Low Latency Overhead

Definition ∞ Low latency overhead refers to a system’s ability to perform operations with minimal delay and without significant additional computational burden. In blockchain and distributed systems, it means transactions or data transfers are processed quickly with efficient use of network resources. This characteristic is crucial for applications requiring rapid finality and high throughput. It minimizes the time between action and outcome.
Context ∞ The concept of low latency overhead is paramount in discussions surrounding blockchain scalability and the development of high-performance decentralized applications. News regarding new layer-2 solutions or consensus mechanisms often highlights their success in achieving low latency overhead. This technical improvement is critical for digital asset trading platforms and real-time payment systems seeking to rival traditional financial infrastructure.