In November, a record 35.5% of BNB Chain’s blocks were affected by Sandwich attacks, with 645 Sandwich Bots found to be active on the chain during the week. Approximately 43,400 DEX traders were impacted by these attacks. These sandwich attacks, also known as front-running, involve strategically placing orders before and after a pending transaction to manipulate the target transaction. While front-running is a common MEV technique, other strategies like back-running and transaction ordering manipulation also occur. These attacks are particularly prevalent on decentralized finance platforms and decentralized exchanges, where transactions are exposed before confirmation.
Ethereum has seen a decrease in Sandwich attacks since July, with the percentage dropping from 62.9% to 40.2% over the past five months. However, over 12,000 DEX users on the network have still fallen victim to these attacks in the past month. Solana has also experienced a rise in sandwich attacks this year, prompting the Solana Foundation to take action against validators involved in such attacks. In June 2024, the foundation removed a group of validator operators from its delegation program and stated that any validators engaged in such behavior would be permanently excluded and have their stake removed.
Tim Garcia, Solana Validator Relations Lead, has reassured that the foundation will continue to enforce measures against operators participating in malicious activities such as sandwich attacks. Mert Mumtaz, co-founder of Solana RPC provider Helius, noted that while Solana’s design helps prevent these attacks, some actors have modified their validators to enable them. Mumtaz also suggested that other stake pools might implement similar policies in the future to combat sandwich attacks in the Solana network.
Overall, the prevalence of Sandwich attacks on BNB Chain, Ethereum, and Solana highlights the challenges faced by decentralized platforms in combating malicious activities in the crypto space. As the popularity of decentralized finance and decentralized exchanges continues to grow, it is crucial for platforms to implement robust security measures to protect users from such attacks. Increased awareness, enforcement of regulations, and collaboration among industry stakeholders are key in mitigating the impact of sandwich attacks and ensuring the long-term viability of decentralized systems. By staying vigilant and proactive, the crypto community can work together to create a safer and more secure environment for traders and investors in the evolving digital landscape.
