The Blockchain is defined as blocks of records, that are linked and very much secured with the help of cryptography. It was invented by a Japanese, called Satoshi Nakamoto, for serving as the public transaction type ledger for the cryptocurrency that we all know and love, Bitcoin. There are various advantages of Blockchain, like overall distribution over the world, decentralisation, etc. But people do overlook some of its glaring disadvantages. Therefore, following are the three most important things everyone overlooks about the Blockchain Technology.
Three Most Glaring Things About Blockchain
- Rapid Fluctuations
Blockchains are mainly operated by various kinds of currencies. These currencies help in the development by funding it, as for example, Ether is the currency in the Ethereum Network. And these currencies suffer from massive fluctuations in value. One Bitcoin can cost $100 today but can fluctuate to cost $150 the next day. These fluctuations can create either huge amounts of profits or huge amounts of losses for a specific party. For more info on various cryptocurrencies, head over to TrulyCoin.
- Consumption Of Huge Amounts Of Energy
The miners on the Blockchain Networks attempt to process like tens of millions or billions of solutions per second, so that the transactions could be validated. This consumes massive amounts of power by the computers which are processing the task. Thus, more electricity needs to be created, increasing more environmental impact and pressure on the earth’s resources.
- Security And Privacy Is Still A Concern
There can be various kinds of Blockchain solutions to lock down privacy, like private Blockchains or Blockchains having permissions. Blockchains can also be secured with strong encryptions. But convincing the regular public about the security concerns of Blockchain is totally a different thing. It’s not easy for a normal person to trust Blockchain with all his or her personal information.