Is the fusion of Blockchain and Internet of Things Big-time Opportunity
Following the hype from a few years, still, the Internet of things continue to be in vogue. Well, blockchain is the new buzz of the recent time. However, just at the beginning of their adoption curve, both are poised to be worldchanging technologies. Many tech experts believe that the fusion Blockchain and IoT will emerge as an exciting vision of future possibilities. Introduction: IoT Technology — is an ecosystem of the interconnected physical object via the Internet enabling them to send and receive data. This simply means that the connected technology allows the objects to interact with internal or the external environment. Blockchain Technology — It is "an open, distributed ledger that can record transactions between two parties effectively and in a provable and perpetual way. IoT is everywhere is steadily growing in popularity and capability to become one of the most ubiquitous technologies. According to Gartner, at the end of 2017, there were approx 8.4 billion connected devices in use. The research measured 31% increase, as compared from the previous year and the numbers are still increasing. It's estimated that there will be upwards of 20 billion connected devices by the end of 2020, further the numbers are expected to hit 500 billion by 2030. The implications of this revolution in connectivity extend is far beyond smartphones and private houses only. In fact, it has already taken over the industrial scale to everything from farming to healthcare, banking to logistic, people would have hardly believed. It's a harsh reality but there is still a far way to go in order to establish helpful IoT systems that run securely, efficiently and autonomously. Blockchain shows promises to ease that burden which has proved incredibly difficult. Well, Iot Application Development Company assumes that merging them together and in theory, it's possible to create a verified, protected and stable method of recording data that
is formulated by “smart” machines. This combined network of connected devices can interact with their environment and allows to make decisions without any human interference.
Some of the Major IoT Challenges • Attacks from the Physical device (unauthorized device control). • Software attacks (malware such as viruses ). • Network attacks (wireless vulnerability exploits). • Encryption attacks (bruteforce password cracking, “Man In the Middle” attacks) How Can Blockchain Help In Deploying IoT in An Efficient Manner? Based on cryptography a secured, immutable distributed ledger technology Blockchain offers a way to intensify the IoT framework allowing automated resource optimization and native security. Many mobile app development companies look forward to deploy IoT leveraging Blockchain technology to solve securityrelated issues. Blockchain Technology increases security establishing a decentralized interaction and data exchange by delivering scalable, distributed security and trust to IoT app development. The technology uses hashing algorithms to build an inevitable record of transactions, and that data can be encrypted and obtained through public and private keys. Features That Make It Possible: • A distributed system of record for sharing data across a network of important stakeholders. • Implanted business terms for automated interactions between nodes in the system.
• Offers Hashbased security with confirmation of identity and provenance authentication. • Consent and agreement models for identifying bad actors and alleviate threats Host of realworld digital business issues that can be solved applying a blockchain model in an IoT network:
Analytical model tracking Blockchain allows the system to record metadata and results concerning the logic performed at the edge of the network for the regulatory compliance, and conceive a permanent history. And provide information on why certain “decisions” were made during IoT processing. Secure software updates Generally, Security depends on authentication, connection, and transaction, and failure to achieve even any can cause major security flaws. In order to manage access to data from IoT devices, any attacker would have to go through an additional layer of security that is underpinned by the most dynamic encryption measures available in the blockchain. The cryptographic hash of the update can be validated by blockchainconnected IoT devices throughout the process. Payments and micropayments When data transaction between multiple networks takes place administered by multiple organization. Automated payments to business network participants take place based on sensor data as well as micropayments in certain networks for functions and capabilities — without human engagement. Smart contracts: Real gamechanger for IoT applications Well, it is possible to create agreements which will be executed when certain conditions strike, through encoded logic. And it is notably useful for all kinds of scenarios. For instance; you can sanction a payment when conditions intimate that delivery of a service
has been done. In this way, all interactions between a consumer and their connected device are managed in a translucent, untampered and frictionless way. The key benefit of Blockchain in IoT According to IBM • Build Trust Establish trust factor between devices and the parties Decrease tampering and collision risk • Reduce Costs The transparency with the intermediaries reduce the additional overhead cost • Accelerate Transactions Reduce settlement Source : IBM Recently, IBM launched an IoTtoblockchain service which is basically an addon to its present IoT Connection Service. This enables IoT devices, such as RFID location chips, barcode scans or devicereported data, to get transmitted to a permission blockchain on IBM's cloud service. Hence, afterward, the blockchainbased network is used by a business network of computers, to validate provenance.” Further, the devices which can already communicate data to blockchain ledgers enables smart contracts update or validation. For instance, in case an IoTconnected shipment moves along different distribution points, the location and temperature information can get updated on a blockchain.