Disadvantages of blockchain technology

Disadvantages of blockchain technology There are technological problems. First of all, scalability: today, many popular distributed registry systems cannot handle a large number of transactions, which leads to a slowdown in the turnover and processing of transactions in them.

Another downside is the lack of confidentiality due to the quasi-anonymity of the blockchain. Some types of blockchain are potentially vulnerable to hacker attacks, as well as to the so-called "51% attacks" - when, in full compliance with the rules of the system, a coalition of users with large computer capabilities can change entries in a particular blockchain. This process is similar to how the majority shareholder in the JSC intercepts control.

In addition, regulatory and legal risks, as well as sometimes high resource and energy intensity, remain specific risks of the cryptocurrency sector of the blockchain industry.