Blockchain Based Architecture and Solution for Secure Digital Payment System
Mohammad Rasheed Ahmed, Kandala Meenakshi, Mohammad S. Obaidat, Ruhul Amin, Pandi Vijayakumar
Abstract
With the evolution of Internet Technology, payment methods have undergone drastic changes from entity exchange to Internet banking. Almost every sector has gone through the transformation from conventional technologies to digital technologies. With the arrival of online payment and digital wallet system, making payments has become easier than ever and with the increasing demand for such services, the number of users using instant money transfer systems are growing rapidly. However, the existing online payment system has issues like a single point of failure, transparency, and insider problem. Also, security in such online payments is crucial to mitigate risks and financial inefficiencies. In this paper, a private and permissioned Blockchain-based Payment System for the financial sector in India is proposed. The proposed architecture is based on Istanbul Byzantine Fault Tolerance (IBFT) consensus and it also discusses the integration of banks with the system.