Blockchain’s Role in Enhancing Transparency and Reducing Corruption in International Trade
TL;DR
The results show that a convergent approach is needed in which government efforts and digital transformation can reduce corruption and streamline trade processes, and show that a coherent and efficient regulatory framework has a positive effect on global trade integration.
Abstract
Blockchain technology addresses current concerns in international trade, such as the lack of traceability, excessive bureaucracy, limited transparency, and corruption. This paper analyses the extent to which this decentralized technology can improve trade processes. The analysis uses an OLS model applied to a panel dataset to assess the impact of institutional and digital variables on trade volume. The results show that a coherent and efficient regulatory framework has a positive effect on global trade integration. Blockchain technology has a marginally positive impact, which suggests that it can increase transparency and improve trade processes when countries have a well-developed digital infrastructure. The results show that a convergent approach is needed in which government efforts and digital transformation can reduce corruption and streamline trade processes. The study contributes to the specialized literature and provides an empirical conceptual framework for integrating blockchain into economic development initiatives and strengthening institutional governance.