The recent exploit on Curve has led Ethereum blocks to be filled with some of the largest MEV transactions. As such a single block generated 584 ETH in rewards.
Curve Finance, one of the biggest DeFi protocols, was targeted in a recent exploit on Sunday. Following this exploit, the front-running transactions surged leading to generate substantial rewards for block producers.
Ethereum developer, eric.eth highlighted the event citing that it has produced some of the largest MEV reward blocks in Ethereum’s history.
While explaining the scenario, Eric.eth said, “A (MEV) bot notices an incoming hack in the mempool, reproduces the tx and front runs it. To do so they pay the block producer a lot of ETH to be at front of the line.”
The MEV bots are designed to make profits from arbitrageurs trades. It do so by analyzing mempool transactions and inserting its own transaction in between to generate post-execution profitable trades.
Among the latest MEV block rewards, the highest was 584.05 ETH – accounting for approximately $1 million – while others were 345 ETH and 247 ETH. In March, similar has happened when memecoins were trending earlier this year.
On late Sunday, several DeFi protocols including Curve were exploited due to a critical vulnerability in Vyper, a programming language used to code smart contracts.
