{
  "patent_number": "US 7577616",
  "country": "US",
  "title": "How Mobile Phones Can Securely Authorize Payments Using Random ID Codes",
  "original_title": "Method and apparatus of secure authentication and electronic payment through mobile communication tool",
  "summary": "A 2006 system that uses a mobile phone to receive and relay a unique, temporary ID code to a store terminal to verify and authorize a payment transaction.",
  "what_it_does": "The system creates a secure loop between a user's phone, a store's transaction terminal, and a central account server. When a user initiates a purchase, the account server generates a one-time Random ID (RID) and sends it to the user's mobile phone. The user then transfers this RID to the store's terminal—via methods like Bluetooth, infrared, or by displaying it as a barcode for scanning. The store terminal sends the RID back to the account server, which confirms the match to authorize the payment.",
  "what_it_does_not_cover": [
    "Does not cover payment systems that rely on static account numbers or credit card magnetic stripes without the RID verification loop.",
    "Does not cover biometric authentication (like fingerprint or facial recognition) as the primary verification mechanism.",
    "Does not cover direct peer-to-peer payments that bypass the central account server and transaction server architecture described in the claims."
  ],
  "filed": "2006-09-18",
  "granted": "2009-08-18",
  "expires": "2026-09-18",
  "status": "active",
  "holder": "Individual",
  "holder_url": "https://patentbrief.org/company/individual",
  "inventors": [
    {
      "name": "Xi Zhu",
      "url": "https://patentbrief.org/inventor/xi-zhu"
    }
  ],
  "times_cited": 17,
  "tags": [
    "consumer_electronics",
    "software",
    "telecommunications",
    "finance",
    "ecommerce"
  ],
  "abstract": "The present invention relates to apparatus and method utilizing a mobile terminal as a tool for secure authentication and electronic payment. A random ID code is passed through a circle path to verify the nodes along the path. If the RID sent back matches the one generated for the current transaction, the user is authenticated and the transaction is approved for further action. The user's account server generates a Random ID code when a transaction request is received. This RID will be passed to the user's mobile terminal and then passed to the terminal where the user request access or purchasing. The terminal will send the RID back to the account server. If the RID received and the original RID generated for this transaction matches the user is authenticated. The RID can also be passed through a reverse direction.",
  "url": "https://patentbrief.org/patent/us/7577616/method-and-apparatus-of-secure-authentication-and-electronic-payment-through-mobile-communication-tool",
  "markdown_url": "https://patentbrief.org/patent/us/7577616/method-and-apparatus-of-secure-authentication-and-electronic-payment-through-mobile-communication-tool/md",
  "google_patents_url": "https://patents.google.com/patent/US7577616",
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}