The challenges and countermeasures of blockchain in finance and economics

TLDR

Blockchain, as a novel technology, enables integration of financial resources, supports new financial formats, enhances cross‑border payment efficiency, and reshapes credit assessment, yet it also presents challenges to the industry. The study systematically analyzes blockchain technology, its applications in finance and economics, and the current status and challenges. The authors perform a systematic analysis of blockchain technology, its financial and economic applications, and the prevailing status and challenges. The study offers constructive suggestions to advance blockchain technology in finance and economics.

Abstract

Abstract As a new technology, blockchain can be used to analyse and process the data through the effective integration of financial resources. New financial formats or service models are produced to upgrade the financial system and promote the efficiency and quality of financial operations and service from three layers (data, rules, and application) based on customers' needs. The blockchain technology can help the financial industry to automatically and accurately identify customer credit conditions, restructure the financial market credit system, and improve the efficiency of cross‐border payment. Meanwhile, it also posed a challenge for the financial industries' development. In this paper, we systematically analysed the blockchain technology and its application in the financial and economic field and the status quo and the challenges. Finally, we provided constructive suggestions to facilitate the blockchain technology development in the financial and economic field.