Risk Contagion and Regulatory Containment in Blockchain Financial Infrastructure
Weiqiang Zou, Jiajing Li, Pengfei Wu · Journal of Global Information Management · 2025
The integration of blockchain technology with securities settlement systems is driving profound transformation in the financial sector. Blockchain technology demonstrates significant advantages in improving settlement efficiency, security, and transparency. However, alongside optimizing the securities settlement process, blockchain also introduces risks, including trust-related risks, technical risks, and systemic risks. This study examines the governance paradigm for blockchain settlement risks through the lens of game theory between technological risks and regulatory responses. Utilizing mapping models and fuzzy set models, the authors quantitatively explore an innovative regulatory framework that includes (1) a multi-center, multi-tier collaborative regulatory system; (2) a technology-driven regulatory approach, combining sandbox regulation and penetrative supervision; (3) a legal-rights balance mechanism, harmonizing power constraints with rights optimization; and (4) a blockchain-driven self-regulation model, leveraging automated execution and self-discipline constraints.