{[{item.pair.split("_")[0]}]} ${[{item.price.toFixed(4)}]}

{[{item.change24}]}%

{[{item.change24}]}%

CRYPTO REVIEW

IOTA – Review, Price, Tech & More (2021)

interactive-logo-black
review_crypto

March 19, 2021 | 

JOHN K MWANIKI |  0 Comments | 

5640 Views

Share:

IOTA is a unique cryptocurrency that focuses on the Internet of Things (IoT). It is so far one of the ways cryptocurrencies can move beyond blockchain. The founders were looking for a way to establish a ledger of everything. 
While all the other cryptos use blockchain, IOTA relies on the directed acyclic graph (DAG) called Tangle. The technology is great for scalability and facilitates transactions between the IoT devices. 

IOTA started in 2015 with the brains behind it being Sergey Ivancheglo, David Sonstebo, Dr. Serguei Popov, and Dominik Schiener. 

IOTA looks to become the backbone of the IoT economy. Even though IoT machines are becoming more useful in the real world, they lack data purchasing capacity. The IOTA protocol provides them a fee-free cryptocurrency for all the devices. It allows them to purchase and distribute all the needed data. 

IOTA also helps in the scalability concerns of the other cryptocurrencies. The IoT world deals in several micro-transactions that are unviable through the traditional blockchain technology. Using other coins like Bitcoin would be too costly. This makes DAG the best option. 

How Does IOTA work? 

Understanding the basics of how IOTA works is quite simple. It is all about executing transactions between IoT devices. It allows data transmission between connected devices in the system. It also supports complex transactions among multiple devices in the IoT system. 

The currency relies on various technologies to accomplish the task. These are; 

  • Tangle 

Tangle is the IOTA mechanism consensus. It is the central operating system that provides the system its resilience. It also does the work of gathering data from the nodes to validate transactions. 
Tangle gives IOTA two main benefits over the other cryptos;

  1. It eliminates the need for miners. The proof of work validation in blockchain transactions needs miners to approve transactions. This takes time and some expensive devices. It also increases the cost of transactions. Tangle, however, doesn't need miners to keep its integrity. 

  2. It allows near-infinite scaling. Blockchain works such that it can only validate several transactions per block. It becomes slower and more expensive when the transactions spike. Tangle, however, supports unlimited transactions. It can support several machines at the same time. 

  • Data Marketplace 

IOTA is all about data accessing and sharing. At the core of this system is the data marketplace. It is where the IOTA sensor developers sell and buy active data streams. The encrypted data stream is called Masked Authenticated Messaging (MAM). 

The data marketplace ensures access to the MAM in real-time. It ensures no developers miss on data. It also helps in data organization for fast application. 

MAM is also the avenue through which the machines share information. It helps maintain security within the channel and ensure integrity. 

  • Bosch XDK (Cross Domain Development Kit)

The Bosch XDK is the link between the MAM and the data marketplace. It has programmable sensors that allow developers to construct and communicate throughout the network. 

The system allows for communication among various platforms. It supports Wi-Fi, BLE, and others ready to use the software. It can also collect real-time data, which the programmer can then sell on the data marketplace. 

  • MIOTA 

It is the IOTA's utility token. It is the crypto used in accounting for transactions, initiate and pay for smart contracts. The system provides for a total supply of 27 quadrillion cryptos within its lifespan.

Use Cases of IOTA 

IOTA is not any fictional network. It is an effective protocol with several use cases. Its IoT functionality means that it is always gaining new uses. It is likely to be more useful as the technological world expands. 

For now, here are some of the top use cases; 

  • Smart cities 

The world has been looking for the future of smart cities, however, with several hurdles. One such issue is data integrity. IOTA looks to solve this. 

One of such examples is its deal with Taipei, to transform the town into a smart city. One of its uses in the city is to integrate data for ID and air pollution, monitoring air pollution. 

The use of IOTA would lead to more liberal data access. This means the citizens would trust the government more. 

  • Automotive and mobility 

The easy payment structure of IOTA is usable by the transportation industry. Vehicles can install the cryptocurrency for automatic toll, parking, and other fees. It can also be useful in ride-hailing and delivery services. 

  • Smart Energy 

The power and energy sector were some of the first sectors to embrace IoT. The use of a decentralized electricity grid has been on the offing since 2016. IOTA provides a scalable and feeless financial transaction solution for the industry.

IOTA is also likely to be instrumental in the electric car surge. It has already been working with Elaadnl, a Dutch power company, to provide smart charging stations. The crypto will help in automatic payments after recharging. 

  • eHealth

The health world has embraced IoT for data storage and research. They leverage these for better health care for the patients. The health care providers can use the IOTA to safeguard the data. 

IOTA is also helpful for privacy. The tangle technology uses Merkle tree signatures that allow safe receiving of encrypted information. 

IOTA Price 

While IOTA is a unique currency, its pricing factors depend on work as the other blockchain cryptos. Its prices fluctuate like any other cryptocurrency. 

The IOTA price is subject to changes based on market demands and trends. One of the factors that determine its price is corporate partnerships. Working with big corporates gives it a bigger reach. For example, its price improved by 90% when reports of partnership with Microsoft came out. It then reduced by 15% when Microsoft refuted the partnership claims. 

Media attention is another determinant in the price action. A project tends to gain from a constant appearance in the news. 

So far, the currency has traded well since its inception. It currently trades at $1.32 and looks to have a mixed price prediction heading into the future. Here are some of the IOTA price prediction based on; 

a)    Technical Analysis 

Technical analysis relies on the historical price and volume to make price predictions. One of such tools, WalletInvestor, gives the currency a negative price outlook. It predicts the coin to decline in the long run. That it will not hit $10 within a decade. 

b)    Experts 

The crypto sector experts have a say in the industry. One such expert is John McAfee, who has given the coin a low rating as a long-term investment. 

Ethereum founder Vitalik Buterin has also given the coin a negative review. He believes the Tangle technology is not viable in the long run. 

c)    Other sources 

Several other sources also have a say in IOTA price prediction. One of such sources is profitconfidential.com. It gives IOTA a positive market run to hit $4.98 by the end of the year. 

The other source is smartereum.com. It also gives a positive prediction of up to $11. 

IOTA, therefore, has both positive and negative market predictions. This is not unique to it. All the other cryptocurrencies always have an uncertain future. For that, you can still invest in IOTA. 

IOTA Partnerships 

The hallmark of successful digital currency is acceptance into real-world uses. IOTA has several use cases that make it a formidable force in the real-world economy. It has already partnered with several leading companies in the world. 

Top of the partners of IOTA includes Volkswagen, Jaguar Land Rover, Fujitsu, and STMicroelectronics. It also has on its ranks Dell Technologies and Linux Foundation. 

Most of the companies partnering with IOTA are looking for the future of economies. They are looking to take advantage of the advancing IoT. They are also after data integrity. This follows data security being a major concern in the world right now.

IOTA Community 

All the successful cryptos have a big community supporting them. IOTA is no exception. It has a community of believers in its vision to digitize the world. 

IOTA community is particularly active on Twitter, where it has over 130k followers. This is bigger than most of the other crypto projects. The Twitter community is interactive and keeps updated on project development. 

IOTA also has a vibrant Reddit community. Most of the discussions on the platform are about partnerships and other developments. 

IOTA Competition 

For some time, IOTA has been the main crypto in the IoT world. It had grown with partnerships all over the sector. Given the expected growth of the machine world, several other currencies had to come in. It currently faces competition from IoTex, Hedera Hasgraph, and IoT chain. 

IoTex was launched in 2018. It works like any other blockchain-based cryptocurrency, however, with IoT applications as the main target. The privacy-centered crypto can run smart contracts and other decentralized applications. It is also prominent in the top crypto exchanges. 

IoT chain is another IoT-based crypto that is gaining market traction. It comes with impressive development and a road to attract users. Even though launched in Asia, it seeks to cover the whole world. 

Hedera Hasgraph is a Texas-based platform that also wants a part of the IoT. It also uses DAG technology with a Hashgraph consensus for its architecture. The only concern is that it is not open source. 

Currency

IOTA

IoTex

IoT Chain

Hedera Hashgraph

Price ($)

1.32

$0.04865

$0.112

$0.3442

Market cap ($)

$3,701,426,129.79

$60,640,000

$9,776,767

$2,600,110,447

Trading volume

$77,104,267.92

$53,180,000

$2,799,630

$287,366,951

Circulating supply

2,779,530,283

9,644,304,442 

87,214,657

7,546,004,855

IOTA Concerns 

Even though IOTA seems revolutionary, it is not safe from upsets. One of the biggest issues has been its algorithm technical flow. Such a case came to light after the theft of around $11.4million worth of the currency in 2018. Still, the majority of the lost amount was later found.  

The decentralized nature of the currency also makes it an anti-cryptography world. The developers have all the control over the encryption algorithm. 

The other concern with IOTA is that it does not embrace open-source operations. This makes it susceptible to be hiding some information. 

Trading IOTA 

It took IOTA sometime before listing on any of the major crypto exchanges. It is, however, currently available in some of the reputable exchanges. You can easily trade the coin from these sites. 

The major crypto exchanges for IOTA trading are Binance, Bitfinex, HitBTC, and Huobi Global. The presence in various exchanges allows you the liberty to choose the best platform. 

Storing IOTA is also safe through the Desktop and mobile wallets. It also provides for a paper wallet if you wish to use one. 

Bottom Line 

The IoT future is at the moment certain. It comes with several benefits the world is ready to embrace. It means IOTA has a role to play going forward. It is a unique crypto project that is all about the future.

It, however, has no easy way into the future. The team must first address the security concerns of the project. It also might have to convince the crypto world of long-term viability.

The strong partnerships and the unique technology look to propel it ahead. Investing in the project is a sound business move. 

COMMENTS

0 Comments

Like this article

CREATE ACCOUNT

LIVE RATES

All COINS

TRENDING

Market Cap {[{ marketcap }]}

Symbol

Price

Change

Chart

Trade

{[{ item.pair.split('_')[0] }]}

${[{ item.price }]}

{[{ item.change24 }]}

{[{ item.change24 }]}

TRADE

Showing {[{ showing }]}

Market Cap {[{ marketcap }]}

Symbol

Price

Change

Chart

Trade

{[{ item.pair.split('_')[0] }]}

${[{ item.price }]}

{[{ item.change24 }]}

{[{ item.change24 }]}

TRADE

Showing {[{ showing_trend }]}

WHAT'S NEW

NEWS

REVIEWS

BROKERS

WALLET