Payments giant with the market value of $204.12 billion, Mastercard (MA) filed an application in the United States Patent and Trademark Office to use blockchain technologies for authentication of client codes.
According to the patent, distributed registry technology will serve as a data repository for coupons and will ensure their protection.
The user is assigned an address in the block that corresponds to the credit card or digital wallet. When the client tries to redeem the coupon, POS-terminals will interact with the block to verify the user.
After a successful transaction, the system automatically transfers the coupon from the client’s wallet to the address with invalid coupons. This approach will not allow the user to perform a repeat operation with the same coupon.
According to representatives of Mastercard, the system is designed to help merchants prevent fraud with coupons. This, in turn, will allow companies to issue more bonus offers, as discounts cannot be tampered with or repaid by unauthorized users.
Earlier Mastercard reported that it is developing a method for accelerated activation of nodes in the blockchain.
Mastercard (MA)’s stock up 2.77% or $5.26 to trade at $195.37 during the Friday trading session. The stock opened at $192.03 and currently hovering between $195.37 and $191.90.