Blockchain and IBM Watson IoT Platform can provide benefits for IoT applications by creating an immutable record of IoT data transactions. Blockchain allows any participant in a business network to see the shared transaction record. This removes costs, reduces risks, and increases trust compared to traditional centralized records systems. The IBM Watson IoT Platform can connect devices, integrate data sources, perform analytics, and manage security. It also has capabilities to add IoT data to a private blockchain ledger via APIs. This provides a tamper-resistant, transparent record of transactions. Examples of potential uses include tracking parts and shipments across supply chains, monitoring building access and systems, and trading carbon credits.

1. IBM Watson IoT Platform &
Blockchain
Capgemini Week of Innovation Networks
September 28th 2017
Michael Müller
Felix Reichmann

2. 2
What is Blockchain?
Blockchain is a shared ledger technology allowing any
participant in the business network to see
THE system of record (ledger)

3. 3
Saves
time
Removes
cost
Reduces
risk
Increases
trust
Transaction time
from days to near
instantaneous
Overheads and
cost intermediaries
Tampering, fraud
& cyber crime
Through shared
processes and
recordkeeping
Blockchain benefits

4. 4
Blockchain for business …
Append-only
distributed system of
record shared across
business network
Business terms
embedded in
transaction database
& executed with
transactions
All parties agree
to network verified
transaction
Ensuring appropriate
visibility; transactions are
secure, authenticated
& verifiable Privacy
Shared
ledger
… Broader participation, lower cost, increased efficiency
Smart
contract
Consensus

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Problem …
… Inefficient, expensive, vulnerable
Bank
records
Party A’s
records
Party C’s
records
Auditor
records
Party B’s
records
Party D’s
records

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Solution …
… Consensus, provenance, immutability, finality
Party C’s
records
Auditor
records
Party B’s
records
Party D’s
records
Bank
records
Party A’s
records
Shared, replicated, permissioned

7. 7
What is an IoT Platform?
Watson IoT Platform
Sensors &
Networks
Other
Data Sources
Weather
Map
01
0110
0010
001001
Devices Platform Applications
Other IoT platforms

8. 8
IBM Watson IoT Platform - Connect
Connect and manage devices, networks, and gateways
IBM Watson IoT Platform - Information
Management
Integrate information, structured and unstructured, from
devices, people, the Weather and world around us
IBM Watson IoT Platform - Analytics
Gain insights from information using Real-time streaming,
Predictive, Edge and Cognitive analytics
IBM Watson IoT Platform - Risk & Security
Management
Ensure you have the ability to visualize and manage your IoT
landscape end-end, manage risk and have trusted sources of
IoT data with innovative technology such as Blockchain
The IBM Watson IoT Platform
Everything you need to transform with the Internet of Things
8

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Blockchain and Watson IoT
• Blockchain leverages distributed replication
• Eliminates the overhead of central control and
management
• Only business partners involved in the
transaction can access and supply IoT data
• Partnering with key clients in aerospace,
automotive, supply chain, and manufacturing
industries
The Watson IoT Platform has built-in capability that lets you add IoT data to a private
blockchain ledger via API. This provides for shared transactions with tamper-resistant
records, transparency and trust.

10. How it works
• IBM Blockchain provides the private blockchain infrastructure of distributed peers that
replicates the device data and validates the transaction through secure contracts.
• Watson IoT Platform translates existing device data, from one or more device types,
into the format needed by the blockchain contract APIs. The blockchain contract
doesn’t need to know the specifics of your device data.
• Watson IoT Platform filters device events and sends only the required data to the
contract.
• Storing IoT data as part of a indelible ledger on a private blockchain can help build
trust across business networks.

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Examples of IoT Use Cases
Industry Use Case(s) Shared Data Parties
Shipping /
Logistics
• Monitor shipping logistics
• Share shipping documents
• Location
• Cargo properties (temp, humidity)
• Shipping docs (bill of lading, letter
of credit, customs forms)
• Sender, receiver, freight
companies, customs, bank
Part Lifecycle
Tracking &
Maintenance
• Track part provenance from
manufacture to end of life.
• Part identification
• Usage information
• Maintenance information
• Part manufacturer, final
assembly manufacturer,
repair organization, owner,
regulatory agency
Supply Chain
• Broadcast supply and
demand on a shared
blockchain.
• Track part location and
manufacturing information on
a shared blockchain.
• Demand request
• Supply volumes
• Part provenance (ID, expiration
date, etc.)
• Supplier, manufacturer
Regulatory
Compliance
• Share documents with a
regulatory agency and or the
public on a blockchain.
• Compliance documentation
• Usage and maintenance
information.
• Regulatory agency,
appropriate industry
manufacturers and operators
Building
Management
• Permanent record of building
access and usage
• Log of building systems (A/C,
lighting, alarms)
• Human access
• Building owner, building
tenant, building management,
etc.
Energy
• Track and trade carbon
credits on a blockchain.
• Carbon credits and carbon
production.
• Members of the carbon credit
exchange, public.

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Get started today
View a demo or engaged with Watson IoT Lab services by visiting
https://www.ibm.com/internet-of-things/platform/private-blockchain/

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Thank You