Throughout history, humans have developed technologies for the purpose of improving certain aspects of life. In the past decades however, we’ve witnessed technology accelerating every industry at faster phase than ever before. The financial sector is one of the industries undergoing a thorough transformation as is currently being heavily disturbed by tech.
The distributed ledger technology is set to transform the existent cross-border transaction infrastructure and enable business and financial entities to create direct links between each other and formalize and secure digital relationships between themselves in ways it could have not been done before.
Accounting represents a vital part of any business by documenting its financial activity, keeping track of funds flowing in and out of bank accounts and reporting on tax obligations. Accounting also provides a way of learning from numbers by highlighting trends and opportunities, providing valuable insights into operations and helping a company become more profitable through smarter and more financially viable business decisions. However, the accounting field have not seen major innovations in over 600 years, the same methodology being practiced since, despite digitalization taking place decades ago.
Blockchain technology is set to challenge the existent business norms and help prevent financial fraud and the lack of transparency that enables it. And everything boils down to unethical accounting practices and ways modern technology can avoid them.
Blockchain technology has attracted the interest of almost every global bank, financial institution and the attention of governments around the world.
Octera CIBBS© aims to leverage on the positives that the distributed ledger (blockchain) can enable to all industries in general and accounting in particular in order to create viable, low-risk, scalable and dependable financial data. Octera CIBBS© goal is to provide a streamlined future-proof ecosystem where trusted automation, blockchain and business and artificial intelligence are implemented as core autonomous functions of the system.
The full terminology used for all abbreviations in this paper can be found in the chapter 9 Glossary.