Global Blockchain Technology Market 2017 2022 Sample Pages

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Global Blockchain Technology Market (2017-2022)

December, 2017

Sample pages

Chapter 1: Executive Summary

3

Market Scope and Segmentation

Inte

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al C

ard

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arke

tSegments Sub-Segments

North America Europe Asia Pacific Latin America Middle East & AfricaRegion

Public Blockchain Technology

Private Blockchain Technology

Mixed Blockchain Technology

INDUSTRY

TYPE

BFS (Banking And Finance Services)

Insurance Supply Chain Management

Healthcare Others

4

1.2-Key Questions Answered in This Study

Blo

ckch

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Te

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What is the global market revenue of the Blockchain technology market?

What is the future of the Blockchain technology market?

What are the factors instrumental in changing the market scenario?

What are the drivers, restraints and trends in the market?

What is the competitive scenario of the global blockchain technology market?

What are the strategies of the key market players?

How have competitors performed in 2016?

What are the respective market shares and the opportunities associated with blockchain

technology products in various regions around the world?

What are the regions with maximum opportunity for growth in the blockchain technology

market?

What are the macro and micro factors that affect the global blockchain technology market?

What are the investment opportunities in the blockchain technology market?

• Lack of legal infrastructure

• Poor understanding of the technology and beyond the reach of small players

• Posing challenge on financial intermediaries

• Confusion between traditional database and block storing the transaction data

• Ideology crash with the corporate culture

• The financial institutions make the maximum use of Blockchain technology for cross border payments and fraud detection

• Increasing adoption of private block chain globally as it offers more secured transaction system

• The North America region accounted for the largest share in 2016 and is expected to dominate the overall market in the near future, however Asia Pacific is also expected to acquire this technology at a faster rate owing to its wide adoption in China and India

• Gradually trending towards wider range of applications including Healthcare, Retail and Public sector among others

• Rapid increase in Fin-tech spending

• Transaction data fully encrypted and the recorded transaction are linked via “hashtag”

• Decentralized technology which does not require intermediaries, has wider range of Application

• Very less time required for transaction, less than 10 minutes over 24/7

• Transparent and immutability transaction, reduces the total cost of the transaction

• Block-chain market is expected to reach USD XX.XX bn by 2022 at CAGR of XX.XX% between 2016 and 2022

• Presently, public block chain dominates the market. However, private block chain technology is gaining acceptance because of its secure nature since it allows the access of the transaction data to the limited user.

• Block-chain technology is being widely accepted in the BFSI industries. However, based on investment trends. it is expected to have a growing application in retail and supply chain

5

Executive Summary I

Ove

rvie

w

Trends

X.X X.X

X.X

2016 2017 2022

USD bn

Chapter 2: Introduction

Primary Application – BFSI Use Cases and Key Inventions

2.3-Blockchain Technology - Use Cases

• Banks usually spend over 60 million on maintaining customersinformations including KYC and AML (anti money laundering)

• Bankchain is a community created by 22 Indian banks includingState Bank of India, Axis Bank, DCB Bank and five Middle Eastbanks to build and explore the Blockchain Technology

• SBI has planned to launch KYC on blockchain by December2017

s

• IBM developed Digital Trade Chain, an open BlockchainBusiness based on Hyperledger Fabricto enhance the tradeFinance between the seven European banks includingDeutsche Bank, HSBC, etc.

• Barclays have joined, JP Morgan Chase, Bank of China andGoldman Sachs to focus on Blockchain technology applicationin Foreign exchange and settlement

• Traditional insurance companies like AXA and Generali havestarted investing in Blockchain technology to processinsurance claims more securely

• HSBC, Bank of America Merrill lynch joined IBM to implementBlockchain Solution In Trade Finance

• A Start-up company named AXONI received funding from JPMorgan Chase to develop Blockchain solutions for the CapitalMarket

• Credit Suisse is focusing on building Blockchain solutions forCapital Market

• Nasdaq has an alliance with Linq that allows companies todisplay share ownerships using Blockchain technology digitally

7

Chapter 3: Blockchain Technology Market Overview

Blockchain technology is the decentralized public ledger, used for crypto currency transactions. The detail of transactions are stored in blocks, and each block is connected to each other via a “hashtag” like a chain. The system boasts complete details of users’ identity and credit/debit balance right from the previous block to the most recently finished block. The blockchain technology is the underlying technology behind Bitcoin

9

3.1-Global - Market Overview

XX.XXXX.XX

XX.XX

XX.XX

XX.XX

XX.XX

XX.XX

2016 2017 2018 2019 2020 2021 2022

• The worldwide market is forecast to reach USDXX.XX bn by 2022, primarily driven by increasedadoption the BFSI sector as a risk controllingmeasure

• The transparent nature of the technology hasdriven its adoption across other industriesincluding healthcare and retail

• North America dominates the global Blockchainmarket acquiring a share of 44% primarilybecause the region has large number offinancial transactions and cross-borderpayments

• Asia Pacific has registered the highest growthrate owing to the increasing application ofBlockchain in China and the adjoining countries

Market Drivers

Global historical and forecasted market revenue (USD bn)

CAGR (2017-2022): X.X%

USD XX.XXbn CAGR(2017-

2022) XX.XX%

USD XX.XXbnCAGR(2017-

2022) XX.XX%

USD XX.XXbnCAGR(2017-

2022) XX.XX%

USD XX.XXbnCAGR(2017-

2022) XX.XX%

USD XX.XXbn CAGR(2017-

2022) XX.XX%

Geography wise market revenue (USD bn) in 2016

No

rth

Am

eri

ca

Euro

pe

Asi

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acif

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Lati

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me

rica

MEA

10

Global - Market Trend

Future trend

Adopting the BFSI industry

Application in other Domain

XX.XX XX.XX XX.XXXX.XX

XX.XX

2015 2016 2017 2018 2019

Capital Market investment in Blockchain Technology

28% XX% XX%

2016 2017 2018

Insurers are partnering with fintech firms to adopt this technology

~XX% of the bank are expected to adopt the technology by 2020

6 of the largest banks -Barclays, Credit Suisse, Canadian Imperial Bank of Commerce, HSBC, MUFG and State Street teamed up to create a new form of digital currency to streamline financial transactions over Blockchain

Since the Blockchain technology is primarily being adopted in BFSI, private Blockchain adoption is expected to increase due its more secure nature

R3 CEV is helping to create privateblock chain. Over 40 global standcompany like UBS, Barclays, JPMorgan, royal Bank of Scotland, etc.have supported R3 CEV

Ethereum alliance focuses on building privateblock chain by acquiring huge investment fromlarge corporates. Companies using Private blockchain to provide financial services are Gems,Chain , ripple ,symbiont, ledger, etc.

~XX% payment companies are planning to adopt this technology by 2020

Sample textSample textSample textSample textSample textSample textSample textSample textSample textSample text

The technology is gradually being adopted across various domain for e.g.; Healthcare management and supply chain management

Sample textSample textSample textSample textSample textSample textSample textSample textSample textSample textSample textSample text

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Emerging Application

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Blockchain technology is primarily being adopted by BFSI companies due to its transparent nature and improved security system

Banks are looking to adopt private Blockchain as it only

allows access to authorized users, eliminating the risk of fraud with a public system and offering the

benefit of a decentralized system

Banks supporting private Blockchain

adoption

Chapter 4: Regional Overview

12

4.1-North America - Market Overview

Growth Drivers

North America

0.75 XX.XXXX.XX

XX.XX

XX.XX

XX.XX

XX.XX

2016 2017 2018 2019 2020 2021 2022

CAGR (2017-2022): XX.XX%

Market revenue (USD bn)

Challenges

Major Trends.

Traditional tech companies are introducing partnership programs to support the fintech start-ups in blockchain deployment. Red Hat has announced the OpenShift Blockchain Initiative, designed to help ISVs and fintech start-ups power blockchain solutions through container application platform technology

• With US and Canada adopting the technology swiftly, a large share of the Blockchain market is dominated by North America

• The region records the largest number of financial transactions and cyber security remains one of the key concerns for the organizations

• Currently the region is looking to enhance its security infrastructure in order to mitigate the huge loss of USD 1.3bn experienced in 2016, as per FBI report

• North American bank’s are facing hurdle in maintaining customer identities. To overcome the problem banks are expected to acquire Blockchain technology to provide transparent system for easy customer identification

North American Government is encouraging companies in

the region to replace Excel spreadsheets and SQL databases

with blockchain system. The government has introduced a

new law, permitting companies to keep their list of

shareholders on a blockchain

• North America is lagging behind in blockchain adoption in four key

areas where the trailblazers are leading: citizen services, regulatory

compliance, identity authentication and contract management

• The lack of awareness regarding digital payment has created lot of

debate on its regulations. Additionally North America's dominance

in terms of global Bitcoin and blockchain deals has reduced from

78.7% to 49.2% from 2013 to 2016

In a move to further accelerate the adoption of blockchain, The State of Delaware has passed amendments for Equity markets, allowing companies to issue and trade shares via a blockchain based platform

Chapter 5: Segmentation Overview by Industry

14

5.1.1-Major Industries Overview– North America

BFS

Insurance

SupplyChain

Healthcare

other

2017 USDXX.XX

bn

37%

22%

16%

19%

6%BFS

Insurance

Supply Chain

Healthcare

other

2022 USDXX.XX

bn

Revenue contribution Industries– North America

Drivers for the Major Industries- North America

In North America the BFSI sector makes the maximum use of blockchain

technology. About 70% of North America’s banks are using this technology. The

banking industry has already filed 20 new patent related to blockchain in addition

to 15 patent submitted to USPTO (US Patent and Trademark Office)

North America is projected to hold a significant share of global healthcare blockchain market

because the technology was early adopted by the developed countries and has wide services

owing to extensive ongoing research in the region

The governor of Delaware have passed bill to mandate the adoption of blockchain technology for stock trading and record keeping purpose. This would drive the blockchain adoption by the same entities.

Notable Blockchain start-ups companies (funding)North America

Paxos (USD 28.25 mn)

Bitaccess (USD10 mn)

Ripple (USD 93.6 mn)

Bristlecone (USD 6 mn)

Gem (USD12.5 mn)

Providing Blockchain solutions to financial institutions.

Provide Healthcare, insurance, supply chain solutions using Blockchain technology

Belongs to Fortune 500 companies Provides Blockchain solution to Fintech business Blockchain solution

Provide Blockchain solution for Global payment

Provides supply chain solutions and service using block-chain technology.

Total US Funding (2012-14 Feb 2017) 1,060 USD bn

Chapter 7:Patents Analysis

Blockchain technology has enormous economic potential and there is no doubt that financial services industry is looking forward to obtaining patents to protect concepts and technologies related to blockchain—and to assert control over the use of the idea in new trading platforms through such patent rights.

16

7.1. Patent Overview

2010 2011 2012 2013 2014 2015 2016 2017

• The year 2016 represents significant numbers ofBlockchain patent application. There was a 53% growth ascompared to the preceding year

• According to US Patent and Trademark Office (USPTO)database, in 2017, 309 Patents were applied betweenJanuary and June

• Most of the patents were awarded in 2011-2012.However, the applications in 2015-2016 saw only 50%chance of success. The number of patents granted in 2013was 70 which increased to 152 in 2016. However, thepatent reward declined over the time

Key Observations

Global Blockchain Technology related Patent Applications (2010-2017)

Key Highlights

• World Economic Forum stated that more than 25 countries have filled 2500 patents and invested 1.3 billion in blockchain technology

• IBM is performing well with Blockchain Technology. The company has recently taken up many Blockchain initiatives and ranks second in filling Blockchain related patents

• US has published 665 Blockchain related patent. North America is leading the Blockchain market as well as the Blockchain related patents application

• US is followed by China in patent application. China is the most emerging country within Asia pacific to work with Blockchain technology. China’s Blockchain technology application in supply chain, transaction is the reason that Asia pacific has the highest CAGR.

• Blockchain technology is mostly used in financial transactions and hence the most of blockchain related patent is applied on this particular domain.

• The number of blockchain and cryptocurrency-related patent applications submitted and published in the US nearly doubled in 2017

• China is increasing in Blockchain related patents applications after the US. Chinese blockchain technology start-up Bubi (Beijing) filled 27 and South Korean Bitcoin service provider Coinplug applied 21

• 2017, US published 18 Blockchain related patents followed by China with 15 patents

• The payment card giant of China UnionPay, patent a system for connecting a network of ATMs using blockchain technology. The concept is to group ATMs that would act as a node within a technology powered by blockchain to secure transactions

• Countries like Canada, south Korea, Brazil Taiwan India have not yet Published any patent in the present year

Total Patents published by the Top 10 Countries

Countries 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

United States XX XX XX XX XX XX XX XX XX XX XX

China XX XX XX XX XX XX XX XX XX XX XX

Japan XX XX XX XX XX XX XX XX XX XX XX

Australia XX XX XX XX XX XX XX XX XX XX XX

Canada XX XX XX XX XX XX XX XX XX XX XX

Korea south XX XX XX XX XX XX XX XX XX XX XX

Brazil XX XX XX XX XX XX XX XX XX XX XX

India XX XX XX XX XX XX XX XX XX XX XX

Taiwan XX XX XX XX XX XX XX XX XX XX XX

Germany XX XX XX XX XX XX XX XX XX XX XX

united States China Japan Australia Canada Korea south Brazil India Taiwan Germany

Blockchain patents published by top 10 countries (2007-2017)

Note:- We have not Considered WO(World Intellectual Property Organization) and EP(European Patent Offices) as in the top 10 blockchain patent published because they do not fall under country

7.3. Patent analysis- Geographical Presence

Chapter 8: Company Profiles

19

• Year of establishment: 4TH April 1975

• Headquarters: Redmond, Washington, US

• Employee Strength (2016): 114,000

• Industry: Software-developer

• Ticker: NASDAQ: MSFT

• Website: www.microsoft.com

Company snapshot

Geography presence-BlockchainFocus Area- Blockchain Recent Initiatives

• Microsoft partnered with Los Angeles-based start-up firm Mojix in

January 2017 under the project “Manifest” to use Blockchain

technology and track retail goods by radio frequency identification

devices

• Leading Danish shipping company Maersk partnered with EY,

Microsoft, Willis Towers Watson and several insurance companies to

secure shipping data on Blockchain databases

• On August 2017, Microsoft declared that they are developing a system

that would speed up the Blockchain performance called Coco

(confidential Consortium) in collaboration with Intel. This initiative

would solve the issue of speed and privacy and would also increase

technology adoption. Microsoft is expected to launch the system by

2018

• In 2017, Microsoft announced the launch of Azure Government Cloud

based on blockchain technology. The cloud would ensure the

government to securely store public databases

• On October 2017, Wisekey, a leading cybersecurity and IOT solution

company collaborated with Microsoft to help the Rwanda government

make secured transactions using Blockchain technology

Key verticals-Blockchain

Revenue (2016)

USD 85.3 bn

Microsoft corporation

• North America• Europe• Asia pacific

• Latin America• Middle east

Africa

Key people - Blockchain Financial Standings Blockchain Offerings

• Retail Management-Microsoft is

focused on using Blockchain

technology to address the paper work,

specification in retail management

within supply chain management

• Blockchain awareness-Microsoft is

providing Blockchain solutions and

services for companies adopting the

technology and increasing awareness

about its benefits

• State usage- Microsoft is also helping

the public sector to adopt Blockchain

technology to securely maintain public

documents on the platform

Jason Zander, Corporate Vice-president, Microsoft Azure

Net Income USD 16,798 mn

Profit Margin (%)

19.7%

Gross Margin 61.5%

• ViZix IoT Blockchain• Syscoin API• Stratis Full Node• Dev test lab for Blockchainservices• Syscoin price peg server• Waves platform• Quorum Demo• Chain Core Developer

Edition• Trade Finance

• AZURE Blockchain Services

• AZURE Blockchain Services

• Emercoin blockchain Engine

• Azure Multimember Blockchain

• Block App multimode

Blockchain• Block APP single node

Blockchain• Syscoin Full node

• Finance

• Retail

• Government

• Healthcare

Marley GrayPrincipal Architect - Azure Blockchain Engineering, Board of Directors -Enterprise Ethereum Alliance

Chapter 8.1: Company Profiles-Start-up Ecosystem

Start-up Overview

Blockchain Start-up

companies

CLIENTS/PARTNERS

RECENT INITIATIVES

• In March 2017, the US blockchain start-up chain collaborated with security firm Thale group to allow the companies using Blockchain technology to store data under colossal security

• In Consensus 2017, the CEO of Chain announced that two financial institutes CITI and stock exchange Nasdaq who are keen on tackling the liquidity issue, have chosen to leverage technology solutions from Chain

KEY PEOPLE

Devin GundryFounder of Chain, Chief Product Officer

Adam LudwinFounder & Chief Executive Officer

• Description-It is a Software developer. It allows the business to use the software to design, deploy and operate Blockchain network.

• FOUNDED ON- 2014

• OPERATION STATUS- Active

• NUMBER OF EMPLOYEES- 101-250

• WEBSITE- www.r3.com

• Total Funding Amount- USD 43.7 MN

OVERVIEW

INVESTORS

• KHOSLA• Capital one• CITI• FISERV• NASDAQ• PANTERA• RRE

• Description-The company develops the decentralized application, the various end-user tools for Blockchain ecosystem. Primarily focuses on Ethereum

• FOUNDED ON- 2014

• OPERATION STATUS- Active

• NUMBER OF EMPLOYEES- 101-250

• WEBSITE- www.consensys.net

• Total Funding Amount- Internal investment, currently USD 5 million announced on 5th October 2017

OVERVIEW KEY PEOPLE

Joseph LubinCTO & Founder

E.G. GalanoCo-Founder, Infura

INVESTORS

• Internal investment• Investor unknown for the

fund received on 5th October 2017

CLIENTS/PARTNERS

• In 2017, ConsenSys declared the opening of ConsenSys Academy. That would help developers become familiar with the fast-growing technology and work on application that is disrupting industry across globe

• Cisco System Inc., Bosch Ltd joined other companies like ConsenSys in order to launch Consortium Blockchain to secure and improve the Blockchain application in the IOT(Internet of Thing)

• ConsenSys and Metax have jointly developed ADchain, a Blockchain-based open protocol required in the digital advertising industry.

RECENT INITIATIVES

21

Appendix

Appendix

23

List of Tables

Industry 2016 2017 2018 2019 2020 2021 2022CAGR(2017-

2022)

BFS XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX%

Insurance XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX%

Supply Chain XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX%

Healthcare XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX%

Other XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX XX.XX%

Table 6:North America Segment by Industry (2017 – 2022) value in USD bn

Appendix

24

Assumptions

All the values are in USD (united States Dollar) billion

The CAGR is used to define growth over the period of years that stands for Compound

Annual Growth Rate

No significant new competition has been considered while forecasting the market

No unexpected changes in the external factors have been considered that could change

the global scenario of the market in the future

No major technological development has been taken into consideration that may replace

Blockchain Technology market in the coming years

The inflation rate has not been taken into consideration while forecasting the revenue

Appendix

25

Research Methodology

The study begins with identifying the right research question(s). The question depends on what we are going to achieve by conducting the research or what we wantto convey to the prospective customers through this research. Next, we identify the logical steps to arrive needed to arrive at the answers to the question(s). Theselogical steps form our research objectives. The research objectives provide us a guideline regarding what information we need to conduct analysis. We stronglybelieve that well-defined objectives will lead to clear results about the given market

The next stage of the research is conducted utilizing the secondary sources of information, using a process called desk/secondary research. Netscribes Inc. has aconsiderable volume of information in both quantitative and qualitative forms, across all major industries and its sectors. Also, we conduct an in-depth study of themarket, understanding its key stakeholders, drivers, trends, challenges and global opportunities covering major regions such as North America, Latin America, Europe,Asia Pacific, and Middle East & Africa. The key sources referred to for this research includes (but not limited to) the following: Financial reports published by the key market players Government and other official sources including the National Statistics National and International trade associations Paid databases Other reliable sources

Primary research complements the secondary research as it helps us gain insights from the industries directly by communicating with the senior executives, keyopinion leaders and independent consultants who are experts in their industries or specific industry sectors. Such interviews are conducted across the value chain ofthe market in question. A survey questionnaire is usually prepared for conducting any primary interview or survey. The questionnaire is developed with utmost care tofulfil the key research objectives and also to validate the assumptions about the market. This supplements the information otherwise unaddressed via secondaryresearch. The primary data collection is done by expert interviewers who have specific industry knowledge. Linguists are hired to conduct interviews in therespondent’s native language. Only paid interviews are conducted to incentivize the respondents and ensure that there is no shift of focus. Some of the primaryresearch methods applied at Netscribes include the following: In-depth Interviews Executive Interviews Expert Panels

The qualitative and quantitative findings from the above stages are brought together by specialists to perform a rigorous analysis. The regional market trends, drivers,and opportunities obtained during the analysis is compared with regional economic indicators, sector growth rates, population index, etc. to ensure data consistency.After ensuring the consistency, these historical and present indicators help us to understand how the market will perform in future. Our proprietary forecasting modelfactors in all these indicators to predict the future market accurately.

Appendix

26

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