Implementation of Blockchain Technology in the Public Sector: SEM-PLS Approach

Abstract

Blockchain technology has emerged as a promising instrument for public sector digital transformation, yet its implementation remains constrained by technological, organizational, and institutional factors. This study’s aim is to identify the influence factors of blockchain implementation in the Romanian public sector by examining the effects of decision-makers’ knowledge and understanding of blockchain, existing technological infrastructure, legislative regulations, blockchain system interoperability, and public–private collaboration. Data was collected through a questionnaire applied to public sector employees involved in digitalization processes at central, regional, and local levels, resulting in 125 valid responses. The designed conceptual model was tested using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings support all five research hypotheses and highlight that decision-makers’ knowledge and understanding of blockchain has the strongest direct effect on blockchain implementation (β = 0.354, p < 0.001), while legislative regulations, interoperability, and public–private collaboration also exert significant positive effects. The study contributes to the literature by integrating technological, organizational, institutional, and relational determinants into an empirical framework designed for public administration and provides practical insights for public decision-makers.