Application of blockchain in dealing with sustainability issues and challenges of financial sector

ABSTRACT

Blockchain network and technology is a peer-to-peer distributed system that operates in a decentralized manner. The two concepts enable to create a secure environment and allow users to exchange transactions, contracts and data thereby establishing trust amongst the users. The current study aims to investigate the issues faced in the financial sector by means of applying blockchain technology. For this, the current study provides an overview of blockchain technology and analyze the major issues and challenges faced in financial sector due to the application of the blockchain technology. It is believed that traditional system tends to be cumbersome, error-prone and slow and unsafe, in contrast, users find the blockchain as cheaper, transparent and more effective. Particularly blockchain technology provides the banking sector, security, performance, and cost reduction in many of their processes and provides quality of services to their users.

KEYWORDS:

• Blockchain
• financial sector
• future challenges
• sustainability
• cost saving
• financial trust
• role of intermediaries
• Fintech disruptions

Disclosure statement

No potential conflict of interest was reported by the author(s).