An Edge-Based System for Prepaid Pay-Per-Use Operation in IoT Systems Using Lightning Network Micropayments
Internet of Things; Micropayments; Lightning Network; Edge Computing; Pay-per-use.
The adoption of Internet of Things (IoT) systems has increased significantly in recent years, with many systems requiring payment mechanisms to support service provision and maintenance. Blockchain-based and cryptocurrency-based solutions have been investigated and have also attracted increasing interest as a means to support automated micropayments in IoT systems, since they can be accessed programmatically and generally rely on open protocols. However, several challenges remain when integrating these solutions with IoT architectures, such as hardware requirements, scalability, security, interoperability, as well as cryptocurrency transaction fees and latency. Among the various blockchain payment networks, the Lightning Network (LN) has been proposed as a means to enable micropayments with low fees, high throughput, and near instant payment settlement, while preserving the security guarantees of the underlying Bitcoin blockchain, however, it was not designed for constrained IoT devices, requiring additional work to enable its use in such environments. This dissertation proposes LINA (Lightning Integrated Node Architecture), an edge-based system for prepaid pay-per-use operation in IoT systems. Its architecture uses an edge node to bridge constrained devices and the LN, offloading payment processing while maintaining compatibility with existing LN infrastructure and keeping device-side complexity minimal. A functional prototype was implemented and evaluated on constrained edge hardware using a Raspberry Pi 4 Model B and a Raspberry Pi Zero 2 W. The results show that LINA behaves as expected and can run on resource limited hardware, while sustaining ≈ 225 devices concurrent devices before reaching a saturation limit. These results demonstrate the feasibility of the proposed system and indicate room for improvement to further increase throughput.