Transaction Dependency Graph

Definition ∞ A transaction dependency graph is a visual or conceptual representation showing how individual transactions within a blockchain network are related to and reliant on each other. This graph illustrates the order in which transactions must be processed due to shared state modifications or sequential logic within smart contracts. It helps identify which transactions can be executed in parallel and which require a specific order. Understanding these dependencies is crucial for optimizing blockchain throughput and preventing execution errors.
Context ∞ Transaction dependency graphs are a key analytical tool in the research and development of blockchain scaling solutions, particularly for improving the efficiency of transaction processing. News and technical papers often reference these graphs when discussing proposals for parallel execution or sharding. The complexity of these dependencies presents significant challenges for developers aiming to increase network capacity without compromising security or transactional integrity.