Alternative solutions to the algo problem – #2 by nithin – General – Trading Q&A by Zerodha

Let’s suggest some alternative solutions.

This is my suggestion:

Brokers can mark orders placed by the API and send them to the exchange. Exchange gets a unique identifier for the user who made the request. Now, the exchange can aggregate all orders received from all brokers. They will end up creating groups of similar commands. Now, they know that this group of people (in the thousands) is placing similar orders and posing a threat (they can move the market). Exchange can take some action against these users, and leave people like me, who have a unique algorithm alone.

Just mentioning the solution above, if SEBI needs to do something. In my opinion, let’s be free and make the requests as we want. Tweet embed

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