# How Does a DEX Prevent a Sandwich Attack Using a TWAP Mechanism? ⎊ Path

**Published:** 2025-12-05
**Author:** Greeks.live
**Categories:** Path

---

## How Does a DEX Prevent a Sandwich Attack Using a TWAP Mechanism?

A sandwich attack involves an MEV bot placing an order before (front-run) and after (back-run) a victim's transaction to profit from the price movement. If the DEX uses a TWAP for its price feed, the price used for the victim's trade is an average over time, making it resistant to the immediate, single-block price manipulation required for a sandwich attack.

- [What Is the Risk of Using a ‘Time-Weighted Average Price’ (TWAP) Feed?](https://learn.greeks.live/path/what-is-the-risk-of-using-a-time-weighted-average-price-twap-feed/)

- [Why Is TWAP Often Preferred over VWAP for Settlement Purposes?](https://learn.greeks.live/path/why-is-twap-often-preferred-over-vwap-for-settlement-purposes/)

- [What Mechanism on a DEX Makes It Vulnerable to Price Manipulation via Sandwich Attacks?](https://learn.greeks.live/path/what-mechanism-on-a-dex-makes-it-vulnerable-to-price-manipulation-via-sandwich-attacks/)

- [Why Is a Multi-Exchange Index Price Preferred over a Single Spot Price for Calculating Margin Requirements?](https://learn.greeks.live/path/why-is-a-multi-exchange-index-price-preferred-over-a-single-spot-price-for-calculating-margin-requirements/)

- [How Does an Oracle Price Feed Help Prevent Manipulation of the Mark Price?](https://learn.greeks.live/path/how-does-an-oracle-price-feed-help-prevent-manipulation-of-the-mark-price/)

- [Why Is the Time-Weighted Average Price (TWAP) Often Preferred over a Spot Price for Options Oracles?](https://learn.greeks.live/path/why-is-the-time-weighted-average-price-twap-often-preferred-over-a-spot-price-for-options-oracles/)

- [What Is a “Time-Weighted Average Price” (TWAP) Oracle and Why Is It Preferred over a Spot Price Oracle?](https://learn.greeks.live/path/what-is-a-time-weighted-average-price-twap-oracle-and-why-is-it-preferred-over-a-spot-price-oracle/)

- [What Is the Advantage of Using a Median Price over an Average Price in Data Aggregation?](https://learn.greeks.live/path/what-is-the-advantage-of-using-a-median-price-over-an-average-price-in-data-aggregation/)

## Glossar

### [Defi Sandwich Attacks](https://learn.greeks.live/area/defi-sandwich-attacks/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Mechanism ⎊ DeFi sandwich attacks involve a predatory sequence of transactions where an attacker places a buy order immediately before a target transaction and a sell order immediately after it.

### [Trade Integrity](https://learn.greeks.live/area/trade-integrity/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Oversight ⎊ Trade integrity within cryptocurrency, options, and derivatives markets necessitates robust surveillance mechanisms to detect and prevent manipulative practices.

### [Transaction Ordering](https://learn.greeks.live/area/transaction-ordering/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Sequencing ⎊ Transaction ordering within cryptocurrency, options, and derivatives markets establishes the chronological execution of trades, critical for maintaining systemic integrity and preventing manipulation.

### [Decentralized Exchanges](https://learn.greeks.live/area/decentralized-exchanges/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Access ⎊ These platforms offer permissionless entry to cryptocurrency and tokenized asset markets, democratizing capital deployment into novel financial structures.

### [Crypto Risk Management](https://learn.greeks.live/area/crypto-risk-management/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Resilience ⎊ Within the evolving landscape of cryptocurrency derivatives and options trading, resilience represents the capacity of a portfolio or trading strategy to withstand adverse market conditions and maintain operational integrity, particularly concerning environmental, social, and governance (ESG) factors.

### [Sandwich Attacks in Crypto](https://learn.greeks.live/area/sandwich-attacks-in-crypto/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Exploit ⎊ Sandwich Attacks in Crypto represent a form of front running where a malicious actor observes a large pending transaction, typically on a decentralized exchange or options market, and strategically places a buy order immediately before and a sell order immediately after it.

### [Bot Attacks](https://learn.greeks.live/area/bot-attacks/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Action ⎊ Bot Attacks constitute automated, high-frequency trading activities executed by sophisticated algorithms designed to exploit market inefficiencies or structural vulnerabilities within cryptocurrency exchanges and decentralized finance protocols.

### [Sandwich Attacks Mitigation](https://learn.greeks.live/area/sandwich-attacks-mitigation/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Defense ⎊ Sandwich Attacks Mitigation refers to the defensive strategies implemented by decentralized exchange (DEX) users and protocols to protect against a specific form of predatory trading where an attacker brackets a target transaction.

### [Mev Bots](https://learn.greeks.live/area/mev-bots/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Arbitrage ⎊ Mev Bots, within cryptocurrency markets, represent automated trading strategies designed to exploit fleeting price discrepancies across decentralized exchanges (DEXs).

### [Sandwich Attack Calculation](https://learn.greeks.live/area/sandwich-attack-calculation/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Calculation ⎊ The Sandwich Attack Calculation, within cryptocurrency derivatives and options trading, represents a sophisticated market manipulation strategy exploiting order book dynamics.

## Discover More

### [How Can a User Protect Themselves from a Sandwich Attack?](https://learn.greeks.live/path/how-can-a-user-protect-themselves-from-a-sandwich-attack/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Can a User Protect Themselves from a Sandwich Attack?](https://learn.greeks.live/wp-content/uploads/2025/10/Decentralized-Autonomous-Organization-Governance-Mechanism-Optical-Sensor-Tube-Conduit-Inspection.webp)

Set low slippage tolerance or use a private transaction relay to bypass the public mempool.

### [How Do "Sandwich Attacks" Differ from Simple Front-Running?](https://learn.greeks.live/path/how-do-sandwich-attacks-differ-from-simple-front-running/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Do "Sandwich Attacks" Differ from Simple Front-Running?](https://learn.greeks.live/wp-content/uploads/2025/10/Decentralized-Autonomous-Organization-Governance-Structure-Illuminated-Through-Hinge-Mechanism-Visualization.webp)

Sandwich attacks use two transactions (buy then sell) to bracket a victim's trade, maximizing profit from price impact.

### [How Can a DeFi Protocol Detect and Respond to a TWAP Oracle Manipulation Attack in Real-Time?](https://learn.greeks.live/path/how-can-a-defi-protocol-detect-and-respond-to-a-twap-oracle-manipulation-attack-in-real-time/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Can a DeFi Protocol Detect and Respond to a TWAP Oracle Manipulation Attack in Real-Time?](https://learn.greeks.live/wp-content/uploads/2025/10/Microcosmic-Examination-of-Automated-Market-Maker-Mechanism-Parameters-in-Decentralized-Finance-Oracles.webp)

Real-time detection involves monitoring for unusual price and volume activity, and responding with circuit breakers and alerts.

### [How Can a Decentralized Exchange (DEX) Design Its Transaction Mechanism to Resist Sandwich Attacks?](https://learn.greeks.live/path/how-can-a-decentralized-exchange-dex-design-its-transaction-mechanism-to-resist-sandwich-attacks/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Can a Decentralized Exchange (DEX) Design Its Transaction Mechanism to Resist Sandwich Attacks?](https://learn.greeks.live/wp-content/uploads/2025/10/Precision-Actuator-Mechanism-Analogy-for-Automated-Liquidity-Provision-in-Decentralized-Finance-Oracles.webp)

DEXs can use batch auctions or time-locked commitment schemes to prevent front-runners from observing and acting on pending orders.

### [What Is the Primary Goal of an Execution Algorithm Using TWAP?](https://learn.greeks.live/path/what-is-the-primary-goal-of-an-execution-algorithm-using-twap/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is the Primary Goal of an Execution Algorithm Using TWAP?](https://learn.greeks.live/wp-content/uploads/2025/10/Macro-Visualization-of-Precision-Time-Decay-Modeling-in-Decentralized-Derivatives-Execution.webp)

The primary goal of a TWAP algorithm is to execute a large order over time to minimize market impact and avoid signaling the order's size to other market participants.

### [What Mechanisms Can a Decentralized Exchange (DEX) Employ to Mitigate the Risk of a Double-Spend Attack?](https://learn.greeks.live/path/what-mechanisms-can-a-decentralized-exchange-dex-employ-to-mitigate-the-risk-of-a-double-spend-attack/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Mechanisms Can a Decentralized Exchange (DEX) Employ to Mitigate the Risk of a Double-Spend Attack?](https://learn.greeks.live/wp-content/uploads/2025/10/Decentralized-Ledger-Integrity-Versus-Volatility-Convergence-in-Digital-Asset-Hedging-Strategies.webp)

DEXs require more block confirmations, use optimistic settlement models, or operate on chains with faster finality to reduce double-spend risk.

### [What Is a "Sandwich Attack" and How Does It Exploit the AMM Structure?](https://learn.greeks.live/path/what-is-a-sandwich-attack-and-how-does-it-exploit-the-amm-structure/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is a "Sandwich Attack" and How Does It Exploit the AMM Structure?](https://learn.greeks.live/wp-content/uploads/2025/10/Intertwined-Quantum-Digital-Asset-Hedging-Mechanism-Through-Option-Strike-Price-Boundaries.webp)

A sandwich attack is placing a buy order before and a sell order after a victim's trade to profit from the price change caused by the victim's high slippage.

### [How Does a Decentralized Exchange (DEX) Manage Counterparty Risk Using Smart Contracts?](https://learn.greeks.live/path/how-does-a-decentralized-exchange-dex-manage-counterparty-risk-using-smart-contracts/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does a Decentralized Exchange (DEX) Manage Counterparty Risk Using Smart Contracts?](https://learn.greeks.live/wp-content/uploads/2025/10/Precision-Machined-Actuator-Hub-Mechanism-Reflecting-Decentralized-Finance-Governance-Token-Architecture.webp)

Smart contracts act as trustless escrow, holding collateral and automating trade execution to remove counterparty risk.

### [How Can a Manager Use a Private Transaction Relay to Avoid a Sandwich Attack?](https://learn.greeks.live/path/how-can-a-manager-use-a-private-transaction-relay-to-avoid-a-sandwich-attack/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Can a Manager Use a Private Transaction Relay to Avoid a Sandwich Attack?](https://learn.greeks.live/wp-content/uploads/2025/10/Robotic-Sensor-Array-Visualizing-Algorithmic-High-Frequency-Quant-Trading-Protocol-Execution.webp)

By sending the transaction directly to a trusted block builder via a private mempool, preventing MEV searchers from seeing and sandwiching the swap.

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---

**Original URL:** https://learn.greeks.live/learn/how-does-a-dex-prevent-a-sandwich-attack-using-a-twap-mechanism/
