DETAILED ACTION
Status of the Application
Notice of Pre-AIA or AIA Status
The present application, filed on or after March 16, 2013, is being examined under the first inventor to file provisions of the AIA .
In the event the determination of the status of the application as subject to AIA 35 U.S.C. 102 and 103 (or as subject to pre-AIA 35 U.S.C. 102 and 103) is incorrect, any correction of the statutory basis for the rejection will not be considered a new ground of rejection if the prior art relied upon, and the rationale supporting the rejection, would be the same under either status
This action is a Final Action on the merits in response to the application filed on 08/14/2025.
Claims 1 has been amended.
Claims 1-20 remain pending in this application.
Foreign Priority
The Examiner/office acknowledges that the applicant claims foreign priority to the date 12/09/2021.
Response to Amendment
Applicant’s amendments are acknowledged.
The 35 U.S.C. 101 rejections of claims 1-20 in the previous office action are withdrawn in light of applicant’s amendments, however a new 101 rejections was added.
The 35 U.S.C. 102 rejections of claims 1-20 in the previous office action have been maintained.
Claim Rejections - 35 USC § 101
35 U.S.C. 101 reads as follows:
Whoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title.
Claims 1-9 are directed towards a method, claims 10-15 are directed towards a computer-readable storage medium, and claims 16-20 are directed towards a server, all of which are among the statutory categories of invention.
Step 1: This part of the eligibility analysis evaluates whether the claim falls within any statutory category. See MPEP 2106.03. The claim recites at least one step or act, including applying an algorithm to a dataset. Thus, the claim is to a process, which is one of the statutory categories of invention. (Step 1: YES).
Step 2A, Prong One: This part of the eligibility analysis evaluates whether the claim recites a judicial exception. As explained in MPEP 2106.04, subsection II, a claim “recites” a judicial exception when the judicial exception is “set forth” or “described” in the claim.
With respect to claims 1-20, the independent claims (claims 1, 10, and 16) are directed to managing of transactions between users, In independent claim 1, the bolded limitations emphasized below correspond to the abstract ideas of the claimed invention:
Claim 1, A method of forming a dynamic, anonymous market for over-the- counter (OTC) trade of a financial instrument, the method comprising:
operating at least one server of an electronic communication network (ECN) to carry out a series of acts, the series of acts comprising:
receiving at least one first communication, from a first user of a plurality of users, comprising a description of the financial instrument the first user is seeking to trade;
forming a market for trade of the financial instrument, wherein forming the market comprises:
identifying a plurality of second users, from among the plurality of users, to solicit for trading interest in the financial instrument, wherein identifying the plurality of second users comprises evaluating at least one data store of indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited, the indications of interest for a user indicating financial instruments and/or types of financial instruments in which the user has indicated interest in being solicited;
outputting to the plurality of second users via the ECN electronic communications soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument, the market level information comprising a bid price and an offer price for the financial instrument, and wherein the electronic communications soliciting the plurality of second users comprise information identifying the financial instrument to the plurality of second users and not identifying the first user to the plurality of second users;
generating order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting, the order information comprising both bid and offer prices for trade in the financial instrument;
prompting the first user to make a trade in the financial instrument with one or more of the participating users at a price indicated by the order book information generated from the market level information received from the participating users;
following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, electronically distributing the order book information for the financial instrument to a plurality of third users, of the plurality of second users, and prompting the plurality of third users for further trades in the financial instrument;
following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring the at least one server not to communicate messages relating to trade in the market following termination.
these steps fall within the commercial interaction such as sales activities; managing personal behavior such as social activities and following rules or instructions (See MPEP 2106.04(a)(2), subsection II).
Regarding steps of:
carry out a series of acts, the series of acts comprising:
receiving at least one first communication, from a first user of a plurality of users, comprising a description of the financial instrument the first user is seeking to trade;
forming a market for trade of the financial instrument, wherein forming the market comprises:
identifying a plurality of second users, from among the plurality of users, to solicit for trading interest in the financial instrument, wherein identifying the plurality of second users comprises evaluating at least one data store of indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited, the indications of interest for a user indicating financial instruments and/or types of financial instruments in which the user has indicated interest in being solicited;
outputting to the plurality of second users soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument, the market level information comprising a bid price and an offer price for the financial instrument, and wherein soliciting the plurality of second users comprise information identifying the financial instrument to the plurality of second users and not identifying the first user to the plurality of second users;
generating order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting, the order information comprising both bid and offer prices for trade in the financial instrument;
prompting the first user to make a trade in the financial instrument with one or more of the participating users at a price indicated by the order book information generated from the market level information received from the participating users;
following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, distributing the order book information for the financial instrument to a plurality of third users, of the plurality of second users, and prompting the plurality of third users for further trades in the financial instrument;
following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring not to communicate messages relating to trade in the market following termination.
The claim does not impose any limits on how the data is output or require any particular components that are used to output the data. (Step 2A, Prong One: YES).
Step 2A, Prong Two: This part of the eligibility analysis evaluates whether the claim as a whole integrates the recited judicial exception into a practical application of the exception or whether the claim is “directed to” the judicial exception. This evaluation is performed by (1) identifying whether there are any additional elements recited in the claim beyond the judicial exception, and (2) evaluating those additional elements individually and in combination to determine whether the claim as a whole integrates the exception into a practical application. See MPEP 2106.04(d). The claim recites the additional elements of instrument, server, ECN, Computer-readable storage medium, processor. The claims recite the steps are performed by the instrument, server, ECN, Computer-readable storage medium, processor.
The limitations of
carry out a series of acts, the series of acts comprising:
receiving at least one first communication, from a first user of a plurality of users, comprising a description of the financial instrument the first user is seeking to trade;
forming a market for trade of the financial instrument, wherein forming the market comprises:
identifying a plurality of second users, from among the plurality of users, to solicit for trading interest in the financial instrument, wherein identifying the plurality of second users comprises evaluating at least one data store of indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited, the indications of interest for a user indicating financial instruments and/or types of financial instruments in which the user has indicated interest in being solicited;
outputting to the plurality of second users soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument, the market level information comprising a bid price and an offer price for the financial instrument, and wherein soliciting the plurality of second users comprise information identifying the financial instrument to the plurality of second users and not identifying the first user to the plurality of second users;
generating order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting, the order information comprising both bid and offer prices for trade in the financial instrument;
prompting the first user to make a trade in the financial instrument with one or more of the participating users at a price indicated by the order book information generated from the market level information received from the participating users;
following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, distributing the order book information for the financial instrument to a plurality of third users, of the plurality of second users, and prompting the plurality of third users for further trades in the financial instrument;
following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring not to communicate messages relating to trade in the market following termination.
are mere data gathering and output recited at a high level of generality, and thus are insignificant extra-solution activity. See MPEP 2106.05(g) (“whether the limitation is significant”). In addition, all uses of the recited judicial exceptions require such data gathering and output, and, as such, these limitations do not impose any meaningful limits on the claim. These limitations amount to necessary data gathering and outputting. See MPEP 2106.05.
Further, the limitations are recited as being performed by instrument, server, ECN, Computer-readable storage medium, processor. The instrument, server, ECN, Computer-readable storage medium, processor are recited at a high level of generality. In limitation (a), the server is used as a tool to perform the generic computer function of receiving data. See MPEP 2106.05(f). The server is used to perform an abstract idea, as discussed above in Step 2A, Prong One, such that it amounts to no more than mere instructions to apply the exception using a generic computer. See MPEP 2106.05(f).
Even when viewed in combination, these additional elements do not integrate the recited judicial exception into a practical application (Step 2A, Prong Two: NO), and the claim is directed to the judicial exception. (Step 2A: YES).
Step 2B: This part of the eligibility analysis evaluates whether the claim as a whole amounts to significantly more than the recited exception i.e., whether any additional element, or combination of additional elements, adds an inventive concept to the claim. See MPEP 2106.05. As explained with respect to Step 2A, Prong Two, the additional elements are the instrument, server, ECN, Computer-readable storage medium, processor. The additional elements were found to be insignificant extra-solution activity in Step 2A, Prong Two, because they were determined to be insignificant limitations as necessary data gathering and outputting. However, a conclusion that an additional element is insignificant extra solution activity in Step 2A, Prong Two should be re-evaluated in Step 2B. See MPEP 2106.05, subsection I.A. At Step 2B, the evaluation of the insignificant extra-solution activity consideration takes into account whether or not the extra-solution activity is well understood, routine, and conventional in the field. See MPEP 2106.05(g). As discussed in Step 2A, Prong Two above, the recitations of
carry out a series of acts, the series of acts comprising:
receiving at least one first communication, from a first user of a plurality of users, comprising a description of the financial instrument the first user is seeking to trade;
forming a market for trade of the financial instrument, wherein forming the market comprises:
identifying a plurality of second users, from among the plurality of users, to solicit for trading interest in the financial instrument, wherein identifying the plurality of second users comprises evaluating at least one data store of indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited, the indications of interest for a user indicating financial instruments and/or types of financial instruments in which the user has indicated interest in being solicited;
outputting to the plurality of second users soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument, the market level information comprising a bid price and an offer price for the financial instrument, and wherein soliciting the plurality of second users comprise information identifying the financial instrument to the plurality of second users and not identifying the first user to the plurality of second users;
generating order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting, the order information comprising both bid and offer prices for trade in the financial instrument;
prompting the first user to make a trade in the financial instrument with one or more of the participating users at a price indicated by the order book information generated from the market level information received from the participating users;
following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, distributing the order book information for the financial instrument to a plurality of third users, of the plurality of second users, and prompting the plurality of third users for further trades in the financial instrument;
following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring not to communicate messages relating to trade in the market following termination.
are recited at a high level of generality. These elements amount to transmitting data and are well understood, routine, conventional activity. See MPEP 2106.05(d), subsection II. 10 As discussed in Step 2A, Prong Two above, the recitation of a processor to perform limitations amounts to no more than mere instructions to apply the exception using a generic computer component. Even when considered in combination, these additional elements represent mere instructions to implement an abstract idea or other exception on a computer and insignificant extra-solution activity, which do not provide an inventive concept. (Step 2B: NO).
Dependent claims 2-9, 11-15, 17-20 are not directed to any additional claim elements. Rather, these claims offer further descriptive limitations of elements found in the independent claims. In this case, the claims are rejected for the same reasons at step 2a, prong one; step 2a, prong 2; and step 2b. Thus, the claim is not patent eligible.
Regarding the dependent claims, dependent claims 2, 4, 7, 11, 12, 17, 18, recite forming with the at least one server of the ECN the market for trade; claim 5, 13, 19 recite executing trades with at least one server; claim 6, 14, 20 recite outputting soliciting to user via the ECN electronic communications; claim 8, 15 recite operating at least one server to carry out series of acts. The dependent claims 2-9, 11-15, 17-20 recite limitations that are not technological in nature and merely limits the abstract idea to a particular environment. Claims 2-9, 11-15, 17-20 recites servers and communication which are considered an insignificant extra-solution activities of collecting and delivering data; see MPEP 2106.05(g). Claims 2-9, 11-15, 17-20 recites servers and communication, which merely recites an instruction to apply the abstract idea using a generic computer component; MPEP 2106.05(f). Additionally, claims 2-9, 11-15, 17-20 recite steps that further narrow the abstract idea. No additional elements are disclosed in the dependent claims that were not considered in independent claims 1, 10, and 16. Therefore claims 2-9, 11-15, 17-20 do not provide meaningful limitations to transform the abstract idea into a patent eligible application of the abstract idea such that the claims amount to significantly more than the abstract idea itself.
Claim Rejections - 35 USC § 102
The following is a quotation of the appropriate paragraphs of 35 U.S.C. 102 that form the basis for the rejections under this section made in this Office action:
A person shall be entitled to a patent unless –
(a)(1) the claimed invention was patented, described in a printed publication, or in public use, on sale or otherwise available to the public before the effective filing date of the claimed invention.
Claims 1-20 are rejected under 35 U.S.C. 102(a)(1) as being anticipated by U.S. Patent Application Publication No. 20070118459, Bauerschmidt, et al.
Referring to Claim 1, Bauerschmidt teaches a method of forming a dynamic, anonymous market for over-the-counter (OTC) trade of a financial instrument, the method comprising:
operating at least one server of an electronic communication network (ECN) to carry out a series of acts, the series of acts comprising:
receiving at least one first communication, from a first user of a plurality of users, comprising a description of the financial instrument the first user is seeking to trade (
receiving a request (first communication), from a first entity 104 (first user) of a plurality of entities, comprising a particular foreign exchange instrument the first entity 104 is seeking to trade; figure 7; paragraph (01731);
forming a market for trade of the financial instrument, wherein forming the market comprises:
identifying a plurality of second users, from among the plurality of users, to solicit for trading interest in the financial instrument (matching (forming a market) the request to transact with a counter request for the foreign exchange instrument, comprising identifying one or more second entities 106 (second user), from a plurality of entities, to request for trading in the foreign exchange instrument; figures 1, 7; paragraph (0173]), wherein identifying the plurality of second users comprises evaluating at least one data store of indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited, the indications of interest for a user indicating financial instruments and/or types of financial instruments in which the user has indicated interest in being solicited (
selection of the plurality of second entities 106 comprises, evaluating market maker profile information known to the system provided by the entities to determine whether the plurality of second entities 106 are an interested party for the foreign exchange instrument; figures 1, 4; paragraphs [0021], (0173], [0208], [02141);
outputting to the plurality of second users via the ECN electronic communications soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument (
sending a request to transact to the plurality of second entities 106 via the RFQ server 118 requesting the plurality of second entities to provide data and parameters (market level information) for a potential trade of the foreign exchange instrument; figures 1, 4; paragraphs [0021], [0173], [0208], [02141),
the market level information comprising a bid price and an offer price for the financial instrument (
the data and parameters comprise a bid/ask price for the foreign exchange instrument; figure 3; paragraphs [0061-0062]. (0208], [02141),
and wherein the electronic communications soliciting the plurality of second users comprise information identifying the financial instrument to the plurality of second users and not identifying the first user to the plurality of second users (
the requests from the RFQ server 118 to the plurality of second entities 106 comprise a unique identification number for the foreign exchange instrument and each quote is anonymous; figure 1; paragraphs [0176], [0200]. [0208], [02141);
generating order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting, the order information comprising both bid and offer prices for trade in the financial instrument (
generating an order book from the data and parameters received from participating entities of the plurality of second entities 106 requested, the order book information comprising bid and ask prices for trade of the foreign exchange instrument; figures 1, 3; paragraphs (0061-0062], [0065], (0198], [0208], (02141);
prompting the first user to make a trade in the financial instrument with one or more of the participating users at a price indicated by the order book information generated from the market level information received from the participating users (
prompting the originator first entity 104 to make a trade in the foreign exchange instrument with one or more to of the participating second entities 106 at a price indicated by the order book information generated from the parameters and data received from the participating entities; figures 1, 3; paragraphs [0173], [0199-0202], [0208], [0214]);
following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, electronically distributing the order book information for the financial instrument to a plurality of third users, of the plurality of second users (
expiration of time (0044-0048], following expiration of the Time-To-Live function (timer) of a first quote, the RFQ server 118 distributes the order book information for the foreign exchange instrument to a plurality of remaining entities 106 (third users), of the plurality of entities with TTL still going; figures 1, 2A, 2B, 3; paragraphs (0173], (0193-0202], (0207-0208, 0210], [02141),
Bauerschmidt describes the interactions of a plurality of multiple types of user, which can include first, second, and third users such as:
Existing Reuters Customers that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
New Marketplace Users that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
Then, you have Existing CME Customers that can include first and second users itself with, CME GUI User and CME API User.
Each of these entities work with the trading process to execute trades with a network that distribute the information of the trades to the plurality of the first, second, and third users, which includes the expiration of time.
and prompting the plurality of third users for further trades in the financial instrument (
prompting entities 106 with TTL not expired (third users) for trades of the foreign exchange instrument; figures 1, 3; paragraphs [0173]. (0193-0202], (0207-0208]. (02141);
Bauerschmidt describes the interactions of a plurality of multiple types of user, which can include first, second, and third users such as:
Existing Reuters Customers that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
New Marketplace Users that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
Then, you have Existing CME Customers that can include first and second users itself with, CME GUI User and CME API User.
Each of these entities work with the trading process to execute trades with a network that distribute the information of the trades to the plurality of the first, second, and third users, which includes the expiration of time. Further, Bauerschmidt encourage the prompting of trade interactions with multiple users, which would include third users, through incentives.
following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring the at least one server not to communicate messages relating to trade in the market following termination (
following the expiration of the remaining entities with TTL still going (second timer) and the originator first entity 104 accepting a trade, all other quotes are immediately canceled (terminating the market), wherein the RFQ server 118 will not accept any more responses; figures 1, 3; paragraphs [0173], (0193-0204], [0207-0208, 0210, 0211, 0215, 0022]. (02141).Table 2).
Bauerschmidt describes the TTL as a timer, which the TTL can be extended, in which the Examiner is interpreting that as a second timer and cancelling trades and trade messages at Table, that works with a central server at 0215.
Referring to Claim 2, Bauerschmidt teaches the method of claim 1, wherein forming, with the at least one server of the ECN, the market for trade of the financial instrument further comprises setting a length of the first timer controlling the phase transition of the market and/or the second timer relating to termination of the market, wherein setting the length of the first and/or second timers comprises setting the length of the first and/or second timers based at least in part on one or more characteristics of the financial instrument (
matching, via the RFQ server 118, the request to transact with a counter request for the foreign exchange instrument comprises setting the Time to Live "TTL" parameter controlling how long a quote remains on the market before it expires, wherein setting the TTL parameter is based on the origin of the quote; figure 1; paragraphs [0173], [0186-0203], [0207]).
Referring to Claim 3, Bauerschmidt teaches the method of claim 1, wherein generating the order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting comprises generating the order book information in response to determining that at least a threshold number of quotes have been received from the participating users (
generating the order book information from the parameters and data received from the participating entities 106 of the plurality of entities requested comprises generating the order book information in the private order book in response to at least one quote having been received from participating entities figures 1, 3; paragraphs [0061-0062], [0065], [0176], [0192-0203] [0198], [0208], [0214]).
Referring to Claim 4, Bauerschmidt teaches the method of claim 1, wherein forming, with the at least one server of the ECN, the market for trade of the financial instrument further comprises executing trades between users of the plurality of third users following the prompting the plurality of third users for further trades, the trades between the users of the plurality of third users not including trades involving the first user (
matching, via the RFQ server 118, the request to transact with a counter request for the foreign exchange instrument comprises executing trades between entities of the plurality of entities 106 with TTL still going after requesting to trade, the trades between the plurality of entities are not including trades with entities 106 with TTL expired; figures 1, 3; paragraphs (0173],
[0193-0202], [0207-0208]. [0214]).
Referring to Claim 5, Bauerschmidt teaches the method of claim 4, wherein executing trades between users of the plurality of third users with the at least one server of the ECN comprises: determining, from the order book information, at least one matched pair of quotes indicated in the order book, each matched pair of the at least one matched pair corresponding to a pair of users of the plurality of third users (
matching the request to transact with a counter request for the foreign exchange instrument using the bid/ask information in the orderbook, the matched pair corresponding to a pair of entities of the plurality of entities 106 with TTL still going; figures 1, 3; paragraphs [0061-0062], [0065], [0173], [0193-0202], [0214]);
executing a trade for each matched pair of quotes of the at least one matched pair of quotes without, following the determining of the matched pair, prompting a corresponding pair of users for the matched pair for whether the corresponding pair of users desires the trade (
executing a trade on behalf of each matched pair of quotes between entities can be done automatically (without prompting) following determining a matched pair between entities in the order book matches the originator entity 104 requirements; figures 1, 3; paragraphs [0061-0062], [0065], [0173], (0193-0202), (0214-0215)).
Referring to Claim 6, Bauerschmidt teaches the method of claim 1, wherein outputting to the plurality of second users via the ECN the electronic communications soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument comprises outputting the electronic communications soliciting the plurality of second users to provide market level information for a potential trade of at least a set amount of the financial instrument (
requesting the plurality of second entities 106 via RFQ server 118 to provide data and parameters for a potential trade of the foreign exchange instrument comprises displaying the quantity requested of the foreign exchange instrument in terms of notional amount; figures 1, 3; paragraphs (0177-0181)).
Referring to Claim 7, Bauerschmidt teaches the method of claim 6, wherein forming, with the at least one server of the ECN, the market for trade of the financial instrument further comprises, in response to determining that pair of trading users is to perform a trade of the financial instrument, the pair of trading users including the first user or two users of the plurality of third users (
matching, via the RFQ server 118, the requests to trade the foreign exchange instrument further comprises, in response to matching a pair of entities to perform a trade of the foreign exchange instrument, the pair of entities including the first entity 104 and the second entity 106 with TTL still going; figures 1, 3; paragraphs [0061-0062), (0065), (0173), (0193-0202), (02141)):
determining a first desired trading amount for a first trading user of the pair of trading users (
determining a first notional amount for a first entity 104 of the pair of entities; figures 1, 3; paragraphs [0173), [01781);
determining a second desired trading amount for a second trading user of the pair of trading users (
determining second notional amount for a second entity 106 of the pair of entities; figures 1, 3; paragraphs (0173), (01781));
determining a lesser amount of the first desired trading amount and the second desired trading amount (
determining a lesser notional amount of both the notional amounts via the RFQ server 118 order book information; figure 3; paragraphs (0061-0062), [0065), (0173), (0178-0182));
informing the pair of trading users that the trade will be executed for the lesser amount without informing the first trading user of the second desired trading amount and without informing the second trading user of the first desired trading amount (
informing the pair of entities that the trade will be executed for the lesser amount so long as the trade matches the first entity 104 requirements while keeping requests and quotes anonymous; paragraphs (0173), (0176), (0205), (0214-0215)).
Referring to Claim 8, Bauerschmidt teaches the method of claim 1, wherein:
operating the at least one server of the ECN to carry out the series of acts further comprises receiving registration information for each user of the plurality of users (
operating the RFQ server 118 to carry out the trading of foreign exchange instruments among a plurality of entities comprises collecting registration data for each entity of the plurality of entities; paragraphs (0119), (01731),
the registration information comprising for each user the indications of interest indicating the financial instruments and/or types of financial instruments in which the user is interested in being solicited to trade (
the registration data for each entity comprises market maker profile information and business requirements for selective routing based on types of financial instruments; paragraphs [0119]. (0208), (02141),
wherein receiving the indications of interest comprises receiving one or more indication attributes and/or desired indication values of indication attributes for the financial instruments and/or the types of financial instruments in which the user is interested in being solicited to trade (
receiving the market maker profile and business requirements comprises receiving desired risk values 612 associated with the financial instruments the entity is being requested to trade; paragraphs [0119), [0171), (0208), (02141);
receiving from the first user the at least one first communication comprising the description of the financial instrument the first user is seeking to trade comprises receiving one or more instrument attributes and/or one or more instrument attribute values for the financial instrument (
receiving from the first entity 104 the request to trade the financial instrument comprises receiving the risk value 612 associated with the financial instrument the first entity 104 is seeking to trade; paragraphs (0171), (0173], [0208]. [02141);
evaluating the indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited comprises comparing, for each user of the plurality of users, the one or more instrument attributes and/or one or more instrument attribute values to the one or more indication attributes and/or desired indication values of indication attributes (
selecting entities based on their market maker profile and business requirements to trade the financial instrument comprises comparing, for each entity of the plurality of entities, the risk value 612 to their market maker profile and business requirements; paragraphs [0171], (0173], (0208], (02141).
Referring to Claim 9, Bauerschmidt teaches the method of claim 1, wherein:
receiving from the first user the at least one first communication comprising the description of the financial instrument the first user is seeking to trade comprises receiving an indication of whether the first user would like to buy or sell the financial instrument (
receiving from the first entity 104 the request to trade comprising the particular foreign exchange instrument the entity 104 is seeking to trade comprises receiving an indication of the first entity 104 sell-side or buy-side of the foreign exchange instrument; figure 7; paragraph (0173], (01841);
the electronic communications soliciting the plurality of second users to provide both the bid price and the offer price for the financial instrument do not indicate that the first user has indicated a desire to buy or to sell (
the request to trade sent to the plurality of second entities 106 to provide the bid and ask price for the foreign exchange instrument hides the sell-side or buy-side information to the second entities 106; figure 3; paragraphs (0061-0062] (0173], (0178], (01841).
Claims 10-15 recite limitations that stand rejected via the art citations and rationale applied to claim 1, 2, 4-8. Regarding an information processing system comprising: at least one computer-readable storage medium having encoded thereon executable instructions that, when executed by at least one processor, cause the at least one processor to carry out a method of forming a dynamic, anonymous market for over-the-counter (OTC) trade of a financial instrument (
computer program code stored in a memory and executable by one or more processors to carry out the functionality of a method for anonymous trading of over the counter foreign exchange contracts on a centralized matching and clearing mechanism; abstract; paragraphs (0020), (01721)
Claims 16-20 recite limitations that stand rejected via the art citations and rationale applied to claim 1, 2, 4-7. Regarding at least one server of an electronic communication network (ECN) (
(a request-for-quote "RFQ" server 118 to carry out trading; figures 1, 2A, 2B; paragraphs [0021], (0042), [02111),
the at least one server comprising: at least one processor; at least one computer-readable storage medium having encoded thereon executable instructions that, when executed by the at least one processor, cause the at least one processor to carry out a method of forming a dynamic, anonymous market for over-the-counter (OTC) trade of a financial instrument (
computer program code stored in a memory and executable by one or more processors to carry out the functionality of a method for anonymous trading of over the counter foreign exchange contracts on a centralized matching and clearing mechanism; abstract; paragraphs (0020], (01721)),
Response to Arguments
Applicant’s arguments filed 08/14/2025 have been fully considered but they are not persuasive. Applicant’s arguments will be addressed hereinbelow in the order in which they appear in the response filed 08/14/2025.
Regarding the 35 U.S.C. 103 rejection, at pg. 14, Applicant argues “Bauerschmidt does not disclose "following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, electronically distributing the order book information for the financial instrument to a plurality of third users of the second users," as recited by claim 1.”
In response, the Examiner respectfully disagrees. Bauerschmidt describes the interactions of a plurality of multiple types of user, which can include first, second, and third users such as:
Existing Reuters Customers that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
New Marketplace Users that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
Then, you have Existing CME Customers that can include first and second users itself with, CME GUI User and CME API User.
Each of these entities work with the trading process to execute trades with a network that distribute the information of the trades to the plurality of the first, second, and third users, which includes the expiration of time.
At pg. 16, Applicant argues “Bauerschmidt does not disclose " Bauerschmidt does not disclose "following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market ... prompting the plurality of third users for further trades in the financial instrument.”
In response, the Examiner respectfully disagrees. Bauerschmidt describes the interactions of a plurality of multiple types of user, which can include first, second, and third users such as:
Existing Reuters Customers that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
New Marketplace Users that can include first and second users itself with, Marketplace GUI User and Marketplace API User.
Then, you have Existing CME Customers that can include first and second users itself with, CME GUI User and CME API User.
Each of these entities work with the trading process to execute trades with a network that distribute the information of the trades to the plurality of the first, second, and third users, which includes the expiration of time. Further, Bauerschmidt encourage the prompting of trade interactions with multiple users, which would include third users, through incentives.
At pg. 17, Applicant argues “Bauerschmidt does not disclose "following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring the at least one server not to communicate messages relating to trade in the market following termination.”
In response, the Examiner respectfully disagrees. Bauerschmidt describes the TTL as a timer, which the TTL can be extended, in which the Examiner is interpreting that as a second timer and cancelling trades and trade messages at Table, that works with a central server at 0215.
Regarding the 35 U.S.C. 101 rejection, at pg. 18-26 Applicant argues with respect to claims at issue are not directed to an abstract idea
In response to the 35 USC § 101 claim rejection argument, the Examiner respectfully disagrees. The Examiner did consider each claim and every limitation both individually and as a whole, since the grounds of rejection clearly indicates that an abstract idea has been identified from elements recited in the claims. Using the two-part analysis, the Office has determined there are no elements, in the claim sufficient enough to ensure that the claims amounts to significantly more than the abstract idea itself. As recited, the claims are directed towards:
carry out a series of acts, the series of acts comprising:
receiving at least one first communication, from a first user of a plurality of users, comprising a description of the financial instrument the first user is seeking to trade;
forming a market for trade of the financial instrument, wherein forming the market comprises:
identifying a plurality of second users, from among the plurality of users, to solicit for trading interest in the financial instrument, wherein identifying the plurality of second users comprises evaluating at least one data store of indications of interest provided by users of the plurality of users to determine whether the financial instrument is one for which an indication of interest indicates a user wants to be solicited, the indications of interest for a user indicating financial instruments and/or types of financial instruments in which the user has indicated interest in being solicited;
outputting to the plurality of second users soliciting the plurality of second users to provide market level information for a potential trade of the financial instrument, the market level information comprising a bid price and an offer price for the financial instrument, and wherein soliciting the plurality of second users comprise information identifying the financial instrument to the plurality of second users and not identifying the first user to the plurality of second users;
generating order book information from the market level information received from participating users of the plurality of second users solicited in the soliciting, the order information comprising both bid and offer prices for trade in the financial instrument;
prompting the first user to make a trade in the financial instrument with one or more of the participating users at a price indicated by the order book information generated from the market level information received from the participating users;
following selection of the trade by the first user and/or expiration of a first timer controlling a phase transition of the market, distributing the order book information for the financial instrument to a plurality of third users, of the plurality of second users, and prompting the plurality of third users for further trades in the financial instrument;
following expiration of a second timer, terminating the market for trade of the financial instrument, wherein terminating the market comprises configuring not to communicate messages relating to trade in the market following termination.
The claim(s) does not include additional elements that are sufficient to amount to significantly more than the judicial exception because the computer as recited is a generic computer component that performs functions.
Examiner finds the claim recite concepts which are now described in the 2019 PEG as certain methods of organizing human activity. In particular the claims recites limitations for managing of transactions between users, which constitutes methods related to commercial interactions and managing personal behavior which are still considered an abstract idea under the 2019 PEG. The timer is comprised of generic computer elements to perform an existing business process. Examiner finds the claims recite mere instructions to implement the abstract idea on a computer and uses the computer as a tool to perform the abstract idea without reciting any improvements to a technology, technological process or computer-related technology.
Regarding, to the Applicant’s reference to a 2018 PTAB decision Smith is not persuasive as this case as the Examiner finds the Board determined the improvements in Smith to be directed to addressing problems arising in the context of a hybrid derivatives trading system in which trades are made both electronically and on a trading floor, which overcome a problem specifically arising in the realm of computer networks. There is no similar technological problem or solution here.
Additionally, the steps at pg. 21, that Applicant points to as practical application are merely narrowing the abstract idea to a particular technological environment, which has been found to be ineffective to render an abstract idea eligible.
Lastly, the Examiner would like to point the Applicant to the 2019 PEG, in which managing of transactions between users will fall under. The 2019 PEG which states:
Adding the words “apply it” (or an equivalent) with the judicial exception, or mere instructions to implement an abstract idea on a computer, or merely uses a computer as a tool to perform an abstract idea - see MPEP 2106.05(f).
Adding insignificant extra-solution activity to the judicial exception - see MPEP 2106.05(g)
Generally linking the use of the judicial exception to a particular technological environment or field of use – see MPEP 2106.05(h)
Conclusion
The prior art made of record and not relied upon is considered pertinent to applicant's disclosure.
Singh et al., U.S. Pub. 20040167824, (discussing the processing of online barter systems).
Allen et al., W.O. Pub. WO2014197963, (discussing the processing of online transactions).
Montazemi et al., State of Information Technology Support for Traders in Fixed Income Markets, https://aisel.aisnet.org/amcis2005/175/ AMCIS 2005 Proceedings (discussing the buyers and sellers within a traders environment).
THIS ACTION IS MADE FINAL. Applicant is reminded of the extension of time policy as set forth in 37 CFR 1.136(a).
A shortened statutory period for reply to this final action is set to expire THREE MONTHS from the mailing date of this action. In the event a first reply is filed within TWO MONTHS of the mailing date of this final action and the advisory action is not mailed until after the end of the THREE-MONTH shortened statutory period, then the shortened statutory period will expire on the date the advisory action is mailed, and any nonprovisional extension fee (37 CFR 1.17(a)) pursuant to 37 CFR 1.136(a) will be calculated from the mailing date of the advisory action. In no event, however, will the statutory period for reply expire later than SIX MONTHS from the mailing date of this final action.
Any inquiry concerning this communication or earlier communications from the examiner should be directed to UCHE BYRD whose telephone number is (571)2