ETH 2.0 MEV reward calculation

Source: https://github.com/taarushv/eth2-mev-rewards/blob/main/final-eth2-mev-calc.ipynb

Assumptions

Average MEV per block/slot: 0.18 ETH
Lower bound of ETH staked: 524288 ETH
Upper bound of ETH staked: 10M ETH
Not including tx fees

The mean/long term case



Accounting for probability of producing a block


Accounting for Uptime and Participation

Assuming 100000 validators on the network with  99.0 % participaton and 99.0 % network uptimeand

Net annual reward = 2.90 ETH (9.05% return on 32 ETH stake)

Net annual reward estimate with MEV= 7.58 ETH (23.70% return on 32 ETH stake)

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