DETAILED ACTION
Notice of Pre-AIA or AIA Status
The present application, filed on or after March 16, 2013, is being examined under the first inventor to file provisions of the AIA .
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.
Step 1: The claims 1-10, are a method, and clams 11- 22 are a system. Thus, each independent claim, on its face, is directed to one of the statutory categories of 35 U.S.C. §101. However, the claims 1-22 are rejected under 35 U.S.C. 101 because the claimed invention is directed to an abstract idea without significantly more.
Step 2A-Prong 1: independent claims (1 and 11) recite a method for providing participation incentives to buyers in an e-commerce marketplace, comprising the following steps: providing a web-based marketplace wherein one or more sellers offer one or more products and/or services to one or more buyers who are members of the web-based marketplace, wherein each of the one or more members are allocated one or more virtual shares in exchange for payment of a pre-determined membership fee to become members of the web-based marketplace; providing each member with a virtual wallet, accessible to that member via a computing device; and
deducting in real-time from each sale made on the web-based marketplace by each of the one or more sellers a predetermined percentage of the monetary value of said sale, and transferring the deducted monetary value to a virtual exchange; distributing to each member in real-time a pro-rata portion of the total monetary value of the virtual exchange at the time of distribution, wherein the pro rata portion distributed to each member is a function of the number of virtual shares held by that member and the total number of virtual shares in existence at the time of distribution, and wherein the pro rata portion of the total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency; wherein each unit of the virtual currency has a predefined maximum monetary value and operates as at least one form of currency for purchasing the one or more products and/or services available via the web-based marketplace. Theses limitation fall within “Certain Method of Organizing Human Activity” for commercial or legal interaction (including agreements in the form of contracts; legal obligations; advertising, marketing or sales activities or behaviors; business relations) or mental process. Simply put, these limitation merely covers:
Fundamental Economic Concept: The claims cover "participation incentives," "membership fees," "virtual shares," and "transferring monetary value," which are financial transaction methods.
Intermediated Settlement: Similar to Alice Corp., this involves a "trusted third party" (the web-based marketplace) settling financial obligations between a seller and a buyer.
Mathematical Algorithms: The "pro-rata portion" calculations are mathematical formulas performed by a computer, which are generally ineligible without a specific improvement to computer functionality
Claims 1-22 merely provide additional abstract concepts and narrow the abstract idea of claims 1 and 11. Further, claims 1-22 are recited at such a high level that the claimed steps amount to no more than a mental process, such as concept performed in the human mind (including an observation, evaluation, judgment, opinion) because a human can select content that meets a specified criteria, acknowledge an agreement to promote content and authorize compensation.
Step 2A-Prong 2: The claims recites additional limitation of “a web-based marketplace” and “computing device” recited at a high-level of generality(i.e., as a generic computer component performing a generic computer function of processing data) . The description of "a web-based marketplace" and "computing device" does not transform the abstract business method into an eligible concept; rather, it uses a generic computer to perform a well-known economic activity, or mere instructions to implement an abstract idea on a computer or merely uses a computer as a tool to perform an abstract idea – see MPEP 2106.05(f).
Step 2B: As discussed with respect to Step 2A Prong Two, the additional element in the claim amounts to no more than mere instructions to apply the exception using a generic computer component. The same analysis applies here in 2B, i.e., mere instructions to apply an exception using a generic computer component cannot integrate a judicial exception into a practical application at Step 2A or provide an inventive concept in Step 2B. The claim is ineligible. Further, the additional limitation of :
Generic Components: The claim recites "a web-based marketplace," "virtual wallet," and "computing device." These are considered generic computer components and fail to constitute an inventive concept.
Real-time Transactions: "Deducting in real-time" is considered a standard computer function that does not improve the technology of the computer itself, but merely speeds up a business process.
The claims do not solve a technical problem (e.g., reducing memory usage, improving processing speed) but rather a commercial problem (how to provide incentives).
Claim Rejections - 35 USC § 103
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, 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 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.
Claim(s) 1-22 are rejected under 35 U.S.C. 103 as being unpatentable over KANG (US Pub., No., 2019/0095993 A1) in view of Ta (US Pub., No., 2020/0279249 A1)
With respect to claim 1, Kang teaches a computer-implemented method for providing participation incentives to buyers in an e-commerce marketplace(paragraphs [0009]-[0013], discloses provide system and a method of generating virtual money for realizing real-time .., allowing a user to acquire market-specific electronic money for use in the open marketplace through e-commerce in the open marketplace and convert the market-specific electronic money into virtual money that can be traded in marketplace ), comprising the following steps:
providing a web-based marketplace wherein one or more sellers offer one or more products and/or services to one or more buyers who are members of the web-based marketplace (paragraph [0082], dislcies purchase refers to a buyer who desired to purchase a Dilling Coin and a seller refers to a seller who desires to sell a Dilling coin….,), wherein each of the one or more members are allocated one or more virtual shares in exchange for payment of a pre-determined membership fee to become members of the web-based marketplace(Fig. 6, 151, discloses membership fee, Fig. 7, S110 discloses join a paid membership, paragraph [0105], discloses a paid merchant member who pays the monthly membership fee, and paragraphs [0130]-[0131], dislcies virtual money and history information on the purchase of product in open marketplace using the paid-Dilling);
providing each member with a virtual wallet, accessible to that member via a computing device(paragraph [0079], discloses the user use a user’s wallet for accumulating virtual money in his or her own user terminal ..); and
deducting in real-time from each sale made on the web-based marketplace by each of the one or more sellers a predetermined percentage of the monetary value of said sale, and transferring the deducted monetary value to a virtual exchange(paragraph [0157], discloses deducting the discounted amount (or the corresponding free-Dilling amount from the initial price, or alternative accumulation of r free Dilling to the purchase account, and paragraph [0173], discloses the second or final payment of the purchased product is made at the final price obtained by deducting the discounted amount); and
wherein each unit of the virtual currency has a predefined maximum monetary value and operates as at least one form of currency for purchasing the one or more products and/or services available via the web-based marketplace (paragraph [0076], discloses the user and both are accumulated in the user account for each user and used for purchasing goods or service through electronic commerce , paragraph [0077], discloses the free Dilling accumulated in the user account into the Dilling coin which is a kind of virtual money that can be treaded in the virtual money region ).
Kang teach the above elements including total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency(paragraph [0079], dislcies the user can use a user’s wallet for accumulating virtual money in his or her own user terminal and paragraph [0131], discloses user’s wallet interoperated with the user account of the purchaser and history information on the purchase on product in the open marketplace using Dilling Coin) . Kang failed to teach distributing to each member in real-time a pro-rata portion of the total monetary value of the virtual exchange at the time of distribution, wherein the pro rata portion distributed to each member is a function of the number of virtual shares held by that member and the total number of virtual shares in existence at the time of distribution, and wherein the pro rata portion of the total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency.
However, Ta teaches distributing to each member in real-time a pro-rata portion of the total monetary value of the virtual exchange at the time of distribution, wherein the pro rata portion distributed to each member is a function of the number of virtual shares held by that member and the total number of virtual shares in existence at the time of distribution, and wherein the pro rata portion of the total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency(paragraph [0073], discloses the equity may be classified as common shares, .., a holder of CLS tokens may be entitled to receive a quarterly pro-rata distribution of net profits.., cash flows may be paid out directly to the wallets in which CoinLinked Security Tokens (CLS) is being held). Therefore, it would have been obvious to the one ordinary skill in the art before the effective filing date of the claimed invention virtual money that can be traded in a virtual money transaction of Kang with a quarterly pro-rata distribution of net profit of Ta in order to creates an incentivized mechanism for social commerce, increasing reach and engagement on purchases across the board (see Ta, paragraph [0138]). .
With respect to claim 2, Kang in view of Ta teaches elements of claim 1, furthermore, Kang teaches the computer-implemented method wherein further each of the one or more buyers are allocated one or more of units of the virtual currency in exchange for payment of the pre-determined membership fee(Fig. 6, 151, discloses membership fee, Fig. 7, S110 discloses join a paid membership, paragraph [0105], discloses a paid merchant member who pays the monthly membership fee, and paragraphs [0130]-[0131], dislcies virtual money and history information on the purchase of product in open marketplace using the paid-Dilling), and wherein said one or more units of the virtual currency are allocated to that member-buyer's virtual wallet(paragraph [0079], discloses the user use a user’s wallet for accumulating virtual money in his or her own user terminal ..);.
With respect to claim 3, Kang in view of Ta teaches elements of claim 1, furthermore, Kang teaches the computer-implemented method wherein further each of the one or more sellers is enabled to incentivize sales of their respective goods and/or services through the allocation of one or more units of virtual currency to a member upon the sale the seller's goods and/or services to the member, and wherein the one or more units of the virtual currency are allocated to that member's virtual wallet in real-time upon consummation of the sale(paragraph [0010], discloses purchase of any kind of goods or services by generating .., paragraph [0012], discloses random additional discount and predetermined promotion or events allowing e-commerce user to engage in electronic money mining opportunities …and paragraph [0014], discloses generating virtual money by e-commerce in open market place and paragraph [0017], discloses according to the sales of the product during the predetermined period).
With respect to claim 4, Kang in view of Ta teaches elements of claim 1, furthermore, Kang teaches the computer-implemented method wherein further a predetermined percentage of the predetermined membership fee paid by each member in exchange for the allocated one or more virtual shares is deducted in real-time and transferred to the virtual exchange(paragraph [0105], discloses monthly membership fee, and paragraph [0108], discloses monthly membership fee…, free-Dilling mining process more smoothly with fee paid by the purchaser member ).
With respect to claim 5, Kang in view of Ta teaches elements of claim 1, furthermore, Kang teaches the computer-implemented method wherein further each member can purchase one or more additional virtual shares at a predetermined fee(paragraph [0108], discloses free Dilling based on random additional discounts, and offering free-Dilling to purchaser through promotion or event..).
With respect to claim 6, Kang in view of Ta teaches elements of claim 5, furthermore, Kang teaches the computer-implemented method wherein further the virtual exchange stores all allocated virtual shares(paragraph [0109], discloses purchasing a target product for random additional discount…).
With respect to claim 7, Kang in view of Ta teaches elements of claim 5, furthermore, Kang teaches the computer-implemented method wherein further the purchase of each additional virtual share is accompanied by the allocation to the purchasing member of a predetermined number of units of the virtual currency, and wherein further said units of virtual currency are stored in the purchasing member's virtual wallet(paragraph [0014], discloses using a purchaser terminal and provides electronic money to the purchaser terminal through the electronic money mining process during the e-commerce process and the virtual money convert .., convert the electric money in the purchaser terminal .., and paragraph [0079], discloses user’s wallet for accumulating virtual money in his or own user terminal.., the virtual money transaction for use in both the money conversion ).
With respect to claim 8, Kang in view of Ta teaches elements of claim 1, furthermore, Kang teaches the computer-implemented method wherein each member is incentivized to refer new members to the web-based marketplace by the allocation of a predetermined number of virtual shares and/or units of the virtual currency to the referring member(paragraph [0184], discloses the free-Dilling and provision of recommendation opportunities for acquiring the free-Dillings) , and wherein further said units of the virtual currency are stored in the purchasing member's virtual wallet paragraph [0079], discloses user’s wallet for accumulating virtual money in his or own user terminal.., the virtual money transaction for use in both the money conversion ).
With respect to claim9, Kang in view of Ta teaches elements of claim 8, furthermore, Kang teaches the computer-implemented method wherein further the virtual exchange stores all allocated virtual shares(paragraph [0076], discloses value paid-Dilling purchased by the user and both are accumulated in the user account of each user and used for purchase goods or service through electronic commerce).
With respect to claim 10, Kang in view of Ta teaches elements of claim 1, furthermore, Kang teaches the computer-implemented method wherein further there is provided a member portal where each member has access to a graphical interface depicting the units of the virtual currency in their virtual wallet(paragraph [0073], discloses open-marketplace-specific electronic money in the money conversion region R2 and can be treaded in the virtual money).
With respect to claim 11, Kang teaches a computer-implemented system for providing participation incentives to buyers in an e-commerce marketplace(paragraphs [0009]-[0013], discloses provide system and a method of generating virtual money for realizing real-time .., allowing a user to acquire market-specific electronic money for use in the open marketplace through e-commerce in the open marketplace and convert the market-specific electronic money into virtual money that can be traded in marketplace ), wherein one or more sellers offer one or more products and/or services to one or more buyers who are members of the web-based marketplace (paragraph [0082], dislcies purchase refers to a buyer who desired to purchase a Dilling Coin and a seller refers to a seller who desires to sell a Dilling coin….,), the system comprising:
at least one processor programmed or configured (paragraph [0097], discloses user terminal 400, storage unit 150 for storing a programing included various data and algorism necessary for operating the open market) to:
allocate one or more virtual shares in exchange for payment of a pre-determined membership fee to become members of the web-based marketplace(Fig. 6, 151, discloses membership fee, Fig. 7, S110 discloses join a paid membership, paragraph [0105], discloses a paid merchant member who pays the monthly membership fee, and paragraphs [0130]-[0131], dislcies virtual money and history information on the purchase of product in open marketplace using the paid-Dilling);
provide each member with a virtual wallet, accessible to that member via a computing device(paragraph [0079], discloses the user use a user’s wallet for accumulating virtual money in his or her own user terminal ..); and
deduct in real-time from each sale made on the web-based marketplace by each of the one or more sellers a predetermined percentage of the monetary value of said sale, and transferring the deducted monetary value to a virtual exchange(paragraph [0157], discloses deducting the discounted amount (or the corresponding free-Dilling amount from the initial price, or alternative accumulation of r free Dilling to the purchase account, and paragraph [0173], discloses the second or final payment of the purchased product is made at the final price obtained by deducting the discounted amount); and
wherein each unit of the virtual currency has a predefined maximum monetary value and operates as at least one form of currency for purchasing the one or more products and/or services available via the web-based marketplace (paragraph [0076], discloses the user and both are accumulated in the user account for each user and used for purchasing goods or service through electronic commerce , paragraph [0077], discloses the free Dilling accumulated in the user account into the Dilling coin which is a kind of virtual money that can be treaded in the virtual money region ).
Kang teach the above elements including total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency(paragraph [0079], dislcies the user can use a user’s wallet for accumulating virtual money in his or her own user terminal and paragraph [0131], discloses user’s wallet interoperated with the user account of the purchaser and history information on the purchase on product in the open marketplace using Dilling Coin) . Kang failed to teach (iv) distribute to each member in real-time a pro-rata portion of the total monetary value of the virtual exchange at the time of distribution, wherein the pro rata portion distributed to each member is a function of the number of virtual shares held by that member and the total number of virtual shares in existence at the time of distribution, and wherein the pro rata portion of the total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency.
However, Ta teaches (iv) distribute to each member in real-time a pro-rata portion of the total monetary value of the virtual exchange at the time of distribution, wherein the pro rata portion distributed to each member is a function of the number of virtual shares held by that member and the total number of virtual shares in existence at the time of distribution, and wherein the pro rata portion of the total monetary value distributed to each member is allocated to that member's virtual wallet as one or more units of virtual currency(paragraph [0073], discloses the equity may be classified as common shares, .., a holder of CLS tokens may be entitled to receive a quarterly pro-rata distribution of net profits.., cash flows may be paid out directly to the wallets in which Coin Linked Security Tokens (CLS) is being held). Therefore, it would have been obvious to the one ordinary skill in the art before the effective filing date of the claimed invention virtual money that can be traded in a virtual money transaction of Kang with a quarterly pro-rata distribution of net profit of Ta in order to creates an incentivized mechanism for social commerce, increasing reach and engagement on purchases across the board (see Ta, paragraph [0138]).
With respect to claim 12, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further each of the one or more buyers are allocated one or more of units of the virtual currency in exchange for payment of the pre-determined membership fee(Fig. 6, 151, discloses membership fee, Fig. 7, S110 discloses join a paid membership, paragraph [0105], discloses a paid merchant member who pays the monthly membership fee, and paragraphs [0130]-[0131], dislcies virtual money and history information on the purchase of product in open marketplace using the paid-Dilling), and wherein said one or more units of the virtual currency are allocated to that member-buyer's virtual wallet(paragraph [0079], discloses the user use a user’s wallet for accumulating virtual money in his or her own user terminal ..).
With respect to claim 13, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further each of the one or processor is programmed or configured to transfer one or more units of virtual currency to a member upon the sale the seller's goods and/or services to the member, and wherein the one or more units of the virtual currency are allocated to that member's virtual wallet in real-time upon consummation of the sale(paragraph [0010], discloses purchase of any kind of goods or services by generating .., paragraph [0012], discloses random additional discount and predetermined promotion or events allowing e-commerce user to engage in electronic money mining opportunities …and paragraph [0014], discloses generating virtual money by e-commerce in open market place and paragraph [0017], discloses according to the sales of the product during the predetermined period).
With respect to claim 14, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further the at least one processor is programmed or configured to deduct a predetermined percentage of the membership fee paid by each member in exchange for the allocated one or more virtual shares is deducted in real-time and transferred to the virtual exchange, wherein the predetermined percentage is deducted and transferred to the virtual exchange in real-time when the membership fee is paid(paragraph [0105], discloses monthly membership fee, and paragraph [0108], discloses monthly membership fee…, free-Dilling mining process more smoothly with fee paid by the purchaser member ).
With respect to claim 15, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein at least one processor is programmed or configured to allocate one or more additional virtual shares to a member of the we-based marketplace in exchange for the member’s payment of a predetermined fee(paragraph [0108], discloses free Dilling based on random additional discounts, and offering free-Dilling to purchaser ith fee paid by the purchaser member.).
With respect to claim 16, Kang in view of Ta teaches elements of claim 15, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured to store all allocated virtual shares in the virtual exchange(paragraph [0109], discloses purchasing a target product for random additional discount…).
With respect to claim 17, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured to allocate one or more additional virtual shares and a predetermined number of units of the virtual currency to a member of web based marketplace in exchange for that member’s payment of a predetermined fee per virtual share, and wherein further said units of virtual currency are stored in the purchasing member's virtual wallet(paragraph [0014], discloses using a purchaser terminal and provides electronic money to the purchaser terminal through the electronic money mining process during the e-commerce process and the virtual money convert .., convert the electric money in the purchaser terminal .., and paragraph [0079], discloses user’s wallet for accumulating virtual money in his or own user terminal.., the virtual money transaction for use in both the money conversion ).
With respect to claim 18 Kang in view of Ta teaches elements of claim 8, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured stores all allocated virtual shares exchange (paragraph [0076], discloses value paid-Dilling purchased by the user and both are accumulated in the user account of each user and used for purchase goods or service through electronic commerce).
With respect to claim 19, Kang in view of Ta teaches elements of claim 17, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured to allocate a predetermined number of virtual shares and/or units of the virtual currency to the referring member said units of the virtual currency are stored in the purchasing member's virtual wallet (paragraph [0184], discloses the free-Dilling and provision of recommendation opportunities for acquiring the free-Dillings) , and wherein further paragraph [0079], discloses user’s wallet for accumulating virtual money in his or own user terminal.., the virtual money transaction for use in both the money conversion ).
With respect to claim 20, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured to store all allocated virtual shares in the virtual exchange(paragraph [0066], discloses exchanging various virtual moneys including virtual money converted by the virtual money conversion server).
there is provided a member portal where each member has access to a graphical interface depicting the units of the virtual currency in their virtual wallet(paragraph [0073], discloses open-marketplace-specific electronic money in the money conversion region R2 and can be treaded in the virtual money).
With respect to claim 21, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured to provide for each member a member portal providing a graphical interface depicting the number and value of the units of the virtual currency in that member's virtual wallet(paragraph [0014], discloses using a purchaser terminal and provides electronic money to the purchaser terminal through the electronic money mining process during the e-commerce process and the virtual money convert .., convert the electric money in the purchaser terminal ..,and (paragraph [0073], discloses open-marketplace-specific electronic money in the money conversion region R2 and can be treaded in the virtual money).
With respect to claim 22, Kang in view of Ta teaches elements of claim 11, furthermore, Kang teaches the computer-implemented system wherein further at least one processor is programmed or configured to, wherein further the at least one processor is programmed or configured to store allocated virtual shares in the virtual exchange(paragraph [0121], discloses payment of the product and store the payment information and paragraph [0122], dislcies the payment management module transmit the pyment information for each processed …).
Prior arts:
KANG (US Pub., No., 2019/0095993 A1) discloses a system for generating virtual money by e-commerce in an open marketplace comprising: an open market operation server for providing an electronic money mining process to acquire the electronic money available in the open marketplace through e-commerce in the open marketplace; and a virtual money conversion server for converting the electronic money into a predetermined virtual money that can be
traded in a virtual money transaction server.
Ta (US Pub., No., 2020/0279249 A1) discloses a method of executing a transaction on a social commerce network associated with a cryptocurrency transaction system includes receiving, from a client device, a purchase request to purchase a good or service from a third-party retailer. The method further includes converting a cost of the good or service from a fiat currency provided by the third-party retailer to a cryptocurrency cost.
Conclusion
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/SABA DAGNEW/Primary Examiner, Art Unit 3621