Digital currencies have had a marvelous year in 2017 with Bitcoin being one of the biggest winners rising by more than a 1000% this year alone. Bitcoin’s success is largely due to the fact it has actual real life uses and applications, in particular it is used as a safe haven currency and a digital gold. However it appears it is not only the Bitcoin that has real life applications but also a new, little known currency called IOTA which was produced by a German firm called the IOTA foundation that has teamed up with Microsoft and several other firms such as Samsung to cooperate and create a data marketplace.
What applications does IOTA have?
IOTA’s value spiked within 24 hours by more than 70% after news announcements of IOTA teaming up with firms such as Microsoft and Samsung to create a blockchain based marketplace where companies and firms can sell data such as weather reports, air quality, financial data, medicine, etc, making it a very valuable asset for firms, businesses and even nations. IOTA’s co-founder David Stonstebo stated data is the new oil and IOTA is capitalizing big on this largely untapped market where firms and companies can sell or share data with the use of blockchain technology. Despite still being in the pilot testing phase, their is a lot of interest surrounding IOTA due to its large untapped market and very limited to almost non existent competition, making it arguably a very safe and profitable investment if it is fully adopted.
IOTA’s success and popularity is largely due to it addressing 3 major issues to do with scaling, fees and centralization, something more traditional cryptocurrencies face. Another advantage of IOTA is that it is essentially “blockless” as it does not add blocks to the network, which in turn can keep fees down to a minimum or even enable individuals to make transactions for free at a fast rate. Thus in theory getting rid of the need for “forks” which we saw this year can cause volatility in currencies and complications.
Given IOTA’s real life applications and major financial backing by some of the biggest companies in the World, it is highly unlikely anyone in the financial World even the lights of JPMorgan would call this cryptocurrency a “bubble” or a “fraud”. IOTA is the future of blockchain technology and cryptocurrencies, currencies that have actual use in the World today with it potentially being worth hundreds or if not thousands in the future.