Blockchains don’t scale. Not today, at least. But there’s hope.

The first Bitcoin paper was first released in 2008. My excitement about the potential of blockchain technology has been building ever since. Decentralized digital currency, once just a far-fetched goal, is finally making inroads into the mainstream. While that’s exciting on its own merit, I’m personally most excited about the potential for decentralized applications. Financial exchanges, prediction markets, and asset management platforms all carry enormous potential. The trustless systems supporting them are no less intriguing; identity verification systems, smart property, censorship resistant social platforms, and autonomous structures and governance models like DAOs. The most disruptive use cases probably haven’t even been dreamt up yet. But this dream still remains a dream for the foreseeable future — while a few early enthusiasts and entrepreneurs are experimenting with building such applications, there’s still a big missing piece that prevents us from seeing these applications come to fruition: scalability. Blockchains, as it stands today, are limited in their ability to scale.

Read more...