L1 and L2 are vying to claim ultra-high TPS. Is the demand really about speed?
Original Article Title: The Great TPS Lie: Crypto's Obsession With Solving Problems Nobody Has
Original Article Author: @therosieum, @tenprotocol Member
Original Article Translation: Diodeep
Editor's Note: The article criticizes the crypto industry's blind pursuit of high TPS (transactions per second), arguing that this race is based on false advertising and overlooks real user needs. Projects, in order to attract funding and attention, exaggerate lab data, sacrificing decentralization, security, and usability to solve often irrelevant problems. The author calls for a focus on genuinely meaningful blockchain applications, building according to actual use case scales, rather than chasing unrealistic digital fantasies.
The following is the original content (reorganized for ease of understanding):
Every week, a new L1 or L2 project goes live, claiming: "We can process 100,000 transactions per second!"
Sometimes it's 50,000 transactions, sometimes it's 1 million.
The exact number doesn't matter because it's all mostly nonsense.
The "Faster Than Thou" Race of Transaction Speed
The scalability war has devolved into crypto's most embarrassing showdown. Every new protocol must claim a higher TPS than the previous one, regardless of whether these speeds are:
· Achievable beyond their AWS testnet (spoiler: it's almost impossible)
· Meaningful for real-world applications
· Necessary for scenarios used by actual humans
This obsession with throughput is like the crypto world taking a Lamborghini for a joyride during rush hour. The problem isn't with the specs but with the context.
Talking About Real Data
Visa, the payment giant that processes transactions for billions of people globally, averages around 1,700 transactions per second. Their theoretical maximum is around 24,000 TPS, but they have never needed this capacity in decades of operation.
Meanwhile, most blockchain projects struggle to attract even 100 daily active users.
If your Discord emojis outnumber your on-chain transactions, you might be solving a problem that exists only in your imagination.
The Hidden Cost of Chasing "Blockchain Scalability Trilemma"
The obsession with theoretical throughput can lead to real-world issues that harm users.
Firstly, there is the disguised centralization: In pursuit of high TPS, decentralization is often sacrificed for the sake of a marketing number.
Secondly, there is security theater: Cutting corners in hasty scaling introduces vulnerabilities that will sooner or later be exploited.
Furthermore, there is engineering talent drain: Top talent is not building what users really need but instead is stuck optimizing synthetic benchmarks.
Lastly, there is blatant deception: Network propaganda's lab numbers crumble under real-world conditions.
The Unsettling Truth
There are two reasons for the obsession with extreme scalability:
· You need to sound tech-savvy to justify your $100M funding
· You desperately want your chain to stand out in a market of over 5000 blockchains
User needs are only an afterthought. The real game is to make retail investors believe you are the ultimate solution—VCs then act as the loudest KOLs for your TPS narrative.

Building Something Truly Meaningful
If you are really building something in this space, here's a reality check:
· Focus on building things only achievable with blockchain
· Design an economic model that doesn't require monthly rug pulls for user acquisition
· Create a user interface that doesn't make regular people want to smash their computers
· Build to the scale of actual use cases, not for the sake of a flashy pitch deck
Scalability Reality Check
Next time a project boasts about handling 500,000 TPS, ask them: "What are these transactions actually doing? Who is generating them? For what purpose?"
When they stutter about "future adoption" and "web3 social," you'll know the answer.
True innovation isn't theoretical performance in a vacuum; it's about building what people truly need and scaling appropriately to demand.
Everything else is just expensive performance art disguised as technology.
You may also like

The opening price is expected to drop by 75%, perhaps the first project to be rug pulled this year.

a16z: Behind the Scenes of Everything Getting "Palantir-ized," a Show Doomed to Fail

Key Market Intelligence on January 19th, how much did you miss out on?

Trump Targets Fed and Italy’s Caution to Fin-Fluencers: A Comprehensive View
Key Takeaways: President Trump initiates a criminal probe against the Federal Reserve Chairman, questioning alleged resource mismanagement. Coinbase…

How AI Crypto Trading will Make and Break Human Roles
Key Takeaways AI is revolutionizing crypto trading by automating analysis, execution, and optimization tasks, while humans still handle…

Bitcoin Futures Open Interest Rebounds 13% as Analysts See Cautious Return of Risk Appetite
Key Takeaways Bitcoin futures open interest (OI) has rebounded by 13% since the beginning of the year, indicating…

Market Prediction Scam "Oracle": 8300x Rug Pull Scheme, the $230K Harvest

Spot Bitcoin ETFs Draw Record $1.42B Inflows as Institutional Interest Reignites
Key Takeaways Spot Bitcoin ETFs recently witnessed their strongest inflows since October, reaching $1.42 billion amid increased institutional…

Traveling? ‘Evil Twin’ WiFi networks can steal crypto passwords
Key Takeaways “Evil Twin” WiFi attacks occur when hackers mimic legitimate WiFi networks to steal sensitive user data.…

Three Reasons Why Bitcoin’s ‘Real Breakout’ Toward $107k Has Begun
Key Takeaways The Bitcoin breakout is supported by strengthening technical indicators and reduced selling pressure. Macroeconomic signals are…

Crypto’s Decentralization Promise Falters at Interoperability
Interoperability in crypto exposes a decentralization gap, highlighting the reliance on centralized intermediaries. Users’ understanding of technical infrastructure…

Bitcoin Dips, Gold Futures Skyrocket Amidst European Threat of ‘Trade Bazooka’
Key Takeaways Bitcoin’s price took a significant hit, dropping nearly $3,500 as European retaliations to Trump’s tariffs loomed.…

Vitalik Advocates for Ethereum’s Simplified Future with ‘Garbage Collection’
Key Takeaways Vitalik Buterin stresses the need for a ‘garbage collection’ process to reduce Ethereum protocol complexity. The…

‘Obscure’ Laws Hinder Bitcoin Reserve Plans: Insights from White House Crypto Council
Key Takeaways Efforts to establish a Bitcoin strategic reserve in the United States are impeded by complex interagency…

User Loses $282M in One of the Most Significant Social Engineering Crypto Heists
Key Takeaways A crypto user lost over $282 million in Bitcoin and Litecoin due to a sophisticated social…

Binance Australia Restores Fiat Transfers, Overcoming Two-Year Banking Barrier
Key Takeaways After being cut off from the Australian banking system in 2023, Binance Australia has successfully reinstated…

US Crypto Market Structure Bill in Limbo as Industry Reconsiders Support
Key Takeaways The US crypto market structure bill faces delays due to ongoing disputes among lawmakers and industry…

Trump Targets Fed, Italy Cautions Influencers: Global Financial Pulse
Key Takeaways: The United States is witnessing a political storm as former President Trump initiates criminal proceedings against…
The opening price is expected to drop by 75%, perhaps the first project to be rug pulled this year.
a16z: Behind the Scenes of Everything Getting "Palantir-ized," a Show Doomed to Fail
Key Market Intelligence on January 19th, how much did you miss out on?
Trump Targets Fed and Italy’s Caution to Fin-Fluencers: A Comprehensive View
Key Takeaways: President Trump initiates a criminal probe against the Federal Reserve Chairman, questioning alleged resource mismanagement. Coinbase…
How AI Crypto Trading will Make and Break Human Roles
Key Takeaways AI is revolutionizing crypto trading by automating analysis, execution, and optimization tasks, while humans still handle…
Bitcoin Futures Open Interest Rebounds 13% as Analysts See Cautious Return of Risk Appetite
Key Takeaways Bitcoin futures open interest (OI) has rebounded by 13% since the beginning of the year, indicating…