May 24, 2024
Ict

The Global Blockchain Technology Market Is Estimated To Flourish By Formation Of Industry Alliances

Blockchain technology is steadily gaining prominence across industries by leveraging smart contracts. As a distributed digital ledger, blockchain records transactions in a verifiable and permanent way, without the need of a central authority. This enables the transfer of assets in a transparent manner. Smart contracts further allow digitizing the transactional aspects and automating contractual clauses like payments, ensuring security and transparency.

The global blockchain technology market witnesses significant demand as it provides real-time tracking of financial transactions as well as physical assets. It optimizes processes, reduces costs and enhances security. Industries have started exploring blockchain-based solutions for supply chain management, digital identity management, payments, and smart contracts. The technology assists in minimizing fraud, securing transactions, and simplifying cross-border payments.

The Global Blockchain Technology Market is estimated to be valued at US$ 6.71 Bn in 2024 and is expected to exhibit a CAGR of 8.4% over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the Blockchain Technology are Ajinomoto Co., Inc., KYOWA HAKKO BIO CO., LTD., AMINO GmbH, Bill Barr & Company, IRIS BIOTECH GMBH, Taiwan Amino Acids Co. Ltd., BI Nutraceuticals, Sichuan Tongsheng Amino acid Co., Ltd, Wacker, Chemie AG, Adisseo, and CJ CheilJedang Corp. The growing adoption of blockchain across various industries like BFSI, healthcare, logistics etc. is a major factor fueling the demand. Moreover, governments across regions are supporting the integration of this technology to bring more transparency and efficiency in operations.

Due to the convenience and transparency offered, more individuals and enterprises are opting for blockchain-based solutions. Various industries are deploying blockchain networks for supply chain management, digital payments, smart contracts etc. This is propelling the overall market growth.

With regards to geographical expansion, North America dominates the blockchain technology market followed by Europe and Asia Pacific. However, APAC is identified as the fastest growing region on account rapid digitization, development of crypto market and government initiatives for blockchain development.

Market Key Trends

A major trend shaping up the Blockchain Technology Market Size is formation of industry alliances. Leading organizations are collaborating to develop common technical standards and interoperable blockchain platforms. This eases integration for businesses and fosters innovation. Further, blockchain analytics firms are leveraging AI capabilities to gain insights from transaction data, detect fraud patterns and ensure regulatory compliance for stakeholders. With continuous technological upgrades, blockchain solutions are turning more scalable to meet commercialization and real-world use cases across industries.

Porter’s Analysis

Threat of new entrants: Setting up new blockchain technology businesses requires significant investment in R&D, technology infrastructure and skilled talent which poses barriers to entry.

Bargaining power of buyers: Buyers have moderate bargaining power as there are many existing blockchain solution providers. However, shifting to new providers involves costs which limits switching.

Bargaining power of suppliers: Software developers and technology providers have moderate to high bargaining power as there is increasing demand for blockchain skills. This influences development costs.

Threat of new substitutes: Emerging technologies focused on decentralization, transparency and security such as distributed ledger pose a threat of substitution.

Competitive rivalry: The market is competitive with many established as well as start-up companies offering a variety of blockchain solutions. This competition drives innovative product development.

Geographical Regions
North America accounts for the largest share in the blockchain technology market in terms of value. This is attributed to increased investments, presence of key players and focus on adopting emerging technologies.
Asia Pacific is expected to grow at the fastest rate during the forecast period. This is due to rapid digitalization, government initiatives for blockchain development and focus on emerging technologies in countries such as China, Japan, India and Singapore.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it