Proposer Builder Separation

Definition ∞ Proposer-builder separation (PBS) is an architectural design in blockchain networks, particularly in proof-of-stake systems, that decouples the roles of block proposers and block builders. In this model, specialized builders create blocks by selecting and ordering transactions based on economic incentives, and then proposers select the most profitable block to present to the network. This separation aims to enhance decentralization, censorship resistance, and economic efficiency. Understanding PBS is important for comprehending the evolving mechanisms of transaction ordering and block production in advanced blockchain architectures.
Context ∞ Proposer-builder separation is a key area of research and development for scaling and decentralizing blockchain networks, particularly those employing proof-of-stake consensus. Discussions are active regarding its implementation on major networks, with debates focusing on its potential impact on validator centralization, MEV (Maximal Extractable Value) dynamics, and overall network security. Future developments will likely involve practical implementations and ongoing refinement of the economic incentives governing builders and proposers.

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→Execution Tickets

→Protocol Design

→Decentralization Risks

Analyzing Execution Tickets for MEV Capture and Decentralization on Ethereum

This research models Ethereum's Execution Tickets, revealing MEV capture and decentralization challenges, fundamentally shaping future protocol design.

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→Consensus Mechanism Security

→Maximal Extractable Value

→Proposer Builder Separation

Formalizing MEV for Provable Blockchain Security

This research establishes a rigorous, abstract model for Maximal Extractable Value, enabling formal security proofs for blockchain protocols and smart contracts.

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→Transaction Re-Ordering

→Sandwich Attacks

→Network Efficiency

Quantifying Ethereum MEV Transaction Re-Ordering’s Economic Impact

This research quantifies the significant economic costs and market distortions caused by Maximal Extractable Value (MEV) transaction re-ordering on Ethereum, revealing hidden burdens on users and the critical need for systemic reforms.

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→Protocol Security

→Time-Averaged Commitment

→Block Proposer Incentives

Time-Averaged Commitment Smooths MEV Auctions, Decentralizing Transaction Ordering

Introducing the Smooth-Running Auction, a mechanism using Time-Averaged Commitments to decouple block value from proposer revenue, stabilizing MEV and promoting decentralization.

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→Low Latency

→Blob Data

→Validator Node

PANDAS Protocol Secures Scalable Data Availability Sampling against Latency

PANDAS, a novel two-phase network protocol, leverages direct communication and PBS to meet the stringent 4-second deadline for large-scale data availability sampling.

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→Adversarial Model

→Verifiable Decryption

→DeFi Security

Verifiable Decryption Secures Proposer-Builder Separation against Censorship

A new two-tiered architecture incorporates publicly verifiable decryption, resolving the censorship vulnerability inherent in existing block-building separation models.

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→Transaction Ordering Security

→Abstract Model

→Universal MEV

Formal MEV Theory Enables Provable Security against Transaction Reordering Attacks

A formal, abstract MEV theory rigorously defines adversarial gain via knowledge axiomatization, enabling proofs of smart contract security.

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→Proof of Luck Mechanism

→Transaction Ordering Fairness

→Proposer Builder Separation

Decentralized ZK-Rollups Achieve Data Availability and MEV Resistance

A novel L2 architecture separates node roles and uses a Proof of Luck mechanism to secure decentralization and prevent transaction reordering attacks.

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→Erasure Coding

→Block Availability

→Layer Two Scaling

Direct Communication Protocol Secures Data Availability Sampling Efficiency

PANDAS uses direct communication and a two-phase seeding/consolidation model to meet the 4-second DAS deadline, ensuring data availability despite malicious nodes.

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→Proposer Builder Separation

→Transaction Ordering Fairness

→Transaction Privacy

Protected Order Flow System Limits Harmful MEV in Builder-Proposer Separation

PROF introduces a mechanism to minimize adversarial MEV in Proposer-Builder Separation, transcending the tradeoff between user protection and transaction inclusion rate.