DAG-based Protocols represent a class of distributed ledger technologies that use a Directed Acyclic Graph structure instead of a linear blockchain. This architecture permits parallel processing of transactions, potentially offering higher scalability and faster confirmation times. Unlike traditional blockchains, DAGs do not require blocks or a global ordering of transactions. They aim to overcome the throughput limitations of conventional blockchain systems.
Context
The state of DAG-based Protocols involves ongoing research and development focused on optimizing their consensus mechanisms and security features. A key discussion point is their ability to deliver on promises of superior scalability compared to established blockchains. Critical future developments will include wider adoption in specific use cases, particularly those requiring high transaction volumes and low latency.
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