# Block Builder Profitability | December 2023 - January 2024
**URL:** https://collective.flashbots.net/t/block-builder-profitability-december-2023-january-2024/3084
**Category:** Data
**Tags:** mev-boost
**Created:** [February 22, 2024, 12:27pm UTC](https://collective.flashbots.net/t/block-builder-profitability-december-2023-january-2024/3084 "2024-02-22T12:27:52Z")
**Posts on this page:** 3
**Page:** 1
### Author:  [@OreoMev](https://collective.flashbots.net/u/OreoMev)
#### Post date: [February 22, 2024, 12:27pm UTC](https://collective.flashbots.net/t/block-builder-profitability-december-2023-january-2024/3084/1 "2024-02-22T12:27:53Z")
# Block Builder Profitability | December 2023 - January 2024
This report offers insight into block-building profitability for December 2023 and January 2024.
## TL;DR
- We use previously introduced concept of adjusted profit to explain a builder’s on-chain net profit.
- New adjustment, based on ultrasound adjusted bids (Fee payer address)
- Total adjusted profit in the months of December and January is 4,113 ETH (811 ETH/month higher than November 2023
- Four builders dominate the market (with 92% of total adjusted profit - Down from 5 in November 2023)
- 15 builders each exceeded adjusted profit of 1 ETH per month (up from 14 builders in November)
- There are a couple of new builders, subsidizing their blocks
- [Penguinbuild.org](http://Penguinbuild.org) appears to be the first “new” builder that turned profitable after subsidizing their blocks for few months
- You can now look at hourly updated data on builder profitability on [Eden Data Dashboard](https://data.edennetwork.io/)
- Impostor builders stopped spoofing Flashbots builder
## Most Profitable Builders - Earned at least 1 ETH:
| Rank | Builder | Adj. Profit | MEV-Boost Value | Blocks | Profitable Blocks | Subsidy Blocks | Zero Profit Blocks | Total Subsidy |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 1. | [beaverbuild.org](http://beaverbuild.org) | 2,560.687 | 15,703.780 | 128931 | 59906 | 51927 | 17098 | -52.806 |
| 2. | rsync-builder | 542.435 | 13,128.628 | 101,436 | 35,532 | 15,315 | 50589 | -43.320 |
| 3. | Titan Builder | 449.478 | 10,584.613 | 91,360 | 18,859 | 36,414 | 36087 | -49.229 |
| 4. | builder0x69 | 232.198 | 1,443.378 | 11,677 | 2,837 | 8,840 | 0 | -3.785 |
| 5. | Anon:0x83bee | 215.224 | 832.745 | 551 | 551 | 0 | 0 | 0 |
| 6. | BuildAI | 75.121 | 301.278 | 1289 | 1,007 | 282 | 0 | -0.236 |
| 7. | Anon:0xb3a6d | 70.486 | 225.473 | 324 | 324 | 0 | 0 | 0 |
| 8. | Gambit Labs | 18.335 | 706.940 | 7623 | 1037 | 6204 | 382 | -16.890 |
| 9. | lokibuilder.xyz | 13.058 | 85.344 | 2258 | 583 | 1462 | 213 | -3.950 |
| 10. | from f1b | 9.375 | 277.914 | 2809 | 728 | 2081 | 0 | -2.886 |
| 11. | @builder0x69 | 6.612 | 205.769 | 1697 | 367 | 1330 | 0 | -0.623 |
| 12. | [f1b.io](http://f1b.io) | 5.701 | 223.462 | 2534 | 565 | 1969 | 0 | -3.852 |
| 13. | [https://eth-builder.com](https://eth-builder.com) | 3.712 | 243.488 | 587 | 412 | 175 | 0 | -0.223 |
| 14. | bobTheBuilder | 3.030 | 35.438 | 172 | 35 | 0 | 137 | 0 |
| 15. | [payload.de](http://payload.de) | 2.504 | 11.629 | 108 | 84 | 24 | 0 | -0.016 |
| 16. | Other | 5.809 | 11.629 | 22,184 | 934 | 43 | 21,207 | -0.109 |
Notes:
1. Official builder pubkeys were used when available (published on docs or websites of the builder), for other builders `extra_data` was used to identify the builder
2. Two anonymous builders (tagged as `Anon:0x...`) were tagged as they were significantly profitable, compared to other builders that did not use any extra data
3. The category ‘Other’ is grouped by all block builders that still made some profit or were balance neutral; all builders with negative profit were excluded
4. Query for generating this results can be found here: [BigQuery stored query](https://console.cloud.google.com/bigquery?sq=539899824899:3ff90637c134413ca2dfd81bee1cd59a)
## Most Profitable Blocks (Adjusted)
| Builder | Block Number | Adj. Profit | MEV-Boost Value | Builder Received | Profit Margin |
| --- | --- | --- | --- | --- | --- |
| [beaverbuild.org](http://beaverbuild.org) | 18926794 | 204.20716 | 39.43582 | 243.71915 | 83.79 % |
| builder0x69 | 18926740 | 130.5213 | 73.78782 | 204.31288 | 63.88 % |
| [beaverbuild.org](http://beaverbuild.org) | 18926741 | 106.93103 | 29.15827 | 136.09314 | 78.57 % |
| Anon:0x83bee | 18805877 | 83.96484 | 141.83183 | 225.79751 | 37.19 % |
| [beaverbuild.org](http://beaverbuild.org) | 18734327 | 58.26454 | 25.48923 | 83.75448 | 69.57 % |
| [beaverbuild.org](http://beaverbuild.org) | 18926696 | 43.38697 | 15.22637 | 58.61446 | 74.02 % |
| [beaverbuild.org](http://beaverbuild.org) | 18778112 | 32.86571 | 39.54338 | 72.4102 | 45.39 % |
| [beaverbuild.org](http://beaverbuild.org) | 18926745 | 30.14074 | 13.92021 | 44.06492 | 68.40 % |
| [beaverbuild.org](http://beaverbuild.org) | 19114847 | 25.15461 | 3.50939 | 28.66437 | 87.76 % |
| [beaverbuild.org](http://beaverbuild.org) | 18926746 | 25.06144 | 17.82014 | 42.88593 | 58.44 % |
Notes:
1. Profit Margin is calculated with the following formula: `100 * (profit / (sent_to_builder + miner_rewards))`
2. Builders are identified where possible with pubkey tags and `extra_data` as a fallback
3. Query for generating this results can be found here: [BigQuery stored query](https://console.cloud.google.com/bigquery?sq=539899824899:8a6ad452f162469a80e27c5c0e578bf5)
## New adjustment
Ultrasound relay introduced adjusted bids (you can read more about them [here](https://gist.github.com/blombern/c2550a5245d8c2996b688d2db5fd160b)), which introduce new concept in block building - Relay-controlled fee payer address.
This is an address, which is funded by builders (sometimes directly from builder coinbase, sometimes via CEX or external address) and is used by relay to create Mev-Boost payments, adjusted according to their new system (Second best bid + 1 wei)
This creates situations where builders accumulates value on their coinbase addresses, but Mev-Boost payments to validators are sent from a different address (the fee payer). Because of this, the previously introduced adjustments _Account Linked to Builder Costs_ and _Account Linked to Builder Profit_ are used together.
Simple explanation:
1. Builder A accumulates block value on Address 0xBUILDER - 0,4 ETH
2. Builder A sends their bid of 0,39 ETH to Ultrasound relay
3. Ultrasound relay adjusts their bid to 0,35 ETH
4. Mev-Boost transaction is sent from 0xFEE\_PAYER
Without the adjustment we assume profit of 0,4 ETH, as the builder does not send anything to the validator. This actually accounts for significant differences between the adjusted and unadjusted builder profits (incorrectly reporting up to 7x higher profits in the past two months).
The list of fee payer addresses used in this adjustment was composed based on research and may be incomplete, as they are not publicly reported by builders or relays at this time.
## Conclusions
- Four builders continue to dominate the market
- Total adjusted on-chain profit for builders grew by ~25% compared to November 2023
- Second-price auction introduced by ultrasound relay
- Subsidy starting to work for penguinbuilder
### Data Sources
Data sources used in this research:
- `eden-data-public.ethereum_auxiliary.tags_pubkey`
- `eden-data-public.mev_boost.payloads`
- `bigquery-public-data.crypto_ethereum.transactions`
- `bigquery-public-data.crypto_ethereum.blocks`
- `bigquery-public-data.crypto_ethereum.traces`
[Learn more about Eden Public Datasets](https://docs.edennetwork.io/public-data/overview)
---
### Author:  [@boz1](https://collective.flashbots.net/u/boz1)
#### Post date: [February 22, 2024, 12:31pm UTC](https://collective.flashbots.net/t/block-builder-profitability-december-2023-january-2024/3084/2 "2024-02-22T12:31:39Z")
Will it be possible at some point to query bid/payload data older than a month on bigquery?
---
### Author:  [@OreoMev](https://collective.flashbots.net/u/OreoMev)
#### Post date: [February 22, 2024, 3:17pm UTC](https://collective.flashbots.net/t/block-builder-profitability-december-2023-january-2024/3084/3 "2024-02-22T15:17:36Z")
Hey,
reach out on our Eden Newtork discord under #public-data and we can discuss, definetly possible.
Discord link:
> **[Join the Eden Network Discord Server!](https://discord.com/invite/gfdZJ2zyNC)**
>
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