Blockchain technology's moderating effect on the relationships between corporate governance, the environment and financial performance

Blockchain technology, which is similar to the impact of double-entry accounting in the past, has emerged as an innovative tool for trading and monitoring financial assets. This work explores the relationship between blockchain technology, corporate governance and business performance. The research uses feasible generalised least squares (FGLS) to examine data from 297 European firms that were featured in the STOXX Europe 600 index between 2016 and 2021, with a focus on assessing the moderating influence of blockchain technology. The results demonstrate that the implementation of blockchain technology significantly influences the financial as well as the environmental performance. Moreover, this study underscores the role of blockchain technology in bettering the connection between corporate governance and performance, particularly in companies with strong governance practices. These findings provide valuable insights for businesses, policymakers and researchers interested in harnessing the potential of blockchain technology to enhance corporate governance and to drive overall firm performance.