Cost–Benefit Dynamics of Blockchain Adoption among Accounting Firms in Nigeria

Abstract

Blockchain technology has emerged as one of the most transformative digital innovations with the potential to improve transparency, security, and operational efficiency in accounting and auditing. Despite these potential benefits, adoption among accounting firms in developing economies remains limited due to concerns regarding implementation costs, technological complexity, and regulatory uncertainty. This study examines the cost–benefit dynamics of blockchain adoption among accounting firms in Nigeria by investigating the influence of implementation costs and operational benefits on blockchain adoption and evaluating the effect of blockchain adoption on operational performance. A cross-sectional survey research design was adopted, and primary data were obtained from 220 accounting professionals drawn from accounting and auditing firms in Lagos State, Nigeria. Descriptive statistics, Pearson correlation, and linear regression techniques were employed to analyse the data. The findings indicate that implementation costs significantly reduce the likelihood of blockchain adoption, whereas perceived operational benefits significantly enhance adoption. Furthermore, blockchain adoption exerts a positive and statistically significant effect on the operational performance of accounting firms through improvements in reporting accuracy, transparency, operational efficiency, and client confidence. The findings support the Technology Acceptance Model and Transaction Cost Economics by demonstrating that organisations evaluate emerging technologies based on the balance between expected benefits and associated implementation costs. The study concludes that although blockchain implementation requires substantial initial investment in infrastructure, integration, training, and regulatory compliance, its long-term operational benefits outweigh these costs. The study recommends phased implementation strategies, investment in digital competencies, and the development of supportive regulatory frameworks to accelerate blockchain adoption within the Nigerian accounting profession.