Blockchain technology is defined as a distributed system that includes the potential to transform health care system by recording & storing transaction data. It is used to collect & track information about transactions on real time basis. It works as a digital ledger and tracks all activities carried out within the network. It provides privacy, security, and interoperability to health care data. It relies on cryptographic techniques to allow every individual in a network to interact without pre-existing trust between partners. It acts as a health information exchange system that helps to remove the friction and cost of current intermediated.
According to study, “Global Blockchain technology in Healthcare Market Size study, by Application (Supply Chain Management, Claims Adjudication & Billing Management, Clinical Data Exchange & Interoperability and other applications), End-users (Healthcare Payers, Healthcare Providers, Pharmaceutical Companies and Other End Users) and Regional Forecasts 2018-2025” the key companies operating in the global blockchain technology in healthcare market are Pokitdok, Patientory, IBM Corp., Medicalchain, Microsoft Corp., Chronicled, Guardtime, Simplyvital Health, Hashed Health, Gem, Factom, Isolve, Blockpharma, Proof.Work, Farmatrust, Blockchain Health, Hong Kong Applied Science and Technology Research Institute Company Limited, BLOCK M.D., HealthCombix.
Based on type, blockchain technology in healthcare market is segmented into private blockchain, public blockchain and consortium blockchain (permissioned blockchain). Private Blockchain segments are the permissioned systems whereas public Blockchain systems are commonly used for data management. Private Blockchain segment holds major share in market owing to increase in demand for highly secured supply chain network. Based on application, market is segmented into supply chain management, data exchange & interoperability, billing management, claims adjudication and others. Supply chain management segment is predictable to hold largest share in market owing to rise in stringent regulations such as Drug Quality and Security Act (DQSA) and Falsified Medicines Directive (FMD) with an Artificial Intelligence (AI), to address increasing incidences of counterfeit medicines during the forecast period. In addition, based on end-user, market is segmented into healthcare payers, research & academia, pharmaceutical companies, healthcare providers and others.
The blockchain technology in healthcare market is driven by rise in adoption of Blockchain-as-a-Service (BaaS), followed by increase in incidence of healthcare data breaches, rise in transparency & immutability of the distributed ledger technology, growth in threat of counterfeit drugs and increase in cost-effective & secured data interoperability through blockchain. However, lack of a central entity & common set of standards and reluctance to disclose data may impact the market. Moreover, significant increase in funding through venture capital investments & initial coin offering (ICO) and rise in government initiatives are key opportunities for market.
Based on geography, the North-American region holds the leading position in blockchain technology in healthcare market owing to rise in prevalence of advancements in technology, growth in healthcare expenditure coupled with well-established healthcare management systems in the region. The Asian-Pacific region is projected to emerge as the fastest growing region rise in focus to adopt advanced technologies in healthcare and increase in generic pharmaceutical industry over the forecast period. It is estimated that future of the market will be bright on account of rise in need for affordable healthcare services and increase in awareness about the implementation of Blockchain technology during the forecast period. It is expected that the market will be reached at US $293.3 billion by 2025.
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Ankur Gupta, Head Marketing & Communications