Extending ERC721: Design and implementation of a novel secure NFT framework for IoT asset authentication in cyber-physical systems

Abstract

This research presents the design and implementation of the Decentralized Smart City of Things (DSCoT), a novel framework leveraging Web3 architecture to enhance the security and authentication of assets in cyber-physical systems (CPSs) for smart cities on a private blockchain. Unlike traditional non-fungible tokens that primarily identify and distinguish financial assets, existing approaches lack robust mechanisms for attributing and authenticating CPS assets such as owners, users, and IoT-enabled smart devices. DSCoT addresses this gap by introducing an extended ERC721 protocol, enabling IoT-enabled devices to have unique blockchain identities similar to user accounts, which enhances device management and tracking. Novel smart contract modules facilitate secure identification and authentication of CPS assets. Evaluated results on a private Hyperledger Besu blockchain show that DSCoT achieves significant performance improvements, including sub-second latency (∼0.1–0.5 s for application programming interface (API) calls), minimal transaction costs (∼0.01–0.05 USD), and a high processing capacity (∼1000 transactions per second (TPS)). These results, along with improved security through immutable authentication records, demonstrate DSCoT’s effectiveness as a scalable and secure solution for smart city CPSs.