AmEx blockchain: As the Associated Press reports, American Express, the famous financial services company, has started a collaboration with Boxed, an online wholesale retailer, for a pilot project aimed at users of Membership Rewards who can accumulate points by purchasing certain products.
And what does blockchain have to do with it?
American Express uses Hyperledger
Until recently, this partnership had a problem to solve: the products included in the Membership Reward were many, of different origin and inventoried in different ways incompatible with each other.
Hyperledger plans to use technology to generate customer-focused offerings while enabling merchants to maintain their current product inventory management systems.
At this point, sellers can add their products to the American Express program quickly and activate offers in a few weeks instead of months.
In addition, both American Express and the vendors can target promotions to very specific customers and create offers for items that are out of stock or need to be sold off.
Each seller will have its own private channel on the AmEx blockchain, through which they can send and receive information securely.
On the other hand, American Express can check the offers on the blockchain to ensure that the promotions comply with its policies.
When the offers are created, a smart contract will automatically record the offer on the blockchain, so that American Express can identify the cardholder and send them the award points.
Chris Cracchiolo, who runs the Membership Rewards programme for AmEx, said:
“They can create programs based on a time of day, day of the week, by incentivizing a customer to download their app. The number of ways merchants can reward customers with Membership Reward points will be exponentially increased.”