Digital currencies are moving into the mainstream at very fast rate and traders have so many opportunities that it is east to miss some of the gems.One of those gems is IOTA (MIOTA), a deployment of the blockchain unlike no other – more on the coin’s technology later.
IOTA (MIOTA) focuses on the Internet-of-Things, and has it is clearly outlined in the developers manifesto, “As the Internet-of-Things keep expanding, the need for interoperability and sharing of resources become a necessity. IOTA enables companies to explore new business-2-business models by making every technological resource a potential service to be traded on an open market in real time, with no fees.”
That’s a pretty bi proposition and traders have caught wind of it and appear to like it. Since founding back in 2016, IOTA has grown from strength to strength. Currently the digital currency trades at around $3.60 having climbed to a high of $4.50 back in December. Clearly valuation has depended largely on the demand for cryptos all around. No doubt the big demand for Bitcoin in December helped currencies like IOTA. It’s not implausible that IOTA has struggled largely due to its share of mind. On the scale of cryptos at the moment, only the big two (Bitcoin and Ethereum) enjoy mainstream popularity. From this perspective, and given IOTA’s age in the real world, the $4.50 high and current valuation is a good sign. That sign is upside and once the applications for IOTA become clearer, there is the possibility of strong potential rallies.
IOTA (MIOTA) has a strong base upon which to build its legacy. Market cap is $10B, a figure which is in line with growing digital currencies. Where IOTA enjoys a greater than average edge is with the daily trading volume. Currently that figure in dollar terms is $91M. The amount of coins in circulation is just over $2.7B; this figure coincidentally, is the same figure for total supply. In other words, IOTA has maxed out! What does this mean? Well there are no more extra coins to go around so the market for IOTA is pretty dependent on underlying value of the technology. Bitcoin has found itself in this very situation and there is a strong indication that this maxed out reality is helping to drive demand.
We hinted at IOTA’s technology earlier; now it’s time to show why it could help set the digital currency apart for a long time to come. Unlike most digital currencies that rely upon blockchain in its native form, IOTA runs on its own technology called Tangle. Tangle doesn’t group transactions in blocks like blockchain; instead it creates a new block for every transaction. This system reduces the scaling issues associated with native blockchain; it also frees up time, allowing for faster processing and reduced fees.
IOTA (MIOTA), by aligning its technology and function with the internet-of-things, sets itself on a solid path for future potential wide scale adoption. This means that its inherent value as a digital currency could scale as the internet itself becomes more and more embedded with the real world. This in the long run gives IOTA a huge advantage.