MIP 11 - Automatic Priority Fee Distribution

MIPs
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MIP 11 - Automatic Priority Fee Distribution

This proposal introduces a protocol-level mechanism to automatically distribute priority fees to delegators. Currently, priority fees are credited directly to a validator’s beneficiary address; this proposal redirects those fees into the validator’s staking pool at the end of every block.

We are seeking input on the following:

  • Third-Party Impact: How this change affects custom “Liquid Staking” or delegation wrappers that may currently rely on manual fee-sharing or direct block.coinbase monitoring.
  • Proposer Incentives: Does moving priority fees entirely to the pool affect proposer behavior or MEV strategies in a way that requires additional mitigation?