System Design Interview: Financial Exchange and Matching Engine
Exchange Architecture Overview A financial exchange matches buy and sell orders — a buyer willing to pay $100 for AAPL […]
Learn to design scalable, reliable systems that handle millions of users. System design interviews test your ability to architect real-world applications, considering tradeoffs, scalability, and best practices.
Core Topics:
Scalability: Load balancing, horizontal vs vertical scaling
Storage: Databases (SQL vs NoSQL), caching (Redis, Memcached)
Reliability: Replication, failover, disaster recovery
Performance: CDNs, caching strategies, database indexing
Common Design Questions:
Design URL shortener (bit.ly)
Design rate limiter
Design Twitter/Instagram feed
Design messaging system (WhatsApp)
Design file storage (Dropbox)
Interview Level: Senior engineers (L5+) at FAANG companies. Requires 3-5+ years experience to tackle effectively.
Preparation: Study system design patterns, understand distributed systems fundamentals, and practice mock interviews.
Exchange Architecture Overview A financial exchange matches buy and sell orders — a buyer willing to pay $100 for AAPL […]
Social Graph Requirements A social graph stores relationships between users (friendships, follows, connections) and enables graph queries: friends of friends,
Why Task Queues? Task queues decouple work production from work execution. Instead of processing a long-running task synchronously (blocking the
Notification System Requirements A notification system routes messages from producers (application events) to consumers (users) via multiple channels: push notifications
Why Indexing Matters Without an index, a SELECT with a WHERE clause requires a sequential scan — reading every row
The Collaboration Problem Real-time collaborative editing lets multiple users edit the same document simultaneously with all changes visible to all
Why Rate Limiting? Rate limiting protects services from overload, abuse, and cost explosions. Without it: a single misbehaving client can
Why Secret Management Matters Secrets (database passwords, API keys, TLS certificates, SSH keys) are the crown jewels of any system.
Why Log Aggregation? With hundreds of microservices each running multiple replicas, logs are scattered across thousands of containers. Without centralized
Why Multi-Region Active-Active? A single-region active-passive setup (one primary region serves traffic, one standby region for failover) has two problems:
Beyond Basic CDN: Edge Computing A CDN (Content Delivery Network) has historically served static assets — images, CSS, JS —
Why Autoscaling? Manual capacity planning is expensive and error-prone. Too much capacity wastes money; too little causes outages under traffic
The Distributed Transaction Problem A transaction that spans multiple databases or services must either fully commit on all participants or
What Is a Data Warehouse? A data warehouse (DW) is an analytical database optimized for reading large volumes of historical
What Is a Service Mesh? A service mesh is a dedicated infrastructure layer for managing service-to-service communication in a microservices