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Can Layer 2 Scaling Solutions Inherently Reduce the Opportunity for MEV Front-Running?

Yes, Layer 2 (L2) solutions, particularly rollups, can reduce MEV front-running opportunities. L2s often use a sequencer to batch and order transactions before submitting them to Layer 1.

If the sequencer implements a fair ordering policy (e.g. strict first-in, first-out) and keeps the pending transaction pool private, it can mitigate front-running. The lower transaction costs and higher throughput on L2s also reduce the profit margin for gas-fee-based front-running.

How Can a Decentralized Sequencer Prevent MEV in Layer 2 Rollups?
What Is the Concept of a “Fair Ordering” Mechanism in Blockchain?
What Is “Impermanent Loss” in the Context of DeFi Smart Contracts, and How Do L2s Indirectly Mitigate It?
What Is the Role of the “Sequencer” in the Layer 2 Transaction Process?