What is the IOTA currency? What are the differences between it and Bitcoin?
IOTA In the field of blockchain, IOTA can be considered a magical presence in the first phase of the coin launch, bringing more than 1500 times the return for people who invested in it at that time in this type of project with more than a thousand times the return on the entire digital currency.
The market is very scarce. However, many investors interested in IOTA coin do not know what kind of coin it is, and to which conceptual sector it belongs.
What is the IOTA currency?
IOTA was created in 2014, as a new type of cryptocurrency, and aims to design emerging transaction settlement and data transmission for the Internet of Things based on non-blockchain technology especially in the areas of smart cities, infrastructure, smart grids, supply chains, transportation, and mobility.
IOTA is the first cryptocurrency to be used for the entire ecosystem. Safe, efficient, and lightweight real-time micro-transactions are its main features, but no transaction fees are its biggest advantage.
IOTA is a kind of virtual currency. It is based on blockchain technology. The most popular virtual currency is Bitcoin. The virtual currency itself has no value, but the total amount of virtual currency is very limited and scarce, so there is a certain speculative value.
What sector of concepts do you belong to IOTA?
IOTA is a revolutionary new layer of transaction settlement and data transmission designed for the Internet of Things (IOT), which belongs to the concept of the Internet of Things.
It is based on a new type of distributed ledger – The Tangle. Tangle is able to overcome the shortcomings of existing blockchain designs and create a new way to reach consensus in decentralized P2P systems.
For the first time, there is no fee for transferring funds through IOTA and this means that no matter how small the payment is, it can be made through IOTA.
IOTA focuses on solving the machine-to-machine (M2M) transaction problem. Create a blueprint for the machine economy of the future by enabling machine-to-machine payments without transaction fees.
IOTA provides efficient, secure and lightweight microtransactions in real time and does not incur any transaction fees.
It is an open source decentralized cryptocurrency designed specifically for the Internet of Things, which is micro-transactions in real time, and can be scaled easily and conveniently.
IOTA goes beyond Blockchain technology and is the first cryptocurrency based on non-blockchain technology for the entire ecosystem.
IOTA can be considered as another alternative currency, but the truth is that IOTA is far from an alternative currency, it goes beyond blockchain technology and is an extension of blockchain technology IOTA is based on Tangle technology rather than blockchain technology.
concept board IOTA
IOTA, a project from Germany, started crowdfunding in 2015 and launched on the exchange in 2017.
Simply put, MIOTA is a pioneering project in the IoT field, committed to becoming the transaction settlement layer and data transmission layer of the Internet of Things, so as to promote the innovative development of smart cities and smart grids.
Its biggest advantage is the use of DAG technology (Directed Acyclic Graph) at its core, it is not a public blockchain project, but another distributed ledger, transactions in MIOTA do not require fees, but you will need to verify the first two transactions The more people trade, the faster Verification process, this is also a feature of DAG technology.
There are very few projects with such great contradictions as MIOTA that was relatively unknown before.
Crowdfunding only raised more than 3 million, but I never expected that it would increase by more than 50,000 times in peak The thing is the number of people who broke their thighs, as a result of which Miota became a god.
Iota currency IOTA futuristic
From the perspective of project positioning, the IoT area that MIOTA is targeting is definitely one of the future ports, and MIOTA’s solution without transaction fees is also in line with the needs of high-frequency transactions between devices in the future of IoT.
In addition, MIOTA has a good environmental design that is not only recognized by the capital and well-known companies, but also helped by the German government in setting up the enterprise.
It has also cooperated with well-known companies such as Microsoft and Samsung. However, it should be noted that the degree of decentralization in MIOTA is not high, there is a certain degree of central intervention, and MIOTA is currently experiencing a currency theft storm and according to official statistics, it will compensate users for the loot loss.
The main uses of IOTA
IOTA can currently do two things very well: transaction settlement (especially small payments) and data integration.
Most of the use cases derived from these two functions are meaningful and are mostly only possible through IOTA.
IOTA is primarily devoted to the Internet of Things, whereby it pays for resources, services, or permissions through machines.
Use cases including smart cities, smart grids, infrastructure, supply chains, etc. are all potential targets for IOTA.
In this blog, you will continue to explore more use cases for IOTA You can choose a guide for your preferred programming language, or even write your own.
Each IOTA is generated in the initial block, the total number is inconvenient, there is no need for mining, the IOTA is non-inflationary. For simplicity, IOTA uses the SI (International System of Units) system of measurement.
Main Features of IOTA
(For now) it’s zero-fee micro payments, secure data transfer, and data pegs With these two features, along with IOTA’s scalability and partition tolerance, we’ve been able to extract a large number of use cases that were only possible with IOTA.
The main focus area is clearly the Internet of Things, particularly in areas such as smart cities, infrastructure, smart grids, supply chains, transportation, and mobility.
In addition, IOTA can be the backbone for the settlement of any P2P transaction, such as online payments or even transfers.
The similarities and differences between IOTA And the Bitcoin
Bitcoin transactions are processed by miners in arranged groups called blocks. There is a limit to the amount of transactions that can be processed in a block, which has sparked a heated debate about how to divide Bitcoin proportionally.
The IOTA Coin team is committed to eliminating the need for blocks and distributing them more rationally. Unlike Bitcoin or most other block chains, IOTA does not have the concept of “miners” who verify network transactions.
Conversely, for every IOTA transaction, the initiator needs to perform some computer-based operation to provide proof of work (Proof of Work, referred to as PoW) for that transaction using the previous two transactions.
So you also understand that the reason why there are no transaction fees in IOTA coins is that they are used as a reward to help keep the network secure.
Read also: What is Bitcoin? Definition, price and how does it work?
IOTA currency fee IOTA futuristic
Since there are no payment fees, IOTA coins can support extremely small transactions, which are called “nano-level transactions.”
Given the current Bitcoin network congestion from time to time, transaction fees are relatively high (the average Bitcoin transaction fee is over $40 at the time of writing), which makes small, high-frequency transactions unrealistic.
The IOTA team believes that prioritizing the convenience of micro-transactions is conducive to transactions between networked devices.
December 2015 IOTA issued all tokens (tokens) by crowdfunding method, and the total amount raised was more than $500,000 worth of Bitcoin (that is, the total amount is equivalent to 1,337 Bitcoins).
Since the IOTA team did not hold any tokens for themselves prior to the fundraising, the IOTA community decided to support the continued development of the IOTA project through donations, and registered the non-profit “IOTA Foundation” in Germany.
5% of the tokens were donated so that the foundation can further the development, research and education of related technologies to further the development of IOTA.