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Maximal Extractable Value, or MEV, remains a structural threat to blockchain fairness because a block producer can often observe pending transactions and unilaterally decide their ordering or inclusion. Existing mitigations hide transaction…

Cryptography and Security · Computer Science 2026-04-10 Jian Sheng Wang

We describe a mechanism to create fair and explainable incentives for software developers to reward contributions to security of a product. We use cooperative game theory to model the actions of the developer team inside a risk management…

Software Engineering · Computer Science 2023-09-12 Stefan Rass , Martin Pinzger

Block production on the Ethereum blockchain has adopted an auction-based mechanism known as Proposer--Builder Separation (PBS), where validators outsource block creation to builders competing in MEV--Boost auctions for Maximal Extractable…

Computer Science and Game Theory · Computer Science 2025-10-01 Fei Wu , Thomas Thiery , Stefanos Leonardos , Carmine Ventre

Modern blockchains increasingly rely on parallel execution to improve throughput. We show several industry and academic transaction fee mechanisms (TFMs) struggle to simultaneously account for execution parallelism while remaining…

Cryptography and Security · Computer Science 2026-04-07 Sarisht Wadhwa , Aviv Yaish , Fan Zhang , Kartik Nayak

This paper studies the optimal transaction fee mechanisms for blockchains, focusing on the distinction between price-based ($\mathcal{P}$) and quantity-based ($\mathcal{Q}$) controls. By analyzing factors such as demand uncertainty,…

General Economics · Economics 2025-02-26 Abdoulaye Ndiaye

A blockchain, such as Bitcoin, is an append-only, secure, transparent, distributed ledger. A fair blockchain is expected to have healthy metrics; high honest mining power, low processing latency, i.e., low wait times for transactions and…

Cryptography and Security · Computer Science 2020-03-03 Shoeb Siddiqui , Ganesh Vanahalli , Sujit Gujar

Possible manipulation of user transactions by miners in a permissionless blockchain systems is a growing concern. This problem is a pervasive and systemic issue, known as Miner Extractable Value (MEV), incurs highs costs on users of…

Cryptography and Security · Computer Science 2023-07-06 Bulat Nasrulin , Georgy Ishmaev , Jérémie Decouchant , Johan Pouwelse

We describe a plausible probabilistic model for a blockchain queueing environment in which rational, profit-maximising schedulers impose adversarial disciplines on incoming messages containing a payload that encodes a state transition in a…

Probability · Mathematics 2023-02-17 Andrew W. Macpherson

In the context of blockchain, MEV refers to the maximum value that can be extracted from block production through the inclusion, exclusion, or reordering of transactions. Searchers often participate in order flow auctions (OFAs) to obtain…

Computer Science and Game Theory · Computer Science 2025-02-25 Rasheed , Parth Desai , Yash Chaurasia , Sujit Gujar

As blockchains begin processing significant economic activity, the ability to include and order transactions inevitably becomes highly valuable, a concept known as Maximal Extractable Value (MEV). This makes effective mechanisms for…

Distributed, Parallel, and Cluster Computing · Computer Science 2025-04-25 Robin Fritsch , Maria Inês Silva , Akaki Mamageishvili , Benjamin Livshits , Edward W. Felten

This paper investigates how pricing schemes can achieve efficient allocations in blockchain systems featuring multiple transaction queues under a global capacity constraint. I model a capacity-constrained blockchain where users submit…

General Economics · Economics 2025-02-26 Abdoulaye Ndiaye

Given the low throughput of blockchains like Bitcoin and Ethereum, scalability - the ability to process an increasing number of transactions - has become a central focus of blockchain research. One promising approach is the parallelization…

Computer Science and Game Theory · Computer Science 2025-08-11 Bahar Acilan , Andrei Constantinescu , Lioba Heimbach , Roger Wattenhofer

This paper proposes a model that enables permissionless and decentralized networks for complex computations. We explore the integration and optimize load balancing in an open, decentralized computational network. Our model leverages…

Computational Finance · Quantitative Finance 2025-01-03 German Rodikov

Permissionless blockchains such as Bitcoin have excelled at financial services. Yet, opportunistic traders extract monetary value from the mesh of decentralized finance (DeFi) smart contracts through so-called blockchain extractable value…

Cryptography and Security · Computer Science 2021-12-13 Kaihua Qin , Liyi Zhou , Arthur Gervais

Committee-based blockchains are among the most popular alternatives of proof-of-work based blockchains, such as Bitcoin. They provide strong consistency (no fork) under classical assumptions, and avoid using energy-consuming mechanisms to…

Distributed, Parallel, and Cluster Computing · Computer Science 2019-10-23 Yackolley Amoussou-Guenou , Antonella del Pozzo , Maria Potop-Butucaru , Sara Tucci-Piergiovanni

Tradable mobility credit (TMC) schemes are an approach to travel demand management that have received significant attention in recent years. This paper proposes and analyzes alternative market models for a TMC system -- focusing on market…

Maximal Extractable Value (MEV) drives the prosperity of the blockchain ecosystem. By strategically including, excluding, or reordering transactions within blocks, block producers can extract additional value, which in turn incentivizes…

Cryptography and Security · Computer Science 2024-10-11 Tianyang Chi , Ningyu He , Xiaohui Hu , Haoyu Wang

Data sharing is very important for accelerating scientific research, business innovations, and for informing individuals. Yet, concerns over data privacy, cost, and lack of secure data-sharing solutions have prevented data owners from…

Distributed, Parallel, and Cluster Computing · Computer Science 2022-04-20 Vikas Jaiman , Leonard Pernice , Visara Urovi

Multi-block MEV (MMEV) denotes the practice of securing k-consecutive blocks in an attempt at extracting surplus value by manipulating transaction ordering. Following the implementation of pro-poser/builder separation (PBS) on Ethereum,…

Cryptography and Security · Computer Science 2023-06-13 Johannes Rude Jensen , Victor von Wachter , Omri Ross

In cryptocurrencies, transaction fees are typically exclusively paid in the native platform currency. This restriction causes a wide range of challenges, such as deteriorated user experience, mandatory rent payments by decentralized…

Computers and Society · Computer Science 2020-04-20 István András Seres