Transaction Bundles
Transaction bundles are a collection of transactions grouped together to be executed in a specific order by a block producer. This mechanism is central to the Flashbots approach to MEV, as it allows searchers to specify the exact sequence of their actions.
By submitting a bundle, a searcher ensures that their trade is only executed if all conditions are met, preventing partial execution or failed transactions that would waste gas. This structure provides a high degree of control over the execution process and allows for complex strategies like multi-step arbitrage to be performed reliably.
It is a fundamental shift from the traditional model where transactions are processed individually based on gas fees, enabling a more predictable and efficient environment for MEV extraction.