The BoA (Bank of America) has officially applied for a Blockchain patent for its cash handling devices according to documents retrieved from the USPTO (United States Patent and Trademark Office).
The Blockchain Distributed Database
The Multinational Investment Bank is looking to be granted another Blockchain patent that it intends to use in the handling of some aspects of its cash handling services. The patent which has been dubbed the “Banking Systems Controlled by Data Bearing Records” has made a mention of Blockchain, the technology driving the most popular Cryptocurrency in the globe Bitcoin, more than fifty-eight times. In their patent application, the BoA explained in detail how it is going to use Blockchain technology to improve its protocols for the traditional cash deposit as well as withdrawals.
A cash handling device is used by banks to dispense, count and track the cash flow taking place within and through the bank. This allows them to limit cases of theft and it also reduces the amount of time spent in overseeing the cash drawer. What the patent filed by the BoA proposes to do is to use the distributed ledger technology to keeping records of the transactions taking place between two financial parties.
The patent also describes how the bank will be using the Blockchain distributed database in the identification of deposit items gotten from the previous cash handling device. The BoA gives credit to its integration of Blockchain technology for allowing other cash handling devices make withdrawals possible and for appreciating other devices’ transportation requirements within the network.
Tracking of ATM transactions possible
The patent application said that in some cases the server supporting the cash handling device is able to send one or multiple alerts once it has identified the transaction information requested by a cash handling device. The server will be able to generate and send the alerts for the transactions encoded in the Blockchain distributed database after it has identified the required cash transportation needs to be requested by the handling device.
The BoA is hopeful that its Blockchain cash handling system will significantly improve how ATMs work.according to the bank, the restocking of the ATM could be carried out by an ATM operator instead of the financial institution which owns the ATM. The bank in its written statements notes that through Blockchain technology transaction speeds of ATMs could be significantly accelerated. It also stated that the ATMs could also be used for more than just the normal withdrawal and deposit transactions. Through Blockchain technology the BoA stated that they could also be used to facilitate gift registry transactions.
In addition to this, the BoA states that its Blockchain based solution will allow for the tracking of transactions facilitated by ATM machines.
The Growing Number Of Blockchain Related Patent Filings
This latest patent is indicative of the growing interest banks have in the distributed ledger technology. The Bank of America alone has filed for over fifty-three patents that involve Blockchain technology. This puts it just behind IBM and Alibaba which have respectively filed for eighty-nine and ninety patents based on the distributed ledger technology.