A system for blockchain-verified digital-identity-and-derivatives-archetype-based transaction processing and implementation with the aid of a digital computer, comprising:
- a data storage configured comprising one or more digital identity templates, and one or more smart contract templates, a data structure comprising a preset taxonomy, and one or more of a plurality of digital identities encrypted using an encryption algorithm, each digital identity comprising at least two data arrays and metadata comprising a connection between at least two of the arrays and machine-readable instructions for processing the digital identity by one or more processors, the data storage further configured to store derivatives archetype templates, and pricing archetype templates;
- a blockchain storage configured to store and implement a distributed ledger comprising a plurality of blocks encrypted using the encryption algorithm, each of the blocks comprising a cryptographic hash of an immediately preceding one of the blocks in the ledger, at least some of the blocks comprising one of the encrypted digital identities;
- and
- the one or more processors interfaced to a memory within which code for execution by the processor is stored, the one or more processors interfaced to the data storage and the blockchain storage and configured to:
- receive a data feed from at least one external data source, the data feed comprising one or more data items, at least some of the data items associated with an underlying private equity asset (“underlying”) of a derivative instrument, at least some of the data items associated with the derivative instrument, at least some of the data items associated with an identifier of the external source, and at least some of the data items comprising an identification of a party who produced at least a portion of the data feed;
- map the received data items to the data structure, confirm that the data items conform to the data structure taxonomy, and store the conforming data items within the data storage in accordance to the mapping;
- determine using the mapping whether at least some of the data items are associated with one or more of the digital identities;
- for those of the data items that are associated with at least one of the digital identities, determine whether those data items are included in one of the arrays comprised in that digital identity;
- update the digital identities within the blockchain storage and within the data storage using the data items associated with those digital identities and that are not comprised in one of the arrays of the digital identities;
- use at least some of the data items not associated with the digital identities to create further ones of the digital identities using one of the digital identity templates;
- encrypt the further ones of the digital identities with the encryption algorithm and store the further ones of the digital identities within the data storage and the blockchain storage;
- create a pricing archetype using one of the pricing archetype templates, the pricing archetype comprising a formula for estimating a price of the derivative instrument, one or more fixed elements of the formula, and machine-readable reference to a location within at least one of the data storage and the blockchain storage of digital identities of the data items to be used by at least one engine deployed for pricing of the derivative instrument;
- encrypt the pricing archetype with the encryption algorithm and store the pricing archetype within the blockchain storage and the data storage;
- compare the digital identities within the data storage to the digital identities within the blockchain storage;
- upon the digital identities in the data storage being identical to the digital identities within the blockchain storage, create a derivatives archetype using at least some of the digital identities and one of the derivatives archetype templates, the derivatives archetype comprising machine-readable references to locations of items comprising:
- the digital identity for the derivative instrument, the digital identity for the underlying of the derivative instrument, digital identities of the data items to be used by the engine deployed for the pricing of the derivative instrument, digital identities of parties that have the rights to access information related to the underlying, and the pricing archetype, wherein at least some of the references list both the location within the blockchain storage of one of the items and the location within the data storage for that item;
- encrypt the derivatives archetype using the encryption algorithm and store the derivatives archetype within the blockchain storage and the data storage;
- use the pricing archetype to determine the price of the derivative instrument referenced within the derivatives archetype;
- create at least one smart contract for the derivative instrument using the derivative instrument price and the derivatives archetype referencing the derivative instrument, wherein the locations of at least some of the items within both the blockchain storage and the data storage are accessed during the creation of the smart contract;
- make the derivative instrument available for exchange transactions between multiple parties eligible to access data associated with the derivative instrument using the smart contract;
- report outcome of each of the exchange transactions in accordance with the smart contract.