Data processing: financial – business practice – management – or co – Automated electrical financial or business practice or... – Finance
Reexamination Certificate
1997-12-02
2001-07-31
Stamber, Eric W. (Department: 2765)
Data processing: financial, business practice, management, or co
Automated electrical financial or business practice or...
Finance
C705S037000, C705S039000, C706S925000, C380S029000, C380S029000
Reexamination Certificate
active
06269345
ABSTRACT:
BACKGROUND OF THE INVENTION
Field of the Invention
This invention relates to a system for exchanging, between several entities, quantities which are expressed in different units of measurement but convertible to and from one another, each of these units being associated with a parameter varying randomly as a function of time.
It applies notably, though not exclusively, to international exchanges of goods and services which are usually carried out using a counterpart value expressed in one or more currencies, and, in certain cases, using the currency of one state as reference currency. However, it so happens that, on the one hand, the real value (in terms of purchasing power) of the currencies of all states, without any exceptions, are subjected to variations occurring more or less suddenly, and, on the other hand, currency exchange rates undergo unforeseeable fluctuations that can entail considerable losses in the case of international transactions. These variations are brought about by a large number of factors, particularly the economic strength of the state in which the currency is issued, the quantity of money issued and currency speculation.
Indeed, it is crucial that the prices, in real value, demanded and paid for goods and services exchanged between states be set over a period of sufficient duration. This is not the case due to the fact that national currency exchange rates rise and fall, in a chronically feverish manner, and which most often do not therefore reflect the true relative positions, either at the time or at which they can be estimated at some point in the future, of the states in which these currencies are issued.
Furthermore, with the current monetary system, the exchange rates between currencies cannot be stabilized. In fact, when a currency is artificially driven downward in relation to other currencies as a result of speculation, the only means of countering this speculation, in order to stabilize the exchange rate in relation to the other national currencies, consists in exchanging said currency for a corresponding quantity of a stronger currency issued for this purpose. However, this operation has the effect of increasing the supply of money in circulation in the case of the stronger currency, and therefore of increasing inflation in the market of the country that issued said currency.
OBJECT OF THE INVENTION
The main object of this invention is to remedy the preceding disadvantages, particularly to provide a transfer system that can be used to regulate monetary flows in international transactions, this system enabling the transfer of quantities, measured in different local units of measurement, between a plurality of entities, each entity using a local unit of measurement of its own associated with at least one parameter varying randomly as a function of time.
SUMMARY OF THE INVENTION
According to the invention, each entity is associated with a respective peripheral computer connected to a central computer by means of a transmission network, each peripheral computer comprising:
a means for determining a first conversion operation to convert the local unit of measurement, used by the associated entity, into a predetermined reference unit, and a second conversion operation for reciprocally converting the reference unit into the local unit of measurement used by the associated entity, the reference unit being associated with a parameter of constant real value, and these conversion operations taking into account previous variations of the parameter associated with the local unit of measurement,
a first transfer means for transferring, to another entity, quantities measured in the local unit used by the entity, this means applying the first conversion operation to the quantity to be transferred so as to obtain the equivalent quantity in reference units, and transferring this quantity along with the indication specifying the entity for which said quantity is destined, via the transmission network to the central computer, and
a second transfer means for transferring, from the central computer, quantities expressed in reference units, this means applying the second conversion operation to these quantities in order to obtain the equivalent quantity in the local units used by the associated entity, and transferring said equivalent quantity in local units to the associated entity via the transmission network,
the central computer comprising a means for receiving and storing the quantities in reference units transferred by the peripheral computers of the entities, and for transmitting quantities expressed in reference units to the peripheral computers.
When the system according to the invention is applied to international commercial transactions, the local units correspond to national currencies, whereas the reference unit corresponds to a reference currency created to be stable, in terms of purchasing power, in one of the states whose national currency has been selected as a basis for conversion with the reference currency. Thus, funds converted into the reference currency retain their value once the first conversion into the reference unit or currency has been performed, and up until the second conversion operation. This prevents variances in real value generated by the conversions between national currencies whose variations in real value (purchasing power) and exchange rate variations are not systemically related.
Advantageously, the quantities measured in reference units are only used for the transfer of quantities between the systems, whereas the quantities expressed in local units can be exchanged within the entities. Thus, when the system according to the invention is applied to currencies, the reference unit or currency is not used for local transactions within a state, but solely for international transactions; it is therefore not exposed to the causes entailing depreciation of local or national currencies, i.e. local money supply circulating within a state, production, consumption, wages or import prices.
The respective conversion rates of the local units vary as a function of the quantities of local units circulated respectively by the different entities. Thus, when the parameter associated with a local unit of an entity depreciates abnormally in relation to those associated with the other local units, the system according to the invention can further comprise a means for triggering the first transfer means, with the first entity as destination, applied to a certain quantity measured in this local unit, which has the effect of withdrawing this quantity in local units from the first entity, of applying the first conversion operation thereto, and of transferring in exchange the equivalent quantity expressed in reference units, from the central computer to the peripheral computer of this unit.
Conversely, when the parameter associated with the local unit of an entity exceeds an upper threshold in relation to the parameters associated with the other local units, the system according to the invention comprises a means for triggering the second transfer means applied to a certain quantity of reference units towards this entity, which has the effect of applying the second conversion operation to the quantity expressed in reference units, and of transferring in exchange the equivalent quantity expressed in the local units of this entity, from the central computer to the peripheral computer of this entity.
When applied to currencies, the available money supply of the reference currency not being limited, it can be created or suppressed according to requirements in order to automatically regulate the respective values of the other currencies. The system according to the invention is thus capable of stabilizing the rates at which the national currencies are exchanged, thus enabling panic to be overcome and speculation to be deterred.
According to another feature of the invention, the second conversion operation uses a conversion factor which increases with time. In this way, quantities in local units and converted into reference units have a value that varies
Drucker William A.
Robinson-Boyce Akiba
Stamber Eric W.
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