What is the Context of MEV Theory?

MEV theory is a recurring topic in cryptocurrency news, particularly concerning its impact on network fairness and transaction costs. Discussions often focus on the emergence of MEV searchers, builders, and the potential for front-running or sandwich attacks. The development of solutions aimed at mitigating negative MEV externalities, such as MEV-Boost, is a critical area of ongoing research and implementation.

MEV Theory

Definition

MEV theory, or Maximal Extractable Value theory, describes the potential profit that block producers can gain by strategically including, excluding, or reordering transactions within a block. This extraction is possible due to the deterministic nature of blockchain transaction ordering and the transparency of the mempool. It represents a complex economic phenomenon within blockchain ecosystems.

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∞Block Construction

∞Bounded Contracts

∞Contract Equilibria

Formalizing MEV with Adversarial Knowledge Enables Provable Security

This abstract model defines Maximal Extractable Value via adversarial knowledge, providing the foundational theory for provable security against economic attacks.

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∞Programmable Privacy

∞Economic Exploits

∞Scalability Limits

Formalizing MEV Theory for Provably Secure Blockchain Architectures

This research establishes a foundational mathematical framework for Maximal Extractable Value, enabling rigorous analysis and provably secure defenses against economic exploitation.

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∞Transaction Reordering

∞MEV Theory

∞Maximal Extractable Value

Formalizing MEV: Rigorous Model for Provably Secure Blockchain Architectures

This research introduces a formal, abstract model for Maximal Extractable Value, enabling systematic analysis and the development of provably secure blockchain protocols.

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∞Framework

∞Value Extraction

∞MEV

Formalizing MEV Theory for Provable Blockchain Security

A new formal theory for Maximal Extractable Value offers a robust framework to understand and secure blockchain systems against economic attacks.

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∞Homomorphic Encryption

∞Decentralized

∞Data Availability

Batch Processing Eliminates MEV in Automated Market Makers

This research introduces a novel batch-processing mechanism for Automated Market Makers, fundamentally mitigating Miner Extractable Value and fostering equitable transaction execution.

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∞Economic Attacks

∞Blockchain Security

∞Transaction Ordering

Formalizing MEV for Provable Security in Blockchain Protocols

A new formal theory of MEV provides provable security against economic attacks, differentiating beneficial from malicious value extraction in blockchain protocols.

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∞Smart Contract Security

∞Consensus Algorithm Security

∞Symbolic Execution

LLM-driven Property Generation Elevates Smart Contract Formal Verification

This research introduces PropertyGPT, an AI-powered system that automates comprehensive property generation, overcoming a critical bottleneck in smart contract formal verification.

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∞Decentralized Finance

∞Smart Contract Formalization

∞Security Proofs

Formalizing Maximal Extractable Value: A Foundational Theory for Blockchain Security

This theory formally defines Maximal Extractable Value, offering a robust framework for proving smart contract security and clarifying adversarial extraction in blockchains.