Altcoin News: Study: US government investment in blockchain will grow by 1000% by 2022

April 19, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

According to IDC’s forecast, by 2022 the US government will increase its investment in the blockchain to $123.5 million, a 1000% increase compared to $10.7 million spent in 2017.

As reported in the IDC Government Insights report published this week, it is expected that spending on the blockchain among state and local governments will grow from $4.4 million in 2017 to $48.2 million in 2022 — also by almost 1000%.

The report says that federal agencies that invested less than $20 million in blockchain in 2017, by 2022, will spend more than $80 million a year on technology. The Ministry of Defense, which invested less than $20 million in blockchain in 2017, can almost double this figure by 2022 and spend up to $40 million a year.

State investment in the blockchain technology is likely to grow and expand to cover more complex areas over time, said IDC Research Director Shawn McCarthy:

“We believe asset management, identity management, and smart contracts will be the leading blockchain solutions for government. Early spending will focus on supply chain and asset management solutions, while spending in later years will expand to include more identity management and complex financial transactions.”

IDC notes that the blockchain is likely to become the cornerstone for trade law and is likely “to be implemented as a standard feature for some types of authorized international trade and also as a standard for many types of government procurement.”

From the point of view of specific implementations of technology, the report states that a hybrid approach using the blockchain, combining aspects of both closed and public networks, may be the most popular among government agencies.

Note that in March, the portal ResearchAndMarkets.com published a study in which it was reported that by 2025, investment in blockchain companies in the United States would increase to $41 billion.

Author: Marko Vidrih