Blockchain & Cryptocurrency Glossary

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Latency SLA

1 min read
Pronunciation
[lay-ten-see S-L-A]
Analogy
Like a courier guaranteeing package delivery within 24 hours or refunding the shipping fee.
Definition
A service‑level agreement that guarantees a maximum end‑to‑end delay for API responses, transaction confirmations, or data feeds, with defined remedies if latency targets are missed.
Key Points Intro
Latency SLAs formalize performance expectations and penalties for blockchain‑related services.
Key Points

Target metrics: p99 response time, block confirmation time.

Measurement window: Defines sampling period and business hours.

Penalties: Credits or refunds if SLA breaches occur.

Monitoring: Continuous telemetry and reporting dashboards.

Example
An RPC provider promises 99.9% of calls under 200 ms latency; credits user account for downtime beyond threshold.
Technical Deep Dive
SLA defines SLO: `Latency_P99 ≤ 200ms` measured over 30‑day rolling window. Provider uses synthetic probes from multiple regions, logs to Prometheus, and generates monthly SLA reports.
Security Warning
Synthetic tests may not capture real‑user spikes; include production traffic monitoring.
Caveat
Strict SLAs increase operational cost; balance cost vs. business need.

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