Large professional services companies like the Big Four create blockchain and cryptocurrency technological trends. Will they have an impact? Cryptocurrencies and blockchain technology are becoming more and more popular. Over the following five years, the blockchain industry will produce $21 billion in revenue.
All industries have experienced considerable growth in just 11 years. Established companies are starting to take the technology seriously and deal with the problems related to deploying blockchain and digital assets.
Unsurprisingly, huge providers of professional services are becoming more critical in addressing different business issues. Numerous Fortune 500 and Big Four organizations are working with blockchain technology and cryptocurrency services to address interoperability, regulatory uncertainty, technology development, and consensus models.
The Big Four firms are crucial to the growth of the crypto ecosystem, according to Henri Arslanian, global head of crypto at PwC. Despite the trustless philosophy of Bitcoin, he claimed that the business still needs trustworthy authorities to promote growth.
Three years ago, when Arslanian joined PwC, he noticed that few people were enthusiastic about cryptocurrencies. However, the company’s Hong Kong office started accepting Bitcoin payments two years ago due to the enormous development he predicted. As a result, PwC has 200 workers across 20 countries on its crypto teams.
Over the past 18 months, according to Arslanian, they have engaged in more than 300 transactions in the bitcoin market. The crypto experts at PwC provide assurance and auditing in addition to tax and accounting services. Arslanian says, “Over the past three months, our work has greatly increased.” PwC has completed a $14 million series of fundraising for cryptocurrencies. An investment in a crypto business with connections to Asia. In addition, PwC does audits for the BC Group, a publicly traded bitcoin company based in Hong Kong. The user experience is enhanced when bitcoin trading is done through the right program, such as the BitQT trading platform.
The Value of Audits
The Big Four firms are essential for auditing blockchain and cryptocurrency businesses. The company’s CEO, Hugh Madden, claims that PwC has been BC Group’s primary auditor for the past two years. The leading holding company for the publicly traded fintech and digital asset company is OSL. According to Madden, BC aims to exploit digital assets in the Asian investment market.
The firm needs to establish compliance, performance, and security requirements. According to Madden, audits give stakeholders assurance that companies adhere to industry standards and operate clearly, much like regulations. As digital assets develop, increase in value, and regulatory and compliance frameworks become more complex, the auditor’s role will remain crucial.
Furthermore, Madden noted that it is difficult for a company specializing in digital assets to conduct an audit since it requires methodology, value, coverage of both digital assets and cash, and proof of control. Additionally, financial records are independently verified against blockchain data that is accessible to the whole public.
Earlier this year, a survey on the usefulness of blockchain knowledge and audits for finance leaders was performed by KPMG and Forbes Insights. According to 79% of these professionals, their auditors ought to offer perspective on how blockchain technology would affect their businesses.
An organization’s blockchain system should be created to meet both accounting and professional needs, as well as legal requirements and accounting standards, according to Erich Braun, the US leader of KPMG’s blockchain audit practice. Blockchain technology will be necessary for SEC issuers to improve internal financial control within their organizations.
A blockchain must show that it can achieve its objectives in a controlled setting to be effective. The main advantages of auditing, such as increased effectiveness and cost savings, cannot be achieved by a system that is not auditable.