Document Type
Article
Publication Date
2024
Keywords
Blockchain Technology Application, Financial Literacy, Financial Risk, Mediation Analysis, Financial Institutions
Abstract
This study explores the mediating effect of financial literacy on the relationship between blockchain technology application and financial risk among financial institution professionals in Ghana. Utilizing a correlational research design, data were collected from a sample of 336 professionals through a self-constructed Likert-scale questionnaire. The analysis was conducted using path analysis and mediation techniques. The findings reveal that financial literacy had a significant partial mediating effect between blockchain technology application and financial risk, accounting for 26.0% of the total effect. The direct negative effect of blockchain technology applications on financial risk also remained significant, highlighting the independent contribution of blockchain technology applications to reducing financial risk. These results underscore the importance of financial literacy in enhancing the effectiveness of blockchain technology applications in mitigating financial risks. The study emphasizes the need for comprehensive financial literacy programs to maximize the benefits of technological advancements in the financial sector. Empirical evidence from related literature supports the findings, indicating that higher financial literacy enables better utilization of blockchain technology applications, thereby reducing financial risk. The research provides insights for policymakers aiming to improve financial literacy and leverage blockchain technology applications for financial risk management.
Journal Title
International Journal of Economics and Financial Issues
Volume
14
Issue
6
First Page
239
Last Page
249
DOI
10.32479/ijefi.17170
First Department
School of Business Administration
Recommended Citation
Mensah, Maxwell Okpoti and Peprah, Williams Kwasi peprah@andrews.edu, "The Mediating Effect of Financial Literacy on Blockchain Technology Application and Financial Risk: Insight from Ghanaian Professionals Toward Policy Recommendations" (2024). Faculty Publications. 5403.
https://digitalcommons.andrews.edu/pubs/5403
Acknowledgements
Open access article retrieved November 3, 2025, from https://econjournals.com/index.php/ijefi/article/view/17170/8337