Technical Challenges in Implementing Blockchain Infrastructure

Blockchain Infrastructure

The hype behind blockchain is still growing exponentially throughout the world. Many blockchain experts think that sectors like real estate, hospitality, law, and healthcare will be revolutionized with the introduction of blockchain technology to these sectors. This infrastructure, once implemented widely, can modernize and develop most industries of the world, leading to a world where the focus is on the comfort and ease of users. An accurate example of what blockchain can do when implemented properly is seen in the case of bitcoins and applications like that use this technology.

The main reason behind the hype behind blockchain is undoubtedly the ability to function in a distributed environment with an interference-free facility. However, regardless of the hype over new technology, there are always a few things that need improvement. Especially in the modern world, technical problems can derail the progress of new technologies overnight. Blockchain also faces some technical hurdles that it needs to clear before moving forward. Here are some technical problems of blockchain that you should know:

Incompetent Technological Design

When implementing Blockchain, the inefficiency of its technological design becomes a major problem. A tiny loophole in the coding can seriously harm the reputation of blockchain infrastructures. Cryptocurrencies like Bitcoin used to be one of the full proof systems that showed other cryptocurrencies the way. However, even the design of Bitcoin, after a point, reeks of inefficiency.

For example, Ethereum lent the decentralized application development system to the developers. To this date, numerous developers have made apps based on that technology. However, most of these apps have false coding or loopholes which can be used by hackers for malicious intentions.

Untraceable Technology

Although the untraceable feature of blockchain technology was supposed to increase the security and privacy of the consumers, it has affected its reputation negatively. As the nature of this network is decentralized, the true identity of the users always remains hidden. Naturally, people who do not want to disclose their transactions choose this platform. 

Criminals and the black market take advantage of this technology and use it to commit a crime or take ransoms. Moreover, the police or the investigators cannot just trace cryptocurrency as they can real money. This further harms blockchain technology’s reputation. The only way in which this problem can be solved is by implementing a better blockchain design that can trace and stop criminal activities.

Low Scalability

The most intriguing problem for the general public is the low scalability of blockchain technology. When implemented in a small scale environment, blockchain technology works just fine. But when the numbers of users increase in a network, the transactions can take ages to process, and as a result, the cost of the transactions go higher than usual. 

We can already see this problem in Ethereum and Bitcoin. As they have the highest numbers of users on their platform, they are trying hard to keep it up. Sometimes they even take days to process a single transaction. However, some of the blockchain technologies have displayed faster transaction speed even with lots of users.

Threats to Security

Security is a key concern of every user before they opt for new technology. Blockchain technologies are known for their security boasts. However, like any other technology, this unique system, too, comes with a set of security threats and possible issues that can put your confidential data at risk. 

The 51% attack is by far the most serious security flaw of this system. In this, the hackers manage to take over the network and exploit it to fulfil their malicious intentions. Even the transaction process can be hindered and other users can be prevented from creating their blocks. 


Apart from this, many other challenges of adopting blockchain systems set in when users begin with the process. If these technical challenges are not addressed soon enough, these would become real hurdles and actively dissuade users from adopting the infrastructure. Although the challenges are many, if this technology can be made bug-free soon enough, it would indeed have a lasting impact on many sectors of the global economy. 

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