scholarly journals THE ESSENCE OF BLOCKCHAIN TECHNOLOGY AND ITS APPLICATION IN THE FINANCIAL SPHERE

2021 ◽  
Author(s):  
Viktor Stepura
Keyword(s):  
Business Processes ◽  
Banking Sector ◽  
New Technologies ◽  
Distributed Database ◽  
Smart Contracts ◽  
Process Step ◽  
Customer Data ◽  
Legal Norms ◽  
Theoretical Substantiation ◽  
Blockchain Technology

The constant demand of society to improve the speed and security of business processes is the driving force behind the emergence of new technologies and solutions, one of which is the blockchain. The article provides a theoretical substantiation of the essence of blockchain technology as an economic category. The object and subjects of the blockchain are defined, its inherent functions and principles are formed. The article also proposes an approach to the classification of blockchain types, all this allows a comprehensive approach to the study of the process of using blockchain technology in the financial sphere. The paper describes and reveals the blockchain process step by step. The process is described in a universal way, suitable for working with any projects based on a distributed database. The article provides examples of the use of blockchain technology in various areas of financial activity. In the banking sector, blockchain can improve the security and speed of domestic and international payments, and such payments will also be practically free for the parties. In insurance, the introduction of blockchain technology will help companies instantly exchange customer data, and the use of smart contracts will speed up the work with insurance policies. Thanks to the blockchain in accounting, information about transactions, contracts, etc. will be recorded in the general register in real time, so the verification of compliance with legal norms will occur automatically. This will significantly increase the operational efficiency of organizations. The use of blockchain in audit will make this process more transparent, and the time of its implementation will be significantly reduced due to reliable and up-to-date accounting records between counterparties. In the securities market, the blockchain will digitize securities, which will increase their liquidity, as well as help to better comply with the law, and will allow flexible transfer and accounting of ownership of such assets. In working with smart contracts, thanks to the code running on the blockchain, the contract can be executed automatically. At the end of the article, the conclusions are formed and the forecast of the development of the blockchain market for the coming years is given.

Blockchain Technology: Opportunities and Challenges for Small and Large Banks During COVID-19

2021 ◽  
pp. 2140001
Author(s):  
Grazia Dicuonzo ◽  
Francesca Donofrio ◽  
Antonio Fusco ◽  
Vittorio Dell’Atti
Keyword(s):  
International Institutions ◽  
Business Processes ◽  
Banking Sector ◽  
New Technologies ◽  
Social Systems ◽  
Emerging Technology ◽  
Case Study Methodology ◽  
Blockchain Technology ◽  
Study Methodology

New technologies are assuming a prominent role in the transformation of economic and social systems and are capturing the interest of many businesses and international institutions. Blockchain is an emerging technology that is relevant in all sectors, as its applications can be adapted to multiple contexts with possible significant advantages for business. The ability to perform transactions without a central entity acting as a trust guarantor, typical of blockchain, offers the opportunity to rethink the way business processes are managed. Based on the case study methodology, this work aims to understand how blockchain could affect the business model in the banking sector and how the COVID-19 pandemic impacts the implementation of blockchain.

Blockchain is making global insurance more efficient

2017 ◽  
Keyword(s):  
Asymmetric Information ◽  
Financial Stability ◽  
New Technologies ◽  
Private Firm ◽  
Smart Contracts ◽  
Content Type ◽  
Insurance Sector ◽  
Blockchain Technology ◽  
Bank Of England

Subject Blockchain is transforming the insurance sector. Significance Insurers are turning to disruptive new technologies to facilitate the management of risks within their organisation and across the industry. Blockchain technology can cut through the complexity surrounding asymmetric information that has hindered the sector. Impacts In November 2016, the Financial Stability Board said it is assessing the likely impacts of blockchain technology on financial stability. In partnership with a private firm, the Bank of England has built a model with smart contracts to test different applications of blockchain. A Deloitte survey of 300 US firms found that 10% had invested 10 million dollars or more in blockchain, though 39% knew little about it.

The history of blockchain technology and cryptocurrency market development

2021 ◽  
Vol 27 (4) ◽  
pp. 740-762
Author(s):  
Larisa A. CHALDAEVA` ◽  
Arsenii A. DANILIN
Keyword(s):  
Banking Sector ◽  
New Technologies ◽  
Market Development ◽  
Progressive Development ◽  
The Past ◽  
Digital Currency ◽  
Blockchain Technology ◽  
History Of ◽  
Market Infrastructure ◽  
Digital Assets

Subject. The article addresses the cryptocurrency market that originates from the creation of the world's first cryptocurrency, i.e. Bitcoin. It overviews the blockchain technology and mining procedures for the digital currency. Objectives. The purpose of the study is to evaluate trends in the cryptocurrency market within the historical aspects, perform a profound analysis of digital assets terminology, including the concept of forks, tokens and altcoins, investigate changes in the Bitcoin and alternative cryptocurrency market by analyzing the Bitcoin Dominance Index, which has suffered significant fluctuations over the past five years. Methods. The study rests on the systems analysis of conceptual framework, the design of classification criteria, the functional, structural, statistical, graphical, and economic analysis. Results. The findings enabled to identify growth drivers for world’s cryptocurrency trading platforms. The growth primarily relates to the progressive development of the cryptocurrency market infrastructure. Other factors include the extended usage of stablecoins on the world’s biggest crypto exchanges. Conclusions. The paper provides a detailed consideration of changes in the cryptocurrency market development, which are divided into three main stages. The cryptocurrency community appreciates blockchain projects that have introduced new technologies. The most popular projects are implemented in the banking sector or used in the interaction between the cryptocurrency industry and traditional fiat currencies.

New technologies in insurance distribution. Selected legal problem sconcerning introducing innovations in the insurance market

2019 ◽  
Vol 2 (99) ◽  
pp. 90-109
Author(s):  
Mariusz Fras ◽  
Monika Szaraniec
Keyword(s):  
Data Analytics ◽  
New Technologies ◽  
Big Data Analytics ◽  
Insurance Market ◽  
Data Generation ◽  
Legal Problem ◽  
Customer Data ◽  
Insurance Contracts ◽  
Blockchain Technology ◽  
Legal Problems

Introducing New technologies in insurance distribution seems to be inevitable and should be based on applicable legal regulations.Thisprocess, however, isassociated with many legal problems in the regulatory and supervisory as wellas civil law. Robo-advice, artificial intelligence, digital cross-sellers insurance, Big Data Analytics and customer data generation, Internet of Things, as well as enti tiesapplying blockchain technology to manager insurance contracts, their liquidation and clients' claims constitute competition for traditional (classic) insurance distributor activity. Considerations, due to the limitem volume of the article, signal on selected legal problems (in national and EU law) regarding the introduction of innovations in the insurance market.

scholarly journals Blockchain Design for Securing Supply Chain Management in Coffee Retailer Network

2021 ◽  
pp. 492-502
Author(s):  
Urshila Ravindran ◽  
Pragya Bhardwaj ◽  
P. Raghu Vamsi
Keyword(s):  
Supply Chain ◽  
Supply Chain Management ◽  
Business Processes ◽  
Smart Contracts ◽  
Distributed Environment ◽  
Chain Management ◽  
Blockchain Technology ◽  
Asset Tracking ◽  
Distributed Ledger ◽  
Proposed Model

Blockchain is a trusted distributed ledger shared across the business processes. Blockchain technology focuses on automating tasks in a distributed environment. Proving as one of the effective platforms, it helps in mapping the physical commodities to the digital ledger. A digital ledger is like an electronic register for storing the transactions that are taking place among various commodities. The physical commodities include suppliers, manufacturers, exporters, consumers and distributors wherein the distributor plays a major role in determining the product standards. To this end, this paper presents a Blockchain design for securing Supply Chain Management (SCM) in Coffee Retailer Network (CRN). The proposed design made with the view that it further be implemented with smart contracts to establish a private or consortium Blockchain application for the asset tracking processes in the coffee retailer network. The proposed model can bring transparency, sustainability and efficiency in asset tracking.

scholarly journals Digital Technologies in the Russian Banking Sector: Main Features and Associated Risks

2021 ◽  
Vol 2021 (1) ◽  
pp. 136-146
Author(s):  
Natalia Shcherbakova
Keyword(s):  
Customer Service ◽  
Digital Signature ◽  
Systematic Approach ◽  
Banking Sector ◽  
New Technologies ◽  
Digital Technologies ◽  
Blockchain Technology ◽  
New Information ◽  
Methodological Approaches ◽  
The Internet Of Things

The present paper features Russian loan banks that use new information and digital banking technologies. The research involved various methodological approaches, including a systematic approach to the analysis of modern banks. The method of comparative analysis made it possible to interpret various indicators of the activities of loan banks. The method of dynamic analysis helped to identify the main trends in the development of the Russian banking sector. The research objective was to identify the main trends and key problems in the digitalization of the Russian banking sector and the risks that accompany the process. The author believes that digital technologies will increase the country's competitiveness and boost its economic development. Digital economy involves the introduction of new technologies in the banking sector, e.g. e-money, digital signature, contactless payment, blockchain technology, the Internet of things, etc. The usual approaches to customer service are being replaced by advanced practices, as the traditional bank is gradually turning into a multifunctional IT company. However, cyber risks are also growing, and their management requires new approaches.

Blockchain Technology

2019 ◽  
pp. 86-109
Author(s):  
Tarek Taha Kandil ◽  
Shereen Nassar ◽  
Mohamed Taysir
Keyword(s):  
Legal System ◽  
Business Models ◽  
New Technologies ◽  
Smart Contracts ◽  
New Approach ◽  
Blockchain Technology ◽  
Crypto Currency ◽  
The Creation

Blockchain technology starts to reconfigure all aspects of society to make it clear and beneficial for the legal system. The chapter introduces “The Blockchain Revolution” in categories 1.0, 2.0, and 3.0; in the form of analyzing the use of the technology that is being applied in new innovative business models, Blockchain 1.0 starts with the creation of the first blockchain and the introduction of the technology in the “Bitcoin Whitepaper,” the crypto-currency model, via Bitcoin's application in services related to cash, payments, and transfers. Blockchain 2.0 starts with the indication that using smart contracts on blockchains will be available via the development of syntax (i.e., “solidity” that would enable developers to create solutions with blockchain technology at the backend). The chapter explores the feature of the new disruptive business models-based blockchain technology as a new approach in delivering business products and services. In the chapter, the authors explore the new technologies raised in different fields of business.

Smart contracts to enable sustainable business models. A case study

2020 ◽  
Vol 58 (8) ◽  
pp. 1601-1619
Author(s):  
Francesca Dal Mas ◽  
Grazia Dicuonzo ◽  
Maurizio Massaro ◽  
Vittorio Dell'Atti
Keyword(s):  
Business Models ◽  
New Technologies ◽  
Smart Contracts ◽  
Sustainable Business ◽  
Content Type ◽  
Blockchain Technology ◽  
Start Up ◽  
Social Proof ◽  
Sustainable Business Models

PurposeThe objective of this study is to deepen how blockchain technology through smart contracts can support the development of sustainable business models (SBMs). Particularly, the authors aim to determine the key elements enabling SBMs by applying smart contracts.Design/methodology/approachThe research context focusses on the case study of SmartInsurance, which is a fictitious name for a start-up in the insurance sector and the real name of which is not to be revealed. The start-up was able to collect 18m euros in 80 s in a crowdfunding operation, using smart contracts and a revolutionary business model. Internal as well as external documents of different sources are analysed and coded to gather information about the company, its values and its business and what it pursues with employing blockchain technology.FindingsThe results show how smart contracts can reduce the costs of transactions, increase social trust and foster social proof behaviours that sustain the development of new SBMs.Originality/valueThis study contributes to both the transaction cost theory and social proof theory, showing how new technologies such as the blockchain can provide a fresh perspective to support the development of SBMs.

scholarly journals Towards an understanding of technology fit and appropriation in business networks: evidence from blockchain implementations

2020 ◽  
Author(s):  
Stefan Seebacher ◽  
Ronny Schüritz ◽  
Gerhard Satzger
Keyword(s):  
Business Processes ◽  
New Technologies ◽  
Business Networks ◽  
Group Level ◽  
Blockchain Technology ◽  
Systems Research ◽  
Information Systems Research ◽  
Potential Factors ◽  
And Performance ◽  
The Impact

Abstract Existing information systems research thoroughly explains how task-technology fit and appropriation affect performance on an individual or group level. This was appropriate for many years, as technology is typically used to fulfill a certain task on these levels. Today, however, companies are tightly interconnected and rely on business networks to develop, produce, and deliver products and services. They collaboratively engage in joint implementation and utilization of new technologies that are applied and integrated into their business processes. These technologies, such as the newly introduced blockchain technology, operate across business networks and, thus, unfold their benefits not only on an individual or group level, but ideally on a network level. On this level, though, knowledge of the application and performance of information technology is still scarce. To drive the performance of technology in such networks, we investigate the impact of fit and technology appropriation on a network level. Due to the technology’s expected impact and characteristics, we select blockchain technology to explore potential factors, impacting fit, appropriation and, in turn, performance. We draw upon a set of interviews with experts that have implemented blockchain solutions in large business network settings. Based on our analysis, we propose a comprehensive model elevating the Fit-Appropriation Model to a network level. We contribute to the general understanding of technology utilization and performance by extending existing theory to a network-level perspective. Using insights on blockchain implementations as our empirical base, we also provide guidance to business leaders, intending to connect their partners through blockchain technology.

scholarly journals Smart Contracts as a New Technology in the Digital Economy

2018 ◽  
Vol 18(33) (4) ◽  
pp. 146-151
Author(s):  
Irina Glazkova ◽  
Dorota Kozioł-Kaczorek ◽  
Sergey Shmatko
Keyword(s):  
Business Processes ◽  
New Technology ◽  
Digital Technologies ◽  
Distributed Database ◽  
Smart Contracts ◽  
Government Organization ◽  
Storage Devices ◽  
Smart Contract ◽  
Wide Range ◽  
Reducing Costs

Digital technologies have a number of advantages that contribute to the development of the economy and make it more transparent. Some of the main features of modern digital technologies are speeding up business processes, reducing costs, eliminating the possibility of fraud, ensuring the transparency of the system and the ability to check and analyze the system. Regardless of whether a commercial or government organization uses the technology, in any case, there is a wide range of possibilities of its application. One of these technologies is blockchain. A blockchain is a distributed database in which storage devices are not connected to a shared server. This database stores an ever-growing list of ordered records called blocks. Each block contains a timestamp and a link to the previous block. The article defines a smart contract, describes the main areas of its application and provides processes similar to smart contracts, but working outside the blockchain. We also consider some of the risks that arise when working with smart contracts.

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