|Status : Published||Published On : Aug, 2022||Report Code : VRICT5013||Industry : ICT & Media||Available Format :||Page : 151|
The global blockchain market is projected to reach USD 50.1 billion by 2028, registering a CAGR of 80.6% during the forecast period. An increase in implementation of cryptocurrencies from different merchants and business organizations working in BFSI area is promoting the growth of the market.
When it comes to the major driving factors adding to the extensive growth rate of the blockchain market usually include growing venture capital funding & investment in blockchain technology, extreme adoption of blockchain solutions for payment, and escalating government plans.
The covid-19 epidemic has affected most of the market sectors around the globe. As a result, all the industries are fighting the battle with health and monetary problems as well as facing forced decline. Due to this reason, the global economic loss of millions and the fast recovery have turned out to be a major reason of concern.
Due to the COVID-19 epidemic, the reliance on online businesses has increased to a great extent. Healthcare & life sciences, BFSI, retail, manufacturing, transport, and logistics are now dependent on the internet in order to offer services to consumers.
Vendors around the world have experienced an amplified demand for the blockchain market. Amid the covid-19 epidemic crisis, several governments and regulatory establishments have mandated public and private firms to incorporate the new practices of teleworking and maintain social distance.
Since then, the digital ways of doing business and the use of emails with home servers have turned out to be the new business continuity plan (BCP) for different organizations.
The extensive use of mobile devices, as well as internet penetration around the globe, have made individuals inclined toward using blockchain. All these changing trends and distributed IT environments have made establishments liable to secrecy concerns, powering the demand for blockchain solutions.
Insight by Component
In the year 2021, the blockchain platform segment of the market held the most rewarding share of the market. Accessibility to different platforms for blockchain like Quorum, Ethereum, R3 Corda, Ripple, and Hyperledger are some of them. These platforms are well-known for offering several features that promote the growth of the industry over the forecast period.
Insight by Type
Based on type, the market is subdivided into public, private as well as consortium. Private solutions and services help businesses to reverse transactions and change the regulations at a lower transaction cost.
The consortium, also known as a federated digital ledger is advantageous where numerous businesses function in the same industry and influences a standard platform in order to effectively streamline the operations.
At the time of the forecast period, the public segment is anticipated to grow at the fastest CAGR. This type of growth will further contribute to the growing focus of various institutions and governments on forming resourceful as well as open transactions.
Insight by Provider
On the basis of provider, the global blockchain market is classified differently into application & solution providers, middleware providers, and infrastructure & protocols provider. Though infrastructure & protocols provider category is likely to observe the fastest growth during the forecast stage.
It is necessary to understand that the progress of this division is attributed towards growing need for blockchain protocols like Openchain, Ethereum, BigChainDB, and Hyperledger.
Along with this, there is also increased demand for blockchain protocol in order to develop certain games like CryptoKitties, Spells of Genesis, and EtherWarfare is predicted to encourage the demand for protocol and infrastructure segment at the time of forecast period.
Along with this, mounting demand for blockchain protocol to develop games such as Spells of Genesis, EtherWarfare, and CryptoKitties is projected to boost the demand for infrastructure & protocol segments during the forecast period.
Insight by Application
Based on application, the blockchain market is also divided into documentation, smart contracts, exchanges, payments, supply chain management, risk, governance, digital identity, compliance management, and others.
When considered among all the segments, payment contributes the biggest revenue worldwide. Though digital identity application is all set to witness the quickest growth in the forecast period.
The development of this segment is attributed towards rising adoption of these techniques by numerous key players working in the blockchain market for financial transactions because it aids in decreasing the need for central administration or facilitator.
Though, the payments segment is anticipated to have a huge market share. This rise will take place because of the use of cloud services in payment and transaction processes. This type of technology helps in increasing the payment system’s operational effectiveness, transparency, and cost-effectiveness at the same time.
The rising utilization of the technology among numerous government establishments across the world and the growing importance of several business firms collaborating this technology with mobile devices are some of the fundamental trends seen in the blockchain market worldwide.
Global blockchain market has been determined by different key factors, mainly growing adoption of cryptocurrencies from different merchants and business bodies functioning in BFSI area.
Besides, the rising demand of cryptocurrency is due to different benefits availed to the users like instant clearance and ideal settlement decisions in various financial dealings. As a result, these elements are boosting the evolution of blockchain market around the globe at a fast pace.
Lack of alertness about the blockchain method is clogging the development of the blockchain market worldwide. Moreover, the high early set up cost for adherence of full or fractional blockchain system is small and medium enterprises in emerging economies might obstruct the progression of the blockchain market around the world.
Integration and amalgamation of blockchain, IoT, and AI
It is important to know that blockchain technology has an amazing possibility in different application areas like IoT, banking as well as cybersecurity. The extensive usage of IoT devices is seen in some application areas like vehicular connectivity, smart city projects, smart grids, smart transportation, and autonomous vehicles.
Blockchain-infused IoT adds a high level of security in order to avoid data breaches so that IoT is safer as well as smarter.
It is said that North America has accounted for the largest share in the blockchain market, globally and is predicted to grow significantly during the forecast period.
The growth of this market is recognized towards the existence of a large number of organizations having a huge base of operation, adoption of payment and documentation uses in several industries along with widespread execution of smart contracts.
Moreover, Asia-Pacific is expected to witness the fastest growth during the forecast period due to huge investment undertaken towards the development of blockchain market that helps in reducing excessive labor costs.
Some of the key players operating in the global blockchain market are IBM Corporation, Ripple, Amazon Web Services, Inc., Microsoft Corporation, Abra, Chain Inc., BigchainDB Gmbh, Ethereum Foundation, Earthport PLC, Factom, BTL Group Ltd., Humaniq, Tierion, BlockCypher Inc., AlphaPoint, and Bitfury Group Limited.
VynZ Research conducts extensive primary research to understand the market dynamics, validate market data and have key opinions from industry experts. The key profiles approached within the industry include CEO, CFO, CTO, President, Vice President, Product Managers, Regional Heads, and Others. Also, end-user surveys comprising of consumers are also conducted to understand consumer behavior.
Source: VynZ Research
Source: VynZ Research