[proofplan]
The chain complex condition first ensures that every boundary is a cycle, so the quotient $H_n(C_\bullet) = Z_n(C_\bullet)/B_n(C_\bullet)$ is well-defined in each degree. The quotient in degree $n$ vanishes exactly when its numerator and denominator agree, namely when $Z_n(C_\bullet) = B_n(C_\bullet)$. Replacing cycles and boundaries by their definitions gives $\ker d_n = \operatorname{im} d_{n+1}$, which is precisely exactness at $C_n$.
[/proofplan]
[step:Use the chain complex condition to place boundaries inside cycles]
Fix $n \in \mathbb{Z}$. Since $d_n \circ d_{n+1} = 0$, every element of $\operatorname{im} d_{n+1}$ is sent to $0$ by $d_n$. Therefore
\begin{align*}
B_n(C_\bullet) = \operatorname{im} d_{n+1} \subset \ker d_n = Z_n(C_\bullet).
\end{align*}
Thus $H_n(C_\bullet) = Z_n(C_\bullet)/B_n(C_\bullet)$ is a well-defined quotient $R$-module.
[/step]
[step:Translate vanishing homology in one degree into equality of cycles and boundaries]
For the fixed degree $n$, the quotient $R$-module $H_n(C_\bullet)$ is zero if and only if every coset in $Z_n(C_\bullet)/B_n(C_\bullet)$ is the zero coset. This holds if and only if every element of $Z_n(C_\bullet)$ belongs to $B_n(C_\bullet)$, that is,
\begin{align*}
H_n(C_\bullet) = 0
\quad \iff \quad
Z_n(C_\bullet) = B_n(C_\bullet).
\end{align*}
Using the definitions of $Z_n(C_\bullet)$ and $B_n(C_\bullet)$, this is equivalent to
\begin{align*}
H_n(C_\bullet) = 0
\quad \iff \quad
\ker d_n = \operatorname{im} d_{n+1}.
\end{align*}
[/step]
[step:Apply the degreewise equivalence in every integer degree]
The chain complex $C_\bullet$ is exact precisely when
\begin{align*}
\operatorname{im} d_{n+1} = \ker d_n
\end{align*}
for every $n \in \mathbb{Z}$. By the degreewise equivalence proved above, this condition holds for every $n \in \mathbb{Z}$ if and only if
\begin{align*}
H_n(C_\bullet) = 0
\end{align*}
for every $n \in \mathbb{Z}$. Hence $C_\bullet$ is exact if and only if all of its homology modules vanish.
[/step]