Blockchain technology and its impact on the qualitative characteristics of accounting information

Abstract

This study aimed to analyze the impact of blockchain technology on the qualitative characteristics of accounting information, with particular focus on reliability, transparency, and relevance, while exploring the practical challenges associated with adopting this technology in the Arab accounting environment. The research adopted an integrated methodology combining theoretical analysis and field study, utilizing an electronic questionnaire distributed to a sample of 150 accountants and auditors from various Arab countries.

The findings revealed a significant positive impact of blockchain technology on accounting information quality. The inherent features of blockchain contributed to enhancing financial transparency and increasing the reliability of accounting data through providing a permanent and immutable record of financial transactions. Results also demonstrated improvement in information relevance for decision-makers due to the immediate access to accurate data.

However, the study identified several challenges in adopting this technology, most notably technical difficulties in integration with existing accounting systems, shortage of qualified personnel to handle this modern technology, and the absence of clear regulatory and legal frameworks governing blockchain use in accounting.

The study recommends developing specialized accounting standards to accommodate blockchain requirements, emphasizing the importance of institutional investment in training programs to enhance workforce competencies in this field. It also highlights governments' role in establishing clear regulatory policies that ensure optimal utilization of this technology while maintaining financial data security and confidentiality