Accounting Research and Audit Practices | Journals

The IUP Journal of Accounting Research and Audit Practices:

Awareness of Blockchain Technology-Based Accounting System Among Professionals †

Article Details

Pub. Date	: Oct, 2022
Product Name	: The IUP Journal of Accounting Research and Audit Practices
Product Type	: Article
Product Code	: IJARAP021022
Author Name	: Gourav Surana and Shurveer S Bhanawat
Availability	: YES
Subject/Domain	: Finance
Download Format	: PDF Format
No. of Pages	: 16

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Abstract

Blockchain technology, also known as distributed ledger technology, has been hailed as a game-changing invention. Blockchain can affect several sectors, including accounting and assurance, as demand for its application is growing. The paper performs an exploratory research on developing a blockchain-based accounting system. The focus is to see how knowledgeable accounting professionals are about the blockchain-based accounting system. Descriptive statistics and 'Chi-Square test' were administered for data analysis. A sample segmentation was created to identify a homogeneous group of accounting professionals with different degrees of awareness regarding blockchain technology-based accounting systems. For this purpose, non-hierarchical clustering with K-means cluster analysis was performed to obtain groups, and two schools of thoughts were discovered: (i) Yuji Ijiri Momentum Accounting; and (ii) William McCarthy REA ontology. It is found that work on triple-entry accounting is now done and that McCarthy REA ontology school of thought is used. The results reveal that accounting professionals are aware of blockchain technology. They also feel that new technologies will influence their career, but are unfsure how they will be applied due to lack of technical skills. Academic institutions should provide a platform for professionals to obtain disruptive technology knowledge and abilities.

Introduction

Accounting has a long history that may be traced back to ancient civilizations. Pacioli (1494) is credited with inventing the double-entry accounting method. Bahi-khata was a double-entry system in vogue in ancient India. Accounting has evolved to meet the needs of the company. As a result of growing economic activities, many specialized accounting branches, such as Cost Accounting, Financial Accounting and Management Accounting,