What is IoT (Internet of Things)?
Recently, Cisco predicted that there will be 500 billion IoT connections over the next 10 years. But what is IoT? It includes devices in a huge network. All devices are inter connected, and data is collected through all these devices with the help of the internet to achieve some required agenda.
For example, if your refrigerator is in the network, and the amount of juice goes below the prescribed limit, it can automatically order some more from an e-commerce website and stock itself. It’s a technological advancement which will ensure better decision making, ease for consumers, and increased efficiency.
Blockchain meets IoT – Amalgamation of two extremely powerful technologies
This not only open opportunities in terms of smart homes, smart appliances, huge data collection, security but also may involve a huge leap in terms of using this vast array of information in the field of business to ensure steady, secured and robust transactions via blockchain technology. Combined with artificial intelligence, blockchain tech and IoT might be the next big milestone for humanity. Now, how are these even relevant to each other?
Blockchain is simply a decentralized technology that stores numerous ledgers which are un-editable and are maintained on ‘blocks’ to strengthen financial transparency and promptness of transaction.
How will it lead to a more robust enterprise environment?
There are many benefits by combing both if these techs. IoT, despite its usefulness, also comes with certain issues. The most significant one of them being security- ranging from issues with confidentiality, data integrity, privacy and exposure to a large amount of institutions vying for the data. The issue of security in IoT, can easily be regulated by the use of Blockchain.
The use of blockchain will help in transparency of procedure as each node can be tracked and the weak link is easily discoverable. This tackles and solves the biggest issue with IoT; threat to security. There would be no overwriting which would make the system more robust. It will lead to unalterable records, which makes sure that transparency is maintained at all times.
Can it lead to a better supply chain?
Moreover, there would be a huge cost reduction in the operational aspect of it. Deployment of IoT requires heavy costs, and the use of blockchain has the potential to eliminate a lot of intermediaries. It will also fasten the pace of transactions happening.
Blockchain will enhance the supply chain aspect with IoT, as it would be easy to find the node at which the process has been hampered and corrective measures can be taken quickly. It will help to track down authenticity of each unit and quality too. For example, Barilla group helps in tracking the origin of each ingredient they have used to make any product with the help of IoT. Both have the capability to completely revolutionize the way transactions take place.
Check out our article on the best supply chain cryptocurrency projects for their latest technological advances integrating blockchain with IoT.
IBM Watson may get the first movers advantage
How does IBM Watson incorporate blockchain to make a sturdier enterprise structure? It lets the client create private blockchains and lets them add important IoT data on it. This enables only the concerned parties in the blockchain or the smart contract to access data, creating transparency and credibility amongst the users. It also increases accountability as everyone on the blockchain is aware of all activities which further helps in creating an unalterable record.
All in all, combining both of these greatest technologies in today’s time, we might be close to an era in which huge amount of data, and sophisticated decentralized recording ledgers might determine every transaction in a world of the future.