In recent news, several MEV bots, commonly known as sandwich bots, have been targeted by malicious Ethereum validators. These validators have reportedly attacked the transfers made by MEV bots, invalidating their transfers and replacing them with their own. As a result, the MEV bots lost a staggering $25M.
Reports suggest that the attacker obtained validator status around 18 days ago and the funds in question are believed to have come from Aztec, a privacy protocol. This attack is suspected to have been pre-planned and well-coordinated, resulting in the significant loss of funds.
According to a Twitter user named “3155.eth,” who regularly reported about the attack, the incident may mark the end of sandwich bots. The user emphasized the need for a thorough investigation into the matter.
Ethereum’s Anti-Censorship Ethos Reverses
Additionally, Ethereum’s “censorship” stance appears to have undergone a shift in the past six months. Following the imposition of sanctions by the Office of Foreign Asset Control on Tornado Cash-related transfers to US residents in August, several OFAC-compliant blocks have been added to Ethereum. This has resulted in a decrease in the proportion of “censored” blocks.
This reversal is significant as it runs counter to the network’s anti-censorship approach. Data provided by MEV Watch shows that only one in every three blocks on the Ethereum blockchain is OFAC compliant, indicating that two-thirds of the blocks are not compliant with OFAC regulations.
Conclusion
The recent attack on MEV bots highlights the need for increased security measures to protect against malicious validators. The incident also sheds light on the evolving stance of Ethereum on censorship and compliance with regulatory bodies. As the network continues to grow, it will be essential to strike a balance between maintaining its decentralized nature and complying with regulatory requirements.
