Across the next five years, blockchain market size is expected to grow at a compound annual growth rate of 67.3%, going from a worth of $3 billion to $39.7 billion by 2025. These numbers indicate that blockchain is a technology capable of changing the world.
Recent factors like the global coronavirus pandemic are helping to speed this change, necessitating the integration of powerful technologies that enable connectivity in a socially distanced world in which remote work has become all the more common.
Source: Blockchain Market
In three particular sectors, blockchain looks to change common policies and procedures in the wake of COVID-19, reorganizing ways in which business, security, and usability are managed.
Across banking and finance, healthcare, and user experience in digital tech, blockchain technologies are growing fast both in integration levels and in the improvement of processes. The future of our world after the COVID-19 pandemic looks to be linked with blockchains, spreading access and security to world-wide marketplaces.
1. Banking and Finance
The unprecedented nature of the current times makes for an unsteady economic system. With the impacts of COVID-19 felt on the global financial system, solutions in the form of blockchain tech are increasingly being touted for banking and finance, even at national levels.
These proposed innovations are largely due to the success of cryptocurrency. Cryptocurrency has flourished in recent years, with projections indicating even broader integration. In the world of banking and finance, this trend has shaken up the financial sector, evoking a wide range of responses from experts in the industry.
Among these responses has been the trend to offer cryptocurrency investment products through traditional financial banking establishments. The baseline of these products now allows investors to purchase future amounts of crypto like Bitcoin at today’s prices, allowing an investor to essentially bet on the future value of crypto to increase their own returns. But large-scale financial institutions like Goldman Sachs are investing in the future of Bitcoin all the time.
Investments like this demonstrate the future of financial tech (fintech) in the wake of COVID-19. Maryville University reports that 63% of banking professionals see fintech as a method of expanding products and services. As individuals are looking for security and accessibility as they work from home, the ability of blockchain to provide a decentralized method of security though cryptographic links make for a useful fintech solution in the modern world. New products and services will be targeted to investors and consumers based on the security blockchain offers.
Bitcoin and other cryptocurrencies are breaking through traditional banking and finance with emerging trends like crypto ATMs. These function similarly to cash ATMs, placed in convenient areas like malls and convenient stores, and allow users to purchase crypto with cash or credit cards.
These installations are growing increasingly common. Approximately 2,000 were added in 2019, with another 6.5 installed around the world daily.
The commonality of seeing these ATMs in public spaces will affect the way cryptocurrencies are viewed by a larger public. Increasingly, the concept of blockchain tech and cryptocurrencies will feel less abstract and more comprehensible as these innovations enter public consciousness, further spurring faith in cryptocurrency and blockchain even as faith and value in traditional currencies are lost.
With a long list of countries experiencing loss in currency value against the U.S. dollar, a more universal form of currency like those offered by blockchain tech could be all the rage in the wake of COVID. This shift could change banking and finance across the world, leading to much more common and universal adoption of this tech.
The healthcare industry faces a host of issues, exacerbated by the effects of COVID-19. The threat of data breaches and inefficient record access make for a problematic and costly environment for healthcare treatment and the study of pressing health issues. Across the system, blockchain technologies can assist, and their integration is growing fast within the industry.
Blockchain in the healthcare market is expected to be worth $1.6 billion by 2025, representing one of blockchain’s fastest-growing sectors. And for good reason. Blockchain tech can aid in the problems healthcare is facing by offering security and accessibility that the current system could never achieve.
The average cost of a data breach in the healthcare industry is $7.91 million, the highest per capita of any industry. These costs are created by ransomware and the cyber theft criminals conduct to steal medical data for sale on the black market. The healthcare industry is especially prone to these attacks due to the value of medical data and the inefficiency of private healthcare networks to manage these attacks.
But blockchain integration can help solve that issue. With cryptographic links that create immutability and transparency in use, blockchain data systems offer tamper-proof databases that can be locked to an authorized user. In the event a break-in does occur, access data can clearly be observed and future attacks prevented.
The decentralized nature of potential healthcare blockchains could also provide user ownership and ease of access for individual patients. This would allow them to transfer data between healthcare providers, while also giving those providers greater access to data banks of de-identified information points that can help them diagnose and treat medical issues.
Blockchain systems within healthcare are already being utilized, with different products offering a variety of helpful solutions, including:
● Quick access to patient data for patients and providers
● Secure and real-time updates to patients and providers
● Patient data for study and review in a secure, private forum
● Telemedicine symptom and location data
These solutions are necessary in a pandemic world, in which the need for telemedicine and broader understanding of the way diseases transfer and are treated is needed for public health. Blockchain can offer both security and accessibility to the healthcare industry, cutting costs, and improving health outcomes.
3. User Experience
Investments in user experience can boost revenues to new heights for both investors and the companies that build the experience. When Teehan and Lax invested in user-experience focused companies in 2006, they received a return of 39.3%, dwarfing the 8.5% average returns on a hedge fund. User experience (UX) in tech is a huge indicator of success, and that’s why UX is essential for the growth of blockchain across sectors.
With the increased application and use of blockchain across the public consciousness, blockchain systems need to adapt to border usability. Crypto ATMs are an example of this usability, bringing simple and convenient experiences to customers. To continue the trend in growth, these experiences are necessary. Blockchain can be complex and difficult for the average user to navigate, but with a comprehensive user experience, blockchain tech can break through current barriers to truly progress in the wake of COVID.
4. Blockchain in a Post-Pandemic Future
As industries across the world adapt to COVID-19, the integration of blockchain systems becomes increasingly more prevalent. Across banking and finance, healthcare, and user experience, this technology is progressing all the time. The gains of this progress mean safer, more convenient systems, that transcend borders and offer greater solutions in everything from payment systems to remote healthcare.
As we deal with the effects of the coronavirus pandemic, we look forward to a future in which blockchain systems help us navigate our economies and manage future outbreaks.