A current, urgent problem is whether the price behavior pattern of significant quantities of digital assets reflects a single direction trend line or multiple phases that exhibit different structures, adjusted inter-asset relationship differences, and changes in management systems, given the growing importance of digital assets in investment portfolios and collateral holdings, exchange-traded funds (ETFs), new forms of financial activities, and system risks over the period from 2020 through 2025. Because of this periodâs post-pandemic recovery, speculative overextension, sharp decline, stabilization, and the re-entry of large-scale institutions into practice, these changes in prices are more clearly identified under such a context. Empirically, this study integrates descriptive statistics, rolling volatility analysis, augmented DickeyâFullerâs unit-root test, segmented trend regression model with structural breaks, and vector autoregression (VAR) for return interactions. Based on these bases, both Bitcoin and Ethereum have demonstrated a relatively strong direction of continuous appreciation, together with quite considerable regime-specific instability. The log-price series is non-stationary, but the daily return series is stationary; so a level model is appropriate for medium-term trend analysis, and returns-based models can be applied more flexibly at shorter timespans. The segmented trend-regression analysis shows that close to peaks, such as those that occurred in 2021 for a long period, the 2022 correction, and the resumption of investment in 2024, are relatively distinct from the overall linear change pattern across all time periods. Both Bitcoin and Ethereum display pronounced contemporaneous co-movement, but they show no substantial lags via VAR or Granger causality tests conducted in the context of time-varying parameters. This study employs an integrated empirical research approach based on various perspectives to explore the long-term structural adjustment and near-instantaneous cross-market relationship dynamics, as well as regulatory mechanisms within a systemic context.
Purpose This study examines the determinants of cryptocurrency participation through the lens of social cognitive theory (SCT hereafter), investigating how cognitive, behavioral, and environmental dimensions, including financial literacy, trust and environmental awareness, influence investment behavior. Design/methodology/approach Survey data from 441 adults were analyzed using hierarchical logistic regression models for both the full sample and a subsample of individuals with current, former or intended cryptocurrency investment. Findings Objective financial literacy (OFL) is a strong positive predictor of cryptocurrency investment, whereas subjective financial literacy (SFL) exhibits no significant effect. Demographic differences are evident, with males demonstrating a higher propensity to invest, while investment participation declines with increasing age. Previous investment experience adds limited explanatory power once financial knowledge and demographics are controlled. Within the focused subsample of current, former and intending investors, perceived risk emerges as a significant positive predictor of cryptocurrency participation, unlike trust and environmental awareness. Practical implications As digital-asset regulation evolves, policymakers and platforms should enhance objective financial education, communicate risks clearly, and customize strategies aimed at particular demographic groups. Originality/value By operationalizing SCT's triadic reciprocal determinism framework, this study highlights the distinct roles of OFL and risk perception in cryptocurrency adoption, distinguishing between actual and intended investors and clarifying the relative effects of objective and subjective literacy.
Blockchain-based trading venues, so-called decentralized exchanges, are at the heart of the decentralized finance revolution. Automated market makers, simple computer programs on the blockchain, administer liquidity and set the terms of trade. This article summarizes the key mechanisms behind these new markets, how they differ from traditional financial markets, how liquidity is provided, how prices are set, and how liquidity providers get compensated. We include a short guide on how to understand blockchain data and use these data for academic research.
Objectives: The study aimed to examine the role of blockchain technology and its dimensions (transparency, security, transaction speed and efficiency, and operational cost reduction) in enhancing decentralized finance (DeFi) within the Saudi National Bank (SNB). Methodology: The study adopted a descriptive analytical approach. A structured questionnaire was used as the primary data collection instrument, distributed to a stratified random sample of 280 employees working in relevant departments within the bank. The collected data were statistically analyzed using SPSS. Results: The findings indicated that employeesâ perceptions of blockchain technology were high, with an overall mean score of 4.08. The security dimension ranked first with a mean of 4.19, while the dependent variable recorded a high mean of 4.00. The results also confirmed the acceptance of the main research hypothesis at a significance level of 0.05. Collectively, the four dimensions explained 71.1% of the variance in enhancing decentralized finance. Security emerged as the most influential factor, followed by transparency, transaction speed and efficiency, and finally operational cost reduction. Conclusion: The study concludes that the application of blockchain technology across its various dimensions significantly contributes to strengthening decentralized finance within SNB. Security was identified as the most critical determinant, highlighting the need to reinforce cybersecurity infrastructure, develop regulatory and governance frameworks, and adopt a gradual approach toward transitioning to decentralized financial systems.
This study examines PUPS, a representative Bitcoin ecosystem project, to elucidate the success mechanisms of Web3 meme projects. We test three hypotheses: (H1) community sentiment and social media virality constitute the fundamental drivers of meme asset valuation; (H2) core participants accumulate positions at low prices and distribute at peak valuations; (H3) meme diffusion is predominantly driven by internal imitation, significantly outweighing external marketing effects. Applying event study methodology, social network analysis, and the Bass diffusion model to social media and on-chain data, our findings support all hypotheses, revealing a âpropagationâsentimentâtradingâ pathway. We identify a distinctive âcommunity fingerprintâ comprising 348 original holders and 5,036 6-core addresses, characterizing them as both community stabilizers and hype catalysts. This pattern illustrates the paradox of âeconomic recentralizationâ within technically decentralized systems. Paradoxically, the founder's public assertion that âeverything will eventually go to zeroâ evolved into a cultural ritual that reinforced community consensus. This study concludes by proposing a âmeme financializationâ framework, offering novel perspectives for understanding âAttention as Capitalâ, âConsensus as Valueâ, and âNarrative as Assetâ in Web3 ecosystems.
This research investigates the use of financial technology (FinTech), decentralized financing (DeFi), and digital marketing (DM) to improve financial inclusion in India. It fills crucial research gaps by investigating the impact of behavioral intent, trust, usability, and social influence on mobile banking and DeFi uptake, as well as the role of DM in advancing these initiatives. A thorough literature analysis was undertaken, including databases such as Emerald Insight, ScienceDirect, and JSTOR, to identify gaps and analyze trends in FinTech and DM. DeFiâs blockchain-based strategy eliminates traditional intermediaries, increasing transparency, cost efficiency, and accessibility. DM is critical in fostering financial literacy and adoption by providing customized, culturally appropriate material. Adoption is influenced by key characteristics such as behavioral intent, trust, and usefulness. Partnerships between FinTech, DeFi platforms, and conventional banks are critical to increasing inclusiveness while resolving regulatory and ethical concerns. The research underlines the need of rules that encourage innovation while protecting consumers. 188 Financial institutions are urged to employ FinTech, DeFi, and DM to provide user-friendly, inclusive products, and increase their reach. Researchers should conduct qualitative and longitudinal research to capture cultural and societal influences while addressing regulatory and ethical issues in DeFi. This study offers practical insights into how FinTech, DeFi, and DM may increase financial inclusion, empower underprivileged populations, and promote economic growth and support economy.
This chapter investigates the emerging integration of decentralized finance (DeFi) ecosystems and the Internet of Things (IoT) as a transformative pathway for developing inclusive and sustainable renewable energy markets. In an ideal digital energy economy, real-time data intelligence, transparent financial mechanisms, and decentralized governance structures function cohesively to ensure equitable access, operational efficiency, and long-term sustainability. Such a system envisions seamless peer-to-peer energy trading, automated financing, and adaptive grid management. In practice, however, existing energy infrastructures remain constrained by centralized financing, limited data interoperability, and fragmented technological adoption, which restrict scalability and social inclusion. Prior research on blockchain-based energy trading, smart grids, and IoT-enabled monitoring emphasizes efficiency gains and transparency in distributed energy systems. Parallel studies on DeFi highlight its potential to democratize capital access and automate financial processes 234through smart contracts. Yet, these streams largely operate independently, offering limited insight into their integrated sociotechnical and financial impacts. Moreover, ethical governance, data security, and cross-platform interoperability remain underexplored. Addressing these gaps, this chapter proposes an integrative conceptual framework grounded in digital ecosystem theory and decentralized governance principles. Through analytical synthesis, it demonstrates how IoT-driven energy data, blockchain-enabled smart contracts, and decentralized lending models can jointly enhance grid stability, financing inclusivity, and system trust. The findings provide strategic guidance for advancing resilient, ethical, and scalable smart energy economies.
This chapter examines the convergence of immersive technologies, decentralized finance (DeFi), and digital transformation in reshaping the operational and financial foundations of the renewable energy sector, with particular emphasis on wind turbine systems. In an ideal sustainable energy ecosystem, advanced digital tools, transparent financing mechanisms, and intelligent infrastructure operate in harmony to optimize performance, ensure safety, and accelerate investment in green energy. Such a system is expected to integrate virtual and augmented reality for skill development and maintenance, Internet of Things (IoT)-driven analytics for real-time monitoring, and decentralized platforms for inclusive project financing. However, despite rapid technological progress, contemporary renewable energy systems remain constrained by fragmented digital adoption, centralized funding structures, regulatory uncertainty, and limited technological accessibility. Existing studies on smart grids, digital twins, and immersive training platforms highlight efficiency gains in turbine design and maintenance, while blockchain-based research emphasizes DeFiâs potential in peer-to-peer energy financing. Yet, these research streams largely evolve in isolation, offering limited insight into their systemic integration. Moreover, prior work rarely addresses how immersive technologies and decentralized finance jointly influence operational resilience and financial sustainability. Addressing this gap, the chapter develops an integrative conceptual framework grounded in digital ecosystem theory and decentralized governance models. Through critical synthesis and analytical evaluation, it demonstrates how coordinated deployment of virtual reality/augmented reality, IoT analytics, and DeFi platforms can enhance performance optimization, democratize investment, and strengthen trust in renewable energy systems. The findings provide strategic guidance for policymakers, utilities, and investors seeking to advance scalable and sustainable energy transitions.
Measuring and rewarding distributed productive contribution remains unsolved: GDP-era indicators miss digital commons, and existing token economies systematically reward speculation over contribution. We address this problem by formally specifying VitaChain, a protocol for verified productive value. Our contributions are threefold. (i)Theoretically, we introduce a quadratic-form asset scoring system with a diversity-corrected aggregate index (nvpvi), multi-source consensus-weighted attribution, and a four-class parameter governance system with constitutional invariants. (ii)Architecturally, we propose a dual-token design separating soulbound contribution records (pc{) from transferable value tokens (vt), governed by Proof-of-Productivity (PoP) with dual-track decay to prevent plutocracy. (iii)Empirically, we characterize six protocol properties through simulation-based consistency checks under synthetic ensembles ($n \geq 50$ trials per configuration): \pop{}-weighted voting reduces top-1\% governance influence 2.8$\times$ versus token-weighted voting (under the assumption that contribution is less concentrated than wealth); temporal decay illustrates how the chosen decay bands translate into a 39$\times$ long-horizon value gap between maintained and unmaintained assets at year 20; and Progressive Trust with $\sigma{=}50$ limits Sybil inclusion-pool capture to below 3.5\% of pool capacity. Sybil attribution shift remains within the theoretically derived bound across all configurations. The privacy architecture---blockchain hashes only, zero-knowledge verification bridges, federated off-chain storage---is designed to target GDPR Article~17 requirements, subject to legal interpretation. All experiments operate on synthetic asset ensembles; results characterize the behavior of the formalism rather than real-world deployment outcomes.
Blockchain technology has emerged as one of the most transformative innovations of the digital economy, extending far beyond cryptocurrencies into sectors such as finance, healthcare, logistics, governance, and intelligent automation. This study critically examines the role of blockchain technology in enhancing global economic growth through decentralization, transparency, cybersecurity, smart contracts, and digital trust mechanisms. Drawing upon contemporary literature and emerging industrial applications, the paper explores how blockchain contributes to economic resilience, operational efficiency, supply chain optimization, decentralized finance (DeFi), central bank digital currencies (CBDCs), and AI-integrated digital ecosystems. The study adopts a conceptual and analytical approach to evaluate blockchainâs macroeconomic implications and institutional challenges in the context of Industry 4.0. Findings suggest that blockchain has the potential to reduce transaction costs, enhance cross-border economic integration, improve governance transparency, and facilitate sustainable digital transformation. However, regulatory uncertainty, scalability limitations, cybersecurity concerns, and energy consumption remain significant barriers to global adoption. The paper contributes to the literature by proposing an integrated framework linking blockchain innovation with economic sustainability, digital governance, and technological resilience. Policy implications and future research directions are also discussed.
This paper provides an overview of privacy-protecting measures that can be used to secure user data and assure the safety and efficiency of digital activities in contactless financial ecosystems. Many people worry about identity theft, data breaches, and spying by unauthorised parties due to the rapid growth of digital wallets, contactless banking, and mobile payments. Modern cryptography includes safe multi-party computation, zero-knowledge proofs, and homomorphic encryption. These approaches verify transactions and safeguard sensitive data. Blockchain and other independent systems are emphasized for their ability to improve openness, reliability, and anonymity. Regulations and compliance challenges related to financial systems using privacy-enhancing technology are examined. The findings emphasize the importance of strong privacy protections to balance data security, safety, and creativity. Contactless technologies become more popular as more people believe in them.
Cryptocurrencies have become an important variable in the global financial system. With the maturity of blockchain technology, new applications such as stablecoins, Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs) and Real-World Asset (RWA) tokenization have emerged continuously, and the crypto-asset system has gradually formed a multi-layered and multi-functional complex structure. However, as the market scale expands, problems such as price volatility risks, systemic financial risks and illegal financial activities have become increasingly prominent, prompting the continuous evolution of regulatory policies in various countries. Especially after the concentrated outbreak of multiple industry risk incidents around 2022, the global regulatory attitude has been significantly tightened, and the regulatory framework has gradually evolved from fragmentation to systematization. At the same time, Central Bank Digital Currencies (CBDCs) have entered an important stage of transition from experimental research to large-scale pilots, becoming one of the core paths for the digital transformation of national monetary systems. This paper systematically sorts out the evolutionary logic of cryptocurrencies, compares the changes in regulatory policies of major countries and regions, conducts an in-depth analysis of the development trends of CBDCs and the changes in the regulatory structure of crypto-assets based on the latest global practices from 2020 to 2026, and further explores the evolutionary direction of the asymmetric regulatory framework.
Cryptocurrency has become a significant innovation in the digital financial system, sparking various perspectives on its compatibility with sharia. This study aims to analyze the legality of cryptocurrency from a sharia perspective, including its transaction mechanisms and investment implications. The primary focus is on examining the elements of gharar (uncertainty) and maysir (gambling), which could potentially render it impermissible under sharia. The research employs a normative analysis approach to explore contemporary scholars' views and their relevance to maqasid sharia, which emphasize the protection of wealth and societal welfare. The findings indicate that, despite cryptocurrency's benefits, such as transaction efficiency and accessibility, its high speculative risks and value uncertainty pose major obstacles to its acceptance under sharia. Therefore, clear and comprehensive regulations are needed to accommodate cryptocurrency use in sharia-compliant financial institutions without violating Islamic principles. This study provides a significant contribution to clarifying the position of cryptocurrency within the Islamic financial system and encourages the development of sharia-based regulations for digital transactions.
The United States is facing a persistent and rising "tax gap," the discrepancy between taxes owed and taxes paid, that is a systemic failure of traditional retroactive audit procedures.As the complexity of digital financial transactions continues to expand, the Internal Revenue Service (IRS) faces serious hurdles from aging infrastructure in providing revenue assurance.In this research, we present a new technical framework, namely the "Smart-Tax Ledger", combining a permissioned blockchain (Hyperledger Fabric) and Gradient Boosted Decision Trees (GBDT) for the real-time tax compliance.This architecture facilitates the automation of tax withholding and remittance at the point of transaction, leveraging triple-entry accounting principles and smart contracts.Also, the use of Zero-Knowledge Proofs (ZKP) safeguards the integrity of the distributed ledger and preserves taxpayer privacy.This work presents a complete architectural design, mathematical modeling of fraud detection algorithms, and a debate on the policy implications of the adoption of a "compliance-by-design" paradigm.The system, which is supposed to reduce administrative cost, limit human mistake and fill the national revenue deficit by technical intervention.
Pierluigi Martino, Christian Fisch, Cristiano Bellavitis
The emergence of new and powerful technologies has introduced novel players and innovative methods for financing entrepreneurial ventures. Blockchain technology is one example of a transformative technology that has significantly affected entrepreneurial finance in recent years, paving the way for a variety of alternative financial channels centered on digital technology, decentralization, and disintermediation. This chapter provides an overview of the current landscape of blockchain-based funding mechanisms by describing (1) initial coin offerings (ICOs), (2) initial exchange offerings (IEOs), (3) security token offerings (STOs), (4) non-fungible tokens (NFTs), and (5) decentralized autonomous organizations (DAOs). Initial DEX offerings (IDOs), airdrops, and cryptocurrency loans are also explored briefly. This overview aims to expand the academic understanding of the evolving blockchain-based financing landscape, helping researchers and practitioners gain insights into emerging trends, challenges, and opportunities.
Abstract: People who have digital accounts for banking, trading, and financial investment opportunities. The growing adoption of fintech apps has changed the way investors behave, especially tech-savvy users like IT professionals in Bengaluru. This review paper seeks to reconnect the dots between ABFS and investor behaviour by reviewing large sample of literature spanning the years 2002â2026. This research adopts the key theoretical frameworks: Unified Theory of Acceptance and Use of Technology (UTAUT), Theory of Planned Behaviour (TPB), behavioural finance theory and trust theory. The research method adopted was systematic literature review that was carried out by employing Scopus, Web of Science, Google Scholar, and peer-reviewed journals. According to the results, the main factors that explain the financial behaviour of adoption and investment are: financial awareness, the digital financial literacy, ease of use, Accessibility, Trust and Security, and Risk perception. The review also highlights some key gaps in the existing research, such as a lack of qualitative research, the absence of longitudinal studies, a narrow provision of emerging market studies, and poor focus on decentralized finance and AI-based investment applications. The paper proposes a conceptual and Structural Equation Model (SEM)-based framework explaining the relationship between technological, behavioural, and psychological factors influencing investor behaviour. Its finding will be valuable for the scientific community as it lays the basis for an integrated framework in understanding the adoption of fintech in emerging economies, and will also be helpful for policy makers, fintech developers and researchers Keywords: Application-based financial services, fintech adoption, investor behaviour, financial literacy, SEM model, trust and security, risk perception, digital investment platforms, TAM, TPB & UTAUT. Title: APPLICATION-BASED FINANCIAL SERVICES AND INVESTOR BEHAVIOUR IN INVESTMENT MANAGEMENT PRACTICES: A SYSTEMATIC REVIEW OF THEORETICAL INSIGHTS, TRENDS, AND FUTURE DIRECTIONS Author: Parimala.S, Dr. Annadurai International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 14, Issue 1, April 2026 - September 2026 Page No: 502-513 Research Publish Journals Website: www.researchpublish.com Published Date: 04-June-2026 DOI: https://doi.org/10.5281/zenodo.20542559 Paper Download Link (Source) https://www.researchpublish.com/papers/application-based-financial-services-and-investor-behaviour-in-investment-management-practices-a-systematic-review-of-theoretical-insights-trends-and-future-directions
This study addresses the growing importance of cryptocurrency (CC) as a financial asset and its increasing popularity as an investment option. Given the rapid expansion of research in this field, the main objective is to systematically synthesize the existing literature on cryptocurrency investment and decision-making, focusing on its intellectual structure, dominant themes, theoretical foundations, and emerging research trends. To achieve this, a hybrid review framework is employed, combining a theory-based systematic literature review with bibliometric analysis, following PRISMA guidelines. The analysis covers 1,184 articles indexed in Scopus and published between 2015 and 2025. Additionally, the study integrates the TCCMR, ADO, and PICO frameworks to provide a comprehensive, multidimensional evaluation of the selected body of literature. The findings reveal that cryptocurrency research is predominantly focused on volatility, market connectedness, portfolio diversification, and behavioral aspects of investment. The results also indicate a strong reliance on econometric and predictive modeling approaches. Emerging research directions highlight increasing attention to sustainability concerns, regulatory challenges, and the application of artificial intelligence in investment analytics. Based on these insights, the study proposes a future research agenda emphasizing theoretical integration, methodological diversification, sustainability perspectives, and decision-oriented modeling. The implications of the research are relevant for investors, regulators, and financial institutions, as they provide a deeper understanding of risks, governance, and decision-making processes in cryptocurrency markets. This study contributes to the literature by offering a comprehensive knowledge structure and research roadmap, representing one of the first attempts to combine bibliometric mapping with TCCMR, ADO, and PICO frameworks in the context of cryptocurrency investment research.
Doan B. L. Nguyen, Pham Khanh Nam, Nguyen Thi Hong Thu
This study examines factors considered in investor decisions to invest in physical and tokenized real estate in Vietnam using discrete choice modeling on data from 413 participants in Ho Chi Minh City. Results show that legality, transparency, transaction fees, and expected returns are key determinants of investment consideration. Older and higher-income investors exhibit lower preference for tokenized assets, while female, more educated, and blockchain-familiar investors show greater adoption tendencies. The findings highlight how legality and institutional quality shape emerging digital asset markets, underscoring the need for legal clarity, transparent data, and targeted education to foster tokenized real estate development.
The quick progress of the gig economy and the appearance of digital nomadism have transformed traditional employment and financial ecosystems, increasing reliance on digital financial services. FinTech modernizations, including movable banking, digital cases, blockchain technologies, and decentralized finance, have significantly enhanced admittance to financial facilities. However, the extent to which these innovations contribute to meaningful financial inclusion remains a critical area of inquiry. This study presents a wide-ranging analysis of poetry examining the part of FinTech in enhancing financial inclusion among digital nomads. Using a narrative review approach, the study synthesizes research across themes such as ordinal finance embracing, financial literacy, gig economy dynamics, and platform-based monetary amenities. The verdicts signpost that while FinTech improves accessibility and efficiency, tests such as regulatory barriers, trust deficits, financial literacy gaps, and cross-border complexities persist. The study highlights the need for integrating technological, behavioral, and policy perspectives to achieve inclusive financial systems. The review contributes to the literature by providing a multidimensional understanding of FinTech-enabled inclusion and offers inferences for representatives, financial establishments, and gig workers.
Social media entrepreneurship is shaped by centralized platforms controlling algorithms, monetization, and data, often limiting autonomy and bargaining power. Blockchain governance and smart contracts offer alternative arrangements to enhance transparency, trust, and value distribution. This study aims to examine the role of blockchain governance and smart contracts as alternative institutional mechanisms for entrepreneurs in social media ecosystems, with a focus on implementation conditions, strategic opportunities, and associated limitations. This research adopts a qualitative conceptual approach based on a systematic review of indexed academic literature published between 2022 and 2025, complemented by an analysis of documentation from blockchain based social media platforms, white papers, and relevant industry reports. The analysis maps key challenges faced by social media entrepreneurs onto blockchain governance mechanisms and smart contract functionalities. The findings indicate that blockchain governance and smart contracts can enhance entrepreneurial participation, improve transparency in revenue distribution, and strengthen the protection of digital assets. However, these benefits are context dependent and con- strained by several factors, including technical complexity, unequal token distribution, and regulatory uncertainty. Therefore, blockchain governance and smart contracts should not be viewed as universal solutions, but as strategic instruments whose effectiveness depends on inclusive governance design, sufficient technical readiness, and adaptive policy frameworks to support sustainable social media entrepreneurship. This article contributes by proposing an evaluative framework to assess the implementation of blockchain governance and smart contracts in social media entrepreneurship, emphasizing alignment be- tween technological design, governance inclusivity, and ecosystem readiness.
M. Shunmugasundaram, S. Gangadharan, Rina Dave, Saraswati Kala · 5 authors
One of the main reasons for the surge of Shadow AI is the widespread use of AI technology in businesses. One of the major drivers behind the increasing prevalence of Shadow AI is the integration of AI technology in enterprise environments. As Artificial Intelligence (AI) becomes ubiquitous in the enterprise, Shadow AI has surged in the number of organizations using AI out of control or without authorization. This research paper explores how Shadow AI has developed from the traditional Shadow IT concept in an autonomous enterprise context where AI use is decentralized, agents are used to automate processes, and the decision-making is machine-driven. The paper discusses governance blind spots like hidden AI integrations, non-human identities, lack of explainability, AI drift, and autonomous risks. It uses a qualitative approach with review, analysis, and synthesis to create a shadow AI governance framework. This framework includes AI discovery, telemetry monitoring, zero-trust controls, explainability, and continuous auditability. The findings show that existing approaches to IT governance are insufficient for adaptive ecosystems of AI, and enterprise governance must be continually monitored, documented, and tracked; resilient to cyber threats; compliant with regulations; and ensure digital trust.
Blockchain-based transaction and settlement systems represent a transformative approach to recording, verifying, and finalizing financial and asset exchanges. By using distributed ledger technology, these systems remove the need for centralized intermediaries and enable peer-to-peer transactions that are transparent, tamper-resistant, and auditable in real time. Transactions are validated through consensus mechanisms and permanently stored in cryptographically secured blocks, reducing the risk of fraud, data manipulation, and reconciliation errors. Compared to traditional settlement infrastructures, blockchain-based systems can significantly improve processing speed, lower operational costs, and enhance trust among participants. They also enable near real-time settlement, improved traceability, and programmable logic through smart contracts, which automate transaction execution based on predefined conditions. Despite challenges such as scalability, regulatory uncertainty, and energy consumption in certain blockchain models, ongoing innovations continue to address these limitations. Overall, blockchain-based transaction and settlement systems offer a robust and efficient foundation for modern financial markets, cross-border payments, and digital asset ecosystems.
Abstract This study investigates racial and ethnic disparities in cryptocurrency (crypto) ownership using data from the 2021 Survey of Household Economics and Decision-Making (SHED). While prior research has explored general determinants of crypto market participation, such as risk tolerance, financial literacy, and investment experience, this study specifically focuses on how these factors differ across racial groups. Using logistic regression and Fairlie decomposition analysis, we find that Black respondents are significantly more likely to invest in crypto compared to White respondents. Key contributors to this disparity include age, financial literacy, risk tolerance, and stock ownership. Notably, while some factors, such as younger age and higher risk tolerance, narrow the participation gap, others, including differences in total savings and stock ownership, widen it. These findings highlight the need for targeted financial education and inclusive investment policies to promote equitable participation in emerging digital financial markets. Implications for financial literacy, consumer protection, and broader economic policy are discussed.