by Mike Masnick
Wed, Oct 20th 2010 6:37am
Slashdot points us to the story of how two Norwegian day traders have been convicted and given suspended jail sentences for outsmarting an automated computer trading system, enabling them to make money. The details are not entirely clear, but from what's in the article, it sounds like they observed some patterns in the way the system responded to certain trades, and then they took advantage of that. Of course, that's exactly what automated computer trading systems, themselves, are supposed to do. They're supposed to notice patterns in trading and take advantage of that. So, would it have been illegal for the same automated trading system to notice patterns in certain human trades and take advantage of it?
If you liked this post, you may also be interested in...
- Activists Cheer On EU's 'Right To An Explanation' For Algorithmic Decisions, But How Will It Work When There's Nothing To Explain?
- ACLU Files Challenge To CFAA Over Blocking Research Into Discrimination Online
- DailyDirt: More Robot Servants Will Be Nice...
- Congress Questions Facebook About Something It Probably Didn't Do With A Feature That Barely Matters
- DailyDirt: Thinking Machines