More to Extract: Discovering MEV by Token Contract Analysis
This work is significant for blockchain security researchers and participants, as it uncovers a previously under-explored source of MEV from token contracts, potentially leading to new attack vectors and defense strategies.
This paper addresses the discovery of Maximal Extractable Value (MEV) originating from Token smart contracts, a scope largely overlooked by existing MEV research. The authors developed tSCAN for static analysis of token contracts and tSEARCH to find profitable tMEV opportunities, demonstrating that tSEARCH extracts 10 times more profit than observed MEV activity on Ethereum.
This paper tackles the discovery of tMEV, that is, the Maximal Extractable Value on blockchains that arises from Token smart contracts. This scope differs from the existing MEV-discovery research, which analyzes application-layer contracts or attacker contracts, but ignores the wide and diverse range of token contracts. This paper presents a pipeline of techniques for tMEV discovery, including tSCAN, a static analysis tool for identifying non-standard supply-control functions in token contracts, and tSEARCH, a searcher that uncovers profitable tMEV opportunities by generating, refining, and solving token-specific constraints. By replaying real-world transactions, this paper demonstrates both the profitability of tMEV strategies and existing searchers' unawareness of them: the proposed tSEARCH extracts $10\times$ more profit than observed MEV activity on Ethereum. The practicality of tMEV searching is demonstrated through a prototype built on Slither, showing high effectiveness with low performance overhead.