Method for consumption based redemption in an exchange item marketplace network

A method for execution by a server in a data communication system, the method comprises:

• identifying an instance for a user computing device of the data communication system associated with an exchange item to electronically utilize the exchange item for acquisition of a particular item having an acquisition value;
• determining compliance with one or more rules of a set of exchange item rules associated with the exchange item, wherein the determining includes obtaining secure custody of the exchange item in accordance with a secure custody protocol that comprises a blockchain, and wherein while having the secure custody, determining a quantifiable value of the exchange item in accordance with the one or more rules that have been satisfied;
• determining that the quantifiable value of the exchange item is less than the acquisition value of the particular item;
• determining an alternative exchange item utilization protocol to facilitate the acquisition of the particular item, wherein the alternative exchange item utilization protocol modifies one or more parameters associated with one or more of the exchange item, the set of exchange item rules, and the particular item;
• and
• when requested, executing the alternative exchange item utilization protocol to facilitate the acquisition of the particular item.