Global Blockchain Technology in Healthcare Market Gaining Momentum—Projected to Reach USD 4,720.96 Million by 2027
Blockchain is a method of storing data in such a way that it is difficult or impossible to alter, hack, or cheat the system. As the name suggests, it consists of several blocks linked together by chains. Individual data records are stored as blocks that are connected in a single list known as a chain, hence the term Blockchain.
A study recently conducted by the strategic consulting and market research firm, BlueWeave Consulting revealed that the global blockchain technology in the healthcare market was worth USD 129.22 million in 2020 and is further projected to reach USD 4,720.96 million by 2027, at a CAGR of 68.13% during the forecast period (2021-2027).
Elimination of Intermediaries and Cost Savings are expected to drive the global blockchain technology in the healthcare market during the forecast period.
Blockchain technology is one of the most cutting-edge technologies available today. No discussion on blockchain technology can be complete without considering Bitcoin--the best-known cryptocurrency and the catalyst for the development of blockchain technology. Bitcoin is built on the blockchain principle, which implies that while data is immutable, it can be freely recorded and transacted. Bitcoin eliminates intermediaries or third-party participants and presents a secure, transparent, decentralized alternative to fiat currencies worldwide. Blockchain also enables bitcoin or any other cryptocurrency to eliminate certain processing or transaction fees. Additionally, it reduces the dependency on banks and governments to guarantee the value of the cryptocurrency.
Lack of awareness and understanding is expected to impede the growth of the global blockchain technology in the healthcare market during the forecast period.
The biggest problem with blockchain is a lack of information about the system and a general lack of awareness of how it functions. The integration of blockchain indicates 80% business process change and 20% technology implementation. Many individuals may become perplexed as a result of the high percentage of business process transition. Therefore, a creative approach is needed to understand the workings of blockchain and to see how things can improve.
A lot of companies don’t have any idea of how blockchain works. With the reputation and image of blockchain linked with cryptocurrencies, people are hesitant to integrate blockchain in other areas. This lack of awareness and understanding along with issues related to the reputation and image of blockchain technology is expected to impede the growth of the global blockchain technology in the healthcare market during the forecast period.
Supply chain management accounted for the largest share in the global blockchain technology in the healthcare market in 2020
In March 2021, Moderna and IBM agreed to collaborate on COVID-19 vaccine supply chain tracking using blockchain technology. In August 2020, MediConnect announced a new partnership with Rishabh Software for the development of a new blockchain-based medical supply chain management platform. Blockchain technology in healthcare provides new approaches for making and distributing products and offers the potential to track the whole lifecycle of drugs down to a single dose. These applications have been helping the supply chain management segment of the global blockchain technology in the healthcare industry gain a significant market share, and the same trend is projected to continue throughout the forecast period.
Global Blockchain Technology healthcare Market: Regional insights
Global blockchain technology in the healthcare market is divided into the Asia-Pacific (APAC), North America, Europe, Latin America, and the Middle East & Africa regions. North America dominated the market in 2020 as a lot of healthcare companies operating in the North American region are integrating blockchain technology to manage their security, patient data, medicines, vaccine doses, etc.
Leading Players operating in the Healthcare Market are IBM, Microsoft, Guardtime, Change Healthcare, Gem, Hashed Health, Chronicled, Patientory, Isolve, Factomand others are the key players operating in the global blockchain technology in the healthcare market