scholarly journals Decentralized Corporate Governance via Blockchain Technology

2020 ◽  
Vol 5 (2) ◽  
pp. 101-147
Author(s):  
Wulf A. Kaal
Keyword(s):  
Corporate Governance ◽  
Blockchain Technology

scholarly journals Banking Governance in The Era of Digital Transformation

2020 ◽  
Vol 9 (2) ◽  
pp. 10-16
Author(s):  
Badr FIGUIGUI ◽  
◽  
Fouad MACHROUH ◽  
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Two Dimensions ◽  
Digital Transformation ◽  
Governance System ◽  
Blockchain Technology ◽  
Theoretical Approaches ◽  
Challenges And Opportunities ◽  
The Board Of Directors ◽  
The Impact

For nearly four decades, we have been witnessing the development of the concept of corporate governance. This concept has evolved considerably since its appearance because of its multidisciplinary nature and the high diversity of its theoretical grids. There are two main theoretical approaches. The disciplinary and cognitive approaches. Given the challenges and opportunities of digital transformation and its inevitable impact on the bank's business model, it is natural that it also impacts on its governance. This impact can be analyzed from the two dimensions of governance. First, a cognitive dimension, which concerns all the players in the governance system, particularly the board of directors. Then, a disciplinary dimension dictated by the radical transformation of the confidence relations (Board of Directors/managers) established by the blockchain technology which could call into question the notion of opportunism advocated by the agency theory as the basis of the disciplinary approach of governance. In this paper, we will explore from an unprecedented analysis of the impact of digital transformation on banking governance. This analysis will focus on the two dimensions of governance: disciplinary and cognitive. Finally, an empirical study will be presented on the digital transformation at the level of Moroccan banks which refers in particular to the cognitive aspects of governance. Keywords: corporate governance, disciplinary governance, cognitive governance, banking governance, digital transformation

DISTRIBUTED LEDGERS, ARTIFICIAL INTELLIGENCE AND THE PURPOSE OF THE CORPORATION

2020 ◽  
Vol 79 (3) ◽  
pp. 431-458
Author(s):  
Christopher M. Bruner
Keyword(s):  
Artificial Intelligence ◽  
Decision Making ◽  
Corporate Governance ◽  
Policy Decisions ◽  
Blockchain Technology ◽  
Normative Conception ◽  
Human Management ◽  
Reducing Costs

AbstractDistributed ledgers and blockchain technology are widely expected to promote more direct shareholder involvement in corporate governance by reducing costs of voting and trade clearance. Meanwhile, artificial intelligence may shrink the decision-making terrain where corporations rely on human management. This article analyses these technologies and concludes that, while such outcomes are plausible, their potential corporate governance impacts are likely more complex and contingent. Despite the implicit libertarianism that characterises much of the discourse, we in fact have choices to make about how such technologies are developed and deployed – and these policy decisions will have to be grounded in a normative conception of corporate purpose external to the technology itself.

scholarly journals Perspective of blockchain technology application in corporate governance: Recent trands

2021 ◽  
Vol 11 (2) ◽  
pp. 57-72
Author(s):  
A. S. Yukhno
Keyword(s):  
Corporate Governance ◽  
Comparative Analysis ◽  
Business Community ◽  
Scientific Publications ◽  
Public Authorities ◽  
Technology Application ◽  
Blockchain Technology ◽  
Risk Appetite ◽  
Board Level ◽  
The Impact

The subject of the present paper is the perspective of blockchain technology application based on the experience of the Russian and foreign companies, financial institutions, and public authorities. The purpose of the article is to study trends, identify areas of application, and analyze the risks and benefits of blockchain technology application in corporate governance. The author used the methods of generalization, synthesis, comparative analysis of the approaches applied to determine the role played by blockchain in corporate governance, studied appropriate recent scientific publications, and also conducted the comparative analysis of the corporate governance goals and key characteristics of the above technology. The author has exhaustively analyzed the prospects of blockchain technology implementation in corporate governance taking into account the spread of the COVID-19 pandemic, which forms the novelty of the present paper. The author proposes to follow the below recommendations pertaining to certain issues of implementing blockchain technology into entity’s operations: to include the issue of suitability of blockchain technology integration into the entity’s operations in the meeting of the Board of Directors’ agenda, develop and approve at the Board level in-house documents to regulate the technology application within the entity as well as the strategy of its using to be followed by its integration into the entity’s general business strategy, approve the entity’s risk-appetite to use the technology within the frameworks of the overall entity’s risk management strategy, analyze the impact it may cause on the entity’s activities at the Board level and also ensure improving the employees’ training and competencies with respect to using blockchain technology. The author concludes that nowadays blockchain technology will be most intensively used in areas where it is a more effective alternative to existing systems in their current state. The conclusions and results obtained may be used in the course of developing Russian corporate governance practice as well as in the analytical and practical work performed by the public authorities and the business community.

Corporate Governance for Complex Cryptocurrencies?

2019 ◽  
pp. 140-166 ◽  
Author(s):  
Philipp Hacker
Keyword(s):  
Corporate Governance ◽  
Complex Systems ◽  
Case Studies ◽  
Complexity Theory ◽  
Financial Regulation ◽  
Financial Innovation ◽  
Governance Framework ◽  
Blockchain Technology ◽  
Formal Equality ◽  
Initial Coin Offerings

Cryptocurrencies such as Bitcoin or Ethereum are gaining ground not only as alternative modes of payment but also as platforms for financial innovation, particularly through token sales or initial coin offerings (‘ICOs’). All of these ventures are based on decentralized, permissionless blockchain technology, distinguished by their openness to, and the formal equality of, participants. However, recent cryptocurrency crises have shown that these architectures lack robust governance frameworks and are therefore prone to patterns of re-centralization. They are informally dominated by coalitions of powerful players within the cryptocurrency ecosystem who may violate basic rules of the blockchain community without accountability or sanction. This chapter first suggests that cryptocurrency and token-based ecosystems can be fruitfully analysed as complex systems that have been studied for decades in complexity theory and have recently gained prominence in financial regulation, too. It applies these insights to three key case studies: the Bitcoin Hard Fork of 2013; the Ethereum hard fork of 2016, following the DAO hack; and the ongoing Bitcoin scaling debate. Second, the chapter argues that complexity-induced uncertainty can be reduced, and elements of stability and order strengthened, by adapting a corporate governance framework to blockchain-based organizations: cryptocurrencies, and decentralized applications built on top of them via token sales. The resulting ‘comply-or-explain’ approach combines transparency and accountability with the necessary flexibility that allows blockchain developers to continue to experiment for the sake of innovation. Eventually, however, the coordination of these activities may necessitate the establishment of a self-regulatory institution.

О НЕКОТОРЫХ ПРОБЛЕМАХ ПРИМЕНЕНИЯ КОРПОРАТИВНОГО КОМПЛАЕНСА В РОССИИ И ЗА РУБЕЖОМ/ON SOME PROBLEMS OF CORPORATE COMPLIANCE APPLICATION IN RUSSIA AND ABROAD/ՌՈՒՍԱՍՏԱՆՈՒՄ ԵՎ ԱՐՏԵՐԿՐՈՒՄ ԿՈՐՊՈՐԱՏԻՎ ՔՈՄՓԼԱՅԵՆՍԻ ԿԻՐԱՌՄԱՆ ՈՐՈՇ ԽՆԴԻՐՆԵՐԻ ՎԵՐԱԲԵՐՅԱԼ

2020 ◽  
pp. 32-43
Author(s):  
Ani Stepanyan
Keyword(s):  
Corporate Governance ◽  
Russian Translation ◽  
Digital Technologies ◽  
Correct Interpretation ◽  
Complete Elimination ◽  
Corporate Compliance ◽  
Blockchain Technology ◽  
Foreign Countries ◽  
Legal Understanding ◽  
The Relationship

The article is devoted to some aspects of the application of modern blockchain technology in the corporate compliance system in Russia and in foreign countries. One of the main problems is that corporate compliance does not cover all areas of activity and is not applied in all corporations, which generates many disputes. Modern trends in the development of science and technology dictate the practice of using new digital technologies in the activities of corporations, where they most often operate with foreign concepts. Given the fact that the Russian translation of some concepts can cause confusion, especially in the legal understanding of their content, some clarity should be made about the relationship and possible combination of the concepts of “corporate compliance” and “blockchain technology”. Disclosure of the true content of these concepts will lead to their correct interpretation and lead to minimization or complete elimination of corruption risks in corporations. The article emphasizes the need to improve corporate compliance and to successfully organize corporate governance using blockchain technology in corporations.

Blockchain technology in corporate governance: disrupting chain reaction or not?

2019 ◽  
Vol 20 (1) ◽  
pp. 67-86 ◽  
Author(s):  
Harjit Singh ◽  
Geetika Jain ◽  
Alka Munjal ◽  
Sapna Rakesh
Keyword(s):  
Corporate Governance ◽  
Behavioral Intention ◽  
Model Fit ◽  
Equation Modeling ◽  
Innovative Technology ◽  
Actual Behavior ◽  
Content Type ◽  
Blockchain Technology ◽  
The Relationship ◽  
Selection Of

Purpose The purpose of this paper is to determine the stakeholders’ acceptance on blockchain and to investigate the model fit by using “Technology Acceptance Model” with special reference to corporate governance through cryptography to resolve the decades-old problems of financial record-keeping. Design/methodology/approach The whole analysis has been performed in the two steps, i.e. confirmatory factors analysis and structural equation modeling, to prove model fit between behavioral intention and actual behavior for using blockchain technology. Total 223 respondents have been selected, and the selection of the respondent is primarily on the basis of their previous experience with trading corporate equities. Findings The study determines empirically all the mentioned relationships of attitude, perceived ease of use and perceived usefulness with the behavioral intention as per the conceptual model to prove the relationship. The results of the manuscript shows the model fit indexes for various constructs are prove the model fit as per the theorized model. The values of the various indexes are found to be under the permissible range which explains the relationship of various constructs based on the theorized model. Research limitations/implications Despite, the limitations in terms of selection of sampling methods, outcome and the interpretation, the results proves the fit with the theoretical framework. The major implication is to understand the real-time use of blockchain technology for the transfer of shares from one party to other. Practical implications Stakeholders in corporate governance namely customers, creditors, suppliers, community, employees, owners, investors, trade unions and social activists could benefit in different ways. Investors could benefit from being able to purchase equity at low price and to sell them into a market with greater liquidity, but they would found it difficult to camouflage their trades. Social implications The study opines that virtually all aspects of the corporate governance can be improved through the adoption of this technology resulting in greater transparency, improved liquidity and lowering costs. Originality/value This study will be a reference for global players in the financial industry that have started investing in this innovative technology vis-à-vis recent announcement of adoption of blockchain by global exchanges including NASDAQ, NYSE and Deutsche Borse, as a new method for trading, tracking ownership and monitoring systemic risk for strengthening corporate governance mechanism. This study will have a significant index for future reference where the technology adoption will be tested to have better corporate governance which will be useful for academics and professionals.

scholarly journals The Impact of the Digital Transformation of Business on Corporate Governance. An Overview of Recent Studies

2019 ◽  
Vol 13 (3) ◽  
pp. 35-47
Author(s):  
Ilya Ivaninskiy
Keyword(s):  
Corporate Governance ◽  
Boards Of Directors ◽  
Quantitative Research ◽  
Business Processes ◽  
Research Field ◽  
Current Status ◽  
Principal Agent ◽  
Smart Contracts ◽  
Blockchain Technology ◽  
The Impact

This article presents a survey of recent studies on the impact of digitalisation, and particularly blockchain technology, oncorporate governance and the principal-agent conflict in companies. The principal-agent conflict has been a centerpieceof the corporate governance research for more than 40 years. However, recent technological developments, andblockchain in particular, has created new avenues for exploration.We survey the implications of blockchain for the principal-agent conflict in three parts: 1) the organisationalenvironment, and the creation of the conflict; 2) common observable instances of conflict; 3) actions necessary tomaximise the value of blockchain implementation. We limit the studied conflict to the relationship between shareholdersand management. We also limit the blockchain use cases to those currently in testing. The applications for blockchain insecurities trading and for corporate functions automation via ‘smart’ contracts are both analysed. We also evaluate theimplications for investor activism.Our results indicate that passive investor behaviour is at the core of the environment that creates conflict. One of thekey drivers of low activity is a non-transparent voting process resulting in low participation rates. Studies indicate thatblockchain can solve this issue, thus mitigating the conflict, and is an attractive proposition for board members. Themost frequent instances of conflict are related to the composition of boards of directors and compensation schemesobserved at shareholder voting. Using blockchain for settlement would eliminate ambiguity in shareholder registersand prevent such strategies as “empty voting”. Smart contracts promise automation of governance functions like audit,which also weakens conflict. Even skeptics agree that voting is a promising application for blockchain. However, thereis evidence that blockchain poses its own problems, and that smart contracts are associated with practical risks. Somecritics argue that blockchain is less efficient than conventional corporate procedures.Blockchain is among the top digital technologies that business leaders have to monitor closely. As such, this overview ofthe most up-to-date thinking on the subject is relevant for anyone interested in the future of corporate governance andthe digitalisation of business processes. This evaluation serves to highlight the current status of this innovative resource,outlining for both professionals and newcomers what exactly blockchain’s potential uses and implications are, while alsooutlining where a lack of quantitative research creates opportunities for further contributions to the research field. Thisstudy will also be instructive for those investigating blockchain implementation and the optimal characteristics of thesolution.

scholarly journals Research on the Application of Blockchain Technology in the Field of Corporate Governance

2021 ◽  
Vol 275 ◽  
pp. 01064
Author(s):  
Liyuan Meng ◽  
Shaodong Xing
Keyword(s):  
Decision Making ◽  
Corporate Governance ◽  
New Technology ◽  
General Meeting ◽  
Annual General ◽  
Shareholder Voting ◽  
Annual General Meeting ◽  
Blockchain Technology ◽  
Voting Procedures ◽  
The Cost

The Annual General Meeting of Shareholders is considered to be a boring and mandatory annual ceremony. At present, its information, forum, decision-making functions, and voting procedures are all flawed. As a new technology, the introduction of blockchain can greatly reduce the cost of shareholder voting and company organization costs, improve the company’s decision-making efficiency and the transparency of voting and elections, and effectively solve the problems existing in the current annual general meeting of shareholders. The research in this paper provides an intelligent solution for the traditional inefficiency of corporate governance.

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