Multi-Dimensional Order Book for Non-Standard Commodity Matching
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Solution Overview
Problem
Existing data transaction processing systems struggle to efficiently transact non-standard commodities due to their non-uniform specifications and attributes, leading to inefficient pricing and matching mechanisms, manual negotiation, and lack of electronic central-limit trading, which results in waste and underutilization of marketplaces.
Innovation Solution
Implementing multi-dimensional orders that allow participants to submit a single order message with multiple price points, represented as a price frontier, which is processed by a data transaction processor to match with unsatisfied orders in a multi-dimensional order book structure, reducing computational resources and network congestion.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Adaptability or versatility
If traditional standardized product trading mechanisms are used, then electronic automated trading can be achieved, but non-standard commodities with varying specifications cannot be efficiently transacted
Solution Approach 1:
The patent extends traditional single-dimensional price-based order books to multi-dimensional order books that accommodate multiple product attributes (grade, quality, location, etc.). This dimensional expansion allows non-standard commodities with varying specifications to be traded electronically while maintaining automated matching efficiency.
Solution Approach 2:
The system transforms product specifications from fixed standardized parameters to variable parameters that can take multiple values. By allowing product attributes to vary across multiple dimensions with different possible values, the system can handle non-standard commodities while maintaining structured electronic trading.
2Adaptability or versatility
If manual negotiation is used for non-standard commodities, then customized transactions can be achieved, but trading speed and transparency are reduced
Solution Approach 1:
The system enables automated self-service trading for non-standard commodities by allowing participants to submit orders with multiple attribute specifications. The multi-dimensional order book automatically matches orders based on all specified attributes, eliminating the need for manual negotiation while preserving customization capability.
3Measurement precision
If multiple separate orders are submitted for different price points, then precise pricing can be achieved, but network congestion and computational resources increase
Solution Approach 1:
The patent merges multiple separate orders with different price points into a single multi-dimensional order that specifies a price frontier or price range. This consolidation reduces the number of order messages transmitted over the network while maintaining precise pricing capability through the multi-dimensional attribute structure.
Solution Approach 2:
The multi-dimensional order book structure serves multiple functions simultaneously: it stores price information, product attribute specifications, and matching criteria in a unified data structure. This universality eliminates the need for separate order messages for each pricing dimension, reducing network traffic while maintaining pricing precision.
Data Source
AI summary
Systems and methods are provided for processing multi-dimensional orders. A data transaction request message is received at a data transaction system. The data transaction request message includes data representative of at least a first function for a first attribute of a commodity and a second function for a second attribute of the commodity. The data transaction system identifies a set of solutions described by the first function and the second function. The set of solutions including values for different variations of the object that the participant who submitted the data transaction request message is willing to offer or receive for the respective variation. The data transaction system attempts to match one or more of the values from the set of solutions to previously received but unsatisfied electronic data transaction request messages counter thereto stored in an order book data structure.