Interested in MEV? Here are two 0 to 1 #MEV Guide resources, 2 papers, and 1 Sandwich treat!

We all need tools and data like our Sandwich arbitrage module to bring more openness and honesty to DeFi.

There are good #MEVs, and there are bad #MEVs. The good MEVs increase the DeFi market’s efficiency, like arbitrages between various DEX, which is a net positive for the ecosystem. But, on the other hand, bad MEVs like Sandwich arbitrage have been hurting the community by exploiting the everyday traders.

To utilize the chances from good MEVs and avoid being squeezed by Sandwich, you’d better learn a few things or two about MEV.

As the exclusive arbitrage data platform of the industry, EigenPhi has benefited a lot from the resources below. Therefore, we’d like to recommend them to you for a better investment.

Oh, before starting, we’d like to share our latest released Sandwich Arbitrage module on our website. You can discover how many Sandwich arbitrages have happened during certain times, which contracts and transactions have reaped the most profits, how they did it illustrated in the straightforward token flow chart, and their attacking history chart.

If you want to show more sympathy for the victims, you can check out their victim history chart. In this case, there could not be a more accurate quote from historian Robert Thier:

Knowledge is power is time is money.

Here present two 0–1 MEV guide resources:

The 0 to 1 Guide for MEV: compiled by BlockChain at Berkeley, a Student-run organization at UC Berkeley focused on blockchain innovation via education, research, and consulting. This guide has a clearly defined structure, including backgrounds and information from easy to hard for different level readers. The most significant benefit might be: “By the end of this you should be able to build your own MEV Bots.”
The Daily Ape’s MEV resource: Darren Lau, aka Daily Ape, is one of the authors of the famous How To DeFi book series. His page incorporates many insightful Twitter threads, institution research reports, and industry conference slides and summaries. You will be fully equipped after reading all of them, if you can… Also, the deeper rabbit hole on DeFi by this remarkable ape is waiting for the next victim if you can’t help but drench yourself.

The two papers below aim at the same goal as EigenPhi: facilitating transparency in DeFi. A better Web3 needs input across all spectrums.

A2MM: Mitigating Frontrunning, Transaction Reordering and Consensus Instability in Decentralized Exchanges. The paper introduces a new AMM design: an Automated Arbitrage Market Maker, short A2MM DEX. In expectation, A2MM’s revenue allows reducing swap fees by 90%.

A2MM aims to unite multiple AMMs to reduce overheads, costs and increase blockchain security. With respect to Miner Extractable Value (MEV), A2MM serves as a decentralized design for users to atomically collect MEV, mitigating the dangers of centralized MEV relay services.

Unity is Strength: A Formalization of Cross-Domain Maximal Extractable Value. The paper names Cross-Domain Maximal Extractable Value, which is MEV happened multi-chain. Its researchers study the scenarios in which there exists such an incentive regarding the specific MEV and list negative externalities that might arise from cross-domain MEV extraction. In the end, the authors hope this paper:

can serve as the basis for formal analysis tools in the style of those presented in Clockwork Finance, as well as for discussion on how to mitigate the upcoming negative externalities of substantial cross-domain MEV.

That’s it. Feel free to leave comments if you find these resources useful. And you are more than welcome to recommend your MEV material found by you, or better, made by you.

In the end, we all need tools and data like our Sandwich arbitrage module to bring more openness and honesty to DeFi.