Instant Digital Issuance of Payment Sources via Gateway Encryption
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Solution Overview
Problem
Existing physical card payment systems are costly and time-consuming for both issuers and users, as they require generating and shipping physical cards, limiting immediate use.
Innovation Solution
Implementing a system for instant digital issuance of payment sources, such as credit cards, directly into a user's mobile or digital wallet, using a gateway encryption service and software development kit to manage encryption and provisioning.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If physical cards are issued to users, then secure payment transactions can be performed, but time and costs are increased due to card generation and shipping
Solution Approach 1:
The patent creates a digital copy of the payment card functionality by generating a virtual card number (VCN) that replicates the payment capabilities of a physical card without requiring the physical card itself. This digital token enables the same payment transactions to be performed electronically, eliminating the need for physical card production and delivery while maintaining payment security through encrypted tokenization.
Solution Approach 2:
The patent replaces the mechanical system of physical card production, shipping, and handling with an electronic system that generates and transmits digital payment tokens through software. The gateway encryption service and mobile application substitute the physical card issuance mechanism with a digital provisioning process that occurs entirely in the cloud and on the user's device, eliminating all mechanical steps involved in physical card delivery.
2Ease of operation
If physical cards are generated and shipped, then users receive payment capability, but costs increase due to labor, material, and shipping
Solution Approach 1:
The system creates a digital replica of payment card functionality through virtual card numbers that can be instantly provisioned to users. This digital copy eliminates all material costs associated with physical card production, including plastic materials, printing, and physical shipping. The only resources consumed are computational resources for generating and securing the digital tokens, which are negligible compared to physical production costs.
Solution Approach 2:
The patent extracts the essential payment functionality from the physical card medium itself, separating the payment capability from the physical substrate. By taking out only the necessary payment information and transforming it into a digital token format, the system eliminates all costs associated with the physical card body, printing, packaging, and shipping, retaining only the core payment function in a cost-efficient digital form.
3Productivity
If digital payment sources are issued instantly, then time and costs are reduced, but encryption and security provisioning complexity increases
Solution Approach 1:
The patent introduces a gateway encryption service as an intermediary between the card issuer and the user's mobile device. This intermediary handles all the complex encryption, decryption, and tokenization operations, shielding the issuer and user from the cryptographic complexity. The gateway service acts as a secure mediator that manages the cryptographic keys and protocols, enabling instant digital issuance without requiring the issuer's system to become complex itself.
Solution Approach 2:
The mobile application on the user's device performs self-service encryption and security provisioning by automatically generating secure storage environments and managing local cryptographic keys. The system enables the user's device to autonomously handle security requirements without requiring complex centralized management, allowing instant provisioning while distributing the security burden to the endpoint device where it is most effective.
Data Source
AI summary
Described herein are techniques for facilitating push provisioning of a user payment source into a user's digital wallet without the user having a physical card. The techniques allow an issuer to provide a button in an issuer's application for the user to simply push the button to request that the payment source be imported into a pay wallet or a merchant. In this way, the payment source information is “pushed” into the pay wallet. Using push provisioning, the user need not enter any physical card information. The described techniques generate a chain of trust that can be used to ensure that a user, through an issuer and using a gateway, authorizes a token service provider to provision the payment source into the pay wallet or merchant.