Quantifying Total Extracted MEV -- A List of Resources

Hey! Making public a list of resources for an event thrown in January 2022 looking at the MEV industry in 2021 (MEV in 2021 – A Year in Review). In particular, a presentation I gave there was focused on quantifying extracted MEV on several chains (Ethereum, BSC, Polygon, Avalanche). Below is the data I used and would use if I would re-do the exercise this year consisting in trying to quickly estimate a lower bound for Total Extracted MEV.

Per Domain

for Ethereum:

  • MEV-Explore https://explore.flashbots.net & mev-inspect-py
    • for completeness, i recommend to use mev-inspect-py since mev-explore filters out some forms of MEV.
  • for MEV-Boost data in particular, there are several sources to use but ‘extracted MEV’ shouldn’t have changed a lot from PoW to PoS so the above should work!

for Polygon:

for Avalanche:

  • below are screenshots of Parsec numbers. Thanks to Will Sheehan for sharing these numbers. Will Sheehan is the person to talk to for updated numbers!

  • here is an exchange with Will (Parsec) from back then:
  • Alex: do you have any data before August? what's the methodology to determine what's an arb? what about methodology to convert to USD?
  • Will Sheehan: august 1 is as far back as our data goes currently. methodology was uniswap-v2 style Swap() that are chained amountOut = amountIn on the inside and same currecny on the bookends
  • daily converts of avax -> USD, only other loops I looked at were stables
  • Alex:
  • I seee, thank you this is super helpful
  • and how big do you think liquidations are on top of that $18.8m?
  • Will Sheehan:
  • I can run a few quick scripts to estimate in a few hours, my guess would be less but substantial, maybe 2-5ish
  • August 1 is start date for both!

for BSC:

here is some additional info from exchange with them:

  • Alex: How do you define 'spatial' as a category? how do you define 'combination'?
    • EigenPhi: An arbitrage deal involving two tokens and traded between two different LPs (markets), is a spatial deal. A combination can involve multiple tokens (four or even more) in one arbitrage deal, or one smart contract contains multiple spatial and triangular deals.
  • Alex: What's the methodology to determine that a trade is an arbitrage? What's the methodology to convert to USD?
    • EigenPhi: A long story to short, our methodology aims to reduce multiple transactions to a simple one which makes profits out of those multiple transactions in one smart contract.
  • Alex: Does an arbitrage transaction profit discount the transaction fee that tx paid?
    • EigenPhi: Yes, gas fee deducted
  • Alex: Do you have some idea of what the activity was like before June 2021? On DefiLama I can see that BSC TVL grew April/May, so I assume arb activity before June was quite low or non-existent?
    • EigenPhi: Sorry I'm afraid we're not able to comment due to lack of original data. We may look back the data of 2021 Jan - May once we have resources.
  • Alex: I can see you don't quantify liquidations currently, is that something you're thinking of doing in the future? :)
    • EigenPhi: Yes

for Solana:

  • here is a dashboard from Jito Network - Retool

for Cosmos:

what’s missing/could help?

  • L2s – we have a few research proposals to work on this. see for eg Quantifying MEV on L2s
  • Avalanche – there are known searchers that can be asked for ballpark figures for 2021 & 2022.
  • Fantom & some other chains, also have known searchers can ask!
  • cross-domain – there isn’t a clear-cut methodology for how to estimate this yet although it’s exciting to try. see also: We're going to estimate a lower bound of cross-domain MEV. there are some internal efforts at flashbots to do this better :slight_smile: happy to jam on this here too!
  • CEX-DEX stat arb – some of it is encompassed in the above but not fully probably, this is also probably a large chunk (and multiples bigger than all on-chain MEV today).

add your own in this thread!

tangential content:


Fastlane finance I think may be coming out with a data dashboard soon-ish


Also I believe you attempted to estimate this last year, but I have not yet seen anything that quantifies magnitude of MEV extracted for NFTs / “web3” gaming. I’m sure it exists but have no idea how big the issue is

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