Pavel Nikienkov argues that while blockchain technology offers transparency and decentralization, it fundamentally undermines privacy, which is crucial for secure financial systems. He highlights risks such as front-running, where miners exploit transaction data to gain an unfair advantage. The concept of Maximal Extractable Value (MEV) illustrates how miners can manipulate transaction order for profit. Nikienkov emphasizes the need for privacy solutions like Fair Sequencing Services and Ring Confidential Transactions, which can obscure transaction details and thus mitigate MEV extraction. These technologies not only protect user privacy but also combat harmful arbitrage practices by making it difficult for miners to identify lucrative transactions. Ultimately, he asserts that strong privacy measures are essential to build trust in decentralized ecosystems and prevent manipulation.

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