Definition ∞ A theoretical limitation is a constraint or boundary that exists within a conceptual framework or model. These limitations define the maximum possible performance, capacity, or scope of a system or idea, based on its underlying principles and assumptions. They represent fundamental barriers that cannot be overcome without altering the core theory itself, distinct from practical engineering challenges. Understanding theoretical limitations is essential for assessing the ultimate potential and inherent constraints of any technology or scientific concept.
Context ∞ In blockchain technology, theoretical limitations are frequently discussed in relation to scalability, decentralization, and security, often referred to as the “blockchain trilemma.” News articles regularly examine how new protocols attempt to push these boundaries, for example, by increasing transaction throughput without sacrificing network integrity. The ongoing research and development in areas like sharding or layer-2 solutions aim to approach, but not entirely eliminate, these fundamental constraints. Understanding these limits provides crucial context for evaluating the long-term viability and potential of various digital asset systems.
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