Blockchain Enters 'Trough of Disillusionment' on Gartner's Hype Scale

Interest in blockchain technology is waning, research firm Gartner said in its latest "Hype Cycle for Emerging Technologies" report.

AccessTimeIconAug 20, 2018 at 4:35 p.m. UTC
Updated Sep 13, 2021 at 8:18 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Interest in blockchain technology is waning, research firm Gartner said in its latest "Hype Cycle for Emerging Technologies" report.

Gartner included blockchain, along with four other emerging technologies, as one of five trends that can blur the lines between humans and machines, according to a news release on August 20. Blockchain technology is at the edge of the "trough of disillusionment" phase in the cycle, though it predicts that the technology may reach the "plateau of productivity" within the next decade.

The "trough of disillusionment" means that "interest [in the technology] wanes as experiments and implementations fail to deliver. Producers of the technology shake out or fail. Investments continue only if the surviving providers improve their products to the satisfaction of early adopters," as explained on Gartner's website.

Mike Walker, research vice president at Gartner, said in a news release that "digitalized ecosystem technologies are making their way to the Hype Cycle fast," adding:

"Blockchain and [internet of things] platforms have crossed the peak by now, and we believe that they will reach maturity in the next five to 10 years, with digital twins and knowledge graphs on their heels."

The "shift from compartmentalized technical infrastructure to ecosystem-enabling platforms," as written in the news release, is building the fundamentals for unique business models as the technology stabilizes in the future.

In addition to blockchain technology, which is part of the "digitalized ecosystems," four other distinct emerging technology trends that are listed on the hype cycle are "democratized AI," "do-it-yourself biohacking," "transparently immersive experiences" and "ubiquitous infrastructure," according to the release.

The Hype Cycle for Emerging Technologies report is the longest-running annual Gartner Hype Cycle, according to Gartner's website, and it serves to provide a cross-industry perspective on the technologies and trends.

Roller coaster image via Shutterstock

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.