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ELI5: Why is high frequency trading allowed?
(lemmy.ca)
Simplifying Complexity, One Answer at a Time!
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Trades once per hour? But that would be fair for everyone, can't have that. People pay thousands or millions to get stock prices 30 seconds faster, because there are fortunes to be made with 30 seconds of advantage.
30 seconds? Some exchanges have to measure the cables to prevent customers from getting a microsecond advantage!
A company ran a new fiber line under the goddamn Atlantic Ocean from London to New York so London traders could trade a fraction of a second faster.