『一』 Financial sharing, what impact will blockchain have on accounting theory and practice?

With the emergence of cryptocurrencies such as Bitcoin, this time-tested financial It's entirely possible that the framework can be changed. Harnessing the power of blockchain, the entire concept of money is turned upside down through the rise of this new data-based currency. While our current understanding of money has evolved over the past few decades, thanks to credit cards and fiat currencies, cryptocurrencies are the logical next step in this evolution.
This is understandable to accountants, but what does it mean to entrepreneurs? Well, anyone interested in starting or maintaining a successful business will need a competent accounting team. As the financial environment changes, so will the experience and insight required of business accountants. Understanding this upcoming paradigm shift can better help entrepreneurs future-proof their organizations and may even help them save money on accounting-related business expenses.
Bitcoin Modern Accounting Overview
The current financial paradigm treats Bitcoin, Ethereum, and all other cryptocurrencies as assets. For example, in the United States, any form of cryptocurrency is considered property rather than currency. Although the IRS recognizes that Bitcoin can serve as a "medium of exchange," Bitcoin is not classified as currency because it also generally functions as a "unit of account and store of value."
Due to this classification, changes in the value and quantity of cryptocurrencies are taxed as capital gains or losses. By mining or purchasing large amounts of Bitcoin, there will be an increase in capital, which will subject Bitcoin to capital gains tax. The same goes for trading or selling cryptocurrencies, as these events are considered taxable capital gains and losses. As a result, holdings in Bitcoin or other high-end stocks are accounted for in much the same way as other forms of equity, such as real estate or stocks.
Predictions for the Future of Bitcoin and Accounting
As blockchain and cryptocurrencies gain legitimacy in the financial world, the accounting nature of Bitcoin and other advanced currencies will also change. While many of the potential changes are too far off to accurately predict, one aspect of accounting is sure to change dramatically and will certainly impact all entrepreneurs and business organizations: auditing.
Here’s how blockchain and cryptocurrencies are being used to violently disrupt the audit process, and what does it mean for businesses that employ auditors? Since Bitcoin is currently classified as property subject to capital gains tax, the method of auditing its value is known as instant forensic analysis. However, the instant verifiability of blockchain technology makes this audit method obsolete.

As you track these changes and developments, discuss them with your organization’s accountant or financial advisor. They can help you understand the further implications of these events; in some cases, they can even show you what actions you can take to respond to them, thereby increasing your profits, reducing your costs, and opening up new development paths for your business.
On the other hand, if your accountants and auditors react with blank stares to your research, consider updating your finance team.

『二』What impact will the emergence of digital currency have on our accounting industry

If it is a legal currency, then there will be no impact. For example, if it is issued by the central bank, it will be regarded as a non-legal currency. as a financial asset. It has no impact on the fiscal and taxation system.

It has a subversive potential impact on accounting practice. Those who try to cheat on taxes should be careful. In theory, the evasions you have made can be analyzed at almost zero cost.

If digital currency is widely accepted and can perform the functions of currency, it will weaken the effectiveness of monetary policy and cause difficulties in policy formulation. Because digital currency issuers are usually unregulated third parties, the currency is created outside the banking system, and the amount of issuance depends entirely on the will of the issuer, thus making the money supply unstable and the authorities unable to monitor the numbers. The issuance and circulation of currency make it impossible to accurately judge economic performance, causing problems in policy formulation. It will also weaken the effectiveness of policy transmission and implementation.

(2) Extended reading on the impact of blockchain on the traditional accounting industry

Various bill market businesses based on commercial bills are growing rapidly, and bill financial products It has become a popular field of Internet financial management, but about 70% of the current domestic money order business is still paper-based transactions, and supply chain finance is also highly dependent on labor costs.

If bills are digitally monetized and blockchain transactions are implemented in the future, bills, funds, financial plans and other related information will be more transparent. Smart contracts can be used to generate unforgeable, public and unique electronic contracts for both borrowers and lenders. Directly realizing point-to-point value transfer without the need for specific physical bills or central systems for control and verification, it can prevent multiple sales of one ticket, track the flow of funds in a timely manner, protect the rights of investors, and reduce the cost of regulators.

『三』 Industry prospects: How will data blockchain technology affect the accounting and auditing industry

1. Blockchain in the field of payment: among financial institutions, especially cross-border financial institutions The cost of reconciliation, clearing and settlement between financial institutions is high and involves many manual processes; the application of blockchain technology can reduce the cost of reconciliation and dispute resolution between financial institutions, significantly improve the efficiency of the payment field, and make it easier for financial institutions to Processing small-amount cross-border payment services will help realize inclusive financial services.
2. In the field of clearing and settlement: different financial institutions have different infrastructure structures and business processes, involving many manual processes, which greatly increases business costs and is prone to errors. Applying blockchain technology, combined with the on-chain assets mentioned in the second point, can complete point-to-point real-time clearing and settlement, thereby reducing value transfer costs, shortening time, improving efficiency, and both parties to the transaction can obtain good privacy protection.
3. Asset management field:Assets such as equity, bonds, and bills are held in custody by different intermediaries, which increases the transaction cost of assets and brings about the problem of certificate forgery. Apply block pre-chain technology to digitize such assets and turn them into on-chain digital assets. With the irreversible, non-tamperable, public and other characteristics of the blockchain, it can improve the efficiency of asset transactions and reduce asset management costs.
Because the characteristics of the blockchain are irreversible and non-tamperable, it makes information confidential and secure, point-to-point transaction transmission, decentralization, and reliable traceability of information; thereby reducing intermediate costs and improving efficiency, it is not only used for accounting and auditing , and can also be applied to all walks of life. Now we can also see the collaborative operation model of blockchain from behind the operation of all walks of life. Therefore, blockchain will definitely change human life extensively and profoundly. Therefore, The entire life service will enter the blockchain era. In the development process of the Internet, blockchain + real industry, blockchain e-commerce, and blockchain social wisdom drafting group operations can all use blockchain technology.

『四』 Who will be the end of financial work, blockchain or artificial intelligence?

According to predictions from authoritative organizations, the future will profoundly affect the differences between IT and information technology for accounting practitioners. They are: blockchain technology, intelligent ERP, cloud computing, artificial intelligence, etc. Blockchain technology, in particular, has received widespread attention recently. Some people also describe blockchain as a technology that will completely subvert finance. Is this really true? What is the relationship between blockchain technology and finance? Will you be eliminated if you don’t understand blockchain?

Before answering this question, first of all, I think it is necessary to talk about what blockchain is. The essence of blockchain is a decentralized distributed account book. The data is traceable and cannot be tampered with. . Decentralization, so who is the center? Take our currency as an example. The central bank issues currency. Decentralization means that there is no need to issue currency through the central bank. For example, the famous Bitcoin is not issued by the central bank. When we talk about distributed account books, we naturally think of financial ledgers. So, are distributed account books financial ledgers? In fact, the scope of distributed ledgers is much larger than that of ledgers. It should be said that distributed ledgers contain all data of all transactions, contracts, bills, etc., and of course include financial information.

Blockchain technology has three obvious characteristics: openness, security and uniqueness. According to these characteristics of blockchain, it can be used in areas that require trust, in areas that require efficiency, and in areas that require efficiency. There is great potential in areas that require security. It is conceivable that financial fraud will be even more difficult on the blockchain. Even if you commit the slightest fraud, since the data is irreversible and cannot be tampered with, there will be no way to hide it during retrospective verification. If you don’t have these problems with your finances, there’s no need to worry. So from the current point of view, blockchain cannot have a big impact on finance. Just like we have implemented computerization for so many years, has all the information been entered into the ERP system? PlaceIt can be said that blockchain technology cannot replace many functions of financial accounting, nor can it help us do things like decision-making analysis. Even if blockchain technology matures, it cannot independently have a profound impact on finance. Blockchain’s more impact is on ideas and processes.

In fact, compared to blockchain, artificial intelligence, cloud computing, and intelligent ERP have a greater impact on finance. Nowadays, mobile Internet and artificial intelligence have gradually penetrated into all aspects of public life, and accounting work will also As a result, the impact will become stronger and stronger. For example, since the advent of financial software, the tedious general ledger and subsidiary accounts no longer require manual registration by accountants, and month-end closing can be completed with just a click of the mouse. After the advent of online banking, most of the teller's work has been moved online. I remember in the manual accounting era, what accountants were most worried about was the end-of-month settlement. It was common for them to have uneven accounts. Accountants who can quickly find out the reasons for uneven statements are the backbone of finance and the future financial director. When financial software appeared, vouchers and account books were automatically balanced, and the skills that many old accountants were proud of were no longer useful.

There are two recent news that should attract the attention of accountants. One is that DTT, one of the world's largest accounting firms, has launched a financial robot; the other is that Haier Financial Center has introduced artificial intelligence, which will require a significant increase. Cut thousands of finance staff. These two pieces of news have one obvious thing in common, which is the impact of information technology on the traditional accounting field. One is that the technology that is just around the corner will replace accountants, and the other is that artificial intelligence will end accounting work in the future. I believe that most accountants will feel that their future is worrying after reading this. Some organizations predict that the demand for financial accounting will be reduced by 2/3 in 10 years, and a large number of traditional financial personnel will face transformation or unemployment. Perhaps universities will no longer have independent accounting majors in the future, and there may not be full-time accounting personnel in a few years. There is no need to doubt it, just as you may believe that with the development of autonomous driving technology, there will no longer be a driver profession in 10 years. The advancement of science and technology will hand over simple, repetitive and highly rule-based tasks to artificial intelligence. If accountants are still immersed in accounting work, on the one hand, such work will be of low value to the enterprise, and on the other hand, such work will not bring much value to themselves.

So, where is the future for ordinary accountants? I think the only way is to continue to learn ERP system knowledge, budget management, internal control, decision support, risk management, cost analysis, etc., from traditional financial knowledge to The personnel are transformed into management accountants, continuously improving the ability to integrate finance with the actual business of the company, predicting business needs and making strategic decisions, thereby supporting the company's strategic decision-making analysis, implementing cost control, promoting corporate performance improvement, and creating corporate value. It can help managers make more business and management decisions. Only by working in this direction can we greatly reduce the possibility of artificial intelligence replacement. Dear friends, what do you think about this issue?Fa, welcome to leave a message in the comment area and discuss together.

『五』Note 1: The impact of big data on future accounting development trends—technical environment

In 2019, McKinsey Consulting gave a report that in 2030, 50% jobs will be replaced by artificial intelligence, among which accounting work that requires a lot of labor costs will bear the brunt.

So, in the current technological development, which technologies will have an impact on the development of accounting and related disciplines?

1.1 Cloud Data

A large amount of financial information is shared in the cloud, which improves the efficiency of financial work, reduces errors and omissions, and reduces costs, but at the same time, there are also hidden dangers in data security.

1.2 Big Data Analysis

Through big data mining and analysis, we can improve the accuracy of forecasts, optimize financial forecast results, and help companies or auditors conduct risk management, such as credit assessment. and predictions, etc.

1.3 Artificial Intelligence

Taking the financial robot launched by Deloitte as an example, artificial intelligence can replace tedious tasks in the process, such as information entry, bill verification, etc., 1 The robot completes the workload of 40 people before, greatly improving financial work efficiency and reducing corporate costs.

1.4 Blockchain

Blockchain is also called a distributed accounting application. In the current accounting direction, blockchain invoices are widely used.

On the one hand, the rapid development of science and technology has brought huge impact to the traditional accounting profession, and accounting practitioners are facing the risk of unemployment; on the other hand, it has also brought new innovations to the development of the accounting industry. opportunities and challenges. How to seize these opportunities to deal with challenges is a question that every accounting practitioner needs to think about.

『Lu』 What accounting problems do you think blockchain technology can solve

Blockchain technology uses computers to answer some propositions that cannot be calculated by the human brain. These propositions generally have no The method is to judge through reverse reasoning, which can only be tried one number at a time, so this is our legendary mining. Therefore, the stronger the computing power of the computer, the easier it is to try the correct number, which means that our mining is successful.
This is completely different from the calculations in accounting. Most of the calculations in accounting use floating point calculations, which are completely different things.

『撒』The title: With the help of big data and blockchain, what do you think the future development model of accounting information system should be?

The connection with other subsystems has been strengthened, and it has become more important to enterprises. Management information systems move closer.
With the development of computer technology, big data and blockchain, two of the most eye-catching cutting-edge technologies nowadays, are gradually being applied in practice. Accounting is indispensable for any industryOne of the few professions, it is bound to be affected by these two emerging technologies. Big data technology has caused an explosive growth in the quantity of accounting information, and the birth of blockchain technology has improved the accuracy of information. Therefore, the accounting profession will usher in new developments in breadth and accuracy.
With the emergence of paperless accounting, accounting computerization is widely used in various enterprise management and settlement services. Kingdee UFIDA and other similar software came into being. By setting login identities and permissions, and directly entering relevant transaction capital business and other matters on the network management platform, work efficiency is greatly improved. The computerized accounting software uses a large and stable database, and the financial system is constructed in a modular manner, making the accounting more standardized and the management level of the enterprise improved. At the same time, ERP systems also have many shortcomings. However, the upgrading of accounting software is far behind the innovation of computing and computer systems, and the stagnation of accounting software development has largely restricted the further development of the entire financial accounting industry. Second, employees must log in to the accounting information system through encrypted login methods. However, it is still unavoidable that some criminals can steal the operator's login password to conduct illegal operations and forge accounting data, which lacks authenticity during the current operation. Log monitoring cannot effectively prevent this behavior. Third, the professional module processing is not targeted and the operation is too cumbersome. The query and inventory are rough and prone to errors and omissions. Fourth, the calculation method of cost, depreciation and depreciation apportionment is accurate in calculation but in fact the method is extensive and the workload is large. Whether it is manual accounting or computerized accounting, the inability to obtain relatively accurate product costs in a timely manner has not solved the problem of data.

『8』What role can blockchain play in traditional enterprises

Blockchain is a new type of computer technology such as distributed data storage, point-to-point transmission, consensus mechanism, and encryption algorithm. Application mode. Blockchain is essentially a decentralized database.
The application fields of blockchain include digital currency, certificates, finance, anti-counterfeiting and traceability, privacy protection, supply chain, entertainment, etc. With the popularity of blockchain and Bitcoin, many related top domain names have been registered. , which has had a relatively large impact on the domain name industry.
Take agriculture as an example, what problems does blockchain solve in agriculture?
1. Traceability of agricultural products
The traceability of agricultural products has always been a pain point in agriculture. Blockchain technology can make records non-tamperable, so there is detailed data from the production end of agricultural products to the circulation end and consumers, which can realize consumers' clear consumption and increase consumers' willingness to buy.
The traceability of agricultural products can improve the safety of agricultural products and food.
2. Information transparency
In addition to traceability in the agricultural field, there is also the problem of opacity in the information between producers and demanders.
Once blockchain technology is applied to agriculture. We can use big data analysis to establish credit rating references for growers and purchasers; use smart contracts to ensure fair transactions between growers and purchasers. At the same time, the districtBlockchain technology can improve the contractual spirit between buyers and sellers of agricultural products.
Also, with the advent of blockchain in the food supply chain, this could streamline the process as the data management system integrates a range of brokers, farmers, processors, distributors, regulators, retailers and Data management systems are becoming more transparent for consumers to put on their radar.
3. Reduce costs
After the application of blockchain technology, the costs of production and circulation will be greatly reduced. For example, blockchain technology solves the functions of automatic information storage and database, thus reducing manual investment and investment in other facilities.
In addition, blockchain and applications realize the interconnection of everything, helping manufacturers and distributors reduce various expenses. At the same time, reductions in production and distribution costs will also reduce the prices of agricultural products, ultimately benefiting consumers.
Of course, in addition to the above three reasons, blockchain technology can also be applied in agricultural subsidies, land registration, etc. to solve problems such as corruption and rights and interests.
Therefore, the application of blockchain technology in the agricultural field has been recognized by people at all levels.
The core advantage of blockchain technology is decentralization. It can achieve decentralized credit in a distributed system where nodes do not need to trust each other by using data encryption, timestamps, distributed consensus and economic incentives. Point-to-point transactions, coordination and collaboration, thereby providing solutions to the problems of high cost, low efficiency and insecure data storage common in centralized institutions.
Future development and application scenarios of blockchain
1. Digital identity
When many people apply for various certificates, they will encounter "prove that my grandma is an adult", "my mother is my mother" "The dilemma, with blockchain, you no longer have to worry about it. It turns out that our birth certificates, real estate certificates, marriage certificates, etc. need a central node for everyone to recognize them. Once cross-border, contracts and certificates may become invalid because of the lack of a global central node.
The non-tamperable nature of blockchain technology has fundamentally changed this situation. Our birth certificates, real estate certificates, and marriage certificates can all be notarized on the blockchain and become things trusted by the world. Of course, It can easily prove "prove that my grandma is an adult" and "my mother is my mother".
2. Health care
To put it simply, it is to use blockchain to establish a universal record repository with timestamps, so that different databases can extract data information.
3. Travel consumption
When traveling, we often use apps such as Ctrip and Meituan to find and place orders for hotels and other services, and each platform gets commissions from them. The application of blockchain is to remove middlemen and create a secure and decentralized way for service providers and customers to connect and trade directly.
4. More convenient transactions
Blockchain can make payments and transactions more efficient and convenient. Blockchain platforms allow users to create smart contracts that become active when certain conditions are met, meaningAutomatic payments can be released when both parties agree to meet their conditions.
5. Strictly control product quality
If you buy an apple, with blockchain technology, you can know the entire process from the production of the fruit farmer to the circulation link. Among them are government regulatory information, professional testing data, enterprise quality inspection data, etc. A smart supply chain will make the food we eat and the products we use every day safer and give us more peace of mind.
6. The Art of Property Rights Protection
The creator puts his work on the blockchain, and once someone uses his work, he can know it immediately. Corresponding royalties will also be automatically paid to the creator. Blockchain technology not only protects copyright, but also helps creators sell their works to consumers better and more directly, without requiring the assistance of distribution companies.

『九』Will blockchain technology subvert the traditional accounting industry that is dominated by double-entry accounting?

No
First of all, accounting is not an industry.
According to current company regulations, accountants are required in all walks of life.
But if you want to get a higher-than-average salary, compound skills have better prospects than a single skill.
The boss will pay a higher salary to accountants who can create value and bring profits, and give accountants who are paid dead wages to copy numbers on the screen a lower salary than the front desk.

Secondly, regarding whether emerging technologies will reduce or even replace manual and financial software, the emergence of SAP has greatly reduced the manual work of basic financial positions. In the past two years, 70 cashiers in a certain area of ​​an operator Customer service, so the salary of basic financial positions cannot increase; but this does not mean that there is no need for a cashier, it just means that the cashier is also the front desk, or the cashier is also the customer service staff.
The low basic salary makes it difficult to recruit people, and the boss feels distressed if he spends more money. It seems to be a better solution to replace it with robots once and for all. However, problems such as data tampering and machine maintenance have led to the popularity of robots in all walks of life. It will still be a long, long time before the accounting function disappears.
Just like some Gree factories use robotic arms, but Foxconn just chose to move the factory to Indonesia. As long as labor is cheaper than robots, there will still be small workshops.

Finally, accounting functions will change. In fact, I think the biggest difference between humans and robots lies in the processing of complex information. The key to whether accounting is good or not lies in the efficiency of information extraction and processing. With the current level of technology, It seems that the processing speed of a single event is not as fast as that of a computer, but the computer freezes when doing multiple-choice questions, and the quiz questions are stuck all the time, so it is still early to subvert anything.

Blockchain and private cloud technologies will take at least ten to twenty years to mature. After such a long time, you can learn some new skills; or enhance your efficiency in processing information. As long as you have the ability to deal with finance, Human beings will always exist and will never be unemployed; because information is always asymmetric, there is no completely transparent free effective information in any field.

『Shi』What accounting problems do you think blockchain technology can solve?

Blockchain distributed databases can be practically applied in corporate accounting information systems.

The blockchain distributed database is like a public ledger, which should naturally be able to record corporate accounting information.

Any information that needs to be saved can be written to the blockchain and read from it, so it is a database.

A shared, distributed database technology or intelligent peer-to-peer network that can identify, disseminate and record information through a distributed database.