System Design
Design a Pre-Trade Risk Checking System
Asked by:Chicago Trading
concurrencyconsistencyreal_timestreamingtransactions
Problem Overview & Requirements
Design a low-latency risk gate that prevents electronic orders from reaching an exchange when they would breach configured limits.
Key Pillars: High Availability, Low Latency, Scalability, Fault Tolerance.
Topics & Components: concurrency, consistency, real_time, streaming, transactions.
System Design Breakdown
1. Requirements & Scope
Functional & non-functional requirements, DAU/MAU estimates, read/write throughput.
2. High Level Architecture
API Gateway, Load Balancers, Application Microservices, Caching Layer & Message Queue.
3. Data Model & Storage
SQL vs NoSQL selection, schema design, sharding keys, indexing, and replication strategy.
4. Bottlenecks & Trade-offs
CAP theorem trade-offs, consistency models, rate limiting, and cache invalidation strategies.