Use Case On "Building Smart Home Based On Blockchain"


Internet of things and Blockchain are the two new technologies we use extensively in the current world. These two technologies are already on their way to reforming our future and are considered a radical change in the current network architecture.

Once we incorporate IoT with an object, it makes them ‘smart’ and capable of communicating with each other, thereby gathering enormous data by constantly capturing the physical world. This huge amount of data is stored in a centralized storage location, which poses a great threat to privacy and security. Whereas the original architecture design demands for a decentralized one like distributed or peer-to-peer (P2P) system, blockchain comes into play by providing a secure and trustworthy way of sharing information using a distributed/P2P model, to achieve security, privacy, transparency, auditability, resilience, access authentication, data immutability, etc.

What is the Internet of Things (IOT)?

The IoT refers to a system of interrelated, internet-connected objects that can collect and transfer data over a wireless network without human intervention. The concept of IoT started way back in the 1970s, by British technology pioneer Kevin Ashton.

Smart Home

A Smart Home is a keen concept that utilizes IoT. That can be used in fixed, wired devices to increase resident comfort and reduce operation costs by efficiently managing resources. These buildings employ on-location controllers capable of collecting and analyzing data and then controlling it through a device to adjust the environment as needed. Check out some of the examples below:

  • In the morning, the alarm goes on and the IoT system can open the window blinds, turn on the coffee pot for you, and can even turn on the water heater.
  • We can use smart medical devices to connect through IoT. That will send a medical report to your doctor periodically and help keep you safe.

Smart Home device data is increasing day by day. “100 billion IoT devices will be able to generate data worth 3.6 Trillion dollars by 2030 according to research conduct by Western Digital. The study also shows that the yearly traded data volume would be 4.38 Zettabyte, where a significant part of the data will be generating from smart homes. Obviously, the financial potential of this data is vast because data generated from smart homes can be used in various applications. For example, the healthcare industry may unravel severe health issues by analyzing data collected from smart home IoT enabled devices; therefore, they can offer personalized healthcare services.” *

Therefore, there is an urgent need for a decentralized and secured data marketplace to provide smart home data. That is made possible through Blockchain technology.

Benefit of IoT

  • Efficient resource utilization
    IoT will help to utilize the resource more efficiently and effectively. If we know the functionality and the way that how each device work, we increase the efficient resource utilization as well as monitor natural resources.
  • Minimize human effort
    Direct human interaction can avoid through IoT. As the devices of IoT interact and communicate with each other and do a lot of tasks for us, then they minimize the human effort.
  • Save time
    It saves time, by reducing human effort. Time is the primary factor which can save through IoT platform.

Problems in current Smart Home - IoT solutions

As the Internet of things enables a set of benefits, it also has an important set of problems. Some of the problems of IoT are given below:

  • Security
    All IoT devices are connected through networks. For communication or interaction is using the Internet. The system offers little control despite any security measures, and it can be led the various kinds of network attacks. Hackers can virtually invade into a person’s home, through the hacked devices. For instance, a hacker can access to determine what television show watching at that movement.
  • Privacy
    Even without the active participation of the user, the IoT system provides substantial personal data in maximum detail.
  • Centralized Data
    All the data is stored at a central data storage. If that server fails, then the entire device will not be controllable. Device data are growing day by day. Those data storing in a centralized cloud service with a single access point. They become “Honey ports” for hackers.


Blockchain is a distributed ledger technology that enables users to share trusted and verified information in a decentralized manner. Combined with security and cryptography technology, blockchain can protect the privacy of users who contribute data while also sharing the provenance of the data, enhancing trust. Blockchain was introduced in 2008 underpinning the cryptocurrency Bitcoin. But the most primitive form of blockchain technology was depicted by Stuart Haber and Scott Stornetta in 1991, which prevented tampering of cryptographic hash linked timestamped digital documents*.

There are two parts in blockchain, one set contains transaction data and the other contains a previous hash value from the previous block. Hash value will be change when any manipulation happened in any of the previous transactions. So, the manipulation of previous data is not possible here.

Blockchain Technology Solution to IoT

Blockchain decentralized storage concept helps to fetch data more quickly. It helps to resolve the issue of one-point of failure in the centralized – IoT concept.

Smart contracts enhance the quality of smart home data and the data integrity.

Blockchain mechanism is feasible for the potential smart home user who does not have any trust in third-party providers and wants their sensitive information to remain confidential in their home premises. Users can share/sell their data only by using a smart contract. A smart contract is using for digital signature.

We can collaborate blockchain with Machine learning and AI for smart home data trading.

Homeowners can securely access home and provide access to others more securely. Authorized users can seamlessly control each device that is connected to IoT. And can control the devices in real-time via smart contract

The collaboration of homecare and blockchain-based healthcare facilities efficiently. The healthcare field required more reliable data. Because all treatment for a patient is based on the data it is generated. Tampered data leads to incorrect treatment.


Blockchain technology is identified as one of the solutions for addressing the issues and challenges in IoT. It has the ability to provide data integrity, privacy, and security for the Smart Home.