Secured and delay-tolerant model for banking sector adopted in cheque processing based on smart contracts and processed on blockchain network

Abstract

The process of the cheque clearance system takes a long time, and trust a third-party intermediator to process them. But blockchain is immutable, forgery can be avoided, and transactions at each end are recorded in blockchain technology to avoid changes, so they remain permanently, which provides security. We have used smart contracts to automate the entire process. This paper proposes an Ethereum-based blockchain framework for cheque generation based on the token concept using smart contracts and processing them with a novel framework architecture replacing traditional processes. The improved model involves digital token using smart contracts, transferring the cheque to the beneficiary, approving the cheque by the bank, and updating the cheque status. The contracts are designed and aimed to be faster, more secure, and more convenient. The results showed that the proposed framework algorithm is linear to time complexity. The response time duration for processing contracts is reduced compared to the existing approach.