TPS
Transactions Per Second. A metric used to measure the throughput capacity of a blockchain network.
Why It Matters
Transactions Per Second (TPS) measures how many transactions a blockchain can process in one second. This metric is important for understanding a network's scalability and efficiency when handling user demand.
Example
For instance, if a blockchain can handle 1,000 TPS, it means it can manage a significant number of transactions, making it viable for high-traffic applications like payment processing.
Beginner Context
For newcomers, TPS is an integral concept in assessing blockchain options, helping to identify which networks can support large volumes and fast transactions.
Mike Starr
Founder, CryptoWizardTools ยท M.S. Organizational Management
Last reviewed: August 2026
Related Terms
On-Chain
Transactions or data that are recorded directly on the blockchain, as opposed to off-chain activities that occur outside the main network.
Hash
A fixed-length string of characters produced by a hash function. In blockchain, hashing is used to secure data and create block identifiers.
Volatility
The degree of price fluctuation of an asset over time. Cryptocurrencies are generally considered more volatile than traditional assets.
Seed Phrase
A series of 12 or 24 words generated by a cryptocurrency wallet that serves as a backup to restore access to the wallet. It must be kept secure and private.
Burn
The permanent removal of tokens from circulation, typically by sending them to an inaccessible wallet address. Burning reduces supply and can increase scarcity.