Can Solana and Cardano Overcome Ethereum’s Sandwich Attack?

Ethereum vs. its Competitors

Ethereum (ETH) is a blockchain platform that enables developers to create and execute smart contracts and decentralized applications (dApps). Ethereum emerged as a response to the limitations of the Bitcoin network, which could not support smart-contract functionalities. Ethereum has many advantages over its competitors, including Solana (SOL), Cardano (ADA), and Polkadot (DOT). However, Ethereum is currently facing a new challenge in the form of the “Bots and Sandwich Attack.”

Ethereum’s competitors, often referred to as “Ethereum killers,” have made progress in their quest to outperform the top smart contract blockchain by offering worthwhile trade-offs. However, despite their best efforts, Ethereum still dominates the market due to its massive adoption and its role in powering the development of decentralized finance (DeFi) and forming the vast majority of dApps in the ecosystem.

Bots and Sandwich Attack on Ethereum

Recently, the Ethereum network has seen a lot of bot activity, including a type of front-running attack known as a “Sandwich Attack.” MEV (miner extractable value) bots use this technique to surround a target trade with two other trades to profit from the price discrepancy. According to data from EigenPhi, MEV bots on Ethereum set a new record over the past month, profiting $1.035 million through 11,640 transactions. Now, Sandwich bots are grabbing newly issued meme tokens, such as Pepe (PEPE) and Chad (CHAD), which have had no intrinsic value but have attracted attention from Crypto Twitter overnight, leading to a 10,000% increase.

As a result of increased transaction costs and congestion brought on by MEV bots and sandwich attacks, Ethereum’s network may become slow. This may lead to a reduction in the overall effectiveness of the network as well as the user experience. However, despite this challenge, Ethereum’s widespread use has proven to be a “bittersweet development.” On the one hand, this growth encourages innovation and draws users to the crypto space, enabling the realization of ideas.

Advantages of Ethereum

Ethereum has several advantages over its competitors, including:

• Massive adoption: Ethereum’s massive adoption has given it a first-mover advantage, which is difficult for its competitors to overcome.
• DeFi: Ethereum’s role in powering DeFi is significant. Ethereum’s smart-contract functionalities make it possible to create DeFi applications, which are driving the growth of the crypto space.
• Decentralization: Ethereum is a decentralized platform, which means that it is not controlled by any central authority or entity. This makes it more secure and resistant to censorship.
• Ethereum Improvement Proposals (EIPs): EIPs are proposals for changes to the Ethereum network. These proposals are discussed and debated by the Ethereum community, and if approved, they are implemented into the network. This makes Ethereum a more flexible and adaptive platform.

Ethereum’s advantages make it difficult for its competitors to outperform it. However, the rise of new blockchain platforms and their novel ideas is encouraging innovation in the crypto space, which is ultimately good for the growth and development of the industry.