Exercise 10: MEV Analysis and Protection Strategies
⏰ Time Investment: 45 minutes 🎯 Goal: Understand MEV impact and implement protection strategies
📚 Required Reading Integration 📖 Primary: Lesson 10: MEV, JIT Liquidity, and Advanced Tactics 📖 Supporting: Lesson 5: Concentrated Liquidity Mastery
🔍 Phase 1: MEV Impact Assessment (20 minutes)
JIT Liquidity Analysis
Exercise 1: Calculate JIT impact
Scenario: $1M ETH swap in pool
Before JIT:
Pool liquidity: $10M
Your share: 1% = $100k
Fee from swap: $1M × 0.003 = $3,000
Your share: $_____
With JIT (JIT adds $5M):
Total liquidity: $_____M
Your share: $100k ÷ $_____M = _____%
Fee from swap: $3,000
Your share: $_____
Loss to JIT: $_____ (_____% reduction)
MEV Impact Estimation
Exercise 2: Estimate MEV impact on your positions
Position 1: ETH/USDC on Ethereum L1
Estimated JIT frequency: _____% of large swaps
Estimated fee dilution: _____%
Monthly impact: $_____
Position 2: ETH/USDC on Arbitrum
Estimated JIT frequency: _____% of large swaps
Estimated fee dilution: _____%
Monthly impact: $_____
Position 3: SOL/USDC on Solana
Estimated JIT frequency: _____% of large swaps
Estimated fee dilution: _____%
Monthly impact: $_____
Total MEV Impact: $_____/month
🛡️ Phase 2: Protection Strategy Design (15 minutes)
Protection Methods
Exercise 3: Design protection for each position
Position 1: Ethereum L1
Current: Uniswap V3, narrow range
Protection strategy: _________________________________
Expected improvement: _____% fee retention
Position 2: Arbitrum
Current: Uniswap V3, medium range
Protection strategy: _________________________________
Expected improvement: _____% fee retention
Position 3: Solana
Current: Raydium CLMM
Protection strategy: _________________________________
Expected improvement: _____% fee retention
Strategy Comparison
Wider Ranges
$0
_____
Low
_____
Use L2
$0
_____
Low
_____
Aggregators
$0
_____
Low
_____
Private Mempools
$_____
_____
Medium
_____
📊 Phase 3: MEV Protection Implementation (10 minutes)
Your Protection Plan
Current MEV Exposure:
Total monthly impact: $_____
% of fees lost: _____%
Protection Strategy:
Expected Results:
Reduced impact: $_____
Improved fee retention: _____%
New monthly fees: $_____
Monitoring Plan
Track MEV Impact:
Metrics to Track:
JIT events per week: _____
Average fee dilution: _____%
Total MEV cost: $_____/month
📚 Next Steps
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