Western Union's newly published patent reveals the company's vision for a secure payment system capable of managing repetitive transmission notifications and cryptocurrency network transactions.
As the world's largest money transfer service headquartered in Englewood, UK, Western Union aims to enhance electronic payment security through this innovation. The company originally filed this patent application with the US Patent and Trademark Office in December 2016.
Key Features of the Patent
Biometric Verification
The proposed system incorporates biometric authentication to ensure transaction authorization:
- Fingerprint scanning
- Voice recognition samples
- Retinal scanning
Network Compatibility
Designed as a universal tool, the system adapts to most electronic networks, including:
- Traditional banking systems
- Cryptocurrency networks (Bitcoin, Litecoin, Peercoin specifically mentioned)
- Digital and decentralized currencies
Multi-Currency Support
The payment network supports diverse transaction mediums:
- Traditional fiat currencies
- Digital assets and cryptocurrencies
- Gift cards, certificates, and user credit systems
- Cross-jurisdictional transactions
Notable Absences and Industry Context
The patent application makes no mention of XRP, despite claims by proponents that Ripple's cryptocurrency was specifically designed for money transfer services like Western Union. While Western Union partnered with Ripple in 2018 to test XRP integration, CEO Hikmet Ersek expressed disappointment with preliminary results:
"We're often criticized for inefficiency, but our tests showed no cost improvement. The fundamental issue remains high transaction costs."
This statement reflects the ongoing challenges in cryptocurrency adoption for mainstream financial services.
FAQ Section
Why did Western Union patent a cryptocurrency payment system?
Western Union anticipates future demand for hybrid payment solutions that bridge traditional finance and emerging digital assets while prioritizing security.
Which cryptocurrencies are specifically mentioned?
The patent explicitly references Bitcoin, Litecoin, and Peercoin networks as potential applications.
What advantages does biometric verification offer?
Biometric authentication reduces fraud risks by ensuring only authorized users can initiate transactions, particularly valuable for high-frequency transfers.
Future Implications
This patent positions Western Union at the intersection of legacy finance and blockchain innovation. The system's design acknowledges growing demand for:
👉 Secure cross-border cryptocurrency payments
👉 Hybrid financial infrastructure
👉 Regulatory-compliant digital asset solutions
While implementation timelines remain unclear, this intellectual property demonstrates Western Union's strategic preparation for evolving payment landscapes. The exclusion of certain cryptocurrencies like XRP suggests selective adoption approaches by traditional financial institutions.