Block-chain

By: Mohammad Ali, Brian Rico, and Alex Licon

What is Blockchain
● A blockchain is a digital version of the general ledger which is used to sum up
all of the accounts presented in our financial statements.
● It has the format of a long list filled with continuous records divided into blocks.
It is distributed among many locations.
● A blockchain lists the transactions that are linked to one another in one way or
another and allows us to have real-time updates on our transactions.
Potential Advantages
● Having multiple Blockchains distributed globally will be a lot harder to corrupt
the records in comparison to a general ledger within a company.
● The links between the transactions will allow auditors to have an easier time
following up on our business and detect fraud in a more effective manner.
● Blockchain technologies allows the users to restrict access to parties involved
in the transactions only.
Current Obstacles
● Switching from our traditional double-entry accounting method to an electronic
version will be a huge change that will be hard to implement.
● Higher network security will be necessary to keep away any unwanted
viewers.
● Accounting rules may need to be modified to adjust to the new Blockchain
method, these rules may take a while to be prepared while the Blockchain
system may be ready now.
Questions?