A Multi-Layer Blockchain-Based Architecture for Secure and Efficient Cross-Border Digital Payments and Remittances
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Traditional cross-border payment systems suffer from significant inefficiencies, including high transaction costs averaging 7% per $200 transfer, settlement delays of one to five business days, limited transparency, and dependency on fragmented correspondent banking networks. These challenges disproportionately affect low-income individuals and small businesses engaged in international remittances. Existing governance and infrastructure frameworks have failed to provide a scalable, cost-efficient, and transparent alternative. This paper proposes a multi-layer blockchain-based architecture designed to address these limitations. The proposed system integrates an application layer (mobile and web interfaces built with Flutter and Angular), a database layer (MySQL, Redis, and Apache Tomcat), a blockchain layer (Proof-of-Work consensus with SHA-256 hashing and ECDSA digital signatures), and a settlement layer (digital wallet-driven fund transfers). A mixed-method study involving 54 survey respondents and two expert interviews validates the design rationale. Findings indicate that 53.7% of respondents are willing to adopt blockchain-based remittance systems, and 35.2% believe blockchain can address traditional cross-border payment challenges. The proposed architecture demonstrates how decentralised, immutable, and transparent transaction processing can reduce intermediary dependency, lower costs, and improve settlement efficiency in global payment infrastructure.
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