Layer 1 scalability refers to the capacity of a blockchain’s base protocol to handle a growing volume of transactions efficiently. It involves improvements to the core network architecture, such as increasing block size or optimizing consensus algorithms, to process more transactions per second. Enhanced Layer 1 scalability is critical for enabling widespread adoption of blockchain technology by reducing transaction fees and confirmation times. It addresses the fundamental challenge of network throughput.
Context
Discussions surrounding Layer 1 scalability frequently focus on the technical implementations and performance metrics of major blockchain networks like Bitcoin and Ethereum. Key debates involve the potential trade-offs between decentralization, security, and speed that arise from different scaling solutions. Future developments are anticipated in sharding, novel consensus mechanisms, and other on-chain optimizations aimed at significantly increasing transaction processing capabilities.
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