Comparing the Current Infrastructure to Blockchain Infrastructure:
To better understand where we are now and where the future can go in terms of technology, we can compare the existing infrastructure to potential infrastructure systems.
Why is there interest to adopt Blockchain Infrastructure?
The technological advancements move the power from large institutions into the hands of the people. As confidence erodes in governments, central banks, large companies, mainstream media and legacy institutions, people can hold the power and make their own decisions. Blockchain facilitates transactions without interference and oversight. It provides trust without permission.
What are the current limitations of Blockchain Technology in Crypto?
Cryptocurrency projects aim to solve The Blockchain Trilemma:
Decentralization: ability to distribute data and computing power across the computers in the network. The more computing power, the more decentralized it is.
Security: ability to protect the network from malicious actors and data compromises. The more spread out the network is, the more secure it becomes.
Scalability: ability to support growing users and transaction volumes on the network as it increases. The more decentralized the network is, the less scalable and efficient it operates.
As you can see, Blockchain Technology is confronted by this trilemma. There must be a compromise in one area, in order to satisfy and maximize in the other two areas. New crypto projects attempt to solve this trilemma with different strategies and approaches, in order to meet, exceed and improve on our current infrastructure systems.
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