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How do I protect myself from front running attacks when trading on the Verse DEX?
How do I protect myself from front running attacks when trading on the Verse DEX?

Learn about front running and how to protect yourself from it.

FM avatar
Written by FM
Updated over a year ago

Summary

Verse DEX has partnered with Blink to provide front running protection for Verse DEX users. To enable the protection, you’ll just need to set a custom RPC in your wallet. This article will guide you through the process.

Table of contents

What is front running on a DEX and how does it affect me?

Front running is a form of attack that bots can perform on traders. It is considered a form of MEV (Maximal Extractable Value), a term which refers to the maximum value that can be extracted from block production in excess of the standard block reward and gas fees by including, excluding, and changing the order of transactions in a block.

Here's how a front running attack works:

  1. A user submits a transaction to purchase X amount of token A.

  2. The bot sees the pending transaction in the mempool and immediately buys a large sum of token A from the liquidity pool. This pushes up the price of token A.

  3. The user's transaction gets confirmed at a worse rate than expected.

  4. The bot then sells token A to profit from the attack.

How do I protect myself from front running attacks when trading on the Verse DEX?

For MetaMask users:

  1. Click on “Connect”.

  2. Select “Metamask”.

  3. Follow the on-screen instructions, which will add the RPC details to your MetaMask wallet automatically.

For other wallet users:

  1. Check that your wallet supports the adding of custom RPC networks.

  2. If so, add the following RPC details in your wallet:

Network Name: VERSE private RPC

Chain ID: 1

Currency Symbol (optional): ETH

Block Explorer URL (optional): https://etherscan.io/

Are there any other implications of configuring my wallet with this private RPC?

In addition to providing protection from front running, the private RPC also has the following benefits:

  1. No failed transactions: Transactions will only be included if they do not revert. This means users won't pay for failed transactions.

  2. Extended protection when trading on other DEXs: The protection from our private RPC is also enabled when you trade on other DEXs besides Verse DEX.

Feel free to reach out to us at [email protected] if you have any questions or feedback.

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