The crypto asset management platform helps businesses manage and secure their crypto assets, such as Bitcoin, Ripple, Ethereum, and altcoins. Amidst growing security concerns, financial institutions are rapidly implementing crypto asset management platforms to manage, store, and safeguard their digital assets. The features of crypto asset management solutions offer portfolio management, exchange management, and compliance solution. The platform also helps minimize operational expenses and streamline business processes. The crypto asset management market is segmented by deployment type, end-user, and region. MarketsandMarkets forecasts the global crypto asset management market to grow from USD 94 million in 2018 to USD 207 million by 2023, at a Compound Annual Growth Rate (CAGR) of 17.1% during the forecast period.
Among end-users, the institutions segment is expected to grow at a higher CAGR during the forecast period. The overall institutions segment has a major influence on the crypto asset management market, because the daily trading over cryptocurrency is growing exponentially day-by-day. Financial firms are leveraging the capabilities of blockchain to process and transact cryptocurrency. Currently, institutional clients are leading the crypto currency market, and the trend is expected to grow during the forecast period.
Among deployment types, the cloud deployment type is expected to be the faster-growing segment in the market during the forecast period. The advantages of the cloud deployment type include flexibility, scalability, affordability, operational efficiency, and the low-cost factor. The overall adoption of cloud-based solutions is in the introductory phase and is expected to increase during the forecast period, due to the wide range of functionalities and core features the solutions provide.
Europe is believed to be witnessing a steady growth in terms of adopting crypto asset management solutions and is expected to grow at the highest rate during the forecast period. The institutions in the region focus on modernizing their banking system, owing to the availability of advanced technologies, such as the cloud, Internet Protocol (IP)-based network, and blockchain. The adoption of digital currencies in the European region is taking place in a very large scale. Despite being highly regulated, the adoption of cryptocurrencies among banks, hedge funds, and investment firms in the European Union (EU) are growing. Moreover, institutions are planning to integrate cryptocurrencies with their traditional banking services. Europe is expected to witness an upward trend of investments in custodian and wallet management solutions, which can fuel the growth of the crypto asset management market.
The growth of cryptocurrency over the last few years has been remarkable across developed countries. The cryptocurrency market is growing at an astounding rate for consumers as well as enterprises. Financial institutions are the frontrunners in adopting cryptocurrencies for trading and exchange. Blockchain has enhanced the popularity of cryptocurrencies, owing to greater security and scalability. Its diverse features are attracting organizations to deploy this new technology across their business transactions. Presently, the world’s largest financial institutions are utilizing cryptocurrency for currency exchange and trading. There are several projects undergoing across the globe to explore the benefits of cryptocurrency and blockchain, which are creating disruption among various industries, including BFSI, government, retail and eCommerce, and media and entertainment.
