On-chain collateral reappears, how can ordinary users safely participate in early asset trading?

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Recently, a seemingly routine on-chain transaction has attracted widespread attention in the industry. A user with wallet ending in 721 suffered significant losses while executing a buy operation for KOGE/USDT. According to on-chain monitoring by @ai_ 9684 xtpa, the user's order was split and routed to multiple liquidity pools by the system, resulting in a MEV attack where they spent 47,000 USDT and received only 0.009 KOGE, translating to a unit price as high as 5,181,958 USD, leading to heavy losses.

Although similar incidents are not uncommon in the decentralized trading ecosystem, the significant amount and typical process this time have sounded the alarm for crypto users regarding on-chain operation risks. Multiple accounts on the social platform X have also issued warnings about this incident, emphasizing not to set excessively high slippage and not to disable MEV protection.

High Slippage and Lack of MEV Protection, On-Chain Transaction Risks Surge

Behind this painful forced liquidation incident, there are two key mistakes:

  • Setting High Slippage: High slippage provides a large profit margin for MEV attacks, becoming bait for attackers to squeeze positions;
  • MEV Protection Not Enabled: Users are directly exposed to sandwich risks after giving up critical trade protection.

The most common of these attacks is the "sandwich attack", in which the attacker buys at a low price before the target trade and sells it quickly to make a profit by manipulating the order of transactions and price slippage ranges. The complexity of on-chain transactions makes variables such as slippage settings, asset split paths, and pool liquidity common "dark mines", and for ordinary users, risk identification and transaction allocation capabilities themselves have constituted a threshold.

BM Discovery: Reconstructing the On-chain Asset Participation Experience with Centralized Advantages

MEV attacks, high slippage, routing splits... the potential risks brought about by the complexity of on-chain transactions are constantly emerging. A simple operational mistake can lead to financial losses. For ordinary users, the lack of professional tools and on-chain practical experience makes the risks more intangible and more threatening.

Against the backdrop of frequent risks, the BM Discovery section launched by BitMart is becoming a solution that is attracting more user attention. This section focuses on the discovery of high-quality early on-chain assets, leveraging the mechanism advantages of centralized exchanges to create an asset participation entry that combines convenience and risk control capabilities for users.

On-chain arbitrage reappears, how can ordinary users safely participate in early asset trading

BM Discovery focuses on building a new path for on-chain asset exploration in three main areas:

The screening mechanism is specialized, reducing users' blind participation.

BitMart relies on its internal research team and on-chain data tracking system to conduct cross-examinations of candidate assets from the perspectives of fundamentals, on-chain activity, and community consensus, filtering out risky projects and embedding potential assets, helping users acquire early Alpha at a lower cognitive cost. Many assets have also shown good market performance after launch, with significant increases.

centralized experience, solving the operational and on-chain interaction threshold

Compared to directly using a DEX, BM Discovery spares users from complex operations such as manually setting slippage, routing paths, and wallet signatures. All transactions are completed within the platform, eliminating the need to pay gas fees, greatly reducing the likelihood of user errors leading to being sandwiched or encountering other risks.

Risk dynamic response to enhance user safety margin

BM Discovery has established an on-chain + off-chain interactive risk control system. The platform will continuously monitor the market performance and potential anomalies of the listed assets, dynamically delisting risky assets to ensure a consistently controllable trading environment.

In addition, to encourage more users to participate in on-chain asset mining through Discovery, BitMart is launching a limited-time offer of 0 trading fees for Discovery Zone spot trading, providing users with a lower-cost trial space.

Risk Disclosure: From Free Trading to Trusted Participation

As the decentralized ecosystem thrives, more and more users realize that relying entirely on individuals to complete on-chain strategies and risk control deployments still presents certain thresholds and risks. High slippage, MEV vulnerabilities, and other mechanisms possess a high degree of professionalism, while what BM Discovery represents is a new idea: to reduce the spillover of technical risks by using a friendlier trading architecture and platform screening mechanism, allowing more users to participate in early asset dividends more safely.

The launch of BM Discovery not only represents BitMart's strategic deepening in the on-chain asset layout aspect but also reflects its proactive construction capabilities as a trading platform throughout the "asset screening - user participation - security assurance" process. In the face of the complex and ever-changing on-chain asset ecology, BitMart is opening a new path for investors in a more controllable, trustworthy, and professionally barriered manner, helping them avoid hidden dangers and discover value.

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The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
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