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Trading through decentralized exchanges (DEXs) has become crucial in today's blockchain ecosystem, enabling users to swap tokens efficiently and automatically. However, the capacity of miners to strategically order transactions has led to…

Computer Science and Game Theory · Computer Science 2023-09-25 Yuhao Li , Mengqian Zhang , Jichen Li , Elynn Chen , Xi Chen , Xiaotie Deng

Traditional single-proposer blockchains suffer from miner extractable value (MEV), where validators exploit their serial monopoly on transaction inclusion and ordering to extract rents from users. While there have been many developments at…

Cryptography and Security · Computer Science 2025-09-30 Pranav Garimidi , Joachim Neu , Max Resnick

Strategies related to the blockchain concept of Extractable Value (MEV/BEV), such as arbitrage, front-, or back-running create strong economic incentives for network nodes to reduce latency. Modified nodes, that minimize transaction…

Cryptography and Security · Computer Science 2025-02-10 Taro Tsuchiya , Liyi Zhou , Kaihua Qin , Arthur Gervais , Nicolas Christin

In the blockchain-based, distributed computing platform Ethereum, programs called smart contracts are compiled to bytecode and executed on the Ethereum Virtual Machine (EVM). Executing EVM bytecode is subject to monetary fees---a clear…

Logic in Computer Science · Computer Science 2020-05-13 Julian Nagele , Maria A Schett

The convergence of mobile edge computing (MEC) and blockchain is transforming the current computing services in wireless Internet-of-Things networks, by enabling task offloading with security enhancement based on blockchain mining. Yet the…

Blockchains have popularized the Automated Market Makers (AMMs), where users trade crypto-assets directly with a smart contract, governed by a pricing function embedded in the contract's code. Today, users of AMMs are often forced to accept…

Computer Science and Game Theory · Computer Science 2026-05-28 Yuhao Li , Elaine Shi , Mengqian Zhang

We provide an economic model of Execution Tickets and use it to study the ability of the Ethereum protocol to capture MEV from block construction. We demonstrate that Execution Tickets extract all MEV when all buyers are homogeneous, risk…

Computer Science and Game Theory · Computer Science 2024-08-22 Jonah Burian , Davide Crapis , Fahad Saleh

Traditional blockchain systems, such as Ethereum, typically rely on a \emph{single volatile cryptocurrency for transaction fees}. This leads to fluctuating transaction fee prices and limits the flexibility of users' payment options. To…

Computational Engineering, Finance, and Science · Computer Science 2024-11-22 Mingzhe Li , Bo Gao , Kentaroh Toyoda , Yechao Yang , Juniarto Samsudin , Haibin Zhang , Sifei Lu , Tai Hou Tng , Kerching Choo , Andy Ting , Siow Mong Rick Goh , Qingsong Wei

Blockchain has empowered computer systems to be more secure using a distributed network. However, the current blockchain design suffers from fairness issues in transaction ordering. Miners are able to reorder transactions to generate…

Cryptography and Security · Computer Science 2025-08-11 Yihang Fu , Zesen Zhuang , Luyao Zhang

The rise of Ethereum has lead to a flourishing decentralized marketplace that has, unfortunately, fallen victim to frontrunning and Maximal Extractable Value (MEV) activities, where savvy participants game transaction orderings within a…

Cryptography and Security · Computer Science 2022-09-29 Ben Weintraub , Christof Ferreira Torres , Cristina Nita-Rotaru , Radu State

Cryptocurrency is a well-developed blockchain technology application that is currently a heated topic throughout the world. The public availability of transaction histories offers an opportunity to analyze and compare different…

Statistical Finance · Quantitative Finance 2018-08-28 Jiaqi Liang , Linjing Li , Daniel Zeng

Cryptocurrencies and Web3 applications based on blockchain technology have flourished in the blockchain research field. Unlike Bitcoin and Ethereum, due to its unique architectural designs in consensus mechanisms, resource management, and…

Cryptography and Security · Computer Science 2025-09-23 Qian'ang Mao , Jiaxin Wang , Zhiqi Feng , Yi Zhang , Jiaqi Yan

As distributed ledgers, blockchains run consensus protocols which trade capacity for consistency, especially in non-ideal networks with incomplete connectivity and erroneous links. Existing studies on the tradeoff between capacity and…

Cryptography and Security · Computer Science 2021-06-29 Xu Wang , Wei Ni , Xuan Zha , Guangsheng Yu , Ren Ping Liu , Nektarios Georgalas , Andrew Reeves

The energy sustainability of blockchains, whose consensus protocol rests on the Proof-of-Work, nourishes a heated debate. The underlying issue lies in a highly energy-consuming process, defined as mining, required to validate crypto-asset…

The distribution of block maxima of sequences of independent and identically-distributed random variables is used to model extreme values in many disciplines. The traditional extreme value (EV) theory derives a closed-form expression for…

Methodology · Statistics 2019-02-27 Marco Marani , Enrico Zorzetto

The classical multivariate extreme value theory tries to capture the extremal dependence between the components under a multivariate domain of attraction condition and it requires each of the components to be in the domain of attraction of…

Probability · Mathematics 2011-04-13 Rajat Subhra Hazra , Krishanu Maulik

Ethereum's scalability has been a major concern due to its limited transaction throughput and high fees. To address these limitations, Polygon has emerged as a sidechain solution that facilitates asset transfers between Ethereum and…

Distributed, Parallel, and Cluster Computing · Computer Science 2025-04-23 Tao Yan , Chuanshan Huang , Claudio J. Tessone

Maximal Extractable Value (MEV) in Constant Function Market Making is fairly well understood. Does having dynamic weights, as found in liquidity boostrap pools (LBPs), Temporal-function market makers (TFMMs), and Replicating market makers…

Trading and Market Microstructure · Quantitative Finance 2024-04-26 Matthew Willetts , Christian Harrington

MEV attacks have been an omnipresent evil in the blockchain world, an implicit tax that uninformed users pay for using the service. The problem arises from the miners' ability to reorder and insert arbitrary transactions in the blocks they…

Cryptography and Security · Computer Science 2022-11-29 Dev Churiwala , Bhaskar Krishnamachari

Layer 2 rollups are rapidly absorbing DeFi activity, securing over $40 billion and accounting for nearly half of Ethereum's DEX volume by Q1 2025, yet their MEV dynamics remain understudied. We address this gap by defining and quantifying…

Computational Engineering, Finance, and Science · Computer Science 2025-08-07 Ozan Solmaz , Lioba Heimbach , Yann Vonlanthen , Roger Wattenhofer