INNOVATIVE BLOCKCHAIN TECHNOLOGY AS A FACTOR OF ECONOMIC DEVELOPMENT

Abstract

In the era of digitalization of the world economy, the main resource is comprehensive, reliable, truthful and upto-date information. The field of the information technology has become a producer of innovations that are beginning to be widely used outside their industry.The research paper considers the innovative blockchain technology, which has been tested in the financial sector using cryptocurrency. Its scope is not limited to the financial sector, it creates social networks, online voting systems, various applications for supply chain control, and etc. Generally, this technology is becoming a factor in the transformation of relations 'state-business', 'business-business', 'population-state', as well as a modern factor of economic development at all hierarchical levels of the economy. The main task of blockchain technology was to ensure trust in society that eliminates confidence by default, as trust is a necessary, but not sufficient, institutional factor for the development at the different levels of the economic system. The paper presents the areas of application of blockchain technologies, most of which were previously under the strict centralized state control, the advantages and disadvantages of this technology were identified. Blockchain technology is being considered from two sides: in terms of its ability to ensure efficiency and productivity at different levels of the national economy (efficiency function) and as an institutional technology - an innovative form of economic coordination that will be an alternative to established conservative forms. The paper shows the practical application of blockchain technology in Ukraine and prospects for its development.