Part 7/9:
Post-Flash Crash, Katsuyama and his partner, Ronan Ryan, saw an opportunity for lasting change. In 2012, they left RBC to create IEX, a new stock exchange designed explicitly to shield traders from latency arbitrage inherent in high-frequency trading practices.
IEX introduced an innovative solution to the trading landscape: a physical speed bump that purposefully delayed orders by coiling miles of cable within the exchange. This delayed reception minimized the advantages HFTs had over regular traders, ensuring a fairer trading environment.