A bot based on the Maximum Extractable Value (MEV) principle in the Solana network earned $1.7 million in profit from an operation that occurred when a trader made a $9 million purchase of the meme coin Dogwifhat (WIF) using the least efficient method. This MEV bot, managed by 2Fast, exchanged 703 Solana for 490,000 WIF and then exchanged the same amount of WIF for 19,035 SOL within the same group of transactions, resulting in a profit of $1.73 million, according to Solscan data.
This bot used a tool developed by Jito Labs, a division responsible for developing the Solana Jito Liquid Staking protocol. In functionality, the tool is similar to flashbots in the Ethereum network, allowing bots to search for opportunities for maximum extractable value by placing bids for inclusion in transaction groups.
This unexpected arbitrage deal occurred after an operation by the trader Zeroxtrading.sol, who purchased a meme coin worth $8.9 million in a single order. This excessive order was executed in a low-liquidity pool, resulting in the WIF token's price reaching approximately $3 per token, which was close to 1400% of its actual value at the time of the transaction. The subsequent sharp price drop led to the trader losing 92% of their capital instantly.
