Definition ∞ Base layer efficiency refers to the fundamental blockchain’s capacity to process transactions and maintain security with minimal resource expenditure. This metric considers factors such as transaction throughput, finality speed, and energy consumption. A highly efficient base layer supports a greater volume of activity without excessive costs or delays. It forms the foundational performance characteristic of any decentralized network.
Context ∞ Debates surrounding base layer efficiency often center on the scalability trilemma, balancing decentralization, security, and transaction capacity. Proof-of-stake networks aim to surpass the efficiency of proof-of-work systems by reducing computational requirements. Upcoming protocol upgrades frequently prioritize improvements in this area to accommodate wider adoption and more complex applications. The ongoing discussion seeks to optimize these core parameters for future blockchain utility.