Blockchain developer Skale Labs has announced its attempt to address Maximal Extractable Value (MEV).
Called Blockchain Integrated Threshold Encryption, or BITE, the protocol operates at the consensus layer, encrypting transactions so that not even validator nodes can see what transactions they are including in their blocks.
Because transactions are encrypted before they enter the mempool and only decrypted by validators after block finalization, BITE stops front-running, sandwich attacks, and other transaction exploits.
BITE’s creator and Skale Labs’ co-founder Stan Kladko claims this is the first time MEV has been dealt with at the consensus level without sacrificing performance or decentralization.
“Blockchain gaming has faced the same transaction vulnerabilities as DeFi, where players trading assets or making strategic moves can be exploited through front-running and other MEV tactics,” commented Skale Labs’ CEO Jack O’Holleran.
“BITE Protocol creates the fundamental infrastructure for truly fair gaming, where no participant can see transaction contents before finalization. This prevents both sophisticated players and bots from gaining unfair advantages, enabling game developers to design gameplay experiences where strategic timing and fair execution are guaranteed – opening the door for mainstream web3 gaming adoption.”