Role of blockchain in transitioning to circular economy – an empirical investigation

Purpose Anchored in the Natural Resource-Based View (NRBV) and Dynamic Capabilities theory, this study examines blockchain’s role in facilitating firms' transition to a circular economy (CE), aiming to provide a robust framework for understanding the interplay between blockchain, CE and sustainability. Design/methodology/approach The study uses an interpretivistic approach and semi-structured interviews to explore how blockchain can drive the transition to a CE. Findings The study shows blockchain can expedite the shift to a CE through pollution prevention, product stewardship and sustainable development, by leveraging dynamic capabilities (DC). It emphasizes blockchain as a micro foundation of DCs, with these capabilities enabling NRBV strategic capabilities. Originality/value This study investigates the intersection of blockchain and CE, offering empirical validation for a robust conceptual framework and revealing the societal impact of the CE transition.