Smart Contract License Activation via Decentralized Ledger
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Solution Overview
Problem
Conventional licensing processes for hardware and software products are cumbersome and require multiple manual steps, often relying on third-party license servers, making them time-consuming and complex for customers.
Innovation Solution
A decentralized computing system utilizing a distributed ledger, such as a blockchain, to store smart contracts on both customer and vendor devices, simplifying the licensing process by automating key steps and eliminating the need for a separate license server, through the creation and activation of smart contracts associated with product purchases.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If a conventional licensing process is used with multiple manual steps and third-party license servers, then the licensing can be controlled and tracked, but the process becomes time-consuming and complex for customers
Solution Approach 1:
The system enables automatic self-service licensing where the licensing process occurs autonomously between vendor and customer systems without requiring manual customer actions. The vendor system automatically generates licenses, sends activation codes, and the customer system automatically activates and provisions the license server, eliminating the need for customers to manually perform multiple steps while maintaining reliable license control through automated verification and tracking.
Solution Approach 2:
The vendor system performs preliminary actions by pre-generating the license and activation code before the customer receives the product. The license is created in advance with all necessary parameters, and the activation code is prepared beforehand, allowing the customer system to simply activate it without going through complex manual licensing procedures.
2Reliability
If manual licensing steps are required for customers, then the vendor can maintain control over the licensing process, but the ease of operation for customers deteriorates
Solution Approach 1:
The system implements automated self-service licensing where the customer system automatically receives and processes the activation code, generates the license file, and provisions the license server without manual customer intervention. This maintains vendor control through automated verification while dramatically improving ease of operation for customers.
Solution Approach 2:
An automated intermediary licensing system acts as a mediator between the vendor and customer. The vendor system sends the activation code through an automated interface, and the customer system automatically processes it through an automated licensing interface, eliminating the need for customers to manually navigate complex licensing procedures while maintaining vendor control through the automated verification process.
3Adaptability or versatility
If a separate license server is deployed, then the licensing can be managed independently, but the device complexity and deployment involvement increase
Solution Approach 1:
The licensing functionality is merged into the product itself rather than requiring a separate license server deployment. The license and activation code are integrated directly into the product, allowing the product to self-activate and self-provision without requiring customers to deploy and configure separate license server infrastructure, thereby reducing deployment complexity while maintaining licensing independence.
Data Source
AI summary
Systems and methods for creating a license during a purchasing process between a customer and a vendor are provided. In one implementation, a method may be executable by a vendor system in communication with a customer device in a decentralized computing infrastructure. The method may include the steps of receiving a purchase order from a customer to initiate a purchase of a software or hardware product, where the customer is associated with the customer device, and receiving a public key from the customer. Additionally, the method may include the steps of creating a smart contract for controlling a license related to the purchase of the software or hardware product and sending a contract address associated with the smart contract to the customer to enable the customer to activate the software or hardware product.