This project delves into the critical area of securing Internet of Things (IoT) devices through lightweight encryption algorithms. The research begins with an introduction to the IoT, highlighting its architecture, components like RFID tags and sensors, and the paramount importance of security. It identifies the limitations of IoT devices, such as resource constraints, which necessitate the use of lightweight encryption. The project's aim is to propose a new lightweight encryption algorithm to provide security to IoT devices. A comprehensive literature review analyzes existing algorithms like AES, HIGHT, TEA, PRESENT, RC5, and others, evaluating their performance and identifying gaps. The study explores various security protocols at different layers of the IoT architecture. The core of the project involves proposing a new algorithm, detailing its mathematical functions, providing an illustrative example, and outlining an experimental setup for testing. The results, security analysis, recommendations, and future scope are also discussed, along with the limitations of the research. The project aims to enhance IoT security by providing a practical and efficient solution.