Quantum Algorithms for Mixed Binary Optimization Applied to Transaction Settlement

In this article, we extend variational quantum optimization algorithms for quadratic unconstrained binary problems to the class of mixed problems. This allows us combine decision variables with continuous variables, which, instance, enables modeling inequality constraints via slack variables. We propose two heuristics and introduce transaction settlement problem demonstrate them. Transaction is defined as exchange securities cash between parties crucial financial market infrastructure. test our using classical simulation well real devices provided by IBM quantum.