Distributed Ledger Transaction Registration with Automated Validation
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Current systems for recording transactions in computer-implemented databases face challenges in efficiency and latency, particularly in allowing third parties to perform actions related to transactions, such as levying taxes, in a secure and reliable manner.
Innovation Solution
A method and system where parties can create, electronically sign, and register transaction records in a database, allowing third parties to perform actions based on the transaction content information, with features like distributed ledgers and electronic signatures to reduce latency and ensure transaction accuracy.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Loss of time
If traditional centralized database systems are used for transaction recording, then system complexity is reduced, but transaction recording latency increases and real-time monitoring capability deteriorates
Solution Approach 1:
The patent divides the transaction recording system into multiple independent nodes distributed across the network. Each node maintains a copy of the ledger and can independently validate and record transactions. This segmentation eliminates the single-point bottleneck of centralized systems, enabling parallel transaction processing and reducing overall recording latency while maintaining system functionality through distributed redundancy.
2Productivity
If manual transaction verification processes are used, then system complexity is reduced, but transaction processing speed and productivity deteriorate
Solution Approach 1:
The patent implements automated validation logic where each network node independently verifies transactions against predefined rules and cryptographic signatures without requiring manual intervention. The system self-regulates through consensus mechanisms, automatically detecting invalid transactions and maintaining ledger integrity. This automation dramatically increases processing speed while the modular design keeps implementation complexity manageable through standardized protocols.
3Reliability
If centralized control mechanisms are used for third-party actions, then system reliability is improved, but system complexity and latency increase
Solution Approach 1:
The patent pre-embeds validation rules, cryptographic verification mechanisms, and consensus protocols directly into each network node before transactions occur. Third-party actions are authorized through pre-configured digital signatures and smart contracts that automatically execute when conditions are met. This preliminary setup eliminates the need for real-time centralized approval, maintaining security through pre-established trust mechanisms while enabling immediate action execution without additional latency.
Data Source
AI summary
A method and system are provided for registering, in a database, a transaction between two parties, and for allowing a third party to cause an action to be performed in relation to the transaction. The method comprise a step of creating (s2) a transaction record, steps of electronically signing (s4, s12) the transaction record, steps of registering (s6, s14) the transaction record in the database, steps of issuing a notification (s8, s16) that the transaction record has been registered in the database, steps of verifying (s10) the transaction record by the third party, and a step of causing (s18), by the third party, an action to be performed based on transaction content information.