Last Updated on
The surge in the prices of crypto assets across the board has been great news for the industry as a whole. However, it would seem that the blockchain technology space is getting a robust increase as well, and more are expected to be seen in the coming years.
Earlier this week, financial intelligence and analytics platform MarketsandMarkets published a report which revealed that the market for blockchain devices is expected to grow at a 42.5 percent compound annual growth rate by 2024.
The report, which was released on Thursday, was dubbed “Blockchain Devices Market by Type (Blockchain Smartphones, Crypto Hardware Wallets, Crypto ATMs, POS Devices, & Others), Connectivity (Wired & Wireless), Application (Personal & Corporate), and Geography – Global Forecast to 2024.”
It touched on expectations for the blockchain market, taking the current trends and a wide array of determining factors into consideration. Summarily, the research company hinted that while the blockchain devices market is currently valued at about $218 million, it will grow by 42.5 percent in the coming years, ultimately reaching value peg of $1.285 billion in the next half-decade.
The company pointed out that the highest growth during this period will be noticed amongst blockchain-based devices which perform data transfers over wires networks (such as hardware Bitcoin wallets, blockchain smartphones, etc.), while adding that there is also a large growth potential for pre-configured devices and blockchain gateways as well
Highlighting the determinants of this market’s value spike, MarketsandMarkets pointed out an expected increase in blockchain technology adoption in economic sectors such as supply chain management and retail, expanded funding from venture capital firms, and the growth in the market capitalizations of both crypto assets and Initial Coin offerings (ICOs).
However, the report also pointed out obscurity in regulations and a lack of awareness; both of which, if sustained, could place significant constraints on the further growth of the market as well.
As regards geographical spreads, MarketsandMarkets pointed out that North America will be an early dominator of this rise in value. The company highlights that North America will ride on the power of incumbency, being an early adopter of blockchain devices.
It adds, “Moreover, several blockchain devices vendors are based in this region, thereby contributing to the growth of the blockchain devices market in North America.”
A similar sentiment was shared by auditing and financial advisory giant PricewaterhouseCoopers, which revealed at the CoinDesk Invest: Asia conference earlier this week that mergers and acquisitions in the crypto and blockchain industry should rise in Europe and Asia.
Speaking on the statistics it gathered, the Big Four firm revealed that M&A activities in the European and Asian crypto-assets sector increased significantly, going from 17 percent of the global market in H1 2018 to about 50 percent in H1 2019.
More specifically, PwC noted that investors seem to be turning their sights to the distributed ledger technology space, as well as cryptocurrency exchanges and trading platforms. Given the potential for blockchain firms, in general, to disrupt other spaces and improve service efficiency, it’s a no-brainer that investors will be chomping at the bit to back some firms which they believe will be game-changers.