IDMoB: IoT Data Marketplace on Blockchain

Abstract:

IoT Data Marketplace on Blockchain erhouse of information generation with their ever-increasing
numbers and widespread penetration. Similarly, computer science (AI) and machine learning (ML)
solutions are becoming integrated to any or all kinds of services, creating merchandise considerably
additional "smarter". The centerpiece of those technologies is "data". IoT device vendors ought to be
ready sustain with the exaggerated turnout and come up with new business models. On the opposite
hand, AI/ML solutions can manufacture higher results if coaching information is diverse and plentiful.
In this paper, we have a tendency to propose a blockchain-based, decentralized and trustless
information marketplace wherever IoT device vendors and AI/ML resolution suppliers could move and
collaborate. By facilitating a clear information exchange platform, access to consented information are
democratized and therefore the kind of services targeting end-users can increase. planned information
marketplace is implemented as a wise contract on Ethereum blockchain and Swarm is employed
because the distributed storage platform.

I. INTRODUCTION

A new age of invariably listening, observation and act IoT devices area unit at our sill. Quoting IBM:
"90 percent of the information within the world these days has been created in the last 2 years alone –
and with new devices, sensors and technologies rising, the information rate of growth can seemingly
accelerate even more" [1]. hyperbolic quantity of information enforces companies to form and maintain
massive scale infrastructure projects within the cloud. sadly, each company, competent or not, tackles
these issues in their own method. In the meanwhile, virtually each company is building Artificial
Intelligence (AI) and Machine Learning (ML) solutions. Using both in public on the market and in
camera collected knowledge, companies aim to supply made-to-order user experiences targeting every
individual otherwise. Brobdingnagian quantity of consented knowledge continues to be not tapped and
presently there's no platform to look for it. Today, IoT makers use cloud-based solutions to implement
their knowledge storage and business intelligence/dashboard services. but implementing prophetical,
prescriptive and adaptive solutions necessary for future businesses needs Associate in Nursing
additional processing step that extracts unjust triggers from all the collected knowledge [2] [3]. These
next generation of services, that is pushed by recent technology trends like Industry 4.0 and sensible
Agriculture, force IoT makers to develop a replacement talent set that they presently don't possess. On
the other aspect, there area unit many AI and milliliter startups attempting to create insight victimisation
solely little scraps of information. the answer is straightforward: having a trustable, neutral platform
that knowledge

Fig. 1. Multi-party, multi-layer IoT answer

producers (IoT manufacturers) and knowledge shoppers (AI/ML providers) will seamlessly trade. we
tend to propose blockchain to facilitate such a trustless and secure digital commercialism platform.
Once the platform is in situ, an entire “business intelligence solution” will be created similar to planning
a stratified software stack. However, it'll dissent from existing solutions as follows: our answer are
consisting of multiple stakeholders (data suppliers and processors) that area unit connected to each
other during a sure method victimisation the blockchain infrastructure, to create unjust insights, i.e.
data which will be acted upon, for shoppers (Figure 1). one amongst the numerous edges of employing
a blockchain-based answer is that it nearly always comes with a cryptocurrency hooked up, so it's
terribly simple to make economic incentives work. Consequently, as determined in current
blockchain/cryptocurrency realm (SegWit, block size discussion etc.), governance is one more huge
facet that needs to be self-addressed so as to ascertain a living and dealing marketplace. Eliminating
IoT makers that give dangerous data or ranking sensible knowledge sets higher ought to be engineered
whereas designing the infrastructure. Proposed plan facilitates Associate in Nursing open setting with
a coffee barrier, wherever businesses or regular shoppers are ready to get the services or data from
multiple suppliers. These services could also be noninheritable in exchange for sharing device
knowledge with consent, rather than expressly paying for the services. planned marketplace isn't
designed for timecritical systems or services that require complete user privacy or had to fits law and
knowledge protection necessities such as General knowledge Protection Regulation (GDPR)
(Regulation EU) 2016/679) [4].

Fig. 2. Example benefit network with multiple stakeholders

In short, by making a standard, suburbanised associate degreed trustless infrastructure it'll be doable to
supply a) an always-on information store for IoT makers b) a searchable information marketplace for
AI/ML corporations. during this paper, we tend to aim to administer insights of however such an answer
are often designed by victimization blockchain technology and lay out the mechanics and governance
tips for such a system.

Organization of this paper is as follows: an outline of the IoT information marketplace thought and its
edges square measure bestowed within the next section (Section II). Then, the wants and limitations
for such a system is represented in Section III. In "Candidate Platforms" (Section IV), prospective
blockchain platforms for implementing the information marketplace square measure evaluated.
"Implementation Concepts" (Section V) and "Smart Contract" (Section VI) sections concentrate on the
implementation whereas pro-viding insights on key options of the contract and therefore the skeleton
code, severally. Implementation sections square measure followed by a discussion (Section VII) on the
pain points and improvement opportunities relating to the projected system.

II. IOT MARKETPLACE ON BLOCKCHAIN

Having a suburbanised IoT information platform has multi dimen-sional edges for all of the
contributory parties as elaborated during this section. Such a system won't solely give economical
edges, however additionally technical and user-facing edges also. As seen in Figure two, IoT
information are often collected, processed and at last consumed by totally different parties. during this
figure, there square measure 2 IoT devices: a wise watch and a holter monitor. The device manufacturer
should have already listed the information of those devices by victimization the projected marketplace.
3 totally different AI/ML suppliers purchase the information of those devices associate degreed method
them with their algorithms to provide insights like following a team's or an athlete's performance,
location of a precise or a bunch of people or non-real time observation of patients. As a result, these
insights could also be exploited by people, corporations or organizations like hospitals, sport clubs or
asingle patient. In the end, this approach can democratize the means information is managed and can
accelerate IoT adoption, making a regeneration loop.
As a facet note, though the thought of the suburbanised, trustless information marketplace is fairly new,
IOTA platform [5] has additionally projected a knowledge marketplace. within the last a part of this
section, previous experiments and proposals for building such systems square measure reviewed.

A. Benefits

1) Technical Benefits: Having a standard, blockchain-based information backend has clear

technical edges for all the parties within the system:

• IoT makers don’t need to produce and maintain cloud backends for device information, as a
result of our answer can give the mandatory information analytics services over blockchain.

• IoT makers can use well-tested, maintained and optimized code for his or her devices to act
with Swarm and Ethereum. software system development cycles are re-duced and time-to-market for
brand spanking new product can decrease considerably.

• AI/ML suppliers could also be ready to faucet into a huge pool of information that they're unable
to succeed in before. thus AI/ML solutions can improve thanks to magnified quantity of coaching and
check information.

• Consumers of the unjust insights, e.g. businesses, organizations and finish users are ready to
build new types of product and services. they're going to be ready to flick through a huge library of
activity patterns that square measure created by AI/ML suppliers.

2) Economical Benefits: clearly, the foremost direct good thing about the system are in economic
terms. Specifically, IoT makers, AI/ML suppliers and finish users can profit directly and indirectly as
elaborated below:

• IoT makers are ready to legitimize consented user information might|which can} ignite a brand
new wave of business models wherever IoT device prices may cut back to zero thanks to the subsidies
returning from information monetisation.

• AI/ML suppliers are ready to sell unjust insights to businesses and users.
• Businesses might finally give prognosticative, prescriptive and adaptive solutions to their
customers.

• End users could also be ready to use IoT devices and services freely in exchange for his or her
consent on information usage. The scope of information assortment is decided by each user’s consent
and legal framework that permits or denies it.

3) User-facing Benefits: generally, there's a skeptical ap-proach to systems wherever user

information is collected and processed, principally thanks to privacy issues. but this is often not a game.
A clear and trustless information marketplace that solely contains consented information might result
prime quality product and services for customers.

• within the projected model, there square measure 2 factors which will cut back IoT device prices: the
primary one is that the lack of cloud backend management burden and therefore the second is that the
information monetisation capability. assumptive IoT device makers mirror faded prices to device costs,
there'll be a internet incentive for finish users to use these product and services. it's doubtless that free-
to-use or free-if-consented business models bloom in each business.

• Such a knowledge marketplace can bring group action by suggests that of information access. this is
often one amongst the issues that net technologies have created, considering the big quantity of non-
public information accumulated and controlled by Google and Facebook. In our projected system,
information is tangled with protocol. Hence, there's no thanks to monopolize the information within
the syste.

• a fashionable system full of IoT makers and AI/ML suppliers can produce a universal library,
consisting raw and processed information. it'll be receptive anyone WHO desires to look for
correlations for any set of inputs and outputs.

B. Experiments

At the tip of 2017, IOTA declared that it's planning to support a suburbanised marketplace, "to open
up {the information|the info|the information} silos that presently keep data restricted to the
management of a couple of entities. information is one amongst the foremost imperative ingredients
within the machine economy and therefore the connected world" [6]. though the precise variety of IoT
vendors and devices that use this platform isn't precisely glorious, IOTA's marketplace approach shares
a great deal of goals and ambitions with the projected style. the most distinction in our projected
approach is that there's no entity that oversees the marketplace in any type. solely a clear, freelance and
auditable good contract is in situ, that takes care of connecting information suppliers and customers.
the information marketplace application is suburbanised and trustless in itself.

It is additionally imperative to say a couple of previous experiment, named "Contract Market" [7]
wherever users will buy IoT

devices. Hence, IoT vendors square measure ready to manage them via a wise contract. However, the
small print relating to wherever and the way the information is keep and accessed, or however the
system political economy would work is missing.

There are non-blockchain primarily based makes an attempt to make a standard information platform.
one amongst them is "Big IoT Market-place" [8] by the ecu IoT Platforms Initiative. huge IoT
Marketplace could be a platform wherever IoT information suppliers are ready to sell their information.
However, it's each centralized and doesn't give a generic technique to store and access information.

III. SYSTEM necessities AND LIMITATIONS

Finding the proper blockchain platform for implementing associate degree IoT information
infrastructure needs thought of multiple key aspects: information storage mechanism (on-chain or off-
chain), tools associate degreed capabilities for making an IoT information platform and money
incentivization for property.

A. information Storage

“Data storage mechanism” could be a general term to explain however IoT device information is
pushed and wherever it'll be keep. initial generation public blockchains have a cap on variety of
transactions, either in type of block size (Bitcoin) or gas limit per block (Ethereum). Pushing IoT
information directly into these systems isn't possible for the bulk of IoT applications, thanks to the high
quantity of transactions and therefore the high quantity of information. Bitcoin is ready to method
four.5 transactions per second (2704 transactions per block on 21th of Dec, 2017) [9] and Ethereum is
ready to filter fifteen.6 transactions per second (1349890 transactions on fourth of Jan, 2018) [10] at
their peak. On the opposite facet, there square measure personal blockchain platforms like Hyperledger
that has low latency necessities for accord however don't totally satisfy decentralization goals.
Benchmarking of Hyperledger platform shows that it fails to scale on the far side sixteen nodes [11].

Quorum [12] and Corda [13], that square measure each permissioned and blockchain-inspired
platforms targeting money institu-tions, proposing a unique model wherever information isn't keep in
public on blockchain. Instead, information is unbroken off-chain by the taking part peers (financial
institutions) and therefore the accord operate is intended to make sure agreements among interacting
parties. though this approach could also be sensible for money establishments in terms of making
"business flows", it eliminates one amongst our style goals wherever IoT device makers use this
technique as associate degree "always-on information store". additionally, there square measure custom
blockchain platforms targeting IoT and suburbanised application development, like IOTA [14] and
Greek deity [15], which can be analyzed individually below.

Although pushing the whole IoT information into blockchain is problematic, it ought to be doable to
push a questionable “file handle”, that's tied to a particular IoT information chunk. Hence, our projected
information marketplace targets non-real time and non-critical IoT systems that push observation
information to the information backend in massive time intervals (>30 mins). However, this approach
can would like a secondary suburbanised file storage layer. IPFS [16] and Swarm [17] square measure
2 distinguished alternatives that

can be used for this purpose. each technologies square measure peer-to-peer (P2P) with suburbanised
file transfer systems within which files square measure self-addressed by the hash of their content.
Moreover, {they square measure|they're} compatible with the thought of edge computing if IPFS or
Swarm nodes are dead on IoT gateways. On high of that, extremely used information sources are
retrieved with low latency as mentioned in Swarm guide: “Nodes cache content that they expire at
retrieval, leading to associate degree car scaling elastic cloud: standard (oft-accessed) content is
replicated throughout the network decreasing its retrieval latency” [18].

B. suburbanised Application
Proposed IoT information platform ought to be fully decen-tralized and continually in operating
condition all told circumstances. thus not solely the money a part of the trade, i.e., the transactions,
however additionally the appliance logic of the platform ought to be within the blockchain. As a result,
this narrows down the list of blockchain platforms to those that utilize good contracts to make sure
associate degree always-on suburbanised platform.

C. money Incentives

There square measure already clear edges for IoT device manufac-turers and AI/ML suppliers to use
the projected system. IoT device makers are ready to separate from of developing and maintaining a
cloud backend. Besides, they're going to be ready to sell collected information in associate degree open
marketplace. AI/ML suppliers, on the opposite hand, are ready to access a huge information library
wherever they'll browse and purchase the maximum amount as they'll afford. additionally, nodes within
the suburbanised storage network ought to even be incentivized so as to stay bulk IoT device
information accessible, a minimum of supported their usage [17]. This mechanism is analogous to
Amazon net Services (AWS) straightforward Storage Service (S3) in terms of practicality. Yet, it
consists of multiple freelance peers committing their resources rather than one entity, wherever they're
rewarded supported their contribution. Storage incentivization are often done as long as suburbanised
storage system is deeply integrated with the blockchain consumer. Having a intrinsical currency could
be a important tool for embedding incentives at the dealing level. sadly, permissioned blockchains like
Hyperledger and Corda lack this mechanism.

IV. CANDIDATE PLATFORMS

The requirements and therefore the challenges for such a system is elaborated within the previous
section. currently we are going to study 2 avail-able candidate platforms: one is bespoke for addressing
IoT desires (IOTA) and therefore the different one is projected for suburbanised application
development (EOS). Then, we are going to concisely describe our proposal, Ethereum and Swarm
platform.

A. IOTA

IOTA could be a comparatively new project that uses "Tangle", a directed acyclic graph organization
to store transactions. It aims to supply a suburbanised infrastructure and a knowledge mar-ketplace for
IoT devices [14]. but thanks to centralization issues and chronic storage desires (permanode), IOTA
isn't picked because the implementation platform for the nowadays.

"Coo" (Coordinator), that could be a full node controlled by IOTA Foundation, is utilized to filter
transactions. If "Coo" is down by any reason, IOTA network stops operating. IOTA plans to closedown
"Coo" once the system is ready to resist to a 4 attack. However, at the time of this writing, it's still on.
additionally, IOTA uses a mechanism referred to as "snapshot" wherever they prune history of
transactions and therefore the hooked up information so as to forestall bloat. As a result, IOTA full
nodes won't be storing associate degreey information by default (even a pointer to an external file)
except the account balance. so as to access persistent information, IoT vendors ought to run
questionable “permanodes” that store all the information ranging from the genesis block. this may be
an enormous burden for IoT vendors in terms of storage compared to simply incentivized freelance
Swarm nodes for storage during a Ethereum-Swarm setup. As a vicinity of the declared milestones,
IOTA is planned to require automatic snapshots.

B. Greek deity and Greek deity Storage

EOS is another blockchain project going to produce ascendable, suburbanised applications on high of
associate degree existing blockchain design [15]. Greek deity project addresses necessary aspects like
making peer-to-peer terms of service agreements, separating authentication from application. These
aspects square measure terribly im-portant if the aim is to make a suburbanised peer-to-peer
information marketplace. just like the authors’ line of thinking, Greek deity Whitepaper [15]
emphasizes that the piece of information to be keep in blockchain ought to be relevant to the appliance.
In different words, rather than the content itself, i.e. bulk IoT information, a pointer to that ought to be
keep in blockchain. a bit like Swarm, Greek deity recently projected a suburbanised storage layer
designed on high IPFS technology [19]. so as to possess a replicated file on Greek deity Storage, 2
transactions ought to be processed, one for making the file on the blockchain and therefore the different
one for the confirmation of a victorious transfer [19]. In general, Greek deity could be a well-thought
platform tailored for the wants of successive generation of application developers, However, for our
specific use case Greek deity storage mechanics can double the number transactions required to store
the file handles.
C. Ethereum and Swarm

Ethereum, being the primary suburbanised application platform, has already established itself a high
ranking among cryptocur-rencies and sparked developer interest with its suburbanised application
platform. Ethereum presently offers a wide used artificial language, referred to as “Solidity”, and an
entire net primarily based development surroundings, referred to as “Remix IDE”. additionally,
Ethereum is deeply integrated with Swarm, a suburbanised, torrent-like storage service. because the
results of this deep integration, Swarm nodes are often financially incentivized directly from Ethereum.
Lastly, Ethereum platform’s currency “Ether” is wide used that makes instant trades to act currency
doable. Such a feature might accelerate adoption of the projected system exponentially.

Based on the aspects elaborated on top of, Ethereum is chosen because the blockchain and Swarm
because the suburbanised storage

platform supported the maturity of the platforms and deep integration with one another.

V. IMPLEMENTATION ideas

This section can initial re-examine the ideas utilized in the event of our good contract. planning a
generic IoT backend on the blockchain needs some challenges which might be listed as follows:

• a versatile querying mechanism for information customers (filter information by vender, device
kind, geo-location, time)

• a electoral system to rank information sources

• a token-based economy wherever marketplace payments aren't exposed to significant market

fluctuations

• payment channels to execute instant transfers A. Data-as-a-Contract

Implementing the IoT information marketplace as a wise con-tract, i.e. a suburbanised application
deployed as a vicinity of blockchain, facilitates a clear information assortment and shar-ing
surroundings. additionally, by being trustless, blockchain infrastructure inherently provides a
worldwide safe-trade environ-ment. Quoting Nick Szabo, “trusted third parties square measure security
holes” [20].

The presence of such a system proactively eliminates op-erational risks of IoT device makers, as there'll
be no ought to develop associate degreed maintain an actual information backend. In our previous
analysis, we tend to incontestable however the blockchain platform are often used for integration IoT
devices [21] and making a generic information backend [22]. IoT device makers might maintain a
custom information backend for sure functions like privacy, however in any case, a blockchain-based
system can enforce transparency and information group action.

Nowadays, it's quite common for cloud provides to make solutions tagged as Software-as-a-Service
(SaaS) or Platform-as-a-Service (PaaS) that provide their customers pay-per-use access. Following that
model, customers of the IoT information like AI/ML suppliers, or customers of the unjust insight like
business, organizations, regular finish users WHO provide consent to information sharing, pays the
maximum amount as they use the provided services.

B. Geographical information on Blockchain

One of the key options for net of Things is geolocation wherever the interaction with surroundings
takes place. There square measure several researches for decisive geolocation of IoT finish devices
while not trusting the placement info from IoT device or IP packets, which can be blocked or
compromised by associate degree resister [23]. Still, detective work the geolocation of associate degree
IoT device isn't moral thanks to violation of privacy. Actually, it's doable to verify the geolocation of
associate degree IoT finish-device by the accord of close IoT end devices on a mature system unless
quite thirty third of devices behave maliciously.

Hence, we tend to propose to use GeoHex that divides whole world map into hexagons and map these
hexagons with strings [24]. it's terribly sensible once it involves sorting out close geolocations. Whereas
most of geolocation systems need

floating purpose arithmetics, GeoHex limits the geolocation to a string of at the most 17-bytes.
Considering its importance for {a information|a knowledge|an information} somebody in picking-up
data from the market, we tend to like victimization GeoHex thanks to its simple use in querying
geolocations.

C. Validation and Feedback

Voting could be a easy feedback mechanism that's employed by the AI/ML suppliers to rank the
standard of the IoT device makers. customers of the information marketplace can mark unhealthy
suppliers, which can successively increase the information quality within the system. pick is one
amongst the first ideas explored in blockchain systems and thanks to its immutable and trustless nature,
such applications tested to be operating with success.

D. information Tokens

Ethereum tokens square measure ERC20-compatible good contracts which will act sort of a currency
on high of Ethereum [25]. By making Ethereum tokens, it's doable to outline a custom currency, which
might be accustomed act with the projected, underlying system. In short, good contracts are often
extended to outline their own economic model. an on the spot good thing about such associate degree
abstraction is that the isolation of the token worth from the worth fluctuations of Ethereum.

The projected information marketplace uses Ether (Ethereum's currency) because the medium of
exchange. However, by extend-ing the good contract to support ERC20 customary, projected
marketplace are ready to supply a custom token to be used as a currency, thus providing a stable and
settled information evaluation. even supposing it's strictly economic, these variety of changes square
measure needed to facilitate mass adoption of the projected system.

E. Payment Channels

Blockchain systems method transactions by packaging them into blocks, that inherently adds latency
expressed in block creation time. Average block creation time is fourteen seconds in Ethereum. This
latency, however, isn't ideal for eventualities wherever high quantity of tiny payments square measure
going down be-tween 2 parties. so as to handle this issue, associate degree off-chain scaling answer
referred to as payment channels has emerged. Pay-ment channels square measure near-instant and low-
fee payment networks, complementing the first blockchain platform. Currently, Lightning Network
[26] provides this service for Bitcoin and Bitcoin-variant currencies, and Raiden Network [27] provides
it for Ethereum blockchain and works with any ERC20 com-patible token.

The projected information marketplace can have the benefit of payment channels, as a result of
marketplace ought to supply instant exchange of token and information with its dedicated ERC20
token. By us-ing Raiden micropayment network and instant token trans-fers, it'll become doable to
introduce pay-as-you-go or subscription-based solutions for information customers.

1 function vendor_register (string prefix, uint[] sensors, uint[] costs) public returns (address);
2function customer_register (string pub_key) public returns (address);
3function add_valid_device (address device_address) public returns (address);
4function vendor_length () public view returns (uint length);
5function get_vendor (address addr) public view returns (string prefix);
6function vote_for_vendor (address vendor_address,uint vote) public returns (uint);
7function query_sensor (uint sensor_type, uint index) public view returns (address result);
8function sensor_data_push (address vendor_address, uint sensor_type, string schema, uint timestamp,
9 string spatial, string swarm, uint key_index, uint enc_id ) public returns (address);
10 function sensor_data_pull (address vendor_address, uint sensor_type, uint index)
11 public view returns (string schema, uint timestamp, string spatial, uint price);
12 function sensor_data_length (address vendor_address, uint sensor_type) public view returns (uint len);
13 function get_sensor_price (uint sensor_type_index) public view returns (uint);
14 function update_sensor_price (uint sensor_type, uint price) public returns (uint);
15 function request_for_data (address vendor_address, uint sensor_type, uint index) public returns (address);
16 function transfer_key_and_data (string dec_key,address _to, uint sensor_type, uint index) public returns (string);

Listing 1: Data Marketplace Core Functions

VI. good CONTRACT

A. summary of Development setting

Ethereum blockchain with a intrinsical Turing-complete pro-gramming language permits United States
of America to put in writing good contracts [28]. during this paper, the good contract implementation is
finished in Solidity that is intended to focus on Ethereum Virtual Machine (EVM). throughout the good
contract development method, we tend to used web-based Remix IDE, that contains Solidity compiler
and computer program. Ethereum shopper version geth one.7.3, Solidity version zero.4.19 and Remix
IDE on-line version zero.1.3 area unit used for development.

The contract written in Solidity generates 2 components: the bytecode to run on EVM and therefore the
Application Binary Interface (ABI). Bytecode runs whenever a perform is termed from the applying,
and hold on into Ethereum blockchain beneath contract address. ABI defines the structures and func-
tions which will be invoked expressly. In alternative words, ABI grants access to decision functions in
good contracts. To sum

up, 3 necessities ought to be happy to act with {a good|a sensible|a wise} contract: 1) Bytecode should
be deployed to blockchain 2) Address of bytecode should be best-known 3) ABI of smart contract should
be best-known.

Our projected system are able to offer IoT device knowledge to several users once the system reaches
its maturity. The relation between the information and its users is comparable to one-to-many
relationship in ancient databases. supported this relationship, our platform may be seen as a
decentralized exchange platform that needs additional reading operation from good contract than
writing to that.

B. Action Flow

The main stakeholders of the applying area unit “vendors” and “customers”, World Health Organization
correspond to associate IoT Manufacturer associated an AI/ML supplier, severally, in Figure three. once
a merchant desires to induce economic edges from devices, it creates a brand new written account on
the applying by vocation vendor_register (List-ing one, line 1). For obstruction associate unauthorized
device pushing

knowledge to plug on behalf of the seller, merchant should declare its device addresses by victimisation
add_valid_device methodology (Listing one, line 3).Then, any valid (registered by vendor) device will
push knowledge to the system by stating the seller, pre-defined schema, file handle, timestamp, and
geolocation (Listing one, line 8).

In this manner, devices will transfer several datasets from totally different sensing element varieties into
the system. Then any user, like associate AI/ML supplier, will question knowledge sets of a sensing
element by vocation query_sensor (Listing one, line 7). It returns list of vendors World Health
Organization own the datasets of the queried sensing element sort. From this time on, the user selects a
merchant and therefore the application calls sensor_data_pull to possess additional descriptive details
like timestamp, geolocation or schema of the sensing element knowledge (Listing one, line 10). once
desired dataset is matched, payload knowledge may be claimed by vocation request_for_data (Listing
one, line 15). once the user retrieves the information, balloting choice for the user is enabled to guage
the seller. Through vote_for_vendor (Listing one, line 6), the user is ready to vote as up or down per
his/her expertise.

C. knowledge Structures and improvement

IoT device knowledge may be a style of digital quality that is controlled by the good accept knowledge
market application. it's con-sidered as a digital quality as a result of knowledge assortment may be a
pricey operation for IoT vendors and therefore the collected knowledge provides price for businesses.
IoT device knowledge or specifically the payload (Listing two, line 2-11) is that the elementary
structure, around that the full system gets formed. Storing this knowledge directly on blockchain creates
several transactions and incurs high monetary prices. Instead, IoT device knowledge is uploaded from

gateway to Swarm classification system in associate encrypted kind. Swarm shopper returns file handle,
that is cryptologic hash of the information. The file handle is exclusive symbol and address of
knowledge. knowledge schema, which is able to be used for parsing the payload, is a vital concern for
AI/ML suppliers. Therefore, it's conjointly enclosed within the payload structure. additionally, the
symbol of the device that uploads the information, the name of the cryptography theme {and the|and
therefore the|and conjointly the} index of the encrpytion key's also gift within the payload structure.
Details on cryptography and security are given within the next section "Encrpytion and knowledge
Security" VI-D.

Second structure within the contract is merchant (Listing two, line 13-25). merchant is found at all-time
low level within the stack-like approach that is shown in (Figure 1). to indicate human-readable names
rather than addresses, we tend to store prefix for every merchant. In our implementation, we tend to
used a singular variety rather than a string to represent every sensing element sort. for instance, “1” for
good watch knowledge, “2” for holter observance knowledge, etc. By doing thus, we tend to decrease
the price of transactions [29]. supported this illustration, we tend to used sensing element sort as key for
varieties, prices, and payloads mappings. varieties store that sensing element varieties registered by the
seller. costs store the corresponding costs for every sensing element sort. A merchant has the flexibility
to push multiple payloads per sensing element sort, with every payloads store array of payload structures
(Listing two, line 20). Device addresses that area unit allowed to push knowledge within the name of
the seller also are hold on for automatization. this enables the IoT device to export its knowledge to
Swarm with a script and add a brand new payload to the applying with a file handle on behalf of
merchant. dependableness and convenience of datasets may be given a balloting mechanism, thus votes
is additionally outlined within the merchant structure as a field.

The last structure of the system is client, which may be associate AI/ML supplier or a private user. It
stores the general public key of the AI/ML supplier to be utilized in later stages throughout knowledge
cryptography. For browsing and balloting functions, paid_arr and vote_map_used mappings area unit
outlined during this structure (Listing two, line 26-30). Vote_map_used stores address of merchant
because the key and a mathematician price that shows whether or not the client has the proper to vote
or not.

While implementing functions, our main concern was to reduce gas price that is spent on every
execution of opcodes in EVM. Considering this price, we tend to avoided loops and mapped knowledge
structures consequently. we tend to used 2 mapping structures as international variables (Listing two,
line 31-32) for obtaining or setting any field among stakeholders (customers and vendors) of the system.
rather than storing whole merchant structs in associate array, we tend to hold on addresses of them for
querying sensors and corresponding costs (Listing two, line 33).

Any operation like registering as a merchant with a pretend ID or adding random devices to vendor's
house is tarred-and-feathered by Ethereum network itself. Therefore, we tend to failed to implement an
extra obstruction mechanism.

D. cryptography and knowledge Security

Swarm file handles area unit overtly visible on the blockchain. so as to forestall a non-paying user get
all the Swarm handles and fetch the corresponding files, IoT knowledge transfered to Swarm ought to
be encrypted with a isosceles key before the upload. to make sure that, payload data ought to contain
the name of the cryptography theme (DES, AES) and a key index beside the device symbol.

We propose that IoT device vendors store the master keys of their entree devices and assemble the
devices to make new isosceles encrpytion keys for every transfer employing a hierarchically settled
methodology because it is finished in BIP32 Wallets [30]. This way, each Swarm file are encrypted with
a special isosceles key and IoT device merchant are able to calculate any given key by victimisation the
passe-partout and therefore the key index provided within the data. IoT device makers store and manage
master keys per device even these days, particularly for low-power, long vary protocols like LoRa
wherever a passe-partout is employed to write knowledge messages on the sphere [31].

If {a knowledge|a knowledge|an information} shopper desires to shop for an exact chunk of IoT data,
the payment and acquisition of the information can happen as delineate in previous sections. The
cryptography method of the noninheritable knowledge can happen as follows, wherever the full method
may be machine-driven by Javascript code interacting with the Ethereum client:

1) AI/ML supplier can request knowledge and acquire it by employing a good contract perform

2) IoT device merchant are notified by the event invoked by that decision, passing the address of
the AI/ML supplier

3) IoT device merchant can use the address to induce the general public key of the AI/ML supplier

4) IoT device merchant can calculate the isosceles key that's accustomed write that exact Swarm
file by victimisation that device's passe-partout and key index
5) IoT device merchant can write isosceles key with AI/ML suppliers public key and make a
dealing

6) AI/ML supplier can receive the encrypted isosceles key, rewrite it victimisation its non-public
key then decrpyt the Swarm file victimisation the isosceles key

VII. DISCUSSION

Encryption: Ethereum blockchain doesn't store knowledge in encrypted kind. Similarly, the projected
knowledge marketplace doesn't impose any restrictions on the IoT knowledge uploaded to Swarm. It
solely sets the mechanics between knowledge vendors and knowledge shoppers. within the current style,
it's assumed that the IoT knowledge sent to the platform is anonymized because of the foundations and
laws, like GDPR, that IoT device vendors face. though IoT device makers could conceive to write
knowledge associated share the keys with knowledge shoppers by victimisation an off-chain
methodology within the current system, it's not terribly sensible. it's planned to increase the information
marketplace to support some style of cryptography wherever encrypt/decrypt operations may be
conducted in an exceedingly decentralized manner.

Real-Time Systems: Public blockchain systems add blocks, i.e. packaged transactions, to the blockchain
at each block creation interval on the average. On prime of this, there's a block propagation delay that
adds extra latencies if {a knowledge|a knowledge|an information} shopper tries to follow a period data
feed victimisation the information marketplace. Therefore, with this accord functions on wide used
public blockchain platforms, projected resolution doesn't support period or safety-critical applications
because of high latencies.

Data assortment and Consent: international organisation has knowledge protection necessities like
General knowledge Protection Reg-ulation (GDPR) (Regulation (EU) 2016/679) [4] already in situ, thus
IoT device makers ought to suits cur-rent rules and laws as knowledge suppliers. though knowledge
marketplace good contract doesn't store any user knowledge (just Swarm handles), knowledge
replication on Swarm filesystem ought to be managed by device vendors.

VIII. CONCLUSION
In our previous analysis, we've already explored ways that to integrate low-power IoT devices to a
blockchain-based infras-tructure [21] and created a decentralized knowledge backend [22]. during this
paper, we tend to extend that goal to a broader knowledge marketplace involving multiple parties,
targeting non-real time, non-critical IoT applications. making a decentralized and trustless plat-form
for storing and accessing IoT knowledge can absolutely impact IoT device makers, AI/ML suppliers,
and, obviously, the end-users. Such a marketplace can democratize access to consented knowledge and
increase each service quality and sort of offerings, which is able to prove to be useful for the users within
the finish.

A proof-of-concept knowledge marketplace is enforced as a wise contract on Ethereum platform and

uses Swarm as its storage system. It provides a versatile querying mechanism for knowledge shoppers
and contains a balloting mechanism for eliminating unreliable knowledge suppliers. good contract code
is open sourced on GitHub as "IDMoB: IoT knowledge Marketplace on Blockchain" [32].

ACKNOWLEDGMENT

This project has been partially supported by Scientific Research Fund of Bogazici University under
grant number: 13500

REFERENCES

[1] IBM. (2017) 10 Key Marketing Trends for 2017. [On-line]. Available: https://www-
01.ibm.com/common/ssi/cgi-bin/ssialias? htmlfid=WRL12345USEN
[2] D. Schatsky, N. Kumar, and S. Bumb. (2017) Intelligent IoT: Bringing the power of AI to the
Internet of Things. [Online]. Available: https://www2.deloitte.com/insights/us/en/focus/signals-for-
strategists/ intelligent-iot-internet-of-things-artificial-intelligence.html
[3] PricewaterhouseCoopers. (2017) Leveraging the upcoming disruptions from AI and IoT. [Online].
Available: https://www.pwc.com/gx/en/ industries/communications/assets/pwc-ai-and-iot.pdf
[4] European Parliament. (2016, Apr.) General Data Protection Regulation (GDPR) (Regulation (EU)
2016/679). [Online]. Avail-able: http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:
32016R0679&from=EN
[5] IOTA. (2017, Oct.) IOTA. [Online]. Available: {https://iota.org}
[6] D. Sønstebø. (2017, Nov.) IOTA Data Marketplace. [Online]. Available: https://blog.iota.org/iota-
data-marketplace-cb6be463ac7f
[7] J. Uchiyama. (2016) Contract Market. [Online]. Available: https:
//github.com/juchiyama/contractmarke
[9] E. I. P. Initiative. (2017) BIG IoT Marketplace. [Online]. Available: https://market.big-iot.org
[11] Blockchain.info. (2018) Bitcoin: Average Number Of Transactions
[12] Per Block. [Online]. Available: {https://blockchain.info/charts/ n-transactions-per-
block?timespan=all}
[14] Etherscan.io. (2018) Ethereum: Transactions Per Day. [Online].
[15] Available: {https://etherscan.io/chart/tx}
[16] T. T. A. Dinh, J. Wang, G. Chen, R. Liu, B. C. Ooi, and K.-L. Tan, “Blockbench: A framework
for analyzing private blockchains,” in Proceedings of the 2017 ACM International Conference on
Management
[17] of Data. ACM, 2017, pp. 1085–1100.
[18] [12] Quorum. (2016) Quorum Whitepaper v0.1.pdf. [On-
[20] line]. Available: {https://github.com/jpmorganchase/quorum-docs/blob/
[22] master/Quorum%20Whitepaper%20v0.1.pdf}
[23] R. G. Brown, J. Carlyle, I. Grigg, and M. Hearn, “Corda: An introduc-tion,” R3 CEV, August,
2016.
[25] S. Popov. (2017, Oct.) The Tangle. [Online]. Available: {http:
//iotatoken.com/IOTA_Whitepaper.pdf}
[27] EOS. (2017, Jun.) EOS.IO Technical White Paper. [Online]. Available:
{https://github.com/EOSIO/Documentation/blob/ master/TechnicalWhitePaper.md}
[29] J. Benet, “Ipfs-content addressed, versioned, p2p file system,” arXiv preprint arXiv:1407.3561,
2014.
[31] V. Trón, A. Scher, D. A. Nagy, Z. Felföldi, and N. Johnson. (2016, May) Swap, Swear and
Swindle: Incentive system for Swarm. [Online]. Available: {http://swarm-
gateways.net/bzz:/theswarm. eth/ethersphere/orange-papers/1/sw%5E3.pdf
[33] Swarm. (2017) Swarm Documentation. [Online]. Available: https: //swarm-
guide.readthedocs.io/en/latest
[35] EOS. (2017, Sep.) Introducing EOS.IO Storage. [Online]. Available:
{https://github.com/EOSIO/Documentation/blob/master/EOS. IO%20Storage.pdf}
[37] N. Szabo. (2001) Trusted Third Parties Are Security Holes. [Online]. Available:
http://nakamotoinstitute.org/trusted-third-parties
[39] K. R. Özyılmaz and A. Yurdakul, “Integrating Low-power IoT Devices to a Blockchain-based
Infrastructure: Work-in-progress,” in Proceedings of the Thirteenth ACM International Conference on
Embedded Software 2017 Companion, ser. EMSOFT ’17. New York, NY, USA: ACM, 2017, pp.
13:1–13:2. [Online]. Available: http://doi.acm.org/10.1145/3125503.3125628
[41] K. R. Özyılmaz and A. Yurdakul, “Designing a blockchain-based IoT infrastructure with
Ethereum, Swarm and LoRa,” IEEE Consumer Electronics Magazine, "In press".
[43] M. N. Islam, V. C. Patil, and S. Kundu, “Determining proximal geolo-cation of IoT edge
devices via covert channel,” in Quality Electronic Design (ISQED), 2017 18th International
Symposium on. IEEE, 2017, pp. 196–202.
[45] GeoHex. (2009) Hexagonal geo-coding system. [Online]. Available:
https://sites.google.com/site/geohexdocs
[47] F. Vogelsteller and V. Buterin. (2015) ERC-20 Token Standard. [Online]. Available:
https://github.com/ethereum/EIPs/blob/master/EIPS/eip-20. md
[49] J. Poon and T. Dryja, “The bitcoin lightning network: Scalable off-chain instant payments,”
draft version 0.5, vol. 9, p. 14, 2016.
[51] Raiden. (2017) Raiden Network. [Online]. Available: https://raiden. network/faq.html
[53] V. Buterin. (2014) A Next-Generation Smart Contract and Decentralized Application Platform.
[Online]. Available: https://github.com/ethereum/ wiki/wiki/White-Paper
[54] [29] Solidity. (2017) Dynamically-sized byte array. [On-
[55] line]. Available: https://solidity.readthedocs.io/en/develop/types.html#
[56] dynamically-sized-byte-array
[57] Bitcoin. (2017) BIP32: Hierarchical Deterministic Wallets. [On-
[58] line]. Available: {https://github.com/bitcoin/bips/blob/master/bip-0032. mediawiki}
[60] N. Sornin, M. Luis, T. Eirich, T. Kramp, and O. Hersent, “LoRaWAN Specification V1,” 0.
Technical report, LoRa Alliance, Tech. Rep., 2015.
[61] K. R. Özyılmaz and M. Dogan˘. (2017) IDMoB. [Online]. Available:
https://github.com/kozyilmaz/idmob