Behind the patent

How two-layer blockchain can strengthen data protection and recovery

Article Apr 3, 2025 Read time: min

By Sreekrishnan Venkateswaran and Vugranam Sreedhar

If cyberattacks are now one of the biggest threats to business continuity, why do many disaster recovery plans still focus more on rebuilding physical infrastructure than restoring critical digital systems?¹

This challenge drove the development of US12105823,² a two-layer, blockchain-based system and method designed to secure, protect and recover mission-critical and sensitive data.

The recently patented innovation, referenced here as the ‘823 patent, helps businesses retrieve and restore their latest, untampered data after a cyberattack, natural disaster or system failure.

Users can retrieve and restore the latest data versions after a cyberattack, natural disaster or system failure.

Potential use cases of the ‘823 patent

Organizations that handle sensitive data, process digital transactions, or manage critical infrastructure can potentially benefit from the system and method described in the ‘823 patent.

For example, banks and financial institutions can use the invention to help secure transaction records, account details and compliance logs, reducing fraud and increasing audit transparency.

In healthcare, the system and method improve storage security and enable controlled sharing of patient records, which helps providers protect privacy while improving coordination of care.

As digital threats grow, the innovation should provide a future-proof way to protect and restore sensitive and mission-critical data across multiple sectors. Other key applications include:

Public services

Safeguarding legal documents, citizen records and property deeds, increasing transparency and trust in the public sector

Supply chains

Tracking and verifying products to reduce fraud and provide accurate, real-time updates at all stages of the supply chain

Data security

Strengthening data protection to defend against breaches and prevent unauthorized access

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The innovation should provide a future-proof way to protect and restore sensitive and mission-critical data.

How the patent ‘823 works

When processing data, the method and system outlined in the ‘823 patent create a cryptographic hash³ and store it in a first blockchain layer known as the integrity layer, separate from the actual data. The hash acts like a digital fingerprint, providing a unique identifier that allows engineers to verify data integrity without revealing its content.

To protect and recover sensitive and mission-critical information, the invention encrypts and stores the actual data in a second blockchain layer known as the secure storage layer. When data needs to be accessed, the system retrieves its hash from the integrity layer, which helps locate and securely decrypt the corresponding information in the storage layer.

Unlike other security tools that use a static encryption key, the method and system detailed in the '823 patent generate a key from the hash stored in the integrity layer. Since data is locked with a key directly tied to its unique digital fingerprint, it’s more resistant to tampering.

Access to data or the encryption key requires majority approval from the other trusted users.

What makes the ‘823 patent unique

Multi-layer security and safeguards distinguish the method and system described in the ‘823 patent from other data protection tools.

The invention limits integrity layer access and encryption key management to a small group of trusted users. Anyone requesting access to the integrity layer or use of the encryption key must get majority approval from the other trusted users. This requirement prevents unauthorized data access, regardless of where or from whom the attack originates.

Together, the method and system described in the ‘823 patent create a two-layer consensus mechanism. To compromise data, an attacker would need to solve multiple, distinct cryptographic puzzles across both blockchain networks at the same time.

The overall architecture is designed to make breaching both layers simultaneously nearly impossible, even with advanced technologies like quantum computing.

A final word on the '823 patent

In an era where cyber threats are becoming more sophisticated, the ‘823 patent represents a critical advancement in data security and privacy. By combining blockchain’s immutability with encryption-driven resilience, this solution helps sensitive information remain tamper-proof, secure and future-ready.

Sreekrishnan Venkateswaran, Ph.D., is a Kyndryl Fellow and CTO of Kyndryl India. Vugranam Sreedhar, Ph.D., is a Distinguished Engineer and Vice President at Kyndryl.

¹ Cyber tops business risk for enterprises worldwide, report finds, Cybersecurity Dive, January 2024
² Protecting sensitive data, Google Patents, October 2024
³ Cryptographic hash function, National Institutes of Standards and Technology, February 2025