Organizational Impact of Blockchain through Decentralized Autonomous Organizations
- 8 Downloads
There is a growing attention to “Blockchain” as a key technological innovation likely to change a wide spectrum of the economy and organizations. Blockchain, also referred to as “Distributed Ledger Technology (DLT)”, was initially created as a platform technology to enable Bitcoin. Bitcoin and similar digital currencies are issued and maintained by anonymous participants (peers) around the world. Although blockchain was developed to enable Bitcoin, there is a perception that it can be used not only for currencies but also for a wide range of assets, from digital content to real property. In addition, the development of the technology has enabled blockchain to work as a computing platform which conveys software codes in a decentralized network, eventually working as a “networked” or “decentralized” computer. The current prior studies are concentrated on the impact and challenges of Bitcoin or similar digital currencies, but the studies on the impact of the fundamental blockchain technology are limited. On the other hand, blockchain has a possibility to affect wide aspects of the economy, such as intermediary services, digital currency, organizational structures, data management, microtransactions, and newly created industry. Among them, this paper focuses on how blockchain may affect organizational structures and quantitatively analyses which occupations are most suitable for Decentralized Autonomous Organizations (DAO). The quantitative analysis with O*NET data reveals that three main clusters of occupations are the most suitable for DAO: “IT experts”, “Brokerage tasks”, and “Information handling occupations”.
Key wordsBlockchain Bitcoin Decentralized Autonomous Organizations
Category & Number stated in the Call for Papers5
JEL Classification CodeO33
Unable to display preview. Download preview PDF.
This study is presented at The 15th International Conference of the Japan Economic Policy Association. The author thanks to the participants and discussant at the conference, and also anonymous referees for helpful comments. This work was partially supported by JSPS KAKENHI, Grant Number 15K00460. All errors remain the author’s.
- Antonopoulos, A. M. (2014) Mastering Bitcoin: Unlocking Digital Cryptocurrencies, O’Reilly.Google Scholar
- Blair, M.M., O’Connor, E.O. and Kirchhoefer. G. (2011). Outsourcing, Modularity, and the Theory of the Firm. Brigham Young University Law Review 2011, no.2: 263–314.Google Scholar
- Hayes, A.S. (2016). Cryptocurrency value formation: An empirical study leading to a cost of production model for valuing bitcoin. Telematics and Informatics.Google Scholar
- Iavorschi, M. (2013). THE BITCOIN PROJECT AND THE FREE MARKET. CES Working Papers. Vol.5, No.4. pp.529–534.Google Scholar
- Milgrom, P.R. and Roberts, J. (1992). Economics, Organization and Management. Prentice-Hall.Google Scholar
- Michael, B. and Michael, R. (2011). A Transaction Cost Economics View of Outsourcing. International Journal of Business, Humanities & Technology 1, no.2: 34–43.Google Scholar
- Nakamoto, S. (2008). Bitcoin: A Peer-to-Peer Electronic Cash System.Google Scholar
- Ono, Y. and Stango, V. (2005). Outsourcing, Firm Size, and Product Complexity: Evidence from Credit Unions. Economic Perspectives 29, no. 1: 2–11.Google Scholar
- Osada, H. (2015). Ageless shugyo no jidai wo hiraku (in Japanese) NIRA Opinion Paper. Vol.18, http://www.nira.or.jp/pdf/opinion18.pdf
- Raval, S. (2016). Decentralized Applications: Harnessing Bitcoin’s Blockchain Technology, O’Reilly.Google Scholar
- Swan, M. (2015). Blockchain: Blueprint for a New Economy, O’Reilly.Google Scholar
- Takagi, S. (2016). Tettei rikai Blockchain” (in Japanese). Weekly Economist, July 5th, 2016. pp.33–35.Google Scholar
- Takagi, S. and Tanaka, H. (2014). INFORMATION TECHNOLOGY AND THE ORGANIZATIONAL STRUCTURE OF MODERN BUSINESS OUTSOURCING. The Internationaljournal of Economic Policy Studies. Vol.9, pp. 1–19.Google Scholar
- Tapscott, D. and Tapscott, A. (2016). Blockchain revolution: How the technology behind bitcoin is changing money, business, and the world,.Google Scholar
- UK Government. (2015). Distributed Ledger Technology: beyond block chain, A report by the UK Government Chief Scientific Adviser.Google Scholar
- Williamson, O.E. (1975). Markets and Hierarchies, Analysis and Antitrust Implications: A Study in the Economics of Internal Organization. New York: Free Press.Google Scholar