Systems for redeeming shares in an entity holding digital math-based assets
A first networked computer system for providing an exchange traded product holding digital math-based assets is disclosed, and may comprise: one or more processors; and non-transitory computer-readable memory having stored thereon machine-readable instructions that cause the one or more processors to perform a method comprising: receiving a first electronic request to redeem a first quantity of units; determining unit information including a second quantity of the first digital asset; obtaining one or more destination digital asset account identifiers that provide access to one or more destination digital asset accounts; initiating the transfer of a third quantity of digital math-based assets from the one or more origin digital asset accounts; broadcasting occurrence of the transfer of the third quantity of digital math-based assets to the decentralized electronic ledger; verifying a receipt of the third quantity of digital math-based assets; and canceling the first quantity of units.
1. A first networked computer system comprising:
(1) one or more processors; and
(2) non-transitory computer-readable memory operatively connected to the one or more processors, the non-transitory computer-readable memory having stored thereon machine-readable instructions that, when executed by the one or more processors, cause the one or more processors to perform a method comprising:
(a) receiving, via an Internet, by the first networked computer system operably connected as a node of a decentralized digital asset network comprising a plurality of physically remote computer systems maintaining a decentralized electronic ledger in a form of a blockchain associated with a first digital asset, from a first user device associated with a first user, a first electronic request to redeem a first quantity of units;
(b) determining, by the first networked computer system operably connected as the node of the decentralized digital asset network, unit information including a second quantity of the first digital asset based on a predetermined ratio of the first digital asset to a unit of the units;
(c) verifying, at the first networked computer system operably connected as the node of the decentralized digital asset network, receipt of the first quantity of units;
(d) determining, by the first networked computer system operably connected as the node of the decentralized digital asset network, a third quantity of digital math-based assets based on the unit information and the first quantity of units;
(e) obtaining, by the first networked computer system operably connected as the node of the decentralized digital asset network, one or more destination digital asset account identifiers that provide access through the decentralized digital asset network to one or more destination digital asset accounts for receipt of a transfer of the third quantity of digital math-based assets;
(f) obtaining, by the first networked computer system operably connected as the node of the decentralized digital asset network, one or more origin digital asset account identifiers that provide access through the decentralized digital asset network to one or more origin digital asset accounts for the transfer of the third quantity of digital math-based assets;
(g) generating, by the first networked computer system operably connected as the node of the decentralized digital asset network, transfer instructions configured to cause the first networked computer system to initiate the transfer of the third quantity of the digital math-based assets, wherein generating the transfer instructions includes generating code configured to be utilized by other nodes of the decentralized digital asset network to facilitate the transfer of the third quantity of the digital math-based assets;
(h) initiating, utilizing the transfer instructions and by the first networked computer system operably connected as the node of the decentralized digital asset network, the transfer of the third quantity of digital math-based assets from the one or more origin digital asset accounts as accessed through the decentralized digital asset network using the one or more origin digital asset account identifiers to the one or more destination digital asset accounts as accessed through the decentralized digital asset network using the one or more destination digital asset account identifiers;
(i) broadcasting, by the first networked computer system operably connected as the node of the decentralized digital asset network, occurrence of the transfer of the third quantity of digital math-based assets to the decentralized electronic ledger, the broadcasting causing other nodes of the decentralized digital asset network to receive an indicator of the occurrence of the transfer and to update the decentralized electronic ledger automatically as maintained on the other nodes of the decentralized digital asset network;
(j) a verifying, by the first networked computer system using the decentralized electronic ledger, a receipt of the third quantity of digital math-based assets at the one or more destination digital asset accounts; and
(k) canceling or causing to be canceled, by the first networked computer system operably connected as the node of the decentralized digital asset network, the first quantity of units.
2. The first networked computer system of claim 1 , wherein the one or more origin digital asset accounts correspond to an entity custody account.
3. The first networked computer system of claim 1 , wherein the one or more destination digital asset accounts correspond to a redeemer custody account.
4. The first networked computer system of claim 1 , wherein the digital math-based assets comprise bitcoins.
5. The first networked computer system of claim 1 , wherein the digital math-based assets comprise Litecoins.
6. The first networked computer system of claim 1 , wherein the digital math-based assets comprise Ether.
7. The first networked computer system of claim 1 , wherein the method further comprises before step (h) the steps of:
(l) retrieving or causing to be retrieved, by the first networked computer system, one or more private keys associated with the one or more origin digital asset accounts; and
(m) accessing the one or more origin digital asset accounts using at least the one or more private keys.
8. The first networked computer system of claim 7 , wherein step (l) further comprises the steps of:
(n) issuing, by the first networked computer system, retrieval instructions for retrieving a plurality of encrypted private keys corresponding to the one or more origin digital asset accounts;
(o) receiving, at the first networked computer system, the plurality of encrypted private keys; and
(p) obtaining, by the first networked computer system, one or more private keys by decrypting the plurality of private keys.
9. The first networked computer system of claim 7 , wherein step (l) further comprises the steps of:
(n) issuing, by the first networked computer system, retrieval instructions for retrieving a plurality of private key segments corresponding to the one or more origin digital asset accounts;
(o) receiving, at the first networked computer system, the plurality of private key segments; and
(p) obtaining, by the first networked computer system, one or more private keys by assembling the plurality of private keys.
10. The first networked computer system of claim 7 , wherein step (l) further comprises the steps of:
(n) issuing, by the first networked computer system, retrieval instructions for retrieving a plurality of encrypted private key segments corresponding to the one or more origin digital asset accounts;
(o) receiving, at the first networked computer system, the plurality of encrypted private key segments; and
(p) obtaining, by the first networked computer system, one or more private keys by decrypting the plurality of private key segments and assembling the segments into one or more private keys.
11. The first networked computer system of claim 7 , wherein step (l) further comprises the steps of:
(n) issuing, by the first networked computer system, retrieval instructions for retrieving a plurality of encrypted private key segments corresponding to the one or more origin digital asset accounts;
(o) receiving, at the first networked computer system, the plurality of encrypted private key segments;
(p) obtaining, by the first networked computer system, one or more first private keys by decrypting the plurality of private key segments and assembling the segments into one or more first private keys; and
(q) obtaining, by the first networked computer system, at least one second private key corresponding to the one or more origin digital asset accounts.
12. The first networked computer system of claim 11 , wherein the one or more first private keys and the at least one second private key are keys for one or more multi-signature digital asset accounts.
13. The first networked computer system of claim 1 , wherein step (j) further comprises the steps of:
(l) accessing, by the first networked computer system, a plurality of updates to the decentralized electronic ledger;
(m) analyzing, by the first networked computer system, each of the plurality of updates for a second confirmation, by a node in the decentralized digital asset network, of the receipt of the third quantity of digital math-based assets at the one or more destination digital asset accounts; and
(n) determining, by the first networked computer system, a final confirmation of the receipt of the third quantity of digital math-based assets after detecting the second confirmations of the receipt in a predetermined number of the plurality of updates to the decentralized electronic ledger.
14. The first networked computer system of claim 13 , wherein the plurality of updates to the decentralized electronic ledger comprise new blocks added to the blockchain.
15. The first networked computer system of claim 1 , wherein the decentralized digital asset network is governed by a cryptologic protocol.
16. The first networked computer system of claim 1 , wherein the decentralized digital asset network is governed by an algorithmic protocol.
17. The first networked computer system of claim 13 , wherein the second confirmation by the node in the decentralized digital asset network is obtained by a proof of work at the node.
18. The first networked computer system of claim 13 , wherein the second confirmation by the node in the decentralized digital asset network is obtained by a proof of stake at the node.
19. The first networked computer system of claim 13 , wherein the second confirmation by the node in the decentralized digital asset network is obtained by a proof of burn at the node.
20. The first networked computer system of claim 1 , wherein the blockchain is a bitcoin blockchain.
21. The first networked computer system of claim 1 , wherein the blockchain is a Litecoin blockchain.
22. The first networked computer system of claim 1 , wherein the blockchain is an Ethereum blockchain.