As we have heard many times that block chain technology will change the whole IoT industry but we do not know how it is going to happen. Today we are here to discuss the answer of three questions and how block chain is a platform for IoT solutions.
The questions are as follows:
- What is a block chain
- Why we should use block chain in IoT
- How to use block chain with IoT
What is a block chain
A block chain is a distributed database that is accessible from anywhere and there is not a single issue of failure. Its cost is higher and availability of this system is lower. To know better we have to take a look on the characteristics of this technology.
A Public Ledger
It means that anyone can access and join this this. Any block chain that is not public thus is not a block chain
Immutable
This ledger records everything. There is a track of every evidence and it logs every action on the system. You can update a record by creating a new one with reference to the old record.
Distributed
Using block chain as database, the is ready before hand and is distributed already, so there is no chance of failure and it leads to 100% service availability with world- wide success.
Why should we use block chain in IoT
There are some basic requirements for a usable block chain based platform. Let us read them.
- Scalability: A successful IoT solution does a massive set of action and this put the platform in a real test. A block chain that does not have scale is not at all useful for IoT solution.
- Worldwide access: The nature of IoT solution is to have a world wide access.
- Low and non-volatile cost: Estimating the cost in any solution is a part of that process but first make sure that the solution you are using has a fair and affordable cost. Make sure that using this platform should not decrease the cost otherwise it will kill the project.
- Stability: Stability is the most important thing that must be looked after. You have to install a device with stable and constant protocol otherwise it would be rather very painful it if gets changed every time.
How to use block chain with IoT
A block chain is a single distributed database where the data entered cannot be altered or lost. The main question is how to update this database? How to do transaction on Bitcoin work?
Transactions are easiest way of informing the network that you want to update the database. This update can be done in form of requesting for actions or steps like moving coins and entering data.
Every and each transaction needs at least one input to get recognised as a sender until and unless it is a coin base transaction. It also needs an output to get noticed as recipient.
When you request for an update on the database, you need to provide the evidence for its request, that is the signature of Unspent Transaction Output. The person having access to those private keys can only provide those signatures. As long as the private keys are safe not compromised, no one can update the database on behalf of the sender.
But with the original version of Bitcoin , the transactions can also carry out the data. This data can be anything and with any instructions. Note that in Bitcoin you have 2^256 addresses and each address can represent a device without requiring a public IP.
Many of us know that block chain is a hype but trust us using this block chain technology actually improves security, availability and lowers the lower the cost of running projects.
The best choice of IoT solutions is the original version of Bitcoin as it has all the elements of an IoT solutions that would be requiring.
Hope you all enjoyed reading this article. Do not forget to stay connected with us more updates. Till then goodbye. Have a nice day.