The Impact of Blockchain Integration on Supply Chain Finance Performance, Transparency, and Trust

Abstract

This study examined the impact of blockchain integration on supply chain finance (SCF) performance, transparency, and trust. With traditional SCF systems facing challenges such as delayed payments, information asymmetry, and transaction inefficiencies, blockchain technology offers decentralized, immutable, and real-time data sharing capabilities to enhance financial operations. A quantitative cross-sectional research design was employed, and data were collected from 312 professionals working in manufacturing, retail, and logistics sectors. Descriptive analysis, exploratory factor analysis, and structural equation modeling (SEM) were applied to assess relationships among blockchain adoption, SCF performance, transparency, and trust. Results indicated that blockchain adoption significantly improved SCF performance (mean = 4.08), transaction verification speed (mean = 4.02), and cost efficiency (mean = 3.95). Transparency increased as stakeholders accessed real-time and verifiable financial data (mean = 4.05), while trust among supply chain partners was strengthened (mean = 4.04) due to the system’s immutable and auditable records. These findings demonstrated that blockchain acts as a strategic enabler for enhancing operational efficiency, information sharing, and stakeholder confidence in SCF operations. The study contributes to theory and practice by providing empirical evidence of blockchain’s role in fostering performance and relational benefits in supply chains. Recommendations include strategic blockchain implementation, employee training, governance alignment, and continuous monitoring of performance metrics. Future research could explore cross-border adoption, integration with emerging technologies, and long-term impacts across different industries.