Blockchain and IoT
The implications of IoT are as important for the end user as for the global industry. This technological phenomenon will vastly improve the collection of data, especially how, when, where and why it is collected. However, as we progress into this ‘Internet of Things’, obvious security concerns come to mind. The idea of a rogue device, virus, or agent taking over and disrupting our homes or transportation systems has been used to scare viewers in many science-fiction films.
It is estimated that by 2025, there will be more than 80 billion inter-connected devices around the globe. Blockchain can help IoT machines drastically improve industries such as agriculture, manufacturing, transportation and as well as consumer-based applications. Collecting and controlling data from such newly found networks will help civilization gather better insights and make better choices about how to optimize life, or increase cost-efficiency of a particular process. However, as these networks progress and get more sophisticated, with potentially millions of similar devices joining a particular network, new methods of network administration and scalability will have to be invented in order to facilitate the traffic that will arise.
Blockchain and the Internet of Things
In order to avoid major crashes and system failures, blockchain IoT networks could use a decentralized ledger to store and process swaths of data, as well as various requests, all at the same time.
When discussing blockchain technology use cases of future smart machines interacting with not only human recipients, but also each other in real time, we can envision the key role smart contracts will play in ensuring each party fulfils its part of the working relationship. Going a step further, its also within reason to assume the existence of blockchain IoT applications as a combination of a multitude of smart contracts with a human-focused interface. Within the context of smart contracts, we can predict a future where smart machines interact with a ledger based on their specific preconditions. For example, an insurance company can automatically adjust rates for an automobile, or apartment properties depending on particular parametres and current state to make sure the end user benefits from dynamic, case-dependant prices.
The tokenization feature of a blockchain IoT also means that smart machines can be used for revenue generation. Through tokenization, IoT device owners will, for example, be able to use blockchain to manage and sell data they generate for digital currency.
Blockchain Data Storage
Blockchain technology will be used to create new, decentralized data storage networks, putting the power of choice back in the end-user’s hands.