What Are the Main Limitations of ASIC Technology despite Its Superior Efficiency?

The primary limitation of ASICs is their lack of flexibility; they are purpose-built for one specific hashing algorithm and cannot be repurposed if the underlying cryptocurrency changes its algorithm or becomes unprofitable. This lack of versatility creates a significant stranded asset risk.

Additionally, the ASIC manufacturing industry is highly centralized, leading to potential supply chain issues and concerns over market monopolization.