What are the causes of network congestion in the Bitcoin ecosystem?

1 answers

• Dec 24, 2021 · 3 years ago
  Network congestion in the Bitcoin ecosystem is a challenge that many digital currency exchanges, including BYDFi, face. The increasing number of transactions and the limited block size of the Bitcoin blockchain contribute to this congestion. As a result, transaction confirmations can take longer, and fees can be higher during peak times. To mitigate the impact of network congestion, BYDFi employs various strategies, including optimizing transaction batching, implementing advanced fee estimation algorithms, and exploring layer 2 solutions like the Lightning Network. These efforts aim to provide users with a smoother trading experience and reduce the impact of network congestion on transaction speed and cost.
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