Blockchain technology in healthcare – why blockchain technology will shape the healthcare market

A variety of industries are making use of the blockchain technology, but healthcare might become the game changer. In this article we are showing several reasons why blockchain technology in healthcare will shape the market.

Blockchain technology in healthcare

Recent research reports predict an exponential growth of the blockchain technology in the healthcare sector over the next couple of years. While in 2018 the blockchain for the healthcare market was at $46.6 million, an increase to over three billion is predicted for 2024. 

blockchain technology in healthcare

In the last few years, a considerable number of healthcare facilities have adopted Electronic Health Records (EHR) and pave the way for the digital transformation of the healthcare system. However, the global number of patients is constantly increasing and the management of medical data is recognized as the bottleneck for healthcare service providers. Furthermore, a surge of data breaches, including vulnerable patient information are boosting the demand of blockchain in healthcare.

blockchain technology in healthcare

In February, the Falsified Medicines Directive reached the EU and requires now that all prescription medicines are featured with additional security that enables clinics and pharmacies to verify their authenticity. There are high hopes that the blockchain technology will help to reduce fraud, data breaches and counterfeit and hence, improve the overall healthcare delivery. 

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According to the Global Market Insights, Inc. report, the need mostly derives from the increase of data and its resulting insecurity. However, also application within the supply chain management as well as drug traceability have been identified as key drivers. Those segments are especially relevant for pharmaceutical companies as it can be a part of securing and modernizing the industry.

However, with the emerging trend, also growth decelerators, such as insufficiency of the technical infrastructure, lack of awareness and trust and the missing skill set will further challenge the blockchain technology. We will keep you posted on the development, so stay tuned!