The Blockchain AI market is estimated to reach $211 billion
The Blockchain AI market was valued at $5.2 billion in 2021, and forecast to touch $211.3 billion in 2029, growing at a significantly higher CAGR of 58.9 percent from 2022-2029, according to a research report.
The factors driving the growth of the blockchain AI market include increasing use of blockchain AI platforms by small and medium enterprises (SMEs) to develop payment systems and smart contracts, increasing popularity of cryptocurrency worldwide, increasing demand for Natural Language Processing (NLP) solutions and improvements in living standards, said a report published by GMI Research.
Moreover, increasing adoption of advanced technologies such as Artificial Intelligence (AI), Cloud Computing and Internet of Things (IoT) by large companies, increase in the launch of innovative products and rapid urbanization are some of the additional factors supplementing the market growth.
In addition, the increasing investments by large companies on research and development, increasing adoption of blockchain AI solutions across industry verticals such as BSFI, telecom and manufacturing and increasing population growth are further contributing to the market growth.
But at the same time, the report points out that the growth of the blockchain AI market is hindered due to the complexity of developing and managing AI blockchain systems.
The prominent players operating in the market are Cyware Labs, NetObjex, Fetch.ai, Northern Data AG, Bext360, BurstIQ, Ai-Blockchain, Neurochain Technology, Core Scientific and AlphaNetworks.
Based on deployment mode, the cloud segment is estimated to grow at a significant CAGR during the forecast period. Cloud-based blockchain AI solutions are cost-effective, reduce server maintenance costs and provide improved security are some of the features driving growth in the segment, the report noted.
Based on industry verticals, the BFSI segment is estimated to grow at a robust CAGR over the forecast period. Increasing use of blockchain technology by some of the major banks such as ALFA Bank, Commonwealth Bank and JPMorgan Chase & Co, due to growing demand for fast transaction settlement solutions, is driving the blockchain AI market, it said.
Based on region, the North American region is expected to expand at a remarkable CAGR during the forecast period. Rising demand for AI blockchain solutions from banks, hospitals, and defense forces, increasing adoption of advanced technology by large companies in the US, increasing population growth and high per capita income are some of the important factors fueling market growth in North America, the report said .
In 2020, Fetch.ai entered into a strategic partnership with Waves Technologies to develop AI solutions that can be accessible to multiple blockchain networks via the Gravity Protocol. The goal of the partnership is to conduct joint R&D to improve the multi-chain capabilities of Fetch.ai’s Autonomous Economic Agents (AEA).
