BLOCKCHANE TECHNOLOGY IN AUDIT: CURRENT STATE AND PROSPECTS OF APPLICATION

Abstract

The article considers the essence of blockchain technology, which is a database in which it is possible to check and transmit information in real time. The introduction of elements of the blockchain in audit procedures involves: increasing the efficiency and innovation of the audit, changing the nature of the audit, reducing the time for it’s implementation. In the field of auditing, the use of such technology can be useful in auditing transactions. It is due to the transparency of blockchain technology selected users, both internal and external, can see transactions, which in turn will not only reduce the work of auditors, which engaged in sampling and verification, but also allow them to pay more attention to other control tools. The analysis of prospects of development of blockchain technology in audit on the basis of domestic and foreign scientific publications is carried out. Researched the importance of such technology in the audit process. The main advantages and prospects of introduction of such technology in audit procedures (risk reduction) are determined information leakage, reduction of paper documents and time for the audit client, high quality information, decentralization, real-time updates), reflects the main problems and risks (high level of risk due to the need to digitize documents, increasing the cost of necessary software to implementation of all relevant processes, lack of legal framework) that may arise when using blockchain technology in the audit process on business entities. Blockchain technology provides high quality information, which in turn improves its accuracy, reduces errors not only in the process of individual audits, but also at the initial stage when verifying transactions and allows auditors to verify large amounts of information. Blockchain technology will lead to a possible revolution in the financial sector, including auditing. Because the use of blockchain technology in the audit will primarily change the writing of the audit report. Previously, the audit findings were based on the evaluation of transactions, then when using the blockchain, it will be based on confirmation of the reliability of the digital representation of material resources.