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Grug Capital – Grug (Finally) Teaches Us MEV (S6E12)
Flirting with Models
The Evolution of Flashbots
Flashbots was created to fix the inefficient communication channel between bots and miners, which resulted in negative externalities for users due to MEV extraction. Before Flashbots, MEV opportunities involved competition among searchers with no effective communication with block producers for transaction ordering preferences. This led to spam, transaction reverts, network congestion, inflated gas fees, and scarce block space. Flashbots recognized these problems and aimed to mitigate the negative effects of MEV on users. While Flashbots is a research organization, it also builds MEV infrastructure.
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