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The Counterparty

proposer-builder-separation topic

Topic · PageRank 0.0179

Overview

Proposer-builder separation (PBS) is an Ethereum architecture that divides the functions currently performed by one validator: specialised block builders construct blocks and submit bids to the validator appointed as proposer, who picks the highest-value bid without viewing the block's content. Ethereum developers are working on PBS for three reasons: it makes transaction censorship more difficult, particularly when paired with tools like inclusion lists and encrypted mempools; it distributes MEV income across all validators, including individual home stakers, instead of concentrating it among sophisticated operators; and it is necessary for Danksharding, where builders must generate proofs for large data volumes. Ethereum's development plan lists enshrined PBS as still in an advanced research phase with no completed specification.

Within The Counterparty graph, proposer-builder-separation connects to 24 tracked entities, most strongly to Decentralization of Ethereum's Builder Market, SoK: The Evolution of Maximal Extractable Value, From Miners to Cross-Chain, Measuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest.

Relations

Top connections in The Counterparty knowledge graph (confidence-weighted, 10 of 24 total).

RelationConnected entityConfidence
covers_topicDecentralization of Ethereum's Builder Market85%
covers_topicSoK: The Evolution of Maximal Extractable Value, From Miners to Cross-Chain85%
covers_topicMeasuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest85%
covers_topicMEV in Binance Builder85%
covers_topicPrivate Order Flows and Builder Bidding Dynamics: The Road to Monopoly in Ethereum's Block Building Market85%
covers_topicPROF: Protected Order Flow in a Profit-Seeking World85%
covers_topicA First Look at Ethereum Blob Revolution: Market, Strategies, and Optimality85%
covers_topicBoost+: Equitable, Incentive-Compatible Block Building85%
covers_topicFrom Competition to Centralization: The Oligopoly in Ethereum Block Building Auctions85%
covers_topicEnshrined Proposer Builder Separation in the presence of Maximal Extractable Value85%

Sources

Facts in this record were checked against the following. Where a claim is not covered here, the record states only what the graph holds.

Questions on the record

What does PBS separate?

Block building and block proposing are separated: builders construct blocks and submit bids for inclusion, while the proposer selects a bid without viewing the block's contents.

Why is PBS considered good for decentralization?

PBS enables MEV revenue to accrue to any validator, including individual home stakers, rather than concentrating it among institutional operators that possess superior extraction capabilities.

Is PBS live on Ethereum?

Enshrined PBS is not yet operational on Ethereum; the roadmap indicates it remains in an advanced research phase with unresolved design questions.