Offering something quite different from all other cryptocurrency platform, IOTA has become a force to reckon with in the cryptocurrency ecosystem. It ranks favourably with the top 10 cryptocurrencies and has been doing quite great in 2018. The ideas of the creators in 2015 to do something different from patching the Blockchain technology is finally paying off and it is expected that the coin will do even better in the market place.
Tangle vs Blockchain
As has been mentioned earlier, IOTA uses a platform that is quite different from the popular Blockchain technology of Bitcoin, Ethereum and other valuable digital currencies. The technology is known as Tangle and has proved over the years to be effective and secure. In theory, every IOTA user is submitting and verifying transactions. This means that the users contribute to verification and security of the system. Tangle is also not deterministic like Blockchain. It is rather probabilistic.
More about Tangle
The Tangle used in IOTA is a data structure specifically known as Directed Acyclic Graph (DAG). Transactions in the network will have to be approved by subsequent transactions. This portends that the network gets faster as the network scales, as there are more tips available to verify transactions.
The revolution of IOTA
By not sticking to the Blockchain technology, IOTA offers something new to users in the cryptocurrency world. The distributed ledger structure offers innovative and exciting solution different from what is known in the industry. While most of the other platforms focus on improving its coding and design, IOTA tackles the inherent problems of the blockchainin a different manner. The blockchain is changed from a series of blocks into a different platform that uses competing, pushing nodes for high-throughout, censorship resistant transaction. In IOTA, there are no miners. The nodes are responsible for the verification of transactions and the transactions are all linked.
Another important thing about IOTA is the level of security it employs. The validity of each transaction is verified by the networks of nodes using history of transactions from other nodes. The confidence level is improved with each successful transaction.
The network is protected from the double-spend attack as the central tangle has more tips, and therefore holds an advantage over whatever high-powered system of nodes an attacker may plan to transact with.
Though quantum computing is not yet feasible, it is still believed that it is only a matter of time before it becomes a thing and threaten some established systems like Blockchain. IOTA has stepped ahead to defend against quantum computing. By being lightweight in its system of transaction and relying on hashing only for signing verification and not sending transactions themselves, IOTA will be properly protected. By doing away with mining and its associated risks, the IOTA platform has been position to resist political risks from mining companies and other associated network risks.
IOTA as a crypto coin seems like a great option for investors. Asides from the current position of the coin in the digital currency world, the system is highly efficient and favourable. It has all the qualities investors look forward to: no fees, strong censorship resistance, quick transaction confirmation, and scalable throughput. These and some other minor qualities is responsible for the continual growth of IOTA, and things are still looking bright for the coin.