Method for Creating Securities and an Interim Options Exchange for Sporting Competition Outcomes

Abstract

A method of commerce including ecommerce that combines sports betting and a securities market exchange. Options are created that represent a wager that a chosen team will win a specific competition or at least beat the spread. Equally priced options are exchanged for a ticket value between registered account holders through a website Controller before the start of a sporting competition. The Controller ceases formation of options before the start of the sporting competition. Registered account holder may buy and sell tickets to each other before and during the competition. Valuation of ticket prices fluctuates after the start of the competition and is established by a sports-specific formula, a market value proscribed by each ticket holder, a counteroffer proffered by an interested buyer, or a combination thereof. The Controller extracts a transaction fee for any or all sales and/or transactions.

1 . A business method whereby:
 options are created that represent a wager that a chosen team will win a specific competition or at least beat the spread;   equally priced options are exchanged for a ticket value between registered account holders through a Controller before the start of a sporting competition;   the Controller ceases formation of options before the start of the sporting competition;   registered account holders may buy and sell tickets to each other before and during the competition;   the valuation of ticket prices fluctuates after the start of the competition and is established by:
 a formula value created by a formula; 
 a market value proscribed by each ticket holder; 
 a counteroffer proffered by an interested buyer; or 
 a combination thereof; and 
   the Controller extracts a transaction fee for any or all sales and/or transactions.   
     
     
         2 . The formula of  claim 1  comprising:
 parameters comprised of:
 the team to give a ticket for; 
 the upper limit of the result range; 
 the favored team; and 
 the spread; 
 
 arguments comprised of:
 the score of a first team; 
 the score of a second team; 
 possession by said first team or said second team; and 
 remaining game time; 
 
 internal parameters comprised of:
 a possession point-equivalent value; 
 a spread/possession effect up time value; 
 a spread/possession effect sharpness value; 
 an effort effect time exponent value; and 
 an effort effect sharpness value; 
 
 a queried ticket signum factor; 
 a favorite team signum factor; 
 a possession signum factor; 
 a spread/possession effect up factor; 
 a possession effect down factor; 
 a measure of effort necessary for a tie expression; 
 a result indicator expression; and 
 a result scaled to required range expression.