Network Scalability

Definition ∞ Network scalability refers to a blockchain’s capacity to handle a growing number of transactions and users without diminishing performance. It is the ability of the system to expand its processing power and transaction throughput. Achieving high network scalability is essential for widespread adoption of blockchain technology.
Context ∞ Network scalability remains a paramount challenge and a subject of intense development within the blockchain industry. Current discussions often center on the trade-offs between decentralization, security, and transaction speed, as articulated by the blockchain trilemma. Innovations such as sharding, layer-2 solutions, and more efficient consensus mechanisms are actively being explored and implemented to address these limitations.