Protocol Switching

Definition ∞ Protocol switching refers to the act of moving or transferring digital assets and associated activities from one blockchain protocol to another. This typically occurs when users seek better network performance, lower transaction fees, different decentralized application offerings, or improved security features. It signifies adaptability in asset management strategies. This practice allows users to optimize their digital asset interactions.
Context ∞ The increasing interoperability between blockchain networks makes protocol switching a relevant strategy for users optimizing their decentralized finance activities. This trend highlights the competitive landscape among protocols, driving innovation to attract and retain users. Superior offerings and reduced friction are key factors.