According to financial guru Ted Bauman, the problem with Bitcoin is that it can not process enough transactions per second. Bitcoin can process a paltry amount of transactions compared to the major financial companies. For example, Visa can process up to twenty four thousand transactions every second, while Bitcoin can only process six and a half transactions per second. It works right now because few people use it compared to other currencies. However, even now it can take up to an hour for a transaction to take place. It is simply not feasible to be used as a real currency for everyone in the world. Follow Ted Bauman at stocktwits.com
However, Ted Bauman points out that there have been steps taken to fix this problem. Bitcoin uses a blockchain technology. Ted Bauman pointed out that if you decrease the amount of data in each block, the network will not be so overloaded. Another solution is to increase the number of blocks that you have. Some people came up with the segregated witness technique to try and decrease the amount of data in each block. Others did the hard fork technique, which eventually led to the creation of a whole new cryptocurrency and Bitcoin Cash. People who already had Bitcoin then became the owners of the same amount of Bitcoin Cash for free.
The truth is that the segregated witness technology was canceled not long ago. That is why the price of Bitcoin Cash went up. However, there still seems to be no real solution to the problem. There are other cryptocurrencies out there that do not have this problem. Ethereum has its own solutions. Bitcoin Cash does not seem to be taking over Bitcoin itself, though it does have a higher price than Ethereum.
Regardless, says Ted Bauman, this is a serious issue. If Bitcoin does not fix this problem, then it will simply be impossible to use it. If you need to get out of a parking garage, for example, and you can only pay with Bitcoin, then it can take you an hour just for the payment to go through. You will be stuck until then. The same goes for buying a soda from a vending machine if it accepts Bitcoin.
Ted Bauman, the editor of The Bauman Letter, has many years of experience in the financial market. He is an experienced analyst.Check:http://thesovereigninvestor.com/precisionprofits/ted-bauman/