The Global Market for Blockchain Technology is Projected to Reach US$2.6 Billion by 2022

Blockchain’s Promise of Solving Longstanding Security Issues in Computing Encourages Investors to Pour Money Into Blockchain Start-Ups, Boosting Bullish Market Sentiments According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Blockchain Technology market. The global market for Blockchain Technology is projected to reach US$2.6 billion by 2022, driven by the growing confidence in blockchain’s disruptive ability to decentralize the Internet and IoT Networks; revolutionize supply chain management; generate immense value in payments, settlement & clearing in securities processing; creating next-gen public-key infrastructure; potential in executing smart automated contracts and myriad other as-yet-unthought-of innovative possibilities.

The current state of the Internet is based on a centralized model with powerful companies and their servers’ gatekeeping the network. All information funnels through a mandatory central hardware point and all security therefore depends on access control which is mediated by a centralized entity. The creation of smaller networks inside bigger networks however makes security breaches relatively easy. The Internet is now used for commercial transactions of all kinds with centralized financial networks such as the clearing house playing a pivotal yet fragile role in securing transactions as they are subject to multiple layers of oversight and failures. Against this backdrop, there is growing interest in decentralized network architecture and governance. The world is now looking beyond bitcoin, seeking to leverage the de-centralized bitcoin security architecture to create and develop a truly democratic, open and decentralized Internet economy that safeguards privacy, and encourages empowerment and innovation. Given the massive opportunities involved in developing this technology to strengthen network access, innovation, privacy, and powerful consumer protection and empowerment, there is a spectacular surge in venture capital (VC) funding of innovative blockchain startups. Defined as a distributed consensus algorithm, blockchain has the potential to change the Internet into a distributed system.

Steadily rising investments in distributed ledger technologies; growing interest of enterprises in Blockchain solutions; increasing demand for faster and highly secure payment transactions; and rising adoption of advanced programming platforms by companies across various industry verticals are expected to fuel growth in the global Blockchain technology market. The growing focus of enterprises on scalability, transparency and immutability of transactions will remain the cornerstone for growth in the market. While the year 2016 witnessed efforts towards achieving proof-of-concept for Blockchain technology in financial services industry, the widespread mainstream adoption of the technology is expected to take 5-10 years. By 2020, the financial services industry is likely to witness worldwide implementations of Blockchain, through non-financial uses of the technology globally will take more time. Deployment of Blockchain technology in the upcoming years will however depend on several factors including regulatory and legal framework in place, initiatives undertaken by government agencies, and interest shown by startups, consortia and financial services majors. Financial Services industry, the largest application market for Blockchain technology, is expected to continue leading growth in the years ahead, driven by the need for financial transactions to advance from traditional systems towards more integrated systems.

As stated by the new market research report on Blockchain Technology, the United States represents the largest market worldwide, due primarily to the early adoption of technology in the region compared to other geographic markets. The presence of a number of leading players and startups that are continuously stepping up their investments in developing Blockchain-based applications also contributes to the region’s leadership position. Asia-Pacific is poised to grow at the fastest CAGR of 45.7% over the analysis period, driven by the emergence of Internet based economies in the region such as China, India, Singapore and Australia and the ensuing strong interest in blockchain technology for securing Internet engagement. Investments in blockchain R&D and deployment will continue to gain momentum encouraged by the growing efforts of enterprises of all sizes to digitize operations and unlock the potential of blockchain to enable friction-free, peer-to-peer transactions.

Major players covered in the report include AlphaPoint Corporation, Blockchain Global, Blockchain Tech Ltd, BlockCypher Inc., Bloq, Chain Inc., Coinfirm Ltd., Consensus Systems, Credits, Digital Asset Holdings LLC, IBM, Libra Services Inc., Microsoft Corporation, Monax, Nasdaq, ShoCard, The Bitfury Group, and The Linux Foundation, among others.

The research report titled “Blockchain Technology: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, mergers, acquisitions and other strategic industry activities of global companies. The report provides market estimates and projections for all major geographic markets such as the US, Japan, Europe, Asia-Pacific and Rest of World. The global market for Blockchain Technology is analyzed by Type (Hybrid, Private and Public) and by Application (Transportation, Telecom & Media, Financial Services, Healthcare and Others).

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