A new report from the MarketsandMarkets research platform showed that the market for blockchain devices will grow at a compound annual growth rate (CAGR) of 42.5% by 2024.
The intelligence and market research company released the report on September 12 and is titled “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.”
The impressively titled report theorized that the massive growth in the blockchain devices field will hit $1.285 billion by 2024. To put in perspective, 2019’s market volume is said to currently be at $218 million.
Factors Driving Growth
MarketsandMarkets claim here is several factors driving this growth, like the rising adoption of blockchain tech in areas like supply chain management and retail, the increasing market capitalization for initial coin offerings (ICOs) and cryptocurrency, and the development of venture capital funding.
However, the report also stated that the market for blockchain devices will be hindered by the lack of information and the dearth of clear compliances and regulations.
Based on the MarketsandMarkets research, blockchain-powered devices that utilized wireless connectivity for data transmission, like Bluetooth, near-field communication (NFC), and WiFi, will reportedly record the most growth during the forecasted period.
This wireless connectivity division has been subdivided into cryptocurrency hardware wallets, point-of-sale (POS) devices, and blockchain smartphones. Companies like France’s Ledger and Pundi X of Singapore are said to be focusing most of their efforts on devices implanted using wireless connectivity.
Devices like gateways and pre-configured mechanisms are also said to grow rapidly during this period.
Since blockchain is considered as a comprehensive digital identity gateway, it allows governments and corporations to supplement their legacy systems with the decentralized networks.
Pre-configured equipment integrated with an operating system enables access to the blockchain grid from a normal system. They are tapped to supply Web3 access and private servers to blockchain networks. The devices are adopted extensively in government and BFSI (banking, financial service, and insurance) industries, e-commerce, retail, IT, telecommunication, and transportation and logistics.
The report also concluded that North America will dominate the blockchain devices industry. The region will apparently lead the world because of its early adoption of the technology and its equipment. North America’s decision to embrace the technology is reportedly due to the increasing security and data transparency challenges key industries are facing.
What’s more, several vendors of blockchain gadgets are based in the region. This will further contribute to the region’s market growth.