Original author: @unexployed_
Translation: Huohuo/Baihua Blockchain
The cryptocurrency social platform Friend Tech has been quite hot recently, but @unexployed_ has discovered that snipers have used some strategies to control high-value accounts on the platform, resulting in drastic fluctuations in supply and price increases.
This story highlights some challenges in the cryptocurrency world, including supply manipulation, price manipulation, and how social platforms deal with these issues. The aim is to convey the backstory of these events and provide some thoughts and recommendations on how to address these problems. This situation is not just about technical transactions, but also involves the health of the platform's ecosystem and the interests of users.
Here is the body:
In Friend Tech's evolving MEV, this article tells the story of multiple snipers competing for and selling approximately 20 shares from each other. It's a real feast of MEV players against each other.
Let's see what is happening and how they might have done it, including how much profit this bot has made.
So, @0x GhostCasper and I have been trying to build a good bot for Friend Tech. One of our goals is to find high-value accounts. Recently, our script notified us of the registration status of @DappRadar, but what surprised us was that the share price started to be very high!
What's going on?
When viewing Friend Tech itself, you will immediately see a price of 0.26 ETH. But it's unclear who pushed the price up to this point. It is likely that the sniper address did not use a registered account but directly interacted with the smart contract.
To check the purchase status, we need to go to basescan (https://basescan.org/txsInternal?a=0x84652f7a1839d383eb029a1d37fcc98d0fdfa1d3&p= 2 ) and navigate to @DappRadar's FT address and internal transactions.
This will allow you to find the chronological order of buyers and sellers.
Block 3753864 (t): @DappRadar registered their account, 0x 081...951 , managed to purchase 22 shares.
Block 3753865 (t + 1): Two additional sniper addresses bought shares, with each address purchasing 20 shares.
Block 3753867 (t + 3): The fourth sniper bought 2 shares from an unverified contract.
In the first 4 blocks, there are already 65 shares on the market.
Furthermore, @dappradar is not alone, there are many other examples like @moonshilla and @rektdiomedes, where snipers gain immediate control over someone's FT supply.
Now, let's go back to our first sniper: 0x 081...951 .
Before emphasizing how much he actually earned, let's first consider how he acquired these shares.
It's pretty simple: he made over 20,000 trades, constantly trading, which almost took up the entire blockchain. (https://basescan.org/address/0x081a2ebd2b118a8664fcae93efcd5575a0b8b951)
This kind of spam behavior has already occurred in the first week of Friend Tech and has been reported by Bert Miller of Flashbots (see attached tweet). Apparently, mempool leaks are also a key explanation here.
Now we might have uncovered his method, let's see how much this guy actually made from this sniper attack.
Keep in mind, in the first 4 blocks, the critical supply increased to 65, of which he controlled about 1/3.
He was one of the first to buy and also one of the earliest to sell!
Block 3753913 (t + 49): With a total supply of 67, he sold his 5 shares for 1.15 ETH.
Block 3753965 (t + 99): With a total supply of 40, he sold his remaining 17 shares for 0.94 ETH.
Sniper #1: Profit: 1.84 ETH (2.09 E - 0.24 E after deducting gas and FT fees)
As you can see, the supply decreased significantly during his two sales.
That's because the third sniper decided enough was enough and sold his 20 shares, incurring a considerable loss to prevent further sales.
Sniper #2: Loss: 0.5 E (3.48 E - 2.98 E after deducting gas and FT fees)
And you thought @friendtech was about making friends... no, it's also a competitive game in the P2P crypto world.
We have learned some things from the school:
1) Ordinary people have little opportunity to get cheap and valuable information.
2) Valuable information has little chance to preserve its supply.
I hope that @friendtech can solve these problems. It seems worthwhile to take the classic strategy of "buying in after the sniper is out".
Especially considering that the price curve is a bit skewed, if large-scale information is immediately attacked by snipers, this may lead to a rather unhealthy situation.
I and @0x GhostCasper support the solution proposed by CL, allowing creators to purchase more shares when registering.
This may solve part of the problem, and I hope you can learn something from it!
DappRadar FT address: 0x84652f7a1839d383Eb029a1d37fCC98D0fdFa1d3
Sniper #1 address: 0x081a2ebd2b118a8664fcae93efcd5575a0b8b951
Sniper #3 address: 0x3530427f4217e66b2a873e331133fefa4bb72893
Sniper #2 address: 0xff231524719db94a0ef08a88fc4e6939134eade8
A warm shoutout to @castle__cap for bringing the big shots together.
Another major issue is that these purchase situations are not displayed on the interface.
Uninformed users may miss the sharp rise in sniper prices and upcoming sales.
This actually harms the organic and sincere users of the platform.
