"The recent public
outcry over high frequency trading is pointless. Solutions exist. Virtually every
comparable market in the world uses them already.
But, some electronic exchanges may not willingly adopt them.
Doing so may disrupt their current business model. The incentives are
misaligned, and competitors or regulators may need to force the issue to see
change. Luckily, the issue to be forced is far simpler than most think.
It’s time to add quality to the matching process. Over
thousands of years, every naturally evolved market has headed this direction –
from the ancient Greeks to Alibaba.com. It’s time for Wall Street to realize
what they lost along the way, and how it can fix far more than just HFT."
