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Xage Security Fabric - Blockchain-based Zero Trust System for Industrial IoT Networks

Sector: Tertiary sector · Industry: IT security · Organisation: Xage Security · Maturity level: Production

Xage Security Fabric is a blockchain-based platform for decentralized identity and access management in industrial IoT networks. The system solves critical security problems such as unpatched devices and unsecured authentication through tamperproof protection and digital certificates. The platform achieved a 10x reduction in computing footprint and can manage up to 10 million assets at 400 Gbps throughput.

Documentation status

• Project status: Production
• Evidence: Evidence high
• Editorial review: Ufuk Avci, 15 April 2026

Description

Xage Security was founded in 2017 in Santa Clara (Silicon Valley) and developed Xage Fabric — a decentralised, blockchain-based security platform for industrial systems (ICS/SCADA/OT). The core concept: security data (access rights, authentications, policies) are not stored on a central server but distributed on a blockchain — eliminating any single point of failure.

OT security (Operational Technology) is a critical issue: SCADA systems, industrial controls and sensors in power plants, refineries and factories were designed for reliability, not security. They are often 20-30 years old and cannot be patched like normal IT systems. Attacks such as Stuxnet, Colonial Pipeline hack and Ukraine power grid attacks have shown how vulnerable critical infrastructure is. Xage solves this with a decentralised approach: Xage Fabric distributes trust information (access rights, certificates, policies) on a blockchain across all nodes in the network. Even if individual nodes are compromised, attackers cannot manipulate the blockchain — majority consensus protects integrity. Zero-trust architecture: every access is re-authenticated on every request. Customers include Siemens Energy, US Air Force, Saudi Aramco and other energy suppliers. 2018: $12 million Series A. ARC Advisory Group recognises Xage as a pioneer in the zero-trust OT segment.

Perspectives

B2B — organisations perspective

Energy suppliers, refineries and critical infrastructure operators can protect their OT systems with Xage Fabric using zero-trust security — without central vulnerabilities, without legacy system updates, blockchain-secured access controls.

B2C — consumers perspective

End customers benefit indirectly through more reliable critical infrastructures such as power grids and public transport systems. Smart city applications become more trustworthy and stable thanks to improved security.

Employees perspective

IT security staff can shift from reactive to proactive security strategies as the platform offers automated threat detection and defence. System administrators benefit from simplified device management through centralised but decentralised secured identity management.

Benefits

General

• The platform reduces the computing footprint by a factor of 10 while enabling a tenfold increase in the number of nodes per hierarchy level.
• Companies achieve zero-trust enforcement that is 100 times faster compared to conventional security systems.
• The system supports offline operations and ensures continuous security even during network outages.

B2B — organisations

• Organisations can securely manage up to 10 million industrial assets while achieving 400 Gbps throughput for critical business processes.

Employees

• IT teams benefit from automated device authentication and reduced manual effort during security incidents.

Challenges

General

• Implementation requires highly specialised blockchain development resources and deep integration into existing industrial network architectures.
• Edge device resource constraints require customised light client implementations for optimal performance.

B2B — organisations

• Companies must make significant investments in hardware upgrades and staff training for the new blockchain-based security architecture.

Employees

• Security specialists need to develop new skills in blockchain technology and decentralised identity management systems.

Technology foundation

Xage uses a proprietary hierarchical blockchain architecture with local blockchains per site and global synchronization. This solution enables offline operations and uses conditional/supermajority consensus mechanisms for optimal performance in industrial environments.

Implementation examples

US Air Force blockchain security implementation

The Air Force required a highly secure solution for authenticating and managing IoT devices in sensitive military networks. Conventional centralised security systems presented single points of failure and could not guarantee the required security level.

The US Air Force implemented Xage Security Fabric for military network security in critical infrastructures.

The US Air Force deployed the Xage Security Fabric as part of its zero-trust strategy for military networks. The system protects critical defence infrastructures through blockchain-based device authentication and decentralised identity management. The implementation was carried out within the DoD Zero Trust roadmap until 2027.

The system solved the problem of insecure device-to-device communication in military networks and eliminated central vulnerabilities. The blockchain-based architecture ensures tamperproof security even against physical attacks on individual network nodes.

Tags

Zero Trust, Industrial IoT security, Blockchain identity management, Critical infrastructure, Edge computing

Sources

1. Xage Security reveals new blockchain innovation to protect trillions of industrial devices
2. Xage launches as first blockchain-protected security platform for Industrial IoT
3. Xage Security raises $12 million for blockchain security in Industrial IoT
4. Xage Security hits record growth architecting future zero trust for AI and critical infrastructure