Despite efforts by Solana developers to discourage spammy transactions that could threaten to bog down the network, a majority of the network’s compute is still being wasted on failed trades, according to an analysis by crypto infrastructure company Jito Labs.
In one recent epoch (a time period on Solana roughly equivalent to two and a half days), arbitrage transactions took up 60% of overall compute space, per Jito. These transactions were attempts by bots to win slim margins on competitive trades – and 98% of their attempts failed.
The result is wasted blockspace for the network as well as capital burnt for no reason on losing trades, according to a blog post from Jito Foundation. It blames this on the way Solana’s infrastructure handles submitted transactions: give priority to the first in line. That creates an incentive for arbitrage bots to submit multiple duplicate transactions in the hopes they will get the winner.
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