What Regulatory Measures Exist to Prevent Front-Running on Crypto Exchanges?
Regulatory oversight for front-running on crypto exchanges is fragmented and evolving. Some jurisdictions apply existing securities laws, like the anti-fraud provisions, to crypto assets deemed securities.
Exchanges often implement internal surveillance, order book monitoring, and latency minimization techniques to detect and deter the practice. Specific crypto-native regulations, like MiCA in the EU, are starting to mandate market abuse prevention.
However, decentralized finance (DeFi) remains largely unregulated.