Casinos wont let you put a billion $$$ on red or black just because they have a 1/37 edge on the roulette wheel. That variance is to high.
There are failure modes
>> if enough gamblers stick to one ticker, they can break the market
HF's, I assume, has had this power all along and they probably tried more than once to break the market.
So, what's the difference then, between internet hive minds and HFs and why should one take more blame than the other when it comes to "breaking things"?
Casinos need to ensure that they have enough liquidity to withstand a large bet hitting. The law of large numbers only works if you can survive the short term swings.
Nonsense, a few private funds losing a lot of money is not a financial crisis, it's just another Tuesday.
True heroes. God love em.
(Friendly reminder that the DTCC is basically owned by "Wall Street".)
gamestop was the example of what happens in the limit - only the DTCC prevented a global financial crisis as a circuit breaker of last resort.