WO2015035507A1 - System and method for trusted alternate currency negotiation and settlement - Google Patents

Abstract

A method and system for processing alternate currency transactions are provided. A first data structure is received; the first data structure being representative of an alternate currency object presented for redemption, and containing encoded information. The encoded information is decoded. Upon decoding, an identifier of the alternate currency object is obtained. The alternate currency object is authenticated by processing the identifier of the alternate currency object. Upon authenticating, a second data structure is constructed; the second data structure reflective of the authenticated alternate currency object. Providing the second data structure to at least one financial transaction system for clearance and settlement.

Description

SYSTEM AND METHOD FOR TRUSTED ALTERNATE CURRENCY

NEGOTIATION AND SETTLEMENT

FIELD OF INVENTION

[0001] The present invention relates to financial transaction processing systems, and more particularly, to systems for processing transactions involving alternate currencies.

BACKGROUND

[0002] Various transaction processing systems are known that utilize alternate currencies. Alternate currencies include for example: coupons, promotions, offer codes, rewards for another currency (usually regulated money or other forms of accepted currencies such as, e.g.,

Canadian Tire™ money) that result in a discount or other form of reward. Alternate currencies may be used in various digital retail applications and platforms such as for example GroupOn™.

[0003] Prior art solutions that use alternate currencies generally pose challenges for merchants and retailers alike.

[0004] Fraud in such solutions is a significant problem and has been reported to result in up to $ 750 million of losses in North America alone. In addition, programs involving alternate currencies are vulnerable to other illegal activity such as mail theft, illegal internet auctions, and counterfeiting, with incidents climbing at a rapid rate. This increase has, for example, led to eBay™ introducing a new stringent policy that limits the number and value of offers that can be listed.

[0005] Furthermore, prior art alternate currency solutions are generally subject to fragmented transaction handling, resulting in settlement challenges (decreases efficiency and increases overhead) and inability to apply audit controls (which exacerbates the impact of fraud and other illegal activities). Fragmented solutions are inherently more vulnerable to

circumvention that results in loss or risk problems. Furthermore, with fragmented systems there may be lack of accountability by any one entity for handling of coupons as an example. A cashier may misinterpret or misuse coupons. In a fragmented system there can also be lack of consistency that causes problems, such as inconsistency in how individual bookkeepers account for revenue associated with programs including alternate currency elements. Clearing houses may use coupons more than once to overcharge for processing. In such systems, issuers may not have control over internal misuse of coupons. Printers who print and distribute paper coupons can print as many as they wish (too few or too many). [0006] These various problems contribute to current alternate currency solutions resulting in loss and risk in regards to the handling and processing of alternate currencies. For example, use of prior art solutions may result in mis-redemption, mal-redemption, proliferation of coupon selling sites, social networking of fraudulent coupons, fraudsters creating fake coupons, coupon swapping sites, economic uncertainty causing more fraudulent attempts, internal company fraud, and so on.

[0007] A further implication of the current, fragmented approach of the prior art solutions is that detailed (and accurate) analysis, for example, of the success of campaigns so as to enable improved campaign design and customer targeting, is not possible. Campaign performance data is by nature incomplete or unsuitable for analytics processing to generate targeted offers based on consumer activities.

[0008] Further, current systems for reconciliation and settlement of transactions involving alternate currencies are relatively complicated. Consequently, in some cases, it may take as long as 40 days for current systems to process an alternate currency transaction.

[0009] Accordingly, there is need for a technology and solution that addresses one or more of the above-mentioned problems.

SUMMARY

[0010] In this respect, before explaining at least one embodiment of the invention in detail, it is to be understood that the invention is not limited in its application to the details of construction and to the arrangements of the components set forth in the following description or illustrated in the drawings. The invention is capable of other embodiments and of being practiced and carried out in various ways. Also, it is to be understood that the phraseology and terminology employed herein are for the purpose of description and should not be regarded as limiting.

[0011] In an aspect, there is provided a computer-implemented method of processing alternate currency transactions. The method includes: receiving at at least one processor, by way of a network, a first data structure representative of an alternate currency object presented for redemption, the data structure containing encoded information; decoding, at the at least one processor, the encoded information of the first data structure; upon the decoding, obtaining, at the at least one processor, an identifier of the alternate currency object; authenticating, at the at least one processor, the alternate currency object by processing the identifier of the alternate currency object; upon the authenticating, constructing, at the at least one processor, a second data structure reflective of the authenticated alternate currency object; and providing the second data structure to at least one financial transaction system for clearance and settlement.

[0012] In another aspect, there is provided a system for processing alternate currency transactions. The system includes: at least one processor; a network interface; memory storing instructions executable at the at least one processor to cause the system to: receive, by way of the network interface, a first data structure representative of an alternate currency object presented for redemption, the data structure containing encoded information; decode the encoded information of the first data structure; upon the decoding, obtain an identifier of the alternate currency object; authenticate the alternate currency object by processing the identifier of the alternate currency object; upon the authenticating, construct a second data structure reflective of the alternate currency object; and provide the second data structure to at least one financial transaction system for clearance and settlement.

BRIEF DESCRIPTION OF THE DRAWINGS

[0013] Embodiments of the invention will be further described, by way of example only, with reference to the annexed drawings wherein:

[0014] FIG. 1 is a diagram illustrating an alternate currency transaction processing infrastructure, exemplary of an embodiment;

[0015] FIG. 2 is a diagram illustrating a workflow of a representative prior art solution for settlement/negotiation of alternate currencies.

[0016] FIG. 3 is a diagram illustrating an exemplary workflow of the alternate currency transaction processing infrastructure of FIG 1 ;

[0017] FIG. 4 is a network diagram showing a communication network interconnecting an issuer system, a merchant system, a financial transaction processing system, and an alternate currency transaction processing system, exemplary of the infrastructure of FIG. 1 ;

[0018] FIG. 5 is a schematic diagram of the alternate currency transaction processing system of FIG. 4;

[0019] FIG. 6 is a schematic diagram of the infrastructure of FIG. 1 ;

[0020] FIG. 7 illustrates licensing of processing workflows, in accordance with an embodiment; [0021] FIG. 8 is a schematic diagram of a computing device forming the alternate currency transaction processing system of FIG. 4;

[0022] FIG. 9 and 10 illustrate exemplary workflows of the infrastructure of FIG. 1 ;

[0023] FIG. 11 is an exemplary screen depicting a graphical user interface for accessing analytics/reporting results provided by the alternate currency transaction processing system of FIG. 4; and

[0024] FIG. 12 is a flow chart illustrating exemplary blocks performed at the alternate currency transaction processing system of FIG. 4.

[0025] In the drawings, embodiments of the invention are illustrated by way of example. It is to be expressly understood that the description and drawings are only for the purpose of illustration and as an aid to understanding, and are not intended as a definition of the limits of the invention.

DETAILED DESCRIPTION

[0026] FIG. 1 illustrates an alternate currency transaction (ACT) processing infrastructure, in accordance with one aspect of the present invention, wherein: an alternate currency object (e.g., on an electronic device, coupon, or paper flyer) is scanned; an identifier of the alternate currency object is communicated via a communication network to a network-connected ACT processing service, which authenticates the alternate currency object; one or more network- connected financial transaction processing services then clear and settle one or more transactions related to the alternate currency object. Optionally, the transaction processing infrastructure supports cash management, reporting, auditing, tax analysis, data analysis and other ancillary services.

[0027] The aforementioned ACT processing infrastructure may be implemented according to embodiments of the systems and methods described herein. As will be detailed herein, these embodiments may provide advantages over prior art solutions. For example, FIG. 2 illustrates an exemplary workflow of a representative prior art solution, which includes the following steps:

(1) cashier reads information from an alternate currency such as a coupon;

(2) cashier optionally checks a product;

(3) cashier optionally counts the alternate currency;

(4) bookkeeper optionally counts the alternate currency; (5) bookkeeper optionally bundles the alternate currencies;

(6) bookkeeper records funds;

(7) bookkeeper ships funds to clearing house;

(8) clearing house processes;

(9) vendor/ manufacturer determines whether it will pay or decline;

(10) if the alternate currency issuer (e.g., the manufacturer or service provider) decides to pay, it pays.

[0028] The process steps from (1) to (10) above can in some cases take as long as 40 days.

[0029] In contrast, the ACT processing infrastructure described herein allows the workflow to be simplified. For example, FIG. 3 illustrates a workflow exemplary of embodiments of the present invention.

[0030] In the depicted workflow:

(1) A cashier (in transactions involving a cashier) scans an alternate currency bearing object (such as printed coupon or electronic coupon presented using a mobile device for example). When a scanner is not available, or the object is not scannable, the cashier may manually input coded information from the object. A request is made to the system of the present invention to authenticate the alternate currency object, and to verify, e.g., that the transaction complies with the terms and conditions imposed by the alternate currency issuer (e.g., the required item or service is being purchased in the transaction). If the alternate currency object is authenticated, and the terms and condition have been met, a message is received by the cashier's system and an associated discount or other incentive is provided automatically.

(2) The authentication of the alternate currency bearing object initiates clearing and settlement automatically, e.g., within 72 hours.

(3) The end-to-end transaction commencing with presentation of unique data related to the alternate currency bearing object is tracked in a persistent manner by the system. This supports reporting, auditing, data analysis and cash management. [0031] As depicted, parts of the prior art workflow of FIG. 2 may be automated such that they are no longer discretionary. Other parts of the prior art workflow may be avoided.

Consequently, aspects of ACT processing are improved.

[0032] FIG. 4 illustrates a communication network interconnecting an issuer system (4), a merchant system (6), a financial transaction processing system (8), and an ACT processing system (10), exemplary of the present ACT processing infrastructure, in accordance with an embodiment.

[0033] Issuer system (4) may be administrated and operated by an alternate currency issuer (e.g., a merchant), and communicates with ACT processing system (10) to issue alternate currency objects and define funding sources (e.g., a bank account) for payment of

rewards/value associated with the objects and payment of any processing fees. In particular, issuer system (4) and ACT processing system (10) cooperate to allow alternate currency issuers to create/manage alternate currency objects as well as campaigns and workflows related to those alternate currency objects, in manners detailed herein.

[0034] Merchant system (6) may be administrated and operated by a merchant, and receives alternate currency objects (e.g., coupons) from customers. So, merchant system (6) may include or be integrated with a merchant's point-of-sale system. As detailed herein, merchant system (6) includes devices allowing alternate currency objects presented by a customer for redemption to be scanned, e.g., at point-of-sale. Merchant system (6)

communicates an identifier of such alternate currency objects to ACT processing system (10) for authentication.

[0035] Financial transaction processing system (8) may be administrated and operated by a financial transaction processor (e.g., a bank) to clear and settle transactions related to the alternate currency objects, once they have been authenticated by ACT processing system (10).

[0036] ACT processing system (10), as will be further described herein, facilitates creation, distribution, management, and authentication of alternate currency objects. In particular, ACT processing system (10) communicates with issuer system (4) to facilitate creation of new alternate currency objects. ACT processing system (10) also communicates with merchant system (6) to receive data relating to alternate currency objects that have been presented for redemption. Upon authenticating such alternate currency objects, ACT processing system (10) communicates with one or more financial transaction processing systems (8) to clear and settle transactions related to the authenticated alternate currency objects. [0037] For simplicity of illustration, FIG. 4 depicts one issuer system (4), one merchant system (6), and one financial transaction processing system (8). However, in the ACT infrastructure described herein, there may be any number of ACT issuers, merchants and financial transaction processors. Correspondingly, there may be any number of issuer systems (4), merchant systems (6), and financial transaction processing systems (8), some or all of which may be interconnected by network (2).

[0038] Although financial transaction processing systems (8) and ACT processing system (10) are shown in FIG. 4 as separate systems, in some embodiments, they may be integrated. For example, one or more financial transaction processing systems (8) may be a component of ACT processing system (10), or vice versa.

[0039] Network (2) may be any network capable of carrying data including the Internet, Ethernet, plain old telephone service (POTS) line, public switch telephone network (PSTN), integrated services digital network (ISDN), digital subscriber line (DSL), coaxial cable, fiber optics, satellite, mobile, wireless (e.g. Wi-Fi, WiMAX), SS7 signaling network, fixed line, local area network, wide area network, and others, including any combination of these.

[0040] FIG. 4 illustrates an exemplary system architecture for ACT processing system (10), in accordance with an embodiment.

[0041] As shown in FIG. 4, ACT processing system (10) may be implemented as an interrelated set of data/technology infrastructures that collectively implement the workflows described herein, and furthermore that utilize certain unique and innovative tools and features described in this disclosure.

[0042] One of the reasons that prior art alternate currency solutions have been fragmented, as described above, has been that prior art solutions failed to integrate the disparate financial infrastructures (including payment systems and coupon processing systems for example). One contribution of the present invention is a system design, set of tools, and overall workflow that provide an alternate currency reconciliation and settlement computer implemented service that integrates with existing financial transaction processing systems.

[0043] In one aspect, as further explained, system (10) includes a transaction exchange (12), also referred to as the ACT transaction exchange. The ACT transaction exchange provides reconciliation and settlement service as between for example manufacturers, service providers, and retailers, using participating financial institutions and coupon processors. The ACT transaction exchange may communicate and cooperate with such financial institutions and coupon processors through financial transaction processing systems (8).

[0044] In another aspect, ACT processing system (10) provides for a transaction processing "ecosystem", namely, a multi-stakeholder transaction processing ecosystem that includes novel components that interoperate with existing third party systems of stakeholders.

[0045] A key aspect of the transaction exchange (12) is that it provides end-to-end transaction flow management for alternate currencies, based on the specific workflow and system design features described herein. The system and workflow is designed to leverage highly scalable, proven systems that are already deployed to include extensive security, including through different layers of proven protection.

[0046] In one aspect of the invention, an issuer platform (14) is provided. The issuer platform (14) may be accessed by authorized users to issue alternate currency objects (18), that upon issuance by the issuer platform (14) are recognized by the system. Such authorized users may access issuer platform (14) by way of one or more issuer systems (4) (FIG. 4).

[0047] In one possible implementation, each alternate currency object (18) in accordance with the present invention is a unique, serializable data set which may be encoded in a manner that allows the easy retrieval of associated information.

[0048] This data set may include an identifier that allows the object to be identified. The identifier may be a globally unique identifier. The identifier may, for example, be a numeric identifier, an alphanumeric identifier, or the like. The identifier may be generated randomly for each alternate currency object (18). In one specific embodiment, this identifier may comply with GS1 standards. Identifiers may be generated for or allocated to alternate currency objects (18) such that alternate currency objects ( 8) are not issued with identifiers in any predictable order (e.g., numeric order, alphabetic order, or any combination).

[0049] An alternate currency object (18) may also include, in an encoded encrypted form, data ("encoded data") (19) associated with a unique alternate currency related right such as the right to a discount represented by a coupon. This information cannot be retrieved or modified by a user for example.

[0050] Issuer platform (14) may generate a representation of an alternate currency object (18) in a displayable or printable form. This representation may include symbols, text, or any combination thereof. This representation may encode or otherwise include the identifier for an alternate currency object (18), the offered discount or value to be provided when the alternate currency object (18) is redeemed, and any other information associated with the alternate currency object (18) (e.g., the product/service associated with an offered discount).

[0051] For example, issuer platform (14) may generate a representation in the form of a GS1 DataBar or a similar type of barcode that is scannable by a merchant at a point of sale. Similarly, issuer platform (14) may generate a representation of an alternate currency object (18) in the form of another code or symbology or another form having scannable visual content (e.g., a QR code). The representation could, for example, be a coupon code, discount code, or other type of promotional code. The representation may be processed (e.g., decoded) to obtain an identifier associated with alternate currency object (18), and to obtain any encoded data (19).

[0052] In cases where the alternate currency objects (18) do not need to be scanned (e.g., when they are transferred from customer devices by way of RF signals or over the Internet), generating a displayable or printable form may be omitted.

[0053] In some cases, the displayable or printable form may be generated by an application executing at a customer's device rather than by issuer platform (14). For example, the customer's device may store an alternate currency objects (18) and generate a displayable form of that object at the time of redemption.

[0054] Issuer platform (14) may store a record of each alternate currency object (18) that has been issued. Such records may be stored in a catalogue or database, e.g., in data store (32). The records may be stored in a secure manner, protected using conventional encryption techniques, firewalls, multi-level security protocols and processes, or combinations thereof. Such records of the alternate currency objects (18) may be retrieved later for processing the alternate currency object (18), in manners described below.

[0055] Once encoded, an alternate currency object (18) may be distributed electronically or physically over predefined distribution channels. Such distribution channels may include, for example, paper-based or electronically-activated marketing tools such as: newspapers, magazines, banking statements, credit card statements, banking portals, banking portals, retailer portals, retailer apps, electronic couponing platforms or applications, sensor-based coupon transmission networks, etc. Channels include business-to-business (B2B) links, business-to-customer (B2C) links, or combinations thereof, depending on the alternate currency type.

[0056] For physical distribution, an alternate currency object (18) may be provided to a printing service. The alternate currency object (18) may, for example, be printed on paper coupons bearing the alternate currency object (18) in encoded form (e.g., as a GS1 DataBar or other type of code or symbology).

[0057] In an embodiment, issuer platform (14) provides an administrative interface in the form of a web portal that allows authorized users (representing an alternate currency issuer) to configure the parameters of the alternate currency objects (18) to be issued, and the processing workflow for those alternate currency objects. Alternate currency objects (18) may be issued in batches, wherein objects in a batch may have one or more shared parameters.

[0058] The configurable parameters may include the offered discount or value to be provided when the alternate currency object (18) is redeemed. The configurable parameters may also include parameters associated with a chance-based promotion.

[0059] The configurable parameters may also include the desired distribution channels, which may be selected from amongst the distribution channels noted above.

[0060] The configurable parameters may also include a selection of the desired access channels, devices, and techniques for redemption of the alternate currency objects (18), e.g., as shown in the system diagram of FIG. 6.

[0061] For example, possible access channels (602) may include point-of-sale, Internet, other telecommunications networks, banking systems, or the like; the desired access devices (604) may include computer, mobile devices, telephone communication systems, card, other, etc., and possible access techniques may include contact-based, proximity-based, contactless, and remote techniques.

[0062] In an embodiment, the administrative interface of issuer platform (14) may allow users to create a campaign (e.g., a marketing campaign) using alternate currency objects (18). In this case, the user may define configurable parameters associated with the campaign. The configurable parameters may include a budget for payment of the rewards associated with the alternate currency objects (18) and any processing fees.

[0063] The configurable parameters may also define a class of customers to target for distribution of the alternate currency objects (18), such as customers within a certain

demographic (e.g., identified by their credit card Bank Identification Numbers), or within a certain geographic region. In this way, the offers or discount associated with the alternate currency objects (18) may target specific classes of customers, or even specific customers. The configurable parameters may also include campaign objectives, e.g., redemption rates, distribution rates, etc. [0064] In an embodiment, issuer platform (14) may include an offer/discount generator that suggests offers/discounts for specific products/services or for specific merchants.

Offers/discounts may be based on campaign objectives of the issuer, or characteristics of the issuer.

[0065] As a consequence, customers receive targeted offers/discounts, from a trusted source, through a centralized distribution system.

[0066] Campaigns may be scheduled, such that alternate currency objects (18) are distributed or activated according to a pre-defined schedule. Alternate currency objects (18) may, for example, be distributed or activated in batches.

[0067] Through the administrative interface of issuer platform (14), the authorized user may define an alternate currency transaction payment and settlement (ACTP&S) account (606) for settlement of ACTs and payment of processing fees. Also through this interface, the user may electronically agree to transfer funds to cover the value of the ACTs from the issuer's ACTP&S account to the electronic account of a payee (e.g., a merchant or other person), e.g., payee account (608).

[0068] The administrative interface of issuer platform (14) also provides a merchant portal that allows merchants (or other persons) to register and create payee accounts (608). Each merchant may accept any conditions for payment imposed by particular alternate currency issuers. For example, the merchant may agree to provide transaction data for processing alternate currency objects (18). The merchant then obtains a payee license that allows ACT processing system (10) to initiate settlement between an issuer's ACTP&S account (606) and a payee account (608).

[0069] When transactions are settled, funds are transferred from an ACTP&S account (606) to a payee account (608), and processing fees may be deducted from the ACTP&S account (606). The transfer of funds between accounts may be based on the conditions set out for the particular alternate currency object (18), and any related regulatory considerations. As noted, settlement of accounts may be performed at financial transaction processing system (8), at the request of ACT processing system (10).

[0070] In an embodiment, the administrative interface of issuer platform (14) may allow authorized users to select parameters for alternate currency objects (18) and associated processing workflows according to pre-defined templates. [0071] Issuers may license specific workflows for particular alternate currency objects (18), particular batches of alternate currency objects (18), or particular campaigns, as shown in FIG.

7.

[0072] In an embodiment, issuer platform (14) includes a user authentication component that validates the credentials of users to ensure that they are authorized to issue alternate currency objects. Authorization may be multi-level such that varying levels of permissions for issuing alternate currency objects (18) may be granted to individuals according to their level of responsibility or authority within an issuer organization. For example, certain individuals may be allowed only to issue alternate currency objects (18) having a value below a pre-defined threshold, or to create campaigns having a budget below a pre-defined threshold. Issuer platform (14) also accesses the issuer's license arrangement to confirm that specific steps of an ACT processing workflow have been licensed.

[0073] The system is designed such that settlement of the alternate currency requires authentication by the system. In effect, the alternate currency (18) object is truncated at the point of redemption thereby limiting the opportunity for fraudulent use and also limiting the vendor exposure to higher than predicted redemption rates.

[0074] Referring once more to FIG. 5, the system may include an authentication service (20) which may be implemented in a number of ways to ensure that only alternate currency objects (18) including valid encoded data, issued by the issuer platform (14) are authenticated. In one implementation, the issuer platform (14) and the authentication service (20) are operated by a trusted entity, that has established relationships for example with one or more other banks. The retailer in turn may have an established relationship with one or more of the banks. The issuer platform (14) and authentication service (20) are linked so as to ensure that redemption requires presentation of a valid alternate currency object (18), and furthermore that an alternate currency object (18) may only be redeemed a limited number of times (e.g., once).

[0075] Authentication service (20) of system (10) receives requests to authenticate alternate currency objects (18) from one or more merchant systems (6) (FIG. 4) over any of the access channels described herein. Requests to authorize alternate currency objects (18) may accompanied by data describing the associated transaction, such as a transaction ID, a time/date stamp for the transaction, any products (e.g., identified by a Universal Product Code) or services being purchased, the particular merchant (e.g., identified by the merchant's Global Location Number), the particular cashier/checkout processing the transaction, the identity of the customer, etc. Such data may be processed along with the alternate currency objects (18), as detailed below. Such data may also be stored at system (10) for later analysis (e.g., for auditing or analytics purposes).

[0076] In response to a request to authenticate an alternate currency object (18), authentication service (20) decodes the encoded data (19) of alternate currency object (18) to obtain the unique identifier for that object. Authentication service (20) then searches within the records of the object catalog/database to confirm that a record exists for the object (18) to be authenticated. If a record exists, then the alternate currency object (18) may be authenticated. Authentication service (20) may check transaction logs maintained by logger (22) to ensure that the particular alternate currency object (18) has not previously been used, or has not been used more than a pre-defined number of times. Following authentication (or currently therewith), the alternate current object (18) is processed to ensure that rules (e.g., corresponding to any terms or conditions imposed by the issuer) have been complied with, as detailed below.

[0077] The authentication service (20) may include various authentication, encryption, decryption services. For example, in an embodiment, authentication service (20) may apply asymmetric (public-key) cryptography to authenticate alternate currency object (18). In such embodiments, authentication service (20) may store decryption/encryption keys associated with the alternate currency objects (18).

[0078] Once the encoded data (19) is authenticated, the associated alternate currency object (18), represented by the encoded data (19) is recognized in the system as an "active transaction" and logged by a logger (22), and thereafter is trackable across the various reconciliation/settlement workflow steps, as well as for ancillary services such as auditing, analysis, program optimization and so on.

[0079] In another aspect of the invention, the transaction exchange (12) may be

implemented by a transaction server (26) which includes a rules repository (28) and alternate currency batch manager (30). The batch manager (30) may act as a repository for defining a series of alternate currency objects (18) that have shared attributes. For example a batch of alternate currency objects (18) may have such attributes as one or more particular participating vendors, one or more participating bank or card companies, one or more associated marketing programs. The rules repository (28) includes a series of rules for processing alternate currencies in the system.

[0080] In one possible implementation, the transaction server (26): analyzes the encoded data; determines which batch the encoded data belongs to; retrieves from the rules repository (28) a set of applicable processing rules; and links to the encoded data a set of processing rules. The encoded data and associated processing rules may be encapsulated in a data structure ("alternate currency envelope") (30) that conforms with the requirements of the participating financial transaction processing systems (8). Thereafter, the alternate currency envelope (30) is transferred to those financial transaction processing systems (8) and processed (including settlement and negotiation) in accordance with its associated processing rules in a persistent manner. Furthermore, based on the alternate currency envelope (30) and the related system parameters and workflow, the transaction linked to the alternate currency is trackable in the system. The alternate currency envelope (30) may be logged by logger (22) to a data store.

[0081] In one possible implementation, the rules repository (28) includes a plurality of transaction tables. The transaction tables may include for example rules for calculating and authorizing alternate currency value in an operating currency value accepted by a redeeming merchant/service providers and an e-merchant/e-service provider, based on terms and conditions established in advance.

[0082] So, rules repository (28) may store rules for relating to the terms and conditions imposed by any one of the alternate currency issuer and the manufacturer/service provider. For example, there may be rules associated with purchase requirements (e.g., specific product, minimum purchase amount, etc.) for redemption of an alternate currency object (18), or rules associated with effective/expiry dates for an alternate currency object (18), geographic limitations, etc. The rules may also be used, for example, to ensure that the alternate currency object (18) is used only by a particular customer, or only at a particular store.

[0083] Transaction server (26) may identify applicable rules for each alternate currency object (18), and then process the applicable rules through a rules engine to ensure that the redemption complies with those rules. If any rules have not been complied with, transaction server (26) may decline to provide the value associated with an alternate currency object (18).

[0084] Transaction server (26) also determines whether the merchant requesting processing of the alternate currency object (18) is a registered payee of the issuer of the alternate currency object (18). In particular, transaction server (26) confirms that the merchant has completed payee registration, that a payee account (608) has been configured for the issuer (FIG. 6), and that the merchant has obtained a payee license for the particular issuer, as detailed above. If the merchant is not a licensed payee of the particular issuer of the alternate currency object (18), then processing may be terminated. [0085] In some embodiments, transaction server (26) may process the alternate currency object (18) even when the merchant is not a registered payee. In such situations, processing of the alternate currency object (18) may proceed in the manner described herein, however, clearance and settlement are not automatically initiated. Rather, transaction server (26) maintains a record of the transaction data noted above (e.g., transaction ID) and the alternate currency object data, which may be presented to the issuer as proof, for example, that the associated product/service has been purchased and that associated terms and conditions have been met. However, in such situations, the merchant bears the risk that the issuer may refuse to pay.

[0086] In one possible implementation, ACT processing system (10) may also include a logger (22) that generates records associated with alternate currency objects (18) being redeemed and associated transaction activity. For example, the logger (22) may generate records storing the unique identifier of any alternate currency objects (18) received by system (10) for redemption, including whether or not the object (18) was authenticated. Any fraudulent activity or non-compliance with pre-defined rules may be stored and flagged for administrative attention and action. Logger (22) may also include in the records, the associated data reflective of transaction activity in order to enable generation of statements, including to reconcile operating currency with redemptions and associated fees, to perform audits in manners detailed herein, or to perform analytics in manners detailed herein.

[0087] The authentication service (20) and the logger (22) may be linked to ensure that a unique identifier is used only once, after which it is deleted from an associated store. Thereafter, the same encoded data (19) will not be accepted.

[0088] In one aspect, the data structure of the alternate currency envelope (30) may have a standardized format. This format may be dictates for example by exchange, clearing, settling, deposit and/or securitization rules applicable as between a particular group of participating entities.

[0089] In one possible implementation, the alternate currency envelope (30) does not contain information that can be associated with the identity associated with the individual for whom the alternate currency is being processed. However, the system may include a profile manager (31), and profile may be automatically created for each individual associated with the alternate currency, and certain information pertaining to that individual may be collected or accessed. A set of general features that do not identify the individual but assist in extracting greater insights regarding the transactions processed for that individual may be stored in the data store (32) mentioned strengthen data mining opportunities. Examples include age group, income bracket, product preferences, redemption behavior patterns and so on.

[0090] The particular data structure of the alternate currency envelope (30) may vary depending on parameters associated with the particular participating financial transaction processing systems.

[0091] One or both of data store (32) and/or rules repository (26) may be implemented as a conventional relational database such as a MySQL™, Microsoft™ SQL, Oracle™ database, or the like. Data store (32) and/or rules repository (26) may also be another type of database such as, for example, an objected-oriented database or a NoSQL database. As such, ACT processing system (10) may include a conventional database engine for accessing database (32) and rules repository (26), e.g., using queries formulated using a conventional query language such as SQL, OQL, or the like.

[0092] In an embodiment, ACT processing system (10) may include a conventional HTTP server application (e.g., Apache HTTP Server, Nginx, Microsoft IIS, or the like) adapting platform (8) to present dashboards, portals, and other interfaces in the form of web pages to web-enabled computing devices, e.g., at issuer system (14). For example, the administrative interface of issuer platform (14) may be presented by way of the HTTP server application. Similarly, interfaces allowing users to view results of analytics, or to view reports of campaign performance may be presented by way of the HTTP server application.

[0093] Other implementations are possible. For example, the alternate currency object (18) may be authenticated to a point-of-sale system, for example that is trusted by a participating bank. Also, a number of the components or utilities described can be implemented in a number of different ways to reflect for example the different relationships that may be established between stakeholders.

[0094] In an embodiment, ACT processing system (10) may be implemented by one or more computing devices (100), as illustrated in FIG. 8.

[0095] As shown, the computing device (100) may include at least one central processing unit ("CPU") (102) connected to a storage unit (104) and to memory (106).

[0096] CPU (102) may be any type of processor, such as, for example, any type of general- purpose microprocessor or microcontroller (e.g., an Intel™ x86, PowerPC™, ARM™ processor, or the like), a digital signal processing (DSP) processor, an integrated circuit, or any

combination thereof. [0097] Storage unit (104) may include one or more storage devices such as a hard disk, solid-state disk, or the like. Storage unit (104) may also be partly or wholly cloud-based, accessible via a network such as network (18). Storage unit (104) may host one or both of data store (32) and/or rules repository (26).

[0098] Memory (106) may include a suitable combination of any type of computer memory that is located either internally or externally such as, for example, random-access memory (RAM), read-only memory (ROM), compact disc read-only memory (CDROM), electro-optical memory, magneto-optical memory, erasable programmable read-only memory (EPROM), and electrically-erasable programmable read-only memory (EEPROM), or the like.

[0099] The CPU (102) may process an operating system (101), applications (103), and data (123). Data (123) may include data corresponding to the one or more webpages (24). The operating system (101), applications (103), and data (123) may be stored in storage unit (104) and loaded into memory (106), as may be required. Operating software (101) may, for example, be a Microsoft Windows™, Unix™, Linux™, OSX™ operating system or the like.

[00100] Applications (103) and data (123), when processed at CPU (102), provide the functionality of system (10), including, e.g., transaction exchange (12), authentication service (20), transaction server (26), analytics utility (34), issuer platform (14), management utility (35), and so on. Application (103) and any components thereof may each be implemented in a high level procedural or object oriented programming or scripting language, or both. However, alternatively, applications (103) and any components thereof may each be implemented in assembly or machine language, if desired. The language may be a compiled or interpreted language.

[00101] The computing device (100) may further include a graphics processing unit (GPU) 122 which is operatively connected to CPU (102) and to memory (106) to offload intensive image processing calculations from CPU (102) and run these calculations in parallel with CPU (102).

[00102] An operator (107) may interact with the computing device (100) using a video display (108) connected by a video interface (105), and various input/output devices such as a keyboard (110), mouse (112), and disk drive (114) connected by an I/O interface (109). In known manners, mouse (112) may be configured to control movement of a cursor in video display (108), and to operate various graphical user interface (GUI) controls appearing in the video display (108) with a mouse button. Disk drive (114) may be configured to accept computer readable media (116).

[00103] The computing device (100) may connect to one or more networks such as network (3) via network interface (111). Network interface (111) allows the computing device (100) to communicate by way of wired or wireless communications with other computing devices by way of network (2) (FIG. 4).

[00104] The computing device (100) may be embodied in various form factors including one or more desktop and laptop computers, and wireless mobile computer devices such as tablets, smart phones and super phones. It will be appreciated that the present description does not limit the size or form factor of the computing device on which the present system and method may be embodied.

[00105] The user-facing services provided at computing device (100), e.g., analytics utility (34), issuer platform (14), management utility (35), and so on may be accessed by conventional end-user computing device, e.g., at issuer system (4). Each end-user computing device may include a processor, network interface, display, and memory, allowing the device to execute a conventional browser such as Microsoft Internet Explorer, Mozilla Firefox, Google Chrome, Apple Safari, or the like. Each end-user device may be a desktop computer, a laptop computer, a netbook computer, a tablet computer, a personal digital assistance, a smart phone, or the like.

[00106] In some embodiments, computing devices (100) may have a different architecture or configuration, including a distributed server architecture, a server farm, or a cloud based computing environment.

[00107] Each of issuer system (4), merchant system (6), and financial transaction processing system (8), as depicted in FIG. 4, may also be implemented as one or more computing devices substantially similar to computing devices (100).

[00108] Aspects of the alternate currency transaction (ACT) processing infrastructure and its operation may be further described with reference to FIG. 9 and FIG. 10.

[00109] As shown, at (902), an issuer may access issuer platform (14) of system (10) to issue one or more alternate currency objects (18). At (904), the issued alternate currency objects (18) may be distributed to customers in a variety of forms (both electronic and physical) by way of a variety of distribution channels. [00110] So, customers may carry physical coupons bearing the encoded alternate currency objects (18) (e.g., as a GS1 DataBar or other type of code or symbology). Customers may also carry alternate currency objects (18) in electronic form, e.g., in a digital wallet as provided, for example, by Mobeam™

[00111] At (906), an alternate currency object (18) is presented by a customer to a merchant for redemption (also FIG. 10, step 1). The merchant may operate a merchant system (6) that includes a point-of-sale system with a scanner (24) (FIG. 5). The scanner may be operated to scan a code (e.g., GS1 DataBar or other type of code or symbology) on the alternate currency object (18). As noted, this code includes an identifier that allows the alternate currency object (18) to be identified.

[00112] Scanner (24) may be an optical scanner. In some embodiments, scanner (24) may include an RF transceiver configured to receive alternate currency data from an electronic device carried by the consumer such as a mobile phone by RF communication (e.g., RFID, Bluetooth™, or the like).

[00113] Other data acquisition mechanisms may also be used: for example, manually entering a code or identifier associated with the alternate currency object (18) for example to a point of sale terminal of the cashier.

[00114] Various other distribution mechanisms are possible, and as well as other methods of acquiring information for the particular alternate currency object (18) and communicating this information to the system for processing. For example, customers may present alternate currency object (18) for authentication by way of an e-commerce website, while bypassing any merchant scanner, as shown in FIG. 10 (step 2).

[00115] At (908), data scanned from the alternate currency object (18) is formed into a data structure and sent to ACT processing system (10) for authentication and processing of any conditions/terms attached to the alternate currency object (18). The transaction may be approved or declined based on authentication and compliance with conditions/terms (FIG. 10; step 2A).

[00116] At the same time, system (10) may determine the results of any chance-based promotions attached to the alternate currency object (18). Conveniently, calculating the results of any chance-based promotions at system (10) avoids possible fraud at the merchant site. The results (e.g., $5 off, or 10% off) may be passed back to the merchant by way of merchant system (6). [00117] Once the transaction has been approved, at (910), the clearing and settlement of the transaction is initiated automatically, e.g., at one or more financial transaction processing system (8), and funds may be distributed to merchants/customers, and processing fees may be deducted (FIG. 10, step 2B).

[00118] The payment/transfer of funds to cover the ACT value and where applicable, processing and handling fees can be in any of the following forms: near real-time credit transfers, via Internet-based payment networks, electronic bill payment processing systems, spontaneous remote payment systems, online banking systems, proximity payment systems, paper based transfer representations and/or notes, etc.

[00119] In another aspect, the infrastructure may include a component for truncating a paper-based alternate currency object that does not contain a unique identifier as described herein. So, optionally at (912), any alternate currency object that does not container a unique identifier (e.g., a conventional alternate currency object) may be physically sent to system (10) for processing using conventional techniques.

[00120] The operation of ACT processing system (10) may be further described with reference to the flowchart of FIG. 12, which illustrates exemplary blocks (1200) that may be performed at system (10).

[00121] As depicted, operation may begin at block (1202). In particular, a first data structure is received, this data structure being representative of an alternate currency object (18) presented for redemption, the data structure containing encoded information, e.g., encoded data (19).

[00122] At block (1204), the encoded information of the first data structure is decoded. Next, at block (1206), an identifier of the alternate currency object is obtained. At block (1208), the alternate currency object is authenticated by processing the identifier of the alternate currency object.

[00123] Once the alternate currency object (18) has been authenticated, at block (1210), a second data structure reflective of the authenticated alternate currency object is constructed, e.g., the alternate currency envelope (30).

[00124] Finally, at block (1212), the second data structure is provided to at least one financial transaction system for clearance and settlement, e.g., financial transaction processing systems (8). Analytics

[00125] In one aspect of the invention, the system maintains in data store (32) a collection of depersonalized data. Various arrangements may be implemented by the system for collecting data relevant to each alternate currency transaction, or batches of alternate currency transactions. Furthermore, various arrangements may be entered into between stakeholders, or groups of stakeholders, regarding access to the data store (32). Reports may be generated based on analysis of this data stored in data store (32).

[00126] The data store (32) will generally include depersonalized information that can be shared by the stakeholders thereby providing access to richer data sets without revealing their client information or breaching their privacy obligations.

[00127] In one aspect, the system may include an analytics utility (34) that may implement various data analysis routines for extracting insights from data contained in the data store (32). These insights may relate to spending habits, customer segmentations, relative redemption values, relative satisfaction values with offering, and so on. This information may be used to track program performance, design better programs, automatic generation of alternate currency objects (18) at issuer platform (14), and other purposes.

[00128] The analytics utility (34) may enable forecasting tools, and other decision-making tools.

[00129] The analytics utility (34) may enable risk management tools, for reducing the risk associated with transactions based on alternate currencies.

[00130] The analytics utility (32) can feed various program planning or program analysis routines or application used for example in designing, monitoring and managing electronic loyalty or advertising programs. Thus, embodiments of the present invention enable tracking for alternate currencies that supports advanced monitoring/planning/reporting tools.

Audit System

[00131] As previously explained, the improved tracking of transactions involving alternate currencies enables improved auditing. A variety of auditing or assurance tools may be used to track transaction processing data to identify possible risk factors may be indicative of fraud, system errors, system design problems, or program design problems which may be causing losses. Another aspect of the present invention is the improved ability to apply auditing or assurance procedures to transactions involving alternate currencies processed in accordance of the present invention, which in further reduces fraud and other problems, thereby improving performance.

[00132] An audit system may generate and prove access to tax information, such as reportable revenues and expenses.

Integration with a shared transaction processing service

[00133] As shown in FIG. 1 , the system may include a financial transaction processing infrastructure of a service provider who may provide transaction processing services to a plurality of financial institutions. Integration of such a shared financial transaction processing infrastructure, trusted by a plurality of financial institutions, provides further opportunities to deploy broadly available programs including alternate currency elements, on an efficient basis.

[00134] In one aspect of the invention, the authentication server (20) may be implemented as part of the shared financial transaction processing infrastructure, and the authentication server (20) may be configured to authenticate and truncate the encoded data, determine the banking system that is associated with the encoded data, and connect directly with the corresponding banking system for further processing.

[00135] For example, a shared financial transaction processing infrastructure may include rapid scanning capabilities designed for example for cheques, which may also be used in relation to paper coupons bearing, e.g., GS1 Databars or other type of codes or symbologies that are recognized by the present system.

Further Aspects

[00136] In another aspect, embodiments of the present invention utilize an alternate currency identifier which may be implemented as a code (e.g., GS1 Databar or other type of codes or symbologies) that is secured by the system and encrypted. The alternate currency identifier is unique and the system is configured overall to enable serialization, authentication and tracking, throughout the workflow of the present invention.

[00137] In another aspect, the alternate currency identifier enables rapid processing and authentication over other possible methods.

[00138] Embodiments of the present invention provides a system architecture that includes: (i) alternate currency issuers; (ii) an origination host; (iii) an authorization host; and (iv) a collection management host, and these components use a novel transaction data structure that is designed to facilitate hand-offs between these hosts that collectively enable establishment and maintenance of trust in alternate currency transactions.

[00139] In one aspect, the original host may act as a secure access point for a plurality of alternate currency based transactions. Issuers of alternate currency for example may connect to the origination host via an application programming interface provided for this purpose ("API"). The API may be used to transfer the alternate currency object (18) such as a GS1 DataBar or other type of codes or symbologies from a coupon. The codes may be transferred on a secure manner to the origination host for handling by the system based the origination host.

[00140] The authorization host may verify access codes provided by the alternate currency issuer in accessing the origination host.

[00141] In another aspect, the system may include a treasury and financial management system for facilitating the securitization and settlement of alternate currency items. The present invention enables securitization of the value of the alternate currency issued. This ensures the integrity of alternate currency based transactions processed by the system. By operation of the system of the present invention, proof in the form of secured credit or actual dollars for the proposed redemption rate and beyond may be required by the system prior to issuance of the alternate currencies. For example, a financial institution may have a particular amount on deposit or an approved credit, for the value of the alternate currency being issued. This amount may increased/decreased based on debits/credits due to redemption of alternate currencies or replenishment of an associated account, by operation of the treasure and financial management system.

[00142] In another aspect of the invention, the system - by leveraging existing financial transaction processing systems— permits implementation of programs including alternate currency elements using legacy paper based elements such as: (i) using current cash and cheque processing, (ii) cash counting equipment, (iii) bank branch couriers, and (iv) financial transaction processing back ends.

[00143] In another aspect, an alternate currency such as a coupon may be implemented as a digital object that includes the alternate currency identifier of the present invention, and optionally an emblem or mark that constitutes an integrity symbol representing that the coupon is supported by the system and therefore reconciliation/settlement is subject to improved standards and fraud protection. [00144] In another aspect, the system may provide management utility (35) which may be connected to a management dashboard (36). Improved tracking of transactions involving alternate currency in turn enables improved program management features. The management dashboard (36), as shown in FIG. 11 may include for example visual indicators that allow an administrative user to monitor distribution of coupons, number of coupons processed, performance relative to campaign objectives, and budget remaining. In addition, the management dashboard (36) may show redemption rate and change over time of redemption rate, redemption progress, and profit indicators.

[00145] Embodiments of the present invention may be used in connection with various different types of coupons including for example newspaper inserts or various types of electronic coupons or tokens. The coupons may be linked to various programs such as point- of-purchase discounts, service discounts, or free goods/or services and so on.

[00146] In another aspect of the invention, for paper based alternate currency objects, redeemed coupons for example may be transported to a centralized clearing and settlement location for processing.

[00147] Suitable security technology may be used such as a firewall around the transaction server. Sensitive information may be encrypted, including using field level encryption.

General

[00148] Depending on the particular implementation and various associated factors such as the resources of participating financial institutions, mobile devices used by consumers, wireless network parameters, requirements of merchants, vendors, retailers, payment processors, banks or coupon processors, different implementation architectures may be used for the present invention.

[00149] The systems and methods of the described embodiments are capable of being distributed in a computer program product including a physical, non-transitory computer readable medium that bears computer usable instructions for one or more processors. The medium may be provided in various forms, including one or more diskettes, compact disks, tapes, chips, magnetic and electronic storage media, volatile memory, non-volatile memory and the like. Non-transitory computer-readable media may include all computer-readable media, with the exception being a transitory, propagating signal. The term non-transitory is not intended to exclude computer readable media such as primary memory, volatile memory, RAM and so on, where the data stored thereon may only be temporarily stored. The computer useable instructions may also be in various forms, including compiled and non-compiled code.

[00150] Various functions described may be made accessible using one or more mobile devices, including by providing a mobile application for accessing features of the computer network service described, or accessing the computer network service using a mobile browser. The mobile application described may be implemented to any mobile platform, including the iOS platform, ANDROID™, WINDOWS™ or BLACKBERRY™.

[00151] It will be appreciated by those skilled in the art that other variations of the

embodiments described herein may also be practiced without departing from the scope of the invention. Other modifications are therefore possible.

[00152] A skilled reader will recognize that other example various extensions to the features and functions described are possible, such as incorporate of various semantic analysis functions to the analytics engine (122).

[00153] It will also be appreciated that the block configurations, screen shots, and flow charts provided herein are for illustrative purposes only and various modifications thereof are applicable within the principles discussed herein.

[00154] Although the above principles have been described with reference to certain specific embodiments, various modifications thereof will be apparent to those skilled in the art without departing from the scope of the invention and the claims appended hereto. Other modifications are therefore possible.

Advantages

[00155] Another aspect is that embodiments of the systems disclosed herein are designed to avoid disruption to established distribution channels, thereby enabling continued use of branded couponing for example. One aspect is that embodiments of the ACT processing system can simply be "plugged in" to existing programs involving alternate currencies (such as GroupOn™), and process transactions associated with these programs over established transaction systems. Further, stakeholders in the ecosystem may also reduce the overhead required in deploying for the first time programs involving alternate currencies, which will generate new utilization of their networks/systems with minimal investment.

[00156] Embodiments of the systems disclosed herein also enables the logging of alternate currency transactions, and generation of associated transaction records, in a way that allows scalable recordkeeping that can even support analytics. This permits use (in an efficient, scalable system) of decision making tools throughout the lifecycle of the ACT thereby enabling use of needed automated risk management tools.

[00157] Embodiments of the invention reduce human error resulting from cashier

interpretation for example of coupons and associated term.

[00158] Embodiments of the invention reduce significant bookkeeping costs required to administer properly prior art solutions.

[00159] Embodiments of the invention reduce the need for secure courier/transportation in order to reduce theft.

[00160] In another aspect, embodiments of the present invention provide a system that leverages sophisticated algorithms, technologies ,and proven clearing and settlement systems associated with existing transaction processing infrastructure.

[00161] Reporting and audit functions that may be attached to programs including alternate currencies may be drastically improved.

[00162] Embodiments of the systems disclosed herein allow participating stakeholders to participate in the accelerated growth of programs leveraging alternate currencies.

[00163] Embodiments of the present invention are designed to be established in a scalable manner, and with reduced integration payload, provide end-to-end trust for alternate currencies. Improved trust allows consumers and businesses to use and exchange alternate currencies with reduced fraud, thereby improving the efficiency of transactions that include alternate currency aspects.

[00164] Embodiments of the present invention may enable participating stakeholders to realize significant cost savings origination, securitization, authentication, marketing, clearing, settlement and data management associated with alternate currency transactions.

[00165] Embodiments of the present invention may enable existing stakeholders to leverage current assets and their knowledge and experience; offset infrastructure costs; and diversify revenue streams.

[00166] While mobile coupons enjoy better redemption rates, paper coupons continue to be popular especially in some demographic groups. A further advantage of the present invention is that programs may be implemented that include both electronic and paper coupons, but where each type of coupon can be authenticated to, and handled by, a financial infrastructure in an efficient manner.

[00167] In some embodiments, the systems disclosed herein may also be used to process non-serialized alternate currency transactions. In this case, the system is used to handle intake, and then to operationalize the handling and processing (including linked banking clearing and settlement systems) for non-coded alternate currency transactions. In this case the system's tools may still be used to create possibly manually encoded data, and afterwards the normal workflows and tools would be applicable.

Claims

1. A computer-implemented method of processing alternate currency transactions, the method comprising: receiving at at least one processor, by way of a network, a first data structure representative of an alternate currency object presented for redemption, the data structure containing encoded information; decoding, at the at least one processor, the encoded information of the first data structure; upon said decoding, obtaining, at the at least one processor, an identifier of the alternate currency object; authenticating, at the at least one processor, the alternate currency object by processing the identifier of the alternate currency object; and upon said authenticating, constructing, at the at least one processor, a second data structure reflective of the authenticated alternate currency object; providing the second data structure to at least one financial transaction system for clearance and settlement.

2. The method of claim 1 , further comprising: maintaining a database comprising a plurality of records, each record storing an identifier of an issued alternate currency object.

3. The method of claim 2, wherein said authenticating comprises comparing the identifier of the alternate currency object to identifiers of issued alternate currency objects stored in the plurality of records.

4. The method of claim 1 , wherein said decoding further comprises decrypting the encoded information.

5. The method of claim 1 , further comprising: receiving a request to issue a new alternate currency object.

6. The method of claim 5, further comprising: upon said receiving, generating said new alternate currency object.

7. The method of claim 6, further comprising: generating a representation of the new alternate currency object suitable for display or print.

8. The method of claim 7, wherein the representation is a barcode.

9. The method of claim 1 , further comprising: maintaining a log of alternate currency objects presented for redemption.

10. The method of claim 1 , further comprising: upon said decoding, obtaining at least one rule associated with the alternate currency object.

11. The method of claim 10, wherein the at least one rule reflects terms or conditions imposed by an issuer of the alternate currency object.

12. The method of claim 10, further comprising: applying the at one rule to the alternate currency object.

13. A system for processing alternate currency transactions, the system comprising: at least one processor; a network interface; memory storing instructions executable at the at least one processor to cause the system to: receive, by way of the network interface, a first data structure representative of an alternate currency object presented for redemption, the data structure containing encoded information; decode the encoded information of the first data structure; upon said decoding, obtain an identifier of the alternate currency object; authenticate the alternate currency object by processing the identifier of the alternate currency object; upon said authenticating, construct a second data structure reflective of the authenticated alternate currency object; and provide the second data structure to at least one financial transaction system for clearance and settlement.

14. The system of claim 13, further comprising at least one electronic data store.

15. The system of claim 14, wherein the instructions are executable at the at least one processor to cause the system to: maintain a plurality of records, each representative of an issued alternate currency object.

16. The system of claim 14, wherein the instructions are executable at the at least one processor to cause the system to: maintain a plurality of records, each representative of an alternate currency object presented for redemption.

17. The system of claim 13, wherein the second data structure is provided to the at least one financial transaction system by way of the network interface.

18. The system of claim 13, wherein the instructions are executable at the at least one processor to cause the system to: upon said decoding, obtain at least one rule associated with the alternate currency object.

19. The system of claim 18, wherein the at least one rule reflects terms or conditions imposed by an issuer of the alternate currency object.

20. The system of claim 18, wherein the instructions are executable at the at least one processor to cause the system to: apply the at one rule to the alternate currency object.