A Blockchain based Accounting System Authors Suvarna Patil Marathwada Mitra Mandal's College of Engineering, Pune 411052, India https://orcid.org/0000-0003-2411-3766 Abhijeet Chavan Marathwada Mitra Mandal's College of Engineering, Pune 411052, India Anushka Kele Marathwada Mitra Mandal's College of Engineering, Pune 411052, India Mayur Mohite Marathwada Mitra Mandal's College of Engineering, Pune 411052, India Harshal Gharat Marathwada Mitra Mandal's College of Engineering, Pune 411052, India DOI: https://doi.org/10.64383/irjss.02250203 Keywords: Blockchain, Ethereum, Smart Contracts, Accounting Systems, Transparency, Immutability, Automation Abstract Blockchain technology, characterized by its decentralized, immutable, and transparent nature, opens up transformative opportunities for enhancing accounting systems. Traditional accounting practices typically depend on centralized databases, which can be vulnerable to data manipulation, fraud, and security breaches. This paper proposes an innovative accounting system built on the Ethereum public blockchain, designed to effectively manage critical functions such as inventory management, customer interactions, sales transactions, and invoicing. By leveraging smart contracts, this system automates key processes—including invoicing and payments—resulting in reduced manual intervention and fewer human errors while improving operational efficiency. The decentralized framework of blockchain guarantees that every transaction is permanently recorded in an immutable ledger, offering unparalleled security and transparency. Additionally, this system reduces reliance on intermediaries, streamlining business operations and decreasing costs. However, challenges such as scalability and fluctuating transaction (gas) fees still persist within the Ethereum ecosystem. As Ethereum continues to evolve with the introduction of Layer 2 scaling solutions and Ethereum 2.0, these issues are anticipated to be resolved, positioning blockchain as a revolutionary solution for the accounting sector. Author Biographies Suvarna Patil, Marathwada Mitra Mandal's College of Engineering, Pune 411052, India Assistant Professor, Department of Computer Engineering Abhijeet Chavan, Marathwada Mitra Mandal's College of Engineering, Pune 411052, India UG Student, Department of Computer Engineering Anushka Kele, Marathwada Mitra Mandal's College of Engineering, Pune 411052, India UG Student, Department of Computer Engineering Mayur Mohite, Marathwada Mitra Mandal's College of Engineering, Pune 411052, India UG Student, Department of Computer Engineering Harshal Gharat, Marathwada Mitra Mandal's College of Engineering, Pune 411052, India UG Student, Department of Computer Engineering References [1] Zheng, R. (2021). Applications Research of Blockchain Technology in Accounting System. Journal of Physics: Conference Series, 1955. https://doi.org/10.1088/1742-6596/1955/1/012068. [2] Sharma, A., Bhanawat, S., & Sharma, R. (2022). Adoption of Blockchain Technology Based Accounting Platform. Academic Journal of Interdisciplinary Studies. https://doi.org/10.36941/ajis-2022-0042. [3] Alex, B., Teresa, C., Liz, V., & Mariuxi, P. (2022). Blockchain application in accounting and auditing: a bibliometric and systemic analysis. 2022 17th Iberian Conference on Information Systems and Technologies (CISTI), 1-6. https://doi.org/10.23919/cisti54924.2022.9820298. [4] Desai, H. (2023). Infusing Blockchain in accounting curricula and practice: expectations, challenges, and strategies. The International Journal of Digital Accounting Research. https://doi.org/10.4192/1577-8517-v23_5. [5] Pugna, I., & Duțescu, A. (2020). Blockchain – the accounting perspective. Proceedings of the International Conference on Business Excellence, 14, 214 - 224. https://doi.org/10.2478/picbe-2020-0020. [6] Bellucci, M., Bianchi, D., & Manetti, G. (2022). Blockchain in accounting practice and research: systematic literature review. Meditari Accountancy Research. https://doi.org/10.1108/medar-10-2021-1477. [7] Wu, Y., & Wang, X. (2020). Application of Blockchain Technology in the Integration of Management Accounting and Financial Accounting, 26-34. https://doi.org/10.1007/978-3-030-43309-3_4. [8] Pravdiuk, N., Lepetan, I., & Koval, L. (2023). Blockchain Technology in Accounting: Prospects and Consequences of Implementation. 3. https://doi.org/10.37128/2411-4413-2023-3-1. [9] W. K. Peprah, R. P. Abas Jr., and A. Ampofo, "Applicability of Blockchain Technology to The Normal Accounting Cycle," Applied Finance and Accounting, vol. 8, no. 1, 2022. [Online]. Available: https://doi.org/10.11114/afa.v8i1.5492 [10] E. Abad-Segura, A. Infante-Moro, M. González-Zamar, and E. López-Meneses, “Blockchain Technology for Secure Accounting Management: Research Trends Analysis,” Mathematics, vol. 9, no. 14, 2021. [Online]. Available: https://doi.org/10.3390/MATH9141631 [11] Y. Kong and H. Chen, “Research on Construction and Application of Accounting Information System Based on Blockchain Technology,” in 2020 International Conference on Computer Science and Management Technology (ICCSMT), pp. 291-296, 2020. [Online]. Available: https://doi.org/10.1109/ICCSMT51754.2020.00066 [12] Dai, J., & Vasarhelyi, M. (2017). Toward Blockchain-Based Accounting and Assurance. J. Inf. Syst., 31, 5-21. https://doi.org/10.2308/ISYS-51804. [13] Paliwal, M., & Saraswat, P. (2021). An Overview on Blockchain. International Journal of Innovative Research in Computer Science & Technology. https://doi.org/10.55524/ijircst.2021.9.6.29. [14] Schmitz, J., & Leoni, G. (2019). Accounting and Auditing at the Time of Blockchain Technology: A Research Agenda. Australian Accounting Review. https://doi.org/10.1111/AUAR.12286. [15] Jha, A., Dubey, S., & Kumar, H. (2023). Transaction System Based on Blockchain Technology using Smart Contract. International Journal of Scientific Research in Engineering and Management. https://doi.org/10.55041/ijsrem18100. Downloads PDF Published 2025-02-26 How to Cite Patil, S., Chavan, A., Kele, A., Mohite, M., & Gharat, H. (2025). A Blockchain based Accounting System. International Research Journal of Scientific Studies, 2(2), 31–42. https://doi.org/10.64383/irjss.02250203 More Citation Formats ACM ACS APA ABNT Chicago Harvard IEEE MLA Turabian Vancouver Download Citation Endnote/Zotero/Mendeley (RIS) BibTeX Issue Vol. 2 No. 2 (2025): February Section Research Papers Categories Computer Science Engineering Data Science License Copyright (c) 2025 International Research Journal of Scientific Studies This work is licensed under a Creative Commons Attribution 4.0 International License. International Research Journal of Scientific Studies is an open-access journal that publishes articles under a Creative Commons Attribution 4.0 International License (CC BY 4.0). This license allows for the widest possible dissemination and use of the articles, while ensuring that the authors receive proper credit for their work. Article Licensing 1. Copyright: After publication of article, Authors automatically grant copyright to International Research Journal of Scientific Studies to publish and distribute their work under the CC BY 4.0 license. 2. Attribution: Articles can be shared, adapted, and built upon, provided that the original work is properly cited. The citation must include the article's title, author(s), journal title, volume, issue, pages, and DOI (if applicable). 3. Reuse: Articles can be reused for non-commercial purposes, such as education, research, and personal use. This includes, but is not limited to, sharing articles on social media, academic networks, and personal websites. Permitted Uses 1. Sharing: Articles can be shared in digital or print format, provided that the original work is properly cited. 2. Adaptation: Articles can be adapted for use in lectures, presentations, and other educational materials, provided that the original work is properly cited. 3. Derivative Works: Articles can be used to create derivative works, such as translations, summaries, and reviews, provided that the original work is properly cited. 4. Text and Data Mining: Articles can be used for text and data mining purposes, provided that the original work is properly cited. Restrictions 1. Commercial Use: Articles cannot be used for commercial purposes, such as selling or licensing the content, without the prior consent of the author(s) and International Research Journal of Scientific Studies. 2. Modification: Articles cannot be modified in a way that misrepresents the original work or its authors. 3. Removal of DOI: The DOI (Digital Object Identifier) assigned to the article cannot be removed or altered. Author Responsibilities 1. Originality: Authors must ensure that their work is original and does not infringe on the copyright or other rights of third parties. 2. Permissions: Authors must obtain the necessary permissions and licenses to use any copyrighted materials, such as images, tables, or figures, in their articles. 3. Disclosure: Authors must disclose any conflicts of interest, funding sources, or other relevant information that may impact the interpretation of their work. Journal Responsibilities 1. Publication: International Research Journal of Scientific Studies will publish the articles in electronic format on its website and other platforms. 2. Indexing: International Research Journal of Scientific Studies will index the articles in relevant databases and repositories to ensure their discoverability and accessibility. 3. Archiving: International Research Journal of Scientific Studies will archive the articles in a secure and permanent repository to ensure their long-term preservation and availability. By submitting an article to International Research Journal of Scientific Studies, authors agree to these licensing terms and grant International Research Journal of Scientific Studies the right to publish and distribute their work under the CC BY 4.0 license.
