University of Oulu

Y. Hu et al., "A Delay-Tolerant Payment Scheme Based on the Ethereum Blockchain," in IEEE Access, vol. 7, pp. 33159-33172, 2019. doi: 10.1109/ACCESS.2019.2903271

A delay-tolerant payment scheme based on the ethereum blockchain

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Author: Hu, Yining1,2; Manzoor, Ahsan3,4; Ekparinya, Parinya5;
Organizations: 1Data61-CSIRO, Eveleigh, NSW, Australia
2University of New South Wales, Kensington, NSW 2033, Australia
3University of Oulu, Oulu, Finland
4Rovio Entertainment, 02150 Espoo, Finland
5The University of Sydney, Camperdown, NSW 2006, Australia
6University of Oulu, 90014 Oulu, Finland
7University College Dublin, Dublin D4, Ireland
Format: article
Version: accepted version
Access: open
Online Access: PDF Full Text (PDF, 4.5 MB)
Persistent link:
Language: English
Published: Institute of Electrical and Electronics Engineers, 2019
Publish Date: 2019-05-24


Digital banking as an essential service can be hard to access in remote, rural regions where the network connectivity is unavailable or intermittent. The payment operators like Visa and Mastercard often face difficulties reaching these remote, rural areas. Although micro-banking has been made possible by short message service or unstructured supplementary service data messages in some places, their security flaws and session-based nature prevent them from wider adoption. Global-level cryptocurrencies enable low-cost, secure, and pervasive money transferring among distributed peers, but are still limited in their ability to reach people in remote communities. We propose a blockchain-based digital payment scheme that can deliver reliable services on top of unreliable networks in remote regions. We focus on a scenario where a community-run base station provides reliable local network connectivity while intermittently connects to the broader Internet. We take advantage of the distributed verification guarantees of the Blockchain technology for financial transaction verification and leverage smart contracts for secure service management. In the proposed system, payment operators deploy multiple proxy nodes that are intermittently connected to the remote communities where the local blockchain networks, such as Ethereum are composed of miners, vendors, and regular users. Through probabilistic modeling, we devise design parameters for the blockchain network to realize robust operation over the top of the unreliable network. Furthermore, we show that the transaction processing time will not be significantly impacted due to the network unreliability through extensive emulations on a private Ethereum network. Finally, we demonstrate the practical feasibility of the proposed system by developing Near Field Communication (NFC)-enabled payment gateways on Raspberry-Pis, a mobile wallet application and mining nodes on off-the-shelf computers.

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Series: IEEE access
ISSN: 2169-3536
ISSN-E: 2169-3536
ISSN-L: 2169-3536
Volume: 7
Pages: 33159 - 33172
DOI: 10.1109/ACCESS.2019.2903271
Type of Publication: A1 Journal article – refereed
Field of Science: 213 Electronic, automation and communications engineering, electronics
Funding: This work is performed under the framework of RESPONSE 5G (Grant No: 789658) project European Union and 6Genesis Flagship (Grant no. 318927) project funded by the Academy of Finland.
Academy of Finland Grant Number: 318927
Detailed Information: 318927 (Academy of Finland Funding decision)
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