Sanction enforcement on public blockchains fails when freezes lose the race to transfers, creating MEV for block producers, as evidenced by 7.3% USDT and 18.7% USDC evasion rates in a new dataset and a game model showing issuers must enter the ordering market.
Frontrunner jones and the raiders of the dark forest: An empirical study of frontrunning on the ethereum blockchain
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Ordering Power is Sanctioning Power: Sanction Evasion-MEV and the Limits of On-Chain Enforcement
Sanction enforcement on public blockchains fails when freezes lose the race to transfers, creating MEV for block producers, as evidenced by 7.3% USDT and 18.7% USDC evasion rates in a new dataset and a game model showing issuers must enter the ordering market.