Title: Democratizing Finance: How Blockchain is making Investments More Accessible and Transparent.
Authors: Theobald Francis Kipilimba
Volume: 8
Issue: 7
Pages: 127-145
Publication Date: 2024/07/28
Abstract:
The financial landscape has undergone significant transformations over the past few decades, driven by rapid technological advancements. Among these, blockchain technology has emerged as a revolutionary force with the potential to democratize finance, making investments more accessible and transparent. This study explored the transformative impact of blockchain technology on investment accessibility and transparency, focusing on key indicators such as Accessibility, Transparency, Cost Efficiency, and User Experience. Utilizing a sample of 80 respondents, the research employed various scales to gauge perceptions and outcomes related to these indicators. The findings revealed that blockchain technology has notably improved Accessibility by lowering entry barriers and expanding geographic reach, though challenges remain in terms of user familiarity and digital inclusivity. In the realm of Transparency, respondents acknowledged the advantages of enhanced transaction visibility and improved audit trails, but some expressed concerns about the system's ability to fully mitigate fraud risks. Cost Efficiency outcomes were mixed, with some users observing reductions in transaction and administrative expenses, while others saw limited financial benefits. Lastly, User Experience showed advancements in simplified investment processes and faster transaction speeds, although variability in user interfaces and customer support highlighted areas for improvement. Based on these insights, the study recommends enhancing user education and interface design to increase accessibility, strengthening public awareness and security measures to boost transparency, conducting targeted cost-benefit analyses to optimize cost efficiency, and investing in intuitive designs and consistent customer support to improve user experience. These recommendations aim to maximize blockchain's potential in making investments more accessible and transparent, ultimately contributing to a more inclusive and efficient financial ecosystem.