In Ethereum, as of May 2022, it is believed that over 90% of miners are connected to the Flashbots server.

One can determine this by observing that over 90% of blocks contain Flashbot transaction bundles. Adoption from 0% to around 90% occurred almost entirely within 2021. Flashbots should therefore be considered very significant from an economic perspective when analysing Ethereum.

Another metric one can use to evaluate the economic significance of Flashbots is comparing the value of extracted MEV to Ethereum fees. According to Coinmetrics data, in the last 12 months total Ethereum miner fees have been around US$10,740m. In contrast, according to explore.flashbots.net, in the same period, the value of MEV extracted was US$393m. This is a proportion of only 3.7%, and therefore one can argue Flashbots is not particularly economically significant. However, 3.7% of revenue could have a large impact on miner margins and the 90% miner adoption indicates it is a major part of the Ethereum network. In the future, it is likely to remain a significant part of transaction propagation and therefore we consider Flashbots as important.

The Centralised Flashbots Relay Entity

Flashbots is a single centralised entity. It is funded by Fred Ehrsam’s crypto VC firm Paradigm, although it appears that this funding could be altruistic. Searchers send there MEV transactions to the server with the address https://relay.flashbots.net/ and the server is currently located in Ohio in the United States of America.

Source