The Biggest Problems Plaguing Bitcoin, Ethereum, Cardano, Polygon.
02 Oct 2021, 08:00
The Biggest Problems Plaguing Bitcoin, Ethereum, Cardano, Polygon
After Satoshi Nakamoto mined the first Bitcoin block, the blockchain industry took off like a rocket, and now cryptocurrencies are a $2 trillion market. The invention of the blockchain has been hailed as the solution to some world problems like transparency and has been deployed in several sectors. However, the technology is far from perfect and has problems that it has to contend with.
The Scalability ProblemOne of the most fundamental problems affecting blockchain is the problem of scalability. As adoption rates continue to soar, most blockchains face the challenge of being unable to handle a large amount of transaction data within a short while. This leads to long wait times and high fees, leading to several solutions being advanced.
Several layer-1 solutions have been put forward such as increasing the block size limit but this came with its own set of issues. As an alternative, other blockchains decided to shorten the time needed for the creation of a new block but none of these solutions worked.