Identifying Multiple Peer Influences on Smart Contract Adoption in Blockchain User Network

32 Pages Posted: 4 Jun 2019

See all articles by Xudong Cai

Xudong Cai

Xi'an Jiaotong University (XJTU)

Xi Zhao

School of Management; School of Management, Xi'an Jiaotong University

Bin Zhang

Texas A&M University

Gengzhong Feng

Xi'an Jiaotong University (XJTU)

Date Written: May 14, 2019

Abstract

Smart contract brings more versatile functions in blockchain technology. However, its adoption rate is not as high as expected. Currently, there is not thorough study addressing the issue. To fill such gap, we propose to use social influence to explain smart contract adoption in blockchain user network. We explore whether and how different types of social influences, including centrality, direct peer adoption, and indirect peer adoption simultaneously affect an individual’s adoption decision of smart contracts. Our hypotheses are examined in the context of CryptoKitties adoption in the Ethereum network using the public dataset of Ethereum including 350 million transactions from over 20 million distinct accounts. The results show that the adoption of the software is positively affected by degree centrality and direct peer adoption and is negatively affected by indirect peer adoption. The results provide strong evidence of social influence on smart contract adoption through various mechanisms.

Keywords: blockchain, smart contracts, technology adoption, peer influence

Suggested Citation

Cai, Xudong and Zhao, Xi and Zhao, Xi and Zhang, Bin and Feng, Gengzhong, Identifying Multiple Peer Influences on Smart Contract Adoption in Blockchain User Network (May 14, 2019). Available at SSRN: https://ssrn.com/abstract=3387794 or http://dx.doi.org/10.2139/ssrn.3387794

Xudong Cai

Xi'an Jiaotong University (XJTU) ( email )

26 Xianning W Rd.
Xi'an Jiao Tong University
Xi'an, Shaanxi 710049
China
18392886804 (Phone)

Xi Zhao

School of Management ( email )

26 Xianning W Rd.
Xi'an Jiao Tong University
Xi'an, Shaanxi 710049
China

School of Management, Xi'an Jiaotong University ( email )

26 Xianning W Rd.
Xi'an Jiao Tong University
Xi'an, Shaanxi 710049
China

Bin Zhang

Texas A&M University ( email )

210 Olsen Blvd
330E Wehner
College Station, TX 77843
United States
(979) 458-1759 (Phone)

Gengzhong Feng (Contact Author)

Xi'an Jiaotong University (XJTU) ( email )

26 Xianning W Rd.
Xi'an Jiao Tong University
Xi'an, Shaanxi 710049
China

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