Sense

What is MEV 🧵

 What is MEV?
Maximal Extractable Value (MEV) is the profit block producers can capture by choosing the order of transactions in a block—allowing them to front-run, back-run, or exclude transactions.

3/3: Solving the MEV Problem
Solutions include Offchain Auctions, Order Flow Auctions, Single-Slot Finality, and Encrypted Mempools—all aiming to reduce manipulation, promote fairness, and protect users from predatory transaction ordering tactics.

2/3: MEV Attack Types
Frontrunning adds a transaction just before a large trade. Backrunning adds one right after. Sandwich attacks place trades before and after, profiting by manipulating prices in between.