Declarative Smart Actions for Blockchain Asset Transfers
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Solution Overview
Problem
Current financial systems using distributed ledger technology face inefficiencies in asset transfers, including lengthy settlement times, high intermediary fees, reconciliation challenges, and difficulties in determining asset ownership or transaction status, along with limitations in conditional transfers and fraud prevention.
Innovation Solution
Implementing declarative smart actions for coins and assets on a blockchain within a cloud-based computing environment, which allows for customizable transactions, enhanced transaction metadata, and certificates of authenticity for digital twins, enabling improved transparency and auditability.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If a single shared ledger is used to record asset ownership, then transparency and fraud prevention are improved, but trust in a single party and computational capacity requirements increase
Solution Approach 1:
The patent segments the single shared ledger concept into multiple distributed ledgers across different blockchain networks. Each organization can have its own ledger while maintaining connectivity through smart contracts and interoperability protocols, thus distributing computational load while preserving transparency and fraud prevention capabilities.
Solution Approach 2:
The patent introduces smart contracts and intermediary protocols that facilitate communication and trust between distributed ledgers. These intermediaries enable asset transfers and reconciliation without requiring direct trust between parties or centralized computational processing, resolving the contradiction between distributed transparency and computational complexity.
2Reliability
If traditional intermediary-based asset transfer systems are used, then trust and reconciliation are maintained, but settlement time and intermediary fees increase
Solution Approach 1:
The patent extracts the trust and reconciliation functions from traditional intermediary institutions and embeds them directly into the blockchain smart contracts. This eliminates the need for banks, clearinghouses, and other intermediaries to process transactions, enabling near-real-time settlement while maintaining trust through cryptographic verification and automated contract execution.
Solution Approach 2:
The patent enables parties to perform their own reconciliation and verification through automated smart contracts that execute transfers and update ledgers autonomously. The system self-verify transactions through consensus mechanisms and automated auditing, eliminating the need for external intermediaries to validate each transaction, thus reducing settlement time while maintaining reliability.
3Productivity
If simple ownership change logic is implemented on the ledger, then processing efficiency is improved, but conditional transfers and sophisticated business logic are limited
Solution Approach 1:
The patent implements a universal smart contract platform that can handle both simple ownership transfers and complex conditional business logic within the same system. The blockchain infrastructure supports multiple types of contracts (payment channels, escrow, derivatives, supply chain tracking) that can execute automatically, providing versatility without sacrificing processing efficiency through optimized consensus mechanisms and parallel transaction processing.
4Loss of information
If blockchain technology is adopted for asset tracking, then transparency and auditability are improved, but implementation complexity and overhead costs increase
Solution Approach 1:
The patent implements dynamic blockchain solutions that adapt to organizational needs through configurable smart contracts and modular architecture. Organizations can start with simple tracking and progressively add complexity as needed, rather than implementing full blockchain systems immediately. The system dynamically adjusts computational requirements and data storage based on transaction volume and complexity, reducing initial implementation barriers while maintaining transparency.
Data Source
AI summary
Systems, methods, and apparatuses for implementing declarative smart actions for coins and assets transacted onto a blockchain using Distributed Ledger Technology (DLT) in conjunction with a cloud based computing environment are described herein. For example, according to one embodiment there is a system having at least a processor and a memory therein executing within a host organization, in which such a system includes means for executing a blockchain services interface on behalf of on behalf of a plurality of tenants; in which a blockchain protocol for the blockchain defines a group of base functions for the blockchain, the group of base functions accessible to any participating node of the blockchain. Such a system further includes a receive interface to receive a declaration of a new custom function, the declaration specifying each of (i) a base function and (ii) one or more additional mandatory fields to be captured with the use of the new custom function and (iii) a new custom function name for the new custom function declared and means for associating a smart contract with the new custom function; means for writing metadata onto the blockchain defining the new custom function; means for receiving a transaction for the blockchain matching the new custom function; and means for adding the transaction to a new block on the blockchain via the base function specified by the new custom function pursuant to successful validation by the smart contract. Other related embodiments are disclosed.