Formation of a financial management system in the development industry based on digital financial technologies

Abstract

Subject. The article considers the financial management system in the context of the use of digital financial technologies. Objectives. The main goal of the study is to create new financial management tools for use in construction to improve the efficiency of transaction control based on digital FinTech. Methods. The study attempts to analyze the potential possibility of creating a financial management system in construction projects, based on solutions generated by FinTech and implemented in construction, using the Blockchain technology. Results. The introduction of Blockchain will help all construction project participants to safely make transactions without the involvement of third parties, based on a smart contract. The proposed approach enables stakeholders (real estate buyers) to control the remaining financial obligations between interested parties, i.e. participants in business transactions. The main result is the presentation of new tools for a decentralized financial management system that reduce the risks of losses in operational and financial activities of the developer, and this is extremely important in conditions of external market volatility. Conclusions. This study presents provisions that substantiate the potential possibility of using new tools for a decentralized financial management system based on digital financial technologies that reduce the developer’s risks.