BLOCKCHAIN IN U.S. ACCOUNTING: A REVIEW: ASSESSING ITS TRANSFORMATIVE POTENTIAL FOR ENHANCING TRANSPARENCY AND INTEGRITY

Authors

  • Adeola Olusola Ajayi-Nifise Department of Business Administration, Skinner School of Business, Trevecca Nazarene University, USA
  • Titilola Falaiye Walden University, USA
  • Odeyemi Olubusola Independent Researcher, Nashville, Tennessee, USA
  • Andrew Ifesinachi Daraojimba Department of Information Management, Ahmadu Bello University, Zaria, Nigeria
  • Noluthando Zamanjomane Mhlongo Department of Accounting, City Power, Johannesburg, South Africa

DOI:

https://doi.org/10.51594/farj.v6i2.786

Abstract

This study critically examines the transformative potential of blockchain technology in enhancing transparency ansd integrity within U.S. accounting practices. Employing a systematic literature review and content analysis methodology, the research draws on a range of peer-reviewed articles, industry reports, and authoritative databases. The study's objectives include understanding the evolution of blockchain in accounting, assessing its impact on transparency and integrity, identifying challenges in adoption, and exploring future trends and stakeholder implications. Key findings reveal that blockchain acts as a catalyst for transparency and integrity in accounting, offering a decentralized and immutable record-keeping system that significantly reduces the likelihood of fraud and errors. The technology's integration into accounting practices is evolving, indicating a future of automated, real-time auditing processes and enhanced financial reporting. However, challenges such as regulatory ambiguity, technical complexities, and scalability issues persist, necessitating strategic solutions. The study recommends that industry leaders and policymakers proactively embrace blockchain technology through education, regulatory framework development, and collaboration between technology developers and the accounting industry. Standard-setting bodies are also encouraged to update accounting standards in light of blockchain's implications. Future research directions include exploring the long-term impact of blockchain on various accounting aspects, empirical assessments of its real-world impact, and strategies to overcome adoption barriers. In conclusion, the study highlights blockchain's significant role in revolutionizing accounting practices, emphasizing the need for continued exploration and strategic integration of this technology in the accounting sector.

Keywords:  Blockchain Technology, Accounting Transparency, Regulatory Frameworks, Financial Integrity.

Published

2024-02-14

Issue

Section

Articles