The present application, filed on or after March 16, 2013, is being examined under the first inventor to file provisions of the AIA .
DETAILED ACTION
The following is in response to the application filed July 14, 2025. Claim 1 is pending.
Specification
The abstract of the disclosure is objected to because it includes directed to purported merits (see below). Correction is required. See MPEP § 608.01(b).
Applicant is reminded of the proper content of an abstract of the disclosure.
A patent abstract is a concise statement of the technical disclosure of the patent and should include that which is new in the art to which the invention pertains. The abstract should not refer to purported merits or speculative applications of the invention and should not compare the invention with the prior art.
If the patent is of a basic nature, the entire technical disclosure may be new in the art, and the abstract should be directed to the entire disclosure. If the patent is in the nature of an improvement in an old apparatus, process, product, or composition, the abstract should include the technical disclosure of the improvement. The abstract should also mention by way of example any preferred modifications or alternatives.
Where applicable, the abstract should include the following: (1) if a machine or apparatus, its organization and operation; (2) if an article, its method of making; (3) if a chemical compound, its identity and use; (4) if a mixture, its ingredients; (5) if a process, the steps.
Extensive mechanical and design details of an apparatus should not be included in the abstract. The abstract should be in narrative form and generally limited to a single paragraph within the range of 50 to 150 words in length.
See MPEP § 608.01(b) for guidelines for the preparation of patent abstracts.
Drawings
The drawings are objected to because figures 7 and 8 are not clear, font is too small, non-black ink and pixelated. Drawings should be provided in contrasting black/dark font. Corrected drawing sheets in compliance with 37 CFR 1.121(d) are required in reply to the Office action to avoid abandonment of the application. Any amended replacement drawing sheet should include all of the figures appearing on the immediate prior version of the sheet, even if only one figure is being amended. The figure or figure number of an amended drawing should not be labeled as “amended.” If a drawing figure is to be canceled, the appropriate figure must be removed from the replacement sheet, and where necessary, the remaining figures must be renumbered and appropriate changes made to the brief description of the several views of the drawings for consistency. Additional replacement sheets may be necessary to show the renumbering of the remaining figures. Each drawing sheet submitted after the filing date of an application must be labeled in the top margin as either “Replacement Sheet” or “New Sheet” pursuant to 37 CFR 1.121(d). If the changes are not accepted by the examiner, the applicant will be notified and informed of any required corrective action in the next Office action. The objection to the drawings will not be held in abeyance.
Information Disclosure Statement
The information disclosure statement filed 7/14/2025 fails to comply with the provisions of 37 CFR 1.97, 1.98 and MPEP § 609 because NPL references 3-11, 17-18 are incomplete citations (dates are omitted). It has been placed in the application file, but the lined through information referred to therein has not been considered as to the merits unless it has been cited by the examiner on the PTO 892. Applicant is advised that the date of any re-submission of any item of information contained in this information disclosure statement or the submission of any missing element(s) will be the date of submission for purposes of determining compliance with the requirements based on the time of filing the statement, including all certification requirements for statements under 37 CFR 1.97(e). See MPEP § 609.05(a).
Claim Rejections - 35 USC § 103
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 (i.e., changing from AIA to pre-AIA ) 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.
The following is a quotation of 35 U.S.C. 103 which forms the basis for all obviousness rejections set forth in this Office action:
A patent for a claimed invention may not be obtained, notwithstanding that the claimed invention is not identically disclosed as set forth in section 102, if the differences between the claimed invention and the prior art are such that the claimed invention as a whole would have been obvious before the effective filing date of the claimed invention to a person having ordinary skill in the art to which the claimed invention pertains. Patentability shall not be negated by the manner in which the invention was made.
The factual inquiries for establishing a background for determining obviousness under 35 U.S.C. 103 are summarized as follows:
1. Determining the scope and contents of the prior art.
2. Ascertaining the differences between the prior art and the claims at issue.
3. Resolving the level of ordinary skill in the pertinent art.
4. Considering objective evidence present in the application indicating obviousness or nonobviousness.
This application currently names joint inventors. In considering patentability of the claims the examiner presumes that the subject matter of the various claims was commonly owned as of the effective filing date of the claimed invention(s) absent any evidence to the contrary. Applicant is advised of the obligation under 37 CFR 1.56 to point out the inventor and effective filing dates of each claim that was not commonly owned as of the effective filing date of the later invention in order for the examiner to consider the applicability of 35 U.S.C. 102(b)(2)(C) for any potential 35 U.S.C. 102(a)(2) prior art against the later invention.
Claim 1 is rejected under 35 U.S.C. 103 as being unpatentable over Anonymous Coti (Anonymous, "Coti Will Integrate Chainlink to Decentralize CVI Index", 21 January 2021) in view of Pellicer (Pellicer,Juan: "Volmex Finance, the VIX of DeFi?", 6 August 2021 (2021-08-06) in view of Anonymous Websocket (Anonyomous: "WebSocket API beta", 28 July 2021) further in view of Stern (Sterm, Henry: "An Introduction to Digital Signal Processing for Trend Following", 19 August 2022 web.archive.org/web/20220819115043/ https:/alphaarchitect.com /2020/08/an-introduction-to-digital-signal-processing-for-trend-following/).
Specifically as to claim 1, Anonymous Coti discloses a system comprising:
a data store (345) comprising a program of instructions;
a communication interface (310) configured to communicate based on the program of instructions with multiple tracking devices (122a, 122b, 122c) of market data sources (315) (see Anonymous Coti, page 5, section "CVI Calculation+Data Aggregation" and p. 4, second figure, CVI external adapter is configured to communicate based on a program with multiple market data sources in the form of crypto derivative option exchanges, provision of data by the exchanges implies the presence of a tracking device, such as a server);and,
a processor (305) operably coupled to the data store such that, when the processor executes the program of instructions, the processor causes operations to be performed to automatically generate a global volatility metric characterizing a volatility of a temporally updated unstable time- series … across the multiple tracking devices (see Anonymous Coti p. 2, section "The Value of Using Chainlink to Power CVI" and p. 5, section "CVI Calculation + Data Aggregation", calculation of global volatility index based on market data on cryptocurrency options from multiple exchanges by CVI external adapter),, the operations comprising:
receive, through the communication interface, an update of an instantaneous data structure of an unstable time-series object (350) prone to outlying events causing discontinuity in at least one value in the unstable time-series object, wherein the instantaneous data structure are received from a predetermined N data sources (210), wherein the predetermined N data sources comprise independent exchange platforms (115) (see Anonymous Coti (page 5, section "CVI Calculation+Data Aggregation" and p. 4, CVI external adapter receives an update of cryptocurrency options data from multiple exchange platforms, such as Deribit, LedgerX etc.; it is an inherent feature of this type of cryptocurrency options data that it represents unstable time series data that is prone to outlying events causing discontinuity in at least one value of the time series, cf. para. 0031 of the present description);
generate, for each of the predetermined N data sources, an updated time-series representation of the updated instantaneous data structure (see Anonymous Coti, p. 5, section "CVI Calculation+Data Aggregation", aggregation of the data from multiple exchange platforms to create the price points of the CVI volatility index);
aggregate the each of a 1St…2nd,...,N* updated time-series representation of the updated instantaneous data structure into a global order book comprising an instantaneous representation of the unstable time- series object among the predetermined N data sources (see Anonymous Coti, p. 5, section "CVI Calculation+Data Aggregation", aggregation of the data from multiple exchange platforms to create the price points of the CVI volatility index);
generate a raw volatility characterization as a function of the global order book (see Anonymous Coti (p. 5, section "CVI Calculation+Data Aggregation", aggregation of the data from multiple exchange platforms to create the price points of the CVI volatility index) but does not specifically disclose “a web sockets module configured to provide access to the system from authenticated user devices; with removed discontinuity artifacts, retrieve, from a first data store, a predetermined set of infinite impulse response (IIR) filter parameters; generate a transient-dampened volatility characterization by applying an IIR filter to the raw volatility characterization the unstable time- series object using the IIR filter parameters, such that finite window discontinuity artifacts resulting from the outlying events are removed;” “generate measurements, via a market-wide implied volatility, using an implied volatility; generate a global volatility metric of the unstable time-series object using the transient-dampened volatility characterization; and, transmit, using the web sockets module, the global volatility metric to a user device, such that the global volatility metric is usable by an external software code.
However, it would have been obvious to one of ordinary skill in the art before the effective filing date of the claimed invention to modify the system of Anonymous Coti because the transmission of data to user devices, such that it is usable by software on the device, e.g. for a visual display of the index to the users, is well-known in the field (see e.g. Pellicer figure on p. 3). It is a straightforward choice to implement this transmission via WebSocket, this being a standard protocol for realtime data broadcasts (see Anonymous Websocket p. 1-2); and defining that a transient-dampened volatility characterization is generated by applying a filter such that outlying events are removed. is known to apply this feature to financial asset times series data, such as a volatility index (see Pellicer p. 4; see Stern p. 1 and 5-6) A person of ordinary skill would have understood prior art teachings, or what a person of ordinary skill would have known or could have done.
Statement on Subject Matter Eligibility
The instant claimed invention, as interpreted in light of the specification, is directed to solving a technical problem in crypto option prices and the data processing frame work for noisy cross-exchange options data. The application says crypto option prices and implied volatility can change abruptly because the market is volatile and prone. Crypto option prices and implied volatility can be highly unstable, with abrupt jumps, drops, to outlying events. Those spikes can create discontinuities and artifacts in time-series data, especially when only a finite and outlier quotes. These discontinuities can create artifacts in time-series analysis and make volatility measures noisy or misleading. The problem window of data is used. The disclosure also notes that separate exchanges and data sources produce fragmented views is worse when data comes from multiple exchanges with different quote formats, liquidity levels, and update speeds. The disclosure of the market, making it hard to form one coherent volatility measure. The stated technical problem is finite-window calculations create technical predictability and fail to reflect underlying market trends (see para. [0008]) to generate a global volatility metric that is more stable, less noisy, and less vulnerable to transient (see para [0010], [0035]-[0037]).
The technical solution is to aggregate crypto options data from multiple sources into a standardized global order book manipulation. The system computes a raw implied volatility from that combined data, and then apply an IIR the problem by collecting option data from multiple sources,-based smoothing filter to produce a transient-dampened volatility metric. The system uses the global standardizing it into a global order book, and computing an order book to unify fragmented exchange data and then filters out short-lived disturbances and discontinuity artifacts. This produces raw implied volatility value from that consolidated data. It then applies an IIR-type smoothing filter a more stable, continuously updated volatility index that can be used by external code or shown on user interfaces., with a selectable smoothing parameter, to dampen transient jumps and remove finite-window artifacts. This produces a transient-dampened volatility characterization that is easier to analyze and display (see para [0008]-[0010], [0030]-[0037], [0078]). The output is usable by external code(see para [0083]). The claim, considered as a whole and as an ordered combination including “generate a transient-dampened volatility characterization by applying an IIR filter (140) to the raw volatility characterization the unstable time- series object using the IIR filter parameters (145), such that finite window discontinuity artifacts resulting from the outlying events are removed;” is eligible.
Conclusion
The prior art made of record and not relied upon is considered pertinent to applicant's disclosure. Weng et al. disclose a method for real time construction of a volatility surface of an option contract with a reduced consumption of memory and computational load minimizing risk to an exchange or other trading entity, better integration between the product, pricing and risk workflow, and an enriched skeleton is interpolated to get a volatility surface that provides volatility for pricing with a margin calculation outputted for the option contract on the basis of the volatility surface. Ackerer et al. disclose a deep smoothing of the implied volatility surface. Koopmans et al. disclose systems for indexing content in a cache data structure within a content cache. Dasgupta et al. disclose a system for the selection of user interface rendering artifacts in web applications using a manifest mechanism. Laredo et al. disclose constructing a data structure that is selectively related to at least some of the Web API data associated with the Web API ecosystem. Hansend et al. disclose methods for controlling in which order elements of a set of displayable content are transferred via an online connection. Megiddo et al. disclose a web page behavior enhancement (WPBE) control element is provided on a rendered web page enabling a user to perform actions on at least a portion of the web page content such as customizing, editing, sharing, analyzing, exporting, and/or annotating the content.
Any inquiry concerning this communication or earlier communications from the examiner should be directed to Kelly Campen whose telephone number is (571)272-6740. The examiner can normally be reached Monday-Thursday 6am-3pm.
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If attempts to reach the examiner by telephone are unsuccessful, the examiner’s supervisor, Abhishek Vyas can be reached at 571-270-1836. The fax phone number for the organization where this application or proceeding is assigned is 571-273-8300.
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Kelly S. Campen
Primary Examiner
Art Unit 3691
/KELLY S. CAMPEN/Primary Examiner, Art Unit 3691
Prosecution Insights