Internet of Things in Blockchains and Smart Contracts

Blockchains allow us to have distributed peer-to-peer network where untrusted members can interact each other without a trusted intermediary in a verifiable manner. In this paper, motivated by recent explosion around blockchain, examines whether they make good fit for IoT sector. Also reviews how this mechanism works and also look into smart contracts-scripts that reside on the blockchain that allow for the automation of multi-step processes. For blockchain-IoT combination: 1) facilitates the sharing of services and resources leading to the creation of a marketplace of services between devices and 2) allows us to automate in a cryptographically verifiable manner several existing, time-consuming workflows. This paper also point out certain issues that should be considered before the deployment of a blockchain network in an IoT setting: from transactional privacy to the expected value of the digitized assets traded on the network. The blockchain-IoT combination is powerful and can cause significant transformations across several industries, paving the way for new business models and novel, distributed applications.