Deloitte, EY, KPMG and PwC will cooperate with a consortium of 20 banks to simplify the auditing process for public companies.
Big four auditing firms Deloitte, EY, KPMG and PwC will cooperate with a consortium of 20 Taiwanese banks to pilot a new blockchain based system for auditing financial reports of public companies.
The platform will allow auditing firms to review transactions of public firms using a verifiable and tamper-proof network of data stored on a distributed ledger, as well as streamline and automate the confirmation process. Under Taiwan’s existing system, external confirmations with third parties to verify the financial health of publicly-listed companies are conducted manually.
The blockchain-based platform was developed by Taiwan’s FISC (Financial Information Service Co), created under the Ministry of Finance to act as its information technology arm and later established as an independent body, in cooperation with 20 banks which will serve as validators of the data.
According to reports, the participating banks include Tuyin, Beifu Yin, Cathay World Bank, Taichung Bank, Kaohsiung Silver, Xinguangyin, Yongfeng Silver, Yuanda Yin, Yushan Silver, China Trust, Heku, Yinyin, Huayin, Zhangyin, Shanghai Commercial Bank, Zhaofeng, Taiwan Enterprise Bank, Kaiji and Taixin.
According to the FISC, the new platform will reduce confirmation times from two weeks currently to “within a day”. The platform is expected to expand to more than 1,400 public companies starting next year.