A BLOCKCHAIN-BASED SYSTEM towards OVERCOMING FRAUD in FINANCIAL INSTITUTIONS

摘要

© 2021 Little Lion ScientificOne of the key activities of financial institutions is lending, the lending activities are dependent on trust between clients and financial institutions. Financial institutions are continuously in the process of growing and expanding to meet the needs of their clients. Therefore, they need to establish an integrated system to reduce risks, and improve lending processes. This paper proposes a new blockchain system architecture, which provides a feasible solution for overcoming fraud in financial institutions through secure exchange of existing and potential client data. The proposed system architecture was implemented and evaluated using real data of National Microfinance Bank (NMB) clients in Jordan. The results show that the system architecture has a strong security level and makes it difficult for attackers to impersonate a legitimate validator, and high performance in terms of less time needed to validate, upload, and appending transactions and blocks to blockchain system.