Multicast vs. Unicast Market Data - Quant Trader Interview Question
Difficulty: Medium
Category: Networking & Systems
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Topics: networking, multicast, unicast, market-data, systems
Problem Description
A major exchange is disseminating real-time market data (order book updates, trade executions, etc.) to 500 subscribers. These subscribers are high-frequency trading firms located in a data center collocated with the exchange. The exchange is deciding between using a unicast or multicast protocol for distributing this data.
Why is multicast generally considered more network-efficient than unicast in this scenario?
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