Nope. At least soon that won't be the case. (soon as in a few months maybe a year) Check out the lightning network:

http://techcrunch.com/2015/06/13/down-the-blockchain-rabbit-...

"In theory, this distributed micropayment network–the Lightning Network–could scale Bitcoin transactions up to “billions of transactions per day” across the planet, with minimal use of the blockchain and minimal fees (zero, for direct channels.)" Instant and way more than 7 tps... Settled on the blockchain and still decentralized. ;)

Lightning Network has a number of problems as the solution for Bitcoin's problems:

2. It's a sidechain - that is to say, an altcoin that claims a link to Bitcoin. The forces that would cause mutually-distrusting individual humans to maintain the linkage is unclear.

1. Like other sidechains, but unlike altcoins, it ... doesn't exist. This is a subtle point, but I think it might be an important one.

(not that I am any fan of altcoins either. But basically, the Bitcoin protocol as it stands was never designed with scaling in mind.)

It's a new protocol that needs to be accepted on top of the blockchain with its own 3rd party sidechain, just like all the other proposed solutions that were never accepted by the community. Cool.

Meanwhile, Bitcoin is still 7 TPS.

Lightning network is designed for settlements between off-chain transaction providers, it's not for peer-to-peer payments.