The life cycle of institutions and digital technologies: mutual influence

Digital technologies are a prime example of innovation due to the end-to-end nature of their application and their comprehensive impact on all sectors of the economy. New technologies create new institutions and rely on them. Their mutual influence on each other has not been sufficiently studied: how the life cycle of institutions is built under the influence of technological progress. The article clarifies the stages of the life cycle of institutions, which are influenced by the implemented technologies. The results of the study showed that the development of the institutional environment is based on cyclical changes in the degree of freedom to use new technologies. The increase in the capabilities of users of innovation products is accompanied by an increase in the level of economic and legal risks, which requires a turn in the development of the institutional trajectory. The revealed trend makes it possible to predict the development of the institutional environment and assess the need to introduce new institutions.