System Architecture

Definition ∞ System architecture is the conceptual model that defines a system’s structure, behavior, and various operational views. It describes how different components interact, their specific functions, and the guiding principles behind their design and evolution. A well-defined system architecture is vital for ensuring scalability, security, and ease of maintenance.
Context ∞ In the context of blockchain and digital assets, system architecture discussions frequently concern the fundamental design choices that determine a network’s performance, decentralization, and security characteristics. News often analyzes the architectural distinctions between various Layer 1 protocols or Layer 2 solutions, such as sharding, sidechains, or rollups. These design decisions significantly impact a project’s capacity to manage transaction volume and resist attacks.