Blockchain Technology Market Size By Providers (Infrastructure Provider, Application Provider, Operators), By Application (Smart Contract, Payment & Wallet, Digital Identity, Exchange, Compliance & Risk Management), By End-use (BFSI, Government, Healthcare, IT Service, Media & Entertainment, Transportation & Logistics) Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2019 – 2025

Blockchain Technology Market Size

Blockchain Technology Market size surpassed USD 488 million in 2018 and is predicted to grow at more than 69% CAGR between 2019 and 2025.
 

Blockchain technology is an emerging technology of distributed database, which records all the transactions & digital events executed & shared among numerous contributing parties. Each transaction across the public ledger is validated by an agreement between most of the stakeholders in the organization. It contains a demonstrable & certain record of each transaction ever executed.
 

The blockchain technology market growth is attributed to the increasing demand from firms operating in the BFSI sector to develop several personalized products and services to their customers. Insurance companies are focusing to enhance their offerings and developing innovative products & services such as peer-to-peer insurance, index-based insurance, and smart contracts. The market players operating in the BFSI sector are expected to use the technology in their products and services to expand into unserved and underserved regions including Latin America and the Middle East & Africa. Additionally, the technology will cater to the growing demand for real-time insurance payouts in the event of a covered claim from policyholders, which will further propel market revenue.
 

Blockchain Technology Market Analysis

The digital identity application is estimated to grow at 78% CAGR over the forecast timeline. Blockchain-based identity platforms have various applications in unregulated countries or countries with weak identification systems. Various governments have implemented blockchain technology-based identification platforms at the national level to facilitate secure & transparent transactions across private & public sectors. For instance, in June 2018, Estonia used a blockchain at the national level with its e-citizenship program. The country created its identity system, ID-Kaarts to reduce bureaucracy and digitalize all public transactions through secure digital identities.
 

The Europe infrastructure provider market held a dominant share in 2018 and is projected to maintain its position by 2025 due to organizations developing their private blockchain networks. The core infrastructure providers develop core software building blocks, which are essential for the network to be deployed. They can be further segmented based on protocol development firms and network development companies. The primary focus of the protocol development firms is the development of the core protocol layer upon which the distributed ledger networks can be built. The network development firms build custom distributed ledger networks for customers.
 

Cryptocurrencies are based on blockchain technology, representing a new development across the payments landscape. Cryptocurrencies offer a lower transaction fee compared to other payment methods, which attract individuals and entities for cross-border payments as they involve high transaction fees. This drives blockchain market growth across the globe. Additionally, the decentralized nature of cryptocurrencies does not allow cross-border regulatory authorities to impose restrictions on transactions. Lower transaction fees along with other factors are propelling market capitalization of cryptocurrencies, which are attracting venture capitalists to invest in blockchain technology startups. For instance, in 2017, when the cryptocurrency price jumped by 2,200% in 11 months, funds raised by blockchain startups through ICOs surpassed VC investments in the sector.
 

Asia Pacific market share is estimated to proliferate over the forecast timeline due to rapid digitization across the BFSI sector in the region. The South Korean government is investing huge amounts in startups to boost the blockchain industry in its country. For instance, in 2018, the government planned to invest approximately USD 206 million in blockchain technology development projects. The Ministry of Science announced that the fund will be used to fund approximately 100 blockchain companies along with 10,000 industry professionals trained in this technology. The government planned to streamline the investment across various segments such as online voting, real estate, documentation, marine logistics, customs clearance, and livestock record management. This will aid the country in increasing its market share in blockchain technology. Furthermore, the government also plans to fund private blockchain-based initiatives aimed at improving smart city & smart factory projects that will further proliferate market size.
 

Blockchain Technology Market Share

The companies operating in the blockchain technology industry are focusing on offering innovative services along with reducing operational cost. For instance, in Q1 2019, Amazon Web Services announced that it will be launching Amazon Quantum Ledger Database (QLDB) and Amazon Managed Blockchain. The company will be addressing the market problem for cases where a full blockchain is not required. The product has specifically launched in the U.S. market. Additionally, in June 2018, the company joined Blockchain as a Service (BaaS) platform. This was to assist customers to test the technology without the risk of deploying new technology in-house or involving capital costs for implementation. 
 

Some of the market players are

• Alphapoint
• Amazon Web Services, Inc.
• Asta Solutions Pty Ltd.
• Bacoor, Inc.
• Blocko, Inc.
• Chain, Inc.
• Coinbase, Inc.
• Digiledge
• Digital Asset Holdings, LLC
• Earthport
• Exioms Technology Pvt. Ltd.
• Hewlett Packard Enterprises (HPE)
• Huobi
• IBM Corporation
• Microsoft Corporation
• Paystand
• Peer Ledger
• R3
• SAP SE
• SimplyFi SofTech India Pvt. Ltd.
• SmartMesh Foundation Pte. Ltd.

The blockchain technology market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2016 to 2025 for the following segments:

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Market by Providers

• Infrastructure provider
• Application provider

Market by Application

• Smart contract
• Payment & wallet
• Digital identity
• Documentation
• Exchange
• Compliance & risk management

Market by End-Use

• BFSI
• Government
• Healthcare
• IT services
• Media & entertainment
• Transportation & logistics

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Spain
  • Switzerland
• Asia Pacific
  • Australia
  • China
  • India
  • Japan
  • South Korea
  • Singapore
• Latin America
  • Brazil
  • Mexico
• MEA
  • Israel
  • UAE
  • South Africa