A system for implementing a currency trading rights management process (FXRMP) over a distributed communications network, and deployed in a financial marketplace involving one or more central banks, one or more currency purchasers, one or more currency borrowers, said system comprising:
- a data center, including one or more relational database servers (RDBMS), application servers, and web servers, interfaced with the infrastructure of said distributed communications network;
- a first networked group of computer systems for use by said one or more said central banks, and being interfaced with the infrastructure of said distributed communications network, and including client machines and server machines, for supporting packet-based communications between said data center and said first networked group of computer systems;
- a second networked group of computer systems for use by said one or more currency trading right(s) lessees or purchasers, and being interfaced with the infrastructure of said distributed communications network, and including client machines and server machines, for supporting packet-based communications between said data center and said second networked group of computer systems;
- wherein said data center supports the implementation of a network-level financial accounting system that recognizes and accounts for a set of currency trading rights possessed by said central bank prior to issuance/sale, or after restructuring, and ensures that said set of currency trading rights is unbundled, separated into a plurality of individual currency trading rights (FXR (α . . . η, $)), including the currency trading right to lend (FXR (ζ, $)) and the currency trading ownership right (FXR (α, $)), and recombined into non-borrowable or non-purchasable currency rights packages that exclude the currency trading right to lend (FXR (ζ, $)) or the currency trading ownership right (FXR (α, $)) (and/or other currency trading rights) and which are offered for sale or lease in said financial marketplace;
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- wherein said central bank (i) withholds from, and prior to, currency issuance/sale, or retains after restructuring, the currency trading right to lend (FXR (ζ, $)) or the currency trading ownership right (FXR (α, $)), to create said non-borrowable or non-purchasable currency trading right(s) package, which precludes lending and borrowing, or purchasing, of said non-borrowable or non-purchasable currency by said purchasers of said non-borrowable currency and, which, then can be leased or purchased only from said central bank holding the currency trading right to lend (FXR (ζ, $)) or the currency trading ownership right (FXR (α, $)) at lease or purchase rates set by said central bank, thereby precluding the lending of said non-borrowable currency or the purchasing of said non-purchasable currency by said currency purchasers or borrowers in said financial marketplace;
- wherein said central bank uses said first networked group of computer systems to communicate with said data center via packet-based communications, to set lease or purchase rates and periods for said non-borrowable currency trading right(s) package held by said currency purchasers, and which can be leased or purchased by currency borrowers from said central bank only after procuring the currency trading right to lend (FXR (ζ, $)) from said central bank pursuant to agreement with said lease or purchase rates and periods;
- wherein said central bank uses said first networked group of computer systems to communicate with said data center via packet-based communications, to set lease and purchase rates and periods for said non-purchasable currency trading right(s) package held by said currency purchasers, and which can be leased or purchased by currency borrowers from said central bank only after procuring the currency trading ownership right (FXR (α, $)) from said central bank pursuant to agreement with said lease or purchase rates and periods;
- wherein said currency borrower or purchaser uses said second networked group of computer systems to communicate with said data center via packet communications, and (i) requests from said central bank, the currency trading right to lend (FXR (ζ, $)) or the currency trading ownership right (FXR (α, $)) for said non-borrowable or non-purchasable currency pursuant to said lease or purchase rates and periods set by said central bank, (ii) accepts said lease or purchase rates and periods set by said central bank, and (iii) receives said currency trading right to lend (FXR (ζ, $)) or currency trading ownership right (FXR (α, $)) associated with said non-borrowable or non-purchasable currency, from said central bank, via said data center, so that said currency borrower or purchaser can lease or purchase said currency trading right to lend (FXR (ζ, $)) or currency trading ownership right (FXR (α, $)) associated with said non-borrowable or non-purchasable currency from said central bank for the purpose of selling said non-borrowable currency short, or for the purpose of buying said non-purchasable currency, in said financial marketplace;
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- wherein said data center automatically accounts for the allocation of said leased or purchased currency trading right to lend (FXR (ζ, $)), of said leased or purchased currency trading ownership right (FXR (α, $)) (and/or other currency trading rights) associated with said non-borrowable or non-purchasable currency, and payment of said lease or purchase rates agreed to between said central bank and said currency right lessee or purchaser.