System and method for high-speed pari-mutuel wagering using a clearinghouse

1. An apparatus comprising:

a tangible memory device;

at least one processor to:

store, in the memory device, contract parameters for settling accounts between a first wagering facility and a second wagering facility, the parameters comprising a simulcast fee charged by the second wagering facility for hosting a wagering event to the first wagering facility;

store account parameters in the memory device that provide a description of an account of the first wagering facility and an account of the second wagering facility;

as the first wagering facility transmits over a network to the second wagering facility a bet placed at the first wagering facility on the wagering event hosted by the second wagering facility, monitor the network to receive a copy of the transmitted bet, wherein the copy of the transmitted bet is encrypted;

detect a stop bet command communicated by the second wagering facility to the first wagering facility over the network in response to a predetermined period of time prior to commencement of the wagering event being met;

detect a transmission of recalculated odds for the wagering event from the second wagering facility to the first wagering facility over the network in response to the first wagering facility transmitting the transmitted bet prior to issuance of the stop bet command;

detect a refusal by the second wagering facility in response to the transmitted bet being received by the first wagering facility subsequent to issuance of the stop bet command;

store, in the memory device, information associated with a decrypted transmitted bet, the information associated with the transmitted bet comprising an identifier of the first wagering facility, an identifier of the second wagering facility, an identifier of the wagering event, and an amount of the bet;

receive from the network a result of the wagering event, wherein the result is transmitted by the second wagering facility onto the network;

using the identifier of the first wagering facility and the identifier of the second wagering facility, retrieve from the memory device the information associated with the transmitted bet and the contract parameters;

determine a settlement between the first and second wagering facilities based at least in part upon the result of the wagering event, the odds for the wagering event, the retrieved bet information, and the contract parameters;

retrieve from the memory device the account parameters that provide the description of the account of the first wagering facility and the account of the second wagering facility; and

based at least in part upon the settlement determination, initiate a transaction to transfer funds between the account of the first wagering facility and the account of the second wagering facility.

2. The apparatus of claim 1 , wherein the at least one processor is further configured to decrypt the copy of the transmitted bet.

3. The apparatus of claim 1 , wherein the information on the transmitted bet further comprises a transaction identifier.

4. The apparatus of claim 1 , wherein the information on the transmitted bet further comprises a time stamp.

5. The apparatus of claim 1 , wherein the wagering event comprises a horse race, the second wagering facility comprises a horse track, and the first wagering facility comprises one of a horse track and an off-track betting parlor.

6. The apparatus of claim 1 , wherein to determine the settlement comprises to determine the settlement based on the simulcast fee charged by the second wagering facility to the first wagering facility for hosting the wagering event to the first wagering facility.

7. A method executed by at least one processor, the method comprising:

storing, in a memory device, contract parameters that provide a description of a contract for settling accounts between a first wagering facility and a second wagering facility, wherein the parameters comprise a simulcast fee charged by the second wagering facility for hosting a wagering event to the first wagering facility, the first wagering facility comprising at least one of a facility that hosts wagering events and a simulcast facility operable to simulcast the wagering event hosted by the second wagering facility;

storing account parameters in the memory device that provide a description of an account of the first wagering facility and an account of the second wagering facility;

as the first wagering facility transmits over a network to the second wagering facility a bet placed at the first wagering facility on the wagering event hosted by the second wagering facility, monitoring the network to receive a copy of the transmitted bet, wherein the copy of the transmitted bet is encrypted;

storing, in the memory device, information associated with a decrypted transmitted bet, the information associated with the transmitted bet comprising an identifier of the first wagering facility, an identifier of the second wagering facility, an identifier of the wagering event, and an amount of the bet;

detecting a communication of a stop bet command by the second wagering facility to the first wagering facility over the network in response to a predetermined period of time prior to commencement of the wagering event being met;

detecting, by the second wagering facility, a transmission of recalculated odds for the wagering event to the first wagering facility over the network in response to the first wagering facility transmitting the transmitted bet prior to issuance of the stop bet command;

detecting a refusal by the second wagering facility of the transmitted bet in response to the transmitted bet being received by the first wagering facility subsequent to issuance of the stop bet command;

receiving via the network a result of the wagering event, wherein the result is transmitted by the second wagering facility onto the network;

using the identifier of the first wagering facility and the identifier of the second wagering facility, retrieving, from the memory device, the information associated with the transmitted bet and the contract parameters;

determining a settlement between the first and second wagering facilities based at least in part upon the result of the wagering event, the odds for the wagering event, the retrieved bet information, and the contract parameters;

retrieving the account parameters from the memory device that provide the description of the account of the first wagering facility and the account of the second wagering facility; and

based at least in part upon the settlement determination, initiating a transaction to transfer funds between the account of the first wagering facility and the account of the second wagering facility.

8. The method of claim 7 , further comprising decrypting the copy of the transmitted bet.

9. The method of claim 7 , wherein the information on the transmitted bet further comprises of transaction identifier.

10. The method of claim 7 , wherein the information on the transmitted bet further comprises a time stamp.

11. The method of claim 7 , wherein the wagering event comprises a horse race, the second wagering facility comprises a horse track, and the first wagering facility comprises one of a horse track and an off-track betting parlor.

12. The method of claim 7 , wherein determining the settlement comprises determining the settlement based on the simulcast fee charged by the second wagering facility to the first wagering facility for hosting the wagering event to the first wagering facility.

13. A non-transitory machine-readable medium having instructions stored thereon which, when executed by a processor of an electronic pari-mutuel system, direct the processor to:

store, in a memory device, contract parameters for settling accounts between a first wagering facility and a second wagering facility, the parameters comprising a simulcast fee charged by the second wagering facility for hosting a wagering event to the first wagering facility;

store account parameters in the memory device that provide a description of an account of the first wagering facility and an account of the second wagering facility;

as the first wagering facility transmits over a network to the second wagering facility a bet placed at the first wagering facility on the wagering event hosted by the second wagering facility, monitor the network to receive a copy of the transmitted bet, wherein the copy of the transmitted bet is encrypted;

detect a stop bet command communicated by the second wagering facility to the first wagering facility over the network in response to a predetermined period of time prior to commencement of the wagering event being met;

detect a transmission of recalculated odds for the wagering event from the second wagering facility to the first wagering facility over the network in response to the first wagering facility transmitting the transmitted bet prior to issuance of the stop bet command;

detect a refusal by the second wagering facility in response to the transmitted bet being received by the first wagering facility subsequent to issuance of the stop bet command;

store, in the memory device, information associated with a decrypted transmitted bet, the information associated with the transmitted bet comprising an identifier of the first wagering facility, an identifier of the second wagering facility, an identifier of the wagering event, and an amount of the bet;

receive from the network a result of the wagering event, wherein the result is transmitted by the second wagering facility onto the network;

using the identifier of the first wagering facility and the identifier of the second wagering facility, retrieve from the memory device the information on the transmitted bet and the contract parameters;

determine a settlement between the first and second wagering facilities based at least in part upon the result of the wagering event, the odds for the wagering event, the retrieved bet information, and the contract parameters;

retrieve from the memory device the account parameters that provide the description of the account of the first wagering facility and the account of the second wagering facility; and

based at least in part upon the settlement determination, initiate a transaction to transfer funds between the account of the first wagering facility and the account of the second wagering facility.

14. The non-transitory machine-readable medium of claim 13 , wherein the instructions stored therein, when executed, further instruct the processor to decrypt the copy of the transmitted bet.

15. The non-transitory machine-readable medium of claim 13 , wherein the information on the transmitted bet further comprises a transaction identifier.

16. The non-transitory machine-readable medium of claim 13 , wherein the information on the transmitted bet further comprises a time stamp.

17. The non-transitory machine-readable medium of claim 13 , wherein the wagering event comprises a horse race.

18. The non-transitory machine-readable medium of claim 13 , wherein the wagering event comprises a horse race, the second wagering facility comprises a horse track, and the first wagering facility comprises one of a horse track and an off-track betting parlor.

19. The non-transitory machine-readable medium of claim 13 , wherein the second wagering facility comprises a horse track, and the first wagering facility comprises one of a horse track and an off-track betting parlor.