Ethereum Developers Put Forward a MEV Burning Mechanism

Justin Drake, an Ethereum developer, has proposed a technique for softening and redistributing MEV peaks through burning as part of the concept of “separation of proposer and creator of the block” (PBS).

This concept was highlighted by Vitalik Buterin, co-founder of Ethereum, in July 2022 as one of the most important future alterations to the network.

The division of roles between validators is thought to enable the economics of MEV extraction to be reconfigured and to facilitate the implementation of sharding to vastly increase network throughput.

Nevertheless, researchers of Ethereum report that even though the upgrade is in an “advanced stage,” prototypes in clients are expected within the next year.

The developers declared that their MEV burning strategy is a simple addition to PBS and will provide economic and safety benefits akin to those of EIP-1559.