The use of blockchain technology is on the rise with many countries across the globe putting in more money for the adoption of this decentralized ledger system. Among others, the United States of America (USA) is betting big on the blockchain, and according to a recent report, its spending on the blockchain technology will increase from the current $3.12 billion to around $41 billion by the year 2025. The research report titled, “United States Blockchain Business Opportunities and Outlook Databook Series (2016⎯2025)” forecasted that the spending on the blockchain in the US is expected to witness a compounded annual growth rate (CAGR) of 44.5% and by 2025, the figure will touch $41 billion. Current spending of US on the blockchain is around $3.12 billion.
Among other findings of the report, the US has witnessed a 110% increase in the blockchain spending in the year 2018 as the total amount spent on various blockchain projects rose to $1.6 billion. The sample considered for the report includes 11 different industries segment in the US spanning across 75 different areas. The sample was studied for available market opportunities for the blockchain as well as various risks associated with the technology. We have already witnessed a report from the International Data Corporation (IDC) which predicted that spending on the blockchain globally is expected to reach $12.4 billion with a CAGR of 76% between 2018 and 2022. In terms of countries, the US tops the lists with $1.1 billion blockchain spending followed by Western Europe ($674 million) and China ($319 million).
In a related development, Nouriel Roubini, a well-known cryptocurrency critic contended that blockchain technology has “nothing to do” when it comes to the future of financial services. There was no mention of blockchain on the list of technologies that are expected to change the face of manufacturing or financial technology services in the future. The list includes the likes of artificial intelligence, big data, internet of things, and machine learning.
US Government Viewpoint
Manisha Singh, the US Acting Under Secretary of State for Economic Growth, Energy, and the Environment, said that they are researching blockchain technology to get a better understanding of its potential uses and working mechanism. The blockchain is now becoming a global phenomenon and therefore, it is essential that the agency fully understands this new technology so as to enable its wider adoption in the country.