Distributed Ledger Technology - Addressing the Challenges of Assurance in Accounting Systems: A Research Note

Kishore Singh (), Amlan Haque, Sabi Kaphle and Janice Joowon Ban
Additional contact information
Amlan Haque: School of Business and Law, CQ University, Australia
Sabi Kaphle: School of Health Sciences, CQ University, Australia
Janice Joowon Ban: School of Business and Law, CQ University, Australia

Journal of Accounting and Management Information Systems, 2021, vol. 20, issue 4, 646-669

Abstract: Background - With the progressive development of blockchain technology, its potential influence on the accounting and auditing professions is of interest to academia and practitioners. As the technology gains acceptance in businesses such as banking, stock exchanges, insurance, law, government services, and e-voting, business leaders are beginning to recognise its potential to transform their organisations. Despite concerns about how this technology will marginalise the accounting and auditing profession, blockchain continues to lag behind in adoption and there is time for accountants and auditors to reflect on their current practice and update their knowledge and skills to maintain their relevance to the industry. Motivation - The literature has not fully examined the implications of distributed ledger technology and its implications for the accounting and auditing profession. The intent of this research note is to identify opportunities for research that are of significance to the application of distributed ledger technology to accounting and auditing. Research Question - To identify possibilities that exist in researching the adoption, implementation and application of a distributed ledger solution in the context of accounting and auditing. Framework - Based on the literature, the study proposes a framework for a blockchain model of a simplified triple-entry bookkeeping system using smart contracts to automate self-verification and replication of transactions in a public distributed ledger. Findings - Drawing on the framework the article develops a series of research questions that may significantly reduce barriers and challenges facing organizations that want to implement blockchain technology in their accounting systems. Contribution - Given the complex nature of blockchain, cross disciplinary research is proposed to bring together information technology, accounting, assurance, economics and psychology resulting in further understanding of the technology as it relates to, and influences the accounting and auditing profession. In doing so, the paper makes several contributions to the literature.

Keywords: Distributed ledger; blockchain; triple-entry bookkeeping; audit and assurance (search for similar items in EconPapers)
JEL-codes: M15 M41 M42 O33 (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations:

Downloads: (external link)
http://online-cig.ase.ro/RePEc/ami/articles/20_4_4.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ami:journl:v:20:y:2021:i:4:p:646-669

Access Statistics for this article

More articles in Journal of Accounting and Management Information Systems from Faculty of Accounting and Management Information Systems, The Bucharest University of Economic Studies
Bibliographic data for series maintained by Cristina Tartavulea ().