cryptopoints.co

A concept. Nothing is offered or sold. No points exist.

A governed ledger for loyalty points

CryptoPoints sets out how loyalty points could pass between programmes through one clearing-house, under published rules, without ever leaving the member’s account. It builds on two patent applications from 2002⁠[1]⁠[2] and is run by MarkCrest.

One conversion through the clearing-house (an example)Two ledgers, Programme A and Programme B, each show account 0417 for the same member. Five squares, 500 of the member's Programme A points, leave account 0417 at Programme A and enter the clearing-house, where a published example rate of 5 to 4 applies. Four squares, 400 Programme B points, leave the clearing-house and arrive in account 0417 at Programme B. The member's balance goes from 2,000 to 1,500 points with Programme A and from 300 to 700 with Programme B. A second line shows that Programme A now owes Programme B for the 400 points, settled through the clearing-house. At the bottom a custodian holds assets and guarantees that secure the programmes; members hold no claim on it.Programme AexampleAccountPoints01011,250027464004172,0001,50005323,120068885Programme BexampleAccountPoints009341002112,600041730070003501,045077990Clearing-housesettlement point5 : 4published rate,example500 points of Adebited from 0417400 points of Bcredited to 0417A owes B for the 400 pointssettled through the clearing-house, netsecures Asecures BCustodianHolds assets and guarantees that secure what each programme owes the others.Members hold no claim on it.One conversion through the clearing-house (an example)Two ledgers, Programme A and Programme B, each show account 0417 for the same member. Five squares, 500 of the member's Programme A points, leave account 0417 at Programme A and enter the clearing-house, where a published example rate of 5 to 4 applies. Four squares, 400 Programme B points, leave the clearing-house and arrive in account 0417 at Programme B. The member's balance goes from 2,000 to 1,500 points with Programme A and from 300 to 700 with Programme B. A second line shows that Programme A now owes Programme B for the 400 points, settled through the clearing-house. At the bottom a custodian holds assets and guarantees that secure the programmes; members hold no claim on it.Programme AexampleAccountPoints01011,250027464004172,0001,500Programme BexampleAccountPoints041730070003501,045077990Clearing-housesettlement point5 : 4published rate,example500 points of Adebited from 0417400 points of Bcredited to 0417CustodianHolds assets and guarantees thatsecure what programmes owe each other.Members hold no claim on it.A owes B for the 400 points; theclearing-house settles it, net.The custodian secures the programmes.
An example of one conversion. A member converts 500 of their own Programme A points into 400 Programme B points at a published rate of 5 to 4. The points pass through the clearing-house and arrive in the same member’s account. Programme A then owes Programme B, and the clearing-house settles that between them. The custodian secures the programmes, not the member. The programmes, accounts and rate are illustrative: no points exist.

Three rules the model is built on

  1. Collected, never bought, never cashed out

    Points come only from a member’s activity in a programme. They are used on that programme’s rewards or converted into another programme’s points. No one pays for them, and they never turn into cash.

  2. Locked to the member’s account

    A member converts only their own points, at rates published before they apply. Points never pass from one person to another.

  3. Backing secures the programmes, not the members

    A custodian holds assets and guarantees that secure what programmes owe each other. Members hold no claim on them. Points carry no yield and have no market price.

The second rule is what keeps the model outside crypto-asset and money-transmission law. The first and third keep points from looking like stored value or a security. The model sets out why, with the texts each rule rests on.

What “crypto” means here

Cryptography, not a coin. Every entry in the ledger would be signed by the party that makes it and linked to the entry before it, so no one could change the record without leaving a trace. Points are not a currency: there is no coin, no wallet and nothing to trade.

What this site sets out

The model
Points, conversion, the clearing-house, the custodian, and the seven governed roles taken from the 2002 filings.
Governance
One published rulebook, independent audits and attestations, notice before any change, and a wind-down plan published from the start.
For members
One balance, conversion of your own points, and no wallet to manage.
For programmes
Settlement through one clearing-house, secured by the collateral each programme posts.
Lessons
What happened to the blockchain loyalty experiments since 2018, and how this model differs.
The record
The two patent applications with 2002 priority dates, and the hub’s article on MarkCrest.
About
Run by MarkCrest, and how the concept relates to Swomi’s points.

References

Numbered in the order they are first cited on this page; each entry links back to the places that cite it. Every source was opened on 5 November 2026.

  1. ↑ US20030225619A1: System and method for dealing with loyalty program points. Google Patents. Two inventors, one of them Maynard Dokken. Priority 15 March 2002; filed 14 March 2003; published 4 December 2003. Status: abandoned.
  2. ↑ US20040054613A1: System and method for depositing and investing illiquid or restricted assets. Google Patents. Inventor Maynard Dokken. Priority 30 April 2002; filed 30 April 2003; published 18 March 2004. Status: abandoned.

Further reading

Useful background. These sources are not cited for any statement on this page.