> For the complete documentation index, see [llms.txt](https://mato-docs-1.gitbook.io/mato-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://mato-docs-1.gitbook.io/mato-docs/quickstart.md).

# Why use Mato?

### The State of Markets Today

To Understand the edge Mato provides with our Time weighted Order book we first have to take a look at the current state of Markets in DEFI.

### Toxic Order Flow:

Toxic order flow refers to **trading behavior** that has a negative impact on liquidity providers and the overall health of the market. This behavior can manifest in several forms, including:

<details>

<summary><mark style="color:red;">Front Running</mark></summary>

* **Front-running** is when a trader places a **trade order based on knowledge** of a pending order from another trader. In decentralized exchanges, this can happen due to **transaction order manipulation**.
* A “malicious” trader might observe an incoming **large buy or sell order** and **execute their own trades** in front of it to take advantage of the price movement caused by the other trade, resulting in **slippage** or worse **price impact** for the original order.

</details>

<details>

<summary><mark style="color:red;">Sandwich Attacks</mark></summary>

A **sandwich attack** occurs when a malicious trader detects a **large trade** about to be executed, and places two orders—one **before** the trade (to drive the price up) and one **after** the trade (to take advantage of the price movement).

Example:

* A trader places a large buy order for a token.
* The attacker places a buy order before the trader’s, driving the price up, and then places a sell order after the trader’s large buy, selling at the higher price they manipulated.
* The trader ends up paying a higher price due to the attacker’s price manipulation, and the liquidity provider also faces a **worse execution price** due to the attack.

</details>

<details>

<summary><mark style="color:red;">Skewed or Predatory Trading</mark></summary>

**Predatory trading** involves using advanced algorithms or high-frequency trading strategies to exploit temporary price inefficiencies in the market. These traders might use **flash trades** or **small-order strategies** to manipulate the market in their favor, making it harder for regular users to trade at fair prices.

</details>

### Effects of Toxic Order flow:

* Increased Slippage
* Market Maker withdrawal
* Price Manipulation
* Bad User experience - YOU LOSING MONEY

## How Mato solves these Unfair Conditions 🧠

By Integrating the Time weighted Order Book MATO mitigates many preditory trading techniques.

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[The TWOB Model](/mato-docs/publish-your-docs.md)
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