What is Propelling the Growth of Blockchain Market in the Asia Pacific
The healthcare market using blockchain is expected to generate revenue around $1415 million by end of 2024 says a research report
A slew of investments in companies using blockchain technology is driving the growth of blockchain market of Asia Pacific region, says a report by Global Market Insights.
According to the report, the market is set to reach $16 billion mark by 2024. It states that the huge number of investments by venture capitalists on blockchain technology has propelled the growth in APAC region.
While in 2016, the market saw the investment of $545 million on more than 135 deals by investors pumping funds in blockchain-based start-ups, the market in 2017 witnessed the growth by approximately 50 per cent with an investment of $1 billion on more than 185 deals across the globe.
The growing numbers indicate the development of the cutting-edge technology and its scale of disruption in the market. The focus of investors betting high on blockchain technology is also accelerating the adoption of blockchain by other industry players too.
Founded in 2008, the digital ledger technology is seeing the rapid adoption by not just the start-ups but also the established players in the market. Some of the key vendors of the blockchain market are IBM, SAP, Ripple, R3, Microsoft, Abra, Alphapoint, Amazon Web Services, Asta Solutions, Bacoor, Bitfury, BitSE, Blocko, Blockstream, Bloq, BTL Group, Chain, Coinbase, Digiledg, Digital Asset Holding, and Earthport.
Healthcare a Hot Spot
A 10 September report by a market research company Zion Market Research says that the global blockchain technology in healthcare market was valued at approximately $34.47 million in 2017, but today it's expected to generate revenue of around $1415.59 million by end of 2024, growing at a CAGR of around 70.45% between 2018 and 2024.
The global blockchain technology in the healthcare market has been segmented into the application, end user, and region. The application segment has been segmented into clinical data exchange & interoperability, supply chain management, and claims settlement & billing. "Supply chain management segment holds the maximum share of the application segment. Based on the end user, blockchain technology in the healthcare market has been segmented into healthcare payers, pharmaceutical companies, and healthcare providers," states the report.
The technology significantly helps in managing health data. According to a report, the security and interoperability of health data can be improved exceptionally by using blockchain technology in healthcare. Blockchain technology can be a great solution to all these issues affecting the healthcare industry.
Government Initiatives and Policies
The 13 September report by Global Market Insights also states that one of the reasons for a huge amount of investment in blockchain technology is the government initiatives and policy changes in the region for it. Countries like Singapore and China looking at the roadmap to understanding blockchain technology for the benefit of the fintech space.
From 2016, the Monetary Authority of Singapore is working in a partnership with R3, a blockchain technology company, and a consortium of financial institutions on a proof-of-concept project to conduct inter-bank payments using Blockchain technology. The country is also exploring the use of blockchain to link the National Trade Platforms to the trade platforms of other countries.
On the other hand, apart from fintech space, the Chinese government is exploring the blockchain technology for tracking charity donations too. The country's Ministry of Civil Affairs is planning to use blockchain as part of an overhaul of its charity tracking system.