Ethereum Performance

Definition ∞ Ethereum performance refers to the operational efficiency and capacity of the Ethereum blockchain network. This metric commonly assesses factors such as transaction throughput, confirmation times, and the cost of gas fees. Enhancements to Ethereum’s performance are critical for its widespread adoption and the viability of decentralized applications built upon it.
Context ∞ Discussions surrounding Ethereum performance are a constant feature in the cryptocurrency news cycle, particularly concerning its transition to Proof-of-Stake and ongoing upgrades like sharding. High gas fees and slow transaction speeds have historically been points of contention, driving the development of layer-2 scaling solutions. Future improvements aim to increase transaction capacity and reduce costs, thereby supporting a broader range of applications.