alt Hacker NewsA market maker who doesn't know if their counterparty is a Trump insider looking to fleece them must ask for a bigger safety margin to cover the risk they are taking -- and not just from the insiders. Honest participants in the market get taxed in order to provide the insider payout.
This is extremely basic incenive / money-flow tracing and "setting aside corruption" is a premise that has the hairs on the back of my neck standing straight up. It smells like someone looking to force the framing. Everyone before me in this conversation was right to be suspicious of your motives in asking it, and I am suspicious as well.
>A market maker who doesn't know if their counterparty is a Trump insider looking to fleece them must ask for a bigger safety margin to cover the risk they are taking -- and not just from the insiders. Honest participants in the market get taxed in order to provide the insider payout.
That's still corruption. Your argument about other participants being "taxed" applies for other sophisticated counterparties as well, eg. hedge funds with armies of analysts and can fly helicopters around to gather intel. Unless you want to say that's bad too, the only difference between the two is that the hedge fund isn't engaging in corruption.