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kzzzznot

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The distinction in my mind is HFT is “worse” for market participants because of the front running of large orders between exchanges.

I’d argue this cross exchange arbitrage does still provide some value by keeping prices of securities across exchanges/the world in sync, despite being quite unfair and taking value from those putting in large orders.

Liquidity provided by algo market makers is also a service to market participants because they take risk to ensure there is always someone to buy or sell - this reduces volatility and risk for everyone.

Algo trading is also required for keeping ETFs in line their benchmarks, which is an entirely separate subject you could fill a book with.

So no, all algo trading is not the same thing, there are valid and productive uses of code rather than people shouting across a pit or running slips up and down roads to keep capital flowing through markets efficiently.

That’s a great episode and covers a lot in depth. Would recommend Acquired in general - appeals to me as interested in tech, business and finance

Mario meets Pareto 2 years ago

Exactly. Handling and Acceleration are the most important factors at 200cc.

Acceleration because when (not if) you get hit/crash, you need to be able to catch up quickly.

Mario meets Pareto 2 years ago

Well I always pick Koopa, who is apparently the worst. Although in my group of friends I win the most by far… I’ll keep with him to keep it fair :)

Plenty of publicly traded companies have free APIs allowing third parties to build the same front end and sidestep their primary source of revenue (showing users ads)?

To clarify - I am not a fan of Reddit’s latest move, I see it as a product of the management hoping to soon be beholden to Wall Street. That necessarily comes with securing of revenue streams.

I’m not an expert on this, but perhaps it’s the usage of that data and linking to a person that crosses the line.

A web server’s logs may include the IP and http request they’ve made, but once you start attaching that to an identity instead it might count as data processing.