According to Transparency Market Research, the global Cryptocurrency market was noted at a valuation of US$574.3 mn in the year 2017. The market is anticipated to expand at an impressive CAGR of 31.3% during 2017 to 2025. Rising at this CAGR, the global cryptocurrency market is projected to reach at a valuation of US$6702.1 mn by the end of furcate period.
Global cryptocurrency market depicts a consolidated landscape owing to The presence of fewer number of players. Major players are investing towards increasing adoption of cryptocurrency for payment, notes TMR. To achieve this, players are focusing on the development of payment gateways and platforms for payment processes. Along with this, players are undertaking collaborations, mergers and product launches to strengthen their market position. Some of the prominent players operating in the global cryptocurrency market are Bitmain, Xilinx, NVIDIA, Intel, Ripple Labs, Advanced Micro Devices, Ethereum Foundation, Coinbase, Bitfury Group, and BitGo.
On the basis of component type, the hardware segment is likely to dominate the global market during the forecast period. Based on geography, Europe is likely to account for a larger market share in the forecast period. This is mainly due to the existence of numerous cryptocurrency mining pools in the region.
Cryptocurrency Market to Expand Owing to Faster Transaction Ability
Cryptocurrency market is growing mainly because of the ongoing revolution in the digital payment system. Cryptocurrency has helped overcome major restraint in traditional currency system such as faster cross border remittance and easy interbank transaction. Consumers across the globe are adopting cruptocurrency because it help them transact easily and it does not require any intermediary process and truncation fees. Thus helping streamline international payment process. Major financial bodies are also inclining towards cryptocurrency as it helps them save on labor-intensive procedures. Apart from this, payment through cryptocurrency has several other advantages such as enhanced transactional security, protection from fraud, decentralized system, low fees, protection from consumer chargebacks, and quick international transfers.
Uncertainly over Credibility of Cryptocurrency may Hinder Growth
Cryptocurrency market in several developing regions has not taken any definite shape. It is mainly because of the ambiguity among consumers regarding authenticity of cryptocurrency. In fact, trade in cryptocurrency is banned in several developing region. This is mainly because of the lack of awareness and technical understanding of cryptocurrency. This restricts investment by companies in cryptocurrency as it is decentralized and has an uncertain regulatory status. Apart from this, end users do not know benefits of cryptocurrency and that is the reason it not widely adopted. Cryptocurrency mainly run on cryptographic algorithms across a vast network of independent computers. Therefore, a sound technical knowledge of the complete ecosystem is required to explore the benefits of cryptocurrency in use cases.
However the cryptocurrency market depicts a lucrative avenue throughout the forecast period. This is mainly because of the increasing interests of entrepreneurs, start-ups, and large as well as small and medium-sized enterprises (SMEs. Owing to these factors, the crytocurrency market could attracted extensive venture funding from key players in future, thus presenting a ray of hope for its growth
The information presented in this review is based on a Transparency Market Research report, titled, “Cryptocurrency Market (Component – Hardware (FPGA, GPU, ASIC, and Wallet), Software (Mining Platform, Blockchain, Coin Wallet, Exchange); Type – Bitcoin, Ethereum, Ripple (XRP), Litecoin, and Dashcoin) – Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2017–2025.”