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What Are the Key Differences in Front-Running Prevention between CEXs and DEXs?

Centralized exchanges (CEXs) prevent front-running primarily through internal controls, regulatory oversight, and legal prohibitions, as they control the order book and transaction execution. They rely on surveillance and anti-fraud systems.

Decentralized exchanges (DEXs), however, operate on public blockchains where pending transactions are visible in the mempool, making traditional legal prohibitions ineffective. DEX prevention relies heavily on technical measures like private transaction relays (Flashbots), commit-reveal schemes, and specialized smart contract logic to obscure or randomize transaction ordering.

What Is the Difference between a Private Mempool and an Encrypted Mempool?
How Does Front-Running in DeFi Compare to ‘Insider Trading’ in Traditional Finance?
What Is the Primary Difference between Traditional Market Front-Running and ‘Sandwich Attacks’ in DeFi?
How Do Decentralized Exchanges (DEXs) Handle Bid-Offer Spreads Differently than Centralized Exchanges (CEXs)?