More than a silly name, the Internet of Things (or, IoT) isn’t simply algorithms tracking purchase history, remote monitoring, or home automation; it’s putting things like Wi-Fi and Bluetooth into everyday devices that we can control and make “smarter” through programming.
It’s being able to upload information into the cloud. It’s being able to sync multiple devices together.
It’s connected living.
It’s meant to make our lives easier, but at the rate the IoT is evolving, we could be sending ourselves back to the Middle Ages. As data containing our most personal habits and patterns are sent in from these connected devices the servers containing this information become increasingly vulnerable.
International Data Corporation (IDC) estimates that 90% of organizations that implement the IoT will suffer an IoT-based breach of back-end IT systems by the year 2017.
The centralized security model of most IoT devices may yet, however, become a thing of the past as reports of hacks, DDoS attacks, and security breaches become more prevalent as newer and personalized tech becomes more ubiquitous.
Remember when CloudPets stuffed animals left parents emails, passwords, and personal recorded messages were left exposed for hackers? Or the recent Equifax breach?
The more dependent on our devices we become, the more dependent the security risk.
This is where Blockchain comes in.
More than just the force powering Bitcoin, Blockchain is built for decentralized control, being touted as the missing link for the success of IoT. Blockchain has an encrypted and distributed public ledger system which creates a safer environment for data unharmed by malicious third-parties as there is no single failure point, unlike the centralized model.
Blockchain will be a major player globally in the IoT with business transactions in a trustworthy environment and is already high on the to-do list for many companies. IBM sums up three key benefits for using blockchain in the Internet of Things: build trust, reduce costs, and accelerate transactions, offering new ways to disrupt the industry and enabling new business models.
The decentralized, autonomous, and trusting capabilities of blockchain make it a worthy solution to IoT security concerns.
Using the blockchain will allow for the enablement of true autonomous smart devices that can execute transactions securely without the need of a centralized broker, one of the biggest advantages of utilizing blockchain within the IoT.
