Blockchain might change the means accountants generate income, in line with a report revealed yesterday by the Association of Chartered Certified Accountants (ACCA).
The group, which boasts greater than 180,000 members worldwide, stated in its report that the sorts of providers accountants present could evolve relying on how the know-how is adopted. These modifications, the report’s authors word, could affect the earnings of accountants as properly.
While the report notes that “it will take time” to see how distributed ledger adoption impacts revenues for accountants, it does warning that “the most likely effects on the revenue mix may be clear sooner”.
The report’s authors write:
“There may be a gradual move away from low-margin activities (for example, transaction checking) towards a greater emphasis on higher-margin work (for example, interpreting technical accounting policy to a given situation). Over time, this may affect the revenue model, with greater emphasis on paying for expertise and advice (outputs-based rate card) rather than for time (inputs-based, per hour billing).”
As talked about above, the ACCA tempers these predictions by arguing that the full ramifications gained’t be recognized in the absence of “large scale and mainstream adoption”. The subsequent 5 years, the paper’s authors argue, will present telling proof as to what the precise affect might be.
“If it looks likely that the revenue mix will evolve, then accountancy firms may want to evaluate their structure and organise themselves differently to prepare for the future,” the authors go on to suggest.
That line of reasoning – that group and information-seeking may help accountants put together for the future – is reiterated, as the authors point out that ACCA members could wish to start their training in the event that they haven’t already.
“Blockchain presents new areas for analysis and consideration, and the sooner professional accountants increase their awareness, the better prepared they will be to engage with it,” they word.
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