Ethereum MEV Extraction and Rewards - Discussion & Policy Groundwork

One possible reason may be something like using the allow list as a “lobby” for the must-include list where relays can be added there and after a period of (opt-in) usage – provided the relays are performing well and reputably – they can be moved to the must-include.

This would allow us to be a little bit more optimistic/agile while adding new relays.

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This basically means that to reduce operation friction as a DAO we can build an onchain registry of must-include relays which is regularly fetched by mev-boost software running by Lido NOs. I am not sure how hard is to make it read that list from smart contract instead of config.

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Agree an onchain relay registry is good.

That said, my understanding is that MEV-boost cannot read directly from the chain because it cannot “pull” info from EL or CL clients, but we could develop an open source tool/script that operators could run alongside MEV-boost that would query their nodes and take the output and merge it into their MEV-boost config (locally).

MEV-boost functionality may be implemented (it’s being discussed) to read things like relay lists from an API, but not sure we want such a centralized vector.

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I don’t have anything against MEV-boost, but curious if there are any other teams that have reached out with other tools for MEV extraction? If not, can we post from the official Lido Twitter handle for a public call to any additional input from other teams?

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That’s a good idea! @kethfinex is that something we can do? Tweet thread to (a) kinda summarize what this topic is about (b) open call for any interested parties to come forward?

There are some teams which have reached out that are interested and/or are working on tools (e.g. extraction & block building infra) or aim to be providing relays for MEV boost, but I think it’s best if they speak up for themselves rather than me potentially conveying something incorrectly or out of turn.

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Flashbots is planning to censor transactions, there’s a PR on their repo to fix this: Removes OFAC blacklist. by MicahZoltu · Pull Request #92 · flashbots/rpc-endpoint · GitHub

Censorship should alert everybody. Allowing one country to dictate what transactions are possible on a globally scaled network is cumbersome.

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I’d like to get a statement from DAO leaders on this as well. As of right now, it is undetermined whether the main Flashbots MEV-boost relay will be censoring OFAC-sanctioned addresses. If it does, will the Lido DAO commit to using a different non-censoring relay, or if one is not available, commit to not using MEV-boost at all?

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We will likely ask operators to use multiple relays.

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