IoT Chain

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IoT Chain

Contents
Chapter I Project Background ............................................................................................ 1
1. What is IoT? ........................................................................................................... 1
2. Market scale of IoT ................................................................................................ 1
3. Challenge ............................................................................................................... 5
4. Solutions ................................................................................................................ 7
Chapter II Project Exposition ........................................................................................... 10
1. Brief introduction ................................................................................................ 10
2. Technical architecture ........................................................................................... 10
3. Our Architecture .................................................................................................... 19
4. Product planning ................................................................................................... 21
5. Cooperative partners........................................................................................... 24
Chapter III Team Members .............................................................................................. 28【Core Team】 ......................................................................................................... 28【Consultant Team】 ............................................................................................... 30
Chapter VI Token Model ................................................................................................ 32
References ....................................................................................................................... 33II

IoT Chain

Chapter I Project Background
1. What is IoT?
Based on the internet, traditional telecommunication network and otherinformation carriers, IoT (Internet of Things) is the network that enables
interconnection between all ordinary physical objects which can be locatedindependently. IoT has three key features: the equalization of ordinary objects,
interconnection of automatic‐management terminals and intellectualization ofpervasive services. Through IoT, all the things can be connected to the internet for
information exchange and communication to achieve the goals of intellectualized
recognition, location, tracking, monitoring and management.
There are two implications of IoT. First, the internet is still the core andfoundation of IoT, which is extended and expanded on the former. Second, the user‐
end of IoT has extended to information exchange and communication between all
things, namely the thing to thing interconnectivity. IoT has been applied widely in
network convergence by means of communication perceptive technologies such as
intelligent perception, recognition and pervasive computing. Consequently, IoT has
been called the third wave of the world’s information industry development
following the first and second waves of computer and internet respectively. Since IoT
is an expansion of the internet, it should more correctly be referred to as businessand application rather than network. Hence, innovation of application is the core of
IoT’s development and creation centered on user experience is the soul.
2. Market scale of IoT
Since the development policies of IoT were brought up by America, European
Union and China in 2009, IoT has been developing at a rapid pace. Traditional
enterprises and IT magnates have all made efforts to engage with IoT, which has
penetrated rapidly into many fields, such as the manufacturing, retail, and service
industries and public utilities. Currently, IoT is on the eve of an explosive growth ona large scale. According to the 2016 China IoT’s Market Scale and Development Trend
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IooT Chainissu
ued by Wulian Zhongguo, the gl obal IoT marketmscale
e had alreaddy reached 62.4
billion dollars in 2016, withw
a year‐‐on‐year grrowth of 29
9%. In 20118, the figu
ure isexpected to reeach 103.6 billion doll ars. From 20132
to 2018, the com
mpound gro
owthratee will be 21%
2
and thhe number of newly‐‐increased IoT devicess will rise from1.6991 billion in 2015 to 3.0
054 billion iin 2019 (Seee Figure 1).

Figure1: 201
13‐2018 Globaal IoT Markett Scale and Growth Rated more articles and deevices are beingbconnected to IooT. Accordinng toMore andGartner, despite the glob
bal populat ion being 7.5
7 billion, the numbeer of globaal IoT
devices is foreecased to increase frrom 6.4 billlion in 201
16 to 8.4 bbillion in 2017,2
reprresenting a 31% growtth rate. Thee number off IoT device
es will exceeed the sum totalof P
PC, tablet PC and smarrt phones inn 2018 and reach at tootal of 20.44 billion in 2020
(Seee Figure 2).

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Figure 2: 20
014‐2016 Gloobal IoT Market Scale and Growth rate

According tot IHS Marrkit, most aarticles willl be intelleectualized bby 2025. In
n thefuturre, everything will be interconnec
icted, from a cup to a house, andd IoT will sp
preadacrosss every asp
pect of our life (See Figuure 3).

Figure 3: A
Application fie
elds of IoT

In 2016, the globaal expenditture on IooT technica
al productts and serrvices
enteerprises haas reached 120 billionn dollars annd this num
mber will iincrease too 253billion dollars in 2021, reepresentingg a 16% annual growth rate. Purre IoT techhnicalservvices expen
nditure as a subset oof this expaansive grow
wth will reeach 143 billionb
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dollars with 17% annual growth rate. Based on an assumption of a 20% annual
growth rate, Asia will have the fastest growth and comprise an estimated 35% ofworldwide IoT expenditure in 2021.

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3. Challenge
Challenge 1: Traditional attack techniques damage IoT devices wantonly【Challenge】The Botnets of Things created by Mirai was entitled as one of theTen Breakthrough Technologies in 2107 by MIT Technology Review. According to thestatistics, the Botnets of Things have infected more than 2 million IoT devices, forexample, the cameras. The DDos attack launched by this made the network of
American DNS service provider Dyn break down and users could not visit several
popular websites such as Twitter and Paypal during a short period. Afterwards, morebotnets appeared, including the one that hijacked the IoT devices to mine Bitcoins
and the http81, which has larger scale and is more active.
Centralized management structure cannot prove its innocence and individual
private data leak has happened occasionally. For example, in May, 2017, the People’s
Daily Online once reported that 266 cameras in Chengdu were enforced for webcast.
At present, the security model based on closed source (often called “security
through obscurity”) has exposed its potential safety hazards and will be abandoned
gradually and be replaced by a new security model, “security through publicity”. To
realize this, it is necessary to upgrade the model to open source software. Though
the current open source systems are still vulnerable to accidents and are of low
availability, they are less prone to government interference and other targeted
attacks. Therefore, the open source systems will play an important role in home
automation as well as networking of vehicles and other devices.
【Solution】IoT Chain (ITC) has adopted the asymmetrical encryption. As longas the private key is kept properly, the data cannot be cracked even if it’s collected.
At the same time, all the nodes in ITC are equal, which protects the users’ privacy.
Moreover, based on the character that blockchain cannot be tampered, themanufacturers and service providers will not be able to tamper with users
information.
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Challenge 2: High cost of centralized architecture【Challenge】Even before the revenue of IoT reaches market expectation, thecosts of IoT are still extremely high. Most exiting IoT solutions require hugeinvestments:

apart from the commission for intermediaries of these services,building and maintaining the infrastructure related to centralized cloud and large‐
scale server clusters represent a significant capital outlay.
Unfortunately, current IoT solutions fail to meet the service supply andcontinually miss customer’s expectation. In the past, the cost and revenue of the IT
industry were always consistent. A large‐scale server, during its long lifespan, would
receive long‐term service since the manufactures and the buyers have signed support
contract. For personal computers and smartphones, athough there is typically nohigh‐profit support plan, this is generally not a major issue due to their relatively
short lifespan.
However for IoT, the equipment manufactures typically work on small margins to
the extent that they don not generate enough profits to support and maintain theequipment for an extended period. Meanwhile, it will require a huge sum of money
to serve hundreds of billions of smart devices, let alone the high maintenance fees
associated with a centralized server for distributing and updating software.
The operating costs of WeChat servers for 600 million users have reachedabove
300 million Yuan per month. Now there are 4.9 billion devices online, the annual
operating costs of servers will be 29.4 billion Yuan and the number is still increasing
rapidly every year.
【Solution】The future ITC shall have tens of thousands of nodes and they will
be absolutely adequate to meet the needs of IoT data storage with a combination ofblockchain’s distributed ledger technology. Thanks to the de‐centralization ofblockchain, there is no need for highly‐intensive computer clusters. Both technologies
have dramatically reduced the operating and maintaining costs of the whole IoT.
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4. Solutions(1) The concept of blockchain
Blockchain is an important concept introduced with Bitcoin and its essence is adecentralized database. In a narrow sense, blockchain is a sort of chain‐data structure
where data blocks are linked in accordance with time sequence. It is also a
distributed ledger which cannot be tampered or counterfeited under the protectionof cryptology methods. In a broad sense, blockchain technology is a brand new
distributed infrastructure andcomputingparadigm

which

uses

chain‐data

structure to verify and store data, uses distributed node consensus algorithm
to generate and update data, uses cryptology methods to guarantee the safety ofdata transmission as well as data access and utilizes smart contract composed of
automatic script code to program and operate data.
In a more colloquial way, blockchain technology enables everyone to take partin the bookkeeping. There is a database behind every system and if we regard the
database as a large ledger, the person in charge of bookkeeping is quite important.
Under the current technical situation, the person who owns the system is responsible
for the bookkeeping. For example, Tencent is in charge of the bookkeeping of
WeChat and Alibaba is in charge of Taobao. In the blockchain system, everyone will
have the chance to be involved in the bookkeeping process. During a specific periodof time, if there is any change in the data, everyone in the system can participate inbookkeeping. The system will select the fastest and the most qualified user to write
his record on the ledger and then distribute the updated ledger copies to other users
in the system as backup. Therefore, everyone in the system will have a complete
ledger. This kind of bookkeeping method is called the blockchain technology.
(2) The advantages of blockchain technology
The idea of everyone in charge of bookkeeping has brought obvious advantages:

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1. High security: The basic architecture of blockchain is immune to traditional
internet attacks. The feature of IoT’s information encryption and securecommunication is security through publicity, and this will help protect users’
privacy. Management of identity access and multi‐party consensus willcontribute to the recognition of misbehaving nodes and prevent malicious
nodes from accessing or destroying the network. The structure based on
chain data will be conducive to building electronic evidence which can beverified and traced.
2. Low costs: The features of decentralization, multi‐centers and weakening
centralization will reduce the operating costs of centralized architecture.
(3) The barriers to blockchain application
Objectively speaking, although blockchain has many distinctive merits, there arestill quite a few barriers to its widespread application. Using Bitcoin as an example:
1. Resource consumption: Bitcoin’s POW (Proof of Work) is consensus
mechanism with high resource consumption, while most IoT devices haveproblems associated with low computing and network capability as well as
short battery life.
2.

Data expansion: With the growth of blockchain, comes the question of“Can IoT devices provide enough storage capacity?”. Currently, Bitcoin
needs 100 G physical storage space, and that number keeps increasing. If
blockchain technology were widely used, the associated demand for storage
space would be enormous.

3.

Performance bottleneck: The limit speed of a traditional Bitcoin trade is
7 transactions per second and it will take approximately one hour to write in
the blockchain plus the time for consensus confirmation. This will lead tofeedback and warning delays, which is not infeasible for delay‐sensitive
industrial IoT.
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4.

Partition tolerance: The industrial IoT emphasizes that the nodes should
be “always online” but it happens all the time that ordinary IoT nodes failand rejoin the network back and forth. This will generate network shocks
which consumes a lot of network bandwidth and may even cause “network
partition”.

All of the above stated issues are not immediately obvious when the blockchain
is used on a small scale, but they will be big headache in large‐scale applications. So
how can we solve these problems?

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Chapter II Project Exposition
1. Brief introduction
Due to the centralization design of traditional IoT architecture, the users’
behavioral data is stored on the central servers controlled by merchants. Thus,
the users’ data is prone to be leaked out and the users’ privacy as well as safety will
face severe threats.
The blockchain has provided decentralized ideas and technology, which are very
suitable for the self‐service, self‐maintenance, self‐transactions and shares between
machines in IoT industry [1]. But there are still some key problems to be solved when
applying the blockchain technology in IoT, such as the form of consensus, quick andefficient payment processing on small amounts and the protection of data privacy.
For these challenges, IoT brings its own solutions including PBFT, SPV, DAG, CPS
cluster technology, big‐data‐analysis smart contract ChainCode to name a few.
ITC adopts the main chain of PBFT consensus, the DAG network, which
supports high performance by nature, as side chain and the multi‐tier architecture
to build an IoT operating system which is safe, decentralized and can support highlevels of concurrency.
2. Technical architecture(1) PBFT
One of the core problems of Blockchain is establishing consensus between
nodes. Different consensus algorithms will create different performance. ITC applies
the PBFT consensus algorithm to achieve main chain consensus (See Figure 4).
Practical Byzantine Fault Tolerance (PBFT) is a state machine replication algorithm
based on the consistency of message passing [2]. Through three stages, namely pre‐prepare, prepare and confirm stage, this algorithm provides a fault tolerance of (N‐1)/3 (N is the total number of nodes) on the premise of ensuring the activity andsafety [3].
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Figure 4: The process of achieving consensus of PBFT algorithm

Though using PBFT algorithm may cause some losses in the extensibility ofnodes, both extensibility and performance needs can be balanced by adjusting theweight. The blockchain technology based on PBFT consensus algorithm has alreadybeen applied in the digital currency of Central Bank of China, Bumeng Blockchain
and IBM’S hyperledger. Recently, the HoneyBadgerBFT consensus protocol has
been proposed, which is said to have realized asynchronous BFT protocol [4].
By adopting PBFT consensus protocol, ITC has greatly improved the main
chain’s processing performance on the premise of achieving consensus of themain chain’s decentralization.
(2) DAG
Bitcoin has recently had a hard time with the SegWit expansion solution. Owing
to the linked‐list data structure of blockchain itself, Bitcoin’s transaction
performance has become worse and transaction fees are increasing. DAG is a
distributed architecture without any block and it applies Directed Acyclic Grapharchitecture [7] (See Figure 5) instead of the heavy linked blockchain structure.
Compared with Bitcoin’s longest‐chain consensus, DAG changes this into theheaviest‐chain consensus mechanism, confirming a new deal through transaction
weight and partial consensus among nodes, which binds proof of work with eachdeal skillfully. This not only solves the current problem of centralization of
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Bitcoin’s mining but also greatly improves the whole distributed network’s
throughput capacity, thereby lowering the transaction costs. After extensive
analysis, we believe that DAG will become the basic data structure for the next
generation’s blockchain.

Figure 5: DAG topological structures

In the DAG network, in order to start a transaction, the node needs to do
simple proof of work and pack several unconfirmed transactions into its own
transation. When new child transactions confirm the parent transactions, partial
consensus will be established. The more nodes that are related to the parent
transaction, the easier it will be for the transaction to be confirmed. All transactions
issued by these nodes form this Directed Acyclic Graph set. The confirmation of a
new transaction is determined by the former transaction’s weight. By optimizing thenode selection algorithm and setting the transaction weight, the over dispersion of
DAG and hashrate attack of illegal transactions can be avoided to protect highefficiency and security of transactions on the chain. ITC adopts DAG’s data
structure to solve performance problems. On the one hand, the transaction
performance can be improved. On the other hand, ITC can resist quantum attack.
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The DAG’s twisted structure can naturally suit the IoT’s message passing modeand can bring extremely high performance for ITC and satisfy blockchain’s
decentralization and safety at the same time. ITC applies distributed POW and POS
ideas —different IoT devices nodes can adopt different security levels according
to their requirements — to satisfy various scenes in IoT ecosystem.
(3) SPV
SPV （Simple Payment Verification） is a technology which can conduct payment
verification without maintaining complete blockchain information as long as theblocks’ headers are preserved. This technology cannot only reduce the cost of
blockchain payment verification but also reduce the overhead on users. The designprinciple of SPV was first introduced in Nakamoto’s Bitcoin: A Peer‐to‐Peer
Electronic Cash System [5]. Taking Bitcoin as an example, payment verification canbe conducted if the nodes preserve all blocks’ headers. If not, payment verification
cannot be accomplished independently, but necessary information of payment
verification can be obtained from other nodes of the blockchain to finish transaction
payment verification and get the number of verified transactions in the whole
blockchain network [6] (See Figure 6).
ITC nodes use SPV technology to solve the data expansion problem of major
network and DAG. Improving payment verification efficiency is the key method toensuring the whole network’s performance.

Figure 6: SPV verification principles
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IoT Chain(4) Security Big‐data Intelligent Analysis—Smart Contract ChainCode1
ITC will become the most abundant data ecosystem in the generation of IoT
and generate large amount of data based on smart devices and users’ behavior.
Currently, the users’ data are monopolized by magnate companies and often
leveraged and violated in business models that abuses users’ data privacy, such as
advertisement recommendation and information reselling.

1

ChainCode was first brought up by IBM and it refers to smart contract mentioned on Ethereum.
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In ITC, users’ data belong to themselves. Any company who intends to do big‐data
analysis or algorithm model training of advertisement recommendations will need tosubmit Chaincode to ITC.
Using a probability model algorithm such as hyperloglog bloomfliter and zero‐knowledge proof, we can provide the necessary interface api for ChainCode data
analysis. With the restriction and assignment of these interfaces, contracts submitted
to ChainCode cannot steal the users’ initial data but can obtain aggregated data used
for smart business decision.
After execution of ChainCode, the companies need to pay ITC token to users
who then provide the data according to the data value. In this way, ITC provides abig‐data analysis ecosystem where both users and companies win.
(5) CPS2
An “ITC + Intelligent analysis platform” big‐data value‐creation system will be
required if traditional production system is to be transformed into smart factories
producing intelligent products. To meet this command, smart systems focused on the
Cyber Physical System (CPS) have emerged. In essence, CPS is a multi‐dimensioned
smart technical system based on big data, network and mass computation. Throughcore technologies including intelligent sensing, analyzing, mining, assessing,predicting, optimizing and cooperation, CPS can integrate computing, communicationand control for deep collaboration to realize a profound integration between
physical space and cyberspace involving the object’s mechanism, environment andcommunity [8].
The architecture of ITC refers to CPS cluster and builds the CPS technical system
structure on networks of five levels, including connection, conversion, cyber,cognition and configuration). On this system architecture, pluggable and independent
blocks of network communications, data analysis and value transfer can improve thestability of IoT’s ecosystem in ITC and make it more intelligent (See Figure 7).
2

CPS refers to the architectural design for the IoT ecosystem of ITC rather than specific technical details.
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Figure 7: The interactive network of CPS technical system

In summary, with the application of SPV technology in nodes, the PBFT
consensus algorithm in the main chain as well as a reference to the CPS IoT layered
architecture and an innovative combination of DAG technology with main chain,
ITC has achieved a the big‐data analysis ecosystem which can satisfy IoT’s high‐concurrency explosive usage scenarios, providing an intelligent data analysis API
and produce a win‐win situation between users and customers on the premise ofsafety as well as decentralization.
Compared with traditional blockchain, ITC has distinctive advantages insystem configuration and transaction performance (See Chart 1).
Chart 1 Comparative analysis of ITC performance

CPU
RAM
Hard Disk
Transaction
confirmation
speed

Traditional blockchain
Core Duo Quad 2.4 GHz
8 GB
1 TB
Bitcoin 10 minutes
Ethereum 10 seconds

16

ITC
0.08 GHz
0.002 GB
0.012 GB
Millisecond（Figure 8、9）

IooT Chain

Figure 8:: Comparison
n between traansaction con
nfirmation spe
eeds of differrent technolo
ogies

Figure 9:: Performannce Analysiss of ITC execcution efficiiency
ITC design
ns followingg platform aarchitecturee (See Figuree 10):17

IooT Chain

Figure 10: Arrchitecture off ITC platformm

Under thiis architectture, the saafety and usability off the projeect platformm
has been greattly improvedd (See Figurre 11):18

IooT Chain

Figure 111: Users’ usage scenario

3. O
Our Architeccture
The largeest basic architectureae of IoT is intelligentt lighting ddevices anddtheir nodes arre globally distributedd. The latesst market researchr
reeport issued
dby the world
d’s second largest mmarket research and consultingg companyy
Marketsand MarketsMpooints out t hat by 20
020, the sccale of thee intelligent
lighting markeet will reachh 8.14 billioon dollars anda the com
mpound an nual rate ofogrow
wth from 20152
to 20220 will be 222.07%.
Accordingg to Ericsson’s predictiion, global IoT’s conne
ection scalee will rise too50 bbillion yuann by 2020. In
ntelligent fuurnishing iss one of the most possiible pivot ofobuillding IoT an
nd making it penetrat e into ordinary users. As the moost commonnentry‐level inteelligent furnishing apppliance, inte
elligent lighting devicees will likelyy
gain
n greatest benefitsbwith the devellopment of 5G.
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Shanghai Zhuonian Software Research and Development Co., Ltd. is a major
provider of IoT technology for leading global smart light companies. It has a solid
foundation and track record of successfully operation and delivering ITC
projects. Compared with projects of this nature however, our ITC project has
remarkable technical superiorities (See Chart 2), which will ensure the success of
our project and mission.

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IoT Chain

Chart 2 Comparison with similar project

4. Product planning
Currently the IoT ecosystem is a centralized intelligent device system and ITC isa P2P node network in essence. Within this network sufficient numbers of nodes
are an essential element in order to ensure the whole network’s stability. Nodes canbe divided into normal type and non‐normal type. Normal‐type nodes refer todevices which remain open but their operational capability is not utilized. But for
non‐normal devices, once they are open, they will start operating. To avoid power
wastage and inefficiency caused by POW, we need to find more stable normal‐
type nodes.
Taking lighting as an example, the rotation of earth brings us day and night, andlight is necessary at night. In modern societies, light comes from lighting equipment
which is a normal‐type device of huge amounts and can be used to maintain ITC’s
21

IooT Chainstabbility. For innstance, whhen using Zhuonian ligghting cloud
d products, the users needto log in to th
he applicatio
on to contrrol the lights. Users cannot use lighting devices
uthorizes booth the userr and the deevice.
until the central server au
Our technnical schem
me (See F igure 12 & Figure 13) updatees the original
hting system and uti lizes backe
end verifica
ation netw
work as we
ell asinteelligent lighownnership to ensureethe system wil l use ITC’s blockchainb
technologyy to verify. Thus,T
we can guaraantee that our intelliggent lightin
ng system will be saafer, faster andmore stable annd efficient than any prrevious system.

Figure 12:
1 IoT lightinng structure ofo Zhuonian blockchainb

Figurre 13: Applicaations of blocckchain IoT lig
ghting22

IoT Chain

To be more specific, the schedule for research and development of our project
as well as product development are as follows (See Figure 14)

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Figuree 14: Technolo
ogy R&D scheedule and pro
oduct develop
pment strateggies

5. Coope
erative parttners
In vview of the affirmationapects of ITC''s solutions, andof the futuure development prosp
in tthe future jointlyjdeve
eloping ITCC products based on blockchainbttechnologyy, thefolloowing comppanies havee signed fra mework agreements withw the ITCC team:【LLierda Kesi ScienceS& Technology Group Co.,LLtd】
As a state‐leveel high‐techh enterprisee providingg embedded
d networkinng solution
ns forthe Internet off Things, Lieerda focusees on embe
edded micro
ocontroller technologyy andwireeless RFID technologyt
for the Inteernet of Thinngs. After several yearrs of investm
ment,
Lierrda took thee lead in domestic reseearch to devvelop a new
w industrial structure le
ed by
emb
bedded miccro‐control technologyy and Intern
net of Things technologgy, and achieved
a seeries of coree technologgies and ind ependent in
ntellectual property rigghts.
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IoT Chain【Gizwits IoT Technology Co., Ltd】
Gizwits is one of the largest IoT development platforms and hosting services in theworld, and a strategic partner of Espressif. Gizwits offers developers tools to quickly
add connectivity capabilities to their products and access them on the smartphone
and the cloud. Founded in 2006, Gizwits has become one of the most advanced IoTtechnology platforms, servicing nearly 1,000 enterprise customers. The platform
offers free hosting for makers and hobbyists, who can also choose to upgrade tocommercial grade IoT services when they are ready to turn their devices into
commercial grade products. The platform supports both public and private cloud
deployment. Gizwits works with Amazon AWS and Microsoft Azure, allowing
developers to launch IoT products globally. As of August 2016, Gizwits powers over 6
million online devices, and has a growing community of over 50,000 developers. It
was listed as one of the top 50 global IoT startups by Forbes Magazine, and wasnamed one of the top 50 most innovative companies in China by Fast Company
magazine.
【Shanghai Ximo Communication Technology Co., Ltd】
Ximo Co.,Ltd is an innovative enterprise that specialized in providing services in global
Internet, smart home areas and solutions, Ximo is an intelligent home furnishing
manufacturer that devoted to the integration of research, production and sales. At
present, it has several intelligent home furnishing manufacturing bases and dozens ofoffices in China.
Ximo intelligent home furnishing is integrated with intelligent light system,
intelligent safe‐protection system, intelligent security systems, intelligent video
system, intelligent curtain system, mobile phone remote video monitoring system,
etc., to provide intelligent solutions for the whole house by such means as timing,
scene and linkage to name a few.
The team of Ximo intelligent home furnishing is committed to creating a highquality household life style supported and delivered by a combination of humanity
and technology. Users can take care of their daily life at any time via remote control

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IoT Chainwith mobile APP., which it can provide a safer, enjoyable and more efficienthousehold system management experience for users.
【Comen Electronics Technology CO., Ltd】
Comen is a High‐Tech enterprise that integrate Research & Development with the
manufacture of intellectual products. Comen focuses mainly on the production ofwall switches, power outlets, wireless remote controls, surge protectors,
multifunctional sockets and other related products.
Comen has ten‐year experience in electronics manufacturing and a proven trackrecord of success, with the majority of products awarded TUV/GS, ITS/GS, KEMA,
CE,UL approval standards. Comen also has numerous business relationships with
European, America, North America and South Africa companies.
【Wuxi Balas Lighting Electronics Co., Ltd.】
Wuxi Balas Lighting Electronics Co., Ltd is a specialized manufacturer of different
kinds of lamps, with a strong research & development focus on production capability.
Wuxi Balas has earned a high reputation in its specialized field. The company's
products all have gained national patents because of their new style, elegant color,
good quality and competitive price. These products, have a large potential market,
and hugely popular both domestically and in overseas markets, enjoying particularsuccess especially in Asia, the USA and European. Sincerely we cherish any
communication and co‐operation from friends in different fields and any suggestion
or idea from you will be highly appreciated.【Norra Technologies Co., Ltd.】
Norra Technologies Co., Ltd. is a new creative company, established in 2010 bysomeone graduated abroad. Through continuous innovation, we have established amachine‐to‐machine (M2M) communication advantage in real‐time monitoring
systems, such as smart‐cities, environment monitoring and manufacture monitoring.
With strength in image processing based sensor devices, secure communications andweb server technology, Norra has gained a rising position in the era of Internet ofthings. Our products and solutions have served numerous companies and are highly
praised and valued by our customers.
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Norra’s vision is to make M2M communication green, reliable and secure. By
combining innovative ideas and expertise in the information sharing field, we aim to
make the dissemination and use of information more efficient and faster without
relying on direct human intervention. We have a good network of cooperation with
universities and institutes, such as the Q2S of NTNU in Norway, Pri‐SDL of Chinese
Academy of Science, HKR in Sweden to name a few. We provide embedded hardware& software, sensor networks, image processing algorithms, secure communicationand information sharing applications.

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Chapter III Team Members
The team members of our project are all senior experts in smart hardware andalgorithm field with rich experience in starting up business. Besides, we have
employed industry elites as project consultants. The members are:
【Core Team】
CEO: Xie Zhuopeng
Xie Zhuopeng is a senior entrepreneur and expert in IoT field. He has been
engaged in the smart hardware field for four years and has extensively studied
blockchain technologies for three years. Xie has deep insights in smart hardware andrecognized as an expert in his field, is regularly invited to speech at summits
focusing on smart hardware. Xie has participated in designing smart lighting
architecture for several lighting companies both domestically and abroad and has
been engaged in numerous projects to design smart hardware architecture.
CTO: Ding Ying
Ding Ying has worked on the development of chip’s firmware for 12 years. Ding
has experience in digital imagery, 3D model retrieval, compression algorithm
processing of audio and video and financial software of bank card. Ding has a deep
understanding of chip’s hardware, embedded software structures and encryption
algorithms.
CFO: Zhao Tan
An MBA from MIT Sloan School of Management, CPA of China, Singapore and
FCCA of UK. Zhao was APAC treasurer in a large multi‐national company, responsible
for FX hedging, upkeep of bank infrastructure (JPM), supply chain finance roll‐out(DB), cash management, in‐country funding strategy and financial risk management.
He was selected into J.P.Morgan APAC Client Advisory Council in 2017.
Major Programmer: Liao Dongnian28

IoT Chain

Liao has been engaged in the smart hardware field for four years and was a lead indesigning the smart lighting architecture of the world’s top‐one lighting company.
He has studied blockchain technology for three years and mastered java, C++, ruby,mqtt and blockchain.

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Major Programmer: Hu Yasheng
Hu has been engaged in the smart hardware field for four years and started to
do research in blockchain IoT technology in 2013. Previously Hu had participated inresearching and developing the IoT architecture design of an international famousbrand and was also previously a technical manager of the installment businessdepartment of Tongcheng Tourism Petty Loan.
【Consultant Team】
Liang Ran： As an expert in blockchain technology, Liang mainly studies theissue and transaction of assets in blockchain. He co‐edited the ChinaLedger
Whitepaper as well as China Blockchain Technology and Application Development
Whitepaper issued by MIIT and he is the judge of MIIT First China Blockchain
Development Contest. Also, he is the co‐founder of RippleFox (RippleFox is China’s
biggest Ripple and Stellar’s gateway and the leader of Chinese community of both
Ripple and Stellar.
Zhou Shuoji: Zhou is the founding partner of FBG and he is an expert in digitalcurrency transaction as well as an active investor in blockchain field. As one ofChina’s early pioneer practitioner of blockchain technology and the opinion leader ofChina digital currency community, Zhou has started and managed two
digital‐currency private transaction funds.
Ma Zhiwei: Vice president of Opple Lighting Co., Ltd (603515). After Opple’s
going public, it became the world’s largest lighting company with more than 30
million yuan market value.
Ji Xinhua: Master of Shanghai Jaitong University and winner of first prize ofShanghai science and technology advancement. Ji took part in establishing standards
for Unionpay credit cards’ encryption chips and for Central Bank’s digital currency.
Sheng Wenjun: Founder of Telink. He got his bachelor, master and doctor

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degree from Tsinghua University. Telink gained Intel strategic investment and is also
the cooperative partner of IoT.
Qiu Haiyi: Founder and general manager of High‐Flying. High‐Flying is the
distributor of Ai chips and the only IoT enterprise invested by Baidu. The annual
turnover of High‐Flying is about 150 million yuan.

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Chapter VI Token Model
ITC is an acronym for IOT onchain tokens, which is the lifeblood of thedecentralized IOT networking operating systems.
ITC is a measure of the value circulation in the ecosystem of IoT Chain.
Anything involving the use of smart devices, ownership, and the value of thecontent ecosystem on smart devices, requires ITC billing.
The following two points ensure that the demand for ITC in the ecologicalenvironment continues to grow.
1.Every smart device that joins the ecosystem of the universe must have abuilt‐in ITC. As more and more smart devices join the IoT Chain system, thedemand for ITC will continue to rise.
2. In the IoT Chain system, data sovereignty belongs to users. In the era of big
data, there will be a steady stream of big data analysis needs, and each big data
analysis request will need to consume ITC and be allocated to users according toeach user's data contribution. With the sound development of the data ecosystem
in IoT Chain, the demand for ITC will continue to grow.

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IoT Chain

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