Bitget Wallet has enhanced its multi-chain MEV protection, making it a default feature across major blockchains to safeguard users against MEV bot attacks.
In a recent announcement, Bitget Wallet disclosed its latest security enhancement, which seamlessly incorporates Maximal Extractable Value Protection, or MEV protection, into the platform’s Swap functionality. Users can verify whether the security feature is active by looking for the “MEV” logo on the Swap interface or within the transaction signature details.
This MEV Protection upgrade aims to thwart unfair trading practices typically employed by MEV bots. It operates across various chains, including Ethereum (ETH), Base (BASE), BNB Chain (BNB), Polygon (MATIC), Arbitrum (ARB), Solana (SOL), and other prominent blockchains. Bitget Wallet’s goal is to eliminate the risks associated with MEV bot activity.
Traditionally, MEV bots target liquidity pools, frequently manipulating the prices of crypto assets and creating misleading market perceptions for traders. Bitget Wallet asserts that its system can obstruct these deceptive price changes, ensuring that users obtain accurate and just market prices.
Additionally, MEV bots often resort to inflating gas fees during times of high demand. With the new upgrade, Bitget Wallet anticipates reasonable gas fee ranges, thereby preventing artificial bidding wars on the platform. This protects users from inflated transaction expenses while maintaining trade consistency.
Alvin Kan, the COO of Bitget Wallet, mentioned that the company plans to continually enhance the platform by rolling out additional security features and broadening its services to incorporate more blockchain networks.
“With the evolution of MEV threats, it is crucial to strengthen protective measures to ensure a stable and dependable trading environment,” Kan emphasized in his remarks.
How severe are MEV bot attacks?
MEV bots operate on the blockchain to identify profit-making opportunities and execute trades automatically at a rapid pace.
In recent months, crypto traders have reported significant losses due to unrecognized MEV manipulation, underscoring the need for preventive actions to uphold market integrity.
For instance, on March 12, a trader lost over $215,000 while attempting a stablecoin transfer due to an MEV bot sandwich attack. Data reveals that the incident occurred within a Uniswap (UNI) v3 USDC (USDC) – USDT (USDT) liquidity pool, which held over $35 million in stablecoins.
The DeFi Report founder Michael Nadeau explained that the bot preemptively executed a transaction, temporarily draining all the USDC liquidity from the pool before the user’s transaction could be finalized. Consequently, the user received an unfavorable exchange rate, resulting in a loss of $216,000.
Moreover, the bot operator paid $200,000 to a block builder named bobTheBuilder to facilitate the attack’s success. Ultimately, the attacker profited $8,000 from the bot operation.