Transaction System Based on Blockchain Technology using Smart Contract

Abstract

Blockchain is a peer-to-peer distributed ledger technology, nowadays widely used and a hot topic in the industries. A Smart Contract is a virtual contract based on Blockchain technology which executes and operates between two parties (especially a buyer and a dealer) when a certain condition of the contract is met. The objective of this research is to present a decentralized transaction system based on Blockchain technology implemented using Smart Contract. Blockchain based cryptocurrencies are an evidence for a secure implementation of any currency-based centralized systems put forth in use in a decentralized way. Current transaction systems and payment gateways are centralized systems that need monitoring and verification from a central agency like a bank or a third party organization which are not completely automated as some of the processes are human controlled. Also deposition and withdrawal of money sometimes take a long procedural time. Still these systems are neither completely error free nor secure and time to time certain issues may arise. Even nowadays some payment methods charges transaction fee which is like paying for the money you are paying for. In this research paper we are proposing an automated Ethereum blockchain technology based transactionsystem which will eliminate the bank and third party verification.Each block of the Ethereum blockchain in the system will store the transaction details also linked with all the previous transaction details in the form of a chain. A Smart Contract is used to define the terms and conditions of the transaction which include account creation, ether deposition and withdrawal. This system enables users to carry out transaction without any fraud and losses from anywhere around the globe within split seconds. Keywords: Transaction system ,Blockchain, Smart Contract, decentralized,crypto-currency