The Islamic Development Bank Institute (IsDBI) (https://IsDBInstitute.org) is pleased to announce that it has been granted Patent No. 12,548,031 B2 by the U.S. Patent and Trademark Office (USPTO) on 10 February 2026. This milestone marks the Institute’s second USPTO patent and its fifth patent overall, reinforcing its position as a leader in fintech innovation for economic development and Islamic finance.
The patent protects an original method for achieving consensus in Distributed Ledger Technology (DLT), such as blockchain networks. Named Proof-of-Use (PoU), this mechanism introduces a paradigm shift in how transactions are validated and secured.
In a blockchain system, the consensus algorithm is a core component — it determines how the network agrees on valid transactions, their order, and the integrity of the shared ledger without a central authority. PoU introduces a reciprocity-based approach: participants validate others’ transactions in exchange for having their own transactions validated, aligning network influence with actual participation rather than computational power or capital.
Unlike traditional consensus models such as Proof-of-Work (PoW) and Proof-of-Stake (PoS), Proof-of-Use is built on the principle of reciprocity. In this system, network members validate other members’ transactions in exchange for having their own transactions validated. This creates an environment where:
* Users and Validators are One: Only active participants who use the network have the right to validate members’ transactions. This stands in contrast to PoW and PoS models, where validators and users are distinct groups with often divergent objectives.
* Environmental Sustainability: By eliminating the competitive “arms race” found in PoW algorithms, PoU removes the feedback loops that drive extensive energy consumption.
* Fairness and Equity: PoU addresses the inherent bias in PoS models, which often favor participants with the largest financial holdings. Through reciprocity, PoU prioritizes utility and participation over wealth concentration.
The reciprocity principle is particularly suitable for development finance because it prevents the network from being captured by outside speculators whose primary objective is not the transactions but instead the reward for validation.
“The Proof-of-Use mechanism is an important component of the Institute’s innovation portfolio,” remarks Dr. Sami Al-Suwailem, Acting Director General of the IsDB Institute. “Our objective is to build a digital ecosystem to support inclusive growth and shared prosperity across Member Countries and communities. We are actively exploring strategic partnerships to capitalize on the innovative ecosystem, in line with the IsDB Group’s 10-Year Strategic Framework, which calls for enhancing Islamic digital financial services to ensure broader access to finance.”
