by The global Hardware Wallet Market is estimated to be valued at US$ 354.28 Mn in 2023 and is expected to exhibit a CAGR of 24% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Hardware wallets are physical crypto currency storage devices that store the user’s private keys in a secure encrypted chip. They provide higher security than software and online wallets by keeping users’ private keys and data offline.
Market key trends:
The growing adoption of cryptocurrencies like Bitcoin and Ethereum has led to an increased demand for secure crypto asset storage solutions like hardware wallets. As cryptocurrency prices and trading volumes rise, there is a greater need for hardware wallets that can securely hold large amounts of digital currencies. Rising awareness about hardware wallet security features compared to online or software wallets is another key factor driving the hardware wallet market growth.
SWOT Analysis
Strength: Hardware wallets provide a highly secure way to store cryptocurrencies offline. They are not connected to the internet and are less vulnerable to hacking attacks or malware.
Weakness: Hardware wallets require technical knowledge to securely set up and maintain. This barrier may deter some less tech-savvy users. Forgetting PIN codes or losing the physical device also results in permanent loss of crypto assets.
Opportunity: Rising awareness about blockchain security and growing cryptocurrency adoption is driving demand for hardware wallets. Moreover, hardware wallet manufacturers are launching novel products with improved features and user experience.
Threats: Software wallet applications on mobile devices and desktops provide similar security with greater convenience. This possesses a threat to hardware wallets losing market share over time as digital assets become more mainstream. Advances in quantum computing may also undermine the encryption algorithms used by current hardware wallets.
Key Takeaways
Global Hardware Wallet Market Demand is expected to witness high growth, exhibiting CAGR of 24% over the forecast period, due to increasing investments in blockchain security infrastructure among crypto exchanges, financial institutions and individual investors. The growing popularity of hardware-based multi-asset wallets among beginners has further stimulated the demand.
North America dominates the global hardware wallet market with major manufacturers based in the US and Canada. However, Asia Pacific is emerging as the fastest growing regional market, led by China, India and other APAC countries experiencing a crypto boom. Increased government regulations mandating the use of hardware wallets among cryptocurrency businesses in several Asian nations are also propelling the hardware wallet adoption.
Key players operating in the hardware wallet market are ARCHOS S.A., ELLIPAL LTD., LEDGER SAS and OPOLO SARL. Major hardware wallet producers are focused on expanding their product portfolios catering to both individual and institutional users. Partnerships with crypto exchanges are another strategic initiative undertaken by hardware wallet vendors to tap new customers.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
