I just realized something quite interesting about how blockchain is evaluated in this era. Most people when talking about the performance of a blockchain network mention a metric called TPS. But what exactly is TPS? And why is it so important?

TPS, or Transactions Per Second, simply refers to the number of transactions a blockchain can process in one second. This isn’t just a number on paper—it truly determines how scalable a blockchain is, how many users it can support, and whether it can compete with traditional payment systems.

To get a clearer sense, let’s compare a bit. VISA—the traditional payment system we use daily—can handle about 1,500 to 2,000 TPS. That’s the benchmark that blockchain projects are trying to surpass. But looking at Bitcoin, it only reaches around 5 TPS, and Ethereum is around 10 TPS. Why is that? Because what makes a blockchain secure and decentralized—its consensus mechanism—is also what slows down transaction processing.

This is the key point many overlook: TPS isn’t just a speed number; it’s a balance between speed, security, and decentralization. If you want higher TPS, you can optimize block size, upgrade consensus algorithms, or implement off-chain solutions. But each choice comes with a cost—you might have to sacrifice some degree of decentralization or security.

With the development of Web3, the question of what TPS is becoming increasingly important. DeFi applications, blockchain games, and NFT marketplaces—all need to process transactions quickly. If TPS is low, users will have to wait, congestion occurs, and the experience suffers. That’s why new blockchains are focusing on improving this metric.

I’ve seen some projects making impressive progress. Hedera currently achieves 1,909 TPS with a maximum of 3,287 TPS—almost on par with VISA. Solana is also quite strong with 777 TPS now and a max of 1,624 TPS. Tron, BNB Chain, and opBNB are also trying to boost their performance. Each has different approaches to governance and block time, but the common goal is to address scalability issues.

But here’s the thing to remember: high TPS is good, but it’s not everything. A blockchain with 10,000 TPS but poor security or excessive centralization is worthless. The future of blockchain will belong to projects that can find the perfect balance—high transaction speed, strong security, and true decentralization.

What matters is understanding that TPS isn’t just a technical number; it’s a key to enabling widespread real-world adoption of blockchain. As technology continues to evolve, these improvements will open new possibilities for Web3 and cryptocurrencies in general.