Digital asset exchange system, digital wallet, and digital asset exchange architecture

Abstract

A digital asset exchange system, digital wallet, and digital asset exchange architecture are provided. The system for digital asset exchange includes an interface configured to receive a digital asset transaction request from a user, and a gateway configured to communicate with one or more exchanges to process the digital asset transaction request.

Description

[Technical Field]

[0001] The present invention relates to systems, digital wallets and architectures for digital asset exchange, particularly, but not exclusively, to systems, wallets and architectures incorporating same configured for digital asset exchange. [Background technology]

[0002] Digital assets such as cryptocurrencies have been gaining popularity in recent years. Investors, including those with little experience, are showing interest in investing in cryptocurrencies and using them for everyday consumption. Businesses are also exploring the option of using cryptocurrencies to raise capital and build business interests through initial coin offerings (ICOs).

[0003] Despite this interest, adoption of cryptocurrencies in consumer transactions has been slow. Cryptocurrencies have a misunderstood reputation within the existing legal and regulatory framework, creating a lot of confusion and resistance from consumers. Furthermore, the infrastructure behind cryptocurrency transactions often makes it difficult to use or lacks the substantial transparency that consumer investors expect. Even for consumer investors, tracking information about cryptocurrencies is difficult compared to regular securities, making cryptocurrency trading difficult. Summary of the Invention

[0004] According to a first aspect of the present invention, there is provided a system for digital asset exchange, comprising: an interface configured to receive a digital asset transaction request from a user; a gateway configured to communicate with one or more exchanges to process the digital asset transaction request; A digital asset exchange system is provided, including:

[0005] In an embodiment of the first aspect, the digital asset transaction request includes an exchange of the digital asset for a regular currency.

[0006] In an embodiment of the first aspect, the interface is further configured to receive at least one digital asset index.

[0007] In an embodiment of the first aspect, the system further includes a points service configured to execute a transaction involving points.

[0008] In an embodiment of the first aspect, the points have a predetermined value associated with a selected conventional currency.

[0009] In an embodiment of the first aspect, the points service exchanges points for digital assets or regular currency.

[0010] In an embodiment of the first aspect, the points service is further configured to realize payment or trading of points having a predetermined value associated with different conventional currencies between a plurality of users.

[0011] In an embodiment of the first aspect, the points service is further configured to facilitate cross-border payments or transactions.

[0012] In an embodiment of the first aspect, the digital asset exchange is configured to accept regular currency.

[0013] In an embodiment of the first aspect, when a digital asset exchange transaction is conducted, a digital wallet is generated for the user.

[0014] In an embodiment of the first aspect, the digital wallet includes a wallet identification code.

[0015] The wallet identification code preferably includes a key that is unique to each wallet and includes a private key paired with a public key that is selectively used by the wallet when a transaction is performed.

[0016] In an embodiment of the first aspect, the wallet identification code is presented in paper form.

[0017] In an embodiment of the first aspect, the system further includes an authentication module configured to authenticate the user.

[0018] In an embodiment of the first aspect, the authentication module is further configured to verify the user based on at least one of biometric authentication and identity card authentication.

[0019] In an embodiment of the first aspect, the authentication module includes at least one of a facial recognition camera, a fingerprint scanner, and an optical imaging device configured to scan a user's identification card.

[0020] In an embodiment of the first aspect, the system is further configured to interact with a user's digital wallet service to effectuate the transaction of the digital asset transaction request.

[0021] In an embodiment of the first aspect, a user's digital wallet service undergoes a compliance check before a digital asset transaction request is processed.

[0022] In an embodiment of the first aspect, the compliance check includes a review of past transaction history of the digital wallet service.

[0023] In an embodiment of the first aspect, the user's digital wallet service is a distributed ledger wallet.

[0024] In an embodiment of the first aspect, the gateway, upon processing the digital asset transaction request, is further configured to deposit holdings of digital assets owned by the user with a custodian configured to manage holdings of deposited digital assets.

[0025] In an embodiment of the first aspect, the deposited digital asset holdings have a market value associated with a predetermined value of points that are allocated to the user upon processing a digital asset trade request.

[0026] In an embodiment of the first aspect, the points service is configured to conduct transactions involving points without involving the holding of deposited digital assets managed by the management institution.

[0027] In an embodiment of the first aspect, the digital asset index is updated approximately every 15 seconds.

[0028] In an embodiment of the first aspect, the digital asset index is updated based on a weighted average of the reported prices of each of a plurality of constituent securities.

[0029] In an embodiment of the first aspect, the digital asset index is further associated with an index divisor that is adjusted based on updates to constituents after a predetermined cutoff date.

[0030] According to a second aspect of the present invention, there is provided a digital application for digital asset exchange, comprising: a distributed ledger wallet having at least a private key and a public key for recording digital asset transactions; a gateway that communicates with one or more exchanges to process digital asset trading requests; A digital application including:

[0031] In an embodiment of the second aspect, the digital application includes an interface configured to present at least one digital asset index.

[0032] In an embodiment of the second aspect, a digital application is configured to operate in conjunction with a digital asset exchange system according to any embodiment of the first aspect of the present invention.

[0033] According to a third aspect of the present invention, there is provided a digital asset exchange architecture, comprising: At least one digital asset exchange system according to any of the embodiments of the first aspect of the present invention; A points exchange module configured to exchange points for digital assets or conventional currencies; at least one exchange configured to conduct digital asset trading; a digital application according to any of the second aspects of the present invention; A digital asset exchange architecture is provided, including:

[0034] In a third aspect of the present invention, the points redemption module is further configured to effect digital payment at a physical point of sale associated with the points.

[0035] In an embodiment of the third aspect, the points redemption module comprises a digital payment instrument. [Brief explanation of the drawings]

[0036] Embodiments of the present invention will now be described, by way of example, with reference to the accompanying drawings, in which: [Figure 1] FIG. 1 is a block diagram of an example digital asset exchange architecture. [Figure 2A] An example diagram of a digital asset exchange machine (DAEM) [Figure 2B] FIG. 3B is a flow diagram of the DAEM of FIG. 3A in operation. [Figure 3] 1 is a screenshot of an example digital wallet. [Figure 4] FIG. 1 is a block diagram illustrating communication of an example digital asset index. [Figure 5] FIG. 2 is a block diagram illustrating a transaction between two users using the example architecture of FIG. 1. [Figure 6A]FIG. 1 illustrates an example of the manipulation of digital assets held in the public domain and tokens / points managed in the private domain, according to an embodiment of the present invention. DETAILED DESCRIPTION OF THE INVENTION

[0037] Referring to Figure 1, a block diagram of an example architecture for exchanging digital assets is shown. In this embodiment, the architecture includes a number of components, including one or more digital asset exchange systems 104, one or more digital wallets or digital wallet services 106, and one or more exchanges 102, which are specialized digital asset exchanges authorized to operate for trading digital assets, such as cryptocurrencies or other forms of cryptoassets, for other cryptocurrencies, conventional currencies (fiat currencies), commodities, securities, assets, or derivatives. As used herein, the term "conventional currencies" includes (fiat currencies,) commodities, securities, assets, or derivatives.

[0038] As shown, the exchange 102 is configured to communicate with at least one digital asset exchange system 104 configured to allow users to make digital asset trade requests, and preferably, after validation, the digital asset exchange system 104 can communicate with the exchange 102 to execute the trade.

[0039] In this example, digital asset exchange architecture 100 includes at least one digital asset exchange system 104, also referred to as digital asset exchange system 104 or digital asset exchange machine (DAEM) 104. DAEM 104 can be used by users to exchange digital assets or perform any digital asset transaction. Such transactions may include cash purchases or sales of digital assets using conventional currency (e.g., fiat currency), facilitating other forms of credit or debit, or purchases or sales with other assets or derivatives. DAEM 104 can also be configured to perform additional transactions that do not necessarily require exchange 102, such as transferring digital assets between multiple digital wallets belonging to different users or merchants.

[0040] In this example embodiment, a user may interact with the DAEM 104 by placing a trade order 120 with the DAEM 104. The trade order 120 may then be verified by some implemented security system, including a biometric scan or other form of authentication system to authenticate the identity of the user 122. Once the user is authenticated, the user's trade 120 request may be received for processing.

[0041] For example, the authentication module may be further configured to verify a user based on biometric authentication, such as verifying a user using a facial recognition camera or a fingerprint scanner, and / or based on identity authentication, such as scanning the user's identity document (e.g., ID card, passport) using an optical imaging device or scanner. The authentication module may also read text using OCR methods to extract text information from scanned documents, for example, as image text input for processing digital asset transaction requests or for other purposes. Advantageously, the authentication module may fulfill compliance requirements with know-your-client (KYC) guidelines and / or anti-money laundering (AML) policies in financial services.

[0042] Alternatively, interaction with the KYC process can be performed on the user's device rather than the DEAM 104. For example, all required documents can be scanned and / or uploaded using the ixWallet application, and biometric-based user identity authentication can be performed by authenticating with the ixWallet application and / or using a security module on the user's device. In this embodiment, the authentication module can request the user to use their device to scan a dynamic QR code displayed on the DEAM and then authenticate with the client device using the ixWallet application. Successful authentication using the ixWallet application notifies the authentication module, after which the user can continue operating with the DEAM 104. This has the advantage of allowing users to update or upload documents required for KYC purposes more frequently and conveniently, which may be preferable for some users who prefer to store only sensitive information on trusted devices.

[0043] Some transaction requests 102 require the user to provide details of a digital asset wallet. The digital asset wallet may be a cryptocurrency wallet 106 that records digital asset transactions for a specific, unique account. This digital wallet, in some instances, operates with a unique public / private key pair that is selectively shared when a transaction is required, and the digital wallet maintains a ledger of transactions. Preferably, as in the case of certain cryptocurrencies, the ledger is distributed, i.e., decentralized, and stored in a distributed system such as a blockchain. Preferably, the cryptocurrency wallet 106 or ixWallet application does not need to record or store cryptocurrency transactions, as all completed transactions are recorded on the blockchain ledger; the wallet 106 can simply display transactions recorded on the blockchain upon request.

[0044] Wallet 106 may also be checked for security or compliance purposes, in some instances, by module 124 configured to check the wallet's public key or address history to determine whether the wallet has been involved in illegal or suspicious transactions and generate these alerts for review or termination of transaction request 120 as necessary.

[0045] The trade request 102 may then be cleared at one or more exchanges, and the DAEM 104 sends the trade request to one or more exchanges 102 for clearing. Once cleared, according to the specific clearing requirements of the particular cryptocurrency, the user is notified of the completion of the trade 120 and their digital wallet 106 is updated.

[0046] As shown in this architecture 100, a user may purchase cryptocurrency with regular currency or other assets on the DAEM 104. This may be done by providing cash or using other credit or debit facilities (e.g., using a credit card or electronic payment system). A conversion rate may be applied at the time, and a trade request 120 may be sent to an exchange for clearance so that the user can purchase the cryptocurrency. In this example, the DAEM 104 may be implemented with a payment module 126 or device configured to accept cash, credit card details, or bank account details for payment. This payment module 126 may be configured to accept all types of payments, including cash, and thus may have a cash counting device. The payment module 126 may also have NFC / RFID or contactless payment facilities, as well as credit / debit card readers, account scanners, and keypads for account entry.

[0047] In some instances, a new user may not have a digital wallet 106, as the idea of ​​digital wallets may be new to some new investors in digital assets and cryptocurrencies. In such instances, the DAEM 104 may be able to generate a new digital wallet 106 for the user upon request. To provide the user with the new digital wallet 106, the DAEM may print or send the user a code that serves as the user's identification for the new digital wallet 106. This new code can be used for subsequent transactions with the just-purchased cryptocurrency. The DAEM 104 may print a copy of this code on a piece of paper, providing what is known as a "paper wallet." The purpose of this wallet 106 is to allow the user to present the "paper wallet" in their next cryptocurrency transaction. This is particularly advantageous for users who are new to cryptocurrency, as they may need to perform specific one-off transactions with their cryptocurrency. Such users may not need to maintain their cryptocurrency digital wallet 106 in the long term, but they can purchase cryptocurrency with a basic one-time transaction with regular currency, allowing the user to facilitate subsequent transactions with their cryptocurrency for desired goods and services.

[0048] In another example embodiment, the DAEM may also be subject to specific account opening procedures for specific features that require compliance with government or legal requirements. In these examples, if a user wishes to use the DAEM for these specific services, the DAEM may be configured to receive identification details or other information as needed from the new user before the DAEM establishes the new user's account. This information may be submitted for validation at an approved or government-run exchange so that the initial stages of account opening can be performed.

[0049] As shown in this example architecture, a digital wallet or digital wallet service called ixWallet or ixWallet 106 is also provided. In this example, ixWallet 106 is a distributed ledger wallet that allows users to maintain holdings of digital assets. ixWallet 106 is configured to operate with one or more different digital assets and can implement interfaces that present different functionalities for users, including interactive features that allow users to perform transactions with digital assets as well as check balances for different digital assets. Security technologies such as end-to-end email / file encryption and a digital signature system that utilizes a proprietary API as the underlying cryptosystem to ensure security against cyberattacks from both classical and quantum computing may also be implemented to ensure the security of the digital wallet. Such technologies may be advantageous, similar to the use of code-based cryptography to maintain security despite developments in quantum computing technology.

[0050] As shown in Figure 1, both the DAEM 104 and ixWallet 106 are implemented to present at least one index 130 to the user. This information is useful because it allows the user to track the performance of their digital assets in near real time. This index 130 may be displayed as a chart on the DAEM 104 interface or within the ixWallet 106 screen. The updating and creation of the index 130 is further described with reference to Figure 4.

[0051] Preferably, the architecture 100 includes an ixPoint system 108 that enables the collection, purchase, sale, exchange, or trading of points, also referred to as ixPoints. In this example embodiment, ixPoints or points operate as a form of digital currency that can be used like regular currency to exchange for goods, services, or assets, as well as being used as a medium of exchange, settlement, and remittance with exchanges 102, individuals, merchants, banks, governments, etc. ixPoints can be structured as a commonly recognized currency and can even be artificially created to have the same value (1:1) as a local currency, such as the Hong Kong dollar, to increase their ease of use and adoption.

[0052] For IxPoints to be a recognized, freely usable digital currency, they could operate on a blockchain system such as the ERC-20 standard and use the same blockchain system. It may also be necessary for the points to be controlled, at least in part, by a centralized authority such as a monetary authority or central bank. While various structures can provide this centralized control as needed, in one example, the IxPoints system could operate within a layered framework. The first layer involves the use of blockchain technology to realize the operation of the currency and a ledger that tracks currency transactions. This first layer could then create the "coin" aspect of the IxPoints system that enables exchange.

[0053] Furthermore, the underlying technologies on which the ixPoint service is built may include Hyperledger and Corda, and the entire ixPoint system may be equipped with post-quantum computing security technologies, although even future quantum computers will not be able to hack into all parts of the system.

[0054] Preferably, ixPoint may be a cryptocurrency issued by an operator of a system such as ixFintech, and it is desirable that it be a stable coin whose value is strictly fixed at 1:1 against the Hong Kong dollar. ixPoint offers the advantages of both the Hong Kong dollar such as creditworthiness and blockchain technology such as real-time transparency. Alternatively, ixPoint may be converted at a face value or multiplier of 1, 10, 100, or 1000 (or other denominators / multipliers) from the digital assets of its home country to accommodate currencies around the world as needed.

[0055] Alternatively, ixPoint may be pegged to other local currencies and there may be other exchange rates. For example, the rate is expected to be limited to a narrow range. For example, it is between HK$0.98 per ixPoint and HK$1.02 per ixPoint (0.99 < X < 1.01). If there is an exceptional demand for ixPoint, it can reach HK$1.01, and when this upper limit is reached, IX Fintech Group uses it to short sell in the market. Conversely, if there is an exceptional supply of ixPoint, IX Fintech supports ixPoint at the lower band of 0.99 at HKD1 = ixPoint. Initially, assume that since the circulation of each ixPoint is supported by actual HKD1, there is always sufficient cash in the system to buy back and support ixPoint.

[0056] Note that it is necessary to pay attention that the exchange rate may change due to factors such as market fluctuations caused by transactions between the owners and users of ixPoint. For example, the rate may also change when a fairly large number of ixPoints are sold or purchased, or due to blockchain delay problems. For example, if the processing of a large number of ixPoint transactions on the blockchain is significantly delayed, the number of ixPoints in the market decreases and the peg rate drops.

[0057] Because stablecoins are tied to digital assets, ixPoint allows users to transfer ixPoint to other accounts. Furthermore, there is no identity difference in the ixPoint system, as both customers and businesses are considered ixPoint users. Furthermore, users can use ixPoint in ixWallet to purchase goods and services from ix or other merchants and businesses. Other merchants and businesses can also use the ixPoint system to collect payments from customers, and ixPoint can be instantly exchanged for other digital assets on our exchange or can be obtained by selling other digital assets.

[0058] Furthermore, users can transfer ixPoints to accounts in other countries / regions and exchange them for logo currencies to achieve wider cross-border remittances. Customers can exchange local and foreign currencies via ixPoints on DAEM. Simply buy ixPoints with one currency and go to another machine to sell ixPoints to obtain another currency.

[0059] The second layer can complement this first layer using a centralized system or a private blockchain with merchants, exchanges, banks, government agencies, or central monetary authorities to track each "coin" and each associated transaction. This second layer can provide backing value to the digital currency while also reducing the costs of publicly blocked transactions and delays in completing transactions.

[0060] These points may be considered a form of digital asset or digital currency, as they may be accumulated, purchased, or exchanged through transactions using DAEM 104 or ixWallet 106 or an approved transaction system. These points may then be used as currency for the purchase of goods or services with utility companies, government departments, banks, professional service providers, individuals, or merchants 110, or as a method for effecting foreign exchange transactions or international remittances, as described below with reference to FIG. 5.

[0061] Preferably, the ixPoint system 108 is implemented so that each point can be exchanged for each unit of local currency (e.g., each Hong Kong dollar if the system is operated in Hong Kong). Maintaining this constant exchange rate may enable adoption and use as a complementary reward system or currency.

[0062] Thus, architecture 100 may operate as a comprehensive solution for digital asset experience and adoption by various users. As shown, the components work together to manage digital asset transfers, digital asset creation, and digital asset destruction, as well as digital asset value management, digital asset holding reporting, digital asset linking with merchants, and payments via regular currency (e.g., cash) and points such as ixPoint. This allows the architecture to manage Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements while also executing foreign exchange (FX) transactions. This architecture is also advantageous because it potentially allows financial instruments to be linked to crypto indexes, such as the ixCrypto Index, by providing a token for the financial asset, such as an index fund token.

[0063] Additionally, examples of the DAEM 104 and ixWallet 106 can be used together or separately. DAEM 104 may allow users to insert cash (regular currency) to purchase digital assets or sell digital assets to obtain cash. An example of the ixWallet 106 may allow users to perform foreign exchange (FX) to transfer digital assets with other users or merchants and view digital asset holdings on a distributed ledger. Preferably, ixWallet 106 may also provide functionality that allows users to view a Cryptocurrency index 130, such as the ixcrypto index level. This can provide convenience to users because transactions to send funds overseas, to other agents, or to merchants can be completed in a short time (e.g., 30 minutes) rather than one to two days with a bank.

[0064] 2A and 2B, an example embodiment of a digital asset exchange system 104 is shown, which includes: an interface 202 configured to receive a digital asset transaction request from a user; The gateway, preferably interface 202, configured to communicate with one or more exchanges to process digital asset trade requests 120 is further configured to present at least one digital asset index 130. This system may also be referred to as a Digital Asset Exchange Machine (DAEM) 104.

[0065] As shown, the home screen 202 of the machine 104 displays a cryptocurrency index 130 called the ixCryptoIndex. The index 130 is determined and calculated to reflect the overall performance of the cryptocurrency market and provides guidance on the performance of digital assets.

[0066] Preferably, clients will be able to trade not only cryptocurrencies but also other types of digital assets, including real asset tokens (asset-backed tokens), stablecoins or stablecoin tokens offered by tokenization service providers such as ixFintech.

[0067] DAEM104 may support other payment methods and may have all KYC functionality for regulatory requirements, allowing DAEM104 to be used as a transaction point, using both regular currency and digital assets for government, utility, personal or merchant related services.

[0068] DAEM 104 will preferably have three levels of security protection to enhance protection from current and future hacking techniques.

[0069] In one example of the operation of the DAEM 104, the system 104 may be configured to allow users to exchange (buy and sell) digital assets for regular currency. This operation may follow the following steps:

[0070] Step 1: A customer can view prices and identify one or more digital assets of interest in DAEM 104.

[0071] Step 2: The customer inserts cash into the DAEM 104 or provides a credit or bank facility.

[0072] Step 3: The customer confirms the purchase of the digital asset in their digital wallet, such as ixWallet 106, or the customer uses a printed QR Code® voucher to later redeem the digital asset at the DAEM 104. This printed voucher is called a "paper wallet."

[0073] Step 4: The customer may receive an SMS and an email as a record of the transaction.

[0074] A similar set of procedures applies to the sale of digital assets, with cash being disbursed or transferred to a predetermined account by the DAEM 104. Accordingly, the DAEM 104, when operating within an architecture for exchanging digital assets, may provide one or more of the following functions, without limitation: 1. List new cryptocurrencies and tokens and make them available for trading. 2. Open a paper wallet account for your digital assets. 3. Exchange cash for cryptocurrency (buying and selling cryptocurrency through machines). 4. Exchange cash for real-asset-backed tokens (buying and selling tokens through machines). 5. Exchange cash for security-backed tokens (buying and selling tokens through machines). 6. Exchange cash for other digital assets (buying and selling tokens mechanically). 7. Buy digital coupons and tickets. 8. Purchase IX Points at IX Point = 1 HKD (so IXPoint can act as an example of a stable coin). 9. Redeem IX Points for coupons or cryptocurrencies / tokens, or payments with merchants. 10. Digital asset remittance to other countries / regions (this is similar to DAEM when used in conjunction with ixWallet106 and the DAEM webpage, but implemented virtually via a website or app). 11. Currency exchange using digital assets as an intermediary service (when used in conjunction with ixWallet106 and DAEM104 or DAEM web pages). 12. Display of performance of ixCrypto Index or other index 130. 13. Advertising screen on the display panel of DAEM104. 14. QR Code (registered trademark) generation and reading. 15. KYC function with fingerprint, passport, HKID scanning and OCR capabilities. 16. Post-quantum computing cryptography - code-based cryptography. 17. Providing credit, financing or loan services, whereby users provide identification and proof of asset ownership or guarantor, after which DAEM will pay out regular currency, cryptocurrency or IXpoints. 18. Providing government services, including welfare or social security payments, tax payments or refunds, and fine or allowance payments, which allow users to provide identification for the settlement of government-related payments using regular currency, cryptocurrency, or Ixpoint. 19. Making payments or refunds to merchants or utility companies using regular currency, cryptocurrency, or Ixpoints.

[0075] Referring to Figure 3, an example embodiment of a digital asset exchange digital application 300 is shown that includes: a distributed ledger wallet configured to operate with at least a private key and a public key to record digital asset transactions; a gateway configured to communicate with one or more exchanges to process digital asset trading requests; Here, the digital application preferably includes an interface for presenting at least one digital asset index 130 .

[0076] As shown, the digital wallet 106 is configured to track digital asset transactions, thereby enabling digital asset owners (users) to track the digital assets they own. The digital wallet 106 operates as a distributed ledger, containing private and public keys (or addresses) shared during transactions to identify user accounts and enable the ledger to be updated through a distributed process. The application 300 that provides this digital wallet 106 or ixWallet is preferably an app running on a computing device, such as a smartphone, and configured to communicate with the distributed systems for the various cryptocurrencies tracked by the digital wallet 106. This communication allows the digital wallet 106 to track the ledger, and therefore the amount of each digital asset that a user may hold.

[0077] The app 300 is preferably implemented to provide the ability to transfer digital assets to other digital wallets. In this example, the digital wallet 106 is not implemented to communicate directly with an exchange to allow the exchange of digital assets for other currencies or other digital assets, although such implementations may be implemented. Instead, the wallet 106 is connected to the DAEM 104 shown in Figures 2A and 2B and configured to execute the necessary transactions through the exchange or ixPoint system. It is important to note that the DAEM 104 may also be present and may operate as a service on a computing device or as a cloud service.

[0078] As shown, the app 300 also includes an interface that displays one or more cryptocurrency or digital asset indices 130. When running on the DAEM 104, the following functionality may be implemented:

[0079] Distributed Ledger Wallet - ixWallet106 is a distributed ledger wallet, meaning it is decentralized, meaning all your digital assets are stored on the blockchain, but not in your wallet.

[0080] Cryptos and Tokens - ixWallet106 allows users to manage not only cryptocurrencies but also other types of digital assets, including real asset tokens offered through ixFintech's tokenization service.

[0081] ixCrypto Index. The ixCrypto Index is displayed alongside cryptocurrency prices and is a Hong Kong-specific cryptocurrency index that aims to reflect the overall performance of the cryptocurrency market.

[0082] Check balances and transfers. Customers receive real-time updates on their digital asset account balances and can easily transfer funds to other users or other digital wallets.

[0083] Security. ixWallet106 also has security features to prevent hacking and false authentication. Potential technologies used include the aforementioned end-to-end email / file encryption and digital signature security.

[0084] In this example, referring to Figure 3B, an application 300 representing ixWallet 106 is configured to allow a user to view balances and perform digital asset transfers to other digital wallets. Functionality of an example digital wallet includes: IxWallet106 is a distributed ledger wallet. Registered users can receive real-time updates on their digital asset accounts. Users can transfer Bitcoin, Ethereum to other cryptocurrency wallets and may also be adapted to perform blockchain transfers. IxWallet106 incorporates post-quantum computing technology for security.

[0085] Users can check their digital asset balances. Users can see the performance of 130 indices, such as the ixCrypto index (pending launch of futures and options).

[0086] Thus, an example digital wallet may perform one or more of the following functions, without limitation: 1. Redeem IX Points for coupons, cryptocurrencies / tokens, or payments with merchants. 2. Block transaction notifications and alerts. 3. Generate QR Code (registered trademark) for collection and remittance functions. 4. Currency exchange using digital assets as an intermediary service (when used in conjunction with DAEM104 and / or DAEM104 Virtual Services).

[0087] 4, the DAEM 104 and digital wallet 106 are configured to receive a cryptographic index 130 called ixCrypto. This index 130 is initially obtained by a cloud-based service 400, which can obtain the necessary index calculation data (e.g., prices of a basket of digital assets) from various exchanges or global information vendors 402. This information can then be used to calculate the index 130, which can be transmitted to both the DAEM 104 and the digital wallet 106 for user access.

[0088] As shown in FIG. 4, the calculation of the index 130 begins using a cloud-based storage service 400, such as AWS Storage, that is programmed to perform the following steps. 1) The IX requests data from Source 1 (obtaining different exchange data for each constituent cryptocurrency and pair, or multiple exchanges of multiple coins in multiple pairs, in accordance with internal operating rules and guidelines). 2) The Source 1 vendor sends a signal back to the IX via an API (in the form of one API on Source 1). 3) IX gets data from Source 1.

[0089] If Source 1 is unavailable, trigger a contingency plan to retrieve data from Source 2 (in the form of a second API on Source 2).

[0090] The calculation of the index 130 can then be performed by the following steps:

[0091] The program calculates the index 130 and disseminates the index 130 periodically, preferably every 15 seconds, or in other possible embodiments at any suitable interval.

[0092] As part of the service of obtaining the data, a fee 404 may be paid to the data source (eg, Nasdaq Data Fee).

[0093] There are various ways to calculate the Index 130, but the following example process and criteria are recommended:

[0094] First, we consider the eligibility of the Index 130 constituents, preferably including cryptocurrencies from around the world that meet both of the following eligibility criteria: (a) the cryptocurrency must meet the definition of a cryptocurrency, and (b) the cryptocurrency must be publicly traded and actively traded on at least two exchanges.

[0095] Preferably, cryptocurrencies will be eligible for inclusion if they meet the following market capitalization (MC) ranking and liquidity screening selections:

[0096] A market capitalization ranking will be considered, in which the cryptocurrency should be in the top n% of free-floating adjusted market capitalization ("Adjusted MC"), where n represents the total percentage after including the last eligible cryptocurrency, and such percentage shall in no case be less than 80%.

[0097] The liquidity screening process requires cryptocurrencies to be ranked in the top 25 by 90-day average trading volume, and if any cryptocurrency in the top N rankings by adjusted MC is unable to meet the liquidity requirements, it will be kicked off and replaced by the next one or more eligible cryptocurrencies until the total coverage exceeds 80%.

[0098] Cryptocurrencies that meet all of the above eligibility requirements will be considered for inclusion in the ixCrypto Index (IXCI). The final selection may be decided by platform operators such as IX Asia after taking the above criteria into consideration.

[0099] In a preferred embodiment, the number of constituents is variable and may be changed after a quarterly review if the above conditions are met.

[0100] To maintain the neutrality and fairness of the index, ixCrypto Index constituents may exclude coins managed or operated by entities with conflicting interests with the index, which may include cryptocurrency exchanges, cryptocurrency funds, etc.

[0101] Desirably, the digital asset index may be updated according to an index review procedure and / or changes in the constituents of the digital asset index. For example, the digital asset index may be updated based on a weighted average of the reported prices of multiple constituents, which may be further associated with an index divisor adjusted based on updates to the constituents after a predetermined cutoff date. The index divisor is used to calculate the digital asset index.

[0102] For example, a platform operator such as IX Fintech may conduct regular quarterly reviews of IXCI constituents with data cut-off dates at the end of March, June, September, and December each year. The review dates for HKT are the last weekday of March, June, September, and December each year. Quarterly reviews may be completed within three weeks after the end of each calendar quarter. Each review may or may not result in the addition or deletion of constituents. Eligible candidates will be selected as constituents for ixCrypto according to the following rules:

[0103] The first rule may include a "buffer rule." A 5% buffer zone is set for market capitalization to avoid frequent changes in constituent stocks. This means that, with regard to the adjusted MC, reconstitution is only necessary if the sum of constituent weights falls below 75%. The buffer rule is combined with liquidity requirements when coverage falls below 75% or the 90-day average trading volume of existing constituent stocks falls below the top 25. Reconstitution for selecting new constituent stocks is carried out according to the above principles.

[0104] Constituent changes are announced on the second Friday after the cut-off dates for March, June, September, and December.

[0105] The effective date for constituent changes is the third Friday after the cut-off dates for March, June, September, and December.

[0106] If the first Friday after the cut-off date is a public holiday, the announcement date and effective date will be postponed by one week, i.e., the announcement date will be the third Friday and the effective date will be the fourth Friday.

[0107] The second rule may include a "fast entry rule." At any time, a new cryptocurrency may be added if it meets the following requirements for five consecutive days: (a) it ranks in the top two by daily trading volume, (b) its market capitalization exceeds 30% of the total market capitalization, and (c) fast entry is typically implemented after the close of trading for 10 business days.

[0108] The third rule may include a "constituent expansion rule." After the expansion, new constituents will be included based on market capitalization ranking and liquidity screening. However, if there are multiple cryptocurrencies that are not included due to the above-mentioned prohibition on changes, the new constituents will be reconstituted in accordance with the above principles to include new constituents with larger market capitalizations and satisfy the liquidity screening.

[0109] The calculation of the Digital Asset Index or IXCI is further described as follows:

[0110] All constituents may initially be weighted by their adjusted MC. To avoid overweighting, the maximum weighting for any constituent is 40% of the index's adjusted MC (Cap). If a constituent exceeds the Cap, its weight is reduced to the Cap and the excess weight is reallocated to all other constituents.

[0111] For example, the initial weights are: [Table 1]

[0112] In the cap adjustment, the weight of each of the components A to E is calculated using the following formula.

number

[0113] For example, the adjusted weights are: [Table 2]

[0114] Therefore, the Index level can be calculated using the following formula:

number

[0115] In the above formula, the Cap Factor can be calculated as follows:

number

[0116] Furthermore, the Initial Divisor can be calculated as follows:

number

[0117] Preferably, platform operators such as IX Fintech may conduct regular quarterly index rebalancing of IXCI constituents with data cutoff dates of the end of March, June, September, and December each year, with the announcement and effective dates coinciding with the reconstitution dates as described above.

[0118] As previously mentioned, a digital asset index may further be associated with an index divisor that is adjusted based on constituent updates after a given cutoff date. For example, if a constituent changes, the divisor is recalculated using the new constituents:

number

[0119] These examples of how the Index 130 is calculated are advantageous because they are calculated to reflect the performance of the cryptocurrency market. The Index 130 is designed to be easy to understand while still providing a fair representation of the cryptocurrency market. It aims to cover the top 80% of the cryptocurrency world's cumulative free float market capitalization, as well as the top 25 by trading volume over the 90 days prior to the review date. The Index may also be subject to a quarterly index review limit of 40% for any single member, and is transparently open and auditable by design.

[0120] Referring to FIG. 5, the points service may further enable payments and transactions of points having predetermined values ​​associated with different conventional currencies between multiple users, such as cross-border payments and transactions. For example, a user may use the digital asset exchange architecture 100 to perform foreign exchange and remittance functions. As shown in the figure, a user 502 in a first location, such as Hong Kong, may first purchase cryptocurrency, such as Bitcoin, through the DAEM 104 described above with reference to FIGS. 2A and 2B with conventional currency (Hong Kong dollars) or other assets (506). The user 502 may then exchange Bitcoin (or other digital assets) for points (or ixpoints) through the ixPoint system 108 (508). The points may then appear in the digital wallet 106 of the user A 502.

[0121] These points may be transferred (509) to a second user B 504 in Thailand via use of user A's 502's digital wallet 106. If the transfer is successful (509), user B 504 will have the points in their digital wallet 106. User B 504 can then use their digital wallet to convert (510) the points back into digital assets such as cryptocurrency or bitcoin, and, if desired, convert the digital assets back into their home currency (Thai Baht) via the DAEM 104 in Thailand (512).

[0122] In this example, the foreign exchange transaction is completed without substantial delay. Converting cryptocurrency into ixPoints (508), as provided by the ixPoint system 108, enables easy and predictable transactions (510) from one currency (Hong Kong Dollars) to a second currency (Thai Baht) and vice versa. Because foreign currency transfers are not substantially different from customary methods involving fiat FX rates for regular or local currencies, the conversion is easy and predictable. For example, in an example where digital asset value locked in ixPoints in HKD needs to be exchanged for digital asset value locked in ixPoints in THB, the ixPoints calculated in HKD can simply be converted or exchanged into ixPoints THB according to the statutory FX rate at the time the conversion is processed, and the ixPoints can then be seamlessly transferred from User A in Hong Kong to User B in Thailand.

[0123] 6A and 6B, an example of the operation of digital assets held in the public domain and tokens / points managed in a private domain is shown, in accordance with an embodiment of the present invention. As previously mentioned, digital asset holdings are in fact "cryptocurrency" owned by users, transactions are recorded in a distributed system such as a blockchain or other distributed ledger, and in some cases, updating records in a public domain distributed system can be complex and time-consuming. Therefore, for transactions involving cryptocurrency, it may be desirable to avoid updating a public domain distributed ledger and instead "spend" the cryptocurrency, as it would be desirable to make payments in real or regular currency, or even to use local currency.

[0124] According to an embodiment of the present invention, a system and method for high-frequency, cost-free digital asset trading is provided. The described method and system use a permissioned blockchain or Distributed Ledger Technology (DLT) network. Participants in a permissioned blockchain are known and trusted by the rest of the network, allowing for higher speeds and throughput than permissionless chains. Unlike proof-of-work blockchains such as Bitcoin and Ethereum, the system may use a practical Byzantine Fault-Tolerant consensus algorithm to establish transaction finality. There are no mining or transaction costs, and smart contracts can be run at a much larger scale than open blockchains.

[0125] Preferably, in processing a digital asset transaction request, the DEAM's gateway then deposits the user's digital assets with a management institution configured to manage the deposited digital asset holdings, and then allocates the user a corresponding value of points / tokens, similar to the aforementioned ixPoints. The user then conveniently uses the ixPoints to make payments in local currency, and any subsequent consumption / accumulation of ixPoints may be recorded only in a private domain, such as a private server managed by the service provider or the operator of the point service system. In this example operation, the point service simply records transactions in points without interfering with the deposited digital asset holdings managed by the management institution. However, because the ixPoints represent a value consistent with the user's actual digital asset holdings deposited with the management institution, observing the balance of available ixPoints also reveals the balance of the user's digital asset holdings in local currency or other conventional currencies in the user's ixWallet.

[0126] Preferably, a combination of a decentralized private chain and a centralized system will be used to realize ixPoint's multiple identities and functions. Here, the inventors also refer to such a system as an IOU ("I Owe U") system. For example, a business such as ixFintech could build a private blockchain to mint and burn ixPoints as well as to store the final record of all ixPoint transactions. Because the blockchain system is transparent and immutable, ixPoints have the same advantages as other cryptocurrencies.

[0127] ixPoint transactions use a temporary IOU method in the first stage. Because transactions on public blockchains typically take time to progress (e.g., minutes on ERC20 chains and hours on Bitcoin chains), the transaction is first recorded by an IOU, and the transaction is completed immediately, similar to other payment methods such as payment systems that may be used at physical point of sales (POS).

[0128] Businesses can also set a daily settlement time to settle all transactions on the same day, and record all IOU transactions on the blockchain system, making these records permanent and immutable.

[0129] The architecture for exchanging digital assets may be utilized as a complete ecosystem where all products and services can be purchased with ixPoint and people can easily exchange and transfer currencies through ixPoint, which is backed or tied to digital assets managed by a custodian.

[0130] For example, in the previous embodiment of FIG. 5 in which a cross-border payment or transaction may be completed using the digital asset exchange architecture 100, upon receiving a request from User A 502 in Hong Kong to transfer a certain amount of ixPoints (508) in User A's digital wallet 106 to a second User B 504 in Thailand, the system would only record the change in the balance of ixPoints (508) in both users' digital wallets as they completed the broader transaction without intervening the actual holdings of the digital asset deposited with the custodian, potentially eliminating delays due to blockchain updates associated with cryptocurrencies.

[0131] User B 504 can then choose how to use / convert the points in their digital wallet 106. For example, they can maintain a balance of ixPoints with a market value mirroring the ixCrypto index, in which case their holdings of escrowed digital assets managed by the custodian remain unchanged. Alternatively, User B can convert their digital assets back to their home currency (Thai Baht) via a DAEM 104 in Thailand (512), after which the system will proceed to burn the ixPoints for withdrawal of Thai Baht or other currencies of the same market value; burning requests are described later in this disclosure.

[0132] If User A or User B decides to sell their cryptocurrency and the new owner of their digital asset holdings is not a user of the ixPoint / ixWallet system, the digital asset holdings / cryptocurrency transaction will be completed by updating the actual blockchain, and then the deposited digital asset holdings amount corresponding to the value of the ixPoints being sold will be released from the public domain management authority after completing a burn request similar to the local currency withdrawal example.

[0133] Preferably, the points redemption module is further configured to enable digital payments at physical points of sale associated with the points by utilizing one or more digital payment means that may be deployed or used at various physical points of sale, such as, for example, securities firms and banks in the financial sector, street vendors, restaurants and vending machines in the food and restaurant sector, shops, malls or supermarkets in the retail sector, and also for payments at tourism and hospitality or possible services.

[0134] To enable digital payments, digital payment instruments such as terminals or kiosks can be installed to scan and receive payment requests from users. For example, when purchasing goods or services, a user can scan a merchant's QR code or show the QR code to the merchant to complete the payment. Alternatively or optionally, hardware such as RFID / NFC readers and appropriate software can be used to read payment information from a payment card or smartphone application, similar to other contactless payment systems.

[0135] It should be understood by those skilled in the art that transactions conducted through the system may involve any type of digital asset, including transfers of crypto or digital currency (e.g., Bitcoin, virtual amounts of fiat currency, tokenized assets on a blockchain, etc.). That is, the methods and systems described herein may be applicable to transactions of any type of digital asset. While the system may be described with respect to transfers of digital currency, the techniques described herein are therefore applicable to transactions of any type of digital asset.

[0136] Referring to FIG. 6A, to use the system 600, a user 601 can transfer their digital asset holdings, originally residing on another blockchain 611, to the system operator's custodian 602 through a user device 610 (e.g., a crypto wallet) or using a DEAM (e.g., a multi-signature wallet, DAO, or vault smart contract), an entity that holds an amount of assets equivalent to a tokenized copy (token) in the system. An equal amount of tokens 620 pegged to the value of the original digital asset are minted in the system in a private domain. The system can continue to monitor transactions within the blockchain network 611, and once a transaction is confirmed with sufficient confirmations (e.g., proofs) on the blockchain, the tokens 620 minted in our system are unlocked and can be used in a loyalty system independent of the blockchain or distributed ledger.

[0137] If token 120 needs to be converted back to its original digital asset, referring to Figure 6B, user 601 can send a request to burn token 620 to custodian 603, and a smart contract within system 600 can be generated using his device 612 (a mobile app or web-based system that can call the API of system 600). After the burn request is committed, the digital asset holdings can be released from reserve custodian 602 to user device 610 (the user's preferred address to receive their digital asset holdings) via the public blockchain network.

[0138] In this example, a user who owns a token representing a digital asset can freely transfer ownership to another user on the system at any time by submitting a transaction request to the system, where the transaction can be executed on a system that can use a practical Byzantine fault-tolerant consensus algorithm to establish transaction finality.

[0139] Preferably, the system 600 can use a practical Byzantine Fault-Tolerant (PBFT) consensus algorithm to establish transaction finality. In particular, PBFT is a voting-based consensus algorithm that: Byzantine fault tolerant: As long as a minimum percentage of nodes are connected, operating normally, and acting honestly, the network remains live and secure even if some nodes are faulty or malicious. Non-forking: Unlike lottery-based consensus algorithms such as Proof of Work (PoW) and Proof of Elapsed Time (PoET), blocks committed by nodes are final. Leader-based: A primary node (Leader) is elected and is responsible for generating candidate blocks, and secondary nodes (Followers) vote for the blocks generated by the primary node. The leader change is done in a round-robin order. Communication-intensive: Nodes send many messages to reach consensus, commit blocks, and maintain healthy leader nodes.

[0140] Advantageously, the methods and systems discussed herein may increase interoperability between different blockchains, as many blockchains have their own token standards (e.g., ERC-20 for Ethereum, NEP-5 for NEO), essentially allowing the underlying token to go cross-chain by converting the digital asset into a tokenized version supported by a different blockchain.

[0141] Furthermore, because public blockchains like Bitcoin are slow and expensive to use, this system has the potential to effectively reduce transaction times and fees. By creating tokenized copies of digital assets held in the system's private domain, such as fiat currencies or mirror coins, non-native tokens can be transferred in the same place with faster transaction times and no fees.

[0142] Furthermore, because both ixPoint and other digital assets are built on the blockchain network, it is more convenient for investors to purchase digital assets via ixPoint. The value of ixPoint is embedded in the case, which acts as a medium for investors to purchase digital assets. Advantageously, investors can buy and sell digital assets by simply buying or selling ixPoint or fiat currency.

[0143] Furthermore, embodiments of the present invention transform the traditional financial environment into a Fintech ecosystem. The ixPoint service has many advantages over traditional fiat currency and blockchain technology, and the ixPoint Mirror Coin solution also solves multiple problems related to finance in daily life, such as everyday microtransactions, digital assets, and securities.

[0144] These embodiments may also be advantageous in that they provide a local currency-based fiat coin system that mirrors decentralized blockchain-based coins or cryptocurrencies. The ixPoint system enables payments / transactions using cryptocurrencies linked to a user's digital wallet, whereby when a specific value of cryptocurrency is deposited into the exchange platform, ixPoints are allocated to the user's digital wallet, and the ixPoints represent the real-time market value of the deposited cryptocurrency in local currency, managed by an administrative institution separate from the IXPoint platform.

[0145] Subsequent transactions involving the digital wallet only involve the allocated ixPoints, and not the deposited cryptocurrency managed by the custodian, making the transaction much simpler and faster than dealing with actual cryptocurrency, as the blockchain associated with the cryptocurrency does not need to be updated until the deposited cryptocurrency is further traded, withdrawn, or transferred by the user. ixPoints are centralized fiat coins stored in digital wallets and managed by the IX Point System, mirroring their decentralized blockchain-based counterparts.

[0146] Furthermore, embodiments of the present invention also provide a unique clearance methodology to absorb cryptocurrency price fluctuations and realize transactions using cryptocurrencies. In particular, since the ixPoint system synchronizes IX Points in digital wallets in real time, or at least periodically, according to the current value of cryptocurrencies, ixPoints mirror the true current value of the deposited cryptocurrencies managed by the custodian, allowing users to flexibly use the mirrored cryptocurrencies in the same way as other digital wallets based on deposits of local or other currencies.

[0147] Finally, in some preferred embodiments, special electronic systems and devices may be included to complete transactions using cryptocurrencies at physical points of sale. Such a system architecture may implement dedicated kiosks such as DEAMs, mobile payment instruments such as RFID / NFC cards and / or applications installed on mobile devices to enable cryptocurrency-based transactions via MirrorCoins or ixPoints assigned to a user's account.

[0148] Although not required, the embodiments described with reference to the figures may be implemented as an application programming interface (API) or set of libraries for use by developers, or may be included in another software application, such as an operating system for a terminal or personal computer or an operating system for a portable computing device. Generally, program modules include routines, programs, objects, components, and data files that assist in performing particular functions, and those skilled in the art will appreciate that the functionality of a software application may be distributed across multiple routines, objects, or components to achieve the same functionality desired herein.

[0149] It will also be appreciated that when the method and system of the present invention is implemented entirely or partially by a computing system, any suitable computing system architecture may be utilized, including stand-alone computers, network computers, and dedicated hardware devices. Where the terms "computing system" and "computing device" are used, these terms are intended to cover any suitable arrangement of computer hardware capable of implementing the described functionality.

[0150] It will be appreciated by those skilled in the art that numerous variations and / or modifications may be made to the invention as illustrated in the specific embodiments without departing from the spirit or scope of the invention as broadly described. The present embodiments are, therefore, to be considered in all respects as illustrative and not restrictive.

[0151] Reference to prior art contained herein should not be construed as an admission that the information is general knowledge unless otherwise indicated.

Claims

1. 1. A system for digital asset exchange, comprising: an interface configured to receive a digital asset transaction request from a user; a gateway configured to communicate with one or more exchanges to process the digital asset transaction request; means for executing a process to deposit a digital asset holding owned by a user associated with the digital asset trade request with a custodian configured to manage the deposited holding of the digital asset; means for allocating points to said users having a predetermined value related to the market value of said deposited holdings; A digital asset exchange system including: a points service configured to execute transactions using the points within the system without involving the deposit holdings managed by the management institution.

2. 2. The digital asset exchange system of claim 1, wherein the digital asset transaction request includes an exchange of a digital asset for a conventional currency.

3. 10. The digital asset exchange system of claim 1, wherein the interface is further configured to receive at least one digital asset index.

4. The digital asset exchange system of claim 1 , wherein the point service is further configured to enable payment or trading of points having a predetermined value associated with different conventional currencies between multiple users.

5. The digital asset exchange system according to claim 4 , wherein the points service is further configured to realize cross-border payments or transactions.

6. 6. The digital asset exchange system of claim 1, wherein the digital asset exchange is configured to accept regular currency.

7. 6. A digital asset exchange system as described in any one of claims 1 to 5, wherein a digital wallet is generated for a user when a digital asset exchange transaction is conducted.

8. 8. The digital asset exchange system of claim 7, wherein the digital wallet includes a wallet identification code.

9. 10. The digital asset exchange system of claim 8, wherein the wallet identification code is presented in paper form.

10. The digital asset exchange system of claim 1 , wherein the system further comprises an authentication module configured to authenticate the user.

11. The digital asset exchange system of claim 10 , wherein the authentication module is further configured to verify the user based on at least one of biometric authentication and identity card authentication.

12. The digital asset exchange system of claim 11 , wherein the authentication module includes at least one of a facial recognition camera, a fingerprint scanner, and an optical imaging device configured to scan the user's identification.

13. 10. The digital asset exchange system of claim 1, wherein the system is further configured to interact with a user's digital wallet service to effectuate the transaction of the digital asset transaction request.

14. 14. The digital asset exchange system of claim 13, wherein the user's digital wallet service undergoes a compliance check before the digital asset transaction request is processed.

15. 15. The digital asset exchange system of claim 14, wherein the compliance check includes a review of past transaction history of the digital wallet service.

16. 16. The digital asset exchange system of claim 15, wherein the user's digital wallet service is a distributed ledger wallet.

17. 4. The digital asset exchange system of claim 3, wherein the digital asset index is updated approximately every 15 seconds.

18. 4. The digital asset exchange system of claim 3, wherein the digital asset index is updated based on a weighted average of the reported prices of each of a plurality of constituent stocks.

19. 20. The digital asset exchange system of claim 18, wherein the digital asset index is further associated with an index divisor that is adjusted based on updates to constituent stocks after a predetermined cutoff date.

20. 1. A digital application for digital asset exchange, comprising: a distributed ledger wallet having at least a private key and a public key for recording digital asset transactions; a communications module configured to receive digital asset trade requests and / or points trade requests from users and to transmit at least one of the digital asset trade requests and / or points trade requests to a digital asset exchange system in which holdings of digital assets are deposited with an administrative institution and configured to execute transactions within the system without involving the deposited holdings managed by the administrative institution using points having a predetermined value associated with the market value of the deposited holdings; Digital applications including.

21. 21. The digital application of claim 20, wherein the digital application includes an interface configured to present at least one digital asset index.

22. 21. The digital application of claim 20, configured to operate with the digital asset exchange system of any one of claims 1 to 5.

23. 1. A digital asset exchange architecture, comprising: At least one digital asset exchange system according to any one of claims 1 to 5; a digital application according to any one of claims 20 to 22; a points exchange module configured to exchange points for digital assets or conventional currencies; at least one exchange configured to conduct digital asset trading; a custodian configured to manage depository holdings of digital assets; A digital asset exchange architecture comprising:

24. 24. The digital asset exchange architecture of claim 23, wherein the points exchange module is further configured to effectuate digital payments at a physical point of sale associated with the points.

25. 25. The digital asset exchange architecture of claim 24, wherein the points exchange module comprises a digital payment instrument.

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