⚠️ MEV & Censorship: Sequencer Power

Learn about front-running risks and centralization concerns

Watch how rollups batch transactions

⚠️ MEV & Censorship Risks

Centralized sequencers create opportunities for MEV extraction and censorship. Understanding these risks is essential for both users and protocol designers.

MEV on L2
$50M+

Estimated annual extraction

Sequencer Power
100%

Control over ordering

Censorship Cost
$0

No penalty (currently)

🎯 MEV Attack Simulator

Select a MEV attack type to understand how sequencers can extract value from their privileged position.

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Front-Running

Sequencer sees profitable transaction and inserts their own transaction before it

Impact
High
Frequency
Common
Profit
$50-5000 per tx
Real Example:

User swaps $100K DAI→ETH. Sequencer buys ETH first, then user's swap executes at worse price.

Mitigation Strategies:
βœ“Private mempools
βœ“Fair ordering protocols
βœ“MEV-sharing mechanisms
βœ“Encrypted txs

🚫 Censorship Impact Calculator

Adjust censorship level to see how transaction filtering affects the network and users.

0% (none)20% (severe)
Inclusion Time100ms

Time until tx included

Fairness Score100/100

User perception of fairness

User Trust100/100

Protocol credibility

Sequencer Profit+0%

Additional MEV revenue

πŸ›‘οΈ Protection Mechanisms

Forced Inclusion Queue

Users can submit transactions directly to L1 that the sequencer must include within a time limit (e.g., 24 hours).

Proof of Censorship

Cryptographic proofs that sequencer excluded valid transactions. Can trigger slashing or penalties.

Private Mempools

Flashbots Protect, MEV Blocker, and other services hide transactions until execution.

MEV-Share Programs

Redistribute MEV profits back to users instead of only to sequencer operators.

← Ordering Strategies