Algorithms drive markets but do not regulate them = Napoleon @ Waterloo Groundhog's Day
MFID II #DARKPOOL #HFT High Frequency Trade Limits 2018 / #Cryptocurrency transactions among types
A, B, C, N... are I.R.S taxable events
It is TIME for super computer High Frequency
Trade #HFT / #Bitcoin #Blockchain transaction speed parity? On / off floor geo-spatial trade parity?
What if we revisited
using the "Great John Nash's" Equilibrium algorithms?
US Sct #573
Alice Corp Vs CLS Bank "claims may not direct towards abstract ideas" = physical sonar water drop in pond meme for
radius distance from stock, commodity exchange trade floors
use case of the firefly inspired heartbeat synchronization algorithm in stock and currency exchanges is algorithmic regulation.
For example, improving temporal trade parity between Bitcoin Blockchain & conventional stock exchanges by using the firefly-heartbeat
algorithm to take trade speed samples among trade populations across time zones to determine an optimal trade speed / frequency
as a statistical mean. Trading velocity far exceeds Bitcoin's current transaction rates estimated to be between 3 -
7 transactions per second and far exceed non-HFT trading capacity. A method is needed to establish temporal trade parity and
account for on floor / off floor trading disparity -- enter STAAS Space - Time As A Service using a novel stochastic harmonization
algorithm based on the mating behavior of certain species of fireflies that strive to sync during mating activity matched
to the closest Operational Tempo OPTEMPO heartbeat cycle.
Street Stock Exchanges must solve the problem where High Frequency Trade transactions far exceed the ability of a regulatory,
monitoring 3rd party's (DCCC) ability to record, verify and validate transactions -- a computational job that the Bitcoin
Blockchain is being used to solve. Project Medici intends to create a blockchain based securities exchange. “Medici,”
the project aims to democratize Wall Street in much the same way bitcoin seeks to democratize currency and payments. By operating
separate from traditional stock exchanges and the big corporate banks, it could eliminate certain loopholes in the system
and reduce the costs associated with issuing and juggling stock.
sophisticated algorithms, bots, mots, scripts, agents make use of the heartbeat -- opportunities, intervals, windows in time.
High frequency flash trade algorithms are sophisticated and distributed -- however, all algorithms report to a single master
controller. The heartbeat = start bit / stop bit, Time To Live = algorithm on / algorithm off / algorithm
duration. Heartbeat </108> messages and the heartbeat time cycle can be used to limit trade sessions by trading session
or trade time cycle e.g., one trade per cycle and / or n trades per session. Geo-spatial temporal techniques like IDMaps and
SonarHop and the firefly heartbeat stochastic harmonization method can be used to account for trades distributed across time
zones and trading on the stock exchange floor and off where the length of the fiber optic cable makes a difference in High
Frequency Trade volume. Time cycles match Bitcoin blockchain transaction rates currently estimated to be 3 – 7 per second
with High Frequency Flash trade rates. Project Lightning's sync delta approach -- sending only the changes to ledgers from
one (heartbeat) time cycle to the next instead of refreshing the entire ledger is one solution for trade speed parity.
Economist Milton Friedman's K $ Rule advocates establish an economic periodic pulse
representing a countries real GDP. The firefly-heartbeat algorithm could sample time - series databases to arrive at a statistical
mean value index comprised of leading economic indicators that would determine currency levels released by the Federal Reserve.
A countries currency or FEDCOIN or the World's standard currency Worldcoin could be based on actual values of commodities
-- ex: Bitcoin has been deemed a commodity..
Math genius John
Nash of Princeton’s equilibrium theorem may be used for stock, currency market equilibrium through use of algorithms
to control cartel behavior through sanctions and penalties. The increasing reliance on game theory as a foundation for auctions
and electronic commerce, efficient algorithms for computing equilibria in multiplayer general-sum games are of practical interest
for example, in finding a Nash equilibrium for an average-payoff repeated bi-matrix game polynomial-time algorithm. Finite-state
equilibrium strategies can be found efficiently and expressed succinctly. Paper: A Polynomial-time Nash Equilibrium
Algorithm for Repeated Games: LINK http://bit.ly/1NWeLLu
STORM / TRIDENT with real time distributed computation of events at speeds of a million tuples per node per second
using worker / task heartbeats to get put instructions for example, to Wall Street high frequency flash trade describing trade
window Time To Live TTL and start, stop commands e.g., stop commands to runaway trading sessions.