Transpositive Network for Interoperable Stablecoin and Security Conversion

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Solution Overview

Problem

Current network ecosystems cannot interchangeably use stablecoins and tokenized securities due to their differing variable-volume, fixed-value and fixed-volume, variable-value characteristics, limiting the monetization of corporate securities into tradable currency.

Innovation Solution

A Transpositive Network system enables the sequential and variable literal and value-equivalence pairing and pooling of disparate elements, allowing for the conversion of Variable-Volume, Fixed-Value Units to Fixed-Volume, Variable-Value Units and vice versa, through the creation of Transaction Instances and Interest in Pooled Units, using a distributed ledger technology framework.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Adaptability or versatility

If stablecoins and tokenized securities are used with their inherent variable-volume, fixed-value and fixed-volume, variable-value characteristics, then each maintains its own property integrity, but they cannot be interchanged or used together in the same network ecosystem

Engineering Contradiction:

Improveinteroperability between units of exchange and stores of valueVSAvoidproperty characteristics of units of exchange and stores of value

Core Design Contradiction:

Adaptability or versatilityVSStability of the object's composition

Solution Approach 1:

The patent introduces a transpositive conversion network as an intermediary system that enables transformation between units of exchange (variable-volume, fixed-value) and stores of value (fixed-volume, variable-value). The conversion network includes conversion nodes that facilitate bidirectional transformation while preserving the distinct property characteristics of each element type, allowing them to interoperate without direct mixing.

Inventive Principle:

Principle #24Intermediary (Mediator)

Solution Approach 2:

The system dynamically changes parameters (volume and value) during conversion processes. When converting from units of exchange to stores of value, the system transforms variable-volume, fixed-value characteristics into fixed-volume, variable-value characteristics, and vice versa, through controlled parameter adjustments in the conversion network.

Inventive Principle:

Principle #35Parameter changes

2Adaptability or versatility

If a system allows conversion between units of exchange and stores of value, then flexibility and interoperability are improved, but the complexity of the system increases

Engineering Contradiction:

Improveconversion capability between different value typesVSAvoidconversion network structure

Core Design Contradiction:

Adaptability or versatilityVSDevice complexity

Solution Approach 1:

The conversion network is segmented into discrete conversion nodes, each handling specific conversion operations. This segmentation allows the complex conversion process to be broken down into manageable, independent units that can operate autonomously, reducing overall system complexity while maintaining conversion capability.

Inventive Principle:

Principle #1Segmentation

Solution Approach 2:

The conversion nodes are designed with universal functionality to handle multiple types of conversions between different units of exchange and stores of value. This multi-functionality reduces the need for specialized conversion mechanisms for each pair of elements, simplifying the overall system architecture.

Inventive Principle:

Principle #6Universality (Multi-functionality)

3Reliability

If direct conversion between units of exchange and stores of value is implemented, then operational simplicity is maintained, but value equivalence and property preservation cannot be ensured

Engineering Contradiction:

Improvevalue equivalence during conversionVSAvoidconversion process complexity

Core Design Contradiction:

ReliabilityVSEase of operation

Solution Approach 1:

The conversion network incorporates feedback mechanisms where conversion nodes continuously monitor and adjust conversion rates based on value equivalence requirements. This feedback ensures that transformations between units of exchange and stores of value maintain proper value relationships, with the system automatically correcting deviations to preserve reliability.

Inventive Principle:

Principle #23Feedback

Data Source

PatentUS20240303735A1Dynamic Value and Property Conversion Network Applied to Units of Exchange and Stores of Value

Publication Date: 2024.09.12 BRADIAN RAE TANAKA

AI summary

In a general aspect, a conversion network is applied to units of exchange and stores of value. In some aspects, a method for operating the conversion network includes: by operation of a conversion node, receiving a conversion request from a client node for transforming from a first value in a unit of exchange to a second value in a store of value; generating a transaction entry in a transaction entry database and an interest in pooled unit entry in an interest in pooled unit database according to the conversion request; and generating a pairing record in a pairing record database configured for determining a third value of the interest in pooled unit entry based on a fourth value of the transaction entry. The transaction entry includes a first set of data elements including a first identification of the transaction entry, and information of the conversion request and the client node. The interest in pooled unit entry includes a second set of data elements including a second identification of the interest in pooled unit entry. The pairing record includes a mapping between the first and second sets of data elements, and a pairing between the first and second identifications.