The Growth Of Blockchain Technology Market Over The Past Years
Blockchain technology operates on a decentralized database which is derived from multiple computers. It is highly secure as no other single user can manipulate a data entry in the blockchain since it would need a change in all the nodes. It is highly encrypted and secure due to which the blockchain technology market has given rise to the world’s most popular and highly used crypto currency of Bitcoin. Blockchain technology has numerous applications across various different industries.
Rise Of Blockchain Technology Applications
- As per statistics, currently, a significant percentage of banks across the globe are using, as well as experimenting with blockchain in order to have services which are more secure, transparent and seamless. The blockchain technology is also being used for managing medical, financial and legal records. This is expected to replace banks, credit agencies, and other traditional service providing intermediaries who act as gatekeepers.
- Factors such as an increase in venture capital funding, blockchain technology investments as well as a rising need for business simplification is helping the expansion of the blockchain technology market. Creation and development of businesses with its immutability are also one of the driving factors of the market growth in the past years.
- Additionally, blockchain technology is proven to reduce operational costs in the retail and supply chain market. However, certain regulations along with limited availability of the technical skill sets in employees across the globe are restricting the growth of the market. The industry of retail and eCommerce is expected to grow at the highest CAGR due to having a direct impact from blockchain technology. These industries are making significant investments to come up with innovative applications of blockchain technology.
- This technology is progressively elevating the customer experience, and enhancing the way data across the globe is being generated and manipulated. Blockchain technology is found to enable retailers to use smart contracts of their target audience, for settling feedback, as well as generating personalized services and products for them.
- SMEs and large enterprises dominate the blockchain technology market. The expected growth of the SEM (Search Engine Marketing) market in the coming few years is foreseen to directly impact the rise of the blockchain market. The manual or semi-automatic processes offered by blockchain such as invoicing, generation and maintenance of inventory, and payroll are operations which demand blockchain applications. Blockchain offers operational efficiency in developing patterns which improves critical capability in small as well as large businesses. The operations can be streamlined, made cost-effective, faster as well as devoid of human errors.
North America’s businesses and think tanks are contributing in a large way to the expansion of the blockchain market. This is in spite of the fact that the APAC region is increasingly contributing to the growth rate of the market. The growing number of startups and a robust technological research and development sector in countries such as China, India, and Singapore are aiding to the rise in how technologies such as AI, Machine Learning and Data Science can intersect with Big Data and blockchain technology.