IOTA Explained

With technology scaling up and across everyday, there are innovations that are bound to take the world by storm. IOTA is indeed one of them. IOTA as such is a payment or a transaction verification system that does not work on blockchain. Unlike other cryptocurrencies, IOTA does not use blockchain, instead it uses Tangle. The founders of IOTA claim that Tangle is much more decentralized, futuristic and robust than blockchain.

Tangle, Not Blockchain

If you understand and go through the functionality of both, even you will agree that Tangle is indeed better than Blockchain. All the drawbacks and short-comings that Blockchain has, are removed and solved by Tangle. Currently in blockchain, the miners verify a transaction and those miners charge you some fees for the verification. For Bitcoin, it is around $7 per transaction, which is pretty high. With limited mining pools controlling a lot of Bitcoin, the system isn’t exactly centralized. But with Tangle it is not so.

In Tangle if you want to pay for a service or a product, or you want to make a transaction on the network, you will need to verify the previous two transactions. Hence, everyone is a miner in Tangle and for the service you are providing to the network, you do not have to pay any fees. That is how IOTA works completely free of cost, and IOTA coin might be in a dip right now, as of beginning of 2018, but it surely has a lot of potential to grow.

Because of no fees, and no requirement of dedicated mining pools verifying the transactions 24/7, IOTA has a lot of potential to scale and cater to the requirements of increasing number of cryptocurrency transactions. IOTA started with a pre-mined fixed number of IOTA coins, and as there is no mining involved, so the number will remain constant.

About IOTA

IOTA coin is a cryptocurrency of the future. When resources and devices will be shared, there will be a need of a payment system that works dynamically and fast enough to keep things moving at right pace. Internet of Things is a network of physical resources and basically, electronic devices that work in sync with each other and are connected to the internet. With increasing population and rising demand of automation in every sector, it is difficult and unsustainable to manufacture hardware.

Since the existing devices are not being used to their full potential, Internet of Things comes up with the idea of sharing resources among each other over the internet. Hence, sharing the processing power. It has already started and IOTA is the only cryptocurrency so far, that supports this concept.

IOTA Coin and its Uniqueness

IOTA Reddit defines IOTA coin as an enhancement in interoperability and scalability. It is a modular, open source and free protocol that will create a disruption in the world of cryptocurrencies in future. Tangle is indeed a revolutionary tech when compared to the traditional blockchain. Some notable features in IOTA are –

  • Unlike grouped in traditional blocks in Bitcoin, transactions in IOTA cryptocurrency are dynamic and all people participate in verifying them.
  • The most revolutionary thing in IOTA cryptocurrency that makes it different from all others is its free transactions. Charging no fees is indeed a big step towards FinTech future.
  • The market cap of IOTA coin in December 2017 was around $10 billion. It is quite less if you talk about the potential IOTA coin holds.

Buy IOTA Cryptocurrency

To buy IOTA coin you can rely upon the traditionally existing exchanges. Some popular names being – coinbase, bitfinex, binance etc. If you belong to a country that supports IOTA coin, you can even look for it in your local cryptocurrency exchanges. IOTA coin is readily available to buy using your debit cards or your fiat money. You can store them either in the same exchange from where you bought them, or you can buy external drives to store them.

Some popular offline wallets like Jaxx and Electrum are able to store cryptocurrencies using secure private keys/ But unfortunately IOTA is not available on those wallets. Specific IOTA wallets also exist on iOS app store and Android play store, and one famous name is – iotawallet itself. It is an open source wallet, available for users who need to store IOTA cryptocurrency securely.

Exchanges are unsecure to store your IOTA coins, because they are vulnerable to attacks and hacking. Hence, if you want to keep your IOTA coin for long term, offline wallets or hardware wallets are better. KeepKey, Trezor and Ledger Nano S are three popular and user-reviewed hardware wallets. You can even buy them from e-commerce websites like Amazon.

Conclusion: IOTA Coin

IOTA price as of early 2018 is somewhere around $3.5. It touched around $4.8 somewhere back in 2017, but again fell down to $3.5. Smart investors are making the decision of buying the dips and increasing the quantity of IOTA coin they have. IOTA will have a heavy support and adaptation in future by companies that deal with Big Data and IoT. The time is not far when even blockchain will become an obsolete tech because of the number of drawbacks it has. There will exist a dire need of fast and free transactions, and that is where IOTA steps in.

IOTA prices might increase in future, keeping in mind the market trends. Right now, the stats reveal that younger people are more interested in cryptocurrencies. More than older people, young generation invests and experiments with ICOs and tokens. As time will pass, more and more investors will come. Hence, prices of all cryptocurrencies are bound to rise, if statistics are to be believed. Some big names and even blue-chip companies like Microsoft and Google are open to accepting and supporting cryptocurrencies in future. With such names backing up the crypto-world, IOTA coin price is sure to rise.

IOTA is a player of long-term, and is not a weak entity. Despite the heavy dip and stagnation in the price, IOTA coin still stands firmly at tenth position in top-ten cryptocurrencies of the world, according to the market capitalization.

 

[NOTE – The keywords – Biota, Iota one, 1IOTA and some more have nothing to do with IOTA cryptocurrency. Biota is a bio-ecological term, and Iota one is a laptop. Rest I have included almost all relevant and useful keywords.]
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