IP Library › Granted Patent US 12,626,232
Granted Patent B2
US 12,626,232 · App. 18/336,879 · Granted May 12, 2026

Fully collateralized automated market maker

Inventors: Josh Williams (Sacramento, CA); Raymond A. Chiapuzio (Eugene, OR)
Assignee: Frontage Road Holdings, LLC
G06Q20/065G06Q40/04G06Q2220/00
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Quick Facts
Patent No.
US 12,626,232
App. No.
18/336,879
Filed
Jun 16, 2023
Granted
May 12, 2026
Kind
B2
Art Unit
3699
USPC
705/76
Abstract

A computer-based system, method, and program product for providing liquidity for exchanges of digital assets ensure that an automated market maker program provides liquidity to support such an exchange. The system includes a blockchain network with multiple nodes. A node is be configured to execute an automated market maker (AMM) cryptographic system configured to receive collateral assets from other nodes, encapsulate the assets in a collateral pool, and mint a collateral token from the encapsulated assets. The token is configured to consolidate liquidity within a blockchain protocol for an exchange of a digital asset. A blockchain clearinghouse control system may be implemented upon the network to process the token and approve the exchange if performed/facilitated by/on the node or disapprove the exchange if performed separately from the node. Such a control system thereby ensures that the exchange is secure and that the AMM system provides liquidity to support the exchange.

Claims (22)

1 . A non-transitory computer program product for providing liquidity for exchanges of digital assets, the non-transitory computer program product comprising a computer-readable medium with computer code instructions stored thereon, the computer code instructions being configured, when executed by a processor, to cause the processor to:

encapsulate, via a packetizer, collateral assets, in a collateral pool three-dimensional (3D) array at a first node of a blockchain network, the collateral assets including collateral assets received from a second node of the blockchain network;

encode, via an encoder, a collateral token from the collateral assets encapsulated in the collateral pool three-dimensional (3D) array, the collateral token configured to consolidate liquidity within a blockchain protocol for an exchange of a digital asset;

execute a zero-knowledge proof (ZKP) attestation, the zero-knowledge proof (ZKP) attestation configured to use a non-interactive proof to verify minting of the collateral token by the first node of the blockchain network; and

implement, upon the blockchain network, a blockchain transaction control embedded virtual machine (VM) executing on at least one cryptoprocessor of the first node, the blockchain transaction control embedded virtual machine (VM) configured to:

perform a verification that the exchange of the digital asset is performed on or facilitated by the first node; and

responsive to the verification and the zero-knowledge proof (ZKP) attestation, approve the exchange of the digital asset; or

receive an indication that the exchange of the digital asset is performed separately from the first node; and

responsive to the received indication, disapprove the exchange of the digital asset,

thereby promoting functions of an automated market maker (AMM) cryptographic system to provide liquidity to support the exchange of the digital asset;

the first node including a machine learning (ML) oracle module configured to:

compute a computational value for the collateral token; and

offer the collateral token for exchange at the computational value,

thereby computing an exchange value of the collateral token.

2 . The non-transitory computer program product of claim 1 , wherein the computer code instructions are further configured, when executed by the processor, to cause the processor to:

configure the first node to measure supply of, and demand for, tokens among nodes of the blockchain network, the tokens including the collateral token.

3 . The non-transitory computer program product of claim 1 , wherein the blockchain network provides a decentralized platform for the exchange of the digital asset.

4 . The non-transitory computer program product of claim 1 , wherein the computer code instructions are further configured, when executed by the processor, to cause the processor to:

provide continuous lack of friction and improved liquidity for the exchange of the digital asset by configuring the first node to iteratively mint collateral tokens from either a bounded or unbounded supply of collateral digital assets.

5 . The non-transitory computer program product of claim 1 , wherein the digital asset comprises a non-fungible token (NFT).

6 . The non-transitory computer program product of claim 1 , wherein encapsulating the collateral assets in the collateral pool three-dimensional (3D) array improves scalability and transaction processing time of the blockchain transaction control embedded virtual machine (VM).

7 . The non-transitory computer program product of claim 1 , wherein the collateral assets include non-cryptographic digital assets.

Assignments (2)
ASSIGNMENT OF ASSIGNOR'S INTEREST Recorded Oct 16, 2023
From: FORTE LABS, INC.
To: FRONTAGE ROAD HOLDINGS, LLC
Reel/Frame 065236/0450 →
ASSIGNMENT OF ASSIGNOR'S INTEREST Recorded Sep 14, 2023
From: WILLIAMS, JOSH; CHIAPUZIO, RAYMOND A.
To: FORTE LABS, INC.
Reel/Frame 064900/0540 →
Continuity (2)
Provisional Application 63366595 · Jun 17, 2022
Related Publication 20230419274A1 · Dec 28, 2023
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