Definition ∞ Batch Processing involves grouping multiple transactions together to be executed as a single unit. This method streamlines operations by reducing the overhead associated with processing individual requests. It is commonly employed to improve efficiency and reduce computational costs in systems handling a high volume of discrete actions. The aggregation allows for a more predictable and often faster throughput.
Context ∞ In the cryptocurrency sphere, batch processing is a critical mechanism for enhancing transaction throughput and reducing network fees, particularly on blockchains with limited block space. Current discussions focus on optimizing batching algorithms for different consensus mechanisms and the implications for transaction finality. Future developments may see more sophisticated smart contract designs that leverage batch processing for complex DeFi operations and token distributions.
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