Blockchain Technology Market Size
The global blockchain technology market size was valued at USD 1,590.9 million in 2018 and is expected to grow at a CAGR of 69.4% from 2019 to 2025. The blockchain technology is one of the most promising upcoming technological trends in the information technology domain. It enables a ledger that can be accessed by parties involved in the transaction and can act as the universal irrefutable depository of all transactions between the involved parties.
The numerous benefits involved in developing such a platform have already attracted the attention and hence, investments, from the financial sector as well as many technological giants. Not only does the technology hold the ability to disrupt the way the financial sector often works but will also have ramifications on many other industries including consumer goods, and media & telecom, among others.
An innovative requiem for all Bitcoin transactions; the blockchain technology has also incorporated other cryptocurrencies, including Litecoin, Ripple, and Mintchip. Many financial institutions and banks are developing a keen interest in the technology, owing to its unique and innovative structure with regulatory bodies, such as the International Monetary Fund (IMF) and Bank of England, which are showing considerable interest in the matter.
A wide range of players in the finance market is looking out for investment opportunities and many have made the first phase of investments to develop products and services in the industry. Though the market may be struggling with regulatory uncertainties and security concerns, the coming years are expected to witness a larger role of the concerned technology in financial transactions, spanning diverse domains and industries.
Apart from the financial sector, blockchain technology holds enormous opportunities across multiple application areas. Healthcare and public-sector applications are expected to witness enormous growth in the years to come. This is due to the fact that the implication of the technical knowledge was restricted only to the BFSI segment earlier. The actual model of blockchain is now being implemented in various core applications.
On the basis of type, the market is segmented into the public cloud, private cloud, and hybrid cloud. Public networks are the most dominant segment in the market owing to the growing tendency of the government and institutions to inculcate open and efficient transactions. For example, the Australian Securities Exchange (ASX) announced that the exchange had intentions to move Australia’s settlement and clearing systems on the blockchain platform.
The private network segment allows companies to modify rules and reverse transactions at comparatively cheaper transaction rates. These networks allow fixing of faults by manual interventions and at exceedingly high speeds. Private networks are expected to follow the public segment, albeit cautiously, and may witness a considerable rise in adoption in the coming years.
The blockchain technology tends to immensely benefit financial transactions that take place in businesses around the world by providing anonymity, openness, and efficiency by leveraging the capabilities of the internet era. The financial sector stands to benefit the most from the technology and has been a proactive partner and investor in the development from its initial stages. For instance, in September 2016, Bank of America Merrill Lynch collaborated with Microsoft Corporation to automate and digitize credit assessment process with blockchain technology. The digitalized process aimed at enhancing audit transparency and reducing counterparty risk.
Blockchain Technology Market Report Scope
Segments Covered in the Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For the purpose of this study, Grand View Research has segmented the global blockchain technology market report on the basis of type, component, application, enterprise size, end-use