- The Tangle technology addresses issues blockchain-based coins are grappling with
- IOTA is an ambitious cryptocurrency project with deep pockets to fund development for a long time to come
There are so many altcoins today, to the extent that most people can’t decide what coins have actual potential and which are just hype. It’s even more difficult to find coin that will stand the test of time. As a result, people are looking for coins that have the potential to solve real-world problems. Many cryptocurrencies have real-world use cases, but very few of them can compete with IOTA. It has walked the walk and proven that it has products that can solve real-world problems besides addressing the problems of the future. It has the potential to bring solutions to problems in addition to disrupting the way we use modern technology.
IOTA currently lies at the 14th position in market value on coinmarketcap.com and is one of few projects not tied to blockchain. IOTA uses a tree of transactions known as the Tangle. The name derives from the Internet of Things (IoT) where it helps to fulfill several applications. In this guide, we will give you enough reasons to have this coin in your wallet.
Main Advantages of IOTA during the Crypto Winter
It’s a Great Experiment
IOTA has become the first cryptocurrency to employ the Tangle concept which is exciting due to its ability to tackle scalability head-on. As a result, the foundation has entered several partnerships with large organizations that are interested in its tangle concept. The technology has gone beyond blockchain and is fostering innovative real-time solutions and customer applications. The market valuation of the MIOTA token has risen steadily as a result of the many new partnerships. It has proved itself efficient for everyday transactions like transferring money, paying merchants and buying regular merchandise.
In addition to the scalability advantage, the tangle’s architecture and upcoming Qubit layer have given rise to a strong community of developers and supporters.
The foundation behind the IOTA token has a very strong organization that provides ready funds that empower research and development. Proof that it’s working is the increasing number of new companies partnering with it to take advantage of its Tangle concept.
Being quantum proof may not be a big issue yet, but there are strong indications that we are headed there. Thankfully, IOTA is Quantum proof in its basic design meaning that quantum computers don’t have an unfair advantage over traditional ones when they attempt to compromise security of the protocol.
The biggest challenge facing the blockchain is slow transaction speeds, with most of them operating in the double-digit range which isn’t acceptable for modern applications. IOTA uses a system where transaction speeds increase as the user base increases.
IOTA facilitates small payments where no transaction fees are incurred, as opposed to the traditional blockchain-based portals where the initiator/sender pay transaction fees.
Technically speaking, IOTA uses a processing protocol whose speed increases as the number of transactions or subscribers increase. This means that the time between the times spent from when you place a transaction and when it’s validated goes towards zero the moment a certain data size is achieved
Unlike the regular blockchain where mining cryptocurrencies require expensive systems and more computing power, this project has eliminated expensive requirements by eliminating major areas of the mining process.
Blockchain owners reserve the capacity to manipulate the system for their gain creating the need for organizations to try and integrate the blockchain with independently auditable applications where the data’s immutability can be maintained.
Experts predict that if traders have been longing for machine-to-machine transactions, then the prominence of IOTA is spot on as it will play an important role in the world of electronic cashouts. As we move into the future, there is a huge demand for machine-to-machine communication in the name of smart cities, sensor technology, and adaptive systems, all of which IOTA is addressing.
IOTA is one of the most interesting and ambitious projects at the moment. If all goes well with IOTA, as it appears, it will pose a serious challenge to the price of the leading cryptocurrencies. The Internet of Things (IoT) aspect of IOTA is an interesting concept since machines can trade goods, services, and information among themselves.
IOTA is currently one of the most interesting cryptocurrencies and thanks to its technology it offers limitless potential and, as a result, this is a crypto asset you want to have in your portfolio beginning 2019.