MEV (Maximal Extractable Value)
The profit that block producers can extract by reordering, inserting, or censoring transactions within a block.
Explained Simply
MEV refers to the value that validators and miners can capture by manipulating the order of transactions in a block. Common MEV strategies include front-running (placing a transaction before a known trade), sandwich attacks (buying before and selling after a large swap), and liquidation hunting. MEV is often invisible to regular users but can result in worse execution prices on DEX trades. MEV protection tools like Flashbots and private transaction pools help users avoid being exploited.
Example
A MEV bot detects your large Uniswap swap in the mempool, buys the token before your trade (raising the price), then sells after you buy — profiting from the price impact you caused.
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