Claremont Colleges Scholarship @ Claremont CMC Senior Theses CMC Student Scholarship 2018 Blockchain and the Future of the Audit Connor Ortman Claremont McKenna College Recommended Citation Ortman, Connor, "Blockchain and the Future of the Audit" (2018). CMC Senior Theses. 1983. http://scholarship.claremont.edu/cmc_theses/1983 This Open Access Senior Thesis is brought to you by Scholarship@Claremont. It has been accepted for inclusion in this collection by an authorized administrator. For more information, please contact
[email protected]. CLAREMONT McKENNA COLLEGE Blockchain and the Future of the Audit SUBMITTED TO PROFESSOR MATTHEW MAGILKE BY JOHN CONNOR ORTMAN FOR SENIOR THESIS 2017-2018 APRIL 23, 2018 2 Table of Contents Acknowledgments ............................................................................................................... 3 Chapter 1 – Introduction ..................................................................................................... 5 Chapter 2 – The History of Regulatory Authorities and the Audit ..................................... 9 Chapter 3 – Blockchain: An Extended Discussion of the Technology ............................. 19 Chapter 4 – Client Implementation of Blockchain Technology – Financial Firms .......... 32 Chapter 5 – Client Implementation of Blockchain Technology – Non-Financials ........... 45 Chapter 6 – Blockchain and its Impact on Accounting Systems and the Auditor ............ 56 Chapter 7 – Regulators’ Response to the Blockchain ......................................................