Examples of How to Use the Bitbon System

(Description from patent No. PCT/UA2017/000050 “The Method of Management of Property Rights to Assets and the System for Its Implementation”)

The method of management of property rights to Assets has been successfully implemented in the Bitbon System[1], which includes a network of hardware-software complexes containing the Blockchain, data on nominal value, Bitbon System User[2] identifiers, data on transaction history, exact time module, transaction processing module, publication module:

Blockchain (contains data on the Accounts[3] of Bitbon System Users, as well as the Bitbon Public Contract, evaluation of nominal value of property rights to Assets).

Ledger object identifier generator (a separate device with the ability to interact with the exact time module using cryptographic algorithms for data processing).

Exact time module (provides synchronization with the network-wide time of the hardware-software complexes network, which differs from the global time due to the speed corrections of the signal propagation across the network segments between the hardware-software complexes).

Transaction processing module (processes a request to form a record on the transfer or redistribution of property rights to Assets in the Blockchain).

Validation module (allows verifying the correctness of the evaluation results of property rights to Assets, the Bitbon Public Contract, nominal value, Bitbon System User identifiers).

User terminal (a hardware-software complex used to create the Bitbon Public Contract, as well as an instruction to transfer property rights to Assets).

Publication module (a pool of hardware-software complexes combined with each other in the network for the purpose of publishing records in the Blockchain).

Let us consider concrete examples of the practical use of the Bitbon System described in patent PCT/UA2017/000050 “The Method of Management of Property Rights to Assets and the System for Its Implementation”.

Bitbon Evaluation and Issuing as Property Rights to Assets
Exemple 1

The owner of Assets (Bitbon System User) by means of the User terminal creates the Bitbon Public Contract, in which he/she defines the field of Bitbon application and regulates all procedures and operations that can be applied to Bitbon:

  • - issuing procedure,
  • - transfer rules,
  • - procedure for repurchasing Bitbons from their owners,
  • - Bitbon exchange procedure for part of Assets,
  • - reference to the procedure for evaluating the User’s Assets.

Next, the User sends the created Bitbon Public Contract to the ledger object identifier generator, which generates a Bitbon identifier and request for recording it in the Blockchain arriving at the validation module. If the validation fails, a notification is sent to the User that it is impossible to issue Bitbons. If the generated request is validated, it is transmitted to the publication module, which in its turn, based on the evaluation results forms the nominal value of issuable Bitbons and makes a record in the Blockchain. The record contains information on the Bitbon Public Contract, quantity and nominal value of issuable Bitbons and evaluation results.

Each hardware-software complex (hereinafter — HSC) of the Blockchain, which contains software that can be used to record operations with Bitbons, will send a request for execution to the nearest network device, the processor of which will form a record of the operation, save the record in memory and distribute it among other devices included in the HSC network.

Built-in security facilities will ensure uniqueness, reliability and integrity of the record on operations at all stages of formation and distribution. Thus, being saved in the memory of a device, the record cannot be deleted or modified.

In case of unavailability of one or several HSCs in the network, the structural interaction of the Bitbon System components allows all records to remain available, and the entire HSC network — to function in full. HSCs also become fully functional upon gaining access to the network.

Separately, each Bitbon System User can select any data block in the Blockchain online using specialized software or public interfaces based on Open Source software.

Materials of the article Bitbon System As a Separate Independent Asset largely explain the interaction principle of the Bitbon System components.

1 Bitbon System means an integral decentralized system based on the Blockchain technology, which is basically a platform for implementing Contributing under the terms and conditions of Bitbon Public Contracts of various projects and managing legal relations between the Bitbon System Users, the key component of which is Bitbon.

Bitbon System means an integral decentralized system based on the Blockchain technology, which is basically a platform for implementing Contributing under the terms and conditions of Bitbon Public Contracts of various projects and managing legal relations between the Bitbon System Users, the key component of which is Bitbon.

2 Bitbon System User means a Bitbon System Participant who uses Bitbons and/or Projectbons to conduct his/her activity in the Bitbon System.

Bitbon System User means a Bitbon System Participant who uses Bitbons and/or Projectbons to conduct his/her activity in the Bitbon System.

3 Account means a collection of user data necessary for his/her authentication and for providing access to his/her personal details, settings and the system functionality.

Account means a collection of user data necessary for his/her authentication and for providing access to his/her personal details, settings and the system functionality.

Additional information

In most cases our patents and trademarks are registered through WIPO (World Intellectual Property Organization). For more detailed information, please visit the website of the World Intellectual Property Organization (WIPO).

The inventions are patented through the international patent system РСТ (Patent Cooperation Treaty), which helps applicants to patent their inventions in many countries by means of the Patent Cooperation Treaty (PCT). Thus, by filing an international patent application under the PCT, an applicant can provide protection to his/her invention in 152 РСТ Contracting States.

PATENTSCOPE database.

In order to make the information maximum convenient, where it was possible, we placed links directly to the resources of the organizations of the countries in which the patent had been obtained. When patenting inventions under the PCT, in most cases, the information can be found on the World Intellectual Property Organization website.