Blockchain adoption continues unabated —Bloomberg analyst

November 8, 2023

By Anjali Kochhar

Over the past few years, blockchain adoption has continued “undoubtedly” in both bull and negative markets, according to Jamie Coutts, a Bloomberg analyst.

According to predictions made by Jamie Coutts, an analyst at Bloomberg Intelligence, blockchain technology might have 100 million daily users by 2028 if the present rate of growth continues.

Coutts noted on X (formerly Twitter) that the use of blockchain technology has been “unabated” over the past few years, despite bull and downturn markets. The analyst warned that it might be expensive to be blind to one of the biggest structural developments of the upcoming ten years.

According to Coutts, there were more over five million active addresses every day in the third quarter of 2023, an increase of 14% from 2022. Since 2019, quarter-over-quarter growth has averaged 29%. By 2028, we might achieve 100 million daily users if we adopt a more reasonable 20% QoQ growth rate.

Coutts contrasted the fast growth of PayPal with the adoption of blockchain technology. It took the massive finance company 13 years, he claimed, to gain 100 million daily users. “If Ethereum was the starting point for smart contracts in 2015, then blockchains might need to follow suit in terms of adoption,” he continued.

Blockchain-based businesses can experience an increase in valuations if adoption continues at its current rate. Coutts pointed out that after 100 million users are on board, basic regressions suggest the blockchain ecosystem may be valued anywhere from $5 trillion to $14 trillion from $350 billion today.

Coutts’ estimates align with statistics indicating a persistent interest in blockchain technology. Despite the market slump, the cryptocurrency industry saw 5% growth in 2022. Furthermore, according to a Celent survey from 2022, 91% of institutional investors are considering investing in tokenized assets, or blockchain-based tokens that stand in for ownership of both digital and physical assets.

Although too simplified extrapolations like this one should never be exclusively depended upon for valuation reasons, Coutts noted that the exercise shows how prices and users are closely related and that when usage increases, values for some assets would probably rise significantly.

About the author

Anjali Kochhar covers cryptocurrency stories in India as well as globally. Having been in the field of media and journalism for over three years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.

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