Congestion Control

Congestion control involves mechanisms used to prevent or manage network traffic bottlenecks that could degrade performance. In a trading context, this includes protocols that throttle incoming orders if the matching engine is nearing its capacity limit.

Without effective congestion control, a sudden surge in market activity could lead to dropped orders or system-wide latency, creating unfair advantages for those who can get their orders through. Effective systems use load balancing and sophisticated flow control to maintain stability under extreme pressure, ensuring the market remains accessible and functional.