There are some flaws of bitcoins, Yes you read it right. Whenever the new technology comes it always has some flaws in the begining same happened with the bitcoin. Bitcoin was the first cryptocurrency developed in 2009. Bitcoin has some design faults which preveting it from being a good crytocurrency.
These are list of bitcoin flaws.
Fixed Money :
There is a cap of 21 million coins and over a half of the coins are already originated. What will happen when all coins will be mined ? this means bitcoin will soon become a fixed money. It means there is no new bitcoins going to be generated.
Then what will happen to minner’s which are actually running the bitcoin network and securing it, how they will get money ? it means they can loose their interest in the mining. And suddenly bitcoin minner’s quantity will be low and anyone can hack the network using 51% attack because it will be easy to do 51% attack.
Actually minner’s will be get money from the transaction fee but it will be very low and can be no more profitable business, becuase minner also required huge electricity power to run, and difficulty of the network will be also high to validate the transaction which requires special hardware.
Slow Processing :
Bitcoin transaction processing is very slow and it takes almost 10mins to complete, Bitcoin’s Protocol is proof of work (POW) which required alot of hash power and electricity to run.
Due to this flaw people started developing new Altcoins like Litecoin whose transactions are faster than bitcoin and has low transaction fee. Altcoin is alternative to bitcoin these coins implemented the new protocol using blockchain technology to improve performance.
Distributed Public Ledge :
Bitcoin is a distributed public ledge on the blockchain. This is the biggest flaw bitcoin has. For example i tell my friend to send me some bitcoins i will give him my bitcoin wallet. He can easily check how many bitcoins i already have in my wallet using bitcoin explorer, as you can see in the image below
It means there is no privacy, Anyone can see my bitcoin amount i hold. Then Monero was developed to remove this flaw, Monero transactions are completly anonymous.
Huge Storage Capacity:
The size of blockchain has already initiated, every 10mins new block is mined and added into blockchain, it means huge storage capacity is required to store entire blockchain database. As every time people sending and receing bitcoin and blockchain is increasing continously.
In my opinion bitcoin is just a first try and this is will not last forever, New imporoved alcoins are continously being developed and lauched with new concepts.
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