System and method for wagering based on the movement of financial markets

• US 20050027643A1
• Filed: 04/29/2004
• Published: 02/03/2005
• Est. Priority Date: 04/02/2003
• Status: Active Grant

• Current Assignee: CFPH LLC (Cantor Fitzgerald, L.P.)
• Original Assignee: CFPH LLC (Cantor Fitzgerald, L.P.)
• Inventors: Asher, Joseph M., Amaitis, Lee M.
• Granted Patent: US 7,962,400 B2
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: G06Q 50/34 Betting or bookmaking, e.g. Internet betting
• CPC Class Codes: G07F 17/32 for games, toys, sports, or amusements
• CPC Class Codes: G07F 17/3288 Betting, e.g. on live events, bookmaking

Abstract

A system for wagering comprises a memory and a processor. The memory stores a bet regarding a plurality of outcomes associated with financial market indicators. The bet comprises a first bet component indicating whether a value of a first financial market indicator will go up or go down in a first predetermined period of time, and a second bet component indicating whether a value of a second financial market indicator will go up or go down in a second predetermined period of time. The processor is coupled to the memory and is operable to determine an outcome of the first bet component, the second bet component, and the overall bet.

Claims

1. A method for wagering, comprising:

receiving a bet regarding a plurality of outcomes associated with financial market indicators, the bet comprising;

a first bet component indicating whether a value of a first financial market indicator will go up or go down in a first predetermined period of time; and

a second bet component indicating whether a value of a second financial market indicator will go up or go down in a second predetermined period of time;

determining an outcome of the first bet component based at least in part upon whether the value of the first financial market indicator went up or went down in the first predetermined period of time;

determining an outcome of the second bet component based at least in part upon whether the value of the second financial market indicator went up or went down in the second predetermined period of time; and

determining an outcome of the bet based at least in part upon the outcome of the first bet component and the outcome of the second bet component.

2. The method of claim 1, wherein at least one of the outcomes of the first bet component and the second bet component is a loss and the outcome of the bet is a loss.

3. The method of claim 1, wherein each of the outcomes of the first bet component and the second bet component is a win and the outcome of the bet is a win.

4. The method of claim 1, wherein the first bet component is a loss if the value of the first financial market indicator is unchanged in the first predetermined period of time.

5. The method of claim 1, further comprising determining a payout for the bet based at least in part upon the number of bet components that are determined to be a win.

6. The method of claim 1, wherein the first financial market indicator is associated with at least one of:

the Dow Jones Industrial Average;

the NASDAQ;

the Financial Times Stock Exchange;

the S&

P 500; and

the New York Stock Exchange.

7. The method of claim 1, wherein the bet identifies at the least the first predetermined period of time.

8. The method of claim 1, wherein the first predetermined period of time equals the second predetermined period of time.

9. The method of claim 1, wherein the bet specifies a source of at least the first financial market indicator.

10. The method of claim 1, wherein:

the bet further comprises a third bet component indicating whether a value of a third financial market indicator will go up or go down in a third predetermined period of time; and

determining the outcome of the bet is further based at least in part upon an outcome of the third bet component.

11. The method of claim 1, further comprising:

establishing a financial instrument embodying at least the bet, the financial instrument comprising a price based at least in part upon a point count that varies according to the outcomes of at least a portion of the bet components; and

facilitating the transfer of the financial instrument for the price.

12. A system for wagering, comprising:

a memory operable to store a bet regarding a plurality of outcomes associated with financial market indicators, the bet comprising;

a first bet component indicating whether a value of a first financial market indicator will go up or go down in a first predetermined period of time; and

a second bet component indicating whether a value of a second financial market indicator will go up or go down in a second predetermined period of time; and

a processor coupled to the memory and operable to;

determine an outcome of the first bet component based at least in part upon whether the value of the first financial market indicator went up or went down in the first predetermined period of time;

determine an outcome of the second bet component based at least in part upon whether the value of the second financial market indicator went up or went down in the second predetermined period of time; and

determine an outcome of the bet based at least in part upon the outcome of the first bet component and the outcome of the second bet component.

13. The system of claim 12, wherein at least one of the outcomes of the first bet component and the second bet component is a loss and the outcome of the bet is a loss.

14. The system of claim 12, wherein each of the outcomes of the first bet component and the second bet component is a win and the outcome of the bet is a win.

15. The system of claim 12, wherein the first bet component is a loss if the value of the first financial market indicator is unchanged in the first predetermined period of time.

16. The system of claim 12, wherein the processor is further operable to determine a payout for the bet based at least in part upon the number of bet components that are determined to be a win.

17. The system of claim 12, wherein the first financial market indicator is associated with at least one of:

the Dow Jones Industrial Average;

the NASDAQ;

the Financial Times Stock Exchange;

the S&

P 500; and

the New York Stock Exchange.

18. The system of claim 12, wherein the bet identifies at least the first predetermined period of time.

19. The system of claim 12, wherein the first predetermined period of time equals the second predetermined period of time.

20. The system of claim 12, wherein the bet specifies a source of at least the first financial market indicator.

21. The system of claim 12, wherein:

the bet further comprises a third bet component indicating whether a value of a third financial market indicator will go up or go down in a third predetermined period of time; and

determining the outcome of the bet is further based at least in part upon an outcome of the third bet component.

22. The system of claim 12, wherein the processor is further operable to:

establish a financial instrument embodying at least the bet, the financial instrument comprising a price based at least in part upon a point count that varies according to the outcomes of at least a portion of the bet components; and

facilitate the transfer of the financial instrument for the price.

23. A method for wagering, comprising:

receiving a bet regarding a plurality of outcomes associated with financial market indicators, the bet comprising;

a first bet component indicating whether a particular digit of a first financial market indicator will be odd or even at the end of a first predetermined period of time; and

a second bet component indicating whether a particular digit of a second financial market indicator will be odd or even at the end of a second predetermined period of time;

determining an outcome of the first bet component based at least in part upon whether the particular digit of the first financial market indicator was odd or even at the end of the first predetermined period of time;

determining an outcome of the second bet component based at least in part upon whether the particular digit of the second financial market indicator was odd or even at the end of the second predetermined period of time; and

determining an outcome of the bet based at least in part upon the outcome of the first bet component and the outcome of the second bet component.

24. The method of claim 23, wherein at least one of the outcomes of the first bet component and the second bet component is a loss and the outcome of the bet is a loss.

25. The method of claim 23, wherein each of the outcomes of the first bet component and the second bet component is a win and the outcome of the bet is a win.

26. The method of claim 23, further comprising determining a payout for the bet based at least in part upon the number of bet components that are determined to be a win.

27. The method of claim 23, wherein the first financial market indicator is associated with at least one of:

the Dow Jones Industrial Average;

the NASDAQ;

the Financial Times Stock Exchange;

the S&

P 500; and

the New York Stock Exchange.

28. The method of claim 23, wherein the bet identifies at least the first predetermined period of time.

29. The method of claim 23, wherein the first predetermined period of time is equal to the second predetermined period of time.

30. The method of claim 23, wherein the bet specifies a source of at least the first financial market indicator.

31. The method of claim 23, wherein:

the bet further comprises a third bet component indicating whether a particular digit of a third financial market indicator will be odd or even at the end of a third predetermined period of time; and

determining the outcome of the bet is further based at least in part upon an outcome of the third bet component.

32. The method of claim 23, wherein the first financial market indicator comprises a plurality of digits and the particular digit comprises one of the plurality of digits that is identified by the bet.

33. The method of claim 23, further comprising:

establishing a financial instrument embodying at least the bet, the financial instrument comprising a price based at least in part upon a point count that varies according to the outcomes of at least a portion of the bet components; and

facilitating the transfer of the financial instrument for the price.

34. A system for wagering, comprising:

a memory operable to store a bet regarding a plurality of outcomes associated with financial market indicators, the bet comprising;

a first bet component indicating whether a particular digit of a first financial market indicator will be odd or even at the end of a first predetermined period of time; and

a second bet component indicating whether a particular digit of a second financial market indicator will be odd or even at the end of a second predetermined period of time; and

a processor coupled to the memory and operable to;

determine an outcome of the first bet component based at least in part upon whether the particular digit of the first financial market indicator was odd or even at the end of the first predetermined period of time;

determine an outcome of the second bet component based at least in part upon whether the particular digit of the second financial market indicator was odd or even at the end of the second predetermined period of time; and

determine an outcome of the bet based at least in part upon the outcome of the first bet component and the outcome of the second bet component.

35. The system of claim 34, wherein at least one of the outcomes of the first bet component and the second bet component is a loss and the outcome of the bet is a loss.

36. The system of claim 34, wherein each of the outcomes of the first bet component and the second bet component is a win and the outcome of the bet is a win.

37. The system of claim 34, wherein the processor is further operable to determine a payout for the bet based at least in part upon the number of bet components that are determined to be a win.

38. The system of claim 34, wherein the first financial market indicator is associated with at least one of:

the Dow Jones Industrial Average;

the NASDAQ;

the Financial Times Stock Exchange;

the S&

P 500; and

the New York Stock Exchange.

39. The system of claim 34, wherein the bet identifies at least the first predetermined period of time.

40. The system of claim 34, wherein the first predetermined period of time is equal to the second predetermined period of time.

41. The system of claim 34, wherein the bet specifies a source of at least the first financial market indicator.

42. The system of claim 34, wherein:

the bet further comprises a third bet component indicating whether a third financial market indicator will be odd or even at the end of a third predetermined period of time; and

determining the outcome of the bet is further based at least in part upon an outcome of the third bet component.

43. The system of claim 34, wherein the first financial market indicator comprises a plurality of digits and the particular digit comprises one of the plurality of digits that is identified by the bet.

44. The system of claim 34, wherein the processor is further operable to:

establish a financial instrument embodying at least the bet, the financial instrument comprising a price based at least in part upon a point count that varies according to the outcomes of at least a portion of the bet components; and

facilitate the transfer of the financial instrument for the price.

45. A method for wagering, comprising:

receiving a bet regarding a plurality of outcomes associated with financial market indicators, the bet comprising;

a first bet component indicating whether a particular digit of a first financial market indicator will be in a first selected range of a plurality of numerical ranges at the end of a first predetermined period of time; and

a second bet component indicating whether a particular digit of a second financial market indicator will be in a second selected range of a plurality of numerical ranges at the end of a second predetermined period of time;

determining an outcome of the first bet component based at least in part upon whether the particular digit of the first financial market indicator was in the first selected range at the end of the first predetermined period of time;

determining an outcome of the second bet component based at least in part upon whether the particular digit of the second financial market indicator was in the second selected range at the end of the second predetermined period of time; and

determining an outcome of the bet based at least in part upon the outcome of the first bet component and the outcome of the second bet component.

46. The method of claim 45, wherein at least one of the outcomes of the first bet component and the second bet component is a loss and the outcome of the bet is a loss.

47. The method of claim 45, wherein each of the outcomes of the first bet component and the second bet component is a win and the outcome of the bet is a win.

48. The method of claim 45, further comprising determining a payout for the bet based at least in part upon the number of bet components that are determined to be a win.

49. The method of claim 45, wherein the first financial market indicator is associated with at least one of:

the Dow Jones Industrial Average;

the NASDAQ;

the Financial Times Stock Exchange;

the S&

P 500; and

the New York Stock Exchange.

50. The method of claim 45, wherein the bet identifies at least the first predetermined period of time.

51. The method of claim 45, wherein the first predetermined period of time is equal to the second predetermined period of time.

52. The method of claim 45, wherein the bet specifies a source of at least the first financial market indicator.

53. The method of claim 45, wherein:

the bet further comprises a third bet component indicating whether a particular digit of a third financial market indicator will be in a third selected range of a plurality of numerical ranges at the end of a third predetermined period of time; and

determining the outcome of the bet is further based at least in part upon an outcome of the third bet component.

54. The method of claim 45, wherein the first financial market indicator comprises a plurality of digits and the particular digit comprises one of the plurality of digits that is identified by the bet.

55. The method of claim 45, wherein at least a portion of the first selected range overlaps with the second selected range.

56. The method of claim 45, further comprising:

establishing a financial instrument embodying at least the bet, the financial instrument comprising a price based at least in part upon a point count that varies according to the outcomes of at least a portion of the bet components; and

facilitating the transfer of the financial instrument for the price.

57. A system for wagering, comprising:

a memory operable to store a bet regarding a plurality of outcomes associated with financial market indicators, the bet comprising;

a first bet component indicating whether a particular digit of a first financial market indicator will be in a first selected range of a plurality of numerical ranges at the end of a first predetermined period of time; and

a second bet component indicating whether a particular digit of a second financial market indicator will be in a second selected range of a plurality of numerical ranges at the end of a second predetermined period of time; and

a processor coupled to the memory and operable to;

determine an outcome of the first bet component based at least in part upon whether the particular digit of the first financial market indicator was in the first selected range at the end of the first predetermined period of time;

determine an outcome of the second bet component based at least in part upon whether the particular digit of the second financial market indicator was in the second selected range at the end of the second predetermined period of time; and

determine an outcome of the bet based at least in part upon the outcome of the first bet component and the outcome of the second bet component.

58. The system of claim 57, wherein at least one of the outcomes of the first bet component and the second bet component is a loss and the outcome of the bet is a loss.

59. The system of claim 57, wherein each of the outcomes of the first bet component and the second bet component is a win and the outcome of the bet is a win.

60. The system of claim 57, wherein the processor is further operable to determine a payout for the bet based at least in part upon the number of bet components that are determined to be a win.

61. The system of claim 57, wherein the first financial market indicator is associated with at least one of:

the Dow Jones Industrial Average;

the NASDAQ;

the Financial Times Stock Exchange;

the S&

P 500; and

the New York Stock Exchange.

62. The system of claim 57, wherein the bet identifies at least the first predetermined period of time.

63. The system of claim 57, wherein the first predetermined period of time is equal to the second predetermined period of time.

64. The system of claim 57, wherein the bet identifies a source of at least the first financial market indicator.

65. The system of claim 57, wherein:

the bet further comprises a third bet component indicating whether a third financial market indicator will be in a third selected range of a plurality of ranges at the end of a third predetermined period of time; and

determining the outcome of the bet is further based at least in part upon an outcome of the third bet component.

66. The system of claim 57, wherein the first financial market indicator comprises a plurality of digits and the particular digit comprises one of the plurality of digits that is identified by the bet.

67. The system of claim 57, wherein at least a portion of the first selected range overlaps with the second selected range.

68. The method of claim 57, wherein the processor is further operable to:

establish a financial instrument embodying at least the bet, the financial instrument comprising a price based at least in part upon a point count that varies according to the outcomes of at least a portion of the bet components; and

facilitate the transfer of the financial instrument for the price.