Emerging trends in digital, decentralized, and blockchain-based finance: An empirical study of adoption, risk perception, and regulatory readiness

Abstract

This paper examines the transformations in finances in the developing markets such as India due to digital money, decentralized finance (DeFi), and blockchain technology. It pays attention to what makes people desire to access such services, what dangers they believe they pose, and how prepared the governmental regulation is (Davis, 1989; Schueffel, 2016). The researchers completed the survey which questioned 420 Indian retail shoppers and fiscal experts about digital finance. They then analyzed the data using Partial Least Squares Structural Equation Modelling (PLS -SEM). They discovered that individuals tend to move to such services when they believe that it is useful, easy to utilize, reputable and with adequate regulation. People fear to take risks and will be less willing to use them (Venkatesh & Davis, 2000; Zhang et al., 2022). The actual use can also be predicted by the intention to use, and individuals who are knowledgeable of contemporary trends, including DeFi, tokenisation, and central bank digital currencies (CBDCs), are even more eager to use useful services (Rogers, 2003; Auer et al., 2022). These findings provide practical suggestions to regulators and banks interested in promoting sound innovation and broader adoption of digital and blockchain finance in India.