Cisco Blockchain Report: DLT Market to $10 Billion in 2 Years, 10% Global GDP Stored On-Chain in 8 Years
Cryptocurrencies and blockchain have been expanding all over the world. Indeed, these technologies can keep growing in the future. According to one of the largest tech conglomerates in the world, Cisco, blockchain could reach 10 percent of the world’s GDP as soon as 2027. In the next two years, this industry could receive $9 billion in annual investments.
Companies continue to invest in blockchain technology as time passes. Distributed ledger technology (DLT) has a huge potential to revolutionize different industries and improve several economic sectors.
In a recent report released by Cisco, blockchain technology will play a very important role in the future. According to it, blockchain could become a norm in many industries. The selling point for it is related to its potential. Indeed, it is possible to improve supply chains or copyright management as well.
Cisco informed that one of the main problems that companies face today is related to transparency. Semiconductor companies in the United States lose around $7.5 billion due to counterfeiting. At the same time, suppliers face different complications when trading around the world. There are several intermediaries that increase the costs for firms.
About it, the report reads as follows:
“Blockchain-based technologies can build a foundation for trust in the enterprise through the digitization of business processes, tokenization of assets, and codification of complex contracts.”
In the future, companies would be able to interact and transact without the need for human intervention and simplify operations for large businesses. By the year 2021, Cisco believes that the blockchain spending will reach $9.7 billion. This is four times more than what the market invested in 2018.
By 2027, 10 percent of the global gross domestic product (GDP), would be stored on the blockchain. Nonetheless, it is worth mentioning that this data does not include cryptocurrencies. Indeed, the virtual currency market is not necessarily going to grow during the same period of time.
Blockchain technology could also be used to optimize smart cities, supply chain solutions and also the internet of things (IoT). Cisco has been working with the Trusted IoT alliance, Hyperledger project and also with the Enterprise Ethereum Alliance (EEA).