Smart Contract Invoice Voiding With Blockchain Authority Verification

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Solution Overview

Problem

Existing blockchain systems lack efficient mechanisms for securely invalidating invoices, which can lead to data security risks and unauthorized modifications.

Innovation Solution

A blockchain-based invoice invalidation method that utilizes smart contracts to verify the authority of the invoice invalidation party and update the invoice state from valid to invalid, ensuring only authorized parties like issuers or trusted third parties can invalidate invoices, and involves transaction matching logic to handle refund transactions.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Adaptability or versatility

If blockchain systems allow invoice invalidation, then invoice flexibility and correction capability are improved, but data security and authorization control may deteriorate without proper mechanisms

Engineering Contradiction:
Improveinvoice invalidation capabilityVSAvoiddata security
Core Design Contradiction:
Adaptability or versatilityVSReliability

Solution Approach 1:

The patent applies preliminary action by pre-defining authorization rules and smart contract logic that automatically verify the authority of any party attempting to invalidate an invoice. The system preemptively establishes validation mechanisms (checking issuer status, trusted third-party credentials, or judicial order verification) before allowing any invalidation operation, thus enabling invoice flexibility while maintaining security through automated preliminary verification.

Inventive Principle:
Principle #10Preliminary action

Solution Approach 2:

The patent introduces smart contracts as intermediaries that mediate between the invoice invalidation request and the blockchain state. The smart contract acts as a trusted mediator that verifies authorization credentials, checks validity conditions, and only permits invalidation when properly authorized. This intermediary layer enables secure invoice correction by delegating security validation to an automated, transparent mediator rather than relying on direct system access.

Inventive Principle:
Principle #24Intermediary (Mediator)

2Productivity

If manual invoice invalidation processes are used, then system complexity is reduced, but productivity and processing efficiency deteriorate

Engineering Contradiction:
Improveinvoice invalidation processing efficiencyVSAvoidsmart contract and authorization verification system
Core Design Contradiction:
ProductivityVSDevice complexity

Solution Approach 1:

The patent applies self-service by designing a system where the smart contract automatically performs authorization verification, validity checking, and state updates without requiring manual intervention. When an invalidation request is submitted, the smart contract autonomously verifies the requester's authority, validates the invoice status, and executes the invalidation if conditions are met. This automation dramatically improves processing efficiency while the modular smart contract design keeps system complexity manageable through code reusability and standardized interfaces.

Inventive Principle:
Principle #25Self-service

3Reliability

If authorization verification is implemented, then data security is improved, but processing time and operational complexity worsen

Engineering Contradiction:
Improveauthorization controlVSAvoidverification processing time
Core Design Contradiction:
ReliabilityVSLoss of time

Solution Approach 1:

The patent applies preliminary action by pre-computing and storing authorization credentials, issuer identities, and trusted third-party certifications in the blockchain state before any invalidation operation. The smart contract has direct access to these pre-validated data structures, allowing it to perform verification by simple data comparison rather than complex real-time validation. This preliminary preparation of authorization data significantly reduces verification processing time while maintaining strict authorization control.

Inventive Principle:
Principle #10Preliminary action

Data Source

PatentEP3905172B1Blockchain-based invoice voiding method and apparatus, and electronic device
Publication Date: 2026.03.18 ADVANCED NEW TECHNOLOGIES CO LTD
  • EP3905172B1 patent drawingFigure 1~2
  • EP3905172B1 patent drawingFigure 3~4
  • EP3905172B1 patent drawingFigure 5

AI summary

One or more implementations of the present specification provide an invoice invalidation method and apparatus based on a blockchain, and an electronic device. The method includes: receiving an invalidation request that is initiated by an invoice invalidation party for a target invoice recorded in the blockchain; in response to the invalidation request, determining whether the invoice invalidation party has authority to invalidate the target invoice; and in response to that the invoice invalidation party has the authority to invalidate the target invoice, invoking an invoice invalidation logic provided in a smart contract deployed in a blockchain network of the blockchain to invalidate the target invoice.