That's slippery slope logic. If the pricing is right at 1s, why pour money and talent into getting it right at 100ms? I'm saying there are negative exte

That's slippery slope logic. If the pricing is right at 1s, why pour money and talent into getting it right at 100ms? I'm saying there are negative externalities[1], which are known to cause market inefficiency. Negative externalities typically look like "slippery slope" arguments, when in reality there is an appropriate level of penalty/tax/etc that restores efficiency. Meanwhile, you're effectively vouching for a comment that models the markets as a closed system of people dividing up a single pot of money. Isn't it plain that such a model is wrongheaded? I'll concede it's not zero-sum, but surely you also will concede diminishing returns to liquidity. I'll also concede that my original "money sink" comment was hyperbolic & inflammatory. [1] http://economics.fundamentalfinance.com/negative-externality.php http://economics.fundamentalfinance.com/negative-externality...