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by ptah 2555 days ago
i would say getting rid of this market makes the financial system healthier. 2008 crash could have been avoided with something like this
1 comments

Would it? It wasn't options trading that caused 2008; it was bad home loans.
yes. the derivatives built on top of bad home loans caused the contagion. it would have been close to a non-event if there were no derivatives based on the bad homeloans.

https://www.investopedia.com/financial-edge/0210/did-derivat...

https://www.thebalance.com/role-of-derivatives-in-creating-m...

The derivatives were traded in massive blocks, not in high-frequency transactions where fees adding up matters.