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I used to work in HFT. I promise you that companies would still try to exploit randomized batches. There is an advantage to being the very last entrant into a b
by axg11 4y ago
I used to work in HFT. I promise you that companies would still try to exploit randomized batches. There is an advantage to being the very last entrant into a batch (most up to date information). Truly random batches are not trivial to implement and any statistical pattern in the batching could be exploited.
- jerf 4y ago"Truly random batches are not trivial to implement and any statistical pattern in the batching could be exploited." If an HFT manages to exploit a correctly implemented entropy-pool random number generator using AES-256 to extend the stream as needed, they're welcome to pick up a few more bucks as far as I'm concerned. Yes, problems have existed before but I'm sure in this case we can assume high-assurance and careful programming, not some fresh grad being assigned the problem and thinking linear congruential generators sound really cool.
- samatman 4y agoA robust solution is, wait for it, proof of work. Wait, come back, I'm serious! Finding an arbitrary hash of adjustable complexity is a scalable solution to batching transactions across multiple servers with a consistent throughput.