Flash Boys 2.0
This session is a review of the Flash Boys 2.0 paper.
One of many projects taking place under IC3.
Time bandit attacks put Ethereum at risk.
$1.5B of DEX volume in July 2018; $56M to mount a 51% attack. Arbitrage opportunities are hard to know, but attack cost is low. Bandt can also go back in time and execute trades w/ knowledge of future prices.
Authors unintentionally created a bot community by posting about the opportunity. Arbitrage opportunities jumped by a factor of ~100 after the paper came out… ? Also made the community more efficient, by creating a token that lowers the price you pay for gas…