Blockchain Adoption in the Financial Sector: Challenges, Solutions, and Implementation Framework

Abstract

Blockchain technology can be easily considered one of the most revolutionary innovations of our times. The open ledger has proved enormously beneficial for the financial sector, and thanks to its characteristics like decentralized structure, high safety, and immutable traceability, its adoption has witnessed unprecedented growth in the financial sector. That said, there are many challenges that blockchain adoption in the financial domain faces, and this research takes a close look at all these issues that can potentially hamper its adoption in the sector. The research found that primary inhibitors in the growth of blockchain include cost factors, lack of regulations, rigid work culture, and inadequate infrastructure and offer solutions to tackle these issues. Further, the study also develops a conceptual model involving important stakeholders and interaction variables between them to facilitate the adoption of an open ledger in the sector.