Blockchain-Based Models for Credit and Loan System Automation in Financial Institutions

References

[1] Agnikhotram, S. and Kouroutakis, A., 2018. Doctrinal challenges for the legality of smart contracts: lex cryptographia or a new, smart way to contract. J. High Tech. L., 19, p.300.

[2] Ali, A.I. and Smith, D.T., 2019. Blockchain and mortgage lending process: A study of people, process, and technology involved. Online Journal of Applied Knowledge Management (OJAKM), 7(1), pp.53-66.

[3] Al-Jaroodi, J. and Mohamed, N., 2019. Blockchain in industries: A survey. IEEE access, 7, pp.36500-36515.

[4] Attaran, M. and Gunasekaran, A., 2019. Applications of blockchain technology in business: challenges and opportunities.

[5] Bano, S., Sonnino, A., Al-Bassam, M., Azouvi, S., McCorry, P., Meiklejohn, S. and Danezis, G., 2019, October. SoK: Consensus in the age of blockchains. In Proceedings of the 1st ACM Conference on Advances in Financial Technologies (pp. 183-198).

[6] Barberis, J., Arner, D.W. and Buckley, R.P., 2019. The RegTech book: The financial technology handbook for investors, entrepreneurs and visionaries in regulation. John Wiley & Sons.

[7] Busch, D. and Van Rijn, M.B., 2018. Towards single supervision and resolution of systemically important non-bank financial institutions in the European Union. European Business Organization Law Review, 19, pp.301-363.

[8] Casey, M., Crane, J., Gensler, G., Johnson, S. and Narula, N., 2018. The impact of blockchain technology on finance: A catalyst for change.

[9] Casey, M., Crane, J., Gensler, G., Johnson, S. and Narula, N., 2018. The impact of blockchain technology on finance: A catalyst for change.

[10] Chang, S.E., Chen, Y.C. and Lu, M.F., 2019. Supply chain re-engineering using blockchain technology: A case of smart contract based tracking process. Technological forecasting and social change, 144, pp.1-11.

[11] Chen, G., Xu, B., Lu, M. and Chen, N.S., 2018. Exploring blockchain technology and its potential applications for education. Smart Learning Environments, 5(1), pp.1-10.

[12] Chowdhury, M.J.M., Ferdous, M.S., Biswas, K., Chowdhury, N., Kayes, A.S.M., Alazab, M. and Watters, P., 2019. A comparative analysis of distributed ledger technology platforms. IEEE Access, 7, pp.167930-167943.

[13] Cocco, L., Pinna, A. and Marchesi, M., 2017. Banking on blockchain: Costs savings thanks to the blockchain technology. Future internet, 9(3), p.25.

[14] Collomb, A. and De Filippi, P., 2019. Blockchain technology and financial regulation: A risk-based approach to the regulation of ICOs. European Journal of Risk Regulation, 10(2), pp.263-314.

[15] Cunha, C.R., Mendonça, V., Morais, E.P. and Carvalho, A., 2018. The role of gamification in material and immaterial cultural heritage. In Proceedings of the 31st International Business Information Management Association Conference (IBIMA) (pp. 6121-6129). International Business Information Management Association (IBIMA).

[16] Dai, J. and Vasarhelyi, M.A., 2017. Toward blockchain-based accounting and assurance. Journal of information systems, 31(3), pp.5-21.

[17] Dedeoglu, V., Jurdak, R., Dorri, A., Lunardi, R.C., Michelin, R.A., Zorzo, A.F. and Kanhere, S.S., 2019. Blockchain technologies for iot. In Advanced applications of blockchain technology (pp. 55-89). Singapore: Springer Singapore.

[18] Deshpande, A., Stewart, K., Lepetit, L. and Gunashekar, S., 2017. Distributed Ledger Technologies/Blockchain: Challenges, opportunities and the prospects for standards. Overview report The British Standards Institution (BSI), 40(40), pp.1-34.

[19] Dinh, T.T.A., Liu, R., Zhang, M., Chen, G., Ooi, B.C. and Wang, J., 2018. Untangling blockchain: A data processing view of blockchain systems. IEEE transactions on knowledge and data engineering, 30(7), pp.1366-1385.

[20] Ducas, E. and Wilner, A., 2017. The security and financial implications of blockchain technologies: Regulating emerging technologies in Canada. International Journal, 72(4), pp.538-562.

[21] Edwards, Q., Mallhi, A.K. and Zhang, J., 2018. The association between advanced maternal age at delivery and childhood obesity. J Hum Biol, 30(6), p.e23143.

[22] Eliezer, O. and Emmanuel, B., 2015. Relevance of forensic accounting in the detection and prevention of fraud in Nigeria. International Journal of Accounting Research, 2(7), pp.67-77.

[23] Fasnacht, D., 2018. Open innovation ecosystems. In Open Innovation Ecosystems: Creating New Value Constellations in the Financial Services (pp. 131-172). Cham: Springer International Publishing.

[24] Gomber, P., Kauffman, R.J., Parker, C. and Weber, B.W., 2018. On the fintech revolution: Interpreting the forces of innovation, disruption, and transformation in financial services. Journal of management information systems, 35(1), pp.220-265.

[25] Greene, E.F., Amico, J.M. and Bala, S., 2018. Blockchain, marketplace lending and crowdfunding: emerging issues and opportunities in fin tech. In Research Handbook on Shadow Banking (pp. 253-296). Edward Elgar Publishing.

[26] Hasham, S., Joshi, S. and Mikkelsen, D., 2019. Financial crime and fraud in the age of cybersecurity. McKinsey & Company, 2019.

[27] ILORI, O., LAWAL, C.I., FRIDAY, S.C., ISIBOR, N.J. and CHUKWUMA-EKE, E.C., 2020. Blockchain-Based Assurance Systems: Opportunities and Limitations in Modern Audit Engagements.

[28] Imran, S., Patel, R.S., Onyeaka, H.K., Tahir, M., Madireddy, S., Mainali, P., Hossain, S., Rashid, W., Queeneth, U. and Ahmad, N., 2019. Comorbid depression and psychosis in Parkinson’s disease: a report of 62,783 hospitalizations in the United States. Cureus, 11(7).

[29] Ismail, L. and Materwala, H., 2019. A review of blockchain architecture and consensus protocols: Use cases, challenges, and solutions. Symmetry, 11(10), p.1198.

[30] Iyabode, L.C., 2015. Career Development and Talent Management in Banking Sector. Texila International Journal.

[31] Jensen, T., Hedman, J. and Henningsson, S., 2019. How TradeLens delivers business value with blockchain technology. MIS Quarterly Executive, 18(4).

[32] Johnson, M., Jones, M., Shervey, M., Dudley, J.T. and Zimmerman, N., 2019. Building a secure biomedical data sharing decentralized app (DApp): tutorial. Journal of medical Internet research, 21(10), p.e13601.

[33] Kalonaris, S., 2019. EVOLUTIONARY DYNAMICS AND COMPUTATIONAL AESTHETICS: EXPERIMENTS IN MINIMALIST BLENDS. Electronic Imaging & the Visual Arts EVA 2019 Florence, 123, p.43.

[34] Knezevic, D., 2018. Impact of blockchain technology platform in changing the financial sector and other industries. Montenegrin Journal of Economics, 14(1), pp.109-120.

[35] Labrique, A.B., Wadhwani, C., Williams, K.A., Lamptey, P., Hesp, C., Luk, R. and Aerts, A., 2018. Best practices in scaling digital health in low and middle income countries. Globalization and health, 14, pp.1-8.

[36] Lawal, C.I., 2015. Knowledge and awareness on the utilization of talent philosophy by banks among staff on contract appointment in commercial banks in Ibadan, Oyo State. Texila International Journal of Management, 3.

[37] Lee, D.K.C. and Low, L., 2018. Inclusive fintech: blockchain, cryptocurrency and ICO. World Scientific.

[38] Maturo, F. and Hoskova-Mayerova, S., 2018. Analysing research impact via functional data analysis: a powerful tool for scholars, insiders, and research organizations. In Innovation Management and Education Excellence through Vision 2020 (pp. 1832-1842). International Business Information Management Association (IBIMA).

[39] Metzger, J., 2019. The current landscape of blockchain-based, crowdsourced arbitration. Macquarie Law Journal, 19, pp.81-101.

[40] Mgbame, A. C., Akpe, O. E. E., Abayomi, A. A., Ogbuefi, E., & Adeyelu, O. O. (2020). Barriers and enablers of BI tool implementation in underserved SME communities. Iconic Research and Engineering Journals, 3(7), 211–220. Published in International Journal of Scientific Research in Computer Science, Engineering and Information Technology

[41] Mgbame, A. C., Akpe, O. E., Abayomi, A. A., Ogbuefi, E., Adeyelu, O. O., & Mgbame, A. C. (2020). Bridging the business intelligence gap in small enterprises: A conceptual framework for scalable adoption. IRE Journals, 4(2), 159-173.

[42] Mgbame, A. C., Akpe, O. E., Abayomi, A. A., Ogbuefi, E., Adeyelu, O. O., & Mgbame, A. C. (2020). Barriers and enablers of BI tool implementation in underserved SME communities. IRE Journals, 3(7), 211-223.

[43] Moreira, C., Haven, E., Sozzo, S. and Wichert, A., 2018. Process mining with real world financial loan applications: Improving inference on incomplete event logs. PLoS One, 13(12), p.e0207806.

[44] Muneeza, A., Arshad, N.A. and Arifin, A.T., 2018. The application of blockchain technology in crowdfunding: Towards financial inclusion via technology. International journal of management and applied research, 5(2), pp.82-98.

[45] Narayanaswami, C., Nooyi, R., Govindaswamy, S.R. and Viswanathan, R., 2019. Blockchain anchored supply chain automation. IBM Journal of Research and Development, 63(2/3), pp.7-1.

[46] Nguyen, C.T., Hoang, D.T., Nguyen, D.N., Niyato, D., Nguyen, H.T. and Dutkiewicz, E., 2019. Proof-of-stake consensus mechanisms for future blockchain networks: fundamentals, applications and opportunities. IEEE access, 7, pp.85727-85745.

[47] O’neill, J., Dhareshwar, A. and Muralidhar, S.H., 2017. Working digital money into a cash economy: The collaborative work of loan payment. Computer Supported Cooperative Work (CSCW), 26, pp.733-768.

[48] Odinet, C.K., 2017. Consumer bitcredit and fintech lending. Ala. L. Rev., 69, p.781.

[49] Ofori-Asenso, R., Ogundipe, O., Agyeman, A.A., Chin, K.L., Mazidi, M., Ademi, Z., De Bruin, M.L. and Liew, D., 2020. Cancer is associated with severe disease in COVID-19 patients: a systematic review and meta-analysis. Ecancermedicalscience, 14, p.1047.

[50] Ojo, O.V. and Nwaokike, U., 2018. Disruptive technology and the fintech industry in Nigeria: Imperatives for legal and policy responses. Gravitas Review of Business and Property Law, 9(3).

[51] Omisola, J.O., Etukudoh, E.A., Okenwa, O.K. and Tokunbo, G.I., 2020. Innovating Project Delivery and Piping Design for Sustainability in the Oil and Gas Industry: A Conceptual Framework. perception, 24, pp.28-35.

[52] Oyedokun, O.O., 2019. Green human resource management practices and its effect on the sustainable competitive edge in the Nigerian manufacturing industry (Dangote) (Doctoral dissertation, Dublin Business School).

[53] Ozkaya, E. and Aslaner, M., 2019. Hands-On Cybersecurity for Finance: Identify vulnerabilities and secure your financial services from security breaches. Packt Publishing Ltd.

[54] Paech, P., 2017. The governance of blockchain financial networks. The Modern Law Review, 80(6), pp.1073-1110.

[55] Piotrowski, S.J., 2017. The “Open Government Reform” movement: The case of the open government partnership and US transparency policies. The American Review of Public Administration, 47(2), pp.155-171.

[56] Politou, E., Casino, F., Alepis, E. and Patsakis, C., 2019. Blockchain mutability: Challenges and proposed solutions. IEEE Transactions on Emerging Topics in Computing, 9(4), pp.1972-1986.

[57] Pramanik, H.S., Kirtania, M. and Pani, A.K., 2019. Essence of digital transformation—Manifestations at large financial institutions from North America. Future Generation Computer Systems, 95, pp.323-343.

[58] Proskurovska, A. and Dörry, S., 2018. Is a Blockchain-based conveyance system the next step in the financialisation of housing?: The case of Sweden. The Case of Sweden (September 2018). Luxembourg Institute of Socio-Economic Research (LISER) Working Paper Series, 17.

[59] Rani, U. and Singh, P.J., 2019. Digital platforms, data, and development: Implications for workers in developing economies. Comp. Lab. L. & Pol'y J., 41, p.263.

[60] Reddy, A.K., Katari, P., Alluri, V.R.R. and Sadhu, A.K.R., 2019. From Protocols to Practice: A Detailed Analysis of Decentralized Finance (DeFi). European Economics Leters.

[61] Rolle, J. and Kisato, J., 2019. The future of work and entrepreneurship for the underserved. The Business & Management Review, 10(2), pp.224-234.

[62] Sarkar, D., Bali, R. and Sharma, T., 2018. Practical machine learning with Python. Book" Practical Machine Learning with Python, pp.25-30.

[63] Spyridon, A., 2019. P2P lending review, analysis and overview of Lendoit blockchain platform. International Journal of Open Information Technologies, 7(2), pp.94-98.

[64] Staples, M., Chen, S., Falamaki, S., Ponomarev, A., Rimba, P., Tran, A.B., Weber, I., Xu, X. and Zhu, J., 2017. Risks and opportunities for systems using blockchain and smart contracts. Data61. CSIRO), Sydney.

[65] Swan, M., 2018. Blockchain economic networks: Economic network theory—Systemic risk and blockchain technology. In Business Transformation through Blockchain: Volume I (pp. 3-45). Cham: Springer International Publishing.

[66] Thomason, J., Bernhardt, S., Kansara, T. and Cooper, N., 2019. Blockchain technology for global social change. Hershey, PA: IGI Global.

[67] Tormen, R., 2019. Blockchain for decision makers: A systematic guide to using blockchain for improving your business. Packt Publishing Ltd.

[68] Tripoli, M. and Schmidhuber, J., 2018. Emerging Opportunities for the Application of Blockchain in the Agri-food Industry.

[69] Troncoso, C., Isaakidis, M., Danezis, G. and Halpin, H., 2017. Systematizing decentralization and privacy: Lessons from 15 years of research and deployments. arXiv preprint arXiv:1704.08065.

[70] Truong, D.D., Nguyen-Van, T., Nguyen, Q.B., Huy, N.H., Tran, T.A., Le, N.Q. and Nguyen-An, K., 2019, November. Blockchain-based open data: An approach for resolving data integrity and transparency. In International Conference on Future Data and Security Engineering (pp. 526-541). Cham: Springer International Publishing.

[71] Varma, J.R., 2019. Blockchain in finance. Vikalpa, 44(1), pp.1-11.

[72] Vinayak, M., dos Santos, S., Thulasiram, R.K., Thulasiraman, P. and Appadoo, S.S., 2019, October. Design and implementation of financial smart contract services on blockchain. In 2019 IEEE 10th Annual Information Technology, Electronics and Mobile Communication Conference (IEMCON) (pp. 1023-1030). IEEE.

[73] Viriyasitavat, W. and Hoonsopon, D., 2019. Blockchain characteristics and consensus in modern business processes. Journal of Industrial Information Integration, 13, pp.32-39.

[74] Wang, R., Lin, Z. and Luo, H., 2019. Blockchain, bank credit and SME financing. Quality & Quantity, 53, pp.1127-1140.

[75] Wang, Y., Han, J.H. and Beynon-Davies, P., 2019. Understanding blockchain technology for future supply chains: a systematic literature review and research agenda. Supply Chain Management: An International Journal, 24(1), pp.62-84.

[76] Xinyi, Y., Yi, Z. and He, Y., 2018, July. Technical characteristics and model of blockchain. In 2018 10th international Conference on communication Software and networks (ICCSN) (pp. 562-566). IEEE.

[77] Xu, R., Chen, Y., Blasch, E. and Chen, G., 2019. Exploration of blockchain-enabled decentralized capability-based access control strategy for space situation awareness. Optical Engineering, 58(4), pp.041609-041609.

[78] Yeoh, P., 2017. Regulatory issues in blockchain technology. Journal of Financial Regulation and Compliance, 25(2), pp.196-208.

[79] Zachariadis, M., Hileman, G. and Scott, S.V., 2019. Governance and control in distributed ledgers: Understanding the challenges facing blockchain technology in financial services. Information and organization, 29(2), pp.105-117.

[80] Zhu, L., Wu, Y., Gai, K. and Choo, K.K.R., 2019. Controllable and trustworthy blockchain-based cloud data management. Future Generation Computer Systems, 91, pp.527-535.

@article{1708932,
      author = {Ayodeji Ajuwon, Omoniyi Onifade, Tolulope Joyce Oladuji, Abiola Oyeronke Akintobi},
      title = {Blockchain-Based Models for Credit and Loan System Automation in Financial Institutions},
      journal = {Iconic Research And Engineering Journals},
      year = {2020},
      volume = {3},
      number = {10},
      pages = {364-381},
      issn = {2456-8880},
      url = {https://www.irejournals.com/formatedpaper/1708932.pdf},
      abstract = {Blockchain technology is rapidly transforming financial services by enabling decentralized, transparent, and secure transaction frameworks. In credit and loan systems, traditional processes often suffer from inefficiencies such as lengthy approval times, high operational costs, susceptibility to fraud, and limited transparency. Blockchain-based models offer a promising solution by automating key aspects of credit evaluation, loan origination, disbursement, and repayment through smart contracts and distributed ledger technology. This review explores the application of blockchain to automate credit and loan systems within financial institutions, highlighting its potential to streamline workflows, enhance security, and improve accessibility. The use of smart contracts enables predefined rules and conditions to execute automatically without the need for intermediaries, reducing manual errors and processing delays. Blockchain?s immutable ledger ensures transparent and auditable records, minimizing risks related to fraud and manipulation. Additionally, tokenization of assets and loans allows for greater liquidity and flexibility in credit markets. Integration challenges with existing financial infrastructure and regulatory frameworks are also discussed, emphasizing the need for hybrid solutions and legal clarity. Case studies of blockchain adoption in financial institutions illustrate improvements in operational efficiency, cost reduction, and customer experience. However, challenges remain, including scalability issues, regulatory compliance, and user acceptance. Emerging trends such as Layer 2 scaling solutions and combining blockchain with artificial intelligence for enhanced credit risk assessment present opportunities for further innovation. This review concludes that blockchain-based models hold significant promise for revolutionizing credit and loan system automation by fostering transparency, speed, and inclusivity. It calls for collaborative efforts among financial institutions, regulators, and technology developers to address existing challenges and develop scalable, compliant solutions. By leveraging blockchain?s unique capabilities, financial institutions can create more efficient, secure, and accessible credit ecosystems that better serve the evolving needs of global markets.},
      keywords = {Blockchain-based, Models, Credit, Loan system, Automation, Financial institutions},
      month = {April},
  }