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Executive Summary: What Is Blockchain Network Congestion?

In this article, I explain what blockchain network congestion is, what causes it, and its effects like increased fees and delays. I analyze real cases of congestion on Bitcoin and Ethereum, and potential solutions like layer 2 and sharding.
Executive Summary: What Is Blockchain Network Congestion?

Summary: Blockchain network congestion occurs when transaction volumes exceed the capacity of a blockchain, causing increased wait times, higher fees, and reduced reliability.

What blockchain congestion is:

  • When transaction volumes exceed a blockchain's capacity.
  • Leads to backlog of unconfirmed transactions.


  • Limited transaction throughput due to constraints like block size.
  • Sudden spikes in activity, such as popular token launches.


  • Increased wait times for transactions.
  • Exponentially higher fees as users compete.
  • Impacts availability and security.

Congestion on Bitcoin and Ethereum:

  • Both saw congestion during peak hype cycles with long wait times.


  • Layer 2 protocols, sharding, tweaks to block size and time.
  • Critical for improving blockchain scalability and adoption.

Full article:

What Is Blockchain Network Congestion? | CoinMarketCap
Learn about blockchain network congestion, its causes and consequences in this article. Discover how layer 2 protocols, sharding and other solutions can solve the blockchain congestion issue.