> 2021-03-26

Financial markets should be easy to enter but difficult to actively participate in.

Encouraging reduced barriers to entry and limitations on participation improve price discovery through the removal of arbitrary restrictions. However, a big caveat should be made to retail investors so that they’re aware that they’re very likely outgunned by the resources available to institutional investors.

Markets should be much closer to an “anything goes” model while making transaction and holdings data public. It could be argued that rules should be seriously relaxed in a world where information is broadly available and reputational damage can be fatal - the reputation market would self-regulate bad actors.

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