Blockchain License Management Framework for Real-Time Usage Monitoring

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Solution Overview

Problem

Conventional licensing solutions for software and network functions are inflexible, prone to errors, and increase operational overhead, making it difficult to efficiently manage licenses, especially in agile environments where services are rapidly scaled up or down.

Innovation Solution

A blockchain-based license management framework that utilizes smart contracts to record licensing agreements between parties, enabling real-time monitoring and recording of usage actions, and creating transaction records on an operation blockchain, thus providing a transparent, secure, and flexible license management system.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If conventional licensing solutions are used to manage licenses through licensing keys and pooling, then license control is established, but flexibility of deployment is reduced and operational overhead increases

Engineering Contradiction:
Improvelicense controlVSAvoidflexibility of deployment
Core Design Contradiction:
ReliabilityVSAdaptability or versatility

Solution Approach 1:

The patent replaces the mechanical system of conventional licensing (licensing keys, pooling mechanisms, vendor manager databases) with a blockchain-based system. Smart contracts automatically enforce licensing terms, and the distributed ledger provides transparent tracking of license usage without requiring centralized management infrastructure, thus improving deployment flexibility while maintaining reliable license control.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

The blockchain-based licensing system enables self-service operation where the smart contracts automatically monitor and enforce licensing terms without human intervention. The system autonomously tracks usage, validates licenses, and manages entitlements, eliminating the need for vendor operators to manually manage licensing databases while maintaining accurate license control.

Inventive Principle:
Principle #25Self-service

2Measurement precision

If vendor licensing managers continuously monitor licensing entitlement and deploy lightweight servers for periodic synchronizations, then license accuracy is maintained, but operational overhead and costs increase

Engineering Contradiction:
Improvelicense monitoring accuracyVSAvoidoperational overhead
Core Design Contradiction:
Measurement precisionVSDevice complexity

Solution Approach 1:

The patent replaces the mechanical monitoring system (vendor licensing managers, lightweight servers, periodic synchronizations) with an automated blockchain-based monitoring system. Smart contracts continuously track license usage on the distributed ledger, providing accurate real-time monitoring without requiring vendor-deployed infrastructure or manual intervention, thus reducing operational overhead while maintaining measurement precision.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

The blockchain system provides continuous feedback on license usage through the distributed ledger. Every license transaction is recorded and immediately visible to all participants, enabling real-time monitoring and automatic enforcement of licensing terms without requiring separate monitoring infrastructure or periodic synchronization cycles.

Inventive Principle:
Principle #23Feedback

3Ease of operation

If human-based management is used to update vendor manager databases in real-world situations, then license tracking is performed, but errors increase and revenue management accuracy decreases

Engineering Contradiction:
Improvelicense management operationVSAvoidrevenue management accuracy
Core Design Contradiction:
Ease of operationVSReliability

Solution Approach 1:

The patent replaces human-based manual management of licensing databases with an automated blockchain system. Smart contracts automatically execute licensing logic, and the distributed ledger immutably records all transactions, eliminating human error while maintaining ease of operation through automated processes that require no manual database updates.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

The system operates autonomously with smart contracts self-executing licensing terms and the blockchain automatically maintaining the ledger. This eliminates the need for human operators to manually update databases, thereby removing the source of human error while keeping the system easy to operate through automated workflows.

Inventive Principle:
Principle #25Self-service

4Productivity

If services are rapidly scaled up or down in agile environments, then service agility is improved, but conventional licensing solutions cannot efficiently manage licenses

Engineering Contradiction:
Improveservice scaling speedVSAvoidlicense management efficiency
Core Design Contradiction:
ProductivityVSAdaptability or versatility

Solution Approach 1:

The patent replaces the rigid mechanical licensing system with a flexible blockchain-based system. Smart contracts automatically adapt to changing service scales by executing licensing logic based on actual usage recorded on the blockchain. This enables rapid service scaling while maintaining efficient license management through automated, real-time tracking and enforcement.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

The blockchain-based licensing system is dynamic and adapts automatically to changing service requirements. As services are scaled up or down, the smart contracts continuously monitor usage patterns and adjust license allocations in real-time, providing both the agility needed for rapid scaling and the efficiency of automated license management.

Inventive Principle:
Principle #15Dynamics

Data Source

PatentUS12242573B2Blockchain-based license management framework
Publication Date: 2025.03.04 BULL SA
  • US12242573B2 patent drawing
  • US12242573B2 patent drawing
  • US12242573B2 patent drawing

AI summary

Systems and methods are described for license management. A system for license management includes a smart contract that records a licensing agreement between a first party and a second party on usage of a network function. The smart contract is persisted in a trade blockchain. The system also includes an e-licensing manager agent. The e-licensing manager agent retrieves the licensing agreement from the smart contract. The e-licensing manager agent monitors a usage of the network function by the second party in real-time based on the licensing agreement, record actions of the usage of the network function, and create a transaction record based on the recorded actions in an operation blockchain.