The conventional grid is evolving into a smart distribution grid which incorporates, distributed energy sources (DES's), energy prosumers, and consumers in it. However, with the increase in number of DES's, prosumers and consumers in the smart distribution grid, the centralized control faces challenges. To address this, a shift towards decentralized control, empowered by blockchain technology, is underway in the smart distribution grid. The integration of blockchain technology in the smart distribution grid offers multiple advantages. It fosters trust among energy prosumers, consumers, and microgrid operators. Also, it introduces the concept of smart contracts, which are programmable scripts stored within the blockchain. By leveraging blockchain technology and smart contracts, the smart distribution grid becomes transparent and cost-effective. In light of these advantages of blockchain technology, it has been used in many areas of smart distribution grid. While the decentralization in the smart distribution grid brings numerous advantages but also brings new issues like coordination overhead, scalability issue, grid congestion, a lack of regulation and policy etc. To overcome these hurdles, a shift towards a distributed control for smart distribution grids becomes crucial which can achieve a balance between decentralized control and centralized control. Considering these factors, a distributed architecture for energy management in smart distribution grid is proposed in the present work. This distributed architecture involves interconnected clusters of smart microgrid. Within these clusters of smart microgrids, each microgrid conducts energy optimization using the particle swarm optimization (PSO) algorithm. Following optimization, surplus/deficient energy is traded among the smart microgrids using a double auction mechanism facilitated by a permissioned blockchain. The effectiveness of the proposed energy management model is assessed through simulations which is conducted on typical interconnected smart microgrids.