Re:Capital Is No Longer Scarce
by snowwrestler on Friday December 11, 2015 @10:24AM
(#10717565)
It would not change anything significant about HFT besides removing the H. There would still be a technology race to execute trades as close to exactly 1 sec as possible.
HFT firms make money by being the first to grab trades for tiny price deltas. If the law said trades could only execute on one-second intervals, the deadline to be first to grab a trade would become a tempo defined by human law, instead of a steady lag due to physical law. But there would still be a deadline, so companies would still race.
HFT firms make money by being the first to grab trades for tiny price deltas. If the law said trades could only execute on one-second intervals, the deadline to be first to grab a trade would become a tempo defined by human law, instead of a steady lag due to physical law. But there would still be a deadline, so companies would still race.