Blockchain-Powered e-Wallet: Enhancing Security and Fraud Detection in Online Payments
Dong Bui-Huu, Tan Le-Nhat, Khuong Nguyen-An · 2024
Cashless payment has been emphasized in many countries, especially since the outbreak of the COVID-19 pandemic. Various payment methods have emerged, among which electronic wallets (e-wallets) have become a popular online payment method due to their convenience, flexibility, and time and cost savings for users. However, alongside the growth in the number and value of transactions, e-wallets face challenges from increasingly sophisticated and complex security threats, fraud, and forgery, originating both internally and externally, causing severe financial losses and diminishing customer trust. To ensure the safety of e-wallet, we propose an architecture developed based on the permissioned blockchain platform-Hyperledger Fabric, following a microservice model with high-performance APIs that can be easily integrated into e-wallet systems at an optimal cost without requiring complex infrastructure investments. Thanks to blockchain's immutable, transparent, and decentralized storage nature, this solution effectively monitors and supports real-time fraud detection and forgery prevention, ensuring the safety, security, and integrity of users' online payment transactions. Furthermore, this solution also provides users with immediate notifications via Email or SMS when an attack or fraud is detected on the e-wallet.