Path payment arbitrage transaction

AsoJan

Can someone explain this transaction. https://stellar.expert/explorer/public/tx/149024275566833664#149024275566833665

bkolobara

AsoJan It looks like someone sent a small amount of XLM to themselves. Is there any other importance to the transaction?

AsoJan

It keeps showing on our coins ledger

Hotbit

He's profiting from path_payment when done right, i.e. he's doing arbitrage between stellar assets.

AsoJan

Hotbit but why is it constantly showing on our coins ledger

earrietadev

AsoJan because your coin is being used in the trade, the user who is doing arbitrage is buying/selling your coin as part of his strategy

AsoJan

earrietadev Can this be stopped. Our coin price crashes after he does this.

earrietadev

AsoJan I saw the issuer account of your coin is locked so no, unfortunately for you you can't do anything to stop it because he is using a feature directly built in the blockchain (Path payment) and everybody can use it how they want

AsoJan

https://stellar.expert/explorer/public/tx/149330373593128960#149330373593128961 Surely this can't be allowed. Specially when they don't own our coin. It crashes our coin price.

AsoJan

Thank you. Will you help us to find the unfunded trustline.

earrietadev

AsoJan I don't understand what you mean but if you need to see the public key of the account that made the transaction you can already check it in the link you shared above (the public key of the account is GDC7H2BNSXUNA53KRCJ6YT6NWTVFOQ52YNLL6VFIL3CEAUHEOQAJMI2X for example)

AsoJan

earrietadev No I was asking if you could help us find the unfunded accounts for our coin.

earrietadev

AsoJan I saw your coin has 635 trustlines, with the horizon API you can get a JSON with all the accounts that are holding your coin (the response is limited up to 200 records per request if I'm not wrong) https://horizon.stellar.org/accounts/?asset=TPI%3AGAOCNOS2AUPGZZ4Q2EF7KAV3BDL5GBKQWUUN3O3OSUYAXLOUM3Z6HICW

With that information you can create an script that pull the data from the API and parse the data to only get the unfunded accounts

AsoJan

Thank you very much for your help.

AsoJan

Path payment should be from one currency to another. What is the purpose in allowing pathpayments for the same currency. They are sending XLM and receiving XLM. May be SDF should look into it.

earrietadev

AsoJan Even if you remove the complete path payment feature, the arbitrage is still possible with a high speed trading set up (similar to what people do with stocks, forex, products, etc). The arbitrage is possible because of a spread of the price not the features in the blockchain itself.

I think (but I'm not sure) you can stop it if you set the coin issuer so everybody need your approval to hold the coin, but since the guy is doing the arbitrage with the path payment feature I'm not sure if that applies... The problem is that the account that issued your coin is locked so you won't be able to test it (and I don't know if that's what you want to do with your coin because people won't be able to adquire it easily)

AsoJan

ok. Thank you again for your input.