Genesis Block

#11: Maximal Extractable Value (MEV)


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One of the most technical, interesting, and crucial features of blockchain, one that only a few are aware of and even fewer can actually see, is the concept of Maximal Extractable Value (MEV). Β 

Interestingly, it has a clear parallel in traditional finance – high-frequency trading (HFT), which is a form of algorithmic trading that conducts huge numbers of trades within seconds, attempting to make a small profit per trade (mostly through arbitrage). Β Β 

Similarly, MEV exploits risk-free transactions by using the core features of the blockchain it is built on.

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Genesis BlockBy Sid Shah, Yash Palod & Sid Sanghvi