Blockchain, Bitcoin, Cryptocurrency, Mining. Wherever you look on the internet you hear these terms. So where do bitcoins come from? With paper money, a government decides when to print and distribute money. Bitcoin doesn’t have a central government. In very simple terms, Bitcoin miners use special software to solve math problems and are issued a certain number of bitcoins in exchange. This provides a smart way to issue the currency and also creates an incentive for more people to mine.

Blockchain is an accounting technology. It is concerned with the transfer of ownership of assets, and maintaining a ledger of accurate financial information.

Accountants will not need to be engineers with detailed knowledge of how Blockchain works. But they will need to know how to advise on Blockchain adoption and consider the impact of Blockchain on their businesses and clients. Accountants’ skills will need to expand to include an understanding of the principle features and functions of Blockchain.