ItemConference Paper

Cognitive IoT-Integrated Real-Time Transaction Monitoring System for Financial Security

Title
Cognitive IoT-Integrated Real-Time Transaction Monitoring System for Financial Security
Creator
Hemalatha Yadav, J.; Arora, Kapil; Salgotra, Priyanka; Dawod, NajimAubed; Patil, Amit Kumar; Kataria, Abhinav
Description
As financial transactions become more complex in terms of the digitally connected environment, smart and real-time monitoring systems are required to fight off fraud and guarantee safety. The paper proposes a Cognitive IoT based Real-Time Transaction Monitoring System which is a proposed system to the financial sector. The proposed model resorts to the Z-Score normalization as a means of pre-processing the data and Recursive Feature Elimination with Random Forest as a method of selecting the most relevant features affecting the behavior of transactions. As the main type of classifier, a hybrid LSTM-Autoencoder model is used that makes it possible to reliably detect anomalies both using sequential and reconstruction-based learning. Developed on top of TensorFlow and its federated learning extensions, the system maintains the privacy of its user data by supporting decentralized training of edge devices. Experimental tests indicate higher results over the detection accuracy, which reduces false positives, and real-time reactivity. It is a scalable, safe, flexible system that can be used to monitor financial transactions efficiently, using the combined potential of the cognitive computer, the IoT environment, and powerful machine learning to respond to the dynamic nature of financial security issues. 2025 IEEE.
Source
Proceedings - 2025 International Conference on Recent Innovation in Science Engineering and Technology, ICRISET 2025;
Date
01-01-2025
Publisher
Institute of Electrical and Electronics Engineers Inc.
Subject
Anomaly Detection; Cognitive IoT; Feature Selection; Federated Learning; Financial Security; LSTM-Autoencoder; Real-Time Monitoring
Coverage
Hemalatha Yadav J., Alliance University, Bangalore, India; Arora K., Alliance University, Alliance School of Business, Department of Management, Bangalore, India; Salgotra P., Maharishi Markandeshwar (Deemed to be) University, Maharishi Markandeshwar Institute of Management, (Ambala) Haryana, Mullana, India; Dawod N., Al-Nisour University College, Department of Medical Laboratories, Nisour Seq. Karkh, Baghdad, Iraq; Patil A.K., Mit Art, Design and Technology University, Department of Ece, Pune, India; Kataria A., Christ Deemed to be University, Delhi NCR Campus, India
Rights
Restricted Access; Hardcopy may be available in the library
Relation
ISBN: 979-833155833-8;
Format
online
Language
English
Type
Conference paper

Citation

Hemalatha Yadav, J.; Arora, Kapil; Salgotra, Priyanka; Dawod, NajimAubed; Patil, Amit Kumar; Kataria, Abhinav, “Cognitive IoT-Integrated Real-Time Transaction Monitoring System for Financial Security,” CHRIST (Deemed To Be University) Institutional Repository, accessed June 17, 2026, https://archives.christuniversity.in/items/show/26095.

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