The Accountant Quits Podcast Episode 4 | Juan Ignacio Ibañez on Triple Entry Accounting
All of you will be familiar with a double entry accounting framework, the bookkeeping system where all debits must be equal to the amounts entered as credits.
But even if your accounts are balanced, that does not necessarily mean the reporting figures are free from misstatements, whether due to fraud or error. Which is the reason why audits are required.
Triple Entry Accounting allows for a shared ledger and with the advent of blockchain, this shared ledger can now be trusted due to the inherent features of cryptography.
When I first read Triple Entry Accounting,I had the firm conviction that if what this accounting framework promises in theory could be applied in practice, it can be set to revolutionize the future of bookkeeping.
In this episode, we discuss;
- The limitations of the current double entry accounting system;
- What triple entry accounting really means and how blockchain has made the idea viable;
- Use cases and examples of companies building business applications using the framework of triple entry accounting;
- Challenges and solutions to accelerate adoption of triple entry accounting;
- And many more...
My guest for the episode, Juan Ignacio Ibañez is the Centre Administrator and a Research Associate at the Centre for Blockchain Technologies of the University College of London.
Juan has spent the last few years studying various aspects of triple-entry accounting with blockchain, and has co-written several papers on the subject matter.
The papers are;
- The Efficiency of Single Truth: Triple-entry Accounting
- REA, Triple-Entry Accounting and Blockchain: Converging Paths to Shared Ledger Systems
- Triple-entry Accounting, Blockchain and Next of Kin: Towards a Standardization of Ledger Terminology
You will find all the shownotes, transcripts and links to the episode on the website of The Accountant Quits.