RSA-Enhanced Blockchain-Based Multi-Factor Authentication Framework for Secure Financial Transactions

Abstract

The given paper introduces a new Multi-Factor Authentication (MFA) framework that is based on blockchain and is combined with RSA encryption to improve the security of decentralized systems during financial transactions. MFA systems in general continue to be susceptible to phishing, SIM-swapping, and session hijacking, particularly within mobile and distributed contexts. The framework proposed integrates Time-based One-Time Passwords (TOTP) and RSA-based cryptographic signatures, making transaction requests authentic and unaltered. It is able to process transactions in a safe and controllable manner by using the logic of smart contracts on Ethereum Level-compatible systems, with the possibility of dynamic transaction cancellation and rejection. It has been shown that the system can provide high security assurances at costs that are tolerable in terms of latency and resources, and this makes the system viable to use in secure financial transactions in decentralized applications.