Blockchain Technology and the Future of Accounting

Abstract

This paper aims to investigate the implications of blockchain technology in improving the quality of financial information. To achieve this objective, the author has studied several published journals, newspaper articles, book series, and case studies. It is observed that blockchain technology can create a platform for organizations to disclose their information voluntarily in the short run while it decreases errors in financial disclosure, enhances the quality of accounting information and reduces information redundancy in the long run. A harmonized movement of accountants, auditors, regulatory authorities, and other relevant parties can extract the optimum benefits of blockchain technology in the accounting ecosystem. The findings of this study will encourage top management and policymakers to adopt blockchain in their business to increase the quality of data and the acceptability of the reports. This study indicates necessary ways outs to improve the quality of accounting information by applying blockchain technology. It further identifies potential threats in implementing blockchain technology and recommends appropriate remedies.