BC Technology AAA System Implementation
Ahmad Y. A. Bani Ahmad · 2024
In the field of accounting, financial transparency and sincerity include the auditing process; however, the conventional methods of auditing often undergo the challenge of being efficient, accurate, and above all, reliable. In the recent past, there has been a rising smart contract enabled blockchain technology coming up with new solutions to the current challenges. Against this background, the paper makes an attempt to establish how smart contracts will be assimilated in blockchain for enhanced automated auditing within the accounting systems to increase efficiency, reliability, and transparency in the audit process. Audit processing is conventional, both manual and labor-intensive procedures that run the risk of errors and delays. Added to this is the aspect of reliance on centralized systems, which brings about the issue of data security and chances of being tampered with. Blockchain technology, on the other hand, provides decentralized and unchangeable registration, ensuring transparency and the security of the platform towards entering transactions. Smart contracts are, however, flexible and contain the functionalities of self-executing agreements or contracts kept on a blockchain, adding further automation and the rigidity of predefined audit criteria. This paper is going to discuss technical mechanisms and applicability in auditing procedures of blockchain-enabled smart contracts. As for smart contracts, the audit criteria are embedded within a smart contract, and the audit missions get automated, making sure that human intervention gets removed most of the time, with obvious results such as minimizing the risk of human error.