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Maximal Extractable Value (MEV)

Also known as: MEV
Difficulty: advanced
Value that can be extracted by reordering, inserting, or censoring transactions in a block.
Formula

Maximal Extractable Value (MEV) is profit available to block producers or searchers from controlling transaction inclusion and order. Common forms: sandwiching AMM trades, backrunning liquidations, and arbitrage across venues.

Users experience MEV as worse execution; protocols mitigate via private orderflow, batch auctions, and intent-based designs.

Related terms

See also