Batch overflow refers to a situation where the number of transaction requests exceeds the capacity of a blockchain network to process them in a single batch. Each blockchain has a limit on the number of transactions it can handle in a given time frame, and when this limit is surpassed, it can lead to delays and increased transaction fees.

When a batch overflow occurs, transactions may get stuck in a queue, waiting for processing. Users often respond by raising their transaction fees to prioritize their requests, leading to congestion in the network. This can undermine the efficiency and usability of the blockchain.

To manage batch overflow, developers may implement solutions like increasing block size, optimizing transaction validation processes, or incorporating layer-two scaling solutions. However, these methods come with trade-offs, such as potential security vulnerabilities or centralization risks. Proper management is essential to ensure that the network remains functional and user-friendly during periods of high demand.