Enterprise Audits and Blockchain Technology

Blockchain technology has become more common in the audit industry, posing new problems for traditional audit work. Researchers have been studying the effect of customers’ use of blockchain technology on audits, especially on audit risk and audit methods. This paper examines audit cases of Chinese enterprises that use blockchain technology. It analyzes the effect of the use of blockchain technology on the audit and the new audit problems. It also examines an Australian blockchain audit case using a questionnaire. This case study showed that the application of new technologies to the audit industry may lead to increased inherent risks and control risks. The audit methodology is uncertain and there are two possible approaches: (1) a combination of direct, indirect, account-level, and entity-level evidence and (2) an increase in indirect and entity-level evidence. This paper puts forward the reference case of the Australian blockchain audit experience and suggestions for developing blockchain audits in China. Plain Language Summary Navigating New Horizons: Challenges and Opportunities in Auditing with Blockchain Technology Blockchain technology is changing how audits are done. We studied how Chinese companies using blockchain affect audits. We also looked at an Australian case using a survey. Our findings suggest that using new tech in audits can make things riskier. Figuring out the best way to do audits with blockchain is tricky, but we suggest using a mix of different evidence sources. This paper gives advice based on the Australian experience for improving blockchain audits in China.