Blockchain Adoption Challenges and Enablers in Indian Financial Institutions: An Empirical Investigation Using TOE Framework
DOI:
https://doi.org/10.64882/ijrt.v14.iS1.1113Keywords:
Blockchain Adoption, Financial Institutions, TOE Framework, PLS-SEM, Emerging Economies, SmartPLSAbstract
Blockchain technology has emerged as a transformative digital innovation with the potential to enhance transparency, security, efficiency, and trust in financial transactions. Despite increasing academic and industry interest, blockchain adoption among financial institutions remains limited, particularly in emerging economies such as India. This study examines the key challenges and enablers influencing blockchain adoption in Indian financial institutions by employing the Technology–Organization–Environment (TOE) framework. A quantitative, explanatory research design was adopted, and primary data were collected from managers, IT heads, and compliance officers working in banks, non-banking financial companies (NBFCs), and fintech firms. The data were analysed using Partial Least Squares–Structural Equation Modelling (PLS-SEM) through SmartPLS software. The empirical findings indicate that organizational factors specifically top management support, organizational readiness, and employee competence exert the strongest influence on blockchain adoption intention, followed by technological factors such as security assurance and system integration compatibility. Environmental factors, including regulatory support and competitive pressure, also significantly affect adoption decisions, while market uncertainty acts as a deterrent. The study provides robust empirical validation of the TOE framework in the blockchain context and extends organizational technology adoption literature by offering context-specific insights from the Indian financial sector. The findings have important implications for policymakers, regulators, and financial institutions aiming to design effective strategies for blockchain implementation.
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