# Lido Working Group Proposes Two-Track MEV Policy for Ethereum ePBS

By Simon Yoon

Canonical URL: https://www.tokenpost.com/news/technology/49166
Published: 2026-11-05T08:50:00.000Z
Updated: 2026-11-05T08:50:00.000Z
Section: Technology

> Validators could accept protocol-guaranteed bids from qualifying builders. Builders and intermediaries offering extra payments would have to join the Curated Module Committee-reviewed Allowed List.

Contributors to Lido’s Node Operator Mechanism working group have proposed two channels for validator bids as Ethereum prepares for ePBS, setting separate treatment for protocol-guaranteed offers and extra payments.

The plan would require every Lido validator to keep receiving peer-to-peer bids and direct all rewards to the Lido EL Rewards Vault. In the open market, validators could accept bids from any builder that meets Ethereum’s protocol requirements, provided the protocol guarantees payment.

Builders and intermediaries offering payments beyond that guarantee would have to join Lido’s Allowed List. The Curated Module Committee (CMC) would review the list; the proposal does not describe a separate approval requirement for these arrangements.

The proposal also sets conditions for flagging node operators for investigation. An operator could be flagged for building its own block while an external bid exceeds the minimum bid, or for selecting a bid below a monitoring threshold set at 90% to 95% of the highest eligible bid observed.

The rules apply to all Lido node operators. They focus on block construction and handling builder bids, a different stage from routing individual user transactions. They address block construction and builder bids, separate from [MEV tools that route individual transactions](<https://www.tokenpost.com/news/technology/32418>).

Ethereum’s planned ePBS change would move proposer-builder coordination into the protocol as part of the [Glamsterdam upgrade](<https://www.tokenpost.com/news/technology/25486>). The proposed Lido policy would take effect only after Ethereum mainnet completes the upgrade.

The proposal and its transition plan are scheduled for a vote in November.



## Links in this article

- [MEV tools that route individual transactions](https://www.tokenpost.com/news/technology/32418)
- [Glamsterdam upgrade](https://www.tokenpost.com/news/technology/25486)
