Blockchain supply is poised to become a multi-billion dollar market. A study by market research firm Allied Markey Research indicates the size of the market could reach highs of $9 billion by 2025, representing an 80% growth from 2018 levels.
Key Growth Drivers
Blockchain is the underlying technology that powers an array of decentralized digital assets, key among them being Bitcoin and other cryptocurrencies. Increased usage of the technology to enhance transparency and improved security in supply chains is one of the catalysts fuelling the blockchain supply market.
The retail sector, which is in dire need of supply chain solutions that are able to ensure efficiency as well as increased security levels, will be the biggest contributor to the total market size. Healthcare is another sector in dire need of supply chain solutions that ensure high levels of security, poised to have a significant impact on the market size.
Manufacturing, food, and beverage industries also remain well positioned to be one of the biggest contributors to the blockchain supply market. The aerospace and automotive sectors also continue to absorb a good amount of blockchain solutions with the blockchain market poised to hit highs of $20 billion by 2029.
Growth By Region
Allied Markey Research has also pointed out that North America remains the most advanced market when it comes to blockchain infrastructure and technology adoption. However, the Asia Pacific region is not lagging far behind as it continues to register one of the highest growth rates at 90.4% in the blockchain supply market.
Spending in blockchain innovations, as well as research and development, is poised to hit highs of $2.9 billion by the end of the year. Most of the spending will go towards manufacturing and distribution services at $653 million and $642 million respectively.
Increased spending on the blockchain does not come as a surprise. The technology has so far proved to be reliable in enhancing security when it comes to transfer and storage of data in addition to ensuring high levels of privacy given the decentralization aspect.
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