DistributedLedgers MeetMesh Networks

By: Kevin Chen

2

Table of Content

1. Our Evolving Internet

2. Introducing IoT / M2M

3. Blockchain Secure Value Layer

4. Cases Studies

5. What’s Next?

1.Our Evolving Internet

3

➢ Global communications

network

➢ Connects billions of….

○ Computers

○ Mobile phones

○ Now custom devices

➢ Web: the UI of Internet

○ Starting with websites

4

What is the Internet?

➢ Mid 1900s - Early 2000s

➢ Personal computers

becoming mainstream

➢ Static information pages

➢ Webmasters determine

information on site

➢ Connect by hyperlink

5

Web 1.0 (The Static Web)

➢ Mid 2000s - Early 2010s

➢ Client - Server - Client

➢ AJAX, CSS, and widgets

➢ Social web, interactivity

➢ Rise of open-source

➢ Rise of social media

➢ Rise of e-commerce and

Digital payments

6

Web 2.0 (The Interactive Web)

7

Web 3.0?

Web 3.0 under the hood...

8

2.IntroducingIoT & M2M

9

➢ Supply Side (More Ubiquity)

○ Moore’s Law

○ Maker Movement/Customization

○ Smaller Embedded Devices/Machines

➢ Demand Side (Greater Need)

○ Intel gathering: Data = Oil, “Smart” = Insightful Info

■ For internal and external consumption

○ Predictive Analytics (i.e. Maintenance)

○ Now there is an arm’s race, FOMO

10

Why IoT? Why Now

11

Cloud, Fog, and Mist Computing

12

Challenges...

1) Fragmented NetworkProtocols

2) Security Vulnerabilities

13

1) FragmentedNetworks

➢ Differences in:○ Range○ Bandwidth○ Power Usage○ Latency

➢ Wireless Types:○ Cellular○ Wifi○ RF○ LPWAN○ Mesh

➢ Cell sites networks➢ 3G/4G (LTE)/5G➢ Range:

○ GSM: 200 km max○ HPSA: 35 km max

➢ Large quantities of data, less latency

➢ High power consumption➢ Use cases: self-driving cars,

telemetry health care➢ “Visa” of IoT Networks

14

Cellular

➢ Connects to router (wireless

access point → Ethernet)

➢ Range: 100 m max

➢ Data Rate: 150-600 Mbps

➢ Fastest Data Rate

➢ Most power consuming

➢ Vulnerable to attack

➢ Use cases: This presentation!

15

Wi-Fi

➢ Short-distance communications➢ Radio Frequency ID (RFID)

○ Use RF to ID and tag objects○ Range < 12 m, Data: ~600 kbps○ Use cases: retail and warehouse

merchandise tagging, car➢ Near Field Communications (NFC)

○ D2D proximity communications ○ Range: < 10 cm, Data: 100-400 kbps○ Use cases: contactless card tech,

newer cell phones, badge➢ Bluetooth Low Energy (BLE)

○ Battery-powered + RF chip beacon ○ Range: < 70 m, Data: ~1 Mbps ○ Use cases: beacons UI, wearables

16

Radio Frequency (RF)

➢ Low Power [Wireless] Wide Area Network (LPWAN)

➢ Interconnects battery-powered devices with a central hub

➢ WAN: kilometers, LAN: meters➢ Battery (2.5 Ah) Life: 10-20 years➢ Greater number of devices➢ LoRa: 2-15 km, < 27 kbps➢ SigFox/UNB: 3-50 km, < 100 bps➢ RPMA: ~5-10 km, more power comp➢ Use Cases: Smart Cities, Industry

4.0, AgTech

17

LPWAN

18

➢ Edge-to-edge (E2E), with gateway➢ Endpoints become signal receivers➢ Non-interference➢ ZigBee

○ 7 years for batteries○ Range: 10-100 m, Data: 20-250 kbps○ Use Cases: utility, retail

➢ Z-Wave○ Range: ~30 m, Data: 10-40 kbps○ Use Cases: home automation

19

Mesh networks

➢ ANT

➢ 6LowPAN

➢ OnRamp (LPWAN)

➢ DigiMesh (Mesh)

➢ Helium

20

Others

21

MESHWIFI / LPWANCELLULAR

22

IoT Protocols Cheat Sheet

Network Distance Battery Life Data Rate Topology

Cellular Very Long Low High Centralized

Wifi Short Very Low Very High Decentralized

RF Very Short Medium Medium P2P

LPWAN Long Very High Very Low Decentralized

Mesh Medium High Low Distributed

Inversely correlated

23

Rest of the Internet Stack today...

24

2) Security Vulnerability

➢ Vulnerable Cryptography➢ Data can be intercepted

OTA➢ Examples:

○ Dyn Inc.○ Factories○ Medical Devices○ Smart Cars

4.Adding Blockchains/DLTs In the Mix

25

➢ Distributed Ledger

○ REDUCES SINGLE

POINT OF FAILURE

○ Use cases: IDoT, Data

Encryption, Audit Trail

➢ Type of Propagated Data:

○ Transactions

○ Blocks

26

Basics

➢ Public Key Cryptography

○ Sign and create Digital Signatures

○ Ex: transaction, software update, ID

➢ Consensus Mechanism

○ Set of confirmed and verified

transactions for distributed ledgers

○ PoW/PoS/others...

27

Properties of Blockchain

28

Blockchain/DLT Avg Tx Size Max Block Size Avg Block Interval

Bitcoin < 1 kB 1 MB 10 min

Bitcoin Cash < 1 kB 8 MB 10 min

Litecoin < 1 kB 4 MB 2.5 min

Ethereum Up to ~53,000Gas limit (for SC)

3,141,592Gas (~800 kB)

15-17 sec

IOTA 1 - 2 kB* - -

➢ RACE TO FIRST!

➢ Need Power Supply

➢ Need Fastest

Connectivity

➢ Need Fastest

Computing

➢ Biggest Mining Pools

29

Mining (PoW)

30

Tx

Mining

31

Partition-Tolerance (DAG)

Where DAGs come along...

32

Blockchain/DLT layer on top of IoT Connectivity layer, below Data or Application layer

5.CaseStudies

33

➢ Early blockchain + IoT startup, founded in 2012

➢ Vertical SPADE Framework➢ Filament Tap device/beacon➢ Use telehash for distributed

endpoint device comms➢ Device discovery over Wifi,

radio, and Bluetooth➢ Blockname: address on Bitcoin ➢ Blocklet: L2 accounting on BTC➢ Use cases: rails, freights, and

other infrastructure

34

Filament

➢ Comprehensive IoT-DLT app

platform provider

➢ IoT CMS, Device Registry, Data

Collection/Analytics

➢ Supports ZigBee, ZWave, BLE,

BT, and UWB

➢ Use Cases: Dynamic EV

Charging, Smart City

parking/utilities metering

➢ Using IOTA feeless network

35

Netobjex

➢ Wisdom Alter Label Trade

Organizations and Networks

➢ VIOT (Value IoT)

➢ Phase 1.0: dev RFID tags to

placed onto materials not

accessible to the Internet

➢ Use Cases: retail, warehousing,

logistics (P 2.0), smart

manufacturing (P 3.0)

36

WaltonChain

➢ Decentralized ISPs (monopolistic)

➢ Incentivized Community Mesh

➢ Create software for existing

hardware to connect to each other

➢ Hops with best AND cheapest paths

➢ IoT connectivity depending on hop

distances (i.e. LPWAN large hops)

➢ Uses Ethereum blockchain

➢ IoT network agnostic

37

Althea Mesh

➢ Sensor (i.e. temperature logger) records environment conditions while package is in transit

➢ Uses BLE or NFC➢ Blockchain agnostic,

starting with Ethereum➢ Use Cases: pharmaceutical

supply chain

38

Modum

6.What’sNext?

39

40

Digital Assets (Tokenization) of Everything?

41

AI, bots, and DAOsthe next layer?

42

Swarm Intelligence?

43

New UI/UX?

➢ Front-End Layer○ Websites, AR/VR, Robotics, Smart Cities, Industry 4.0, Space Tech

➢ New Software applications○ With built-in AI/IoT/DLT libraries

➢ AI Semantic Layer○ Google DL/NN

➢ Data Aggregation Layer○ MAM, MQTT, XMPP, JSON

➢ Blockchain/DLT Trustless Consensus Layer○ Bitcoin, Ethereum, NEO, IOTA, Ripple, Litecoin, Monero

➢ IoT Connectivity Layer○ Cellular, Wifi, LPWAN, Mesh

➢ Physical Layer (Wired/Wireless)○ Radio frequencies, Fiber optics, Quantum tunneling?

44

Possible Web 3.0 Stack?

Thank you!

kevin.chen@iota.org@kevrchen

www.iota.org

45