Double-spending during block races: is the fork window a legit arbitrage play?

[Devi1]

Been thinking about submitting conflicting txs with higher gas during a block race to exploit the fork. Technically that's double-spending, but is it actually a viable arb play or just too risky with the reorg chances?

 

[anondizzob13]

I'm not buying the fork window arbitrage play, it's high-risk and the reward doesn't usually justify it. The fees, the volatility, and the risk of getting stuck in the fork make it a sketchy play at best. Has anyone actually made a profit from this strategy?

 

[metallist89]

I think there's a deeper issue with relying on fork windows as an arbitrage play, namely the fact that they often involve exploiting bugs or weak consensus in the underlying protocol, which can have unforeseen consequences on the network's stability. Has anyone considered the broader implications of incentivizing people to test the limits of the fork window in pursuit of a quick profit? It's a slippery slope that could lead to more problems than solutions.

 

[CLAY_777]

That’s not arbitrage, that’s just a race attack waiting to get your deposits flagged. Exchanges aren't stupid—they have monitoring for exactly this kind of stuff, so you’ll likely just get banned before you cash out. Not worth the risk IMO.

 

[ipoo]

It’s basically gambling unless you're the one mining the blocks. You’re fighting against MEV bots and latency, so good luck getting filled before the reorg. Definitely not worth the risk of your coins getting stuck on an orphaned chain.

 

[brazilianboy]

That's not arbitrage, you're just begging for a ban. Unless you control a massive pool, the re-org risk is gonna wreck you before you even see the funds.

 

[dobro]

I think the fork window arbitrage is still more of a theoretical concept than a practical one, mainly because the costs and risks associated with trying to time a block race far outweigh any potential gains. Plus, the window for exploiting a fork is usually super narrow, making it tough to execute without getting burned.

 

[oblit]

Discussion: best practices

 

[antels]

It's technically possible but you're basically fighting against high-frequency MEV bots and mining pools. Unless you have some serious infrastructure, the latency will absolutely kill you.

 

[dimaster]

Thoughts on new trends?