Blockchain Papers

Luis Bergolla, Karen Seif, Can Eken

No abstract is available for this record.

Hanna Kołodziejczyk

This chapter describes blockchain – an IT tool which has found an innovative use in finance, creating a new, fast-growing segment within FinTech. Blockchain, connected to the field of Distributed Ledger Technology, over the last few years has become a proposed solution for problems ranging from keeping financial records to designing new forms of money. The chapter establishes the foundations for further research by explaining what blockchain is and how it works, describing its characteristic features and weighing them against each other in a SWOT matrix. Following that, a number of proposed and already implemented applications of the technology are presented and discussed. This includes: cryptocurrencies, investment/security tokens and the process of tokenizing other types of real-world assets as well as digital repositories.

Xianyun Ge

In recent years, blockchain technology has become a hot topic in various industries. With the development and maturity of blockchain technology, it has been applied to finance, law, etc., with its advantages of decentralization, openness, information security, and concealment. The application scenarios of industry are becoming more and more abundant. Compared with the traditional TPA payment contract form, the smart contract mechanism based on blockchain technology is obviously more efficient, convenient, and safe. Against this background, we design a smart payment contract suitable for cloud storage by studying Ethereum. The relationship clause in the smart payment contract should be regulated around the contract law. The smart contract payment linkage clause can be classified into three forms, including conditional effective type, contract joint type, and contract link type, which correspond to the contract law. Therefore, the contract legal system for smart contract payment linkage clauses should follow typified thinking. Based on blockchain technology, smart contracts not only reduce the number of interactions in contract execution but also allow users to stop paying for cloud services when data is lost or damaged. The precise method is to generate each node with a private chain and place the smart contract on the private chain. With the decentralization of the blockchain private chain, the advantages of read-only data, and traceability of information, the storage of smart payment contract data is more secure. Both parties to the transaction are more trustworthy. Therefore, the proposed system has a safe and efficient smart contract payment mechanism, which brings a good user experience to users, which proves the significance and value of this research.

Yerlan Akhmetbek, David Špaček

Abstract Blockchain technology has a great potential for improving public administration – its transparency and efficiency. It is also discussed as an instrument for reducing corruption and transaction costs. This paper discusses the potential use of block-chain technology in public administration. It is based on a case-study approach focusing on real estate registration in Kazakhstan. Particular attention is paid to identifying factors hindering the development of the blockchain technology. The paper indicates that the main barriers to further use of blockchain technology in Kazakhstan are insufficient legislation and also the complexity of the technical implementation of blockchain projects and integration with existing systems.

Abdulaziz Aborujilah, Muhammad Naqib Bin Mohd Yatim, Abdulaleem Al-Othmani

Land registration systems are very essential for property ownership management. The exited land registry systems are less efficient and time-consuming and expose to human errors. By using blockchain technology, most of the principles of good governance in land administration such as transparency and efficiency can be fulfilled. However, there is a lack of experience in developing blockchain-based land registry systems. This paper proposes a blockchain-based adoption framework for land registry management in Malaysia. It elaborates more on developing a prototype that fulfills the main functions of current land registration by using smart contract functionalities. Also, this paper illustrates the main challenges of adopting this technology such as expertise shortage of software developers, implementation difficulties due to scalability of the land transactions, data sharing with different types of blockchain and lack of security attacks resistance. Therefore, there is a need to form an agreed-upon blockchain development platform that meet such constraints.

Apostolos D. Tassikas

Abstract This study aims to demonstrate that technological innovation in tourism represents a paradigm shift in law and is also changing the competition between tourist destinations. Technological innovation in the tourism sector is increasing the volume of data processing and calls for greater and more consistent (detailed) legal protection to combat dangers to private life, such as exclusion from ‘digital life’. The topics covered by the study include data processing in hospitality contracts, the enrichment of guest profiles, newsletter marketing, guest passes or discount cards in travel package contracts, and the question of whether data processing is necessary for fulfilling smart tourism contracts. The theoretical framework is based on contract and data protection law principles relating to purpose, data avoidance and transparency, the privacy rule by design and by default. The methodological approach is based on a careful balancing and weighing of the legal goods and values, and an assessment of the normative parameters. This research is responding to the need to develop appropriate policies on transformative innovations and is addressing different concerns relating to the adoption and diffusion of technological trends in tourism.

Yanling Liu, Yun Li

The shortcomings of today's credit mechanism are exposed and crises are everywhere. Today, the blockchain has become the most popular technology in the Internet finance field. It has rushed into all walks of life with the power of breaking a bamboo, and is shining around the world. According to the basic functions of blockchain technology (BT), such as information tampering. Information transparency has certain security guarantees. This kind of security guarantee can ensure the reliability of the financial information system to a large extent and reduce financial fraud. The aim of this article is to study the application of regional chain technology in the financial field (FF). This article is based on the primary principles of blockchain, information asymmetry theory and moral theory. Through questionnaire surveys, corporate financial personnel, middle and high-level managers and other authorities, university researchers, scholars and other personnel with experience in the implementation and application of financial informationization in various industries to ensure the right and precise results of this survey with authority and credibility. It is helpful to improve the quality problems in the financial information processing process, and helps the company implement effective real-time and automatic control. Experimental investigations and studies have shown, Financial information quality issues have the highest score at 4.39 points, while management and control issues and security issues have scores of 4.26 and 4.22 points, respectively. That there is no doubt that the blockchain financial system(FS) has many advantages, but because the BT is still in its infancy, the research time is relatively short, and there are many unresolved and unidentified problems and deficiencies.

Linchao Zhang, Lei Hang, Wenquan Jin, Do‐Hyeun Kim

The tourism industry can significantly benefit from the blockchain since its implementation can build trust among stakeholders and improve customer satisfaction. However, most of the existing tourism-specified blockchain platforms are single-chains that provide business support for enterprises without guaranteeing transaction information privacy. Besides, these platforms are specified to a single use case and lack interoperability with other platforms to support heterogenous tourism services. This paper aims to address this issue by introducing a multi-chain architecture that utilizes multiple blockchains to enhance processing capability and provide various business services for the tourism industry. The proposed multi-chain architecture improves the interoperability between the activities in different chains by providing functional requirements in practical applications and supports the inter-ledger application. In addition, the private blockchain will be made available to allow users to access the network through central authorization. It also increases the transaction processing capability by distributing multiple tasks across the chains for large-scale applications. To demonstrate the usability and efficiency of the developed approach, a case study on hotel booking is conducted using the blockchain frameworks Winding Tree and Hyperledger Fabric. A comprehensive evaluation experiment is conducted, and the results show the significance of the proposed system.

Dragoş Vicoveanu, Oana Geman, Carina Balcoș, Marius Prelipceanu

Abstract The recent use of digital Distributed Ledger Technology (DLT) in the healthcare domain can surpass the existing limitations in the centralized IT systems, such as the lack of security, access control or immutability of the electronic health information. If we discuss about clinical information, this innovative informatics advance gives back the control to the data owner. In decentralized environments, smart contracts allow trustable agreements grounded by irreversible transactions, which permit transparency and traceability. Moreover, smart contracts are the living heart of the decentralized applications that run on DTL. In this work, our attention is focused on medical equipments that helps health staff to diagnose and treat patients keeping much of their clinical data taken in dynamics. Hence, we propose a smart contract-based decentralized application framework for the management of devices, targeting also medical services, meant to facilitate the interaction of the involved entities. Our testing environment is the Ethereum platform, extensively used recently in the healthcare domain, being itself a smart operating system that allows decentralized applications to run on it.

Sonal Trivedi, Kiran Mehta, Renuka Sharma

Blockchain is thought to be the most recent innovation in technology. Trust is especially important in areas like the banking sector. Blockchain technology is a decentralised, coded security system which permits the development of novel digital platforms and services using this developing technology. The current research focuses on the usage of blockchain technology in the financial and e-finance sectors. The study focuses of research questions such as the development of blockchain technology, the adoption & challenges in blockchain technology and the application of blockchain technology in the financial sector. This study conducted a systematic review of 76 scientific articles on blockchain technology, narrowing down the selection to 59 articles. As a result, the author created classification framework with three dimensions: blockchain development, challenges and applications in the financial sector. This study recognizes consequences for blockchain research and practice in the future. The study reveals that blockchain has various unexplored application in finance sector and also there is a scope of improvement in technology. Also, the technology is unregulated, thus, it is still in its nascent stage and a lot is to be done in the field.

Kishore Singh, Amlan Haque, Sabitra Kaphle, Janice Joowon Ban

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.

Jae Park

Abstract Blockchain is arguably the next technology-mediated socioeconomic mega trend after the ongoing era of Net Neutrality and Big Data. This theoretical paper explores blockchain technology and its impacts on education. It is argued that we cannot take for granted that the network neutrality, popularized accessibility of the Internet and its influence on education will remain as we know it today. Blockchain promises, among others, a greater control over financing and investing in education, implementing instructional projects, a certification/accreditation system and learning. Education blockchain with its distributed ledgers would set novel standards of crypto-learning and crypto-administration that are acceptable across organizations and nations, enhancing thus the objectivity, validity and control of information without being compromised by socio-economic instabilities. The slow rate of adoption of blockchain technology in education reflects the rate in the fields of finance and management but, at the same time, it poses a few critical challenges such as lacking tangible incentives for technology maintenance or ‘blockchain mining’ (inward sustainability) coupled with a rather feeble orientation to collective development of education (outward sustainability).

Patrick Schueffel

DeFi, short for decentralized finance, is a new paradigm that enjoys increasing popularity in the financial world. DeFi posits that financial services should not rely on centralized intermediaries but should be provided by users for users. This is done by deploying software components to a decentralized peer-to-peer system which is grounded on blockchain technology. This introductory text discusses the origins of DeFi and delineates DeFi characteristics from those of traditional finance. Several examples of DeFi applications are given, the disadvantages resulting from this paradigm are discussed, and an outlook is provided.

Ruby Khan, Tahani Ali Hakami

Purpose The objective of this study is to examine the nature of cryptocurrencies, risks involved in using it due to its volatile nature, advantages, disadvantages and its functions as money. Design/methodology/approach This is an inductive approach to a descriptive analysis (Qualitative research). In order to come to an adequate conclusion, we reviewed several studies and articles previously published in this field related to our research questions, and then explored the nature of Cryptocurrencies, their advantages and disadvantages, risks associated with cryptocurrency usage and their user-friendliness in Saudi Arabia. Findings The findings of this study reveal that anonymity and concealment are important aspects of cryptocurrencies. This system does not follow a transparent process that can make it parallel to conventional fiat currency. Research limitations/implications Although this study focuses on the issue of trust, it fails to recognize more technological factors hampering its transaction mechanism instead of enhancing it, owing to a lack of facts and knowledge. Practical implications Like conventional transaction system users must sign their crypto transactions that others must duly verify easily. Once a promise is made, one will not be able to back out of it until it is protected from revocation by the signer. Originality/value In comparison with reviewed literature, this study focuses more on the issue of volatility, which accounts for the fact that cryptocurrency has not been accepted as a permanent tool of monetary policy. Additionally, the study finds that the Saudi public is largely pessimistic toward such currencies.

Moinak Maiti, Иван Котляров, V. S. Lipatnikov

The study adopts a single case study approach to bring into conversation, ideas, and views of several scholars on triple entry accounting (TEA). The development of blockchain technology already drives the conscious move towards the TEA. The TEA is currently not being used in any significant way but is in a greater debate whether it is worth adopting such alternative accounting practices as the TEA. Shifting to the TEA system is challenging and at present, it is just a fascinating mental exercise. With these backdrops, the present study discusses the likelihood cases of future accounting practice namely: (I) Sophisticated Accounting Software based on the double entry accounting (DEA); (II) Combination of Blockchain and TEA; and (III) Combination of disruptive technologies in addition to Blockchain and TEA. Finally, the study concludes with describing the basic architecture of a potential system of triple-entry accounting that could support the TEA system to deliver real-time insights into business operations. Lastly, the study plotted a hype cycle for accounting technologies to help global organizations identify the relevant accounting technologies and applications.

Pablo Rodrigo, Johan Pouwelse, Martijn de Vos

Non-Fungible Tokens (NFTs) leverage blockchain technology to certify and transfer ownership of digital assets to individuals. NFTs on the Ethereum blockchain have garnered significant attention recently, with a trading volume of over $2 billion in Q1 2021 only. At the same time, established NFT solutions have low flexibility, limited scalability, and high transaction fees. These deficiencies make them impractical to use at a larger scale to manage digital assets.

Petri Honkanen, Mats Nylund, Magnus Westerlund

Governance for centralized organizational structures has long roots and well-developed frameworks, including for various specialty areas, such as IT or data governance. However, the introduction of blockchain technology as a supportive tool for implementing decentralized organizations requires a renewed focus for research in the area. The paper utilizes empirical data from blockchain ecosystems in the form of white papers (public communique of intention) to analyze their governance intentions. The empirical findings are based on a review of 241 blockchains and distributed ledger technology white papers, out of which 67 include explicit descriptions of how governance should be organized in the ecosystem. Our empirical research distinguishes between three categories of governance: objectives, mechanisms, and stakeholders. We further identify 28 features for these categories, which are described in an open encoding format. Hence, the paper contributes to the emerging blockchain research field, particularly to the decentralized aspects of blockchain governance research. This research also reveals that blockchain governance does not receive the attention it should as a large majority of ecosystems have not disclosed their governance intentions. The results can be utilized as a framework for future research. The results can also be helpful for industry when designing and developing governance systems.

Abid Hassan, Md. Iftekhar Ali, Rifat Ahammed, Mohammad Monirujjaman Khan · 6 authors

Traditional insurance policy settlement is a manual process that is never hassle-free. There are many issues, such as hidden conditions from the insurer or fraud claims by the insured, making the settlement process rough. This process also consumes a significant amount of time that makes the process very inefficient. This whole scenario can be disrupted by the implementation of blockchain and smart contracts in insurance. Blockchain and innovative contract technology can provide immutable data storage, security, transparency, authenticity, and security while any transaction process is triggered. With the implementation of blockchain, the whole insurance process, from authentication to claim settlement, can be done with more transparency and security. A blockchain is a virtual chain of data blocks that is a decentralized technology. Any transaction or change in the blocks is done after the decentralized validator entity, not a single person. The smart contract is a unique facility stored on the blockchain that gets executed when the predetermined conditions are met. This paper presents a framework where smart contracts are used for insurance contracts and stored on blockchain. In the case of a claim, if all the predetermined conditions are met, the transaction happens; otherwise, it is discarded. The conditions are immutable. That means there is scope for alteration from either side. This blockchain and intelligent contract-based framework are hosted on a private Ethereum network. The Solidity programming language is used to create smart contracts. The framework uses the Proof of Authority (PoA) consensus algorithm to validate the transactions. In the case of any faulty transaction request, the consensus algorithm acts according to and cancels the claim. With blockchain and smart contract implementation, this framework can solve all the trust and security issues that rely on a standard insurance policy.

Kunjian Song, Nedas Matulevicius, Eddie B. de Lima Filho, Lucas C. Cordeiro

Smart contracts written in Solidity are programs used in blockchain networks, such as Etherium, for performing transactions. However, as with any piece of software, they are prone to errors and may present vulnerabilities, which malicious attackers could then use. This paper proposes a solidity frontend for the efficient SMT-based context-bounded model checker (ESBMC), named ESBMC-Solidity, which provides a way of verifying such contracts with its framework. A benchmark suite with vulnerable smart contracts was also developed for evaluation and comparison with other verification tools. The experiments performed here showed that ESBMC-Solidity detected all vulnerabilities, was the fastest tool, and provided a counterexample for each benchmark. A demonstration is available at https://youtu.be/3UH8_1QAVN0.

Muhsin Nor Paizin

<p><em>The cryptocurrency industry has exploded, with an increasing number of individuals investing in digital assets — even Malaysians who adhere to Shariah financial norms. The surge in Islamic faith members' involvement in cryptocurrencies such as Bitcoin and Ethereum has given birth to Zakat payments. Zakat is the third pillar of Islam, and it compels Muslims to make charitable contributions if they have sufficient means. The major considerations to explore are whether zakat is required on cryptocurrency investments and how the community sees zakat on cryptocurrencies. As a result, this paper will investigate the prospect of </em><em>cryptocurrencies as a digital assets</em><em> being a new source of revenue for zakat from an Islamic perspective by acquiring appropriate rulings (fatwas) and then investigating community attitudes on zakat on cryptocurrency.</em><em></em></p>

Srinath Perera, Amer A. Hijazi, G. Thilini Weerasuriya, Samudaya Nanayakkara · 5 authors

Blockchain can be introduced to use cases in the built environment where reliability of transaction records is paramount. Blockchain facilitates decentralised, cryptographically secure, trustworthy, and immutable recordkeeping of transactions. However, more research is urgently required to understand the process and complications in implementing blockchain solutions in the built environment. This paper demonstrates a methodology for developing a blockchain system starting from problem analysis, selection of blockchain platform, system modelling, prototype development, and evaluation. The evolutionary prototyping model was selected as the software development methodology for the use case of property transactions. A systematic process protocol involving the multi-criteria decision-making method, Simple Multi Attribute Rating Technique (SMART), was used to select Hyperledger Fabric as the most suitable blockchain platform for the prototype. The system architecture facilitates a simplified, lean property transaction process implemented through chaincode (smart contract) algorithms and graphical user interfaces. System evaluation through test cases allowed iterative improvements, leading to an incubation-ready software prototype. The contribution to knowledge of this paper is in the demonstration of the process to follow to implement a blockchain solution for a specific domain. The findings provide the foundation for developing proofs of concept for other potential applications of blockchain in the built environment.

R. Vedapradha, Hariharan Ravi

Purpose The study aim is to evaluate the contribution of Blockchain technology (Cryptobanking) using expected operating model (EOM) to address the pain points in reconciliation at middle and back-office operational levels in assessing the significance of this technology on return on investment. Design/methodology/approach A structured questionnaire was designed to collect primary data using a stratified sampling method from 120 respondents working in leading Investment banks operating in the geographical locality of urban Bangalore. Demographic variables, accounting variables, data reporting variables, approach variables, variables of EOM were considered to validate the hypothesis with the help of statistical tools, namely ANOVA, and Multiple Stepwise Regression Analysis. Findings The results obtained confirm that there is significant difference in reconciliation with implementation of an innovative business process. Financial analysis is the highest predictor of ROI when integrated with technology as the adapted Blockchain innovation in reconciliation is the most influencing factor in enhancing, improving ROI playing a pivotal role in the Investment banks. Originality/value Blockchain technology (Cryptobanking) facilitates in transforming the reconciliation process of these banks with improved operational efficiency. Blockchain and settlement platforms offer inter-organization solutions facilitating in the reconciliation of various transactions in real-time through a trust-based network in the form of digital settlements with better consortiums.

Jianwen Hu, Yuling Chen, Xiaojun Ren, Yixian Yang · 6 authors

As the technical support of the industrial Internet of Things, blockchain technology has been widely used in energy trading, data transactions, and Internet of Vehicles. However, most of the existing energy trading models only address the transaction security and transaction privacy issues that arise in the energy trading process, ignoring the fairness of resource allocation and transaction equity in the trading process. In order to tackle those problems, an energy trading scheme called HO-TRAD is proposed in this paper to improve the efficiency of model trading while ensuring the fairness of energy trading. We propose a new trading strategy in the HO-TRAD energy trading scheme that guarantees fairness in the allocation of trading resources by introducing an entity’s active reputation value. Use smart contracts to achieve transparency and ensure fairness in the transaction process. Based on the identity verification foundation of the consortium chain, the scheme enhances the existing PBFT consensus algorithm and improves the efficiency of model transactions. The experimental simulation indicates that the scheme requires less transaction time and has higher transaction fairness and security.

Daniel Levis, Francesco Fontana, Elisa Ughetto

In this paper, we use a Delphi approach to investigate whether, and to what extent, blockchain-based applications might affect firms' organizations, innovations, and strategies by 2030, and, consequently, which societal areas may be mainly affected. We provide a deep understanding of how the adoption of this technology could lead to changes in Europe over multiple dimensions, ranging from business to culture and society, policy and regulation, economy, and technology. From the projections that reached a significant consensus and were given a high probability of occurrence by the experts, we derive four scenarios built around two main dimensions: the digitization of assets and the change in business models.