Preliminary study: blockchain and its challenge in the construction industry

• Main Authors: Rosli, Muhammad Ariff Najmie, Che Haron, Roziha
• Format: Article
• Language: English
• Published: Universiti Tun Hussein Onn Malaysia (UTHM) 2024
• Subjects: T10.5 Communication of technical information
• Online Access: http://irep.iium.edu.my/114176/7/114176_%20Preliminary%20study%20blockchain.pdf; http://irep.iium.edu.my/114176/; https://publisher.uthm.edu.my/periodicals/index.php/rmtb/article/view/16052; https://doi.org/10.30880/rmtb.2024.05.01.108

Despite the growing complexity of construction projects, stemming from diverse disciplines, the risk of human error and delay continues to escalate. Malaysia's construction industry needs to develop new organizational and efficiency tools to gain a competitive advantage. The Construction 4.0 Strategic Plan identifies 12 disruptive technologies, including blockchain, which is a key area for advancement. Blockchain is a decentralized ledger technology that secures, verifies, and maintains transactions on a peer-to-peer network. Despite blockchain's potential benefits fo the construction industry and its status as a disruptive innovation, its adoption rate has not met market expectations. This is dueto the lack of understanding and support for blockchain technology, as well as the absence of transparent laws and regulations, contribute to the slow adoption. In addition, the high investment costs and slowstakeholder receptivity also hinder the full adoption of blockchain in the construction industry. Therefore, the purpose of this study is to provide a preliminary understanding of blockchain technology and its challenges in adoption for the construction industry.