Do "speed bumps" prevent accidents in financial markets?

We examine how the implementation of a new dark order type - Midpoint Extended Life Order (M-ELO) on NASDAQ - impacts financial markets stability in terms of occurrences of mini-flash crashes in individual securities. We use high-frequency order book data around the implementation date and apply panel regression analysis to estimate the effect of the dark order trading activity on market stability and liquidity provision. We find that the introduction of the M-ELO increases market stability by reducing the average weekly number of mini-flash crashes and improves the liquidity provision in terms of spreads, and available depth