MULTIFACTORIAL OPTIMIZATION SYSTEM AND METHOD
A method for providing unequal allocation of rights among agents while operating according to fair principles, comprising assigning a hierarchal rank to each agent; providing a synthetic economic value to a first set of agents at the a high level of the hierarchy; allocating portions of the synthetic economic value by the first set of agents to a second set of agents at respectively different hierarchal rank than the first set of agents; and conducting an auction amongst agents using the synthetic economic value as the currency. A method for allocation among agents, comprising assigning a wealth generation function for generating future wealth to each of a plurality of agents, communicating subjective market information between agents, and transferring wealth generated by the secure wealth generation function between agents in consideration of a market transaction. The method may further comprise the step of transferring at least a portion of the wealth generation function between agents.
1 . A virtual currency method, comprising:
representing a virtual currency comprising cryptographically-endorsed information whose authenticity and ownership is verified in association with a transaction according to a distributed cryptographic algorithm as a token;
transferring ownership of the virtual currency represented by the token through a communication network secured according to a public key cryptographic process;
executing the distributed cryptographic algorithm by a plurality of distributed competing nodes; and
incentivizing the verification of the authenticity and ownership of the virtual currency represented by the token and recognition of the transfer by at least a subset of the plurality of competing nodes to identify an inconsistent transaction by at least one of a transaction fee and a generated unit of the virtual currency.
2 . The method according to claim 1 , wherein the verification of the authenticity and ownership of the virtual currency represented by the token and recognition of the transfer by at least a subset of the plurality of competing nodes is incentivized by award of a unit of the virtual currency as a transaction fee to a node.
3 . The method according to claim 1 , wherein the verification of the authenticity and ownership of the virtual currency represented by the token and recognition of the transfer by at least a subset of the plurality of competing nodes is incentivized by award of a unit of the virtual currency to a node.
4 . The method according to claim 1 , further comprising valuing the token dependent on a market process.
5 . The method according to claim 1 , further comprising valuing the token dependent on an auction.
6 . The method according to claim 1 , wherein each node has a generator function for generating units of the virtual currency.
7 . The method according to claim 1 , further comprising interchanging the token for cash in a transaction.
8 . The method according to claim 1 , wherein each node has a physically or logically secure cryptographic module, configured to sequentially generate values which have a unique index number, verifiable as to node of origin, time of origin, and chain of subsequent owners, further comprising sequentially generating the values which have the unique index number, verifiable according to the distributed cryptographic algorithm by the plurality of nodes as to the node of origin, the time of origin, and the chain of subsequent owners.
9 . The method according to claim 8 , wherein the chain of subsequent owners is part of an audit trail.
10 . The method according to claim 1 , further comprising using the distributed cryptographic algorithm to limit an ability to spend the same token inconsistently.
11 . The method according to claim 1 , further comprising using the distributed cryptographic algorithm to limit an ability to transfer ownership of the same virtual currency represented by the token inconsistently.
12 . The method according to claim 1 , further comprising comparing a value associated with the cryptographic distributed algorithm by a first node of the plurality of nodes with a corresponding value associated with the cryptographic distributed algorithm by a second node of the plurality of nodes.
13 . The method according to claim 12 , wherein the value and the corresponding value are compared to ensure lack of prior inconsistent transfer.
14 . A virtual currency system, comprising:
a memory configured to store a token representing a virtual currency comprising cryptographically-endorsed information whose authenticity and ownership is verified in association with a transaction according to a distributed cryptographic algorithm, the distributed cryptographic algorithm being executable by a plurality of distributed competing nodes;
a communication port configured to transfer ownership of the virtual currency represented by the token through a communication network secured according to a public key cryptographic process; and
at least one automated processor configured to incentivize the verification of the authenticity and ownership of the virtual currency represented by the token and recognition of the transfer by at least a subset of the plurality of competing nodes to identify an inconsistent transaction by payment of a transaction fee to at least one node.
15 . The virtual currency system according to claim 14 , wherein the verification of the authenticity and ownership of the virtual currency represented by the token and recognition of the transfer by at least a subset of the plurality of competing nodes is incentivized by award of a unit of the virtual currency as a transaction fee to a node.
16 . The virtual currency system according to claim 14 , further comprising a generator function for generating units of the virtual currency.
17 . The virtual currency system according to claim 14 , further comprising a physically or logically secure cryptographic module, configured to sequentially generate values which have a unique index number, verifiable as to node of origin, time of origin, and chain of subsequent owners, wherein sequentially generated values have unique index numbers, verifiable according to the distributed cryptographic algorithm by the plurality of nodes as to the node of origin, the time of origin, and the chain of subsequent owners.
18 . The virtual currency system according to claim 14 , wherein the at least one automated processor is further configured to limit an ability to transact the same virtual currency represented by the token inconsistently.
19 . The virtual currency system according to claim 14 , wherein the at least one automated processor is further configured to compare a value associated with the cryptographic distributed algorithm by a first node of the plurality of nodes with a corresponding value associated with the cryptographic distributed algorithm by a second node of the plurality of nodes, to ensure lack of prior inconsistent transfer.
20 . A token, representing a virtual currency comprising cryptographically-endorsed information whose authenticity and ownership is verified in association with a transaction according to a cryptographic distributed algorithm, ownership of the virtual currency represented by the token being transferrable through a communication network secured according to a public key cryptographic process, the cryptographic distributed algorithm being executed by a plurality of competing nodes, wherein the verification of the authenticity and ownership of the virtual currency represented by the token and recognition of the transfer by at least a subset of the plurality of competing nodes to identify an inconsistent transaction is incentivized by at least one of a transaction fee and a generated unit of the virtual currency.