A Blockchain or previously referred to as block chain is an increasing list of records called blocks containing transaction data and timestamps of the previous block that are linked using cryptography. Blockchain is a faster, more secure, and more economical technology used to carry out online transactions across financial services and nonfinancial sectors. Since blockchain technology is decentralized, it eliminates the necessity of third parties or intermediaries to verify online transactions. As a result of this, the global blockchain technology market is expected to witness a paradigm shift during the forecast period owing to its increased adoption in the financial services and nonfinancial sectors.
Global Blockchain Technology market is estimated to be valued at US$ 123.66 Bn by 2030.
Global Blockchain Technology Market: Drivers
The market is witnessing a growing presence of numerous players.
Since the emergence of crypto currency, blockchain technology has experienced significant growth and has found adoption among numerous financial institutions for transactional purposes. Over 2020-2022, the utilization of blockchain technology solutions has gained considerable traction across diverse business domains, including document management, payment processing, smart contracts, and record-keeping. This surge in demand has led to the entry of numerous startups into the market, focusing on the development of innovative blockchain solutions.
On December 5, 2022, notwithstanding the correction in cryptocurrency markets, the advancement of blockchain technology gained momentum. Bank of America highlights that regulatory measures play a crucial role in facilitating the widespread acceptance of cryptocurrencies.
Global Blockchain Technology Market: Opportunities
Increasing number of proactive initiatives by government of various countries
Governments of various countries are focused on taking proactive initiatives, in order to implement blockchain technology in various sectors including BFSI (Banking, Finance, Service,Insurance) and retail sectors.
For instance, in November 2020, Blockchain technology is a distributed and decentralized ledger system designed to promote transparency, data security, and integrity. Governments and industries are increasingly showing interest in and investing in blockchain to achieve substantial cost savings and enhance operational efficiency.
Global Blockchain Technology Market: Restraints
Challenges related to modernization of technology
Large scale deployment of blockchain technology requires mapping and scaling of the existing technology. In this, government regulation, funding, and economic conditions in the country play a critical role. Along with the time required to meet regulatory compliances, the adoption of completely new technology needs time and cost to replace and upgrade the old one. Hence, time, costs, and regulatory approvals required for technology upgrades are expected to restrict the market growth over the forecast period.
Market Trends
FinTech investments
There has been a significant increase in global FinTech investments. FinTech investments have gained significant traction in Asia Pacific, Europe, and the U.S.; Europe leading the global FinTech investments. The global blockchain technology market is expected to witness significant growth during the forecast period, owing to FinTech investments in the sectors of insurance, banking, and online payment.
Global Blockchain Technology Market- Impact of Coronavirus (Covid-19) Pandemic
The global economy and investments in digital technology were severely disrupted by the COVID-19 pandemic, resulting in the closure of numerous production facilities. The outbreak also had a profound impact on digital ledger technology. However, in response to these challenges, major market players have made significant investments and revamped their digital strategies. These initiatives are expected to drive a surge in demand for digital ledger technology in the post-pandemic period. Additionally, the pandemic acted as a catalyst for the widespread adoption of digital technologies across various sectors, ranging from government to retail.
Global Blockchain Technology Market: Competitive Landscape
Key players operating in the global blockchain technology market are Digital Asset Holdings, LLC, Microsoft Corporation, Ripple, Deloitte Touche Tohmatsu Limited, R3, IBM Corporation, JP Morgan Chase & CO, Coinbase, Accenture, and Chain Inc.
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https://www.coherentmarketinsights.com/market-insight/blockchain-technology-market-2846
Key Takeaways:
Global Blockchain market was valued at US$ 3.76 Bn in 2022 and is forecast to reach a value of US$ 123.66 Bn by 2030 exhibiting a CAGR of 54.7% between 2023 and 2030.
Global Blockchain Technology Market: Recent Developments
In October 2021, MoneyGram International, Inc. revealed a collaboration with the Stellar Development Foundation, an open-source public blockchain technology provider. This partnership aims to provide convenient digital payment solutions in local currencies worldwide. Additionally, it facilitates near-instantaneous settlement of digital payments to enhance operational efficiency.
In June 2021, BIGG Digital Asset Inc. joined forces with Blockchain Foundry Inc. to deliver forensic and risk-scoring solutions specifically tailored for stablecoin and fractional NFT creators. This strategic partnership aims to support these companies in offering enhanced security measures and comprehensive risk assessment tools.
