Cryptographically managingtelecommunications settlement

A method for managing telecommunications channels comprising:

• sending, by a buyer telecommunications server comprising at least one processor, to a channel monitor, a telecommunications channel opening request, the channel monitor comprising at least one processor and holding cryptographic wallets and corresponding private keys of both a buyer and a seller, the opening request providing an amount of cryptocurrency to the buyer cryptographic wallet;
• generating and signing with the buyer private key, by the channel monitor, a contract between the buyer and the seller, the contract including a channel usage rate per unit of time and a total contract amount;
• opening, by the buyer telecommunications server, the telecommunications channel with a seller telecommunications server;
• generating, by the channel monitor, a transaction wallet in response to the channel opening;
• transferring, by the channel monitor, cryptocurrency in the total contract amount from the buyer cryptocurrency wallet to the transaction wallet;
• publishing, by the channel monitor, the cryptocurrency transfer transaction on a cryptographic ledger;
• generating and signing with both the buyer and the seller cryptocurrency wallet private keys, by the channel monitor, an initial signed refund transaction, the initial signed refund transaction setting an automatic refund of the cryptocurrency in the total contract amount to the buyer cryptocurrency wallet at a contract expiration time;
• initiating, by a seller communications server comprising at least one processor, usage of the opened channel by establishing communications connections between users of the buyer telecommunications server to users of the seller telecommunications server;
• monitoring, by the channel monitor, the channel usage by progressively replacing previously signed transactions with at least one time-based transaction, the channel usage monitoring comprising:
• calculating, at a current time unit, a usage amount to be transferred to the seller cryptocurrency wallet and a remaining amount to be returned to the buyer cryptocurrency wallet based on the current time unit, the contract rate and total contract amount;
• generating a superseding time-based transaction comprising the calculated usage amount and remaining amount;
• signing the superseding time-based transaction with the buyer private key;
• and
• replacing all previously signed transactions with the superseding time-based transaction;
• repeating the steps of calculating, generating, signing and replacing at each subsequent time unit until a channel termination notice is received by the channel monitor;
• receiving, by the channel monitor, a channel termination notice from the buyer telecommunications server;
• in response to receiving the channel termination notice, terminating, by the channel monitor, the channel usage by:
• generating a final transaction signed by the buyer and seller private keys by signing, with the seller private key, the most recent buyer signed superseding time-based transaction;
• generating, by the channel monitor, a payment transaction by transferring the calculated usage amount of the final transaction from the transaction wallet to the seller cryptocurrency wallet;
• generating, by the channel monitor, a refund transaction by transferring the calculated remaining amount of the final transaction from the transaction wallet to the buyer cryptocurrency wallet;
• and
• publishing, by the channel monitor, both the payment and refund transactions on the cryptographic ledger.