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What is IOTA?


IOTA is a cryptocurrency designed for the Internet of Things. But before we get into why the Internet of Things needs IOTA, lets look at what IOTACoin can offer to the existing cryptocurrency scene.


IOTA has 4 HUGE advantages over Blockchain cryptocurrencies in that it is:





-Fee Less



How is this achieved?


The technological breakthrough that makes this possible is The Tangle.


Unlike Bitcoin which uses a blockchain architecture for maintaining it’s ledger, IOTA uses the ‘Tangle’ which is a Directed Acyclic Graph, known as a DAG. In summary the Tangle solves both the scalability and transaction fee issues faced by Bitcoin (And most cryptocurrencies) by requiring the Sender in

a transaction to perform a kind of proof of work which approves two transactions.


Thus, the act of making a transaction and validating transactions are coupled. This removes dedicated miners

and makes the system fully decenteralised – those making transactions (the systems ‘users’) are the only actors

who can affect the system (whereas in bitcoin miners are not ‘using’ the system, rather they are simply enabling it to operate).



The remarkable result is that in IOTACoin, the network transaction speed INCREASES as the number of users increases

(as opposed to blockchain cryptocurrencies which get slower with increased numbers of users).  It also eliminates the need

for users to pay ‘miners’ for doing the proof of work (because they do it themselves). Thus there is no Fee to make a transaction!

So far, so good. IOTACoin looks to be Fee less and scalable. This alone makes IOTA incredibly promising as a technology for a huge number of applications.


But it doesn’t stop there. IOTACoin has been under development since 2015 and in that time industrial partnerships have been forged which will ensure that IOTA

has practical, real world use.