Blockchain provides solutions for some problems encountered by the Internet of Things

The Internet of Things has always been respected by all walks of life, but the huge system of the Internet of Things has many pain points that are difficult to solve.

In the initial stage of the concept of the Internet of Things, various technologies are competing to enter the "network" first. For example, various types of low-power chips are constantly emerging; Bluetooth, ZigBee, WiFi and other technologies are constantly evolving toward the Internet of Things, and LPWAN technologies such as Lora, NB-IoT, Sigfox, and Zeta are emerging; various types of Internet of Things platforms that focus on different businesses It is also actively building an ecosystem, from technology to business layout, which has started a resource competition; cloud computing, big data, artificial intelligence and other technologies have been "tied" to the Internet of Things business, providing "omnipotent" business support.

Blockchain provides solutions for some problems encountered by the Internet of Things

However, behind the spree of IoT-related technologies, the fragmentation of the IoT business system has intensified, data islands or chimneys continue to multiply, and security issues have been criticized by more and more users ...

When the Internet of Things encounters blockchain, various problems are solved

Although the development and application of the Internet of Things technology has achieved remarkable results in recent years, billions of sensors and intelligent controllers have been put into use worldwide, and this number is expected to grow exponentially in the next few years . However, the Internet of Things technology is also facing many problems and challenges. These problems may become a huge obstacle to the future development and application of the Internet of Things, and blockchain technology provides new possibilities for solving these problems.

Below, we focus on the three major problems encountered in the Internet of Things and the corresponding blockchain solutions. Question 1: The operating cost of the IoT business system is gradually increasing

Blockchain provides solutions for some problems encountered by the Internet of Things

First of all, the management and maintenance of hundreds of billions of Internet of Things equipment will bring huge cost pressure to manufacturers, operators and end users. The current IoT applications basically adopt a centralized system architecture, that is, all data streams are aggregated into a single central control system. Although with the popularization and application of cloud computing technology, IoT operators can now adopt Cloud server clusters provide storage and exchange services for data generated by IoT smart devices. However, as the number of connected devices grows geometrically, the computing, storage, and bandwidth costs of centralized services will increase to an unaffordable level.

Secondly, due to the different trust domains of different subjects, each IoT architecture is relatively closed and cannot truly provide the ability to interconnect everything, and the cost of trust is high. The closed nature of the IoT architecture makes it difficult for devices of different systems to realize value interconnection. Although most companies currently provide API-based access to Internet of Things services, they still access it indirectly through a centralized server, and do not implement direct communication between devices to transfer data information.

Finally, the transmission and storage of data by IoT operators or personal devices and networks cannot satisfy the distribution of benefits from multiple parties, and the cost of data sharing becomes higher. If companies and individuals that provide infrastructure equipment and network services want to obtain reliable income, such as charging based on the amount of data stored and transmitted, different IoT service providers need to achieve resource sharing, sign cooperation agreements, and design at the top level Set up a settlement system. In the context of the Internet of Everything, the cooperation model of this mutual agreement between the two parties has a very high implementation cost and very trivial management details, which is basically impossible to achieve.

Question 2: The privacy protection of the Internet of Things frequently touches the "red line"

With the continuous development of the Internet of Things industry, the issues of data security and privacy protection have received increasing attention. After the Snowden incident, the privacy of network services controlled by the government and large enterprises was widely questioned. Especially in the field of Internet of Things, the current centralized service architecture allows all monitoring data and control signals to be stored and forwarded by the central server. These central servers collect the video signals transmitted by all the cameras of the collector, the call records recorded by the microphone, and even the user's running rhythm, heartbeat and blood pressure information are collected into the central server, and the signals forwarded through the central server can also control the doors and windows in the home , Electric lights and air-conditioning equipment directly affect the daily life of users.

Question 3: The business value of the Internet of Things cannot be further tapped

The emergence of the Internet of Things has brought a lot of "transformation" of business models to all walks of life. But in essence, there are no more changes. Transactions in the "thing" world should be able to be intelligent and automatically coordinated. The equipment for collaboration and transaction must be provided by the same IoT operator or authorized for verification, which greatly reduces the real business value of IoT applications.

Solution: Blockchain technology that combines decentralization, trust, and high privacy can provide three major support for the cost problems caused by the architectural bottlenecks encountered by the Internet of Things:

1) Data transmission by point-to-point direct interconnection. The entire Internet of Things solution does not require the introduction of a large data center for data synchronization and management control, and operations such as data collection, command sending, and software update can be transmitted through the blockchain network.

2) Data encryption protection and verification mechanism in distributed environment. The important reason why the data transmission interface of the intelligent terminal is not open is that the data of a certain IoT sensor node is transmitted through the intelligent nodes of other service providers or individuals, and the data itself may be illegally tampered or lost, resulting in system reliability. decline. Through the blockchain data encryption technology and P2P Internet, this trust problem can be solved. Blockchain technology provides the possibility of decentralization for the Internet of Things. As long as the data is not controlled by a single cloud service provider and all transmitted data is strictly encrypted, user data and privacy will be more Safety. Today, big data analysis technology is widely used, users can use the value of data instead of being hijacked and outsourced by operators.

3) Convenient and reliable cost settlement and payment. Through the use of blockchain technology, IoT devices of different owners can directly transmit data through encryption protocols, and the data transmission can be billed and settled according to transactions. This requires the design of an encrypted digital currency in the IoT blockchain as the basic unit of transaction settlement. All IoT equipment providers can add blockchain support to the device before leaving the factory, and they can Direct currency settlement between different operators.

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