The global blockchain technology market is anticipated to grow at a CAGR of around 80.2% during the forecast period 2020 to 2027 and to value around US$ 3.7 Bn by 2020.
Increasing need for simplified business solutions, rapid digitization approach of the government of developed and developing countries, and increasing acceptance of cryptocurrency among consumers are major factors expected to drive the growth of global blockchain technology market. Wide applicability of blockchain technology in various industry verticals is expected to impact the growth of target market. Blockchain is gaining importance among consumers due to high reliability, high transparency, and reduced risk of fraud. Government is focused on strengthening the digital payment methods; with the adoption of blockchain, they are securing the payment methods. In 2019, Institute for Development and Research in Banking Technology (IDRBT) division of Reserve Bank of India (RBI) came out with a blueprint of blockchain platform for the banking sector. Interestingly, a consortium of 11 of India’s largest banks including ICICI Bank, Kotak Mahindra Bank, Standard Chartered Bank, and Axis Bank, have launched the first ever blockchain-linked loan system in the nation. Major players approach towards integration of advanced technology is expected to support the growth of the blockchain technology market.
• In 2020, Microsoft a global IT company integrated Lition blockchain into Azure. This integration is expected to help Microsoft Azure’s enterprise clients can develop, test, and deploy Lition side chains and applications with ease on its platform.
• In 2018, the company collaborated with Interswitch Group. The collaboration was focused on launch of a blockchain based supply chain financing service in order to ensure fast and seamless trade financing in the entire supply chain system.
• IBM a global IT service company partnered with Nestle with the focus to use the IBM Food Trust enterprise blockchain solution in order to trace its Zoégas coffee brand in 2020. This solution would help the consumer to track the origin of the coffee beans used in their coffee.
In addition, introduction of innovative solutions by major players in order to attract new customers is expected to boost the blockchain technology market growth. In 2018, IBM a global IT enterprise launched new Sterling Supply Chain Suite. The product will aid distributors, manufacturers, and retailers to integrate their data and networks with suppliers into a Hyperledger-based blockchain to track and trace products and parts. This is expected to help the company to enhance customer base. Development countries such as US and UK are spending high on development of healthcare sector. Blockchain can help in improving the interoperability standards while maintaining the privacy and confidentiality of patient records. Factors such as uncertainty in regulatory regulations related to blockchain and lack of skilled labor are factors expected to hamper the growth of global blockchain technology market. In addition, rising security and privacy concern is expected to challenge the growth of target market. However, changing government regulations and high spending on infrastructure development for easy adoption are factors expected to create new opportunities for players operating in blockchain technology market over the forecast period. In addition, increasing demand from retail and real estate sector is expected to support the revenue transaction of the target market.
Segment Analysis by Region
The market in North America is expected to account for major revenue share in the global blockchain technology market due to increasing adoption of blockchain from various industry verticals. High government spending on development of infrastructure, presence of large number of players operating in the country, and introduction of new solutions are factors expected to support the growth of regional market. In addition, increasing acquisition activities in order to enhance the business presence is expected to boost the market growth.
The market in Asia Pacific is expected to witness faster growth in the blockchain technology market due to rapid digitization in the region. Increasing demand for safe and reliable, transaction solution from banking sector is expected to augment the target market growth. In addition, increasing partnership activities by major players is expected to impact the target market growth.
The global blockchain technology market is highly competitive due to presence of large number of players and innovative product offerings. In addition, business expansion activities through partnerships and agreements are factors expected to further increase the competition.
Blockchain Technology Market Segment Analysis, 2019
The global blockchain technology market is segmented into type, component, application, enterprise size and industry vertical. The type segment is bifurcated into public, private, and hybrid. Among type the hybrid segment is expected to witness faster growth in the blockchain technology market. The enterprise size segment is divided into large enterprises and small & medium enterprises. Among enterprise size, the large enterprise segment is expected to account for major revenue share in the global market. Players operating in the global blockchain technology market are IBM Corporation, Microsoft Corporation, Linux Foundation, BTL Group Ltd., Chain, Inc., Circle Internet Financial Limited, Deloitte Touche Tohmatsu Limited, Digital Asset Holdings, LLC, Global Arena Holding, Inc. (GAHI), and Monax.
Market By Type:
Market By Component:
Application & Solution
Infrastructure & Protocols
Market By Application:
Supply Chain Management
Market By Enterprise Size:
Small & Medium Enterprises
Market By Industry Vertical:
Media & EntertainmentRetail
Transportation & Logistics
The global blockchain technology market in 2020 is expected to be above US$ 3.7 Bn.
Increasing need for simplified business solutions, rapid digitization approach of the government of developed and developing countries and increasing acceptance of cryptocurrency among consumers are major factors expected to drive the growth of global blockchain technology market.
The CAGR of the global blockchain technology market from 2020-2027 is above 80.2%.
In type the hybrid segment is growing at faster pace.
In the global market the Asia Pacific region is expected to grow faster.
Some of the players considered in the report scope are IBM Corporation, Microsoft Corporation, Linux Foundation, BTL Group Ltd., Chain, Inc., and Circle Internet Financial Limited.
The North America is expected to account for major revenue share in the global market.