The Future of Payments: The Role of Crypto Assets in Shaping Trust

Nina Frausing; Michel Avital

The Future of Payments: The Role of Crypto Assets in Shaping Trust

Department of Digitalization

Research output: Chapter in Book/Report/Conference proceeding › Article in proceedings › Research › peer-review

Abstract

Crypto assets are code-based digital assets that are implemented using cryptographic techniques and reside in distributed transactional databases. Crypto assets embed technology-based trust mechanisms that rely on software rather than intermediaries to validate and process transactions. The spread and exponential growth of crypto assets challenge existing institutional frameworks that facilitate trust in payments. This short paper aims to explore how the emergence of crypto assets affects the trust mechanisms in the payment ecosystem. Building on archival data, opinion papers, and participant observation, the preliminary findings show that existing institutional arrangements are incapable of enforcing trust-facilitating measures for crypto assets. Subsequently, we argue that realigning technology-based and institution-based trust mechanisms will provide a better landscape for the future of the retail payments ecosystem.

Original language	English
Title of host publication	Proceedings of the 42nd International Conference on Information Systems (ICIS)
Editors	Anitesh Barua, Ryan Wright, Atreyi Kankanhalli, Xitong Li, Shaila Miranda
Number of pages	9
Place of Publication	Atlanta, GA
Publisher	Association for Information Systems. AIS Electronic Library (AISeL)
Publication date	2021
Article number	2177
ISBN (Electronic)	9781733632591
Publication status	Published - 2021
Event	The 42nd International Conference on Information Systems: ICIS 2021: Building Sustainability and Resilience With is: A Call for Action - Austin, United States Duration: 12 Dec 2021 → 15 Dec 2021 Conference number: 42 https://icis2021.aisconferences.org/

Conference

Conference	The 42nd International Conference on Information Systems: ICIS 2021
Number	42
Country/Territory	United States
City	Austin
Period	12/12/2021 → 15/12/2021
Internet address	https://icis2021.aisconferences.org/

Series	Proceedings of the International Conference on Information Systems
ISSN	0000-0033

Keywords

Crypto assets
Trust
Institution-based trust
Technology-based trust
Distributed ledger technology
Payments

Access to Document

https://aisel.aisnet.org/icis2021/fintech/fintech/13/Licence: Unspecified

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Cite this

Frausing, N., & Avital, M. (2021). The Future of Payments: The Role of Crypto Assets in Shaping Trust. In A. Barua, R. Wright, A. Kankanhalli, X. Li, & S. Miranda (Eds.), Proceedings of the 42nd International Conference on Information Systems (ICIS) Article 2177 Association for Information Systems. AIS Electronic Library (AISeL). https://aisel.aisnet.org/icis2021/fintech/fintech/13/

Frausing, Nina ; Avital, Michel. / The Future of Payments : The Role of Crypto Assets in Shaping Trust. Proceedings of the 42nd International Conference on Information Systems (ICIS). editor / Anitesh Barua ; Ryan Wright ; Atreyi Kankanhalli ; Xitong Li ; Shaila Miranda. Atlanta, GA : Association for Information Systems. AIS Electronic Library (AISeL), 2021. (Proceedings of the International Conference on Information Systems).

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title = "The Future of Payments: The Role of Crypto Assets in Shaping Trust",

abstract = "Crypto assets are code-based digital assets that are implemented using cryptographic techniques and reside in distributed transactional databases. Crypto assets embed technology-based trust mechanisms that rely on software rather than intermediaries to validate and process transactions. The spread and exponential growth of crypto assets challenge existing institutional frameworks that facilitate trust in payments. This short paper aims to explore how the emergence of crypto assets affects the trust mechanisms in the payment ecosystem. Building on archival data, opinion papers, and participant observation, the preliminary findings show that existing institutional arrangements are incapable of enforcing trust-facilitating measures for crypto assets. Subsequently, we argue that realigning technology-based and institution-based trust mechanisms will provide a better landscape for the future of the retail payments ecosystem.",

keywords = "Crypto assets, Trust, Institution-based trust, Technology-based trust, Distributed ledger technology, Payments, Crypto assets, Trust, Institution-based trust, Technology-based trust, Distributed ledger technology, Payments",

author = "Nina Frausing and Michel Avital",

year = "2021",

language = "English",

series = "Proceedings of the International Conference on Information Systems",

editor = "Anitesh Barua and Ryan Wright and Atreyi Kankanhalli and Xitong Li and Shaila Miranda",

booktitle = "Proceedings of the 42nd International Conference on Information Systems (ICIS)",

publisher = "Association for Information Systems. AIS Electronic Library (AISeL)",

note = "The 42nd International Conference on Information Systems: ICIS 2021 : Building Sustainability and Resilience With is: A Call for Action, ICIS 2021 ; Conference date: 12-12-2021 Through 15-12-2021",

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Frausing, N & Avital, M 2021, The Future of Payments: The Role of Crypto Assets in Shaping Trust. in A Barua, R Wright, A Kankanhalli, X Li & S Miranda (eds), Proceedings of the 42nd International Conference on Information Systems (ICIS)., 2177, Association for Information Systems. AIS Electronic Library (AISeL), Atlanta, GA, Proceedings of the International Conference on Information Systems, The 42nd International Conference on Information Systems: ICIS 2021, Austin, Texas, United States, 12/12/2021. <https://aisel.aisnet.org/icis2021/fintech/fintech/13/>

The Future of Payments: The Role of Crypto Assets in Shaping Trust. / Frausing, Nina; Avital, Michel.
Proceedings of the 42nd International Conference on Information Systems (ICIS). ed. / Anitesh Barua; Ryan Wright; Atreyi Kankanhalli; Xitong Li; Shaila Miranda. Atlanta, GA: Association for Information Systems. AIS Electronic Library (AISeL), 2021. 2177 (Proceedings of the International Conference on Information Systems).

Research output: Chapter in Book/Report/Conference proceeding › Article in proceedings › Research › peer-review

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T2 - The 42nd International Conference on Information Systems: ICIS 2021

AU - Frausing, Nina

AU - Avital, Michel

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N2 - Crypto assets are code-based digital assets that are implemented using cryptographic techniques and reside in distributed transactional databases. Crypto assets embed technology-based trust mechanisms that rely on software rather than intermediaries to validate and process transactions. The spread and exponential growth of crypto assets challenge existing institutional frameworks that facilitate trust in payments. This short paper aims to explore how the emergence of crypto assets affects the trust mechanisms in the payment ecosystem. Building on archival data, opinion papers, and participant observation, the preliminary findings show that existing institutional arrangements are incapable of enforcing trust-facilitating measures for crypto assets. Subsequently, we argue that realigning technology-based and institution-based trust mechanisms will provide a better landscape for the future of the retail payments ecosystem.

AB - Crypto assets are code-based digital assets that are implemented using cryptographic techniques and reside in distributed transactional databases. Crypto assets embed technology-based trust mechanisms that rely on software rather than intermediaries to validate and process transactions. The spread and exponential growth of crypto assets challenge existing institutional frameworks that facilitate trust in payments. This short paper aims to explore how the emergence of crypto assets affects the trust mechanisms in the payment ecosystem. Building on archival data, opinion papers, and participant observation, the preliminary findings show that existing institutional arrangements are incapable of enforcing trust-facilitating measures for crypto assets. Subsequently, we argue that realigning technology-based and institution-based trust mechanisms will provide a better landscape for the future of the retail payments ecosystem.

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KW - Trust

KW - Institution-based trust

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KW - Distributed ledger technology

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KW - Institution-based trust

KW - Technology-based trust

KW - Distributed ledger technology

KW - Payments

M3 - Article in proceedings

T3 - Proceedings of the International Conference on Information Systems

BT - Proceedings of the 42nd International Conference on Information Systems (ICIS)

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PB - Association for Information Systems. AIS Electronic Library (AISeL)

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Frausing N, Avital M. The Future of Payments: The Role of Crypto Assets in Shaping Trust. In Barua A, Wright R, Kankanhalli A, Li X, Miranda S, editors, Proceedings of the 42nd International Conference on Information Systems (ICIS). Atlanta, GA: Association for Information Systems. AIS Electronic Library (AISeL). 2021. 2177. (Proceedings of the International Conference on Information Systems).