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How Do Decentralized Perpetual Futures Exchanges Attempt to Mitigate Liquidation Front-Running?

Decentralized perpetual futures exchanges employ several technical strategies. They may use a delayed or batched liquidation process to prevent instant, high-value orders from hitting the mempool.

Some use a decentralized network of liquidators who compete to execute the liquidation at the best price, reducing the predictability of a single large order. Others integrate MEV-resistant oracles or utilize private transaction submission channels to hide the liquidation transaction from front-running bots.

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