Bitcoin unable to handle the number of transactions

At the moment, the Bitcoin network is processing 4.89 transactions per second. This is just not enough to deal with the load of transactions that are being carried out by the users. At any given moment, more than 100,000 transactions in the memory pool of the network and are awaiting confirmation.

The frustration among the investors are growing. Even the Segwit fork has not been able to remedy this problem. People are just not accepting Segwit as fast as it was initially thought they would.

Problems related to transactions are not new for the Bitcoin network. A fix for the problem is still not in sight and many are complaining that Bitcoin is deviating from its original purpose, which was to become a globalized yet decentralized currency. Some have suggested that it is becoming more like Gold, a commodity that is valued and traded on a global scale.

While some may accept the comparison of Bitcoin with gold, others complain that Bitcoin should be treated as what it was initially planned to be, a currency. They want to use it to buy and sell products. If the transactions cannot be processed in real time, then bitcoin can simply not be used as a currency.

A fix for this issue is required sooner, rather than later, but scaling bitcoin will take a considerable amount of time and effort. Developers are actively working to sort out the problem, however, companies are struggling to apply these processes.

The bottleneck conditions at the Bitcoin network makes it excessively difficult to sell bitcoins. As the flooding of the network increases, users are being forced to pay higher fees. Higher fees are only adding fuel to the flames and users are getting more frustrated.

The cause behind the congestion is still unclear. However, as the price of bitcoin has soared in the recent few months, users are unloading bitcoin to cash before the price backtracks. However, with the current conditions, it is nearly impossible to move bitcoin to and from exchanges. The conditions may only get worse as more investors try to cash in their returns. An efficient solution to resolve the congestion needs to be developed that will not only solve the issue but cause minimal disruption in the network.