DETAILED ACTION
The present application, filed on or after March 16, 2013, is being examined under the first inventor to file provisions of the AIA .
Applicant’s response to the Election/Restriction requirement was received on July 27, 2026.
Election/Restrictions
Applicant’s election without traverse of claims 1-10 in the reply filed on July 27, 2026 is acknowledged.
Claims 11-20 are withdrawn from further consideration pursuant to 37 CFR 1.142(b) as being drawn to a nonelected invention, there being no allowable generic or linking claim. Election was made without traverse in the reply filed on July 27, 2026.
Claims 1-10 are pending and have been reviewed.
Claim Rejections - 35 USC § 112
The following is a quotation of 35 U.S.C. 112(b):
(b) CONCLUSION.—The specification shall conclude with one or more claims particularly pointing out and distinctly claiming the subject matter which the inventor or a joint inventor regards as the invention.
The following is a quotation of 35 U.S.C. 112 (pre-AIA ), second paragraph:
The specification shall conclude with one or more claims particularly pointing out and distinctly claiming the subject matter which the applicant regards as his invention.
Claims 2, 4, 6, and 9 are rejected under 35 U.S.C. 112(b) or 35 U.S.C. 112 (pre-AIA ), second paragraph, as being indefinite for failing to particularly point out and distinctly claim the subject matter which the inventor or a joint inventor, or for pre-AIA the applicant regards as the invention.
Regarding claim 2: Claim 2 recites the limitation "the outstanding base money liabilities of that issuer" in the 4th line of the claim. There is insufficient antecedent basis for this limitation in the claim.
Regarding claim 4: Claim 4 recites the limitation "the outstanding base money liabilities of that issuer" in the 4th/5th line of the claim. There is insufficient antecedent basis for this limitation in the claim.
Regarding claim 6: Claim 6 recites the limitation "the issuer" in the 2nd line of the claim. There is insufficient antecedent basis for this limitation in the claim.
Regarding claim 6: Claim 6 recites the limitation "the balance" in the 3rd line of the claim. There is insufficient antecedent basis for this limitation in the claim.
Regarding claim 6: Claim 6 recites the limitation "the aggregate balance" in the 3rd line of the claim. There is insufficient antecedent basis for this limitation in the claim.
Regarding claim 9: Claim 9 recites the limitation "the weight units" in the 3rd line of the claim. There is insufficient antecedent basis for this limitation in the claim.
Claim Rejections - 35 USC § 101
35 U.S.C. 101 reads as follows:
Whoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title.
Claims 1-10 are rejected under 35 U.S.C. 101 because the claimed invention is directed to an abstract idea without significantly more. The claims recite the abstract idea which may be summarized as executing spend instruction (e.g., payment processing).
Step 1 Analysis
Applicants claims are directed to a machine (claims 1-10).
Step 2A, Prong 1 Analysis
Claim 1 recites the abstract idea/limitations of:
administering one or more accounts, each of which belongs to one or more account owners;
receiving one or more spend instructions specifying an account-to-account transfer of a quantity of base money from at least one paying account to at least one recipient account;
receiving one or more spend authorizations for the one or more spend instructions from one or more… users with requisite privileges for the at least one paying account; and
executing the one or more authorized spend instruction if they conform to all applicable system rules by crediting the at least one paying account and debiting the at least one recipient account in an atomic transaction that executes in its entirety or not at all;
and wherein at least one of the one or more alternative currencies are based on at least one commodity and are continuously backed by a 100% reserve of the at least one commodity.
As drafted these limitations are a process that falls within the “Certain Methods of Organizing Human Activity grouping of abstract ideas; but for the recitation of generic computer components. If a claim limitation, under its broadest reasonable interpretation, recites performance of the limitation as commercial/legal interactions then it falls within the “Certain Methods of Organizing Human Activity” grouping of abstract ideas. By reciting/claiming a certain method of organizing human activity, Applicant’s claims are directed to an abstract idea. The recited system components are just applying generic computer components to the recited abstract limitations.
Step 2A, Prong 2 Analysis
This judicial exception is not integrated into a practical application because the claims only recites system components for implementing the abstract idea and extra-solution activity. The claims recite the additional limitations of a payment system, at least one processor, at least one memory; and they are recited at a high level of generality. These system components amount to no more than mere instructions to apply the exception using a generic computer. These limitations generally link the use of the judicial exception to a technological environment and are not indicative of integration into a practical application. The limitations of:
receiving one or more spend instructions specifying an account-to-account transfer of a quantity of base money from at least one paying account to at least one recipient account;
receiving one or more spend authorizations for the one or more spend instructions from one or more… users with requisite privileges for the at least one paying account; and
as drafted are insignificant extra-solution activity. These steps are mere data gathering and storing of information and do not qualify as a practical application of the judicial exception. See MPEP 2106.05(g). These additional elements, when considered separately and as an ordered combination, do not integrate the abstract idea into a practical application because it does not impose any meaningful limits on practicing the abstract idea. The claims as a whole do not integrate the abstract idea into a practical application because it does not impose any meaningful limits on practicing the abstract idea. The claims are directed to an abstract idea without a practical application.
Step 2B Analysis
The claims do not include additional elements that are sufficient to amount to significantly more than the judicial exception because, when considered separately and as an ordered combination, they do not add significantly more (also known as an “inventive concept”) to the judicial exception. As discussed above with respect to integration of the abstract idea into a practical application, the additional element of a payment system, at least one processor, at least one memory; amount to no more than mere components to implement the judicial exception using a generic computer components. For the same reason these elements are not sufficient to provide an inventive concept. Mere instructions to apply an exception using a generic computer component cannot provide an inventive concept. The limitations of:
receiving one or more spend instructions specifying an account-to-account transfer of a quantity of base money from at least one paying account to at least one recipient account;
receiving one or more spend authorizations for the one or more spend instructions from one or more… users with requisite privileges for the at least one paying account; and
as drafted are insignificant extra-solution activity. These steps are mere data gathering and storing and do not qualify as significantly more than the judicial exception as they are well-understood, routine, and conventional activity when clamed in a merely generic manner (as it is here). See MPEP 2106.05(g). See Applicant’s specification paragraphs [0102-0108], [0251-263], about implementation of the abstract idea using general purpose or special purpose computing devices; and MPEP 2106.05(f) where applying a computer as a tool is not indicative of significantly more. Accordingly, these additional elements, when considered separately and as an ordered combination, do not integrate the abstract idea into a practical application because they do not impose any meaningful limits on practicing the abstract idea. Thus Applicant’s claims are not patent eligible.
Dependent Claims Analysis
As for dependent claims 2-10, these claims recite limitations that further define the same abstract idea noted in independent claim 1. Therefore, claims 2-10 are considered ineligible subject matter for the reasons given above.
Thus, the dependent claims 2-10 are not patent-eligible either.
Examiner Request
The Applicant is requested to indicate where in the specification there is support for amendments to claims should Applicant amend. The purpose of this is to reduce potential 35 USC 112(a) or 35 USC 112 first paragraph issues that can arise when claims are amended without support in the specification. The Examiner thanks the Applicant in advance.
Claim Rejections - 35 USC § 103
In the event the determination of the status of the application as subject to AIA 35 U.S.C. 102 and 103 (or as subject to pre-AIA 35 U.S.C. 102 and 103) is incorrect, any correction of the statutory basis for the rejection will not be considered a new ground of rejection if the prior art relied upon, and the rationale supporting the rejection, would be the same under either status.
The following is a quotation of 35 U.S.C. 103 which forms the basis for all obviousness rejections set forth in this Office action:
A patent for a claimed invention may not be obtained, notwithstanding that the claimed invention is not identically disclosed as set forth in section 102 of this title, if the differences between the claimed invention and the prior art are such that the claimed invention as a whole would have been obvious before the effective filing date of the claimed invention to a person having ordinary skill in the art to which the claimed invention pertains. Patentability shall not be negated by the manner in which the invention was made.
The factual inquiries set forth in Graham v. John Deere Co., 383 U.S. 1, 148 USPQ 459 (1966), that are applied for establishing a background for determining obviousness under 35 U.S.C. 103 are summarized as follows:
1. Determining the scope and contents of the prior art.
2. Ascertaining the differences between the prior art and the claims at issue.
3. Resolving the level of ordinary skill in the pertinent art.
4. Considering objective evidence present in the application indicating obviousness or nonobviousness.
Claims 1-10 are rejected under 35 U.S.C. 103 as being unpatentable over Hoy, US Patent Application Publication No., 2008/0208725, in view of Syed, US Patent Application Publication No., 2009/0276449, in further view of Gould, US Patent Application Publication No., 2011/0112951.
Regarding claim 1;
A payment system for use with base money of one or more alternative currencies, the system comprising:
at least one processor and at least one memory, wherein the at least one processor is adapted to perform one or more of the following steps:
See Hoy: Figure 12,
[0040] Computer system 1200 includes a central processing unit 1206 for executing any one of the main software program components according to the present invention. Computer system 1200 also includes local disk storage 1212, which is a computer readable medium for locally storing any one of the main software program components according to the present invention before, during, and after execution.
administering one or more accounts, each of which belongs to one or more account owners;
See Hoy: [0037] FIG. 1 illustrates generally an example of the use of private currency as disclosed herein. At 100, a provider of private currency 101 makes available a private currency 102 for use by both merchants 106 and consumers 105. At 109, a consumer 105 establishes a consumer account 110 with the provider of private currency 101. In various embodiments, when an account is established, the user is provided with an account identifier 111. In one embodiment, the account identifier 111 is an account number. In some embodiments, the consumer 105 is provided an electronic representation of the account identifier 111. In one embodiment, the electronic representation of the account identifier is a magnetic strip card. In other embodiments, the electronic representation can be any means by which someone can identify a user account, for example a SIM card, an electronic magnetic disc medium, a flash drive, a USB drive, an SD card, or any electronic representation of an account number, such as the number itself stored in computer memory, or by the user entering an account number into a website.
receiving one or more spend instructions specifying an account-to-account transfer of a quantity of base money from at least one paying account to at least one recipient account;
See Hoy: [0048] Next, at 208, a consumer initiates a consumer request to purchase goods and/or services from the merchant 106. In various examples, the consumer request may be entering information into a website, requesting goods over the telephone, or any other form of communication between the consumer 105 and the merchant 106. At 204, the user account 110 associated with the private currency 102 is subjected to a validation procedure to establish that the user account 110 is authorized by the providers of private currency 101. At 205, the merchant 106 further validates the user account 110 to ensure that a sufficient amount of private currency exists such that the merchant 106 is willing to proceed in transacting with the consumer 105 to exchange private currency 102 for goods and/or services. In some embodiments, the provider of private currency 101 verifies the validity of the consumer account instead of the network member merchant 106. Next, at 206, once both the merchant 106 and the consumer 105 authorize the transaction, the goods or services are transferred to the consumer 105 by the merchant 106. In various embodiments, when the provider of private currency 101 acts as an intermediary between the merchant 106 and the consumer 105, the value of the private currency 102 is exchanged by the provider of private currency to any alternate form of currency, and the merchant receives such alternate currency in exchange for the goods and/or services. The alternate form of currency may be any currency agreed upon between the merchant 106 and the provider of private currency 101. Alternatively, the alternate form of currency may be selectable by the merchant 106 for each particular transaction, or for a group of transactions. In other various embodiments, the merchant 106 may accept private currency 102 alone in exchange for the goods and/or services. In these embodiments, at 207, the merchant 106 then redeems with the provider of private currency 101 the private currency 102 it received from the consumer 105 in exchange for an alternate form of currency.
See also [0016], [0017], [0042], Figure 2
receiving one or more spend authorizations for the one or more spend instructions from one or more system users with requisite privileges for the at least one paying account;
See Hoy: [0048] Next, at 208, a consumer initiates a consumer request to purchase goods and/or services from the merchant 106. In various examples, the consumer request may be entering information into a website, requesting goods over the telephone, or any other form of communication between the consumer 105 and the merchant 106. At 204, the user account 110 associated with the private currency 102 is subjected to a validation procedure to establish that the user account 110 is authorized by the providers of private currency 101. At 205, the merchant 106 further validates the user account 110 to ensure that a sufficient amount of private currency exists such that the merchant 106 is willing to proceed in transacting with the consumer 105 to exchange private currency 102 for goods and/or services. In some embodiments, the provider of private currency 101 verifies the validity of the consumer account instead of the network member merchant 106. Next, at 206, once both the merchant 106 and the consumer 105 authorize the transaction, the goods or services are transferred to the consumer 105 by the merchant 106. In various embodiments, when the provider of private currency 101 acts as an intermediary between the merchant 106 and the consumer 105, the value of the private currency 102 is exchanged by the provider of private currency to any alternate form of currency, and the merchant receives such alternate currency in exchange for the goods and/or services. The alternate form of currency may be any currency agreed upon between the merchant 106 and the provider of private currency 101. Alternatively, the alternate form of currency may be selectable by the merchant 106 for each particular transaction, or for a group of transactions. In other various embodiments, the merchant 106 may accept private currency 102 alone in exchange for the goods and/or services. In these embodiments, at 207, the merchant 106 then redeems with the provider of private currency 101 the private currency 102 it received from the consumer 105 in exchange for an alternate form of currency.
See also [0016], [0017], [0042], Figure 2
and executing the one or more authorized spend instruction if they conform to all applicable system rules by crediting the at least one paying account and debiting the at least one recipient account in an atomic transaction that executes in its entirety or not at all;
See Hoy: [0048] Next, at 208, a consumer initiates a consumer request to purchase goods and/or services from the merchant 106. In various examples, the consumer request may be entering information into a website, requesting goods over the telephone, or any other form of communication between the consumer 105 and the merchant 106. At 204, the user account 110 associated with the private currency 102 is subjected to a validation procedure to establish that the user account 110 is authorized by the providers of private currency 101. At 205, the merchant 106 further validates the user account 110 to ensure that a sufficient amount of private currency exists such that the merchant 106 is willing to proceed in transacting with the consumer 105 to exchange private currency 102 for goods and/or services. In some embodiments, the provider of private currency 101 verifies the validity of the consumer account instead of the network member merchant 106. Next, at 206, once both the merchant 106 and the consumer 105 authorize the transaction, the goods or services are transferred to the consumer 105 by the merchant 106. In various embodiments, when the provider of private currency 101 acts as an intermediary between the merchant 106 and the consumer 105, the value of the private currency 102 is exchanged by the provider of private currency to any alternate form of currency, and the merchant receives such alternate currency in exchange for the goods and/or services. The alternate form of currency may be any currency agreed upon between the merchant 106 and the provider of private currency 101. Alternatively, the alternate form of currency may be selectable by the merchant 106 for each particular transaction, or for a group of transactions. In other various embodiments, the merchant 106 may accept private currency 102 alone in exchange for the goods and/or services. In these embodiments, at 207, the merchant 106 then redeems with the provider of private currency 101 the private currency 102 it received from the consumer 105 in exchange for an alternate form of currency.
See also [0016], [0017], [0042], Figure 2
The primary reference does not teach:
an atomic transaction that executes in its entirety or not at all;
and wherein at least one of the one or more alternative currencies are based on at least one commodity and are continuously backed by a 100% reserve of the at least one commodity.
Syed teaches
an atomic transaction that executes in its entirety or not at all;
See Syed [0003] A database transaction is a unit of work performed against a database. A database transaction is treated in a coherent and reliable way independent of other transactions. By definition, a database transaction must be atomic, consistent, isolated and durable. These properties are often referred to by the acronym ACID. The concept of a database transaction can be illustrated in connection with a double-entry accounting system. In a double-entry accounting system each debit requires an associated credit to be recorded. For example, if a purchaser writes a $20 check to a retailer, the transactional double-entry accounting system would record two entries: a $20 debit of the account of the purchaser and a $20 credit to the account of the retailer. In a transactional system, both entries would be made or both entries would fail. By treating the recording of multiple entries as an atomic transactional unit of work, one maintains the integrity of the data recorded.
It would have been obvious to one of ordinary skill in the art at the time of filing to have modified the transactions as taught by Hoy to include having the ACID properties as taught by Syed since the claimed invention is merely a combination of old elements and in the combination each element merely would have performed the same function as it did separately, one of ordinary skill in the art would have recognized that the results of the combination were predictable. Further financial motivation includes have the transactions be atomic prevents fund from being improperly debited or credited.
Gould teaches
and wherein at least one of the one or more alternative currencies are based on at least one commodity and are continuously backed by a 100% reserve of the at least one commodity.
See Gould [0037] The present invention provides a method for partially backing the local currency 115 with the valuable asset 140. FIG. 2 illustrates an exemplary embodiment of a post-issue method 200 of issuing the local currency 115 and purchasing the valuable asset 140 for backing the local currency 115 according to the present invention. In other words, the exemplary post-issue method 200 of FIG. 2 illustrates one possible manner of regulating the purchase of the valuable asset 140, i.e. the valuable asset exchange 145, relative to the issuing exchange 122.
[0040] In step 240, the currency issuer 100 purchases the valuable asset 140 with a percentage of the accumulated legal tender. The percentage of the accumulated legal tender that is expended in purchasing the valuable asset 140 can be 100%, the inverse of the predetermined ratio of the accumulated legal tender to the purchase price from Step 230, or any other value deemed appropriate by the currency issuer 100 that provides backing for a portion of the value of the local currency 115 issued for the corresponding accumulated legal tender. The currency issuer 100 can then fix the physically measurable amount of the valuable asset 140 that backs the corresponding accumulated legal tender at or below the physical amount of the valuable asset 140 purchased. The remainder of the accumulated legal tender, not used for purchasing the valuable asset 140 can then be allocated or transferred to a reserve account in Step 250.
It would have been obvious to one of ordinary skill in the art at the time of filing to have modified alternative currency as taught by the combined references to include having the alternative currency backed by a 100% reserve of a commodity as taught by Gould since the claimed invention is merely a combination of old elements and in the combination each element merely would have performed the same function as it did separately, one of ordinary skill in the art would have recognized that the results of the combination were predictable. Further financial motivation includes backing the alternative currency with a commodity makes the currency more stable.
Regarding claim 2;
The system of claim 1, wherein the one or more spend instructions are one or more issuance spend instructions, wherein the at least one paying account is a mint account belonging to an issuer of a base money specified in the one or more issuance spend, and which issuance spend results in an increase in the outstanding base money liabilities of that issuer in circulation.
See Hoy: [0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
Regarding claim 3;
The system of claim 1, wherein the one or more spend instructions are one or more redemption spend instructions, wherein the at least one paying account is an account belonging to a primary dealer, and wherein the at least one recipient account is an account of an issuer of a particular base money specified in the one or more redemption spend instructions.
See Hoy: [0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
Regarding claim 4;
The system of claim 1, wherein the one or more spend instructions are one or more de-issuance spend instructions, wherein the at least one recipient account is a mint account belonging to an issuer of a particular base money specified in the de-issuance spend instruction, and wherein the one or more de-issuance spend instructions result in an decrease in the outstanding base money liabilities of that issuer in circulation.
See Hoy: [0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
Regarding claim 5;
The system of claim 1, wherein an issuer is a system participant specially credentialed to authorize issuance spends, by which new base money, constituting a direct liability of that issuer, is created.
See Hoy: [0048-0050], Figure 4
[0048] Next, at 208, a consumer initiates a consumer request to purchase goods and/or services from the merchant 106. In various examples, the consumer request may be entering information into a website, requesting goods over the telephone, or any other form of communication between the consumer 105 and the merchant 106. At 204, the user account 110 associated with the private currency 102 is subjected to a validation procedure to establish that the user account 110 is authorized by the providers of private currency 101. At 205, the merchant 106 further validates the user account 110 to ensure that a sufficient amount of private currency exists such that the merchant 106 is willing to proceed in transacting with the consumer 105 to exchange private currency 102 for goods and/or services. In some embodiments, the provider of private currency 101 verifies the validity of the consumer account instead of the network member merchant 106. Next, at 206, once both the merchant 106 and the consumer 105 authorize the transaction, the goods or services are transferred to the consumer 105 by the merchant 106. In various embodiments, when the provider of private currency 101 acts as an intermediary between the merchant 106 and the consumer 105, the value of the private currency 102 is exchanged by the provider of private currency to any alternate form of currency, and the merchant receives such alternate currency in exchange for the goods and/or services. The alternate form of currency may be any currency agreed upon between the merchant 106 and the provider of private currency 101. Alternatively, the alternate form of currency may be selectable by the merchant 106 for each particular transaction, or for a group of transactions. In other various embodiments, the merchant 106 may accept private currency 102 alone in exchange for the goods and/or services. In these embodiments, at 207, the merchant 106 then redeems with the provider of private currency 101 the private currency 102 it received from the consumer 105 in exchange for an alternate form of currency.
0049] FIG. 3 illustrates generally the options provided to a merchant 106 to set up transaction rules 300 that regulate transactions. The rules may be set up when the merchant 106 sets up a new account, when the merchant 106 authorizes a specific transaction with a consumer 105, when the merchant redeems private currency 102 in exchange for an alternate form of currency, or at any time when the merchant contacts the provider of private currency 101 to modify one or more rules. In one embodiment, the merchant 106 is provided the option to set up a rule that sets a minimum level of private currency necessary to access goods and/or services 301. In various embodiments, the merchant 106 is provided the option to set up a rule regulating all goods and/or services offered by the merchant, each particular good and/or service offered by the merchant 106, groups of goods and/or services offered by the merchant 106, or for specific transactions or specific consumers 105. In another embodiment, the merchant 106 is provided the option to set up a rule requiring that a consumer account be associated with institutional bank account 302. In various embodiments, this rule may require that a consumer's private currency account be associated with a recognized banking institution. In various embodiments, this rule may require that a consumer's private currency account be associated with a particular banking institution or group of banking institutions. The particular banking institutions may be specified by the merchant itself or by any external source. In another embodiment, the merchant 106 is provided the option to set up a rule requiring that a particular level of currency exists in a consumer's associated banking account 304. In various embodiments, the merchant 106 is provided the ability to regulate the requirement of a banking account or level of a banking account for specific goods and/or services, groupings of goods and/or services, or particular consumers. These requirements may also depend on the consumer credit rating of a particular consumer. In another embodiment, the merchant 106 is provided the option to set up a rule requiring that a consumer's private currency account be associated with a telecommunications account 303. In various embodiments, this rule may require that a consumer's private currency account be associated with a particular telecommunications account or group of telecommunications accounts. The particular telecommunications account or accounts may be specified by the merchant itself or by any external source.
0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
Regarding claim 6;
The system of claim 1, wherein a mint account is an account belonging to the issuer of base money of a particular alternative currency and representing a direct liability of that issuer, the balance of which, expressed as an absolute value, equals the aggregate balance of that base money in all other like-denominated accounts combined.
See Hoy: [0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
See also Figure 4
Regarding claim 7;
The system of claim 1, wherein a primary dealer is a system participant specially credentialed to: receive distribution spends where newly issued base money is introduced into circulation, and make redemption spends by where base money is retired from circulation to be de-issued.
See Hoy: [0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
See also Figure 4
Regarding claim 8;
The primary reference does not teach the claim.
Gould teaches
The system of claim 1, wherein the at least one commodity is gold.
See Gould: [0041] To illustrate, if the percentage of the accumulated legal tender that is expended in purchasing the valuable asset 140 is 50% and the currency issuer 100 has accumulated US$2000 for issuing LC$2000, then the currency issuer 100 expends US$1000 purchasing the valuable asset 140. If the valuable asset is a 1 oz. gold coin, then the currency issuer 100 can fix the amount of gold backing the particular LC$2000 issued for the accumulated US$2000 at 1 oz. The remaining US$1000 of the accumulated legal tender is then allocated or transferred to a reserve account.
It would have been obvious to one of ordinary skill in the art at the time of filing to have modified alternative currency as taught by the combined references to include having the alternative currency backed by gold as taught by Gould since the claimed invention is merely a combination of old elements and in the combination each element merely would have performed the same function as it did separately, one of ordinary skill in the art would have recognized that the results of the combination were predictable. Further financial motivation includes backing the alternative currency with gold makes the currency more stable.
Regarding claim 9;
The primary reference does not teach the claim.
Gould teaches
The system of claim 8, wherein an issuer is bound by an explicit declaration of liability requiring continuous backing by a 100% reserve of physical gold and denominated in a unit of account corresponding to the weight units conventionally used for specifying physical quantities of gold.
See Gould: [0041] To illustrate, if the percentage of the accumulated legal tender that is expended in purchasing the valuable asset 140 is 50% and the currency issuer 100 has accumulated US$2000 for issuing LC$2000, then the currency issuer 100 expends US$1000 purchasing the valuable asset 140. If the valuable asset is a 1 oz. gold coin, then the currency issuer 100 can fix the amount of gold backing the particular LC$2000 issued for the accumulated US$2000 at 1 oz. The remaining US$1000 of the accumulated legal tender is then allocated or transferred to a reserve account.
See also [0038-0042]
It would have been obvious to one of ordinary skill in the art at the time of filing to have modified alternative currency as taught by the combined references to include having the alternative currency backed by gold as taught by Gould since the claimed invention is merely a combination of old elements and in the combination each element merely would have performed the same function as it did separately, one of ordinary skill in the art would have recognized that the results of the combination were predictable. Further financial motivation includes backing the alternative currency with gold makes the currency more stable.
Regarding claim 10;
The system of claim 1, wherein base money of one or more secondary currencies are issued, distributed, circulated, redeemed, and de-issued in the system, wherein the base money of the one or more secondary currencies is backed at least in part by financial instruments and is anchored to at least one existing national currency.
See Hoy [0050] FIG. 4 illustrates generally the use of private currency 102 for a consumer 105. First, at 401, a consumer sets up a consumer account with the provider of private currency 101. At 402, as discussed above, the consumer 105 is issued an account number to identify the consumer's account. In various embodiments, the consumer 105 is provided an electronic representation of the account number. Next, at 403, the consumer purchases an amount of private currency. In various embodiments, the amount of private currency received by the consumer is proportional to a ratio with the particular national currency the consumer uses as determined by the provider of private currency 101. At 404, the consumer determines goods and/or services he or she desires to purchase that are offered by a member of the merchant network 107. At 405, a transaction between the consumer and network member merchant occurs, and the consumer receives goods and/or services in exchange for private currency held in the consumer's consumer account. At 406, the consumer is provided the option to redeem private currency on his/her account. In various embodiments, the consumer exchanges private currency for any alternate form of currency, such as a national currency. In various embodiments, the consumer may redeem private currency that exists on the consumer's account. In one example, the consumer may redeem unused private currency. In another example, the consumer may redeem private currency that was earned when participating in a good or service offered by a member of the merchant network.
Conclusion
Any inquiry concerning this communication or earlier communications from the examiner should be directed to MICHAEL J WARDEN whose telephone number is (571)272-9602. The examiner can normally be reached M-F; 9-6 CDT.
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/MICHAEL J. WARDEN/
Examiner
Art Unit 3694
/BENNETT M SIGMOND/Supervisory Patent Examiner, Art Unit 3694
