Theoretically and practically, you can pass the IoT data to each blockchain transaction. However, the size of data might be quite small since the hashed content in a block will only allow 80 sth byte of data to be transacted (not sure about the number). Besides, streaming is an essential implementation in IoT systems. The transaction speed might become an issue to send and receive data on time. Personally i am a bit biased to blockchain in a negative sense although it is a revolutionary tech.
I would suggest to have a look Tangle network instead. Tangle (as the backbone of IOTA) has an implementation called Masked Authenticated Messaging (MAM) in which you can send your data stream in a protected way. Besides, MAM links the IoT streaming transactions and allows you to keep track of your historical record natively. This is sth that you cannot establish with Blockchain unless you save the transaction hash in an external system with a timestamp. In blockchain the data is saved in the blocks.
In addition, Interplanetary File System (IPFS) can be an alternative way to store and distribute your data within peers.
Please have a look at the following YouTube video series that how you can use Tangle (IOTA) and MAM messaging protocol
The view currently prevails is that there are potentially many uses in the future for integrated Internet of Things technologies and Blockchain. The Internet of Things allows you to develop technologies for remote control of various devices from the level of, for example, a smartphone. Blockchain, on the other hand, ensures a high level of security and decentralization of information transfer on the Internet, including the execution of financial transactions via the Internet.
There are some benefits to integrate blockchain in IoT as follows:
1- The shift from centralized to blockchain-based IoT enhances fault tolerance and removes singular points of failures. It also prevents the bottleneck that was inherent in a growing IoT reliant on centralized servers . .
2- A decentralized peer to peer network architecture enables IoT device autonomy, and end-to-end communications do not have to go through a centralized server for performing automation services. Participants in blockchain networks can verify the integrity of the data they are sent, as well as the identity of the sending participant. The secure, tamper-proof storage in blockchains also enable deploying secure software updates to IoT devices.
3- Since no single entity controls the contents of a blockchain, IoT data and event logs stored on the blockchain are immutable, therefore there is guaranteed accountability and trace-ability. Reliability and trust-less IoT interactions are a major contribution of blockchains to the IoT.
4- Blockchains offer the functionality of programmable logic through smart contracts, and can treat IoT interactions as transactions. They can help perform security functions like access control, confidentiality and authentication to enhance the security in a blockchain-based IoT.