Unknown Organization (20240233021). SYSTEM AND METHOD FOR SECURITIES FINANCE SMART CONTRACTS ON BLOCKCHAINS AND DISTRIBUTED LEDGERS simplified abstract
Contents
SYSTEM AND METHOD FOR SECURITIES FINANCE SMART CONTRACTS ON BLOCKCHAINS AND DISTRIBUTED LEDGERS
Organization Name
Inventor(s)
Edmon Blount of Washington DC (US)
SYSTEM AND METHOD FOR SECURITIES FINANCE SMART CONTRACTS ON BLOCKCHAINS AND DISTRIBUTED LEDGERS - A simplified explanation of the abstract
This abstract first appeared for US patent application 20240233021 titled 'SYSTEM AND METHOD FOR SECURITIES FINANCE SMART CONTRACTS ON BLOCKCHAINS AND DISTRIBUTED LEDGERS
Simplified Explanation:
The patent application describes a blockchain-based system and method for enforcing a smart contract on a network using cryptographically-signed blocks. This system allows the original lender or regulatory body to manage risk by tracing a security loan from start to finish. It also tracks the value of the loan collateral and automatically sends recall and stop trade orders if the collateral falls below a minimum threshold.
Key Features and Innovation:
- Blockchain-based system for enforcing smart contracts
- Cryptographically-signed blocks for security
- Risk management for lenders and regulatory bodies
- Real-time tracking of loan collateral value
- Automatic recall and stop trade orders
- Immutable and easily verifiable blockchain for verification and compliance
Potential Applications: This technology can be applied in financial institutions, lending organizations, regulatory bodies, and any industry requiring secure and transparent transactions.
Problems Solved: This technology addresses the challenges of managing risk in security loans, tracking collateral value, and ensuring regulatory compliance in financial transactions.
Benefits:
- Enhanced risk management for lenders
- Real-time tracking of collateral value
- Automated enforcement of smart contracts
- Improved transparency and compliance in transactions
Commercial Applications: Title: Blockchain-Based Smart Contract Enforcement System This technology can be used in banks, investment firms, insurance companies, and other financial institutions to streamline loan processes, reduce risks, and enhance regulatory compliance.
Prior Art: Readers can explore prior art related to blockchain-based smart contract enforcement systems in academic journals, patent databases, and industry publications.
Frequently Updated Research: Stay updated on the latest advancements in blockchain technology, smart contracts, and financial regulations to understand the evolving landscape of this innovation.
Questions about Blockchain-Based Smart Contract Enforcement Systems: 1. How does this technology improve risk management in security loans? 2. What are the key advantages of using blockchain for enforcing smart contracts in financial transactions?
Original Abstract Submitted
a blockchain-based system and method for enforcing a smart contract on a network comprising one or more cryptographically-signed blocks. the systems and method permit an original lender or regulatory body to manage risk by tracing a security loan from end-to-end. the system and method also dynamically tracks the value of the loan collateral and if the collateral falls below a predetermined a minimum collateral value threshold within a range of tolerance the system automatically transmits recall and stop trade orders to the relevant parties. in addition, as the chain of transactions grow, the system and method continue to add to an immutable easily verifiable blockchain which facilitates verification and regulatory compliance.
