The global digital currency market size was valued USD 1.5 Bn in 2020 and is estimated to reach USD 2.52 Bn by 2028, expanding at a CAGR of 7.1% during the forecast period, between 2021 and 2028.
Digital currencies are monetary assets which are available in the digital form. Digital currency is also referred an electronic currency, cyber cash, or electric money. Digital currency transaction takes place using designed software and applications.
Rising popularity of digital currencies such as Bitcoin, Ethereum, and Litecoin is expected to drive the market in the near future. Some industries have started using these currencies in their regular transaction. Companies such as Facebook and Tesla are expanding their business using cryptocurrency.
Digital Currency Market Trends, Drivers, Restraints, and Opportunities
- High adoption of digital currency in developed nations is offering easy and flexible transactions as compared to physical currency, thus fuelling the market.
- Low transaction fee drives the digital currency market.
- Possibility of loss or leakage of authenticated information is likely to hamper the market.
- Fast transfer rate, low fees, and smooth and compliance free transactions are projected to drive the market.
Scope of Digital Currency Market Report
The report on the global digital currency market includes an assessment of the market, size, share, trends, segments, and regional markets. Overview and dynamics have been included in the report.
Digital Currency Market - Global Industry Analysis, Size, Share, Growth, Trends And Forecast
2018 & 2019
Types (Bitcoin, Cryptocurrency, Bitcoin Cash, Litecoin, Ethereum, and Dogecoin), Processes (Mining and Transaction), Applications (Government and Enterprise), End-users (IT Solution, Fintech, Bank, Consulting, Exchange, and Others), Offering (Hardware, ASIC, GPU, FPGA, Software, and Others)
Asia Pacific, North America, Europe, Latin America, and Middle East & Africa
Market scope, analysis, share, competitive analysis, growth facts, restraints, opportunities, and revenue forecast
Key Players Covered in the Report
Ripple, Rubix by Deloitte, Accenture, Distributed Ledger Technologies, NASDAQ, Oracle, AWS, Citi Bank, ELayaway, HSC, Ant Financial, JD Financial, Qihoo 360, and Tencent.
Digital Currency Market Segment Insights
Type Segment Analysis
In the terms of types, the digital currency market is classified as bitcoin, cryptocurrency, bitcoin cash, litecoin, ethereum, and dogecoin.
The bitcoin segment held a dominant share of the market in 2020, and this trend is projected to continue in the coming years. Bitcoin is a decentralized digital currency that can be transferred from user to user on the peer-to-peer bitcoin network without the use of middlemen.
It does not need any central bank or a single administrator. The popularity of bitcoins is fueled by the rising demand for trade, compliance-free remittance, and convenience of cross-border transactions.
Processes Segment Analysis
Based on processes, the market is segregated into mining and transaction.
Mining is a crucial component in the formation, transmission, and confirmation of digital currencies. It guarantees that the currency is propagated from a payment to a recipient in a stable, secure, and safe manner. Unlike fiat currency, which is controlled and regulated by a centralized body, crypto currencies are decentralized and operate on a peer-to-peer basis.
Offerings Segment Analysis
On the basis of offerings, the digital currency market is fragmented into hardware, ASIC, GPU, FPGA, software, and others.
The concept of bitcoin is predicated on the decentralization of transaction monitoring. Miners (usually users) validate transactions performed by other users as a part of the transaction monitoring process. The system requires processing resources to validate the transactions in this procedure.
The validation procedure requires the generation of hash codes to encrypt the transactions. The miner requires extremely effective and efficient hardware to create a hash code.
End-user Segment Analysis
On the basis of end-user, the market is categorized as IT solution, fintech, bank, consulting, exchange, and others.
The banking segment held a dominant share of the market in 2020 and this trend is estimated to continue in the coming years.
Digital currency transfers and other online transactions that transfer money between parties across long distances are common, due to increasing number of banks and other financial service providers. Nowadays, people do not physically go to the banks or carry cash due to the adoption of digital currency.
In terms of regions, the global digital currency market can be split into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.
North America constituted a significant share of the market in 2020 due to rising technical developments and growing acceptance of digital currencies by consumers and merchants. North America continues to lead the global digital currency market due to the presence of large companies in the region.
- Bitcoin Cash
- IT Solution
- North America
- Latin America
- Asia Pacific
- Middle East & Africa
- Rubix by Deloitte
- Distributed Ledger Technologies
- Citi Bank
- Ant Financial
- JD Financial
- Qihoo 360
Key players in the global digital currency market are Ripple, Rubix by Deloitte, Accenture, Distributed Ledger Technologies, NASDAQ, Oracle, AWS, Citi Bank, ELayaway, HSC, Ant Financial, JD Financial, Qihoo 360, and Tencent. Many new players are entering the market, as it holds huge business opportunities.