1) Scams : A lot of people are doing scams related to bitcoin and crypto which has reduced the trust of people in crypto. Some people are still scared to use crypto because of fear of these scams.
This is one of the biggest challenges bitcoin industry faces right now, if not the biggest one. As many people still look for centralized services when adopting bitcoin and crypto, they still need assurances and guarantees to feel encouraged to invest their money. However, since these assurances are non-existent so far, it becomes a big challenge for the industry and its entrepreneurs to overcome it.
Another challenge are the regulations and how they are being developed and launched in different nations of the world. Some are hostile to bitcoin, while others are more friendly. The challenge is to give fair and free access to every individuals in the world to bitcoin, without any kind of barriers.