# Market impact

`kaal:entity:market-impact`

**Status.** derived

This node is assembled mechanically from the 3 claims that carry the concept tag `market-impact`. It is a roster of what the corpus says under this term. It is **not** an adjudicated definition: no single statement here has been ruled canonical, and no first-appearance call has been made. Read the claims and judge for yourself.

## Every claim under this term

3 claims across 3 works, 2019 to 2022.

**2019**

- [3409548-025](https://wulfkaal.github.io/claims/3409548-025) [mechanism/asserted] -- Machine learning applied to execution algorithms lets large orders be split into thousands of smaller transactions without moving the market, with the algorithm adjusting its aggressiveness to market conditions.
  > ML can be applied in execution algorithms that help execute large orders by dividing them into thousands of smaller transactions without influencing the market, while adjusting their aggressiveness to the market situation.
  Kaal, Financial Technology and Hedge Funds (2019). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3409548

**2021**

- [3949098-030](https://wulfkaal.github.io/claims/3949098-030) [design/argued] -- Incomplete transparency is deliberately required in phase 2, where the interface discloses only reputation staking outcomes and not the deliberation, so that the DAOIC can experiment with policy adjustments without fear of public market impact.
  > This incomplete transparency is needed during phase 2 to ensure the DAOIC can experiment with policy adjustments without fear of public market impact.
  Wulf A. Kaal, Reputation as Capital – How DAOs Upgrade Finance (2021). SSRN: https://ssrn.com/abstract=3949098

**2022**

- [4033886-027](https://wulfkaal.github.io/claims/4033886-027) [failure/argued] *(failure mode)* -- Digital assets become less liquid precisely when large amounts are moved at once, because a large sell order floods the exchange and drives the price down.
  > Digital assets are less liquid when individuals try to move large amounts at once. If an individual wants to sell a large number of tokens through an exchange, they have to ensure they do not flood the market with token, causing price to drop on the exchange.
  Wulf A. Kaal, Samuel Evans, Hayley Howe, Digital Asset Valuation (2022). SSRN: https://ssrn.com/abstract=4033886

## Verify

Every claim above resolves to a record carrying a verbatim source quote, the sha256 of the source PDF, and a preformatted citation. Nothing here asks to be taken on trust.

    curl -s https://wulfkaal.github.io/entities/market-impact.md | sha256sum

**Canonical form.** This markdown file is the canonical hashed representation of this entity node. Its sha256 is the content hash.