Crypto: Solana takes drastic measures

The Solana Foundation has not been careful. It has taken radical measures against crypto validator operators involved in so-called “sandwich” attacks against traders. These deceptive practices, which are booming on decentralized networks, have led to outright expulsion of the offenders. This initiative, in line with the Foundation's strict rules, aims to preserve the integrity of Solana's crypto ecosystem and protect individual investors from exploitation.

Malicious crypto practice unmasked

Sandwich attacks exploit the sequencing of network transactions like Ethereum and Solana. The principle is simple but evil: a malicious actor places an order just before a pending trade and another immediately after.

This maneuver allows you to manipulate the price of a crypto asset to profit from the difference, guaranteeing retail investors the worst possible price. The profits fall into the pocket of the attacker.

These crypto validatorsidentified for their participation in mempools facilitating these attacks, were immediately excluded from the Solana Foundation delegation program.

Tim Garcia, Solana's validator relations manager, announced the decision on Discordreaffirming the zero tolerance policy of the Foundation against any malicious activity.

“ Decisions in this matter are final. Enforcement actions continue as we detect operators participating in mempools that enable sandwich attacks “, did he declare.

Validators caught in the act of these practices see their participation in the program suspended sine diea decision without appeal.

Outlaw crypto validators

The Solana Foundation highlighted harmful practices where some validators did not hesitate to modify their configuration to allow these attacks.

Mert Mumtaz, co-founder of Solana RPC provider Helius, noted the serious consequences of these actions. In a post on X, he described how some crypto operators have perverted the system for personal gain, to the detriment of retail users.

“ Some players have added mods to their validators to enable sandwiching on Solana “, he revealed.

The Solana Foundation, which delegates SOL tokens to help validators get started, finds itself unwittingly supporting fraudsters.

The reaction was not long in coming: anyone caught engaging in these activities is immediately excluded from the program, and all Foundation stakes are removed.

To be clear, the Foundation does not fund those who steal from retailers through sandwich attacks. However, these crypto validators can continue their shenanigans on the network, without a grant from the Foundation.

An incentive for transparency

Faced with this situation, Solana decided to giving 100% of transaction priority fees to crypto validators. This change, voted by 77%, aims to encourage validators to prioritize security and the proper functioning of the network.

A report from Stakewiz.com, a group of validators, indicates that this measure could lead to a slight increase in inflationbut it is essential to improve transparency.

“ Our role here is primarily to help facilitate voting, whatever the outcome. “, explains the report, adding that this measure is a key to an overhaul of the distribution of rewards.

Debate around this proposal has been intense, with some expressing concern about the potential impact on the network's inflation rate. Half of priority transaction fees have been removedwhich raised fears about “ side agreements » between validators.

In addition, exploitation cases like that of the 2Fast botwhich made a profit of $1.8 million using MEV (maximum extractable value), have been highlighted.

Despite this, optimistic voices, like that of crypto investor Brian Kelly, suggest that Solana could be next to have a US spot ETFalthough skepticism persists about clear regulation.

The Solana Foundation did not hesitate to strike hard to protect the integrity of its crypto network. By eliminating malicious validators and reforming financial incentives, it demonstrates its commitment to ensuring a safe and fair environment for all its users.