[FEATURE] Add Transaction Simulation Capabilities to MCP Server

[rajj28]

Problem Statement

The MCP server currently allows LLMs to interact with the Base network , but lacks the ability to simulate transactions before execution. Adding comprehensive transaction simulation would significantly enhance both safety and user experience.

When LLMs initiate blockchain transactions, users currently have no way to preview the exact outcome before signing. This creates potential risks as blockchain transactions are irreversible, and users may not fully understand the consequences of actions suggested by the LLM.

Proposed Solution

Implement a transaction simulation feature that:

1. Allows LLMs to generate a complete simulation of any proposed transaction
2. Shows users a preview of all state changes before they commit
3. Provides accurate gas estimation based on current network conditions
4. Flags potential security risks or unexpected outcomes
5. Calculates potential slippage for swap transactions

Use Case

1. Increased safety for users by providing transaction transparency
2. Enhanced trust in LLM-suggested blockchain actions
3. Reduced risk of unexpected outcomes or transaction failures
4. Better user experience with accurate gas estimation and slippage predictions

Additional Context

• Transaction simulation API endpoint created and documented
• Simulation results include all state changes, gas estimates, and security checks
• LLMs can request simulations and interpret results correctly
• UI components developed to display simulation results to users
• End-to-end tests demonstrate accurate simulation of various transaction types

Implementation Ideas

The implementation uses Base's native infrastructure and decentralized data sources, allowing LLMs to safely interact with the Base network by providing accurate previews of transaction outcomes before execution.

Transaction Simulation Implementation for Base Network MCP Server.pdf