The Influence of Digital Currency Popularization and Application in Electronic Payment Based on Data Mining Technology

The Influence of Digital Currency Popularization and Application in Electronic Payment Based on Data Mining Technology

Xiaoyuan Sun
DOI: 10.4018/IJITSA.323193
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Abstract

The rapid development of science and technology has provided us with great convenience, and the payment methods are gradually enriched. On the basis of traditional electronic payment, digital currency has emerged as the times require. As a strategic currency, it is very necessary to supervise the market status during its whole life. In this paper, the authors propose a scenario payment identification model based on RNN network to identify different scenarios of electronic payment for the intelligent analysis of digital currency. On this basis, PSO is adopted to optimize the initial parameters of the model to improve the accuracy of model identification. Finally, the high-precision identification of different electronic payment means in multiple scenarios was completed, providing detailed data reference for the development of electronic payment market and digital currency, thus providing an objective basis for policy formulation and adjustment in the next stage.
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Introduction

A new round of scientific and technological revolution is coming, the global digital economy is growing, and digital currency has emerged as the times require (Daradkeh, 2022). The value of digital currencies issued by the private sector, represented by Bitcoin, Diem coin and USDT stable currency, fluctuates greatly and is highly speculative, which may impact a country's monetary sovereignty and financial stability (Sharif et al., 2020). In order to better adapt to new business types and models, build an efficient and safe payment and settlement system, and upgrade digital financial infrastructure, digital currency with credit endorsement, stable currency value, and universal acceptance has become an important choice for major central banks in the world. In recent years, major central banks around the world have accelerated the research and development of central bank digital currency, enabling the operation of a monetary system with blockchain technology, digital encryption technology, distributed bookkeeping technology and other technologies, and promoting the “digitalization” of payment means (Wu et al., 2021). As a new sovereign currency, it completes transactions through electronic payment, so it is crucial to study its relationship with the current electronic payment platform for the future impact on the existing monetary system, future monetary policy regulations, and the future trend of electronic payment (Mishara, 2020).

The operation modes are mainly divided into two types: independent gateway mode and credit intermediary mode (Alkhwaldi, 2022). The independent gateway model is the initial mode of electronic payment, and it is an independent enterprise. Such platforms connect users at the front end with banks at the back end. Based on online banking opened by banks, users conduct business transactions through online services provided by banks, thus enhancing the intermediary role of banks between buyers and sellers (Albastaki, 2022). Due to low-technology, relatively poor transaction security, and narrow profit space, this operation model has been gradually eliminated by the market, and replaced by the credit intermediary model, i.e., third-party payment (Lai et al., 2022). In the credit intermediary mode, after confirming the goods to be purchased, the buyer will use the account registered on the platform to make payment. The payment will be handed over to the electronic payment platform. After the platform confirms receipt, the seller will be informed that the buyer has paid for the transaction and asked to ship the goods as soon as possible. After the buyer receives the purchased goods, after checking the receipt, it indicates that it has confirmed the receipt notice or implied. When the logistics show that the goods have been received within the time limit determined acceptable according to the nature of the goods and the shipping method, it will notify the third party and then the payment for goods will finally reach the seller’s account.

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