Market Summary

The global blockchain technology in healthcare market was valued at USD 1.78 billion in 2021 and it is predicted to rise at a compound annual growth rate (CAGR) of 64.04% from 2022 to 2030. The market's growth can be ascribed to the rising occurrence of data leaks and breaches, as well as the growing need to address these concerns. The implementation of the technology is being driven by strategic actions by key players (IBM, Blockpharma, Oracle, BurstIQ, and Guardtime), there is a high demand to prevent medicine counterfeiting, and the necessity for effective health data management systems.

The blockchain is a distributed system that uses a peer-to-peer network of personal computers called nodes to record, store, and preserve transactional and historical documents. Blockchain is seen as a competitive and powerful technology capable of causing a seismic shift in any industry. The benefits of blockchain in healthcare include internet infrastructure security at all levels, a common pattern of authorization for retrieving health records, and identity verification.

    “Security and Authorization of Information fuels the Blockchain Market”

The proliferation of unproductive healthcare database systems, the implementation of the block as a service (BaaS), and the growing requirement for a clear and irreversible distributed ledger are fueling the development of the blockchain in healthcare market. Implementing blockchain addresses several of concerns, including facilitating data exchange among healthcare providers, which has an impact on the likelihood of an official diagnosis, appropriate treatment, and health providers' overall capacity to provide cost-effective care. Overall expansion is hampered by a lack of understanding of the value of blockchain in the healthcare sector, as well as a scarcity of qualified personnel. The majority of blockchain applications are deployed in the BFSI sector, and people just do not have the knowledge and comprehension of these applications, resulting in unfavorable market repercussions. Greater government initiatives, increased investments in the creation of more effective healthcare record systems, and increased concern about client privacy are all driving market growth throughout the anticipated period.

 
SEGMENT OUTLOOK:

The global blockchain technology in healthcare market is segmented based on network type, application, and end-user.

By Network:

Based on Network Type, the blockchain technology in healthcare market is segmented into public, private, and others In 2021, the public segment dominated the global market by network type, accounting for a significant percentage of total revenue. In the healthcare business, blockchain technology encompasses public, private, and other network kinds. The rising use of public networks for data management is the main reason for the high percentage of the public segment. Ethereum, a public network, is currently one of the most widely used technologies in healthcare. The "permission-less" blockchain system is another name for it. The rise of these public networks is being fueled by low costs and access to a larger database.

In the coming years, the private sector is expected to increase dramatically. The Linux Foundation's Hyperledger Fabric, for example, is a private blockchain implementation.

By Application Outlook:

Based on its various applications in healthcare, the healthcare blockchain market is segmented into clinical data exchange and interoperability, claims adjudication and billing, supply chain management, clinical trials, and eConsent. The supply chain management segment of the global healthcare blockchain market held the greatest market share in 2021. The adoption of blockchain in supply chain management is being driven by factors such as the rising number of counterfeit drugs in circulation and the implementation of stringent regulations such as the Drug Quality and Security Act (DQSA) in the United States and the Falsified Medicines Directive (FMD) in Europe.

Pharmaceutical businesses can also use the technology to make interoperability with the Internet of Things (IoT) devices easier. It also aids in the recruitment of clinical trial participants and the regulation of the drug supply chain. By reducing operating expenses, data corruption, and healthcare process optimization, blockchain has the potential to revolutionize the healthcare industry.

During the projection period, the clinical trials and eConsent segment is predicted to increase at a significant rate. In clinical trials, utilizing technology allows for more effective data administration and security. The use of blockchain technology allows clinicians to safely communicate with one another. Information updates or revisions are not permitted on the blockchain, which is expected to drive industry growth in the next years. Data integrity is ensured by the use of blockchain technology in medical records. Similar concepts can be used.

 
By End User Outlook:

Based on the various end-users of blockchain technology in the healthcare market it is segmented into private, public, and others. The biopharmaceutical and medical device firms category in the end-users segment has captured the greatest market share of almost 40% in 2021, according to end-user. Vast R&D investments, the necessity for safe data transmission and interoperability, and a large quantity of data management done by major organizations in areas like medication research and development are all contributing to this. The growing use of technology for critical functions such as verifying the authenticity of returned drugs, counterfeit prevention, pharmaceutical supply chain compliance, clinical trial transparency, and traceability, and improving the reliability and quality of clinical trial data is expected to contribute to the segment's large share.

Due to the increased adoption of technology in hospitals such as the Massachusetts General Hospital, the hospital segment is predicted to develop at a significant rate (MGH). To ensure the system's proper operation, healthcare institutions and hospitals are now focusing on keeping patient data. This not only aids in the classification of new and old patients but also allows existing records to be used in conjunction with the doctor's appointment. Furthermore, the system will protect crucial information from data breaches and cyberattacks, such as payment information, addresses, and phone numbers.

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By Regional Outlook:

Based on geography, blockchain technology in the healthcare market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East &Africa. Due to different steps done by regional governments to minimize a data leak, Europe held the highest market share of in 2021. The EU government, for example, established the General Data Protection Regulation in 2018. (GDPR). GDPR implementation, together with the massive expansion of blockchain technology, is projected to give businesses in the region with new chances. During the projected period, North America is expected to hold the second-largest market share. The main driver of regional expansion is the rising demand for medical record security.

 
Though the United States healthcare sector is investing more in creating technologies, problems with electronic medical records are also on the rise. As a result, big players and other healthcare organizations are investing in the blockchain sector to meet the growing demand for safe, secure, and managed data sharing between enterprises.

For example, in April 2018, UnitedHealth Group announced a collaboration with MultiPlan, Quest Diagnostics, and Humana to use blockchain to securely share financial and other healthcare data. As a result, over the forecast period, it is expected to have a favorable impact on market growth.

By Key Competitors and Market Share Analysis:

In nature, the global market is very competitive. Market growth is likely to be fueled by technological collaborations, important company activities, government initiatives, and new startups. Currently, the industry is in its infancy, and healthcare and technology companies are collaborating on various levels to develop techniques to harness blockchain. To boost their own platforms or portfolios, some of the big players have formed partnerships.

Recent Developments:

o   Microsoft, Viant, and GSK launched the Viant Blockchain Programme in 2018, accelerating the adoption of a blockchain-based supply chain across multiple verticals, including healthcare.

o   UnitedHealth Group's Optum announced its decision to purchase Change Healthcare in January 2021 to streamline core administrative, clinical, and payment processes.

The following are some of the major market players operating across the globe:

 

o    IBM

o    PATIENTORY INC.

o    Guardtime

o    iSolve, LLC

o    Solve.Care

o    Oracle

o    Change Healthcare

o    BurstIQ

o    Medicalchain SA

o    Blockpharma 

o    Microsoft

o    Hashed Health

o    PokitDok

o    Gem