MEV (Maximum Extractable Value) bots are automated trading programs designed to exploit the inefficiencies in decentralized finance (DeFi) networks, particularly in Ethereum and similar blockchains. These bots operate by front-running, back-running, and sandwiching transactions in a way that maximizes profit for the bot operator, often at the expense of regular users.

The primary function of MEV bots is to extract profits by observing pending transactions in the mempool and executing trades before, after, or around them, based on the anticipated price movements. This can lead to higher gas fees, increased network congestion, and unfair price manipulation.

While Mev bots can provide profit opportunities for sophisticated traders, they raise ethical concerns. Some argue that they contribute to a less decentralized and less fair ecosystem. As DeFi grows, developers are exploring ways to minimize the negative impact of MEV bots, such as implementing strategies like Flashbots or reworking transaction ordering systems.