A MEV powered staking pool on Solana, what does that mean? Lets dive in...
MEV (maximum extracted value) rewards come from using arbitrage possibilities across the chain. Validators control the network and they can adjust the order of transaction. A Solana validator is able to use a % of their transaction power to push their own transactions, with this space your able to fill the arbitrage options in the network. So for example someone wants to Buy token A with token B and is using Pool A, you see that in Pool B you can get a better price, You quickly swap those tokens in pool B and then extract and deposit them in Pool A, so you can fill the buy order, all in a few milliseconds. (so this is automated with bots)
On ETH this is a proven concept, with some MEV enabled validators doing 30% better then others in a epoch. However Solana works at a different speed so it will be a slightly tougher game but could be lucrative. So far its not doing anything near that, but with more adoption more arbitrage opportunity come and they can do more trades. Show Less
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