Blockchain Technology In Indian Consumer Banking: A Comprehensive Study Of Applications, Challenges, And Benefits

Abstract

Blockchain technology has become a transformative force across multiple industries, including the Indian retail banking sector. This conceptual research study investigates its applications, challenges, and benefits in consumer banking through a review of existing literature and industry use cases. Blockchain’s inherent features, such as transparency, immutability, and decentralization, offer promising solutions for enhancing transactional security, operational efficiency, and consumer trust. Key use cases such as secure payment systems, digital identity verification, decentralized loan management, and fraud prevention are explored. Despite challenges such as regulatory uncertainty, scalability issues, and high implementation costs, blockchain presents long-term opportunities like reduced operational costs and improved customer experience. This study proposes strategic recommendations for successful blockchain adoption in Indian banking, providing insights for both policymakers and financial institutions.