Front Running Bot

To get risk-adjusted returns, crypto bots must-have functions that prevent activities resulting in money loss. One of the essential orders is "stop-loss", which removes the position when prices cross the set level.
For this purpose, developers build mathematical formulas limiting position size and setting a maximum amount that can be at risk.

To front-run a large trade that will impact market prices, a crypto bot scans pending transactions and pays a higher gas so that miners execute its transaction first. It makes a profit by selling the assets at a higher price.
As Ethereum and other blockchain projects are open-source, viewing unconfirmed transactions is simple.

Slippage happens when there is a price difference between the expected trade rate and the rate at which it's executed. The main reason for slippage is market volatility, and another reason can be the lack of volume to carry out the transaction at a requested price. Slippage happens in different markets: crypto, stocks, forex, etc.
Slippage can be positive or negative, depending on whether it's favorable for the trader. It's possible to change slippage tolerance.

The bot allows for creating accounts with all the exchanges the trader intends to use. Based on its architecture, a crypto frontrunning bot can connect to different platforms, buying and selling assets.