According to International Data Corporation (IDC) spending on blockchain technology is expected to rise to USD 2.7 billion this year.
In the research note, the company have said the US will be leading the way with a massive USD 1.1 billion spend with Western Europe second at USD 661 million and China in third place at USD 304 million. These numbers indicate a massive 60% year on year growth rate and estimate by 2023 the worldwide spend would rise to USD 15.9 billion. It is no doubt that blockchain will change data but these numbers are massive and it remains to be seen if mass adoption will be taken up by traditional finance.
Ripple has been a leader in this field with the likes of Santander testing blockchain systems with the US-based firm. Financial market data firms have also been experimenting with data transfer but sometimes have been stuck with latency issues. Having said that cross border payments and settlement systems have been relishing the technology as it seems to be faster and cheaper than traditional method so watch this space for more growth.
“Behind the sometimes heated public discussions and debates over blockchain, enterprise adoption of the technology has quietly reached a tipping point across multiple use cases. Companies are recognizing value from initial pilot programs and moving those projects into production,” said James Wester, research director, Worldwide Blockchain Strategies. “As the data in the Spending Guide indicates, the growth and adoption of blockchain by enterprises is accelerating as the benefits of using blockchain to increase efficiency and improve processes are understood. There is certainly some uncertainty still regarding the technology, specifically in the areas of governance and regulation, but adoption of blockchain for financial services, identity, trade, and other markets is encouraging.”
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