Patent published on July 11, 2023

American Express Introduces Blockchain-Based Loyalty Point Partnership System

American Express, one of the most well-known and widely-used payment networks in the world, has recently introduced a revolutionary system that could potentially revolutionize the way loyalty points are distributed. The new system, based on blockchain technology, allows merchants to join a loyalty point partnership to reward customers who make multiple purchases.

The blockchain-based system is poised to be a major breakthrough in terms of loyalty point distribution. It has the potential to streamline the process of loyalty point distribution, making it more efficient and cost-effective for merchants and customers alike. The distributed database of the blockchain-based system will allow merchants to access customer data in real-time, allowing them to reward customers who make multiple purchases quickly and effectively.

American Express has been experimenting with blockchain technology for a few years now, and is now finally ready to roll out the new system. As part of the new system, merchants will be able to join a multi-merchant loyalty point partnership, thereby allowing customers to accumulate points from multiple merchants. For example, a customer could accumulate points from a grocery store, a pharmacy, and a department store.

The system works by allowing customers to collect points for each purchase they make. When the customer has completed the required number of purchases, they are rewarded with loyalty points. The loyalty points can then be redeemed for rewards such as discounts and free products. The loyalty points can also be used to purchase gift cards from participating merchants.

One of the major advantages of the system is that it is secure and reliable. As the blockchain technology is based on distributed ledger technology, all data is stored in an immutable, secure, and transparent manner. This ensures that all transactions are carried out in a secure and reliable manner, providing customers with peace of mind.

The system also allows merchants to customize their loyalty programs according to their own individual needs. This allows them to create unique loyalty programs that appeal to their customers. For example, a grocery store could offer loyalty points for every purchase made, while a department store could reward customers with loyalty points for every purchase over a certain amount.

American Express is confident that the new blockchain-based system will be a major success. The system has the potential to revolutionize the way loyalty points are distributed, providing customers with an efficient and cost-effective way to earn rewards. While it is still too early to tell whether the system will be successful, it certainly has the potential to revolutionize loyalty programs for merchants and customers alike.

It should be noted that this system is currently a patent pending with the US Patent and Trademark Office under patent number US11699166B2. As such, there is no guarantee that it will actually come to market. However, if it does, it could potentially revolutionize the way loyalty points are distributed, making it easier and more efficient for merchants and customers to take advantage of loyalty point partnerships.

American Express has always strived to provide customers with the best possible services, and the new blockchain-based loyalty point partnership system is no exception. The system has the potential to make loyalty points more accessible and easier to use for customers. It could also provide merchants with the ability to create more customized loyalty programs that appeal to their target customers.

The future of loyalty points is still uncertain, but American Express is paving the way for a more efficient and cost-effective way to reward customers. With the introduction of this new blockchain-based system, American Express is signaling to the world that it is ready to revolutionize the loyalty point industry. It remains to be seen whether the system will be adopted by merchants and customers, but if it is, it could be a major game-changer for the loyalty point industry.

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