IOTA is a 3rd generation cryptocurrency and the first that supports fast decentralized currency transfers with quantum security.
The quality of the team behind IOTA has a lot of knowledgeable people thinking IOTA could be the currency of choice in the not too distant future.
In today’s crypto market space we see a variety of specialized currencies.
While Bitcoin proved that the world is ready for crypto currencies, its architecture does not allow trade in daily commodities.
Although innovative currencies, such as Ethereum, have improved transaction times significantly, every blockchain based cryptocurrency has the drawback of slow transaction speeds and high transaction fees.
While IOTA has every feature of current cryptocurrencies, its unique distributed confirmation algorithm, the “Tangle”, allows almost instantaneous transfers.
With each IOTA transaction, the user’s device confirms two other transactions.
In doing so, each user directly provides the computing power needed to confirm the validity of the transactions.
Due to this decentralized structure, there are no miners and therefore no transaction fees.
Every crypto currency shines in its own unique aspects.
Bitcoin is the current gatekeeper of cryptocurrencies; Ethereum, the so called “world computer” supports smart contracts and RippleXRP revolutionizes globalized banking transactions.
Due to its decentralization and transaction speed, IOTA is the first viable micro payment solution that is suitable for everyday payments.
As intelligent Internet-of-things (IOT) devices become more and more independent, we see a future where cryptocurrencies are traded for micro services between IOT devices.
Those services could encompass electricity, storage and server power.
IOTA tokens can now be bought at all major cryptocurrency market exchanges, and wallets are available for all operating systems.
IOTA is a permission-less open-source distributed ledger.
You might already be familiar with other similar platforms.
But unlike other distributed ledgers, IOTA does not use the blockchain.
Instead, IOTA uses a brand new quantum-proof protocol called the Tangle.
The Tangle achieves network consensus differently than the blockchain, providing for a variety of revolutionary new features.
In order to send an IOTA transaction, a user verifies two other transactions in the Tangle by performing low difficulty proof of work.
The payment for using the network is simply verifying two other transactions, leading to zero transaction fees.
This means that the exact amount of IOTA sent is the same exact amount of iota received, enabling true micro payments.
It also means the IOTA scaled proportionally to the number of transaction on the network, with no theoretical limit.
Additionally, network security increases and confirmation time decreases with greater network loads.
This is in stark contrast to blockchain.
Other features include snapshotting, masked authenticated messaging, partition tolerance, a fixed money-supply, and an extremely lightweight client.
While IOTA was specifically designed to serve as a backbone for the Internet of Things, its features lend themselves to endless other use-cases as well.
For more information visit iota.org or helloiota.com