Manifold Finance has launched a new MEV (Maximal Extractable Value) protocol. It introduces a new auction system that allows multiple winners for each auction slot, as opposed to the predominant ‘one winner per slot’ model in the Ethereum ecosystem.
Manifold Finance says the transition to this new auction system will lay the foundation needed to support advanced applications related to priority-sensitive transactions and multi-slot bidding for block builders.
This new MEV protocol, Manifold Finance claims, can redefine how value is captured and distributed within the Ethereum network, with a focus on providing the most optimal MEV revenue for validators. It is intended to compete with the common MEV protocol offered by Flashbots.
MEV denotes the additional value that blockchain validators – those who create new blocks on the network – can gain by manipulating the order of transactions within the blocks they produce. Entities called block builders on Ethereum capture MEV’s profits by determining the order of transactions and passing them to Ethereum validators.
mevETH integration
A notable feature of the new protocol is the integration of mevETH, a new liquid staking token (LST) that was launched last month. Manifold Finance serves as the infrastructure partner for mevETH.
Manifold Finance confirmed that since August, the MEV protocol’s mevETH has staked more than 28,000 ETH and started receiving rewards. It also unveiled a streamlined process that will allow users to deposit ETH and mevETH directly through its platform.
The project is led by Leo Cheng, co-founder of Cream Finance, while Sam Bacha, founder of Manifold Finance, who previously contributed to Yearn Finance, serves as lead architect.
The initiative has also brought notable figures from the Ethereum community – such as Frax founder Sam Kazemian and 0xMaki – on board as advisors.