Solana and Arbitrum Co-Founders Clash Over MEV and Transaction Costs

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Crypto news: Solana co-founder Toly and Arbitrum’s Steven Goldfeder have publicly debated MEV and fees. Goldfeder claims that low-fee chains like Solana shift costs to users through MEV tactics. Toly argues that Arbitrum’s fees are 10 times higher when including spreads and criticizes its single-sequencer model. Both sides highlight ongoing crypto news regarding blockchain efficiency and user impact.

Odaily Planet Daily reports: Steven Goldfeder, co-founder of Arbitrum, wrote that one should not fall into the "narrative trap" of simply comparing on-chain transaction prices. He noted that both Arbitrum One and Robinhood Chain actively guard against harmful MEV such as frontrunning, and that some chains promoting low fees may actually have higher MEV costs—retail users may incur additional losses through "hidden fees" like frontrunning and sandwich attacks.

Solana co-founder Toly responded that Arbitrum currently has a wider bid-ask spread and higher fees—just the 10% fee cut on transaction costs alone exceeds the sandwich trade fee, and when accounting for the worse spread, the total cost is estimated to be about 10 times higher. Toly further stated that a model driven by a single sequencer maximizing shareholder interests can never outperform permissionless market competition.

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