Worldwide Spending on Blockchain Solutions Projected to More than Double This Year
A report prepared by the International Data Corporation shows that worldwide spending on solutions powered by blockchains is expected to more than double this year, from US$945 million in 2017 to over US$2.1 billion in 2018.
Increasingly rapid adoption of distributed ledger technology across almost every industry sector has been the main driving force behind the growth in blockchain investment. The United States is projected to house the largest percentage of blockchain investment worldwide, generating more than 40% of global spending. Western Europe and China will be the next two major players.
The increase comes with an associated rise in use cases for blockchain technology, with regulatory compliance, custody and asset tracking, trade finance, post-trade/transaction settlements and cross-border payments being among the most common use-cases featuring distributed ledgers. As expected, it is posited that the financial sector will invest the most, who will fork out US$754 million to incorporate the technology this year. The distribution and services sector will come in second, while the manufacturing and resources sector will be the third biggest spender.
Research Director of Worldwide Blockchain Strategies, Bill Fearnley Jnr, expanded on the projections:
Interest and investment in blockchain and distributed ledger technology (DLT) is accelerating as enterprises aggregate data into secure, sequential, and immutable blockchain ledgers, transforming their businesses and operations. Many technology vendors and service providers are collaborating and working with consortiums such as the Enterprise Ethereum Alliance and the Hyperledger Projects to develop innovative solutions that improve processes such as post-trade processing, tracking and tracing shipments in the supply chain, and transaction records for auditing and compliance.”
The International Data Corporation is the leading global provider of advisory services and market intelligence for the consumer technology, information technology and telecommunications markets. They employ over 1,100 analysts worldwide with expertise in collecting data on opportunities and trends in over 110 countries.
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