With the username “@bkiepuszewski”, he holds an X user that the transaction processing speed (TPS) metric that analysts rely on to measure how quickly a blockchain network like ethereum or BNB Chain processes transactions is flawed.
Laying out the reasons for of blocks at all times.
Measuring network utilization
Typically, blockchain utilization measures how much a given network, for example, bitcoin or ethereum, is used at a given point. This is critical because it can be used to measure adoption levels, as those with higher utilization rates tend to have a broader active base, which can make them successful in the long term.
To measure activity, this metric considers the number of transactions processed per second when it comes to simple transfers or the total value locked (TVL) when it comes to deployed smart contracts.
As of November 1, the average network utilization rate on ethereum, according to Etherscan datais around 50%, compared to approximately 100% recorded in 2021. Meanwhile, the bitcoin transactions per day at the beginning of November it stood above 433,000, an increase almost double that at the end of October.
Typically, in the case of bitcoin, considering it is a transactional layer, whenever prices rise, more btc related transactions are expected as users hope to increase the emerging trend.
It remains to be seen whether the UOPS system will be adopted in the long term. What is clear, however, is that UOPS will consider the number of user operations that the network in question can process each second, taking into account the level of complexity of that transaction.
From UOPS, analysts will instantly know how well the blockchain can handle user load without risk of congestion, as is often the case on ethereum when markets are trending up.
The rise of ethereum layers 2
At the same time, according to @bkiepuszewski, using UOPS instead of TPS brings clarity considering the widespread use of Layer 2 solutions, including OP Mainnet, Base and StarkNet, which bundle offline transactions before committing them to the mainnet as a single transfer. . The more dapps choose layer 2 solutions, the more flawed the blockchain performance calculation will be if TPS guides.
Today, more developers are opting for Layer 2 as a foundation to avoid scaling issues while accessing the latitude to deploy intensive dapps such as social media platforms, as seen with Friend.tech. According L2BeatArbitrum and OP Mainnet have TVLs of over $6.5 billion and $2.9 billion, respectively.
Featured image from Canva, TradingView chart
