Distribution of MEV Across Blockchain Participants

Determine how Miner/Maximal Extractable Value (MEV) and other application-layer rewards are distributed among blockchain ecosystem participants, including wallet providers, block builders, and mining or staking pools, and characterize how this distribution affects consensus incentives and strategic behavior.

Background

The paper introduces a general framework for modeling miner rewards in longest-chain protocols via a reward function with properties such as staticness, view-independence, and persistence, and analyzes the profitability of cutoff selfish mining strategies under multiple concurrent reward sources.

Despite this modeling progress, the authors highlight that real-world reward flows involve multiple actors beyond miners. Understanding how MEV and related application-layer revenues are divided among wallet providers, block builders, and mining/staking pools is necessary to accurately capture incentives and predict strategic behavior in blockchain ecosystems.