Insufficient scalability is a major hindrance to the adoption of blockchain technology. This article displays some of the top cryptocurrency with highest TPS, as investors find faster transaction times more desirable, thus creating a more satisfying user experience. As a result, speed is an essential benchmark for determining the potential of a crypto project.
What is TPS in Crypto?
TPS (transactions per second) is the number of transactions that a blockchain network can complete in a single second. It represents the speed of a blockchain because it demonstrates how scalable and fast the network is. TPS is also known as the throughput rate.
However, TPS isn’t the only factor that influences the speed of a blockchain. Transaction finality time (the time it takes to confirm an immutable transaction) is equally important. These parameters describe the scalability of a blockchain network, which is the network’s ability to handle an increasing number of transactions.
How does a Cryptocurrency transaction work?
A cryptocurrency transaction is a data transfer between blockchain addresses. These transfers are signed with the private key associated with their address. Signed transactions are broadcast to the network of nodes for validation before being included in the Blockchain.
This infrastructure ensures that transactions are pseudonymous but transparent and that once they are deeply embedded in the blockchain, they cannot be changed or deleted.
Cryptocurrency With Highest TPS
Cryptocurrency projects have struggled with achieving the Blockchain trilemma (i.e., security, scalability, and decentralization). In most cases attaining the Blockchain trilemma is difficult so it’s either you’re sacrificing one for the other. However, scalability is of uttermost importance as it holds the key to the mass adoption of Blockchain technology. Some of the cryptocurrencies with the highest TPS are displayed below.
The Solana (SOL) blockchain, which has been in operation since 2017, is one of the fastest Blockchains, with a transaction speed of 3,000 TPS (theoretically, it can go up to 710,000). The Solana blockchain, which is highly scalable, achieves this impressive speed through a hybrid proof-of-history (PoH)/proof-of-stake (PoS) consensus mechanism.
Even more impressive is Solana’s block completion time of 21 to 46 seconds. The finality time describes how long it takes for a blockchain transaction to remain unchanged. Finality time is as important as transaction throughput in determining transaction speed and, thus, network scalability.
Solana has low fees and even lower network congestion as a result of its high throughput, making it an appealing protocol for deploying a variety of DeFi applications such as DApps, games, NFTs, and more. This is why is number one in our top 10 cryptocurrency with highest TPS.
Bitgert launched on February 14, 2022, making it the newest and possibly the fastest project on this list. Bitgert can process 100,000 transactions per second and has a block finality time of 2 seconds. In addition to this incredible speed, Bitgert’s transaction fees are negligible, averaging $0.00000001.
Bitgert is based on the Binance Smart Chain (BSC) protocol and uses the BSC proof-of-authority (PoA) consensus. Bitgert’s high is due to this consensus mechanism, which allows validators to stake their reputation rather than coins.
Bitgert is without a doubt the next big thing in the crypto industry. Because of its near-zero gas fees and lightning-fast transactions, the project is on track for exponential growth. It has already hosted many projects in the NFT, DeFi, metaverse, and DApp spaces since its recent launch. This is why is number two in our top 10 cryptocurrency with highest TPS.
One of the fastest networks on this list is Fantom. The protocol has a block finality time of about 1 second in addition to a fast TPS of 25,000. Compare this time to Solana’s 21-46 seconds and Ethereum’s 60 seconds for context.
Fantom uses the directed acyclic graph (DAG), a distributed ledger technology comprised of a computer network that executes transactions in parallel.
To validate transactions, each computer in a DAG “tells” about its transactions to random neighboring computers, who then repeat the process, instantly spreading the transaction across the entire network. This system is responsible for the high throughput and nearly infinite scalability of the Fantom network. This is why is number three in our top 10 cryptocurrency with highest TPS.
Fantom also employs the Ethereum virtual machine (EVM), making it Ethereum-compatible. As a result, Ethereum developers will have an easier time deploying DApps to the Fantom network. Fantom has bright prospects as a go-to platform for DApps due to its lightning-fast speed and several incentive programs aimed at developers.
Cosmos Network (ATOM), designed with a focus on customization and interoperability, has the enviable reputation of being the Internet of blockchains. It can process over 10,000 transactions per second and has a finality time of 2-3 seconds on average.
Cosmos uses a “proof of stake” consensus and a strong technology stack, which includes:
- Tendermint is a consensus engine that allows developers to create scalable, fast, and secure blockchain networks.
- IBC (Inter-Blockchain Communication Protocol): A system that connects various blockchains.
- Cosmos SDK: A popular framework for developing DApps on the Tendermint blockchain.
Cosmos has grown in popularity among developers who create powerful cross-chain DApps because it is highly scalable, interoperable, and smart contract capable. Anchor, Chainweaver, Klever, and Flare are some of the more popular ones.
Polygon (MATIC) is a blockchain that aims to scale the Ethereum network by supporting a variety of scaling solutions, such as Layer 2 and sidechain solutions. Polygon provides security support for other blockchains and links various chains to its ecosystem while handling communication between participating Polygon chains and Ethereum chains. It boasts a high throughput of 7,000 TPS (theoretically, up to 65,000) and a finality time of 2-3 seconds.
Polygon provides a platform for Ethereum DApps to run on a network of connected blockchains while retaining Ethereum’s network security and other Layer 1 benefits.
Polygon has attracted developers who have been frustrated by Ethereum’s high gas fees and low throughput. The Polygon Network is being used by an increasing number of high-profile gaming platforms, decentralized exchanges, and DeFi applications.
Avalanche Network, one of the fastest blockchains, supports smart contracts and has a block finality time of 1-2 seconds.
Avalanche’s unique approach to resolving the blockchain trilemma involves the use of a PoS mechanism and a three-blockchain system within its ecosystem. Each blockchain is dedicated to a specific purpose.
The Exchange Chain is the asset trading blockchain; the Contacts Chain allows developers to build decentralized apps; and the Platform Chain tracks validators who manage Avalanche subnets.
Avalanche’s goal of creating a simple and unified global market for frictionless asset trading has been largely successful, thanks to its high throughput and low fees. As a result, it is expected that the multi-chain project will be the leading blockchain for financial services in the Web 3.0 economy.
EOS is a blockchain-based network designed specifically as a platform for DApps. As a result, it has a high throughput of 4,000 TPS to handle a large volume of transactions. It gets better: EOS transactions complete in 2-3 seconds, making EOS.IO one of the fastest blockchains.
EOS uses a delegated proof-of-stake (DPoS) consensus to achieve this Formula 1-like speed, which entails validators (called witnesses) reaching a consensus on the next validator to verify a transaction. Each witness’s vote is proportional to their stake. However, because a few block producers control the majority of the voting power, this unique voting system has raised concerns about centralization.
With its high scalability, low latency, and feeless transactions, the EOS chain is poised to become the future platform for enabling Web 3.0 initiatives. It provides a fertile environment for a growing network of DApps and services such as pEOS, Upland, EOS Dynasty, Scatter, and Newdex.
Ripple (XRP), a blockchain-based alternative to cross-border payment systems such as SWIFT (the Society for Worldwide Interbank Financial Telecommunication), claims a transaction speed of 1,500 TPS that can allegedly be scaled up to 50,000 TPS.
Ripple is designed to compete with the transaction speed of traditional cross-border payment systems, charging $0.0003 per transaction (as opposed to $15-$20 for a SWIFT transaction) and taking 3–5 seconds to complete, adding to the network’s overall efficiency.
XRP is based on a network of trusted nodes, with 80% consensus required before a transaction can be processed and validated. This one-of-a-kind method has called decentralization into question. However, Ripple has already been accepted globally by many banks to facilitate international money transfers and remittances due to its high speed and low fees.
The Algorand blockchain is a safe and scalable network designed to support a wide range of applications. Algorand, which debuted in 2019, is known for its high throughput, clocking in at an average of 1,300 TPS and a reported potential capacity of 3,000 TPS. The block finality time is also impressive, with transaction validations taking approximately 5 seconds.
To ensure a bias-free environment, Algorand uses the pure proof-of-stake (PPoS) consensus mechanism, randomly selecting and rewarding validating miners. This modified mechanism enables Algorand to achieve decentralization while maintaining a high TPS.
Algorand has the throughput capacity and scalability required to support a wide range of global use cases. Many DApp and DeFi developers are turning to the network to avoid Ethereum’s high fees and congestion.
Cardano’s transaction speed of 250 TPS, paired with a finality time of 5-10 minutes, may not be on par with some others on this list, but it holds its own in terms of security and community involvement. Cardano (ADA) is a decentralized, open-source blockchain designed for smart contract applications such as DeFi apps, games, crypto tokens, and more.
Cardano employs Ouroboros, a one-of-a-kind, energy-efficient PoS consensus. The network chooses validators at random in proportion to their stakes for the opportunity to create new blocks. To facilitate scalability, the Cardano chain is divided into two layers: the Cardano Settlement Layer (CSL) and the Cardano Computing Layer (CCL).
SundaeSwap, a decentralized exchange, and MELD, a trustless lending protocol, are among the DeFi and NFT applications available in the Cardano ecosystem.
Cardano is currently working on a Layer 2 solution that will increase throughput to around 1,000 TPS and reduce finality time to less than one second. When completed, this upgrade will put Cardano on par with the most scalable blockchains.
cryptocurrency with highest TPS: Bottom line
According to this review on cryptocurrency with the highest TPS, you’ll note that the speed of transactions is an important metric in the widespread use and adoption of blockchain technology. The blockchains listed above have demonstrated significant scalability, which is an important requirement for future blockchains. However, the blockchains that will rule Web 3.0 must keep transaction speeds reasonable without sacrificing security or decentralization.
Disclaimer: Please note that this article does not provide investment advice or recommendations. It’s essential to understand that every investment carries inherent risks. Readers are encouraged to conduct their own thorough research before making any financial decisions.