# Could Order by Order Auctions Realistically Eliminate the Conflicts of Interest Inherent in PFOF? ▴ Question

**Published:** 2025-08-14
**Categories:** Question

---

![A multi-faceted crystalline form with sharp, radiating elements centers on a dark sphere, symbolizing complex market microstructure. This represents sophisticated RFQ protocols, aggregated inquiry, and high-fidelity execution across diverse liquidity pools, optimizing capital efficiency for institutional digital asset derivatives within a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/rfq-protocols-for-institutional-digital-asset-derivatives-price-discovery.jpg)

![A sleek, black and beige institutional-grade device, featuring a prominent optical lens for real-time market microstructure analysis and an open modular port. This RFQ protocol engine facilitates high-fidelity execution of multi-leg spreads, optimizing price discovery for digital asset derivatives and accessing latent liquidity](https://options.greeks.live/wp-content/uploads/2025/08/institutional-digital-asset-derivatives-rfq-execution-engine-for-high-fidelity-price-discovery-and-latent-liquidity-aggregation-across-multi-leg-spreads.jpg)

## Concept

![A precise lens-like module, symbolizing high-fidelity execution and market microstructure insight, rests on a sharp blade, representing optimal smart order routing. Curved surfaces depict distinct liquidity pools within an institutional-grade Prime RFQ, enabling efficient RFQ for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-digital-asset-derivatives-execution-via-rfq-protocols.jpg)

## The Illusion of the Free Trade

The core conflict within the [Payment for Order Flow](https://prime.greeks.live/area/payment-for-order-flow/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) ([PFOF](https://prime.greeks.live/area/pfof/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite)) model is not a hidden flaw; it is the central mechanism of the system. A retail broker, bound by a duty to secure the most favorable terms for its client, accepts payment from a wholesale market maker in exchange for directing that client’s orders to them. This arrangement creates a fundamental misalignment of incentives.

The broker’s revenue becomes directly linked to the volume of orders routed to a specific counterparty, introducing a variable that is separate from the quality of execution received by the end investor. This structure turns the order itself into a commodity, sold by the broker to the highest bidder, rather than a fiduciary instruction to be executed with singular focus on the client’s best interest.

This systemic conflict manifests as an opacity in the price discovery process. Retail orders are executed away from the transparent, competitive environment of public exchanges, often internalized on the wholesaler’s own books. Proponents argue this results in [price improvement](https://prime.greeks.live/area/price-improvement/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) over the publicly quoted National Best Bid and Offer (NBBO), a consequence of the wholesaler’s ability to match buyers and sellers without incurring exchange fees.

This perspective, however, overlooks the possibility that the price improvement offered is only a fraction of the [economic value](https://prime.greeks.live/question/how-do-courts-evaluate-the-economic-impact-of-a-regulation-on-property-value/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) captured by the wholesaler, value that could have been returned to the investor in a truly competitive environment. The conflict is subtle, embedded in the architecture of the transaction, questioning whether the “free” commission is paid for by a less-than-optimal execution price.

> Order-by-order auctions introduce a structural remedy by forcing competition for each individual retail order, fundamentally altering the economic incentives that underpin the PFOF model.

![A sleek spherical device with a central teal-glowing display, embodying an Institutional Digital Asset RFQ intelligence layer. Its robust design signifies a Prime RFQ for high-fidelity execution, enabling precise price discovery and optimal liquidity aggregation across complex market microstructure](https://options.greeks.live/wp-content/uploads/2025/08/institutional-digital-asset-rfq-microstructure-price-discovery-prime-os.jpg)

## A New Paradigm for Execution

Order-by-order auctions represent a direct architectural response to the conflicts inherent in PFOF. Instead of a bilateral arrangement between broker and wholesaler, this model mandates that retail orders be exposed to a competitive bidding process before execution. In this framework, an order is broadcast to a pool of qualified [market makers](https://prime.greeks.live/question/how-does-market-fragmentation-affect-adverse-selection-for-market-makers/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) who then compete to fill it in a transparent, time-bound auction.

The winning bid is the one that offers the best price for the investor, directly aligning the execution mechanism with the client’s financial interest. This process unbundles the routing decision from the broker’s revenue model, re-centering the transaction on the principle of [best execution](https://prime.greeks.live/area/best-execution/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite).

The proposed system, such as the SEC’s “[Order Competition Rule](https://prime.greeks.live/area/order-competition-rule/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite),” would not necessarily eliminate PFOF outright. Instead, it would subordinate the existing wholesaler arrangement to a competitive process. A wholesaler could only internalize an order after it has been exposed to an auction and no other participant has offered a better price. This fundamentally changes the dynamic.

The wholesaler’s ability to execute the trade is no longer guaranteed by a PFOF agreement but is contingent on their ability to offer the most competitive price in an open forum. The auction mechanism, therefore, acts as a verification layer, using market competition as a tool to validate or improve upon the execution price, thereby mitigating the central [conflict of interest](https://prime.greeks.live/area/conflict-of-interest/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite).

![Abstract geometric forms converge at a central point, symbolizing institutional digital asset derivatives trading. This depicts RFQ protocol aggregation and price discovery across diverse liquidity pools, ensuring high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-rfq-execution-microstructure-core-liquidity-hub.jpg)

![Abstract geometric planes in teal, navy, and grey intersect. A central beige object, symbolizing a precise RFQ inquiry, passes through a teal anchor, representing High-Fidelity Execution within Institutional Digital Asset Derivatives](https://options.greeks.live/wp-content/uploads/2025/07/rfq-protocols-for-digital-asset-derivatives-high-fidelity-execution-liquidity-aggregation-price-discovery-market-microstructure.jpg)

## Strategy

![A pristine teal sphere, symbolizing an optimal RFQ block trade or specific digital asset derivative, rests within a sophisticated institutional execution framework. A black algorithmic routing interface divides this principal's position from a granular grey surface, representing dynamic market microstructure and latent liquidity, ensuring high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-rfq-protocol-precision-for-digital-asset-derivatives-execution.jpg)

## Incentive Structures and Their Consequences

The strategic divergence between PFOF and order-by-order auctions is rooted in their respective incentive architectures. The PFOF model establishes a primary strategic relationship between the retail broker and the wholesale market maker. The broker’s objective is to maximize revenue derived from selling its [order flow](https://prime.greeks.live/area/order-flow/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), while the wholesaler seeks to acquire this flow to profit from the bid-ask spread and internalize trades.

The retail investor is a secondary participant in this strategic loop, receiving the benefit of zero-commission trades and potential price improvement, but with limited visibility into whether the execution was truly optimal. The system’s efficiency is channeled towards generating revenue for the intermediaries.

Conversely, the [order-by-order auction](https://prime.greeks.live/area/order-by-order-auction/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) model reorients the strategic focus directly onto the execution of each individual trade. The primary interaction is no longer the bulk sale of order flow but the [competition among multiple market makers](https://prime.greeks.live/question/how-does-ai-change-the-nature-of-competition-among-dealers-in-rfq-markets/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) to win a single order. A market maker’s success is determined by its ability to offer the most competitive price, directly benefiting the investor.

This framework compels market makers to compete on price and [execution quality](https://prime.greeks.live/question/how-can-pre-trade-analytics-differentiate-between-high-quality-and-low-quality-quotes-in-an-rfq-auction/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), transforming the process from a bilateral negotiation over order flow into a multilateral competition for execution. The broker’s role shifts from a seller of orders to a facilitator of competitive auctions, aligning its function more closely with the client’s objective of achieving the best possible outcome.

> By forcing individual order competition, auctions shift the market’s strategic focus from intermediary revenue generation to investor-centric price improvement.

![A reflective digital asset pipeline bisects a dynamic gradient, symbolizing high-fidelity RFQ execution across fragmented market microstructure. Concentric rings denote the Prime RFQ centralizing liquidity aggregation for institutional digital asset derivatives, ensuring atomic settlement and managing counterparty risk](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-rfq-execution-for-institutional-digital-asset-derivatives-2.jpg)

## Comparative Analysis of Market Mechanisms

A granular comparison reveals the distinct operational pathways and their strategic implications. The two systems function with different assumptions about [liquidity](https://prime.greeks.live/area/liquidity/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), transparency, and competition.

The following table provides a comparative analysis of the two market structure models:

| Feature | Payment for Order Flow (PFOF) | Order-by-Order Auction |
| --- | --- | --- |
| Primary Conflict of Interest | Broker’s duty to client vs. revenue from wholesaler. | Potential for information leakage during the auction. |
| Price Discovery Mechanism | Internalized by wholesaler; opaque. Price improvement is discretionary. | Transparent competition among multiple market makers for each order. |
| Competition Focus | Wholesalers compete to buy bulk order flow from brokers. | Market makers compete to execute individual orders at the best price. |
| Transparency | Low. Execution details are not publicly visible in real-time. | High. Auction parameters and competing bids are disseminated. |
| Investor Benefit | Zero-commission trades, potential for some price improvement. | Potential for greater price improvement due to direct competition. |
| System Complexity | Relatively simple routing from broker to designated wholesaler. | Higher complexity, requiring auction infrastructure and protocols. |

![A central core, symbolizing a Crypto Derivatives OS and Liquidity Pool, is intersected by two abstract elements. These represent Multi-Leg Spread and Cross-Asset Derivatives executed via RFQ Protocol](https://options.greeks.live/wp-content/uploads/2025/07/digital-asset-derivatives-rfq-protocol-multi-leg-spread-execution.jpg)

## Strategic Implications for Market Participants

The introduction of an auction model would precipitate a strategic realignment for all market participants.

- **Retail Brokers** ▴ Their value proposition would need to evolve. Instead of competing on the basis of who has the most effective PFOF arrangement to subsidize commissions, they would compete on the quality of their auction technology, the breadth of market makers they provide access to, and the overall execution quality they can deliver.

- **Wholesale Market Makers** ▴ Their guaranteed access to retail order flow would vanish. They would be forced to compete on a per-trade basis, requiring more dynamic pricing engines and a greater emphasis on providing genuine price improvement to win orders. Their profitability would depend on superior technology and risk management, not on incumbency.

- **[High-Frequency Trading](https://prime.greeks.live/area/high-frequency-trading/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) Firms** ▴ These firms would likely become major participants in the auctions, leveraging their speed and pricing algorithms to compete for retail orders. This could increase liquidity and tighten spreads, but also raises questions about the potential for new, more sophisticated forms of market gaming.

- **Institutional Investors** ▴ The dissemination of auction information, including order size and side, could create opportunities for institutional investors to interact with retail flow. However, it also presents a risk of information leakage, where predatory traders could use auction data to anticipate market movements.

![A precision instrument probes a speckled surface, visualizing market microstructure and liquidity pool dynamics within a dark pool. This depicts RFQ protocol execution, emphasizing price discovery for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-flow.jpg)

![Precision-engineered modular components, resembling stacked metallic and composite rings, illustrate a robust institutional grade crypto derivatives OS. Each layer signifies distinct market microstructure elements within a RFQ protocol, representing aggregated inquiry for multi-leg spreads and high-fidelity execution across diverse liquidity pools](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-multi-layered-algorithmic-rfq-liquidity-aggregation.jpg)

## Execution

![A clear, faceted digital asset derivatives instrument, signifying a high-fidelity execution engine, precisely intersects a teal RFQ protocol bar. This illustrates multi-leg spread optimization and atomic settlement within a Prime RFQ for institutional aggregated inquiry, ensuring best execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-precision-execution.jpg)

## The Mechanics of a Qualified Auction

The operational success of an order-by-order auction system hinges on the precise design of its execution protocol. A “qualified auction,” as conceptualized by regulators like the SEC, is a highly structured process. When a retail broker receives a client’s order, it would not be routed directly to a pre-determined wholesaler. Instead, it would be sent to an auction venue.

This venue would then disseminate an auction message to all eligible participants. This message would contain critical information ▴ the security, the size of the order, whether it is a buy or sell, and the identity of the originating broker. The auction would last for a very short, specified duration, likely measured in milliseconds, during which participants could submit bids.

At the conclusion of the auction, the order is filled by the participant offering the best price. If the auction fails to produce a price better than the prevailing NBBO, the order could then be routed to a wholesaler for execution at the NBBO, preserving a backstop mechanism. This structure ensures that internalization and PFOF-style arrangements only come into play after a competitive, transparent process has been exhausted. The technological lift is significant, requiring standardized communication protocols, robust auction servers capable of handling immense traffic with low latency, and sophisticated monitoring systems to ensure fairness and prevent manipulation.

> The viability of auctions depends on a high-speed, transparent, and technologically robust execution framework that ensures fair competition on every trade.

![A complex, multi-faceted crystalline object rests on a dark, reflective base against a black background. This abstract visual represents the intricate market microstructure of institutional digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-prime-os-execution-architecture.jpg)

## Quantitative Impact on Execution Quality

To understand the potential impact, consider a hypothetical execution of an order to buy 200 shares of a stock, with the NBBO at $100.00 (bid) and $100.04 (ask). The analysis below contrasts a typical PFOF execution with a potential auction outcome.

This table models the financial outcomes of a single trade under both systems:

| Metric | PFOF Scenario | Order-by-Order Auction Scenario |
| --- | --- | --- |
| National Best Offer (NBO) | $100.04 | $100.04 |
| Execution Price | $100.035 (0.5 cents price improvement) | $100.02 (2 cents price improvement) |
| Wholesaler Spread Capture | $0.005 per share | $0.02 per share |
| Total Cost for 200 Shares | $20,007.00 | $20,004.00 |
| Savings vs. NBO | $1.00 | $4.00 |
| Broker PFOF Payment | $0.001 per share ($0.20 total) | $0.00 |
| Net Economic Value to Wholesaler | $0.80 (Spread Capture – PFOF) | N/A (Winning bidder captures spread) |

In the PFOF scenario, the wholesaler provides a modest price improvement, sharing a fraction of the bid-ask spread with the investor while paying the broker for the order flow. The majority of the economic value is retained by the intermediary. In the auction scenario, competition drives the price down closer to the bid, resulting in significantly greater price improvement for the investor. The winning market maker still profits from the remaining spread, but the competitive pressure redistributes a larger portion of the economic value from the intermediary to the end investor.

![Precision metallic component, possibly a lens, integral to an institutional grade Prime RFQ. Its layered structure signifies market microstructure and order book dynamics](https://options.greeks.live/wp-content/uploads/2025/08/high-fidelity-institutional-digital-asset-rfq-execution-engine.jpg)

## Implementation Challenges and Systemic Risks

While theoretically superior in addressing PFOF conflicts, the execution of an auction-based system is not without challenges.

- **Increased Latency** ▴ Introducing an auction step, however brief, adds time to the execution process compared to the instantaneous routing in the PFOF model. For most retail investors, a delay of a few hundred milliseconds is inconsequential, but it is a fundamental change to the trade lifecycle.

- **Information Leakage** ▴ The public dissemination of order information, even for a short period, creates risk. Sophisticated participants could potentially analyze the aggregate auction data to detect retail sentiment or build predictive models, creating new forms of informational advantage that could be used to the detriment of retail investors.

- **Complexity and Fragmentation** ▴ A poorly designed system could lead to market fragmentation, with multiple auction venues competing for order flow. This could add complexity for brokers and potentially dilute the liquidity available in any single auction, undermining the goal of concentrating competition.

- **Potential for Collusion** ▴ In any auction system, there is a theoretical risk of collusion among bidders. Regulators would need to implement robust surveillance and anti-manipulation tools to ensure the integrity of the auctions and prevent dominant players from coordinating their bidding strategies to suppress price improvement.

![A spherical system, partially revealing intricate concentric layers, depicts the market microstructure of an institutional-grade platform. A translucent sphere, symbolizing an incoming RFQ or block trade, floats near the exposed execution engine, visualizing price discovery within a dark pool for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-digital-asset-derivatives-rfq-engine-microstructure.jpg)

## References

- Bishop, Allison. “The SEC Isn’t Mad at PFOF. They’re Just Disappointed.” Medium, 6 Jan. 2023.

- “PFOF – BETTER FINANCE.” BETTER FINANCE, 2021.

- U.S. Congress. Congressional Research Service. “Payment for Order Flow (PFOF) and Broker-Dealer Regulation.” CRS In Focus, IF11920, by Eva Su, 20 Feb. 2024.

- “Does PFOF Contravene MiFID II Best Execution Principles?” TRAction Fintech, 2023.

- “Retail investors ▴ Payment of Order Flow ▴ How it Affects Your Investments.” FasterCapital, 4 Apr. 2025.

- Angel, James J. and Douglas M. McCabe. “Ethical Issues in Payment for Order Flow.” Financial Analysts Journal, vol. 77, no. 1, 2021, pp. 1-15.

- Battalio, Robert H. Shane A. Corwin, and Robert Jennings. “Can Brokers Have it All? On the Relation between Make-Take Fees, Rebates, and Best Execution.” The Journal of Finance, vol. 71, no. 4, 2016, pp. 1847-1886.

- U.S. Securities and Exchange Commission. “Proposed Rule ▴ Order Competition Rule.” Release No. 34-96495; File No. S7-29-22, 14 Dec. 2022.

![A central Principal OS hub with four radiating pathways illustrates high-fidelity execution across diverse institutional digital asset derivatives liquidity pools. Glowing lines signify low latency RFQ protocol routing for optimal price discovery, navigating market microstructure for multi-leg spread strategies](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-intelligence.jpg)

## Reflection

![A cutaway view reveals the intricate core of an institutional-grade digital asset derivatives execution engine. The central price discovery aperture, flanked by pre-trade analytics layers, represents high-fidelity execution capabilities for multi-leg spread and private quotation via RFQ protocols for Bitcoin options](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-prime-os-rfq-protocol-engine-for-high-fidelity-execution-and-price-discovery-on-volatility-surface.jpg)

## Beyond a Simple Mechanism Change

Adopting an auction model represents a philosophical shift in market structure. It moves from a system where retail order flow is a privately traded commodity to one where it is a publicly contested opportunity. The core question this transition poses is not merely technical but strategic ▴ what is the optimal architecture for ensuring that the benefits of competition accrue to the investor? The answer requires a careful calibration of transparency, speed, and access.

An improperly designed auction could introduce new inefficiencies or avenues for exploitation. Therefore, the ultimate success of such a system rests on a deep understanding of the incentives it creates and the behaviors it promotes. It compels market participants to re-evaluate their operational frameworks, moving beyond the simple fulfillment of transactions to the sophisticated pursuit of verifiable execution quality within a more complex, competitive ecosystem.

![A precise metallic instrument, resembling an algorithmic trading probe or a multi-leg spread representation, passes through a transparent RFQ protocol gateway. This illustrates high-fidelity execution within market microstructure, facilitating price discovery for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-orchestration-of-institutional-digital-asset-rfq-execution.jpg)

## Glossary

<a href="https://prime.greeks.live/area/payment-for-order-flow/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![An abstract composition featuring two intersecting, elongated objects, beige and teal, against a dark backdrop with a subtle grey circular element. This visualizes RFQ Price Discovery and High-Fidelity Execution for Multi-Leg Spread Block Trades within a Prime Brokerage Crypto Derivatives OS for Institutional Digital Asset Derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-options-rfq-for-multi-leg-spreads-price-discovery.jpg)

## Payment for Order Flow

Meaning ▴ Payment for Order Flow (PFOF) designates the financial compensation received by a broker-dealer from a market maker or wholesale liquidity provider in exchange for directing client order flow to them for execution. </a><a href="https://prime.greeks.live/area/pfof/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A central teal sphere, representing the Principal's Prime RFQ, anchors radiating grey and teal blades, signifying diverse liquidity pools and high-fidelity execution paths for digital asset derivatives. Transparent overlays suggest pre-trade analytics and volatility surface dynamics](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-and-market-microstructure.jpg)

## Pfof

Meaning ▴ Payment for Order Flow, or PFOF, defines a compensation model where market makers provide financial remuneration to retail brokerage firms for the privilege of executing their clients' order flow. </a><a href="https://prime.greeks.live/area/price-improvement/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![An abstract metallic circular interface with intricate patterns visualizes an institutional grade RFQ protocol for block trade execution. A central pivot holds a golden pointer with a transparent liquidity pool sphere and a blue pointer, depicting market microstructure optimization and high-fidelity execution for multi-leg spread price discovery](https://options.greeks.live/wp-content/uploads/2025/07/digital-asset-derivatives-rfq-market-microstructure-optimization.jpg)

## Price Improvement

Meaning ▴ Price improvement denotes the execution of a trade at a more advantageous price than the prevailing National Best Bid and Offer (NBBO) at the moment of order submission. </a><a href="https://prime.greeks.live/question/how-do-courts-evaluate-the-economic-impact-of-a-regulation-on-property-value/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Angularly connected segments portray distinct liquidity pools and RFQ protocols. A speckled grey section highlights granular market microstructure and aggregated inquiry complexities for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-efficiency.jpg)

## Economic Value

Courts evaluate a regulation's economic impact on property value by applying structured legal tests to quantitative evidence of financial loss. </a><a href="https://prime.greeks.live/question/how-does-market-fragmentation-affect-adverse-selection-for-market-makers/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision sphere, an Execution Management System EMS, probes a Digital Asset Liquidity Pool. This signifies High-Fidelity Execution via Smart Order Routing for institutional-grade digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/principal-rfq-engine-orchestrating-global-digital-asset-derivatives-liquidity-pool-price-discovery-and-high-fidelity-execution.jpg)

## Market Makers

Market fragmentation amplifies adverse selection by splintering information, forcing a technological arms race for market makers to survive. </a><a href="https://prime.greeks.live/area/best-execution/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision optical system with a reflective lens embodies the Prime RFQ intelligence layer. Gray and green planes represent divergent RFQ protocols or multi-leg spread strategies for institutional digital asset derivatives, enabling high-fidelity execution and optimal price discovery within complex market microstructure](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-intelligent-core-driving-digital-asset-derivatives-rfq-protocols-high-fidelity-execution-across-diverse-liquidity-pools-for-optimal-price-discovery.jpg)

## Best Execution

Meaning ▴ Best Execution is the obligation to obtain the most favorable terms reasonably available for a client's order. </a><a href="https://prime.greeks.live/area/order-competition-rule/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A sleek, layered structure with a metallic rod and reflective sphere symbolizes institutional digital asset derivatives RFQ protocols. It represents high-fidelity execution, price discovery, and atomic settlement within a Prime RFQ framework, ensuring capital efficiency and minimizing slippage](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-high-fidelity-execution-via-prime-os.jpg)

## Order Competition Rule

Meaning ▴ The Order Competition Rule defines a foundational market microstructure principle ensuring that incoming orders are exposed to existing liquidity in a manner that fosters price discovery and best execution. </a><a href="https://prime.greeks.live/area/conflict-of-interest/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision-engineered metallic institutional trading platform, bisected by an execution pathway, features a central blue RFQ protocol engine. This Crypto Derivatives OS core facilitates high-fidelity execution, optimal price discovery, and multi-leg spread trading, reflecting advanced market microstructure](https://options.greeks.live/wp-content/uploads/2025/08/precision-engineered-institutional-digital-asset-derivatives-execution-core-facilitating-rfq-protocol-driven-optimal-price-discovery-and-multi-leg-spread-trading-for-capital-efficiency.jpg)

## Conflict of Interest

Meaning ▴ A conflict of interest arises when an individual or entity holds two or more interests, one of which could potentially corrupt the motivation for an act in the other, particularly concerning professional duties or fiduciary responsibilities within financial markets. </a><a href="https://prime.greeks.live/area/order-flow/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A metallic circular interface, segmented by a prominent 'X' with a luminous central core, visually represents an institutional RFQ protocol. This depicts precise market microstructure, enabling high-fidelity execution for multi-leg spread digital asset derivatives, optimizing capital efficiency across diverse liquidity pools](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-digital-asset-derivatives-rfq-execution-microstructure.jpg)

## Order Flow

Meaning ▴ Order Flow represents the real-time sequence of executable buy and sell instructions transmitted to a trading venue, encapsulating the continuous interaction of market participants' supply and demand. </a><a href="https://prime.greeks.live/question/how-does-ai-change-the-nature-of-competition-among-dealers-in-rfq-markets/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Geometric forms with circuit patterns and water droplets symbolize a Principal's Prime RFQ. This visualizes institutional-grade algorithmic trading infrastructure, depicting electronic market microstructure, high-fidelity execution, and real-time price discovery](https://options.greeks.live/wp-content/uploads/2025/07/digital-asset-derivatives-rfq-engine-prime-os-microstructure-analytics.jpg)

## Competition among Multiple Market Makers

AI transforms RFQ dealer competition into an algorithmic contest of predictive pricing, dynamic risk management, and data-driven precision. </a><a href="https://prime.greeks.live/area/order-by-order-auction/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Intersecting translucent aqua blades, etched with algorithmic logic, symbolize multi-leg spread strategies and high-fidelity execution. Positioned over a reflective disk representing a deep liquidity pool, this illustrates advanced RFQ protocols driving precise price discovery within institutional digital asset derivatives market microstructure](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-optimized-algorithmic-execution-microstructure-for-price-discovery.jpg)

## Order-By-Order Auction

Meaning ▴ An Order-by-Order Auction defines a specific market mechanism where individual orders, whether bids or offers, are processed sequentially against the existing order book or against each other upon arrival. </a><a href="https://prime.greeks.live/question/how-can-pre-trade-analytics-differentiate-between-high-quality-and-low-quality-quotes-in-an-rfq-auction/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![An intricate system visualizes an institutional-grade Crypto Derivatives OS. Its central high-fidelity execution engine, with visible market microstructure and FIX protocol wiring, enables robust RFQ protocols for digital asset derivatives, optimizing capital efficiency via liquidity aggregation](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-engine-price-discovery.jpg)

## Execution Quality

Pre-trade analytics differentiate quotes by systematically scoring counterparty reliability and predicting execution quality beyond price. </a><a href="https://prime.greeks.live/area/liquidity/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Abstract architectural representation of a Prime RFQ for institutional digital asset derivatives, illustrating RFQ aggregation and high-fidelity execution. Intersecting beams signify multi-leg spread pathways and liquidity pools, while spheres represent atomic settlement points and implied volatility](https://options.greeks.live/wp-content/uploads/2025/07/architecting-institutional-digital-asset-derivatives-trading-systems-for-optimized-rfq-execution-and-advanced-price-discovery.jpg)

## Liquidity

Meaning ▴ Liquidity refers to the degree to which an asset or security can be converted into cash without significantly affecting its market price. </a><a href="https://prime.greeks.live/area/high-frequency-trading/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Symmetrical beige and translucent teal electronic components, resembling data units, converge centrally. This Institutional Grade RFQ execution engine enables Price Discovery and High-Fidelity Execution for Digital Asset Derivatives, optimizing Market Microstructure and Latency via Prime RFQ for Block Trades](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-microstructure-engine.jpg)

## High-Frequency Trading

Meaning ▴ High-Frequency Trading (HFT) refers to a class of algorithmic trading strategies characterized by extremely rapid execution of orders, typically within milliseconds or microseconds, leveraging sophisticated computational systems and low-latency connectivity to financial markets. </a>

**Tags:** [Retail Trading](https://options.greeks.live/area/retail-trading/), [SEC Order Competition Rule](https://options.greeks.live/area/sec-order-competition-rule/), [Conflict of Interest](https://options.greeks.live/area/conflict-of-interest/), [Price Improvement](https://options.greeks.live/area/price-improvement/), [Market Transparency](https://options.greeks.live/area/market-transparency/), [PFOF](https://options.greeks.live/area/pfof/)	

## Discover More

- 
### [How Does Payment for Order Flow Impact a Firm’s Best Execution Documentation?](https://options.greeks.live/question/how-does-payment-for-order-flow-impact-a-firms-best-execution-documentation/)
![A sleek, futuristic object with a glowing line and intricate metallic core, symbolizing a Prime RFQ for institutional digital asset derivatives. It represents a sophisticated RFQ protocol engine enabling high-fidelity execution, liquidity aggregation, atomic settlement, and capital efficiency for multi-leg spreads.](https://options.greeks.live/wp-content/uploads/2025/07/advanced-institutional-digital-asset-derivatives-rfq-protocol-execution-engine-for-optimal-liquidity-aggregation-and-atomic-settlement.jpg)

Payment for order flow requires firms to architect and document a system of verifiable proof that client execution quality dictates order routing, not revenue.

- 
### [How Does the Fragmentation of Liquidity across MTFs, OTFs, and SIs Impact Algorithmic Trading Strategies?](https://options.greeks.live/question/how-does-the-fragmentation-of-liquidity-across-mtfs-otfs-and-sis-impact-algorithmic-trading-strategies/)
![Two sharp, teal, blade-like forms crossed, featuring circular inserts, resting on stacked, darker, elongated elements. This represents intersecting RFQ protocols for institutional digital asset derivatives, illustrating multi-leg spread construction and high-fidelity execution. The underlying layers signify aggregated liquidity pools and market microstructure dynamics, enabling price discovery and capital efficiency within a Prime RFQ framework.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-best-execution.jpg)

Fragmentation compels algorithmic strategies to evolve into sophisticated liquidity-sourcing systems to achieve best execution.

- 
### [How Do Regulators Measure Compliance with Best Execution in PFOF Arrangements?](https://options.greeks.live/question/how-do-regulators-measure-compliance-with-best-execution-in-pfof-arrangements/)
![Two smooth, teal spheres, representing institutional liquidity pools, precisely balance a metallic object, symbolizing a block trade executed via RFQ protocol. This depicts high-fidelity execution, optimizing price discovery and capital efficiency within a Principal's operational framework for digital asset derivatives.](https://options.greeks.live/wp-content/uploads/2025/07/precision-execution-bridging-institutional-liquidity-pools-via-rfq-protocol-for-optimized-digital-asset-derivatives-price-discovery.jpg)

Regulators measure PFOF compliance via data-driven audits of execution quality, comparing broker outcomes against market benchmarks.

- 
### [What Are the Differences in Risk between a Broker-Owned and an Exchange-Owned Dark Pool?](https://options.greeks.live/question/what-are-the-differences-in-risk-between-a-broker-owned-and-an-exchange-owned-dark-pool/)
![A spherical system, partially revealing intricate concentric layers, depicts the market microstructure of an institutional-grade platform. A translucent sphere, symbolizing an incoming RFQ or block trade, floats near the exposed execution engine, visualizing price discovery within a dark pool for digital asset derivatives.](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-digital-asset-derivatives-rfq-engine-microstructure.jpg)

The primary risk in a broker-owned dark pool is conflict of interest; in an exchange-owned pool, it is market impact.

- 
### [What Are the Primary Conflicts of Interest in Broker-Dealer Owned Dark Pools?](https://options.greeks.live/question/what-are-the-primary-conflicts-of-interest-in-broker-dealer-owned-dark-pools/)
![A macro view of a precision-engineered metallic component, representing the robust core of an Institutional Grade Prime RFQ. Its intricate Market Microstructure design facilitates Digital Asset Derivatives RFQ Protocols, enabling High-Fidelity Execution and Algorithmic Trading for Block Trades, ensuring Capital Efficiency and Best Execution.](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-core-system-for-institutional-digital-asset-derivatives-rfq-protocol-execution-and-advanced-market-microstructure-optimization.jpg)

Broker-dealer dark pools present a core conflict between the duty of best execution and the profit motive of the venue operator.

- 
### [What Are the Primary Arguments for and against a Complete Ban on Payment for Order Flow?](https://options.greeks.live/question/what-are-the-primary-arguments-for-and-against-a-complete-ban-on-payment-for-order-flow/)
![Two precision-engineered nodes, possibly representing a Private Quotation or RFQ mechanism, connect via a transparent conduit against a striped Market Microstructure backdrop. This visualizes High-Fidelity Execution pathways for Institutional Grade Digital Asset Derivatives, enabling Atomic Settlement and Capital Efficiency within a Dark Pool environment, optimizing Price Discovery.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-system-nodes.jpg)

A ban on PFOF pits the ideal of frictionless market access against the imperative for transparent, conflict-free trade execution.

- 
### [How Do Regulators Measure Compliance with Best Execution in the Presence of PFOF?](https://options.greeks.live/question/how-do-regulators-measure-compliance-with-best-execution-in-the-presence-of-pfof/)
![A symmetrical, reflective apparatus with a glowing Intelligence Layer core, embodying a Principal's Core Trading Engine for Digital Asset Derivatives. Four sleek blades represent multi-leg spread execution, dark liquidity aggregation, and high-fidelity execution via RFQ protocols, enabling atomic settlement.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-optimized-execution.jpg)

Regulators measure best execution with PFOF by using vast datasets to compare achieved execution quality against all available market alternatives.

- 
### [Why Your Broker’s Execution Quality Is Costing You Money](https://options.greeks.live/guide/why-your-brokers-execution-quality-is-costing-you-money/)
![Visualizes the core mechanism of an institutional-grade RFQ protocol engine, highlighting its market microstructure precision. Metallic components suggest high-fidelity execution for digital asset derivatives, enabling private quotation and block trade processing. This system minimizes slippage and optimizes price discovery for Bitcoin options.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-engine-core-1.jpg)

Stop subsidizing your broker's business model and start engineering your P&L with institutional-grade execution.

- 
### [How Should a Best Execution Committee Document Its Review of Rule 606 Data for Regulators?](https://options.greeks.live/question/how-should-a-best-execution-committee-document-its-review-of-rule-606-data-for-regulators/)
![A sophisticated, modular mechanical assembly illustrates an RFQ protocol for institutional digital asset derivatives. Reflective elements and distinct quadrants symbolize dynamic liquidity aggregation and high-fidelity execution for Bitcoin options. This represents a Principal's operational framework ensuring best execution in market microstructure.](https://options.greeks.live/wp-content/uploads/2025/08/institutional-digital-asset-derivatives-rfq-protocol-architecture.jpg)

A Best Execution Committee's documentation must be an auditable, data-driven record proving rigorous analysis of routing decisions.

---

## Raw Schema Data

```json
{
    "@context": "https://schema.org",
    "@type": "BreadcrumbList",
    "itemListElement": [
        {
            "@type": "ListItem",
            "position": 1,
            "name": "Home",
            "item": "https://options.greeks.live"
        },
        {
            "@type": "ListItem",
            "position": 2,
            "name": "Question",
            "item": "https://options.greeks.live/question/"
        },
        {
            "@type": "ListItem",
            "position": 3,
            "name": "Could Order by Order Auctions Realistically Eliminate the Conflicts of Interest Inherent in PFOF?",
            "item": "https://options.greeks.live/question/could-order-by-order-auctions-realistically-eliminate-the-conflicts-of-interest-inherent-in-pfof/"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Organization",
    "@id": "https://greeks.live/#organization",
    "name": "Greeks.Live",
    "url": "https://greeks.live/",
    "description": "Greeks.live is the definitive toolkit for the professional options trader, dedicated to empowering our users with institutional-grade data, advanced analytics, and a comprehensive suite of trading tools designed to provide a decisive edge in the market. Every article and guide published under the Greeks.live name is a product of our deep commitment to data-driven analysis and our mission to support the global trading community.",
    "email": "support@greeks.live",
    "logo": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/Greeks.Live-Logo-Icon.svg"
    },
    "hasPart": [
        {
            "@type": "WebSite",
            "name": "About Us",
            "url": "https://about.greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "App Download Page",
            "url": "https://about.greeks.live/#/download/basic_trade"
        },
        {
            "@type": "WebSite",
            "name": "Newcomers' Guide",
            "url": "https://twisty-sign-c8b.notion.site/Guide-for-Greeks-live-X-Deribit-Newbies-5a08a3052822427d800af6eaf3704c8d"
        },
        {
            "@type": "WebSite",
            "name": "Knowledge Base",
            "url": "https://linktr.ee/greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "Option Terminology",
            "url": "https://greekslive.notion.site/88dfc00e7c584d4d8969b6302a79a12f?pvs=4"
        },
        {
            "@type": "WebSite",
            "name": "Terms of Service",
            "url": "https://greeks.live/#/tos"
        },
        {
            "@type": "WebSite",
            "name": "Disclaimer",
            "url": "https://greeks.live/#/disclaimer"
        }
    ],
    "sameAs": [
        "https://x.com/greekslive",
        "https://youtube.com/@greeks_live?si=-KjT0Lkw4WUCI0tD",
        "https://t.me/greekslive_notifications",
        "https://t.me/greekslive",
        "https://pinterest.com/greekslive/"
    ],
    "makesOffer": [
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "RFQ Platform",
                "url": "https://rfq.greeks.live",
                "description": "Execute institutional-grade block trades for crypto options and futures. This platform provides deep, over-the-counter (OTC) liquidity via a professional Request for Quote system.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Lending Tools",
                "url": "https://lend.greeks.live",
                "description": "Manage crypto lending and borrowing activities to earn yield or secure loans. This suite of tools helps users analyze interest rates and manage collateralized debt positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Data Lab",
                "url": "https://greeks.live/#/deribit/tools/datalab/BTC",
                "description": "Analyze historical and real-time options data with advanced metrics. This tool is designed for backtesting strategies and identifying market trends through comprehensive data visualization.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Profit & Loss Analysis (PnL)",
                "url": "https://greeks.live/#/deribit/tools/pnl_analysis",
                "description": "Track and analyze the Profit and Loss (PnL) of your options portfolio. This tool provides detailed performance metrics to help traders evaluate and refine their strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Position Visualization",
                "url": "https://greeks.live/#/deribit/tools/pv/BTC",
                "description": "Visualize complex options positions and their corresponding risk profiles. This tool generates payoff diagrams to help traders intuitively understand potential profit, loss, and exposure.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Options Calculator",
                "url": "https://greeks.live/#/deribit/tools/calculator",
                "description": "Calculate the theoretical price and risk parameters ('the Greeks') of crypto options. An essential tool for pricing new trades and analyzing the sensitivity of existing positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live Main Platform",
                "url": "https://greeks.live/",
                "description": "The central hub for the Greeks.live suite of professional cryptocurrency options and derivatives trading tools. Access analytics, manage positions, and explore the ecosystem.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Community Forum",
                "url": "https://t.greeks.live",
                "description": "Join the official Greeks.live community. Connect with other traders, share insights, and receive the latest updates directly from the team.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for Deribit",
                "url": "http://deribit.greeks.live",
                "description": "A dedicated interface for trading on the Deribit exchange. This platform leverages Greeks.live's advanced analytics and tools specifically for users of Deribit's options and futures markets.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for OKX",
                "url": "http://okx.greeks.live",
                "description": "A dedicated interface for trading on the OKX exchange. This platform integrates Greeks.live's powerful analytics with the OKX marketplace, focusing on its options and derivatives products.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "GLVS.AI Trading Platform",
                "url": "https://www.glvs.ai/",
                "description": "An AI-powered platform for automated crypto options trading. Leverage advanced algorithms and data-driven signals to develop and deploy sophisticated, hands-free trading strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "API Testnet & Sandbox",
                "url": "https://test.greeks.live",
                "description": "A dedicated testnet environment for developers to test their API integrations and automated trading strategies. This sandbox allows for full functionality testing without risking real funds.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        }
    ],
    "subOrganization": [
        {
            "@type": "Organization",
            "name": "GreeksLive HK Co., Limited",
            "email": "support@greeks.live",
            "telephone": "+852-56418949",
            "address": {
                "@type": "PostalAddress",
                "streetAddress": "Unit 11, 27/F, K. Wah Centre, 191 Java Road",
                "addressLocality": "Hong Kong",
                "addressRegion": "North Point",
                "addressCountry": "CN",
                "postalCode": "0000"
            },
            "geo": {
                "@type": "GeoCoordinates",
                "latitude": "22.2932357",
                "longitude": "114.2022026"
            },
            "image": "https://options.greeks.live/wp-content/uploads/2025/08/Wah-Centre-Hong-Kong.jpg"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Article",
    "mainEntityOfPage": {
        "@type": "WebPage",
        "@id": "https://options.greeks.live/question/could-order-by-order-auctions-realistically-eliminate-the-conflicts-of-interest-inherent-in-pfof/"
    },
    "headline": "Could Order by Order Auctions Realistically Eliminate the Conflicts of Interest Inherent in PFOF? \u25b4 Question",
    "description": "Order-by-order auctions subordinate PFOF to a competitive process, structurally mitigating conflicts by prioritizing price improvement. \u25b4 Question",
    "url": "https://options.greeks.live/question/could-order-by-order-auctions-realistically-eliminate-the-conflicts-of-interest-inherent-in-pfof/",
    "datePublished": "2025-08-14T22:35:51+00:00",
    "dateModified": "2025-08-14T22:35:53+00:00",
    "articleSection": [
        "Question"
    ],
    "author": {
        "@id": "https://greeks.live/#organization"
    },
    "publisher": {
        "@id": "https://greeks.live/#organization"
    },
    "image": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-prime-os-execution-architecture.jpg",
        "caption": "The crystalline structure on a reflective base against a dark void symbolizes the precision and complexity inherent in institutional digital asset derivatives trading. This visual metaphor highlights the intricate market microstructure underpinning RFQ protocols for block trade execution, emphasizing best execution through smart order routing and dark pool aggregation. It signifies the Principal's operational framework for managing counterparty risk and optimizing capital efficiency via portfolio margin and quantitative analysis, ensuring alpha generation within a Prime RFQ."
    },
    "keywords": [
        "Algorithmic Trading",
        "Best Execution",
        "Conflict of Interest",
        "High-Frequency Trading",
        "Liquidity",
        "Market Microstructure",
        "Market Transparency",
        "Order Competition Rule",
        "Order Flow",
        "Order-by-Order Auction",
        "Payment for Order Flow",
        "PFOF",
        "Price Improvement",
        "Retail Trading",
        "SEC Order Competition Rule"
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "WebSite",
    "url": "https://options.greeks.live/",
    "potentialAction": {
        "@type": "SearchAction",
        "target": "https://options.greeks.live/?s=search_term_string",
        "query-input": "required name=search_term_string"
    }
}
```


---

**Original URL:** https://options.greeks.live/question/could-order-by-order-auctions-realistically-eliminate-the-conflicts-of-interest-inherent-in-pfof/
