System for physically delivering virtual currencies

Patent metadata

Field	Value
Publication number	US-10504178-B2
Application number	US-201514932374-A
Country	US
Kind code	B2
Filing date	Nov 4, 2015
Priority date	Nov 4, 2015
Publication date	Dec 10, 2019
Grant date	Dec 10, 2019

Abstract

Systems and methods are disclosed for settling futures contracts that are based on virtual currencies. A clearing counter-party operates a clearing counter-party computer that may oversee physical delivery of virtual currency between a buyer and seller. The clearing counter-party computer does not take possession of the virtual currency and monitors a publically viewable ledger to confirm that transactions have taken place.

First claim

The invention claimed is:

1. A system that reduces risk and permits a clearing counter-party computer to ensure delivery without taking actual possession of virtual currency transacted via a publicly viewable electronic ledger, comprising:
a buyer computer corresponding to a buyer of a virtual currency futures contract;
a seller computer corresponding to a seller of a virtual currency futures contract;
the clearing counter-party computer separate from the buyer and seller computers and from the publicly viewable electronic ledger and containing a computer-readable medium that contains computer-executable instructions that cause the clearing counter-party computer to perform the steps comprising:
(a) determine when at least one futures contract that calls for the physical delivery of a virtual currency expires;
(b) when the at least one futures contract expires, pair off buyers and sellers for delivery purposes;
(c) receive a virtual currency address from the buyer computer;
(d) transmit transfer instructions to the seller computer to transfer the virtual currency to be physically delivered to the received virtual currency address via the publicly viewable electronic ledger; and
(e) accessing the publicly viewable electronic ledger to confirm that the seller transferred the virtual currency to be physically delivered to the buyer.

2. The system of claim 1 , further including a secure channel for exchanging the address information from the buyer computer to the clearing counter-party computer.

3. The system of claim 2 , wherein the secure channel comprises an encrypted channel.

4. The system of claim 1 , further including a secure channel for sending the transfer instructions to the seller computer.

5. The system of claim 4 , wherein the secure channel comprises an encrypted channel.

6. The system of claim 1 , wherein the virtual currency address comprises at least one wallet address.

7. The system of claim 1 , wherein the transfer instructions include a unique identification code that corresponds to the virtual currency address, and wherein the accessing the publicly viewable electronic ledger is to confirm that the seller directly transferred the virtual currency to the buyer.

8. The system of claim 1 , further including one or more ledger computer(s) that store the publicly viewable electronic ledger.

9. The system of claim 1 , wherein the virtual currency comprises Bitcoin.

10. A system comprising:
a buyer computer corresponding to a buyer of a virtual currency futures contract;
multiple seller computers each corresponding to a seller of a virtual currency futures contract;
a clearing counter-party computer separate from the buyer and seller computers and from a publicly viewable electronic ledger via which the virtual currency is transacted and containing a computer-readable medium that contains computer-executable instructions that cause the clearing counter-party computer to perform the steps comprising:
(a) determine when at least one futures contract that calls for the physical delivery of a virtual currency expires;
(b) when the at least one futures contract expires, pair off a buyer with multiple sellers for delivery purposes;
(c) receive from the buyer computer a unique virtual currency address for use by each of the multiple seller computers;
(d) transmit to each of the multiple seller computers transfer instructions that include one of the unique virtual currency addresses to transfer the virtual currency to be physically delivered to the received virtual currency address via the publicly viewable electronic ledger; and
(e) accessing the publicly viewable electronic ledger to confirm that each of the sellers transferred the virtual currency to be physically delivered to the buyer.

11. The system of claim 10 , further including a secure channel for exchanging the address information from the buyer computer to the clearing counter-party computer.

12. The system of claim 11 , wherein the secure channel comprises an encrypted channel.

13. The system of claim 10 , further including a secure channel for sending the transfer instructions to the multiple seller computers.

14. The system of claim 13 , wherein the secure channel comprises an encrypted channel.

15. The system of claim 10 , wherein the virtual currency address comprises at least one wallet address.

16. The system of claim 10 , wherein the transfer instructions include a unique identification code that corresponds to the virtual currency address, and wherein the accessing the publicly viewable electronic ledger is to confirm that each of the sellers directly transferred the virtual currency to the buyer.

17. The system of claim 10 , further including a ledger computer that stores the publicly viewable electronic ledger.

18. The system of claim 10 , wherein the virtual currency comprises Bitcoin.

19. The system of claim 10 , wherein the clearing counter-party computer contains a computer-readable medium that contains computer-executable instructions that cause the clearing counter-party computer to assign unique transaction identifiers to the multiple seller computers.

20. A computer implemented method comprising:
(a) determining, by a clearing counter-party computer separate from a publicly viewable electronic ledger via which a virtual currency is transacted, when at least one futures contract that calls for the physical delivery of the virtual currency expires;
(b) when the at least one futures contract expires, pairing off buyers and sellers for delivery purposes;
(c) receiving from a buyer computer, separate from the clearing counter-party computer, corresponding to a buyer of a virtual currency futures contract a virtual currency address;
(d) transmitting to a seller computer, separate from the clearing counter-party computer, corresponding to a seller of a virtual currency futures contract transfer instructions to transfer the virtual currency to be physically delivered to the received virtual currency address via the publicly viewable electronic ledger; and
(e) accessing, by a clearing counter-party computer, a the publicly viewable electronic ledger to confirm that the seller transferred virtual currency to be physically delivered to the buyer.

21. The computer implemented method of claim 20 , wherein (c) and (d) include receiving the virtual currency address and transmitting the transfer instructions via at least one secure channel.

22. The computer implemented method of claim 21 , wherein the secure channel comprises an encrypted channel.

23. The computer implemented method of claim 20 , wherein the virtual currency address comprises a wallet address.

24. The computer implemented method of claim 20 , wherein the transfer instructions include a unique identification code that corresponds to the virtual currency address, and wherein the accessing the publicly viewable electronic ledger is to confirm that the seller directly transferred the virtual currency to the buyer.

25. The computer implemented method of claim 20 , wherein the virtual currency comprises Bitcoin.

Assignees

• Chicago Mercantile Exchange Inc

Inventors

• Pierce Ryan
• Ro Sandra
• Ahmed Mansoor

Classifications

• G06Q40/04 Primary

  Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange · CPC title