SYSTEMS AND METHODS FOR FACILITATING TRANSACTIONS USING A DIGITAL CURRENCY
Systems and methods for facilitating a transaction between a first entity and a second entity using a digital currency are described. In some aspects, a computing node participates in a private distributed ledger for a financial institution and stores one or more transaction blocks representing transactions in a digital currency. The digital currency is issued by the financial institution and is fixed with respect to a fiat currency. The computing node is configured to receive a transaction for transferring an amount of digital currency from a first entity to a second entity, generate a new transaction block representing the transaction, transmit the new transaction block to other computing nodes participating in the private distributed ledger, receive an indication of validity of the new transaction block, and insert the new transaction block into the private distributed ledger.
1 . A system for facilitating a transaction between a first entity and a second entity using a digital currency, comprising:
a computing node, wherein the computing node is included in a plurality of computing nodes participating in a distributed ledger for a financial institution and/or a clearing house, wherein the distributed ledger for the financial institution and/or the clearing house stores transaction information representing one or more transactions for a digital currency issued by the financial institution and/or the clearing house that is fixed with respect to a fiat currency, and wherein at least one computing node in the plurality of computing nodes is configured to:
store and maintain a copy of the distributed ledger;
receive a transaction for transferring an amount of the digital currency from a first entity to a second entity;
generate new transaction information representing the transaction for addition to the distributed ledger;
transmit the new transaction information to the plurality of computing nodes;
receive, from the plurality of computing nodes, an indication of validity of the new transaction information; and
based on the indication of validity, insert the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
2 . The system of claim 1 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating a new transaction block representing the transaction for addition to the distributed ledger; and
inserting the new transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
3 . The system of claim 1 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
retrieving an existing transaction block from the distributed ledger;
updating the existing transaction block to represent the transaction for addition to the distributed ledger; and
inserting the updated transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
4 . The system of claim 1 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating or updating a transaction block representing transactions for the first entity to include the transaction for addition to the distributed ledger; and
inserting the transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
5 . The system of claim 1 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating or updating a transaction block representing transactions for the second entity to include the transaction for addition to the distributed ledger; and
inserting the transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
6 . The system of claim 1 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating or updating a first transaction block representing transactions for the first entity to include the transaction for addition to the distributed ledger;
generating or updating a second transaction block representing transactions for the second entity to include the transaction for addition to the distributed ledger; and
inserting the first transaction block and/or the second transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
7 . The system of claim 1 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
retrieving a transaction block from the distributed ledger;
updating the transaction block to communally represent the transaction for addition to the distributed ledger, in addition to one or more other transactions; and
inserting the updated transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
8 . The system of claim 1 , wherein the new transaction information is inserted into a transaction block for the distributed ledger, wherein the at least one computing node in the plurality of computing nodes is further configured to:
truncate the transaction block after a time limit and/or a threshold number of transactions have been included in the transaction block.
9 . The system of claim 8 , wherein the at least one computing node in the plurality of computing nodes is further configured to:
determine the threshold number of transactions and/or the time limit prior to truncating the transaction block.
10 . The system of claim 8 , wherein the at least one computing node in the plurality of computing nodes is further configured to:
delete transaction information removed from the transaction block in storage.
11 . The system of claim 8 , wherein the at least one computing node in the plurality of computing nodes is further configured to:
store transaction information removed from the transaction block in storage.
12 . The system of claim 11 , wherein the at least one computing node in the plurality of computing nodes is further configured to:
delete, from the storage, transaction information removed from the transaction block based on a predetermine time, a threshold period of time, and/or a threshold size.
13 . A digital wallet for one or more digital currencies from one or more financial institutions and/or one or more clearing houses, comprising:
one or more pairs of public and private keys for a user holding one or more digital currencies from one or more financial institutions and/or one or more clearing houses, including a digital currency issued by a financial institution and/or a clearing house that is fixed with respect to a fiat currency, wherein:
a plurality of computing nodes participate in a distributed ledger for the financial institution and/or a clearing house,
the distributed ledger stores transaction information representing one or more transactions for the digital currency, and
at least one computing node in the plurality of computing nodes:
stores and maintains a copy of the distributed ledger,
receives a transaction for transferring an amount of the digital currency from a first entity to a second entity,
generates new transaction information representing the transaction for addition to the distributed ledger,
transmits the new transaction information to the plurality of computing nodes, receives, from the plurality of computing nodes, an indication of validity of the new transaction information, and
based on the indication of validity, inserts the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
14 . The digital wallet of claim 13 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating a new transaction block representing the transaction for addition to the distributed ledger; and
inserting the new transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
15 . The digital wallet of claim 13 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
retrieving an existing transaction block from the distributed ledger;
updating the existing transaction block to represent the transaction for addition to the distributed ledger; and
inserting the updated transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
16 . The digital wallet of claim 13 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating or updating a transaction block representing transactions for the first entity to include the transaction for addition to the distributed ledger; and
inserting the transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
17 . The digital wallet of claim 13 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating or updating a transaction block representing transactions for the second entity to include the transaction for addition to the distributed ledger; and
inserting the transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
18 . The digital wallet of claim 13 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
generating or updating a first transaction block representing transactions for the first entity to include the transaction for addition to the distributed ledger;
generating or updating a second transaction block representing transactions for the second entity to include the transaction for addition to the distributed ledger; and
inserting the first transaction block/or the second transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
19 . The digital wallet of claim 13 , wherein inserting the new transaction information into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity comprises:
retrieving a transaction block from the distributed ledger;
updating the transaction block to communally represent the transaction for addition to the distributed ledger, in addition to one or more other transactions; and
inserting the updated transaction block into the distributed ledger to complete the transaction for transferring the amount of the digital currency from the first entity to the second entity.
20 . The digital wallet of claim 13 , wherein the new transaction information is inserted into a transaction block for the distributed ledger, wherein the at least one computing node in the plurality of computing nodes further:
truncates the transaction block after a time limit and/or a threshold number of transactions have been included in the transaction block.
21 . The digital wallet of claim 20 , wherein the at least one computing node in the plurality of computing nodes further:
determines the threshold number of transactions and/or the time limit prior to truncating the transaction block.
22 . The digital wallet of claim 20 , wherein the at least one computing node in the plurality of computing nodes further:
deletes transaction information removed from the transaction block in storage.
23 . The digital wallet of claim 20 , wherein the at least one computing node in the plurality of computing nodes further:
stores transaction information removed from the transaction block in storage.
24 . The digital wallet of claim 23 , wherein the at least one computing node in the plurality of computing nodes further:
deletes, from the storage, transaction information removed from the transaction block based on a predetermine time, a threshold period of time, and/or a threshold size.