A variety of industries are making use of blockchain technology, but healthcare might be the biggest. In this article, I’ll show several reasons why blockchain in healthcare will shape the market.
Blockchain in healthcare
A recent report from WinterGreen research predicts exponential growth for blockchain in the healthcare sector over the next few years. While in 2018 the blockchain for the healthcare market was at $46.6 million, they predict an increase to over $3 billion by 2024.
Recetnly, a considerable number of healthcare facilities have adopted electronic health records, or EHR and have paved the way for digital transformation in healthcare systems. However, as the number of patients increases globally, healthcare service providers cite medical data management as a major bottleneck. Furthermore, a surge of data breaches, especially of vulnerable patient information is boosting the demand for blockchain in healthcare.
In February, the Falsified Medicines Directive reached the EU and now requires that all prescription medicines are featured with additional security that enables clinics and pharmacies to verify their authenticity. There are high hopes that blockchain technology will help to reduce fraud, data breaches, and counterfeiting improving healthcare delivery overall.
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 they 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!