Someone is siphoning our hard earned money! The money that this bot is siphoning is taken out of the people’s trades! People are getting worse trades because of this. It is exploiting the fact that on an AMM (automated-market-maker) swap, the users cannot control the price at which the user sells his/her tokens. Once a user comes to make a trade in an AMM, the rate (price) of the trade is given into the hands of the algorithm of the swap, which is being exploited as is shown here! This happens due to the vague concept known as “slippage” where you hear people always saying “you need to learn how slippage works”. The fact is, no matter how you spin it, “slippage” means that the user loses control of the sale-price of the user’s tokens.
Let’s take a scenario of a person selling a car by trading the car for dollars. Imagine if the person selling the car could not choose how much dollars he/she is willing to sell the car for! That would be ridiculous.
We can get rid of this problem by creating a trading platform where the user chooses the price per token of the tokens that he/she wants to trade, and the platform will only perform the trade of those tokens with people willing to buy those tokens at that price specified. So both sides of a trade specify the price (rate) they are willing to trade at, and the platform matches compatible trades. This mechanism makes sure that a bot cannot sway the price of other peoples’ trades. This mechanism is at the heart of the CYCLES-TRANSFER-STATION trading market. The CTS is built with this mechanism, where each user chooses the sale-price of his/her tokens, and the CTS market matches compatible trades where both sides of the trade choose to trade with the same price (rate).
Join the movement: https://cycles-transfer-station.com, CTS Twitter.