Share this article
AmEx Upgrades Rewards Program with Hyperledger Blockchain
American Express announced a blockchain-based loyalty rewards program using Hyperledger's technology.
By Nikhilesh De
Updated Sep 13, 2021, 7:58 a.m. Published May 23, 2018, 8:15 p.m.
Make us preferred on Google
Financial services giant American Express is integrating blockchain into its rewards program in partnership with digital retailer Boxed.
The company announced Wednesday that it is leveraging Hyperledger to let merchants create custom Membership Rewards programs for American Express cardholders. Its initial trial with Boxed will allow members to earn five times the normal number of points on certain products, according to information shared with CoinDesk.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
On the back-end, American Express will create a private channel on its blockchain with each merchant to facilitate information transfer. Merchants can then create smart contracts which automatically fulfill rewards program offers. Once the offers are live, "the smart contracts will automatically pass the anonymized information on the transaction to American Express using its private blockchain channel," the company said.
As a result, the merchant will be able to control what offers they are making, as well as customize its Membership Rewards structure. Further, the merchants will be able to "assign bonuses to items at product or [stock keeping unit] level."
That being said, American Express reserves the right to regulate the products or brands being promoted.
The company believes it can set merchants up with the new system "in a matter of weeks" versus the months it currently takes to onboard a new partner.
Notably, this is not the first foray by American Express into blockchain rewards, as the company filed a patent last year outlining a possible rewards program that would be stored on a blockchain.
American Express logo via First Class Photography / Shutterstock
More For You
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
BTC, ETH, SOL move higher as markets eye Fed, Mag 7 earnings and weaker dollar
Crypto prices steadied as traders looked past short-term volatility with positioning shifting to the Fed, megacap earnings and a weakening dollar.
What to know:
- Bitcoin hovered just below $89,000 in Asian trading, posting modest gains in a narrow range as traders awaited a key Federal Reserve decision.
- A weaker U.S. dollar and record-setting global equity markets, led by technology shares and AI optimism, have supported risk assets but crypto has lagged metals like gold and silver.
- Analysts say bitcoin's rebound from the $86,000–$87,000 zone reflects reduced leverage and short-term stabilization rather than strong momentum as markets brace for Fed guidance and major tech earnings.
Top Stories
