Transaction Prioritization

Definition ∞ Transaction prioritization refers to the mechanisms within a blockchain network that determine the order in which pending transactions are processed and included in new blocks. This prioritization is often based on the transaction fee offered by the sender, with higher fees typically leading to faster inclusion. It manages network congestion and incentivizes validators. This system influences transaction confirmation times.
Context ∞ Transaction prioritization is a frequent topic in cryptocurrency news, particularly during periods of high network activity when transaction fees surge. Debates exist regarding the fairness and efficiency of fee-based prioritization models. Solutions aimed at improving transaction throughput and reducing reliance on high fees are a focus of blockchain development. Spam-based MEV can exploit these mechanisms.