The Impact of Blockchain Technology on Corporate ESG Performance: The Moderating Role of Digital Financial Innovation

This study investigates the relationship between blockchain technology adoption and corporate Environmental, Social, and Governance (ESG) performance, with a particular focus on the moderating effect of digital financial innovation. Using panel data from 5,000 firms in the CMARS database, we employ a fixed-effects model to analyze how blockchain implementation influences ESG metrics across different dimensions. Our findings reveal that blockchain adoption positively affects ESG performance, with the effect being more pronounced for environmental and governance dimensions. Furthermore, digital financial innovation significantly enhances this relationship, suggesting complementary effects between blockchain technology and innovative digital financial services. The results remain robust to alternative specifications, endogeneity corrections, and various sensitivity analyses. Our study contributes to the emerging literature on technological innovation and corporate sustainability by highlighting the mechanisms through which blockchain technology can drive improvements in ESG performance. These findings have important implications for corporate technology strategy, sustainability policy, and financial innovation.