Why are sandwich assaults so widespread in DeFi?
DeFi operates on distributed public ledgers, that means anybody can monitor pending transactions. This transparency, mixed with the mechanics of AMMs, creates excellent situations for malicious bots to detect weak trades and execute sandwich assaults.
Key elements that make customers prone:
Public transaction mempools: Pending transactions are seen to everybody, together with bots.AMM mechanics: Liquidity pooled between tokens on a bonding curve presents minimal management over commerce execution and exposes customers to slippage.Lack of know-how: Many customers chalk up losses to market volatility, unaware they’ve been exploited.
