American Express to establish a new customer reward system based on blockchain

The travel wing of American Express may consider the use of block-chain to provide personalized customer rewards system.

A new patent was filled by US Patent and Trademark office that details a concept for offering customer specific types of rewards (points or virtual currency tied to a product). The patent indicates that the financial organization would make these offers by analyzing personalized data about the customer by identifying their historic spending patterns

The technology behind this system is supposed to store and update information among many possible approaches as specified

“The blockchain structure may include a distributed database that maintains a growing list of data records. The blockchain may provide enhanced security because each block may hold individual transactions and the results of any blockchain executables. Each block may contain a timestamp and a link to a previous block.”

American Express’s interest in this patent and intellectual property claims is not surprising to many. Many credit card companies have shown interest in block-chain applications for better transparency. American Express currently is also a member of Hyperledger blockchain. When it joined in January, the company was already willing to rework its current services through blockchain technology

Marc Gordon, Amex Chief Information Officer said “”We’re excited to join Hyperledger, as we’re looking to take full advantage of blockchain to deliver new and innovative products for our customers and partners, while transforming existing business processes and applications.”

 

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