Solana Labs Co-founder Proposes Competition-Driven Solution to MEV

IconCryptoNewsTerminal Staff11 Jun, 2024

cryptonews.jpg

Solana Labs Co-founder Proposes Competition-Driven Solution to MEV

Solana (SOL) Labs co-founder Anatoly Yakovenko has proposed a solution to mitigate MEV (Miner Extractable Value), a prevalent challenge in the blockchain industry. MEV is the practice employed by block producers, miners, and validators to maximize their block reward by inserting or reordering transactions within a block. To address this issue, Yakovenko suggests promoting competition among block builders. "Block builders should compete with each other to the maximum extent possible," he stated. "Users should have the freedom to choose which block builder processes their transactions." Yakovenko believes that increasing the number of block builders will reduce user wait times for optimal offers and transaction inclusion. He even proposes the idea of block builders resorting to rebates to secure transaction processing opportunities. By fostering competition among block builders, Yakovenko aims to create a more balanced and fair ecosystem that prioritizes user needs. This solution aligns with Solana's commitment to innovation and scalability in the blockchain space.

Related News