I believe the poster meant a machine-learning system blowing up (catastrophic trading loss) due to a black swan event that the system wasn't trained to deal wit

I believe the poster meant a machine-learning system blowing up (catastrophic trading loss) due to a black swan event that the system wasn't trained to deal with. Knight's blow-up was a process/sysops failure, not due to their strategies going wonky. [As a side note I believe their core strategies were human-analyst designed, not ML based, but I could be wrong.]