The “Internet of Things” (IoT) is not the “hype” or a “buzzword” anymore, it now has the power to change our world. It isn’t news that the Internet of Things (IoT) is revolutionizing our lives – IoT is Everywhere. IoT is now portable, wearable, and implantable. Moreover, creating a ubiquitous and connected universe, and transforming physical objects that surround us into an ecosystem of information that is rapidly changing the way we live. IoT technology is already changing when and where work is going on, in almost every industry.

Of course, IoT is not the only technology that is making a breakthrough at the moment, as Blockchain, the underlying technology behind cryptocurrencies like Bitcoin, is also a top-of-mind topic.

As for the integration of these two technologies, IoT and blockchain are a perfect pair. One of the main issues with IoT is its security, and that is where Blockchain comes to its aid by securing the data from IoT sensors. But this is not just a one-sided relationship. As IoT tends to evolve with the help of Blockchain, even Blockchain becomes more useful ledger. It can be also be claimed to be indispensable in some areas.

Blockchain-based IoT systems are capable of simplifying business processes, improving transparency for better customer experience and more. By leveraging Blockchains in an IoT network, it enables secure trustless messaging between devices in a network in which the blockchain treats the message in the same way it would treat financial transactions on a Bitcoin network.

Let us Discuss the Relationship between IoT and Blockchain and how it can bring transformation to the world:-

What is IoT?

The Internet of things (IoT) is a system of interrelating computing devices, mechanical and digital machines provide with unique identifiers (UIDs) and the ability to transfer data over a network without requiring human-to-human or human-to-computer interaction.

Moreover, the definition of the Internet of things has evolved due to the convergence of multiple technologies, real-time analytics, machine learning, commodity sensors, and embedded system all contribute to enabling the Internet of things. In the consumer market, IoT technology is most synonymous with products to the concept of the “smart home“, covering devices. Appliances such as lighting fixtures, thermostats, home security systems and cameras, and other home appliances that support one or more common ecosystems. , smartphones and smart speakers can control devices associated with that ecosystem.

Let’s start with an example of a smartphone to understand the basics of IoT. A smartphone is the only device that we might use for many of our needs. From listening to music, checking emails or messages, playing games, communicating with friends and watching movies.

The phone did not have these many capabilities a few years back. Earlier, people could only send a message or make a call with their cell phones. Moreover, phones are already connecting to the internet so phones are smarter now.

As the effectiveness of IoT relies on the information available in the system, protecting the information throughout its lifecycle is crucial. This is where blockchain comes into the picture for IoT. It is now clear what is IoT and how it is related to day-to-day activities. Now we will explain about what is Blockchain and how it can be used in IoT solutions.

Working of IoT in Industry

IoT is guiding revolutionary changes to the industrial competitive landscape. As the world becomes increasingly connected, digitization is a key differentiation that will enable companies to remain competitive. Using IoT data from billions of intelligent devices generating massive volumes of data. Digitization promises lower costs, improved production quality, flexibility, efficiency, shorter response time to market demands, and also opens up new business opportunities.

IoT enables companies to automate processes and reduce labour costs. It also cuts down on waste and improves service delivery, making it less expensive to manufacture and deliver goods as well as offering transparency into customer transactions. IoT touches every industry, including healthcare, finance, retail, and manufacturing. Smart cities help citizens reduce waste and energy consumption and connecting sensors are even using in farming to help monitor crop and cattle yields and predict growth patterns.

What is Blockchain?

A Blockchain is a growing list of records, called blocks, that are linked using Cryptography. Each block contains a Cryptographic Hash of the previous block, a timestamp and transaction data.

The Blockchain technology is based on the concept of the decentralized network that records and processes transactions transparently and securely. Moreover, it is a chain of blocks that contain time-stamping digital records which cannot alter or delete once added to the Blockchain.

Understanding Blockchain is tricky. You need to understand their message before you can appreciate their potential. On the other hand, we always have a question in their mind how Blockchain is different from the current scenario. Presently, every technology company whether it is Airbnb or Uber pretends as a centralized entity when it comes to processing payments or saving data.

The records save in the Blockchain are distributing across all nodes in the network where every node has an updated copy of the ledger at all times. But, based on the concepts of decentralization, Blockchain protects the data from the hands of a few centralized bodies. Therefore, reducing the risks of information theft or hacking.

Blockchain could not be without the Internet. The Blockchain is a meta technology because it affects several other technologies. Moreover, it is also made up of several technologies. It comprised of several pieces such as database, a software application or several connected computers to each other.

As we mentioned above that the success of IoT depends on its potential to keep data confidential and secure, bringing Blockchain to IoT can remodel the industry. The combination of Blockchain and the Internet of Things has appeared as one of the most exciting use cases for the technological era.

Why IoT needs Blockchain?

The Internet of Things(IoT) is a concept of fascinating and exciting. But, one of the major challenging aspects of IoT is having a secure ecosystem encompassing all building blocks of IoT architecture.

Understanding the different building blocks of IoT, identifying the areas of vulnerability in each block and exploring technologies need to counter each of the weakness is essential in dealing with the security issue of the IoT.

Challenges to secure IoT deployments:-

• Designing and implementation of IoT devices are poor, using diverse protocols and technologies that create complex and sometimes conflict configurations.
• Limited guidance for life cycle maintenance and management of IoT devices.
• IoT privacy concerns are complex and not always readily evident.
• The lack of standards for authentication and authorization of IoT edge devices.
• Security standards for platform configuration, involving virtualized IoT platforms supporting multi-tenancy is immature.
• The use of IoT is expanding and changing often in uncharted waters.

However, centralized clouds and networking equipment used in the existing IoT solutions have high maintenance and infrastructure cost. Scalability can become a significant issue as IoT systems are connecting through these services,

As the number of IoT devices increases, the number of interactions between the server and devices increases the cost. That is the reason why current systems cannot support large IoT networks.

Also, cloud servers are vulnerable to a single point of failure which means the failure at one point can affect the entire ecosystem. Therefore, using a peer-to-peer model instead of a client/server model can be the right solution that IoT industry needs today.

With Decentralization in place, storage needs and computation, distributed across millions of IoT devices and central failure cannot have an impact on the whole network.

So, the use of Blockchain in IoT can help the IoT devices to scale up efficiently.

Using Blockchain in IoT

The rapid advance of Blockchain technology and the Internet of Things (IoT) are felt throughout our daily lives. We are about to see more change than we could imagine with Blockchain and IoT. A Gartner study estimates Blockchain will add $3.1 trillion in business value by 2030, and in another analysis, the global IoT market is expected to grow from $157B in 2016 to $457B by 2020.

Here are some ways the distributed architecture of blockchain can help solve many of these security and trust challenges:

• Blockchain can be used to track the sensor data measurements and prevent duplication with any other malicious data.
• Deployments of IoT devices are complex, and a distributed ledger is well suite to provide IoT device identification, authentication, and seamless secure data transfer.
• Instead of going through a third party for establishing trust, IoT sensors can exchange data through a blockchain.
• A distributed ledger eliminates a single source of failure within the ecosystem, protecting an IoT device’s data from tampering.
• Blockchain enables device autonomy (smart contract), individual identity, the integrity of data and supports peer to peer communication by removing technical bottlenecks and inefficiencies.
• The deployment and operation costs of IoT can be reduced through blockchain since there is no intermediary.
• IoT devices are directly addressable with blockchain, providing a history of connected devices for troubleshooting purposes.

As the Blockchain is tamper-proof and decentralize, it can do what IoT exactly requires. Using Blockchain in IoT can help you track billions of connected devices in the network. Blockchain uses Cryptographic algorithms that ensure the confidentiality and security of the data on the IoT network. Blockchain in IoT also protects the network from the man-in-middle attacks because it does not have a single thread of communication.

With smart contracts, agreements can be created which will execute when certain conditions are met. For example, temperature sensors can fetch the data and send it to the Blockchain. Based on the fetched records, smart contracts can trigger to take specific logic added to it.

Blockchain-based IoT solutions are well suited for simplifying business processes, improving customer experience, and achieving significant cost efficiencies.

Some Use Cases of Blockchain in IoT:-

1. Smarter Radiation Dosimetry with IoT Blockchain

Clinitraq is a healthcare company that is currently building a dosimeter utilizing the NetObjex IoT-Blockchain Platform. Dosimeters are badges that measure radiation levels its wearer has been exposed to. Current dosimeters can take between 30 to 60 days to provide results. On the other hand, Clintraq’s dosimeter can provide results in real-time. This is extremely beneficial to people who work in health or science as it helps to eliminate the risk of being exposing to too much radiation. This is a link to NetObjex’s IoT-Blockchain Platform, data tracking, and firmware updates administration through the cloud.

2. Bringing Bio-metrics to Blockchain and building Smart Homes

IoT devices allow the home security system to controlled remotely from the smartphone. But the centralized model for exchanging information generated by IoT sensors lack ownership of data and security standards. By moving the data gathered from IoT devices to the blockchain can solve security issues.

To make smart home system safer Australian telecom company Telstra is using blockchain paired with IoT. As most smart homes currently depend on mobile apps for control or a device infected with malware, can lead to nefarious actors gaining control. By using biometrics, such as face or fingerprint recognition, into a Blockchain, Telstra provides a safer and more secure network.

3. Using Blockchain and IoT to Measure River Contamination

Monitoring water quality can be an expensive and time-consuming process, so Libelium and Airalab have teamed up to provide a cheaper solution. These two companies completed the “Drone on the Volga” project. Using a drone equipped with IoT and Blockchain technologies to autonomously collect water contamination levels.

4. Blockchain and IoT to provide Smart Parking Tools

Utilizing NetObjex Blockchain services, vehicles can be equipped with Cryptographic wallets to automate parking transactions. PNI Sensor Corp.’s PlacePod is an IoT-enabled smart sensor that can be placed in parking spots to determine whether it is available or taken. Advanced Parking Service System provides the hardware and cloud service necessary for the program to function. Merged together, these three services automate transactions, display to drivers where available spaces are, and instruct them on how to get there.

5. Using Blockchain and IoT to Sustain the Palm Oil Industry

A Digital article shows that technology-based strategies are being sought after to increase productivity and promote sustainability in the palm oil industry. Tags using IoT technology can be placed in soil, water, and on trees to track the quality and productivity of plantations producing palm oil.
In September 2018, Apical teamed with various members of the palm oil industry to form the Sustainability. Assurance and Innovation Alliance, or SUSTAIN, intended to improve sustainability with the use of blockchain.

6. Supply Chain & Logistics

Blockchain combined with IoT can improve the traceability of the supply chain network. IoT sensors like temperature sensors, motion sensors or GPS connected to the vehicles provide information about the shipment status. Data fetched from the sensors gets stored in the blockchain, bringing traceability, audibility and transparency in the system.