Global Blockchain Technology in Healthcare Market is set to exceed USD 1,636.7 million by 2025; according to a new research study published by Global Market Insights, Inc. Increase in cost savings for several healthcare applications with the help of blockchain technology will drive the business growth in the forthcoming years. Blockchain is a recognized technology that is helping healthcare facilities save huge amount of money from frauds, counterfeit drugs and hence, positively impact the outcomes of healthcare. Healthcare data breaches cost around USD 380 per patient record, resulting in high annual losses. Hence, implementation of blockchain technology in healthcare will help save billions of dollars.
Growing application of Internet of Things (IoT) in healthcare will result in huge demand and adoption rate of blockchain technology. Most of the leading players are using blockchain and IoT to improve patient results and optimize internal operations. Several benefits such as real-time information and location of digital X-ray equipment in healthcare facilities will augment the blockchain demand across the globe. Increase in use of IoT for clinical services and clinical settings will boost the Blockchain Technology in Healthcare Market growth in the forthcoming years.
Essentially, blockchain could be vital for sharing business information and for effective automation of processes across the enterprise value chain, where inconsistency in data reconciliation and mishandling could result in massive loses. Several application segments like insurance payers, medical aid providers and hospitals could save billions of dollars every year with the help of products enabled by the blockchain technology in healthcare market. Citing an example, an insurance company has to assess a customer’s claim application and needs to compare information provided with its own database. With a blockchain-based platform, this process could be quick and will avoid data manipulation, while any issues with the claim can be determined efficiently.
Insurance frauds are becoming a major concern for healthcare payers, who need a cost-effective solution to counter them, creating a broad customer base for the blockchain technology in healthcare industry. According to data provided by the Coalition Against Insurance Fraud, most Canadian and U.S. insurers report that almost 5% to 10% of their claims cost is made up of fraud accounts, whereas nearly one-third of them say fraud constituted as high as 20% of claim costs for them. Considering the vast coverage of health insurance provided in the region by government and private companies, it is no surprise that scams against healthcare insurers are the biggest kind of insurance fraud in North America. Minimizing this issue and enhancing the efficiency of claim adjudication process will prove as a critical application area for the blockchain technology in healthcare market.
Recently, the internet of medical things (IoMT) has become an emerging application of the internet of things, which involves the utilization of a network of connected devices for sensing vital information on a real-time basis. IoMT is pegged by medical experts as having the potential to transform personalized healthcare considerably with the help of patient data-driven treatment solutions, presenting a lucrative user-based application for the blockchain technology in healthcare market. North America consists of leading healthcare service providers, health insurance companies as well as numerous technology firms focused on enhancing individual medical treatments using fitness trackers and other devices such as point of care kits or mobile apps. Blockchain can be helpful in securing the machine-to-machine and patient to healthcare payer data transfer, for instance real-time data from a smart wearable to authorized medical professional.
Speaking further, healthcare payers can also incentivize individuals to maintain their health through smart wearables, by tracking their daily health and fitness regiment and providing monetary benefits on health insurance policies. Separately, there is an opportunity to link cryptocurrency and physical health of a patient, by offering fixed amount of crypto for completing certain fitness goals. The blockchain technology in healthcare market in North America is anticipated to witness a rapid growth in this segment. Citing an example to describe the possibilities of the technology, Sweatcoin is a mobile app which tracks outdoor steps of individuals daily and pays digital currency to the users which can later be utilized to buy gifts. Similar products can be provided to people by healthcare payers for expanding their reach into the IoMT segment and enable better services for their customers
Major companies operating in the blockchain technology in healthcare market are IBM, Microsoft, Guardtime, PokitDok, Gem Health, Patientory, iSolve, FarmaTrust and Medicalchain. The industry players’ major strategies include launching technologically advanced new and innovative products along with high investment on research and development. The players are also focusing on partnerships and collaborations to suit the requirements of different healthcare facilities in order to stay ahead of the competition.
Blockchain Technology in Healthcare Market by Application
Data exchange and interoperability
Claims adjudication and billing management
Drug supply chain integrity
Cyber security and internet of medical things (IoMT)