NFT Derivative Branching for Secure Ledger Authentication

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Solution Overview

Problem

Existing blockchain technologies limit the ability to create or authorize the creation of new properties from existing NFTs (derivatives) and do not provide secure storage for multiple derivatives within the same distributed ledger.

Innovation Solution

The system allows for the creation and secure storage of non-fungible tokens (NFTs) formed from derivatives of digital properties within a branch of a distributed ledger, utilizing smart contracts to define parameters and determine resource compensation for derivative usage, with the option for sub-branching to accommodate further derivatives.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Adaptability or versatility

If conventional blockchain technology is used to store NFTs, then the distributed ledger provides secure storage and authentication, but the ability to create or authorize the creation of new properties from existing NFTs (derivatives) is limited

Engineering Contradiction:

Improveability to create derivativesVSAvoidsecure storage and authentication

Core Design Contradiction:

Adaptability or versatilityVSReliability

Solution Approach 1:

The distributed ledger is segmented into a main chain and multiple branches. Each branch can store derivative NFTs independently while maintaining connection to the main chain, allowing multiple derivatives to be created and stored without compromising the integrity of the original NFT storage structure.

Inventive Principle:

Principle #1Segmentation

Solution Approach 2:

The patent introduces a temporal dimension to the blockchain structure by allowing branches to diverge from specific blocks on the main chain. This enables the system to capture different states of derivative creation at different points in time, providing a multi-dimensional view of NFT evolution while maintaining security through cryptographic linking.

Inventive Principle:

Principle #17Another dimension (Dimensionality change)

2Adaptability or versatility

If multiple derivative NFTs are created from an original NFT, then the system provides greater versatility and authorization capabilities, but the complexity of managing and storing multiple derivatives within the same distributed ledger increases

Engineering Contradiction:

Improvecreation of multiple derivativesVSAvoidledger structure complexity

Core Design Contradiction:

Adaptability or versatilityVSDevice complexity

Solution Approach 1:

The ledger is divided into a main chain for storing original NFTs and multiple branches for storing derivatives. This segmentation allows the system to manage complexity by organizing different types of NFTs in separate but connected structures, making it easier to track and authorize derivatives without overwhelming the main ledger structure.

Inventive Principle:

Principle #1Segmentation

Solution Approach 2:

Branches are nested within the overall distributed ledger structure, with each branch containing a subset of derivative NFTs that are cryptographically linked to the main chain. This nested organization allows the system to handle multiple derivatives efficiently while maintaining a unified view of all NFTs and their relationships.

Inventive Principle:

Principle #7Nested doll (Nesting)

3Adaptability or versatility

If a linear sequential chain structure is used, then the distributed ledger maintains simplicity and ease of operation, but it cannot efficiently store and authenticate multiple derivative NFTs from a single original NFT

Engineering Contradiction:

Improvestorage of multiple derivativesVSAvoidledger structure simplicity

Core Design Contradiction:

Adaptability or versatilityVSEase of operation

Solution Approach 1:

The linear chain is segmented into a main chain and multiple branches. This segmentation allows the system to maintain the simplicity of a linear structure for the original NFTs while adding branching capability to accommodate derivatives, thus preserving ease of operation for primary NFT management while enabling derivative storage.

Inventive Principle:

Principle #1Segmentation

Solution Approach 2:

The patent adds a branching dimension to the traditional linear blockchain structure. This allows multiple derivative NFTs to be stored and authenticated efficiently by organizing them in parallel branches that diverge from specific main chain blocks, maintaining operational simplicity for primary NFTs while enabling complex derivative relationships.

Inventive Principle:

Principle #17Another dimension (Dimensionality change)

Data Source

PatentUS12547739B2Systems and methods for creating derivative digital assets by branching on an original non-fungible token

Publication Date: 2026.02.10 BANK OF AMERICA CORP

AI summary

Creation and secure storage of non-fungible tokens (NFT) formed from derivatives of digital properties/assets within a branch of a distributed ledger that stores the original NFT. Each branch of the distributed ledger emanates from a data block of the trunk of the distributed ledger and stores an NFT formed from a derivative of the underlying digital property used to form the original NFT. Each NFT formed from the derivative of the digital property may include a smart contract that defines the parameters for the derivative and logic for determining resource compensation for the creator/owner of the original digital property/asset based on consumption of the derivative digital property/asset. Moreover, sub-branches may emanate from data blocks of the branches of the distributed ledger, with the sub-branches storing an NFT formed from a derivative of the derivative digital property/asset.