Decentralized Cross-Border Financial Aid Distribution Utilizing Blockchain-Based Tokenization
Md. Raisul Hasan Shahrukh, Nafees Mansoor
Conference Paper. IEEE Region 10 Annual International Conference, Proceedings/TENCON, pp. 993–997 (2025).
Abstract
Cross-border financial aid distribution encounters substantial obstacles, such as inefficiencies, elevated transaction costs, complications in regulatory compliance, and transparency issues inherent in traditional banking systems. This study presents a decentralized system for financial aid distribution that utilizes blockchain tokenization and smart contract automation to tackle these difficulties. The proposed approach specifically incorporates Hyperledger Besu, a permissioned blockchain, to enable traceable, transparent and efficient international financial transactions. The system manages digital tokens within a blockchain-based system that utilizes its smart contract, facilitating rapid and verifiable aid transfers while ensuring compliance with international regulatory guidelines. Performance evaluations demonstrate improved transaction throughput up to 4.87% higher than Hyperledger Fabric alongside reduced latency and enhanced operational efficiency compared to existing blockchain solutions. Furthermore, the modular consensus mechanism in Hyperledger Besu ensures Byzantine fault tolerance and maintains sub-second transaction finality under simulated loads of over 1,000 transactions per second. Moreover, automating compliance using smart contracts minimizes human mistake and potential fraud, thus considerably improving the traceability and dependability of cross-border financial aid disbursements. © 2025 IEEE.
Keywords
Blockchain, Fintech, Hyperledger Besu, Process Automation, Smart Contracts