Towards Trustworthy Financial Reports Using Blockchain
El Ioini N
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The need to develop a system for dealing with the transparency analysis of financial reports has pushed companies to look for possible solutions to store their data in a reliable and trustworthy database, that enables all authorized entities to access and check financial data of their partners. The eXtensible Business Reporting Language (XBRL) is the digital format of financial reports that provides data and rules to perform different analysis following a number of techniques: (1) consistency calculation, (2) rates between debts and interests, (3) checking the Benford’s law, (4) financial item value comparison. In this paper, we propose a blockchain based solution where all reports analysis activities and results are recorded into a shared ledger to guarantee their integrity and consistency. Specifically, we have designed and implemented a prototype to validate and store financial statements using Ethereum blockchain. Additionally, we have performed an initial set of tests based on a set of Italian financial reports.