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> Isn't the problem that this allows for all kinds of forms of insider trading? No, it doesn't. All trades are made public after they happen, as per regulation
by ikmckenz 2y ago
> Isn't the problem that this allows for all kinds of forms of insider trading?
No, it doesn't. All trades are made public after they happen, as per regulations. There is no difference to insider trading regulations if a bad actor trades via a lit exchange or via a dark pool. Dark pools only "hide" pre-trade information, such as standing buy or sell limit orders.
- JKCalhoun 2y agoReally? Isn't knowing that an extremely large trade is about to take place insider information?
- tedunangst 2y agoThat is only insider information for the person making the trade.
- deleted 2y ago[deleted]
- JKCalhoun 2y agoAnd there are no other parties involved before the trade? That was not my understanding.
- tedunangst 2y agoYou may be thinking of front running, which is an agency problem, and also not this.