The FinTech industry which boomed along with the advancement of the internet, is hitting new heights because of blockchain technology. According to reports, the total FinTech blockchain market size is predicted to increase from $ 370.3 Million by the end of this year, to $6,228.2 Million just five years later in 2023. Growth would be at a Compound Annual Growth Rate (CAGR) of 75.9% in that time.
North America is forecast to dominate the FinTech blockchain industry with the largest share of the overall market in 2018 and all the way through to 2023 at the end of the forecast period.
Driving the FinTech blockchain industry forward is combination of different factors. Blockchain the financial industry ecosystem are natural partners. Together they offer faster transactions, and ownership at reduced total cost. Another ingredient to the mix is the increasing cryptocurrency market cap. The ever-growing popularity of the Initial Coin Offering (ICO) is the icing on the cake. In 2017, a total of $5.6 billion was raised through ICOs, 48% of the 935 launched deemed a success. Among them a large number of FinTech companies
The FinTech blockchain sector is categorized into three different segments: application and solution providers, middleware providers, and infrastructure and protocols providers. Commercial banks, investment banks, and insurance firms and other financial institutions have started to invest heavily into technologically advanced blockchain solutions which is fueling the growth in the overall market.
FinTech Blockchain Disruption
Changing the way both private and financial institutions trace is the development of broker-less platforms like Spectre.ai. These new FinTech platforms driven by Blockchain technology are starting to slowly replace the traditional Forex trading platforms. Using Ethereum blockchain smart contracts with digital derivative trading as well as the traditional CFD and Forex trading platforms. In simple terms, cryptocurrencies can be traded along with fiat currencies. Digital options can also be traded the same platform and same account.
The potential that FinTech Blockchain technology’offers for safer transactions with low infrastructure cost are something the banks and financial institutions will have to be at the forefront of or face the reality of being left behind in the FinTech Blockchain revolution.
