[formvoltron]

What is interesting here is that if more & more volume goes to private exchange activity, then as the volume dries up on public exchanges, there will be more volatility.. and more reason to move to private exchanges.

There must be some point where this becomes self defeating though, no?

[blitzar]

Dark pools work in generally liquid and broadly balanced (between buy orders and sell orders). In times of volatility or when the order book(s) become heavily skewed to buy or sell orders - everyone will scramble to primary liquidity at the exchange.