You can use the fact that Jordan algebras can be constructed from the associative algebras:
CircleDot[a_, b_] := 1/2 (a.b + b.a)
For the latter, one can use, e.g., matrix representations. Let us make an example:
A = RandomReal[{0, 1}, {3, 3}]
B = RandomReal[{0, 1}, {3, 3}]
We verify now your equations with respect to CircleDot
:
(A ⊙ B + 7 B ⊙ A - 8 A ⊙ B)//Norm//Chop
(*0*)
((A ⊙ A) ⊙ (B ⊙ A) - ((A ⊙ A) ⊙ B) ⊙ A)//Norm//Chop
(*0*)
Final mathematical remarks
One may oppose to the above construction with the argument that it only covers special Jordan algebras. Well, true, there are indeed exceptional Jordan algebras. However, they are rather scarce and not so useful for applications in quantum mechanics. Here, I would like to cite a passage from McCrimmon's
"A Taste of Jordan Algebras":
In 1983 Zel’manov proved the astounding theorem that any simple Jordan
algebra, of arbitrary dimension, is either (1) an algebra of Hermitian
elements $\mathcal{H}(A,∗)$ for a ∗-simple associative algebra with involution,
(2) an algebra of spin type determined by a nondegenerate quadratic
form, or (3) an Albert algebra of dimension 27 over its center. This
brought an end to the search for an exceptional setting for quantum
mechanics: it is an ineluctable fact of mathematical nature that
simple algebraic systems obeying the basic laws of Jordan must
(outside of dimension 27) have an invisible associative support behind
them.