According to WuSaid, the European Securities and Markets Authority (ESMA) defines the maximum extractable value (MEV) as a clear example of illegal market abuse in its draft technical standards under the proposed Markets in Crypto-Assets (MiCA) regulation. Crypto commentator Patrick Hansen pointed out that almost all EU-regulated crypto businesses, including exchanges and brokers, are required to detect and report MEV instances through comprehensive "suspicious transaction or order reports" (STORs).
Actors involved in MEV may face investigations and enforcement actions not only from EU regulators, but also from international regulators. The deadline for consultation feedback set by ESMA is June 25, and the final standard is expected to have a significant impact on the EU crypto regulatory environment.
