Thank you for Subscribing to CIO Advisor APAC Weekly Brief
Interesting Facts About the Asia-based Blockchain StartupsBy CIOAdvisor Apac | Thursday, September 26, 2019
The decentralized nature and versatility of blockchain are what underlines the ongoing surge in the number of blockchain startups belonging to Asia. The region’s startups are undergoing transformative changes in its approach towards technology. Also, the current circumstances are highly favorable.
FREMONT, CA: The concept of blockchain came into prominence way back in 2008 as the technology driving Bitcoin. Over the years, and more than a decade later, blockchain continues to attract more and more startups in the Asian region.
In fact, blockchain technology has advanced to become an integral part of our lives. The recent surge in startup ventures leveraging the technology has been instrumental in accelerating this growth.
Relying on interesting features such as transparency, immutability, and security, which the technology imparts, blockchain technology is widely leveraged by startups and in turn, is being applied into real-life scenarios.
Cryptocurrency and crypto payments are still the most popular words associated with blockchain for many. However, industry observers believe that considering the current level of experiments happening in the blockchain industry, the blockchain applicability is on the verge of a new phase.
Investment continues to flow into the industry. As per a survey by Global Market Insights, by the year 2024, the APAC blockchain market will hit a whopping $16 billion.
The survey also highlights that the vast involvement shown by the Governing bodies in the region has also been a contributing factor towards the surge in blockchain startups. For instance, in countries including Singapore and China, new policies have been introduced, and alterations are made to the existing ones in support of blockchain technology. Overall, there are attempts to understand the blockchain technology across the Asian region and leverage its benefits in new ways. The Chinese government is considering using blockchain technology to track donations on charity.
Hong Kong deserves a special mention with respect to blockchain startups. The region is perceived as the next blockchain hub, and the rate at which the nation is progressing is a clear indicator that Hong Kong will be among the top names in blockchain use. What contributed to the rise of Hong Kong as a prospective blockchain hub is an active interest extended by the government. Further, the number of entrepreneurs and investors investing in blockchain startups has only been increasing.
There is a significant focus on using blockchain as a disruptive technology in healthcare. Blockchain technology in healthcare is expected to derive around $1415.59 million in revenue by the year 2024, as per reports. Finance, media, logistics, insurance, and utilities are just a few of the industries wherein blockchain technology is finding increased applicability assisted by startups.
For instance, the healthcare industry continues to involve blockchain into a multitude of aspects, including interoperability, clinical data exchange, billing, claim settlement, and supply chain management, among many others. The end-users with respect to blockchain-powered healthcare startups are healthcare providers, payers, and pharmaceutical companies.
Further, blockchain technology is equipped with massive potential to transform the financial services sector. Many startups across the region are experimenting with what blockchain is capable of as a potential financial tool.
It wouldn’t be wrong to say that as more startups are developing their own real-life use cases for blockchain, the entire region is slowly advancing towards a future where decentralization will be the key to day-to-day life.
With the advent of digital crypto wallets and innovative crypto tokens, an increasing number of people are carrying cryptocurrency along with other forms of cash. Yet, most of the crypto uses are restricted to mobile apps and e-commerce sites. The scenario might be in for a change, in the distant future, owing to the recent transformative changes happening in the blockchain industry.
The current year has witnessed a transformative shift in fundraising for crypto-related ventures. Mergers and acquisitions have also increased considerably. In 2018, the U.S. was the major player regarding crypto deals. This year, the APAC region has assumed significance as a crypto player along with the Middle East, Africa, and Europe.