P2P (Peer-to-Peer)

Published:

P2P (Peer-to-Peer) refers to a decentralized network architecture where individual participants, known as peers, interact directly with each other rather than through a central server. In a P2P network, each computer or device can act as both a client (requesting information or services) and a server (providing information or services). This contrasts with the traditional client-server model where a central server manages and distributes resources.

The core strength of P2P networks lies in their resilience and scalability. Since there’s no single point of failure, the network can continue to function even if some peers go offline. As more peers join, the overall capacity of the network often increases because each new peer contributes resources. Common applications of P2P technology include file-sharing systems, cryptocurrencies (where transactions are validated and recorded across a distributed network), and some types of communication platforms. While offering benefits like censorship resistance and cost-efficiency, P2P networks can also present challenges related to security and the potential for illicit activities if not properly managed.

Follow us on Facebook and LinkedIn to keep abreast of our latest news and articles

Other definitions

Crypto glossarymore-content
Permissioned ledgermore-content
Proof of Stake (PoS)more-content
PoS/PoW hybridmore-content
Paritymore-content
Proof of Work (PoW)more-content