MEV Redistribution Experiments

MEV redistribution is the hot experiment in transaction ordering. Instead of searchers keeping all extracted value, some flows back to users. The implementations vary widely.

MEV-Share style auctions let searchers bid for order flow. Users get a cut of the winning bid. Simple mechanism, meaningful returns on large trades. The kickbacks add up.

Application-specific approaches go further. DEXs that capture their own MEV and distribute to LPs. Lending protocols that internalize liquidation profits. The value stays in the ecosystem.

The measurements are tricky. How much MEV would have been extracted without protection? Hard to know counterfactuals. The claimed savings might be optimistic.

Private mempools became the infrastructure enabling this. Transactions hidden from public searchers. Only approved parties see order flow. Privacy as the first step to redistribution.

Routing trades through MEV-protected channels is becoming common. The extra few cents per trade aren't life-changing but it's the principle. Value should flow to users not extractors.