BLOCKCHAIN TECHNOLOGY AND AUDITING PRACTICES IN NIGERIA

ABSTRACT

This study evaluated the effect of blockchain technology on auditing practices in Nigeria. The study used the primary research instrument through the administration of questionnaire to source data needed for the study. The study targeted a sample of three hundred and sixteen (316) respondents, in which a total of 316 questionnaires were distributed and only three hundred (300) was filled, retrieved, cleaned and used for this study. The data collected was analyzed using SPSS version 22.0 and descriptive statistics was used to present the results while regression test and t-test were employed to make findings on the research hypotheses. It was discovered that: the extent of adoption of blockchain technology has a significant impact on auditing practices; there are significant factors influencing the adoption of blockchain technology in auditing practices; there are significant challenges in the adoption of blockchain technology in auditing practices; the transparency feature of blockchain technology significantly affects auditing practices; and the immutability feature of blockchain technology does not significantly influence auditing practices. Based on these findings, it was recommended that: it is essential for auditing firms and regulatory bodies in Nigeria to invest in training and capacity building programs; there is a need for collaborative efforts by policymakers to create a conducive regulatory environment that encourages the adoption of blockchain technology in auditing; auditors and technology developers should design user-friendly blockchain auditing platforms, address scalability issues, enhance data privacy and security measures, and ensure interoperability with existing auditing systems; and auditors should capitalize on this feature to enhance the transparency and integrity of financial reporting processes.