IDC: COVID-19 To Affect EU Blockchain Spending

Economic Aftershocks Will Dampen Blockchain Spending

US-based market research firm International Data Corporation (IDC) has published a report which shows the spending of the EU on blockchain development will see a temporary drop in the coming years

The recent turn of events caused by the coronavirus pandemic has led to several changes in the market. Initially, analysts predicted lots of positive changes in relation to blockchain all across Europe in 2020. But the arrival of the coronavirus has seen them revise their forecasts. The general consensus is that blockchain development will take a few years thanks to the economic changes caused by the pandemic.

In its report, the IDC said it expects the slowdown caused by the virus will affect various sectors. Before the pandemic, IDC forecasted that the EU blockchain spending would be more than 1.4 billion in 2020, with a compound annual growth rate of 58%.

Carla La Croce, co-lead of IDC European Blockchain Practice, explained that:

“With depressed customer demand, disrupted supply chains, and widespread remote working, many companies are putting on hold innovative projects, including in blockchain, until there is more clarity about the future. The IDC now expects there to be a slight slowdown in blockchain spending, down roughly 8% in 2020 in the European market. Its revised forecast of $1.33 billion nonetheless represents more than 60% year-on-year growth.”

coronavirus eu blockchain

Post-COVID 19 Will Lead To More Blockchain Adoption

According to the IDC, certain sectors will emerge from the pandemic in a better shape. The IDC anticipates that these sectors would grow, leading to a wide adoption of blockchain technology.

The lockdown policy enacted by various governments is putting a strain on production and global trade. The current problem may cause different supply chains to look for new technologies that can provide a robust service.

As Radoslav Dragov, co-lead of IDC European Blockchain Practice has said blockchain could help solve most of the problems experienced in most value chains:

“It provides transparency and breaks down data silos while guaranteeing strong security and a single source of truth. Complex applications such as the collection and analysis of healthcare data and online voting systems could also see unique benefits from blockchain, as the technology offers strong data protection and privacy features and is resilient to tampering.”

Want more Content?

For more relevant articles and reviews regarding Bitcoin Autobots, Click Here

Check out our latest reviews below

For the Immediate Edge Autobot Review -> Immediate Edge autobot Review

For the Bitcoin Revolution Extensive review Click here -> Bitcoin Revolution Review
DISCLAIMER High Risk Investment Trading cryptocurrencies carries a high level of risk, and may not be suitable for all investors. Before deciding to trade cryptocurrency you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with cryptocurrency trading, and seek advice from an independent financial advisor. ICO's, IEO's, STO's and any other form of offering will not guarantee a return on your investment. Since Any opinions, news, research, analyses, prices, or other information contained on this website is provided as general market commentary, and does not constitute investment advice. cryptonbitcoinwill not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information. All opinions expressed on this site are owned by the respective writer and should never be considered as advice in any form. Cryptonbitcoin makes no representation or warranties as to the accuracy and or timelines of the information contained herein. A qualified professional should be consulted before making any financial decisions.