Decentralized Finance Market Segmentation:
Components Segment Analysis
The blockchain technology segment is predicted to account for 39% share of the decentralized finance market during the forecast period. The segment growth is due to the rising adoption of blockchain technology in the fintech industry. The Fintech industry's strongest assets at the moment are Money Transfer Applications facilitated by Blockchain. According to studies digital money transfers around the world in 2018 amounted to USD 64,173 million. Additionally, by promoting distributed trust, lowering transaction costs, and strengthening decentralized platforms, blockchain technology has the potential to replace the current underpinnings of decentralized business models, thus expected to spur the decentralized finance market growth in the blockchain technology segment.
End-user Segment Analysis
The BFSI segment is predicted to account for 29% share of the decentralized finance market during the forecast period. The segment growth can be attributed to the ability of decentralized finance technologies to improve financial inclusion by giving underbanked and unbanked people worldwide access to financial services. According to data published by The World Bank around 1.7 billion people remain unbanked globally. By using public blockchains, the DeFi technology reduces the need for middlemen and promotes transparency attracting more individuals toward the BFSI sector. Moreover, a vast array of financial services, such as yield farming, insurance, stablecoins, decentralized exchanges (DEXs), lending, and borrowing platforms, are made possible by Decentralized Finance which is expected to contribute to the growth in the BFSI segment.
Our in-depth analysis of the global market includes the following segments:
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