MEV Hurting DeFi Adoption & User Savings: Crypto Exec Says.

The practice of Maximal Extractable Value (MEV) is hindering the widespread adoption of decentralized finance (DeFi), according to Aditya Palepu, CEO of DEX Labs and contributor to the DerivaDEX decentralized crypto derivatives exchange. His view is that MEV, which allows miners or validators to reorder transactions for profit, prevents financial institutions from entering the DeFi space, ultimately harming retail users. Palepu explains this challenge stems from the information asymmetry inherent in trading order data. 1st-order price change can be used for front-running and manipulation of prices, and that’s a major reason why MEV is creating issues.