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DOI:  https://doi.org/10.36719/2706-6185/46/234-238

Rahim Zamanov

University of Siena, Italy

Master student

https://orcid.org/0009-0007-5623-5617

zrahim@internet.ru

 

Transformation of Accounting in the Challenging Context of Digital Era

 

Abstract

 

This paper explores the transformation of accounting in the context of the digital era, where rapid technological advancement and changing socio-economic dynamics are reshaping the role, methodology, and conceptual framework of accounting. The traditional view of accounting as a static, compliance-driven practice is increasingly seen as insufficient in addressing the complexities of modern business environments. The paper analyzes emerging challenges, such as the declining relevance of conventional financial reporting, the rise of alternative performance indicators, and the need to account for intangible and non-financial assets. Special attention is given to the impact of digital technologies on the recognition, valuation, and taxonomy of new digital assets—including tokens and usage rights—as well as the dual role of accounting in both reflecting and generating digital data. The study also emphasizes the importance of a multiparadigmatic approach to accounting theory, incorporating elements of functionalism, constructivism, and critical theory to better align with the evolving demands of society and the economy. Overall, the research underscores the necessity of expanding the scope and functions of accounting to maintain its relevance and utility in the digital and knowledge-based economy.

Keywords: accounting, digital transformation, traditional financial reporting, digital data, digital accounting


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