American Express to Develop Blockchain Based Solution

One of the largest bank cards issuer is interested in distributed ledger technology
16 March 2018   497

The international payment giant American Express is actively exploring the possibilities of blockchain technologies to increase the speed of transactions. This is reported by Coindesk with reference to new patent file.

The document, published on the website of the US Patent and Trademark Office, describes a method in which a payment request is first sent to a special blockchain system, the algorithms of which determine whether approve or reject the transfer. A variety of factors are used for the assessment, including risk analysis.

If the payment request is approved, the system automatically processes the transaction, making appropriate changes to the balance of the sender and the recipient. To access the system, users will need to create digital blockchain-wallets. Thus, all payments will be processed directly in the block, bypassing third parties like banks.

The patent also mentions P2P payments made with the help of a blockchain.

A payment network based on peer-to-peer payments may be used to facilitate most functions of traditional card payment networks and to enable additional services and functionality.

American Express' Patent Application

At the same time, the volatility of bitcoin prices and the fact that the first crypto currency is based on a public distributed ledger are called the main reasons why this network does not meet the requirements of American Express.


Ethereum VM May Have Vulnerability

The vulnerability is reported by NettaLab Twitter account
12 November 2018   65

On November 9, a statement appeared in Netta Lab’s Twitter account that the organization discovered a vulnerability in the Ethereum virtual machine that allows to execute smart contracts endlessly without paying for gas online. The researchers also allegedly turned to the operator of the American database of vulnerabilities, where they registered the corresponding discovery.

Netta Labs discovered an Ethereum EVM vulnerability, which could be exploited by hackers. The vulnerability can cause smart contracts can be executed indefinitely without gas being paied.

Netta Lab's Twitter

At Netta Lab's request, Google demonstrates the site of the project, which specializes in auditing smart contracts under the Netta Lab brand, but the Twitter accounts of the projects do not match. Note that the profile that reported the vulnerability was registered in November.

Many users expressed doubts about the authenticity of the information that appeared, but then the creator of the NEO project Da Hongwei said that he spoke with the CEO of Netta Labs and asked the researchers to audit the NEO virtual machine.

Nevertheless, Vitalik Buterin wrote on Reddit that this is a vulnerability in the Python-implementation of the virtual machine, which was first reported on GitHub 9 days ago. This means that the main clients (go-ethereum; parity and cpp-ethereum) are not affected.