Comment Re:The fine wasn't all of the punishment (Score 3, Informative) 192
If Knight had put the $460 million in a pile and burned it, there would be no fine. The problem was that their algorithm was wildly buying and selling shares in the open market, and thus distorting that market. See the graph at http://www.businessweek.com/articles/2013-06-06/the-knightmare for an example of a stock that was affected. What if you were an investor in that stock who had set a stop-loss at $10? Knight's wild selling would have triggered the stop-loss, and you'd lose money because of Knight's actions. This gross market distortion is what the fine was meant to punish.