2018 International Conference on Advanced Computing and Applications (ACOMP)
An Approach to Data Privacy in
Smart Home using Blockchain Technology
Thanh Long Nhat DANG
University of Information Technology
Ho Chi Minh City, Viet Nam
email: nhatdtl.11@grad.uit.edu.vn
Abstract—Nowadays, numerous applications of smart home
systems provide recommendations for users, including
reducing their energy consumption, warnings of defective
devices, selecting reliable devices and software, diagnoses, etc
[1]. The internet connected, dynamic and heterogeneous nature
of the smart home environment creates new security,
authentication, and privacy challenges [2]. To solve those
challenges, an approach to data privacy in smart home using
blockchain technology, which is called smart home based the
IoT-Blockchain (SHIB), is proposed in this paper. In order to
demonstrate the proposed architecture, an experimental
scenario using Ganache, Remix, and web3.js is built among the
user, service provider, and smart home to evaluate the
performance of the smart contract in the SHIB. Based on the
experiment results, the SHIB architecture brings the
advantages like data privacy, trust access control, and high
extension ability. In addition, the comparison between the
proposed architecture and existing models in different
parameters such as smart contract, the privacy of data, usage
of tokens, updating the policies, and misbehavior judging are
performed.
Keywords—Smart home, Blockchain, Ethereum, Smart
Contract, Internet of Things, Privacy
I.
INTRODUCTION
In 2003, there were approximately 6.3 billion people
living on the planet and 500 million devices connected to
the Internet. The explosive growth of smartphones and
tablet PCs brought the number of devices connected to the
Internet to 12.5 billion in 2010. Looking to the future, Cisco
IBSG predicts there will be 25 billion devices connected to
the Internet by 2015 and 50 billion by 2020 [3]. However,
such interconnection may also incur crucial security issues
into IoT systems, because adversaries can intrude into the
systems to gain illegal access to the provided resources (e.g.,
data, services, storage units, computing units) by simply
deploying their own or compromising existing IoT devices
[4], [5].
IBM specified the current critical challenges of IoT,
including high cost, lack of privacy, not future-proof, lack of
functional value, and broken business models [6]. First of
all, many existing IoT solutions are expensive because of
the high infrastructure and maintenance costs associated
with centralized clouds and large server farms, in addition to
the service costs of middlemen. Second, most solutions
today provide the ability for centralized authorities, whether
governments, manufactures or service provides to gain
unauthorized access to and control devices by collecting and
analyzing user data. Third, while many companies are quick
to enter the market for smart, connected devices, they have
yet to discover that it is very hard to exit. Fourth, many IoT
solutions today suffer from a lack of meaningful value
creation. The value proposition of many connected devices
has been that they are connected – but simply enabling
connectivity does not make a device smarter or better. Fifth,
978-1-5386-9186-1/18/$31.00 ©2018 IEEE
DOI 10.1109/ACOMP.2018.00017
Minh Son NGUYEN
University of Information
r Technology
Ho Chi Minh City, Viet Nam
email: sonnm@uit.edu.vn
most IoT business models also hinge on the use of analytics
to sell user data or targeted advertising. While technology
propels the IoT forward, the lack of compelling and
sustainably profitable business models is, at the same time,
holding it back. If the business models of the future don’t
follow the current business of hardware and software
platforms, what will they resemble? After that, this research
talks about blockchain as a technology for democratizing the
digital world. It is illustrated in Fig. 1 a, before 2005 IoT
closed and centralized networks and today IoT is open
access IoT networks, centralized cloud. To be safe, scalable
and efficient, IoT networks must be re-architected to
gradually shift from managing billions of devices to
hundreds of billions of devices, where blockchain
technology can help. The blockchain is the framework
facilitating transaction processing and coordination among
hundreds of billions of devices, Fig. 1 b. Each manages its
own roles and behavior, thus the democratization of the
digital world.
As reported by Statist a , the global blockchain
technology market is predicted to reach 339.5 million U.S.
dollars by 2017 and is forecast to grow to 2.3 billion U.S.
dollars by 2021. Today, there are over 1,920
cryptocurrencies was born b. In the case of a cryptocurrency,
the blockchain acts as a distributed ledger that stores all the
coin transactions that have been performed. IoT shares some
common problems with cryptocurrencies, since IoT systems
there are many entities. However, there are several aspects
that differentiate IoT from digital, like the amount of
computing power available in the nodes or the limitation of
the energy consumed in devices. Therefore, the key
contribution of blockchain is that it provides a way to carry
out transactions with another person or entity without
having to rely on third-parties [7].
The smart home is an important component of the IoT,
smart homes serve users effectively by communicating with
various digital devices based on IoT [1]. In this case, these
IoT devices become more popular in homes and collect
more private data uploaded to the cloud, questions about
user privacy become concerning: What data do these IoT
devices collect? Where is the data stored, and who has
ownership and access to the data? How is the data used, if at
all? The answers to these questions are still unclear for both
consumers and producers, for the market for smart home
devices remains a nascent space without any regulations or
standards [8]. In this paper, the authors present the findings
that emerged from our study: First, users prioritize the
convenience and connectedness of their smart homes, and
these values dictate their private opinions and behaviors.
a
https://www.statista.com/statistics/647231/worldwide-blockchain-
technology-market-size
b
Crypto-Currency Market Capitalizations. Accessed: Sep. 10, 2018.
[Online]. Available: https://coinmarketcap.com/
58

a) Past, today, and future of IoT
b) The blockchain is the framework facilitating transaction processing
and coordination among hundreds of billions of devices
Fig. 1. The blockchain works for the IoT [6]
Second, user opinions about who should have access to their
smart home data depend on the perceived benefit. Third,
users assume their privacy is protected because they trust
the manufacturers of their IoT devices. The findings of
authors bring up several implications for IoT privacy, which
include the need for design for privacy and evaluation
standards.
Unlike the research previously mentioned, this work
presents an approach to data privacy using blockchain
technology for the smart home. The remainder of this paper
is structured as follows. Section II presents research related
to blockchain technology and its application in the IoT
environment. Ethereum platform and the proposed
architecture apply blockchain technology into the IoT, IoT-
Blockchain environment, specifically, the smart home
environment will be the main content of Section III. Section
IV presents the experimental scenario and Section V
provides experimental results, evaluating the proposed
architecture for users, service provider, and smart homes.
Conclusion and future research directions are specified in
Section VI.
II.
RELATED WORKS
In [9], a survey is performed to review the main security
issues in the Internet of Things (IoT) environment. This
paper offers the general IoT security requirements based on
attack problems, threat agents, and the latest solutions. In
addition, the authors categorized and mapped the IoT
security issues from the solutions found in the survey. More
importantly, they mentioned how to the blockchain, which is
a foundation technology Bitcoin, can solve security
requirements in IoT. In the survey, research works on IoT
security and blockchain is limited, with the majority of work
being focused on blockchain technology to benefit IoT in
general. The authors in [10] have categorized eighteen use
59
cases of the blockchain, out of which four cases are for IoT.
The four use case categories for IoT include an immutable
log of events and management of access control to data [11],
trading of collected IoT data [12], [13], manage symmetric
and asymmetric key for the IoT devices [14], [15]. The
authors [16] have laid out the challenges for the identity in
IoT. These basic challenges include relationships between
ownership and identification, authentication and
authorization, data management and privacy.
Motivated by the recent explosion of interest around
blockchain technology numerous architectures were
proposed to apply blockchain into IoT environment.

Applications of the smart contracts in the IoT were
investigated in [17]. This paper describes how smart
contracts of blockchain can facilitate, support self-operation
workflow and share service between IoT devices. Authors
also show how IoT can take advantage of the blockchain
network in terms of billing, e-transactions, delivery, and
supply chain management. In addition, they describe a
scenario, which blockchain can conveniently purchase and
sale of automated energy between the IoT devices as smart
meters. Many smart contracts can construct a set of criteria,
defined by users, for energy transactions. A blockchain-
based architecture for Industrial IoT (IIoT) is proposed that
allows the IoT devices to communicate with Cloud as well
as blockchain network [18]. Each of the IoT devices was
equipped with a single PC which is capable of controlling
and communicating interface with the cloud and Ethereum
blockchain. IoT devices were designed to send data to the
cloud where stores and analyzes sending or receiving
transactions from other devices in the blockchain network
and also activate smart contract. To proof concept, authors
executed a basic foundation uses Arduino Uno chain and
Ethereum smart contracts, a brief description of how the
platform can be used to operate a machine and predict the
information.
In [19], a lightweight architecture, privacy and security
for the IoT based on blockchain technology is proposed. The
method was built in the smart home scenario as a specific
case study to open further IoT applications. The proposed
architecture was a hierarchical form, including many smart
homes, an overlay network, and the Cloud storage devices
combine transaction data with blockchain to provide privacy
and security. Their designs use blockchain types depending
on the hierarchical network takes place in a transaction and
use the reliable scattered methods to ensure the
decentralization of structure. The quality architecture
evaluation based on common threat models highlights
effective security providing and privacy to the IoT
applications.
Authors in [20] also outlined the various core
components of the smart home tier and discussed the
various transactions and procedures associated with it. In
this paper, they presented an all-inclusive analysis regarding
its security and privacy. Their simulation results
demonstrate that the overheads incurred by their method are
low and manageable for low resource IoT devices. They
also argue that these overheads are worth their weight gave
a significant security and privacy benefits on offer.
 a) IoT-Blockchain proposed in [23]
Fig. 2. IoT-Blockchain architecture for smart home (SHIB) is proposed in this study
An approach based on blockchain technology to publish
the policies expressing the right to access a resource and to
allow the distributed transfer of such right among users [21].
In this paper, the policies and the rights exchanges are
publicly visible on the blockchain, consequently, any user
can know at any time the policy paired with a resource and
the subjects who currently have the rights to access the
resource. The paper validated the proposed method through a
possible working implementation based on XACML
policies, deployed on the Bitcoin blockchain. An OM- AM
framework that consists of 4 layers (Objective, Model,
Architecture and Mechanism, named FairAccess, is proposed
as a fully decentralized pseudonymous and privacy-
preserving authorization management framework that
enables users to own and control their data [22]. FairAccess
used access tokens to represent access rights and the tokens
can be delivered from one peer to another through
transactions. Unlike financial bitcoin transactions, this
method introduces new types of transactions that are used to
grant, get, delegate, and revoke access.
III.
ETHEREUM AND IOT-BLOCKCHAIN ARCHITECTURE
A.
Ethereum - A new generation Blockchain
The blockchain is a technology platform of Bitcoin, first
described by anonymous author Satoshi Nakamoto in the
article “Bitcoin: A Peer-to-Peer Electronic Cash System”, in
2008 c . The blockchain is a distributed computing
architecture, therein, each network node executes and
records the same transactions, grouped into blocks. At the
end of 2013, Ethereum was proposed by Vitalik Buterin d,
who research and program cryptocurrency.
Ethereum is a decentralized platform runs smart
contracts: Applications run exactly as programmed without
censor, no fraud or interference by any third parties.
Decentralized applications can be programmed to a
complete Turing language called Solidity. A complete
Turing language is a programming language can solve any
c
https://bitcoin.org/bitcoin.pdf
d
https://github.com/ethereum/wiki/wiki/White-Paper
60
b) IoT-Blockchain for smart home (SHIB) is proposed in this study
computational problem if enough time and space are
provided. There are two types of accounts in Ethereum:
Externally Owned Account (EOA) controlled by private
keys and Contract Accounts controlled by the code in the
Contract and activated only by the EOA. The term "Smart
Contract" refers to the code in a Contract Account, the code
in the Contract is executed only when there is a transaction
sent to it.
The term "mining" means process add a new block into
blockchain by authentic nodes on a network called miner,
which is nodes in Ethereum network task receive, propagate,
verify and execute a transaction. The miner gathers into a
block and implements consensus the Proof of Work
consensus algorithm, where miner continually guesses
random numbers to solve extremely complex encode related
problem to its block until one of them to triumph over and
miner wins will advertise block on blockchain network to
authenticate. If the authentication process is successful,
other nodes will add the new block to their string,
conversely, that block will be discarded. For each block is
successfully threaded, miners will gain corresponding
reward (in event Ethereum is ETH coin).
B.
IoT-BlockChain system architecture for smart home
IoT devices in the smart home typically include sensors,
actuators, switches, and light bulbs. Most IoT devices come
from many vendors, heterogeneous, limited battery life, and
low computing power, so adapting blockchain technology,
which requires high capacity, is difficult at IoT devices. To
solve this problem, an architecture which combines
blockchain with IoT is proposed, Fig. 2 a [23]. This
architecture has many following advantages.
•
First, the architecture uses smart contracts based on
blockchain technology to achieve trust access control
and IoT dispersal. Three types of smart contracts
include Access Control Contract (ACC), Judge
Contract (JC) and Register Contract (RC). These
functions mainly include registering, updating and
deleting an access control method; registering and
updating the misbehavior-judging method; adding,
updating and deleting a policy of an ACC.
 Fig. 3. Scenario for evaluating the SHIB architecture
•
Second, IoT devices have no Ethereum clients, IoT
gateways act as agents for their local IoT devices to
conduct access control for the resources of the IoT.
•
Third, the proposed architecture has very high ability
of extension. Adding or removing of IoT devices in
the smart home system just remove or add the
corresponding smart contracts built for the IoT device
in the smart home. Notice that only the creator of
smart contracts can add a new policy, update or delete
an existing policy.
IV.
PROPOSED RESEARCH ARCHITECTURE
A.
Proposed architecture
As mentioned in Section III, based on three advantages
of the proposed architecture in [23], an approach to data
privacy in the smart home using blockchain technology,
which is called Smart home based on the IoT-Blockchain
(SHIB), is proposed. The details of the proposed
architecture are shown in Fig. 2 b.
•
Service provider. The service provider is a device or
a cluster of devices that can interact with the IoT
devices and storage devices to provide the service
recommendations for users.
•
Storage devices. The device sets which are capable
of storing the collected data from the IoT devices.
•
User. The owner of a smart home. The user has a
device (e.g., laptops, smartphones) through which
users can enjoy the recommendations services
provided by the service provider and read data from
or write data to the storage devices.
•
Smart home. A smart home where the IoT devices
are connected and the users can monitor the IoT
devices at every moment. The IoT devices in the
system mainly include sensors, which can perceive
environmental data and send these data to the service
provider or the users. Based on the fact that the IoT
devices in a smart home cannot directly be connected
61
to the blockchain network. Thus, the IoT gateway
that connects the smart home to the blockchain
network is proposed. Each IoT gateway connects a
cluster of IoT devices to blockchain network via
short-range communications technologies like Wifi.
B.
Smart contract compiling mechanism
The proposed architecture has three types of smart contracts
for IoT-Blockchain system, ACC, RC, and JC.
•
ACC Contract. An ACC is deployed for one Subject
– Object pair, each pair can be associated with
multiple ACCs, but one ACC can be associated with
one and only one subject-object pair. ACC also
provides the Application Binary Interface (ABI) to
manage policy and control access like policyAdd(),
policyUpdate(), accessControl(), setJC(), and
deleteACC().
•
JC Contract. The JC implements a misbehavior
judging method, which judges the misbehavior of the
subject and determines the corresponding penalty.
After determining the penalty, the JC returns the
decision to the ACC for further operation. JC also
provides the ABI for judging the misbehavior like
misbehaviorJudge(), and deleteJC().
•
RC Contract. The main role of the RC in the system
is to manage the access control and misbehavior-
judging methods. To achieve this goal, the RC
maintains a lookup table. With the help of the lookup
table, the RC provides the following main ABIs to
manage these methods like methodRegister(),
methodUpdate(), methodDelele(), and getContract().
V.
EXPERIMENTS AND RESULTS
A.
Software and hardware
Hardware. The experiment is implemented on a laptop
(MacBook Pro, CPU 2.4 GHz Intel Core i5, macOS High
Serria operating system, 4 GB memory, and 128 GB SSD
hard drive).
 Fig. 4. The access request results are returned for user 1 and the service provider
Fig. 5. The misbehavior of the service provider and determines the corresponding penalty
Software. The writing and compiling of the smart
contracts are executed on Remix IDE e , an IDE on the
browser for Solidity f . In order to deploy the Ethereum
blockchain for the smart contract operation control in the
proposed architecture, Ganache g , which is an application
initializes a personal Ethereum blockchain fast and simply, is
used.
B.
Experimental scenario
An experimental scenario is designed that includes five
peers using web3.js h to interact with the smart contracts, Fig.
3. Those peers include user 1, user 2, smart home 1, smart
home 2, and the service provider are detailed in Table I. User
1 and user 2 are the users of the system. Smart home 1
e
https://remix.ethereum.org/
f
https://solidity.readthedocs.io/en/develop/
g
https://truffleframework.com/ganache
h
https://github.com/ethereum/wiki/wiki/JavaScript-API
62
consists of the IoT gateway that connects the IoT devices to
blockchain network. The IoT devices in smart home 1
include two motion sensors (Sensor A, Sensor B), and a
smart door (Door A). Smart home 2 consists of the IoT
gateway that connects the IoT device to blockchain network.
Three IoT devices in smart home 2 include two motion
sensors (Sensor C, Sensor D), and a smart garage door
(Garage). All of the devices are connected IoT gateway by
Wifi. The service provider has the ability to collect sensor
data in smart homes and provides the service
recommendations.
C.
Experimental results
The results of the access request from user 1 and the
service provider into sensor A, Fig. 4. First, user 1 (blue
frame), and the service provider (red frame) send the access
request to smart home 1. Next, smart home 1 will check the
policies in ACC to return the access request results. The
access request results have parameters in Table II. When the
 TABLE I.
THE RELATIONSHIP BETWEEN PEERS frame shows the results of the nearest access control before
Information User 1 User 2 Service locked, the orange frame displays the warning result with
provider over-policy access behavior and offers the "Requests are
Smart Sensor A Read data x Read data blocked for 1 minute!" access handle method, the red frame
home 1
Sensor B Read data x Read data
displays the penalty result when receipt warning, but still
over-policy access and offers the “Requests are blocked!”
Door A Open, Close, x State access handle method.
State
Smart Sensor C x Read data Read data The above results show in the SHIB architecture, the
home 2
Sensor D x Read data Read data
policies have been defined times accessed at the concrete
time in ACC. If a third-party intentional attack or take the
Garage x Open, State
Close, State
user data with bad intentions, smart contracts will be
operated lock/block transactions from the third-party. It
TABLE II.
ACCESS CONTROL PARAMETERS
strengthened the privacy and the security of the user in the
smart home. In other words, JC judges the misbehavior of
Parameter Meaning the service provider and determines the corresponding
Contract ACC address in Ethereum network penalty that is presented in Table III. Access request results
for smart home 1 and smart home 2 are detailed in Table IV.
Block number Block number
Tx Hash Transaction Hash
D.
Comparison with another model
Block Hash Block hash
In this section, a comparison between the proposed
Subject Subject accesses into the smart home architecture and two models in the related work [21], [22] is
Time Transaction execution time (ns) detailed in Table V, which shows different parameters like
smart contract, the privacy of data, usage of tokens,
Message Access authorization message
updating the policies, and Misbehavior judging. Model in
Result The result of the access request [21] authenticated based on Bitcoin, where the policies are
directly stored on the blockchain, so this model does not use
TABLE III.
THE MISBEHAVIOR OF THE SERVICE PROVIDER AND smart contracts for self-execution policies.
THE CORRESPONDING PENALTY
Information Check Time/min Service provider
As proposed architecture uses smart contracts that are
Smart Door A State 1 Access authorized used for self-execution policies. Model in [22], the authors
home 1 used access tokens to represent access rights and the tokens
2 Access authorized can be delivered from one peer to another through
3 Request are blocked for 1 transactions. If there are no tokens, then the user cannot
minute initiate the transaction which is not happening in SHIB
4 Requests are blocked architecture.
Smart Garage State 1 Access authorized
home 2
2 Access authorized The biggest difference in the proposed architecture is the
use of the JC contract to judge the misbehavior of the
3 Request are blocked for 1
minute subject and determines the corresponding penalty, which is
4 Requests are blocked not used in existing models. The using of JCs and ACCs
helps users to develop privacy policies and to be ensured
service provider wants to access Door A and check the state that those policies operate correctly based on blockchain
multiple times, exceeds the policies min Interval = 60s, technology.
threshold = 2, smart home 1 will determine the
corresponding penalty by blocking access request. In Fig. 5, VI.
CONCLUSION
the smart home 1 indicates the access behavior exceeds The research describes an approach to data privacy in the
policies and lock access from the service provider. The green smart home using blockchain technology that applies IoT-
TABLE IV.
THE EXPERIMENTAL RESULTS OF THE ACCESS REQUEST FOR SMART HOME 1 AND SMART HOME 2

Information Behavior User 1 User 2 Service Provider

Smart Sensor A Read data Access authorized Wrong subject or object Access authorized
Home 1 Sensor B Read data Access authorized Wrong subject or object Access authorized
Door A Open Access authorized Wrong subject or object Static check failed
Close Access authorized Wrong subject or object Static check failed
State Access authorized Wrong subject or object Access authorized
Smart Sensor C Read data Wrong subject or object Access authorized Access authorized
Home 2 Sensor D Read data Wrong subject or object Access authorized Access authorized
Garage Open Wrong subject or object Access authorized Static check failed
Close Wrong subject or object Access authorized Static check failed
State Wrong subject or object Access authorized Access authorized

63
 TABLE V.
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