What Is the Significance of the Mempool in the Context of DeFi Front-Running?
The mempool (memory pool) is a waiting area for unconfirmed transactions before they are included in a block. It is public, meaning anyone can view the pending transactions.
Front-running bots constantly monitor the mempool for large or profitable transactions. The public visibility of transaction details (e.g. the smart contract call and amount) in the mempool is the fundamental vulnerability that allows bots to calculate and execute a front-running trade.