A systemic bottleneck refers to a point of congestion or limitation within a large system that impedes its overall efficiency, speed, or capacity. In financial systems, this can involve delays in transaction processing, high costs, or limited interoperability between different platforms. Identifying and addressing these points is crucial for system optimization.
Context
Traditional financial systems often exhibit systemic bottlenecks in areas like cross-border payments or interbank settlements, which digital assets and blockchain technology aim to alleviate. However, blockchain networks themselves can face bottlenecks related to scalability, transaction throughput, and network congestion. Addressing these limitations is vital for the widespread adoption and efficiency of decentralized applications.
The SEC staff's no-action relief provides a critical, actionable pathway for institutional capital to enter the digital asset ecosystem via qualified custody.
We use cookies to personalize content and marketing, and to analyze our traffic. This helps us maintain the quality of our free resources. manage your preferences below.
Detailed Cookie Preferences
This helps support our free resources through personalized marketing efforts and promotions.
Analytics cookies help us understand how visitors interact with our website, improving user experience and website performance.
Personalization cookies enable us to customize the content and features of our site based on your interactions, offering a more tailored experience.