Top Trends in the Blockchain Industry for 2020
Blockchain is going to revolutionize business operations across multiple industries. In another 20 – 25 years, almost everything would become tokenized and connected via a blockchain network. Undoubtedly, global research firm, Gartner, had listed Blockchain as a top strategic technology for 2020. With an impressive CAGR of 67% (2020 – 2025), the market size for Blockchain technologies is expected to reach 40 billion USD in 2025 (from 3 billion USD in 2020).
The future is blockchain and hence, it is apt that we take a look at some of the significant trends in this industry for 2020.
Rise in Federated Blockchains
Blockchain networks can be categorized into public, private, hybrid, and federated. Federated blockchain networks have seen a significant rise in 2020. This is an upgraded model of the blockchain network where several authorities can control the nodes, instead of a single centralized control. Such models are ideal for very specific types of use cases. Hence, a federated group of authorities would control and validate transactions instead of a single one.
Blockchain as a service (BaaS)
Blockchain as a service is the latest trend of 2020. It is a cloud-based blockchain service, where users can develop their applications and products incorporating the facilities of blockchain on the cloud. Suppose you want to build your smart contracts – without any setup or additional hardware, you can incorporate blockchain into your application – that’s BaaS. Google, IBM, Microsoft, and Amazon are providing this service. No doubt companies like Google eye a bright future, as they shape the blockchain industry.
Blockchain will transform Social Media
There are close to 3 billion users on social media. Blockchain technologies can prevent social media scandals, improve security, give complete ownership of content to the user, secure payments, and authenticate the legitimacy of every content. Blockchain in social media is going to be a powerful transformation in 2020.
Stablecoins gain visibility
One of the major issues with Bitcoins is that it is highly volatile. Hence, 2020, saw a rise in the adoption of Stablecoins, backed by the blockchain technology. There are several types of Stablecoins like fiat-backed, crypto-backed, commodity-backed, and seignorage-style. Though these coins are still in their initial phases, yet by the end of 2020, they are expected to reach their all-time high value.
Blockchain with AI and IoT
Almost 30 million devices are using the IoT network. Cybersecurity, hacking of devices, and disruptions in the IoT network are the major challenges. The IoT architecture needs a major overhaul and blockchain technologies can secure the network, bring in transparency, and decentralize the power. Many IoT enterprises have already adopted blockchain technology in their IoT networks.
By 2020, more than half of the global enterprises, dealing with AI would adopt blockchain technologies. Blockchain can not only secure AI systems but also increase the efficiency of AI systems driven by machine learning. Some of the prominent applications include Data Protection, Increased computing power, and Data Monetization.
Blockchain would remain as the trendsetter in the field of technology. It brings in security, reliability, transparency, and safety into business operations. In the coming years, more and more enterprises would look forward to blockchain to create robust systems and secure their business operations.