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Scalability: Many blockchains (e.g., Bitcoin and Ethereum) struggle to process a large number of transactions quickly. Solutions like
layer 2 protocols and
sharding are being developed to address this.
- Energy Consumption: Proof of Work, in particular, requires significant computational resources, raising concerns about its environmental impact.
- Regulatory Uncertainty: Governments around the world are still figuring out how to regulate blockchain technologies, especially in the context of cryptocurrencies.
- Adoption: Widespread adoption of blockchain is still in its early stages, and many industries are experimenting with it rather than
