Real-time Settlement Of Securities Trades Over Append-only Ledgers

  • Published: Nov 3, 2016
  • Earliest Priority: Apr 28 2015
  • Family: 4
  • Cited Works: 0
  • Cited by: 18
  • Cites: 0
  • Additional Info: Full text

Various of the disclosed embodiments concern systems and methods for expediting the settlement of securities traded on an exchange. A settlement system can generate electronic records of financial transactions by bundling a trade report, clearing instructions, etc., into a cryptographic ledger. The settlement system is also able to verify the source (e.g., broker, trader) of the order by using cryptographic hash functions. In some embodiments, a public/private key structure is used to validate whether transactions were made by a particular broker or trader. A validated, or matching, signature guarantees that a particular broker generated and authorized the order instructions. Consequently, brokers no longer require the opportunity to dispute order information in a trade and the traditional review period becomes unnecessary. If, however, the signature is not validated as matching, the trade falls back to the traditional three-day settlement process.

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Document History
  • Publication: Nov 3, 2016
  • Application: Aug 27, 2015
    US US 201514838290 A
  • Priority: Aug 27, 2015
    US US 201514838290 A
  • Priority: Apr 28, 2015
    US US 201562154001 P

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