Blaine
@blainemalone
1/8) 've officially been priority ordering pilled. Why? Two words: MEV Taxes. What the hell are MEV taxes, and why should you care? After reading through @paradigm's 'Priority Is All You Need' article by @danrobinson and @davewhite it’s clear: - MEV taxes capture a cut of extracted MEV and redirect it to the app layer. - Protocols can start leveraging this today. Especially with @unichain's launch. To understand MEV taxes, we first need to look at how MEV is extracted when priority ordering isn’t enforced. Here’s a classic example: An MEV searcher sandwiches a victim’s trade by placing a buy order before and a sell order after their transaction. Notice how the block isn’t ordered by priority fees. Instead, the block builder reorders transactions to maximize MEV profits. ref: https://paradigm.xyz/2024/06/priority-is-all-you-need
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Mikko
@moo
You would need to have commit and reveal mempool like Shutter first, as otherwise MEV can just bypass public mempool?
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