this post was submitted on 10 Jan 2024
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[–] [email protected] 29 points 10 months ago* (last edited 10 months ago) (3 children)

High frequency trading is fully automated insider trading done in broad daylight, but nothing gets done about it because most people don't understand what it is. It shouldn't be taxed; it should be illegal.

[–] IchNichtenLichten 6 points 10 months ago

It's a long and convoluted route from that to their 401ks not bring as plump as they could be. Indirect robbery of thousands is more palatable than being mugged for a few dollars.

[–] [email protected] 6 points 10 months ago* (last edited 10 months ago) (1 children)

I wish I remembered the name of it but there was a really interesting documentary/video about how crazy the rapid trading got, to the point that companies were trying to install systems as close as physically possible to the physical location of the NASDAQ so their requests would have less "travel" time and show up before anyone else.

Absolute insanity...

[–] Copernican 2 points 10 months ago

Yeah. Didn't the feds have to regulate that so that it was an equal playing field for transaction latency?

[–] [email protected] 2 points 10 months ago (1 children)

We’re not asking for 5 minute intervals. Just 1-2 second intervals would stop that automated stuff, or at least diminish it significantly. How about setting it to how long it takes light to go around the world twice +1 second?

[–] [email protected] 2 points 10 months ago

How about abolishing the system altogether?

It clearly isn't working for real people.