New trend in Ethereum transactions: private order flows dominate, protecting users from MEV
Blocknative released a shocking report on August 20, revealing that the Ethereum transaction ecosystem is undergoing major changes! To protect transaction security, users have turned to private order flows, which now dominate Ethereum order flows. Although private orders only account for about 30% of the overall transactions, they surprisingly consume more than half of the gas resources on the network.
The report pointed out that private order flows effectively avoid the MEV (maximum extractable value) risk in the public transaction pool by establishing a "dark pool" mechanism to send transactions directly to validators, that is, the behavior of automatic trading robots giving priority to executing transactions and harming user interests. This shift not only reshaped the Ethereum transaction landscape, but also gave birth to a new centralized carrier, because only licensed network participants can access these private transaction order flows.
With the growing demand for transaction security and privacy protection from users, the rise of private order flows has undoubtedly brought far-reaching impacts to the Ethereum ecosystem, heralding the arrival of a safer and more efficient trading era.
