I just noticed a pretty interesting move by Aave recently — they are considering integrating a new oracle solution from Chainlink to address the MEV issue.

Maybe some of you have heard of MEV, but to clarify: it is the profit that block builders earn by reordering transactions before they are added to the blockchain. The problem is that this cost often benefits them, not the users.

Aave realized that during collateral liquidation events, the MEV from these transactions creates a significant profit opportunity. But instead of letting block builders benefit, Aave wants to redirect that profit back to users and the ecosystem.

The solution is Smart Value Recapture (SVR) — a specialized oracle service from Chainlink designed to capture MEV profits through an auction. Estimates suggest that SVR can seize about 40% of the MEV profits from liquidations, and all of this money will be transferred to the Aave DAO to serve the community.

This isn’t the first time DeFi protocols have tried to combat MEV. On Ethereum, users increasingly use private transactions (dark pools) to protect themselves from harmful MEV impacts. But Aave’s approach is different — instead of hiding, they actively take the MEV profits to distribute to users.

If this proposal is approved, it could become a new model for how protocols handle the MEV problem. It’s a smart way to turn a challenge into an opportunity — instead of passively suffering from MEV, why not actively harness it for the benefit of the community?