Maximal Extractable Value (MEV)
Also known as: Miner Extractable Value, Transaction Reordering Profit, MEV Opportunities
The maximum value that validators or miners can extract from blockchain users by reordering, inserting, or censoring transactions.
Maximal Extractable Value (MEV) refers to the profit validators, miners, or searchers can extract by manipulating transaction order within a block. This includes techniques like front-running, back-running, and sandwich attacks. MEV originated in Ethereum but is relevant in any smart contract platform where transaction ordering matters. While some MEV strategies provide arbitrage opportunities or efficient liquidation, others are harmful and reduce user fairness. Solutions like MEV auctions, Flashbots, and Proposer-Builder Separation (PBS) aim to mitigate negative effects by adding transparency or separating block roles.