Armanino is launching the world’s first software application for real-time business auditing attestation called TrustExplorer 2.0. Currently, the company operates as one of the world’s largest independent accounting and business consulting firms.
TrustExplorer 2.0 is based on blockchain technology and is the first phase in Armanino’s initiative to deploy immutable and real-time auditing. Matt Armanino, CEO of Armanino LLP, claims, “[TrustExplorer 2.0] offers a transformational improvement over the current audit practices…attestation reporting windows are reduced from 30 days down to 30 seconds.”
What is Auditing Attestation?
According to Investopedia, auditing attestation is an independent review of a company’s financial statement conducted by a certified public accountant (CPA), who then delivers an attestation report with conclusions about the reliability of the data.
Attestation standards can be found at the world’s largest member association representing the accounting profession, the American Institute of Certified Public Accountants (AICPA). Currently, the AICPA provides guidance on blockchain technology that assists in attestation reporting here.
Why Does Real-Time Matter in Attestation Services?
Real-time auditing reports allow auditors to make more informed strategic decisions on both historical financial events and future company operations. Risk assessment and ongoing accuracy occurs through the automated and continual collection of financial records.
Andries Verschelden, partner and Blockchain practice leader at Armanino, explains:
“TrustExplorer 2.0 serves as our roadmap for how to take immutable tamper-resistant systems like blockchains, and harness them. To provide attestation opinions both in real time and with accuracy that cannot be contaminated by human error. This is a clear-cut example of how blockchain technology is already changing business processes to optimize accuracy, security and speed.”
Competitors to TrustExplorer 2.0?
Currently, there are no enterprise-level competitors utilizing distributed ledger technology. This includes applications for computer assisted auditing techniques (CAATS) capable of constructing a continuous, 24/7 auditing environment. However, OpenTimestamps is a blockchain-agnostic protocol that creates timestamp proofs based on a Certificate Authority (CA) issued by the governing body of a blockchain. OpenTimestamps defines a set of operations for creating provable blockchain timestamps and later independently verifying them. OpenTimestamps allows for third party auditability. Furthermore, it is suitable for regulatory prescriptions. While the technology allows for audit verification, it makes no mention of real-time capabilities.