In the context of cryptocurrency, the gas limit is a parameter in a transaction or smart contract that specifies the maximum amount of gas that is allowed to be used in executing the transaction or contract. The gas limit is expressed in units of gas and serves to protect the Ethereum blockchain from being overloaded by transactions or contracts that require an excessive amount of computational resources.
The gas limit is set by the sender of a transaction or contract, and it determines the maximum amount of ETH that the sender is willing to pay in fees to the miners who process the transaction or contract. If the gas limit is too low, the transaction or contract may not be able to be fully executed, and some or all of the gas may be returned to the sender.
The gas limit can be adjusted by the sender of a transaction or contract to reflect the complexity and resource requirements of the transaction or contract. Setting a higher gas limit can increase the chances that a transaction or contract will be processed and can also increase the fees paid to the miners.
The gas limit is an important parameter in Ethereum and other blockchain platforms that use a similar system for measuring and limiting the computational effort required to execute transactions and contracts.
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