Beyond a Fistful of Tumblers: Toward a Taxonomy of Ethereum-based Mixers

2023 | International Conference on Information Systems | Citations: 0

Authors: Barbereau, Tom; Ermolaev, Egor; Brennecke, Martin; Hartwich, Eduard; Sedlmeir, Johannes

Abstract: The role played by decentralised services in the obfuscation of crypto-asset tr ... Expand

Abstract: The role played by decentralised services in the obfuscation of crypto-asset transactions performed on transparent blockchains has increasingly captured the attention of regulators. This is exemplified by the headlines about the U.S. Treasury's sanctions on the Ethereum-based mixer Tornado Cash. Yet, despite the existing controversies on the use of mixers, the different functionalities of these information systems with an inherent dark side remain to be explored by the literature. So far, contributions primarily encompass technical works and studies that focus on the Bitcoin ecosystem. This paper puts forward a multi-layer taxonomy of the smart-contract-based -and, therefore, functionally richer -family of mixers on Ethereum. Our proposed taxonomy is grounded on (1) a review of existing literature, (2) an analysis of mixers' project documentation, (3) their corresponding smart contracts, and (4) expert interviews. Our evaluation included the application of the taxonomy to two mixers -RAILGUN and zkBob. The taxonomy represents a valuable tool for law enforcement, regulators, and other stakeholders to explore critical properties affecting compliance and use of Ethereum-based mixers. Collapse

Topics: Ethereum smart contract cryptoasset blockchain user experience

Methods: qualitative interview theoretical contribution mixed method

The Returns to Nonmarket Strategies During Institutional Transitions: Investor Reactions to Actor and Tie Characteristics

2023 | Organization Science | Citations: 0

Authors: Gatignon, Aline; Gama, Marina A. B.; DeMello, Rodrigo B.

Abstract: We explain how investor perceptions of nonmarket strategies’ legitimacy, and the ... Expand

Abstract: We explain how investor perceptions of nonmarket strategies’ legitimacy, and thereby value, change during institutional transitions toward greater legal compliance. Indirect influence strategies should be better aligned with the transition and therefore become more legitimate than those associated with direct co-optation and control. Moreover, investors should assess this alignment based on two defining characteristics of firms’ nonmarket strategies, namely, the nonmarket actors and the ties involved. We, therefore, expect investors to value firms’ ties to nongovernmental organizations (NGOs) more than to political actors and ties formed via donations more than board ties. We test our hypotheses in the context of seven police raids that took place in Brazil in 2014; these raids launched “Operation Car Wash,” an anticorruption probe that signaled to investors a shift toward greater legal compliance at that point in time. Ultimately, we find that firms benefited the most when both nonmarket actors and ties were aligned with the institutional transition (i.e., NGO donations), and they suffered the most when both characteristics were misaligned (i.e., political board ties). Our findings integrate nonmarket strategies’ political and social facets by showing how actor and tie characteristics jointly explain their success or failure. They also contribute to explaining which firms will be better positioned to weather institutional transitions between legal capture and legal compliance. Funding: This work was supported by Getúlio Vargas Pesquisa-Fundação Getúlio Vargas; Govil Family Faculty Scholar Award; Wharton School, University of Pennsylvania. Supplemental Material: The online appendices are available at https://doi.org/10.1287/orsc.2022.1616. Collapse

Topics: database system corporate governance financial performance accounting corporate social responsibility

Methods: Wald test robustness check qualitative interview statistical hypothesis test theory development

The role of web browsing in credit risk prediction

2023 | Decision Support Systems | Citations: 0

Authors: Rozo, Betty Johanna Garzon; Crook, Jonathan; Andreeva, Galina

Abstract: Online mail order and online retail purchases have increased rapidly in recent y ... Expand

Abstract: Online mail order and online retail purchases have increased rapidly in recent years worldwide, with Covid-19 forcing almost all non-grocery shopping to move online. These practices have facilitated the availability of new data sources, such as web behavioural variables providing scope for innovation in credit risk analysis and de­ cision practices. This paper examines new web browsing variables and incorporates them into survival analysis as predictors of probability of default (PD). Using a large sample of purchase and repayment credit accounts from a major digital retailer and financial services provider, we show that these new variables enhance the predictive accuracy of probability of default (PD) models at account level. This also holds in the absence of credit bureau data, therefore, the new information can help people who may not have a credit history (thin file) who cannot be assessed using traditional variables. Moreover, we leverage on the dynamic nature of these new web variables and explore their predictive value in short and long- term horizons. By adding macroeconomic variables, the possibility for stress-testing is provided. Our empirical findings provide insights into web browsing behaviour, highlight how the inclusion of non-standard variables can improve credit risk scoring models and lending de­ cisions and may provide a solution to the thin files problem. Our results also suggest a direct value added to the online retail credit industry as firms should leverage the increasing trend of consumers embracing the digital environment. Collapse

Topics: website mobile system electronic commerce personality risk management

Methods: machine learning survival analysis parametric test hazard function Student's t-test

AN INVESTIGATION INTO THE ROLE OF DATA GOVERNANCE IN IMPROVING DATA QUALITY: A CASE STUDY OF THE OMANI BANKING SECTOR

2022 | European Conference On Information Systems | Citations: 0

Authors: Al Wahshi, Jihad; Foster, Jonathan; Abbott, Pamela

Abstract: In the era of big data analytics, data is widely recognised as a valuable asset ... Expand

Abstract: In the era of big data analytics, data is widely recognised as a valuable asset that can enable organisations to achieve their strategic objectives. Despite that, banks are still struggling to maintain high-quality data. Prior studies show that a data governance programme can play a critical role in improving data quality. It can provide data quality professionals with a holistic approach to formally define policies, procedures and decision rights required for managing data quality in a more systematic manner. However, few empirical studies were conducted in this area. Therefore, the present paper aims to close this gap by investigating the data quality problem in the Omani banking industry to understand how various data governance mechanisms can address this issue. The study adopted a qualitative case study with semi-structured interviews and document reviews being used to collect data. A theoretical framework by Abraham et al. (2019) was adopted to guide the collection and analysis of the data. A thematic analysis (TA) by Braun and Clark was followed for data analysis. Findings of the study suggest that the data governance mechanisms, namely 'performance measurement', 'compliance monitoring' and 'training', have positively contributed to mitigating data quality issues in the Omani banking sector. Collapse

Topics: data quality data governance business intelligence Sarbanes–Oxley Act data management

Methods: qualitative interview case study personal interview field study qualitative content analysis

Capital shortfall: A multicriteria decision support system for the identification of weak banks

2021 | Decision Support Systems | Citations: 0

Authors: Tsagkarakis, Minas-Polyvios; Doumpos, Michalis; Pasiouras, Fotios

Abstract: Following the 2007–2008 global financial crisis, regulators introduced a series ... Expand

Abstract: Following the 2007–2008 global financial crisis, regulators introduced a series of supervisory tools for the closer monitoring of financial institutions. Among them, stress tests and capital exercises performed by the Federal Reserve System (Fed) and the European Banking Authority/European Central Bank (EBA/ECB) play a critical role in the surveillance of the U.S. and the European banking sector. However, due to their nature, these exercises are time consuming. Therefore, we propose the use of a multicriteria based decision support system (DSS) to model and predict the regulatory decisions and outcomes of the above-mentioned exercises. Thus, the proposed approach can be employed by regulators as an early-warning system (EWS) for the continuous, automated, and timely identification of weak banks in need of capitalization, as well as by bank managers and risk analysts as a tool for capital management and strategic planning. Collapse

Topics: decision support system corporate governance decision support logistics management accounting

Methods: machine learning logistic regression longitudinal survey longitudinal research regression analysis method

How Regulations Affect Startup Locations: Evidence from Initial Coin Offerings

2021 | International Conference on Information Systems | Citations: 0

Authors: Zhou, Yingxin; Kim, Keongtae

Abstract: This study is an examination of initial coin offerings (ICOs), a new form of in ... Expand

Abstract: This study is an examination of initial coin offerings (ICOs), a new form of investment, using a fairly comprehensive dataset of 4,380 ICOs operating from 2017 to 2019. Specifically, we study whether ICO project creators' decisions on remaining in or leaving the countries of origin are affected by the ICO policy status of countries. Findings indicate that countries having ICO regulations are more likely to both retain and attract ICO projects. The effects are stronger for high-quality projects that value long-term stability than low-quality projects that may be fraudulent. The findings have implications for ICO regulators and startups by enhancing understandings of conditions that will retain and attract ICO projects. Collapse

Topics: cryptocurrency logistics management blockchain initial coin offering missing data

Methods: experimental group regression analysis method synthetic control method computational algorithm robustness check

Theories: theory of economic development

RiskRank to predict systemic banking crises with common exposures

2018 | HICSS | Citations: 0

Authors: Sarlin, Peter; Finland, RiskLab; Giudici, Paolo; Spelta, Alessandro

Abstract: Systemic risk has remained at the nexus of macrofinancial research and policymak ... Expand

Abstract: Systemic risk has remained at the nexus of macrofinancial research and policymaking in most parts of the world. Much of the attention has focused on understanding implication of the interconnectedness of financial markets. Instead of focusing only on networks, we use and test the utility of network structures in a novel way. We use RiskRank as a framework to test the use of networks of financial systems, and particularly focus on testing the utility of the network dimension of common exposures (funding composition and portfolio overlap). RiskRank provides an ideal playground for testing the extent to which direct and common exposures perform in capturing transmission of financial crises. The results in this paper highlight the importance of common exposures. We show that funding and portfolio composition overlap are significant channels of contagion and should be accounted for when measuring systemic risk. Collapse

Topics: database system risk management financial information system

Methods: machine learning time series analysis longitudinal research

TOWARDS A MEASUREMENT SCALE FOR SELFTRACKING: ATTITUDES AND USER CHARACTERISTICS

2016 | European Conference On Information Systems | Citations: 0

Authors: Kupfer, Anna

Abstract: Self -tracking, or the desire to quantify one's own behaviour by means of pers ... Expand

Abstract: Self -tracking, or the desire to quantify one's own behaviour by means of personal information systems, has developed from a niche activity for early adopters to a mass phenomenon. Despite its increasing spread in society, however, little is known about the drivers of technology adoption and use in this specific domain. Addressing this gap, the research-in-progress at hand aims to (1) theorize on the role of self-tracking attitudes -defined as specific consumer attitudes in the self-tracking context, and (2) present a research plan with the goal of developing a self-report scale capable to measure selftracking attitudes. We present the results of a first literature review and of 24 explorative expert interviews conducted to identify relevant cognitive, affective and conative concepts related to self-tracking attitudes. The results constitute a first step to develop a measurement scale that aims to contribute to adoption research and the development of successful self-tracking systems. Collapse

Topics: usability human computer interaction personality blog Facebook

Methods: qualitative interview literature study survey design qualitative content analysis personal interview

Theories: information systems theory technology acceptance model

Prevention or Panic: Design and Evaluation of a Crime Prevention IS

2015 | International Conference on Information Systems | Citations: 3

Authors: Cvijikj, Irena Pletikosa; Kadar, Cristina; Ivan, Bogdan; Te, Funk

Abstract: Crime prevention is one of the major challenges of modern society that can be ad ... Expand

Abstract: Crime prevention is one of the major challenges of modern society that can be addressed by IS. Yet, research in the direction of design principles, perception and implications of crime prevention IS is limited. In this paper we design and evaluate a system to support individuals in increasing their safety. We build upon concepts shown to be effective for crime prevention from several literature streams, deriving six main design principles: (1) information provision, (2) community involvement, (3) preventive tips provision, (4) targeted notifications, (5) gamification and (6) social media integration. We evaluate the proposed system from three perspectives: (1) effect of dissemination of crime information over fear of crime, (2) technology acceptance and its relation to fear of crime, and (3) usage motivations. Our results indicate that the proposed system does not increase the fear of crime. Instead, it holds a potential to motivate its users to undertake preventive measures. Collapse

Topics: criminality technology adoption usage intention usability human computer interaction

Methods: design artifact design principle survey parametric test design process

Theories: extended unified theory of acceptance and use of technology

Institutionalizing operational risk management: an empirical study

2014 | Journal of Information Technology | Citations: 5

Authors: Hsu, Carol; Backhouse, James; Silva, Leiser

Abstract: This paper examines the development of operational risk management (ORM) in a fi ... Expand

Abstract: This paper examines the development of operational risk management (ORM) in a financial organization, focusing in particular on the role of IT in institutionalizing the new regime. Through an interpretive case study in a major US financial institution, the paper uses Giddens’ structuration theory to examine how it adjusts to the demands of protecting itself against new operational risks. The discussion and results of our study are expressed in three propositions: (1) the regulatory context and technological development affect the shape and the outcome of ORM; (2) implementing ORM is a process of reflexive monitoring and transforming organizational practices in a financial institution; (3) the role of IT in ORM is contingent on the extant organizational structure and on the choice of risk management approach. Collapse

Topics: risk management information system use organizational memory organization structure technological change

Methods: case study qualitative interview literature study theory development field study

Theories: structuration theory