What Are ‘MEV-Boost’ and ‘Proposer-Builder Separation (PBS)’?
MEV-Boost is a software used by Ethereum validators to outsource the block-building process to specialized 'builders' who compete to create the most profitable block (including MEV). Proposer-Builder Separation (PBS) is the long-term protocol goal to formally separate the roles of block proposer (validator) and block builder to democratize MEV and reduce centralization risk.
Glossar
Block Builder
Architecture ⎊ Block Builder, within cryptocurrency and financial derivatives, represents a foundational layer for constructing complex trading strategies and decentralized applications.
PBS
Definition ⎊ Proposer-Builder Separation (PBS) is a mechanism designed to enhance network security and mitigate the negative effects of Maximal Extractable Value (MEV).
MEV-Boost
System ⎊ MEV-Boost is a specific implementation framework, often used in Proof of Stake networks, that facilitates the separation of duties between block builders, who construct optimized transaction bundles to maximize MEV, and block proposers, who select the most profitable bundle for inclusion.
Block Proposer
Selection ⎊ Block Proposer functionality within a Proof-of-Stake consensus mechanism represents a critical node responsible for curating the next block of transactions, directly influencing network throughput and security.