There are two layers here.
The formal view says BSS is just neutral regulatory plumbing.
The structural reality is that this setup creates exactly the kind of embedded conflicts our AI research team has been mapping. #BlueLedgerAI
Why the “commissioned + hosted” structure matters
The PIA describes BSS as “commissioned by the SEC” but "hosted and operated" by @FINRA , with SIAC in the submission path and broker-dealers as the data originators.
That creates a quiet but serious tension... wouldn't you agree?
To a market observer, it appears that the @SECGov is both:
1. the supervisor of FINRA, and
2. a dependent customer of FINRA for a critical surveillance system. 🤣
At the same time, it appears that @FINRA is both:
1. subject to SEC oversight, and
2. the data chokepoint for information that can expose its own regulated members. 🤣
The PIA never labels this a “conflict of interest”
But structurally, it is classic incentive-misalignment territory...
An SRO is actively controlling the infrastructure that can implicate the firms that fund it... while the statutory regulator must rely on that SRO’s systems to see what actually happened in the market.
What could possibly go wrong, eh⁉️
I may have a guess or two... next
📣📣DISCOVERY IS MOVING FORWARD MMAT MMTLP
Citadel Securities, Anson Funds, and Virtu Financial have been fighting the subpoenas for discovery for a long time. Now, it appears it's moving forward to set up the framework for the data.
The Usual Suspects‼️
🚨 #ULTIMAHORA preocupación por el estado de salud mental de Edward Norton. Se le ha visto desorientado hablando solo durante el USA-Turquía en el estadio de los Ángeles.
I look forward to a quiet life outside of politics. With a fire-pit and beehives. Until then I am going to make it my mission to get the FARA office back up and running. The political divide in this country is a foreign op from multiple countries and it’s sad.