Extending the Theory of Technology: A Tripartite Framework for Blockchain Technology and Sustainable Innovation

Despite the recognition of Blockchain Technology’s disruptive potential, there is ongoing debate about its ontological and axiomatic foundations. This study develops a theoretical framework to explain the underline structural principles of blockchain technology through the lens of Arthur’s theory of technology, and the framework is developed through adopting Narrative Literature Review. By integrating conceptual analysis with a structural examination of Ethereum, this study reveals that blockchain technology is not a single invention but a composite technological system developed through recursive interactions among sub-technologies. The proposed framework identifies three interrelated structural patterns—the Combinatorial Pattern of Components elucidating blockchain technology’s structural ontology, the Capturing Pattern of Algorithms revealing the operational source of its innovation, and the Recursive Pattern of Technologies characterizing its inner logical structure of components—that together explain blockchain technology’s generative and evolving nature. The study extends Arthur’s theory by clarifying the “technology within technology” dynamic that underlies blockchain technology innovation. The Ethereum case confirms the framework’s applicability and generalizability, showing that blockchain systems, despite their diversity, share a consistent structural logic. Beyond its theoretical contribution, the framework offers practical guidance for sustainable technological innovation. It provides analytical support for designing blockchain-based applications’ architectures that enhance transparency, efficiency, and adaptability, contributing to the sustainable evolution of digital technologies.