Abstract:

Recent technological changes pose new challenges for the financial system and generate new opportunities for institutions involved in economic activities. Thus, emerging technologies have the potential to innovate in the financial field and to change the balance in this sector dominated by financial institutions. From the use of artificial intelligence to fraud prevention, machine learning to creating customer profile and learning to behave, investing in new blockchain-based security systems, financial institutions are increasingly incorporating new technological innovations. At present, blockchain technology is one of the most important topics of discussion both in academia and in the technology industry worldwide. This technology was first introduced in 2008, together with Bitcoin, as a peer-to-peer system for making electronic payments between various actors, individuals or financial institutions. The system based on blockchain technology makes electronic payments without an interaction of a market regulator (central bank, for example) and avoids the problem of duplicate payments [1] (Duplicate payments are a problem specific to digital currencies; thus, doubled expenses can be defined as a transaction in which data from another transaction already sent for network processing are used). In the e-commerce market, blockchain technology is used to improve efficiency in electronic payments and payment processing; the blockchain can also support the improvement of companies' economic indicators by extending operations across the borders of the home country and facilitating online transactions securely without the intermediation of a third party involved and performing real-time security checks. Blockchain-based systems are data structures that create a digital register of transactions and transmit them to a distributed network. They use cryptography to allow each participant to manipulate information in a secure way without the need for central authority regulation. Also, once a block is registered in the blockchain register, it is difficult to modify or delete. Blockchain technology allows the verification of financial transactions in a real-time network, without the intervention of an intermediary, compared to traditional electronic payment systems in which the execution of transactions is based on the regulations of a central authority or other intermediary for making payments. The blockchain architecture allows a distributed network of computers in which they interact and reach a consensus without the need for an intermediary.