SYSTEM AND METHOD FOR VALUING AND REGULATING A DATA ASSET BACKED CRYPTOCURRENCY

Smart overview of the Invention

The patent application describes a system and method for creating a cryptocurrency backed by data assets generated by users on the Internet. It involves collecting raw data sets from user activities online, which are then aggregated to determine their value. This aggregate data value forms the basis for the cryptocurrency's value, and the total amount of cryptocurrency in circulation is regulated according to this value.

Data Ownership and Value

Internet users produce valuable data assets through their digital footprints, which can be considered personal property under common law. This data, when aggregated, holds significant commercial and social policy value. The system proposes storing these data assets on a blockchain, potentially as non-fungible tokens (NFTs), thereby transforming personal data into a commoditized asset that can be owned and monetized by individuals.

Work Token and PIICOIN

The concept introduces a "Work Token," which represents the user's personal data stored on a blockchain. This token can be converted into a cryptocurrency called PIICOIN, backed by the collective personal data of users. The PIICOIN serves as a unique digital identity that provides control over one's digital presence and facilitates trust in online interactions by presenting immutable records of personal credentials to third parties.

Self-Sovereign Identity

The system emphasizes self-sovereign identity, allowing users to control their personal data through opt-in mechanisms. Unlike centralized identity systems where third parties monetize data without permission, this decentralized approach ensures users' personal data is shared only with consent. The Work Token provides secure and verifiable identity management, promoting trust among users, platforms, and third-party acquirers.

Smart Contracts and Monetization

Users can enter Smart Contracts to manage their data assets, allowing them to license or share ownership of their information in exchange for PIICOINs. These contracts facilitate monetization of personal data through revenue streams like targeted advertising. Additionally, the system enables group purchasing power among Smart Contract owners, offering discounts and financial benefits through collective bargaining.