The MintChip System

The MintChip digital currency works on the Internet, in the physical store, on mobile devices, and enables easy person-to-person transactions. You can choose to register an account in the cloud, download an application or obtain a MintChip device to transact in online and offline environments. The MintChip system is based on a direct asset transfer model that moves value between trusted stores without the involvement of any intermediary. Each participant has a trusted store loaded in an account in the cloud, mobile device, USB stick on a PC or a tablet.

Whether in the cloud, or inserted into a device that you carry, the core of MintChip is an integrated circuit that holds electronic value and transfers value from one chip to another in a secure fashion.

Hosted MintChip (Cloud Account)

A Hosted MintChip Store allows consumers and merchants to transact and manage their MintChip value remotely via a ‘cloud account’.

The operator of the Hosted MintChip Store manages a user’s MintChip store (account). The operator authenticates the owner of the store, and acts upon their instructions to move value into and out of the owner’s MintChip store (account).

Transactions

Sender and Receiver

A complete MintChip transaction always consists of two MintChip devices, a Sender and Receiver. A Receiver’s MintChip ID must be known by the Sender, this is the main purpose of the MintChip Request transmission.

MintChip Value

On receiving the value request message, the Sender’s MintChip creates the value message that represents a monetary value in transition. The value message contains the requested monetary amount and can only be consumed by the Receiver’s MintChip identified by its unique ID. The value message is digitally signed to protect against any tampering. Once the value message is created by the Sender’s MintChip, the MintChip’s balance is decreased by the corresponding value. This transaction is irrevocable. The Sender cannot stop or cancel the

transaction after the value message has been created. On receiving the value message, the Receiver’s MintChip verifies the validity of the message using the digital signature and the Sender’s public certificate embedded in the message. It also verifies that the value message is not a duplicate using the challenge value. If the value message is valid, the Receiver’s MintChip balance gets incremented by the amount specified in the value message.

Sustainability 

Designed by the Royal Canadian Mint, MintChip has been architected with security and trust at its forefront. The MintChip solution delivers privacy and convenience to consumers and provides merchants with a cost effective payment option that can easily monetize digital content. Just like cash, the MintChip system is based on a direct asset transfer model that moves value between trusted entities without the involvement of any intermediary.

There is no need to provide any personal information when paying with MintChip. MintChip payments are irrevocable and secure.

Architecture 

The MintChip ecosystem has been designed to emulate the existing coin distribution model, i.e. MintChip is minted by the Royal Canadian Mint and distributed into the market by a Trusted Broker, to be used by consumers and merchants. 

The MintChip – Value Creation

The MintChip system models the attributes of cash.

The MintChip Minter is the trusted entity that creates the MintChip value and which it puts into circulation by selling value to the Broker. The Broker trades MintChip value with the users of the system and MintChip value is exchanged with consumers and merchants. The Broker debits and credits the merchant and consumer bank accounts in exchange for MintChip value. Senders and Receivers are users of MintChip value and may be consumers, merchants, businesses, Government, etc.

The MintChip – Security Overview

The MintChip chip is a Tamper Resistant Module (TRM), sometimes also called a Hardware Security Module (HSM). The Value Transfer Protocol cannot be modified without detection.

The integrity of the TRM must be assured and the cryptographic mechanisms protecting the Value Transfer Message are adequately resistant to attack.

The chip used for the MintChip store must adequately represent a TRM.

The security of the chip (including firmware and software) is the greatest vulnerability in a MintChip system; therefore MintChip will use security-hardened chips with regularly planned security upgrades.

The MintChip system is deliberately designed for changes to both the chips and cryptographic mechanisms in a transparent fashion. It is even possible to force the expiry of a particular MintChip platform version.

Unlike other conventional electronic payment systems, MintChip does not have the same threat model. MintChip can operate off-line or on-line unreferenced to any trusted party and the payment is instant and irrevocable.

Recap

FuzionApps would like to bring this offering to the US, using our mobile app DeMerchant MintChip. By using a technology that’s already in place, we can bring this to the US Market faster that starting from research and development. The demand for electronic transactions is on the rise. Of all the offerings in the market, we believe this to be the most viable, assessable and secure. Contact Laquitta at demerchant@fuzionapps.com for a demo of our mobile app prototype.

FuzionApps, Inc.

1750 Northshore Drive Missouri City, TX 7459 (281) 403-1087

www.fuZionapps.com  – Point of Contact: Laquitta DeMerchant demerchant@fuzionapps.com