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<Idea> MEV For All Validators on BNB Chain #1364

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DcKingT opened this issue Mar 17, 2023 · 3 comments
Closed

<Idea> MEV For All Validators on BNB Chain #1364

DcKingT opened this issue Mar 17, 2023 · 3 comments

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@DcKingT
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DcKingT commented Mar 17, 2023

To ensure further decentralization and allowing BNB Chain to grow more organically, there is a need to allow MEV to flourish amongst validators. A balanced and inclusive DeFi ecosystem promotes the right MEV behaviors.

Thanks bloXroute for the earlier highlight.
bnb-chain/BEPs#177

To put it simply now the situation now on BSC -

  1. Only few validators are capable or doing MEV extraction.
  2. MEV captured results in higher APY which encourages delegation to certain validators, resulting in centralization.
  3. BSC community are unsure whether to push ahead with MEV; some validators lack technical expertise to extract MEV.
  4. Cost of running a validator could be high without MEV to improve profitability.

If BNB Chain is to remain credible as a PoS chain, it has to allow MEV to flourish across BSC.

To move ahead:

  • There is a need for the BSC community to come together and share knowledge on MEV solutions.
  • The possibility of collaboration with reliable 3rd party services should be considered and verified

For a chain like BNB Chain to stay competitive, sustainable and equitable, MEV extraction is an unavoidable development component.

@kaber2
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kaber2 commented Mar 19, 2023

While I agree that this would be an improvement, I think its unlikely to happen. Right now BSC seems to be the most corrupt of all blockchains, with (most) miners either doing MEV extraction themselves or selling priviledged access in a non public way. This seems to be tolerated by BSC developers. So the miners don't have any financial incentive to change their ways I suppose.

@yutianwu
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thanks for your suggestion, please refer to this https://github.com/bnb-chain/BEPs/blob/master/BEP1.md for beps, so we can involve the community to discuss.

@zzzckck
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zzzckck commented Dec 13, 2023

@zzzckck zzzckck closed this as completed Dec 13, 2023
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