Chapter 11: Cryptocurrency and Financial Crimes Financial Accounting Implications

Nowadays, increasing attention is being paid to issues related to the challenges and opportunities of handling cryptocurrencies in financial statements by financial professionals, including accountants, internal auditors, external auditors, managers, and financial analysts. To provide information on this topic, the study aims to identify the relationship between cryptocurrencies as a subject of increasing financial crimes (accounting fraud) on the one hand and the role of financial professionals in preventing fraud on the other. An analytical–statistical approach is used to analyze how the growth of the cryptocurrency market and their use has an effect on the growth of financial crimes and accounting fraud. The sample consists of 200 observations from financial professionals. The analysis of the collected data was carried out through the SPSS v.26 statistical program, where two variables were tested: the independent variable (X) the use of cryptocurrencies and the dependent variable (Y) financial crimes (accounting fraud). The findings show that financial crimes stemming from the use of cryptocurrencies are positively correlated.

This positive correlation is shown by countries characterized by weak judicial processes, low transparency due to the greater possibility of fraud, lack of knowledge in implementing and adapting to cryptocurrency standards, and lack of interest on the part of financial professionals in examining cryptocurrency issues, which remain issues of concern.