Blockchain in E-Commerce: Assessing Key Factors, Consumer Perceptions, and Implementation Challenges

With the advancement in technology and purchasing methods evolving, the e-commerce industry is experiencing rapid growth and development. E-commerce platforms empower businesses of all sizes to reach a broader audience by selling products and promoting their brands. However, traditional e-commerce faces challenges, including fraud, payment disputes, data security issues, and limited transparency, which, combined with unreliable product information, have weakened consumers’ confidence. This highlights the need for solutions that can enhance transactional transparency and build trust. Blockchain technology offers the feasibility to adapt e-commerce by increasing the security and efficiency of transactions. Through a decentralized network, blockchain allows users to securely store and share digital assets, enabling buyers to verify product details, such as origin and source, while reducing fraud risk. Although blockchain adoption in e-commerce is still emerging, it presents promising benefits. This paper explores the role of block-chain in ecommerce transactions and also the challenges within ecommerce transactions. The study also determines the various factors that affect the use of blockchain in e-commerce transactions. In order to achieve the research objectives, the data was collected using a structured questionnaire and was analyzed by using the statistical tool SPSS 20.0. The data was collected from 178 respondents. Factor Analysis was done using Principal Component Analysis and it was found that there were five factors: confidentiality of data, trust, transparency, willingness and privacy and intricacies which affects the blockchain technology on E commerce transactions for the consumers, with a total of 61.45% variation in the data set. The study shows that the determined factors affect the role of blockchain technology in e-commerce transactions for consumers.