Online Digital Cheque Clearance and Verification System using Block Chain

Abstract

Cheque Truncation System (CTS) is an image-based cheque clearing framework used in Sri Lanka. This semi manual process has
certain limitations and takes up to 3 working days to clear an inter-bank national cheque in Sri Lanka. Faced with the limitations of this
system, cheque users and commercial banks must need an efficient and a secured system which can clear a cheque within less than 24 hours
along with providing integrity and confidentiality to the system. This research portrays an automated solution, which is feasible for any
commercial bank in Sri Lanka, to address above-mentioned issues. The proposed system is based on the block chain where all banks willing to
take an interest in this framework must connect the proposed block chain based system to supply the quicker cheque clearance to its clients.
Answers were proposed with a complete framework consisting of four main phases: (i) paper cheque clearing process, (ii) digital cheque
issuing and clearing process, (iii) cheque fraud detection process and (iv) cheque transaction securing process. Python along with Flutter
framework and Ethereal were the major technologies used for implementing the system. The proposed system is highly scalable as Ethereum
provides added integrity to the system. The approach advocates the customer as well as the bank with much simpler and speedier cheque
clearing process with increased security. It also contributes with a paper cheque fraud detection system with faster and reliable results. The
proposed system provides benefits to the user as well as the bank by addressing the requirement of producing a secure, effective and
environment friendly system. Finally, Checkmate permits a consistent stream of cheque clearance operation for the payer and the payee
without any mediators.