Group Transaction Network for Cross-Issuer Financial Transparency

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Solution Overview

Problem

In emerging markets, groups of people who know and trust each other face difficulties in managing their money collectively due to the lack of transparent and accountable systems, as existing technologies have not been specifically designed to facilitate group finances and transactions effectively.

Innovation Solution

A method and system for operating a private group transaction network that allows for the creation of a group payment account, enabling intra-group transfers and savings protocols, using a processor to facilitate transactions between members with payment accounts from different issuer systems, and utilizing blockchain for tracking and smart contracts for transparency and accountability.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Ease of operation

If manual money management methods are used by groups, then flexibility and trust-based cooperation are maintained, but transparency and accountability deteriorate

Engineering Contradiction:

Improvemanual money management flexibilityVSAvoidtransparency and accountability

Core Design Contradiction:

Ease of operationVSLoss of information

Solution Approach 1:

The patent introduces a group transaction network as an intermediary system that connects multiple payment accounts from different issuers. This mediator enables transparent tracking of all transactions while maintaining the flexibility of manual group money management, resolving the contradiction between operational ease and information transparency.

Inventive Principle:

Principle #24Intermediary (Mediator)

Solution Approach 2:

The system implements comprehensive feedback mechanisms by tracking and recording all intra-group transactions, savings contributions, and loan activities. This feedback loop provides real-time transparency and accountability to all group members while preserving the ease of manual operation through automated tracking.

Inventive Principle:

Principle #23Feedback

2Adaptability or versatility

If existing payment systems are used for group transactions, then individual payment accounts can be utilized, but interoperability between different issuer systems deteriorates

Engineering Contradiction:

Improveindividual payment account utilizationVSAvoidinteroperability between issuer systems

Core Design Contradiction:

Adaptability or versatilityVSReliability

Solution Approach 1:

The group transaction network is designed as a universal system that can handle payment accounts from multiple different issuers simultaneously. It performs multiple functions including cross-issuer transfers, savings management, and loan coordination, enabling reliable interoperability while maintaining adaptability to various payment account types.

Inventive Principle:

Principle #6Universality (Multi-functionality)

Solution Approach 2:

The patent uses the group transaction network as an intermediary layer between different issuer systems. This mediator translates and coordinates transactions between incompatible payment systems, ensuring reliable interoperability while allowing members to use their existing individual payment accounts from any issuer.

Inventive Principle:

Principle #24Intermediary (Mediator)

3Measurement precision

If multiple pull transfers are executed to aggregate funds from multiple members, then individual contributions are tracked accurately, but processing time and resource consumption increase

Engineering Contradiction:

Improveindividual contribution trackingVSAvoidprocessing time

Core Design Contradiction:

Measurement precisionVSLoss of time

Solution Approach 1:

The system merges multiple individual pull transfers into a coordinated group transaction process. By combining the tracking of individual contributions with the aggregation of funds in a single unified process, it maintains measurement precision for individual contributions while reducing overall processing time through parallel execution and batch handling.

Inventive Principle:

Principle #5Merging (Combining)

Solution Approach 2:

The system performs preliminary actions by pre-configuring group members, their payment accounts, and contribution amounts before the actual transaction execution. This preliminary setup enables the system to process multiple pull transfers more efficiently by having all parameters predetermined, thus maintaining accurate tracking while reducing processing time during actual fund aggregation.

Inventive Principle:

Principle #10Preliminary action

Data Source

PatentUS20230394458A1System, Method, and Computer Program Product for Operating a Group Transaction Network

Publication Date: 2023.12.07 VISA INTERNATIONAL SERVICE ASSOCIATION

AI summary

A method for operating a private group transaction network, includes: receiving a group creation request; communicating a group invitation to each of the group members; receiving a plurality of group acceptance messages, one from each of the group members, where each group acceptance message includes an account identifier associated with a payment account of an associated group member, where a group member has a payment account issued by an issuer system different from at least one of the issuer systems of the other group members; generating the private group transaction network; processing an intra-group transfer request by: executing a plurality of pull transfers by pulling the transfer amount from the first and second payment accounts to the group payment account; and executing a single push transfer for the transfer amount by pushing the transfer amount from the group payment account to the third payment account.