Hurdles for Bitcoin

Hurdles for Bitcoin

There has been a remarkable rise in the price of bitcoin over the last five years; it rose to $10000 from $12. The run is remarkable because people did not have any clear idea about the use of bitcoin five years ago. In the initial years of its release, people were very much optimistic about its future, they were having high hopes that it will disrupt the conventional payment network. But after the nine years of its release, it has shown a very little sign to be compared with mainstream money. A very few people use it as a daily use currency.

But the growth of cryptocurrency has not stopped because of its less useful. The driving force behind the growth of this cryptocurrency is the broader cryptocurrency ecosystem. As the US dollar serves as the reserve currency for many countries in the same way Bitcoin serves as the reserve currency in the crypto world.

The bitcoin is the most priced cryptocurrency with its price of $170 billion, holding the first position in the crypto trade exchanges its very next competitor is Ethereum; its value is $45 billion. In the long run, bitcoin will have to face many new challenges. The most disturbing problem for Bitcoin users is its regulatory crackdown. Chinese officials are imposing a crackdown on bitcoin by restricting its use in their country. From the US there is a faint chance of crackdown but it may face regulations from security and exchange commission on the ICO which helps in zooming the value of Bitcoin.

Bitcoin community is finding it hard to solve the problems like congestion and dysfunctional culture. Bitcoin can only process about a dozen of the transaction in a second because of its hardcoded background. Developers are putting there best to increase the capacity but it is developing a controversial situation within the Bitcoin community.

The ever-increasing transaction fees which are the after effect of congestion in the bitcoin network is also giving a hard time to the bitcoin developers. The developers are likely to bring a technology named Lightning to solve the problem, this will enable the network to work faster while processing the transactions.  The technology is still under development and will be upgraded very shortly. In the meantime bitcoin cash and classic are also facing some technological troubles, developers are working on it to fix the problems. Click on the source to know more.


    Vanessa Chambers