The Solana network has faced issues with network congestion, causing concern for traders. Although transactions have become easier, the focus has shifted to the prices obtained during trading. Sandwich attacks, where sophisticated traders exploit price spreads, have become an ongoing problem. DFlow, a market infrastructure firm, has proposed a solution called conditional liquidity to address this issue. This solution involves the introduction of segmenters, who separate toxic from non-toxic order flow. DEXs can then charge higher fees to sandwich attackers and lower fees to other traders. While conditional liquidity does not completely eliminate sandwiching, it can reduce it by charging different rates. DFlow has already launched a segmenter called DFlow Aggregator and a conditional liquidity DEX called Clearpool. The introduction of conditional liquidity aligns the interests of retail traders, DEXs, and the network. However, getting DEXs to adopt this new market structure may be challenging, as it requires sufficient demand from venues where traders place their orders. Despite this challenge, some wallets and apps have shown interest in integrating conditional liquidity.



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