Hyperledger fabric is one of the popular blockchain creation and the deployment solution. And since the proof of stake and proof of work, it has served many private projects. And now the Hyperledger fabric is being picked for the govt projects like CBDC and the digitial asset.
However things have changed over the years. And hyperledger has eventually showing it's sign of age and it is also showing some of the limitations of the blockchain being created out of it's framework.
Recently few nations are making their own CBDC sandboxes and projects using the Hyperledger Fabric. But those projects are meeting more issues and the limitations. So here in this post, we take a look at some of the limitations of the Hyperledger Fabric.
Here are some of the limitations of the Hyperledger Fabric. This would really hurt CBDCs that are adopting the hyperledger fabric.
Privacy Limitations
Most of the CBDCs want to keep the consumer private. They don't want to show the people who are doing the transaction. Just like the cash. And they are making sure to avoid that. Fabric kind of opens the metadata to all and that would be bad as the two parties would get exposed and it would be on the CBDC to hide them through some pseudo names and IDs.
Code and SDK Development Limitations
Fabric has it's own ways to do the code and the dApps. And this may require Go, Javascript and Java as the language. Variety of those interfaces are not compatible with the decentralized chains out there. And so this code limitations make the integration difficult off the chain. And this also means that we have to watch out for some really different set of the standards for being open for all chains.
Scale Limitations
Ethereum and Fabric are kind of limited with how many transactions they are going to allow on the chain. So they are limited to 10K TPS limit. Anything more than that would only result in the congestion. And so this limit would also hurt the CBDCs that would be making use of the blockchain ledger of the Fabric. So it'd be reasonable to say that scaling is not a strong suite of Fabric.
Interoperability Issues
CBDCs would require the token to be used across multiple chains on and off. And they want to make the token usable outside the govt chains. But considering Fabric is meant to be used among the single chain. So it won't be able to open the extention for other chains for the interoperable nature. Which kind of opens up the limitations of the interoperable nature.
Locked in Vendor and Cost of Infrastructure
When you invest into the hyperledger fabric, it is open source but it is like locked in ecosystem and there is not much knowledge that would be usable outside. So everything done here and made here won't earn much of knowledge that can be taken to another chain. There is also higher cost of ownership of the hyperledger fabric inrastructure. This is what I have noticed so far with the tokens and chain.
Performance of Chain and Token
Let's consider a scenario where you are keeping your token in the chain. And with CBDC you would be doing too many transactions but the ledger has it's own set of the limitations on how much they can process. So the performance definitely takes a hit and it kind of hurts the token especially for stablecoin and the CBDC like projects.
In short in order for the CBDC and the govt projects to be reasonable for the large set of the consumers, It'd be reasonable to avoid the Hyperledger Fabric as their chain or even for the sandbox usage.
Hyperledger Fabric is a good blockchain framework. However making use of it in the grand scale implementations like CBDC would only hurt the consumers. And it'd be reasonable to either work on limitations of ledger or move the govt based projects to custom chain which is more scalable.