{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,1,30]],"date-time":"2026-01-30T05:32:11Z","timestamp":1769751131052,"version":"3.49.0"},"reference-count":66,"publisher":"Emerald","issue":"5","license":[{"start":{"date-parts":[[2023,12,22]],"date-time":"2023-12-22T00:00:00Z","timestamp":1703203200000},"content-version":"tdm","delay-in-days":0,"URL":"https:\/\/www.emerald.com\/insight\/site-policies"}],"content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":["INTR"],"published-print":{"date-parts":[[2024,9,30]]},"abstract":"<jats:sec><jats:title content-type=\"abstract-subheading\">Purpose<\/jats:title><jats:p>Ethereum-based blockchain technology (EBT) affords members of the Enterprise Ethereum Alliance (EEA) a market advantage in deploying blockchain within their organizations, including cybersecurity and operational benefits, that leads firms to strategically invest in this nascent technology. However, the impact of such strategic investments in EBT has yet to be explored in the context of its relationship to firm value. Therefore, this study explores EBT-specific firm-level characteristics that result in a stock market reaction to announcements of strategic investments.<\/jats:p><\/jats:sec><jats:sec><jats:title content-type=\"abstract-subheading\">Design\/methodology\/approach<\/jats:title><jats:p>The authors use the event study methodology, strategic investment literature and signaling theory as contextualizing frameworks for their study. Additionally, the authors explore a new method for examining technology investments as a strategic counter to cybersecurity threats.<\/jats:p><\/jats:sec><jats:sec><jats:title content-type=\"abstract-subheading\">Findings<\/jats:title><jats:p>Firms that signal to the market their strong commitment to their strategic investment by developing an EBT proof of concept see significantly higher market returns. Firms that have had prior cybersecurity incidents are rewarded by the market for strategically investing in EBT, and when firms with large undistributed free cash flows utilize this cash for strategic EBT investment, the market is more likely to reward these firms, indicating the market views EBT investment positively in these circumstances.<\/jats:p><\/jats:sec><jats:sec><jats:title content-type=\"abstract-subheading\">Originality\/value<\/jats:title><jats:p>The results of this study provide new evidence of the value impact of EBT for firms that suffered cybersecurity events in the past. The authors provide empirical evidence of firm-level characteristics that investors use to discern whether a strategic investment in EBT will drive organizational value. Likewise, the authors demonstrate how signaling affects investor perceptions of strategic information technology (IT) investments in EBT.<\/jats:p><\/jats:sec>","DOI":"10.1108\/intr-08-2022-0591","type":"journal-article","created":{"date-parts":[[2023,12,20]],"date-time":"2023-12-20T10:51:22Z","timestamp":1703069482000},"page":"1775-1799","source":"Crossref","is-referenced-by-count":6,"title":["Wealth effects of firm's strategic technology investments: evidence\u00a0from Ethereum blockchain"],"prefix":"10.1108","volume":"34","author":[{"ORCID":"https:\/\/orcid.org\/0000-0002-2299-3854","authenticated-orcid":false,"given":"Kane","family":"Smith","sequence":"first","affiliation":[],"role":[{"role":"author","vocabulary":"crossref"}]},{"given":"Manu","family":"Gupta","sequence":"additional","affiliation":[],"role":[{"role":"author","vocabulary":"crossref"}]},{"ORCID":"https:\/\/orcid.org\/0000-0001-8135-9928","authenticated-orcid":false,"given":"Puneet","family":"Prakash","sequence":"additional","affiliation":[],"role":[{"role":"author","vocabulary":"crossref"}]},{"given":"Nanda","family":"Rangan","sequence":"additional","affiliation":[],"role":[{"role":"author","vocabulary":"crossref"}]}],"member":"140","published-online":{"date-parts":[[2023,12,22]]},"reference":[{"issue":"1","key":"key2024092806303502800_ref001","doi-asserted-by":"publisher","first-page":"15","DOI":"10.1016\/s0167-9236(97)00006-7","article-title":"The antecedents and consequents of user perceptions in information technology adoption","volume":"22","year":"1998","journal-title":"Decision Support Systems"},{"issue":"1","key":"key2024092806303502800_ref002","doi-asserted-by":"publisher","first-page":"1","DOI":"10.1186\/s40854-023-00456-8","article-title":"Effect of blockchain technology initiatives on firms' market value","volume":"9","year":"2023","journal-title":"Financial Innovation"},{"key":"key2024092806303502800_ref003","doi-asserted-by":"publisher","first-page":"153","DOI":"10.1016\/j.ecolecon.2015.06.024","article-title":"What drives households to buy flood insurance? New evidence from Georgia","volume":"117","year":"2015","journal-title":"Ecological Economics"},{"issue":"3","key":"key2024092806303502800_ref004","doi-asserted-by":"publisher","first-page":"727","DOI":"10.1111\/fima.12336","article-title":"Blockchain speculation or value creation? Evidence from corporate investments","volume":"50","year":"2020","journal-title":"Financial Management"},{"issue":"4","key":"key2024092806303502800_ref005","doi-asserted-by":"publisher","first-page":"976","DOI":"10.1111\/j.1937-5956.2012.01387.x","article-title":"Stock market reaction to green vehicle innovation","volume":"22","year":"2013","journal-title":"Production and Operations Management"},{"issue":"5","key":"key2024092806303502800_ref006","doi-asserted-by":"publisher","first-page":"1519","DOI":"10.2308\/accr-10093","article-title":"Informed trading and the market reaction to accounting restatements","volume":"86","year":"2011","journal-title":"Accounting Review"},{"issue":"2","key":"key2024092806303502800_ref007","doi-asserted-by":"publisher","first-page":"1","DOI":"10.1016\/j.jeconom.2022.12.004","article-title":"A penalized two-pass regression to predict stock returns with time-varying risk premia","volume":"237","year":"2023","journal-title":"Journal of Econometrics"},{"issue":"1","key":"key2024092806303502800_ref008","doi-asserted-by":"publisher","first-page":"225","DOI":"10.1287\/isre.2017.0718","article-title":"Reexamining the market value of information technology events","volume":"29","year":"2018","journal-title":"Information Systems Research"},{"issue":"6","key":"key2024092806303502800_ref009","doi-asserted-by":"publisher","first-page":"381","DOI":"10.1007\/s12599-017-0505-1","article-title":"Blockchain technology in business and information systems research","volume":"59","year":"2017","journal-title":"Business Information Systems Engineering"},{"issue":"6","key":"key2024092806303502800_ref010","doi-asserted-by":"publisher","first-page":"508","DOI":"10.1016\/j.jaccpubpol.2018.10.003","article-title":"Cybersecurity awareness and market valuations","volume":"37","year":"2018","journal-title":"Journal of Accounting and Public Policy"},{"issue":"7","key":"key2024092806303502800_ref011","doi-asserted-by":"publisher","first-page":"1008","DOI":"10.1287\/mnsc.45.7.1008","article-title":"Information technology effects on firm performance as measured by Tobin's q","volume":"45","year":"1999","journal-title":"Management Science"},{"issue":"3","key":"key2024092806303502800_ref012","doi-asserted-by":"publisher","first-page":"753","DOI":"10.1016\/j.dss.2013.03.001","article-title":"The impact of adoption of identity theft countermeasures on firm value","volume":"55","year":"2013","journal-title":"Decision Support Systems"},{"issue":"4","key":"key2024092806303502800_ref013","doi-asserted-by":"publisher","first-page":"455","DOI":"10.1002\/(sici)1097-0266(200004)21:4<455::aid-smj83>3.0.co;2-p","article-title":"The free cash flow hypothesis for sales growth and firm performance","volume":"21","year":"2000","journal-title":"Strategic Management Journal"},{"issue":"1","key":"key2024092806303502800_ref014","doi-asserted-by":"publisher","first-page":"57","DOI":"10.1111\/j.1540-6261.1997.tb03808.x","article-title":"On persistence in mutual fund performance","volume":"52","year":"1997","journal-title":"The Journal of Finance"},{"issue":"4","key":"key2024092806303502800_ref015","doi-asserted-by":"publisher","first-page":"651","DOI":"10.1016\/j.dss.2010.08.017","article-title":"Firms' information security investment decisions: stock market evidence of investors' behavior","volume":"50","year":"2011","journal-title":"Decision Support Systems"},{"issue":"1","key":"key2024092806303502800_ref016","doi-asserted-by":"publisher","first-page":"43","DOI":"10.2307\/3250958","article-title":"Examining the shareholder wealth effects of announcements of newly created CIO positions","volume":"25","year":"2001","journal-title":"MIS Quarterly"},{"issue":"2","key":"key2024092806303502800_ref017","doi-asserted-by":"publisher","first-page":"7","DOI":"10.1080\/07421222.2002.11045723","article-title":"The shareholder-wealth and trading-volume effects of information-technology infrastructure investments","volume":"19","year":"2002","journal-title":"Journal of Management Information Systems"},{"issue":"3","key":"key2024092806303502800_ref018","doi-asserted-by":"publisher","first-page":"82","DOI":"10.2307\/3666215","article-title":"Market response to product-strategy and capital-expenditure announcements in Singapore: investment opportunities and free cash flow","volume":"26","year":"1997","journal-title":"Financial Management"},{"issue":"11","key":"key2024092806303502800_ref019","doi-asserted-by":"publisher","first-page":"1747","DOI":"10.1016\/s0378-4266(99)00103-x","article-title":"Investment opportunities, free cash flow and market reaction to international joint ventures","volume":"24","year":"2000","journal-title":"Journal of Banking and Finance"},{"issue":"3","key":"key2024092806303502800_ref020","doi-asserted-by":"publisher","first-page":"969","DOI":"10.1086\/429650","article-title":"The wealth effect of new product introductions on industry rivals","volume":"78","year":"2005","journal-title":"Journal of Business"},{"issue":"3","key":"key2024092806303502800_ref021","doi-asserted-by":"publisher","first-page":"639","DOI":"10.1016\/j.ejor.2011.05.038","article-title":"Strategic investment under uncertainty: a synthesis","volume":"215","year":"2011","journal-title":"European Journal of Operational Research"},{"issue":"6-10","key":"key2024092806303502800_ref022","first-page":"71","article-title":"Blockchain technology: beyond bitcoin","volume":"2","year":"2016","journal-title":"Applied Innovation"},{"issue":"4","key":"key2024092806303502800_ref023","doi-asserted-by":"publisher","first-page":"316","DOI":"10.1080\/00031305.1990.10475751","article-title":"A suggestion for using powerful and informative tests of normality","volume":"44","year":"1990","journal-title":"American Statistician"},{"issue":"1","key":"key2024092806303502800_ref024","doi-asserted-by":"publisher","first-page":"27","DOI":"10.5465\/256895","article-title":"Impact of strategic alliances on firm valuation","volume":"41","year":"1998","journal-title":"Academy of Management Journal"},{"issue":"4","key":"key2024092806303502800_ref025","doi-asserted-by":"publisher","first-page":"637","DOI":"10.2307\/30036551","article-title":"The value relevance of announcements of transformational information technology investments","volume":"27","year":"2003","journal-title":"MIS Quarterly"},{"issue":"4","key":"key2024092806303502800_ref026","doi-asserted-by":"publisher","first-page":"41","DOI":"10.1080\/07421222.2000.11518265","article-title":"Information technology payoff in the healthcare industry: a\u00a0longitudinal study","volume":"16","year":"2000","journal-title":"Journal of Management Information Systems"},{"issue":"1","key":"key2024092806303502800_ref027","doi-asserted-by":"publisher","first-page":"1","DOI":"10.1287\/isre.4.1.1","article-title":"The impact of information technology investment announcements on the market value of the firm","volume":"4","year":"1993","journal-title":"Information Systems Research"},{"issue":"5","key":"key2024092806303502800_ref028","doi-asserted-by":"publisher","first-page":"1318","DOI":"10.1108\/itp-05-2018-0252","article-title":"Cybersecurity economics\u2013balancing operational security spending","volume":"32","year":"2019","journal-title":"Information Technology and People"},{"issue":"1","key":"key2024092806303502800_ref029","doi-asserted-by":"publisher","first-page":"55","DOI":"10.1111\/j.1540-6261.1996.tb05202.x","article-title":"Multifactor explanations of asset pricing anomalies","volume":"51","year":"1996","journal-title":"The Journal of Finance"},{"issue":"1","key":"key2024092806303502800_ref030","doi-asserted-by":"publisher","first-page":"1","DOI":"10.2307\/2525569","article-title":"The adjustment of stock prices to new information","volume":"10","year":"1969","journal-title":"International Economic Review"},{"issue":"2","key":"key2024092806303502800_ref031","doi-asserted-by":"publisher","first-page":"2188","DOI":"10.1109\/jiot.2018.2882794","article-title":"Blockchain technologies for the internet of things: research issues and challenges","volume":"6","year":"2018","journal-title":"IEEE Internet of Things Journal"},{"key":"key2024092806303502800_ref032","doi-asserted-by":"publisher","first-page":"1","DOI":"10.1016\/j.ijinfomgt.2019.10.014","article-title":"Blockchain as a disruptive technology for business: a systematic review","volume":"51","year":"2020","journal-title":"International Journal of Information Management"},{"issue":"2","key":"key2024092806303502800_ref033","doi-asserted-by":"publisher","first-page":"503","DOI":"10.1111\/fima.12274","article-title":"Cybersecurity breaches and cash holdings: spillover effect","volume":"49","year":"2020","journal-title":"Financial Management"},{"issue":"4","key":"key2024092806303502800_ref034","doi-asserted-by":"publisher","first-page":"1211","DOI":"10.2307\/2118361","article-title":"Internal versus external capital markets","volume":"109","year":"1994","journal-title":"Quarterly Journal of Economics"},{"issue":"3","key":"key2024092806303502800_ref035","doi-asserted-by":"publisher","first-page":"567","DOI":"10.2307\/25750692","article-title":"Market value of voluntary disclosures concerning information security","volume":"34","year":"2010","journal-title":"MIS Quarterly"},{"issue":"2","key":"key2024092806303502800_ref036","doi-asserted-by":"publisher","first-page":"483","DOI":"10.2308\/accr.2010.85.2.483","article-title":"Correcting for cross-sectional and time-series dependence in accounting research","volume":"85","year":"2010","journal-title":"The Accounting Review"},{"key":"key2024092806303502800_ref037","doi-asserted-by":"publisher","first-page":"146","DOI":"10.1016\/j.jimonfin.2013.02.003","article-title":"Equity issue-specific versus broad regulatory protections against expropriation risk: international evidence from SEOs","volume":"35","year":"2013","journal-title":"Journal of International Money and Finance"},{"issue":"2","key":"key2024092806303502800_ref038","doi-asserted-by":"publisher","first-page":"1","DOI":"10.25300\/misq\/2022\/16355","article-title":"Evaluating information technology investments: insights from executive's trades","volume":"46","year":"2022","journal-title":"MIS Quarterly"},{"issue":"3","key":"key2024092806303502800_ref039","doi-asserted-by":"publisher","first-page":"597","DOI":"10.1111\/fire.12334","article-title":"Political connections of Chinese fund management companies and fund performance","volume":"58","year":"2023","journal-title":"Financial Review"},{"issue":"1","key":"key2024092806303502800_ref040","doi-asserted-by":"publisher","first-page":"209","DOI":"10.1016\/s0377-2217(01)00377-0","article-title":"Strategic investment in technological innovations","volume":"144","year":"2003","journal-title":"European Journal of Operational Research"},{"issue":"1","key":"key2024092806303502800_ref041","doi-asserted-by":"publisher","first-page":"103","DOI":"10.1287\/isre.12.1.103.9718","article-title":"Research report: a reexamination of IT investment and the market value of the firm","volume":"12","year":"2001","journal-title":"Information Systems Research"},{"issue":"4","key":"key2024092806303502800_ref042","doi-asserted-by":"publisher","first-page":"305","DOI":"10.1016\/0304-405x(76)90026-x","article-title":"Theory of the firm: managerial behavior, agency costs and ownership structure","volume":"3","year":"1976","journal-title":"Journal of Financial Economics"},{"issue":"3","key":"key2024092806303502800_ref043","doi-asserted-by":"publisher","first-page":"133","DOI":"10.2308\/isys-52628","article-title":"Do voluntary disclosures mitigate the cybersecurity breach contagion effect?","volume":"34","year":"2020","journal-title":"Journal of Information Systems"},{"issue":"5","key":"key2024092806303502800_ref044","doi-asserted-by":"publisher","first-page":"1","DOI":"10.3390\/su12051739","article-title":"Are the blockchain-based patents sustainable for increasing firm value?","volume":"12","year":"2020","journal-title":"Sustainability"},{"issue":"1","key":"key2024092806303502800_ref045","doi-asserted-by":"publisher","first-page":"46","DOI":"10.1111\/poms.13609","article-title":"When blockchain creates shareholder value: empirical evidence from international firm announcements","volume":"31","year":"2022","journal-title":"Production and Operations Management"},{"key":"key2024092806303502800_ref046","doi-asserted-by":"publisher","DOI":"10.1016\/j.frl.2022.103557","article-title":"Innovative efficiency and firm value: evidence from China","volume":"52","year":"2023","journal-title":"Finance Research Letters"},{"issue":"10","key":"key2024092806303502800_ref047","doi-asserted-by":"publisher","first-page":"1027","DOI":"10.1016\/j.telpol.2017.09.003","article-title":"Blockchain's roles in strengthening cybersecurity and protecting privacy","volume":"41","year":"2017","journal-title":"Telecommunications Policy"},{"issue":"8","key":"key2024092806303502800_ref048","doi-asserted-by":"publisher","first-page":"1021","DOI":"10.1287\/mnsc.44.8.1021","article-title":"Strategic growth options","volume":"44","year":"1998","journal-title":"Management Science"},{"issue":"4","key":"key2024092806303502800_ref049","doi-asserted-by":"publisher","first-page":"455","DOI":"10.1111\/jpim.12284","article-title":"Enhancing stock market return with new product preannouncements: the role of information quality and innovativeness","volume":"33","year":"2016","journal-title":"Journal of Product Innovation Management"},{"issue":"3","key":"key2024092806303502800_ref050","doi-asserted-by":"publisher","first-page":"771","DOI":"10.1111\/j.1540-6261.1989.tb04390.x","article-title":"Free cash flow and stockholder gains in going private transactions","volume":"44","year":"1989","journal-title":"The Journal of Finance"},{"issue":"2","key":"key2024092806303502800_ref051","doi-asserted-by":"publisher","first-page":"699","DOI":"10.1007\/s11156-019-00804-9","article-title":"Share repurchases and accounting conservatism","volume":"54","year":"2020","journal-title":"Review of Quantitative Finance and Accounting"},{"key":"key2024092806303502800_ref052","doi-asserted-by":"publisher","first-page":"62","DOI":"10.1016\/j.jnca.2019.02.027","article-title":"Blockchain in healthcare applications: research challenges and opportunities","volume":"135","year":"2019","journal-title":"Journal of Network and Computer Applications"},{"key":"key2024092806303502800_ref053","unstructured":"Microsoft News Center (2019), \u201cJ.P. Morgan and Microsoft announce a strategic partnership to drive enterprise adoption of Quorum\u201d, available at: https:\/\/news.microsoft.com\/2019\/05\/02\/j-p-morgan-and-microsoft-announce-strategic-partnership-to-drive-enterprise-adoption-of-quorum\/(accessed on 2 May 2019)."},{"issue":"2","key":"key2024092806303502800_ref054","first-page":"75","article-title":"Assessing the economic worth of new product pre\u2010announcement signals: theory and empirical evidence","volume":"10","year":"2002","journal-title":"Journal of Product and Brand Management"},{"issue":"8","key":"key2024092806303502800_ref055","doi-asserted-by":"publisher","first-page":"542","DOI":"10.17705\/1jais.00466","article-title":"Do shareholders value green information technology announcements?","volume":"18","year":"2017","journal-title":"Journal of the Association for Information Systems"},{"issue":"2","key":"key2024092806303502800_ref056","doi-asserted-by":"publisher","first-page":"187","DOI":"10.1016\/s0304-405x(98)00022-1","article-title":"Share repurchases and firm performance: new evidence on the agency costs of free cash flow","volume":"49","year":"1998","journal-title":"Journal of Financial Economics"},{"issue":"2","key":"key2024092806303502800_ref057","doi-asserted-by":"publisher","first-page":"145","DOI":"10.1287\/isre.1060.0084","article-title":"ERP investments and the market value of firms: toward an understanding of influential ERP project variables","volume":"17","year":"2006","journal-title":"Information Systems Research"},{"issue":"3","key":"key2024092806303502800_ref058","doi-asserted-by":"publisher","first-page":"659","DOI":"10.1007\/s10796-013-9451-8","article-title":"Investments in enterprise integration technology: an event study","volume":"17","year":"2015","journal-title":"Information Systems Frontiers"},{"issue":"1","key":"key2024092806303502800_ref059","doi-asserted-by":"publisher","first-page":"84","DOI":"10.1016\/j.lrp.2007.02.005","article-title":"Strategic options and games in analyzing dynamic technology investments","volume":"40","year":"2007","journal-title":"Long Range Planning"},{"issue":"6","key":"key2024092806303502800_ref060","doi-asserted-by":"publisher","first-page":"833","DOI":"10.1108\/mf-06-2019-0314","article-title":"Assessing blockchain potential for improving the cybersecurity of financial transactions","volume":"46","year":"2019","journal-title":"Managerial Finance"},{"issue":"3","key":"key2024092806303502800_ref061","doi-asserted-by":"publisher","first-page":"468","DOI":"10.1509\/jmkr.44.3.468","article-title":"New product preannouncements and shareholder value: don't make promises you can't keep","volume":"44","year":"2007","journal-title":"Journal of Marketing Research"},{"key":"key2024092806303502800_ref062","doi-asserted-by":"publisher","first-page":"49","DOI":"10.1016\/j.dss.2015.04.011","article-title":"Allocation of resources to cyber-security: the effect of misalignment of interest between managers and investors","volume":"75","year":"2015","journal-title":"Decision Support Systems"},{"issue":"3","key":"key2024092806303502800_ref063","doi-asserted-by":"publisher","first-page":"47","DOI":"10.1509\/jmkg.66.3.47.18508","article-title":"Technological opportunism and radical technology adoption: an application to e-business","volume":"66","year":"2002","journal-title":"Journal of Marketing"},{"issue":"4","key":"key2024092806303502800_ref064","doi-asserted-by":"publisher","first-page":"513","DOI":"10.1007\/s11747-016-0507-4","article-title":"When do the stock market returns to new product preannouncements predict product performance? Empirical evidence from the US automotive industry","volume":"45","year":"2017","journal-title":"Journal of the Academy of Marketing Science"},{"issue":"3","key":"key2024092806303502800_ref065","doi-asserted-by":"publisher","first-page":"149","DOI":"10.17705\/1jais.00223","article-title":"Systematic differences in firm's information technology signaling: implications for research design","volume":"11","year":"2010","journal-title":"Journal of the Association for Information Systems"},{"key":"key2024092806303502800_ref066","first-page":"180","volume-title":"Decentralizing Privacy: Using Blockchain to Protect Personal Data","year":"2015"}],"container-title":["Internet Research"],"original-title":[],"language":"en","link":[{"URL":"https:\/\/www.emerald.com\/insight\/content\/doi\/10.1108\/INTR-08-2022-0591\/full\/xml","content-type":"application\/xml","content-version":"vor","intended-application":"text-mining"},{"URL":"https:\/\/www.emerald.com\/insight\/content\/doi\/10.1108\/INTR-08-2022-0591\/full\/html","content-type":"unspecified","content-version":"vor","intended-application":"similarity-checking"}],"deposited":{"date-parts":[[2025,7,24]],"date-time":"2025-07-24T21:36:41Z","timestamp":1753393001000},"score":1,"resource":{"primary":{"URL":"http:\/\/www.emerald.com\/intr\/article\/34\/5\/1775-1799\/1224171"}},"subtitle":[],"short-title":[],"issued":{"date-parts":[[2023,12,22]]},"references-count":66,"journal-issue":{"issue":"5","published-online":{"date-parts":[[2023,12,22]]},"published-print":{"date-parts":[[2024,9,30]]}},"alternative-id":["10.1108\/INTR-08-2022-0591"],"URL":"https:\/\/doi.org\/10.1108\/intr-08-2022-0591","relation":{},"ISSN":["1066-2243"],"issn-type":[{"value":"1066-2243","type":"print"}],"subject":[],"published":{"date-parts":[[2023,12,22]]}}}