What Is ‘Transaction Throughput’ in a Blockchain?
Transaction throughput is a measure of the number of transactions a blockchain network can process and confirm in a given period, typically transactions per second (TPS). It is a key metric for scalability.
Throughput is limited by factors like block size, block time, and network latency. High throughput is essential for applications requiring fast and frequent updates, such as decentralized exchanges.
Glossar
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.
High Throughput
Capacity ⎊ High Throughput, in quantitative finance, denotes the system's capacity to process an exceptionally large volume of transactions, market data, and complex derivative calculations within a minimal time frame.
Transactions per Second
Throughput ⎊ Transactions per second, within cryptocurrency, options trading, and financial derivatives, represents the rate at which a system processes transaction requests, fundamentally impacting scalability and network efficiency.
Transaction Throughput Increase
Capacity ⎊ Transaction Throughput Increase represents the expansion of a trading platform's capacity to process and settle a greater volume of financial operations, a crucial factor for accommodating institutional-grade activity in crypto derivatives.