if you have continuous trading, you are going to have complicated interactions (such as outlined in the article.) instead, an occasional crossing (once a day? once an hour?) would provide much more "fairness" since everything happens at once, at the expense of "timeliness". back when I worked in this industry (a decade ago) POSIT provided something a lot like this you can't have it both ways, though.
Their system is not fundamentally different from discrete trading, since they have delay lines going into and out of their servers. So while everything is continuous, if you want to observe the market, then do a trade, then observe the result of that trade, etc. there is maximum rate you can do this. This is what prevents front running[0], according to my understanding. Once you submit an order, no one can react to t…
Re: A trading platform that outlaws what it sees as abusive practices
#81The problem with their system is that they are basically always lagged, but the instruments are also traded on other exchanges that aren't. Why would anyone go there?