Comparative study of database replication techniques for banking system high availability

Posted: Jan 29, 2022

• Joseph Campbell
• Joseph Clark
• Joseph Hall

Abstract

The modern banking industry operates in an environment characterized by relentless demands for continuous availability, stringent regulatory compliance, and unprecedented transaction volumes. Financial institutions face the complex challenge of maintaining uninterrupted service while ensuring data integrity across distributed systems. Database replication stands as a cornerstone technology enabling high availability in banking systems, yet the selection and implementation of appropriate replication strategies remain challenging due to the competing requirements of consistency, performance, and regulatory adherence. Traditional approaches to database replication in banking contexts have typically favored either strong consistency through synchronous replication or improved performance through asynchronous methods, with each approach presenting significant trade-offs that impact system reliability and compliance. This research addresses the critical gap in understanding how different replication techniques perform under realistic banking workloads and failure scenarios. While previous studies have examined replication techniques in generic contexts, few have specifically investigated their application in banking environments where regulatory requirements, transaction complexity, and availability demands create unique constraints. The banking sector's distinctive characteristics—including strict audit trails, compliance with financial regulations, and zero tolerance for data loss—necessitate specialized evaluation frameworks that conventional replication studies fail to provide. Our investigation introduces several novel contributions to the field. First, we develop a comprehensive simulation environment that accurately models banking transaction patterns, including the complex interdependencies between different banking operations. Second, we propose an adaptive consistency replication technique that dynamically adjusts consistency guarantees based on transaction criticality and system conditions. Third, we establish a multi-dimensional evaluation framework that assesses replication techniques beyond conventional performance metrics to include regulatory compliance and operational resilience. The research questions guiding this study are: How do different database replication techniques perform under realistic banking workloads in terms of transaction latency, throughput, and consistency? What are the trade-offs between different replication approaches in banking environments?