SYSTEM AND METHOD FOR PROVIDING CRYPTOGRAPHICALLY PROTECTED DIGITAL ASSETS

By linking physical footwear or apparel with virtual collectibles using blockchain-secured cryptographic assets, the challenge of unauthorized reproduction is addressed, allowing controlled scarcity and enhanced user interaction, thus maintaining brand value and exclusivity.

JP7732047B2Active Publication Date: 2025-09-01NIKE INNOVATE CV
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Patent Information

Application Number
JP2024107295
Authority / Receiving Office
JP · JP
Patent Type
Patents
Current Assignee / Owner
Priority Date
2019-05-28
Filing Date
2024-07-03
Publication Date
2025-09-01
Estimated Expiration
2039-12-09

AI Technical Summary

Technical Problem

The unauthorized reproduction and distribution of digital products undermine brand value and exclusivity, complicating a company's ability to control the supply and influence the value of digital objects, particularly in the context of customizable digital items in video games.

Method used

Implementing cryptographic digital assets secured by blockchain technology to link physical footwear or apparel with virtual collectibles, allowing controlled scarcity and user interaction, such as breeding and trading, through a distributed computing system with blockchain control logic.

Benefits of technology

Enables businesses to control the supply and exclusivity of digital objects, enhancing brand engagement and user interaction, while preventing unauthorized reproduction and maintaining the perceived value of digital items.

✦ Generated by Eureka AI based on patent content.

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Patent Text Reader

Abstract

To provide a cryptographically secured digital assets for articles of footwear, methods for making / using such cryptographic digital assets, and decentralized computing systems with blockchain control logic for mining, intermingling, and exchanging blockchain-enabled digital shoes.SOLUTION: A method for providing digital assets includes the steps of: receiving transaction confirmation representing completed transactions of footwear articles from a first party to a second party or digital files representing thereof; and transmitting a cipher block to a distributed blockchain ledger for recording a transfer of a cryptographic digital asset to the second party.SELECTED DRAWING: Figure 2
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Description

[Technical Field]

[0001] (CROSS-REFERENCE TO RELATED APPLICATIONS) This application claims the benefit of priority to U.S. Patent Application No. 16,423,671, which is expected to issue as U.S. Patent No. 10,505,726 on December 10, 2019, and which claims the benefit of priority to U.S. Provisional Patent No. 62 / 776,699, filed December 7, 2018. Both references are incorporated herein by reference in their entirety.

[0002] The present disclosure generally relates to computerized systems and methods for the creation and distribution of cryptographically secured digital footwear and apparel, and distributed computing systems and blockchain control logic for providing the same. [Background technology]

[0003] Manufacturers of quality footwear have long been plagued by the sale of counterfeit footwear, i.e., imitation goods created with the intent of deceiving buyers into believing they are purchasing authentic goods from genuine manufacturers. Similar problems exist in the digital realm, as digital products are often subject to unauthorized sale and reproduction. Such unauthorized / counterfeit production and / or digital reproduction can undermine brand value and / or exclusivity, negatively impact a company's profitability, and can undermine users' subjective perception of the product as a "collectible."

[0004] Market participants and brand enthusiasts in a free market typically assign a higher value to an object when there is limited supply and / or excess demand for that object. While these realities are obvious in the physical world (especially to avid collectors), similar market realities exist within the digital realm.

[0005] In the physical world, many anti-counterfeiting technologies have been developed to identify counterfeit products and prevent their unauthorized sale. However, within the digital realm, supply is often unconstrained by subsequent parties who may freely (or fraudulently) reproduce entire digital objects, if not by the original developer. This often complicates a brand owner's ability to control the exclusivity of a digital object and / or influence the value of that object. And, a lack of control over the exclusivity of a digital object diminishes the opportunity for free brand promotion by product enthusiasts and collectors who seek out the object (as is often the case with the release of limited-edition sneakers by "sneakerheads").

[0006] With the proliferation of first- and third-person video games that include customizable skins, apparel, and gear, there is an opportunity to engage and influence users in the digital realm through collectible objects, thereby enabling them to become more involved with brands in the real world. Similarly, there is a need for retailers to more directly influence and / or control the nature and ultimate supply of digital objects within this virtual marketplace. Summary of the Invention

[0007] Presented herein are cryptographic digital assets for footwear and apparel products, methods for supplying and intermingling such cryptographic digital assets, and a distributed computing system with blockchain control logic for mining, intermingling, and exchanging blockchain-enabled digital shoes and apparel. More specifically, the technology described herein relies on the trust established in and by blockchain technology to enable businesses to control the creation, distribution, expression, and use of digital objects representing their brands. Unlike typical digital assets, which can be freely reproduced without loss of content or quality, blockchain technology's use of a discrete record of ownership precludes the ability for simple digital duplication of digital objects. In doing so, businesses have the ability to control or limit the overall supply of digital objects (or object traits), creating controlled scarcity if desired.

[0008] This disclosure contemplates that, in some examples, a digital object may represent: a physical object offered for retail sale; a 2D or 3D design rendering or design file that may be suitable for future production; a virtual representation of an object not currently intended for physical creation / production; or other such object.

[0009] To further drive brand engagement and usage of digital objects, in some embodiments, the visual representation of a displayed digital object may be altered by a user's use of the object, a user's use of an associated retail product or app, or other such measures of object / brand engagement. In some embodiments, attributes of the digital object and / or its visual representation may affect how the object or a user-controlled character behaves within a video game context.

[0010] For example, but not by way of limitation, a cryptographic digital asset may be presented that is provisioned via a blockchain ledger of transaction blocks and functions to connect real-world products, such as physical shoes, to virtual collectibles, such as digital shoes. When a consumer purchases a physical shoe (colloquially referred to as a "kick"), a digital representation of the shoe may be generated, linked to the consumer, and assigned a cryptographic token, where the digital shoe and cryptographic token collectively represent a "CryptoKick." The digital representation may include a computer-generated avatar of the shoe or a limited-edition artist's rendition of the shoe. The digital asset may be protected by a cryptographically secured block that contains a hash pointer, a transaction timestamp, and transaction data as a link to the relevant block in the distributed blockchain. Using digital assets, buyers can securely buy and sell tangible pairs of shoes, buy and sell digital shoes, store digital shoes in cryptocurrency wallets or other digital blockchain lockers, mix or "breed" digital shoes with other digital shoes to create "shoe offspring," and, subject to rules of acceptable shoe manufacturability, create new breeds of shoe offspring as new tangible pairs of shoes.

[0011] In some embodiments, the purchase of a pair of genuine, tangible shoes may enable or “unlock” a corresponding encrypted digital asset and the digital shoes associated with that digital asset. For example, when an individual purchases a pair of real-world shoes from a registered seller, the physical shoes' unique (e.g., 10-bit numeric) physical shoe identification (ID) code may be linked to the purchaser's unique (e.g., 42-bit alphanumeric) owner ID code. Simultaneously, an access prompt with a unique (e.g., 64-bit numeric) key is issued to a cryptocurrency wallet account associated with the owner ID code, allowing the purchaser to retrieve the digital shoes with the encrypted token; the key, token, and digital shoes are assigned to the owner ID code. For example, a first Ethereum Request for Comments (ERC) 721 or ERC 1155 token may be granted to authenticate and trade the physical shoes, and a second ERC 721 / ERC 1155 token may be granted to access, multiply, and trade the digital shoes. In at least some implementations, real-world environmental effects, such as using a particular type of physical shoe, may affect the digital representation of the shoe. Respective cryptographic tokens may be assigned to the physical shoe and the encrypted digital asset; alternatively, a single cryptographic token may be assigned to both the physical shoe and the encrypted digital asset.

[0012] In some embodiments, a digital asset may include genotypic and / or phenotypic information about a digital shoe. This genotypic / phenotypic data may represent the digital asset's specific traits, attributes, color, style, background, etc., and may be adjusted according to "breeding rules" that govern the mixing of the digital shoe with one or more other discrete digital shoes. Phenotypic characteristics may depend on the genotypic information along with one or more of the following: virtual environment and collateral effects; time-dependent mixing restrictions (e.g., not allowing offspring of a virtual shoe to be bred until they reach a preset maturity); virtual user interactions that alter maturation (e.g., speeding up or slowing down) or increase or decrease the likelihood of certain traits developing; user real-world interactions (e.g., running increases the number of good / desirable qualities, increases the maturation rate of virtual offspring, etc.); shoe cloning and allowing the owner to set the total number of clones that can be produced from desired offspring for actual real-world production, or vice versa. Some optional features may also include: surrogacy features for breeding plans between two or more separate digital shoes; parenting / nanny features provided by a third party entity that does not own the digital shoes; behavioral and animated features designed to make the digital shoes appear more life-like (e.g., personality that changes over time); the "breeding rights" of the digital shoes may be governed by one or more real-world manufacturing constraints; ownership of each successive generation of digital shoes may be tied to the original real-world shoes (e.g., in whole or in part; by percentage of genotype contribution, etc.) via an encryption key to the originally associated virtual product.

[0013] Aspects of the present disclosure are directed to methods for providing, mixing, and / or exchanging encrypted digital assets for footwear. In one example, a method is presented for automating the generation of encrypted digital assets associated with an article of footwear. This exemplary method includes, in any order, in combination with any of the above or the following: receiving a transaction confirmation indicating a valid transfer of authentic footwear from a first party to a second party via a server-class (middleware or backend) computer on a distributed computing network from a remote computing node (e.g., a point-of-sale (POS) terminal, a personal computer, a smartphone, etc.); 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 encrypted digital assets associated with the footwear product, the encrypted digital assets including a digital shoe (e.g., a computer-generated avatar) and a digital shoe ID code (e.g., a key and a cryptographic token); linking the encrypted digital assets to the unique owner ID code via the middleware server computer; and submitting the unique digital shoe ID code and the unique owner ID code in a transaction block via the middleware server computer to a distributed blockchain ledger (e.g., Bitcoin, Aethereum, Litecoin, etc.) for recording via the middleware server computer.

[0014] Another aspect of the present disclosure relates to a distributed computing system with associated blockchain control logic for mining, mixing, and exchanging blockchain-enabled digital shoes. As an example, a distributed computing system for automating the generation of encrypted digital assets associated with footwear products is presented. The distributed computing system includes a wireless communication device that connects with one or more remote computing nodes via a distributed computing network, and an encrypted digital asset registry that stores digital shoes associated with multiple encrypted digital assets and unique digital shoe ID codes. Other peripheral hardware may include a network interface bus, resident and / or remote memory, a user location tracking device, a UPC / UPID scanner, etc.

[0015] Continuing with the above example, the distributed computing system also includes a server-class (middleware or back-end) computer operatively connected to the wireless communication device and the encrypted digital asset registry. The middleware server computer is programmed to execute firmware and software stored in memory to receive, from a remote computing node over the distributed computing network, an electronic transaction confirmation indicating a validated transfer of the authenticated footwear from one party to another. In response to receiving the transaction confirmation, the server-class computer retrieves the transferee party's unique owner ID code from the encrypted relational database and generates encrypted digital assets associated with the footwear product. The encrypted digital assets include computer-generated digital shoes provided through a unique tokenized code with a corresponding access key. The server-class computer then links the encrypted digital assets to the unique owner ID code in the encrypted digital asset registry and transmits the unique digital shoe ID code and the unique owner ID code in a transaction block to the distributed blockchain ledger for recording.

[0016] For any of the disclosed systems, methods, digital assets, and footwear, the unique digital shoe ID code may include a cryptographic token key having a code string segmented into a series of code subsets. A first of these code subsets may include data indicative of attributes of the digital shoe. This attribute data may include genotypic and phenotypic data for the digital shoe. A second of these code subsets may include data indicative of attributes of a real-world footwear product, such as colorway, materials, manufacturing, make, sustainability / environmental responsibility, and / or model data for the footwear product.

[0017] For any of the disclosed systems, methods, digital assets, and footwear, a server-class distributed system computer may respond to receiving the transaction confirmation by sending an electronic notification to a second party with information for accessing the encrypted digital asset. The server-class computer may then receive a scanning confirmation from the second party's handheld personal computing device verifying that a Universal Product Code (UPC) and / or Unique Product Identification Number (UPIN) corresponding to the make and model of the footwear has been scanned. Linking the encrypted digital asset with the unique owner ID code may be performed in response to receiving the scanning confirmation. 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 having a hash address to the cryptographic token.

[0018] For any of the disclosed systems, methods, digital assets, and footwear, a server-class computer may receive a digital breeding request (from any participating party) with a request to mix an encrypted digital asset with a third-party encrypted digital asset. Upon receiving this request, the server-class computer may responsively generate a progeny encrypted digital asset having a combination of one or more features from the second-party encrypted digital asset and one or more features from the third-party encrypted digital asset. For example, each encrypted digital asset may be assigned a respective unique encrypted token key having a code string segmented into a series of code subsets. One or more of these code subsets may include data indicating attributes of the corresponding digital shoe. The progeny encrypted digital asset is provided via a separate encrypted token key having a code string comprised of one or more code subsets having attribute data extracted from the encrypted token key of the second-party digital asset and one or more code subsets having attribute data extracted from the encrypted token key of the third-party digital asset. For example, one code subset of the progeny digital asset may share a distinct alphanumeric sequence with a code subset of the second-party digital asset, while another code subset of the progeny digital asset may share a distinct alphanumeric sequence with a code subset of the third-party digital asset. Generating the progeny encrypted digital asset may include: designating one of the mating encrypted digital assets as a sire and designating the other mating encrypted digital asset as a dam, and applying a random number generator to determine which code subsets of the progeny correspond to which code subsets of the sire and which code subsets of the dam.

[0019] For any of the disclosed systems, methods, digital assets, and footwear, a server-class computer may receive a digital transfer proposal (from either the transferor or transferee) requesting to transfer the encrypted digital assets to a third party. The server-class computer may respond by determining a new unique owner ID code for the third party, linking the encrypted digital assets with this new unique owner ID code, and recording the transfer of the unique digital shoe ID code to the new unique owner ID code on a new transaction block in the distributed blockchain ledger. The digital transfer proposal may be sent in response to a confirmation indicating a new, inherited transfer of the footwear product from a second party to the third party. Alternatively, the transfer of the encrypted digital assets to the third party may be independent of the transfer of the physical footwear. Optionally, the server-class computer may generate a smart contract to authenticate ownership of the encrypted digital assets and / or track future transactions of the encrypted digital assets. The unique owner ID code may be linked to a cryptocurrency wallet registered on the distributed blockchain ledger.

[0020] The above summary is not intended to represent all embodiments or every aspect of the present disclosure. Rather, the foregoing summary merely provides an illustration of some of the concepts and features described herein. The above features and advantages, as well as other features and attendant advantages of the present disclosure, will become readily apparent from the following detailed description of illustrated examples and exemplary modes for carrying out the present disclosure when taken in conjunction with the accompanying drawings and appended claims. Moreover, the present disclosure expressly includes any and all combinations and subcombinations of the elements and features set forth above and below. [Brief explanation of the drawings]

[0021] [Figure 1] FIG. 1 illustrates a side view of an exemplary footwear product having collectible digital assets secured by cryptographic tokens provided through a blockchain ledger according to aspects of the present disclosure.

[0022] [Figure 2] FIG. 1 is a schematic diagram of an exemplary distributed computing system for mining, mixing, and exchanging encrypted digital assets according to aspects of the present disclosure.

[0023] [Figure 3] FIG. 1 is a schematic diagram of the functional structure of a distributed computing system for mining, mixing, and exchanging encrypted digital assets according to an aspect of the present disclosure.

[0024] [Figure 4] FIG. 10 is a flowchart illustrating an exemplary workflow algorithm for generating collectible digital shoes secured by cryptographic tokens on a blockchain ledger, which may correspond to instructions stored in memory executed by a control logic circuit, a programmable electronic control unit, or other computer-based device or network of devices, in accordance with aspects of the disclosed concepts.

[0025] [Figure 5] FIG. 1 is a diagram of an exemplary graphical user interface (GUI) of a personal computing device showing a library of multiple encrypted digital assets.

[0026] [Figure 6] FIG. 1 is a diagram of an exemplary graphical user interface (GUI) of a personal computing device illustrating a collaboration or propagation event between two encrypted digital assets.

[0027] [Figure 7] FIG. 1 is a functional diagram of the acquisition of encrypted digital assets via linked retail products.

[0028] [Figure 8] FIG. 1 is a functional diagram of the acquisition of encrypted digital assets via promotional giveaways at events.

[0029] [Figure 9] FIG. 1 is a diagram of an exemplary graphical user interface (GUI) for a personal computing device illustrating the use of genotypic and phenotypic traits of encrypted digital assets within a video game.

[0030] [Figure 10] FIG. 1 is a functional diagram of an exemplary graphical user interface (GUI) of a personal computing device operating on a distributed computing system to provide virtual user interaction to modify genotypic and phenotypic characteristics of encrypted digital assets according to an aspect of the present disclosure.

[0031] [Figure 11] FIG. 1 is a functional diagram of multiple users engaging in a collaborative experience, such as participating in a digital collectable card game.

[0032] The present disclosure is susceptible to various modifications and alternative forms, and several representative embodiments are shown by way of example in the drawings and described in detail herein. However, it should be understood that the novel aspects of the present disclosure are not limited to the particular forms shown in the drawings listed above. Rather, the present disclosure is intended to cover all modifications, equivalents, combinations, subcombinations, substitutions, groupings, and alternatives within the scope of the present disclosure as encompassed by the appended claims. DETAILED DESCRIPTION OF THE INVENTION

[0033] The present disclosure is susceptible to embodiment in many different forms. Representative examples of the present disclosure are shown in the drawings and are described in detail herein, with the understanding that these representative examples are provided as illustrations of the disclosed principles, not as limitations on the broader aspects of the disclosure. To that extent, elements and limitations set forth in the Abstract, Technical Field, Background, Summary, and Detailed Description sections but not explicitly recited in the claims should not be incorporated into the claims, either individually or collectively, by implication, inference, or otherwise.

[0034] For purposes of this detailed description, unless otherwise expressly stated, the singular includes the plural, and vice versa. The words "and" and "or" are intended to be both conjunctive and disjunctive. The words "either" and "all" are intended to mean "any and all." The words "include," "have," "have," "including," and the like each mean "including, but not limited to." Additionally, approximation terms such as "about," "approximately," "substantially," "approximately," and the like may be used herein to mean, for example, "at, near, or approximately," or "within 0-5% of," or "within acceptable manufacturing tolerances," or logical combinations thereof. Finally, directional adjectives and adverbs such as front, rear, medial, lateral, proximal, distal, vertical, horizontal, front, rear, left, right, etc., may be relative to the article of footwear when worn on a user's foot, and may be operatively oriented, for example, at the ground-engaging portion of the sole structure that rests on a flat surface.

[0035] Aspects of the present disclosure are directed to computer-generated digital / virtual collectibles, such as digital shoes (e.g., "CryptoKicks"); in some examples, the digital assets may be secured 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 tangible pair of shoes. In other embodiments, instead of being linked to or distributed with a real-world physical product, the digital assets may be linked to or distributed with 2D or 3D design files, such as CAD models, graphical renderings, images, or graphics packages, from which a physical product can be built or otherwise represented.

[0036] In some embodiments, various digital assets may be used by businesses to stay on top of consumer trends and preferences. For example, a business may create several product-compatible designs with different features, silhouettes, colors, etc., and then distribute them as digital assets across one or more digital platforms, and then monitor the popularity, value, demand, and / or virtual use of the different product designs and / or features. Doing so may provide valuable understanding of real-time demand for products, which may help prioritize designs for future production.

[0037] In some embodiments, digital assets or attribute modifiers may be created for brand promotional purposes. For example, digital shoes may be created in preset and / or controlled limited quantities and distributed as part of a promotion, event, moment, or contest. Spectators at a professional sporting event (e.g., the home opener) may be entitled to one of a limited number of unique digital assets, each separately secured via a unique cryptographic token.

[0038] As used herein, "cryptocurrency digital assets" or simply "digital assets" may refer to any computer-generated virtual object, including digital footwear, apparel, headgear, avatars, pets, etc., bearing a unique, non-fungible tokenized code ("token") that is registered and verified on a blockchain platform or otherwise registered in an immutable database. Additionally, all references to "CryptoKicks" and variations of that term within this disclosure should be understood to be examples of virtual collectibles backed by a unique, non-fungible token or registry entry in an immutable database, and should not be limited to just footwear. All such references should be read to apply equally to apparel (e.g., "CryptoThreads"), headgear (e.g., "CryptoLids"), and sporting equipment (e.g., "CryptoGear") or other such objects.

[0039] In some embodiments, a virtual object may have multiple attributes (i.e., phenotypic characteristics) that are derived at least in part from an encrypted alphanumeric string that may be associated with a cryptographic token. In this sense, the alphanumeric string may resemble the virtual object's genetic code (i.e., the genotypic information is the underlying code / code segment, and the phenotypic traits are the expression of the genotypic information). While phenotypic traits may depend on the encoded genotypic information, in some embodiments, phenotypic traits may further depend on any one or more of: the virtual environment (e.g., virtual check-ins, situation-specific criteria, etc.); time-dependent breeding (e.g., a user is limited to breeding the virtual shoe's offspring until it reaches a set maturity); virtual user interaction (which may accelerate or slow down maturation, or increase or decrease the likelihood of occurrence of particular traits); real-world user activity (e.g., a user's level of physical activity may increase one or more "desirable" qualities; daily use of associated goods may accelerate the maturation of virtual offspring, etc.); cloning limits set by a manufacturer, point of sale, owner, etc. (e.g., predetermining the maximum number of clones that can be produced from desirable offspring for actual real-world production).

[0040] In the context of footwear, each unique token may be directly linked to a single CryptoKick object, which may be embodied as a virtual replica or digital art version of a sneaker. In one embodiment, the token may include a 64-bit alphanumeric code divided into individual code segments. One or more or all of the code segments of the alphanumeric code may represent data indicative of collectible digital shoe attributes. For example, a series of code segments may provide digital shoe attributes such as style, material, family, heat, color scheme, future attributes, manufacturer, model, pattern scheme, image background, etc. Each subset of code may generally function as a genotype that produces a visual phenotype expression to the user. In some embodiments, the initially created CryptoKick may include encrypted token data representing attributes from a companion physical shoe. During the creation of a CryptoKick, a smart contract may be generated to authenticate ownership and track future transactions of the CryptoKick. The digital shoe attributes may also be linked to a bill of materials.

[0041] In a typical example, an authenticated pair of physical shoes is created and assigned a unique product identifier (UPID). Once purchased by a consumer, the UPID is used to unlock a "crypto digital asset"—CryptoKick—consisting of a collectible digital shoe and a unique non-fungible token (NFT) that operates on a blockchain-based distributed computing platform.

[0042] Generally, before a consumer can unlock or acquire a CryptoKick, they may first be required to obtain a blockchain locker address (e.g., an Ethereum hardware wallet). This blockchain locker may be used to store private keys belonging to the CryptoKick NFTs and may optionally be linked to a personal user account (e.g., a NIKEPLUS® account profile) registered with the original manufacturer of the physical shoes.

[0043] It is envisioned that there are several ways a user may be enabled to unlock their CryptoKick. As a first example, upon scanning the shoes' UPC or UPID at a point-of-sale terminal during an initial purchase or otherwise associated directly with the product, a unique cryptographic token and corresponding private key are automatically generated and assigned to the user's blockchain locker (see Figure 7). In a second example, the KickID is provided to the user via a printed or digital receipt, a visual or electronic tag (RFID or NFC) hidden in the physical shoes, a pop-up message or email sent to a personal user account, a push notification or text message sent to a smartphone, or some other record; the consumer uses the KickID to link their CryptoKick to their digital blockchain locker. In another example, the user may be required to assemble their KickID partially via a physical code or UPID associated with the shoes (on the box, hang tag, under the label, on the insole, etc.) and partially via a transaction authentication code (i.e., to prevent consumers from collecting their CryptoKick when they simply try on the shoes). Another example may require a user to "hunt" for a CryptoKick within a brick-and-mortar store by using photo "snapping" or augmented reality ("AR") functionality on a handheld personal computing device. In this method, a KickID may be provided via a verified transaction, but the user must separately find the hidden CryptoKick in AR hidden within the store or local area before the digital asset can be transferred to their locker (i.e., both the encryption key and the virtual object must be separately obtained before the transfer occurs). In this example, obtaining the encryption key may enable an AR engine associated with the user device to initiate a game in which the CryptoKick / virtual object associated with that key is hidden locally and can be found by the user.

[0044] In some examples, a CryptoKick may not originally be linked to a physical product, but instead may be gifted to a user as part of a brand's promotional campaign, event, moment, or experience. In one example, as generally shown in FIG. 8 , a user at a sporting event may be required to locate the CryptoKick within the event boundaries using the camera on their smartphone device. In this embodiment, a GPS associated with the smartphone device may limit the optical recognition capabilities to a specific geofenced area. Once the CryptoKick is located (e.g., effectively disguised in a billboard advertisement), the user may be prompted to scan a unique code, such as a barcode, on a ticket to the event. This two-part action may then transfer a uniquely provided token for that ticket to the user's locker. After the event, the promotion organizer may collect all unclaimed KickIDs for subsequent use at other promotional events. In yet other embodiments, the user may unlock the KickID upon receiving a digital design file or image. For example, in an online promotion, certain users may be selected (in an ordered or random manner) to receive an image, design file, or graphical rendering. A predetermined number of "winning images" may be displayed and / or transferred to the user's computing device for later display, where each is associated with a different unique KickID that can be used to facilitate the transfer of a CryptoKick to a private lock associated with the user. In some embodiments, the "winning image" may represent a purchase or successful agreement to purchase a particular physical or digital object. In other embodiments, the "winning image" may simply be a hidden or masked image within an online brand promotion page that requires user interaction to unmask.

[0045] After acquiring CryptoKicks, an owner may buy, sell, commingle, collect, or exchange CryptoKicks, for example, using physical, fiat, and / or digital currency. In some examples, an entity may maintain a digital online marketplace containing an inventory of CryptoKicks for sale and / or a marketplace that may broker transactions between individuals.

[0046] In one embodiment, it may be possible to breed or mash up two CryptoKicks (“CollaboKicks”) to create an offspring CryptoKick (“RVK” or “CollaboKick”). This CollaboKick will have a unique token and distinct attributes compared to the parent CryptoKick. The Collab may combine attribute data and / or genetic code from the two parent tokens to generate a new NFT or KickID, resulting in a CollaboKick. In some implementations, there may be a pre-established limit on the total number of Collab events within a given time limit, for example, to prevent overproduction of CollaboKicks between the same two users. The creation of CollaboKick genetic codes may be random, systematic, regulated, unconstrained, or a combination thereof. One or more code subsets may be based on controlled probability, for example, using Mendelian law. For example, if a first attribute code (e.g., molding heat) is represented by two genes (e.g., HH, Hh, hh), a CollaboKick would be considered "high heat" if it has both genes that are "hh" (a recessive trait). In other words, if the genotype data contained in the KickIDs of both CryptoKick parents have Hh as the "heat gene," the offspring CollaboKick would have a 25% chance of receiving the high heat gene, for example, using the Punnett Square method.

[0047] The option to conduct a Collab event may require one or both owners to comply with one or more prerequisites. As one example, two owners of a parent CryptoKick may be required to meet at a designated location or within a predetermined proximity of each other to create a CollabKick. For example, a user may use the "CryptoKick Collab" matching feature on a dedicated mobile software application ("app") to find other users to collaborate with. Using the app, both parties may set a time and location to meet and submit a formal request to a middleware computing node that sets and manages the terms of the Collab. Another example may involve a footwear manufacturer or third-party sponsor hosting a Collab event where CryptoKick owners meet at a designated location to collaborate with each other within a specific time frame.

[0048] In some embodiments, owners may be provided with some indication of the genetic characteristics of their CryptoKicks to facilitate more discreet Collaboration events. In one example, a user may desire a particular model of CryptoKicks in a certain exclusive color. The user may then search for CryptoKicks with the genetic code of that color and attempt to Collaborate with them. To further understand the value of traits, in some embodiments, users may be provided with a rarity score that provides an indication of the rarity or total circulating supply of each trait comprising their CryptoKick and / or an indication of the overall exclusivity of their CryptoKick. In this way, when offered for sale on the commercial market, a CryptoKick may have an intrinsic value that reflects the combined rarity or exclusivity of its various traits.

[0049] A predetermined set of blending rules may govern whether and how collaborations may be performed. For example, certain constraints may be imposed so that broad style guidelines are maintained in CollaboKick. In one embodiment, these style constraints may be the same constraints or guidelines that a company may use when creating a new version, color scheme, or iteration of an existing product line. When a Collab is created, the genetic blending algorithm may be constrained to ensure that the resulting CollaboKick maintains a similarity or silhouette indicative of an existing product or products. In one embodiment, these style guidelines or rules may be explicitly set by the company, but in another embodiment, they may be discovered and assembled using, for example, an image-based processing algorithm that can recognize style attributes (e.g., color patterns, materials, cuts, and / or dimensional patterns) from existing products.

[0050] In at least some implementations, CryptoKick can be programmed to function as a “living” digital pet that users feed, clean, entertain, and otherwise care for to ensure the pet is happy and healthy. Optionally, owners can care for their CryptoKick pet themselves or have a third-party user care for their CryptoKick pet. As a CryptoKick pet evolves—growing from a baby digital pet to a toddler, preschooler, and so on, all the way to adulthood—one or more attributes of the CryptoKick pet automatically change with age or are unlocked over time. Additionally, as a CryptoKick pet “grows” through various life stages, it may unlock versions of real-life shoes that the user could create. For example, if a CryptoKick pet evolved into a pair of royal blue trainers for toddlers, the user unlocked the option to purchase one or more special royal blue trainers in toddler sizes.

[0051] In some implementations, a user's CryptoKick may be imported into one or more other digital platforms, for example, to serve as a skin on a video game character that may be developed and / or controlled by the user. For example, if a user is active in a basketball video game, their CryptoKick may be imported into that game and worn by the user's player or team.

[0052] When CryptoKick is imported into another video game, in some configurations, different attributes of CryptoKick may result in changes in the ability levels of a user's character equipped with the assets. In one example, a user's character's attributes may be positively affected by the rarity or exclusivity of various attributes or by the rarity or exclusivity of an overall combination of assets. For example, a rare CryptoKick may confer better jumping ability or lateral speed, a rare CryptoThread may confer better strength or speed, and a rare CryptoLid may confer better vision.

[0053] In some embodiments, CryptoKicks users may determine the "best CollaboKick" on the market, for example, on a W / M / Q / Y basis. Such a voting scheme may be used to designate one or more CollaboKicks as suitable for commercial production of physical products bearing the likeness of the digital asset. As a further option, a CollaboKick that receives a pre-set threshold number of votes may automatically trigger a manufacturer to actually create the CollaboKick.

[0054] As CryptoKicks and CollaboKicks are transferred between users over time for selling, trading, buying, and collaborating, the history of each transaction can be tracked within a blockchain ledger of transactions. When a CollaboKick or CryptoKick is created, previous users will be notified of the existence of such a real-life pair and may be given the option to purchase a CollabKick / CryptoKick real-life pair.

[0055] As a further enhancement, in one embodiment, CryptoKicks may be backed by fungible tokens, where digital collectibles represent monetary value. In some implementations, specific attributes within the code assigned to the token may determine the value. For example, a style attribute representing high-top sneakers may have a first value, a style attribute representing yoga pants may have a second value, and a style attribute representing a running shirt may have a third value. In one embodiment, these values ​​may be allowed to fluctuate depending on market forces or may be tied to fiat currency.

[0056] Referring now to the drawings, in which like reference numerals refer to like features throughout the several views, FIG. 1 illustrates a representative footwear product, generally designated 10, depicted for illustrative purposes as an athletic shoe or "sneaker." The illustrated footwear product 10, also referred to herein simply as "footwear" or "shoe," is merely an exemplary application in which novel aspects and features of the present disclosure may be implemented. In one embodiment, the illustrated footwear product 10 may be or may be similar to a CryptoKick. Similarly, implementations of the present concepts for digital shoes and footwear-specific cryptographic tokens should also be understood as exemplary implementations of the disclosed concepts. Accordingly, it will be understood that aspects and features of the present disclosure may be utilized in other types of footwear and incorporated into logically related consumer products. As used herein, the terms "shoe" and "footwear" (including variations thereof) may be used interchangeably and synonymously to refer to any suitable type of garment worn on a human foot. Finally, features illustrated in the drawings are not necessarily to scale and are provided purely for educational purposes. Therefore, the specific and relative dimensions shown in the drawings should not be construed as limiting.

[0057] A representative footwear article 10 is generally shown in Figure 1 as a bipartite construction consisting primarily of a foot-receiving upper 12 attached atop an underlying sole structure 14. While only a single shoe 10 for a user's left foot is shown in Figure 1, a mirrored, substantially identical counterpart for a user's right foot may be provided. As will be recognized, the shape, size, material composition, and manufacturing method of shoe 10 may be varied, individually or collectively, to practically suit conventional or non-conventional footwear applications.

[0058] Continuing to refer to FIG. 1 , upper 12 is shown having a shell-like, closed toe and heel configuration for accommodating a human foot. Upper 12 in FIG. 1 is generally defined by three adjacent sections: toe box 12A, vamp 12B, and rear quarter 12C. Toe box 12A is shown as a rounded, forward tip of upper 12 extending from the distal phalanges to the proximal phalanges to encase and protect the user's toes. In contrast, vamp 12B is located posterior to toe box 12A and is the arched central portion of upper 12 extending from the metatarsals to the cuboid. As shown, vamp 12B also provides a series of lace eyelets 16 and a shoe tongue 18. Located behind vamp 12B is rear quarter 12C, which extends from the transverse tarsal joint to the calcaneus and comprises the rear portion of upper 12. Although depicted in the drawings as including three main segments, upper 12 may be manufactured as a single piece construction or may be composed of any number of segments, including a toe cap, heel cap, ankle cuff, inner liner, etc. For sandal and slipper applications, upper 12 may be in an open-toe or open-heel configuration, or may be replaced by a single strap or multiple interconnecting straps.

[0059] The upper 12 portion of footwear 10 may be manufactured from one or a combination of a variety of materials, such as textiles, engineered foams, polymers, and natural and synthetic leathers. Once cut to shape and size, the individual segments of upper 12 may be sewn, glued, fastened, welded, or otherwise joined together to form an interior cavity for comfortably receiving the foot. The individual material elements of upper 12 may be selected and positioned relative to footwear 10 to impart desired characteristics, such as durability, air permeability, abrasion resistance, flexibility, appearance, and comfort. An ankle opening 15 in the rear quarter 12C of upper 12 provides access to the interior of shoe 10. The circumference of upper 12 may be modified using laces 20, straps, buckles, or other conventional mechanisms to more securely hold the foot within shoe 10 and to facilitate foot entry and removal from upper 12. Laces 20 may be threaded through a series of eyelets 16 within or attached to upper 12 ; a tongue 18 may extend between laces 20 and an interior cavity of upper 12 .

[0060] The sole structure 14 is securely fastened to the upper 12 such that the sole structure 14 extends between the upper 12 and a support surface on which a user stands. The sole structure 14 may be fabricated as a sandwich structure having an upper insole 22, an intermediate midsole 24, and a lower outsole 26 or outsole surface. Alternative sole configurations may be fabricated with more or fewer than three layers. The insole 22 is shown partially disposed within the interior void of the footwear 10 and operatively attached to a lower portion of the upper 12 such that the insole 22 abuts the plantar surface of the foot. Beneath the insole 22 is a midsole 24 that incorporates one or more materials or embedded elements that enhance the comfort, performance, and / or ground reaction force attenuation characteristics of the footwear 10. These elements and materials, individually or in any combination, may include polymer foam materials such as polyurethane or ethyl vinyl acetate (EVA), filler materials, moderators, air-filled bladders, plates, lasting elements, or motion control members. Outsole 26 is positioned below midsole 24 and defines some or all of the lowermost ground-engaging portion of footwear 10. Outsole 26 may be formed from a natural or synthetic rubber material that provides a durable, wear-resistant surface for contacting the ground. Additionally, outsole 26 may be contoured and textured to enhance traction (i.e., friction) characteristics between footwear 10 and the underlying supporting surface.

[0061] As a general matter, each element, panel, section, and material of the footwear article 10 shown in Figure 1 may be separately depicted or defined in the digital CryptoKick. Furthermore, these attributes may similarly be reflected in the genetic code of the NFT, as described above.

[0062] FIG. 2 is a schematic diagram of an exemplary distributed computing system, generally designated 30, with accompanying blockchain control logic for mining, mixing, and exchanging blockchain-enabled digital collectibles. User 11 is communicatively coupled to a remote host system 34 and / or a cloud computing system 36 via a wireless communications network 38. While a single user 11 is illustrated communicating with a single host system 34 and a single cloud computing system 36 via distributed computing system 30, it is envisioned that any number of users may communicate with any number of remote computing nodes suitably equipped to wirelessly exchange information and data. Wireless data exchange between user 11 and remote computing nodes on distributed computing system 30 may occur directly, for example, via direct communications between host system 34 / cloud computing system 36 and a user device 39 (e.g., the user's smartphone 40, smartwatch 42, or other suitable personal computing device), or indirectly, for example, with all communications between user 11 and other computing nodes routed through host system 34. Only selected components of distributed computing system 30 are shown and described in detail herein. Nevertheless, the systems and devices described herein can include numerous additional and alternative features, as well as other available hardware and well-known peripheral components, for performing the various methods and functions disclosed herein, for example. While the described systems rely on blockchain ledgers and processes to record ownership of digital assets, it should be understood that the technology may operate on public or private chains and may utilize one or more forms of cryptography, encoding, proof-of-work challenges, or other concepts and techniques contained in available blockchain standards or suitable alternative immutable databases / ledgers.

[0063] Continuing with reference to FIG. 2 , the host system 34 may be implemented as a high-speed server computing device or mainframe computer capable of handling bulk data processing, resource planning, and transaction processing. For example, the host system 34 may act as middleware within a client-server interface to facilitate the necessary data exchange and communication with one or more “third-party” servers to complete a particular transaction. Meanwhile, the cloud computing system 36 may act as middleware for Internet of Things (IoT), Web of Things (WoT), Internet of Adaptive Apparel and Footwear (IoAAF), and / or Machine-to-machine (M2M) services, connecting various heterogeneous electronic devices with a service-oriented architecture (SOA) via a data network. As an example, the cloud computing system 36 may be implemented as a middleware node to provide different functions for dynamically onboarding heterogeneous devices, multiplexing data from each of these devices, and routing the data through reconfigurable processing logic for processing and transmission to one or more destination applications. Network 38 may be any available type of network, including a combination of public distributed computing networks (e.g., the Internet) and secure private networks (e.g., local area networks, wide area networks, virtual private networks). It may also include wireless and wired transmission systems (e.g., satellite, cellular networks, terrestrial networks, etc.). Most, if not all, data transaction functions performed by user 11 may be performed over wireless networks, such as, for example, wireless local area networks (WLANs) or cellular data networks.

[0064] As a distributed blockchain platform, the computing system 30 operates as an open but encrypted peer-to-peer network in which asset transaction records, known as "blocks," are linked via cryptographic hash functions in a distributed, immutable ledger of interconnected blocks, or "blockchain." Each block in the chain contains one or more digital asset transactions accompanied by corroboration information representing the validity of each transaction as assessed by peer validating devices. The encrypted, distributed computing architecture enables identity verification and authentication of traded assets while preventing duplication of cryptographically protected ("encrypted") digital assets registered on the platform. Decentralized asset management may work by encrypting proprietary asset files, splitting the encrypted code into small "nonsense" pieces, and sending these pieces to many different computing nodes on the distributed computing network. Validated owners are provided with private keys that indicate where their assets are located within the network and how to reconstruct or "decrypt" the files. For use as a distributed ledger, individual blockchains are typically managed by a host administrator and distributed to multiple peers that collectively follow a protocol for inter-node communication and block validation.

[0065] It should be appreciated that the disclosed systems and techniques provide many advantageous technical effects, including the creation and storage of a digital asset blockchain representing transactions between users of virtual collectibles. Additionally, blockchain technology enables the creation of unique, fully transferable digital assets that maintain their value through the general ability to not be losslessly copied (unlike traditional, insecure digital files).

[0066] Figure 3 provides an example of the functional structure of a distributed computing system 30 such as that shown in Figure 2. As generally shown, a user 11 may operatively interface with a user device 39 (i.e., an interface device 39), which may include one or more of a smartphone 40, a tablet computer, a smartwatch 42, a laptop computer, a desktop computer, a standalone video game console, smart footwear / apparel, or other similar internet-enabled device. The interface device 39 may be operatively configured to communicate with one or more of an immutable public database (e.g., a blockchain service / network 60—referred to as "blockchain 60"), a virtual object generator 62, an online digital marketplace 64, and / or a third-party integration service 66.

[0067] In general, blockchain 60 may include at least one non-fungible token registered thereto, containing genomic information representing a digital asset. Through user device 39, user 11 may own or be linked to a locker / wallet that contains a private encryption key that allows the user device to read encrypted data associated with the token. This key further allows user 11 to freely transfer ownership of the token.

[0068] In one embodiment, a virtual object generator 62 may be provided to generate digital objects based on genomic information associated with the token. More specifically, the virtual object generator 62 may be responsible for expressing the genomic information into multiple phenotypic characteristics. The virtual object generator 62 may employ multiple stylistic and artistic rules so that the resulting digital objects are unique yet recognizable according to a predetermined silhouette, style, object, or character. In some embodiments, the virtual object generator 62 may further operate based on other non-genomic factors, such as the asset's age, user activity (tracked via the user device), or use via a third-party platform. In such embodiments, these non-genomic inputs may alter phenotypic expression and / or unlock new abilities, breeding rights, and / or production rights. For example, in one configuration, the color of CryptoKick may depend on the asset's genetically assigned color, along with the asset's age and / or use in the virtual world or via a linked pair of physical shoes in the real world. The initial color, along with age / experience-based modifications, may result in new colors with their own relative rarity score / value.

[0069] The virtual object generator 62 and / or the blockchain 60 may further communicate with a hosted digital marketplace 64, forum, social platform, etc. (such as that generally shown in FIG. 5 , displayed on the smartphone 40). The digital marketplace 64 may represent multiple virtual objects 80 in a manner that enables the organized exchange or buying and selling of virtual objects between parties. At the close of a sale, the digital marketplace 64 may update the blockchain 60 with new ownership information and facilitate the transfer of existing keys to new asset holders. In some embodiments, the marketplace 64 may also enable various social engagement features, such as voting or commenting on the represented virtual objects. Similarly, in some examples, the marketplace 64 may be configured to assess and score the rarity of a particular virtual object based on the sum of the object's represented characteristics. Such a rarity score may enable the marketplace (and / or users participating in the marketplace) to better assess the object's value.

[0070] In one configuration, computing system 30 may further include a third-party integration service 66 that enables the use of virtual objects in different contexts or manners. Third-party integration service 66 may operate as an API on an app provided on the user's device or as a dedicated cloud-based service. In some embodiments, third-party integration service 66 may make virtual objects (e.g., as represented by virtual object generator 62) and / or genomic information available for external use. Examples of such uses may include skins for third-party video game characters, objects that can be used by third-party video game characters (see FIG. 9 ), digital artwork display, physical print generation, manufacturing production, etc. In one embodiment, genomic information and / or rarity scores may be made available to modify the characteristics or abilities of a user's video game character in a video game played on user device 39 (see FIG. 10 ).

[0071] 3, in one configuration, an enterprise host system 68 may communicate with the blockchain 60 for purposes of providing and / or initially creating new digital assets. Additionally, the host system 68 may 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 represented in visual / artistic form.

[0072] Referring now to the flowchart of FIG. 4 , an improved method or control strategy for generating collectible digital assets secured by cryptographic tokens on a blockchain ledger is generally illustrated at 100 in accordance with an aspect of the present disclosure. Some or all of the operations illustrated in FIG. 4 and described in further detail below may represent algorithms corresponding to processor-executable instructions that may be stored, for example, in main or secondary memory or remote memory and executed, for example, by a resident or remote controller, central processing unit (CPU), control logic circuit, or other module or device or network of devices to perform any or all of the functions described above or below related to the disclosed concepts. It should be appreciated that the order of execution of the illustrated operational blocks may be changed, additional blocks may be added, and some of the described blocks may be modified, combined, or eliminated.

[0073] Method 100 begins with processor-executable instructions for a programmable controller or control module or similar suitable processor to invoke an initialization procedure for a protocol for generating encrypted digital assets, such as computer-generated digital shoes 44 and cryptographic token key 46 of FIG. 2, for a consumer product, such as sneakers 10 of FIGS. 1 and 2, at terminal block 101. This routine may be invoked and executed in real time, continuously, systematically, sporadically, and / or at regular intervals. As an exemplary implementation of the method shown in FIG. 4, the initialization procedure at block 101 may begin automatically each time a pair of authentic footwear 10 is manufactured, each time a user 11 purchases a real-world pair of footwear 10, or each time a user 11 unlocks an access key 46. Alternatively, the initialization procedure may be manually initiated by an employee at the POS terminal or by the manufacturer.

[0074] Utilizing a portable electronic device 39, such as a smartphone 40 or smartwatch 42 of FIG. 2, user 11 may launch a dedicated mobile software application (“app”) or a web-based applet, such as NIKE+®, that cooperates with a server-class (back-end or middleware) computer (e.g., remote host system 34) to communicate with various peer devices on distributed computing system 30. During a communication session with host system 34, for example, user 11 may purchase a pair of footwear 10 using corresponding features provided by the app. User 11 enters personal information and a payment method to complete the transaction. Upon completion of a verified payment, host system 34 receives a transaction confirmation, for example, from an online store transaction module or an authorized third-party electronic payment system, indicating that the verified transfer of footwear 10 to user 11 has been completed. As described above, a valid transfer of footwear 10 may occur via any available means, including at a brick-and-mortar store, through an online auction website, aftermarket consumer-to-consumer trade / sale, etc.

[0075] Method 100 continues at decision block 103 to determine whether user 11 has obtained a cryptocurrency wallet or other similar suitable digital blockchain locker operable to, for example, upload and maintain location and retrieval information for digital assets stored in an encrypted and distributed manner. Cryptocurrency wallets typically store public and private key pairs but not the cryptocurrency itself. Cryptocurrency is held in a distributed, publicly stored blockchain ledger. The stored key allows the owner to digitally sign transactions and write them to the blockchain ledger. Platform-directed smart contracts associated with the locker can facilitate transfers of stored assets and create a verifiable audit trail thereof. If user 11 has not yet obtained a digital blockchain locker (block 103=NO), method 100 continues at predetermined process block 105 to set up a blockchain locker. As a non-limiting example, user 11 may be prompted or automatically routed to visit any of a variety of publicly available websites that offer hardware wallets for cold storage of cryptocurrencies and digital assets, such as the ERC20 compatible Ethereum wallet offered by MyEtherWallet.

[0076] Once the system verifies that user 11 has the appropriate digital blockchain locker, method 100 may automatically link or prompt user 11 to link the digital blockchain locker to a personal user account (e.g., a NIKEPLUS® account profile), as shown in process block 107 of FIG. 4. This may require remote host system 34 to retrieve a unique owner ID code (e.g., CryptoKick Owner ID 48 of FIG. 2) associated with the purchaser (e.g., user 11) from an encrypted relational database (e.g., provided through cloud computing system 36). At this point, the unique physical shoe ID code (CryptoKick Physical ID 50 of FIG. 2) associated with the purchased footwear 10 may be linked to the user's personal account.

[0077] Once user 11 determines they have acquired a digital blockchain locker (block 103=YES) or after linking their blockchain locker to their personal user account (block 107), method 100 continues at input / output block 109 to activate or “unlock” the encrypted digital assets associated with the footwear 10 traded in process block 101. As described above, after purchasing footwear 10, a CryptoKick Physical ID or universally recognized UPID product code may be used to search for a collectible CryptoKick, which generally consists of a collectible digital shoe 44 and a unique NFT identified by an encrypted token key 46. A salesperson at a point-of-sale terminal or user 11 using a smartphone 40 may scan the UPID or UPC on the shoe 10 or the box containing the shoe 10. Alternatively, user 11 may be prompted to engage in a “treasure hunt” using the smartphone's digital camera to scan various UPIDs throughout a brick-and-mortar store until they scan one linked to their KickID. Validating the encrypted digital asset can be automatic, random, systematic, prize-based, or in any logically appropriate manner.

[0078] After receiving confirmation that the encrypted digital asset has been authorized at input / output block 109, method 100 generates an encrypted digital asset for the processed footwear item. This may include generating a unique encrypted asset code having an address, a token, and a public / private key pair, as shown at predetermined process block 111. The host system 34 may transmit the token, along with the public key and owner ID, to the distributed blockchain ledger to record and peer-verify the transfer of the encrypted digital asset to user 11 in a transaction block. Method 100 continues at process 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 locker.

[0079] Continuing with reference to FIG. 4, method 100 proceeds to block 115 to generate a virtual representation or “digital art” of the encrypted digital asset. Continuing with the footwear example of FIG. 2, the virtual representation may include a computer-generated avatar of shoe 10 or a limited-edition artist's rendition of shoe 10. It is also envisioned that one or more attributes of the virtual representation of the encrypted digital asset may be created, in whole or in part, via user 11. Machine learning functions may be performed at predetermined process block 117 to generate image features via neural networks. Once the digital art is complete, the image may be uploaded to cloud computing system 36 at block 119. Additionally, optional process block 121 may issue a digital notification, such as an email or push notification, to the user's smartphone 40, smartwatch 42, or other personal computing device with all relevant information for accessing, transferring, and mixing the encrypted digital asset. The remote host system 34 may operate as a web server hosting a web-based graphical user interface (GUI) operable to convert data stored in the cryptographic keys into visual images displayed to the user 11 in optional process block 123. Manipulation and use of digital assets may also occur through the user's digital blockchain locker, which may include posting the encrypted digital assets online to a crypto collectibles marketplace for sale or breeding, as set forth in optional process block 125.

[0080] Prospective and current owners of encrypted digital assets, such as CryptoKick of FIG. 2, may buy and sell digital assets through one or more blockchain ledgers running on distributed computing system 30. By way of example, and not limitation, a user may purchase a new pair of highly sought-after sneakers from a verified vendor who may provide authenticated provenance records for the sneakers. While the sneakers are in transit, the user may receive an email notification with detailed instructions for unlocking their CryptoKick once the shipment arrives. After receiving the shoebox containing the purchased sneakers, the user scans the box's UPC with the barcode scanning function of a sneaker app running on their smartphone. In the sneaker app, a new profile page is activated in response, and the sneaker app opens the new profile page. In at least some applications, the new profile page is linked to, exported, or initially activated in the user's personal (NIKEPLUS®) account profile. Private and public blockchain platform keys are generated, genotype and phenotype data is generated, and this data is embedded into the alphanumeric code segment of the public key to create a virtual representation of the CryptoKick. The CryptoKick blockchain data, tokens, etc. are assigned to the user's new address. A new profile page lists the CryptoKicks the user has acquired.

[0081] A user may wish to lease, license, or transfer their new CryptoKick to one or more prospective buyers. In one example, a seller (also referred to herein as the “transferor” or “first party”) offers to sell, and a buyer (also referred to herein as the “transferee” or “second party”) agrees to purchase the CryptoKick for an agreed-upon amount (e.g., 3 ETH). An available CryptoKick may be of interest to a buyer because it possesses one or more attributes (e.g., artist, body type, color scheme, etc.) that the buyer is looking to add to their collection. A seller may initiate the selling process by marking a particular CryptoKick in the Sneaker App as “For Sale” via the “Auction” button on the corresponding softkey. The seller may set a minimum bid and / or buy-it-now price and provide an auction time frame, such as a selected number of hours, days, or weeks. The sneaker app may present the seller with a share modal that allows them to share the auction via regular social media or present a quick response (QR) code for potential buyers to scan. The buyer may then use their smartphone's digital camera to operate the sneaker app's scanning function to scan the QR code and send the required funds (e.g., 3 ETH) to the auction site. The seller's sneaker app will notify the seller of the payment, and the seller will be prompted to agree to the terms of the sale and complete the transaction. The CryptoKick is then transferred from the first party to the second party address.

[0082] Owners of cryptographic digital assets may wish to mix or "breed" their digital assets with other digital assets to create asset "offspring," as shown schematically in FIG. 6. A first digital asset owner and a second digital asset owner may wish to collaborate and crossbreed their digital assets 82, 84 to create a new cryptographic digital asset. The first owner may be set as the "primary artist" if their digital asset has attributes desired by the second owner. In this case, the second owner may initiate a smart contract with the first owner to collaborate. One or both parties may fund the contract with physical or digital currency, for example, to pay a "collaboration fee" set by the breeding host site for the transfer and an optional siring fee for the second owner's siring service. Once both parties agree and sign a breeding agreement, one or both parties may be prompted to select one or more traits from their "parent" digital asset and transfer them to the resulting "offspring" digital asset. Alternatively, a breeding host site may use a breeding algorithm to construct a new digital asset from two or more existing digital assets.

[0083] A "CollabScience" algorithm may be used to determine which contributing encrypted digital assets are designated as sires, which contributing encrypted digital assets are designated as dams, and which code subsets from each parent asset are used to construct the resulting digital asset's cryptographic token keys. For example, the token keys for two parent digital assets, DA1 and DA2, may appear as follows: DA1: 4352635657387611432650689898388672080892866850020829309339781214 DA2: 1997670191981520482540801616208235668515393854245661572126051434 The CollabScience algorithm may generate a random number, e.g., between 0 and 65535, using a random number generator (RNG) or other applicable means. Following this example, the random number may be 21123. Once generated, the CollabScience algorithm may convert the resulting number 21123 into the following binary code: 0101001010000011. Concomitantly, if the first digit of the binary code is a zero (0), then the first parent digital asset DA1 is designated as the sire and corresponds to all zeros in the string; and the first parent digital asset DA1 is designated as the sire and the second parent digital asset DA2 is automatically designated as the dam and corresponds to all ones in the string.

[0084] Continuing with the above example, the CollabScience algorithm segments the parent token key into multi-digit code subsets or "chunks." In this example, each parent token key is divided into 16 four-digit code subsets: Segment DA1: ['4352','6356','5738','7611','4326','5068','9898','3886','7208','0892','8668','5002','0829','3093','3978','1214'] Segment DA2:+['1997','6701','9198','1520','4825','4080','1616','2082','3566','8515','3938','5424','5661','5721','2605','1434'] The CollabScience algorithm then constructs a new token ID for the resulting "offspring" digital asset based on the digits in the random number, and the 16 chunks of the child token key are sequentially assigned 1s or 0s based on the binary code of the random number generated above. From this example, the first digit of the binary-coded version of the random number is zero; the first parent digital asset DA1 is the designated sire, which corresponds to zero. As a result, the first chunk of the child token key is copied from the sire's first chunk and set to 4352. Next, the second number of the binary-coded version of the random number is 1; the second parent digital asset DA2 is the designated dam, which corresponds to 1. As a result, the second chunk of the child token key is copied from the dam's second chunk and is therefore set to 6701, and so on, until all 16 chunks of the child token key are filled with the corresponding chunks from the parent token keys. Thus, the resulting new array for child digital asset DA3 looks like this: Segment DA3:+['4352','6701','5738','1520','4326','5068','1616','3886','3566','0892','8668','5002','0829','3093','2605','1434'] The CollabScience algorithm generates a new token key ID from the array as follows: 4352670157381520432650681616388635660892866850020829309326051434 CollabScience algorithms then process the encrypted digital assets, generate a virtual representation of the new assets, and assign the assets to the buyer's digital blockchain locker.

[0085] It is envisioned that other techniques may be used to determine the attributes of the offspring digital asset. For example, a Punnett Square may be implemented to represent dominant and recessive traits ("genes") from two parent digital assets and generate the probability of trait expression in the offspring digital asset. A Punnett Square is a graphical mechanism used to calculate the mathematical probability of a child asset inheriting a particular trait from two parent assets. The resulting array is provided to find all potential combinations of genotypes that can occur in a child given the parent genotypes by placing one parent's genotype at the top of the table and the other parent's genotype at the side. As seen in FIG. 2, the genotypic and phenotypic information contained in the cryptographic token key 46 includes the digital shoe's: breeding attributes ("collab"), material information, manufacturer data ("family"), manufacturing requirements ("heat"), color combinations ("color schemes"), future attributes, model data, and image background information.

[0086] Epigenetic factors can cause heritable phenotypic changes without changes in the underlying DNA sequence. In some cases, genotypic changes in encrypted token keys can be caused by real-world and / or virtual interactions, leading to changes in the phenotypic characteristics of cryptographic digital assets. Genes representing high and rare heat can be changed from Hhrr to HHRR by epigenetic factors such as: real-world shoe use can increase the likelihood of passing on genetic mutations or "good" genetic mutations to offspring; real-world workouts such as running or sports can increase good genetic mutations or speed up maturation of offspring assets; checking in to a store or other real-world benchmark can result in positive genetic mutations, passing on "good traits" to offspring, and speeding up maturation; and time-dependent breeding, which prevents two cryptographic digital assets from interbreeding before both assets reach a minimum age. Otherwise, breeding may fail or increase the probability of passing on "bad" genes to offspring; unique breeding seasons may cause genetic mutations; frequent interactions with other assets and other apps (e.g., trading, buying and selling, and collaboration) may lead to positive genetic mutations, passing on "good traits" to offspring, or speeding up maturation.

[0087] In some embodiments, an encrypted digital asset may use obtained encrypted digital attributes (“attribute packs”) to alter (e.g., mutate or edit) its underlying genotypic information or phenotypic expression. An encrypted digital attribute may include a subset of genotypic and / or phenotypic characteristics that is less than a complete representation of the encrypted digital asset. In the context of shoes, a CryptoKick attribute pack may include fewer features than the full CryptoKick, but genotypic and / or phenotypic information associated with one or more discrete features of the digital shoe. Exemplary attributes may include style, such as heel counter, laces, toe bumper, logo, color scheme, etc. When encrypted digital attributes are mixed with an encrypted digital asset, one or more of the genotypic code segments or phenotypic expressions may be directly replaced with those of the asset, or may be bred to create progeny attributes that include a probabilistic combination of existing attributes and attributes represented in the attribute pack. The resulting mutated / edited digital asset (and / or asset ID code) may then be recorded in a distributed blockchain ledger.

[0088] The ability to edit and / or mutate individual attributes of a user's digital asset fosters user engagement and enables a wide range of options for brand promotion. More specifically, a crypto-digital attribute pack may be released to mutate / modify an asset, such as to include the colors of a specific sports team or to include unique features or attributes from a similar crypto-digital asset of a major influencer. By analogy, this ability for targeted mutation / gene editing may be similar to CRISPR technology in the biotechnology world. In some implementations, if breeding rules govern the effect of an attribute pack on a digital asset, there may be probabilistic and / or uncertain outcomes regarding how the newly introduced attribute is expressed in the resulting crypto-digital asset. For example, if an attribute pack includes a team-specific color scheme, breeding / mixing may result in different expressions when mixed with different underlying assets (or even different expressions when applied to two identical underlying assets). In some embodiments, CryptoKick attribute packs may be offered in a manner similar to full-fledged CryptoKick, but in one embodiment, instead of being offered with complete footwear or apparel, they may be offered in conjunction with the sale of customization products or services (i.e., components or modification kits intended to modify footwear or apparel, rather than the complete footwear or apparel itself).Examples may include custom lace, temporary appliqués (e.g., logos or panels attached via hook-and-loop fasteners, snaps, or non-permanent adhesives), sale of kits for customization, and / or services for customization (e.g., dyeing services, sublimation, sale or application of dye kits or pigments, deposition layering, coloration layering, application of optical effects—structural color, static color, or pearl color modification; laser etching services, acid dye wash services; additive manufacturing—3D printing, dimensional painting, etc.).

[0089] To better control the distribution of encrypted digital attribute packs, each may be recorded on a distributed blockchain ledger upon creation, thus providing each attribute pack with a separate existence. In some embodiments, each encrypted digital attribute pack may include a smart contract that terminates the attribute pack's existence or its ability to be subsequently mixed with different digital assets. As such, in some embodiments, an attribute pack may be a single-use capability for editing or mutating the underlying digital asset. Additionally, in some embodiments, aspects of the smart contract may time-limit the ability to be mixed with the underlying digital asset.

[0090] As noted above, FIG. 7 schematically illustrates a method for obtaining a digital collectible or attribute pack that may be linked or coordinated with the sale of a physical product. That is, as shown in FIG. 7, a user 11 brings a device (i.e., a smartphone device 40) into proximity of a physical product 200 that includes an identifier (UPID) such as a QR code, barcode, digital image, RFID tag, NFC tag, BLUETOOTH ID, embedded processor registry entry, or some other machine-readable code. This code can then be recognized by the phone 40 either optically, via radio frequency communication, magnetic signature, or via wired data communication. Following identification / recognition of the UPID, the phone 40 can initiate the transfer and / or original provisioning of the digital assets 202 linked to that product 200 to the user's locker 204, which is in communication with the blockchain service / network 60. In an extension of this concept, the transfer of digital assets 202 may be further secured using, for example, a PIN, encryption key, access code, etc., which may be provided on a receipt after the user purchases product 200 .

[0091] In one embodiment, if user 11 acquires a CryptoKick by purchasing a pair of sneakers and then returns the sneakers, the smart contract associated with the CryptoKick may undo the acquisition and automatically return the tokens and full rights to the CryptoKick to the company / retailer. If the purchaser sells / exchanges the CryptoKick to a bona fide purchaser (BFP) before returning the shoes, this secondary transaction may be similarly undo / reversed. In some embodiments, along with the reversal of this secondary transaction, the BFP may be presented with the option to reacquire the CryptoKick from the company / retailer at a predetermined price (e.g., the asset's current price, a discounted price relative to the current price, a fixed price set prior to market release, or a nominal amount). In another embodiment, the CryptoKick's BFP may have the first right of refusal to acquire / purchase the returned physical product. This may be important in the case of limited-release sneakers, which are, by definition, rare.

[0092] FIG. 8 schematically illustrates a method for obtaining a digital collectible or attribute pack, such as in a promotional giveaway. As shown, a user 11 may use the AR capabilities of a smartphone 40 to locate a virtual object 210, such as CryptoKick, within an arena 212. In this example, CryptoKick may be “hidden” within a scoreboard 214 but may be freely recognizable using an app on the phone that interfaces with the phone’s camera. The app may instantiate the virtual object on the display when the camera recognizes a specific environmental optical pattern (i.e., the scoreboard within the arena) and the phone is geolocated within a specific area (i.e., via GPS sensing, beacons, geofencing technology, Wi-Fi connectivity, etc.). Once located, the user 11 may be prompted to scan a unique code, such as a barcode on a ticket, a program that may be placed on the user’s seat before the game, or a unique code provided on a physical item (e.g., a noisemaker, light stick, towel). This code may be associated and / or linked to an assigned, registered, or pre-provisioned crypto asset and KickID. Once this code is scanned or entered, the phone 40 may initiate the transfer of the digital asset 202 to the user's locker 204 in communication with the blockchain service / network 60. For example, the phone 40 may communicate the code to a server where the associated KickID may be retrieved and then forwarded to the locker associated with the user's ID.

[0093] In even more general brand promotion cases, the need to locate virtual objects may not be strictly required to receive CryptoKick or an attribute pack. Alternatively, a server, such as a middleware server, may receive an indication that a user device is located at a particular venue during a particular event. This indication may be derived from GPS-based location coordinates determined from a GPS receiver on the user device. More specifically, the determined GPS coordinates may be compared to a predetermined geofenced area around the venue, and the indication may indicate whether the device is inside or outside the venue. Alternatively, this indication may result from the device's proximity to one or more 802.11 or Bluetooth beacons located at the venue, or optical recognition of certain visual characteristics of the venue via a camera on the device. The server may then prompt the user, via the user device, to scan a unique identifier that should be easily obtainable by someone attending the event. Exemplary unique identifiers may include ticket barcodes, codes on physical objects, codes on the user's seat, codes printed on merchandise receipts, etc. Once this code is scanned or entered, the server may receive an indication of the user's unique ID and the unique scanned code. The server and / or user device may initiate the transfer of the digital assets 202 to the user's locker 204 in communication with the blockchain service / network 60. Other conditions, such as the discovery of an AR object at the venue or the occurrence of a specific event, may add additional conditional layers that must be met before the server executes the transfer. In some embodiments, the user device may record the device's presence by location and / or time, and CryptoKick claims may be available for a predetermined period of time after the event.

[0094] In some embodiments, the ability to acquire a CryptoKick may be further triggered by an aspect of the game / event rather than by finding an AR object or by the presence of the event alone. Examples of such triggering events may include, for example, a shutout (hockey / baseball), a no-hitter (baseball), a 50+ point individual performance (basketball), a triple-double (basketball), a hat trick (soccer / hockey), a scoreless quarter / period / half (basketball, hockey, soccer), and extra time / overtime. In such embodiments, the occurrence of the event may trigger an alert on the user's device 39, which prompts the user to scan the ticket to facilitate transfer. In one embodiment, to eliminate a secondary market for ticket stubs, an app on the user's device facilitating the notification may require that the scan occur only within a predetermined geofence and / or time of the game / event. In a further enhancement, the marketplace (discussed above) may further allow users 39 to sell their pending rights to a CryptoKick in the future if the triggering event occurs. This is similar to a user writing and selling a tradable option on CryptoKick that expires worthless or results in the option buyer acquiring the CryptoKick.

[0095] It should be understood that in any of the above-described methods of acquiring CryptoKicks, the attribute pack may be obtained by similar means / techniques. For example, in one embodiment, a user's presence at a sporting event may allow the user to receive an attribute pack including one of the team's colors. This attribute pack may be mixed with an existing CryptoKick to change or edit the existing color scheme attributes to the team color scheme. In some embodiments, transmitting a unique scanned code may redirect an application or browser on the user's device to a virtual storefront where each instruction's color scheme attribute pack may be made available and the user may be prompted to select one for acquisition. Similar virtual storefront techniques may also be useful for selecting and transferring CryptoKicks.

[0096] 9-10 schematically illustrate a video game interface 220 that includes a display 222. 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 coupled with the display 222. The device 39 may generally be configured to run 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 a number of attributes 230 that may affect how the character 226 behaves, responds, or performs within an environment 230 and / or how the character 226 interacts with other characters 232 controlled by the application 224 or other users within the networked environment.

[0097] In one context, the character 226 may be an athlete, and the environment 228 may be a sports environment. FIG. 9 illustrates a character 226 such as a soccer player and an environment 228 such as a soccer field within a stadium. The character's attributes 230 may include, for example, speed, ball control, passing, defense, kicking power, balance, and stamina (among other things). In one embodiment, the character 226 may be outfitted / skinned with a digital collectible (e.g., apparel 234) that may be uniquely backed by a token on the blockchain 60. In one embodiment, the digital collectible may have been acquired in any one of the ways described herein. In one configuration, the application 224 may access the genetic code of a digital asset on the blockchain 60 via an API or other software interface 236 (i.e., an embodiment of the third-party interface 66 described above) and / or may access the phenotypic expression of the object via an integrated software decoder or by accessing a network 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 the object 234. While Figure 9 illustrates the object as an article of apparel, it may equally be an article of footwear, an object that a character may use, sporting equipment, etc.

[0098] Further, based on the property concept of CryptoKick, in one embodiment, a user or business may rent or lease the use of a digital collectible within a video game for a certain period of time. In one embodiment, the lease may be constrained so that only one instance of a particular user's asset exists in any particular context. For example, a user may own full rights to an exclusive CryptoKick game. That user may simultaneously lease CryptoKick for one week in basketball game A, two weeks in soccer game B, and three weeks in first-person shooter game C.

[0099] Another option may include programming the encrypted digital asset as a virtual “pet” that the user cares for and helps grow from baby to adult. FIG. 10, for example, shows a user's avatar 226 virtually walking their pet CryptoKicks 240 within an environment 228 representing a virtual world and interacting with the avatar of another user 232. As discussed above, such virtual interactions may affect the pet CryptoKicks' evolution, value, maturation rate, visual appearance, marketability, etc. The digital asset's attributes may change with age or be unlocked over time. The user may care for the virtual pet directly or provide it to a third party (e.g., through transactions involving ETH payments or other means). As the virtual pet goes through various life stages, it may simultaneously unlock different real-life sneaker versions that the user can purchase in stores.

[0100] Referring again to FIG. 9 , much like the virtual pets of FIG. 10 , in some embodiments, gameplay, use of digital assets, or improvements in a character's level, experience, or achievements may operably change / modify one or more genotypic and / or phenotypic attributes of a digital asset / CryptoKick. Similarly, in some embodiments, gameplay, use of digital assets, or improvements in a character's level, experience, or achievements may operably change the impact a digital asset has on a character's abilities or gameplay. For example, in one embodiment, achieving a new level, winning a tournament, achieving a global ranking above a predetermined threshold, or other similar achievement may modify CryptoKick's attributes to have a unique or limited availability appearance, color scheme, skin, etc. Similarly, in some embodiments, such achievements may act as multipliers of the effect a digital asset has on a character.

[0101] 11 , in some embodiments, digital assets may take the form of or be used in a digital collectable card game (DCCG). In such a game, each user may have a collection of digital assets, each with a different set, balance, or weighting of attributes / attribute scores and / or different features, abilities, or powers. In some embodiments, users may take turns playing individual cards or groups of cards to win according to rules set by the game.

[0102] While trading card games are generally well known in and of themselves, the use of digital assets described herein may provide a unique extension to these games. Furthermore, these games may serve as additional uses and incentives for collecting digital assets. By uniquely securing each digital asset in an immutable database such as blockchain 60, each player's collection of cards and the strategies required to use those cards may also be unique.

[0103] In such an embodiment, the game server 300 may communicate with multiple different user devices 39. As mentioned above, the user devices 39 may be smartphones 40, smartwatches 42, tablet computers, laptop computers, web-enabled devices, or other such devices capable of network communication with the server 300. Each user device 39 may be linked to a separate digital locker 204, which may enable users to access their securely stored digital assets from the blockchain 60. Each asset may be represented on the user's device as a separate digital card and may have its own set of attributes (i.e., part of a phenotype). In one embodiment, the virtual object generator 62 may communicate with the user devices 39 and / or the game server 300 to create representations of virtual objects from genotype information associated with tokens on the blockchain 60. The game server 300 may manage the rules of the game, including maintaining multiple user accounts, instructing a first user on times of play via the user's device 39, and modifying attributes of a second user's account based on receipt of digital asset data from the first user. The received digital asset data may correspond to a digital asset that the first user played via the first user's device.

[0104] In one embodiment, the game server 300 may not have a stored understanding of a user's digital asset collection until the digital asset data is received. Thus, in this embodiment, the asset collection for a user may be maintained solely by the user's device. In another embodiment, the user's asset collection may be registered in the user's account maintained by the game server 300. In this configuration, the digital asset data may simply indicate which cards in the user's account have been played.

[0105] While Figure 11 is intended to illustrate multiple users engaged in DCCG, in an alternative configuration, the diagram could represent a meeting where multiple users come to a common location for the purpose of propagating their CryptoKick. Such events could be coordinated by a central server linked to user accounts in a local area. Alternatively, users may have the ability to sponsor events and / or broadcast their own location for others to connect with and / or create user-initiated meetings or invitations.

[0106] In some embodiments, attributes of a cryptographic digital asset can be directly linked to corresponding attributes of a real-world shoe for production purposes. Optionally, digital asset attributes can be linked to a bill of materials for cost calculations and as a control mechanism. Resulting offspring can be limited to possessing phenotypic characteristics that can be produced in the real world based on manufacturing capabilities, materials, and other factors. As CryptoKicks and CollaboKicks change hands through sales, exchanges, purchases, and collaborations, the resulting transaction history is tracked within the blockchain. When a currently non-existent CollaboKick or CryptoKick is created in real life, the previous owner / user can be notified of such real-life existence and given the option to purchase the sneakers.

[0107] Aspects of the present disclosure may, in some embodiments, be implemented through computer-executable programs of instructions, such as program modules, generally referred to as software applications or application programs, executed by any of the controllers or variations of controllers described herein. Software may include, by way of non-limiting examples, routines, programs, objects, components, and data structures that perform particular tasks or implement particular data types. Software may form interfaces that allow a computer to react according to input sources. Software may also cooperate with other code segments to initiate various tasks in response to received data in association with the source of the received data. Software may be stored on any of a variety of memory media, such as CD-ROMs, magnetic disks, bubble memory, and semiconductor memory (e.g., various types of RAM or ROM).

[0108] Furthermore, aspects of the present disclosure may be implemented in a variety of computer system and computer network configurations, including multiprocessor systems, microprocessor-based or programmable consumer electronics devices, minicomputers, mainframe computers, etc. Additionally, aspects of the present disclosure may be practiced in distributed computing environments where tasks are performed by both resident and remote processing devices that are linked through a communications network. In a distributed computing environment, program modules may be located in both local and remote computer storage media, including memory storage devices. Thus, aspects of the present disclosure may be implemented in connection with various hardware, software, or combinations thereof, in a computer system or other processing system.

[0109] As described in this disclosure, the system may utilize public or private blockchain infrastructure, distributed ledgers, append-only databases, etc. In one example, the cryptographically secured digital assets described herein may be initially stored / secured on a private blockchain residing on an infrastructure maintained by a single entity or a consortium of entities. Each entity may agree on a common format or data structure for the infrastructure, but any one entity's assets may be maintained by that entity. Such a model may provide for the sharing of network and infrastructure costs / resources while allowing each entity to maintain its own asset independence. To further instill public trust, assets created on this private or semi-private blockchain may be transferable to a public chain at the user's discretion (potentially subject to one or more transfer conditions).

[0110] Any of the methods 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, control logic, protocol, or method disclosed herein may be embodied as software stored on a tangible medium, such as, for example, a flash memory, CD-ROM, floppy disk, hard drive, digital versatile disk (DVD), or other memory device. Alternatively, the entire algorithm, control logic, protocol, or method, and / or portions thereof, may be executed by a device other than a controller and / or may be embodied in firmware or dedicated hardware in any available manner (e.g., implemented by an application-specific integrated circuit (ASIC), programmable logic device (PLD), field-programmable logic device (FPLD), discrete logic, etc.). Furthermore, although particular algorithms are described with reference to flowcharts shown herein, many other ways of implementing the example machine-readable instructions may alternatively be used.

[0111] Although aspects of the present disclosure have been described in detail with reference to illustrated embodiments, those skilled in the art will recognize that many modifications may be made without departing from the scope of the present disclosure. The present disclosure is not limited to the exact structures and compositions disclosed herein, and all modifications, changes, and variations apparent from the foregoing description are within the scope of the present disclosure as defined by the appended claims. Moreover, the present concepts expressly include any and all combinations and subcombinations of the preceding elements and features. Additional features may be reflected in the following clauses:

[0112] Clause 1: A method of brand promotion using encrypted digital assets, the method comprising: providing a plurality of non-fungible tokens, each registered in an immutable database or blockchain, and each corresponding to a unique digital asset; associating each token with a unique machine-readable identification code; providing each machine-readable identification code to a different respective one of a plurality of individuals; and providing software code to a user device associated with at least one of the plurality of individuals; the user device including a camera, a display, and location recognition circuitry, the software code being configured to: cause the user device to detect a virtual image within a virtual environment, and upon locating the virtual image, display a prompt via the display for the user to scan the machine-readable identification code; recognize the machine-readable identification code, and cause the token associated with the machine-readable identification code to be transferred to a digital locker associated with the individual or the user device.

[0113] Clause 2: The method of clause 1, wherein the token comprises genotypic information corresponding to one or more phenotypic expressions of the virtual object.

[0114] Clause 3: The method of any of clauses 1 or 2, wherein the software code causes the user device to detect a virtual image within a real-world environment via augmented reality.

[0115] Clause 4: A method according to any one of clauses 1 to 3, wherein the software code causes the user device to recognize the environment according to the optical image sensed by the camera and the position determined by the position recognition circuit; display the optical image on the display; and superimpose the displayed optical image with a virtual image at a predetermined position within the displayed environment.

[0116] Clause 5: The method of any of clauses 1-4, wherein the unique digital asset comprises a virtual object including a plurality of attributes, each attribute being determinable, at least in part, according to a portion of a code associated with a token of the unique digital asset.

[0117] Clause 6: The method of clause 5, wherein at least one of the plurality of attributes is affected by the use of a virtual object in its representation.

[0118] Clause 7: The method of any one of clauses 1 to 6, wherein the location awareness circuit is a GPS receiver.

[0119] Clause 8: A method of brand promotion using encrypted digital assets, the method comprising: providing a plurality of non-fungible tokens, each registered in an immutable database or blockchain, and each corresponding to a different respective physical retail product selected from a plurality of physical retail products; associating each token with a unique machine-readable identification code; providing the machine-readable identification code associated with a first physical retail product to a retail purchaser of the first physical retail product; and receiving a request from a user device associated with the retail purchaser 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 a code contained in or derived from the machine-readable identification code associated with the first physical retail product.

[0120] Clause 9: The method of clause 8, further comprising initiating a request to an 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.

[0121] Clause 10: The method of claim 8 or 9, further comprising providing software code to a user device; the user device including a camera, a display, and location recognition circuitry, the software code being configured to: cause the user device to find a virtual image within a real-world environment and, upon finding the virtual image, prompt the user via the display to scan a machine-readable identification code; and recognize the machine-readable identification code.

[0122] Clause 11: The method of clause 10, wherein the software code causes the user device to recognize a machine-readable identification code via at least one of optical recognition via a camera, RFID, NFC, or BLUETOOTH (registered trademark) communication.

[0123] Clause 12: The method of any of clauses 8 to 11, wherein the step of providing a machine-readable identification code associated with the first physical retail product to a retail purchaser of the first physical retail product includes at least one of: including the machine-readable identification code on a tag, label, or sticker attached to the first retail product; printing the machine-readable identification code on a box, container, or packaging material that contains 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 a box, container, or packaging material that contains the first physical retail product, and printing a second portion of the machine-readable identification code on a receipt provided to the retail purchaser.

[0124] Clause 13: The method of clause 12, wherein the software code causes the user device to detect a virtual image within a real-world environment via augmented reality.

[0125] Clause 14: A method as described in clause 12 or 13, wherein the software code causes the user device to recognize the environment according to the optical image sensed by the camera and the position determined by the position recognition circuit; display the optical image on the display; and superimpose the displayed optical image with a virtual image at a predetermined position within the displayed environment.

[0126] Clause 15: The method of any of clauses 8 to 14, wherein the token comprises genotypic information corresponding to one or more phenotypic expressions of the virtual object.

[0127] Clause 16: The method of any of clauses 8 to 15, wherein the unique digital asset comprises a virtual object including a plurality of attributes, each attribute being determinable, at least in part, according to a portion of a code associated with a token of the unique digital asset.

[0128] Clause 17: The method of clause 16, wherein at least one of the plurality of attributes is affected by the use of a virtual object in its representation.

[0129] Clause 18: A method comprising providing a virtual object to a user, the virtual object comprising a plurality of attributes, each attribute of the plurality of attributes being derived at least in part from code associated with a non-fungible token registered in an immutable database or on a blockchain.

[0130] Clause 19: The method of clause 18, wherein the step of providing the virtual object to the user includes the step of causing a non-fungible token to be transferred to an account associated with the user.

[0131] Clause 20: The method of clause 19, further comprising receiving a value from the user in consideration for transferring the non-fungible token to an account associated with the user.

[0132] Clause 21: The method of any of clauses 18 to 20, wherein providing the virtual object to the user comprises making the virtual object available to the user within the video game.

[0133] Clause 22: The method of clause 21, wherein the video game includes an avatar, character, or athlete within a virtual environment, the avatar, character, or athlete being controlled by user input received via a user device.

[0134] Clause 23: The method of clause 22, wherein the virtual object is a footwear or apparel product.

[0135] Clause 24: The method of either clause 22 or 23, wherein the avatar, character, or athlete includes a plurality of character attributes, each having a respective attribute score that influences the avatar, character, or athlete's behavior, performance, or ability within the environment; and integration of a virtual object with the avatar, character, or athlete operably modifies at least one attribute score.

[0136] Clause 25: The method of clause 21, wherein the video game is a digital trading card game and the virtual objects are represented as digital trading cards.

[0137] Clause 26: The method of any of clauses 21 to 25, further comprising providing to a remote server an indication of use of the virtual object in the video game, wherein the indication of use of the virtual object operates to modify at least one of a plurality of attributes of the virtual object.

[0138] Clause 27: A computerized system for implementing the method according to any one of clauses 1 to 16.

[0139] Clause 28: A method for automating the generation of encrypted digital assets associated with articles of footwear, each article of footwear including an upper for attachment to a user's foot and a sole structure attached to the upper to support the user's foot thereon, the method comprising: receiving a transaction confirmation indicating a valid transfer of the articles of footwear from a first party to a second party via a middleware server computer through a distributed computing network from a remote computing node; determining a unique owner ID code associated with the second party from an encrypted relational database via the middleware server computer; generating encrypted digital assets associated with the articles of footwear, the encrypted digital assets including a digital shoe and a unique digital shoe ID code; linking the encrypted digital assets with 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 encrypted digital assets to the second party in a transaction block.

[0140] Clause 29: The method of clause 28, wherein the unique digital shoe ID code includes an encrypted token key having a code string segmented into a series of code subsets, a first plurality of code subsets including data indicative of attributes of the digital shoe.

[0141] Clause 30: The method of clause 29, wherein the first plurality of code subsets comprises genotype and phenotype data for the digital shoe.

[0142] Clause 31: The method of clause 29 or 30, wherein the second plurality of code subsets includes data indicative of attributes of the footwear article.

[0143] Clause 32: The method of clause 31, wherein the second plurality of code subsets includes color scheme, material, manufacture, manufacturer, and / or model data for the footwear article.

[0144] Clause 33: The method of any of clauses 28 to 32, further comprising: in response to receiving the transaction confirmation, sending a notification to the second party with information for accessing the encrypted digital assets; and receiving a scan confirmation from the second party's handheld personal computing device via a middleware server computer verifying that a Universal Product Code (UPC) and / or Unique Product Identification Number (UPIN) corresponding to the make and model of the footwear product has been scanned; wherein the step of linking the encrypted digital assets with the unique owner ID code is in response to receiving the scan confirmation.

[0145] Clause 34: The method of any of clauses 28 to 33, further comprising the step of sending a notification to the second party in response to receiving the transaction confirmation, together with a unique key having a hash address to the encrypted token.

[0146] Clause 35: The method of any of clauses 28 to 34, further comprising: receiving a digital breeding solicitation with a request to mix the encrypted digital asset with a third-party encrypted digital asset; and generating an offspring encrypted digital asset having a combination of one or more features from the encrypted digital asset and one or more features from the third-party encrypted digital asset.

[0147] Clause 36: The method of clause 35, wherein the unique digital shoe ID code includes a first encrypted token key having a first code string segmented into a series of first code subsets, a first of the first code subsets including data indicative of attributes of the digital shoe; the third-party encrypted digital asset includes a second encrypted token key having a second code string segmented into a series of second code subsets, a first of the second code subsets including data indicative of attributes of the third-party digital shoe; and the descendant encrypted digital asset includes a third encrypted token key having a third code string segmented into a series of third code subsets, a first of the third code subsets including data from the first of the first code subsets, and a second of the third code subsets including data from the first of the second code subsets.

[0148] Clause 37: The method of clause 36, wherein a first one of the first and third code subsets both share a first distinct alphanumeric sequence, and a first one of the second code subsets and a second one of the third code subsets share a second distinct alphanumeric sequence.

[0149] Clause 38: The method of any of Clauses 36-37, wherein the step of generating an offspring encrypted digital asset includes the steps of: designating one of the encrypted digital assets or the third-party encrypted digital asset as a sire; designating the other of the encrypted digital asset or the third-party encrypted digital asset as a dam; and determining which of the third code subsets correspond to which of the first code subsets and which of the third code subsets correspond to which of the second code subsets; and applying a random number generator to do so.

[0150] Clause 39: The method of any of clauses 28 to 38, further comprising the steps of: receiving a digital transfer proposal with a request to transfer the encrypted digital asset to a third party; determining a new unique owner ID code to be associated with the third party; linking the encrypted digital asset with the new unique owner ID code; and transmitting the unique digital shoe ID code and the new unique owner ID code to the distributed blockchain ledger for recording in a new transaction block.

[0151] Clause 40: The method of clause 39, further comprising receiving a new transaction confirmation indicating a new valid transfer of the footwear product from the second party to the third party.

[0152] Clause 41: The method of any of clauses 28 to 40, further comprising generating, via the middleware server computer, a smart contract operable to authenticate ownership and track future transactions of the encrypted digital asset.

[0153] Clause 42: The method of any of clauses 28 to 41, wherein the unique owner ID code is linked to a cryptocurrency wallet registered on a distributed blockchain ledger.

[0154] Clause 43: The method of any of clauses 28 to 42, wherein the transaction confirmation includes a Universal Product Code (UPC) and / or Unique Product Identification Number (UPIN) corresponding to the make and model of the footwear product.

[0155] Clause 44: A distributed computing system for automating the generation of encrypted digital assets associated with articles of footwear, each article of footwear including an upper for attachment to a user's foot and a sole structure attached to the upper for supporting the user's foot thereon, the distributed computing system comprising: a wireless communication device configured to connect to a remote computing node via a distributed computing network; an encrypted digital asset registry storing unique digital shoe ID codes associated with the digital shoes and a plurality of encrypted digital assets; and a middleware server computer operably connected to the wireless communication device and the encrypted digital asset registry, the middleware server computer: and a middleware server computer programmed to: receive, via an encrypted relational database, an electronic transaction confirmation indicating a valid transfer of the footwear product from the first party to the second party; retrieve, from an encrypted relational database, a unique owner identification (ID) code associated with the second party; generate an encrypted digital asset associated with the footwear product, the encrypted digital asset including the digital shoe and the unique digital shoe ID code; link the encrypted digital asset to the unique owner ID code in an encrypted digital asset registry; and transmit the unique digital shoe ID code and the unique owner ID code to a distributed blockchain ledger to record the transfer to the second party in a transaction block of the encrypted digital asset.

[0156] Clause 45: The distributed computing system described in clause 44, wherein the unique digital shoe ID code includes a cryptographic token key having a code string segmented into a series of code subsets, a first plurality of code subsets including data indicative of attributes of the digital shoe.

[0157] Clause 46: The distributed computing system of clause 45, wherein the second plurality of code subsets includes data indicative of attributes of the footwear article.

[0158] Clause 47: The distributed computing system of clause 44 or 45, wherein the middleware server computer is further programmed to: in response to receiving the transaction confirmation, send a digital notification to the second party with information for accessing the encrypted digital assets; receive a scan confirmation from the second party's handheld personal computing device verifying that a Universal Product Code (UPC) and / or Unique Product Identification Number (UPIN) corresponding to the make and model of the footwear product has been scanned; and linking the encrypted digital assets with the unique owner ID code is responsive to receiving the scan confirmation.

[0159] Clause 48: A distributed computing system described in any of clauses 44 to 47, wherein the middleware server computer is further programmed to, in response to receiving the transaction confirmation, send a digital notification to the second party along with a unique key having a hash address to the encrypted token.

[0160] Clause 49: The distributed computing system described in any of Clauses 44 to 48, wherein the middleware server computer is further programmed to: receive a digital breeding bid from a second party with a request to mix the encrypted digital asset with a third-party encrypted digital asset; and generate an offspring encrypted digital asset having a combination of one or more features from the encrypted digital asset and one or more features from the third-party encrypted digital asset.

[0161] Clause 50: The distributed computing system of Clause 49, wherein the unique digital shoe ID code includes a first encrypted token key having a first code string segmented into a series of first code subsets, a first of the first code subsets including data indicative of attributes of the digital shoe; the third-party encrypted digital asset includes a second encrypted token key having a second code string segmented into a series of second code subsets, a first of the second code subsets including data indicative of attributes of the third-party digital shoe; and the descendant encrypted digital asset includes a third encrypted token key having a third code string segmented into a series of third code subsets, a first of the third code subsets including data from the first of the first code subsets, and a second of the third code subsets including data from the first of the second code subsets.

[0162] Clause 51: The distributed computing system of clause 50, wherein generating an offspring encrypted digital asset includes applying a random number generator to: designate one of the encrypted digital assets or the third-party encrypted digital asset as a sire; designate another of the encrypted digital asset or the third-party encrypted digital asset as a dam; 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.

[0163] Clause 52: The distributed computing system of any of Clauses 44 to 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 to be associated with the third party; link the encrypted digital asset with the new unique owner ID code; and record the unique digital shoe ID code and the unique owner ID code in a new transaction block using the distributed blockchain ledger.

[0164] Clause 53: A method for providing or distributing encrypted digital assets to a purchaser of a footwear product or a digital file representing the same, the method comprising: receiving, from a computing node, a transaction confirmation indicating a completed transaction of the footwear product or the digital file representing the same 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 encrypted digital assets to the second party; wherein the cryptographic block includes a unique digital shoe ID code and a unique owner ID code representing the digital shoe, and wherein the encrypted digital assets are transferable to a third party separately from the footwear product or the digital file representing the same.

[0165] Clause 54: The method of clause 53, further comprising the steps of: receiving a digital transfer proposal with a request to transfer the encrypted digital asset to a third party; determining a unique owner ID code of the third party; linking the encrypted digital asset with the unique owner ID code of the third party; and transmitting the third party's unique digital shoe ID code and the third party's unique owner ID code to the distributed blockchain ledger for recording in a new transaction block.

[0166] Clause 55: The method of clause 53 or 54, wherein the unique digital shoe ID code includes an encrypted token key having a code string segmented into a series of code subsets, a first plurality of code subsets including data indicative of multiple attributes of the digital shoe.

[0167] Clause 56: The method of clause 55, wherein the first plurality of code subsets comprises genotype and phenotype data for the digital shoe.

[0168] Clause 57: The method of clause 55 or 56, wherein at least one of the plurality of attributes of the digital shoe has a different expression than a similar attribute of the transferred footwear product or the digital file representing it.

[0169] Clause 58: The method of any of clauses 55 to 57, wherein the plurality of attributes of the digital shoes include at least one of color scheme, material, manufacture, manufacturer, and / or model data.

[0170] Clause 59: The method of any of clauses 55 to 58, further comprising exporting at least one of the digital shoe ID codes or at least one of the plurality of attributes of the digital shoe to a digital application for use of the digital shoe within the digital application.

[0171] Clause 60: The method of any of clauses 53 to 59, further comprising: in response to receiving the transaction confirmation, sending a notification to a second party with information for accessing the encrypted digital assets; and receiving a scan confirmation from the second party's handheld personal computing device verifying that a universal product code (UPC) and / or unique product identification number (UPIN) corresponding to the make and model of the footwear product has been scanned; wherein the step of linking the encrypted digital assets to the unique owner ID code is in response to receiving the scan confirmation.

[0172] Clause 61: The method of any of clauses 53 to 60, further comprising the step of sending a notification to the second party in response to receiving the transaction confirmation, together with a unique key having a hash address to the encrypted token.

[0173] Clause 62: The method of any of Clauses 53 to 61, further comprising: receiving a request to mix the encrypted digital asset with a third-party encrypted digital asset having a second digital shoe ID code and associated with a second unique owner ID code; generating an offspring encrypted digital asset having a combination of one or more features from the encrypted digital asset and one or more features from the third-party encrypted digital asset, wherein the encrypted digital asset includes an offspring digital shoe ID code derived from both the digital shoe ID code of the encrypted digital asset and the second digital shoe ID code; and transmitting the offspring digital shoe ID code and one of the unique owner ID code or the second unique owner ID code to a distributed blockchain ledger to record the generation of the offspring encrypted digital asset in a transaction block.

[0174] Clause 63: The method of any of clauses 53-62, wherein the completed transaction of the footwear product or digital file representing same from a first party to a second party is a retail transaction.

[0175] Clause 64: The method of any of clauses 53 to 63, further comprising the step of generating an image representing the digital shoe from the unique digital shoe ID code.

[0176] Clause 65: A distributed computing system for providing or distributing encrypted digital assets to purchasers of footwear products or digital files representing same, the distributed computing system comprising: an encrypted digital asset registry that stores unique digital shoe ID codes associated with the digital shoes and a plurality of encrypted digital assets; and a computer server operatively connected to the encrypted digital asset registry, the computer server being programmed to: receive from the computing nodes a transaction confirmation indicating a completed transaction of the footwear product or the digital file representing same from a first party to a second party; retrieve from an encrypted relational database a unique owner identification (ID) code associated with the second party; and in response to the received transaction confirmation, transmit a cryptographic block to the distributed blockchain ledger to record the transfer of the encrypted digital asset to the second party; wherein the cryptographic block has the unique owner ID code and the unique digital shoe ID code from the encrypted digital registry representing the digital shoes, and the encrypted digital asset is transferable to a third party separately from the footwear product or the digital file representing same.

[0177] Clause 66: The system of Clause 65, wherein the computer server is further configured to: receive a digital transfer proposal with a request to transfer the encrypted digital asset to a third party; retrieve a unique owner ID code of the third party from the encrypted relational database; link the encrypted digital asset with the unique owner ID code of the third party; and transmit the unique digital shoe ID code and the unique owner ID code of the third party to the distributed blockchain ledger for recording in a new transaction block.

[0178] Clause 67: A system described in clause 65 or 66, wherein the unique digital shoe ID code includes an encrypted token key having a code string segmented into a series of code subsets, a first plurality of code subsets including data indicative of multiple attributes of the digital shoe.

[0179] Clause 68: The system described in clause 67, wherein the first plurality of code subsets includes genotype and phenotype data for the digital shoe.

[0180] Clause 69: The system described in clause 67 or 68, wherein at least one of the plurality of attributes of the digital shoe has a different representation than a similar attribute of the transferred footwear product or the digital file representing it.

[0181] Clause 70: The system of any of clauses 67 to 69, wherein the plurality of attributes of the digital shoes includes at least one of color scheme, material, manufacture, manufacturer, and / or model data.

[0182] Clause 71: A system described in any of clauses 67 to 70, wherein the computer server is further configured to export at least one of the digital shoe ID codes or at least one of the plurality of attributes of the digital shoe to the digital application for use of the digital shoe within the digital application.

[0183] Clause 72: A method for event-based distribution of encrypted digital assets includes: receiving, from a computing device associated with a user, an indication that the computing device is located at a predetermined venue within a predetermined time frame; receiving, from the computing device, a unique owner identification (ID) code associated with the user; receiving, from the computing device, a unique code obtained 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 a cryptographic block to a distributed blockchain ledger to record the transfer of the encrypted digital asset to the user, the cryptographic block including both the unique digital asset ID code and the unique owner ID code.

[0184] Clause 73: The method of clause 72, wherein the encrypted digital assets include genotype data representing digital shoes or apparel products.

[0185] Clause 74: The method of clause 72, wherein the encrypted digital assets include genotype data that represents attributes of the digital shoe or apparel product, but does not represent the digital shoe or apparel product as a whole.

[0186] Clause 75: The method of clause 74, further comprising the step of modifying an existing digital asset having genotype data representing the digital shoe or apparel product with genotype data representing attributes of the digital shoe or apparel product.

[0187] Clause 76: The method of any of clauses 72 to 75, wherein the indication that the computing device is located at a predetermined venue includes an indication of whether the GPS coordinates of the computing device are within a predetermined geofence or closed geographic boundary.

[0188] Clause 77: The method of any of clauses 72 to 76, wherein the indication that the computing device is located at a predetermined venue includes an indication of whether the computing device is in proximity to an 802.11 or BLUETOOTH beacon.

[0189] Clause 78: A method according to any of clauses 72 to 77, wherein the indication that the computing device is located at a given venue includes an image, or a representation thereof, acquired by the computing device from which one or more visual attributes of the venue may be identified.

[0190] Clause 79: The method of any of clauses 72 to 78, wherein the received unique code comprises a code obtained from a ticket to an event at the venue.

[0191] Clause 80: The method of any of clauses 72 to 78, wherein the received unique code comprises a code scanned from a tangible object within the venue or from a merchandise receipt generated within the venue.

[0192] Clause 81: The method of any of clauses 72 to 80, further comprising receiving an indication that a conditional event has occurred within a predetermined timeframe, wherein transmission of the cryptographic block to the distributed blockchain ledger occurs only after receiving the indication that the conditional event has occurred.

[0193] Clause 82: A method as described in any of clauses 72 to 81, wherein the step of determining the unique digital asset ID code includes: directing an application or internet browser running on the computing device to a virtual storefront display including a plurality of different displayed encrypted digital assets; and receiving an indication of selection of one of the plurality of different displayed encrypted digital assets; and the determined unique digital asset ID code corresponds to both the received unique code and the selected one of the plurality of different displayed encrypted digital assets.

[0194] Clause 83: The method of any of Clauses 72 to 82, further comprising the steps of: receiving a digital transfer proposal with a request to transfer an encrypted digital asset to an acquiring party; determining a unique owner ID code of the acquiring party; linking the encrypted digital asset with the unique owner ID code of the acquiring party; and transmitting the unique digital asset ID code and the unique owner ID code of the acquiring party to the distributed blockchain ledger for recording in a new transaction block.

[0195] Clause 84: A method according to any of clauses 72 to 83, wherein the unique digital asset ID code comprises a cryptographic token key having a code string segmented into a series of code subsets, a first plurality of code subsets comprising genotype data corresponding to one or more phenotypic expressions of the digital asset.

[0196] Clause 85: The method of clause 84, wherein the digital asset is a computer-generated digital shoe.

[0197] Clause 86: The method of clause 85, wherein the plurality of attributes of the computer-generated digital shoes includes at least one of color scheme, material, manufacture, manufacturer, and / or model data.

[0198] Clause 87: The method of clause 84, further comprising exporting at least one of the digital asset ID codes or at least one of the plurality of attributes of the digital asset to the digital video game application so that the digital asset is represented within the digital application and modifies one or more aspects of gameplay of the digital video game application.

[0199] Clause 88: A method for integrating encrypted digital assets into a digital video game application, the digital video game application, when executed, displays a character on a display associated with a user device, the character being operably controlled by a user via the user device and including code including a plurality of character attributes, the method comprising: receiving a digital asset identification (ID) code, the digital asset ID code existing in a distributed blockchain ledger together with a unique owner ID code, the digital asset ID code including a code string divided into a series of code subsets, a first plurality of code subsets including 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 according to at least one of the object attributes.

[0200] Clause 89: The method of clause 88, wherein the virtual object is a virtual shoe or a virtual apparel item.

[0201] Clause 90: The method of clause 88 or 89, wherein the user is a first user and the unique owner ID code is a code of a second user.

[0202] Clause 91: A method as described in any of clauses 88 to 90, further comprising the step of modifying at least one of a plurality of object attributes according to an aspect of the digital video game application or achievement of a user or character within the digital video game application.

[0203] Clause 92: A method as described in any of Clauses 88 to 91, further comprising the steps of: modifying at least one code subset of the digital asset ID code in accordance with an aspect of the digital video game application or the achievement of a 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 code subset to a distributed blockchain ledger for recording the modification.

[0204] Clause 93: The method of any of clauses 88 to 92, further comprising the steps of: receiving a digital transfer proposal with a request to transfer an encrypted digital asset to a second party; determining a unique owner ID code of the second party; linking the encrypted digital asset with the unique owner ID code of the second party; and transmitting the unique digital asset ID code and the unique owner ID code of the second party to the distributed blockchain ledger for recording in a new transaction block.

[0205] Clause 94: The method of any of clauses 88 to 93, wherein the first plurality of code subsets comprises genotype and phenotype data of the encrypted digital asset.

[0206] Clause 95: A method according to any of clauses 88 to 94, wherein at least one object attribute among the plurality of object attributes indicates a rarity of the encrypted digital asset; and at least one of the character attributes is modified according to the at least one object attribute that indicates a rarity of the encrypted digital asset.

[0207] Clause 96: A method according to any of clauses 88 to 95, wherein the plurality of character attributes define how the character behaves, responds or performs within an environment maintained by the computer, or how the character interacts with other characters controlled by an application or by other users in a network environment.

[0208] Clause 97: The method of any of clauses 88 to 96, wherein the at least one modified character attribute includes at least one of character speed, ball control, passing, defense, kicking power, balance, and stamina.

[0209] 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 within an environment; the character including a plurality of character attributes that affect how the character behaves, responds, or functions within the environment or how the character interacts with other characters present in the environment; both the character and the environment are displayed to a user via the display, the processor being further configured to: receive a digital asset identification (ID) code representing a cryptographically secured digital asset, the digital asset ID code being stored together with a unique owner ID code in a distributed blockchain ledger, the digital asset ID code including a code string divided into a series of code subsets, a first of the plurality of code subsets including data indicative of 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 of the plurality of code subsets of the unique owner ID code, the virtual object further including a plurality of object attributes; display the virtual object on the display; and modify at least one of the character attributes according to at least one of the object attributes.

[0210] Clause 98: The gaming system of clause 97, wherein the virtual object is a virtual shoe or a virtual apparel item.

[0211] Clause 99: A gaming system as described in clause 97 or 98, wherein the user is a first user and the unique owner ID code is a code of a second user.

[0212] Clause 100: A game system described in any of clauses 97 to 99, wherein the processor is further configured to modify at least one of the plurality of object attributes according to an aspect of the digital video game application or achievement of a user or character within the digital video game application.

[0213] Clause 101: A gaming system described in any of clauses 97 to 100, further configured to: modify at least one of the code subsets of the digital asset ID code according to an aspect of the digital video game application or the achievement of a user or character within the digital video game application; and transmit a cryptographic block including the digital asset ID code having the modified at least one code subset to the distributed blockchain ledger to record the modification.

[0214] Clause 102: A gaming system described in any of clauses 97 to 101, wherein the processor is further configured to: receive a digital transfer proposal with a request to transfer the encrypted digital asset to a second party; determine a unique owner ID code of the second party; link the encrypted digital asset with the unique owner ID code of the second party; and transfer the digital asset ID code and the unique owner ID code of the second party to the distributed blockchain ledger for recording in a new transaction block.

[0215] Clause 103: The gaming system of any of clauses 97-102, wherein the first plurality of code subsets includes genotype and phenotype data of the encrypted digital asset.

[0216] Clause 104: At least one object attribute among the plurality of object attributes indicates a rarity of the encrypted digital asset; at least one of the character attributes is modified according to the at least one object attribute that indicates a rarity of the encrypted digital asset; a game system described in any of clauses 97 to 103.

[0217] Clause 105: A game system described in any of clauses 97 to 104, wherein the at least one modified character attribute includes at least one of character speed, ball control, passing, defense, kicking power, balance, and stamina.

Claims

1. 1. A method of distributing a real-life product version of an encrypted digital asset, the encrypted digital asset being recorded on a distributed blockchain ledger and including a plurality of attributes, the real-life product version being a physical retail product corresponding to the encrypted digital asset, the attributes of the encrypted digital asset being directly related to corresponding attributes of the physical retail product for purposes of production of the physical retail product, and at least one of the plurality of attributes being a modifiable attribute, the method comprising: a distributed computing system modifying the attributes of the encrypted digital asset based on input received from a user device, the input corresponding to a user caring for the encrypted digital asset functioning as a digital pet or the user's real-world workout or the user's gameplay, the encrypted digital asset growing through various life stages over time, and the input operating to change the rate of maturation of the encrypted digital asset or the likelihood of occurrence of a particular trait; When the encrypted digital asset grows and reaches a certain life stage, the distributed computing system unlocks the production rights of the real-life production version of the encrypted digital asset with the modified attributes; the distributed computing system providing the user device with an option to purchase the real-life product version with the production rights unlocked; method.

2. The method further comprises: the distributed computing system receiving a request from the user device to manufacture the real-life product version. The method of claim 1.

3. The real-life product version has similar attributes and appearance to the encrypted digital asset at the particular life stage. The method of claim 1.

4. The distributed computing system further comprises determining a rarity score for the encrypted digital asset based on the plurality of attributes, the rarity score providing an indication of the overall exclusivity of the encrypted digital asset within a population of digital assets. The method of claim 1.

5. The method of claim 1, further comprising the step of: transmitting the rarity score to the user device. The method of claim 4.

6. The distributed computing system further comprises the step of causing the user device to display an image representing the real-life product version along with the encrypted digital asset in a digital marketplace. The method of claim 1.

7. the distributed computing system further exporting the plurality of attributes of the encrypted digital asset to the digital software application to enable use of the encrypted digital asset within the digital software application; The method of claim 1.

8. the real-life product version is a shoe, and the plurality of attributes include at least one of: color scheme, material, production, manufacturer, and / or model data; The method of claim 1.

9. The attribute is the age of the encrypted digital asset. The method of claim 1.

10. the received input includes one or more actions performed in a virtual environment by an avatar of the user, the one or more actions being controlled by the user; The method of claim 1.

11. the received input represents one or more actions occurring in the real world, and the modification of the attribute further affects one or more of the visual appearance or value of the encrypted digital asset; The method of claim 1.

12. the modification of the attribute is based on the time or frequency and nature of interactions between the encrypted digital asset and the user within a virtual environment; The method of claim 1.

13. The encrypted digital assets grow from baby digital assets to adult digital assets, and the various life stages include one or more of a baby stage, a toddler stage, a preschooler stage, and an adult stage.

13. The method according to any one of claims 1 to 12.

14. The encrypted digital asset is a digital shoe, and the real-life product version is a corresponding physical shoe.

14. The method of any one of claims 1 to 13.

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