Bancor (@Bancor): MEV sandwich attacks are among the most predatory and costly threats in DeFi.

MEV sandwich attacks are among the most predatory and costly threats in DeFi. A sandwich attack is a type of MEV (Maximal Extractable Value) exploit that manipulates transactions within a single block on a blockchain. Malicious bots exploit DeFi users by sandwiching their trades between front-running and back-running transactions, profiting at the user’s expense. AMMs inherently expose users to sandwich attacks due to their design: • Slippage: AMMs quote a price before a trade but adjust the price after the trade based on pool dynamics, leaving users vulnerable. • Price determination: The AMM dictates trade prices, not the user. • Liquidity depth: Shallow pools amplify price changes, increasing the risk of manipulation. 📝 More on this by Project Lead @MBRichardson87: The Optimum Sandwich: How to Exploit Blockchain Enthusiasts with Arbitrary Precision https://medium.com/carbondefi/the-optimum-sandwich-how-to-exploit-blockchain-enthusiasts-with-arbitrary-precision-e9131a2562b5 @CarbonDeFixyz's architecture removes the vulnerabilities enabling sandwich attacks. • No reliance on liquidity pools: Trades aren’t affected by pool rebalancing, slippage, or depth limitations. • Direct execution: Trades are executed at the exact price makers set, leaving no room for front-running or back-running. • Uses asymmetric liquidity: Each trade uses a single token bonding curve, rather than the multi-token bonding curves that AMMs use, sidestepping their inherent risks. • Encourages trading with maker-driven strategies: Users set their own prices, ensuring full control while eliminating the risk of MEV sandwich attacks when creating orders. They are then filled by “takers” including a built-in solver system that helps efficiently fill orders using liquidity from all major DEXs chainwide – at no additional cost to the user and with zero third party dependencies. 📝 More on how to gain immunity from MEV sandwich attacks using Carbon DeFi: https://medium.com/bancor/how-to-gain-immunity-from-mev-sandwich-attacks-21d5a572157b