Blockchain Technology In Healthcare Market Trends

Growth Drivers

• Increasing Incidence of Healthcare Data Breaches- The frequency of data breaches in the healthcare sector has considerably increased over time. Healthcare data breaches have increased in scale and regularity over the previous five years, with the most serious ones affecting as many as 80 million people. Highly sensitive information, including personally identifiable information (PII) like social security numbers, names, and addresses as well as sensitive health data like ID numbers, etc., are frequently exposed in healthcare data breaches. Hospitals account for 30% of all significant data breaches across the globe, according to data breaches in the healthcare sector. Since 2019, 51% of healthcare organizations have reported a rise in data breaches.  337 breaches occurred in the first half of 2022, affecting 19,992,810 people.
• Increasing Need for Enhanced Data Protection- Blockchain is decentralized and immutable in nature which makes it highly resistant to data tampering and unauthorized access. It enables secure sharing and storage of healthcare data, protecting patient privacy and preventing data breaches. For instance, nearly 23% of data breaches are the result of human mistakes.
• Surge in The Expenditure of Digital Transformation- Due to the digital transformation, technology is a crucial part of company strategy. Using this approach lowers operating expenses and inefficiencies. The application of blockchain technology in healthcare is anticipated to be fuelled by the growing interest in transforming non-digital business operations into completely digital systems by transferring data to cloud-based databases and working with various technological devices. For instance, it is predicted that by 2022, almost USD 1.15 trillion will be spent on global digital transformation, and that figure will reach roughly USD 3 trillion by 2025.

Challenges

• Lack of awareness and understanding- Lack of awareness of distributed ledger technology and its use in the healthcare sector is the main obstacle to the development of blockchain technology. End customers in the healthcare sector are unaware of the advantages and functionality of this revolutionary technology. This might discourage businesses from making investments in this developing technology.
• Due to a lack of legislation governing the interchange of medical data, the majority of healthcare providers and payers, particularly in developing countries, are hesitant to reveal data.
• The commercialization of the healthcare industry may be significantly delayed as a result of the economic crisis that followed the COVID-19 outbreak.