For all of its revolutionary potential, Bitcoin remains a work in progress. Its long, and often contentious development has been the subject of immense debate among both supporters and critics. Several emerging steps along its march to completion will soon become game changers on the move toward mass adoption.
SCALABILITY IS A PRIORITY
Increasing network capacity is crucial for Bitcoin’s long-term success. Finding a workable scaling solution has been by-far the most difficult and contentious challenge faced by Bitcoin advocates.
The adoption of Segregated Witness (SegWit) enabled the creation of the Lightning Network (LN), which in theory solves the scaling problem. However, LN use has been anaemic since its launch. Apps and wallets that use the protocol are not user friendly, and it remains more of a novelty than a core function of the platform.
This fact may soon change as the network grows. Presently, daily transaction levels are low enough for all to easily move on-chain without help from the LN. Bitcoin will begin to see problems once daily volume is roughly double what it is now, which is all but certain to happen. At that point fees and slowing confirmation times will make using the LN far more attractive.
There are other scaling solutions in the works as well. Liquid, promoted by Blockstream, is growing rapidly. In fact, as Longhash recently pointed out, more Bitcoins are tied to Liquid than the LN at the time of writing:
The Lightning Network is a much hyped improvement for Bitcoin. But recently, the amount of BTC held on the Liquid sidechain surpassed BTC held in public Lightning Network channels. Analysis: https://t.co/iIiSvyX19T @kyletorpey
— LongHash (@longhashdata) March 26, 2020
BITCOIN PRIVACY FEATURES WILL BE EMBRACED
Critics have long derided Bitcoin for lacking true privacy,