Patent ID: 8275693

Claim:
A computerized trading system adapted to receive quotes to buy and/or sell a fungible from multiple trading entities and to execute trades between the trading entities, the computerized trading system comprising a plurality of programmed computers and at least one memory which maintains information concerning which trade entities will trade with other trade entities as a function of whether each trade entity provides credit to other trade entities, the computerized trading system being adapted to: receive and store electronic information concerning quotes received from traders, each quote including a bid to buy or an offer to sell the fungible at a quoted price and an amount; send electronic information to a first trading entity about the best quote received from a second trading entity with whom the first trading entity does not have credit to accept the quote, the best quote being the highest price to buy or the lowest price to sell the fungible; receiving an electronic request from the first trading entity to accept the best quote from the second trading entity; and executing a pair of trades in response to the request, a first trade between a second trading entity and a third trading entity who has credit to accept the best quote, and a second trade between the first trading entity and the third trading entity, both trades being for the price and amount of the best quote, one trade being on the sell side, the other being on the buy side, whereby the third trading entity has effectively made a trade on behalf of the first trading entity.