Virtual Object Marking via Distributed Ledger Asset Status

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Solution Overview

Problem

Conventional systems for recording and managing property ownership and transactions in virtual environments are inefficient, inaccurate, and prone to errors, fraud, and theft due to fragmented registries, outdated technology, and lack of interoperability, leading to issues in updating real-world vehicle information for virtual object counterparts.

Innovation Solution

Utilizing Distributed Ledger Technology (DLT) to mint tokens and smart contracts to create a secure, immutable, and secure system for managing and tracking transactions related to a real-world vehicle and other real-world objects, such as vehicles, homes, or houses, by minting digital assets like NFTs that are associated with virtual objects in a virtual environment, enabling secure and efficient recordation and display of transaction status.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If conventional registries are used to record property transactions, then the system is simple to operate, but the reliability and accuracy of transaction recording deteriorates due to fragmentation and outdated technology

Engineering Contradiction:

Improvetransaction recording accuracyVSAvoidregistry system structure

Core Design Contradiction:

ReliabilityVSDevice complexity

Solution Approach 1:

The patent merges multiple fragmented registries into a single distributed ledger system where all property transactions are recorded in one unified, decentralized structure. This eliminates the need for multiple disconnected registries while improving reliability through cryptographic verification and consensus mechanisms.

Inventive Principle:

Principle #5Merging (Combining)

Solution Approach 2:

The distributed ledger acts as an intermediary layer between different property registries and stakeholders. It provides a neutral, immutable record-keeping mechanism that all parties can trust, replacing the need for multiple separate registry systems while maintaining ease of access through standardized interfaces.

Inventive Principle:

Principle #24Intermediary (Mediator)

2Productivity

If manual or legacy electronic registries are used, then the device complexity is low, but the productivity and efficiency of property management deteriorates

Engineering Contradiction:

Improveproperty transaction processing speedVSAvoidregistry infrastructure

Core Design Contradiction:

ProductivityVSDevice complexity

Solution Approach 1:

The patent replaces manual and legacy electronic registry systems with a distributed ledger technology that uses cryptographic algorithms and consensus mechanisms instead of traditional mechanical or centralized electronic processes. This substitution dramatically improves transaction processing speed and efficiency while maintaining a relatively simple interface for users.

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

3Reliability

If centralized registries are used, then the system is easy to operate, but the security and resistance to fraud deteriorates

Engineering Contradiction:

Improvefraud resistanceVSAvoidledger architecture

Core Design Contradiction:

ReliabilityVSDevice complexity

Solution Approach 1:

The patent segments the centralized registry authority into multiple distributed nodes that each maintain a copy of the ledger. This segmentation eliminates the single point of failure and fraud vulnerability in centralized systems while providing cryptographic security through consensus mechanisms. The complex architecture of distributed nodes provides security without complicating user operations.

Inventive Principle:

Principle #1Segmentation

4Loss of information

If multiple disconnected registries are used, then each registry is simple to maintain, but the loss of information increases due to lack of synchronization

Engineering Contradiction:

Improvetransaction data completenessVSAvoidregistry network structure

Core Design Contradiction:

Loss of informationVSDevice complexity

Solution Approach 1:

The distributed ledger provides a universal record-keeping system that serves multiple functions: it records all property transactions, maintains ownership information, tracks transaction history, and provides verification mechanisms. This single multi-functional system replaces multiple specialized registries, eliminating information loss while the modular architecture keeps maintenance manageable through standardized protocols.

Inventive Principle:

Principle #6Universality (Multi-functionality)

Data Source

PatentUS20260111977A1Systems and methods for marking virtual objects

Publication Date: 2026.04.23 STATE FARM MUTAL AUTOMOBILE INSURANCE COMPANY

AI summary

Techniques are described herein for marking virtual objects. An exemplary system includes one or more processors; and a non-transitory computer-readable medium coupled to the one or more processors and storing instructions thereon. The instructions, when executed by the one or more processors, cause the one or more processors to: (1) receive a transaction listing from a first entity, the transaction listing including (i) a digital asset that is associated with a virtual object in a virtual environment and (ii) a status of the digital asset indicating an active association with the first entity, (2) generate a transaction based upon the transaction listing, the transaction including an indication of the virtual object, (3) record the transaction in a distributed ledger, and (4) responsive to recording the transaction in the distributed ledger, cause the status of the digital asset to be displayed when the virtual object is viewed in the virtual environment.