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by JumpCrisscross 259 days ago
> Just make all positions irrevocable for at least 10 seconds after posting

Sounds great for Wall Street. Spreads would necessarily widen as people buffer out. Meanwhile, you’ve turned every lit order into a 10-second option for market participants. Which means there is still a latency advantage to lifting or hitting a standing order first.
1 comments
throwawaymaths 259 days ago
only if you make those bids visible. the bids are held in a buffer and at the end of the buffer, it either completes a trade or appears on the order book. iirc some market tried to do this with a literal loop with a physical latency.
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JumpCrisscross 259 days ago
> only if you make those bids visible. the bids are held in a buffer and at the end of the buffer

Everyone else's bids are invisible. The ones you submit--for your self and for your customers--are not. The larger a brokerage operation you run, the more of an edge you get under this system.

We created the unified tape and passed Rule NMS specifically to remove these incentives.

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