The world has opened up to the cryptocurrency idea and blockchain has been discussed tons in the past year. We are all regretting not buying bitcoins when they came out, but a lot of us do not fully understand the concept. Blockchain is an accounting system that uses a ledger to record cryptocurrencies. This ledger is then made public and surely is not something we were thinking about a decade ago.
Back in the day we were trying to find pro help with accounting problems, but the area of blockchain has probably added a new dimension to it. It has been discussed how blockchain would ultimately effect accounting and we have a better understanding of it now. There are however ways in which we did not expect it to effect what we knew to be accounting practice.
1. Job security
Accountants have been concerned at this new development that seems to do exactly what they have learned to master. As technology has evolved, we have become more and more concerned at the idea of it taking our jobs. Even though it is not something accountants should be worried about, it does present a new area of expertise. Instead of fearing this new technology, accountants can embrace it and even get to know how it works.
2. Faster auditing
Auditing is a long process, but with this new technology it might improve the efficiency. If you need help with accounting homework have a look at the effectiveness of how these programs work. Companies could save a lot of costs on auditing fees as the process on Blockchain is fast and almost immediate. This poses a lot of threat to auditors, but if they actually learn how to use the program, it could be great.
3. Easy reconciliation
Companies have to wait a long time for month-end reports and this might be the answer. Reconciliation is instant on Blockchain and it is computer based, so a lot less human errors. This can also be more of a benefit than a disruption to accountants. One has to look at the pros and cons of the concept. It might feel like it is replacing accountants, but it is actually helping. No more going through each transaction trying to balance the books.
Firms are not excited about the transparency that comes with blockchain and it is understandable. With blockchain, you simple get the results of the fats you enter into the system. There is no talking to a computer and asking them to hide a few cents. When you have an accounting division in your organization, there are some figures you can hide from the public eye.
Of course, the biggest disruption is the fact that this program has been designed so well, that the accuracy is flawless. There are no mistakes in your figures. Accounts payable and accounts receivable is done effortlessly. A lot of information that you enter into the system can feed off each other. If you are looking for accounting homework answers there could be a better place. Companies no longer have to worry about figures being tampered with and it gives them peace of mind.
6. It’s not human
This is the biggest fact of it all and we need to embrace it. As much as it seems as if accounting is doomed and blockchain will take over, it is not true. It is going to advance accounting, but we have to accept that technology is moving in this direction. At the end of the day, it is still not a human being. We all have to get use to the idea of computerized work, but with the high demand, it could help.
If we are honest with ourselves, we have been using computerised accounting software for a long time. Back in the day accountants had to get used to the idea of working without a physical ledger book and a thousand pencils. In the same manner, accountants will adapt to this new technology. It might seem scary right now, but we are all going to change our tunes in the near future.