Method and system for credit authorization in a member exchange

A computer-readable medium having computer executable software code stored thereon, the code executed by a member securities exchange for processing a non-member transaction on the member securities exchange where all securities transactions must be backed by credit of the member, the code comprising:

• code to transmit a securities transaction from the non-member institution to a credit authorization service of the exchange, the credit authorization service including:
• code to compare a value of the securities transaction with a pre-established threshold value, the pre-established threshold at least partially established by a member of the exchange;
• and
• code to remove or mask an identity of the non-member institution and process the securities transaction backed by credit of the member if the value of the securities transaction is below the pre-established threshold, or alternatively;
• code to reject the securities transaction if the value of the securities transaction is above the pre-established threshold;
• and
• code to receive at the non-member institution a message from the credit authorization service, the message including an indication that the securities transaction was processed or rejected.

A programmed computer operated by a member securities exchange for processing a non-member transaction on the member securities exchange where all securities transactions must be backed by credit of the member, comprising:

• a memory having at least one region for storing computer executable program code;
• and
• a processor for executing the program code stored in the memory, wherein the program code comprises:
• code to transmit a securities transaction from the non-member institution to a credit authorization service of the exchange, the credit authorization service including:
• code to compare a value of the securities transaction with a pre-established threshold value, the pre-established threshold at least partially established by a member of the exchange;
• and
• code to remove or mask an identity of the non-member institution and process the securities transaction backed by credit of the member if the value of the securities transaction is below the pre-established threshold, or alternatively;
• code to reject the securities transaction if the value of the securities transaction is above the pre-established threshold;
• and
• code to receive at the non-member institution a message from the credit authorization service, the message including an indication that the securities transaction was processed or rejected.

A method performed by a member securities exchange for processing a non-member transaction on the member securities exchange where all securities transactions must be backed by credit of the member, the method comprising:

• receiving at a credit authorization service of the exchange, a securities transaction from a non-member institution;
• comparing a value of the securities transaction with a pre-established threshold value, the pre-established threshold at least partially established by a member of the exchange;
• and
• removing or masking an identity of the non-member institution and processing the securities transaction backed by credit of the member if the value of the securities transaction is below the pre-established threshold, or alternatively;
• rejecting the securities transaction if the value of the securities transaction is above the pre-established threshold.

A computer-readable medium having computer executable software code stored thereon, the code executed by a member securities exchange for processing a non-member transaction on the member securities exchange where all securities transactions must be backed by credit of the member, the code comprising:

• code to receive at a credit authorization service of the exchange, a securities transaction from a non-member institution;
• code to compare a value of the securities transaction with a pre-established threshold value, the pre-established threshold at least partially established by a member of the exchange;
• and
• code to remove or mask an identity of the non-member institution and process the securities transaction backed by credit of the member if the value of the securities transaction is below the pre-established threshold, or alternatively;
• code to reject the securities transaction if the value of the securities transaction is above the pre-established threshold.

A programmed computer operated by a member securities exchange for processing a non-member transaction on the member securities exchange where all securities transactions must be backed by credit of the member, comprising:

• a memory having at least one region for storing computer executable program code;
• and
• a processor for executing the program code stored in the memory, wherein the program code comprises:
• code to receive at a credit authorization service of the exchange, a securities transaction from a non-member institution;
• code to compare a value of the securities transaction with a pre-established threshold value, the pre-established threshold at least partially established by a member of the exchange;
• and
• code to remove or mask an identity of the non-member institution and process the securities transaction backed by credit of the member if the value of the securities transaction is below the pre-established threshold, or alternatively;
• code to reject the securities transaction if the value of the securities transaction is above the pre-established threshold.

A method performed by a member securities exchange for processing a securities transaction on the member exchange where all securities

• transactions must be backed by credit of the member, the method comprising:
• transmitting a securities transaction from a non-member institution to a credit authorization service of the member exchange, wherein the transaction includes a mnemonic for an exchange member and an identity of the non-member institution and the credit authorization service acts as a surrogate for multiple exchange members;
• removing the identity of the non-member institution from the transaction;
• and
• exposing the transaction to the member exchange backed by credit of the member.