Abstract This paper presents a scalable group authentication and key agreement protocol for dynamic IoT environments that integrates Physical Unclonable Function (PUF)-derived device bases with inner product space projections. During registration, each device is assigned a private basis $${\mathcal {B}}_i$$ B i derived from its PUF responses, enabling efficient group authentication without per-device centralized verification and thereby mitigating long-term reliance on the group manager (GM). The protocol provides single-broadcast operations for member joining and leaving as well as decentralized group key updates. Formal security analysis under the Real-or-Random (ROR) model and experimental evaluation demonstrate robustness against common attacks, low communication overhead (6.5- $$-$$
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