Citation

Dutta, S.K. (2020), "Index", The Definitive Guide to Blockchain for Accounting and Business: Understanding the Revolutionary Technology, Emerald Publishing Limited, Leeds, pp. 291-297. https://doi.org/10.1108/978-1-78973-865-020201016

Publisher

:

Emerald Publishing Limited

Copyright © 2020 Emerald Publishing Limited

---

INDEX

Index

Note: Page numbers followed by “n” indicate notes.

Accounting. (see also Financial auditing)

, 28

profession

, 98

Agreement

, 46

Alternative trading systems (ATS)

, 187

Anti-money-laundering (AML)

, 109, 133

Application programing interfaces (APIs)

, 199, 250

Applications (APPS)

, 257

Artificial intelligence (AI)

, 267

Artisanal and Small-Scale Mining (ASM)

, 151

Artisanal Miners (ASM)

, 169

Asset-backed securities (ABS)

, 98, 184–185

Asset-backed security tokens (ABSTs)

, 183

Asset(s)

, 29

drawback

, 100–102

improper valuation of

, 94–95

securitization

, 98–102

works

, 99–100

Asymmetric cryptography

, 178

Atari: Fistful of Quarters (movie)

, 87

Auditability

, 3

Auditing blockchains/distributed networks

, 244

addressing BC/DLT ecosystem

, 250–251

distributed audit for distributed ledger

, 251–252

netting of transactions and control implications

, 248–249

risks and limitations

, 247

securing blockchain

, 246–247

Auditing fees

, 230

Australian Modern Slavery Act (2018)

, 156

Automobile industry, application in

, 218–220

Autonomous machines

, 114

Availability

, 269

Bartering

, 8–9

Basel Committee on Banking Supervision

, 96

Bit Gold

, 61

Bitcoin (BTC)

, 1, 7, 15, 35, 37, 53, 141

activity statistics

, 18

blockchain beyond

, 21–22

transaction

, 17–21

value compared to other economic metrics

, 19

Blackcoin

, 57

Block time

, 31

Blockchain

, 1–3, 7, 14–17, 23–24, 43

adoption

, 7

application in automobile industry

, 218–220

beyond bitcoin

, 21–22

bitcoin transaction

, 17–21

collateralized lending in cryptoworld

, 213–218

cryptocurrency

, 13–15

cryptotax business model

, 210–213

ecosystem

, 260–261

facilitating smart contracts

, 74–75

financial transformation sparked by

, 178–179

fungible tokens

, 161–163

greenwashing

, 167–168

insurance to protect against flight delays and cancellation

, 221–223

key characteristics

, 3

key event dates in

, 4

mass processing of minerals

, 166

microrental of parking spaces

, 220–221

for mineral supply chain

, 89

non-fungible tokens

, 163–164

operationalizing tokenization

, 164–165

option contracts traded through

, 85–86

projected worldwide investment in

, 2

provenance

, 224–227

recording history of supply chain

, 161

solution

, 160

supported business innovations

, 209

threats to development of

, 281–282

trade–barter system to cryptocurrency

, 8–10

trust

, 10–13

Blockchain and distributed ledger technology (BC/DLT)

, 229

Blockmatrix

, 284

Blocks

, 16, 30–33

Bonus Newsletter Subscription

, 136

Bottom-up approach. (see also “Top-down” approach)

, 117–118

Bribery attacks

, 278

Business(es)

ecosystem

, 200

functions or processes

, 3

Byzantine Generals Problem

, 44, 46–51

California Transparency in Supply Chains Act

, 155–156

Car Dossier

, 218

Cash flow method

, 84

Censorship attacks

, 279

Central counterparty clearing house (CCP)

, 143

Central securities depository (CSD)

, 144

Certificates of origin

, 271

Chain forks

, 54–55

Chinese Due Diligence Guidelines for Responsible Mineral Supply Chains (2015)

, 154

Chinese GSRM (2014)

, 154

Cognitive costs

, 67

Cold storage

, 216–217

Collateralized lending in cryptoworld

, 213–218

Colored coins

, 177

Coming to America (movie)

, 87

Committee of Sponsoring Organizations of the Treadway Commission (COSO)

, 236–237

COSO Cube

, 236–237

Conflict-Affected and High-Risk Areas (CAHRAs)

, 154

Consensus mechanism

, 36, 43–44, 250, 255

Byzantine general’s problem

, 46–51

economics of validity and verifiability

, 51–52

importance

, 44–46

proof of stake

, 57–58

proof of work

, 52–56

Contracts. (see also Smart contracts)

, 75–76

Contractual capability

, 76

Corda open-source blockchain provider

, 38

Cost per transaction

, 114

Credit(s)

, 10, 28–29

default swaps

, 71

Cross-border cooperation

, 97

Cross-border trades

, 273

Cross-border transactions, risks associated with

, 96–98

Crowd funding of movies

, 87–89

Cryptoassets

, 212

Cryptocurrency

, 1, 8

basic features and challenges

, 13–15

trade–barter system to

, 8–10

Cryptography

, 3, 178

hashing algorithms

, 178

technical primer on

, 112–113

Cryptokitties

, 121

Cryptotax business model

, 210–213

Curzio Equity Owners (CEO)

, 127

tokens

, 141–142, 144

Curzio Research

, 89, 127–128, 135

CurzioEquityOwners. com

, 138

Danish Maritime Authority

, 273–274

Data

data-ledger

, 28

provenance

, 269

self-sovereignty

, 170

transparency

, 197–201

Daywalker Movie Fund

, 87

Debits

, 28–29

Decentralized applications (dApp)

, 38

Decentralized management

, 269

Decentralized network

, 25

Delegate proof of stake

, 57

Department of Homeland Security (DHS)

, 110

Desynchronization attack

, 277

Deterministic property of hash function

, 32

Digital assets

, 97, 180

Digital securities (DS)

, 130–131, 181–183, 197

ecosystem

, 187–188

services

, 187

Digital tokens

, 80

Digitized assets

, 217

Direct participation program market (DPP)

, 143

Distributed audit for distributed ledger

, 251–252

Distributed control

, 125

Distributed ledger technology (DLT)

, 177–178

“Divide and conquer” strategy

, 33

Dodd-Frank Act (2012)

, 154

Double-spending

, 13, 276–277

Due diligence, reduction in

, 95–96

E-commerce

, 7

E-identity system

, 121–122

E-notary system

, 121–122

E-verification platforms

, 121–122

Eclipse Attacks

, 278

Economics

of microtransactions

, 66–67

of validity and verifiability

, 51–52

Encryption

technical primer on

, 112–113

Energy sector

, 270–272

Enterprise Risk Management process (ERM process)

, 232–234

Entity level controls

, 240

EOS software

, 38

Equity method

, 84

Ernst and Young (EY)

, 218

Ether (ETH)

, 141

Ethereum platform

, 37–38

Ethereum Request for Comments (ERC)

, 179

ERC20 tokens

, 179–180

EU Conflict Minerals Regulation (2017)

, 154–155

EU Directive on Non-Financial Disclosures (2014)

, 156

EU Non-binding Guidelines for identifying CAHRAs

, 155

“4-Eyes” based control environment

, 231

Fifty-one Percent Attacks

, 278

Filecoin

, 139

Financing corporate expansion through tokenization

Curzio Research

, 127–128

financing in mineral industry

, 145–146

private offering

, 128–130

security token offerings vs. traditional private placements

, 130–132

STO process

, 133–144

Finney attack

, 277–278

Fizzy business process

, 222–223

Flight delays and cancellation, insurance to protect against

, 221–223

Foreign investors

, 193

Fork

, 45

French Corporate Duty of Vigilance Law (2017)

, 156

Fungible tokens

, 161–163

Game theory

, 59n2

Gas

, 36, 53

cost

, 36

Genesis block

, 30

Genetic algorithms (GAs)

, 121

Global Financial Crisis (GFC)

, 98

Global Real Estate Transparency Index (GRETI)

, 199–200

Global trade

, 96

Globalization

, 186

GodoKaisha-TokumeiKumiai (GK-TK)

, 194

Gold supply chain

, 150–152

Governmental agencies

, 274–276

Greenwashing

, 167–168

Grinding attacks

, 280

Gross domestic product (GDP)

, 191

Gross Risks

, 232

Hash function

, 3, 30–33

Health services

, 268–270

Herd mentality

, 96

Hollywood accounting

, 87–88

Hyperledger

, 38

Hyperledger-Fabric

, 38

Idiosyncrasies of blockchain

, 111–112

“If-then-else” rules

, 283

“If-then” rules

, 62, 67, 71

Illiquid-Liquid Spectrum

, 189–190

Illiquidity discount

, 81–82

Immutability

, 3, 15

of data

, 171

immutable audit trails

, 269

Incentivized machines

, 114

Incentivizing participation in blockchain

, 168

data self-sovereignty

, 170

ensuring credible information

, 171–172

immutability of data

, 171

incentives for companies

, 168–170

incentivizing incident reporting

, 172–174

Information technology controls (IT controls)

, 243–244

Ingots

, 165

Initial Coin Offerings (ICO)

, 80, 180

Institutional real estate firms

, 201

Insurance

, 124–125

industry

, 71–72

Internal controls

auditing blockchains/distributed networks

, 244–252

for entire ecosystem

, 260–263

risk management and internal controls framework

, 231–240

system audit for blockchain

, 252–259

types and assessments of

, 240–244

Internal controls over financial reporting (ICFR)

, 234

Internal Revenue Service (IRS)

, 35, 210–211

Internet of Things (IoT)

, 38, 64, 72

IOTA (open-source distributed ledger)

, 38

IPFS (peer-to-peer hypermedia protocol)

, 38

IPOs

, 127

J-Curve effect

, 204–205

Japanese real estate investment trusts (J-REITs)

, 191

Japanese Real Estate Market

, 89–90, 177, 190

digital securities

, 181–183

digital securities ecosystem

, 187–188

financial transformation sparked by blockchain

, 178–179

harmonizing financial regulation across jurisdictions

, 180–181

inefficiencies in real estate market

, 188–190

market size and investment environment

, 191–194

pain points in

, 194–197

projected growth of security tokens

, 183–186

smart contract standards expediting digital asset functions

, 179

tokenization of

, 197–205

Jones Lang LaSalle (JLL)

, 191

Know-your-customer regulations (KYC regulations)

, 109, 133

Large-Scale Mining operations (LSM)

, 151, 169

Ledger

, 26–27

Legal jurisdictions

, 76

Licensed STEs

, 142

Liquidity

, 203–205

Loan to value ratio

, 215

Lock-up period

, 57, 148n1

Long-range attacks

, 279

Lukka’s approach

, 250

Management assertions

, 239–240

Maritime industry

, 272–274

Market optimization

, 272

Mass processing of minerals

, 166

Mass–balance traceability

, 166–167

Member

, 27

Merkle trees

, 3, 30–33

Metal streaming financing

, 145

Microrental of parking spaces

, 220–221

Microtransactions, economics of

, 66–67

Mineral industry, financing in

, 145–146

Mineral supply chain

, 149

blockchain solution

, 160–168

complexity of

, 150–152

evolving regulation on traceability of minerals

, 153–158

incentivizing participation in blockchain

, 168–174

lack of transparency in

, 153

money laundering through mineral sourcing

, 158–159

traceability requirements

, 159–160

Mining

, 145

royalty financing

, 145

Modern money

, 9

Money laundering through mineral sourcing

, 158–159

Mongo DB database

, 38

“Monopoly Classic”

, 40

Monopoly on blockchain

, 39–40

Mortgage securitization

, 98–99

Mortgage-backed securities (MBS)

, 99–100

Mosi-oa-Tunya Declaration

, 155

Multiparty settlement

, 272

Napster (music sharing application)

, 14

NEM (platform)

, 38

NEO (blockchain project)

, 38

Net Risks

, 232

Network

, 27

Non-fungible tokens

, 163–164

Nothing at stake attacks

, 280

Nxt

, 57

OECD Due Diligence Guidance for Responsible Supply Chains

, 154

Off-chain

transactions

, 248, 250

volume

, 248

On-chain

transactions

, 248

volume

, 248

On–Off Ratio

, 248–249

Open Chain distributed ledger system

, 38

OpenFinance Network (OFN)

, 142, 144, 187

Operationalization

, 83–85

Option contracts traded through blockchain

, 85–86

Over the counter desks (OTC desks)

, 250

Paper money

, 9–10

Participants

, 25–27

Past majority attacks

, 281

PayPal

, 8

Peer-to-peer

blockchain

, 114

model

, 14

network

, 23, 25

Perception of monitoring

, 231

Physical risks

, 272

Portfolio lenders

, 99

Pre-offering

, 133–140

Primer on blockchain terminology

blockchain platforms

, 37–38

blocks, hashes and Merkle trees

, 30–33

essential features of blockchain

, 36–37

formation

, 33

misconceptions

, 28–30

monopoly on blockchain

, 39–40

participants and transactions

, 25–27

types of blockchain

, 34–35

Privacy

, 269

Private and non-permissioned networks

, 34

Private and permissioned network

, 35

Private keys

, 20, 178

Private offering

, 128–130

Private placement

, 128

Private placement memorandum (PPM)

, 135

Process mining

, 242

Profits, improper valuation of

, 94–95

Programing languages

, 119–120

Proof of elapsed time

, 57

Proof of stake

, 44, 57–58

Proof-of-work (PoW)

, 3, 15–16, 44, 52–56

Proprietary trading systems

, 187

Protocol

accreditation

, 250

code

, 254

protocol-based financial engineering

, 188

Provenance

, 224–227

Pseudocode analytic

, 257

Public and non-permissioned network

, 34

Public and permissioned networks

, 34–35

Public key

, 20

systems

, 112–113

Public key cryptography (PKC)

, 178

Public knowledge

, 11

Public ledger

, 114

“Pump-and-dump” schemes

, 96

Quorum open-source blockchain platform

, 38

Race conditions

, 259

Real estate investment trust (REIT)

, 190

Red flags

, 155

Reentrancy

, 259

“RegTech”

, 275

Regulatory arbitrage

, 97

Regulatory Sandbox Model

, 132

Reinsurance

, 125

“Research Blast”

, 248

Responsible sourcing

, 149

Restricted securities

, 143

Return of the Jedi (film)

, 87

Risk(s)

management

, 231–240

in smart contracts

, 257–259

Robustness

, 269

Secure Hashing Algorithm (SHA)

, 33

SHA-256 algorithm

, 33

Securities transaction lifecycle (STL)

, 143–144

Securitization

, 99, 102–103

Security. (see also Digital securities (DS))

, 269

Security Token Exchanges (STE)

, 130, 187

Security Token Offerings (STOs)

, 80, 91–93, 127, 130–133, 183

issuance phase

, 140–141

lifecycle management

, 141–144

pre-offering

, 133–140

Security tokens

, 139–140

projected growth of

, 183–186

“Segregation of duties” principles of auditing

, 231

Selfish mining

, 279–280

Settling trades

, 123

Shor’s algorithm

, 114

Simple Agreement for Future Equity (SAFE)

, 135

Smart contracts

, 3, 36, 61–66, 110–111, 114, 118–120, 283

advantages

, 73–74

applications

, 71–73

blockchain facilitating

, 74–75

economics of microtransactions

, 66–67

features

, 67–69

functioning

, 70

legal complexities

, 75–77

standards expediting digital asset functions

, 179

supply chain transaction in traditional setting

, 64

supply chain transaction with

, 65

tokenization with

, 120–121

works

, 69–71

Smelters

, 152

Spider-Man (film)

, 87

Stale blocks

, 54

Start-up financing

, 93, 184

STOC tokens

, 85

Stocchain

, 85

Stock trading back office

, 123–124

Sudoku puzzles

, 55–56

Sumitomo Mitsui Trust Research Institute (SMTRI)

, 191

Supply chain responsibility. (see Responsible sourcing)

Symmetric encryption

algorithms

, 178

systems

, 112

Syndicated underwriting

, 125

System and Organization Controls (SOC)

, 243–244

System audit for blockchain

, 252

new risks

, 253–257

risks in smart contracts

, 257–259

traditional system audit controls applied to blockchain

, 252–253

“System of record” approach

, 251, 261–262

Termination

, 46

Test of design (TOD)

, 241–242

Test of effectiveness (TOE)

, 241–242

Third edition OECD Due Diligence Guidance (2016)

, 154

Token. (see also Security tokens)

discounts

, 135–136

format

, 137

holder obligations

, 137

holder rights

, 136

proceeds

, 137

transfer restrictions

, 137

Tokenization

, 36–37, 79–80, 111, 114

of art

, 86–87

asset securitization

, 98–102

data transparency

, 197–201

enhanced liquidity

, 203–205

growth in tokenization market

, 91–93

illustration of appeal of

, 82–83

of Japanese Real Estate Market

, 197

Open Access

, 201–203

operationalization

, 83–85, 164–165

prevailing risks

, 93–98

process

, 89–91

and securitization

, 102–103

with smart contracts

, 120–121

untapped potential

, 80–82

use-cases

, 85–89

TokuteiMokutekiKaisha (TMK)

, 194

“Top-down” approach

, 116–117

financial controls identification

, 237–238

Traceability

, 224

conflict minerals regulations

, 154–155

evolving regulation on

, 153

of minerals

, 153

modern slavery and human rights regulations

, 155–157

ramifications of changing political dynamics

, 157–158

requirements

, 159–160

Trade–barter system to cryptocurrency

, 8–10

Traditional private placements

, 130–132

Traditional security tokens

, 183

Traditional sourcing methods

, 159

Traditional system audit controls applied to blockchain

, 252–253

Tranches,–100

Transaction(s)

, 25–27, 219–220

fee

, 51

or business process level controls

, 240

and smart contracts

, 250

Triple-entry bookkeeping system

, 29–30

Trust

, 10–13, 103

Trust Service

, 143

Trusted broker

, 80

Trusted third parties

, 7, 11, 13–14, 83

Tylenol tablets

, 268–269

U. S. Securities and Exchange Commission (SEC)

, 76, 91

Ujo (online music sharing/purchase company)

, 72

UK Modern Slavery Act (2015)

, 156

United Nations Conference on Trade and Development (UNCTAD)

, 272

United Nations Guiding Principles on Business and Human Rights (UNGPs)

, 156

United Parcel Services

, 273

Unregistered offering

, 128, 133

US dollars (USD)

, 136

Use-cases of blockchain

, 107–108

applying framework

, 116–118

caveats and risks

, 125–126

framework to evaluating

, 113–115

idiosyncrasies of blockchain

, 111–112

key attributes of blockchain

, 110–111, 114

sample use-cases

, 120–125

score card

, 115

smart contracts

, 118–120

technical primer on cryptography and encryption

, 112–113

Utility

billing

, 271

token

, 139

Validity

, 46

economics of

, 51–52

Verifiability

, 3

economics of

, 51–52

Vulnerabilities

, 276

bribery attacks

, 278

censorship attacks

, 279

desynchronization attack

, 277

double spending

, 276–277

eclipse attacks

, 278

fifty-one percent attacks

, 278

Finney attack

, 277–278

grinding attacks

, 280

long-range attacks

, 279

nothing at stake attacks

, 280

past majority attacks

, 281

selfish mining

, 279–280

Web 3.0

, 181–183, 201

Witnesses

, 58

Yap

, 11–12