Crypto asset management market to grow to USD207m by 2023, says new report
The global Crypto Asset Management Market is expected to grow from USD94 million in 2018 to USD207 million by 2023, at a Compound Annual Growth Rate (CAGR) of 17.1 per cent during the forecast period, according to a new report from MarketsandMarkets.
The report – Crypto Asset Management Market by Platform, Deployment Type (On-premises and Cloud), End-user (Institutions (BFSI, Hedge Funds, Brokerage Firms), and Retail and eCommerce), and Region (North America, Europe, APAC, and RoW) - Global Forecast to 2023 – says that the major growth drivers for the market include the need for safeguarding crypto currency assets, the growth in cryptocurrency market, and the proliferation of blockchain technology.
In terms of deployment type, the cloud-based sector is expected to show a higher growth rate during the forecast period driven by increased flexibility, scalability, affordability, operational efficiencies, and low overall costs. The report says that adoption of cloud-based solutions is currently in the introductory phase and is expected to increase during the forecast period.
When it comes to end-users, the report predicts that the institutions segment will grow at the highest CAGR during the forecast period. Financial firms are expected to integrate digital currency in their traditional banking system. The report says that cryptocurrencies offer several benefits to institutional clients, including higher security, a decentralised approach, borderless transaction settlement, and faster payment systems.
The report also says that North America is expected to hold the largest market size in the global Crypto Asset Management Market. Institutions in this region are adopting crypto asset management solution and services to manage and secure their cryptocurrencies and digital assets. The US is home to several blockchain projects and platform providers, heavy cryptocurrency trading, and crypto funds. The report says that large financial institutions in the US are now leveraging the capabilities of the blockchain technology to launch their own digital currencies.