Author: alicexbt 2022-05-20 23:23:58
Published on: 2022-05-20T23:23:58+00:00
MEV (Miner-extractable value) is a problem associated with complex smart contracts. MEV simply means miners can analyze the contract execution and order transactions in such a way that it is most profitable for them. Sandwich attacks could also take place, where an attacker looks for buy orders in mempool, buy before others and profit from selling at a higher price. The solution to this problem could be privacy, i.e., keeping contract details as little-revealed as possible. One of the proposed solutions is Taproot, which allows only one branch at a time to be revealed. In addition, covenant mechanisms that require large witness data are more vulnerable to MEV. If one disputant needs to use a large witness data while the other requires a smaller one, then the miner would prefer the smaller-witness branch of the contract.
Updated on: 2023-06-15T21:16:33.420096+00:00