How many transactions per second can Bitcoin really handle theoretically?

Bitcoin TPS Limit

Evangelos Georgiadis (MIT) argues transactions are the most important part in the bitcoin mechanism

CryptoTPS.com is your online guide to information, data, and news on Cryptocurrency Transactions Per Seconds for all Blockchains.

Transactions are arguably the most important part in the bitcoin mechanism, with everything else facilitating the proper creation, propagation and validation; culminating with their addition to the public ledger – the blockchain.

One crucial measure inevitably intertwined with transactions is, throughput, the number of transactions confirmed (or added to the blockchain) per second, or simply, tps.

Understanding throughput capacity from different angles remains of paramount importance for gaining insights into the underlying infrastructure.

How many transactions per second can Bitcoin handle?

According to Evangelos Georgiadis (MIT) in his paper titled “How many transactions per second can bitcoin really handle Theoretically“:

“We compute the exact upper bound for the maximal transaction throughput of the bitcoin protocol and obtain 27 tps. The previous best known bound for the average transaction throughput is 7 tps.”

https://eprint.iacr.org/2019/416.pdf

The paper included citations to Andreas M. Antonopoulos book on Mastering Bitcoin: programming the open blockchain; Bitcoin Developer Reference; Bitcoin wiki Transaction; Bitcoin wiki Scalability; and Bitcoin wiki Script Anyone-Can-Spend Outputs.

It also referenced citations from the book – ‘Scaling Nakamoto consensus to thousands of transactions per second‘. ArXiv preprint, 2018 by co-authored by Chenxing Li, Peilun Li, Wei Xu, Fan Long, and Andrew Chi-Chih Yao; and ‘Secure high-rate transaction processing in bitcoin. In Financial Cryptography and Data Security‘. 19th International Conference, FC 2015, pages 507–527, 2015, by Y. Sompolinsky and A. Zohar.

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