WO2018227092A1

WO2018227092A1 - Digital transaction matching and acquisition platform

Info

Publication number: WO2018227092A1
Application number: PCT/US2018/036664
Authority: WO
Inventors: Michael John GERRITY
Original assignee: World Property Exchange Group, Inc.
Priority date: 2017-06-09
Filing date: 2018-06-08
Publication date: 2018-12-13

Abstract

The system and related methods disclosed herein comprises a digital exchange platform, a blockchain network, digital wallets, and digital crypto-currency to provide a streamlined and automated process for buying and selling ownership positions in targeted, curated, and customized real estate investment products.

Description

DIGITAL TRANSACTION MATCHING AND ACQUISITION PLATFORM

CROSS-REFERENCE

[0001] This application claims priority to U.S. Provisional Patent Application No.

62/517,392, filed on June 9, 2017, which is entirely incorporated herein by reference.

BACKGROUND

[0002] The global real estate investment market is very large, yet highly fragmented and illiquid in nature. Moreover, methods of investing are not standardized across borders, and fraught with fraud, have high transaction costs, long investment clearing latency times and significant transaction friction. The real estate investment market also suffers from a lack of transparency.

SUMMARY

[0003] Recognized herein is the need to create an online platform that can provide highly secure digital environments in which investors can trade in shares of real estate products. The system and related methods disclosed herein comprise a digital exchange platform, a blockchain network, and a digital crypto-currency to provide a streamlined and automated process for buying and selling ownership positions in targeted, curated, and customized real estate investment products. The disclosed system and related methods may automate, consolidate, digitize, and standardize real estate investing for millions of investors worldwide.

[0004] The disclosed system (i.e., a digital transaction matching and acquisition platform) and related methods may provide technical benefits over traditional analog real estate investment platforms. For example, the disclosed system and methods may allow for a creation of highly liquid, globally secure real estate investment instruments, which are digital in nature, customizable and tradable. Furthermore, the system may also allow for the global

"standardization" of real estate investing worldwide with respect to issuing standardized micro- ownership positions of real estate assets worldwide (e.g., owning digital shares of individual real-estate property types), that can be globally traded, globally tracked, globally cleared, and globally-authenticated. The blockchain-based transaction matching and acquisition platform may provide a globally-authenticated ownership tracking system, which is highly reliable and secure.

[0005] In an aspect, a system for transaction matching and acquisition for real estate entities is provided. The system may comprise: one or more processors; a blockchain network; a digital wallet controller configured for managing digital currency and digital real estate shares of sellers and buyers stored in digital wallets; an order book controller configured for adding buy orders and sell orders for the sellers and the buyers, wherein the buy order and sell orders for the digital real estate shares are added to the respective order books, wherein each order book is associated with a type of digital real estate shares; a matching engine configured to: match a buy order and a sell order, using the one or more processors, wherein the buy order is selected among the buy orders in the order book and the sell order is selected among the sell orders in the order book based on a matching algorithm; and generate a sell transaction request of a matched amount of digital currency and a number of digital real estate shares, wherein the matched number of digital real estate shares are requested to transfer from a digital wallet of the seller associated with the sell order to a digital wallet of the buyer associated with the buy order, and wherein the matched amount of digital currency is requested to transfer from the digital wallet of the buyer associated with the buy order to the digital wallet of the seller associated with the sell order; and a blockchain controller in communication with the digital wallet of the seller and the digital wallet of the buyer, wherein the blockchain controller is configured to convert the matched buy order and sell order into a digitally signed blockchain transaction and send the digitally signed blockchain transaction to the blockchain network for validation so as to approve the sell transaction request.

[0006] In some embodiments, the order book controller is further configured to store and manage orders for issuing digital currency. In some cases, the orders for issuing digital currency are validated by the blockchain controller. In some cases, the orders for issuing digital currency are created by the digital wallet controller upon receiving deposits of fiat currency. In some embodiments, the matching algorithm is selected from price/time priority and Pro-Rata. In some embodiments, the system further comprises an asset controller module configured to convert one or more real estate assets into digital real estate shares. In some embodiments, the validated digitally signed blockchain transaction is sent to the order book controller for record.

[0007] In another aspect, a method for transaction matching and acquisition for real estate entities using a decentralized blockchain network is provided. The method comprises: generating one or more buy orders and one or more sell orders for one or more sellers and buyers; matching, based on a matching algorithm, a buy order selected from the one or more buy orders with a sell order selected from the one or more sell orders; generating a sell transaction request of a matched amount of digital currency and a number of digital real estate shares for the matched buy order and sell order, wherein the matched number of digital real estate shares are requested to transfer from a digital wallet of the seller associated with the sell order to a digital wallet of the buyer associated with the buy order, and wherein the matched amount of digital currency is requested to transfer from the digital wallet of the buyer associated with the buy order to the digital wallet of the seller associated with the sell order; converting the sell transaction into a digitally signed blockchain transaction; and validating the digitally signed blockchain transaction with aid of the decentralized blockchain network.

[0008] In some embodiments, the digital currency and digital real estate shares of sellers and buyers are stored in digital wallets. In some embodiments, the one or more buy orders and the one or more sell orders for the digital real estate shares are added to respective order books. In some cases, each order book is associated with a type of digital real estate shares. In some embodiments, the digital real estate shares are converted from real estate assets. In some cases, the digital real estate shares are represented by digital tokens. In some embodiments, the digital currency is issued by converting from fiat currency and validated with aid of the decentralized blockchain network. In some embodiments, the matching algorithm is selected from price/time priority and Pro-Rata. In some embodiments, the method further comprises approving the sell transaction request upon validation of the digitally signed blockchain transaction. In some embodiments, the method further comprises adding the approved sell transaction into an order book.

[0009] In another aspect, provided herein is a non-transitory computer-readable medium comprising machine-executable code that, upon execution by one or more computer processors, implements a method for transaction matching and acquisition for real estate entities using a decentralized blockchain network. The method comprises: generating one or more buy orders and one or more sell orders for one or more sellers and buyers; matching, based on a matching algorithm, a buy order selected from the one or more buy orders with a sell order selected from the one or more sell orders; generating a sell transaction request of a matched amount of digital currency and a number of digital real estate shares for the matched buy order and sell order, wherein the matched number of digital real estate shares are requested to transfer from a digital wallet of the seller associated with the sell order to a digital wallet of the buyer associated with the buy order, and wherein the matched amount of digital currency is requested to transfer from the digital wallet of the buyer associated with the buy order to the digital wallet of the seller associated with the sell order; converting the sell transaction into a digitally signed blockchain transaction; and validating the digitally signed blockchain transaction with aid of the

decentralized blockchain network.

[0010] In some embodiments, the one or more buy orders and the one or more sell orders for the digital real estate shares are added to respective order books. In some embodiments, the digital currency is issued by converting from fiat currency and validated with aid of the decentralized blockchain network. [0011] Additional aspects and advantages of the present disclosure will become readily apparent to those skilled in this art from the following detailed description, wherein only illustrative embodiments of the present disclosure are shown and described. As will be realized, the present disclosure is capable of other and different embodiments, and its several details are capable of modifications in various obvious respects, all without departing from the disclosure. Accordingly, the drawings and descriptions are to be regarded as illustrative in nature, and not as restrictive.

INCORPORATION BY REFERENCE

[0012] All publications, patents, and patent applications mentioned in this specification are herein incorporated by reference to the same extent as if each individual publication, patent, or patent application was specifically and individually indicated to be incorporated by reference.

BRIEF DESCRIPTION OF THE DRAWINGS

[0013] The novel features of the invention are set forth with particularity in the appended claims. A better understanding of the features and advantages of the present invention will be obtained by reference to the following detailed description that sets forth illustrative

embodiments, in which the principles of the invention are utilized, and the accompanying drawings (also "figure" and "FIG." herein) of which:

[0014] FIG. 1 illustrates an environment in which the blockchain transaction matching and acquisition platform and related methods operate, according to some embodiments described herein;

[0015] FIG. 2 illustrates components of the blockchain transaction matching and acquisition platform, according to some embodiments described herein;

[0016] FIG. 3 illustrates processes that may be performed on the blockchain rtransaction matching and acquisition platform; and

[0017] FIG. 4 illustrates example computer architecture applicable to any computer system discussed herein.

DETAILED DESCRIPTION

[0018] While various embodiments of the invention have been shown and described herein, it will be obvious to those skilled in the art that such embodiments are provided by way of example only. Numerous variations, changes, and substitutions may occur to those skilled in the art without departing from the invention. It should be understood that various alternatives to the embodiments of the invention described herein may be employed. [0019] As used herein "blockchain" may generally refer to distributed databases that maintain a continuously growing list of ordered records. These records may be called "blocks". Each block may contain a timestamp and a link to the previous block. Decentralized consensus can be achieved with blockchain.

[0020] As used herein "currency token", "digital currency", "digital money", "digital coin" may generally refer to a form of currency that is distinct from physical currency, and may exhibit properties similar to physical currencies but allows for instantaneous transactions and borderless transfer-of-ownership. For example, virtual currencies and cryptocurrencies are types of digital currencies. Digital currency may be represented by currency tokens issued and tracked on the provided blockchain network. Currency tokens can be issued in exchange for physical currency (ex. US Dollar).

[0021] As used herein "property token", "synthetic-backed security" or "SBS", may generally refer to a digitally represented share of a real estate asset issued or created by the blockchain transaction matching and acquisition platform disclosed herein. The transaction matching and acquisition platform is also referred to as real estate investment platform throughout this specification. The shares may be available for trade. Digital estate shares may be represented by property tokens issued and tracked on the provided blockchain network. In some cases, property tokens may be issued by the blockchain network from acquired real estate assets.

[0022] As used herein "smart contract" may generally refer to a set of protocol intended to digitally verify, and enforce the negotiation or performance of a contract. Smart contracts may allow the performance of credible transactions that are trackable and irreversible. These smart contacts may be created and maintained across the provided blockchain network. The smart contracts may be basic contracts. For example, the basic contracts may comprise contracts related to acquiring currency tokens such as converting fiat currency to currency tokens, contracts related to acquiring property tokens (buy order) such as purchasing property tokens using currency tokens, contracts related to selling property tokens (sell order) such as acquiring currency tokens in exchange for property tokens, or contracts related to cashing out such as converting currency tokens into fiat currency (e.g., US dollar). The smart contracts may be dynamic smart contracts. For example, the dynamic smart contracts may be defined and executed by the provided algorithm commissioned by an investor. For instance, an investor may set the system to automatically acquire property tokens that satisfy a given set of conditions (e.g., a particular location, property type, value drop below given threshold, etc.). The smart contracts can be pre-defined and/or customized. [0023] FIG. 1 illustrates an environment 100 in which a blockchain transaction matching and acquisition platform (e.g., real estate investment platform) and related methods operate, according to some embodiments described herein. The blockchain real estate investment platform 108 can interact with one or more user devices 102 of investors, banking platforms 104, real estate data platforms 106, and a private blockchain network 110. The private blockchain network may be part of the blockchain real estate investment platform 108.

[0024] The blockchain real estate investment platform 108 may be configured to provide users (e.g., investors) with a platform to seamlessly trade in shares of real estate products that have been highly targeted, fully curated, and approved. The blockchain real estate investment platform 108 may also be configured to convert real estate assets into digital representations or property tokens, which may be bought and sold as online products. The blockchain real estate investment platform 108 may comprise one or more processors, such as a server farm, a cloud- computing platform, a parallel computer, and so on, and storage devices. The platform 108 can interact with one or more user devices 102, banking platforms 104, and real estate data platforms 106 via the network 130 to collect or retrieve relevant information. The relevant information may include information on the users or investors, financial information of the users or investors, information on real estate assets (e.g., titles and deeds), and the like.

[0025] The blockchain real estate investment platform 108 may comprise a private blockchain network 110 or may interact with a private blockchain network 110. The private blockchain network 110 may comprise distributed databases and interact with the blockchain real estate investment platform 108 to, for example, record, authenticate, and/or approve transactions that occur on the blockchain real estate investment platform 108. In some embodiments, the blockchain network 110 may be managed autonomously through the use of a peer-to-peer (P2P) network and a distributed timestamping server.

[0026] User devices 102, such as a user device 102a, user device 102b, and user device 102n, may be any devices associated with one or more users or investors. These devices may be a cellular telephone, a personal digital assistant (PDAs), a tablet, a desktop or a laptop computer, a wearable device, or any other devices including computing functionality and data

communication capabilities. The user devices 102 may be configured to enable the user to buy or sell digitized real estate products (e,g., SBSs), display various information related to the real estate products or the real estate market, provide one or more information on available balance on a digital wallet associated with a user, and the like. For example, an application or software may be installed on the user devices to communicate or interact with the blockchain real estate investment platform 108 to provide the users or investors with information relevant to the real estate products or one or more information related to their digital wallet (e.g., balance information). The application may be configured to provide a graphical user interface. The user devices 102 may interact with the blockchain real estate investment platform 108 by requesting and obtaining the aforementioned data via the network 130.

[0027] In some embodiments, users may utilize the user devices 102 to interact with the blockchain real estate investment platform 108 by way of one or more software applications (i.e., client software) running on and/or accessed by the user devices 102, wherein the user devices 102 and the blockchain real estate investment platform 108 may form a client-server relationship. For example, the user devices 102 may run dedicated mobile applications associated with the blockchain real estate investment platform 108 and/or utilize one or more browser applications to access the digital wallets, the trading platform to buy or sell real estate products, and the like. In turn, the blockchain real estate investment platform 108 may deliver information and content to the user devices 102 related to the real estate product of interest, for example, by way of one or more financial data relevant to the real estate product of interest.

[0028] In some embodiment, the client software (i.e., software applications installed on the user devices 102) may be available as downloadable mobile applications for various types of mobile devices. Alternatively, the client software can be implemented in a combination of one or more programming languages and markup languages for execution by various web browsers. For example, the client software can be executed in web browsers that support JavaScript and HTML rendering. The various embodiments of client software applications may be compiled for various devices, across multiple platforms, and may be optimized for their respective native platforms.

[0029] Banking platforms 104 may comprise servers and database systems that enable online financial transactions or otherwise provide information related to the financials of the investor or the user. For example, the banking platforms may provide information on the account balance amount. The banking platforms may also provide custodial accounts for the blockchain real estate investment platform 108. One or more banking platforms 104 may provide user interfaces and/or open application programming interfaces (APIs) via a communication module or through a variety of means.

[0030] Real estate data platforms 106 may comprise servers and database systems that provide information on various real estate related information and/or any relevant metadata. For example, the real estate data platforms 106 may provide information on the real estate assets' titles and deeds. One or more real estate data platforms 106 may provide user interfaces and/or open APIs via a communication module or through a variety of other means. [0031] The network 130 may be a communication pathway between the blockchain real estate investment platform 108 and the user devices 102, the banking platforms 104, and the real estate data platforms 106. The network 130 may comprise any combination of local area and/or wide area networks using both wireless and/or wired communication systems. For example, the network 130 may include the Internet, as well as mobile telephone networks. In one

embodiment, the network 130 uses standard communications technologies and/or protocols. Hence, the network 130 may include links using technologies such as Ethernet, 802.11, worldwide interoperability for microwave access (WiMAX), 2G/3G/4G mobile communications protocols, asynchronous transfer mode (ATM), InfiniBand, PCI Express Advanced Switching, etc. Other networking protocols used on the network 130 can include multiprotocol label switching (MPLS), the transmission control protocol/Internet protocol (TCP/IP), the User Datagram Protocol (UDP), the hypertext transport protocol (HTTP), the simple mail transfer protocol (SMTP), the file transfer protocol (FTP), and the like. The data exchanged over the network can be represented using technologies and/or formats including image data in binary form (e.g., Portable Networks Graphics (PNG)), the hypertext markup language (HTML), the extensible markup language (XML), etc. In addition, all or some of links can be encrypted using conventional encryption technologies such as secure sockets layers (SSL), transport layer security (TLS), Internet Protocol security (IPsec), etc. In another embodiment, the entities on the network can use custom and/or dedicated data communications technologies instead of, or in addition to, the ones described above.

[0032] FIG. 2 illustrates components of the blockchain real estate investment platform 108, according to some embodiments described herein. The blockchain real estate investment platform 108 can include various components for performing the processes and features described herein. For example, in the illustrated embodiment, the blockchain real estate investment platform 108 comprises asset controller module 202, digital wallet controller module 204, order book controller module 206, and a blockchain controller module 208.

[0033] These components of the blockchain real estate investment platform 108 are generally functional components that can generate useful data or other output using specific input(s). The components can be implemented as general or specific-purpose hardware, software, firmware (or any combination thereof) components. A component may or may not be self-contained.

Depending upon implementation- specific or other consideration, the components may be centralized or distributed functionally or physically. Although a particular number of components are shown in FIG. 2, the blockchain real estate investment platform 108 can include more components or can combine the components into fewer components (such as a single component), as may be desirable for a particular implementation. One or more of the components can be implemented by user devices 102 based on communication with the blockchain real estate investment platform 108. The interactions among these components are illustrated in detail below.

[0034] Each component of the blockchain real estate investment platform 108 may be implemented using one or more computing devices (e.g., server devices) including at least one processor executing instructions that cause the blockchain real estate investment platform 108 to perform the processes described herein. The various components of the blockchain real estate investment platform 108 listed above can be implemented by a single server device or across multiple server devices.

[0035] The asset controller module 202 may be configured to convert one or more real estate assets into digital shares. These digital shares may be referred to as "synthetic-backed securities" (SBSs) or property tokens. The asset controller module 202 may manage the issuance and tracking of the newly created assets. For example, the asset controller module 202 may be configured to: i) create, store, and manage property tokens; ii) communicate with a digital wallet to request digitally- signed property tokens issuance blockchain transactions through the performance of smart contracts; iii) keep track of assets' market values and fluctuations. In some embodiments, the blockchain real estate platform 108 may have one or more real estate or property associated with the platform. The real estate or property may be represented in its digital form or through digital units of SBSs.

[0036] The asset controller module 202 may be further configured to perform property appraisal on the one or more properties associated with the blockchain real estate platform 108 and optionally display the "real world" market value of each of the one or more properties. The "real world" market value may represent the value that the property may be traded in the offline world (as opposed to the "digital world", wherein the "digital world" can represent the blockchain digital real estate investment platform 108). The asset controller module 202 may also be configured to display the "real world" value of the property against the "digital world" market value of each individual property by multiplying the "traded value" of each property's SBSs by the number of SBSs issued against each asset. The "traded value" may be configured to be the value of the most recently traded SBS or the average of the last five prior trades of SBSs, for example. For example, the user interface associated with the blockchain real estate investment platform 108 may be configured to display one or more information described above, including: 1) "real-world" value of each property; 2) "digital world" value; and 3) the difference in value between the real- world and the digital world valuations, to show, for example, the "spreads" of these market prices.

[0037] The digital wallet controller module 204 may be configured to provide a user interface for the investors or users of the blockchain real estate investment platform 108. The digital wallet controller module 204 may be configured to manage various types of wallets, including digital wallets for the users/investors, and a digital wallet for the blockchain real estate investment platform 108. The digital wallet of the users/investors may contain currency tokens, digital coins or crypto-currency as well as SBSs, property tokens or digital representations of shares of real estate assets acquired through trading/investing. The digital wallet for the blockchain real estate investment platform 108 may include, for example, issued property tokens.

[0038] The digital wallet controller module 204 may interact with the asset controller module 202 and obtain information from or transmit information to the user devices 102, banking platforms 104, real estate data platform 106, and the blockchain network 110, in order to manage the various digital wallets. For example, the digital wallet controller module 204 may be configured to: i) manage investor/user accounts; ii) manage the digital wallets of investors who have signed up to use the blockchain real estate investment platform; iii) manage a special digital wallet for the platform 108, which may contain all SBSs or property tokens created by the asset controller module 202; iv) issue digital coins (i.e., digital currency) against cash deposits made by investors/users through the performance of smart contracts. For example, the deposit may be stored in one of the bank accounts (e.g., in one of the platform's custodial bank account) and an equivalent amount of digital coins may be issued through digitally- signed blockchain

transactions and deposited into the investor's digital wallet. These transactions may be validated and executed using a smart contract.

[0039] The order book controller module 206 may be configured to manage the trading order book of the blockchain real estate investment platform 108. The trading order book can manage or track all issuance of shares, and buy and sell orders placed by investors/users. The issuance and buy and sell orders may be also executed using pre-defined smart contracts. The order book controller module 206 may also comprise an automated investment matching engine. The investment matching engine may be configured to execute an algorithm to match buy and sell orders for the blockchain real estate investment platform 108. For example, the order book controller module 206 can: i) track and manage transaction on the blockchain real estate investment platform 108, including the issuance of digital or crypto-currency, issuance of SBSs; ii) match buy and sell order (via the matching engine), which may include requesting crypto- currencies against U.S. dollars, placing order to buy a certain amount of SBS for a certain amount of crypto-currency, and placing order to sell a given amount of SBSs for a given amount of crypto-currency; and iii) communicating with the blockchain controller module 208, whereby all transactions can be sent to the blockchain controller for processing, may be authenticated against the blockchain real estate investment platform's 108 secure private blockchain network 110.

[0040] In some embodiments, the order book controller module 206 can comprise two modules: 1) order book module and 2) a matching engine module. The order book module can manage an order book, which can use a data structure that maintains at least three lists. For example the order book data structure may maintain three lists: one for buy orders, one for sell orders, as well as a list for digital asset issuance orders. The buy order and sell order lists may be sorted based on order price and time. The sell order list may be sorted in ascending order and the buyer order list may be sorted in descending order, when sorted by time. The asset issuance list may be a first in, first out (FIFO) queue, which is sorted by time. The order book may also be configured to store three kinds of requests: 1) new order, 2) cancel an existing order, and 3) change an existing order.

[0041] The order types or requests can also be any of the standard algorithmic trading order types, including but not limited to: 1) Good-til-Cancelled (GTC ) order, which is active until the trade is executed or the trader cancels the order; 2) Good-til-Date (GTD) order, which remains active until a user-specified date, unless the order has been filled or cancelled; 3) immediate-or- cancel (IOC) order, which may require all or part of the order to be executed immediately or the order (or any unfilled parts of the order) will be canceled); 4) fill-or-kill (FOK) order, which must be filled immediately in its entirety or it will be cancelled and partial fills are not accepted with type of order duration; 5) all-or-none (AON) order, which will be cancelled if the order cannot be filled in its entirety by the end of the trading session; or 6) minute orders, which expire after the specified number of minutes has elapsed, wherein the common intervals may include 1, 2, 3, 5, 10, 15, 20, 30, 60 minute order durations, for example.

[0042] The matching engine module can be configured to determine how the buy and sell orders are matched on the blockchain real estate investment platform 108 and in what order the orders are filled. The machine engine module may use a set of standard public algorithms, proprietary algorithms, or any combination thereof. One or more algorithms or any combination of multiple algorithms can be used or configured based on the investment profiles of a user. In some embodiments, the users or investors can create profiles, wherein the profiles can be configured to determine what matching algorithms— among the matching algorithms available on the platform— can be used for the investor or user who is willing to trade or invest. [0043] The blockchain real estate investment platform 108 may be configured to use one or more of the standard algorithms including, but not limited to allocation (A), Eurodollar option (Y), FIFO (F), FIFO with LMM (T), FIFO with Top Order and MLL (S), Split FIFO and Prorata (K), Threshold Pro-Rata (O), Threshold Pro-Rata with LMM (Q), Pro-Rata (C), Pro-Rata Allocation for Eurodollar Futures (A). The algorithms listed above may fall into one of the two main families of matching algorithms: 1) price/time priority (FIFO) and 2) Pro-Rata. Price/time priority (FIFO) algorithms may be configured such that all orders at the same price level are filled according to time priority; the first order at a price level is the first order matched. Pro- Rata algorithms may be configured such that the timing of when the orders were placed is ignored, and the algorithm allots fill quantities to all orders at a price level according to their relative quantities.

[0044] In an instance, a perfect match occurs when a Buyer is willing to pay 10,000 digital coins (i.e., unit of account on the blockchain real estate investment platform 108) for 10 SBS-A (i.e., an SBS of a real estate property), and there is a Seller offering 10 SBS-A at 10,000 digital coins or less.

[0045] In another instance, a partial match may occur on the platform. If a Buyer is willing to pay 10,000 digital coins for 10 SBS-A and there is a Seller offering only 5 SBS-A at 5,000 digital coins or less, then a partial match is found an the trade may occur if the Order Type (as described earlier) is appropriate for the certain trade to occur. For example, if the Order Type is Immediate-Or-Cancel (IOC), then the partial match may occur in the above example.

[0046] The blockchain controller module 208 may be configured to implement the protocols of blockchain technology and the systems various smart contracts, and may be responsible for transforming the blockchain real estate investment platform's 108 share issuance and trading operations into valid blockchain directives and transmitting these directives to the blockchain real estate investment platform's private blockchain network 110.

[0047] The blockchain controller module 208 may also be configured to monitor the blockchain network 110 for transaction response and to retrieve market data, prices of SBSs, and trade offers on investors' demand.

[0048] Issuance of digital coins on the blockchain real estate investment platform

[0049] FIG. 3 illustrates processes that may be performed on the blockchain real estate investment platform 108. In some embodiments, FIG. 3 illustrates processes for issuing digital currencies or coins to be used on the blockchain real estate investment platform 108.

[0050] In some embodiments, users or investors may desire to obtain digital coins, which can be used to trade on the blockchain real estate investment platform 108. A user may initially sign up on the blockchain real estate investment platform 108 by creating a user account. Next, the user may request to create a digital wallet. The blockchain real estate investment platform 108 may create a digital wallet of the user based on the request, and assign a unique encryption key. Next, the user may deposit a certain amount of money (e.g., $1000 USD) via the user interface provided by the blockchain real estate investment platform 108. Next, the digital wallet controller module 204 may be configured to record the deposit, and communicate with the payment gateway of the blockchain real estate investment platform to update the associated custodial accounts. Next, the digital wallet controller module 204 may also be configured to create an order (e.g., coin issuance order 312) to issue a certain amount of digital coins (e.g., 1000 digital coins) to match the amount deposited by the user. The exchange rate may be configured. The created order may then be sent to the order book controller module 206 to be processed (e.g., process order 322). Once the order is validated (otherwise, validation failure 314 notice is returned to the digital wallet controller, for example), the order may be stored (e.g., store order process 324), and the order book controller module 206 may be configured to generate a blockchain transaction (e.g., generate blockchain transaction process 326) that is sent to the blockchain controller 208. The blockchain controller may be configured to validate the transaction (332) by, for example, converting the order into digitally- signed blockchain issuance transaction and sending the converted order to the private blockchain network 110. The blockchain controller module 208 may be configured to monitor the blockchain network 110 and respond to the order book controller 206 with confirmation or denial of the order. If the transaction fails validation, the transaction may be revoked (e.g., revoke transaction operation 334), and the digital wallet controller may also be notified of the revocation of transaction (e.g., via transaction failure 340 operation). If, however, the transaction is validated, then the transaction is accepted (e.g., accept transaction operation 336), and the order book controller module 206 may be configured to receive the notice and update the digital wallet associated with the user (e.g., update wallet operation 338). The digital coins may be issued to the user and placed in the user's digital wallet. Next, the order book controller 206 in turn may forward the transaction result to the digital wallet controller module 204 (e.g., ACK operation 342). The digital wallet controller module 204 may confirm and notify the results to the user.

[0051] Asset trading operations between two individuals

[0052] In another example, one user (User B) may be interested in buying a given number of SBSs on the blockchain real estate investment platform 108, and another user (User S) may be interested in selling a certain number of SBSs on the platform 108. For the given example, 1 SBS is assumed to be worth 1,000 digital coins, and 1 digital coin is assumed to be worth 1 USD. User B may place an order to buy 10 SBSs for 10,000 digital coins through the digital wallet controller module 204. The digital wallet controller module 204 may send the request to the order book controller module 206. The order book controller module 206 may validate the order and add the BUY order of User B to the order book. User S may also place an order to SELL 5 SBSs for 5,000 digital coins. The digital wallet controller module 204 may be configured to send to the request to the order book controller module 206. The order book controller module 206 may validate the order and add the SELL order to the order book. The matching engine of the investment platform 108 may be configured to identify a match for 5 SBSs between User B and User S. Next, the order book controller module may be configured to send matching notifications to the digital wallet controller module 204, which in turn may notify User B and User S. Next, User S and User B may approve the match. Once the two parties approve the match, the digital wallet controller module 204 may initiate the SELL transaction by ordering the transfer of 5 SBSs from User S's digital wallet to User B's digital wallet. The digital wallet controller module may send the order information to the blockchain controller module 208 for authentication. The digital wallet controller module 204 may also initiate the BUY transaction by ordering the transfer of 5,000 digital coins from User B's wallet to User S' digital wallet, and also send the order information to the blockchain controller module 208 for authentication. The blockchain controller module 208 may create digitally- signed blockchain transactions and send such digitally- signed transactions to the blockchain network 110. The transactions can be authenticated and approved by the blockchain network 110. Once the transactions are authenticated and approved by the blockchain network 110, the order book controller module 206 may notify the digital wallet controller module 204. The digital wallet controller module 204 may then transfer 5,000 digital coins from User B's wallet to User S' digital wallet, and in turn transfer 5 SBSs from User S' wallet to User B's digital wallet. User B and User S may be notified of the success of this transaction.

[0053] Computer control systems

[0054] The present disclosure provides computer control systems that are programmed to implement methods of the disclosure. FIG. 4 illustrates example computer architecture applicable to any computer system discussed herein. The computer system 401 can be programmed or otherwise configured to manage the issuance and trading of digital currencies and digital representations of real estate shares or pools of real estate shares. The computer system 401 can regulate various aspects of FIGS. 1-3 of the present disclosure, such as, for example, the user devices 102, the blockchain real estate investment platforml08, asset controller module 202, digital wallet controller module 204, order book controller module 206, blockchain controller module 208, and flow chart illustrated in FIG. 3.

[0055] The computer system 401 includes a central processing unit (CPU, also "processor" and "computer processor" herein) 405, which can be a single core or multi core processor, or a plurality of processors for parallel processing. The computer system 401 also includes memory or memory location 410 (e.g., random-access memory, read-only memory, flash memory), electronic storage unit 415 (e.g., hard disk), communication interface 420 (e.g., network adapter) for communicating with one or more other systems, and peripheral devices 425, such as cache, other memory, data storage and/or electronic display adapters. The memory 410, storage unit 415, interface 420 and peripheral devices 425 are in communication with the CPU 405 through a communication bus (solid lines), such as a motherboard. The storage unit 415 can be a data storage unit (or data repository) for storing data. The computer system 401 can be operatively coupled to a computer network ("network") 430 with the aid of the communication interface 420. The network 430 can be the Internet, an internet and/or extranet, or an intranet and/or extranet that is in communication with the Internet. The network 430 in some cases is a telecommunication and/or data network. The network 430 can include one or more computer servers, which can enable distributed computing, such as cloud computing. The network 430, in some cases with the aid of the computer system 401, can implement a peer-to-peer network, which may enable devices coupled to the computer system 401 to behave as a client or a server.

[0056] The CPU 405 can execute a sequence of machine-readable instructions, which can be embodied in a program or software. The instructions may be stored in a memory location, such as the memory 410. The instructions can be directed to the CPU 405, which can subsequently program or otherwise configure the CPU 405 to implement methods of the present disclosure. Examples of operations performed by the CPU 405 can include fetch, decode, execute, and writeback.

[0057] The CPU 405 can be part of a circuit, such as an integrated circuit. One or more other components of the system 401 can be included in the circuit. In some cases, the circuit is an application specific integrated circuit (ASIC).

[0058] The storage unit 415 can store files, such as drivers, libraries and saved programs. The storage unit 415 can store user data, e.g., user preferences and user programs. The computer system 401 in some cases can include one or more additional data storage units that are external to the computer system 401, such as located on a remote server that is in communication with the computer system 401 through an intranet or the Internet. [0059] The computer system 401 can communicate with one or more remote computer systems through the network 430. For instance, the computer system 401 can communicate with a remote computer system of a user or a participating platform (e.g., operator). Examples of remote computer systems include personal computers (e.g., portable PC), slate or tablet PC's (e.g., Apple® iPad, Samsung® Galaxy Tab), telephones, Smart phones (e.g., Apple® iPhone, Android-enabled device, Blackberry®), or personal digital assistants. The user can access the computer system 401 via the network 430.

[0060] Methods as described herein can be implemented by way of machine (e.g., computer processor) executable code stored on an electronic storage location of the computer system 401, such as, for example, on the memory 410 or electronic storage unit 415. The machine executable or machine readable code can be provided in the form of software. During use, the code can be executed by the processor 405. In some cases, the code can be retrieved from the storage unit 415 and stored on the memory 410 for ready access by the processor 405. In some situations, the electronic storage unit 415 can be precluded, and machine-executable instructions are stored on memory 410.

[0061] The code can be pre-compiled and configured for use with a machine having a processer adapted to execute the code, or can be compiled during runtime. The code can be supplied in a programming language that can be selected to enable the code to execute in a precompiled or as-compiled fashion.

[0062] Aspects of the systems and methods provided herein, such as the computer system 401, can be embodied in programming. Various aspects of the technology may be thought of as "products" or "articles of manufacture" typically in the form of machine (or processor) executable code and/or associated data that is carried on or embodied in a type of machine readable medium. Machine-executable code can be stored on an electronic storage unit, such as memory (e.g., read-only memory, random-access memory, flash memory) or a hard disk.

"Storage" type media can include any or all of the tangible memory of the computers, processors or the like, or associated modules thereof, such as various semiconductor memories, tape drives, disk drives and the like, which may provide non-transitory storage at any time for the software programming. All or portions of the software may at times be communicated through the Internet or various other telecommunication networks. Such communications, for example, may enable loading of the software from one computer or processor into another, for example, from a management server or host computer into the computer platform of an application server. Thus, another type of media that may bear the software elements includes optical, electrical and electromagnetic waves, such as used across physical interfaces between local devices, through wired and optical landline networks and over various air-links. The physical elements that carry such waves, such as wired or wireless links, optical links or the like, also may be considered as media bearing the software. As used herein, unless restricted to non-transitory, tangible

"storage" media, terms such as computer or machine "readable medium" refer to any medium that participates in providing instructions to a processor for execution.

[0063] Hence, a machine readable medium, such as computer-executable code, may take many forms, including but not limited to, a tangible storage medium, a carrier wave medium or physical transmission medium. Non-volatile storage media include, for example, optical or magnetic disks, such as any of the storage devices in any computer(s) or the like, such as may be used to implement the databases, etc. shown in the drawings. Volatile storage media include dynamic memory, such as main memory of such a computer platform. Tangible transmission media include coaxial cables; copper wire and fiber optics, including the wires that comprise a bus within a computer system. Carrier-wave transmission media may take the form of electric or electromagnetic signals, or acoustic or light waves such as those generated during radio frequency (RF) and infrared (IR) data communications. Common forms of computer-readable media therefore include for example: a floppy disk, a flexible disk, hard disk, magnetic tape, any other magnetic medium, a CD-ROM, DVD or DVD-ROM, any other optical medium, punch cards paper tape, any other physical storage medium with patterns of holes, a RAM, a ROM, a PROM and EPROM, a FLASH-EPROM, any other memory chip or cartridge, a carrier wave transporting data or instructions, cables or links transporting such a carrier wave, or any other medium from which a computer may read programming code and/or data. Many of these forms of computer readable media may be involved in carrying one or more sequences of one or more instructions to a processor for execution.

[0064] The computer system 401 can include or be in communication with an electronic display 435 that comprises a user interface (UI) 440 for providing, for example, displaying the information on the digital wallets of the blockchain real estate investment platform 108, including the balance information, transaction information, real estate products related information (e.g., price of SBS), other market information, and various notifications related to the transactions and operations of the investment platform 108. Examples of UI's include, without limitation, a graphical user interface (GUI) and web-based user interface.

[0065] Methods and systems of the present disclosure can be implemented by way of one or more algorithms. An algorithm can be implemented by way of software upon execution by the central processing unit 405. For example, some embodiments use the algorithm illustrated in FIG. 3 or other algorithms provided in the associated descriptions. [0066] As used herein, "or" is inclusive and not exclusive, unless expressly indicated otherwise by context. Therefore, "A or B" means "A, B, or both," unless expressly indicated otherwise or indicated otherwise by context. Moreover, "and" is both joint and several, unless expressly indicated otherwise or indicated otherwise by context.

[0067] While preferred embodiments of the present invention have been shown and described herein, it will be obvious to those skilled in the art that such embodiments are provided by way of example only. It is not intended that the invention be limited by the specific examples provided within the specification. While the invention has been described with reference to the aforementioned specification, the descriptions and illustrations of the embodiments herein are not meant to be construed in a limiting sense. Numerous variations, changes, and substitutions will now occur to those skilled in the art without departing from the invention. Furthermore, it shall be understood that all aspects of the invention are not limited to the specific depictions, configurations or relative proportions set forth herein which depend upon a variety of conditions and variables. It should be understood that various alternatives to the embodiments of the invention described herein may be employed in practicing the invention. It is therefore contemplated that the invention shall also cover any such alternatives, modifications, variations or equivalents. It is intended that the following claims define the scope of the invention and that methods and structures within the scope of these claims and their equivalents be covered thereby.

Claims

CLAIMS WHAT IS CLAIMED IS:

1. A system for transaction matching and acquisition for real estate entities, comprising:

one or more processors;

a blockchain network;

a digital wallet controller configured for managing digital currency and digital real estate shares of sellers and buyers stored in digital wallets;

an order book controller configured for adding buy orders and sell orders for the sellers and the buyers, wherein the buy order and sell orders for the digital real estate shares are added to the respective order books, wherein each order book is associated with a type of digital real estate shares;

a matching engine configured to:

match a buy order and a sell order, using the one or more processors, wherein the buy order is selected among the buy orders in the order book and the sell order is selected among the sell orders in the order book based on a matching algorithm; and generate a sell transaction request of a matched amount of digital currency and a number of digital real estate shares, wherein the matched number of digital real estate shares are requested to transfer from a digital wallet of the seller associated with the sell order to a digital wallet of the buyer associated with the buy order, and wherein the matched amount of digital currency is requested to transfer from the digital wallet of the buyer associated with the buy order to the digital wallet of the seller associated with the sell order; and

a blockchain controller in communication with the digital wallet of the seller and the digital wallet of the buyer, wherein the blockchain controller is configured to convert the matched buy order and sell order into a digitally signed blockchain transaction and send the digitally signed blockchain transaction to the blockchain network for validation so as to approve the sell transaction request.

2. The system of claim 1, wherein the order book controller is further configured to store and manage orders for issuing digital currency.

3. The system of claim 2, wherein the orders for issuing digital currency are validated by the blockchain controller.

4. The system of claim 2, wherein the orders for issuing digital currency are created by the digital wallet controller upon receiving deposits of fiat currency.

5. The system of claim 1, wherein the matching algorithm is selected from price/time priority and Pro-Rata.

6. The system of claim 1, further comprising an asset controller module configured to convert one or more real estate assets into digital real estate shares.

7. The system of claim 1, wherein the validated digitally signed blockchain transaction is sent to the order book controller for record.

8. A method for transaction matching and acquisition for real estate entities using a decentralized blockchain network, comprising:

generating one or more buy orders and one or more sell orders for one or more sellers and buyers;

matching, based on a matching algorithm, a buy order selected from the one or more buy orders with a sell order selected from the one or more sell orders;

generating a sell transaction request of a matched amount of digital currency and a number of digital real estate shares for the matched buy order and sell order, wherein the matched number of digital real estate shares are requested to transfer from a digital wallet of the seller associated with the sell order to a digital wallet of the buyer associated with the buy order, and wherein the matched amount of digital currency is requested to transfer from the digital wallet of the buyer associated with the buy order to the digital wallet of the seller associated with the sell order;

converting the sell transaction into a digitally signed blockchain transaction; and validating the digitally signed blockchain transaction with aid of the decentralized blockchain network.

9. The method of claim 8, wherein the digital currency and digital real estate shares of sellers and buyers are stored in digital wallets.

10. The method of claim 8, wherein the one or more buy orders and the one or more sell orders for the digital real estate shares are added to respective order books.

11. The method of claim 10, wherein each order book is associated with a type of digital real estate shares.

12. The method of claim 8, wherein the digital real estate shares are converted from real estate assets.

13. The method of claim 12, wherein the digital real estate shares are represented by digital tokens.

14. The method of claim 8, wherein the digital currency is issued by converting from fiat currency and validated with aid of the decentralized blockchain network.

15. The method of claim 8, wherein the matching algorithm is selected from price/time priority and Pro-Rata.

16. The method of claim 8, further comprising approving the sell transaction request upon validation of the digitally signed blockchain transaction.

17. The method of claim 8, further comprising adding the approved sell transaction into an order book.

18. A non-transitory computer-readable medium comprising machine-executable code that, upon execution by one or more computer processors, implements a method for transaction matching and acquisition for real estate entities using a decentralized blockchain network, the method comprising:

19. The method of claim 18, wherein the one or more buy orders and the one or more sell orders for the digital real estate shares are added to respective order books.

20. The method of claim 18, wherein the digital currency is issued by converting from fiat currency and validated with aid of the decentralized blockchain network.