How Significant Is Blockchain in Internet of Things?

"The Internet of Things describes the connection of devices - any devices - to the internet using embedded software and sensors to communicate, collect and exchange data with one another."

How exactly does IoT work?IoT refers to a network of connected devices that are capable of collecting and exchanging data.

How effective is blockchain in the IoT sector in overcoming centralized bottlenecks?Blockchain at its core is a cryptographically secured, distributed ledger that allows for the secure transfer of data between parties.

Known blockchain IoT platformsSeveral blockchain platforms focusing on IoT are emerging as the industry gets bigger.

One of the first blockchain IoT platforms is IOTA. It was designed specifically for the Internet of Things and provides a transaction settlement and data transfer layer for connected devices.

Hdac.The Hyundai Digital Asset Company is applying blockchain technology to quickly and effectively communicate, handle identity verification, authentication and data storage between IoT devices.

The blockchain is used in a variety of ways, with one focus being on advanced IoT integration in cold-chain logistics by using proprietary IoT devices to track key metrics - such as temperature - throughout the entire journey.

Challenges to overcome for blockchain in IoTGreat strides in development have been made in this area, but blockchain's application in IoT is far from perfect and several key challenges will have to be overcome before we will see the complete benefit of blockchain in IoT be realized.

Can blockchain networks cope with the sheer volume of data that is expected to be produced by IoT devices in the next five to 10 years without slowing down transaction speeds or the flow of data? IOTA addresses this issue specifically by not using a blockchain-based decentralized network, instead opting for their Tangle platform.

Decentralized blockchain networks provide a high level of security, but what level of weakness do the IoT devices create at the point where they connect to the network? Devices themselves will have to be secured as well to prevent hackers from tampering with them.