206

Blockchain Technology

In another study by Chang et al. (2020), blockchain is a common trend today

in the financial sector. Via in-depth interviews with 16 experts in the banking and

finance sector, the author adopts the qualitative approach, is informed about block­

chain and stresses that the financial industry is using a framework on the blockchain

platform in the modern economic age. Previously, the goods and services suggested

by the financial sector were deemed expensive and inefficient, imposing a significant

change in the use of technology. Also, on a platform that creates confidence among

transaction entities, blockchain can encourage credit reconstruction, a consensus

mechanism that enables transactions to be correct. Blockchain technology also leads

to enhancing financial markets’ effectiveness and stability. In their growth, appro­

priate policies should be established by the government and related departments

to allow blockchain to effectively bring functional benefits and prevent the illicit

use of blockchain in currency laundering activities and terrorism support. Chang

et al. (2020) also argue through in-depth interviews that knowledge concealment is

a severe problem that can hinder the growth and progress of the adoption of block­

chain, since hiding knowledge is due to employees’ fear of losing control or that

it may impact their current roles or jobs. It is also difficult for top management to

consider new ideas, which is also the case with blockchain.

Blockchain architecture has many advantages not only in developed countries

but also in developing countries. Tyson and Lund (2016) argued that globaliza­

tion is entering a new age that is improving investment in low-income countries,

not just influenced by the movement of goods and resources across borders. To

encourage multinational companies to manufacture at a low cost, take advantage of

Cannot be edited

or tampered due to

digital ledger can

be spread across

network of

computers

Transparency, and all

transactions could be seen by

anyone

Decentralization,

money can be

transferred

instantly between

the parties without

going via a bank

FIGURE 12.2  Three pillars of blockchain. (From Nakamoto, S., Bitcoin: A peer-to-peer

electronic cash system, 2009, available at https://bitcoin​.org​/bitcoin​.pdf; Cherukupally, S.,

(2020). Handbook of Statistics, 2020, available at https://doi​.org​/10​.1016​/bs​.host​.2020​.10​.001)