A Threshold Homomorphic Blockchain Architecture for Secure and Scalable IoT Sensor Data Aggregation
2026-08-24 • Cryptography and Security
Cryptography and SecurityNetworking and Internet Architecture
AI summaryⓘ
The authors present Phi-PHE-BC, a new blockchain system designed to securely collect data from IoT sensors while protecting user privacy. Their approach uses a special type of encryption called threshold Paillier, which allows data to be combined without revealing individual values, and adapts its security and performance based on the network's layout. They analyze how different network shapes affect speed and reliability and show that honest participation by network validators is the best strategy. Experiments indicate their system performs better in latency than some existing methods, making it a practical option for secure IoT data aggregation.
Homomorphic EncryptionBlockchainIoT Sensor AggregationThreshold Paillier DecryptionNetwork TopologyByzantine Fault ToleranceIND-CPA SecurityEUF-CMA AuthenticationHyperledger FabricGame Theory
Authors
Narendra Kumar Dewangan, Mounira Msahli
Abstract
Homomorphic-encryption blockchain frameworks for IoT sensor aggregation generally rely on classical cryptographic hardness assumptions and seldom account for network topology in liveness and performance analysis. This work introduces Phi-PHE-BC, a topology-aware homomorphic blockchain architecture for secure and privacy-preserving IoT sensor data aggregation. The framework combines threshold Paillier decryption with graph-parameterized security and performance analysis, linking protocol behavior to the validator graph. On-chain Paillier ciphertexts support homomorphic aggregation while providing IND-CPA confidentiality under the Decisional Composite Residuosity assumption, and authentication signatures provide EUF-CMA transaction integrity. Threshold partial-decryption shares are protected by a noise-flooding wrapper that provides information-theoretic privacy under the configured statistical-hiding condition. Under partial synchrony and Byzantine fault-tolerance assumptions, liveness requires validator connectivity kappa(Gv) >= f+1. We derive topology-dependent throughput bounds for tree, star, mesh, and scale-free networks, together with a per-block communication-cost model. A game-theoretic analysis shows that honest validator participation is a dominant strategy under the stated utility model, yielding an all-honest Nash equilibrium. Experiments on Hyperledger Fabric 2.5 show lower end-to-end latency than the selected traditional PHE-blockchain baseline while maintaining controllable threshold-decryption overhead. Results across topology scaling, validator sensitivity, threshold decryption, and Byzantine-load experiments indicate that Phi-PHE-BC is a practical architecture for secure, privacy-preserving, and topology-aware IoT sensor aggregation.