Distributed ledger technology (DLT) is often combined with the Internet of Things (IoT) to enable interesting automated functions in the real world, which are also registered and processed digitally. IoT devices are physical objects designed to connect to the internet, and also function effectively in a distributed network.
Blockchain was not built to address challenges such as high energy costs and lack of necessary speed. Directed acyclic graphs (DAGs) like Obyte could be a better alternative, allowing for cheap, fast, secure, and highly decentralized transactions and immutable data recording.
With this in mind, let’s look at some potential use cases for the powerful combination of IoT and Obyte.
Asset Tracking and Verification
The journey of any good or asset from its origin (the manufacturer) to its final destination (the consumer) can be long and complicated, with many problems along the way. This is especially true when the safety and authenticity of the product is vital to the end consumer and can be tampered with before it reaches them. Fortunately, decentralized networks combined with IoT devices can track and verify any product throughout the supply chain, ensuring its final quality.
Sensors and IoT devices can report shipment status to DLT in real time, ensuring all parties have access to an accurate, tamper-proof record. This is especially useful for monitoring the status of perishable or high-value goods, improving accountability and reducing losses due to theft, fraud and damage.
For example, consider pharmaceutical products produced in a manufacturing plant. Each product is embedded with IoT sensors that generate real-time data about its location, temperature, and humidity levels. Once the product leaves the factory, the IoT device records its status in the Obyte DAG, ensuring an immutable and transparent record of every step.
If any anomalies occur, such as temperature fluctuations that could compromise the integrity of the product, relevant parties are instantly alerted and quick corrective action can be taken. Upon arrival at the final destination (likely a pharmacy), the product’s entire journey is instantly accessible on the Obyte DAG, and the entire journey can be viewed by accessing a simple QR code printed on the tag.
Smart car leasing and sharing
It is also possible to implement a system where vehicles such as electric scooters, bikes, cars, etc. can be leased or rented using tokens on a decentralized network like Obyte. Users can unlock and operate these vehicles by scanning a QR code and paying with a compatible token or by minting a new token for this purpose.
Vehicle usage data (duration, mileage, etc.) is recorded in the DAG, ensuring transparency and trust. Human-readable smart contracts and autonomous agents (acting like digital vending machines) can manage leases, maintenance schedules and payments. All of this can be done from the same wallet, maybe with the help of chatbots, and without the need for additional intermediaries.
For example, let’s say John wants to rent an electric scooter for a quick ride around town. John opens his Obyte wallet, finds a nearby scooter, and scans its QR code. Immediately, the app prompts him to pay for the rental using an Obyte-based token. After confirming the payment, the scooter is unlocked and John can begin his journey.
While riding the scooter, IoT sensors on the scooter continuously track data such as distance traveled and usage time and record it in the Obyte DAG. Upon reaching his destination, John parks the scooter and ends the rental in the same app. The smart contract processes the final payment based on the usage data. Additionally, it automatically updates the scooter’s maintenance schedule based on the recorded usage, ensuring the scooter remains in optimal condition.
Distributed Health Monitoring
IoT is already widely used in healthcare, including common devices like wearable fitness trackers and medical sensors. When combined with a DAG like Obyte, all important medical information can be securely digitally registered and shared with healthcare providers and researchers only when necessary.
Consider this scenario: Sara uses a wearable fitness tracker to monitor her heart rate and daily activity. The device continuously collects health data and securely records it in the Obyte DAG. One day, Sara feels unwell and decides to consult a doctor via telemedicine services. Through her digital wallet, Sara can not only pay for the consultation but also grant the doctor temporary access to her health records stored in the DAG.
The doctor can then review data like heart rate trends and activity levels in real time to help make an accurate diagnosis. After the consultation, Sarah revoked access and was assured that her information would remain private. The system makes it possible to share important health data in a safe, efficient and controlled way.
Waste Management System
The sheer volume of waste and inefficient technologies to process it is another major challenge to improving our environment today. Using IoT sensors and the Obyte ledger, we can create a new decentralized system to address this issue. Sensors placed on trash and recycling containers can monitor the fill levels and send data to the DAG.
Smart contracts can automate the scheduling of waste collection services based on real-time data to ensure efficient and timely collection. Additionally, new customized tokens can be created that reward users for good recycling practices, encouraging environmentally friendly behavior and improving overall waste management efficiency.
Cities looking to boost recycling can create customized tokens called “RecycleCoin” (RCC) on Obyte. Residents are provided with IoT-enabled recycling bins that track the amount and type of waste dumped. When someone recycles a plastic bottle, the bin records the data and automatically logs it to the Obyte DAG.
For every kilogram of recyclable waste, users earn RCC, which are automatically deposited into their digital wallet. These tokens can be redeemed for rewards such as discounts at local stores or acquire real value through free market supply and demand. The system not only encourages recycling, but also ensures transparency in waste management and fosters more sustainable communities.
P2P Clean Energy
Another way to help the environment through IoT and Obyte, and reduce your electricity bill in the process, is peer-to-peer (P2P) energy trading. Homes and businesses with excess energy generated from renewable sources such as solar panels can sell the excess energy directly to other consumers in the local power grid. IoT devices measure the amount of energy produced and consumed and record this data in the DAG.
Smart contracts facilitate automatic and transparent transactions based on real-time energy usage, ensuring that producers are paid promptly and consumers are charged fairly, optimizing energy distribution, reducing reliance on traditional energy suppliers and encouraging the use of renewable energy sources.
** **To put this into practice, imagine that Alice’s house, equipped with IoT devices, measures her solar energy production and usage and records this data in the Obyte ledger. One sunny afternoon, Alice’s panels produce more energy than her household consumes.
The IoT platform automatically records excess energy in the DAG and makes it available for sale. If a neighbor, Mike, needs extra energy for his home office, his IoT system can detect the availability of his Obyte wallet and purchase Alice’s excess energy via a smart contract. The provider is paid immediately and Mike is charged a fair rate.
All these examples are just a few of the vast possibilities that arise when combining Obyte with connected devices, paving the way for innovative solutions across many sectors that can improve efficiency, security and user experience in ways never before seen.
Featured Vector Image: vectorjuice/Freepik
