Block size

BlockworksJul 9, 2019 ⋅ 2 min read

Written by Max Hinchman

Introduction

Block size refers to the limit on the amount of transaction data that can be added to to a block in a blockchain network. A block refers to the bundles of transactions that have been submitted to the network for validation. Currently the bitcoin block size stands at 1MB, although this has been a highly controversial topic which led to the Bitcoin Cash ($BTC) hardfork.

The limit exists to prevent an attacker from spamming the network with transactions through a Distributed Denial of Service (DDoS) attack. It also is intended to decentralize the node operators in the network, since a larger block size increases the computing power necessary to run a node it could become prohibitively expensive for the average user. The two biggest issues with small block sizes are high transaction fees and slowdown in the network. By limiting the amount of transaction data per block, it sets a limit on the number of transactions per second the network can process as well as increases fees as throughput increases.

One solution to this scaling problem is to move transactions off-chain, in what are known as layer 2 solutions. The most popular is the lightning network which allows two parties to open payment channels to transact off-chain while settling to the main blockchain for security.

Suggested Reading

Block Size Explained by Bisola Asolo

Understanding the Block Size Debate by Jordan Clifford

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Outline
  • Introduction
  • Suggested Reading