The future of cryptocurrency will depend heavily on technological innovations that address its current limitations. One of the biggest criticisms of crypto, particularly Bitcoin, is the energy-intensive process of mining. While proof-of-stake (PoS) systems like Ethereum 2.0 promise to reduce the environmental impact, many still see blockchain as inefficient compared to traditional financial systems. However, developments in blockchain technology are promising. Layer-2 solutions, such as the Lightning Network for Bitcoin and Optimistic Rollups for Ethereum, aim to increase transaction speed and reduce costs without compromising security. New consensus mechanisms, sidechains, and hybrid models might also emerge to strike a better balance between scalability, decentralization, and sustainability.
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