Identity Tokens and Immutable Records for Secure Digital Asset Management

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Solution Overview

Problem

Conventional decentralized computing solutions inadequately secure cryptographic keys, manage digital tokens, enforce access controls, detect anomalous events, and maintain immutable records, leading to insecure and unreliable management of digital assets and identities.

Innovation Solution

A processing system integrates digital wallet operations with non-transferable identity tokens, executes smart contracts for multi-signature verification, and maintains immutable ledger entries with cryptographic references and timestamps to secure asset management and preserve traceability.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If conventional decentralized computing solutions are used, then basic digital asset management is possible, but cryptographic keys are inadequately secured and digital tokens cannot be reliably managed

Engineering Contradiction:

Improvesecurity of cryptographic keys and digital tokensVSAvoidcomplexity of key management and token control

Core Design Contradiction:

ReliabilityVSDevice complexity

Solution Approach 1:

The patent introduces a processing system as an intermediary between users and the decentralized network. This system manages cryptographic keys and digital tokens on behalf of users, providing secure storage, distribution, and control without requiring users to directly handle complex cryptographic operations. The processing system acts as a mediator that simplifies key management while maintaining security through centralized control of cryptographic operations.

Inventive Principle:

Principle #24Intermediary (Mediator)

2Extent of automation

If decentralized systems are used for digital asset management, then autonomy is improved, but access controls cannot be effectively enforced

Engineering Contradiction:

Improveautonomy in asset managementVSAvoidenforcement of access controls

Core Design Contradiction:

Extent of automationVSReliability

Solution Approach 1:

The processing system implements feedback mechanisms that monitor and verify access control compliance. When transactions or operations are performed, the system checks whether access control policies are satisfied and provides feedback to enforce proper authorization. This feedback loop ensures that autonomous operations still adhere to security policies by continuously validating access requests against defined control rules.

Inventive Principle:

Principle #23Feedback

3Productivity

If conventional systems are used, then basic transaction processing is possible, but anomalous events cannot be reliably detected

Engineering Contradiction:

Improvetransaction processing capabilityVSAvoiddetection of anomalous events

Core Design Contradiction:

ProductivityVSDifficulty of detecting and measuring

Solution Approach 1:

The processing system continuously monitors transaction processing and compares actual operations against expected patterns. When anomalies are detected, the system provides feedback to alert users or block suspicious transactions. This feedback mechanism enables reliable detection of anomalous events while maintaining high transaction processing productivity by filtering out normal operations from monitoring.

Inventive Principle:

Principle #23Feedback

4Quantity of substance

If decentralized ledgers are used, then digital transaction records can be maintained, but immutable records of transaction lineage cannot be reliably preserved

Engineering Contradiction:

Improvevolume of transaction recordsVSAvoidimmutability of transaction lineage records

Core Design Contradiction:

Quantity of substanceVSReliability

Solution Approach 1:

The patent segments transaction records into distinct components: transaction data, cryptographic proofs, and lineage information. Each segment is processed and stored separately, with the processing system ensuring that lineage records maintain immutability through cryptographic linking. This segmentation allows the system to manage large volumes of transaction records while preserving the integrity and immutability of critical lineage information through dedicated storage and verification mechanisms.

Inventive Principle:

Principle #1Segmentation

Data Source

PatentUS20250292248A1Systems and Methods for Managing Digital Assets, Identity-Based Non-Transferable Tokens, and Immutable Event Records in a Decentralized Network

Publication Date: 2025.09.18 VANNADIUM INC

AI summary

Systems and methods for securely managing digital assets and generating immutable transaction records linked to decentralized identifiers (DIDs). A processing system operating within a distributed ledger technology (DLT) network receives digital asset transaction requests including entity identifiers associated with unique DIDs. The processing system establishes cryptographically secured connections with digital wallets corresponding to these entity identifiers, retrieves digital asset balances from a distributed ledger—including non-transferable cryptographic tokens linked to the DIDs—and executes smart contracts to cryptographically modify digital asset balances. Immutable transaction records comprising timestamps, cryptographic hashes linked to DIDs, and event reference identifiers are generated and stored within the distributed ledger, preserving cryptographic integrity. Authorized access to these immutable records is governed by access permissions encoded in the executed smart contracts, enhancing security, transparency, and compliance in decentralized digital asset management.