Blockchain technology has evolved into more than just an inventive tool for cryptocurrencies. They are currently being deployed in logistics, healthcare, and financial sectors. They are also utilized for digital identification and supply chain management. Blockchain’s primary function is to ensure the openness of information, immutability, and security. However, as its field of use grows, one of the most significant issues emerges. It is scaling.
Scaling blockchain is a complex undertaking. It needs balancing performance, decentralization, and security. Developers and system architects face significant technical, infrastructure, and architectural issues. All this is because the number of users, transaction volume, and data volume continue to expand rapidly.
Bandwidth Limitations. Architectural Barriers of Blockchain Systems
Speed issue
Block architecture and size
1. Transaction speed issue
Low throughput is one of the first challenges developers face when scaling a blockchain. Bitcoin can process approximately 3–7 transactions per second (TPS). Ethereum can process 12–30 TPS. For comparison, traditional centralized systems, such as Visa, are capable of processing over 24,000 TPS. This is the maximum peak capacity of the network when we talk about completed transactions. If we talk about network messages, i.e., authorization + settlement, the figure is closer to 65,000 messages/second.
Given this, a serious problem arises when a blockchain system attempts to scale for global use. High transaction demand leads to:
Increased fees,
Increased confirmation times.
All of this negatively impacts the user experience.
2. Block architecture and size
If a block is too small, it cannot contain all transactions. Increasing the size leads to greater data storage and transmission requirements. This complicates the participation of new nodes in the network. Therefore, it is necessary to consider not only the size of the blocks, but also ways to optimize storage. In particular, the use of sharding or Layer 2 technologies.
In this context, it is crucial to remember that such challenges with data storage and processing arise not only at the level of blockchain systems. They also occur in ordinary personal devices. Large amounts of data affect the overall stability of systems. Large amounts of system data can slow down even modern computers, affecting their stability. This is most often caused by excessive accumulation of system files and cache. Tools like the CleanMyMac app can help users identify and remove redundant files, optimize memory usage, and restore system performance. This problem illustrates the general complexity of working with large amounts of data. That is why storage optimization is a key challenge for both individual device users and developers of decentralized systems.
Decentralization vs. Scalability
According to the well-known blockchain trilemma, achieving three major goals at the same time is challenging. Specifically,
Decentralization,
Security,
Scalability.
Developers are usually forced to sacrifice one of mentioned components to improve the others.
Reducing the number of nodes
As block size and database size grow, more computing power is required to maintain a full node. This forces some users to rely on third-party nodes. This can lead to centralization. Such a shift in balance do the following:
It contradicts the very ideology of blockchain,
It creates potential vulnerabilities.
This is one of the most serious blockchain scalability issues because it is difficult to solve without new approaches to protocol design.
Data Storage and Maintenance Issues
Constant growth in data volume
Replication and synchronization issues
1. Constant growth in data volume
With every new transaction, smart contract, or token, the blockchain accumulates data. This data is not deleted.
Traditional databases have mechanisms for cleaning, archiving, or compressing data. In blockchain, however, this is virtually impossible without compromising immutability. Therefore, nodes are forced to store all historical data, starting with the genesis block.
The amount of data on Ethereum exceeds hundreds of gigabytes. And it is constantly growing. As a result:
It becomes more difficult for new users to join the network,
Maintenance costs increase.
2. Replication and synchronization issues
Each network participant must have a copy of the entire registry. This creates additional challenges. Specifically, the following factors significantly complicate the scaling of blockchain systems:
High network load during replication,
The need for constant synchronization between nodes,
Delays in updates.
Interaction Between Blockchains
Lack of standardization
Bridges as a source of vulnerabilities
1. Lack of standardization
One of the current trends is the rise of numerous blockchain ecosystems. These include Ethereum, Solana, Cardano, Polkadot, and Avalanche, among others. However, these platforms are frequently incompatible with one another. The lack of a single standard for data transfer between networks complicates:
Creation of universal applications,
Implementation of multi-network solutions.
2. Bridges as a source of vulnerabilities
One possible solution is to use cross-chain bridges. However, these mechanisms:
Complicate the architecture,
Create new points of attack.
Most of the largest hacking attacks in Web3 were caused by bridge vulnerabilities. This again illustrates the challenges of blockchain in real-world conditions.
Energy Consumption. Environmental Cost
Proof of Work (PoW) consensus protocols consume enormous amounts of energy. As the system scales, consumption increases even more. This creates economic and ethical challenges. It also undermines the long-term sustainability of blockchain solutions.
The search for environmentally friendly solutions
Potential blockchain scalability solutions include:
Reducing energy consumption by switching to Proof of Stake,
Using hybrid models,
Implementing green technologies.
Their implementation requires changes at the protocol level and broad community support.
Regulatory Barriers. Legal Uncertainty
Scaling blockchain solutions in a large number of countries faces obstacles in the form of legislative differences. What is permitted in one country may be prohibited in another.
Many jurisdictions, such as the EU with its GDPR, require the ability to delete personal data. But the immutability of blockchain contradicts this principle. Therefore, blockchain projects must find a compromise between legal requirements and technical capabilities.
Key insights
Scaling blockchain-based data storage systems is a multifaceted challenge that includes not only technical and architectural considerations but also legal and environmental ones.
The main blockchain scalability challenges pertain to:
Performance and Storage capacity,
Decentralization and Interoperability,
Energy consumption and Compliance with legislation.
Innovative ways are required to establish blockchain as the foundation of future digital infrastructure. In particular, its architecture must be reconsidered. New consensus protocols, interoperability standards, and active regulatory collaboration are also required. Only then will it be possible to effectively scale blockchain to the level of global application.
Among the most promising blockchain scalability solutions are:
Layer 2 technologies,
Sharding,
Inter-network protocols,
New cryptographic algorithms,
Automated data management.
All this will pave the way for the emergence of new classes of decentralized applications that can compete with centralized platforms.