A Survey of Blockchain-Powered Digital Payment Systems and Their Influence on Global Financial Inclusion

The blockchain technology has adhered to becoming a radical innovation in the area of digital finance, in which it has delivered secure, decentralized and transparent methods of transacting business. This paper examines the application of digital payment systems based on blockchain and how it enhances financial inclusion in the world. It describes the fundamental concepts of blockchain, such as transaction formats, block architecture, and digital signatures, as well as how cryptocurrencies can support peer-to-peer digital payments. Payments and settlements, smart contracts, asset tokenization, trade financing, and other notable applications of blockchain technology in the financial sector are included in the study. Furthermore, the paper examines the concepts of financial inclusion and the applicability of digital payments to the magnitude of supplying underserved groups with formal financial services. It is assessed that digital finance that utilizes blockchain technology might offer a viable alternative.to several prominent financial inclusion challenges, including high transaction costs, a lack of digital identity, and mistrust of financial institutions. Lastly, the study concludes blockchain technology's impact on financial inclusion globally by discussing how it improves financial system accessibility, efficiency, and transparency while also addressing new challenges in infrastructure, cybersecurity, and regulation.