> couldn't we start taxing these transactions, or the bids/offers themselves? Yes, but that tax would just be passed on to "regular investors" in the form of h

> couldn't we start taxing these transactions, or the bids/offers themselves? Yes, but that tax would just be passed on to "regular investors" in the form of higher spreads. Market makers are providing a real service. That service has a cost. FWIW, that cost is now much smaller than it used to be due to the fact that computers are doing it now instead of real humans. Automation FTW!