How Blockchain is Transforming Accounting and Finance

May 31, 2023 by Zazil Martinez

As technology continues to shape our lives, one revolutionary solution has emerged to transform the way we record, verify, and audit financial transactions: blockchain. With its ability to introduce transparency and decentralized record-keeping, blockchain holds immense potential, particularly in accounting.

In an increasingly connected world, industries face challenges that demand innovative solutions. One technology that has emerged as a game-changer in these fields is blockchain.

Blockchain can transform how financial transactions are recorded, verified, and audited by introducing transparency and decentralized record-keeping. Its potential cannot be overstated in the accounting world, where these aspects are crucial.

Traditional systems often suffer from inefficiencies, delays, and the vulnerability of centralized databases. These issues raise concerns surrounding security and the potential for fraudulent activities. Blockchain offers a decentralized and tamper-proof ledger that can end these concerns.

If you're eager to learn how blockchain is revolutionizing the world of accounting and finance, join us on this journey.


Blockchain Adoption in the Post-COVID Era

Since the Covid-19 pandemic, the adoption of blockchain technology has grown significantly, especially for B2B transactions.

Accounting and finance organizations turned to ledger-based technology using blockchain applications to accept cryptocurrency payments and keep information secure.

These are some legitimate use cases for blockchain technology in the current B2B space:

  • Applications using blockchain's distributed ledger technology.
  • Consumer cryptocurrency adoption. Finance leaders must watch how this affects inflation.
  • Mainstream B2B cryptocurrency applications.
  • Investment-grade crypto opportunities.

This means digitized finances protecting the digital cash cycle and gaining transaction-level detail using blockchain technology.


How has Bitcoin Adoption Advanced?

There are 190 million Bitcoin users. The user base of cryptocurrencies increased by almost 190% between 2018 and 2020, accelerating in 2022.

In the U.S., 22% of adults own a share of Bitcoin.

On March 9th, 2022, President Biden signed an Executive Order on Ensuring Responsible Development of Digital Assets. According to an accompanying fact sheet, it is the "first-ever whole-of-government approach" to regulating cryptocurrency activities. Six areas are of focus in order:

(i) consumer and investor protection,

(ii) financial stability and systemic risk,

(iii) the prevention of illicit finance,

(iv) U.S. leadership and competitiveness,

(v) financial inclusion, and

(vi) responsible innovation.

A recent survey of 200 business executives revealed that:

  • 67% of millennial business executives and 49% of all business executives either already have, have considered, or are actively exploring putting cryptocurrencies on their balance sheet.
  • 71% of millennial executives see Bitcoin rewards as valuable as an investment opportunity, a source of value to cover the cost of decentralized finance applications, or learning about this disruptive technology.

Paystand's Blockchain Answer for B2B

Paystand introduced a tech-forward spend management platform, the DeFi Corporate Card. It offers instant provisioning of virtual and physical cards, advanced spend controls, and real-time expense reporting alongside Bitcoin rewards. With the DeFi Card, businesses earn Bitcoin rewards on every purchase.

The workforce's need for talent is becoming clear as businesses need help finding qualified employees. Automation and blockchain technology are two solutions that will help overcome this shortage in the future.

The uptick in businesses exploring how to adopt blockchain technology continues growing. As cryptocurrencies become mainstream, the adoption of blockchain for business transactions becomes greater.

Are you interested in learning more about our blockchain-based technology? Paystand integrations use it and make it easy for businesses to accept payments online, with features like embedded payment links, branded payment portals, and reconciliation.

Enjoy the benefits blockchain has to offer with Paystand. Join the financial revolution with us and book a demo with one of your experts today.