IOTA project: Faster, cheaper and safer transactions
IOTA

IOTA project: Faster, cheaper and safer transactions

By PhoenixDev | CryptoWorld - CW | 7 Jul 2020


f5662fc1333a67af36903586575adbf95c451c01aeda540f9b16875c7671e5f5.jpeg

The IOTA project was created in late 2015 by Sergey Ivancheglo, Sergei Popov, Dominik Schiener and David Sontesbo. This project sought to create a faster, safer, cheaper system that could be easily scaled, allowing transactions between machines and devices in the Internet of Things (IoT) ecosystem.

The IOTA project also has its own cryptocurrency, called MIOATA, which was designed to be used at Internet to provide secure sales, but without the need to pay transaction or mining fees to maintain operations.

d86971ff1ccfac77009e113354c1b7794d138061305bccaad5bc3ddd6b707155.png

How IOTA Works

IOTA, unlike Bitcoin or Ethereum, does not use blockchain technology, but instead uses a node system to confirm transactions, which is called Tangle. IOTA claims that Tangle is faster and more efficient than the typical blockchains used in cryptocurrencies.

31d7ddd824566946391bb96b476ebf18f933aacd5dc70d90e76c4dbb2486e7eb.jpeg

As we have seen, there is no need for transaction fees. This is because when one person conducts a transaction, they simultaneously commit two transactions from other users. In other words, the more people use this network, the more scalable it becomes (there are more people to carry out and confirm transactions).

Advantages of IOTA

As indicated above, some of the advantages of the IOTA protocol are:

  • There are no commissions or miners. There is no need to pay anything to make a transaction, nor are intermediaries (miners) to confirm these transactions. This lack of fees makes the IOTA protocol very attractive for micropayments on the network.
  • It is scalable. Unlike blockchain, all transactions are embedded in the network.
  • It is a decentralized network (practically). The operation of the IOTA network does not depend on or can be acted upon.
  • It is considered resistant to attacks by quantum computers. It uses a Winternitz (Winternitz one-time signature scheme) that makes it impossible to reuse an address once it has been used.

Conclusion

With the evolution and implementation of IoTs, IOTA hopes to establish a new economy of microtransactions between devices. Therefore, IOTA and its cryptocurrency can be considered as a great project for the future, although it has already taken the first steps, as when in 2018 Volkswagen communicated its association with the IOTA project for the collection of data safely and reliably. of their vehicles.

 

 


PhoenixDev
PhoenixDev

A Mobile Developer interested on Blockchain and Cryptocurrencies.


CryptoWorld - CW
CryptoWorld - CW

News about Blockchain and Cryptocurrency.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.