Method for electronic payment system with issuer control

Cryptography – Particular algorithmic function encoding – Nbs/des algorithm

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380 23, 380 25, 705 39, H04L 900

Patent

active

059996250

ABSTRACT:
A cryptographic method implemented on an electronic communication network interconnecting a plurality of terminals represents funds in a way that is secure at the issuer and secure when funds move from payer to payee and back to the issuer. The cryptographic method mints, issues, pays and redeems funds when transactions are done over the network with the flow and transaction of funds being controlled by an issuer. The method implements electronic money acquisition, transfer of money between users in an unrestricted way and in a way where fraud is impossible cryptographically, and redemption of electronic money to correct real money bank accounts. Funds are handled so that their representation enables the issuer to treat the representation as a physical monetary instrument equivalent to notes or coins.

REFERENCES:
Version 3.0. Keywhole Saler Management Application Software Announced by Softkey Software Products, Magazine, Dec. 1987.
S. Brands, Untraceable Off-line Cash in Wallet With Observers Crypto Conference, Aug. 1993.
James, McAndrews, Making Payments on the Internet Philadelphia Business Review, pp. 3-14, Jan., Feb. 1997.
Electric Payment Systems, Donal O'Mahony, Michael Peirce, Hitesh Tewari, 146-160, Oct. 1995.

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