises or from a merchandise receipt generated within the premises.

[0203] Clause 81: The method according to any one of Clauses 72-80 further includes receiving an indication that a conditional event has occurred during a predetermined time window; and wherein a cryptographic block is sent to the distributed blockchain ledger only after receiving the indication that the conditional event has occurred.

[0204] Clause 82: The method according to any one of Clauses 72-81, wherein determining the unique digital asset ID code comprises: directing an application or internet browser running on the computing device to a virtual storefront display comprising a plurality of different displays of encrypted digital assets; receiving an instruction to select one of the plurality of different displays of encrypted digital assets; and wherein the determined unique digital asset ID code corresponds to the received unique code and the selected one of the plurality of different displays of encrypted digital assets.

[0205] Clause 83: The method according to any one of Clauses 72-82 further includes: receiving a digital transfer proposal with a request to transfer the encrypted digital asset to the acquirer; determining a unique owner ID code of the acquirer; linking the encrypted digital asset to the unique owner ID code of the acquirer; and transmitting the unique digital ID code and the unique owner ID code of the acquirer to the distributed blockchain ledger for recording on a new transaction block.

[0206] Clause 83: The method according to any one of Clauses 72-83, wherein the unique digital shoe ID code includes a cryptographic token key having a code string divided into a series of code subsets, wherein the first plurality of code subsets include genotypic data corresponding to one or more phenotypic expressions of the digital asset.

[0207] Clause 85: The method described in Clause 84, wherein the digital asset is a computer-generated digital shoe.

[0208] Clause 86: The method according to Clause 85, wherein the plurality of attributes of the computer-generated digital shoe includes at least one of: color scheme, material, manufacturing, brand and / or model data.

[0209] Clause 87: The method according to Clause 84 further includes exporting at least one digital asset ID code or at least one of multiple attributes of the digital asset to a digital video game application, such that the digital asset is represented within the digital application and modifies one or more aspects of the gameplay of the digital video game application.

[0210] Clause 88: A method for integrating cryptographically secure digital assets into a digital video game application, the digital video game application including code that, when executed, displays a character on a display associated with a user device, the character being operablely controlled by the user via the user device, and including a plurality of character attributes, the method comprising: receiving a digital asset identifier (ID) code, the digital asset ID code existing on a distributed blockchain ledger together with a unique owner ID code, the digital asset ID code including a code string segmented into a series of code subsets, wherein a first plurality of code subsets includes data indicating a plurality of attributes of the digital asset; providing the digital asset ID code to a virtual object generator; receiving from the virtual object generator a virtual object constructed from the first plurality of code subsets of the unique owner ID code, the virtual object further including a plurality of object attributes; representing the virtual object on the display; and modifying at least one of the character attributes based on at least one of the object attributes.

[0211] Clause 89: The method described in Clause 88, wherein the virtual object is a virtual shoe or a virtual garment.

[0212] Clause 90: The method according to any one of Clauses 88-89, wherein the user is a first user, and wherein the unique owner ID code is the code of a second user.

[0213] Clause 91: The method according to any one of Clauses 88-90 further includes modifying at least one of the plurality of object attributes based on an aspect of the digital video game application or the achievements of the user or character within the digital video game application.

[0214] Clause 92: The method according to any one of Clauses 88-91 further includes modifying at least one subset of the digital asset ID code based on an aspect of the digital video game application or the achievements of the user or character within the digital video game application; and transmitting a cryptographic block including the digital asset ID code having the modified at least one subset of the code to the distributed blockchain ledger to record the modification.

[0215] Clause 93: The method according to any one of Clauses 88-92 further includes: receiving a digital transfer proposal with a request to transfer the encrypted digital asset to a second party; determining a unique owner ID code of the second party; linking the encrypted digital asset to the unique owner ID code of the second party; and transmitting the unique digital ID code and the unique owner ID code of the second party to the distributed blockchain ledger for recording on a new transaction block.

[0216] Clause 94: The method according to any one of Clauses 88-93, wherein the first plurality of code subsets includes genotypic and phenotypic data of the encrypted digital property.

[0217] Clause 95: The method according to any one of Clauses 88-94, wherein at least one of the plurality of object attributes indicates the rarity of the cryptographic digital asset; and wherein at least one of the role attributes is modified according to the at least one object attribute indicating the rarity of the cryptographic digital asset.

[0218] Clause 96: The method according to any one of Clauses 88-95, wherein the plurality of role attributes define how a role behaves, responds, or performs in an environment maintained by a computer, or how a role interacts with other roles controlled by an application or other user in a network environment.

[0219] Clause 97: The method according to any one of Clauses 88-96, wherein at least one modified character attribute includes at least one of character speed, ball control, passing, defense, kicking power, balance and stamina.

[0220] Clause 98: A gaming system comprising: a display; and a processor coupled to the display, the processor configured to execute a digital video game application that receives user input to control a virtual character in an environment; wherein: the character includes a plurality of character attributes that affect how the character behaves, responds, or performs in the environment, or how the character interacts with other characters present in the environment; both the character and the environment are displayed to the user via the display, and wherein the processor is further configured to: receive a digital asset identification (ID) code representing a cryptographically secure digital asset, the digital asset ID code being stored on a distributed blockchain ledger along with a unique owner ID code, the digital asset ID code comprising a code string segmented into a series of code subsets, wherein a first plurality of code subsets includes data indicating a plurality of attributes of the digital asset; provide the digital asset ID code to a virtual object generator; receive from the virtual object generator a virtual object constructed from the first plurality of code subsets of the unique owner ID code, the virtual object further comprising a plurality of object attributes; display the virtual object on the display; and modify at least one of the character attributes based on at least one of the object attributes.

[0221] Clause 98: The game system of claim 97, wherein the virtual object is virtual shoes or virtual clothing.

[0222] Clause 99: A game system pursuant to any one of Clauses 97-98, wherein the user is a first user, and wherein the unique owner ID code is the code of a second user.

[0223] Clause 100: A game system pursuant to any one of Clauses 97-99, wherein the processor is further configured to modify at least one of the plurality of object attributes based on an aspect of the digital video game application or achievements of a user or character within the digital video game application.

[0224] Clause 101: A game system pursuant to any one of Clauses 97-100, wherein the processor is further configured to modify at least one subset of digital asset ID codes based on an aspect of the digital video game application or achievements of a user or character within the digital video game application; and to transmit a cryptographic block comprising digital asset ID codes having the modified at least one subset of codes to a distributed blockchain ledger to record the modification.

[0225] Clause 102: A game system pursuant to any one of Clauses 97-101, wherein the processor is further configured to receive a digital transfer proposal, the digital transfer proposal carrying a request to transfer cryptographic digital assets to a second party; determine the second party's unique owner ID code; link the cryptographic digital assets to the second party's unique owner ID code; and transmit the unique digital asset ID code of the second party and the unique owner ID code to a distributed blockchain ledger for recording on a new transaction block.

[0226] Clause 103: A game system pursuant to any one of Clauses 97-102, wherein the first plurality of code subsets include genotypic and phenotypic data of the encrypted digital property.

[0227] Clause 104: A game system pursuant to any one of Clauses 97-103, wherein at least one of the plurality of object attributes indicates the rarity of the cryptographic digital asset; and wherein at least one of the character attributes is modified according to the at least one object attribute indicating the rarity of the cryptographic digital asset.

[0228] Clause 105: A game system pursuant to any one of Clauses 97-104, wherein at least one modified character attribute includes at least one of character speed, ball control, passing, defense, kicking power, balance, and stamina.

Claims

1. A method for operating a middleware server computer to automatically generate encrypted digital assets associated with footwear items, each footwear item including an upper for attaching to a user's foot and a sole structure attached to the upper for supporting the user's foot, the method comprising: Upon successful payment, a transaction confirmation is received via a distributed computing network from a point-of-sale terminal, an online store transaction module, or an approved third-party electronic payment system, indicating a successful transfer of footwear items from the first party to the second party. In response to receiving the transaction confirmation, a unique owner identification code, i.e., a unique owner ID code, associated with the second party is determined from the encrypted relationship database; The user equipment of the second party receives a scan confirmation that verifies that the Universal Product Code (UPC) and / or Unique Product Identifier (UPIN) corresponding to the brand and model of the footwear item has been scanned. In response to the receipt of the scan confirmation, a cryptographic digital asset for the footwear item used in the transaction is generated; Link the encrypted digital asset to the unique owner ID code, wherein the encrypted digital asset includes a computer-generated digital shoe and a unique digital shoe ID code, and wherein the digital asset can be transferred separately from the footwear item; Transmit the unique digital shoe ID code and the unique owner ID code to the distributed blockchain ledger to record the transfer of the encrypted digital asset to the second party on the transaction block; Receive a digital transfer proposal with a request to transfer the encrypted digital assets to a fourth party; Determine a new unique owner ID code associated with the fourth party; Link the encrypted digital asset with the new unique owner ID code; and The unique digital shoe ID code and the new unique owner ID code are transmitted to the distributed blockchain ledger for recording on a new transaction block.

2. The method according to claim 1, wherein, The unique digital shoe ID code includes an encryption token key, which has a code string divided into a series of code subsets, wherein a first plurality of code subsets include data indicating the attributes of the digital shoe.

3. The method according to any one of claims 1-2, further comprising: In response to receiving the transaction confirmation, a notification is sent to the second party using a unique key, which has a hash address of the encrypted token.

4. The method according to any one of claims 1-2, further comprising: Receive a digital reproduction request with a request to mix the encrypted digital asset with a fifth party's encrypted digital asset; as well as A child cryptographic asset is generated by using a combination of one or more features from the said cryptographic digital asset and one or more features from the cryptographic digital asset of the fifth party.

5. The method according to claim 4, wherein: The unique digital shoe ID code includes a first encrypted token key, which has a first code string divided into a series of first code subsets, the first of which includes data indicating the attributes of the digital shoe; The fifth-party's encrypted digital assets include a second encrypted token key, which has a second code string divided into a series of second code subsets, the first of which includes data indicating the attributes of the fifth-party's digital shoe; and The offspring encrypted digital asset includes a third encrypted token key, which has a third code string divided into a series of third code subsets, the first of the third code subsets including data from the first of the first code subsets, and the second of the third code subsets including data from the first of the second code subsets.

6. The method according to claim 5, wherein, The first one in the first code subset and the first one in the third code subset both share a first unique alphanumeric sequence, and the first one in the second code subset and the second one in the third code subset both share a second unique alphanumeric sequence.

7. The method according to claim 5, wherein, Generating the offspring encrypted digital assets includes applying a random number generator so that: Designate one of the encrypted digital assets or the encrypted digital assets of the fifth party as the parent; Designate the parent asset as either the encrypted digital asset or the encrypted digital asset of the fifth party; and Determine which part of the third code subset corresponds to which part of the first code subset, and which part of the third code subset corresponds to which part of the second code subset.

8. The method according to claim 4, wherein, The offspring encrypted digital assets include offspring digital shoes, and the method further includes exporting the offspring digital shoes to a video game application for use in conjunction with the application's digital character.

9. The method according to any one of claims 1-2, further comprising: Receive a new transaction confirmation indicating a new valid transfer of the footwear items from the second party to the fourth party.

10. The method according to any one of claims 1-2, further comprising: Generate smart contracts that can operate to authenticate ownership and track future transactions of the encrypted digital assets.

11. The method according to any one of claims 1-2, wherein, The unique owner ID code is associated with a cryptocurrency wallet registered in the distributed blockchain ledger.

12. The method according to any one of claims 1-2, wherein, The transaction confirmation includes a Universal Product Code (UPC) and / or a Unique Product Identifier (UPIN) corresponding to the brand and model of the footwear item.

13. The method according to any one of claims 1-2, further comprising: Export the digital shoes to a video game application for use in conjunction with the application's digital characters.

14. A middleware server computer for automatically generating encrypted digital assets associated with footwear items, each footwear item including an upper for attaching to a user's foot and a sole structure attached to the upper for supporting the user's foot, the middleware server computer being programmed to: Upon successful payment, a transaction confirmation indicating the effective transfer of footwear from the first party to the second party is received via a distributed computing network from the point-of-sale terminal, online store transaction module, or approved third-party electronic payment system. In response to receiving a transaction confirmation, a unique owner identification code, i.e., a unique owner ID code, is determined from the encrypted relationship database associated with the second party. The user device of the second party receives a scan confirmation, which verifies that the Universal Product Code (UPC) and / or Unique Product Identifier (UPIN) corresponding to the brand and model of the footwear item have been scanned. In response to the receipt of the scan confirmation, a cryptographic digital asset for the footwear item used in the transaction is generated; Link the encrypted digital asset to the unique owner ID code, wherein the encrypted digital asset includes a computer-generated digital shoe and a unique digital shoe ID code, and wherein the digital asset can be transferred separately from the footwear item; Transmit the unique digital shoe ID code and the unique owner ID code to the distributed blockchain ledger to record the transfer of the encrypted digital asset to the second party on the transaction block; Receive a digital transfer proposal with a request to transfer the encrypted digital assets to a fourth party; Determine a new unique owner ID code associated with the fourth party; Link the encrypted digital asset with the new unique owner ID code; and The unique digital shoe ID code and the new unique owner ID code are transmitted to the distributed blockchain ledger for recording on a new transaction block.

15. A storage medium having computer-executable program instructions stored therein, the computer-executable program instructions being configured to cause, when executed by a suitable computer, the computer to perform the method according to any one of claims 1-13.

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