According to a recent report published by Allied Market Research, titled, "Blockchain Identity Management Market by Service Providers, Organization Size, and Industry Vertical: Global Opportunity Analysis and Industry Forecast, 2018-2026," the global blockchain identity management market size was valued at $107 million in 2018, and is projected to reach $11.46 billion by 2026, registering a CAGR of 79.2% from 2019 to 2026.
Over the past few years, blockchain as a digital technology has developed a lot and has a large scope for improvement in the future. Among all the industries, the financial sector have been experiencing a major transformation. However, several industries such as healthcare, automotive, retail, and others are also exploring huge benefit of blockchain identity management market trends and its potential applications. Card-based payment, online payments methods, and loyalty rewards and management have become crucial and gathered massive traction in the recent past. However, blockchain is anticipated to provide support for all these changes by enabling real-time processing and increased speed of transaction. Moreover, industry players need to collaborate with numerous partners and external stakeholders on joint projects to test blockchains application into their respective businesses. Such factors are expected to create major opportunities for the blockchain identity management market growth in the coming years.
Furthermore, with suitable and appropriate partnership and collaboration, blockchain can improve identity management and supply chain visibility that can improve data and product management, sales forecasting and inventory control along with creating data and product legitimacy and provenance. In addition, blockchain can reduce costs and increase operational efficiency by eradicating the need for redundant databases and management systems across organizations. Moreover, the capability of blockchain to work in real time on shared common datasets and to enable secure compliance management is increasing the adoption of blockchain technology across numerous industry verticals. In addition, the conventional identity management process involves huge cost and risks when it comes to verify identities for cross-border transactions. In addition, each entity at every stage keeps their own records, which increases the chances of errors and inefficiency. Hence, such factors drive the demand for blockchain identity management.
Based on service provider the infrastructure provider segment garnered major blockchain identity management market revenue in 2018, and is expected to remain dominant during the forecast period. The growth of this segment is mainly attributed to increase in need to scale the organizations infrastructure in secure and sustainable way. Further, the application provider segment is expected to exhibit highest growth rate throughout the forecast period.
North America dominated the overall blockchain identity management market share in 2018, and is expected to remain dominant during the forecast period due to on-going developments in blockchain technology and presence of major market players. In addition, increase in data security concerns across retailers is also the key factor expected to fuel the blockchain identity management market growth in this region in upcoming years. Furthermore, Asia-Pacific is expected to exhibit highest growth rate over the forecast period.
According to Bhushan Jagtap, Research Analyst, ICT at Allied Market Research, “According to the blockchain identity management market analysis in Asia-Pacific, the market is projected to generate the highest growth rate during the forecast period, owing to increase in number of data breaches and pirated & counterfeit goods in this region.”
Key Finding of The Blockchain Identity Management Market:
- Based on industry vertical, the BFSI industry dominated the market in 2018, and is expected to generate highest revenue during the forecast period. According to blockchain identity management market analysis, the growth of this segment is mainly attributed to increase in need to identify the right person and provide proof of any transaction between sender and receiver of the money. Moreover, increase in need to save costs on customers’ identification and verification is also the major factor that boost the market growth in this segment.
- On the basis of organization size, the large enterprises segment dominated the overall blockchain identity management market in 2018, and is expected to remain dominant throughout the forecast period. On the contrary, small & medium size enterprise segment is expected to exhibit highest growth throughout the forecast period. The increase in need to move from traditional business models to digital business is the key factor that drives small organizations to adopt blockchain identity management solutions and services; thereby, fueling the market growth of this segment.
Some of the key blockchain identity management industry players profiled in the report include Amazon Web Services, Inc. (AWS), Auxesis Services & Technologies (P) Ltd., Bitfury Group Limited, Cognizant, Infosys Limited, International Business Machines Corporation (IBM), Microsoft Corporation, Oracle Corporation, SAP SE, and Tata Consultancy Services Limited.