Blockchain networks are designed to let people transfer value, run applications, and interact with digital assets without relying on a central authority. But as more people use a blockchain, the network can face an important challenge: how can it process more activity without becoming slow, expensive, or overly centralized?

Blockchain technology promises decentralized systems that can operate without relying on a central authority. But as blockchain networks attract more users, applications, and transactions, they face a fundamental challenge: how can they handle significantly more activity without becoming slow, expensive, or increasingly centralized?