Blockchain technology stands to boost the global economy by $1.7 trillion in the next decade with Asia seeing the most economic benefit, according to a new report by consulting company PricewaterhouseCoopers (PwC).
- PwC economists forecast a tipping point in 2025 if blockchain technologies are adopted at scale across the world, and expect blockchain applications to boost global gross domestic product (GDP) by $1.76 trillion, (1.4% of global GDP) by 2030.
- According to the report, blockchain will make the biggest impact on Asia’s economy with China, India and Japan driving adoption in the region.
- China stands to gain the highest potential net benefit at $440 billion, with the U.S. following at $407 billion.
- Germany, Japan, U.K., India and France are each estimated to benefit by more than $50 billion in the same period.
- The report identified five key application areas of blockchain with potential to generate economic value: product tracking and tracing ($962 billion), financial services and payments ($433 billion), identity security and credentials ($224 billion), contracts and dispute resolution ($73 billion), customer engagement and reward programs ($54 billion).
- Public administration, education and health care sectors will benefit the most ($574 billion increase by 2030) by “capitalizing on the efficiencies blockchain brings to the world of identity and credentials,” the report said.
- A survey conducted as part of the report revealed 61% of CEOs across the world are placing digital transformation of core business operations and processes among their top three priorities.
- “Serious activity around blockchain is cutting through every industry across the globe right now,” Steve Davies, global Blockchain leader at PwC, said in the report. In a press statement he added that the acceleration of disruptive trends in the business world is driven by the COVID-19 pandemic.
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