What Is ‘Transaction Throughput’ and How Does It Relate to Mempool Clearing Rate?
Transaction Throughput is the measure of how many transactions a blockchain network can process and confirm per second (TPS). The Mempool clearing rate is the speed at which miners select and include transactions from the Mempool into new blocks.
High throughput allows for a faster clearing rate, meaning the Mempool backlog is processed quickly, which reduces congestion and lowers transaction fees. Low throughput leads to a slow clearing rate and Mempool buildup.
Glossar
High Throughput
Capacity ⎊ High throughput within cryptocurrency, options trading, and financial derivatives signifies the system’s ability to process a large number of transactions or requests per unit of time, directly impacting operational efficiency and scalability.
Throughput
Capacity ⎊ ⎊ Throughput, within cryptocurrency and derivatives markets, fundamentally represents the rate at which a system processes transactions or data, often measured in transactions per second (TPS) or orders per millisecond.
Mempool Clearing Rate
Rate ⎊ Mempool Clearing Rate is the velocity at which unconfirmed transactions are successfully moved from the pending pool into finalized blocks by miners or validators.
Transaction Throughput
Capacity ⎊ The transaction throughput, within cryptocurrency, options, and derivatives markets, fundamentally represents the rate at which transactions or orders can be processed and settled within a given timeframe, typically measured as transactions per second (TPS).