Why do miners package transactions with extremely low gas fees on Uniswap?

Editor's Note: This article comes fromGolden Finance, reprinted by Odaily with authorization.

Editor's Note: This article comes from

Golden Finance

, reprinted by Odaily with authorization.EthereumWith the prevalence of DeFi, Ethereum is extremely congested, but what is interesting is that when the gas is extremely high, there will be a phenomenon on Uniswap that the swap can be successful with a very low gas payment.

This discovery stems from an interesting experiment by SKALE Labs, a well-known Ethereum scaling project.

In January 2021, when the official defi transactions increased wildly, the transaction volume of dex reached a historical transaction peak throughout January. Against this background, Konstantin Kladko, Chief Technology Officer of SKALE Labs,

Ethereum

A discussion was initiated in the Magician Forum, which is the title of today’s article, why miners package Uniswap transactions to pay extremely low gas fees?

In the experiment, SKALE Labs submitted Uniswap transactions with extremely low gas fees. But interestingly, transactions that would have taken hours or even days to accept were accepted within minutes.

The question is the answer, and such front-running behavior is precisely the reason for its appearance. This behavior means that miners buy and sell before a large number of transactions (uniswap is a market-making pool, and the price of a large number of purchases increases greatly), and then conduct a large number of transactions, so that the price of the transaction pair fluctuates, which can achieve arbitrage, or Encourage users to add gas fees for urgent transactions, and then find high-gas transactions.

This is what some developers have pointed out before: Ethereum’s dark forest, arbitrage opportunities and gas fees are like prey, predators will track profitable transactions (unpackaged transactions) throughout the Ethereum network, and use arbitrage Robotic way of arbitrage.

Arbitrage bots usually look for certain types of transactions (such as DEX transactions or oracle updates) in some trading pools, and try to make transactions in advance according to predetermined algorithms. In a broad sense, front-running operators can make money in any transaction with compound conditions found by copying the transaction and replacing the corresponding address with their own address. It is even possible to execute trades and then copy the profitable insider trades generated by their execution.

Later, there were experimenters who found these front-running operators through some bait transactions. They were all execution robots, and they operated and operated through some off-chain analysis tools.

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How the frontrunner bot works in a broad sense