RT Journal Article SR Electronic T1 Practical Applications of Footprints on a Blockchain: Trading and Information Leakage in Distributed Ledgers JF Practical Applications FD Institutional Investor Journals SP 1 OP 5 DO 10.3905/pa.6.2.294 VO 6 IS 2 A1 Rune Tevasvold Aune A1 Adam Krellenstein A1 Maureen O’Hara A1 Ouziel Slama YR 2018 UL https://pm-research.com/content/6/2/1.12.abstract AB In Footprints on a Blockchain: Trading and Information Leakage in Distributed Ledgers, from the Summer 2017 issue of The Journal of Trading, authors Rune Tevasvold Aune, Adam Krellenstein (both of Symbiont) Maureen O’Hara (Cornell University School of Management) and Ouziel Slama (formerly of Symbiont and now with Legolas), describe a creative solution to a potential limitation to the use of distributed ledger technology in financial market contexts. This complication relates to the disclosure of proprietary trading information that could be used to “front-run” certain investors. The authors outline a solution to this problem, which involves the use of a cryptographic hash to indicate prioritization of transactions. This solution could facilitate widespread usage of blockchain technology in a variety of financial contexts.TOPICS: Quantitative methods, exchanges/markets/clearinghouses