NoSandwichHook

This is an anti-MEV hook for Uniswap v4. The philosophy of NoSandwichHook is infinite division and harmonious balance. The core mechanism is called Hyperbolic Call Auction, originated by our group. Compared to other anti-MEV solutions, our hook can reach a balance between safety, convenience and fairness. Traders don't need to pay extra money to defend MEV. And the price for all traders in a cycle is completely the same.

In our system, we establish two liquidity pools (virtually): a temporary pool and a permanent pool. The life cycle of our AMM consists of three distinct phases. The first phase, Calling, spans several blocks and encompasses multiple transactions. During this phase, traders submit their transactions and approve tokens to the Temporary Pool, but these transactions are not immediately settled. Instead, we record the contributions of all buyers and sellers in the contract’s storage. The second phase, Settlement, is triggered by any trader whose transaction timestamp exceeds the last settlement timestamp plus a predetermined interval. In this phase, the AMM aggregates all base and quote currencies from the Temporary Pool, allowing us to deserialise the transactions. We then infinitely subdivide and interleave these unordered transactions, creating a virtual transaction queue which looks like buy, sell, buy, sell etc. This process simulates the execution of the transactions within the Permanent Pool, as we would in a traditional AMM. The final phase, Distribution, occurs within the same transaction as Settlement. Here, the AMM updates the Permanent Pool based on the simulation results and distributes base and quote currencies to the traders according to their contribution records. At the same time, the Temporary Pool and contribution records are cleared, ready for the next cycle.