MEV, or Miner Extractable Value, represents the profit that block producers can obtain by strategically including, excluding, or reordering transactions within a block. This profit is derived from the ability to manipulate transaction order to their advantage, often through front-running or sandwich attacks. MEV is a complex economic phenomenon inherent in many blockchain architectures. Its existence raises questions about fairness and network efficiency.
Context
MEV is a significant area of research and development in the blockchain space, particularly concerning its implications for transaction ordering and network fairness. Efforts to mitigate negative MEV impacts or to distribute its benefits more equitably are ongoing. Its presence influences how transactions are processed and the economic incentives of validators.
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