Slashdot Mirror


Neutrino-Powered Financial Trading In Our Future?

An anonymous reader writes "In a new feature on the future of high-frequency trading, Wired suggests that neutrino-powered financial trading systems may be coming soon, which would enable extremely low-latency information to be transmitted directly through the center of the Earth between major financial exchanges. If finance becomes the killer app for neutrino communication technology, it may ultimately make Neutrino SETI feasible. Quoting: 'It is only a matter of time, perhaps a few decades, says Alexander Wissner-Gross, a Harvard physicist, before some hedge fund decides it needs a particle accelerator to generate neutrinos, and then everyone will want one. Yes, they travel slower than light, but they indisputably can tunnel through the earth, cutting thousands of miles off an intercontinental message. And just a few days before the Battle of the Quants, right before the bad news about faster-than-light neutrinos, researchers announced they had sent a message by neutrino from the Fermilab accelerator in Chicago to a detector a kilometer away. According to Dan Stancil of North Carolina State University, the signal traveled at "very close to" the speed of light. Unfortunately, the data rate was only about 0.1 bits per second, meaning it would be useless for much more than sending a yes/no signal. "With the right modulation scheme, this could be increased by at least one or two orders of magnitude," Stancil said, adding "I don’t know of a compelling commercial application." But we’ve all heard the (apocryphal) story that Thomas J. Watson of IBM predicted "a world market for maybe five computers."'"

34 of 275 comments (clear)

  1. Re:Nope Nope Nope by ThePeices · · Score: 3, Insightful

    Never will happen. too hard to detect don't care what anyone says.

    Uh huh, and we couldnt go to the moon either.

    Never will happen. too hard to do don't care what anyone says.

    Did you put your fingers in your ears and scream NANANANANA when you finished saying that rubbish sentence?

  2. At what power are they going to send the neutrino? by Taco+Cowboy · · Score: 4, Insightful

    If you send the neutrino on too weak a power it will face interferences from other neutrinos produced by natural radioactive decay and solar processes
     
    But if you want to send your neutrino and to ensure people on the other side of the planet can receive it, you have to send it at least with a power of in the order of millions of electron-volts - that is a lot of juice we are talking about !!
     

    --
    Muchas Gracias, Señor Edward Snowden !
  3. Da speediest way tooda Naboo by fustakrakich · · Score: 4, Funny

    'tis goen through the planet core.

    --
    “He’s not deformed, he’s just drunk!”
  4. Re:Nope Nope Nope by Anonymous Coward · · Score: 5, Funny

    You insensitive clod. Are you suggesting that going to the moon wasn't a hoax?

  5. They still travel too slow by rossdee · · Score: 3, Funny

    Neutrinos still only go at c
    What we need is tachyon communication for stock trading

    1. Re:They still travel too slow by khallow · · Score: 4, Informative

      It also doesn't help that we haven't actually observed superluminal phenomena of any sort (tachyons, quantum teleportation, warp drives, etc). Something to keep in mind when discussing the wonders of tachyon communication.

  6. Depressing by Anonymous Coward · · Score: 5, Insightful

    Some of our highest technological achievements end up being used to do one of two things: manipulate capital markets, or blow people up. Expect a neutrino-powered civilian obliterator any day now.

    1. Re:Depressing by careysub · · Score: 4, Funny

      You left out the third achievement upon which the world's greatest minds are now focused: getting you to click on ads.

      --
      Starships were meant to fly, Hands up and touch the sky - Nicky Minaj
    2. Re:Depressing by game+kid · · Score: 2

      I dunno, some of those online-game ads seem to have an effect on me there...

      --
      You can hold down the "B" button for continuous firing.
  7. Good Knight! by hawks5999 · · Score: 2

    What a Knightmare!

  8. I find this depressing by Dyinobal · · Score: 5, Insightful

    I find it depressing for some reason, that we would develop a technology specifically so a few guys will be able to trade stocks .0000001 second faster.

    1. Re:I find this depressing by DNS-and-BIND · · Score: 2

      Someone has to develop it. It ain't gonna come out of pure research. If we're being robbed blind by these fuckers, the least they can do is develop advanced communications systems that the rest of us can use.

      --
      Shutting down free speech with violence isn't fighting fascism. It IS fascism!
    2. Re:I find this depressing by dabblah · · Score: 5, Insightful

      It's worse than depressing. There is no socially redeeming value to high frequency trading. At best the practice steals a small amount of value from any affected fundamental (or non high speed technical for that matter...) trade. At worst, it may have caused the flash crash or be able to trigger a similar event.

      If we as a world collectively had reasonable securities laws, the idea of high frequency trading would soon become moot. For the right to host the capital markets, the exchanges should be required to be neutral to latency, and certainly not co-host high frequency trading with the exchange computer systems. Also, a very small Pigovian tax on financial transactions would clean up a lot of undesirable activity in the securities markets, this included, while being a source of revenue proximate to provision of a societal good (that being regulation for efficiency sake of the capital markets).

  9. Eliminate High Frequency Trading by PPH · · Score: 3, Funny

    Funnel all the orders through one old guy wearing green eye shades with a ledger book and a Marchant calculator.

    --
    Have gnu, will travel.
  10. Re:At what power are they going to send the neutri by maugle · · Score: 2

    Not to mention, neutrinos created won't have any specific frequency like with radio and other wireless communications. That means no easy way to filter out everyone else's noise to get your signal. If neutrino communication actually works, it'll be interesting to see what happens when the level of communications hits the "fifty wireless routers in an apartment building" point.

  11. over thinking by fermion · · Score: 2
    Clearly this is why the financial industry is in such a constant state of crisis. They are basically dumb, believing what any says, as long it might make then a buck. The more stupid, outlandish, and gibberish compliant the idea is, the more they like it.

    I mean really, if they wanted near zero latency communication, they should just come to me for some basic technology. For instance, a basic, yet expensive, path is telepaths. Right now we would simple takes twins or triplets or whatever, test them for basic ability, and then train them. Pay each 100K a year to be on staff for a few year, then replace then as needed. This would be a great job for someone right out of high school. For the longer term we would go to some country with low regulation and genetically engineer the telepaths. At first this would be just selective breeding and early training, but eventually we should have labs set up to create telepaths on demand. Pay for their room and board, keep them on for 10 years, then send them on their way with a couple million in trust.

    A more expensive and lower bandwidth method would be quantum entanglement. Chang the spin on one particle, it's entangled particle will immediately be changed as well. A 8 bit system could be built, An alternating all up then all down could be sent as a metronome, then an STX, then a certain amount of datadata, then and ETX, then a check sequence, then an EOT. Speed would be limited on by how long one must hold a state for reading. The advantage here is that there is absolutely not latency.

    You see, there are always simple solutions when one thinks about it.

    --
    "She's a scientist and a lesbian. She's not going to let it slide." Orphan Black
  12. Absolutely disgusting. by Alex+Belits · · Score: 3, Insightful

    This is absolutely disgusting, and any society where such a thing is a feasible way of extracting profit, is completely morally bankrupt.

    And we thought, nuclear war is the worst thing that can come from fundamental Physics research. Now nuclear war seeme to be a valid solution to the society that is run by financial companies who run DoS and man in the midle attack on all trade and production, to extract money from everyone.

    --
    Contrary to the popular belief, there indeed is no God.
  13. Soon = "in 100 years" by gweihir · · Score: 2

    Look at the effort used in detecting them at this time. This is just a writer with some imagination but no understanding of the facts.

    --
    Most ACs are not even worth the keystrokes to insult them. Be generically insulted by this and ignored otherwise.
  14. Re:Who needs fast data rates? by Anonymous Coward · · Score: 2, Insightful

    How the fuck do you reach that conclusion? No sell = 0 and sell = 1? With absolutely no way whatever to detect whether it's valid data?

    Actually yeah, Knight would probably buy one of those...

  15. Re:We need COMMUNISM by khallow · · Score: 2

    The real question, what is his dealer cutting it with?

  16. Re:Who needs fast data rates? by hakey · · Score: 2

    I forgot the latency through the earth which is about 42ms. So actually you would need to transmit at 100b / (150ms - 42ms) = 952bps just to break even.

  17. The "future" of financial trading... by jmerlin · · Score: 5, Insightful

    should involve regulations that limit the rate at which trades can be made or that put a cost on high-frequency trades such as to remove their profit incentives. It's an investment market, we don't need thieves grabbing mismatched buy/sell orders and sitting in the middle shaving pennies off transactions. You know all those movies where someone proposes "rounding" sub-penny transaction losses down to the nearest penny and adding them all to a bank account? Someone on Wall Street saw that and said "bro, we can totally do this lulz! Just give us a way to trade faster than anyone else, and we'll make BILLIONS!" How is this still legal? I mean by every definition this is theft. I, for one, don't want to see us trying to come up with technologies to help these billionaires continue robbing you, me, and everyone else.

  18. Re:Wouldn't this amount to an expensive gamble? by Alex+Belits · · Score: 2

    THIS IS WHAT AMERICAN PATRIOTS REALLY BELIEVE.

    In reality, technology is developed by people who can convince companies to pay them for developing technologies for those companies first. However it never ever happened in the history of mankind that worthwhile technology stayed exclusive to companies where it was developed first.

    This shit, of course, is not even a worthwhile technology, it's a way to waste massive amount of energy and space to game a system that should not be allowed to exist in the first place.

    --
    Contrary to the popular belief, there indeed is no God.
  19. IMHO gravity neutrinos by khallow · · Score: 2

    I think there's more mileage to be had from gravity-based communication systems. For example, take the "Mach Lorentz Thruster". It's basically a capacitor that is oscillated back and forth very rapidly with synchronized cycles of charging and discharging.

    The original reason for it was to generate a net thrust by charging the capacity pushing it in one direction, discharging it, and then pushing it back again. This generates a net force since a charged capacitor by relativity has slightly more mass than a discharged capacitor.

    One side effect though is that if you already have a gravity signal of the appropriate frequency, then such an oscillating system can pick up that signal. In other words, the MLT can produce a gravity based signal and pick up a gravity based signal. All in theory, of course. But at least it's progressed to the point where one can generate detectable levels of thrust with it. One could probably generate the gravity signal merely by vibrating a massive weight at the right frequency.

    Now one such MLT acts so I understand a lot like a dipole antenna. I think it should be possible to make a large phased array of these things and have an ability to detect gravity signals of a tuned frequency, more or less what would be wanted for communication. And it should have better gain by a very large amount (like pretty much everything else does) than a corresponding antenna for neutrinos.

  20. Give it time by Roger+W+Moore · · Score: 2

    Are you suggesting that it was a profitable financial enterprise?

    No, but neither was Christopher Columbus' first trip. It was what came after that was profitable. It took ~100 years for the first successful colonies and ~350 years after that to have the largest GDP in the world. The US landed on the moon 40 years ago so lets talk in ~400 years time about whether it was a profitable venture.

  21. Energy != power by Roger+W+Moore · · Score: 5, Informative

    If you send the neutrino on too weak a power it will face interferences from other neutrinos produced by natural radioactive decay and solar processes

    First electron-volts measure energy. Power is energy per unit time i.e. joules per second. Energy is a property of each neutrino - a neutrino does not have a power. Power is a property of a beam of neutrinos and is the mean neutrino energy multiplied by the mean number of neutrinos emitted per second. Worse, your suggestion that neutrinos with millions of electron-volts of energy will be needed to avoid interference with radioactive decay could not be more wrong: radioactive decays emit neutrinos at MeV energies! MeV neutrinos will have very similar energies to those from natural radioactive decays!

    But if you want to send your neutrino and to ensure people on the other side of the planet can receive it, you have to send it at least with a power of in the order of millions of electron-volts

    Again you are confusing energy and power. There are two ways to detect neutrinos over background: beam intensity and energy. Accelerators generally produce neutrinos with GeV energies (billions of electron-volts). These have some background from cosmic rays hitting the atmosphere but give more directional information when detected i.e. you can tell where they came from better than low energy neutrinos so you can greatly reduce any background. Alternatively, if you have enough beam power then you can modulate the beam intensity in the remote detector which will modulate the count rate - you just need to have enough neutrinos to dominate the background. Also you need to bury your detectors to avoid backgrounds from cosmic ray muons.

  22. Re:Uh. Blue sky fail by 0123456 · · Score: 2

    Entanglement communication is far more interesting. Spooky, distant, simultaneous communication? Yes please.

    Just a shame there's no actual communication involved, and no way to send information.

  23. Re:Wouldn't this amount to an expensive gamble? by Immerman · · Score: 2

    The size and shielding requirements will likely mean mobile detectors will be infeasible for the indefinite future, but te far side of the moon is a good example.

      The detectors typically have to be very large, and worse, *very* sensitive to detect any neutrino interactions at all. That sensitivity means they have to be very well shielded from all other particles to have any hope of detecting a neutrino over the noise of other particle interactions. For example - the Sudbury Neutrino Observatory in Canada is a 12m sphere full of heavy water, buried 2000m underground to shield it well enough that it can occasionally detect a neutrino, tens of billions of which are passing through every square centimeter of it each second.

    --
    --- Most topics have many sides worth arguing, allow me to take one opposite you.
  24. Re:Nope Nope Nope by tbird81 · · Score: 4, Funny

    Only one way to deal with someone who thinks the moon landing is a hoax:
    http://www.youtube.com/watch?v=1wcrkxOgzhU

  25. Modulation by ByteSlicer · · Score: 2

    With the right modulation scheme, this could be increased by at least one or two orders of magnitude

    Sure. If anyone ever figures out how to modulate a neutrino beam. Now we're having problems already just detecting them.
    I suppose it would be theoretically possible to modulate the accelerator beams, but with the energies involved, I suspect that will be quite a challenge too.
    And then there is the small matter of latency. The neutrino beam may be fast, but the whole process of converting the information stream in a modulated beam, and then analyzing the data at the detectors to find the few neutrinos that didn't come from the sun, will take probably more time than sending the data through fiber optics would.

    1. Re:Modulation by DoctorNathaniel · · Score: 2

      Actually, that's easy, and has been done: http://arxiv.org/abs/1203.2847

      (Full disclosure: I'm an author on that paper)

      Modulation (strictly speaking) isn't required. To make the system work, you only need semi-reliable one-bit fast communication, and slow communication otherwise. On the slow channel:
      "I'll be ready to send a neutrino pulse at 12:00:00.000000"
      "Send me a neutrino bunch at 12:00:00.000000 if it would be profitable to buy "
      Then the beamline simply pulses or doesn't-pulse the beam at that time, depending on the financial data of that instant. It's basically a matter of firing or not-firing the extraction kicker magnet that pulls the protons onto the target that makes neutrinos.

      Of course, the article under discussion about financial communication is a complete parody, obviously written to suck in gullible financial types. It doesn't actually lie - the system could be made to work, no problem - it just conveniently discusses only the cost of the receiving unit, not the 'sending' unit. The sending unit costs rather a lot more, which isn't mentioned in the article, and can't be aimed.

      Basically, it's a cynical and amusing attempt for the neutrino physicists to try to get the bankers to buy us the beamline we want for purely scientific purposes. A more nobel cause cannot be imagined. ;)

  26. Re:Nope Nope Nope by durrr · · Score: 3, Interesting

    While we may be able to do neutrino signal trading there should never in the first place be a benefit to super-low-latency trading as it doesn't make the market more "market-efficient" it just enables vampiric that contributes nothing but arcane instability to the whole market. HFTs are a cancer equivalent to too big to fail.

  27. Re:Wouldn't this amount to an expensive gamble? by Alex+Belits · · Score: 2

    The fastest and most responsive markets exist at the moment when a massive financial crisis starts. Everything productive depends on markets being as slow and stable as possible, as long as they aren's slower than the production itself, and we have crossed that boundary in 19th century.

    --
    Contrary to the popular belief, there indeed is no God.
  28. Re:Who needs fast data rates? by pyite · · Score: 2

    Of course the real question is why you'd be trading in Hong Kong from the US when you can co-locate your servers in Hong Kong and run your trading algorithms there.

    The strategy your parent is alluding to is a straight up latency arbitrage where you trade instrument X in market Z based on you getting information from market Y before anyone else.

    --

    "Nature doesn't care how smart you are. You can still be wrong." - Richard Feynman