Network Congestion

In blockchain technology, network congestion occurs when the number of transactions recorded on the network exceeds the maximum throughput. The throughput, measured in transactions per second, provides data on how many transactions a particular blockchain network can handle.

 

When the number of transactions exceeds the maximum TPS the blockchain’s infrastructure can handle, it results in network congestion. Network congestion leads to delays in transaction processing and prevents the adoption of the blockchain for real-world applications.

The Ethereum blockchain is one of the leading DLTs that experience network congestion, owing to the high number of dApps that operate on its infrastructure. Ethereum network congestion due to its high demand not only leads to delays for end users but also causes gas fees or transaction fees to soar, making the blockchain expensive for many users and dApps.