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The issue is that ETH only can handle a certain amount of transactions per block (based on its block size). When the network gets overloaded, all of the potenti
by kruhft 9y ago
The issue is that ETH only can handle a certain amount of transactions per block (based on its block size). When the network gets overloaded, all of the potential transactions cannot be held in a single block and must be delayed until the next block, leading to higher fees for each transaction, giving it a higher priority and making it more likely to put in a block of a certain size. Same 'problem' as bitcoin; too many transactions are being fit into a finite space per block increasing competition to have your transaction in a block, but really it's just basic scarcity economics.