Scaling Problem

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Scaling Problem

What is Scaling Problem

The term “scaling problem” refers to the restrictions placed on a blockchain’s throughput of transactions, which ultimately effect transaction prices and speed. A decentralized network’s ability to scale depends on how it manages blocks of transactions, which depend on things like block size and block time (the amount of time it takes to construct a new block). Users of Bitcoin, the first blockchain network, noticed delays in transaction settlements and increases in fees whenever network demand increased, which led to the discovery of this issue.


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