Exploring the Role of Blockchain Attributes in Automating Payments in the Construction Sector: A Systematic Review

Abstract

This systematic literature review analyses the impact of blockchain attributes on the automation of payments within the construction industry, where delays, disagreements, and insufficient transparency have historically impeded performance and confidence. Thirty-seven studies sourced from Scopus and Web of Science were examined in accordance with PRISMA guidelines to identify five principal themes namely smart contracts and payment automation, enabling technologies and data integration, financial mechanisms and cash flow, supply chain visibility and provenance, and adoption with governance considerations. The results demonstrate that blockchain-enabled smart contracts especially when integrated with BIM, IoT, and reality capture, facilitate precise, automated, and transparent payment procedures that diminish disputes and improve efficiency. Blockchain-based financial instruments like project bank accounts and tokenised settlements, enhance liquidity and cash flow management. Nonetheless, technical immaturity, interoperability deficiencies, regulatory ambiguity, and cultural resistance persist in hindering implementation. Blockchain exhibits significant potential to synchronise construction payment systems with the goals of Construction 4.0, subject upon the advancement of solid governance frameworks and pilot implementations.