Hardware wallets are physical devices used to store the crypto assets’ digital keys. There are two main types of crypto wallets: software-based hot wallets and physical cold wallets. Hardware wallets work by storing the private keys in an external, physical device generally a USB or Bluetooth.
Statistics:
The Hardware wallet market was valued at US$ 227.1 Mn in 2021 and is forecast to reach a value of US$ 1426.50 Mn by 2030 at a CAGR of 24.9% between 2022 and 2030.
Figure 1: Global Hardware Wallet Market Value (US$ Mn) Analysis and Forecast, 2017 - 2030
Key Developments:
In January 2019, ARCHOS collaborated with Blockchain Foundry Inc., a leading supplier of blockchain related business solutions and the consulting services to provide its ARCHOS SAFE-T, a range of the hardware cryptocurrency wallets and the blockchain protected solutions over Canada and U.S
In September 2018, ARCHOS revealed the approval of Safe-T touch, the first protected hardware wallet with a touch screen, showing an android interface an integrated services platform, for those who already use crypto-currency or who are interested to open an account with the help of crypto-assets in it.
Market Drivers:
Driver 1:
The public Ledger maintains data related to identities secretly, its cryptocurrency balance, and records genuine transactions to reduce manipulation during the transaction process. This is anticipated to drive the growth of the hardware wallet market, thereby influencing the development of the hardware wallet market.
Driver 2:
Rising investments by the key players in the commercial and private sectors is expected to boost the market. The rise in demand for advancement of next generation payments systems globally is expected to drive the growth of hardware wallet market.
Figure 2: Global Hardware Wallet Market Share (%), By Region, 2021
Market Restraint:
Restraint 1:
Implementation of government regulations against crypto currency or digital currency and increase in the currency regarding privacy and security of crypto is anticipated to hinder the growth of the global hardware wallet market.
Restraint 2:
Lack of consumer awareness regarding the hardware wallet is acting as a major barrier in its adoption. This is further expected to hamper the growth of the global hardware wallet market. People lack behind in the knowledge of buying and selling the cryptocurrency which might impede the growth of the market.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2021 | Market Size in 2021: | US$ 227.1 Mn |
| Historical Data for: | 2017 to 2020 | Forecast Period: | 2022 to 2030 |
| Forecast Period 2022 to 2030 CAGR: | 24.9% | 2030 Value Projection: | US$ 1426.50 Mn |
| Geographies covered: |
|
||
| Segments covered: |
|
||
| Companies covered: |
Major companies operating the global hardware wallet market are ARCHOS S.A., ELLIPAL LTD., LEDGER SAS and OPOLO SARL |
||
| Growth Drivers: |
|
||
| Restraints & Challenges: |
|
||
Market Opportunities:
Opportunity 1:
A cryptocurrency public ledger system is a record-keeping system. The distributed ledger technology is designed to record transactions of assets and its detail in multiple places simultaneously. This system is intended to maintain transparency among users to reduce human errors, financial loss of data, or machine errors. This is expected to boost the growth of the global hardware wallet market.
Opportunity 2:
The surge in demand for cryptocurrencies such as bitcoins, dogecoin, and Ethereum across the developing economies such as India, China, and Brazil is expected propel the market’s growth. Due to the rise in inflation and potential for safe-haven assets it is predicted to offer lucrative opportunities in the growth of global hardware wallet market.
Market Key Takeaways/Trends:
Trend 1:
The integration of blockchain and distributed ledger technology for ensuring transparency by minimalizing the risks of hacking and other fraudulent activities is major factor propelling market growth. In line with this, the escalating prevalence of cybercrime and the growing usage of e-commerce platforms, along with steadily increasing data vulnerability are expected to fuel the growth of global hardware wallet market.
Trend 2:
The widespread adoption of wireless hardware wallets due to direct control, long-term storage and security is contributing to the market growth. The rising use of near-field communication (NFC) for wireless data transferring is also driving the market toward growth. Other factors, such as the emerging trend of digital and cashless payments, particularly in the developing regions, is boosting the market growth.
Competitive Landscape:
Major companies operating the global hardware wallet market are ARCHOS S.A., ELLIPAL LTD., LEDGER SAS and OPOLO SARL.
Hardware wallets allow one to manage own private keys, granting full ownership and control on funds. Since the private keys are kept offline at all times, they are immune to malicious software, except in a scenario where the device is defective. As they are able to sign transactions without the private keys ever leaving the device, they are more secure than a software wallet.
Market Dynamics:
The companies are concentrating on innovation with devices that handle numerous currencies and wireless technologies due to increased investments in the market under study. This is expected to drive the growth of the global hardware wallet market. For instance, in August 2022, Ledger, a prominent hardware manufacturer for securing digital assets, intends to invest at least USD 100 million to grow its company. Most prominent entrepreneurs and businesses are interested in bridging hot and cold storage to find the best of both. This is expected to offer lucrative opportunities in the growth of global hardware wallet market. For instance, in August 2022, Coinkite, a bitcoin business, released Tapsigner, its newest hardware wallet, to simplify cold-storage bitcoin self-custody.
On contrary, lack of consumer awareness regarding buying and selling of cryptocurrency is expected to hamper the growth of global hardware wallet market.
Key features of the study:
Detailed Segmentation:
Joining thousands of companies around the world committed to making the Excellent Business Solutions.
View All Our Clients