Bank of America: Blockchain Market Could Hit $7 Bln

According to Bank of America, the adoption of cryptocurrencies and DLTs is an irreversible fact that will eventually become a multi-billion dollar opportunity for high-tech companies.

According to CNBC, Bank of America believes that blockchain technology development market will eventually touch the $7 trillion zone; however they refrained from “putting a time stamp” due to the multiple factors that can affect the fulfillment of this prediction.

Blockchain technologies will not only pave the way for the creation of new startups and businesses, but established companies will also enjoy the benefits. One of the most striking examples is Amazon, which according to Bank of America can take advantage of the growing demand for cloud services as a result of the increasing adoption of DLTs.

Amazon could benefit from the growth of Blockchain Markets

Referring to Amazon, Kash Rangan, a research analyst at Bank of America, commented that Amazon could strengthen its presence in the blockchain technology market since a scenario in which at least 2% of the total world servers will be used to run developments in the blockchain is very possible.

“Amazon will benefit from incremental cloud services demand from Blockchain implementation, while improved supply chain tracking should make Amazon’s retail operations more efficient.

Another company that will benefit from this growth is Microsoft. Azure could rely on BaaS to provide a better cloud computing service:

“BaaS on Azure offers services such as smart contracts and other third-party apps, and should benefit as use of blockchain on Azure increases.

According to Bank of America’s analysis, the uses of blockchain technologies are countless, but there is still a long way to go before these developments can be consolidated as the basis for a new economy.

Software security, regulatory aspects, and investor confidence make these new technologies seem very risky; however, their potential is evident in the eyes of one of the leading U.S. banks:

“Many blockchain use cases have been identified, but full products/services have not yet been built out and are not used in production.

Other companies that according to Bank of America could benefit from the development of blockchain technologies are “Oracle, IBM,, VMware, and real estate and mortgage players like Redfin, Zillow, LendingTree.”

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