The U.S. Department of Homeland Security (DHS) announced it has awarded a $199,000 grant to Factom, an Austin-based blockchain company, to develop a digital identity security system for Internet of Things (IoT) devices. The funding comes under DHS's newly established Silicon Valley Innovation Program, signaling the agency's commitment to leveraging cutting-edge technology for homeland security.
Project Objectives and Scope
The project, titled “Blockchain Software to Prove Integrity of Captured Data From Border Devices” (Solicitation Number: HSHQDC-16-R-00035), aims to use blockchain's immutable ledger to create an unforgeable identity log for IoT devices. The log will record manufacturer details, available updates, known security issues, and granted authorities, while adding a time dimension for enhanced security. The initiative is designed to prevent device spoofing and ensure that data from border sensors and other IoT equipment remains tamper-proof.
Dr. Reginald Brothers, Under-Secretary for Science and Technology at DHS, stated: “IoT devices are embedded within our daily lives – from the vehicle we drive to devices we wear – it’s critical to safeguard these devices from adversaries. S&T is excited to engage our nation’s innovators, helping us to develop novel solutions for the Homeland Security Enterprise.”
Factom's Technical Approach
Factom will deploy its blockchain platform to create a distributed identity ledger that ensures each IoT device's digital identity is immutable and traceable. Tiana Laurence, CMO of Factom, told Bitcoin.com: “We are excited to work on the project with DHS. The US government has been looking at the potential of blockchain technology for a while and we feel honored to help. This will be an interesting use case, because of how interconnected all of our devices have become. IoT devices are also deeply woven into our lives. They are not that secure, yet they contain a lot of private and intimate data about us. We hope to add some security and redundancy.”
The system will authenticate devices and prevent hackers from corrupting records or injecting fraudulent data. By anchoring device identity logs on the blockchain, Factom aims to provide a robust security layer for government infrastructure.
DHS's Broader Blockchain Initiatives
The grant to Factom follows a separate announcement last week where DHS awarded $600,000 in total to six blockchain startups through the Small Business Innovation Research (SBIR) program, each receiving $100,000 to further DHS technological advancement. Melissa Ho, Managing Director of S&T's Silicon Valley Innovation Program, commented: “The start-up community is already developing innovative commercial solutions for IoT, so why not take advantage of that? DHS is engaging this community to gain access to products that will have a large impact to our enterprise, and we’re excited by the diversity of solutions this solicitation is able to bring to the Department.”
Factom expressed satisfaction with the funding and plans to leverage blockchain technology to secure not only DHS systems but also other critical infrastructure globally. The project represents a practical step toward integrating decentralized trust mechanisms into government cybersecurity frameworks.