Yes. There are several problems.
The first, and most fundamental is that blockchain technology is inherently non-scalable. It is, effectively an ultra-redundant database system, operating on diverse hardware, in diverse regions, and which has a monotonically growing, non-prunable dataset. It is estimated that there are around 100k nodes in the bitcoin network maintaining a copy of the dataset, and participating in peer-to-peer replication. The total quantity of storage required for each database entry and the network traffic to replicate it are non-negligible.
The proximate problem is an artificial limit on transaction capacity implemented several years ago. At present, the system is designed so that the dataset cannot grow by more than 1 MB every 10 minutes. This limit was put in place to avoid spam attacks resulting in a DDOS of the network. There is a non-trivial computational cost to validate each entry cryptographically. Even my quad core i7 CPU can take 10-15 seconds to validate a 1 MB database update message. Lesser nodes, like ARM devices which wish to maintain a full copy of the dataset may need to dedicate 10-25% of CPU time just to handling incoming updates (i.e. each message incoming at 600 second intervals may require 60-150 seconds of CPU time).
The problem is that demand for transactions exceeds the hard limit. As a result, there is a queue of pending transactions, which currently stands at about 200 MB (or about 30 hours), with transactions removed from the queue in order of the amount they wish to pay as fees. This has led to spiralling fees as users try to outbid each other, in order to have their transactions accepted. Transactions with low fees have recently been timing out after 2 weeks in the queue and have been discarded unprocessed.
There has been an attempt to increase the transaction limit. However, because the bitcoin system is decentralised and based on consensus, such an upgrade would require 100% participation. Anyone that fails to upgrade would find their software completely broken, possibly silently so, such that they could spend bitcoins, but they would not be received, with no warning to this effect. A very complex solution has been developed which permits an increase in the limit with backwards compatibility (as well as fixing some minor security bugs), but as yet the reference node implementation has no GUI or meaningful CLI/API access to it; the network and accounting implementation is fully featured, but there is no practical way to use it, short of developing your own transaction bitstream generator, using some sort of middleware or a 3rd party library with its own low-level API, or a non-reference implementation of the software. As a result, use of this new format has been very limited, and only about 10% of the achievable capacity uplift has been realised.
This has seriously fractured the community. The incumbent developers take the view that the inherent inscalability of the blockchain concept means that development efforts should be focused on layered solutions. Transactions in the main bitcoin blockchain should be large value clearing transactions, which serve to aggregate large numbers of lower value transactions made at a second layer, with potentially microtransactions at a 3rd layer begin aggregated into 2nd layer transactions. Additionally, breaking changes should be avoided unless there is no other credible option, as not all participants run the reference code, and some may have made custom modifications which may require significant development time to implement new mandatory features.
Other groups have taken the view that convenience and capacity available immediately are more important, and have proposed breaking changes. One group, calling themselves bitcoin cash, changed the transaction limit to an 8 MB soft limit, based upon the a configuration option settable in the node options, hence the network can be upgraded to a larger capacity, simply by the majority of participants increasing the soft limit on their node configuration. It is estimated that there are around 10% as many "cash" nodes as bitcoin nodes, but transaction volume on the cash network is approximately 5% that of the bitcoin network. At the same time, the cash group has deliberately decided not to implement the bug fixes of the new transaction format, as without these fixes a layered solution is very challenging technically. Their answer to the issue of CPU and storage usage is that you shouldn't try to maintain your own copy of the database on inadequate hardware or network, and if you have a slow CPU or slow network, you should use a thin client which connects to their servers.
A separate group proposed a 2 MB hard limit but with the new transaction format, with no other long-term plan. This project subsequently failed and was never implemented. The community rejected it, as the modified client was specifically designed to masquerade as the original client on the network, so that "crosstalk" between the various networks and databases could occur, either by accident, or due to a malicious actor, potentially causing serious difficulties to users who wished to participate in both networks (e.g. exchanges or speculators/traders, adventurous users, etc.). There then followed an engineering arms race between the two factions - with countermeasures against cross-talk being developed, then counter-counter-measures from the other side, so that cross talk would be possible to bootstrap the 2X network, then counter^3 measures against this. Finally the 2X group abandoned the project, but not before core had spent so much engineering time on countermeasures that their schedule for deploying new APIs, etc. had slipped several months. In reality, the 2X would never have worked anyway, an off-by-one error would have resulted in a fatal deadlock when the 2X rule activation was triggered.