Share this article

Red Hat Eyes Blockchain For Tracking When Customers Use the Cloud

Cloud computing giant Red Hat may be looking into using a blockchain-based system to track software usage, according to a patent application.

Updated Sep 13, 2021, 8:19 a.m. Published Aug 27, 2018, 2:30 p.m.
red hat

Cloud computing giant Red Hat may be looking into tapping a blockchain-based system to track software usage.

New marketing models for selling software on a cloud platform require new methods of tracking usage, and a blockchain may be able to efficiently store this information, according to a patent application released last Thursday by the U.S. Patent and Trademark Office. The filing outlines how a blockchain would track transactions across a given platform, where each transaction represents an instance of a customer using the company's products.

STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters

As the application explains, "software products have often been licensed on an annual basis. A predetermined fee is paid, and the fee allows usage of the software product for one year."

However, software products are now likely to be licensed based on either time or a use count. As a result, "fees are thus based on a number of uses of a software product, and/or a total amount of time the software product was used, over a particular period of time."

The application goes on to say:

"The examples record, in a blockchain, a billing rules transaction that identifies usage rules for one or more software instance types for a timeframe. Authorized transactions that identify software instances that have been authorized to execute during the timeframe are also recorded in the blockchain."

"Because blocks in the blockchain, for practical purposes, cannot subsequently be modified so long as a sufficiently robust consensus method is used to create the blocks, the blockchain accurately records both the actual software instance usage and the rules under which the usage occurred," the application continued.

This type of system could help vendors track usage across different networks without requiring the customer to build new infrastructure to enable tracking, saving both parties time and money, the application noted.

Red Hat image via JPstock / Shutterstock

More For You

Pudgy Penguins: A New Blueprint for Tokenized Culture

Pudgy Title Image

Pudgy Penguins is building a multi-vertical consumer IP platform — combining phygital products, games, NFTs and PENGU to monetize culture at scale.

What to know:

Pudgy Penguins is emerging as one of the strongest NFT-native brands of this cycle, shifting from speculative “digital luxury goods” into a multi-vertical consumer IP platform. Its strategy is to acquire users through mainstream channels first; toys, retail partnerships and viral media, then onboard them into Web3 through games, NFTs and the PENGU token.

The ecosystem now spans phygital products (> $13M retail sales and >1M units sold), games and experiences (Pudgy Party surpassed 500k downloads in two weeks), and a widely distributed token (airdropped to 6M+ wallets). While the market is currently pricing Pudgy at a premium relative to traditional IP peers, sustained success depends on execution across retail expansion, gaming adoption and deeper token utility.

More For You

Bitcoin climbs above $89,000 as U.S. dollar tumbles on President Trump's remarks

Donald Trump points at the audience during a press conference at the White House.

The president said he isn't concerned about the dollar's recent declines, sending the greenback plunging even lower.

What to know:

  • Bitcoin rallied above $89,000 as remarks by President Trump sent the dollar to its lowest level in nearly four years.
  • Gold rose to a new record above $5,200 per ounce following the president's comments.
  • One analyst is seeing a bullish technical divergence which could send bitcoin back to $95,000 in short order.