Ephemeral VCN Provisioning via Banking Application

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Solution Overview

Problem

Conventional systems for provisioning virtual card numbers (VCNs) expose these numbers to a higher risk of fraud and privacy breaches, as they require transmission of VCNs to merchants through users, making them vulnerable to exposure or misuse.

Innovation Solution

A system and method for generating and transmitting VCNs directly to a merchant processor, bypassing the need for user involvement, which includes a server with a banking application that receives user identification data, matches it with a user profile, generates a VCN, and transmits it to the merchant processor.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If VCNs are transmitted to merchants through users, then users can complete transactions, but VCNs are exposed to fraud and privacy breaches

Engineering Contradiction:

Improvetransaction securityVSAvoidVCN exposure risk

Core Design Contradiction:

ReliabilityVSObject-affected harmful factors

Solution Approach 1:

The patent extracts the VCN transmission step from the user and moves it directly to the merchant processor. The banking application generates VCNs and transmits them directly to the merchant processor without user involvement, eliminating the security vulnerability of user handling while maintaining transaction functionality.

Inventive Principle:

Principle #2Taking out (Extraction)

Solution Approach 2:

The patent introduces the banking application as an intermediary that generates and transmits VCNs directly between the user's account and the merchant processor. This intermediary eliminates the need for users to handle VCNs, reducing exposure risk while enabling secure transactions.

Inventive Principle:

Principle #24Intermediary (Mediator)

2Ease of operation

If VCNs are transmitted through users, then users have control over transactions, but fraud and misuse risks increase

Engineering Contradiction:

Improveuser controlVSAvoidfraud risk

Core Design Contradiction:

Ease of operationVSObject-affected harmful factors

Solution Approach 1:

The patent removes VCN transmission from user operations entirely. Users initiate transactions by selecting payment methods, but the banking application handles VCN generation and transmission automatically, eliminating fraud risks associated with user handling while preserving user initiation control.

Inventive Principle:

Principle #2Taking out (Extraction)

Solution Approach 2:

The banking application performs self-service by automatically generating and transmitting VCNs without user intervention. This automation eliminates human error and fraud risks while maintaining user control over the transaction initiation and payment method selection.

Inventive Principle:

Principle #25Self-service

3Loss of information

If users handle VCNs manually, then transparency is provided, but errors and security vulnerabilities increase

Engineering Contradiction:

ImproveVCN visibilityVSAvoidtransaction accuracy

Core Design Contradiction:

Loss of informationVSReliability

Solution Approach 1:

The patent replaces manual user handling of VCNs with automated electronic generation and transmission by the banking application. This substitution eliminates manual errors while maintaining information flow, as the system automatically provides necessary VCN data to merchants through secure channels.

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

Data Source

PatentUS20250029087A1Systems and methods for ephemeral VCN provisioning

Publication Date: 2025.01.23 CAPITAL ONE SERVICES LLC

AI summary

Example embodiments disclose systems and methods for provisioning a virtual card number (VCN) directly to the merchant processor responsible for a consumer transaction. The VCN can be restricted according to one or more restrictions and in some embodiments, a predictive model can generate the one or more restrictions.