The emergence of Internet of Things (IoT) applications presents a wide range of opportunities in areas such as automotive, consumer, energy, smart city and many others. Since many of these systems operate in environments with heightened sensitivity and privacy, they require trusted level of security. In addition, the implemented security measures must fit within strict power and area budgets, yet deliver maximum performance mandated by the application. In this paper, we propose and evaluate the area, power and performance of a novel compact low-power GAGE hash function processor (MICRO-GAGE). The results show Micro- Gageis 28× more power-efficient than the reported implementation of GAGE hash function on AVR ATMEGA 328p micro-controller. Micro- Gageneeds approximately 2.6 times less power than several comparable LWC designs. In addition, the proposed processor performs approximately 2.6 times longer than the other LWC designs when powered by typical Ni-Cd battery.