THE SOCIAL SPHERE IN THE ERA OF DIGITALIZATION: FINANCIAL AND ACCOUNTING ASPECTS

Abstract

The integration of digital technologies into the social sphere has brought about significant changes in financial and accounting practices. The aim of this article is to provide a comprehensive understanding of how digitalization has reshaped financial and accounting practices within the social sphere. By synthesizing existing literature and presenting empirical evidence, this study seeks to elucidate the opportunities and challenges arising from the digital transformation of the social sphere. This article explores the implications of digitalization for finance and accounting within the social sphere, focusing on five main objectives: examining the impact of digitalization on financial reporting and disclosure practices in social media platforms, analyzing the role of digital platforms in shaping consumer behavior and financial decision-making, assessing the implications of FinTech innovations for accounting processes and financial management, investigating the effects of digitalization on financial inclusion and access to capital for marginalized groups, and exploring the challenges and risks associated with the digitalization of financial and accounting practices. Through a comprehensive literature review, this article provides insights into the opportunities and challenges presented by digitalization in the context of finance and accounting within the social sphere, highlighting the need for robust regulatory frameworks and inclusive policies to maximize the benefits of digital transformation while mitigating associated risks. The results underscore the transformative impact of digitalization on financial and accounting practices within the social sphere. While digital platforms offer unprecedented opportunities for transparency, efficiency, and inclusion, they also present complex challenges that must be addressed. Moreover, the findings highlight the need for regulatory frameworks and industry standards to mitigate risks associated with digitalization and ensure ethical conduct in financial and accounting practices.