Dynamic financial and monetary security risk assessment based on information service security assessment model and blockchain

www.nature.com/scientificreports OPEN Dynamic financial and monetary security risk assessment based on information service security assessment model and blockchain Jia Li With the rapid development of blockchain technology, the financial and monetary (FM) blockchain fields also began to collide. Therefore, this study aims to explore the relationship between the two fields and efficiently evaluate the security of financial information. Firstly, this study introduces the theoretical basis of blockchain in the dynamic linkage mechanism of FM and gives the overall framework of digital currency based on blockchain. Meanwhile, the relationship between blockchain and digital finance is empirically analyzed and designed. Secondly, the framework of financial information service security assessment (ISSA) is created using blockchain technology, and the frame of security risk evaluation is verified by taking electronic invoice information as the research object. Finally, the results show that: (1) foreign exchange (forex) events and major stock index decline events have a significant impact on the return of Bitcoin (BTC) in the short term. Moreover, more than 70% of uncertainty events will make BTC’s abnormal return (AR) significantly positive; (2) Under the influence of forex uncertainty events, only one BTC’s AR is remarkably negative in short order, while the other seven times are markedly positive. In the uncertainty events of major stock indexes, only two times are significantly negative, and the other six times are positive. This indicates that uncertain events in the short run make prominent AR of BTC; the proposed blockchain-based ISSA model and assessment index are scientific, feasible, and operable. Blockchain mainly comprises smart contracts and Ethereum (ETH)1,2. The smart contract is a code and data collection stored in the ETH blockchain with the contract account address3. It is a “trigger” that can be automatically executed on the distributed database. It can automatically execute peer-to-peer transaction processing and data operation when the contract conditions are met4,5. ETH improves the scalability of blockchain financial systems and lays a foundation for the birth of intelligent fi nance6,7. At present, the research on the dynamic linkage mechanism of financial and monetary (FM) and security risk assessment based on blockchain is a topic of widespread concern in academic and industrial circles. With blockchain technology’s continuous development and application, its role in the financial field is increasingly important. Blockchain technology, with its characteristics of decentralization and immutable information, provides strong support for applications such as digital currency (DC) and smart contracts. Besides, the financial field is closely related to blockchain technology, so the combination of blockchain technology and the financial field has become one of the hot spots in today’s research. However, with the advent of the digital age, traditional financial transactions face many challenges and problems, including low security and high-risk coefficients. These issues mainly stem from the centralized structure of traditional financial transactions and the reliance on third-party intermediaries. To address these issues and promote innovation and development in the financial industry, the main purpose of this study is to gain a deeper understanding of the relationship between blockchain technology and the financial market, and to provide a new trading model to overcome the problems of low security and high-risk coefficient in traditional financial transactions. Therefore, the research questions in this study are as follows. Firstly, the problems existing in traditional financial transactions are analyzed, including security and credibility challenges, and how these problems affect the stability and development of financial markets. Secondly, the application potential of blockchain technology in the financial field is explored, and how to improve the security and credibility of traditional financial transactions by introducing blockchain technology. Finally, the novelty of this study is introduced, involving the proposed security assessment model of financial information services and the in-depth study of the dynamic Northwest University, Xi’an 710127, China. email: Scientific Reports | (2023) 13:18707 | https://doi.org/10.1038/s41598-023-45977-5 1 Vol.:(0123456789) www.nature.com/scientificreports/ relationship between blockchain and the financial market, offering useful thinking and guidance for the future development of the financial industry. Based on the above findings, this study explores the dynamic linkage mechanism of blockchain-based financial markets to promote the innovation and development of the financial industry. Through the introduction of blockchain technology, the study aims to improve the security and credibility of traditional financial transactions and provides a security risk assessment framework and an information service security assessment model to enhance the information security and credibility of the financial market. By studying the relationship between blockchain and financial markets, this study offers some thinking and guidance for the future development path of finance. This study hopes to support the innovation and digital transformation of financial markets, provide financial institutions, government regulators, and investors with a safer and more credible financial trading environment, and promote the sustainable development of the financial industry. Literature review Many scholars have researched the application of blockchain in the FM field. Liu et al. studied the application prospect of smart contract automatic generation of blockchain in the financial field after multi-mode modeling8. Melo et al. further expanded the “debt-deflation” theory and comprehensively considered lenders in the analytical framework9. Pei and Li developed the relevant theory from the capital market perspective. He demonstrated the “Fire Sale” effect of debt liquidation from the two channels of monetary value and the wealth effect of asset price decline10. Abras et al. implemented a Financial Accelerator model according to the above theory. They developed a complete analytical framework for the self-reinforcing effect of deflation by combining information asymmetry theories and financial market imperfection11. To summarize, blockchain has two primary application paths in the FM fields. The first path was the development of original blockchain finance projects, represented by BTC, Ethereum, and available finance emerging in 2 01912. The second path was “finance + blockchain”. In other words, financial regulatory authorities represented by Central Banks adopted blockchain to improve administrative and regulatory efficiency. In contrast, traditional financial institutions designated by commercial banks used blockchain to improve process (...truncated)