Blockchain and IoT – Technologies empowering one another

Oracle says, “IoT is like the human nervous system, it senses — with billions of connected devices around the world and Blockchain is like the memory, it remembers — creating a secure, indelible record of transactions and data exchanges”. And just as we move towards the future, we see IoT and Blockchain, individually changing the world. We see these emerging technologies introducing opportunities and challenges for the enterprises leaving an unprecedented impact on our lives. When talking about their discrete dominance, how can we leave behind the impact their interdependencies are marking on the globe. Their breakthrough innovations and use cases, as combined, are set to revolutionize science & technology, businesses, industries, and the world.

The term Blockchain means an encrypted database used to keep records that are distributed and verified across thousands of computer servers with reduced chances of security breaches. Initially, the technology started with cryptocurrency and is now entering various other domains. Use of blockchain in finance, healthcare, defense, government, law, energy, you name it. Either it is already acclaimed to being used or industries are getting ready to put their hands on it. Indeed, there are no just-in-cases with Blockchain, it is a breakthrough invention intended on being employed in every industry and vertical.  With a few shortcomings in place, technologists are scrambling their ways to come up with better versions of it.

While on the flip side, IoT, as we all know it, is making things smart by embedding smart sensors into everything. With IoT development, the public sector, several industries like manufacturing, transportation, automotive, consumer goods, and healthcare are not the same. Its impact is being felt in our lives.

Blockchain combating

The IoT security issues

Huge amount of data transmission between systems and devices is involved in the Internet of Things. With every device being added to the network comes the risk of unauthorized access. Unencrypted or weak encryption data transfers, large number of devices and protocols involved in network implementation increase the chances of hackers to enter the IoT architecture. Along with all that, safe functioning of an IoT platform and secure management of data becomes a compelling challenge. 

Blockchain technology came as an advantage to overcome these security challenges with its capability to maintain a growing number of data recorded in blocks at various levels. Transactions could be recorded orderly and carefully with Blockchain which means the history of connected devices could also be easily and securely recorded. Software attacks (malware or virus attacks), network breaches, encryption attacks could be prevented. In all, Blockchain-as-a-service was bridging the security gaps and bringing solutions to eliminate the threats posed by IoT. 

Over the time, the stand outs for Blockchain technology that have been noticed are -

• • Transparency to community and customer

• • Increased efficiency

• • Enhanced security and scalability

• • Improved traceability

• • Simpler integration

• • Tamper-resistant

Blockchain and IoT use cases

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Somehow, knowing about the advantages that come with Blockchain, experts believe that Blockchain is still in its early day. It will take a while for its value to be understood and for us to fulfill it’s worth. Also, there might come a time that this merger becomes a necessity for us.

Meanwhile, there are several IoT integrated Blockchain platforms being created to produce high-end solutions. IOTA that supports machine-to-machine communication, fee-less micropayments, and quantum resistant data. Maru Basic, an integrated blockchain and IoT hardware solution built by Chain of Things (CoT) to securely collect and report data. It also solves IoT's issues with identity, security, and interoperability. The Hyundai Digital Asset Company is incorporating Blockchain technology into IoT devices for quick and effective communication, identity verification, authentication, and data storage.

Many others could be added to the list of creating combinations of RFID and blockchain technologies for effective IoT integration but this will only make the list too long. With that, let’s skip to the use cases of this combination by quoting “To know and not to do is really not to know”. It is the applications of a technology or innovation that determines its worth. Read more of that with respect to Blockchain and IoT -

Supply Chain and Logistics

A global supply chain network involves the time and plenitude of payments and invoices. With that, multiple stakeholders, delivery delays becomes a big challenge. The potential of IoT-enabled vehicles is put to use to track the movement throughout the shipment process. The transparency and complexities lacking in the supply chain and logistics can be prevailed over by the reliability and traceability that comes from Blockchain and IoT. The details obtained from IoT sensors are stored and saved in the Blockchain that is accessible to the stakeholders.

Automotive Industry

Digitization is taking over the world. Automotive industries are using IoT-enabled sensors to develop fully automated vehicles. The decentralization of an IoT network lets multiple users exchange information easily and quickly. The application of combined technology enables automatic traffic control, autonomous cars, and smart parking. From finding a place in a parking area to the automated calculation of parking charges and making payments - it's being done through sensor technology and crypto-wallets, making people's life easier.

Smart Homes

IoT gave us the convenience of home security systems, and Blockchain development just took it to another level. Before we could manage home and the appliances in it with just a few touches on the smartphone, and now, what's better is the enhanced security that comes with Blockchain. The Biometric, facial recognition, voice recognition data stored in Blockchain ensure that the IoT data collection from smart devices is not modified or altered in any way, guaranteeing improved security.

Pharmaceutical Industry

The transparency and traceability that one gets with Blockchain helps tracking and monitoring the journey of drugs from its origin to the destination of the supply chain. And, this information is available on the Blockchain distributed ledger. It is also accessible to the manufacturers, wholesalers, dispensers, and end-customers from anywhere and at any time.

Agricultural Indusrty

The food production industry can be reshaped by using Blockchain and IoT to its full potential. And why not? IoT sensors can be installed in the fields and farms, and the collected data can be stored in the Blockchain and used to enhance farming techniques and informed decisions regarding it that can be practiced for better production and yield. Not just that, but easy transactions to farmers could be a significant step.

Smart Contracts

Smart contracts let you manage transactions and interactions digitally, making sure of transparency and security. It makes it possible to create agreements that will only be put into action when certain conditions are fulfilled. For example, A connected device will only process payment when it indicates the customer has received the product or service. 

One thing is guaranteed that Blockchain and IoT Technology together promise great strides of development in the near future. And, it is the software development companies that can make the most of these to grow businesses and hence, the economy. One such company is Logic Simplified, an IoT app development company in India with skilled software game app developers who understand the long and short of these two revolutionary technologies. They are surefooted to guide you and help you understand how the use cases of Blockchain IoT combined can be put to use for the betterment of your business. It is wise to make use of the knowledge and intellect that these experts hold a grip on. Because we’re living in a time of innovation and invention and these technology fads, my dear, will connect the world in numerous ways keeping privacy and security on top priority. For any query, email us at enquiry@logicsimplified.com.