What is a Blacklist?

So, you're diving into DEXes and smart contracts, and you've bumped into this thing called a ‘Blacklist’. It's like the bouncer at the club door but for crypto wallet, deciding who gets to party with transactions or token launches. And if you're one of those quick-fingered snipers, well, this bouncer is not your friend.

Why are Blacklists used?

Blacklists are keeping the new launch-party crashers at bay. Here's the scoop:

Preventing Sniper Bots

Upon the addition of liquidity to a new token, sniper bots, designed to buy tokens at lightning speed, can unfairly advantage certain participants. Blacklisting the first buyers after a new token's trading opens helps mitigate this issue, although it's challenging to completely eliminate such advanced bots.

Community restrictions

In any community, there's always that one person who can't play nice. Blacklists keep those troublemakers from ruining the fun for everyone else, whether they're exploiting the system or just being a nuisance.

How do they work? 

Imagine a smart contract with a special power called 'beforeLaunch.' It checks the clock and says, "Hold up, not yet!" to any eager snipers trying to jump the gun. This way, the launch goes smoothly, and everyone gets an equal chance to participate.

Blacklist Code example in Smart Contract

After adding liquidity, this coded function will put the next five blocks on the blacklist.

Detecting Blacklists and Protecting Yourself

Knowing about blacklists and their impact is key. Here's how you can stay ahead.

Read Smart Contract code. (For Advanced users)

For those with technical expertise, examining the smart contract code for any blacklist functions or modifiers can reveal the use of blacklists. Look for code snippets that restrict transactions based on block numbers or time stamps, as these are common indicators.

Use telegram simulation bots

We have already mentioned telegram bots in previous academy articles. I think you have already realized how often we have to use them during project analytics. 

Tools like PirbBot can help you check smart contracts for Blacklist functions. 

Setup backup wallet

You should always have a backup wallet to transfer your funds to in case the main wallet you are sniping with gets blacklisted. If you use Blazing Bot for trading & sniping - you're safe. Blazing Bot has a "transfer to backup wallet" option in case the token developer blacklisted you during the token launch.

Final word

Blacklists are a bit of a mixed bag. Sure, they keep things fair and safe, but they can also feel like a party pooper if you're on the wrong side. As crypto trading & sniping evolves, getting the hang of these tools is important for anyone looking to make their mark. Stay sharp, stay informed, and you'll navigate the DEX trading world like a pro.