Parallelization (parallel transaction execution) is a method for processing multiple blockchain transactions at the same time, rather than one after another, to increase throughput.
Parallelization structures the network to validate multiple transactions simultaneously instead of processing them sequentially. It uses the available network resources and spreads the task of transaction execution across multiple nodes.
Parallelization checks many potential network states at once, each showing the outcome of validating a particular set of transactions. By exploring these states, the network understands how each transaction would impact the ledger if it were validated. Once the check is over, the network reaches a common state that reflects the outcome of the parallel validation.
There are two main parallelization models: optimistic parallelization and state-access parallelization.
The network skips the sorting stage and processes transactions at the same time. It assumes transactions in the queue are independent and revisits them to revise any incorrect executions. If there are additional dependencies among transactions, the network re-executes them with accurate data.
High transaction processing speed
Distributing tasks among multiple nodes significantly reduces transaction execution time, increasing processing speed. Networks implementing parallelization are generally more efficient than those with sequential processing models.
Parallelization addresses the blockchain scalability problem by distributing transaction validation across network nodes. This accelerates the process and allows for horizontal scaling, the ability of the network to expand its resources by adding nodes during periods of higher demand and scaling down when demand drops.
Reduced gas costs
Parallelization minimizes fees by distributing transactions to node subgroups, lowering costs compared to sequential processing where every node validates each transaction. Faster transaction speeds also reduce competition for validation, which can further drive down fees per transaction.
The gains depend on transaction mix. Transactions that update the same account or contract state conflict with one another and cannot be executed together, so real-world throughput varies with how much concurrent activity a network handles.
The processes and transactions that occur outside the main blockchain, often used to enhance scalability.
A pricing mechanism that calculates the costs of smart contracts operations and transaction fees.
The number of transactions that a blockchain network is capable of processing each second.
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