Network flow, in the context of blockchain and digital assets, refers to the movement of transactions, data, and value across a distributed ledger network. This encompasses the rate and direction of token transfers, smart contract interactions, and information propagation among network participants. Analyzing network flow provides insights into network activity, usage patterns, and the overall health and congestion of a blockchain. It is a fundamental aspect of understanding blockchain operational dynamics.
Context
News often reports on network flow metrics, such as transaction volume, active addresses, and gas fees, to gauge the adoption and demand for specific blockchain platforms. Discussions frequently involve network scalability challenges and the impact of increased flow on transaction costs and confirmation times. The ongoing efforts to optimize network flow through upgrades and layer-2 solutions aim to enhance throughput and user experience across various digital asset ecosystems.
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