Why blockchain is the missing link to IoT transformations

#News(IoTStack) [ via IoTForIndiaGroup ]

Mention blockchain in the watercooler chat, and odds are that it evokes notions of cryptocurrencies, like Bitcoin, and covert financial transactions. But in the enterprise world, blockchain is much more than an ultra-secure, digital financial ledger or another “over-hyped” new technology.

When combined with the Internet of Things (IoT), blockchain drives new value propositions and new business models, while addressing transparency, complexity and even some security challenges surrounding data transactions. In many ways, blockchain is the “missing link” that enables IoT deployments to achieve their full potential

Blockchain 101
Before diving into this subject in more detail, let’s begin with the definitions. In a basic sense, blockchain is a decentralized ledger that allows multiple parties to records transactions between them efficiently, securely and permanently. Once recorded, it is impossible to manipulate information within the blockchain. Thus, blockchain becomes a single source of truth for the transactions without a need for a third-party validation and verification. Easy enough, right?

[ For more on IoT see tips for securing IoT on your network, our list of the most powerful internet of things companies and learn about the industrial internet of things. | Get regularly scheduled insights by signing up for Network World newsletters. ]
IoT and blockchain
So, how does blockchain relate to IoT? In the enterprise, the value of IoT comes from the data that connected devices generate. This data can be analyzed and turned into solutions that drive operational improvements and create new value propositions and markets. For example, by analyzing the data streams from IoT connected machines on the plant floor, manufacturers can implement predictive maintenance solutions, and therefore, increase uptime.

Read More..