Yes, blockchain is part of IoT. The blockchain part of IoT is the future of information technology. The reason for this is simple: Distributed Ledger Technology (DLT) is going to take over the world.
Since the rise of web 2.0, many have wondered what the next generation of innovations would be. It turns out that the DLTs have proven to be the next wave of innovation in information technology.
We are entering the age of smart devices.
The Blockchain Part of IoT will Rule the World
The vision of the inventors of the Java language is slowly coming to pass. Our smartphones for example have taken over the functions of serval devices at once. It has led to the death of several industries. The alarm clock, the digital camera, the pager, the PDA, and the pager have disappeared.
Today, the smartphone handles them all. The various kinds of data that are available from this one device need to be stored in databases. Legacy systems have problems. They are insecure, expensive to maintain, have scalability issues, and so on. These are some of the many problems that legacy systems bring to the table.
The rise of web3 technologies has changed things for the better. Having a distributed ledger provides a new paradigm. One that makes blockchain part of IoT. Blockchain technology is the first of the DLTs. As such, it provides the first proof of concept that shows that DLTs can work.
We can now see that storage need not be in one place. Everyone can have individual ledgers and still keep the stored information intact and secure. We all know the many things that IoT can do. Ease of access, intuitive services, smarter devices are some of these advantages.
Massive Amounts of Data Need to be Secured
The rise of mobile devices has increased by quantum the amount of data available in the IoT. There are also many new members of the IoT ecosystem. Most of these vast troves of data are stored in legacy databases at the moment.
It exposes the data to exploitation by hackers and other nefarious groups. Making blockchain part of IoT will send these bad guys in another direction.
It isn’t the only advantage of making blockchain part of IoT. There are others.
Realtime updating of ledgers without human interference is another. Legacy systems traditionally include human access to information as part of their security architecture.
Recent hacks expose how fallible human beings can be. Information stored on blockchains is immutable. It allows for the permanence and accuracy of the raw datasets. It is one clear advantage that blockchains have over legacy systems. For the IoT ecosystem to thrive, the integrity of the data stored cannot be toyed with.
Blockchains Increase IoT Data Accuracy
It also makes IoT ecosystems to become far more accurate. To some degree, IoT ecosystems have a margin of error that can be eliminated if systems creators make blockchain part of IoT.
Another clear advantage of this is that the IoT ecosystem won’t need as many upgrades. Blockchains have proven to be scalable. The reason for this is that cryptography is the foundation of blockchain technology.
This foundation places the technology way ahead of its competitors. The other advantage that blockchain technology has over legacy systems is scalability.
New generations of blockchains can handle massive amounts of data influx. It puts them at a strategic advantage over legacy systems. As information gets captured within the IoT ecosystem, a strong backbone for data capture is needed.
Legacy systems don’t have this backbone. The only legacy systems that have this are custom enterprise solutions. Those are very expensive to create and implement.
Making blockchain part of IoT lessens this burden significantly. Several ecosystems can exist on the same blockchain. The inclusion of data oracles now allows blockchains and apps to talk to each other.
Adoption of Blockchain IoT Will Increase in the Next decade
As blockchains and DLTs continue to evolve, we shall see a significant rise in adoption by IoT systems.
The great thing is that the DLT space is still new. The industry is just about ten years old. There is space for the inclusion of heroes and heroes who can bring new concepts and paradigms.
It will be to the advantage of IoT. Already, people have postulated that IoT is a fading concept.
Such short-sighted individuals think that IoT has reached its limits. It is because of the limitations of the legacy systems that store the datasets from IoT systems.
Blockchains can be forked to allow new limits without the cost and difficulty that legacy systems bring.
These companies are part of a new bridge of companies that have made blockchain part of IoT. They have been successful on a practical basis and will provide a template for companies of the future.