Blockchain technology is one of the hottest topics in the 4th industrial revolution. Some believe this emerging technology will revolutionize the internet and replace large data centers with distributed computer systems around the world. Using this technology, transactions are strongly encrypted, verified simultaneously across multiple distributed systems and cryptographically stored in a chain of blocks. Because of these unique characteristics, blockchain is a trustable and immune infrastructure that secures applications running over the internet.
- Cryptocurrency
Cryptocurrency is a very successful application of blockchain so that total value of top cryptocurrencies such as Bitcoin and Etherium together is around $2.48 trillion which is %7 of the world’s narrow money supply [1]. Cryptocurrencies are growing very fast because national banks and governments cannot regulate and supervise them. As a result, individuals and governments can easily trade and bypass sanctions. In recent years, governments have found the future of financial systems in this digital gold, so they are investing in the cryptocurrency market.
- Supply Chain
Blockchain has also been successfully applied to supply chains. Final products that are sold in stories are processed within multiple steps from the raw material to shipment and sale. These steps together make a supply chain. Since multiple players are involved in a supply chain, transparency and traceability of the steps are crucial. What is the real source of materials? What materials have been used in the product? Under what conditions was the product shipped? These are just some of the concerns that blockchain addresses for customers and merchants. The history of transactions enables supply chain players to keep track of who has processed what part of a product when and where. The luxury jewelry market requires such transparent technology since fake or stolen diamonds are traded, and customers are always concerned about the ownership, material, and manufacturer of jewelry.
- Industrial Internet of Things (IIoT)
Numerous businesses are using blockchain technology, including real estate, insurance, lending, etc. Nevertheless, the most recent and absolutely most effective application of blockchain is in the area of Industrial IoT. Today, manufacturers are finding IIoT as a more efficient and affordable platform than local industrial control systems like SCADA. IIoT cloud platforms allow customers to connect their industrial devices with little or no hardware knowledge and pay only for what they use. The IIoT offers customers additional services that range from monitoring and controlling devices to artificial intelligence; however, 91% of manufacturers worry about its security and prefer to continue using traditional local systems rather than cloud services [2].
IIoT providers take advantage of traditional security solutions such as VPN and firewalls to mitigate security issues and partially reduce customers’ concerns. Although these security shields protect devices against cybersecurity, most IIoT platforms are not secure by design and often sacrifice security for efficiency. Blockchain solves some security concerns such as the single point of failure. Strong data encryption and distributed processes make this technology secure from availability, confidentiality, and integrity dimensions.
Infilock Inc. has recently developed InfiIoT, an IIoT SaaS based on blockchain, and InfiWatch which is a Security Information and Event Management (SIEM) application. InfiIoT encodes IIoT’s logics such as authentication, access control and device management in blockchain to securely monitor and control devices.
- Conclusion
Blockchain technology has revolutionized certain industries, including financial systems, and will continue to do so, especially in manufacturing. Blockchain can establish a secure infrastructure that allows industries to run manufacturing over the internet and scale and optimize operations.
References
- CoinMarketCap. “Global Crypto Market Cap,” https://coinmarketcap.com/, Accessed Nov. 26, 2021.
- Microsoft. “IoT Signals Report,” https://azure.microsoft.com/en-us/resources/iot-signals, Accessed March. 23, 2022.
